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 811-08236

Northern Funds

(Exact name of registrant as specified in charter)

50 South LaSalle Street

Chicago, IL 60603

(Address of principal executive offices) (Zip code)

Name and Address of Agent for Service: Diana E. McCarthy Faegre Drinker Biddle & Reath LLP One Logan Square, Suite 2000 Philadelphia, Pennsylvania 19103-6996 with a copy to: Kevin P. O’Rourke Jose J. Del Real, Esq. The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603

Registrant’s telephone number, including area code: (800) 595-9111

Date of fiscal year end: March 31

Date of reporting period: March 31, 2020

Item 1. Reports to Stockholders.

EQUITY FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
10	STATEMENTS OF ASSETS AND LIABILITIES
12	STATEMENTS OF OPERATIONS
14	STATEMENTS OF CHANGES IN NET ASSETS
16	FINANCIAL HIGHLIGHTS
23	SCHEDULES OF INVESTMENTS
23	INCOME EQUITY FUND
	Ticker Symbol: NOIEX
27	INTERNATIONAL EQUITY FUND
	Ticker Symbol: NOIGX
32	LARGE CAP CORE FUND
	Ticker Symbol: NOLCX
36	LARGE CAP VALUE FUND
	Ticker Symbol: NOLVX
40	SMALL CAP CORE FUND
	Ticker Symbol: NSGRX
61	SMALL CAP VALUE FUND
	Ticker Symbol: NOSGX
70	U.S. QUALITY ESG FUND
	Ticker Symbol: NUESX
74	NOTES TO THE FINANCIAL STATEMENTS
86	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
87	TAX INFORMATION
88	LIQUIDITY RISK MANAGEMENT PROGRAM
89	FUND EXPENSES
91	TRUSTEES AND OFFICERS
95	INVESTMENT CONSIDERATIONS
96	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 EQUITY FUNDS

EQUITY FUNDS

INCOME EQUITY FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The S&P 500^® Index returned -6.98% in the 12-month reporting period ended March 31, 2020. The Income Equity Fund returned -12.35% and underperformed the S&P 500. The reporting period began with bouts of volatility as trade tensions between the United States and China led to increasing tariffs and slowing economic activity. The U.S. Federal Reserve (the “Fed”) buoyed markets with a series of interest rate cuts in response to the growing uncertainty. Investor confidence returned in the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-time highs in early 2020. Investor sentiment moved sharply lower in mid-February 2020, however, once it became clear that COVID-19 was becoming a global pandemic. Stocks fell at an historic pace, with volatility reaching levels not seen since the 2008-2009 financial crisis. Economic activity ground to a halt as officials attempted to contain the spread of COVID-19. In response, the Fed and the U.S. Congress enacted unprecedented fiscal and monetary stimulus in an attempt to alleviate stress in the economy and financial markets.

For the 12-month period ended March 31, 2020, information technology was the top-performing sector within the index, reflecting investor preference for mega-cap growth stocks. Traditionally defensive sectors such as consumer staples, utilities and health care also outperformed. The energy sector, which lost over 50% as tensions between OPEC and Russia led to an oversupply of oil, was the worst performer.

The Fund invests in high quality, income-producing stocks that exhibit prudent use of shareholder capital, but this market segment lagged in the 12-month period. Exposure to higher-yielding securities detracted from performance, while our preference for higher quality companies had a neutral effect on performance. Stock selection in the industrials and health care sectors added to performance, but selection in real estate and consumer discretionary detracted.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 04/01/94
INCOME EQUITY FUND		(12.35	)%		3.95	%		7.80	%		7.85	%
S&P 500® INDEX		(6.98	)		6.73			10.53			9.10

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The S&P 500® Index is an unmanaged index consisting of 500 stocks and is a widely recognized common measure of the performance of the overall U.S. stock market.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

EQUITY FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

INTERNATIONAL EQUITY FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The MSCI World ex USA Index returned -14.89% in the 12-month reporting period ended March 31, 2020. The International Equity Fund returned -20.78% and underperformed the benchmark index. Global growth recorded its weakest pace since the financial crisis a decade ago, and the global markets experienced numerous spikes in volatility. Trade tensions between the United States and China, uncertainty surrounding the United Kingdom’s exit from the EU (Brexit), and geopolitical events posed significant risks to investors during the first half of the period. Investor confidence returned in the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal and investors gained more clarity regarding the outlook for Brexit. In addition, global central banks remained accommodative and the U.S. Federal Reserve initiated a series of interest rate cuts. After climbing to all-time highs in early 2020, global equities moved sharply lower in mid-February 2020 as COVID-19 quickly became a global pandemic. Equity markets fell at a historic pace, with a degree of volatility not seen since the 2008-2009 financial crisis. Policymakers enacted unprecedented levels of fiscal and monetary stimulus in an attempt to alleviate stress in the economy and financial markets, but equities nevertheless finished the period with double-digit losses. Traditionally defensive sectors such as consumer staples, utilities and health care outperformed. The energy sector, which lost over 40% as tensions between OPEC and Russia resulted in an oversupply of oil, was the worst performer.

Our investment process considers and ranks companies based on three general criteria to inform investment decisions: valuation, sentiment and quality. Factor performance was led by low volatility and quality as investors attempted to insulate their portfolios from economic uncertainty. High quality stocks, within the index, outperformed their low quality peers by double digits across Europe and Japan, and the low volatility factor outperformed in Europe. Value stocks, within the index, underperformed, especially in Europe.

Stock selection accounted for most of the Fund’s underperformance, as the effect of sector allocation was broadly neutral despite large differences in sector returns. Stock selection was weak in most sectors, particularly in industrials and financials.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 04/01/94
INTERNATIONAL EQUITY FUND		(20.78	)%		(3.18	)%		1.16	%		3.35	%
MSCI WORLD EX USA INDEX		(14.89	)		(0.76	)		2.43			4.20

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

MSCI World ex USA Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The MSCI World Index consists of the following 23 developed market country indices: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the United Kingdom.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

NORTHERN FUNDS ANNUAL REPORT 3 EQUITY FUNDS

EQUITY FUNDS

LARGE CAP CORE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The S&P 500^® Index returned -6.98% in the 12-month reporting period ended March 31, 2020. The Large Cap Core Fund returned -11.28% over the reporting period and underperformed the S&P 500 Index. The reporting period began with bouts of volatility as trade tensions between the United States and China led to increasing tariffs and slowing economic activity. The U.S. Federal Reserve (the “Fed”) buoyed markets with a series of interest rate cuts in response to the growing uncertainty. Investor confidence returned in the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-time highs in early 2020. Investor sentiment moved sharply lower in mid-February 2020, however, once it became clear that COVID-19 was becoming a global pandemic. Stocks fell at an historic pace, with volatility reaching levels not seen since the 2008-2009 financial crisis. Economic activity ground to a halt as officials attempted to contain the spread of the virus. In response, the Fed and the U.S. Congress enacted unprecedented fiscal and monetary stimulus in an attempt to alleviate stress in the economy and financial markets.

For the 12-month period ended March 31, 2020, information technology was the best performing sector within the index, reflecting investor preference for mega-cap growth stocks. Traditionally defensive sectors such as consumer staples, utilities and health care also outperformed. The energy sector, which lost over 50% as tensions between OPEC and Russia resulted in an oversupply of oil, was the worst performer.

Our investment process considers and ranks companies based on three general criteria to inform investment decisions: valuation, sentiment and quality. Market performance was led by the momentum and low volatility factors until September 2019, when investors started to rotate out of momentum and into value. The value factor continued its rebound and largely retained its gains through the end of 2019, but reversed course in the market sell-off of the first quarter of 2020.

Stock selection accounted for most of the Fund’s underperformance, as the effect of sector allocation was broadly neutral despite large differences in sector returns. Stock selection was weak across most sectors, particularly within industrials and consumer discretionary.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 12/16/05
LARGE CAP CORE FUND		(11.28	)%		4.11	%		9.33	%		6.15	%
S&P 500® INDEX		(6.98	)		6.73			10.53			7.34

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The S&P 500^® Index is an unmanaged index consisting of 500 stocks and is a widely recognized common measure of the performance of the overall U.S. stock market.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

EQUITY FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

LARGE CAP VALUE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Large Cap Value Fund returned -20.16% in the 12-month reporting period ended March 31, 2020, underperforming the -17.17% return of its benchmark, the Russell 1000 Value Index. The reporting period began with bouts of volatility as trade tensions between the United States and China led to increasing tariffs and slowing economic activity. The U.S. Federal Reserve (the “Fed”) buoyed markets with a series of interest rate cuts in response to the growing uncertainty. Investor confidence returned in the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-time highs in early 2020. Investor sentiment moved sharply lower in mid-February 2020, however, once it became clear that COVID-19 was becoming a global pandemic. Stocks fell at an historic pace, with volatility reaching levels not seen since the 2008-2009 financial crisis. Economic activity ground to a halt as officials attempted to contain the spread of the virus. In response, the Fed and the U.S. Congress enacted unprecedented fiscal and monetary stimulus in an attempt to alleviate stress in the economy and financial markets.

For the 12-month period ended March 31, 2020, information technology was the best performing sector within the index, reflecting investor preference for mega-cap growth stocks. Traditionally defensive sectors such as consumer staples, utilities and health care also outperformed. The energy sector, which lost over 50% as tensions between OPEC and Russia resulted in an oversupply of oil, was the worst performer.

The Fund favors high quality, attractively valued stocks, but inexpensive companies significantly lagged the broader market, as measured by the index, during the period. However, the Fund’s emphasis on quality contributed. Stock selection was strongest within the underperforming energy sector, where the Fund’s higher quality posture added to relative performance. Conversely, the Fund’s preference for companies that were simultaneously inexpensive and higher quality detracted within financials and utilities.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 08/03/00
LARGE CAP VALUE FUND		(20.16	)%		0.14	%		5.29	%		4.68	%
RUSSELL 1000 VALUE INDEX		(17.17	)		1.90			7.67			5.55

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Russell 1000 Value Index is an unmanaged index measuring the performance of those companies included in the Russell 1000 Index having lower price-to-book ratios and forecasted growth values.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

NORTHERN FUNDS ANNUAL REPORT 5 EQUITY FUNDS

EQUITY FUNDS

SMALL CAP CORE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 began with bouts of market volatility as trade tensions between the United States and China prompted increasing tariffs and slowing economic activity. The Fund returned -22.80% for the 12-month period ended March 31, 2020, outperforming the -23.99% return of the Russell 2000 Index. Investor confidence bounced back during the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-times highs in early 2020. Market sentiment then turned sharply negative in mid-February 2020 as the sudden spread of the COVID-19 virus transformed into a global pandemic. Economic activity in virus-impacted areas ground to a halt as a result of efforts to contain the spread of the coronavirus. In response, the U.S Federal Reserve and the U.S. Congress enacted unprecedented levels of monetary and fiscal stimulus in an attempt to relieve some of the stresses within the economy and financial markets. Events related to the onset of the coronavirus overwhelmed any prior trends during the period.

As intended, stock selection, rather than sector selection, accounted for the majority of the relative outperformance, although sector selection was positive based mainly on a moderate underweight to energy and an overweight to utilities. Stock selection within the energy and consumer discretionary sectors contributed most on a relative basis, while selection in health care detracted most. During the period, quality ratings based on our proprietary models were not consistent predictors of relative return. Companies with low profitability, and low return on equity or profit margins outperformed, while stocks with lower price to book, or price to trailing earnings, underperformed. Higher volatility and higher debt loads and slower or negative cash flow growth were negative attributes, as investors appeared to shun those companies as the market sold off. The Fund’s underweight to these characteristics proved beneficial during the market decline.

Going forward, we will continue to seek reasonably priced but profitable small company stocks, and to avoid lower quality companies, consistent with our long-term approach. We continue to apply our disciplined cost- and risk-efficient investment strategy, balancing return, risk and transaction costs to achieve intended objectives.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 09/30/99
SMALL CAP CORE FUND		(22.80	)%		(0.51	)%		7.35	%		5.58	%
RUSSELL 2000 INDEX		(23.99	)		(0.25	)		6.90			6.37

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Russell 2000 Index is an unmanaged index which measures the performance of the 2,000 smallest of the 3,000 U.S. companies in the Russell 3000^® Index, based on market capitalization.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

EQUITY FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

SMALL CAP VALUE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 began with bouts of market volatility as trade tensions between the United States and China prompted increasing tariffs and slowing economic activity. The Small Cap Value Fund returned -28.37%, outperforming the -29.64% return of the benchmark Russell 2000 Value Index. Investor confidence bounced back during the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-times highs in early 2020. Market sentiment then turned sharply negative in mid-February 2020 as the sudden spread of the COVID-19 virus transformed into a global pandemic. Economic activity in virus-impacted areas ground to a halt as a result of efforts to contain the spread of the coronavirus. In response, the U.S Federal Reserve and the U.S. Congress enacted unprecedented levels of monetary and fiscal stimulus in an attempt to relieve some of the stresses within the economy and financial markets. Events related to the onset of COVID-19 overwhelmed any prior trends during the period.

Despite wide differences in sector returns, the Fund’s risk management process resulted in modestly positive relative contributions from active sector exposures. Stock selection within sectors had a more significant impact on returns. Selection within the industrials and energy sectors contributed the most to relative performance, where holdings with higher ratings in our proprietary stock selection model held up better than lower-ranked, lower quality companies. Selection within real estate and consumer staples was less successful, where “buy” rated stocks in our model underperformed, and within the technology sector, where stock selection among lower-rated stocks detracted from returns. More generally, however, quality mattered, as “buy” rated stocks outperformed “sell” rated stocks. Stocks with lower price to book or price to trailing earnings underperformed, as did companies with lower profit margins and lower profitability as well as higher volatility.

Going forward, we will continue to seek reasonably priced but profitable small company stocks, and to avoid lower quality companies, consistent with our long-term approach. We continue to apply our disciplined cost- and risk-efficient investment strategy, balancing return, risk and transaction costs to achieve intended objectives.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 04/01/94
SMALL CAP VALUE FUND		(28.37	)%		(2.57	)%		5.48	%		7.84	%
RUSSELL 2000 VALUE INDEX		(29.64	)		(2.43	)		4.79			7.88

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Russell 2000 Value Index is an unmanaged index measuring the performance of those companies included in the Russell 2000 Index having lower price-to-book ratios and lower forecasted growth values.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

NORTHERN FUNDS ANNUAL REPORT 7 EQUITY FUNDS

EQUITY FUNDS

U.S. QUALITY ESG FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

U.S. stocks experienced sizable fluctuations during the 12-month reporting period ended March 31, 2020. For the reporting period, the Fund returned -6.69%, outperforming the -8.03% return of the benchmark Russell 1000 Index. The period began with bouts of volatility as trade tensions between the United States and China sparked increasing tariffs and slowing economic activity. In response, the U.S. Federal Reserve (the “Fed”) buoyed markets with a series of interest rate cuts in the face of growing uncertainty. Investor confidence was boosted during the fourth quarter of 2019 as the United States and China reached a “phase one” trade deal, pushing markets to all-time highs in early 2020. Market sentiment then abruptly reversed course in mid-February 2020 as the onset of the COVID-19 virus quickly emerged as a global pandemic. Equity markets fell at an historic pace, with levels of volatility not seen since the financial crisis. Economic activity in virus-impacted areas ground to a halt as government officials struggled to contain COVID-19. The Fed and the U.S. Congress enacted unprecedented levels of fiscal and monetary stimulus in an attempt to relieve the resulting stresses within the U.S. economy and markets.

The Fund invests in high quality companies with favorable environmental, social and governance (ESG) ratings. Companies with stronger relative ESG profiles outperformed during the period, with top-rated securities outperforming all other segments. The Fund’s high quality posture also contributed to relative outperformance, as lower quality companies lagged the market.

The Fund will continue investing in financially sound companies that manage their non-financial ESG risks well. We believe that incorporating both a financial lens and the non-financial lens of ESG content into the portfolio construction process offers the potential for the Fund to generate positive relative performance over the long term.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			SINCE INCEPTION 10/02/17
U.S. QUALITY ESG FUND		(6.69	)%		2.77	%
RUSSELL 1000 INDEX		(8.03	)		2.35

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Russell 1000 Index is an unmanaged index which measures the performance of the 1,000 largest companies in the Russell 3000® Index, based on net capitalization.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 95.

EQUITY FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

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NORTHERN FUNDS ANNUAL REPORT 9 EQUITY FUNDS

EQUITY FUNDS

STATEMENTS OF ASSETS AND LIABILITIES

Amounts in thousands, except per share data	INCOME EQUITY FUND		INTERNATIONAL EQUITY FUND			LARGE CAP CORE FUND		LARGE CAP VALUE FUND
ASSETS:
Investments, at value		$114,086		$119,333			$163,400		$44,979
Investments in affiliates, at value		1,766		1,535			2,974		776
Cash held at broker (restricted $0, $0, $0, $50, $2,114, and $0, respectively)		–		516			85		25
Foreign currencies held at broker, at value (restricted $212)		–		212	(1)		–		–
Foreign currencies, at value (cost $391)		–		391			–		–
Dividend income receivable		221		739			234		75
Receivable for foreign tax reclaims		–		599			–		–
Receivable for securities sold		–		–			3,340		–
Receivable for variation margin on futures contracts		6		44			2		2
Receivable for fund shares sold		2		–			15		–
Receivable from investment adviser		1		–			5		3
Prepaid and other assets		6		6			4		5
Total Assets		116,088		123,375			170,059		45,865
LIABILITIES:
Payable for securities purchased		–		–			5,030		–
Payable for variation margin on futures contracts		45		31			29		17
Payable for fund shares redeemed		373		1,058			229		10
Payable to affiliates:
Management fees		24		13			14		4
Custody fees		1		8			2		–
Shareholder servicing fees		28		1			7		7
Transfer agent fees		4		5			6		2
Trustee fees		4		9			16		7
Outstanding options written, at value (premiums received $56)		16		–			–		–
Accrued other liabilities		31		61			31		32
Total Liabilities		526		1,186			5,364		79
Net Assets		$115,562		$122,189			$164,695		$45,786
ANALYSIS OF NET ASSETS:
Capital stock		$102,852		$185,055			$147,827		$62,366
Distributable earnings		12,710		(62,866	)		16,868		(16,580	)
Net Assets		$115,562		$122,189			$164,695		$45,786
Shares Outstanding ($.0001 par value, unlimited authorization)		11,087		17,118			10,007		3,564
Net Asset Value, Redemption and Offering Price Per Share		$10.42		$7.14			$16.46		$12.85
Investments, at cost		$100,567		$152,963			$144,036		$59,186
Investments in affiliates, at cost		1,766		1,535			2,974		776

(1) Costs associated with foreign currencies held at broker is $215.

See Notes to the Financial Statements.

EQUITY FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

MARCH 31, 2020

SMALL CAP CORE FUND		SMALL CAP VALUE FUND			U.S. QUALITY ESG FUND
	$332,707		$1,926,501			$105,100
	11,389		136,890			536
	50		8,240			100
	–		–			–
	–		–			–
	423		4,788			100
	–		–			–
	–		4,197			–
	–		–			–
	522		2,756			–
	1		6			–
	6		12			4
	345,098		2,083,390			105,840
	–		–			–
	78		1,233			10
	798		3,784			–
	46		399			16
	1		23			–
	61		895			–
	12		71			3
	4		11			4
	–		–			–
	32		74			33
	1,032		6,490			66
	$344,066		$2,076,900			$105,774
	$305,315		$2,257,725			$115,866
	38,751		(180,825	)		(10,092	)
	$344,066		$2,076,900			$105,774
	18,528		153,904			10,374
	$18.57		$13.49			$10.20
	$294,101		$2,071,150			$113,897
	11,389		136,890			536

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 EQUITY FUNDS

EQUITY FUNDS

STATEMENTS OF OPERATIONS

Amounts in thousands	INCOME EQUITY FUND			INTERNATIONAL EQUITY FUND			LARGE CAP CORE FUND			LARGE CAP VALUE FUND
INVESTMENT INCOME:
Dividend income		$5,292			$6,726	(1)		$5,542			$1,797
Dividend income from investments in affiliates		20			8			19			16
Interest income		5			1			6			4
Total Investment Income		5,317			6,735			5,567			1,817
EXPENSES:
Management fees		1,739			877			1,062			372
Custody fees		26			119			43			26
Transfer agent fees		56			55			73			21
Registration fees		18			18			19			20
Printing fees		42			43			55			52
Professional fees		43			12			43			43
Shareholder servicing fees		97			3			25			35
Trustee fees		9			9			9			9
Interest expense		1			1			–			–
Other		23			89			13			1
Total Expenses		2,054			1,226			1,342			579
Less expenses reimbursed by investment adviser		(201	)		(224	)		(243	)		(191	)
Net Expenses		1,853			1,002			1,099			388
Net Investment Income		3,464			5,733			4,468			1,429
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		7,333			(15,581	)		3,090			1,168
Options written		259			–			–			–
Futures contracts		(791	)		(401	)		(832	)		(178	)
Foreign currency transactions		–			74			–			–
Net changes in unrealized appreciation (depreciation) on:
Investments		(25,362	)		(24,944	)		(27,434	)		(13,246	)
Options written		2			–			–			–
Futures contracts		144			330			95			1
Foreign currency translations		–			(4	)		–			–
Net Losses		(18,415	)		(40,526	)		(25,081	)		(12,255	)
Net Decrease in Net Assets Resulting from Operations		$(14,951	)		$(34,793	)		$(20,613	)		$(10,826	)

(1) Net of $624 and $1 in non-reclaimable foreign withholding taxes.

See Notes to the Financial Statements.

EQUITY FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEAR ENDED MARCH 31, 2020

SMALL CAP CORE FUND			SMALL CAP VALUE FUND			U.S. QUALITY ESG FUND
	$5,936	(1)		$59,588			$1,991
	303			1,953			27
	25			146			1
	6,264			61,687			2,019
	2,928			28,113			428
	60			260			26
	142			903			33
	22			44			18
	44			140			43
	43			81			43
	207			2,939			–
	9			36			12
	–			–			–
	13			36			15
	3,468			32,552			618
	(434	)		(2,909	)		(168	)
	3,034			29,643			450
	3,230			32,044			1,569
	813			132,491			(512	)
	–			–			–
	(2,400	)		1,467			(171	)
	–			–			–
	(106,453	)		(956,124	)		(10,880	)
	–			–			–
	346			2,537			34
	–			–			–
	(107,694	)		(819,629	)		(11,529	)
	$(104,464	)		$(787,585	)		$(9,960	)

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 EQUITY FUNDS

EQUITY FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

	INCOME EQUITY FUND						INTERNATIONAL EQUITY FUND						LARGE CAP CORE FUND						LARGE CAP VALUE FUND
Amounts in thousands	2020			2019			2020			2019			2020			2019			2020			2019
OPERATIONS:
Net investment income		$3,464			$4,208			$5,733			$7,296			$4,468			$4,391			$1,429			$1,723
Net realized gains (losses)		6,801			26,029			(15,908	)		(18,993	)		2,258			3,206			990			(4,003	)
Net change in unrealized appreciation (depreciation)		(25,216	)		(16,266	)		(24,618	)		(2,970	)		(27,339	)		5,800			(13,245	)		7,433
Net Increase (Decrease) in Net Assets Resulting from Operations		(14,951	)		13,971			(34,793	)		(14,667	)		(20,613	)		13,397			(10,826	)		5,153
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		(41,592	)		(17,293	)		(39,768	)		(39,547	)		(50,039	)		(6,412	)		(27,469	)		(8,086	)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(41,592	)		(17,293	)		(39,768	)		(39,547	)		(50,039	)		(6,412	)		(27,469	)		(8,086	)
DISTRIBUTIONS PAID:
Distributable earnings		(15,527	)		(26,260	)		(6,938	)		(5,000	)		(9,873	)		(6,563	)		(1,500	)		(1,300	)
Total Distributions Paid		(15,527	)		(26,260	)		(6,938	)		(5,000	)		(9,873	)		(6,563	)		(1,500	)		(1,300	)
Total Increase (Decrease) in Net Assets		(72,070	)		(29,582	)		(81,499	)		(59,214	)		(80,525	)		422			(39,795	)		(4,233	)
NET ASSETS:
Beginning of year		187,632			217,214			203,688			262,902			245,220			244,798			85,581			89,814
End of year		$115,562			$187,632			$122,189			$203,688			$164,695			$245,220			$45,786			$85,581

See Notes to the Financial Statements.

EQUITY FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SMALL CAP CORE FUND						SMALL CAP VALUE FUND						U.S. QUALITY ESG FUND
2020			2019			2020			2019			2020			2019
	$3,230			$3,421			$32,044			$28,757			$1,569			$516
	(1,587	)		24,091			133,958			271,088			(683	)		41
	(106,107	)		(17,136	)		(953,587	)		(289,154	)		(10,846	)		1,914
	(104,464	)		10,376			(787,585	)		10,691			(9,960	)		2,471
	16,577			(10,739	)		100,834			(285,433	)		79,589			13,575
	16,577			(10,739	)		100,834			(285,433	)		79,589			13,575
	(29,297	)		(4,899	)		(208,800	)		(291,335	)		(2,023	)		(732	)
	(29,297	)		(4,899	)		(208,800	)		(291,335	)		(2,023	)		(732	)
	(117,184	)		(5,262	)		(895,551	)		(566,077	)		67,606			15,314
	461,250			466,512			2,972,451			3,538,528			38,168			22,854
	$344,066			$461,250			$2,076,900			$2,972,451			$105,774			$38,168

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 EQUITY FUNDS

EQUITY FUNDS

FINANCIAL HIGHLIGHTS

INCOME EQUITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$12.95			$13.96			$13.39			$12.22			$12.74
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.26			0.28			0.27			0.27			0.27
Net realized and unrealized gains (losses)		(1.63	)		0.56			1.36			1.29			(0.09	)
Total from Investment Operations		(1.37	)		0.84			1.63			1.56			0.18
LESS DISTRIBUTIONS PAID:
From net investment income		(0.26	)		(0.28	)		(0.27	)		(0.27	)		(0.27	)
From net realized gains		(0.90	)		(1.57	)		(0.79	)		(0.12	)		(0.43	)
Total Distributions Paid		(1.16	)		(1.85	)		(1.06	)		(0.39	)		(0.70	)
Net Asset Value, End of Year		$10.42			$12.95			$13.96			$13.39			$12.22
Total Return(1)		(12.44	)%(2)		7.66	%(3)		12.08	%		12.94	%		1.62	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$115,562			$187,632			$217,214			$230,511			$239,540
Ratio to average net assets of:
Expenses, net of reimbursements and credits(4)		1.02	%		1.01	%		1.01	%		1.01	%		1.00	%
Expenses, before reimbursements and credits		1.12	%		1.12	%		1.11	%		1.15	%		1.13	%
Net investment income, net of reimbursements and credits(4)		1.89	%		2.01	%		1.88	%		2.07	%		2.12	%
Net investment income, before reimbursements and credits		1.79	%		1.90	%		1.78	%		1.93	%		1.99	%
Portfolio Turnover Rate		76.34	%		40.94	%		23.14	%		32.17	%		13.14	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) During the fiscal year ended March 31, 2020, the Fund received monies related to certain nonrecurring litigation proceeds. If these monies were not received, the total return would have been (12.98)%.

(3) During the fiscal year ended March 31, 2019, the Fund received monies related to certain nonrecurring litigation proceeds. If these monies were not received, the total return would have been 7.16%.

(4) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $1,000, $2,000, $3,000 and $5,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $3,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

EQUITY FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

INTERNATIONAL EQUITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.36			$10.16			$9.06			$8.12			$9.39
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.37			0.37			0.21			0.14			0.17
Net realized and unrealized gains (losses)		(2.23	)		(0.94	)		1.01			0.93			(1.27	)
Total from Investment Operations		(1.86	)		(0.57	)		1.22			1.07			(1.10	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.36	)		(0.23	)		(0.12	)		(0.13	)		(0.17	)
Total Distributions Paid		(0.36	)		(0.23	)		(0.12	)		(0.13	)		(0.17	)
Net Asset Value, End of Year		$7.14			$9.36			$10.16			$9.06			$8.12
Total Return(2)		(20.78	)%		(5.36	)%		13.50	%		13.32	%		(11.78	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$122,189			$203,688			$262,902			$154,784			$153,111
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.55	%		0.51	%		0.51	%		0.93	%(4)		1.08	%
Expenses, before reimbursements and credits		0.67	%		0.69	%		0.81	%		1.23	%		1.22	%
Net investment income, net of reimbursements and credits(3)		3.14	%		3.18	%		2.53	%		1.67	%(4)		1.66	%
Net investment income, before reimbursements and credits		3.02	%		3.00	%		2.23	%		1.37	%		1.52	%
Portfolio Turnover Rate		33.97	%		59.45	%		101.53	%		101.07	%		12.78	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $1,000, $1,000, $3,000 and $1,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $1,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Effective January 1, 2017, the investment adviser agreed to increase the expense reimbursements it provides to the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.50%. Prior to January 1, 2017, the expense limitation had been 1.06%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 EQUITY FUNDS

EQUITY FUNDS

FINANCIAL HIGHLIGHTS continued

LARGE CAP CORE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$19.36			$18.88			$16.98			$15.10			$15.42
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.39			0.34			0.31			0.30			0.28
Net realized and unrealized gains (losses)		(2.44	)		0.65			2.11			1.88			(0.32	)
Total from Investment Operations		(2.05	)		0.99			2.42			2.18			(0.04	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.39	)		(0.34	)		(0.31	)		(0.30	)		(0.28	)
From net realized gains		(0.46	)		(0.17	)		(0.21	)		–			–
Total Distributions Paid		(0.85	)		(0.51	)		(0.52	)		(0.30	)		(0.28	)
Net Asset Value, End of Year		$16.46			$19.36			$18.88			$16.98			$15.10
Total Return(1)		(11.28	)%		5.45	%		14.34	%		14.60	%		(0.22	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$164,695			$245,220			$244,798			$127,255			$144,226
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.46	%		0.46	%		0.46	%		0.49	%(3)		0.59	%
Expenses, before reimbursements and credits		0.56	%		0.56	%		0.58	%		0.63	%		0.59	%
Net investment income, net of reimbursements and credits(2)		1.85	%		1.76	%		1.75	%		1.85	%(3)		1.82	%
Net investment income, before reimbursements and credits		1.75	%		1.66	%		1.63	%		1.71	%		1.82	%
Portfolio Turnover Rate		37.90	%		45.92	%		50.70	%		66.77	%		56.10	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $1,000, $2,000, $1,000 and $1,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $1,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(3) Effective June 15, 2016, the investment adviser agreed to increase the expense reimbursements it provides to the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to Financial Statements) to 0.45%. Prior to June 15, 2016, the expense limitation had been 0.60%.

See Notes to the Financial Statements.

EQUITY FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

LARGE CAP VALUE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$16.42			$15.83			$15.22			$12.95			$13.99
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.41			0.34			0.35			0.27			0.22
Net realized and unrealized gains (losses)		(3.62	)		0.50			0.64			2.22			(1.04	)
Total from Investment Operations		(3.21	)		0.84			0.99			2.49			(0.82	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.36	)		(0.25	)		(0.38	)		(0.22	)		(0.22	)
Total Distributions Paid		(0.36	)		(0.25	)		(0.38	)		(0.22	)		(0.22	)
Net Asset Value, End of Year		$12.85			$16.42			$15.83			$15.22			$12.95
Total Return(1)		(20.16	)%		5.52	%		6.43	%		19.29	%		(5.87	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$45,786			$85,581			$89,814			$93,854			$89,048
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.55	%		0.59	%		0.58	%		0.63	%(3)		0.87	%
Expenses, before reimbursements and credits		0.83	%		0.83	%		0.90	%		1.12	%		1.09	%
Net investment income, net of reimbursements and credits(2)		2.04	%		1.95	%		2.08	%		1.80	%(3)		1.58	%
Net investment income, before reimbursements and credits		1.76	%		1.71	%		1.76	%		1.31	%		1.36	%
Portfolio Turnover Rate		80.40	%		96.45	%		110.59	%		71.22	%		60.22	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $1,000, $2,000, $1,000 and $1,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $1,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(3) Effective June 15, 2016, the investment adviser agreed to increase the expense reimbursements it provides to the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.55%. Prior to June 15, 2016, the expense limitation had been 0.85%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 EQUITY FUNDS

EQUITY FUNDS

FINANCIAL HIGHLIGHTS continued

SMALL CAP CORE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$25.57			$25.47			$24.01			$19.56			$22.26
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.18			0.20			0.17			0.13			0.11
Net realized and unrealized gains (losses)		(5.53	)		0.19			2.40			4.48			(2.15	)
Total from Investment Operations		(5.35	)		0.39			2.57			4.61			(2.04	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.19	)		(0.16	)		(0.04	)		(0.14	)		(0.12	)
From net realized gains		(1.46	)		(0.13	)		(1.07	)		(0.02	)		(0.54	)
Total Distributions Paid		(1.65	)		(0.29	)		(1.11	)		(0.16	)		(0.66	)
Net Asset Value, End of Year		$18.57			$25.57			$25.47			$24.01			$19.56
Total Return(1)		(22.80	)%		1.68	%		10.66	%		23.57	%		(9.18	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$344,066			$461,250			$466,512			$490,643			$313,983
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.65	%		0.65	%		0.65	%		0.67	%(3)		0.75	%
Expenses, before reimbursements and credits		0.75	%		0.74	%		0.78	%		0.88	%		0.92	%
Net investment income, net of reimbursements and credits(2)		0.70	%		0.73	%		0.64	%		0.67	%(3)		0.59	%
Net investment income, before reimbursements and credits		0.60	%		0.64	%		0.51	%		0.46	%		0.42	%
Portfolio Turnover Rate		18.74	%		20.96	%		6.28	%		16.21	%		14.31	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $21,000, $13,000, $14,000 and $17,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $12,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(3) Effective June 15, 2016, the investment adviser agreed to increase the expense reimbursements it provides to the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.65%. Prior to June 15, 2016, the expense limitation had been 0.75%.

See Notes to the Financial Statements.

EQUITY FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SMALL CAP VALUE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$20.18			$22.71			$24.00			$19.81			$21.61
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.22			0.21			0.20			0.19			0.24
Net realized and unrealized gains (losses)		(5.45	)		(0.59	)		0.79			4.55			(1.17	)
Total from Investment Operations		(5.23	)		(0.38	)		0.99			4.74			(0.93	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.23	)		(0.16	)		(0.21	)		(0.22	)		(0.23	)
From net realized gains		(1.23	)		(1.99	)		(2.07	)		(0.33	)		(0.64	)
Total Distributions Paid		(1.46	)		(2.15	)		(2.28	)		(0.55	)		(0.87	)
Net Asset Value, End of Year		$13.49			$20.18			$22.71			$24.00			$19.81
Total Return(1)		(28.43	)%		(0.45	)%		3.76	%		23.82	%		(4.22	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$2,076,900			$2,972,451			$3,538,528			$3,777,051			$2,914,311
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		1.00	%		1.00	%		1.00	%		1.00	%		1.00	%
Expenses, before reimbursements and credits		1.10	%		1.12	%		1.13	%		1.22	%		1.23	%
Net investment income, net of reimbursements and credits(2)		1.09	%		0.86	%		0.82	%		0.89	%		1.13	%
Net investment income, before reimbursements and credits		0.99	%		0.74	%		0.69	%		0.67	%		0.90	%
Portfolio Turnover Rate		14.18	%		16.02	%		18.65	%		11.48	%		25.31	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $138,000, $110,000, $119,000 and $184,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $91,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 EQUITY FUNDS

EQUITY FUNDS

FINANCIAL HIGHLIGHTS continued

U.S. QUALITY ESG FUND
Selected per share data	2020			2019			2018(1)
Net Asset Value, Beginning of Period		$11.15			$10.46			$10.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.16			0.17			0.06
Net realized and unrealized gains (losses)		(0.90	)		0.77			0.46
Total from Investment Operations		(0.74	)		0.94			0.52
LESS DISTRIBUTIONS PAID:
From net investment income		(0.17	)		(0.16	)		(0.06	)
From net realized gains		(0.04	)		(0.09	)		–
Total Distributions Paid		(0.21	)		(0.25	)		(0.06	)
Net Asset Value, End of Period		$10.20			$11.15			$10.46
Total Return(2)		(6.69	)%		9.09	%		5.17	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of period		$105,774			$38,168			$22,854
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.43	%		0.43	%		0.43	%(4)
Expenses, before reimbursements and credits		0.59	%		1.32	%		2.08	%(4)
Net investment income, net of reimbursements and credits(3)		1.50	%		1.69	%		1.53	%(4)(5)
Net investment income (loss), before reimbursements and credits		1.34	%		0.80	%		(0.12	)%(4)(5)
Portfolio Turnover Rate		19.16	%		51.43	%		10.19	%

(1) Commenced investment operations on October 2, 2017.

(2) Assumes investment at net asset value at the beginning of the period, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the period. The total return is not annualized for periods less than one year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of less than $4,000, which represents less than 0.01 percent of average net assets for the fiscal year ended March 31, 2020 and less than $1,000, which represents less than 0.01 percent of average net assets for the fiscal year ended March 31, 2019 and for the period from October 2, 2017 (commencement of operations) to March 31, 2018. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Annualized for periods less than one year.

(5) As the Fund commenced investment operations on October 2, 2017, annualized net investment income may not be reflective of actual amounts the Fund might obtain in a full year of operation.

See Notes to the Financial Statements.

EQUITY FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

INCOME EQUITY FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4%
Aerospace & Defense – 1.8%
Lockheed Martin Corp.		6,078		$2,060
Apparel & Textile Products – 0.7%
VF Corp.		14,363		777
Asset Management – 0.7%
Ameriprise Financial, Inc.		7,359		754
Banking – 5.9%
Bank of America Corp.		17,626		374
CIT Group, Inc.		52,419		905
Citigroup, Inc.		55,153		2,323
JPMorgan Chase & Co.		35,590		3,204
				6,806
Biotechnology & Pharmaceuticals – 9.9%
AbbVie, Inc.		17,677		1,347
Amgen, Inc.		10,903		2,210
Eli Lilly & Co.		13,925		1,932
Johnson & Johnson		13,839		1,815
Merck & Co., Inc.		19,997		1,538
Pfizer, Inc.		78,452		2,561
				11,403
Chemicals – 1.2%
CF Industries Holdings, Inc.		23,396		636
Huntsman Corp.		50,830		734
				1,370
Construction Materials – 0.9%
MDU Resources Group, Inc.		51,069		1,098
Consumer Products – 6.3%
Clorox (The) Co. (1)		4,077		706
Colgate-Palmolive Co.		22,792		1,512
General Mills, Inc.		16,948		894
Kimberly-Clark Corp. (1)		6,004		768
PepsiCo, Inc.		140		17
Philip Morris International, Inc.		32,713		2,387
Procter & Gamble (The) Co.		8,762		964
				7,248
Distributors – Consumer Staples – 1.1%
Sysco Corp.		28,100		1,282
Electrical Equipment – 0.9%
Emerson Electric Co.		18,911		901
Johnson Controls International PLC		4,087		110
				1,011
Forest & Paper Products – 0.6%
Domtar Corp.		32,057		694

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% – continued
Gaming, Lodging & Restaurants – 1.2%
MGM Resorts International		56,274		$664
Wyndham Destinations, Inc.		34,620		751
				1,415
Hardware – 11.4%
Apple, Inc. (1)		34,488		8,770
Cisco Systems, Inc.		65,295		2,567
HP, Inc.		53,839		935
Seagate Technology PLC		19,678		960
				13,232
Health Care Facilities & Services – 1.3%
Cardinal Health, Inc.		18,911		907
UnitedHealth Group, Inc.		2,604		649
				1,556
Home & Office Products – 0.2%
Newell Brands, Inc.		21,620		287
Institutional Financial Services – 0.1%
Morgan Stanley		3,491		119
Insurance – 1.5%
Aflac, Inc.		25,377		869
Allstate (The) Corp.		6,541		600
Berkshire Hathaway, Inc., Class B *		1,205		220
				1,689
Machinery–3.1%
Caterpillar, Inc.		14,697		1,705
GrafTech International Ltd.		93,087		756
Illinois Tool Works, Inc.		7,779		1,106
				3,567
Media – 5.8%
Alphabet, Inc., Class A (1)*		2,368		2,752
Comcast Corp., Class A		66,297		2,279
Facebook, Inc., Class A (1)*		3,062		511
Omnicom Group, Inc.		15,252		838
Sirius XM Holdings, Inc.		76,967		380
				6,760
Medical Equipment & Devices – 1.7%
Baxter International, Inc.		7,716		627
DENTSPLY SIRONA, Inc.		13,620		529
Hill-Rom Holdings, Inc.		6,962		700
Thermo Fisher Scientific, Inc.		388		110
				1,966
Oil, Gas & Coal – 3.2%
Chevron Corp.		463		34

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

INCOME EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% continued
Oil, Gas & Coal – 3.2% continued
ConocoPhillips		40,820		$1,257
Helmerich & Payne, Inc.		59,808		936
HollyFrontier Corp.		29,751		729
Valero Energy Corp.		15,387		698
				3,654
Real Estate Investment Trusts – 5.2%
Apartment Investment & Management Co., Class A		23,698		833
Brandywine Realty Trust		87,250		918
Corporate Office Properties Trust		46,004		1,018
Federal Realty Investment Trust		11,316		844
Mid-America Apartment Communities, Inc.		1,789		184
Service Properties Trust		74,691		403
Vornado Realty Trust		26,352		954
Weingarten Realty Investors		58,923		850
				6,004
Retail – Consumer Staples – 2.1%
Target Corp.		2,239		208
Walmart, Inc.		19,855		2,256
				2,464
Retail – Discretionary – 5.3%
Amazon.com, Inc. (1)*		1,535		2,993
Best Buy Co., Inc.		5,945		339
Home Depot (The), Inc.		14,721		2,748
				6,080
Semiconductors – 5.3%
Intel Corp.		12,032		651
Lam Research Corp.		4,271		1,025
Maxim Integrated Products, Inc.		6,415		312
QUALCOMM, Inc.		30,366		2,054
Texas Instruments, Inc.		20,834		2,082
				6,124
Software – 7.5%
Activision Blizzard, Inc.		20,069		1,194
Intuit, Inc. (NASDAQ Exchange)		4,115		947
Microsoft Corp.		29,278		4,617
Oracle Corp.		38,966		1,883
				8,641
Specialty Finance – 5.3%
American Express Co.		17,844		1,528
Mastercard, Inc., Class A		8,201		1,981

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% – continued
Specialty Finance – 5.3% continued
Navient Corp.		158,613		$1,202
Santander Consumer U.S.A. Holdings, Inc.		35,597		495
Visa, Inc., Class A		6,026		971
				6,177
Technology Services – 1.1%
Accenture PLC, Class A		5,004		817
International Business Machines Corp.		3,746		416
				1,233
Telecom – 1.5%
AT&T, Inc.		19,574		570
Verizon Communications, Inc.		21,976		1,181
				1,751
Transportation Equipment – 0.7%
Cummins, Inc.		6,345		859
Utilities – 4.9%
Exelon Corp.		29,175		1,074
FirstEnergy Corp.		14,408		577
Hawaiian Electric Industries, Inc.		12,272		528
NRG Energy, Inc.		37,405		1,020
OGE Energy Corp.		28,591		879
PPL Corp.		19,866		490
Public Service Enterprise Group, Inc.		23,418		1,052
				5,620
Total Common Stocks
(Cost $100,183)				113,701
INVESTMENT COMPANIES – 1.5%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (2)(3)		1,765,821		1,766
Total Investment Companies
(Cost $1,766)				1,766

See Notes to the Financial Statements.

EQUITY FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.4%
U.S. Treasury Bill, 1.24%, 7/16/20 (4)(5)		$385		$385
Total Short-Term Investments
(Cost $384)				385
Total Investments – 100.3%
(Cost $102,333)				115,852
Liabilities less Other Assets – (0.3%)				(290	)
NET ASSETS – 100.0%				$115,562

(1) Security represents underlying investment on open written option contracts.

(2) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(3) 7-day current yield as of March 31, 2020 is disclosed.

(4) Discount rate at the time of purchase.

(5) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC - Public Limited Company

S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P 500		17		$2,184		Long		06/20		$184

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the Fund had open written call options as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		VALUE (000s)
Alphabet, Inc., Exp. Date 4/17/20, Strike Price $1,350.00		(23)		$(2,672)		$(2)
Amazon.com, Inc., Exp. Date 4/17/20, Strike Price $2,300.00		(15)		(2,925)		(3)
Apple, Inc., Exp. Date 4/17/20, Strike Price $300.00		(172)		(4,374)		(4)

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		VALUE (000s)
Clorox (The) Co., Exp. Date 4/17/20, Strike Price $195.00		(40)		$(693)		$(4)
Facebook, Inc., Exp. Date 4/17/20, Strike Price $190.00		(30)		(500)		(1)
Kimberly-Clark Corp., Exp. Date 4/17/20, Strike Price $155.00		(60)		(767)		(2)
Total Written Options Contracts						$(16)
(Premiums Received (000s) $56)

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		8.5%
Consumer Discretionary		7.7
Consumer Staples		9.5
Energy		3.2
Financials		11.1
Health Care		13.1
Industrials		6.6
Information Technology		27.3
Materials		1.8
Real Estate		5.3
Utilities		5.9
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks(1)		$113,701		$ –		$–		$113,701
Investment Companies		1,766		–		–		1,766
Short-Term Investments		–		385		–		385
Total Investments		$115,467		$385		$–		$115,852

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

INCOME EQUITY FUND continued MARCH 31, 2020

INVESTMENTS	LEVEL 1 (000s)			LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$184			$–		$–		$184
Liabilities
Written Options		(16	)		–		–		(16	)
Total Other Financial Instruments		$168			$–		$–		$168

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1)
Australia – 4.9%
AGL Energy Ltd.		18,803		$201
Aurizon Holdings Ltd.		200,062		518
AusNet Services		163,309		173
Australia & New Zealand Banking Group Ltd.		107,221		1,156
BHP Group Ltd.		20,190		367
Coca-Cola Amatil Ltd.		26,927		149
CSL Ltd.		1,084		197
Fortescue Metals Group Ltd.		214,287		1,309
Harvey Norman Holdings Ltd.		169,843		306
Lendlease Group		28,111		177
Macquarie Group Ltd.		4,408		240
Santos Ltd.		107,149		232
Sonic Healthcare Ltd.		21,342		320
Telstra Corp. Ltd.		350,639		669
				6,014
Austria – 0.9%
OMV A.G.		10,945		303
Raiffeisen Bank International A.G.		52,806		775
				1,078
Belgium – 1.0%
Ageas		8,518		355
Colruyt S.A.		794		43
Proximus S.A.DP		34,914		801
				1,199
Canada – 8.0%
Air Canada *		873		10
Alimentation Couche-Tard, Inc., Class B		34,469		812
AltaGas Ltd.		14,240		129
Atco Ltd., Class I		5,252		145
Canadian Natural Resources Ltd.		37,654		515
Canadian Pacific Railway Ltd.		2,908		642
Canadian Tire Corp. Ltd., Class A		1,129		68
CGI, Inc. *		8,837		478
CI Financial Corp.		86,082		855
Constellation Software, Inc.		223		203
Fortis, Inc.		349		13
Hydro One Ltd. (2)		12,285		221
iA Financial Corp., Inc.		26,849		844
Kinross Gold Corp. *		176,628		709
Magna International, Inc.		362		12
Manulife Financial Corp.		95,748		1,202
Methanex Corp.		11,611		141

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
Canada – 8.0% – continued
National Bank of Canada		10,688		$413
Nutrien Ltd.		6,377		218
Quebecor, Inc., Class B		3,073		68
TC Energy Corp.		38,397		1,707
Teck Resources Ltd., Class B		24,216		184
Thomson Reuters Corp.		1,803		123
				9,712
China – 0.5%
Yangzijiang Shipbuilding Holdings Ltd.		1,145,100		669
Denmark – 1.4%
Carlsberg A/S, Class B		9,503		1,079
Novo Nordisk A/S, Class B		2,677		161
Pandora A/S		2,365		77
Vestas Wind Systems A/S		5,440		443
				1,760
Finland – 1.8%
Fortum OYJ		1,459		22
Metso OYJ		18,757		447
Orion OYJ, Class B		11,896		488
UPM-Kymmene OYJ		44,744		1,233
				2,190
France – 8.5%
BNP Paribas S.A.		38,661		1,165
Capgemini S.E.		11,240		951
Cie de Saint-Gobain		3,353		81
Cie Generale des Etablissements Michelin S.C.A.		11,525		1,026
Covivio		12,402		699
Dassault Aviation S.A.		997		820
Engie S.A.		28,581		296
Eutelsat Communications S.A.		44,868		470
Ingenico Group S.A.		8,043		855
Kering S.A.		221		115
LVMH Moet Hennessy Louis Vuitton S.E.		4,149		1,540
Peugeot S.A.		15,951		213
Sanofi		16,436		1,447
Schneider Electric S.E.		5,526		476
Sodexo S.A.		2,962		201
				10,355
Germany – 6.5%
adidas A.G.		2,322		534
Allianz S.E. (Registered)		4,991		860
Covestro A.G. (2)		27,778		863

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
Germany – 6.5% – continued
E.ON S.E.		5,777		$61
Fraport A.G. Frankfurt Airport Services Worldwide		12,506		508
HeidelbergCement A.G.		13,276		579
HOCHTIEF A.G.		3,979		265
LANXESS A.G.		256		10
Merck KGaA		12,568		1,303
RWE A.G.		10,914		292
SAP S.E.		15,641		1,797
Siemens A.G. (Registered)		2,971		256
Siemens Healthineers A.G. (2)		9,410		373
Uniper S.E.		7,262		182
				7,883
Hong Kong – 2.9%
BOC Hong Kong Holdings Ltd.		319,740		881
CK Asset Holdings Ltd.		217,879		1,185
CK Hutchison Holdings Ltd.		45,234		303
CK Infrastructure Holdings Ltd.		12,877		68
CLP Holdings Ltd.		1,256		12
Hong Kong & China Gas Co. Ltd.		10,782		18
WH Group Ltd. (2)		1,126,950		1,047
				3,514
Ireland – 0.1%
AerCap Holdings N.V. *		6,037		138
Israel – 1.5%
Bank Leumi Le-Israel B.M.		141,428		782
Check Point Software Technologies Ltd. *		10,548		1,061
Mizrahi Tefahot Bank Ltd.		2,477		46
				1,889
Italy – 2.0%
Enel S.p.A.		102,188		711
Intesa Sanpaolo S.p.A.		178,778		292
Leonardo S.p.A.		7,940		53
Mediobanca Banca di Credito Finanziario S.p.A.		41,540		229
Poste Italiane S.p.A. (2)		118,253		1,002
Snam S.p.A.		23,899		110
				2,397
Japan – 24.1%
ABC-Mart, Inc.		20,100		1,008
Alfresa Holdings Corp.		55,109		1,028
Asahi Group Holdings Ltd.		31,100		1,010

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
Japan – 24.1% – continued
Astellas Pharma, Inc.		96,000		$1,486
Bridgestone Corp.		30,510		939
Brother Industries Ltd.		55,422		847
Central Japan Railway Co.		7,739		1,240
Chubu Electric Power Co., Inc.		18,600		262
Daito Trust Construction Co. Ltd.		3,620		338
Daiwa House Industry Co. Ltd.		43,600		1,080
East Japan Railway Co.		7,600		576
FUJIFILM Holdings Corp.		1,200		60
Hitachi Ltd.		33,000		960
Honda Motor Co. Ltd.		11,000		247
Hoya Corp.		3,300		281
ITOCHU Corp.		73,727		1,530
Japan Airlines Co. Ltd.		5,200		96
Kajima Corp.		5,200		53
Kamigumi Co. Ltd.		39,900		675
KDDI Corp.		51,219		1,514
Kurita Water Industries Ltd.		5,700		132
Marubeni Corp.		23,600		118
Mitsubishi Chemical Holdings Corp.		42,400		252
Mitsubishi Corp.		6,300		134
Mitsubishi UFJ Lease & Finance Co. Ltd.		27,200		134
Mitsui & Co. Ltd.		20,000		278
Nippon Telegraph & Telephone Corp.		6,434		153
Nomura Real Estate Holdings, Inc.		5,300		86
NTT DOCOMO, Inc.		52,100		1,638
Obayashi Corp.		43,800		375
ORIX Corp.		51,500		619
Otsuka Corp.		21,100		903
Resona Holdings, Inc.		172,800		520
Sekisui House Ltd.		7,300		121
Subaru Corp.		22,700		436
Sumitomo Heavy Industries Ltd.		23,900		431
Sumitomo Mitsui Financial Group, Inc.		55,600		1,351
Sundrug Co. Ltd.		2,500		80
Suntory Beverage & Food Ltd.		21,776		824
Suzuken Co. Ltd.		5,400		197
Tokyo Electric Power Co. Holdings, Inc. *		41,200		144
Tokyo Electron Ltd.		6,000		1,128
Toppan Printing Co. Ltd.		43,500		667
Tosoh Corp.		77,044		876

See Notes to the Financial Statements.

EQUITY FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
Japan – 24.1% – continued
Toyota Motor Corp.		43,800		$2,637
West Japan Railway Co.		600		41
				29,505
Macau – 0.4%
Sands China Ltd.		90,630		330
Wynn Macau Ltd.		143,384		217
				547
Netherlands – 3.4%
ABN AMRO Bank N.V. – C.V.A. (2)		42,326		347
Akzo Nobel N.V.		5,018		331
ASML Holding N.V.		861		229
EXOR N.V.		4,532		233
Koninklijke Ahold Delhaize N.V.		40,872		957
Royal Dutch Shell PLC, Class B		119,600		2,005
				4,102
New Zealand – 0.5%
Fisher & Paykel Healthcare Corp. Ltd.		27,204		493
Mercury NZ Ltd.		62,155		156
				649
Norway – 1.3%
DNB ASA		50,140		563
Equinor ASA		76,387		962
				1,525
Portugal – 0.2%
EDP – Energias de Portugal S.A.		67,294		270
Singapore – 1.4%
DBS Group Holdings Ltd.		44,500		582
United Overseas Bank Ltd.		82,457		1,129
				1,711
Spain – 1.3%
ACS Actividades de Construccion y Servicios S.A.		33,844		661
Banco Bilbao Vizcaya Argentaria S.A.		58,462		187
Enagas S.A.		9,080		181
Iberdrola S.A.		57,144		564
				1,593
Sweden – 2.6%
Essity AB, Class B		4,827		149
Hennes & Mauritz AB, Class B		51,611		664
ICA Gruppen AB		7,829		330
Sandvik AB		25,620		364

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
Sweden – 2.6% – continued
Skandinaviska Enskilda Banken AB, Class A *		132,070		$893
Skanska AB, Class B *		8,662		132
SKF AB, Class B		35,450		488
Volvo AB, Class B		13,005		156
				3,176
Switzerland – 9.1%
Adecco Group A.G. (Registered)		17,138		676
Nestle S.A. (Registered)		33,625		3,466
Novartis A.G. (Registered)		19,141		1,582
Roche Holding A.G. (Genusschein)		11,913		3,873
Swisscom A.G. (Registered)		2,804		1,511
				11,108
United Kingdom – 13.4%
3i Group PLC		104,881		1,026
Anglo American PLC		60,546		1,058
Ashtead Group PLC		10,206		227
BAE Systems PLC		46,313		299
Barratt Developments PLC		44,365		242
Berkeley Group Holdings (The) PLC		16,431		735
British American Tobacco PLC		42,793		1,461
BT Group PLC		163,777		239
Fiat Chrysler Automobiles N.V.		64,170		462
GlaxoSmithKline PLC		107,486		2,016
Imperial Brands PLC		37,906		703
Legal & General Group PLC		421,945		1,009
Meggitt PLC		147,948		536
National Grid PLC		35,139		412
Next PLC		930		47
Pearson PLC		80,143		553
Persimmon PLC		16,950		401
Rio Tinto PLC		11,776		541
Segro PLC		2,816		27
Smith & Nephew PLC		26,548		471
SSE PLC		9,539		154
Standard Chartered PLC		159,550		879
Standard Life Aberdeen PLC		29,948		83
Tesco PLC		55,295		157
Unilever N.V.		51,400		2,532
United Utilities Group PLC		3,970		44
				16,314

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% (1) – continued
United States – 0.0%
Bausch Health Cos., Inc. *		2,290		$35
Total Common Stocks
(Cost $152,963)				119,333
INVESTMENT COMPANIES – 1.2%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (3)(4)		1,535,301		1,535
Total Investment Companies
(Cost $1,535)				1,535
Total Investments – 98.9%
(Cost $154,498)				120,868
Other Assets less Liabilities – 1.1%				1,321
Net Assets – 100.0%				$122,189

(1) Adjustment factors were provided by an independent evaluation service to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(4) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC – Public Limited Company

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
Euro Stoxx 50 (Euro)		41		$1,242		Long		6/20		$174
FTSE 100 Index (British Pound)		7		490		Long		6/20		59

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
S&P/TSX 60 Index (Canadian Dollar)		2		$231		Long		6/20		$ 32
SPI 200 Index (Australian Dollar)		6		471		Long		6/20		36
Yen Denominated Nikkei 225 (Japanese Yen)		7		607		Long		6/20		50
Total										$351

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		6.4%
Consumer Discretionary		10.5
Consumer Staples		12.4
Energy		4.8
Financials		17.3
Health Care		13.2
Industrials		13.1
Information Technology		7.9
Materials		7.3
Real Estate		3.0
Utilities		4.1
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
Euro		26.9%
Japanese Yen		24.7
British Pound		12.8
Swiss Franc		9.3
Canadian Dollar		8.2
Australian Dollar		5.0
All other currencies less than 5%		13.1
Total		100.0%

See Notes to the Financial Statements.

EQUITY FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Canada		$9,712		$–		$–		$ 9,712
Ireland		138		–		–		138
Israel		1,061		828		–		1,889
New Zealand		493		156		–		649
United States		35		–		–		35
All Other Countries (1)		–		106,910		–		106,910
Total Common Stocks		11,439		107,894		–		119,333
Investment Companies		1,535		–		–		1,535
Total Investments		$12,974		$107,894		$–		$120,868
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$351		$–		$–		$351

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

LARGE CAP CORE FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0%
Aerospace & Defense – 2.6%
Huntington Ingalls Industries, Inc.		6,711		$1,223
Lockheed Martin Corp.		5,138		1,741
Raytheon Co.		10,131		1,329
				4,293
Automotive – 0.1%
Gentex Corp.		8,212		182
Banking – 3.8%
Bank of America Corp.		102,268		2,171
Citigroup, Inc.		42,371		1,785
Citizens Financial Group, Inc.		42		1
JPMorgan Chase & Co.		16,346		1,472
Regions Financial Corp.		49,088		440
Wells Fargo & Co.		12,304		353
				6,222
Biotechnology & Pharmaceuticals – 8.2%
AbbVie, Inc.		10,736		818
Amgen, Inc.		9,522		1,931
Biogen, Inc. *		4,761		1,506
Bristol-Myers Squibb Co.		13,780		768
Eli Lilly & Co.		13,686		1,899
Gilead Sciences, Inc.		4,105		307
Johnson & Johnson		26,030		3,413
Merck & Co., Inc.		33,388		2,569
Pfizer, Inc.		10,453		341
				13,552
Chemicals – 1.0%
3M Co.		809		110
Celanese Corp.		11,819		867
LyondellBasell Industries N.V., Class A		6,563		326
PPG Industries, Inc.		4,923		412
				1,715
Commercial Services – 1.0%
H&R Block, Inc.		55,926		788
ManpowerGroup, Inc.		2,739		145
Robert Half International, Inc.		19,052		719
				1,652
Construction Materials – 0.8%
Carlisle Cos., Inc.		8,306		1,041
Eagle Materials, Inc.		6,197		362
				1,403
Consumer Products – 5.7%
Altria Group, Inc.		13,267		513

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0% – continued
Consumer Products – 5.7% – continued
Campbell Soup Co.		10,168		$469
Coca-Cola (The) Co.		7,768		344
General Mills, Inc.		18,049		953
Herbalife Nutrition Ltd. *		165		5
Hershey (The) Co.		3,292		436
Kimberly-Clark Corp.		9,786		1,251
PepsiCo, Inc.		15,786		1,896
Philip Morris International, Inc.		24,104		1,759
Procter & Gamble (The) Co.		16,103		1,771
				9,397
Containers & Packaging – 0.1%
International Paper Co.		5,239		163
Design, Manufacturing & Distribution – 0.1%
SYNNEX Corp.		2,050		150
Distributors – Consumer Staples – 0.4%
Sysco Corp.		12,989		593
Electrical Equipment – 1.5%
Emerson Electric Co.		18,693		891
Hubbell, Inc.		9,481		1,088
Johnson Controls International PLC		20,312		547
				2,526
Gaming, Lodging & Restaurants – 0.6%
Domino’s Pizza, Inc.		593		192
Starbucks Corp.		1,632		108
Wyndham Destinations, Inc.		30,380		659
				959
Hardware – 7.6%
Apple, Inc.		36,151		9,193
Cisco Systems, Inc.		57,180		2,248
HP, Inc.		40,098		696
Seagate Technology PLC		2,339		114
Zebra Technologies Corp., Class A *		1,285		236
				12,487
Health Care Facilities & Services – 3.5%
AmerisourceBergen Corp.		12,351		1,093
Charles River Laboratories International, Inc. *		2,167		273
DaVita, Inc. *		2,065		157
Humana, Inc.		4,261		1,338
McKesson Corp.		6,906		934
UnitedHealth Group, Inc.		8,055		2,009
				5,804

See Notes to the Financial Statements.

EQUITY FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0% – continued
Home & Office Products – 1.6%
Masco Corp.		23,936		$827
NVR, Inc. *		467		1,200
PulteGroup, Inc.		27,867		622
Snap-on, Inc.		551		60
				2,709
Industrial Services – 0.2%
W.W. Grainger, Inc.		1,240		308
Institutional Financial Services – 2.6%
Goldman Sachs Group (The), Inc.		8,403		1,299
Jefferies Financial Group, Inc.		46,387		634
Morgan Stanley		39,947		1,358
State Street Corp.		19,014		1,013
				4,304
Insurance – 3.2%
Allstate (The) Corp.		3,591		329
American International Group, Inc.		10,074		244
Assured Guaranty Ltd.		35,884		926
Berkshire Hathaway, Inc., Class B *		9,527		1,742
Equitable Holdings, Inc.		57,238		827
MetLife, Inc.		38,583		1,180
				5,248
Iron & Steel – 0.7%
Reliance Steel & Aluminum Co.		12,349		1,081
Steel Dynamics, Inc.		1,360		31
				1,112
Leisure Products – 0.2%
Polaris, Inc.		7,294		351
Machinery – 0.2%
Dover Corp.		3,405		286
Media – 7.5%
Alphabet, Inc., Class A *		5,309		6,169
Comcast Corp., Class A		8,942		307
Facebook, Inc., Class A *		17,994		3,001
Interpublic Group of (The) Cos., Inc.		52,711		853
Netflix, Inc. *		1,854		696
Omnicom Group, Inc.		18,991		1,043
Walt Disney (The) Co.		2,823		273
				12,342
Medical Equipment & Devices – 3.9%
Abbott Laboratories		10,594		836
Baxter International, Inc.		15,288		1,241
Edwards Lifesciences Corp.*		4,032		760

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0% – continued
Medical Equipment & Devices – 3.9% continued
IDEXX Laboratories, Inc. *		1,860		$451
Medtronic PLC		23,142		2,087
Mettler-Toledo International, Inc. *		153		106
Stryker Corp.		692		115
Waters Corp. *		4,192		763
				6,359
Oil, Gas & Coal – 3.1%
Chevron Corp.		25,935		1,879
ConocoPhillips		47,687		1,469
Exxon Mobil Corp.		4,495		170
Helmerich & Payne, Inc.		25,936		406
HollyFrontier Corp.		17,864		438
Valero Energy Corp.		16,050		728
				5,090
Passenger Transportation – 0.6%
Southwest Airlines Co.		28,908		1,029
Real Estate – 0.5%
CBRE Group, Inc., Class A *		20,324		766
Real Estate Investment Trusts – 2.8%
Brixmor Property Group, Inc.		10,305		98
Equity Commonwealth		33,504		1,062
Gaming and Leisure Properties, Inc.		54,127		1,500
Host Hotels & Resorts, Inc.		40,409		446
Kimco Realty Corp.		4,938		48
Lamar Advertising Co., Class A		12,056		618
Weingarten Realty Investors		56,010		808
				4,580
Retail – Consumer Staples – 2.1%
Costco Wholesale Corp.		36		10
Target Corp.		13,835		1,286
Walmart, Inc.		19,535		2,220
				3,516
Retail – Discretionary – 6.1%
Amazon.com, Inc. *		2,932		5,716
AutoZone, Inc. *		1,113		942
Best Buy Co., Inc.		17,595		1,003
eBay, Inc.		36,148		1,087
Home Depot (The), Inc.		4,537		847
Lowe’s Cos., Inc.		5,315		457
				10,052
Semiconductors – 4.5%
Applied Materials, Inc.		30,067		1,378

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

LARGE CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0% – continued
Semiconductors – 4.5% – continued
Intel Corp.		53,984		$2,922
KLA Corp.		3,739		537
Lam Research Corp.		5,609		1,346
Texas Instruments, Inc.		11,956		1,195
				7,378
Software – 8.7%
Adobe, Inc. (NASDAQ Exchange) *		412		131
Citrix Systems, Inc.		5,536		784
Electronic Arts, Inc. *		10,368		1,039
Intuit, Inc. (NASDAQ Exchange)		913		210
Microsoft Corp.		65,617		10,348
Oracle Corp.		38,630		1,867
				14,379
Specialty Finance – 2.5%
Ally Financial, Inc.		3,071		44
Capital One Financial Corp.		21,302		1,074
Mastercard, Inc., Class A		2,619		633
Navient Corp.		41,945		318
Visa, Inc., Class A		6,733		1,085
Western Union (The) Co.		48,902		886
				4,040
Technology Services – 4.1%
Accenture PLC, Class A		11,412		1,863
Amdocs Ltd.		18,598		1,022
Booz Allen Hamilton Holding Corp.		5,249		360
CDW Corp.		1,241		116
Cognizant Technology Solutions Corp.,
Class A		5,453		254
International Business Machines Corp.		16,465		1,827
Leidos Holdings, Inc.		13,686		1,254
				6,696
Telecom – 2.7%
AT&T, Inc.		86,641		2,525
Verizon Communications, Inc.		36,529		1,963
				4,488
Transportation & Logistics – 0.2%
Landstar System, Inc.		3,042		292
Transportation Equipment – 0.7%
Cummins, Inc.		8,429		1,141
Utilities – 3.3%
AES Corp.		66,551		905
Ameren Corp.		15,156		1,104

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.0% – continued
Utilities – 3.3% – continued
Edison International		954		$52
Entergy Corp.		189		18
Exelon Corp.		32,031		1,179
FirstEnergy Corp.		29,844		1,196
NRG Energy, Inc.		11,678		318
Public Service Enterprise Group, Inc.		16,010		719
				5,491
Total Common Stocks
(Cost $143,693)				163,055
INVESTMENT COMPANIES – 1.8%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (1) (2)		2,973,690		2,974
Total Investment Companies
(Cost $2,974)				2,974
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.2%
U.S. Treasury Bill, 1.28%, 7/16/20 (3) (4)		$345		$345
Total Short-Term Investments
(Cost $343)				345
Total Investments – 101.0%
(Cost $147,010)				166,374
Liabilities less Other Assets – (1.0%)				(1,679	)
NET ASSETS – 100.0%				$164,695

(1) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(2) 7-day current yield as of March 31, 2020 is disclosed. (3) Discount rate at the time of purchase.

(4) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC - Public Limited Company

S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

EQUITY FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P 500		11		$1,413		Long		6/20		$115

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		10.9%
Consumer Discretionary		9.5
Consumer Staples		7.5
Energy		3.1
Financials		10.5
Health Care		15.8
Industrials		7.8
Information Technology		26.2
Materials		2.0
Real Estate		3.3
Utilities		3.4
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$163,055		$–		$–		$163,055
Investment Companies		2,974		–		–		2,974
Short-Term Investments		–		345		–		345
Total Investments		$166,029		$345		$–		$166,374
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$115		$–		$–		$ 115

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

LARGE CAP VALUE FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9%
Aerospace & Defense – 1.3%
Arconic, Inc.		8,403		$135
Spirit AeroSystems Holdings, Inc., Class A		4,868		117
Textron, Inc.		7,178		191
United Technologies Corp.		1,435		135
				578
Apparel & Textile Products – 0.3%
Hanesbrands, Inc.		16,501		130
Automotive – 1.0%
Aptiv PLC		355		17
Gentex Corp.		11,305		251
Lear Corp.		2,075		169
				437
Banking – 8.6%
Bank of America Corp.		53,707		1,140
Citigroup, Inc.		17,624		742
JPMorgan Chase & Co.		10,142		913
M&T Bank Corp.		2,865		297
Popular, Inc.		5,820		204
US Bancorp		5,081		175
Wells Fargo & Co.		17,081		490
				3,961
Biotechnology & Pharmaceuticals – 6.8%
Allergan PLC		1,128		200
Biogen, Inc. *		2,030		642
Johnson & Johnson		6,646		872
Mylan N.V. *		1,823		27
Pfizer, Inc.		41,727		1,362
				3,103
Chemicals – 1.7%
Dow, Inc.		16,229		475
Eastman Chemical Co.		4,921		229
LyondellBasell Industries N.V., Class A		1,451		72
				776
Commercial Services – 0.4%
ManpowerGroup, Inc.		3,387		179
Construction Materials – 0.5%
Carlisle Cos., Inc.		1,982		248
Consumer Products – 5.1%
General Mills, Inc.		13,054		689
JM Smucker (The) Co.		1,843		205
Molson Coors Beverage Co., Class B		6,524		254

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% continued
Consumer Products – 5.1% continued
Procter & Gamble (The) Co.		6,369		$701
TreeHouse Foods, Inc. *		7,253		320
Tyson Foods, Inc., Class A		2,871		166
				2,335
Containers & Packaging – 0.6%
International Paper Co.		9,123		284
Distributors – Consumer Staples – 1.2%
Archer-Daniels-Midland Co.		12,128		427
Bunge Ltd.		3,543		145
				572
Electrical Equipment – 4.7%
A.O. Smith Corp.		7,670		290
Acuity Brands, Inc.		2,549		219
Amphenol Corp., Class A		3,069		224
Eaton Corp. PLC		7,866		611
General Electric Co.		12,628		100
Hubbell, Inc.		2,260		259
Johnson Controls International PLC		16,943		457
				2,160
Forest & Paper Products – 0.5%
Domtar Corp.		9,764		211
Gaming, Lodging & Restaurants – 0.4%
Hilton Grand Vacations, Inc. *		10,217		161
Hardware – 0.6%
Cisco Systems, Inc.		6,172		242
Garmin Ltd.		22		2
Hewlett Packard Enterprise Co.		1,317		13
				257
Health Care Facilities & Services – 2.5%
Anthem, Inc.		575		131
Cigna Corp.		823		146
CVS Health Corp.		1,250		74
Humana, Inc.		1,647		517
MEDNAX, Inc. *		2,818		33
Universal Health Services, Inc., Class B		2,617		259
				1,160
Home & Office Products – 2.0%
D.R. Horton, Inc. (New York Exchange)		439		15
Lennar Corp., Class A		5,229		200
NVR, Inc. *		79		203
PulteGroup, Inc.		7,896		176

See Notes to the Financial Statements.

EQUITY FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% continued
Home & Office Products – 2.0% continued
Toll Brothers, Inc.		6,005		$116
Whirlpool Corp.		2,160		185
				895
Industrial Services – 0.6%
MSC Industrial Direct Co., Inc., Class A		4,646		255
Institutional Financial Services – 3.5%
Bank of New York Mellon (The) Corp.		12,572		423
Goldman Sachs Group (The), Inc.		4,055		627
Jefferies Financial Group, Inc.		896		12
Morgan Stanley		16,313		555
				1,617
Insurance – 6.5%
Aflac, Inc.		7,910		271
Allstate (The) Corp.		3,522		323
Assured Guaranty Ltd.		7,127		184
Athene Holding Ltd., Class A*		5,562		138
Berkshire Hathaway, Inc., Class B*		4,387		802
Chubb Ltd.		38		4
Hartford Financial Services Group (The), Inc.		4,046		143
Loews Corp.		7,008		244
MetLife, Inc.		15,611		477
RenaissanceRe Holdings Ltd.		874		131
White Mountains Insurance Group Ltd.		288		262
				2,979
Iron & Steel – 1.1%
Reliance Steel & Aluminum Co.		2,985		262
Steel Dynamics, Inc.		11,759		265
				527
Machinery – 0.2%
Oshkosh Corp. (New York Exchange)		1,539		99
Media – 2.9%
AMC Networks, Inc., Class A*		789		19
Comcast Corp., Class A		24,176		831
Discovery, Inc., Class A*		12,461		242
ViacomCBS, Inc., Class B		9,946		140
Walt Disney (The) Co.		1,167		113
				1,345
Medical Equipment & Devices – 7.3%
Abbott Laboratories		9,399		742
Agilent Technologies, Inc.		5,640		404
Baxter International, Inc.		2,047		166

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% continued
Medical Equipment & Devices – 7.3% continued
Becton Dickinson and Co.		2,669		$613
Medtronic PLC		11,416		1,029
Thermo Fisher Scientific, Inc.		1,399		397
				3,351
Oil, Gas & Coal – 4.9%
Chevron Corp.		14,029		1,017
Devon Energy Corp.		15,595		108
Exxon Mobil Corp.		13,213		502
Helmerich & Payne, Inc.		7,425		116
HollyFrontier Corp.		8,041		197
National Oilwell Varco, Inc.		10,905		107
Patterson-UTI Energy, Inc.		14,417		34
Range Resources Corp.		76,050		173
				2,254
Passenger Transportation – 0.6%
Delta Air Lines, Inc.		923		26
Southwest Airlines Co.		6,376		227
				253
Real Estate Investment Trusts – 6.0%
Alexandria Real Estate Equities, Inc.		1,431		196
American Homes 4 Rent, Class A		8,540		198
Apple Hospitality REIT, Inc.		21,984		202
Cousins Properties, Inc.		2,396		70
Host Hotels & Resorts, Inc.		22,032		243
Kimco Realty Corp.		10,282		100
Life Storage, Inc.		2,961		280
National Retail Properties, Inc.		6,319		203
Prologis, Inc. (New York Exchange)		9,667		777
Spirit Realty Capital, Inc.		3,927		103
Vornado Realty Trust		5,668		205
Weingarten Realty Investors		11,073		160
				2,737
Retail – Consumer Staples – 4.9%
Casey’s General Stores, Inc.		1,019		135
Target Corp.		7,449		693
Walgreens Boots Alliance, Inc.		2,370		108
Walmart, Inc.		11,501		1,307
				2,243
Retail – Discretionary – 0.2%
Williams-Sonoma, Inc.		2,442		104
Semiconductors – 4.3%
Analog Devices, Inc.		876		79

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

LARGE CAP VALUE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% – continued
Semiconductors – 4.3% – continued
Applied Materials, Inc.		927		$42
Broadcom, Inc.		527		125
Intel Corp.		18,522		1,002
Lam Research Corp.		1,024		246
Maxim Integrated Products, Inc.		5,051		246
Microchip Technology, Inc.		529		36
Skyworks Solutions, Inc.		173		15
Teradyne, Inc.		3,015		163
				1,954
Specialty Finance – 3.1%
Ally Financial, Inc.		12,826		185
Capital One Financial Corp.		6,331		319
Jack Henry & Associates, Inc.		1,860		289
MGIC Investment Corp.		25,341		161
Santander Consumer U.S.A. Holdings, Inc.		12,352		172
SLM Corp.		23,691		170
Synchrony Financial		7,917		127
				1,423
Technology Services – 2.0%
Accenture PLC, Class A		734		120
Amdocs Ltd.		4,860		267
Cognizant Technology Solutions Corp., Class A		7,096		330
International Business Machines Corp.		1,130		125
Leidos Holdings, Inc.		57		5
Sabre Corp.		8,278		49
				896
Telecom – 4.2%
AT&T, Inc.		48,294		1,408
Verizon Communications, Inc.		9,891		531
				1,939
Transportation Equipment – 1.0%
Cummins, Inc.		3,259		441
PACCAR, Inc.		624		38
				479
Utilities – 6.4%
Avangrid, Inc.		3,093		135
Consolidated Edison, Inc.		3,624		283
Duke Energy Corp.		57		5
Evergy, Inc.		5,272		290
Exelon Corp.		10,607		390
IDACORP, Inc.		3,047		268

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% – continued
Utilities – 6.4% – continued
National Fuel Gas Co.		4,001		$149
OGE Energy Corp.		7,871		242
Pinnacle West Capital Corp.		3,605		273
PPL Corp.		12,164		300
Public Service Enterprise Group, Inc.		7,572		340
Vistra Energy Corp.		15,791		252
				2,927
Total Common Stocks
(Cost $59,037)				44,829
INVESTMENT COMPANIES – 1.7%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (1) (2)		775,861		776
Total Investment Companies
(Cost $776)				776
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.3%
U.S. Treasury Bill, 1.47%, 7/16/20 (3) (4)		$150		$150
Total Short-Term Investments
(Cost $149)				150
Total Investments – 99.9%
(Cost $59,962)				45,755
Other Assets less Liabilities – 0.1%				31
NET ASSETS – 100.0%				$45,786

(1) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(2) 7-day current yield as of March 31, 2020 is disclosed.

(3) Security pledged as collateral to cover margin requirements for open futures contracts.

(4) Discount rate at the time of purchase.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC - Public Limited Company

REIT Real Estate Investment Trust

S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

EQUITY FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P 500		7		$899		Long		6/20		$41

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		7.3%
Consumer Discretionary		5.4
Consumer Staples		10.0
Energy		5.0
Financials		21.6
Health Care		17.0
Industrials		9.0
Information Technology		8.1
Materials		4.0
Real Estate		6.1
Utilities		6.5
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$44,829		$–		$–		$44,829
Investment Companies		776		–		–		776
Short-Term Investments		–		150		–		150
Total Investments		$45,605		$150		$–		$45,755
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$41		$ –		$–		$ 41

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3%
Aerospace & Defense – 1.6%
AAR Corp.		8,986		$160
Aerojet Rocketdyne Holdings, Inc. *		13,449		562
AeroVironment, Inc. *		4,672		285
American Outdoor Brands Corp. *		1,281		11
Astronics Corp. *		7,196		66
Astronics Corp., Class B *		3,668		33
Axon Enterprise, Inc. *		14,149		1,001
Barnes Group, Inc.		11,719		490
Ducommun, Inc. *		3,020		75
Kaman Corp.		7,253		279
Mercury Systems, Inc. *		11,395		813
Moog, Inc., Class A		8,066		408
Park Aerospace Corp.		2,878		36
Sturm Ruger & Co., Inc.		4,396		224
Woodward, Inc.		15,679		932
				5,375
Apparel & Textile Products – 0.7%
Crocs, Inc. *		19,643		334
Culp, Inc.		198		1
Deckers Outdoor Corp. *		5,634		755
Delta Apparel, Inc. *		8,338		87
Fossil Group, Inc. *		256		1
Movado Group, Inc.		3,450		41
Oxford Industries, Inc.		2,988		108
Steven Madden Ltd.		21,548		501
Superior Group of Cos., Inc.		7,572		64
Unifi, Inc. *		6,812		79
Weyco Group, Inc.		3,390		68
Wolverine World Wide, Inc.		26,380		401
				2,440
Asset Management – 1.0%
Altisource Asset Management Corp. *		3,068		42
Ares Management Corp., Class A		12,316		381
Artisan Partners Asset Management, Inc., Class A		10,372		223
Associated Capital Group, Inc., Class A		439		14
B. Riley Financial, Inc.		1,815		33
Bain Capital Specialty Finance, Inc.		5,963		55
Blucora, Inc. *		9,893		119
Boston Private Financial Holdings, Inc.		16,238		116
Brightsphere Investment Group, Inc.		8,797		56
Cohen & Steers, Inc.		5,862		266
Diamond Hill Investment Group, Inc.		996		90
Federated Hermes, Inc.		19,158		365

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Asset Management – 1.0% – continued
GAMCO Investors, Inc., Class A		426		$5
Hamilton Lane, Inc., Class A		4,301		238
Kennedy-Wilson Holdings, Inc.		21,582		290
Pzena Investment Management, Inc., Class A		4,695		21
Rafael Holdings, Inc., Class B *		5,572		71
Safeguard Scientifics, Inc.		826		5
Siebert Financial Corp. *		919		7
Stifel Financial Corp.		15,610		644
StoneCastle Financial Corp.		3,763		61
Virtus Investment Partners, Inc.		2,396		182
Waddell & Reed Financial, Inc., Class A		2,563		29
Westwood Holdings Group, Inc.		496		9
				3,322
Automotive – 0.6%
Adient PLC *		18,278		166
Cooper Tire & Rubber Co.		10,177		166
Dana, Inc.		37,076		290
Dorman Products, Inc. *		9,792		541
Gentherm, Inc. *		6,737		212
Methode Electronics, Inc.		7,612		201
Miller Industries, Inc.		8,736		247
Modine Manufacturing Co. *		2,602		8
Standard Motor Products, Inc.		7,171		298
				2,129
Banking – 9.3%
1st Source Corp.		5,648		183
Allegiance Bancshares, Inc.		4,238		102
American National Bankshares, Inc.		2,737		65
Ameris Bancorp		13,213		314
Ames National Corp.		2,634		54
Arrow Financial Corp.		8,328		232
Atlantic Union Bankshares Corp.		17,052		373
Axos Financial, Inc. *		14,655		266
Banc of California, Inc.		15,099		121
BancFirst Corp.		7,371		246
Banco Latinoamericano de Comercio Exterior S.A., Class E		8,161		84
Bancorp (The), Inc. *		800		5
BancorpSouth Bank		22,477		425
Bank of Hawaii Corp.		9,770		540
Bank of Marin Bancorp		8,033		241
Bank of NT Butterfield & Son (The) Ltd.		11,437		195
Bank of South Carolina Corp.		1,064		16

See Notes to the Financial Statements.

EQUITY FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Banking – 9.3% – continued
BankFinancial Corp.		1,816		$16
Bankwell Financial Group, Inc.		1,074		16
Banner Corp.		2,668		88
Bar Harbor Bankshares		4,427		76
BCB Bancorp, Inc.		508		5
Berkshire Bancorp, Inc. *		121		1
Bridge Bancorp, Inc.		3,964		84
Brookline Bancorp, Inc.		21,975		248
Bryn Mawr Bank Corp.		5,131		146
Burke & Herbert Bank & Trust Co.		20		39
C&F Financial Corp.		474		19
Cadence BanCorp		25,450		167
California First National Bancorp		1,583		21
Cambridge Bancorp		775		40
Camden National Corp.		4,144		130
Capital City Bank Group, Inc.		4,201		85
Capitol Federal Financial, Inc.		31,441		365
Capstar Financial Holdings, Inc.		8,002		79
Carolina Financial Corp.		5,594		145
Cathay General Bancorp		18,672		429
CenterState Bank Corp.		24,621		424
Central Pacific Financial Corp.		4,781		76
Century Bancorp, Inc., Class A		4,915		306
Citizens & Northern Corp.		774		15
City Holding Co.		5,879		391
Columbia Banking System, Inc.		13,961		374
Commercial National Financial Corp.		121		2
Community Bank System, Inc.		14,430		848
Community Trust Bancorp, Inc.		5,938		189
ConnectOne Bancorp, Inc.		5,241		70
Customers Bancorp, Inc. *		679		7
CVB Financial Corp.		24,631		494
Dime Community Bancshares, Inc.		7,543		103
Eagle Bancorp, Inc.		7,087		214
Eagle Financial Services, Inc.		100		2
Enterprise Bancorp, Inc.		2,124		57
Enterprise Financial Services Corp.		4,224		118
ESSA Bancorp, Inc.		10,035		137
Financial Institutions, Inc.		7,954		144
First Bancorp		8,106		187
First BanCorp (New York Exchange)		43,395		231
First Bancorp, Inc.		3,085		68
First Bancshares (The), Inc.		5,170		99
First Busey Corp.		10,816		185

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Banking – 9.3% – continued
First Commonwealth Financial Corp.		20,739		$190
First Community Bankshares, Inc.		4,797		112
First Defiance Financial Corp.		14,175		209
First Financial Bancorp		16,232		242
First Financial Bankshares, Inc.		26,288		706
First Financial Corp.		5,431		183
First Financial Northwest, Inc.		699		7
First Foundation, Inc.		5,580		57
First Internet Bancorp		5,701		94
First Interstate BancSystem, Inc., Class A		7,064		204
First Merchants Corp.		9,052		240
First Mid Bancshares, Inc.		37		1
First Midwest Bancorp, Inc.		18,035		239
First Northwest Bancorp		521		6
First of Long Island (The) Corp.		12,103		210
Flagstar Bancorp, Inc.		4,243		84
Flushing Financial Corp.		4,639		62
FS Bancorp, Inc.		116		4
Fulton Financial Corp.		41,144		473
German American Bancorp, Inc.		576		16
Glacier Bancorp, Inc.		17,519		596
Great Southern Bancorp, Inc.		5,387		218
Great Western Bancorp, Inc.		11,548		236
Guaranty Federal Bancshares, Inc.		3,967		59
Hancock Whitney Corp.		18,085		353
Hanmi Financial Corp.		9,715		105
Hawthorn Bancshares, Inc.		1,318		24
Heartland Financial U.S.A., Inc.		6,212		188
Heritage Financial Corp.		4,601		92
Hilltop Holdings, Inc.		17,507		265
Hingham Institution for Savings		65		9
Home Bancorp, Inc.		3,226		79
Home BancShares, Inc.		36,323		436
Home Federal Bancorp, Inc.		2,692		63
HomeStreet, Inc.		4,492		100
HomeTrust Bancshares, Inc.		1,363		22
Hope Bancorp, Inc.		23,569		194
IBERIABANK Corp.		10,558		382
Independent Bank Corp.		9,687		624
Independent Bank Corp. (Berlin Exchange)		4,671		60
Independent Bank Group, Inc.		7,373		175
International Bancshares Corp.		9,491		255
Investors Bancorp, Inc.		94,390		754

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Banking – 9.3% – continued
Kearny Financial Corp.		30,155		$259
Kentucky First Federal Bancorp		724		4
Lake Shore Bancorp, Inc.		300		3
Lakeland Bancorp, Inc.		7,923		86
Lakeland Financial Corp.		5,087		187
Landmark Bancorp, Inc.		5,905		120
Malvern Bancorp, Inc. (1)*		9		–
Mercantile Bank Corp.		5,494		116
Meridian Bancorp, Inc.		15,434		173
Meta Financial Group, Inc.		12,012		261
Metropolitan Bank Holding Corp. *		200		5
Midland States Bancorp, Inc.		4,363		76
MidWestOne Financial Group, Inc.		564		12
MSB Financial Corp.		2,473		30
MutualFirst Financial, Inc.		775		22
NASB Financial, Inc.		4,183		166
National Bank Holdings Corp., Class A		8,229		197
National Bankshares, Inc.		1,845		59
NBT Bancorp, Inc.		9,684		314
Nicolet Bankshares, Inc. *		1,955		107
Northeast Community Bancorp, Inc.		897		7
Northfield Bancorp, Inc.		15,454		173
Northrim BanCorp, Inc.		3,099		84
Northwest Bancshares, Inc.		16,907		196
NorthWest Indiana Bancorp		700		22
Norwood Financial Corp.		2,979		80
OceanFirst Financial Corp.		6,125		97
OFG Bancorp		7,301		82
Ohio Valley Banc Corp.		757		23
Old National Bancorp		38,542		508
Old Second Bancorp, Inc.		11,048		76
Opus Bank		112		2
Origin Bancorp, Inc.		3,323		67
Pacific Premier Bancorp, Inc.		12,380		233
Park National Corp.		2,211		172
Peapack Gladstone Financial Corp.		4,476		80
Penns Woods Bancorp, Inc.		150		4
Peoples Bancorp, Inc.		4,440		98
Peoples Financial Corp.		236		2
Peoples Financial Services Corp.		420		17
People’s United Financial, Inc.		5,370		59
People’s Utah Bancorp		1,784		35
Preferred Bank		2,643		89
Premier Financial Bancorp, Inc.		2,585		32

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Banking – 9.3% – continued
Provident Bancorp, Inc. (1)*		18		$–
Provident Financial Services, Inc.		15,166		195
Prudential Bancorp, Inc.		1,050		16
QCR Holdings, Inc.		7,401		200
Renasant Corp.		9,344		204
Republic Bancorp, Inc., Class A		4,346		144
Republic First Bancorp, Inc. *		24,908		55
S&T Bancorp, Inc.		14,724		402
Sandy Spring Bancorp, Inc.		7,956		180
Seacoast Banking Corp. of Florida *		10,462		192
ServisFirst Bancshares, Inc.		10,472		307
Severn Bancorp, Inc.		1,292		8
Shore Bancshares, Inc.		691		7
Sierra Bancorp		823		14
Simmons First National Corp., Class A		14,688		270
South State Corp.		6,458		379
Southern BancShares NC, Inc.		5		16
Southern National Bancorp of Virginia, Inc.		669		7
Southside Bancshares, Inc.		7,651		233
Standard AVB Financial Corp.		947		20
Stock Yards Bancorp, Inc.		8,763		254
Texas Capital Bancshares, Inc. *		9,635		214
Tompkins Financial Corp.		4,353		313
Towne Bank		10,814		196
TriCo Bancshares		6,273		187
Triumph Bancorp, Inc. *		3,812		99
TrustCo Bank Corp. NY		9,449		51
Trustmark Corp.		15,591		363
UMB Financial Corp.		11,108		515
United Bancorp, Inc.		498		5
United Bankshares, Inc.		22,867		528
United Community Banks, Inc.		12,420		227
Univest Financial Corp.		7,404		121
Valley National Bancorp		88,551		647
Veritex Holdings, Inc.		10,557		147
Virginia National Bankshares Corp.		105		3
Washington Federal, Inc.		22,065		573
Washington Trust Bancorp, Inc.		3,427		125
Waterstone Financial, Inc.		3,933		57
Wellesley Bank		282		8
WesBanco, Inc.		15,170		360
West Bancorporation, Inc.		2,940		48
Westamerica Bancorporation		5,911		347

See Notes to the Financial Statements.

EQUITY FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Banking – 9.3% – continued
Western New England Bancorp, Inc.		4,295		$29
WSFS Financial Corp.		16,968		423
				32,154
Biotechnology & Pharmaceuticals – 7.6%
ACADIA Pharmaceuticals, Inc. *		24,460		1,033
Acceleron Pharma, Inc. *		10,459		940
AcelRx Pharmaceuticals, Inc. *		47,888		56
Adamas Pharmaceuticals, Inc. *		7,666		22
ADMA Biologics, Inc. *		23,459		68
Adverum Biotechnologies, Inc. *		12,962		127
Aerie Pharmaceuticals, Inc. *		2,639		36
Agenus, Inc. *		25,902		63
Agios Pharmaceuticals, Inc. *		3,263		116
Akebia Therapeutics, Inc. *		31,082		236
Akorn, Inc. *		15,028		8
Albireo Pharma, Inc. *		2,860		47
Alector, Inc. *		7,038		170
AMAG Pharmaceuticals, Inc. *		10,016		62
Amicus Therapeutics, Inc. *		61,767		571
Amphastar Pharmaceuticals, Inc. *		13,418		199
AnaptysBio, Inc. *		5,669		80
Anavex Life Sciences Corp. *		16,225		51
ANI Pharmaceuticals, Inc. *		3,733		152
Anika Therapeutics, Inc. *		5,829		168
Anixa Biosciences, Inc. *		3,567		6
Apellis Pharmaceuticals, Inc. *		990		26
Arcus Biosciences, Inc. *		5,278		73
Ardelyx, Inc. *		9,775		56
Arena Pharmaceuticals, Inc. *		12,102		508
Arrowhead Pharmaceuticals, Inc. *		22,481		647
Arvinas, Inc. *		5,083		205
Assembly Biosciences, Inc. *		7,322		109
Atara Biotherapeutics, Inc. *		12,414		106
Athersys, Inc. *		31,400		94
Avid Bioservices, Inc. *		13,586		69
Avrobio, Inc. *		4,985		78
Axsome Therapeutics, Inc. *		4,790		282
Baudax Bio, Inc. *		5,890		15
Beyondspring, Inc. *		5,083		65
BioCryst Pharmaceuticals, Inc. *		17,887		36
BioDelivery Sciences International, Inc. *		2,711		10
BioSpecifics Technologies Corp. *		6,675		378
Bioxcel Therapeutics, Inc. *		10,264		229

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Biotechnology & Pharmaceuticals – 7.6% – continued
Blueprint Medicines Corp. *		11,828		$692
Bridgebio Pharma, Inc. *		4,692		136
Calithera Biosciences, Inc. *		16,812		75
Cara Therapeutics, Inc. *		10,964		145
Catabasis Pharmaceuticals, Inc. *		13,684		57
Catalyst Biosciences, Inc. *		29,017		127
Catalyst Pharmaceuticals, Inc. *		26,000		100
CEL-SCI Corp. *		5,376		62
Champions Oncology, Inc. *		1,729		13
Chiasma, Inc. *		14,154		52
China Biologic Products Holdings, Inc. *		6,880		743
Clovis Oncology, Inc. *		12,121		77
Coherus Biosciences, Inc. *		13,286		215
Collegium Pharmaceutical, Inc. *		8,803		144
Concert Pharmaceuticals, Inc. *		9,194		81
Corbus Pharmaceuticals Holdings, Inc. *		14,270		75
Corcept Therapeutics, Inc. *		21,427		255
CorMedix, Inc. *		3,231		12
Crinetics Pharmaceuticals, Inc. *		5,083		75
Cumberland Pharmaceuticals, Inc. *		232		1
Cytokinetics, Inc. *		19,623		231
CytomX Therapeutics, Inc. *		10,948		84
Deciphera Pharmaceuticals, Inc. *		4,055		167
Dicerna Pharmaceuticals, Inc. *		14,753		271
Dynavax Technologies Corp. *		20,038		71
Eagle Pharmaceuticals, Inc. *		4,037		186
Eidos Therapeutics, Inc. *		4,692		230
Eiger BioPharmaceuticals, Inc. *		11,162		76
Emergent BioSolutions, Inc. *		11,063		640
Enanta Pharmaceuticals, Inc. *		7,525		387
Endo International PLC *		51,699		191
Epizyme, Inc. *		591		9
Evolus, Inc. *		5,258		22
Fate Therapeutics, Inc. *		12,626		280
FibroGen, Inc. *		18,767		652
Flexion Therapeutics, Inc. *		10,251		81
Forty Seven, Inc. *		5,376		513
G1 Therapeutics, Inc. *		8,113		89
Galmed Pharmaceuticals Ltd. *		209		1
Gossamer Bio, Inc. *		8,602		87
Gritstone Oncology, Inc. *		5,963		35
Halozyme Therapeutics, Inc. *		1,303		23
Heska Corp. *		5,188		287
Homology Medicines, Inc. *		2,763		43

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Biotechnology & Pharmaceuticals – 7.6% – continued
ImmuCell Corp. *		2,554		$10
ImmunoGen, Inc. *		34,998		119
Innoviva, Inc. *		20,843		245
Intellia Therapeutics, Inc. *		9,384		115
Intercept Pharmaceuticals, Inc. *		6,158		388
Intersect ENT,Inc. *		12,478		148
Intra-Cellular Therapies, Inc. *		7,429		114
Iovance Biotherapeutics, Inc. *		3,049		91
Ironwood Pharmaceuticals, Inc. *		37,044		374
Kadmon Holdings, Inc. *		31,375		131
KalVista Pharmaceuticals, Inc. *		7,407		57
Karyopharm Therapeutics, Inc. *		6,596		127
Kindred Biosciences, Inc. *		8,960		36
Krystal Biotech, Inc. *		4,594		199
Kura Oncology, Inc. *		8,666		86
La Jolla Pharmaceutical Co. *		7,791		33
Lannett Co., Inc. *		17,466		121
Ligand Pharmaceuticals, Inc. *		9,961		724
MacroGenics, Inc. *		11,557		67
MediciNova, Inc. *		14,470		54
MeiraGTx Holdings PLC *		4,203		56
Merrimack Pharmaceuticals, Inc.		21,150		45
Minerva Neurosciences, Inc. *		2,584		16
Mirati Therapeutics, Inc. *		262		20
Momenta Pharmaceuticals, Inc. *		21,755		592
MyoKardia, Inc. *		9,286		435
Natural Alternatives International, Inc. *		729		5
Nature’s Sunshine Products, Inc. *		6,710		55
Ocular Therapeutix, Inc. *		395		2
Odonate Therapeutics, Inc. *		1,721		47
Omeros Corp. *		16,526		221
Opiant Pharmaceuticals, Inc. *		8,070		77
Optinose, Inc. *		249		1
Oramed Pharmaceuticals, Inc. *		471		1
Pacira BioSciences, Inc. *		9,581		321
PDL BioPharma, Inc. *		25,455		72
Pfenex, Inc. *		7,233		64
Portola Pharmaceuticals, Inc. *		700		5
Precigen, Inc. *		16,616		56
Prestige Consumer Healthcare, Inc. *		10,742		394
Principia Biopharma, Inc. *		3,226		192
Progenics Pharmaceuticals, Inc. *		10,459		40
ProPhase Labs, Inc.		15,179		29
ProQR Therapeutics N.V. *		154		1

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Biotechnology & Pharmaceuticals – 7.6% – continued
Protagonist Therapeutics, Inc. *		9,482		$67
Prothena Corp. PLC *		9,677		103
PTC Therapeutics, Inc. *		10,731		479
Radius Health, Inc. *		10,361		135
Recro Pharma, Inc. *		14,492		118
Retrophin, Inc. *		9,958		145
Revance Therapeutics, Inc. *		12,001		178
Rhythm Pharmaceuticals, Inc. *		4,657		71
Rigel Pharmaceuticals, Inc. *		40,561		63
Rocket Pharmaceuticals, Inc. *		4,631		65
Rubius Therapeutics, Inc. *		8,113		36
Sinovac Biotech Ltd. (2)*		1,587		5
Solid Biosciences, Inc. (1)*		61		–
Sorrento Therapeutics, Inc. *		30,301		56
Spectrum Pharmaceuticals, Inc. *		23,166		54
Stemline Therapeutics, Inc. *		15,982		77
Supernus Pharmaceuticals, Inc. *		10,436		188
Syndax Pharmaceuticals, Inc. *		4,790		52
TG Therapeutics, Inc. *		15,843		156
Theravance Biopharma, Inc. *		6,107		141
TransMedics Group, Inc. *		4,203		51
Twist Bioscience Corp. *		3,910		120
Ultragenyx Pharmaceutical, Inc. *		13,097		582
uniQure N.V. *		7,688		365
UroGen Pharma Ltd. *		4,542		81
USANA Health Sciences, Inc. *		6,793		392
Vanda Pharmaceuticals, Inc. *		17,517		181
Viking Therapeutics, Inc. *		17,548		82
Voyager Therapeutics, Inc. *		9,194		84
WaVe Life Sciences Ltd. *		5,594		52
XBiotech, Inc. *		3,031		32
Xencor, Inc. *		11,415		341
Xenon Pharmaceuticals, Inc. *		18,296		207
Y-mAbs Therapeutics, Inc. *		4,594		120
ZIOPHARM Oncology, Inc. *		37,142		91
Zynerba Pharmaceuticals, Inc. *		15,278		58
				26,004
Chemicals – 2.0%
American Vanguard Corp.		4,206		61
Balchem Corp.		8,106		800
Codexis, Inc. *		7,179		80
Element Solutions, Inc. *		35,178		294
Ferro Corp. *		15,970		149
H.B. Fuller Co.		13,467		376

See Notes to the Financial Statements.

EQUITY FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Chemicals – 2.0% – continued
Hawkins, Inc.		5,689		$202
Haynes International, Inc.		5,954		123
Ingevity Corp. *		9,465		333
Innospec, Inc.		6,141		427
Koppers Holdings, Inc. *		11,564		143
Kraton Corp. *		8,729		71
Kronos Worldwide, Inc.		700		6
LSB Industries, Inc. (1)*		19		–
Lydall, Inc. *		148		1
Materion Corp.		8,570		300
Minerals Technologies, Inc.		7,609		276
Oil-Dri Corp. of America		3,252		109
OMNOVA Solutions, Inc. *		1,708		17
Quaker Chemical Corp.		4,423		559
Rogers Corp. *		3,470		328
Sensient Technologies Corp.		12,491		543
Stepan Co.		4,315		382
WD-40 Co.		5,848		1,175
				6,755
Commercial Services – 3.0%
ABM Industries, Inc.		14,764		360
AMN Healthcare Services, Inc. *		11,531		667
ASGN, Inc. *		13,740		485
Barrett Business Services, Inc.		3,994		158
Brady Corp., Class A		12,656		571
Brink’s (The) Co.		14,074		733
CBIZ, Inc. *		19,952		417
Cimpress PLC *		4,574		243
Collectors Universe, Inc.		10,032		157
Computer Task Group, Inc. (1)*		140		–
CorVel Corp. *		7,247		395
CRA International, Inc.		9,684		324
Cross Country Healthcare, Inc. *		16,627		112
Deluxe Corp.		7,736		201
Emerald Holding, Inc.		11,828		31
Ennis, Inc.		5,018		94
Forrester Research, Inc. *		4,636		135
Franklin Covey Co. *		1,007		16
FTI Consulting, Inc. *		11,138		1,334
GP Strategies Corp. *		1,059		7
Hackett Group (The), Inc.		10,514		134
Healthcare Services Group, Inc.		16,406		392
HMS Holdings Corp. *		20,665		522
Huron Consulting Group, Inc. *		5,128		233

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Commercial Services – 3.0% – continued
Information Services Group, Inc. *		11,200		$29
Insperity, Inc.		1,074		40
Kelly Services, Inc., Class A		5,192		66
Kforce, Inc.		12,406		317
Korn Ferry		13,469		328
National Research Corp.		7,068		321
NV5 Global, Inc. *		4,167		172
Quad/Graphics, Inc.		254		1
R.R. Donnelley & Sons Co. (1)		1		–
R1 RCM, Inc. *		10,068		91
Resources Connection, Inc.		8,241		90
SP Plus Corp. *		4,759		99
TrueBlue, Inc. *		10,422		133
UniFirst Corp.		4,059		613
Vectrus, Inc. *		7,628		316
Viad Corp.		4,793		102
Where Food Comes From, Inc. *		1,100		2
				10,441
Construction Materials – 1.2%
Advanced Drainage Systems, Inc.		8,946		263
Apogee Enterprises, Inc.		7,342		153
Boise Cascade Co.		6,487		154
Louisiana-Pacific Corp.		37,959		652
Simpson Manufacturing Co., Inc.		11,298		700
Summit Materials, Inc., Class A *		16,296		245
Trex Co., Inc. *		14,684		1,177
United States Lime & Minerals, Inc. *		4,048		299
Universal Forest Products, Inc.		9,546		355
US Concrete, Inc. *		3,357		61
				4,059
Consumer Products – 2.7%
Adecoagro S.A. *		1,368		5
Alico, Inc.		1,035		32
B&G Foods, Inc.		9,563		173
Boston Beer (The) Co., Inc., Class A *		1,891		695
Bridgford Foods Corp. *		438		10
Cal-Maine Foods, Inc.		6,115		269
Central Garden & Pet Co. *		200		6
Central Garden & Pet Co., Class A *		4,186		107
Coca-Cola Consolidated, Inc.		1,674		349
Craft Brew Alliance, Inc. *		7,141		106
Darling Ingredients, Inc. *		27,609		529
Edgewell Personal Care Co. *		10,068		242

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Consumer Products – 2.7% – continued
Energizer Holdings, Inc.		11,437		$346
Farmer Brothers Co. *		6,738		47
Fresh Del Monte Produce, Inc.		4,530		125
Hain Celestial Group (The), Inc. *		18,986		493
Helen of Troy Ltd. *		7,248		1,044
Hostess Brands, Inc. *		18,767		200
Inter Parfums, Inc.		5,100		236
J&J Snack Foods Corp.		4,279		518
John B. Sanfilippo & Son, Inc.		2,442		218
Lancaster Colony Corp.		4,099		593
Landec Corp. *		3,215		28
Nathan’s Famous, Inc.		1,583		97
National Beverage Corp. *		13,737		586
Phibro Animal Health Corp., Class A		10,067		243
Quanex Building Products Corp.		10,035		101
Sanderson Farms, Inc.		5,980		738
Seneca Foods Corp., Class A *		4,035		161
Simply Good Foods (The) Co. *		7,722		149
Spectrum Brands Holdings, Inc.		6,355		231
Tejon Ranch Co. *		410		6
Tootsie Roll Industries, Inc.		13,444		483
United-Guardian, Inc.		502		7
Universal Corp.		3,817		169
Vector Group Ltd.		9,762		92
				9,434
Consumer Services – 1.1%
Aaron’s, Inc.		16,665		380
Adtalem Global Education, Inc. *		16,345		438
American Public Education, Inc. *		5,605		134
Chegg, Inc. *		22,017		788
Graham Holdings Co., Class B		582		199
K12, Inc. *		9,018		170
Laureate Education, Inc., Class A *		19,744		207
Medifast, Inc.		501		31
Perdoceo Education Corp. *		13,747		148
Regis Corp. *		9,495		56
Rent-A-Center, Inc.		10,216		144
Rosetta Stone, Inc. *		9,558		134
Strategic Education, Inc.		6,931		969
				3,798
Containers & Packaging – 0.3%
Greif, Inc., Class A		8,037		250
Matthews International Corp., Class A		5,624		136

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Containers & Packaging – 0.3% – continued
Myers Industries, Inc.		3,834		$41
O-I Glass, Inc.		30,887		219
TriMas Corp. *		13,101		303
UFP Technologies, Inc. *		5,189		198
				1,147
Design, Manufacturing & Distribution – 1.0%
Benchmark Electronics, Inc.		12,004		240
Fabrinet *		8,640		472
Plexus Corp. *		7,989		436
Sanmina Corp. *		19,074		520
SYNNEX Corp.		9,605		702
Tech Data Corp. *		8,546		1,118
				3,488
Distributors – Consumer Staples – 0.3%
Andersons (The), Inc.		9,210		172
Calavo Growers, Inc.		3,970		229
Core-Mark Holding Co., Inc.		7,272		208
Performance Food Group Co. *		23,736		587
				1,196
Distributors – Discretionary – 0.3%
ePlus, Inc. *		8,183		512
G-III Apparel Group Ltd. *		8,640		67
PC Connection, Inc.		8,728		360
ScanSource, Inc. *		7,654		164
Wayside Technology Group, Inc.		1,659		21
				1,124
Electrical Equipment – 2.6%
AAON, Inc.		23,693		1,145
Advanced Energy Industries, Inc. *		9,674		469
Alarm.com Holdings, Inc. *		6,764		263
Argan, Inc.		4,313		149
Badger Meter, Inc.		10,089		541
Belden, Inc.		10,051		363
Chase Corp.		489		40
CompX International, Inc. (1)		1		–
CyberOptics Corp. *		2,409		41
ENGlobal Corp. *		6,300		5
Espey Manufacturing & Electronics Corp.		7,034		128
FARO Technologies, Inc. *		4,816		214
Generac Holdings, Inc. *		17,526		1,633
Houston Wire & Cable Co. (1)*		139		–
IntriCon Corp. *		4,924		58

See Notes to the Financial Statements.

EQUITY FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Electrical Equipment – 2.6% continued
Itron, Inc. *		11,010		$615
KEMET Corp.		6,634		160
Kimball Electronics, Inc. *		10,790		118
Mesa Laboratories, Inc.		1,810		409
NL Industries, Inc. (1)		100		—
Novanta, Inc. *		13,417		1,072
OSI Systems, Inc. *		6,934		478
Powell Industries, Inc.		4,874		125
Preformed Line Products Co.		2,096		105
SPX Corp. *		4,203		137
Stoneridge, Inc. *		1,038		17
Transcat, Inc. *		83		2
Watts Water Technologies, Inc., Class A		7,467		632
				8,919
Engineering & Construction Services – 1.8%
Aegion Corp. *		14,552		261
Arcosa, Inc.		10,752		427
Comfort Systems U.S.A., Inc.		7,250		265
Dycom Industries, Inc. *		7,362		189
EMCOR Group, Inc.		11,908		730
Exponent, Inc.		29,382		2,113
Granite Construction, Inc.		10,446		159
Great Lakes Dredge & Dock Corp. *		4,346		36
IES Holdings, Inc. *		1,525		27
Installed Building Products, Inc. *		6,709		267
Kratos Defense & Security Solutions, Inc. *		382		5
MasTec, Inc. *		17,462		571
Mistras Group, Inc. *		1,067		5
MYR Group, Inc. *		7,179		188
Primoris Services Corp.		7,525		120
TopBuild Corp. *		9,864		707
VSE Corp.		3,196		52
				6,122
Forest & Paper Products – 0.3%
Domtar Corp.		6,371		138
Mercer International, Inc.		9,762		71
Neenah, Inc.		6,666		288
P.H. Glatfelter Co.		8,358		102
Resolute Forest Products, Inc. *		22,353		28
Schweitzer-Mauduit International, Inc.		9,721		270
				897

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Gaming, Lodging & Restaurants – 2.1%
Arcos Dorados Holdings, Inc., Class A		43,133		$144
BBQ Holdings, Inc. (1)*		174		—
Biglari Holdings, Inc., Class B *		27		1
BJ’s Restaurants, Inc.		5,540		77
Bloomin’ Brands, Inc.		23,341		167
Boyd Gaming Corp.		20,446		295
Cannae Holdings, Inc. *		14,075		471
Cheesecake Factory (The), Inc.		12,584		215
Churchill Downs, Inc.		10,027		1,032
Chuy’s Holdings, Inc. *		582		6
Cracker Barrel Old Country Store, Inc.		4,842		403
Dave & Buster’s Entertainment, Inc.		6,305		82
Denny’s Corp. *		23,570		181
Dine Brands Global, Inc.		2,331		67
El Pollo Loco Holdings, Inc. (1)*		15		—
Eldorado Resorts, Inc. *		8,314		120
Everi Holdings, Inc. *		4,104		14
Fiesta Restaurant Group, Inc. *		1,356		5
Flanigan’s Enterprises, Inc. *		3,127		36
Golden Entertainment, Inc. *		1,711		11
Hilton Grand Vacations, Inc. *		18,669		294
International Game Technology PLC		20,429		122
Jack in the Box, Inc.		14,307		501
Marriott Vacations Worldwide Corp.		9,212		512
Monarch Casino & Resort, Inc. *		947		27
Papa John’s International, Inc.		7,807		417
Penn National Gaming, Inc. *		17,826		226
Playa Hotels & Resorts N.V. *		14,173		25
Red Lion Hotels Corp. *		1,115		2
Red Robin Gourmet Burgers, Inc. *		5,572		47
Red Rock Resorts, Inc., Class A		711		6
Ruth’s Hospitality Group, Inc.		9,703		65
Scientific Games Corp. *		8,943		87
Shake Shack, Inc., Class A *		5,127		194
St. Joe (The) Co. *		13,251		222
Texas Roadhouse, Inc.		17,863		738
Wingstop, Inc.		5,977		476
				7,288
Hardware – 2.2%
Acacia Communications, Inc. *		5,572		374
Anterix, Inc. *		5,088		232
AstroNova, Inc.		4,373		34
Aware, Inc. *		683		2
BK Technologies Corp.		1,835		3

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Hardware – 2.2% continued
Ciena Corp. *		28,726		$1,144
Clearfield, Inc. *		4,922		58
Comtech Telecommunications Corp.		7,535		100
Cubic Corp.		6,925		286
Daktronics, Inc.		2,559		13
Digimarc Corp. *		4,009		52
Extreme Networks, Inc. *		284		1
Harmonic, Inc. *		551		3
Infinera Corp. *		565		3
InterDigital, Inc.		8,828		394
Knowles Corp. *		21,149		283
Lumentum Holdings, Inc. *		17,837		1,315
NETGEAR, Inc. *		7,795		178
NetScout Systems, Inc. *		15,472		366
PAR Technology Corp. *		3,813		49
PC-Tel, Inc. *		1,266		8
Plantronics, Inc.		7,317		74
Radware Ltd. *		7,903		166
Silicom Ltd. *		3,714		100
Stratasys Ltd. *		11,011		176
Super Micro Computer, Inc. *		10,483		223
TESSCO Technologies, Inc.		10,757		53
TTM Technologies, Inc. *		13,513		140
Universal Electronics, Inc. *		3,937		151
UTStarcom Holdings Corp. (1)*		1		—
ViaSat, Inc. *		9,993		359
Viavi Solutions, Inc. *		56,632		635
Vishay Precision Group, Inc. *		7,298		147
Vocera Communications, Inc. *		15,662		333
VOXX International Corp. *		1,469		4
				7,459
Health Care Facilities & Services – 3.8%
Acadia Healthcare Co., Inc. *		18,278		335
Addus HomeCare Corp. *		6,308		426
Amedisys, Inc. *		10,101		1,854
Apollo Medical Holdings, Inc. *		8,081		104
Brookdale Senior Living, Inc. *		42,473		133
Capital Senior Living Corp. (1)*		526		—
Catasys, Inc. *		5,963		91
Cellular Biomedicine Group, Inc. *		2,835		45
Community Health Systems, Inc. *		11,241		38
Covetrus, Inc. *		20,135		164
Cryo-Cell International, Inc. *		750		5
Ensign Group (The), Inc.		13,719		516

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Health Care Facilities & Services – 3.8% continued
Five Star Senior Living, Inc. *		3,367		$9
Global Cord Blood Corp. *		6,447		21
Hanger, Inc. *		7,275		113
HealthEquity, Inc. *		15,982		809
Independence Holding Co.		2,714		69
Invitae Corp. *		20,941		286
Joint (The) Corp. *		7,233		78
LHC Group, Inc. *		8,147		1,142
Magellan Health, Inc. *		6,982		336
MedCath Corp. (3)*		7,953		—
Medpace Holdings, Inc. *		4,439		326
National HealthCare Corp.		3,326		239
NeoGenomics, Inc. *		23,897		660
OPKO Health, Inc. *		83,955		112
Option Care Health, Inc. *		99		1
Owens & Minor, Inc.		11,828		108
Patterson Cos., Inc.		19,215		294
Pennant Group (The), Inc. *		6,860		97
Premier, Inc., Class A *		4,219		138
Providence Service (The) Corp. *		5,201		285
RadNet, Inc. *		9,754		103
Select Medical Holdings Corp. *		25,719		386
SI-BONE, Inc. *		6,940		83
Syneos Health, Inc. *		12,088		477
Teladoc Health, Inc. *		13,117		2,033
Tenet Healthcare Corp. *		16,981		245
Tivity Health, Inc. *		16,071		101
Triple-S Management Corp., Class B *		20,170		284
U.S. Physical Therapy, Inc.		6,468		446
				12,992
Home & Office Products – 1.8%
ACCO Brands Corp.		29,174		147
American Woodmark Corp. *		3,837		175
Beazer Homes U.S.A., Inc. *		277		2
Cavco Industries, Inc. *		2,782		403
Century Communities, Inc. *		10,067		146
Cornerstone Building Brands, Inc. *		262		1
Flexsteel Industries, Inc.		4,925		54
Forestar Group, Inc. *		756		8
Griffon Corp.		7,172		91
Hamilton Beach Brands Holding Co., Class A		3,046		29
Herman Miller, Inc.		15,585		346
HNI Corp.		7,123		180

See Notes to the Financial Statements.

EQUITY FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Home & Office Products – 1.8% continued
Hooker Furniture Corp.		5,236		$82
Interface, Inc.		17,502		132
iRobot Corp. *		7,588		310
JELD-WEN Holding, Inc. *		9,579		93
KB Home		22,002		398
Kewaunee Scientific Corp.		2,542		20
Kimball International, Inc., Class B		3,869		46
Knoll, Inc.		12,927		133
LGI Homes, Inc. *		3,564		161
Lifetime Brands, Inc.		587		3
M/I Homes, Inc. *		5,366		89
Masonite International Corp. *		5,037		239
MDC Holdings, Inc.		14,658		340
Meritage Homes Corp. *		10,125		370
MSA Safety, Inc.		6,731		681
Nobility Homes, Inc.		876		19
Patrick Industries, Inc.		7,628		215
PGT Innovations, Inc. *		612		5
Steelcase, Inc., Class A		17,989		178
Taylor Morrison Home Corp. *		29,369		323
Tempur Sealy International, Inc. *		9,272		405
TRI Pointe Group, Inc. *		24,954		219
Virco Manufacturing Corp. *		1,676		4
				6,047
Industrial Services – 0.5%
Applied Industrial Technologies, Inc.		10,720		490
CAI International, Inc. *		2,369		34
H&E Equipment Services, Inc.		3,504		51
Harsco Corp. *		13,401		93
Herc Holdings, Inc. *		2,737		56
Resideo Technologies, Inc. *		27,369		133
SiteOne Landscape Supply, Inc. *		3,910		288
Systemax, Inc.		7,133		127
Team, Inc. *		483		3
Textainer Group Holdings Ltd. (1)*		17		—
Titan Machinery, Inc. *		800		7
Triton International Ltd.		10,681		276
WESCO International, Inc. *		9,692		221
				1,779
Institutional Financial Services – 0.4%
Cowen, Inc., Class A		291		3
Houlihan Lokey, Inc.		6,745		352
INTL. FCStone, Inc. *		4,316		156

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Institutional Financial Services – 0.4% continued
Moelis & Co., Class A		9,873		$277
Piper Sandler Cos.		5,353		271
PJT Partners, Inc., Class A		4,778		207
				1,266
Insurance – 3.4%
Ambac Financial Group, Inc. *		8,870		109
American Equity Investment Life Holding Co.		19,033		358
AMERISAFE, Inc.		3,713		239
Argo Group International Holdings Ltd.		10,250		380
Atlantic American Corp.		6,901		15
Citizens, Inc. *		6,512		42
CNO Financial Group, Inc.		68,648		851
Crawford & Co., Class B		15,311		98
Donegal Group, Inc., Class A		1,755		27
eHealth, Inc. *		5,713		805
Employers Holdings, Inc.		6,649		269
Enstar Group Ltd. *		2,146		341
FBL Financial Group, Inc., Class A		4,505		210
FGL Holdings		21,113		207
GAINSCO, Inc. *		714		20
Genworth Financial, Inc., Class A *		122,974		408
Global Indemnity Ltd.		1,847		47
Greenlight Capital Re Ltd., Class A *		321		2
Hallmark Financial Services, Inc. *		11,072		45
HCI Group, Inc.		1,394		56
Heritage Insurance Holdings, Inc.		5,780		62
Horace Mann Educators Corp.		7,956		291
James River Group Holdings Ltd.		6,184		224
Kansas City Life Insurance Co.		1,963		51
Kemper Corp.		12,552		934
Kinsale Capital Group, Inc.		4,105		429
MBIA, Inc. *		34,775		248
Mercury General Corp.		3,152		128
National General Holdings Corp.		11,417		189
National Western Life Group, Inc., Class A		1,005		173
NMI Holdings, Inc., Class A *		13,586		158
Primerica, Inc.		10,852		960
ProAssurance Corp.		10,752		269
Radian Group, Inc.		42,128		546
RLI Corp.		11,788		1,037
Safety Insurance Group, Inc.		4,453		376
Selective Insurance Group, Inc.		13,418		667

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Insurance – 3.4% continued
State Auto Financial Corp.		5,086		$141
Third Point Reinsurance Ltd. *		16,363		121
United Fire Group, Inc.		4,909		160
Universal Insurance Holdings, Inc.		8,673		155
				11,848
Iron & Steel – 0.6%
Allegheny Technologies, Inc. *		29,181		248
Carpenter Technology Corp.		12,505		244
Commercial Metals Co.		30,862		487
Northwest Pipe Co. *		15,262		339
Shiloh Industries, Inc. *		2,100		3
Synalloy Corp. *		100		1
United States Steel Corp.		33,721		213
Universal Stainless & Alloy Products, Inc. *		1,504		12
Warrior Met Coal, Inc.		4,887		52
Worthington Industries, Inc.		19,274		506
				2,105
Leisure Products – 0.6%
Callaway Golf Co.		22,201		227
Fox Factory Holding Corp. *		7,472		314
Johnson Outdoors, Inc., Class A		8,223		516
LCI Industries		8,896		594
Malibu Boats, Inc., Class A *		1,960		56
Marine Products Corp.		2,547		21
Winnebago Industries, Inc.		11,371		316
				2,044
Machinery – 2.2%
Alamo Group, Inc.		2,984		265
Albany International Corp., Class A		7,424		351
Altra Industrial Motion Corp.		14,216		249
Astec Industries, Inc.		3,356		117
Cactus, Inc., Class A		4,887		57
CIRCOR International, Inc. *		2,506		29
Columbus McKinnon Corp.		12,941		324
CSW Industrials, Inc.		3,357		218
Douglas Dynamics, Inc.		4,778		170
Enerpac Tool Group Corp.		14,918		247
Federal Signal Corp.		13,724		374
Franklin Electric Co., Inc.		12,626		595
Gorman-Rupp (The) Co.		11,321		353
Graham Corp.		2,597		33
Helios Technologies, Inc.		7,801		296

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% continued
Machinery – 2.2% continued
Hillenbrand, Inc.		16,802		$321
Hollysys Automation Technologies Ltd.		14,293		184
Hurco Cos., Inc.		1,180		34
Hyster-Yale Materials Handling, Inc.		2,512		101
John Bean Technologies Corp.		7,668		569
Kadant, Inc.		3,152		235
Kennametal, Inc.		20,945		390
Lindsay Corp.		2,585		237
Manitowoc (The) Co., Inc. *		5,824		50
MTS Systems Corp.		4,572		103
Mueller Water Products, Inc., Class A		42,519		341
Rexnord Corp.		26,919		610
SPX FLOW, Inc. *		9,286		264
Standex International Corp.		6,546		321
Taylor Devices, Inc. *		1,689		15
Tennant Co.		5,058		293
Titan International, Inc. (1)		20		—
Twin Disc, Inc. *		356		2
				7,748
Manufactured Goods – 1.0%
AZZ, Inc.		5,215		146
Chart Industries, Inc. *		11,074		321
Conrad Industries, Inc. *		100		1
Eastern (The) Co.		3,728		73
EnPro Industries, Inc.		4,236		168
Gibraltar Industries, Inc. *		8,384		360
Gulf Island Fabrication, Inc. *		16,616		50
Insteel Industries, Inc.		6,431		85
LB Foster Co., Class A *		1,609		20
Mueller Industries, Inc.		14,959		358
Omega Flex, Inc.		2,733		231
Park-Ohio Holdings Corp.		3,861		73
Proto Labs, Inc. *		5,986		456
Raven Industries, Inc.		11,387		242
RBC Bearings, Inc. *		6,176		696
Tredegar Corp.		13,453		210
				3,490
Media – 1.7%
Actua Corp. (3)*		8,828		—
Boston Omaha Corp., Class A *		11,437		207
Cargurus, Inc. *		2,709		51
Chicken Soup For The Soul Entertainment, Inc. *		11,437		77
Despegar.com Corp. *		711		4

See Notes to the Financial Statements.

EQUITY FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS - 96.3% continued
Media – 1.7% continued
EW Scripps (The) Co., Class A (1)		1		$—
Gannett Co., Inc.		12,387		18
Gray Television, Inc. *		13,420		144
HealthStream, Inc. *		5,028		120
Hemisphere Media Group, Inc. *		9,579		82
iHeartMedia, Inc., Class A *		17,789		130
IMAX Corp. *		1,970		18
Liberty Latin America Ltd., Class C *		20,682		212
Lions Gate Entertainment Corp., Class A *		10,459		64
LiveXLive Media, Inc. *		74,376		118
MakeMyTrip Ltd. *		21,738		260
Marchex, Inc., Class B (1)*		179		—
Meredith Corp.		5,371		66
MSG Networks, Inc., Class A *		9,388		96
New York Times (The) Co., Class A		26,897		826
Nexstar Media Group, Inc., Class A		8,323		480
Saga Communications, Inc., Class A		6,515		179
Scholastic Corp.		3,785		96
Shutterstock, Inc.		4,156		134
Sinclair Broadcast Group, Inc., Class A		17,206		277
Stamps.com, Inc. *		7,907		1,029
TEGNA, Inc.		43,730		475
Townsquare Media, Inc., Class A		17,806		82
Travelzoo *		20,429		80
Tucows, Inc., Class A *		3,153		152
Yelp, Inc. *		15,635		282
				5,759
Medical Equipment & Devices – 5.9%
Accelerate Diagnostics, Inc. *		9,575		80
Alphatec Holdings, Inc. *		24,436		84
AngioDynamics, Inc. *		11,882		124
Apyx Medical Corp. *		27,741		100
AtriCure, Inc. *		13,541		455
Atrion Corp.		752		489
Avanos Medical, Inc. *		6,538		176
Axogen, Inc. *		6,549		68
BioLife Solutions, Inc. *		2,881		27
BioSig Technologies, Inc. *		13,097		55
BioTelemetry, Inc. *		8,134		313
Cantel Medical Corp.		8,843		317
Cardiovascular Systems, Inc. *		12,541		442
CareDx, Inc. *		8,076		176
Cerus Corp. *		18,571		86

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS - 96.3% continued
Medical Equipment & Devices – 5.9% continued
CONMED Corp.		5,113		$293
CryoLife, Inc. *		9,798		166
Cutera, Inc. *		11,637		152
Daxor Corp. *		37		1
Establishment Labs Holdings, Inc. *		5,278		76
Exact Sciences Corp. *		3,600		209
Fluidigm Corp. *		17,007		43
FONAR Corp. *		6,709		98
GenMark Diagnostics, Inc. *		14,955		62
Glaukos Corp. *		9,347		288
Globus Medical, Inc., Class A *		16,845		716
Haemonetics Corp. *		13,248		1,320
Harvard Bioscience, Inc. *		17,186		38
ICU Medical, Inc. *		3,022		610
Inogen, Inc. *		4,167		215
Inspire Medical Systems, Inc. *		2,394		144
Integer Holdings Corp. *		6,780		426
iRadimed Corp. *		8,036		172
Lantheus Holdings, Inc. *		7,672		98
LeMaitre Vascular, Inc.		13,356		333
LivaNova PLC *		10,206		462
Luminex Corp.		11,878		327
Merit Medical Systems, Inc. *		14,236		445
MiMedx Group, Inc. *		17,834		62
Misonix, Inc. *		8,314		78
Myriad Genetics, Inc. *		16,975		243
NanoString Technologies, Inc. *		10,303		248
Natera, Inc. *		4,423		132
Natus Medical, Inc. *		11,823		274
Neogen Corp. *		12,172		815
Nevro Corp. *		6,165		616
Novocure Ltd. *		16,910		1,139
NuVasive, Inc. *		11,783		597
OraSure Technologies, Inc. *		18,949		204
Orthofix Medical, Inc. *		7,738		217
OrthoPediatrics Corp. *		4,583		182
Oxford Immunotec Global PLC *		12,153		113
Pacific Biosciences of California, Inc. *		14,368		44
Penumbra, Inc. *		6,082		981
Pulse Biosciences, Inc. *		3,000		22
Quidel Corp. *		6,629		648
Repligen Corp. *		11,399		1,100
RTI Surgical Holdings, Inc. *		4,038		7
SeaSpine Holdings Corp. *		13,576		111

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS - 96.3% – continued
Medical Equipment & Devices – 5.9% continued
Semler Scientific, Inc. *		3,150		$126
Sientra, Inc. (1)*		113		—
Soliton, Inc. *		6,745		55
STAAR Surgical Co. *		10,200		329
Surmodics, Inc. *		5,706		190
Tactile Systems Technology, Inc. *		2,093		84
Tandem Diabetes Care, Inc. *		5,883		379
Utah Medical Products, Inc.		3,466		326
Varex Imaging Corp. *		1,456		33
Veracyte, Inc. *		11,448		278
Vericel Corp. *		10,162		93
Wright Medical Group N.V. *		24,372		698
Zynex, Inc. *		12,100		134
				20,244
Metals & Mining – 0.3%
A-Mark Precious Metals, Inc. *		605		7
Century Aluminum Co. *		17,693		64
Coeur Mining, Inc. *		22,763		73
Compass Minerals International, Inc.		5,816		224
Contura Energy, Inc. *		4,100		10
Covia Holdings Corp. (1)*		1,100		—
Encore Wire Corp.		5,861		246
Ferroglobe Representation & Warranty Insurance Trust (3)*		9,916		—
Kaiser Aluminum Corp.		3,781		262
Nexa Resources S.A.		26,098		91
Uranium Energy Corp. *		4,700		3
				980
Oil, Gas & Coal – 1.3%
Adams Resources & Energy, Inc.		4,989		117
Advanced Emissions Solutions, Inc.		838		5
Antero Resources Corp. *		33,330		24
Arch Coal, Inc., Class A		3,378		98
Archrock, Inc.		18,870		71
Bonanza Creek Energy, Inc. *		4,985		56
Callon Petroleum Co. *		1,193		1
CARBO Ceramics, Inc. (1)*		8,100		—
Cimarex Energy Co.		1,000		17
CNX Resources Corp. *		34,753		185
CONSOL Energy, Inc. *		5,592		21
Core Laboratories N.V.		3,910		40
Cosan Ltd., Class A *		41,871		515
CVR Energy, Inc.		4,462		74
Dawson Geophysical Co.*		16,700		16

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS - 96.3% – continued
Oil, Gas & Coal – 1.3% continued
Delek U.S. Holdings, Inc.		20,095		$317
DMC Global, Inc.		2,318		53
Dril-Quip, Inc. *		6,872		210
Era Group, Inc. *		7,151		38
Evolution Petroleum Corp.		18,555		48
Exterran Corp. *		5,978		29
Geospace Technologies Corp. *		9,559		61
Goodrich Petroleum Corp. *		1,100		5
Hallador Energy Co.		24,026		23
Helix Energy Solutions Group, Inc. *		21,746		36
HighPoint Resources Corp. *		11,000		2
Kosmos Energy Ltd.		45,924		41
Laredo Petroleum, Inc. *		14,354		5
Matrix Service Co. *		9,669		92
Mitcham Industries, Inc. *		3,700		5
MRC Global, Inc. *		17,394		74
Murphy U.S.A., Inc. *		7,013		592
NACCO Industries, Inc., Class A		2,923		82
Natural Gas Services Group, Inc. *		6,858		31
Newpark Resources, Inc. *		19,461		17
NexTier Oilfield Solutions, Inc. *		1,100		1
Northern Oil and Gas, Inc. *		10,400		7
NOW, Inc. *		11,606		60
Oasis Petroleum, Inc. *		47,303		16
Oceaneering International, Inc. *		18,022		53
Oil States International, Inc. *		9,697		20
Panhandle Oil and Gas, Inc., Class A		15,182		56
Par Pacific Holdings, Inc. *		9,910		70
Parker Drilling Co. *		7,722		65
Parsley Energy, Inc., Class A		3,441		20
PBF Energy, Inc., Class A		700		5
PDC Energy, Inc. *		12,574		78
Peabody Energy Corp.		797		2
Penn Virginia Corp. *		4,123		13
PrimeEnergy Resources Corp. *		1,637		121
Riviera Resources, Inc.		6,246		26
RPC, Inc.		8,100		17
Select Energy Services, Inc., Class A *		13,888		45
Solaris Oilfield Infrastructure, Inc., Class A		7,491		39
Talos Energy, Inc. *		6,843		39
TETRA Technologies, Inc. *		12,300		4
Thermon Group Holdings, Inc. *		9,410		142
Tidewater, Inc. *		12,109		86

See Notes to the Financial Statements.

EQUITY FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Oil, Gas & Coal – 1.3% – continued
Torchlight Energy Resources, Inc. *		2,700		$1
Ultra Petroleum Corp. *		20,300		1
US Silica Holdings, Inc.		10,305		18
VAALCO Energy, Inc. *		15,700		14
Voc Energy Trust		2,500		4
World Fuel Services Corp.		14,005		353
				4,377
Passenger Transportation – 0.3%
Allegiant Travel Co.		3,811		312
Hawaiian Holdings, Inc.		10,188		106
SkyWest, Inc.		14,030		368
Spirit Airlines, Inc. *		1,864		24
Universal Logistics Holdings, Inc.		4,672		61
				871
Real Estate – 0.5%
American Realty Investors, Inc. *		7,300		67
Consolidated-Tomoka Land Co.		4,565		207
eXp World Holdings, Inc. *		13,195		112
FRP Holdings, Inc. *		3,843		165
Griffin Industrial Realty, Inc.		3,733		122
Marcus & Millichap, Inc. *		1,856		50
McGrath RentCorp		8,180		429
Newmark Group, Inc., Class A		14,857		63
Postal Realty Trust, Inc., Class A		6,647		105
RE/MAX Holdings, Inc., Class A		6,370		140
RMR Group (The), Inc., Class A		4,017		108
Stratus Properties, Inc. *		114		2
				1,570
Real Estate Investment Trusts – 6.3%
Acadia Realty Trust		15,422		191
AG Mortgage Investment Trust, Inc.		6,304		17
Agree Realty Corp.		7,885		488
Alexander & Baldwin, Inc.		10,382		116
Alexander’s, Inc.		1,120		309
American Assets Trust, Inc.		10,188		255
American Finance Trust, Inc.		20,861		130
Anworth Mortgage Asset Corp.		18,506		21
Apollo Commercial Real Estate Finance, Inc.		30,104		223
Arbor Realty Trust, Inc.		16,934		83
Ares Commercial Real Estate Corp.		5,022		35
Arlington Asset Investment Corp., Class A (1)		10		—

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Real Estate Investment Trusts – 6.3% – continued
Armada Hoffler Properties, Inc.		5,658		$60
Blackstone Mortgage Trust, Inc., Class A		23,640		440
Bluerock Residential Growth REIT, Inc.		9,482		53
Brandywine Realty Trust		42,141		443
BRT Apartments Corp.		16,178		166
Capstead Mortgage Corp.		2,712		11
CareTrust REIT, Inc.		15,137		224
CatchMark Timber Trust, Inc., Class A		2,132		15
Cedar Realty Trust, Inc.		35,531		33
Chatham Lodging Trust		8,362		50
CIM Commercial Trust Corp.		7,722		86
Colony Credit Real Estate, Inc.		12,121		48
Columbia Property Trust, Inc.		22,134		277
Community Healthcare Trust, Inc.		4,674		179
CorEnergy Infrastructure Trust, Inc.		1,462		27
CorePoint Lodging, Inc.		12,892		50
DiamondRock Hospitality Co.		46,205		235
Diversified Healthcare Trust		50,624		184
Dynex Capital, Inc.		6,778		71
Easterly Government Properties, Inc.		14,606		360
EastGroup Properties, Inc.		7,382		771
Ellington Residential Mortgage REIT		540		3
Empire State Realty Trust, Inc., Class A		14,339		128
Essential Properties Realty Trust, Inc.		7,575		99
Exantas Capital Corp.		410		1
First Industrial Realty Trust, Inc.		25,548		849
Four Corners Property Trust, Inc.		13,826		259
Franklin Street Properties Corp.		16,843		96
Front Yard Residential Corp.		10,371		124
GEO Group (The), Inc.		27,229		331
Getty Realty Corp.		14,142		336
Gladstone Commercial Corp.		7,581		109
Gladstone Land Corp.		9,252		110
Global Medical REIT, Inc.		10,264		104
Global Net Lease, Inc.		11,146		149
Granite Point Mortgage Trust, Inc.		5,865		30
Hannon Armstrong Sustainable Infrastructure Capital, Inc.		9,315		190
Healthcare Realty Trust, Inc.		27,020		755
Hersha Hospitality Trust		13,681		49
Independence Realty Trust, Inc.		19,744		176
Industrial Logistics Properties Trust		4,738		83
Invesco Mortgage Capital, Inc.		30,099		103

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Real Estate Investment Trusts – 6.3% – continued
Investors Real Estate Trust		2,107		$116
iStar, Inc.		9,215		98
Kite Realty Group Trust		16,723		158
Ladder Capital Corp.		20,820		99
Lexington Realty Trust		47,090		468
LTC Properties, Inc.		8,666		268
Mack-Cali Realty Corp.		20,637		314
Monmouth Real Estate Investment Corp.		20,383		246
National Health Investors, Inc.		8,702		431
National Storage Affiliates Trust		5,376		159
New Senior Investment Group, Inc.		523		1
New York Mortgage Trust, Inc.		10,318		16
Office Properties Income Trust		2,445		67
One Liberty Properties, Inc.		9,745		136
Park Hotels & Resorts, Inc.		8,241		65
Pebblebrook Hotel Trust		3,176		35
Pennsylvania Real Estate Investment Trust (1)		371		—
PennyMac Mortgage Investment Trust		15,203		161
Physicians Realty Trust		39,155		546
Piedmont Office Realty Trust, Inc., Class A		24,806		438
Plymouth Industrial REIT, Inc.		6,158		69
PotlatchDeltic Corp.		16,881		530
Preferred Apartment Communities, Inc., Class A		14,508		104
PS Business Parks, Inc.		4,214		571
QTS Realty Trust, Inc., Class A		11,615		674
Ready Capital Corp.		1,442		10
Redwood Trust, Inc.		9,643		49
Retail Opportunity Investments Corp.		22,884		190
Retail Properties of America, Inc., Class A		42,732		221
Retail Value, Inc.		3,139		38
Rexford Industrial Realty, Inc.		21,870		897
RLJ Lodging Trust		15,291		118
RPT Realty		12,940		78
Ryman Hospitality Properties, Inc.		9,905		355
Sabra Health Care REIT, Inc.		12,925		141
Safehold, Inc.		1,888		119
Saul Centers, Inc.		2,500		82
SITE Centers Corp.		30,849		161
Sotherly Hotels, Inc.		21,466		34
STAG Industrial, Inc.		26,695		601
Summit Hotel Properties, Inc.		20,056		85

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Real Estate Investment Trusts – 6.3% – continued
Sunstone Hotel Investors, Inc.		48,054		$419
Tanger Factory Outlet Centers, Inc.		20,038		100
Terreno Realty Corp.		13,116		679
TPG RE Finance Trust, Inc.		5,572		31
Transcontinental Realty Investors, Inc. *		3,800		78
Two Harbors Investment Corp.		10,869		41
UMH Properties, Inc.		17,398		189
Uniti Group, Inc.		40,658		245
Universal Health Realty Income Trust		3,333		336
Urban Edge Properties		13,691		121
Urstadt Biddle Properties, Inc., Class A		3,743		53
Washington Prime Group, Inc.		32,939		26
Washington Real Estate Investment Trust		15,499		370
Western Asset Mortgage Capital Corp.		1,107		2
Whitestone REIT		11,277		70
Xenia Hotels & Resorts, Inc.		25,723		265
				21,709
Recreational Facilities & Services – 0.1%
Bowl America, Inc., Class A		492		4
Drive Shack, Inc. *		8,763		14
Marcus (The) Corp.		2,434		30
RCI Hospitality Holdings, Inc.		12,870		128
Reading International, Inc., Class A *		3,319		13
SeaWorld Entertainment, Inc. *		17,489		193
Town Sports International Holdings, Inc. *		2,621		1
				383
Renewable Energy – 0.6%
Canadian Solar, Inc. *		12,625		201
EnerSys		11,723		580
FutureFuel Corp.		13,825		156
Pacific Ethanol, Inc. *		10,100		3
Renewable Energy Group, Inc. *		19,674		404
REX American Resources Corp. *		5,410		251
SolarEdge Technologies, Inc. *		5,528		453
Ultralife Corp. *		846		4
				2,052
Retail – Consumer Staples – 0.5%
BJ’s Wholesale Club Holdings, Inc. *		20,135		513
Five Below, Inc. *		10,492		738
Ingles Markets, Inc., Class A		4,497		163
OptimizeRx Corp. *		7,722		70
PriceSmart, Inc.		3,047		160

See Notes to the Financial Statements.

EQUITY FUNDS 54 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Retail – Consumer Staples – 0.5% – continued
Village Super Market, Inc., Class A		1,547		$38
Weis Markets, Inc.		3,856		161
				1,843
Retail – Discretionary – 2.3%
1-800-Flowers.com, Inc., Class A *		3,842		51
Abercrombie & Fitch Co., Class A		12,014		109
American Eagle Outfitters, Inc.		46,259		368
America’s Car-Mart, Inc. *		2,477		140
Asbury Automotive Group, Inc. *		7,970		440
Aspen Aerogels, Inc. *		4,100		25
Beacon Roofing Supply, Inc. *		8,558		142
Bed Bath & Beyond, Inc.		26,391		111
BMC Stock Holdings, Inc. *		14,133		251
Buckle (The), Inc.		560		8
Builders FirstSource, Inc. *		7,533		92
Caleres, Inc.		12,489		65
Children’s Place (The), Inc.		5,326		104
Conn’s, Inc. *		2,468		10
Ethan Allen Interiors, Inc.		4,659		48
FirstCash, Inc.		14,303		1,026
Freshpet, Inc. *		11,409		729
Gaia, Inc. *		19,647		174
Genesco, Inc. *		2,195		29
GMS, Inc. *		6,100		96
Group 1 Automotive, Inc.		5,889		261
Guess?, Inc.		15,662		106
Haverty Furniture Cos., Inc.		9,522		113
Hibbett Sports, Inc. *		87		1
La-Z-Boy, Inc.		13,119		270
Liquidity Services, Inc. *		23,435		91
Lithia Motors, Inc., Class A		4,885		400
MarineMax, Inc. *		5,572		58
Monro, Inc.		8,007		351
National Vision Holdings, Inc. *		7,429		144
PetIQ, Inc. *		3,785		88
PetMed Express, Inc.		11,514		331
RH *		2,879		289
RTW RetailWinds, Inc. (1) *		54		—
Rush Enterprises, Inc., Class A		11,316		361
Sally Beauty Holdings, Inc. *		1,546		13
Shoe Carnival, Inc.		8,398		174
Sleep Number Corp. *		13,109		251
Sonic Automotive, Inc., Class A		7,239		96
Vera Bradley, Inc. *		5,750		24

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Retail – Discretionary – 2.3% – continued
Winmark Corp.		1,377		$175
Zumiez, Inc. *		11,260		195
				7,810
Semiconductors – 3.2%
Alpha & Omega Semiconductor Ltd. *		16,990		109
Ambarella, Inc. *		3,925		190
Amkor Technology, Inc. *		22,717		177
Axcelis Technologies, Inc. *		7,331		134
Brooks Automation, Inc.		19,606		598
Cabot Microelectronics Corp.		3,759		429
CEVA, Inc. *		5,088		127
Cirrus Logic, Inc. *		15,287		1,003
Cohu, Inc.		10,586		131
CTS Corp.		7,227		180
Diodes, Inc. *		11,657		474
DSP Group, Inc. *		2,590		35
Entegris, Inc.		32,587		1,459
FormFactor, Inc. *		4,656		93
Inphi Corp. *		8,867		702
Kulicke & Soffa Industries, Inc.		21,166		442
Lattice Semiconductor Corp. *		35,335		630
MACOM Technology Solutions Holdings, Inc. *		7,128		135
MaxLinear, Inc. *		13,420		157
NVE Corp.		3,068		160
Onto Innovation, Inc. *		14,022		416
Photronics, Inc. *		11,331		116
Power Integrations, Inc.		7,248		640
Rambus, Inc. *		27,997		311
Semtech Corp. *		16,114		604
Silicon Laboratories, Inc. *		8,697		743
Synaptics, Inc. *		4,549		263
Ultra Clean Holdings, Inc. *		9,286		128
Veeco Instruments, Inc. *		350		3
Vishay Intertechnology, Inc.		32,867		474
Xperi Corp.		5,811		81
				11,144
Software – 4.7%
ACI Worldwide, Inc. *		28,811		696
Agilysys, Inc. *		8,893		148
Allscripts Healthcare Solutions, Inc. *		25,343		178
American Software, Inc., Class A		14,697		209
Appfolio, Inc., Class A *		3,682		409
Avaya Holdings Corp. *		23,557		191

NORTHERN FUNDS ANNUAL REPORT 55 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Software – 4.7% – continued
Avid Technology, Inc. *		137		$1
Blackbaud, Inc.		11,337		630
Blackline, Inc. *		4,911		258
Bottomline Technologies DE, Inc. *		10,116		371
Box, Inc., Class A *		1,362		19
Castlight Health, Inc., Class B *		32,200		23
CCUR Holdings, Inc.		691		2
ChannelAdvisor Corp. *		7,729		56
Cloudera, Inc. *		50,233		395
CommVault Systems, Inc. *		11,147		451
Computer Programs & Systems, Inc.		1,375		31
Cornerstone OnDemand, Inc. *		13,166		418
Coupa Software, Inc. *		10,270		1,435
Daily Journal Corp. *		806		184
Digi International, Inc. *		9,459		90
Donnelley Financial Solutions, Inc. (1)*		1		—
Ebix, Inc.		7,220		110
Envestnet, Inc. *		8,997		484
Everbridge, Inc. *		5,280		562
FireEye, Inc. *		39,647		419
Five9, Inc. *		11,570		885
HubSpot, Inc. *		7,179		956
Immersion Corp. *		8,248		44
InnerWorkings, Inc. (1)*		73		—
Inovalon Holdings, Inc., Class A *		10,063		168
J2 Global, Inc.		11,693		875
LivePerson, Inc. *		11,475		261
MicroStrategy, Inc., Class A *		2,318		274
NextGen Healthcare, Inc. *		12,031		126
Omnicell, Inc. *		9,281		609
OneSpan, Inc. *		10,424		189
Park City Group, Inc. (1)*		33		—
PDF Solutions, Inc. *		9,324		109
Progress Software Corp.		9,317		298
PROS Holdings, Inc. *		11,497		357
Q2 Holdings, Inc. *		6,108		361
QAD, Inc., Class B		717		18
Qualys, Inc. *		8,138		708
Rapid7, Inc. *		8,249		357
SailPoint Technologies Holding, Inc. *		2,346		36
Simulations Plus, Inc.		9,762		341
SPS Commerce, Inc. *		9,319		433
TiVo Corp.		14,407		102
TransAct Technologies, Inc. *		376		1

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Software – 4.7% – continued
Varonis Systems, Inc. *		4,550		$290
Verint Systems, Inc. *		14,774		635
VirnetX Holding Corp. *		398		2
Workiva, Inc. *		3,226		104
Zovio, Inc. (1) *		16		—
				16,309
Specialty Finance – 1.4%
Altisource Portfolio Solutions S.A. *		9,836		75
Cardtronics PLC, Class A *		4,434		93
Cass Information Systems, Inc.		3,240		114
Curo Group Holdings Corp.		193		1
Encore Capital Group, Inc. *		4,515		106
Enova International, Inc. *		553		8
Essent Group Ltd.		18,913		498
Federal Agricultural Mortgage Corp., Class C		100		6
GATX Corp.		10,978		687
Green Dot Corp., Class A *		8,539		217
Investors Title Co.		1,925		246
LendingClub Corp. *		16,519		130
LendingTree, Inc. *		1,855		340
MGIC Investment Corp.		75,876		482
Nelnet, Inc., Class A		8,978		408
Ocwen Financial Corp. (1)*		373		—
PennyMac Financial Services, Inc.		3,869		85
PRA Group, Inc. *		10,704		297
Regional Management Corp. *		300		4
Repay Holdings Corp. *		9,188		132
Stewart Information Services Corp.		8,070		215
Walker & Dunlop, Inc.		7,628		307
Willis Lease Finance Corp. *		1,840		49
World Acceptance Corp. *		7,187		392
				4,892
Technology Services – 2.4%
CACI International, Inc., Class A *		5,537		1,169
Computer Services, Inc.		4,256		171
Conduent, Inc. *		36,751		90
CoreLogic, Inc.		12,494		381
CSG Systems International, Inc.		8,127		340
EVERTEC, Inc.		16,369		372
ExlService Holdings, Inc. *		7,797		406
ICF International, Inc.		5,978		411
Insight Enterprises, Inc. *		11,558		487
ManTech International Corp., Class A		4,982		362

See Notes to the Financial Statements.

EQUITY FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Technology Services – 2.4% – continued
MAXIMUS, Inc.		20,064		$1,168
NIC, Inc.		15,200		350
Perficient, Inc. *		8,563		232
Perspecta, Inc.		15,443		282
Science Applications International Corp.		14,441		1,078
StarTek, Inc. *		835		3
Sykes Enterprises, Inc. *		14,711		399
TTEC Holdings, Inc.		7,194		264
Virtusa Corp. *		6,147		174
				8,139
Telecom – 1.0%
ATN International, Inc.		3,036		178
Cogent Communications Holdings, Inc.		16,969		1,391
Internap Corp. (1) *		70		—
Iridium Communications, Inc. *		20,648		461
KVH Industries, Inc. *		6,492		61
Loral Space & Communications, Inc. *		664		11
Ooma, Inc. *		10,361		124
Shenandoah Telecommunications Co.		12,354		608
Spok Holdings, Inc.		14,018		150
Telephone & Data Systems, Inc.		13,647		229
Vonage Holdings Corp. *		47,020		340
Zix Corp. *		3,437		15
				3,568
Transportation & Logistics – 1.7%
Air T, Inc. *		765		10
Air Transport Services Group, Inc. *		14,669		268
ArcBest Corp.		672		12
Ardmore Shipping Corp.		10,635		56
Atlas Corp.		49,200		378
Covenant Transportation Group, Inc., Class A *		6,801		59
CryoPort, Inc. *		17,164		293
DHT Holdings, Inc.		52,559		403
Dorian LPG Ltd. *		1,355		12
Echo Global Logistics, Inc. *		10,676		182
Forward Air Corp.		8,077		409
Frontline Ltd.		31,130		299
GasLog Ltd.		13,510		49
Golar LNG Ltd.		17,006		134
Heartland Express, Inc.		15,995		297
Hornbeck Offshore Services, Inc. *		10,400		1
International Seaways, Inc.		7,146		171

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Transportation & Logistics – 1.7% – continued
Marten Transport Ltd.		11,850		$243
Matson, Inc.		11,491		352
Mobile Mini, Inc.		12,189		320
Navigator Holdings Ltd. *		16,537		74
Navios Maritime Acquisition Corp.		600		3
Nordic American Tankers Ltd.		14,700		67
Overseas Shipholding Group, Inc., Class A *		8,500		19
P.A.M. Transportation Services, Inc. *		1,375		42
Patriot Transportation Holding, Inc.		465		4
Ryder System, Inc.		10,723		283
Saia, Inc. *		7,902		581
Scorpio Tankers, Inc.		4,399		84
SEACOR Holdings, Inc. *		5,306		143
SEACOR Marine Holdings, Inc. *		5,600		24
SFL Corp. Ltd.		16,862		160
Teekay Corp. *		6,900		22
Teekay Tankers Ltd., Class A *		1,000		22
USA Truck, Inc. *		500		2
Werner Enterprises, Inc.		11,674		423
				5,901
Transportation Equipment – 0.4%
Greenbrier (The) Cos., Inc.		8,518		151
Meritor, Inc. *		7,918		105
Navistar International Corp. *		9,384		155
Spartan Motors, Inc.		27,607		356
Trinity Industries, Inc.		23,752		382
Wabash National Corp.		16,730		121
				1,270
Utilities – 5.0%
ALLETE, Inc.		12,940		785
American States Water Co.		9,941		813
Artesian Resources Corp., Class A		6,895		258
Atlantica Yield PLC		721		16
Avista Corp.		16,442		699
Black Hills Corp.		13,734		879
California Water Service Group		12,628		635
Chesapeake Utilities Corp.		4,697		403
Clearway Energy, Inc., Class A		1,149		20
Consolidated Water Co. Ltd.		14,173		232
El Paso Electric Co.		13,051		887
IDACORP, Inc.		12,817		1,125
MGE Energy, Inc.		9,218		604
Middlesex Water Co.		9,529		573

NORTHERN FUNDS ANNUAL REPORT 57 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 96.3% – continued
Utilities – 5.0% – continued
New Jersey Resources Corp.		21,626		$735
Northwest Natural Holding Co.		7,226		446
NorthWestern Corp.		12,419		743
ONE Gas, Inc.		13,896		1,162
Ormat Technologies, Inc.		9,746		659
Otter Tail Corp.		9,864		439
PNM Resources, Inc.		21,009		798
Portland General Electric Co.		23,527		1,128
RGC Resources, Inc.		936		27
SJW Group		6,921		400
South Jersey Industries, Inc.		17,178		429
Southwest Gas Holdings, Inc.		12,419		864
Spire, Inc.		11,374		847
TerraForm Power, Inc., Class A		19,744		311
Unitil Corp.		3,840		201
York Water (The) Co.		3,804		165
				17,283
Waste & Environment Services & Equipment – 0.7%
Casella Waste Systems, Inc., Class A *		4,301		168
CECO Environmental Corp. *		206		1
Covanta Holding Corp.		10,432		89
ESCO Technologies, Inc.		6,975		530
Evoqua Water Technologies Corp. *		10,752		121
Heritage-Crystal Clean, Inc. *		508		8
Sharps Compliance Corp. *		7,705		61
Tetra Tech, Inc.		16,264		1,149
US Ecology, Inc.		4,784		145
				2,272
Total Common Stocks
(Cost $292,621)				331,246
PREFERRED STOCKS – 0.0%
Manufactured Goods – 0.0%
Steel Partners Holdings L.P., 6.00%		2,636		45
Total Preferred Stocks
(Cost $67)				45
RIGHTS – 0.0%
Biotechnology & Pharmaceuticals – 0.0%
Achillion Pharmaceuticals, Inc. (Contingent Value Rights) (2)*		23,500		14
Alder Biopharmaceuticals, Inc. (Contingent Value Rights) *		8,800		8

	NUMBER OF SHARES		VALUE (000s)
RIGHTS – 0.0% – continued
Biotechnology & Pharmaceuticals – 0.0% – continued
Corium International, Inc. (Contingent Value Rights) (3)*		2,900		$–
Dova Pharmaceuticals, Inc. (Contingent Value Rights) *		4,020		2
Sinovac Biotech Ltd. (3)*		1,587		–
Tobira Therapeutics, Inc. (Contingent Value Rights) (2)*		16,926		129
				153
Chemicals – 0.0%
A. Schulman, Inc. (Contingent Value Rights) (2)*		9,541		5
Media – 0.0%
Media General, Inc. (Contingent Value Rights) (2)*		11,792		1
Medical Equipment & Devices – 0.0%
American Medical Alert Corp. (3)*		13,109		–
Specialty Finance – 0.0%
NewStar Financial, Inc. (Contingent Value Rights) (3)*		1,580		–
Total Rights
(Cost $161)				159
OTHER – 0.0%
Escrow Adolor Corp. (3)*		1,241		–
Escrow Calamos Asset Management, Inc. (3)*		2,074		–
Total Other
(Cost $–)				–
	NUMBER OF WARRANTS		VALUE (000s)
WARRANTS – 0.0%
Air T Funding, Exp. 12/31/49, Strike $100.00 (1)*		2,121		$–
Tidewater, Inc., Class A Exp. 7/31/23, Strike $0.00 (1)*		10		–
Tidewater, Inc., Class B Exp. 7/31/23, Strike $0.00 (1)*		11		–
Total Warrants
(Cost $–)				–

See Notes to the Financial Statements.

EQUITY FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.3%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (4)(5)		11,389,198		$11,389
Total Investment Companies
(Cost $11,389)				11,389
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.4%
U.S. Treasury Bill, 1.47%, 7/16/20 (6)(7)		$1,257		$1,257
Total Short-Term Investments
(Cost $1,252)				1,257
Total Investments – 100.0%
(Cost $305,490)				344,096
Liabilities less Other Assets – (0.0%)				(30	)
NET ASSETS – 100.0%				$344,066

(1) Value rounds to less than one thousand. (2) Level 3 asset.

(3) Level 3 asset that is worthless, bankrupt or has been delisted.

(4) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(5) 7-day current yield as of March 31, 2020 is disclosed. (6) Discount rate at the time of purchase.

(7) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC – Public Limited Company

REIT – Real Estate Investment Trust

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini Russell 2000 Index		225		$12,911		Long		6/20		$525

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		2.5%
Consumer Discretionary		9.2
Consumer Staples		3.8
Energy		1.8
Financials		16.6
Health Care		19.4
Industrials		16.2
Information Technology		15.3
Materials		3.3
Real Estate		6.7
Utilities		5.2
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Banking		$32,112		$42		$–		$32,154
Biotechnology & Pharmaceuticals		25,999		–		5		26,004
Insurance		11,777		71		–		11,848
All Other Industries (1)		261,240		–		–		261,240
Total Common Stocks		331,128		113		5		331,246

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP CORE FUND continued MARCH 31, 2020

INVESTMENTS	LEVEL 1 (000s)			LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Preferred Stocks		$45			$–		$–		$45
Rights:
Biotechnology & Pharmaceuticals		–			10		143		153
All Other Industries (1)		–			–		6		6
Total Rights		–			10		149		159
Warrants		–	*		–		–		–	*
Investment Companies		11,389			–		–		11,389
Short-Term Investments		–			1,257		–		1,257
Total Investments		$342,562			$1,380		$154		$344,096
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$525			$–		$–		$525

* Amounts round to less than a thousand.

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

SMALL CAP VALUE FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2%
Aerospace & Defense – 1.6%
AAR Corp.		392,898		$6,978
Barnes Group, Inc.		135,314		5,660
Kaman Corp.		76,793		2,954
Mercury Systems, Inc. *		111,330		7,943
Moog, Inc., Class A		184,527		9,324
				32,859
Apparel & Textile Products – 0.1%
Movado Group, Inc.		115,504		1,365
Skechers U.S.A., Inc., Class A *		54,353		1,291
				2,656
Asset Management – 0.7%
Blucora, Inc. *		18,714		225
Boston Private Financial Holdings, Inc.		265,149		1,896
GAIN Capital Holdings, Inc.		323,746		1,806
Kennedy-Wilson Holdings, Inc.		186,183		2,499
Stifel Financial Corp.		210,775		8,701
Waddell & Reed Financial, Inc., Class A		33,309		379
				15,506
Automotive – 0.9%
American Axle & Manufacturing Holdings, Inc. *		521,684		1,883
Cooper Tire & Rubber Co.		401,798		6,549
Cooper-Standard Holdings, Inc. *		41,543		427
Dana, Inc.		461,102		3,601
Modine Manufacturing Co. *		176,135		573
Standard Motor Products, Inc.		154,665		6,429
Superior Industries International, Inc.		2,430		3
				19,465
Banking – 18.9%
1st Source Corp.		18,308		594
Arrow Financial Corp.		15,428		430
Atlantic Union Bankshares Corp.		158,573		3,473
Axos Financial, Inc. *		87,484		1,586
BancFirst Corp.		117,072		3,907
BancorpSouth Bank		681,537		12,895
Bank of NT Butterfield & Son (The) Ltd.		56,470		962
BankFinancial Corp.		111,364		981
Banner Corp.		67,855		2,242
Berkshire Hills Bancorp, Inc.		109,618		1,629
Brookline Bancorp, Inc.		216,868		2,446
Capitol Federal Financial, Inc.		55,387		643
Cathay General Bancorp		642,391		14,743
Central Pacific Financial Corp.		37,016		589

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Banking – 18.9% – continued
City Holding Co.		124,563		$8,287
CNB Financial Corp.		43,781		826
Columbia Banking System, Inc.		206,080		5,523
Community Bank System, Inc.		184,014		10,820
Community Trust Bancorp, Inc.		160,666		5,108
CVB Financial Corp.		469,306		9,410
Dime Community Bancshares, Inc.		424,641		5,822
Eagle Bancorp, Inc.		35,108		1,061
Enterprise Financial Services Corp.		57,571		1,607
Financial Institutions, Inc.		46,013		835
First Bancorp		89,816		2,073
First BanCorp (New York Exchange)		913,604		4,860
First Busey Corp.		24,591		421
First Business Financial Services, Inc.		33,526		520
First Commonwealth Financial Corp.		148,788		1,360
First Defiance Financial Corp.		35,556		524
First Financial Bancorp		607,176		9,053
First Financial Corp.		117,905		3,976
First Interstate BancSystem, Inc., Class A		52,841		1,524
First Merchants Corp.		266,248		7,053
First Midwest Bancorp, Inc.		466,354		6,172
Flushing Financial Corp.		377,752		5,047
FNB Corp.		693,765		5,113
Fulton Financial Corp.		764,406		8,783
German American Bancorp, Inc.		64,307		1,765
Glacier Bancorp, Inc.		66,498		2,261
Great Southern Bancorp, Inc.		19,325		781
Great Western Bancorp, Inc.		326,176		6,680
Hancock Whitney Corp.		341,094		6,658
Heartland Financial U.S.A., Inc.		136,341		4,117
Heritage Financial Corp.		81,355		1,627
Home BancShares, Inc.		826,308		9,907
HomeStreet, Inc.		78,416		1,743
Hope Bancorp, Inc.		685,434		5,634
IBERIABANK Corp.		225,525		8,155
Independent Bank Corp.		172,563		11,108
Independent Bank Group, Inc.		44,545		1,055
International Bancshares Corp.		160,690		4,319
Investors Bancorp, Inc.		651,088		5,202
Lakeland Bancorp, Inc.		322,957		3,491
Lakeland Financial Corp.		157,402		5,784
Meridian Bancorp, Inc.		21,661		243
NBT Bancorp, Inc.		250,661		8,119
Northwest Bancshares, Inc.		532,440		6,160

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP VALUE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Banking – 18.9% – continued
OceanFirst Financial Corp.		136,403		$2,170
OFG Bancorp		139,139		1,556
Old National Bancorp		439,533		5,797
Park National Corp.		40,017		3,107
Peapack Gladstone Financial Corp.		6,378		114
People’s United Financial, Inc.		301,795		3,335
Pinnacle Financial Partners, Inc.		53,160		1,996
Preferred Bank		40,083		1,356
Prosperity Bancshares, Inc.		112,703		5,438
Provident Financial Services, Inc.		832,980		10,712
Renasant Corp.		333,966		7,294
S&T Bancorp, Inc.		223,419		6,104
Sandy Spring Bancorp, Inc.		111,169		2,517
Sierra Bancorp		134,795		2,370
Simmons First National Corp., Class A		387,514		7,130
South State Corp.		122,908		7,218
Southside Bancshares, Inc.		86,244		2,621
TCF Financial Corp.		392,174		8,887
Texas Capital Bancshares, Inc. *		158,157		3,506
Tompkins Financial Corp.		44,796		3,216
Towne Bank		200,612		3,629
TriCo Bancshares		144,644		4,313
TrustCo Bank Corp. NY		164,321		889
Trustmark Corp.		468,858		10,924
UMB Financial Corp.		243,907		11,312
Umpqua Holdings Corp.		449,320		4,898
United Community Banks, Inc.		209,575		3,837
Univest Financial Corp.		26,646		435
Valley National Bancorp		1,055,254		7,714
WesBanco, Inc.		235,976		5,593
Westamerica Bancorporation		21,776		1,280
WSFS Financial Corp.		121,925		3,038
				392,013
Biotechnology & Pharmaceuticals – 0.9%
Emergent BioSolutions, Inc. *		152,039		8,797
Endo International PLC *		365,269		1,351
PDL BioPharma, Inc. *		1,396,839		3,939
Prestige Consumer Healthcare, Inc. *		74,088		2,718
Taro Pharmaceutical Industries Ltd. *		16,066		983
				17,788
Chemicals – 1.8%
H.B. Fuller Co.		280,164		7,825
Innospec, Inc.		124,407		8,645

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Chemicals – 1.8% – continued
Kraton Corp. *		117,753		$954
Materion Corp.		39,343		1,377
Minerals Technologies, Inc.		268,099		9,721
PQ Group Holdings, Inc. *		138,460		1,509
Sensient Technologies Corp.		112,530		4,896
Stepan Co.		31,969		2,828
Univar Solutions, Inc. *		10,965		118
				37,873
Commercial Services – 3.5%
ABM Industries, Inc.		468,952		11,424
Barrett Business Services, Inc.		31,542		1,250
CBIZ, Inc. *		124,951		2,614
Ennis, Inc.		326,652		6,134
FTI Consulting, Inc. *		263,043		31,505
Kforce, Inc.		72,529		1,855
Korn Ferry		313,992		7,636
TrueBlue, Inc. *		16,461		210
UniFirst Corp.		61,213		9,249
Viad Corp.		43,200		917
				72,794
Construction Materials – 0.8%
Boise Cascade Co.		152,281		3,621
Simpson Manufacturing Co., Inc.		159,610		9,893
Universal Forest Products, Inc.		88,496		3,291
				16,805
Consumer Products – 2.6%
Cal-Maine Foods, Inc.		101,961		4,484
Central Garden & Pet Co., Class A *		25,788		660
Darling Ingredients, Inc. *		793,992		15,221
Fresh Del Monte Produce, Inc.		28,842		796
Helen of Troy Ltd. *		73,105		10,529
Inter Parfums, Inc.		174,986		8,111
MGP Ingredients, Inc.		6,700		180
Nomad Foods Ltd. *		69,697		1,294
Phibro Animal Health Corp., Class A		7,848		190
Simply Good Foods (The) Co. *		83,560		1,609
Universal Corp.		236,058		10,436
				53,510
Consumer Services – 0.8%
Aaron’s, Inc.		279,325		6,363
Adtalem Global Education, Inc. *		308,012		8,252

See Notes to the Financial Statements.

EQUITY FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Consumer Services – 0.8% – continued
Laureate Education, Inc., Class A *		120,201		$1,263
Regis Corp. *		177,925		1,052
				16,930
Containers & Packaging – 0.1%
Myers Industries, Inc.		298,315		3,207
Design, Manufacturing & Distribution – 2.0%
Benchmark Electronics, Inc.		477,934		9,554
Fabrinet *		121,662		6,638
Plexus Corp. *		299,758		16,355
Sanmina Corp. *		69,804		1,904
Tech Data Corp. *		53,229		6,965
				41,416
Distributors - Consumer Staples – 0.4%
Andersons (The), Inc.		354,163		6,640
Core-Mark Holding Co., Inc.		81,477		2,328
				8,968
Distributors - Discretionary – 0.5%
ePlus, Inc. *		14,872		931
G-III Apparel Group Ltd. *		19,663		152
PC Connection, Inc.		250,263		10,313
				11,396
Electrical Equipment – 1.4%
Advanced Energy Industries, Inc. *		165,079		8,005
Belden, Inc.		203,989		7,360
KEMET Corp.		22,678		548
Littelfuse, Inc.		1,681		224
Watts Water Technologies, Inc., Class A		152,730		12,928
				29,065
Engineering & Construction Services – 0.6%
Aegion Corp. *		238,033		4,268
Dycom Industries, Inc. *		12,233		314
EMCOR Group, Inc.		46,304		2,839
KBR, Inc.		200,037		4,137
Primoris Services Corp.		20,643		328
TopBuild Corp. *		14,239		1,020
				12,906
Forest & Paper Products – 0.5%
Mercer International, Inc.		538,589		3,899
Neenah, Inc.		44,647		1,926
P.H. Glatfelter Co.		229,697		2,807
Schweitzer-Mauduit International, Inc.		41,068		1,142
				9,774

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Gaming, Lodging & Restaurants – 0.7%
Boyd Gaming Corp.		45,075		$650
Marriott Vacations Worldwide Corp.		125,618		6,982
Monarch Casino & Resort, Inc. *		24,064		675
St. Joe (The) Co. *		112,619		1,890
Texas Roadhouse, Inc.		91,090		3,762
				13,959
Hardware – 0.8%
ADTRAN, Inc.		185,668		1,426
Arlo Technologies, Inc. *		344,573		837
Knowles Corp. *		434,774		5,817
NETGEAR, Inc. *		174,001		3,974
NetScout Systems, Inc. *		133,793		3,167
PC-Tel, Inc. *		40,999		273
Plantronics, Inc.		40,048		403
TTM Technologies, Inc. *		41,002		424
				16,321
Health Care Facilities & Services – 1.6%
LHC Group, Inc. *		54,646		7,661
Magellan Health, Inc. *		212,271		10,212
MedCath Corp.(1)  *		106,845		–
National HealthCare Corp.		45,655		3,275
Patterson Cos., Inc.		96,861		1,481
Select Medical Holdings Corp. *		318,182		4,773
Triple-S Management Corp., Class B *		367,135		5,177
				32,579
Home & Office Products – 1.4%
ACCO Brands Corp.		421,488		2,128
Beazer Homes U.S.A., Inc. *		202,441		1,304
Hooker Furniture Corp.		118,701		1,853
Interface, Inc.		23,773		180
KB Home		212,804		3,852
MDC Holdings, Inc.		171,828		3,986
Meritage Homes Corp. *		201,339		7,351
Steelcase, Inc., Class A		101,970		1,006
Taylor Morrison Home Corp. *		109,526		1,205
TRI Pointe Group, Inc. *		620,847		5,445
				28,310
Industrial Services – 0.2%
Applied Industrial Technologies, Inc.		32,101		1,468
Systemax, Inc.		14,894		264
Triton International Ltd.		77,378		2,002
WESCO International, Inc. *		64,605		1,476
				5,210

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP VALUE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Institutional Financial Services – 0.0%
Virtu Financial, Inc., Class A		36,663		$763
Insurance – 5.0%
American Equity Investment Life Holding Co.		494,016		9,288
AMERISAFE, Inc.		112,267		7,238
Argo Group International Holdings Ltd.		88,737		3,289
CNO Financial Group, Inc.		710,791		8,807
Employers Holdings, Inc.		327,899		13,283
Enstar Group Ltd. *		36,564		5,816
FBL Financial Group, Inc., Class A		83,704		3,906
GWG Holdings, Inc. *		7,314		74
Hanover Insurance Group (The), Inc.		17,026		1,542
Horace Mann Educators Corp.		386,010		14,124
Kemper Corp.		97,097		7,221
National General Holdings Corp.		132,684		2,196
NMI Holdings, Inc., Class A *		25,994		302
ProAssurance Corp.		110,445		2,761
Radian Group, Inc.		1,089,188		14,105
Selective Insurance Group, Inc.		102,886		5,113
United Fire Group, Inc.		147,958		4,825
Universal Insurance Holdings, Inc.		13,967		250
				104,140
Iron & Steel – 1.2%
Allegheny Technologies, Inc. *		684,731		5,820
Carpenter Technology Corp.		214,921		4,191
Cleveland-Cliffs, Inc.		744,088		2,939
Commercial Metals Co.		481,774		7,607
Schnitzer Steel Industries, Inc., Class A		81,919		1,068
Warrior Met Coal, Inc.		229,907		2,442
				24,067
Leisure Products – 0.4%
Acushnet Holdings Corp.		107,072		2,754
Callaway Golf Co.		522,363		5,338
				8,092
Machinery – 1.3%
Alamo Group, Inc.		30,927		2,746
Altra Industrial Motion Corp.		65,592		1,147
CIRCOR International, Inc. *		600		7
Columbus McKinnon Corp.		74,137		1,853
Curtiss-Wright Corp.		36,495		3,373
Federal Signal Corp.		24,037		656
Hollysys Automation Technologies Ltd.		24,175		312
Hyster-Yale Materials Handling, Inc.		5,071		203

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Machinery – 1.3% – continued
Kadant, Inc.		37,495		$2,799
Kennametal, Inc.		83,884		1,562
MTS Systems Corp.		6,263		141
Regal Beloit Corp.		102,094		6,427
Rexnord Corp.		41,657		944
SPX FLOW, Inc. *		17,023		484
Standex International Corp.		91,299		4,475
				27,129
Manufactured Goods – 0.3%
AZZ, Inc.		10,400		293
Chart Industries, Inc. *		111,832		3,241
EnPro Industries, Inc.		8,651		342
Gibraltar Industries, Inc. *		12,720		546
Timken (The) Co.		31,202		1,009
				5,431
Media – 1.8%
Entercom Communications Corp.,
Class A		319,722		547
EW Scripps (The) Co., Class A		734,971		5,542
Gannett Co., Inc.		23,733		35
Hemisphere Media Group, Inc. *		84,035		718
Meredith Corp.		214,395		2,620
New York Times (The) Co., Class A		150,240		4,614
Scholastic Corp.		374,405		9,543
Sinclair Broadcast Group, Inc., Class A		30,652		493
TEGNA, Inc.		1,137,444		12,352
				36,464
Medical Equipment & Devices – 2.5%
AngioDynamics, Inc. *		325,859		3,399
Avanos Medical, Inc. *		308,668		8,312
CONMED Corp.		129,692		7,428
CryoLife, Inc. *		333,314		5,640
Integer Holdings Corp. *		220,844		13,882
Luminex Corp.		193,354		5,323
Myriad Genetics, Inc. *		436,574		6,247
Natus Medical, Inc. *		22,145		512
Orthofix Medical, Inc. *		52,442		1,469
				52,212
Metals & Mining – 0.5%
Encore Wire Corp.		55,757		2,341
Kaiser Aluminum Corp.		111,212		7,705
				10,046

See Notes to the Financial Statements.

EQUITY FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Oil, Gas & Coal – 1.8%
Abraxas Petroleum Corp. *		183,307		$22
Arch Coal, Inc., Class A		82,222		2,376
Bonanza Creek Energy, Inc. *		178,300		2,006
CNX Resources Corp. *		89,644		477
CVR Energy, Inc.		34,786		575
Delek U.S. Holdings, Inc.		463,709		7,308
Diamond Offshore Drilling, Inc. *		377,157		690
Dril-Quip, Inc. *		198,924		6,067
Exterran Corp. *		142,204		683
Matador Resources Co. *		118,726		294
Matrix Service Co. *		246,978		2,339
Natural Gas Services Group, Inc. *		181,589		810
Newpark Resources, Inc. *		902,480		810
Oil States International, Inc. *		53,092		108
Par Pacific Holdings, Inc. *		55,970		397
Parsley Energy, Inc., Class A		97,280		557
PBF Energy, Inc., Class A		44,339		314
PDC Energy, Inc. *		419,231		2,603
Peabody Energy Corp.		245,326		712
Penn Virginia Corp. *		128,300		397
ProPetro Holding Corp. *		408,972		1,022
RPC, Inc.		672,500		1,385
SM Energy Co.		44,721		55
Southwestern Energy Co. *		787,530		1,331
Thermon Group Holdings, Inc. *		124,381		1,874
W&T Offshore, Inc. *		23,250		40
World Fuel Services Corp.		68,521		1,725
				36,977
Passenger Transportation – 0.2%
Hawaiian Holdings, Inc.		62,762		655
SkyWest, Inc.		73,420		1,923
Spirit Airlines, Inc. *		97,156		1,252
				3,830
Real Estate – 0.3%
McGrath RentCorp		101,880		5,336
Real Estate Investment Trusts – 11.5%
Acadia Realty Trust		317,692		3,936
Agree Realty Corp.		177,845		11,009
American Assets Trust, Inc.		95,078		2,377
Apple Hospitality REIT, Inc.		92,283		846
Blackstone Mortgage Trust, Inc., Class A		309,158		5,756
Brandywine Realty Trust		71,525		752

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Real Estate Investment Trusts – 11.5% – continued
Capstead Mortgage Corp.		847,585		$3,560
CareTrust REIT, Inc.		231,500		3,424
Chatham Lodging Trust		209,659		1,245
City Office REIT, Inc.		78,400		567
CorEnergy Infrastructure Trust, Inc.		41,427		761
Corporate Office Properties Trust		103,192		2,284
Cousins Properties, Inc.		436,648		12,781
DiamondRock Hospitality Co.		1,655,568		8,410
Exantas Capital Corp.		520,780		1,437
First Industrial Realty Trust, Inc.		392,418		13,040
Franklin Street Properties Corp.		201,342		1,154
Getty Realty Corp.		97,800		2,322
Hannon Armstrong Sustainable Infrastructure Capital, Inc.		65,143		1,330
Healthcare Realty Trust, Inc.		441,990		12,345
Hersha Hospitality Trust		49,956		179
Independence Realty Trust, Inc.		182,539		1,632
Industrial Logistics Properties Trust		121,414		2,130
Kite Realty Group Trust		80,751		765
Ladder Capital Corp.		566,091		2,683
Lexington Realty Trust		239,729		2,380
Life Storage, Inc.		18,636		1,762
LTC Properties, Inc.		119,300		3,686
Mack-Cali Realty Corp.		435,112		6,627
MFA Financial, Inc.		837,952		1,299
Monmouth Real Estate Investment Corp.		78,327		944
National Health Investors, Inc.		168,415		8,340
New York Mortgage Trust, Inc.		347,943		539
Office Properties Income Trust		62,820		1,712
One Liberty Properties, Inc.		121,339		1,690
Orchid Island Capital, Inc.		857,544		2,530
Park Hotels & Resorts, Inc.		437,538		3,461
Physicians Realty Trust		661,333		9,219
Piedmont Office Realty Trust, Inc., Class A		504,321		8,906
PotlatchDeltic Corp.		268,586		8,431
PS Business Parks, Inc.		70,441		9,546
Ready Capital Corp.		413,412		2,985
Retail Opportunity Investments Corp.		45,039		373
Retail Properties of America, Inc., Class A		87,934		455
Rexford Industrial Realty, Inc.		32,483		1,332
RLJ Lodging Trust		917,230		7,081
RPT Realty		793,883		4,787

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP VALUE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Real Estate Investment Trusts – 11.5% – continued
Sabra Health Care REIT, Inc.		667,666		$7,291
Service Properties Trust		65,844		356
Spirit Realty Capital, Inc.		34,167		893
STAG Industrial, Inc.		538,716		12,132
Summit Hotel Properties, Inc.		313,547		1,323
Sunstone Hotel Investors, Inc.		1,162,039		10,121
Terreno Realty Corp.		166,875		8,636
Washington Prime Group, Inc.		566,819		456
Washington Real Estate Investment Trust		196,430		4,689
Weingarten Realty Investors		216,884		3,130
Xenia Hotels & Resorts, Inc.		440,939		4,542
				238,379
Recreational Facilities & Services – 0.2%
Marcus (The) Corp.		319,528		3,937
Renewable Energy – 0.8%
Canadian Solar, Inc. *		23,436		373
EnerSys		130,367		6,456
Green Plains, Inc.		219,795		1,066
Renewable Energy Group, Inc. *		148,298		3,045
REX American Resources Corp. *		108,414		5,042
				15,982
Retail - Consumer Staples – 0.2%
Ingles Markets, Inc., Class A		35,055		1,268
PriceSmart, Inc.		22,366		1,175
SpartanNash Co.		18,408		264
Village Super Market, Inc., Class A		38,861		955
Weis Markets, Inc.		27,012		1,125
				4,787
Retail - Discretionary – 3.1%
Abercrombie & Fitch Co., Class A		27,249		248
American Eagle Outfitters, Inc.		180,250		1,433
AutoNation, Inc. *		36,787		1,032
BMC Stock Holdings, Inc. *		283,971		5,035
Boot Barn Holdings, Inc. *		80,448		1,040
Builders FirstSource, Inc. *		117,929		1,442
Caleres, Inc.		113,149		588
Chico’s FAS,Inc.		51,202		66
Children’s Place (The), Inc.		26,576		520
Citi Trends, Inc.		43,770		390
Conn’s, Inc. *		64,764		271
Designer Brands, Inc., Class A		400,939		1,997
Dick’s Sporting Goods, Inc.		33,130		704
Dillard’s, Inc., Class A		9,805		362

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Retail - Discretionary – 3.1% – continued
Ethan Allen Interiors, Inc.		150,828		$1,541
Foot Locker, Inc.		48,558		1,071
Genesco, Inc. *		150,252		2,004
Group 1 Automotive, Inc.		257,783		11,409
Haverty Furniture Cos., Inc.		189,720		2,256
La-Z-Boy, Inc.		292,242		6,006
Lithia Motors,Inc.,Class A		22,797		1,865
Office Depot, Inc.		2,063,043		3,383
Penske Automotive Group, Inc.		34,043		953
Rush Enterprises, Inc., Class A		256,993		8,203
Shoe Carnival, Inc.		248,618		5,164
Sonic Automotive, Inc., Class A		413,065		5,486
				64,469
Semiconductors – 2.6%
Amkor Technology, Inc. *		1,142,865		8,903
Cirrus Logic, Inc. *		60,968		4,001
Cohu, Inc.		113,743		1,408
CTS Corp.		385,248		9,589
Diodes, Inc. *		174,449		7,089
FormFactor, Inc. *		120,407		2,419
II-VI, Inc. *		274,310		7,818
Kulicke & Soffa Industries, Inc.		28,289		590
Onto Innovation, Inc. *		9,519		283
Photronics, Inc. *		477,590		4,900
Power Integrations, Inc.		35,486		3,135
Semtech Corp. *		50,357		1,888
Vishay Intertechnology, Inc.		188,133		2,711
				54,734
Software – 0.4%
Allscripts Healthcare Solutions, Inc. *		174,772		1,231
Digi International, Inc. *		101,975		973
Ebix, Inc.		57,060		866
Progress Software Corp.		142,662		4,565
				7,635
Specialty Finance – 1.4%
Encore Capital Group, Inc. *		152,754		3,572
Enova International, Inc. *		69,778		1,011
Essent Group Ltd.		39,303		1,035
First American Financial Corp.		60,294		2,557
GATX Corp.		208,917		13,070
Marlin Business Services Corp.		35,711		399
Nelnet, Inc., Class A		93,090		4,227
Ocwen Financial Corp. *		123,723		62

See Notes to the Financial Statements.

EQUITY FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 92.2% – continued
Specialty Finance – 1.4% – continued
On Deck Capital, Inc. *		640,966		$987
Walker & Dunlop, Inc.		12,336		497
World Acceptance Corp. *		24,397		1,332
				28,749
Technology Services – 3.0%
CSG Systems International, Inc.		32,705		1,369
ICF International, Inc.		74,701		5,132
Insight Enterprises, Inc. *		526,284		22,172
LiveRamp Holdings, Inc. *		279,437		9,199
ManTech International Corp., Class A		213,868		15,542
Perficient, Inc. *		186,749		5,059
Sykes Enterprises, Inc. *		144,016		3,906
				62,379
Telecom – 1.1%
ATN International, Inc.		31,119		1,827
EchoStar Corp., Class A *		19,313		617
Iridium Communications, Inc. *		556,196		12,420
Shenandoah Telecommunications Co.		53,333		2,627
Telephone & Data Systems, Inc.		257,836		4,321
United States Cellular Corp. *		20,882		612
				22,424
Transportation & Logistics – 2.2%
ArcBest Corp.		86,072		1,508
Ardmore Shipping Corp.		241,373		1,267
DHT Holdings, Inc.		807,668		6,195
Echo Global Logistics, Inc. *		111,935		1,912
Frontline Ltd.		754,341		7,249
GasLog Ltd.		32,337		117
Matson, Inc.		60,691		1,858
Navigator Holdings Ltd. *		217,162		969
Saia, Inc. *		108,317		7,966
Schneider National, Inc., Class B		37,900		733
SEACOR Holdings, Inc. *		46,768		1,261
SFL Corp. Ltd.		1,241,541		11,757
Teekay Corp. *		41,912		132
Werner Enterprises, Inc.		100,930		3,660
				46,584
Transportation Equipment – 0.0%
Wabash National Corp.		23,096		167
Utilities – 7.2%
ALLETE, Inc.		124,940		7,581
Black Hills Corp.		162,491		10,404
El Paso Electric Co.		122,022		8,293

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS - 92.2% – continued
Utilities – 7.2% – continued
National Fuel Gas Co.		34,374		$1,282
New Jersey Resources Corp.		236,700		8,041
NorthWestern Corp.		315,479		18,875
ONE Gas, Inc.		164,703		13,773
Ormat Technologies, Inc.		20,308		1,374
Otter Tail Corp.		204,958		9,112
PNM Resources, Inc.		438,809		16,675
Portland General Electric Co.		345,787		16,577
SJW Group		8,849		511
Southwest Gas Holdings, Inc.		303,457		21,109
Spire, Inc.		169,447		12,620
Unitil Corp.		45,700		2,391
				148,618
Waste & Environment Services & Equipment – 0.4%
Clean Harbors, Inc. *		22,638		1,162
Tetra Tech, Inc.		117,051		8,266
				9,428
Total Common Stocks
(Cost $2,058,513)				1,914,069
MASTER LIMITED PARTNERSHIPS – 0.2%
Asset Management – 0.2%
Compass Diversified Holdings		368,488		4,938
Total Master Limited Partnerships
(Cost $4,822)				4,938
RIGHTS – 0.0%
Chemicals – 0.0%
A. Schulman, Inc. (Contingent Value Rights) (2)*		237,199		124
Total Rights
(Cost $475)				124
OTHER – 0.0%
Escrow Calamos Asset Management, Inc. (1)*		8,063		—
Escrow DLB Oil & Gas (1)*		2,100		—
Escrow Spirit MTA REIT (2)*		17,083		13
Total Other
(Cost $13)				13

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP VALUE FUND continued

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 6.6%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (3)(4)		136,890,295		$136,890
Total Investment Companies
(Cost $136,890)				136,890
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.3%
U.S. Treasury Bill, 1.47%, 7/16/20 (5)(6)		$7,359		$7,357
Total Short-Term Investments
(Cost $7,327)				7,357
Total Investments – 99.3%
(Cost $2,208,040)				2,063,391
Other Assets less Liabilities – 0.7%				13,509
NET ASSETS – 100.0%				$2,076,900

(1) Level 3 asset that is worthless, bankrupt or has been delisted.

(2) Level 3 asset.

(3) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(4) 7-day current yield as of March 31, 2020 is disclosed.

(5) Discount rate at the time of purchase.

(6) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC - Public Limited Company

REIT - Real Estate Investment Trust S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini Russell 2000 Index		2,239		$128,474		Long		6/20		$3,336
E-Mini S&P 500		247		31,736		Long		6/20		580
Total										$3,916

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		3.2%
Consumer Discretionary		7.7
Consumer Staples		2.8
Energy		3.8
Financials		28.7
Health Care		5.4
Industrials		13.6
Information Technology		10.9
Materials		4.5
Real Estate		11.6
Utilities		7.8
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

See Notes to the Financial Statements.

EQUITY FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$1,914,069		$–		$–		$1,914,069
Master Limited
Partnerships (1)		4,938		–		–		4,938
Rights (1)		–		–		124		124
Other		–		–		13		13
Investment Companies		136,890		–		–		136,890
Short-Term Investments		–		7,357		–		7,357
Total Investments		$2,055,897		$7,357		$137		$2,063,391
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$3,916		$–		$–		$3,916

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

U.S. QUALITY ESG FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3%
Aerospace & Defense – 1.3%
Lockheed Martin Corp.		4,094		$1,388
Apparel & Textile Products – 1.8%
Hanesbrands, Inc.		56,228		442
NIKE, Inc., Class B		12,145		1,005
VF Corp.		8,611		466
				1,913
Asset Management – 1.7%
Ameriprise Financial, Inc.		5,257		539
Charles Schwab (The) Corp.		21,556		724
T. Rowe Price Group, Inc.		5,835		570
				1,833
Automotive – 0.2%
Aptiv PLC		4,525		223
Banking – 4.2%
Bank of America Corp.		36,347		772
Citigroup, Inc.		31,746		1,337
Comerica, Inc.		1,402		41
First Republic Bank		1,278		105
JPMorgan Chase & Co.		18,443		1,661
SVB Financial Group *		433		65
Zions Bancorp N.A.		15,947		427
				4,408
Biotechnology & Pharmaceuticals – 9.7%
AbbVie, Inc.		9,875		752
Amgen, Inc.		9,727		1,972
Biogen, Inc. *		2,325		735
Bristol-Myers Squibb Co.		4,693		262
Eli Lilly & Co.		7,316		1,015
Gilead Sciences, Inc.		19,446		1,454
Johnson & Johnson		8,904		1,167
Merck & Co., Inc.		34,788		2,677
Pfizer, Inc.		7,992		261
				10,295
Chemicals – 0.7%
3M Co.		888		121
Ecolab, Inc.		3,382		527
PPG Industries, Inc.		427		36
				684
Commercial Services – 0.6%
ManpowerGroup, Inc.		8,128		430
Robert Half International, Inc.		4,761		180
				610

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3% – continued
Consumer Products – 7.1%
Clorox (The) Co.		3,702		$641
Coca-Cola (The) Co.		7,565		335
Colgate-Palmolive Co.		14,600		969
General Mills, Inc.		17,864		943
Herbalife Nutrition Ltd. *		1,642		48
Kellogg Co.		7,740		464
Kimberly-Clark Corp.		4,830		618
PepsiCo, Inc.		14,443		1,734
Procter & Gamble (The) Co.		16,003		1,760
				7,512
Design, Manufacturing & Distribution – 0.1%
Avnet, Inc.		4,339		109
Distributors – Consumer Staples – 0.4%
Bunge Ltd.		9,645		396
Electrical Equipment – 2.9%
Acuity Brands, Inc.		4,933		423
General Electric Co.		33,434		265
Honeywell International, Inc.		7,124		953
Johnson Controls International PLC		20,627		556
Lennox International, Inc.		353		64
Rockwell Automation, Inc.		3,872		584
Trane Technologies PLC		2,878		238
				3,083
Forest & Paper Products – 0.3%
Domtar Corp.		15,680		339
Gaming, Lodging & Restaurants – 0.6%
Domino’s Pizza, Inc.		816		264
Marriott International, Inc., Class A		4,824		361
				625
Hardware – 8.1%
Apple, Inc.		24,570		6,248
Cisco Systems, Inc.		18,398		723
F5 Networks, Inc. *		379		40
HP, Inc.		28,729		499
Motorola Solutions, Inc.		2,792		371
Xerox Holdings Corp.		5,174		98
Zebra Technologies Corp., Class A *		3,015		554
				8,533
Health Care Facilities & Services – 3.7%
AmerisourceBergen Corp.		4,759		421
Cardinal Health, Inc.		16,208		777
HCA Healthcare, Inc.		3,878		348

See Notes to the Financial Statements.

EQUITY FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3% – continued
Health Care Facilities & Services – 3.7% – continued
Henry Schein, Inc. *		12,069		$610
Humana, Inc.		2,243		704
Molina Healthcare, Inc. *		3,383		473
UnitedHealth Group, Inc.		2,345		585
				3,918
Home & Office Products – 0.2%
Tempur Sealy International, Inc. *		1,564		68
Toll Brothers, Inc.		5,115		99
				167
Industrial Services – 0.6%
W.W. Grainger, Inc.		2,494		620
Institutional Financial Services – 1.1%
Bank of New York Mellon (The) Corp.		7,403		250
Goldman Sachs Group (The), Inc.		4,658		720
Morgan Stanley		2,973		101
State Street Corp.		1,583		84
				1,155
Insurance – 1.7%
Allstate (The) Corp.		6,190		568
Aon PLC		4,134		682
Loews Corp.		3,197		111
Marsh & McLennan Cos., Inc.		1,190		103
Travelers (The) Cos., Inc.		3,821		380
				1,844
Iron & Steel – 0.0%
Nucor Corp.		1,017		37
Machinery – 2.3%
AGCO Corp.		2,029		96
Caterpillar, Inc.		9,377		1,088
Illinois Tool Works, Inc.		4,349		618
Ingersoll Rand, Inc. *		2,539		63
Oshkosh Corp. (New York Exchange)		8,633		555
				2,420
Media – 7.3%
Alphabet, Inc., Class A *		2,739		3,183
Alphabet, Inc., Class C *		1,210		1,407
Booking Holdings, Inc. *		294		395
Facebook, Inc., Class A *		7,752		1,293
John Wiley & Sons, Inc., Class A		13,370		501
New York Times (The) Co., Class A		23,271		715
Sirius XM Holdings, Inc.		51,558		255
				7,749

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3% – continued
Medical Equipment & Devices – 3.8%
Abbott Laboratories		1,384		$109
Agilent Technologies, Inc.		10,594		759
Hologic, Inc. *		8,872		311
IDEXX Laboratories, Inc. *		1,800		436
Medtronic PLC		3,775		341
Mettler-Toledo International, Inc. *		1,101		760
ResMed, Inc.		2,195		323
Thermo Fisher Scientific, Inc.		1,281		363
Waters Corp. *		3,618		659
				4,061
Metals & Mining – 0.5%
Royal Gold, Inc.		6,432		564
Oil, Gas & Coal – 1.3%
Baker Hughes Co.		33,549		352
ConocoPhillips		13,807		425
Phillips 66		4,154		223
Schlumberger Ltd.		3,123		42
Valero Energy Corp.		7,415		337
				1,379
Real Estate Investment Trusts – 4.8%
American Tower Corp.		7,528		1,639
AvalonBay Communities, Inc.		2,962		436
Boston Properties, Inc.		1,647		152
Corporate Office Properties Trust		11,388		252
Host Hotels & Resorts, Inc.		5,591		62
Jones Lang LaSalle, Inc.		1,008		102
Kilroy Realty Corp.		9,258		590
Prologis, Inc. (New York Exchange)		20,293		1,631
Simon Property Group, Inc.		591		32
UDR, Inc.		1,317		48
Welltower, Inc. (New York Exchange)		2,352		108
				5,052
Retail – Consumer Staples – 0.3%
Kroger (The) Co.		10,658		321
Retail – Discretionary – 6.4%
Amazon.com, Inc. *		979		1,909
Best Buy Co., Inc.		9,772		557
eBay, Inc.		12,282		369
Foot Locker, Inc.		3,210		71
Home Depot (The), Inc.		13,490		2,519
Lowe’s Cos., Inc.		11,622		1,000

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 EQUITY FUNDS

SCHEDULE OF INVESTMENTS

U.S. QUALITY ESG FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3% – continued
Retail – Discretionary – 6.4% – continued
Tractor Supply Co.		612		$52
Williams-Sonoma, Inc.		6,901		293
				6,770
Semiconductors – 3.6%
Applied Materials, Inc.		13,044		598
Intel Corp.		10,270		556
Lam Research Corp.		287		69
NVIDIA Corp.		3,556		937
Texas Instruments, Inc.		15,933		1,592
				3,752
Software – 8.8%
Activision Blizzard, Inc.		3,235		192
Adobe, Inc. (NASDAQ Exchange) *		960		306
Cadence Design Systems, Inc. *		7,785		514
Citrix Systems, Inc.		2,163		306
Electronic Arts, Inc. *		3,618		362
Intuit, Inc. (NASDAQ Exchange)		4,046		931
Manhattan Associates, Inc. *		2,641		132
Microsoft Corp.		34,754		5,481
Oracle Corp.		6,844		331
Veeva Systems, Inc., Class A *		814		127
VMware, Inc., Class A *		5,436		658
				9,340
Specialty Finance – 5.9%
Ally Financial, Inc.		23,397		338
American Express Co.		11,669		999
Jack Henry & Associates, Inc.		841		130
Mastercard, Inc., Class A		15,470		3,737
Visa, Inc., Class A		4,642		748
Western Union (The) Co.		13,609		247
				6,199
Technology Services – 3.5%
Accenture PLC, Class A		7,055		1,152
Broadridge Financial Solutions, Inc. ADR		2,361		224
Cognizant Technology Solutions Corp., Class A		693		32
FactSet Research Systems, Inc.		2,902		756
International Business Machines Corp.		9,469		1,050
Moody’s Corp.		1,294		274
S&P Global, Inc.		852		209
				3,697

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.3% – continued
Telecom – 1.0%
AT&T, Inc.		15,476		$451
Verizon Communications, Inc.		10,997		591
				1,042
Transportation & Logistics – 0.6%
Expeditors International of Washington, Inc.		9,596		640
Transportation Equipment – 0.7%
Allison Transmission Holdings, Inc.		1,904		62
Cummins, Inc.		4,964		672
				734
Utilities – 1.5%
AES Corp.		7,675		104
Exelon Corp.		21,539		793
IDACORP, Inc.		1,062		93
NextEra Energy, Inc.		2,339		563
				1,553
Total Common Stocks
(Cost $113,762)				104,965
INVESTMENT COMPANIES – 0.5%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (1)(2)		535,885		536
Total Investment Companies
(Cost $536)				536
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.1%
U.S. Treasury Bill, 1.42%, 7/16/20 (3)(4)		$135		$135
Total Short-Term Investments
(Cost $135)				135
Total Investments – 99.9%
(Cost $114,433)				105,636
Other Assets less Liabilities – 0.1%				138
NET ASSETS – 100.0%				$105,774

(1) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(2) 7-day current yield as of March 31, 2020 is disclosed.

(3) Discount rate at the time of purchase.

(4) Security pledged as collateral to cover margin requirements for open futures contracts.

See Notes to the Financial Statements.

EQUITY FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

PLC – Public Limited Company

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)  (1)
E-Mini S&P 500		5		$642		Long		6/20		$34

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		8.5%
Consumer Discretionary		9.6
Consumer Staples		7.9
Energy		1.3
Financials		11.3
Health Care		17.5
Industrials		9.2
Information Technology		27.0
Materials		1.4
Real Estate		4.8
Utilities		1.5
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$104,965		$–		$–		$104,965
Investment Companies		536		–		–		536
Short-Term Investments		–		135		–		135
Total Investments		$105,501		$135		$–		$105,636
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$34		$–		$–		$34

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 EQUITY FUNDS

EQUITY FUNDS

NOTES TO THE FINANCIAL STATEMENTS

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Income Equity, International Equity, Large Cap Core, Large Cap Value, Small Cap Core, Small Cap Value and U.S. Quality ESG Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES AND DERIVATIVE CONTRACTS Securities are valued at their fair value. Securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent

third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange-traded funds, are valued at their NAV. Spot and forward foreign currency exchange contracts are generally valued using an independent pricing service. Exchange-traded financial futures and options are valued at the settlement price as established by the exchange on which they are traded. The foregoing prices may be obtained from one or more independent pricing services or, as needed or applicable, independent broker-dealers. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by a Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) FUTURES CONTRACTS Certain Funds invest in long or short exchange-traded futures contracts for hedging purposes, to increase total return (i.e., for speculative purposes) or to maintain liquidity to meet potential shareholder redemptions, to invest cash balances or dividends or to minimize trading costs. When used as a hedge, a Fund may sell a futures contract in order to offset a decrease in the fair value of its portfolio securities that might

EQUITY FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

MARCH 31, 2020

otherwise result from a market decline. A Fund may do so either to hedge the value of its portfolio securities as a whole, or to protect against declines occurring prior to sales of securities in the value of the securities to be sold. Conversely, a Fund may purchase a futures contract as a hedge in anticipation of purchases of securities. In addition, a Fund may utilize futures contracts in anticipation of changes in the composition of its portfolio holdings. A Fund bears the market risk arising from changes in the value of these financial instruments. At the time a Fund enters into a futures contract, it is generally required to make a margin deposit with the custodian of a specified amount of liquid assets. Futures are marked-to-market each day with the change in value reflected in the unrealized gains or losses. Risk may arise as a result of the potential inability of the counterparties to meet the terms of their contracts. Credit risk is mitigated to the extent that the exchange on which a particular futures contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. The Statements of Operations include any realized gains or losses on closed futures contracts in Net realized gains (losses) on futures contracts, and any unrealized gains or losses on open futures contracts in Net change in unrealized appreciation (depreciation) on futures contracts.

The contract position and investment strategy utilized during the fiscal year ended March 31, 2020, was as follows:

	CONTRACT POSITION	INVESTMENT STRATEGY
Income Equity	Long and Short	Liquidity
International Equity	Long	Liquidity
Large Cap Core	Long	Liquidity
Large Cap Value	Long	Liquidity
Small Cap Core	Long	Liquidity
Small Cap Value	Long	Liquidity
U.S. Quality ESG	Long	Liquidity

At March 31, 2020, the aggregate fair value of securities pledged to cover margin requirements for open positions for the Income Equity, Large Cap Core, Large Cap Value, Small Cap Core, Small Cap Value and U.S. Quality ESG Funds was approximately $385,000, $345,000, $150,000, $1,257,000, $7,357,000 and $135,000, respectively. At March 31, 2020, the value of cash to cover margin requirement for open positions for the Small Cap Core and Small Cap Value Funds was approximately $50,000 and $2,114,000, respectively. At March 31, 2020, the aggregate fair value of foreign currencies to cover margin requirements for open positions for the International Equity Fund was approximately $212,000. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 11.

C) OPTIONS CONTRACTS Certain Funds buy put options and call options and write covered call options and secured put options for hedging purposes or to earn additional income. When used as a hedge, a Fund may enter into option contracts in order to hedge against adverse price movements of securities which a Fund intends to trade upon. These options may relate to particular securities, foreign and domestic securities indices, financial instruments or foreign currencies. The gains or losses on purchased options contracts are included with Net realized and unrealized gains (losses) on investments on the Statements of Operations. The gains or losses on written options contracts are included with Net realized and unrealized gains (losses) on options written on the Statements of Operations, if applicable.

The risks associated with purchasing an option include risk of loss of premium, change in fair value and counterparty nonperformance under the contract. Credit risk is mitigated to the extent that the exchange on which a particular options contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. Put and call options purchased are accounted for in the same manner as Fund securities.

The cost of securities acquired through the exercise of call options is increased by the premiums paid. The proceeds from securities sold through the exercise of put options are decreased by the premiums paid.

In writing an option, a Fund bears the market risk of an unfavorable change in the price of the security or currency underlying the written option. Exercise of an option written by a Fund could result in a Fund selling or buying a security or currency at a price different from the current fair value. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 11.

D) FOREIGN CURRENCY TRANSLATION Values of investments denominated in foreign currencies are converted into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The cost of purchases and proceeds from sales of investments, interest and dividend income are translated into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The gains or losses, if any, on investments from the original purchase date to subsequent sales trade date resulting from changes in foreign exchange rates are included in the Statements of Operations in Net realized gains (losses) on investments and Net change in unrealized appreciation (depreciation) on investments. The gains or losses, if any, on translation of other assets and liabilities denominated in foreign currencies and between the trade and settlement dates on investment transactions are included in Net realized gains (losses) on foreign currency transactions and Net change in unrealized appreciation (depreciation) on foreign currency translations in the Statements of Operations.

E) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS Certain Funds are authorized to enter into forward foreign currency exchange contracts, or forward currency exchange contracts, for the purchase or sale of a specific foreign currency at a specified exchange rate on a future date as a hedge against either specific transactions or portfolio positions, or as a cross-hedge

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NOTES TO THE FINANCIAL STATEMENTS continued

transaction or for speculative purposes. The objective of a Fund’s foreign currency hedging transactions is to reduce the risk that the U.S. dollar value of a Fund’s foreign currency denominated securities will decline in value due to changes in foreign currency exchange rates. All forward foreign currency exchange contracts are marked-to-market daily at the applicable exchange rates. Any resulting unrealized gains or losses are recorded in Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts in the Statements of Operations. Gains or losses are recorded for financial statement purposes as unrealized until settlement date. Realized gains or losses, if any, are included in Net realized gains (losses) on forward foreign currency exchange contracts in the Statements of Operations.

Risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. The contractual amounts of forward foreign currency exchange contracts do not necessarily represent the amounts potentially subject to risk. A Fund bears the market risk from changes in foreign currency exchange rates and the credit risk if the counterparty to the contract fails to perform. The institutions that deal in forward foreign currency exchange contracts are not required to continue to make markets in the currencies they trade and these markets can experience periods of illiquidity. No forward foreign currency exchange contracts were held by the Funds during the fiscal year ended March 31, 2020.

F) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent either the stated coupon rate, annualized yield on the date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income, if any, is recognized on the ex-dividend date. Dividends from foreign securities are recorded on the ex-dividend date, or as soon as the information is available. Distributions received from a Fund’s investments in real estate investment trusts (“REITs”) are comprised of return of capital, capital gains and income. The actual character of the amounts received during the year is not known until the fiscal year-end. A Fund records the character of distributions received from the REITs during the year based on estimates available. A Fund’s characterization may be subsequently revised based on information received from the REITs after their tax reporting periods conclude.

G) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

H) REDEMPTION FEES The International Equity Fund charges a 2 percent redemption fee on the redemption of shares (including by exchange) held for 30 days or less. For the purpose of applying the fee, the Fund uses a first-in, first-out (“FIFO”) method so that shares held longest are treated as being redeemed first and shares held shortest are treated as being redeemed last. The redemption fee is paid to the Fund from which the redemption is made and is intended to offset the trading, market impact and other costs associated with short term money movements in and out of the Fund. The redemption fee may be collected by deduction from the redemption proceeds or, if assessed after the redemption transaction, through a separate billing. The Fund is authorized to waive the redemption fee for certain types of redemptions as described in the Fund’s prospectus.

Redemption fees for the International Equity Fund were less than $1,000 for the fiscal years ended March 31, 2020 and March 31, 2019. These amounts are included in Payments for Shares Redeemed in Note 9—Capital Share Transactions. The impact from redemption fees paid to the Fund was less than $0.001 per share for both fiscal years.

I) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid as follows:

	DECLARATION AND PAYMENT FREQUENCY
Income Equity	Monthly
International Equity	Annually
Large Cap Core	Quarterly
Large Cap Value	Annually
Small Cap Core	Annually
Small Cap Value	Annually
U.S. Quality ESG	Quarterly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Funds may periodically make reclassifications among certain of their capital accounts to reflect differences between financial reporting and federal income tax basis distributions. These reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These

EQUITY FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

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MARCH 31, 2020

reclassifications may relate to net operating losses, Section 988 currency gains and losses, Passive Foreign Investment Companies (“PFICs”) gains and losses, recharacterization of dividends received from investments in REITs, expired capital loss carryforwards, and gains or losses on in-kind transactions. These reclassifications have no impact on the total net assets or the NAVs per share of the Funds. At March 31, 2020, the following reclassifications were recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)			ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)
International Equity		$182			$(182	)
Small Cap Core		267			(267	)
Small Cap Value		(1,701	)		1,701

J) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

For the period from November 1, 2019 through March 31, 2020, the following Fund incurred net capital losses and/or late year ordinary losses for which the Fund intends to treat as having been incurred in the following fiscal year:

Amounts in thousands
Income Equity	$626
Large Cap Core	1,125
Small Cap Value	36,806

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 can be carried forward for an unlimited period. However, capital losses incurred by the Funds in taxable years beginning before the taxable year ended March 31, 2012 with an expiration date may not be used to offset capital gains until all net capital losses incurred in taxable years beginning with the taxable year ended March 31, 2012 without an expiration date have been utilized. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

During the fiscal year ended March 31, 2020, the Large Cap Value Fund utilized approximately $1,239,000 in capital loss carryforwards.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
International Equity		$14,978		$19,149
Large Cap Value		–		2,361
Small Cap Core		2,190		–
U.S. Quality ESG		702		–

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains (losses) were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Income Equity		$65		$–		$ 13,275
International Equity		5,764		–		(34,504	)
Large Cap Core		94		–		17,907
Large Cap Value		710		–		(14,922	)
Small Cap Core		3,469		–		37,476
Small Cap Value		6,576		–		(150,585	)
U.S. Quality ESG		10		–		(9,400	)

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS
Income Equity		$3,527		$12,000
International Equity		6,938		–
Large Cap Core		4,473		5,400
Large Cap Value		1,500		–
Small Cap Core		3,428		25,869
Small Cap Value		38,800		170,000
U.S. Quality ESG		1,598		425

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

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NOTES TO THE FINANCIAL STATEMENTS continued

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS
Income Equity		$4,786		$21,474
International Equity		5,000		–
Large Cap Core		4,363		2,200
Large Cap Value		1,300		–
Small Cap Core		2,724		2,175
Small Cap Value		21,227		270,107
U.S. Quality ESG		480		252

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

K) OTHER RISKS Certain Funds may invest in emerging market securities. Additional risks are involved when a Fund invests its assets in countries with emerging economies or securities markets. These countries generally are located in the Asia and Pacific regions, the Middle East, Eastern Europe, Central America, South America and Africa. Political and economic structures in many of these countries may lack the social, political and economic stability characteristics of more developed countries. In general, the securities markets of these countries are less liquid, subject to greater price volatility and have smaller market capitalizations. As a result, the risks presented by investments in these countries are heightened.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

During the fiscal year ended March 31, 2020, the following Funds had borrowings with the average loan amounts and weighted average interest rates as disclosed below:

Amounts in thousands	DOLLAR AMOUNT		RATE
Income Equity		$375		2.71	%
International Equity		575		3.32
Large Cap Core		208		2.47
Large Cap Value		550		2.95
U.S. Quality ESG		450		2.69

No other Fund had any borrowings or incurred any interest expense during the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020.

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

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EQUITY FUNDS

MARCH 31, 2020

NTI has contractually agreed to reimburse a portion of the operating expenses (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) of each Fund except for the U.S. Quality ESG Fund, for which NTI has contractually agreed to reimburse a portion of operating expenses (other than extraordinary expenses) of the Fund, as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL
	ANNUAL MANAGEMENT FEES			EXPENSE LIMITATIONS
International Equity		0.48	%		0.50	%
Large Cap Core		0.44	%		0.45	%
Large Cap Value		0.53	%		0.55	%
Small Cap Core		0.63	%		0.65	%
Small Cap Value		0.95	%		1.00	%
U.S. Quality ESG		0.41	%		0.43	%

	CONTRACTUAL ANNUAL MANAGEMENT FEES					CONTRACTUAL EXPENSE LIMITATIONS
	FIRST $1 BILLION	NEXT $1 BILLION	OVER $2 BILLION
Income Equity	0.95%	0.922%		0.894	%		1.00	%

The contractual reimbursement arrangements of each Fund are expected to continue until at least July 31, 2020. The contractual reimbursement arrangements will continue automatically for periods of one year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed-income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. LITIGATION PROCEEDS

The Income Equity Fund accepted and recognized settlement proceeds on April 30, 2019 related to a class action claim of a common trust fund that converted into the Fund. The settlement proceeds in the amount of approximately $1,155,000 is included

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EQUITY FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

in Net realized gains (losses) on Investments on the Statements of Operations for the year ended March 31, 2020 and the Statements of Changes in Net Assets as of March 31, 2020.

During the fiscal year ended March 31, 2019, the Income Equity Fund received proceeds of approximately $772,000 relating to class action proceeds. The proceeds have been included in Net realized gains (losses) on Investments on the Statements of Changes in Net Assets.

7. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI and/or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statements of Operations. This reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specified conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the Funds did not engage in any purchases and/or sales of securities from an affiliated entity.

8. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES		SALES
Amounts in thousands	U.S. GOVERNMENT	OTHER	U.S. GOVERNMENT		OTHER
Income Equity	$–	$135,713		$–		$188,728
International Equity	–	60,221		–		99,919
Large Cap Core	–	89,020		–		145,544
Large Cap Value	–	54,916		–		81,837
Small Cap Core	–	82,514		–		83,125
Small Cap Value	–	396,168		–		511,750
U.S. Quality ESG	–	97,500		–		19,222

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, deferral of post-October currency and capital losses for tax purposes, and the recharacterization of income recognition on investments in REITs and PFICs.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including the effects of foreign currency translation and derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION	UNREALIZED DEPRECIATION	NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
Income Equity	$    20,141	$    (6,866)		$    13,275			$   102,745
International Equity	4,463	(38,950)		(34,487	)		155,706
Large Cap Core	33,394	(15,486)		17,908			148,581
Large Cap Value	339	(15,261)		(14,922	)		60,718
Small Cap Core	88,067	(50,591)		37,476			307,145
Small Cap Value	386,384	(536,968)		(150,584	)		2,217,891
U.S. Quality ESG	5,066	(14,467)		(9,401	)		115,071

9. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Income Equity		853	$	11,215		1,029	$	13,735		(5,287	)	$	(66,542	)		(3,405	)	$	(41,592	)

EQUITY FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

MARCH 31, 2020

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
International Equity		925	$	7,805		119	$	1,126		(5,694	)	$	(48,699	)		(4,650	)	$	(39,768	)
Large Cap Core		773		15,144		423		8,358		(3,854	)		(73,541	)		(2,658	)		(50,039	)
Large Cap Value		494		8,307		80		1,432		(2,222	)		(37,208	)		(1,648	)		(27,469	)
Small Cap Core		3,545		87,363		1,008		26,505		(4,062	)		(97,291	)		491			16,577
Small Cap Value		39,343		707,015		9,821		202,616		(42,589	)		(808,797	)		6,575			100,834
U.S. Quality ESG		7,433		85,305		46		562		(529	)		(6,278	)		6,950			79,589

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Income Equity		1,391	$	19,495		1,981	$	23,113		(4,437	)	$	(59,901	)		(1,065	)	$	(17,293	)
International Equity		3,014		26,808		92		771		(7,212	)		(67,126	)		(4,106	)		(39,547	)
Large Cap Core		1,116		21,049		289		5,274		(1,705	)		(32,735	)		(300	)		(6,412	)
Large Cap Value		651		10,110		69		997		(1,181	)		(19,193	)		(461	)		(8,086	)
Small Cap Core		3,812		96,051		160		3,564		(4,250	)		(110,354	)		(278	)		(10,739	)
Small Cap Value		24,406		535,657		15,846		282,541		(48,755	)		(1,103,631	)		(8,503	)		(285,433	)
U.S. Quality ESG		3,017		32,827		37		365		(1,814	)		(19,617	)		1,240			13,575

10. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Income Equity	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$2,160		$32,998		$33,392		$–		$–		$20		$1,766		1,765,821
International Equity	Northern Institutional Funds - U.S. Government Portfolio (Shares)		533		26,463		25,461		–		–		8		1,535		1,535,301
Large Cap Core	Northern Institutional Funds - U.S. Government Portfolio (Shares)		797		37,083		34,906		–		–		19		2,974		2,973,690
Large Cap Value	Northern Institutional Funds - U.S. Government Portfolio (Shares)		2,347		14,865		16,436		–		–		16		776		775,861
Small Cap Core	Northern Institutional Funds - U.S. Government Portfolio (Shares)		18,301		90,656		97,568		–		–		303		11,389		11,389,198
Small Cap Value	Northern Institutional Funds - U.S. Government Portfolio (Shares)		101,339		416,060		380,509		–		–		1,953		136,890		136,890,295

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EQUITY FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
U.S. Quality ESG	Northern Institutional Funds - U.S. Government Portfolio (Shares)	$	10	$	82,572	$	82,046	$	–	$	–	$	27	$	536		535,885

11. DERIVATIVE INSTRUMENTS

Information concerning the types of derivatives in which the Funds invest, the objectives for using them and their related risks can be found in Note 2.

Below are the types of derivatives by primary risk exposure as presented in the Statements of Assets and Liabilities as of March 31, 2020:

		ASSETS				LIABILITIES
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF ASSETS LOCATION	VALUE			STATEMENTS OF LIABILITIES LOCATION	VALUE
Income Equity	Equity contracts	Net Assets – Net unrealized appreciation	$	184	*	Net Assets – Net unrealized depreciation	$	–
	Equity contracts					Outstanding options written, at value		(16	)
International Equity	Equity contracts	Net Assets – Net unrealized appreciation		351	*	Net Assets – Net unrealized depreciation		–
Large Cap Core	Equity contracts	Net Assets – Net unrealized appreciation		115	*	Net Assets – Net unrealized depreciation		–
Large Cap Value	Equity contracts	Net Assets – Net unrealized appreciation		41	*	Net Assets – Net unrealized depreciation		–
Small Cap Core	Equity contracts	Net Assets – Net unrealized appreciation		525	*	Net Assets – Net unrealized depreciation		–
Small Cap Value	Equity contracts	Net Assets – Net unrealized appreciation		3,916	*	Net Assets – Net unrealized depreciation		–
U.S. Quality ESG	Equity contracts	Net Assets – Net unrealized appreciation		34	*	Net Assets – Net unrealized depreciation		–

* Includes cumulative appreciation/depreciation on futures contracts as reported in the Schedules of Investments’ footnotes. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

The following tables set forth by primary risk exposure the Funds’ realized gains (losses) and change in unrealized appreciation (depreciation) by type of derivative contract for the fiscal year ended March 31, 2020:

		AMOUNT OF REALIZED GAIN (LOSS) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Income Equity	Equity contracts	Net realized gains (losses) on futures contracts	$	(791	)
	Equity contracts	Net realized gains (losses) on options written		259
International Equity	Equity contracts	Net realized gains (losses) on futures contracts		(401	)
Large Cap Core	Equity contracts	Net realized gains (losses) on futures contracts		(832	)
Large Cap Value	Equity contracts	Net realized gains (losses) on futures contracts		(178	)
Small Cap Core	Equity contracts	Net realized gains (losses) on futures contracts		(2,400	)
Small Cap Value	Equity contracts	Net realized gains (losses) on futures contracts		1,467
U.S. Quality ESG	Equity contracts	Net realized gains (losses) on futures contracts		(171	)

		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Income Equity	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts	$	144

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EQUITY FUNDS

MARCH 31, 2020

		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
	Equity contracts	Net change in unrealized appreciation (depreciation) on options written	$	2
International Equity	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		330
Large Cap Core	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		95
Large Cap Value	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		1
Small Cap Core	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		346
Small Cap Value	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		2,537
U.S. Quality ESG	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		34

Volume of derivative activity for the fiscal year ended March 31, 2020*:

	EQUITY CONTRACTS
	NUMBER OF TRADES		AVERAGE NOTIONAL AMOUNT**
Income Equity		122	$	594
International Equity		191		278
Large Cap Core		59		634
Large Cap Value		50		315
Small Cap Core		75		1,675
Small Cap Value		157		4,972
U.S. Quality ESG		22		736

* Activity for the fiscal year is measured by number of trades during the fiscal year and average notional amount for futures and written option equity contracts.

** Amounts in thousands.

12. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

13. LEGAL PROCEEDINGS

In 2007, the Large Cap Core Fund and the Large Cap Value Fund were shareholders of the Tribune Company (“Tribune”). In December of 2007, as a part of a leveraged buy-out transaction (the “LBO”), Tribune was converted from a public company to a privately-held company. Tribune later filed for bankruptcy. On December 7, 2010, Northern Funds was named as a defendant and a putative member of the proposed defendant class of shareholders named in an adversary proceeding (the “Committee Action”) brought by The Official Committee of Unsecured Creditors of Tribune Company (the “Committee”) in the U.S. Bankruptcy Court for the District of Delaware, in connection with Tribune’s bankruptcy proceeding. On June 2, 2011, a second suit was initiated by certain creditors of Tribune in the Delaware Superior Court with respect to claims related to the LBO (Niese et al. v. A.G. Edwards, Inc. et al.), in which Northern Funds was named as a defendant. On June 2, 2011, the indenture trustees, on behalf of certain noteholders of Tribune, filed a third suit and named Northern Funds as a defendant in the U.S. District Court for the Northern District of Illinois (Deutsche Bank Trust Co. et al. v. Ohlson Enterprises et al.) and a fourth suit named Northern Funds as a defendant in the U.S. District Court for the Southern District of New York (Deutsche Bank Trust Co. et al. v. Sirius International Insurance Corp. et al.). Each of these cases, along with others brought by the indenture trustees and other individual creditors, has now been consolidated into a Multi-District Litigation proceeding in the Southern District of New York (the “District Court”). The cases attempt to “clawback” the proceeds paid out in connection with the LBO. The Tribune bankruptcy plan was confirmed by the U.S. Bankruptcy Court on July 23, 2012, and became effective on December 31, 2012.

The former shareholder defendants filed motions to dismiss, each of which was granted by the District Court. The District Court’s order dismissing the actions by the individual creditors was

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EQUITY FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

affirmed on appeal by the Second Circuit Court of Appeals (the “Second Circuit Decision”). The Plaintiffs in the individual creditor actions filed a Petition for Writ of Certiorari requesting review of the Second Circuit Decision by the United States Supreme Court; however, the Supreme Court issued a statement indicating a potential lack of a quorum and informing the parties that the Second Circuit or District Court could provide relief based on the Supreme Court decision in Merit Management Group, LP v. FTI Consulting, Inc. The Plaintiffs filed a motion with the Second Circuit to recall the mandate and vacate the Second Circuit decision, and the Second Circuit recalled the mandate on May 15, 2018. The Second Circuit has not taken any further action.

The motion to dismiss the Committee Action was also granted by the District Court. The Plaintiff in the Committee Action also sought from the District Court leave to amend the complaint with an additional claim for constructive fraudulent transfer based upon the decision in Merit Management. The motion for leave to amend was denied on April 23, 2019. On June 13, 2019, the District Court entered a final judgment on the claim dismissed. On July 12, 2019, the Trustee filed a notice of appeal stating that it was appealing the final judgment and the April 23, 2019 decision and related orders to the Second Circuit Court of Appeals. Briefing on the appeal has been scheduled for early 2020.

The value of the proceeds received by the Large Cap Core Fund and the Large Cap Value Fund in the LBO was approximately $308,000 and $26,520,000, respectively. The Funds cannot predict the outcome of these proceedings, but an adverse decision could have a material impact on the Funds’ net asset value. The Funds intend to vigorously defend these actions.

On or about February 14, 2020, Marc S. Kirschner, as Trustee for NWHI Litigation Trust (“Litigation Trustee”) and Wilmington Savings Fund Society, FSB, as indenture Trustee (“Indenture Trustee”) for several series of notes issued by Nine West Holdings, Inc. (“Nine West”), filed separate complaints (docket nos. 20-cv-01129 and 20-cv-01136, respectively ) in the United States District Court for the Northern District of Illinois against a group of defendants that includes three Northern Funds that had invested in The Jones Group Inc. (“Jones Group”) including the Small Cap Core Fund and Small Cap Value Fund (together, the “Funds”). The claim stems from a series of merger transactions (“Transactions”) entered into by Jones Group, Nine West and others in 2014 that allegedly rendered Jones Group insolvent. The Funds allegedly received the following amounts as a result of the Transactions: Small Cap Core Fund ($134,265) and Small Cap Value Fund ($4,010,685). The Litigation Trustee and Indenture Trustee seek to clawback these proceeds for the benefit of the Trust and the noteholders, respectively, on the basis that they were fraudulent conveyances. The Funds intend to vigorously defend themselves against this action.

14. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

15. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

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EQUITY FUNDS

MARCH 31, 2020

16. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

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EQUITY FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of seven separate portfolios of Northern Funds, comprising the Income Equity Fund, International Equity Fund, Large Cap Core Fund, Large Cap Value Fund, Small Cap Core Fund, Small Cap Value Fund, and U.S. Quality ESG Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended for Income Equity Fund, International Equity Fund, Large Cap Core Fund, Large Cap Value Fund, Small Cap Core Fund, and Small Cap Value Fund; the related statement of operations for the year ended March 31, 2020, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the two years in the period then ended and the period from October 2, 2017 (commencement of operations) through March 31, 2018, for U.S. Quality ESG Fund; and the related notes.

In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of Income Equity Fund, International Equity Fund, Large Cap Core Fund, Large Cap Value Fund, Small Cap Core Fund, and Small Cap Value Fund as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America. Also, in our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of U.S. Quality ESG Fund as of March 31, 2020, and the results of its operations for the year ended March 31, 2020, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the two years in the period then ended and for the period from October 2, 2017 (commencement of operations) through March 31, 2018, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

EQUITY FUNDS 86 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

CAPITAL GAIN DISTRIBUTION — The following Funds made capital gain distributions in December 2019, and hereby designated these long-term capital gain distributions as follows (per share):

	LONG-TERM CAPITAL GAIN
Income Equity		$0.898313
Large Cap Core		0.458920
Small Cap Core		1.461973
Small Cap Value		1.187268
U.S. Quality ESG		0.044742

CORPORATE DIVIDENDS-RECEIVED DEDUCTION (DRD) — A percentage of the dividends distributed during the fiscal year ended March 31, 2020 for the following Funds qualifies for the dividends-received deduction for corporate shareholders:

	CORPORATE DRD PERCENTAGE
Income Equity		100.00	%
Large Cap Core		100.00	%
Large Cap Value		100.00	%
Small Cap Core		100.00	%
Small Cap Value		85.07	%
U.S. Quality ESG		100.00	%

FOREIGN TAX CREDIT — The Fund below intends to make an election that will allow shareholders to treat their proportionate share of foreign taxes paid by the Fund as having been paid by them. The amounts per share which represent income from sources within, and taxes paid to, foreign countries are as follows:

	TAXES		INCOME
International Equity		$0.0346		$0.3708

QUALIFIED DIVIDEND INCOME (QDI) — Under the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the “Act”), the following percentages of ordinary dividends paid during the fiscal year ended March 31, 2020, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Income Equity		100.00	%
International Equity		98.37	%
Large Cap Core		100.00	%
Large Cap Value		100.00	%
Small Cap Core		100.00	%
Small Cap Value		100.00	%
U.S. Quality ESG		100.00	%

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EQUITY FUNDS

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

EQUITY FUNDS 88 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

FUND EXPENSES MARCH 31, 2020 (UNAUDITED)

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

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 – 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line in the tables below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5 percent per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5 percent hypothetical example with the 5 percent 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 transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. For example, the information does not reflect redemption fees (See page 76), if any, in the International Equity Fund. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements of advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 80), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

INCOME EQUITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		1.02	%	$	1,000.00	$	832.40	$	4.67
Hypothetical		1.02	%	$	1,000.00	$	1,019.90	$	5.15
INTERNATIONAL EQUITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.59	%	$	1,000.00	$	805.10	$	2.66
Hypothetical		0.59	%	$	1,000.00	$	1,022.05	$	2.98
LARGE CAP CORE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.46	%	$	1,000.00	$	857.90	$	2.14
Hypothetical		0.46	%	$	1,000.00	$	1,022.70	$	2.33
LARGE CAP VALUE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.54	%	$	1,000.00	$	762.60	$	2.38
Hypothetical		0.54	%	$	1,000.00	$	1,022.30	$	2.73
SMALL CAP CORE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.65	%	$	1,000.00	$	763.00	$	2.86
Hypothetical		0.65	%	$	1,000.00	$	1,021.75	$	3.29
SMALL CAP VALUE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		1.00	%	$	1,000.00	$	699.60	$	4.25
Hypothetical		1.00	%	$	1,000.00	$	1,020.00	$	5.05

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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EQUITY FUNDS

FUND EXPENSES (continued) MARCH 31, 2020 (UNAUDITED)

U.S. QUALITY ESG
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.43	%	$	1,000.00	$	885.00	$	2.03
Hypothetical		0.43	%	$	1,000.00	$	1,022.85	$	2.17

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

EQUITY FUNDS 90 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

TRUSTEES AND OFFICERS

MARCH 31, 2020 (UNAUDITED)

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex—Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD  WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President—Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company—34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company—8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

NORTHERN FUNDS ANNUAL REPORT 91 EQUITY FUNDS

EQUITY FUNDS

TRUSTEES AND OFFICERS continued

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1) , POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow—2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1) , POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company—29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act” ).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

EQUITY FUNDS 92 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

NORTHERN FUNDS ANNUAL REPORT 93 EQUITY FUNDS

EQUITY FUNDS

TRUSTEES AND OFFICERS continued

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

EQUITY FUNDS 94 NORTHERN FUNDS ANNUAL REPORT

EQUITY FUNDS

INVESTMENT CONSIDERATIONS

INCOME EQUITY FUND2	SMALL CAP CORE FUND2,6
INTERNATIONAL EQUITY FUND1,2,3,4,5,6	SMALL CAP VALUE FUND2,6
LARGE CAP CORE FUND2,4,5	U.S. QUALITY ESG FUND2,4,5,7
LARGE CAP VALUE FUND2,4,5,6

¹  Emerging Markets Risk: Markets of emerging market countries are less developed and less liquid, subject to greater price volatility and generally subject to increased economic, political, regulatory and other uncertainties than more developed markets.

² Equity Market Risk: The value of equity securities owned by the Fund may decline, at times sharply and unpredictably, because of economic changes or other events, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment that affect individual issuers or large portions of the market.

³ Foreign Securities Risk: Investing in foreign (non-U.S.) securities may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies.

⁴ Large Cap Risk: The stocks of large capitalization companies as a group could fall out of favor with the market, causing the Fund to underperform investments that focus solely on small- or medium-capitalization stocks.

⁵ Mid Cap Risk: The stocks of mid-sized companies may be subject to more abrupt or erratic market movements than stocks of larger, more established companies.

⁶ Small Cap Risk: The stocks of smaller companies may be subject to more abrupt, erratic market movements than stocks of larger, more established companies. Small companies may have limited product lines or financial resources, or may be dependent on a small or inexperienced management group, and their securities may trade less frequently and in lower volume than the securities of larger companies, which could lead to higher transaction costs. Generally, the smaller the company size, the greater the risk.

⁷ Environmental, Social and Governance (ESG) Investing Risk: The risk stemming from the environmental, social and governance factors that the Fund applies in selecting securities. This may affect the Fund’s exposure to certain companies or industries and cause the Fund to forgo certain investment opportunities. The Fund’s results may be lower than other funds that do not seek to invest in companies based on ESG ratings and/or screen out certain companies or industries. The Fund seeks to identify companies that it believes may have a societal impact outcome, but investors may differ in their views of what constitutes positive or negative societal impact outcomes. As a result, the Fund may invest in companies that do not reflect the beliefs and values of any particular investor.

NORTHERN FUNDS ANNUAL REPORT 95 EQUITY FUNDS

EQUITY FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

EQUITY FUNDS 96 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
10	STATEMENTS OF ASSETS AND LIABILITIES
12	STATEMENTS OF OPERATIONS
14	STATEMENTS OF CHANGES IN NET ASSETS
16	FINANCIAL HIGHLIGHTS
23	SCHEDULES OF INVESTMENTS
23	EMERGING MARKETS EQUITY INDEX FUND
	Ticker Symbol: NOEMX
45	GLOBAL REAL ESTATE INDEX FUND
	Ticker Symbol: NGREX
56	GLOBAL SUSTAINABILITY INDEX FUND
	Ticker Symbol: NSRIX
68	INTERNATIONAL EQUITY INDEX FUND
	Ticker Symbol: NOINX
82	MID CAP INDEX FUND
	Ticker Symbol: NOMIX
89	SMALL CAP INDEX FUND
	Ticker Symbol: NSIDX
115	STOCK INDEX FUND
	Ticker Symbol: NOSIX
123	NOTES TO THE FINANCIAL STATEMENTS
137	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
138	TAX INFORMATION
139	LIQUIDITY RISK MANAGEMENT PROGRAM
140	FUND EXPENSES
142	TRUSTEES AND OFFICERS
146	INVESTMENT CONSIDERATIONS
148	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

EMERGING MARKETS EQUITY INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Emerging Markets Equity Index Fund returned -18.36% during the 12-month reporting period ended March 31, 2020, compared with a return of -17.69% for its benchmark, the MSCI Emerging Markets Index. Emerging market equities lagged their developed market counterparts, as gauged by the -10.39% return of the MSCI World Index.

Emerging markets underperformed during the first nine months of the 12-month period, reflecting investor concerns regarding global trade policies, geopolitical uncertainty and the strengthening U.S. dollar. These worries were quickly overshadowed in the first quarter of 2020 once China was affected by the outbreak of COVID-19, putting additional pressure on stock prices. The subsequent spread of the virus across the globe caused many governments to lock down their economies, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in the talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. These events contributed to weak performance for all sectors, with the most pronounced downturns occurring in energy and financials. A strong rally in the U.S. dollar also weighed on the emerging markets during the final three months of the 12-month period.

For the 12-month period ended March 31, 2020, information technology and consumer discretionary were the top-performing sectors in the benchmark index with returns of 3.93% and -7.93%, respectively. Energy and materials were the bottom performers in the benchmark index amid the broad decline in commodity prices, returning -35.35% and -30.98%, respectively. Taiwan and China were the best performers in the benchmark index at the country level, with returns of 2.33% and -5.46%, respectively, while Argentina and Columbia were the most notable laggards in the benchmark index with returns of -52.62% and -47.07%, respectively.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   04/25/06
EMERGING MARKETS EQUITY INDEX FUND		(18.36	)%		(0.78	)%		0.22	%		1.75	%
MSCI EMERGING MARKETS INDEX		(17.69	)		(0.37	)		0.68			2.50

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

EQUITY INDEX FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

GLOBAL REAL ESTATE INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Global Real Estate Index Fund returned -22.11% during the 12-month reporting period ended March 31, 2020, in line with the -22.34% return of the benchmark MSCI ACWI^® IMI Core Real Estate Index. Global real estate underperformed the broader global equity market, as gauged by the -10.39% return of the MSCI World Index. The sector’s underperformance reflected concerns that emerged late in the 12-month period regarding the potential for falling property prices and the possibility that many tenants will be unable to pay their rent.

Global markets performed well from the beginning of the reporting period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve and other central banks. These favorable conditions changed abruptly in the first calendar quarter of 2020 once it became clear that COVID-19 was becoming a global pandemic. Many governments locked down their economies to contain the virus, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in the talks between Saudi Arabia and Russia led to an increase in crude oil supply, causing oil prices to collapse. Central banks took action against the pending global recession by announcing unprecedented stimulus packages. In the U.S., the U.S. Federal Reserve cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds.

For the 12-month period ended March 31, 2020, Switzerland and Belgium were the top-performing countries in the index with returns of 18.31% and 6.28%, respectively. Indonesia and South Africa were the bottom performers with returns of -60.09% and -58.73%, respectively.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   07/26/06
GLOBAL REAL ESTATE INDEX FUND		(22.11	)%		(1.11	)%		4.42	%		1.78	%
MSCI® ACWI® IMI CORE REAL ESTATE INDEX		(22.34	)		(1.14	)		4.72			2.10

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The MSCI^® ACWI^® IMI Core Real Estate Index is a free float- adjusted market capitalization-weighted index that consists of large, mid and small-cap stocks engaged in the ownership, development and management of specific core property type real estate. As of May 31, 2019, the developed market country indices included are: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the United States. As of May 31, 2019, the emerging market country indices included are: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

NORTHERN FUNDS ANNUAL REPORT 3 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

GLOBAL SUSTAINABILITY INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Global Sustainability Index Fund returned -8.02% during the 12-month reporting period ended March 31, 2020, which compared with a return of -8.14% for its benchmark MSCI World ESG Leaders Index^SM. ESG stocks outperformed the broader, developed markets, as gauged by the -10.39% return of the MSCI World Index.

Global markets performed well from the beginning of the period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve and other central banks. These favorable conditions changed abruptly in the first calendar quarter of 2020 once it became clear that COVID-19 was becoming a global pandemic. Many governments locked down their economies to contain the virus, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in the talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. Central banks took action against the pending global recession by announcing unprecedented stimulus packages. In the U.S., the U.S. Federal Reserve cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds.

For the 12-month period ended March 31, 2020, information technology and health care were the top-performing sectors in the benchmark index with returns of 11.09% and 4.62%, respectively. Energy and financials were the bottom performers in the benchmark index, returning -48.25% and -20.00%, respectively. Switzerland and Denmark were the best performers at the country level in the benchmark index, with returns of 10.65% and 9.58%, respectively, while Austria and New Zealand were the most notable laggards in the benchmark with returns of -37.80% and -31.56%, respectively

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   03/05/08
GLOBAL SUSTAINABILITY INDEX FUND		(8.02	)%		3.69	%		6.68	%		4.37	%
MSCI WORLD ESG LEADERS INDEXSM		(8.14	)		3.55			6.62			4.43

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

MSCI World ESG Leaders Index^SM is a free float-adjusted, market capitalization-weighted index comprised of large and mid-cap developed market companies in Asia Pacific, Europe and the Middle East, Canada and the United States. The Index holds a broad, diversified set of global companies, selected based on regional sector ranking of environmental, social and governance performance. It is not possible to invest directly in an index.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

EQUITY INDEX FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

INTERNATIONAL EQUITY INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The International Equity Index Fund returned -14.37% during the 12-month reporting period ended March 31, 2020, in line with the -14.38% return of its benchmark, the MSCI EAFE^® Index. For the period, international equities underperformed the U.S. market, as gauged by the -6.98% return of the S&P 500^® Index.

Global markets performed well from the beginning of the period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve (the “Fed”) and other central banks. These favorable conditions changed abruptly in the first calendar quarter of 2020 once it became clear that COVID-19 was becoming a global pandemic. Many governments locked down their economies to contain COVID-19, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in the talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. Central banks took action against the pending global recession by announcing unprecedented stimulus packages. In the U.S., the Fed cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds.

For the 12-month period ended March 31, 2020, health care and information technology were the top-performing sectors in the benchmark index with returns of 7.56% and -1.45%, respectively. Energy and real estate were the bottom performers in the benchmark index, returning -37.38% and -26.70%, respectively. Denmark and Switzerland were the best performers at the country level in the benchmark index, with returns of 5.15% and 4.44%, respectively, while Austria and Norway were the most notable laggards in the benchmark index with returns of -39.39% and -30.58%, respectively.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   03/22/05
INTERNATIONAL EQUITY INDEX FUND		(14.37	)%		(0.62	)%		2.60	%		2.75	%
MSCI EAFE® INDEX		(14.38	)		(0.62	)		2.72			2.92

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The MSCI EAFE^® Index is a free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

NORTHERN FUNDS ANNUAL REPORT 5 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

MID CAP INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Mid Cap Index Fund returned -22.61% during the 12-month reporting period ended March 31, 2020, generally in line with the -22.51% return of its benchmark, the S&P MidCap 400^® Index. Mid-cap stocks significantly underperformed large caps, as gauged by the -6.98% return of the S&P 500^® Index.

The U.S. equity market performed well from the beginning of the period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve (the “Fed”) and other central banks. These favorable conditions changed abruptly in the first calendar quarter of 2020 once it became clear that COVID-19 was becoming a global pandemic. Many state and local governments enacted restrictions to contain the virus, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. The Fed cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds. Mid-cap stocks were particularly weak as an investor flight to quality led to stronger relative performance for larger companies.

For the 12-month period ended, health care and information technology were the top-performing sectors in the benchmark index, with returns of -7.95% and -11.39%, respectively. Although the two sectors posted negative returns on an absolute basis, they benefited relative to other sectors from investor preference for faster-growing companies. Energy stocks lagged with a return of -77.90%, reflecting concerns about the ability of many mid-sized companies to survive the sharp downturn in oil prices. Consumer discretionary stocks also lagged with a return of -29.46%, as the category was hit hard late in the period by the lockdown of the U.S. economy.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   03/22/05
MID CAP INDEX FUND		(22.61	)%		0.40	%		7.67	%		6.67	%
S&P MIDCAP 400® INDEX		(22.51	)		0.56			7.88			6.95

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The S&P MidCap 400^® Index is an unmanaged index consisting of 400 mid-cap stocks. The S&P MidCap 400^® Index covers over 7% of the U.S. equities market as of May 31, 2019. As of May 31, 2019, the approximate market capitalization of the companies in the S&P MidCap 400 Index was between approximately $725.7 million and $12.7 billion.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

EQUITY INDEX FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

SMALL CAP INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Small Cap Index Fund returned -24.28% during the 12-month reporting period ended March 31, 2020, generally in line with the -23.99% return of the benchmark Russell 2000^® Index. Small-cap stocks significantly underperformed large-caps, as gauged by the -6.98% return of the S&P 500^® Index.

The U.S. equity market performed well from the beginning of the period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve (the “Fed”) and other central banks. These favorable conditions changed abruptly in the first calendar quarter of 2020 once it became clear that COVID-19 was becoming a global pandemic. Many state and local governments enacted restrictions to contain the virus, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. The Fed cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds. Small-cap stocks were particularly weak as an investor flight to quality led to stronger relative performance for larger companies.

For the 12-month period ended March 31, 2020, utilities and information technology were the top-performing sectors in the benchmark index, with returns of -4.70% and -10.30%, respectively. Although returns for these sectors were negative, they outpaced the losses in other sectors during the market volatility that ended the reporting period. Utilities outperformed the broader market due to their defensive qualities, while technology stocks benefited from investor preference for faster-growing companies. Energy stocks lagged with a return of -70.45% amid concerns regarding the ability of many smaller companies to survive the sharp downturn in oil prices. Consumer discretionary stocks also lagged with a return of -40.49%, as the category was hit hard late in the period by the lockdown of the U.S. economy.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 09/03/99
SMALL CAP INDEX FUND		(24.28	)%		(0.41	)%		6.70	%		5.89	%
RUSSELL 2000® INDEX		(23.99	)		(0.25	)		6.90			6.35

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Russell 2000^® Index is an unmanaged index which measures the performance of the 2,000 smallest of the 3,000 largest U.S. companies in the Russell 3000^® Index based on market capitalization which represents approximately 8% of the total market capitalization of the Russell 3000 Index as of May 31, 2019. As of May 31, 2019, the approximate market capitalization of the companies in the Russell 2000 Index was between approximately $10.0 million and $9.9 billion.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

NORTHERN FUNDS ANNUAL REPORT 7 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

STOCK INDEX FUND

(UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Stock Index Fund returned -7.10% during the 12-month reporting period ended March 31, 2020, which was generally in line with the -6.98% return of its benchmark, the S&P 500^® Index.

The U.S. equity market performed well from the beginning of the reporting period through mid-February 2020, reflecting a backdrop of steady global growth and the accommodative policies of the U.S. Federal Reserve (the “Fed”) and other central banks. These favorable conditions changed abruptly in the first calendar quarter 2020 once it became clear that COVID-19 was becoming a global pandemic. Many state and local governments enacted restrictions to contain the virus, weighing heavily on the outlook for economic growth and corporate earnings. In addition, a breakdown in talks between Saudi Arabia and Russia led to an in increase in crude oil supply, causing oil prices to collapse. The Fed cut interest rates by 1.5 percentage points in emergency meetings held over a two-week span in March 2020, and the U.S. Congress passed a stimulus package that totaled more than $2 trillion. Despite these measures, stocks suffered a downturn of historic speed as investors raced to perceived “safe havens” such as government bonds. Large-cap stocks outperformed mid- and small-cap issues as large-cap companies were perceived by investors as being in a better position to withstand a protracted economic downturn.

For the 12-month period ended March 31, 2020, information technology and consumer staples were the top-performing sectors in the benchmark index, with returns of 10.44% and -0.59%, respectively. Technology stocks benefited from investor preference for faster-growing companies, while consumer staples benefited from their defensive characteristics during the February/March 2020 downturn. Energy stocks lagged with a return of -52.42% due to the sharp decline in oil prices late in the period. Industrials stocks also underperformed, returning -19.47% amid worries regarding the potential for a substantial decline in global growth.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 10/07/96
STOCK INDEX FUND		(7.10	)%		6.61	%		10.39	%		7.39	%
S&P 500® INDEX		(6.98	)		6.73			10.53			7.82

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The S&P 500^® Index is an unmanaged index consisting of 500 stocks and is a widely recognized common measure of the performance of the overall U.S. stock market. As of May 31, 2019, the approximate market capitalization of the companies in the S&P 500 Index was between approximately $2.3 billion and $948.9 billion.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 146.

EQUITY INDEX FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

THIS PAGE INTENTIONALLY LEFT BLANK

NORTHERN FUNDS ANNUAL REPORT 9 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

STATEMENTS OF ASSETS AND LIABILITIES

Amounts in thousands, except per share data	EMERGING MARKETS EQUITY INDEX FUND			GLOBAL REAL ESTATE INDEX FUND
ASSETS:
Investments, at value		$1,537,676			$1,752,496
Investments in affiliates, at value		9,549			303
Cash held at broker (restricted $7,227, $4,963, $817 and $7,425, respectively)		17,611			5,672
Foreign currencies held at broker, at value (restricted $412, $620 and $12,407, respectively)		–			412	(1)
Foreign currencies, at value (cost $2,425, $1,542, $1,769 and $5,719, respectively)		2,397			1,545
Dividend income receivable		5,932			8,593
Receivable for foreign tax reclaims		71			1,712
Receivable for securities sold		23,503			25,719
Receivable for variation margin on futures contracts		898			56
Receivable for fund shares sold		3,176			1,867
Receivable from investment adviser		30			1
Unrealized appreciation on forward foreign currency exchange contracts		233			11
Prepaid and other assets		20			5
Total Assets		1,601,096			1,798,392
LIABILITIES:
Cash overdraft		–			4,544
Unrealized depreciation on forward foreign currency exchange contracts		45			20
Payable for securities purchased		–			2
Payable for variation margin on futures contracts		74			58
Payable for fund shares redeemed		6,363			12,999
Due to broker		70			–
Payable to affiliates:
Management fees		64			136
Custody fees		129			23
Shareholder servicing fees		105			41
Transfer agent fees		57			65
Trustee fees		8			6
Accrued other liabilities		143			70
Total Liabilities		7,058			17,964
Net Assets		$1,594,038			$1,780,428
ANALYSIS OF NET ASSETS:
Capital stock		$1,836,982			$2,013,808
Distributable earnings		(242,944	)		(233,380	)
Net Assets		$1,594,038			$1,780,428
Shares Outstanding ($.0001 par value, unlimited authorization)		172,377			216,683
Net Asset Value, Redemption and Offering Price Per Share		$9.25			$8.22
Investments, at cost		$1,301,486			$1,825,049
Investments in affiliates, at cost		9,549			303

(1) Costs associated with foreign currencies held at broker are $411, $1,176 and $28,003 respectively.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

MARCH 31, 2020

GLOBAL SUSTAINABILITY INDEX FUND			INTERNATIONAL EQUITY INDEX FUND			MID CAP INDEX FUND			SMALL CAP INDEX FUND		STOCK INDEX FUND
	$675,912			$4,011,816			$1,691,350			$882,530		$7,763,814
	7,428			38,314			14,663			5,226		154,313
	2,037			–			–			–		7,425
	1,185	(1)		27,536	(1)		–			–		–
	1,790			6,051			–			–		–
	1,407			18,287			2,540			1,220		8,413
	640			17,909			–			–		–
	–			–			–			852		–
	49			996			89			2		–
	1,344			6,517			2,064			2,077		7,526
	2			1			11			3		85
	9			1,082			–			–		–
	7			7			5			16		8
	691,810			4,128,516			1,710,722			891,926		7,941,584
	–			–			–			–		–
	39			778			–			–		–
	2			–			–			–		–
	156			537			335			63		2,940
	1,639			26,526			9,669			4,305		4,824
	–			–			–			–		–
	23			164			42			32		119
	–			67			19			16		61
	57			31			29			5		21
	23			141			60			31		267
	3			16			6			6		25
	28			96			52			39		105
	1,970			28,356			10,212			4,497		8,362
	$689,840			$4,100,160			$1,700,510			$887,429		$7,933,222
	$675,174			$4,619,783			$1,803,648			$887,423		$4,336,181
	14,666			(519,623	)		(103,138	)		6		3,597,041
	$689,840			$4,100,160			$1,700,510			$887,429		$7,933,222
	55,134			416,575			125,115			96,697		267,898
	$12.51			$9.84			$13.59			$9.18		$29.61
	$656,970			$3,824,667			$1,789,095			$858,808		$4,082,756
	7,459			38,314			14,663			5,226		152,741

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

STATEMENTS OF OPERATIONS

Amounts in thousands	EMERGING MARKETS EQUITY INDEX FUND			GLOBAL REAL ESTATE INDEX FUND
INVESTMENT INCOME:
Dividend income		$81,243	(1)		$73,885	(1)
Dividend income from investments in affiliates		358			439
Interest income (Note 6)		51			35
Total Investment Income		81,652			74,359
EXPENSES:
Management fees		5,097			9,029
Custody fees		1,892			920
Transfer agent fees		717			703
Registration fees		7			26
Printing fees		40			31
Professional fees		82			68
Shareholder servicing fees		346			158
Trustee fees		36			27
Interest expense		52			1
Other		174			55
Total Expenses		8,443			11,018
Less expenses reimbursed by investment adviser		(1,058	)		(33	)
Net Expenses		7,385			10,985
Net Investment Income		74,267			63,374
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		(29,175	)		(23,804	)
Investments in affiliates		–			–
Futures contracts		(8,936	)		(9,404	)
Foreign currency transactions		(2,350	)		(451	)
Forward foreign currency exchange contracts		485			58
Net changes in unrealized appreciation (depreciation) on:
Investments		(428,226	)(2)		(571,935	)
Investments in affiliates		–			–
Futures contracts		2,251			514
Foreign currency translations		(557	)		3
Forward foreign currency exchange contracts		76			(9	)
Net Losses		(466,432	)		(605,028	)
Net Decrease in Net Assets Resulting from Operations		$(392,165	)		$(541,654	)

(1) Net of $8,558, $3,790, $890, $13,557, $5, and $2, respectively, in non-reclaimable foreign withholding taxes.

(2) Net change in unrealized of deferred foreign capital gains tax of $3,224.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEAR ENDED MARCH 31, 2020

GLOBAL SUSTAINABILITY INDEX FUND			INTERNATIONAL EQUITY INDEX FUND			MID CAP INDEX FUND			SMALL CAP INDEX FUND			STOCK INDEX FUND
	$17,471	(1)		$165,666	(1)		$38,141	(1)		$14,806	(1)		$179,155
	164			388			1,064			442			2,888
	–			12			86			34			230
	17,635			166,066			39,291			15,282			182,273
	1,365			9,657			3,060			1,556			7,350
	291			2,116			209			136			759
	235			1,640			723			368			2,850
	24			26			28			16			24
	14			41			29			24			54
	43			17			69			55			122
	216			142			131			37			83
	9			44			27			18			63
	–			–			–			–			–
	13			157			26			22			64
	2,210			13,840			4,302			2,232			11,369
	(12	)		(257	)		(738	)		(409	)		(2,097	)
	2,198			13,583			3,564			1,823			9,272
	15,437			152,483			35,727			13,459			173,001
	4,959			(129,443	)		17,244			5,337			67,135
	(1	)		–			–			–			30
	(3,154	)		(19,503	)		(10,867	)		(12,630	)		(32,162	)
	(111	)		(1,043	)		–			–			–
	(14	)		(1,101	)		–			–			–
	(85,391	)		(720,697	)		(555,030	)		(295,969	)		(810,018	)
	(123	)		–			–			–			(1,097	)
	38			8,991			(64	)		477			(5,012	)
	29			128			–			–			–
	(13	)		449			–			–			–
	(83,781	)		(862,219	)		(548,717	)		(302,785	)		(781,124	)
	$(68,344	)		$(709,736	)		$(512,990	)		$(289,326	)		$(608,123	)

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 EQUITY INDEX FUNDS

EQUIT Y INDEX FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

	EMERGING MARKETS EQUITY INDEX FUND						GLOBAL REAL ESTATE INDEX FUND
Amounts in thousands	2020			2019			2020			2019
OPERATIONS:
Net investment income (Note 6)		$74,267			$66,754			$63,374			$57,441
Net realized gains (losses)		(39,976	)		(123,203	)		(33,601	)		37,827
Net change in unrealized appreciation (depreciation)		(426,456	)		(245,086	)		(571,427	)		100,771
Net Increase (Decrease) in Net Assets Resulting from Operations		(392,165	)		(301,535	)		(541,654	)		196,039
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		(728,602	)		(97,750	)		334,977			76,764
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(728,602	)		(97,750	)		334,977			76,764
DISTRIBUTIONS PAID:
Distributable earnings		(76,000	)		(64,999	)		(104,128	)		(63,125	)
Total Distributions Paid		(76,000	)		(64,999	)		(104,128	)		(63,125	)
Total Increase (Decrease) in Net Assets		(1,196,767	)		(464,284	)		(310,805	)		209,678
NET ASSETS:
Beginning of year		2,790,805			3,255,089			2,091,233			1,881,555
End of year		$1,594,038			$2,790,805			$1,780,428			$2,091,233

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

GLOBAL SUSTAINABILITY INDEX FUND						INTERNATIONAL EQUITY INDEX FUND						MID CAP INDEX FUND						SMALL CAP INDEX FUND						STOCK INDEX FUND
2020			2019			2020			2019			2020			2019			2020			2019			2020			2019
	$15,437			$10,263			$152,483			$178,030			$35,727			$32,355			$13,459			$14,203			$173,001			$153,879
	1,679			5,335			(151,090	)		(118,667	)		6,377			109,681			(7,293	)		87,122			35,003			105,864
	(85,460	)		11,700			(711,129	)		(330,329	)		(555,094	)		(107,183	)		(295,492	)		(89,043	)		(816,127	)		466,479
	(68,344	)		27,298			(709,736	)		(270,966	)		(512,990	)		34,853			(289,326	)		12,282			(608,123	)		726,222
	141,317			225,919			(351,789	)		(434,683	)		(26,486	)		111,935			32,463			56,177			271,109			348,877
	141,317			225,919			(351,789	)		(434,683	)		(26,486	)		111,935			32,463			56,177			271,109			348,877
	(21,417	)		(14,836	)		(172,000	)		(170,000	)		(54,750	)		(172,086	)		(22,800	)		(116,131	)		(241,825	)		(350,787	)
	(21,417	)		(14,836	)		(172,000	)		(170,000	)		(54,750	)		(172,086	)		(22,800	)		(116,131	)		(241,825	)		(350,787	)
	51,556			238,381			(1,233,525	)		(875,649	)		(594,226	)		(25,298	)		(279,663	)		(47,672	)		(578,839	)		724,312
	638,284			399,903			5,333,685			6,209,334			2,294,736			2,320,034			1,167,092			1,214,764			8,512,061			7,787,749
	$689,840			$638,284			$4,100,160			$5,333,685			$1,700,510			$2,294,736			$887,429			$1,167,092			$7,933,222			$8,512,061

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

FINANCIAL HIGHLIGHTS

EMERGING MARKETS EQUITY INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$11.70			$13.10			$10.68			$9.28			$10.86
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.37			0.30			0.24			0.20			0.22
Net realized and unrealized gains (losses)		(2.43	)		(1.41	)		2.40			1.38			(1.58	)
Total from Investment Operations		(2.06	)		(1.11	)		2.64			1.58			(1.36	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.39	)		(0.29	)		(0.22	)		(0.18	)		(0.22	)
Total Distributions Paid		(0.39	)		(0.29	)		(0.22	)		(0.18	)		(0.22	)
Net Asset Value, End of Year		$9.25			$11.70			$13.10			$10.68			$9.28
Total Return(2)		(18.36	)%		(8.20	)%		24.84	%		17.30	%		(12.38	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$1,594,038			$2,790,805			$3,255,089			$2,296,815			$1,552,904
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.30	%		0.30	%		0.30	%		0.30	%		0.30	%
Expenses, before reimbursements and credits		0.35	%		0.35	%		0.34	%		0.35	%		0.35	%
Net investment income, net of reimbursements and credits(3)		3.07	%		2.35	%		2.00	%		1.95	%		2.36	%
Net investment income, before reimbursements and credits		3.02	%		2.30	%		1.96	%		1.90	%		2.31	%
Portfolio Turnover Rate		45.08	%		54.69	%		27.03	%		30.14	%		34.20	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $26,000, $31,000, $34,000, $32,000 and $15,000 , which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

GLOBAL REAL ESTATE INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$11.05			$10.35			$9.99			$10.08			$10.41
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.34			0.34			0.33			0.25			0.27
Net realized and unrealized gains (losses)		(2.67	)		0.72			0.38			0.02			(0.31	)
Total from Investment Operations		(2.33	)		1.06			0.71			0.27			(0.04	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.50	)		(0.36	)		(0.35	)		(0.36	)		(0.29	)
Total Distributions Paid		(0.50	)		(0.36	)		(0.35	)		(0.36	)		(0.29	)
Net Asset Value, End of Year		$8.22			$11.05			$10.35			$9.99			$10.08
Total Return(2)		(22.11	)%		10.55	%		7.10	%		2.81	%		(0.25	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$1,780,428			$2,091,233			$1,881,555			$1,889,797			$1,910,722
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.49	%		0.50	%		0.50	%		0.50	%		0.50	%
Expenses, before reimbursements and credits		0.49	%		0.53	%		0.53	%		0.53	%		0.53	%
Net investment income, net of reimbursements and credits(3)		2.81	%		3.17	%		3.21	%		2.52	%		2.59	%
Net investment income, before reimbursements and credits		2.81	%		3.14	%		3.18	%		2.49	%		2.56	%
Portfolio Turnover Rate		6.91	%		27.17	%		9.53	%		5.96	%		8.55	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $32,000, $16,000, $16,000, $24,000 and $28,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

FINANCIAL HIGHLIGHTS continued

GLOBAL SUSTAINABILITY INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$13.97			$13.84			$12.59			$11.47			$12.29
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.29			0.27			0.27			0.27			0.24
Net realized and unrealized gains (losses)		(1.33	)		0.29			1.42			1.26			(0.63	)
Total from Investment Operations		(1.04	)		0.56			1.69			1.53			(0.39	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.29	)		(0.26	)		(0.26	)		(0.27	)		(0.22	)
From net realized gains		(0.13	)		(0.17	)		(0.18	)		(0.14	)		(0.21	)
Total Distributions Paid		(0.42	)		(0.43	)		(0.44	)		(0.41	)		(0.43	)
Net Asset Value, End of Year		$12.51			$13.97			$13.84			$12.59			$11.47
Total Return(2)		(8.02	)%		4.48	%		13.38	%		13.55	%		(3.11	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$689,840			$638,284			$399,903			$296,407			$242,860
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.29	%		0.30	%		0.30	%		0.31	%		0.31	%
Expenses, before reimbursements and credits		0.29	%		0.33	%		0.34	%		0.36	%		0.37	%
Net investment income, net of reimbursements and credits(3)		2.04	%		2.21	%		2.08	%		2.19	%		2.13	%
Net investment income, before reimbursements and credits		2.04	%		2.18	%		2.04	%		2.14	%		2.07	%
Portfolio Turnover Rate		13.83	%		9.10	%		5.64	%		19.30	%		16.97	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $11,000, $14,000, $10,000, $7,000 and $4,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

INTERNATIONAL EQUITY INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$11.86			$12.77			$11.39			$10.49			$11.78
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.35	(1)		0.39			0.30			0.33			0.29
Net realized and unrealized gains (losses)		(1.98	)		(0.93	)		1.40	(2)		0.91			(1.29	)
Total from Investment Operations		(1.63	)		(0.54	)		1.70			1.24			(1.00	)
LESS DISTRIBUTIONS PAID:
From net investment income(3)		(0.39	)		(0.37	)		(0.32	)		(0.34	)		(0.29	)
Total Distributions Paid		(0.39	)		(0.37	)		(0.32	)		(0.34	)		(0.29	)
Net Asset Value, End of Year		$9.84			$11.86			$12.77			$11.39			$10.49
Total Return(4)		(14.46	)%		(3.89	)%		14.88	%		12.07	%		(8.50	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$4,100,160			$5,333,685			$6,209,334			$4,401,667			$4,241,254
Ratio to average net assets of:
Expenses, net of reimbursements and credits(5)		0.25	%		0.25	%		0.25	%		0.25	%		0.25	%
Expenses, before reimbursements and credits		0.26	%		0.30	%		0.30	%		0.30	%		0.29	%
Net investment income, net of reimbursements and credits(5)		2.85	%		3.15	%		2.58	%		2.98	%		2.76	%
Net investment income, before reimbursements and credits		2.84	%		3.10	%		2.53	%		2.93	%		2.72	%
Portfolio Turnover Rate		10.17	%		26.95	%		31.54	%		28.03	%		30.80	%

(1) The Northern Trust Company reimbursed the Fund approximately $69,000. The reimbursement represents less than $0.01 per share and had no effect on the Fund’s total return.

(2) The Fund received reimbursements from Northern Trust Investments, Inc. of approximately $137,000. The reimbursements represent less than $0.01 per share and had no effect on the Fund’s total return.

(3) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(4) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(5) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $30,000, $36,000, $55,000, $32,000 and $19,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

FINANCIAL HIGHLIGHTS continued

MID CAP INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$17.95			$19.17			$18.59			$16.39			$18.43
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.28			0.27			0.26			0.23			0.23
Net realized and unrealized gains (losses)		(4.21	)		(0.04	)		1.76			3.12			(0.97	)
Total from Investment Operations		(3.93	)		0.23			2.02			3.35			(0.74	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.27	)		(0.28	)		(0.24	)		(0.24	)		(0.23	)
From net realized gains		(0.16	)		(1.17	)		(1.20	)		(0.91	)		(1.07	)
Total Distributions Paid		(0.43	)		(1.45	)		(1.44	)		(1.15	)		(1.30	)
Net Asset Value, End of Year		$13.59			$17.95			$19.17			$18.59			$16.39
Total Return(1)		(22.61	)%		2.38	%		10.80	%		20.71	%		(3.71	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$1,700,510			$2,294,736			$2,320,034			$2,175,963			$1,689,719
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.15	%		0.15	%		0.15	%		0.15	%		0.15	%
Expenses, before reimbursements and credits		0.18	%		0.17	%		0.18	%		0.18	%		0.18	%
Net investment income, net of reimbursements and credits(2)		1.52	%		1.39	%		1.35	%		1.35	%		1.38	%
Net investment income, before reimbursements and credits		1.49	%		1.37	%		1.32	%		1.32	%		1.35	%
Portfolio Turnover Rate		18.15	%		20.59	%		16.02	%		19.71	%		20.43	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $72,000, $77,000, $44,000, $87,000 and $38,000 which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SMALL CAP INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$12.34			$13.60			$12.97			$10.70			$12.67
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.14			0.16			0.15			0.14			0.13
Net realized and unrealized gains (losses)		(3.07	)		(0.11	)		1.38			2.64			(1.37	)
Total from Investment Operations		(2.93	)		0.05			1.53			2.78			(1.24	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.14	)		(0.15	)		(0.15	)		(0.13	)		(0.14	)
From net realized gains		(0.09	)		(1.16	)		(0.75	)		(0.38	)		(0.59	)
Total Distributions Paid		(0.23	)		(1.31	)		(0.90	)		(0.51	)		(0.73	)
Net Asset Value, End of Year		$9.18			$12.34			$13.60			$12.97			$10.70
Total Return(1)		(24.28	)%		1.97	%		11.68	%		26.11	%		(9.91	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$887,429			$1,167,092			$1,214,764			$1,183,557			$953,884
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.15	%		0.15	%		0.15	%		0.15	%		0.15	%
Expenses, before reimbursements and credits		0.19	%		0.18	%		0.18	%		0.18	%		0.18	%
Net investment income, net of reimbursements and credits(2)		1.13	%		1.13	%		1.04	%		1.16	%		1.13	%
Net investment income, before reimbursements and credits		1.09	%		1.10	%		1.01	%		1.13	%		1.10	%
Portfolio Turnover Rate		18.36	%		20.81	%		13.03	%		19.37	%		18.80	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $32,000, $32,000, $25,000, $28,000 and $22,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

FINANCIAL HIGHLIGHTS continued FOR THE FISCAL YEARS ENDED MARCH 31,

STOCK INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$32.74			$31.35			$28.44			$24.94			$25.41
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.65			0.61			0.58			0.53			0.54
Net realized and unrealized gains (losses)		(2.87	)		2.18			3.35			3.68			(0.13	)
Total from Investment Operations		(2.22	)		2.79			3.93			4.21			0.41
LESS DISTRIBUTIONS PAID:
From net investment income		(0.65	)		(0.61	)		(0.57	)		(0.52	)		(0.55	)
From net realized gains		(0.26	)		(0.79	)		(0.45	)		(0.19	)		(0.33	)
Total Distributions Paid		(0.91	)		(1.40	)		(1.02	)		(0.71	)		(0.88	)
Net Asset Value, End of Year		$29.61			$32.74			$31.35			$28.44			$24.94
Total Return(1)		(7.10	)%		9.38	%		13.87	%		17.06	%		1.70	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$7,933,222			$8,512,061			$7,787,749			$7,544,579			$7,011,831
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.10	%		0.10	%		0.10	%		0.10	%		0.10	%
Expenses, before reimbursements and credits		0.12	%		0.11	%		0.12	%		0.11	%		0.11	%
Net investment income, net of reimbursements and credits(2)		1.88	%		1.89	%		1.86	%		1.98	%		2.14	%
Net investment income, before reimbursements and credits		1.86	%		1.88	%		1.84	%		1.97	%		2.13	%
Portfolio Turnover Rate		5.15	%		6.68	%		6.76	%		3.88	%		5.46	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $205,000, $185,000, $153,000, $61,000 and $72,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1)
Argentina – 0.1%
Banco Macro S.A. ADR		15,847		$269
Globant S.A. *		11,437		1,005
Grupo Financiero Galicia S.A. ADR		36,010		254
Telecom Argentina S.A. ADR		27,193		251
YPF S.A. ADR		58,764		245
				2,024
Belgium – 0.0%
Titan Cement International S.A. *		14,528		165
Brazil – 3.4%
Ambev S.A. *		1,516,160		3,466
Atacadao S.A. *		131,300		516
B2W Cia Digital *		67,891		625
B3 S.A. – Brasil Bolsa Balcao		666,182		4,568
Banco Bradesco S.A.		394,055		1,433
Banco BTG Pactual S.A. *		72,600		470
Banco do Brasil S.A. *		275,944		1,474
Banco Santander Brasil S.A.		136,536		709
BB Seguridade Participacoes S.A.		227,101		1,097
BR Malls Participacoes S.A.		234,490		446
BRF S.A. *		181,120		526
CCR S.A.		403,000		923
Centrais Eletricas Brasileiras S.A.		86,800		399
Cia Brasileira de Distribuicao *		52,642		660
Cia de Saneamento Basico do Estado de Sao Paulo *		109,571		820
Cia Siderurgica Nacional S.A.		214,090		290
Cielo S.A.		407,239		352
Cogna Educacao		562,552		444
Cosan S.A.		46,847		485
Embraer S.A. *		242,362		445
Energisa S.A.		54,800		403
Engie Brasil Energia S.A.		67,047		508
Equatorial Energia S.A.		276,070		927
Hapvida Participacoes e Investimentos S.A. (2)		72,300		591
Hypera S.A. *		127,458		709
IRB Brasil Resseguros S/A *		223,100		416
JBS S.A.		353,136		1,382
Klabin S.A.		231,741		723
Localiza Rent a Car S.A.		194,566		984
Lojas Renner S.A.		251,515		1,627
Magazine Luiza S.A.		235,500		1,785
Multiplan Empreendimentos Imobiliarios S.A. *		90,738		338

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Brazil – 3.4% – continued
Natura & Co. Holding S.A. *		209,228		$1,047
Notre Dame Intermedica Participacoes S.A.		156,000		1,341
Petrobras Distribuidora S.A.		233,500		707
Petroleo Brasileiro S.A. *		1,206,878		3,296
Porto Seguro S.A.		34,608		295
Raia Drogasil S.A. *		75,007		1,462
Rumo S.A. *		352,500		1,335
Sul America S.A. *		89,585		587
Suzano S.A.		174,756		1,206
TIM Participacoes S.A. *		281,236		680
Ultrapar Participacoes S.A.		230,248		559
Vale S.A. *		1,024,769		8,520
WEG S.A.		270,924		1,745
				53,321
Chile – 0.6%
Aguas Andinas S.A., Class A		888,014		261
Banco de Chile		14,349,254		1,159
Banco de Credito e Inversiones S.A. *		16,515		560
Banco Santander Chile		22,018,344		849
Cencosud S.A.		480,998		500
Cia Cervecerias Unidas S.A.		48,608		333
Colbun S.A.		2,708,795		294
Empresa Nacional de Telecomunicaciones S.A. *		57,779		244
Empresas CMPC S.A.		336,670		719
Empresas COPEC S.A.		122,308		700
Enel Americas S.A.		12,101,637		1,479
Enel Chile S.A.		9,220,110		625
Itau CorpBanca		51,300,443		133
Latam Airlines Group S.A.		81,203		209
S.A.C.I. Falabella		249,397		550
				8,615
China – 35.3%
360 Security Technology, Inc., Class A		33,200		89
3SBio, Inc. (2)  *		420,000		435
51job, Inc. ADR *		8,979		551
58.com, Inc. ADR *		30,567		1,489
AAC Technologies Holdings, Inc.		231,000		1,190
AECC Aviation Power Co. Ltd., Class A		51,000		153
Agile Group Holdings Ltd.		458,000		493
Agricultural Bank of China Ltd., Class A		1,256,700		598
Agricultural Bank of China Ltd., Class H		9,520,367		3,804

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Aier Eye Hospital Group Co. Ltd., Class A		61,970		$346
Air China Ltd., Class A		95,200		88
Air China Ltd., Class H		568,705		365
Aisino Corp., Class A		45,400		123
Alibaba Group Holding Ltd. ADR *		562,431		109,382
A-Living Services Co. Ltd., Class H		144,750		699
Aluminum Corp. of China Ltd., Class A *		300,800		123
Aluminum Corp. of China Ltd., Class H *		1,313,435		260
Angang Steel Co. Ltd., Class A		110,110		42
Angel Yeast Co. Ltd., Class A		20,600		103
Anhui Conch Cement Co. Ltd., Class A		83,700		653
Anhui Conch Cement Co. Ltd., Class H		389,575		2,693
Anhui Gujing Distillery Co. Ltd., Class A		7,200		116
Anhui Kouzi Distillery Co. Ltd., Class A		14,600		85
ANTA Sports Products Ltd.		351,432		2,540
Anxin Trust Co. Ltd., Class A *		177,589		63
Asymchem Laboratories Tianjin Co. Ltd., Class A		2,900		70
Autobio Diagnostics Co. Ltd., Class A		6,100		100
Autohome, Inc. ADR *		19,063		1,354
AVIC Aircraft Co. Ltd., Class A		67,500		152
Avic Capital Co. Ltd., Class A		217,100		121
AVIC Electromechanical Systems Co. Ltd., Class A		100,500		103
AVIC Jonhon Optronic Technology Co. Ltd., Class A		28,600		138
AVIC Shenyang Aircraft Co. Ltd., Class A *		14,200		57
AviChina Industry & Technology Co. Ltd., Class H		835,313		321
AVICOPTER PLC, Class A		17,400		102
BAIC BluePark New Energy Technology Co. Ltd., Class A *		40,100		34
BAIC Motor Corp. Ltd., Class H (2)		591,500		233
Baidu, Inc. ADR *		88,642		8,934
Bank of Beijing Co. Ltd., Class A		400,900		274
Bank of Chengdu Co. Ltd., Class A		78,000		83
Bank of China Ltd., Class A		820,900		403
Bank of China Ltd., Class H		25,513,652		9,736
Bank of Communications Co. Ltd., Class A		783,100		571
Bank of Communications Co. Ltd., Class H		2,821,117		1,721
Bank of Guiyang Co. Ltd., Class A		67,200		73

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Bank of Hangzhou Co. Ltd., Class A		121,020		$132
Bank of Jiangsu Co. Ltd., Class A		216,188		184
Bank of Nanjing Co. Ltd., Class A		179,496		184
Bank of Ningbo Co. Ltd., Class A		111,800		365
Bank of Shanghai Co. Ltd., Class A		271,771		316
Baoshan Iron & Steel Co. Ltd., Class A		333,996		230
Baozun, Inc. ADR *		14,341		401
BBMG Corp., Class A		179,000		83
BBMG Corp., Class H		832,000		207
Beijing Capital International Airport Co. Ltd., Class H		570,000		362
Beijing Dabeinong Technology Group Co. Ltd., Class A		76,900		94
Beijing Enlight Media Co. Ltd., Class A		65,100		82
Beijing New Building Materials PLC, Class A		31,900		107
Beijing Oriental Yuhong Waterproof Technology Co. Ltd., Class A		34,500		166
Beijing Originwater Technology Co. Ltd., Class A		85,800		112
Beijing Shiji Information Technology Co. Ltd., Class A		16,000		65
Beijing Shunxin Agriculture Co. Ltd., Class A		14,500		126
Beijing Sinnet Technology Co. Ltd., Class A		23,000		77
Beijing Tiantan Biological Products Corp. Ltd., Class A		20,200		104
Beijing Tongrentang Co. Ltd., Class A		28,100		100
BEST, Inc. ADR *		64,383		344
Betta Pharmaceuticals Co. Ltd., Class A		9,200		91
BGI Genomics Co. Ltd., Class A		7,800		93
BOE Technology Group Co. Ltd., Class A		688,900		358
Bohai Leasing Co. Ltd., Class A *		185,800		76
BYD Co. Ltd., Class A		35,500		298
BYD Co. Ltd., Class H		208,199		1,080
BYD Electronic International Co. Ltd.		224,000		372
By-health Co. Ltd., Class A		40,200		96
Caitong Securities Co. Ltd., Class A		39,500		57
Centre Testing International Group Co. Ltd., Class A (3)		100		—
CGN Power Co. Ltd., Class H (2)		3,470,000		794
Changchun High & New Technology Industry Group, Inc., Class A		3,400		262
Changjiang Securities Co. Ltd., Class A		114,600		104

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Changzhou Xingyu Automotive Lighting Systems Co. Ltd., Class A		7,700		$91
Chaozhou Three-Circle Group Co. Ltd., Class A		30,900		79
Chengdu Kanghong Pharmaceutical Group Co. Ltd., Class A		17,700		98
China Aoyuan Group Ltd.		398,000		463
China Cinda Asset Management Co. Ltd., Class H		2,964,000		559
China CITIC Bank Corp. Ltd., Class A		140,000		102
China CITIC Bank Corp. Ltd., Class H		2,826,286		1,392
China Coal Energy Co. Ltd., Class H		737,000		204
China Communications Construction Co. Ltd., Class A		73,400		86
China Communications Construction Co. Ltd., Class H		1,378,287		956
China Communications Services Corp. Ltd., Class H		761,035		551
China Conch Venture Holdings Ltd.		526,000		2,339
China Construction Bank Corp., Class A		199,300		179
China Construction Bank Corp., Class H		31,131,693		25,375
China East Education Holdings Ltd. (2)  *		159,500		257
China Eastern Airlines Corp. Ltd., Class A *		221,700		130
China Eastern Airlines Corp. Ltd., Class H *		454,000		157
China Everbright Bank Co. Ltd., Class A		779,200		398
China Everbright Bank Co. Ltd., Class H		981,000		375
China Evergrande Group		583,411		960
China Film Co. Ltd., Class A		7,800		13
China Fortune Land Development Co. Ltd., Class A		54,500		161
China Galaxy Securities Co. Ltd., Class H		1,152,000		556
China Gezhouba Group Co. Ltd., Class A		84,900		84
China Grand Automotive Services Group Co. Ltd., Class A		164,600		95
China Greatwall Technology Group Co. Ltd., Class A		57,400		96
China Hongqiao Group Ltd.		568,000		241
China Huarong Asset Management Co. Ltd., Class H (2)		3,337,000		420
China International Capital Corp. Ltd., Class H (2)		448,400		722

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
China International Marine Containers Group Co. Ltd., Class A		14,800		$16
China International Travel Service Corp. Ltd., Class A		39,100		372
China Jushi Co. Ltd., Class A		70,600		79
China Lesso Group Holdings Ltd.		365,000		479
China Life Insurance Co. Ltd., Class A		56,700		211
China Life Insurance Co. Ltd., Class H		2,385,544		4,680
China Literature Ltd. (2)*		82,800		327
China Longyuan Power Group Corp. Ltd., Class H		980,473		536
China Medical System Holdings Ltd.		454,000		489
China Merchants Bank Co. Ltd., Class A		414,779		1,895
China Merchants Bank Co. Ltd., Class H		1,251,933		5,620
China Merchants Energy Shipping Co. Ltd., Class A		146,300		132
China Merchants Securities Co. Ltd., Class A		110,100		265
China Merchants Shekou Industrial Zone Holdings Co. Ltd., Class A		141,700		330
China Minsheng Banking Corp. Ltd., Class A		719,440		580
China Minsheng Banking Corp. Ltd., Class H		2,302,154		1,705
China Molybdenum Co. Ltd., Class A		339,100		167
China Molybdenum Co. Ltd., Class H		1,308,000		364
China National Building Material Co. Ltd., Class H		1,240,000		1,346
China National Chemical Engineering Co. Ltd., Class A		134,700		113
China National Nuclear Power Co. Ltd., Class A		269,798		168
China National Software & Service Co. Ltd., Class A		9,200		93
China Northern Rare Earth Group High-Tech Co. Ltd., Class A		89,500		114
China Oilfield Services Ltd., Class H		556,757		426
China Pacific Insurance Group Co. Ltd., Class A		130,200		520
China Pacific Insurance Group Co. Ltd., Class H		837,537		2,518
China Petroleum & Chemical Corp., Class A		550,500		344
China Petroleum & Chemical Corp., Class H		8,126,628		3,986

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
China Railway Construction Corp. Ltd., Class A		236,100		$328
China Railway Construction Corp. Ltd., Class H		651,500		727
China Railway Group Ltd., Class A		420,500		320
China Railway Group Ltd., Class H		1,278,827		679
China Railway Hi-tech Industry Co. Ltd., Class A		63,000		85
China Railway Signal & Communication Corp. Ltd., Class H (2)		536,000		269
China Reinsurance Group Corp., Class H		2,111,000		243
China Resources Pharmaceutical Group Ltd. (2)		534,500		320
China Resources Sanjiu Medical & Pharmaceutical Co. Ltd., Class A		21,100		83
China Shenhua Energy Co. Ltd., Class A		87,800		202
China Shenhua Energy Co. Ltd., Class H		1,106,136		2,098
China Shipbuilding Industry Co. Ltd., Class A		456,400		272
China South Publishing & Media Group Co. Ltd., Class A		35,800		54
China Southern Airlines Co. Ltd., Class A		176,800		129
China Southern Airlines Co. Ltd., Class H		500,530		217
China Spacesat Co. Ltd., Class A		22,600		93
China State Construction Engineering Corp. Ltd., Class A		864,880		645
China Telecom Corp. Ltd., Class H		4,414,339		1,332
China Tower Corp. Ltd., Class H (2)		13,458,000		3,005
China TransInfo Technology Co. Ltd., Class A		27,400		79
China United Network Communications Ltd., Class A		565,100		417
China Vanke Co. Ltd., Class A		202,800		736
China Vanke Co. Ltd., Class H		463,972		1,520
China Yangtze Power Co. Ltd., Class A		443,400		1,078
China Zhongwang Holdings Ltd.		469,200		123
Chongqing Brewery Co. Ltd., Class A		12,600		81
Chongqing Changan Automobile Co. Ltd., Class A		90,200		135
Chongqing Fuling Zhacai Group Co. Ltd., Class A		15,300		68

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Chongqing Rural Commercial Bank Co. Ltd., Class H		807,434		$330
Chongqing Zhifei Biological Products Co. Ltd., Class A		29,000		275
CIFI Holdings Group Co. Ltd.		903,519		648
CITIC Securities Co. Ltd., Class A		195,600		614
CITIC Securities Co. Ltd., Class H		650,000		1,183
CNOOC Ltd.		5,803,433		6,051
Contemporary Amperex Technology Co. Ltd., Class A		41,800		706
COSCO SHIPPING Development Co. Ltd., Class A		184,700		53
COSCO SHIPPING Energy Transportation Co. Ltd., Class H		514,000		275
COSCO SHIPPING Holdings Co. Ltd., Class A *		171,600		100
COSCO SHIPPING Holdings Co. Ltd., Class H *		784,000		216
Country Garden Holdings Co. Ltd.		2,487,612		2,986
Country Garden Services Holdings Co. Ltd.		394,000		1,592
CRRC Corp. Ltd., Class A		440,891		409
CRRC Corp. Ltd., Class H		1,447,991		732
CSC Financial Co. Ltd., Class A		55,300		243
CSPC Pharmaceutical Group Ltd.		1,510,000		3,005
Dali Foods Group Co. Ltd. (2)		707,000		490
Daqin Railway Co. Ltd., Class A		307,200		295
Datang International Power Generation Co. Ltd., Class H		992,000		132
Dawning Information Industry Co. Ltd., Class A		13,800		85
DHC Software Co. Ltd., Class A		72,400		131
Dong-E-E-Jiao Co. Ltd., Class A		18,200		66
Dongfang Electric Corp. Ltd., Class A		60,600		72
Dongfeng Motor Group Co. Ltd., Class H		911,169		597
Dongxing Securities Co. Ltd., Class A		67,500		104
East Money Information Co. Ltd., Class A		136,400		310
ENN Energy Holdings Ltd.		255,879		2,461
Eve Energy Co. Ltd., Class A *		19,200		156
Everbright Securities Co. Ltd., Class A		74,398		116
Fangda Carbon New Material Co. Ltd., Class A *		70,773		89
Fiberhome Telecommunication Technologies Co. Ltd., Class A		23,200		108

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Financial Street Holdings Co. Ltd., Class A		40,800		$38
First Capital Securities Co. Ltd., Class A		91,600		89
Focus Media Information Technology Co. Ltd., Class A		302,100		189
Foshan Haitian Flavouring & Food Co. Ltd., Class A		41,587		736
Fosun International Ltd.		803,365		923
Founder Securities Co. Ltd., Class A		181,500		183
Foxconn Industrial Internet Co. Ltd., Class A		85,200		158
Fujian Sunner Development Co. Ltd., Class A		25,600		85
Fuyao Glass Industry Group Co. Ltd., Class A		48,892		132
Fuyao Glass Industry Group Co. Ltd., Class H (2)		165,600		352
Ganfeng Lithium Co. Ltd., Class A		24,900		140
G-bits Network Technology Xiamen Co. Ltd., Class A		1,300		75
GCL System Integration Technology Co. Ltd., Class A *		142,800		61
GD Power Development Co. Ltd., Class A		458,600		132
GDS Holdings Ltd. ADR *		19,845		1,150
GEM Co. Ltd., Class A		48,800		32
Gemdale Corp., Class A		101,500		203
Genscript Biotech Corp. *		314,000		505
GF Securities Co. Ltd., Class A		151,293		293
GF Securities Co. Ltd., Class H		430,200		459
Giant Network Group Co. Ltd., Class A		39,100		92
Gigadevice Semiconductor Beijing, Inc., Class A		6,500		223
Glodon Co. Ltd., Class A		16,800		102
GoerTek, Inc., Class A		56,900		131
GOME Retail Holdings Ltd. *		3,235,970		299
Grandjoy Holdings Group Co. Ltd., Class A		91,900		70
Great Wall Motor Co. Ltd., Class H		970,296		618
Gree Electric Appliances, Inc. of Zhuhai, Class A		61,200		452
Greenland Holdings Corp. Ltd., Class A		181,700		139
Greentown Service Group Co. Ltd.		368,000		444
GRG Banking Equipment Co. Ltd., Class A		18,600		23

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Guangdong Haid Group Co. Ltd., Class A		32,000		$182
Guangdong HEC Technology Holding Co. Ltd., Class A		88,700		88
Guanghui Energy Co. Ltd., Class A		191,100		70
Guangshen Railway Co. Ltd., Class A		128,200		43
Guangzhou Automobile Group Co. Ltd., Class A		42,200		63
Guangzhou Automobile Group Co. Ltd., Class H		933,664		933
Guangzhou Baiyun International Airport Co. Ltd., Class A		45,000		80
Guangzhou Baiyunshan Pharmaceutical Holdings Co. Ltd., Class A		30,600		135
Guangzhou Haige Communications Group, Inc. Co., Class A		64,000		101
Guangzhou Kingmed Diagnostics Group Co. Ltd., Class A		12,100		96
Guangzhou R&F Properties Co. Ltd., Class H		438,414		569
Guosen Securities Co. Ltd., Class A		90,100		142
Guotai Junan Securities Co. Ltd., Class A		105,800		244
Guotai Junan Securities Co. Ltd., Class H (2)		270,000		401
Guoxuan High-Tech Co. Ltd., Class A		20,200		49
Guoyuan Securities Co. Ltd., Class A		61,200		72
Haidilao International Holding Ltd. (2)		124,000		481
Haier Smart Home Co. Ltd., Class A		118,497		242
Haitian International Holdings Ltd.		213,000		396
Haitong Securities Co. Ltd., Class A		138,800		252
Haitong Securities Co. Ltd., Class H		948,833		864
Hangzhou Hikvision Digital Technology Co. Ltd., Class A		180,900		708
Hangzhou Robam Appliances Co. Ltd., Class A		25,600		103
Hangzhou Silan Microelectronics Co. Ltd., Class A		22,900		47
Hangzhou Tigermed Consulting Co. Ltd., Class A		11,300		102
Hansoh Pharmaceutical Group Co. Ltd. (2)*		174,000		588
Hefei Meiya Optoelectronic Technology, Inc., Class A		19,900		105
Heilongjiang Agriculture Co. Ltd., Class A		20,500		50

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Henan Shuanghui Investment & Development Co. Ltd., Class A		57,500		$317
Hengan International Group Co. Ltd.		230,898		1,731
Hengli Petrochemical Co. Ltd., Class A		117,460		207
Hengtong Optic-electric Co. Ltd., Class A		49,160		112
Hengyi Petrochemical Co. Ltd., Class A		73,400		130
Hesteel Co. Ltd., Class A		142,400		43
Hithink RoyalFlush Information Network Co. Ltd., Class A		9,300		143
HLA Corp. Ltd., Class A		74,800		67
Holitech Technology Co. Ltd., Class A		40,000		31
Hongfa Technology Co. Ltd., Class A		22,100		86
Hua Hong Semiconductor Ltd. (2)		151,000		274
Huaan Securities Co. Ltd., Class A		97,800		107
Huadian Power International Corp. Ltd., Class A		121,800		59
Huadian Power International Corp. Ltd., Class H		574,000		171
Huadong Medicine Co. Ltd., Class A		39,620		97
Hualan Biological Engineering, Inc., Class A		27,900		189
Huaneng Power International, Inc., Class A		65,700		44
Huaneng Power International, Inc., Class H		1,332,501		496
Huatai Securities Co. Ltd., Class A		141,800		346
Huatai Securities Co. Ltd., Class H (2)		548,600		812
Huaxi Securities Co. Ltd., Class A		63,800		95
Huaxia Bank Co. Ltd., Class A		249,690		228
Huaxin Cement Co. Ltd., Class A		32,700		107
Huayu Automotive Systems Co. Ltd., Class A		62,600		189
Huazhu Group Ltd. ADR		42,311		1,216
Hubei Biocause Pharmaceutical Co. Ltd., Class A		120,900		101
Hubei Energy Group Co. Ltd., Class A		117,200		59
Hundsun Technologies, Inc., Class A		17,850		220
HUYA,Inc.ADR *		20,423		346
Iflytek Co. Ltd., Class A		43,500		210
Industrial & Commercial Bank of China Ltd., Class A		924,800		673
Industrial & Commercial Bank of China Ltd., Class H		21,141,023		14,425
Industrial Bank Co. Ltd., Class A		405,000		912
Industrial Securities Co. Ltd., Class A		128,600		113

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Inner Mongolia BaoTou Steel Union Co. Ltd., Class A		873,200		$142
Inner Mongolia Junzheng Energy & Chemical Industry Group Co. Ltd., Class A *		210,200		73
Inner Mongolia Yili Industrial Group Co. Ltd., Class A		121,600		514
Inner Mongolia Yitai Coal Co. Ltd., Class B		398,200		261
Innovent Biologics, Inc. (2)  *		301,000		1,265
Inspur Electronic Information Industry Co. Ltd., Class A		29,456		160
iQIYI, Inc. ADR *		40,332		718
Jafron Biomedical Co. Ltd., Class A		9,000		120
JD.com, Inc. ADR *		238,715		9,668
Jiangsu Changshu Rural Commercial Bank Co. Ltd., Class A		74,200		72
Jiangsu Expressway Co. Ltd., Class H		380,000		423
Jiangsu Hengli Hydraulic Co. Ltd., Class A		16,600		145
Jiangsu Hengrui Medicine Co. Ltd., Class A		85,974		1,119
Jiangsu King’s Luck Brewery JSC Ltd., Class A		24,100		96
Jiangsu Yanghe Brewery Joint-Stock Co. Ltd., Class A		30,600		363
Jiangsu Yuyue Medical Equipment & Supply Co. Ltd., Class A		19,800		101
Jiangsu Zhongnan Construction Group Co. Ltd., Class A		79,600		87
Jiangsu Zhongtian Technology Co. Ltd., Class A		77,500		104
Jiangxi Copper Co. Ltd., Class A		51,499		92
Jiangxi Copper Co. Ltd., Class H		389,000		357
Jiangxi Zhengbang Technology Co. Ltd., Class A		56,200		152
Jinke Properties Group Co. Ltd., Class A		89,000		100
Jinyu Bio-Technology Co. Ltd., Class A		33,700		101
Joincare Pharmaceutical Group Industry Co. Ltd., Class A		62,000		100
Jointown Pharmaceutical Group Co. Ltd., Class A		49,300		118
Jonjee Hi-Tech Industrial And Commercial Holding Co. Ltd., Class A		15,400		104
JOYY, Inc. ADR *		18,561		989
Juewei Food Co. Ltd., Class A		14,200		104

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Juneyao Airlines Co. Ltd., Class A *		43,500		$62
Kaisa Group Holdings Ltd. *		811,000		298
Kingdee International Software Group Co. Ltd.		746,000		990
Kingsoft Corp. Ltd. *		263,903		856
Kweichow Moutai Co. Ltd., Class A		24,195		3,803
KWG Group Holdings Ltd. *		422,000		597
Laobaixing Pharmacy Chain JSC, Class A		5,600		61
Legend Holdings Corp., Class H (2)		141,200		174
Lenovo Group Ltd.		2,290,000		1,223
Lens Technology Co. Ltd., Class A		55,000		112
Lepu Medical Technology Beijing Co. Ltd., Class A		36,900		188
Li Ning Co. Ltd.		632,500		1,835
Liaoning Cheng Da Co. Ltd., Class A *		45,900		118
Lingyi iTech Guangdong Co., Class A *		126,800		146
Livzon Pharmaceutical Group, Inc., Class A		5,100		28
Logan Property Holdings Co. Ltd.		444,000		680
Lomon Billions Group Co. Ltd., Class A		50,800		107
Longfor Group Holdings Ltd. (2)		578,731		2,801
LONGi Green Energy Technology Co. Ltd., Class A		81,087		282
Luckin Coffee, Inc. ADR *		26,996		734
Luxshare Precision Industry Co. Ltd., Class A		109,860		587
Luye Pharma Group Ltd. (2)		422,500		205
Luzhou Laojiao Co. Ltd., Class A		29,000		303
Maanshan Iron & Steel Co. Ltd., Class A		126,200		45
Maanshan Iron & Steel Co. Ltd., Class H		272,000		85
Mango Excellent Media Co. Ltd., Class A *		32,470		199
Meinian Onehealth Healthcare Holdings Co. Ltd., Class A		86,476		144
Meituan Dianping, Class B *		328,000		3,936
Metallurgical Corp. of China Ltd., Class A		406,700		151
Metallurgical Corp. of China Ltd., Class H		842,000		147
Momo,Inc.ADR		48,112		1,044
Muyuan Foodstuff Co. Ltd., Class A		43,480		752
NanJi E-Commerce Co. Ltd., Class A *		61,200		101

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Nanjing King-Friend Biochemical Pharmaceutical Co. Ltd., Class A		6,600		$47
Nanjing Securities Co. Ltd., Class A		66,000		146
NARI Technology Co. Ltd., Class A		91,685		254
NAURA Technology Group Co. Ltd., Class A		9,800		161
NavInfo Co. Ltd., Class A		43,900		87
NetEase, Inc. ADR		22,986		7,378
New China Life Insurance Co. Ltd., Class A		39,600		223
New China Life Insurance Co. Ltd., Class H		259,652		805
New Hope Liuhe Co. Ltd., Class A		83,200		370
New Oriental Education & Technology Group, Inc. ADR *		45,986		4,978
Ninestar Corp., Class A		25,900		97
Ningbo Joyson Electronic Corp., Class A *		21,800		58
Ningbo Zhoushan Port Co. Ltd., Class A		159,600		80
NIO, Inc. ADR *		207,620		577
Noah Holdings Ltd. ADR *		10,529		272
Offshore Oil Engineering Co. Ltd., Class A		122,600		85
OFILM Group Co. Ltd., Class A *		54,200		105
Oppein Home Group, Inc., Class A		4,800		64
Orient Securities Co. Ltd., Class A		128,687		166
Oriental Pearl Group Co. Ltd., Class A		79,480		98
Ovctek China, Inc., Class A		11,000		86
Pacific Securities (The) Co. Ltd., Class A *		196,100		92
Pangang Group Vanadium Titanium & Resources Co. Ltd., Class A *		259,900		81
People’s Insurance Co. Group of China (The) Ltd., Class A		103,700		92
People’s Insurance Co. Group of China (The) Ltd., Class H		2,645,535		869
Perfect World Co. Ltd., Class A		25,500		170
PetroChina Co. Ltd., Class A		307,200		200
PetroChina Co. Ltd., Class H		6,907,438		2,521
PICC Property & Casualty Co. Ltd., Class H		2,213,359		2,129
Pinduoduo, Inc. ADR *		62,500		2,252
Ping An Bank Co. Ltd., Class A		374,900		680
Ping An Healthcare and Technology Co. Ltd. (2)*		103,200		957

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Ping An Insurance Group Co. of China Ltd., Class A		217,635		$2,130
Ping An Insurance Group Co. of China Ltd., Class H		1,796,406		17,573
Poly Developments and Holdings Group Co. Ltd., Class A		237,600		500
Postal Savings Bank of China Co. Ltd., Class H (2)		2,578,000		1,565
Power Construction Corp. of China Ltd., Class A		278,300		155
RiseSun Real Estate Development Co. Ltd., Class A		110,600		121
Rongsheng Petro Chemical Co. Ltd., Class A		70,800		110
SAIC Motor Corp. Ltd., Class A		162,793		473
Sanan Optoelectronics Co. Ltd., Class A		78,600		211
Sangfor Technologies, Inc., Class A		7,500		166
Sansteel Minguang Co. Ltd. Fujian, Class A		78,500		89
Sany Heavy Industry Co. Ltd., Class A		166,500		408
SDIC Capital Co. Ltd., Class A		67,600		117
SDIC Power Holdings Co. Ltd., Class A		137,800		155
Sealand Securities Co. Ltd., Class A		95,440		59
Seazen Group Ltd. *		690,000		620
Seazen Holdings Co. Ltd., Class A		50,594		224
Semiconductor Manufacturing International Corp. *		975,500		1,526
SF Holding Co. Ltd., Class A		32,800		218
Shaanxi Coal Industry Co. Ltd., Class A		150,200		159
Shandong Buchang Pharmaceuticals Co. Ltd., Class A		36,856		104
Shandong Gold Mining Co. Ltd., Class A		52,655		255
Shandong Hualu Hengsheng Chemical Co. Ltd., Class A		39,500		88
Shandong Linglong Tyre Co. Ltd., Class A		31,800		89
Shandong Nanshan Aluminum Co. Ltd., Class A		355,400		104
Shandong Sinocera Functional Material Co. Ltd., Class A		28,300		83
Shandong Sun Paper Industry JSC Ltd., Class A		74,300		92
Shandong Weigao Group Medical Polymer Co. Ltd., Class H		680,116		857

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Shanghai Baosight Software Co. Ltd., Class A		17,000		$95
Shanghai Construction Group Co. Ltd., Class A		174,100		79
Shanghai Electric Group Co. Ltd., Class A		161,200		105
Shanghai Electric Group Co. Ltd., Class H		964,000		254
Shanghai Fosun Pharmaceutical Group Co. Ltd., Class A		45,800		211
Shanghai Fosun Pharmaceutical Group Co. Ltd., Class H		169,500		555
Shanghai International Airport Co. Ltd., Class A		19,700		170
Shanghai International Port Group Co. Ltd., Class A		195,000		123
Shanghai Jahwa United Co. Ltd., Class A		20,700		73
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., Class B		336,401		272
Shanghai M&G Stationery, Inc., Class A		12,100		79
Shanghai Pharmaceuticals Holding Co. Ltd., Class A		42,300		116
Shanghai Pharmaceuticals Holding Co. Ltd., Class H		281,847		477
Shanghai Pudong Development Bank Co. Ltd., Class A		608,892		874
Shanghai RAAS Blood Products Co. Ltd., Class A *		94,600		103
Shanghai Tunnel Engineering Co. Ltd., Class A		39,500		31
Shanghai Yuyuan Tourist Mart Group Co. Ltd., Class A		84,800		88
Shanghai Zhangjiang High-Tech Park Development Co. Ltd., Class A		37,200		64
Shanxi Lu’an Environmental Energy Development Co. Ltd., Class A		27,200		22
Shanxi Meijin Energy Co. Ltd., Class A *		81,300		76
Shanxi Securities Co. Ltd., Class A		86,500		86
Shanxi Taigang Stainless Steel Co. Ltd., Class A		164,300		75
Shanxi Xinghuacun Fen Wine Factory Co. Ltd., Class A		19,400		248
Shanxi Xishan Coal & Electricity Power Co. Ltd., Class A		43,400		30
Shenergy Co. Ltd., Class A		111,400		83

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Shengyi Technology Co. Ltd., Class A		41,800		$155
Shennan Circuits Co. Ltd., Class A		6,700		185
Shenwan Hongyuan Group Co. Ltd., Class A		367,100		229
Shenzhen Airport Co. Ltd., Class A		65,300		71
Shenzhen Energy Group Co. Ltd., Class A		84,713		64
Shenzhen Expressway Co. Ltd., Class H		260,000		264
Shenzhen Goodix Technology Co. Ltd., Class A		7,700		281
Shenzhen Hepalink Pharmaceutical Group Co. Ltd., Class A		13,800		40
Shenzhen Inovance Technology Co. Ltd., Class A		32,200		117
Shenzhen Kangtai Biological Products Co. Ltd., Class A		10,600		172
Shenzhen Mindray Bio-Medical Electronics Co. Ltd., Class A		20,200		743
Shenzhen Overseas Chinese Town Co. Ltd., Class A		180,600		163
Shenzhen Salubris Pharmaceuticals Co. Ltd., Class A		3,500		9
Shenzhen Sunway Communication Co. Ltd., Class A *		15,400		74
Shenzhen Zhongjin Lingnan Nonfemet Co. Ltd., Class A		26,300		13
Shenzhou International Group Holdings Ltd.		243,000		2,566
Shijiazhuang Yiling Pharmaceutical Co. Ltd., Class A		19,100		60
Shui On Land Ltd.		1,166,000		195
Siasun Robot & Automation Co. Ltd., Class A *		47,700		91
Sichuan Chuantou Energy Co. Ltd., Class A		83,800		109
Sichuan Kelun Pharmaceutical Co. Ltd., Class A		29,000		84
Sichuan Languang Development Co. Ltd., Class A		98,700		84
Sichuan Swellfun Co. Ltd., Class A		13,400		82
SINA Corp. *		19,904		634
Sinolink Securities Co. Ltd., Class A		66,100		86
Sino-Ocean Group Holding Ltd.		1,024,048		259
Sinopec Engineering Group Co. Ltd., Class H		525,000		220
Sinopec Shanghai Petrochemical Co. Ltd., Class A		144,100		79

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Sinopec Shanghai Petrochemical Co. Ltd., Class H		1,078,005		$266
Sinopharm Group Co. Ltd., Class H		435,514		975
Sinotrans Ltd., Class H		845,000		207
Sinotruk Hong Kong Ltd.		225,000		372
SOHO China Ltd.		697,278		358
Songcheng Performance Development Co. Ltd., Class A		24,000		85
SooChow Securities Co. Ltd., Class A		38,010		42
Southwest Securities Co. Ltd., Class A		131,700		84
Spring Airlines Co. Ltd., Class A		24,600		112
Sunac China Holdings Ltd.		787,000		3,620
Suning.com Co. Ltd., Class A		177,100		226
Sunny Optical Technology Group Co. Ltd.		229,725		3,064
Sunwoda Electronic Co. Ltd., Class A		22,300		44
Suzhou Dongshan Precision Manufacturing Co. Ltd., Class A		30,300		87
Suzhou Gold Mantis Construction Decoration Co. Ltd., Class A		74,800		86
TAL Education Group ADR *		124,546		6,633
Tasly Pharmaceutical Group Co. Ltd., Class A		42,760		83
TBEA Co. Ltd., Class A		94,200		97
TCL Technology Group Corp., Class A		202,500		118
Tencent Holdings Ltd.		1,855,489		90,477
Tencent Music Entertainment Group ADR *		28,758		289
Tianjin Zhonghuan Semiconductor Co. Ltd., Class A		55,900		113
Tianma Microelectronics Co. Ltd., Class A		51,500		96
Tianqi Lithium Corp., Class A		35,990		94
Tingyi Cayman Islands Holding Corp.		630,435		1,027
Toly Bread Co. Ltd., Class A		13,500		94
Tonghua Dongbao Pharmaceutical Co. Ltd., Class A		44,400		67
Tongkun Group Co. Ltd., Class A		50,100		83
Tongling Nonferrous Metals Group Co. Ltd., Class A		218,400		61
Tongwei Co. Ltd., Class A		81,800		133
Topchoice Medical Corp., Class A *		6,100		93
Topsports International Holdings Ltd.		415,000		430
Transfar Zhilian Co. Ltd., Class A		87,500		76
TravelSky Technology Ltd., Class H		311,000		546
Trip.com Group Ltd. ADR *		151,294		3,548

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Tsingtao Brewery Co. Ltd., Class A		15,100		$97
Tsingtao Brewery Co. Ltd., Class H		129,767		659
Tunghsu Optoelectronic Technology Co. Ltd., Class A		151,600		64
Unigroup Guoxin Microelectronics Co. Ltd., Class A		16,200		113
Uni-President China Holdings Ltd.		433,000		418
Unisplendour Corp. Ltd., Class A		34,320		170
Universal Scientific Industrial Shanghai Co. Ltd., Class A		27,800		62
Venustech Group, Inc., Class A		10,800		57
Vipshop Holdings Ltd. ADR *		143,936		2,243
Visionox Technology, Inc., Class A *		42,000		67
Walvax Biotechnology Co. Ltd., Class A		30,500		136
Wanda Film Holding Co. Ltd., Class A *		45,800		102
Wangsu Science & Technology Co. Ltd., Class A		61,800		68
Wanhua Chemical Group Co. Ltd., Class A		64,100		371
Want Want China Holdings Ltd.		1,587,870		1,146
Weibo Corp. ADR *		17,647		584
Weichai Power Co. Ltd., Class A		128,000		217
Weichai Power Co. Ltd., Class H		602,812		965
Weifu High-Technology Group Co. Ltd., Class A		23,600		63
Weihai Guangwei Composites Co. Ltd., Class A		4,600		32
Wens Foodstuffs Group Co. Ltd.		109,400		500
Western Securities Co. Ltd., Class A		61,100		71
Westone Information Industry, Inc., Class A		25,100		79
Will Semiconductor Ltd., Class A		10,100		221
Wingtech Technology Co. Ltd., Class A *		18,700		266
Winning Health Technology Group Co. Ltd., Class A		33,100		97
Wuchan Zhongda Group Co. Ltd., Class A		124,900		85
Wuhan Guide Infrared Co. Ltd., Class A		17,300		82
Wuhu Sanqi Interactive Entertainment Network Technology Group Co. Ltd., Class A		40,500		186
Wuliangye Yibin Co. Ltd., Class A		75,100		1,226
WUS Printed Circuit Kunshan Co. Ltd., Class A		33,800		113
WuXi AppTec Co. Ltd., Class A		30,400		386

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
WuXi AppTec Co. Ltd., Class H (2)		46,840		$573
Wuxi Biologics Cayman, Inc. (2)  *		252,500		3,255
Wuxi Lead Intelligent Equipment Co. Ltd., Class A		18,200		96
XCMG Construction Machinery Co. Ltd., Class A		117,700		84
Xiamen C & D, Inc., Class A		28,100		30
Xiaomi Corp., Class B (2)  *		3,373,600		4,516
Xinhu Zhongbao Co. Ltd., Class A		163,100		70
Xinjiang Goldwind Science & Technology Co. Ltd., Class A		63,800		86
Xinjiang Goldwind Science & Technology Co. Ltd., Class H		294,636		256
Xinyi Solar Holdings Ltd.		1,288,739		719
Yango Group Co. Ltd., Class A		95,800		95
Yantai Jereh Oilfield Services Group Co. Ltd., Class A		17,100		53
Yanzhou Coal Mining Co. Ltd., Class A		66,500		81
Yanzhou Coal Mining Co. Ltd., Class H		575,138		449
Yealink Network Technology Corp. Ltd., Class A		9,600		110
Yifeng Pharmacy Chain Co. Ltd., Class A		8,800		115
Yihai International Holding Ltd. *		152,000		1,146
Yintai Gold Co. Ltd., Class A		24,000		49
Yonghui Superstores Co. Ltd., Class A		198,500		287
Yonyou Network Technology Co. Ltd., Class A		46,950		269
Youzu Interactive Co. Ltd., Class A *		14,000		37
Yuan Longping High-tech Agriculture Co. Ltd., Class A		19,100		49
Yum China Holdings, Inc.		115,219		4,912
Yunda Holding Co. Ltd., Class A		22,500		98
Yunnan Baiyao Group Co. Ltd., Class A		25,600		308
Yunnan Energy New Material Co. Ltd.		17,400		104
Yuzhou Properties Co. Ltd.		580,315		246
Zai Lab Ltd. ADR *		12,580		648
Zhangzhou Pientzehuang Pharmaceutical Co. Ltd., Class A		13,093		229
Zhaojin Mining Industry Co. Ltd., Class H		359,000		357
Zhejiang Chint Electrics Co. Ltd., Class A		50,694		170
Zhejiang Dahua Technology Co. Ltd., Class A		48,500		110

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
China – 35.3% – continued
Zhejiang Dingli Machinery Co. Ltd., Class A		9,900		$80
Zhejiang Expressway Co. Ltd., Class H		447,294		309
Zhejiang Huahai Pharmaceutical Co. Ltd., Class A *		33,400		121
Zhejiang Huayou Cobalt Co. Ltd., Class A		24,750		102
Zhejiang Longsheng Group Co. Ltd., Class A		74,600		126
Zhejiang NHU Co. Ltd., Class A		48,000		184
Zhejiang Sanhua Intelligent Controls Co. Ltd., Class A		43,400		98
Zhejiang Supor Co. Ltd., Class A		13,000		127
Zhejiang Weixing New Building Materials Co. Ltd., Class A		51,500		81
Zhejiang Wolwo Bio-Pharmaceutical Co. Ltd., Class A		14,400		91
Zhengzhou Yutong Bus Co. Ltd., Class A		57,700		112
Zhenro Properties Group Ltd.		498,000		312
Zheshang Securities Co. Ltd., Class A		75,300		107
ZhongAn Online P&C Insurance Co. Ltd., Class H (2)*		104,600		343
Zhongji Innolight Co. Ltd., Class A		15,700		118
Zhongjin Gold Corp. Ltd., Class A		53,600		61
Zhongsheng Group Holdings Ltd.		179,500		625
Zhuzhou CRRC Times Electric Co. Ltd., Class H		184,474		544
Zijin Mining Group Co. Ltd., Class A		342,100		179
Zijin Mining Group Co. Ltd., Class H		1,896,162		707
Zoomlion Heavy Industry Science and Technology Co. Ltd., Class A		146,600		118
Zoomlion Heavy Industry Science and Technology Co. Ltd., Class H		448,400		325
ZTE Corp., Class A *		71,900		436
ZTE Corp., Class H *		247,717		765
ZTO Express Cayman, Inc. ADR *		101,944		2,699
				563,157
Colombia – 0.2%
Bancolombia S.A.		70,331		434
Ecopetrol S.A.		1,503,066		720
Grupo Argos S.A.		92,916		313
Grupo de Inversiones Suramericana S.A.		81,127		446
Interconexion Electrica S.A. ESP		150,877		621
				2,534

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Czech Republic – 0.1%
CEZ A.S.		50,102		$821
Komercni banka A.S.		24,600		467
Moneta Money Bank A.S. (2)		172,494		357
				1,645
Egypt – 0.1%
Commercial International Bank Egypt S.A.E.		449,795		1,679
Eastern Co. S.A.E.		316,049		248
ElSewedy Electric Co.		277,608		138
				2,065
Greece – 0.2%
Alpha Bank A.E. *		455,572		356
Eurobank Ergasias Services and Holdings S.A. *		857,590		377
FF Group (4)*		18,664		10
Hellenic Telecommunications Organization S.A.		79,336		964
JUMBO S.A.		36,090		493
Motor Oil Hellas Corinth Refineries S.A.		17,495		219
National Bank of Greece S.A. *		178,489		246
OPAP S.A.		63,633		489
				3,154
Hong Kong – 4.0%
Alibaba Health Information Technology Ltd. *		1,174,000		1,950
Alibaba Pictures Group Ltd. *		4,890,000		629
Beijing Enterprises Holdings Ltd.		172,771		629
Beijing Enterprises Water Group Ltd. *		1,537,886		596
Bosideng International Holdings Ltd.		1,080,000		252
Brilliance China Automotive Holdings Ltd.		965,944		789
China Education Group Holdings Ltd.		201,000		279
China Everbright International Ltd.		1,222,629		699
China Everbright Ltd.		309,110		454
China Gas Holdings Ltd.		594,095		2,060
China Huishan Dairy Holdings (5)*		1,922,380		—
China Jinmao Holdings Group Ltd.		1,687,791		1,086
China Mengniu Dairy Co. Ltd. *		894,870		3,099
China Merchants Port Holdings Co. Ltd.		402,938		458
China Mobile Ltd. (Hong Kong Exchange)		1,986,008		15,004
China Overseas Land & Investment Ltd.		1,227,695		3,789
China Power International Development Ltd.		1,219,000		225

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Hong Kong – 4.0% – continued
China Resources Beer Holdings Co. Ltd.		472,948		$2,147
China Resources Cement Holdings Ltd.		778,000		924
China Resources Gas Group Ltd.		287,958		1,446
China Resources Land Ltd.		1,031,432		4,232
China Resources Power Holdings Co. Ltd.		647,735		710
China State Construction International Holdings Ltd.		655,600		482
China Taiping Insurance Holdings Co. Ltd.		509,704		831
China Traditional Chinese Medicine Holdings Co. Ltd.		756,000		343
China Unicom Hong Kong Ltd.		1,940,494		1,112
CITIC Ltd.		1,880,803		1,958
COSCO SHIPPING Ports Ltd.		585,865		282
Far East Horizon Ltd.		729,000		585
Geely Automobile Holdings Ltd.		1,615,641		2,368
Guangdong Investment Ltd.		942,514		1,808
Haier Electronics Group Co. Ltd.		399,000		1,055
Hutchison China MediTech Ltd. ADR *		20,506		366
Kingboard Holdings Ltd.		217,000		505
Kingboard Laminates Holdings Ltd.		337,000		310
Kunlun Energy Co. Ltd.		1,081,230		623
Lee & Man Paper Manufacturing Ltd.		443,000		267
Nine Dragons Paper Holdings Ltd.		518,923		471
Shanghai Industrial Holdings Ltd.		155,043		234
Shenzhen International Holdings Ltd.		294,746		536
Shenzhen Investment Ltd.		1,048,200		324
Shimao Property Holdings Ltd.		369,903		1,295
Sino Biopharmaceutical Ltd.		2,235,500		2,930
SSY Group Ltd.		486,000		378
Sun Art Retail Group Ltd.		765,500		1,133
Towngas China Co. Ltd. *		366,771		181
Wharf Holdings (The) Ltd.		336,000		594
Yuexiu Property Co. Ltd.		2,426,000		436
				62,864
Hungary – 0.3%
MOL Hungarian Oil & Gas PLC		136,862		806
OTP Bank Nyrt.		71,044		2,061
Richter Gedeon Nyrt.		46,323		874
				3,741
India – 7.5%
Adani Ports & Special Economic Zone Ltd.		206,673		676

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
India – 7.5% – continued
Ambuja Cements Ltd. *		198,921		$405
Ashok Leyland Ltd.		354,652		200
Asian Paints Ltd.		92,319		2,015
Aurobindo Pharma Ltd.		87,271		477
Avenue Supermarts Ltd. *		40,424		1,167
Axis Bank Ltd.		678,074		3,345
Bajaj Auto Ltd.		25,814		685
Bajaj Finance Ltd.		58,671		1,691
Bajaj Finserv Ltd.		12,112		735
Bandhan Bank Ltd. (2)		132,701		351
Berger Paints India Ltd.		79,089		516
Bharat Forge Ltd.		66,555		204
Bharat Petroleum Corp. Ltd.		207,333		868
Bharti Airtel Ltd. *		793,285		4,570
Bharti Infratel Ltd.		114,087		239
Bosch Ltd.		2,370		292
Britannia Industries Ltd.		19,189		676
Cipla Ltd.		110,127		611
Coal India Ltd.		386,339		707
Colgate-Palmolive India Ltd.		19,010		312
Container Corp. of India Ltd.		62,797		272
Dabur India Ltd.		169,480		999
Divi’s Laboratories Ltd.		26,792		698
DLF Ltd.		202,077		363
Dr. Reddy’s Laboratories Ltd.		34,146		1,397
Dr. Reddy’s Laboratories Ltd. ADR		2,691		109
Eicher Motors Ltd.		4,344		746
GAIL India Ltd.		516,645		516
Godrej Consumer Products Ltd.		114,067		777
Grasim Industries Ltd.		100,544		627
Havells India Ltd.		83,478		526
HCL Technologies Ltd.		351,263		2,012
HDFC Asset Management Co. Ltd. (2)		14,072		386
HDFC Life Insurance Co. Ltd. (2)		162,231		936
Hero MotoCorp Ltd.		31,162		652
Hindalco Industries Ltd.		399,216		505
Hindustan Petroleum Corp. Ltd.		204,577		510
Hindustan Unilever Ltd.		210,217		6,328
Housing Development Finance Corp. Ltd.		530,737		11,335
ICICI Bank Ltd.		1,542,374		6,755
ICICI Lombard General Insurance Co. Ltd. (2)		58,562		830

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
India – 7.5% – continued
ICICI Prudential Life Insurance Co. Ltd. (2)		115,080		$540
Indian Oil Corp. Ltd.		598,545		646
Info Edge India Ltd.		20,538		547
Infosys Ltd.		1,102,662		9,266
InterGlobe Aviation Ltd. (2)		30,785		433
ITC Ltd.		1,080,717		2,424
JSW Steel Ltd.		285,997		547
Larsen & Toubro Ltd.		153,424		1,624
LIC Housing Finance Ltd.		101,644		316
Lupin Ltd.		70,207		543
Mahindra & Mahindra Financial Services Ltd.		92,230		176
Mahindra & Mahindra Ltd.		239,228		892
Marico Ltd.		151,697		546
Maruti Suzuki India Ltd.		34,366		1,926
Motherson Sumi Systems Ltd.		314,404		250
Nestle India Ltd.		7,386		1,591
NTPC Ltd.		753,294		831
Oil&NaturalGas Corp.Ltd.		785,198		709
Page Industries Ltd.		1,834		409
Petronet LNG Ltd.		202,408		530
Pidilite Industries Ltd.		40,690		728
Piramal Enterprises Ltd.		34,191		417
Power Grid Corp. of India Ltd.		584,489		1,219
REC Ltd.		234,410		275
Reliance Industries Ltd.		922,699		13,581
SBI Life Insurance Co. Ltd. (2)		111,434		931
Shree Cement Ltd.		2,727		626
Shriram Transport Finance Co. Ltd.		28,288		244
Siemens Ltd.		23,276		339
State Bank of India *		568,289		1,478
Sun Pharmaceutical Industries Ltd.		271,302		1,263
Tata Consultancy Services Ltd.		291,695		6,990
Tata Motors Ltd. *		576,285		545
Tata Power (The) Co. Ltd.		407,070		177
Tata Steel Ltd.		115,928		413
Tech Mahindra Ltd.		148,567		1,101
Titan Co. Ltd.		98,378		1,205
UltraTech Cement Ltd.		32,068		1,363
United Spirits Ltd. *		92,022		588
UPL Ltd.		178,725		764
Vedanta Ltd.		633,626		548

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
India – 7.5% – continued
Wipro Ltd.		368,879		$954
Zee Entertainment Enterprises Ltd.		273,688		447
				118,963
Indonesia – 1.5%
Ace Hardware Indonesia Tbk PT		2,479,700		197
Adaro Energy Tbk PT		4,786,720		289
Astra International Tbk PT		6,348,860		1,515
Bank Central Asia Tbk PT		3,163,092		5,348
Bank Mandiri Persero Tbk PT		6,082,910		1,740
Bank Negara Indonesia Persero Tbk PT		2,369,009		553
Bank Rakyat Indonesia Persero Tbk PT		17,855,890		3,283
Bank Tabungan Negara Persero Tbk PT		1,548,000		79
Barito Pacific Tbk PT *		8,984,000		395
Bukit Asam Tbk PT		1,153,500		154
Bumi Serpong Damai Tbk PT *		2,395,600		97
Charoen Pokphand Indonesia Tbk PT		2,463,235		744
Gudang Garam Tbk PT		164,315		414
Hanjaya Mandala Sampoerna Tbk PT		2,776,400		240
Indah Kiat Pulp & Paper Corp. Tbk PT		901,200		221
Indocement Tunggal Prakarsa Tbk PT		612,303		468
Indofood CBP Sukses Makmur Tbk PT		762,800		477
Indofood Sukses Makmur Tbk PT		1,492,571		580
Jasa Marga Persero Tbk PT		825,127		128
KalbeFarma TbkPT		6,804,380		500
Pabrik Kertas Tjiwi Kimia Tbk PT		477,100		116
Pakuwon Jati Tbk PT		5,119,400		96
Perusahaan Gas Negara Tbk PT		3,858,912		181
Semen Indonesia Persero Tbk PT		978,055		456
Telekomunikasi Indonesia Persero Tbk PT		15,773,562		3,049
Unilever Indonesia Tbk PT		2,447,440		1,081
United Tractors Tbk PT		568,271		587
XL Axiata Tbk PT *		1,362,900		167
				23,155
Malaysia – 1.8%
AirAsia Group Bhd.		611,500		111
AMMB Holdings Bhd.		554,437		381
Axiata Group Bhd.		872,403		657
Carlsberg Brewery Malaysia Bhd.		49,100		280
CIMB Group Holdings Bhd.		1,601,096		1,320
Dialog Group Bhd.		1,207,144		843
DiGi.Com Bhd.		1,000,000		1,001
Fraser & Neave Holdings Bhd.		50,100		359
Gamuda Bhd.		572,236		371

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Malaysia – 1.8% – continued
Genting Bhd.		703,900		$604
Genting Malaysia Bhd.		971,600		448
Genting Plantations Bhd.		97,300		217
HAP Seng Consolidated Bhd.		184,700		330
Hartalega Holdings Bhd.		504,900		802
Hong Leong Bank Bhd.		216,198		667
Hong Leong Financial Group Bhd.		62,128		195
IHH Healthcare Bhd.		698,600		826
IJM Corp. Bhd.		894,040		326
IOI Corp. Bhd.		636,640		588
Kuala Lumpur Kepong Bhd.		144,492		690
Malayan Banking Bhd.		1,245,459		2,136
Malaysia Airports Holdings Bhd.		334,293		332
Maxis Bhd.		731,351		899
MISC Bhd.		447,060		768
Nestle Malaysia Bhd.		21,900		694
Petronas Chemicals Group Bhd.		763,700		884
Petronas Dagangan Bhd.		100,500		495
Petronas Gas Bhd.		250,900		893
PPB Group Bhd.		176,700		670
Press Metal Aluminium Holdings Bhd.		483,200		365
Public Bank Bhd.		1,000,161		3,654
QL Resources Bhd.		218,700		377
RHB Bank Bhd.		538,346		579
Sime Darby Bhd.		906,528		353
Sime Darby Plantation Bhd.		647,328		733
Telekom Malaysia Bhd.		381,586		334
Tenaga Nasional Bhd.		1,005,550		2,792
Top Glove Corp. Bhd.		509,100		758
Westports Holdings Bhd.		292,100		233
YTL Corp. Bhd.		1,044,595		173
				29,138
Mexico – 1.8%
Alfa S.A.B. de C.V., Class A		1,012,480		270
Alsea S.A.B. de C.V. *		192,400		122
America Movil S.A.B. de C.V., Series L		10,887,135		6,471
Arca Continental S.A.B. de C.V.		137,584		555
Cemex S.A.B. de C.V.		5,037,052		1,055
Coca-Cola Femsa S.A.B. de C.V.		168,022		673
El Puerto de Liverpool S.A.B. de C.V., Series C1		60,744		131
Fibra Uno Administracion S.A. de C.V.		965,401		758
Fomento Economico Mexicano S.A.B. de C.V.		627,043		3,812

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Mexico – 1.8% – continued
Gruma S.A.B. de C.V., Class B		68,470		$527
Grupo Aeroportuario del Pacifico S.A.B. de C.V., Class B		114,052		617
Grupo Aeroportuario del Sureste S.A.B. de C.V., Series B		66,170		624
Grupo Bimbo S.A.B. de C.V., Series A		538,328		789
Grupo Carso S.A.B. de C.V., Series A1		135,273		266
Grupo Financiero Banorte S.A.B. de C.V., Series O		835,588		2,289
Grupo Financiero Inbursa S.A.B. de C.V., Series O		768,333		551
Grupo Mexico S.A.B. de C.V., Series B		1,139,139		2,112
Grupo Televisa S.A.B.		777,914		905
Industrias Penoles S.A.B. de C.V.		46,054		309
Infraestructura Energetica Nova S.A.B. de C.V.		183,100		562
Kimberly-Clark de Mexico S.A.B. de C.V., Class A		480,327		730
Megacable Holdings S.A.B. de C.V.		83,551		228
Orbia Advance Corp. S.A.B. de C.V.		358,780		396
Promotora y Operadora de Infraestructura S.A.B. de C.V.		73,875		496
Wal-Mart de Mexico S.A.B. de C.V.		1,687,883		3,977
				29,225
Pakistan – 0.0%
Habib Bank Ltd.		225,900		139
MCB Bank Ltd.		125,000		112
Oil & Gas Development Co. Ltd.		213,400		99
				350
Peru – 0.3%
Cia de Minas Buenaventura S.A.A. ADR		68,555		500
Credicorp Ltd.		21,834		3,124
Southern Copper Corp.		26,610		749
				4,373
Philippines – 0.8%
Aboitiz Equity Ventures, Inc.		639,229		471
Aboitiz Power Corp.		524,644		270
Altus San Nicolas Corp. *		18,267		2
Ayala Corp.		88,517		810
Ayala Land, Inc.		2,364,360		1,412
Bank of the Philippine Islands		294,566		355
BDO Unibank, Inc.		639,729		1,312
Globe Telecom, Inc.		11,475		436

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Philippines – 0.8% – continued
GT Capital Holdings, Inc.		32,902		$261
International Container Terminal Services, Inc.		335,280		490
JG Summit Holdings, Inc.		926,021		946
Jollibee Foods Corp.		148,483		306
Manila Electric Co.		78,200		344
Megaworld Corp.		3,976,700		196
Metro Pacific Investments Corp.		4,545,400		215
Metropolitan Bank & Trust Co.		612,749		475
PLDT, Inc.		27,315		608
Robinsons Land Corp.		687,370		199
Security Bank Corp.		63,350		132
SM Investments Corp.		76,702		1,239
SM Prime Holdings, Inc.		3,214,913		1,803
Universal Robina Corp.		288,230		591
				12,873
Poland – 0.7%
Bank Millennium S.A. *		226,015		176
Bank Polska Kasa Opieki S.A.		52,794		715
CCC S.A.		10,744		78
CD Projekt S.A.		21,803		1,520
Cyfrowy Polsat S.A.		78,391		452
Dino Polska S.A. (2)*		15,992		625
Grupa Lotos S.A.		28,954		362
KGHM Polska Miedz S.A. *		47,770		688
LPP S.A.		439		554
mBank S.A. *		5,045		270
Orange Polska S.A. *		223,426		320
PGE Polska Grupa Energetyczna S.A. *		283,486		260
Polski Koncern Naftowy ORLEN S.A.		95,797		1,287
Polskie Gornictwo Naftowe i Gazownictwo S.A.		519,059		431
Powszechna Kasa Oszczednosci Bank Polski S.A.		281,414		1,536
Powszechny Zaklad Ubezpieczen S.A.		190,066		1,437
Santander Bank Polska S.A.		11,669		488
				11,199
Qatar – 0.9%
Barwa Real Estate Co. *		644,968		529
Commercial Bank PSQC (The)		643,833		688
Industries Qatar QSC		579,927		1,057
Masraf Al Rayan QSC		1,169,621		1,174
Mesaieed Petrochemical Holding Co.		1,507,426		604
Ooredoo QPSC		262,261		422

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Qatar – 0.9% – continued
Qatar Electricity & Water Co. QSC		180,648		$676
Qatar Fuel QSC *		160,028		718
Qatar Insurance Co. S.A.Q.		552,726		316
Qatar International Islamic Bank QSC		226,804		451
Qatar Islamic Bank S.A.Q.		376,550		1,478
Qatar National Bank QPSC		1,464,718		6,692
				14,805
Romania – 0.0%
NEPI Rockcastle PLC		129,024		538
Russia – 3.1%
Alrosa PJSC		856,060		702
Gazprom PJSC		1,611,414		3,710
Gazprom PJSC ADR		931,187		4,290
Inter RAO UES PJSC		11,604,623		725
LUKOIL PJSC		65,745		3,930
LUKOIL PJSC ADR		67,572		4,027
Magnit PJSC		2,287		93
Magnit PJSC GDR		104,600		932
Magnitogorsk Iron & Steel Works PJSC		748,400		366
MMC Norilsk Nickel PJSC		17,544		4,348
MMC Norilsk Nickel PJSC ADR		29,847		739
Mobile TeleSystems PJSC ADR		159,777		1,214
Moscow Exchange MICEX-RTS PJSC		420,206		519
Novatek PJSC GDR (Registered)		29,955		3,435
Novolipetsk Steel PJSC		400,990		631
PhosAgro PJSC GDR (Registered)		42,539		438
Polymetal International PLC		68,266		1,176
Polyus PJSC		8,740		1,183
Rosneft Oil Co. PJSC		181,865		725
Rosneft Oil Co. PJSC GDR (Registered)		178,967		722
Sberbank of Russia PJSC		3,427,122		8,138
Sberbank of Russia PJSC (Moscow Exchange)		56,000		134
Severstal PJSC		54,450		600
Severstal PJSC GDR (Registered)		14,520		160
Surgutneftegas PJSC		1,077,567		464
Surgutneftegas PJSC ADR		111,279		473
Tatneft PJSC		392,900		2,752
Tatneft PJSC ADR (London Exchange)		16,137		677
Tatneft PJSC ADR (London Exchange)		1,404		60
VTB Bank PJSC		825,066,738		341
VTB Bank PJSC GDR  (2) (6)		11,036		9

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Russia – 3.1% – continued
VTB Bank PJSC GDR (Registered)		67,875		$56
X5 Retail Group N.V. GDR (Registered)		39,887		1,061
				48,830
Saudi Arabia – 2.5%
Advanced Petrochemical Co.		38,104		451
Al Rajhi Bank		395,027		5,656
Alinma Bank		234,814		1,300
Almarai Co. JSC		78,746		986
Arab National Bank		192,468		937
Bank AlBilad		125,083		681
Bank Al-Jazira		129,246		392
Banque Saudi Fransi		175,217		1,206
Bupa Arabia for Cooperative Insurance Co.		10,317		251
Co for Cooperative Insurance (The) *		21,877		353
Dar Al Arkan Real Estate Development Co. *		176,687		386
Emaar Economic City *		117,237		214
Etihad Etisalat Co. *		125,048		721
Jarir Marketing Co.		19,871		676
National Commercial Bank		386,080		3,565
National Industrialization Co. *		109,483		268
Rabigh Refining & Petrochemical Co. *		69,209		197
Riyad Bank		387,158		1,542
Sahara International Petrochemical Co.		104,731		342
Samba Financial Group		314,529		1,685
Saudi Airlines Catering Co.		13,746		275
Saudi Arabian Fertilizer Co.		53,769		887
Saudi Arabian Mining Co. *		136,888		1,129
Saudi Arabian Oil Co. (2)		385,845		3,080
Saudi Basic Industries Corp.		242,897		4,525
Saudi British Bank (The)		230,662		1,241
Saudi Cement Co.		23,027		300
Saudi Electricity Co.		267,182		1,132
Saudi Industrial Investment Group		80,066		336
Saudi Kayan Petrochemical Co. *		236,048		456
Saudi Telecom Co.		129,554		3,017
Savola Group (The) *		83,155		790
Yanbu National Petrochemical Co.		71,030		786
				39,763
Singapore – 0.0%
BOC Aviation Ltd. (2)		63,300		400
South Africa – 3.5%
Absa Group Ltd.		229,299		959

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
South Africa – 3.5% – continued
Anglo American Platinum Ltd.		17,128		$720
AngloGold Ashanti Ltd.		133,346		2,279
Aspen Pharmacare Holdings Ltd. *		124,189		641
Bid Corp. Ltd.		107,696		1,275
Bidvest Group (The) Ltd.		91,780		748
Capitec Bank Holdings Ltd.		15,363		752
Clicks Group Ltd.		84,185		1,211
Discovery Ltd.		123,335		536
Exxaro Resources Ltd.		79,834		441
FirstRand Ltd.		1,092,041		2,453
Fortress REIT Ltd., Class A		398,170		224
Foschini Group (The) Ltd.		80,150		303
Gold Fields Ltd.		267,665		1,298
Growthpoint Properties Ltd.		1,016,676		730
Impala Platinum Holdings Ltd.		256,543		1,084
Investec Ltd.		95,946		182
KumbaIronOre Ltd.		20,610		321
Liberty Holdings Ltd.		42,101		156
Life Healthcare Group Holdings Ltd.		443,320		457
Momentum Metropolitan Holdings		312,258		272
Mr Price Group Ltd.		86,504		548
MTN Group Ltd.		544,305		1,469
MultiChoice Group *		141,533		678
Naspers Ltd., Class N		143,926		20,448
Nedbank Group Ltd.		116,213		536
Northam Platinum Ltd. *		112,495		433
Old Mutual Ltd.		1,502,725		994
Pepkor Holdings Ltd. (2)		320,341		191
Pick n Pay Stores Ltd.		123,963		419
PSG Group Ltd.		49,490		356
Rand Merchant Investment Holdings Ltd.		233,764		286
Redefine Properties Ltd.		1,822,187		241
Reinet Investments S.C.A.		46,944		746
Remgro Ltd.		169,052		1,160
Resilient REIT Ltd.		4,888		9
RMB Holdings Ltd.		264,885		731
Sanlam Ltd.		596,252		1,701
Sasol Ltd. *		193,822		390
Shoprite Holdings Ltd.		152,048		1,060
Sibanye Stillwater Ltd. *		707,809		893
SPAR Group (The) Ltd.		61,720		626
Standard Bank Group Ltd.		419,031		2,396
Telkom S.A. SOC Ltd.		102,039		117

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
South Africa – 3.5% – continued
Tiger Brands Ltd.		49,515		$511
Vodacom Group Ltd.		207,473		1,362
Woolworths Holdings Ltd.		310,281		478
				55,821
South Korea – 10.7%
Amorepacific Corp.		10,335		1,425
AMOREPACIFIC Group		9,810		442
BGF retail Co. Ltd.		2,531		273
BNK Financial Group, Inc.		93,141		336
Celltrion Healthcare Co. Ltd. *		16,991		1,248
Celltrion, Inc. *		30,454		5,711
Cheil Worldwide, Inc.		24,496		315
CJ CheilJedang Corp.		2,579		452
CJ Corp.		5,296		277
CJ ENM Co. Ltd.		3,367		283
CJ Logistics Corp. *		3,052		340
Coway Co. Ltd.		16,587		782
Daelim Industrial Co. Ltd.		9,225		553
Daewoo Engineering & Construction Co. Ltd. *		66,249		157
Daewoo Shipbuilding & Marine Engineering Co. Ltd. *		14,309		156
DB Insurance Co. Ltd.		15,513		440
Doosan Bobcat, Inc.		18,048		261
E-MART, Inc.		6,594		570
Fila Holdings Corp.		16,334		383
GS Engineering & Construction Corp.		20,084		334
GS Holdings Corp.		17,324		520
GS Retail Co. Ltd.		9,955		251
Hana Financial Group, Inc.		98,048		1,828
Hankook Tire & Technology Co. Ltd.		25,420		400
Hanmi Pharm Co. Ltd.		2,104		449
Hanon Systems		64,172		465
Hanwha Corp.		12,996		161
Hanwha Life Insurance Co. Ltd.		122,732		139
Hanwha Solutions Corp.		34,850		376
HDC Hyundai Development Co. - Engineering & Construction, Class E		10,900		137
Helixmith Co. Ltd. *		6,631		373
HLB, Inc. *		10,740		791
Hotel Shilla Co. Ltd.		9,911		568
Hyundai Department Store Co. Ltd.		3,911		188
Hyundai Engineering & Construction Co. Ltd.		25,882		574

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
South Korea – 10.7% – continued
Hyundai Glovis Co. Ltd.		6,421		$473
Hyundai Heavy Industries Holdings Co. Ltd.		3,098		497
Hyundai Marine & Fire Insurance Co. Ltd.		21,352		392
Hyundai Mobis Co. Ltd.		21,372		2,943
Hyundai Motor Co.		48,700		3,509
Hyundai Steel Co.		26,685		388
Industrial Bank of Korea		87,993		537
Kakao Corp.		16,795		2,114
Kangwon Land, Inc.		39,041		628
KB Financial Group, Inc.		128,066		3,573
KCC Corp.		1,625		171
Kia Motors Corp.		83,451		1,766
KMW Co. Ltd. *		8,598		353
Korea Aerospace Industries Ltd.		24,531		415
Korea Electric Power Corp. *		82,148		1,286
Korea Gas Corp.		10,000		174
Korea Investment Holdings Co. Ltd.		13,463		544
Korea Shipbuilding & Offshore Engineering Co. Ltd. *		12,197		778
Korea Zinc Co. Ltd.		2,674		775
Korean Air Lines Co. Ltd. *		13,867		211
KT&G Corp.		37,846		2,305
Kumho Petrochemical Co. Ltd.		6,083		320
LG Chem Ltd.		14,963		3,705
LG Corp.		30,282		1,453
LG Display Co. Ltd. *		71,170		639
LG Electronics, Inc.		33,333		1,301
LG Household & Health Care Ltd.		3,032		2,774
LG Innotek Co. Ltd.		4,795		441
LG Uplus Corp.		71,539		631
Lotte Chemical Corp.		5,325		835
Lotte Corp.		9,907		194
Lotte Shopping Co. Ltd.		3,794		231
Medy-Tox, Inc.		1,495		240
Meritz Securities Co. Ltd.		111,281		255
Mirae Asset Daewoo Co. Ltd.		129,565		553
NAVER Corp.		45,344		6,238
NCSoft Corp.		5,337		2,825
Netmarble Corp. (2)  *		8,325		635
NH Investment & Securities Co. Ltd.		50,469		368
OCI Co. Ltd. *		6,207		175
Orion Corp.		7,667		721

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
South Korea – 10.7% – continued
Ottogi Corp.		388		$151
Pan Ocean Co. Ltd. *		95,961		231
Pearl Abyss Corp. *		2,175		318
POSCO		25,419		3,335
POSCO Chemical Co. Ltd.		8,019		285
Posco International Corp.		15,808		146
S-1 Corp.		5,737		375
Samsung Biologics Co. Ltd. (2)*		5,333		2,090
Samsung C&T Corp.		27,341		1,986
Samsung Card Co. Ltd.		9,368		228
Samsung Electro-Mechanics Co. Ltd.		17,814		1,407
Samsung Electronics Co. Ltd.		1,545,430		60,062
Samsung Engineering Co. Ltd. *		51,242		422
Samsung Fire & Marine Insurance Co. Ltd.		9,745		1,219
Samsung Heavy Industries Co. Ltd. *		143,769		452
Samsung Life Insurance Co. Ltd.		21,579		755
Samsung SDI Co. Ltd.		17,744		3,467
Samsung SDS Co. Ltd.		11,061		1,341
Samsung Securities Co. Ltd.		20,796		494
Shinhan Financial Group Co. Ltd.		147,525		3,433
Shinsegae, Inc.		2,373		422
SK Holdings Co. Ltd.		11,118		1,507
SK Hynix, Inc.		176,538		11,943
SK Innovation Co. Ltd.		18,288		1,282
SK Telecom Co. Ltd.		6,156		891
SK Telecom Co. Ltd. ADR		1,900		31
S-Oil Corp.		14,312		662
Woori Financial Group, Inc.		173,654		1,075
Yuhan Corp.		3,046		570
				170,904
Spain – 0.0%
AmRest Holdings S.E. *		27,911		125
Taiwan – 11.8%
Accton Technology Corp.		161,000		854
Acer, Inc.		963,800		497
Advantech Co. Ltd.		111,551		921
Airtac International Group		39,000		572
ASE Technology Holding Co. Ltd.		1,120,928		2,149
Asia Cement Corp.		694,567		905
Asustek Computer, Inc.		226,546		1,532
AU Optronics Corp.		2,736,215		567
Catcher Technology Co. Ltd.		209,111		1,330
Cathay Financial Holding Co. Ltd.		2,505,212		2,925

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Taiwan – 11.8% – continued
Chailease Holding Co. Ltd.		379,823		$1,150
Chang Hwa Commercial Bank Ltd.		1,761,987		1,110
Cheng Shin Rubber Industry Co. Ltd.		654,184		666
Chicony Electronics Co. Ltd.		181,765		456
China Airlines Ltd.		795,307		174
China Development Financial Holding Corp.		4,070,868		999
China Life Insurance Co. Ltd. *		894,002		498
China Steel Corp.		3,712,156		2,327
Chunghwa Telecom Co. Ltd.		1,235,493		4,392
Compal Electronics, Inc.		1,354,759		775
CTBC Financial Holding Co. Ltd.		5,972,878		3,536
Delta Electronics, Inc.		632,343		2,520
E.Sun Financial Holding Co. Ltd.		3,384,301		2,715
Eclat Textile Co. Ltd.		65,182		519
Eva Airways Corp.		598,592		176
Evergreen Marine Corp. Taiwan Ltd. *		871,891		267
Far Eastern New Century Corp.		1,097,789		819
Far EasTone Telecommunications Co. Ltd.		519,345		1,087
Feng TAY Enterprise Co. Ltd.		113,440		488
First Financial Holding Co. Ltd.		3,207,943		2,085
Formosa Chemicals & Fibre Corp.		1,136,499		2,518
Formosa Petrochemical Corp.		390,487		1,041
Formosa Plastics Corp.		1,448,682		3,598
Formosa Taffeta Co. Ltd.		289,827		295
Foxconn Technology Co. Ltd.		309,131		506
Fubon Financial Holding Co. Ltd.		2,120,025		2,633
Giant Manufacturing Co. Ltd.		95,483		423
Globalwafers Co. Ltd.		70,000		775
Highwealth Construction Corp.		280,490		376
Hiwin Technologies Corp.		76,947		500
Hon Hai Precision Industry Co. Ltd.		4,031,942		9,321
Hotai Motor Co. Ltd.		96,900		1,574
Hua Nan Financial Holdings Co. Ltd.		2,554,993		1,525
Innolux Corp.		2,736,900		473
Inventec Corp.		845,314		643
Largan Precision Co. Ltd.		32,835		4,082
Lite-On Technology Corp.		672,964		910
MediaTek, Inc.		488,334		5,201
Mega Financial Holding Co. Ltd.		3,527,543		3,319
Micro-Star International Co. Ltd.		217,000		637
Nan Ya Plastics Corp.		1,670,951		3,023
Nanya Technology Corp.		391,071		695

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Taiwan – 11.8% – continued
Nien Made Enterprise Co. Ltd.		54,000		$318
Novatek Microelectronics Corp.		184,850		1,052
Pegatron Corp.		630,594		1,210
Phison Electronics Corp.		48,608		399
PouChenCorp.		711,093		603
Powertech Technology, Inc.		239,568		671
President Chain Store Corp.		183,220		1,715
Quanta Computer, Inc.		877,576		1,747
Realtek Semiconductor Corp.		154,457		1,116
Ruentex Development Co. Ltd. *		180,757		228
Ruentex Industries Ltd. *		102,343		235
Shanghai Commercial & Savings Bank (The) Ltd.		1,087,359		1,415
Shin Kong Financial Holding Co. Ltd. *		3,447,863		870
SinoPac Financial Holdings Co. Ltd.		3,430,792		1,254
Standard Foods Corp.		147,355		297
Synnex Technology International Corp.		414,940		505
Taishin Financial Holding Co. Ltd.		3,076,365		1,190
Taiwan Business Bank		1,689,190		541
Taiwan Cement Corp.		1,589,004		2,076
Taiwan Cooperative Financial Holding Co. Ltd.		2,933,519		1,780
Taiwan High Speed Rail Corp.		664,000		631
Taiwan Mobile Co. Ltd.		527,076		1,741
Taiwan Semiconductor Manufacturing Co. Ltd.		7,975,749		71,192
Tatung Co. Ltd. *		614,000		393
Uni-President Enterprises Corp.		1,553,150		3,370
United Microelectronics Corp.		3,585,043		1,604
Vanguard International Semiconductor Corp.		292,000		573
Walsin Technology Corp.		100,000		522
Win Semiconductors Corp.		110,000		941
Winbond Electronics Corp.		986,000		370
Wistron Corp.		917,449		744
Wiwynn Corp.		25,000		571
WPG Holdings Ltd.		515,290		605
Ya Hsin Industrial Co. Ltd. (5)*		121,548		—
Yageo Corp.		81,377		724
Yuanta Financial Holding Co. Ltd.		3,181,814		1,637
Zhen Ding Technology Holding Ltd.		170,850		516
				188,435
Thailand – 2.1%
Advanced Info Service PCL (Registered)		194,000		1,188

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Thailand – 2.1% – continued
Advanced Info Service PCL NVDR		187,799		$1,155
Airports of Thailand PCL NVDR		1,384,300		2,166
B Grimm Power PCL NVDR		255,200		309
Bangkok Bank PCL (Registered)		90,100		276
Bangkok Bank PCL NVDR		75,300		231
Bangkok Dusit Medical Services PCL NVDR		3,051,300		1,772
Bangkok Expressway & Metro PCL NVDR		2,621,098		619
Banpu PCL (Registered)		233,500		38
Banpu PCL NVDR		992,320		162
Berli Jucker PCL NVDR		397,400		494
BTS Group Holdings PCL NVDR		2,314,300		642
Bumrungrad Hospital PCL NVDR		141,187		490
Central Pattana PCL NVDR		680,900		872
Central Retail Corp. PCL NVDR *		608,258		519
Charoen Pokphand Foods PCL NVDR		1,285,357		952
CP ALL PCL (Registered)		905,200		1,683
CP ALL PCL NVDR		950,636		1,776
Electricity Generating PCL NVDR		98,800		684
Energy Absolute PCL NVDR		532,700		548
Global Power Synergy PCL NVDR		232,300		403
Gulf Energy Development PCL NVDR		167,700		766
Home Product Center PCL NVDR		1,953,704		650
Indorama Ventures PCL NVDR		557,847		369
Intouch Holdings PCL NVDR		716,700		1,092
IRPC PCL (Registered)		1,860,900		121
IRPC PCL NVDR		1,844,281		120
Kasikornbank PCL (Registered)		151,500		422
Kasikornbank PCL NVDR		432,947		1,207
Krung Thai Bank PCL (Registered)		699,750		243
Krung Thai Bank PCL NVDR		77,593		27
Land & Houses PCL NVDR		2,813,300		580
Minor International PCL NVDR		829,530		417
Muangthai Capital PCL NVDR		219,200		234
Osotspa PCL NVDR		244,100		261
PTT Exploration & Production PCL (Registered)		242,500		499
PTT Exploration & Production PCL NVDR		215,643		451
PTT Global Chemical PCL (Registered)		189,814		176
PTT Global Chemical PCL NVDR		378,376		352
PTT PCL (Registered)		1,835,000		1,719
PTT PCL NVDR		1,882,400		1,763
Ratch Group PCL NVDR		231,700		406

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
Thailand – 2.1% continued
Siam Cement (The) PCL (Registered)		51,000		$503
Siam Cement (The) PCL NVDR		200,598		1,960
Siam Commercial Bank (The) PCL (Registered)		232,700		491
Siam Commercial Bank (The) PCL NVDR		28,876		61
Srisawad Corp. PCL NVDR		245,500		318
Thai Oil PCL (Registered)		97,800		92
Thai Oil PCL NVDR		169,795		159
Thai Union Group PCL NVDR		1,147,300		482
TMB Bank PCL NVDR		7,051,563		192
Total Access Communication PCL NVDR		255,000		317
True Corp. PCL NVDR		3,862,052		369
				33,798
Turkey – 0.4%
Akbank T.A.S. *		886,416		737
Anadolu Efes Biracilik Ve Malt Sanayii A.S.		77,184		201
Arcelik A.S. *		75,703		153
Aselsan Elektronik Sanayi Ve Ticaret A.S.		115,085		403
BIM Birlesik Magazalar A.S.		136,202		1,025
Eregli Demir ve Celik Fabrikalari T.A.S.		459,981		515
Ford Otomotiv Sanayi A.S.		24,824		185
Haci Omer Sabanci Holding A.S.		320,590		357
Is Gayrimenkul Yatirim Ortakligi A.S. (3)  *		1		—
KOC Holding A.S.		255,534		518
TAV Havalimanlari Holding A.S.		42,692		105
Tupras Turkiye Petrol Rafinerileri A.S. *		40,955		461
Turk Hava Yollari A.O. *		190,275		255
Turkcell Iletisim Hizmetleri A.S.		368,116		687
Turkiye Garanti Bankasi A.S. *		760,141		915
Turkiye Is Bankasi A.S., Class C *		534,543		374
				6,891
United Arab Emirates – 0.5%
Abu Dhabi Commercial Bank PJSC		896,715		1,116
Aldar Properties PJSC		1,277,165		527
DP World PLC		53,403		800
Dubai Islamic Bank PJSC		555,491		544
Emaar Malls PJSC		936,898		267
Emaar Properties PJSC		1,087,102		644

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.2% (1) – continued
United Arab Emirates – 0.5% – continued
Emirates Telecommunications Group Co. PJSC		554,195		$2,113
First Abu Dhabi Bank PJSC		877,475		2,266
				8,277
United States – 0.0%
Nexteer Automotive Group Ltd.		302,000		151
Total Common Stocks
(Cost $1,254,405)				1,501,299
PREFERRED STOCKS — 2.3% (1)
Brazil – 1.4%
Banco Bradesco S.A., 0.09% (7)		1,303,092		5,236
Braskem S.A., Class A, 4.97% (7)		65,741		218
Centrais Eletricas Brasileiras S.A., Class B, 6.93% (7)		85,641		435
CiaEnergeticadeMinas Gerais, 5.49% (7)		290,303		497
Gerdau S.A., 1.19% (7)		341,761		658
Itau Unibanco Holding S.A., 0.83% (7)		1,569,039		7,012
Itausa - Investimentos Itau S.A., 0.95% (7)		1,433,439		2,400
Lojas Americanas S.A. *		243,380		851
Petroleo Brasileiro S.A., 0.00% (7) (8)		1,347,295		3,617
Telefonica Brasil S.A., 5.17% (7)		145,673		1,387
				22,311
Chile – 0.1%
Embotelladora Andina S.A., Class B, 4.74% (7)		136,805		303
Sociedad Quimica y Minera de Chile S.A., Class B, 4.64% (7)		35,103		802
				1,105
Colombia – 0.1%
Bancolombia S.A., 4.74% (7)		144,788		909
Bancolombia S.A. ADR, 4.75% (7)		2,352		59
Grupo Aval Acciones y Valores S.A., 6.45% (7)		1,327,520		297
				1,265
Russia – 0.1%
Surgutneftegas PJSC, 19.6% (7)		2,286,237		1,094
Surgutneftegas PJSC ADR, 24.1% (7)		27,241		127
Transneft PJSC, 7.28% (7)		115		215
				1,436

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
PREFERRED STOCKS – 2.3% (1) – continued
South Korea – 0.6%
Amorepacific Corp., 1.73% (7)		3,155		$153
Hyundai Motor Co., 7.83% (7)		6,036		254
Hyundai Motor Co. (2nd Preferred), 7.28% (7)		11,407		527
LG Chem Ltd., 1.47% (7)		2,009		240
LG Household & Health Care Ltd., 1.75% (7)		706		368
Samsung Electronics Co. Ltd., 3.59% (7)		266,760		8,708
				10,250
Total Preferred Stocks
(Cost $47,070)				36,367
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 0.0%
India – 0.0%
Britannia Industries Ltd., 8.00%, 8/28/22 (INR)		$747		$10
Total Foreign Issuer Bonds
(Cost $11)				10
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 0.6%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (9) (10)		9,548,812		$9,549
Total Investment Companies
(Cost $9,549)				9,549
Total Investments – 97.1%
(Cost $1,311,035)				1,547,225
Other Assets less Liabilities – 2.9%				46,813
Net Assets – 100.0%				$1,594,038

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Value rounds to less than one thousand.

(4) Level 3 asset.

(5) Level 3 asset that is worthless, bankrupt or has been delisted.

(6) Restricted security that has been deemed illiquid. At March 31, 2020, the value of this restricted illiquid security amounted to approximately $9,000 or 0.0% of net assets. Additional information on this restricted illiquid security is as follows:

SECURITY	ACQUISITION AND ENFORCEABLE DATE		COST (000s)
VTB Bank PJSC GDR		5/11/07-10/28/09		$80

(7) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(8) Current yield is less than 0.01%.

(9) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(10) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

GDR – Global Depositary Receipt

NVDR – Non-Voting Depositary Receipt

PCL – Public Company Limited

PLC – Public Limited Company

REIT – Real Estate Investment Trust

INR – Indian Rupee

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY

CONTRACTS TO DELIVER CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

IN EXCHANGE FOR CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

SETTLEMENT DATE

UNREALIZED APPRECIATION (DEPRECIATION) (000s)

BNP

Brazilian Real

5,562

United States Dollar

1,179

6/17/20

$114

BNP

United States Dollar

5,406

Hong Kong Dollar

42,000

6/17/20

9

Goldman Sachs

Brazilian Real

1,500

United States Dollar

298

6/17/20

11

Goldman Sachs

Korean Won

3,861,430

United States Dollar

3,255

6/17/20

78

Morgan Stanley

South African Rand

4,618

United States Dollar

266

6/17/20

11

Toronto-Dominion Bank

Indian Rupee

11,913

United States Dollar

158

6/17/20

3

Toronto-Dominion Bank

Taiwan Dollar

28,259

United States Dollar

952

6/17/20

7

Subtotal Appreciation

233

Citibank

Hong Kong Dollar

930

United States Dollar

120

6/17/20

—*

Citibank

United States Dollar

605

Brazilian Real

3,000

6/17/20

(31)

Morgan Stanley

Hong Kong Dollar

54,044

United States Dollar

6,955

6/17/20

(14)

Subtotal Depreciation

(45)

Total

$188

* Amount rounds to less than one thousand.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

EMERGING MARKETS EQUITY INDEX FUND continued

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
MSCI Emerging Markets Index(United States Dollar)		1,331		$56,095		Long		6/20		$2,615

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		13.1%
Consumer Discretionary		15.4
Consumer Staples		6.6
Energy		5.9
Financials		21.6
Health Care		3.6
Industrials		5.0
Information Technology		16.8
Materials		6.6
Real Estate		2.9
Utilities		2.5
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
Hong Kong Dollar		24.4%
United States Dollar		13.1
Taiwan Dollar		12.3
Korean Won		11.8
Indian Rupee		7.7
All other currencies less than 5%		30.7
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Argentina		$2,024		$–			$–		$2,024
Brazil		53,321		–			–		53,321
Chile		8,615		–			–		8,615
China		175,967		387,190			–		563,157
Colombia		2,534		–			–		2,534
Egypt		1,679		386			–		2,065
Greece		–		3,144			10		3,154
Hong Kong		366		62,498			–		62,864
India		109		118,854			–		118,963
Mexico		29,225		–			–		29,225
Peru		4,373		–			–		4,373
Russia		1,348		47,482			–		48,830
South Africa		893		54,928			–		55,821
South Korea		31		170,873			–		170,904
All Other Countries(1)		–		375,449			–		375,449
Total Common Stocks		280,485		1,220,804			10		1,501,299
Preferred Stocks:
Russia		127		1,309			–		1,436
South Korea		–		10,250			–		10,250
All Other Countries(1)		24,681		–			–		24,681
Total Preferred Stocks		24,808		11,559			–		36,367
Foreign Issuer Bonds(1)		–		10			–		10
Investment Companies		9,549		–			–		9,549
Total Investments		$314,842		$1,232,373			$10		$1,547,225
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$–		$233			$–		$233
Futures Contracts		2,615		–			–		2,615
Liabilities
Forward Foreign Currency Exchange Contracts		–		(45	)		–		(45	)
Total Other Financial Instruments		$2,615		$188			$–		$2,803

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1)
Australia – 2.5%
Abacus Property Group		522,807		$767
Aventus Group		366,771		341
BGP Holdings PLC (2)*		6,535,576		—
BWP Trust		629,002		1,289
Cedar Woods Properties Ltd.		71,345		181
Centuria Industrial REIT		346,978		552
Centuria Office REIT		467,543		479
Charter Hall Long Wale REIT		434,992		1,197
Charter Hall Retail REIT		455,253		893
Charter Hall Social Infrastructure REIT		325,027		369
Dexus		1,343,703		7,670
GDI Property Group		618,211		359
GPT Group (The)		2,383,118		5,431
Growthpoint Properties Australia Ltd.		309,802		490
Ingenia Communities Group		303,301		608
Mirvac Group (OTC Exchange)		4,815,715		6,374
National Storage REIT		960,908		927
Scentre Group		6,430,197		6,366
Shopping Centres Australasia Property Group		1,139,537		1,621
Stockland		2,920,383		4,679
Vicinity Centres		3,906,002		2,458
Viva Energy REIT		856,562		1,228
				44,279
Austria–0.3%
CA Immobilien Anlagen A.G.		78,716		2,659
IMMOFINANZ A.G. *		109,567		1,959
S IMMO A.G.		56,857		1,100
				5,718
Belgium – 0.9%
Aedifica S.A.		30,157		3,132
Befimmo S.A.		27,328		1,316
Cofinimmo S.A.		31,668		4,151
Intervest Offices & Warehouses N.V.		24,599		644
Montea - C.V.A.		13,603		1,264
Retail Estates N.V.		10,997		573
Warehouses De Pauw - C.V.A.		158,727		4,564
				15,644
Brazil – 0.3%
Aliansce Sonae Shopping Centers sa		158,300		800
BR Malls Participacoes S.A.		936,013		1,780
BR Properties S.A. *		262,252		459

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Brazil – 0.3% – continued
Iguatemi Empresa de Shopping Centers S.A.		105,303		$636
JHSF Participacoes S.A.		304,063		209
LOG Commercial Properties e Participacoes S.A.		66,900		282
Multiplan Empreendimentos Imobiliarios S.A. *		336,672		1,254
				5,420
Canada – 1.2%
Allied Properties Real Estate Investment Trust		68,337		2,173
Artis Real Estate Investment Trust		77,135		437
Boardwalk Real Estate Investment Trust		27,422		446
Canadian Apartment Properties REIT		99,013		2,997
City Office REIT, Inc.		65,160		471
Cominar Real Estate Investment Trust		106,952		616
Crombie Real Estate Investment Trust		53,416		472
CT Real Estate Investment Trust		60,062		499
Dream Industrial Real Estate Investment Trust		86,676		578
Dream Office Real Estate Investment Trust		32,962		547
First Capital Real Estate Investment Trust		128,066		1,240
Granite Real Estate Investment Trust		31,839		1,315
H&R Real Estate Investment Trust		167,096		1,060
InterRent Real Estate Investment Trust		71,093		672
Killam Apartment Real Estate Investment Trust		57,313		643
Minto Apartment Real Estate Investment Trust		21,436		297
Morguard North American Residential Real Estate Investment Trust		24,187		230
Morguard Real Estate Investment Trust		30,764		113
Northview Apartment Real Estate Investment Trust		35,170		818
NorthWest Healthcare Properties Real Estate Investment Trust		87,107		598
RioCan Real Estate Investment Trust		185,826		2,130
SmartCentres Real Estate Investment Trust		86,546		1,159
Summit Industrial Income REIT		79,972		504
Tricon Capital Group, Inc.		208,461		1,021
WPT Industrial Real Estate Investment Trust		39,943		367
				21,403

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Chile – 0.1%
Parque Arauco S.A.		717,267		$1,006
China – 4.7%
Agile Group Holdings Ltd.		1,675,226		1,803
Beijing Capital Development Co. Ltd., Class A		196,100		183
Beijing Capital Land Ltd., Class H		1,746,000		380
Beijing North Star Co. Ltd., Class H		896,000		207
Central China Real Estate Ltd.		999,000		508
China Aoyuan Group Ltd.		1,454,000		1,692
China Enterprise Co. Ltd., Class A		308,900		185
China Evergrande Group		2,276,000		3,747
China Fortune Land Development Co. Ltd., Class A		221,700		655
China Logistics Property Holdings Co. Ltd. *		965,000		353
China Merchants Shekou Industrial Zone Holdings Co. Ltd., Class A		586,900		1,369
China SCE Group Holdings Ltd.		2,322,000		1,028
China Vanke Co. Ltd., Class A		712,740		2,588
China Vanke Co. Ltd., Class H		1,841,241		6,031
CIFI Holdings Group Co. Ltd.		3,385,256		2,428
Country Garden Holdings Co. Ltd.		9,402,625		11,288
DaFa Properties Group Ltd.		315,000		195
Dexin China Holdings Co. Ltd. *		784,000		313
Fantasia Holdings Group Co. Ltd. *		1,617,000		290
Financial Street Holdings Co. Ltd., Class A		227,200		210
Gemdale Corp., Class A		326,800		652
Grandjoy Holdings Group Co. Ltd., Class A		217,200		165
Greenland Hong Kong Holdings Ltd.		1,061,000		406
Guangzhou R&F Properties Co. Ltd., Class H		1,573,402		2,043
Guorui Properties Ltd.		1,407,000		237
Jingrui Holdings Ltd.		621,000		171
Jinke Properties Group Co. Ltd., Class A		405,800		458
Kaisa Group Holdings Ltd. *		3,000,000		1,103
KWG Group Holdings Ltd. *		1,557,594		2,203
Logan Property Holdings Co. Ltd.		1,660,000		2,544
Longfor Group Holdings Ltd.(3)		2,189,000		10,593
Poly Developments and Holdings Group Co. Ltd., Class A		864,800		1,820
Redco Properties Group Ltd.		1,124,000		551
Redsun Properties Group Ltd.		841,000		274

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
China – 4.7% – continued
RiseSun Real Estate Development Co. Ltd., Class A		330,500		$363
Ronshine China Holdings Ltd. *		706,000		687
Seazen Group Ltd. *		2,668,000		2,396
Seazen Holdings Co. Ltd., Class A		171,500		760
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., Class B		1,330,051		1,075
Shanghai Zhangjiang High-Tech Park Development Co. Ltd., Class A		117,700		202
Shui On Land Ltd.		4,250,277		711
Sichuan Languang Development Co. Ltd., Class A		228,800		195
Sino-Ocean Group Holding Ltd.		3,637,500		920
Skyfame Realty Holdings Ltd.		2,732,000		359
SOHO China Ltd.		2,523,756		1,295
Sunac China Holdings Ltd.		3,002,050		13,807
Tahoe Group Co. Ltd., Class A		189,200		139
Xinhu Zhongbao Co. Ltd., Class A		653,600		280
Yango Group Co. Ltd., Class A		307,800		305
Yincheng International Holding Co. Ltd. *		550,000		181
Yuzhou Properties Co. Ltd.		2,229,851		945
Zhenro Properties Group Ltd.		1,856,000		1,162
				84,455
Egypt – 0.1%
Heliopolis Housing		475,557		102
Medinet Nasr Housing *		912,111		180
Palm Hills Developments S.A.E. *		1,974,879		135
Six of October Development & Investment		265,413		157
Talaat Moustafa Group		1,176,397		373
				947
Finland – 0.0%
Citycon OYJ		88,546		548
France – 1.7%
Carmila S.A.		59,391		847
Covivio		58,908		3,322
Gecina S.A.		56,085		7,440
ICADE		36,529		2,895
Klepierre S.A.		242,604		4,685
Mercialys S.A.		57,179		417
Nexity S.A.		51,180		1,577
Unibail-Rodamco-Westfield		169,505		9,599
				30,782

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Germany – 4.4%
ADO Properties S.A.		53,805		$1,221
alstria office REIT-A.G.		184,264		2,654
Aroundtown S.A.		1,495,044		7,492
Consus Real Estate A.G. *		60,554		337
Deutsche EuroShop A.G.		60,183		696
Deutsche Wohnen S.E.		440,843		16,844
DIC Asset A.G.		53,933		561
Grand City Properties S.A.		143,863		3,035
Hamborner REIT A.G.		79,506		717
LEG Immobilien A.G.		84,541		9,552
Sirius Real Estate Ltd.		1,118,225		925
TAG Immobilien A.G. *		161,031		3,196
Vonovia S.E.		631,418		31,123
				78,353
Greece – 0.0%
LAMDA Development S.A. *		76,766		487
Hong Kong – 9.0%
C&D International Investment Group Ltd.		288,000		396
Champion REIT		2,513,846		1,514
China Jinmao Holdings Group Ltd.		6,458,000		4,155
China Merchants Land Ltd. *		1,554,000		242
China Overseas Grand Oceans Group Ltd.		1,858,500		1,080
China Overseas Land & Investment Ltd.		4,710,542		14,536
China Resources Land Ltd.		3,938,155		16,157
China South City Holdings Ltd.		5,648,000		545
China Vast Industrial Urban Development Co. Ltd.		418,000		144
Chinese Estates Holdings Ltd.		604,000		272
CK Asset Holdings Ltd.		3,168,500		17,237
CSI Properties Ltd.		6,210,000		179
Far East Consortium International Ltd.		1,483,096		533
Gemdale Properties & Investment Corp. Ltd.		5,834,000		966
Hang Lung Group Ltd.		1,078,000		2,266
Hang Lung Properties Ltd.		2,484,452		5,025
Henderson Land Development Co. Ltd.		1,779,555		6,759
HKC Holdings Ltd.		197,000		127
Hongkong Land Holdings Ltd.		1,427,418		5,339
Hysan Development Co. Ltd.		764,045		2,473
Jiayuan International Group Ltd.		1,390,915		565
K Wah International Holdings Ltd.		1,532,802		658
Kerry Properties Ltd.		796,599		2,092

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Hong Kong – 9.0% – continued
Lai Sun Development Co. Ltd.		230,587		$247
Langham Hospitality Investments and Langham Hospitality Investments Ltd.		1,082,000		193
Link REIT		2,572,900		21,734
LVGEM China Real Estate Investment Co. Ltd.		1,280,000		391
Poly Property Group Co. Ltd.		2,504,000		846
Prosperity REIT		1,551,000		485
Road King Infrastructure Ltd.		285,000		430
Shanghai Industrial Urban Development Group Ltd.		2,436,000		231
Shenzhen Investment Ltd.		3,707,191		1,147
Shimao Property Holdings Ltd.		1,405,369		4,919
Sino Land Co. Ltd.		3,764,475		4,763
Sun Hung Kai Properties Ltd.		1,953,425		25,648
Sunlight Real Estate Investment Trust		1,339,000		653
Swire Properties Ltd.		1,433,000		4,021
Wharf Holdings (The) Ltd.		1,300,317		2,297
Wharf Real Estate Investment Co. Ltd.		1,487,317		6,094
Yuexiu Property Co. Ltd.		8,591,442		1,544
Yuexiu Real Estate Investment Trust		1,914,000		938
Zhuguang Holdings Group Co. Ltd. *		1,822,000		221
				160,062
India – 0.2%
Brigade Enterprises Ltd.		62,113		104
DLF Ltd.		720,848		1,296
Godrej Properties Ltd. *		75,241		591
Indiabulls Real Estate Ltd. *		259,173		140
Oberoi Realty Ltd.		69,089		301
Phoenix Mills (The) Ltd.		66,737		502
Prestige Estates Projects Ltd.		132,875		295
Sunteck Realty Ltd.		64,882		178
				3,407
Indonesia – 0.1%
Ciputra Development Tbk PT		12,708,336		345
Lippo Karawaci Tbk PT *		35,922,810		293
Pakuwon Jati Tbk PT		20,963,340		393
PP Properti Tbk PT		19,545,300		60
Rimo International Lestari Tbk PT *		42,545,100		130
Sentul City Tbk PT *		24,505,200		75
Summarecon Agung Tbk PT		10,964,700		266
				1,562

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Ireland – 0.1%
Hibernia REIT PLC		852,215		$997
Irish Residential Properties REIT PLC		551,784		742
				1,739
Israel – 0.4%
AFI Properties Ltd. *		28,564		723
Amot Investments Ltd.		205,608		1,218
Bayside Land Corp.		1,308		765
Blue Square Real Estate Ltd.		6,604		264
Melisron Ltd.		22,393		875
Mivne Real Estate KD Ltd. *		696,074		1,514
Property & Building Corp. Ltd.		2,794		175
Reit 1 Ltd.		218,590		1,065
Summit Real Estate Holdings Ltd.		45,635		418
				7,017
Italy – 0.0%
Immobiliare Grande Distribuzione SIIQ S.p.A.		62,306		257
Japan – 11.7%
Activia Properties, Inc.		851		2,726
Advance Residence Investment Corp.		1,613		4,691
Aeon Mall Co. Ltd.		125,166		1,579
AEON REIT Investment Corp.		1,824		1,747
Comforia Residential REIT, Inc.		708		2,019
Daibiru Corp.		54,300		448
Daiwa House Industry Co. Ltd.		694,100		17,191
Daiwa House REIT Investment Corp.		2,424		5,922
Daiwa Office Investment Corp.		392		2,166
Frontier Real Estate Investment Corp.		569		1,600
Fukuoka REIT Corp.		842		871
Global One Real Estate Investment Corp.		1,174		985
GLP J-Reit		4,229		4,757
Goldcrest Co. Ltd.		20,400		307
Hankyu Hanshin REIT, Inc.		692		748
Heiwa Real Estate Co. Ltd.		40,400		1,047
Heiwa Real Estate REIT, Inc.		1,053		977
Hoshino Resorts REIT, Inc.		276		846
Hulic Co. Ltd.		371,640		3,773
Hulic Reit, Inc.		1,446		1,661
Ichigo Office REIT Investment Corp.		1,499		1,027
Ichigo, Inc.		308,700		712
Industrial & Infrastructure Fund Investment Corp.		1,984		2,685
Invesco Office J-Reit, Inc.		10,899		1,427

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Japan – 11.7% – continued
Invincible Investment Corp.		7,462		$1,666
Japan Excellent, Inc.		1,438		1,654
Japan Hotel REIT Investment Corp.		5,461		1,582
Japan Logistics Fund, Inc.		1,058		2,352
Japan Prime Realty Investment Corp.		966		2,901
Japan Real Estate Investment Corp.		1,615		9,468
Japan Rental Housing Investments, Inc.		2,043		1,726
Japan Retail Fund Investment Corp.		3,206		3,620
Katitas Co. Ltd.		58,300		935
Kenedix Office Investment Corp.		527		2,760
Kenedix Residential Next Investment Corp.		1,054		1,641
Kenedix Retail REIT Corp.		620		875
LaSalle Logiport REIT		1,588		2,141
Leopalace21 Corp. *		299,900		738
MCUBS MidCity Investment Corp.		2,066		1,461
Mirai Corp.		1,968		668
Mitsubishi Estate Co. Ltd.		1,449,980		21,375
Mitsubishi Estate Logistics REIT Investment Corp.		339		1,114
Mitsui Fudosan Co. Ltd.		1,080,162		18,683
Mitsui Fudosan Logistics Park, Inc.		484		2,045
Mori Hills REIT Investment Corp.		2,063		2,738
Mori Trust Hotel Reit, Inc.		412		312
Mori Trust Sogo Reit, Inc.		1,211		1,462
Nippon Accommodations Fund, Inc.		535		2,897
Nippon Building Fund, Inc.		1,645		11,052
Nippon Prologis REIT, Inc.		2,450		6,172
NIPPON REIT Investment Corp.		551		1,624
Nomura Real Estate Holdings, Inc.		153,500		2,490
Nomura Real Estate Master Fund, Inc.		5,015		6,329
One REIT, Inc.		269		606
Orix JREIT, Inc.		3,213		4,219
Premier Investment Corp.		1,611		1,771
SAMTY Co. Ltd.		33,700		374
Samty Residential Investment Corp.		375		294
Sekisui House Reit, Inc.		4,984		3,178
Star Asia Investment Corp.		445		352
Starts Proceed Investment Corp.		263		437
Sumitomo Realty & Development Co. Ltd.		408,325		9,952
Sun Frontier Fudousan Co. Ltd.		31,700		240
Takara Leben Co. Ltd.		99,600		321
Takara Leben Real Estate Investment Corp.		532		393

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Japan – 11.7% – continued
TOC Co. Ltd.		52,600		$286
Tokyo Tatemono Co. Ltd.		238,600		2,525
Tokyu REIT, Inc.		1,075		1,404
Tosei Corp.		40,000		344
United Urban Investment Corp.		3,629		3,601
Unizo Holdings Co. Ltd. *		31,900		1,773
				208,463
Malaysia–0.2%
Eco World Development Group Bhd. *		1,118,900		104
Eco World International Bhd. *		760,000		71
IGB Real Estate Investment Trust		2,151,200		791
Mah Sing Group Bhd.		1,383,800		120
Matrix Concepts Holdings Bhd.		573,200		211
Pavilion Real Estate Investment Trust		675,600		247
Sime Darby Property Bhd.		2,897,000		361
SP Setia Bhd. Group		2,048,269		347
Sunway Real Estate Investment Trust		1,812,900		665
UEM Sunrise Bhd. *		1,724,300		155
YTL Hospitality REIT		616,000		130
				3,202
Mexico – 0.4%
Concentradora Fibra Danhos S.A. de C.V.		347,153		284
Corp. Inmobiliaria Vesta S.A.B. de C.V.		685,700		793
Fibra Uno Administracion S.A. de C.V.		3,744,509		2,939
Macquarie Mexico Real Estate Management S.A. de C.V.		912,489		759
PLA Administradora Industrial S de RL de C.V.		942,200		1,047
Prologis Property Mexico S.A. de C.V.		552,562		830
				6,652
Netherlands – 0.1%
Brack Capital Properties N.V. *		3,428		280
Eurocommercial Properties N.V. – C.V.A.		52,775		512
NSI N.V.		22,878		908
Vastned Retail N.V.		14,468		244
Wereldhave N.V.		42,446		311
				2,255
New Zealand – 0.3%
Argosy Property Ltd.		1,035,097		556
Goodman Property Trust		1,355,772		1,735

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
New Zealand – 0.3% – continued
Kiwi Property Group Ltd.		1,888,018		$1,059
Precinct Properties New Zealand Ltd.		1,376,931		1,401
				4,751
Norway – 0.2%
Entra ASA		210,504		2,507
Selvaag Bolig ASA		53,452		238
				2,745
Philippines – 0.8%
Altus San Nicolas Corp. *		45,757		5
Ayala Land, Inc.		8,993,681		5,371
DoubleDragon Properties Corp. *		899,700		285
Filinvest Land, Inc.		12,286,989		219
Megaworld Corp.		14,044,001		694
Robinsons Land Corp.		2,586,596		750
SM Prime Holdings, Inc.		12,358,553		6,929
Vista Land & Lifescapes, Inc.		4,825,400		388
				14,641
Qatar – 0.1%
Barwa Real Estate Co. *		2,334,981		1,916
United Development Co. QSC		2,111,824		571
				2,487
Romania – 0.1%
NEPI Rockcastle PLC		479,984		2,000
Russia – 0.0%
LSR Group PJSC GDR		254,621		357
Saudi Arabia – 0.2%
Arriyadh Development Co.		106,104		381
Dar Al Arkan Real Estate Development Co. *		648,016		1,414
Emaar Economic City *		464,319		846
Saudi Real Estate Co. *		106,407		348
				2,989
Singapore – 2.9%
Ascendas Real Estate Investment Trust		3,535,157		7,044
Ascott Residence Trust		2,222,514		1,224
Cache Logistics Trust		1,236,400		405
CapitaLand Commercial Trust		3,291,571		3,546
CapitaLand Mall Trust		3,145,415		3,964
CapitaLand Retail China Trust		977,424		840
CDL Hospitality Trusts		978,192		545
Chip Eng Seng Corp. Ltd.		417,500		145
City Developments Ltd.		555,400		2,815

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Singapore – 2.9% – continued
Eagle Hospitality Trust		496,400		$68
ESR-REIT		2,598,630		549
Far East Hospitality Trust		975,403		282
First Real Estate Investment Trust		707,251		339
Frasers Centrepoint Trust		869,312		1,353
Frasers Commercial Trust		853,059		709
Frasers Hospitality Trust		967,600		266
Frasers Logistics & Industrial Trust		2,093,900		1,305
GuocoLand Ltd.		374,700		352
Keppel DC REIT		1,497,934		2,388
Keppel REIT		2,276,020		1,523
Lippo Malls Indonesia Retail Trust		2,383,500		194
Manulife U.S. Real Estate Investment Trust		1,838,703		1,317
Mapletree Commercial Trust		2,629,354		3,388
Mapletree Industrial Trust		1,890,336		3,197
Mapletree Logistics Trust		3,252,014		3,619
Mapletree North Asia Commercial Trust		2,726,000		1,525
OUECommercialRealEstate Investment Trust		2,675,900		660
OUE Ltd.		373,000		260
Oxley Holdings Ltd.		1,055,137		152
Parkway Life Real Estate Investment Trust		476,300		1,036
Prime U.S. REIT		598,700		375
Sabana Shari’ah Compliant Industrial Real Estate Investment Trust		1,000,500		207
Sasseur Real Estate Investment Trust		529,400		220
Soilbuild Business Space REIT		1,114,680		251
SPH REIT		934,100		506
Starhill Global REIT		1,771,000		542
Suntec Real Estate Investment Trust		2,385,491		2,100
UOL Group Ltd.		571,797		2,633
Yanlord Land Group Ltd.		710,100		488
				52,332
South Africa – 0.4%
Attacq Ltd.		760,329		199
Emira Property Fund Ltd.		529,634		185
Equites Property Fund Ltd.		588,104		544
Growthpoint Properties Ltd.		3,656,523		2,624
Hyprop Investments Ltd.		318,678		338
Investec Property Fund Ltd.		652,821		251
Redefine Properties Ltd.		6,685,696		885
Resilient REIT Ltd.		349,091		620

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
South Africa – 0.4% – continued
SA Corporate Real Estate Ltd.		2,564,543		$162
Stor-Age Property REIT Ltd.		447,946		310
Vukile Property Fund Ltd.		952,603		374
				6,492
South Korea – 0.0%
Dongwon Development Co. Ltd.		51,849		139
SK D&D Co. Ltd.		9,630		197
				336
Spain – 0.4%
Aedas Homes S.A. *		26,877		519
Inmobiliaria Colonial Socimi S.A.		311,150		2,949
Lar Espana Real Estate Socimi S.A.		101,230		449
Merlin Properties Socimi S.A.		431,279		3,259
Metrovacesa S.A. *		57,645		321
				7,497
Sweden – 1.6%
Atrium Ljungberg AB, Class B		54,857		856
Castellum AB		317,896		5,381
Catena AB		25,804		753
Dios Fastigheter AB		108,844		726
Fabege AB		324,028		4,152
Fastighets AB Balder, Class B *		124,402		4,469
Hufvudstaden AB, Class A		136,589		1,866
John Mattson Fastighetsforetagen AB *		23,456		307
Klovern AB, Class B		566,628		842
Kungsleden AB		226,743		1,713
Nyfosa AB *		205,185		1,033
Sagax AB, Class D		116,045		315
Samhallsbyggnadsbolaget i Norden AB		1,047,249		1,999
Samhallsbyggnadsbolaget i Norden AB, Class D		139,788		340
Wallenstam AB, Class B		199,038		2,264
Wihlborgs Fastigheter AB		169,271		2,357
				29,373
Switzerland – 1.3%
Allreal Holding A.G. (Registered) *		17,570		3,261
Intershop Holding A.G.		1,393		732
IWG PLC		812,806		1,733
Mobimo Holding A.G. (Registered) *		8,080		2,267
PSP Swiss Property A.G. (Registered)		50,688		6,339
Swiss Prime Site A.G. (Registered)		93,107		9,140
				23,472

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
Taiwan – 0.3%
Cathay Real Estate Development Co. Ltd.		661,000		$377
Chong Hong Construction Co. Ltd.		217,000		539
Farglory Land Development Co. Ltd.		350,000		440
Highwealth Construction Corp.		989,000		1,325
Huaku Development Co. Ltd.		292,000		798
Hung Sheng Construction Ltd. *		600,760		296
Kindom Development Co. Ltd.		383,000		287
Prince Housing & Development Corp.		1,187,000		358
Radium Life Tech Co. Ltd.		809,420		240
Shining Building Business Co. Ltd. *		435,197		117
				4,777
Thailand – 0.6%
Amata Corp. PCL NVDR		1,013,700		312
Ananda Development PCL NVDR		1,688,800		61
AP Thailand PCL (Registered)		441,405		51
AP Thailand PCL NVDR		2,242,204		260
Central Pattana PCL (Registered)		811,626		1,057
Central Pattana PCL NVDR		1,922,898		2,464
Land & Houses PCL NVDR		10,321,100		2,127
LPN Development PCL (Registered)		8,475		1
LPN Development PCL NVDR		1,673,901		168
Origin Property PCL NVDR		932,100		100
Platinum Group (The) PCL NVDR		1,064,100		66
Pruksa Holding PCL NVDR		693,100		197
Quality Houses PCL NVDR		10,026,400		572
Sansiri PCL NVDR		16,002,766		288
SC Asset Corp. PCL (Registered)		747,984		42
SC Asset Corp. PCL NVDR		1,105,124		62
Siam Future Development PCL NVDR		1,485,332		164
Singha Estate PCL NVDR		3,906,800		152
Supalai PCL (Registered)		280,445		127
Supalai PCL NVDR		1,472,500		673
U City PCL NVDR *		4,266,600		105
Univentures PCL NVDR		847,700		62
WHA Corp. PCL NVDR		10,993,600		745
				9,856
United Arab Emirates – 0.2%
Aldar Properties PJSC		4,709,583		1,943
Deyaar Development PJSC *		1,830,207		104
Emaar Malls PJSC		3,153,679		900

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
United Arab Emirates – 0.2% – continued
Eshraq Investments PJSC *		1,443,551		$76
RAK Properties PJSC		1,241,612		125
				3,148
United Kingdom – 3.7%
Assura PLC		2,954,523		3,056
Big Yellow Group PLC		194,554		2,422
British Land (The) Co. PLC		1,077,083		4,481
Capital & Counties Properties PLC		884,874		1,815
Civitas Social Housing PLC		759,534		908
Custodian Reit PLC		478,301		587
Derwent London PLC		130,058		5,268
Empiric Student Property PLC		750,501		615
GCP Student Living PLC		566,305		933
Grainger PLC		747,491		2,401
Great Portland Estates PLC		279,559		2,360
Hammerson PLC		934,126		895
Helical PLC		134,400		583
Intu Properties PLC *		1,201,561		66
Land Securities Group PLC		862,312		5,941
LondonMetric Property PLC		969,569		2,115
LXI REIT PLC		634,007		854
NewRiver REIT PLC		387,776		287
Picton Property Income (The) Ltd.		678,933		749
Primary Health Properties PLC		1,490,965		2,967
RDI REIT PLC		361,103		292
Regional REIT Ltd.		491,823		505
Safestore Holdings PLC		258,080		2,049
Schroder Real Estate Investment Trust Ltd.		656,744		317
Segro PLC		1,344,368		12,714
Shaftesbury PLC		187,353		1,435
St. Modwen Properties PLC		243,350		997
Standard Life Investment Property Income Trust Ltd.		489,833		514
Tritax Big Box REIT PLC		2,094,943		2,912
UNITE Group (The) PLC		355,850		3,534
Watkin Jones PLC		187,228		359
Workspace Group PLC		165,646		1,560
				66,491
United States – 46.9%
Acadia Realty Trust		103,664		1,284
Agree Realty Corp.		50,520		3,127
Alexander’s, Inc.		2,737		755
Alexandria Real Estate Equities, Inc.		137,165		18,800

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
United States – 46.9% – continued
American Assets Trust, Inc.		60,736		$1,518
American Campus Communities, Inc.		163,701		4,543
American Finance Trust, Inc.		127,183		795
American Homes 4 Rent, Class A		321,681		7,463
Apartment Investment & Management Co., Class A		177,372		6,235
Apple Hospitality REIT, Inc.		253,326		2,323
Ashford Hospitality Trust, Inc.		122,882		91
AvalonBay Communities, Inc.		166,369		24,485
Boston Properties, Inc.		184,189		16,988
Braemar Hotels & Resorts, Inc.		35,411		60
Brandywine Realty Trust		210,047		2,210
Brixmor Property Group, Inc.		354,876		3,371
Camden Property Trust		115,349		9,140
CareTrust REIT, Inc.		113,824		1,683
Cedar Realty Trust, Inc.		112,764		105
Chatham Lodging Trust		56,626		336
Colony Capital, Inc.		551,424		965
Columbia Property Trust, Inc.		139,313		1,741
Community Healthcare Trust, Inc.		22,837		874
CorePoint Lodging, Inc.		47,838		188
CoreSite Realty Corp.		44,892		5,203
Corporate Office Properties Trust		133,476		2,954
Cousins Properties, Inc.		174,848		5,118
CubeSmart		230,577		6,177
CyrusOne, Inc.		134,835		8,326
DiamondRock Hospitality Co.		238,481		1,211
Digital Realty Trust, Inc.		313,120		43,496
Diversified Healthcare Trust		283,449		1,029
Douglas Emmett, Inc.		198,437		6,054
Duke Realty Corp.		437,842		14,177
Easterly Government Properties, Inc.		88,332		2,177
EastGroup Properties, Inc.		45,751		4,780
Empire State Realty Trust, Inc., Class A		182,224		1,633
Equinix, Inc.		101,584		63,446
Equity Commonwealth		145,223		4,605
Equity Commonwealth - (Fractional Shares) (2)		75,000		–
Equity LifeStyle Properties, Inc.		206,051		11,844
Equity Residential		442,361		27,298
Essex Property Trust, Inc.		78,719		17,337
Extra Space Storage, Inc.		154,274		14,773
Federal Realty Investment Trust		89,974		6,713
First Industrial Realty Trust, Inc.		151,220		5,025

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
United States – 46.9% – continued
Four Corners Property Trust, Inc.		82,117		$1,536
Franklin Street Properties Corp.		127,728		732
Front Yard Residential Corp.		60,959		728
FRP Holdings, Inc. *		8,181		352
Getty Realty Corp.		41,730		991
Gladstone Commercial Corp.		37,219		534
Global Medical REIT, Inc.		48,494		491
Global Net Lease, Inc.		106,572		1,425
Healthcare Realty Trust, Inc.		159,304		4,449
Healthcare Trust of America, Inc., Class A		246,814		5,993
Healthpeak Properties, Inc.		589,598		14,062
Hersha Hospitality Trust		43,782		157
Highwoods Properties, Inc.		123,585		4,377
Host Hotels & Resorts, Inc.		854,300		9,431
Howard Hughes (The) Corp. *		48,902		2,471
Hudson Pacific Properties, Inc.		184,623		4,682
Independence Realty Trust, Inc.		108,306		968
Industrial Logistics Properties Trust		77,675		1,362
Innovative Industrial Properties, Inc.		19,761		1,500
Investors Real Estate Trust		13,843		761
Invitation Homes, Inc.		640,500		13,687
Iron Mountain, Inc.		342,049		8,141
JBG SMITH Properties		151,785		4,831
Kennedy-Wilson Holdings, Inc.		152,726		2,050
Kilroy Realty Corp.		126,279		8,044
Kimco Realty Corp.		503,034		4,864
Kite Realty Group Trust		100,068		948
Lexington Realty Trust		265,715		2,639
Life Storage, Inc.		55,580		5,255
LTC Properties, Inc.		47,374		1,464
Macerich (The) Co.		134,704		758
Mack-Cali Realty Corp.		107,868		1,643
Medical Properties Trust, Inc.		616,338		10,656
Mid-America Apartment Communities, Inc.		135,872		13,999
Monmouth Real Estate Investment Corp.		109,739		1,322
National Health Investors, Inc.		52,374		2,594
National Retail Properties, Inc.		204,470		6,582
National Storage Affiliates Trust		70,688		2,092
New Senior Investment Group, Inc.		98,927		253
NexPoint Residential Trust, Inc.		23,866		602
Office Properties Income Trust		57,417		1,565
Omega Healthcare Investors, Inc.		260,280		6,908

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
United States – 46.9% – continued
One Liberty Properties, Inc.		17,878		$249
Paramount Group, Inc.		216,887		1,909
Park Hotels & Resorts, Inc.		285,178		2,256
Pebblebrook Hotel Trust		155,637		1,695
Pennsylvania Real Estate Investment Trust		93,372		85
Physicians Realty Trust		224,395		3,128
Piedmont Office Realty Trust, Inc., Class A		149,822		2,646
Preferred Apartment Communities, Inc., Class A		54,611		392
Prologis, Inc. (New York Exchange)		878,317		70,590
PS Business Parks, Inc.		24,509		3,321
Public Storage (New York Exchange)		187,272		37,194
QTS Realty Trust, Inc., Class A		69,209		4,015
Realty Income Corp.		388,235		19,357
Regency Centers Corp.		199,635		7,672
Retail Opportunity Investments Corp.		138,292		1,146
Retail Properties of America, Inc., Class A		254,525		1,316
Retail Value, Inc.		19,020		233
Rexford Industrial Realty, Inc.		132,107		5,418
RLJ Lodging Trust		203,116		1,568
RPT Realty		95,804		578
Ryman Hospitality Properties, Inc.		58,222		2,087
Sabra Health Care REIT, Inc.		230,743		2,520
Saul Centers, Inc.		16,490		540
Seritage Growth Properties, Class A *		42,364		386
Service Properties Trust		196,125		1,059
Simon Property Group, Inc.		365,553		20,054
SITE Centers Corp.		184,798		963
SL Green Realty Corp.		95,441		4,114
Spirit Realty Capital, Inc.		118,808		3,107
STAG Industrial, Inc.		158,397		3,567
STORE Capital Corp.		265,742		4,815
Summit Hotel Properties, Inc.		125,384		529
Sun Communities, Inc.		110,403		13,784
Sunstone Hotel Investors, Inc.		267,836		2,333
Tanger Factory Outlet Centers, Inc.		110,754		554
Taubman Centers, Inc.		72,923		3,054
Terreno Realty Corp.		79,811		4,130
UDR, Inc.		349,099		12,756
UMH Properties, Inc.		43,852		476
Universal Health Realty Income Trust		15,562		1,569
Urban Edge Properties		144,472		1,273

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 98.4% (1) – continued
United States – 46.9% – continued
Urstadt Biddle Properties, Inc., Class A		35,244		$497
Ventas, Inc.		444,013		11,900
VEREIT, Inc.		1,271,918		6,220
Vornado Realty Trust		204,634		7,410
Washington Prime Group, Inc.		222,486		179
Washington Real Estate Investment Trust		96,012		2,292
Weingarten Realty Investors		145,667		2,102
Welltower, Inc. (New York Exchange)		483,346		22,128
Whitestone REIT		43,646		271
WP Carey, Inc.		205,229		11,920
Xenia Hotels & Resorts, Inc.		134,178		1,382
				835,094
Total Common Stocks
(Cost $1,825,049)				1,752,496
INVESTMENT COMPANIES – 0 .0%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (4)(5)		303,484		303
Total Investment Companies
(Cost $303)				303
Total Investments – 98.4%
(Cost $1,825,352)				1,752,799
Other Assets less Liabilities – 1.6%				27,629
Net Assets – 100.0%				$1,780,428

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Level 3 asset that is worthless, bankrupt or has been delisted.

(3) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(4) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(5) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

GDR – Global Depositary Receipt

NVDR – Non-Voting Depositary Receipt

PCL – Public Company Limited

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL REAL ESTATE INDEX FUND continued

PLC – Public Limited Company

REIT – Real Estate Investment Trust

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY

CONTRACTS TO DELIVER CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

IN EXCHANGE FOR CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

SETTLEMENT DATE

UNREALIZED APPRECIATION (DEPRECIATION) (000s)

BNY Mellon

Swiss Franc

291

United States Dollar

304

6/17/20

$1

Citibank

United States Dollar

2,196

Hong Kong Dollar

17,061

6/17/20

4

Morgan Stanley

Australian Dollar

448

United States Dollar

281

6/17/20

5

Morgan Stanley

British Pound

82

United States Dollar

102

6/17/20

1

Subtotal Appreciation

11

Citibank

United States Dollar

1

Singapore Dollar

1

6/17/20

–*

Citibank

United States Dollar

180

Swiss Franc

171

6/17/20

(2)

Goldman Sachs

United States Dollar

100

Swedish Krona

975

6/17/20

(1)

JPMorgan Chase

United States Dollar

563

Euro

504

6/17/20

(5)

Morgan Stanley

Euro

617

United States Dollar

680

6/17/20

(3)

Morgan Stanley

United States Dollar

175

Canadian Dollar

243

6/17/20

(2)

Morgan Stanley

United States Dollar

1,237

Japanese Yen

131,857

6/17/20

(7)

Subtotal Depreciation

(20)

Total

$(9)

* Amounts round to less than a thousand.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)(1)
E-Mini S&P 500 (United States Dollar)		122		$15,675		Long		6/20		$444
E-Mini S&P MidCap 400 (United States Dollar)		24		3,451		Long		6/20		132
MSCI EAFE Index (United States Dollar)		37		2,885		Long		6/20		111

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)(1)
MSCI Emerging Markets Index (United States Dollar)		98		$4,130		Long		6/20		$111
S&P/TSX 60 Index (Canadian Dollar)		18		2,083		Long		6/20		83
Total										$881

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Specialized REITs		11.9%
Real Estate Operating Companies		11.0
Residential REITs		11.0
Office REITs		10.8
Retail REITs		10.6
Industrial REITs		10.3
Real Estate Development		10.3
Diversified Real Estate Activities		8.5
Diversified REITs		7.8
Health Care REITs		5.9
Other Industries less than 5%		1.9
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		48.2%
Hong Kong Dollar		13.0
Japanese Yen		11.9
Euro		8.1
All other currencies less than 5%		18.8
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 54 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments. Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Brazil		$5,420		$–			$–		$5,420
Canada		21,403		–			–		21,403
Chile		1,006		–			–		1,006
Egypt		665		282			–		947
Mexico		6,652		–			–		6,652
New Zealand		4,751		–			–		4,751
United States		835,094		–			–		835,094
All Other Countries(1)		–		877,223			–		877,223
Total Common Stocks		874,991		877,505			–		1,752,496
Investment Companies		303		–			–		303
Total Investments		$875,294		$877,505			$–		$1,752,799
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$–		$11			$–		$11
Futures Contracts		881		–			–		881
Liabilities
Forward Foreign Currency Exchange Contracts		–		(20	)		–		(20	)
Total Other Financial Instruments		$881		$	(9)		$–		$872

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 55 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1)
Argentina – 0.1%
MercadoLibre, Inc. *		1,705		$833
Australia – 2.7%
AMP Ltd. *		134,069		109
APA Group		45,208		289
ASX Ltd.		7,329		354
Aurizon Holdings Ltd.		78,225		203
AusNet Services		80,481		85
Australia & New Zealand Banking Group Ltd.		107,711		1,162
Bendigo & Adelaide Bank Ltd.		17,737		68
BlueScope Steel Ltd.		19,034		104
Boral Ltd.		44,491		56
Brambles Ltd.		58,402		385
Coca-Cola Amatil Ltd.		17,974		99
Cochlear Ltd.		2,152		247
Coles Group Ltd.		42,731		404
Commonwealth Bank of Australia		67,239		2,540
Computershare Ltd.		19,027		113
CSL Ltd.		17,221		3,124
Dexus		41,898		239
Fortescue Metals Group Ltd.		53,705		328
Goodman Group		62,426		477
GPT Group (The)		74,339		169
Harvey Norman Holdings Ltd.		19,369		35
Insurance Australia Group Ltd.		87,019		339
Lendlease Group		21,930		138
Macquarie Group Ltd.		12,756		695
Mirvac Group (OTC Exchange)		148,933		197
National Australia Bank Ltd.		109,549		1,158
Newcrest Mining Ltd.		29,089		409
Orica Ltd.		15,813		148
Origin Energy Ltd.		67,230		180
Ramsay Health Care Ltd.		6,232		218
SEEK Ltd.		11,889		112
Stockland		91,936		147
Sydney Airport		42,752		150
Telstra Corp. Ltd.		157,239		300
Transurban Group (OTC Exchange)		104,288		767
Wesfarmers Ltd.		43,193		930
Westpac Banking Corp.		135,620		1,418
Woodside Petroleum Ltd.		36,000		401
Worley Ltd.		13,044		51
				18,348

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Austria – 0.0%
ANDRITZ A.G.		2,577		$81
OMV A.G.		5,463		151
voestalpine A.G.		4,177		85
				317
Belgium – 0.2%
Colruyt S.A.		1,956		106
KBC Group N.V.		9,632		444
Solvay S.A., Class A		2,830		206
UCB S.A.		4,776		415
Umicore S.A.		7,712		270
				1,441
Canada – 3.5%
Agnico Eagle Mines Ltd.		8,967		358
Algonquin Power & Utilities Corp.		20,273		273
Alimentation Couche-Tard, Inc., Class B		33,113		780
AltaGas Ltd.		9,733		88
Aurora Cannabis, Inc. *		41,792		37
Bank of Montreal		24,278		1,226
Bank of Nova Scotia (The)		46,250		1,889
BlackBerry Ltd. *		19,310		79
CAE, Inc.		10,299		130
Canadian Apartment Properties REIT		3,213		97
Canadian Imperial Bank of Commerce		16,915		986
Canadian National Railway Co.		27,211		2,128
Canadian Tire Corp. Ltd., Class A		2,278		138
Canopy Growth Corp. *		8,211		119
Cenovus Energy, Inc.		39,790		80
CGI, Inc. *		9,298		503
Cronos Group, Inc. *		6,483		37
Dollarama, Inc.		11,404		316
Empire Co. Ltd., Class A		6,330		124
Enbridge, Inc.		76,813		2,237
FirstCapitalRealEstateInvestmentTrust		4,102		40
Fortis, Inc.		16,244		626
Franco-Nevada Corp.		7,117		711
Gildan Activewear, Inc.		8,042		103
Loblaw Cos. Ltd.		7,011		361
Lululemon Athletica, Inc. *		4,206		797
Lundin Mining Corp.		23,880		90
Magna International, Inc.		11,125		355
Metro, Inc.		9,653		390
Nutrien Ltd.		21,817		746
Open Text Corp.		10,106		353

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Canada – 3.5% – continued
PrairieSky Royalty Ltd.		8,906		$47
Rogers Communications, Inc., Class B		13,400		559
Shopify, Inc., Class A *		3,936		1,649
Sun Life Financial, Inc.		21,969		707
Suncor Energy, Inc.		59,015		942
Teck Resources Ltd., Class B		19,094		145
TELUS Corp.		15,442		244
Toronto-Dominion Bank (The)		68,769		2,924
West Fraser Timber Co. Ltd.		1,900		36
Wheaton Precious Metals Corp.		17,061		470
WSP Global, Inc.		4,098		233
				24,153
Denmark – 1.1%
Chr Hansen Holding A/S		4,027		302
Coloplast A/S, Class B		4,476		651
Demant A/S *		4,411		98
Genmab A/S *		2,480		503
H Lundbeck A/S		2,511		75
ISS A/S		6,355		88
Novo Nordisk A/S, Class B		66,991		4,041
Novozymes A/S, Class B		7,932		362
Orsted A/S (2)		7,256		712
Pandora A/S		3,933		128
Tryg A/S		4,425		109
Vestas Wind Systems A/S		7,194		586
				7,655
Finland – 0.3%
Metso OYJ		3,973		95
Neste OYJ		16,105		545
Nokian Renkaat OYJ		4,597		112
Orion OYJ, Class B		4,191		172
Stora Enso OYJ (Registered)		22,698		230
UPM-Kymmene OYJ		20,354		561
Wartsila OYJ Abp		16,444		121
				1,836
France – 3.1%
Accor S.A.		6,780		186
Air Liquide S.A.		17,922		2,297
Atos S.E.		3,791		257
AXA S.A.		73,324		1,270
Bouygues S.A.		8,508		250
Carrefour S.A.		23,015		365
Casino Guichard Perrachon S.A.		1,913		74

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
France – 3.1% – continued
Cie de Saint-Gobain		18,486		$449
Cie Generale des Etablissements Michelin S.C.A.		6,420		571
CNP Assurances		5,963		58
Credit Agricole S.A.		42,887		314
Danone S.A.		23,536		1,518
Eiffage S.A.		3,005		213
EssilorLuxottica S.A. (Euronext Exchange)		10,801		1,165
Eurazeo S.E.		1,422		64
Gecina S.A.		1,757		233
Getlink S.E.		17,174		208
Ingenico Group S.A.		2,249		239
JCDecaux S.A.		2,996		54
Kering S.A.		2,885		1,505
Klepierre S.A.		7,642		148
L’Oreal S.A.		9,556		2,508
Natixis S.A.		34,401		112
Orange S.A.		75,880		941
Schneider Electric S.E.		21,023		1,810
SES S.A.		13,041		77
Teleperformance		2,202		460
TOTAL S.A. (OTC Exchange)		91,232		3,538
Unibail-Rodamco-Westfield		5,197		294
Valeo S.A.		9,260		155
Wendel S.E.		1,085		87
				21,420
Germany – 3.2%
adidas A.G.		6,861		1,578
Allianz S.E. (Registered)		15,850		2,732
BASF S.E.		35,020		1,693
Bayerische Motoren Werke A.G.		12,808		672
Beiersdorf A.G.		3,911		398
Commerzbank A.G.		37,711		137
Deutsche Boerse A.G.		7,238		994
Deutsche Post A.G. (Registered)		37,159		1,025
Deutsche Wohnen S.E.		13,449		514
E.ON S.E.		85,427		898
Fraport A.G. Frankfurt Airport Services Worldwide		1,731		70
HeidelbergCement A.G.		5,519		241
Henkel A.G. & Co. KGaA		3,961		298
Infineon Technologies A.G.		46,914		703
Merck KGaA		4,950		513

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 57 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
Germany – 3.2% – continued
METRO A.G.		6,335		$55
MTU Aero Engines A.G.		1,984		291
Muenchener Rueckversicherungs-Gesellschaft A.G. in Muenchen (Registered)		5,495		1,111
RWE A.G.		22,226		595
SAP S.E.		37,340		4,289
Siemens A.G. (Registered)		28,976		2,494
Symrise A.G.		4,948		469
Telefonica Deutschland Holding A.G.		31,592		79
				21,849
Hong Kong – 0.8%
ASM Pacific Technology Ltd.		12,600		118
BOC Hong Kong Holdings Ltd.		136,000		375
CLP Holdings Ltd.		60,806		559
Hang Seng Bank Ltd.		28,178		480
HKT Trust & HKT Ltd.		148,000		201
Hong Kong & China Gas Co. Ltd.		385,354		634
Hong Kong Exchanges & Clearing Ltd.		45,515		1,367
MTR Corp. Ltd.		54,626		281
PCCW Ltd.		183,000		100
Sun Hung Kai Properties Ltd.		61,000		801
Swire Pacific Ltd., Class A		20,500		131
Swire Properties Ltd.		42,678		120
Techtronic Industries Co. Ltd.		54,000		348
				5,515
Ireland–1.2%
Accenture PLC, Class A		24,088		3,933
Allegion PLC		3,546		326
Aptiv PLC		9,596		473
CRH PLC		30,130		821
DCC PLC		3,759		237
Jazz Pharmaceuticals PLC *		2,109		210
Kerry Group PLC, Class A		6,028		691
Kingspan Group PLC		5,883		315
Perrigo Co. PLC		5,069		244
Trane Technologies PLC		9,112		753
				8,003
Israel – 0.1%
Bank Hapoalim B.M.		43,271		260
Bank Leumi Le-Israel B.M.		56,080		310
Mizrahi Tefahot Bank Ltd.		5,763		108
				678

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
Italy – 0.3%
Assicurazioni Generali S.p.A.		42,172		$575
Intesa Sanpaolo S.p.A.		564,503		921
Snam S.p.A.		79,272		366
Tenaris S.A.		16,891		103
				1,965
Japan – 8.3%
Aeon Co. Ltd.		25,100		558
AEON Financial Service Co. Ltd.		3,990		43
AGC, Inc.		7,300		179
Ajinomoto Co., Inc.		15,700		292
ANA Holdings, Inc.		5,000		122
Asahi Kasei Corp.		48,600		343
Astellas Pharma, Inc.		72,600		1,124
Benesse Holdings, Inc.		2,400		61
Bridgestone Corp.		22,000		677
Casio Computer Co. Ltd.		6,900		97
Central Japan Railway Co.		5,500		882
Chugai Pharmaceutical Co. Ltd.		8,610		997
CyberAgent, Inc.		4,200		163
Dai Nippon Printing Co. Ltd.		8,700		185
Daicel Corp.		8,800		64
Daifuku Co. Ltd.		3,800		241
Daikin Industries Ltd.		9,300		1,134
Daiwa House Industry Co. Ltd.		21,800		540
Denso Corp.		16,700		539
East Japan Railway Co.		11,600		879
Eisai Co. Ltd.		9,505		698
Fast Retailing Co. Ltd.		2,200		899
Fujitsu Ltd.		7,300		659
Hino Motors Ltd.		10,200		55
Hirose Electric Co. Ltd.		1,400		145
Hitachi Chemical Co. Ltd.		4,117		175
Hitachi Construction Machinery Co. Ltd.		3,800		77
Hitachi High-Technologies Corp.		2,443		181
Hitachi Metals Ltd.		8,100		85
Honda Motor Co. Ltd.		61,800		1,390
Hulic Co. Ltd.		12,400		126
Inpex Corp.		38,900		219
Japan Retail Fund Investment Corp.		106		120
JFE Holdings, Inc.		17,700		115
Kajima Corp.		18,100		186
Kansai Paint Co. Ltd.		7,200		137
Kao Corp.		18,400		1,507

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
Japan – 8.3% – continued
Kawasaki Heavy Industries Ltd.		6,300		$91
KDDI Corp.		67,100		1,983
Keio Corp.		3,600		213
Keyence Corp.		6,900		2,227
Kikkoman Corp.		5,300		226
Kobayashi Pharmaceutical Co. Ltd.		1,800		167
Komatsu Ltd.		34,600		569
Konami Holdings Corp.		3,900		120
Konica Minolta, Inc.		15,900		65
Kubota Corp.		38,400		491
Kuraray Co. Ltd.		13,200		133
Kurita Water Industries Ltd.		4,200		97
Kyocera Corp.		12,200		723
Kyushu Railway Co.		5,600		161
Lawson, Inc.		1,800		99
MaruiGroup Co.Ltd.		7,900		133
Mitsubishi Chemical Holdings Corp.		46,100		274
Mitsubishi Electric Corp.		70,200		866
Mitsubishi Estate Co. Ltd.		44,200		652
Mitsubishi Materials Corp.		4,700		96
Mitsubishi UFJ Lease & Finance Co. Ltd.		17,430		86
Mitsui Chemicals, Inc.		7,600		144
Mitsui Fudosan Co. Ltd.		34,200		591
Mizuho Financial Group, Inc.		914,373		1,046
Murata Manufacturing Co. Ltd.		22,145		1,121
Nabtesco Corp.		4,000		92
Nagoya Railroad Co. Ltd.		6,500		183
NEC Corp.		9,300		339
NGK Insulators Ltd.		9,300		122
NGK Spark Plug Co. Ltd.		5,400		76
Nikon Corp.		13,500		125
Nintendo Co. Ltd.		4,200		1,620
Nippon Express Co. Ltd.		3,200		157
Nippon Prologis REIT, Inc.		78		196
Nippon Yusen K.K.		6,700		80
Nissin Foods Holdings Co. Ltd.		2,200		184
Nitori Holdings Co. Ltd.		2,900		392
Nitto Denko Corp.		6,000		268
Nomura Real Estate Holdings, Inc.		5,200		84
Nomura Research Institute Ltd.		13,576		287
NSK Ltd.		12,100		78
NTT DOCOMO, Inc.		51,300		1,613
Obayashi Corp.		23,100		198
Odakyu Electric Railway Co. Ltd.		10,500		231

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
Japan – 8.3% – continued
Omron Corp.		6,700		$349
Ono Pharmaceutical Co. Ltd.		13,700		315
Oriental Land Co. Ltd.		7,700		985
ORIX Corp.		50,800		611
Osaka Gas Co. Ltd.		15,100		285
Otsuka Corp.		3,900		167
Panasonic Corp.		84,900		648
Park24 Co. Ltd.		4,400		64
Rakuten, Inc.		31,000		235
Recruit Holdings Co. Ltd.		51,700		1,335
Resona Holdings, Inc.		75,000		226
Santen Pharmaceutical Co. Ltd.		13,000		224
Secom Co. Ltd.		7,900		657
Sega Sammy Holdings, Inc.		8,100		99
Sekisui Chemical Co. Ltd.		13,600		180
Sekisui House Ltd.		22,800		377
Seven & i Holdings Co. Ltd.		28,700		948
Sharp Corp.		8,100		85
Shimadzu Corp.		8,700		229
Shimizu Corp.		20,900		163
Shin-Etsu Chemical Co. Ltd.		13,400		1,328
Shiseido Co. Ltd.		15,300		904
Showa Denko K.K.		5,700		118
Sohgo Security Services Co. Ltd.		2,600		127
Sompo Holdings, Inc.		13,000		402
Sony Corp.		48,300		2,871
Stanley Electric Co. Ltd.		5,333		105
Sumitomo Chemical Co. Ltd.		53,200		158
Sumitomo Metal Mining Co. Ltd.		9,100		187
Sumitomo Mitsui Trust Holdings, Inc.		11,700		338
Sumitomo Rubber Industries Ltd.		6,100		58
Suntory Beverage & Food Ltd.		5,200		197
Sysmex Corp.		6,542		473
T&D Holdings, Inc.		22,000		180
Taisei Corp.		7,400		226
Takeda Pharmaceutical Co. Ltd.		56,900		1,741
Teijin Ltd.		7,400		125
Tobu Railway Co. Ltd.		6,700		234
Toho Co. Ltd.		4,700		144
Tokyo Electron Ltd.		6,000		1,128
Tokyo Gas Co. Ltd.		14,900		353
Tokyu Corp.		19,200		302
Toray Industries, Inc.		49,900		216
TOTO Ltd.		5,000		166

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Japan – 8.3% – continued
Toyo Suisan Kaisha Ltd.		3,300		$160
Toyoda Gosei Co. Ltd.		2,600		45
Unicharm Corp.		15,400		578
USS Co. Ltd.		7,800		107
West Japan Railway Co.		6,400		438
Yakult Honsha Co. Ltd.		4,200		249
Yamada Denki Co. Ltd.		22,060		88
Yamaha Corp.		5,100		199
Yamaha Motor Co. Ltd.		11,400		138
Yaskawa Electric Corp.		9,100		250
Yokogawa Electric Corp.		7,600		92
				57,200
Netherlands – 1.6%
Aegon N.V.		67,260		171
Akzo Nobel N.V.		7,721		509
ASML Holding N.V.		16,135		4,288
EXOR N.V.		4,151		214
ING Groep N.V. (OTC Exchange)		148,490		778
Koninklijke Ahold Delhaize N.V.		41,851		979
Koninklijke DSM N.V.		6,956		790
Koninklijke KPN N.V.		131,382		314
Koninklijke Philips N.V.		34,273		1,387
Koninklijke Vopak N.V.		2,643		138
NN Group N.V.		11,855		320
QIAGEN N.V. *		8,670		352
Wolters Kluwer N.V.		10,375		738
				10,978
New Zealand – 0.0%
Auckland International Airport Ltd.		34,286		101
Fletcher Building Ltd.		30,492		63
Meridian Energy Ltd.		49,239		117
Ryman Healthcare Ltd.		15,624		96
				377
Norway – 0.2%
Aker BP ASA		3,918		50
Equinor ASA		37,651		474
Mowi ASA		16,577		253
Norsk Hydro ASA		48,927		106
Orkla ASA		29,102		249
Schibsted ASA, Class B		3,642		65
Telenor ASA		27,817		408
				1,605

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Portugal – 0.1%
Banco Espirito Santo S.A. (Registered) (3)*		29,034		$–
EDP - Energias de Portugal S.A.		99,693		401
Galp Energia SGPS S.A.		17,978		205
Jeronimo Martins SGPS S.A.		9,867		178
				784
Singapore – 0.5%
Ascendas Real Estate Investment Trust		107,568		214
CapitaLand Commercial Trust		109,260		118
CapitaLand Ltd.		100,500		201
CapitaLand Mall Trust		93,800		118
City Developments Ltd.		16,200		82
DBS Group Holdings Ltd.		69,333		907
Jardine Cycle & Carriage Ltd.		2,544		35
Keppel Corp. Ltd.		56,500		210
Oversea-Chinese Banking Corp. Ltd.		125,110		761
Singapore Airlines Ltd.		19,200		78
Singapore Exchange Ltd.		31,700		204
Singapore Press Holdings Ltd.		53,900		70
Singapore Telecommunications Ltd.		301,500		539
UOL Group Ltd.		19,582		90
				3,627
Spain – 1.1%
Amadeus IT Group S.A.		16,416		779
Banco Bilbao Vizcaya Argentaria S.A.		253,658		811
Banco de Sabadell S.A.		202,328		104
Bankinter S.A.		26,831		98
CaixaBank S.A. (OTC Exchange)		132,815		248
Enagas S.A.		8,994		179
Ferrovial S.A.		18,519		445
Iberdrola S.A.		233,277		2,303
Industria de Diseno Textil S.A.		41,569		1,079
Naturgy Energy Group S.A.		11,014		195
Red Electrica Corp. S.A.		16,279		293
Repsol S.A.		55,947		510
Telefonica S.A.		177,681		816
				7,860
Sweden – 1.1%
Assa Abloy AB, Class B		38,290		724
Atlas Copco AB, Class A		25,036		841
Atlas Copco AB, Class B		15,521		458
Boliden AB		10,264		187
Electrolux AB, Class B		8,073		100

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Sweden – 1.1% – continued
Essity AB, Class B		22,802		$703
Hennes & Mauritz AB, Class B		30,586		394
Husqvarna AB, Class B		15,172		76
ICA Gruppen AB		3,222		136
Investor AB, Class B		17,183		790
Kinnevik AB, Class B		8,618		143
L E Lundbergforetagen AB, Class B		2,679		110
Millicom International Cellular S.A. SDR		3,657		103
Sandvik AB		42,537		604
Skandinaviska Enskilda Banken AB, Class A *		62,101		420
Skanska AB, Class B *		13,117		200
SKF AB, Class B		14,773		203
Svenska Handelsbanken AB, Class A *		59,345		497
Swedbank AB, Class A		34,561		386
Tele2 AB, Class B		19,248		259
Telia Co. AB		101,098		364
				7,698
Switzerland – 3.5%
ABB Ltd. (Registered)		69,964		1,230
Adecco Group A.G. (Registered)		5,719		226
Alcon, Inc. *		15,862		809
Chocoladefabriken Lindt & Spruengli A.G. (Participation Certificate)		38		321
Chocoladefabriken Lindt & Spruengli A.G. (Registered)		4		350
Chubb Ltd.		17,179		1,919
Cie Financiere Richemont S.A. (Registered)		19,671		1,078
Clariant A.G. (Registered) *		7,210		121
Coca-Cola HBC A.G. - CDI *		7,717		166
Garmin Ltd.		5,113		383
Givaudan S.A. (Registered)		346		1,073
Kuehne + Nagel International A.G. (Registered)		2,060		283
Lonza Group A.G. (Registered) *		2,832		1,178
Roche Holding A.G. (Genusschein)		26,685		8,676
SGS S.A. (Registered)		228		529
Sika A.G. (Registered)		4,897		810
Sonova Holding A.G. (Registered)		2,048		370
Swiss Re A.G.		11,227		865
Swisscom A.G. (Registered)		1,018		549
TE Connectivity Ltd.		12,636		796

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
Switzerland – 3.5% – continued
Vifor Pharma A.G.		1,677		$232
Zurich Insurance Group A.G.		5,671		2,013
				23,977
United Arab Emirates – 0.0%
NMC Health PLC		4,900		6
United Kingdom – 5.3%
3i Group PLC		37,185		364
Aon PLC		8,877		1,465
Associated British Foods PLC		13,438		302
Aviva PLC		147,228		489
Barratt Developments PLC		38,787		211
Berkeley Group Holdings (The) PLC		4,456		199
British Land (The) Co. PLC		34,352		143
BT Group PLC		314,650		459
Burberry Group PLC		15,227		249
Capri Holdings Ltd. *		5,385		58
CNH Industrial N.V.		38,509		220
Coca-Cola European Partners PLC		8,851		332
Compass Group PLC		60,365		943
Croda International PLC		4,949		262
easyJet PLC		5,625		40
Ferguson PLC		8,624		539
GlaxoSmithKline PLC		189,600		3,556
IHS Markit Ltd.		14,534		872
Informa PLC		47,101		261
InterContinental Hotels Group PLC		6,529		280
Intertek Group PLC		6,245		365
ITV PLC		140,931		117
J Sainsbury PLC		66,219		172
Johnson Matthey PLC		6,968		155
Kingfisher PLC (OTC Exchange)		82,880		149
Legal & General Group PLC		228,176		546
Liberty Global PLC, Class A *		7,319		121
Liberty Global PLC, Class C *		14,286		224
Linde PLC		20,379		3,526
London Stock Exchange Group PLC		11,969		1,078
Marks & Spencer Group PLC		70,843		87
Meggitt PLC		30,319		110
Mondi PLC		18,366		313
National Grid PLC		132,062		1,548
Next PLC		5,114		258
Pearson PLC		28,882		199
Pentair PLC		6,127		182
Prudential PLC		98,702		1,260

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
United Kingdom – 5.3% – continued
Reckitt Benckiser Group PLC		26,980		$2,071
RELX PLC		73,825		1,583
Rentokil Initial PLC		73,219		351
RSA Insurance Group PLC		39,116		203
Schroders PLC		4,853		149
Segro PLC		42,074		398
Smith & Nephew PLC		32,797		582
Spirax-Sarco Engineering PLC		2,832		286
SSE PLC		39,838		643
Standard Chartered PLC		101,698		561
Standard Life Aberdeen PLC		88,381		245
Taylor Wimpey PLC		122,344		178
TechnipFMC PLC		3,534		24
TechnipFMC PLC (New York Exchange)		12,982		88
Tesco PLC		373,868		1,059
Unilever N.V.		55,866		2,753
Unilever PLC		42,013		2,121
Whitbread PLC		4,948		185
Willis Towers Watson PLC		4,907		833
Wm Morrison Supermarkets PLC		92,985		205
WPP PLC		48,119		328
				36,500
United States – 59.6%
3M Co.		21,851		2,983
AbbVie, Inc.		56,152		4,278
Acuity Brands, Inc.		1,566		134
Adobe, Inc. (NASDAQ Exchange) *		18,370		5,846
Advance Auto Parts, Inc.		2,700		252
AES Corp.		25,424		346
Agilent Technologies, Inc.		11,783		844
Alexandria Real Estate Equities, Inc.		4,387		601
Align Technology, Inc. *		2,844		495
Alliant Energy Corp.		9,222		445
Allstate (The) Corp.		12,253		1,124
Ally Financial, Inc.		14,297		206
Alphabet, Inc., Class A *		11,382		13,225
Alphabet, Inc., Class C *		11,730		13,640
AMERCO		319		93
American Express Co.		26,507		2,269
American Financial Group, Inc.		3,039		213
American International Group, Inc.		32,922		798
American Tower Corp.		16,809		3,660
American Water Works Co., Inc.		6,910		826
Ameriprise Financial, Inc.		4,907		503

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
United States – 59.6% – continued
AmerisourceBergen Corp.		5,862		$519
Amgen, Inc.		22,558		4,573
Apache Corp.		14,117		59
Applied Materials, Inc.		34,994		1,603
Aramark		9,320		186
Arch Capital Group Ltd. *		15,564		443
Arconic, Inc.		14,645		235
Arthur J. Gallagher & Co.		7,066		576
Assurant, Inc.		2,348		244
Autodesk, Inc. (NASDAQ Exchange) *		8,337		1,301
Avery Dennison Corp.		3,119		318
Axalta Coating Systems Ltd. *		7,941		137
Baker Hughes Co.		24,674		259
Ball Corp.		11,794		763
Bank of New York Mellon (The) Corp.		31,368		1,056
Becton Dickinson and Co.		10,273		2,360
Best Buy Co., Inc.		9,207		525
Biogen, Inc. *		6,904		2,184
BioMarin Pharmaceutical, Inc. *		6,707		567
BlackRock, Inc.		4,402		1,937
Booking Holdings, Inc. *		1,594		2,144
BorgWarner, Inc. (New York Exchange)		7,413		181
Boston Properties, Inc.		5,797		535
Bristol-Myers Squibb Co.		89,010		4,961
Bunge Ltd.		5,303		218
C.H. Robinson Worldwide, Inc.		5,054		335
Cadence Design Systems, Inc. *		10,644		703
Camden Property Trust		3,621		287
Campbell Soup Co.		6,322		292
Cardinal Health, Inc.		11,364		545
CarMax, Inc. *		6,078		327
Caterpillar, Inc.		21,387		2,482
Cboe Global Markets, Inc.		4,147		370
CBRE Group, Inc., Class A *		11,998		452
Celanese Corp.		4,544		333
Centene Corp. *		22,166		1,317
CenturyLink, Inc.		37,771		357
Cerner Corp.		11,881		748
Charles Schwab (The) Corp.		43,806		1,473
Cheniere Energy, Inc. *		8,735		293
Cigna Corp.		14,272		2,529
Citizens Financial Group, Inc.		17,396		327
Citrix Systems, Inc.		4,991		706
Clorox (The) Co.		4,841		839

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
United States – 59.6% – continued
CME Group, Inc.		13,605		$2,352
CMS Energy Corp.		10,673		627
Coca-Cola (The) Co.		154,586		6,840
Cognizant Technology Solutions Corp., Class A		20,827		968
Colgate-Palmolive Co.		30,939		2,053
Comerica, Inc.		5,679		167
ConocoPhillips		41,591		1,281
Consolidated Edison, Inc.		12,610		984
Copart, Inc. *		7,961		546
CSX Corp.		28,028		1,606
Cummins, Inc.		5,595		757
Darden Restaurants, Inc.		4,687		255
Deere & Co.		11,364		1,570
Dell Technologies, Inc., Class C *		6,143		243
Delta Air Lines, Inc.		5,973		170
DENTSPLY SIRONA, Inc.		8,276		321
Devon Energy Corp.		15,384		106
DexCom, Inc. *		3,446		928
Discover Financial Services		11,870		423
Discovery, Inc., Class A *		6,347		123
Discovery, Inc., Class C *		13,420		235
Dominion Energy, Inc.		31,197		2,252
Domino’s Pizza, Inc.		1,487		482
Dover Corp.		5,480		460
DTE Energy Co.		7,251		689
Duke Realty Corp.		13,930		451
E *TRADE Financial Corp.		8,610		296
East West Bancorp, Inc.		5,430		140
Eaton Corp. PLC		15,703		1,220
Ecolab, Inc.		9,841		1,534
Edison International		13,605		745
Edwards Lifesciences Corp. *		7,923		1,494
Electronic Arts, Inc. *		11,036		1,105
Equinix, Inc.		3,235		2,020
Equitable Holdings, Inc.		15,890		230
Erie Indemnity Co., Class A		902		134
Estee Lauder (The) Cos., Inc., Class A		8,457		1,348
Eversource Energy		12,242		957
Expedia Group, Inc.		5,337		300
Expeditors International of Washington, Inc.		6,497		433
FactSet Research Systems, Inc.		1,457		380
Fastenal Co.		21,808		682

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
United States – 59.6% – continued
Federal Realty Investment Trust		2,875		$215
Fifth Third Bancorp		27,267		405
First Republic Bank		6,402		527
Flowserve Corp.		5,111		122
Fortune Brands Home & Security, Inc.		5,264		228
Franklin Resources, Inc.		11,306		189
Gap (The), Inc.		7,965		56
General Mills, Inc.		22,985		1,213
Genuine Parts Co.		5,564		375
Gilead Sciences, Inc.		48,052		3,592
Hanesbrands, Inc.		14,365		113
Harley-Davidson, Inc.		6,206		117
Hartford Financial Services Group (The), Inc.		13,569		478
Hasbro, Inc.		5,039		361
HCA Healthcare, Inc.		10,177		914
Healthpeak Properties, Inc.		18,750		447
Henry Schein, Inc. *		5,500		278
Hess Corp.		10,550		351
Hewlett Packard Enterprise Co.		49,096		477
Hilton Worldwide Holdings, Inc.		10,238		699
HollyFrontier Corp.		6,021		148
Hologic, Inc. *		10,228		359
Home Depot (The), Inc.		41,425		7,734
Hormel Foods Corp.		11,010		514
Host Hotels & Resorts, Inc.		27,550		304
HP, Inc.		56,216		976
Humana, Inc.		5,047		1,585
Huntington Bancshares, Inc.		38,285		314
IDEX Corp.		2,925		404
IDEXX Laboratories, Inc. *		3,212		778
Illinois Tool Works, Inc.		12,117		1,722
Intel Corp.		165,806		8,973
Intercontinental Exchange, Inc.		20,944		1,691
International Business Machines Corp.		33,614		3,729
International Flavors & Fragrances, Inc.		3,907		399
International Paper Co.		14,085		438
Intuit, Inc. (NASDAQ Exchange)		9,880		2,272
Invesco Ltd.		15,036		137
IQVIA Holdings, Inc. *		6,238		673
Iron Mountain, Inc.		10,669		254
Jack Henry & Associates, Inc.		2,912		452
Johnson & Johnson		99,914		13,102
Johnson Controls International PLC		29,527		796

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
United States – 59.6% – continued
Jones Lang LaSalle, Inc.		1,908		$193
Kansas City Southern		3,760		478
Kellogg Co.		9,565		574
KeyCorp		37,579		390
Keysight Technologies, Inc. *		7,154		599
Kimberly-Clark Corp.		13,040		1,667
Kinder Morgan, Inc.		77,329		1,076
KKR & Co., Inc., Class A		18,771		441
Kohl’s Corp.		6,054		88
Laboratory Corp. of America Holdings *		3,636		460
Lam Research Corp.		5,499		1,320
Lennox International, Inc.		1,338		243
Liberty Broadband Corp., Class C *		4,005		443
Lincoln National Corp.		7,562		199
LKQ Corp. *		11,678		240
Loews Corp.		10,366		361
Lowe’sCos., Inc.		29,090		2,503
M&T Bank Corp.		4,774		494
ManpowerGroup, Inc.		2,171		115
Marathon Oil Corp.		29,644		98
Marathon Petroleum Corp.		24,710		584
Marsh & McLennan Cos., Inc.		19,124		1,653
Marvell Technology Group Ltd.		24,037		544
Masco Corp.		10,889		376
Mastercard, Inc., Class A		34,029		8,220
McCormick & Co., Inc. (Non Voting)		4,725		667
McDonald’s Corp.		28,594		4,728
Merck & Co., Inc.		96,680		7,439
Mettler-Toledo International, Inc. *		926		639
Microsoft Corp.		275,105		43,387
Mohawk Industries, Inc. *		2,356		180
Moody’s Corp.		6,433		1,361
Mosaic (The) Co.		13,105		142
Motorola Solutions, Inc.		6,517		866
Nasdaq, Inc.		4,258		404
National Oilwell Varco, Inc.		14,781		145
Newell Brands, Inc.		15,358		204
Newmont Corp.		31,503		1,426
Nielsen Holdings PLC		13,634		171
NIKE, Inc., Class B		47,325		3,916
NiSource, Inc.		14,143		353
Noble Energy, Inc.		17,490		106
Nordstrom, Inc.		3,838		59

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.9% (1) – continued
United States – 59.6% – continued
Norfolk Southern Corp.		9,909		$1,447
Northern Trust Corp. (4)		7,645		577
Norwegian Cruise Line Holdings Ltd. *		8,163		89
Nucor Corp.		11,877		428
NVIDIA Corp.		22,067		5,817
NVR, Inc. *		135		347
Occidental Petroleum Corp.		33,958		393
Omnicom Group, Inc.		8,080		444
ONEOK, Inc.		15,657		341
Ovintiv, Inc.		9,743		27
Owens Corning		4,161		162
PACCAR, Inc.		13,185		806
Parker-Hannifin Corp.		4,790		621
People’s United Financial, Inc.		16,945		187
PepsiCo, Inc.		52,950		6,359
Phillips 66		16,746		898
Pinnacle West Capital Corp.		4,462		338
Pioneer Natural Resources Co.		6,247		438
PNC Financial Services Group (The), Inc.		16,641		1,593
PPG Industries, Inc.		8,982		751
Principal Financial Group, Inc.		10,621		333
Procter & Gamble (The) Co.		94,687		10,416
Progressive (The) Corp.		22,108		1,632
Prologis, Inc. (New York Exchange)		27,975		2,248
Prudential Financial, Inc.		15,264		796
Public Service Enterprise Group, Inc.		19,250		865
PVH Corp.		2,793		105
Quest Diagnostics, Inc.		4,953		398
Raymond James Financial, Inc.		4,626		292
Regions Financial Corp.		36,514		328
Reinsurance Group of America, Inc.		2,397		202
ResMed, Inc.		5,494		809
Robert Half International, Inc.		4,395		166
Rockwell Automation, Inc.		4,391		663
Roper Technologies, Inc.		3,955		1,233
Ross Stores, Inc.		13,734		1,194
Royal Caribbean Cruises Ltd.		6,651		214
S&P Global, Inc.		9,261		2,269
salesforce.com, Inc. *		31,626		4,554
SBA Communications Corp.		4,270		1,153
Schlumberger Ltd.		52,580		709
Sempra Energy		10,665		1,205
Sensata Technologies Holding PLC *		5,890		170

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
United States – 59.6% – continued
Sherwin-Williams (The) Co.		3,153		$1,449
Signature Bank		2,099		169
Snap-on, Inc.		2,107		229
Southern (The) Co.		39,690		2,149
Southwest Airlines Co.		4,883		174
Stanley Black & Decker, Inc.		5,667		567
Starbucks Corp.		44,802		2,945
State Street Corp.		13,848		738
STERIS PLC		3,180		445
SVB Financial Group *		1,974		298
T. Rowe Price Group, Inc.		8,992		878
Tapestry, Inc.		11,018		143
Targa Resources Corp.		8,898		62
TD Ameritrade Holding Corp.		10,407		361
Tesla, Inc. *		5,133		2,690
Texas Instruments, Inc.		35,449		3,542
Tiffany & Co.		4,138		536
TJX (The) Cos., Inc.		45,973		2,198
Tractor Supply Co.		4,601		389
TransDigm Group, Inc.		1,826		585
Travelers (The) Cos., Inc.		9,879		981
Trimble, Inc. *		9,087		289
TripAdvisor, Inc.		3,945		69
Truist Financial Corp.		50,938		1,571
UDR, Inc.		10,938		400
Ulta Beauty, Inc. *		2,065		363
Under Armour, Inc., Class A *		6,446		59
Under Armour, Inc., Class C *		8,267		67
Union Pacific Corp.		26,384		3,721
United Parcel Service, Inc., Class B		26,625		2,487
United Rentals, Inc. *		2,856		294
US Bancorp		56,343		1,941
Vail Resorts, Inc.		1,535		227
Valero Energy Corp.		15,590		707
Varian Medical Systems, Inc. *		3,505		360
Verizon Communications, Inc.		157,000		8,436
Vertex Pharmaceuticals, Inc. *		9,766		2,324
VF Corp.		12,852		695
Visa, Inc., Class A		64,960		10,466
VMware, Inc., Class A *		3,136		380
Voya Financial, Inc.		4,966		201
W.W. Grainger, Inc.		1,745		434
WABCO Holdings, Inc. *		1,986		268
Walt Disney (The) Co.		68,441		6,611

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 9% (1) – continued
United States – 59.6% – continued
Waste Management, Inc.		16,135		$1,493
Waters Corp. *		2,439		444
WEC Energy Group, Inc.		11,919		1,050
Welltower, Inc. (New York Exchange)		15,416		706
Western Union (The) Co.		16,040		291
Weyerhaeuser Co.		27,863		472
Whirlpool Corp.		2,423		208
Williams (The) Cos., Inc.		45,695		647
Xcel Energy, Inc.		19,761		1,192
Xylem, Inc.		6,858		447
Zions Bancorp N.A.		6,317		169
Zoetis, Inc.		18,063		2,126
				410,910
Total Common Stocks
(Cost $656,632)				675,535
PREFERRED STOCKS – 0.2% (1)
Germany – 0.2%
Bayerische Motoren Werke A.G., 6.55% (5)		1,704		74
Henkel A.G. & Co. KGaA, 2.52% (5)		6,694		546
Sartorius A.G., 0.32% (5)		1,365		334
				954
Total Preferred Stocks
(Cost $946)				954
INVESTMENT COMPANIES – 1 .0%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (6)(7)		6,851,409		6,851
Total Investment Companies
(Cost $6,851)				6,851
Total Investments – 99.1%
(Cost $664,429)				683,340
Other Assets less Liabilities – 0.9%				6,500
Net Assets – 100.0%				$689,840

(1) Adjustment factors were provided by an independent evaluation service to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

GLOBAL SUSTAINABILITY INDEX FUND continued

(3) Level 3 asset that is worthless, bankrupt or has been delisted.

(4) Investment in affiliate.

(5) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(6) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(7) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

CDI – CREST Depository Interest

PLC – Public Limited Company

REIT – Real Estate Investment Trust

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY

CONTRACTS TO DELIVER CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

IN EXCHANGE FOR CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

SETTLEMENT DATE

UNREALIZED APPRECIATION (DEPRECIATION) (000s)

Citibank

Euro

700

United States Dollar

783

6/17/20

$9

Goldman Sachs

Swedish Krona

179

United States Dollar

18

6/17/20

–*

Subtotal Appreciation

9

BNP

Euro

228

United States Dollar

247

6/17/20

(5)

Citibank

Hong Kong Dollar

624

United States Dollar

80

6/17/20

–*

Citibank

Japanese Yen

31,031

United States Dollar

281

6/17/20

(9)

Citibank

United States Dollar

164

Swiss Franc

155

6/17/20

(2)

JPMorgan Chase

Swiss Franc

325

United States Dollar

333

6/17/20

(6)

JPMorgan Chase

United States Dollar

969

Euro

868

6/17/20

(9)

Morgan Stanley

United States Dollar

28

Australian Dollar

44

6/17/20

(1)

Morgan Stanley

United States Dollar

315

British Pound

251

6/17/20

(2)

Morgan Stanley

United States Dollar

233

Canadian Dollar

324

6/17/20

(2)

Morgan Stanley

United States Dollar

500

Japanese Yen

53,287

6/17/20

(3)

Subtotal Depreciation

(39)

Total

$(30)

* Amount rounds to less than one thousand.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000S)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)(1)
E-Mini S&P 500 (United States Dollar)		70		$8,994		Long		6/20		$ (30)
Euro Stoxx 50 (Euro)		69		2,090		Long		6/20		248

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)(1)
FTSE 100 Index (British Pound)		7		$490		Long		6/20		$41
S&P/TSX 60 Index (Canadian Dollar)		4		463		Long		6/20		(4)
SPI 200 Index (Australian Dollar)		7		550		Long		6/20		16
Topix Index (Japanese Yen)		7		913		Long		6/20		14
Total										$285

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		8.6%
Consumer Discretionary		9.6
Consumer Staples		8.9
Energy		2.8
Financials		13.2
Health Care		14.7
Industrials		10.6
Information Technology		19.9
Materials		4.6
Real Estate		3.2
Utilities		3.9
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		63.4%
Euro		11.0
Japanese Yen		8.5
All other currencies less than 5%		17.1
Total		100.0%

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)			LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Argentina		$ 833			$ –			$–		$ 833
Canada		24,153			–			–		24,153
Ireland		5,939			2,064			–		8,003
New Zealand		96			281			–		377
Switzerland		3,098			20,879			–		23,977
United Kingdom		7,701			28,799			–		36,500
United States		410,910			–			–		410,910
All Other Countries (1)		–			170,782			–		170,782
Total Common Stocks		452,730			222,805			–		675,535
Preferred Stocks (1)		–			954			–		954
Investment Companies		6,851			–			–		6,851
Total Investments		$459,581			$223,759			$–		$683,340
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$ –			$ 9			$–		$9
Futures Contracts		319			–			–		319
Liabilities
Forward Foreign Currency Exchange Contracts		–			(39	)		–		(39	)
Futures Contracts		(34	)		–			–		(34	)
Total Other Financial Instruments		$ 285			$ (30	)		$–		$ 255

(1) Classifications as defined in the Schedule of Investments.    

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.4% (1)
Australia – 5.9%
AGL Energy Ltd.		229,166		$2,454
Alumina Ltd.		919,566		820
AMP Ltd. *		1,274,106		1,039
APA Group		417,468		2,666
Aristocrat Leisure Ltd.		196,395		2,541
ASX Ltd.		69,693		3,361
Aurizon Holdings Ltd.		717,422		1,859
AusNet Services		703,952		744
Australia & New Zealand Banking Group Ltd.		1,003,883		10,827
Bendigo & Adelaide Bank Ltd.		177,023		679
BGP Holdings PLC (2)*		1,085,479		–
BHP Group Ltd.		1,031,255		18,748
BHP Group PLC		752,526		11,639
BlueScope Steel Ltd.		177,412		968
Boral Ltd.		441,723		552
Brambles Ltd.		541,426		3,573
Caltex Australia Ltd.		90,399		1,269
Challenger Ltd.		205,897		524
CIMIC Group Ltd.		31,589		450
Coca-Cola Amatil Ltd.		176,199		974
Cochlear Ltd.		21,024		2,415
Coles Group Ltd.		403,579		3,818
Commonwealth Bank of Australia		619,655		23,406
Computershare Ltd.		174,984		1,038
Crown Resorts Ltd.		144,305		669
CSL Ltd.		159,051		28,852
Dexus		400,742		2,287
Flight Centre Travel Group Ltd.		21,708		132
Fortescue Metals Group Ltd.		498,673		3,046
Goodman Group		562,526		4,297
GPT Group (The)		687,011		1,566
Harvey Norman Holdings Ltd.		219,636		396
Incitec Pivot Ltd.		475,915		606
Insurance Australia Group Ltd.		832,931		3,246
Lendlease Group		205,383		1,292
Macquarie Group Ltd.		117,053		6,373
Magellan Financial Group Ltd.		47,129		1,244
Medibank Pvt Ltd.		999,272		1,631
Mirvac Group (OTC Exchange)		1,400,066		1,853
National Australia Bank Ltd.		1,007,007		10,645
Newcrest Mining Ltd.		269,216		3,783
Oil Search Ltd.		493,070		750
Orica Ltd.		141,701		1,329

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.4% (1) – continued
Australia – 5.9% – continued
Origin Energy Ltd.		597,356		$1,600
Qantas Airways Ltd.		271,567		533
QBE Insurance Group Ltd.		470,294		2,570
Ramsay Health Care Ltd.		57,927		2,029
REA Group Ltd.		13,148		619
Santos Ltd.		639,233		1,386
Scentre Group		1,882,017		1,863
SEEK Ltd.		121,519		1,140
Sonic Healthcare Ltd.		163,311		2,446
South32 Ltd.		1,679,458		1,810
Stockland		834,578		1,337
Suncorp Group Ltd.		451,443		2,523
Sydney Airport		400,656		1,402
Tabcorp Holdings Ltd.		713,960		1,133
Telstra Corp. Ltd.		1,490,721		2,845
TPG Telecom Ltd.		143,960		623
Transurban Group (OTC Exchange)		948,351		6,977
Treasury Wine Estates Ltd.		254,826		1,563
Vicinity Centres		1,147,976		722
Washington H. Soul Pattinson & Co. Ltd.		44,290		461
Wesfarmers Ltd.		396,219		8,532
Westpac Banking Corp.		1,242,433		12,987
WiseTech Global Ltd.		54,387		567
Woodside Petroleum Ltd.		314,717		3,507
Woolworths Group Ltd.		442,093		9,660
Worley Ltd.		120,384		472
				241,668
Austria – 0.2%
ANDRITZ A.G.		27,651		870
Erste Group Bank A.G. *		108,399		2,009
OMV A.G.		51,838		1,433
Raiffeisen Bank International A.G.		56,387		828
Verbund A.G.		25,796		935
voestalpine A.G.		43,928		894
				6,969
Belgium – 0.9%
Ageas		63,651		2,649
Anheuser-Busch InBev S.A./N.V.		267,164		11,864
Colruyt S.A.		20,753		1,125
Galapagos N.V. (OTC Exchange) *		15,856		3,146
Groupe Bruxelles Lambert S.A.		28,497		2,242
KBC Group N.V.		87,856		4,054
Proximus S.A.DP		56,599		1,299

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.4% (1) – continued
Belgium – 0.9% – continued
Solvay S.A., Class A		24,768		$1,807
Telenet Group Holding N.V.		17,703		534
UCB S.A.		44,198		3,838
Umicore S.A.		70,749		2,474
				35,032
Chile – 0.0%
Antofagasta PLC		137,603		1,313
China–0.1%
BeiGene Ltd. ADR *		13,897		1,711
Yangzijiang Shipbuilding Holdings Ltd.		934,766		546
				2,257
Denmark – 2.1%
AP Moller - Maersk A/S, Class A		1,199		995
AP Moller - Maersk A/S, Class B		2,341		2,100
Carlsberg A/S, Class B		36,602		4,155
Chr Hansen Holding A/S		37,297		2,798
Coloplast A/S, Class B		42,087		6,123
Danske Bank A/S		221,568		2,511
Demant A/S *		41,355		918
DSV PANALPINA A/S		74,310		6,766
Genmab A/S *		23,213		4,712
H Lundbeck A/S		26,540		790
ISS A/S		59,577		821
Novo Nordisk A/S, Class B		620,694		37,441
Novozymes A/S, Class B		76,790		3,502
Orsted A/S (3)		66,505		6,531
Pandora A/S		36,541		1,190
Tryg A/S		42,228		1,042
Vestas Wind Systems A/S		67,369		5,484
				87,879
Finland – 1.1%
Elisa OYJ		50,308		3,126
Fortum OYJ		159,745		2,349
Kone OYJ, Class B		119,150		6,763
Metso OYJ		33,950		810
Neste OYJ		148,551		5,032
Nokia OYJ		1,977,255		6,205
Nokian Renkaat OYJ		46,039		1,117
Nordea Bank Abp		1,125,822		6,355
Orion OYJ, Class B		36,553		1,499
Sampo OYJ, Class A		154,324		4,514
Stora Enso OYJ, Class R		206,661		2,098

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.4% (1) – continued
Finland – 1.1% – continued
UPM-Kymmene OYJ		186,275		$5,134
Wartsila OYJ Abp		157,998		1,161
				46,163
France – 10.4%
Accor S.A.		62,578		1,712
Aeroports de Paris		10,748		1,032
Air Liquide S.A.		165,181		21,172
Airbus S.E.		205,175		13,312
Alstom S.A.		67,404		2,821
Amundi S.A. (3)		20,955		1,240
Arkema S.A.		24,915		1,723
Atos S.E.		35,729		2,418
AXA S.A.		682,321		11,816
BioMerieux		14,637		1,652
BNP Paribas S.A.		394,941		11,906
Bollore S.A.		311,796		859
Bollore S.A. (Euronext Paris Exchange) *		2,034		7
Bouygues S.A.		79,996		2,348
Bureau Veritas S.A.		104,920		1,994
Capgemini S.E.		55,850		4,725
Carrefour S.A.		217,074		3,439
Casino Guichard Perrachon S.A.		21,514		830
Cie de Saint-Gobain		172,046		4,183
Cie Generale des Etablissements Michelin S.C.A.		60,347		5,371
CNP Assurances		64,933		636
Covivio		16,422		926
Credit Agricole S.A.		395,154		2,896
Danone S.A.		218,319		14,080
Dassault Aviation S.A.		958		788
Dassault Systemes S.E.		46,343		6,872
Edenred		87,226		3,651
Eiffage S.A.		27,914		1,977
Electricite de France S.A.		223,403		1,762
Engie S.A.		645,672		6,679
EssilorLuxottica S.A. (Euronext Exchange)		99,391		10,723
Eurazeo S.E.		13,777		623
Eurofins Scientific S.E.		4,036		2,001
Eutelsat Communications S.A.		66,181		693
Faurecia S.E.		28,905		865
Gecina S.A.		16,184		2,147
Getlink S.E.		152,270		1,840

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
France – 10.4% – continued
Hermes International		11,032		$7,619
ICADE		10,130		803
Iliad S.A.		5,470		743
Ingenico Group S.A.		21,049		2,237
Ipsen S.A.		14,346		745
JCDecaux S.A.		29,434		534
Kering S.A.		26,609		13,884
Klepierre S.A.		69,098		1,334
Legrand S.A.		93,807		6,028
L’Oreal S.A.		88,593		23,254
LVMH Moet Hennessy Louis Vuitton S.E.		97,702		36,267
Natixis S.A.		360,005		1,171
Orange S.A.		698,754		8,663
Pernod Ricard S.A.		74,569		10,607
Peugeot S.A.		203,607		2,715
Publicis Groupe S.A.		74,283		2,131
Remy Cointreau S.A.		7,704		844
Renault S.A.		69,877		1,357
Safran S.A.		114,854		10,095
Sanofi		396,384		34,898
Sartorius Stedim Biotech		9,752		1,958
Schneider Electric S.E.		194,704		16,764
SCOR S.E.		54,845		1,208
SEB S.A.		8,543		1,066
SES S.A.		121,841		717
Societe Generale S.A.		282,466		4,752
Sodexo S.A.		31,725		2,150
Suez		124,418		1,268
Teleperformance		19,914		4,156
Thales S.A.		37,085		3,113
TOTAL S.A. (OTC Exchange)		844,108		32,734
Ubisoft Entertainment S.A. *		30,846		2,275
Unibail-Rodamco-Westfield		35,099		1,988
Unibail-Rodamco-Westfield - CDI		284,960		744
Valeo S.A.		87,598		1,465
Veolia Environnement S.A.		188,842		4,040
Vinci S.A. (OTC Exchange)		180,291		14,918
Vivendi S.A.		291,348		6,251
Wendel S.E.		10,314		825
Worldline S.A./France (3)*		44,378		2,609
				424,649
Germany – 7.6%
adidas A.G.		63,328		14,568
Allianz S.E. (Registered)		147,214		25,377

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Germany – 7.6% – continued
Aroundtown S.A.		428,260		$2,146
BASF S.E.		320,427		15,487
Bayer A.G. (Registered)		345,267		20,267
Bayerische Motoren Werke A.G.		116,091		6,095
Beiersdorf A.G.		35,363		3,598
Brenntag A.G.		52,058		1,967
Carl Zeiss Meditec A.G. (Bearer)		14,625		1,421
Commerzbank A.G.		364,334		1,325
Continental A.G.		38,003		2,779
Covestro A.G. (3)		61,522		1,911
Daimler A.G. (Registered)		318,197		9,761
Delivery Hero S.E. (3)*		39,926		3,028
Deutsche Bank A.G. (Registered)		701,617		4,713
Deutsche Boerse A.G.		66,600		9,149
Deutsche Lufthansa A.G. (Registered)		78,128		746
Deutsche Post A.G. (Registered)		341,815		9,431
Deutsche Telekom A.G. (Registered)		1,170,639		15,500
Deutsche Wohnen S.E.		126,044		4,816
E.ON S.E.		778,537		8,187
Evonik Industries A.G.		72,967		1,558
Fraport A.G. Frankfurt Airport Services Worldwide		15,023		610
Fresenius Medical Care A.G. & Co. KGaA		74,594		4,976
Fresenius S.E. & Co. KGaA		146,365		5,500
GEA Group A.G.		54,862		1,130
Hannover Rueck S.E.		21,755		3,181
HeidelbergCement A.G.		48,335		2,108
Henkel A.G. & Co. KGaA		37,222		2,805
HOCHTIEF A.G.		9,612		639
Infineon Technologies A.G.		443,180		6,638
KION Group A.G.		24,129		1,060
Knorr-Bremse A.G.		17,654		1,583
LANXESS A.G.		30,218		1,210
Merck KGaA		45,587		4,727
METRO A.G.		65,940		571
MTU Aero Engines A.G.		18,233		2,671
Muenchener Rueckversicherungs-Gesellschaft A.G. in Muenchen (Registered)		50,458		10,200
Puma S.E.		29,347		1,753
RWE A.G.		206,275		5,522
SAP S.E.		345,316		39,661
Siemens A.G. (Registered)		268,344		23,096
Siemens Healthineers A.G. (3)		54,723		2,171

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Germany – 7.6% – continued
Symrise A.G.		44,392		$4,204
Telefonica Deutschland Holding A.G.		346,053		860
thyssenkrupp A.G. *		146,581		781
TUI A.G. - CDI		145,129		650
Uniper S.E.		73,338		1,841
United Internet A.G. (Registered)		37,979		1,139
Volkswagen A.G.		12,004		1,627
Vonovia S.E.		179,864		8,866
Wirecard A.G.		41,142		4,726
Zalando S.E. (3)*		48,823		1,902
				312,238
Hong Kong – 3.5%
AIA Group Ltd.		4,247,486		38,212
ASM Pacific Technology Ltd.		108,200		1,010
Bank of East Asia (The) Ltd.		498,830		1,070
BOC Hong Kong Holdings Ltd.		1,310,108		3,610
Budweiser Brewing Co. APAC Ltd. (3)*		493,500		1,268
CK Asset Holdings Ltd.		896,138		4,875
CK Hutchison Holdings Ltd.		947,138		6,352
CK Infrastructure Holdings Ltd.		231,353		1,225
CLP Holdings Ltd.		576,014		5,295
Dairy Farm International Holdings Ltd.		126,500		582
Galaxy Entertainment Group Ltd.		770,148		4,079
Hang Lung Properties Ltd.		667,501		1,350
Hang Seng Bank Ltd.		263,479		4,489
Henderson Land Development Co. Ltd.		528,929		2,009
HK Electric Investments & HK Electric Investments Ltd.		954,727		917
HKT Trust & HKT Ltd.		1,319,220		1,791
Hong Kong & China Gas Co. Ltd.		3,545,411		5,830
Hong Kong Exchanges & Clearing Ltd.		419,796		12,607
Hongkong Land Holdings Ltd.		417,000		1,560
Jardine Matheson Holdings Ltd.		78,000		3,902
Jardine Strategic Holdings Ltd.		76,500		1,693
Kerry Properties Ltd.		233,703		614
Link REIT		736,571		6,222
Melco Resorts & Entertainment Ltd. ADR		80,454		998
MTR Corp. Ltd.		540,136		2,781
New World Development Co. Ltd.		2,147,447		2,300
NWS Holdings Ltd.		591,011		605
PCCW Ltd.		1,266,926		696
Power Assets Holdings Ltd.		498,817		2,972
Sino Land Co. Ltd.		1,010,174		1,278
SJM Holdings Ltd.		729,572		612

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Hong Kong – 3.5% – continued
Sun Hung Kai Properties Ltd.		562,258		$7,382
Swire Pacific Ltd., Class A		178,551		1,144
Swire Properties Ltd.		442,187		1,241
Techtronic Industries Co. Ltd.		473,333		3,049
Vitasoy International Holdings Ltd.		260,000		785
WH Group Ltd. (3)		3,418,213		3,174
Wharf Real Estate Investment Co. Ltd.		434,766		1,782
Wheelock & Co. Ltd.		296,021		2,011
Yue Yuen Industrial Holdings Ltd.		239,210		364
				143,736
Ireland – 0.9%
AerCap Holdings N.V. *		44,830		1,022
AIB Group PLC *		318,193		357
Bank of Ireland Group PLC		347,430		656
CRH PLC		274,935		7,494
DCC PLC		35,669		2,249
Experian PLC		315,388		8,780
Flutter Entertainment PLC		27,033		2,451
Irish Bank Resolution Corp. Ltd. (2)*		99,788		–
James Hardie Industries PLC - CDI		161,585		1,885
Kerry Group PLC, Class A		55,360		6,347
Kingspan Group PLC		54,688		2,928
Smurfit Kappa Group PLC		81,155		2,288
				36,457
Isle of Man – 0.0%
GVC Holdings PLC		211,512		1,468
Israel – 0.6%
Azrieli Group Ltd.		14,606		845
Bank Hapoalim B.M.		403,802		2,427
Bank Leumi Le-Israel B.M.		485,517		2,684
Check Point Software Technologies Ltd. *		43,232		4,346
CyberArk Software Ltd. *		13,195		1,129
Elbit Systems Ltd.		8,799		1,147
Isracard Ltd.(4)		1		–
Israel Chemicals Ltd.		263,620		837
Israel Discount Bank Ltd., Class A		425,723		1,261
Mizrahi Tefahot Bank Ltd.		51,423		961
Nice Ltd. *		21,494		3,112
Teva Pharmaceutical Industries Ltd. ADR *		388,491		3,489
Wix.com Ltd. *		17,780		1,793
				24,031

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Italy – 1.9%
Assicurazioni Generali S.p.A.		392,551		$5,348
Atlantia S.p.A. (OTC Exchange)		172,622		2,164
Davide Campari-Milano S.p.A.		198,259		1,426
Enel S.p.A.		2,846,487		19,813
Eni S.p.A.		890,495		9,003
Ferrari N.V.		19,163		2,978
Ferrari N.V. (New York Exchange)		23,010		3,511
FinecoBank Banca Fineco S.p.A.		212,437		1,930
Intesa Sanpaolo S.p.A.		5,175,598		8,448
Leonardo S.p.A.		152,678		1,016
Mediobanca Banca di Credito Finanziario S.p.A.		222,692		1,228
Moncler S.p.A.		65,082		2,376
Pirelli & C S.p.A. (3)		156,415		560
Poste Italiane S.p.A. (3)		182,857		1,549
Prysmian S.p.A.		87,948		1,408
Recordati S.p.A.		36,796		1,559
Snam S.p.A.		722,959		3,339
Telecom Italia S.p.A. *		3,095,873		1,266
Telecom Italia S.p.A. (RSP)		2,256,507		893
Tenaris S.A.		179,248		1,096
Terna Rete Elettrica Nazionale S.p.A.		473,020		2,998
UniCredit S.p.A.		710,578		5,564
				79,473
Japan – 25.7%
ABC-Mart, Inc.		10,800		542
Acom Co. Ltd.		127,500		518
Advantest Corp.		70,100		2,811
Aeon Co. Ltd.		230,900		5,132
AEON Financial Service Co. Ltd.		44,100		472
Aeon Mall Co. Ltd.		38,480		485
AGC, Inc.		64,000		1,573
Air Water, Inc.		58,469		805
Aisin Seiki Co. Ltd.		56,800		1,399
Ajinomoto Co., Inc.		152,100		2,834
Alfresa Holdings Corp.		65,400		1,220
Alps Alpine Co. Ltd.		80,400		779
Amada Holdings Co. Ltd.		115,400		911
ANA Holdings, Inc.		40,200		982
Aozora Bank Ltd.		44,500		848
Asahi Group Holdings Ltd.		128,200		4,163
Asahi Intecc Co. Ltd.		67,200		1,664
Asahi Kasei Corp.		444,300		3,140
Astellas Pharma, Inc.		662,100		10,249

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Bandai Namco Holdings, Inc.		69,200		$3,358
Bank of Kyoto (The) Ltd.		17,094		544
Benesse Holdings, Inc.		23,200		591
Bridgestone Corp.		202,500		6,232
Brother Industries Ltd.		79,000		1,208
Calbee, Inc.		28,100		761
Canon, Inc.		352,300		7,694
Casio Computer Co. Ltd.		73,700		1,034
Central Japan Railway Co.		50,300		8,063
Chiba Bank (The) Ltd.		207,600		908
Chubu Electric Power Co., Inc.		230,800		3,254
Chugai Pharmaceutical Co. Ltd.		79,455		9,197
Chugoku Electric Power (The) Co., Inc.		93,500		1,309
Coca-Cola Bottlers Japan Holdings, Inc.		46,200		949
Concordia Financial Group Ltd.		357,900		1,043
Credit Saison Co. Ltd.		53,600		622
CyberAgent, Inc.		35,300		1,370
Dai Nippon Printing Co. Ltd.		85,900		1,830
Daicel Corp.		70,300		513
Daifuku Co. Ltd.		36,800		2,332
Dai-ichi Life Holdings, Inc.		377,700		4,520
Daiichi Sankyo Co. Ltd.		199,300		13,712
Daikin Industries Ltd.		88,300		10,768
Daito Trust Construction Co. Ltd.		25,300		2,360
Daiwa House Industry Co. Ltd.		195,700		4,847
Daiwa House REIT Investment Corp.		715		1,747
Daiwa Securities Group, Inc.		541,900		2,102
Denso Corp.		150,200		4,852
Dentsu Group, Inc.		75,518		1,456
Disco Corp.		9,600		1,895
East Japan Railway Co.		107,412		8,139
Eisai Co. Ltd.		88,500		6,496
Electric Power Development Co. Ltd.		53,300		1,076
FamilyMart Co. Ltd.		89,400		1,601
FANUC Corp.		68,000		9,221
Fast Retailing Co. Ltd.		20,400		8,336
Fuji Electric Co. Ltd.		45,900		1,038
FUJIFILM Holdings Corp.		127,600		6,405
Fujitsu Ltd.		68,700		6,199
Fukuoka Financial Group, Inc.		58,400		773
GMO Payment Gateway, Inc.		14,100		989
Hakuhodo DY Holdings, Inc.		88,900		897
Hamamatsu Photonics K.K.		50,370		2,062
Hankyu Hanshin Holdings, Inc.		82,100		2,764

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Hikari Tsushin, Inc.		7,200		$1,208
Hino Motors Ltd.		100,900		542
Hirose Electric Co. Ltd.		11,628		1,206
Hisamitsu Pharmaceutical Co., Inc.		16,700		779
Hitachi Chemical Co. Ltd.		36,300		1,547
Hitachi Construction Machinery Co. Ltd.		40,300		815
Hitachi High-Technologies Corp.		23,500		1,744
Hitachi Ltd.		339,600		9,886
Hitachi Metals Ltd.		77,000		811
Honda Motor Co. Ltd.		570,900		12,839
Hoshizaki Corp.		18,800		1,413
Hoya Corp.		133,900		11,389
Hulic Co. Ltd.		115,800		1,176
Idemitsu Kosan Co. Ltd.		69,388		1,591
IHI Corp.		55,200		644
Iida Group Holdings Co. Ltd.		50,064		693
Inpex Corp.		367,400		2,065
Isetan Mitsukoshi Holdings Ltd.		122,360		713
Isuzu Motors Ltd.		194,300		1,286
ITOCHU Corp.		475,600		9,868
Itochu Techno-Solutions Corp.		33,800		964
J Front Retailing Co. Ltd.		75,200		625
Japan Airlines Co. Ltd.		37,900		697
Japan Airport Terminal Co. Ltd.		18,000		695
Japan Exchange Group, Inc.		180,600		3,191
Japan Post Bank Co. Ltd.		141,000		1,303
Japan Post Holdings Co. Ltd.		545,100		4,271
Japan Post Insurance Co. Ltd.		76,300		946
Japan Prime Realty Investment Corp.		275		826
Japan Real Estate Investment Corp.		477		2,796
Japan Retail Fund Investment Corp.		888		1,003
Japan Tobacco, Inc.		417,200		7,723
JFE Holdings, Inc.		176,200		1,147
JGC Holdings Corp.		78,500		630
JSR Corp.		66,800		1,230
JTEKT Corp.		81,800		555
JXTG Holdings, Inc.		1,067,797		3,660
Kajima Corp.		151,700		1,557
Kakaku.com, Inc.		49,100		901
Kamigumi Co. Ltd.		42,200		714
Kansai Electric Power (The) Co., Inc.		247,400		2,760
Kansai Paint Co. Ltd.		65,400		1,247
Kao Corp.		168,800		13,821

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Kawasaki Heavy Industries Ltd.		50,200		$728
KDDI Corp.		620,500		18,341
Keihan Holdings Co. Ltd.		35,100		1,562
Keikyu Corp.		78,500		1,323
Keio Corp.		36,100		2,137
Keisei Electric Railway Co. Ltd.		48,100		1,389
Keyence Corp.		63,856		20,607
Kikkoman Corp.		50,600		2,155
Kintetsu Group Holdings Co. Ltd.		62,100		2,879
Kirin Holdings Co. Ltd.		293,200		5,807
Kobayashi Pharmaceutical Co. Ltd.		17,100		1,585
Koito Manufacturing Co. Ltd.		36,214		1,226
Komatsu Ltd.		325,200		5,351
Konami Holdings Corp.		31,800		975
Konica Minolta, Inc.		169,100		687
Kose Corp.		12,000		1,479
Kubota Corp.		371,000		4,746
Kuraray Co. Ltd.		114,900		1,161
Kurita Water Industries Ltd.		34,200		790
Kyocera Corp.		113,300		6,719
Kyowa Kirin Co. Ltd.		86,500		1,940
Kyushu Electric Power Co., Inc.		142,900		1,151
Kyushu Railway Co.		54,300		1,561
Lawson, Inc.		18,700		1,029
LINE Corp. *		21,200		1,024
Lion Corp.		77,500		1,663
LIXIL Group Corp.		91,400		1,137
M3, Inc.		153,400		4,533
Makita Corp.		79,200		2,428
Marubeni Corp.		528,500		2,635
Marui Group Co. Ltd.		67,900		1,140
Maruichi Steel Tube Ltd.		17,300		417
Mazda Motor Corp.		194,700		1,030
McDonald’s Holdings Co. Japan Ltd.		25,300		1,143
Mebuki Financial Group, Inc.		326,210		665
Medipal Holdings Corp.		65,500		1,224
MEIJI Holdings Co. Ltd.		40,326		2,873
Mercari, Inc. *		28,900		561
MINEBEA MITSUMI, Inc.		130,600		1,947
MISUMI Group, Inc.		97,900		2,135
Mitsubishi Chemical Holdings Corp.		458,500		2,728
Mitsubishi Corp.		471,100		9,999
Mitsubishi Electric Corp.		636,200		7,852
Mitsubishi Estate Co. Ltd.		414,200		6,106

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Mitsubishi Gas Chemical Co., Inc.		62,100		$675
Mitsubishi Heavy Industries Ltd.		107,800		2,726
Mitsubishi Materials Corp.		40,000		820
Mitsubishi Motors Corp.		250,700		710
Mitsubishi UFJ Financial Group, Inc.		4,299,295		16,039
Mitsubishi UFJ Lease & Finance Co. Ltd.		157,200		773
Mitsui & Co. Ltd.		565,500		7,877
Mitsui Chemicals, Inc.		66,100		1,254
Mitsui Fudosan Co. Ltd.		304,900		5,274
Mitsui OSK Lines Ltd.		39,900		644
Mizuho Financial Group, Inc.		8,552,589		9,788
MonotaRO Co. Ltd.		43,300		1,151
MS&AD Insurance Group Holdings, Inc.		171,343		4,799
Murata Manufacturing Co. Ltd.		200,591		10,153
Nabtesco Corp.		36,999		853
Nagoya Railroad Co. Ltd.		68,400		1,921
NEC Corp.		86,200		3,145
Nexon Co. Ltd.		180,000		2,944
NGK Insulators Ltd.		91,800		1,203
NGK Spark Plug Co. Ltd.		54,900		773
NH Foods Ltd.		31,300		1,091
Nidec Corp.		155,800		8,082
Nikon Corp.		108,900		1,006
Nintendo Co. Ltd.		39,500		15,235
Nippon Building Fund, Inc.		490		3,292
Nippon Express Co. Ltd.		26,700		1,307
Nippon Paint Holdings Co. Ltd.		53,200		2,804
Nippon Prologis REIT, Inc.		741		1,867
Nippon Shinyaku Co. Ltd.		15,600		1,226
Nippon Steel Corp.		270,461		2,317
Nippon Telegraph & Telephone Corp.		457,012		10,845
Nippon Yusen K.K.		50,900		605
Nissan Chemical Corp.		46,200		1,683
Nissan Motor Co. Ltd.		805,800		2,660
Nisshin Seifun Group, Inc.		65,705		1,097
Nissin Foods Holdings Co. Ltd.		23,300		1,945
Nitori Holdings Co. Ltd.		27,600		3,731
Nitto Denko Corp.		56,400		2,518
Nomura Holdings, Inc.		1,185,000		5,020
Nomura Real Estate Holdings, Inc.		45,100		732
Nomura Real Estate Master Fund, Inc.		1,409		1,778
Nomura Research Institute Ltd.		117,422		2,481
NSK Ltd.		119,600		767

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
NTT Data Corp.		228,200		$2,195
NTT DOCOMO, Inc.		473,700		14,891
Obayashi Corp.		234,100		2,005
Obic Co. Ltd.		23,500		3,070
Odakyu Electric Railway Co. Ltd.		107,700		2,367
Oji Holdings Corp.		299,700		1,607
Olympus Corp.		409,300		5,907
Omron Corp.		66,400		3,454
Ono Pharmaceutical Co. Ltd.		128,300		2,953
Oracle Corp. Japan		13,700		1,196
Oriental Land Co. Ltd.		70,600		9,035
ORIX Corp.		458,500		5,514
Orix JREIT, Inc.		815		1,070
Osaka Gas Co. Ltd.		132,400		2,499
Otsuka Corp.		37,900		1,622
Otsuka Holdings Co. Ltd.		135,015		5,286
Pan Pacific International Holdings Corp.		161,200		3,061
Panasonic Corp.		761,700		5,815
Park24 Co. Ltd.		41,400		606
PeptiDream, Inc. *		34,000		1,187
Persol Holdings Co. Ltd.		64,300		646
Pigeon Corp.		40,500		1,554
Pola Orbis Holdings, Inc.		28,800		532
Rakuten, Inc.		312,300		2,369
Recruit Holdings Co. Ltd.		476,100		12,294
Renesas Electronics Corp. *		265,400		953
Resona Holdings, Inc.		749,410		2,255
Ricoh Co. Ltd.		232,400		1,707
Rinnai Corp.		11,600		822
Rohm Co. Ltd.		33,700		1,845
Ryohin Keikaku Co. Ltd.		81,700		917
Sankyo Co. Ltd.		16,600		484
Santen Pharmaceutical Co. Ltd.		123,800		2,132
SBI Holdings, Inc.		81,760		1,193
Secom Co. Ltd.		74,800		6,219
Sega Sammy Holdings, Inc.		58,500		712
Seibu Holdings, Inc.		61,400		676
Seiko Epson Corp.		99,900		1,081
Sekisui Chemical Co. Ltd.		130,500		1,731
Sekisui House Ltd.		219,700		3,631
Seven & i Holdings Co. Ltd.		264,400		8,731
Seven Bank Ltd.		152,100		393
SG Holdings Co. Ltd.		52,000		1,240
Sharp Corp.		79,600		834

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Shimadzu Corp.		80,500		$2,119
Shimamura Co. Ltd.		8,600		519
Shimano, Inc.		25,500		3,652
Shimizu Corp.		203,700		1,593
Shin-Etsu Chemical Co. Ltd.		124,400		12,329
Shinsei Bank Ltd.		72,300		965
Shionogi & Co. Ltd.		96,100		4,729
Shiseido Co. Ltd.		140,600		8,305
Shizuoka Bank (The) Ltd.		160,900		979
Showa Denko K.K.		51,500		1,065
SMC Corp.		20,100		8,580
Softbank Corp.		583,800		7,431
SoftBank Group Corp.		551,200		19,301
Sohgo Security Services Co. Ltd.		23,300		1,135
Sompo Holdings, Inc.		118,545		3,667
Sony Corp.		447,000		26,571
Sony Financial Holdings, Inc.		51,800		876
Square Enix Holdings Co. Ltd.		31,600		1,412
Stanley Electric Co. Ltd.		46,200		910
Subaru Corp.		214,800		4,124
SUMCO Corp.		89,600		1,152
Sumitomo Chemical Co. Ltd.		542,800		1,611
Sumitomo Corp.		418,700		4,801
Sumitomo Dainippon Pharma Co. Ltd.		56,600		734
Sumitomo Electric Industries Ltd.		273,400		2,876
Sumitomo Heavy Industries Ltd.		36,200		653
Sumitomo Metal Mining Co. Ltd.		82,400		1,690
Sumitomo Mitsui Financial Group, Inc.		461,742		11,219
Sumitomo Mitsui Trust Holdings, Inc.		114,119		3,297
Sumitomo Realty & Development Co. Ltd.		118,000		2,876
Sumitomo Rubber Industries Ltd.		55,700		526
Sundrug Co. Ltd.		24,900		799
Suntory Beverage & Food Ltd.		49,200		1,862
Suzuken Co. Ltd.		23,436		854
Suzuki Motor Corp.		132,800		3,178
Sysmex Corp.		59,998		4,338
T&D Holdings, Inc.		188,800		1,541
Taiheiyo Cement Corp.		45,100		771
Taisei Corp.		71,900		2,198
Taisho Pharmaceutical Holdings Co. Ltd.		11,900		732
Taiyo Nippon Sanso Corp.		44,200		655
Takeda Pharmaceutical Co. Ltd.		526,366		16,108

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
TDK Corp.		45,000		$3,482
Teijin Ltd.		60,200		1,020
Terumo Corp.		226,200		7,779
THK Co. Ltd.		42,700		872
Tobu Railway Co. Ltd.		65,600		2,293
Toho Co. Ltd.		39,000		1,192
Toho Gas Co. Ltd.		28,000		1,279
Tohoku Electric Power Co., Inc.		149,100		1,439
Tokio Marine Holdings, Inc.		226,100		10,370
Tokyo Century Corp.		13,100		410
Tokyo Electric Power Co. Holdings, Inc. *		524,600		1,833
Tokyo Electron Ltd.		55,300		10,399
Tokyo Gas Co. Ltd.		130,500		3,092
Tokyu Corp.		179,000		2,820
Tokyu Fudosan Holdings Corp.		203,000		972
Toppan Printing Co. Ltd.		100,300		1,537
Toray Industries, Inc.		497,100		2,156
Toshiba Corp.		132,800		2,924
Tosoh Corp.		95,500		1,087
TOTO Ltd.		50,600		1,684
Toyo Seikan Group Holdings Ltd.		56,400		644
Toyo Suisan Kaisha Ltd.		29,600		1,433
Toyoda Gosei Co. Ltd.		24,800		425
Toyota Industries Corp.		52,400		2,514
Toyota Motor Corp.		802,944		48,339
Toyota Tsusho Corp.		75,200		1,770
Trend Micro, Inc.		43,500		2,149
Tsuruha Holdings, Inc.		12,600		1,666
Unicharm Corp.		143,900		5,403
United Urban Investment Corp.		1,079		1,071
USS Co. Ltd.		78,000		1,074
Welcia Holdings Co. Ltd.		17,700		1,246
West Japan Railway Co.		57,500		3,938
Yakult Honsha Co. Ltd.		41,400		2,452
Yamada Denki Co. Ltd.		214,490		856
Yamaha Corp.		50,800		1,980
Yamaha Motor Co. Ltd.		97,000		1,172
Yamato Holdings Co. Ltd.		104,000		1,632
Yamazaki Baking Co. Ltd.		39,405		825
YaskawaElectricCorp.		86,800		2,385
Yokogawa Electric Corp.		77,900		938
Yokohama Rubber (The) Co. Ltd.		39,000		484

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 75 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Japan – 25.7% – continued
Z Holdings Corp.		935,000		$3,007
ZOZO, Inc.		36,500		490
				1,052,807
Macau – 0.1%
Sands China Ltd.		826,299		3,007
Wynn Macau Ltd.		522,546		791
				3,798
Netherlands – 4.7%
ABN AMRO Bank N.V. - C.V.A. (3)		142,194		1,167
Adyen N.V. (3)*		3,788		3,206
Aegon N.V.		590,798		1,499
Akzo Nobel N.V.		70,472		4,646
Altice Europe N.V. *		222,642		861
ArcelorMittal S.A.		241,646		2,290
ASML Holding N.V.		149,259		39,667
EXOR N.V.		39,368		2,028
Heineken Holding N.V.		41,412		3,178
Heineken N.V.		89,362		7,479
ING Groep N.V. (OTC Exchange)		1,359,206		7,120
Just Eat Takeaway.com N.V. *		41,094		3,098
Koninklijke Ahold Delhaize N.V.		384,751		9,004
Koninklijke DSM N.V.		63,714		7,240
Koninklijke KPN N.V.		1,284,870		3,073
Koninklijke Philips N.V.		318,937		12,909
Koninklijke Vopak N.V.		26,423		1,378
NN Group N.V.		110,242		2,978
NXP Semiconductors N.V.		98,500		8,169
Prosus N.V. *		171,438		11,879
QIAGEN N.V. *		79,332		3,219
Randstad N.V.		43,120		1,523
Royal Dutch Shell PLC, Class A		1,472,741		25,773
Royal Dutch Shell PLC, Class B		1,310,931		21,980
Wolters Kluwer N.V.		96,430		6,856
				192,220
New Zealand – 0.3%
a2 Milk Co. Ltd. *		267,882		2,709
Auckland International Airport Ltd.		343,308		1,012
Fisher & Paykel Healthcare Corp. Ltd.		198,777		3,603
Fletcher Building Ltd.		325,073		675
Mercury NZ Ltd.		254,424		637
Meridian Energy Ltd.		445,269		1,054

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
New Zealand – 0.3% – continued
Ryman Healthcare Ltd.		153,146		$941
Spark New Zealand Ltd.		662,259		1,614
				12,245
Norway – 0.5%
Aker BP ASA		33,122		422
DNB ASA		331,635		3,719
Equinor ASA		353,885		4,458
Gjensidige Forsikring ASA *		68,412		1,171
Mowi ASA		151,227		2,305
Norsk Hydro ASA		460,782		1,001
Orkla ASA		266,548		2,281
Schibsted ASA, Class B		36,657		651
Telenor ASA		256,415		3,757
Yara International ASA		62,054		1,963
				21,728
Portugal – 0.2%
Banco Espirito Santo S.A. (Registered) (2)*		882,815		–
EDP - Energias de Portugal S.A.		907,246		3,646
Galp Energia SGPS S.A.		178,703		2,040
Jeronimo Martins SGPS S.A.		91,249		1,650
				7,336
Russia – 0.0%
Evraz PLC		195,898		559
Singapore – 1.2%
Ascendas Real Estate Investment Trust		890,375		1,774
CapitaLand Commercial Trust		985,836		1,062
CapitaLand Ltd.		903,450		1,803
CapitaLand Mall Trust		900,300		1,135
City Developments Ltd.		156,800		795
ComfortDelGro Corp. Ltd.		749,400		802
DBS Group Holdings Ltd.		631,470		8,257
Genting Singapore Ltd.		2,098,480		1,020
Jardine Cycle & Carriage Ltd.		38,773		537
Keppel Corp. Ltd.		507,950		1,892
Mapletree Commercial Trust		743,400		958
Oversea-Chinese Banking Corp. Ltd.		1,183,428		7,199
SATS Ltd.		211,600		471
Sembcorp Industries Ltd.		380,644		413
Singapore Airlines Ltd.		204,134		825
Singapore Exchange Ltd.		275,800		1,776
Singapore Press Holdings Ltd.		533,895		688

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Singapore – 1.2% – continued
Singapore Technologies Engineering Ltd.		557,600		$1,225
Singapore Telecommunications Ltd.		2,843,625		5,085
Suntec Real Estate Investment Trust		746,400		657
United Overseas Bank Ltd.		439,449		6,018
UOL Group Ltd.		174,180		802
Venture Corp. Ltd.		104,200		990
Wilmar International Ltd.		644,800		1,458
				47,642
Spain – 2.5%
ACS Actividades de Construccion y Servicios S.A.		88,400		1,727
Aena S.M.E. S.A.(3)		24,131		2,633
Amadeus IT Group S.A.		152,650		7,240
Banco Bilbao Vizcaya Argentaria S.A.		2,330,040		7,449
Banco de Sabadell S.A.		2,043,819		1,050
Banco Santander S.A.		5,810,426		14,142
Bankia S.A.		460,031		514
Bankinter S.A.		243,616		894
CaixaBank S.A. (OTC Exchange)		1,292,873		2,411
Cellnex Telecom S.A. (3)*		86,860		3,954
Enagas S.A.		87,657		1,744
Endesa S.A.		109,545		2,345
Ferrovial S.A.		173,806		4,174
Grifols S.A.		107,676		3,667
Iberdrola S.A.		2,161,112		21,339
Industria de Diseno Textil S.A.		382,921		9,941
Mapfre S.A.		410,543		702
Naturgy Energy Group S.A.		102,985		1,823
Red Electrica Corp. S.A.		153,792		2,769
Repsol S.A.		496,167		4,528
Siemens Gamesa Renewable Energy S.A.		82,511		1,242
Telefonica S.A.		1,639,861		7,528
				103,816
Sweden – 2.5%
Alfa Laval AB		109,874		1,904
Assa Abloy AB, Class B		354,601		6,704
Atlas Copco AB, Class A		240,969		8,099
Atlas Copco AB, Class B		134,232		3,958
Boliden AB		99,327		1,811
Electrolux AB, Class B		81,830		1,019
Epiroc AB, Class A		233,757		2,317
Epiroc AB, Class B		145,621		1,444

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Sweden – 2.5% – continued
Essity AB, Class B		211,322		$6,517
Hennes & Mauritz AB, Class B		285,965		3,680
Hexagon AB, Class B		89,826		3,831
Husqvarna AB, Class B		121,168		609
ICA Gruppen AB		32,761		1,381
Industrivarden AB, Class C		60,369		1,179
Investor AB, Class B		159,419		7,332
Kinnevik AB, Class B		88,096		1,464
L E Lundbergforetagen AB, Class B		27,563		1,130
Lundin Petroleum AB		64,552		1,236
Millicom International Cellular S.A. SDR		31,981		901
Sandvik AB		391,177		5,555
Securitas AB, Class B		107,947		1,168
Skandinaviska Enskilda Banken AB, Class A *		570,355		3,858
Skanska AB, Class B *		116,856		1,781
SKF AB, Class B		135,773		1,868
Svenska Handelsbanken AB, Class A *		541,727		4,537
Swedbank AB, Class A		321,887		3,594
Swedish Match AB		60,284		3,448
Tele2 AB, Class B		166,851		2,242
Telefonaktiebolaget LM Ericsson, Class B		1,086,581		8,868
Telia Co. AB		976,207		3,512
Volvo AB, Class B		521,085		6,266
				103,213
Switzerland – 10.8%
ABB Ltd. (Registered)		651,062		11,447
Adecco Group A.G. (Registered)		55,494		2,190
Alcon, Inc. *		145,265		7,413
Baloise Holding A.G. (Registered)		16,748		2,198
Barry Callebaut A.G. (Registered)		1,088		2,188
Chocoladefabriken Lindt & Spruengli A.G. (Participation Certificate)		376		3,177
Chocoladefabriken Lindt & Spruengli A.G. (Registered)		36		3,149
Cie Financiere Richemont S.A.
(Registered)		183,359		10,049
Clariant A.G. (Registered) *		72,258		1,215
Coca-Cola HBC A.G. - CDI *		73,119		1,572
Credit Suisse Group A.G. (Registered) *		903,612		7,461
Dufry A.G. (Registered) *		14,702		456
EMS-Chemie Holding A.G. (Registered)		2,917		1,836
Geberit A.G. (Registered)		12,844		5,666

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 77 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
Switzerland – 10.8% – continued
Givaudan S.A. (Registered)		3,256		$10,095
Glencore PLC *		3,765,891		5,748
Julius Baer Group Ltd. *		77,093		2,632
Kuehne + Nagel International A.G. (Registered)		19,305		2,653
LafargeHolcim Ltd. (Registered) (Euronext Exchange) *		118,320		4,325
LafargeHolcim Ltd. (Registered) (Euronext Paris Exchange) *		53,665		1,943
Lonza Group A.G. (Registered) *		26,186		10,895
Nestle S.A. (Registered)		1,046,688		107,880
Novartis A.G. (Registered)		755,570		62,444
Pargesa Holding S.A. (Bearer)		12,977		861
Partners Group Holding A.G.		6,518		4,508
Roche Holding A.G. (Genusschein)		247,099		80,335
Schindler Holding A.G. (Participation Certificate)		14,618		3,213
Schindler Holding A.G. (Registered)		7,095		1,501
SGS S.A. (Registered)		2,160		5,010
Sika A.G. (Registered)		44,542		7,370
Sonova Holding A.G. (Registered)		19,524		3,525
STMicroelectronics N.V.		239,607		5,215
Straumann Holding A.G. (Registered)		3,588		2,674
Swatch Group (The) A.G. (Bearer)		10,242		2,047
Swatch Group (The) A.G. (Registered)		17,903		705
Swiss Life Holding A.G. (Registered)		11,713		3,988
Swiss Prime Site A.G. (Registered)		26,375		2,589
Swiss Re A.G.		103,202		7,957
Swisscom A.G. (Registered)		9,270		4,998
Temenos A.G. (Registered) *		22,493		2,949
UBS Group A.G. (Registered)		1,357,893		12,692
Vifor Pharma A.G.		16,173		2,238
Zurich Insurance Group A.G.		52,912		18,782
				441,789
United Arab Emirates – 0.0%
NMC Health PLC		46,453		61
United Kingdom – 13.7%
3i Group PLC		333,395		3,263
Admiral Group PLC		66,413		1,833
Anglo American PLC		360,689		6,303
Ashtead Group PLC		162,970		3,620
Associated British Foods PLC		123,394		2,769
AstraZeneca PLC		461,244		41,202
Auto Trader Group PLC(3)		325,980		1,772

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97. 4% (1) – continued
United Kingdom – 13.7% – continued
AVEVA Group PLC		24,420		$1,054
Aviva PLC		1,351,674		4,487
BAE Systems PLC		1,121,421		7,236
Barclays PLC		6,028,343		7,004
Barratt Developments PLC		371,922		2,027
Berkeley Group Holdings (The) PLC		43,496		1,944
BP PLC		7,127,862		30,323
British American Tobacco PLC		805,420		27,504
British Land (The) Co. PLC		321,871		1,339
BT Group PLC		3,004,177		4,382
Bunzl PLC		119,747		2,414
Burberry Group PLC		139,609		2,284
Centrica PLC		2,157,544		1,015
CNH Industrial N.V.		361,531		2,069
Coca-Cola European Partners PLC		82,874		3,110
Compass Group PLC		555,880		8,685
Croda International PLC		46,629		2,466
Diageo PLC		821,664		26,317
Direct Line Insurance Group PLC		502,484		1,839
easyJet PLC		57,754		416
Ferguson PLC		80,821		5,054
Fiat Chrysler Automobiles N.V.		126,454		911
Fiat Chrysler Automobiles N.V. (New York Exchange)		246,814		1,775
G4S PLC		585,470		668
GlaxoSmithKline PLC		1,753,172		32,885
Halma PLC		131,312		3,120
Hargreaves Lansdown PLC		118,616		2,032
HSBC Holdings PLC		7,142,516		40,223
Imperial Brands PLC		334,734		6,205
Informa PLC		423,304		2,348
InterContinental Hotels Group PLC		61,933		2,652
Intertek Group PLC		55,706		3,256
ITV PLC		1,310,030		1,083
J Sainsbury PLC		638,520		1,663
JD Sports Fashion PLC		165,610		953
Johnson Matthey PLC		68,916		1,532
Kingfisher PLC (OTC Exchange)		768,468		1,384
Land Securities Group PLC		249,904		1,722
Legal & General Group PLC		2,063,754		4,937
Lloyds Banking Group PLC		24,797,794		9,779
London Stock Exchange Group PLC		110,481		9,954
M&G PLC *		937,124		1,305
Marks & Spencer Group PLC		739,148		908

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 78 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER		VALUE
	OF SHARES		(000s)
COMMON STOCKS – 97. 4% (1) – continued
United Kingdom – 13.7% – continued
Meggitt PLC		291,200		$1,055
Melrose Industries PLC		1,722,207		1,945
Micro Focus International PLC		109,052		539
Mondi PLC		175,243		2,989
National Grid PLC		1,227,015		14,381
Next PLC		48,160		2,426
Ocado Group PLC *		160,338		2,421
Pearson PLC		281,780		1,946
Persimmon PLC		108,211		2,563
Prudential PLC		915,034		11,680
Reckitt Benckiser Group PLC		248,930		19,105
RELX PLC		686,422		14,715
Rentokil Initial PLC		637,975		3,062
Rio Tinto Ltd.		128,983		6,828
Rio Tinto PLC		396,903		18,219
Rolls-Royce Holdings PLC		583,377		2,455
Royal Bank of Scotland Group PLC		1,660,758		2,316
RSA Insurance Group PLC		360,232		1,872
Sage Group (The) PLC		372,840		2,731
Schroders PLC		45,615		1,401
Segro PLC		387,548		3,665
Severn Trent PLC		81,585		2,301
Smith & Nephew PLC		305,028		5,413
Smiths Group PLC		140,490		2,127
Spirax-Sarco Engineering PLC		26,289		2,656
SSE PLC		359,286		5,799
St. James’s Place PLC		193,972		1,848
Standard Chartered PLC		945,987		5,214
Standard Life Aberdeen PLC		806,190		2,230
Taylor Wimpey PLC		1,197,867		1,741
Tesco PLC		3,445,153		9,756
Unilever N.V.		517,062		25,476
Unilever PLC		388,722		19,624
United Utilities Group PLC		240,541		2,686
Vodafone Group PLC		9,380,903		13,104
Weir Group (The) PLC		92,374		837
Whitbread PLC		47,276		1,770
Wm Morrison Supermarkets PLC		861,760		1,898
WPP PLC		437,034		2,978
				560,798
	NUMBER		VALUE
	OF SHARES		(000s)
COMMON STOCKS – 97. 4% (1) – continued
United States – 0.0%
Carnival PLC		55,941		$679
Total Common Stocks
(Cost $3,804,355)				3,992,024
PREFERRED STOCKS – 0.5% (1)
Germany – 0.5%
Bayerische Motoren Werke A.G., 6.55% (5)		21,045		921
FUCHS PETROLUB S.E., 2.95% (5)		24,891		884
Henkel A.G. & Co. KGaA, 2.52% (5)		62,354		5,085
Porsche Automobil Holding S.E., 8.45%(5)		52,464		2,267
Sartorius A.G., 0.32% (5)		12,312		3,009
Volkswagen A.G., 6.56% (5)		64,008		7,626
				19,792
Total Preferred Stocks
(Cost $20,312)				19,792
INVESTMENT COMPANIES – 0 .9%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (6)(7)		38,314,472		38,314
Total Investment Companies
(Cost $38,314)				38,314
Total Investments – 98.8%
(Cost $3,862,981)				4,050,130
Other Assets less Liabilities – 1.2%				50,030
Net Assets – 100.0%				$4,100,160

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Level 3 asset that is worthless, bankrupt or has been delisted.

(3) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(4) Value rounds to less than one thousand.

(5) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(6) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(7) 7-day current yield as of March 31, 2020 is disclosed.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 79 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

INTERNATIONAL EQUITY INDEX FUND continued

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

CDI – CREST Depository Interest

MSCI – Morgan Stanley Capital International

PLC – Public Limited Company

REIT – Real Estate Investment Trust

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY	CONTRACTS TO DELIVER CURRENCY	AMOUNT (LOCAL CURRENCY) (000s)		IN EXCHANGE FOR CURRENCY	AMOUNT (LOCAL CURRENCY) (000s)		SETTLEMENT DATE		UNREALIZED APPRECIATION (DEPRECIATION) (000s)
BNY Mellon	United States Dollar		977	Singapore Dollar		1,400		6/17/20		$ 9
BNY Mellon	United States Dollar		976	Swedish Krona		9,700		6/17/20		6
Citibank	Swiss Franc		200	United States Dollar		211		6/17/20		3
Citibank	United States Dollar		1,107	Danish Krone		7,500		6/17/20		4
Citibank	United States Dollar		2,217	Hong Kong Dollar		17,200		6/17/20		1
Citibank	United States Dollar		2,763	Swiss Franc		2,700		6/17/20		52
Goldman Sachs	Norwegian Krone		1,984	United States Dollar		198		6/17/20		7
Goldman Sachs	United States Dollar		747	Norwegian Krone		7,900		6/17/20		14
JPMorgan Chase	United States Dollar		3,199	Australian Dollar		5,300		6/17/20		62
JPMorgan Chase	United States Dollar		13,074	British Pound		10,792		6/17/20		349
JPMorgan Chase	United States Dollar		16,455	Euro		14,930		6/17/20		61
JPMorgan Chase	United States Dollar		20,613	Japanese Yen		2,243,600		6/17/20		323
JPMorgan Chase	United States Dollar		5,665	Swiss Franc		5,500		6/17/20		70
Morgan Stanley	Australian Dollar		2,793	United States Dollar		1,721		6/17/20		2
Morgan Stanley	British Pound		3,163	United States Dollar		3,941		6/17/20		10
Morgan Stanley	Danish Krone		6,208	United States Dollar		927		6/17/20		8
Morgan Stanley	Euro		15,437	United States Dollar		17,135		6/17/20		69
Morgan Stanley	Japanese Yen		235,938	United States Dollar		2,201		6/17/20		7
Morgan Stanley	Swiss Franc		5,015	United States Dollar		5,252		6/17/20		24
Toronto-Dominion Bank	United States Dollar		1,637	British Pound		1,317		6/17/20		1
Subtotal Appreciation										1,082
Citibank	Hong Kong Dollar		12,439	United States Dollar		1,601		6/17/20		(3)
Citibank	United States Dollar		595	Singapore Dollar		829		6/17/20		(12)
Goldman Sachs	United States Dollar		403	Danish Krone		2,693		6/17/20		(4)
Goldman Sachs	United States Dollar		2,164	Swedish Krona		21,125		6/17/20		(25)
JPMorgan Chase	United States Dollar		10,987	Euro		9,838		6/17/20		(103)
JPMorgan Chase	United States Dollar		2,350	Swiss Franc		2,250		6/17/20		(3)
Morgan Stanley	British Pound		4,786	United States Dollar		5,748		6/17/20		(205)
Morgan Stanley	Euro		3,237	United States Dollar		3,485		6/17/20		(96)
Morgan Stanley	Japanese Yen		2,195,416	United States Dollar		20,309		6/17/20		(178)
Morgan Stanley	Swiss Franc		3,723	United States Dollar		3,802		6/17/20		(80)
Morgan Stanley	United States Dollar		809	Australian Dollar		1,289		6/17/20		(16)
Morgan Stanley	United States Dollar		535	British Pound		427		6/17/20		(4)
Morgan Stanley	United States Dollar		8,318	Japanese Yen		886,678		6/17/20		(44)
Morgan Stanley	United States Dollar		125	New Zealand Dollar		205		6/17/20		(3)
Toronto-Dominion Bank	United States Dollar		721	Australian Dollar		1,171		6/17/20		(1)

COUNTERPARTY

CONTRACTS TO DELIVER CURRENCY

AMOUNT (LOCAL CURRENCY) (000S)

IN EXCHANGE FOR CURRENCY

AMOUNT (LOCAL CURRENCY) (000s)

SETTLEMENT DATE

UNREALIZED APPRECIATION (DEPRECIATION) (000s)

Toronto-Dominion Bank

United States Dollar

3,308

Euro

2,989

6/17/20

$ (1)

Subtotal Depreciation

(778)

Total

$304

At March 31, 2020, the Fund had open futures contracts as follows:    

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
Euro Stoxx 50 (Euro)		1,339		$40,567		Long		6/20		$4,654
FTSE 100 Index (British Pound)		263		18,410		Long		4/20		1,566
Hang Seng Index (Hong Kong Dollar)		31		4,742		Long		6/20		371
SPI 200 Index (Australian Dollar)		139		10,920		Long		6/20		234
Topix Index (Japanese Yen)		218		28,445		Long		6/20		2,991
Total										$9,816

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		5.5%
Consumer Discretionary		11.1
Consumer Staples		12.6
Energy		4.0
Financials		16.5
Health Care		14.3
Industrials		14.2
Information Technology		7.6
Materials		6.7
Real Estate		3.3
Utilities		4.2
Total		100.0%

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
Euro		30.4%
Japanese Yen		26.2
British Pound		15.0
Swiss Franc		10.7
Australian Dollar		6.0
All other currencies less than 5%		11.7
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
China		$1,711		$546			$–		$2,257
Hong Kong		998		142,738			–		143,736
Ireland		1,022		35,435			–		36,457
Israel		10,757		13,274			–		24,031
Italy		3,511		75,962			–		79,473
Netherlands		8,169		184,051			–		192,220
New Zealand		6,158		6,087			–		12,245
United Kingdom		4,885		555,913			–		560,798
All Other Countries (1)		–		2,940,807			–		2,940,807
Total Common Stocks		37,211		3,954,813			–		3,992,024
Preferred Stocks (1)		–		19,792			–		19,792
Investment Companies		38,314		–			–		38,314
Total Investments		$75,525		$3,974,605			$–		$4,050,130
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$–		$1,082			$–		$1,082
Futures Contracts		$9,816		$–			$–		$9,816
Liabilities
Forward Foreign Currency Exchange Contracts		–		(778	)		–		(778	)
Total Other Financial Instruments		$9,816		$304			$–		$10,120

(1) Classifications as defined in the Schedule of Investments.    

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 81 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

MID CAP INDEX FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2%
Aerospace & Defense – 1.7%
Axon Enterprise, Inc. *		78,070		$5,525
Mercury Systems, Inc. *		73,065		5,212
Teledyne Technologies, Inc. *		47,981		14,263
Woodward, Inc.		74,185		4,410
				29,410
Apparel & Textile Products – 0.9%
Carter’s, Inc.		58,081		3,818
Columbia Sportswear Co.		36,458		2,544
Deckers Outdoor Corp. *		36,806		4,932
Skechers U.S.A., Inc., Class A *		176,179		4,182
				15,476
Asset Management – 1.4%
Affiliated Managers Group, Inc.		63,610		3,762
Eaton Vance Corp.		148,854		4,801
Federated Hermes, Inc.		126,396		2,408
Janus Henderson Group PLC		204,729		3,136
Legg Mason, Inc.		107,347		5,244
Stifel Financial Corp.		89,954		3,713
				23,064
Automotive – 1.5%
Adient PLC *		114,522		1,039
Dana, Inc.		189,353		1,479
Delphi Technologies PLC *		110,843		892
Gentex Corp.		332,814		7,375
Goodyear Tire & Rubber (The) Co.		305,965		1,781
ITT, Inc.		115,380		5,234
Lear Corp.		72,395		5,882
Visteon Corp. *		36,791		1,765
				25,447
Banking – 6.5%
Associated Banc-Corp		209,633		2,681
BancorpSouth Bank		123,352		2,334
Bank of Hawaii Corp.		52,985		2,927
Bank OZK		159,038		2,656
Cathay General Bancorp		99,621		2,286
CIT Group, Inc.		124,619		2,151
Commerce Bancshares, Inc.		136,443		6,870
Cullen/Frost Bankers, Inc.		75,349		4,204
East West Bancorp, Inc.		191,587		4,931
First Financial Bankshares, Inc.		179,658		4,822
First Horizon National Corp.		409,393		3,300
FNB Corp.		427,477		3,150
Fulton Financial Corp.		217,094		2,494

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Banking – 6.5% – continued
Hancock Whitney Corp.		114,740		$2,240
Home BancShares, Inc.		204,129		2,447
International Bancshares Corp.		75,479		2,029
New York Community Bancorp, Inc.		614,854		5,773
PacWest Bancorp		157,652		2,825
Pinnacle Financial Partners, Inc.		94,686		3,554
Prosperity Bancshares, Inc.		124,199		5,993
Signature Bank		71,029		5,710
Sterling Bancorp		265,815		2,778
Synovus Financial Corp.		192,797		3,386
TCF Financial Corp.		201,825		4,573
Texas Capital Bancshares, Inc. *		66,203		1,468
Trustmark Corp.		84,541		1,970
UMB Financial Corp.		56,836		2,636
Umpqua Holdings Corp.		289,721		3,158
United Bankshares, Inc.		133,576		3,083
Valley National Bancorp		515,310		3,767
Washington Federal, Inc.		103,567		2,689
Webster Financial Corp.		121,079		2,773
Wintrust Financial Corp.		75,085		2,467
				110,125
Biotechnology & Pharmaceuticals – 1.4%
Arrowhead Pharmaceuticals, Inc. *		131,701		3,789
Exelixis, Inc. *		402,045		6,923
Ligand Pharmaceuticals, Inc. *		21,714		1,579
Nektar Therapeutics *		231,446		4,131
Prestige Consumer Healthcare, Inc. *		66,087		2,424
United Therapeutics Corp. *		57,731		5,475
				24,321
Chemicals – 2.1%
Ashland Global Holdings, Inc.		79,237		3,967
Cabot Corp.		74,961		1,958
Chemours (The) Co.		216,376		1,919
Ingevity Corp. *		55,024		1,937
Minerals Technologies, Inc.		45,856		1,663
NewMarket Corp.		9,715		3,720
Olin Corp.		210,066		2,452
PolyOne Corp.		118,732		2,252
RPM International, Inc.		170,609		10,151
Sensient Technologies Corp.		55,634		2,421
Valvoline, Inc.		247,857		3,244
				35,684

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 82 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Commercial Services – 1.3%
ASGN, Inc. *		69,465		$2,453
Brink’s (The) Co.		65,814		3,426
Deluxe Corp.		55,390		1,436
FTI Consulting, Inc. *		49,508		5,930
Healthcare Services Group, Inc.		97,512		2,332
Insperity, Inc.		49,465		1,845
ManpowerGroup, Inc.		77,571		4,110
				21,532
Construction Materials – 1.9%
Carlisle Cos., Inc.		74,560		9,341
Eagle Materials, Inc.		54,770		3,199
Louisiana-Pacific Corp.		154,523		2,655
MDU Resources Group, Inc.		263,628		5,668
Owens Corning		143,122		5,554
Trex Co., Inc. *		76,749		6,151
				32,568
Consumer Products – 3.1%
Boston Beer (The) Co., Inc., Class A *		12,189		4,480
Darling Ingredients, Inc. *		215,381		4,129
Edgewell Personal Care Co. *		71,360		1,718
Energizer Holdings, Inc.		84,641		2,560
Flowers Foods, Inc.		253,227		5,196
Hain Celestial Group (The), Inc. *		105,693		2,745
Helen of Troy Ltd. *		33,300		4,796
Ingredion, Inc.		88,315		6,668
Lancaster Colony Corp.		26,035		3,766
Nu Skin Enterprises, Inc., Class A		73,079		1,597
Pilgrim’s Pride Corp. *		69,353		1,257
Post Holdings, Inc. *		87,442		7,255
Sanderson Farms, Inc.		25,939		3,199
Tootsie Roll Industries, Inc.		23,022		828
TreeHouse Foods, Inc. *		73,955		3,265
				53,459
Consumer Services – 1.2%
Aaron’s, Inc.		88,346		2,013
Adtalem Global Education, Inc. *		71,037		1,903
Graham Holdings Co., Class B		5,723		1,952
Grand Canyon Education, Inc. *		62,503		4,768
Service Corp. International		240,472		9,405
WW International, Inc. *		61,113		1,033
				21,074
Containers & Packaging – 1.2%
AptarGroup, Inc.		84,103		8,372

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Containers & Packaging – 1.2% – continued
Greif, Inc., Class A		34,545		$1,074
O-I Glass, Inc.		204,751		1,456
Silgan Holdings, Inc.		102,010		2,960
Sonoco Products Co.		131,691		6,104
				19,966
Design, Manufacturing & Distribution – 1.4%
Arrow Electronics, Inc. *		107,156		5,558
Avnet, Inc.		133,824		3,359
Jabil, Inc.		182,761		4,492
SYNNEX Corp.		53,756		3,930
Tech Data Corp. *		46,603		6,098
				23,437
Distributors - Discretionary – 0.7%
KAR Auction Services, Inc.		169,416		2,033
Pool Corp.		52,675		10,365
				12,398
Electrical Equipment – 3.7%
Acuity Brands, Inc.		52,129		4,465
Belden, Inc.		50,834		1,834
Cognex Corp.		224,835		9,493
Generac Holdings, Inc. *		82,281		7,666
Hubbell, Inc.		71,551		8,210
Lennox International, Inc.		46,131		8,386
Littelfuse, Inc.		32,046		4,276
National Instruments Corp.		155,181		5,133
nVent Electric PLC		204,734		3,454
Trimble, Inc. *		327,765		10,433
				63,350
Engineering & Construction Services – 1.2%
AECOM *		206,665		6,169
Dycom Industries, Inc. *		41,473		1,064
EMCOR Group, Inc.		73,876		4,530
Fluor Corp.		184,415		1,274
KBR, Inc.		186,441		3,855
MasTec, Inc. *		79,335		2,597
				19,489
Forest & Paper Products – 0.1%
Domtar Corp.		75,349		1,631
Gaming, Lodging & Restaurants – 3.7%
Boyd Gaming Corp.		105,300		1,518
Brinker International, Inc.		49,166		590
Caesars Entertainment Corp. *		734,294		4,964

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 83 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

MID CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Gaming, Lodging & Restaurants – 3.7% – continued
Cheesecake Factory (The), Inc.		54,024		$923
Choice Hotels International, Inc.		41,793		2,560
Churchill Downs, Inc.		46,639		4,801
Cracker Barrel Old Country Store, Inc.		31,820		2,648
Domino’s Pizza,Inc.		50,871		16,486
Dunkin’ Brands Group, Inc.		108,990		5,787
Eldorado Resorts, Inc. *		85,945		1,238
Jack in the Box, Inc.		31,117		1,091
Marriott Vacations Worldwide Corp.		49,227		2,736
Papa John’s International, Inc.		29,134		1,555
Penn National Gaming, Inc. *		143,347		1,813
Scientific Games Corp. *		71,157		690
Texas Roadhouse, Inc.		85,837		3,545
Wendy’s (The) Co.		242,123		3,603
Wyndham Destinations, Inc.		119,332		2,590
Wyndham Hotels & Resorts, Inc.		125,203		3,945
				63,083
Hardware – 1.5%
Ciena Corp. *		203,521		8,102
InterDigital, Inc.		40,959		1,828
Lumentum Holdings, Inc. *		101,566		7,486
NCR Corp. *		167,873		2,971
NetScout Systems, Inc. *		86,643		2,051
ViaSat, Inc. *		75,874		2,725
				25,163
Health Care Facilities & Services – 4.6%
Acadia Healthcare Co., Inc. *		116,524		2,138
Amedisys, Inc. *		42,435		7,789
Catalent, Inc. *		203,598		10,577
Charles River Laboratories
International, Inc. *		64,253		8,109
Chemed Corp.		21,062		9,124
Encompass Health Corp.		129,720		8,306
HealthEquity, Inc. *		93,250		4,717
MEDNAX, Inc. *		109,798		1,278
Molina Healthcare, Inc. *		82,489		11,525
Patterson Cos., Inc.		113,338		1,733
PRA Health Sciences, Inc. *		83,210		6,910
Syneos Health, Inc. *		81,933		3,230
Tenet Healthcare Corp. *		136,686		1,968
				77,404
Home & Office Products – 1.4%
Herman Miller, Inc.		77,698		1,725

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Home & Office Products – 1.4% – continued
HNI Corp.		56,340		$1,419
KB Home		112,708		2,040
MSA Safety, Inc.		46,887		4,745
Scotts Miracle-Gro (The) Co.		52,127		5,338
Taylor Morrison Home Corp. *		174,009		1,914
Tempur Sealy International, Inc. *		59,776		2,613
Toll Brothers, Inc.		158,809		3,057
TRI Pointe Group, Inc. *		183,184		1,606
				24,457
Industrial Services – 0.6%
MSC Industrial Direct Co., Inc., Class A		59,625		3,277
Resideo Technologies, Inc. *		161,543		782
Watsco, Inc.		42,952		6,788
				10,847
Institutional Financial Services – 1.1%
Evercore, Inc., Class A		51,422		2,368
Interactive Brokers Group, Inc., Class A		100,972		4,359
Jefferies Financial Group, Inc.		314,694		4,302
SEI Investments Co.		166,051		7,695
				18,724
Insurance – 4.9%
Alleghany Corp.		18,936		10,459
American Financial Group, Inc.		98,469		6,901
Brighthouse Financial, Inc. *		143,749		3,474
Brown & Brown, Inc.		307,656		11,143
CNO Financial Group, Inc.		198,842		2,464
Genworth Financial, Inc., Class A *		662,168		2,198
Hanover Insurance Group (The), Inc.		52,079		4,717
Kemper Corp.		82,825		6,160
Mercury General Corp.		35,685		1,453
Old Republic International Corp.		375,419		5,725
Primerica, Inc.		54,414		4,815
Reinsurance Group of America, Inc.		82,372		6,931
RenaissanceRe Holdings Ltd.		58,100		8,676
RLI Corp.		52,498		4,616
Selective Insurance Group, Inc.		78,150		3,884
				83,616
Iron & Steel – 1.3%
Allegheny Technologies, Inc. *		165,879		1,410
Carpenter Technology Corp.		62,781		1,224
Commercial Metals Co.		156,098		2,465
Reliance Steel & Aluminum Co.		87,695		7,681
Steel Dynamics, Inc.		283,452		6,389

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 84 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Iron & Steel – 1.3% – continued
United States Steel Corp.		223,705		$1,411
Worthington Industries, Inc.		48,064		1,262
				21,842
Leisure Products – 0.9%
Brunswick Corp.		107,320		3,796
Mattel, Inc. *		456,144		4,019
Polaris, Inc.		75,651		3,642
Thor Industries, Inc.		72,621		3,063
				14,520
Machinery – 3.6%
AGCO Corp.		82,467		3,896
Colfax Corp. *		109,995		2,178
Crane Co.		67,073		3,299
Curtiss-Wright Corp.		56,162		5,190
Graco, Inc.		219,418		10,692
Kennametal, Inc.		109,008		2,030
Lincoln Electric Holdings, Inc.		80,449		5,551
Nordson Corp.		67,315		9,092
Oshkosh Corp. (New York Exchange)		89,537		5,760
Regal Beloit Corp.		53,864		3,391
Terex Corp.		86,299		1,239
Toro (The) Co.		140,247		9,129
				61,447
Manufactured Goods – 0.4%
Timken (The) Co.		89,188		2,884
Valmont Industries, Inc.		28,320		3,002
				5,886
Media – 2.1%
AMC Networks, Inc., Class A *		57,984		1,410
Cable One, Inc.		6,612		10,870
GrubHub, Inc. *		120,312		4,900
John Wiley & Sons, Inc., Class A		58,094		2,178
Meredith Corp.		51,703		632
New York Times (The) Co., Class A		189,126		5,808
TEGNA, Inc.		285,362		3,099
TripAdvisor, Inc.		133,070		2,314
World Wrestling Entertainment, Inc., Class A		62,435		2,119
Yelp, Inc. *		84,047		1,515
				34,845
Medical Equipment & Devices – 5.7%
Avanos Medical, Inc. *		63,056		1,698
Bio-Rad Laboratories, Inc., Class A *		28,427		9,965

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Medical Equipment & Devices – 5.7% – continued
Bio-Techne Corp.		50,141		$9,508
Cantel Medical Corp.		49,293		1,770
Globus Medical, Inc., Class A *		101,267		4,307
Haemonetics Corp. *		66,679		6,645
Hill-Rom Holdings, Inc.		87,833		8,836
ICU Medical, Inc. *		25,294		5,103
Integra LifeSciences Holdings Corp. *		93,762		4,188
LivaNova PLC *		63,676		2,881
Masimo Corp. *		64,544		11,432
NuVasive, Inc. *		68,509		3,471
Penumbra, Inc. *		42,259		6,818
Repligen Corp. *		61,641		5,951
West Pharmaceutical Services, Inc.		97,344		14,821
				97,394
Metals & Mining – 0.6%
Compass Minerals International, Inc.		44,578		1,715
Royal Gold, Inc.		86,294		7,569
				9,284
Oil, Gas & Coal – 1.2%
Antero Midstream Corp.		390,761		821
Apergy Corp. *		101,908		586
Cimarex Energy Co.		133,943		2,254
CNX Resources Corp. *		245,477		1,306
Core Laboratories N.V.		58,380		604
EQT Corp.		336,328		2,378
Equitrans Midstream Corp.		268,116		1,349
Matador Resources Co. *		144,247		358
Murphy Oil Corp.		197,676		1,212
Murphy U.S.A., Inc. *		38,238		3,226
NOW, Inc. *		140,927		727
Patterson-UTI Energy, Inc.		255,943		601
PBF Energy, Inc., Class A		134,018		949
Transocean Ltd. *		757,261		878
World Fuel Services Corp.		86,031		2,166
WPX Energy, Inc. *		548,271		1,672
				21,087
Passenger Transportation – 0.2%
JetBlue Airways Corp. *		379,810		3,399
Real Estate – 0.4%
Jones Lang LaSalle, Inc.		68,169		6,884
Real Estate Investment Trusts – 9.4%
American Campus Communities, Inc.		180,772		5,016
Brixmor Property Group, Inc.		391,851		3,723

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 85 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

MID CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Real Estate Investment Trusts – 9.4% – continued
Camden Property Trust		127,394		$10,095
CoreCivic, Inc.		156,629		1,750
CoreSite Realty Corp.		49,582		5,747
Corporate Office Properties Trust		147,427		3,263
Cousins Properties, Inc.		193,082		5,651
CyrusOne, Inc.		148,928		9,196
Diversified Healthcare Trust		312,984		1,136
Douglas Emmett, Inc.		216,850		6,616
EastGroup Properties, Inc.		50,533		5,280
EPR Properties		103,221		2,500
First Industrial Realty Trust, Inc.		167,020		5,550
GEO Group (The), Inc.		158,947		1,933
Healthcare Realty Trust, Inc.		175,330		4,897
Highwoods Properties, Inc.		136,487		4,834
JBG SMITH Properties		155,590		4,952
Kilroy Realty Corp.		128,313		8,173
Lamar Advertising Co., Class A		113,157		5,803
Life Storage, Inc.		61,373		5,803
Macerich (The) Co.		138,819		782
Mack-Cali Realty Corp.		119,109		1,814
Medical Properties Trust, Inc.		680,752		11,770
National Retail Properties, Inc.		225,810		7,269
Omega Healthcare Investors, Inc.		287,465		7,629
Park Hotels & Resorts, Inc.		314,941		2,491
Pebblebrook Hotel Trust		171,864		1,872
PotlatchDeltic Corp.		88,437		2,776
PS Business Parks, Inc.		26,350		3,571
Rayonier, Inc.		170,126		4,006
Rayonier, Inc. - (Fractional Shares) (1)		50,000		–
Sabra Health Care REIT, Inc.		270,062		2,949
Service Properties Trust		216,504		1,169
Spirit Realty Capital, Inc.		131,206		3,431
Taubman Centers, Inc.		80,124		3,356
Urban Edge Properties		151,509		1,335
Weingarten Realty Investors		159,127		2,296
				160,434
Recreational Facilities & Services – 0.2%
Cinemark Holdings, Inc.		141,140		1,438
Six Flags Entertainment Corp.		103,417		1,297
				2,735
Renewable Energy – 0.7%
EnerSys		55,632		2,755

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Renewable Energy – 0.7% – continued
First Solar, Inc. *		99,846		$3,600
SolarEdge Technologies, Inc. *		63,953		5,237
				11,592
Retail - Consumer Staples – 1.3%
BJ’s Wholesale Club Holdings, Inc. *		160,725		4,094
Casey’s General Stores, Inc.		48,392		6,411
Five Below, Inc. *		73,244		5,155
Ollie’s Bargain Outlet Holdings, Inc. *		71,946		3,334
Sprouts Farmers Market, Inc. *		155,616		2,893
				21,887
Retail - Discretionary –1.8%
American Eagle Outfitters, Inc.		208,953		1,661
AutoNation, Inc. *		77,463		2,174
Avis Budget Group, Inc. *		74,787		1,039
Bed Bath & Beyond, Inc.		166,512		701
Dick’s Sporting Goods, Inc.		83,668		1,779
Dillard’s, Inc., Class A		12,968		479
Etsy, Inc. *		155,886		5,992
FirstCash, Inc.		56,149		4,028
Foot Locker, Inc.		140,822		3,105
RH *		21,494		2,159
Sally Beauty Holdings, Inc. *		153,040		1,237
Urban Outfitters, Inc. *		92,806		1,322
Williams-Sonoma, Inc.		102,766		4,370
				30,046
Semiconductors – 4.7%
Cabot Microelectronics Corp.		38,290		4,370
Cirrus Logic, Inc. *		76,041		4,991
Coherent, Inc. *		31,775		3,381
Cree, Inc. *		141,705		5,025
Cypress Semiconductor Corp.		485,877		11,331
II-VI, Inc. *		115,350		3,287
MKS Instruments, Inc.		71,714		5,841
Monolithic Power Systems, Inc.		53,149		8,900
Semtech Corp. *		87,154		3,268
Silicon Laboratories, Inc. *		57,062		4,874
Synaptics, Inc. *		44,026		2,548
Teradyne, Inc.		220,468		11,943
Universal Display Corp.		55,782		7,351
Vishay Intertechnology, Inc.		174,119		2,509
				79,619
Software – 3.7%
ACI Worldwide, Inc. *		152,084		3,673

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 86 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Software – 3.7% – continued
Allscripts Healthcare Solutions, Inc. *		213,611		$1,504
Blackbaud, Inc.		64,710		3,595
CDK Global, Inc.		159,713		5,246
Ceridian HCM Holding, Inc. *		132,594		6,639
CommVault Systems, Inc. *		55,327		2,240
J2 Global, Inc.		60,904		4,559
LogMeIn, Inc.		64,222		5,348
Manhattan Associates, Inc. *		84,506		4,210
PTC, Inc. *		136,750		8,370
Teradata Corp. *		148,007		3,033
Tyler Technologies, Inc. *		51,291		15,211
				63,628
Specialty Finance – 1.3%
First American Financial Corp.		147,791		6,268
GATX Corp.		46,178		2,889
LendingTree, Inc. *		10,090		1,850
Navient Corp.		224,801		1,704
SLM Corp.		555,412		3,993
WEX, Inc. *		56,953		5,954
				22,658
Technology Services – 3.1%
CACI International, Inc., Class A *		32,946		6,956
CoreLogic, Inc.		104,616		3,195
FactSet Research Systems, Inc.		49,921		13,013
Fair Isaac Corp. *		38,103		11,724
LiveRamp Holdings, Inc. *		89,062		2,932
MAXIMUS, Inc.		84,172		4,899
Perspecta, Inc.		180,908		3,300
Sabre Corp.		360,329		2,137
Science Applications International Corp.		64,551		4,817
				52,973
Telecom – 0.1%
Telephone & Data Systems, Inc.		128,671		2,156
Transportation & Logistics – 1.4%
Kirby Corp. *		79,331		3,448
Knight-Swift Transportation Holdings, Inc.		161,643		5,302
Landstar System, Inc.		51,918		4,977
Ryder System, Inc.		70,112		1,854
Werner Enterprises, Inc.		58,270		2,113
XPO Logistics, Inc. *		121,431		5,920
				23,614

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.2% – continued
Transportation Equipment – 0.1%
Trinity Industries, Inc.		129,125		$2,075
Utilities – 4.7%
ALLETE, Inc.		67,975		4,125
Black Hills Corp.		80,850		5,177
Essential Utilities, Inc.		283,964		11,557
Hawaiian Electric Industries, Inc.		143,367		6,172
IDACORP, Inc.		66,637		5,850
National Fuel Gas Co.		113,571		4,235
New Jersey Resources Corp.		125,645		4,268
NorthWestern Corp.		66,369		3,971
OGE Energy Corp.		263,355		8,093
ONE Gas, Inc.		69,382		5,802
PNM Resources, Inc.		104,794		3,982
Southwest Gas Holdings, Inc.		71,867		4,999
Spire, Inc.		67,066		4,995
UGI Corp.		274,978		7,334
				80,560
Waste & Environment Services & Equipment – 1.2%
Clean Harbors, Inc. *		67,549		3,468
Donaldson Co., Inc.		166,506		6,432
Stericycle, Inc. *		119,889		5,824
Tetra Tech, Inc.		71,817		5,072
				20,796
Total Common Stocks
(Cost $1,784,848)				1,687,086
INVESTMENT COMPANIES – 0 .9%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (2)(3)		14,662,646		14,663
Total Investment Companies
(Cost $14,663)				14,663

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 87 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

MID CAP INDEX FUND continued MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0 .2%
U.S. Treasury Bill, 1.47%, 7/16/20 (4)(5)		$4,265		$4,264
Total Short-Term Investments
(Cost $4,247)				4,264
Total Investments – 100.3%
(Cost $1,803,758)				1,706,013
Liabilities less Other Assets – (0.3%)				(5,503	)
NET ASSETS – 100.0%				$1,700,510

(1) Level 3 asset that is worthless, bankrupt or has been delisted.

(2) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(3) 7-day current yield as of March 31, 2020 is disclosed.

(4) Discount rate at the time of purchase.

(5) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC – Public Limited Company

REIT – Real Estate Investment Trust

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P MidCap 400 (United States Dollar)		94		$13,515		Long		6/20		$1,054

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		2.0%
Consumer Discretionary		12.1
Consumer Staples		3.7
Energy		1.0
Financials		15.8
Health Care		11.9
Industrials		16.2
Information Technology		16.4
Materials		5.9
Real Estate		9.9
Utilities		5.1
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$1,687,086		$–		$–		$1,687,086
Investment Companies		14,663		–		–		14,663
Short-Term Investments		–		4,264		–		4,264
Total Investments		$1,701,749		$4,264		$–		$1,706,013
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$ 1,054		$–		$–		$ 1,054

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 88 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1%
Aerospace & Defense – 1.4%
AAR Corp.		20,849		$370
Aerojet Rocketdyne Holdings, Inc. *		44,172		1,848
AeroVironment, Inc. *		13,017		793
American Outdoor Brands Corp. *		33,013		274
Astronics Corp. *		15,342		141
Axon Enterprise, Inc. *		35,212		2,492
Barnes Group, Inc.		28,590		1,196
Coda Octopus Group, Inc. *		6,343		36
Ducommun, Inc. *		6,908		172
Kaman Corp.		16,680		642
Mercury Systems, Inc. *		32,888		2,346
Moog, Inc., Class A		18,147		917
National Presto Industries, Inc.		2,966		210
Park Aerospace Corp.		10,306		130
Sturm Ruger & Co., Inc.		9,923		505
Triumph Group, Inc.		30,555		206
				12,278
Apparel & Textile Products – 0.7%
Centric Brands, Inc. *		12,064		13
Crocs, Inc. *		40,999		697
Culp, Inc.		5,341		39
Deckers Outdoor Corp. *		16,927		2,268
Delta Apparel, Inc. *		3,622		38
Fossil Group, Inc. *		24,269		80
Kontoor Brands, Inc.		27,309		524
Movado Group, Inc.		8,075		95
Oxford Industries, Inc.		10,306		374
Rocky Brands, Inc.		4,067		79
Steven Madden Ltd.		51,018		1,185
Superior Group of Cos., Inc.		6,080		51
Unifi, Inc. *		7,526		87
Vince Holding Corp. *		2,227		9
Weyco Group, Inc.		4,434		89
Wolverine World Wide, Inc.		47,897		728
				6,356
Asset Management – 1.3%
Altus Midstream Co., Class A *		42,123		32
Ares Management Corp., Class A		43,558		1,347
Artisan Partners Asset Management, Inc., Class A		30,119		647
Assetmark Financial Holdings, Inc. *		7,916		161
Associated Capital Group, Inc., Class A		1,389		42
B. Riley Financial, Inc.		12,392		228
Blucora, Inc. *		29,979		361

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Asset Management – 1.3% – continued
Boston Private Financial Holdings, Inc.		49,209		$352
Brightsphere Investment Group, Inc.		39,774		254
Cohen & Steers, Inc.		13,682		622
Columbia Financial, Inc. *		32,148		463
Community Bankers Trust Corp.		14,007		68
Diamond Hill Investment Group, Inc.		1,796		162
Federated Hermes, Inc.		59,214		1,128
Focus Financial Partners, Inc., Class A *		17,587		405
GAIN Capital Holdings, Inc.		13,961		78
GAMCO Investors, Inc., Class A		2,134		23
Hamilton Lane, Inc., Class A		13,102		725
Kennedy-Wilson Holdings, Inc.		74,030		993
Medallion Financial Corp. *		14,900		28
Oppenheimer Holdings, Inc., Class A		4,257		84
PDL Community Bancorp *		5,122		53
Pzena Investment Management, Inc., Class A		12,753		57
Rafael Holdings, Inc., Class B *		6,176		79
Safeguard Scientifics, Inc.		14,076		78
Sculptor Capital Management, Inc.		9,872		134
Siebert Financial Corp. *		4,366		32
Silvercrest Asset Management Group, Inc., Class A		4,076		39
Stifel Financial Corp.		39,586		1,634
Virtus Investment Partners, Inc.		3,734		284
Waddell & Reed Financial, Inc., Class A		41,058		467
Westwood Holdings Group, Inc.		5,898		108
WisdomTree Investments, Inc.		88,227		206
				11,374
Automotive – 0.7%
Adient PLC *		53,956		489
American Axle & Manufacturing Holdings, Inc. *		70,503		255
Cooper Tire & Rubber Co.		29,883		487
Cooper-Standard Holdings, Inc. *		11,824		121
Dana, Inc.		86,950		679
Dorman Products, Inc. *		16,118		891
Gentherm, Inc. *		19,814		622
Methode Electronics, Inc.		22,102		584
Miller Industries, Inc.		6,679		189
Modine Manufacturing Co. *		29,999		98
Motorcar Parts of America, Inc. *		10,580		133
Standard Motor Products, Inc.		12,720		529
Telenav, Inc. *		23,486		101

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 89 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Automotive – 0.7% – continued
Tenneco, Inc., Class A *		29,106		$105
Visteon Corp. *		17,018		817
				6,100
Banking – 10.1%
1st Constitution Bancorp		4,382		58
1st Source Corp.		8,416		273
ACNB Corp.		5,284		159
Alerus Financial Corp.		2,651		44
Allegiance Bancshares, Inc.		11,378		274
Amalgamated Bank, Class A		10,005		108
American National Bankshares, Inc.		6,569		157
Ameris Bancorp		37,647		894
Ames National Corp.		5,192		106
Arrow Financial Corp.		7,788		217
Atlantic Capital Bancshares, Inc. *		14,437		171
Atlantic Union Bankshares Corp.		48,336		1,059
Axos Financial, Inc. *		34,180		620
Banc of California, Inc.		28,521		228
BancFirst Corp.		11,214		374
Banco Latinoamericano de Comercio Exterior S.A., Class E		18,150		187
Bancorp (The), Inc. *		30,124		183
BancorpSouth Bank		59,857		1,132
Bank First Corp.		3,545		199
Bank of Commerce Holdings		10,144		80
Bank of Marin Bancorp		8,001		240
Bank of NT Butterfield & Son (The) Ltd.		32,930		561
Bank of Princeton (The)		3,356		78
Bank7 Corp.		2,324		18
BankFinancial Corp.		10,067		89
Bankwell Financial Group, Inc.		3,891		59
Banner Corp.		21,079		696
Bar Harbor Bankshares		10,069		174
Baycom Corp. *		7,139		86
BCB Bancorp, Inc.		8,160		87
Berkshire Hills Bancorp, Inc.		25,733		382
Bridge Bancorp, Inc.		9,937		210
Bridgewater Bancshares, Inc. *		12,673		124
Brookline Bancorp, Inc.		47,183		532
Bryn Mawr Bank Corp.		11,848		336
Business First Bancshares, Inc.		7,744		105
Byline Bancorp, Inc.		11,615		120
C&F Financial Corp.		1,933		77
Cadence BanCorp		75,239		493

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
Cambridge Bancorp		2,649		$138
Camden National Corp.		9,165		288
Capital Bancorp, Inc. *		4,642		58
Capital City Bank Group, Inc.		8,272		166
Capitol Federal Financial, Inc.		79,924		928
Capstar Financial Holdings, Inc.		10,545		104
Carolina Financial Corp.		14,144		366
Carter Bank & Trust		13,609		125
Cathay General Bancorp		46,254		1,062
CBTX, Inc.		11,298		201
CenterState Bank Corp.		72,975		1,257
Central Pacific Financial Corp.		16,969		270
Central Valley Community Bancorp		7,354		96
Century Bancorp, Inc., Class A		1,672		104
Chemung Financial Corp.		1,888		62
Citizens & Northern Corp.		7,426		149
City Holding Co.		9,658		643
Civista Bancshares, Inc.		9,477		142
CNB Financial Corp.		8,864		167
Coastal Financial Corp. *		5,226		55
Codorus Valley Bancorp, Inc.		6,286		101
Colony Bankcorp, Inc.		4,349		54
Columbia Banking System, Inc.		43,824		1,174
Community Bank System, Inc.		30,816		1,812
Community Financial (The) Corp.		2,863		63
Community Trust Bancorp, Inc.		9,271		295
ConnectOne Bancorp, Inc.		19,776		266
CrossFirst Bankshares, Inc. *		27,592		232
Customers Bancorp, Inc. *		17,624		193
CVB Financial Corp.		81,513		1,634
Dime Community Bancshares, Inc.		19,600		269
Eagle Bancorp, Inc.		19,758		597
Enterprise Bancorp, Inc.		4,943		133
Enterprise Financial Services Corp.		14,214		397
Equity Bancshares, Inc., Class A *		7,948		137
Esquire Financial Holdings, Inc. *		4,192		63
ESSA Bancorp, Inc.		5,674		77
Evans Bancorp, Inc.		3,107		76
Farmers & Merchants Bancorp, Inc.		5,824		151
Farmers National Banc Corp.		15,724		183
FB Financial Corp.		10,165		200
Fidelity D&D Bancorp, Inc.		1,830		93
Financial Institutions, Inc.		9,414		171
First Bancorp		17,658		408

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 90 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
First BanCorp (New York Exchange)		129,305		$688
First Bancorp, Inc.		6,081		134
First Bancshares (The), Inc.		10,331		197
First Bank/Hamilton NJ		9,715		67
First Busey Corp.		31,079		532
First Business Financial Services, Inc.		4,893		76
First Capital, Inc.		1,897		114
First Choice Bancorp		5,359		80
First Commonwealth Financial Corp.		58,904		538
First Community Bankshares, Inc.		10,857		253
First Defiance Financial Corp.		22,799		336
First Financial Bancorp		58,020		865
First Financial Bankshares, Inc.		79,197		2,126
First Financial Corp.		7,840		264
First Financial Northwest, Inc.		5,469		55
First Foundation, Inc.		24,062		246
First Guaranty Bancshares, Inc.		2,908		42
First Internet Bancorp		4,554		75
First Interstate BancSystem, Inc., Class A		22,735		656
First Merchants Corp.		32,179		852
First Mid Bancshares, Inc.		8,752		208
First Midwest Bancorp, Inc.		65,317		864
First Northwest Bancorp		5,264		57
First of Long Island (The) Corp.		14,417		250
Flagstar Bancorp, Inc.		20,890		414
Flushing Financial Corp.		14,887		199
FNCB Bancorp, Inc.		12,355		85
Franklin Financial Network, Inc.		7,356		150
Franklin Financial Services Corp.		2,456		67
FS Bancorp, Inc.		2,550		92
Fulton Financial Corp.		98,230		1,129
FVCBankcorp, Inc. *		8,300		111
German American Bancorp, Inc.		15,074		414
Glacier Bancorp, Inc.		52,885		1,798
Great Southern Bancorp, Inc.		6,608		267
Great Western Bancorp, Inc.		34,783		712
Greene County Bancorp, Inc.		1,789		42
Guaranty Bancshares, Inc.		4,505		104
Hancock Whitney Corp.		51,476		1,005
Hanmi Financial Corp.		16,881		183
HarborOne Bancorp, Inc. *		16,809		127
Hawthorn Bancshares, Inc.		3,466		64
HBT Financial, Inc.		4,847		51
Heartland Financial U.S.A., Inc.		21,374		646

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
Heritage Commerce Corp.		30,608		$235
Heritage Financial Corp.		22,520		450
Hilltop Holdings, Inc.		42,851		648
Hingham Institution for Savings		919		133
Home Bancorp, Inc.		4,114		100
Home BancShares, Inc.		94,302		1,131
HomeStreet, Inc.		12,811		285
HomeTrust Bancshares, Inc.		9,905		158
Hope Bancorp, Inc.		73,866		607
Horizon Bancorp, Inc.		22,422		221
Howard Bancorp, Inc. *		8,416		91
IBERIABANK Corp.		32,194		1,164
Independent Bank Corp.		20,355		1,310
Independent Bank Corp. (Berlin Exchange)		13,237		170
Independent Bank Group, Inc.		20,667		489
International Bancshares Corp.		33,595		903
Investar Holding Corp.		5,879		75
Investors Bancorp, Inc.		136,385		1,090
Kearny Financial Corp.		47,865		411
Lakeland Bancorp, Inc.		29,189		316
Lakeland Financial Corp.		14,836		545
LCNB Corp.		7,313		92
Level One Bancorp, Inc.		3,717		67
Live Oak Bancshares, Inc.		14,297		178
Luther Burbank Corp.		12,010		110
Macatawa Bank Corp.		15,374		109
Mackinac Financial Corp.		5,394		56
MainStreet Bancshares, Inc. *		4,709		79
Malvern Bancorp, Inc. *		4,443		54
Mercantile Bank Corp.		9,660		205
Merchants Bancorp		6,226		95
Meridian Bancorp, Inc.		29,074		326
Meta Financial Group, Inc.		19,860		431
Metrocity Bankshares, Inc.		8,678		102
Metropolitan Bank Holding Corp. *		4,378		118
Mid Penn Bancorp, Inc.		4,147		84
Midland States Bancorp, Inc.		11,882		208
MidWestOne Financial Group, Inc.		7,297		153
MutualFirst Financial, Inc.		3,504		99
MVB Financial Corp.		5,517		70
National Bank Holdings Corp., Class A		17,265		413
National Bankshares, Inc.		3,969		127
NBT Bancorp, Inc.		25,637		830

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 91 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
Nicolet Bankshares, Inc. *		5,896		$322
Northeast Bank		4,472		52
Northfield Bancorp, Inc.		26,452		296
Northrim BanCorp, Inc.		3,958		107
Northwest Bancshares, Inc.		59,891		693
Norwood Financial Corp.		3,697		99
Oak Valley Bancorp		3,882		61
OceanFirst Financial Corp.		33,073		526
OFG Bancorp		30,440		340
Ohio Valley Banc Corp.		2,423		73
Old National Bancorp		101,661		1,341
Old Second Bancorp, Inc.		17,977		124
OP Bancorp		9,476		71
Opus Bank		12,678		220
Origin Bancorp, Inc.		11,974		242
Orrstown Financial Services, Inc.		5,999		83
Pacific Mercantile Bancorp *		14,047		66
Pacific Premier Bancorp, Inc.		33,783		636
Park National Corp.		7,921		615
Parke Bancorp, Inc.		5,798		78
PCB Bancorp		7,249		71
PCSB Financial Corp.		8,668		121
Peapack Gladstone Financial Corp.		10,940		196
Penns Woods Bancorp, Inc.		4,014		98
Peoples Bancorp of North Carolina, Inc.		2,693		55
Peoples Bancorp, Inc.		10,290		228
Peoples Financial Services Corp.		4,269		170
People’s Utah Bancorp		8,601		167
Pioneer Bancorp, Inc.  *		7,976		83
Preferred Bank		8,154		276
Premier Financial Bancorp, Inc.		7,638		95
Professional Holding Corp., Class A *		2,107		34
Provident Bancorp, Inc. *		4,670		40
Provident Financial Holdings, Inc.		3,421		52
Provident Financial Services, Inc.		36,361		468
Prudential Bancorp, Inc.		5,103		76
QCR Holdings, Inc.		8,508		230
RBB Bancorp		9,121		125
Red River Bancshares, Inc.		3,089		115
Reliant Bancorp, Inc.		7,537		85
Renasant Corp.		33,426		730
Republic Bancorp, Inc., Class A		5,569		184
Republic First Bancorp, Inc. *		19,999		44

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
Richmond Mutual Bancorporation, Inc. *		6,393		$65
Riverview Bancorp, Inc.		11,618		58
S&T Bancorp, Inc.		23,553		643
Sandy Spring Bancorp, Inc.		21,437		485
SB One Bancorp		4,162		71
Seacoast Banking Corp. of Florida *		31,518		577
Select Bancorp, Inc. *		10,586		81
ServisFirst Bancshares, Inc.		29,131		854
Shore Bancshares, Inc.		7,391		80
Sierra Bancorp		8,688		153
Silvergate Capital Corp., Class A *		3,359		32
Simmons First National Corp., Class A		58,194		1,071
SmartFinancial, Inc.		8,364		127
South Plains Financial, Inc.		5,548		86
South State Corp.		20,501		1,204
Southern First Bancshares, Inc. *		4,121		117
Southern Missouri Bancorp, Inc.		4,975		121
Southern National Bancorp of Virginia, Inc.		11,541		114
Southside Bancshares, Inc.		19,315		587
Spirit of Texas Bancshares, Inc. *		8,102		84
Sterling Bancorp, Inc.		9,921		43
Stock Yards Bancorp, Inc.		12,347		357
Summit Financial Group, Inc.		6,545		139
Territorial Bancorp, Inc.		4,551		112
Timberland Bancorp, Inc.		5,021		92
Tompkins Financial Corp.		8,728		627
Towne Bank		40,010		724
TriCo Bancshares		16,154		482
TriState Capital Holdings, Inc. *		15,419		149
Triumph Bancorp, Inc. *		13,672		355
TrustCo Bank Corp. NY		57,888		313
Trustmark Corp.		38,727		902
UMB Financial Corp.		26,937		1,249
Union Bankshares, Inc.		2,810		63
United Bankshares, Inc.		58,920		1,360
United Community Banks, Inc.		47,448		869
United Security Bancshares		8,001		51
Unity Bancorp, Inc.		5,112		60
Univest Financial Corp.		17,154		280
Valley National Bancorp		234,783		1,716
Veritex Holdings, Inc.		31,113		435
Washington Federal, Inc.		46,482		1,207

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 92 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Banking – 10.1% – continued
Washington Trust Bancorp, Inc.		9,767		$357
Waterstone Financial, Inc.		14,321		208
WesBanco, Inc.		39,910		946
West Bancorporation, Inc.		9,855		161
Westamerica Bancorporation		15,643		920
Western New England Bancorp, Inc.		16,124		109
WSFS Financial Corp.		30,466		759
				89,366
Biotechnology & Pharmaceuticals – 10.8%
89bio, Inc.  *		1,729		44
Abeona Therapeutics, Inc.  *		33,545		70
ACADIA Pharmaceuticals, Inc. *		67,985		2,872
Acceleron Pharma, Inc. *		27,291		2,453
AcelRx Pharmaceuticals, Inc. *		56,588		67
Acer Therapeutics, Inc. *		6,900		14
Acorda Therapeutics, Inc. *		38,635		36
Adamas Pharmaceuticals, Inc. *		20,209		58
ADMA Biologics, Inc. *		36,346		105
Aduro Biotech, Inc. *		35,970		99
Adverum Biotechnologies, Inc. *		38,291		374
Aeglea BioTherapeutics, Inc. *		18,895		88
Aerie Pharmaceuticals, Inc. *		26,776		361
Affimed N.V. *		43,488		69
Agenus, Inc. *		60,189		147
AgeX Therapeutics, Inc. *		5,527		5
Aimmune Therapeutics, Inc. *		27,585		398
Akcea Therapeutics, Inc. *		6,374		91
Akebia Therapeutics, Inc. *		71,491		542
Akero Therapeutics, Inc. *		5,796		123
Akorn, Inc. *		67,442		38
Albireo Pharma, Inc. *		7,859		129
Aldeyra Therapeutics, Inc. *		16,288		40
Alector, Inc. *		20,928		505
Allakos, Inc. *		11,886		529
Allogene Therapeutics, Inc. *		23,881		464
AMAG Pharmaceuticals, Inc. *		23,068		143
Amicus Therapeutics, Inc. *		154,266		1,425
Amneal Pharmaceuticals, Inc. *		71,408		248
Amphastar Pharmaceuticals, Inc. *		22,478		334
AnaptysBio, Inc. *		13,859		196
Anavex Life Sciences Corp. *		31,002		98
ANI Pharmaceuticals, Inc. *		5,501		224
Anika Therapeutics, Inc. *		8,061		233
Antares Pharma, Inc. *		101,126		239

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
Apellis Pharmaceuticals, Inc. *		33,933		$909
Applied Therapeutics, Inc. *		4,863		159
Aprea Therapeutics, Inc. *		3,881		135
Arcus Biosciences, Inc. *		19,546		271
Arcutis Biotherapeutics, Inc. *		6,120		182
Ardelyx, Inc. *		37,521		213
Arena Pharmaceuticals, Inc. *		30,362		1,275
Arrowhead Pharmaceuticals, Inc. *		60,639		1,745
Arvinas, Inc. *		12,956		522
Assembly Biosciences, Inc. *		16,336		242
Assertio Therapeutics, Inc. *		15,196		10
Atara Biotherapeutics, Inc. *		32,202		274
Athenex, Inc. *		43,132		334
Athersys, Inc. *		73,126		219
Atreca, Inc., Class A *		10,118		167
Avid Bioservices, Inc. *		32,478		166
Avrobio, Inc. *		14,882		232
Axsome Therapeutics, Inc. *		16,345		962
Baudax Bio, Inc. *		4,842		12
Beam Therapeutics, Inc. *		7,265		131
Beyondspring, Inc. *		7,824		100
BioCryst Pharmaceuticals, Inc. *		90,900		182
BioDelivery Sciences International, Inc. *		52,285		198
Biohaven Pharmaceutical Holding Co. Ltd. *		25,774		877
BioSpecifics Technologies Corp. *		3,459		196
Bioxcel Therapeutics, Inc. *		3,942		88
Black Diamond Therapeutics, Inc. *		7,024		175
Blueprint Medicines Corp. *		32,378		1,893
Bridgebio Pharma, Inc. *		45,239		1,312
Cabaletta Bio, Inc. *		5,000		36
Calithera Biosciences, Inc. *		37,328		166
Cara Therapeutics, Inc. *		25,124		332
CASI Pharmaceuticals, Inc. *		36,417		74
Catalyst Pharmaceuticals, Inc. *		57,951		223
cbdMD, Inc. *		10,695		10
CEL-SCI Corp. *		20,168		233
Centogene N.V. *		1,261		25
Cerecor, Inc. *		15,494		38
Checkpoint Therapeutics, Inc. *		17,670		27
ChemoCentryx, Inc. *		24,607		989
Chiasma, Inc. *		24,740		90
Chimerix, Inc. *		24,405		35

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 93 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
ChromaDex Corp. *		28,486		$93
Clovis Oncology, Inc. *		30,695		195
Coherus Biosciences, Inc. *		37,987		616
Collegium Pharmaceutical, Inc. *		19,303		315
Concert Pharmaceuticals, Inc. *		15,557		138
Constellation Pharmaceuticals, Inc. *		11,382		358
Corbus Pharmaceuticals Holdings, Inc. *		42,868		225
Corcept Therapeutics, Inc. *		58,586		697
CorMedix, Inc. *		17,020		61
Cortexyme, Inc. *		6,863		313
Crinetics Pharmaceuticals, Inc. *		7,974		117
Cue Biopharma, Inc. *		11,112		158
Cyclerion Therapeutics, Inc. *		17,053		45
Cymabay Therapeutics, Inc. *		36,254		54
Cytokinetics, Inc. *		34,913		412
CytomX Therapeutics, Inc. *		27,486		211
Deciphera Pharmaceuticals, Inc. *		12,683		522
Denali Therapeutics, Inc. *		31,595		553
Dicerna Pharmaceuticals, Inc. *		32,046		589
Dynavax Technologies Corp. *		50,902		180
Eagle Pharmaceuticals, Inc. *		5,480		252
Editas Medicine, Inc. *		30,973		614
Eidos Therapeutics, Inc. *		6,486		318
Eiger BioPharmaceuticals, Inc. *		16,928		115
Eloxx Pharmaceuticals, Inc. *		15,305		30
Emergent BioSolutions, Inc. *		27,911		1,615
Enanta Pharmaceuticals, Inc. *		11,203		576
Endo International PLC *		135,855		503
Enochian Biosciences, Inc. *		2,901		9
Epizyme, Inc. *		46,803		726
Esperion Therapeutics, Inc. *		15,006		473
Evelo Biosciences, Inc. *		9,928		37
Evolus, Inc. *		8,610		36
Exagen, Inc. *		1,867		30
EyePoint Pharmaceuticals, Inc. *		44,705		46
Fate Therapeutics, Inc. *		36,666		814
FibroGen, Inc. *		47,648		1,656
Five Prime Therapeutics, Inc. *		27,029		61
Flexion Therapeutics, Inc. *		20,535		162
Forty Seven, Inc. *		15,366		1,466
Frequency Therapeutics, Inc. *		3,425		61
Fulcrum Therapeutics, Inc. *		7,571		90
G1 Therapeutics, Inc. *		20,001		220
Galectin Therapeutics, Inc. *		28,927		57

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
Geron Corp. *		126,191		$150
Global Blood Therapeutics, Inc. *		35,423		1,810
GlycoMimetics, Inc. *		24,423		56
Gossamer Bio, Inc. *		26,504		269
Gritstone Oncology, Inc. *		12,513		73
Halozyme Therapeutics, Inc. *		80,621		1,450
Harpoon Therapeutics, Inc. *		5,237		61
Heron Therapeutics, Inc. *		50,894		597
Heska Corp. *		4,402		243
Homology Medicines, Inc. *		14,248		221
Hookipa Pharma, Inc. *		6,614		55
IGM Biosciences, Inc. *		2,956		166
ImmunoGen, Inc. *		102,151		348
Immunomedics, Inc. *		114,333		1,541
Innoviva, Inc. *		36,914		434
Inovio Pharmaceuticals, Inc. *		57,728		429
Insmed, Inc. *		54,783		878
Intellia Therapeutics, Inc. *		23,172		283
Intercept Pharmaceuticals, Inc. *		15,008		945
Intersect ENT, Inc. *		18,418		218
Intra-Cellular Therapies, Inc. *		31,640		486
Iovance Biotherapeutics, Inc. *		71,060		2,127
Ironwood Pharmaceuticals, Inc. *		94,890		957
Jounce Therapeutics, Inc. *		9,436		45
Kadmon Holdings, Inc. *		94,023		394
Kala Pharmaceuticals, Inc. *		14,021		123
Kaleido Biosciences, Inc. *		6,696		41
KalVista Pharmaceuticals, Inc. *		8,430		64
Karuna Therapeutics, Inc. *		6,356		458
Karyopharm Therapeutics, Inc. *		36,248		696
Kezar Life Sciences, Inc. *		15,547		68
Kindred Biosciences, Inc. *		26,749		107
Kiniksa Pharmaceuticals Ltd., Class A *		8,525		132
Kodiak Sciences, Inc. *		17,002		811
Krystal Biotech, Inc. *		6,516		282
Kura Oncology, Inc. *		21,738		216
La Jolla Pharmaceutical Co. *		15,143		64
Lannett Co., Inc. *		20,595		143
Lexicon Pharmaceuticals, Inc. *		29,973		58
Lifevantage Corp. *		9,046		93
Ligand Pharmaceuticals, Inc. *		10,212		743
Lineage Cell Therapeutics, Inc. *		83,221		69
Liquidia Technologies, Inc. *		3,799		18
Livongo Health, Inc. *		31,070		886

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 94 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
LogicBio Therapeutics, Inc. *		5,930		$29
MacroGenics, Inc. *		30,571		178
Madrigal Pharmaceuticals, Inc. ADR *		5,346		357
Magenta Therapeutics, Inc. *		9,564		60
Mallinckrodt PLC *		51,114		101
MannKind Corp. *		104,854		108
Marinus Pharmaceuticals, Inc. *		44,415		90
Marker Therapeutics, Inc. *		19,569		37
MediciNova, Inc. *		29,728		111
MEI Pharma, Inc. *		49,215		79
MeiraGTx Holdings PLC *		11,167		150
Menlo Therapeutics, Inc. *		23,760		64
Mersana Therapeutics, Inc. *		20,597		120
Millendo Therapeutics, Inc. *		6,781		36
Minerva Neurosciences, Inc. *		14,790		89
Mirati Therapeutics, Inc. *		17,997		1,383
Mirum Pharmaceuticals, Inc. *		3,608		51
Molecular Templates, Inc. *		12,294		163
Momenta Pharmaceuticals, Inc. *		68,749		1,870
Morphic Holding, Inc. *		6,338		93
Mustang Bio, Inc. *		20,103		54
MyoKardia, Inc. *		27,232		1,277
Nature’s Sunshine Products, Inc. *		6,316		51
Neon Therapeutics, Inc. *		11,236		30
NextCure, Inc. *		8,499		315
NGM Biopharmaceuticals, Inc. *		14,678		181
Novavax, Inc. *		19,349		263
Ocular Therapeutix, Inc. *		25,257		125
Odonate Therapeutics, Inc. *		5,587		154
Omeros Corp. *		29,805		398
Oncocyte Corp. *		15,523		38
Optinose, Inc. *		17,997		81
Organogenesis Holdings, Inc. *		7,608		25
Osmotica Pharmaceuticals PLC *		8,496		27
Oyster Point Pharma, Inc. *		3,391		119
Pacira BioSciences, Inc. *		25,048		840
Palatin Technologies, Inc. *		146,147		62
Paratek Pharmaceuticals, Inc. *		18,242		57
PDL BioPharma, Inc. *		64,885		183
Pfenex, Inc. *		17,954		158
PhaseBio Pharmaceuticals, Inc. *		10,381		34
Phathom Pharmaceuticals, Inc. *		6,311		163
Pieris Pharmaceuticals, Inc. *		33,424		76
PolarityTE, Inc. *		2,277		2

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
Portola Pharmaceuticals, Inc. *		45,916		$327
Precigen, Inc. *		51,822		176
Prestige Consumer Healthcare, Inc. *		30,145		1,106
Prevail Therapeutics, Inc. *		8,180		100
Principia Biopharma, Inc. *		11,056		657
Progenics Pharmaceuticals, Inc. *		48,831		186
Protagonist Therapeutics, Inc. *		12,300		87
Prothena Corp. PLC *		24,351		261
PTC Therapeutics, Inc. *		36,487		1,628
Puma Biotechnology, Inc. *		17,146		145
Ra Pharmaceuticals, Inc. *		21,178		1,017
Radius Health, Inc. *		27,119		353
Reata Pharmaceuticals, Inc., Class A *		13,720		1,980
Recro Pharma, Inc. *		12,106		99
REGENXBIO, Inc. *		20,759		672
Replimune Group, Inc. *		8,376		84
resTORbio, Inc. *		11,095		11
Retrophin, Inc. *		25,387		370
Revance Therapeutics, Inc. *		30,937		458
REVOLUTION Medicines, Inc. *		8,367		183
Rhythm Pharmaceuticals, Inc. *		18,679		284
Rigel Pharmaceuticals, Inc. *		101,950		159
Rocket Pharmaceuticals, Inc. *		20,915		292
Rockwell Medical, Inc. *		41,226		85
Rubius Therapeutics, Inc. *		21,104		94
Sangamo Therapeutics, Inc. *		71,704		457
Satsuma Pharmaceuticals, Inc. *		2,540		55
Savara, Inc. *		17,142		36
Scholar Rock Holding Corp. *		10,614		129
Seres Therapeutics, Inc. *		22,353		80
SIGA Technologies, Inc. *		32,826		157
Solid Biosciences, Inc. *		10,074		24
Sorrento Therapeutics, Inc. *		75,981		140
Spectrum Pharmaceuticals, Inc. *		65,869		153
Spero Therapeutics, Inc. *		7,876		64
SpringWorks Therapeutics, Inc. *		6,244		169
Stemline Therapeutics, Inc. *		23,571		114
Stoke Therapeutics, Inc. *		10,137		232
Strongbridge Biopharma PLC *		14,057		27
Supernus Pharmaceuticals, Inc. *		30,627		551
Sutro Biopharma, Inc. *		7,857		80
Syndax Pharmaceuticals, Inc. *		14,516		159
Synlogic, Inc. *		14,852		26
Syros Pharmaceuticals, Inc. *		21,870		130

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 95 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Biotechnology & Pharmaceuticals – 10.8% – continued
TCR2 Therapeutics, Inc. *		8,459		$65
TG Therapeutics, Inc. *		51,978		511
TherapeuticsMD, Inc. *		144,887		154
Theravance Biopharma, Inc. *		29,022		671
Tocagen, Inc. *		20,000		24
Translate Bio, Inc. *		21,212		211
TransMedics Group, Inc. *		8,175		99
Tricida, Inc. *		13,463		296
Turning Point Therapeutics, Inc. *		16,679		745
Twist Bioscience Corp. *		15,816		484
Tyme Technologies, Inc. *		42,626		47
Ultragenyx Pharmaceutical, Inc. *		32,886		1,461
UNITY Biotechnology, Inc. *		19,273		112
UroGen Pharma Ltd. *		11,413		204
USANA Health Sciences, Inc. *		7,683		444
Vanda Pharmaceuticals, Inc. *		31,320		324
VBI Vaccines, Inc. *		101,246		96
Verrica Pharmaceuticals, Inc. *		9,311		102
Viela Bio, Inc. *		3,239		123
Viking Therapeutics, Inc. *		35,881		168
Vir Biotechnology, Inc. *		4,405		151
Voyager Therapeutics, Inc. *		15,641		143
WaVe Life Sciences Ltd. *		13,689		128
X4 Pharmaceuticals, Inc. *		10,108		101
XBiotech, Inc. *		7,599		81
Xencor, Inc. *		29,050		868
Xeris Pharmaceuticals, Inc. *		19,255		38
Y-mAbs Therapeutics, Inc. *		14,304		373
ZIOPHARM Oncology, Inc. *		109,118		267
Zogenix, Inc. *		26,365		652
Zynerba Pharmaceuticals, Inc. *		16,526		63
				96,132
Chemicals – 2.0%
AdvanSix, Inc. *		17,330		165
American Vanguard Corp.		17,082		247
Amyris, Inc. *		41,828		107
Balchem Corp.		19,550		1,930
Codexis, Inc. *		32,630		364
Ferro Corp. *		49,182		460
GCP Applied Technologies, Inc. *		33,518		597
H.B. Fuller Co.		31,023		866
Hawkins, Inc.		6,105		217
Haynes International, Inc.		6,893		142
Ingevity Corp. *		25,806		908

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Chemicals – 2.0% – continued
Innospec, Inc.		14,642		$1,018
Intrepid Potash, Inc. *		68,851		55
Koppers Holdings, Inc. *		11,589		143
Kraton Corp. *		17,689		143
Kronos Worldwide, Inc.		13,011		110
LSB Industries, Inc. *		5,619		12
Lydall, Inc. *		12,314		80
Marrone Bio Innovations, Inc. *		37,468		31
Materion Corp.		12,405		434
Minerals Technologies, Inc.		20,100		729
Oil-Dri Corp. of America		3,033		101
OMNOVA Solutions, Inc. *		26,914		273
Orion Engineered Carbons S.A.		37,402		279
PolyOne Corp.		54,452		1,033
PQ Group Holdings, Inc. *		22,797		249
Quaker Chemical Corp.		7,937		1,002
Rayonier Advanced Materials, Inc.		35,246		37
Rogers Corp. *		11,321		1,069
Sensient Technologies Corp.		25,734		1,120
Stepan Co.		12,299		1,088
Trecora Resources *		15,413		92
Trinseo S.A.		23,417		424
Tronox Holdings PLC, Class A		56,760		283
Valhi, Inc.		8,378		9
WD-40 Co.		8,443		1,696
				17,513
Commercial Services – 2.7%
ABM Industries, Inc.		40,289		981
Acacia Research Corp. *		26,114		58
AMN Healthcare Services, Inc. *		27,769		1,605
ASGN, Inc. *		31,256		1,104
Barrett Business Services, Inc.		4,272		169
BG Staffing, Inc.		6,512		49
Brady Corp., Class A		29,472		1,330
BrightView Holdings, Inc. *		18,779		208
Brink’s (The) Co.		30,499		1,587
CBIZ, Inc. *		30,856		645
Cimpress PLC *		11,272		600
Collectors Universe, Inc.		4,694		74
CorVel Corp. *		5,205		284
CRA International, Inc.		4,870		163
Cross Country Healthcare, Inc. *		21,506		145
Deluxe Corp.		26,201		679
Emerald Holding, Inc.		17,851		46

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 96 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Commercial Services – 2.7% – continued
Ennis, Inc.		15,816		$297
Forrester Research, Inc. *		6,174		180
Franklin Covey Co. *		6,031		94
FTI Consulting, Inc. *		22,627		2,710
GP Strategies Corp. *		9,233		60
Hackett Group (The), Inc.		14,758		188
Healthcare Services Group, Inc.		44,915		1,074
Heidrick & Struggles International, Inc.		11,705		263
HMS Holdings Corp. *		53,228		1,345
Huron Consulting Group, Inc. *		13,630		618
Information Services Group, Inc. *		25,765		66
Insperity, Inc.		22,025		822
Kelly Services, Inc., Class A		19,415		246
Kforce, Inc.		11,621		297
Korn Ferry		32,888		800
National Research Corp.		7,049		321
NV5 Global, Inc. *		6,494		268
PRGX Global, Inc. *		17,137		48
Quad/Graphics, Inc.		21,176		53
R.R. Donnelley & Sons Co.		51,004		49
R1 RCM, Inc. *		64,799		589
Resources Connection, Inc.		18,403		202
ShotSpotter, Inc. *		4,486		123
SP Plus Corp. *		13,863		288
TriNet Group, Inc. *		26,312		991
TrueBlue, Inc. *		24,235		309
UniFirst Corp.		9,153		1,383
Vectrus, Inc. *		6,779		281
Viad Corp.		11,765		250
Willdan Group, Inc. *		6,576		141
				24,083
Construction Materials – 1.1%
Advanced Drainage Systems, Inc.		25,665		756
Apogee Enterprises, Inc.		16,091		335
Boise Cascade Co.		23,440		557
Forterra, Inc. *		13,414		80
Louisiana-Pacific Corp.		68,582		1,178
Simpson Manufacturing Co., Inc.		27,029		1,675
Summit Materials, Inc., Class A *		68,778		1,032
Trex Co., Inc. *		35,389		2,836
United States Lime & Minerals, Inc. *		1,164		86
Universal Forest Products, Inc.		35,976		1,338
US Concrete, Inc. *		9,975		181
				10,054

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Consumer Products – 2.5%
22nd Century Group, Inc. *		74,232		$56
Alico, Inc.		2,916		91
B&G Foods, Inc.		38,368		694
BellRing Brands, Inc., Class A *		24,872		424
Boston Beer (The) Co., Inc., Class A *		5,037		1,851
Bridgford Foods Corp. *		1,862		43
Cadiz, Inc. *		7,298		85
Cal-Maine Foods, Inc.		18,716		823
Celsius Holdings, Inc. *		18,149		76
Central Garden & Pet Co. *		5,622		155
Central Garden & Pet Co., Class A *		24,633		630
Clearwater Paper Corp. *		9,249		202
Coca-Cola Consolidated, Inc.		2,891		603
Craft Brew Alliance, Inc. *		8,377		125
Darling Ingredients, Inc. *		100,292		1,923
Edgewell Personal Care Co. *		32,615		785
elf Beauty, Inc. *		15,792		155
Farmer Brothers Co. *		7,646		53
Fresh Del Monte Produce, Inc.		18,373		507
Helen of Troy Ltd. *		15,320		2,207
Hostess Brands, Inc. *		73,137		780
Inter Parfums, Inc.		10,572		490
J&J Snack Foods Corp.		9,121		1,104
John B. Sanfilippo & Son, Inc.		5,155		461
Lancaster Colony Corp.		11,604		1,678
Landec Corp. *		14,192		123
Limoneira Co.		8,429		110
MGP Ingredients, Inc.		7,346		198
Nathan’s Famous, Inc.		1,848		113
National Beverage Corp. *		6,938		296
New Age Beverages Corp. *		54,162		75
Phibro Animal Health Corp., Class A		12,203		295
Pyxus International, Inc. *		6,092		19
Quanex Building Products Corp.		20,573		207
Revlon, Inc., Class A *		4,985		54
Sanderson Farms, Inc.		12,162		1,500
Seneca Foods Corp., Class A *		3,765		150
Simply Good Foods (The) Co. *		50,882		980
Tejon Ranch Co. *		12,400		174
Tootsie Roll Industries, Inc.		9,878		355
Turning Point Brands, Inc.		4,300		91
Universal Corp.		14,452		639

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 97 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Consumer Products – 2.5% – continued
Vector Group Ltd.		68,323		$644
Youngevity International, Inc. *		8,956		6
				22,030
Consumer Services – 1.1%
Aaron’s, Inc.		41,033		935
Adtalem Global Education, Inc. *		31,135		834
American Public Education, Inc. *		9,213		220
Carriage Services, Inc.		9,896		160
Chegg, Inc. *		71,997		2,576
K12, Inc. *		23,631		446
Laureate Education, Inc., Class A *		68,781		723
Medifast, Inc.		6,611		413
Perdoceo Education Corp. *		40,418		436
Regis Corp. *		13,144		78
Rent-A-Center, Inc.		29,223		413
Rosetta Stone, Inc. *		13,343		187
Strategic Education, Inc.		12,956		1,811
WW International, Inc. *		28,858		488
				9,720
Containers & Packaging – 0.2%
Greif, Inc., Class A		15,834		492
Greif, Inc., Class B		3,850		154
Matthews International Corp., Class A		19,155		464
Myers Industries, Inc.		21,293		229
TriMas Corp. *		27,235		629
UFP Technologies, Inc. *		3,988		152
				2,120
Design, Manufacturing & Distribution – 0.7%
Benchmark Electronics, Inc.		22,615		452
Fabrinet *		22,381		1,221
Plexus Corp. *		17,545		957
Sanmina Corp. *		41,130		1,122
Tech Data Corp. *		21,410		2,802
				6,554
Distributors - Consumer Staples – 0.5%
Andersons (The), Inc.		19,551		367
Calavo Growers, Inc.		9,939		573
Chefs’ Warehouse (The), Inc. *		15,330		154
Core-Mark Holding Co., Inc.		28,004		800
HF Foods Group, Inc. *		12,944		109
Performance Food Group Co. *		68,957		1,705
United Natural Foods, Inc. *		31,259		287
				3,995

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Distributors - Discretionary – 0.2%
ePlus, Inc. *		8,228		$515
G-III Apparel Group Ltd. *		28,045		216
PC Connection, Inc.		6,889		284
ScanSource, Inc. *		16,140		345
Veritiv Corp. *		6,094		48
				1,408
Electrical Equipment – 2.2%
AAON, Inc.		25,080		1,212
Advanced Energy Industries, Inc. *		23,240		1,127
Alarm.com Holdings, Inc. *		22,551		877
Allied Motion Technologies, Inc.		3,149		75
Argan, Inc.		8,645		299
Atkore International Group, Inc. *		28,146		593
Badger Meter, Inc.		17,558		941
Bel Fuse, Inc., Class B		7,129		69
Belden, Inc.		24,082		869
Bloom Energy Corp., Class A *		33,607		176
Chase Corp.		4,460		367
CompX International, Inc.		879		13
Energous Corp. *		4,160		3
FARO Technologies, Inc. *		10,825		482
Generac Holdings, Inc. *		36,930		3,441
IntriCon Corp. *		4,088		48
Itron, Inc. *		20,889		1,166
KEMET Corp.		35,032		846
Kimball Electronics, Inc. *		15,719		172
Mesa Laboratories, Inc.		2,397		542
Napco Security Technologies, Inc. *		7,243		110
NL Industries, Inc.		6,041		18
nLight, Inc. *		19,232		202
Novanta, Inc. *		20,537		1,641
OSI Systems, Inc. *		10,365		714
Powell Industries, Inc.		5,497		141
Preformed Line Products Co.		2,218		111
SMART Global Holdings, Inc. *		8,366		203
SPX Corp. *		26,386		861
Stoneridge, Inc. *		15,827		265
Transcat, Inc. *		3,996		106
Watts Water Technologies, Inc., Class A		16,558		1,402
Wrap Technologies, Inc. *		8,475		36
				19,128
Engineering & Construction Services – 1.7%
Aegion Corp. *		19,042		342

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 98 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Engineering & Construction Services – 1.7% – continued
Arcosa, Inc.		29,688		$1,180
Comfort Systems U.S.A., Inc.		22,440		820
Concrete Pumping Holdings, Inc. *		14,460		41
Construction Partners, Inc., Class A *		11,328		191
Dycom Industries, Inc. *		17,926		460
EMCOR Group, Inc.		33,648		2,063
Exponent, Inc.		31,712		2,280
Granite Construction, Inc.		28,025		426
Great Lakes Dredge & Dock Corp. *		37,412		311
IES Holdings, Inc. *		4,838		85
Installed Building Products, Inc. *		13,782		550
Iteris, Inc. *		26,532		85
KBR, Inc.		85,796		1,774
Kratos Defense & Security Solutions, Inc. *		55,508		768
MasTec, Inc. *		36,560		1,197
Mistras Group, Inc. *		12,999		55
MYR Group, Inc. *		10,016		262
Primoris Services Corp.		27,320		434
Sterling Construction Co., Inc. *		16,134		153
TopBuild Corp. *		20,062		1,437
Tutor Perini Corp. *		22,440		151
VSE Corp.		5,416		89
WillScot Corp. *		32,159		326
				15,480
Forest & Paper Products – 0.2%
Neenah, Inc.		9,809		423
P.H. Glatfelter Co.		26,210		320
Schweitzer-Mauduit International, Inc.		18,613		518
Verso Corp., Class A *		22,300		252
				1,513
Gaming, Lodging & Restaurants – 2.0%
BBX Capital Corp.		47,299		109
Biglari Holdings, Inc., Class B *		682		35
BJ’s Restaurants, Inc.		10,840		151
Bloomin’ Brands, Inc.		53,396		381
Bluegreen Vacations Corp.		132		1
Boyd Gaming Corp.		49,228		710
Brinker International, Inc.		23,087		277
Cannae Holdings, Inc. *		44,272		1,483
Carrols Restaurant Group, Inc. *		25,215		46
Century Casinos, Inc. *		14,726		36
Cheesecake Factory (The), Inc.		25,639		438
Churchill Downs, Inc.		21,206		2,183

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Gaming, Lodging & Restaurants – 2.0% – continued
Chuy’s Holdings, Inc. *		10,405		$105
Cracker Barrel Old Country Store, Inc.		14,578		1,213
Dave & Buster’s Entertainment, Inc.		17,945		235
Del Taco Restaurants, Inc. *		14,094		48
Denny’s Corp. *		34,683		266
Dine Brands Global, Inc.		10,108		290
El Pollo Loco Holdings, Inc. *		13,987		118
Eldorado Resorts, Inc. *		40,400		582
Everi Holdings, Inc. *		42,258		139
Fiesta Restaurant Group, Inc. *		9,296		37
Golden Entertainment, Inc. *		12,352		82
J. Alexander’s Holdings, Inc. *		9,273		36
Jack in the Box, Inc.		13,426		471
Kura Sushi U.S.A., Inc., Class A *		2,430		29
Lindblad Expeditions Holdings, Inc. *		14,484		60
Marriott Vacations Worldwide Corp.		25,102		1,395
Monarch Casino & Resort, Inc. *		6,781		190
Noodles & Co. *		17,200		81
Papa John’s International, Inc.		13,600		726
Penn National Gaming, Inc. *		67,513		854
Potbelly Corp. *		18,216		56
Red Lion Hotels Corp. *		17,406		25
Red Robin Gourmet Burgers, Inc. *		9,369		80
Red Rock Resorts, Inc., Class A		42,020		359
Ruth’s Hospitality Group, Inc.		17,511		117
Scientific Games Corp. *		32,306		313
Shake Shack, Inc., Class A *		17,749		670
St. Joe (The) Co. *		20,362		342
Target Hospitality Corp. *		23,848		47
Texas Roadhouse, Inc.		40,460		1,671
Twin River Worldwide Holdings, Inc.		12,262		160
Waitr Holdings, Inc. *		33,437		41
Wingstop, Inc.		18,012		1,436
				18,124
Hardware – 2.1%
3D Systems Corp. *		70,926		547
A10 Networks, Inc. *		29,076		181
Acacia Communications, Inc. *		23,010		1,546
ADTRAN, Inc.		26,890		206
Airgain, Inc. *		6,454		48
Akoustis Technologies, Inc. *		18,137		97
Anterix, Inc. *		6,769		309
Applied Optoelectronics, Inc. *		9,434		72
Arlo Technologies, Inc. *		53,388		130

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 99 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Hardware – 2.1% – continued
AstroNova, Inc.		3,989		$31
CalAmp Corp. *		17,276		78
Casa Systems, Inc. *		24,595		86
Clearfield, Inc. *		8,089		96
Comtech Telecommunications Corp.		14,701		195
Cubic Corp.		19,201		793
Daktronics, Inc.		22,337		110
DASAN Zhone Solutions, Inc. *		3,466		14
Diebold Nixdorf, Inc. *		45,811		161
Digimarc Corp. *		7,048		92
Extreme Networks, Inc. *		74,213		229
Fitbit, Inc., Class A *		139,488		929
GoPro, Inc., Class A *		73,550		193
Harmonic, Inc. *		54,379		313
Infinera Corp. *		109,235		579
Inseego Corp. *		25,122		156
Inspired Entertainment, Inc. *		6,389		22
InterDigital, Inc.		18,576		829
Knowles Corp. *		49,618		664
Lumentum Holdings, Inc. *		45,347		3,342
Maxar Technologies, Inc.		35,737		382
NETGEAR, Inc. *		17,362		397
NetScout Systems, Inc. *		42,336		1,002
PAR Technology Corp. *		6,637		85
Pitney Bowes, Inc.		98,657		201
Plantronics, Inc.		21,127		212
PlayAGS, Inc. *		19,214		51
Ribbon Communications, Inc. *		35,967		109
Sonos, Inc. *		47,986		407
Stratasys Ltd. *		31,851		508
TESSCO Technologies, Inc.		4,661		23
TTM Technologies, Inc. *		58,515		605
Universal Electronics, Inc. *		8,277		318
Viavi Solutions, Inc. *		140,887		1,579
Vicor Corp. *		10,458		466
Vishay Precision Group, Inc. *		6,213		125
Vocera Communications, Inc. *		18,730		398
ZAGG, Inc. *		20,257		63
				18,979
Health Care Facilities & Services – 3.4%
Addus HomeCare Corp. *		7,580		512
Amedisys, Inc. *		18,983		3,484
American Renal Associates Holdings, Inc. *		9,290		61

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Health Care Facilities & Services – 3.4% – continued
Apollo Medical Holdings, Inc. *		4,704		$61
Avalon GloboCare Corp. *		15,652		24
Brookdale Senior Living, Inc. *		115,354		360
Catasys, Inc. *		5,205		79
Cellular Biomedicine Group, Inc. *		6,296		100
Community Health Systems, Inc. *		50,327		168
Ensign Group (The), Inc.		30,527		1,148
Enzo Biochem, Inc. *		31,868		81
Evofem Biosciences, Inc. *		10,218		54
Genesis Healthcare, Inc. *		57,916		49
Hanger, Inc. *		22,695		354
HealthEquity, Inc. *		41,831		2,116
Independence Holding Co.		2,904		74
Invitae Corp. *		51,475		704
Joint (The) Corp. *		7,653		83
LHC Group, Inc. *		18,151		2,545
Magellan Health, Inc. *		13,564		653
Medpace Holdings, Inc. *		16,884		1,239
National HealthCare Corp.		7,365		528
NeoGenomics, Inc. *		57,330		1,583
Neuronetics, Inc. *		3,913		7
OPKO Health, Inc. *		230,839		309
Option Care Health, Inc. *		17,121		162
Owens & Minor, Inc.		37,195		340
Patterson Cos., Inc.		50,041		765
Pennant Group (The), Inc. *		15,013		213
Personalis, Inc. *		13,459		109
Progyny, Inc. *		6,484		137
Providence Service (The) Corp. *		7,238		397
RadNet, Inc. *		26,078		274
Select Medical Holdings Corp. *		67,295		1,010
SI-BONE, Inc. *		11,612		139
Surgery Partners, Inc. *		17,356		113
Syneos Health, Inc. *		38,075		1,501
Teladoc Health, Inc. *		43,726		6,778
Tenet Healthcare Corp. *		63,047		908
Tivity Health, Inc. *		25,727		162
Triple-S Management Corp., Class B *		13,102		185
U.S. Physical Therapy, Inc.		7,585		523
Vapotherm, Inc. *		8,329		157
				30,249
Home & Office Products – 1.8%
ACCO Brands Corp.		58,131		294
American Woodmark Corp. *		10,252		467

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 100 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Home & Office Products – 1.8% – continued
Armstrong Flooring, Inc. *		19,145		$27
Beazer Homes U.S.A., Inc. *		19,831		128
Caesarstone Ltd.		13,569		143
Cavco Industries, Inc. *		5,290		767
Century Communities, Inc. *		18,678		271
Cornerstone Building Brands, Inc. *		23,716		108
Flexsteel Industries, Inc.		5,983		66
Forestar Group, Inc. *		10,314		107
Green Brick Partners, Inc. *		15,197		122
Griffon Corp.		21,962		278
Hamilton Beach Brands Holding Co., Class A		4,743		45
Herman Miller, Inc.		35,336		784
HNI Corp.		25,906		653
Hooker Furniture Corp.		6,203		97
Interface, Inc.		35,974		272
iRobot Corp. *		16,409		671
JELD-WEN Holding, Inc. *		41,535		404
KB Home		51,889		939
Kimball International, Inc., Class B		21,357		254
Knoll, Inc.		29,511		305
LGI Homes, Inc. *		11,994		542
Lifetime Brands, Inc.		8,566		48
M/I Homes, Inc. *		16,059		265
Masonite International Corp. *		15,266		724
MDC Holdings, Inc.		29,805		692
Meritage Homes Corp. *		21,797		796
MSA Safety, Inc.		21,337		2,159
Patrick Industries, Inc.		14,006		394
PGT Innovations, Inc. *		35,776		300
Purple Innovation, Inc. *		2,699		15
Select Interior Concepts, Inc., Class A *		12,539		26
Skyline Champion Corp. *		30,902		485
Steelcase, Inc., Class A		53,276		526
Taylor Morrison Home Corp. *		79,328		873
TRI Pointe Group, Inc. *		85,898		753
Tupperware Brands Corp.		30,876		50
				15,850
Industrial Services – 0.8%
Anixter International, Inc. *		18,642		1,638
Applied Industrial Technologies, Inc.		23,266		1,064
CAI International, Inc. *		10,266		145
DXP Enterprises, Inc. *		10,064		123
EVI Industries, Inc. *		3,056		48

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Industrial Services – 0.8% – continued
H&E Equipment Services, Inc.		19,402		$285
Harsco Corp. *		49,116		342
Herc Holdings, Inc. *		14,773		302
SiteOne Landscape Supply, Inc. *		24,931		1,836
Systemax, Inc.		7,031		125
Team, Inc. *		14,662		95
Textainer Group Holdings Ltd. *		32,090		264
Titan Machinery, Inc. *		9,476		82
Triton International Ltd.		33,299		862
				7,211
Institutional Financial Services – 0.4%
Amerant Bancorp, Inc. *		11,181		172
Cowen, Inc., Class A		17,541		169
Greenhill & Co., Inc.		8,245		81
Houlihan Lokey, Inc.		25,995		1,355
INTL. FCStone, Inc. *		9,598		348
Moelis & Co., Class A		29,151		819
Piper Sandler Cos.		8,305		420
PJT Partners, Inc., Class A		13,961		606
				3,970
Insurance – 3.0%
Ambac Financial Group, Inc. *		28,931		357
American Equity Investment Life Holding Co.		55,811		1,049
AMERISAFE, Inc.		11,757		758
Argo Group International Holdings Ltd.		19,962		740
Benefytt Technologies, Inc. *		5,483		123
BRP Group, Inc., Class A *		10,661		112
Citizens, Inc. *		27,944		182
CNO Financial Group, Inc.		89,968		1,115
Crawford & Co., Class A		10,664		77
Donegal Group, Inc., Class A		6,033		92
eHealth, Inc. *		13,956		1,965
Employers Holdings, Inc.		18,909		766
Enstar Group Ltd. *		6,900		1,097
FBL Financial Group, Inc., Class A		5,683		265
FedNat Holding Co.		8,339		96
FGL Holdings		88,955		872
Genworth Financial, Inc., Class A *		304,255		1,010
Global Indemnity Ltd.		4,815		123
Goosehead Insurance, Inc., Class A		6,882		307
Greenlight Capital Re Ltd., Class A *		16,067		96
GWG Holdings, Inc. *		1,314		13
Hallmark Financial Services, Inc. *		8,295		33

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 101 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Insurance – 3.0% – continued
HCI Group, Inc.		3,472		$140
Heritage Insurance Holdings, Inc.		15,153		162
Horace Mann Educators Corp.		24,887		911
James River Group Holdings Ltd.		17,789		645
Kinsale Capital Group, Inc.		12,422		1,298
MBIA, Inc. *		47,588		340
National General Holdings Corp.		40,938		678
National Western Life Group, Inc., Class A		1,373		236
NI Holdings, Inc. *		5,597		76
NMI Holdings, Inc., Class A *		40,037		465
Palomar Holdings, Inc. *		11,330		659
ProAssurance Corp.		32,545		814
ProSight Global, Inc. *		6,582		64
Protective Insurance Corp., Class B		4,043		56
Radian Group, Inc.		123,322		1,597
RLI Corp.		24,390		2,145
Safety Insurance Group, Inc.		8,940		755
Selective Insurance Group, Inc.		35,343		1,757
State Auto Financial Corp.		10,271		285
Third Point Reinsurance Ltd. *		44,600		330
Tiptree, Inc.		14,967		78
Trupanion, Inc. *		16,951		441
United Fire Group, Inc.		13,283		433
United Insurance Holdings Corp.		10,979		101
Universal Insurance Holdings, Inc.		18,239		327
Watford Holdings Ltd. *		10,119		148
				26,189
Iron & Steel – 0.6%
Allegheny Technologies, Inc. *		77,610		660
Carpenter Technology Corp.		28,768		561
Cleveland-Cliffs, Inc.		240,414		950
Commercial Metals Co.		72,684		1,148
Northwest Pipe Co. *		6,059		135
Olympic Steel, Inc.		6,661		69
Ryerson Holding Corp. *		11,685		62
Schnitzer Steel Industries, Inc., Class A		16,521		215
SunCoke Energy, Inc.		47,732		184
Synalloy Corp. *		6,005		52
TimkenSteel Corp. *		28,702		93
Warrior Met Coal, Inc.		31,110		330
Worthington Industries, Inc.		23,694		622
				5,081

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Leisure Products – 0.6%
Acushnet Holdings Corp.		21,303		$548
Callaway Golf Co.		58,145		594
Camping World Holdings, Inc., Class A		18,839		107
Clarus Corp.		15,429		151
Escalade, Inc.		7,554		45
Fox Factory Holding Corp. *		23,086		970
Funko, Inc., Class A *		11,787		47
Johnson Outdoors, Inc., Class A		3,180		199
LCI Industries		14,692		982
Malibu Boats, Inc., Class A *		11,870		342
Marine Products Corp.		5,335		43
MasterCraft Boat Holdings, Inc. *		13,295		97
Vista Outdoor, Inc. *		33,552		295
Winnebago Industries, Inc.		18,734		521
YETI Holdings, Inc. *		33,678		658
				5,599
Machinery – 2.1%
Alamo Group, Inc.		5,873		521
Albany International Corp., Class A		18,570		879
Altra Industrial Motion Corp.		39,627		693
Astec Industries, Inc.		13,425		469
Briggs & Stratton Corp.		29,437		53
Cactus, Inc., Class A		29,922		347
CIRCOR International, Inc. *		10,561		123
Columbus McKinnon Corp.		14,075		352
CSW Industrials, Inc.		8,953		581
Douglas Dynamics, Inc.		13,485		479
Enerpac Tool Group Corp.		32,598		539
Federal Signal Corp.		35,987		982
Franklin Electric Co., Inc.		27,853		1,313
Gencor Industries, Inc. *		4,303		45
Gorman-Rupp (The) Co.		10,603		331
Graham Corp.		4,935		64
Helios Technologies, Inc.		17,947		680
Hillenbrand, Inc.		44,878		858
Hurco Cos., Inc.		3,820		111
Hyster-Yale Materials Handling, Inc.		6,283		252
Ichor Holdings Ltd. *		13,659		262
John Bean Technologies Corp.		18,960		1,408
Kadant, Inc.		6,453		482
Kennametal, Inc.		48,544		904
Lindsay Corp.		6,700		614
Luxfer Holdings PLC		16,268		230
Manitowoc (The) Co., Inc. *		21,284		181

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 102 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Machinery – 2.1% – continued
MTS Systems Corp.		10,819		$243
Mueller Water Products, Inc., Class A		94,773		759
NN, Inc.		20,321		35
Rexnord Corp.		64,826		1,470
SPX FLOW, Inc. *		25,571		727
Standex International Corp.		7,554		370
Tennant Co.		10,815		627
Terex Corp.		38,918		559
Titan International, Inc.		25,388		39
Twin Disc, Inc. *		7,451		52
Welbilt, Inc.*		78,788		404
				19,038
Manufactured Goods – 0.8%
AZZ, Inc.		16,345		460
Chart Industries, Inc. *		22,299		646
Eastern (The) Co.		3,233		63
EnPro Industries, Inc.		12,554		497
Gibraltar Industries, Inc. *		19,549		839
Insteel Industries, Inc.		10,168		135
Lawson Products, Inc. *		2,450		66
LB Foster Co., Class A *		7,228		89
Mayville Engineering Co., Inc. *		4,554		28
Mueller Industries, Inc.		33,458		801
Omega Flex, Inc.		1,698		143
Park-Ohio Holdings Corp.		6,288		119
Proto Labs, Inc. *		16,153		1,230
Raven Industries, Inc.		21,905		465
RBC Bearings, Inc. *		14,871		1,677
Tredegar Corp.		15,669		245
				7,503
Media – 1.5%
Boingo Wireless, Inc. *		25,383		269
Boston Omaha Corp., Class A *		5,996		109
Cardlytics, Inc. *		8,284		290
Cargurus, Inc. *		45,277		858
Cars.com, Inc. *		39,978		172
Central European Media Enterprises Ltd., Class A *		48,695		152
Clear Channel Outdoor Holdings, Inc. *		35,289		23
Cumulus Media, Inc., Class A *		10,390		56
DHI Group, Inc. *		30,778		67
Endurance International Group Holdings, Inc. *		53,078		102

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Media – 1.5% – continued
Entercom Communications Corp., Class A		70,680		$121
Entravision Communications Corp., Class A		43,830		89
Eros International PLC *		43,839		72
Eventbrite, Inc., Class A *		21,870		160
EverQuote, Inc., Class A *		5,441		143
EW Scripps (The) Co., Class A		34,394		259
Fluent, Inc. *		18,270		21
Gannett Co., Inc.		78,538		116
Gray Television, Inc. *		55,883		600
Groupon, Inc. *		282,325		277
HealthStream, Inc. *		15,865		380
Hemisphere Media Group, Inc. *		10,177		87
Houghton Mifflin Harcourt Co.*		62,457		117
IMAX Corp. *		31,484		285
Leaf Group Ltd. *		7,048		9
Lee Enterprises, Inc. *		38,667		38
Liberty Latin America Ltd., Class A *		29,262		308
Liberty Latin America Ltd., Class C *		66,472		682
Liberty TripAdvisor Holdings, Inc., Class A *		40,526		73
LiveXLive Media, Inc. *		27,928		44
Marchex, Inc., Class B *		25,923		38
MDC Partners, Inc., Class A *		33,162		48
Meet Group (The), Inc. *		40,344		237
Meredith Corp.		23,515		287
MSG Networks, Inc., Class A *		26,593		271
National CineMedia, Inc.		34,082		111
QuinStreet, Inc. *		27,395		221
Quotient Technology, Inc. *		47,747		310
Rubicon Project (The), Inc. *		29,464		164
Saga Communications, Inc., Class A		2,271		62
Scholastic Corp.		17,775		453
SharpSpring, Inc. *		7,385		45
Shutterstock, Inc.		11,559		372
Stamps.com, Inc. *		10,023		1,304
TechTarget, Inc. *		13,602		280
TEGNA, Inc.		132,058		1,434
Telaria, Inc. *		26,670		160
Travelzoo *		3,797		15
Tribune Publishing Co.		12,648		103
TrueCar, Inc. *		65,402		158
Tucows, Inc., Class A*		5,925		286

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 103 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Media – 1.5% – continued
Upwork, Inc. *		35,553		$229
WideOpenWest, Inc. *		17,793		85
Yelp, Inc. *		42,227		761
				13,413
Medical Equipment & Devices – 5.5%
Accelerate Diagnostics, Inc. *		14,284		119
Accuray, Inc. *		62,739		119
Alphatec Holdings, Inc. *		27,569		95
AngioDynamics, Inc. *		23,800		248
Apyx Medical Corp. *		16,695		60
AtriCure, Inc. *		23,116		776
Atrion Corp.		862		560
Avanos Medical, Inc. *		29,065		783
Axogen, Inc. *		20,099		209
Axonics Modulation Technologies, Inc. *		11,126		283
BioLife Solutions, Inc. *		4,872		46
BioSig Technologies, Inc. *		11,315		47
BioTelemetry, Inc. *		19,707		759
Cardiovascular Systems, Inc. *		20,881		735
CareDx, Inc. *		25,365		554
Castle Biosciences, Inc. *		5,756		172
Celcuity, Inc. *		4,249		28
Cerus Corp. *		90,408		420
Conformis, Inc. *		46,683		29
CONMED Corp.		16,480		944
CryoLife, Inc. *		22,651		383
Cutera, Inc. *		8,474		111
CytoSorbents Corp. *		22,111		171
Fluidigm Corp. *		30,720		78
GenMark Diagnostics, Inc. *		30,894		127
Glaukos Corp. *		23,235		717
Globus Medical, Inc., Class A *		46,356		1,972
Haemonetics Corp. *		30,586		3,048
Inogen, Inc. *		11,093		573
Inspire Medical Systems, Inc. *		8,017		483
Integer Holdings Corp. *		19,897		1,251
Invacare Corp.		21,285		158
iRadimed Corp. *		3,249		69
iRhythm Technologies, Inc. *		16,003		1,302
Lantheus Holdings, Inc. *		21,796		278
LeMaitre Vascular, Inc.		9,739		243
LivaNova PLC *		29,108		1,317
Luminex Corp.		26,002		716

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Medical Equipment & Devices – 5.5% – continued
Meridian Bioscience, Inc. *		25,792		$217
Merit Medical Systems, Inc. *		32,503		1,016
Misonix, Inc. *		5,062		48
Myriad Genetics, Inc. *		43,008		615
NanoString Technologies, Inc. *		20,905		503
Natera, Inc. *		37,488		1,119
Natus Medical, Inc. *		20,722		479
Neogen Corp. *		31,246		2,093
Nevro Corp. *		18,190		1,819
Novocure Ltd. *		52,399		3,529
NuVasive, Inc. *		31,713		1,607
OraSure Technologies, Inc. *		36,877		397
Orthofix Medical, Inc. *		11,286		316
OrthoPediatrics Corp. *		6,250		248
Pacific Biosciences of California, Inc. *		80,212		245
Precision BioSciences, Inc. *		21,782		131
Pulse Biosciences, Inc. *		8,121		58
Quanterix Corp. *		7,230		133
Quidel Corp. *		21,690		2,122
Repligen Corp. *		31,593		3,050
RTI Surgical Holdings, Inc. *		29,750		51
SeaSpine Holdings Corp. *		11,454		94
Senseonics Holdings, Inc. *		87,024		55
Shockwave Medical, Inc. *		15,213		505
Sientra, Inc. *		27,840		55
Silk Road Medical, Inc. *		9,742		307
Soliton, Inc. *		3,816		31
STAAR Surgical Co. *		27,361		883
Surmodics, Inc. *		8,204		273
Tactile Systems Technology, Inc. *		11,331		455
Tandem Diabetes Care, Inc. *		34,251		2,204
Utah Medical Products, Inc.		2,206		207
Varex Imaging Corp. *		22,660		515
Veracyte, Inc. *		27,730		674
Vericel Corp. *		27,501		252
ViewRay, Inc. *		58,188		145
Wright Medical Group N.V. *		76,402		2,189
Zynex, Inc. *		9,122		101
				48,724
Metals & Mining – 0.6%
Century Aluminum Co. *		27,523		100
Coeur Mining, Inc. *		141,705		455
Compass Minerals International, Inc.		20,882		803
Contura Energy, Inc. *		14,703		34

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 104 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Metals & Mining – 0.6% – continued
Covia Holdings Corp. *		5,792		$3
Encore Wire Corp.		12,502		525
Energy Fuels, Inc. *		66,030		78
Ferroglobe Representation & Warranty Insurance Trust (1)*		38,340		–
Gold Resource Corp.		31,841		88
Hecla Mining Co.		312,144		568
Kaiser Aluminum Corp.		9,308		645
Livent Corp. *		91,423		480
Novagold Resources, Inc. *		139,002		1,026
Uranium Energy Corp. *		128,723		72
				4,877
Oil, Gas & Coal – 1.4%
Advanced Emissions Solutions, Inc.		9,652		63
Amplify Energy Corp.		9,437		5
Arch Coal, Inc., Class A		8,694		251
Archrock, Inc.		82,486		310
Berry Corp.		36,135		87
Bonanza Creek Energy, Inc. *		10,388		117
Brigham Minerals, Inc., Class A		16,587		137
California Resources Corp. *		23,689		24
Callon Petroleum Co. *		229,763		126
Clean Energy Fuels Corp. *		76,116		135
CNX Resources Corp. *		112,264		597
Comstock Resources, Inc. *		10,878		59
CONSOL Energy, Inc. *		15,043		56
CVR Energy, Inc.		18,064		299
Delek U.S. Holdings, Inc.		45,997		725
Denbury Resources, Inc. *		279,468		52
Diamond Offshore Drilling, Inc. *		36,324		66
DMC Global, Inc.		8,242		190
Dril-Quip, Inc. *		21,628		660
Earthstone Energy, Inc., Class A *		14,084		25
Era Group, Inc. *		11,734		63
Evolution Petroleum Corp.		19,627		51
Exterran Corp. *		15,908		76
Extraction Oil & Gas, Inc. *		61,138		26
Falcon Minerals Corp.		27,864		60
Flotek Industries, Inc. *		45,847		41
Forum Energy Technologies, Inc. *		45,929		8
Frank’s International N.V. *		68,425		177
Geospace Technologies Corp. *		9,555		61
Goodrich Petroleum Corp. *		6,562		28
Gulfport Energy Corp. *		92,042		41

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Oil, Gas & Coal – 1.4% – continued
Hallador Energy Co.		18,515		$18
Helix Energy Solutions Group, Inc. *		83,741		137
HighPoint Resources Corp. *		62,116		12
KLX Energy Services Holdings, Inc. *		16,422		11
Laredo Petroleum, Inc. *		103,745		39
Liberty Oilfield Services, Inc., Class A		30,180		81
Magnolia Oil & Gas Corp., Class A *		64,178		257
Matador Resources Co. *		70,104		174
Matrix Service Co. *		16,985		161
Montage Resources Corp. *		8,959		20
MRC Global, Inc. *		51,675		220
Murphy U.S.A., Inc. *		17,657		1,490
Nabors Industries Ltd.		210,509		82
NACCO Industries, Inc., Class A		2,336		65
National Energy Services Reunited Corp. *		11,905		60
Natural Gas Services Group, Inc. *		5,727		26
NCS Multistage Holdings, Inc. *		1,289		1
Newpark Resources, Inc. *		58,656		53
NextDecade Corp. *		8,254		16
NexTier Oilfield Solutions, Inc. *		103,226		121
Nine Energy Service, Inc. *		8,697		7
Noble Corp. PLC *		179,189		47
Northern Oil and Gas, Inc. *		171,222		114
NOW, Inc. *		67,389		348
Oasis Petroleum, Inc. *		189,077		66
Oceaneering International, Inc. *		62,820		185
Oil States International, Inc. *		39,125		79
Pacific Drilling S.A. *		17,229		7
Panhandle Oil and Gas, Inc., Class A		11,078		41
Par Pacific Holdings, Inc. *		21,671		154
PDC Energy, Inc. *		61,842		384
Peabody Energy Corp.		37,457		109
Penn Virginia Corp. *		9,787		30
PrimeEnergy Resources Corp. *		304		22
ProPetro Holding Corp. *		46,725		117
QEP Resources, Inc.		143,634		48
Ramaco Resources, Inc. *		1,126		3
Ring Energy, Inc. *		34,341		23
RPC, Inc.		41,945		86
SandRidge Energy, Inc. *		1,357		1
Seadrill Ltd. *		50,800		22
Select Energy Services, Inc., Class A *		41,136		133
SilverBow Resources, Inc. *		372		1

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 105 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Oil, Gas & Coal – 1.4% – continued
SM Energy Co.		66,682		$81
Smart Sand, Inc. (2)*		394		–
Solaris Oilfield Infrastructure, Inc., Class A		21,547		113
Southwestern Energy Co. *		327,196		553
Talos Energy, Inc. *		11,115		64
Tellurian, Inc. *		59,347		54
TETRA Technologies, Inc. *		40,778		13
Thermon Group Holdings, Inc. *		20,135		303
Tidewater, Inc. *		22,617		160
Unit Corp.(2)  *		1,543		–
US Silica Holdings, Inc.		43,229		78
W&T Offshore, Inc. *		53,168		90
Whiting Petroleum Corp. *		53,705		36
World Fuel Services Corp.		39,207		987
				12,219
Passenger Transportation – 0.3%
Allegiant Travel Co.		7,808		639
Hawaiian Holdings, Inc.		28,779		301
Mesa Air Group, Inc. *		15,025		49
SkyWest, Inc.		30,184		791
Spirit Airlines, Inc. *		42,238		544
Universal Logistics Holdings, Inc.		5,987		78
				2,402
Real Estate – 0.5%
American Realty Investors, Inc. *		1,627		15
Consolidated-Tomoka Land Co.		2,922		132
Cushman & Wakefield PLC *		69,966		821
eXp World Holdings, Inc. *		11,778		100
FRP Holdings, Inc. *		4,367		188
Griffin Industrial Realty, Inc.		933		30
Legacy Housing Corp. *		4,168		39
Marcus & Millichap, Inc. *		13,820		375
Maui Land & Pineapple Co., Inc. *		3,569		39
McGrath RentCorp		14,464		758
Newmark Group, Inc., Class A		87,327		371
RE/MAX Holdings, Inc., Class A		10,137		222
Realogy Holdings Corp.		68,445		206
Redfin Corp. *		54,329		838
RMR Group (The), Inc., Class A		9,355		252
Stratus Properties, Inc. *		3,302		58
				4,444

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Real Estate Investment Trusts – 7.6%
Acadia Realty Trust		52,261		$648
AG Mortgage Investment Trust, Inc.		23,534		64
Agree Realty Corp.		25,023		1,549
Alexander & Baldwin, Inc.		42,172		473
Alexander’s, Inc.		1,330		367
American Assets Trust, Inc.		29,336		733
American Finance Trust, Inc.		67,278		420
Anworth Mortgage Asset Corp.		47,499		54
Apollo Commercial Real Estate Finance, Inc.		94,237		699
Ares Commercial Real Estate Corp.		16,505		115
Arlington Asset Investment Corp., Class A		25,763		56
Armada Hoffler Properties, Inc.		35,098		376
ARMOUR Residential REIT, Inc.		35,931		317
Ashford Hospitality Trust, Inc.		39,482		29
Blackstone Mortgage Trust, Inc., Class A		77,211		1,438
Bluerock Residential Growth REIT, Inc.		16,295		91
Braemar Hotels & Resorts, Inc.		21,690		37
BRT Apartments Corp.		7,036		72
Capstead Mortgage Corp.		49,038		206
CareTrust REIT, Inc.		58,987		872
CatchMark Timber Trust, Inc., Class A		25,615		185
CBL & Associates Properties, Inc. *		101,549		20
Cedar Realty Trust, Inc.		61,936		58
Chatham Lodging Trust		31,788		189
Cherry Hill Mortgage Investment Corp.		4,720		29
CIM Commercial Trust Corp.		5,844		65
City Office REIT, Inc.		31,286		226
Clipper Realty, Inc.		4,576		24
Colony Credit Real Estate, Inc.		48,365		191
Community Healthcare Trust, Inc.		11,229		430
CoreCivic, Inc.		69,753		779
CorEnergy Infrastructure Trust, Inc.		7,668		141
CorePoint Lodging, Inc.		28,884		113
DiamondRock Hospitality Co.		124,527		633
Diversified Healthcare Trust		146,913		533
Dynex Capital, Inc.		11,858		124
Easterly Government Properties, Inc.		45,413		1,119
EastGroup Properties, Inc.		23,314		2,436
Ellington Financial, Inc.		25,198		144
Essential Properties Realty Trust, Inc.		54,667		714
Exantas Capital Corp.		13,804		38

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 106 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Real Estate Investment Trusts – 7.6% – continued
Farmland Partners, Inc.		13,990		$85
First Industrial Realty Trust, Inc.		76,771		2,551
Four Corners Property Trust, Inc.		41,978		785
Franklin Street Properties Corp.		65,255		374
Front Yard Residential Corp.		30,069		359
GEO Group (The), Inc.		71,605		871
Getty Realty Corp.		20,138		478
Gladstone Commercial Corp.		18,315		263
Gladstone Land Corp.		10,949		130
Global Medical REIT, Inc.		24,628		249
Global Net Lease, Inc.		55,351		740
Granite Point Mortgage Trust, Inc.		35,325		179
Great Ajax Corp.		12,046		77
Hannon Armstrong Sustainable Infrastructure Capital, Inc.		38,496		786
Healthcare Realty Trust, Inc.		80,351		2,244
Hersha Hospitality Trust		25,202		90
Independence Realty Trust, Inc.		54,195		484
Industrial Logistics Properties Trust		38,370		673
Innovative Industrial Properties, Inc.		9,801		744
Invesco Mortgage Capital, Inc.		103,345		352
Investors Real Estate Trust		7,011		386
iStar, Inc.		35,713		379
Jernigan Capital, Inc.		13,946		153
Kite Realty Group Trust		50,460		478
KKR Real Estate Finance Trust, Inc.		13,138		197
Ladder Capital Corp.		63,433		301
Lexington Realty Trust		146,620		1,456
LTC Properties, Inc.		23,596		729
Mack-Cali Realty Corp.		52,859		805
Monmouth Real Estate Investment Corp.		55,798		672
National Health Investors, Inc.		26,187		1,297
National Storage Affiliates Trust		35,392		1,048
New Senior Investment Group, Inc.		40,111		103
New York Mortgage Trust, Inc.		221,903		344
NexPoint Residential Trust, Inc.		12,028		303
Office Properties Income Trust		29,091		793
One Liberty Properties, Inc.		9,513		133
Orchid Island Capital, Inc.		44,251		131
Pebblebrook Hotel Trust		76,978		838
Pennsylvania Real Estate Investment Trust		42,098		38
PennyMac Mortgage Investment Trust		58,865		625
Physicians Realty Trust		115,206		1,606

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Real Estate Investment Trusts – 7.6% – continued
Piedmont Office Realty Trust, Inc., Class A		75,171		$1,328
PotlatchDeltic Corp.		40,213		1,262
Preferred Apartment Communities, Inc., Class A		26,038		187
PS Business Parks, Inc.		12,147		1,646
QTS Realty Trust, Inc., Class A		34,976		2,029
Ready Capital Corp.		19,760		143
Redwood Trust, Inc.		66,968		339
Retail Opportunity Investments Corp.		69,239		574
Retail Value, Inc.		9,428		115
Rexford Industrial Realty, Inc.		69,028		2,831
RLJ Lodging Trust		105,575		815
RPT Realty		48,147		290
Ryman Hospitality Properties, Inc.		30,159		1,081
Sabra Health Care REIT, Inc.		120,805		1,319
Safehold, Inc.		7,891		499
Saul Centers, Inc.		7,101		232
Seritage Growth Properties, Class A *		20,706		189
STAG Industrial, Inc.		90,457		2,037
Summit Hotel Properties, Inc.		63,233		267
Sunstone Hotel Investors, Inc.		137,171		1,195
Tanger Factory Outlet Centers, Inc.		54,145		271
Terreno Realty Corp.		40,137		2,077
TPG RE Finance Trust, Inc.		30,086		165
Transcontinental Realty Investors, Inc. *		612		13
UMH Properties, Inc.		21,760		236
Uniti Group, Inc.		111,579		673
Universal Health Realty Income Trust		7,711		777
Urban Edge Properties		70,009		617
Urstadt Biddle Properties, Inc., Class A		17,676		249
Washington Prime Group, Inc.		111,371		90
Washington Real Estate Investment Trust		49,868		1,190
Western Asset Mortgage Capital Corp.		30,450		70
Whitestone REIT		23,255		144
Xenia Hotels & Resorts, Inc.		69,111		712
				67,798
Recreational Facilities & Services – 0.2%
AMC Entertainment Holdings, Inc., Class A		37,257		118
Drive Shack, Inc. *		43,646		66
Liberty Media Corp.-Liberty Braves, Class A *		5,887		115

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 107 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Recreational Facilities & Services – 0.2% – continued
Liberty Media Corp.-Liberty Braves, Class C *		21,734		$414
Marcus (The) Corp.		13,939		172
OneSpaWorld Holdings Ltd.		28,063		114
RCI Hospitality Holdings, Inc.		6,531		65
Reading International, Inc., Class A *		12,100		47
SeaWorld Entertainment, Inc. *		29,019		320
				1,431
Renewable Energy – 0.7%
Ameresco, Inc., Class A *		13,588		231
American Superconductor Corp. *		15,168		83
EnerSys		25,268		1,251
Enphase Energy, Inc. *		55,917		1,806
FutureFuel Corp.		15,057		170
Green Plains, Inc.		19,878		96
Plug Power, Inc. *		179,439		635
Renewable Energy Group, Inc. *		23,035		473
REX American Resources Corp. *		3,604		168
Sunnova Energy International, Inc. *		18,636		188
SunPower Corp. *		45,413		230
Sunrun, Inc. *		67,008		677
TPI Composites, Inc. *		18,732		277
Vivint Solar, Inc. *		28,565		125
				6,410
Retail - Consumer Staples – 0.5%
Big Lots, Inc.		24,262		345
BJ’s Wholesale Club Holdings, Inc. *		67,552		1,721
Ingles Markets, Inc., Class A		8,521		308
Natural Grocers by Vitamin Cottage, Inc.		6,052		52
OptimizeRx Corp. *		9,464		86
PriceSmart, Inc.		13,843		727
Rite Aid Corp. *		32,935		494
SpartanNash Co.		22,503		322
Village Super Market, Inc., Class A		4,614		113
Weis Markets, Inc.		5,675		236
				4,404
Retail - Discretionary – 2.4%
1-800-Flowers.com, Inc., Class A *		16,168		214
Abercrombie & Fitch Co., Class A		36,565		332
American Eagle Outfitters, Inc.		92,376		734
America’s Car-Mart, Inc. *		3,731		210
Asbury Automotive Group, Inc. *		11,613		641

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Retail - Discretionary – 2.4% – continued
At Home Group, Inc. *		28,687		$58
Avis Budget Group, Inc. *		36,223		503
Barnes & Noble Education, Inc. *		29,641		40
Bassett Furniture Industries, Inc.		7,096		39
Beacon Roofing Supply, Inc. *		31,415		520
Bed Bath & Beyond, Inc.		75,710		319
BlueLinx Holdings, Inc. *		5,576		28
BMC Stock Holdings, Inc. *		39,870		707
Boot Barn Holdings, Inc. *		16,978		220
Buckle (The), Inc.		18,390		252
Builders FirstSource, Inc. *		69,182		846
Caleres, Inc.		22,371		116
Cato (The) Corp., Class A		12,441		133
Chico’s FAS,Inc.		71,174		92
Children’s Place (The), Inc.		9,604		188
Citi Trends, Inc.		5,076		45
Conn’s, Inc. *		12,597		53
Container Store Group (The), Inc. *		2,544		6
Designer Brands, Inc., Class A		35,573		177
Dillard’s, Inc., Class A		5,655		209
Duluth Holdings, Inc., Class B *		8,995		36
Ethan Allen Interiors, Inc.		13,189		135
Express, Inc. *		38,462		57
FirstCash, Inc.		24,784		1,778
Foundation Building Materials, Inc. *		10,717		110
Freshpet, Inc. *		21,047		1,344
Gaia, Inc. *		7,587		67
GameStop Corp., Class A *		38,181		134
Genesco, Inc. *		8,221		110
GMS, Inc. *		25,339		399
GNC Holdings, Inc., Class A *		44,066		21
Group 1 Automotive, Inc.		10,666		472
Guess?, Inc.		26,342		178
Haverty Furniture Cos., Inc.		10,781		128
Hertz Global Holdings, Inc. *		62,682		387
Hibbett Sports, Inc. *		11,163		122
Hudson Ltd., Class A *		21,357		107
J.C. Penney Co., Inc. *		229,771		83
Lands’ End, Inc. *		7,671		41
La-Z-Boy, Inc.		27,154		558
Liquidity Services, Inc. *		18,197		71
Lithia Motors,Inc., Class A		13,777		1,127
Lovesac (The) Co. *		6,342		37
Lumber Liquidators Holdings, Inc. *		20,598		97

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 108 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Retail – Discretionary – 2.4% – continued
MarineMax, Inc. *		10,927		$114
Michaels (The) Cos., Inc. *		53,031		86
Monro, Inc.		19,939		874
National Vision Holdings, Inc. *		48,248		937
Office Depot, Inc.		335,053		549
Party City Holdco, Inc. *		38,955		18
PetIQ, Inc. *		11,721		272
PetMed Express, Inc.		12,108		348
RealReal (The), Inc. *		30,586		214
RH *		10,106		1,015
RTW RetailWinds, Inc. *		21,908		5
Rush Enterprises, Inc., Class A		16,592		530
Rush Enterprises, Inc., Class B		3,290		100
Sally Beauty Holdings, Inc. *		69,343		560
Shoe Carnival, Inc.		4,032		84
Signet Jewelers Ltd.		30,861		199
Sleep Number Corp. *		16,384		314
Sonic Automotive, Inc., Class A		14,658		195
Sportsman’s Warehouse Holdings, Inc. *		27,076		167
Stitch Fix, Inc., Class A *		24,095		306
Tailored Brands, Inc.		27,757		48
Tilly’s, Inc., Class A		15,689		65
Vera Bradley, Inc. *		10,613		44
Winmark Corp.		1,477		188
Zumiez, Inc. *		12,012		208
				21,721
Semiconductors – 3.2%
Adesto Technologies Corp. *		16,867		189
Alpha & Omega Semiconductor Ltd. *		14,459		93
Ambarella, Inc. *		19,633		953
Amkor Technology, Inc. *		59,507		464
Axcelis Technologies, Inc. *		20,199		370
AXT, Inc. *		27,812		89
Brooks Automation, Inc.		44,555		1,359
Cabot Microelectronics Corp.		17,655		2,015
CEVA, Inc. *		13,511		337
Cirrus Logic, Inc. *		35,516		2,331
Cohu, Inc.		24,476		303
CTS Corp.		19,035		474
Diodes, Inc. *		25,006		1,016
DSP Group, Inc. *		13,493		181
FormFactor, Inc. *		45,281		910
GSI Technology, Inc. *		10,155		71

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Semiconductors – 3.2% – continued
II-VI, Inc. *		55,196		$1,573
Impinj, Inc. *		11,257		188
Inphi Corp. *		27,012		2,138
Lattice Semiconductor Corp. *		75,775		1,350
MACOM Technology Solutions Holdings, Inc. *		28,414		538
MaxLinear, Inc. *		38,337		447
NeoPhotonics Corp. *		21,528		156
NVE Corp.		2,516		131
Onto Innovation, Inc. *		29,527		876
Photronics, Inc. *		40,272		413
Power Integrations, Inc.		17,139		1,514
Rambus, Inc. *		66,470		738
Semtech Corp. *		40,389		1,515
Silicon Laboratories, Inc. *		25,847		2,208
SiTime Corp. *		2,674		58
Synaptics, Inc. *		20,651		1,195
Ultra Clean Holdings, Inc. *		24,013		331
Veeco Instruments, Inc. *		27,942		267
Vishay Intertechnology, Inc.		81,251		1,171
Xperi Corp.		29,568		411
				28,373
Software – 5.8%
1Life Healthcare, Inc. *		11,583		210
ACI Worldwide, Inc. *		70,256		1,697
Agilysys, Inc. *		12,410		207
Allscripts Healthcare Solutions, Inc. *		96,180		677
Altair Engineering, Inc., Class A *		24,034		637
American Software, Inc., Class A		17,338		246
Appfolio, Inc., Class A *		9,639		1,069
Appian Corp. *		20,569		827
Avaya Holdings Corp. *		57,035		461
Avid Technology, Inc. *		14,981		101
Bandwidth, Inc., Class A *		9,919		667
Benefitfocus, Inc. *		15,912		142
Blackbaud, Inc.		29,835		1,657
Blackline, Inc. *		26,411		1,389
Bottomline Technologies DE, Inc. *		26,221		961
Box, Inc., Class A *		88,945		1,249
Brightcove, Inc. *		26,416		184
Calix, Inc. *		27,483		195
Castlight Health, Inc., Class B *		47,452		34
ChannelAdvisor Corp. *		15,686		114
Cloudera, Inc. *		152,416		1,199

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 109 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Software – 5.8% – continued
CommVault Systems, Inc. *		24,905		$1,008
Computer Programs & Systems, Inc.		7,267		162
Cornerstone OnDemand, Inc. *		35,109		1,115
Daily Journal Corp. *		709		162
Digi International, Inc. *		17,163		164
Digital Turbine, Inc. *		47,124		203
Domo, Inc., Class B *		10,644		106
Donnelley Financial Solutions, Inc. *		14,783		78
Ebix, Inc.		13,611		207
eGain Corp. *		12,265		90
Envestnet, Inc. *		29,217		1,571
Everbridge, Inc. *		20,221		2,151
Evolent Health, Inc., Class A *		44,622		242
Five9, Inc. *		36,275		2,774
ForeScout Technologies, Inc. *		26,050		823
Glu Mobile, Inc. *		68,687		432
GTY Technology Holdings, Inc. *		22,943		104
Health Catalyst, Inc. *		11,250		294
Ideanomics, Inc. *		36,940		49
Immersion Corp. *		16,393		88
InnerWorkings, Inc. *		31,880		37
Inovalon Holdings, Inc., Class A *		44,514		742
Intelligent Systems Corp. *		4,255		145
J2 Global, Inc.		28,282		2,117
Limelight Networks, Inc. *		70,003		399
LivePerson, Inc. *		37,327		849
Majesco *		4,436		24
MicroStrategy, Inc., Class A *		4,986		589
Mitek Systems, Inc. *		22,202		175
MobileIron, Inc. *		61,912		235
Model N, Inc. *		19,693		437
NextGen Healthcare, Inc. *		31,554		329
Omnicell, Inc. *		24,950		1,636
OneSpan, Inc. *		18,898		343
Pareteum Corp. *		83,940		35
PDF Solutions, Inc. *		17,011		199
Phreesia, Inc. *		16,255		342
Phunware, Inc. *		23,139		16
Ping Identity Holding Corp. *		7,634		153
Progress Software Corp.		27,201		870
PROS Holdings, Inc. *		20,716		643
Q2 Holdings, Inc. *		26,459		1,563
QAD, Inc., Class A		6,702		268
Qualys, Inc. *		20,469		1,781

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Software – 5.8% – continued
Rapid7, Inc. *		29,804		$1,291
SailPoint Technologies Holding, Inc. *		53,132		809
Schrodinger, Inc.  *		8,257		356
SecureWorks Corp., Class A *		6,058		70
Simulations Plus, Inc.		7,712		269
Sprout Social, Inc., Class A *		5,639		90
SPS Commerce, Inc. *		21,426		996
SVMK, Inc. *		52,818		714
Synchronoss Technologies, Inc. *		27,632		84
Tabula Rasa HealthCare, Inc. *		11,588		606
Tenable Holdings, Inc. *		22,276		487
TiVo Corp.		74,012		524
Upland Software, Inc. *		13,777		369
Varonis Systems, Inc. *		18,165		1,157
Verint Systems, Inc. *		40,087		1,724
Verra Mobility Corp. *		75,055		536
VirnetX Holding Corp. *		37,149		203
Workiva, Inc. *		21,773		704
Yext, Inc. *		57,781		589
Zuora, Inc., Class A *		54,494		439
				51,690
Specialty Finance – 1.2%
Altisource Portfolio Solutions S.A. *		4,920		38
Cardtronics PLC, Class A *		21,677		454
Cass Information Systems, Inc.		8,425		296
Curo Group Holdings Corp.		12,249		65
Elevate Credit, Inc. *		16,216		17
Encore Capital Group, Inc. *		18,917		442
Enova International, Inc. *		20,431		296
Essent Group Ltd.		58,684		1,546
Evo Payments, Inc., Class A *		24,161		370
EZCORP, Inc., Class A *		33,089		138
Federal Agricultural Mortgage Corp., Class C		5,699		317
GATX Corp.		20,984		1,313
General Finance Corp. *		8,386		52
Green Dot Corp., Class A *		28,922		734
I3 Verticals, Inc., Class A *		8,555		163
International Money Express, Inc. *		9,331		85
Investors Title Co.		914		117
LendingClub Corp. *		42,299		332
Marlin Business Services Corp.		5,275		59
MMA Capital Holdings, Inc. *		2,872		71
Mr Cooper Group, Inc. *		43,657		320

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 110 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Specialty Finance – 1.2% – continued
Nelnet, Inc., Class A		10,772		$489
Ocwen Financial Corp. *		100,196		50
On Deck Capital, Inc. *		34,018		52
Oportun Financial Corp. *		3,251		34
Paysign, Inc. *		18,448		95
PennyMac Financial Services, Inc.		15,330		339
PRA Group, Inc. *		27,414		760
Regional Management Corp. *		5,473		75
Stewart Information Services Corp.		14,763		394
Velocity Financial, Inc. *		6,818		51
Walker & Dunlop, Inc.		16,726		674
Willis Lease Finance Corp. *		1,711		46
World Acceptance Corp. *		3,165		173
				10,457
Technology Services – 2.0%
comScore, Inc. *		35,360		100
Conduent, Inc. *		103,658		254
CSG Systems International, Inc.		19,821		829
EVERTEC, Inc.		37,114		844
ExlService Holdings, Inc. *		20,170		1,049
ICF International, Inc.		10,977		754
Insight Enterprises, Inc. *		21,482		905
LiveRamp Holdings, Inc. *		41,059		1,352
ManTech International Corp., Class A		16,113		1,171
MAXIMUS, Inc.		38,399		2,235
NIC, Inc.		39,508		909
Parsons Corp. *		11,916		381
Perficient, Inc. *		19,426		526
Perspecta, Inc.		84,330		1,538
Rimini Street, Inc. *		14,514		59
Science Applications International Corp.		34,759		2,594
StarTek, Inc. *		11,985		45
Sykes Enterprises, Inc. *		23,006		624
TTEC Holdings, Inc.		10,487		385
Unisys Corp. *		30,608		378
Value Line, Inc.		669		22
Virtusa Corp. *		18,069		513
				17,467
Telecom – 1.0%
8x8, Inc. *		58,164		806
ATN International, Inc.		6,869		403
Cambium Networks Corp. *		5,842		33
Cincinnati Bell, Inc. *		30,049		440

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Telecom – 1.0% – continued
Cogent Communications Holdings, Inc.		25,608		$2,099
Consolidated Communications Holdings, Inc.		41,038		187
Frontier Communications Corp. *		3,349		1
Gogo, Inc. *		39,662		84
GTT Communications, Inc. *		20,314		162
IDT Corp., Class B *		10,368		56
Intelsat S.A. *		41,493		64
Iridium Communications, Inc. *		60,507		1,351
KVH Industries, Inc. *		11,712		110
Loral Space & Communications, Inc. *		7,569		123
Ooma, Inc. *		14,012		167
ORBCOMM, Inc. *		53,736		131
RigNet, Inc. *		2,296		4
Shenandoah Telecommunications Co.		29,090		1,433
Spok Holdings, Inc.		9,335		100
Vonage Holdings Corp. *		139,402		1,008
Zix Corp. *		29,700		128
				8,890
Transportation & Logistics – 1.5%
Air Transport Services Group, Inc. *		35,700		653
ArcBest Corp.		15,328		269
Ardmore Shipping Corp.		16,632		87
Atlas Air Worldwide Holdings, Inc. *		14,767		379
Costamare, Inc.		35,455		160
Covenant Transportation Group, Inc., Class A *		6,234		54
CryoPort, Inc. *		18,249		311
Daseke, Inc. *		33,022		46
DHT Holdings, Inc.		67,162		515
Diamond S Shipping, Inc. *		16,072		190
Dorian LPG Ltd. *		16,730		146
Eagle Bulk Shipping, Inc. *		31,966		59
Echo Global Logistics, Inc. *		15,297		261
Forward Air Corp.		16,871		855
GasLog Ltd.		26,852		97
Genco Shipping & Trading Ltd.		10,955		70
Golar LNG Ltd.		56,485		445
Heartland Express, Inc.		27,785		516
Hub Group, Inc., Class A *		19,439		884
International Seaways, Inc.		15,661		374
Marten Transport Ltd.		23,884		490
Matson, Inc.		25,632		785
Mobile Mini, Inc.		25,901		679

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 111 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Transportation & Logistics – 1.5% – continued
Nordic American Tankers Ltd.		82,833		$375
Overseas Shipholding Group, Inc., Class A *		37,401		85
P.A.M. Transportation Services, Inc. *		1,148		35
Radiant Logistics, Inc. *		23,522		91
Roadrunner Transportation Systems, Inc. ADR *		3,793		10
Safe Bulkers, Inc. *		36,753		44
Saia, Inc. *		15,722		1,156
Scorpio Bulkers, Inc.		40,335		102
Scorpio Tankers, Inc.		26,231		502
SEACOR Holdings, Inc. *		10,469		282
SEACOR Marine Holdings, Inc. *		14,224		62
SFL Corp. Ltd.		48,741		462
Teekay Corp. *		37,914		120
Teekay Tankers Ltd., Class A *		14,484		322
US Xpress Enterprises, Inc., Class A *		15,770		53
Werner Enterprises, Inc.		27,157		985
YRC Worldwide, Inc. *		22,622		38
				13,049
Transportation Equipment – 0.2%
Blue Bird Corp. *		9,133		100
Commercial Vehicle Group, Inc. *		21,935		33
Greenbrier (The) Cos., Inc.		19,043		338
Meritor, Inc. *		43,883		581
Navistar International Corp. *		30,220		498
REV Group, Inc.		14,069		59
Spartan Motors, Inc.		20,898		270
Wabash National Corp.		33,073		239
				2,118
Utilities – 4.4%
ALLETE, Inc.		31,791		1,929
American States Water Co.		22,366		1,828
Artesian Resources Corp., Class A		4,679		175
Atlantic Power Corp. *		62,277		133
Avista Corp.		40,615		1,726
Black Hills Corp.		36,836		2,359
California Water Service Group		29,381		1,479
Chesapeake Utilities Corp.		9,629		825
Clearway Energy, Inc., Class A		21,500		369
Clearway Energy, Inc., Class C		47,910		901
Consolidated Water Co. Ltd.		8,439		138
El Paso Electric Co.		24,959		1,696
Genie Energy Ltd., Class B		10,046		72

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 99.1% – continued
Utilities – 4.4% – continued
Global Water Resources, Inc.		7,754		$79
MGE Energy, Inc.		21,007		1,375
Middlesex Water Co.		10,686		643
New Jersey Resources Corp.		56,720		1,927
Northwest Natural Holding Co.		18,246		1,127
NorthWestern Corp.		30,617		1,832
ONE Gas, Inc.		31,549		2,638
Ormat Technologies, Inc.		23,946		1,620
Otter Tail Corp.		24,002		1,067
PICO Holdings, Inc. *		8,932		70
PNM Resources, Inc.		47,864		1,819
PNM Resources, Inc. – (Fractional Shares) (1)		50,000		–
Portland General Electric Co.		54,741		2,624
Pure Cycle Corp. *		11,213		125
RGC Resources, Inc.		4,915		142
SJW Group		15,805		913
South Jersey Industries, Inc.		56,087		1,402
Southwest Gas Holdings, Inc.		33,069		2,300
Spark Energy, Inc., Class A		8,561		54
Spire, Inc.		30,292		2,256
TerraForm Power, Inc., Class A		48,083		758
Unitil Corp.		8,850		463
York Water (The) Co.		7,764		337
				39,201
Waste & Environment Services & Equipment – 0.9%
Advanced Disposal Services, Inc. *		43,673		1,433
Casella Waste Systems, Inc., Class A *		28,041		1,095
CECO Environmental Corp. *		16,624		78
Covanta Holding Corp.		71,078		608
Energy Recovery, Inc. *		22,865		170
ESCO Technologies, Inc.		15,417		1,170
Evoqua Water Technologies Corp. *		45,048		505
Heritage-Crystal Clean, Inc. *		9,427		153
Tetra Tech, Inc.		33,055		2,334
US Ecology, Inc.		14,867		452
				7,998
Total Common Stocks
(Cost $856,345)				880,083
RIGHTS – 0 .0%
Biotechnology & Pharmaceuticals – 0.0%
Omthera Pharmaceuticals, Inc. (Contingent Value Rights) (1)*		3,681		–

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 112 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
RIGHTS – 0.0% – continued
Biotechnology & Pharmaceuticals – 0.0% – continued
Oncternal Therapeutics, Inc. (Contingent Value Rights) (1)*		398		$–
Tobira Therapeutics, Inc. (Contingent Value Rights) (3)*		5,175		40
				40
Chemicals – 0.0%
A. Schulman, Inc. (Contingent Value Rights) (3)*		15,653		8
Total Rights
(Cost $72)				48
OTHER – 0.0% (1)
Escrow Calamos Asset Management, Inc. *		9,919		–
Escrow DLB Oil & Gas *		1,200		–
Escrow Position PetroCorp *		420		–
Total Other
(Cost $–)				–
INVESTMENT COMPANIES – 0.6%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (4)(5)		5,225,672		5,226
Total Investment Companies
(Cost $5,226)				5,226
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.3%
U.S. Treasury Bill, 1.23%, 7/16/20 (6)(7)		$2,400		$2,399
Total Short-Term Investments
(Cost $2,391)				2,399
Total Investments – 100.0%
(Cost $864,034)				887,756
Liabilities less Other Assets – (0.0%)				(327	)
NET ASSETS – 100.0%				$887,429

(1) Level 3 asset that is worthless, bankrupt or has been delisted.

(2) Value rounds to less than one thousand.

(3) Level 3 asset.

(4) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(5) 7-day current yield as of March 31, 2020 is disclosed.

(6) Discount rate at the time of purchase.

(7) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

PLC – Public Limited Company

REIT – Real Estate Investment Trust

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini Russell 2000 Index		131		$7,517		Long		06/20		$605

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		2.3%
Consumer Discretionary		8.7
Consumer Staples		3.4
Energy		1.7
Financials		16.7
Health Care		21.3
Industrials		15.2
Information Technology		15.2
Materials		3.4
Real Estate		7.6
Utilities		4.5
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 113 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

SMALL CAP INDEX FUND continued MARCH 31, 2020

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$880,083		$–		$–		$880,083
Rights (1)		–		–		48		48
Investment Companies		5,226		–		–		5,226
Short-Term Investments		–		2,399		–		2,399
Total Investments		$885,309		$2,399		$48		$887,756
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$605		$–		$–		$605

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 114 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

STOCK INDEX FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7%
Aerospace & Defense – 2.0%
Arconic, Inc.		152,164		$2,444
Boeing (The) Co.		192,459		28,703
General Dynamics Corp.		82,478		10,913
Huntington Ingalls Industries, Inc.		16,050		2,924
L3Harris Technologies, Inc.		80,079		14,424
Lockheed Martin Corp.		90,226		30,582
Northrop Grumman Corp.		56,350		17,049
Raytheon Co.		99,691		13,074
Textron, Inc.		90,396		2,411
TransDigm Group, Inc.		17,729		5,677
United Technologies Corp.		291,305		27,479
				155,680
Apparel & Textile Products – 0.6%
Capri Holdings Ltd. *		43,982		475
Hanesbrands, Inc.		113,881		896
NIKE, Inc., Class B		448,298		37,092
PVH Corp.		26,466		996
Ralph Lauren Corp.		19,687		1,316
Tapestry, Inc.		88,984		1,152
Under Armour, Inc., Class A *		73,905		681
Under Armour, Inc., Class C *		76,345		615
VF Corp.		128,257		6,936
				50,159
Asset Management – 0.7%
Ameriprise Financial, Inc.		46,736		4,789
BlackRock, Inc.		41,952		18,458
Charles Schwab (The) Corp.		415,041		13,954
E*TRADE Financial Corp.		78,966		2,710
Franklin Resources, Inc.		84,109		1,404
Invesco Ltd.		112,172		1,019
Raymond James Financial, Inc.		43,090		2,723
T. Rowe Price Group, Inc.		82,902		8,095
				53,152
Automotive – 0.3%
Aptiv PLC		95,442		4,700
BorgWarner, Inc. (New York Exchange)		73,203		1,784
Ford Motor Co.		1,368,525		6,610
General Motors Co.		448,669		9,323
Harley-Davidson, Inc.		60,250		1,140
				23,557
Banking – 4.0%
Bank of America Corp.		2,960,616		62,854
Citigroup, Inc.		793,904		33,439

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Banking – 4.0% – continued
Citizens Financial Group, Inc.		163,011		$3,066
Comerica, Inc.		48,529		1,424
Fifth Third Bancorp		260,840		3,874
First Republic Bank		59,738		4,915
Huntington Bancshares, Inc.		358,223		2,941
JPMorgan Chase & Co.		1,145,414		103,122
KeyCorp		355,352		3,685
M&T Bank Corp.		46,530		4,813
People’s United Financial, Inc.		114,545		1,266
PNC Financial Services Group (The), Inc.		159,119		15,231
Regions Financial Corp.		354,338		3,178
SVB Financial Group *		18,160		2,744
Truist Financial Corp.		479,063		14,774
US Bancorp		517,857		17,840
Wells Fargo & Co.		1,410,155		40,471
Zions Bancorp N.A.		62,349		1,668
				321,305
Biotechnology & Pharmaceuticals – 7.4%
AbbVie, Inc.		531,723		40,512
Alexion Pharmaceuticals, Inc. *		86,284		7,747
Allergan PLC		118,072		20,910
Amgen, Inc.		216,047		43,799
Biogen, Inc. *		66,018		20,887
Bristol-Myers Squibb Co.		844,746		47,086
Eli Lilly & Co.		306,265		42,485
Gilead Sciences, Inc.		453,407		33,897
Incyte Corp. *		63,745		4,668
Johnson & Johnson		951,842		124,815
Merck & Co., Inc.		923,506		71,055
Mylan N.V. *		172,029		2,565
Perrigo Co. PLC		44,707		2,150
Pfizer, Inc.		1,990,801		64,980
Regeneron Pharmaceuticals, Inc. *		28,321		13,829
Vertex Pharmaceuticals, Inc. *		92,415		21,990
Zoetis, Inc.		172,393		20,289
				583,664
Chemicals – 2.0%
3M Co.		203,978		27,845
Air Products & Chemicals, Inc.		78,567		15,683
Albemarle Corp.		40,916		2,306
Avery Dennison Corp.		30,046		3,061
Celanese Corp.		44,193		3,243
CF Industries Holdings, Inc.		85,763		2,333

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 115 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

STOCK INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Chemicals – 2.0% – continued
Corteva, Inc.		290,556		$6,828
Dow, Inc.		260,416		7,615
DuPont de Nemours, Inc.		262,750		8,960
Eastman Chemical Co.		53,814		2,507
Ecolab, Inc.		88,474		13,787
FMC Corp.		46,315		3,783
International Flavors & Fragrances, Inc.		41,943		4,281
Linde PLC		193,865		33,539
LyondellBasell Industries N.V., Class A		100,210		4,973
Mosaic (The) Co.		102,558		1,110
PPG Industries, Inc.		84,452		7,060
Sherwin-Williams (The) Co.		29,321		13,474
				162,388
Commercial Services – 0.1%
Cintas Corp.		29,521		5,114
H&R Block, Inc.		78,847		1,110
Robert Half International, Inc.		40,290		1,521
Rollins, Inc.		50,286		1,817
				9,562
Construction Materials – 0.1%
Martin Marietta Materials, Inc.		22,236		4,208
Vulcan Materials Co.		46,417		5,016
				9,224
Consumer Products – 5.8%
Altria Group, Inc.		671,113		25,952
Brown-Forman Corp., Class B		64,385		3,574
Campbell Soup Co.		60,225		2,780
Church & Dwight Co., Inc.		88,535		5,682
Clorox (The) Co.		44,044		7,631
Coca-Cola (The) Co.		1,387,036		61,376
Colgate-Palmolive Co.		306,947		20,369
Conagra Brands, Inc.		191,146		5,608
Constellation Brands, Inc., Class A		59,153		8,480
Coty, Inc., Class A		116,130		599
Estee Lauder (The) Cos., Inc., Class A		79,021		12,591
General Mills, Inc.		211,748		11,174
Hershey (The) Co.		52,408		6,944
Hormel Foods Corp.		94,048		4,386
JM Smucker (The) Co.		40,727		4,521
Kellogg Co.		97,678		5,860
Kimberly-Clark Corp.		123,319		15,769
Kraft Heinz (The) Co.		244,408		6,047
Lamb Weston Holdings, Inc.		52,021		2,970

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Consumer Products – 5.8% – continued
McCormick & Co., Inc. (Non Voting)		42,945		$6,064
Molson Coors Beverage Co., Class B		73,791		2,879
Mondelez International, Inc., Class A		513,651		25,724
Monster Beverage Corp. *		137,363		7,728
PepsiCo, Inc.		505,035		60,655
Philip Morris International, Inc.		560,931		40,925
Procter & Gamble (The) Co.		904,715		99,519
Tyson Foods, Inc., Class A		104,274		6,034
				461,841
Containers & Packaging – 0.3%
Amcor PLC		580,123		4,711
Ball Corp.		130,417		8,433
International Paper Co.		135,764		4,226
Packaging Corp. of America		33,805		2,935
Sealed Air Corp.		60,700		1,500
Westrock Co.		101,088		2,857
				24,662
Distributors – Consumer Staples – 0.2%
Archer-Daniels-Midland Co.		218,790		7,697
Sysco Corp.		184,686		8,427
				16,124
Distributors – Discretionary – 0.1%
Copart, Inc. *		72,529		4,970
LKQ Corp. *		121,068		2,483
				7,453
Electrical Equipment – 1.9%
A.O. Smith Corp.		54,346		2,055
Allegion PLC		33,437		3,077
AMETEK, Inc.		81,083		5,840
Amphenol Corp., Class A		106,318		7,748
Eaton Corp. PLC		149,985		11,652
Emerson Electric Co.		219,658		10,467
Fortive Corp.		102,804		5,674
General Electric Co.		3,135,213		24,893
Honeywell International, Inc.		258,746		34,618
Johnson Controls International PLC		285,074		7,686
Keysight Technologies, Inc. *		66,985		5,605
Rockwell Automation, Inc.		41,784		6,306
Roper Technologies, Inc.		36,710		11,446
TE Connectivity Ltd.		119,894		7,551
Trane Technologies PLC		86,801		7,169
				151,787

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 116 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Engineering & Construction Services – 0.1%
Jacobs Engineering Group, Inc.		47,524		$3,767
Quanta Services, Inc.		50,553		1,604
				5,371
Gaming, Lodging & Restaurants – 1.5%
Carnival Corp.		133,961		1,764
Chipotle Mexican Grill, Inc. *		9,109		5,961
Darden Restaurants, Inc.		48,245		2,627
Hilton Worldwide Holdings, Inc.		102,503		6,995
Las Vegas Sands Corp.		120,951		5,137
Marriott International, Inc., Class A		96,200		7,197
McDonald’s Corp.		273,006		45,142
MGM Resorts International		204,825		2,417
Norwegian Cruise Line Holdings Ltd. *		84,690		928
Royal Caribbean Cruises Ltd.		66,363		2,135
Starbucks Corp.		430,048		28,271
Wynn Resorts Ltd.		33,010		1,987
Yum! Brands, Inc.		112,013		7,676
				118,237
Hardware – 6.4%
Apple, Inc.		1,516,565		385,647
Arista Networks, Inc. *		19,433		3,936
Cisco Systems, Inc.		1,522,200		59,838
Corning, Inc.		306,737		6,301
F5 Networks, Inc. *		23,621		2,519
FLIR Systems, Inc.		53,269		1,699
Garmin Ltd.		51,632		3,870
Hewlett Packard Enterprise Co.		466,233		4,527
HP, Inc.		522,899		9,078
Juniper Networks, Inc.		135,842		2,600
Motorola Solutions, Inc.		59,572		7,918
NetApp, Inc.		93,456		3,896
Seagate Technology PLC		84,555		4,126
Western Digital Corp.		103,973		4,327
Xerox Holdings Corp.		74,754		1,416
Zebra Technologies Corp., Class A *		17,103		3,140
				504,838
Health Care Facilities & Services – 3.0%
AmerisourceBergen Corp.		54,317		4,807
Anthem, Inc.		91,511		20,777
Cardinal Health, Inc.		117,113		5,614
Centene Corp. *		206,298		12,256
Cigna Corp.		134,423		23,817
CVS Health Corp.		465,534		27,620

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Health Care Facilities & Services – 3.0% – continued
DaVita, Inc. *		32,418		$2,466
HCA Healthcare, Inc.		94,978		8,534
Henry Schein, Inc. *		58,238		2,942
Humana, Inc.		48,053		15,090
IQVIA Holdings, Inc. *		65,058		7,017
Laboratory Corp. of America Holdings *		37,405		4,728
McKesson Corp.		58,440		7,905
Quest Diagnostics, Inc.		46,785		3,757
UnitedHealth Group, Inc.		341,015		85,042
Universal Health Services, Inc., Class B		28,689		2,842
				235,214
Home & Office Products – 0.4%
D.R. Horton, Inc. (New York Exchange)		119,852		4,075
Fortune Brands Home & Security, Inc.		49,772		2,153
Leggett & Platt, Inc.		44,505		1,187
Lennar Corp., Class A		101,557		3,880
Masco Corp.		103,366		3,573
Mohawk Industries, Inc. *		22,800		1,738
Newell Brands, Inc.		149,686		1,988
NVR, Inc. *		1,226		3,150
PulteGroup, Inc.		92,120		2,056
Snap-on, Inc.		19,245		2,094
Stanley Black & Decker, Inc.		54,255		5,426
Whirlpool Corp.		22,461		1,927
				33,247
Industrial Services – 0.2%
Fastenal Co.		205,139		6,410
United Rentals, Inc. *		27,850		2,866
W.W. Grainger, Inc.		15,783		3,922
				13,198
Institutional Financial Services – 1.3%
Bank of New York Mellon (The) Corp.		323,827		10,906
Cboe Global Markets, Inc.		40,141		3,582
CME Group, Inc.		129,088		22,321
Goldman Sachs Group (The), Inc.		115,582		17,868
Intercontinental Exchange, Inc.		202,332		16,338
Morgan Stanley		421,324		14,325
Nasdaq, Inc.		41,198		3,912
Northern Trust Corp. (1)		74,425		5,616
State Street Corp.		138,609		7,384
				102,252

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 117 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

STOCK INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Insurance – 3.6%
Aflac, Inc.		263,907		$9,036
Allstate (The) Corp.		117,557		10,783
American International Group, Inc.		341,716		8,287
Aon PLC		84,762		13,989
Arthur J. Gallagher & Co.		65,946		5,375
Assurant, Inc.		21,593		2,248
Berkshire Hathaway, Inc., Class B *		707,577		129,366
Chubb Ltd.		163,361		18,246
Cincinnati Financial Corp.		53,739		4,054
Everest Re Group Ltd.		14,126		2,718
Globe Life, Inc.		35,989		2,590
Hartford Financial Services Group (The), Inc.		129,505		4,564
Lincoln National Corp.		75,600		1,990
Loews Corp.		102,151		3,558
Marsh & McLennan Cos., Inc.		182,000		15,736
MetLife, Inc.		284,355		8,693
Principal Financial Group, Inc.		92,192		2,889
Progressive (The) Corp.		209,368		15,460
Prudential Financial, Inc.		143,618		7,488
Travelers (The) Cos., Inc.		91,020		9,043
Unum Group		81,954		1,230
W.R. Berkley Corp.		52,133		2,720
Willis Towers Watson PLC		45,206		7,678
				287,741
Iron & Steel – 0.1%
Nucor Corp.		119,085		4,290
Leisure Products – 0.0%
Hasbro, Inc.		43,312		3,099
Machinery – 1.0%
Caterpillar, Inc.		202,144		23,457
Deere & Co.		112,449		15,536
Dover Corp.		51,937		4,359
Flowserve Corp.		51,527		1,231
IDEX Corp.		26,927		3,719
Illinois Tool Works, Inc.		105,100		14,937
Ingersoll Rand, Inc. *		125,201		3,105
Parker-Hannifin Corp.		45,902		5,955
Xylem, Inc.		63,381		4,128
				76,427
Media – 8.3%
Alphabet, Inc., Class A *		107,944		125,425
Alphabet, Inc., Class C *		108,902		126,632

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Media – 8.3% – continued
Booking Holdings, Inc. *		15,181		$20,423
Charter Communications, Inc., Class A *		58,009		25,310
Comcast Corp., Class A		1,627,213		55,944
Discovery, Inc., Class A *		62,081		1,207
Discovery, Inc., Class C *		136,291		2,391
DISH Network Corp., Class A *		99,622		1,991
Expedia Group, Inc.		49,840		2,804
Facebook, Inc., Class A *		868,625		144,887
Fox Corp., Class A		139,228		3,290
Fox Corp., Class B		63,780		1,459
Interpublic Group of (The) Cos., Inc.		152,107		2,463
Netflix, Inc. *		157,104		58,993
News Corp., Class A		151,488		1,360
News Corp., Class B		47,835		430
Omnicom Group, Inc.		77,744		4,268
Twitter, Inc. (New York Exchange) *		272,473		6,692
VeriSign, Inc. *		36,526		6,578
ViacomCBS, Inc., Class B		171,520		2,403
Walt Disney (The) Co.		648,252		62,621
				657,571
Medical Equipment & Devices – 4.6%
Abbott Laboratories		635,333		50,134
ABIOMED, Inc. *		17,825		2,587
Agilent Technologies, Inc.		110,279		7,898
Align Technology, Inc. *		28,552		4,967
Baxter International, Inc.		182,174		14,791
Becton Dickinson and Co.		96,402		22,150
Boston Scientific Corp. *		497,900		16,246
Cooper (The) Cos., Inc.		17,289		4,766
Danaher Corp.		229,185		31,722
DENTSPLY SIRONA, Inc.		88,064		3,420
Edwards Lifesciences Corp. *		75,342		14,211
Hologic, Inc. *		105,002		3,686
IDEXX Laboratories, Inc. *		30,793		7,459
Illumina, Inc. *		52,519		14,344
Intuitive Surgical, Inc. *		41,182		20,394
Medtronic PLC		484,326		43,677
Mettler-Toledo International, Inc. *		8,698		6,006
PerkinElmer, Inc.		43,632		3,285
ResMed, Inc.		51,404		7,571
STERIS PLC		29,093		4,072
Stryker Corp.		114,886		19,127
Teleflex, Inc.		16,609		4,864
Thermo Fisher Scientific, Inc.		144,047		40,852

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 118 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Medical Equipment & Devices – 4.6% – continued
Varian Medical Systems, Inc. *		31,725		$3,257
Waters Corp. *		23,858		4,343
Zimmer Biomet Holdings, Inc.		75,309		7,612
				363,441
Metals & Mining – 0.2%
Freeport-McMoRan, Inc.		482,908		3,260
Newmont Corp.		299,624		13,567
				16,827
Oil, Gas & Coal – 2.6%
Apache Corp.		113,342		474
Baker Hughes Co.		252,971		2,656
Cabot Oil & Gas Corp.		164,352		2,825
Chevron Corp.		678,005		49,128
Concho Resources, Inc.		63,150		2,706
ConocoPhillips		419,675		12,926
Devon Energy Corp.		103,139		713
Diamondback Energy, Inc.		64,047		1,678
EOG Resources, Inc.		227,975		8,189
Exxon Mobil Corp.		1,524,819		57,897
Halliburton Co.		337,596		2,313
Helmerich & Payne, Inc.		42,987		673
Hess Corp.		101,664		3,385
HollyFrontier Corp.		59,476		1,458
Kinder Morgan, Inc.		634,908		8,838
Marathon Oil Corp.		219,653		723
Marathon Petroleum Corp.		235,089		5,553
National Oilwell Varco, Inc.		111,228		1,093
Noble Energy, Inc.		143,821		869
Occidental Petroleum Corp.		343,494		3,978
ONEOK, Inc.		146,918		3,204
Phillips 66		160,177		8,593
Pioneer Natural Resources Co.		65,656		4,606
Schlumberger Ltd.		464,605		6,267
TechnipFMC PLC (New York Exchange)		164,862		1,111
Valero Energy Corp.		157,097		7,126
Williams (The) Cos., Inc.		476,104		6,737
				205,719
Passenger Transportation – 0.2%
Alaska Air Group, Inc.		48,009		1,367
American Airlines Group, Inc.		130,667		1,593
Delta Air Lines, Inc.		204,281		5,828

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Passenger Transportation – 0.2% – continued
Southwest Airlines Co.		173,336		$6,173
United Airlines Holdings, Inc. *		78,903		2,489
				17,450
Real Estate – 0.1%
CBRE Group, Inc., Class A *		120,108		4,529
Real Estate Investment Trusts – 2.9%
Alexandria Real Estate Equities, Inc.		44,364		6,081
American Tower Corp.		160,332		34,912
Apartment Investment & Management Co., Class A		52,972		1,862
AvalonBay Communities, Inc.		49,857		7,338
Boston Properties, Inc.		56,467		5,208
Crown Castle International Corp.		148,451		21,436
Digital Realty Trust, Inc.		95,069		13,206
Duke Realty Corp.		141,982		4,597
Equinix, Inc.		31,053		19,395
Equity Residential		124,408		7,677
Essex Property Trust, Inc.		23,092		5,086
Extra Space Storage, Inc.		44,457		4,257
Federal Realty Investment Trust		20,205		1,508
Healthpeak Properties, Inc.		165,121		3,938
Host Hotels & Resorts, Inc.		286,718		3,165
Iron Mountain, Inc.		112,780		2,684
Kimco Realty Corp.		165,807		1,603
Mid-America Apartment Communities, Inc.		40,573		4,180
Prologis, Inc. (New York Exchange)		267,027		21,461
Public Storage (New York Exchange)		53,425		10,611
Realty Income Corp.		123,950		6,180
Regency Centers Corp.		59,835		2,300
SBA Communications Corp.		41,685		11,254
Simon Property Group, Inc.		120,969		6,636
SL Green Realty Corp.		32,375		1,395
UDR, Inc.		104,554		3,821
Ventas, Inc.		128,927		3,455
Vornado Realty Trust		58,006		2,100
Welltower, Inc. (New York Exchange)		144,688		6,624
Weyerhaeuser Co.		292,620		4,960
				228,930
Recreational Facilities & Services – 0.0%
Live Nation Entertainment, Inc. *		46,314		2,105
Retail – Consumer Staples – 2.0%
Costco Wholesale Corp.		158,522		45,199

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 119 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

STOCK INDEX FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Retail – Consumer Staples – 2.0% – continued
Dollar General Corp.		92,593		$13,983
Dollar Tree, Inc. *		84,556		6,212
Kroger (The) Co.		278,100		8,376
Target Corp.		183,802		17,088
Walgreens Boots Alliance, Inc.		266,704		12,202
Walmart, Inc.		514,483		58,456
				161,516
Retail – Discretionary – 6.0%
Advance Auto Parts, Inc.		28,043		2,617
Amazon.com, Inc. *		150,197		292,842
AutoZone, Inc. *		8,789		7,436
Best Buy Co., Inc.		82,829		4,721
CarMax, Inc. *		59,141		3,184
eBay, Inc.		306,857		9,224
Gap (The), Inc.		70,258		495
Genuine Parts Co.		51,501		3,468
Home Depot (The), Inc.		394,255		73,611
Kohl’s Corp.		58,839		858
L Brands, Inc.		73,526		850
Lowe’s Cos., Inc.		276,632		23,804
Macy’s, Inc.		91,786		451
Nordstrom, Inc.		41,988		644
O’Reilly Automotive, Inc. *		27,324		8,226
Ross Stores, Inc.		130,140		11,318
Tiffany & Co.		42,706		5,530
TJX (The) Cos., Inc.		431,597		20,635
Tractor Supply Co.		42,590		3,601
Ulta Beauty, Inc. *		20,480		3,598
				477,113
Semiconductors – 4.4%
Advanced Micro Devices, Inc. *		423,198		19,247
Analog Devices, Inc.		130,615		11,710
Applied Materials, Inc.		330,618		15,149
Broadcom, Inc.		143,019		33,910
Intel Corp.		1,595,438		86,345
IPG Photonics Corp. *		14,002		1,544
KLA Corp.		56,972		8,189
Lam Research Corp.		51,716		12,412
Maxim Integrated Products, Inc.		96,967		4,713
Microchip Technology, Inc.		85,205		5,777
Micron Technology, Inc. *		394,175		16,579
NVIDIA Corp.		218,618		57,628
Qorvo, Inc.*		46,268		3,730

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Semiconductors – 4.4% – continued
QUALCOMM, Inc.		411,317		$27,826
Skyworks Solutions, Inc.		66,554		5,949
Texas Instruments, Inc.		335,373		33,514
Xilinx, Inc. (NASDAQ Exchange)		88,766		6,918
				351,140
Software – 9.0%
Activision Blizzard, Inc.		274,229		16,311
Adobe, Inc. (NASDAQ Exchange) *		174,420		55,507
Akamai Technologies, Inc. *		58,945		5,393
ANSYS, Inc. (NASDAQ Exchange) *		30,318		7,048
Autodesk, Inc. (NASDAQ Exchange) *		77,951		12,168
Cadence Design Systems, Inc. *		99,660		6,582
Cerner Corp.		113,684		7,161
Citrix Systems, Inc.		44,231		6,261
Electronic Arts, Inc. *		105,514		10,569
Fortinet, Inc. *		55,749		5,640
Intuit, Inc. (NASDAQ Exchange)		93,616		21,532
Microsoft Corp.		2,759,718		435,234
NortonLifeLock, Inc.		223,351		4,179
Oracle Corp.		792,653		38,309
Paycom Software, Inc. *		17,741		3,584
salesforce.com, Inc. *		319,145		45,951
ServiceNow, Inc. *		68,022		19,494
Synopsys, Inc. *		53,716		6,918
Take-Two Interactive Software, Inc. *		40,430		4,795
				712,636
Specialty Finance – 4.2%
Alliance Data Systems Corp.		12,154		409
American Express Co.		242,961		20,800
Capital One Financial Corp.		179,060		9,028
Discover Financial Services		113,671		4,055
Fidelity National Information Services, Inc.		220,664		26,842
Fiserv, Inc. *		205,516		19,522
FleetCor Technologies, Inc. *		31,000		5,783
Global Payments, Inc.		107,161		15,456
Jack Henry & Associates, Inc.		27,006		4,192
Mastercard, Inc., Class A		321,793		77,732
PayPal Holdings, Inc. *		422,712		40,470
Synchrony Financial		226,649		3,647
Visa, Inc., Class A		623,526		100,462
Western Union (The) Co.		166,512		3,019
				331,417

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 120 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Technology Services – 2.5%
Accenture PLC, Class A		230,441		$37,622
Automatic Data Processing, Inc.		156,496		21,390
Broadridge Financial Solutions, Inc. ADR		40,407		3,832
CDW Corp.		51,682		4,820
Cognizant Technology Solutions Corp., Class A		196,219		9,118
DXC Technology Co.		87,571		1,143
Equifax, Inc.		47,486		5,672
Gartner, Inc. *		35,407		3,526
IHS Markit Ltd.		143,716		8,623
International Business Machines Corp.		318,324		35,312
Leidos Holdings, Inc.		48,273		4,424
MarketAxess Holdings, Inc.		13,446		4,472
Moody’s Corp.		58,109		12,290
MSCI, Inc.		30,246		8,740
Nielsen Holdings PLC		139,714		1,752
Paychex, Inc.		116,631		7,338
S&P Global, Inc.		88,547		21,698
Verisk Analytics, Inc.		58,349		8,133
				199,905
Telecom – 2.1%
AT&T, Inc.		2,628,834		76,630
CenturyLink, Inc.		339,332		3,210
T-Mobile U.S., Inc. *		112,490		9,438
Verizon Communications, Inc.		1,490,152		80,066
				169,344
Transportation & Logistics – 1.5%
C.H. Robinson Worldwide, Inc.		47,413		3,139
CSX Corp.		285,019		16,332
Expeditors International of Washington, Inc.		58,214		3,884
FedEx Corp.		91,894		11,143
JB Hunt Transport Services, Inc.		29,634		2,733
Kansas City Southern		35,800		4,553
Norfolk Southern Corp.		94,054		13,732
Old Dominion Freight Line, Inc.		34,645		4,547
Union Pacific Corp.		252,988		35,681
United Parcel Service, Inc., Class B		250,756		23,426
				119,170
Transportation Equipment – 0.2%
Cummins, Inc.		56,333		7,623

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 97.7% – continued
Transportation Equipment – 0.2% – continued
PACCAR, Inc.		123,943		$7,577
Westinghouse Air Brake Technologies Corp.		71,538		3,443
				18,643
Utilities – 3.5%
AES Corp.		260,773		3,547
Alliant Energy Corp.		82,424		3,980
Ameren Corp.		86,543		6,303
American Electric Power Co., Inc.		175,853		14,065
American Water Works Co., Inc.		66,750		7,981
Atmos Energy Corp.		40,817		4,050
CenterPoint Energy, Inc.		197,281		3,048
CMS Energy Corp.		100,987		5,933
Consolidated Edison, Inc.		118,053		9,208
Dominion Energy, Inc.		297,049		21,444
DTE Energy Co.		63,536		6,034
Duke Energy Corp.		260,144		21,040
Edison International		127,272		6,973
Entergy Corp.		75,235		7,070
Evergy, Inc.		82,895		4,563
Eversource Energy		115,106		9,002
Exelon Corp.		341,478		12,570
FirstEnergy Corp.		205,578		8,238
NextEra Energy, Inc.		180,331		43,391
NiSource, Inc.		146,656		3,662
NRG Energy, Inc.		99,378		2,709
Pinnacle West Capital Corp.		38,927		2,950
PPL Corp.		283,711		7,002
Public Service Enterprise Group, Inc.		179,891		8,079
Sempra Energy		99,810		11,278
Southern (The) Co.		379,999		20,573
WEC Energy Group, Inc.		119,043		10,491
Xcel Energy, Inc.		183,379		11,058
				276,242
Waste & Environment Services & Equipment – 0.3%
Pentair PLC		66,012		1,965
Republic Services, Inc.		76,937		5,775
Waste Management, Inc.		140,884		13,040
				20,780
Total Common Stocks
(Cost $4,066,376)				7,748,950

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 121 EQUITY INDEX FUNDS

SCHEDULE OF INVESTMENTS

STOCK INDEX FUND continued MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 1.8%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40 (2)(3)		148,696,762		$148,697
Total Investment Companies
(Cost $148,696)				148,697
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.3%
U.S. Treasury Bill, 1.00%, 7/16/20 (4)(5)		$20,485		$20,480
Total Short-Term Investments
(Cost $20,425)				20,480
Total Investments – 99.8%
(Cost $4,235,497)				7,918,127
Other Assets less Liabilities – 0.2%				15,095
NET ASSETS – 100.0%				$7,933,222

(1) Investment in affiliate.

(2) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(3) 7-day current yield as of March 31, 2020 is disclosed.

(4) Discount rate at the time of purchase.

(5) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR - American Depositary Receipt

MSCI - Morgan Stanley Capital International

PLC - Public Limited Company

S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000S)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)(1)
E-Mini S&P 500		1,402		$180,136		Long		6/20		$(2,720)

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		10.7%
Consumer Discretionary		9.8
Consumer Staples		7.8
Energy		2.7
Financials		11.0
Health Care		15.3
Industrials		8.2
Information Technology		25.5
Materials		2.4
Real Estate		3.0
Utilities		3.6
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks (1)		$7,748,950		$–		$–		$7,748,950
Investment Companies		148,697		–		–		148,697
Short-Term Investments		–		20,480		–		20,480
Total Investments		$7,897,647		$20,480		$–		$7,918,127
OTHER FINANCIAL INSTRUMENTS
Liabilities
Futures Contracts		$(2,720)		$–		$–		$(2,720)

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

EQUITY INDEX FUNDS 122 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS MARCH 31, 2020

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index, International Equity Index, Mid Cap Index, Small Cap Index, and Stock Index Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES AND DERIVATIVE CONTRACTS Securities are valued at their fair value. Securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange-traded funds, are valued at their NAV. Spot and forward foreign currency exchange contracts are generally valued using an independent pricing service. Exchange-traded financial futures and options are valued at the settlement price as established by the exchange on which they are traded. The foregoing prices may be obtained from one or more independent pricing services or, as needed or applicable, independent broker-dealers. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by the Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by a Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) FUTURES CONTRACTS Certain Funds invest in long or short exchange-traded futures contracts for hedging purposes, to increase total return (i.e., for speculative purposes) or to maintain liquidity to meet potential shareholder redemptions, to invest cash balances or dividends or to minimize trading costs. When used as a hedge, a Fund may sell a futures contract in order to offset a

NORTHERN FUNDS ANNUAL REPORT 123 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

decrease in the fair value of its portfolio securities that might otherwise result from a market decline. A Fund may do so either to hedge the value of its portfolio securities as a whole, or to protect against declines occurring prior to sales of securities in the value of the securities to be sold. Conversely, a Fund may purchase a futures contract as a hedge in anticipation of purchases of securities. In addition, a Fund may utilize futures contracts in anticipation of changes in the composition of its portfolio holdings. A Fund bears the market risk arising from changes in the value of these financial instruments. At the time a Fund enters into a futures contract, it is generally required to make a margin deposit with the custodian of a specified amount of liquid assets. Futures are marked-to-market each day with the change in value reflected in the unrealized gains or losses. Risk may arise as a result of the potential inability of the counterparties to meet the terms of their contracts. Credit risk is mitigated to the extent that the exchange on which a particular futures contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. The Statements of Operations include any realized gains or losses on closed futures contracts in Net realized gains (losses) on futures contracts, and any unrealized gains or losses on open futures contracts in Net change in unrealized appreciation (depreciation) on futures contracts.

The contract position and investment strategy utilized during the fiscal year ended March 31, 2020, was as follows:

	CONTRACT POSITION	INVESTMENT   STRATEGY
Emerging Markets Equity Index	Long	Liquidity
Global Real Estate Index	Long	Liquidity
Global Sustainability Index	Long	Liquidity
International Equity Index	Long	Liquidity
Mid Cap Index	Long	Liquidity
Small Cap Index	Long	Liquidity
Stock Index	Long	Liquidity

At March 31, 2020, the aggregate fair value of securities pledged to cover margin requirements for open positions for the Mid Cap Index, Small Cap Index and Stock Index Funds was approximately $4,264,000, $2,399,000 and $20,480,000, respectively. At March 31, 2020, the aggregate fair value of cash and foreign currencies to cover margin requirements for open positions for the Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index, International Equity Index and Stock Index Funds was approximately $7,227,000, $5,375,000, $1,437,000, $12,407,000 and $7,425,000, respectively. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 10.

C) FOREIGN CURRENCY TRANSLATION Values of investments denominated in foreign currencies are converted into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The cost of purchases and proceeds from sales of investments, interest and dividend income are translated into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The gains or losses, if any, on investments from original purchase date to subsequent sales trade date resulting from changes in foreign exchange rates are included in the Statements of Operations in Net realized gains (losses) on investments and Net change in unrealized appreciation (depreciation) on investments. The gains or losses, if any, on translation of other assets and liabilities denominated in foreign currencies and between the trade and settlement dates on investment transactions are included in Net realized gains (losses) on foreign currency transactions and Net change in unrealized appreciation (depreciation) on foreign currency translations in the Statements of Operations.

D) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS Certain Funds are authorized to enter into forward foreign currency exchange contracts, or forward currency exchange contracts, for the purchase or sale of a specific foreign currency at a specified exchange rate on a future date as a hedge against either specific transactions or portfolio positions, or as a cross-hedge transaction or for speculative purposes. The objective of a Fund’s foreign currency hedging transactions is to reduce the risk that the U.S. dollar value of a Fund’s foreign currency denominated securities will decline in value due to changes in foreign currency exchange rates. All forward foreign currency exchange contracts are “marked-to-market” daily at the applicable exchange rates. Any resulting unrealized gains or losses are recorded in Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts in the Statements of Operations. Gains or losses are recorded for financial statement purposes as unrealized until the settlement date. Realized gains or losses, if any, are included in Net realized gains (losses) on forward foreign currency exchange contracts in the Statements of Operations.

Risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. The contractual amounts of forward foreign currency exchange contracts do not necessarily represent the amounts potentially subject to risk. The Funds bear the market risk from changes in forward foreign currency exchange rates and the credit risk if the counterparty to the contract fails to perform. The institutions that deal in forward foreign currency exchange contracts are not required to continue to make markets in the currencies they trade and these markets can experience periods of illiquidity. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 10. With respect to forward foreign currency exchange transactions that were outstanding as of March 31, 2020 for the Emerging Markets Equity Index Fund, approximately $70,000 was received by Fund as collateral and is included in Due to broker on the Statements of Assets and Liabilities.

EQUITY INDEX FUNDS 124 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020

E) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent either the stated coupon rate, annualized yield on the date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income, if any, is recognized on the ex-dividend date. Dividends from foreign securities are recorded on the ex-dividend date, or as soon as the information is available. Distributions received from a Fund’s investments in real estate investment trusts (“REITs”) are comprised of return of capital, capital gains and income. The actual character of the amounts received during the year is not known until the fiscal year-end. A Fund records the character of distributions received from the REITs during the year based on estimates available. A Fund’s characterization may be subsequently revised based on information received from the REITs after their tax reporting periods conclude.

F) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

G) REDEMPTION FEES The Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index, and International Equity Index Funds charge a 2 percent redemption fee on the redemption of shares (including by exchange) held for 30 days or less. For the purpose of applying the fee, the Funds use a first-in, first-out (“FIFO”) method so that shares held longest are treated as being redeemed first and shares held shortest are treated as being redeemed last. The redemption fee is paid to the Fund from which the redemption is made and is intended to offset the trading, market impact and other costs associated with short-term money movements in and out of the Funds. The redemption fee may be collected by deduction from the redemption proceeds or, if assessed after the redemption transaction, through a separate billing. The Funds are authorized to waive the redemption fee for certain types of redemptions as described in the Funds’ prospectus.

Redemption fees for the fiscal year ended March 31, 2020, were approximately $12,000, $3,000, $5,000 and $1,000 for the Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index and International Equity Index Funds, respectively. Redemption fees were approximately $5,000, $4,000, $5,000 and $7,000 for the fiscal year ended March 31, 2019, for the Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index and International Equity Index Funds, respectively. These amounts are included in Payments for Shares Redeemed in Note 8—Capital Share Transactions. The impact from redemption fees paid to each Fund was less than $0.001 per share for both fiscal years.

H) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid as follows:

	DECLARATION AND   PAYMENT FREQUENCY
Emerging Markets Equity Index	Annually
Global Real Estate Index	Quarterly
Global Sustainability Index	Annually
International Equity Index	Annually
Mid Cap Index	Annually
Small Cap Index	Annually
Stock Index	Quarterly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Funds may periodically make reclassifications among certain of their capital accounts to reflect differences between financial reporting and federal income tax basis distributions. These reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These reclassifications may relate to net operating losses, Section 988 currency gains and losses, Passive Foreign Investment Companies (“PFICs”) gains and losses, recharacterization of dividends received from investments in REITs, expired capital loss carryforwards, and gains or losses on in-kind transactions. These reclassifications have no impact on the total net assets or the NAVs per share of the Funds. At March 31, 2020, the following reclassifications were recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)			ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)			CAPITAL STOCK
Emerging Markets Equity Index		$ (39	)		$ 39			$ –
Global Real Estate Index		1,682			5,802			(7,484	)
Global Sustainability Index		(73	)		73			–
International Equity Index		(1,477	)		1,188			289
Small Cap Index		692			(944	)		252
Stock Index		(64	)		(467	)		530

NORTHERN FUNDS ANNUAL REPORT 125 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

I) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders. The Funds may be subject to taxes imposed by countries in which they invest. Such taxes are generally based on income and/or capital gains earned. Taxes are accrued based on net investment income, net realized gains and net unrealized appreciation as such income and/or gains are recorded. Taxes accrued on unrealized gains are reflected as a liability on the Statements of Assets and Liabilities under the caption Deferred foreign capital gains tax payable and as a reduction in Net change in unrealized appreciation (depreciation) on investments on the Statements of Operations. When assets subject to capital gains tax are sold, accrued taxes are relieved, and the actual amount of the taxes paid is reflected on the Statements of Operations as a reduction in Net realized gains (losses) on Investments. The Funds seek to recover a portion of foreign withholding taxes applied to income earned in jurisdictions where favorable treaty rates for US investors are available. The portion of such taxes believed to be recoverable is reflected as an asset on the Statements of Assets and Liabilities under the caption Receivable for foreign tax reclaims.

For the period from November 1, 2019 through March 31, 2020, the following Funds incurred net capital losses and/or Section 988 net currency losses which the Funds intend to treat as having been incurred in the following fiscal year:

Amounts in thousands
Global Sustainability Index	$1,020
Small Cap Index	14,069
Stock Index	5,477

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 can be carried forward for an unlimited period. However, capital losses incurred by the Funds in taxable years beginning before the taxable year ended March 31, 2012 with an expiration date may not be used to offset capital gains until all net capital losses incurred in taxable years beginning with the taxable year ended March 31, 2012 without an expiration date have been utilized. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
Emerging Markets Equity Index		$34,145		$400,105
International Equity Index *		28,357		501,379

* Amounts include acquired capital loss carryovers which may be limited under current tax laws.

During the taxable year ended November 30, 2019, the Global Real Estate Index Fund utilized approximately $7,115,000 in capital loss carryforwards.

The Global Real Estate Index Fund had approximately $6,230,000 of capital loss carryforwards expire during the taxable year ended November 30, 2019.

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains (losses) were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Emerging Markets Equity Index		$6,833		$ –		$184,481
Global Sustainability Index		3,528		–		12,160
International Equity Index		22,771		–		(25,218	)
Mid Cap Index		7,994		6,470		(117,597	)
Small Cap Index		3,015		75		9,735
Stock Index		4,896		–		3,578,137

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax components of undistributed net investment income, undistributed realized gains and unrealized losses at November 30, 2019, the Global Real Estate Index Fund’s last tax year end, were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Global Real Estate Index		$53,178		$–		$450,479

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

EQUITY INDEX FUNDS 126 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS
Emerging Markets Equity Index		$76,000		$ –
Global Sustainability Index		15,009		6,408
International Equity Index		172,000		–
Mid Cap Index		34,000		20,750
Small Cap Index		15,500		7,300
Stock Index		173,198		68,627

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS
Emerging Markets Equity Index		$64,999		$–
Global Sustainability Index		9,205		5,631
International Equity Index		170,000		–
Mid Cap Index		39,749		132,336
Small Cap Index		21,348		94,784
Stock Index		156,546		194,242

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the Global Real Estate Index Fund’s tax years ended November 30, 2019 and November 30, 2018 was designated for the purpose of the dividends paid deductions as follows:

	NOVEMBER 30, 2019 AND NOVEMBER 30, 2018 DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME *		LONG-TERM CAPITAL GAINS
Global Real Estate Index (2019)		$53,911		$–
Global Real Estate Index (2018)		87,381		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The Global Real Estate Index Fund has a tax year end of November 30th. Therefore, the tax character of distributions paid for the period December 1, 2019 through March 31, 2020 will be determined at the end of its tax year.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

J) OTHER RISKS Certain Funds may invest in emerging market securities. Additional risks are involved when a Fund invests its assets in countries with emerging economies or securities markets. These countries generally are located in the Asia and Pacific regions, the Middle East, Eastern Europe, Central America, South America and Africa. Political and economic structures in many of these countries may lack the social, political and economic stability characteristics of more developed countries. In general, the securities markets of these countries are less liquid, subject to greater price volatility and have smaller market capitalizations. As a result, the risks presented by investments in these countries are heightened.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent

NORTHERN FUNDS ANNUAL REPORT 127 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

During the fiscal year ended March 31, 2020, the following Funds had borrowings with the average loan amounts and weighted average interest rates as disclosed below:

Amounts in thousands	DOLLAR AMOUNT		RATE
Emerging Markets Equity Index		$26,700		3.19	%
Global Real Estate Index		2,300		2.03
Global Sustainability Index		1,967		2.79

No other Funds had any borrowings or incurred any interest expense during the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020.

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at the annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of each Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL
	ANNUAL MANAGEMENT FEES			EXPENSE LIMITATIONS
Emerging Markets Equity Index		0.21	%		0.30	%
Global Real Estate Index		0.40	%		0.50	%
Global Sustainability Index		0.18	%		0.30	%
International Equity Index		0.18	%		0.25	%
Mid Cap Index		0.13	%		0.15	%
Small Cap Index		0.13	%		0.15	%
Stock Index		0.08	%		0.10	%

The contractual reimbursement arrangement is expected to continue until at least July 31, 2020. The contractual reimbursement arrangement will continue automatically thereafter for periods of one year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

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EQUITY INDEX FUNDS

MARCH 31, 2020

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S. Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or, at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed-income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI and/or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statements of Operations. This reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specific conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the Funds did not engage in any purchases and/or sales of securities from an affiliated entity.

During the fiscal year ended March 31, 2020, International Equity Index Fund received reimbursements from The Northern Trust Company of approximately $69,000 in connection with an error. This reimbursement is included in Net investment income in the Statements of Operations and Statements of Changes in Net Assets and in Net investment income in the Financial Highlights. The cash contribution represents less than $0.01 per share and had no effect on the Fund’s total return.

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES		SALES
Amounts in thousands	U.S. GOVERNMENT	OTHER	U.S. GOVERNMENT		OTHER
Emerging Markets Equity Index	$–	$1,062,879		$–	$	1,824,737
Global Real Estate Index	–	439,592		–		151,075
Global Sustainability Index	–	246,222		–		101,394
International Equity Index	–	530,107		–		915,874
Mid Cap Index	–	416,171		–		408,845
Small Cap Index	–	233,916		–		211,876
Stock Index	–	521,808		–		457,424

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains on certain foreign currency contracts, the deferral of post-October currency and capital losses for tax purposes and the timing of income recognition on investments in REITs and PFICs.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including the effects of foreign currency translation and derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

NORTHERN FUNDS ANNUAL REPORT 129 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
Emerging Markets Equity Index		$449,806		$(264,979	)		$184,827			$1,365,277
Global Real Estate Index		290,231		(466,466	)		(176,235	)		1,929,909
Global Sustainability Index		95,484		(83,350	)		12,134			671,462

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
International Equity Index		$737,585		$(762,635	)		$(25,050	)		$4,085,299
Mid Cap Index		329,235		(446,833	)		(117,598	)		1,824,665
Small Cap Index		231,900		(222,164	)		9,736			878,625
Stock Index		3,935,210		(357,073	)		3,578,137			4,337,270

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Emerging Markets Equity Index		32,561		$367,393		1,582		$19,112		(100,310	)		$(1,115,107	)		(66,167	)		$(728,602	)
Global Real Estate Index		61,402		667,542		1,637		17,522		(35,685	)		(350,087	)		27,354			334,977
Global Sustainability Index		24,705		363,542		892		13,784		(16,165	)		(236,009	)		9,432			141,317
International Equity Index		64,405		748,418		1,923		24,345		(99,531	)		(1,124,552	)		(33,203	)		(351,789	)
Mid Cap Index		26,990		473,955		1,540		29,630		(31,253	)		(530,071	)		(2,723	)		(26,486	)
Small Cap Index		21,657		256,854		887		11,732		(20,463	)		(236,123	)		2,081			32,463
Stock Index		40,154		1,370,565		2,734		96,446		(34,966	)		(1,195,902	)		7,922			271,109

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Emerging Markets Equity Index		80,615		$932,873		1,507		$15,872		(92,026	)		$(1,046,495	)		(9,904	)		$(97,750	)
Global Real Estate Index		47,461		490,279		1,088		11,315		(41,034	)		(424,830	)		7,515			76,764
Global Sustainability Index		22,294		302,418		813		10,008		(6,301	)		(86,507	)		16,806			225,919
International Equity Index		103,728		1,224,427		2,382		25,532		(142,566	)		(1,684,642	)		(36,456	)		(434,683	)
Mid Cap Index		26,427		492,006		8,869		137,470		(28,508	)		(517,541	)		6,788			111,935
Small Cap Index		20,383		273,115		9,160		96,909		(24,255	)		(313,847	)		5,288			56,177
Stock Index		48,464		1,554,232		7,154		207,290		(44,082	)		(1,412,645	)		11,536			348,877

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares

AFFILIATE

VALUE, BEGINNING OF YEAR

PURCHASES

SALES PROCEEDS

NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)

NET REALIZED GAINS (LOSSES)

DIVIDEND INCOME

VALUE, END OF YEAR

SHARES, END OF YEAR

Emerging Markets Equity Index

Northern Institutional Funds –U.S. Government Portfolio (Shares)

$23,521

$465,800

$479,772

$–

$–

$358

$9,549

9,548,812

EQUITY INDEX FUNDS 130 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)			NET REALIZED GAINS (LOSSES)			DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Global Real Estate Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		$7,610		$457,345		$464,652		$–			$–			$ 439		$303		303,484
Global Sustainability Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		18,242		249,102		260,493		–			–			144		6,851		6,851,409
	Northern Trust Corp.		547		167		13		(123	)		(1	)		20		577		7,645
	Total		$18,789		$249,269		$260,506		$	(123)		$	(1)		$ 164		$7,428		6,859,054
International Equity Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		21,583		466,323		449,592		–			–			388		38,314		38,314,472
Mid Cap Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		70,849		347,659		403,845		–			–			1,064		14,663		14,662,646
Small Cap Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		12,735		180,296		187,805		–			–			442		5,226		5,225,672
Stock Index	Northern Institutional Funds – U.S. Government Portfolio (Shares)		64,283		943,887		859,473		–			–			2,681		148,697		148,696,762
	Northern Trust Corp.		7,050		315		682		(1,097	)		30			207		5,616		74,425
	Total		$71,333		$944,202		$860,155		$	(1,097)		$30			$2,888		$154,313		148,771,187

10. DERIVATIVE INSTRUMENTS

Information concerning the types of derivatives in which the Funds invest, the objectives for using them and their related risks can be found in Note 2.

Below are the types of derivatives by primary risk exposure as presented in the Statements of Assets and Liabilities as of March 31, 2020:

		ASSETS				LIABILITIES
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF ASSETS LOCATION	VALUE			STATEMENTS OF LIABILITIES LOCATION	VALUE
Emerging Markets Equity Index	Equity contracts	Net Assets – Net unrealized appreciation	$	2,615	*	Net Assets – Net unrealized depreciation		$–
	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		233		Unrealized depreciation on forward foreign currency exchange contracts		(45	)
Global Real Estate Index	Equity contracts	Net Assets – Net unrealized appreciation		881	*	Net Assets – Net unrealized depreciation		–
	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		11		Unrealized depreciation on forward foreign currency exchange contracts		(20	)
Global Sustainability Index	Equity contracts	Net Assets – Net unrealized appreciation		319	*	Net Assets – Net unrealized depreciation		(34	)*
	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		9		Unrealized depreciation on forward foreign currency exchange contracts		(39	)

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EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

		ASSETS				LIABILITIES
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF ASSETS LOCATION	VALUE			STATEMENTS OF LIABILITIES LOCATION	VALUE
International Equity Index	Equity contracts	Net Assets – Net unrealized appreciation	$	9,816	*	Net Assets – Net unrealized depreciation	$	–
	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		1,082		Unrealized depreciation on forward foreign currency exchange contracts		(778	)
Mid Cap Index	Equity contracts	Net Assets – Net unrealized appreciation		1,054	*	Net Assets – Net unrealized depreciation		–
Small Cap Index	Equity contracts	Net Assets – Net unrealized appreciation		605	*	Net Assets – Net unrealized depreciation		–
Stock Index	Equity contracts	Net Assets – Net unrealized appreciation		–		Net Assets – Net unrealized depreciation		(2,720	)*

* Includes cumulative appreciation/depreciation on futures contracts as reported in the Schedules of Investments’ footnotes. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

The Funds may enter into transactions subject to enforceable netting agreements or other similar arrangements (“netting agreements”). Generally, netting agreements allow the Funds to offset any exposure to a specific counterparty with any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, the Funds manage their cash collateral and securities collateral on a counterparty basis. In the event of default where the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the defaulting party, realization of collateral by the Funds may be delayed or limited. In addition, the netting agreements provide the right for the non-defaulting party to liquidate the collateral and calculate the net exposure to the defaulting party or request additional collateral.

As of March 31, 2020, gross amounts of assets and liabilities for forward foreign exchange contracts not offset in the Statements of Assets and Liabilities, related collateral and net amounts after taking into account netting agreements, by counterparty, are as follows:

					GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENTS OF ASSETS AND LIABILITIES			FINANCIAL INSTRUMENTS			CASH COLLATERAL RECEIVED			NET AMOUNT
Emerging Markets Equity Index	BNP		$123			$–			$–			$123
	Goldman Sachs		89			–			(70	)		19
	Morgan Stanley		11			(11	)		–			–
	Toronto-Dominion Bank		10			–			–			10
	Total		$233			$(11	)		$(70	)		$152
Global Real Estate Index	BNY Mellon		$1			$–			$–			$1
	Citibank		4			(2	)		–			2
	Morgan Stanley		6			(6	)		–			–
	Total		$11			$(8	)		$–			$ 3
Global Sustainability Index	Citibank		$9			$(9	)		$–			$–
	Goldman Sachs		–	*		–			–			–	*
	Total		$9			$(9	)		$–			$ –	*
International Equity Index	BNY Mellon		$15			$–			$–			$15
	Citibank		60			(15	)		–			45
	Goldman Sachs		21			(21	)		–			–
	JPMorgan Chase		865			(106	)		–			759
	Morgan Stanley		120			(120	)		–			–

EQUITY INDEX FUNDS 132 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020

					GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENTS OF ASSETS AND LIABILITIES			FINANCIAL INSTRUMENTS			CASH COLLATERAL RECEIVED		NET AMOUNT
	Toronto-Dominion Bank		$1			$(1	)		$–		$ –
	Total		$1,082			$(263	)		$–		$819
					GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENTS OF ASSETS AND LIABILITIES			FINANCIAL INSTRUMENTS			CASH COLLATERAL PLEDGED		NET AMOUNT
Emerging Markets Equity Index	Citibank		$(31	)		$–			$–		$ (31	)
	Morgan Stanley		(14	)		11			–		(3	)
	Total		$ (45	)		$ 11			$–		$ (34	)
Global Real Estate Index	Citibank		$(2	)		$2			$–		$ –
	Goldman Sachs		(1	)		–			–		(1	)
	JPMorgan Chase		(5	)		–			–		(5	)
	Morgan Stanley		(12	)		6			–		(6	)
	Total		$ (20	)		$8			$–		$ (12	)
Global Sustainability Index	BNP		$ (5	)		$–			$–		$ (5)
	Citibank		(11	)		9			–		(2	)
	JPMorgan Chase		(15	)		–			–		(15	)
	Morgan Stanley		(8	)		–			–		(8	)
	Total		$ (39	)		$9			$–		$ (30	)
International Equity Index	Citibank		$(15	)		$ 15			$–		$ –
	Goldman Sachs		(29	)		21			–		(8	)
	JPMorgan Chase		(106	)		106			–		–
	Morgan Stanley		(626	)		120			–		(506	)
	Toronto-Dominion Bank		(2	)		1			–		(1	)
	Total		$(778	)		$263			$–		$(515	)

* Amount rounds to less than one thousand.

The following tables set forth by primary risk exposure the Funds’ realized gains (losses) and change in unrealized appreciation (depreciation) by type of derivative contract for the fiscal year ended March 31, 2020:

		AMOUNT OF REALIZED GAIN (LOSS) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Emerging Markets Equity Index	Equity contracts	Net realized gains (losses) on futures contracts	$	(8,936)
	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		485
Global Real Estate Index	Equity contracts	Net realized gains (losses) on futures contracts		(9,404	)
	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		58
Global Sustainability Index	Equity contracts	Net realized gains (losses) on futures contracts		(3,154	)
	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		(14	)
International Equity Index	Equity contracts	Net realized gains (losses) on futures contracts		(19,503	)
	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		(1,101	)
Mid Cap Index	Equity contracts	Net realized gains (losses) on futures contracts		(10,867	)

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EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

		AMOUNT OF REALIZED GAIN (LOSS) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Small Cap Index	Equity contracts	Net realized gains (losses) on futures contracts		(12,630	)
Stock Index	Equity contracts	Net realized gains (losses) on futures contracts		(32,162	)
		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Emerging Markets Equity Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts	$	2,251
	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		76
Global Real Estate Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		514
	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		(9	)
Global Sustainability Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		38
	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		(13	)
International Equity Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		8,991
	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		449
Mid Cap Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		(64	)
Small Cap Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		477
Stock Index	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		(5,012	)

Volume of derivative activity for the fiscal year ended March 31, 2020*:

	FOREIGN EXCHANGE CONTRACTS				EQUITY CONTRACTS
	NUMBER OF TRADES		AVERAGE NOTIONAL AMOUNT**		NUMBER OF TRADES		AVERAGE   NOTIONAL   AMOUNT**
Emerging Markets Equity Index		132	$	1,206		125	$	2,708
Global Real Estate Index		94		724		911		638
Global Sustainability Index		196		361		642		343
International Equity Index		271		2,017		268		2,729
Mid Cap Index		–		–		203		2,469
Small Cap Index		–		–		198		1,394
Stock Index		–		–		229		7,306

* Activity for the fiscal year is measured by number of trades during the fiscal year and average notional amount for foreign currency exchange and futures equity contracts.

** Amounts in thousands.

11. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

12. LEGAL PROCEEDINGS

In 2007, the Stock Index Fund was a shareholder of the Tribune Company (“Tribune”). In December of 2007, as a part of a leveraged buy-out transaction (the “LBO”), Tribune was converted from a public company to a privately-held company. Tribune later filed for bankruptcy.

EQUITY INDEX FUNDS 134 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020

On December 7, 2010, Northern Funds was named as a defendant and a putative member of the proposed defendant class of shareholders named in an adversary proceeding (the “Committee Action”) brought by The Official Committee of Unsecured Creditors of Tribune Company (the “Committee”) in the U.S. Bankruptcy Court for the District of Delaware, in connection with Tribune’s bankruptcy proceeding. On June 2, 2011, a second suit was initiated by certain creditors of Tribune in the Delaware Superior Court with respect to claims related to the LBO (Niese et al. v. A.G. Edwards, Inc. et al.), in which Northern Funds was named as a defendant. On June 2, 2011 the indenture trustees, on behalf of certain noteholders of Tribune, filed a third suit and named Northern Funds as a defendant in the U.S. District Court for the Northern District of Illinois (Deutsche Bank Trust Co. et al. v. Ohlson Enterprises et al.) and a fourth suit named Northern Funds as a defendant in the U.S. District Count for the Southern District of New York (Deutsche Bank Trust Co. et al. v Sirius International Insurance Corp. et al.). Each of these cases, along with others brought by the indenture trustees and other individual creditors, has now been consolidated into a Multi-District Litigation proceeding in the Southern District of New York (the “District Court”). The cases attempt to “clawback” the proceeds paid out in connection with the LBO. The Tribune bankruptcy plan was confirmed by the U.S Bankruptcy Court on July 23, 2012, and became effective on December 31, 2012.

The former shareholder defendants filed motions to dismiss, each of which were granted by the District Court. The District Court’s order dismissing the actions by the individual creditors was affirmed on appeal by the Second Circuit Court of Appeals (the “Second Circuit Decision”). The Plaintiffs in the individual creditor actions filed a Petition for Writ of Certiorari requesting review of the Second Circuit Decision by the United States Supreme Court; however, the Supreme Court issued a statement indicating a potential lack of a quorum and informing the parties that the Second Circuit or District Court could provide relief based on the Supreme Court decision in Merit Management Group, LP v. FTI Consulting, Inc. The Plaintiffs filed a motion with the Second Circuit to recall the mandate and vacate the Second Circuit decision, and the Second Circuit recalled the mandate on May 15, 2018. On December 19, 2019, the Second Circuit issued an amended decision that affirmed dismissal of the constructive fraudulent transfer claims, holding that the safe harbor of Section 546(e) of the Bankruptcy Code applies. On February 6, 2020, the Second Circuit denied plaintiffs’ petition for a rehearing en banc. Plaintiffs may file a Petition for Writ of Certiorari with the United States Supreme Court to seek review of the Second Circuit’s amended decision.

The motion to dismiss the Committee Action was also granted by the District Court. The Plaintiff in the Committee Action also sought from the District Court leave to amend the complaint with an additional claim for constructive fraudulent transfer based upon the decision in Merit Management. The motion for leave to amend was denied on April 23, 2019. On June 13, 2019, the

District Court entered a final judgment on the claim dismissed. On July 12, 2019, the Trustee filed a notice of appeal stating that it was appealing the final judgment and the April 23, 2019 decision and related orders to the Second Circuit Court of Appeals. The Trustee’s appeal brief was filed in January 2020, opposition briefs were filed in April 2020, and reply briefs are due to be filed in May 2020.

The value of the proceeds received by the Stock Index Fund in the LBO was approximately $790,000, which includes proceeds of approximately $372,000 received by the Northern Institutional Funds Equity Index Portfolio, which was acquired by the Stock Index Fund in 2012. The Fund cannot predict the outcome of these proceedings, but an adverse decision could have a material impact on the Fund’s NAV. The Fund intends to vigorously defend these actions.

On or about February 14, 2020, Marc S. Kirschner, as Trustee for NWHI Litigation Trust (“Litigation Trustee”) and Wilmington Savings Fund Society, FSB, as indenture Trustee (“Indenture Trustee”) for several series of notes issued by Nine West Holdings, Inc. (“Nine West”), filed separate complaints (docket nos. 20-cv-01129 and 20-cv-01136, respectively ) in the United States District Court for the Northern District of Illinois against a group of defendants that includes three Northern Funds that had invested in The Jones Group Inc. (“Jones Group”) including the Small Cap Index Fund. The claim stems from a series of merger transactions (“Transactions”) entered into by Jones Group, Nine West and others in 2014 that allegedly rendered Jones Group insolvent. The Fund allegedly received $683,610 as a result of the Transactions. The Litigation Trustee and Indenture Trustee seek to clawback these proceeds for the benefit of the Trust and the noteholders, respectively, on the basis that they were fraudulent conveyances. The Funds intend to vigorously defend themselves against this action.

13. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

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EQUITY INDEX FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

14. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

15. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

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EQUITY INDEX FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of seven separate portfolios of Northern Funds, comprising the Emerging Markets Equity Index Fund, Global Real Estate Index Fund, Global Sustainability Index Fund, International Equity Index Fund, Mid Cap Index Fund, Small Cap Index Fund, and Stock Index Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the seven portfolios constituting the Northern Funds as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

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EQUITY INDEX FUNDS

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

CAPITAL GAIN DISTRIBUTION — The following Funds made capital gain distributions in December 2019, and hereby designated these long-term capital gain distributions as follows (per share):

	LONG-TERM CAPITAL GAIN
Global Sustainability Index	$	0.126020
Mid Cap Index		0.161661
Small Cap Index		0.075459
Stock Index		0.257894

CORPORATE DIVIDENDS-RECEIVED DEDUCTION (DRD) — A percentage of the dividends distributed during the fiscal year ended March 31, 2020 for the following Funds qualifies for the dividends-received deduction for corporate shareholders:

	CORPORATE DRD PERCENTAGE
Emerging Markets Equity Index		0.19	%
Global Sustainability Index		52.65	%
Mid Cap Index		81.76	%
Small Cap Index		60.31	%
Stock Index		94.20	%

A percentage of the dividends distributed during the calendar year ended December 31, 2019 for the following Fund qualifies for the dividends-received deduction for corporate shareholders:

	CORPORATE DRD PERCENTAGE
Global Real Estate Index		0.01	%

FOREIGN TAX CREDIT — The Fund below intends to make an election that will allow shareholders to treat their proportionate share of foreign taxes paid by the Fund as having been paid by them. The amounts per share which represent income from sources within, and taxes paid to, foreign countries are as follows:

	TAXES		INCOME
Emerging Markets Equity Index	$	0.0430	$	0.4741
Global Real Estate Index		0.0016		0.3614
International Equity Index		0.0325		0.3956

LONG-TERM CAPITAL GAIN — The following Funds designated the below amount as long-term capital gains, pursuant to Section 852 of the Internal Revenue Code, for the fiscal year ended March 31, 2020:

Amounts in thousands	LONG-TERM CAPITAL GAIN
Mid Cap Index		$6,470
Small Cap Index		75

QUALIFIED DIVIDEND INCOME (QDI) — Under the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the “Act”), the following percentages of ordinary dividends paid during the fiscal year ended March 31, 2020, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Emerging Markets Equity Index		73.49	%
Global Sustainability Index		100.00	%
International Equity Index		95.68	%
Mid Cap Index		90.46	%
Small Cap Index		78.36	%
Stock Index		99.21	%

Under the Act, the following percentage of ordinary dividends paid during the calendar year ended December 31, 2019, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Global Real Estate Index		16.98	%

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EQUITY INDEX FUNDS

LIQUIDIT Y RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

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EQUITY INDEX FUNDS

FUND EXPENSES

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, if any, including redemption fees on certain exchanges and redemptions in the Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index, and International Equity Index Funds; and (2) ongoing costs, including management fees and other fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line in the tables below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5 percent per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5 percent hypothetical example with the 5 percent 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 transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. For example, the information does not reflect redemption fees (See page 125), if any, in the Emerging Markets Equity Index, Global Real Estate Index, Global Sustainability Index, and International Equity Index Funds. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements of advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 129), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

EMERGING MARKETS EQUITY INDEX

SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.30%		$1,000.00		$ 846.80		$1.39
Hypothetical		0.30%		$1,000.00		$1,023.50		$1.52
GLOBAL REAL ESTATE INDEX
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.47%		$1,000.00		$ 749.70		$2.06
Hypothetical		0.47%		$1,000.00		$1,022.65		$2.38
GLOBAL SUSTAINABILITY INDEX
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.28%		$1,000.00		$ 870.60		$1.31
Hypothetical		0.28%		$1,000.00		$1,023.60		$1.42
INTERNATIONAL EQUITY INDEX
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.26%		$1,000.00		$ 834.50		$1.19
Hypothetical		0.26%		$1,000.00		$1,023.70		$1.32
MID CAP INDEX
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.15%		$1,000.00		$ 752.10		$0.66
Hypothetical		0.15%		$1,000.00		$1,024.25		$0.76
SMALL CAP INDEX
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.15%		$1,000.00		$ 760.90		$0.66
Hypothetical		0.15%		$1,000.00		$1,024.25		$0.76

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

EQUITY INDEX FUNDS 140 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020 (UNAUDITED)

STOCK INDEX

SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.10%	$	1,000.00	$	876.10	$	0.47
Hypothetical		0.10%	$	1,000.00	$	1,024.50	$	0.51

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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EQUITY INDEX FUNDS

TRUSTEES AND OFFICERS

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex — Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President — Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company — 34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company — 8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

EQUITY INDEX FUNDS 142 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020 (UNAUDITED)

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow — 2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None

INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1) , POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company — 29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act”).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

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EQUITY INDEX FUNDS

TRUSTEES AND OFFICERS continued

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

EQUITY INDEX FUNDS 144 NORTHERN FUNDS ANNUAL REPORT

EQUITY INDEX FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

NORTHERN FUNDS ANNUAL REPORT 145 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

INVESTMENT CONSIDERATIONS

EMERGING MARKETS EQUITY INDEX FUND2,3,4,6,8,10	MID CAP INDEX FUND3,6,10
GLOBAL REAL ESTATE INDEX FUND1,2,3,4,5,6,7,8,10	SMALL CAP INDEX FUND3,8,10
GLOBAL SUSTAINABILITY INDEX FUND1,3,4,5,6,9,10	STOCK INDEX FUND3,5,10
INTERNATIONAL EQUITY INDEX FUND3,4,5,6,8,10

¹  Depositary Receipts Risk: Foreign securities may trade in the form of depositary receipts. In addition to investment risks associated with the underlying issuer, depositary receipts may expose the Fund to additional risks associated with nonuniform terms that apply to depositary receipt programs, including credit exposure to the depository bank and to the sponsors and other parties with whom the depository bank establishes the programs, currency, political, economic, market and liquidity risks. Depositary receipts are generally subject to the same risks as the foreign securities that they evidence or into which they may be converted. Depository receipts may not track the price of the underlying foreign securities on which they are based, may have limited voting rights, and may have a distribution subject to a fee charged by the depository. As a result, equity shares of the underlying issuer may trade at a discount or premium to the market price of the depository receipts.

² Emerging Markets Risk: Markets of emerging market countries are less developed and less liquid, subject to greater price volatility and generally subject to increased economic, political, regulatory and other uncertainties than more developed markets.

³ Equity Market Risk: The value of equity securities owned by the Fund may decline, at times sharply and unpredictably, because of economic changes or other events, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment, that affect individual issuers or large portions of the market.

⁴ Foreign Securities Risk: Investing in foreign (non-U.S.) securities may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies.

⁵ Large Cap Risk: The stocks of large capitalization companies as a group could fall out of favor with the market, causing the Fund to underperform investments that focus solely on small- or medium-capitalization stocks.

⁶ Mid Cap Risk: The stocks of mid-sized companies may be subject to more abrupt or erratic market movements than stocks of larger, more established companies.

⁷ REIT/Real Estate Risk: Investments in real estate companies will make the Fund more susceptible to risks associated with the ownership of real estate and with the real estate industry in general, including lower trading volumes and more abrupt or erratic price movements than the overall securities markets. Investing in REITs involves certain unique risks in addition to those risks associated with investing in the real estate industry in general.

⁸ Small Cap Risk: The stocks of smaller companies may be subject to more abrupt, erratic market movements than stocks of larger, more established companies. Small companies may have limited product lines or financial resources, may be dependent on a small or inexperienced management group, and their securities may trade less frequently and in lower volume than the securities of larger companies, which could lead to higher transaction costs. Generally, the smaller the company size, the greater the risk.

⁹ Socially Responsible Investment Risk: The socially responsible investment policies of the Fund’s index may restrict the investments available to the Fund. This could cause the Fund to underperform similar funds that do not have a social responsibility objective.

¹⁰ Tracking Risk: The Fund’s performance may vary substantially from the performance of the benchmark index it tracks as a result of share purchases and redemptions, transaction costs, expenses and other factors. Market disruptions may have an adverse effect on a Fund’s ability to adjust its exposure to the required levels in order to track its index. During periods of market disruption, a Fund’s benchmark index may postpone periodic rebalancing, causing the index, and in turn the Fund, to deviate from the index stated methodology and experience returns different from those that would have been achieved under a normal rebalancing or reconstitution schedule.

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EQUITY INDEX FUNDS

THIS PAGE INTENTIONALLY LEFT BLANK

NORTHERN FUNDS ANNUAL REPORT 147 EQUITY INDEX FUNDS

EQUITY INDEX FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

EQUITY INDEX FUNDS 148 NORTHERN FUNDS ANNUAL REPORT

NORTHERN FIXED INCOME FUNDS
ANNUAL REPORT
MARC H 31, 2020
Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of Northern Funds shareholder reports like this one will no longer be sent by mail, unless you specifically request paper copies of the reports from Northern Funds or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on the Funds’ website (northerntrust.com) and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you have already elected to receive your shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from Northern Funds electronically at any time by contacting your financial intermediary (such as a broker-dealer or bank) or, if your account is held directly with Northern Funds, by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com.
You may elect to receive all future reports in paper free of charge. If you invest through a financial intermediary, please contact your financial intermediary to continue receiving paper copies of your shareholder reports. If you invest directly with Northern Funds, you can inform Northern Funds that you wish to continue receiving paper copies of your shareholder reports by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com. Your election to receive reports in paper will apply to all Northern Funds you hold in your account at the financial intermediary or through an account with Northern Funds. You must provide separate instructions to each of your financial intermediaries.

FIXED INCOME FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
10	STATEMENTS OF ASSETS AND LIABILITIES
12	STATEMENTS OF OPERATIONS
14	STATEMENTS OF CHANGES IN NET ASSETS
16	FINANCIAL HIGHLIGHTS
24	SCHEDULES OF INVESTMENTS
24	CORE BOND FUND
	Ticker Symbol: NOCBX
34	FIXED INCOME FUND
	Ticker Symbol: NOFIX
46	HIGH YIELD FIXED INCOME FUND
	Ticker Symbol: NHFIX
56	SHORT BOND FUND
	Ticker Symbol: BSBAX
66	SHORT-INTERMEDIATE U.S. GOVERNMENT FUND
	Ticker Symbol: NSIUX
68	TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND
	Ticker Symbol: NTAUX
86	ULTRA-SHORT FIXED INCOME FUND
	Ticker Symbol: NUSFX
98	U.S. GOVERNMENT FUND
	Ticker Symbol: NOUGX
100	NOTES TO THE FINANCIAL STATEMENTS
111	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
112	TAX INFORMATION
113	LIQUIDITY RISK MANAGEMENT PROGRAM
114	FUND EXPENSES
116	TRUSTEES AND OFFICERS
120	INVESTMENT CONSIDERATIONS
124	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 FIXED INCOME FUNDS

FIXED INCOME FUNDS

CORE BOND FUND * (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month period ended March 31, 2020 represented a tale of two markets. The Fund’s return of 6.57% for the fiscal year underperformed the benchmark Bloomberg Barclays U.S. Aggregate Bond Index return of 8.93%, largely due to the March 2020 rout in risk assets. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

The Fund began the fiscal year with an overweight to risk assets and a bias towards above-benchmark duration, on the view that Fed rate cuts would exceed market expectations. Stable domestic growth paired with global demand for yield supported investment-grade and high-yield credit markets throughout 2019 and the first six weeks of 2020. The sudden crisis caused by the spread of COVID-19 and the significant drop in oil prices caused credit spreads to widen during the month of March 2020.

The Fund’s overweight to investment-grade corporate bonds weighed on performance. Security selection within corporate credit further detracted from overall performance despite the Fund’s up-in-quality positioning and preference for financials over industrials, as investors exited the most liquid instruments. The Fund’s long-duration bias contributed positively to relative return.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 03/29/01
CORE BOND FUND		6.57	%		2.60	%		3.74	% *		4.46	% *
BLOOMBERG BARCLAYS U.S. AGGREGATE BOND INDEX		8.93			3.36			3.89			4.70

* The Fund commenced operations on March 29, 2001 as a separate portfolio of Northern Institutional Funds (the “Predecessor Fund”). On November 16, 2012, the Predecessor Fund was reorganized into the Fund, which was a new portfolio of Northern Funds with the same investment objective, strategies and policies as the Predecessor Fund. Performance information for the period prior to November 17, 2012 represents the performance of Class A shares of the Predecessor Fund.

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $ 10,000 INVESTMENT

The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

FIXED INCOME FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

FIXED INCOME FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month period ended March 31, 2020 represented a tale of two markets. The Fund’s return of 5.11% for the fiscal year underperformed the benchmark Bloomberg Barclays U.S. Aggregate Bond Index return of 8.93%, largely due to the March 2020 rout in risk assets. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

The Fund began its fiscal year with an overweight to risk assets and a bias towards above-benchmark duration on the view that Fed rate cuts would exceed market expectations. Stable domestic growth paired with global demand for yield supported investment-grade and high-yield credit markets throughout 2019 and the first six weeks of 2020. The sudden crisis caused by the spread of COVID-19 and the significant drop in oil prices caused credit spreads to widen during the month of March 2020.

The Fund’s overweight to investment-grade and high-yield corporate bonds weighed on performance. Security selection within corporate credit further detracted from overall performance despite the Fund’s up-in-quality positioning across investment-grade issues, as investors exited the most liquid instruments. The Fund’s long-duration bias contributed positively to relative return.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 04/01/94
FIXED INCOME FUND		5.11	%		2.50	%		3.73	%		4.94	%
BLOOMBERG BARCLAYS U.S. AGGREGATE BOND INDEX		8.93			3.36			3.89			5.47

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $ 10,000 INVESTMENT

The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

NORTHERN FUNDS ANNUAL REPORT 3 FIXED INCOME FUNDS

FIXED INCOME FUNDS

HIGH YIELD FIXED INCOME FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The high-yield market returned -6.94% in the 12-month reporting period ended March 31, 2020, as gauged by the Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index. The High Yield Fixed Income Fund returned -9.96% during the same period.

The 12-month period ended March 31, 2020 was characterized by slowing global growth stemming in part from trade tensions, but corporate earnings remained positive for the majority of the period. However, higher-risk assets subsequently sold off at a historic pace and magnitude in February and March 2020 as investors grappled with the economic impacts of the COVID-19 pandemic and the free fall in oil prices. In response, the U.S. Federal Reserve (the “Fed”) cut short-term interest rates near zero and announced measures to boost market liquidity. In addition, the U.S. Congress swiftly enacted legislation to support small businesses and consumers. These actions, together with the Fed’s intervention in credit markets, eased investor concerns and helped to fuel a recovery in high-yield bonds in the final week of March 2020. Higher-rated issuers provided the best performance over the fiscal year. BB-rated bonds returned -3.27%, ahead of the -6.80% return of B-rated securities. CCC and CA-D rated bonds returned -18.26% and -27.81%, respectively.

The Fund was overweight in B-rated securities and modestly overweight in CCC-rated issues throughout the 12-month period. Conversely, the Fund had a material underweight in BB-rated securities. Given the trends in the broader market, these aspects of the Fund’s positioning detracted from performance. Overweights in the financial, pharmaceutical and utility industries contributed, but overweights in metals & mining and energy detracted from performance.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 12/31/98
HIGH YIELD FIXED INCOME FUND		(9.96	)%		1.22	%		4.53	%		5.00	%
BLOOMBERG BARCLAYS U.S. CORP HIGH YIELD 2% ISSUER CAPPED INDEX		(6.94	)		2.79			5.64			6.21

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $ 10,000 INVESTMENT

The Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index is an unmanaged index that measures the market of U.S. dollar-denominated, non-investment grade, fixed rate, taxable corporate bonds. It is a version of the Bloomberg Barclays High Yield Corporate Bond Index except that it limits its exposure of each issuer to 2% of the total market value and redistributes any excess market value Index-wide on a pro-rata basis.

The Fund invests in below investment-grade debt obligations, commonly known as “junk bonds.” While offering higher current yields, these securities generally are considered speculative and are subject to greater risks than higher-rated bonds.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

FIXED INCOME FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

SHORT BOND FUND * (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

During the 12-month reporting period ended March 31, 2020, the Short Bond Fund returned 2.09%, versus the benchmark Bloomberg Barclays 1-3 Year U.S. Government/Credit Index return of 4.53%.

For the period, the Fund’s overweights to securitized investments and corporate credit detracted from performance, as did its underweight in U.S. Treasuries. Underperformance was also driven by historically poor returns for risk assets during February/March 2020, as 1-3 year corporate option-adjusted spreads widened from 40 basis points on February 12, 2020 to 261 basis points by March 31, 2020.

Through much of the period, risk assets had performed very well. The U.S. Federal Reserve (the “Fed”) cut interest rates in July, September and October 2019 to support the economy, and by November 2020, the United States and China had called a truce in their trade war. Equity markets were performing well, as were U.S. credit markets. After beginning 2020 at 55 basis points, 1-3 year corporate option-adjusted spreads had tightened to 40 basis points on February 12. At that time, however, it became clear that COVID-19, which had ravaged China and East Asia in January, had spread to Europe and was beginning to hit the United States. Governments across Western Europe and North America were forced to require citizens to stay home, and to shut down all non-essential economic activity. Extremely sharp financial market volatility soon followed. European and U.S. stocks entered bear market territory in a matter of days and fixed-income spreads widened across the board as liquidity dwindled. Almost immediately, the Fed and other global central banks announced record amounts of monetary stimulus, dwarfing the programs they had enacted in response to the 2008 financial crisis. Among other measures, the Fed cut short-term rates by 1.5 percentage points and restarted quantitative easing. On the fiscal side, the U.S. Congress and White House Administration responded to the COVID-19 crisis with a $2.3 trillion relief package in an attempt to bridge the financial gap for consumers and businesses until the economy can be restarted. Nevertheless, with a recession already reflected in mushrooming jobless claims in the millions, risk assets underperformed and short-term Treasury rates neared zero.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 01/11/93
SHORT BOND FUND		2.09	%		1.48	%		1.69	% *		3.76	% *
BLOOMBERG BARCLAYS 1-3 YEAR U.S. GOVERNMENT/CREDIT INDEX		4.53			1.90			1.62			3.82

* The Fund commenced operations on January 11, 1993 as a separate portfolio of Northern Institutional Funds (the “Predecessor Fund”). On November 16, 2012, the Predecessor Fund was reorganized into the Fund, which was a new portfolio of Northern Funds with the same investment objective, strategies and policies as the Predecessor Fund. Performance information for the period prior to November 17, 2012 represents the performance of Class A shares of the Predecessor Fund.

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays 1-3 Year U.S. Government/Credit Index is an unmanaged index of securities issued by the U.S. government and corporate bonds with maturities of one to three years.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

NORTHERN FUNDS ANNUAL REPORT 5 FIXED INCOME FUNDS

FIXED INCOME FUNDS

SHORT-INTERMEDIATE U.S. GOVERNMENT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 represented a tale of two markets. The Short-Intermediate U.S. Government Fund’s return of 6.34% underperformed the benchmark Bloomberg Barclays 1-5 Year U.S. Government Index return of 6.85% during the same period. The Fund’s performance against the benchmark was driven entirely by the price action of mortgage-backed securities during the market downturn in March 2020. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

The Fund began its fiscal year with an overweight to risk assets and a bias to long duration, as we expected the Fed to cut rates more than the market had priced in, and believed that inflation would remain low. The sudden and significant crisis caused by the spread of COVID-19 and rapid declines for risk assets and yields led to diminished liquidity and performance.

For the fiscal year, the Fund’s long duration and yield curve positioning were additive, offsetting most of the negative performance. We expect central bank and fiscal policies, in particular low interest rates and targeted support for consumer access to the mortgage market, to provide a stable investment background for U.S. government funds going forward.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 10/01/99
SHORT-INTERMEDIATE U.S. GOVERNMENT FUND		6.34	%		1.75	%		1.58	%		2.97	%
BLOOMBERG BARCLAYS 1-5 YEAR U.S. GOVERNMENT INDEX		6.85			2.25			1.99			3.52

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays 1-5 Year U.S. Government Index is an unmanaged index of debt securities including all public obligations of the U.S. Treasury and all publicly issued debt of U.S. government agencies with maturities of one to five years.

Unlike U.S. Treasury bonds and bills, the principal value and investment return of the Fund are neither guaranteed nor insured by the U.S. Government.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

FIXED INCOME FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Tax-Advantaged Ultra-Short Fixed Income Fund returned 1.61%, versus the blended benchmark return of 1.45% for the 12-month reporting period ended March 31, 2020.

During the reporting period, the Fund purchased both taxable and tax-exempt bonds. The Fund’s tax-advantaged strategy allows a preference for tax-exempt income, with the flexibility to employ taxable bonds if their yields are higher after taxes are considered. In both markets, fixed-rate bonds were purchased in an effort to extend portfolio duration. The Fund benefited from price appreciation in the municipal market as tax-exempt yields declined. Holdings of taxable securities, which appreciated less than municipal bonds on a relative basis, detracted overall.

Through much of the period, risk assets had performed very well. The U.S. Federal Reserve (the “Fed”) cut interest rates in July, September and October 2019 to support the economy, and by November 2019, the United States and China had called a truce in their trade war. Tax-equivalent yields for municipals versus Treasuries were less attractive for most of the period, although municipal yields moved to very attractive levels versus Treasury rates in March 2020. After starting 2020 at 55 basis points, 1-3 year corporate option-adjusted spreads tightened to 40 basis points on February 12. At that time, it became clear that COVID-19, which had ravaged China and East Asia in January 2020, had spread to Europe and was beginning to hit the United States. Governments across Western Europe and North America were forced to require citizens to stay home, and to shut down all non-essential economic activity. Extremely sharp financial market volatility soon followed. Almost immediately, the Fed and other global central banks announced record amounts of monetary stimulus, dwarfing the programs they had enacted in response to the 2008 financial crisis. Among other measures, the Fed cut short-term rates by 1.5 percentage points and restarted quantitative easing. On the fiscal side, the U.S. Congress and White House Administration responded to the COVID-19 crisis with a $2.3 trillion relief package in an attempt to bridge the financial gap for consumers and businesses until the economy can be restarted.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 06/18/09
TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND		1.61	%		1.12	%		1.03	%		1.11	%
75% ICE BofAML 6-12 MONTH MUNICIPAL SECURITIES INDEX AND 25% ICE BofAML 1-3 YEAR MUNICIPAL SECURITIES INDEX		1.45			1.05			0.87			0.91
ICE BofAML 6-12 MONTH MUNICIPAL SECURITIES INDEX		1.36			0.98			0.73			0.75
ICE BofAML 1-3 YEAR MUNICIPAL SECURITIES INDEX		1.71			1.26			1.28			1.40

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The ICE BofAML 6-12 Month Municipal Securities Index tracks the performance of U.S. dollar denominated, investment grade, tax-exempt debt publicly issued by U.S. states and territories, and their political subdivisions, in the U.S. domestic market. Qualifying securities must have six months to one year remaining term to final maturity, a fixed coupon schedule and an investment grade rating (based on an average of Moody’s, S&P and Fitch).

The ICE BofAML 1-3 Year Municipal Securities Index tracks the performance of U.S. dollar denominated, investment grade, tax-exempt, general obligations publicly issued by U.S. states and territories, and their political subdivisions, in the U.S. domestic market. Qualifying securities must have one to three years remaining term to maturity, a fixed coupon schedule and an investment grade rating (based on an average of Moody’s, S&P and Fitch).

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

NORTHERN FUNDS ANNUAL REPORT 7 FIXED INCOME FUNDS

FIXED INCOME FUNDS

ULTRA-SHORT FIXED INCOME FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

During the 12-month reporting period ended March 31, 2020, the Ultra Short Fixed Income Fund returned 1.45%, versus the benchmark ICE BofAML 1-Year U.S. Treasury Note Index return of 3.85%.

During the period, the Fund was overweight investment-grade corporate credit, with a near 75% allocation to investment-grade corporate credit versus the all-Treasury benchmark. Underperformance was driven by historically poor performance in risk assets during February and March 2020, as 1-3 year corporate option-adjusted spreads widened from 40 basis points on February 12, 2020 to 261 basis points by March 31, 2020.

Through much of the period, risk assets had performed very well. The U.S. Federal Reserve (the “Fed”) cut interest rates in July, September and October 2019 to support the economy, and by November 2019, the United States and China had called a truce in their trade war. Equity markets were performing well, as were U.S. credit markets. After beginning 2020 at 55 basis points, 1-3 year corporate option-adjusted spreads had tightened to 40 basis points on February 12. At that time, however, it became clear that COVID-19, which had ravaged China and East Asia in January 2020, had spread to Europe and was beginning to hit the United States. Governments across Western Europe and North America were forced to require citizens to stay home, and to shut down all non-essential economic activity. Extremely sharp financial market volatility soon followed. European and U.S. stocks entered bear market territory in a matter of days and fixed-income spreads widened across the board as liquidity dwindled. Almost immediately, the Fed and other global central banks announced record amounts of monetary stimulus, dwarfing the programs they had enacted in response to the 2008 financial crisis. Among other measures, the Fed cut short-term rates by 1.5 percentage points and restarted quantitative easing. On the fiscal side, the U.S. Congress and the White House Administration responded to the COVID-19 crisis with a $2.3 trillion relief package in an attempt to bridge the financial gap for consumers and businesses until the economy can be restarted. Nevertheless, with a recession already reflected in mushrooming jobless claims in the millions, risk assets underperformed and short-term Treasury rates neared zero.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 06/18/09
ULTRA-SHORT FIXED INCOME FUND		1.45	%		1.46	%		1.34	%		1.42	%
ICE BofAML 1-YEAR U.S. TREASURY NOTE INDEX		3.85			1.57			0.98			0.98

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

ICE BofAML 1-Year U.S. Treasury Note Index is composed of a single issue: the outstanding Treasury note that matures closest to, but not beyond, one year from each monthly rebalancing date.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

FIXED INCOME FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

U.S. GOVERNMENT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 represented a tale of two markets. The U.S. Government Fund’s return of 8.66% underperformed the benchmark Bloomberg Barclays Intermediate U.S. Government Bond Index return of 8.93% during the same period. The Fund’s performance against the benchmark was driven entirely by the price action of mortgage-backed securities during the market downturn in March 2020. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

The Fund began its fiscal year with an overweight to risk assets and a bias to long duration, as we expected the Fed to cut rates more than the market had priced in, and believed that inflation would remain low. The sudden and significant crisis caused by the spread of COVID-19 and rapid declines for risk assets and yields led to diminished liquidity and performance.

For the fiscal year, the Fund’s long duration and yield curve positioning were additive, offsetting most of the negative performance. We expect central bank and fiscal policies, in particular low interest rates and targeted support for consumer access to the mortgage market, to provide a stable investment background for U.S. government funds going forward.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 04/01/94
U.S. GOVERNMENT FUND		8.66	%		2.35	%		2.39	%		4.04	%
BLOOMBERG BARCLAYS INTERMEDIATE U.S. GOVERNMENT BOND INDEX		8.93			2.77			2.79			4.61

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays Intermediate U.S. Government Bond Index is an unmanaged index of debt securities including all public obligations of the U.S. Treasury and all publicly issued debt of U.S. government agencies with maturities of up to 10 years.

Unlike U.S. Treasury bonds and bills, the principal value and investment return of the Fund are neither guaranteed nor insured by the U.S. Government.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 120.

NORTHERN FUNDS ANNUAL REPORT 9 FIXED INCOME FUNDS

FIXED INCOME FUNDS

STATEMENTS OF ASSETS AND LIABILITIES

Amounts in thousands, except per share data	CORE BOND FUND		FIXED INCOME FUND
ASSETS:
Investments, at value		$193,167		$836,369
Investments in affiliates, at value		3,047		3,804
Foreign currencies, at value (cost $153)		–		–
Interest income receivable		760		4,317
Dividend income receivable		4		13
Receivable for foreign tax reclaims		14		–
Receivable for securities sold		454		1,587
Receivable for fund shares sold		188		11
Receivable from investment adviser		7		3
Prepaid and other assets		4		8
Total Assets		197,645		846,112
LIABILITIES:
Payable for securities purchased		868		2,827
Payable for when-issued securities		–		–
Payable for variation margin on futures contracts		2		5
Payable for fund shares redeemed		1,803		882
Distributions payable to shareholders		82		407
Payable to affiliates:
Management fees		14		71
Custody fees		1		5
Shareholder servicing fees		1		15
Transfer agent fees		7		28
Trustee fees		4		14
Accrued other liabilities		29		32
Total Liabilities		2,811		4,286
Net Assets		$194,834		$841,826
ANALYSIS OF NET ASSETS:
Capital stock		$194,196		$862,338
Distributable earnings		638		(20,512	)
Net Assets		$194,834		$841,826
Shares Outstanding ($.0001 par value, unlimited authorization)		18,611		82,699
Net Asset Value, Redemption and Offering Price Per Share		$10.47		$10.18
Investments, at cost		$193,505		$850,193
Investments in affiliates, at cost		3,047		3,804

See Notes to the Financial Statements.

FIXED INCOME FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

MARCH 31, 2020

HIGH YIELD FIXED INCOME FUND			SHORT BOND FUND			SHORT- INTERMEDIATE U.S. GOVERNMENT FUND			TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND			ULTRA-SHORT FIXED INCOME FUND			U.S. GOVERNMENT FUND
	$3,078,919			$363,509			$50,769			$3,585,353			$2,112,534			$35,868
	24,246			6,948			7,566			177,309			74,350			3,156
	144			–			–			–			–			–
	66,026			1,923			39			30,390			10,624			34
	50			3			2			64			35			1
	65			–			–			–			–			–
	28,168			–			–			–			–			–
	21,858			6			211			1,101			11,147			361
	23			27			11			22			25			9
	5			4			5			6			6			6
	3,219,504			372,420			58,603			3,794,245			2,208,721			39,435
	38,414			–			–			4,052			8,514			–
	–			–			–			47,686			–			–
	–			–			1			–			–			1
	22,781			385			37			3,455			9,946			–
	4,323			156			5			1,107			810			4
	460			27			4			161			94			3
	21			3			1			22			14			1
	49			1			1			3			7			–
	112			12			2			132			77			1
	19			4			8			8			4			3
	78			29			43			60			68			43
	66,257			617			102			56,686			19,534			56
	$3,153,247			$371,803			$58,501			$3,737,559			$2,189,187			$39,379
	$4,274,818			$387,292			$62,179			$3,741,684			$2,213,444			$37,851
	(1,121,571	)		(15,489	)		(3,678	)		(4,125	)		(24,257	)		1,528
	$3,153,247			$371,803			$58,501			$3,737,559			$2,189,187			$39,379
	565,674			19,996			5,813			368,745			216,847			3,870
	$5.57			$18.59			$10.06			$10.14			$10.10			$10.17
	$3,737,247			$366,355			$50,288			$3,592,735			$2,140,862			$35,286
	24,246			6,817			7,548			177,309			74,350			3,144

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 FIXED INCOME FUNDS

FIXED INCOME FUNDS

STATEMENTS OF OPERATIONS

Amounts in thousands	CORE BOND FUND			FIXED INCOME FUND			HIGH YIELD FIXED INCOME FUND
INVESTMENT INCOME:
Interest Income		$5,578			$25,415			$257,921
Dividend income		–			–			1,355
Dividend income from investments in affiliates		210			770			1,269
Total Investment Income		5,788			26,185			260,545
EXPENSES:
Management fees		803			3,635			29,116
Custody fees		34			85			313
Transfer agent fees		64			260			1,162
Blue sky fees		20			25			27
Printing fees		10			12			24
Audit fees		19			19			40
Legal fees		24			24			53
Shareholder servicing fees		4			41			180
Trustee fees		9			9			44
Other		13			14			46
Total Expenses		1,000			4,124			31,005
Less expenses reimbursed by investment adviser		(141	)		(307	)		(1,356	)
Net Expenses		859			3,817			29,649
Net Investment Income		4,929			22,368			230,896
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		9,495			32,780			(15,449	)
Investments in affiliates		–			–			–
Futures contracts		14			15			–
Net changes in unrealized appreciation (depreciation) on:
Investments		(1,110	)		(14,297	)		(590,329	)
Investments in affiliates		–			–			–
Futures contracts		32			65			–
Foreign currency translations		–			–			(7	)
Net Gains (Losses)		8,431			18,563			(605,785	)
Net Increase (Decrease) in Net Assets Resulting from Operations		$13,360			$40,931			$(374,889	)

See Notes to the Financial Statements.

FIXED INCOME FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEAR ENDED MARCH 31, 2020

SHORT BOND FUND			SHORT- INTERMEDIATE U.S. GOVERNMENT FUND			TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND			ULTRA-SHORT FIXED INCOME FUND			U.S. GOVERNMENT FUND
	$10,661			$929			$66,952			$62,180			$611
	–			–			–			–			–
	334			117			2,262			566			55
	10,995			1,046			69,214			62,746			666
	1,491			218			8,733			5,542			136
	39			11			317			205			10
	120			17			1,213			747			11
	20			18			23			21			18
	10			24			13			33			24
	19			19			31			30			19
	24			24			38			39			24
	2			6			14			25			1
	9			9			27			27			9
	14			13			31			30			13
	1,748			359			10,440			6,699			265
	(181	)		(120	)		(621	)		(564	)		(111	)
	1,567			239			9,819			6,135			154
	9,428			807			59,395			56,611			512
	2,034			2,090			6,529			6,179			2,044
	46			–			–			–			–
	–			220			–			–			157
	(3,615	)		464			(9,254	)		(30,794	)		369
	29			18			–			–			12
	–			(91	)		–			–			(6	)
	–			–			–			–			–
	(1,506	)		2,701			(2,725	)		(24,615	)		2,576
	$7,922			$3,508			$56,670			$31,996			$3,088

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 FIXED INCOME FUNDS

FIXED INCOME FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

	CORE BOND FUND						FIXED INCOME FUND						HIGH YIELD FIXED INCOME FUND						SHORT BOND FUND
Amounts in thousands	2020			2019			2020			2019			2020			2019			2020			2019
OPERATIONS:
Net investment income		$4,929			$7,894			$22,368			$39,009			$230,896			$237,352			$9,428			$13,056
Net realized gains (losses)		9,509			(1,625	)		32,795			(12,945	)		(15,449	)		(74,002	)		2,080			(4,499	)
Net change in unrealized appreciation (depreciation)		(1,078	)		3,374			(14,232	)		12,505			(590,336	)		(22,549	)		(3,586	)		5,455
Net Increase (Decrease) in Net Assets Resulting from Operations		13,360			9,643			40,931			38,569			(374,889	)		140,801			7,922			14,012
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		(68,244	)		(12,932	)		(22,823	)		(339,498	)		(32,504	)		335,998			(51,241	)		(63,771	)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(68,244	)		(12,932	)		(22,823	)		(339,498	)		(32,504	)		335,998			(51,241	)		(63,771	)
DISTRIBUTIONS PAID:
Distributable earnings		(5,453	)		(8,375	)		(24,412	)		(41,272	)		(235,335	)		(237,341	)		(9,580	)		(13,063	)
Total Distributions Paid		(5,453	)		(8,375	)		(24,412	)		(41,272	)		(235,335	)		(237,341	)		(9,580	)		(13,063	)
Total Increase (Decrease) in Net Assets		(60,337	)		(11,664	)		(6,304	)		(342,201	)		(642,728	)		239,458			(52,899	)		(62,822	)
NET ASSETS:
Beginning of year		255,171			266,835			848,130			1,190,331			3,795,975			3,556,517			424,702			487,524
End of year		$194,834			$255,171			$841,826			$848,130			$3,153,247			$3,795,975			$371,803			$424,702

See Notes to the Financial Statements.

FIXED INCOME FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SHORT- INTERMEDIATE U.S. GOVERNMENT FUND						TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND						ULTRA-SHORT FIXED INCOME FUND						U.S. GOVERNMENT FUND
2020			2019			2020			2019			2020			2019			2020			2019
	$807			$2,028			$59,395			$58,369			$56,611			$53,290			$512			$688
	2,310			(1,773	)		6,529			268			6,179			(1,467	)		2,201			(81	)
	391			1,303			(9,254	)		17,054			(30,794	)		13,367			375			477
	3,508			1,558			56,670			75,691			31,996			65,190			3,088			1,084
	(4,990	)		(52,423	)		(265,038	)		82,008			(210,977	)		(176,974	)		817			12,737
	(4,990	)		(52,423	)		(265,038	)		82,008			(210,977	)		(176,974	)		817			12,737
	(845	)		(2,224	)		(62,280	)		(58,368	)		(56,631	)		(53,715	)		(534	)		(740	)
	(845	)		(2,224	)		(62,280	)		(58,368	)		(56,631	)		(53,715	)		(534	)		(740	)
	(2,327	)		(53,089	)		(270,648	)		99,331			(235,612	)		(165,499	)		3,371			13,081
	60,828			113,917			4,008,207			3,908,876			2,424,799			2,590,298			36,008			22,927
	$58,501			$60,828			$3,737,559			$4,008,207			$2,189,187			$2,424,799			$39,379			$36,008

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 FIXED INCOME FUNDS

FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS

CORE BOND FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.08			$10.02			$10.15			$10.40			$10.62
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.23			0.28			0.26			0.19			0.20
Net realized and unrealized gains (losses)		0.43			0.08			(0.11	)		(0.15	)		(0.10	)
Total from Investment Operations		0.66			0.36			0.15			0.04			0.10
LESS DISTRIBUTIONS PAID:
From net investment income		(0.27	)		(0.30	)		(0.28	)		(0.22	)		(0.22	)
From net realized gains		—			—			—			(0.07	)		(0.10	)
Total Distributions Paid		(0.27	)		(0.30	)		(0.28	)		(0.29	)		(0.32	)
Net Asset Value, End of Year		$10.47			$10.08			$10.02			$10.15			$10.40
Total Return(1)		6.57	%		3.75	%		1.45	%		0.36	%		1.00	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$194,834			$255,171			$266,835			$259,951			$246,818
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.41	%		0.41	%		0.41	%		0.40	%		0.41	%
Expenses, before reimbursements and credits		0.47	%		0.46	%		0.46	%		0.46	%		0.45	%
Net investment income, net of reimbursements and credits(2)		2.33	%		2.91	%		2.49	%		1.87	%		1.92	%
Net investment income, before reimbursements and credits		2.27	%		2.86	%		2.44	%		1.81	%		1.88	%
Portfolio Turnover Rate		485.45	%		327.61	%		424.59	%		517.18	%		680.40	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $15,000, $11,000, $18,000, $57,000 and $32,000, which represent less than 0.01, less than 0.01, less than 0.01, 0.02 and less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

FIXED INCOME FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.97			$9.94			$10.12			$10.23			$10.53
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.27			0.32			0.31			0.24			0.25
Net realized and unrealized gains (losses)		0.24			0.06			(0.16	)		(0.08	)		(0.20	)
Total from Investment Operations		0.51			0.38			0.15			0.16			0.05
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.30	)		(0.35	)		(0.33	)		(0.27	)		(0.28	)
From net realized gains		–			–			–			–			(0.07	)
Total Distributions Paid		(0.30	)		(0.35	)		(0.33	)		(0.27	)		(0.35	)
Net Asset Value, End of Year		$10.18			$9.97			$9.94			$10.12			$10.23
Total Return(2)		5.11	%		3.98	%		1.38	%		1.58	%		0.53	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$841,826			$848,130			$1,190,331			$1,180,510			$1,352,637
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.45	%		0.45	%		0.45	%		0.45	%		0.45	%
Expenses, before reimbursements and credits		0.49	%		0.48	%		0.48	%		0.48	%		0.47	%
Net investment income, net of reimbursements and credits(3)		2.66	%		3.41	%		2.95	%		2.40	%		2.52	%
Net investment income, before reimbursements and credits		2.62	%		3.38	%		2.92	%		2.37	%		2.50	%
Portfolio Turnover Rate		439.40	%		283.15	%		364.76	%		454.23	%		554.71	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $55,000, $32,000, $81,000, $207,000 and $148,000, which represent less than 0.01, less than 0.01, less than 0.01, 0.02 and less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and 2016, respectively.Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 FIXED INCOME FUNDS

FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued

HIGH YIELD FIXED INCOME FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$6.60			$6.72			$6.84			$6.42			$7.12
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.40			0.42			0.42			0.40			0.39
Net realized and unrealized gains (losses)		(1.02	)		(0.12	)		(0.12	)		0.42			(0.70	)
Total from Investment Operations		(0.62	)		0.30			0.30			0.82			(0.31	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.41	)		(0.42	)		(0.42	)		(0.40	)		(0.39	)
Total Distributions Paid		(0.41	)		(0.42	)		(0.42	)		(0.40	)		(0.39	)
Net Asset Value, End of Year		$5.57			$6.60			$6.72			$6.84			$6.42
Total Return(2)		(9.96	)%		4.64	%		4.32	%		13.07	%		(4.38	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$3,153,247			$3,795,975			$3,556,517			$4,431,999			$5,124,426
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.78	%		0.78	%		0.80	%		0.80	%		0.80	%
Expenses, before reimbursements and credits		0.82	%		0.81	%		0.81	%		0.81	%		0.81	%
Net investment income, net of reimbursements and credits(3)		6.10	%		6.34	%		6.00	%		5.98	%		5.83	%
Net investment income, before reimbursements and credits		6.06	%		6.31	%		5.99	%		5.97	%		5.82	%
Portfolio Turnover Rate		47.65	%		52.19	%		95.52	%		117.53	%		80.15	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $94,000, $198,000, $196,000, $261,000 and $236,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SHORT BOND FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$18.67			$18.60			$18.85			$18.86			$19.03
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.45			0.49			0.34			0.27			0.24
Net realized and unrealized gains (losses)		(0.07	)		0.07			(0.25	)		–			(0.16	)
Total from Investment Operations		0.38			0.56			0.09			0.27			0.08
LESS DISTRIBUTIONS PAID:
From net investment income		(0.46	)		(0.49	)		(0.34	)		(0.28	)		(0.25	)
Total Distributions Paid		(0.46	)		(0.49	)		(0.34	)		(0.28	)		(0.25	)
Net Asset Value, End of Year		$18.59			$18.67			$18.60			$18.85			$18.86
Total Return(1)		2.04	%		3.07	%		0.45	%		1.45	%		0.42	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$371,803			$424,702			$487,524			$494,467			$560,650
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.40	%		0.40	%		0.40	%		0.40	%		0.40	%
Expenses, before reimbursements and credits		0.44	%		0.43	%		0.43	%		0.43	%		0.42	%
Net investment income, net of reimbursements and credits(2)		2.40	%		2.65	%		1.79	%		1.43	%		1.25	%
Net investment income, before reimbursements and credits		2.36	%		2.62	%		1.76	%		1.40	%		1.23	%
Portfolio Turnover Rate		95.09	%		125.76	%		158.65	%		242.73	%		268.41	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $10,000, $11,000, $13,000, $29,000 and $25,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 FIXED INCOME FUNDS

FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued

SHORT-INTERMEDIATE U.S. GOVERNMENT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.60			$9.61			$9.81			$9.97			$9.89
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.14			0.21			0.13			0.07			0.06
Net realized and unrealized gains (losses)		0.47			0.02			(0.18	)		(0.15	)		0.08
Total from Investment Operations		0.61			0.23			(0.05	)		(0.08	)		0.14
LESS DISTRIBUTIONS PAID:
From net investment income		(0.15	)		(0.24	)		(0.15	)		(0.08	)		(0.06	)
Total Distributions Paid		(0.15	)		(0.24	)		(0.15	)		(0.08	)		(0.06	)
Net Asset Value, End of Year		$10.06			$9.60			$9.61			$9.81			$9.97
Total Return(1)		6.34	%		2.47	%		(0.55	)%		(0.74	)%		1.38	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$58,501			$60,828			$113,917			$132,812			$166,362
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.42	%		0.42	%		0.41	%		0.41	%		0.41	%
Expenses, before reimbursements and credits		0.62	%		0.57	%		0.51	%		0.49	%		0.47	%
Net investment income, net of reimbursements and credits(2)		1.41	%		2.30	%		1.32	%		0.71	%		0.55	%
Net investment income, before reimbursements and credits		1.21	%		2.15	%		1.22	%		0.63	%		0.49	%
Portfolio Turnover Rate		838.97	%		739.25	%		504.54	%		905.27	%		783.51	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $8,000, $8,000, $14,000, $31,000 and $16,000, which represent 0.01, 0.01, 0.01, 0.02 and less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.14			$10.09			$10.13			$10.12			$10.15
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.16			0.15			0.10			0.08			0.07
Net realized and unrealized gains (losses)		0.01			0.05			(0.04	)		0.01			(0.03	)
Total from Investment Operations		0.17			0.20			0.06			0.09			0.04
LESS DISTRIBUTIONS PAID:
From net investment income		(0.16	)		(0.15	)		(0.10	)		(0.08	)		(0.07	)
From net realized gains		(0.01	)		–			–	(1)		–			–	(1)
Total Distributions Paid		(0.17	)		(0.15	)		(0.10	)		(0.08	)		(0.07	)
Net Asset Value, End of Year		$10.14			$10.14			$10.09			$10.13			$10.12
Total Return(2)		1.61	%		2.06	%		0.60	%		0.94	%		0.41	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$3,737,559			$4,008,207			$3,908,876			$3,544,536			$3,370,160
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.25	%(3)		0.25	%(3)		0.25	%(3)		0.25	%(3)		0.25	%
Expenses, before reimbursements and credits		0.27	%		0.26	%		0.26	%		0.26	%		0.26	%
Net investment income, net of reimbursements and credits		1.52	%(3)		1.55	%(3)		1.00	%(3)		0.84	%(3)		0.66	%
Net investment income, before reimbursements and credits		1.50	%		1.54	%		0.99	%		0.83	%		0.65	%
Portfolio Turnover Rate		70.19	%		62.06	%		54.39	%		51.98	%		52.48	%

(1) Per share amounts were less than $0.01 per share.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $175,000, $81,000, $72,000 and $64,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 FIXED INCOME FUNDS

FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued

ULTRA-SHORT FIXED INCOME FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.19			$10.15			$10.21			$10.18			$10.21
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.24			0.23			0.15			0.12			0.09
Net realized and unrealized gains (losses)		(0.09	)		0.04			(0.06	)		0.03			(0.02	)
Total from Investment Operations		0.15			0.27			0.09			0.15			0.07
LESS DISTRIBUTIONS PAID:
From net investment income		(0.24	)		(0.23	)		(0.15	)		(0.12	)		(0.09	)
From net realized gains		–			–	(1)		–	(1)		–			(0.01	)
Total Distributions Paid		(0.24	)		(0.23	)		(0.15	)		(0.12	)		(0.10	)
Net Asset Value, End of Year		$10.10			$10.19			$10.15			$10.21			$10.18
Total Return(2)		1.45	%		2.75	%		0.96	%		1.45	%		0.70	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$2,189,187			$2,424,799			$2,590,298			$2,207,740			$1,542,582
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.25	%		0.25	%		0.25	%		0.25	%		0.25	%
Expenses, before reimbursements and credits		0.28	%		0.27	%		0.26	%		0.26	%		0.26	%
Net investment income, net of reimbursements and credits(3)		2.33	%		2.30	%		1.51	%		1.15	%		0.90	%
Net investment income, before reimbursements and credits		2.30	%		2.28	%		1.50	%		1.14	%		0.89	%
Portfolio Turnover Rate		75.95	%		59.63	%		58.41	%		52.98	%		50.95	%

(1) Per share amounts were less than $0.01 per share.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $43,000, $44,000, $56,000 and $74,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, and approximately $42,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

U.S. GOVERNMENT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.50			$9.43			$9.64			$9.87			$9.76
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.14			0.21			0.14			0.09			0.08
Net realized and unrealized gains (losses)		0.68			0.09			(0.20	)		(0.21	)		0.11
Total from Investment Operations		0.82			0.30			(0.06	)		(0.12	)		0.19
LESS DISTRIBUTIONS PAID:
From net investment income		(0.15	)		(0.23	)		(0.15	)		(0.11	)		(0.08	)
Total Distributions Paid		(0.15	)		(0.23	)		(0.15	)		(0.11	)		(0.08	)
Net Asset Value, End of Year		$10.17			$9.50			$9.43			$9.64			$9.87
Total Return(1)		8.66	%		3.29	%		(0.62	)%		(1.26	)%		1.99	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$39,379			$36,008			$22,927			$24,013			$25,826
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.43	%		0.47	%		0.47	%		0.45	%		0.44	%
Expenses, before reimbursements and credits		0.73	%		0.93	%		0.90	%		0.90	%		0.81	%
Net investment income, net of reimbursements and credits(2)		1.43	%		2.33	%		1.41	%		0.94	%		0.83	%
Net investment income, before reimbursements and credits		1.13	%		1.87	%		0.98	%		0.49	%		0.46	%
Portfolio Turnover Rate		854.95	%		1,074.68	%		429.23	%		665.24	%		601.88	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $4,000, $4,000, $3,000, $4,000 and $2,000, which represent less than 0.01, 0.01, less than 0.01, 0.02 and less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CORE BOND FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 3.7%
Automobile – 0.8%
World Omni Auto Receivables Trust, Series 2019-C, Class A3 1.96%, 12/16/24		$1,565		$1,546
Commercial Mortgage-Backed Securities – 2.0%
BANK, Series 2019-BN16, Class A4 4.01%, 2/15/52		1,000		1,119
BENCHMARK Mortgage Trust, Series 2018-B2, Class A2 3.66%, 2/15/51		765		793
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-JP5, Class A5 3.72%, 3/15/50		1,370		1,477
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C9, Class A4 3.10%, 5/15/46		100		101
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C25, Class A5 3.64%, 10/15/48		375		390
				3,880
Other – 0.9%
CNH Equipment Trust, Series 2019-C, Class A3 2.01%, 12/16/24		1,840		1,782
Total Asset-Backed Securities
(Cost $7,144)				7,208
CORPORATE BONDS – 24.1%
Aerospace & Defense – 0.4%
Boeing (The) Co., 2.95%, 2/1/30		175		164
3.95%, 8/1/59		140		126
United Technologies Corp., 3.65%, 8/16/23		390		410
				700
Banks – 0.2%
Discover Bank, 2.45%, 9/12/24		115		108

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Banks – 0.2% – continued
M&T Bank Corp., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 3.17%), 5.00%, 8/1/24 (1)(2)		$415		$386
				494
Biotechnology – 0.4%
Amgen, Inc., 3.13%, 5/1/25		295		313
4.66%, 6/15/51		285		359
Gilead Sciences, Inc., 2.50%, 9/1/23		115		115
				787
Cable & Satellite – 0.8%
Charter Communications Operating LLC/Charter Communications Operating Capital, 3.58%, 7/23/20		340		339
Comcast Corp., 4.70%, 10/15/48		600		777
3.45%, 2/1/50		375		411
				1,527
Chemicals – 0.5%
3M Co., 2.65%, 4/15/25		245		252
Avery Dennison Corp., 2.65%, 4/30/30		405		378
RPM International, Inc., 4.55%, 3/1/29		260		286
				916
Commercial Finance – 0.4%
Air Lease Corp., 3.00%, 2/1/30		1,010		729
Communications Equipment – 0.1%
Corning, Inc., 5.45%, 11/15/79		275		282
Construction Materials Manufacturing – 0.2%
Carlisle Cos., Inc., 2.75%, 3/1/30		395		345
Consumer Finance – 0.2%
Discover Financial Services, 4.50%, 1/30/26		165		168

See Notes to the Financial Statements.

FIXED INCOME FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Consumer Finance – 0.2% – continued
PayPal Holdings, Inc., 2.85%, 10/1/29		$240		$238
				406
Containers & Packaging – 0.0%
Packaging Corp. of America, 3.40%, 12/15/27		109		109
Design, Manufacturing & Distribution – 0.1%
Jabil, Inc., 3.60%, 1/15/30		245		218
Diversified Banks – 1.1%
Bank of America Corp., (Variable, ICE LIBOR USD 3M + 2.66%), 4.30%, 1/28/25 (1)(2)		595		512
Citigroup, Inc., 3.40%, 5/1/26		155		161
4.13%, 7/25/28		115		118
(Variable, U.S. SOFR + 1.15%), 2.67%, 1/29/31 (1)		330		320
JPMorgan Chase & Co., (Variable, U.S. SOFR + 3.38%), 5.00%, 8/1/24 (1)(2)		650		610
3.88%, 9/10/24		165		174
(Variable, U.S. SOFR + 3.13%), 4.60%, 2/1/25 (1)(2)		415		363
				2,258
Educational Services – 0.9%
Georgetown University (The), 2.94%, 4/1/50		465		404
University of Chicago (The), 2.76%, 4/1/45		290		273
University of Southern California, 2.81%, 10/1/50		475		470
3.23%, 10/1/20 (3)		470		484
William Marsh Rice University, 2.60%, 5/15/50		190		166
				1,797
Electrical Equipment Manufacturing – 0.6%
Amphenol Corp., 2.80%, 2/15/30		505		451
Carrier Global Corp., 3.38%, 4/5/40 (4)		280		245
Keysight Technologies, Inc., 4.55%, 10/30/24		83		87

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
CORPORATE BONDS – 24.1% – continued
Electrical Equipment Manufacturing – 0.6% – continued
Roper Technologies, Inc., 3.85%, 12/15/25		$280		$317
				1,100
Entertainment Content – 0.5%
Fox Corp., 4.71%, 1/25/29 (4)		490		537
Walt Disney (The) Co., 2.00%, 9/1/29		405		393
				930
Exploration & Production – 0.7%
Hess Corp., 7.13%, 3/15/33		765		615
Occidental Petroleum Corp., 4.10%, 2/1/21		685		582
Ovintiv, Inc., 8.13%, 9/15/30		450		208
				1,405
Financial Services – 1.9%
Ares Capital Corp., 4.25%, 3/1/25		215		185
Charles Schwab (The) Corp., (Variable, ICE LIBOR USD 3M + 2.58%), 5.00%, 12/1/27 (1)(2)		185		156
FMR LLC, 6.45%, 11/15/39 (4)		675		902
FS KKR Capital Corp., 4.13%, 2/1/25		635		516
Goldman Sachs BDC, Inc., 3.75%, 2/10/25		195		185
Goldman Sachs Group (The), Inc., 3.50%, 4/1/25		355		363
2.60%, 2/7/30		280		264
Morgan Stanley, (Variable, U.S. SOFR + 1.14%), 2.70%, 1/22/31 (1)		540		528
(Variable, U.S. SOFR + 3.12%), 3.62%, 4/1/31 (1)		470		492
State Street Corp., (Variable, U.S. SOFR + 2.65%), 3.15%, 3/30/31 (1)(4)		95		97
				3,688

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CORE BOND FUND continued

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
CORPORATE BONDS – 24.1% – continued
Food & Beverage – 0.8%
Anheuser-Busch Cos. LLC/Anheuser-Busch InBev Worldwide, Inc., 3.65%, 2/1/26		$515		$540
4.90%, 2/1/46		415		452
Anheuser-Busch InBev Worldwide, Inc., 4.15%, 1/23/25		190		204
Tyson Foods, Inc., 4.50%, 6/15/22		130		134
4.35%, 3/1/29		155		171
				1,501
Hardware – 0.5%
Dell International LLC/EMC Corp., 5.45%, 6/15/23 (4)		215		221
5.30%, 10/1/29 (4)		385		393
Hewlett Packard Enterprise Co., 4.40%, 10/15/22		300		305
				919
Health Care Facilities & Services – 0.7%
Advocate Health & Hospitals Corp., 3.39%, 10/15/49		290		301
CVS Health Corp., 3.70%, 3/9/23		385		400
Laboratory Corp. of America Holdings, 3.25%, 9/1/24		215		219
RWJ Barnabas Health, Inc., 3.48%, 7/1/49		365		369
				1,289
Home & Office Products Manufacturing – 0.4%
Steelcase, Inc., 5.13%, 1/18/29		680		818
Homebuilders – 0.2%
D.R. Horton, Inc., 5.75%, 8/15/23		335		346
Life Insurance – 0.5%
Protective Life Corp., 8.45%, 10/15/39		430		610
Reinsurance Group of America, Inc., 4.70%, 9/15/23		369		406
				1,016

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Machinery Manufacturing – 0.1%
Deere & Co., 2.75%, 4/15/25		$230		$237
Managed Care – 0.2%
Anthem, Inc., 4.65%, 1/15/43		380		421
Mass Merchants – 0.2%
Target Corp., 2.35%, 2/15/30		160		160
2.65%, 9/15/30		160		164
				324
Medical Equipment & Devices Manufacturing – 0.2%
Stryker Corp., 4.38%, 5/15/44		465		485
Metals & Mining – 0.2%
Glencore Funding LLC, 4.13%, 3/12/24 (4)		275		253
3.88%, 10/27/27 (4)		115		102
				355
Oil & Gas Services & Equipment – 0.5%
Baker Hughes a GE Co. LLC/Baker Hughes Co-Obligor, Inc., 2.77%, 12/15/22		210		200
4.08%, 12/15/47		235		193
Halliburton Co., 2.92%, 3/1/30		420		324
National Oilwell Varco, Inc., 3.60%, 12/1/29		255		190
Patterson-UTI Energy, Inc., 3.95%, 2/1/28		275		108
				1,015
Pharmaceuticals – 0.5%
AbbVie, Inc., 3.38%, 11/14/21		120		123
2.85%, 5/14/23		105		107
2.60%, 11/21/24 (4)		330		333
3.20%, 11/21/29 (4)		295		296
Pfizer, Inc., 2.63%, 4/1/30		200		210
				1,069
Pipeline – 0.6%
Boardwalk Pipelines L.P., 4.80%, 5/3/29		240		181

See Notes to the Financial Statements.

FIXED INCOME FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Pipeline – 0.6% – continued
Energy Transfer Operating L.P., 4.20%, 9/15/23		$205		$179
Enterprise Products Operating LLC, 3.95%, 1/31/60		285		240
Sunoco Logistics Partners Operations L.P., 3.90%, 7/15/26		435		364
Western Midstream Operating L.P., 5.25%, 2/1/50		375		155
				1,119
Property & Casualty Insurance – 0.1%
Berkshire Hathaway Finance Corp., 1.85%, 3/12/30		160		155
Real Estate – 2.4%
American Campus Communities Operating Partnership L.P., 2.85%, 2/1/30		249		233
American Tower Corp., 3.13%, 1/15/27		810		791
Boston Properties L.P., 3.20%, 1/15/25		405		409
EPR Properties, 4.50%, 4/1/25		505		428
4.50%, 6/1/27		410		371
Equinix, Inc., 3.20%, 11/18/29		247		230
Essex Portfolio L.P., 2.65%, 3/15/32		580		514
Healthcare Realty Trust, Inc., 2.40%, 3/15/30		435		386
Healthpeak Properties, Inc., 3.25%, 7/15/26		165		160
National Retail Properties, Inc., 3.10%, 4/15/50		550		427
Ventas Realty L.P., 4.40%, 1/15/29		305		304
Weyerhaeuser Co., 4.00%, 11/15/29		415		420
				4,673
Restaurants – 0.1%
Starbucks Corp., 2.00%, 3/12/27		160		151

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Retail – Consumer Discretionary – 1.1%
eBay, Inc., 1.90%, 3/11/25		$230		$217
3.60%, 6/5/27		195		201
2.70%, 3/11/30		820		742
Home Depot (The), Inc., 2.50%, 4/15/27		160		161
Lowe’s Cos., Inc., 3.65%, 4/5/29		855		877
				2,198
Retail – Consumer Staples – 0.2%
Sysco Corp., 3.30%, 2/15/50		485		351
Semiconductors – 0.6%
Intel Corp., 3.10%, 2/15/60		460		485
KLA Corp., 5.65%, 11/1/34		115		133
3.30%, 3/1/50		270		253
NVIDIA Corp., 3.50%, 4/1/40		280		297
				1,168
Software & Services – 1.0%
Broadridge Financial Solutions, Inc., 2.90%, 12/1/29		236		223
Citrix Systems, Inc., 4.50%, 12/1/27		535		552
Microsoft Corp., 4.25%, 2/6/47		465		599
Moody’s Corp., 4.25%, 2/1/29		415		450
Vmware, Inc., 2.95%, 8/21/22		200		199
				2,023
Tobacco – 0.2%
Altria Group, Inc., 5.95%, 2/14/49		60		69
Reynolds American, Inc., 5.85%, 8/15/45		310		333
				402
Utilities – 1.9%
American Electric Power Co., Inc., 3.25%, 3/1/50		570		502

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CORE BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 24.1% – continued
Utilities – 1.9% – continued
Avangrid, Inc., 3.80%, 6/1/29		$500		$511
Berkshire Hathaway Energy Co., 4.25%, 10/15/50 (4)		170		192
CenterPoint Energy, Inc., 2.95%, 3/1/30		415		393
Dominion Energy, Inc., 3.07%, 8/15/24		165		164
DTE Electric Co., 2.95%, 3/1/50		485		452
Duke Energy Corp., 4.20%, 6/15/49		185		186
Exelon Corp., 5.63%, 6/15/35		380		436
PPL Capital Funding, Inc., 4.00%, 9/15/47		410		380
Xcel Energy, Inc., 2.60%, 12/1/29		450		425
				3,641
Waste & Environment Services & Equipment – 0.1%
Waste Management, Inc., 3.45%, 6/15/29		160		164
Wireless Telecommunications Services – 1.8%
AT&T, Inc., 3.80%, 2/15/27		540		564
4.10%, 2/15/28		535		562
5.35%, 12/15/43		265		305
4.55%, 3/9/49		650		699
Verizon Communications, Inc., 4.40%, 11/1/34		570		665
5.01%, 8/21/54		465		633
				3,428
Total Corporate Bonds
(Cost $49,343)				46,959
FOREIGN ISSUER BONDS – 4.8%
Banks – 1.4%
Australia & New Zealand Banking Group Ltd.,
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.29%), 2.95%, 7/22/30 (1)(4)		445		422

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 4.8% – continued
Banks – 1.4% – continued
BPCE S.A., 3.50%, 10/23/27 (4)		$435		$424
Deutsche Bank A.G., 3.30%, 11/16/22		340		318
Lloyds Banking Group PLC,
(Variable, U.S. Treasury Yield Curve Rate CMT 1Y + 1.00%), 2.44%, 2/5/26 (1)		240		227
National Australia Bank Ltd.,
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.88%), 3.93%, 8/2/34 (1)(4)		505		496
Westpac Banking Corp.,
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.35%), 2.89%, 2/4/30 (1)		495		475
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 2.00%), 4.11%, 7/24/34 (1)		290		281
				2,643
Commercial Finance – 0.1%
Avolon Holdings Funding Ltd., 3.25%, 2/15/27 (4)		295		231
Design, Manufacturing & Distribution – 0.2%
Flex Ltd., 4.75%, 6/15/25		375		377
Diversified Banks – 1.3%
BNP Paribas S.A.,
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 2.94%), 4.50%, 2/25/30 (1)(2)(4)		520		400
(Variable, U.S. SOFR + 1.51%), 3.05%, 1/13/31 (1)(4)		475		444
Credit Agricole S.A., 2.38%, 1/22/25 (4)		495		484
3.25%, 1/14/30 (4)		250		236
Societe Generale S.A., 2.63%, 10/16/24 (4)		500		482
3.00%, 1/22/30 (4)		500		455
				2,501
Electrical Equipment Manufacturing – 0.0%
Johnson Controls International PLC, 5.13%, 9/14/45		34		39

See Notes to the Financial Statements.

FIXED INCOME FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 4.8% – continued
Financial Services – 0.2%
Credit Suisse Group A.G., (Variable, U.S. SOFR + 3.73%), 4.19%, 4/1/31 (1)(4)		$485		$497
Integrated Oils – 0.2%
Cenovus Energy, Inc., 6.75%, 11/15/39		185		89
Shell International Finance B.V., 4.38%, 5/11/45		250		289
				378
Internet Media – 0.2%
Tencent Holdings Ltd., 2.99%, 1/19/23 (4)		305		311
Metals & Mining – 0.3%
Anglo American Capital PLC, 3.75%, 4/10/22 (4)		460		448
ArcelorMittal S.A., 4.55%, 3/11/26		160		144
				592
Pharmaceuticals – 0.1%
GlaxoSmithKline Capital PLC, 3.00%, 6/1/24		190		198
Shire Acquisitions Investments Ireland DAC, 3.20%, 9/23/26		105		106
				304
Pipeline – 0.1%
TransCanada PipeLines Ltd., (Variable, ICE LIBOR USD 3M + 2.21%), 3.90%, 5/15/67 (5)		215		131
Waste & Environment Services & Equipment – 0.5%
Waste Connections, Inc., 2.60%, 2/1/30		805		763
3.05%, 4/1/50		195		174
				937
Wireline Telecommunications Services – 0.2%
British Telecommunications PLC, 5.13%, 12/4/28		430		479
Total Foreign Issuer Bonds
(Cost $10,048)				9,420

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 34.8% (6)
Fannie Mae – 28.9%
Fannie Mae REMIC, Series 2019-51, Class JH, 2.50%, 6/25/49		$954		$999
Pool #535714, 7.50%, 1/1/31		5		5
Pool #555599, 7.00%, 4/1/33		13		15
Pool #712130, 7.00%, 6/1/33		8		9
Pool #890384, 4.50%, 10/1/41		11		12
Pool #931790, 4.50%, 8/1/39		428		468
Pool #AA7583, 4.50%, 6/1/39		11		12
Pool #AB1470, 4.50%, 9/1/40		163		179
Pool #AB3114, 5.00%, 6/1/41		86		95
Pool #AC6118, 4.50%, 11/1/39		153		168
Pool #AD1645, 5.00%, 3/1/40		14		16
Pool #AD6929, 5.00%, 6/1/40		98		108
Pool #AD7775, 4.50%, 8/1/40		341		378
Pool #AH1507, 4.50%, 12/1/40		180		197
Pool #AH9109, 4.50%, 4/1/41		12		13
Pool #AI8193, 4.50%, 8/1/41		520		570
Pool #AL4908, 4.00%, 2/1/44		204		221
Pool #AL5119, 4.00%, 4/1/34		266		291
Pool #AL6041, 4.00%, 8/1/33		1,529		1,667
Pool #AL8352, 3.00%, 10/1/44		2,027		2,143
Pool #AQ5150, 2.50%, 11/1/42		1,416		1,474

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CORE BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 34.8% (6) – continued
Fannie Mae – 28.9% – continued
Pool #AS3473, 4.00%, 10/1/44		$1,142		$1,234
Pool #AS3655, 4.50%, 10/1/44		428		466
Pool #AS5722, 3.50%, 9/1/45		271		289
Pool #AS6520, 3.50%, 1/1/46		896		954
Pool #AS6730, 3.50%, 2/1/46		1,317		1,406
Pool #AS7088, 2.50%, 5/1/31		259		268
Pool #AS7568, 4.50%, 7/1/46		1,463		1,593
Pool #AS7694, 2.50%, 8/1/31		887		925
Pool #AS8699, 4.00%, 1/1/47		606		651
Pool #AS8984, 4.50%, 3/1/47		353		383
Pool #AW2706, 4.00%, 4/1/44		794		857
Pool #BD7081, 4.00%, 3/1/47		1,487		1,595
Pool #BE3619, 4.00%, 5/1/47		1,625		1,743
Pool #BH4092, 4.50%, 10/1/47		847		919
Pool #BH6175, 3.50%, 7/1/47		325		344
Pool #BJ0686, 4.00%, 4/1/48		773		827
Pool #BK4740, 4.00%, 8/1/48		1,823		1,941
Pool #BM4413, 4.50%, 12/1/47		1,129		1,222
Pool #BM5168, 2.50%, 6/1/46		599		624
Pool #BM5745, 4.00%, 6/1/46		1,811		1,956
Pool #BM5785, 3.50%, 9/1/46		599		638

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
U.S. GOVERNMENT AGENCIES – 34.8% (6) – continued
Fannie Mae – 28.9% – continued
Pool #BM5969, 3.00%, 11/1/46		$1,791		$1,893
Pool #BM5984, 5.00%, 5/1/49		277		299
Pool #BM5996, 5.00%, 12/1/48		227		245
Pool #CA3308, 3.50%, 4/1/49		614		650
Pool #FM1303, 3.00%, 1/1/48		919		971
Pool #FM1472, 3.50%, 3/1/34		244		257
Pool #FM1572, 3.00%, 9/1/48		336		354
Pool #FM1769, 4.50%, 7/1/47		902		986
Pool #FM1772, 4.50%, 5/1/47		400		438
Pool #FM2048, 4.00%, 1/1/45		1,746		1,885
Pool #FM2053, 3.50%, 8/1/44		1,672		1,792
Pool #FM2249, 4.50%, 12/1/44		1,282		1,403
Pool #FM2300, 4.00%, 2/1/47		2,516		2,711
Pool #FM2327, 4.50%, 2/1/47		2,875		3,145
Pool #FM2483, 3.50%, 2/1/33		1,163		1,226
Pool #MA2864, 3.50%, 1/1/47		988		1,048
Pool #MA3088, 4.00%, 8/1/47		978		1,049
Pool #MA3183, 4.00%, 11/1/47		1,813		1,939
Pool #MA3184, 4.50%, 11/1/47		1,459		1,582
Pool #MA3211, 4.00%, 12/1/47		1,816		1,946
Pool #MA3448, 5.00%, 8/1/48		515		556
				56,250

See Notes to the Financial Statements.

FIXED INCOME FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 34.8% (6) – continued
Freddie Mac – 1.6%
Freddie Mac Multifamily Structured Pass Through Certificates, Series K730, Class A2, 3.59%, 1/25/25		$460		$501
Pool #1B3575, (Floating, ICE LIBOR USD 1Y + 1.80%, 1.80% Floor, 11.38% Cap), 4.05%, 9/1/37 (5)		5		5
Pool #1G2296, (Floating, ICE LIBOR USD 1Y + 2.06%, 2.06% Floor, 11.17% Cap), 4.19%, 11/1/37 (5)		24		25
Pool #SB0084, 3.00%, 2/1/32		336		352
Pool #SB0216, 3.00%, 12/1/32		233		245
Pool #SD0039, 4.00%, 2/1/46		1,159		1,251
Pool #ZS4639, 4.00%, 11/1/45		794		858
				3,237
Freddie Mac Gold – 1.9%
Pool #C03517, 4.50%, 9/1/40		111		121
Pool #G01954, 5.00%, 11/1/35		67		75
Pool #G16396, 3.50%, 2/1/33		223		235
Pool #G60948, 3.00%, 1/1/47		317		335
Pool #G61670, 3.00%, 5/1/47		1,759		1,859
Pool #Q15842, 3.00%, 2/1/43		627		663
Pool #Q63667, 4.50%, 5/1/49		352		379
				3,667
Freddie Mac Pool – 0.7%
Pool #SD0033, 3.00%, 12/1/47		318		336
Pool #ZK7457, 3.50%, 2/1/29		374		393

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 34.8% (6) – continued
Freddie Mac Pool – 0.7% – continued
Pool #ZT0714, 5.00%, 10/1/48		$563		$608
				1,337
Government National Mortgage Association I – 0.0%
Pool #604183, 5.50%, 4/15/33		3		3
Pool #633627, 5.50%, 9/15/34		3		3
				6
Government National Mortgage Association II – 1.7%
Pool #784801, 3.50%, 6/20/47		873		933
Pool #784832, 2.50%, 10/20/45		1,005		1,058
Pool #MA0782, 3.00%, 2/20/43		845		906
Pool #MA0850, 2.50%, 3/20/43		462		486
				3,383
Total U.S. Government Agencies
(Cost $66,381)				67,880
U.S. GOVERNMENT OBLIGATIONS – 30.2%
U.S. Treasury Bonds – 4.4%
2.38%, 11/15/49		3,236		4,032
2.00%, 2/15/50		3,908		4,527
				8,559
U.S. Treasury Notes – 24.6%
0.38%, 3/31/22		17,145		17,195
0.50%, 3/15/23		14,594		14,686
0.50%, 3/31/25		8,617		8,670
1.50%, 2/15/30		6,901		7,430
				47,981
U.S. Treasury Strips – 1.2%
1.28%, 8/15/49 (7)		3,370		2,220
Total U.S. Government Obligations
(Cost $57,617)				58,760

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CORE BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 1.0%
California – 0.4%
University of California Regents Medical Center Pooled Taxable Revenue Bonds, Series N, 3.26%, 5/15/60		$370		$346
3.71%, 5/15/20 (3)		370		381
				727
Massachusetts – 0.1%
Massachusetts State G.O. Limited Bonds, Series H, Taxable Consolidated Loan of 2019, 2.90%, 9/1/49		180		169
New Jersey – 0.2%
New Jersey State Transportation Trust Fund Authority Transportation System Taxable Revenue Refunding Bonds, 4.13%, 6/15/42		380		368
New York – 0.2%
New York State Thruway Authority Taxable Revenue Refunding Bonds, Series M, 3.50%, 1/1/42		390		394
Texas – 0.1%
Texas State Private Activity Bond Surface Transportation Corp. Taxable Revenue Bonds, North Tarrant Express Managed Lanes Project, 3.92%, 12/31/49		285		282
Total Municipal Bonds
(Cost $1,975)				1,940
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 1.6%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (8)(9)		3,046,643		$3,047
Total Investment Companies
(Cost $3,047)				3,047

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.5%
U.S. Treasury Bill, 1.01%, 7/16/20 (7)(10)		$1,000		$1,000
Total Short-Term Investments
(Cost $997)				1,000
Total Investments – 100.7%
(Cost $196,552)				196,214
Liabilities less Other Assets – (0.7%)				(1,380	)
NET ASSETS – 100.0%				$194,834

(1) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(2) Perpetual bond. Maturity date represents next call date.

(3) Century bond maturing in 2120.

(4) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(5) Variable rate security. Rate as of March 31, 2020 is disclosed.

(6) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(7) Discount rate at the time of purchase.

(8) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(9) 7-day current yield as of March 31, 2020 is disclosed.

(10) Security pledged as collateral to cover margin requirements for open futures contracts.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1Y – 1 Year

3M – 3 Month

5Y – 5 Year

CMT – Constant Maturity

Fannie Mae – Federal National Mortgage Association

Freddie Mac – Federal Home Loan Mortgage Corporation

G.O. – General Obligation

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

PLC – Public Limited Company

REMIC – Real Estate Mortgage Investment Conduit

See Notes to the Financial Statements.

FIXED INCOME FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

S&P – Standard & Poor’s

SOFR – Secured Overnight Financing Rate

USD – United States Dollar

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
5-Year U.S. Treasury Note		46		$5,767		Long		6/20		$32

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		32.2%
U.S. Agency		32.9
AAA		4.1
AA		1.7
A		5.5
BBB		21.7
BB		0.4
Cash Equivalents		1.5
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Asset-Backed Securities (1)		$ –		$ 7,208		$–		$ 7,208
Corporate Bonds (1)		–		46,959		–		46,959
Foreign Issuer Bonds (1)		–		9,420		–		9,420
U.S. Government Agencies (1)		–		67,880		–		67,880
U.S. Government Obligations (1)		–		58,760		–		58,760
Municipal Bonds (1)		–		1,940		–		1,940
Investment Companies		3,047		–		–		3,047
Short-Term Investments		–		1,000		–		1,000
Total Investments		$3,047		$193,167		$–		$196,214
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$32		$ –		$–		$ 32

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 3.7%
Automobile – 0.8%
World Omni Auto Receivables Trust, Series 2019-C, Class A3 1.96%, 12/16/24		$6,750		$6,667
Commercial Mortgage-Backed Securities – 2.0%
BANK, Series 2019-BN16, Class A4 4.01%, 2/15/52		3,900		4,365
Citigroup Commercial Mortgage Trust, Series 2015-GC27, Class A5 3.14%, 2/10/48		4,815		4,883
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-C5, Class A5 3.69%, 3/15/50		2,400		2,599
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C25, Class A5 3.64%, 10/15/48		4,910		5,101
				16,948
Other – 0.9%
CNH Equipment Trust, Series 2019-C, Class A3 2.01%, 12/16/24		7,565		7,325
Total Asset-Backed Securities
(Cost $30,687)				30,940
CORPORATE BONDS – 27.1%
Aerospace & Defense – 0.4%
Boeing (The) Co., 2.95%, 2/1/30		730		684
3.95%, 8/1/59		595		534
United Technologies Corp., 3.65%, 8/16/23		1,675		1,761
				2,979
Banks – 0.3%
CIT Bank N.A., (Variable, U.S. SOFR + 1.72%), 2.97%, 9/27/25 (1)		750		633
Discover Bank, 2.45%, 9/12/24		480		453
M&T Bank Corp., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 3.17%), 5.00%, 8/1/24 (1)(2)		1,610		1,497
				2,583

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Biotechnology – 0.4%
Amgen, Inc., 3.13%, 5/1/25		$1,255		$1,332
4.66%, 6/15/51		1,240		1,559
Gilead Sciences, Inc., 2.50%, 9/1/23		500		499
				3,390
Cable & Satellite – 0.8%
Charter Communications Operating LLC/Charter Communications Operating Capital, 3.58%, 7/23/20		1,145		1,142
Comcast Corp., 4.70%, 10/15/48		2,420		3,135
3.45%, 2/1/50		1,555		1,704
Radiate Holdco LLC/Radiate Finance, Inc., 6.63%, 2/15/25 (3)		1,090		926
				6,907
Casinos & Gaming – 0.2%
Boyd Gaming Corp., 4.75%, 12/1/27 (3)		2,470		2,038
Chemicals – 0.4%
3M Co., 2.65%, 4/15/25		1,015		1,046
Avery Dennison Corp., 2.65%, 4/30/30		1,780		1,659
RPM International, Inc., 4.55%, 3/1/29		895		986
				3,691
Communications Equipment – 0.1%
Corning, Inc., 5.45%, 11/15/79		1,200		1,232
Construction Materials Manufacturing – 0.2%
Carlisle Cos., Inc., 2.75%, 3/1/30		1,740		1,519
Consumer Finance – 0.2%
Discover Financial Services, 4.50%, 1/30/26		685		699
PayPal Holdings, Inc., 2.85%, 10/1/29		995		984
				1,683

See Notes to the Financial Statements.

FIXED INCOME FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Containers & Packaging – 0.5%
Flex Acquisition Co., Inc., 7.88%, 7/15/26 (3)		$1,830		$1,685
Mauser Packaging Solutions Holding Co., 7.25%, 4/15/25 (3)		2,805		2,230
Packaging Corp. of America, 3.40%, 12/15/27		585		583
				4,498
Design, Manufacturing & Distribution – 0.1%
Jabil, Inc., 3.60%, 1/15/30		1,020		906
Diversified Banks – 1.1%
Bank of America Corp., (Variable, ICE LIBOR USD 3M + 2.93%), 5.88%, 3/15/28 (1)(2)		910		922
Citigroup, Inc., 3.40%, 5/1/26		610		635
4.13%, 7/25/28		464		475
(Variable, U.S. SOFR + 1.15%), 2.67%, 1/29/31 (1)		1,405		1,362
JPMorgan Chase & Co., (Variable, U.S. SOFR + 3.38%), 5.00%, 8/1/24 (1)(2)		2,470		2,320
3.88%, 9/10/24		1,940		2,046
(Variable, U.S. SOFR + 3.13%), 4.60%, 2/1/25 (1)(2)		1,770		1,549
				9,309
Educational Services – 0.9%
Georgetown University (The), 2.94%, 4/1/50		2,015		1,750
University of Chicago (The), 2.76%, 4/1/45		1,230		1,160
University of Southern California, 2.81%, 10/1/50		2,010		1,987
3.23%, 10/1/20 (4)		2,000		2,060
William Marsh Rice University, 2.60%, 5/15/50		830		725
				7,682
Electrical Equipment Manufacturing – 0.6%
Amphenol Corp., 2.80%, 2/15/30		2,050		1,830
Carrier Global Corp., 3.38%, 4/5/40 (3)		1,240		1,087

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Electrical Equipment Manufacturing – 0.6% – continued
Keysight Technologies, Inc., 4.55%, 10/30/24		$409		$427
Roper Technologies, Inc., 3.85%, 12/15/25		1,280		1,449
				4,793
Entertainment Content – 0.2%
Walt Disney (The) Co., 2.00%, 9/1/29		1,755		1,701
Exploration & Production – 1.1%
Chesapeake Energy Corp., 11.50%, 1/1/25 (3)		1,253		213
Denbury Resources, Inc., 9.00%, 5/15/21 (3)		1,635		478
EQT Corp., 7.00%, 2/1/30		2,545		1,896
Hess Corp., 7.13%, 3/15/33		1,000		804
Murphy Oil Corp., 5.88%, 12/1/42		1,760		722
Occidental Petroleum Corp., 4.10%, 2/1/21		2,945		2,503
Ovintiv, Inc., 8.13%, 9/15/30		1,675		773
SM Energy Co., 5.63%, 6/1/25		1,665		454
Whiting Petroleum Corp., 6.63%, 1/15/26 (5)		2,400		162
WPX Energy, Inc., 4.50%, 1/15/30		2,455		1,333
				9,338
Financial Services – 2.2%
Ares Capital Corp., 4.25%, 3/1/25		925		795
Charles Schwab (The) Corp., (Variable, ICE LIBOR USD 3M + 2.58%), 5.00%, 12/1/27 (1)(2)		693		582
FMR LLC, 6.45%, 11/15/39 (3)		3,265		4,365
FS KKR Capital Corp., 4.13%, 2/1/25		2,620		2,131
Goldman Sachs BDC, Inc., 3.75%, 2/10/25		830		789

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Financial Services – 2.2% – continued
Goldman Sachs Group (The), Inc., (Variable, ICE LIBOR USD 3M + 2.87%), 5.00%, 11/10/22 (1)(2)		$1,795		$1,528
3.50%, 4/1/25		1,530		1,564
2.60%, 2/7/30		1,205		1,136
Icahn Enterprises L.P./Icahn Enterprises Finance Corp., 4.75%, 9/15/24		2,000		1,839
5.25%, 5/15/27		1,465		1,353
Morgan Stanley, (Variable, U.S. SOFR + 3.12%), 3.62%, 4/1/31 (1)		1,995		2,087
State Street Corp., (Variable, U.S. SOFR + 2.65%), 3.15%, 3/30/31 (1)(3)		405		414
				18,583
Food & Beverage – 0.9%
Anheuser-Busch Cos. LLC/Anheuser-Busch InBev Worldwide, Inc., 3.65%, 2/1/26		2,085		2,186
4.90%, 2/1/46		1,685		1,835
Anheuser-Busch InBev Worldwide, Inc., 4.15%, 1/23/25		830		891
NBM US Holdings, Inc., 7.00%, 5/14/26		1,825		1,656
Tyson Foods, Inc., 4.50%, 6/15/22		525		543
4.35%, 3/1/29		635		699
				7,810
Hardware – 0.5%
Dell International LLC/EMC Corp., 5.45%, 6/15/23 (3)		1,235		1,269
5.30%, 10/1/29 (3)		1,410		1,438
Hewlett Packard Enterprise Co., 4.40%, 10/15/22		1,195		1,218
				3,925
Health Care Facilities & Services – 0.6%
Advocate Health & Hospitals Corp., 3.39%, 10/15/49		1,185		1,229
CVS Health Corp., 3.70%, 3/9/23		1,560		1,620

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Health Care Facilities & Services – 0.6% – continued
Laboratory Corp. of America Holdings, 3.25%, 9/1/24		$810		$826
RWJ Barnabas Health, Inc., 3.48%, 7/1/49		1,480		1,495
				5,170
Home & Office Products Manufacturing – 0.2%
Steelcase, Inc., 5.13%, 1/18/29		1,635		1,967
Industrial Other – 0.2%
H&E Equipment Services, Inc., 5.63%, 9/1/25		1,550		1,438
Life Insurance – 1.0%
Ohio National Financial Services, Inc., 5.55%, 1/24/30 (3)		3,095		3,111
Protective Life Corp., 8.45%, 10/15/39		3,475		4,925
				8,036
Machinery Manufacturing – 0.1%
Deere & Co., 2.75%, 4/15/25		1,010		1,043
Managed Care – 0.4%
Anthem, Inc., 3.50%, 8/15/24		1,500		1,539
Centene Corp., 4.63%, 12/15/29 (3)		1,870		1,879
				3,418
Mass Merchants – 0.2%
Target Corp., 2.35%, 2/15/30		685		685
2.65%, 9/15/30		720		741
				1,426
Medical Equipment & Devices Manufacturing – 0.3%
Stryker Corp., 4.38%, 5/15/44		2,010		2,097
Metals & Mining – 0.5%
Glencore Funding LLC, 4.13%, 3/12/24 (3)		845		777
3.88%, 10/27/27 (3)		630		562
Kaiser Aluminum Corp., 4.63%, 3/1/28 (3)		1,795		1,593

See Notes to the Financial Statements.

FIXED INCOME FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Metals & Mining – 0.5% – continued
Novelis Corp., 4.75%, 1/30/30 (3)		$1,000		$890
				3,822
Oil & Gas Services & Equipment – 0.3%
Halliburton Co., 2.92%, 3/1/30		1,785		1,379
National Oilwell Varco, Inc., 3.60%, 12/1/29		1,040		776
Patterson-UTI Energy, Inc., 3.95%, 2/1/28		1,070		420
				2,575
Pharmaceuticals – 0.5%
AbbVie, Inc., 3.38%, 11/14/21		515		527
2.85%, 5/14/23		386		392
2.60%, 11/21/24 (3)		1,375		1,388
3.20%, 11/21/29 (3)		1,240		1,245
Pfizer, Inc., 2.63%, 4/1/30		840		883
				4,435
Pipeline – 0.6%
Boardwalk Pipelines L.P., 4.80%, 5/3/29		965		727
Energy Transfer Operating L.P., 4.20%, 9/15/23		1,005		878
Enterprise Products Operating LLC, 3.95%, 1/31/60		1,195		1,004
Sunoco Logistics Partners Operations L.P., 3.90%, 7/15/26		1,685		1,410
Western Midstream Operating L.P., 5.25%, 2/1/50		1,590		659
				4,678
Power Generation – 0.4%
Calpine Corp., 4.50%, 2/15/28 (3)		2,185		2,118
Terraform Global Operating LLC, 6.13%, 3/1/26 (3)		1,035		1,009
				3,127
Property & Casualty Insurance – 0.1%
Berkshire Hathaway Finance Corp., 1.85%, 3/12/30		695		675

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Publishing & Broadcasting – 0.4%
Entercom Media Corp., 7.25%, 11/1/24 (3)		$1,645		$1,374
TEGNA, Inc., 5.00%, 9/15/29 (3)		1,850		1,670
				3,044
Real Estate – 2.3%
American Campus Communities Operating Partnership L.P., 2.85%, 2/1/30		1,044		977
American Tower Corp., 3.13%, 1/15/27		3,270		3,192
EPR Properties, 4.50%, 4/1/25		1,500		1,271
4.50%, 6/1/27		2,215		2,002
Equinix, Inc., 3.20%, 11/18/29		1,015		944
Essex Portfolio L.P., 2.65%, 3/15/32		2,545		2,258
Healthcare Realty Trust, Inc., 2.40%, 3/15/30		1,860		1,649
Healthpeak Properties, Inc., 3.25%, 7/15/26		655		635
Iron Mountain, Inc., 4.88%, 9/15/27 (3)		1,765		1,712
iStar, Inc., 4.75%, 10/1/24		1,700		1,428
National Retail Properties, Inc., 3.10%, 4/15/50		2,410		1,874
Ventas Realty L.P., 4.40%, 1/15/29		1,600		1,597
				19,539
Refining & Marketing – 0.4%
CVR Energy, Inc., 5.75%, 2/15/28 (3)		2,995		2,239
Murphy Oil USA, Inc., 4.75%, 9/15/29		1,000		937
				3,176
Restaurants – 0.2%
Golden Nugget, Inc., 6.75%, 10/15/24 (3)		1,920		1,209

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Restaurants – 0.2% – continued
Starbucks Corp., 2.00%, 3/12/27		$695		$655
				1,864
Retail – Consumer Discretionary – 0.7%
eBay, Inc., 1.90%, 3/11/25		1,025		968
3.60%, 6/5/27		790		814
2.70%, 3/11/30		3,565		3,224
Home Depot (The), Inc., 2.50%, 4/15/27		690		695
				5,701
Retail – Consumer Staples – 0.2%
Sysco Corp., 3.30%, 2/15/50		2,085		1,510
Semiconductors – 0.5%
Intel Corp., 3.10%, 2/15/60		2,030		2,139
KLA Corp., 3.30%, 3/1/50		1,205		1,129
NVIDIA Corp., 3.50%, 4/1/40		1,185		1,257
				4,525
Software & Services – 1.2%
Broadridge Financial Solutions, Inc., 2.90%, 12/1/29		996		942
Citrix Systems, Inc., 4.50%, 12/1/27		1,700		1,755
Microsoft Corp., 4.25%, 2/6/47		2,010		2,590
Moody’s Corp., 4.25%, 2/1/29		1,630		1,766
Solera LLC/Solera Finance, Inc., 10.50%, 3/1/24 (3)		2,535		2,484
Vmware, Inc., 2.95%, 8/21/22		800		796
				10,333
Tobacco – 0.2%
Altria Group, Inc., 5.95%, 2/14/49		260		300
Reynolds American, Inc., 5.85%, 8/15/45		1,172		1,259
				1,559

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Utilities – 1.7%
American Electric Power Co., Inc., 3.25%, 3/1/50		$2,490		$2,191
Avangrid, Inc., 3.80%, 6/1/29		2,070		2,116
Berkshire Hathaway Energy Co., 4.25%, 10/15/50 (3)		730		827
CenterPoint Energy, Inc., 2.95%, 3/1/30		1,785		1,689
Dominion Energy, Inc., 3.07%, 8/15/24		660		658
DTE Electric Co., 2.95%, 3/1/50		2,085		1,942
Exelon Corp., 5.63%, 6/15/35		1,480		1,698
PPL Capital Funding, Inc., 4.00%, 9/15/47		1,535		1,423
Xcel Energy, Inc., 2.60%, 12/1/29		1,840		1,736
				14,280
Waste & Environment Services & Equipment – 0.2%
Stericycle, Inc., 5.38%, 7/15/24 (3)		1,255		1,242
Waste Management, Inc., 3.45%, 6/15/29		624		640
				1,882
Wireless Telecommunications Services – 2.4%
AT&T, Inc., 3.80%, 2/15/27		1,725		1,800
4.10%, 2/15/28		2,615		2,744
5.35%, 12/15/43		905		1,042
4.55%, 3/9/49		1,175		1,263
Sprint Capital Corp., 6.88%, 11/15/28		2,540		2,901
Sprint Corp., 7.88%, 9/15/23		2,860		3,139
7.13%, 6/15/24		1,705		1,872
Verizon Communications, Inc., 4.40%, 11/1/34		2,400		2,801
5.01%, 8/21/54		2,010		2,736
				20,298

See Notes to the Financial Statements.

FIXED INCOME FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 27.1% – continued
Wireline Telecommunications Services – 0.2%
Level 3 Financing, Inc., 4.63%, 9/15/27 (3)		$1,850		$1,839
Total Corporate Bonds
(Cost $247,429)				228,024
FOREIGN ISSUER BONDS – 6.6%
Banks – 1.3%
Australia & New Zealand Banking Group Ltd., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.29%), 2.95%, 7/22/30 (1)(3)		2,200		2,084
BPCE S.A., 3.50%, 10/23/27 (3)		1,575		1,535
Deutsche Bank A.G., 3.30%, 11/16/22		1,465		1,373
Lloyds Banking Group PLC, (Variable, U.S. Treasury Yield Curve Rate CMT 1Y + 1.00%), 2.44%, 2/5/26 (1)		1,020		963
National Australia Bank Ltd., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.88%), 3.93%, 8/2/34 (1)(3)		2,040		2,005
Westpac Banking Corp., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 1.35%), 2.89%, 2/4/30 (1)		2,130		2,043
(Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 2.00%), 4.11%, 7/24/34 (1)		1,150		1,115
				11,118
Cable & Satellite – 0.8%
Altice Financing S.A., 7.50%, 5/15/26 (3)		3,550		3,440
LCPR Senior Secured Financing DAC, 6.75%, 10/15/27 (3)		600		591
UPC Holding B.V., 5.50%, 1/15/28 (3)		2,625		2,467
				6,498
Commercial Finance – 0.1%
Avolon Holdings Funding Ltd., 3.25%, 2/15/27 (3)		1,220		957

	PRINCIPAL AMOUNT  (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.6% – continued
Design, Manufacturing & Distribution – 0.2%
Flex Ltd., 4.75%, 6/15/25		$1,625		$1,633
Diversified Banks – 1.3%
BNP Paribas S.A., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 2.94%), 4.50%, 2/25/30 (1)(2)(3)		2,265		1,744
(Variable, U.S. SOFR + 1.51%), 3.05%, 1/13/31 (1)(3)		1,725		1,613
Credit Agricole S.A., 2.38%, 1/22/25 (3)		2,020		1,973
3.25%, 1/14/30 (3)		1,000		944
Deutsche Bank A.G., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 4.52%), 6.00%, 10/30/25 (1)(2)		1,800		1,205
Societe Generale S.A., 2.63%, 10/16/24 (3)		1,825		1,758
3.00%, 1/22/30 (3)		1,995		1,815
				11,052
Electrical Equipment Manufacturing – 0.0%
Johnson Controls International PLC, 5.13%, 9/14/45		115		133
Financial Services – 0.3%
Credit Suisse Group A.G., (Variable, U.S. SOFR + 3.73%), 4.19%, 4/1/31 (1)(3)		2,115		2,166
Food & Beverage – 0.3%
JBS USA LUX S.A./JBS USA Food Co./JBS USA Finance, Inc., 5.50%, 1/15/30 (3)		1,575		1,626
MARB BondCo PLC, 6.88%, 1/19/25 (3)		1,040		937
				2,563
Integrated Oils – 0.0%
Cenovus Energy, Inc., 6.75%, 11/15/39		765		371
Internet Media – 0.1%
Tencent Holdings Ltd., 2.99%, 1/19/23 (3)		925		943
Metals & Mining – 0.8%
Anglo American Capital PLC, 3.75%, 4/10/22 (3)		1,985		1,934

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.6% – continued
Metals & Mining – 0.8% – continued
ArcelorMittal S.A., 4.55%, 3/11/26		$780		$700
New Gold, Inc., 6.25%, 11/15/22 (3)		1,770		1,719
6.38%, 5/15/25 (3)		1,115		1,036
Teck Resources Ltd., 6.25%, 7/15/41		1,620		1,400
				6,789
Oil & Gas Services & Equipment – 0.1%
Noble Holding International Ltd., 7.88%, 2/1/26 (3)		1,360		326
Valaris PLC, 7.75%, 2/1/26		1,295		120
				446
Pharmaceuticals – 0.3%
Bausch Health Cos., Inc., 6.13%, 4/15/25 (3)		1,530		1,507
GlaxoSmithKline Capital PLC, 3.00%, 6/1/24		830		865
Shire Acquisitions Investments Ireland DAC, 3.20%, 9/23/26		440		445
				2,817
Pipeline – 0.1%
TransCanada PipeLines Ltd., (Variable, ICE LIBOR USD 3M + 2.21%), 3.90%, 5/15/67 (6)		1,236		755
Refining & Marketing – 0.3%
Parkland Fuel Corp., 6.00%, 4/1/26 (3)		2,535		2,358
Waste & Environment Services & Equipment – 0.1%
Waste Connections, Inc., 3.05%, 4/1/50		835		743
Wireless Telecommunications Services – 0.3%
Altice France S.A., 7.38%, 5/1/26 (3)		1,000		993
Connect Finco S.a.r.l./Connect US Finco LLC, 6.75%, 10/1/26 (3)		1,685		1,392
				2,385

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.6% – continued
Wireline Telecommunications Services – 0.2%
British Telecommunications PLC, 5.13%, 12/4/28		$1,575		$1,756
Total Foreign Issuer Bonds
(Cost $62,478)				55,483
U.S. GOVERNMENT AGENCIES – 31.8% (7)
Fannie Mae – 22.5%
Fannie Mae REMIC, Series 2019-51, Class JH, 2.50%, 6/25/49		3,715		3,892
Pool #256883, 6.00%, 9/1/37		10		11
Pool #535714, 7.50%, 1/1/31		17		20
Pool #545003, 8.00%, 5/1/31		1		1
Pool #545437, 7.00%, 2/1/32		35		41
Pool #545556, 7.00%, 4/1/32		21		25
Pool #555189, 7.00%, 12/1/32		120		141
Pool #581806, 7.00%, 7/1/31		45		52
Pool #585617, 7.00%, 5/1/31 (8)		–		–
Pool #725228, 6.00%, 3/1/34		102		118
Pool #745148, 5.00%, 1/1/36		74		82
Pool #AB3114, 5.00%, 6/1/41		1,117		1,222
Pool #AC6767, 4.50%, 1/1/40		1,019		1,116
Pool #AD6929, 5.00%, 6/1/40		1,216		1,348
Pool #AH1166, 4.50%, 12/1/40		1,469		1,610
Pool #AI1895, 5.00%, 5/1/41		250		276
Pool #AL3063, 3.50%, 1/1/28		548		579

See Notes to the Financial Statements.

FIXED INCOME FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 31.8% (7) – continued
Fannie Mae – 22.5% – continued
Pool #AL5119, 4.00%, 4/1/34		$1,745		$1,912
Pool #AL8352, 3.00%, 10/1/44		5,283		5,584
Pool #AQ9360, 2.50%, 1/1/28		155		161
Pool #AS1991, 3.50%, 3/1/29		704		745
Pool #AS3473, 4.00%, 10/1/44		5,021		5,426
Pool #AS3655, 4.50%, 10/1/44		1,608		1,753
Pool #AS6075, 4.00%, 10/1/45		2,539		2,742
Pool #AS6520, 3.50%, 1/1/46		3,907		4,161
Pool #AS7088, 2.50%, 5/1/31		3,024		3,140
Pool #AS7568, 4.50%, 7/1/46		2,244		2,443
Pool #AS7694, 2.50%, 8/1/31		7,683		8,017
Pool #AS8699, 4.00%, 1/1/47		3,740		4,017
Pool #AS8984, 4.50%, 3/1/47		2,318		2,519
Pool #AV0052, 4.00%, 11/1/43		369		404
Pool #AZ7903, 4.00%, 6/1/41		3,149		3,402
Pool #BH4092, 4.50%, 10/1/47		2,797		3,033
Pool #BH6175, 3.50%, 7/1/47		1,763		1,865
Pool #BJ0686, 4.00%, 4/1/48		3,092		3,307
Pool #BJ3524, 4.00%, 11/1/47		3,721		3,995
Pool #BK4740, 4.00%, 8/1/48		7,223		7,693
Pool #BM1948, 6.00%, 7/1/41		305		351

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 31.8% (7) – continued
Fannie Mae – 22.5% – continued
Pool #BM3385, 4.00%, 6/1/45		$6,090		$6,577
Pool #BM4413, 4.50%, 12/1/47		3,747		4,053
Pool #BM5070, 4.00%, 6/1/38		3,272		3,551
Pool #BM5168, 2.50%, 6/1/46		1,066		1,110
Pool #BM5745, 4.00%, 6/1/46		5,945		6,421
Pool #BM5785, 3.50%, 9/1/46		3,420		3,639
Pool #BM5969, 3.00%, 11/1/46		8,239		8,707
Pool #BM5984, 5.00%, 5/1/49		500		540
Pool #BM5996, 5.00%, 12/1/48		410		442
Pool #CA3308, 3.50%, 4/1/49		3,336		3,529
Pool #FM1303, 3.00%, 1/1/48		3,914		4,134
Pool #FM1472, 3.50%, 3/1/34		191		201
Pool #FM1572, 3.00%, 9/1/48		1,738		1,830
Pool #FM1769, 4.50%, 7/1/47		3,898		4,261
Pool #FM1772, 4.50%, 5/1/47		5,941		6,495
Pool #FM2249, 4.50%, 12/1/44		5,544		6,069
Pool #FM2324, 4.50%, 10/1/46		4,590		5,013
Pool #FM2327, 4.50%, 2/1/47		580		634
Pool #FM2483, 3.50%, 2/1/33		2,814		2,965
Pool #MA0878, 4.00%, 10/1/31		920		1,004
Pool #MA2522, 3.50%, 2/1/46		4,756		5,065

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 31.8% (7) – continued
Fannie Mae – 22.5% – continued
Pool #MA2642, 3.50%, 6/1/46		$5,265		$5,597
Pool #MA2864, 3.50%, 1/1/47		2,773		2,940
Pool #MA3004, 4.00%, 5/1/37		1,032		1,121
Pool #MA3088, 4.00%, 8/1/47		3,024		3,243
Pool #MA3183, 4.00%, 11/1/47		7,190		7,689
Pool #MA3184, 4.50%, 11/1/47		4,840		5,248
Pool #MA3211, 4.00%, 12/1/47		7,264		7,786
Pool #MA3448, 5.00%, 8/1/48		2,220		2,396
				189,464
Freddie Mac – 1.1%
Freddie Mac Multifamily Structured Pass Through Certificates, Series K730, Class A2, 3.59%, 1/25/25		1,790		1,951
Pool #1B3575, (Floating, ICE LIBOR USD 1Y + 1.80%, 1.80% Floor, 11.38% Cap), 4.05%, 9/1/37 (6)		56		56
Pool #1G2296, (Floating, ICE LIBOR USD 1Y + 2.06%, 2.06% Floor, 11.17% Cap), 4.19%, 11/1/37 (6)		257		260
Pool #ZS4639, 4.00%, 11/1/45		6,491		7,013
				9,280
Freddie Mac Gold – 2.6%
Pool #C00910, 7.50%, 1/1/30		119		140
Pool #G01954, 5.00%, 11/1/35		472		524
Pool #G05935, 6.00%, 3/1/36		171		197
Pool #G08731, 2.50%, 11/1/46		2,653		2,763
Pool #G16396, 3.50%, 2/1/33		2,617		2,757

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 31.8% (7) – continued
Freddie Mac Gold – 2.6% – continued
Pool #G18643, 2.50%, 5/1/32		$212		$220
Pool #G60948, 3.00%, 1/1/47		558		590
Pool #G61670, 3.00%, 5/1/47		7,542		7,973
Pool #G61723, 3.50%, 1/1/43		166		179
Pool #G62080, 4.50%, 4/1/46		1,949		2,133
Pool #Q15842, 3.00%, 2/1/43		2,689		2,843
Pool #Q63667, 4.50%, 5/1/49		1,165		1,254
				21,573
Freddie Mac Pool – 2.7%
Pool #SB0084, 3.00%, 2/1/32		2,070		2,169
Pool #SB0216, 3.00%, 12/1/32		1,317		1,384
Pool #SD0033, 3.00%, 12/1/47		1,429		1,511
Pool #SD0039, 4.00%, 2/1/46		9,522		10,279
Pool #ZK7457, 3.50%, 2/1/29		4,365		4,590
Pool #ZT0714, 5.00%, 10/1/48		2,428		2,620
				22,553
Government National Mortgage Association II – 2.9%
Pool #784801, 3.50%, 6/20/47		1,784		1,907
Pool #784832, 2.50%, 10/20/45		13,274		13,962
Pool #MA0782, 3.00%, 2/20/43		6,300		6,761
Pool #MA0850, 2.50%, 3/20/43		1,990		2,092

See Notes to the Financial Statements.

FIXED INCOME FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 31.8% (7) – continued
Government National Mortgage Association II – 2.9% – continued
Pool #MA4008, 5.50%, 10/20/46		$187		$210
				24,932
Total U.S. Government Agencies
(Cost $261,520)				267,802
U.S. GOVERNMENT OBLIGATIONS – 28.9%
U.S. Treasury Bonds – 4.6%
2.38%, 11/15/49		12,593		15,689
2.00%, 2/15/50		20,069		23,249
				38,938
U.S. Treasury Notes – 23.2%
0.38%, 3/31/22		69,820		70,022
0.50%, 3/15/23		57,405		57,768
0.50%, 3/31/25		27,319		27,487
1.50%, 2/15/30		36,803		39,625
				194,902
U.S. Treasury Strips – 1.1%
1.28%, 8/15/49 (9)		14,670		9,664
Total U.S. Government Obligations
(Cost $237,320)				243,504
MUNICIPAL BONDS – 1.0%
California – 0.4%
University of California Regents Medical Center Pooled Taxable Revenue Bonds, Series N, 3.26%, 5/15/60		1,610		1,508
3.71%, 5/15/20 (4)		1,610		1,658
				3,166
Massachusetts – 0.1%
Massachusetts State G.O. Limited Bonds, Series H, Taxable Consolidated Loan of 2019, 2.90%, 9/1/49		750		704
New Jersey – 0.2%
New Jersey State Transportation Trust Fund Authority Transportation System Taxable Revenue Refunding Bonds, 4.13%, 6/15/42		1,610		1,559

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 1.0% – continued
New York – 0.2%
New York State Thruway Authority Taxable Revenue Refunding Bonds, Series M, 3.50%, 1/1/42		$1,585		$1,602
Texas – 0.1%
Texas State Private Activity Bond Surface Transportation Corp. Taxable Revenue Bonds, North Tarrant Express Managed Lanes Project, 3.92%, 12/31/49		1,200		1,186
Total Municipal Bonds
(Cost $8,365)				8,217
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 0.4%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (10)(11)		3,803,955		$3,804
Total Investment Companies
(Cost $3,804)				3,804
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.3%
U.S. Treasury Bill, 0.88%, 7/16/20 (12)(13)		$2,400		$2,399
Total Short-Term Investments
(Cost $2,394)				2,399
Total Investments – 99.8%
(Cost $853,997)				840,173
Other Assets less Liabilities – 0.2%				1,653
NET ASSETS – 100.0%				$841,826

(1) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(2) Perpetual bond. Maturity date represents next call date.

(3) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(4) Century bond maturing in 2120.

(5) Issuer has defaulted on terms of debt obligation. Income is not being accrued.

(6) Variable rate security. Rate as of March 31, 2020 is disclosed.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

FIXED INCOME FUND continued

(7) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(8) Principal Amount and Value rounds to less than one thousand.

(9) Zero coupon bond.

(10) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(11) 7-day current yield as of March 31, 2020 is disclosed.

(12) Discount rate at the time of purchase.

(13) Security pledged as collateral to cover margin requirements for open futures contracts.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1Y – 1 Year

3M – 3 Month

5Y – 5 Year

CMT – Constant Maturity

Fannie Mae – Federal National Mortgage Association

Freddie Mac – Federal Home Loan Mortgage Corporation

G.O. – General Obligation

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

PLC – Public Limited Company

REMIC – Real Estate Mortgage Investment Conduit

S&P – Standard & Poor’s

SOFR – Secured Overnight Financing Rate

USD – United States Dollar

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
5-Year U.S. Treasury Note		92		$11,533		Long		6/20		$65

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

See Notes to the Financial Statements.

FIXED INCOME FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		32.2%
U.S. Agency		28.9
AAA		4.1
AA		1.6
A		5.0
BBB		18.8
BB		4.3
B		3.4
CCC		1.2
Cash Equivalents		0.5
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Asset-Backed Securities (1)		$ –		$30,940		$–		$30,940
Corporate Bonds (1)		–		228,024		–		228,024
Foreign Issuer Bonds (1)		–		55,483		–		55,483
U.S. Government Agencies (1)		–		267,802		–		267,802
U.S. Government Obligations (1)		–		243,504		–		243,504
Municipal Bonds (1)		–		8,217		–		8,217
Investment Companies		3,804		–		–		3,804
Short-Term Investments		–		2,399		–		2,399
Total Investments		$3,804		$836,369		$–		$840,173
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$ 65		$ –		$–		$ 65

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD FIXED INCOME FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6%
Advertising & Marketing – 0.4%
Terrier Media Buyer, Inc., 8.88%, 12/15/27 (1)		$15,150		$12,802
Aerospace & Defense – 1.1%
SSL Robotics LLC, 9.75%, 12/31/23 (1)		12,275		12,643
TransDigm, Inc., 5.50%, 11/15/27 (1)		11,225		10,074
Triumph Group, Inc., 7.75%, 8/15/25		16,750		12,144
				34,861
Airlines – 0.1%
American Airlines Group, Inc., 3.75%, 3/1/25 (1)		6,600		4,620
Automobiles Manufacturing – 1.2%
Ford Motor Credit Co. LLC, 3.81%, 10/12/21		4,250		4,077
4.25%, 9/20/22		4,275		3,976
5.58%, 3/18/24		4,628		4,397
3.66%, 9/8/24		4,275		3,847
4.06%, 11/1/24		3,800		3,449
4.39%, 1/8/26		8,725		7,634
5.11%, 5/3/29		5,318		4,610
General Motors Financial Co., Inc., (Variable, ICE LIBOR USD 3M + 3.60%), 5.75%, 9/30/27 (2)(3)		11,975		7,544
				39,534
Cable & Satellite – 4.4%
CCO Holdings LLC/CCO Holdings Capital Corp., 5.00%, 2/1/28 (1)		26,887		26,954
CSC Holdings LLC, 6.50%, 2/1/29 (1)		22,600		24,374
5.75%, 1/15/30 (1)		10,425		10,513
DISH DBS Corp., 7.75%, 7/1/26		26,417		27,144
GCI LLC, 6.88%, 4/15/25		9,266		9,173
Hughes Satellite Systems Corp., 6.63%, 8/1/26		19,530		19,782
Midcontinent Communications/Midcontinent Finance Corp., 5.38%, 8/15/27 (1)		10,825		10,481

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Cable & Satellite – 4.4% – continued
Radiate Holdco LLC/Radiate Finance, Inc., 6.63%, 2/15/25 (1)		$12,300		$10,455
				138,876
Casinos & Gaming – 1.9%
Boyd Gaming Corp., 4.75%, 12/1/27 (1)		13,350		11,014
Caesars Resort Collection LLC/CRC Finco, Inc., 5.25%, 10/15/25 (1)		12,975		9,370
Eldorado Resorts, Inc., 6.00%, 9/15/26		16,688		15,061
Scientific Games International, Inc., 8.25%, 3/15/26 (1)		16,060		10,280
Station Casinos LLC, 4.50%, 2/15/28 (1)		12,125		9,821
Twin River Worldwide Holdings, Inc., 6.75%, 6/1/27 (1)		8,025		6,019
				61,565
Chemicals – 0.7%
CVR Partners L.P./CVR Nitrogen Finance Corp., 9.25%, 6/15/23 (1)		16,110		12,915
Univar Solutions USA, Inc., 5.13%, 12/1/27 (1)		9,250		8,418
				21,333
Coal Operations – 0.4%
Alliance Resource Operating Partners L.P./Alliance Resource Finance Corp., 7.50%, 5/1/25 (1)		20,092		12,055
Commercial Finance – 0.7%
Fortress Transportation & Infrastructure Investors LLC, 6.75%, 3/15/22 (1)		8,061		7,461
Voyager Aviation Holdings LLC/Voyager Finance Co., 8.50%, 8/15/21 (1)		17,225		16,190
				23,651
Communications Equipment – 0.7%
CommScope, Inc., 6.00%, 3/1/26 (1)		13,300		13,280

See Notes to the Financial Statements.

FIXED INCOME FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Communications Equipment – 0.7% – continued
ViaSat, Inc., 5.63%, 4/15/27 (1)		$7,575		$7,480
				20,760
Construction Materials Manufacturing – 0.4%
Summit Materials LLC/Summit Materials Finance Corp., 6.50%, 3/15/27 (1)		13,601		12,853
Consumer Finance – 3.3%
Credit Acceptance Corp., 6.63%, 3/15/26		16,963		16,110
Curo Group Holdings Corp., 8.25%, 9/1/25 (1)		20,240		14,269
Discover Financial Services, (Variable, ICE LIBOR USD 3M + 3.08%), 5.50%, 10/30/27 (2)(3)		8,825		7,060
Enova International, Inc., 8.50%, 9/15/25 (1)		15,650		13,459
Freedom Mortgage Corp., 8.13%, 11/15/24 (1)		14,673		11,820
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 4.25%, 2/1/27 (1)		6,475		5,115
Navient Corp., 5.00%, 3/15/27		13,100		11,262
Provident Funding Associates L.P./PFG Finance Corp., 6.38%, 6/15/25 (1)		8,697		7,305
Springleaf Finance Corp., 6.88%, 3/15/25		4,175		4,205
5.38%, 11/15/29		13,700		12,536
				103,141
Consumer Products – 0.5%
Energizer Holdings, Inc., 6.38%, 7/15/26 (1)		7,555		7,631
7.75%, 1/15/27 (1)		7,300		7,546
				15,177
Consumer Services – 1.2%
Allied Universal Holdco LLC/Allied Universal Finance Corp., 6.63%, 7/15/26 (1)		10,675		10,488
APX Group, Inc., 6.75%, 2/15/27 (1)		10,335		8,578

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Consumer Services – 1.2% – continued
Prime Security Services Borrower LLC/Prime Finance, Inc., 6.25%, 1/15/28 (1)		$20,875		$18,005
				37,071
Containers & Packaging – 1.4%
Flex Acquisition Co., Inc., 7.88%, 7/15/26 (1)		15,199		13,999
Greif, Inc., 6.50%, 3/1/27 (1)		6,478		6,213
LABL Escrow Issuer LLC, 6.75%, 7/15/26 (1)		5,075		4,669
Mauser Packaging Solutions Holding Co., 7.25%, 4/15/25 (1)		13,642		10,845
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer (Luxembourg), 7.00%, 7/15/24 (1)		7,050		7,165
				42,891
Entertainment Content – 1.1%
Allen Media LLC/Allen Media Co-Issuer, Inc., 10.50%, 2/15/28 (1)		14,635		11,981
Diamond Sports Group LLC/Diamond Sports Finance Co., 5.38%, 8/15/26 (1)		10,775		8,755
6.63%, 8/15/27 (1)		18,925		12,656
				33,392
Entertainment Resources – 0.2%
AMC Entertainment Holdings, Inc., 5.88%, 11/15/26		13,205		5,480
Exploration & Production – 3.0%
Berry Petroleum Co. LLC, 7.00%, 2/15/26 (1)		17,600		7,040
Chesapeake Energy Corp., 11.50%, 1/1/25 (1)		9,100		1,547
Denbury Resources, Inc., 9.00%, 5/15/21 (1)		19,408		5,677
Energy Ventures Gom LLC/EnVen Finance Corp., 11.00%, 2/15/23 (1)		19,900		11,542
EQT Corp., 7.00%, 2/1/30		20,955		15,612

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Exploration & Production – 3.0% – continued
Gulfport Energy Corp., 6.38%, 1/15/26		$22,690		$4,434
Hilcorp Energy I L.P./Hilcorp Finance Co., 6.25%, 11/1/28 (1)		11,542		5,078
Indigo Natural Resources LLC, 6.88%, 2/15/26 (1)		19,670		12,982
Laredo Petroleum, Inc., 9.50%, 1/15/25		17,240		6,896
SM Energy Co., 5.63%, 6/1/25		12,210		3,327
Southwestern Energy Co., 6.20%, 1/23/25		19,163		13,049
Whiting Petroleum Corp., 6.63%, 1/15/26 (4)		20,499		1,384
WPX Energy, Inc., 4.50%, 1/15/30		8,775		4,765
				93,333
Financial Services – 1.4%
Advisor Group Holdings, Inc., 10.75%, 8/1/27 (1)		10,875		9,461
LPL Holdings, Inc., 5.75%, 9/15/25 (1)		11,943		11,465
Nationstar Mortgage Holdings, Inc., 6.00%, 1/15/27 (1)		11,350		9,648
NFP Corp., 6.88%, 7/15/25 (1)		13,275		13,076
				43,650
Food & Beverage – 2.9%
Dole Food Co., Inc., 7.25%, 6/15/25 (1)		12,905		10,195
Kraft Heinz Foods Co., 4.63%, 1/30/29		8,175		8,179
5.00%, 7/15/35		4,075		4,051
5.00%, 6/4/42		17,505		16,573
5.20%, 7/15/45		16,900		16,248
4.38%, 6/1/46		4,350		3,919
NBM US Holdings, Inc., 7.00%, 5/14/26		16,275		14,770
Simmons Foods, Inc., 5.75%, 11/1/24 (1)		19,162		17,395
				91,330

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Forest & Paper Products Manufacturing – 0.7%
Schweitzer-Mauduit International, Inc., 6.88%, 10/1/26 (1)		$20,925		$20,820
Hardware – 1.7%
Dell International LLC/EMC Corp., 5.30%, 10/1/29 (1)		13,825		14,103
Everi Payments, Inc., 7.50%, 12/15/25 (1)		13,927		10,585
NCR Corp., 6.13%, 9/1/29 (1)		17,490		16,334
TTM Technologies, Inc., 5.63%, 10/1/25 (1)		16,030		13,465
				54,487
Health Care Facilities & Services – 3.7%
Catalent Pharma Solutions, Inc., 5.00%, 7/15/27 (1)		7,675		7,445
CHS/Community Health Systems, Inc., 6.63%, 2/15/25 (1)		17,400		16,095
Encompass Health Corp., 4.75%, 2/1/30		5,250		5,145
Envision Healthcare Corp., 8.75%, 10/15/26 (1)		14,250		3,491
HCA, Inc., 5.88%, 2/1/29		20,830		22,028
LifePoint Health, Inc., 4.38%, 2/15/27 (1)		13,025		12,269
MEDNAX, Inc., 6.25%, 1/15/27 (1)		11,265		9,040
Tenet Healthcare Corp., 8.13%, 4/1/22		19,249		18,335
4.88%, 1/1/26 (1)		8,825		8,406
Vizient, Inc., 6.25%, 5/15/27 (1)		3,632		3,543
West Street Merger Sub, Inc., 6.38%, 9/1/25 (1)		13,189		11,497
				117,294
Home & Office Products Manufacturing – 0.5%
Newell Brands, Inc., 5.63%, 4/1/36		14,750		14,622
Home Improvement – 1.5%
Cornerstone Building Brands, Inc., 8.00%, 4/15/26 (1)		10,695		9,198

See Notes to the Financial Statements.

FIXED INCOME FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Home Improvement – 1.5% – continued
Griffon Corp., 5.75%, 3/1/28 (1)		$7,925		$7,450
Patrick Industries, Inc., 7.50%, 10/15/27 (1)		13,325		13,058
PGT Innovations, Inc., 6.75%, 8/1/26 (1)		19,335		18,513
				48,219
Homebuilders – 1.3%
Beazer Homes USA, Inc., 5.88%, 10/15/27		9,600		7,248
Century Communities, Inc., 5.88%, 7/15/25		12,590		10,607
Forestar Group, Inc., 5.00%, 3/1/28 (1)		10,575		8,781
LGI Homes, Inc., 6.88%, 7/15/26 (1)		15,298		13,310
				39,946
Industrial Other – 0.7%
Ahern Rentals, Inc., 7.38%, 5/15/23 (1)		15,175		8,650
Capitol Investment Merger Sub 2 LLC, 10.00%, 8/1/24 (1)		15,575		14,017
				22,667
Internet Media – 0.7%
GrubHub Holdings, Inc., 5.50%, 7/1/27 (1)		9,850		8,717
Netflix, Inc., 6.38%, 5/15/29		12,425		13,540
				22,257
Investment Companies – 0.6%
Icahn Enterprises L.P./Icahn Enterprises Finance Corp., 5.25%, 5/15/27		21,350		19,722
Leisure Products Manufacturing – 0.3%
Mattel, Inc., 5.88%, 12/15/27		10,650		10,946
Machinery Manufacturing – 0.2%
Amsted Industries, Inc., 5.63%, 7/1/27 (1)		7,850		7,637
Managed Care – 0.8%
Centene Corp., 4.25%, 12/15/27 (1)		3,100		3,038

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Managed Care – 0.8% – continued
4.63%, 12/15/29 (1)		$17,925		$18,015
3.38%, 2/15/30 (1)		3,050		2,836
				23,889
Manufactured Goods – 0.3%
Foxtrot Escrow Issuer LLC/Foxtrot Escrow Corp., 12.25%, 11/15/26 (1)		13,725		10,706
Medical Equipment & Devices Manufacturing – 0.4%
Avantor, Inc., 9.00%, 10/1/25 (1)		12,161		12,802
Metals & Mining – 2.5%
Arconic Corp., 6.13%, 2/15/28 (1)		6,050		6,186
Commercial Metals Co., 5.75%, 4/15/26		16,548		15,446
Freeport-McMoRan, Inc., 5.45%, 3/15/43		18,960		16,969
Joseph T Ryerson & Son, Inc., 11.00%, 5/15/22 (1)		14,417		13,408
Novelis Corp., 4.75%, 1/30/30 (1)		13,150		11,703
United States Steel Corp., 6.88%, 8/15/25		23,800		16,596
				80,308
Oil & Gas Services & Equipment – 0.5%
Oceaneering International, Inc., 6.00%, 2/1/28		21,295		8,154
USA Compression Partners L.P./USA Compression Finance Corp., 6.88%, 4/1/26		11,466		7,166
				15,320
Pharmaceuticals – 1.2%
Bausch Health Americas, Inc., 8.50%, 1/31/27 (1)		17,415		18,199
Horizon Therapeutics USA, Inc., 5.50%, 8/1/27 (1)		10,450		10,491
JPR Royalty Sub LLC, 14.00%, 9/1/20 (1)(5)(6)		8,000		4,000
Par Pharmaceutical, Inc., 7.50%, 4/1/27 (1)		5,175		5,149
				37,839

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Pipeline – 3.8%
American Midstream Partners L.P./American Midstream Finance Corp., 9.50%, 12/15/21 (1)		$24,298		$22,840
Cheniere Energy Partners L.P., 4.50%, 10/1/29 (1)		7,850		6,829
Crestwood Midstream Partners L.P./Crestwood Midstream Finance Corp., 5.63%, 5/1/27 (1)		9,075		4,989
EnLink Midstream Partners L.P., (Variable, ICE LIBOR USD 3M + 4.11%), 6.00%, 12/15/22 (2)(3)		19,300		3,474
Genesis Energy L.P./Genesis Energy Finance Corp., 6.00%, 5/15/23		14,084		10,216
Global Partners L.P./GLP Finance Corp., 7.00%, 6/15/23		9,179		7,527
7.00%, 8/1/27		10,860		8,145
Holly Energy Partners L.P./Holly Energy Finance Corp., 5.00%, 2/1/28 (1)		5,325		4,460
Martin Midstream Partners L.P./Martin Midstream Finance Corp., 7.25%, 2/15/21		12,877		6,907
NGL Energy Partners L.P./NGL Energy Finance Corp., 7.50%, 11/1/23		14,170		4,924
7.50%, 4/15/26		6,625		2,257
NuStar Logistics L.P., 6.00%, 6/1/26		6,580		4,869
PBF Logistics L.P./PBF Logistics Finance Corp., 6.88%, 5/15/23		16,666		10,333
Plains All American Pipeline L.P., (Variable, ICE LIBOR USD 3M + 4.11%), 6.13%, 11/15/22 (2)(3)		16,800		8,400
Suburban Propane Partners L.P./Suburban Energy Finance Corp., 5.88%, 3/1/27		6,970		6,421
Targa Resources Partners L.P./Targa Resources Partners Finance Corp., 6.50%, 7/15/27		7,025		5,989
				118,580

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Power Generation – 2.7%
Calpine Corp., 5.50%, 2/1/24		$21,145		$20,088
5.13%, 3/15/28		19,662		18,089
Clearway Energy Operating LLC, 4.75%, 3/15/28 (1)		12,125		11,246
NRG Energy, Inc., 5.75%, 1/15/28		18,065		18,426
Vistra Operations Co. LLC, 5.63%, 2/15/27 (1)		17,125		17,660
				85,509
Property & Casualty Insurance – 1.0%
Acrisure LLC/Acrisure Finance, Inc., 7.00%, 11/15/25 (1)		15,645		13,455
GTCR AP Finance, Inc., 8.00%, 5/15/27 (1)		10,700		9,844
USI, Inc., 6.88%, 5/1/25 (1)		9,054		8,420
				31,719
Publishing & Broadcasting – 3.5%
Clear Channel Outdoor Holdings, Inc., 9.25%, 2/15/24 (1)		5,402		4,632
5.13%, 8/15/27 (1)		14,725		13,934
Cumulus Media New Holdings, Inc., 6.75%, 7/1/26 (1)		8,785		7,863
Entercom Media Corp., 7.25%, 11/1/24 (1)		18,550		15,489
Gray Television, Inc., 7.00%, 5/15/27 (1)		17,160		17,074
iHeartCommunications, Inc., 5.25%, 8/15/27 (1)		4,450		3,894
Meredith Corp., 6.88%, 2/1/26		17,425		15,287
Nexstar Broadcasting, Inc., 5.63%, 7/15/27 (1)		12,850		12,561
Sirius XM Radio, Inc., 5.50%, 7/1/29 (1)		7,650		7,803
TEGNA, Inc., 5.00%, 9/15/29 (1)		12,250		11,059
				109,596
Real Estate – 0.5%
ESH Hospitality, Inc., 4.63%, 10/1/27 (1)		10,625		8,288

See Notes to the Financial Statements.

FIXED INCOME FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Real Estate – 0.5% – continued
Uniti Group L.P./Uniti Fiber Holdings, Inc./CSL Capital LLC, 7.88%, 2/15/25 (1)		$7,900		$7,263
				15,551
Real Estate Investment Trusts – 0.3%
iStar, Inc., 4.75%, 10/1/24		10,150		8,526
Refining & Marketing – 0.8%
CVR Energy, Inc., 5.75%, 2/15/28 (1)		16,640		12,438
PBF Holding Co LLC/PBF Finance Corp., 6.00%, 2/15/28 (1)		12,125		8,003
Sunoco L.P./Sunoco Finance Corp., 5.50%, 2/15/26		6,876		5,950
				26,391
Restaurants – 0.8%
Golden Nugget, Inc., 6.75%, 10/15/24 (1)		20,910		13,171
IRB Holding Corp., 6.75%, 2/15/26 (1)		14,773		11,640
				24,811
Retail – Consumer Discretionary – 2.4%
KGA Escrow LLC, 7.50%, 8/15/23 (1)		16,999		15,469
Lithia Motors, Inc., 4.63%, 12/15/27 (1)		12,450		11,206
Party City Holdings, Inc., 6.63%, 8/1/26 (1)		18,785		1,879
PetSmart, Inc., 7.13%, 3/15/23 (1)		16,000		14,900
Sonic Automotive, Inc., 6.13%, 3/15/27		18,681		16,439
Staples, Inc., 7.50%, 4/15/26 (1)		17,896		15,816
				75,709
Software & Services – 4.0%
Banff Merger Sub, Inc., 9.75%, 9/1/26 (1)		11,225		9,878
Castle US Holding Corp., 9.50%, 2/15/28 (1)		7,980		7,581

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Software & Services – 4.0% – continued
MPH Acquisition Holdings LLC, 7.13%, 6/1/24 (1)		$18,731		$16,297
Open Text Holdings, Inc., 4.13%, 2/15/30 (1)		5,900		5,548
Rackspace Hosting, Inc., 8.63%, 11/15/24 (1)		15,275		13,709
Refinitiv US Holdings, Inc., 8.25%, 11/15/26 (1)		20,125		21,232
Solera LLC/Solera Finance, Inc., 10.50%, 3/1/24 (1)		22,614		22,162
Sophia L.P./Sophia Finance, Inc., 9.00%, 9/30/23 (1)		7,880		7,880
Tempo Acquisition LLC/Tempo Acquisition Finance Corp., 6.75%, 6/1/25 (1)		4,494		4,112
Verscend Escrow Corp., 9.75%, 8/15/26 (1)		17,325		17,292
				125,691
Supermarkets & Pharmacies – 0.6%
Albertsons Cos., Inc./Safeway, Inc./New Albertsons L.P./Albertsons LLC, 7.50%, 3/15/26 (1)		12,400		13,365
4.88%, 2/15/30 (1)		4,450		4,439
				17,804
Technology – 0.4%
Iron Mountain, Inc., 4.88%, 9/15/29 (1)		14,814		13,916
Transportation & Logistics – 1.3%
Allison Transmission, Inc., 5.88%, 6/1/29 (1)		8,025		7,544
Cargo Aircraft Management, Inc., 4.75%, 2/1/28 (1)		12,275		11,385
Navistar International Corp., 6.63%, 11/1/25 (1)		20,638		17,181
XPO Logistics, Inc., 6.75%, 8/15/24 (1)		5,125		5,011
				41,121
Utilities – 0.4%
Talen Energy Supply LLC, 6.63%, 1/15/28 (1)		16,875		14,175

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 71.6% – continued
Waste & Environment Services & Equipment – 0.5%
Covanta Holding Corp., 5.88%, 7/1/25		$17,004		$15,644
Wireless Telecommunications Services – 2.3%
Sprint Capital Corp., 6.88%, 11/15/28		21,853		24,960
8.75%, 3/15/32		25,450		33,658
Trilogy International Partners LLC/Trilogy International Finance, Inc., 8.88%, 5/1/22 (1)		16,250		13,691
				72,309
Wireline Telecommunications Services – 1.7%
CenturyLink, Inc., 5.13%, 12/15/26 (1)		11,050		11,050
4.00%, 2/15/27 (1)		8,050		7,808
Cincinnati Bell, Inc., 7.00%, 7/15/24 (1)		11,925		12,000
Front Range BidCo, Inc., 6.13%, 3/1/28 (1)		11,825		11,234
Level 3 Financing, Inc., 4.63%, 9/15/27 (1)		11,225		11,156
				53,248
Total Corporate Bonds
(Cost $2,715,924)				2,258,156
FOREIGN ISSUER BONDS – 23.5%
Aerospace & Defense – 0.9%
Bombardier, Inc., 7.50%, 12/1/24 (1)		18,257		12,323
TransDigm UK Holdings PLC, 6.88%, 5/15/26		15,650		14,555
				26,878
Airlines – 0.4%
Virgin Australia Holdings Ltd., 7.88%, 10/15/21 (1)		25,450		11,465
Auto Parts Manufacturing – 0.8%
Dana Financing Luxembourg S.a.r.l., 5.75%, 4/15/25 (1)		21,325		18,553
IHO Verwaltungs GmbH, 6.00%, (100% Cash), 5/15/27 (1)(7)		11,400		7,980
				26,533

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 23.5% – continued
Banks – 0.3%
ING Groep N.V., (Variable, USD Swap 5Y + 4.45%), 6.50%, 4/16/25 (2)(3)		$10,971		$9,141
Cable & Satellite – 4.0%
Altice Financing S.A., 7.50%, 5/15/26 (1)		16,195		15,691
5.00%, 1/15/28 (1)		19,825		17,545
Intelsat Jackson Holdings S.A., 8.50%, 10/15/24 (1)(4)		37,875		23,850
LCPR Senior Secured Financing DAC, 6.75%, 10/15/27 (1)		22,820		22,478
Telenet Finance Luxembourg Notes S.a.r.l., 5.50%, 3/1/28 (1)		16,250		15,356
UPC Holding B.V., 5.50%, 1/15/28 (1)		20,575		19,340
Ziggo Bond Co. B.V., 6.00%, 1/15/27 (1)		12,775		12,392
				126,652
Casinos & Gaming – 0.6%
Melco Resorts Finance Ltd., 5.63%, 7/17/27 (1)		9,325		8,117
Wynn Macau Ltd., 5.50%, 10/1/27 (1)		12,982		11,515
				19,632
Chemicals – 0.2%
Starfruit Finco B.V./Starfruit US Holdco LLC, 8.00%, 10/1/26 (1)		6,475		6,146
Commercial Finance – 0.2%
AerCap Holdings N.V., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 4.54%), 5.88%, 10/10/79 (2)		10,375		7,159
Consumer Finance – 0.5%
Fairstone Financial, Inc., 7.88%, 7/15/24 (1)		18,072		16,988
Containers & Packaging – 0.3%
ARD Finance S.A., 6.50%, 6/30/27 (1)(7)		12,375		10,629

See Notes to the Financial Statements.

FIXED INCOME FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 23.5% – continued
Diversified Banks – 1.9%
Barclays PLC, (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 5.67%), 8.00%, 6/15/24 (2)(3)		$13,575		$12,606
BNP Paribas S.A., (Variable, USD Swap 5Y + 5.15%), 7.38%, 8/19/25 (1)(2)(3)		13,450		12,845
Credit Agricole S.A., (Variable, USD Swap 5Y + 4.90%), 7.88%, 1/23/24 (1)(2)(3)		11,668		11,259
Credit Suisse Group A.G., (Variable, USD Swap 5Y + 4.60%), 7.50%, 7/17/23 (1)(2)(3)		12,125		11,174
Deutsche Bank A.G., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 4.52%), 6.00%, 10/30/25 (2)(3)		12,500		8,369
HSBC Holdings PLC, (Variable, USD ICE Swap Rate 5Y + 3.75%), 6.00%, 5/22/27 (2)(3)		5,433		5,148
				61,401
Financial Services – 0.9%
Altice France Holding S.A., 10.50%, 5/15/27 (1)		11,675		12,317
VistaJet Malta Finance PLC/XO Management Holding, Inc., 10.50%, 6/1/24 (1)		19,025		15,387
				27,704
Food & Beverage – 1.2%
JBS USA LUX S.A./JBS USA Food Co./JBS USA Finance, Inc., 6.50%, 4/15/29 (1)		17,300		18,558
5.50%, 1/15/30 (1)		5,000		5,162
Sigma Holdco B.V., 7.88%, 5/15/26		14,470		13,023
				36,743
Machinery Manufacturing – 0.2%
Husky III Holding Ltd., 13.00%, 2/15/25 (1)(7)		8,090		5,942
Metals & Mining – 1.6%
First Quantum Minerals Ltd., 7.25%, 4/1/23 (1)		11,175		9,408
6.50%, 3/1/24 (1)		12,250		10,168

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 23.5% – continued
Metals & Mining – 1.6% – continued
New Gold, Inc., 6.25%, 11/15/22 (1)		$5,725		$5,560
6.38%, 5/15/25 (1)		14,911		13,858
Northwest Acquisitions ULC/Dominion Finco, Inc., 7.13%, 11/1/22 (1)		14,891		7,297
Vedanta Resources Ltd., 6.38%, 7/30/22 (1)		11,510		4,264
				50,555
Oil & Gas Services & Equipment – 0.4%
Nabors Industries Ltd., 7.25%, 1/15/26 (1)		9,900		3,366
Noble Holding International Ltd., 7.88%, 2/1/26 (1)		7,350		1,764
6.05%, 3/1/41		11,525		576
Valaris PLC, 7.38%, 6/15/25		17,119		3,424
5.75%, 10/1/44		29,486		1,972
				11,102
Pharmaceuticals – 2.6%
Bausch Health Cos., Inc., 5.00%, 1/30/28 (1)		8,500		8,047
5.25%, 1/30/30 (1)		35,975		34,017
Endo Dac/Endo Finance LLC/Endo Finco, Inc., 6.00%, 7/15/23 (1)		25,621		18,559
Teva Pharmaceutical Finance Netherlands III B.V., 7.13%, 1/31/25 (1)		8,625		8,539
6.75%, 3/1/28		13,275		12,644
				81,806
Power Generation – 0.6%
Drax Finco PLC, 6.63%, 11/1/25 (1)		19,052		19,100
Property & Casualty Insurance – 0.5%
Ardonagh Midco 3 PLC, 8.63%, 7/15/23 (1)		16,910		15,050
Refining & Marketing – 1.0%
eG Global Finance PLC, 6.75%, 2/7/25 (1)		14,950		12,259

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 23.5% – continued
Refining & Marketing – 1.0% – continued
Parkland Fuel Corp., 6.00%, 4/1/26 (1)		$19,431		$18,071
				30,330
Technology – 0.3%
Sixsigma Networks Mexico S.A. de C.V., 7.50%, 5/2/25 (1)		15,825		11,077
Travel & Lodging – 0.2%
Viking Cruises Ltd., 5.88%, 9/15/27 (1)		12,176		7,124
Trucking & Leasing – 0.4%
Fly Leasing Ltd., 5.25%, 10/15/24		15,615		13,117
Wireless Telecommunications Services – 3.3%
Altice France S.A., 7.38%, 5/1/26 (1)		27,362		27,161
C&W Senior Financing DAC, 6.88%, 9/15/27 (1)		24,325		20,980
Connect Finco S.a.r.l./Connect US Finco LLC, 6.75%, 10/1/26 (1)		18,575		15,348
Digicel Group One Ltd., 8.25%, 12/30/22 (1)(4)		11,085		5,265
Millicom International Cellular S.A., 5.13%, 1/15/28 (1)		19,853		17,272
Telesat Canada/Telesat LLC, 6.50%, 10/15/27 (1)		17,800		17,088
				103,114
Wireline Telecommunications Services – 0.2%
Telecom Italia Capital S.A., 6.38%, 11/15/33		6,551		6,649
Total Foreign Issuer Bonds
(Cost $917,213)				742,037
TERM LOANS – 2.1% (8)
Consumer Services – 0.7%
TruGreen L.P., Initial Refinancing Term Loan, (Floating, ICE LIBOR USD 1M + 3.75%, 1.00% Floor), 4.75%, 3/19/26		21,939		19,855

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 2.1% (8) – continued
Department Stores – 0.3%
J.C. Penney Corp., Inc., Loan, (Floating, ICE LIBOR USD 2M + 4.25%, 1.00% Floor), 5.86%, 6/23/23		$24,577		$9,667
Pharmaceuticals – 0.5%
Alvogen Pharma U.S., Inc., January 2020 Loan, (Floating, ICE LIBOR USD 3M + 5.25%, 1.00% Floor), 6.32%, 12/31/23		19,033		16,273
Retail – Consumer Discretionary – 0.6%
Bass Pro Group LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 5.00%, 0.75% Floor), 6.07%, 9/25/24		23,303		19,458
Total Term Loans
(Cost $88,541)				65,253
	NUMBER OF SHARES		VALUE (000s)
PREFERRED STOCKS – 0.4%
Banks – 0.4%
GMAC Capital Trust I, (Variable, ICE LIBOR USD 3M + 5.79%), 7.48% (8)		652,459		$13,473
Total Preferred Stocks
(Cost $15,569)				13,473
INVESTMENT COMPANIES – 0.8%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (9)(10)		24,246,101		24,246
Total Investment Companies
(Cost $24,246)				24,246
Total Investments – 98.4%
(Cost $3,761,493)				3,103,165
Other Assets less Liabilities – 1.6%				50,082
NET ASSETS – 100.0%				$3,153,247

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 54 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

(3) Perpetual bond. Maturity date represents next call date.

(4) Issuer has defaulted on terms of debt obligation. Income is not being accrued.

(5) Restricted security that has been deemed illiquid. At March 31, 2020, the value of this restricted illiquid security amounted to approximately $4,000,000 or 0.1% of net assets. Additional information on this restricted illiquid security is as follows:

SECURITY	ACQUISITION AND ENFORCEABLE DATE		COST (000s)
JPR Royalty Sub LLC, 14.00%, 9/1/20		3/10/11		$8,000

(6) Issuer has defaulted on terms of debt obligation.

(7) Security is a payment in-kind bond (PIK), distributions received in-kind unless otherwise noted in the description.

(8) Variable rate security. Rate as of March 31, 2020 is disclosed.

(9) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(10) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

2M – 2 Month

3M – 3 Month

5Y – 5 Year

CMT – Constant Maturity

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

PLC – Public Limited Company

S&P – Standard & Poor’s

USD – United States Dollar

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
BBB		1.4%
BB		31.2
B		48.8
CCC		17.6
CC		0.1
Not Rated		0.1
Cash Equivalents		0.8
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Corporate Bonds (1)		$–		$2,258,156		$–		$2,258,156
Foreign Issuer Bonds (1)		–		742,037		–		742,037
Term Loans (1)		–		65,253		–		65,253
Preferred Stocks (1)		–		13,473		–		13,473
Investment Companies		24,246		–		–		24,246
Total Investments		$24,246		$3,078,919		$–		$3,103,165

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 55 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT BOND FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 18.4%
Automobile – 2.3%
CarMax Auto Owner Trust, Series 2020-1, Class A3 1.89%, 12/16/24		$560		$562
Drive Auto Receivables Trust, Series 2020-1, Class A2 1.99%, 12/15/22		400		401
Enterprise Fleet Financing LLC, Series 2020-1, Class A3 1.86%, 12/22/25 (1)		2,250		2,174
Ford Credit Auto Lease Trust, Series 2020-A, Class A3 1.85%, 3/15/23		1,200		1,180
GM Financial Automobile Leasing Trust, Series 2020-1, Class A3 1.67%, 12/20/22		490		481
GM Financial Consumer Automobile Receivables Trust, Series 2020-1, Class A3 1.84%, 9/16/24		790		790
Hyundai Auto Lease Securitization Trust, Series 2020-A, Class A3 1.95%, 7/17/23 (1)		3,000		3,000
				8,588
Commercial Mortgage-Backed Securities – 7.2%
BANK, Series 2018-BN14, Class A2 4.13%, 9/15/60		3,880		4,117
BENCHMARK Mortgage Trust, Series 2018-B2, Class A2 3.66%, 2/15/51		2,355		2,442
BENCHMARK Mortgage Trust, Series 2018-B6, Class A2 4.20%, 10/10/51		3,285		3,488
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2016-JP3, Class A2 2.43%, 8/15/49		3,824		3,826
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C12, Class A4 4.26%, 10/15/46		575		608
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C7, Class A4 2.92%, 2/15/46		2,200		2,207

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 18.4% – continued
Commercial Mortgage-Backed Securities – 7.2% – continued
UBS-Barclays Commercial Mortgage Trust, Series 2012-C3, Class A4 3.09%, 8/10/49		$5,068		$5,078
WFRBS Commercial Mortgage Trust, Series 2012-C10, Class A3 2.88%, 12/15/45		4,960		4,963
				26,729
Credit Card – 5.8%
American Express Credit Account Master Trust, Series 2018-8, Class A 3.18%, 4/15/24		5,200		5,329
American Express Credit Account Master Trust, Series 2019-1, Class A 2.87%, 10/15/24		1,845		1,901
BA Credit Card Trust, Series 2019-A1, Class A1 1.74%, 1/15/25		880		889
Capital One Multi-Asset Execution Trust, Series 2019-A1, Class A1 2.84%, 12/15/24		1,005		1,033
Discover Card Execution Note Trust, Series 2018-A5, Class A5 3.32%, 3/15/24		1,415		1,431
Discover Card Execution Note Trust, Series 2019-A1, Class A1 3.04%, 7/15/24		3,700		3,813
Golden Credit Card Trust, Series 2019-2A, Class A (Floating, ICE LIBOR USD 1M + 0.35%, 0.35% Floor), 1.05%, 10/15/23 (2)		1,000		974
Master Credit Card Trust II, Series 2020-1A, Class A 1.99%, 9/21/24 (1)		2,200		2,203
Synchrony Card Funding LLC, Series 2019-A1, Class A 2.95%, 3/15/25		3,210		3,250
World Financial Network Credit Card Master Trust, Series 2019-C, Class A 2.21%, 7/15/26		1,000		960
				21,783
Other – 3.1%
CNH Equipment Trust, Series 2018-A, Class A3 3.12%, 7/17/23		2,259		2,279

See Notes to the Financial Statements.

FIXED INCOME FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 18.4% – continued
Other – 3.1% – continued
CNH Equipment Trust, Series 2019-A, Class A3 3.01%, 4/15/24		$2,900		$2,882
CNH Equipment Trust, Series 2019-B, Class A3 2.52%, 8/15/24		2,540		2,585
John Deere Owner Trust, Series 2019-A, Class A3 2.91%, 7/17/23		2,175		2,214
Verizon Owner Trust, Series 2020-A, Class A1A 1.85%, 7/22/24		1,550		1,512
				11,472
Total Asset-Backed Securities
(Cost $68,025)				68,572
CORPORATE BONDS – 23.4%
Aerospace & Defense – 0.8%
Boeing (The) Co., 2.80%, 3/1/23		1,180		1,106
Spirit AeroSystems, Inc., (Floating, ICE LIBOR USD 3M + 0.80%), 1.54%, 6/15/21 (2)		1,830		1,742
				2,848
Airlines – 0.6%
American Airlines Group, Inc., 3.75%, 3/1/25 (1)		1,100		770
Delta Air Lines, Inc., 3.40%, 4/19/21		1,530		1,393
				2,163
Automobiles Manufacturing – 0.1%
Hyundai Capital America, 2.85%, 11/1/22 (1)		530		518
Banks – 1.8%
Capital One N.A., (Floating, ICE LIBOR USD 3M + 1.15%), 2.92%, 1/30/23 (2)		1,000		926
CIT Bank N.A., (Variable, U.S. SOFR + 1.72%), 2.97%, 9/27/25 (3)		450		380
Discover Bank, 3.20%, 8/9/21		805		797

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Banks – 1.8% – continued
Fifth Third Bancorp, 2.38%, 1/28/25		$265		$252
KeyBank N.A., 1.25%, 3/10/23		600		588
PNC Bank N.A., (Floating, ICE LIBOR USD 3M + 0.31%), 1.21%, 6/10/21 (2)		750		737
(Floating, ICE LIBOR USD 3M + 0.43%), 1.43%, 12/9/22 (2)		1,000		944
Synchrony Bank, 3.65%, 5/24/21		580		571
Wells Fargo & Co., 2.50%, 3/4/21		1,320		1,320
				6,515
Cable & Satellite – 0.2%
Charter Communications Operating LLC/Charter Communications Operating Capital, 3.58%, 7/23/20		620		618
Comcast Corp., 3.00%, 2/1/24		300		315
				933
Chemicals – 0.9%
Albemarle Corp., (Floating, ICE LIBOR USD 3M + 1.05%), 2.74%, 11/15/22 (1)(2)		350		333
DuPont de Nemours, Inc., 4.21%, 11/15/23		890		937
Eastman Chemical Co., 3.50%, 12/1/21		1,110		1,140
Mosaic (The) Co., 3.75%, 11/15/21		1,124		1,017
				3,427
Commercial Finance – 0.2%
Air Lease Corp., 3.50%, 1/15/22		986		891
Consumer Finance – 1.5%
Ally Financial, Inc., 3.88%, 5/21/24		1,000		900
American Express Co., 2.50%, 7/30/24		1,000		1,012

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 57 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Consumer Finance – 1.5% – continued
Capital One Financial Corp., (Floating, ICE LIBOR USD 3M + 0.95%), 1.95%, 3/9/22 (2)		$1,120		$1,072
Fiserv, Inc., 2.75%, 7/1/24		260		261
Global Payments, Inc., 2.65%, 2/15/25		500		491
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 4.25%, 2/1/27 (1)		1,100		869
PayPal Holdings, Inc., 2.40%, 10/1/24		660		645
Synchrony Financial, 2.85%, 7/25/22		230		218
				5,468
Containers & Packaging – 0.3%
Graphic Packaging International LLC, 4.75%, 7/15/27 (1)		1,180		1,154
Diversified Banks – 1.2%
Bank of America Corp., (Floating, ICE LIBOR USD 3M + 0.96%), 2.77%, 7/23/24 (2)		995		912
(Floating, ICE LIBOR USD 3M + 0.76%), 1.50%, 9/15/26 (2)		895		800
Citigroup, Inc., 2.70%, 3/30/21		725		728
(Floating, ICE LIBOR USD 3M + 0.69%), 2.48%, 10/27/22 (2)		1,010		955
JPMorgan Chase & Co., (Variable, ICE LIBOR USD 3M + 0.70%), 3.21%, 4/1/23 (3)		1,035		1,053
				4,448
Electrical Equipment Manufacturing – 0.8%
Amphenol Corp., 2.05%, 3/1/25		780		737
Carrier Global Corp., 1.92%, 2/15/23 (1)		200		197
Keysight Technologies, Inc., 4.55%, 10/30/24		850		888
Otis Worldwide Corp., 2.06%, 4/5/25 (1)		800		782

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Electrical Equipment Manufacturing – 0.8% – continued
Roper Technologies, Inc., 2.35%, 9/15/24		$470		$452
				3,056
Exploration & Production – 0.2%
Apache Corp., 3.25%, 4/15/22		52		39
EQT Corp., 6.13%, 2/1/25		1,100		847
				886
Financial Services – 1.6%
Ameriprise Financial, Inc., 3.00%, 3/22/22		710		719
Ares Capital Corp., 4.20%, 6/10/24		950		842
Goldman Sachs Group (The), Inc., (Floating, ICE LIBOR USD 3M + 1.05%), 2.36%, 6/5/23 (2)		1,255		1,201
Icahn Enterprises L.P./Icahn Enterprises Finance Corp., 4.75%, 9/15/24		950		874
Morgan Stanley, 5.75%, 1/25/21		100		103
5.50%, 7/28/21		1,005		1,043
(Variable, U.S. SOFR + 1.15%), 2.72%, 7/22/25 (3)		230		230
State Street Corp., (Variable, U.S. SOFR + 0.94%), 2.35%, 11/1/25 (3)		850		832
				5,844
Food & Beverage – 0.3%
Smithfield Foods, Inc., 2.65%, 10/3/21 (1)		1,185		1,066
Hardware – 0.5%
Dell International LLC/EMC Corp., 5.45%, 6/15/23 (1)		460		473
Hewlett Packard Enterprise Co., 3.50%, 10/5/21		670		676
4.40%, 10/15/22		685		698
				1,847
Health Care Facilities & Services – 0.6%
Cigna Corp., (Floating, ICE LIBOR USD 3M + 0.65%), 1.49%, 9/17/21 (2)		1,000		960

See Notes to the Financial Statements.

FIXED INCOME FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Health Care Facilities & Services – 0.6% – continued
CVS Health Corp., 2.63%, 8/15/24		$610		$619
McKesson Corp., 3.65%, 11/30/20		690		695
				2,274
Home Improvement – 0.2%
Masco Corp., 3.50%, 4/1/21		595		590
Homebuilders – 0.7%
D.R. Horton, Inc., 2.55%, 12/1/20		1,535		1,514
Forestar Group, Inc., 5.00%, 3/1/28 (1)		1,100		913
				2,427
Industrial Other – 0.2%
WW Grainger, Inc., 1.85%, 2/15/25		650		651
Life Insurance – 1.0%
MassMutual Global Funding II, 2.25%, 7/1/22 (1)		1,880		1,885
Principal Life Global Funding II, 2.25%, 11/21/24 (1)		930		908
Protective Life Global Funding, 2.16%, 9/25/20 (1)		1,000		994
				3,787
Machinery Manufacturing – 0.4%
CNH Industrial Capital LLC, 4.20%, 1/15/24		730		713
Parker-Hannifin Corp., 2.70%, 6/14/24		900		896
				1,609
Managed Care – 0.4%
Anthem, Inc., 2.38%, 1/15/25		1,180		1,168
UnitedHealth Group, Inc., 2.38%, 8/15/24		170		174
				1,342
Medical Equipment & Devices Manufacturing – 0.1%
Alcon Finance Corp., 2.75%, 9/23/26 (1)		400		404

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Oil & Gas Services & Equipment – 0.1%
Baker Hughes a GE Co. LLC/Baker Hughes Co-Obligor, Inc., 2.77%, 12/15/22		$430		$409
Pharmaceuticals – 0.6%
Horizon Therapeutics USA, Inc., 5.50%, 8/1/27 (1)		1,000		1,004
Novartis Capital Corp., 1.75%, 2/14/25		950		957
Pfizer, Inc., 1.95%, 6/3/21		200		201
				2,162
Pipeline – 0.5%
Energy Transfer Operating L.P., 5.88%, 1/15/24		750		708
Energy Transfer Partners L.P./Regency Energy Finance Corp., 5.88%, 3/1/22		690		648
ONEOK, Inc., 2.20%, 9/15/25		500		386
Plains All American Pipeline L.P., (Variable, ICE LIBOR USD 3M + 4.11%), 6.13%, 11/15/22 (3)(4)		525		263
				2,005
Power Generation – 0.4%
Calpine Corp., 4.50%, 2/15/28 (1)		900		873
NRG Energy, Inc., 3.75%, 6/15/24 (1)		300		294
Terraform Global Operating LLC, 6.13%, 3/1/26 (1)		395		385
				1,552
Publishing & Broadcasting – 0.2%
Entercom Media Corp., 7.25%, 11/1/24 (1)		695		580
Real Estate – 2.5%
American Campus Communities Operating Partnership L.P., 3.75%, 4/15/23		1,210		1,220
American Tower Corp., 3.45%, 9/15/21		475		478
2.40%, 3/15/25		445		437
Crown Castle International Corp., 2.25%, 9/1/21		930		917

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Real Estate – 2.5% – continued
Equinix, Inc., 2.63%, 11/18/24		$975		$930
ESH Hospitality, Inc., 4.63%, 10/1/27 (1)		1,130		881
Healthpeak Properties, Inc., 3.25%, 7/15/26		1,150		1,115
Iron Mountain, Inc., 4.88%, 9/15/27 (1)		480		466
iStar, Inc., 4.75%, 10/1/24		540		454
MPT Operating Partnership L.P./MPT Finance Corp., 4.63%, 8/1/29		1,100		1,023
Simon Property Group L.P., 2.00%, 9/13/24		870		838
Welltower, Inc., 3.63%, 3/15/24		650		638
				9,397
Refining & Marketing – 0.4%
CVR Energy, Inc., 5.25%, 2/15/25 (1)		1,100		855
Marathon Petroleum Corp., 5.13%, 3/1/21		500		485
				1,340
Semiconductors – 0.6%
Broadcom Corp./Broadcom Cayman Finance Ltd., 2.20%, 1/15/21		2,100		2,072
Software & Services – 0.9%
Activision Blizzard, Inc., 2.30%, 9/15/21		783		789
PTC, Inc., 4.00%, 2/15/28 (1)		1,190		1,143
Solera LLC/Solera Finance, Inc., 10.50%, 3/1/24 (1)		1,035		1,014
Sophia L.P./Sophia Finance, Inc., 9.00%, 9/30/23 (1)		590		590
				3,536
Supermarkets & Pharmacies – 0.2%
Walgreen Co., 3.10%, 9/15/22		900		901

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 23.4% – continued
Transportation & Logistics – 0.9%
Cargo Aircraft Management, Inc., 4.75%, 2/1/28 (1)		$1,200		$1,113
PACCAR Financial Corp., 1.80%, 2/6/25		850		805
Penske Truck Leasing Co. L.P./PTL Finance Corp., 3.65%, 7/29/21 (1)		1,250		1,266
				3,184
Travel & Lodging – 0.1%
Marriott International, Inc., 2.30%, 1/15/22		455		426
Utilities – 0.7%
Ameren Corp., 2.50%, 9/15/24		420		408
American Electric Power Co., Inc., 3.65%, 12/1/21		665		673
CenterPoint Energy, Inc., 3.60%, 11/1/21		995		993
NextEra Energy Capital Holdings, Inc., 2.40%, 9/1/21		500		500
				2,574
Waste & Environment Services & Equipment – 0.3%
Republic Services, Inc., 2.50%, 8/15/24		570		574
Stericycle, Inc., 5.38%, 7/15/24 (1)		630		624
				1,198
Wireless Telecommunications Services – 0.1%
AT&T, Inc., 3.20%, 3/1/22		440		446
Wireline Telecommunications Services – 0.3%
Level 3 Financing, Inc., 4.63%, 9/15/27 (1)		1,100		1,093
Total Corporate Bonds
(Cost $91,707)				87,023
FOREIGN ISSUER BONDS – 12.2%
Banks – 4.1%
Australia & New Zealand Banking Group Ltd., (Floating, ICE LIBOR USD 3M + 0.46%), 2.15%, 5/17/21 (1)(2)		1,960		1,923

See Notes to the Financial Statements.

FIXED INCOME FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 12.2% – continued
Banks – 4.1% – continued
Bank of New Zealand, 2.00%, 2/21/25 (1)		$1,170		$1,145
Banque Federative du Credit Mutuel S.A., 2.13%, 11/21/22 (1)		600		557
Canadian Imperial Bank of Commerce, (Variable, ICE LIBOR USD 3M + 0.79%), 2.61%, 7/22/23 (3)		1,000		1,004
DNB Bank ASA, 2.15%, 12/2/22 (1)		1,200		1,185
Federation des Caisses Desjardins du Quebec, 2.05%, 2/10/25 (1)		1,500		1,452
Lloyds Banking Group PLC, (Variable, U.S. Treasury Yield Curve Rate CMT 1Y + 1.00%), 2.44%, 2/5/26 (3)		1,110		1,048
Macquarie Bank Ltd., 2.30%, 1/22/25 (1)		1,800		1,769
National Bank of Canada, 2.10%, 2/1/23		1,400		1,372
Skandinaviska Enskilda Banken AB, 2.80%, 3/11/22		500		491
3.05%, 3/25/22 (1)		1,050		1,047
2.20%, 12/12/22 (1)		200		197
Toronto-Dominion Bank (The), (Variable, ICE LIBOR USD 3M + 0.30%), 2.07%, 7/30/21 (2)		750		731
Westpac Banking Corp., 2.35%, 2/19/25		1,170		1,180
				15,101
Commercial Finance – 0.3%
Avolon Holdings Funding Ltd., 2.88%, 2/15/25 (1)		1,000		775
Fly Leasing Ltd., 5.25%, 10/15/24		370		311
				1,086
Containers & Packaging – 0.3%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc., 5.25%, 8/15/27 (1)		1,000		1,025
Diversified Banks – 2.6%
Bank of Montreal, 2.50%, 6/28/24		890		870

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 12.2% – continued
Diversified Banks – 2.6% – continued
Bank of Nova Scotia (The), 2.70%, 8/3/26		$700		$706
BNP Paribas S.A., (Variable, ICE LIBOR USD 3M + 1.11%), 2.82%, 11/19/25 (1)(3)		1,610		1,590
Credit Agricole S.A., (Floating, ICE LIBOR USD 3M + 1.02%), 2.82%, 4/24/23 (1)(2)		1,045		992
2.38%, 1/22/25 (1)		1,000		976
Mitsubishi UFJ Financial Group, Inc., 2.80%, 7/18/24		1,000		987
Royal Bank of Canada, 1.95%, 1/17/23		700		693
Societe Generale S.A., 2.63%, 10/16/24 (1)		945		910
2.63%, 1/22/25 (1)		600		578
Sumitomo Mitsui Financial Group, Inc., 2.45%, 9/27/24		1,200		1,190
				9,492
Electrical Equipment Manufacturing – 0.5%
Tyco Electronics Group S.A., (Floating, ICE LIBOR USD 3M + 0.45%), 1.76%, 6/5/20 (2)		1,775		1,765
Exploration & Production – 0.4%
Sinopec Group Overseas Development 2018 Ltd., 2.50%, 11/12/24 (1)		1,495		1,496
Financial Services – 0.2%
Altice France Holding S.A., 6.00%, 2/15/28 (1)		1,000		880
Food & Beverage – 0.9%
JBS USA LUX S.A./JBS USA Food Co./JBS USA Finance, Inc., 5.50%, 1/15/30 (1)		725		749
MARB BondCo PLC, 6.88%, 1/19/25 (1)		440		397
Mondelez International Holdings Netherlands B.V., 2.13%, 9/19/22 (1)		920		911
Pernod Ricard S.A., 5.75%, 4/7/21 (1)		1,262		1,298
				3,355

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 12.2% – continued
Government Agencies – 0.1%
Kommunalbanken AS, 2.00%, 6/19/24 (1)		$300		$316
Government Development Banks – 0.2%
Japan Bank for International Cooperation, 1.63%, 10/17/22		800		815
Government Local – 0.3%
Japan Finance Organization for Municipalities, 1.75%, 9/5/24 (1)		1,020		1,054
Medical Equipment & Devices Manufacturing – 0.2%
DH Europe Finance II S.a.r.l., 2.20%, 11/15/24		840		816
Metals & Mining – 0.2%
New Gold, Inc., 6.25%, 11/15/22 (1)		850		826
Oil & Gas Services & Equipment – 0.0%
Valaris PLC, 7.75%, 2/1/26		695		64
Pharmaceuticals – 1.1%
Bausch Health Cos., Inc., 6.13%, 4/15/25 (1)		1,035		1,020
Mylan N.V., 3.15%, 6/15/21		1,510		1,489
Shire Acquisitions Investments Ireland DAC, 2.40%, 9/23/21		1,495		1,482
				3,991
Pipeline – 0.1%
Enbridge, Inc., 2.50%, 1/15/25		510		462
Power Generation – 0.3%
Drax Finco PLC, 6.63%, 11/1/25 (1)		1,200		1,203
Software & Services – 0.3%
Open Text Corp., 3.88%, 2/15/28 (1)		1,100		1,034
Supranationals – 0.1%
European Investment Bank, 1.38%, 9/6/22		460		468

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 12.2% – continued
Travel & Lodging – 0.0%
Royal Caribbean Cruises Ltd., 5.25%, 11/15/22		$176		$128
Total Foreign Issuer Bonds
(Cost $47,229)				45,377
U.S. GOVERNMENT AGENCIES – 13.9% (5)
Fannie Mae – 8.4%
Pool #555649, 7.50%, 10/1/32		14		16
Pool #AB6336, 2.50%, 10/1/27		1,093		1,140
Pool #AD0915, 5.50%, 12/1/38		34		38
Pool #AI3471, 5.00%, 6/1/41		113		125
Pool #AL1746, 3.50%, 3/1/27		862		908
Pool #AL2049, 3.50%, 11/1/26		405		426
Pool #AL8706, 2.50%, 3/1/29		928		964
Pool #BA6574, 3.00%, 1/1/31		1,468		1,543
Pool #BC0266, 3.50%, 2/1/31		1,008		1,069
Pool #BC1465, 2.50%, 7/1/31		749		778
Pool #BM1239, 3.50%, 2/1/32		1,324		1,396
Pool #BM4386, 2.50%, 8/1/30		1,634		1,695
Pool #BM4485, 3.00%, 9/1/30		2,561		2,684
Pool #BM5017, 3.00%, 3/1/30		1,250		1,310
Pool #BM5525, 4.00%, 3/1/31		516		544
Pool #BM5706, 2.00%, 6/1/30		790		815
Pool #BM5708, 3.00%, 12/1/29		213		223
Pool #FM1454, 2.50%, 9/1/28		1,404		1,461

See Notes to the Financial Statements.

FIXED INCOME FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 13.9% (5) – continued
Fannie Mae – 8.4% – continued
Pool #FM1472, 3.50%, 3/1/34		$1,791		$1,885
Pool #FM1551, 3.00%, 6/1/27		212		222
Pool #FM1773, 3.00%, 12/1/31		1,245		1,305
Pool #FM1842, 3.50%, 6/1/34		1,317		1,384
Pool #FM1849, 3.50%, 12/1/33		1,432		1,510
Pool #FM1852, 3.00%, 7/1/33		1,348		1,415
Pool #FM1897, 3.00%, 9/1/32		1,106		1,158
Pool #FM2062, 2.50%, 7/1/33		3,206		3,328
Pool #FM2262, 2.50%, 1/1/35		1,752		1,820
				31,162
Freddie Mac – 2.1%
Pool #1B3617, (Floating, ICE LIBOR USD 1Y + 1.92%, 1.92% Floor, 11.01% Cap), 4.17%, 10/1/37 (2)		125		128
Pool #SB0215, 3.00%, 2/1/32		1,365		1,430
Pool #ZA2807, 2.50%, 2/1/28		203		212
Pool #ZK2807, 3.50%, 12/1/25		1,326		1,395
Pool #ZK2834, 3.50%, 12/1/25		422		444
Pool #ZK4449, 2.50%, 9/1/27		194		201
Pool #ZS7325, 2.50%, 7/1/29		1,303		1,352
Pool #ZS8598, 3.00%, 2/1/31		1,704		1,791
Pool #ZS8610, 2.50%, 5/1/31		901		936
				7,889

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 13.9% (5) – continued
Freddie Mac Gold – 1.7%
Pool #A92650, 5.50%, 6/1/40		$125		$140
Pool #E04232, 2.50%, 2/1/28		1,009		1,051
Pool #E04360, 2.50%, 4/1/28		769		801
Pool #E09021, 2.50%, 2/1/28		1,439		1,494
Pool #E09025, 2.50%, 3/1/28		1,266		1,314
Pool #G16618, 2.50%, 1/1/30		1,564		1,624
				6,424
Freddie Mac Pool – 1.7%
Pool #SB0084, 3.00%, 2/1/32		3,768		3,948
Pool #SB0216, 3.00%, 12/1/32		2,234		2,347
				6,295
Total U.S. Government Agencies
(Cost $50,644)				51,770
U.S. GOVERNMENT OBLIGATIONS – 29.4%
U.S. Treasury Floating Rate Notes – 2.7%
(Floating, U.S. Treasury 3M Bill MMY + 0.12%), 0.20%, 1/31/21 (2)		10,000		10,003
U.S. Treasury Notes – 26.7%
2.75%, 11/30/20		16,000		16,281
2.50%, 1/31/21		6,453		6,581
2.50%, 2/28/21		14,341		14,656
2.38%, 3/15/21		10,755		10,991
2.38%, 4/15/21		7,170		7,336
2.25%, 4/30/21		5,019		5,136
2.63%, 5/15/21		14,341		14,742
2.13%, 5/31/21		12,050		12,332
1.63%, 6/30/21		7,507		7,647
1.38%, 10/15/22		699		719
1.38%, 2/15/23		2,700		2,786
				99,207
Total U.S. Government Obligations
(Cost $107,184)				109,210

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT BOND FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.4%
California – 0.2%
California State Taxable G.O. Unlimited Refunding Bonds, Bid Group B, 2.50%, 10/1/22		$910		$934
New York – 0.2%
New York State Thruway Authority Taxable Revenue Refunding Bonds, Series M, 2.12%, 1/1/24		640		623
Total Municipal Bonds
(Cost $1,566)				1,557
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 1.9%
FlexShares® Disciplined Duration MBS Index Fund (6)		202,000		$4,791
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (6)(7)		2,156,537		2,157
Total Investment Companies
(Cost $6,817)				6,948
Total Investments – 99.6%
(Cost $373,172)				370,457
Other Assets less Liabilities – 0.4%				1,346
NET ASSETS – 100.0%				$371,803

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Variable rate security. Rate as of March 31, 2020 is disclosed.

(3) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(4) Perpetual bond. Maturity date represents next call date.

(5) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(6) Investment in affiliated fund. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds and FlexShares Trust.

(7) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

1Y – 1 Year

3M – 3 Month

CMT – Constant Maturity

Fannie Mae – Federal National Mortgage Association

Freddie Mac – Federal Home Loan Mortgage Corporation

G.O. – General Obligation

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

MBS – Mortgage Backed Securities

MMY – Money Market Yield

PLC – Public Limited Company

S&P – Standard & Poor’s

SOFR – Secured Overnight Financing Rate

USD – United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION *	% OF INVESTMENTS
U.S. Treasury		29.5%
U.S. Agency		14.0
AAA		18.7
AA		3.4
A		10.4
BBB		14.8
BB		4.6
B		2.0
CCC		0.7
Not Rated		1.3
Cash Equivalents		0.6
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Asset-Backed Securities (1)		$–		$68,572		$–		$68,572
Corporate Bonds (1)		–		87,023		–		87,023
Foreign Issuer Bonds (1)		–		45,377		–		45,377
U.S. Government Agencies (1)		–		51,770		–		51,770
U.S. Government
Obligations (1)		–		109,210		–		109,210

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds (1)		$–		$1,557		$–		$1,557
Investment Companies		6,948		–		–		6,948
Total Investments		$6,948		$363,509		$–		$370,457

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE U.S. GOVERNMENT FUND

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
U.S. GOVERNMENT AGENCIES – 19.1% (1)
Fannie Mae – 14.0%
Pool #555649, 7.50%, 10/1/32		$27		$30
Pool #AB6336, 2.50%, 10/1/27		813		848
Pool #AL8706, 2.50%, 3/1/29		691		717
Pool #AS4186, 2.50%, 1/1/30		342		355
Pool #AS8597, 2.50%, 1/1/32		335		348
Pool #BH5752, 3.50%, 11/1/47		927		982
Pool #BH9277, 3.50%, 2/1/48		505		533
Pool #BM1239, 3.50%, 2/1/32		248		261
Pool #BM5017, 3.00%, 3/1/30		284		298
Pool #FM1454, 2.50%, 9/1/28		320		333
Pool #FM1472, 3.50%, 3/1/34		488		514
Pool #FM1842, 3.50%, 6/1/34		300		315
Pool #FM1849, 3.50%, 12/1/33		895		944
Pool #FM1852, 3.00%, 7/1/33		307		322
Pool #FM1897, 3.00%, 9/1/32		824		863
Pool #FM2062, 2.50%, 7/1/33		314		327
Pool #MA3027, 4.00%, 6/1/47		161		173
				8,163
Freddie Mac – 1.1%
Pool #SB0215, 3.00%, 2/1/32		311		326
Pool #ZS7325, 2.50%, 7/1/29		297		308
				634

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 19.1% (1) – continued
Freddie Mac Gold – 2.3%
Pool #E09021, 2.50%, 2/1/28		$328		$340
Pool #E09025, 2.50%, 3/1/28		942		979
				1,319
Freddie Mac Pool – 1.5%
Pool #SB0084, 3.00%, 2/1/32		538		564
Pool #SB0216, 3.00%, 12/1/32		326		342
				906
Government National Mortgage Association I – 0.2%
Pool #676682, 4.50%, 6/15/25		64		67
Pool #782618, 4.50%, 4/15/24		29		31
Pool #783245, 5.00%, 9/15/24		29		30
Pool #783489, 5.00%, 6/15/25		15		15
				143
Total U.S. Government Agencies
(Cost $10,886)				11,165
U.S. GOVERNMENT OBLIGATIONS – 67.0%
U.S. Treasury Notes – 67.0%
0.38%, 3/31/22		11,665		11,699
0.50%, 3/15/23		16,825		16,931
0.50%, 3/31/25		5,585		5,619
1.50%, 2/15/30		4,602		4,955
				39,204
Total U.S. Government Obligations
(Cost $39,002)				39,204
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 12.9%
FlexShares® Disciplined Duration MBS Index Fund (2)		97,100		$2,303
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (2)(3)		5,262,967		5,263
Total Investment Companies
(Cost $7,548)				7,566

See Notes to the Financial Statements.

FIXED INCOME FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL
	AMOUNT		VALUE
	(000s)		(000s)
SHORT-TERM INVESTMENTS – 0.7%
U.S. Treasury Bill, 0.01%, 9/17/20 (4)(5)		$400		$400
Total Short-Term Investments
(Cost $400)				400
Total Investments – 99.7%
(Cost $57,836)				58,335
Other Assets less Liabilities – 0.3%				166
NET ASSETS – 100.0%				$58,501

(1) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(2) Investment in affiliated fund. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds and FlexShares Trust.

(3) 7-day current yield as of March 31, 2020 is disclosed.

(4) Discount rate at the time of purchase.

(5) Security pledged as collateral to cover margin requirements for open futures contracts.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

Fannie Mae – Federal National Mortgage Association

Freddie Mac – Federal Home Loan Mortgage Corporation

MBS – Mortgage Backed Securities

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
5-Year U.S. Treasury Note		31		$3,886		Long		6/20		$28

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		68.1%
U.S. Agency		18.9
Not Rated		4.0
Cash Equivalents		9.0
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
U.S. Government Agencies (1)		$ –		$11,165		$–		$11,165
U.S. Government Obligations (1)		–		39,204		–		39,204
Investment Companies		7,566		–		–		7,566
Short-Term Investments		–		400		–		400
Total Investments		$7,566		$50,769		$–		$58,335
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$28		$ –		$–		$28

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND

	PRINCIPAL
	AMOUNT		VALUE
	(000s)		(000s)
CORPORATE BONDS – 7.5%
Automobiles Manufacturing – 1.5%
American Honda Finance Corp., 1.95%, 5/20/22		$5,000		$4,927
General Motors Financial Co., Inc., 4.20%, 3/1/21		10,000		9,624
4.20%, 11/6/21		4,650		4,438
Harley-Davidson Financial Services, Inc., 3.55%, 5/21/21 (1)		10,000		10,170
Toyota Motor Credit Corp., (Floating, ICE LIBOR USD 3M + 0.13%), 1.83%, 8/13/21 (2)		10,000		9,564
Volkswagen Group of America Finance LLC, 4.00%, 11/12/21 (1)		17,500		17,312
				56,035
Banks – 2.3%
Capital One N.A., 2.15%, 9/6/22		12,500		12,164
Citibank N.A., 3.40%, 7/23/21		15,000		15,307
M&T Bank Corp., (Floating, ICE LIBOR USD 3M + 0.68%), 2.47%, 7/26/23 (2)		12,708		11,632
Truist Bank, (Floating, ICE LIBOR USD 3M + 0.59%), 2.35%, 8/2/22 (2)		11,200		10,570
US Bank N.A., 1.80%, 1/21/22		15,000		14,980
2.65%, 5/23/22		15,000		15,281
Wells Fargo Bank N.A., (Variable, ICE LIBOR USD 3M + 0.49%), 3.33%, 7/23/21 (3)		7,000		7,012
				86,946
Consumer Finance – 0.6%
American Express Co., 3.70%, 11/5/21		11,413		11,677
Capital One Financial Corp., (Floating, ICE LIBOR USD 3M + 0.72%), 2.49%, 1/30/23 (2)		5,000		4,673
PayPal Holdings, Inc., 2.20%, 9/26/22		5,000		4,977
				21,327

	PRINCIPAL
	AMOUNT		VALUE
	(000s)		(000s)
CORPORATE BONDS – 7.5% – continued
Diversified Banks – 0.5%
Bank of America Corp., (Floating, ICE LIBOR USD 3M + 0.38%), 2.19%, 1/23/22 (2)		$10,000		$9,599
Citigroup, Inc., (Variable, U.S. SOFR + 0.87%), 2.31%, 11/4/22 (3)		10,000		9,962
				19,561
Electrical Equipment Manufacturing – 0.1%
Carrier Global Corp., 1.92%, 2/15/23 (1)		3,000		2,953
Otis Worldwide Corp., (Floating, ICE LIBOR USD 3M + 0.45%), 1.89%, 4/5/23 (1)(2)		2,400		2,276
				5,229
Entertainment Content – 0.1%
Fox Corp., 3.67%, 1/25/22(1)		2,900		2,962
Exploration & Production – 0.1%
Occidental Petroleum Corp., 2.60%, 8/13/21		5,000		3,931
Financial Services – 0.5%
Bank of New York Mellon (The) Corp., 1.85%, 1/27/23		15,000		14,905
Morgan Stanley, (Floating, ICE LIBOR USD 3M + 1.40%), 3.22%, 4/21/21 (2)		2,000		1,986
				16,891
Hardware – 0.1%
Hewlett Packard Enterprise Co., (Floating, ICE LIBOR USD 3M + 0.68%), 1.46%, 3/12/21 (2)		5,000		4,838
Machinery Manufacturing – 0.4%
Caterpillar Financial Services Corp., 1.95%, 11/18/22		15,000		14,949
Pharmaceuticals – 0.0%
AbbVie, Inc., (Floating, ICE LIBOR USD 3M + 0.46%), 2.15%, 11/19/21 (1)(2)		1,600		1,547
Tobacco – 0.2%
Altria Group, Inc., 3.49%, 2/14/22		6,000		6,138

See Notes to the Financial Statements.

FIXED INCOME FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 7.5% – continued
Travel & Lodging – 0.2%
Marriott International, Inc., 2.88%, 3/1/21		$2,000		$1,872
(Floating, ICE LIBOR USD 3M + 0.65%), 1.65%, 3/8/21 (2)		8,000		6,839
				8,711
Utilities – 0.6%
NextEra Energy Capital Holdings, Inc., 2.40%, 9/1/21		16,200		16,186
2.90%, 4/1/22		5,000		5,080
				21,266
Wireless Telecommunications Services – 0.3%
AT&T, Inc., 3.20%, 3/1/22		7,000		7,097
(Floating, ICE LIBOR USD 3M + 1.18%), 1.96%, 6/12/24 (2)		5,000		4,644
				11,741
Total Corporate Bonds
(Cost $288,073)				282,072
FOREIGN ISSUER BONDS – 3.7%
Banks – 1.7%
ABN AMRO Bank N.V., 3.40%, 8/27/21 (1)		5,600		5,607
ANZ New Zealand International Ltd., 1.90%, 2/13/23 (1)		20,000		20,124
ING Groep N.V., (Floating, ICE LIBOR USD 3M + 1.15%), 2.52%, 3/29/22 (2)		10,030		9,671
(Floating, ICE LIBOR USD 3M + 1.00%), 2.45%, 10/2/23 (2)		5,900		5,561
National Australia Bank Ltd., 1.88%, 12/13/22		10,000		9,943
Nordea Bank Abp, (Floating, ICE LIBOR USD 3M + 0.94%), 2.55%, 8/30/23 (1)(2)		5,800		5,761
Westpac Banking Corp., 2.00%, 1/13/23		8,000		7,909
				64,576
Diversified Banks – 1.0%
Mitsubishi UFJ Financial Group, Inc., 2.62%, 7/18/22		14,000		13,962
Royal Bank of Canada, 1.95%, 1/17/23		15,000		14,847

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 3.7% – continued
Diversified Banks – 1.0% – continued
Sumitomo Mitsui Financial Group, Inc., (Floating, ICE LIBOR USD 3M + 1.68%), 2.68%, 3/9/21 (2)		$7,000		$6,925
				35,734
Financial Services – 0.3%
UBS Group A.G., (Floating, ICE LIBOR USD 3M + 1.44%), 2.64%, 9/24/20 (1)(2)		12,000		11,902
Food & Beverage – 0.3%
Mondelez International Holdings Netherlands B.V., 2.13%, 9/19/22 (1)		9,000		8,916
Government Regional – 0.4%
Province of Ontario Canada, 1.75%, 1/24/23		15,000		15,376
Total Foreign Issuer Bonds
(Cost $137,276)				136,504
U.S. GOVERNMENT OBLIGATIONS – 2.2%
U.S. Treasury Notes – 2.2%
1.50%, 9/30/21		25,000		25,488
1.63%, 12/31/21		20,000		20,492
2.13%, 5/15/22		35,000		36,404
				82,384
Total U.S. Government Obligations
(Cost $79,891)				82,384
MUNICIPAL BONDS – 62.8%
Alabama – 2.7%
Black Belt Energy Gas District Gas Prepay Revenue Bonds, Series B-2, (Floating, SIFMA Municipal Swap Index Yield + 0.62%), 2.45%, 12/1/23 (2)(4)		60,000		60,000
Black Belt Energy Gas District Gas Supply Revenue Bonds, Series A, 4.00%, 7/1/22 (2)(4)(5)		11,125		11,352
Southeast Alabama State Gas Supply District Revenue Bonds, Series C, SIFMA Index Project No.1, (Floating, SIFMA Municipal Swap Index Yield + 0.65%), 2.48%, 4/1/24 (2)(4)		24,000		23,239

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Alabama – 2.7% – continued
University of Alabama University General Revenue Refunding Bonds, Series A, 5.00%, 7/1/22		$5,760		$6,242
				100,833
Alaska – 0.7%
Alaska State Industrial Development & Export Authority Revenue LANS, YKHC Project, 3.50%, 12/1/20		25,000		25,031
Arizona – 0.4%
Arizona State Transportation Board Excise TRB, Maricopa County Regional Area, 5.00%, 7/1/20		3,000		3,029
Chandler G.O. Limited Refunding Bonds, 3.00%, 7/1/20		520		523
Maricopa County IDA Variable Revenue Refunding Bonds, Banner Health Obligated Group, (Floating, SIFMA Municipal Swap Index Yield + 0.57%), 2.40%, 10/18/24 (2)(4)		8,270		8,310
Pinal County Revenue Obligations Revenue Bonds, 5.00%, 8/1/21		2,000		2,102
Yavapai County IDA Solid Waste Disposal Revenue Bonds (AMT), Waste Management, Inc., Project, 2.80%, 6/1/21 (2)(4)(5)		1,500		1,513
				15,477
California – 4.3%
Bay Area Toll Authority Toll Bridge Index Rate Revenue Refunding Bonds, (Floating, ICE LIBOR USD 3M + 0.55%), 1.55%, 4/1/21 (2)(4)		10,000		9,997
California State Department of Water Resources Central Valley Project Water System Variable Revenue Bonds, Series AU, (Floating, SIFMA Municipal Swap Index Yield + 0.22%), 2.05%, 12/1/20  (2)(4)		30,000		29,982

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
California – 4.3% – continued
California State G.O. Unlimited Bonds, Series B, (Floating, SIFMA Municipal Swap Index Yield + 0.38%), 2.21%, 12/1/22 (2)(4)		$20,000		$19,866
California State Index Floating Rate G.O. Unlimited Bonds, Series E, (Floating, SIFMA Municipal Swap Index Yield + 0.43%), 2.26%, 12/1/23 (2)(4)		30,000		29,735
California State Infrastructure & Economic Development Bank Variable Revenue Refunding Bonds, California Academy of Sciences, (Floating, ICE LIBOR USD 1M + 0.38%), 1.04%, 8/1/21 (2)(4)		4,000		4,003
California State Infrastructure & Economic Development Bank Variable Revenue Refunding Bonds, J. Paul Getty Trust, (Floating, ICE LIBOR USD 1M + 0.20%), 0.89%, 4/1/21 (2)(4)		30,000		29,859
Los Angeles Community College District G.O. Unlimited Bonds, Series B-1, Election of 2016, 5.00%, 8/1/21		15,000		15,775
Southern California State Public Power Authority Revenue Refunding Bonds, Series A, Canyon Power Project, 2.25%, 5/1/21 (2)(4)(5)		20,000		20,102
				159,319
Colorado – 0.7%
Denver City & County G.O. Unlimited Bonds, Series C, 5.00%, 8/1/22		20,000		21,764
E-470 Public Highway Authority Senior Variable Revenue Refunding Bonds, Libor Index, (Floating, ICE LIBOR USD 1M + 1.05%), 1.67%, 9/1/21 (2)(4)		6,000		6,029
				27,793
Connecticut – 2.0%
Connecticut State G.O. Unlimited Refunding Bonds, Series B, 5.00%, 2/15/21		11,200		11,538
5.00%, 1/15/22		5,000		5,305

See Notes to the Financial Statements.

FIXED INCOME FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Connecticut – 2.0% – continued
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series 2014A, 1.10%, 2/7/23 (2)(4)(5)		$10,000		$9,926
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series U-2, Yale University Issue, 2.00%, 2/8/22 (2)(4)(5)		10,000		10,082
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, Series A, 2.05%, 7/12/21 (2)(4)(5)		10,000		10,031
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, Series A-1, Yale University, 1.45%, 7/1/22 (2)(4)(5)		21,000		21,083
Connecticut State HFA Housing Finance Mortgage Program Revenue Bonds, Series E-E2 (HUD Sector 8 Program), 1.40%, 11/15/21		2,525		2,526
1.40%, 5/15/22		1,685		1,684
Connecticut State HFA Single Family Special Obligation Revenue Bonds, Series 2, 3.25%, 6/1/20		1,050		1,053
				73,228
Delaware – 1.2%
Delaware State G.O. Unlimited Bonds, 5.00%, 2/1/22		10,000		10,707
Delaware State G.O. Unlimited Bonds, Series A, 5.00%, 1/1/22		13,000		13,877
5.00%, 1/1/23		15,000		16,570
University of Delaware Revenue Bonds, 5.00%, 11/1/20		1,450		1,482
5.00%, 11/1/21		1,600		1,697
				44,333
District of Columbia – 1.2%
District of Columbia Housing Finance Agency MFH Revenue Bonds, The Strand Residences Project, 1.45%, 8/1/22 (2)(4)(5)		1,500		1,496

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
District Of Columbia – 1.2% – continued
District of Columbia Income Tax Secured Revenue Bonds, Series A, 5.00%, 3/1/21		$1,450		$1,502
District of Columbia Income Tax Secured Revenue Refunding Bonds, Series C, 5.00%, 10/1/21		21,000		22,223
5.00%, 10/1/22		13,195		14,452
District of Columbia Revenue Bonds, Federal Highway Grant Anticipation, 5.00%, 12/1/21		2,000		2,127
5.00%, 12/1/22		4,230		4,636
				46,436
Florida – 4.6%
Citizens Property Insurance Corp. Senior Secured Revenue Bonds, Series A-1, 5.00%, 6/1/22		9,160		9,800
Citizens Property Insurance Corp. Senior Secured Revenue Bonds, Series A-1, Coastal Account, 5.00%, 6/1/20		19,250		19,368
Florida State Board of Education G.O. Unlimited Refunding Bonds, Series A, 5.00%, 6/1/21		40,000		41,803
Florida State Board of Education Public Education Capital Outlay G.O. Unlimited Refunding Bonds, Series A, 5.00%, 6/1/22		1,480		1,602
Florida State Board of Education Public Education Capital Outlay G.O. Unlimited Refunding Bonds, Series D, 5.00%, 6/1/21		4,505		4,708
5.00%, 6/1/22		4,385		4,745
Florida State Board of Public Education Capital Outlay 2011 G.O. Unlimited Refunding Bonds, Series A, 5.00%, 6/1/20		525		528
Florida State Board of Public Education Capital Outlay G.O. Unlimited Refunding Bonds, Series A (State Gtd.), 5.00%, 6/1/20		5,130		5,163

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
Florida – 4.6% – continued
Florida State Board of Public Education Lottery Revenue Refunding Bonds, Series A, 5.00%, 7/1/20		$15,010		$15,154
Florida State Department Transportation G.O. Unlimited Refunding Bonds, 5.00%, 7/1/21		13,000		13,636
Florida State Housing Finance Corp. Revenue Bonds, Series 1 (GNMA, FNMA, FHLMC Insured), 1.35%, 1/1/22		1,035		1,034
Florida State Turnpike Authority Turnpike Revenue Bonds, Series B, 5.00%, 7/1/22		3,000		3,260
Florida State Turnpike Authority Turnpike Revenue Refunding Bonds, Series A, 5.00%, 7/1/21 (6)		5,415		5,679
5.00%, 7/1/22 (6)		5,680		6,171
Hillsborough County G.O. Unlimited Refunding Bonds, Environmental Lands Acquisition & Protection Program, 5.00%, 7/1/22		1,000		1,082
Hillsborough County School Board Refunding COPS, Master Lease Program, 5.00%, 7/1/20		2,000		2,019
Orlando & Orange County Expressway Authority Revenue Bonds, Series C, Prerefunded, 5.00%, 7/1/20 (7)		25,000		25,231
Polk County School District Sales TRB, 5.00%, 10/1/21		1,750		1,851
Tampa Bay Water Regional Water Supply Authority Utility System Revenue Refunding Bonds, Prerefunded, 5.00%, 10/1/20 (7)		1,150		1,172
Volusia County School Board COPS, 5.00%, 8/1/21		3,750		3,942
5.00%, 8/1/22		2,905		3,157
				171,105

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Georgia – 1.0%
Atlanta Urban Residential Finance Authority MFH Revenue Bonds, Creekside at Adamsville Place, 1.95%, 5/1/21 (2)(4)(5)		$7,500		$7,530
Brookhaven Development Authority Revenue Bonds, Children’s Healthcare of Atlanta, 5.00%, 7/1/22		1,000		1,085
Cobb County Water & Sewerage Revenue Refunding Bonds, 5.00%, 7/1/22		2,000		2,173
Douglas County Sales Tax G.O. Unlimited Bonds, 5.00%, 4/1/20		2,000		2,000
Gainesville & Hall County Hospital Authority Revenue Refunding Bonds, Northeast Georgia Health System, Inc., Project, 5.00%, 2/15/22		3,000		3,205
5.00%, 2/15/23		3,750		4,081
Georgia State G.O. Unlimited Refunding Bonds, Series C, 5.00%, 7/1/20		2,500		2,524
Henry County School District G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 8/1/21		3,580		3,765
Private Colleges & Universities Authority Revenue Refunding Bonds, Series A, Emory University, 5.00%, 9/1/20		7,300		7,418
5.00%, 9/1/22		3,000		3,270
				37,051
Idaho – 0.3%
Idaho State G.O. Unlimited TANS, 3.00%, 6/30/20		10,000		10,042
Illinois – 0.3%
Chicago O’Hare International Airport General Revenue Refunding Bonds, Series A (AMT), Senior Lien, 5.00%, 1/1/21		5,000		5,123

See Notes to the Financial Statements.

FIXED INCOME FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Illinois – 0.3% – continued
Illinois State Finance Authority Revenue Refunding Bonds, Edward-Elmhurst Healthcare, (Floating, SIFMA Municipal Swap Index Yield + 0.75%), 2.58%, 7/1/23 (2)(4)		$1,535		$1,539
Illinois State Housing Development Authority MFH Revenue Bonds, Heather Ridge, 1.90%, 10/1/21 (2)(4)(5)		4,500		4,525
Illinois State Toll Highway Authority Senior Revenue Refunding Bonds, Series A, 5.00%, 1/1/21		1,000		1,025
				12,212
Indiana – 0.7%
Indiana State Finance Authority Highway Revenue Bonds, Series A, 4.00%, 6/1/20		1,600		1,608
Indiana State Finance Authority Hospital Revenue Bonds, Indiana University Health Obligated Group, 1.65%, 7/1/22 (2)(4)(5)		5,000		4,988
Indiana State Finance Authority Hospital Variable Revenue Bonds, Series L, Indiana University Health, (Floating, SIFMA Municipal Swap Index Yield + 0.28%), 2.11%, 7/2/21 (2)(4)		5,500		5,501
Indiana State Finance Authority State Revolving Funds Revenue Refunding Bonds, Green Bonds, 5.00%, 2/1/21		8,500		8,776
Indianapolis Local Public Improvement Bond Bank Revenue Notes, Series B, Fieldhouse Project, 1.45%, 6/1/21		7,000		7,000
				27,873
Iowa – 0.1%
Iowa State Finance Authority SFM Variable Revenue Bonds, Series B (GNMA, FNMA, FHLMC Insured), (Floating, SIFMA Municipal Swap Index Yield + 0.30%), 2.13%, 5/3/21 (2)(4)		5,000		4,994

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Kentucky – 0.9%
Kentucky State Housing Corp. Variable Revenue Bonds, Beecher Phase I Project, 2.00%, 9/1/21(2)(4)(5)		$6,000		$6,034
Kentucky State Public Energy Authority Revenue Bonds, Series B, Gas Supply, 4.00%, 7/1/20		3,500		3,513
4.00%, 7/1/21		3,725		3,792
Louisville & Jefferson County Metro Government Environmental Facilities Revenue Refunding Bonds, Louisville Gas & Electric, 1.65%, 6/1/21 (2)(4)(5)		20,500		20,505
				33,844
Louisiana – 0.2%
East Baton Rouge Parish Capital Improvements District MovEBR Sales TRB, 5.00%, 8/1/21		1,270		1,335
Louisiana State G.O. Unlimited Bonds, Series A, 5.00%, 3/1/22		5,000		5,356
				6,691
Maryland – 2.8%
Anne Arundel County G.O. Limited Bonds, Consolidated General Improvements, 5.00%, 4/1/22		2,000		2,154
Baltimore County Consolidated Public Improvement G.O. Unlimited Bonds, 5.00%, 3/1/22		4,500		4,832
Baltimore County Metropolitan District G.O. Unlimited BANS, 4.00%, 3/22/21		29,075		29,856
Maryland State Department of Transportation Consolidated Transportation Revenue Bonds, 5.00%, 10/1/22		5,500		6,026
Maryland State G.O. Unlimited Bonds, Second Series B, State & Local Facilities Loan, Prerefunded, 4.00%, 8/1/20 (7)		13,265		13,362
Maryland State G.O. Unlimited Bonds, Series A, 5.00%, 8/1/20		19,445		19,697

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Maryland – 2.8% – continued
Montgomery County G.O. Unlimited Bonds, Series A, 5.00%, 11/1/20		$10,000		$10,227
Prince George’s County Consolidated Public Improvement G.O. Limited Bonds, Series A, 5.00%, 7/15/21		4,610		4,841
Washington Suburban Sanitary District Revenue Refunding Bonds (County Gtd.), 5.00%, 6/1/21		4,450		4,652
5.00%, 6/1/22		9,365		10,145
				105,792
Massachusetts – 1.0%
Boston G.O. Unlimited Bonds, Series A, 5.00%, 3/1/21		6,000		6,214
5.00%, 3/1/22		3,455		3,710
Massachusetts State Consolidated Loan G.O. Limited Bonds, Series E, 5.00%, 11/1/20		17,400		17,797
Massachusetts State Housing Finance Agency Variable Revenue Bonds, Chestnut Park Project, 2.40%, 12/1/21 (2)(4)(5)		3,000		3,039
Massachusetts State Housing Finance Agency Variable Revenue Refunding Bonds, Series 196 (GNMA, FNMA, FHLMC Insured), (Floating, ICE LIBOR USD 1M + 0.35%), 1.04%, 6/1/21 (2)(4)		2,275		2,275
Worcester G.O. Limited Bonds, Series A, 4.00%, 2/1/23		3,955		4,248
				37,283
Michigan – 0.9%
Michigan State Finance Authority Revenue Notes, Series A-1 (State Aid Withholding), 4.00%, 8/20/20		9,000		9,032
Michigan State Finance Authority Revenue Notes, Series A-2 (State Aid Withholding) (JPMorgan Chase N.A. LOC), 2.00%, 8/20/20		6,500		6,473

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Michigan – 0.9% – continued
University of Michigan General Revenue Refunding Bonds, SIFMA Index, (Floating, SIFMA Municipal Swap Index Yield + 0.27%), 4.98%, 4/1/22 (2)(4)		$18,805		$18,653
				34,158
Minnesota – 1.3%
Hennepin County G.O. Unlimited Bonds, Series B, 5.00%, 12/15/20		6,050		6,208
5.00%, 12/15/21		6,350		6,771
Minneapolis Improvement & Various Purpose G.O. Unlimited Bonds, 4.00%, 12/1/20		4,200		4,281
Minnesota State G.O. Unlimited Bonds, Series A, 5.00%, 8/1/21		14,500		15,259
5.00%, 8/1/22		8,080		8,806
Mounds View Independent School District No.621 G.O. Limited Refunding Bonds, Series A (Minnesota School District Credit Program), 5.00%, 2/1/22		4,295		4,598
Osseo Independent School District No. 279 G.O. Unlimited Refunding Bonds, Series C, Alternative Facilities (School District Credit Program), 5.00%, 2/1/21		1,480		1,528
				47,451
Mississippi – 0.1%
Mississippi State Variable G.O. Unlimited Refunding Bonds, Series B, (Floating, ICE LIBOR USD 1M + 0.33%), 0.99%, 9/1/20 (2)(4)		3,310		3,310
Missouri – 0.7%
Missouri State Highways & Transit Commission State Road Federal Reimbursement Revenue Refunding Bonds, Series S, GARVEE Lien, 5.00%, 5/1/22		9,000		9,712

See Notes to the Financial Statements.

FIXED INCOME FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Missouri – 0.7% – continued
Missouri State Highways & Transit Commission State Road Revenue Refunding Bonds, Series B, Second Lien, 5.00%, 5/1/22		$16,295		$17,583
				27,295
Nebraska – 0.3%
Nebraska State Investment Finance Authority Single Family Housing Revenue Bonds, Series C, 2.05%, 3/1/22		1,450		1,466
University of Nebraska Facilities Corp. Revenue Refunding Bonds, Series B, 4.00%, 10/1/22		9,500		10,138
				11,604
Nevada – 1.4%
Clark County Airport Revenue Refunding Bonds, Subseries A, 5.00%, 7/1/21		2,000		2,080
Humboldt County PCR Variable Revenue Refunding Bonds, Sierra Pacific Power Company, 1.85%, 4/15/22 (2)(4)(5)		10,000		10,023
Las Vegas Valley Water District G.O. Limited Bonds, Series A, 5.00%, 6/1/21		5,355		5,584
5.00%, 6/1/22		6,200		6,702
Nevada State G.O. Limited Refunding Capital Improvement Bonds, 5.00%, 5/1/21		16,500		17,202
5.00%, 5/1/22		7,050		7,600
Reno Capital Improvement G.O. Limited Refunding Bonds, Series A, 5.00%, 6/1/21		1,200		1,252
Washoe County School District G.O. Limited Refunding Bonds, Series B, 5.00%, 4/1/22 (6)		1,000		1,071
				51,514
New Jersey – 0.3%
Monmouth County G.O. Unlimited Bonds, General Improvement, 5.00%, 7/15/21		3,075		3,229

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
New Jersey – 0.3% – continued
Monmouth County Improvement Authority Governmental Pooled Loan Revenue Bonds, Series C (County Gtd.), 5.00%, 12/1/21		$1,000		$1,065
Monmouth County Improvement Authority Revenue Bonds, Series B (County Gtd.), 5.00%, 12/1/21		2,775		2,955
5.00%, 12/1/22		3,250		3,580
				10,829
New Mexico – 1.6%
Albuquerque G.O. Unlimited Bonds, Series A, 5.00%, 7/1/21 (6)		6,080		6,372
5.00%, 7/1/22 (6)		6,035		6,560
Albuquerque G.O. Unlimited Refunding Bonds, Series D, 5.00%, 7/1/22 (6)		12,500		13,587
New Mexico State G.O. Unlimited Bonds, 5.00%, 3/1/21		19,000		19,684
5.00%, 3/1/22		11,000		11,812
				58,015
New York – 4.5%
Metropolitan Transportation Authority Dedicated Tax Fund Revenue BANS, Series A, 5.00%, 3/1/22		30,000		31,387
Metropolitan Transportation Authority Revenue Bonds, Subseries D-2, SIFMA Index, (Floating, SIFMA Municipal Swap
Index Yield + 0.45%), 2.28%, 11/15/22 (2)(4)		20,275		20,302
Metropolitan Transportation Authority TRANS, Series F, 5.00%, 11/15/22		25,045		26,139
Metropolitan Transportation Authority Variable Revenue Bonds, Series A-2, 5.00%, 11/15/22 (2)(4)(5)		1,000		1,057
Metropolitan Transportation Authority Variable Revenue Refunding Bonds, Subseries D2 (AGM Insured), (Floating, ICE LIBOR USD 1M + 0.57%), 1.25%, 4/6/20 (2)(4)		5,500		5,500

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 75 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
New York – 4.5% – continued
New York City Housing Development Corp. MFH Revenue Bonds, Sustainable Neighborhood Bonds, 1.38%, 5/1/20		$1,445		$1,445
0.85%, 4/29/21 (4)(6)		8,000		7,953
New York City Housing Development Corp. MFH Revenue Bonds, Sustainable Neighborhood Bonds, Series G, 2.00%, 12/31/21 (2)(4)(5)		3,420		3,426
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Second General Resolution, 5.00%, 6/15/21		6,000		6,282
New York City Transitional Finance Authority Future Tax Subordinate Revenue Bonds, Series A-1, 5.00%, 8/1/20		24,665		24,969
New York G.O. Unlimited Bonds, Series J, Subseries J-8, 4.00%, 8/1/21		5,000		5,191
New York G.O. Unlimited Refunding Bonds, Series A, 5.00%, 8/1/20		11,670		11,819
New York State Dormitory Authority Personal Income Tax Revenue Refunding Bonds, Series A, Group 1, 5.00%, 3/15/22		10,000		10,717
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series D, 3.00%, 2/15/21		5,000		5,076
4.00%, 2/15/22		4,000		4,201
New York State Housing Finance Agency Revenue Bonds, Series C (SonyMA, GNMA, FNMA, FHLMC Insured), 1.25%, 5/1/20		3,075		3,074
				168,538

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
North Carolina – 3.3%
Charlotte-Mecklenburg Hospital Authority Health Care System Variable Revenue Bonds, Series D, Atrium Health, (Floating, SIFMA Municipal Swap Index Yield + 0.60%), 2.43%, 12/1/23 (2)(4)		$42,000		$42,173
Forsyth County Public Improvement G.O. Unlimited Bonds, Series B, 5.00%, 3/1/21		4,540		4,702
5.00%, 3/1/22		1,000		1,074
Montgomery County Public Facilities Corp. Limited Obligation Revenue BANS, 3.00%, 9/1/20		3,000		3,004
North Carolina State Eastern Municipal Power Agency System Revenue Refunding Bonds, Series B (NATL, IBC Insured), Escrowed to Maturity, 6.00%, 1/1/22		5,000		5,418
North Carolina State G.O. Unlimited Bonds, Series A, Connect NC Bonds, 5.00%, 6/1/22		3,955		4,285
North Carolina State G.O. Unlimited Refunding Bonds, Series C, 4.00%, 5/1/20		8,000		8,019
North Carolina State G.O. Unlimited Refunding Bonds, Series D, 4.00%, 6/1/21		4,000		4,136
North Carolina State Grant Anticipation Vehicle Revenue Bonds, 5.00%, 3/1/21		8,000		8,280
5.00%, 3/1/22		7,010		7,515
North Carolina State Housing Finance Agency MFH Revenue Bonds, Weaver Investment Company Rural Development Portfolio, 2.00%, 1/1/21 (2)(4)(5)		11,235		11,271
North Carolina State Limited Obligation Revenue Bonds, Series A, Build NC Bonds, 5.00%, 5/1/21		13,025		13,575
Raleigh Durham Airport Authority Revenue Refunding Bonds, Series A (AMT), 5.00%, 5/1/20		2,840		2,848

See Notes to the Financial Statements.

FIXED INCOME FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
North Carolina – 3.3% – continued
Wake County Limited Obligation Revenue Bonds, 5.00%, 9/1/20		$3,620		$3,679
5.00%, 9/1/21		3,250		3,429
				123,408
Ohio – 2.3%
American Municipal Power-Ohio, Inc., Revenue Refunding Bonds, Series A, 5.00%, 2/15/22		6,000		6,427
Cincinnati G.O. Unlimited Refunding Bonds, 5.00%, 12/1/21		2,285		2,432
5.00%, 12/1/22		1,000		1,101
Columbus G.O. Unlimited Bonds, Series A, 4.00%, 4/1/20		13,835		13,835
Franklin County Hospital Facilities Variable Revenue Bonds, Series B, OhioHealth Corp., (Floating, SIFMA Municipal Swap Index Yield + 0.43%), 2.26%, 11/15/21 (2)(4)		10,000		10,014
Ohio State Adult Correctional Capital Facilities Revenue Refunding Bonds, Lease Appropriation, 4.00%, 10/1/20		2,750		2,789
Ohio State Hospital Variable Revenue Bonds, Cleveland Clinic Health System, (Floating, SIFMA Municipal Swap Index Yield + 0.40%), 2.23%, 6/1/23 (2)(4)		35,000		34,972
Ohio State Housing Finance Agency MFH Revenue Bonds, Sutter View Apartments, 1.62%, 7/1/21 (2)(4)(5)		8,500		8,508
Ohio State Major New Infrastructure Project Revenue Bonds, Series 2019-1, 4.00%, 12/15/21		2,000		2,096
5.00%, 12/15/22		2,000		2,200
				84,374

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
Oklahoma – 0.2%
Canadian County Independent School District No.27, Combined Purpose G.O. Unlimited Bonds, Yukon Public Schools, 2.00%, 10/1/20		$3,040		$3,052
Oklahoma Housing Finance Agency Collateralized Variable Revenue Bonds, Windsong Apartments, 2.05%, 4/1/21 (2)(4)(5)		2,000		2,000
Oklahoma State Water Resources Board Revolving Fund Revenue Bonds, Clean Water Program (Oklahoma CERF), 5.00%, 4/1/20		3,500		3,500
				8,552
Oregon – 2.9%
Lane County School District No.4J Eugene G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 6/15/21		2,450		2,564
Multnomah County School District No. 1 Portland G.O. Unlimited Bonds, Series B (School Board Guaranty Program), 5.00%, 6/15/20		45,000		45,356
Oregon Business Development Commission Economic Development Revenue Bonds (AMT), 5.00%, 3/1/22 (2)(4)(5)		43,400		46,289
Oregon State G.O. Unlimited Bonds, Series A, 5.00%, 5/1/21		1,400		1,459
Oregon State Health & Science University Revenue Refunding Bonds, Series A, 5.00%, 7/1/21		600		629
5.00%, 7/1/22		850		921
Oregon State Housing & Community Services Department Housing Development Revenue Bonds, Series I, Ya Po Ah Terrace Project (HUD Sector 8 Program), 2.20%, 5/1/21 (2)(4)(5)		10,450		10,526
				107,744

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 77 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
Pennsylvania – 3.0%
Delaware County G.O. Unlimited Refunding Bonds, 5.00%, 10/1/21		$1,000		$1,058
Indiana County IDA Student Housing Revenue BANS, Residential Revival Project at Indiana University, 1.45%, 9/1/20		2,750		2,736
Pennsylvania Economic Development Financing Authority Solid Waste Disposal Revenue Bonds, Series A (Waste Management, Inc., Project, 2.15%, 11/1/21 (8)		2,250		2,269
Pennsylvania State Economic Development Financing Authority Solid Waste Disposal Revenue Bonds, Waste Management Project, 2.80%, 12/1/21 (2)(4)(5)		2,500		2,534
Pennsylvania State G.O. Unlimited Refunding Bonds, 5.00%, 7/15/21		10,000		10,480
Pennsylvania State Higher Educational Facilities Authority Revenue Refunding Bonds, Series AV-1, 5.00%, 6/15/21		5,985		6,218
Pennsylvania State Housing Finance Agency SFM Floating Revenue Bonds, Series 127-C, (Floating, ICE LIBOR USD 1M + 0.57%), 1.22%, 10/1/23 (2)(4)		7,000		6,944
Pennsylvania State Housing Finance Agency SFM Variable Revenue Bonds, Series 126-B, (Floating, ICE LIBOR USD 1M + 0.60%), 1.25%, 6/1/23 (2)(4)		26,250		25,935
Pennsylvania State Turnpike Commission Variable Revenue Refunding Bonds, Series A-1, (Floating, SIFMA Municipal Swap Index Yield + 0.60%), 2.43%, 12/1/23 (2)		15,000		15,106
University of Pittsburgh of the Commonwealth System of Higher Education Variable Revenue Notes, (Floating, SIFMA Municipal Swap Index Yield + 0.36%), 2.19%, 2/15/24 (2)		38,000		38,005
				111,285

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Rhode Island – 0.2%
Rhode Island State & Providence Plantations G.O. Unlimited Bonds, Series C, 3.00%, 1/15/21		$2,500		$2,537
4.00%, 1/15/22		2,000		2,102
Rhode Island State & Providence Plantations G.O. Unlimited Refunding Bonds, Series E, 3.00%, 1/15/21		300		304
4.00%, 1/15/22		1,000		1,051
				5,994
Tennessee – 1.0%
Memphis Health, Educational & Housing Facility Board Variable Revenue Bonds, Burkle & Main Apartment, 1.40%, 5/1/22 (2)(4)(5)		2,500		2,495
Metropolitan Government Nashville & Davidson County G.O. Unlimited & Improvement Bonds, 5.00%, 7/1/20		14,890		15,034
5.00%, 7/1/21		13,245		13,890
Metropolitan Government Nashville & Davidson County Health & Educational Facility Board Collateralized MFH Variable Revenue Bonds, Hermitage Flats, 1.50%, 7/1/20		3,750		3,751
Metropolitan Government of Nashville & Davidson County Health & Educational Facilities Board Variable Revenue Bonds, E. Webster Street Apartments, 2.05%, 4/1/21 (2)(4)(5)		3,000		3,000
				38,170
Texas – 5.0%
Alamo Community College District G.O. Limited Bonds, Maintenance Tax Notes, 3.00%, 2/15/21		9,000		9,151
4.00%, 2/15/22		4,250		4,478
Alamo Community College District G.O. Limited Refunding Bonds, 3.00%, 8/15/20		4,000		4,028

See Notes to the Financial Statements.

FIXED INCOME FUNDS 78 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Texas – 5.0% – continued
Alvin Independent School District Schoolhouse Variable G.O. Unlimited Bonds, Series B (PSF, Gtd.), 1.25%, 8/15/22 (2)(4)(5)		$7,500		$7,459
Bexar County G.O. Limited Refunding Bonds, 5.00%, 6/15/21		710		743
5.00%, 6/15/22		800		867
Clear Creek Independent School District G.O. Unlimited Bonds, Series B (PSF, Gtd.), 1.35%, 8/15/22 (2)(4)(5)		19,000		18,953
Clear Creek Independent School District Variable G.O. Unlimited Bonds, Series B (PSF, Gtd.), 2.15%, 8/16/21 (2)(4)(5)		9,500		9,571
Clifton Higher Education Finance Corp. Education Revenue Bonds, Idea Public Schools (PSF, Gtd.), 5.00%, 8/15/21		1,120		1,179
5.00%, 8/15/22		1,715		1,867
Cypress-Fairbanks Independent School District G.O. Unlimited Bonds, Series B-1 (PSF, Gtd.), 1.25%, 8/15/22 (2)(4)(5)		4,500		4,497
Dallas County Community College District G.O. Unlimited Refunding Bonds, 5.00%, 2/15/21		5,610		5,800
Denton County Permanent Improvement G.O. Limited Refunding Bonds, 5.00%, 7/15/21		1,635		1,715
Garland Independent School District G.O. Unlimited Refunding Bonds, 5.00%, 2/15/21		3,000		3,102
Goose Creek Texas Consolidated Independent School District G.O. Unlimited Bonds, Series B (PSF, Gtd.), 1.30%, 8/16/21 (2)(4)(5)		13,800		13,744
Houston Independent School District G.O. Limited Refunding Bonds, Series A (PSF, Gtd.), 5.00%, 2/15/21		1,350		1,397

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Texas – 5.0% – continued
Houston Independent School District Public Facilities Corp. Lease Revenue Refunding Bonds, 5.00%, 9/15/22		$1,500		$1,635
Houston Independent School District Variable G.O. Limited Bonds, Series A-2 (PSF, Gtd.), 2.25%, 6/1/22 (2)(4)(5)		14,000		14,155
Houston Independent School District Variable G.O. Limited Refunding Bonds (PSF, Gtd.), 2.40%, 6/1/21 (2)(4)(5)		4,000		4,045
Houston Public Improvement G.O. Limited Refunding Bonds, Series A, 5.00%, 3/1/21		4,045		4,188
Houston Utility System Variable Revenue Refunding Bonds, Series C, First Lien, (Floating, ICE LIBOR USD 1M + 0.36%), 1.01%, 8/1/21 (2)(4)		5,000		4,989
Humble Independent School District G.O. Unlimited Refunding Bonds, Series B (PSF, Gtd.), 5.00%, 2/15/22		4,060		4,357
Katy Independent School District Variable G.O. Unlimited Refunding Bonds, Series 2015C (PSF, Gtd.), (Floating, ICE LIBOR USD 1M + 0.28%), 0.75%, 8/16/21 (2)(4)		6,000		6,001
Lower Colorado River Authority Transmission Contract Revenue Refunding Bonds, LCRA Transmission Services, 5.00%, 5/15/21		2,000		2,085
Mission Economic Development Corp. Solid Waste Disposal Adjustable Revenue Bonds (AMT), Waste Management, Inc., Project, 2.50%, 8/1/20		3,000		3,003
North Texas Tollway Authority Revenue Refunding Bonds, Series A, First Tier, 5.00%, 1/1/21		2,000		2,057
5.00%, 1/1/22		1,850		1,971

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 79 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Texas – 5.0% – continued
Spring Branch Independent School District Variable G.O. Unlimited Bonds, Schoolhouse Bonds (PSF, Gtd.), 1.55%, 6/15/21 (2)(4)(5)		$6,000		$5,996
Texas State PFA G.O. Unlimited Refunding Bonds, Series A, 5.00%, 10/1/21		5,000		5,286
Texas State Transportation Commission Highway Improvement G.O. Unlimited Bonds, 5.00%, 4/1/21		8,410		8,732
Texas State Transportation Commission State Highway Fund Revenue Refunding Bonds, Series A, First Tier, 5.00%, 4/1/20		7,025		7,025
Texas State Transportation Commission State Highway Fund Revenue Refunding Bonds, Series B, First Tier, 4.00%, 10/1/21 (2)(4)(5)		3,035		3,142
Texas State Water Development Board Revenue Bonds, Series A, 5.00%, 10/15/21		1,875		1,987
5.00%, 4/15/22		1,450		1,563
5.00%, 10/15/22		2,700		2,957
Texas State Water Development Board Revenue Bonds, State Water Implementation Fund, 5.00%, 4/15/20		4,000		4,006
Waco G.O. Limited Refunding Bonds, 5.00%, 2/1/21		5,505		5,681
5.00%, 2/1/22		2,000		2,139
				185,551
Utah – 0.7%
Alpine School District G.O. Unlimited Bonds, Series B (School Board Guaranty Program), 5.00%, 3/15/22		12,825		13,794
Salt Lake County G.O. Unlimited Bonds, 5.00%, 12/15/21		3,350		3,572
5.00%, 12/15/22		3,975		4,386

	PRINCIPAL AMOUNT		VALUE
	(000s)		(000s)
MUNICIPAL BONDS – 62.8% – continued
Utah – 0.7% – continued
University of Utah Revenue Refunding Bonds, Series A (State Appropriation Insured), 4.00%, 8/1/20		$2,530		$2,554
				24,306
Virginia – 3.7%
Arlington County G.O. Unlimited Bonds, 5.00%, 6/15/21		4,370		4,575
5.00%, 6/15/22		4,595		4,986
Arlington County G.O. Unlimited Bonds, Series C (State Aid Withholding), Prerefunded, 5.00%, 2/15/21 (7)		4,000		4,136
Fairfax County G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 4.00%, 10/1/21		18,880		19,708
4.00%, 10/1/22		14,495		15,524
Fairfax County IDA Health Care Revenue Refunding Bonds, Series S, Inova Health System, 5.00%, 5/15/21 (2)(4)(5)		15,000		15,582
Hampton Roads Transportation Accountability Commission Revenue BANS, Series A, 5.00%, 7/1/22		41,800		45,407
Loudoun County G.O. Unlimited Bonds, Series A (State Aid Withholding), 5.00%, 12/1/20		5,000		5,130
5.00%, 12/1/21		9,000		9,583
5.00%, 12/1/22		3,620		3,989
Louisa IDA Pollution Control Variable Revenue Bonds, Virginia Electric, 1.80%, 4/1/22 (2)(4)(5)		3,750		3,785
Virginia State G.O. Unlimited Refunding Bonds, Series B, 5.00%, 6/1/22		7,025		7,610
				140,015

See Notes to the Financial Statements.

FIXED INCOME FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Washington – 3.2%
Central Puget Sound Regional Transportation Authority Variable Sales & Use TRB, Series S-2A-R, Green Bonds, (Floating, SIFMA Municipal Swap Index Yield + 0.30%), 2.13%, 11/1/21 (2)(4)		$10,000		$9,920
Central Puget Sound Regional Transportation Authority Variable Sales & Use TRB, Series S-2B-R, Green Bonds, (Floating, SIFMA Municipal Swap Index Yield + 0.45%), 2.28%, 11/1/23 (2)(4)		12,500		12,412
King County School District No.403 Renton G.O. Unlimited Bonds (School Board Guaranty Program), 4.00%, 12/1/21		1,690		1,771
King County School District No.405 Bellevue G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/20		7,150		7,336
Seattle Municipal Light & Power Improvement Revenue Bonds, 5.00%, 4/1/21		3,250		3,377
5.00%, 4/1/22		3,420		3,676
Seattle Municipal Light & Power Improvement Revenue Refunding & Improvement Bonds, Series B, 5.00%, 2/1/22		11,400		12,205
Snohomish County School District No. 15 Edmonds G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/20		2,630		2,698
Washington State G.O. Unlimited Refunding Bonds, Motor Vehicle Fuel Tax, 5.00%, 7/1/20		5,210		5,261
5.00%, 7/1/21		20,450		21,451
Washington State G.O. Unlimited Refunding Bonds, Series D, Motor Vehicle Fuel Tax, 5.00%, 6/1/20		3,595		3,618
5.00%, 6/1/21		3,770		3,942
Washington State G.O. Unlimited Refunding Bonds, Series R-2015D, 5.00%, 7/1/20		5,000		5,049

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 62.8% – continued
Washington – 3.2% – continued
Washington State G.O. Unlimited Refunding Bonds, Series R-2018C, 5.00%, 8/1/20		$11,455		$11,604
Washington State G.O. Unlimited Refunding Bonds, Series R-2020A, 5.00%, 1/1/21		2,390		2,460
5.00%, 1/1/22		3,500		3,737
Washington State G.O. Unlimited Refunding Bonds, Series R-2020B, 5.00%, 1/1/21		7,650		7,875
5.00%, 1/1/22		2,750		2,937
				121,329
Wisconsin – 1.1%
Milwaukee RANS, Series R2, 3.00%, 5/7/20		6,500		6,512
Wisconsin State G.O. Unlimited Bonds, Series B, 5.00%, 5/1/21		6,000		6,253
5.00%, 5/1/22		8,500		9,181
Wisconsin State G.O. Unlimited Refunding Bonds, Series 2, 5.00%, 11/1/21		6,210		6,592
Wisconsin State Health & Educational Facilities Authority Variable Revenue Refunding Bonds, Advocate Aurora, (Floating, SIFMA Municipal Swap Index Yield + 0.35%), 2.18%, 7/28/21 (2)(4)		9,000		9,006
(Floating, SIFMA Municipal Swap Index Yield + 0.65%), 2.48%, 7/31/24 (2)(4)		5,000		5,051
				42,595
Total Municipal Bonds
(Cost $2,348,259)				2,345,374
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 4.7%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (9)(10)		177,309,408		$177,309
Total Investment Companies
(Cost $177,309)				177,309

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 81 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 19.8%
Alamo Heights Independent School District School Building Variable G.O. Unlimited Bonds, Series B (PSF, Gtd.), 3.00%, 2/1/21 (2)(4)(5)		$2,700		$2,731
Arizona State School District COPS TANS, 2.00%, 7/28/20		23,000		22,924
Broward County School District Revenue TANS, 3.00%, 6/30/20		28,950		29,065
Citizens Property Insurance Corp. Senior Secured Revenue Bonds, Series A-1, 5.00%, 6/1/20		10,685		10,750
Clark County PCR Revenue Refunding Bonds, Nevada Power Co., 1.60%, 5/21/20 (2)(4)(5)		5,600		5,602
Colorado State Education Loan Program TRANS, Series B, 1.75%, 6/29/20		3,025		3,028
Colorado State Educational Loan Program TRANS, Series A, 3.00%, 6/29/20		41,500		41,674
Colorado State General Fund TRANS, 3.00%, 6/26/20		50,000		50,202
Colorado State General Fund TRANS, 5.00%, 6/26/20		15,000		15,131
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series A-3, Yale University, 1.80%, 2/9/21 (2)(4)(5)		12,500		12,500
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series X-2, Yale University, 1.80%, 2/9/21 (2)(4)(5)		12,000		12,000
Cuyahoga Metropolitan Housing Authority MFH Variable Revenue Bonds, Riverside Park Phase, 2.00%, 4/1/21 (2)(4)(5)		7,000		7,028
Cypress-Fairbanks Independent School District G.O. Unlimited Bonds, Series B-3 (PSF, Gtd.), 1.40%, 8/17/20 (2)(4)(5)		7,130		7,125
Deer Park Independent School District G.O. Unlimited Bonds (PSF, Gtd.), 1.55%, 10/1/20 (2)(4)(5)		4,000		3,999
Delaware State G.O. Unlimited Bonds, Series A, 5.00%, 1/1/21		12,000		12,351

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 19.8% – continued
Denver City & County G.O. Unlimited Refunding Bonds, Series B, Justice System, 5.00%, 8/1/20		$4,745		$4,806
District of Columbia Revenue Bonds, Federal Highway Grant Anticipation, 5.00%, 12/1/20		4,855		4,980
Escambia County Solid Waste Disposal Revenue Bonds, Gulf Power Company Project, 1.80%, 11/19/20 (2)(4)(5)		13,000		13,039
Fairfax County G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 3.00%, 10/1/20		14,555		14,696
Florida Development Finance Corp. Surface Transportation Facilities Variable Revenue Bonds (AMT), Virgin Trains U.S.A. Pass, 0.62%, 6/18/20 (2)(4)(5)		65,000		64,958
Florida State Board of Education Public Education Capital Outlay G.O. Unlimited Refunding Bonds, Series D, 5.00%, 6/1/20		1,690		1,701
Franklin County Health & Educational Facilities Board Collateralized MFH Revenue Bonds, BTT Development Village Associates, 2.40%, 12/1/20 (2)(4)(5)		3,750		3,769
Gainesville & Hall County Hospital Authority Revenue Refunding Bonds, Northeast Georgia Health System, Inc., Project, 5.00%, 2/15/21		3,275		3,382
Gulf Coast IDA Variable Revenue Bonds, Exxon Mobil Project, 0.55%, 4/2/20 (2)(4)(11)		50,000		50,000
Harris County Road G.O. Unlimited Refunding Bonds, Series A, 4.00%, 10/1/20		4,325		4,388
Houston Revenue TRANS, 3.00%, 6/26/20		28,000		28,117
Illinois State Finance Authority Gas Supply Revenue Refunding Bonds, Series B, Peoples Gas Light & Coke, 1.88%, 8/1/20 (2)(4)(5)		5,000		5,005
Indiana State Health Facility Financing Authority Revenue Bonds, Ascension Health Credit Group, 1.35%, 8/4/20 (2)(4)(5)		4,515		4,508

See Notes to the Financial Statements.

FIXED INCOME FUNDS 82 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 19.8% – continued
Jordan School District Building G.O. Unlimited Refunding Bonds, Series B (School Board Guaranty Program), 5.00%, 6/15/20		$5,870		$5,917
King County School District No.403 Renton G.O. Unlimited Bonds (School Board Guaranty Program), 4.00%, 12/1/20		3,000		3,058
Louisiana State G.O. Unlimited Bonds, Series A, 5.00%, 3/1/21		8,000		8,276
Louisiana State G.O. Unlimited Refunding Bonds, Series B, 5.00%, 11/15/20		62,220		63,678
Louisville & Jefferson County Metropolitan Government Pollution Control Variable Revenue Refunding Bonds, Louisville Gas & Electric Company Project, 1.85%, 4/1/21 (2)(4)(5)		12,200		12,226
Massachusetts State G.O. Limited RANS Series C, 4.00%, 6/18/20		19,000		19,112
Matagorda County Navigation District No.1 Variable Revenue Refunding Bonds (AMT), Central Power & Light, 1.75%, 9/1/20 (2)(4)(5)		8,335		8,344
Metropolitan Government of Nashville & Davidson County Health & Educational Facilities Board Collateralized MFH Revenue Bonds, Trevecca Towers I/East Project, 2.00%, 1/1/21 (2)(4)(5)		12,000		12,043
Metropolitan Government of Nashville & Davidson County Health & Educational Facilities Board Revenue Bonds, Oakwood Flats Apartments Project, 2.10%, 10/1/20 (2)(4)(5)		7,350		7,374
Metropolitan Transportation Authority Variable Revenue Bonds, Series A-1, 5.00%, 11/15/20 (2)(4)(5)		14,000		14,314
Miami-Dade County HFA MFH Revenue Bonds, Westview Garden Apartments, 2.38%, 6/1/20 (2)(4)(5)		4,000		4,005
Miami-Dade County Seaport Refunding G.O. Unlimited Bonds, Series C, 4.50%, 10/1/20		7,100		7,221

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 19.8% – continued
Minnesota 911 Revenue Refunding Bonds, Public Safety Radio Communications System Project, 5.00%, 6/1/20		$8,965		$9,023
Mississippi State Business Finance Commission Gulf Opportunity Zone Revenue Bonds, Series G, Chevron U.S.A., Inc., 0.65%, 4/2/20 (2)(4)(11)		30,000		30,000
Mississippi State Business Finance Commission Gulf Opportunity Zone Variable Revenue Bonds, Series A, Chevron U.S.A., Inc., 1.29%, 4/9/20 (2)(4)(11)		1,000		1,000
Murfreesboro Housing Authority Collateralized MFH Revenue Bonds, Westbrook Towers Project, 2.13%, 9/1/20 (2)(4)(5)		5,000		5,013
New Jersey State Housing & Mortgage Finance Agency Multifamily Conduit Variable Revenue Bonds, Georgia King Village Project (HUD Sector 8 Program), 2.45%, 10/1/20 (2)(4)(5)		4,500		4,521
New York G.O. Unlimited Refunding Bonds, Series C-1, 4.00%, 8/1/20		10,000		10,095
Northside Texas Independent School District Building G.O. Unlimited Bonds (PSF, Gtd.), 1.45%, 6/1/20 (2)(4)(5)		5,550		5,549
Oklahoma Housing Finance Agency Collateralized Variable Revenue Bonds, Sooner Haven Apartments, 2.38%, 10/1/20 (2)(4)(5)		2,500		2,512
Oregon State Department of Transportation Highway User Tax Revenue Refunding Bonds, Series C, Senior Lien, 5.00%, 11/15/20		1,000		1,024
Prince George’s County Consolidated Public Improvement G.O. Limited Bonds, Series A, 5.00%, 7/1/20		2,875		2,903
Richmond G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 5.00%, 7/15/20		7,370		7,453

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 83 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 19.8% – continued
Saint Paul Housing & Redevelopment Authority MFH Revenue Bonds, Legends Berry Senior Apartments Project, 2.20%, 9/1/20 (2)(4)(5)		$1,140		$1,140
San Antonio Housing Trust Finance Corp. MFH Revenue Bonds, Brookwood Senior Apartments, 2.10%, 5/1/20 (2)(4)(5)		1,700		1,701
Savannah Housing Authority Revenue Bonds, Preserve Chatham Parkway Apartments, 2.00%, 8/1/20 (2)(4)(5)		3,000		3,004
University of Alabama University General Revenue Refunding Bonds, Series A, 5.00%, 7/1/20		2,700		2,726
Utah State G.O. Unlimited Bonds, 5.00%, 7/1/20		8,000		8,077
Virginia State G.O. Unlimited Refunding Bonds, Series B, 5.00%, 6/1/20		10,390		10,457
Volusia County School Board COPS, 5.00%, 8/1/20		7,300		7,393
Washington Suburban Sanitary District Consolidated Public Improvement Revenue Bonds (County Gtd.), 5.00%, 6/1/20		5,235		5,269
Westerville City School District G.O. Unlimited Bonds, 3.00%, 12/1/20		10,075		10,205
Worcester G.O. Limited Bonds, Series A, 4.00%, 2/1/21		4,810		4,927
Total Short-Term Investments
(Cost $739,236)				739,019
Total Investments – 100.7%
(Cost $3,770,044)				3,762,662
Liabilities less Other Assets – (0.7%)				(25,103	)
NET ASSETS – 100.0%				$3,737,559

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Variable rate security. Rate as of March 31, 2020 is disclosed.

(3) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(4) Maturity date represents the puttable date.

(5) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(6) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(7) Maturity date represents the prerefunded date.

(8) Security has converted to a fixed rate as of July 1, 2008, and will be going forward.

(9) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(10) 7-day current yield as of March 31, 2020 is disclosed.

(11) Rate is determined by a remarketing agent which, in its judgment, on the basis of prevailing financial markets, will be the lowest interest rate necessary to enable the remarketing agent to sell the bonds at a price equal to 100% of the principal amount.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

3M – 3 Month

AGM – Assured Guaranty Municipal Corporation

AMT – Alternative Minimum Tax

BANS – Bond Anticipation Notes

COPS – Certificates of Participation

FHLMC – Federal Home Loan Mortgage Corporation

FNMA – Federal National Mortgage Association

G.O. – General Obligation

GNMA – Government National Mortgage Association

Gtd. – Guaranteed

HFA – Housing Finance Authority

HUD – Housing and Urban Development

IBC – Insured Bond Certificates

ICE – Intercontinental Exchange

IDA – Industrial Development Authority

LANS – Loan Anticipation Notes

LCRA – Lower Colorado River Authority

LIBOR – London Interbank Offered Rate

LOC – Letter of Credit

See Notes to the Financial Statements.

FIXED INCOME FUNDS 84 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

MFH – Multi-Family Housing

NATL – National Public Finance Guarantee Corporation

PCR – Pollution Control Revenue

PFA – Public Finance Authority

PSF – Permanent School Fund

RANS – Revenue Anticipation Notes

S&P – Standard & Poor’s

SFM – Single Family Mortgage

SIFMA – Securities Industry and Financial Markets Association

SOFR – Secured Overnight Financing Rate

SonyMA – State of New York Mortgage Agency

TANS – Tax Anticipation Notes

TRANS – Tax and Revenue Anticipation Notes

TRB – Tax Revenue Bonds

USD – United States Dollar

YKHC – Yukon Kuskokwim Health Corporation

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		2.2%
AAA		23.0
AA		33.2
A		17.6
A1+ (Short Term)		0.4
A1 (Short Term)		8.9
BBB		3.9
BB		0.1
Not Rated		6.0
Cash Equivalents		4.7
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Corporate Bonds (1)		$ –		$ 282,072		$–		$282,072
Foreign Issuer Bonds (1)		–		136,504		–		136,504
U.S. Government Obligations (1)		–		82,384		–		82,384
Municipal Bonds (1)		–		2,345,374		–		2,345,374
Investment Companies		177,309		–		–		177,309
Short-Term Investments		–		739,019		–		739,019
Total Investments		$177,309		$3,585,353		$–		$3,762,662

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 85 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 9.9%
Auto Floor Plan – 0.8%
Ford Credit Floorplan Master Owner Trust, Series 2019-1, Class A 2.84%, 3/15/24		$4,300		$4,250
NextGear Floorplan Master Owner Trust, Series 2017-2A, Class A2 2.56%, 10/17/22 (1)		1,000		964
NextGear Floorplan Master Owner Trust, Series 2018-1A, Class A1 (Floating, ICE LIBOR USD 1M + 0.64%), 1.34%, 2/15/23 (1)(2)		2,250		2,137
Nissan Master Owner Trust Receivables, Series 2019-B, Class A (Floating, ICE LIBOR USD 1M + 0.43%), 1.13%, 11/15/23 (2)		9,100		8,651
				16,002
Automobile – 2.0%
Americredit Automobile Receivables Trust, Series 2019-2, Class A2A 2.43%, 9/19/22		1,734		1,728
Chesapeake Funding II LLC, Series 2017-2A, Class A2 (Floating, ICE LIBOR USD 1M + 0.45%, 0.45% Floor), 1.15%, 5/15/29 (1)(2)		778		771
Chesapeake Funding II LLC, Series 2017-3A, Class A1 1.91%, 8/15/29 (1)		1,204		1,197
Chesapeake Funding II LLC, Series 2017-4A, Class A1 2.12%, 11/15/29 (1)		1,599		1,589
Chesapeake Funding II LLC, Series 2018-1A, Class A2 (Floating, ICE LIBOR USD 1M + 0.45%), 1.15%, 4/15/30 (1)(2)		2,751		2,694
Chesapeake Funding II LLC, Series 2019-1A, Class A1 2.94%, 4/15/31 (1)		4,550		4,517
Drive Auto Receivables Trust, Series 2020-1, Class A2 1.99%, 12/15/22		4,600		4,612
Enterprise Fleet Financing LLC, Series 2017-3, Class A2 2.13%, 5/22/23 (1)		540		537
Enterprise Fleet Financing LLC, Series 2018-2, Class A2 3.14%, 2/20/24 (1)		1,574		1,568

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 9.9% – continued
Automobile – 2.0% – continued
Ford Credit Auto Lease Trust, Series 2019-A, Class A2A 2.84%, 9/15/21		$3,825		$3,828
GM Financial Automobile Leasing Trust, Series 2019-3, Class A2A 2.09%, 10/20/21		1,589		1,587
GM Financial Automobile Leasing Trust, Series 2020-1, Class A3 1.67%, 12/20/22		2,720		2,671
Mercedes-Benz Auto Lease Trust, Series 2019-A, Class A2 3.01%, 2/16/21		671		672
Santander Drive Auto Receivables Trust, Series 2019-3, Class A2A 2.28%, 2/15/22		3,912		3,904
Santander Retail Auto Lease Trust, Series 2019-A, Class A2 2.72%, 1/20/22 (1)		6,642		6,639
Securitized Term Auto Receivables Trust, Series 2019-1A, Class A2 2.86%, 5/25/21 (1)		1,375		1,377
Volkswagen Auto Loan Enhanced Trust, Series 2018-1, Class A2A 2.81%, 7/20/21		94		94
Wheels SPV, Series 2018-1A, Class A2 3.06%, 4/20/27 (1)		451		450
World Omni Auto Receivables Trust, Series 2019-B, Class A2 2.63%, 6/15/22 (1)		3,975		3,984
				44,419
Credit Card – 5.4%
American Express Credit Account Master Trust, Series 2017-5, Class A (Floating, ICE LIBOR USD 1M + 0.38%), 1.08%, 2/18/25 (2)		2,000		1,928
American Express Credit Account Master Trust, Series 2019-2, Class A 2.67%, 11/15/24		9,300		9,558
BA Credit Card Trust, Series 2017-A2, Class A2 1.84%, 1/17/23		1,000		999
BA Credit Card Trust, Series 2018-A1, Class A1 2.70%, 7/17/23		3,000		3,028

See Notes to the Financial Statements.

FIXED INCOME FUNDS 86 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 9.9% – continued
Credit Card – 5.4% – continued
BA Credit Card Trust, Series 2018-A2, Class A2 3.00%, 9/15/23		$1,000		$1,015
Barclays Dryrock Issuance Trust, Series 2019-1, Class A 1.96%, 5/15/25		3,500		3,465
Capital One Multi-Asset Execution Trust, Series 2019-A1, Class A1 2.84%, 12/15/24		2,000		2,057
Capital One Multi-Asset Execution Trust, Series 2019-A2, Class A2 1.72%, 8/15/24		9,100		9,188
Chase Issuance Trust, Series 2012-A7, Class A7 2.16%, 9/15/24		1,000		1,021
Discover Card Execution Note Trust, Series 2019-A3, Class A 1.89%, 10/15/24		15,000		15,066
Golden Credit Card Trust, Series 2018-1A, Class A 2.62%, 1/15/23 (1)		5,000		4,999
Golden Credit Card Trust, Series 2018-3A, Class A (Floating, ICE LIBOR USD 1M + 0.32%, 0.32% Floor), 1.02%, 5/15/23 (1)(2)		5,000		4,906
Golden Credit Card Trust, Series 2019-2A, Class A (Floating, ICE LIBOR USD 1M + 0.35%, 0.35% Floor), 1.05%, 10/15/23 (2)		17,000		16,562
Synchrony Card Funding LLC, Series 2019-A1, Class A 2.95%, 3/15/25		11,500		11,643
World Financial Network Credit Card Master Trust, Series 2017-C, Class A 2.31%, 8/15/24		3,000		2,981
World Financial Network Credit Card Master Trust, Series 2018-A, Class A 3.07%, 12/16/24		7,000		6,981
World Financial Network Credit Card Master Trust, Series 2019-A, Class A 3.14%, 12/15/25		12,745		12,845
World Financial Network Credit Card Master Trust, Series 2019-B, Class A 2.49%, 4/15/26		4,000		4,003

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 9.9% – continued
Credit Card – 5.4% – continued
World Financial Network Credit Card Master Trust, Series 2019-C, Class A 2.21%, 7/15/26		$6,000		$5,763
				118,008
Other – 1.3%
CCG Receivables Trust, Series 2018-2, Class A2 3.09%, 12/15/25		2,108		2,102
Dell Equipment Finance Trust, Series 2019-1, Class A2 2.78%, 8/23/21 (1)		3,710		3,691
Dell Equipment Finance Trust, Series 2019-2, Class A2 1.95%, 12/22/21 (1)		9,000		8,910
HPEFS Equipment Trust, Series 2019-1A, Class A3 2.21%, 9/20/29 (1)		1,250		1,231
Verizon Owner Trust, Series 2019-A, Class A1A 2.93%, 9/20/23		4,250		4,321
Verizon Owner Trust, Series 2020-A, Class A1A 1.85%, 7/22/24		8,500		8,292
				28,547
Whole Loan – 0.4%
Gosforth Funding PLC, Series 2017-1A, Class A1A (Floating, ICE LIBOR USD 3M + 0.47%), 1.52%, 12/19/59 (1)(2)		718		712
Holmes Master Issuer PLC, Series 2018-1A, Class A2 (Floating, ICE LIBOR USD 3M + 0.36%), 2.19%, 10/15/54 (1)(2)		1,851		1,845
Lanark Master Issuer PLC, Series 2018-1A, Class 1A (Floating, ICE LIBOR USD 3M + 0.42%), 2.10%, 12/22/69 (2)		1,680		1,674
Permanent Master Issuer PLC, Series 2018-1A, Class 1A1 (Floating, ICE LIBOR USD 3M + 0.38%), 2.21%, 7/15/58 (1)(2)		4,500		4,489
				8,720
Total Asset-Backed Securities
(Cost $217,150)				215,696

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 87 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CERTIFICATES OF DEPOSIT – 0.2%
Banking – 0.2%
Credit Suisse A.G., New York Branch		5,000		$5,020
COMMERCIAL PAPER – 0.8%
Aerospace & Defense – 0.8%
Boeing (The) Co., 2.24%, 10/29/20 (3)		$18,000		17,381
Total Commercial Paper
(Cost $17,763)				17,381
CORPORATE BONDS – 46.6%
Aerospace & Defense – 0.7%
Boeing (The) Co., 2.30%, 8/1/21		7,190		6,957
Raytheon Co., 3.13%, 10/15/20		7,192		7,229
				14,186
Airlines – 0.6%
Southwest Airlines Co., 2.65%, 11/5/20		13,536		13,387
Automobiles Manufacturing – 4.8%
American Honda Finance Corp., (Floating, ICE LIBOR USD 3M + 0.35%), 2.09%, 11/5/21 (2)		12,550		11,985
2.20%, 6/27/22		5,800		5,698
BMW US Capital LLC, 2.15%, 4/6/20 (1)		4,110		4,109
(Floating, ICE LIBOR USD 3M + 0.41%), 2.26%, 4/12/21 (1)(2)		1,000		969
Daimler Finance North America LLC, 2.20%, 5/5/20 (1)		1,599		1,594
2.70%, 8/3/20 (1)		3,590		3,574
General Motors Financial Co., Inc., (Floating, ICE LIBOR USD 3M + 0.93%), 2.78%, 4/13/20 (2)		1,360		1,357
(Floating, ICE LIBOR USD 3M + 0.54%), 2.28%, 11/6/20 (2)		1,714		1,631
4.20%, 11/6/21		7,500		7,158
Harley-Davidson Financial Services, Inc., (Floating, ICE LIBOR USD 3M + 0.50%), 2.20%, 5/21/20 (1)(2)		2,000		1,993
Hyundai Capital America, (Floating, ICE LIBOR USD 3M + 0.82%), 1.60%, 3/12/21 (1)(2)		3,600		3,556
2.85%, 11/1/22 (1)		5,830		5,693

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Automobiles Manufacturing – 4.8% – continued
Nissan Motor Acceptance Corp., 3.65%, 9/21/21 (1)		$1,348		$1,321
(Floating, ICE LIBOR USD 3M + 0.89%), 2.74%, 1/13/22 (1)(2)		3,000		2,918
Toyota Motor Credit Corp., (Floating, ICE LIBOR USD 3M + 0.13%), 1.83%, 8/13/21 (2)		20,100		19,223
(Floating, ICE LIBOR USD 3M + 0.29%), 2.16%, 10/7/21 (2)		6,000		5,800
(Floating, ICE LIBOR USD 3M + 0.69%), 2.54%, 1/11/22 (2)		1,500		1,435
2.65%, 4/12/22		6,970		7,035
Volkswagen Group of America Finance LLC, 2.40%, 5/22/20 (1)		13,464		13,419
3.88%, 11/13/20 (1)		3,600		3,589
				104,057
Banks – 8.0%
Bank of America N.A., (Floating, ICE LIBOR USD 3M + 0.35%), 2.03%, 5/24/21 (2)		10,100		9,912
Capital One N.A., 2.15%, 9/6/22		2,500		2,433
Citibank N.A., (Floating, ICE LIBOR USD 3M + 0.57%), 2.38%, 7/23/21 (2)		6,000		5,897
(Variable, ICE LIBOR USD 3M + 0.53%), 3.17%, 2/19/22 (4)		9,500		9,549
(Floating, ICE LIBOR USD 3M + 0.60%), 2.29%, 5/20/22 (2)		7,500		7,247
Citizens Bank N.A., 3.25%, 2/14/22		6,150		6,232
Discover Bank, 3.10%, 6/4/20		15,110		15,087
KeyCorp, 2.90%, 9/15/20		1,325		1,322
PNC Bank N.A., 2.60%, 7/21/20		5,750		5,741
(Floating, ICE LIBOR USD 3M + 0.25%), 2.05%, 1/22/21 (2)		7,730		7,608
2.50%, 1/22/21		5,000		5,010
(Floating, ICE LIBOR USD 3M + 0.43%), 1.43%, 12/9/22 (2)		7,500		7,082

See Notes to the Financial Statements.

FIXED INCOME FUNDS 88 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Banks – 8.0% – continued
PNC Financial Services Group (The), Inc., 4.38%, 8/11/20		$449		$451
Truist Bank, 2.25%, 6/1/20		6,750		6,738
(Floating, ICE LIBOR USD 3M + 0.59%), 2.28%, 5/17/22 (2)		15,000		14,628
Truist Financial Corp., 2.05%, 5/10/21		5,678		5,670
3.05%, 6/20/22		13,000		13,262
US Bank N.A., 3.00%, 2/4/21		5,000		5,032
(Floating, ICE LIBOR USD 3M + 0.18%), 2.00%, 1/21/22 (2)		20,000		19,231
Wells Fargo & Co., 4.60%, 4/1/21		2,000		2,043
(Floating, ICE LIBOR USD 3M + 0.93%), 2.66%, 2/11/22 (2)		7,000		6,865
(Floating, ICE LIBOR USD 3M + 1.11%), 2.91%, 1/24/23 (2)		2,000		1,863
Wells Fargo Bank N.A., (Floating, ICE LIBOR USD 3M + 0.38%), 2.08%, 5/21/21 (2)		8,900		8,782
(Floating, ICE LIBOR USD 3M + 0.50%), 2.31%, 7/23/21 (2)		8,300		8,091
				175,776
Biotechnology – 1.1%
Amgen, Inc., 2.20%, 5/11/20		12,150		12,149
Biogen, Inc., 2.90%, 9/15/20		8,904		8,930
Gilead Sciences, Inc., 2.55%, 9/1/20		2,970		2,979
				24,058
Cable & Satellite – 0.1%
Comcast Corp., (Floating, ICE LIBOR USD 3M + 0.63%), 2.46%, 4/15/24 (2)		1,300		1,218
Chemicals – 0.7%
Albemarle Corp., (Floating, ICE LIBOR USD 3M + 1.05%), 2.74%, 11/15/22 (1)(2)		5,170		4,923
DuPont de Nemours, Inc., 3.77%, 11/15/20		6,600		6,621

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Chemicals – 0.7% – continued
International Flavors & Fragrances, Inc., 3.40%, 9/25/20		$4,200		$4,219
				15,763
Commercial Finance – 0.2%
Air Lease Corp., (Floating, ICE LIBOR USD 3M + 0.67%), 2.13%, 6/3/21 (2)		1,800		1,714
International Lease Finance Corp., 8.25%, 12/15/20		3,300		3,275
				4,989
Consumer Finance – 2.0%
American Express Co., 2.20%, 10/30/20		11,556		11,524
(Floating, ICE LIBOR USD 3M + 0.53%), 2.22%, 5/17/21 (2)		5,400		5,254
American Express Credit Corp., (Floating, ICE LIBOR USD 3M + 0.73%), 2.38%, 5/26/20 (2)		550		550
(Floating, ICE LIBOR USD 3M + 1.05%), 1.79%, 9/14/20 (2)		1,000		994
Capital One Bank USA N.A., (Variable, U.S. SOFR + 0.62%), 2.01%, 1/27/23 (4)		16,600		16,223
Capital One Financial Corp., 2.50%, 5/12/20		500		500
2.40%, 10/30/20		470		469
Fiserv, Inc., 2.70%, 6/1/20		655		653
4.75%, 6/15/21		450		454
PayPal Holdings, Inc., 2.20%, 9/26/22		8,090		8,053
				44,674
Diversified Banks – 2.5%
Bank of America Corp., 2.63%, 4/19/21		2,497		2,510
(Floating, ICE LIBOR USD 3M + 1.42%), 3.24%, 4/19/21 (2)		7,000		6,931
(Floating, ICE LIBOR USD 3M + 0.65%), 2.08%, 10/1/21 (2)		3,330		3,255
(Floating, ICE LIBOR USD 3M + 0.38%), 2.19%, 1/23/22 (2)		9,950		9,551
3.30%, 1/11/23		1,031		1,068
Citigroup, Inc., 2.70%, 3/30/21		2,000		2,008

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 89 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Diversified Banks – 2.5% – continued
(Floating, ICE LIBOR USD 3M + 1.07%), 2.07%, 12/8/21 (2)		$5,000		$4,918
(Variable, U.S. SOFR + 0.87%), 2.31%, 11/4/22 (4)		5,100		5,081
JPMorgan Chase & Co., 2.75%, 6/23/20		6,000		5,996
2.55%, 10/29/20		8,400		8,400
2.55%, 3/1/21		278		279
(Floating, ICE LIBOR USD 3M + 1.48%), 3.06%, 3/1/21 (2)		830		832
4.63%, 5/10/21		600		617
2.30%, 8/15/21		925		924
(Floating, ICE LIBOR USD 3M + 0.89%), 2.70%, 7/23/24 (2)		2,100		1,895
				54,265
Electrical Equipment Manufacturing – 1.3%
ABB Finance USA, Inc., 2.80%, 4/3/20		5,749		5,749
Amphenol Corp., 2.20%, 4/1/20		5,360		5,360
Carrier Global Corp., 1.92%, 2/15/23 (1)		3,290		3,239
General Electric Co., 5.55%, 5/4/20		3,725		3,735
Honeywell International, Inc., 1.85%, 11/1/21		300		300
Otis Worldwide Corp., (Floating, ICE LIBOR USD 3M + 0.45%), 1.89%, 4/5/23 (1)(2)		6,200		5,880
Roper Technologies, Inc., 3.00%, 12/15/20		3,600		3,607
				27,870
Entertainment Content – 0.0%
Fox Corp., 3.67%, 1/25/22 (1)		600		613
Exploration & Production – 0.7%
Apache Corp., 3.63%, 2/1/21		749		606
Occidental Petroleum Corp., 4.10%, 2/1/21		12,253		10,415
4.85%, 3/15/21		471		395
2.60%, 8/13/21		3,090		2,430

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS—46.6% – continued
Exploration & Production – 0.7% – continued
Pioneer Natural Resources Co., 3.45%, 1/15/21		$2,215		$2,136
				15,982
Financial Services – 3.3%
Ameriprise Financial, Inc., 3.00%, 3/22/22		4,400		4,455
Bank of New York Mellon (The) Corp., 1.95%, 8/23/22		4,100		4,117
Goldman Sachs Group (The), Inc., (Floating, ICE LIBOR USD 3M + 1.20%), 1.94%, 9/15/20 (2)		4,000		3,997
(Floating, ICE LIBOR USD 3M + 1.77%), 3.45%, 2/25/21 (2)		550		539
2.35%, 11/15/21		3,366		3,362
(Floating, ICE LIBOR USD 3M + 0.75%), 2.43%, 2/23/23 (2)		7,160		6,867
(Floating, ICE LIBOR USD 3M + 1.00%), 2.80%, 7/24/23 (2)		2,000		1,895
Intercontinental Exchange, Inc., 2.75%, 12/1/20		17,063		17,179
Morgan Stanley, 2.80%, 6/16/20		1,065		1,065
2.50%, 4/21/21		1,900		1,905
(Floating, ICE LIBOR USD 3M + 1.18%), 3.00%, 1/20/22 (2)		10,000		9,948
(Floating, U.S. SOFR + 0.70%), 1.61%, 1/20/23 (2)		18,600		17,314
TD Ameritrade Holding Corp., 2.95%, 4/1/22		363		355
				72,998
Food & Beverage – 1.0%
Constellation Brands, Inc., 2.25%, 11/6/20		5,000		4,972
Tyson Foods, Inc., (Floating, ICE LIBOR USD 3M + 0.55%), 2.13%, 6/2/20 (2)		14,725		14,688
(Floating, ICE LIBOR USD 3M + 0.45%), 2.15%, 8/21/20 (2)		2,100		2,095
2.25%, 8/23/21		700		697
				22,452
Forest & Paper Products Manufacturing – 0.1%
Georgia-Pacific LLC, 5.40%, 11/1/20 (1)		2,461		2,485

See Notes to the Financial Statements.

FIXED INCOME FUNDS 90 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Hardware – 1.6%
Dell International LLC/EMC Corp., 4.42%, 6/15/21 (1)		$8,832		$8,830
Hewlett Packard Enterprise Co., 3.60%, 10/15/20		20,700		20,725
(Floating, ICE LIBOR USD 3M + 0.68%), 1.46%, 3/12/21 (2)		4,690		4,538
				34,093
Health Care Facilities & Services – 1.5%
Cigna Corp., (Floating, ICE LIBOR USD 3M + 0.65%), 1.49%, 9/17/21 (2)		7,000		6,720
3.40%, 9/17/21		1,200		1,223
(Floating, ICE LIBOR USD 3M + 0.89%), 2.72%, 7/15/23 (2)		6,300		5,858
CVS Health Corp., (Floating, ICE LIBOR USD 3M + 0.72%), 1.72%, 3/9/21 (2)		9,905		9,702
2.13%, 6/1/21		2,159		2,161
2.75%, 12/1/22		2,500		2,517
McKesson Corp., 3.65%, 11/30/20		5,322		5,360
				33,541
Homebuilders – 0.1%
D.R. Horton, Inc., 2.55%, 12/1/20		1,560		1,538
Integrated Oils – 0.2%
Chevron Corp., (Floating, ICE LIBOR USD 3M + 0.48%), 1.94%, 3/3/22 (2)		4,975		4,843
Life Insurance – 1.9%
MassMutual Global Funding II, (Floating, ICE LIBOR USD 3M + 0.15%), 1.98%, 1/7/22 (1)(2)		25,000		23,257
Metropolitan Life Global Funding I, 2.05%, 6/12/20 (1)		770		769
New York Life Global Funding, (Floating, ICE LIBOR USD 3M + 0.28%), 2.08%, 1/28/21 (1)(2)		1,000		982
(Floating, ICE LIBOR USD 3M + 0.28%), 2.10%, 1/21/22 (1)(2)		13,100		12,696
Prudential Financial, Inc., 5.38%, 6/21/20		1,500		1,510
4.50%, 11/15/20		2,717		2,736
				41,950

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Machinery Manufacturing – 1.3%
Caterpillar Financial Services Corp., 1.85%, 9/4/20		$2,000		$1,995
(Floating, ICE LIBOR USD 3M + 0.28%), 1.28%, 9/7/21 (2)		18,300		17,624
(Floating, ICE LIBOR USD 3M + 0.51%), 2.20%, 5/15/23 (2)		1,300		1,221
CNH Industrial Capital LLC, 4.88%, 4/1/21		654		639
John Deere Capital Corp., 1.95%, 6/22/20		2,580		2,578
3.20%, 1/10/22		4,000		4,096
				28,153
Managed Care – 0.5%
UnitedHealth Group, Inc., (Floating, ICE LIBOR USD 3M + 0.07%), 1.90%, 10/15/20 (2)		10,305		10,151
Mass Merchants – 0.1%
Dollar Tree, Inc., (Floating, ICE LIBOR USD 3M + 0.70%), 2.54%, 4/17/20 (2)		2,832		2,831
Medical Equipment & Devices Manufacturing – 0.0%
Abbott Laboratories, 2.55%, 3/15/22		500		505
Pharmaceuticals – 0.3%
Bristol-Myers Squibb Co., 2.88%, 2/19/21 (1)		6,320		6,444
Pipeline – 0.7%
Energy Transfer Operating L.P., 4.65%, 6/1/21		3,529		3,399
Enterprise Products Operating LLC, 2.80%, 2/15/21		9,300		9,287
MPLX L.P., (Floating, ICE LIBOR USD 3M + 0.90%), 1.90%, 9/9/21 (2)		1,280		1,210
Sunoco Logistics Partners Operations L.P., 4.40%, 4/1/21		1,640		1,635
				15,531
Property & Casualty Insurance – 0.5%
Allstate (The) Corp., (Floating, ICE LIBOR USD 3M + 0.43%), 1.80%, 3/29/21 (2)		3,000		2,929

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 91 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Property & Casualty Insurance – 0.5% – continued
Aon Corp., 2.20%, 11/15/22		$5,540		$5,514
Marsh & McLennan Cos., Inc., 3.50%, 12/29/20		2,300		2,317
				10,760
Publishing & Broadcasting – 0.2%
NBCUniversal Enterprise, Inc., (Floating, ICE LIBOR USD 3M + 0.40%), 1.83%, 4/1/21 (1)(2)		3,560		3,513
Railroad – 0.1%
Union Pacific Corp., 3.20%, 6/8/21		2,011		2,031
Real Estate – 0.9%
American Tower Corp., 3.30%, 2/15/21		8,500		8,498
4.70%, 3/15/22		650		660
Simon Property Group L.P., 2.50%, 9/1/20		10,000		9,928
				19,086
Restaurants – 0.1%
McDonald’s Corp., 3.50%, 7/15/20		965		969
2.75%, 12/9/20		510		508
				1,477
Retail – Consumer Discretionary – 0.3%
AutoZone, Inc., 4.00%, 11/15/20		3,393		3,392
eBay, Inc., 2.15%, 6/5/20		2,700		2,699
				6,091
Semiconductors – 0.1%
Intel Corp., 3.10%, 7/29/22		2,370		2,460
Software & Services – 1.5%
International Business Machines Corp., (Floating, ICE LIBOR USD 3M + 0.40%), 2.11%, 5/13/21 (2)		25,000		24,699
Moody’s Corp., 2.75%, 12/15/21		8,380		8,319
				33,018

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Supermarkets & Pharmacies – 0.5%
Kroger (The) Co., 3.30%, 1/15/21		$11,127		$11,173
Tobacco – 0.1%
BAT Capital Corp., (Floating, ICE LIBOR USD 3M + 0.59%), 2.29%, 8/14/20 (2)		1,800		1,770
Transportation & Logistics – 1.1%
PACCAR Financial Corp., (Floating, ICE LIBOR USD 3M + 0.20%), 1.91%, 11/13/20 (2)		500		497
3.15%, 8/9/21		395		390
2.65%, 5/10/22		15,500		15,504
2.00%, 9/26/22		3,260		3,211
Penske Truck Leasing Co. L.P./PTL Finance Corp., 3.65%, 7/29/21 (1)		2,400		2,430
Ryder System, Inc., 2.88%, 9/1/20		1,000		995
				23,027
Travel & Lodging – 0.6%
Marriott International, Inc., 3.38%, 10/15/20		2,130		2,051
(Floating, ICE LIBOR USD 3M + 0.60%), 2.18%, 12/1/20 (2)		300		281
2.88%, 3/1/21		3,000		2,808
(Floating, ICE LIBOR USD 3M + 0.65%), 1.65%, 3/8/21 (2)		3,200		2,736
3.13%, 10/15/21		6,000		5,386
				13,262
Utilities – 1.6%
Ameren Corp., 2.70%, 11/15/20		4,330		4,317
Dominion Energy Gas Holdings LLC, 2.80%, 11/15/20		1,450		1,443
Duke Energy Corp., (Floating, ICE LIBOR USD 3M + 0.50%), 2.20%, 5/14/21 (1)(2)		7,400		7,322
Florida Power & Light Co., (Floating, ICE LIBOR USD 3M + 0.40%), 2.14%, 5/6/22 (2)		9,500		8,959
NextEra Energy Capital Holdings, Inc., 2.40%, 9/1/21		5,830		5,825
2.90%, 4/1/22		6,500		6,604

See Notes to the Financial Statements.

FIXED INCOME FUNDS 92 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 46.6% – continued
Utilities – 1.6% continued
Pinnacle West Capital Corp., 2.25%, 11/30/20		$1,400		$1,402
				35,872
Waste & Environment Services & Equipment – 1.2%
Republic Services, Inc., 5.25%, 11/15/21		22,500		23,663
Waste Management, Inc., 4.75%, 6/30/20		2,500		2,516
4.60%, 3/1/21		565		562
				26,741
Wireless Telecommunications Services – 2.5%
AT&T, Inc., 2.45%, 6/30/20		11,235		11,228
2.80%, 2/17/21		6,000		6,027
4.45%, 5/15/21		600		614
(Floating, ICE LIBOR USD 3M + 0.75%), 2.33%, 6/1/21 (2)		14,200		13,789
(Floating, ICE LIBOR USD 3M + 0.95%), 2.78%, 7/15/21 (2)		9,400		9,185
3.88%, 8/15/21		3,231		3,255
Verizon Communications, Inc., (Floating, ICE LIBOR USD 3M + 0.55%), 2.23%, 5/22/20 (2)		9,784		9,783
(Floating, ICE LIBOR USD 3M + 1.00%), 1.74%, 3/16/22 (2)		900		857
				54,738
Total Corporate Bonds
(Cost $1,040,052)				1,019,372
FOREIGN ISSUER BONDS – 30.7%
Auto Parts Manufacturing – 0.1%
Toyota Industries Corp., 3.11%, 3/12/22 (1)		1,900		1,921
Automobiles Manufacturing – 0.2%
Toyota Motor Corp., 2.16%, 7/2/22		3,400		3,380
Banks – 16.7%
ABN AMRO Bank N.V., 2.65%, 1/19/21 (1)		1,705		1,702
ANZ New Zealand International Ltd., 1.90%, 2/13/23 (1)		11,500		11,571

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Banks – 16.7% – continued
Australia & New Zealand Banking Group Ltd., 2.13%, 8/19/20		$250		$249
(Floating, ICE LIBOR USD 3M + 0.32%), 2.05%, 11/9/20 (1)(2)		300		297
(Floating, ICE LIBOR USD 3M + 0.46%), 2.15%, 5/17/21 (1)(2)		2,370		2,326
2.30%, 6/1/21		1,000		999
2.55%, 11/23/21		1,219		1,223
(Floating, ICE LIBOR USD 3M + 0.87%), 2.55%, 11/23/21 (1)(2)		765		724
(Floating, ICE LIBOR USD 3M + 0.58%), 2.31%, 11/9/22 (1)(2)		4,193		3,807
2.05%, 11/21/22		12,700		12,723
Banque Federative du Credit Mutuel S.A., 2.13%, 11/21/22 (1)		13,700		12,725
Barclays Bank PLC, 2.65%, 1/11/21		8,500		8,495
Canadian Imperial Bank of Commerce, 2.10%, 10/5/20		2,385		2,373
(Floating, U.S. SOFR + 0.80%), 0.82%, 3/17/23 (2)		19,500		18,588
Commonwealth Bank of Australia, (Floating, ICE LIBOR USD 3M + 0.83%), 1.83%, 9/6/21 (1)(2)		9,604		9,399
(Floating, ICE LIBOR USD 3M + 0.70%), 1.60%, 3/10/22 (1)(2)		10,145		9,990
Cooperatieve Rabobank U.A., 2.50%, 1/19/21		3,500		3,502
(Floating, ICE LIBOR USD 3M + 0.43%), 2.22%, 4/26/21 (2)		5,575		5,325
3.13%, 4/26/21		1,120		1,128
3.88%, 2/8/22		1,000		1,033
(Floating, ICE LIBOR USD 3M + 0.48%), 2.31%, 1/10/23 (2)		10,000		9,472
Credit Suisse A.G., 3.00%, 10/29/21		4,165		4,213
2.10%, 11/12/21		4,300		4,288
(Floating, U.S. SOFR + 0.45%), 1.20%, 2/4/22 (2)		20,400		19,104
Credit Suisse Group Funding Guernsey Ltd., 3.45%, 4/16/21		2,050		2,063

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 93 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Banks – 16.7% – continued
DBS Group Holdings Ltd., 2.85%, 4/16/22 (1)		$7,600		$7,800
DNB Bank ASA, (Floating, ICE LIBOR USD 3M + 0.37%), 1.82%, 10/2/20 (1)(2)		2,500		2,478
(Floating, ICE LIBOR USD 3M + 1.07%), 2.65%, 6/2/21 (1)(2)		10,000		10,074
2.15%, 12/2/22 (1)		3,730		3,684
(Floating, ICE LIBOR USD 3M + 0.62%), 2.20%, 12/2/22 (1)(2)		11,400		10,859
ING Groep N.V., (Floating, ICE LIBOR USD 3M + 1.15%), 2.52%, 3/29/22 (2)		7,040		6,788
Macquarie Bank Ltd., 2.10%, 10/17/22 (1)		6,000		5,942
National Australia Bank Ltd., 3.38%, 9/20/21		2,600		2,639
3.70%, 11/4/21		3,560		3,618
(Floating, ICE LIBOR USD 3M + 0.89%), 2.72%, 1/10/22 (1)(2)		12,914		12,785
2.80%, 1/10/22		3,031		3,096
1.88%, 12/13/22		9,500		9,446
National Bank of Canada, 2.15%, 6/12/20		4,816		4,797
Nordea Bank Abp, 2.13%, 5/29/20 (1)		7,000		6,993
(Floating, ICE LIBOR USD 3M + 0.94%), 2.55%, 8/30/23 (1)(2)		1,400		1,391
Santander UK PLC, 3.40%, 6/1/21		1,000		1,002
Skandinaviska Enskilda Banken AB, 2.63%, 3/15/21		5,990		5,993
3.25%, 5/17/21 (1)		10,000		10,012
3.05%, 3/25/22 (1)		15,000		14,963
2.20%, 12/12/22 (1)		5,400		5,310
Sumitomo Mitsui Banking Corp., 2.65%, 7/23/20		1,000		992
Svenska Handelsbanken AB, 1.95%, 9/8/20		13,450		13,402
2.40%, 10/1/20		1,750		1,751
2.45%, 3/30/21		1,015		1,019
(Floating, ICE LIBOR USD 3M + 0.47%), 2.15%, 5/24/21 (2)		1,000		974
3.35%, 5/24/21		3,000		3,036

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Banks – 16.7% – continued
1.88%, 9/7/21		$13,360		$13,069
Toronto-Dominion Bank (The), 1.85%, 9/11/20		2,300		2,297
2.50%, 12/14/20		5,674		5,697
(Floating, ICE LIBOR USD 3M + 0.27%), 1.11%, 3/17/21 (2)		10,000		9,752
(Floating, ICE LIBOR USD 3M + 0.43%), 1.20%, 6/11/21 (2)		10,512		10,222
Westpac Banking Corp., 2.65%, 1/25/21		500		502
(Floating, ICE LIBOR USD 3M + 0.85%), 2.70%, 1/11/22 (2)		9,000		8,814
2.80%, 1/11/22		935		944
2.00%, 1/13/23		5,040		4,983
(Floating, ICE LIBOR USD 3M + 0.39%), 2.23%, 1/13/23 (2)		10,900		10,344
				364,787
Commercial Finance – 0.5%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, 5.00%, 10/1/21		5,000		4,621
4.45%, 12/16/21		6,900		6,345
Park Aerospace Holdings Ltd., 5.25%, 8/15/22 (1)		1,000		904
				11,870
Diversified Banks – 6.1%
Bank of Montreal, 1.90%, 8/27/21		3,080		3,087
(Floating, ICE LIBOR USD 3M + 0.79%), 2.43%, 8/27/21 (2)		9,581		9,297
(Floating, ICE LIBOR USD 3M + 0.57%), 1.80%, 3/26/22 (2)		1,627		1,572
2.90%, 3/26/22		5,000		5,064
Bank of Nova Scotia (The), 2.35%, 10/21/20		13,105		13,092
(Floating, ICE LIBOR USD 3M + 0.42%), 2.21%, 1/25/21 (2)		3,520		3,439
(Floating, ICE LIBOR USD 3M + 0.64%), 1.64%, 3/7/22 (2)		1,923		1,853
1.95%, 2/1/23		4,000		3,985
BNP Paribas S.A., 2.38%, 5/21/20		3,725		3,727
2.95%, 5/23/22 (1)		2,600		2,523

See Notes to the Financial Statements.

FIXED INCOME FUNDS 94 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Diversified Banks – 6.1% – continued
Credit Agricole S.A., 2.75%, 6/10/20 (1)		$3,500		$3,507
(Floating, ICE LIBOR USD 3M + 1.18%), 2.61%, 7/1/21 (1)(2)		1,450		1,469
HSBC Holdings PLC, 5.10%, 4/5/21		330		337
2.95%, 5/25/21		900		905
(Floating, ICE LIBOR USD 3M + 1.50%), 2.94%, 1/5/22 (2)		2,439		2,338
Mitsubishi UFJ Financial Group, Inc., 3.54%, 7/26/21		6,800		6,859
3.22%, 3/7/22		6,200		6,301
2.62%, 7/18/22		7,400		7,380
Mizuho Financial Group, Inc., (Floating, ICE LIBOR USD 3M + 1.14%), 1.91%, 9/13/21 (2)		5,000		4,855
Royal Bank of Canada, 2.15%, 10/26/20		60		60
(Floating, ICE LIBOR USD 3M + 0.73%), 2.49%, 2/1/22 (2)		10,000		9,717
2.75%, 2/1/22		4,000		4,091
(Floating, ICE LIBOR USD 3M + 0.47%), 2.24%, 4/29/22 (2)		19,800		19,005
1.95%, 1/17/23		8,300		8,216
(Floating, ICE LIBOR USD 3M + 0.36%), 2.20%, 1/17/23 (2)		2,500		2,333
Sumitomo Mitsui Financial Group, Inc., (Floating, ICE LIBOR USD 3M + 1.68%), 2.68%, 3/9/21 (2)		5,000		4,946
(Floating, ICE LIBOR USD 3M + 1.11%), 2.95%, 7/14/21 (2)		800		764
(Floating, ICE LIBOR USD 3M + 1.14%), 2.96%, 10/19/21 (2)		1,330		1,303
2.78%, 10/18/22		2,261		2,292
				134,317
Electrical Equipment Manufacturing – 0.3%
Siemens Financieringsmaatschappij N.V., 2.15%, 5/27/20 (1)		5,860		5,861
Financial Services – 1.8%
GE Capital International Funding Co. Unlimited Co., 2.34%, 11/15/20		4,000		3,933
UBS A.G., 2.20%, 6/8/20 (1)		7,700		7,678

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Financial Services – 1.8% – continued
2.45%, 12/1/20 (1)		$7,000		$6,974
UBS Group A.G., (Floating, ICE LIBOR USD 3M + 1.44%), 2.64%, 9/24/20 (1)(2)		20,000		19,836
				38,421
Food & Beverage – 0.9%
Mondelez International Holdings Netherlands B.V., 2.00%, 10/28/21 (1)		2,100		2,091
2.13%, 9/19/22 (1)		17,590		17,427
				19,518
Government Development Banks – 1.3%
Japan Bank for International Cooperation, 1.63%, 10/17/22		4,400		4,485
1.75%, 1/23/23		5,400		5,521
Kreditanstalt fuer Wiederaufbau, 2.38%, 3/24/21		5,411		5,510
Nederlandse Waterschapsbank N.V., 1.50%, 8/27/21 (1)		6,000		6,079
Svensk Exportkredit AB, 0.75%, 4/6/23		6,300		6,281
				27,876
Integrated Oils – 1.6%
BP Capital Markets PLC, (Floating, ICE LIBOR USD 3M + 0.25%), 1.93%, 11/24/20 (2)		19,275		18,949
(Floating, ICE LIBOR USD 3M + 0.87%), 1.61%, 9/16/21 (2)		5,433		5,346
Total Capital International S.A., 2.22%, 7/12/21		11,700		11,730
				36,025
Medical Equipment & Devices Manufacturing – 0.0%
DH Europe Finance II S.a.r.l., 2.05%, 11/15/22		850		834
Pharmaceuticals – 0.4%
AstraZeneca PLC, 2.38%, 11/16/20		3,171		3,163
GlaxoSmithKline Capital PLC, 3.13%, 5/14/21		1,020		1,034
Sanofi, 4.00%, 3/29/21		4,524		4,602
				8,799

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 95 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ULTRA-SHORT FIXED INCOME FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 30.7% – continued
Supranationals – 0.8%
European Investment Bank, (Floating, U.S. SOFR + 0.28%), 0.46%, 3/5/24 (1)(2)		$18,400		$18,385
Total Foreign Issuer Bonds
(Cost $683,107)				671,994
U.S. GOVERNMENT AGENCIES – 0.3% (5)
Fannie Mae – 0.3%
2.25%, 4/12/22		6,600		6,843
Total U.S. Government Agencies
(Cost $6,585)				6,843
U.S. GOVERNMENT OBLIGATIONS – 8.0%
U.S. Treasury Notes – 8.0%
1.13%, 8/31/21		25,000		25,332
2.63%, 12/15/21		9,000		9,370
1.38%, 1/31/22		9,585		9,789
2.13%, 5/15/22		10,000		10,401
1.75%, 7/15/22		5,000		5,171
1.50%, 8/15/22		23,000		23,689
1.63%, 11/15/22		12,000		12,425
1.63%, 12/15/22		60,000		62,203
1.38%, 2/15/23		17,300		17,848
				176,228
Total U.S. Government Obligations
(Cost $171,205)				176,228

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.4%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (6)(7)		74,350,491		$74,350
Total Investment Companies
(Cost $74,350)				74,350
Total Investments – 99.9%
(Cost $2,215,212)				2,186,884
Other Assets less Liabilities – 0.1%				2,303
NET ASSETS – 100.0%				$2,189,187

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Variable rate security. Rate as of March 31, 2020 is disclosed.

(3) Discount rate at the time of purchase.

(4) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(5) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(6) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(7) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

3M – 3 Month

Fannie Mae – Federal National Mortgage Association

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

PLC – Public Limited Company

S&P – Standard & Poor’s

SOFR – Secured Overnight Financing Rate

USD – United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

FIXED INCOME FUNDS 96 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		8.1%
U.S. Agency		0.3
AAA		11.9
AA		20.7
A		31.1
A1 (Short Term)		0.2
A2 (Short Term)		0.8
BBB		22.9
BB		0.6
Cash Equivalents		3.4
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Asset-Backed Securities (1)		$–		$215,696		$–		$215,696
Certificates Of Deposit (1)		–		5,020		–		5,020
Commercial Paper (1)		–		17,381		–		17,381
Corporate Bonds (1)		–		1,019,372		–		1,019,372
Foreign Issuer Bonds (1)		–		671,994		–		671,994
U.S. Government Agencies (1)		–		6,843		–		6,843

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
U.S. Government Obligations (1)		$ –		$176,228		$–		$176,228
Investment Companies		74,350		–		–		74,350
Total Investments		$74,350		$2,112,534		$–		$2,186,884

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 97 FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 19.7% (1)
Fannie Mae – 14.8%
Pool #555649, 7.50%, 10/1/32		$28		$31
Pool #AB6336, 2.50%, 10/1/27		511		533
Pool #AL8706, 2.50%, 3/1/29		434		451
Pool #AS4186, 2.50%, 1/1/30		648		672
Pool #AS8597, 2.50%, 1/1/32		634		658
Pool #BH5752, 3.50%, 11/1/47		411		436
Pool #BH9277, 3.50%, 2/1/48		492		520
Pool #BM1239, 3.50%, 2/1/32		156		165
Pool #BM5017, 3.00%, 3/1/30		167		175
Pool #FM1454, 2.50%, 9/1/28		188		196
Pool #FM1472, 3.50%, 3/1/34		285		300
Pool #FM1842, 3.50%, 6/1/34		177		186
Pool #FM1849, 3.50%, 12/1/33		537		566
Pool #FM1852, 3.00%, 7/1/33		181		190
Pool #FM1897, 3.00%, 9/1/32		518		542
Pool #FM2062, 2.50%, 7/1/33		186		193
				5,814
Freddie Mac – 0.9%
Pool #SB0215, 3.00%, 2/1/32		183		192
Pool #ZS7325, 2.50%, 7/1/29		175		182
				374
Freddie Mac Gold – 2.1%
Pool #E09021, 2.50%, 2/1/28		194		201

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 19.7% (1) – continued
Freddie Mac Gold – 2.1% – continued
Pool #E09025, 2.50%, 3/1/28		$592		$615
				816
Freddie Mac Pool – 1.5%
Pool #SB0084, 3.00%, 2/1/32		359		376
Pool #SB0216, 3.00%, 12/1/32		209		220
				596
Government National Mortgage Association I – 0.4%
Pool #676682, 4.50%, 6/15/25		64		67
Pool #782618, 4.50%, 4/15/24		29		30
Pool #783245, 5.00%, 9/15/24		29		30
Pool #783489, 5.00%, 6/15/25		15		15
				142
Total U.S. Government Agencies
(Cost $7,567)				7,742
U.S. GOVERNMENT OBLIGATIONS – 70.1%
U.S. Treasury Notes – 70.1%
0.38%, 3/31/22		1,380		1,384
0.50%, 3/15/23		10,914		10,983
0.50%, 3/31/25		3,520		3,542
0.63%, 3/31/27		4,141		4,160
1.50%, 2/15/30		7,019		7,557
				27,626
Total U.S. Government Obligations
(Cost $27,219)				27,626
	NUMBER OF SHARES		VALUE (000S)
INVESTMENT COMPANIES – 8.0%
FlexShares® Disciplined Duration MBS Index Fund (2)		61,200		$1,452
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (2)(3)		1,703,872		1,704
Total Investment Companies
(Cost $3,144)				3,156

See Notes to the Financial Statements.

FIXED INCOME FUNDS 98 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL
	AMOUNT		VALUE
	(000s)		(000s)
SHORT–TERM INVESTMENTS – 1.3%
U.S. Treasury Bill, 0.01%, 9/17/20 (4)(5)		$500		$500
Total Short-Term Investments
(Cost $500)				500
Total Investments – 99.1%
(Cost $38,430)				39,024
Other Assets less Liabilities – 0.9%				355
NET ASSETS – 100.0%				$39,379

(1) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(2) Investment in affiliated fund. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds and FlexShares Trust.

(3) 7-day current yield as of March 31, 2020 is disclosed.

(4) Discount rate at the time of purchase.

(5) Security pledged as collateral to cover margin requirements for open futures contracts.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

Fannie Mae – Federal National Mortgage Association

Freddie Mac – Federal Home Loan Mortgage Corporation

MBS – Mortgage Backed Securities

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000S)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
5-Year U.S. Treasury Note		29		$3,635		Long		6/20		$26

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		72.4%
U.S. Agency		19.5
Not Rated		3.7
Cash Equivalents		4.4
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000S)		LEVEL 2 (000S)		LEVEL 3 (000S)		TOTAL (000s)
U.S. Government Agencies (1)		$ –		$7,742		$–		$7,742
U.S. Government Obligations (1)		–		27,626		–		27,626
Investment Companies		3,156		–		–		3,156
Short-Term Investments		–		500		–		500
Total Investments		$3,156		$35,868		$–		$39,024
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$26		$–		$–		$26

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 99 FIXED INCOME FUNDS

FIXED INCOME FUNDS

NOTES TO THE FINANCIAL STATEMENTS

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Core Bond, Fixed Income, High Yield Fixed Income, Short Bond, Short-Intermediate U.S. Government, Tax-Advantaged Ultra-Short Fixed Income, Ultra-Short Fixed Income and U.S. Government Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES AND DERIVATIVE CONTRACTS Securities are valued at their fair value. Equity securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, prepayment speeds, credit risks, cash flows, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange traded funds, are valued at their NAV. Spot and forward foreign currency exchange contracts are generally valued using an independent pricing service. Exchange-traded financial futures and options are valued at the settlement price as established by the exchange on which they are traded. Over-the-counter options are valued at broker-provided prices, as are swaps, caps, collars and floors. The foregoing prices may be obtained from one or more independent pricing services or, as needed or applicable, independent broker-dealers. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by a Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

FIXED INCOME FUNDS 100 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

MARCH 31, 2020

B) FUTURES CONTRACTS Certain Funds invest in long or short exchange-traded futures contracts for hedging purposes, to increase total return (i.e., for speculative purposes) or to maintain liquidity to meet potential shareholder redemptions, to invest cash balances or dividends or to minimize trading costs. When used as a hedge, a Fund may sell a futures contract in order to offset a decrease in the fair value of its portfolio securities that might otherwise result from a market decline. A Fund may do so either to hedge the value of its portfolio securities as a whole, or to protect against declines occurring prior to sales of securities in the value of the securities to be sold. Conversely, a Fund may purchase a futures contract as a hedge in anticipation of purchases of securities. In addition, a Fund may utilize futures contracts in anticipation of changes in the composition of its portfolio holdings. A Fund bears the market risk arising from changes in the value of these financial instruments. At the time a Fund enters into a futures contract, it is generally required to make a margin deposit with the custodian of a specified amount of liquid assets. Futures are marked-to-market each day with the change in value reflected in the unrealized gains or losses. Risk may arise as a result of the potential inability of the counterparties to meet the terms of their contracts. Credit risk is mitigated to the extent that the exchange on which a particular futures contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. The Statements of Operations include any realized gains or losses on closed futures contracts in Net realized gains (losses) on futures contracts, and any unrealized gains or losses on open futures contracts in Net change in unrealized appreciation (depreciation) on futures contracts.

The contract positions and investment strategies utilized during the fiscal year ended March 31, 2020, were as follows:

	CONTRACT POSITION	INVESTMENT STRATEGY
Core Bond	Long	Hedging/Liquidity
Fixed Income	Long	Hedging/Liquidity
Short-Intermediate U.S. Government	Long	Hedging/Liquidity
U.S. Government	Long and Short	Hedging/Liquidity

At March 31, 2020, the aggregate market value of assets pledged to cover margin requirements for open positions for the Core Bond, Fixed Income, Short-Intermediate U.S. Government and U.S. Government Funds was approximately $1,000,000, $2,400,000, $400,000 and $500,000, respectively. Further information on the impact of these positions, if any, on the Funds’ financial statements can be found in Note 10.

C) FOREIGN CURRENCY TRANSLATION Values of investments denominated in foreign currencies are converted into U.S. dollars using the spot rates on the NYSE at generally 3:00 P.M. Central Time. The cost of purchases and proceeds from sales of investments, interest and dividend income are translated into U.S. dollars using the spot rates on the NYSE at generally 3:00 P.M. Central Time. The gains or losses, if any, on investments from original purchase date to subsequent sales trade date resulting from changes in foreign exchange rates are included in the Statements of Operations in Net realized gains (losses) on investments and Net change in unrealized appreciation (depreciation) on investments. The gains or losses, if any, on translation of other assets and liabilities denominated in foreign currencies and between the trade and settlement dates on investment transactions are included in Net realized gains (losses) on foreign currency transactions and Net change in unrealized appreciation (depreciation) on foreign currency translations in the Statements of Operations.

D) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS Certain Funds are authorized to enter into forward foreign currency exchange contracts for the purchase or sale of a specific foreign currency at a fixed price on a future date as a hedge against either specific transactions or portfolio positions, or as a cross-hedge transaction or for speculative purposes. The objective of a Fund’s foreign currency hedging transactions is to reduce the risk that the U.S. dollar value of a Fund’s foreign currency denominated securities will decline in value due to changes in foreign currency exchange rates. All forward foreign currency exchange contracts are marked-to-market daily at the applicable exchange rates. Any resulting unrealized gains or losses are recorded in Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts in the Statements of Operations. A Fund records realized gains or losses at the time the forward foreign currency exchange contract is offset by entering into a closing transaction with the same counterparty or is extinguished by delivery of the currency. Realized gains or losses, if any, are included in Net realized gains (losses) on forward foreign currency exchange contracts in the Statements of Operations.

Risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. The contractual amounts of forward foreign currency exchange contracts do not necessarily represent the amounts potentially subject to risk. A Fund bears the market risk from changes in foreign currency exchange rates and the credit risk if the counterparty to the contract fails to perform. The institutions that deal in forward foreign currency exchange contracts are not required to continue to make markets in the currencies they trade and these markets can experience periods of illiquidity. No forward foreign currency exchange contracts were held by the Funds during the fiscal year ended March 31, 2020.

E) WHEN-ISSUED/DELAYED DELIVERY SECURITIES Certain Funds purchase securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time a Fund enters into the commitment to purchase a security, the transaction is recorded and the value of the commitment is reflected in the NAV. The value of the commitment may vary with market fluctuations. No interest accrues to a Fund until settlement

NORTHERN FUNDS ANNUAL REPORT 101 FIXED INCOME FUNDS

FIXED INCOME FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

takes place. At the time a Fund enters into this type of transaction, it is required to segregate collateral of cash or liquid assets having a fair value at least equal to the amount of the commitment. The Funds identify securities as segregated with a value that meets or exceeds the value of the commitments. When-issued securities at March 31, 2020, if any, are noted in each Fund’s Schedule of Investments and in aggregate as Payable for when-issued securities, in each Fund’s Statement of Assets and Liabilities.

On January 6, 2014, certain Funds entered into Master Securities Forward Transaction Agreements (“MSFTA”) with certain counterparties, pursuant to which each party has agreed to pledge cash and/or securities as collateral to secure the repayment of its obligations to the other party under the MSFTA. No collateral has been pledged to or received by the Funds as of March 31, 2020.

F) MORTGAGE DOLLAR ROLLS Certain Funds enter into mortgage “dollar rolls” in which a Fund sells securities for delivery in the future (generally within 30 days) and simultaneously contracts with the same counterparty to repurchase other mortgage securities on a specified future date. During the roll period, a Fund loses the right to receive principal and interest paid on the securities sold. However, a Fund would benefit to the extent of any difference between the price received for the securities sold and the lower forward price for the future purchase.

For financial reporting and tax purposes, the Funds treat mortgage dollar rolls as two separate transactions; one involving the purchase of a security and a separate transaction involving a sale.

G) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent the stated coupon rate, annualized yield on date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income is recognized on the ex-dividend date. The Funds’ income may be subject to certain state and local taxes.

H) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

I) REDEMPTION FEES The High Yield Fixed Income Fund charges a 2 percent redemption fee on the redemption of shares (including by exchange) held for 30 days or less. For the purpose of applying the fee, the Fund uses a first-in, first-out (“FIFO”) method so that shares held longest are treated as being redeemed first and shares held shortest are treated as being redeemed last. The redemption fee is paid to the Fund and is intended to offset the trading, market impact and other costs associated with short-term money movements in and out of the Fund. The redemption fee may be collected by deduction from the redemption proceeds or, if assessed after the redemption transaction, through a separate billing. The redemption fee does not apply to certain types of redemptions as described in the Fund’s prospectus.

Redemption fees for the fiscal years ended March 31, 2020 and 2019, were approximately $25,000 and $38,000, respectively, for the High Yield Fixed Income Fund. These amounts are included in Payments for Shares Redeemed in Note 8 – Capital Share Transactions. The impact from redemption fees paid to the Fund was less than $0.001 per share for both fiscal years.

J) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid as follows:

	DECLARATION FREQUENCY	PAYMENT FREQUENCY
Core Bond	Daily	Monthly
Fixed Income	Daily	Monthly
High Yield Fixed Income	Daily	Monthly
Short Bond	Daily	Monthly
Short-Intermediate U.S. Government	Daily	Monthly
Tax-Advantaged Ultra-Short Fixed Income	Daily	Monthly
Ultra-Short Fixed Income	Daily	Monthly
U.S. Government	Daily	Monthly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Funds may periodically make reclassifications among certain of their capital accounts to reflect differences between financial reporting and federal income tax basis distributions. The reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These reclassifications relate to net operating losses, Section 988 currency gains and losses, and paydowns. These reclassifications have no impact on the net assets or the NAVs per share of the Funds.

FIXED INCOME FUNDS 102 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

MARCH 31, 2020

At March 31, 2020, the following reclassifications were recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)		ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)			CAPITAL STOCK
Core Bond		$549		$(549)			$–
Fixed Income		1,960		(1,915)			(45	)
High Yield Fixed Income		1,119		(1,119)			–
Short Bond		107		(107)			–
Short-Intermediate U.S. Government		38		(38)			–
Ultra-Short Fixed Income		19		(19)			–
U.S. Government		22		(22	)		–

K) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012, and for the Core Bond Fund and the Short Bond Fund, the fiscal year ended November 30, 2012. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 or November 30, 2012, as applicable, can be carried forward for an unlimited period. However, capital losses incurred by the Funds in taxable years beginning before the taxable year ended March 31, 2012 or November 30, 2012, as applicable, with an expiration date may not be used to offset capital gains until all net capital losses incurred in taxable years beginning with the taxable year ended March 31, 2012 or November 30, 2012, as applicable, without an expiration date have been utilized. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

During the fiscal year ended March 31, 2020, the Core Bond, Fixed Income, Short Bond, Short-Intermediate U.S. Government, Tax-Advantaged Ultra-Short Fixed Income, Ultra-Short Fixed Income and U.S. Government Funds utilized approximately $7,806,000, $30,993,000, $1,936,000, $2,216,000, $166,000, $2,054,000 and $1,326,000 in capital loss carryforwards.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Post-enactment losses

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
Fixed Income		$–		$5,602
High Yield Fixed Income		139,794		314,220
Short Bond		3,094		9,451
Short-Intermediate U.S. Government		2,749		1,389

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains (losses) were as follows:

	UNDISTRIBUTED
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Core Bond		$–		$1,248		$–		$(525	)
Fixed Income		–		–		–		(14,497	)
High Yield Fixed Income		–		4,241		–		(667,457	)
Short Bond		–		4		–		(2,789	)
Short-Intermediate U.S. Government		–		9		–		459
Tax-Advantaged Ultra-Short Fixed Income		689		3,086		596		(7,382	)
Ultra-Short Fixed Income		–		3,259		1,634		(28,335	)
U.S. Government		–		986		–		549

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Core Bond		$–		$ 5,492		$–
Fixed Income		–		24,458		–
High Yield Fixed Income		–		234,921		–
Short Bond		–		9,601		–
Short-Intermediate U.S. Government		–		863		–
Tax-Advantaged Ultra-Short Fixed Income		42,812		19,399		80
Ultra-Short Fixed Income		–		56,840		–
U.S. Government		–		543		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

NORTHERN FUNDS ANNUAL REPORT 103 FIXED INCOME FUNDS

FIXED INCOME FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Core Bond		$–		$8,361		$–
Fixed Income		–		41,378		–
High Yield Fixed Income		–		236,381		–
Short Bond		–		13,035		–
Short-Intermediate U.S. Government		–		2,240		–
Tax-Advantaged Ultra-Short Fixed Income		39,264		18,604		–
Ultra-Short Fixed Income		–		52,938		426
U.S. Government		–		734		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for the three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

The Funds did not have any borrowings or incur any interest expense for the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of each Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. NTI has also contractually agreed to reimburse acquired fund fees and expenses related to investments in non-money market mutual funds or exchange traded funds managed by NTI for the Short Bond, Short-Intermediate U.S. Government and U.S. Government Funds. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual

FIXED INCOME FUNDS 104 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

MARCH 31, 2020

limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL ANNUAL MANAGEMENT FEES
	FIRST $1.5 BILLION			NEXT $1 BILLION			OVER $2.5 BILLION			CONTRACTUAL EXPENSE LIMITATIONS
Core Bond		0.38	%		0.369	%		0.358	%		0.40	%
Fixed Income		0.43	%		0.417	%		0.404	%		0.45	%
High Yield Fixed Income		0.79	%		0.766	%		0.743	%		0.78	%
Short Bond		0.38	%		0.369	%		0.358	%		0.40	%
Short-Intermediate U.S. Government		0.38	%		0.369	%		0.358	%		0.40	%
Tax-Advantaged Ultra-Short Fixed Income		0.23	%		0.223	%		0.216	%		0.25	%
Ultra-Short Fixed Income		0.23	%		0.223	%		0.216	%		0.25	%
U.S. Government		0.38	%		0.369	%		0.358	%		0.40	%

The contractual reimbursement arrangements described above are expected to continue until at least July 31, 2020. The contractual reimbursement arrangements will continue automatically for periods of one-year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S. Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statements of Operations. This

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NOTES TO THE FINANCIAL STATEMENTS continued

reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specified conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the following Fund engaged in purchases and/or sales of securities from an affiliated entity:

Amount in thousands	PURCHASES		SALES*
Tax-Advantaged Ultra-Short Fixed Income		$38,435		$57,600

* During the fiscal year ended March 31, 2020, the realized gain (loss) associated with these transactions was approximately $1,000.

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES				SALES
Amounts in thousands	U.S. GOVERNMENT		OTHER		U.S. GOVERNMENT		OTHER
Core Bond		$900,691		$100,332		$945,067		$119,310
Fixed Income		3,209,578		428,147		3,230,693		419,693
High Yield Fixed Income		–		1,756,710		–		1,740,436
Short Bond		190,378		172,400		221,093		183,353
Short-Intermediate U.S. Government		435,007		2,285		438,800		–
Tax-Advantaged Ultra-Short Fixed Income		329,117		2,044,129		346,950		2,365,863

	PURCHASES				SALES
Amounts in thousands	U.S. GOVERNMENT		OTHER		U.S. GOVERNMENT		OTHER
Ultra-Short Fixed Income		$401,311		$1,292,902		$451,430		$1,410,149
U.S. Government		297,186		1,440		297,617		–

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains on certain foreign currency contracts, the deferral of post-October currency and capital losses for tax purposes, and the timing of income recognition on investments in real estate investment trusts and passive foreign investment companies.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
Core Bond		$4,255		$(4,780	)		$(525	)		$196,771
Fixed Income		20,229		(34,726	)		(14,497	)		854,735
High Yield Fixed Income		22,184		(689,631	)		(667,447	)		3,770,612
Short Bond		4,433		(7,221	)		(2,788	)		373,245
Short-Intermediate U.S. Government		459		–			459			57,904
Tax-Advantaged Ultra-Short Fixed Income		9,120		(16,502	)		(7,382	)		3,770,044
Ultra-Short Fixed Income		9,067		(37,401	)		(28,334	)		2,215,218
U.S. Government		549		–			549			38,501

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Core Bond		7,012		$73,237		168		$1,743		(13,873	)		$(143,224	)		(6,693	)		$(68,244	)
Fixed Income		17,342		178,912		592		6,074		(20,342	)		(207,809	)		(2,408	)		(22,823	)
High Yield Fixed Income		151,872		985,597		3,454		22,449		(165,215	)		(1,040,550	)		(9,889	)		(32,504	)

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FIXED INCOME FUNDS

MARCH 31, 2020

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Short Bond		5,891		$111,014		140		$2,624		(8,789	)		$(164,879)			(2,758	)		$(51,241	)
Short-Intermediate U.S. Government		1,203		11,816		22		220		(1,746	)		(17,026)			(521	)		(4,990	)
Tax-Advantaged Ultra-Short Fixed Income		236,399		2,404,938		1,457		14,815		(264,438	)		(2,684,791)			(26,582	)		(265,038	)
Ultra-Short Fixed Income		186,429		1,908,793		2,607		26,641		(210,050	)		(2,146,411)			(21,014	)		(210,977	)
U.S. Government		1,012		9,934		34		332		(966	)		(9,449	)		80			817

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Core Bond		12,694		$125,098		162		$1,602		(14,183	)		$(139,632)			(1,327	)		$(12,932	)
Fixed Income		49,168		478,000		811		7,930		(84,576	)		(825,428)			(34,597	)		(339,498	)
High Yield Fixed Income		279,468		1,830,461		3,643		23,915		(236,428	)		(1,518,378)			46,683			335,998
Short Bond		10,733		198,674		134		2,479		(14,325	)		(264,924)			(3,458	)		(63,771	)
Short-Intermediate U.S. Government		1,631		15,555		113		1,081		(7,269	)		(69,059)			(5,525	)		(52,423	)
Tax-Advantaged Ultra-Short Fixed Income		273,422		2,763,746		1,533		15,497		(266,871	)		(2,697,235)			8,084			82,008
Ultra-Short Fixed Income		154,235		1,565,617		2,449		24,867		(174,117	)		(1,767,458)			(17,433	)		(176,974	)
U.S. Government		1,754		16,430		44		408		(438	)		(4,101	)		1,360			12,737

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Core Bond	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$6,058		$440,579		$443,590		$–		$–		$210		$3,047		3,046,643
Fixed Income	Northern Institutional Funds - U.S. Government Portfolio (Shares)		29,889		1,575,576		1,601,661		–		–		770		3,804		3,803,955
High Yield Fixed Income	Northern Institutional Funds - U.S. Government Portfolio (Shares)		113,852		1,402,869		1,492,475		–		–		1,269		24,246		24,246,101
Short Bond	FlexShares® Disciplined Duration MBS Index Fund		13,103		–		8,387		29		46		211		4,791		202,000
	Northern Institutional Funds - U.S. Government Portfolio (Shares)		1,580		261,150		260,573		–		–		123		2,157		2,156,537
	Total		$14,683		$261,150		$268,960		$29		$46		$334		$6,948		2,358,537
Short-Intermediate U.S. Government	FlexShares® Disciplined Duration MBS Index Fund		–		2,284		–		18		–		16		2,303		97,100

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NOTES TO THE FINANCIAL STATEMENTS continued

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$5,859		$268,201		$268,797		$–		$–		$101		$5,263		5,262,967
	Total		$5,859		$270,485		$268,797		$18		$–		$117		$7,566		5,360,067
Tax-Advantaged Ultra-Short Fixed Income	Northern Institutional Funds - U.S. Government Portfolio (Shares)		134,006		4,152,693		4,109,390		–		–		2,262		177,309		177,309,408
Ultra-Short Fixed Income	Northern Institutional Funds - U.S. Government Portfolio (Shares)		11,308		2,372,291		2,309,249		–		–		566		74,350		74,350,491
U.S. Government	FlexShares® Disciplined Duration MBS Index Fund		–		1,440		–		12		–		10		1,452		61,200
	Northern Institutional Funds - U.S. Government Portfolio (Shares)		219		169,453		167,968		–		–		45		1,704		1,703,872
	Total		$219		$170,893		$167,968		$12		$–		$55		$3,156		1,765,072

10. DERIVATIVE INSTRUMENTS

Information concerning the types of derivatives in which the Funds invest, the objectives for using them and their related risks can be found in Note 2.

Below are the types of derivatives by primary risk exposure as presented in the Statements of Assets and Liabilities as of March 31, 2020:

		ASSETS				LIABILITIES
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF ASSETS LOCATION	VALUE			STATEMENTS OF LIABILITIES LOCATION	VALUE
Core Bond	Interest rate contracts	Net Assets - Net unrealized appreciation		$32	*	Net Assets-Net unrealized depreciation		$–
Fixed Income	Interest rate contracts	Net Assets - Net unrealized appreciation		65	*	Net Assets-Net unrealized depreciation		–
Short-Intermediate U.S. Government	Interest rate contracts	Net Assets - Net unrealized appreciation		28	*	Net Assets-Net unrealized depreciation		–
U.S. Government	Interest rate contracts	Net Assets - Net unrealized appreciation		26	*	Net Assets-Net unrealized depreciation		–

* Includes cumulative appreciation/depreciation on futures contracts as reported in the Schedules of Investments’ footnotes. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

The following tables set forth by primary risk exposure the Funds’ realized gains (losses) and change in unrealized appreciation (depreciation) by type of derivative contract for the fiscal year ended March 31, 2020:

		AMOUNT OF REALIZED GAIN (LOSS) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Core Bond	Interest rate contracts	Net realized gains (losses) on futures contracts		$14
Fixed Income	Interest rate contracts	Net realized gains (losses) on futures contracts		15
Short-Intermediate U.S. Government	Interest rate contracts	Net realized gains (losses) on futures contracts		220
U.S. Government	Interest rate contracts	Net realized gains (losses) on futures contracts		157

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FIXED INCOME FUNDS

MARCH 31, 2020

		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Core Bond	Interest rate contracts	Net change in unrealized appreciation (depreciation) on futures contracts		$32
Fixed Income	Interest rate contracts	Net change in unrealized appreciation (depreciation) on futures contracts		65
Short-Intermediate U.S. Government	Interest rate contracts	Net change in unrealized appreciation (depreciation) on futures contracts		(91	)
U.S. Government	Interest rate contracts	Net change in unrealized appreciation (depreciation) on futures contracts		(6	)

Volume of derivative activity for the fiscal year ended March 31, 2020*:

	INTEREST RATE CONTRACTS
	NUMBER OF TRADES		AVERAGE NOTIONAL AMOUNT**
Core Bond		5		$7,579
Fixed Income		7		20,674
Short-Intermediate U.S. Government		4		3,569
U.S. Government		5		2,309

* Activity for the fiscal year is measured by number of trades during the fiscal year and average notional amount for futures interest rate contracts.

** Amounts in thousands.

11. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

12. NEW ACCOUNTING PRONOUNCEMENTS

On March 30, 2017, the FASB issued Accounting Standards Update (ASU) 2017-08 “Premium Amortization on Purchased Callable Debt Securities” (the “ASU”), which amends the amortization period for certain purchased callable debt securities held at premium shortening such period to the earliest call date. The new guidance requires an entity to amortize the premium on a callable debt security within its scope to the earliest call date, unless the guidance for considering estimated prepayments as described above is applied. If the call option is not exercised at the earliest call date, the yield is reset to the effective yield using the payment terms of the security. If the security has more than one call date and the premium was amortized to a call price greater than the next call price, any excess of the amortized cost basis over the amount repayable at the next call date will be amortized to that date. If there are no other call dates, any excess of the amortized cost basis over the par amount will be amortized to maturity. Discounts on purchased callable debt securities will continue to be amortized to the security’s maturity date. The ASU is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Earlier application is permitted for all entities, including adoption in an interim period. If an entity early adopts the ASU in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The Funds have adopted the ASU. The adoption of the ASU did not have a material impact on the financial statements.

13. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or

NORTHERN FUNDS ANNUAL REPORT 109 FIXED INCOME FUNDS

FIXED INCOME FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued MARCH 31, 2020

market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

14. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

15. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

FIXED INCOME FUNDS 110 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of eight separate portfolios of Northern Funds, comprising the Core Bond Fund, Fixed Income Fund, High Yield Fixed Income Fund, Short Bond Fund, Short-Intermediate U.S. Government Fund, Tax-Advantaged Ultra-Short Fixed Income Fund, Ultra-Short Fixed Income Fund, and U.S. Government Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the eight portfolios constituting the Northern Funds as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian, agent banks, and brokers; when replies were not received from agent banks or brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

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FIXED INCOME FUNDS

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

CAPITAL GAIN DISTRIBUTION — The following Fund made capital gain distributions in December 2019, and hereby designated these long-term capital gain distributions as follows (per share):

	LONG-TERM CAPITAL GAIN
Tax-Advantaged Ultra-Short Fixed Income		$0.000199

EXEMPT-INTEREST DIVIDENDS — During the fiscal year ended March 31, 2020, the percentage of dividends derived from net investment income paid by each of the following Funds as “exempt-interest dividends,” excludable from gross income for Federal income tax purposes were as follows: Tax-Advantaged Ultra-Short Fixed Income - 68.82%.

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FIXED INCOME FUNDS

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

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FIXED INCOME FUNDS

FUND EXPENSES

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, if any, including redemption fees on certain exchanges and redemptions in the High Yield Fixed Income Fund; and (2) ongoing costs, including management fees and other fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line in the tables below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5 percent per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5 percent hypothetical example with the 5 percent 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 transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. For example, the information does not reflect redemption fees (See page 102), if any, in the High Yield Fixed Income Fund. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements of advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 105), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

CORE BOND

SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.41%		$1,000.00		$1,006.30		$2.06
Hypothetical		0.41%		$1,000.00		$1,022.95		$2.07
FIXED INCOME
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.45%		$1,000.00		$994.20		$2.24
Hypothetical		0.45%		$1,000.00		$1,022.75		$2.28
HIGH YIELD FIXED INCOME
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.78%		$1,000.00		$864.60		$3.64
Hypothetical		0.78%		$1,000.00		$1,021.10		$3.94
SHORT BOND
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.40%		$1,000.00		$997.80		$2.00
Hypothetical		0.40%		$1,000.00		$1,023.00		$2.02
SHORT-INTERMEDIATE U.S. GOVERNMENT
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.41%		$1,000.00		$1,034.70		$2.09
Hypothetical		0.41%		$1,000.00		$1,022.95		$2.07
TAX--ADVANTAGED ULTRA-SHORT FIXED INCOME
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.25%		$1,000.00		$1,004.80		$1.25
Hypothetical		0.25%		$1,000.00		$1,023.75		$1.26

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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FIXED INCOME FUNDS

MARCH 31, 2020 (UNAUDITED)

ULTRA-SHORT FIXED INCOME

SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.25%		$1,000.00		$996.20		$1.25
Hypothetical		0.25%		$1,000.00		$1,023.75		$1.26
U.S. GOVERNMENT
SHARES	EXPENSE RATIO		BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.43%		$1,000.00		$1,046.30		$2.20
Hypothetical		0.43%		$1,000.00		$1,022.85		$2.17

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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TRUSTEES AND OFFICERS

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex—Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President—Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company—34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company—8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

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MARCH 31, 2020 (UNAUDITED)

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow—2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company—29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act”).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

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TRUSTEES AND OFFICERS continued

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

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MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

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INVESTMENT CONSIDERATIONS

CORE BOND FUND1,2,5,6	SHORT-INTERMEDIATE U.S. GOVERNMENT FUND1,5,6
FIXED INCOME FUND1,2,3,5,6	TAX-ADVANTAGED ULTRA-SHORT FIXED INCOME FUND1,2,4,5,6
HIGH YIELD FIXED INCOME FUND1,2,3,6	ULTRA-SHORT FIXED INCOME FUND1,2,5,6,7
SHORT BOND FUND1,2,3,5,6	U.S. GOVERNMENT FUND1,5,6

¹ Fixed Income Market Risk: The market values of fixed-income securities owned by the Fund may decline, at times sharply and unpredictably. Fixed income securities may experience increased volatility, illiquidity or other potentially adverse effects in response to changing market conditions, inflation, changes in interest rates, or lack of liquidity in markets, which may be caused by numerous factors, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment.

² Foreign Securities Risk: Investing in foreign (non-U.S.) securities may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies, due to less liquid markets and adverse economic, political, diplomatic, financial and regulatory factors. Foreign governments may also impose limits on investment and repatriation and impose taxes. Any of these events could cause the value of the Fund’s investments to decline.

³ High-Yield Risk: The Fund’s non-investment grade fixed-income securities, sometimes known as “junk bonds,” will be subject to greater credit risk, price volatility and risk of loss than investment grade securities, which can adversely impact the Fund’s return and net asset value (“NAV”). High yield securities are considered primarily speculative with respect to the issuer’s continuing ability to make principal and interest payments.

⁴ Tax Risk: Future legislative or administrative changes or court decisions may materially affect the value of municipal instruments or the ability of the Fund to pay tax-exempt dividends.

⁵ U.S. Government Securities Risk: There is a risk that the U.S. government will not provide financial support to its agencies, instrumentalities or sponsored enterprises if it is not obligated to do so by law. Many U.S. government securities purchased by the Fund are not backed by the full faith and credit of the United States. It is possible that the issuers of such securities will not have the funds to meet their payment obligations in the future.

⁶ Interest Rate/Maturity Risk: Securities with longer maturities tend to be more sensitive to changes in interest rates, causing them to be more volatile than securities with shorter maturities. Securities with shorter maturities tend to provide lower returns and be less volatile than securities with longer maturities. Changing interest rates may have unpredictable effects on the markets and the Fund’s investments. A low or declining interest rate environment poses risks to the Fund’s performance, including the risk that proceeds from prepaid or maturing instruments may have to be reinvested at a lower interest rate. Fluctuations in interest rates may also affect the liquidity of fixed income securities and instruments held by the Fund.

⁷ Financial Services Industry Risk: The Fund will invest under normal market conditions at least 25% of its total assets in the financial services industry. As a result, the Fund will be subject to greater risk of loss by economic, business, political or other developments which generally affect this industry. Changes in government regulation and interest rates and economic downturns can have a significant negative effect on issuers in the financial services sector, including the price of their securities or their ability to meet their payment obligations.

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FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

FIXED INCOME FUNDS 124 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME INDEX FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
4	STATEMENTS OF ASSETS AND LIABILITIES
5	STATEMENTS OF OPERATIONS
6	STATEMENTS OF CHANGES IN NET ASSETS
7	FINANCIAL HIGHLIGHTS
9	SCHEDULES OF INVESTMENTS
9	BOND INDEX FUND
	Ticker Symbol: NOBOX
84	U.S. TREASURY INDEX FUND
	Ticker Symbol: BTIAX
88	NOTES TO THE FINANCIAL STATEMENTS
95	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
96	TAX INFORMATION
97	LIQUIDITY RISK MANAGEMENT PROGRAM
98	FUND EXPENSES
99	TRUSTEES AND OFFICERS
103	INVESTMENT CONSIDERATIONS
104	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 FIXED INCOME INDEX FUNDS

FIXED INCOME INDEX FUNDS

BOND INDEX FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month period ended March 31, 2020 represented a tale of two markets. As designed, the Fund’s return of 9.01% for the fiscal year ended March 31, 2020 was essentially in line with the benchmark Bloomberg Barclays U.S. Aggregate Bond Index return of 8.93%. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

Stable domestic growth paired with global demand for yield supported investment-grade and high-yield credit markets throughout 2019 and the first six weeks of 2020. The sudden crisis caused by the spread of COVID-19 and the significant drop in oil prices caused credit spreads to widen during the month of March 2020.

Trading costs surrounding monthly rebalancing and cash flow management detracted from Fund performance. The Fund remains positioned to replicate the risk and return characteristics of its stated benchmark.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 02/27/07
BOND INDEX FUND		9.01	%		3.25	%		3.74	%		4.18	%
BLOOMBERG BARCLAYS U.S. AGGREGATE BOND INDEX		8.93			3.36			3.88			4.36

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 103.

FIXED INCOME INDEX FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME INDEX FUNDS

U.S. TREASURY INDEX FUND* (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 represented a tale of two markets. The Bloomberg Barclays U.S. Treasury Index returned 13.23% during the 12 months ended March 31, 2020. As designed, the Fund performed in line with the index, with 13.29% return over the reporting period. Much of calendar year 2019 saw risk assets rally based on monetary easing, significant demand for positively yielding assets, and hopes for a resolution to the U.S./China trade war. The U.S. Federal Reserve (the “Fed”) cut interest rates three times during 2019, citing a lack of inflation and slowing global growth, while investor demand for yield supported fixed-income assets. The market’s positive tone then abruptly changed during the first quarter of 2020, as the spread of COVID-19 along with the Saudi Arabia/Russia oil price war badly hurt investor sentiment, as much of the world’s population was gradually placed into quarantine. The projected global economic toll sent risk markets into a tailspin, with equities falling more than 30% from their highs, while the interest rate spreads of risk assets widened dramatically, negatively affecting fixed-income liquidity. The Fed was quick to act, cutting short-term rates to near zero, and announcing quantitative easing measures to support asset prices. The Fed’s actions, along with the U.S. Congress’ $2.3 trillion fiscal stimulus package, eased market stress, and helped risk assets to rebound somewhat off their lows by the end of March 2020.

U.S. Treasury yields plunged during the 12-month period ended March 31, 2020, and the Treasury yield curve steepened. During the period, two-year Treasury yields fell 201 basis points to 0.248%, five-year yields fell 185 basis points to 0.38%, 10-year yields fell 174 basis points to 0.67%, and 30-year yields fell 149 basis points to 1.32%.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 01/11/93
U.S. TREASURY INDEX FUND		13.29	%		3.51	%		3.65	%		5.12	%
BLOOMBERG BARCLAYS U.S. TREASURY INDEX		13.23			3.64			3.83			5.31

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

* The Fund commenced operations on January 11, 1993 as a separate portfolio of Northern Institutional Funds (the “Predecessor Fund”). On November 16, 2012, the Predecessor Fund was reorganized into the Fund, which was a new portfolio of Northern Funds with the same investment objective, strategies and policies as the Predecessor Fund. Performance information for the period prior to November 17, 2012, represents the performance of Class A shares of the Predecessor Fund.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays U.S. Treasury Index is an unmanaged index of prices of U.S. Treasury bonds with maturities of one to thirty years.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 103.

NORTHERN FUNDS ANNUAL REPORT 3 FIXED INCOME INDEX FUNDS

FIXED INCOME INDEX FUNDS

STATEMENTS OF ASSETS AND LIABILITIES MARCH 31, 2020

Amounts in thousands, except per share data	BOND INDEX FUND		U.S. TREASURY INDEX FUND
ASSETS:
Investments, at value		$2,901,040		$101,470
Investments in affiliates, at value		64,483		1,481
Interest income receivable		15,920		451
Dividend income receivable		48		1
Receivable for securities sold		1,796		297
Receivable for fund shares sold		778		831
Receivable from investment adviser		7		7
Prepaid and other assets		5		4
Total Assets		2,984,077		104,542
LIABILITIES:
Payable for securities purchased		–		1,424
Payable for when-issued securities		40,415		–
Payable for fund shares redeemed		5,875		–
Distributions payable to shareholders		1,438		33
Payable to affiliates:
Management fees		76		3
Custody fees		18		1
Shareholder servicing fees		11		–
Transfer agent fees		96		3
Trustee fees		10		4
Accrued other liabilities		66		29
Total Liabilities		48,005		1,497
Net Assets		$2,936,072		$103,045
ANALYSIS OF NET ASSETS:
Capital stock		$2,745,458		$94,422
Distributable earnings		190,614		8,623
Net Assets		$2,936,072		$103,045
Shares Outstanding ($.0001 par value, unlimited authorization)		265,704		4,331
Net Asset Value, Redemption and Offering Price Per Share		$11.05		$23.79
Investments, at cost		$2,716,875		$92,072
Investments in affiliates, at cost		64,483		1,481

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME INDEX FUNDS

STATEMENTS OF OPERATIONS FOR THE FISCAL YEAR ENDED MARCH 31, 2020

Amounts in thousands	BOND INDEX FUND			U.S. TREASURY INDEX FUND
INVESTMENT INCOME:
Interest Income		$82,528			$2,006
Dividend income from investments in affiliates		1,153			11
Total Investment Income		83,681			2,017
EXPENSES:
Management fees		3,923			119
Custody fees		279			14
Transfer agent fees		918			28
Blue sky fees		27			19
SEC fees		1			–
Printing fees		24			12
Audit fees		35			19
Legal fees		46			24
Shareholder servicing fees		107			–
Trustee fees		36			9
Other		41			13
Total Expenses		5,437			257
Less expenses reimbursed by investment adviser		(857	)		(106	)
Net Expenses		4,580			151
Net Investment Income		79,101			1,866
NET REALIZED AND UNREALIZED GAINS:
Net realized gains on:
Investments		35,532			539
Net changes in unrealized appreciation on:
Investments		145,919			8,676
Net Gains		181,451			9,215
Net Increase in Net Assets Resulting from Operations		$260,552			$11,081

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 5 FIXED INCOME INDEX FUNDS

FIXED INCOME INDEX FUNDS

STATEMENTS OF CHANGES IN NET ASSETS FOR THE FISCAL YEARS ENDED MARCH 31,

	BOND INDEX FUND						U.S. TREASURY INDEX FUND
Amounts in thousands	2020			2019			2020			2019
OPERATIONS:
Net investment income		$79,101			$80,293			$1,866			$1,667
Net realized gains (losses)		35,532			(7,617	)		539			(373	)
Net change in unrealized appreciation		145,919			54,640			8,676			1,970
Net Increase in Net Assets Resulting from Operations		260,552			127,316			11,081			3,264
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		(253,114	)		206,435			9,021			1,735
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(253,114	)		206,435			9,021			1,735
DISTRIBUTIONS PAID:
Distributable earnings		(91,564	)		(83,499	)		(1,866	)		(1,667	)
Total Distributions Paid		(91,564	)		(83,499	)		(1,866	)		(1,667	)
Total Increase (Decrease) in Net Assets		(84,126	)		250,252			18,236			3,332
NET ASSETS:
Beginning of year		3,020,198			2,769,946			84,809			81,477
End of year		$2,936,072			$3,020,198			$103,045			$84,809

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME INDEX FUNDS

FINANCIAL HIGHLIGHTS FOR THE FISCAL YEARS ENDED MARCH 31,

BOND INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.45			$10.31			$10.47			$10.74			$10.84
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.28			0.28			0.26			0.25			0.25
Net realized and unrealized gains (losses)		0.65			0.15			(0.14	)		(0.24	)		(0.06	)
Total from Investment Operations		0.93			0.43			0.12			0.01			0.19
LESS DISTRIBUTIONS PAID:
From net investment income		(0.30	)		(0.29	)		(0.28	)		(0.27	)		(0.27	)
From net realized gains		(0.03	)		–			–			(0.01	)		(0.02	)
Total Distributions Paid		(0.33	)		(0.29	)		(0.28	)		(0.28	)		(0.29	)
Net Asset Value, End of Year		$11.05			$10.45			$10.31			$10.47			$10.74
Total Return(1)		9.01	%		4.33	%		1.13	%		0.14	%		1.90	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$2,936,072			$3,020,198			$2,769,946			$2,496,618			$2,630,015
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.15	%		0.15	%		0.15	%		0.15	%		0.15	%
Expenses, before reimbursements and credits		0.18	%		0.17	%		0.17	%		0.17	%		0.17	%
Net investment income, net of reimbursements and credits(2)		2.63	%		2.78	%		2.50	%		2.35	%		2.40	%
Net investment income, before reimbursements and credits		2.60	%		2.76	%		2.48	%		2.33	%		2.38	%
Portfolio Turnover Rate		53.74	%		70.72	%		44.51	%		65.28	%		88.99	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $83,000, $109,000, $97,000, $126,000, and $87,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 7 FIXED INCOME INDEX FUNDS

FIXED INCOME INDEX FUNDS

FINANCIAL HIGHLIGHTS continued FOR THE FISCAL YEARS ENDED MARCH 31,

U.S. TREASURY INDEX FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year	$	21.43		$	21.03		$	21.35		$	22.13		$	22.17
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.45			0.43			0.38			0.34			0.32
Net realized and unrealized gains (losses)		2.36			0.40			(0.32	)		(0.70	)		0.16
Total from Investment Operations		2.81			0.83			0.06			(0.36	)		0.48
LESS DISTRIBUTIONS PAID:
From net investment income		(0.45	)		(0.43	)		(0.38	)		(0.34	)		(0.32	)
From net realized gains		–			–			–			(0.08	)		(0.20	)
Total Distributions Paid		(0.45	)		(0.43	)		(0.38	)		(0.42	)		(0.52	)
Net Asset Value, End of Year	$	23.79		$	21.43		$	21.03		$	21.35		$	22.13
Total Return(1)		13.29	%		4.03	%		0.24	%		(1.63	)%		2.25	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year	$	103,045		$	84,809		$	81,477		$	108,599		$	123,516
Ratio to average net assets of:
Expenses, net of reimbursements and credits(2)		0.16	%		0.18	%		0.17	%		0.16	%		0.16	%
Expenses, before reimbursements and credits		0.28	%		0.32	%		0.28	%		0.25	%		0.26	%
Net investment income, net of reimbursements and credits(2)		2.04	%		2.08	%		1.74	%		1.53	%		1.47	%
Net investment income, before reimbursements and credits		1.92	%		1.94	%		1.63	%		1.44	%		1.37	%
Portfolio Turnover Rate		50.28	%		37.64	%		34.21	%		38.93	%		68.57	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $1,000, $1,000, $1,000 and $1,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and less than $1,000, which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

BOND INDEX FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8%
Auto Floor Plan – 0.0%
Ally Master Owner Trust, Series 2018-2, Class A 3.29%, 5/15/23		$150		$151
Ford Credit Floorplan Master Owner Trust, Series 2018-1, Class A1 2.95%, 5/15/23		50		50
Ford Credit Floorplan Master Owner Trust, Series 2018-2, Class A 3.17%, 3/15/25		50		49
Ford Credit Floorplan Master Owner Trust, Series 2018-3, Class A1 3.52%, 10/15/23		200		200
Ford Credit Floorplan Master Owner Trust, Series 2018-4, Class A 4.06%, 11/15/30		100		95
Ford Credit Floorplan Master Owner Trust, Series 2019-1, Class A 2.84%, 3/15/24		200		198
Ford Credit Floorplan Master Owner Trust, Series 2019-2, Class A 3.06%, 4/15/26		150		144
				887
Automobile – 0.3%
Ally Auto Receivables Trust, Series 2018-3, Class A4 3.12%, 7/17/23		100		102
Ally Auto Receivables Trust, Series 2019-4, Class A3 1.84%, 6/17/24		100		100
Ally Auto Receivables Trust, Series 2019-4, Class A4 1.92%, 1/15/25		100		101
Americredit Automobile Receivables Trust, Series 2016-4, Class D 2.74%, 12/8/22		60		59
AmeriCredit Automobile Receivables Trust, Series 2017-2, Class C 2.97%, 3/20/23		125		125
AmeriCredit Automobile Receivables Trust, Series 2017-2, Class D 3.42%, 4/18/23		100		100
Americredit Automobile Receivables Trust, Series 2018-1, Class B 3.26%, 1/18/24		100		99

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Automobile – 0.3% – continued
Americredit Automobile Receivables Trust, Series 2018-3, Class B 3.58%, 10/18/24		$100		$100
Americredit Automobile Receivables Trust, Series 2018-3, Class C 3.74%, 10/18/24		100		100
Capital One Prime Auto Receivables Trust, Series 2020-1, Class A3 1.60%, 11/15/24		100		98
Capital One Prime Auto Receivables Trust, Series 2020-1, Class A4 1.63%, 8/15/25		100		98
CarMax Auto Owner Trust, Series 2017-4, Class A4 2.33%, 5/15/23		100		100
CarMax Auto Owner Trust, Series 2018-4, Class A3 3.36%, 9/15/23		200		203
CarMax Auto Owner Trust, Series 2019-2, Class A3 2.68%, 3/15/24		200		202
CarMax Auto Owner Trust, Series 2019-2, Class A4 2.77%, 12/16/24		200		201
CarMax Auto Owner Trust, Series 2019-3, Class A3 2.18%, 8/15/24		100		100
CarMax Auto Owner Trust, Series 2019-3, Class A4 2.30%, 4/15/25		100		99
CarMax Auto Owner Trust, Series 2020-1, Class A3 1.89%, 12/16/24		150		150
Fifth Third Auto Trust, Series 2019-1, Class A3 2.64%, 12/15/23		100		100
Ford Credit Auto Lease Trust, Series 2019-B, Class A3 2.22%, 10/15/22		100		100
Ford Credit Auto Lease Trust, Series 2019-B, Class A4 2.27%, 11/15/22		100		100
Ford Credit Auto Owner Trust, Series 2017-C, Class B 2.35%, 4/15/23		100		100

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 9 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Automobile – 0.3% – continued
Ford Credit Auto Owner Trust, Series 2017-C, Class C 2.50%, 5/15/24		$100		$100
Ford Credit Auto Owner Trust, Series 2019-A, Class A3 2.78%, 9/15/23		125		127
GM Financial Automobile Leasing Trust, Series 2020-1, Class A3 1.67%, 12/20/22		100		98
GM Financial Automobile Leasing Trust, Series 2020-1, Class A4 1.70%, 12/20/23		100		98
GM Financial Consumer Automobile Receivables Trust, Series 2019-1, Class A3 2.97%, 11/16/23		100		101
GM Financial Consumer Automobile Receivables Trust, Series 2019-2, Class A3 2.65%, 2/16/24		100		101
GM Financial Consumer Automobile Receivables Trust, Series 2019-2, Class A4 2.71%, 8/16/24		100		101
GM Financial Consumer Automobile Receivables Trust, Series 2019-3, Class A3 2.18%, 4/16/24		100		100
GM Financial Consumer Automobile Receivables Trust, Series 2019-4, Class A3 1.75%, 7/16/24		100		101
Honda Auto Receivables Owner Trust, Series 2017-3, Class A4 1.98%, 11/20/23		100		101
Honda Auto Receivables Owner Trust, Series 2018-4, Class A4 3.30%, 7/15/25		100		102
Honda Auto Receivables Owner Trust, Series 2019-1, Class A3 2.83%, 3/20/23		150		152
Honda Auto Receivables Owner Trust, Series 2019-2, Class A3 2.52%, 6/21/23		200		202

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Automobile – 0.3% – continued
Honda Auto Receivables Owner Trust, Series 2019-3, Class A4 1.85%, 8/15/25		$100		$101
Hyundai Auto Receivables Trust, Series 2017-B, Class A4 1.96%, 2/15/23		100		100
Hyundai Auto Receivables Trust, Series 2018-B, Class A3 3.20%, 12/15/22		150		152
Mercedes-Benz Auto Lease Trust, Series 2019-B, Class A3 2.00%, 10/17/22		100		100
Mercedes-Benz Auto Receivables Trust, Series 2019-1, Class A3 1.94%, 3/15/24		100		100
Nissan Auto Lease Trust, Series 2019-A, Class A3 2.76%, 3/15/22		200		201
Nissan Auto Lease Trust, Series 2019-B, Class A3 2.27%, 7/15/22		150		150
Nissan Auto Lease Trust, Series 2019-B, Class A4 2.29%, 4/15/25		100		99
Nissan Auto Receivables Owner Trust, Series 2017-B, Class A4 1.95%, 10/16/23		100		100
Nissan Auto Receivables Owner Trust, Series 2018-C, Class A3 3.22%, 6/15/23		200		204
Nissan Auto Receivables Owner Trust, Series 2019-B, Class A3 2.50%, 11/15/23		100		101
Nissan Auto Receivables Owner Trust, Series 2019-C, Class A4 1.95%, 5/15/26		100		100
Santander Drive Auto Receivables Trust, Series 2018-3, Class D 4.07%, 8/15/24		50		49
Santander Drive Auto Receivables Trust, Series 2019-1, Class C 3.42%, 4/15/25		50		50
Santander Drive Auto Receivables Trust, Series 2019-1, Class D 3.65%, 4/15/25		50		47

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Automobile – 0.3% – continued
Toyota Auto Receivables Owner Trust, Series 2017-D, Class A4 2.12%, 2/15/23		$100		$101
Toyota Auto Receivables Owner Trust, Series 2018-D, Class A3 3.18%, 3/15/23		200		203
Toyota Auto Receivables Owner Trust, Series 2019-B, Class A3 2.57%, 8/15/23		100		101
Toyota Auto Receivables Owner Trust, Series 2019-D, Class A4 1.99%, 2/18/25		100		98
Toyota Auto Receivables Owner Trust, Series 2020-A, Class A3 1.66%, 5/15/24		100		100
USAA Auto Owner Trust, Series 2019-1, Class A4 2.14%, 11/15/24		50		50
Volkswagen Auto Loan Enhanced Trust, Series 2018-1, Class A3 3.02%, 11/21/22		100		102
World Omni Auto Receivables Trust, Series 2018-D, Class A3 3.33%, 4/15/24		100		103
World Omni Auto Receivables Trust, Series 2019-C, Class A3 1.96%, 12/16/24		100		99
World Omni Auto Receivables Trust, Series 2019-C, Class A4 2.03%, 12/15/25		100		98
World Omni Auto Receivables Trust, Series 2020-A, Class A3 1.70%, 1/17/23		100		98
World Omni Automobile Lease Securitization Trust, Series 2019-B, Class A3 2.03%, 11/15/22		100		99
				6,927
Commercial Mortgage-Backed Securities – 1.3%
Banc of America Commercial Mortgage Trust, Series 2016-UB10, Class A4 3.17%, 7/15/49		300		302
BANK, Series 2017-BNK7, Class A5 3.44%, 9/15/60		250		265

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
BANK, Series 2017-BNK9, Class A4 3.54%, 11/15/54		$250		$269
BANK, Series 2018-BN10, Class A5 3.69%, 2/15/61		100		108
BANK, Series 2018-BN11, Class A3 4.05%, 3/15/61		200		221
BANK, Series 2018-BN12, Class A4 4.26%, 5/15/61		300		339
BANK, Series 2018-BN13, Class A5 4.22%, 8/15/61		100		113
BANK, Series 2018-BN14, Class A2 4.13%, 9/15/60		100		106
BANK, Series 2018-BN14, Class A4 4.23%, 9/15/60		200		226
BANK, Series 2018-BN15, Class A4 4.41%, 11/15/61		300		344
BANK, Series 2019-BN18, Class A3 3.33%, 5/15/62		200		212
BANK, Series 2019-BN19, Class A3 3.18%, 8/15/61		300		317
BANK, Series 2019-BN20, Class A3 3.01%, 9/15/62		250		261
BANK, Series 2020-BN25, Class A5 2.65%, 1/15/63		200		202
BANK, Series 2020-BN26, Class A4 2.40%, 3/15/63		400		394
Barclays Commercial Mortgage Trust, Series 2019-C3, Class A4 3.58%, 5/15/52		200		211
Barclays Commercial Mortgage Trust, Series 2019-C4, Class A5 2.92%, 8/15/52		100		101
BBCMS Mortgage Trust, Series 2018-C2, Class A5 4.31%, 12/15/51		150		169
BBCMS Mortgage Trust, Series 2020-C6, Class A4 2.64%, 2/15/53		200		197
BENCHMARK Mortgage Trust, Series 2018-B1, Class A2 3.57%, 1/15/51		250		258
BENCHMARK Mortgage Trust, Series 2018-B2, Class A5 3.88%, 2/15/51		150		164

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
BENCHMARK Mortgage Trust, Series 2018-B3, Class A2 3.85%, 4/10/51		$500		$521
BENCHMARK Mortgage Trust, Series 2018-B3, Class A5 4.03%, 4/10/51		100		111
BENCHMARK Mortgage Trust, Series 2018-B4, Class A2 3.98%, 7/15/51		100		105
BENCHMARK Mortgage Trust, Series 2018-B5, Class A2 4.08%, 7/15/51		100		106
BENCHMARK Mortgage Trust, Series 2018-B5, Class A4 4.21%, 7/15/51		400		447
BENCHMARK Mortgage Trust, Series 2018-B6, Class A2 4.20%, 10/10/51		400		425
BENCHMARK Mortgage Trust, Series 2018-B7, Class A2 4.38%, 5/15/53		300		320
BENCHMARK Mortgage Trust, Series 2018-B7, Class A4 4.51%, 5/15/53		300		343
BENCHMARK Mortgage Trust, Series 2018-B8, Class A5 4.23%, 1/15/52		100		112
BENCHMARK Mortgage Trust, Series 2019-B12, Class A5 3.12%, 8/15/52		125		131
BENCHMARK Mortgage Trust, Series 2020-B16, Class A5 2.73%, 2/15/53		200		204
BENCHMARK Mortgage Trust, Series 2020-B17, Class A5 2.29%, 3/15/53		200		196
BENCHMARK Mortgage Trust, Series 2020-IG1, Class A3 2.69%, 9/15/43		100		102
CCUBS Commercial Mortgage Trust, Series 2017-C1, Class A2 3.31%, 11/15/50		250		257
CD Mortgage Trust, Series 2017-CD4, Class A4 3.51%, 5/10/50		250		270

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
CD Mortgage Trust, Series 2017-CD5, Class A4 3.43%, 8/15/50		$250		$268
CD Mortgage Trust, Series 2017-CD6, Class A5 3.46%, 11/13/50		200		212
CD Mortgage Trust, Series 2018-CD7, Class A4 4.28%, 8/15/51		200		225
CD Mortgage Trust, Series 2019-CD8, Class A4 2.91%, 8/15/57		150		154
CFCRE Commercial Mortgage Trust, Series 2016-C3, Class A3 3.87%, 1/10/48		300		315
CFCRE Commercial Mortgage Trust, Series 2016-C4, Class A4 3.28%, 5/10/58		250		256
CGMS Commercial Mortgage Trust, Series 2017-B1, Class A4 3.46%, 8/15/50		250		266
Citigroup Commercial Mortgage Trust, Series 2012-GC8, Class A4 3.02%, 9/10/45		383		389
Citigroup Commercial Mortgage Trust, Series 2013-GC15, Class A4 4.37%, 9/10/46		350		373
Citigroup Commercial Mortgage Trust, Series 2013-GC15, Class AS 4.65%, 9/10/46		100		104
Citigroup Commercial Mortgage Trust, Series 2014-GC25, Class A4 3.64%, 10/10/47		100		103
Citigroup Commercial Mortgage Trust, Series 2015-GC27,Class A5 3.14%, 2/10/48		200		203
Citigroup Commercial Mortgage Trust, Series 2015-P1, Class A5 3.72%, 9/15/48		200		209
Citigroup Commercial Mortgage Trust, Series 2016-C1, Class A4 3.21%, 5/10/49		250		262
Citigroup Commercial Mortgage Trust, Series 2016-C3,Class A4 3.15%, 11/15/49		150		152

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
Citigroup Commercial Mortgage Trust, Series 2016-GC36, Class A5 3.62%, 2/10/49		$300		$319
Citigroup Commercial Mortgage Trust, Series 2016-GC37, Class A4 3.31%, 4/10/49		250		256
Citigroup Commercial Mortgage Trust, Series 2016-P3, Class A4 3.33%, 4/15/49		250		256
Citigroup Commercial Mortgage Trust, Series 2017-P8, Class A4 3.47%, 9/15/50		250		261
Citigroup Commercial Mortgage Trust, Series 2018-B2, Class A4 4.01%, 3/10/51		100		111
Citigroup Commercial Mortgage Trust, Series 2018-C5, Class A4 4.23%, 6/10/51		200		222
Citigroup Commercial Mortgage Trust, Series 2018-C6, Class A4 4.41%, 11/10/51		200		222
Commercial Mortgage Trust, Series 2012-CR2, Class A4 3.15%, 8/15/45		335		341
Commercial Mortgage Trust, Series 2013-CR10, Class A4 4.21%, 8/10/46		100		106
Commercial Mortgage Trust, Series 2013-CR12, Class A4 4.05%, 10/10/46		300		317
Commercial Mortgage Trust, Series 2013-CR9, Class A4 4.22%, 7/10/45 (1)(2)		200		209
Commercial Mortgage Trust, Series 2013-LC6, Class A4 2.94%, 1/10/46		121		122
Commercial Mortgage Trust, Series 2014-CR14, Class A3 3.96%, 2/10/47		420		443
Commercial Mortgage Trust, Series 2014-CR19, Class A5 3.80%, 8/10/47		300		316
Commercial Mortgage Trust, Series 2014-UBS5, Class A4 3.84%, 9/10/47		500		523

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
Commercial Mortgage Trust, Series 2014-UBS6, Class A5 3.64%, 12/10/47		$250		$259
Commercial Mortgage Trust, Series 2015-CR24, Class A5 3.70%, 8/10/48		500		534
Commercial Mortgage Trust, Series 2015-DC1, Class A5 3.35%, 2/10/48		200		205
Commercial Mortgage Trust, Series 2015-LC19, Class A4 3.18%, 2/10/48		500		519
Commercial Mortgage Trust, Series 2015-PC1, Class A5 3.90%, 7/10/50		200		210
Commercial Mortgage Trust, Series 2018-COR3, Class A3 4.23%, 5/10/51		200		217
CSAIL Commercial Mortgage Trust, Series 2015-C1, Class A4 3.51%, 4/15/50		225		233
CSAIL Commercial Mortgage Trust, Series 2015-C3, Class A4 3.72%, 8/15/48		500		524
CSAIL Commercial Mortgage Trust, Series 2016-C6, Class A5 3.09%, 1/15/49		100		100
CSAIL Commercial Mortgage Trust, Series 2016-C7, Class A5 3.50%, 11/15/49		200		205
CSAIL Commercial Mortgage Trust, Series 2018-C14, Class A4 4.42%, 11/15/51		300		328
CSAIL Commercial Mortgage Trust, Series 2018-CX11, Class A5 4.03%, 4/15/51		100		106
CSAIL Commercial Mortgage Trust, Series 2020-C19, Class A3 2.56%, 3/15/53		200		197
DBJPM Mortgage Trust, Series 2017-C6, Class A5 3.33%, 6/10/50		250		267
GS Mortgage Securities Corp. II, Series 2013-GC10, Class A5 2.94%, 2/10/46		100		102

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
GS Mortgage Securities Trust, Series 2012-GCJ9, Class A3 2.77%, 11/10/45		$171		$174
GS Mortgage Securities Trust, Series 2013-GC12, Class A4 3.14%, 6/10/46		100		102
GS Mortgage Securities Trust, Series 2013-GC13, Class A5 4.05%, 7/10/46 (1)(2)		200		212
GS Mortgage Securities Trust, Series 2013-GC14, Class A5 4.24%, 8/10/46		150		157
GS Mortgage Securities Trust, Series 2014-GC20, Class A5 4.00%, 4/10/47		100		106
GS Mortgage Securities Trust, Series 2014-GC24, Class A5 3.93%, 9/10/47		300		314
GS Mortgage Securities Trust, Series 2014-GC26, Class A5 3.63%, 11/10/47		250		264
GS Mortgage Securities Trust, Series 2015-GC30, Class A4 3.38%, 5/10/50		200		205
GS Mortgage Securities Trust, Series 2016-GS2, Class A4 3.05%, 5/10/49		100		101
GS Mortgage Securities Trust, Series 2016-GS3, Class A4 2.85%, 10/10/49		200		201
GS Mortgage Securities Trust, Series 2017-GS7, Class A4 3.43%, 8/10/50		250		258
GS Mortgage Securities Trust, Series 2017-GS8, Class A4 3.47%, 11/10/50		200		213
GS Mortgage Securities Trust, Series 2018-GS9, Class A4 3.99%, 3/10/51		150		161
GS Mortgage Securities Trust, Series 2019-GC40, Class A4 3.16%, 7/10/52		150		158
GS Mortgage Securities Trust, Series 2020-GC45, Class A5 2.91%, 2/13/53		300		309

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2013-C10, Class AS 3.37%, 12/15/47		$50		$50
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2014-C19, Class A4 4.00%, 4/15/47		500		530
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2014-C20, Class A5 3.80%, 7/15/47		500		528
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2014-C24, Class A5 3.64%, 11/15/47		200		211
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2014-C25, Class A5 3.67%, 11/15/47		150		158
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2015-C30, Class A5 3.82%, 7/15/48		200		214
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2016-C2, Class A4 3.14%, 6/15/49		100		105
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2016-C4, Class A3 3.14%, 12/15/49		150		158
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2016-JP3, Class A5 2.87%, 8/15/49		200		204
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2016-JP3, Class AS 3.14%, 8/15/49		100		98
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-C5, Class A5 3.69%, 3/15/50		300		325

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-C7, Class A5 3.41%, 10/15/50		$200		$212
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-JP5, Class A5 3.72%, 3/15/50		350		377
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2017-JP7, Class A5 3.45%, 9/15/50		100		106
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2018-C8, Class A2 4.03%, 6/15/51		500		524
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2019-COR5, Class A4 3.39%, 6/13/52		200		208
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C11, Class A4 4.15%, 8/15/46 (1)(2)		200		209
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C9, Class A4 3.10%, 5/15/46		200		202
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2014-C14, Class A5 4.06%, 2/15/47		200		209
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C26, Class A5 3.53%, 10/15/48		100		103
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2016-C29, Class A4 3.33%, 5/15/49		250		256
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2016-C30, Class A5 2.86%, 9/15/49		250		250
Morgan Stanley Capital I Trust, Series 2018-H3, Class A5 4.18%, 7/15/51		150		165

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
Morgan Stanley Capital I Trust, Series 2018-H4, Class A4 4.31%, 12/15/51		$100		$114
Morgan Stanley Capital I Trust, Series 2018-L1, Class A4 4.41%, 10/15/51		200		228
Morgan Stanley Capital I Trust, Series 2019-H7, Class A4 3.26%, 7/15/52		250		265
Morgan Stanley Capital I Trust, Series 2020-L4, Class A3 2.70%, 2/15/53		200		201
Morgan Stanley Capital I, Series 2017-HR2, Class A4 3.59%, 12/15/50		200		217
UBS Commercial Mortgage Trust, Series 2017-C1,Class A4 3.46%, 6/15/50		250		268
UBS Commercial Mortgage Trust, Series 2017-C2, Class A4 3.49%, 8/15/50		250		259
UBS Commercial Mortgage Trust, Series 2017-C3, Class A4 3.43%, 8/15/50		175		181
UBS Commercial Mortgage Trust, Series 2017-C6, Class A5 3.58%, 12/15/50		100		106
UBS Commercial Mortgage Trust, Series 2017-C7, Class A4 3.68%, 12/15/50		150		158
UBS Commercial Mortgage Trust, Series 2018-C10, Class A4 4.31%, 5/15/51		200		220
UBS Commercial Mortgage Trust, Series 2018-C11, Class A5 4.24%, 6/15/51		150		168
UBS Commercial Mortgage Trust, Series 2018-C13, Class A4 4.33%, 10/15/51		200		227
UBS Commercial Mortgage Trust, Series 2018-C14, Class A4 4.45%, 12/15/51		100		117
UBS Commercial Mortgage Trust, Series 2018-C8, Class A4 3.98%, 2/15/51		150		157

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
UBS Commercial Mortgage Trust, Series 2018-C9, Class A4 4.12%, 3/15/51		$100		$111
UBS-Barclays Commercial Mortgage Trust, Series 2013-C6, Class A4 3.24%, 4/10/46		250		254
Wells Fargo Commercial Mortgage Trust, Series 2012-LC5, Class A3 2.92%, 10/15/45		132		135
Wells Fargo Commercial Mortgage Trust, Series 2013-LC12, Class A4 4.22%, 7/15/46		100		104
Wells Fargo Commercial Mortgage Trust, Series 2015-C26, Class A4 3.17%, 2/15/48		100		102
Wells Fargo Commercial Mortgage Trust, Series 2015-C30, Class A4 3.66%, 9/15/58		250		260
Wells Fargo Commercial Mortgage Trust, Series 2015-LC20, Class A5 3.18%, 4/15/50		200		203
Wells Fargo Commercial Mortgage Trust, Series 2015-NXS2, Class A5 3.77%, 7/15/58		300		313
Wells Fargo Commercial Mortgage Trust, Series 2015-NXS4, Class A4 3.72%, 12/15/48		300		314
Wells Fargo Commercial Mortgage Trust, Series 2016-C32, Class A4 3.56%, 1/15/59		200		207
Wells Fargo Commercial Mortgage Trust, Series 2016-C33, Class A4 3.43%, 3/15/59		250		258
Wells Fargo Commercial Mortgage Trust, Series 2016-C35, Class A4 2.93%, 7/15/48		100		100
Wells Fargo Commercial Mortgage Trust, Series 2016-C36, Class A4 3.07%, 11/15/59		250		253
Wells Fargo Commercial Mortgage Trust, Series 2016-LC24, Class A4 2.94%, 10/15/49		200		206
Wells Fargo Commercial Mortgage Trust, Series 2016-NXS6, Class A4 2.92%, 11/15/49		150		150

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Commercial Mortgage-Backed Securities – 1.3% – continued
Wells Fargo Commercial Mortgage Trust, Series 2017-C39, Class A5 3.42%, 9/15/50		$250		$260
Wells Fargo Commercial Mortgage Trust, Series 2017-C40, Class A4 3.58%, 10/15/50		100		105
Wells Fargo Commercial Mortgage Trust, Series 2017-C42, Class A4 3.59%, 12/15/50		100		105
Wells Fargo Commercial Mortgage Trust, Series 2018-C43, Class A4 4.01%, 3/15/51		150		165
Wells Fargo Commercial Mortgage Trust, Series 2018-C44, Class A5 4.21%, 5/15/51		155		172
Wells Fargo Commercial Mortgage Trust, Series 2018-C48, Class A5 4.30%, 1/15/52		100		109
Wells Fargo Commercial Mortgage Trust, Series 2019-C50, Class A5 3.73%, 5/15/52		200		212
Wells Fargo Commercial Mortgage Trust, Series 2020-C55, Class A5 2.73%, 2/15/53		100		100
WFRBS Commercial Mortgage Trust, Series 2013-C12, Class AS 3.56%, 3/15/48		50		51
WFRBS Commercial Mortgage Trust, Series 2013-C12, Class ASB 2.84%, 3/15/48		251		253
WFRBS Commercial Mortgage Trust, Series 2013-C13, Class A4 3.00%, 5/15/45		500		503
WFRBS Commercial Mortgage Trust, Series 2013-C14, Class A5 3.34%, 6/15/46		150		152
WFRBS Commercial Mortgage Trust, Series 2013-C16, Class A5 4.42%, 9/15/46		250		263
WFRBS Commercial Mortgage Trust, Series 2014-C25, Class A5 3.63%, 11/15/47		250		259
WFRBS Commercial Mortgage Trust, Series 2014-LC14, Class A5 4.05%, 3/15/47		100		107
				36,959

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Credit Card – 0.2%
American Express Credit Account Master Trust, Series 2017-7, Class A 2.35%, 5/15/25		$100		$102
American Express Credit Account Master Trust, Series 2018-2, Class A 3.01%, 10/15/25		150		156
American Express Credit Account Master Trust, Series 2018-4, Class A 2.99%, 12/15/23		250		254
American Express Credit Account Master Trust, Series 2018-6, Class A 3.06%, 2/15/24		200		204
American Express Credit Account Master Trust, Series 2019-1, Class A 2.87%, 10/15/24		250		258
BA Credit Card Trust, Series 2018-A2, Class A2 3.00%, 9/15/23		250		254
BA Credit Card Trust, Series 2018-A3, Class A3 3.10%, 12/15/23		200		204
BA Credit Card Trust, Series 2019-A1, Class A1 1.74%, 1/15/25		200		202
Barclays Dryrock Issuance Trust, Series 2019-1, Class A 1.96%, 5/15/25		100		99
Capital One Multi-Asset Execution Trust, Series 2016-A5, Class A5 1.66%, 6/17/24		100		100
Capital One Multi-Asset Execution Trust, Series 2017-A3, Class A3 2.43%, 1/15/25		200		202
Capital One Multi-Asset Execution Trust, Series 2017-A6, Class A6 2.29%, 7/15/25		200		197
Capital One Multi-Asset Execution Trust, Series 2018-A1, Class A1 3.01%, 2/15/24		200		202
Capital One Multi-Asset Execution Trust, Series 2019-A1, Class A1 2.84%, 12/15/24		250		257
Capital One Multi-Asset Execution Trust, Series 2019-A2, Class A2 1.72%, 8/15/24		200		202

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Credit Card – 0.2% – continued
Capital One Multi-Asset Execution Trust, Series 2019-A3, Class A3 2.06%, 8/15/28		$200		$200
Chase Issuance Trust, Series 2012-A7, Class A7 2.16%, 9/15/24		200		204
Chase Issuance Trust, Series 2014-A2, Class A2 2.77%, 3/15/23		150		152
Chase Issuance Trust, Series 2020-A1, Class A1 1.53%, 1/15/25		200		201
Citibank Credit Card Issuance Trust, Series 2007-A3, Class A3 6.15%, 6/15/39		150		193
Citibank Credit Card Issuance Trust, Series 2016-A2, Class A2 2.19%, 11/20/23		100		102
Citibank Credit Card Issuance Trust, Series 2018-A3, Class A3 3.29%, 5/23/25		100		103
Citibank Credit Card Issuance Trust, Series 2018-A6, Class A6 3.21%, 12/7/24		150		157
Citibank Credit Card Issuance Trust, Series 2018-A7, Class A7 3.96%, 10/13/30		200		234
Discover Card Execution Note Trust, Series 2017-A2, Class A2 2.39%, 7/15/24		150		152
Discover Card Execution Note Trust, Series 2018-A1, Class A1 3.03%, 8/15/25		200		205
Discover Card Execution Note Trust, Series 2018-A4, Class A4 3.11%, 1/16/24		200		204
Discover Card Execution Note Trust, Series 2019-A1, Class A1 3.04%, 7/15/24		200		206
Synchrony Card Funding LLC, Series 2019-A1, Class A 2.95%, 3/15/25		200		202
Synchrony Card Funding LLC, Series 2019-A2, Class A 2.34%, 6/15/25		200		197

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ASSET-BACKED SECURITIES – 1.8% – continued
Credit Card – 0.2% – continued
Synchrony Card Issuance Trust, Series 2018-A1, Class A 3.38%, 9/15/24		$200		$200
Synchrony Credit Card Master Note Trust, Series 2016-2, Class A 2.21%, 5/15/24		100		100
Synchrony Credit Card Master Note Trust, Series 2017-2, Class A 2.62%, 10/15/25		100		101
Synchrony Credit Card Master Note Trust, Series 2018-1, Class A 2.97%, 3/15/24		100		100
Synchrony Credit Card Master Note Trust, Series 2018-2, Class A 3.47%, 5/15/26		100		103
World Financial Network Credit Card Master Trust, Series 2016-A, Class A 2.03%, 4/15/25		100		99
World Financial Network Credit Card Master Trust, Series 2019-A, Class A 3.14%, 12/15/25		125		126
World Financial Network Credit Card Master Trust, Series 2019-C, Class A 2.21%, 7/15/26		100		96
				6,530
Other – 0.0%
AEP Texas Central Transition Funding lll LLC, Series 2012-1, Class A3 2.84%, 3/1/26		100		98
CenterPoint Energy Restoration Bond Co. LLC, Series 2009-1, Class A3 4.24%, 8/15/23		58		60
CenterPoint Energy Transition Bond Co. IV LLC, Series 2012-1, Class A3 3.03%, 10/15/25		150		152
Entergy Texas Restoration Funding LLC, Series 2009-A, Class A3 4.38%, 11/1/23		59		60
PSNH Funding LLC 3, Series 2018-1, Class A3 3.81%, 2/1/35		100		97
				467
Total Asset-Backed Securities
(Cost $50,614)				51,770

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8%
Advertising & Marketing – 0.0%
Interpublic Group of (The) Cos., Inc., 4.20%, 4/15/24		$150		$152
Omnicom Group, Inc./Omnicom Capital, Inc., 3.63%, 5/1/22		156		159
3.60%, 4/15/26		340		339
				650
Aerospace & Defense – 0.5%
Boeing (The) Co., 7.95%, 8/15/24		1,400		1,583
2.85%, 10/30/24		110		100
2.25%, 6/15/26		250		220
6.13%, 2/15/33		135		148
3.30%, 3/1/35		55		48
6.63%, 2/15/38		100		109
5.88%, 2/15/40		75		73
3.50%, 3/1/45		500		424
General Dynamics Corp., 2.25%, 11/15/22		500		503
2.13%, 8/15/26		350		350
3.60%, 11/15/42		155		165
L3Harris Technologies, Inc., 4.40%, 6/15/28		449		478
Lockheed Martin Corp., 3.55%, 1/15/26		600		643
3.60%, 3/1/35		135		148
4.07%, 12/15/42		868		1,002
3.80%, 3/1/45		230		250
4.09%, 9/15/52		20		24
Northrop Grumman Corp., 3.25%, 1/15/28		1,000		1,039
5.05%, 11/15/40		250		308
4.75%, 6/1/43		250		300
4.03%, 10/15/47		60		69
Precision Castparts Corp., 2.50%, 1/15/23		500		503
3.90%, 1/15/43		100		108
4.38%, 6/15/45		350		390
Raytheon Co., 4.70%, 12/15/41		100		117
Rockwell Collins, Inc., 3.50%, 3/15/27		500		517

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Aerospace & Defense – 0.5% – continued
United Technologies Corp., 4.13%, 11/16/28		$750		$823
7.50%, 9/15/29		100		141
6.05%, 6/1/36		600		796
6.13%, 7/15/38		175		251
5.70%, 4/15/40		500		640
4.50%, 6/1/42		450		520
3.75%, 11/1/46		750		785
				13,575
Airlines – 0.1%
Southwest Airlines Co. Pass Through Trust, Series 2007-1, 6.15%, 8/1/22		171		176
United Airlines Pass Through Trust, Series 2019-1, Class AA, 4.15%, 8/25/31		1,778		1,844
				2,020
Apparel & Textile Products – 0.0%
NIKE, Inc., 2.38%, 11/1/26		250		254
3.63%, 5/1/43		75		82
3.38%, 11/1/46		500		519
				855
Auto Parts Manufacturing – 0.0%
Aptiv Corp., 4.15%, 3/15/24		300		295
BorgWarner, Inc., 4.38%, 3/15/45		170		167
				462
Automobiles Manufacturing – 0.3%
American Honda Finance Corp., 1.65%, 7/12/21		400		395
1.70%, 9/9/21		500		492
2.60%, 11/16/22		125		124
3.63%, 10/10/23		500		508
Daimler Finance North America LLC, 8.50%, 1/18/31		175		237
Ford Motor Co., 4.75%, 1/15/43		254		144
General Motors Co., 5.00%, 4/1/35		500		375
6.25%, 10/2/43		550		434

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Automobiles Manufacturing – 0.3% – continued
6.75%, 4/1/46		$145		$116
5.40%, 4/1/48		267		195
General Motors Financial Co., Inc., 4.20%, 3/1/21		1,245		1,198
3.20%, 7/6/21		485		462
3.45%, 4/10/22		50		47
3.70%, 5/9/23		1,050		945
4.00%, 10/6/26		750		637
5.65%, 1/17/29		150		130
Harley-Davidson, Inc., 4.63%, 7/28/45		670		623
Toyota Motor Credit Corp., 1.90%, 4/8/21		160		159
2.70%, 1/11/23		625		629
2.25%, 10/18/23		545		534
				8,384
Banks – 1.0%
Bank of America N.A., 6.00%, 10/15/36		250		333
Citibank N.A., 3.40%, 7/23/21		250		255
Citizens Bank N.A., 2.55%, 5/13/21		250		250
Citizens Financial Group, Inc., 4.30%, 12/3/25		250		262
Discover Bank, 3.20%, 8/9/21		250		247
2.70%, 2/6/30		250		216
Fifth Third Bancorp, 3.65%, 1/25/24		570		593
8.25%, 3/1/38		275		363
Fifth Third Bank, 2.25%, 6/14/21		200		200
2.88%, 10/1/21		250		252
HSBC Bank USA N.A., 7.00%, 1/15/39		350		456
HSBC USA, Inc., 3.50%, 6/23/24		1,000		1,006
Huntington Bancshares, Inc., 3.15%, 3/14/21		500		501
Huntington National Bank (The), 3.55%, 10/6/23		1,000		1,037

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Banks – 1.0% – continued
KeyBank N.A., 3.30%, 6/1/25		$250		$260
M&T Bank Corp., 3.55%, 7/26/23		100		105
MUFG Americas Holdings Corp., 3.50%, 6/18/22		150		153
PNC Bank N.A., 2.63%, 2/17/22		750		758
2.70%, 11/1/22		750		758
2.95%, 1/30/23		500		507
3.80%, 7/25/23		1,000		1,056
PNC Financial Services Group (The), Inc., 3.30%, 3/8/22		150		152
2.85%, 11/9/22		100		102
3.15%, 5/19/27		1,000		1,047
Regions Financial Corp., 2.75%, 8/14/22		250		247
Synchrony Bank, 3.00%, 6/15/22		250		248
Truist Bank, 3.00%, 2/2/23		1,361		1,394
2.75%, 5/1/23		350		356
3.63%, 9/16/25		250		260
4.05%, 11/3/25		600		621
3.80%, 10/30/26		250		263
Truist Financial Corp., 2.75%, 4/1/22		150		151
2.85%, 10/26/24		1,000		1,011
US Bancorp, 4.13%, 5/24/21		125		128
2.63%, 1/24/22		115		117
3.00%, 3/15/22		75		77
2.95%, 7/15/22		1,700		1,718
3.60%, 9/11/24		350		359
2.38%, 7/22/26		1,000		986
US Bank N.A., 2.80%, 1/27/25		250		258
Wells Fargo & Co., 4.60%, 4/1/21		425		434
2.10%, 7/26/21		250		249
3.50%, 3/8/22		1,020		1,040
3.07%, 1/24/23		480		485
3.45%, 2/13/23		125		128

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Banks – 1.0% – continued
4.13%, 8/15/23		$200		$206
3.30%, 9/9/24		1,095		1,140
3.00%, 2/19/25		655		668
3.00%, 4/22/26		1,365		1,389
3.00%, 10/23/26		600		613
4.30%, 7/22/27		110		117
(Variable, ICE LIBOR USD 3M + 1.31%), 3.58%, 5/22/28 (3)		585		595
5.38%, 2/7/35		425		501
3.90%, 5/1/45		950		1,035
4.40%, 6/14/46		850		913
Wells Fargo Bank N.A., 5.85%, 2/1/37		250		317
6.60%, 1/15/38		300		410
Wells Fargo Capital X, 5.95%, 12/15/36		100		125
				29,428
Biotechnology – 0.2%
Amgen, Inc., 3.88%, 11/15/21		207		251
2.70%, 5/1/22		1,000		1,024
3.20%, 11/2/27		250		269
6.40%, 2/1/39		200		278
5.75%, 3/15/40		935		1,310
5.15%, 11/15/41		250		262
5.65%, 6/15/42		100		141
4.40%, 5/1/45		250		293
Baxalta, Inc., 4.00%, 6/23/25		225		236
5.25%, 6/23/45		187		235
Biogen, Inc., 4.05%, 9/15/25		95		100
5.20%, 9/15/45		100		129
Gilead Sciences, Inc., 3.25%, 9/1/22		145		148
3.50%, 2/1/25		250		264
4.60%, 9/1/35		1,000		1,239
4.80%, 4/1/44		245		314
4.50%, 2/1/45		150		182
4.15%, 3/1/47		195		238
				6,913

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Cable & Satellite – 0.5%
Charter Communications Operating LLC/Charter Communications Operating Capital, 4.91%, 7/23/25		$625		$664
3.75%, 2/15/28		1,790		1,798
4.20%, 3/15/28		740		757
5.05%, 3/30/29		305		330
4.80%, 3/1/50		500		520
Comcast Corp., 3.38%, 2/15/25		145		154
2.35%, 1/15/27		570		566
3.30%, 2/1/27		1,335		1,412
7.05%, 3/15/33		140		197
5.65%, 6/15/35		1,005		1,345
4.75%, 3/1/44		385		489
4.60%, 8/15/45		380		484
4.70%, 10/15/48		84		109
4.00%, 11/1/49		30		35
4.05%, 11/1/52		694		826
4.95%, 10/15/58		930		1,259
TCI Communications, Inc., 7.88%, 2/15/26		755		970
Time Warner Cable LLC, 6.55%, 5/1/37		68		76
7.30%, 7/1/38		705		865
6.75%, 6/15/39		130		147
5.50%, 9/1/41		75		78
Time Warner Entertainment Co. L.P., 8.38%, 7/15/33		260		358
				13,439
Chemicals – 0.3%
3M Co., 2.75%, 3/1/22		111		112
3.25%, 2/14/24		456		483
3.38%, 3/1/29		500		534
Air Products & Chemicals, Inc., 3.00%, 11/3/21		300		304
2.75%, 2/3/23		250		253
Airgas, Inc., 2.90%, 11/15/22		150		156
3.65%, 7/15/24		70		77
Dow Chemical (The) Co., 4.55%, 11/30/25		55		57

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Chemicals – 0.3% – continued
7.38%, 11/1/29		$100		$126
4.25%, 10/1/34		670		659
9.40%, 5/15/39		300		451
5.25%, 11/15/41		400		404
DuPont de Nemours, Inc., 4.73%, 11/15/28		580		636
5.32%, 11/15/38		208		234
Eastman Chemical Co., 4.80%, 9/1/42		200		228
4.65%, 10/15/44		100		107
Ecolab, Inc., 4.35%, 12/8/21		204		202
3.25%, 1/14/23		65		65
2.70%, 11/1/26		70		71
5.50%, 12/8/41		455		523
International Flavors & Fragrances, Inc., 5.00%, 9/26/48		67		68
Lubrizol (The) Corp., 6.50%, 10/1/34		50		76
Mosaic (The) Co., 3.25%, 11/15/22		36		35
5.45%, 11/15/33		250		242
4.88%, 11/15/41		100		81
PPG Industries, Inc., 3.20%, 3/15/23		500		513
Praxair, Inc., 4.05%, 3/15/21		100		102
2.45%, 2/15/22		422		424
2.20%, 8/15/22		150		151
2.70%, 2/21/23		250		253
RPM International, Inc., 3.75%, 3/15/27		100		98
Sherwin-Williams (The) Co., 3.45%, 6/1/27		205		210
2.95%, 8/15/29		795		780
4.55%, 8/1/45		30		33
Westlake Chemical Corp., 3.60%, 7/15/22		65		68
3.60%, 8/15/26		950		865
				9,681
Commercial Finance – 0.1%
Air Lease Corp., 3.50%, 1/15/22		214		193

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Commercial Finance – 0.1% – continued
2.75%, 1/15/23		$125		$105
3.00%, 9/15/23		245		197
4.25%, 9/15/24		485		409
3.25%, 3/1/25		145		114
4.63%, 10/1/28		255		207
3.25%, 10/1/29		500		401
GATX Corp., 3.50%, 3/15/28		500		502
5.20%, 3/15/44		35		38
International Lease Finance Corp., 5.88%, 8/15/22		250		230
				2,396
Communications Equipment – 0.5%
Apple, Inc., 2.10%, 9/12/22		665		675
2.40%, 5/3/23		5		5
3.00%, 2/9/24		1,320		1,390
2.85%, 5/11/24		1,570		1,668
2.75%, 1/13/25		1,265		1,334
2.50%, 2/9/25		55		58
2.45%, 8/4/26		225		236
3.35%, 2/9/27		370		403
3.20%, 5/11/27		540		584
2.90%, 9/12/27		1,625		1,734
3.00%, 11/13/27		1,000		1,072
3.85%, 5/4/43		230		273
4.45%, 5/6/44		75		96
3.45%, 2/9/45		55		62
4.38%, 5/13/45		195		248
4.65%, 2/23/46		250		332
3.75%, 9/12/47		150		184
3.75%, 11/13/47		25		30
2.95%, 9/11/49		500		532
Cisco Systems, Inc., 1.85%, 9/20/21		1,190		1,198
2.20%, 9/20/23		750		789
2.95%, 2/28/26		375		399
5.90%, 2/15/39		690		991
Corning, Inc., 5.75%, 8/15/40		170		198
Juniper Networks, Inc., 5.95%, 3/15/41		100		97
				14,588

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Construction Materials Manufacturing – 0.0%
Martin Marietta Materials, Inc., 3.45%, 6/1/27		$500		$511
Owens Corning, 3.40%, 8/15/26		400		373
				884
Consumer Finance – 0.5%
American Express Co., 2.50%, 8/1/22		325		327
2.65%, 12/2/22		632		639
3.70%, 8/3/23		500		519
3.00%, 10/30/24		220		225
3.63%, 12/5/24		1,125		1,158
3.13%, 5/20/26		500		518
American Express Credit Corp., 2.25%, 5/5/21		1,180		1,183
Capital One Financial Corp., 4.75%, 7/15/21		131		135
3.20%, 1/30/23		400		395
3.75%, 4/24/24		1,000		1,006
3.30%, 10/30/24		1,050		1,027
3.75%, 7/28/26		505		472
3.75%, 3/9/27		250		240
Discover Financial Services, 4.50%, 1/30/26		500		510
Fiserv, Inc., 3.85%, 6/1/25		45		47
3.50%, 7/1/29		1,500		1,560
4.40%, 7/1/49		500		529
Mastercard, Inc., 2.00%, 11/21/21		130		131
3.80%, 11/21/46		500		575
Synchrony Financial, 4.25%, 8/15/24		570		549
3.95%, 12/1/27		635		564
Visa, Inc., 3.15%, 12/14/25		1,250		1,361
4.15%, 12/14/35		1,000		1,251
3.65%, 9/15/47		125		142
Western Union (The) Co., 6.20%, 6/21/40		120		117
				15,180

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Consumer Products – 0.2%
Church & Dwight Co., Inc., 3.95%, 8/1/47		$100		$90
Clorox (The) Co., 3.05%, 9/15/22		250		259
Colgate-Palmolive Co., 2.25%, 11/15/22		1,150		1,146
1.95%, 2/1/23		250		254
2.10%, 5/1/23		250		254
Estee Lauder (The) Cos., Inc., 2.35%, 8/15/22		50		50
6.00%, 5/15/37		100		127
4.38%, 6/15/45		150		168
4.15%, 3/15/47		70		75
Kimberly-Clark Corp., 2.40%, 3/1/22		50		50
6.63%, 8/1/37		350		511
3.70%, 6/1/43		100		109
3.20%, 7/30/46		125		116
Procter & Gamble (The) Co., 2.30%, 2/6/22		215		220
3.10%, 8/15/23		250		265
3.50%, 10/25/47		355		383
Unilever Capital Corp., 2.00%, 7/28/26		1,000		997
5.90%, 11/15/32		125		164
				5,238
Consumer Services – 0.0%
Cintas Corp. No. 2, 2.90%, 4/1/22		85		85
Containers & Packaging – 0.1%
International Paper Co., 3.65%, 6/15/24		250		252
3.00%, 2/15/27		1,000		1,028
7.30%, 11/15/39		45		58
6.00%, 11/15/41		480		617
5.15%, 5/15/46		250		259
Packaging Corp. of America, 4.50%, 11/1/23		100		108
3.65%, 9/15/24		250		268
Sonoco Products Co., 4.38%, 11/1/21		25		26
5.75%, 11/1/40		150		200

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Containers & Packaging – 0.1% – continued
WestRock MWV LLC, 7.95%, 2/15/31		$100		$136
WRKCo, Inc., 4.90%, 3/15/29		350		376
				3,328
Department Stores – 0.0%
Kohl’s Corp., 3.25%, 2/1/23		100		90
4.75%, 12/15/23		69		61
Macy’s Retail Holdings, Inc., 3.88%, 1/15/22		17		12
2.88%, 2/15/23		86		62
5.13%, 1/15/42		5		3
Nordstrom, Inc., 4.00%, 10/15/21		150		145
7.00%, 1/15/38		26		23
				396
Design, Manufacturing & Distribution – 0.0%
Arrow Electronics, Inc., 3.88%, 1/12/28		250		233
Diversified Banks – 1.4%
Bank of America Corp., 5.00%, 5/13/21		400		411
5.70%, 1/24/22		1,000		1,045
4.10%, 7/24/23		100		107
(Variable, ICE LIBOR USD 3M + 0.79%), 3.00%, 12/20/23 (3)		1,379		1,407
4.13%, 1/22/24		100		106
(Variable, ICE LIBOR USD 3M + 0.78%), 3.55%, 3/5/24 (3)		250		260
4.00%, 4/1/24		165		175
(Variable, ICE LIBOR USD 3M + 0.94%), 3.86%, 7/23/24 (3)		1,000		1,046
4.20%, 8/26/24		280		298
4.00%, 1/22/25		1,595		1,679
3.95%, 4/21/25		1,375		1,446
(Variable, ICE LIBOR USD 3M + 0.81%), 3.37%, 1/23/26 (3)		1,000		1,048
(Variable, ICE LIBOR USD 3M + 0.64%), 2.02%, 2/13/26 (3)		760		744
4.45%, 3/3/26		500		539
4.25%, 10/22/26		100		106
(Variable, ICE LIBOR USD 3M + 1.04%), 3.42%, 12/20/28 (3)		1,200		1,238

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Diversified Banks – 1.4% – continued
(Variable, ICE LIBOR USD 3M + 1.31%), 4.27%, 7/23/29 (3)		$1,000		$1,081
6.11%, 1/29/37		150		193
7.75%, 5/14/38		275		406
5.00%, 1/21/44		955		1,213
(Variable, ICE LIBOR USD 3M + 1.99%), 4.44%, 1/20/48 (3)		500		560
(Variable, ICE LIBOR USD 3M + 1.52%), 4.33%, 3/15/50 (3)		500		590
Citigroup, Inc., 4.50%, 1/14/22		735		763
4.05%, 7/30/22		90		91
3.38%, 3/1/23		150		153
3.88%, 10/25/23		200		206
3.75%, 6/16/24		909		920
3.88%, 3/26/25		1,730		1,754
5.50%, 9/13/25		350		383
4.60%, 3/9/26		205		217
3.20%, 10/21/26		505		523
4.30%, 11/20/26		825		863
4.45%, 9/29/27		170		178
(Variable, ICE LIBOR USD 3M + 1.39%), 3.67%, 7/24/28 (3)		710		735
(Variable, ICE LIBOR USD 3M + 1.15%), 3.52%, 10/27/28 (3)		750		750
6.63%, 6/15/32		100		120
6.00%, 10/31/33		350		403
6.13%, 8/25/36		125		148
8.13%, 7/15/39		680		1,067
5.88%, 1/30/42		30		38
4.75%, 5/18/46		1,530		1,712
JPMorgan Chase & Co., 4.63%, 5/10/21		250		257
2.40%, 6/7/21		500		501
4.35%, 8/15/21		1,865		1,913
3.25%, 9/23/22		210		217
3.63%, 5/13/24		500		521
3.88%, 9/10/24		2,250		2,373
3.90%, 7/15/25		755		804
7.75%, 7/15/25		54		66
3.20%, 6/15/26		500		519
8.00%, 4/29/27		750		957
3.63%, 12/1/27		1,250		1,316

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Diversified Banks – 1.4% – continued
(Variable, ICE LIBOR USD 3M + 1.34%), 3.78%, 2/1/28 (3)		$500		$529
(Variable, ICE LIBOR USD 3M + 0.95%), 3.51%, 1/23/29 (3)		500		515
6.40%, 5/15/38		1,054		1,508
5.60%, 7/15/41		405		538
5.40%, 1/6/42		100		132
5.63%, 8/16/43		150		194
4.85%, 2/1/44		215		257
4.95%, 6/1/45		500		626
(Variable, ICE LIBOR USD 3M + 1.58%), 4.26%, 2/22/48 (3)		285		330
(Variable, ICE LIBOR USD 3M + 1.38%), 3.96%, 11/15/48 (3)		740		856
				41,651
Educational Services – 0.0%
California Institute of Technology, 4.70%, 11/1/11 (4)		110		143
Johns Hopkins University, 4.08%, 7/1/53		100		120
Massachusetts Institute of Technology, 5.60%, 7/1/11 (4)		190		310
4.68%, 7/1/14 (5)		15		21
3.89%, 7/1/16 (6)		300		345
Northwestern University, 4.64%, 12/1/44		50		60
University of Pennsylvania, 4.67%, 9/1/12 (7)		100		144
				1,143
Electrical Equipment Manufacturing – 0.2%
ABB Finance USA, Inc., 4.38%, 5/8/42		250		255
Emerson Electric Co., 2.63%, 12/1/21		310		317
General Electric Co., 2.70%, 10/9/22		580		563
3.10%, 1/9/23		500		504
3.45%, 5/15/24		520		514
6.75%, 3/15/32		150		178
6.15%, 8/7/37		150		171
5.88%, 1/14/38		400		461
6.88%, 1/10/39		300		371

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Electrical Equipment Manufacturing – 0.2% – continued
Honeywell International, Inc., 3.35%, 12/1/23		$260		$275
2.50%, 11/1/26		780		791
3.81%, 11/21/47		125		137
Rockwell Automation, Inc., 6.25%, 12/1/37		150		162
4.20%, 3/1/49		100		110
Roper Technologies, Inc., 3.85%, 12/15/25		220		249
3.80%, 12/15/26		235		242
				5,300
Entertainment Content – 0.2%
ViacomCBS, Inc., 3.88%, 4/1/24		245		240
3.70%, 8/15/24		825		805
4.38%, 3/15/43		490		434
5.85%, 9/1/43		300		307
5.25%, 4/1/44		30		32
Walt Disney (The) Co., 2.55%, 2/15/22		295		299
2.45%, 3/4/22		555		561
3.70%, 9/15/24		915		980
6.40%, 12/15/35		31		43
4.13%, 12/1/41		105		123
3.70%, 12/1/42		395		444
4.95%, 10/15/45		500		647
2.75%, 9/1/49		1,000		984
				5,899
Exploration & Production – 0.2%
Apache Corp., 3.25%, 4/15/22		73		55
5.10%, 9/1/40		775		342
5.25%, 2/1/42		115		52
Burlington Resources LLC, 5.95%, 10/15/36		125		140
Cimarex Energy Co., 4.38%, 3/15/29		200		134
CNOOC Finance 2015 USA LLC, 3.75%, 5/2/23		500		523
ConocoPhillips, 5.90%, 5/15/38		280		321
ConocoPhillips Co., 4.95%, 3/15/26		120		128

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Exploration & Production – 0.2% – continued
ConocoPhillips Holding Co., 6.95%, 4/15/29		$465		$572
Devon Energy Corp., 5.85%, 12/15/25		660		522
EOG Resources, Inc., 2.63%, 3/15/23		670		651
3.15%, 4/1/25		145		142
Hess Corp., 7.13%, 3/15/33		690		555
Marathon Oil Corp., 2.80%, 11/1/22		260		199
6.80%, 3/15/32		175		128
5.20%, 6/1/45		1,000		633
Occidental Petroleum Corp., 2.70%, 2/15/23		725		429
6.20%, 3/15/40		235		106
4.40%, 4/15/46		65		28
4.10%, 2/15/47		65		27
Ovintiv, Inc., 6.63%, 8/15/37		180		78
Pioneer Natural Resources Co., 3.95%, 7/15/22		85		82
7.20%, 1/15/28		100		97
				5,944
Financial Services – 1.0%
Ameriprise Financial, Inc., 4.00%, 10/15/23		250		265
3.70%, 10/15/24		500		519
2.88%, 9/15/26		435		425
Bank of New York Mellon (The) Corp., 2.05%, 5/3/21		500		502
3.55%, 9/23/21		1,455		1,492
2.20%, 8/16/23		285		286
3.25%, 5/16/27		500		522
(Variable, ICE LIBOR USD 3M + 1.07%), 3.44%, 2/7/28 (3)		1,000		1,013
BlackRock, Inc., 4.25%, 5/24/21		280		287
3.50%, 3/18/24		250		269
3.25%, 4/30/29		218		228
Charles Schwab (The) Corp., 2.65%, 1/25/23		175		178
3.45%, 2/13/26		280		290

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Financial Services – 1.0% – continued
3.20%, 3/2/27		$500		$494
CME Group, Inc., 3.75%, 6/15/28		300		335
5.30%, 9/15/43		125		168
Goldman Sachs Group (The), Inc., 5.75%, 1/24/22		360		381
3.63%, 1/22/23		325		334
3.50%, 1/23/25		55		56
3.75%, 5/22/25		2,690		2,785
(Variable, ICE LIBOR USD 3M + 1.20%), 3.27%, 9/29/25 (3)		500		508
3.75%, 2/25/26		2,575		2,660
3.50%, 11/16/26		500		507
5.95%, 1/15/27		80		91
3.85%, 1/26/27		195		201
(Variable, ICE LIBOR USD 3M + 1.51%), 3.69%, 6/5/28 (3)		1,000		1,027
6.75%, 10/1/37		615		814
(Variable, ICE LIBOR USD 3M + 1.43%), 4.41%, 4/23/39 (3)		1,020		1,067
6.25%, 2/1/41		300		404
4.80%, 7/8/44		350		392
Intercontinental Exchange, Inc., 2.35%, 9/15/22		500		504
Jefferies Group LLC, 5.13%, 1/20/23		315		321
Legg Mason, Inc., 5.63%, 1/15/44		269		286
Main Street Capital Corp., 5.20%, 5/1/24		165		156
Morgan Stanley, 2.50%, 4/21/21		430		431
2.63%, 11/17/21		945		949
4.10%, 5/22/23		580		592
3.88%, 4/29/24		680		714
3.70%, 10/23/24		310		325
3.13%, 7/27/26		980		1,005
6.25%, 8/9/26		100		121
3.63%, 1/20/27		190		203
3.95%, 4/23/27		1,190		1,253
(Variable, ICE LIBOR USD 3M + 1.34%), 3.59%, 7/22/28 (3)		1,000		1,015
6.38%, 7/24/42		300		418
4.30%, 1/27/45		1,095		1,267

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Financial Services – 1.0% – continued
State Street Corp., (Variable, ICE LIBOR USD 3M + 0.64%), 2.65%, 5/15/23 (3)		$1,000		$986
3.10%, 5/15/23		225		230
3.70%, 11/20/23		340		343
3.30%, 12/16/24		330		341
TD Ameritrade Holding Corp., 2.95%, 4/1/22		80		78
3.63%, 4/1/25		250		261
				30,299
Food & Beverage – 0.8%
Anheuser-Busch Cos. LLC/Anheuser-Busch InBev Worldwide, Inc., 3.65%, 2/1/26		1,000		1,049
4.90%, 2/1/46		2,910		3,169
Anheuser-Busch InBev Finance, Inc., 4.00%, 1/17/43		150		133
4.63%, 2/1/44		250		262
Anheuser-Busch InBev Worldwide, Inc., 8.20%, 1/15/39		750		1,123
5.45%, 1/23/39		190		219
8.00%, 11/15/39		310		442
3.75%, 7/15/42		65		65
4.60%, 4/15/48		500		529
4.44%, 10/6/48		304		310
Brown-Forman Corp., 3.75%, 1/15/43		50		53
4.50%, 7/15/45		200		231
Campbell Soup Co., 2.50%, 8/2/22		205		204
3.65%, 3/15/23		86		88
Coca-Cola (The) Co., 3.30%, 9/1/21		250		256
2.50%, 4/1/23		355		370
3.20%, 11/1/23		100		111
2.55%, 6/1/26		770		807
Conagra Brands, Inc., 3.25%, 9/15/22		55		54
3.20%, 1/25/23		118		117
7.00%, 10/1/28		200		240
5.30%, 11/1/38		1,000		1,087
Constellation Brands, Inc., 2.65%, 11/7/22		625		597

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Food & Beverage – 0.8% – continued
4.40%, 11/15/25		$188		$190
3.60%, 2/15/28		250		245
4.65%, 11/15/28		480		479
5.25%, 11/15/48		167		177
General Mills, Inc., 3.15%, 12/15/21		500		506
2.60%, 10/12/22		140		141
3.65%, 2/15/24		75		77
3.20%, 2/10/27		1,000		1,050
5.40%, 6/15/40		70		86
Hershey (The) Co., 2.30%, 8/15/26		365		369
Ingredion, Inc., 3.20%, 10/1/26		250		268
JM Smucker (The) Co., 3.50%, 3/15/25		500		513
4.38%, 3/15/45		250		248
Kellogg Co., 2.75%, 3/1/23		350		348
4.50%, 4/1/46		750		838
Keurig Dr. Pepper, Inc., 3.13%, 12/15/23		85		86
2.55%, 9/15/26		95		89
4.42%, 12/15/46		450		503
McCormick & Co., Inc., 2.70%, 8/15/22		160		160
Molson Coors Beverage Co., 2.10%, 7/15/21		55		54
3.00%, 7/15/26		170		161
5.00%, 5/1/42		575		557
Mondelez International, Inc., 3.63%, 2/13/26		171		179
PepsiCo, Inc., 3.00%, 8/25/21		770		791
1.70%, 10/6/21		45		46
2.75%, 3/5/22		385		400
2.75%, 4/30/25		500		520
3.50%, 7/17/25		100		107
2.85%, 2/24/26		115		121
2.38%, 10/6/26		245		252
3.00%, 10/15/27		95		101
3.60%, 8/13/42		50		52
4.25%, 10/22/44		355		407

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Food & Beverage – 0.8% – continued
4.60%, 7/17/45		$75		$90
3.45%, 10/6/46		45		51
Tyson Foods, Inc., 4.50%, 6/15/22		300		310
5.10%, 9/28/48		350		434
				22,522
Forest & Paper Products Manufacturing – 0.0%
Georgia-Pacific LLC, 8.00%, 1/15/24		500		606
7.75%, 11/15/29		500		713
				1,319
Hardware – 0.2%
Dell International LLC/EMC Corp., 4.42%, 6/15/21 (8)		750		750
5.45%, 6/15/23 (8)		730		750
6.02%, 6/15/26 (8)		210		217
8.35%, 7/15/46 (8)		900		1,069
Hewlett Packard Enterprise Co., 4.40%, 10/15/22		830		846
4.90%, 10/15/25		1,445		1,522
6.35%, 10/15/45		200		237
HP, Inc., 4.05%, 9/15/22		25		26
6.00%, 9/15/41		275		296
NetApp, Inc., 3.30%, 9/29/24		160		157
				5,870
Health Care Facilities & Services – 0.6%
AHS Hospital Corp., 5.02%, 7/1/45		100		127
AmerisourceBergen Corp., 3.25%, 3/1/25		135		137
4.25%, 3/1/45		60		61
4.30%, 12/15/47		1,000		1,039
Cardinal Health, Inc., 3.20%, 6/15/22		150		152
3.75%, 9/15/25		250		256
4.60%, 3/15/43		35		35
4.50%, 11/15/44		710		686
Cigna Corp., 4.38%, 10/15/28		3,300		3,542
4.80%, 7/15/46 (8)		580		686

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Health Care Facilities & Services – 0.6% – continued
CVS Health Corp., 2.75%, 12/1/22		$850		$856
3.70%, 3/9/23		455		473
3.38%, 8/12/24		250		258
3.88%, 7/20/25		518		544
4.30%, 3/25/28		2,305		2,465
4.78%, 3/25/38		170		188
5.30%, 12/5/43		750		884
5.13%, 7/20/45		1,560		1,795
5.05%, 3/25/48		155		177
Dignity Health, 5.27%, 11/1/64		200		233
HCA, Inc., 4.50%, 2/15/27		1,780		1,831
4.13%, 6/15/29		250		250
Laboratory Corp. of America Holdings, 4.70%, 2/1/45		300		341
McKesson Corp., 2.70%, 12/15/22		120		121
3.80%, 3/15/24		160		166
Memorial Sloan-Kettering Cancer Center, 4.13%, 7/1/52		100		119
NYU Langone Hospitals, 4.37%, 7/1/47		500		533
Quest Diagnostics, Inc., 3.45%, 6/1/26		115		118
5.75%, 1/30/40		28		34
				18,107
Home & Office Products Manufacturing – 0.0%
Leggett & Platt, Inc., 3.50%, 11/15/27		818		791
Home Improvement – 0.0%
Stanley Black & Decker, Inc., 3.40%, 12/1/21		265		263
2.90%, 11/1/22		65		65
Whirlpool Corp., 4.85%, 6/15/21		100		102
4.70%, 6/1/22		100		105
3.70%, 3/1/23		100		101
3.70%, 5/1/25		250		243
4.50%, 6/1/46		90		86
				965

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Industrial Other – 0.0%
Fluor Corp., 3.50%, 12/15/24		$565		$392
4.25%, 9/15/28		860		580
				972
Integrated Oils – 0.3%
BP Capital Markets America, Inc., 3.22%, 11/28/23		680		696
3.80%, 9/21/25		905		926
3.12%, 5/4/26		535		539
3.02%, 1/16/27		790		799
Chevron Corp., 2.50%, 3/3/22		545		553
2.36%, 12/5/22		270		274
2.57%, 5/16/23		170		175
2.90%, 3/3/24		200		206
3.33%, 11/17/25		140		147
2.95%, 5/16/26		1,325		1,373
Exxon Mobil Corp., 2.44%, 8/16/29		965		997
3.57%, 3/6/45		590		635
4.11%, 3/1/46		150		177
3.10%, 8/16/49		200		202
				7,699
Internet Media – 0.0%
Alphabet, Inc., 3.63%, 5/19/21		250		257
Leisure Products Manufacturing – 0.0%
Hasbro, Inc., 3.15%, 5/15/21		35		34
6.35%, 3/15/40		250		239
				273
Life Insurance – 0.3%
Aflac, Inc., 6.45%, 8/15/40		15		20
Globe Life, Inc., 3.80%, 9/15/22		420		446
Lincoln National Corp., 4.85%, 6/24/21		94		94
3.63%, 12/12/26		265		277
6.30%, 10/9/37		100		118
MetLife, Inc., 3.05%, 12/15/22		280		282

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Life Insurance – 0.3% – continued
3.00%, 3/1/25		$830		$818
6.38%, 6/15/34		485		629
6.40%, 12/15/36		150		157
4.13%, 8/13/42		460		465
4.72%, 12/15/44		370		413
Primerica, Inc., 4.75%, 7/15/22		100		103
Principal Financial Group, Inc., 4.63%, 9/15/42		40		41
Protective Life Corp., 8.45%, 10/15/39		425		602
Prudential Financial, Inc., 3.50%, 5/15/24		85		88
5.70%, 12/14/36		200		233
(Variable, ICE LIBOR USD 3M + 3.04%), 5.20%, 3/15/44 (3)		275		241
3.91%, 12/7/47		344		331
3.94%, 12/7/49		335		317
Reinsurance Group of America, Inc., 5.00%, 6/1/21		550		570
Voya Financial, Inc., 4.80%, 6/15/46		1,000		1,055
				7,300
Machinery Manufacturing – 0.3%
Caterpillar Financial Services Corp., 3.75%, 11/24/23		1,000		1,052
2.15%, 11/8/24		210		211
Caterpillar, Inc., 3.90%, 5/27/21		500		512
3.40%, 5/15/24		790		829
3.80%, 8/15/42		445		487
4.30%, 5/15/44		235		250
3.25%, 9/19/49		220		212
Deere & Co., 2.60%, 6/8/22		125		126
5.38%, 10/16/29		250		301
8.10%, 5/15/30		100		138
Eaton Corp., 3.10%, 9/15/27		250		252
IDEX Corp., 4.20%, 12/15/21		200		203
Illinois Tool Works, Inc., 3.38%, 9/15/21		250		255

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Machinery Manufacturing – 0.3% – continued
3.50%, 3/1/24		$250		$265
3.90%, 9/1/42		700		753
Ingersoll-Rand Global Holding Co. Ltd., 5.75%, 6/15/43		150		189
John Deere Capital Corp., 3.13%, 9/10/21		125		127
3.15%, 10/15/21		250		254
2.80%, 1/27/23		150		153
2.80%, 3/6/23		500		512
3.05%, 1/6/28		250		259
Parker-Hannifin Corp., 3.30%, 11/21/24		500		515
4.20%, 11/21/34		200		207
4.45%, 11/21/44		500		526
				8,588
Managed Care – 0.4%
Aetna, Inc., 2.75%, 11/15/22		400		401
6.63%, 6/15/36		40		50
6.75%, 12/15/37		150		195
4.50%, 5/15/42		100		104
Anthem, Inc., 3.50%, 8/15/24		545		559
3.35%, 12/1/24		750		763
6.38%, 6/15/37		500		644
4.63%, 5/15/42		525		576
Humana, Inc., 3.95%, 3/15/27		85		86
8.15%, 6/15/38		280		408
Kaiser Foundation Hospitals, 3.27%, 11/1/49		500		497
UnitedHealth Group, Inc., 3.35%, 7/15/22		1,255		1,298
3.50%, 2/15/24		40		42
3.75%, 7/15/25		655		708
3.45%, 1/15/27		1,500		1,609
3.88%, 12/15/28		145		163
5.80%, 3/15/36		250		326
6.63%, 11/15/37		640		896
6.88%, 2/15/38		170		249
4.75%, 7/15/45		500		637
				10,211

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Mass Merchants – 0.3%
Costco Wholesale Corp., 2.75%, 5/18/24		$750		$786
Dollar General Corp., 3.25%, 4/15/23		900		915
Dollar Tree, Inc., 3.70%, 5/15/23		165		168
Target Corp., 2.90%, 1/15/22		515		520
3.63%, 4/15/46		500		557
3.90%, 11/15/47		225		264
Walmart, Inc., 2.35%, 12/15/22		500		513
3.30%, 4/22/24		625		663
3.55%, 6/26/25		180		196
3.25%, 7/8/29		1,000		1,099
2.38%, 9/24/29		2,185		2,260
3.95%, 6/28/38		500		594
5.00%, 10/25/40		275		343
4.30%, 4/22/44		145		179
3.63%, 12/15/47		70		80
				9,137
Medical Equipment & Devices Manufacturing – 0.3%
Abbott Laboratories, 2.95%, 3/15/25		1,000		1,039
3.75%, 11/30/26		564		630
4.75%, 11/30/36		555		707
4.75%, 4/15/43		650		831
Agilent Technologies, Inc., 3.20%, 10/1/22		225		227
3.88%, 7/15/23		250		258
Baxter International, Inc., 1.70%, 8/15/21		60		60
3.50%, 8/15/46		350		322
Becton Dickinson and Co., 3.13%, 11/8/21		150		152
3.30%, 3/1/23		130		131
4.69%, 12/15/44		239		251
Boston Scientific Corp., 3.85%, 5/15/25		128		134
7.38%, 1/15/40		540		778
Medtronic, Inc., 3.50%, 3/15/25		334		359
4.38%, 3/15/35		913		1,126

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Medical Equipment & Devices Manufacturing – 0.3% – continued
4.63%, 3/15/45		$406		$542
Stryker Corp., 2.63%, 3/15/21		5		5
3.38%, 11/1/25		250		265
4.10%, 4/1/43		50		55
4.38%, 5/15/44		200		209
Thermo Fisher Scientific, Inc., 4.15%, 2/1/24		100		107
2.95%, 9/19/26		155		157
Zimmer Biomet Holdings, Inc., 3.38%, 11/30/21		250		251
3.15%, 4/1/22		500		500
3.55%, 4/1/25		120		121
				9,217
Metals & Mining – 0.2%
Barrick North America Finance LLC, 5.70%, 5/30/41		500		615
Newmont Corp., 5.88%, 4/1/35		100		144
4.88%, 3/15/42		150		176
Nucor Corp., 4.00%, 8/1/23		250		249
6.40%, 12/1/37		150		188
5.20%, 8/1/43		125		144
4.40%, 5/1/48		1,000		1,134
Southern Copper Corp., 3.88%, 4/23/25		100		99
7.50%, 7/27/35		300		354
6.75%, 4/16/40		90		105
5.88%, 4/23/45		1,500		1,588
				4,796
Oil & Gas Services & Equipment – 0.0%
Baker Hughes a GE Co. LLC/Baker Hughes Co-Obligor, Inc., 4.08%, 12/15/47		210		172
Halliburton Co., 3.80%, 11/15/25		123		116
4.85%, 11/15/35		25		19
6.70%, 9/15/38		780		697
7.45%, 9/15/39		160		155
4.75%, 8/1/43		15		12
				1,171

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Pharmaceuticals – 1.0%
AbbVie, Inc., 2.30%, 5/14/21		$800		$803
3.38%, 11/14/21		500		511
3.60%, 5/14/25		225		236
3.20%, 5/14/26		250		248
4.25%, 11/14/28		300		319
4.40%, 11/6/42		415		461
4.70%, 5/14/45		4,340		4,875
Allergan Finance LLC, 3.25%, 10/1/22		1,000		1,003
Bayer US Finance II LLC, 5.50%, 8/15/25 (8)		50		55
4.40%, 7/15/44 (8)		250		247
Bristol-Myers Squibb Co., 2.00%, 8/1/22		600		605
3.63%, 5/15/24 (8)		500		528
2.90%, 7/26/24 (8)		900		954
3.88%, 8/15/25 (8)		765		876
3.20%, 6/15/26 (8)		300		318
3.90%, 2/20/28 (8)		500		556
5.25%, 8/15/43 (8)		85		115
5.00%, 8/15/45 (8)		500		669
4.35%, 11/15/47 (8)		900		1,133
GlaxoSmithKline Capital, Inc., 3.38%, 5/15/23		1,000		1,044
3.88%, 5/15/28		1,000		1,123
5.38%, 4/15/34		150		187
6.38%, 5/15/38		530		784
4.20%, 3/18/43		20		22
Johnson & Johnson, 3.55%, 5/15/21		250		259
2.45%, 3/1/26		500		534
4.38%, 12/5/33		250		321
5.95%, 8/15/37		100		149
4.85%, 5/15/41		400		539
3.70%, 3/1/46		970		1,169
Merck & Co., Inc., 2.35%, 2/10/22		1,000		1,014
2.75%, 2/10/25		805		838
3.60%, 9/15/42		25		28
3.70%, 2/10/45		60		71
Mylan, Inc., 5.40%, 11/29/43		585		583

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Pharmaceuticals – 1.0% – continued
Novartis Capital Corp., 2.40%, 5/17/22		$170		$174
2.40%, 9/21/22		40		41
3.40%, 5/6/24		250		268
4.40%, 5/6/44		250		329
Pfizer, Inc., 1.95%, 6/3/21		500		504
2.20%, 12/15/21		90		90
2.95%, 3/15/24		250		259
3.40%, 5/15/24		150		157
7.20%, 3/15/39		700		1,121
4.13%, 12/15/46		750		925
Pharmacia LLC, 6.60%, 12/1/28		125		166
Wyeth LLC, 5.95%, 4/1/37		725		1,027
Zoetis, Inc., 3.25%, 2/1/23		500		510
4.70%, 2/1/43		40		45
3.95%, 9/12/47		450		445
				29,238
Pipeline – 0.7%
Boardwalk Pipelines L.P., 4.45%, 7/15/27		1,650		1,237
El Paso Natural Gas Co.LLC, 8.63%, 1/15/22		360		385
Enable Midstream Partners L.P., 4.40%, 3/15/27		90		55
4.15%, 9/15/29		115		51
Enbridge Energy Partners L.P., 4.20%, 9/15/21		65		64
7.50%, 4/15/38		50		61
Energy Transfer Operating L.P., 4.05%, 3/15/25		25		22
4.75%, 1/15/26		20		18
4.20%, 4/15/27		560		451
5.50%, 6/1/27		521		453
6.63%, 10/15/36		900		834
7.50%, 7/1/38		310		327
Enterprise Products Operating LLC, 3.35%, 3/15/23		110		108
3.90%, 2/15/24		820		838
3.95%, 2/15/27		500		473

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Pipeline – 0.7% – continued
4.15%, 10/16/28		$1,134		$1,130
3.13%, 7/31/29		875		805
6.88%, 3/1/33		50		58
7.55%, 4/15/38		515		596
5.95%, 2/1/41		40		43
Kinder Morgan Energy Partners L.P., 4.30%, 5/1/24		170		171
7.30%, 8/15/33		175		200
6.55%, 9/15/40		205		224
7.50%, 11/15/40		305		343
6.38%, 3/1/41		35		35
5.63%, 9/1/41		310		292
5.40%, 9/1/44		250		245
Magellan Midstream Partners L.P., 5.00%, 3/1/26		500		494
5.15%, 10/15/43		20		19
MPLX L.P., 4.13%, 3/1/27		235		200
4.80%, 2/15/29		965		850
4.70%, 4/15/48		1,000		774
ONEOK Partners L.P., 3.38%, 10/1/22		30		27
4.90%, 3/15/25		40		35
6.65%, 10/1/36		80		73
6.20%, 9/15/43		20		18
ONEOK, Inc., 4.55%, 7/15/28		35		30
5.20%, 7/15/48		1,000		784
Phillips 66 Partners L.P., 3.61%, 2/15/25		76		72
3.55%, 10/1/26		470		424
Plains All American Pipeline L.P./PAA Finance Corp., 4.50%, 12/15/26		1,330		1,032
6.65%, 1/15/37		80		65
5.15%, 6/1/42		130		86
Sabine Pass Liquefaction LLC, 5.63%, 3/1/25		340		312
5.00%, 3/15/27		1,055		896
Southern Union Co., 8.25%, 11/15/29		25		21
Spectra Energy Partners L.P., 3.38%, 10/15/26		360		332
5.95%, 9/25/43		300		330

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Pipeline – 0.7% – continued
Sunoco Logistics Partners Operations L.P., 5.95%, 12/1/25		$175		$160
3.90%, 7/15/26		125		105
4.95%, 1/15/43		1,000		785
5.30%, 4/1/44		15		12
5.35%, 5/15/45		80		63
Tennessee Gas Pipeline Co. LLC, 7.00%, 3/15/27		505		565
7.00%, 10/15/28		545		639
8.38%, 6/15/32		215		259
7.63%, 4/1/37		5		6
Williams (The) Cos., Inc., 3.60%, 3/15/22		800		776
6.30%, 4/15/40		995		991
5.80%, 11/15/43		200		196
				20,950
Power Generation – 0.1%
Consumers Energy Co., 2.85%, 5/15/22		545		552
Exelon Generation Co. LLC, 4.25%, 6/15/22		250		250
6.25%, 10/1/39		1,000		940
5.75%, 10/1/41		430		389
System Energy Resources, Inc., 4.10%, 4/1/23		160		170
				2,301
Property & Casualty Insurance – 0.4%
Alleghany Corp., 4.95%, 6/27/22		55		58
Allstate (The) Corp., 5.55%, 5/9/35		50		62
5.20%, 1/15/42		225		259
(Variable, ICE LIBOR USD 3M + 2.12%), 6.50%, 5/15/57 (3)		225		243
American International Group, Inc., 3.75%, 7/10/25		895		896
3.90%, 4/1/26		490		505
4.20%, 4/1/28		460		474
4.50%, 7/16/44		30		30
4.80%, 7/10/45		15		16
4.38%, 1/15/55		105		102

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Property & Casualty Insurance – 0.4% – continued
Assurant, Inc., 4.90%, 3/27/28		$215		$243
Berkshire Hathaway Finance Corp., 5.75%, 1/15/40		255		348
4.40%, 5/15/42		100		121
4.30%, 5/15/43		440		529
Berkshire Hathaway, Inc., 2.75%, 3/15/23		30		31
3.13%, 3/15/26		1,445		1,545
Chubb (The) Corp., 6.00%, 5/11/37		50		69
6.50%, 5/15/38		85		126
Chubb INA Holdings, Inc., 3.15%, 3/15/25		295		303
3.35%, 5/3/26		1,000		1,059
6.70%, 5/15/36		50		63
4.15%, 3/13/43		100		109
Hanover Insurance Group (The), Inc., 4.50%, 4/15/26		200		209
Hartford Financial Services Group (The), Inc., 5.95%, 10/15/36		285		354
Loews Corp., 2.63%, 5/15/23		250		250
4.13%, 5/15/43		75		73
Marsh & McLennan Cos., Inc., 3.50%, 6/3/24		75		77
3.50%, 3/10/25		385		399
3.75%, 3/14/26		75		77
4.38%, 3/15/29		1,000		1,101
Progressive (The) Corp., 3.75%, 8/23/21		330		337
2.45%, 1/15/27		250		250
4.20%, 3/15/48		500		562
Transatlantic Holdings, Inc., 8.00%, 11/30/39		70		104
Travelers (The) Cos., Inc., 6.25%, 6/15/37		375		529
5.35%, 11/1/40		10		13
4.60%, 8/1/43		75		90
4.00%, 5/30/47		1,015		1,142
				12,758

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Publishing & Broadcasting – 0.1%
Discovery Communications LLC, 3.30%, 5/15/22		$340		$333
2.95%, 3/20/23		110		111
3.95%, 6/15/25		230		225
3.95%, 3/20/28		485		475
4.13%, 5/15/29		970		939
5.20%, 9/20/47		200		202
NBCUniversal Media LLC, 2.88%, 1/15/23		125		129
5.95%, 4/1/41		385		528
4.45%, 1/15/43		650		820
				3,762
Railroad – 0.4%
Burlington Northern Santa Fe LLC, 3.75%, 4/1/24		355		375
3.40%, 9/1/24		80		83
3.00%, 4/1/25		325		337
3.65%, 9/1/25		200		212
6.20%, 8/15/36		455		591
5.75%, 5/1/40		225		287
4.38%, 9/1/42		975		1,096
5.15%, 9/1/43		280		355
4.70%, 9/1/45		870		1,038
CSX Corp., 4.25%, 6/1/21		100		102
3.70%, 11/1/23		50		53
3.40%, 8/1/24		500		525
2.60%, 11/1/26		270		275
6.00%, 10/1/36		100		121
6.15%, 5/1/37		190		234
6.22%, 4/30/40		365		477
5.50%, 4/15/41		50		59
Norfolk Southern Corp., 2.90%, 2/15/23		725		735
3.95%, 10/1/42		20		20
4.45%, 6/15/45		275		305
3.94%, 11/1/47		524		546
5.10%, 8/1/18 (9)		100		113
Union Pacific Corp., 4.16%, 7/15/22		437		449
2.95%, 1/15/23		35		36
3.50%, 6/8/23		80		82
3.65%, 2/15/24		524		546

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Railroad – 0.4% – continued
2.75%, 3/1/26		$300		$302
3.80%, 10/1/51		1,500		1,643
				10,997
Real Estate – 0.8%
Alexandria Real Estate Equities, Inc., 3.95%, 1/15/28		2,000		2,058
American Campus Communities Operating Partnership L.P., 3.75%, 4/15/23		250		252
4.13%, 7/1/24		100		104
American Tower Corp., 3.50%, 1/31/23		210		211
4.00%, 6/1/25		115		118
3.38%, 10/15/26		125		124
3.13%, 1/15/27		185		181
3.80%, 8/15/29		1,500		1,518
AvalonBay Communities, Inc., 2.95%, 9/15/22		50		48
4.35%, 4/15/48		500		528
Boston Properties L.P., 3.85%, 2/1/23		60		60
3.13%, 9/1/23		135		135
3.65%, 2/1/26		90		91
Brandywine Operating Partnership L.P., 4.55%, 10/1/29		235		267
Camden Property Trust, 2.95%, 12/15/22		150		150
Corporate Office Properties L.P., 3.60%, 5/15/23		90		88
5.25%, 2/15/24		100		105
Crown Castle International Corp., 3.15%, 7/15/23		200		201
4.30%, 2/15/29		1,000		1,036
5.20%, 2/15/49		500		554
CubeSmart L.P., 3.13%, 9/1/26		250		248
Digital Realty Trust L.P., 3.63%, 10/1/22		250		255
EPR Properties, 4.75%, 12/15/26		1,000		913
ERP Operating L.P., 4.63%, 12/15/21		111		114
3.50%, 3/1/28		1,000		929

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Real Estate – 0.8% – continued
4.50%, 6/1/45		$55		$56
Essex Portfolio L.P., 3.25%, 5/1/23		50		49
3.88%, 5/1/24		200		201
4.00%, 3/1/29		300		307
Federal Realty Investment Trust, 3.00%, 8/1/22		25		25
Healthcare Realty Trust, Inc., 2.40%, 3/15/30		255		226
Healthpeak Properties, Inc., 3.15%, 8/1/22		100		100
4.25%, 11/15/23		43		41
3.88%, 8/15/24		230		234
3.40%, 2/1/25		200		198
3.25%, 7/15/26		630		611
Highwoods Realty L.P., 3.63%, 1/15/23		100		100
Host Hotels & Resorts L.P., 4.00%, 6/15/25		215		200
Kilroy Realty L.P., 4.38%, 10/1/25		200		223
Kimco Realty Corp., 3.20%, 5/1/21		240		236
4.25%, 4/1/45		759		687
Mid-America Apartments L.P., 3.75%, 6/15/24		100		99
National Retail Properties, Inc., 3.30%, 4/15/23		100		101
Office Properties Income Trust, 4.50%, 2/1/25		150		147
Piedmont Operating Partnership L.P., 4.45%, 3/15/24		100		103
Realty Income Corp., 3.25%, 10/15/22		265		266
4.65%, 8/1/23		185		193
3.00%, 1/15/27		240		227
Regency Centers Corp., 3.75%, 11/15/22		100		99
Service Properties Trust, 4.50%, 3/15/25		365		267
Simon Property Group L.P., 2.75%, 2/1/23		30		29
3.38%, 10/1/24		90		88

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Real Estate – 0.8% – continued
3.30%, 1/15/26		$70		$70
3.38%, 6/15/27		585		568
3.38%, 12/1/27		1,865		1,788
6.75%, 2/1/40		690		854
UDR, Inc., 3.75%, 7/1/24		500		503
Ventas Realty L.P., 3.75%, 5/1/24		60		57
3.50%, 2/1/25		150		147
5.70%, 9/30/43		100		105
Ventas Realty L.P./Ventas Capital Corp., 3.25%, 8/15/22		320		322
Welltower, Inc., 4.00%, 6/1/25		315		306
4.13%, 3/15/29		600		612
5.13%, 3/15/43		150		152
Weyerhaeuser Co., 4.63%, 9/15/23		185		192
6.88%, 12/15/33		740		866
				21,943
Refining & Marketing – 0.1%
Marathon Petroleum Corp., 3.63%, 9/15/24		305		270
5.13%, 12/15/26		210		208
6.50%, 3/1/41		466		432
Phillips 66, 4.65%, 11/15/34		395		367
5.88%, 5/1/42		140		139
4.88%, 11/15/44		165		168
Valero Energy Corp., 7.50%, 4/15/32		765		871
				2,455
Restaurants – 0.1%
McDonald’s Corp., 3.63%, 5/20/21		200		206
2.63%, 1/15/22		1,000		1,008
6.30%, 10/15/37		505		642
3.63%, 5/1/43		209		202
4.88%, 12/9/45		542		633
4.45%, 3/1/47		350		379

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Restaurants – 0.1% – continued
Starbucks Corp., 3.85%, 10/1/23		$200		$209
4.30%, 6/15/45		200		211
				3,490
Retail – Consumer Discretionary – 0.4%
Amazon.com, Inc., 2.50%, 11/29/22		150		155
2.40%, 2/22/23		500		520
2.80%, 8/22/24		1,000		1,062
5.20%, 12/3/25		500		596
4.80%, 12/5/34		1,050		1,367
4.95%, 12/5/44		255		360
4.25%, 8/22/57		500		681
AutoZone, Inc., 2.50%, 4/15/21		95		95
3.70%, 4/15/22		55		56
3.13%, 7/15/23		135		136
3.75%, 6/1/27		250		251
eBay, Inc., 2.60%, 7/15/22		500		501
2.75%, 1/30/23		110		108
3.60%, 6/5/27		500		515
4.00%, 7/15/42		235		220
Home Depot (The), Inc., 2.63%, 6/1/22		25		25
3.35%, 9/15/25		450		485
2.13%, 9/15/26		275		277
5.40%, 9/15/40		500		650
5.95%, 4/1/41		405		566
4.88%, 2/15/44		405		501
3.13%, 12/15/49		335		331
Lowe’s Cos., Inc., 3.80%, 11/15/21		500		509
3.12%, 4/15/22		500		496
3.13%, 9/15/24		550		559
4.65%, 4/15/42		50		52
4.25%, 9/15/44		75		72
4.55%, 4/5/49		35		38
QVC, Inc., 4.45%, 2/15/25		415		341
5.45%, 8/15/34		450		329
TJX (The) Cos., Inc., 2.75%, 6/15/21		150		151

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Retail – Consumer Discretionary – 0.4% – continued
2.50%, 5/15/23		$205		$203
2.25%, 9/15/26		500		476
				12,684
Retail – Consumer Staples – 0.1%
Archer-Daniels-Midland Co., 2.50%, 8/11/26		305		308
4.02%, 4/16/43		56		62
4.50%, 3/15/49		250		301
Bunge Ltd. Finance Corp., 3.25%, 8/15/26		615		558
Sysco Corp., 2.60%, 6/12/22		95		91
3.30%, 7/15/26		120		114
5.38%, 9/21/35		250		255
				1,689
Semiconductors – 0.4%
Altera Corp., 4.10%, 11/15/23		1,340		1,462
Applied Materials, Inc., 3.90%, 10/1/25		500		527
5.85%, 6/15/41		100		141
Broadcom Corp./Broadcom Cayman Finance Ltd., 2.65%, 1/15/23		80		78
3.63%, 1/15/24		20		20
3.13%, 1/15/25		310		297
3.88%, 1/15/27		375		358
Broadcom, Inc., 4.75%, 4/15/29 (8)		3,000		3,043
Intel Corp., 2.70%, 12/15/22		80		84
3.70%, 7/29/25		815		899
4.00%, 12/15/32		50		59
4.80%, 10/1/41		80		103
3.73%, 12/8/47		578		674
3.10%, 2/15/60		475		500
KLA Corp., 4.65%, 11/1/24		300		316
Maxim Integrated Products, Inc., 3.38%, 3/15/23		50		51
QUALCOMM, Inc., 3.45%, 5/20/25		485		508

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Semiconductors – 0.4% – continued
3.25%, 5/20/27		$720		$757
4.80%, 5/20/45		795		1,039
				10,916
Software & Services – 0.9%
Adobe, Inc., 2.15%, 2/1/27		265		268
Autodesk, Inc., 3.50%, 6/15/27		500		514
CA, Inc., 4.50%, 8/15/23		250		247
Citrix Systems, Inc., 4.50%, 12/1/27		200		206
DXC Technology Co., 4.45%, 9/18/22		200		207
Equifax, Inc., 3.30%, 12/15/22		365		371
IBM Credit LLC, 3.00%, 2/6/23		980		1,014
International Business Machines Corp., 2.88%, 11/9/22		235		243
3.63%, 2/12/24		170		182
3.00%, 5/15/24		2,000		2,107
7.00%, 10/30/25		385		477
3.45%, 2/19/26		435		463
6.50%, 1/15/28		100		129
3.50%, 5/15/29		670		727
4.00%, 6/20/42		320		358
4.25%, 5/15/49		500		588
Microsoft Corp., 2.00%, 8/8/23		765		791
3.63%, 12/15/23		335		366
2.88%, 2/6/24		645		686
3.13%, 11/3/25		130		142
2.40%, 8/8/26		2,670		2,834
3.30%, 2/6/27		1,375		1,526
4.20%, 11/3/35		40		50
3.50%, 11/15/42		150		172
4.88%, 12/15/43		365		498
3.75%, 2/12/45		145		175
4.45%, 11/3/45		360		473
3.70%, 8/8/46		630		756
4.00%, 2/12/55		465		592
3.95%, 8/8/56		215		271

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Software & Services – 0.9% – continued
4.50%, 2/6/57		$200		$275
Moody’s Corp., 4.88%, 2/15/24		250		270
Oracle Corp., 2.50%, 10/15/22		210		214
2.63%, 2/15/23		65		67
2.40%, 9/15/23		30		31
3.40%, 7/8/24		320		340
2.95%, 11/15/24		60		63
2.95%, 5/15/25		885		915
2.65%, 7/15/26		3,100		3,164
3.25%, 11/15/27		1,965		2,024
3.80%, 11/15/37		5		5
5.38%, 7/15/40		590		788
4.13%, 5/15/45		365		395
4.00%, 7/15/46		330		368
4.38%, 5/15/55		25		30
				26,382
Supermarkets & Pharmacies – 0.1%
Kroger (The) Co., 2.95%, 11/1/21		660		667
3.40%, 4/15/22		400		412
2.65%, 10/15/26		1,135		1,152
7.50%, 4/1/31		200		280
6.90%, 4/15/38		100		133
5.40%, 7/15/40		400		468
Walgreens Boots Alliance, Inc., 3.45%, 6/1/26		375		370
4.50%, 11/18/34		50		51
4.65%, 6/1/46		635		607
				4,140
Tobacco – 0.3%
Altria Group, Inc., 4.75%, 5/5/21		125		128
2.85%, 8/9/22		100		100
2.95%, 5/2/23		450		455
3.80%, 2/14/24		222		225
2.63%, 9/16/26		95		91
4.80%, 2/14/29		250		260
4.25%, 8/9/42		575		572
4.50%, 5/2/43		250		247
5.38%, 1/31/44		370		410
5.95%, 2/14/49		220		254

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Tobacco – 0.3% – continued
6.20%, 2/14/59		$280		$308
BAT Capital Corp., 3.56%, 8/15/27		480		452
4.54%, 8/15/47		435		396
Philip Morris International, Inc., 4.13%, 5/17/21		250		255
2.90%, 11/15/21		300		302
2.50%, 11/2/22		250		251
2.63%, 3/6/23		100		97
3.38%, 8/11/25		250		255
3.88%, 8/21/42		150		151
4.13%, 3/4/43		405		399
4.88%, 11/15/43		100		117
4.25%, 11/10/44		350		387
Reynolds American, Inc., 4.45%, 6/12/25		1,465		1,474
7.25%, 6/15/37		250		294
6.15%, 9/15/43		65		70
5.85%, 8/15/45		795		854
				8,804
Transportation & Logistics – 0.1%
Cummins, Inc., 4.88%, 10/1/43		90		106
FedEx Corp., 3.40%, 2/15/28		780		771
3.90%, 2/1/35		100		98
4.10%, 4/15/43		50		44
4.10%, 2/1/45		50		46
4.95%, 10/17/48		1,000		977
JB Hunt Transport Services, Inc., 3.85%, 3/15/24		95		98
United Parcel Service, Inc., 2.35%, 5/16/22		165		167
6.20%, 1/15/38		30		39
3.63%, 10/1/42		105		100
3.40%, 11/15/46		290		283
4.25%, 3/15/49		130		151
				2,880
Travel & Lodging – 0.1%
Marriott International, Inc., 3.13%, 10/15/21		750		673
3.25%, 9/15/22		550		505

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Travel & Lodging – 0.1% – continued
3.13%, 2/15/23		$150		$129
3.13%, 6/15/26		130		119
				1,426
Utilities – 1.8%
AEP Transmission Co. LLC, 4.00%, 12/1/46		200		202
Alabama Power Co., 6.13%, 5/15/38		50		63
5.50%, 3/15/41		150		169
4.10%, 1/15/42		730		735
3.85%, 12/1/42		60		62
Ameren Illinois Co., 2.70%, 9/1/22		500		489
3.25%, 3/1/25		500		498
American Water Capital Corp., 3.40%, 3/1/25		35		35
2.95%, 9/1/27		1,000		991
6.59%, 10/15/37		125		178
4.30%, 12/1/42		75		82
4.30%, 9/1/45		500		514
Appalachian Power Co., 4.60%, 3/30/21		250		250
7.00%, 4/1/38		75		102
Arizona Public Service Co., 4.50%, 4/1/42		230		279
4.70%, 1/15/44		100		113
4.20%, 8/15/48		250		255
Atmos Energy Corp., 4.15%, 1/15/43		250		264
4.13%, 10/15/44		75		81
Baltimore Gas & Electric Co., 3.50%, 11/15/21		275		274
2.40%, 8/15/26		130		125
3.75%, 8/15/47		475		507
Berkshire Hathaway Energy Co., 5.15%, 11/15/43		500		596
CenterPoint Energy Houston Electric LLC, 2.25%, 8/1/22		105		99
2.40%, 9/1/26		50		50
3.00%, 2/1/27		150		150
3.55%, 8/1/42		40		41
4.25%, 2/1/49		500		575

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
CenterPoint Energy Resources Corp., 6.63%, 11/1/37		$50		$70
5.85%, 1/15/41		50		60
CMS Energy Corp., 3.00%, 5/15/26		40		39
3.45%, 8/15/27		500		506
4.88%, 3/1/44		500		540
Commonwealth Edison Co., 6.45%, 1/15/38		200		267
3.80%, 10/1/42		90		95
4.60%, 8/15/43		100		119
Connecticut Light & Power (The) Co., 2.50%, 1/15/23		420		434
4.00%, 4/1/48		250		279
Consolidated Edison Co. of New York, Inc., 3.30%, 12/1/24		185		182
5.30%, 3/1/35		150		177
5.85%, 3/15/36		100		112
6.20%, 6/15/36		200		241
6.75%, 4/1/38		100		127
5.50%, 12/1/39		85		105
5.70%, 6/15/40		450		555
3.95%, 3/1/43		120		112
4.45%, 3/15/44		100		111
3.85%, 6/15/46		100		99
Consolidated Edison, Inc., 2.00%, 5/15/21		85		84
Dominion Energy South Carolina, Inc., 6.05%, 1/15/38		265		314
5.10%, 6/1/65		50		62
Dominion Energy, Inc., 4.25%, 6/1/28		1,000		1,045
5.25%, 8/1/33		250		266
5.95%, 6/15/35		750		859
7.00%, 6/15/38		20		25
4.90%, 8/1/41		35		37
4.05%, 9/15/42		100		96
DTE Electric Co., 2.65%, 6/15/22		160		159
6.63%, 6/1/36		200		268
5.70%, 10/1/37		50		62
3.95%, 6/15/42		100		103
4.05%, 5/15/48		500		562

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
DTE Energy Co., 6.38%, 4/15/33		$50		$64
Duke Energy Carolinas LLC, 6.45%, 10/15/32		106		142
6.10%, 6/1/37		150		200
6.00%, 1/15/38		35		48
6.05%, 4/15/38		175		246
3.75%, 6/1/45		350		383
Duke Energy Corp., 3.75%, 4/15/24		100		103
3.75%, 9/1/46		120		115
Duke Energy Florida LLC, 6.35%, 9/15/37		340		469
3.40%, 10/1/46		290		297
Duke Energy Indiana LLC, 6.12%, 10/15/35		500		679
6.35%, 8/15/38		25		34
6.45%, 4/1/39		225		318
4.90%, 7/15/43		1,000		1,213
Duke Energy Progress LLC, 4.10%, 3/15/43		200		221
Entergy Arkansas LLC, 3.05%, 6/1/23		250		239
Entergy Louisiana LLC, 5.40%, 11/1/24		150		170
3.05%, 6/1/31		950		949
Entergy Texas, Inc., 4.50%, 3/30/39		250		293
Evergy Kansas Central, Inc., 4.13%, 3/1/42		275		308
4.63%, 9/1/43		150		176
Evergy Metro, Inc., 5.30%, 10/1/41		50		60
Evergy, Inc., 5.29%, 6/15/22		220		227
Eversource Energy, 2.80%, 5/1/23		105		104
3.15%, 1/15/25		100		99
3.30%, 1/15/28		165		167
Exelon Corp., 5.63%, 6/15/35		75		86
5.10%, 6/15/45		100		108

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
FirstEnergy Corp., 7.38%, 11/15/31		$500		$651
Florida Power & Light Co., 5.65%, 2/1/37		335		430
5.95%, 2/1/38		150		196
5.96%, 4/1/39		250		347
5.69%, 3/1/40		30		42
4.13%, 2/1/42		250		271
4.05%, 6/1/42		100		113
3.99%, 3/1/49		1,000		1,126
Georgia Power Co., 2.40%, 4/1/21		75		75
2.85%, 5/15/22		100		99
2.65%, 9/15/29		910		878
4.30%, 3/15/42		60		65
4.30%, 3/15/43		100		104
Indiana Michigan Power Co., 6.05%, 3/15/37		200		233
Interstate Power & Light Co., 4.70%, 10/15/43		50		54
ITC Holdings Corp., 3.35%, 11/15/27		200		205
MidAmerican Energy Co., 3.50%, 10/15/24		100		105
4.80%, 9/15/43		100		109
4.40%, 10/15/44		150		171
National Fuel Gas Co., 4.90%, 12/1/21		150		144
3.75%, 3/1/23		250		234
National Grid USA, 5.80%, 4/1/35		425		480
National Rural Utilities Cooperative Finance Corp., 3.05%, 2/15/22		35		35
2.85%, 1/27/25		1,000		1,007
8.00%, 3/1/32		50		76
4.30%, 3/15/49		125		139
Nevada Power Co., 6.65%, 4/1/36		100		132
5.45%, 5/15/41		35		42
NextEra Energy Capital Holdings, Inc.,
(Variable, ICE LIBOR USD 3M + 2.13%), 2.87%, 6/15/67 (2)		25		17

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
NiSource, Inc., 5.95%, 6/15/41		$100		$115
5.25%, 2/15/43		100		108
4.80%, 2/15/44		580		585
Northern States Power Co., 5.35%, 11/1/39		1,065		1,392
4.13%, 5/15/44		200		222
NSTAR Electric Co., 3.50%, 9/15/21		85		85
2.38%, 10/15/22		100		102
Oglethorpe Power Corp., 5.38%, 11/1/40		150		174
Oklahoma Gas & Electric Co., 4.55%, 3/15/44		65		66
4.15%, 4/1/47		200		195
Oncor Electric Delivery Co. LLC, 4.10%, 6/1/22		250		255
7.25%, 1/15/33		200		292
7.50%, 9/1/38		145		221
PacifiCorp, 2.95%, 2/1/22		100		101
5.25%, 6/15/35		50		60
6.10%, 8/1/36		200		250
5.75%, 4/1/37		540		700
6.25%, 10/15/37		275		357
6.00%, 1/15/39		60		81
4.13%, 1/15/49		50		54
Potomac Electric Power Co., 3.60%, 3/15/24		150		154
PPL Capital Funding, Inc., 4.20%, 6/15/22		50		50
3.50%, 12/1/22		1,035		1,036
5.00%, 3/15/44		100		107
PPL Electric Utilities Corp., 3.00%, 9/15/21		500		504
6.25%, 5/15/39		275		376
5.20%, 7/15/41		35		43
4.13%, 6/15/44		100		111
Progress Energy, Inc., 7.75%, 3/1/31		50		68
PSEG Power LLC, 8.63%, 4/15/31		565		721

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
Public Service Co. of Colorado, 2.25%, 9/15/22		$100		$100
2.50%, 3/15/23		150		153
Public Service Co. of Oklahoma, 6.63%, 11/15/37		125		168
Public Service Electric & Gas Co., 3.00%, 5/15/25		500		514
5.38%, 11/1/39		250		320
3.95%, 5/1/42		50		55
3.65%, 9/1/42		30		32
Puget Energy, Inc., 3.65%, 5/15/25		500		489
Puget Sound Energy, Inc., 5.48%, 6/1/35		25		30
6.27%, 3/15/37		75		91
5.64%, 4/15/41		340		389
San Diego Gas & Electric Co., 3.00%, 8/15/21		65		66
3.60%, 9/1/23		200		211
6.13%, 9/15/37		50		62
4.50%, 8/15/40		150		160
4.30%, 4/1/42		150		159
Sempra Energy, 2.88%, 10/1/22		60		59
2.90%, 2/1/23		500		497
3.55%, 6/15/24		250		250
3.25%, 6/15/27		150		152
6.00%, 10/15/39		250		275
Sierra Pacific Power Co., 3.38%, 8/15/23		160		164
Southern California Edison Co., 3.88%, 6/1/21		150		149
2.40%, 2/1/22		180		175
6.65%, 4/1/29		300		354
6.00%, 1/15/34		100		120
5.35%, 7/15/35		586		698
5.55%, 1/15/37		275		293
6.05%, 3/15/39		50		61
5.50%, 3/15/40		150		186
3.90%, 3/15/43		150		154
4.13%, 3/1/48		90		96
Southern California Gas Co., 5.75%, 11/15/35		150		189

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Utilities – 1.8% – continued
3.75%, 9/15/42		$250		$250
4.30%, 1/15/49		125		137
Southern Co. Gas Capital Corp., 3.50%, 9/15/21		950		953
5.88%, 3/15/41		600		680
4.40%, 5/30/47		250		247
Southern Power Co., 5.25%, 7/15/43		60		59
Southwest Gas Corp., 3.80%, 9/29/46		250		273
Southwestern Electric Power Co., 3.55%, 2/15/22		150		151
2.75%, 10/1/26		130		122
4.10%, 9/15/28		250		264
6.20%, 3/15/40		200		264
Southwestern Public Service Co., 6.00%, 10/1/36		100		122
Tampa Electric Co., 2.60%, 9/15/22		220		217
4.10%, 6/15/42		50		53
Union Electric Co., 3.90%, 9/15/42		50		54
4.00%, 4/1/48		250		278
Virginia Electric & Power Co., 2.95%, 1/15/22		95		96
6.00%, 1/15/36		37		47
6.00%, 5/15/37		15		19
8.88%, 11/15/38		300		473
4.65%, 8/15/43		150		174
4.45%, 2/15/44		75		85
3.80%, 9/15/47		125		127
Wisconsin Electric Power Co., 5.70%, 12/1/36		150		197
Wisconsin Power & Light Co., 2.25%, 11/15/22		300		303
4.10%, 10/15/44		100		106
Wisconsin Public Service Corp., 4.75%, 11/1/44		100		118
Xcel Energy, Inc., 6.50%, 7/1/36		100		131
				52,505
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Waste & Environment Services & Equipment – 0.1%
Republic Services, Inc.,
5.25%, 11/15/21		$500		$526
3.55%, 6/1/22		100		102
3.20%, 3/15/25		290		299
3.38%, 11/15/27		556		564
Waste Management, Inc.,
2.90%, 9/15/22		110		110
2.95%, 6/15/24		106		108
3.13%, 3/1/25		1,000		1,035
3.90%, 3/1/35		125		138
4.10%, 3/1/45		500		554
				3,436
Wireless Telecommunications Services – 0.8%
AT&T, Inc., 3.90%, 3/11/24		30		31
3.40%, 5/15/25		835		869
3.60%, 7/15/25		265		281
7.13%, 3/15/26		435		484
3.80%, 2/15/27		1,045		1,090
4.10%, 2/15/28		1,476		1,549
4.30%, 2/15/30		3,235		3,474
6.35%, 3/15/40		455		576
5.35%, 9/1/40		153		176
6.38%, 3/1/41		385		484
6.25%, 3/29/41		175		216
5.55%, 8/15/41		90		102
5.38%, 10/15/41		500		567
5.15%, 3/15/42		55		63
5.35%, 12/15/43		725		835
4.35%, 6/15/45		165		174
4.75%, 5/15/46		120		133
5.15%, 11/15/46		1,292		1,517
5.45%, 3/1/47		400		480
5.30%, 8/15/58		200		235
Verizon Communications, Inc.,
4.15%, 3/15/24		385		418
2.63%, 8/15/26		1,635		1,688
4.33%, 9/21/28		2,190		2,491
4.02%, 12/3/29		810		910
5.25%, 3/16/37		80		102

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 19.8% – continued
Wireless Telecommunications Services – 0.8% – continued
5.50%, 3/16/47		$1,155		$1,581
4.52%, 9/15/48		2,000		2,560
				23,086
Total Corporate Bonds
(Cost $566,032)				583,008
FOREIGN ISSUER BONDS – 6.7%
Advertising & Marketing – 0.0%
WPP Finance 2010, 3.75%, 9/19/24		150		151
Auto Parts Manufacturing – 0.0%
Aptiv PLC, 4.25%, 1/15/26		1,000		1,018
Banks – 0.8%
Australia & New Zealand Banking Group Ltd., 2.30%, 6/1/21		250		250
2.55%, 11/23/21		250		251
BPCE S.A., 4.00%, 4/15/24		250		259
Cooperatieve Rabobank U.A., 3.88%, 2/8/22		1,750		1,808
3.95%, 11/9/22		250		252
2.75%, 1/10/23		1,000		1,003
3.38%, 5/21/25		500		527
5.75%, 12/1/43		250		309
Credit Suisse A.G., 3.00%, 10/29/21		1,250		1,265
3.63%, 9/9/24		750		792
Credit Suisse Group Funding Guernsey
Ltd., 4.55%, 4/17/26		650		681
4.88%, 5/15/45		500		608
ING Groep N.V., 3.15%, 3/29/22		500		502
Lloyds Banking Group PLC, 3.00%, 1/11/22		675		669
(Variable, ICE LIBOR USD 3M + 0.81%), 2.91%, 11/7/23 (3)		105		104
4.58%, 12/10/25		2,095		2,119
4.34%, 1/9/48		500		501
National Australia Bank Ltd., 3.00%, 1/20/23		1,000		1,020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Banks – 0.8% – continued
3.38%, 1/14/26		$1,000		$1,054
Santander UK Group Holdings PLC, 2.88%, 8/5/21		408		403
Santander UK PLC, 4.00%, 3/13/24		250		254
Skandinaviska Enskilda Banken AB, 1.88%, 9/13/21		980		971
Sumitomo Mitsui Banking Corp., 3.00%, 1/18/23		210		212
3.65%, 7/23/25		500		512
Svenska Handelsbanken AB, 2.45%, 3/30/21		250		251
1.88%, 9/7/21		275		269
3.90%, 11/20/23		250		260
Toronto-Dominion Bank (The), 2.13%, 4/7/21		1,560		1,560
3.25%, 3/11/24		500		527
Westpac Banking Corp., 2.10%, 5/13/21		365		365
2.00%, 8/19/21		250		249
2.85%, 5/13/26		1,000		1,033
2.70%, 8/19/26		1,000		1,009
3.35%, 3/8/27		500		506
				22,355
Cable & Satellite – 0.0%
Grupo Televisa S.A.B., 6.63%, 1/15/40		570		667
Chemicals – 0.1%
LYB International Finance B.V., 4.00%, 7/15/23		185		189
5.25%, 7/15/43		565		576
LYB International Finance II B.V., 3.50%, 3/2/27		250		243
LyondellBasell Industries N.V., 4.63%, 2/26/55		35		32
Nutrien Ltd., 3.15%, 10/1/22		200		200
3.00%, 4/1/25		180		172
7.13%, 5/23/36		100		134
5.88%, 12/1/36		50		57
5.63%, 12/1/40		250		294
6.13%, 1/15/41		100		123
				2,020

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Commercial Finance – 0.0%
AerCap Ireland Capital DAC/AerCap
Global Aviation Trust, 4.50%, 5/15/21		$1,000		$917
3.95%, 2/1/22		250		226
3.50%, 1/15/25		389		316
				1,459
Design, Manufacturing & Distribution – 0.0%
Flex Ltd., 5.00%, 2/15/23		572		573
Diversified Banks – 0.9%
Banco Santander S.A., 3.31%, 6/27/29		1,600		1,571
Bank of Montreal, 2.90%, 3/26/22		500		506
2.55%, 11/6/22		300		304
Bank of Nova Scotia (The), 1.88%, 4/26/21		387		387
2.70%, 8/3/26		1,000		1,008
Barclays PLC, 3.68%, 1/10/23		250		251
(Variable, ICE LIBOR USD 3M + 1.36%), 4.34%, 5/16/24 (3)		800		772
(Variable, ICE LIBOR USD 3M + 1.61%), 3.93%, 5/7/25 (3)		705		677
4.38%, 1/12/26		355		357
5.20%, 5/12/26		345		354
5.25%, 8/17/45		730		808
BNP Paribas S.A., 3.25%, 3/3/23		250		258
HSBC Holdings PLC, 3.40%, 3/8/21		800		804
5.10%, 4/5/21		1,085		1,109
2.95%, 5/25/21		1,600		1,608
4.88%, 1/14/22		500		508
6.50%, 9/15/37		300		361
6.80%, 6/1/38		150		183
5.25%, 3/14/44		1,000		1,099
Mitsubishi UFJ Financial Group, Inc., 3.54%, 7/26/21		1,000		1,009
2.19%, 9/13/21		453		447
3.29%, 7/25/27		750		777
3.74%, 3/7/29		1,500		1,605

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Diversified Banks – 0.9% – continued
Mizuho Financial Group, Inc., 2.27%, 9/13/21		$470		$465
2.60%, 9/11/22		200		199
(Variable, ICE LIBOR USD 3M + 1.07%), 2.59%, 5/25/31 (3)		1,000		948
Royal Bank of Canada, 2.30%, 3/22/21		250		250
3.70%, 10/5/23		500		523
4.65%, 1/27/26		600		627
Royal Bank of Scotland Group PLC, 6.13%, 12/15/22		395		408
(Variable, ICE LIBOR USD 3M + 1.55%), 4.52%, 6/25/24 (3)		500		503
(Variable, ICE LIBOR USD 3M + 1.76%), 4.27%, 3/22/25 (3)		250		260
(Variable, ICE LIBOR USD 3M + 1.75%), 4.89%, 5/18/29 (3)		2,000		2,117
Sumitomo Mitsui Financial Group, Inc., 2.06%, 7/14/21		495		491
2.63%, 7/14/26		1,000		975
3.54%, 1/17/28		1,250		1,237
				25,766
Electrical Equipment Manufacturing – 0.0%
Johnson Controls International PLC, 4.63%, 7/2/44		215		210
5.13%, 9/14/45		35		40
Tyco Electronics Group S.A., 3.50%, 2/3/22		125		123
7.13%, 10/1/37		50		75
				448
Exploration & Production – 0.1%
Burlington Resources LLC, 7.20%, 8/15/31		320		385
7.40%, 12/1/31		120		156
Canadian Natural Resources Ltd., 3.85%, 6/1/27		1,695		1,340
7.20%, 1/15/32		15		14
6.45%, 6/30/33		135		114
6.75%, 2/1/39		200		155
CNOOC Finance 2013 Ltd., 3.00%, 5/9/23		250		255
Nexen, Inc., 7.88%, 3/15/32		75		113

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Exploration & Production – 0.1% – continued
5.88%, 3/10/35		$210		$283
6.40%, 5/15/37		390		532
				3,347
Financial Services – 0.1%
GE Capital International Funding Co.
Unlimited Co., 3.37%, 11/15/25		830		826
4.42%, 11/15/35		1,000		1,067
Invesco Finance PLC, 4.00%, 1/30/24		100		102
3.75%, 1/15/26		1,000		1,075
				3,070
Food & Beverage – 0.0%
Coca-Cola European Partners PLC, 3.25%, 8/19/21		500		502
Coca-Cola Femsa S.A.B. de C.V., 5.25%, 11/26/43		150		173
Diageo Capital PLC, 3.88%, 4/29/43		175		179
				854
Government Agencies – 0.1%
FMS Wertmanagement, 2.75%, 3/6/23		1,500		1,592
Government Development Banks – 0.8%
Export Development Canada, 1.50%, 5/26/21		1,000		1,011
2.75%, 3/15/23		1,000		1,063
Export-Import Bank of Korea, 2.63%, 5/26/26		1,000		1,056
Japan Bank for International Cooperation, 1.88%, 4/20/21		800		808
2.38%, 11/16/22		1,000		1,040
2.75%, 11/16/27		2,000		2,224
3.50%, 10/31/28		750		883
Korea Development Bank (The), 3.00%, 9/14/22		215		224
3.38%, 3/12/23		300		316
Kreditanstalt fuer Wiederaufbau, 2.63%, 4/12/21		1,500		1,532
2.63%, 1/25/22		900		933
2.13%, 6/15/22		1,000		1,034
2.00%, 10/4/22		250		259

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Government Development Banks – 0.8% – continued
2.13%, 1/17/23		$1,000		$1,043
1.38%, 8/5/24		3,000		3,087
2.00%, 5/2/25		1,500		1,596
2.88%, 4/3/28		1,215		1,401
0.00%, 4/18/36 (10)		500		397
Landwirtschaftliche Rentenbank, 2.38%, 6/10/25		1,000		1,081
Oesterreichische Kontrollbank A.G., 2.38%, 10/1/21		1,000		1,026
Svensk Exportkredit AB, 1.75%, 3/10/21		500		504
				22,518
Government Regional – 0.2%
Province of British Columbia Canada, 2.65%, 9/22/21		150		155
2.00%, 10/23/22		300		310
7.25%, 9/1/36		175		293
Province of Manitoba Canada, 2.10%, 9/6/22		100		103
Province of Nova Scotia Canada, 8.25%, 7/30/22		350		409
Province of Ontario Canada, 2.45%, 6/29/22		500		519
3.40%, 10/17/23		2,000		2,178
2.50%, 4/27/26		500		539
Province of Quebec Canada, 2.75%, 8/25/21		100		103
2.63%, 2/13/23		875		922
7.50%, 7/15/23		300		363
7.13%, 2/9/24		100		122
2.50%, 4/9/24		91		97
2.88%, 10/16/24		250		271
7.50%, 9/15/29		375		567
Province of Saskatchewan Canada, 8.50%, 7/15/22		200		235
				7,186
Hardware – 0.0%
Seagate HDD Cayman, 4.88%, 6/1/27		370		364
5.75%, 12/1/34		142		133
				497

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Integrated Oils – 0.5%
BP Capital Markets PLC, 3.99%, 9/26/23		$30		$31
3.28%, 9/19/27		595		598
CNOOC Nexen Finance 2014 ULC, 4.25%, 4/30/24		300		319
Ecopetrol S.A., 4.13%, 1/16/25		1,000		932
Equinor ASA, 2.75%, 11/10/21		145		146
2.45%, 1/17/23		280		284
7.75%, 6/15/23		350		406
3.25%, 11/10/24		125		122
3.63%, 9/10/28		360		386
4.25%, 11/23/41		350		394
Husky Energy, Inc., 4.40%, 4/15/29		85		60
Petroleos Mexicanos, 6.50%, 3/13/27		105		77
6.84%, 1/23/30 (8)		2,275		1,646
6.63%, 6/15/35		200		137
6.50%, 6/2/41		190		121
6.75%, 9/21/47		870		567
6.35%, 2/12/48		1,500		938
Shell International Finance B.V., 2.25%, 1/6/23		345		344
2.88%, 5/10/26		100		103
2.50%, 9/12/26		1,335		1,365
2.38%, 11/7/29		25		25
4.13%, 5/11/35		1,010		1,172
5.50%, 3/25/40		225		292
3.63%, 8/21/42		200		205
4.55%, 8/12/43		60		70
4.38%, 5/11/45		390		451
3.75%, 9/12/46		230		246
3.13%, 11/7/49		290		285
Suncor Energy, Inc., 7.15%, 2/1/32		200		209
5.95%, 12/1/34		50		48
5.95%, 5/15/35		430		396
6.80%, 5/15/38		130		135
Total Capital International S.A., 2.75%, 6/19/21		30		30
2.88%, 2/17/22		200		201

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Integrated Oils – 0.5% – continued
3.70%, 1/15/24		$415		$434
3.75%, 4/10/24		330		346
				13,521
Internet Media – 0.0%
Baidu, Inc., 3.50%, 11/28/22		200		203
Life Insurance – 0.0%
AXA S.A., 8.60%, 12/15/30		75		100
Machinery Manufacturing – 0.0%
Ingersoll-Rand Luxembourg Finance S.A., 3.50%, 3/21/26		250		250
4.65%, 11/1/44		35		40
				290
Medical Equipment & Devices Manufacturing – 0.0%
Koninklijke Philips N.V., 6.88%, 3/11/38		225		317
5.00%, 3/15/42		100		119
				436
Metals & Mining – 0.1%
BHP Billiton Finance USA Ltd., 4.13%, 2/24/42		600		717
Rio Tinto Alcan, Inc., 6.13%, 12/15/33		100		132
5.75%, 6/1/35		100		125
Rio Tinto Finance USA PLC, 4.75%, 3/22/42		150		179
4.13%, 8/21/42		300		353
				1,506
Pharmaceuticals – 0.2%
Allergan Funding SCS, 3.85%, 6/15/24		1,000		1,047
3.80%, 3/15/25		750		768
AstraZeneca PLC, 3.13%, 6/12/27		100		100
6.45%, 9/15/37		450		638
4.00%, 9/18/42		250		280
Mylan N.V., 3.95%, 6/15/26		285		281
Sanofi, 4.00%, 3/29/21		315		321

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Pharmaceuticals – 0.2% – continued
3.63%, 6/19/28		$250		$277
Shire Acquisitions Investments Ireland DAC, 2.40%, 9/23/21		1,000		992
2.88%, 9/23/23		250		252
Takeda Pharmaceutical Co. Ltd., 4.40%, 11/26/23		300		316
				5,272
Pipeline – 0.1%
Enbridge, Inc., 4.50%, 6/10/44		40		37
TransCanada PipeLines Ltd., 5.85%, 3/15/36		200		213
6.20%, 10/15/37		445		517
4.75%, 5/15/38		1,003		996
6.10%, 6/1/40		375		401
(Variable, ICE LIBOR USD 3M + 2.21%), 3.90%, 5/15/67 (2)		100		61
				2,225
Property & Casualty Insurance – 0.1%
Aon PLC, 3.50%, 6/14/24		500		519
Aspen Insurance Holdings Ltd., 4.65%, 11/15/23		270		263
Fairfax Financial Holdings Ltd., 4.85%, 4/17/28		250		271
Willis Towers Watson PLC, 5.75%, 3/15/21		450		461
XLIT Ltd., 4.45%, 3/31/25		210		217
5.25%, 12/15/43		250		283
				2,014
Railroad – 0.1%
Canadian National Railway Co., 2.85%, 12/15/21		85		83
2.75%, 3/1/26		250		266
6.90%, 7/15/28		25		32
6.25%, 8/1/34		15		20
6.20%, 6/1/36		40		54
6.38%, 11/15/37		20		28
3.50%, 11/15/42		150		159

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Railroad – 0.1% – continued
Canadian Pacific Railway Co., 5.95%, 5/15/37		$710		$916
				1,558
Retail – Consumer Discretionary – 0.0%
Alibaba Group Holding Ltd., 3.40%, 12/6/27		335		351
Software & Services – 0.0%
Thomson Reuters Corp., 5.50%, 8/15/35		150		169
5.65%, 11/23/43		285		320
				489
Sovereigns – 0.9%
Canada Government International Bond, 2.00%, 11/15/22		500		517
Chile Government International Bond, 3.25%, 9/14/21		400		406
3.13%, 1/21/26		500		521
3.63%, 10/30/42		200		212
Colombia Government International Bond, 4.38%, 7/12/21		1,000		1,010
4.50%, 1/28/26		500		506
7.38%, 9/18/37		350		436
6.13%, 1/18/41		250		287
5.63%, 2/26/44		500		549
5.00%, 6/15/45		1,500		1,538
Hungary Government International Bond, 5.38%, 3/25/24		390		429
Indonesia Government International Bond, 3.50%, 1/11/28		500		492
5.35%, 2/11/49		1,000		1,136
Israel Government International Bond, 4.00%, 6/30/22		250		261
4.50%, 1/30/43		200		218
Korea International Bond, 3.88%, 9/11/23		200		219
2.75%, 1/19/27		200		210
3.50%, 9/20/28		500		548

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Sovereigns – 0.9% – continued
Mexico Government International Bond, 4.00%, 10/2/23		$150		$153
3.75%, 1/11/28		1,000		994
7.50%, 4/8/33		100		139
6.75%, 9/27/34		750		986
6.05%, 1/11/40		820		972
4.75%, 3/8/44		1,000		1,007
5.55%, 1/21/45		500		564
4.60%, 1/23/46		500		497
4.35%, 1/15/47		500		486
Panama Government International Bond, 4.00%, 9/22/24		575		595
3.75%, 3/16/25		500		519
3.88%, 3/17/28		500		535
6.70%, 1/26/36		550		704
4.50%, 5/15/47		250		274
Peruvian Government International Bond, 7.35%, 7/21/25		500		636
6.55%, 3/14/37		500		726
5.63%, 11/18/50		600		894
Philippine Government International Bond, 4.20%, 1/21/24		1,000		1,053
10.63%, 3/16/25		500		657
5.50%, 3/30/26		200		227
7.75%, 1/14/31		500		706
6.38%, 10/23/34		500		663
5.00%, 1/13/37		500		593
3.70%, 2/2/42		500		549
Republic of Italy Government International Bond, 5.38%, 6/15/33		175		205
Republic of Poland Government International Bond, 5.13%, 4/21/21		150		156
3.00%, 3/17/23		1,000		1,037
4.00%, 1/22/24		150		163
Uruguay Government International Bond, 7.63%, 3/21/36		250		345

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Sovereigns – 0.9% – continued
4.13%, 11/20/45		$400		$408
5.10%, 6/18/50		750		849
				27,787
Supermarkets & Pharmacies – 0.0%
Koninklijke Ahold Delhaize N.V., 5.70%, 10/1/40		116		148
Supranationals – 1.3%
African Development Bank, 1.25%, 7/26/21		500		505
3.00%, 9/20/23		750		810
Asian Development Bank, 2.13%, 11/24/21		100		102
2.50%, 11/2/27		500		555
1.88%, 1/24/30		5,000		5,363
Corp. Andina de Fomento, 4.38%, 6/15/22		613		655
European Bank for Reconstruction & Development, 2.75%, 3/7/23		500		530
European Investment Bank, 2.38%, 5/13/21		2,500		2,551
2.13%, 10/15/21		200		205
2.25%, 3/15/22		250		258
2.50%, 3/15/23		2,500		2,640
3.25%, 1/29/24		250		275
2.25%, 6/24/24		2,000		2,135
2.50%, 10/15/24		1,000		1,082
2.13%, 4/13/26		1,500		1,625
4.88%, 2/15/36		200		297
Inter-American Development Bank, 2.63%, 4/19/21		2,000		2,044
1.25%, 9/14/21		550		556
1.75%, 9/14/22		400		412
3.00%, 2/21/24		150		165
2.13%, 1/15/25		500		532
2.00%, 6/2/26		1,000		1,088
3.13%, 9/18/28		1,000		1,169
3.88%, 10/28/41		200		286
International Bank for Reconstruction & Development, 2.25%, 6/24/21		500		510
2.75%, 7/23/21		4,000		4,115
1.38%, 9/20/21		2,000		2,026

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Supranationals – 1.3% – continued
2.00%, 1/26/22		$235		$241
1.63%, 2/10/22		1,000		1,020
2.50%, 11/25/24		600		651
2.13%, 3/3/25		700		748
2.50%, 7/29/25		500		545
4.75%, 2/15/35		25		37
International Finance Corp., 1.13%, 7/20/21		1,000		1,007
Nordic Investment Bank, 2.25%, 5/21/24		1,000		1,063
				37,803
Wireless Telecommunications Services – 0.2%
America Movil S.A.B. de C.V., 3.13%, 7/16/22		295		298
6.13%, 11/15/37		505		648
Orange S.A., 9.00%, 3/1/31		610		926
Rogers Communications, Inc., 3.00%, 3/15/23		80		79
3.63%, 12/15/25		1,000		1,058
4.50%, 3/15/43		45		51
5.45%, 10/1/43		130		163
Vodafone Group PLC, 3.75%, 1/16/24		420		437
4.13%, 5/30/25		895		953
7.88%, 2/15/30		15		20
6.15%, 2/27/37		1,065		1,235
4.38%, 2/19/43		95		98
5.25%, 5/30/48		135		163
				6,129
Wireline Telecommunications Services – 0.1%
British Telecommunications PLC, 9.63%, 12/15/30		100		156
Deutsche Telekom International Finance
B.V., 8.75%, 6/15/30		400		540
Telefonica Emisiones S.A., 4.57%, 4/27/23		240		246
4.10%, 3/8/27		1,010		1,040

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 6.7% – continued
Wireline Telecommunications Services – 0.1% – continued
5.21%, 3/8/47		$150		$168
4.90%, 3/6/48		80		89
				2,239
Total Foreign Issuer Bonds
(Cost $190,916)				195,592
U.S. GOVERNMENT AGENCIES – 28.3% (11)
Fannie Mae – 11.4%
2.25%, 4/12/22		3,000		3,110
2.88%, 9/12/23		1,500		1,617
1.75%, 7/2/24		2,000		2,092
2.63%, 9/6/24		1,000		1,091
2.13%, 4/24/26		1,000		1,076
7.13%, 1/15/30		1,500		2,317
6.63%, 11/15/30		200		304
5.63%, 7/15/37		500		787
Fannie Mae-Aces, Series 2012-M17, Class A2, 2.18%, 11/25/22		142		145
Fannie Mae-Aces, Series 2012-M2, Class A2, 2.72%, 2/25/22		91		93
Fannie Mae-Aces, Series 2012-M4, Class 1A2, 2.98%, 4/25/22		55		56
Fannie Mae-Aces, Series 2012-M5, Class A2, 2.72%, 2/25/22		97		99
Fannie Mae-Aces, Series 2012-M9, Class A2, 2.48%, 4/25/22		122		124
Fannie Mae-Aces, Series 2013-M14, Class A2, 3.33%, 10/25/23		165		174
Fannie Mae-Aces, Series 2013-M6, Class 2A, 2.53%, 3/25/23 (1)(2)		87		89
Fannie Mae-Aces, Series 2013-M9, Class A2, 2.39%, 1/25/23		85		88
Fannie Mae-Aces, Series 2014-M13, Class A2, 3.02%, 8/25/24		100		106

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Fannie Mae-Aces, Series 2014-M3, Class A2, 3.48%, 1/25/24		$263		$284
Fannie Mae-Aces, Series 2015-M1, Class A2, 2.53%, 9/25/24		150		158
Fannie Mae-Aces, Series 2015-M11, Class A2, 2.83%, 4/25/25 (1)(2)		500		529
Fannie Mae-Aces, Series 2015-M3, Class A2, 2.72%, 10/25/24		247		253
Fannie Mae-Aces, Series 2016-M3, Class A2, 2.70%, 2/25/26		100		106
Fannie Mae-Aces, Series 2016-M4, Class A2, 2.58%, 3/25/26		100		106
Fannie Mae-Aces, Series 2016-M5, Class A2, 2.47%, 4/25/26		250		262
Fannie Mae-Aces, Series 2016-M7, Class AV2, 2.16%, 10/25/23		243		248
Fannie Mae-Aces, Series 2016-M9, Class A2, 2.29%, 6/25/26		100		104
Fannie Mae-Aces, Series 2017-M1, Class A2, 2.42%, 10/25/26 (1)(2)		100		104
Fannie Mae-Aces, Series 2017-M11, Class A2, 2.98%, 8/25/29		125		136
Fannie Mae-Aces, Series 2017-M14, Class A2, 2.88%, 11/25/27 (1)(2)		250		271
Fannie Mae-Aces, Series 2017-M2, Class A2, 2.80%, 2/25/27 (1)(2)		100		109
Fannie Mae-Aces, Series 2017-M4, Class A2, 2.58%, 12/25/26 (1)(2)		150		158
Fannie Mae-Aces, Series 2017-M5, Class A2, 3.18%, 4/25/29 (1)(2)		125		139

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Fannie Mae-Aces, Series 2017-M8, Class A2, 3.06%, 5/25/27		$300		$326
Fannie Mae-Aces, Series 2018-M1, Class A2, 2.98%, 12/25/27 (1)(2)		250		273
Fannie Mae-Aces, Series 2018-M10, Class A2, 3.38%, 7/25/28 (1)(2)		200		222
Fannie Mae-Aces, Series 2018-M12, Class A2, 3.64%, 8/25/30 (1)(2)		110		126
Fannie Mae-Aces, Series 2018-M13, Class A2, 3.70%, 9/25/30 (1)(2)		200		230
Fannie Mae-Aces, Series 2018-M2, Class A2, 2.90%, 1/25/28 (1)(2)		125		135
Fannie Mae-Aces, Series 2018-M3, Class A2, 3.09%, 2/25/30 (1)(2)		100		110
Fannie Mae-Aces, Series 2018-M4, Class A2, 3.05%, 3/25/28 (1)(2)		100		109
Fannie Mae-Aces, Series 2018-M8, Class A2, 3.33%, 6/25/28 (1)(2)		100		115
Fannie Mae-Aces, Series 2019-M1, Class A2, 3.55%, 9/25/28 (1)(2)		250		285
Fannie Mae-Aces, Series 2019-M18, Class A2, 2.47%, 8/25/29		200		210
Fannie Mae-Aces, Series 2019-M4, Class A2, 3.61%, 2/25/31		150		171
Fannie Mae-Aces, Series 2019-M7, Class A2, 3.14%, 4/25/29		200		225
Fannie Mae-Aces, Series 2019-M9, Class A2, 2.94%, 4/25/29		200		216
Fannie Mae-Aces, Series 2020-M1, Class A2, 2.44%, 9/25/29		150		165

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #256792, 6.50%, 6/1/22		$8		$8
Pool #256925, 6.00%, 10/1/37		13		15
Pool #256959, 6.00%, 11/1/37		81		93
Pool #257042, 6.50%, 1/1/38		173		200
Pool #257106, 4.50%, 1/1/28		2		2
Pool #257237, 4.50%, 6/1/28		23		25
Pool #707791, 5.00%, 6/1/33		90		99
Pool #725425, 5.50%, 4/1/34		34		38
Pool #730811, 4.50%, 8/1/33		77		85
Pool #735222, 5.00%, 2/1/35		20		22
Pool #735358, 5.50%, 2/1/35		80		91
Pool #735502, 6.00%, 4/1/35		12		14
Pool #737853, 5.00%, 9/1/33		193		214
Pool #745336, 5.00%, 3/1/36		413		459
Pool #745418, 5.50%, 4/1/36		30		34
Pool #745754, 5.00%, 9/1/34		237		262
Pool #745826, 6.00%, 7/1/36		100		115
Pool #747383, 5.50%, 10/1/33		89		97
Pool #755632, 5.00%, 4/1/34		64		71
Pool #772730, 5.00%, 4/1/34		71		78
Pool #790406, 6.00%, 9/1/34		42		48

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #793666, 5.50%, 9/1/34		$54		$60
Pool #796250, 5.50%, 11/1/34		39		44
Pool #800471, 5.50%, 10/1/34		183		204
Pool #817795, 6.00%, 8/1/36		21		23
Pool #826057, 5.00%, 7/1/35		50		56
Pool #826585, 5.00%, 8/1/35		92		102
Pool #828523, 5.00%, 7/1/35		36		40
Pool #831676, 6.50%, 8/1/36		12		14
Pool #832628, 5.50%, 9/1/20		1		1
Pool #833067, 5.50%, 9/1/35		124		141
Pool #833163, 5.00%, 9/1/35		57		63
Pool #840577, 5.00%, 10/1/20		1		1
Pool #844909, 4.50%, 10/1/20 (12)		–		–
Pool #845425, 6.00%, 2/1/36		59		68
Pool #847921, 5.50%, 11/1/20		9		9
Pool #864435, 4.50%, 12/1/20		5		5
Pool #868435, 6.00%, 4/1/36		101		116
Pool #869710, 6.00%, 4/1/36		39		44
Pool #871135, 6.00%, 1/1/37		32		36
Pool #880505, 6.00%, 8/1/21		1		1
Pool #881818, 6.50%, 8/1/36		85		102

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #885769, 6.00%, 6/1/36		$5		$6
Pool #885866, 6.00%, 6/1/36		73		82
Pool #888100, 5.50%, 9/1/36		144		162
Pool #888152, 5.00%, 5/1/21 (12)		–		–
Pool #888205, 6.50%, 2/1/37		30		36
Pool #888447, 4.00%, 5/1/21		1		1
Pool #889224, 5.50%, 1/1/37		155		176
Pool #889390, 6.00%, 3/1/23		8		8
Pool #889401, 6.00%, 3/1/38		69		80
Pool #889415, 6.00%, 5/1/37		300		346
Pool #889579, 6.00%, 5/1/38		143		164
Pool #889630, 6.50%, 3/1/38		19		22
Pool #889970, 5.00%, 12/1/36		113		126
Pool #890234, 6.00%, 10/1/38		67		78
Pool #890329, 4.00%, 4/1/26		638		672
Pool #890339, 5.00%, 9/1/20		1		1
Pool #890796, 3.50%, 12/1/45		2,712		2,907
Pool #893363, 5.00%, 6/1/36		37		41
Pool #893366, 5.00%, 4/1/35		54		60
Pool #898417, 6.00%, 10/1/36		17		20
Pool #899079, 5.00%, 3/1/37		39		43

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #902414, 5.50%, 11/1/36		$78		$88
Pool #906090, 5.50%, 1/1/37		97		109
Pool #910147, 5.00%, 3/1/22		8		9
Pool #912414, 4.50%, 1/1/22		9		10
Pool #915499, 5.00%, 3/1/37		59		64
Pool #918515, 5.00%, 6/1/37		48		53
Pool #923123, 5.00%, 4/1/36		9		10
Pool #923166, 7.50%, 1/1/37		6		6
Pool #928261, 4.50%, 3/1/36		62		68
Pool #928584, 6.50%, 8/1/37		210		246
Pool #928909, 6.00%, 12/1/37		1		1
Pool #928915, 6.00%, 11/1/37		8		9
Pool #930606, 4.00%, 2/1/39		400		432
Pool #931195, 4.50%, 5/1/24		59		62
Pool #932023, 5.00%, 1/1/38		58		64
Pool #932741, 4.50%, 4/1/40		282		309
Pool #934466, 5.50%, 9/1/23		24		25
Pool #940623, 5.50%, 8/1/37		24		27
Pool #943388, 6.00%, 6/1/37		128		147
Pool #943617, 6.00%, 8/1/37		53		61
Pool #945876, 5.50%, 8/1/37		9		10

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #946527, 7.00%, 9/1/37		$15		$16
Pool #947216, 6.00%, 10/1/37		37		43
Pool #949391, 5.50%, 8/1/22		1		1
Pool #953018, 6.50%, 10/1/37		56		64
Pool #953910, 6.00%, 11/1/37		33		38
Pool #955771, 6.50%, 10/1/37		36		40
Pool #959604, 6.50%, 11/1/37		8		9
Pool #959880, 5.50%, 11/1/37		15		17
Pool #962687, 5.00%, 4/1/38		82		91
Pool #963735, 4.50%, 6/1/23		29		31
Pool #965389, 6.00%, 10/1/23		19		19
Pool #966660, 6.00%, 12/1/37		1		2
Pool #968037, 6.00%, 1/1/38		26		29
Pool #969632, 6.50%, 1/1/38		18		19
Pool #970013, 4.50%, 6/1/38		76		82
Pool #972452, 5.50%, 3/1/38		112		125
Pool #975365, 5.00%, 6/1/23		15		16
Pool #976963, 5.50%, 2/1/38		957		1,084
Pool #981704, 5.00%, 6/1/23		43		45
Pool #981854, 5.50%, 7/1/38		42		47
Pool #984075, 4.50%, 6/1/23		13		13

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #986760, 5.50%, 7/1/38		$223		$253
Pool #987115, 5.50%, 9/1/23		7		7
Pool #992472, 6.00%, 10/1/38		9		10
Pool #992491, 4.50%, 10/1/23		17		18
Pool #993055, 5.50%, 12/1/38		17		19
Pool #995018, 5.50%, 6/1/38		49		55
Pool #995203, 5.00%, 7/1/35		340		377
Pool #995266, 5.00%, 12/1/23		109		115
Pool #995879, 6.00%, 4/1/39		66		76
Pool #AA0649, 5.00%, 12/1/38		215		240
Pool #AA2939, 4.50%, 4/1/39		401		441
Pool #AA4482, 4.00%, 4/1/39		331		358
Pool #AA4562, 4.50%, 9/1/39		369		406
Pool #AA8978, 4.50%, 7/1/39		99		109
Pool #AA9357, 4.50%, 8/1/39		327		358
Pool #AB1048, 4.50%, 5/1/40		480		525
Pool #AB2067, 3.50%, 1/1/41		713		764
Pool #AB2092, 4.00%, 1/1/41		364		395
Pool #AB2272, 4.50%, 2/1/41		490		543
Pool #AB2693, 4.50%, 4/1/41		342		376
Pool #AB2768, 4.50%, 4/1/41		392		429

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AB3035, 5.00%, 5/1/41		$552		$612
Pool #AB3246, 5.00%, 7/1/41		123		136
Pool #AB4057, 4.00%, 12/1/41		1,341		1,450
Pool #AB4293, 3.50%, 1/1/42		895		960
Pool #AB5049, 4.00%, 4/1/42		1,385		1,497
Pool #AB6016, 3.50%, 8/1/42		627		672
Pool #AB6293, 3.50%, 9/1/27		855		900
Pool #AB6472, 2.00%, 10/1/27		376		388
Pool #AB7076, 3.00%, 11/1/42		2,079		2,198
Pool #AB7503, 3.00%, 1/1/43		899		951
Pool #AB7733, 3.00%, 1/1/43		1,897		2,005
Pool #AB8787, 2.00%, 3/1/28		822		848
Pool #AB9019, 3.00%, 4/1/43		781		826
Pool #AB9136, 2.50%, 4/1/43		90		94
Pool #AB9363, 3.50%, 5/1/43		2,101		2,254
Pool #AB9990, 3.00%, 7/1/33		178		190
Pool #AC2947, 5.50%, 9/1/39		356		391
Pool #AC2969, 5.00%, 9/1/39		1,368		1,517
Pool #AC3263, 4.50%, 9/1/29		129		140
Pool #AC3312, 4.50%, 10/1/39		715		783
Pool #AC4861, 4.50%, 11/1/24		150		157

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AC5040, 4.00%, 10/1/24		$74		$78
Pool #AC6118, 4.50%, 11/1/39		193		211
Pool #AC6742, 4.50%, 1/1/40		776		850
Pool #AC8518, 5.00%, 12/1/39		291		323
Pool #AC9581, 5.50%, 1/1/40		699		785
Pool #AD0119, 6.00%, 7/1/38		185		213
Pool #AD0585, 4.50%, 12/1/39		375		415
Pool #AD0639, 6.00%, 12/1/38		55		63
Pool #AD0969, 5.50%, 8/1/37		250		283
Pool #AD5241, 4.50%, 7/1/40		205		225
Pool #AD5525, 5.00%, 6/1/40		286		317
Pool #AD5556, 4.00%, 6/1/25		57		60
Pool #AD7859, 5.00%, 6/1/40		183		201
Pool #AE0949, 4.00%, 2/1/41		805		870
Pool #AE0971, 4.00%, 5/1/25		48		51
Pool #AE0981, 3.50%, 3/1/41		647		694
Pool #AE1807, 4.00%, 10/1/40		1,011		1,093
Pool #AE3873, 4.50%, 10/1/40		156		171
Pool #AE5436, 4.50%, 10/1/40		189		207
Pool #AE7758, 3.50%, 11/1/25		110		115
Pool #AH0525, 4.00%, 12/1/40		865		935

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AH1295, 3.50%, 1/1/26		$220		$232
Pool #AH3226, 5.00%, 2/1/41		62		69
Pool #AH4158, 4.00%, 1/1/41		149		161
Pool #AH4450, 3.00%, 1/1/26		121		127
Pool #AH5573, 4.00%, 2/1/41		712		773
Pool #AH5614, 3.50%, 2/1/26		214		226
Pool #AH8854, 4.50%, 4/1/41		223		245
Pool #AI1247, 4.00%, 4/1/26		103		109
Pool #AI3470, 4.50%, 6/1/41		284		311
Pool #AI4361, (Floating, ICE LIBOR USD 1Y + 1.80%, 1.80% Floor, 8.11% Cap), 4.05%, 9/1/41 (2)		8		9
Pool #AI4380, (Floating, ICE LIBOR USD 1Y + 1.80%, 1.80% Floor, 7.88% Cap), 3.93%, 11/1/41 (2)		10		10
Pool #AI5603, 4.50%, 7/1/41		176		192
Pool #AI7743, 4.00%, 8/1/41		168		182
Pool #AI9137, 2.50%, 11/1/27		1,030		1,069
Pool #AI9555, 4.00%, 9/1/41		438		474
Pool #AI9828, (Floating, ICE LIBOR USD 1Y + 1.82%, 1.82% Floor, 7.94% Cap), 3.92%, 11/1/41 (2)		16		16
Pool #AJ2001, (Floating, ICE LIBOR USD 1Y + 1.80%, 1.80% Floor, 8.03% Cap), 3.68%, 10/1/41 (2)		14		14
Pool #AJ4093, 3.50%, 10/1/26		54		57

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AJ4408, 4.50%, 10/1/41		$101		$111
Pool #AJ6086, 3.00%, 12/1/26		172		180
Pool #AJ9152, 3.50%, 12/1/26		696		732
Pool #AJ9218, 4.00%, 2/1/42		615		665
Pool #AJ9326, 3.50%, 1/1/42		1,015		1,092
Pool #AJ9355, 3.00%, 1/1/27		378		396
Pool #AK4813, 3.50%, 3/1/42		435		466
Pool #AK4945, 3.50%, 2/1/42		468		502
Pool #AK7766, 2.50%, 3/1/27		460		478
Pool #AK9444, 4.00%, 3/1/42		142		152
Pool #AL0442, 5.50%, 6/1/40		74		84
Pool #AL0766, 4.00%, 9/1/41		986		1,072
Pool #AL1449, 4.00%, 1/1/42		1,093		1,181
Pool #AL1849, 6.00%, 2/1/39		294		338
Pool #AL1939, 3.50%, 6/1/42		1,090		1,170
Pool #AL2243, 4.00%, 3/1/42		1,040		1,124
Pool #AL2303, 4.50%, 6/1/26		85		90
Pool #AL2326, 4.50%, 4/1/42		1,912		2,095
Pool #AL2397, (Floating, ICE LIBOR USD 1Y + 1.71%, 1.71% Floor, 70% Cap), 4.36%, 8/1/42 (2)		60		61
Pool #AL2438, 3.00%, 9/1/27		891		934
Pool #AL2893, 3.50%, 12/1/42		2,591		2,786

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 54 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AL3396, 2.50%, 3/1/28		$425		$444
Pool #AL3803, 3.00%, 6/1/28		789		827
Pool #AL4408, 4.50%, 11/1/43		1,204		1,319
Pool #AL4462, 2.50%, 6/1/28		780		809
Pool #AL4908, 4.00%, 2/1/44		911		990
Pool #AL5167, 3.50%, 1/1/34		244		263
Pool #AL5254, 3.00%, 11/1/27		545		572
Pool #AL5377, 4.00%, 6/1/44		2,582		2,816
Pool #AL5734, 3.50%, 9/1/29		748		792
Pool #AL5785, 4.00%, 9/1/44		1,445		1,583
Pool #AL6488, 3.50%, 8/1/43		542		581
Pool #AL7807, 3.00%, 11/1/30		2,001		2,108
Pool #AL8469, 3.50%, 4/1/31		352		374
Pool #AL8908, 3.00%, 8/1/46		753		796
Pool #AL8951, 3.00%, 8/1/46		729		771
Pool #AL9582, 3.00%, 12/1/31		923		972
Pool #AO0752, 3.00%, 4/1/42		601		635
Pool #AO0800, 3.00%, 4/1/27		362		379
Pool #AO2973, 3.50%, 5/1/42		1,283		1,384
Pool #AO4136, 3.50%, 6/1/42		779		835
Pool #AO7970, 2.50%, 6/1/27		244		254

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AO8031, 3.50%, 7/1/42		$2,154		$2,311
Pool #AO8629, 3.50%, 7/1/42		359		385
Pool #AP6273, 3.00%, 10/1/42		593		628
Pool #AQ6784, 3.50%, 12/1/42		678		727
Pool #AQ8185, 2.50%, 1/1/28		153		159
Pool #AQ8647, 3.50%, 12/1/42		975		1,046
Pool #AR1706, 2.50%, 1/1/28		2,262		2,348
Pool #AR3054, 3.00%, 1/1/28		557		586
Pool #AR3792, 3.00%, 2/1/43		527		558
Pool #AR8151, 3.00%, 3/1/43		1,097		1,160
Pool #AR9188, 2.50%, 3/1/43		136		141
Pool #AR9582, 3.00%, 3/1/43		349		370
Pool #AS0018, 3.00%, 7/1/43		2,318		2,450
Pool #AS0275, 3.00%, 8/1/33		228		243
Pool #AS3294, 4.00%, 9/1/44		1,671		1,806
Pool #AS3600, 3.00%, 10/1/29		1,232		1,295
Pool #AS3657, 4.50%, 10/1/44		922		1,001
Pool #AS4085, 4.00%, 12/1/44		508		552
Pool #AS4306, 3.00%, 1/1/45		953		1,007
Pool #AS4458, 3.50%, 2/1/45		3,057		3,262
Pool #AS4715, 3.00%, 4/1/45		863		912

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 55 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AS5090, 2.50%, 6/1/30		$303		$316
Pool #AS5324, 2.50%, 7/1/30		718		745
Pool #AS5500, 3.00%, 7/1/35		359		380
Pool #AS5666, 4.00%, 8/1/45		968		1,045
Pool #AS5892, 3.50%, 10/1/45		1,372		1,461
Pool #AS6192, 3.50%, 11/1/45		2,618		2,789
Pool #AS6262, 3.50%, 11/1/45		1,526		1,626
Pool #AS6332, 3.50%, 12/1/45		1,724		1,836
Pool #AS6398, 3.50%, 12/1/45		1,198		1,276
Pool #AS6730, 3.50%, 2/1/46		2,196		2,343
Pool #AS6887, 2.50%, 3/1/31		643		669
Pool #AS7149, 3.00%, 5/1/46		1,300		1,375
Pool #AS7157, 3.00%, 5/1/46		784		828
Pool #AS7247, 4.00%, 5/1/46		476		513
Pool #AS7343, 3.00%, 6/1/46		746		786
Pool #AS7480, 2.00%, 7/1/31		174		179
Pool #AS7580, 3.00%, 7/1/46		897		946
Pool #AS8067, 3.00%, 10/1/46		1,277		1,348
Pool #AS8074, 3.00%, 10/1/46		719		759
Pool #AS8178, 3.00%, 10/1/36		220		233
Pool #AS8194, 2.50%, 10/1/31		2,124		2,211

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AS8424, 3.00%, 12/1/36		$349		$369
Pool #AS8483, 3.00%, 12/1/46		1,141		1,203
Pool #AS8591, 2.00%, 1/1/32		344		355
Pool #AS8614, 3.50%, 1/1/32		227		241
Pool #AS8699, 4.00%, 1/1/47		2,875		3,087
Pool #AS8787, 2.00%, 2/1/32		184		189
Pool #AS8960, 4.00%, 3/1/47		689		746
Pool #AS9505, 3.00%, 4/1/32		668		702
Pool #AS9615, 4.50%, 5/1/47		895		969
Pool #AT0666, 3.50%, 4/1/43		430		461
Pool #AT2720, 3.00%, 5/1/43		987		1,044
Pool #AT3164, 3.00%, 4/1/43		1,693		1,789
Pool #AT3180, 3.00%, 5/1/43		2,104		2,223
Pool #AT5026, 3.00%, 5/1/43		1,814		1,918
Pool #AU1657, 2.50%, 7/1/28		364		380
Pool #AU1689, 3.50%, 8/1/43		2,228		2,391
Pool #AU1808, 3.00%, 8/1/43		1,744		1,844
Pool #AU3164, 3.00%, 8/1/33		202		215
Pool #AU5918, 3.00%, 9/1/43		1,620		1,712
Pool #AU5919, 3.50%, 9/1/43		1,107		1,188
Pool #AV0691, 4.00%, 12/1/43		1,998		2,173

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #AV2339, 4.00%, 12/1/43		$445		$484
Pool #AW8167, 3.50%, 2/1/42		518		556
Pool #AW8595, 3.00%, 8/1/29		314		331
Pool #AX2163, 3.50%, 11/1/44		621		663
Pool #AX4413, 4.00%, 11/1/44		1,120		1,210
Pool #AX4839, 3.50%, 11/1/44		1,196		1,279
Pool #AX6139, 4.00%, 11/1/44		1,541		1,668
Pool #AY0544, 2.50%, 8/1/27		1,072		1,112
Pool #AY3062, 3.00%, 11/1/26		353		371
Pool #AY9555, 3.00%, 5/1/45		1,381		1,459
Pool #AZ1449, 3.00%, 7/1/45		927		980
Pool #AZ2936, 3.00%, 9/1/45		498		526
Pool #AZ2947, 4.00%, 9/1/45		1,085		1,173
Pool #AZ4775, 3.50%, 10/1/45		775		826
Pool #AZ6684, 3.00%, 2/1/31		706		742
Pool #BA2911, 3.00%, 11/1/30		301		316
Pool #BC0326, 3.50%, 12/1/45		572		610
Pool #BC0822, 3.50%, 4/1/46		5,098		5,407
Pool #BC1105, 3.50%, 2/1/46		2,073		2,208
Pool #BC1510, 3.00%, 8/1/46		611		644
Pool #BC9096, 3.50%, 12/1/46		834		885

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #BE3171, 2.50%, 2/1/32		$699		$728
Pool #BH1130, 3.50%, 4/1/32		547		578
Pool #BH5784, 3.00%, 11/1/32		2,374		2,500
Pool #BH7032, 3.50%, 12/1/47		582		618
Pool #BH7106, 3.50%, 1/1/48		1,210		1,283
Pool #BH9215, 3.50%, 1/1/48		2,117		2,243
Pool #BJ0648, 3.50%, 3/1/48		1,234		1,308
Pool #BJ9181, 5.00%, 5/1/48		887		958
Pool #BJ9260, 4.00%, 4/1/48		1,156		1,237
Pool #BJ9977, 4.00%, 5/1/48		566		608
Pool #BK0276, 4.00%, 9/1/48		424		454
Pool #BK0920, 4.00%, 7/1/48		2,283		2,430
Pool #BK0922, 4.50%, 7/1/48		337		363
Pool #BK4740, 4.00%, 8/1/48		658		701
Pool #BK4764, 4.00%, 8/1/48		666		711
Pool #BK4816, 4.00%, 9/1/48		1,203		1,283
Pool #BM1687, 4.00%, 1/1/47		2,716		2,916
Pool #BM1787, 4.00%, 9/1/47		1,692		1,831
Pool #BM2001, 3.50%, 12/1/46		310		329
Pool #BM3286, 4.50%, 11/1/47		181		196
Pool #BM4151, 2.50%, 6/1/32		2,216		2,301

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 57 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #BM5288, 3.50%, 1/1/34		$721		$759
Pool #BM5466, 2.50%, 10/1/43		790		822
Pool #BM5804, 5.00%, 1/1/49		1,303		1,407
Pool #BN1176, 4.50%, 11/1/48		540		581
Pool #BN1628, 4.50%, 11/1/48		417		448
Pool #BN5947, 3.50%, 6/1/49		529		564
Pool #BN6097, 4.00%, 6/1/49		3,436		3,658
Pool #BN6683, 3.50%, 6/1/49		1,343		1,419
Pool #BO1012, 3.50%, 8/1/49		665		702
Pool #BO1021, 3.50%, 8/1/49		686		725
Pool #BO1169, 3.50%, 7/1/49		448		473
Pool #BO1444, 3.00%, 10/1/49		535		562
Pool #BO1461, 3.00%, 10/1/49		291		305
Pool #BO3181, 2.50%, 10/1/49		1,319		1,367
Pool #BO4708, 3.00%, 11/1/49		1,331		1,395
Pool #BO8620, 3.00%, 12/1/49		1,115		1,172
Pool #CA0110, 3.50%, 8/1/47		1,449		1,536
Pool #CA0619, 4.00%, 10/1/47		324		348
Pool #CA0620, 4.00%, 10/1/47		3,480		3,735
Pool #CA0656, 3.50%, 11/1/47		1,984		2,112
Pool #CA0859, 3.50%, 12/1/47		1,858		1,969

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #CA0917, 3.50%, 12/1/47		$1,185		$1,261
Pool #CA1370, 4.00%, 3/1/48		738		795
Pool #CA1378, 4.00%, 3/1/48		735		786
Pool #CA1564, 4.50%, 4/1/48		354		381
Pool #CA1711, 4.50%, 5/1/48		1,061		1,144
Pool #CA1902, 4.50%, 6/1/48		1,133		1,229
Pool #CA1909, 4.50%, 6/1/48		496		533
Pool #CA1951, 4.00%, 7/1/48		802		856
Pool #CA1952, 4.50%, 6/1/48		373		402
Pool #CA2056, 4.50%, 7/1/48		473		509
Pool #CA2208, 4.50%, 8/1/48		360		387
Pool #CA2256, 3.50%, 8/1/33		714		755
Pool #CA2366, 3.50%, 9/1/48		619		655
Pool #CA2375, 4.00%, 9/1/48		2,305		2,455
Pool #CA2559, 4.00%, 11/1/33		795		838
Pool #CA2616, 3.50%, 11/1/48		1,777		1,895
Pool #CA2729, 4.50%, 11/1/48		2,131		2,290
Pool #CA4029, 4.00%, 8/1/49		2,880		3,073
Pool #FM1708, 3.00%, 12/1/45		475		502
Pool #FM1938, 4.50%, 9/1/49		2,357		2,533
Pool #MA0361, 4.00%, 3/1/30		117		126

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #MA0667, 4.00%, 3/1/31		$318		$347
Pool #MA0706, 4.50%, 4/1/31		369		403
Pool #MA0711, 3.50%, 4/1/31		199		210
Pool #MA0804, 4.00%, 7/1/31		205		224
Pool #MA0976, 3.50%, 2/1/32		452		485
Pool #MA1107, 3.50%, 7/1/32		571		613
Pool #MA1138, 3.50%, 8/1/32		313		336
Pool #MA1141, 3.00%, 8/1/32		163		173
Pool #MA1200, 3.00%, 10/1/32		882		938
Pool #MA1239, 3.50%, 11/1/32		423		455
Pool #MA1432, 3.00%, 5/1/33		900		955
Pool #MA1511, 2.50%, 7/1/33		272		284
Pool #MA1764, 4.00%, 1/1/34		381		416
Pool #MA2320, 3.00%, 7/1/35		794		842
Pool #MA2473, 3.50%, 12/1/35		331		356
Pool #MA2489, 2.50%, 12/1/30		1,028		1,067
Pool #MA2512, 4.00%, 1/1/46		461		498
Pool #MA2670, 3.00%, 7/1/46		2,052		2,156
Pool #MA2672, 3.00%, 7/1/36		442		467
Pool #MA2705, 3.00%, 8/1/46		1,450		1,535
Pool #MA2737, 3.00%, 9/1/46		661		697

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #MA2738, 3.00%, 9/1/36		$636		$673
Pool #MA2771, 3.00%, 10/1/46		713		752
Pool #MA2775, 2.50%, 10/1/31		361		375
Pool #MA2781, 2.50%, 10/1/46		477		496
Pool #MA2804, 3.00%, 11/1/36		792		838
Pool #MA2817, 2.50%, 11/1/36		355		369
Pool #MA2841, 2.50%, 12/1/36		143		149
Pool #MA2863, 3.00%, 1/1/47		10,548		11,113
Pool #MA2895, 3.00%, 2/1/47		608		638
Pool #MA2929, 3.50%, 3/1/47		3,349		3,548
Pool #MA3028, 3.50%, 6/1/37		690		735
Pool #MA3057, 3.50%, 7/1/47		1,728		1,830
Pool #MA3058, 4.00%, 7/1/47		628		674
Pool #MA3059, 3.50%, 7/1/37		130		138
Pool #MA3073, 4.50%, 7/1/47		1,178		1,277
Pool #MA3127, 3.00%, 9/1/37		288		304
Pool #MA3150, 4.50%, 10/1/47		595		645
Pool #MA3181, 3.50%, 11/1/37		214		228
Pool #MA3182, 3.50%, 11/1/47		1,842		1,952
Pool #MA3184, 4.50%, 11/1/47		181		196
Pool #MA3185, 3.00%, 11/1/37		365		386

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #MA3188, 3.00%, 11/1/32		$1,002		$1,053
Pool #MA3211, 4.00%, 12/1/47		339		364
Pool #MA3239, 4.00%, 1/1/48		1,434		1,528
Pool #MA3276, 3.50%, 2/1/48		1,589		1,678
Pool #MA3281, 4.00%, 2/1/38		715		772
Pool #MA3334, 4.50%, 4/1/48		1,204		1,298
Pool #MA3385, 4.50%, 6/1/48		457		492
Pool #MA3412, 3.50%, 7/1/38		429		456
Pool #MA3413, 4.00%, 7/1/38		158		170
Pool #MA3443, 4.00%, 8/1/48		530		565
Pool #MA3444, 4.50%, 8/1/48		439		473
Pool #MA3467, 4.00%, 9/1/48		517		551
Pool #MA3492, 4.00%, 10/1/38		138		148
Pool #MA3547, 3.00%, 12/1/33		741		775
Pool #MA3590, 4.00%, 2/1/39		138		148
Pool #MA3685, 3.00%, 6/1/49		841		881
Pool #MA3692, 3.50%, 7/1/49		720		759
Pool #MA3695, 3.00%, 7/1/34		328		343
Pool #MA3744, 3.00%, 8/1/49		910		953
Pool #MA3765, 2.50%, 9/1/49		1,300		1,346
Pool #MA3870, 2.50%, 12/1/49		494		512

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Fannie Mae – 11.4% – continued
Pool #MA3871, 3.00%, 12/1/49		$660		$691
Pool #MA3896, 2.50%, 1/1/35		1,466		1,521
Pool #MA3898, 3.50%, 1/1/35		1,459		1,537
Pool #MA3902, 2.50%, 1/1/50		495		513
				334,217
Federal Farm Credit Bank – 0.0%
1.38%, 10/11/22		1,000		1,012
Federal Home Loan Bank – 0.6%
1.88%, 7/7/21		3,500		3,566
1.70%, 8/25/21		2,200		2,203
3.00%, 10/12/21		3,000		3,120
1.63%, 12/20/21		4,000		4,085
1.38%, 2/17/23		3,500		3,594
5.50%, 7/15/36		500		772
				17,340
Freddie Mac – 6.6%
2.38%, 1/13/22		1,500		1,553
2.75%, 6/19/23		1,000		1,071
6.75%, 3/15/31		1,200		1,866
Freddie Mac Multifamily Structured Pass Through Certificates, Series K017, Class A2, 2.87%, 12/25/21		91		93
Freddie Mac Multifamily Structured Pass Through Certificates, Series K018, Class A2, 2.79%, 1/25/22		495		508
Freddie Mac Multifamily Structured Pass Through Certificates, Series K020, Class A2, 2.37%, 5/25/22		150		153
Freddie Mac Multifamily Structured Pass Through Certificates, Series K023, Class A2, 2.31%, 8/25/22		350		358
Freddie Mac Multifamily Structured Pass Through Certificates, Series K024, Class A2, 2.57%, 9/25/22		200		206

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K028, Class A2, 3.11%, 2/25/23		$300		$314
Freddie Mac Multifamily Structured Pass Through Certificates, Series K029, Class A2, 3.32%, 2/25/23		250		263
Freddie Mac Multifamily Structured Pass Through Certificates, Series K030, Class A2, 3.25%, 4/25/23		300		316
Freddie Mac Multifamily Structured Pass Through Certificates, Series K031, Class A2, 3.30%, 4/25/23		227		241
Freddie Mac Multifamily Structured Pass Through Certificates, Series K032, Class A2, 3.31%, 5/25/23		365		389
Freddie Mac Multifamily Structured Pass Through Certificates, Series K033, Class A2, 3.06%, 7/25/23		350		370
Freddie Mac Multifamily Structured Pass Through Certificates, Series K038, Class A2, 3.39%, 3/25/24		295		318
Freddie Mac Multifamily Structured Pass Through Certificates, Series K040, Class A2, 3.24%, 9/25/24		300		324
Freddie Mac Multifamily Structured Pass Through Certificates, Series K041, Class A2, 3.17%, 10/25/24		300		324
Freddie Mac Multifamily Structured Pass Through Certificates, Series K042, Class A2, 2.67%, 12/25/24		200		212
Freddie Mac Multifamily Structured Pass Through Certificates, Series K043, Class A2, 3.06%, 12/25/24		200		215

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K046, Class A2, 3.21%, 3/25/25		$250		$271
Freddie Mac Multifamily Structured Pass Through Certificates, Series K047, Class A2, 3.33%, 5/25/25		500		547
Freddie Mac Multifamily Structured Pass Through Certificates, Series K051, Class A2, 3.31%, 9/25/25		300		329
Freddie Mac Multifamily Structured Pass Through Certificates, Series K053, Class A2, 3.00%, 12/25/25		300		325
Freddie Mac Multifamily Structured Pass Through Certificates, Series K054, Class A2, 2.75%, 1/25/26		250		268
Freddie Mac Multifamily Structured Pass Through Certificates, Series K055, Class A2, 2.67%, 3/25/26		500		535
Freddie Mac Multifamily Structured Pass Through Certificates, Series K056, Class A2, 2.53%, 5/25/26		400		425
Freddie Mac Multifamily Structured Pass Through Certificates, Series K058, Class A2, 2.65%, 8/25/26		250		268
Freddie Mac Multifamily Structured Pass Through Certificates, Series K059, Class A2, 3.12%, 9/25/26		100		110
Freddie Mac Multifamily Structured Pass Through Certificates, Series K065, Class A2, 3.24%, 4/25/27		350		394
Freddie Mac Multifamily Structured Pass Through Certificates, Series K066, Class A2, 3.12%, 6/25/27		350		391

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K067, Class A2, 3.19%, 7/25/27		$250		$281
Freddie Mac Multifamily Structured Pass Through Certificates, Series K068, Class A2, 3.24%, 8/25/27		150		169
Freddie Mac Multifamily Structured Pass Through Certificates, Series K069, Class A2, 3.19%, 9/25/27		200		225
Freddie Mac Multifamily Structured Pass Through Certificates, Series K070, Class A2, 3.30%, 11/25/27		150		170
Freddie Mac Multifamily Structured Pass Through Certificates, Series K072, Class A2, 3.44%, 12/25/27		150		172
Freddie Mac Multifamily Structured Pass Through Certificates, Series K073, Class A2, 3.35%, 1/25/28		150		171
Freddie Mac Multifamily Structured Pass Through Certificates, Series K074, Class A2, 3.60%, 1/25/28		150		173
Freddie Mac Multifamily Structured Pass Through Certificates, Series K075, Class A2, 3.65%, 2/25/28		150		174
Freddie Mac Multifamily Structured Pass Through Certificates, Series K076, Class A2, 3.90%, 4/25/28		200		235
Freddie Mac Multifamily Structured Pass Through Certificates, Series K077, Class A2, 3.85%, 5/25/28		200		234
Freddie Mac Multifamily Structured Pass Through Certificates, Series K078, Class A2, 3.85%, 6/25/28		150		176

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K079, Class A2, 3.93%, 6/25/28		$200		$237
Freddie Mac Multifamily Structured Pass Through Certificates, Series K080, Class A2, 3.93%, 7/25/28		200		235
Freddie Mac Multifamily Structured Pass Through Certificates, Series K081, Class A2, 3.90%, 8/25/28		200		238
Freddie Mac Multifamily Structured Pass Through Certificates, Series K082, Class A2, 3.92%, 9/25/28		350		415
Freddie Mac Multifamily Structured Pass Through Certificates, Series K083, Class A2, 4.05%, 9/25/28		200		240
Freddie Mac Multifamily Structured Pass Through Certificates, Series K086, Class A2, 3.86%, 11/25/28		200		237
Freddie Mac Multifamily Structured Pass Through Certificates, Series K090, Class A2, 3.42%, 2/25/29		500		577
Freddie Mac Multifamily Structured Pass Through Certificates, Series K091, Class A2, 3.51%, 3/25/29		150		174
Freddie Mac Multifamily Structured Pass Through Certificates, Series K092, Class A2, 3.30%, 4/25/29		300		345
Freddie Mac Multifamily Structured Pass Through Certificates, Series K093, Class A2, 2.98%, 5/25/29		200		225
Freddie Mac Multifamily Structured Pass Through Certificates, Series K094, Class A2, 2.90%, 6/25/29		300		336

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K102, Class A2, 2.54%, 10/25/29		$250		$273
Freddie Mac Multifamily Structured Pass Through Certificates, Series K104, Class A2, 2.25%, 2/25/52		250		267
Freddie Mac Multifamily Structured Pass Through Certificates, Series K105, Class A2, 1.87%, 3/25/53		200		207
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1510, Class A2, 3.72%, 1/25/31		100		121
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1510, Class A3, 3.79%, 1/25/34		100		120
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1511, Class A2, 3.47%, 3/25/31		100		122
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1511, Class A3, 3.54%, 3/25/34		100		119
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1512, Class A2, 2.99%, 5/25/31		100		110
Freddie Mac Multifamily Structured Pass Through Certificates, Series K-1512, Class A3, 3.06%, 4/25/34		100		115
Freddie Mac Multifamily Structured Pass Through Certificates, Series K154, Class A2, 3.42%, 4/25/32		100		118
Freddie Mac Multifamily Structured Pass Through Certificates, Series K155, Class A3, 3.75%, 4/25/33		100		125

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K157, Class A2, 3.99%, 5/25/33		$100		$118
Freddie Mac Multifamily Structured Pass Through Certificates, Series K157, Class A3, 3.99%, 8/25/33		100		122
Freddie Mac Multifamily Structured Pass Through Certificates, Series K718, Class A2, 2.79%, 1/25/22		250		257
Freddie Mac Multifamily Structured Pass Through Certificates, Series K719, Class A2, 2.73%, 6/25/22		64		66
Freddie Mac Multifamily Structured Pass Through Certificates, Series K721, Class A2, 3.09%, 8/25/22		250		258
Freddie Mac Multifamily Structured Pass Through Certificates, Series K722, Class A2, 2.41%, 3/25/23		250		257
Freddie Mac Multifamily Structured Pass Through Certificates, Series K723, Class A2, 2.45%, 8/25/23		250		259
Freddie Mac Multifamily Structured Pass Through Certificates, Series K729, Class A2, 3.14%, 10/25/24		200		214
Freddie Mac Multifamily Structured Pass Through Certificates, Series K730, Class A2, 3.59%, 1/25/25		200		218
Freddie Mac Multifamily Structured Pass Through Certificates, Series K731, Class A2, 3.60%, 2/25/25		150		163
Freddie Mac Multifamily Structured Pass Through Certificates, Series K732, Class A2, 3.70%, 5/25/25		400		440

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Freddie Mac Multifamily Structured Pass Through Certificates, Series K733, Class A2, 3.75%, 8/25/25		$500		$553
Freddie Mac Multifamily Structured Pass Through Certificates, Series K734, Class A2, 3.21%, 2/25/26		200		218
Freddie Mac Multifamily Structured Pass Through Certificates, Series K735, Class A2, 2.86%, 5/25/26		150		161
Pool #QA0127, 3.50%, 6/1/49		2,132		2,277
Pool #QA1132, 3.50%, 7/1/49		1,046		1,104
Pool #QA1263, 3.50%, 7/1/49		1,096		1,174
Pool #QA4699, 3.00%, 11/1/49		763		799
Pool #QN0818, 2.50%, 10/1/34		1,013		1,051
Pool #RA1196, 4.00%, 8/1/49		4,352		4,643
Pool #RA1501, 3.00%, 10/1/49		647		678
Pool #SD0163, 3.00%, 12/1/49		1,544		1,621
Pool #SD8019, 4.50%, 10/1/49		1,841		1,979
Pool #SD8023, 2.50%, 11/1/49		983		1,018
Pool #SD8029, 2.50%, 12/1/49		986		1,021
Pool #SD8037, 2.50%, 1/1/50		990		1,026
Pool #ZA1036, 4.50%, 2/1/40		202		221
Pool #ZA1159, 3.50%, 4/1/42		481		518
Pool #ZA1165, 3.50%, 4/1/42		994		1,066
Pool #ZA1254, 3.00%, 10/1/42		2,243		2,371

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZA1334, 3.50%, 7/1/42		$338		$363
Pool #ZA1361, 3.50%, 5/1/43		423		454
Pool #ZA1375, 4.00%, 9/1/44		322		348
Pool #ZA1378, 3.50%, 10/1/44		460		492
Pool #ZA2773, 2.50%, 8/1/27		174		181
Pool #ZA3862, 2.50%, 5/1/31		612		638
Pool #ZA4194, 3.00%, 4/1/43		406		430
Pool #ZA4214, 3.00%, 5/1/43		641		679
Pool #ZA4715, 4.00%, 9/1/46		2,071		2,241
Pool #ZA5107, 4.00%, 11/1/47		689		739
Pool #ZA5642, 4.00%, 9/1/48		1,774		1,891
Pool #ZA5950, 4.50%, 11/1/48		3,209		3,450
Pool #ZI6135, 5.00%, 9/1/34		653		737
Pool #ZI6854, 4.50%, 12/1/37		51		55
Pool #ZI7645, 5.00%, 6/1/38		218		239
Pool #ZI8519, 4.50%, 2/1/39		40		44
Pool #ZI9157, 4.50%, 9/1/39		1,165		1,275
Pool #ZI9349, 4.50%, 10/1/39		668		732
Pool #ZI9657, 4.50%, 1/1/40		565		618
Pool #ZI9862, 4.50%, 3/1/40		346		383
Pool #ZI9939, 4.50%, 4/1/40		237		260

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZJ0631, 4.50%, 10/1/40		$332		$364
Pool #ZJ1046, 4.00%, 1/1/41		398		432
Pool #ZJ1052, 4.00%, 1/1/41		312		337
Pool #ZJ1228, 4.00%, 2/1/41		680		734
Pool #ZJ1359, 4.50%, 3/1/41		280		307
Pool #ZK5468, 2.00%, 5/1/28		755		779
Pool #ZK7259, 2.50%, 4/1/30		679		707
Pool #ZK7533, 2.50%, 7/1/30		463		480
Pool #ZL1714, 4.50%, 7/1/41		365		400
Pool #ZL1806, 4.50%, 8/1/41		943		1,033
Pool #ZL1922, 4.00%, 9/1/41		177		191
Pool #ZL2350, 3.50%, 11/1/41		229		246
Pool #ZL3211, 3.50%, 6/1/42		628		674
Pool #ZL3245, 4.00%, 6/1/42		1,239		1,341
Pool #ZL3535, 3.50%, 8/1/42		1,021		1,102
Pool #ZL3551, 3.50%, 8/1/42		967		1,038
Pool #ZL4634, 3.00%, 1/1/43		3,166		3,343
Pool #ZL4709, 3.00%, 1/1/43		679		718
Pool #ZL5074, 3.00%, 2/1/43		313		331
Pool #ZL5915, 3.50%, 5/1/43		1,682		1,805
Pool #ZL5927, 3.00%, 5/1/43		330		349

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZL6381, 3.00%, 6/1/43		$793		$839
Pool #ZL6467, 3.00%, 7/1/43		594		628
Pool #ZL6676, 3.00%, 8/1/43		1,026		1,084
Pool #ZL6920, 3.50%, 8/1/43		366		392
Pool #ZL7780, 4.00%, 2/1/44		608		661
Pool #ZL8299, 3.50%, 7/1/44		2,166		2,321
Pool #ZL8300, 4.00%, 7/1/44		1,648		1,782
Pool #ZL8709, 4.00%, 11/1/44		565		607
Pool #ZM0489, 4.00%, 11/1/45		747		806
Pool #ZM0617, 3.50%, 12/1/45		599		640
Pool #ZM1194, 3.00%, 6/1/46		983		1,038
Pool #ZM1933, 3.00%, 10/1/46		918		969
Pool #ZM2167, 3.00%, 11/1/46		1,354		1,428
Pool #ZM2286, 3.50%, 12/1/46		2,546		2,701
Pool #ZM3525, 3.50%, 6/1/47		314		335
Pool #ZM3933, 3.50%, 8/1/47		1,133		1,205
Pool #ZM4305, 3.50%, 9/1/47		1,432		1,517
Pool #ZM4601, 3.50%, 10/1/47		2,456		2,607
Pool #ZM4711, 4.00%, 11/1/47		3,347		3,599
Pool #ZM4736, 3.50%, 11/1/47		604		640
Pool #ZM4908, 3.50%, 11/1/47		1,236		1,313

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZM5133, 3.50%, 12/1/47		$491		$520
Pool #ZM5397, 3.50%, 1/1/48		1,345		1,426
Pool #ZM5659, 3.50%, 2/1/48		1,121		1,188
Pool #ZM5917, 4.00%, 3/1/48		858		918
Pool #ZM6682, 4.50%, 5/1/48		785		847
Pool #ZM7370, 4.00%, 7/1/48		701		746
Pool #ZM7378, 5.00%, 7/1/48		532		574
Pool #ZM7849, 4.00%, 8/1/48		541		576
Pool #ZM8045, 4.00%, 9/1/48		1,148		1,224
Pool #ZM8575, 4.50%, 10/1/48		737		792
Pool #ZN1506, 3.50%, 11/1/48		1,269		1,353
Pool #ZN3447, 3.50%, 2/1/49		500		529
Pool #ZS0932, 4.50%, 8/1/34		20		22
Pool #ZS0971, 5.00%, 12/1/35		194		216
Pool #ZS1567, 5.00%, 8/1/37		24		26
Pool #ZS2391, 5.00%, 9/1/38		48		54
Pool #ZS2499, 5.00%, 3/1/38		109		121
Pool #ZS2533, 4.50%, 2/1/39		131		143
Pool #ZS2827, 4.50%, 11/1/39		313		345
Pool #ZS2905, 4.50%, 4/1/40		406		445
Pool #ZS3554, 3.50%, 7/1/42		519		556

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZS3596, 4.00%, 6/1/42		$1,356		$1,466
Pool #ZS3613, 4.00%, 8/1/42		748		809
Pool #ZS3792, 2.50%, 7/1/43		575		599
Pool #ZS4078, 3.50%, 1/1/45		748		802
Pool #ZS4100, 3.50%, 3/1/45		1,505		1,610
Pool #ZS4127, 4.50%, 7/1/44		359		393
Pool #ZS4472, 3.50%, 2/1/42		609		653
Pool #ZS4522, 3.00%, 7/1/43		1,956		2,068
Pool #ZS4536, 3.50%, 10/1/43		799		857
Pool #ZS4584, 3.00%, 9/1/44		336		354
Pool #ZS4590, 3.00%, 11/1/44		3,481		3,676
Pool #ZS4600, 4.00%, 1/1/45		971		1,049
Pool #ZS4607, 3.50%, 3/1/45		1,329		1,416
Pool #ZS4617, 3.00%, 6/1/45		604		638
Pool #ZS4618, 3.50%, 6/1/45		1,056		1,125
Pool #ZS4621, 3.00%, 7/1/45		1,467		1,551
Pool #ZS4627, 4.00%, 8/1/45		332		359
Pool #ZS4629, 3.00%, 9/1/45		4,399		4,646
Pool #ZS4630, 3.50%, 9/1/45		811		863
Pool #ZS4634, 4.00%, 10/1/45		449		485
Pool #ZS4639, 4.00%, 11/1/45		417		451

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZS4642, 3.50%, 12/1/45		$1,550		$1,651
Pool #ZS4655, 3.50%, 3/1/46		801		853
Pool #ZS4667, 3.00%, 6/1/46		1,015		1,072
Pool #ZS4671, 3.00%, 8/1/46		2,209		2,330
Pool #ZS4677, 3.00%, 9/1/46		616		649
Pool #ZS4682, 3.00%, 10/1/46		812		857
Pool #ZS4703, 3.00%, 2/1/47		529		558
Pool #ZS4722, 3.50%, 6/1/47		933		988
Pool #ZS4730, 3.50%, 8/1/47		352		373
Pool #ZS4740, 4.00%, 10/1/47		1,417		1,524
Pool #ZS4743, 3.50%, 11/1/47		2,149		2,278
Pool #ZS4745, 4.50%, 11/1/47		1,269		1,375
Pool #ZS4747, 3.50%, 12/1/47		567		598
Pool #ZS4748, 4.00%, 12/1/47		1,490		1,599
Pool #ZS4749, 4.50%, 12/1/47		419		453
Pool #ZS4752, 4.00%, 1/1/48		1,238		1,332
Pool #ZS4759, 3.50%, 3/1/48		1,363		1,453
Pool #ZS4769, 4.00%, 5/1/48		918		977
Pool #ZS4773, 4.50%, 6/1/48		257		277
Pool #ZS4781, 4.50%, 7/1/48		590		635
Pool #ZS4785, 4.00%, 8/1/48		730		777

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac – 6.6% – continued
Pool #ZS6948, 2.50%, 11/1/28		$444		$463
Pool #ZS8023, 2.00%, 8/1/32		117		121
Pool #ZS8495, 2.50%, 8/1/28		1,721		1,787
Pool #ZS8628, 2.00%, 11/1/31		195		201
Pool #ZS8639, 2.00%, 1/1/32		66		68
Pool #ZS9449, 3.50%, 8/1/45		812		867
Pool #ZS9495, 3.50%, 10/1/45		1,160		1,243
Pool #ZS9580, 3.50%, 12/1/45		1,151		1,226
Pool #ZS9618, 3.50%, 3/1/46		1,954		2,094
Pool #ZS9805, 3.00%, 9/1/46		1,100		1,162
Pool #ZS9813, 3.00%, 9/1/46		1,078		1,138
Pool #ZS9827, 3.00%, 10/1/46		848		895
Pool #ZS9828, 3.00%, 10/1/46		877		925
Pool #ZT0000, 3.00%, 1/1/47		3,166		3,346
Pool #ZT0074, 3.50%, 3/1/47		3,717		3,954
Pool #ZT0495, 4.50%, 8/1/48		322		346
Pool #ZT0524, 4.50%, 9/1/48		1,042		1,127
Pool #ZT0712, 4.00%, 10/1/48		1,068		1,138
Pool #ZT0787, 4.00%, 10/1/48		1,130		1,203
Pool #ZT1702, 4.00%, 1/1/49		2,238		2,384
Pool #ZT2091, 3.00%, 6/1/34		403		422
				193,246

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3%
Pool #A16753, 5.00%, 11/1/33		$33		$36
Pool #A17665, 5.00%, 1/1/34		43		48
Pool #A27950, 5.50%, 11/1/34		197		222
Pool #A31136, 5.50%, 1/1/35		191		211
Pool #A39306, 5.50%, 11/1/35		89		99
Pool #A46224, 5.00%, 7/1/35		16		18
Pool #A48104, 5.00%, 1/1/36		53		59
Pool #A51296, 6.00%, 8/1/36		6		7
Pool #A54897, 6.50%, 8/1/36		11		12
Pool #A56110, 5.50%, 12/1/36		114		125
Pool #A57604, 5.00%, 3/1/37		122		136
Pool #A58718, 5.50%, 3/1/37		12		14
Pool #A59081, 5.50%, 4/1/37		126		142
Pool #A61560, 5.50%, 10/1/36		193		218
Pool #A61597, 5.50%, 12/1/35		32		35
Pool #A64474, 5.50%, 9/1/37		13		15
Pool #A67116, 7.00%, 10/1/37		15		18
Pool #A68761, 5.50%, 9/1/37		122		133
Pool #A69303, 6.00%, 11/1/37		17		20
Pool #A73778, 5.00%, 2/1/38		73		81
Pool #A74134, 7.00%, 2/1/38		21		22

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #A81606, 6.00%, 9/1/38		$17		$18
Pool #A83008, 5.50%, 11/1/38		176		199
Pool #A91541, 5.00%, 3/1/40		157		173
Pool #C91009, 5.00%, 11/1/26		8		9
Pool #C91247, 5.00%, 4/1/29		85		92
Pool #C91354, 4.00%, 1/1/31		315		344
Pool #C91370, 4.50%, 5/1/31		158		173
Pool #C91388, 3.50%, 2/1/32		198		213
Pool #C91402, 4.00%, 10/1/31		258		281
Pool #C91408, 3.50%, 11/1/31		195		209
Pool #C91485, 3.50%, 8/1/32		308		331
Pool #C91811, 4.00%, 1/1/35		141		154
Pool #C91826, 3.00%, 5/1/35		260		275
Pool #C91858, 3.00%, 12/1/35		274		291
Pool #C91879, 3.00%, 6/1/36		311		329
Pool #C91891, 3.00%, 9/1/36		334		354
Pool #C91904, 2.50%, 11/1/36		213		223
Pool #C91908, 3.00%, 1/1/37		141		149
Pool #C91949, 3.00%, 9/1/37		360		381
Pool #C91955, 3.00%, 10/1/37		299		317
Pool #C91970, 3.50%, 1/1/38		383		407

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #C91971, 4.00%, 1/1/38		$140		$151
Pool #C92003, 3.50%, 7/1/38		273		290
Pool #C92010, 4.00%, 8/1/38		348		374
Pool #D97564, 5.00%, 1/1/28		96		104
Pool #D99094, 3.00%, 3/1/32		198		211
Pool #E03033, 3.00%, 2/1/27		349		366
Pool #E04044, 3.50%, 8/1/27		639		673
Pool #G02064, 5.00%, 2/1/36		91		101
Pool #G02069, 5.50%, 3/1/36		13		15
Pool #G02386, 6.00%, 11/1/36		146		168
Pool #G02391, 6.00%, 11/1/36		5		5
Pool #G02540, 5.00%, 11/1/34		46		51
Pool #G02649, 6.00%, 1/1/37		6		7
Pool #G02702, 6.50%, 1/1/37		11		12
Pool #G02789, 6.00%, 4/1/37		567		653
Pool #G02911, 6.00%, 4/1/37		7		8
Pool #G02973, 6.00%, 6/1/37		19		22
Pool #G03121, 5.00%, 6/1/36		76		84
Pool #G03134, 5.50%, 8/1/36		35		40
Pool #G03218, 6.00%, 9/1/37		21		24
Pool #G03351, 6.00%, 9/1/37		38		44

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #G03513, 6.00%, 11/1/37		$44		$51
Pool #G03600, 7.00%, 11/1/37		19		22
Pool #G03737, 6.50%, 11/1/37		257		294
Pool #G03992, 6.00%, 3/1/38		46		53
Pool #G04287, 5.00%, 5/1/38		82		91
Pool #G04459, 5.50%, 6/1/38		68		77
Pool #G04611, 6.00%, 7/1/38		135		156
Pool #G04650, 6.50%, 9/1/38		68		78
Pool #G05733, 5.00%, 11/1/39		236		261
Pool #G05969, 5.00%, 8/1/40		134		148
Pool #G05971, 5.50%, 8/1/40		599		679
Pool #G06020, 5.50%, 12/1/39		547		619
Pool #G06767, 5.00%, 10/1/41		491		544
Pool #G06947, 6.00%, 5/1/40		152		175
Pool #G08189, 7.00%, 3/1/37		26		32
Pool #G08192, 5.50%, 4/1/37		31		35
Pool #G08341, 5.00%, 4/1/39		646		715
Pool #G11776, 4.50%, 9/1/20		1		1
Pool #G12571, 4.00%, 1/1/22		7		7
Pool #G12673, 5.00%, 9/1/21		2		2
Pool #G12837, 4.50%, 4/1/22		5		5

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #G12868, 5.00%, 11/1/22		$24		$26
Pool #G12869, 5.00%, 9/1/22		16		17
Pool #G13136, 4.50%, 5/1/23		28		29
Pool #G13151, 6.00%, 3/1/23		17		17
Pool #G13201, 4.50%, 7/1/23		17		17
Pool #G13433, 5.50%, 1/1/24		24		25
Pool #G14168, 5.50%, 12/1/24		27		28
Pool #G14239, 4.00%, 9/1/26		588		621
Pool #G14554, 4.50%, 7/1/26		44		46
Pool #G14891, 3.00%, 10/1/28		264		278
Pool #G15134, 3.00%, 5/1/29		189		199
Pool #G15468, 3.50%, 12/1/29		372		394
Pool #G16562, 3.50%, 8/1/33		768		815
Pool #G16600, 3.00%, 7/1/33		2,737		2,884
Pool #G16774, 3.50%, 2/1/34		678		714
Pool #G16786, 4.00%, 4/1/34		786		829
Pool #G18220, 6.00%, 11/1/22		4		4
Pool #G18420, 3.00%, 1/1/27		454		475
Pool #G18438, 2.50%, 6/1/27		223		232
Pool #G18442, 3.50%, 8/1/27		364		383
Pool #G18571, 2.50%, 10/1/30		366		380

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #G18601, 3.00%, 5/1/31		$497		$522
Pool #G18626, 2.50%, 1/1/32		2,704		2,808
Pool #G18664, 3.50%, 10/1/32		313		330
Pool #G18681, 3.00%, 3/1/33		1,233		1,295
Pool #G30327, 4.50%, 1/1/27		17		18
Pool #G30835, 3.50%, 12/1/35		274		295
Pool #G31020, 2.50%, 2/1/37		80		84
Pool #G31057, 3.00%, 2/1/38		381		401
Pool #J00991, 4.00%, 1/1/21		2		3
Pool #J02541, 4.00%, 9/1/20		1		1
Pool #J03041, 6.00%, 7/1/21		3		3
Pool #J03736, 5.50%, 11/1/21		6		6
Pool #J05307, 4.50%, 8/1/22		4		4
Pool #J06175, 5.00%, 5/1/21(12)		–		–
Pool #J06465, 6.00%, 11/1/22		1		1
Pool #J06476, 5.50%, 11/1/22		7		8
Pool #J08098, 5.50%, 6/1/23		2		2
Pool #J08202, 5.00%, 7/1/23		8		8
Pool #J08454, 5.00%, 8/1/23		11		12
Pool #J08913, 5.50%, 10/1/23		10		10
Pool #J09148, 5.00%, 12/1/23		28		29

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #J09305, 5.00%, 2/1/24		$34		$36
Pool #J09463, 5.00%, 3/1/24		27		28
Pool #J11136, 4.00%, 11/1/24		25		26
Pool #J12098, 4.50%, 4/1/25		227		241
Pool #J14808, 3.50%, 3/1/26		237		249
Pool #J16932, 3.00%, 10/1/26		221		232
Pool #J17055, 3.00%, 11/1/26		119		125
Pool #J17232, 3.00%, 11/1/26		193		203
Pool #J17932, 3.00%, 3/1/27		297		311
Pool #J20834, 2.50%, 10/1/27		421		438
Pool #J21601, 2.50%, 12/1/27		1,410		1,464
Pool #J22069, 2.50%, 1/1/28		104		109
Pool #J22986, 2.50%, 3/1/28		877		915
Pool #J30435, 3.00%, 1/1/30		469		494
Pool #J32244, 3.00%, 7/1/30		1,631		1,711
Pool #J34252, 3.50%, 4/1/31		93		99
Pool #K90071, 3.00%, 2/1/33		717		758
Pool #K90641, 3.50%, 6/1/33		90		97
Pool #K90791, 3.00%, 7/1/33		311		331
Pool #K91490, 3.50%, 1/1/34		543		576
Pool #K92325, 3.00%, 1/1/35		410		434

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Freddie Mac Gold – 1.3% – continued
Pool #V60268, 3.00%, 9/1/28		$777		$818
Pool #V60886, 2.50%, 8/1/30		220		230
Pool #V60902, 2.50%, 8/1/30		175		183
Pool #V61347, 2.50%, 10/1/31		666		693
				39,095
Government National Mortgage Association – 0.3%
Pool TBA, 4/1/50(13)		7,000		7,387
Government National Mortgage Association I – 0.7%
Pool #510835, 5.50%, 2/15/35		25		28
Pool #553463, 3.50%, 1/15/42		574		618
Pool #597889, 5.50%, 6/15/33		137		150
Pool #614169, 5.00%, 7/15/33		37		41
Pool #616879, 3.50%, 2/15/42		404		439
Pool #617739, 6.00%, 10/15/37		9		11
Pool #634431, 6.00%, 9/15/34		15		17
Pool #641416, 5.50%, 4/15/35		142		157
Pool #646341, 6.00%, 11/15/36		27		30
Pool #648538, 5.00%, 12/15/35		58		63
Pool #651753, 5.50%, 3/15/36		9		10
Pool #670030, 3.00%, 7/15/45		503		532
Pool #675211, 6.50%, 3/15/38		6		7
Pool #675484, 5.50%, 6/15/38		54		61
Pool #676360, 6.50%, 10/15/37		5		6

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association I – 0.7% – continued
Pool #682899, 6.00%, 9/15/40		$173		$197
Pool #687824, 5.50%, 8/15/38		95		108
Pool #687900, 5.00%, 9/15/38		112		123
Pool #687901, 5.00%, 9/15/38		70		78
Pool #692309, 6.00%, 1/15/39		53		60
Pool #697645, 5.50%, 10/15/38		35		40
Pool #698236, 5.00%, 6/15/39		251		279
Pool #698336, 4.50%, 5/15/39		282		312
Pool #699277, 6.00%, 9/15/38		8		9
Pool #700918, 5.50%, 11/15/38		104		118
Pool #700972, 5.50%, 11/15/38		21		24
Pool #701196, 6.00%, 10/15/38		5		6
Pool #703677, 5.50%, 6/15/39		104		115
Pool #704185, 5.50%, 1/15/39		30		34
Pool #704514, 4.50%, 5/15/39		467		523
Pool #704624, 4.50%, 7/15/39		1,388		1,554
Pool #717175, 4.50%, 6/15/39		263		294
Pool #719262, 5.00%, 8/15/40		130		144
Pool #720065, 4.50%, 6/15/39		890		996
Pool #720202, 4.50%, 7/15/39		210		231
Pool #723231, 4.00%, 10/15/39		214		231

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association I – 0.7% – continued
Pool #723339, 5.00%, 9/15/39		$120		$134
Pool #726085, 4.00%, 11/15/24		64		67
Pool #728629, 4.50%, 1/15/40		345		380
Pool #733663, 4.50%, 5/15/40		1,006		1,114
Pool #736768, 3.00%, 11/15/42		903		960
Pool #737286, 4.50%, 5/15/40		356		398
Pool #737416, 3.50%, 9/15/25		59		62
Pool #738134, 3.50%, 4/15/26		122		128
Pool #738247, 4.50%, 4/15/41		154		170
Pool #745215, 4.00%, 7/15/25		55		58
Pool #747643, 4.50%, 8/15/40		499		552
Pool #760874, 3.50%, 2/15/26		111		117
Pool #768800, 4.50%, 6/15/41		64		71
Pool #773939, 4.00%, 11/15/41		451		497
Pool #778957, 3.50%, 3/15/42		528		578
Pool #782131, 5.50%, 12/15/36		41		46
Pool #782150, 5.50%, 4/15/37		47		54
Pool #782259, 5.00%, 2/15/36		94		104
Pool #782272, 5.50%, 2/15/38		84		95
Pool #782498, 6.00%, 12/15/38		42		48
Pool #782565, 5.00%, 2/15/39		977		1,088

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association I – 0.7% – continued
Pool #782584, 5.00%, 3/15/39		$54		$60
Pool #782675, 4.50%, 6/15/24		50		53
Pool #782696, 5.00%, 6/15/39		226		252
Pool #782831, 6.00%, 12/15/39		30		34
Pool #783176, 4.00%, 11/15/40		567		614
Pool #783467, 4.00%, 10/15/41		1,669		1,810
Pool #783740, 2.50%, 12/15/27		181		188
Pool #AA5391, 3.50%, 6/15/42		34		37
Pool #AA6089, 3.00%, 2/15/43		355		382
Pool #AB2761, 3.50%, 8/15/42		134		145
Pool #AB2891, 3.00%, 9/15/42		194		206
Pool #AD8781, 3.00%, 3/15/43		317		340
Pool #AD9016, 3.00%, 4/15/43		360		382
Pool #AL1763, 3.50%, 1/15/45		200		217
				19,087
Government National Mortgage Association II – 6.2%
Pool #3570, 6.00%, 6/20/34		41		47
Pool #3665, 5.50%, 1/20/35		112		126
Pool #3852, 6.00%, 5/20/36		18		21
Pool #3879, 6.00%, 7/20/36		54		62
Pool #3910, 6.00%, 10/20/36		28		32
Pool #3994, 5.00%, 6/20/37		18		21

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #4018, 6.50%, 8/20/37		$67		$78
Pool #4026, 5.00%, 9/20/37		26		29
Pool #4027, 5.50%, 9/20/37		13		15
Pool #4040, 6.50%, 10/20/37		14		16
Pool #4098, 5.50%, 3/20/38		83		93
Pool #4116, 6.50%, 4/20/38		32		38
Pool #4170, 6.00%, 6/20/38		64		73
Pool #4194, 5.50%, 7/20/38		151		170
Pool #4243, 5.00%, 9/20/38		38		42
Pool #4244, 5.50%, 9/20/38		43		48
Pool #4245, 6.00%, 9/20/38		24		27
Pool #4269, 6.50%, 10/20/38		32		39
Pool #4290, 5.50%, 11/20/38		28		31
Pool #4344, 6.00%, 1/20/39		51		58
Pool #4345, 6.50%, 1/20/39		35		40
Pool #4425, 5.50%, 4/20/39		96		109
Pool #4559, 5.00%, 10/20/39		201		222
Pool #4561, 6.00%, 10/20/39		117		133
Pool #4617, 4.50%, 1/20/40		62		69
Pool #4619, 5.50%, 1/20/40		196		218
Pool #4713, 4.50%, 6/20/40		180		198

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #4747, 5.00%, 7/20/40		$157		$174
Pool #4881, 3.50%, 12/20/40		675		721
Pool #4882, 4.00%, 12/20/40		1,575		1,717
Pool #4923, 4.50%, 1/20/41		150		165
Pool #5050, 4.00%, 5/20/26		104		109
Pool #5081, 4.00%, 6/20/41		246		268
Pool #5082, 4.50%, 6/20/41		254		280
Pool #5083, 5.00%, 6/20/41		1,007		1,113
Pool #5114, 4.00%, 7/20/41		987		1,076
Pool #5141, 5.00%, 8/20/41		135		149
Pool #5175, 4.50%, 9/20/41		140		155
Pool #5176, 5.00%, 9/20/41		653		721
Pool #5202, 3.50%, 10/20/41		384		411
Pool #5203, 4.00%, 10/20/41		242		264
Pool #5232, 3.50%, 11/20/41		754		806
Pool #5264, 5.50%, 12/20/41		16		18
Pool #5280, 4.00%, 1/20/42		270		294
Pool #5304, 3.50%, 2/20/42		282		301
Pool #5317, 5.50%, 2/20/42		118		132
Pool #5326, 3.00%, 3/20/27		300		313
Pool #5331, 3.50%, 3/20/42		452		483

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #626951, 3.00%, 6/20/45		$661		$704
Pool #737602, 4.00%, 11/20/40		313		343
Pool #752757, 4.50%, 11/20/40		362		398
Pool #755677, 4.00%, 12/20/40		230		250
Pool #766711, 4.00%, 5/20/42		1,068		1,159
Pool #782433, 6.00%, 10/20/38		92		105
Pool #783976, 3.50%, 4/20/43		3,257		3,483
Pool #784345, 3.50%, 7/20/47		826		908
Pool #AA5970, 3.00%, 1/20/43		1,050		1,121
Pool #AA6054, 3.00%, 2/20/43		1,561		1,677
Pool #AA6149, 3.00%, 3/20/43		1,045		1,116
Pool #AA6160, 3.50%, 3/20/43		384		413
Pool #AA6243, 3.50%, 4/20/43		146		157
Pool #AB9443, 3.50%, 11/20/42		555		591
Pool #AD1755, 3.50%, 2/20/43		662		711
Pool #AD8825, 3.50%, 3/20/43		385		414
Pool #AF5097, 4.00%, 8/20/43		1,063		1,154
Pool #AJ0645, 3.50%, 7/20/44		320		343
Pool #AJ0789, 3.50%, 8/20/45		2,795		3,005
Pool #AJ3643, 4.00%, 10/20/44		753		817
Pool #AK6867, 3.50%, 1/20/45		1,993		2,143

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #AO7525, 3.50%, 8/20/45		$1,806		$1,943
Pool #AO7682, 4.00%, 8/20/45		753		814
Pool #BB6965, 3.50%, 7/20/47		441		475
Pool #BE9902, 4.50%, 6/20/48		909		979
Pool #MA0006, 2.50%, 4/20/27		117		121
Pool #MA0022, 3.50%, 4/20/42		455		487
Pool #MA0088, 3.50%, 5/20/42		1,014		1,085
Pool #MA0220, 3.50%, 7/20/42		529		566
Pool #MA0318, 3.50%, 8/20/42		986		1,055
Pool #MA0321, 5.00%, 8/20/42		231		256
Pool #MA0391, 3.00%, 9/20/42		2,129		2,285
Pool #MA0392, 3.50%, 9/20/42		429		459
Pool #MA0698, 3.00%, 1/20/43		507		544
Pool #MA0826, 3.00%, 3/20/28		136		142
Pool #MA0850, 2.50%, 3/20/43		186		196
Pool #MA0851, 3.00%, 3/20/43		742		797
Pool #MA0852, 3.50%, 3/20/43		861		921
Pool #MA0933, 3.00%, 4/20/43		907		974
Pool #MA0934, 3.50%, 4/20/43		290		311
Pool #MA1011, 3.00%, 5/20/43		867		931
Pool #MA1012, 3.50%, 5/20/43		774		828

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #MA1064, 2.50%, 6/20/28		$441		$458
Pool #MA1089, 3.00%, 6/20/43		929		998
Pool #MA1224, 3.50%, 8/20/43		671		717
Pool #MA1285, 3.50%, 9/20/43		389		416
Pool #MA1839, 4.00%, 4/20/44		216		236
Pool #MA1920, 4.00%, 5/20/44		232		252
Pool #MA2224, 4.00%, 9/20/44		1,247		1,359
Pool #MA2444, 3.00%, 12/20/44		188		201
Pool #MA2521, 3.50%, 1/20/45		731		777
Pool #MA2522, 4.00%, 1/20/45		261		284
Pool #MA2677, 3.00%, 3/20/45		412		442
Pool #MA2753, 3.00%, 4/20/45		1,079		1,158
Pool #MA2754, 3.50%, 4/20/45		419		445
Pool #MA2891, 3.00%, 6/20/45		1,181		1,268
Pool #MA2892, 3.50%, 6/20/45		380		404
Pool #MA2935, 3.00%, 7/20/30		597		624
Pool #MA2960, 3.00%, 7/20/45		921		988
Pool #MA3034, 3.50%, 8/20/45		1,099		1,168
Pool #MA3104, 3.00%, 9/20/45		1,233		1,324
Pool #MA3106, 4.00%, 9/20/45		965		1,051
Pool #MA3172, 3.00%, 10/20/45		241		259

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 75 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #MA3173, 3.50%, 10/20/45		$4,657		$4,974
Pool #MA3174, 4.00%, 10/20/45		519		567
Pool #MA3244, 3.50%, 11/20/45		844		898
Pool #MA3245, 4.00%, 11/20/45		1,891		2,061
Pool #MA3310, 3.50%, 12/20/45		1,805		1,920
Pool #MA3378, 4.50%, 1/20/46		1,008		1,100
Pool #MA3521, 3.50%, 3/20/46		1,639		1,742
Pool #MA3522, 4.00%, 3/20/46		436		475
Pool #MA3596, 3.00%, 4/20/46		1,033		1,105
Pool #MA3597, 3.50%, 4/20/46		1,649		1,756
Pool #MA3662, 3.00%, 5/20/46		1,670		1,792
Pool #MA3663, 3.50%, 5/20/46		1,006		1,070
Pool #MA3664, 4.00%, 5/20/46		422		456
Pool #MA3735, 3.00%, 6/20/46		2,013		2,157
Pool #MA3736, 3.50%, 6/20/46		1,327		1,411
Pool #MA3777, 2.50%, 7/20/31		153		158
Pool #MA3778, 3.00%, 7/20/31		193		201
Pool #MA3802, 3.00%, 7/20/46		2,370		2,540
Pool #MA3803, 3.50%, 7/20/46		1,972		2,108
Pool #MA3873, 3.00%, 8/20/46		910		975
Pool #MA3874, 3.50%, 8/20/46		907		965

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #MA3912, 2.50%, 9/20/31		$217		$225
Pool #MA3936, 3.00%, 9/20/46		2,068		2,214
Pool #MA3937, 3.50%, 9/20/46		2,740		2,931
Pool #MA4002, 2.50%, 10/20/46		136		143
Pool #MA4003, 3.00%, 10/20/46		1,363		1,458
Pool #MA4067, 2.50%, 11/20/46		1,038		1,092
Pool #MA4068, 3.00%, 11/20/46		6,471		6,916
Pool #MA4101, 2.50%, 12/20/31		115		119
Pool #MA4125, 2.50%, 12/20/46		70		74
Pool #MA4196, 3.50%, 1/20/47		1,374		1,448
Pool #MA4322, 4.00%, 3/20/47		627		673
Pool #MA4382, 3.50%, 4/20/47		492		518
Pool #MA4509, 3.00%, 6/20/47		2,201		2,344
Pool #MA4512, 4.50%, 6/20/47		858		927
Pool #MA4624, 3.00%, 8/20/32		180		188
Pool #MA4652, 3.50%, 8/20/47		2,111		2,243
Pool #MA4718, 3.00%, 9/20/47		5,250		5,558
Pool #MA4719, 3.50%, 9/20/47		3,445		3,677
Pool #MA4778, 3.50%, 10/20/47		2,144		2,277
Pool #MA4838, 4.00%, 11/20/47		298		320
Pool #MA4900, 3.50%, 12/20/47		2,135		2,255

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #MA4901, 4.00%, 12/20/47		$4,149		$4,420
Pool #MA4962, 3.50%, 1/20/48		2,064		2,190
Pool #MA4963, 4.00%, 1/20/48		772		831
Pool #MA5077, 3.50%, 3/20/48		2,358		2,501
Pool #MA5137, 4.00%, 4/20/48		406		436
Pool #MA5191, 3.50%, 5/20/48		1,365		1,448
Pool #MA5264, 4.00%, 6/20/48		948		1,013
Pool #MA5265, 4.50%, 6/20/48		1,039		1,112
Pool #MA5266, 5.00%, 6/20/48		1,203		1,293
Pool #MA5330, 4.00%, 7/20/48		1,248		1,333
Pool #MA5331, 4.50%, 7/20/48		2,088		2,239
Pool #MA5398, 4.00%, 8/20/48		858		920
Pool #MA5399, 4.50%, 8/20/48		968		1,027
Pool #MA5466, 4.00%, 9/20/48		2,062		2,195
Pool #MA5467, 4.50%, 9/20/48		1,163		1,242
Pool #MA5528, 4.00%, 10/20/48		1,206		1,289
Pool #MA5529, 4.50%, 10/20/48		215		230
Pool #MA5564, 3.50%, 11/20/33		519		544
Pool #MA5595, 4.00%, 11/20/48		420		451
Pool #MA5653, 5.00%, 12/20/48		1,718		1,840
Pool #MA5818, 4.50%, 3/20/49		1,283		1,364

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 28.3% (11) – continued
Government National Mortgage Association II – 6.2% – continued
Pool #MA5931, 4.00%, 5/20/49		$2,838		$3,012
Pool #MA5985, 3.50%, 6/20/49		2,708		2,856
Pool #MA6040, 4.00%, 7/20/49		3,688		3,913
Pool #MA6217, 2.50%, 10/20/49		789		825
Pool #MA6337, 2.50%, 12/20/49		596		623
Pool #MA6338, 3.00%, 12/20/49		7,148		7,569
Pool #MA6409, 3.00%, 1/20/50		1,990		2,107
				182,589
Tennessee Valley Authority – 0.1%
5.25%, 9/15/39		1,650		2,524
Uniform Mortgage Backed Securities – 1.1%
Pool TBA, 4/1/50(13)		32,000		33,563
Total U.S. Government Agencies
(Cost $796,566)				830,060
U.S. GOVERNMENT OBLIGATIONS – 41.6%
U.S. Treasury Bonds – 9.2%
6.25%, 8/15/23		1,550		1,861
7.63%, 2/15/25		165		223
6.13%, 11/15/27		5,000		7,085
4.50%, 2/15/36		475		728
4.38%, 2/15/38		1,000		1,560
4.50%, 5/15/38		1,700		2,692
3.50%, 2/15/39		2,500		3,562
4.25%, 5/15/39		2,000		3,111
4.50%, 8/15/39		2,000		3,205
4.38%, 11/15/39		2,000		3,168
4.63%, 2/15/40		3,000		4,906
4.38%, 5/15/40		1,000		1,590
3.75%, 8/15/41		4,000		5,945
3.13%, 2/15/42		2,000		2,735
2.75%, 8/15/42		3,000		3,873
2.75%, 11/15/42		4,000		5,174
3.63%, 2/15/44		5,000		7,406
3.38%, 5/15/44		6,000		8,583

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 77 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 41.6% – continued
U.S. Treasury Bonds – 9.2% continued
3.13%, 8/15/44		$5,500		$7,591
3.00%, 11/15/44		7,000		9,490
2.50%, 2/15/45		6,000		7,502
3.00%, 5/15/45		6,000		8,173
3.00%, 11/15/45		15,000		20,568
2.50%, 5/15/46		8,000		10,093
2.25%, 8/15/46		5,000		6,036
2.88%, 11/15/46		5,000		6,765
3.00%, 5/15/47		8,000		11,089
2.75%, 8/15/47		7,000		9,274
2.75%, 11/15/47		8,000		10,612
3.00%, 2/15/48		8,000		11,106
3.13%, 5/15/48		5,000		7,084
3.00%, 8/15/48		16,000		22,225
3.00%, 2/15/49		15,000		20,899
2.88%, 5/15/49		13,500		18,421
2.25%, 8/15/49		5,000		6,091
2.38%, 11/15/49		7,070		8,808
				269,234
U.S. Treasury Notes – 32.4%
2.38%, 3/15/21		20,000		20,438
2.38%, 4/15/21		5,000		5,116
1.38%, 5/31/21		12,000		12,179
1.13%, 6/30/21		10,000		10,127
1.63%, 6/30/21		3,000		3,056
2.13%, 6/30/21		1,740		1,784
2.13%, 8/15/21		36,000		36,970
2.88%, 10/15/21		20,000		20,821
1.50%, 10/31/21		2,000		2,041
2.00%, 11/15/21		20,000		20,590
1.63%, 12/31/21		25,000		25,615
1.88%, 1/31/22		25,000		25,759
2.50%, 2/15/22		25,000		26,067
1.13%, 2/28/22		25,000		25,415
1.88%, 3/31/22		10,000		10,331
1.75%, 6/30/22		100,000		103,438
1.63%, 8/15/22		5,000		5,163
1.75%, 9/30/22		10,000		10,372
1.88%, 10/31/22		10,000		10,414
2.00%, 11/30/22		10,000		10,457
2.13%, 12/31/22		5,000		5,254
1.50%, 2/28/23		5,000		5,178
2.63%, 2/28/23		20,000		21,360

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 41.6% – continued
U.S. Treasury Notes – 32.4% continued
1.63%, 4/30/23		$10,000		$10,408
2.75%, 4/30/23		15,000		16,133
1.63%, 5/31/23		1,000		1,042
2.75%, 5/31/23		23,000		24,778
2.63%, 6/30/23		5,000		5,375
2.75%, 8/31/23		25,000		27,065
2.88%, 10/31/23		10,000		10,906
2.75%, 11/15/23		5,000		5,436
2.63%, 12/31/23		5,000		5,430
2.38%, 2/29/24		20,000		21,591
2.50%, 5/15/24		20,000		21,761
2.00%, 5/31/24		5,000		5,342
2.00%, 6/30/24		25,000		26,730
2.38%, 8/15/24		9,000		9,786
1.50%, 9/30/24		5,000		5,254
1.50%, 10/31/24		7,000		7,362
2.25%, 11/15/24		10,000		10,859
1.50%, 11/30/24		15,000		15,795
1.38%, 1/31/25		10,000		10,476
2.75%, 2/28/25		15,000		16,721
2.88%, 4/30/25		2,500		2,811
2.13%, 5/15/25		10,000		10,865
2.75%, 6/30/25		5,000		5,604
3.00%, 9/30/25		20,000		22,768
2.63%, 12/31/25		10,000		11,222
1.63%, 2/15/26		20,000		21,299
1.63%, 5/15/26		10,000		10,672
1.50%, 8/15/26		10,000		10,616
1.63%, 9/30/26		10,000		10,703
2.00%, 11/15/26		10,000		10,952
1.75%, 12/31/26		10,000		10,800
2.25%, 2/15/27		10,000		11,152
1.13%, 2/28/27		10,000		10,390
2.25%, 8/15/27		15,000		16,830
2.25%, 11/15/27		15,000		16,866
2.75%, 2/15/28		5,000		5,829
2.88%, 5/15/28		5,000		5,895
2.88%, 8/15/28		15,000		17,738
3.13%, 11/15/28		10,000		12,072
2.63%, 2/15/29		15,000		17,532

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 78 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 41.6% – continued
U.S. Treasury Notes – 32.4% – continued
2.38%, 5/15/29		$15,000		$17,255
1.75%, 11/15/29		15,000		16,479
				952,545
Total U.S. Government Obligations
(Cost $1,098,192)				1,221,779
MUNICIPAL BONDS – 0.6%
Arizona – 0.0%
Salt River Project Agricultural Improvement & Power District Electric Revenue Bonds, Build America Bonds, 4.84%, 1/1/41		110		147
California – 0.2%
Bay Area Toll Authority Toll Bridge Subordinate Revenue Bonds, Series S1, Build America Bonds, 7.04%, 4/1/50		150		239
Bay Area Toll Authority Toll Bridge Taxable Revenue Bonds, Series S3, Build America Bonds, 6.91%, 10/1/50		150		240
California State G.O. Unlimited Bonds, Build America Bonds, 7.70%, 11/1/30		135		139
7.30%, 10/1/39		920		1,414
7.63%, 3/1/40		405		653
7.60%, 11/1/40		400		666
California State Various Purpose Taxable G.O. Unlimited Bonds, Build America Bonds, 7.55%, 4/1/39		585		949
East Bay Municipal Utility District Water System Subordinated Revenue Bonds, Build America Bonds, 5.87%, 6/1/40		300		422
Los Angeles Community College District G.O. Unlimited Bonds, Build America Bonds, 6.75%, 8/1/49		150		244
Los Angeles Department of Airports Direct Pay Revenue Bonds, Build America Bonds, 6.58%, 5/15/39		250		327

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
California – 0.2% – continued
Los Angeles Unified School District G.O. Unlimited Bonds, Series RY, Build America Bonds, 6.76%, 7/1/34		$290		$400
Los Angeles Unified School District Taxable G.O. Unlimited Bonds, Series KR, Build America Bonds, 5.75%, 7/1/34		335		430
Metropolitan Water District of Southern California Revenue Bonds, Issuer Subseries A, Build America Bonds, 6.95%, 7/1/40		100		101
San Diego County Water Authority Financing Agency Revenue Bonds, Series B, Build America Bonds, 6.14%, 5/1/49		100		138
San Francisco City & County Public Utilities Commission Water Revenue Bonds, Build America Bonds, 6.95%, 11/1/50		75		106
University of California Revenue Bonds, Build America Bonds, 5.95%, 5/15/45 150				202
				6,670
Connecticut – 0.0%
Connecticut State Taxable G.O. Unlimited Bonds, Series A, 5.85%, 3/15/32		300		368
District of Columbia – 0.0%
District of Columbia Income Tax Secured Revenue Bonds, Series E, Build America Bonds, 5.59%, 12/1/34		30		37
Georgia – 0.0%
Municipal Electric Authority of Georgia Revenue Bonds, Build America Bonds, 6.66%, 4/1/57		100		134
Municipal Electric Authority of Georgia Taxable Revenue Bonds, Build America Bonds, 6.64%, 4/1/57		69		90
7.06%, 4/1/57		298		392
				616

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 79 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
Illinois – 0.1%
Chicago Transit Authority Sales & Transfer Tax Receipts Pension Funding Taxable Revenue Bonds, Series A, 6.90%, 12/1/40		$300		$403
Chicago Transit Authority Sales Tax Receipts Revenue Bonds, Series B, Build America Bonds, 6.20%, 12/1/40		140		168
Illinois State Taxable Pension G.O. Unlimited Bonds, 5.10%, 6/1/33		705		700
				1,271
Massachusetts – 0.0%
Massachusetts State G.O. Limited Bonds, Series D, Build America Bonds, 4.50%, 8/1/31		250		295
Massachusetts State School Building Authority Sales TRB, Build America Bonds, 5.72%, 8/15/39		100		135
				430
Mississippi – 0.0%
Mississippi State G.O. Unlimited Bonds, Series F, Build America Bonds, 5.25%, 11/1/34		100		120
Nevada – 0.0%
Clark County Airport System Taxable Revenue Bonds, Series C, Build America Bonds, 6.82%, 7/1/45		200		265
New Jersey – 0.0%
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Series B, Build America Bonds, 6.56%, 12/15/40		200		267
New Jersey State Transportation Trust Fund Authority Taxable Revenue Bonds, Series C, Build America Bonds, 6.10%, 12/15/28		300		308
New Jersey State Turnpike Authority Taxable Revenue Bonds, Build America Bonds, 7.41%, 1/1/40		125		183

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
New Jersey – 0.0% – continued
Rutgers State University Revenue Bonds, Build America Bonds, 5.67%, 5/1/40		$145		$192
				950
New York – 0.1%
Metropolitan Transportation Authority Dedicated Tax Fund Taxable Revenue Bonds, Build America Bonds, 7.34%, 11/15/39		75		107
Metropolitan Transportation Authority Taxable Revenue Bonds, Build America Bonds, 6.69%, 11/15/40		100		130
6.81%, 11/15/40		60		78
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Build America Bonds, 5.75%, 6/15/41		200		287
5.72%, 6/15/42		250		361
New York City Transitional Finance Authority Future Tax Secured Taxable Revenue Bonds, Build America Bonds, 5.77%, 8/1/36		300		381
New York G.O. Unlimited Bonds, Build America Bonds, 5.52%, 10/1/37		100		120
5.85%, 6/1/40		85		114
New York State Dormitory Authority Personal Income TRB, Build America Bonds, 5.60%, 3/15/40		250		303
New York State Dormitory Authority State Personal Income Tax Build America Revenue Bonds, Unrefunded Balance, 5.63%, 3/15/39		75		89
New York State Urban Development Corp. Taxable Revenue Bonds, Build America Bonds, 5.77%, 3/15/39		100		109

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
New York – 0.1% – continued
New York Taxable G.O. Unlimited Bonds, Series F-1, Build America Bonds, 6.65%, 12/1/31		$225		$228
Port Authority of New York & New Jersey Consolidated 164th Taxable Revenue Bonds, 5.65%, 11/1/40		350		471
Port Authority of New York & New Jersey Consolidated 165th Taxable Revenue Bonds, 5.65%, 11/1/40		200		269
Port Authority of New York & New Jersey Consolidated 168th Revenue Bonds, 4.93%, 10/1/51		250		310
				3,357
Ohio – 0.1%
American Municipal Power-Ohio, Inc. Revenue Bonds, Subseries B, Build America Bonds, 6.45%, 2/15/44		200		280
American Municipal Power-Ohio, Inc. Taxable Revenue Bonds, Series B, Build America Bonds, Combined Hydroelectric Projects, 8.08%, 2/15/50		300		506
Northeast Regional Sewer District Improvement Taxable Revenue Bonds, Build America Bonds, 6.04%, 11/15/40		145		149
Ohio State University Revenue Bonds, Series C, Build America Bonds, 4.91%, 6/1/40		190		226
Ohio State University Taxable Revenue Bonds, Series A, 4.80%, 6/1/11(4)		200		241
Ohio State Water Quality Development Authority Pollution Control Taxable Revenue Bonds, Series B-2, Loan Fund, 4.88%, 12/1/34		90		101
				1,503

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
Oregon – 0.0%
Oregon State Department of Transportation Highway User Taxable Revenue Bonds, Series A, Subordinate Lien, Build America Bonds, 5.83%, 11/15/34		$200		$275
Pennsylvania – 0.0%
State Public School Building Authority Taxable Revenue Bonds, Series A, Qualified School Construction Bonds, 5.00%, 9/15/27		200		232
Tennessee – 0.0%
Metropolitan Government of Nashville & Davidson County Convention Center Authority Subordinate Taxable Revenue Bonds, Series B, Build America Bonds, 6.73%, 7/1/43		100		145
Texas – 0.1%
Dallas Area Rapid Transit Sales TRB, Build America Bonds, 5.02%, 12/1/48		180		241
Dallas Independent School District Taxable G.O. Unlimited Bonds, Series C, Build America Bonds (PSF, Gtd.), 6.45%, 2/15/35		200		201
Houston Pension Taxable G.O. Limited Refunding Bonds, Series A, 6.29%, 3/1/32		260		322
North Texas Tollway Authority Revenue Bonds, Build America Bonds, 6.72%, 1/1/49		125		198
San Antonio Electric & Gas Revenue Bonds, Build America Bonds, 5.99%, 2/1/39		200		280
Texas State Taxable G.O. Unlimited Bonds, Build America Bonds, 5.52%, 4/1/39		200		275
Texas State Transportation Commission State Highway Fund Taxable Revenue Bonds, Series B, First Tier, 5.18%, 4/1/30		300		361

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 81 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

BOND INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 0.6% – continued
Texas – 0.1% – continued
University of Texas Revenue Bonds, Series C, Build America Bonds, 4.79%, 8/15/46		$100		$116
				1,994
Utah – 0.0%
Utah State G.O. Unlimited Bonds, Series B, Build America Bonds, 3.54%, 7/1/25		95		100
Washington – 0.0%
Central Puget Sound Regional Transportation Authority Sales & Use TRB, Build America Bonds, 5.49%, 11/1/39		80		92
Washington State Convention Center Public Facilities District Revenue Bonds, Build America Bonds, 6.79%, 7/1/40		100		122
Washington State G.O. Unlimited Bonds, Series F, Build America Bonds, 5.14%, 8/1/40		100		137
				351
Total Municipal Bonds
(Cost $14,516)				18,831
	NUMBER OF SHARES		VALUE (000S)
OTHER – 0.0%
Escrow Lehman Brothers Holdings Capital Trust VII (14) (15)		50,000		$–
Total Other
(Cost $39)				–

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 2.2%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40%(16) (17)		64,482,831		$64,483
Total Investment Companies
(Cost $64,483)				64,483
Total Investments – 101.0%
(Cost $2,781,358)				2,965,523
Liabilities less Other Assets – (1.0%)				(29,451	)
NET ASSETS – 100.0%				$2,936,072

(1) Variable or floating rate security, the interest rate of which adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets.

(2) Variable rate security. Rate as of March 31, 2020 is disclosed.

(3) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(4) Century bond maturing in 2111.

(5) Century bond maturing in 2114.

(6) Century bond maturing in 2116.

(7) Century bond maturing in 2112.

(8) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(9) Century bond maturing in 2118.

(10) Zero coupon bond.

(11) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(12) Principal Amount and Value rounds to less than one thousand.

(13) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(14) Issuer has defaulted on terms of debt obligation.

(15) Level 3 asset that is worthless, bankrupt or has been delisted.

(16) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(17) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1Y - 1 Year

3M - 3 Month

Fannie Mae - Federal National Mortgage Association

Freddie Mac - Federal Home Loan Mortgage Corporation

G.O. - General Obligation

Gtd. - Guaranteed

ICE - Intercontinental Exchange

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 82 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

LIBOR - London Interbank Offered Rate

PLC - Public Limited Company

PSF - Permanent School Fund

S&P - Standard & Poor’s

TBA - To be announced

TRB - Tax Revenue Bonds

USD - United States Dollar

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		48.0%
U.S. Agency		19.5
AAA		5.5
AA		2.9
A		10.5
BBB		11.4
Cash Equivalents		2.2
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000S)		LEVEL 2 (000S)		LEVEL 3 (000S)		TOTAL (000S)
Asset-Backed Securities (1)		$–		$51,770		$–		$51,770
Corporate Bonds (1)		–		583,008		–		583,008
Foreign Issuer Bonds (1)		–		195,592		–		195,592
U.S. Government Agencies (1)		–		830,060		–		830,060
U.S. Government Obligations (1)		–		1,221,779		–		1,221,779
Municipal Bonds (1)		–		18,831		–		18,831
Investment Companies		64,483		–		–		64,483
Total Investments		$64,483		$2,901,040		$–		$2,965,523

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 83 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

U.S. TREASURY INDEX FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5%
U.S. Treasury Bonds – 21.0%
6.00%, 2/15/26		$10		$13
6.50%, 11/15/26		75		104
6.38%, 8/15/27		65		92
6.13%, 11/15/27		75		106
5.50%, 8/15/28		50		70
5.25%, 11/15/28		100		139
6.13%, 8/15/29		50		75
6.25%, 5/15/30		75		116
5.38%, 2/15/31		100		149
4.50%, 2/15/36		140		215
4.75%, 2/15/37		25		40
5.00%, 5/15/37		50		82
4.38%, 2/15/38		50		78
4.50%, 5/15/38		95		150
3.50%, 2/15/39		100		142
4.25%, 5/15/39		100		156
4.50%, 8/15/39		100		160
4.38%, 11/15/39		200		317
4.63%, 2/15/40		185		303
4.38%, 5/15/40		190		302
3.88%, 8/15/40		150		225
4.25%, 11/15/40		175		275
4.75%, 2/15/41		145		242
4.38%, 5/15/41		140		225
3.75%, 8/15/41		150		223
3.13%, 11/15/41		145		198
3.13%, 2/15/42		200		274
3.00%, 5/15/42		155		208
2.75%, 8/15/42		230		297
2.75%, 11/15/42		315		407
3.13%, 2/15/43		205		281
2.88%, 5/15/43		375		495
3.63%, 8/15/43		350		517
3.75%, 11/15/43		430		647
3.63%, 2/15/44		400		592
3.38%, 5/15/44		300		429
3.13%, 8/15/44		425		587
3.00%, 11/15/44		455		617
2.50%, 2/15/45		450		563
3.00%, 5/15/45		400		545
2.88%, 8/15/45		425		569
3.00%, 11/15/45		380		521
2.50%, 2/15/46		400		504

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5% – continued
U.S. Treasury Bonds – 21.0% – continued
2.50%, 5/15/46		$400		$505
2.25%, 8/15/46		375		453
2.88%, 11/15/46		300		406
3.00%, 2/15/47		400		554
3.00%, 5/15/47		350		485
2.75%, 8/15/47		350		464
2.75%, 11/15/47		350		464
3.00%, 2/15/48		390		541
3.13%, 5/15/48		425		602
3.00%, 8/15/48		400		556
3.38%, 11/15/48		450		668
3.00%, 2/15/49		550		766
2.88%, 5/15/49		450		614
2.25%, 8/15/49		450		548
2.38%, 11/15/49		475		592
2.00%, 2/15/50		1,000		1,159
				21,627
U.S. Treasury Notes – 77.5%
1.25%, 3/31/21		200		202
2.25%, 3/31/21		500		511
2.38%, 4/15/21		250		256
1.38%, 4/30/21		300		304
2.25%, 4/30/21		725		742
2.63%, 5/15/21		350		360
3.13%, 5/15/21		275		284
1.38%, 5/31/21		400		406
2.00%, 5/31/21		250		255
2.13%, 5/31/21		250		256
2.63%, 6/15/21		300		309
1.13%, 6/30/21		350		354
1.63%, 6/30/21		250		255
2.13%, 6/30/21		350		359
2.63%, 7/15/21		300		310
1.13%, 7/31/21		300		304
1.75%, 7/31/21		300		306
2.25%, 7/31/21		325		334
2.13%, 8/15/21		400		411
2.75%, 8/15/21		350		362
1.13%, 8/31/21		300		304
1.50%, 8/31/21		350		356
2.00%, 8/31/21		250		256
2.75%, 9/15/21		350		363
1.13%, 9/30/21		350		355

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 84 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5% – continued
U.S. Treasury Notes – 77.5% – continued
1.50%, 9/30/21		$400		$408
2.13%, 9/30/21		250		257
2.88%, 10/15/21		350		364
1.25%, 10/31/21		350		356
1.50%, 10/31/21		250		255
2.00%, 10/31/21		250		257
2.00%, 11/15/21		375		386
2.88%, 11/15/21		250		261
1.50%, 11/30/21		400		409
1.75%, 11/30/21		250		256
1.88%, 11/30/21		250		257
2.63%, 12/15/21		350		364
1.63%, 12/31/21		600		615
2.00%, 12/31/21		300		309
2.13%, 12/31/21		225		232
2.50%, 1/15/22		250		260
1.38%, 1/31/22		1,000		1,021
1.50%, 1/31/22		250		256
1.88%, 1/31/22		300		309
2.00%, 2/15/22		325		336
2.50%, 2/15/22		275		287
1.13%, 2/28/22		2,400		2,440
1.75%, 2/28/22		250		257
1.88%, 2/28/22		150		155
2.38%, 3/15/22		300		313
0.38%, 3/31/22		400		401
1.75%, 3/31/22		260		268
1.88%, 3/31/22		300		310
2.25%, 4/15/22		380		396
1.75%, 4/30/22		300		310
1.88%, 4/30/22		250		259
1.75%, 5/15/22		275		284
2.13%, 5/15/22		250		260
1.75%, 5/31/22		250		258
1.88%, 5/31/22		300		311
1.75%, 6/15/22		400		414
1.75%, 6/30/22		250		259
2.13%, 6/30/22		200		209
1.75%, 7/15/22		250		259
1.88%, 7/31/22		400		415
2.00%, 7/31/22		200		208
1.50%, 8/15/22		200		206
1.63%, 8/15/22		250		258

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5% – continued
U.S. Treasury Notes – 77.5% – continued
1.63%, 8/31/22		$350		$361
1.88%, 8/31/22		275		286
1.50%, 9/15/22		200		206
1.75%, 9/30/22		295		306
1.88%, 9/30/22		300		312
1.38%, 10/15/22		350		360
1.88%, 10/31/22		225		234
2.00%, 10/31/22		300		313
1.63%, 11/15/22		755		782
2.00%, 11/30/22		450		471
1.63%, 12/15/22		600		622
2.13%, 12/31/22		525		552
1.50%, 1/15/23		650		672
1.75%, 1/31/23		275		286
2.38%, 1/31/23		250		265
1.38%, 2/15/23		2,250		2,321
2.00%, 2/15/23		475		498
1.50%, 2/28/23		250		259
2.63%, 2/28/23		350		374
0.50%, 3/15/23		400		403
1.50%, 3/31/23		200		207
2.50%, 3/31/23		350		373
1.63%, 4/30/23		175		182
2.75%, 4/30/23		350		376
1.75%, 5/15/23		525		549
1.63%, 5/31/23		200		208
2.75%, 5/31/23		350		377
1.38%, 6/30/23		250		259
2.63%, 6/30/23		375		403
1.25%, 7/31/23		350		361
2.75%, 7/31/23		375		405
2.50%, 8/15/23		300		322
1.38%, 8/31/23		250		259
2.75%, 8/31/23		350		379
1.38%, 9/30/23		250		259
2.88%, 9/30/23		380		414
1.63%, 10/31/23		300		314
2.88%, 10/31/23		350		382
2.75%, 11/15/23		350		381
2.13%, 11/30/23		300		320
2.88%, 11/30/23		400		437
2.25%, 12/31/23		250		268
2.63%, 12/31/23		400		434

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 85 FIXED INCOME INDEX FUNDS

SCHEDULE OF INVESTMENTS

U.S. TREASURY INDEX FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5% – continued
U.S. Treasury Notes – 77.5% – continued
2.25%, 1/31/24		$300		$322
2.50%, 1/31/24		250		271
2.75%, 2/15/24		550		601
2.13%, 2/29/24		300		321
2.38%, 2/29/24		300		324
2.13%, 3/31/24		600		643
2.00%, 4/30/24		250		267
2.25%, 4/30/24		300		323
2.50%, 5/15/24		575		626
2.00%, 5/31/24		550		588
1.75%, 6/30/24		425		450
2.00%, 6/30/24		300		321
1.75%, 7/31/24		250		265
2.13%, 7/31/24		250		269
2.38%, 8/15/24		525		571
1.25%, 8/31/24		400		416
1.88%, 8/31/24		250		266
1.50%, 9/30/24		400		420
2.13%, 9/30/24		300		324
1.50%, 10/31/24		450		473
2.25%, 10/31/24		300		326
2.25%, 11/15/24		550		597
1.50%, 11/30/24		300		316
2.13%, 11/30/24		200		216
1.75%, 12/31/24		400		426
2.25%, 12/31/24		250		272
1.38%, 1/31/25		1,300		1,362
2.50%, 1/31/25		200		220
2.00%, 2/15/25		625		673
1.13%, 2/28/25		1,650		1,710
2.75%, 2/28/25		215		240
0.50%, 3/31/25		250		252
2.63%, 3/31/25		300		333
2.88%, 4/30/25		300		337
2.13%, 5/15/25		550		598
2.88%, 5/31/25		325		366
2.75%, 6/30/25		250		280
2.88%, 7/31/25		225		254
2.00%, 8/15/25		550		595
2.75%, 8/31/25		300		337
3.00%, 9/30/25		300		341
3.00%, 10/31/25		200		228
2.25%, 11/15/25		645		709

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 98.5% – continued
U.S. Treasury Notes – 77.5% – continued
2.88%, 11/30/25		$300		$340
2.63%, 12/31/25		300		337
2.63%, 1/31/26		150		168
1.63%, 2/15/26		450		479
2.50%, 2/28/26		350		391
2.25%, 3/31/26		350		386
2.38%, 4/30/26		225		250
1.63%, 5/15/26		650		694
2.13%, 5/31/26		175		192
1.88%, 6/30/26		325		352
1.88%, 7/31/26		300		325
1.50%, 8/15/26		520		552
1.38%, 8/31/26		350		369
1.63%, 9/30/26		250		268
1.63%, 10/31/26		300		321
2.00%, 11/15/26		500		548
1.63%, 11/30/26		350		375
1.75%, 12/31/26		300		324
1.50%, 1/31/27		925		984
2.25%, 2/15/27		510		569
1.13%, 2/28/27		1,300		1,351
0.63%, 3/31/27		250		251
2.38%, 5/15/27		500		564
2.25%, 8/15/27		500		561
2.25%, 11/15/27		550		618
2.75%, 2/15/28		550		641
2.88%, 5/15/28		625		737
2.88%, 8/15/28		590		698
3.13%, 11/15/28		675		815
2.63%, 2/15/29		600		701
2.38%, 5/15/29		600		690
1.63%, 8/15/29		700		760
1.75%, 11/15/29		925		1,016
1.50%, 2/15/30		925		996
				79,843
Total U.S. Government Obligations
(Cost $92,072)				101,470

See Notes to the Financial Statements.

FIXED INCOME INDEX FUNDS 86 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 1.4%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40%(1) (2)		1,481,143		$1,481
Total Investment Companies
(Cost $1,481)				1,481
Total Investments – 99.9%
(Cost $93,553)				102,951
Other Assets less Liabilities – 0.1%				94
NET ASSETS – 100.0%				$103,045

(1) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(2) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

S&P - Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
U.S. Treasury		98.6%
Cash Equivalents		1.4
Total		100.0%

* Credit quality ratings are based on the conservative average of Moody’s, S&P Global and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000S)		LEVEL 2 (000S)		LEVEL 3 (000S)		TOTAL (000S)
U.S. Government Obligations (1)		$–		$101,470		$–		$101,470
Investment Companies		1,481		–		–		1,481
Total Investments		$1,481		$101,470		$–		$102,951

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

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NOTES TO THE FINANCIAL STATEMENTS

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Bond Index and U.S. Treasury Index Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES AND DERIVATIVE CONTRACTS

Securities are valued at their fair value. Equity securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, prepayment speeds, credit risks, cash flows, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange-traded funds, are valued at their NAV. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by a Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) FUTURES CONTRACTS Certain Funds invest in long or short exchange-traded futures contracts for hedging purposes, to increase total return (i.e., for speculative purposes) or to maintain liquidity to meet potential shareholder redemptions, to invest cash balances or dividends or to minimize trading costs. When used as a hedge, a Fund may sell a futures contract in order to offset a decrease in the fair value of its portfolio securities that might otherwise result from a market decline. A Fund may do so either to hedge the value of its portfolio securities as a whole, or to protect against declines occurring prior to sales of securities in the value of the securities to be sold. Conversely, a Fund may purchase a futures contract as a hedge in anticipation of purchases of securities. In addition, a Fund may utilize futures contracts in

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MARCH 31, 2020

anticipation of changes in the composition of its portfolio holdings. A Fund bears the market risk arising from changes in the value of these financial instruments. At the time a Fund enters into a futures contract, it is generally required to make a margin deposit with the custodian of a specified amount of liquid assets. Futures are marked-to-market each day with the change in value reflected in the unrealized gains or losses. Risk may arise as a result of the potential inability of the counterparties to meet the terms of their contracts. Credit risk is mitigated to the extent that the exchange on which a particular futures contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. The Statements of Operations include any realized gains or losses on closed futures contracts in Net realized gains (losses) on futures contracts, and any unrealized gains or losses on open futures contracts in Net change in unrealized appreciation (depreciation) on futures contracts.

C) WHEN-ISSUED/DELAYED DELIVERY SECURITIES Certain Funds purchase securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time a Fund enters into the commitment to purchase a security, the transaction is recorded and the value of the commitment is reflected in the NAV. The value of the commitment may vary with market fluctuations. No interest accrues to the Fund until settlement takes place. At the time a Fund enters into this type of transaction, it is required to segregate collateral of cash or liquid assets having a fair value at least equal to the amount of the commitment. The Funds identify securities as segregated with a value that meets or exceeds the value of the commitments. When-issued securities at March 31, 2020, if any, are noted in each Fund’s Schedule of Investments and in aggregate as Payable for when-issued securities, in each Fund’s Statement of Assets and Liabilities.

On January 6, 2014, the Bond Index Fund entered into Master Securities Forward Transaction Agreements (“MSFTA”) with certain counterparties, pursuant to which each party has agreed to pledge cash and/or securities as collateral to secure the repayment of its obligations to the other party under the MSFTA. At March 31, 2020, the Bond Index Fund received collateral from a broker in the form of a U.S. Treasury Note. The value amounted to approximately $282,000, which is not included in the Statements of Assets and Liabilities. No collateral has been pledged by the Bond Index Fund as of March 31, 2020.

D) MORTGAGE DOLLAR ROLLS Certain Funds enter into mortgage “dollar rolls” in which a Fund sells securities for delivery in the future (generally within 30 days) and simultaneously contracts with the same counterparty to repurchase other mortgage securities on a specified future date. During the roll period, a Fund loses the right to receive principal and interest paid on the securities sold. However, a Fund would benefit to the extent of any difference between the price received for the securities sold and the lower forward price for the future purchase.

For financial reporting and tax purposes, the Funds treat mortgage dollar rolls as two separate transactions; one involving the purchase of a security and a separate transaction involving a sale.

E) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent the stated coupon rate, annualized yield on date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income is recognized on the ex-dividend date. The Funds’ income may be subject to certain state and local taxes.

F) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

G) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid as follows:

	DECLARATION FREQUENCY	PAYMENT FREQUENCY
Bond Index	Daily	Monthly
U.S. Treasury Index	Daily	Monthly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Funds may periodically make reclassifications among certain of their capital accounts to reflect differences between financial reporting and federal income tax basis distributions. The reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These reclassifications relate to paydowns. These reclassifications have no impact on the net assets or the NAVs per share of the Funds.

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NOTES TO THE FINANCIAL STATEMENTS continued

At March 31, 2020, the following reclassification was recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)		ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)
Bond Index		$4,611		$(4,611)

H) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 can be carried forward for an unlimited period. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
U.S. Treasury Index		$251		$235

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains (losses) were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Bond Index		$2,086		$5,818		$184,157
U.S. Treasury Index		32		–		9,114

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Bond Index	$	89,033	$	2,541
U.S. Treasury Index		1,863		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Bond Index	$	83,079	$	–
U.S. Treasury Index		1,658		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

As of March 31, 2020, neither Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for the three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

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MARCH 31, 2020

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

The Funds did not have any borrowings or incur any interest expense for the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of each Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of each Fund exceeds the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL
	ANNUAL MANAGEMENT FEES			EXPENSE LIMITATIONS
Bond Index		0.13	%		0.15	%
U.S. Treasury Index		0.13	%		0.15	%

The contractual reimbursement arrangements described above are expected to continue until at least July 31, 2020. The contractual reimbursement arrangements will continue automatically for periods of one-year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22,

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NOTES TO THE FINANCIAL STATEMENTS continued

2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S. Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in each Fund’s Statements of Operations. This reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES				SALES
Amounts in thousands	U.S. GOVERNMENT		OTHER		U.S. GOVERNMENT		OTHER
Bond Index		$488,729		$1,103,627		$551,647		$1,309,440
U.S. Treasury Index		53,594		–		45,272		–

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains on certain foreign currency contracts, the deferral of post-October currency and capital losses for tax purposes, and the timing of income recognition on investments in real estate investment trusts and passive foreign investment companies.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)		COST BASIS OF INVESTMENTS
Bond Index		$201,327		$(17,169	)		$184,158		$2,781,365
U.S. Treasury Index		9,115		(1	)		9,114		93,837

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Bond Index		72,407		$779,968		2,518		$27,064		(98,122	)		$(1,060,146	)		(23,197	)		$(253,114	)
U.S. Treasury Index		2,133		48,107		83		1,848		(1,842	)		(40,934	)		374			9,021

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Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES		NET INCREASE (DECREASE) IN NET ASSETS
Bond Index		122,616		$1,251,232		2,371		$24,194		(104,763	)		$(1,068,991	)		20,224		$206,435
U.S. Treasury Index		1,036		21,749		78		1,639		(1,031	)		(21,653	)		83		1,735

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Bond Index	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$88,979		$513,718		$538,214		$–		$–		$1,153		$64,483		64,482,831
U.S. Treasury Index	Northern Institutional Funds - U.S. Government Portfolio (Shares)		237		44,688		43,444		–		–		11		1,481		1,481,143

10. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

11. NEW ACCOUNTING PRONOUNCEMENTS

On March 30, 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-08 “Premium Amortization on Purchased Callable Debt Securities” (the “ASU”), which amends the amortization period for certain purchased callable debt securities held at premium shortening such period to the earliest call date. The new guidance requires an entity to amortize the premium on a callable debt security within its scope to the earliest call date, unless the guidance for considering estimated prepayments as described above is applied. If the call option is not exercised at the earliest call date, the yield is reset to the effective yield using the payment terms of the security. If the security has more than one call date and the premium was amortized to a call price greater than the next call price, any excess of the amortized cost basis over the amount repayable at the next call date will be amortized to that date. If there are no other call dates, any excess of the amortized cost basis over the par amount will be amortized to maturity. Discounts on purchased callable debt securities will continue to be amortized to the security’s maturity date. The ASU is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Earlier application is permitted for all entities, including adoption in an interim period. If an entity early adopts the ASU in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The Funds have adopted the ASU. The adoption of the ASU did not have a material impact on the financial statements.

12. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

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NOTES TO THE FINANCIAL STATEMENTS continued MARCH 31, 2020

13. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

14. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

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FIXED INCOME INDEX FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of two separate portfolios of Northern Funds, comprising the Bond Index Fund and U.S. Treasury Index Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the two portfolios constituting the Northern Funds as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

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FIXED INCOME INDEX FUNDS

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

LONG-TERM CAPITAL GAIN — The following Fund designated the below amount as long-term capital gains, pursuant to Section 852 of the Code, for the fiscal year ended March 31, 2020:

Amounts in thousands	LONG-TERM CAPITAL GAIN
Bond Index	$5,818

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FIXED INCOME INDEX FUNDS

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

NORTHERN FUNDS ANNUAL REPORT 97 FIXED INCOME INDEX FUNDS

FIXED INCOME INDEX FUNDS

FUND EXPENSES MARCH 31, 2020 (UNAUDITED)

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

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

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

Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements on advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 92), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

BOND INDEX

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.15	%	$	1,000.00	$	1,034.20	$	0.76
Hypothetical		0.15	%	$	1,000.00	$	1,024.25	$	0.76
U.S. TREASURY INDEX
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.16	%	$	1,000.00	$	1,074.90	$	0.83
Hypothetical		0.16	%	$	1,000.00	$	1,024.20	$	0.81

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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FIXED INCOME INDEX FUNDS

TRUSTEES AND OFFICERS MARCH 31, 2020 (UNAUDITED)

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex — Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•   Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •   Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•   Head of School Management and Technology, Success Academy Charter Schools since 2016; •   Member of the Board of Directors of Bank Leumi USA since 2016; •   Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •   Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•   Member of the State of Wisconsin Investment Board since 2015; •   Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •   Senior Vice President — Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •   President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •   Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •   Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•   Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •   Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•   Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •   Adjunct professor, University of Texas, McCombs School of Business since 2017; •   Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •   Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •   Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•   Assessor, Moraine Township, Illinois from January 2014 to June 2018; •   Trustee of AXA Premier VIP Trust (registered investment company — 34 portfolios) from 2001 to May 2017; •   Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •   Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •   Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•   Barings Funds Trust (registered investment company — 8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

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FIXED INCOME INDEX FUNDS

TRUSTEES AND OFFICERS continued

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•   Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •   Director, Pathways Awareness Foundation since 2000; •   Harvard Advanced Leadership Fellow — 2016; •   Retired in 2015 as partner in the law firm of Sidley Austin LLP; •   Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•   None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•   Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •   Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •   Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •   Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •   Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•   FlexShares Trust (registered investment company — 29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act”).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

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FIXED INCOME INDEX FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

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TRUSTEES AND OFFICERS continued MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

FIXED INCOME INDEX FUNDS 102 NORTHERN FUNDS ANNUAL REPORT

FIXED INCOME INDEX FUNDS

INVESTMENT CONSIDERATIONS

BOND INDEX FUND^1,2,3,4

U.S. TREASURY INDEX FUND^1,2,4

1 Fixed Income Market Risk: The market values of fixed-income securities owned by the Fund may decline, at times sharply and unpredictably. Fixed income securities may experience increased volatility, illiquidity or other potentially adverse effects in response to changing market conditions, inflation, changes in interest rates, or lack of liquidity in markets, which may be caused by numerous factors, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment.

2 Tracking Risk: The Fund’s performance may vary substantially from the performance of the benchmark index it tracks as a result of share purchases and redemptions, transaction costs, expenses and other factors.

3 U.S. Government Securities Risk: There is a risk that the U.S. government will not provide financial support to its agencies, instrumentalities or sponsored enterprises if it is not obligated to do so by law. Many U.S. government securities purchased by the Fund are not backed by the full faith and credit of the United States. It is possible that the issuers of such securities will not have the funds to meet their payment obligations in the future.

4 Interest Rate/Maturity Risk: Securities with longer maturities tend to be more sensitive to changes in interest rates, causing them to be more volatile than securities with shorter maturities. Securities with shorter maturities tend to provide lower returns and be less volatile than securities with longer maturities. Changing interest rates may have unpredictable effects on the markets and the Fund’s investments. A low or declining interest rate environment poses risks to the Fund’s performance, including the risk that proceeds from prepaid or maturing instruments may have to be reinvested at a lower interest rate. Fluctuations in interest rates may also affect the liquidity of fixed income securities and instruments held by the Fund.

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FIXED INCOME INDEX FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

FIXED INCOME INDEX FUNDS 104 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
10	STATEMENTS OF ASSETS AND LIABILITIES
12	STATEMENTS OF OPERATIONS
14	STATEMENTS OF CHANGES IN NET ASSETS
16	FINANCIAL HIGHLIGHTS
23	SCHEDULES OF INVESTMENTS
23	ARIZONA TAX-EXEMPT FUND
	Ticker Symbol: NOAZX
28	CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND
	Ticker Symbol: NCITX
36	CALIFORNIA TAX-EXEMPT FUND
	Ticker Symbol: NCATX
42	HIGH YIELD MUNICIPAL FUND
	Ticker Symbol: NHYMX
54	INTERMEDIATE TAX-EXEMPT FUND
	Ticker Symbol: NOITX
79	SHORT-INTERMEDIATE TAX-EXEMPT FUND
	Ticker Symbol: NSITX
93	TAX-EXEMPT FUND
	Ticker Symbol: NOTEX
113	NOTES TO THE FINANCIAL STATEMENTS
121	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
122	TAX INFORMATION
123	LIQUIDITY RISK MANAGEMENT PROGRAM
124	FUND EXPENSES
126	TRUSTEES AND OFFICERS
130	INVESTMENT CONSIDERATIONS
132	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

ARIZONA TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The COVID-19 virus wreaked havoc across the globe in the final weeks of the 12-month reporting period ended March 31, 2020. For the reporting period, the Fund returned 3.86%, compared to 3.15% for the Bloomberg Barclays Arizona Municipal Bond Index. Global economic growth, which was slow in the latter half of 2019 due to trade wars, was brought to a virtual standstill as the Fund’s fiscal year ended. Governments shut businesses and urged people to stay in their homes to minimize the deadly spread. While governments announced fiscal plans to help individuals, families and businesses, central banks continued to be dovish, with dozens lowering interest rates and announcing non-conventional measures. The U.S. Federal Reserve lowered its benchmark federal funds rate over 200 basis points during the 12-month period and created new programs to assist businesses and financial markets.

New issuance in the municipal market was approximately $430 billion for the 12-month period ended March 31, 2020, a 23% increase from the prior 12-month period. While issuance rose, it was insufficient to meet demand. The demand for debt from individuals was especially strong, despite a significant decline in interest rates during the period. We believe that some of the demand was driven by changes in the federal tax law limiting state, local and property tax (SALT) deductions. The limitation on this common deduction made the tax-exemption available through municipal bonds more valuable than in the past.

The largest contributor to performance relative to the benchmark was the Fund’s conservative credit strategy. Lower quality bonds underperformed as investors worried about the economic impact of COVID-19 on riskier issuers. The largest detractor from performance was yield curve positioning, as the Fund was overweight longer-dated bonds that underperformed as credit concerns mounted.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   10/01/99
ARIZONA TAX-EXEMPT FUND		3.86	%		2.95	%		4.01	%		4.50	%
BLOOMBERG BARCLAYS ARIZONA MUNICIPAL BOND INDEX		3.15			2.92			4.08			4.75

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays Arizona Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt Arizona bonds with a remaining maturity of at least one year.

The Fund is “non-diversified” under the Investment Company Act of 1940, and may invest more of its assets in fewer issuers than “diversified”mutual funds.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

TAX-EXEMPT FIXED INCOME FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The COVID-19 virus wreaked havoc across the globe in the final weeks of the 12-month period ended March 31, 2020. For the reporting period, the Fund returned 3.11%, compared to 3.14% for the benchmark Bloomberg Barclays California Intermediate Municipal Bond Index. Global economic growth, which was slow in the latter half of 2019 due to trade wars, was brought to a virtual standstill as the Fund’s fiscal year ended. Governments shut businesses and urged people to stay in their homes to minimize the deadly spread. While governments announced fiscal plans to help individuals, families and businesses, central banks continued to be dovish, with dozens lowering interest rates and announcing non-conventional measures. The U.S. Federal Reserve lowered its benchmark fed funds rate over 200 basis points during the 12-month period and created new programs to assist businesses and financial markets.

New issuance in the municipal market was approximately $430 billion for the 12-month period ended March 31, 2020, a 23% increase from the prior 12-month period. While issuance rose, it was insufficient to meet demand. The demand for debt from individuals was especially strong, despite a significant decline in interest rates during the period. We believe that some of the demand was driven by changes in the federal tax law limiting state, local and property tax (SALT) deductions. The limitation on this common deduction made the tax-exemption available through municipal bonds more valuable than in the past.

The largest contributor to performance relative to the benchmark was the Fund’s conservative credit strategy. Lower quality bonds underperformed as investors worried about the economic impact of COVID-19 on riskier issuers. The largest detractor from performance was yield curve positioning, as the Fund was overweight longer-dated bonds that underperformed as credit concerns mounted.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   10/01/99
CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND		3.11	%		2.52	%		3.67	%		4.00	%
BLOOMBERG BARCLAYS CALIFORNIA INTERMEDIATE MUNICIPAL BOND INDEX		3.14			2.64			3.98			4.60

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays California Intermediate Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt California bonds with maturities of five to ten years.

The Fund is “non-diversified” under the Investment Company Act of 1940, and may invest more of its assets in fewer issuers than “diversified” mutual funds.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

NORTHERN FUNDS ANNUAL REPORT 3 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

CALIFORNIA TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The COVID-19 virus wreaked havoc across the globe in the final weeks of the 12-month reporting period ended March 31, 2020. For the reporting period, the Fund returned 4.27%, compared to 4.23% for the benchmark Bloomberg Barclays California Municipal Bond Index. Global economic growth, which was slow in the latter half of 2019 due to trade wars, was brought to a virtual standstill as the Fund’s fiscal year ended. Governments shut businesses and urged people to stay in their homes to minimize the deadly spread. While governments announced fiscal plans to help individuals, families and businesses, central banks continued to be dovish, with dozens lowering interest rates and announcing non-conventional measures. The U.S. Federal Reserve lowered its benchmark federal funds rate over 200 basis points during the 12-month period and created new programs to assist businesses and financial markets.

New issuance in the municipal market was approximately $430 billion for the 12 months ended March 31, 2020, a 23% increase from the prior 12-month period. While issuance rose, it was insufficient to meet demand. The demand for debt from individuals was especially strong, despite a significant decline in interest rates during the period. We believe that some of the demand was driven by changes in the federal tax law limiting state, local and property tax (SALT) deductions. The limitation on this common deduction made the tax-exemption available through municipal bonds more valuable than in the past.

The largest contributor to performance relative to the benchmark was the Fund’s conservative credit strategy. Lower quality bonds underperformed as investors worried about the economic impact of the virus on riskier issuers. The largest detractor from performance was yield curve positioning, as the Fund was overweight longer-dated bonds that underperformed as credit concerns mounted.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   04/08/97
CALIFORNIA TAX-EXEMPT FUND		4.27	%		3.20	%		5.05	%		5.22	%
BLOOMBERG BARCLAYS CALIFORNIA MUNICIPAL BOND INDEX		4.23			3.20			4.61			5.12

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays California Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt California bonds with a remaining maturity of at least one year.

The Fund is “non-diversified” under the Investment Company Act of 1940, and may invest more of its assets in fewer issuers than “diversified” mutual funds.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

TAX-EXEMPT FIXED INCOME FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

HIGH YIELD MUNICIPAL FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The High Yield Municipal Fund returned -0.68% in the 12-month reporting period ended March 31, 2020, underperforming the 2.30% return of its benchmark, the Bloomberg Barclays Municipal Bond 65-35 Investment Grade/High Yield Index. The Fund’s underperformance was due mainly to its lower average credit quality and longer duration, as well as its overweights in certain individual credits that were disproportionally impacted by the COVID-19 crisis in March 2020.

The Fund experienced significant inflows through the first 11 months of the period. We attempted to add risk in an incremental fashion by investing in BB-rated and non-rated securities, particularly in the new-issue market, but at increasingly tight yield spreads. The majority of our investments were in the health care, higher education and industrial development sectors. We continued to devote a portion of the portfolio to higher quality, liquid issues. We also worked to maintain portfolio duration (sensitivity to interest rates changes) close to 110% of the benchmark. This positioning reflected our view that yields would fall, as well as the need to compensate for an overweight in higher quality bonds.

In March 2020, widespread lockdown provisions in response to COVID-19 created liquidity problems within the municipal market. In addition, investors grew concerned about the economic impact of COVID-19 on municipal enterprises and projects. The effect of both developments was most pronounced in the high yield segment. Consistent with broader trends, the Fund experienced significant outflows in March 2020. We sold some of the Fund’s higher quality bonds in order to raise cash and capitalize on the more attractive yield spreads in the high-yield category. In addition, we sold or reduced holdings in bonds where fundamentals were deteriorating or where we had a lower level of conviction.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   12/31/98
HIGH YIELD MUNICIPAL FUND		(0.68	)%		2.48	%		4.52	%		3.63	%
BLOOMBERG BARCLAYS MUNICIPAL BOND 65-35 INVESTMENT GRADE/HIGH YIELD INDEX		2.30			3.57			4.80			4.85

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays Municipal Bond 65-35 Investment Grade/High Yield Index is an unmanaged index of investment and non-investment grade bonds with a 65% weighting in the Bloomberg Barclays U.S. Municipal Index and a 35% weighting to the Barclays Municipal High Yield Index.

The Fund invests in below investment-grade debt obligations, commonly known as “junk bonds.” While offering higher current yields, these securities generally are considered speculative and are subject to greater risks than higher-rated bonds.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

NORTHERN FUNDS ANNUAL REPORT 5 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

INTERMEDIATE TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

For the 12-month reporting period ended March 31, 2020, the Intermediate Tax-Exempt Fund returned 3.72%, outperforming the 3.12% return of the benchmark Bloomberg Barclays Intermediate Municipal Bond Index. During the period, Fund performance benefited from consistent neutral-duration exposure, including longer-dated holdings, offset by shorter holdings in a modified “barbelled” maturity structure. In addition, the Fund’s high credit quality, which had detracted from relative performance for most of the period, contributed significantly during March 2020. The Fund’s combined percentage of AAA and AA rated holdings exceeded 85% as of period end. The Fund also reduced its holdings in California bonds throughout the period as strong in-state demand drove the prices of these bonds higher, and created opportunities to invest in other states and increase the Fund’s income.

During the period, a macroeconomic backdrop of slow growth, low inflation and accommodative global central bank policies supported the municipal bond market. However, the COVID-19 outbreak in the United States brought a dramatic increase in market volatility, and municipal bond funds as an industry saw record redemptions in March 2020 following 11 months of inflows. On March 27, 2020, the U.S. President signed the CARES Act, which provided hundreds of billions of dollars in aid to state and local governments, and to specific industries such as health care, education and transportation. The U.S. Federal Reserve’s liquidity measures and direct loan capacity, and the federal government’s direct aid to municipalities, have provided significant support to the tax-exempt market.

The Fund continues to utilize an active relative value management approach, in conjunction with proactive, disciplined credit analysis.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   04/01/94
INTERMEDIATE TAX-EXEMPT FUND		3.72	%		2.58	%		3.33	%		4.10	%
BLOOMBERG BARCLAYS INTERMEDIATE MUNICIPAL BOND INDEX		3.12			2.76			3.77			4.91

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays Intermediate Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt bonds with maturities of five to ten years.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

TAX-EXEMPT FIXED INCOME FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

SHORT-INTERMEDIATE TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Short-Intermediate Tax-Exempt Fund returned 2.07% for the 12-month reporting period ended March 31, 2020, compared to 1.98% for the benchmark Bloomberg Barclays 1-5 Year Blend Municipal Bond Index. The Fund’s slight outperformance during the reporting period was due mainly to duration management and higher average credit quality.

Tax-exempt new issuance for calendar year 2019 was up 11.5%, while taxable municipal issuance was up 114.8%. The Fund was able to take advantage of increased issuance during the fourth calendar quarter of 2019 in order to extend portfolio duration at more attractive levels.

Prior to the COVID-19 outbreak in the United States, the Fund’s average credit quality was increased by taking advantage of strong demand for lower quality investment-grade municipal bonds. With the spread of the virus, and state and local governments issuing disaster declarations, the municipal market saw a dramatic increase in volatility and industry municipal bond funds experienced record redemptions. On March 27, 2020 the U.S. President signed the CARES Act, which provided $150 billion to state and local governments, and $25 billion to state transit programs. The Fund’s conservative investment philosophy and high quality overweight contributed to performance during this volatile period.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   08/22/07
SHORT-INTERMEDIATE TAX-EXEMPT FUND		2.07	%		1.34	%		1.40	%		2.00	%
BLOOMBERG BARCLAYS 1-5 YEAR BLEND MUNICIPAL BOND INDEX		1.98			1.62			1.93			2.70

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays 1-5 Year Blend Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt bonds with maturities of at least one year and less than six years.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

NORTHERN FUNDS ANNUAL REPORT 7 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

For the 12-month reporting period ended March 31, 2020, the Tax-Exempt Fund returned 4.33%, outperforming the 3.85% return of the Bloomberg Barclays U.S. Municipal Index. Fund performance during the period benefited from its 5%-10% longer duration on average. In addition, the Fund’s high credit quality, which had detracted from relative performance for most of the period, contributed significantly during March 2020. The Fund also reduced its holdings in California bonds throughout the period as strong in-state demand drove the prices of these bonds higher, and created opportunities to invest in other states and increase the Fund’s income.

During the period, a macroeconomic backdrop of slow growth, low inflation and accommodative global central bank policies supported the municipal bond market. However, the COVID-19 outbreak in the United States brought a dramatic increase in market volatility, and municipal bond funds as an industry saw record redemptions in March 2020 following 11 months of inflows. On March 27, 2020, the U.S. President signed the CARES Act, which provided hundreds of billions of dollars in aid to state and local governments, and to specific industries such as health care, education and transportation. The U.S. Federal Reserve’s liquidity measures and direct loan capacity, and the federal government’s direct aid to municipalities, have provided significant support to the tax-exempt market.

The Fund continues to utilize an active relative value management approach, in conjunction with proactive, disciplined credit analysis.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION   04/01/94
TAX-EXEMPT FUND		4.33	%		3.15	%		4.17	%		4.91	%
BLOOMBERG BARCLAYS U.S. MUNICIPAL INDEX		3.85			3.19			4.15			5.19

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The Bloomberg Barclays U.S. Municipal Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt bonds with a remaining maturity of at least one year.

Income from the Fund may be subject to federal alternative minimum tax (AMT) and state and local taxes.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 130.

TAX-EXEMPT FIXED INCOME FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

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NORTHERN FUNDS ANNUAL REPORT 9 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

STATEMENTS OF ASSETS AND LIABILITIES

Amounts in thousands, except per share data	ARIZONA TAX-EXEMPT FUND		CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND		CALIFORNIA TAX-EXEMPT FUND
ASSETS:
Investments, at value		$133,239		$477,197		$185,065
Investments in affiliates, at value		6,497		14,837		8,041
Interest income receivable		1,273		5,366		2,157
Dividend income receivable		3		11		5
Receivable for securities sold		–		–		–
Receivable for fund shares sold		–		60		50
Receivable from investment adviser		6		9		5
Prepaid and other assets		4		4		4
Total Assets		141,022		497,484		195,327
LIABILITIES:
Payable for securities purchased		1,294		–		–
Payable for when-issued securities		3,940		2,668		1,546
Payable for fund shares redeemed		114		1,179		282
Distributions payable to shareholders		66		231		100
Payable to affiliates:
Management fees		11		41		16
Custody fees		1		3		1
Shareholder servicing fees		20		20		20
Transfer agent fees		4		16		6
Trustee fees		4		4		4
Accrued other liabilities		35		38		34
Total Liabilities		5,489		4,200		2,009
Net Assets		$135,533		$493,284		$193,318
ANALYSIS OF NET ASSETS:
Capital stock		$132,006		$480,779		$184,381
Distributable earnings		3,527		12,505		8,937
Net Assets		$135,533		$493,284		$193,318
Shares Outstanding ($.0001 par value, unlimited authorization)		12,587		45,947		16,591
Net Asset Value, Redemption and Offering Price Per Share		$10.77		$10.74		$11.65
Investments, at cost		$128,867		$465,599		$176,538
Investments in affiliates, at cost		6,497		14,837		8,041

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

MARCH 31, 2020

HIGH YIELD MUNICIPAL FUND			INTERMEDIATE TAX-EXEMPT FUND		SHORT- INTERMEDIATE TAX-EXEMPT FUND		TAX-EXEMPT FUND
	$484,123			$2,745,173		$835,855		$1,539,028
	20,009			260,873		67,134		103,533
	6,671			31,502		9,008		18,732
	17			109		33		87
	1,426			6,322		3,123		12,533
	735			2,349		179		1,288
	31			41		8		31
	4			7		4		8
	513,016			3,046,376		915,344		1,675,240
	1,914			10,859		10,458		14,150
	–			13,784		23,405		17,272
	728			2,011		607		3,034
	400			1,298		239		802
	75			242		72		133
	3			17		6		8
	8			22		20		37
	17			99		29		53
	4			13		4		7
	33			80		29		43
	3,182			28,425		34,869		35,539
	$509,834			$3,017,951		$880,475		$1,639,701
	$528,478			$2,957,277		$870,445		$1,614,393
	(18,644	)		60,674		10,030		25,308
	$509,834			$3,017,951		$880,475		$1,639,701
	61,345			282,685		85,053		152,433
	$8.31			$10.68		$10.35		$10.76
	$497,966			$2,689,759		$832,352		$1,513,164
	20,009			260,873		67,134		103,533

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

STATEMENTS OF OPERATIONS

Amounts in thousands	ARIZONA TAX-EXEMPT FUND			CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND
INVESTMENT INCOME:
Interest Income		$3,821			$14,691
Dividend income from investments in affiliates		144			363
Total Investment Income		3,965			15,054
EXPENSES:
Management fees		565			2,215
Custody fees		15			46
Transfer agent fees		41			159
Registration fees		14			7
Printing fees		17			19
Professional fees		43			43
Shareholder servicing fees		66			67
Trustee fees		9			9
Other		13			13
Total Expenses		783			2,578
Less expenses reimbursed by investment adviser		(178	)		(247	)
Net Expenses		605			2,331
Net Investment Income		3,360			12,723
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		740			4,553
Net changes in unrealized appreciation (depreciation) on:
Investments		275			(2,006	)
Net Gains (Losses)		1,015			2,547
Net Increase (Decrease) in Net Assets Resulting from Operations		$4,375			$15,270

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEAR ENDED MARCH 31, 2020

CALIFORNIA TAX-EXEMPT FUND			HIGH YIELD MUNICIPAL FUND			INTERMEDIATE TAX-EXEMPT FUND			SHORT- INTERMEDIATE TAX-EXEMPT FUND			TAX-EXEMPT FUND
	$6,002			$22,920			$75,360			$19,042			$43,438
	233			304			4,523			965			2,510
	6,235			23,224			79,883			20,007			45,948
	829			4,004			12,580			3,987			6,214
	20			46			248			81			122
	60			163			925			283			459
	7			21			22			20			26
	15			14			37			10			22
	43			43			82			43			55
	67			32			36			71			116
	9			9			36			9			18
	13			13			37			14			21
	1,063			4,345			14,003			4,518			7,053
	(183	)		(1,212	)		(519	)		(332	)		(516	)
	880			3,133			13,484			4,186			6,537
	5,355			20,091			66,399			15,821			39,411
	3,260			3,275			38,580			11,701			16,756
	(960	)		(31,091	)		(3,493	)		(7,948	)		(2,868	)
	2,300			(27,816	)		35,087			3,753			13,888
	$7,655			$(7,725	)		$101,486			$19,574			$53,299

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

	ARIZONA TAX-EXEMPT FUND						CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND
Amounts in thousands	2020			2019			2020			2019
OPERATIONS:
Net investment income		$3,360			$3,446			$12,723			$13,096
Net realized gains (losses)		740			(492	)		4,553			(1,048	)
Net change in unrealized appreciation (depreciation)		275			2,786			(2,006	)		10,294
Net Increase (Decrease) in Net Assets Resulting from Operations		4,375			5,740			15,270			22,342
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		15,861			4,742			(8,057	)		(4,731	)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		15,861			4,742			(8,057	)		(4,731	)
DISTRIBUTIONS PAID:
Distributable earnings		(3,360	)		(3,446	)		(12,816	)		(13,096	)
Total Distributions Paid		(3,360	)		(3,446	)		(12,816	)		(13,096	)
Total Increase (Decrease) in Net Assets		16,876			7,036			(5,603	)		4,515
NET ASSETS:
Beginning of year		118,657			111,621			498,887			494,372
End of year		$135,533			$118,657			$493,284			$498,887

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

CALIFORNIA TAX-EXEMPT FUND						HIGH YIELD MUNICIPAL FUND						INTERMEDIATE TAX-EXEMPT FUND						SHORT- INTERMEDIATE TAX-EXEMPT FUND						TAX-EXEMPT FUND
2020			2019			2020			2019			2020			2019			2020			2019			2020			2019
	$5,355			$6,068			$20,091			$18,114			$66,399			$69,437			$15,821			$14,241			$39,411			$37,229
	3,260			257			3,275			(488	)		38,580			(1,179	)		11,701			119			16,756			(3,278	)
	(960	)		2,110			(31,091	)		1,421			(3,493	)		55,801			(7,948	)		15,641			(2,868	)		18,797
	7,655			8,435			(7,725	)		19,047			101,486			124,059			19,574			30,001			53,299			52,748
	12,803			(4,223	)		94,181			29,937			220,392			(215,681	)		(81,445	)		38,027			461,823			77,413
	12,803			(4,223	)		94,181			29,937			220,392			(215,681	)		(81,445	)		38,027			461,823			77,413
	(6,556	)		(6,068	)		(20,091	)		(18,114	)		(78,008	)		(69,437	)		(20,634	)		(14,241	)		(43,612	)		(37,228	)
	(6,556	)		(6,068	)		(20,091	)		(18,114	)		(78,008	)		(69,437	)		(20,634	)		(14,241	)		(43,612	)		(37,228	)
	13,902			(1,856	)		66,365			30,870			243,870			(161,059	)		(82,505	)		53,787			471,510			92,933
	179,416			181,272			443,469			412,599			2,774,081			2,935,140			962,980			909,193			1,168,191			1,075,258
	$193,318			$179,416			$509,834			$443,469			$3,017,951			$2,774,081			$880,475			$962,980			$1,639,701			$1,168,191

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS

ARIZONA TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.65			$10.43			$10.54			$10.96			$10.93
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.28			0.31			0.31			0.29			0.34
Net realized and unrealized gains (losses)		0.12			0.22			(0.11	)		(0.30	)		0.09
Total from Investment Operations		0.40			0.53			0.20			(0.01	)		0.43
LESS DISTRIBUTIONS PAID:
From net investment income		(0.28	)		(0.31	)		(0.31	)		(0.29	)		(0.34	)
From net realized gains		–			–			–			(0.12	)		(0.06	)
Total Distributions Paid		(0.28	)		(0.31	)		(0.31	)		(0.41	)		(0.40	)
Net Asset Value, End of Year		$10.77			$10.65			$10.43			$10.54			$10.96
Total Return(1)		3.86	%		5.15	%		1.95	%		(0.17	)%		4.06	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$135,533			$118,657			$111,621			$102,928			$109,495
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.46	%(2)		0.47	%(2)		0.46	%(2)		0.46	%(2)		0.46	%
Expenses, before reimbursements and credits		0.60	%		0.60	%		0.61	%		0.62	%		0.59	%
Net investment income, net of reimbursements and credits		2.56	%(2)		3.03	%(2)		2.89	%(2)		2.65	%(2)		3.17	%
Net investment income, before reimbursements and credits		2.42	%		2.90	%		2.74	%		2.49	%		3.04	%
Portfolio Turnover Rate		63.33	%		52.94	%		85.89	%		83.45	%		60.73	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $10,000, $9,000 and $13,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019 and 2018, respectively, and less than $16,000, which represents less than 0.02 percent of average net assets for the fiscal year ended March 31, 2017. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.68			$10.47			$10.57			$11.03			$10.90
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.27			0.28			0.28			0.26			0.28
Net realized and unrealized gains (losses)		0.06			0.21			(0.10	)		(0.36	)		0.15
Total from Investment Operations		0.33			0.49			0.18			(0.10	)		0.43
LESS DISTRIBUTIONS PAID:
From net investment income		(0.27	)		(0.28	)		(0.28	)		(0.26	)		(0.28	)
From net realized gains		–	(1)		–			–			(0.10	)		(0.02	)
Total Distributions Paid		(0.27	)		(0.28	)		(0.28	)		(0.36	)		(0.30	)
Net Asset Value, End of Year		$10.74			$10.68			$10.47			$10.57			$11.03
Total Return(2)		3.11	%		4.78	%		1.67	%		(0.87	)%		4.03	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$493,284			$498,887			$494,372			$470,326			$508,152
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.45	%(3)		0.45	%(3)		0.45	%(3)		0.45	%(3)		0.45	%
Expenses, before reimbursements and credits		0.50	%		0.49	%		0.50	%		0.51	%		0.50	%
Net investment income, net of reimbursements and credits		2.48	%(3)		2.69	%(3)		2.61	%(3)		2.42	%(3)		2.59	%
Net investment income, before reimbursements and credits		2.43	%		2.65	%		2.56	%		2.36	%		2.54	%
Portfolio Turnover Rate		31.63	%		28.54	%		52.17	%		64.62	%		81.80	%

(1) Per share amounts from distributions paid from net realized gains were less than $0.01 per share.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $26,000, $22,000, $25,000 and $28,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued

CALIFORNIA TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$11.56			$11.40			$11.48			$12.06			$11.86
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.33			0.40			0.39			0.35			0.38
Net realized and unrealized gains (losses)		0.16			0.16			(0.08	)		(0.45	)		0.20
Total from Investment Operations		0.49			0.56			0.31			(0.10	)		0.58
LESS DISTRIBUTIONS PAID:
From net investment income		(0.33	)		(0.40	)		(0.39	)		(0.35	)		(0.38	)
From net realized gains		(0.07	)		–			–			(0.13	)		–
Total Distributions Paid		(0.40	)		(0.40	)		(0.39	)		(0.48	)		(0.38	)
Net Asset Value, End of Year		$11.65			$11.56			$11.40			$11.48			$12.06
Total Return(1)		4.27	%		5.01	%		2.69	%		(0.83	)%		4.97	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$193,318			$179,416			$181,272			$177,857			$189,741
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.46	%(2)		0.46	%(2)		0.46	%(2)		0.46	%(2)		0.46	%
Expenses, before reimbursements and credits		0.55	%		0.56	%		0.58	%		0.61	%		0.60	%
Net investment income, net of reimbursements and credits		2.78	%(2)		3.50	%(2)		3.36	%(2)		2.95	%(2)		3.18	%
Net investment income, before reimbursements and credits		2.69	%		3.40	%		3.24	%		2.80	%		3.04	%
Portfolio Turnover Rate		55.08	%		34.83	%		83.27	%		97.34	%		131.91	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $16,000, $11,000, $21,000 and $16,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

HIGH YIELD MUNICIPAL FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$8.70			$8.69			$8.69			$9.02			$8.93
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.34			0.37			0.35			0.32			0.33
Net realized and unrealized gains (losses)		(0.39	)		0.01			–			(0.33	)		0.09
Total from Investment Operations		(0.05	)		0.38			0.35			(0.01	)		0.42
LESS DISTRIBUTIONS PAID:
From net investment income		(0.34	)		(0.37	)		(0.35	)		(0.32	)		(0.33	)
Total Distributions Paid		(0.34	)		(0.37	)		(0.35	)		(0.32	)		(0.33	)
Net Asset Value, End of Year		$8.31			$8.70			$8.69			$8.69			$9.02
Total Return(1)		(0.68	)%		4.47	%		4.03	%		(0.10	)%		4.80	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$509,834			$443,469			$412,599			$476,835			$575,904
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.60	%(2)		0.61	%(2)		0.80	%(2)		0.80	%(2)		0.80	%
Expenses, before reimbursements and credits		0.84	%		0.83	%		0.83	%		0.82	%		0.83	%
Net investment income, net of reimbursements and credits		3.87	%(2)		4.27	%(2)		3.96	%(2)		3.60	%(2)		3.67	%
Net investment income, before reimbursements and credits		3.63	%		4.05	%		3.93	%		3.58	%		3.64	%
Portfolio Turnover Rate		47.62	%		51.81	%		9.69	%		39.67	%		7.20	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $24,000, $16,000, $12,000 and $42,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued

INTERMEDIATE TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.57			$10.37			$10.40			$10.82			$10.71
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.24			0.25			0.22			0.21			0.22
Net realized and unrealized gains (losses)		0.15			0.20			(0.03	)		(0.26	)		0.15
Total from Investment Operations		0.39			0.45			0.19			(0.05	)		0.37
LESS DISTRIBUTIONS PAID:
From net investment income		(0.24	)		(0.25	)		(0.22	)		(0.21	)		(0.22	)
From net realized gains		(0.04	)		–			–			(0.16	)		(0.04	)
Total Distributions Paid		(0.28	)		(0.25	)		(0.22	)		(0.37	)		(0.26	)
Net Asset Value, End of Year		$10.68			$10.57			$10.37			$10.40			$10.82
Total Return(1)		3.72	%		4.47	%		1.75	%		(0.48	)%		3.54	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$3,017,951			$2,774,081			$2,935,140			$2,752,569			$3,160,485
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.45	%(2)		0.45	%(2)		0.45	%(2)		0.45	%(2)		0.45	%
Expenses, before reimbursements and credits		0.47	%		0.47	%		0.48	%		0.49	%		0.49	%
Net investment income, net of reimbursements and credits		2.23	%(2)		2.46	%(2)		2.03	%(2)		1.94	%(2)		2.04	%
Net investment income, before reimbursements and credits		2.21	%		2.44	%		2.00	%		1.90	%		2.00	%
Portfolio Turnover Rate		127.62	%		115.01	%		120.62	%		106.67	%		127.92	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $267,000, $380,000, $278,000 and $261,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

SHORT-INTERMEDIATE TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.37			$10.20			$10.33			$10.48			$10.46
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.18			0.16			0.12			0.12			0.12
Net realized and unrealized gains (losses)		0.04			0.17			(0.11	)		(0.13	)		0.02
Total from Investment Operations		0.22			0.33			0.01			(0.01	)		0.14
LESS DISTRIBUTIONS PAID:
From net investment income		(0.18	)		(0.16	)		(0.13	)		(0.12	)		(0.12	)
From net realized gains		(0.06	)		–			(0.01	)		(0.02	)		–	(1)
Total Distributions Paid		(0.24	)		(0.16	)		(0.14	)		(0.14	)		(0.12	)
Net Asset Value, End of Year		$10.35			$10.37			$10.20			$10.33			$10.48
Total Return(2)		2.07	%		3.29	%		0.07	%		(0.10	)%		1.41	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$880,475			$962,980			$909,193			$1,047,250			$1,160,549
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.45	%(3)		0.45	%(3)		0.45	%(3)		0.45	%(3)		0.45	%
Expenses, before reimbursements and credits		0.49	%		0.48	%		0.48	%		0.48	%		0.48	%
Net investment income, net of reimbursements and credits		1.71	%(3)		1.59	%(3)		1.21	%(3)		1.18	%(3)		1.18	%
Net investment income, before reimbursements and credits		1.67	%		1.56	%		1.18	%		1.15	%		1.15	%
Portfolio Turnover Rate		126.29	%		135.35	%		36.55	%		21.23	%		20.01	%

(1) Per share amount from distributions paid from net realized gains was less than $0.01 per share.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $63,000, $79,000, $96,000, and $46,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FINANCIAL HIGHLIGHTS continued FOR THE FISCAL YEARS ENDED MARCH 31,

TAX-EXEMPT FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.63			$10.49			$10.55			$10.89			$10.80
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.30			0.35			0.33			0.31			0.36
Net realized and unrealized gains (losses)		0.16			0.14			(0.06	)		(0.33	)		0.09
Total from Investment Operations		0.46			0.49			0.27			(0.02	)		0.45
LESS DISTRIBUTIONS PAID:
From net investment income		(0.30	)		(0.35	)		(0.33	)		(0.31	)		(0.36	)
From net realized gains		(0.03	)		–			–			(0.01	)		–
Total Distributions Paid		(0.33	)		(0.35	)		(0.33	)		(0.32	)		(0.36	)
Net Asset Value, End of Year		$10.76			$10.63			$10.49			$10.55			$10.89
Total Return(1)		4.33	%		4.78	%		2.57	%		(0.16	)%		4.29	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$1,639,701			$1,168,191			$1,075,258			$1,077,256			$1,064,728
Ratio to average net assets of:
Expenses, net of reimbursements and credits		0.45	%(2)		0.45	%(2)		0.45	%(2)		0.45	%(2)		0.45	%
Expenses, before reimbursements and credits		0.49	%		0.47	%		0.48	%		0.48	%		0.48	%
Net investment income, net of reimbursements and credits		2.73	%(2)		3.35	%(2)		3.12	%(2)		2.91	%(2)		3.37	%
Net investment income, before reimbursements and credits		2.69	%		3.33	%		3.09	%		2.88	%		3.34	%
Portfolio Turnover Rate		122.55	%		116.37	%		103.25	%		99.52	%		111.59	%

(1) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(2) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $183,000, $84,000, $64,000 and $103,000, which represent less than 0.02 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

ARIZONA TAX-EXEMPT FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5%
Arizona – 96.5%
Arizona Board of Regents Refunding COPS, University of Arizona Project, 5.00%, 6/1/28		$400		$506
Arizona Board of Regents State University System Revenue Bonds, Series A, 5.00%, 7/1/31		550		628
5.00%, 7/1/34		750		853
5.00%, 7/1/35		750		852
Arizona Board of Regents State University System Revenue Refunding Bonds, Series A, Green Bonds, 5.00%, 7/1/35		1,000		1,166
5.00%, 7/1/41		1,000		1,154
Arizona Board of Regents State University System Revenue Refunding Bonds, Series B, 5.00%, 7/1/31		1,000		1,237
5.00%, 7/1/36		495		605
Arizona Board of Regents University of Arizona System Revenue Refunding Bonds, Stimulus Plan for Economic & Educational Development, 4.00%, 8/1/44		1,000		1,149
Arizona Board of Regents University System Revenue Bonds, Series A, 5.00%, 6/1/32		1,500		1,755
Arizona Board of Regents University System Revenue Refunding Bonds, 5.00%, 6/1/33		1,710		2,052
Arizona State Health Facilities Authority Revenue Bonds, Series A, Banner Health, 4.00%, 1/1/43		3,500		3,560
Arizona State IDA Revenue Bonds, Lincoln South Beltway Project, 5.00%, 2/1/30 (1)		1,000		1,214
Arizona State Lottery Revenue Refunding Bonds, 5.00%, 7/1/21		2,165		2,267
Arizona State Transportation Board Revenue GANS, Series A, 5.00%, 7/1/23		1,000		1,121
Flagstaff G.O. Unlimited Bonds, 5.00%, 7/1/22		1,500		1,627

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
Gila County Revenue Refunding Obligations Bonds, 5.00%, 7/1/29		$380		$493
Gilbert Water Resource Municipal Property Corp. Utility System Revenue Bonds, 5.00%, 7/1/28		500		610
5.00%, 7/1/29		750		914
5.00%, 7/1/30		500		608
5.00%, 7/1/31		600		727
Glendale IDA Revenue Bonds, Midwestern University, 5.13%, 5/15/40		1,000		1,005
Glendale IDA Revenue Refunding Bonds, Midwestern University, 5.00%, 5/15/32		500		646
Glendale Union School District No. 205 G.O. Unlimited Bonds, Series C, 3.00%, 7/1/20		1,225		1,231
Goodyear McDowell Road Commercial Corridor Improvement District Special Assessment Refunding Bonds (BAM Insured), 3.35%, 1/1/28		870		956
Goodyear Water & Sewer Revenue Bonds, Subordinate Lien Obligations (AGM Insured), 5.25%, 7/1/31		1,000		1,048
Maricopa County Elementary School District No. 1 Phoenix G.O. Unlimited Bonds, Series C, School Improvement Project of 2006 (BAM Insured), 5.00%, 7/1/34		1,100		1,336
Maricopa County Elementary School District No. 28 Kyrene Elementary G.O. Unlimited Bonds, Series A, School Improvement Project of 2017, 5.00%, 7/1/31		275		348
5.00%, 7/1/32		250		315
Maricopa County Elementary School District No. 28 Kyrene G.O. Unlimited Bonds, Series B, School Improvement Project of 2010, 5.25%, 7/1/28 (2)		940		1,064
5.50%, 7/1/29 (2)		485		553
5.50%, 7/1/30 (2)		375		427

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ARIZONA TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
Maricopa County Elementary School District No. 33 Buckeye G.O. Unlimited Bonds, Series B, School Improvement Project of 2015 (BAM Insured), 5.00%, 7/1/38		$1,000		$1,197
Maricopa County Elementary School District No. 8 G.O. Unlimited Bonds, Series B, Osborn School Improvement Project of 2017 (AGM Insured), 5.00%, 7/1/35		625		773
5.00%, 7/1/36		1,175		1,450
Maricopa County Elementary School District No. 92 Pendergast Elementary G.O. Unlimited Bonds, Series D, Project of 2016, 5.00%, 7/1/28		1,000		1,263
Maricopa County IDA Educational Facilities Revenue Bonds, Creighton University Project, 5.00%, 7/1/39		1,285		1,514
5.00%, 7/1/47		1,000		1,160
Maricopa County IDA Hospital Revenue Refunding Bonds, Series A, Honorhealth, 5.00%, 9/1/42		4,000		4,828
Maricopa County IDA Revenue Refunding Bonds, Banner Health Obligation Group, 5.00%, 1/1/38		1,250		1,435
Maricopa County School District No. 3 Tempe Elementary G.O. Unlimited Bonds, Series A, School Improvement Project, 5.00%, 7/1/26		2,250		2,746
Maricopa County School District No. 31 Balsz G.O. Unlimited Bonds, Series A, School Improvement Project of 2018 (AGM Insured), 5.00%, 7/1/31		1,575		1,971
4.00%, 7/1/37		500		567
Maricopa County Special Health Care District G.O. Unlimited Bonds, 5.00%, 7/1/28		550		690
5.00%, 7/1/32		1,000		1,223
5.00%, 7/1/35		1,000		1,212

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
4.00%, 7/1/38		$2,500		$2,795
Maricopa County Unified High School District No. 216 Agua Fria G.O. Unlimited Bonds, 3.00%, 7/1/37		1,000		1,045
Maricopa County Unified School District No. 4 Mesa G.O. Unlimited Bonds, Series A, 5.00%, 7/1/22		1,375		1,490
Maricopa County Unified School District No. 41 Gilbert G.O. Unlimited Bonds, Series B, School Improvement Project of 2015, 5.00%, 7/1/28		525		654
5.00%, 7/1/29		650		807
5.00%, 7/1/31		500		617
Maricopa County Unified School District No. 41 Gilbert G.O. Unlimited Bonds, Series C, 5.00%, 7/1/24		1,000		1,157
Maricopa County Unified School District No. 48 Scottsdale G.O. Unlimited Bonds, Series C, 5.00%, 7/1/32		1,600		2,018
Maricopa County Unified School District No. 69 Paradise Valley G.O. Unlimited Bonds, 5.00%, 7/1/32		550		713
5.00%, 7/1/33		625		808
Maricopa County Unified School District No. 69 Paradise Valley G.O. Unlimited Bonds, Series A, 4.00%, 7/1/28		1,000		1,057
Maricopa County Unified School District No. 69 Paradise Valley G.O. Unlimited Bonds, Series D, School Improvement Project of 2011, 4.50%, 7/1/27		1,700		1,868
Maricopa County Unified School District No. 80 Chandler G.O. Unlimited Bonds, Series A-1, School Improvement Project of 2010, 4.00%, 7/1/22		1,040		1,078

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
Maricopa County Unified School District No. 80 Chandler G.O. Unlimited Bonds, Series C, School Improvement Project of 2015, 5.00%, 7/1/30		$1,335		$1,697
Maricopa County Unified School District No. 95 Queen Creek G.O. Limited Refunding Bonds, 5.00%, 7/1/26		400		473
Maricopa County Unified School District No. 95 Queen Creek G.O. Unlimited Bonds, 7/1/31 (1)		1,000		1,284
4.00%, 7/1/39		1,130		1,290
Maricopa County Unified School District No. 95 Queen Creek G.O. Unlimited Bonds, School Improvement, 5.00%, 7/1/37		650		767
Mesa Street & Highway Revenue Refunding Bonds (AGM Insured), 5.00%, 7/1/23		1,000		1,121
Mesa Utility System Revenue Refunding Bonds, Series A, 5.00%, 7/1/21		1,220		1,279
Mesa Utility System Revenue Refunding Bonds, Series B, 5.00%, 7/1/30		290		377
Mesa Utility System Revenue Refunding Bonds, Series C, 5.00%, 7/1/21		1,000		1,049
5.00%, 7/1/22		675		732
5.00%, 7/1/23		1,000		1,121
Northern Arizona University Revenue Refunding Bonds, Series B (BAM Insured), 5.00%, 6/1/38		2,000		2,543
Phoenix Civic Airport Improvement Corp. Junior Lien Airport Revenue Bonds, 3.00%, 7/1/49		2,000		1,982
4.00%, 7/1/49		1,000		1,086
5.00%, 7/1/49		1,000		1,180

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
Phoenix Civic Airport Improvement Corp. Revenue Refunding Bonds, Series B, 5.00%, 7/1/34		$4,000		$4,732
Phoenix Civic Improvement Corp. Rental Car Facility Revenue Bonds, Series A, 5.00%, 7/1/38		1,000		1,195
5.00%, 7/1/39		2,000		2,385
Phoenix Civic Improvement Corp. Water System Revenue Bonds, Series A, Junior Lien, 5.00%, 7/1/39		1,000		1,135
7/1/44 (1)		1,100		1,385
Phoenix Civic Improvement Corp. Water System Revenue Refunding Bonds, Series B, Junior Lien, 4.00%, 7/1/28		1,000		1,105
Pima County COPS, 5.00%, 12/1/20		1,040		1,066
5.00%, 12/1/22		650		714
Pima County Sewer System Revenue Bonds, 5.00%, 7/1/25		1,000		1,120
Pima County Sewer System Revenue Bonds (AGM Insured), Prerefunded, 5.00%, 7/1/20 (3)		1,350		1,363
Pima County Sewer System Revenue Bonds, Series B, Prerefunded, 5.00%, 7/1/21 (3)		1,000		1,046
Pima County Unified School District No. 10 Amphitheater G.O. Unlimited Bonds, Series D, School Improvement Project of 2007, 5.00%, 7/1/24		1,005		1,123
Pima County Unified School District No. 20 G.O. Unlimited Bonds, Vail School Improvement (BAM Insured), 3.00%, 7/1/21		420		429
5.00%, 7/1/26		1,685		2,045
Pima County Unified School District No. 6 G.O. Unlimited Bonds, Marana School Improvement (FHLMC Insured), 4.00%, 7/1/29		675		752

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

ARIZONA TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 96.5% – continued
Arizona – 96.5% – continued
Pinal County Community College District Revenue Bonds, Central Arizona Collage (BAM Insured), 5.00%, 7/1/28		$175		$210
Pinal County Unified School District No. 43 Apache Junction G.O. Unlimited Refunding Bonds (AGM Insured), 5.00%, 7/1/22		1,000		1,083
Prescott Valley Municipal Property Corp. Facilities Revenue Refunding Bonds, 5.00%, 1/1/24		1,835		1,887
Queen Creek Excise Tax & State Shared Revenue Bonds, Series B, 5.00%, 8/1/47		2,540		2,788
Salt River Project Agricultural Improvement & Power District Electric System Revenue Refunding Bonds, 5.00%, 1/1/31		1,000		1,255
Salt River Project Agricultural Improvement & Power District Electric System Revenue Refunding Bonds, Series A, 5.00%, 12/1/36		1,105		1,291
Scottsdale G.O. Unlimited Bonds, Series C, Projects of 2015, 5.00%, 7/1/24		100		116
Scottsdale Municipal Property Corp. Excise Tax Revenue Refunding Bonds, 5.00%, 7/1/30		2,675		3,414
Tempe G.O. Unlimited Bonds, 5.00%, 7/1/33		1,125		1,448
Tucson Water System Revenue Bonds, Prerefunded, 5.00%, 7/1/21(3)		1,825		1,915
Yavapai County IDA Hospital Facility Revenue Refunding Bonds, Yavapai Regional Medical, 3.13%, 8/1/43		2,450		2,504
4.00%, 8/1/43		1,000		1,125
				130,775
Total Municipal Bonds
(Cost $126,396)				130,775

	NUMBER OF SHARES		VALUE (000S)
INVESTMENT COMPANIES – 4 .8%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40%(4)(5)		6,496,994		$6,497
Total Investment Companies
(Cost $6,497)				6,497
	PRINCIPAL AMOUNT (000S)		VALUE (000S)
SHORT-TERM INVESTMENTS – 1 . 8%
Arizona State Refunding COPS, 5.00%, 9/1/20		$650		$660
Arizona State School District COPS TANS, 2.00%, 7/28/20		1,500		1,495
Salt River Project Agricultural Improvement & Power District Electric System Revenue Refunding Bonds, 5.00%, 1/1/21		300		309
Total Short-Term Investments
(Cost $2,471)				2,464
Total Investments – 103.1%
(Cost $135,364)				139,736
Liabilities less Other Assets – (3.1%)				(4,203)
NET ASSETS – 100.0%				$135,533

(1) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(2) Security has converted to a fixed rate as of July 1, 2015, and is a fixed rate going forward.

(3) Maturity date represents the prerefunded date.

(4) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(5) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

AGM - Assured Guaranty Municipal Corporation

BAM - Build America Mutual

COPS - Certificates of Participation

FHLMC - Federal Home Loan Mortgage Corporation

G.O. - General Obligation

GANS - Grant Anticipation Notes

IDA - Industrial Development Authority

S&P - Standard & Poor’s

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

TANS - Tax Anticipation Notes

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION *	% OF INVESTMENTS
AAA		6.6%
AA		69.6
A		17.2
A1 (Short Term)		1.1
Not Rated		0.9
Cash Equivalents		4.6
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
General		24.1%
General Obligation		6.5
Higher Education		12.1
Medical		9.6
School District		28.3
All other sectors less than 5%		19.4
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds (1)		$–		$130,775		$–		$130,775
Investment Companies		6,497		–		–		6,497
Short-Term Investments		–		2,464		–		2,464
Total Investments		$6,497		$133,239		$–		$139,736

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0%
California – 95.0%
Alameda County Joint Powers Authority Lease Revenue Bonds, Series A, Multiple Capital Projects, 4.00%, 12/1/24		$850		$936
Alameda County Unified School District G.O. Unlimited Bonds, Series B, Election of 2014, 5.00%, 8/1/42		4,000		4,790
Alameda County Unified School District G.O. Unlimited Bonds, Series C, Election of 2014, 3.00%, 8/1/42		3,950		4,065
Albany Unified School District G.O. Unlimited Bonds, Series B, Measure B, Election of 2016, 5.00%, 8/1/43		1,000		1,173
Anaheim Housing & Public Improvement Authority Revenue Refunding Bonds, Series B, 5.00%, 10/1/28		2,000		2,225
Azusa Unified School District G.O. Unlimited Bonds, Series C, Election of 2014, 5.00%, 8/1/44		1,700		2,090
Bay Area Toll Authority Subordinate Toll Bridge Revenue Refunding Bonds, Series S-H, 5.00%, 4/1/44		2,000		2,468
Bay Area Toll Authority Toll Bridge Revenue Refunding Bonds, 2.00%, 4/1/24 (1)(2)(3)		7,620		7,745
2.13%, 4/1/25 (1)(2)(3)		16,700		17,125
Bay Area Toll Authority Toll Bridge Revenue Refunding Bonds, Series E, 2.00%, 4/1/21 (1)(2)(3)		565		567
Bay Area Toll Authority Toll Bridge San Francisco Bay Area Revenue Refunding Bonds, 2.95%, 4/1/26 (1)(2)(3)		19,975		21,600
California HFA Municipal Certificates Revenue Bonds, Series 2, Class A, 4.00%, 3/20/33		996		1,057
California School Finance Authority Educational Facilities Revenue Bonds, Granada Hills Charter Obligated Group, 5.00%, 7/1/43		1,000		1,048

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
California School Finance Authority Educational Facilities Revenue Bonds, Series A, Kipp Socal Public School Projects, 5.00%, 7/1/39		$1,000		$1,093
California State Department of Water Resources Central Valley Project Revenue Bonds, Series AR, 4.00%, 12/1/34		1,795		1,965
California State Enterprise Development Authority Lease Revenue Bonds, Riverside County Library Facilities Project, 3.00%, 11/1/44		3,000		3,060
4.00%, 11/1/49		1,900		2,085
California State G.O. Unlimited Bonds, 5.00%, 3/1/26		1,250		1,473
5.25%, 11/1/40		8,500		8,669
California State G.O. Unlimited Refunding Bonds, 5.00%, 9/1/27		1,845		2,257
5.00%, 10/1/27		3,850		4,834
5.00%, 8/1/28		4,000		4,971
5.00%, 10/1/28		3,000		3,849
5.00%, 3/1/35		3,500		4,516
California State G.O. Unlimited Refunding Bonds, Bid Group C, 5.00%, 8/1/27		2,000		2,441
5.00%, 8/1/28		7,000		8,525
California State G.O. Unlimited Refunding Bonds, Group C, 5.00%, 8/1/26		1,000		1,175
California State G.O. Unlimited Refunding Bonds, Series C, 5.00%, 9/1/26		3,500		4,182
California State G.O. Unlimited Various Purpose Refunding Bonds, 5.00%, 10/1/26		2,750		3,201
California State Health Facilities Financing Authority Revenue Bonds, Series A, Sutter Health, 5.00%, 11/15/32		1,200		1,386

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
California State Health Facilities Financing Authority Revenue Refunding Bonds, Cedars-Sinai Medical Center, 5.00%, 11/15/27		$250		$302
California State Health Facilities Financing Authority Revenue Refunding Bonds, Children’s Hospital of Orange County, 5.00%, 11/1/28		700		909
California State Health Facilities Financing Authority Revenue Refunding Bonds, Providence St. Joseph Health, 2.00%, 10/1/25 (1)(2)(3)		2,450		2,415
California State Health Facilities Financing Authority Revenue Refunding Bonds, Series B, Sutter Health, 5.00%, 11/15/35		2,500		2,921
5.00%, 11/15/46		3,000		3,440
California State Infrastructure & Economic Development Bank Revenue Bonds, Equitable School Revolving Fund, 5.00%, 11/1/39		550		669
California State Infrastructure & Economic Development Bank Revenue Bonds, UCSF 2130 Third Street, 5.00%, 5/15/36		1,000		1,224
California State Municipal Finance Authority MFH Pass-Through Revenue Bonds, Park Western Apartment (FNMA Insured), 2.65%, 8/1/36		3,478		3,528
California State Municipal Finance Authority Revenue Bonds, Series A, National University, 5.00%, 4/1/36		2,245		2,643
California State Municipal Finance Authority Student Housing Revenue Bonds, CHF-Davis I, LLC -West Village, 5.00%, 5/15/39		1,500		1,609

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
California State Public Works Board Lease Revenue Bonds, Series D, Judicial Council Projects, 4.25%, 12/1/20		$1,000		$1,021
California State University Revenue Bonds, Series A, 5.00%, 11/1/31		2,670		3,419
California State University Systemwide Revenue Refunding Bonds, Series A, 4.00%, 11/1/45		2,600		2,803
California State Various Purpose G.O. Unlimited Bonds, 5.00%, 10/1/23		500		565
5.00%, 5/1/24		1,450		1,667
5.00%, 11/1/28		4,000		4,999
5.25%, 3/1/30		1,500		1,505
5.25%, 10/1/39		1,500		1,784
California State Various Purpose G.O. Unlimited Bonds, Bidding Group, 5.00%, 9/1/28		5,000		6,102
California Statewide Communities Development Authority Revenue Bonds, Viamonte Senior Living Project (California Mortgage Insured), 3.00%, 7/1/26		5,500		5,541
Centinela Valley Union High School District G.O. Unlimited Bonds, Series B, Election of 2008, Prerefunded, 5.75%, 8/1/23 (4)		1,000		1,150
Central Unified School District G.O. Unlimited Bonds, Series B, Election of 2016, 4.00%, 8/1/48		1,000		1,092
Contra Costa Community College District G.O. Unlimited Bonds, Series B-2, 3.00%, 8/1/35		775		825
Desert Community College District G.O. Unlimited Bonds, Riverside & Imperial County, 5.00%, 8/1/43		1,125		1,233
Desert Sands Unified School District G.O. Unlimited Bonds, Election of 2014, 5.00%, 8/1/39		1,330		1,604

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
El Camino Community College District G.O. Unlimited CABS, Series C, Election of 2002, 0.00%, 8/1/23 (5)		$9,940		$9,531
Evergreen School District G.O. Unlimited Bonds, Election of 2014, 5.00%, 8/1/46		1,000		1,213
Fremont Union High School District Santa Clara County G.O. Unlimited Bonds, Series A, Election of 2008, Prerefunded, 5.38%, 8/1/21 (4)		1,500		1,587
Imperial Irrigation District Electric Revenue Bonds, Series B-1, 5.00%, 11/1/46		2,500		2,929
Long Beach Community College District G.O. Unlimited Refunding Bonds, Series F, 5.00%, 6/1/27		1,100		1,294
Long Beach Harbor Revenue Bonds, Series A (AMT), 5.00%, 5/15/30		1,300		1,510
Long Beach Harbor Revenue Refunding Bonds, Series C, 5.00%, 5/15/47		3,000		3,463
Long Beach Unified School District G.O. Unlimited Bonds, Series F, Election of 2008, 3.00%, 8/1/38		3,270		3,357
Long Beach Unified School District G.O. Unlimited Bonds, Series SE, Election of 2008, Unrefunded Balance, 5.00%, 8/1/20		70		70
Los Angeles Community College District G.O. Unlimited Bonds, Series K, Election of 2008, 3.00%, 8/1/39		3,600		3,718
Los Angeles County Public Works Financing Authority Lease Revenue Bonds, Multiple Capital Projects II, 5.00%, 8/1/24		945		1,028
Los Angeles County Public Works Financing Authority Lease Revenue Bonds, Series D, 5.00%, 12/1/29		1,665		1,980

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Los Angeles County Public Works Financing Authority Lease Revenue Bonds, Series E-1, 5.00%, 12/1/44		$3,405		$4,068
Los Angeles County Public Works Financing Authority Lease Revenue Refunding Bonds, Series B, 5.00%, 12/1/29		2,630		3,128
5.00%, 12/1/31		2,000		2,374
Los Angeles County TRANS, 5.00%, 6/30/20		5,200		5,248
Los Angeles Department of Airports Airport Subordinate Revenue Bonds (AMT), Los Angeles International, 5.00%, 5/15/23		500		549
5.00%, 5/15/24		500		564
5.00%, 5/15/30		1,465		1,781
Los Angeles Department of Airports Airport Subordinate Revenue Bonds (AMT), Los Angeles International Airport, 5.25%, 5/15/31		2,000		2,377
5.00%, 5/15/44		1,500		1,771
Los Angeles Department of Airports Revenue Refunding Bonds, Series B (AMT), 5.00%, 5/15/27		7,435		8,895
5.00%, 5/15/28		7,630		9,272
5.00%, 5/15/29		1,000		1,209
Los Angeles Department of Airports Senior Revenue Bonds, Series B, 5.00%, 5/15/27		640		748
Los Angeles Department of International Airports Revenue Bonds, Series D, 5.25%, 5/15/29		3,000		3,014
5.00%, 5/15/40		3,500		3,513
Los Angeles Department of Water & Power System Revenue Bonds, Series C, 5.00%, 7/1/49		1,000		1,216
Los Angeles Department of Water & Power Waterworks System Revenue Refunding Bonds, Series B, 5.00%, 7/1/43		1,850		2,246

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Los Angeles Harbor Department Revenue Refunding Bonds, Series A (AMT), Private Activity, 5.00%, 8/1/25		$6,750		$7,914
Los Angeles Unified School District G.O. Unlimited Bonds, Series B-1, Election of 2008, 4.00%, 7/1/24		1,930		2,127
4.00%, 7/1/25		3,000		3,361
5.00%, 7/1/29		1,500		1,822
5.00%, 7/1/30		190		230
Los Angeles Unified School District G.O. Unlimited Refunding Bonds, Series A, 5.00%, 7/1/24		2,360		2,697
5.00%, 7/1/26		5,440		6,495
Los Angeles Wastewater System Revenue Refunding Bonds, Series A (NATL Insured), Escrowed to Maturity, 6.00%, 6/1/21		1,185		1,252
Los Angeles Wastewater System Revenue, Subseries A, Green Bonds, 5.00%, 6/1/38		1,100		1,335
Los Rios Community College District G.O. Unlimited Bonds, Series D, 3.00%, 8/1/44		2,000		2,051
Marin County COPS, Prerefunded, 3.00%, 8/1/20 (4)		1,595		1,605
4.00%, 8/1/20 (4)		1,140		1,151
Metropolitan Water District of Southern California Subordinate Revenue Refunding Bonds, Series A, 2.50%, 7/1/27		6,650		7,258
Midpeninsula Regional Open Space District Revenue Bonds, Prerefunded, 5.25%, 9/1/21 (4)		2,000		2,119
Modesto Irrigation District Financing Authority Electric System Revenue Bonds, Series A, 5.00%, 10/1/26		1,490		1,791
5.00%, 10/1/27		1,130		1,357
5.00%, 10/1/28		2,770		3,316

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Modesto Irrigation District Financing Authority Electric System Revenue Refunding Bonds, Series B, 5.00%, 10/1/28		$2,150		$2,788
Modesto Irrigation District Financing Authority Revenue Refunding Bonds, Series G, Domestic Water Project (AGM Insured), 5.00%, 9/1/22		1,445		1,579
Monterey County Public Facilities Financing COPS, 5.00%, 10/1/27		1,000		1,201
5.00%, 10/1/28		670		802
Mount San Antonio Community College District G.O. Unlimited Bonds, Election of 2018, Series A, 5.00%, 8/1/44		1,900		2,358
Natomas Unified School District G.O. Unlimited Bonds (AGM Insured), 3.00%, 8/1/39		1,655		1,709
3.00%, 8/1/40		2,325		2,392
3.00%, 8/1/41		2,590		2,660
Natomas Unified School District G.O. Unlimited Bonds, Election of 2014, 5.00%, 8/1/25		1,690		1,938
Natomas Unified School District G.O. Unlimited Bonds, Election of 2014 (BAM Insured), 5.00%, 8/1/33		1,185		1,411
Natomas Unified School District G.O. Unlimited Refunding Bonds (BAM Insured), 5.00%, 8/1/31		3,620		4,330
Northern Energy Authority Commodity Supply Revenue Bonds, Series A, 4.00%, 7/1/24 (1)(2)(3)		2,000		2,074
Oakland Unified School District Alameda County G.O. Unlimited Bonds, Series A, 5.00%, 8/1/22		750		810
5.00%, 8/1/24		600		685
Orange County Local Transportation Authority Sales TRB, 5.00%, 2/15/33		3,000		3,808

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Oxnard Union High School District G.O. Unlimited Bonds, Series A, Election of 2018, 5.00%, 8/1/42		$3,000		$3,530
Palm Springs Unified School District G.O. Unlimited Bonds, Series D, Election of 2008, 2.00%, 8/1/27		1,970		2,028
Paso Robles Joint Unified School District G.O. Unlimited Bonds, Series A, 4.00%, 8/1/43		4,220		4,712
4.00%, 8/1/46		5,950		6,597
Placentia-Yorba Linda Unified School District G.O. Unlimited Refunding Bonds, 5.00%, 8/1/26		1,000		1,181
Poway Unified School District No. 07 Improvement G.O. Unlimited Bonds, Series 1-A, Election of 2008, 0.00%, 8/1/20 (5)		3,280		3,268
Redlands Unified School District G.O. Unlimited Refunding Bonds, San Bernandino County, 3.00%, 7/1/30		2,295		2,499
Richmond Joint Powers Financing Authority Revenue Refunding Bonds, Series A, Civic Center Project (AGM Insured), 5.00%, 11/1/24		600		701
5.00%, 11/1/25		1,000		1,200
5.00%, 11/1/26		750		923
Riverside County Asset Leasing Corp. Lease Revenue Bonds, Series 2013 A, Public Defender & Probation Building, Prerefunded, 5.25%, 11/1/23 (4)		150		171
Riverside County Asset Leasing Corp. Lease Revenue Bonds, Series 2013 A, Public Defender & Probation Building, Unrefunded Balance, 5.25%, 11/1/24		650		743
Riverside County TRANS, 5.00%, 6/30/20		1,500		1,513
Riverside County Transportation Commission Revenue Refunding Bonds, Series A, 3.00%, 6/1/26		5,500		5,880

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Riverside County Transportation Commission Sales Tax Revenue Refunding Bonds, Series B, 5.00%, 6/1/30		$2,500		$3,131
Riverside Public Financing Authority Local Measure A Sales Tax Revenue COPS, Riverside Payment Rehabilitation (AGM Insured), 5.25%, 6/1/24		615		693
Sacramento County Airport System Revenue Refunding Bonds, Series A, 5.00%, 7/1/29		565		694
5.00%, 7/1/31		500		608
Sacramento County Airport System Revenue Refunding Bonds, Series B, 5.00%, 7/1/29		680		835
Sacramento County Airport System Senior Revenue Bonds, 5.00%, 7/1/28		1,500		1,513
San Diego Association of Governments Capital Grant Receipts Revenue Bonds, Mid Coast Corridor, Green Bonds, 5.00%, 11/15/26		1,000		1,174
San Diego Association of Governments South Bay Expressway Toll Senior Lien Revenue Bonds, Series A, 5.00%, 7/1/29		850		1,058
5.00%, 7/1/37		1,000		1,199
San Diego Public Facilities Financing Authority Lease Revenue Refunding Bonds, Ballpark, 5.00%, 10/15/30		1,040		1,250
San Diego Unified School District G.O. Unlimited Bonds, Series I, Election of 2012, 5.00%, 7/1/41		3,380		4,055
San Diego Unified School District G.O. Unlimited Refunding Bonds, Series E-2, Election of 1998 (AGM Insured), 5.50%, 7/1/27		1,500		1,911
San Francisco Bay Area Rapid Transit District G.O. Unlimited Bonds, Green Bonds, 5.00%, 8/1/31		2,000		2,589

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
San Francisco Bay Area Rapid Transit District Sales TRB, Series A, 3.00%, 7/1/44		$2,000		$2,050
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series A (AMT), 5.00%, 5/1/38		3,000		3,516
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series E (AMT), 4.00%, 5/1/50		3,500		3,687
San Francisco City & County Airports Commission International Airport Revenue Refunding Bonds (AMT), Series D, 5.00%, 5/1/25		1,000		1,140
San Francisco City & County Airports Commission International Airport Revenue Refunding Bonds, Second Series A (AMT), 5.00%, 5/1/24		1,095		1,166
San Francisco City & County G.O. Unlimited Bonds, Series C, 3.00%, 6/15/30		5,415		5,701
San Francisco City & County Public Utilities Commission Water Revenue Refunding Bonds, Series D, Green Bonds, 5.00%, 11/1/32		1,375		1,679
San Francisco City & County Unified School District G.O. Unlimited Bonds, Proposition A, Series F&C, 3.25%, 6/15/32		1,500		1,581
San Francisco City & County Unified School District Property G.O. Unlimited Bonds, Series E, Election of 2006, 5.00%, 6/15/22		2,615		2,634
San Francisco County Transportation Authority Sales TRB, 3.00%, 2/1/30		5,000		5,426
San Jacinto Unified School District G.O. Unlimited Refunding Bonds (AGM Insured), 5.00%, 8/1/26		1,055		1,209

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
San Joaquin County Transportation Authority Measure K Limited TRB, Series A, Prerefunded, 5.75%, 3/1/21 (4)		$2,000		$2,083
San Jose Airport Revenue Refunding Bonds, Series A (AMT), 5.00%, 3/1/22		1,495		1,597
San Jose G.O. Unlimited Refunding Bonds, Series C, 5.00%, 9/1/31		1,900		2,439
San Jose Unified School District Santa Clara County G.O. Unlimited Refunding Bonds, Prerefunded, 5.00%, 8/1/21 (4)		830		873
San Jose Unified School District Santa Clara County G.O. Unlimited Refunding Bonds, Unrefunded Balance, 5.00%, 8/1/23		170		179
San Rafael Elementary School District G.O. Unlimited Bonds, Series B, Election of 2015, 4.50%, 8/1/42		1,750		2,039
Santa Clara Unified School District G.O. Unlimited Bonds, Election of 2010, Prerefunded, 4.50%, 7/1/20 (4)		2,000		2,018
Santa Clara Unified School District G.O. Unlimited Bonds, Series A, Election of 2004, Prerefunded, 5.00%, 7/1/20 (4)		1,500		1,515
Santa Clarita Community College District G.O. Unlimited Bonds, 3.00%, 8/1/44		1,000		1,028
Santa Rosa Elementary School District G.O. Unlimited Bonds, Series D, Election of 2014 (AGM Insured), 5.00%, 8/1/43		1,145		1,343
Santa Rosa High School District G.O. Unlimited Bonds, Series C, Election of 2014 (AGM Insured), 5.00%, 8/1/43		1,000		1,169
Sequoia Union High School District G.O. Unlimited Bonds, Series C-1, Election of 2008, Prerefunded, 6.00%, 7/1/21 (4)		2,000		2,123

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Southern California Financing Authority Water Replenishment Assessment Revenue Bonds, 5.00%, 8/1/43		$2,000		$2,440
Southern California Public Power Authority Revenue Bonds, Milford Wind Corridor Phase II Project, 5.25%, 7/1/27		1,000		1,049
Southern California Public Power Authority Revenue Bonds, Windy Point/Windy Flats Project No. 1, 5.00%, 7/1/26		4,700		4,744
Stockton Public Financing Authority Parking Revenue Refunding Bonds, 5.00%, 3/1/32		555		668
5.00%, 3/1/33		600		720
5.00%, 3/1/47		1,125		1,293
Turlock Irrigation District First Priority Subordinated Revenue Refunding Bonds, 5.00%, 1/1/28		625		724
University of California General Revenue Bonds, Series AF, Prerefunded, 5.00%, 5/15/23 (4)		1,220		1,361
Ventura County Public Financing Authority Lease Revenue Bonds, Series B, 5.00%, 11/1/24		1,060		1,204
Ventura Unified School District G.O. Unlimited Refunding Bonds, 8/1/29 (6)		640		827
8/1/30 (6)		680		876
8/1/31 (6)		710		911
Visalia Unified School District COPS (AGM Insured), 3.00%, 5/1/27		1,525		1,549
Western Riverside Water & Wastewater Finance Authority Western Municipal Water District Improvement Revenue Bonds (AGC Insured), 5.13%, 9/1/29		1,645		1,650

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 95.0% – continued
Yucaipa Valley Water District Water System Revenue Refunding Bonds, Series A, 5.00%, 9/1/26		$1,000		$1,198
				468,685
Total Municipal Bonds
(Cost $457,079)				468,685
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.0%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (7)(8)		14,836,965		$14,837
Total Investment Companies
(Cost $14,837)				14,837
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 1.7%
California State Department of Water Resources Bonds, 1.06%, 4/2/20		$7,000		$6,999
Vernon Electric System Revenue Refunding Bonds, Series A, 5.00%, 8/1/20		1,500		1,513
Total Short-Term Investments
(Cost $8,520)				8,512
Total Investments – 99.7%
(Cost $480,436)				492,034
Other Assets less Liabilities – 0.3%				1,250
NET ASSETS – 100.0%				$493,284

(1) Maturity date represents the puttable date.

(2) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) Maturity date represents the prerefunded date.

(5) Zero coupon bond.

(6) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(7) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(8) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

AGC - Assured Guaranty Corporation

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

AGM - Assured Guaranty Municipal Corporation

AMT - Alternative Minimum Tax

BAM - Build America Mutual

CABS - Capital Appreciation Bonds

COPS - Certificates of Participation

FNMA - Federal National Mortgage Association

G.O. - General Obligation

HFA - Housing Finance Authority

MFH - Multi-Family Housing

NATL - National Public Finance Guarantee Corporation

S&P - Standard & Poor’s

TRANS - Tax and Revenue Anticipation Notes

TRB - Tax Revenue Bonds

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION *	% OF INVESTMENTS
AAA		0.8%
AA		77.9
A		12.0
A1+ (Short Term)		1.4
BBB		1.6
Not rated		3.3
Cash Equivalents		3.0
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
Airport		9.9%
General		14.7
General Obligation		18.3
School District		21.1
Transportation		13.1
All other sectors less than 5%		22.9
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

	LEVEL 1		LEVEL 2		LEVEL 3		TOTAL
INVESTMENTS	(000s)		(000s)		(000s)		(000s)
Municipal Bonds (1)		$ –		$468,685		$–		$468,685
Investment Companies		14,837		–		–		14,837
Short-Term Investments		–		8,512		–		8,512
Total Investments		$14,837		$477,197		$–		$492,034

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA TAX-EXEMPT FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8%
California – 88.8%
Alameda County Unified School District G.O. Unlimited Bonds, Series B, Election of 2014, 5.00%, 8/1/42		$1,000		$1,197
Alameda County Unified School District G.O. Unlimited Bonds, Series C, Election of 2014, 3.00%, 8/1/42		3,000		3,087
Albany Unified School District G.O. Unlimited Bonds, Series B, Measure B, Election of 2016, 4.00%, 8/1/46		1,000		1,096
Bay Area Toll Authority Toll Bridge San Francisco Bay Area Revenue Refunding Bonds, 2.95%, 4/1/26 (1) (2) (3)		5,500		5,947
Bay Area Toll Authority Toll Bridge Subordinate Revenue Refunding Bonds, Series S-H, 5.00%, 4/1/49		1,000		1,224
Beaumont Unified School District G.O. Unlimited Bonds, Series D, Election of 2008 (BAM Insured), 5.25%, 8/1/44		1,500		1,779
California HFA Municipal Certificates Revenue Bonds, Series 2, Class A, 4.00%, 3/20/33		996		1,057
California State Construction G.O. Unlimited Bonds, 3.00%, 10/1/49		1,000		1,011
California State Educational Facilities Authority Revenue Bonds, Series U-6, Stanford University, 5.00%, 5/1/45		3,000		4,510
California State Enterprise Development Authority Lease Revenue Bonds, Riverside County Library Facilities Project, 4.00%, 11/1/49		1,000		1,098
California State G.O. Unlimited Bonds, Various Purpose, 3.00%, 3/1/50		1,500		1,515
California State G.O. Unlimited Refunding Bonds, 5.00%, 4/1/25		1,500		1,771
5.00%, 10/1/28		3,000		3,849

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
California State G.O. Unlimited Refunding Bonds, Group C, 5.00%, 8/1/26		$2,500		$2,937
California State G.O. Unlimited Refunding Bonds, Series C, 5.00%, 9/1/26		500		597
California State Health Facilities Financing Authority Revenue Refunding Bonds, Series B, Sutter Health, 5.00%, 11/15/46		1,000		1,147
California State Infrastructure & Economic Development Bank Revenue Bonds, Equitable School Revolving Fund, 5.00%, 11/1/44		625		751
California State Infrastructure & Economic Development Bank Revenue Bonds, UCSF 2130 Third Street, 5.00%, 5/15/42		1,000		1,203
California State Infrastructure & Economic Development Bank Variable Revenue Refunding Bonds, 1.75%, 8/1/26 (1)(2)(3)		3,500		3,533
California State Municipal Finance Authority Revenue Bonds, Series A, National University, 5.00%, 4/1/40		1,000		1,165
California State Municipal Finance Authority Student Housing Revenue Bonds, CHF-Davis I, LLC -West Village, 5.00%, 5/15/39		1,000		1,072
5.00%, 5/15/43		1,000		1,065
California State Public Works Board Lease Revenue Refunding Bonds, Various Capital Projects, 5.00%, 11/1/21		250		265
California State University Systemwide Revenue Refunding Bonds, Series A, 4.00%, 11/1/45		1,000		1,078
California State Various Purpose G.O. Unlimited Bonds, 5.00%, 10/1/20		4,000		4,078
5.25%, 3/1/30		3,500		3,511
5.50%, 3/1/40		2,865		2,873

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
Carlsbad Unified School District G.O. Unlimited Bonds, Series A, Election of 2018, 3.00%, 8/1/42		$550		$570
Centinela Valley Union High School District G.O. Unlimited Bonds, Series B, Election of 2008, Prerefunded, 5.75%, 8/1/23 (4)		570		655
6.00%, 8/1/23 (4)		1,000		1,156
Compton Unified School District G.O. Unlimited Bonds, Series B (BAM Insured), 4.00%, 6/1/49		1,675		1,837
Corona-Norco Unified School District G.O. Unlimited Bonds, Series C, 4.00%, 8/1/49		1,000		1,111
Desert Sands Unified School District G.O. Unlimited Bonds, Election of 2014, 4.00%, 8/1/44		500		553
Evergreen School District G.O. Unlimited Bonds, Election of 2014, 5.00%, 8/1/46		1,300		1,576
Fremont Union High School District Santa Clara County G.O. Unlimited Bonds, Series A, Election of 2008, Prerefunded, 5.38%, 8/1/21 (4)		3,500		3,704
Imperial Irrigation District Electric Revenue Bonds, Series B-1, 5.00%, 11/1/46		1,500		1,757
Lancaster Financing Authority Revenue Bonds, Measure M & R Street Improvements Project, 4.00%, 6/1/49		2,830		3,172
Los Angeles Community College District G.O. Unlimited Bonds, Series K, Election of 2008, 3.00%, 8/1/39		1,400		1,446
Los Angeles County TRANS, 5.00%, 6/30/20		1,200		1,211
Los Angeles Department of Airports Airport Subordinate Revenue Bonds (AMT), Los Angeles International, 5.00%, 5/15/31		1,000		1,211

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
Los Angeles Department of Airports Airport Subordinate Revenue Bonds (AMT), Los Angeles International Airport, 5.00%, 5/15/44		$500		$591
Los Angeles Department of Airports Private Activity Senior Revenue Bonds (AMT), 5.00%, 5/15/21		2,000		2,074
Los Angeles Department of Airports Revenue Refunding Bonds, Series B (AMT), 5.00%, 5/15/29		4,000		4,836
5.00%, 5/15/31		5,000		5,997
Los Angeles Unified School District G.O. Unlimited Refunding Bonds, Series A, 5.00%, 7/1/21		1,410		1,475
5.00%, 7/1/24		3,000		3,429
Los Rios Community College District G.O. Unlimited Bonds, Series D, 3.00%, 8/1/44		1,000		1,025
Lucia Mar Unified School District G.O. Unlimited Bonds, Series B, Election of 2016, 5.00%, 8/1/42		1,450		1,772
Manteca Redevelopment Agency Successor Agency Tax Allocation Refunding Bonds, Series A (BAM Insured), 4.00%, 10/1/39		500		583
Marin County COPS, Prerefunded, 4.25%, 8/1/20 (4)		1,575		1,592
Metropolitan Water District of Southern California Subordinate Revenue Refunding Bonds, Series A, 5.00%, 7/1/22		1,000		1,085
Metropolitan Water District of Southern California Subordinate Revenue Refunding Bonds, Series B, 4.00%, 8/1/23		395		431
Midpeninsula Regional Open Space District Revenue Bonds, Prerefunded, 5.25%, 9/1/21 (4)		600		636
5.50%, 9/1/21 (4)		2,500		2,657

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
Monterey County Financing Authority Revenue Refunding Bonds, 5.00%, 9/1/37		$1,170		$1,452
Mount San Antonio Community College District G.O. Unlimited Bonds, Election of 2018, Series A, 5.00%, 8/1/44		1,000		1,241
New Haven Unified School District G.O. Unlimited Bonds, Series C, Alameda County, 3.00%, 8/1/49		1,520		1,552
Newport Mesa Unified School District G.O. Unlimited CABS, Election of 2005, 0.00%, 8/1/33 (5)		10,000		7,610
Northern Energy Authority Commodity Supply Revenue Bonds, Series A, 4.00%, 7/1/24 (1)(2)(3)		2,000		2,074
Palm Springs Unified School District G.O. Unlimited Bonds, Series D, Election of 2008, 3.00%, 8/1/31		2,435		2,618
Palomar Pomerado Health G.O. Unlimited Convertible CABS, Series A, Election of 2004 (AGC Insured), 7.00%, 8/1/38 (6)		5,000		7,069
Riverside County Teeter Obligation Revenue Notes, Series A, 1.38%, 10/22/20		1,500		1,501
Riverside County TRANS, 5.00%, 6/30/20		1,000		1,009
Riverside Electric Revenue Refunding Bonds, Series A, 5.00%, 10/1/43		2,330		2,822
Ross Valley Public Financing Authority Revenue Bonds, Sanitary District No. 1 of Marin County, 5.00%, 1/1/36		275		319
5.00%, 1/1/37		215		249
Sacramento Municipal Utility District Revenue Bonds, Series A, 5.00%, 8/15/37		55		61

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
San Diego Association of Governments Capital Grant Receipts Revenue Bonds, Mid Coast Corridor, Green Bonds, 1.80%, 11/15/27		$1,000		$1,005
San Diego Unified School District G.O. Unlimited Bonds, Series I, Election of 2012, 5.00%, 7/1/41		1,175		1,410
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series A (AMT), 5.00%, 5/1/38		1,000		1,172
5.00%, 5/1/42		1,500		1,696
5.00%, 5/1/49		1,000		1,150
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series E (AMT), 5.00%, 5/1/45		1,000		1,156
4.00%, 5/1/50		1,500		1,580
San Francisco City & County Airports Commission International Airport Revenue Refunding Bonds (AMT), Series D, 5.00%, 5/1/25		1,000		1,140
San Francisco City & County G.O. Unlimited Bonds, Series C, 3.00%, 6/15/30		1,000		1,053
San Francisco City & County G.O. Unlimited Bonds, Series D, 5.00%, 6/15/23		950		1,032
San Francisco City & County Unified School District G.O. Unlimited Bonds, Proposition A, Series F&C, 3.25%, 6/15/32		2,500		2,636
San Joaquin County Transportation Authority Measure K Limited TRB, Series A, Prerefunded, 5.25%, 3/1/21 (4)		2,075		2,152
San Jose G.O. Unlimited Bonds, Series A-1, 5.00%, 9/1/42		1,310		1,619
Santa Ana College Improvement District No. 1 Rancho Santiago Community College District G.O. Unlimited Bonds, 3.00%, 8/1/39		2,130		2,200

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
Santa Ana Gas Tax Revenue Refunding Bonds, 4.00%, 1/1/21		$955		$976
Santa Clara Electric Revenue Refunding Bonds, Series A, 6.00%, 7/1/31		1,195		1,265
Santa Clarita Community College District G.O. Unlimited Bonds, 3.00%, 8/1/49		2,475		2,526
Santa Rosa High School District G.O. Unlimited Bonds, Series C, Election of 2014 (AGM Insured), 5.00%, 8/1/43		500		585
Sequoia Union High School District G.O. Unlimited Bonds, Series C-1, Election of 2008, Prerefunded, 6.00%, 7/1/21(4)		2,025		2,150
Simi Valley Unified School District G.O. Unlimited Bonds, Series B, 4.00%, 8/1/48		2,130		2,343
South Bayside Waste Management Authority Solid Waste Enterprise Revenue Refunding Bonds, Shoreway Environmental Center, Green Bonds (AGM Insured), 5.00%, 9/1/32		500		638
Stockton Public Financing Authority Parking Revenue Refunding Bonds, 5.00%, 3/1/32		250		301
5.00%, 3/1/33		245		294
5.00%, 3/1/47		500		575
University of California General Revenue Bonds, Series AF, Prerefunded, 5.00%, 5/15/23(4)		430		480
University of California Revenue Refunding Bonds, Series O, Limited Project, 5.00%, 5/15/58		2,500		2,991
Ventura Unified School District G.O. Unlimited Refunding Bonds, 8/1/27(7)		585		725
8/1/28(7)		620		785

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 88.8% – continued
California – 88.8% – continued
Western Riverside Water & Wastewater Finance Authority Western Municipal Water District Improvement Revenue Bonds (AGC Insured), 5.13%, 9/1/29		$2,000		$2,006
				171,776
Total Municipal Bonds
(Cost $163,241)				171,776
	NUMBER OF SHARES		VALUE (000S)
INVESTMENT COMPANIES – 4.2%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40%(8)(9)		8,041,087		$8,041
Total Investment Companies
(Cost $8,041)				8,041
	PRINCIPAL AMOUNT (000S)		VALUE (000S)
SHORT—TERM INVESTMENTS – 6.9%
California State Department of Water Resources Bonds, 1.06%, 4/2/20		$3,000		$3,000
California State Infrastructure & Economic Development Bank Revenue Bonds, Clean Water State, Green Bonds, 5.00%, 10/1/20		1,975		2,013
California State Public Works Board Lease Revenue Refunding Bonds, Series A, Various Capital Project, 5.00%, 4/1/20		500		500
California State Public Works Board Lease Revenue Refunding Bonds, Series F, 5.00%, 5/1/20		610		612
Los Angeles County Metropolitan Transportation Authority Sales Tax Revenue Refunding Bonds, Series A, 5.00%, 6/1/20		500		503
San Diego Unified School District TRANS, Series A, 5.00%, 6/30/20		4,600		4,643

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

CALIFORNIA TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 6.9% – continued
University of California Limited Project Revenue Refunding Bonds, Series I, 5.00%, 5/15/20		$1,005		$1,010
Vernon Electric System Revenue Refunding Bonds, Series A, 5.00%, 8/1/20		1,000		1,008
Total Short-Term Investments
(Cost $13,297)				13,289
Total Investments – 99.9%
(Cost $184,579)				193,106
Other Assets less Liabilities – 0.1%				212
NET ASSETS – 100.0%				$193,318

(1) Maturity date represents the puttable date.

(2) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) Maturity date represents the prerefunded date.

(5) Zero coupon bond.

(6) Step coupon bond. Rate as of March 31, 2020 is disclosed.

(7) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(8) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(9) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

AGC - Assured Guaranty Corporation

AGM - Assured Guaranty Municipal Corporation

AMT - Alternative Minimum Tax

BAM - Build America Mutual

CABS - Capital Appreciation Bonds

COPS - Certificates of Participation

G.O. - General Obligation

HFA - Housing Finance Authority

S&P - Standard & Poor’s

TRANS - Tax and Revenue Anticipation Notes

TRB - Tax Revenue Bonds

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
AAA		7.1%
AA		63.6
A		15.0
A1+ (Short Term)		3.6
A1 (Short Term)		0.8
BBB		2.8
Not rated		2.9
Cash Equivalents		4.2
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
Airport		11.7%
General		12.3
General Obligation		21.4
Higher Education		6.4
School District		24.6
All other sectors less than 5%		23.6
Total		100.0%

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds(1)		$–		$171,776		$–		$171,776
Investment Companies		8,041		–		–		8,041
Short-Term Investments		–		13,289		–		13,289
Total Investments		$8,041		$185,065		$–		$193,106

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0%
Alabama – 1.9%
Alabama State Port Authority Docks Facilities Revenue Bonds, Prerefunded, 6.00%, 10/1/20 (1)		$5,000		$5,121
Hoover IDB Environmental Improvement Revenue Bonds, United States Steel Corp. (AMT), 5.75%, 10/1/49		1,000		892
Lower Alabama Gas District Gas Project Revenue Bonds, Series A, 5.00%, 9/1/46		3,000		3,517
				9,530
Arizona – 6.0%
Arizona State IDA Education Revenue Bonds, Academies of Math & Science Project, 5.63%, 7/1/48 (2)(3)		2,000		2,050
Arizona State IDA Education Revenue Bonds, Candeo Schools, Inc., Project (School District Credit Program), 4.00%, 7/1/47		700		729
Arizona State IDA Education Revenue Bonds, Christian University Project, 5.63%, 10/1/49 (2)		700		583
Arizona State IDA Education Revenue Bonds, Doral Academy of Nevada – Fire Mesa, 5.00%, 7/15/49		1,675		1,577
Arizona State IDA Education Revenue Bonds, Odyssey Preparatory Academy Project, 4.38%, 7/1/39		1,000		793
5.00%, 7/1/49		1,000		846
Arizona State IDA Education Revenue Refunding Bonds, Series A, Cadence Campus Project, 4.00%, 7/15/50		1,000		805
La Paz County IDA Education Facility Lease Revenue Bonds, Charter School Solutions-Harmony Public Schools, 5.00%, 2/15/36		1,400		1,504
5.00%, 2/15/46		3,500		3,703

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Arizona – 6.0% – continued
Maricopa County IDA Educational Revenue Bonds, Arizona Autism Chart Schools Project, 5.00%, 7/1/50		$750		$699
Maricopa County Pollution Control Corp. Pollution Control Variable Revenue Refunding Bonds, Series A, Public Service of Palo Verde, 6.25%, 1/1/38		4,000		4,035
Phoenix Civic Airport Improvement Corp. Revenue Bonds, Junior Lien Airport, Series B (AMT), 4.00%, 7/1/44		2,000		2,120
5.00%, 7/1/49		1,000		1,148
Phoenix IDA Education Facility Revenue Refunding Bonds, Great Hearts Academies, 5.00%, 7/1/41		1,200		1,285
5.00%, 7/1/46		2,650		2,822
Phoenix IDA Student Housing Revenue Bonds, Downtown Phoenix Student Housing II LLC, 5.00%, 7/1/59		1,000		1,077
Salt Verde Financial Corp. Senior Gas Revenue Bonds, 5.00%, 12/1/37		3,000		3,530
Tempe IDA Revenue Bonds, Friendship Village of Tempe Project, 5.00%, 12/1/50		1,500		1,261
				30,567
California – 10.8%
Antelope Valley Healthcare District, Revenue Refunding Bonds, Series A, 5.25%, 3/1/36		1,020		1,027
California Community Housing Agency Essential Housing Revenue Bonds, Verdant at Green Valley Project, 5.00%, 8/1/49(2)		3,000		3,022
California Community Housing Agency Revenue Bonds, Series A, Annadel Apartments Project, 5.00%, 4/1/49		3,000		3,022
California PFA Educational Facilities Revenue Bonds, Trinity Classical Academy, 5.00%, 7/1/44		560		514

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 10.8% – continued
5.00%, 7/1/54 (2)		$500		$446
California School Finance Authority Educational Facilities Revenue Bonds, Series A, Kipp Socal Public School Projects, 5.00%, 7/1/49		2,000		2,154
California State Municipal Finance Authority Revenue Bonds, Series A, Baptist University, 5.00%, 11/1/46		3,000		3,042
California State Municipal Finance Authority Revenue Refunding Bonds, The Master’s University, 5.00%, 8/1/48		510		508
California State Municipal Finance Authority Senior Lien Revenue Bonds (AMT), LINXS APM Project, 5.00%, 12/31/43		4,000		4,264
5.00%, 12/31/47		1,000		1,059
California State Municipal Finance Authority Special Facility Revenue Bonds (AMT), United Airlines, Inc., Project, 4.00%, 7/15/29		3,000		3,007
California State Municipal Finance Authority Student Housing Revenue Bonds, CHF-Davis I, LLC -West Village, 5.00%, 5/15/51		5,000		5,274
California State Pollution Control Financing Authority Solid Waste Disposal Subordinate Green Revenue Bonds (AMT), Calplant I Project, 7.50%, 12/1/39		3,000		690
California State Pollution Control Financing Authority Water Furnishing Revenue Refunding Bonds, San Diego County Water Authority, 5.00%, 11/21/45		1,000		979
California State School Finance Authority Charter School Revenue Refunding Bonds, Aspire Public Schools, 5.00%, 8/1/46 (2)(3)		5,000		5,193

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
California – 10.8% – continued
California State Statewide Communities Development Authority College Housing Revenue Bonds, NCCD-Hooper Street, LLC-California College, 5.25%, 7/1/49		$1,700		$1,731
California State Statewide Communities Development Authority Student Housing Revenue Bonds, University of California, Irvine Campus, 5.00%, 5/15/42		4,050		4,525
California Statewide Communities Development Authority Revenue Bonds, California Baptist University, Prerefunded, 7.25%, 11/1/21 (1)		2,000		2,190
California Statewide Communities Development Authority Revenue Refunding Bonds, Series A, California Baptist University, 5.00%, 11/1/32		500		525
5.00%, 11/1/41		1,000		1,022
Golden State Tobacco Securitization Corp. Tobacco Settlement Revenue Refunding Bonds, Series A-1, 5.00%, 6/1/47		5,000		4,798
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series A (AMT), 5.00%, 5/1/49		4,000		4,599
Tobacco Securitization Authority of Southern California Tobacco Settlement Revenue Refunding Bonds, San Diego Asset Securities, 5.00%, 6/1/48		1,500		1,575
				55,166
Colorado – 3.3%
Colorado Educational & Cultural Authority Revenue Refunding Bonds, Science Technology English & Math, 5.00%, 11/1/54		1,500		1,568
Colorado High Performance Transportation Enterprise Revenue Bonds, C-470 Express Lane, 5.00%, 12/31/51		3,000		3,048

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Colorado – 3.3% – continued
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Series A, Commonspirit Health, 5.00%, 8/1/44		$5,000		$5,383
Metropolitan District No. 2 G.O. Limited Bonds, Series A, 5.00%, 12/1/49		1,000		901
Prairie Center Metropolitan District No. 3 Limited Property Tax Supported Revenue Refunding Bonds, Series A, 5.00%, 12/15/41		3,000		2,869
Regional Transportation District Private Activity Revenue Bonds, Denver Transportation Partners, 6.00%, 1/15/41		3,000		3,018
				16,787
Connecticut – 0.4%
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, University of Hartford, 4.00%, 7/1/49		1,500		1,391
Hamden Revenue Refunding Bonds, Whitney Center Project, 5.00%, 1/1/50		1,000		897
				2,288
Delaware – 0.4%
Delaware State EDA Gas Facilities Revenue Refunding Bonds, Delmarva Power, 5.40%, 2/1/31		2,000		2,020
District of Columbia – 1.6%
District of Columbia Revenue Bonds, 5.00%, 7/1/49		2,550		2,898
District of Columbia Revenue Bonds, Cesar Chavez Charter Schools, 7.88%, 11/15/40		5,265		5,289
				8,187
Florida – 6.5%
Alachua County Health Facilities Authority Revenue Bonds, Shands Teaching Hospital & Clinics, 4.00%, 12/1/49		2,000		2,100

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Florida – 6.5% – continued
Capital Trust Agency Air Cargo Revenue Refunding Bonds, Series A, Aero Miami FX, 5.35%, 7/1/29		$2,850		$2,870
Capital Trust Agency Student Housing Revenue Bonds, University Bridge, LLC Student Housing Project, 5.25%, 12/1/43		3,000		2,893
Davie Educational Facilities Revenue Refunding Bonds, Nova Southeastern University Project, 5.00%, 4/1/48		2,000		2,209
Escambia County Health Facilities Authority Revenue Refunding Bonds, Baptist Health Care Corp. Obligated Group, 4.00%, 8/15/45		2,700		2,845
4.00%, 8/15/50		2,300		2,406
Florida Development Finance Corp. Surface Transportation Facilities Revenue Refunding Bonds (AMT), Virgin Trains U.S.A. Pass, 6.38%, 1/1/26 (4)(5)(6)		4,000		3,538
Florida State Development Finance Corp. Educational Facility Revenue Bonds, Pepin Academics of Pasco County, Inc., Project, 5.00%, 1/1/50 (2)		1,000		899
Florida State Development Finance Corp. Solid Waste Disposal Revenue Bonds (AMT), Waste Pro U.S.A., Inc., Project, 5.00%, 5/1/29		1,500		1,509
Florida State Higher Educational Facilities Financial Authority Revenue Bonds, Ringling College Project, 5.00%, 3/1/49		2,000		2,101
Ocean Highway & Port Authority Florida Port Facilities Revenue Bonds (AMT), Worldwide Terminals Fenandina Project, 5.50%, 12/1/49 (2)		1,500		1,380
Palm Beach County Health Facilities Authority Hospital Revenue Bonds, Baptist Health South Florida, 4.00%, 8/15/49		1,500		1,599

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Florida – 6.5% – continued
Palm Beach County Revenue Bonds, Palm Beach Atlantic University, 5.00%, 4/1/39 (2)		$1,750		$1,773
Pinellas County IDA Revenue Bonds, 2017 Foundation for Global Understanding Project, 5.00%, 7/1/39		4,000		3,999
Sterling Hill Community Development District Capital Improvement Special Assessment Revenue Bonds, Series B, 5.50%, 11/1/10 (7)		143		90
Venice Retirement Community Revenue Improvement Bonds, Village on the Isle Project, 5.00%, 1/1/47		1,000		998
				33,209
Georgia – 2.6%
Atlanta Development Authority Senior Health Care Facilities Revenue Bonds, Georgia Proton Treatment Center, 6.75%, 1/1/35		5,000		5,333
DeKalb County Housing Authority Senior Living Revenue Refunding Bonds, Baptist Retirement Communities of Georgia, Inc., & Clairmont Crest, Inc., Projects, 5.13%, 1/1/49		1,000		764
Forsyth County Water & Sewerage Authority Revenue Refunding Bonds, 3.00%, 4/1/49		1,000		1,023
Main Street Natural Gas,Inc.Gas Supply Revenue Bonds, Series A, 5.00%, 5/15/49		4,000		4,628
White County Development Authority Revenue Bonds, Truett McConnell University Project, 5.25%, 10/1/49		1,500		1,278
				13,026
Illinois – 7.8%
Chicago O’Hare International Airport Revenue General Revenue Bonds, Series B, Senior Lien, 5.00%, 1/1/48		5,000		5,731

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Illinois – 7.8% – continued
Chicago Waterworks Revenue Bonds, Second Lien, 5.00%, 11/1/29		$2,500		$2,911
Cook & Will Counties Community College District No. 515 Revenue Bonds, Debt Certificates, Prairie State Community College, 1.45%, 12/1/39 (5)(6)		1,500		1,499
Illinois State Finance Authority Revenue Refunding Bonds, Edward-Elmhurst Healthcare, 5.00%, 1/1/44		5,000		5,738
Illinois State Finance Authority Revenue Refunding Bonds, Friendship Village Schaumburg, 5.13%, 2/15/45		1,500		1,158
Illinois State Finance Authority Revenue Refunding Bonds, Illinois Institute of Technology, 5.00%, 9/1/40		2,000		2,151
Illinois State Finance Authority Revenue Refunding Bonds, Rosalind Franklin University, 5.00%, 8/1/42		1,100		1,161
Illinois State Finance Authority Revenue Refunding Bonds, Series C, Presence Health Network, 5.00%, 2/15/36		5,000		5,650
Illinois State Finance Authority Student Housing & Academic Facilities Revenue Bonds, CHF – Chicago, LLC – University of Illinois at Chicago Project), 5.00%, 2/15/47		5,000		5,353
Illinois State Housing Development Authority Revenue Bonds, 4.13%, 10/1/38		2,000		2,204
Illinois State Housing Development Authority Revenue Bonds, Series C (GNMA, FNMA, FHLMC Insured), 2.80%, 10/1/34		1,000		1,051
Metropolitan Pier & Exposition Authority Revenue Refunding Bonds, Mccormick Place Expansion Project, 5.00%, 6/15/50		1,000		978

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Illinois – 7.8% – continued
Railsplitter Tobacco Settlement Authority Revenue Bonds, Prerefunded, 5.50%, 6/1/21 (1)		$1,000		$1,051
6.00%, 6/1/21 (1)		2,000		2,111
Upper Illinois River Valley Development Authority Revenue Refunding Bonds, Prairie Crossing Charter, 5.00%, 1/1/45		250		236
5.00%, 1/1/55 (2)		625		571
				39,554
Indiana – 2.2%
Indiana State Finance Authority Educational Facilities Revenue Bonds, Marian University Project, 6.50%, 9/15/30		3,000		3,234
6.38%, 9/15/41		2,000		2,152
Indiana State Finance Authority Exempt Facilities Revenue Bonds (AMT), RES Polyflow Indiana, Green Bonds, 7.00%, 3/1/39		4,000		3,364
Vigo County Hospital Authority Revenue Bonds, Union Hospital, Inc., Prerefunded, 8.00%, 9/1/21 (1)		2,500		2,736
				11,486
Iowa – 0.8%
Iowa State Finance Authority Revenue Bonds, Series A, Lifespace Communities, 5.00%, 5/15/48		4,000		4,081
Kansas – 0.2%
Wichita Health Care Facilities Revenue Refunding Bonds, Presbyterian Manors, 5.00%, 5/15/50		1,000		920
Kentucky – 1.4%
Ashland Medical Center Revenue Refunding Bonds, Ashland Hospital Corp. D/B/A King’s Daughters Medical Center, 4.00%, 2/1/38		150		161

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Kentucky – 1.4% – continued
Kentucky Public Transportation Infrastructure Authority First Tier Toll Revenue Bonds, Series A, Downtown Crossing Project, 5.75%, 7/1/49		$2,500		$2,594
Kentucky State Economic Development Finance Authority Revenue Bonds, Owensboro Health, 5.25%, 6/1/50		2,500		2,728
Kentucky State Economic Development Finance Authority Revenue Refunding Bonds, Series A, Owensboro Health, Inc., 5.00%, 6/1/45		1,500		1,600
				7,083
Louisiana – 3.9%
Calcasieu Parish Memorial Hospital Service District Revenue Refunding Bonds, Lake Charles Memorial Hospital Project, 5.00%, 12/1/39		4,675		5,406
Louisiana Public Facilities Authority Revenue Refunding Bonds, Ochsner Clinic Foundation Project, 5.00%, 5/15/46		1,000		1,178
Louisiana Public Facilities Authority Revenue Refunding Bonds, Ochsner Clinic, Prerefunded, 5.00%, 5/15/26 (1)		50		60
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Bonds, Jefferson Parish Gomesa Project, 4.00%, 11/1/44		1,000		796
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Bonds, Series A, Westlake Chemical Corp., 6.50%, 8/1/29		2,000		2,004
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Bonds, Series A-1, Westlake Chemical Corp., 6.50%, 11/1/35		2,000		2,004

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 46 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Louisiana – 3.9% – continued
Louisiana State Public Facilities Authority Revenue Bonds, Belle Chasse Educational Foundation Project, 6.75%, 5/1/41		$1,250		$1,322
Louisiana State Public Facilities Authority Revenue Refunding Bonds, Lafayette General Health System, 5.00%, 11/1/41		5,000		5,583
Tobacco Settlement Financing Corp. Asset Backed Revenue Refunding Bonds, Series A, 5.50%, 5/15/29		1,610		1,612
				19,965
Maine – 1.0%
Maine State Health & Higher Educational Facilities Authority Revenue Bonds, Eastern Maine Medical Center, 5.00%, 7/1/43		5,000		5,339
Maryland–1.0%
Baltimore Special Obligation Tax Allocation Refunding Bonds, Senior Lien, Harbor Point Project, 3.63%, 6/1/46		1,750		1,422
Maryland State Health & Higher Educational Facilities Authority Revenue Bonds, Series A, Adventist Healthcare, 6.25%, 1/1/31		1,550		1,674
6.13%, 1/1/36		2,000		2,146
				5,242
Massachusetts – 1.7%
Lowell Massachusetts Collegiate Charter Revenue Bonds, 5.00%, 6/15/49		1,250		1,143
Massachusetts State Development Finance Agency Revenue Bonds, Boston Medical Center, Green Bonds, 5.00%, 7/1/44		2,000		2,224

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Massachusetts – 1.7% – continued
Massachusetts State Development Finance Agency Revenue Bonds, Series A, UMASS Boston Student Housing, 5.00%, 10/1/41		$5,000		$5,219
				8,586
Michigan – 3.2%
Grand Rapids Economic Development Corp. Senior Community Revenue Refunding Bonds, Clark Retirement Community, 5.50%, 4/1/39		1,000		817
Michigan State Finance Authority Revenue Refunding Bonds, Local Government Loan Program, 5.00%, 7/1/30		2,000		2,259
Michigan State Strategic Fund Limited Obligation Revenue Bonds (AMT), I-75 Improvement Project, 5.00%, 6/30/48		5,000		5,875
Michigan State Strategic Fund Limited Obligation Revenue Bonds, Holland Home, 5.00%, 11/15/42		2,500		2,528
Wayne County Airport Authority Revenue Bonds, Series D, 5.00%, 12/1/45		4,355		4,884
				16,363
Minnesota – 0.3%
Wayzata Senior Housing Revenue Refunding Bonds, Folkestone Senior Living Community, 5.00%, 8/1/49		500		501
5.00%, 8/1/54		1,000		987
				1,488
Mississippi – 0.7%
Tunica County Urban Renewal Revenue Refunding Bonds, Utility Districts Project, 6.00%, 10/1/40		1,000		862
Warren County Gulf Opportunity Zone Revenue Bonds, Series A, International Paper Co., 5.80%, 5/1/34		2,530		2,534
				3,396

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Missouri – 0.9%
Missouri State Health & Educational Facilities Authority Health Facilities Revenue Refunding Bonds, Wright Memorial Hospital, 5.00%, 9/1/32		$1,145		$1,361
5.00%, 9/1/34		1,315		1,550
Missouri State Health & Educational Facilities Authority Revenue Refunding Bonds, Series C, Luthreran Senior Services Project, 4.00%, 2/1/48		2,000		1,795
				4,706
Nebraska – 0.5%
Central Plains Energy Project Gas Project Revenue Refunding Bonds, Series A, Project No. 3, 5.00%, 9/1/42		2,000		2,399
Nevada – 0.1%
Las Vegas Special Improvement District No. 814 Summerlin Village 21 & 24A Special Assessment Bonds, 4.00%, 6/1/49		550		463
New Jersey – 3.2%
New Jersey State EDA Revenue Bonds, Provident Group Rowan Properties LLC, 5.00%, 1/1/48		1,665		1,702
New Jersey State EDA Revenue School Facilities Construction Revenue Bonds, 4.00%, 6/15/49		2,250		2,178
New Jersey State EDA Special Facility Revenue Bonds (AMT), Continental Airlines, Inc., Project, 5.63%, 11/15/30		2,000		1,982
New Jersey State Educational Facilities Authority Revenue Bonds, Series A, Green Bonds, 3.00%, 7/1/50		750		654
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Series AA, Transportation Program, 5.00%, 6/15/45		2,250		2,313

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
New Jersey – 3.2% – continued
Tobacco Settlement Financing Corp. Revenue Refunding Bonds, Series A, 5.25%, 6/1/46		$7,070		$7,269
				16,098
New Mexico – 0.6%
New Mexico Hospital Equipment Loan Council First Mortgage Revenue Bonds, La Vida Expansion Project, 5.00%, 7/1/49		3,000		2,919
New York – 4.6%
Build NYC Resource Corp. Revenue Bonds, New Dawn Charter Schools Project, 5.75%, 2/1/49		1,000		966
New York State Dorm Authority Revenues Non State Supported Debt Revenue Refunding Bonds, Series A, Montefiore Obligated Group, 4.00%, 9/1/50		3,000		3,103
New York State Transportation Development Corp. Special Facilities Revenue Bonds (AMT), Delta Air Lines, Inc., Laguardia Airport Terminals, 5.00%, 1/1/34		5,000		4,912
4.00%, 1/1/36		1,000		944
New York State Transportation Development Corp. Special Facility Revenue Bonds (AMT), LaGuardia Airport Terminal B Redevelopment, 5.00%, 7/1/46		5,000		5,072
New York State Transportation Development Corp. Special Facility Revenue Refunding Bonds (AMT), American Airlines, Inc., 5.00%, 8/1/26		2,655		2,642
5.00%, 8/1/31		3,000		2,979
Port Authority of New York & New Jersey Consolidated Revenue Bonds, Series 220 (AMT), 4.00%, 11/1/59		1,500		1,599

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
New York – 4.6% – continued
Yonkers Economic Development Corp. Educational Revenue Bonds, Charter School Educational Excellence Project, 5.00%, 10/15/49		$1,155		$1,158
				23,375
North Carolina – 0.4%
North Carolina State Medical Care Commission Retirement Facilities Revenue Refunding Bonds, Series A, Sharon Towers, 5.00%, 7/1/49		600		633
North Carolina State Turnpike Authority Senior Lien Revenue Bonds, Triangle Expressway, 5.00%, 1/1/49		1,500		1,659
				2,292
Ohio – 3.4%
Buckeye Tobacco Settlement Financing Authority Revenue Refunding Bonds, Series B-2, Senior Class 2, 5.00%, 6/1/55		5,000		4,430
Lucas County Health Care Facilities Revenue Refunding & Improvement Bonds, Series A, Lutheran Homes, Prerefunded, 7.00%, 11/1/20 (1)		4,000		4,132
Marion County Health Care Facilities Revenue Refunding Bonds, United Church Homes, Inc., 5.13%, 12/1/49		1,000		863
Ohio State Air Quality Development Authority Exempt Facilities Revenue Bonds (AMT), 5.00%, 7/1/49 (2)		2,000		1,970
Ohio State Air Quality Development Authority Exempt Facilities Revenue Bonds (AMT), Pratt Paper LLC Project, 4.50%, 1/15/48		2,000		1,817
Toledo-Lucas County Port Authority Facilities Revenue Refunding Bonds, CSX Transportation, Inc., Project, 6.45%, 12/15/21 (8)		4,000		4,307
				17,519

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Oklahoma – 2.6%
Norman Regional Hospital Authority Revenue Bonds, Norman Regional Hospital Authority, 4.00%, 9/1/45		$5,000		$5,187
Oklahoma State Development Finance Authority Revenue Refunding Bonds (AMT), Gilcrease Expressway West Project, 1.63%, 7/6/23		5,000		4,829
Oklahoma State Development Finance Authority Revenue Refunding Bonds, Oklahoma City University Project, 5.00%, 8/1/49		3,000		3,220
				13,236
Pennsylvania – 5.8%
Berks County Municipal Authority University Revenue Bonds, Alvernia University Project, 5.00%, 10/1/49		1,000		921
Chester County Health & Educational Facilities Authority Revenue Refunding Bonds, Simpson Senior Services Project, 5.00%, 12/1/51		1,000		970
Delaware County IDA Revenue Refunding Bonds, Covanta Project, 5.00%, 7/1/43		2,500		2,511
Franklin County IDA Revenue Bonds, Menno-Haven, Inc., Project, 5.00%, 12/1/49		1,010		893
Lancaster County Hospital Authority Revenue Refunding Bonds, Saint Anne’s Retirement Community Inc., Project, 5.00%, 3/1/40		500		507
5.00%, 3/1/50		500		501
Northampton County IDA Revenue Refunding Bonds, Morningstar Senior, 5.00%, 11/1/49		1,000		964
Pennsylvania State Economic Development Financing Authority Solid Waste Disposal Revenue Bonds (AMT), Carbonlite LLC Project, 5.75%, 6/1/36 (2)		2,000		1,842

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Pennsylvania – 5.8% – continued
Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Edinboro University Foundation, Prerefunded, 6.00%, 7/1/20 (1)		$2,500		$2,530
Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Shippensburg University, Prerefunded, 6.25%, 10/1/21 (1)		2,000		2,135
Pennsylvania State Turnpike Commission Turnpike Revenue Bonds, Series A-1, 5.00%, 12/1/46		3,000		3,493
Philadelphia Authority For Industrial Development Revenue Bonds, Alliance for Progress Charter, 5.00%, 6/15/39		920		885
5.00%, 6/15/49		1,385		1,296
Philadelphia Authority For Industrial Development University of the Arts Revenue Refunding Bonds, 5.00%, 3/15/45		5,000		4,531
Philadelphia Authority For Industrial Development University of the Arts Revenue Refunding Bonds, Independence Charter School West Project, 5.00%, 6/15/50		1,350		1,220
Philadelphia Water & Wastewater Revenue Bonds, Series A, 5.00%, 7/1/45		4,000		4,419
				29,618
Puerto Rico – 0.6%
Puerto Rico Sales Tax Financing Corp. Restructured TRB, Series A-1, 4.75%, 7/1/53		3,000		2,825
Rhode Island – 1.4%
Tobacco Settlement Financing Corp. Revenue Refunding Bonds, Series A, 5.00%, 6/1/40		7,000		7,262
South Carolina – 0.7%
Berkeley County Assessment Revenue Special Assessment Bonds, Nexton Improvement District, 4.38%, 11/1/49		1,000		816

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
South Carolina – 0.7% – continued
South Carolina Jobs-EDA Economic Development Revenue Bonds, Series 2019A, Bishop Gadsden Episcopal Retirement Community, 5.00%, 4/1/54		$1,000		$1,028
South Carolina State Jobs-EDA Economic Development Revenue Bonds, Hilton Head Christian Academy, 5.00%, 1/1/55		1,500		1,289
South Carolina State Jobs-EDA Economic Development Revenue Bonds, Series A, The Woodlands at Furman Project, 5.00%, 11/15/54		640		577
				3,710
Tennessee – 1.1%
Johnson City Health & Educational Facilities Board Revenue Refunding Bonds, Appalachian Christian Village, 5.00%, 2/15/43		1,500		1,156
Knox County Health, Educational & Housing Facility Board Revenue Refunding Bonds, University Health System, Inc., 5.00%, 4/1/36		1,870		2,136
Metropolitan Government Nashville & Davidson County Health & Educational Facility Board Revenue Refunding Bonds, Lipscomb University Project, 4.00%, 10/1/49		1,000		954
Metropolitan Government Nashville & Davidson County Health & Educational Facility Board Revenue Refunding Bonds, Trevecca Nazarene University, 5.00%, 10/1/48		1,115		1,175
				5,421
Texas – 7.1%
Arlington Higher Education Finance Corp. Revenue Bonds, Basis Texas Charter Schools, Inc., 4.00%, 6/15/50		1,000		803

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Texas – 7.1% – continued
Austin Convention Enterprises, Inc., Convention Center Revenue Refunding Bonds, First Tier, 5.00%, 1/1/34		$1,995		$1,930
Board of Managers Joint Guadalupe County-City of Seguin Hospital Mortgage Revenue Refunding Bonds, 5.00%, 12/1/40		1,500		1,611
5.00%, 12/1/45		2,000		2,137
Brazoria County Industrial Development Corp. Solid Waste Disposal Facilities Revenue Bonds (AMT), Gladieux Metals Recycling, 7.00%, 3/1/39		300		302
Central Regional Mobility Authority Revenue Refunding Bonds, 5.00%, 1/1/46		1,500		1,608
Clifton Higher Educational Finance Corp. Educational International Leadership Revenue Bonds, Series D, 6.13%, 8/15/48		2,700		2,880
Mission Economic Development Corp. Revenue Refunding Bonds (AMT), Senior Lien, Natgasoline, 4.63%, 10/1/31		2,000		2,041
New Hope Cultural Education Facilities Finance Corp. Retirement Facility Revenue Bonds, Morningside Ministries Project, 5.00%, 1/1/55		1,000		976
New Hope Cultural Education Facilities Finance Corp. Student Housing Revenue Bonds, CHF-Collegiate Housing San Antonio, 5.00%, 4/1/48		3,000		3,026
San Antonio Electric & Gas Revenue Bonds, Junior Lien, 5.00%, 2/1/43		2,500		2,701
Tarrant County Cultural Educational Facilities Finance Corp. Retirement Facilities Revenue Bonds, Series B, Buckner Retirement Services, 5.00%, 11/15/46		4,000		4,458

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Texas – 7.1% – continued
Texas State Private Activity Bond Surface Transportation Corp. Revenue Bonds (AMT), Segment 3C Project, 5.00%, 6/30/58		$1,500		$1,603
Texas State Private Activity Bond Surface Transportation Corp. Revenue Bonds (AMT), Senior Lien, Blueridge Transportation, 5.00%, 12/31/40		2,750		2,934
5.00%, 12/31/45		1,250		1,325
Texas State Private Activity Bond Surface Transportation Corp. Revenue Bonds, Senior Lien, LBJ Infrastructure, 7.00%, 6/30/40		3,000		3,022
Travis County HFDC Revenue Bonds, Westminster Manor Project, Prerefunded, 7.00%, 11/1/20 (1)		805		831
7.13%, 11/1/20 (1)		2,000		2,067
				36,255
Utah – 0.3%
Utah Infrastructure Agency Tax-Exempt Telecommunications Revenue Bonds, 4.00%, 10/15/42		1,000		907
Utah State Charter School Finance Authority Charter School Revenue Bonds, Mountain West Montessori Academy, 5.00%, 6/15/49		825		766
				1,673
Virginia – 0.7%
Virginia State College Building Authority Educational Facilities Revenue Bonds, Marymount University Project, Green Bonds, 5.25%, 7/1/35		270		270
5.00%, 7/1/45		2,515		2,328
Virginia State Small Business Financing Authority Solid Waste Disposal Facilities Revenue Bonds (AMT), Covanta Project, 5.00%, 7/1/38 (4)(5)(6)		1,000		1,001
				3,599

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

HIGH YIELD MUNICIPAL FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 95.0% – continued
Washington – 1.0%
Washington State Higher Education Facilities Authority Revenue Bonds, Whitworth University Project, 4.00%, 10/1/49		$2,250		$2,251
Washington State Housing Finance Commission Revenue Bonds, Rockwood Retirement Communities Project, 5.00%, 1/1/55		2,000		1,717
Washington State Housing Finance Commission Revenue Bonds, Series A, Transforming Age Project, 5.00%, 1/1/55		1,000		942
				4,910
West Virginia – 0.7%
West Virginia State Hospital Finance Authority, Revenue Refunding Bonds, Cabell Huntington Hospital, 5.00%, 1/1/43		3,000		3,517
Wisconsin – 1.0%
PFA Education Revenue Bonds, North Carolina Leadership Academy, 5.00%, 6/15/49(2)		520		493
PFA Retirement Facilities Revenue Refunding Bonds, Friends Homes, 5.00%, 9/1/54		1,500		1,378
PFA Revenue Refunding Bonds, Ultimate Medical Academy, 5.00%, 10/1/34		1,000		1,150
PFA Student Housing Revenue Bonds, NC A&T Real Estate Foundation, LLC Project, 5.00%, 6/1/49		1,000		1,074
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, St. Camillus Health System, 5.00%, 11/1/54		1,000		928
				5,023
Wyoming – 0.6%
Campbell County Solid Waste Facilities Revenue Refunding Bonds, Basin Electric Power Cooperative, 3.63%, 7/15/39		3,000		3,020
Total Municipal Bonds
(Cost $497,966)				484,123

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.9%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (9)(10)		20,009,261		$20,009
Total Investment Companies
(Cost $20,009)				20,009
Total Investments – 98.9%
(Cost $517,975)				504,132
Other Assets less Liabilities – 1.1%				5,702
NET ASSETS – 100.0%				$509,834

(1) Maturity date represents the prerefunded date.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Restricted security that has been deemed illiquid. At March 31, 2020, the value of these restricted illiquid securities amounted to approximately $7,243,000 or 1.4% of net assets. Additional information on these restricted illiquid securities is as follows:

SECURITY	ACQUISITION AND ENFORCEABLE DATE		COST (000s)
Arizona State IDA Education Revenue Bonds, Academies of Math & Science Project, 5.63%, 7/1/48		11/8/18		$1,993
California State School Finance Authority Charter School Revenue Refunding Bonds, Aspire Public Schools, 5.00%, 8/1/46		2/4/16-3/8/17		5,186

(4) Maturity date represents the puttable date.

(5) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(6) Variable rate security. Rate as of March 31, 2020 is disclosed.

(7) Issuer has defaulted on terms of debt obligation. Income is not being accrued.

(8) Security has converted to a fixed rate as of December 15, 1999, and will be going forward.

(9) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(10) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

AMT - Alternative Minimum Tax

EDA - Economic Development Authority

FHLMC - Federal Home Loan Mortgage Corporation

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

FNMA - Federal National Mortgage Association

G.O. - General Obligation

GNMA - Government National Mortgage Association

HFDC - Health Facility Development Corporation

IDA - Industrial Development Authority

IDB - Industrial Development Board

PFA - Public Finance Authority

S&P - Standard & Poor’s

TRB - Tax Revenue Bonds

Percentages shown are based on Net Assets. At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION *	% OF INVESTMENTS
AAA		0.9%
AA		3.3
A		14.1
BBB		41.2
BB		10.3
B		2.2
Not Rated		24.0
Cash Equivalents		4.0
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUS TRY SECTOR	% OF INVESTMENTS
Airport		5.1%
Development		12.5
Education		10.8%
General		8.7
Higher Education		7.5
Housing		7.1
Medical		17.4
Nursing Home		7.2
Tobacco Settlement		6.0
Transportation		7.2
All other sectors less than 5%		10.5
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds (1)		$–		$484,123		$–		$484,123
Investment Companies		20,009		–		–		20,009
Total Investments		$20,009		$484,123		$–		$504,132

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0%
Alabama – 1.2%
Black Belt Energy Gas District Gas Prepay Revenue Bonds, Project No. 5, Series A-1, 4.00%, 10/1/26 (1)(2)(3)		$5,000		$5,241
Black Belt Energy Gas District Gas Supply Revenue Bonds, Series A, 4.00%, 6/1/21 (1)(2)(3)		5,000		5,055
4.00%, 7/1/22 (1)(2) (3)		5,000		5,102
Elmore County Board of Education Revenue Refunding Warrants Bonds, 3.00%, 8/1/44		1,000		1,015
Lower Gas District Gas Project Revenue Bonds, Gas Project, 4.00%, 12/1/25  (1)(2)(3)		10,000		10,401
Southeast Alabama State Gas Supply District Revenue Bonds, Series A, 4.00%, 6/1/24 (1)(2)(3)		10,000		10,347
				37,161
Alaska – 0.4%
Alaska State Housing Finance Corp. Revenue Refunding Bonds, Series A, 5.00%, 6/1/30		5,000		6,082
Anchorage Electric Utility Revenue Refunding Bonds, Series A, Senior Lien, 5.00%, 12/1/41		5,000		5,667
				11,749
Arizona – 2.9%
Arizona Board of Regents State University System Revenue Bonds, Series B, Green Bonds, 5.00%, 7/1/42		1,000		1,181
Arizona State Transportation Board Excise Tax Revenue Refunding Bonds, 5.00%, 7/1/25		10,000		11,541
Arizona State Transportation Board Highway Revenue Refunding Bonds, 5.00%, 7/1/28		12,000		13,806
Arizona State University Revenue Bonds, Series A, Green Bonds, 5.00%, 7/1/41		10,995		13,825
Chandler Excise TRB, 5.00%, 7/1/27		5,000		5,577

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Arizona – 2.9% – continued
Maricopa County High School District No. 210 Phoenix G.O. Unlimited Bonds, School Improvement Project of 2011&2017, 5.00%, 7/1/35 $1,775				$2,176
Maricopa County IDA Educational Facilities Revenue Bonds, Creighton University Project, 5.00%, 7/1/47		1,500		1,740
Maricopa County IDA Revenue Bonds, Series B, Banner Health Obligation Group, 5.00%, 10/18/22 (1)(2)(3)		500		543
Maricopa County IDA Revenue Refunding Bonds, Banner Health Obligation Group, 4.00%, 1/1/36		180		194
Maricopa County Special Health Care District G.O. Unlimited Bonds, 4.00%, 7/1/38		2,500		2,795
Maricopa County Unified School District No. 69 Paradise Valley G.O. Unlimited Bonds, Series C, School Improvement Project of 2015, 5.00%, 7/1/26		1,500		1,836
Phoenix Civic Airport Improvement Corp. Revenue Refunding Bonds (AMT), Senior Lien, 5.00%, 7/1/20		1,500		1,514
Phoenix Civic Improvement Corp. Airport Revenue Bonds, Series A, Junior Lien, Prerefunded, 5.00%, 7/1/20 (4)		3,000		3,029
Phoenix Civic Improvement Corp. District Revenue Convertible CABS, Series B, Civic Plaza Project (NATL Insured), 5.50%, 7/1/38		5,000		7,176
Phoenix Civic Improvement Corp. Wastewater System Revenue Refunding Bonds, Junior Lien, 5.00%, 7/1/30		2,000		2,421
Pinal County Revenue Obligations Pledged Revenue Bonds, 4.00%, 8/1/39		1,000		1,137

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 54 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Arizona – 2.9% – continued
Salt River Project Agricultural Improvement & Power District Electric Revenue Bonds, Salt River Project, 5.00%, 1/1/47		$1,000		$1,257
Salt River Project Agricultural Improvement & Power District Electric Revenue Refunding Bonds, Series A, 5.00%, 12/1/23		10,000		10,633
Salt River Project Agricultural Improvement & Power District Electric System Revenue Refunding Bonds, Series A, 5.00%, 12/1/35		5,000		5,854
				88,235
California – 7.2%
Anaheim Public Financing Authority Lease Revenue Refunding Bonds, Anaheim Public Improvements Project (BAM Insured), 5.00%, 9/1/34		1,750		2,114
Bay Area Toll Authority Toll Bridge Revenue Bonds, 5.00%, 4/1/27		1,145		1,234
Burbank Unified School District G.O. Unlimited Convertible CABS, Series A, (Step to 5.00% on 8/1/23), 0.81%, 8/1/34(5)		3,500		3,424
California HFA Municipal Certificates Revenue Bonds, Series 2, Class A, 4.00%, 3/20/33		1,993		2,114
California State Department of Water Resources Central Valley Project Revenue Bonds, Series BA, Water System, 5.00%, 12/1/32		2,000		2,565
California State Department of Water Resources Central Valley Project Water System Revenue Bonds, Series AM, 5.00%, 12/1/25		1,000		1,118
California State G.O. Unlimited Bonds, Series 2007, Unrefunded Balance, 5.75%, 5/1/30		80		80
California State G.O. Unlimited Refunding Bonds, 5.00%, 9/1/20		1,000		1,016

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
California – 7.2% – continued
California State G.O. Unlimited Refunding Bonds (AGM Insured), 5.25%, 8/1/32		$5,000		$6,811
California State G.O. Unlimited Various Purpose Refunding Bonds, 5.00%, 4/1/33		24,000		29,382
California State Health Facilities Financing Authority Revenue Refunding Bonds, Series A, Stanford Health Care, 4.00%, 8/15/50(6)		2,500		2,748
California State Infrastructure & Economic Development Revenue Refunding Bonds, The J Paul Getty Trust, 5.00%, 4/1/31		4,000		5,263
5.00%, 4/1/32		7,500		9,933
California State Municipal Finance Authority Student Housing Revenue Bonds, CHF-Davis I, LLC -West Village, 5.00%, 5/15/36		6,130		6,639
5.00%, 5/15/37		3,440		3,711
California State Taxable G.O. Unlimited Bonds, 3.50%, 4/1/28		6,750		7,488
California State Various Purpose Bid Group G.O. Unlimited Refunding Bonds, 5.00%, 8/1/29		5,000		6,350
California State Various Purpose G.O. Unlimited Bonds, 5.00%, 10/1/22		5,000		5,472
California Statewide Communities Development Authority Student Housing Revenue Refunding Bonds, CHF-Irvine, LLC, 5.00%, 5/15/29		1,250		1,421
Carlsbad Unified School District G.O. Unlimited Convertible CABS, Series C, Election of 2006, (Step to 6.63% on 8/1/26), 2.55%, 8/1/35(5)		11,850		13,467
Cupertino Union School District Crossover G.O. Unlimited Refunding Bonds, Series A, 5.00%, 8/1/27		435		491

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 55 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
California – 7.2% – continued
Glendale Electric Works Revenue Bonds, 5.00%, 2/1/43		$5,000		$5,524
Long Beach Harbor Revenue Bonds, Series A, 5.00%, 5/15/37		1,000		1,223
Los Angeles Community College District G.O. Unlimited Refunding Bonds, Series A, 5.00%, 8/1/30		10,000		11,556
5.00%, 8/1/31		1,310		1,511
Los Angeles County Metropolitan Transportation Authority Proposition Sales Tax Revenue Refunding Bonds, Senior First Tier, 5.00%, 7/1/21		2,200		2,306
Los Angeles Department of Airports Airport Subordinate Revenue Bonds (AMT), Los Angeles International Airport, 5.00%, 5/15/35		600		686
Los Angeles Department of Airports Airport Subordinated Revenue Refunding Bonds, 5.00%, 5/15/36		3,000		3,716
Los Angeles Department of Airports Subordinate Revenue Bonds, Series C (AMT), 5.00%, 5/15/35		10,000		11,761
Los Angeles Department of Water & Power System Revenue Bonds, Series D, 5.00%, 7/1/39		2,500		2,846
Los Angeles G.O. Unlimited Refunding Bonds, Series B, 5.00%, 9/1/20		55		56
Los Angeles Unified School District G.O. Unlimited Bonds, Series A, Election of 2008, 5.00%, 7/1/40		5,000		5,731
Northern Energy Authority Commodity Supply Revenue Bonds, Series A, 4.00%, 7/1/24(1) (2) (3)		7,500		7,779

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
California – 7.2% – continued
Palomar Community College District G.O. Unlimited Convertible CABS, Series B, Election of 2006, (Step to 6.38% on 8/1/30), 0.71%, 8/1/45(5)		$5,000		$5,062
Pasadena Community College District G.O. Unlimited Refunding Bonds, 4.00%, 8/1/27		1,000		1,188
Pleasanton Unified School District G.O. Unlimited Bonds, 3.00%, 8/1/42		2,060		2,105
Riverside Sewer Revenue Refunding Bonds, Series A, 5.00%, 8/1/37		3,260		3,971
Sacramento County Airport System Revenue Refunding Bonds, Series C (AMT), 5.00%, 7/1/35		6,000		6,914
San Diego Association of Governments Capital Grant Receipts Revenue Bonds, Mid Coast Corridor, Green Bonds, 1.80%, 11/15/27		3,000		3,015
San Francisco California City & County Airport Commission International Revenue Refunding Bonds, Series H (AMT), 5.00%, 5/1/27		5,000		5,898
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series A (AMT), 5.00%, 5/1/35		3,500		4,148
5.00%, 5/1/38		1,500		1,758
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series E (AMT), 5.00%, 5/1/39		2,355		2,754
San Francisco City & County Public Utilities Commission Water Revenue Refunding Bonds, 4.00%, 11/1/33		2,500		2,720
Santa Clara Valley Water District COPS, Series C, 5.00%, 6/1/24		650		751
University of California General Revenue Bonds, Series U, 5.00%, 5/15/22		5,000		5,022

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
California – 7.2% – continued
University of California Revenue Refunding Bonds, Series AY, 4.00%, 5/15/33		$5,000		$5,746
				218,588
Colorado – 2.7%
Adams County School District No. 1 Taxable G.O. Unlimited Refunding Bonds, Series B (State Aid Withholding), 5.25%, 12/1/40		4,775		5,819
Adams County School District No. 1 Taxable G.O. Unlimited Refunding Bonds, Series B (State Aid Withholding), Prerefunded, 5.25%, 12/1/26(4)		225		281
Arvada Sales & Use TRB, 5.00%, 12/1/31		3,000		3,841
Colorado Springs Utilities Revenue Bonds, Series A-4, 5.00%, 11/15/43		6,500		8,068
Colorado State COPS ,Series A, 4.00%, 12/15/36		10,000		11,343
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Adventhealth Obligated Group, 5.00%, 11/15/37		1,000		1,163
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Adventist Health System Sunbelt, 4.00%, 11/15/41		1,000		1,062
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Series A, Commonspirit Health, 5.00%, 8/1/34		1,000		1,118
5.00%, 8/1/35		3,560		3,936
4.00%, 8/1/49		2,000		1,960
Colorado State School of Mines Institutional Enterprise Revenue Bonds, Series B, 5.00%, 12/1/42		1,000		1,201

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Colorado – 2.7% – continued
Denver City & County Airport System Subordinate Revenue Bonds, Series B, 5.25%, 11/15/28		$1,500		$1,664
5.25%, 11/15/29		1,740		1,931
Denver City & County Airport System Subordinate Revenue Refunding Bonds (AMT), Series A, 5.00%, 12/1/43		3,000		3,473
Denver City & County Airport System Subordinate Revenue Refunding Bonds, Series B, 5.00%, 12/1/43		5,000		5,817
Denver City & County Dedicated TRB, Series A-1, 5.00%, 8/1/48		2,750		3,203
Denver City & County School District No. 1 COPS, Series B, 5.25%, 12/1/40		5,000		5,172
Denver City & County School District No. 1 G.O. Unlimited Refunding Bonds, Series A (NATL State Aid Withholding), 5.50%, 12/1/22		5,000		5,574
Pueblo County School District No. 60 G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/15/38		5,000		6,354
University of Colorado Enterprise Revenue Bonds, Series A, Prerefunded, 5.00%, 6/1/23(4)		1,000		1,121
Weld County School District No. 6 Greeley G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/1/39		5,500		6,974
				81,075
Connecticut – 1.2%
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series 2014A, 1.10%, 2/7/23(1) (2) (3)		8,200		8,140

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 57 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Connecticut – 1.2% – continued
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, Series C-2, Yale University, 5.00%, 2/1/23(1) (2) (3)		$5,000		$5,507
Connecticut State Special Tax Obligation Revenue Bonds, Series B, 5.00%, 10/1/31		5,000		6,133
5.00%, 10/1/35		5,000		5,977
Connecticut State Special Tax Obligation Transportation Revenue Refunding Bonds, Series B, 3.00%, 12/1/22		1,725		1,768
University of Connecticut Revenue Bonds, Series A, 5.25%, 11/15/47		8,000		9,795
				37,320
Delaware – 0.2%
Delaware State G.O. Unlimited Bonds, 5.00%, 2/1/30		3,790		4,922
Delaware State G.O. Unlimited Bonds, Unrefunded Balance, 5.00%, 7/1/23 969				978
				5,900
District of Columbia – 1.9%
District of Columbia G.O. Unlimited Bonds, Series C, 5.00%, 6/1/34		2,500		2,855
District of Columbia Housing Finance Agency MFH Revenue Bonds, The Strand Residences Project, 1.45%, 8/1/22(1) (2) (3)		2,500		2,494
District of Columbia Income Tax Secured Revenue Bonds, Series A, 5.00%, 3/1/26		3,100		3,768
5.00%, 3/1/39		5,060		6,464
2.63%, 3/1/45		4,000		3,866
District of Columbia Income Tax Secured Revenue Refunding Bonds, Series C, 3.00%, 10/1/29		10,000		11,190

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
District Of Columbia – 1.9% – continued
District of Columbia Water & Sewer Authority Public Utility Revenue Refunding Bonds, Series C, Subordinate Lien, 5.00%, 10/1/39		$5,000		$5,693
Metropolitan Washington Airports Authority System Revenue Bonds, Series C (AMT), 5.00%, 10/1/20		3,000		3,056
5.00%, 10/1/26		2,000		2,094
Metropolitan Washington Airports Authority System Revenue Refunding Bonds (AMT), 5.00%, 10/1/26		2,500		2,955
5.00%, 10/1/30		2,630		3,115
Metropolitan Washington Airports Authority System Revenue Refunding Bonds, Series A (AMT), 5.00%, 10/1/28		5,510		5,999
Washington Metropolitan Area Transit Authority Gross Revenue Bonds, 5.00%, 7/1/38 3,000				3,524
				57,073
Florida – 4.2%
Broward County Airport System Revenue Bonds (AMT), 5.00%, 10/1/37		1,500		1,713
Broward County Airport System Revenue Bonds, Series A (AMT), 5.00%, 10/1/30		2,000		2,399
5.00%, 10/1/44		1,500		1,730
Broward County Airport System Revenue Bonds, Series C, 5.25%, 10/1/28		6,185		7,038
Broward County Airport System Revenue Bonds, Series Q-1, 5.00%, 10/1/42		1,295		1,416
Broward County Port Facilities Revenue Refunding Bonds, Series A (AGM Insured), Prerefunded, 5.00%, 9/1/21(4) 1,340				1,407
Broward County Port Facilities Revenue Refunding Bonds, Series A (AGM Insured), Unrefunded Balance, 5.00%, 9/1/24 330				347
5.00%, 9/1/25		330		347

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Florida – 4.2% – continued
Broward County Port Facilities Revenue Refunding Bonds, Series B (AMT), Prerefunded, 5.00%, 9/1/21(4)		$1,665		$1,745
Broward County Port Facilities Revenue Refunding Bonds, Series B (AMT), Unrefunded Balance, 5.00%, 9/1/23		835		877
Broward County School District G.O. Unlimited Bonds, 5.00%, 7/1/35		6,180		7,728
Broward County Water & Sewer Utility Revenue Bonds, Series A, 5.00%, 10/1/40		5,000		6,281
Davie Educational Facilities Revenue Refunding Bonds, Nova Southeastern University Project, 5.00%, 4/1/48		2,000		2,209
Florida State Atlantic University Finance Corp. Capital Improvement Revenue Refunding Bonds, Series A, 5.00%, 7/1/27		2,000		2,459
Florida State Department Transportation G.O. Unlimited Refunding Bonds, 3.00%, 7/1/30		5,000		5,159
Florida State Municipal Power Agency Revenue Refunding Bonds, All-Requirements Power Supply, 5.00%, 10/1/31		2,915		3,906
Florida State Ports Financing Commission Revenue Refunding Bonds, Series B (AMT), State Transportation Trust Fund, 5.38%, 10/1/29		3,395		3,593
Florida State Turnpike Authority Revenue Bonds, Series A, Department of Transportation (NATL Insured), 3.00%, 7/1/29		6,935		6,935
Florida State Turnpike Authority Revenue Bonds, Series C, Department of Transportation, 4.50%, 7/1/43		5,000		5,382

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Florida – 4.2% – continued
Florida State Water Pollution Control Financing Corp. Water PCR Bonds, Series A, Prerefunded, 5.00%, 7/15/20(4)		$11,545		$11,790
Hillsborough County Aviation Authority Customer Facilities Charge Revenue Bonds, Series A, Tampa International Airport, 5.00%, 10/1/44		2,500		2,777
Hillsborough County Aviation Authority Subordinate Revenue Bonds, Series B, Tampa International Airport, 5.00%, 10/1/44		4,000		4,461
Jacksonville Sales Tax Revenue Refunding Bonds, 5.00%, 10/1/30		5,500		5,960
Lee County School Board Refunding COPS, 5.00%, 8/1/22		800		869
Miami-Dade County Aviation Revenue Refunding Bonds, Series A (AMT), 5.00%, 10/1/27		1,320		1,461
Miami-Dade County Aviation Revenue Refunding Bonds, Series B, 5.00%, 10/1/37		650		721
Miami-Dade County G.O. Unlimited Bonds, Series A, 5.00%, 7/1/45		2,000		2,412
Miami-Dade County School Board COPS, Series A, 5.00%, 5/1/32		5,000		5,494
Miami-Dade County Water & Sewer System Revenue Refunding Bonds, Series B (AGM Insured), 5.25%, 10/1/20		3,000		3,062
5.25%, 10/1/22		2,500		2,754
Palm Beach County Solid Waste Authority Revenue Refunding Bonds, Prerefunded, 5.00%, 10/1/21(4)		80		85
Palm Beach County Solid Waste Authority Revenue Refunding Bonds, Unrefunded Balance, 5.00%, 10/1/31		4,920		5,189

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
Florida – 4.2% – continued
Pasco County School Board COPS, Series A (BAM Insured), 5.00%, 8/1/43		$5,000		$6,033
Reedy Creek Improvement District G.O. Limited Bonds, Series A, 5.25%, 6/1/29		5,000		5,642
5.25%, 6/1/30		5,000		5,642
				127,023
Georgia – 2.5%
Burke County Development Authority Pollution Control Variable Revenue Refunding Bonds, Georgia Transmission Co. Plant, 2.50%, 5/3/21(1) (2) (3)		2,500		2,525
Georgia State G.O. Unlimited Bonds, Series A, 5.00%, 7/1/31		10,965		14,021
4.00%, 7/1/36		5,000		5,747
Georgia State G.O. Unlimited Bonds, Series E, 2.00%, 8/1/27		2,500		2,501
Georgia State G.O. Unlimited Refunding Bonds, Series F, 5.00%, 1/1/28		5,745		7,132
Georgia State G.O. Unlimited Refunding Bonds, Series I, 5.00%, 7/1/20		2,995		3,024
Georgia State Housing & Finance Authority Revenue Bonds, Series B, 3.25%, 12/1/49		2,500		2,562
Gwinnett County School District G.O. Unlimited Bonds, 5.00%, 2/1/40		5,000		6,284
Gwinnett County Water & Sewerage Authority Revenue Refunding Bonds, 5.00%, 8/1/29		3,000		3,955
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Series A, 4.00%, 9/1/23(1) (2) (3)		14,500		14,937
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Subseries C, 4.00%, 12/1/23(1) (2) (3)		9,755		10,071
Metropolitan Atlanta Rapid Transit Authority Sales TRB, Series A, 3.25%, 7/1/47		1,000		1,030

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS –86.0% – continued
Georgia – 2.5% continued
Municipal Electric Authority of Georgia Revenue Bonds, Plant Vogtle Units 3 & 4 Project, 5.50%, 7/1/60		$2,500		$2,666
				76,455
Hawaii – 1.1%
Hawaii State Airports System Revenue Bonds, Series A, 5.25%, 7/1/29		1,000		1,008
Hawaii State Airports System Revenue Bonds, Series A (AMT), 5.00%, 7/1/28		1,025		1,190
5.00%, 7/1/30		1,250		1,433
5.00%, 7/1/43		5,000		5,529
Hawaii State G.O. Unlimited Refunding Bonds, Series EP, 5.00%, 8/1/26		10,000		11,556
Honolulu City & County Wastewater System Revenue Refunding Bonds, Senior Series B, First Bond Resolution, 5.00%, 7/1/27		11,755		13,896
				34,612
Idaho – 1.0%
Idaho State G.O. Unlimited TANS, 3.00%, 6/30/20		28,950		29,073
Illinois – 2.6%
Champaign County Community Unit School District No. 4 G.O. Unlimited Bonds, Series A, 5.00%, 1/1/32		2,300		2,814
Chicago Midway Airport Revenue Refunding Bonds, Second Lien Series B, 5.25%, 1/1/34		2,500		2,729
Chicago Midway Airport Revenue Refunding Bonds, Series A (AMT), Second Lien, 5.50%, 1/1/30		2,025		2,205
Chicago O’Hare International Airport General Revenue Bonds, Series C (AMT), Senior Lien, 5.25%, 1/1/27		500		534

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Illinois – 2.6% – continued
Chicago O’Hare International Airport General Revenue Refunding Bonds, Series B (AMT), Senior Lien, 5.00%, 1/1/25		$5,000		$5,215
Chicago O’Hare International Airport Revenue Refunding Bonds, Series B, 5.00%, 1/1/29		5,000		5,595
Cook County Sales Tax Revenue Refunding Bonds, 5.00%, 11/15/33		5,000		6,094
5.25%, 11/15/35		5,000		6,137
Illinois State Finance Authority Academic Facilities Lease Revenue Bonds, University of Illinois at Urbana-Champaign, 5.00%, 10/1/44		1,030		1,254
Illinois State Finance Authority Revenue Bonds, Series A, Art Institute Chicago, 5.25%, 3/1/40		2,500		2,504
Illinois State Finance Authority Revenue Bonds, Township High School District, 4.00%, 12/1/32		1,940		2,288
4.00%, 12/1/33		6,035		7,083
Illinois State Finance Authority Revenue Refunding Bonds, Edward-Elmhurst Healthcare, 4.25%, 1/1/44		5,000		5,411
Illinois State Finance Authority Revenue Refunding Bonds, Series A, OSF Healthcare System, 5.00%, 11/15/35		1,500		1,728
Illinois State Finance Authority Revenue Refunding Bonds, Series A, Rush University Medical Center, 5.00%, 11/15/38		1,455		1,636
Illinois State Municipal Electric Agency Power Supply Revenue Refunding Bonds, Series A, 4.00%, 2/1/33		7,000		7,579
Illinois State Toll Highway Authority Senior Revenue Bonds, Series B, 5.00%, 1/1/33		1,720		2,015
5.00%, 1/1/41		3,000		3,462

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Illinois – 2.6% – continued
Illinois State Toll Highway Authority Senior Revenue Refunding Bonds, 5.00%, 1/1/31		$7,400		$9,329
Madison Macoupin Counties Community College District No. 536 G.O. Unlimited Refunding Bonds, Lewis and Clark Community (AGM Insured), 4.00%, 5/1/30		1,000		1,123
Will Grundy Etc. Counties Community College District No. 525 G.O. Unlimited Refunding Bonds, Alternative Revenue Source, 5.25%, 6/1/36		2,500		2,830
				79,565
Indiana – 1.2%
Carmel 2002 School Building Corp. Revenue Bonds (State Intercept Program), 3.50%, 7/15/35		4,760		5,289
Indiana Finance Authority Wastewater Utility Revenue Bonds, Series A, First Lien, CWA Authority, 5.25%, 10/1/31		5,750		6,089
5.25%, 10/1/38		2,980		3,153
4.25%, 10/1/44		10,000		10,890
Indiana State Finance Authority Hospital Revenue Refunding Bonds, Series A, University Health Obligated Group, 5.00%, 12/1/40		4,000		4,639
Indiana State Health & Educational Facilities Financing Authority Ascension Senior Credit Group Revenue Refunding Bonds, 4.00%, 11/15/46		2,500		2,659
Indiana State University Revenue Bonds, Series S, Student Fee, 4.00%, 10/1/37		1,855		2,095
Porter County Jail Building Corp. First Mortgage Revenue Refunding Bonds (AGM Insured), 5.50%, 7/10/21		595		613
5.50%, 1/10/24		1,135		1,259
				36,686

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Iowa – 0.4%
PEFA, Inc. Gas Project Revenue Bonds, 5.00%, 9/1/26(1) (2) (3)		$10,000		$10,987
Kansas – 0.0%
Lyon County Kansas Unified School District No. 253 G.O. Unlimited Bonds, 3.00%, 9/1/44		730		747
Kentucky – 3.0%
Carroll County Kentucky Environmental Facilities Revenue Refunding Bonds, Series B (AMT), Kentucky Utilities Company Project, 1.20%, 6/1/21(1) (2) (3)		10,000		9,948
Fayette County School District Finance Corp. Revenue Bonds, Series A (State Intercept Program), 4.00%, 5/1/38		5,000		5,499
Jefferson County School District Finance Corp. School Building Revenue Bonds, Series A (State Intercept Program), 4.00%, 6/1/31		3,935		4,466
Kentucky State Economic Development Finance Authority Revenue Refunding Bonds, Series A, Commonspirit Health, 5.00%, 8/1/34		750		839
5.00%, 8/1/35		550		608
5.00%, 8/1/36		750		822
5.00%, 8/1/49		1,000		1,061
Kentucky State Public Energy Authority Gas Supply Revenue Bonds, Series A, 4.00%, 6/1/26(1) (2) (3)		5,725		5,719
Kentucky State Public Energy Authority Gas Supply Revenue Bonds, Series C-1, 4.00%, 6/1/25(1) (2) (3)		15,000		15,617
Kentucky State Public Energy Authority Gas Supply Variable Revenue Bonds, Series C, 4.00%, 2/1/28(1) (2) (3)		20,000		20,988
Kentucky State Public Energy Authority Revenue Bonds, Series B, Gas Supply, 4.00%, 1/1/25(1) (2) (3)		21,000		21,019

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Kentucky – 3.0% – continued
Louisville & Jefferson County Metropolitan Sewer District & Drain System Revenue Bonds, Series A, 5.00%, 5/15/34		$3,000		$3,180
				89,766
Louisiana – 0.8%
East Baton Rouge Parish Capital Improvements District MovEBR Sales TRB, 4.00%, 8/1/34		2,180		2,557
Louisiana Public Facilities Authority Revenue Refunding Bonds, Ochsner Clinic, Unrefunded Balance, 5.00%, 5/15/47		2,925		3,397
Louisiana State G.O. Unlimited Bonds, Series A, 4.00%, 5/15/32		6,500		6,932
Louisiana State G.O. Unlimited Refunding Bonds, Series C, 5.00%, 7/15/24		2,825		3,164
Louisiana State Highway Improvement Revenue Bonds, Series A, 5.00%, 6/15/30		5,390		6,165
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Refunding Bonds, Series A, Woman’s Hospital Foundation Project, 5.00%, 10/1/30		1,505		1,841
Saint John The Baptist Parish Revenue Refunding Bonds, Marathon Oil Corp., 2.20%, 7/1/26(1) (2) (3)		1,000		804
				24,860
Maryland – 3.2%
Anne Arundel County Consolidated General Improvements G.O. Limited Bonds, 5.00%, 10/1/31		1,455		1,900
Baltimore County Consolidated Public Improvement G.O. Unlimited Bonds, 4.00%, 3/1/37		3,745		4,417
Baltimore County Metropolitan District 81st Issue G.O. Unlimited Bonds, 4.00%, 3/1/39		2,500		2,888

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Maryland – 3.2% – continued
Baltimore County Metropolitan District G.O. Unlimited BANS, 4.00%, 3/22/21		$15,000		$15,403
Howard County G.O. Unlimited Refunding Bonds, Series D, 5.00%, 2/15/30		2,500		3,171
5.00%, 2/15/31		10,000		12,645
Maryland State & Local Facilities Loan G.O. Unlimited Bonds, Series 2, 5.00%, 8/1/30		10,000		12,814
Maryland State Department of Transportation Consolidated Transportation Revenue Bonds, Second Issue, 5.00%, 10/1/27		10,000		12,257
5.00%, 10/1/28		3,450		4,219
Maryland State G.O. Unlimited Refunding Bonds, Series C, 5.00%, 8/1/20		3,750		3,799
Saint Mary’s County G.O. Unlimited Bonds, 5.00%, 8/1/24		500		580
Washington Suburban Sanitary District Consolidated Public Improvement G.O. Unlimited Bonds, Second Series, 5.00%, 6/1/37		5,000		5,975
Washington Suburban Sanitary District Revenue Refunding Bonds, Consolidated Public Improvement (County Gtd.), 4.00%, 6/1/21		14,705		15,204
				95,272
Massachusetts – 2.0%
Boston G.O. Unlimited Bonds, Series A, 5.00%, 3/1/36		1,000		1,276
Boston Water & Sewer Commission General Revenue Refunding Bonds, Series A, Senior Lien, 3.50%, 11/1/33		4,030		4,202
Lincoln School G.O. Unlimited Bonds, 3.50%, 3/1/44		2,000		2,194
Massachusetts State Bay Transportation Authority Sales Tax Revenue Refunding CABS, Series A, 0.00%, 7/1/29(7)		3,000		2,533

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Massachusetts – 2.0% – continued
Massachusetts State Development Finance Agency Revenue Bonds, Series B, Harvard University, Prerefunded, 5.00%, 10/15/20(4)		$2,585		$2,639
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Partners Healthcare System, 5.00%, 7/1/29		1,625		1,982
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Series A, Harvard University, 5.00%, 7/15/40		2,500		3,567
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Series A-2, 5.00%, 7/1/39		1,500		1,868
4.00%, 7/1/41		1,200		1,339
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Suffolk University, 5.00%, 7/1/29		500		592
Massachusetts State G.O. Limited Bonds, Series B, 2.50%, 3/1/43		5,000		4,803
Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Mass Institute Technology, 5.50%, 7/1/32		2,500		3,563
Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Series N, Harvard University, 6.25%, 4/1/20		1,000		1,000
Massachusetts State School Building Authority Sales TRB, Series B, Senior Lien, 5.00%, 11/15/39		5,000		6,007
Massachusetts State Special Obligation Dedicated Refunding Revenue Bonds, (NATL Insured), 5.50%, 1/1/34		2,500		3,469
Massachusetts State Special Obligation Revenue Bonds, Series A, Consolidated Loan (AGM Insured), 5.50%, 6/1/21		500		526

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Massachusetts – 2.0% – continued
Massachusetts State Water Resources Authority General Revenue Bonds, Series B, 5.00%, 8/1/43		$5,000		$6,109
Massachusetts State Water Resources Authority General Revenue Refunding Bonds, Series B, 5.00%, 8/1/26		5,000		5,065
University of Massachusetts Building Authority Project Revenue Bonds, Senior-Series 1, 4.00%, 11/1/43		7,500		7,780
				60,514
Michigan – 1.4%
Battle Creek School District G.O. Unlimited Refunding Bonds (Q-SBLF Insured), 5.00%, 5/1/27		1,540		1,848
Chippewa Valley Schools G.O. Unlimited Refunding Bonds, Series A, (Q-SBLF Insured), 5.00%, 5/1/27		400		477
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series I-A, 5.00%, 10/15/29		5,000		5,593
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series II-A, 5.00%, 10/15/27		10,000		10,550
Michigan State Finance Authority Clean Water State Revolving Fund Subordinate Revenue Refunding Bonds, 5.00%, 10/1/25		3,970		4,349
Michigan State Finance Authority Hospital Revenue Refunding Bonds, Trinity Health Credit Group, 5.00%, 12/1/47		1,000		1,099
Michigan State Municipal Bond Authority Revenue Bonds, Clean Water Fund, Unrefunded Balance, 4.75%, 10/1/23		345		346
Thornapple Kellogg School District G.O. Unlimited Refunding Bonds (Q-SBLF Insured), 5.00%, 5/1/38		2,265		2,858

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Michigan – 1.4% – continued
Wayne County Airport Authority Revenue Bonds, Series D, 5.00%, 12/1/34		$3,400		$3,867
Wayne County Airport Authority Revenue Bonds, Series D (AGM Insured), 5.00%, 12/1/32		9,690		11,093
				42,080
Minnesota – 0.4%
Anoka-Hennepin Independent School District No. 11 G.O. Unlimited Bonds, Series A (School District Credit Program), 2/1/45(6)		5,000		5,062
Minnesota State G.O. Unlimited Bonds, Series A, 5.00%, 8/1/38		1,500		1,878
Minnesota State G.O. Unlimited Bonds, Series A, Escrowed to Maturity, 5.00%, 10/1/20		75		77
Minnesota State Municipal Power Agency Electric Revenue Refunding Bonds, Series A, 5.00%, 10/1/29		1,000		1,146
Minnesota State Various Purpose G.O. Unlimited Bonds, Prerefunded, 5.00%, 8/1/22(4)		245		267
Owatonna Independent School District No. 761 G.O. Unlimited Bonds, Series A (School District Credit Program), 2.25%, 2/1/45		5,000		4,655
				13,085
Mississippi – 0.3%
Mississippi State Development Bank Rankin County School District Project Special Obligation Revenue Bonds, 4.00%, 6/1/43		2,000		2,212
Mississippi State G.O. Unlimited Refunding Bonds, Series A, 5.00%, 10/1/29		5,000		6,220
				8,432

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Missouri – 0.9%
Kansas City Sanitation Sewer System Revenue Bonds, Subseries A, 4.00%, 1/1/42		$3,750		$4,186
Metropolitan Saint Louis Sewer District Wastewater System Revenue Refunding & Improvement Bonds, Series A, 5.00%, 5/1/30		5,000		6,200
Missouri State Environmental Improvement & Energy Resources Authority Revenue Refunding Bonds, Series A-R, Union Electric Co. Project, 2.90%, 9/1/33		7,500		7,942
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Revenue Refunding Bonds, Series B, 5.00%, 1/1/26		1,480		1,745
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution State Revolving Funds Revenue Refunding Bonds, Escrowed to Maturity, 5.00%, 7/1/23		125		140
Missouri State Health & Educational Facilities Authority Health Facilities Revenue Refunding Bonds, Series A, Mercy Health, 5.00%, 6/1/30		2,500		3,089
Saint Louis Airport Revenue Refunding Bonds, St. Louis Lambert International Airport, 5.00%, 7/1/31		1,750		2,095
Wentzville School District No. R-4 G.O. Unlimited Refunding CABS, Missouri Direct Deposit Program (State Aid Direct Deposit Program), 0.00%, 3/1/27(7)		2,100		1,789
				27,186
Nebraska – 1.2%
Lancaster County School District No. 1 G.O. Unlimited Refunding Bonds, 5.00%, 1/15/27		3,760		4,476
Lincoln Electric System Revenue Bonds, Series A, 5.00%, 9/1/31		3,000		3,963
5.00%, 9/1/32		3,035		3,988

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Nebraska – 1.2% – continued
Omaha Public Power District Electric Revenue Refunding Bonds, Series A, 4.00%, 2/1/42		$5,000		$5,575
Omaha Public Power District Electric Revenue Bonds, Series A, 5.00%, 2/1/30		5,000		6,392
5.00%, 2/1/31		6,525		8,283
Omaha Public Power District Electric Revenue Bonds, Series B, Prerefunded, 5.00%, 2/1/22(4)		3,000		3,211
				35,888
Nevada – 0.6%
Clark County Airport System Subordinate Lien Revenue Refunding Bonds Series A-2, 4.25%, 7/1/34		2,500		2,697
Clark County Flood Detention Center G.O. Limited Bonds, 5.00%, 6/1/31		1,000		1,292
Clark County School District Building G.O. Limited Bonds, Series B (AGM, CR Insured), 5.00%, 6/15/31		6,000		7,484
Clark County School District G.O. Limited Bonds, Series B (AGM Insured), 5.00%, 6/15/31		1,000		1,250
Washoe County School District G.O. Limited Bonds, Series C, School Improvement Bonds (AGM Insured), 3.25%, 10/1/42		6,500		6,757
				19,480
NewJersey – 0.7%
Essex County G.O. Unlimited Bonds, Series A-B, 3.00%, 9/1/41		2,775		2,842
New Jersey State EDA Revenue Bonds, Transit Transportation Project, 5.00%, 11/1/34		3,000		3,225
New Jersey State EDA Revenue Refunding Bonds, Series II, School Facilities Construction, 5.00%, 3/1/27		3,290		3,536

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
New Jersey – 0.7% – continued
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Series BB, 5.00%, 6/15/44		$5,000		$5,217
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Transportation Program, 5.25%, 6/15/43		2,500		2,665
New Jersey State Transportation Trust Fund Authority Transportation System Revenue Refunding Bonds, 5.00%, 12/15/26		2,000		2,186
				19,671
NewMexico – 0.1%
New Mexico State Finance Authority Revenue Bonds, Series C, 5.00%, 6/1/23		2,770		2,893
New York – 12.9%
Albany County Various Purpose G.O. Limited Bonds, Series A, 2.00%, 9/15/31		1,500		1,473
Metropolitan Transportation Authority Revenue Bonds, Series C, Group 1, Green Bonds (AGM, CR Insured), 5.00%, 11/15/38		3,000		3,572
Metropolitan Transportation Authority Revenue Bonds, Series G, Prerefunded, 5.25%, 11/15/20(4)		5,000		5,129
Metropolitan Transportation Authority Revenue Refunding Bonds, Subseries C-1, 5.25%, 11/15/28		5,000		5,643
Metropolitan Transportation Authority TRANS, Series F, 5.00%, 11/15/22		10,000		10,437
Monroe County Industrial Development Corp. Revenue Refunding Bonds, Series B, University of Rochester Project, 5.00%, 7/1/26		2,500		3,065
New York City Housing Development Corp. MFH Revenue Bonds, Series B1B, 3.88%, 11/1/28		4,060		4,266

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York City Housing Development Corp. MFH Revenue Refunding Bonds, Sustainable Neighborhood (FNMA Insured), 2.95%, 2/1/26(1) (2) (3)		$4,000		$4,243
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Second General Resolution, Fiscal 2014, 5.00%, 6/15/46		5,000		5,469
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series BB-2, 5.00%, 6/15/26		1,700		1,984
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series DD-2 Block 5, 5.00%, 6/15/40		5,000		6,052
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series EE, 5.00%, 6/15/29		3,500		4,175
5.25%, 6/15/36		2,500		3,074
5.00%, 6/15/41		7,500		9,438
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series GG, 5.00%, 6/15/31		4,765		5,584
5.00%, 6/15/39		8,000		9,250
New York City Transitional Finance Authority Building Aid Revenue Bonds, Series S-3 (State Aid Withholding), 5.00%, 7/15/43		3,000		3,630
New York City Transitional Finance Authority Building Aid Revenue Bonds, Subseries S-1A (State Aid Withholding), 5.00%, 7/15/26		10,000		10,476
New York City Transitional Finance Authority Building Aid Revenue Refunding Bonds, Series S-3 Subseries S-3A (State Aid Withholding), 5.00%, 7/15/36		5,000		6,143
5.00%, 7/15/37		10,000		12,242

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York City Transitional Finance Authority Future Tax Secured Revenue Bonds, Subseries A-1, 5.00%, 5/1/38		2,500		2,507
New York City Transitional Finance Authority Future Tax Secured Revenue Refunding Bonds, Series B, 5.00%, 11/1/25		1,000		1,058
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, 5.00%, 8/1/40		2,000		2,428
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Series B, 5.00%, 2/1/22		2,000		2,061
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Subseries A2, 5.00%, 5/1/38		2,280		2,818
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Unrefunded Balance, 5.00%, 11/1/21		4,995		5,010
5.00%, 2/1/30		5,000		5,304
New York City Transitional Finance Authority Future Tax Subordinate Revenue Refunding Bonds, Series B, 5.00%, 11/1/25		5,000		5,455
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series 2, 5.00%, 11/1/21		10,000		10,587
5.00%, 11/1/22		10,000		10,937
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series C-3, 5.00%, 5/1/41		5,000		6,027
New York G.O. Unlimited Bonds, Fiscal 2020, Series B-1, 5.00%, 10/1/38		2,500		3,104

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York G.O. Unlimited Bonds, Series 1, 5.00%, 8/1/20		$750		$760
New York G.O. Unlimited Bonds, Series D, Subseries D1, 5.00%, 12/1/39		10,000		12,203
New York G.O. Unlimited Bonds, Series E, Unrefunded Balance, 5.00%, 11/1/25		5		5
New York G.O. Unlimited Bonds, Series E-1, 5.25%, 3/1/34		2,750		3,409
5.00%, 3/1/37		3,700		4,480
4.00%, 3/1/41		5,000		5,594
4.00%, 3/1/42		5,000		5,583
New York G.O. Unlimited Bonds, Series H, 5.00%, 8/1/30		5,000		5,572
New York G.O. Unlimited Bonds, Subseries D-3, 5.00%, 2/1/24(1) (2) (3)		5,000		5,579
New York G.O. Unlimited Bonds, Subseries F-1, 5.00%, 4/1/36		1,150		1,398
5.00%, 4/1/43		2,000		2,397
New York G.O. Unlimited Refunding Bonds, Series C-1, 5.00%, 8/1/32		5,000		6,516
New York G.O. Unlimited Refunding Bonds, Series E, 5.00%, 8/1/28		1,045		1,255
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, Memorial Sloan Kettering Cance, 4.00%, 7/1/38		2,000		2,323
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, School Districts Financing Program (AGC State Aid Withholding), Unrefunded Balance, 5.25%, 10/1/23		170		171
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, Series A, 4.00%, 7/1/35		5,000		5,624
5.00%, 7/1/36		2,500		3,076

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York State Dormitory Authority Non State Supported Debt Revenue Refunding Bonds, School Districts Financing Program (AGM State Aid Withholding), 5.00%, 10/1/22		1,585		1,741
New York State Dormitory Authority Non State Supported Debt Revenue Refunding Bonds, Series C, Rockefeller, 4.00%, 7/1/49		1,000		1,145
New York State Dormitory Authority Personal Income Tax Revenue Refunding Bonds, Series B, Education (AMBAC Insured), 5.50%, 3/15/30		7,040		9,535
New York State Dormitory Authority Sales Tax Revenue Refunding Bonds, Series E, Group 3, 5.00%, 3/15/42		5,000		6,133
New York State Dormitory Authority Sales TRB, Series A, 5.00%, 3/15/27		10,000		11,139
New York State Dormitory Authority Sales TRB, Series A, Group B, 5.00%, 3/15/28		1,910		2,337
New York State Dormitory Authority Sales TRB, Series A, Group C, 5.00%, 3/15/44		3,755		4,457
New York State Dormitory Authority State Personal Income Tax General Purpose Refunding Revenue Bonds, Series A, 5.00%, 2/15/21		1,500		1,549
5.00%, 12/15/22		2,000		2,198
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series A, 5.25%, 3/15/39		2,000		2,488
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series D, 5.00%, 2/15/32		10,000		12,976

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series E, 3.25%, 3/15/35		$2,000		$2,052
3.25%, 3/15/36		10,000		10,239
New York State Dormitory Authority State Personal Income Tax Taxable Revenue Refunding Bonds, Series F, 3.03%, 2/15/33		2,500		2,602
New York State Dormitory Authority State Personal Income TRB, Series A, 5.00%, 2/15/43		2,000		2,319
New York State Dormitory Authority State Personal Income TRB, Series E, 5.00%, 8/15/20		1,500		1,521
New York State Environmental Facilities Corp. State Clean & Drinking Water Revenue Refunding Bonds, Series A, 5.00%, 6/15/21		1,500		1,569
New York State Environmental Facilities Corp. State Clean & Drinking Water Revolving Funds Revenue Bonds, New York City Municipal Water, 5.00%, 6/15/36		5,000		5,213
New York State Housing Finance Agency Sustainability Revenue Bonds, Series K, 1.45%, 5/1/23		5,000		4,991
New York State Local Government Assistance Corp. Revenue Refunding Bonds, Series E (AGM, CR Insured), 5.00%, 4/1/21		5,075		5,175
New York State Thruway Authority General Revenue Junior Indebtedness Obligations Subordinate Revenue Bonds, Series B (AGM Insured), 4.00%, 1/1/45		4,000		4,422
New York State Thruway Authority Revenue Bonds, Series N, Group 1, 5.00%, 1/1/39		10,000		12,496
New York State Urban Development Corp. General Purpose Personal Income TRB, 5.00%, 3/15/37		5,000		6,145
5.00%, 3/15/40		2,500		3,044

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
New York – 12.9% – continued
New York State Urban Development Corp. Personal Income TRB, Series A-1, 5.00%, 3/15/43		$1,500		$1,627
New York State Urban Development Corp. Personal Income TRB, Series E, 5.00%, 3/15/25		1,550		1,718
New York State Urban Development Corp. Taxable General Personal Income TRB, 3.90%, 3/15/33		5,000		5,651
Port Authority of New York & New Jersey Consolidated Revenue Bonds, Series 185 (AMT), 5.00%, 9/1/26		1,130		1,270
Port Authority of New York & New Jersey Revenue Refunding Bonds, Series 207 (AMT), 5.00%, 9/15/28		2,000		2,479
5.00%, 9/15/29		5,000		6,180
Sales Tax Asset Receivable Corp.
Revenue Refunding Bonds, Series A, Fiscal 2015, 5.00%, 10/15/22		1,000		1,100
5.00%, 10/15/28		2,500		2,869
5.00%, 10/15/29		2,500		2,864
4.00%, 10/15/32		1,000		1,089
Troy Capital Resource Corp. Revenue Refunding Bonds, Rensselaer Polytechnic Institute Project, Forward Delivery, 5.00%, 9/1/39		1,500		1,877
Utility Debt Securitization Authority Restructuring Revenue Refunding Bonds, 5.00%, 12/15/37		2,500		2,931
Utility Debt Securitization Authority Revenue Bonds, Restructuring Bonds, Series TE, 5.00%, 12/15/41		1,000		1,125
				388,852
North Carolina – 3.3%
Charlotte COPS, Series B, 3.00%, 6/1/22		20,330		20,355

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 86.0% – continued
North Carolina – 3.3% – continued
Charlotte Douglas International Airport Revenue Refunding Bonds, 5.00%, 7/1/26		$2,420		$2,720
Charlotte G.O. Unlimited Refunding Bonds, Series A, 5.00%, 6/1/23		3,250		3,641
Charlotte G.O. Unlimited Refunding Bonds, Series B, 5.00%, 7/1/27		3,500		3,918
Charlotte Water & Sewer System Revenue Refunding Bonds, 5.00%, 7/1/31		5,000		6,389
4.00%, 7/1/36		6,790		7,563
Charlotte-Mecklenburg Hospital Authority Health Care System Revenue Refunding Bonds, Series A, Atrium Health, 5.00%, 1/15/35		5,000		6,209
Forsyth County G.O. Unlimited Refunding Bonds, 4/1/28(6)		5,000		5,513
Montgomery County Public Facilities Corp. Limited Obligation Revenue BANS, 3.00%, 9/1/20		5,000		5,007
North Carolina State Public Improvement G.O. Unlimited Bonds, Series A, Prerefunded, 5.00%, 5/1/20(4)		5,000		5,016
North Carolina State Public Improvement G.O. Unlimited Bonds, Series B, 5.00%, 6/1/28		5,000		6,440
Raleigh Durham Airport Authority Revenue Refunding Bonds, Series A (AMT), 5.00%, 5/1/36		1,000		1,208
University of North Carolina at Chapel Hill Variable Revenue Refunding Bonds, Series B, (Floating, ICE LIBOR USD 1M + 0.35%), 1.01%, 12/1/21(1) (3)		15,000		14,998
Wake County G.O. Unlimited Refunding Bonds, Series B, 5.00%, 3/1/21		10,000		10,357
				99,334

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Ohio – 1.3%
Hamilton County Hospital Facilities Revenue Bonds, Cincinnati Children’s Hospital Project, 5.00%, 11/15/41		$4,000		$5,658
5.00%, 11/15/49		4,000		5,889
Miami County Hospital Facilities Improvement Revenue Refunding Bonds, Kettering Health Network, 5.00%, 8/1/35		1,200		1,436
Ohio State Common Schools G.O. Unlimited Refunding Bonds, Series C, 4.00%, 9/15/22		5,000		5,345
Ohio State Higher Education G.O. Unlimited Infrastructure Improvement Bonds, Series A, 4.00%, 2/1/32		2,500		2,643
Ohio State Higher Educational Facility Revenue Bonds, Denison University Project, 5.00%, 11/1/39		1,365		1,711
Ohio State Infrastructure Improvement G.O. Unlimited Refunding Bonds, Series C, 4.00%, 8/1/21		5,000		5,191
Ohio State Turnpike Commission Revenue Refunding Bonds, Series A, 5.00%, 2/15/28		2,000		2,467
Ohio State University Revenue Bonds, Series A, 5.00%, 12/1/39		5,000		5,722
Ohio State Water Quality Development Authority Pollution Control Taxable Revenue Bonds, Series B, 3.00%, 12/1/33		2,000		2,156
Washington Local School District Lucas County G.O. Unlimited Bonds, Series A (School District Credit Program), 3.00%, 12/1/47		1,500		1,522
				39,740
Oklahoma – 0.3%
Norman Regional Hospital Authority Revenue Bonds, Norman Regional Hospital Authority, 4.00%, 9/1/45		2,000		2,075

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS –86.0% – continued
Oklahoma – 0.3% – continued
Tulsa Public Facilities Authority Revenue Bonds, 3.00%, 6/1/27		$5,000		$5,362
3.00%, 6/1/29		2,000		2,125
				9,562
Oregon – 0.5%
Clackamas Community College District G.O. Unlimited Bonds, Series B, 5.00%, 6/15/36 1,600				1,951
Metropolitan Dedicated TRB, Oregon Convention Center Hotel, 5.00%, 6/15/42		2,065		2,462
Oregon State Board Education G.O. Unlimited Bonds, Series A, Prerefunded, 5.00%, 8/1/20 (4)		40		40
Oregon State Board Education G.O. Unlimited Bonds, Series A, Unrefunded Balance, 5.00%, 8/1/23		4,440		4,497
Oregon State Department of Administrative Services Lottery Revenue Refunding Bonds, Series D (Moral Obligation Insured), 5.00%, 4/1/27		1,315		1,547
Oregon State G.O. Unlimited Refunding Bonds, Series L, 5.00%, 8/1/31		2,745		3,427
				13,924
Pennsylvania – 2.0%
Commonwealth Financing Authority Taxable Revenue Bonds, Series A, 3.81%, 6/1/41		2,000		2,263
Commonwealth Financing Authority Tobacco Master Settlement Payment Revenue Bonds, 5.00%, 6/1/25		1,000		1,153
5.00%, 6/1/26		1,500		1,766
5.00%, 6/1/27		3,000		3,605
5.00%, 6/1/31		2,000		2,412
Montgomery County G.O. Unlimited Refunding Bonds, 5.00%, 3/1/22		915		983

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Pennsylvania – 2.0% – continued
Neshaminy School District G.O. Limited Bonds, Series B (State Aid Withholding), 5.00%, 11/1/34		$5,000		$5,597
Pennsylvania State G.O. Unlimited Bonds, Series 1, 4.00%, 6/1/29		5,000		5,268
4.00%, 6/1/30		5,555		5,839
Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, University of Pennsylvania Health System, 5.00%, 8/15/29		4,500		5,819
5.00%, 8/15/37		5,000		6,084
Pennsylvania State Turnpike Commission Revenue Bonds, Series A, 5.00%, 12/1/38		5,000		5,681
Pennsylvania State Turnpike Commission Revenue Bonds, Series A-2, 5.00%, 12/1/37		11,635		14,279
				60,749
Rhode Island – 0.2%
Rhode Island State & Providence Plantations G.O. Unlimited Bonds, Series B, Consolidated Capital Development Loan, 5.00%, 10/15/27		2,630		2,863
Rhode Island State & Providence Plantations G.O. Unlimited Refunding Bonds, Series A, Consolidated Capital Development Loan, 5.00%, 8/1/21		1,000		1,051
Rhode Island State Clean Water Finance Agency Pollution Control Subordinated Revenue Refunding Bonds, Subseries A, 5.00%, 10/1/21		2,880		2,935
				6,849
South Carolina – 2.0%
Beaufort-Jasper Water & Sewer Authority South Carolina Waterworks & Sewer System Revenue Bonds, Series A, 5.00%, 3/1/30		2,530		3,252

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
South Carolina – 2.0% – continued
Charleston County Capital Improvement Transportation Sales Tax G.O. Unlimited Bonds (State Aid Withholding), Prerefunded, 5.00%, 11/1/21 (4)		$2,500		$2,656
Charleston Waterworks & Sewer System Revenue Bonds, 5.00%, 1/1/44		8,320		10,596
Patriots Energy Group Financing Agency Revenue Bonds, Series A, 4.00%, 2/1/24 (1)(2)(3)		10,000		10,332
Piedmont Municipal Power Agency Electric Revenue Bonds, Series 2004 (BHAC, CR MBIA Insured), 5.38%, 1/1/25		4,870		5,719
SCAGO Educational Facilities Corp. Cherokee School District No. 1 Revenue Refunding Bonds, 5.00%, 12/1/25		500		585
South Carolina State Transportation Infrastructure Bank Revenue Refunding Bonds, Series A, Prerefunded, 5.00%, 10/1/21 (4)		1,270		1,343
South Carolina State Transportation Infrastructure Bank Variable Revenue Refunding Bonds, Series 2003B, (Floating, ICE LIBOR USD 1M + 0.45%), 1.11%, 10/1/22 (1)(3)		24,880		24,309
Spartanburg County School District No. 7 G.O. Unlimited Bonds, Series D (SCSDE Insured), 5.00%, 3/1/34		1,000		1,275
				60,067
Tennessee – 1.3%
Chattanooga Health Educational & Housing Facility Board Revenue Refunding Bonds, Series A, Commonspirit Health, 4.00%, 8/1/36		1,000		1,060
4.00%, 8/1/38		1,000		1,044
Knox County G.O. Unlimited Bonds, 4.00%, 6/1/28		1,000		1,127

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Tennessee – 1.3% – continued
Metropolitan Government Nashville & Davidson County G.O. Unlimited & Improvement Bonds, 5.00%, 7/1/29		$5,000		$6,316
Metropolitan Government Nashville & Davidson County Health & Educational Facility Board Revenue Refunding Bonds, Lipscomb University Project, 5.00%, 10/1/38		1,000		1,103
Metropolitan Government of Nashville & Davidson County G.O. Unlimited Refunding & Improvement Bonds, Series A, Unrefunded Balance, 5.00%, 7/1/24		4,600		4,644
Tennergy Corp. Gas Revenue Bonds, Series A, 5.00%, 10/1/24(1)(2)(3)		12,645		13,663
Tennessee State Energy Acquisition Corp. Revenue Bonds, Series A, Gas Project, 4.00%, 5/1/23 (1) (2)(3)		3,500		3,585
Tennessee State Housing Development Agency Revenue Bonds, Series 1A (AMT), Home Ownership Program, 4.05%, 7/1/20		400		403
4.13%, 7/1/21		1,520		1,549
Williamson County District School G.O. Unlimited Bonds, 5.00%, 4/1/25		1,000		1,183
4.00%, 4/1/32		1,745		2,096
				37,773
Texas – 10.2%
Brownsville Independent School District G.O. Unlimited Refunding Bonds, Series A (PSF, Gtd.), 5.00%, 2/15/22		100		107
Central Regional Mobility Authority Revenue Bonds, Senior Lien, 5.00%, 1/1/43		1,930		2,118
Central Regional Mobility Authority Revenue Refunding Bonds, 5.00%, 1/1/46		500		536

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Texas – 10.2% – continued
Cypress-Fairbanks Independent School District G.O. Unlimited Refunding Bonds (PSF, Gtd.), 5.00%, 2/15/35		$5,000		$6,269
Dallas Area Rapid Transit Sales Tax Revenue Refunding Bonds, Senior Lien, 5.00%, 12/1/32		10,000		13,100
Fort Bend Independent School District Variable G.O. Unlimited Bonds, Series A (PSF, Gtd.), 1.95%, 8/1/22 (1)(2)(3)		2,500		2,506
Frisco Improvement G.O. Limited Refunding Bonds, 5.00%, 2/15/28		5,755		6,933
Harris County Cultural Educational Facilities Finance Corp. Revenue Bonds, Series A, Memorial Hermann Health System, 5.00%, 12/1/30		3,500		4,105
Harris County Flood Control District Contract Tax Revenue Refunding Bonds, Series A, Prerefunded, 5.00%, 10/1/20 (4)		10,000		10,186
Hays Consolidated Independent School District School Building G.O. Unlimited Bonds, Series B (PSF, Gtd.), 2.70%, 8/15/23 (1)(2)(3)		10,000		10,218
Katy Independent School District Variable G.O. Unlimited Refunding Bonds, Series 2015C (PSF, Gtd.), (Floating, ICE LIBOR USD 1M + 0.28%), 0.75%, 8/16/21 (1)(3)		2,000		2,000
Killeen Independent School District G.O. Unlimited Bonds (PSF, Gtd.), 5.00%, 2/15/37		5,000		6,204
Lower Colorado River Authority Junior Lien Revenue Bonds, Seventh Supplemental Series (AGM Insured), Escrowed to Maturity, 4.75%, 1/1/28		4,640		5,278
North Texas Tollway Authority Revenue Refunding Bonds, Series A, First Tier, 5.00%, 1/1/25		1,800		1,977
5.00%, 1/1/35		3,000		4,134
5.00%, 1/1/38		3,000		3,574
5.00%, 1/1/39		5,000		5,930

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Texas – 10.2% – continued
Northside Texas Independent School District G.O. Unlimited Refunding Bonds, Series B (PSF, Gtd.), 5.00%, 2/15/30		1,640		2,087
Pasadena Independent School District School Building Variable G.O. Unlimited Bonds, Series B (PSF, Gtd.), 1.50%, 8/15/24 (1)(2)(3)		6,500		6,491
Pflugerville Independent School District Tax School Building G.O. Unlimited Bonds, Series 2014 (PSF, Gtd.), 4.00%, 2/15/33		6,620		7,221
San Antonio Electric & Gas Variable Revenue Refunding Bonds, Subseries B, 2.00%, 12/1/21(1)(2)(3)		1,500		1,506
San Antonio Electric & Gas Variable Revenue Bonds, Junior Lien, 1.75%, 12/1/25 (1)(2)(3)		1,000		999
Spring Branch Independent School District Variable G.O. Unlimited Bonds, Schoolhouse Bonds (PSF, Gtd.), 1.55%, 6/15/21 (1)(2)(3)		2,000		1,999
Texas State A&M University Financing System Revenue Bonds, Series D, Prerefunded, 5.00%, 5/15/23(4)		5,000		5,595
Texas State A&M University Revenue Refunding Bonds, Series C, 4.00%, 5/15/31		1,655		1,871
Texas State G.O. Unlimited Refunding Bonds, Series A, Transportation Commission, 5.00%, 10/1/23		70		79
Texas State TRANS, 4.00%, 8/27/20		160,000		161,805
Texas State Transportation Commission Central Texas Turnpike System Taxable Revenue Refunding Bonds, Series B, 1.98%, 8/15/22 (1)(2)(3)		750		701

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Texas – 10.2% – continued
Texas State Transportation Commission Mobility Fund Refunding G.O. Unlimited Bonds, 4.00%, 10/1/33		$5,000		$5,435
5.00%, 10/1/34		1,500		1,718
Texas State Water Development Board Revenue Bonds, State Water Implementation Fund, 5.00%, 10/15/31		5,000		6,291
Texas State Water Development Board TRB, Series B, 2.28%, 10/15/27		315		323
2.33%, 10/15/28		295		303
Texas State Water Finance Assistance G.O. Unlimited Refunding Bonds, 5.00%, 8/1/21		4,000		4,204
Texas State Water Financial Assistance G.O. Unlimited Bonds, Unrefunded Balance, 5.00%, 8/1/21		3,000		3,153
Texas State Water Financial Assistance Variable G.O. Unlimited Refunding Bonds, 2.25%, 8/1/22 (1)(2)(3)		2,000		2,003
University of Houston University Revenue Refunding Bonds, Series A, 3.00%, 2/15/42		5,000		5,172
University of Texas Revenue Refunding Bonds, Series I, 5.00%, 8/15/22		750		818
Wylie Independent School District G.O. Unlimited Bonds, Series B, Collin County (PSF, Gtd.), 2.25%, 8/15/41 (2)(3)		1,750		1,793
				306,742
Utah – 1.4%
Cache County School District G.O. Unlimited Refunding Bonds, Utah School Bond Guaranty Program (School Board Guaranty Program), 4.00%, 6/15/28		3,325		3,664
Salt Lake City Airport Revenue Bonds, Series A (AMT), 5.00%, 7/1/26		1,500		1,732
5.00%, 7/1/28		2,500		2,966

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Utah – 1.4% – continued
Utah State G.O. Unlimited Bonds, 5.00%, 7/1/26		$5,000		$6,119
Utah State Transit Authority Sales Tax Revenue Refunding Bonds, Series A, 5.00%, 6/15/38		2,000		2,387
Utah State Transit Authority Sales Tax Revenue Refunding Bonds, Series C (AGM Insured), 5.25%, 6/15/32		15,000		20,187
Utah State University Revenue Refunding Bonds, Series B, 3.00%, 12/1/51		4,780		4,876
				41,931
Vermont – 0.1%
Vermont G.O. Unlimited Bonds, Series B, 5.00%, 8/15/22		1,425		1,554
Virginia – 1.7%
Fairfax County Public Improvement G.O. Unlimited Bonds, Series A (State Aid Withholding), 5.00%, 10/1/31		5,280		6,868
Hampton Roads Sanitation District Wastewater Revenue Refunding Bonds, Series A, 5.00%, 7/1/27		3,465		4,020
Henrico County G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 8/1/31		3,550		4,678
Henrico County Water & Sewer System Revenue Bonds, 4.00%, 5/1/46		10,000		11,311
Loudoun County Public Improvement G.O. Unlimited Bonds, Series A (State Aid Withholding), 5.00%, 12/1/22		1,360		1,445
Norfolk G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 5.00%, 10/1/24		1,500		1,646
Roanoke EDA Hospital Revenue Refunding Bonds, Series A, Carilion Clinic Obligated Group, 7/1/47 (6)		2,000		2,936

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Virginia – 1.7% – continued
Upper Occoquan Sewage Authority Regional Revenue Refunding Bonds, 5.00%, 7/1/28		$5,000		$5,914
Virginia State College Building Authority Educational Facilities Revenue Bonds, 21st Century College & Equipment, 4.38%, 2/1/32		2,015		2,143
Virginia State Housing Development Authority Taxable Revenue Bonds, Series A (HUD Sector 8 Program), 2.85%, 3/1/45		2,000		1,896
Virginia State Public School Authority Special Obligation Prince William County Revenue Bonds (State Aid Withholding), 5.00%, 3/1/30		5,365		6,854
Virginia State Resources Authority Clean Water State Revolving Fund Subordinate Revenue Refunding Bonds, 5.50%, 10/1/22		1,000		1,108
Virginia State Small Business Financing Authority Revenue Bonds (AMT), 95 Express Lanes LLC Project, 5.00%, 1/1/44		1,000		1,002
				51,821
Washington – 2.2%
Energy Northwest Project 3 Electric Revenue Refunding Bonds, Bonneville Power Administration, 5.00%, 7/1/27		1,500		1,818
Everett Refunding G.O. Limited Bonds, 5.00%, 12/1/31		1,900		2,480
King County School District No. 401 Highline G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/30		10,000		12,213
Port of Seattle Revenue Refunding Bonds, Series A, 5.00%, 8/1/30		3,000		3,241
Seattle Municipal Light & Power Improvement Revenue Refunding & Improvement Bonds, Series A, Prerefunded, 5.00%, 2/1/21 (4)		1,670		1,723

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Washington – 2.2% – continued
Seattle Solid Waste Revenue Refunding & Improvement Bonds, 4.00%, 6/1/31		$1,865		$2,103
Washington State G.O. Unlimited Bonds, Series C, 5.00%, 2/1/32		10,000		12,502
5.00%, 2/1/38		5,000		6,361
Washington State G.O. Unlimited Refunding Bonds, Series R-2013A, 4.00%, 7/1/28		5,000		5,294
Washington State G.O. Unlimited Refunding Bonds, Series R-2018C, 5.00%, 8/1/33		6,430		7,916
Washington State Health Care Facilities Authority Revenue Bonds, Series A, Providence Health & Services, 5.25%, 10/1/39		4,000		4,000
Washington State Motor Fuel Tax G.O. Unlimited Bonds, Series E, 5.00%, 2/1/38		3,000		3,364
Washington State Motor Vehicle Fuel Tax G.O. Unlimited Bonds, Series 201, 5.00%, 7/1/24		2,925		3,066
Washington State Various Purpose G.O. Unlimited Bonds, Series D, 2.75%, 2/1/27		1,160		1,189
				67,270
West Virginia – 0.1%
West Virginia State University Revenue Bonds, Series A, West Virginia University Projects, 5.00%, 10/1/27		1,745		1,912
Wisconsin – 1.2%
PMA Levy & Aid Anticipation Notes Program Revenue Participation Notes, Series A, 3.00%, 10/23/20		4,000		4,040
Wisconsin State G.O. Unlimited Bonds, Series A, 5.00%, 5/1/40		5,000		5,998
Wisconsin State G.O. Unlimited Bonds, Series B, 3.00%, 5/1/26		2,485		2,534
4.00%, 5/1/29		1,125		1,311

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 86.0% – continued
Wisconsin – 1.2% – continued
4.00%, 5/1/30		$3,250		$3,776
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Ascension Health Credit Group, 4.00%, 11/15/36		3,000		3,230
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Marquette University, 5.00%, 10/1/28		670		785
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Milwaukee Regional Medical Center, 5.00%, 4/1/36		3,875		4,768
4.00%, 4/1/39		5,000		5,593
Wisconsin State Housing & EDA Revenue Bonds, Series A, 1.60%, 11/1/22 (1)(2)(3)		4,000		3,995
				36,030
Total Municipal Bonds
(Cost $2,540,016)				2,595,486
	NUMBER OF SHARES		VALUE (000S)
INVESTMENT COMPANIES – 8.6%
Northern Institutional Funds – Municipal Portfolio (Shares), 3.59% (8)(9)		125,000,000		$125,000
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (8)(9)		135,873,012		135,873
Total Investment Companies
(Cost $260,873)				260,873
	PRINCIPAL AMOUNT (000S)		VALUE (000S)
SHORT-TERM INVESTMENTS – 5.0%
Baltimore County Consolidated Public Improvement G.O. Unlimited Bonds, 5.00%, 8/1/20		$5,000		$5,065
Broward County School District Revenue TANS, 3.00%, 6/30/20		5,000		5,020

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 75 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 5.0% – continued
California State Educational Facilities Authority Variable Revenue Bonds, Series B, California Institute of Technology, 1.80%, 4/9/20 (1)(3)(10)		$650		$650
Cobb County School District G.O. Limited Notes, Short-Term Construction Notes, 2.00%, 12/16/20		7,500		7,541
Colorado State General Fund TRANS, 3.00%, 6/26/20		14,400		14,458
Cypress-Fairbanks Independent School District G.O. Unlimited Variable Bonds, Series A-3, School Building (PSF, Gtd.), 3.00%, 8/17/20 (1)(2)(3)		2,000		2,010
Dallas County Hospital District G.O. Limited Refunding Bonds, 5.00%, 8/15/20		5,000		5,069
Goose Creek Consolidated Independent School District Variable G.O. Unlimited Bonds, Series B (PSF, Gtd.), 3.00%, 10/1/20 (1)(2)(3)		3,500		3,524
Hennepin County Variable G.O. Unlimited Refunding Bonds, Series B, 4.75%, 4/9/20 (1)(3)(10)		9,575		9,575
Indiana Bond Bank Revenue Notes, Advance Funding Program, 3.00%, 1/11/21		7,500		7,601
Indiana State Finance Authority Variable Revenue Bonds, Series E-5, Ascension Health, 2.35%, 4/9/20 (1)(3)(10)		10,540		10,540
Massachusetts State G.O. Limited RANS Series B, 4.00%, 5/21/20		10,000		10,038
Massachusetts State Variable G.O. Limited Bonds, Series D, Consolidated Loan of 2014, 1.05%, 7/1/20 (1)(2)(3)		5,000		4,999
Montgomery County Variable G.O. Unlimited Bonds, Series E, 0.65%, 4/2/20 (1)(3)(10)		12,595		12,595
New York City Municipal Water Finance Authority Water & Sewer System Adjustable Revenue Bonds, Subseries A-2, 0.75%, 4/2/20 (1)(3)(10)		15,320		15,320

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 5.0% – continued
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series 1, 5.00%, 11/1/20		$7,710		$7,877
New York Variable G.O. Unlimited Bonds, Subseries B-3 (TD Bank N.A. LOC), 1.45%, 4/9/20 (1)(3)(10)		11,020		11,020
Ohio State University Variable Revenue Bonds, Series B-1, 1.85%, 4/9/20 (1)(3)(10)		1,925		1,925
Ohio State Water Development Authority Water Pollution Control Loan Fund Variable Revenue Bonds, Series A, 2.35%, 4/9/20 (1)(3)(10)		2,140		2,140
Orlando Utilities Commission Utility System Variable Revenue Refunding Bonds, Series B, 1.50%, 4/9/20 (1)(3)(10)		5,000		5,000
Texas State A&M University Financing System Revenue Bonds, Series B, 5.00%, 5/15/20		7,685		7,720
Total Short-Term Investments
(Cost $149,743)				149,687
Total Investments – 99.6%
(Cost $2,950,632)				3,006,046
Other Assets less Liabilities – 0.4%				11,905
NET ASSETS – 100.0%				$3,017,951

(1) Maturity date represents the puttable date.

(2) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) Maturity date represents the prerefunded date.

(5) Step coupon bond. Rate as of March 31, 2020 is disclosed.

(6) When-Issued Security. Coupon rate is not in effect at March 31, 2020. (7) Zero coupon bond.

(8) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(9) 7-day current yield as of March 31, 2020 is disclosed.

(10) Rate is determined by a remarketing agent which, in its judgment, on the basis of prevailing financial markets, will be the lowest interest rate necessary to enable the remarketing agent to sell the bonds at a price equal to 100% of the principal amount.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

AGC - Assured Guaranty Corporation

AGM - Assured Guaranty Municipal Corporation

AMBAC - American Municipal Bond Assurance Corporation

AMT - Alternative Minimum Tax

BAM - Build America Mutual

BANS - Bond Anticipation Notes

BHAC - Berkshire Hathaway Assurance Corporation

CABS - Capital Appreciation Bonds

COPS - Certificates of Participation

CR - Custody Receipt

CWA - Clean Water Act

EDA - Economic Development Authority

FNMA - Federal National Mortgage Association

G.O. - General Obligation

Gtd. - Guaranteed

HFA - Housing Finance Authority

HUD - Housing and Urban Development

ICE - Intercontinental Exchange

IDA - Industrial Development Authority

LIBOR - London Interbank Offered Rate

LOC - Letter of Credit

MBIA - Municipal Bonds Insurance Association

MFH - Multi-Family Housing

NATL - National Public Finance Guarantee Corporation

PCR - Pollution Control Revenue

PSF - Permanent School Fund

Q-SBLF - Qualified School Bond Loan Fund

RANS - Revenue Anticipation Notes

S&P - Standard & Poor’s

SCSDE - South Carolina State Department of Education

TANS - Tax Anticipation Notes

TRANS - Tax and Revenue Anticipation Notes

TRB - Tax Revenue Bonds

USD - United States Dollar

Percentages shown are based on Net Assets.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
AAA		16.7%
AA		48.1
A		13.5
A1+ (Short Term)		6.1
A1 (Short Term)		2.6
BBB		1.9
Not Rated		2.4
Cash Equivalents		8.7
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
General		26.4%
General Obligation		19.3
Higher Education		5.0
School District		6.8
Short-Term Investments		8.7
Transportation		6.5
Water		8.4
All other sectors less than 5%		18.9
Total		100.0%

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 77 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

INTERMEDIATE TAX-EXEMPT FUND continued MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds(1)		$ –		$2,595,486		$–		$2,595,486
Investment Companies		260,873		–		–		260,873
Short-Term Investments		–		149,687		–		149,687
Total Investments		$260,873		$2,745,173		$–		$3,006,046

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 78 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7%
Alabama – 0.2%
Lower Gas District Gas Project Revenue Bonds, Gas Project, 4.00%, 12/1/25 (1)(2)(3)		$1,500		$1,560
Arizona – 1.4%
Arizona State IDA Revenue Bonds, Lincoln South Beltway Project, 5.00%, 8/1/23 (4)		1,250		1,368
Arizona State Refunding COPS, Series A, 5.00%, 10/1/26		2,500		3,027
Arizona State Transportation Board Excise TRB, Maricopa County Regional Area, 5.00%, 7/1/22		500		543
Chandler G.O. Limited Refunding Bonds, 5.00%, 7/1/27		3,000		3,766
Maricopa County Unified School District No. 4 Mesa G.O. Unlimited Bonds, Series E, School Improvement Project of 2012, 5.00%, 7/1/21		2,370		2,485
Maricopa County Unified School District No. 97 Deer Valley G.O. Unlimited Bonds, Series B, School Improvement Project of 2013, 2.50%, 7/1/24		970		1,020
				12,209
California – 5.7%
Bay Area Toll Authority Toll Bridge Variable Revenue Refunding Bonds, 2.25%, 4/1/22  (1)(2)(3)		8,250		8,410
2.63%, 4/1/26 (1)(2)(3)		3,000		3,199
California State Department of Water Resources Central Valley Project Water System Revenue Bonds, Series AS, Escrowed to Maturity, 5.00%, 12/1/21		90		96
California State G.O. Unlimited Refunding Bonds, 5.00%, 8/1/26		2,825		3,455
5.00%, 10/1/27		8,200		10,295
5.00%, 4/1/28		4,150		5,267
California State G.O. Unlimited Various Purpose Refunding Bonds, 5.00%, 4/1/33		5,000		5,686

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
California – 5.7% – continued
California State Infrastructure & Economic Development Revenue Bonds, Bay Area Toll Bridges, First Lien (FGIC Insured), Escrowed to Maturity, 5.00%, 7/1/25		$2,315		$2,722
California State Municipal Finance Authority Insured Revenue Bonds, NCROC-Paradise Valley TEMPS 50 (California Mortgage Insured), 2.00%, 7/1/24		1,200		1,208
San Diego Community College District G.O. Unlimited Bonds, Election of 2006, Prerefunded, 5.00%, 8/1/23(5)		8,000		9,032
San Francisco City & County MFH Revenue Bonds, Series K, Eastern Park Apartments, 1.30%, 1/1/23 (1)(2)(3)		1,000		998
				50,368
Colorado – 2.4%
Adams & Arapahoe Counties Joint School District No. 28J Aurora G.O. Unlimited Refunding Bonds (State Aid Withholding), 5.00%, 12/1/23		2,525		2,776
5.00%, 12/1/24		1,000		1,099
Boulder Larimer & Weld Counties St. Vrain Valley School District No. RE-1 G.O. Unlimited Refunding Bonds (State Aid Withholding), 4.00%, 12/15/24		2,025		2,116
Colorado State Health Facilities Authority Hospital Revenue Bonds, Adventist Health System/Sunbel, 5.00%, 11/20/25 (1)(2) (3)		3,000		3,547
Colorado State Health Facilities Authority Hospital Variable Revenue Refunding Bonds, Adventhealth Obligated Group, 5.00%, 11/19/26 (1)(2)(3)		1,000		1,201
Douglas County School District No. 1 Douglas & Elbert Counties G.O. Unlimited Refunding Bonds (State Aid Withholding), 5.25%, 12/15/25		2,345		2,804

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 79 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Colorado – 2.4% – continued
Larimer County School District No. R-1 Poudre G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/15/23		$1,050		$1,194
Pueblo County School District No. 60 G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/15/26		4,650		5,741
Weld County School District No. 6 Greeley G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/1/21		575		612
				21,090
Connecticut – 2.8%
Connecticut State G.O. Unlimited Bonds, Series A, GAAP Conversion, 5.00%, 10/15/20		8,000		8,149
Connecticut State G.O. Unlimited Refunding Bonds, Series F, 5.00%, 9/15/23		2,000		2,227
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series 2014A, 1.10%, 2/7/23 (1)(2)(3)		1,770		1,757
Connecticut State Health & Educational Facilities Authority Revenue Bonds, Series U-1, Yale University Issue, 2.00%, 2/8/22 (1)(2)(3)		7,075		7,133
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, Series C-2, Yale University, 5.00%, 2/1/23 (1)(2)(3)		5,000		5,507
				24,773
District of Columbia – 0.9%
District of Columbia Income Tax Secured Revenue Refunding Bonds, Series B, 5.00%, 10/1/27		3,500		4,431
District of Columbia Income Tax Secured Revenue Refunding Bonds, Series C, 5.00%, 10/1/28		3,050		3,953
				8,384

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Florida – 3.8%
Broward County Airport System Revenue Refunding Bonds, Series B (AMT), 5.00%, 10/1/27		$3,500		$4,116
Cape Coral Water & Sewer Revenue Refunding Bonds (AGM Insured), Prerefunded, 5.00%, 10/1/21 (5)		2,055		2,172
Florida State Atlantic University Finance Corp. Capital Improvement Revenue Refunding Bonds, Series A, 5.00%, 7/1/20		675		681
Florida State Board of Education G.O. Unlimited Bonds, Series E, Capital Outlay of 2008, 5.00%, 6/1/24		5,260		5,288
Florida State Board of Education G.O. Unlimited Bonds, Series H, Capital Outlay of 2007, 5.00%, 6/1/24		4,845		4,876
Florida State Board of Education G.O. Unlimited Refunding Bonds, Series C, 5.00%, 6/1/27		3,115		3,902
Florida State Board of Education Public Education Capital Outlay 2011 G.O. Unlimited Refunding Bonds, Series C, 5.00%, 6/1/26		2,005		2,088
Florida State Department Transportation G.O. Unlimited Refunding Bonds, 5.00%, 7/1/23		2,630		2,962
Florida State Turnpike Authority Revenue Bonds, Series A, Department of Transportation (NATL Insured), 3.00%, 7/1/28		5,000		5,000
Orange County HFA Revenue Bonds, Series A, Willow Key Apartments, 1.90%, 4/1/21 (1)(2)(3)		1,300		1,303
Sarasota County Infrastructure Sales Surtax Revenue Refunding Bonds, 5.00%, 10/1/21		1,000		1,058
				33,446

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Georgia – 2.4%
Forsyth County Water & Sewerage Authority Revenue Refunding Bonds, 5.00%, 4/1/27		$1,500		$1,875
Georgia State G.O. Unlimited Bonds, Series A, Tranche 1, 5.00%, 7/1/20		1,000		1,010
Georgia State G.O. Unlimited Bonds, Series E, 2.00%, 8/1/27		2,500		2,501
Henry County School District G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 8/1/20		1,895		1,919
Main Street Natural Gas Inc. Gas Supply Variable Revenue Bonds, Series B, 4.00%, 12/2/24 (1)(2)(3)		5,000		5,335
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Series A, 4.00%, 9/1/23(1)(2)(3)		5,000		5,151
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Subseries C, 4.00%, 12/1/23 (1)(2)(3)		3,400		3,510
				21,301
Hawaii – 2.0%
Hawaii State G.O. Unlimited Bonds, Series FT, 5.00%, 1/1/28		1,660		2,099
Hawaii State G.O. Unlimited Bonds, Series FW, 5.00%, 1/1/27		4,000		4,944
Hawaii State G.O. Unlimited Refunding Bonds, Series EF, 5.00%, 11/1/21		5,000		5,308
Honolulu City & County Adjustable G.O. Unlimited Bonds, Honolulu Rail Transit Project, 5.00%, 9/1/23 (1)(2)(3)		5,000		5,581
				17,932
Illinois – 1.1%
Champaign Coles Et al. Counties Community College District No. 505 G.O. Unlimited Refunding Bonds, Series B, Parkland College, 5.00%, 12/1/24		1,315		1,522

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Illinois – 1.1% – continued
Cook County Community College District No. 504 Triton G.O. Unlimited Bonds, Alternative Revenue Source, 5.00%, 6/1/22		$1,150		$1,242
Cook County School District No. 144 Prairie Hills G.O. Limited Bonds, Series A (AGM Insured), Prerefunded, 5.00%, 12/1/20 (5)		500		513
Sangamon County School District No. 186 Springfield G.O. Limited Refunding Bonds, Series B (BAM Insured), 5.00%, 2/1/21		6,260		6,451
				9,728
Indiana – 1.4%
Indiana Finance Authority Water Utility Revenue Bonds, Second Lien, Citizens Energy Group, 2.95%, 10/1/22		1,750		1,808
Indiana State Finance Authority Health System Revenue Refunding Bonds, Indiana University Health, 5.00%, 12/1/22		4,000		4,398
Indiana State Finance Authority Hospital Revenue Bonds, Indiana University Health Obligated Group, 1.65%, 7/1/22 (1)(2)(3)		5,000		4,988
Indianapolis Local Public Improvement Bond Bank Revenue Bonds, Series A, 5.00%, 1/1/21		1,490		1,533
				12,727
Kansas – 0.3%
Johnson County Internal Improvement G.O. Unlimited Bonds, Series A, 5.00%, 9/1/21		835		881
Manhattan G.O. Unlimited Bonds, Series 01, 1.88%, 6/15/23		1,410		1,411
				2,292
Kentucky – 1.2%
Kentucky State Public Energy Authority Gas Supply Revenue Bonds, Series A, 4.00%, 6/1/26 (1)(2)(3)		3,725		3,721

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 81 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Kentucky – 1.2% continued
Kentucky State Public Energy Authority Gas Supply Revenue Bonds, Series C-1, 4.00%, 6/1/20		$650		$652
4.00%, 12/1/20		1,070		1,083
Kentucky State Public Energy Authority Revenue Bonds, Series B, Gas Supply, 4.00%, 1/1/25 (1)(2)(3)		5,000		5,004
				10,460
Louisiana – 1.4%
Lafayette Public Power Authority Electric Revenue Bonds, 5.00%, 11/1/26		1,900		2,078
Louisiana State Gas & Fuels Revenue Refunding Bonds, Series A-1, 4.00%, 5/1/29		6,810		7,183
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Bonds, LCTCS Act 360 Project (BAM Insured), 5.00%, 10/1/25		2,495		2,963
				12,224
Maryland – 2.1%
Baltimore Water Project Revenue Bonds, Series A, 5.00%, 7/1/20		1,000		1,009
Frederick County Public Facilities G.O. Unlimited Refunding Bonds, Escrowed to Maturity, 4.00%, 8/1/20		235		237
Maryland State & Local Facilities G.O. Unlimited Bonds, Loan of 2013-1, 4.00%, 3/1/26		4,700		4,828
Maryland State G.O. Unlimited Bonds, First Series, 5.00%, 6/1/26		3,000		3,463
Maryland State G.O. Unlimited Bonds, Second Series A, Local Facilities Loan, 5.00%, 8/1/20		2,860		2,897
Maryland State G.O. Unlimited Bonds, Second Series B, State & Local Facilities Loan, 2.50%, 8/1/24		4,075		4,091

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Maryland – 2.1% continued
Prince George’s County Consolidated Public Improvement G.O. Limited Bonds, Series A, 5.00%, 7/15/27		$1,475		$1,859
				18,384
Massachusetts – 5.7%
Concord G.O. Limited Refunding Bonds, Municipal Purpose Loan, 4.00%, 9/15/23		500		548
Massachusetts State Bay Transportation Authority Sales TRB Revenue Bonds, Senior Series A, 5.00%, 7/1/26		1,475		1,795
Massachusetts State Clean Water Trust Revenue Bonds, Series 22, Green Bonds, 5.00%, 8/1/26		5,205		6,348
5.00%, 8/1/27		2,250		2,812
Massachusetts State Department of Transportation Metropolitan Highway System Variable Revenue Refunding Bonds, Series A, 5.00%, 1/1/23 (1)(2)(3)		10,000		10,964
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Series A-2, 5.00%, 7/1/28		5,000		6,292
Massachusetts State Federal Highway Revenue Bonds, Accelerated Bridge Program, 5.00%, 6/15/26		5,420		6,407
Massachusetts State G.O. Limited Refunding Bonds, Series E, 3.00%, 12/1/27		3,565		3,974
Massachusetts State School Building Authority Sales Tax Revenue Refunding Bonds, Senior Series A, Prerefunded, 5.00%, 8/15/22 (5)		1,700		1,853
Massachusetts State School Building Authority Sales Tax Revenue Refunding Bonds, Senior Series A, Unrefunded Balance, 5.00%, 8/15/25		8,300		9,035

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 82 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Massachusetts – 5.7% – continued
MWRA Revenue Bonds, Series J (AGM Insured), Escrowed to Maturity, 5.50%, 8/1/20		$80		$81
				50,109
Michigan – 2.2%
Ann Arbor Capital Improvement G.O. Limited Refunding Bonds, 2.25%, 5/1/20		1,565		1,566
Eaton Rapids Public Schools G.O. Unlimited Refunding Bonds (Q-SBLF Insured), 5.00%, 5/1/20		800		802
Grand Valley State University Revenue Bonds, 5.00%, 12/1/24		750		873
Michigan State Finance Authority Adjustable Revenue Refunding Bonds, Trinity Health, 5.00%, 2/1/25 (1)(2)(3)		3,000		3,431
Michigan State Finance Authority Clean Water State Revolving Fund Revenue Refunding Bonds, 5.00%, 10/1/20		2,805		2,860
Michigan State Finance Authority Revenue Refunding Bonds, Trinity Health Corp., 5.00%, 12/1/22		2,000		2,181
Michigan State Hospital Finance Authority Revenue Refunding Bonds, Ascension Health Credit Group, 4.00%, 7/1/24 (1)(2)(3)		5,000		5,448
Romeo Community School District G.O. Unlimited Bonds, Series II (Q-SBLF Insured), 2.00%, 5/1/22		2,025		2,064
				19,225
Minnesota – 3.0%
Hennepin County Refunding G.O. Unlimited Bonds, Series C, 5.00%, 12/1/24		1,035		1,215
5.00%, 12/1/26		1,175		1,458
Hennepin County Sales Tax Revenue Refunding Bonds, Series A, First Lien, Ballpark Project, 5.00%, 12/15/26		1,500		1,703

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Minnesota – 3.0% – continued
Lakeville Independent School District No. 194 G.O. Unlimited Bonds, Series A (School District Credit Program), 2/1/26 (4)		$4,925		$5,313
2/1/27 (4)		4,175		4,539
Minnesota State G.O. Unlimited Refunding Bonds, Series E, State Trunk Highway, 5.00%, 8/1/23		3,040		3,079
Minnesota State Rural Water Finance Authority Revenue Notes, Public Projects Construction, 1.00%, 8/1/21		3,000		2,992
Minnesota State Trunk Highway G.O. Unlimited Bonds, Series B, 5.00%, 10/1/21		2,030		2,149
Rochester Independent School District No. 535 G.O. Unlimited Bonds, Series A (School District Credit Program), 4.00%, 2/1/26		3,425		3,933
				26,381
Missouri – 1.6%
Columbia School District G.O. Unlimited Refunding Bonds, 5.00%, 3/1/26		2,825		3,327
Curators of the University of Missouri System Facilities Revenue Refunding Bonds, Series A, 5.00%, 11/1/26		2,320		2,709
Fort Zumwalt School District G.O. Unlimited Refunding Bonds (State Aid Direct Deposit Program), 4.00%, 3/1/24		1,480		1,630
Lees Summit Moser G.O. Unlimited Bonds, Series A, 3.00%, 4/1/28		2,925		3,012
Missouri State Board of Public Buildings Special Obligation Revenue Refunding Bonds, Series A, 3.00%, 10/1/26		2,500		2,520

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 83 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Missouri – 1.6% continued
Missouri State Highways & Transit Commission State Road Revenue Refunding Bonds, Series A, First Lien, 5.00%, 5/1/22		$1,225		$1,322
				14,520
Montana – 0.1%
Bozeman G.O. Unlimited Bonds, 4.00%, 7/1/27		1,075		1,273
Nevada – 0.9%
Clark County Flood Control G.O. Limited Bonds, 5.00%, 11/1/26		2,000		2,326
Nevada State System of Higher Education University Revenue Bonds, Series B, 5.00%, 7/1/26		5,000		5,579
				7,905
New Jersey – 1.2%
Mercer County G.O. Unlimited Bonds, 2.00%, 2/15/25		3,750		3,856
New Jersey State Educational Facilities Authority Revenue Bonds, Series A, Princeton University, 5.00%, 7/1/24		1,000		1,157
New Jersey State Transportation Trust Fund Authority Transportation System Revenue Refunding Bonds, 5.00%, 12/15/26		1,000		1,093
Union County G.O. Unlimited Refunding Bonds, 2.00%, 1/15/23		385		395
3.00%, 1/15/24		1,075		1,146
West Windsor-Plainsboro Regional School District G.O. Unlimited Bonds (School Board Resource Fund Insured), 2.25%, 8/1/26		2,570		2,688
				10,335
New Mexico – 0.2%
Albuquerque Bernalillo County Water Utility Authority Joint Water & Sewer Revenue Refunding Bonds, Series B, 5.00%, 7/1/21		1,675		1,756

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
New York – 14.9%
Albany County Various Purpose G.O. Limited Bonds, Series A, 5.00%, 9/15/26		$930		$1,147
Metropolitan Transportation Authority Dedicated Tax Fund Revenue BANS, Series A, 5.00%, 3/1/22		9,310		9,740
Metropolitan Transportation Authority Revenue BANS, Series D-1, 5.00%, 9/1/22		2,600		2,750
Metropolitan Transportation Authority Revenue Bonds, Climate Bond Certified, Green Bonds, 5.00%, 11/15/24 (1)(2)(3)		2,000		2,210
Metropolitan Transportation Authority Revenue Bonds, Series D, Prerefunded, 5.00%, 11/15/21 (5)		2,500		2,657
New York City Housing Development Corp. MFH Revenue Bonds, Series L, Sustainable Neighborhood Bonds, 2.75%, 12/29/23 (1)(2)(3)		3,000		3,092
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series BB-2, 5.00%, 6/15/25		4,870		5,534
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Second General Resolution, Series CC, 5.00%, 6/15/25		1,555		1,836
New York City Transitional Finance Authority Future Tax Secured Revenue Bonds, Subseries E-1, 5.00%, 2/1/26		2,000		2,129
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, 5.00%, 8/1/23		1,000		1,119
5.00%, 2/1/29		3,295		3,713
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Series A, 5.00%, 11/1/23		960		1,016

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 84 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
New York – 14.9% – continued
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Series D, Fiscal 2013, 5.00%, 11/1/22		$1,290		$1,411
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Refunding Bonds, Series B, 5.00%, 11/1/26		5,925		6,457
5.00%, 11/1/27		5,150		5,606
New York City Transitional Finance Authority Revenue Future Tax Secured Subordinate Revenue Bonds, Series G, 5.00%, 11/1/25		3,620		4,011
New York G.O. Unlimited Bonds, Series I, Subseries 1-I, 5.00%, 3/1/22		1,195		1,282
New York G.O. Unlimited Refunding Bonds, Series C-1, 5.00%, 8/1/28		12,500		15,867
New York State Dorm Authority Revenues Non State Supported Debt Revenue Refunding Bonds, Series A, Cornell University, 7/1/26(4)		2,000		2,426
New York State Dormitory Authority Personal Income Tax Revenue Refunding Bonds, Series A, Group 2, 5.00%, 3/15/31		2,000		2,550
New York State Dormitory Authority State Personal Income Tax General Purpose Revenue Bonds, Series D, Unrefunded Balance, 5.00%, 2/15/23		2,890		3,093
5.00%, 2/15/27		1,225		1,307
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series A, 5.00%, 3/15/24		550		628
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series D, 5.00%, 2/15/26		4,350		5,235

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
New York – 14.9% – continued
New York State Dormitory Authority State Supported Debt Third General Resolution Revenue Bonds, State University, 5.00%, 5/15/26		$2,840		$3,057
New York State Environmental Facilities Corp. State Clean & Drinking Water Revolving Funds Revenue Bonds, New York City Municipal Water, 5.00%, 6/15/22		1,300		1,409
New York State Environmental Facilities Corp. State Clean Water & Drinking Water Subordinated Revenue Refunding SRF Bonds, New York City Municipal Water, 5.00%, 6/15/21(4)		2,920		3,053
5.00%, 6/15/26(4)		1,400		1,717
New York State Housing Finance Agency Affordable Housing Revenue Bonds, Series E (SonyMA Insured), 2.10%, 5/1/23		2,000		2,005
2.13%, 11/1/23		1,000		1,008
New York State Housing Finance Agency Affordable Housing Revenue Bonds, Series J, 2.50%, 5/1/22		3,500		3,506
New York State Housing Finance Agency Variable Revenue Refunding Bonds, Affordable Housing (SonyMA Insured), 1.88%, 11/1/21(1) (2) (3)		3,000		3,000
New York State Thruway Authority Personal Income Tax Revenue Refunding Transportation Bonds, Series A, 5.00%, 3/15/23		3,585		3,785
New York State Urban Development Corp. Personal Income TRB, Series E, 5.00%, 3/15/25		10,000		11,081
5.00%, 3/15/28		2,175		2,386
Triborough Bridge & Tunnel Authority General Revenue Refunding Bonds, Series B, 5.00%, 11/15/25		7,500		8,152
				130,975

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 85 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
North Carolina – 1.6%
Forsyth County G.O. Unlimited Refunding Bonds, 4/1/28 (4)		$10,025		$11,054
Mecklenburg County G.O. Unlimited Bonds, 5.00%, 3/1/26		2,405		2,926
				13,980
North Dakota – 0.0%
City of Fargo North Dakota G.O. Unlimited Refunding Bonds, Series A, 3.00%, 5/1/25		220		234
Ohio – 4.1%
American Municipal Power-Ohio, Inc., Revenue Bonds, Series A, Build America Bonds, Combined Hydroelectric Projects, 2.25%, 8/15/21 (1)(2)(3)		1,000		1,004
Columbus G.O. Unlimited Bonds, Series A, 5.00%, 4/1/27		3,650		4,539
Cuyahoga County Sales Tax Revenue Refunding Bonds, 5.00%, 12/1/21		1,115		1,187
Gallia County Local School Improvement District G.O. Unlimited Refunding Bonds (School District Credit Program), 5.00%, 11/1/20		750		766
Ohio State Common Schools G.O. Unlimited Bonds, Series B, 5.00%, 9/15/20		3,330		3,389
Ohio State Common Schools G.O. Unlimited Bonds, Series B, Prerefunded, 5.00%, 6/15/22 (5)		2,205		2,394
Ohio State G.O. Unlimited Bonds, Series A, 5.00%, 6/15/26		6,320		7,331
Ohio State Highway Capital Improvements G.O. Unlimited Bonds, Series S, 5.00%, 5/1/28		5,085		6,156
Ohio State Infrastructure Improvement G.O. Limited Bonds, Series A, 3.00%, 9/1/27		5,000		5,269

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Ohio – 4.1% – continued
University of Cincinnati Revenue Bonds, Series A, Prerefunded, 5.00%, 6/1/23 (5)		$3,280		$3,676
				35,711
Oklahoma – 0.5%
Oklahoma County Finance Authority Educational Facilities Lease Revenue Bonds, Midwest City-Del City Public School, 5.00%, 10/1/25		1,000		1,188
Oklahoma County Independent School District No. 12 Edmond Combined Purpose G.O. Unlimited Bonds, 2.00%, 8/1/20		1,000		1,003
Tulsa County Independent School District No. 1 G.O. Unlimited Bonds, Series A, 2.00%, 3/1/23		1,755		1,796
				3,987
Oregon – 0.7%
Oregon State G.O. Unlimited Bonds, Series L, 5.00%, 11/1/21		905		959
Portland Water System Revenue Refunding Bonds, Second Lien, 5.00%, 10/1/27		1,640		1,817
Washington Multnomah & Yamhill Counties Hillsboro School District No. 1J G.O. Unlimited Refunding Bonds (School Board Guaranty Program), 4.00%, 6/15/24		3,255		3,450
				6,226
Pennsylvania – 0.6%
Easton Area School District Refunding G.O. Limited Bonds, Series A (State Aid Withholding), 4.00%, 4/1/26		1,600		1,840
Pennsylvania State G.O. Unlimited Bonds, Series 1, 4.00%, 6/1/29		1,000		1,054

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 86 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Pennsylvania – 0.6% – continued
Pennsylvania State Turnpike Commission Subordinate Revenue Bonds, Series A, Motor License Fund-Enhanced, Prerefunded, 5.00%, 12/1/22(5)		$2,435		$2,680
				5,574
Rhode Island – 0.5%
Rhode Island State & Providence Plantations G.O. Unlimited Refunding Bonds, Series E, 5.00%, 1/15/28		3,660		4,607
South Carolina – 0.6%
Aiken County Consolidated School District G.O. Unlimited Bonds, Series B (SCSDE Insured), 5.00%, 4/1/20		3,530		3,530
South Carolina State Institution G.O. Unlimited Bonds, Series F, Clemson University (State Aid Withholding), 2.00%, 6/1/27		1,380		1,422
				4,952
Tennessee – 2.2%
Chattanooga G.O. Unlimited Bonds, Series A, 5.00%, 2/1/21		1,450		1,497
Chattanooga G.O. Unlimited Refunding Bonds, Series B, 5.00%, 2/1/21		950		981
Hardin County G.O. Unlimited Refunding Bonds (AGM Insured), 5.00%, 6/1/24		540		620
Knox County G.O. Unlimited Bonds, Series A, 5.00%, 8/1/27		2,170		2,720
Metropolitan Government Nashville & Davidson County Electric System Revenue Refunding Bonds, Series B, 5.00%, 5/15/24		1,370		1,579
Metropolitan Government of Nashville & Davidson County, G.O. Unlimited Refunding Bonds, 5.00%, 7/1/26		6,055		6,789

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Tennessee – 2.2% – continued
Tennergy Corp. Gas Revenue Bonds, Series A, 5.00%, 10/1/24(1) (2) (3)		$4,500		$4,862
				19,048
Texas – 7.7%
Arlington Water & Wastewater System Revenue Refunding Bonds, Series B, 3.00%, 6/1/20		1,605		1,610
Beaumont Independent School District Refunding G.O. Unlimited Bonds (PSF, Gtd.), 5.00%, 2/15/23		1,150		1,272
Bexar County Certificates of Obligation G.O. Limited Bonds, Series B, 5.00%, 6/15/20		2,000		2,016
Coppell Independent School District G.O. Unlimited Bonds (PSF, Gtd.), 5.00%, 8/15/27		2,460		3,083
Cypress-Fairbanks Independent School District G.O. Unlimited Bonds, Series B-1 (PSF, Gtd.), 1.25%, 8/15/22 (1)(2)(3)		4,250		4,248
Ector County Independent School District G.O. Unlimited Bonds, School Building (PSF, Gtd.), 5.00%, 8/15/29		615		684
Fort Bend Independent School District G.O. Unlimited Refunding Bonds (PSF, Gtd.), 5.00%, 8/15/27		2,685		2,915
Fort Bend Independent School District
Refunding G.O. Unlimited Bonds, Series A (PSF, Gtd.), 5.00%, 8/15/24		1,000		1,162
Houston Combined Utility System Revenue Refunding Bonds, Series C, First Lien, 5.00%, 5/15/20		1,560		1,567
Houston Independent School District G.O. Limited Refunding Bonds (PSF, Gtd.), 3.00%, 2/15/22		10,000		10,362
Houston Utility System Revenue Refunding Bonds, Series B, First Lien, 5.00%, 11/15/21		4,165		4,425

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 87 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Texas – 7.7% – continued
Katy Independent School District Variable G.O. Unlimited Refunding Bonds, Series 2015C (PSF, Gtd.), (Floating, ICE LIBOR USD 1M + 0.28%), 0.75%, 8/16/21 (1)(3)		$2,000		$2,000
Laredo Certificates Obligation G.O. Limited Bonds, 5.00%, 2/15/23		500		552
Laredo Public Property Finance Contractual Obligation G.O. Limited Bonds, 5.00%, 2/15/27		800		986
Leander Independent School District G.O. Unlimited Bonds, Series A, School Building (PSF, Gtd.), 5.00%, 8/15/23		1,000		1,124
Leander Independent School District Refunding G.O. Unlimited Bonds (PSF, Gtd.), 4.00%, 8/15/20		1,600		1,618
Lewisville Independent School District
G.O. Unlimited Bonds (PSF, Gtd.), 5.00%, 8/15/23		1,330		1,495
Northside Texas Independent School District G.O. Unlimited Refunding Bonds (PSF, Gtd.), 4.00%, 8/15/20		2,000		2,022
1.60%, 8/1/24 (1)(2)(3)		1,500		1,491
San Antonio Electric & Gas Variable Revenue Refunding Bonds, Subseries B, 2.00%, 12/1/21(1) (2) (3)		2,000		2,008
San Antonio Electric & Gas Revenue Refunding Bonds, 5.00%, 2/1/25		645		699
Southwest Independent School District
G.O. Unlimited Bonds (PSF, Gtd.), 5.00%, 2/1/28		915		1,153
Texas State TRANS, 4.00%, 8/27/20		10,500		10,618
Texas State Transportation Commission G.O. Unlimited Refunding Bonds, Series F, 5.00%, 10/1/22		1,420		1,556

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Texas – 7.7% – continued
Texas State Water Financial Assistance Variable G.O. Unlimited Refunding Bonds, 1.85%, 8/1/22 (1)(2)(3)		$2,000		$2,001
University of Texas University Revenue
Bonds, Series J, 5.00%, 8/15/26		2,000		2,451
West Harris County Regional Water Authority System Revenue Refunding Bonds, Series A, 5.00%, 12/15/21		500		533
Wylie Independent School District G.O. Unlimited Refunding Bonds, Series B (PSF, Gtd.), 4.00%, 8/15/20		2,180		2,204
				67,855
Utah – 0.8%
Cache County School District G.O. Unlimited Refunding Bonds, Utah School Bond Guaranty Program (School Board Guaranty Program), 5.00%, 6/15/21		2,650		2,775
Davis County School District G.O. Unlimited Refunding Bonds, Utah School Bond Guaranty (School Board Guaranty Program), 3.00%, 6/1/28		4,095		4,383
Jordan Valley Water Conservancy District Revenue Refunding Bonds, Series A, Unrefunded Balance, 5.00%, 10/1/27		45		45
5.00%, 10/1/28		30		30
				7,233
Virginia – 2.9%
Fairfax County G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 4.00%, 10/1/26		5,000		5,855
Fairfax County IDA Health Care Revenue Refunding Bonds, Inova Health System, 5.00%, 5/15/23 (1)(2) (3)		10,000		10,918
Fairfax County Public Improvement G.O. Unlimited Refunding Bonds, Series B (State Aid Withholding), 5.00%, 10/1/25		5,000		5,837

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 88 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Virginia – 2.9% – continued
Virginia State Public School Authority School Financing Revenue Bonds, Series C (State Aid Withholding), 5.00%, 8/1/21		$1,260		$1,325
Virginia State Resources Authority Infrastructure Revenue Refunding Bonds, Virginia Pooled Financing Program (State Intercept Program), 5.00%, 11/1/22		1,110		1,220
				25,155
Washington – 3.9%
Franklin County School District No. 1 Pasco G.O. Unlimited Bonds (School Board Guaranty Program), 4.00%, 12/1/28		1,500		1,613
Franklin County School District No. 1 Pasco G.O. Unlimited Refunding Bonds (School Board Guaranty Program), 5.00%, 12/1/26		1,200		1,406
King County School District No. 411 Issaquah Refunding G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/24		1,045		1,148
Pierce County School District No. 83 University Place G.O. Unlimited Refunding Bonds (School Board Guaranty Program), 5.00%, 12/1/26		3,205		3,754
Snohomish County School District #201 G.O. Unlimited Refunding Bonds (School Board Guaranty Program), 5.00%, 12/1/23		1,200		1,273
Snohomish County School District No. 15 Edmonds G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/21		750		798
Snohomish County School District No. 201 Washington G.O. Unlimited Bonds, Series B (School Board Guaranty Program), 4.00%, 12/1/27		1,000		1,018
Thurston & Pierce Counties Community Schools G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 12/1/23		685		776

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 89.7% – continued
Washington – 3.9% continued
Walla Walla County School District No. 250 College Place G.O. Unlimited Bonds (School Board Guaranty Program), 4.25%, 12/1/28		$2,445		$2,596
Washington State G.O. Unlimited Bonds, Series 2017-A, 5.00%, 8/1/29		2,400		2,916
Washington State G.O. Unlimited Refunding Bonds, Motor Vehicle Fuel Tax, 5.00%, 7/1/25		1,000		1,083
5.00%, 7/1/26		5,000		5,416
Washington State G.O. Unlimited Refunding Bonds, Series R-2012C, Various Purpose, 4.00%, 7/1/28		5,000		5,294
Washington State G.O. Unlimited Refunding Bonds, Series R-2013A, 5.00%, 7/1/24		750		813
Washington State Various Purpose G.O. Unlimited Refunding Bonds, Series R-2011B, 5.00%, 7/1/25		2,500		2,524
Washington State Various Purpose G.O. Unlimited Refunding Bonds, Series R-C, 4.00%, 7/1/27		1,840		1,991
				34,419
West Virginia – 0.3%
West Virginia State University Revenue Bonds, Series B, Virginia University Projects, 4.75%, 10/1/28		2,595		2,737
Wisconsin – 4.4%
Central Brown County Water Authority System Revenue Refunding Bonds, Series A, 5.00%, 11/1/20		200		204
Fox Valley Technical College District School Facilities G.O. Unlimited Bonds, Series C, 3.00%, 12/1/27		2,500		2,602

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 89 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 89.7% – continued
Wisconsin – 4.4% – continued
Gateway Technical College District G.O. Unlimited Promissory Notes, Series A-20, 3.00%, 4/1/26		$825		$902
Janesville G.O. Unlimited Promissory Notes, Series A, 2.00%, 2/1/22		455		462
Wisconsin State G.O. Unlimited Bonds, Series B, 5.00%, 5/1/21		3,405		3,549
4.00%, 5/1/28		5,710		6,699
Wisconsin State G.O. Unlimited Refunding Bonds, 5.00%, 11/1/21		1,000		1,061
Wisconsin State G.O. Unlimited Refunding Bonds, Series 1, 5.00%, 5/1/24		1,000		1,119
5.00%, 5/1/25		2,500		2,797
Wisconsin State G.O. Unlimited Refunding Bonds, Series 3, 5.00%, 11/1/25		3,925		4,315
Wisconsin State G.O. Unlimited Refunding Bonds, Series 4, 5.00%, 5/1/26		645		755
Wisconsin State Housing & EDA Revenue Bonds, Series A, 1.60%, 11/1/22 (1)(2)(3)		1,000		999
Wisconsin State Transportation Revenue Bonds, Series A, 5.00%, 7/1/28		4,000		4,850
Wisconsin State Transportation Revenue Refunding Bonds, Series 1, Unrefunded Balance, 5.00%, 7/1/25		7,505		8,386
				38,700
Total Municipal Bonds
(Cost $786,308)				789,775

	NUMBER OF SHARES		VALUE (000S)
INVESTMENT COMPANIES – 7.6%
Northern Institutional Funds – Municipal Portfolio (Shares), 3.59% (6)(7)		25,000,000		$25,000
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (6)(7)		42,133,816		42,134
Total Investment Companies
(Cost $67,134)				67,134
	PRINCIPAL AMOUNT (000S)		VALUE (000S)
SHORT-TERM INVESTMENTS – 5.3%
Colorado State Education Loan Program TRANS, Series B, 1.75%, 6/29/20		$9,050		$9,060
Connecticut State Health & Educational Facilities Authority Revenue Refunding Bonds, Series B-2, Yale University, 5.00%, 7/1/20 (1)(2)(3)		3,915		3,952
Indiana University Revenue Refunding Bonds, Series A, 5.00%, 6/1/20		1,200		1,208
Massachusetts State G.O. Limited Bonds, Series A, 5.00%, 3/1/21		3,000		3,107
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series I, 5.00%, 4/15/20		2,280		2,283
New York City Transitional Finance Authority Future Tax Secured Adjustable Revenue Bonds, Subseries C, 0.65%, 4/2/20 (1)(3)(8)		6,495		6,495
New York City Transitional Finance Authority Future Tax Secured Subordinate Variable Revenue Bonds, 0.65%, 4/2/20 (1)(3)(8)		2,300		2,300
Northside Texas Independent School District Building G.O. Unlimited Bonds (PSF, Gtd.), 2.13%, 8/1/20 (1)(2)(3)		2,130		2,134
Triborough Bridge & Tunnel Authority General Variable Revenue Refunding Bonds, Series F (Citibank N.A. LOC), 0.60%, 4/2/20 (1)(3)(8)		7,780		7,780

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 90 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
SHORT–TERM INVESTMENTS – 5.3% – continued
Triborough Bridge & Tunnel Authority Variable Revenue Refunding Bonds, General-Subseries B-2 (Citibank N.A. LOC), 0.60%, 4/2/20(1) (3) (8)		$5,250		$5,250
Union County G.O. Unlimited Refunding Bonds, 2.00%, 1/15/21		1,350		1,360
University of Texas Financing System Revenue Refunding Bonds, Series B, 5.00%, 8/15/20		1,135		1,151
Total Short-Term Investments
(Cost $46,044)				46,080
Total Investments – 102.6%
(Cost $899,486)				902,989
Liabilities less Other Assets – (2.6%)				(22,514	)
NET ASSETS – 100.0%				$880,475

(1) Maturity date represents the puttable date.

(2) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(5) Maturity date represents the prerefunded date.

(6) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(7) 7-day current yield as of March 31, 2020 is disclosed.

(8) Rate is determined by a remarketing agent which, in its judgment, on the basis of prevailing financial markets, will be the lowest interest rate necessary to enable the remarketing agent to sell the bonds at a price equal to 100% of the principal amount.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

AGM – Assured Guaranty Municipal Corporation

AMT – Alternative Minimum Tax

BAM – Build America Mutual

BANS – Bond Anticipation Notes

COPS – Certificates of Participation

EDA – Economic Development Authority

FGIC – Financial Guaranty Insurance Corporation

G.O. – General Obligation

GAAP – Generally Accepted Accounting Principles

Gtd. – Guaranteed

HFA – Housing Finance Authority

ICE – Intercontinental Exchange

IDA – Industrial Development Authority

LIBOR – London Interbank Offered Rate

LOC – Letter of Credit

MFH – Multi-Family Housing

MWRA – Massachusetts Water Resources Authority

NATL – National Public Finance Guarantee Corporation

PSF – Permanent School Fund

Q-SBLF – Qualified School Bond Loan Fund

S&P – Standard & Poor’s

SCSDE – South Carolina State Department of Education

SonyMA – State of New York Mortgage Agency

SRF – Special Revenue Fund

TRANS – Tax and Revenue Anticipation Notes

TRB – Tax Revenue Bonds

USD – United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 91 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

SHORT-INTERMEDIATE TAX-EXEMPT FUND continued

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
AAA		25.1%
AA		56.9
A		5.6
A1+ (Short Term)		2.6
A1 (Short Term)		1.3
BBB		0.3
Not Rated		0.8
Cash Equivalents		7.4
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
General		16.4%
General Obligation		31.1
Higher Education		6.3
School District		13.5
Short-Term Investments		7.4
Transportation		8.7
All other sectors less than 5%		16.6
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds(1)		$—		$789,775		$—		$789,775
Investment Companies		67,134		—		—		67,134
Short-Term Investments		—		46,080		—		46,080
Total Investments		$67,134		$835,855		$—		$902,989

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 92 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9%
Alabama – 1.0%
Birmingham Convertible G.O. Unlimited CABS, Series A, 5.00%, 3/1/27		$1,000		$1,103
Black Belt Energy Gas District Gas Prepay Revenue Bonds, Project No. 5, Series A-1, 4.00%, 10/1/26(1) (2) (3)		2,500		2,621
Black Belt Energy Gas District Gas Supply Revenue Bonds, Series A, 4.00%, 6/1/21(1) (2) (3)		5,000		5,055
City of Madison Board of Education Special Tax School Warrants, 4.00%, 2/1/44		5,040		5,664
Elmore County Board of Education Revenue Refunding Warrants Bonds, 3.00%, 8/1/44		2,000		2,030
				16,473
Alaska – 0.1%
Alaska State Housing Finance Corp. Mortgage Revenue Bonds, Series A, 3.75%, 12/1/40		1,000		1,070
Arizona – 2.4%
Arizona Board of Regents State University System Revenue Bonds, Series B, Green Bonds, 5.00%, 7/1/42		2,000		2,362
Arizona Board of Regents State University System Revenue Refunding Bonds, Series B, 5.00%, 7/1/43		2,000		2,413
Maricopa County IDA Educational Facilities Revenue Bonds, Creighton University Project, 4.00%, 7/1/50		5,000		5,339
Northern Arizona University Revenue Refunding Bonds, Series B (BAM Insured), 5.00%, 6/1/39		2,500		3,171
Phoenix Civic Airport Improvement Corp. Junior Lien Airport Revenue Bonds, 4.00%, 7/1/44		4,000		4,380
3.00%, 7/1/49		1,000		991

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% continued
Arizona – 2.4% – continued
Phoenix Civic Improvement Corp. District Revenue Convertible CABS, Series B, Civic Plaza Project (NATL Insured), 5.50%, 7/1/38		$5,000		$7,176
Phoenix Civic Improvement Corp. Rental Car Facility Revenue Bonds, Series A, 5.00%, 7/1/39		2,500		2,982
Phoenix Civic Improvement Corp. Water System Revenue Bonds, Series A, Junior Lien, 5.00%, 7/1/39		5,000		5,673
Student & Academic Services LLC Lease Revenue Bonds, Northern Arizona Capital Facilities (BAM Insured), 5.00%, 6/1/44		2,000		2,229
Yavapai County IDA Hospital Facility Revenue Refunding Bonds, Yavapai Regional Medical, 3.13%, 8/1/43		2,000		2,044
				38,760
California – 5.9%
California HFA Municipal Certificates Revenue Bonds, Series 2, Class A, 4.00%, 3/20/33		996		1,057
California State G.O. Unlimited Bonds, Series 2007, Unrefunded Balance, 5.75%, 5/1/30		75		75
California State G.O. Unlimited Refunding Bonds, 5.00%, 8/1/26		700		856
California State G.O. Unlimited Various Purpose Refunding Bonds, 5.00%, 4/1/38		5,000		5,646
California State Health Facilities Financing Authority Revenue Refunding Bonds, Series A, Stanford Health Care, 4.00%, 8/15/50		1,500		1,649
California State Infrastructure & Economic Development Revenue Refunding Bonds, The J Paul Getty Trust, 5.00%, 4/1/32		2,500		3,311

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 93 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
California – 5.9% – continued
California State Municipal Finance Authority Lease Revenue Bonds, Orange County Civic Center Infrastructure, 5.00%, 6/1/43		$1,500		$1,820
California State Municipal Finance Authority Student Housing Revenue Bonds, CHF-Davis I, LLC -West Village, 5.00%, 5/15/39		5,000		5,362
5.00%, 5/15/43		2,000		2,130
California State University Revenue Bonds, Series A, 5.00%, 11/1/37		1,110		1,389
California State Various Purpose G.O. Unlimited Bonds, 5.25%, 10/1/39		5,000		5,948
California Statewide Communities Development Authority Student Housing Revenue Refunding Bonds, CHF-Irvine, LLC, 5.00%, 5/15/32		1,000		1,124
Carlsbad Unified School District G.O. Unlimited Convertible CABS, Series B, Election of 2006, 6.00%, 5/1/34		2,500		2,950
Central Unified School District G.O. Unlimited Bonds, Series B, Election of 2016, 5.00%, 8/1/43		1,000		1,166
Los Angeles Department of Airports Airport Subordinated Revenue Refunding Bonds, 5.00%, 5/15/36		2,745		3,401
5.00%, 5/15/43		5,000		6,097
Los Angeles Department of Airports Revenue Refunding Bonds, Series B (AMT), 5.00%, 5/15/34		3,000		3,572
Los Angeles Department of Water & Power System Revenue Bonds, Series A, 5.00%, 7/1/32		880		1,122
Los Angeles Department of Water & Power System Revenue Bonds, Series C, 5.00%, 7/1/39		1,000		1,245

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
California – 5.9% – continued
Los Angeles Department of Water & Power System Revenue Refunding Bonds, Series A, 5.00%, 7/1/31		$1,445		$1,684
Los Angeles Department of Water & Power System Revenue Refunding Bonds, Series D, 5.00%, 7/1/43		5,000		6,054
Los Angeles Department of Water & Power Waterworks Revenue Bonds, Series A, 5.00%, 7/1/39		2,070		2,510
Metropolitan Water District of Southern California Subordinate Revenue Refunding Bonds, Series A, 5.00%, 7/1/29 (4)		4,000		5,232
Newport Mesa Unified School District G.O. Unlimited Refunding CABS Bonds, 0.00%, 8/1/41 (5)		2,000		967
Northern Energy Authority Commodity Supply Revenue Bonds, Series A, 4.00%, 7/1/24(1)(2)(3)		2,500		2,593
Oakland Unified School District Alameda County G.O. Unlimited Refunding Bonds (AGM Insured), 5.00%, 8/1/28		1,000		1,173
Palomar Community College District G.O. Unlimited Convertible CABS, Series B, Election of 2006, (Step to 6.38% on 8/1/30), 0.71%, 8/1/45 (6)		2,500		2,531
Pasadena Community College District G.O. Unlimited Refunding Bonds, 4.00%, 8/1/23		2,520		2,755
Sacramento County Airport System Senior Revenue Bonds, 5.00%, 7/1/28		1,280		1,291
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series A (AMT), 5.00%, 5/1/38		2,500		2,930
5.00%, 5/1/42		1,500		1,696
San Francisco City & County Airports Commission International Airport Revenue Bonds, Series E (AMT), 5.00%, 5/1/45		3,000		3,469

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 94 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
California – 5.9% – continued
4.00%, 5/1/50		$1,500		$1,580
San Francisco City & County Airports Commission International Airport Revenue Refunding Bonds, 5.00%, 5/1/36		3,300		4,113
Sequoia Union High School District G.O. Unlimited Bonds, Series C-1, Election of 2008, Prerefunded, 6.00%, 7/1/21(7)		1,100		1,168
Sequoia Union High School District Taxable G.O. Unlimited Refunding Bonds, 2.61%, 7/1/35		1,000		966
Solano County Community College District G.O. Unlimited Bonds, Series A, Election of 2012, (Step to 5.13% on 8/1/23), 0.00%, 8/1/41(6)		3,200		3,415
				96,047
Colorado – 4.1%
Adams County School District No. 1 Taxable G.O. Unlimited Refunding Bonds, Series B (State Aid Withholding), 5.25%, 12/1/40		4,775		5,819
Adams County School District No. 1 Taxable G.O. Unlimited Refunding Bonds, Series B (State Aid Withholding), Prerefunded, 5.25%, 12/1/26(7)		225		281
Arapahoe County School District No. 6 Littleton G.O. Unlimited Bonds, Series A (State Aid Withholding), 5.50%, 12/1/43		5,000		6,305
Aurora Water Revenue Refunding Bonds, Green Bonds, 5.00%, 8/1/41		4,000		4,732
Colorado State COPS ,Series A, 4.00%, 12/15/37		10,000		11,302
Colorado State Educational & Cultural Facilities Authority Revenue Bonds, Series A, University of Denver Project, 5.00%, 3/1/40		2,500		2,972

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Colorado – 4.1% – continued
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Adventist Health System Sunbelt, 4.00%, 11/15/41		$1,000		$1,062
Colorado State Health Facilities Authority Hospital Revenue Refunding Bonds, Series A, Commonspirit Health, 4.00%, 8/1/44		1,000		997
4.00%, 8/1/49		2,000		1,960
Colorado State School of Mines Institutional Enterprise Revenue Bonds, Series B, 5.00%, 12/1/42		3,400		4,085
Denver City & County Airport System Subordinate Revenue Refunding Bonds (AMT), Series A, 5.00%, 12/1/43		2,000		2,315
Denver City & County Dedicated Tax Revenue CABS, Series A-2, 0.00%, 8/1/37(5)		2,750		1,518
0.00%, 8/1/39(5)		2,805		1,411
Denver City & County Dedicated Tax Revenue Refunding & Improvement Bonds, Series A, 5.00%, 8/1/42		1,500		1,761
Denver City & County School District No. 1 COPS, Series B, 5.25%, 12/1/40		1,805		1,867
El Paso County School District No. 12 Cheyenne Mountain G.O. Unlimited Bonds (State Aid Withholding), 5.25%, 9/15/38		5,000		5,880
Jefferson County School District No. R-001 G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/15/37		5,000		6,266
Weld County School District No. 6 Greeley G.O. Unlimited Bonds (State Aid Withholding), 5.00%, 12/1/39		5,500		6,974
				67,507

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 95 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Connecticut – 0.6%
Connecticut State Special Tax Obligation Revenue Bonds, Series A, Transportation Infrastructure, 5.00%, 8/1/34		$3,000		$3,405
Connecticut State Special Tax Obligation Revenue Bonds, Series B, 5.00%, 10/1/31		2,500		3,067
University of Connecticut Revenue Bonds, Series A, 5.25%, 11/15/47		3,000		3,673
				10,145
District of Columbia – 2.3%
District of Columbia G.O. Unlimited Bonds, Series A, 5.00%, 6/1/43		5,000		6,159
District of Columbia G.O. Unlimited Bonds, Series C, 5.00%, 6/1/38		1,000		1,135
District of Columbia Income Tax Secured Revenue Bonds, Series A, 2.63%, 3/1/45		6,100		5,896
District of Columbia Water & Sewer Authority Public Utility Revenue Refunding Bonds, Series C, Subordinate Lien, 5.00%, 10/1/25		5,000		5,453
District of Columbia Water & Sewer Authority Public Utility Subordinate Revenue Bonds, Series A, Green Bonds, 5.00%, 10/1/45		2,500		2,893
Metropolitan Washington Airports Authority Dulles Toll Road Revenue Refunding Bonds, Series A, Dulles Metrorail & Capital Improvement, 5.00%, 10/1/44		2,000		2,314
Metropolitan Washington Airports Authority System Revenue Refunding Bonds, Series A (AMT), 5.00%, 10/1/28		5,000		5,377
5.00%, 10/1/40		1,910		2,258
5.00%, 10/1/43		4,000		4,635
Washington Metropolitan Area Transit Authority Gross Revenue Bonds, 5.00%, 7/1/38		1,800		2,115
				38,235

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Florida – 6.2%
Broward County Airport System Revenue Bonds (AMT), 5.00%, 10/1/42		$2,500		$2,833
Broward County Airport System Revenue Bonds, Series A (AMT), 5.00%, 10/1/37		2,450		2,869
4.00%, 10/1/44		3,000		3,215
Broward County Airport System Revenue Bonds, Series C, 5.25%, 10/1/43		5,000		5,690
Broward County Port Facilities Revenue Refunding Bonds, Series A (AGM Insured), Prerefunded, 5.00%, 9/1/21 (7)		825		866
5.00%, 9/1/21 (7)		670		703
Broward County Port Facilities Revenue Refunding Bonds, Series A (AGM Insured), Unrefunded Balance, 5.00%, 9/1/24		410		431
5.00%, 9/1/25		330		347
Broward County Port Facilities Revenue Refunding Bonds, Series B (AMT), Prerefunded, 5.00%, 9/1/21 (7)		1,680		1,760
Broward County Port Facilities Revenue Refunding Bonds, Series B (AMT), Unrefunded Balance, 5.00%, 9/1/23		820		861
Broward County Port Facilities Revenue, Series A, 5.00%, 9/1/44		5,000		6,075
Central Florida Expressway Authority Senior Lien Revenue Bonds, Series B, 5.00%, 7/1/44		2,500		2,998
Davie Educational Facilities Revenue Refunding Bonds, Nova Southeastern University Project, 5.00%, 4/1/48		2,000		2,209
Escambia County Health Facilities Authority Revenue Refunding Bonds, Baptist Health Care Corp. Obligated Group, 4.00%, 8/15/45		3,500		3,688

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 96 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Florida – 6.2% – continued
Escambia County Health Facilities Authority Revenue Refunding Bonds, Baptist Health Care Corp. Obligated Group (AGM Insured), 3.00%, 8/15/50		$1,000		$977
Florida State Board of Education Public Education Capital Outlay G.O. Unlimited Refunding Bonds, Series A, 5.00%, 6/1/28		1,000		1,283
Florida State Department Transportation G.O. Unlimited Refunding Bonds, 3.00%, 7/1/30		2,500		2,580
Florida State Higher Educational Facilities Financial Authority Revenue Bonds, Florida Institute of Technology, 4.00%, 10/1/44		1,750		1,635
Florida State Higher Educational Facilities Financial Authority Revenue Bonds, Ringling College Project, 5.00%, 3/1/49		3,000		3,152
Florida State Turnpike Authority Revenue Bonds, Series A, Department of Transportation (NATL Insured), 3.00%, 7/1/29		5,000		5,000
Florida State Turnpike Authority Revenue Bonds, Series C, Department of Transportation, 4.50%, 7/1/43		3,000		3,229
Florida State Turnpike Authority Turnpike Revenue Bonds, Series B, 3.00%, 7/1/49		1,980		2,042
Greater Orlando Aviation Authority Airport Facilities Priority Subordinated Revenue Bonds, Series A(AMT), 5.00%, 10/1/42		1,965		2,228
Hillsborough County Aviation Authority Customer Facilities Charge Revenue Bonds, Series A, Tampa International Airport, 5.00%, 10/1/44		2,500		2,777

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Florida – 6.2% – continued
Miami-Dade County Aviation Revenue Bonds, Miami International, Prerefunded, 5.50%, 10/1/20(7)		$605		$618
5.50%, 10/1/20(7)		1,895		1,936
Miami-Dade County Aviation Revenue Refunding Bonds, 5.00%, 10/1/41		450		507
Miami-Dade County Aviation Revenue Refunding Bonds (AMT), 5.00%, 10/1/27		2,000		2,214
Miami-Dade County Aviation Revenue Refunding Bonds, Series A (AMT), 5.00%, 10/1/38		5,000		5,566
Miami-Dade County Expressway Authority Toll System Revenue Bonds, Series A, 5.00%, 7/1/39		4,025		4,502
Miami-Dade County Transit System Sales Surtax Revenue Bonds, 5.00%, 7/1/42		10,000		10,637
Palm Beach County Solid Waste Authority Revenue Refunding Bonds, Prerefunded, 5.00%, 10/1/21(7)		75		79
Palm Beach County Solid Waste Authority Revenue Refunding Bonds, Unrefunded Balance, 5.00%, 10/1/31		4,925		5,194
Pasco County School Board COPS, Series A (BAM Insured), 5.00%, 8/1/43		3,000		3,620
Tampa Bay Water Regional Water Supply Authority Utility System Revenue Bonds, 5.00%, 10/1/38		5,000		5,589
Tampa Bay Water Regional Water Supply Authority Utility System Revenue Refunding Bonds, Series A, 5.00%, 10/1/36		1,750		2,092
				102,002
Georgia – 1.5%
Atlanta Airport Revenue Bonds, Series B (AMT), 5.00%, 7/1/31		2,755		3,334

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 97 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Georgia – 1.5% – continued
Fulton County Development Authority Revenue Bonds, Piedmont Healthcare, Inc., Project, 3.00%, 7/1/44		$1,000		$1,022
Georgia State Housing & Finance Authority Revenue Bonds, Series B, 3.25%, 12/1/49		5,000		5,123
Gwinnett County School District G.O. Unlimited Bonds, 5.00%, 2/1/40		5,000		6,284
Gwinnett County Water & Sewerage Authority Revenue Refunding Bonds, 5.00%, 8/1/29		2,000		2,637
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Series A, 5.00%, 5/15/43		500		538
5.00%, 5/15/49		1,000		1,157
Main Street Natural Gas, Inc. Gas Supply Revenue Bonds, Subseries C, 4.00%, 12/1/23(1) (2) (3)		1,650		1,703
Municipal Electric Authority of Georgia Revenue Bonds, Plant Vogtle Units 3 & 4 Project, 5.50%, 7/1/60		2,500		2,666
				24,464
Hawaii – 0.7%
Hawaii State Airports System Revenue Bonds, Series A, 5.25%, 7/1/29		4,000		4,033
Hawaii State Airports System Revenue Bonds, Series A (AMT), 5.00%, 7/1/48		4,000		4,418
Honolulu City & County G.O. Unlimited Bonds, Series A, 5.00%, 9/1/43		2,000		2,465
Honolulu City & County Wastewater System First Bond Resolution Revenue Bonds, Series A, 4.00%, 7/1/44		1,000		1,144
				12,060
Idaho – 0.1%
Idaho State Health Facilities Authority Hospital Revenue Bonds, Trinity Health Credit Group, 4.00%, 12/1/43		2,000		2,184

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Illinois – 4.1%
Chicago Midway Airport Revenue Refunding Bonds, Second Lien Series B, 5.25%, 1/1/34		$2,500		$2,729
Chicago O’Hare International Airport General Revenue Bonds, Series D, Senior Lien, 5.00%, 1/1/39		1,015		1,078
Chicago O’Hare International Airport General Revenue Refunding Bonds, Series B, Senior Lien, 5.00%, 1/1/41		3,100		3,441
Chicago O’Hare International Airport Revenue Refunding Bonds, Series A, Passenger Facilities Charge, 5.00%, 1/1/23		2,000		2,107
Cook County Sales Tax Revenue Refunding Bonds, 4.00%, 11/15/38		5,000		5,505
Illinois State Educational Facilities Authority Revenue Bonds, Field Museum of Natural History, 3.90%, 11/1/36		1,740		1,934
Illinois State Finance Authority Academic Facilities Lease Revenue Bonds, University of Illinois at Urbana-Champaign, 5.00%, 10/1/49		1,250		1,510
Illinois State Finance Authority Revenue Bonds, Northwestern University, 5.00%, 12/1/28		1,500		1,932
Illinois State Finance Authority Revenue Bonds, Series A, Art Institute Chicago, 5.25%, 3/1/40		2,500		2,504
Illinois State Finance Authority Revenue Bonds, Series A, DePaul University, Prerefunded, 6.13%, 4/1/21(7)		5,000		5,245
Illinois State Finance Authority Revenue Bonds, Township High School District, 4.00%, 12/1/37		5,745		6,627
Illinois State Finance Authority Revenue Refunding Bonds, Edward-Elmhurst Healthcare, 4.25%, 1/1/44		5,000		5,411

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 98 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Illinois – 4.1% – continued
5.00%, 1/1/44		$2,500		$2,869
Illinois State Finance Authority Revenue Refunding Bonds, Series A, Rush University Medical Center, 5.00%, 11/15/38		1,000		1,124
Illinois State Municipal Electric Agency Power Supply Revenue Refunding Bonds, Series A, 4.00%, 2/1/33		4,750		5,143
Illinois State Toll Highway Authority Revenue Bonds, Series A, 4.00%, 1/1/37		2,000		2,211
Illinois State Toll Highway Authority Senior Revenue Bonds, Series B, 5.00%, 1/1/41		2,000		2,308
Regional Transportation Authority Revenue Bonds, Series A (AGM Insured), 5.75%, 6/1/34		3,400		4,598
Schaumburg G.O. Unlimited Refunding Bonds, Series A, 4.00%, 12/1/41		5,000		5,309
Will Grundy Etc. Counties Community College District No. 525 G.O. Unlimited Refunding Bonds, Alternative Revenue Source, 5.25%, 6/1/36		2,500		2,830
				66,415
Indiana – 0.7%
Indiana Finance Authority Wastewater Utility Revenue Bonds, Series A, First Lien, CWA Authority, 5.25%, 10/1/38		3,150		3,333
4.25%, 10/1/44		3,000		3,267
Indiana State Health & Educational Facilities Financing Authority Ascension Senior Credit Group Revenue Refunding Bonds, 4.00%, 11/15/46		2,900		3,084
Indianapolis Local Public Improvement
Bond Bank Revenue Bonds, Indianapolis Airport Authority Project, 5.00%, 1/1/44		2,000		2,384
				12,068

	PRINCIPAL AMOUNT (000S)		VALUE (000S)
MUNICIPAL BONDS – 87.9% – continued
Iowa – 0.5%
PEFA, Inc. Gas Project Revenue Bonds, 5.00%, 9/1/26 (1)(2)(3)		$7,000		$7,691
Kansas – 0.1%
Lyon County Kansas Unified School District No. 253 G.O. Unlimited Bonds, 3.00%, 9/1/44		1,500		1,535
Kentucky – 1.7%
Carroll County Kentucky Environmental Facilities Revenue Bonds, Series A (AMT), Kentucky Utilities Company Project, (1)(2)(3) 1.75%, 9/1/26		1,500		1,522
Carroll County Kentucky PCR Refunding Bonds, Series A, Kentucky Utilities Company Project, (1)(2)(3) 1.55%, 9/1/26		3,750		3,804
Fayette County School District Finance Corp. Revenue Bonds, Series A (State Intercept Program), 4.00%, 5/1/38		5,000		5,499
Kentucky State Economic Development Finance Authority Revenue Refunding Bonds, Series A, Commonspirit Health, 5.00%, 8/1/49		3,000		3,184
Kentucky State Public Energy Authority Gas Supply Variable Revenue Bonds, Series C, 4.00%, 2/1/28 (1)(2)(3)		10,000		10,494
Louisville & Jefferson County Metro Government Health System Revenue Bonds, Series A, Norton Healthcare, Inc., 3.00%, 10/1/43		1,360		1,293
Louisville & Jefferson County Metropolitan Sewer District & Drain System Revenue Bonds, Series A, 5.00%, 5/15/34		2,000		2,120
				27,916
Louisiana – 1.3%
Lafayette Parish School Board Sales TRB, 5.00%, 4/1/48		2,165		2,550

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 99 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Louisiana – 1.3% – continued
Louisiana Public Facilities Authority Revenue Refunding Bonds, Ochsner Clinic, Unrefunded Balance, 5.00%, 5/15/47		$2,000		$2,322
Louisiana State Gas & Fuels Revenue Refunding Bonds, Series A, First Lien, 4.50%, 5/1/39		2,500		2,770
4.00%, 5/1/41		5,000		5,410
Louisiana State Local Government Environmental Facilities & Community Development Authority Revenue Refunding Bonds, Series A, Woman’s Hospital Foundation Project, 5.00%, 10/1/31		1,510		1,843
Shreveport Water & Sewer Revenue Bonds, Series B (BAM Insured), 5.00%, 12/1/41		5,000		5,909
				20,804
Maryland–1.4%
Baltimore County Consolidated Public Improvement G.O. Unlimited Bonds, 4.00%, 3/1/37		2,000		2,359
Baltimore County Metropolitan District 81st Issue G.O. Unlimited Bonds, 4.00%, 3/1/39		2,500		2,888
Baltimore County Metropolitan District G.O. Unlimited BANS, 4.00%, 3/22/21		15,000		15,403
Howard County G.O. Unlimited Bonds, Series A, 5.00%, 2/15/30		1,000		1,240
Maryland State Health & Higher Educational Facilities Authority Revenue Refunding Bonds, Lifebridge Health, 5.00%, 7/1/44		1,100		1,320
				23,210
Massachusetts – 3.8%
Lincoln School G.O. Unlimited Bonds, 3.50%, 3/1/44		3,810		4,181
Massachusetts Bay Transportation Authority Assessment Revenue Refunding Bonds, Series A, 5.00%, 7/1/41		2,800		3,002

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Massachusetts – 3.8% – continued
Massachusetts State Bay Transportation Authority Sales Tax Revenue Refunding CABS, Series A, 0.00%, 7/1/29 (5)		$2,500		$2,111
Massachusetts State Bay Transportation Authority Sales TRB, Senior Series B, 5.25%, 7/1/33		1,900		2,550
Massachusetts State College Building Authority, Revenue Bonds, Series B, Green Bonds (State Intercept Program), 5.00%, 5/1/39		1,000		1,124
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Series A, Harvard University, 5.00%, 7/15/40		2,500		3,567
Massachusetts State Development Finance Agency Revenue Refunding Bonds, Suffolk University, 5.00%, 7/1/36		445		512
5.00%, 7/1/38		340		389
Massachusetts State G.O. Limited Bonds, Series B, 2.50%, 3/1/43		5,000		4,803
Massachusetts State Housing Finance Agency Revenue Bonds, Series H, 4.40%, 12/1/46		1,000		1,085
Massachusetts State Port Authority Revenue Bonds, Series A, 5.00%, 7/1/40		2,725		3,122
Massachusetts State Port Authority Revenue Bonds, Series C (AMT), 5.00%, 7/1/44		2,000		2,371
Massachusetts State School Building Authority Sales TRB, Series A, Senior Lien, 5.00%, 5/15/43		3,015		3,314
Massachusetts State School Building Authority Sales TRB, Series B, Senior Lien, 5.00%, 11/15/36		1,500		1,813
5.00%, 11/15/39		2,500		3,003
Massachusetts State School Building Authority Subordinated Sales TRB, Series A, 5.00%, 2/15/44		4,000		4,889

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 100 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Massachusetts – 3.8% – continued
Massachusetts State Special Obligation Dedicated Refunding Revenue Bonds, (NATL Insured), 5.50%, 1/1/34		$2,500		$3,469
Massachusetts State Transportation Fund Rail Enhancement & Accelerated Revenue Bonds, 5.00%, 6/1/42		7,820		9,316
Massachusetts State Transportation Fund Revenue Bonds, Series A, Accelerated Bridge Program, Prerefunded, 5.00%, 6/1/21 (7)		5,000		5,218
Massachusetts State Transportation Fund Revenue Refunding Bonds, Series A, 5.00%, 6/1/43		1,000		1,202
Massachusetts State Water Resources Authority General Revenue Bonds, Series B, 5.00%, 8/1/43		1,455		1,778
				62,819
Michigan – 1.7%
Grand Rapids Public Schools Building & Site G.O. Unlimited Refunding Bonds (AGM Insured), 5.00%, 5/1/25		1,000		1,178
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series I, 5.00%, 4/15/38		2,000		2,315
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series I-A, 5.50%, 10/15/45		3,565		3,798
Michigan State Building Authority Facilities Program Revenue Refunding Bonds, Series II-A, 5.38%, 10/15/36		5,000		5,297
Michigan State Finance Authority Revenue Refunding Bonds, Series H-1, 5.00%, 10/1/39		5,000		5,666
Michigan State University Revenue Bonds, Series B, Board of Trustees, 5.00%, 2/15/44		2,000		2,459

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Michigan – 1.7% – continued
Thornapple Kellogg School District G.O. Unlimited Refunding Bonds (Q-SBLF Insured), 5.00%, 5/1/39		$2,050		$2,580
Wayne County Airport Authority Revenue Bonds, Series D, 5.00%, 12/1/45		2,000		2,243
Wayne County Airport Authority Revenue Refunding Bonds, Series G, 5.00%, 12/1/34		2,625		2,985
				28,521
Minnesota – 0.6%
Minneapolis Special School District No. 1 G.O. Unlimited Bonds, Series B, Long-Term Facilities Maintenance (School District Credit Program), 5.00%, 2/1/28		275		340
Minnesota State Trunk Highway G.O. Unlimited Bonds, Series B, 4.00%, 8/1/28		5,000		5,043
Owatonna Independent School District No. 761 G.O. Unlimited Bonds, Series A (School District Credit Program), 2.25%, 2/1/45		5,000		4,655
				10,038
Missouri – 1.4%
Jackson County Consolidated School District No. 2 Raytown G.O. Unlimited Bonds, Series A (State Aid Direct Deposit Program), 5.00%, 3/1/38		2,000		2,544
Kansas City Sanitation Sewer System Revenue Bonds, Subseries A, 4.00%, 1/1/42		1,820		2,032
Metropolitan Saint Louis Sewer District Wastewater System Revenue Refunding & Improvement Bonds, Series A, 5.00%, 5/1/30		3,245		4,024
Metropolitan Saint Louis Sewer District Wastewater System Revenue Refunding & Improvement Bonds, Series B, 5.00%, 5/1/33		1,000		1,184

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 101 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Missouri – 1.4% – continued
Metropolitan Saint Louis Sewer District Wastewater System Revenue Refunding & Improvement Bonds, Series B, Prerefunded, 5.00%, 5/1/25 (7)		$1,605		$1,899
Metropolitan Saint Louis Sewer District Wastewater System Revenue Refunding & Improvement Bonds, Series B, Unrefunded Balance, 5.00%, 5/1/45		3,395		3,958
Missouri State Environmental Improvement & Energy Resources Authority Revenue Refunding Bonds, Series A-R, Union Electric Co. Project, 2.90%, 9/1/33		2,500		2,647
Missouri State Health & Educational Facilities Authority Educational Facilities Revenue Bonds, Series A, Saint Louis University, 5.00%, 10/1/38		2,500		2,904
Missouri State Health & Educational Facilities Authority Health Facilities Revenue Refunding Bonds, Series A, St. Luke’s Health System, 5.00%, 11/15/43		1,280		1,523
				22,715
Montana – 0.1%
Montana Board of Housing Single Family Program Revenue Refunding Bonds, Series A (FHA Insured HUD VA), 3.90%, 12/1/48		95		101
Montana Facility Finance Authority Revenue Refunding Bonds, Series A, Social Health System, 4.00%, 1/1/38		1,250		1,374
				1,475
Nebraska – 1.3%
Douglas County Hospital Authority No. 2 Health Facilities Revenue Bonds, Children’s Hospital Obligated Group, 5.00%, 11/15/36		1,000		1,190
5.00%, 11/15/37		1,000		1,186

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Nebraska – 1.3% – continued
Omaha Public Power District Electric Revenue Refunding Bonds, Series A, 4.00%, 2/1/42		$5,000		$5,575
5.00%, 2/1/42		4,250		5,151
Omaha Public Power District Electric Revenue Bonds, Series B, Prerefunded, 5.00%, 2/1/22 (7)		2,210		2,366
University of Nebraska Facilities Corp. Taxable Revenue Refunding Bonds, Series B, 2.82%, 10/1/34		5,000		5,022
				20,490
Nevada – 0.7%
Clark County Airport System Subordinate Lien Revenue Refunding Bonds Series A-2, 4.25%, 7/1/36		5,000		5,375
Clark County School District Building G.O. Limited Bonds, Series A, 4.00%, 6/15/36		2,000		2,242
4.00%, 6/15/38		4,000		4,439
				12,056
New Jersey–0.7%
Essex County G.O. Unlimited Bonds, Series A-B, 3.00%, 9/1/41		2,000		2,048
New Jersey State EDA Revenue School Facilities Construction Revenue Bonds, 4.00%, 6/15/44		2,250		2,190
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Series BB, 4.00%, 6/15/44		5,000		4,868
New Jersey State Transportation Trust Fund Authority Revenue Bonds, Transportation Program, 5.25%, 6/15/43		2,500		2,665
				11,771
New York – 16.3%
Metropolitan Transportation Authority Revenue Bonds, Series A-1, Group 1, Green Bonds (AGM Insured), 4.00%, 11/15/43		5,000		5,257

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 102 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
New York – 16.3% – continued
Metropolitan Transportation Authority Revenue Bonds, Series C, Group 1, Green Bonds (AGM, CR Insured), 5.00%, 11/15/38		$2,000		$2,381
Metropolitan Transportation Authority Revenue Bonds, Series G, Prerefunded, 5.25%, 11/15/20 (7)		5,000		5,129
Metropolitan Transportation Authority Revenue Refunding Bonds, Subseries C-1, 5.00%, 11/15/34		2,000		2,184
New York City Housing Development Corp. MFH Revenue Bonds, Sustainable Neighborhood Bonds, 3.00%, 11/1/39		1,750		1,784
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Second General Resolution, Fiscal 2014, 5.00%, 6/15/46		2,000		2,188
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series BB, Second Generation, Fiscal 2013, 5.00%, 6/15/47		2,500		2,703
New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series BB-1, 5.00%, 6/15/49		8,000		9,832
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Second General Resolution, 5.00%, 6/15/40		5,000		6,073
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series AA, 5.00%, 6/15/32		10,000		10,427
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series EE, 5.25%, 6/15/36		2,000		2,459
5.00%, 6/15/39		1,800		2,161
5.00%, 6/15/41		2,500		3,146

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87. 9% 7 – continued
New York – 16.3% – continued
New York City Municipal Water Finance Authority Water & Sewer System Revenue Refunding Bonds, Series GG, 5.00%, 6/15/39		$2,000		$2,312
New York City Municipal Water Finance Authority Water & Sewer System Subordinate Revenue Refunding Bonds, Subseries FF-2, 5.00%, 6/15/40		3,500		4,334
New York City Transitional Finance Authority Building Aid Fiscal 2015 Revenue Bonds, Series S (State Aid Withholding), 5.00%, 7/15/36		1,500		1,730
New York City Transitional Finance Authority Building Aid Revenue Bonds, Series S-3 (State Aid Withholding), 5.00%, 7/15/43		3,000		3,630
New York City Transitional Finance Authority Future Tax Secured Revenue Bonds, Subseries A-1, 5.00%, 5/1/38		2,500		2,507
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, 5.00%, 8/1/40		250		303
New York City Transitional Finance Authority Future Tax Secured Subordinate Revenue Bonds, Fiscal 2017, 5.00%, 2/1/40		7,485		8,825
5.00%, 2/1/43		8,310		9,749
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series 2, 5.00%, 11/1/21		6,670		7,061
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series A-3, 3.00%, 5/1/45		10,000		10,170
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series C-3, 5.00%, 5/1/41		5,000		6,027

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 103 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
New York – 16.3% – continued
New York City Transitional Finance Authority Subordinate Revenue Bonds, Subseries B-1, 5.00%, 11/1/34		$500		$586
New York G.O. Unlimited Bonds, Fiscal 2020, Series B-1, 5.00%, 10/1/39		3,000		3,719
New York G.O. Unlimited Bonds, Series E-1, 4.00%, 3/1/42		2,500		2,792
New York G.O. Unlimited Bonds, Series I, Subseries 1-I, 5.00%, 3/1/28		1,510		1,721
New York G.O. Unlimited Bonds, Subseries F-1, 5.00%, 4/1/43		2,000		2,397
New York State Dorm Authority Revenues Non State Supported Debt Revenue Bonds, Series A, Columbia University, 5.00%, 10/1/50		2,000		3,175
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, Memorial Sloan Kettering Cance, 4.00%, 7/1/38		3,000		3,485
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, School Districts Financing Program (AGC State Aid Withholding), Unrefunded Balance, 5.25%, 10/1/23		165		166
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, Series A, 5.00%, 7/1/36		2,500		3,076
4.00%, 7/1/50		1,500		1,617
New York State Dormitory Authority Non State Supported Debt Revenue Bonds, Series A-2, Columbia University, 5.00%, 10/1/46		500		775
New York State Dormitory Authority Non State Supported Debt Revenue Refunding Bonds, Series B, Columbia University, 5.00%, 10/1/38		4,500		5,490

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
New York – 16.3% – continued
New York State Dormitory Authority Personal Income Tax Revenue Refunding Bonds, Series A, Group 2, 5.00%, 3/15/35		$4,250		$5,340
New York State Dormitory Authority Personal Income Tax Revenue Refunding Bonds, Series B, 5.00%, 2/15/37		2,530		3,056
New York State Dormitory Authority Sales TRB, Series A, Group B, 5.00%, 3/15/38		5,090		6,098
New York State Dormitory Authority State Personal Income Tax General Purpose Refunding Revenue Bonds, Series A, 5.00%, 12/15/22		2,000		2,198
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series A, 5.00%, 3/15/33		2,000		2,367
5.25%, 3/15/38		5,000		6,235
5.25%, 3/15/39		2,000		2,488
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series D, 4.00%, 2/15/38		1,375		1,582
5.00%, 2/15/48		5,000		6,190
3.00%, 2/15/49		5,000		5,125
New York State Dormitory Authority State Personal Income Tax Revenue Refunding Bonds, Series E, 3.25%, 3/15/35		1,000		1,026
3.25%, 3/15/36		5,035		5,156
New York State Environmental Facilities Corp. Clean & Drinking Water Revenue Bonds, Municipal Water Revolving Funds, 5.00%, 6/15/42		4,000		4,789
New York State Environmental Facilities Corp. Clean & Drinking Water Revolving Funds Pooled Financing Program Revenue Bonds, Series B, Escrowed to Maturity, 5.50%, 4/15/35		5,000		7,010

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 104 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
New York – 16.3% – continued
New York State Environmental Facilities Corp. Revenue Bonds, Series C, Green Bonds, 5.00%, 8/15/37		$1,200		$1,457
New York State Environmental Facilities Corp. State Clean & Drinking Water Revolving Funds Revenue Bonds, New York City Municipal Water, 5.00%, 6/15/41		10,000		10,415
New York State Environmental Facilities Corp. State Clean & Drinking Water Subordinate Revenue Refunding Bonds, Series B, 5.00%, 6/15/44		3,300		4,092
New York State Environmental Facilities Corp. State Clean Water & Drinking Water Subordinated Revenue Refunding SRF Bonds, 4.00%, 6/15/46		5,000		5,437
New York State Environmental Facilities Corp. State Clean Water & Drinking Water Subordinated Revenue Refunding SRF Bonds, New York City Municipal Water, 4.00%, 6/15/45		2,000		2,255
New York State Housing Finance Agency Affordable Housing Revenue Bonds, Series E (SonyMA, FNMA Insured), 4.15%, 11/1/47		1,000		1,070
New York State Thruway Authority General Revenue Junior Indebtedness Obligations Subordinate Revenue Bonds, Series B, 4.00%, 1/1/39		2,975		3,294
New York State Thruway Authority Revenue Bonds, Series J, 5.00%, 1/1/27		50		57
New York State Thruway Authority Revenue Bonds, Series N, Group 1, 5.00%, 1/1/39		10,000		12,496
New York State Urban Development Corp. Personal Income TRB, Series A-1, 5.00%, 3/15/43		3,000		3,253

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
New York – 16.3% – continued
New York State Urban Development Corp. Taxable General Personal Income TRB, 3.90%, 3/15/33		$5,000		$5,651
Port Authority of New York & New Jersey Consolidated Revenue Refunding Bonds, Series 186 (AMT), 5.00%, 10/15/44		3,000		3,353
Port Authority of New York & New Jersey Revenue Refunding Bonds, Series 207 (AMT), 5.00%, 9/15/28		1,000		1,240
Sales Tax Asset Receivable Corp. Revenue Refunding Bonds, Series A, Fiscal 2015, 5.00%, 10/15/31		500		572
Troy Capital Resource Corp. Revenue Refunding Bonds, Rensselaer Polytechnic Institute Project, Forward Delivery, 4.00%, 9/1/40 (4)		1,250		1,396
Utility Debt Securitization Authority Restructuring Revenue Refunding Bonds, 5.00%, 12/15/37		2,500		2,931
Utility Debt Securitization Authority Revenue Bonds, Restructuring Bonds, 5.00%, 12/15/39		2,500		3,044
5.00%, 12/15/40		1,000		1,212
Utility Debt Securitization Authority Revenue Bonds, Restructuring Bonds, Series TE, 5.00%, 12/15/41		3,500		3,938
Westchester County G.O. Limited Bonds, Series A, 4.00%, 12/1/29		625		727
				267,921
North Carolina – 1.7% Charlotte Airport Revenue Bonds, Charlotte Douglas International (AMT), 4.00%, 7/1/39		1,255		1,382
Charlotte COPS, Series B, 3.00%, 6/1/22		2,000		2,003

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 105 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
North Carolina – 1.7% – continued
Charlotte Refunding COPS, Convention Facility Project, 4.00%, 6/1/49		$5,000		$5,518
Forsyth County G.O. Unlimited Refunding Bonds, 3.00%, 4/1/28 (4)		2,995		3,302
Montgomery County Public Facilities Corp. Limited Obligation Revenue BANS, 3.00%, 9/1/20		2,000		2,003
North Carolina State Eastern Municipal Power Agency System Revenue Refunding Bonds, Series B (NATL, IBC Insured), Escrowed to Maturity, 6.00%, 1/1/22		6,015		6,518
North Carolina State Public Improvement G.O. Unlimited Bonds, Series B, 5.00%, 6/1/28		5,000		6,440
North Carolina State Turnpike Authority Senior Lien Revenue Bonds, Triangle Expressway (AGM Insured), 5.00%, 1/1/49		500		563
4.00%, 1/1/55		500		513
				28,242
Ohio – 3.7%
Columbus G.O. Unlimited Bonds, Series A, 5.00%, 4/1/37		1,820		2,302
Hamilton County Hospital Facilities Revenue Bonds, Cincinnati Children’s Hospital Project, 5.00%, 11/15/41		1,750		2,475
5.00%, 11/15/49		3,500		5,153
Liberty-Benton Local School District G.O. Unlimited Bonds (School District Credit Program), 4.00%, 11/1/44		1,975		2,258
Miami County Hospital Facilities Improvement Revenue Refunding Bonds, Kettering Health Network, 5.00%, 8/1/49		2,000		2,212
Ohio State Common Schools G.O. Unlimited Refunding Bonds, Series C, 4.00%, 9/15/22		4,000		4,276

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Ohio – 3.7% – continued
Ohio State Higher Education G.O. Unlimited Bonds, Series A, 5.00%, 5/1/34		$5,780		$7,073
Ohio State Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System, 4.00%, 1/1/36		1,000		1,124
Ohio State Infrastructure Improvement G.O. Unlimited Refunding Bonds, Series C, 4.00%, 8/1/21		2,080		2,160
Ohio State Water Quality Development Authority Pollution Control Taxable Revenue Bonds, Series B, 3.00%, 12/1/33		2,000		2,156
5.00%, 12/1/38		9,990		12,737
Ohio Turnpike & Infrastructure Commission Senior Lien Revenue Bonds, Series A, 5.00%, 2/15/48		10,000		11,080
Upper Arlington Special Obligation Non-Tax Revenue Bonds, Lane Avenue Mixed-Use Development, 3.00%, 12/1/44		2,000		2,055
Washington Local School District Lucas County G.O. Unlimited Bonds, Series A (School District Credit Program), 3.00%, 12/1/44		1,975		2,010
3.00%, 12/1/47		1,450		1,472
				60,543
Oklahoma – 0.4%
Norman Regional Hospital Authority Revenue Bonds, Norman Regional Hospital Authority, 4.00%, 9/1/45		4,000		4,150
Oklahoma State Turnpike Authority Second Senior Revenue Bonds, Series C, 4.00%, 1/1/42		2,000		2,227
				6,377
Oregon – 1.2%
Clackamas County School District No. 12 North Clackamas G.O. Unlimited CABS, Series A, (School Board Guaranty Program), 0.00%, 6/15/38 (5)		7,500		3,890

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 106 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Oregon – 1.2% – continued
Clackamas County School District No. 62C Oregon City G.O. Unlimited CABS, Series A (School Board Guaranty Program), 0.00%, 6/15/37 (5)		$1,000		$570
Oregon State Department of Transportation Highway User Tax Revenue Refunding Bonds, Series A, 5.00%, 11/15/28		1,100		1,276
Oregon State Department of Transportation Highway User Tax Subordinate Revenue Refunding Bonds, Series A, 5.00%, 11/15/42		2,615		3,294
Oregon State Health & Science University Revenue Refunding Bonds, Series A, 4.00%, 7/1/44		1,685		1,900
Oregon State Health & Science University Revenue Refunding Bonds, Series B, 5.00%, 7/1/38		2,035		2,415
Salem Hospital Facility Authority Revenue Refunding Bonds, Multi Model Salem Health Projects, 5.00%, 5/15/44		3,500		4,260
Washington Multnomah & Yamhill Counties Hillsboro School District No. 1J G.O. Unlimited Bonds (School Board Guaranty Program), 5.00%, 6/15/35		2,000		2,457
				20,062
Pennsylvania – 1.5%
Commonwealth Financing Authority Tobacco Master Settlement Payment Revenue Bonds (AGM Insured), 4.00%, 6/1/39		5,000		5,443
Delaware County Regional Water Quality Control Authority Sewer Revenue Bonds, 5.00%, 5/1/32		820		950
5.00%, 5/1/35		865		996
Franklin County G.O. Unlimited Refunding Bonds, 4.00%, 11/1/33		1,075		1,199

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Pennsylvania – 1.5% – continued
Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, University of Pennsylvania Health System, 4.00%, 8/15/49		$3,500		$3,751
5.00%, 8/15/49		5,000		5,794
Pennsylvania State Turnpike Commission Oil Franchise Tax Subordinate Revenue Bonds, Series B, 5.00%, 12/1/43		2,500		3,006
Pennsylvania State Turnpike Commission Revenue Bonds, Series A, 5.00%, 12/1/33		1,500		1,904
Springfield School District Delaware County G.O. Unlimited Bonds (State Aid Withholding), 4.00%, 3/1/43		1,500		1,704
				24,747
Rhode Island – 0.4%
Rhode Island Turnpike & Bridge Authority Motor Fuel TRB, Series A, 4.00%, 10/1/44		5,265		5,895
South Carolina – 1.7% Charleston Waterworks & Sewer System Revenue Bonds, 5.00%, 1/1/44		2,500		3,184
Columbia Waterworks & Sewer System Revenue Bonds, Series A, 5.00%, 2/1/49		5,000		6,109
Patriots Energy Group Financing Agency Revenue Bonds, Series A, 4.00%, 2/1/24 (1)(2)(3)		2,000		2,066
Piedmont Municipal Power Agency Electric Revenue Bonds, Series 2004 (BHAC, CR MBIA Insured), 5.38%, 1/1/25		5,820		6,834
South Carolina State Transportation Infrastructure Bank Variable Revenue Refunding Bonds, Series 2003B, (Floating, ICE LIBOR USD 1M + 0.45%), 1.11%, 10/1/22 (1)(3)		9,950		9,722
				27,915

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 107 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Tennessee – 1.1%
Metropolitan Government Nashville & Davidson County Health & Educational Facility Board Revenue Refunding Bonds, Lipscomb University Project, 5.25%, 10/1/58		$1,500		$1,639
Metropolitan Nashville Airport Authority Subordinate Revenue Bonds, Series B (AMT), 4.00%, 7/1/49		2,000		2,154
Tennessee Housing Development Agency Residential Financing Program Revenue Bonds, Series 1B, 3.38%, 7/1/38		135		141
Tennessee Housing Development Agency Residential Financing Program Revenue Bonds, Series 2B, 3.95%, 1/1/38		230		242
Tennessee State G.O. Unlimited Bonds, Series A, 5.00%, 9/1/34		5,000		6,209
Tennessee State School Bond Authority Revenue Bonds, Higher Educational Facilities Second Program (State Higher Education Intercept Program), 5.00%, 11/1/44		5,385		6,716
				17,101
Texas – 8.9%
Austin Electric Utility System Revenue Refunding Bonds, Series A, 5.00%, 11/15/28		500		587
Central Regional Mobility Authority Revenue Refunding Bonds, 5.00%, 1/1/46		750		804
Lower Colorado River Authority Revenue Refunding Bonds, 5.00%, 5/15/39		2,500		2,755
North Texas Tollway Authority Revenue Refunding Bonds, 4.25%, 1/1/49		1,500		1,646
North Texas Tollway Authority Revenue Refunding Bonds, Series A, First Tier, 5.00%, 1/1/39		2,500		2,965

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Texas – 8.9% – continued
Northside Texas Independent School District Building G.O. Unlimited Bonds, Series A (PSF, Gtd.), 4.00%, 6/1/30		$4,390		$4,641
Pflugerville Independent School District Tax School Building G.O. Unlimited Bonds, Series 2014 (PSF, Gtd.), 4.00%, 2/15/33		5,000		5,454
Plainview Independent School District G.O. Unlimited Refunding Bonds, Series A (PSF, Gtd.), 5.00%, 2/15/46		8,050		10,241
Texas State Department of Housing & Community Affairs Revenue Bonds, Series A (GNMA Insured), 3.38%, 9/1/39		2,730		2,934
Texas State G.O. Unlimited Refunding Bonds, Series A, Transportation Commission, 5.00%, 10/1/26		5,000		5,844
5.00%, 10/1/44		5,000		5,738
Texas State TRANS, 4.00%, 8/27/20		71,650		72,458
Texas State Water Development Board Revenue Bonds, Series A, 4.00%, 10/15/44		2,000		2,322
Texas State Water Development Board Revenue Bonds, State Water Implementation Fund, 3.00%, 10/15/35		3,285		3,501
5.00%, 10/15/43		11,000		13,409
Texas State Water Development Board TRB, Series B, 3.03%, 10/15/39		750		760
University of Texas Permanent University Fund Revenue Bonds, Series B, 4.00%, 7/1/41		5,000		5,528
University of Texas University Revenue Bonds, Series B, 5.00%, 8/15/49		2,500		3,850
				145,437

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 108 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Utah – 0.8%
Cache County School District G.O. Unlimited Refunding Bonds, Utah School Bond Guaranty Program (School Board Guaranty Program), 4.00%, 6/15/28		$2,000		$2,204
Davis County School District G.O. Unlimited Bonds, Utah School Bond Guaranty Program (School Board Guaranty Program), 3.00%, 6/1/30		3,330		3,568
Park City Sales TRB, 4.00%, 12/15/31		2,200		2,611
Provo G.O. Unlimited Refunding Bonds, 5.00%, 1/1/26		500		603
Salt Lake City Airport Revenue Bonds, Series A (AMT), 5.00%, 7/1/42		3,000		3,388
Utah State Transit Authority Sales TRB, Senior Lien, 5.00%, 12/15/33		1,125		1,413
				13,787
Virginia – 1.5%
Fairfax County G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 5.00%, 10/1/39		5,000		6,483
Norfolk G.O. Unlimited Bonds, Series A, 5.00%, 10/1/41		500		618
Norfolk G.O. Unlimited Refunding Bonds, Series A (State Aid Withholding), 5.00%, 10/1/24		500		549
Roanoke EDA Hospital Revenue Refunding Bonds, Series A, Carilion Clinic Obligated Group, 3.00%, 7/1/45 (4)		1,500		1,486
5.00%, 7/1/47		3,000		4,404
Virginia HAD Revenue Bonds, Series E, 3.15%, 12/1/49		2,500		2,543
Virginia State College Building Authority Educational Facilities Revenue Bonds, Series A, 21st Century, 3.00%, 2/1/38		3,125		3,275

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Virginia – 1.5% – continued
Virginia State Commonwealth Transportation Board Revenue Bonds, Capital Projects, 4.00%, 5/15/37		$2,000		$2,102
Virginia State Housing Development Authority Taxable Revenue Bonds, Series A (HUD Sector 8 Program), 2.85%, 3/1/45		3,045		2,887
				24,347
Washington – 2.3%
Central Puget Sound Regional Transit Authority Sales & Use Tax Revenue Refunding & Improvement Bonds, Series S-1, Green Bonds, 5.00%, 11/1/50		5,000		5,786
King County Public District No. 2 (Evergreenhealth) G.O. Limited Bonds, Series A, 4.00%, 12/1/45		1,500		1,637
Pierce & King Counties Fife School District No. 417 G.O. Unlimited Bonds, Series 2019 (School Board Guaranty Program), 4.00%, 12/1/37		3,335		3,911
Snohomish County Public Utility District No. 1 Electric System Revenue Bonds, 5.00%, 12/1/40		560		653
Washington State G.O. Unlimited Bonds, Series B, 5.00%, 2/1/37		5,000		5,766
Washington State G.O. Unlimited Bonds, Series C, 5.00%, 2/1/32		2,230		2,788
5.00%, 2/1/43		5,000		6,297
Washington State Health Care Facilities Authority Revenue Refunding Bonds, Providence Health & Services, 5.00%, 10/1/38		5,000		5,742
Washington State Housing Finance Commission SFM Revenue Refunding Bonds, 3.70%, 12/1/34		20		21
Washington State Motor Fuel Tax G.O. Unlimited Bonds, Series E, 5.00%, 2/1/38		2,000		2,243

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 109 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX-EXEMPT FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL BONDS – 87.9% – continued
Washington – 2.3% – continued
Washington State University Revenue Refunding Bonds, 5.00%, 4/1/40		$1,320		$1,503
Washington State Various Purpose G.O. Unlimited Bonds, Series A, 5.00%, 8/1/39		1,500		1,851
				38,198
West Virginia – 0.3%
West Virginia State University Revenue Bonds, West Virginia University Project, 4.00%, 10/1/40		3,500		3,953
Wisconsin – 1.1%
PMA Levy & Aid Anticipation Notes Program Revenue Participation Notes, Series A, 3.00%, 10/23/20		2,500		2,525
University Hospitals & Clinics Authority Revenue Refunding Bonds, Series A, 4.25%, 4/1/48		4,000		4,088
Wisconsin State G.O. Unlimited Bonds, Series A, 5.00%, 5/1/40		3,000		3,599
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Marquette University, 5.00%, 10/1/35		1,025		1,182
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Milwaukee Regional Medical Center, 4.13%, 4/1/46		1,500		1,558
Wisconsin State Health & Educational Facilities Authority Revenue Refunding Bonds, Rogers Memorial Hospital, 5.00%, 7/1/49		2,000		2,324
Wisconsin State Housing & EDA Revenue Bonds, Series A, 4.45%, 5/1/57		2,305		2,533
				17,809
Total Municipal Bonds
(Cost $1,414,905)				1,440,805

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 6.3%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (8)(9)		103,533,047		$103,533
Total Investment Companies
(Cost $103,533)				103,533
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 6.0%
Baltimore County Consolidated Public Improvement G.O. Unlimited Bonds, 5.00%, 8/1/20		$2,095		$2,122
Broward County School District Revenue TANS, 3.00%, 6/30/20		10,000		10,040
Clark County Passenger Facility Charge Revenue Refunding Bonds, Las Vegas Mccarran International, 5.00%, 7/1/20		10,000		10,080
Colorado State Educational Loan Program TRANS, Series A, 3.00%, 6/29/20		25,000		25,105
Colorado State General Fund TRANS, 3.00%, 6/26/20		11,550		11,597
Dallas County Hospital District G.O. Limited Refunding Bonds, 5.00%, 8/15/20		3,970		4,025
Hennepin County Variable G.O. Unlimited Refunding Bonds, Series B, 4.75%, 4/9/20 (1)(3)(10)		4,790		4,790
Massachusetts State G.O. Limited RANS Series B, 4.00%, 5/21/20		10,000		10,038
New York City Transitional Finance Authority Future Tax Secured Adjustable Subordinate Revenue Bonds, 0.65%, 4/2/20 (1)(3)(10)		4,500		4,500
New York City Transitional Finance Authority Subordinate Revenue Bonds, Series 1, 5.00%, 11/1/20		5,000		5,108

See Notes to the Financial Statements.

TAX-EXEMPT FIXED INCOME FUNDS 110 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 6.0% – continued
Ohio State University Variable Revenue Bonds, Series B, 1.85%, 4/9/20 (1)(3)(10)		$7,000		$7,000
Texas State A&M University Financing System Revenue Bonds, Series A, 4.00%, 5/15/20		3,805		3,818
Total Short-Term Investments
(Cost $98,259)				98,223
Total Investments – 100.2%
(Cost $1,616,697)				1,642,561
Liabilities less Other Assets – (0.2%)				(2,860	)
NET ASSETS – 100.0%				$1,639,701

(1) Maturity date represents the puttable date.

(2) These securities are remarketed by an agent, and the interest rate is determined by general market conditions and supply and demand.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) When-Issued Security. Coupon rate is not in effect at March 31, 2020.

(5) Zero coupon bond.

(6) Step coupon bond. Rate as of March 31, 2020 is disclosed.

(7) Maturity date represents the prerefunded date.

(8) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(9) 7-day current yield as of March 31, 2020 is disclosed.

(10) Rate is determined by a remarketing agent which, in its judgment, on the basis of prevailing financial markets, will be the lowest interest rate necessary to enable the remarketing agent to sell the bonds at a price equal to 100% of the principal amount.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M - 1 Month

AGC - Assured Guaranty Corporation

AGM - Assured Guaranty Municipal Corporation

AMT - Alternative Minimum Tax

BAM - Build America Mutual

BANS - Bond Anticipation Notes

BHAC - Berkshire Hathaway Assurance Corporation

CABS - Capital Appreciation Bonds

COPS - Certificates of Participation

CR - Custody Receipt

CWA - Clean Water Act

EDA - Economic Development Authority

FHA - Federal Housing Administration

FNMA - Federal National Mortgage Association

G.O. - General Obligation

GNMA - Government National Mortgage Association

Gtd. - Guaranteed

HFA - Housing Finance Authority

HUD - Housing and Urban Development

IBC - Insured Bond Certificates

ICE - Intercontinental Exchange

IDA - Industrial Development Authority

LIBOR - London Interbank Offered Rate

MBIA - Municipal Bonds Insurance Association

MFH - Multi-Family Housing

NATL - National Public Finance Guarantee Corporation

PCR - Pollution Control Revenue

PSF - Permanent School Fund

Q-SBLF - Qualified School Bond Loan Fund

RANS - Revenue Anticipation Notes

S&P - Standard & Poor’s

SFM - Single Family Mortgage

SonyMA - State of New York Mortgage Agency

SRF - Special Revenue Fund

TANS - Tax Anticipation Notes

TRANS - Tax and Revenue Anticipation Notes

TRB - Tax Revenue Bonds

USD - United States Dollar

VA - Veterans Affairs

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 111 TAX-EXEMPT FIXED INCOME FUNDS

SCHEDULE OF INVESTMENTS

TAX—EXEMPT FUND continued MARCH 31, 2020

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
AAA		15.5%
AA		46.0
A		18.2
A1+ (Short Term)		5.3
A1 (Short Term)		3.5
A2 (Short Term)		0.2
BBB		3.4
Not Rated		1.6
Cash Equivalents		6.3
Total		100.0%

* Credit quality ratings are based on converting the available Moody’s, S&P Global, and/or Fitch ratings to a common numerical basis and averaging that result. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). The S&P Global’s short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody’s short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF INVESTMENTS
Airport		7.4%
General		23.2
General Obligation		11.4
Higher Education		6.4
Medical		6.1
School District		7.0
Short-Term Investments		6.3
Transportation		8.9
Water		11.0
All other sectors less than 5%		12.3
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Municipal Bonds (1)		$–		$1,440,805		$–		$1,440,805
Investment Companies		103,533		–		–		103,533
Short-Term Investments		–		98,223		–		98,223
Total Investments		$103,533		$1,539,028		$–		$1,642,561

(1) Classifications as defined in the Schedule of Investments.

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NOTES TO THE FINANCIAL STATEMENTS MARCH 31, 2020

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Arizona Tax-Exempt, California Intermediate Tax-Exempt, California Tax-Exempt, High Yield Municipal, Intermediate Tax-Exempt, Short-Intermediate Tax-Exempt, and Tax-Exempt Funds (each, a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust, except for the Arizona Tax-Exempt, California Intermediate Tax-Exempt and California Tax-Exempt Funds, which are non-diversified portfolios. Non-diversified portfolios may invest a relatively high percentage of their net assets in obligations of a limited number of issuers. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES Securities are valued at their fair value. Equity securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange-traded funds, are valued at their NAV. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) CREDIT ENHANCEMENTS Certain investments owned by the Funds are covered by insurance issued by private insurers, are backed by an escrow or trust containing U.S. government securities or U.S. government agency securities, or are otherwise supported by letters of credit, standby purchase agreements or other liquidity facilities. Such enhancements may ensure the timely payment of the security’s principal and interest or may shorten the security’s maturity. However, such enhancements do not guarantee the fair value of the securities or the value of a Fund’s shares. Additionally, there is no guarantee that an insurer will meet its obligations. For example, exposure to securities involving sub-prime mortgages may cause a municipal bond

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NOTES TO THE FINANCIAL STATEMENTS continued

insurer’s rating to be downgraded or may cause the bond insurer to become insolvent, which may affect the prices and liquidity of municipal obligations insured by the insurer.

C) WHEN-ISSUED/DELAYED DELIVERY SECURITIES Certain Funds purchase securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time a Fund enters into the commitment to purchase a security, the transaction is recorded and the value of the commitment is reflected in the NAV. The value of the commitment may vary with market fluctuations. No interest accrues to the Fund until settlement takes place. At the time a Fund enters into this type of transaction, it is required to segregate collateral of cash or other liquid assets having a fair value at least equal to the amount of the commitment. The Funds identify securities as segregated with a value that meets or exceeds the value of the commitments. When-issued securities at March 31, 2020, if any, are noted in each Fund’s Schedule of Investments and in aggregate as Payable for when-issued securities, in each Fund’s Statement of Assets and Liabilities.

D) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent either the stated coupon rate, annualized yield on date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income is recognized on the ex-dividend date. The Funds’ income may be subject to certain state and local taxes and, depending on an individual shareholder’s tax status, the federal alternative minimum tax.

E) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

F) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income are declared and paid as follows:

	DECLARATION FREQUENCY	PAYMENT FREQUENCY
Arizona Tax-Exempt	Daily	Monthly
California Intermediate Tax-Exempt	Daily	Monthly
California Tax-Exempt	Daily	Monthly
High Yield Municipal	Daily	Monthly
Intermediate Tax-Exempt	Daily	Monthly

	DECLARATION FREQUENCY	PAYMENT FREQUENCY
Short-Intermediate Tax-Exempt	Daily	Monthly
Tax-Exempt	Daily	Monthly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date. The timing and character of distributions determined in accordance with federal income tax regulations may differ from financial statement amounts determined in accordance with U.S. GAAP due to differences in the treatment and recognition of investment income and realized gains and losses. These differences are primarily related to the deferral of certain realized losses and capital loss carryforwards. Inherent differences in the recognition of income and capital gains for federal income tax purposes, which are permanent, may result in periodic reclassifications in the Funds’ capital accounts. These reclassifications have no impact on the net assets or the NAVs per share of the Funds. At March 31, 2020, the Funds did not record any reclassifications.

G) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 can be carried forward for an unlimited period. However, capital losses incurred by the Funds in taxable years beginning before the taxable year ended March 31, 2012 with an expiration date may not be used to offset capital gains until all net capital losses incurred in taxable years beginning with the taxable year ended March 31, 2012 without an expiration date have been utilized. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

During the fiscal year ended March 31, 2020, the Arizona Tax-Exempt, California Intermediate Tax-Exempt, California Tax-Exempt, High Yield Municipal, Intermediate Tax-Exempt, Short-Intermediate Tax-Exempt, and Tax-Exempt Funds utilized

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MARCH 31, 2020

approximately $740,000, $3,520,000, $1,647,000, $3,275,000, $21,440,000, $149,000, and $12,771,000, respectively, in capital loss carryforwards.

For the period from November 1, 2019, through March 31, 2020, the Tax-Exempt Fund incurred net capital losses and/or late year ordinary losses, of $171,000, for which the Fund intends to treat as having been incurred in the following fiscal year.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFORWARD
Arizona Tax-Exempt		$836		$–
High Yield Municipal		4,801		–

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains (losses) were as follows:

	UNDISTRIBUTED
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Arizona Tax-Exempt		$57		$2		$–		$4,372
California Intermediate Tax-Exempt		225		6		938		11,570
California Tax-Exempt		96		5		414		8,526
High Yield Municipal		398		6		–		(13,843	)
Intermediate Tax-Exempt		1,052		3,925		2,138		54,869
Short-Intermediate Tax-Exempt		65		1,147		5,559		3,503
Tax-Exempt		501		51		–		25,737

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Arizona Tax-Exempt		$3,232		$121		$–
California Intermediate Tax-Exempt		12,372		337		94
California Tax-Exempt		5,094		262		1,200
High Yield Municipal		19,706		286		–
Intermediate Tax-Exempt		63,369		13,844		642
Short-Intermediate Tax-Exempt		15,358		4,657		665
Tax-Exempt		36,760		6,670		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Arizona Tax-Exempt		$3,318		$117		$–
California Intermediate Tax-Exempt		12,748		310		–
California Tax-Exempt		5,833		226		–
High Yield Municipal		17,564		480		–
Intermediate Tax-Exempt		65,245		3,920		–
Short-Intermediate Tax-Exempt		13,462		658		–
Tax-Exempt		35,605		1,491		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for the three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds

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NOTES TO THE FINANCIAL STATEMENTS continued

Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

The Funds did not have any borrowings or incur any interest expense for the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of each Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL ANNUAL MANAGEMENT FEES
	FIRST $1.5 BILLION			NEXT $1 BILLION			OVER $2.5 BILLION			CONTRACTUAL EXPENSE LIMITATIONS
Arizona Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%
California Intermediate Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%
California Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%
High Yield Municipal		0.77	%		0.747	%		0.725	%		0.60	%
Intermediate Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%
Short-Intermediate Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%
Tax-Exempt		0.43	%		0.417	%		0.404	%		0.45	%

The contractual reimbursement arrangements are expected to continue until at least July 31, 2020. The contractual reimbursement arrangements will continue automatically thereafter for periods of one year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

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MARCH 31, 2020

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or, at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed-income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI and/or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statements of Operations. This reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specified conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the following Fund engaged in purchases and/or sales of securities from an affiliated entity:

Amount in thousands	PURCHASES		SALES*
Arizona Tax-Exempt		$–		$	(1,300)

* During the fiscal year ended March 31, 2020, the realized gain (loss) associated with these transactions was zero.

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES				SALES
Amounts in thousands	U.S. GOVERNMENT		OTHER		U.S. GOVERNMENT		OTHER
Arizona Tax-Exempt		$–		$     94,347		$–		$     79,365
California Intermediate Tax-Exempt		–		169,734		–		154,032
California Tax-Exempt		–		101,171		–		94,489
High Yield Municipal		–		320,451		–		238,656
Intermediate Tax-Exempt		–		3,389,798		–		3,119,169
Short-Intermediate Tax-Exempt		–		1,050,884		–		1,025,619
Tax-Exempt		–		1,857,501		–		1,495,589

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)		COST BASIS OF INVESTMENTS
Arizona Tax-Exempt		$4,997		$(625	)		$4,372		$135,364
California Intermediate Tax-Exempt		15,043		(3,474	)		11,569		480,465

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Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
California Tax-Exempt		$9,727		$(1,200	)		$8,527			$184,579
High Yield Municipal		9,465		(23,308	)		(13,843	)		517,975
Intermediate Tax-Exempt		76,480		(21,611	)		54,869			2,951,177
Short-Intermediate Tax-Exempt		$7,474		$(3,971	)		$3,503			$899,486
Tax-Exempt		41,009		(15,272	)		25,737			1,616,824

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Arizona Tax-Exempt		3,414		$37,065		149		$1,607		(2,123	)		$(22,811	)		1,440			$15,861
California Intermediate Tax-Exempt		8,226		89,217		173		1,871		(9,163	)		(99,145	)		(764	)		(8,057	)
California Tax-Exempt		3,184		37,530		239		2,806		(2,352	)		(27,533	)		1,071			12,803
High Yield Municipal		22,492		199,440		209		1,844		(12,302	)		(107,103	)		10,399			94,181
Intermediate Tax-Exempt		66,812		717,984		1,295		13,905		(47,750	)		(511,497	)		20,357			220,392
Short-Intermediate Tax-Exempt		14,979		156,298		527		5,491		(23,345	)		(243,234	)		(7,839	)		(81,445	)
Tax-Exempt		62,550		678,388		825		8,929		(20,854	)		(225,494	)		42,521			461,823

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Arizona Tax-Exempt		3,375		$35,140		156		$1,626		(3,088	)		$(32,024	)		443			$4,742
California Intermediate Tax-Exempt		15,803		165,588		210		2,198		(16,537	)		(172,517	)		(524	)		(4,731	)
California Tax-Exempt		5,691		64,292		222		2,517		(6,288	)		(71,032	)		(375	)		(4,223	)
High Yield Municipal		20,367		174,663		211		1,808		(17,136	)		(146,534	)		3,442			29,937
Intermediate Tax-Exempt		114,298		1,182,134		666		6,898		(135,660	)		(1,404,713	)		(20,696	)		(215,681	)
Short-Intermediate Tax-Exempt		37,792		386,380		143		1,460		(34,203	)		(349,813	)		3,732			38,027
Tax-Exempt		58,943		612,489		561		5,847		(52,119	)		(540,923	)		7,385			77,413

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Arizona Tax-Exempt	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$10,375		$111,166		$115,044		$–		$–		$144		$6,497		6,496,994
California Intermediate Tax-Exempt	Northern Institutional Funds - U.S. Government Portfolio (Shares)		36,915		200,027		222,105		–		–		363		14,837		14,836,965

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TAX-EXEMPT FIXED INCOME FUNDS

MARCH 31, 2020

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
California Tax-Exempt	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$11,927		$149,457		$153,343		$–		$–		$233		$8,041		8,041,087
High Yield Municipal	Northern Institutional Funds - U.S. Government Portfolio (Shares)		6,986		287,242		274,219		–		–		304		20,009		20,009,261
Intermediate Tax-Exempt	Northern Institutional Funds—Municipal Portfolio (Shares)		125,000		–		–		–		–		1,626		125,000		125,000,000
	Northern Institutional Funds - U.S. Government Portfolio (Shares)		232,993		1,734,564		1,831,684		–		–		2,897		135,873		135,873,012
	Total		$357,993		$1,734,564		$1,831,684		$–		$–		$4,523		$260,873		260,873,012
Short-Intermediate Tax-Exempt	Northern Institutional Funds—Municipal Portfolio (Shares)		25,000		–		–		–		–		325		25,000		25,000,000
	Northern Institutional Funds - U.S. Government Portfolio (Shares)		14,312		832,618		804,796		–		–		640		42,134		42,133,816
	Total		$39,312		$832,618		$804,796		$–		$–		$965		$67,134		67,133,816
Tax-Exempt	Northern Institutional Funds - U.S. Government Portfolio (Shares)		91,486		1,048,674		1,036,627		–		–		2,510		103,533		103,533,047

10. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

11. NEW ACCOUNTING PRONOUNCEMENTS

On March 30, 2017, the FASB issued Accounting Standards Update (ASU) 2017-08 “Premium Amortization on Purchased Callable Debt Securities” (the “ASU”), which amends the amortization period for certain purchased callable debt securities held at premium shortening such period to the earliest call date. The new guidance requires an entity to amortize the premium on a callable debt security within its scope to the earliest call date, unless the guidance for considering estimated prepayments as described above is applied. If the call option is not exercised at the earliest call date, the yield is reset to the effective yield using the payment terms of the security. If the security has more than one call date and the premium was amortized to a call price greater than the next call price, any excess of the amortized cost basis over the amount repayable at the next call date will be amortized to that date. If there are no other call dates, any excess of the amortized cost basis over the par amount will be amortized to maturity. Discounts on purchased callable debt securities will continue to be amortized to the security’s maturity date. The ASU is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Earlier application is permitted for all entities, including adoption in an interim period. If an entity early adopts the ASU in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The Funds have adopted the ASU. The adoption of the ASU did not have a material impact on the financial statements.

12. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief

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NOTES TO THE FINANCIAL STATEMENTS continued

Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

13. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

14. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of seven separate portfolios of Northern Funds, comprising the Arizona Tax-Exempt Fund, California Intermediate Tax-Exempt Fund, California Tax-Exempt Fund, High Yield Municipal Fund, Intermediate Tax-Exempt Fund, Short-Intermediate Tax-Exempt Fund, and Tax-Exempt Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the seven portfolios constituting the Northern Funds as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

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TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

CAPITAL GAIN DISTRIBUTION — The following Funds made capital gain distributions in December 2019, and hereby designated these long-term capital gain distributions as follows (per share):

	LONG-TERM CAPITAL GAIN
California Intermediate Tax-Exempt		$0.001971
California Tax-Exempt		0.071562
Intermediate Tax-Exempt		0.002265
Short-Intermediate Tax-Exempt		0.007684

EXEMPT-INTEREST DIVIDENDS — During the fiscal year ended March 31, 2020, the percentage of dividends derived from net investment income paid by each of the following Funds as “exempt-interest dividends,” excludable from gross income for Federal income tax purposes were as follows: Arizona Tax-Exempt Fund – 96.38%, California Intermediate Tax-Exempt Fund – 97.35%, California Tax-Exempt Fund – 95.11%, High Yield Municipal Fund – 98.57%, Intermediate Tax-Exempt Fund – 95.65%, Short-Intermediate Tax-Exempt Fund – 96.77% and Tax-Exempt Fund – 93.70%.

LONG-TERM CAPITAL GAIN — The following Funds designated the below amount as long-term capital gains, pursuant to Section 852 of the Internal Revenue Code, for the fiscal year ended March 31, 2020:

Amounts in thousands	LONG-TERM CAPITAL GAIN
California Intermediate Tax-Exempt		$938
California Tax-Exempt		414
Intermediate Tax-Exempt		2,138
Short-Intermediate Tax-Exempt		5,559

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TAX-EXEMPT FIXED INCOME FUNDS

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

NORTHERN FUNDS ANNUAL REPORT 123 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FUND EXPENSES

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

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

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

Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements on advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 117), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

ARIZONA TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.46	%	$	1,000.00	$	1,003.30	$	2.30
Hypothetical		0.46	%	$	1,000.00	$	1,022.70	$	2.33

CALIFORNIA INTERMEDIATE TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.45	%	$	1,000.00	$	998.60	$	2.25
Hypothetical		0.45	%	$	1,000.00	$	1,022.75	$	2.28

CALIFORNIA TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.46	%	$	1,000.00	$	1,001.40	$	2.30
Hypothetical		0.46	%	$	1,000.00	$	1,022.70	$	2.33

HIGH YIELD MUNICIPAL

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.60	%	$	1,000.00	$	946.30	$	2.92
Hypothetical		0.60	%	$	1,000.00	$	1,022.00	$	3.03

INTERMEDIATE TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.45	%	$	1,000.00	$	1,002.40	$	2.25
Hypothetical		0.45	%	$	1,000.00	$	1,022.75	$	2.28

SHORT-INTERMEDIATE TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.45	%	$	1,000.00	$	1,004.70	$	2.26
Hypothetical		0.45	%	$	1,000.00	$	1,022.75	$	2.28

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

TAX-EXEMPT FIXED INCOME FUNDS 124 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

MARCH 31, 2020 (UNAUDITED)

TAX-EXEMPT

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.45	%	$	1,000.00	$	1,000.90	$	2.25
Hypothetical		0.45	%	$	1,000.00	$	1,022.75	$	2.28

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

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TAX-EXEMPT FIXED IN COME FUNDS

TRUSTEES AND OFFICERS

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex — Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD  WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President — Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company—34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company — 8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

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TAX-EXEMPT FIXED IN COME FUNDS

MARCH 31, 2020 (UNAUDITED)

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow—2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company — 29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act”).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

NORTHERN FUNDS ANNUAL REPORT 127 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

TRUSTEES AND OFFICERS continued

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

TAX-EXEMPT FIXED INCOME FUNDS 128 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

NORTHERN FUNDS ANNUAL REPORT 129 TAX-EXEMPT FIXED INCOME FUNDS

TAX -EXEMPT FIXED IN COME FUNDS

INVESTMENT CONSIDERATIONS

AZ TAX-EXEMPT FUND1,3,4,5,6,7	INTERMEDIATE TAX-EXEMPT FUND1,3,6,7
CA INTERMEDIATE TAX-EXEMPT FUND1,3,4,5,6,7	SHORT-INTERMEDIATE TAX-EXEMPT FUND1,3,6,7
CA TAX-EXEMPT FUND1,3,4,5,6,7	TAX-EXEMPT FUND1,3,6,7
HIGH YIELD MUNICIPAL FUND1,2,3,6,7

1 Fixed Income Market Risk: The market values of fixed-income securities owned by the Fund may decline, at times sharply and unpredictably. Fixed income securities may experience increased volatility, illiquidity or other potentially adverse effects in response to changing market conditions, inflation, changes in interest rates, or lack of liquidity in markets, which may be caused by numerous factors, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment.

2 High-Yield Risk: The Fund’s non-investment grade fixed-income securities, sometimes known as “junk bonds,” will be subject to greater credit risk, price volatility and risk of loss than investment grade securities, which can adversely impact the Fund’s return and net asset value. High yield securities are considered primarily speculative with respect to the issuer’s continuing ability to make principal and interest payments.

3 Municipal Market Volatility Risk: The municipal market can be significantly affected by adverse tax, legislative, or political changes and the financial condition of the issuers of municipal securities.

4 Non-Diversification Risk: The Fund invests in fewer securities than diversified funds and may be more susceptible to adverse financial, economic or other developments affecting any single issuer, and more susceptible to greater losses because of these developments, than if it were diversified.

5 State-Specific Risk: The Fund will be more exposed to negative political or economic factors in the state where it concentrates its investments than a fund that invests more widely.

6 Tax Risk: Future legislative or administrative changes or court decisions may materially affect the value of municipal instruments or the ability of the Fund to pay tax-exempt dividends.

7 Interest Rate/Maturity Risk: Securities with longer maturities tend to be more sensitive to changes in interest rates, causing them to be more volatile than securities with shorter maturities. Securities with shorter maturities tend to provide lower returns and be less volatile than securities with longer maturities. Changing interest rates may have unpredictable effects on the markets and the Fund’s investments. A low or declining interest rate environment poses risks to the Fund’s performance, including the risk that proceeds from prepaid or maturing instruments may have to be reinvested at a lower interest rate. Fluctuations in interest rates may also affect the liquidity of fixed income securities and instruments held by the Fund.

TAX-EXEMPT FIXED INCOME FUNDS 130 NORTHERN FUNDS ANNUAL REPORT

TAX-EXEMPT FIXED INCOME FUNDS

THIS PAGE INTENTIONALLY LEFT BLANK

NORTHERN FUNDS ANNUAL REPORT 131 TAX-EXEMPT FIXED INCOME FUNDS

TAX-EXEMPT FIXED INCOME FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

TAX-EXEMPT FIXED INCOME FUNDS 132 NORTHERN FUNDS ANNUAL REPORT

NORTHERN MONEY MARKET FUNDS

ANNUAL REPORT

MARCH 31, 2020

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of Northern Funds shareholder reports like this one will no longer be sent by mail, unless you specifically request paper copies of the reports from Northern Funds or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on the Funds’ website (northerntrust.com) and you will be notified by mail each time a report is posted and provided with a website link to access the report.

If you have already elected to receive your shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from Northern Funds electronically at any time by contacting your financial intermediary (such as a broker-dealer or bank) or, if your account is held directly with Northern Funds, by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com.

You may elect to receive all future reports in paper free of charge. If you invest through a financial intermediary, please contact your financial intermediary to continue receiving paper copies of your shareholder reports. If you invest directly with Northern Funds, you can inform Northern Funds that you wish to continue receiving paper copies of your shareholder reports by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com. Your election to receive reports in paper will apply to all Northern Funds you hold in your account at the financial intermediary or through an account with Northern Funds. You must provide separate instructions to each of your financial intermediaries.

NORTHERN FUNDS

MANAGED BY

NORTHERN TRUST

MONEY MARKET FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
6	STATEMENTS OF ASSETS AND LIABILITIES
7	STATEMENTS OF OPERATIONS
8	STATEMENTS OF CHANGES IN NET ASSETS
9	FINANCIAL HIGHLIGHTS
13	SCHEDULES OF INVESTMENTS
13	MONEY MARKET FUND
	Ticker Symbol: NORXX
17	MUNICIPAL MONEY MARKET FUND
	Ticker Symbol: NOMXX
23	U.S. GOVERNMENT MONEY MARKET FUND
	Ticker Symbol: NOGXX
28	U.S. GOVERNMENT SELECT MONEY MARKET FUND
	Ticker Symbol: NOSXX
32	NOTES TO THE FINANCIAL STATEMENTS
40	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
41	TAX AND DISTRIBUTION INFORMATION
42	FUND EXPENSES
43	TRUSTEES AND OFFICERS
47	INVESTMENT CONSIDERATIONS
48	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

You could lose money by investing in the Money Market Funds. Although each of the Money Market Funds seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so.

The Money Market Fund and the Municipal Money Market Fund may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors.

An investment in a Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (“FDIC”), any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Funds’ sponsor has no legal obligation to provide financial support to the Funds, and you should not expect that the sponsor will provide financial support to the Funds at any time.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 MONEY MARKET FUNDS

MONEY MARKET FUNDS

MONEY MARKET FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The global financial markets experienced volatility during the 12-month reporting period ended March 31, 2020, prompting the U.S Federal Reserve (the “Fed”) to cut its federal funds target rate from a range of 2.00-2.25% at the beginning of the period to 0.00%-0.25% by March 31, 2020. The Money Market Fund posted a 1.85% return in the same period, compared with the iMoneyNet MFR Average^™/First Tier Retail benchmark return of 1.61%.

Softening economic data initially prompted the Fed to reduce the target range in three orderly increments of 0.25% between July and October of 2019. These cuts were enough to restore an upward slope to the money market yield curve after it had inverted for much of 2019. Fears of the COVID-19 pandemic and widespread shutdown of commerce materialized across the globe in early 2020, prompting a sharp repricing of global markets. Higher risk assets tumbled, with many categories suffering their worst performance since the 2008-2009 financial crisis. The Fed reacted to the decline in economic activity of historic proportions, reducing rates by total of 1.5 percentage points in emergency meetings over a two-week span in March 2020. The Fed also committed to purchasing an unlimited amount of U.S. Treasury securities to help restore economic growth.

Given our expectations for rate cuts during the reporting period, we maintained a long duration (higher interest rate sensitivity) relative to the peer group throughout the period. We continued to monitor market pricing closely in search of opportunities to add duration and increase positions in higher quality credits. In addition, we maintained a strong liquidity profile to accommodate any unexpected outflows.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	FUND INCEPTION (04/11/94)	ONE YEAR			FIVE YEAR			TEN YEAR			7-DAY YIELD
MONEY MARKET FUND			1.85	%		1.09	%		0.55	%		0.75	%
IMONEYNET MFR AVERAGETM /FIRST TIER RETAIL			1.61			0.90			0.47			N/A

Fund Performance quoted represents past performance and does not guarantee future results. Investment return will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. 7-Day Yield refers to income generated over the 7-day period ended March 31, 2020. Past performance may reflect voluntary and contractual expense reimbursements. In their absence, performance would be reduced. Performance data current to the most recent month-end is available at northerntrust.com/funds.

The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

MATURITY ANALYSIS

At March 31, 2020, the maturity analysis for the Money Market Fund as a percentage of investments was:

MATURITY	%		We compare our Funds to the iMoneyNet Money Fund Report Averages, which are composites of professionally managed money market investments with similar investment objectives. Fund portfolio composition is subject to change. Information about Investment Considerations can be found on page 47.
OVERNIGHT (1 BUSINESS DAY)	60.8	%
2 - 15 DAYS	5.4
16 - 30 DAYS	3.8
31 - 60 DAYS	9.2
61 - 97 DAYS	8.7
98 - 180 DAYS	10.8
181 - 270 DAYS	0.2
271 - 366 DAYS	1.1

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors.

An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (“FDIC”), any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Fund’s sponsor has no legal obligation to provide financial support to the Fund and you should not expect that the sponsor will provide financial support to the Fund at any time.

MONEY MARKET FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MUNICIPAL MONEY MARKET FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The municipal market experienced a significant measure of volatility during the 12-month reporting period ended March 31, 2020. While demand for municipal investments was strong throughout most of the period, the onset of COVID-19 prompted a significant reversal in demand by period end.

The Municipal Money Market Fund returned 1.15% during the 12-month period, compared with the iMoneyNet MFR Average^™/Tax Free Retail benchmark return of 1.02%. Over the majority of the period, we employed a “barbell” approach to the Fund’s portfolio duration. This strategy ensured that the Fund was well positioned to handle cash volatility, as approximately 90% of portfolio assets were invested in daily or weekly variable rate demand notes. Holdings in these assets enabled us to navigate fluctuations in cash flows throughout the 12-month period.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	FUND INCEPTION (04/11/94)	ONE YEAR			FIVE YEAR			TEN YEAR			7-DAY YIELD
MUNICIPAL MONEY MARKET FUND			1.15	%		0.73	%		0.37	%		3.18	%
IMONEYNET MFR AVERAGETM /TAX FREE RETAIL			1.02			0.57			0.30			N/A

Fund Performance quoted represents past performance and does not guarantee future results. Investment return will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. 7-Day Yield refers to income generated over the 7-day period ended March 31, 2020. Past performance may reflect voluntary and contractual expense reimbursements. In their absence, performance would be reduced. Performance data current to the most recent month-end is available at northerntrust.com/funds.

The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

MATURITY ANALYSIS

At March 31, 2020, the maturity analysis for the Municipal Money Market Fund as a percentage of investments was:

MATURITY	%		We compare our Funds to the iMoneyNet Money Fund Report Averages, which are composites of professionally managed money market investments with similar investment objectives. Income from the Fund may be subject to federal alternative minimum tax (“AMT”) and state and local taxes. Fund portfolio composition is subject to change. Information about Investment Considerations can be found on page 47.
OVERNIGHT (1 BUSINESS DAY)	31.8	%
2 - 15 DAYS	50.6
31 - 60 DAYS	3.7
61 - 97 DAYS	11.4
98 - 180 DAYS	2.5

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors.

An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (“FDIC”), any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Fund’s sponsor has no legal obligation to provide financial support to the Fund and you should not expect that the sponsor will provide financial support to the Fund at any time.

NORTHERN FUNDS ANNUAL REPORT 3 MONEY MARKET FUNDS

MONEY MARKET FUNDS

U.S. GOVERNMENT MONEY MARKET FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

Global markets were volatile during the 12-month period ended March 31, 2020, with the federal funds target range falling from 2.00%-2.25% at the beginning of the period to 0.00%-0.25% by March 2020. During the same period, the U.S. Government Money Market Fund posted a 1.70% total return, compared with the iMoneyNet MFR Average^™/Govt and Agencies Retail benchmark return of 1.39%. Softening economic data in 2019 prompted the U.S. Federal Reserve (the “Fed”) to reduce short-term rates three times between July and October of 2019. These cuts restored an upward slope to the money market yield curve after it had become inverted earlier in 2019. In early 2020, fears of the COVID-19 pandemic and a gradual and widespread shutdown of commerce materialized across the globe, prompting a sharp re-pricing of global markets. Risk assets tumbled, with many market indices suffering their worst performance since the 2008 financial crisis. In response, the Fed took a series of actions of historic proportions, including the trimming of the federal funds rate by 150 basis points. The Fed also committed to purchasing an unlimited volume of U.S. Treasury securities to help boost the economy.

The markets for government securities experienced at least three key developments during the reporting period. First, a confluence of factors, including less ample liquidity in the banking system than previously estimated, prompted interest rates in the overnight repurchase agreement (repo) market to spike meaningfully in mid-September 2019. The Fed responded by injecting liquidity into the system to calm markets. Second, in order to provide additional liquidity, the Fed began purchasing Treasury bills in October 2019, placing downward pressure on yields. Lastly, the normal seasonal decline in Treasury bill issuance in second quarter is likely to change to an increase in 2020 as the Treasury Department looks to finance fiscal stimulus measures via the Treasury bill market.

Given our expectations for rate cuts, the Fund remained long relative to its peer group throughout the period. We will continue to monitor market pricing closely, and selectively add high quality credits and duration, while maintaining a strong liquidity profile to accommodate any unexpected outflows.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	FUND INCEPTION (04/11/94)	ONE YEAR			FIVE YEAR			TEN YEAR			7-DAY YIELD
U.S. GOVERNMENT MONEY MARKET FUND			1.70	%		0.88	%		0.44	%		0.27	%
IMONEYNET MFR AVERAGETM /GOVT AND AGENCIES RETAIL			1.39			0.68			0.35			N/A

Fund Performance quoted represents past performance and does not guarantee future results. Investment return will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. 7-Day Yield refers to income generated over the 7-day period ended March 31, 2020. Past performance may reflect voluntary and contractual expense reimbursements. In their absence, performance would be reduced. Performance data current to the most recent month-end is available at northerntrust.com/funds.

The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

MATURITY ANALYSIS

At March 31, 2020, the maturity analysis for the U.S. Government Money Market Fund as a percentage of investments was:

MATURITY	%		We compare our Funds to the iMoneyNet Money Fund Report Averages, which are composites of professionally managed money market investments with similar investment objectives. Fund portfolio composition is subject to change. Information about Investment Considerations can be found on page 47.
OVERNIGHT (1 BUSINESS DAY)	46.3	%
2 - 15 DAYS	16.9
16 - 30 DAYS	4.0
31 - 60 DAYS	4.8
61 - 97 DAYS	8.7
98 - 180 DAYS	9.3
181 - 270 DAYS	6.6
271 - 366 DAYS	3.0
367 - 397 DAYS	0.4

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so.

An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (“FDIC”), any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Fund’s sponsor has no legal obligation to provide financial support to the Fund and you should not expect that the sponsor will provide financial support to the Fund at any time.

MONEY MARKET FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

U.S. GOVERNMENT SELECT MONEY MARKET FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

Global markets were volatile during the 12-month reporting period ended March 31, 2020, with the federal funds target range falling from 2.00%-2.25% at the beginning of the period to 0.00%-0.25% by March 2020. During the same reporting period, the U.S. Government Select Money Market Fund posted a 1.69% total return, compared with the iMoneyNet MFR Average^™/Govt and Agencies Retail benchmark return of 1.39%. Softening economic data in 2019 prompted the U.S. Federal Reserve (the “Fed”) to reduce short-term rates three times between July and October of 2019. These cuts restored an upward slope to the money market yield curve after it had become inverted earlier in 2019. In early 2020, fears of a global coronavirus pandemic and a gradual and widespread shutdown of commerce materialized across the globe, prompting a sharp re-pricing of global markets. Risk assets tumbled, with many market indices suffering their worst performance since the 2008 financial crisis. In response, the Fed took a series of actions of historic proportions, including the trimming of the federal funds rate by 150 basis points. The Fed also committed to purchasing an unlimited volume of U.S. Treasury securities to help boost the economy.

The markets for government securities experienced at least three key developments during the period. First, a confluence of factors, including less ample liquidity in the banking system than previously estimated, prompted interest rates in the overnight repurchase agreement (repo) market to spike meaningfully in mid-September 2019. The Fed responded by injecting liquidity into the system to calm markets. Second, in order to provide additional liquidity, the Fed began purchasing Treasury bills in October 2019, placing downward pressure on yields. Lastly, the normal seasonal decline in Treasury bill issuance in second quarter is likely to change to an increase in 2020 as the Treasury Department looks to finance fiscal stimulus measures via the Treasury bill market.

Given our expectations for rate cuts during the fiscal year, the Fund remained long relative to its peer group throughout the period. We will continue to monitor market pricing closely, and selectively add high quality credits and duration, while maintaining a strong liquidity profile to accommodate any unexpected outflows.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	FUND INCEPTION (12/12/94)	ONE YEAR			FIVE YEAR			TEN YEAR			7-DAY YIELD
U.S. GOVERNMENT SELECT MONEY MARKET FUND			1.69	%		0.88	%		0.45	%		0.29	%
IMONEYNET MFR AVERAGETM /GOVT AND AGENCIES RETAIL			1.39			0.68			0.35			N/A

Fund Performance quoted represents past performance and does not guarantee future results. Investment return will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. 7-Day Yield refers to income generated over the 7-day period ended March 31, 2020. Past performance may reflect voluntary and contractual expense reimbursements. In their absence, performance would be reduced. Performance data current to the most recent month-end is available at northerntrust.com/funds.

The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

MATURITY ANALYSIS

At March 31, 2020, the maturity analysis for the U.S. Government Select Money Market Fund as a percentage of investments was:

MATURITY	%		We compare our Funds to the iMoneyNet Money Fund Report Averages, which are composites of professionally managed money market investments with similar investment objectives. Fund portfolio composition is subject to change. Information about Investment Considerations can be found on page 47.
OVERNIGHT (1 BUSINESS DAY)	52.1	%
2 - 15 DAYS	6.6
16 - 30 DAYS	6.5
31 - 60 DAYS	5.7
61 - 97 DAYS	7.6
98 - 180 DAYS	11.9
181 - 270 DAYS	6.1
271 - 366 DAYS	3.2
367 - 397 DAYS	0.3

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so.

An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (“FDIC”), any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Fund’s sponsor has no legal obligation to provide financial support to the Fund and you should not expect that the sponsor will provide financial support to the Fund at any time.

NORTHERN FUNDS ANNUAL REPORT 5 MONEY MARKET FUNDS

MONEY MARKET FUNDS

STATEMENTS OF ASSETS AND LIABILITIES MARCH 31, 2020

Amounts in thousands, except per share data	MONEY MARKET FUND			MUNICIPAL MONEY MARKET FUND			U.S. GOVERNMENT MONEY MARKET FUND		U.S. GOVERNMENT SELECT MONEY MARKET FUND
ASSETS:
Investments, at amortized cost, which approximates fair value		$362,394			$206,113			$8,760,514		$2,014,155
Repurchase agreements, at cost, which approximates fair value		82,000			–			8,091,456		1,643,871
Cash		602			9,297			–		–
Interest income receivable		581			982			20,281		4,461
Receivable for securities sold		20,096			–			–		24,997
Receivable for fund shares sold		57			120			121,922		4,691
Receivable from affiliates for expense reimbursements		10			6			34		11
Prepaid and other assets		8			7			12		8
Total Assets		465,748			216,525			16,994,219		3,692,194
LIABILITIES:
Cash overdraft		–			–			21,522		–
Payable for securities purchased		20,096			1,002			330,686		84,975
Payable for fund shares redeemed		–			–			44,583		2,463
Distributions payable to shareholders		556			358			9,099		1,921
Payable to affiliates:
Management fees		28			12			1,033		223
Custody fees		–			2			97		17
Transfer agent fees		9			4			239		51
Trustee fees		2			–			23		19
Accrued other liabilities		51			50			278		82
Total Liabilities		20,742			1,428			407,560		89,751
Net Assets		$445,006			$215,097			$16,586,659		$3,602,443
ANALYSIS OF NET ASSETS:
Capital stock		$445,044			$215,126			$16,586,639		$3,602,445
Distributable earnings		(38	)		(29	)		20		(2	)
Net Assets		$445,006			$215,097			$16,586,659		$3,602,443
Shares Outstanding ($.0001 par value, unlimited authorization)		445,002			215,061			16,586,672		3,602,483
Net Asset Value, Redemption and Offering Price Per Share		$1.00			$1.00			$1.00		$1.00

See Notes to the Financial Statements.

MONEY MARKET FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

STATEMENTS OF OPERATIONS FOR THE FISCAL YEAR ENDED MARCH 31, 2020

Amounts in thousands	MONEY MARKET FUND			MUNICIPAL MONEY MARKET FUND			U.S. GOVERNMENT MONEY MARKET FUND			U.S. GOVERNMENT SELECT MONEY MARKET FUND
INVESTMENT INCOME:
Interest income		$12,659			$5,189			$320,690			$59,934
Income from affiliates (Note 6)		–			–			36			–
Total Investment Income		12,659			5,189			320,726			59,934
EXPENSES:
Management fees		1,919			1,144			51,740			9,755
Custody fees		72			36			1,316			265
Transfer agent fees		59			60			2,755			519
Registration fees		23			22			36			28
Printing fees		26			26			196			50
Professional fees		44			44			268			83
Trustee fees		9			9			162			36
Other		19			23			147			41
Total Expenses		2,171			1,364			56,620			10,777
Less expenses contractually reimbursed by investment adviser		(163	)		(136	)		(1,495	)		(355	)
Less custodian credits		(8	)		(3	)		(15	)		(24	)
Net Expenses		2,000			1,225			55,110			10,398
Net Investment Income		10,659			3,964			265,616			49,536
NET REALIZED GAINS:
Net realized gains (losses) on:
Investments		8			37			86			22
Net Gains		8			37			86			22
Net Increase in Net Assets Resulting from Operations		$10,667			$4,001			$265,702			$49,558

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 7 MONEY MARKET FUNDS

MONEY MARKET FUNDS

STATEMENTS OF CHANGES IN NET ASSETS FOR THE FISCAL YEARS ENDED MARCH 31,

	MONEY MARKET FUND						MUNICIPAL MONEY MARKET FUND						U.S. GOVERNMENT MONEY MARKET FUND						U.S. GOVERNMENT SELECT MONEY MARKET FUND
Amounts in thousands	2020			2019			2020			2019			2020			2019			2020			2019
OPERATIONS:
Net investment income		$10,659			$10,300			$3,964			$7,587			$265,616			$312,278			$49,536			$64,202
Net realized gains		8			3			37			–			86			261			22			45
Net Increase in Net Assets Resulting from Operations		10,667			10,303			4,001			7,587			265,702			312,539			49,558			64,247
CAPITAL SHARE TRANSACTIONS:(1)
Net increase (decrease) in net assets resulting from capital share transactions		(163,371	)		272,351			(253,066	)		(408,768	)		(2,626,753	)		3,217,513			(188,717	)		13,112
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(163,371	)		272,351			(253,066	)		(408,768	)		(2,626,753	)		3,217,513			(188,717	)		13,112
DISTRIBUTIONS PAID:
Distributable earnings		(10,660	)		(10,303	)		(3,964	)		(7,589	)		(265,869	)		(312,392	)		(49,578	)		(64,226	)
Total Distributions Paid		(10,660	)		(10,303	)		(3,964	)		(7,589	)		(265,869	)		(312,392	)		(49,578	)		(64,226	)
Total Increase (Decrease) in Net Assets		(163,364	)		272,351			(253,029	)		(408,770	)		(2,626,920	)		3,217,660			(188,737	)		13,133
NET ASSETS:
Beginning of year		608,370			336,019			468,126			876,896			19,213,579			15,995,919			3,791,180			3,778,047
End of year		$445,006			$608,370			$215,097			$468,126			$16,586,659			$19,213,579			$3,602,443			$3,791,180

(1) The number of shares approximates the dollar amount of transactions.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

FINANCIAL HIGHLIGHTS FOR THE FISCAL YEARS ENDED MARCH 31,

MONEY MARKET FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$1.00			$1.00			$1.00			$1.00			$1.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.02			0.02			0.01			–	(1)		–	(1)
Net realized and unrealized gains (losses)(2)		–			–			–			–			–
Net increase from payment by affiliate		–			–			–			–	(3)		–	(4)
Total from Investment Operations		0.02			0.02			0.01			–			–
LESS DISTRIBUTIONS PAID:
From net investment income		(0.02	)		(0.02	)		(0.01	)		–	(5)		–	(5)
From net realized gains		–			–			–			–	(6)		–	(6)
Total Distributions Paid		(0.02	)		(0.02	)		(0.01	)		–			–
Net Asset Value, End of Year		$1.00			$1.00			$1.00			$1.00			$1.00
Total Return(7)		1.85	%		2.05	%		1.10	%		0.42	%		0.05	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$445,006			$608,370			$336,019			$164,606			$7,561,742
Ratio to average net assets of:
Expenses, net of reimbursements and credits(8)		0.34	%		0.35	%		0.29	%		0.34	%		0.26	%
Expenses, before reimbursements and credits		0.37	%		0.38	%		0.43	%		0.37	%		0.36	%
Net investment income, net of reimbursements and credits(8)		1.84	%		2.05	%		1.09	%		0.22	%		0.05	%
Net investment income (loss), before reimbursements and credits		1.81	%		2.02	%		0.95	%		0.19	%		(0.05	)%

(1) Per share amounts from net investment income were less than $0.01 per share.

(2) Per share amounts from net realized and unrealized gains (losses) were less than $0.01 per share.

(3) The Fund received a cash contribution from Northern Trust Corporation, the parent company of NTI, of approximately $136,000. The voluntary cash contribution represents less than $0.01 per share and had no effect on the Fund’s total return.

(4) The Fund received a cash contribution from Northern Trust Corporation, the parent company of NTI, of approximately $8,190,000. The voluntary cash contribution represents less than $0.01 per share and had no effect on the Fund’s total return.

(5) Per share amounts from distributions paid from net investment income were less than $0.01 per share.

(6) Per share amount from distributions paid from net realized gains was less than $0.01 per share.

(7) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(8) The impact on Net Assets due to any custody credits is less than 0.005%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 9 MONEY MARKET FUNDS

MONEY MARKET FUNDS

FINANCIAL HIGHLIGHTS continued

MUNICIPAL MONEY MARKET FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$1.00			$1.00			$1.00			$1.00			$1.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.01			0.01			0.01			–	(1)		–	(1)
Net realized and unrealized gains (losses)		–	(2)		–			–			0.01			–	(2)
Net increase from payment by affiliate		–			–			–			–	(3)		–
Total from Investment Operations		0.01			0.01			0.01			0.01			–
LESS DISTRIBUTIONS PAID:
From net investment income		(0.01	)		(0.01	)		(0.01	)		(0.01	)		–	(4)
From net realized gains		–			–			–			–	(5)		–	(5)
Total Distributions Paid		(0.01	)		(0.01	)		(0.01	)		(0.01	)		–
Net Asset Value, End of Year		$1.00			$1.00			$1.00			$1.00			$1.00
Total Return(6)		1.15	%		1.16	%		0.79	%		0.53	%		0.02	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$215,097			$468,126			$876,896			$203,856			$5,660,876
Ratio to average net assets of:
Expenses, net of reimbursements and credits(7)		0.35	%		0.35	%		0.22	%		0.34	%		0.09	%
Expenses, before reimbursements and credits		0.39	%		0.37	%		0.38	%		0.37	%		0.36	%
Net investment income, net of reimbursements and credits(7)		1.15	%		1.14	%		0.81	%		0.11	%		0.01	%
Net investment income (loss), before reimbursements and credits		1.11	%		1.12	%		0.65	%		0.08	%		(0.26	)%

(1) Per share amounts from net investment income were less than $0.01 per share.

(2) Per share amounts from net realized and unrealized gains (losses) were less than $0.01 per share.

(3) The Fund received a cash contribution from Northern Trust Corporation, the parent company of NTI, of approximately $91,000. The voluntary cash contribution represents less than $0.01 per share and had no effect on the Fund’s total return.

(4) Per share amounts from distributions paid from net investment income were less than $0.01 per share.

(5) Per share amount from distributions paid from net realized gains was less than $0.01 per share.

(6) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(7) The impact on Net Assets due to any custody credits is less than 0.005%.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

U.S. GOVERNMENT MONEY MARKET FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$1.00			$1.00			$1.00			$1.00			$1.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.02			0.02			0.01			–	(1)		–	(1)
Net realized and unrealized gains (losses)(2)		–			–			–			–			–
Total from Investment Operations		0.02			0.02			0.01			–			–
LESS DISTRIBUTIONS PAID:
From net investment income		(0.02	)		(0.02	)		(0.01	)		–	(3)		–	(3)
Total Distributions Paid		(0.02	)		(0.02	)		(0.01	)		–			–
Net Asset Value, End of Year		$1.00			$1.00			$1.00			$1.00			$1.00
Total Return(4)		1.70	%		1.79	%		0.78	%		0.12	%		0.01	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$16,586,659			$19,213,579			$15,995,919			$16,481,941			$3,359,761
Ratio to average net assets of:
Expenses, net of reimbursements and credits(5)		0.35	%		0.35	%		0.35	%		0.35	%		0.22	%
Expenses, before reimbursements and credits		0.36	%		0.36	%		0.36	%		0.36	%		0.36	%
Net investment income, net of reimbursements and credits(5)		1.70	%		1.80	%		0.77	%		0.15	%		0.01	%
Net investment income (loss), before reimbursements and credits		1.69	%		1.79	%		0.76	%		0.14	%		(0.13	)%

(1) Per share amounts from net investment income were less than $0.01 per share.

(2) Per share amounts from net realized and unrealized gains (losses) were less than $0.01 per share.

(3) Per share amounts from distributions paid from net investment income were less than $0.01 per share.

(4) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(5) The impact on Net Assets due to any custody credits is less than 0.005%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 MONEY MARKET FUNDS

MONEY MARKET FUNDS

FINANCIAL HIGHLIGHTS continued FOR THE FISCAL YEARS ENDED MARCH 31,

U.S. GOVERNMENT SELECT MONEY MARKET FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$1.00			$1.00			$1.00			$1.00			$1.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.02			0.02			0.01			–	(1)		–	(1)
Net realized and unrealized gains (losses)(2)		–			–			–			–			–
Total from Investment Operations		0.02			0.02			0.01			–			–
LESS DISTRIBUTIONS PAID:
From net investment income		(0.02	)		(0.02	)		(0.01	)		–	(3)		–	(3)
Total Distributions Paid		(0.02	)		(0.02	)		(0.01	)		–			–
Net Asset Value, End of Year		$1.00			$1.00			$1.00			$1.00			$1.00
Total Return(4)		1.69	%		1.79	%		0.78	%		0.15	%		0.02	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$3,602,443			$3,791,180			$3,778,047			$3,281,067			$3,887,950
Ratio to average net assets of:
Expenses, net of reimbursements and credits(5)		0.35	%		0.35	%		0.35	%		0.35	%		0.20	%
Expenses, before reimbursements and credits		0.37	%		0.37	%		0.37	%		0.36	%		0.36	%
Net investment income, net of reimbursements and credits(5)		1.69	%		1.78	%		0.80	%		0.14	%		0.01	%
Net investment income (loss), before reimbursements and credits		1.67	%		1.76	%		0.78	%		0.13	%		(0.15	)%

(1) Per share amounts from net investment income were less than $0.01 per share.

(2) Per share amounts from net realized and unrealized gains (losses) were less than $0.01 per share.

(3) Per share amounts from distributions paid from net investment income were less than $0.01 per share.

(4) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(5) The impact on Net Assets due to any custody credits is less than 0.005%.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MONEY MARKET FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
ABS COMMERCIAL PAPER – 7.9%
ABS Other – 7.9%
Antalis S.A., 1.86%, 4/8/20 (1)(2)		$1,000		$1,000
1.94%, 6/10/20 (1)(2)		3,000		2,989
Barton Capital S.A., 1.80%, 4/14/20 (2)		2,000		1,999
1.69%, 5/22/20 (2)		1,000		998
1.03%, 6/8/20 (1)(2)		3,000		2,994
Cancara Asset Securities LLC 0.89%, 6/9/20 (2)		4,000		3,993
Concord Minutemen Capital Co. LLC, Class A, 1.93%, 4/3/20 (1)(2)		1,000		1,000
Crown Point Capital Co. LLC, 1.73%, 8/18/20 (1)		4,000		4,000
1.73%, 8/19/20 (1)		1,000		1,000
Kells Funding LLC, 1.66%, 6/15/20 (1)(2)		6,000		5,979
1.32%, 6/23/20 (1)(2)		3,000		2,991
Regency Markets No. 1 LLC, 1.13%, 4/9/20 (2)		3,000		2,999
Sheffield Receivables Corp., 1.01%, 6/9/20 (2)		3,000		2,994
				34,936
Total ABS Commercial Paper
(Cost $34,936)				34,936
CERTIFICATES OF DEPOSIT – 25.2%
Banking – 24.5%
Bank of America N.A., New York Branch, (Floating, ICE LIBOR USD 3M + 0.02%), 1.78%, 5/4/20 (3)		2,000		2,000
Bank of Montreal, Chicago Branch,
(Floating, ICE LIBOR USD 3M + 0.06%), 1.90%, 4/17/20 (4)		2,000		2,000
0.72%, 3/10/21		3,000		3,000
Bank of Montreal, London Branch, 1.70%, 4/6/20		3,000		3,000
1.64%, 7/20/20		3,000		3,000
1.72%, 7/28/20		2,000		2,000
Bank of Nova Scotia, Houston Branch, (Floating, ICE LIBOR USD 3M + 0.13%), 1.84%, 5/13/20 (3)		2,000		2,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CERTIFICATES OF DEPOSIT – 25.2% – continued
Banking – 24.5% – continued
(Floating, ICE LIBOR USD 3M + 0.09%), 1.94%, 5/18/20 (3)		$3,000		$3,000
1.79%, 8/17/20		3,000		3,000
BNP Paribas S.A., New York Branch, 1.92%, 4/23/20		2,000		2,000
Canadian Imperial Bank of Commerce, 2.00%, 9/14/20		4,000		4,000
Commonwealth Bank of Australia, London, 2.65%, 4/30/20		4,000		4,000
Credit Agricole S.A., London Branch, 1.80%, 7/23/20		2,000		2,000
1.76%, 7/31/20		5,000		5,000
Credit Industrial et Commercial, London Branch, 1.85%, 8/20/20		3,000		3,000
Credit Industrial et Commercial, Paris Branch, 2.02%, 5/28/20		5,000		5,000
DZ Bank A.G. Deutsche Zentral-Genossenschaftsbank, New York, 1.80%, 7/21/20		3,000		3,000
1.79%, 7/23/20		3,000		3,000
DZ Bank A.G., London, 0.94%, 9/9/20		3,000		3,000
KBC Bank N.V., Brussels Branch, 1.70%, 5/4/20		4,000		4,000
Kookmin Bank, New York, 1.83%, 4/9/20		1,000		1,000
La Banque Postale 1.83%, 5/11/20		4,000		4,000
1.70%, 6/15/20		1,000		1,000
Mitsubishi UFJ Trust & Banking Corp., 1.79%, 4/29/20		1,000		1,000
1.76%, 5/15/20		1,000		1,000
1.69%, 5/21/20		1,000		1,000
1.64%, 6/2/20		1,000		1,000
MUFG Bank Ltd. 1.81%, 4/14/20		3,000		3,000
Natixis S.A., New York Branch, 1.72%, 6/3/20		3,000		3,000
Nordea Bank AB, New York Branch, 0.92%, 9/4/20		3,000		3,000

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CERTIFICATES OF DEPOSIT – 25.2% – continued
Banking – 24.5% – continued
Oversea-Chinese Banking Corp. Ltd., 1.88%, 5/4/20		$3,000		$3,000
Shizuoka Bank Ltd., New York Branch, 0.93%, 4/8/20		1,000		1,000
Societe Generale, London Branch, 1.80%, 7/17/20		1,000		1,000
Sumitomo Mitsui Trust Bank Ltd., London, 1.61%, 5/28/20		2,000		2,000
1.57%, 6/1/20		2,000		2,000
Svenska Handelsbanken AB, New York Branch, 1.92%, 12/23/20		1,000		1,000
Toronto Dominion Bank, London Branch, (Floating, ICE LIBOR USD 3M + 0.05%), 1.66%, 5/26/20 (3)		2,000		2,000
1.64%, 5/27/20		2,000		2,000
1.70%, 8/7/20		3,000		3,000
Toronto Dominion Bank, New York Branch, 1.89%, 4/3/20		3,000		3,000
(Floating, ICE LIBOR USD 1M + 0.25%), 1.63%, 4/6/20 (3)		3,000		3,000
1.87%, 4/27/20		2,000		2,000
Westpac Banking Corp, New York Branch, (Floating, ICE LIBOR USD 3M + 0.03%), 1.72%, 5/19/20 (3)		2,000		2,000
(Floating, ICE LIBOR USD 3M + 0.15%), 1.15%, 6/8/20 (3)		2,000		2,000
				109,000
Foreign Agencies – 0.7%
Korea Development Bank, London Branch, 1.76%, 7/29/20		2,000		2,000
1.72%, 8/6/20		1,000		1,000
				3,000
Total Certificates Of Deposit
(Cost $112,000)				112,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
COMMERCIAL PAPER – 5.7%
Banking – 4.8%
DBS Bank Ltd., 0.96%, 9/1/20 (2)		$2,000		$1,992
Nationwide Building Society 1.58%, 4/2/20 (2)		2,000		2,000
Natixis S.A., New York Branch, 1.62%, 6/24/20 (2)		2,000		1,993
Oversea-Chinese Banking Corp. Ltd., 1.96%, 4/17/20 (2)		2,000		1,998
(Floating, ICE LIBOR USD 3M + 0.11%), 1.85%, 5/7/20 (1)(3)		4,000		4,000
1.00%, 6/8/20 (2)		4,500		4,491
Oversea-Chinese Banking Corp., (Floating, ICE LIBOR USD 3M + 0.07%), 1.86%, 4/27/20 (1)(4)		3,000		3,000
Royal Bank of Canada, 0.71%, 3/9/21 (2)		2,000		1,987
				21,461
Brokerage – 0.2%
JPMorgan Securities LLC, (Floating, ICE LIBOR USD 3M + 0.16%), 1.97%, 4/23/20 (1)(3)		1,000		1,000
Foreign Agencies – 0.2%
Export Development Canada, 1.53%, 6/2/20 (2)		1,000		997
School – 0.5%
Yale University 1.17%, 4/1/20 (2)		2,000		2,000
Total Commercial Paper
(Cost $25,458)				25,458
CORPORATE NOTES/BONDS – 0.9%
Banking – 0.9%
Credit Agricole CIB, New York, (Floating, ICE LIBOR USD 3M + 0.39%), 2.12%, 5/11/20 (4)		3,000		3,001
Wells Fargo Bank N.A., (Floating, ICE LIBOR USD 1M + 0.35%), 1.37%, 4/6/20 (3)		1,000		1,000
				4,001
Total Corporate Notes/Bonds
(Cost $4,001)				4,001

See Notes to the Financial Statements.

MONEY MARKET FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
EURODOLLAR TIME DEPOSITS – 40.0%
Banking – 40.0%
Australia and New Zealand Banking Group, 0.03%, 4/1/20		$18,000		$18,000
0.06%, 4/1/20		3,000		3,000
Bank of Nova Scotia, Toronto Branch, 0.08%, 4/1/20		12,000		12,000
Barclays Bank PLC, London Branch, 0.30%, 4/1/20		12,000		12,000
Commonwealth Bank of Australia, London, 0.03%, 4/1/20		17,000		17,000
Credit Industrial et Commercial, Paris Branch, 0.06%, 4/1/20		13,000		13,000
Credit Suisse A.G., Cayman Islands Branch, 0.08%, 4/1/20		15,000		15,000
DNB Bank ASA, New York Branch, 0.03%, 4/1/20		22,000		22,000
KBC Bank N.V., New York Branch, 0.04%, 4/1/20		16,000		16,000
Mizuho Bank Ltd., New York Branch, 0.05%, 4/1/20		21,000		21,000
Societe Generale, Cayman Branch, 0.06%, 4/1/20		9,000		9,000
Svenska Handelsbanken AB, New York Branch, 0.01%, 4/1/20		8,000		8,000
0.03%, 4/1/20		12,000		12,000
				178,000
Total Eurodollar Time Deposits
(Cost $178,000)				178,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 1.8%
U.S. Treasury Floating Rate Notes – 1.8%
(Floating, U.S. Treasury 3M Bill MMY + 0.04%), 0.13%, 4/1/20 (3)		$3,000		$3,000
(Floating, U.S. Treasury 3M Bill MMY + 0.22%), 0.31%, 4/1/20 (3)		5,000		4,999
				7,999
Total U.S. Government Obligations
(Cost $7,999)				7,999
Investments, at Amortized Cost
($362,394)				362,394
REPURCHASE AGREEMENTS – 18.4% (5)
Repurchase Agreements – 18.4%
Citigroup Global Markets, Inc., dated 3/31/20, repurchase price $14,000, 0.02%, 4/1/20		14,000		14,000
Fixed Income Clearing Co., dated 3/31/20, repurchase price $5,000, 0.01%, 4/1/20		5,000		5,000
HSBC Securities (USA), Inc., dated 3/31/20, repurchase price $5,000, 0.18%, 4/1/20		5,000		5,000
JPMorgan Securities LLC, dated 3/31/20, repurchase price $3,000, 0.23%, 4/7/20		3,000		3,000
JPMorgan Securities LLC, dated 3/31/20, repurchase price $55,000, 0.02%, 4/1/20		55,000		55,000
				82,000
Total Repurchase Agreements
(Cost $82,000)				82,000
Total Investments – 99.9%
(Cost $444,394)				444,394
Other Assets less Liabilities – 0.1%				612
NET ASSETS – 100.0%				$445,006

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

MONEY MARKET FUND continued MARCH 31, 2020

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Discount rate at the time of purchase.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed. Maturity date represents the next interest reset date. The security’s legal final maturity date is longer than the reset date. Securities with longer maturity dates have a greater sensitivity to changes in liquidity, interest rate risk and/or credit risk.

(4) Variable rate security. Rate as of March 31, 2020 is disclosed.

(5) The nature and terms of the collateral received for the repurchase agreements are as follows:

NAME	FAIR VALUE (000s)		COUPON RATES		MATURITY DATES
Corporate Bonds		$8,561		2.02% – 4.63%		8/16/24 – 10/15/46
FHLMC		$47,086		2.00% – 7.00%		5/1/23 – 11/1/49
FNMA		$8,953		3.50% – 5.00%		7/1/23 – 3/1/50
GNMA		$611		5.00%		3/20/50
U.S. Treasury Bonds		$5		3.38%		5/15/44
U.S. Treasury Notes		$19,378		1.13% – 2.88%		2/15/22 – 2/28/22
Total		$84,594

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M - 1 Month

3M - 3 Month

ABS - Asset-Backed Securities

CIB - Corporate and Investment Bank

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

GNMA - Government National Mortgage Association

ICE - Intercontinental Exchange

LIBOR - London Interbank Offered Rate

MMY - Money Market Yield

PLC - Public Limited Company

USD - United States Dollar

Percentages shown are based on Net Assets.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments, which are carried at amortized cost, or at cost for repurchase agreements, which approximates fair value, by the above fair value hierarchy as of March 31, 2020:

	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Investments held by Money Market Fund (1)		$–		$444,394		$–		$444,394

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MUNICIPAL MONEY MARKET FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8%
Arizona – 0.5%
Arizona State School District COPS TANS, 2.00%, 7/28/20		$1,000		$1,003
California – 1.9%
Irvine Improvement Bond Act 1915 Assessment District No. 87-8 Special Assessment Adjustable Bonds, (State Street B&T Co. LOC), 0.60%, 4/1/20 (1)(2)		2,879		2,879
Irvine Improvement Bond Act 1915 Assessment District No. 94-13 Special Assessment Adjustable Bonds, (State Street B&T Co. LOC), 0.60%, 4/1/20 (1)(2)		1,000		1,000
Los Angeles Department of Water & Power System Variable Revenue Refunding Bonds, Subseries A-6, 0.67%, 4/1/20 (1)(2)		200		200
				4,079
Colorado – 3.4%
Colorado State Educational & Cultural Facilities Authority Adjustable Revenue Bonds, Bethany Lutheran School Project (U.S. Bank N.A. LOC), 4.71%, 4/8/20 (1)(2)		1,605		1,605
Colorado State Educational Loan Program TRANS, Series A, 3.00%, 6/29/20		4,000		4,017
Colorado State General Fund TRANS, 5.00%, 6/26/20		1,600		1,614
				7,236
Florida – 15.3%
Florida State Housing Finance Corp. MFH Mortgage Variable Revenue Bonds, Series K-1, Autumn Place Apartments (Suntrust Bank LOC), 5.27%, 4/8/20 (1)(2)		4,995		4,995
Florida State Housing Finance Corp. MFH Mortgage Variable Revenue Bonds, Series L, Hudson Ridge Apartments (JPMorgan Chase Bank N.A. LOC), 5.30%, 4/8/20 (1)(2)		1,000		1,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Florida – 15.3% – continued
Florida State Housing Finance Corp. MFH Revenue Refunding Mortgage Bonds, Cypress Lake Apartment M-1, 5.25%, 4/8/20 (1)(2)		$500		$500
Highlands County Health Facilities Authority Variable Revenue Bonds, Series A, Hospital Adventist Health System, 3.70%, 4/8/20 (1)(2)		8,000		8,000
Jacksonville Health Care Facilities Variable Revenue Refunding Bonds, Baptist Health, 3.70%, 4/8/20 (1)(2)		3,000		3,000
Miami-Dade County Special Obligation Juvenile Courthouse Revenue Bonds, Series B (AMBAC Insured) (TD Bank N.A. LOC), 4.50%, 4/8/20 (1)(2)		9,500		9,500
Pinellas County School District TRANS, 2.25%, 6/30/20		6,000		6,016
				33,011
Georgia – 1.2%
Savannah EDA Exempt Facility Variable Revenue Bonds (AMT), Consolidated Utilities Project (Branch Banking & Trust Co. LOC), 5.25%, 4/8/20 (1)(2)		2,630		2,630
Idaho – 1.2%
Idaho State G.O. Unlimited TANS, 3.00%, 6/30/20		2,500		2,510
Illinois – 11.2%
Aurora Variable Revenue Bonds, Counseling Center Fox Valley Project (BMO Harris Bank N.A. LOC), 4.00%, 4/8/20 (1)(2)		1,210		1,210
Illinois State Development Finance Authority Variable Convertible Revenue Bonds, Series B, Evanston Northwestern, 0.85%, 4/1/20 (1)(2)		1,800		1,800
Illinois State Development Finance Authority Variable Revenue Bonds, St. Ignatius College Project (PNC Bank N.A. LOC), 4.00%, 4/8/20 (1)(2)		2,850		2,850

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

MUNICIPAL MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Illinois – 11.2% – continued
Illinois State Finance Authority Adjustable Revenue Bonds, North Western University, 5.00%, 4/8/20 (1)(2)		$130		$130
Illinois State Finance Authority Variable Revenue Bonds, Northwestern Memorial Hospital University, 1.10%, 4/1/20 (1)(2)		150		150
Illinois State Finance Authority Variable Revenue Bonds, Series A, McKinley Foundation Project (Keybank N.A. LOC), 4.00%, 4/8/20 (1)(2)		6,645		6,645
Illinois State Finance Authority Variable Revenue Bonds, Series B, University of Chicago Medical Center (Wells Fargo Bank N.A. LOC), 0.75%, 4/1/20 (1)(2)		400		400
Illinois State Finance Authority Variable Revenue Bonds, Series D-2, University of Chicago Medical (PNC Bank N.A. LOC), 1.00%, 4/1/20 (1)(2)		1,500		1,500
Illinois State Finance Authority Variable Revenue Bonds, University Chicago Medical-E-2 (Wells Fargo Bank N.A. LOC), 0.85%, 4/1/20 (1)(2)		200		200
Illinois State Health Facilities Authority Variable Revenue Refunding Bonds, Evanston Hospital Corp., 4.85%, 4/8/20 (1)(2)		2,800		2,800
Tender Option Bond Trust Receipts/Certificates Various States Floaters Revenue Bonds, Series 2018-XF253, 5.00%, 4/8/20 (1)(2)(3)		6,400		6,400
				24,085
Indiana – 1.1%
Indiana State Finance Authority Health System Variable Revenue Refunding Bonds, Series J, Sisters of St. Francis (Barclays Bank PLC LOC), 0.85%, 4/1/20 (1)(2)		1,400		1,400

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Indiana – 1.1% – continued
Indianapolis Economic Development Variable Revenue Refunding Bonds, Brookhaven County (U.S. Bank N.A. LOC), 0.78%, 4/1/20 (1)(2)		$1,000		$1,000
				2,400
Iowa – 4.0%
Iowa State Finance Authority Educational Facilities Variable Revenue Bonds, Holy Family Catholic Schools (U.S. Bank N.A. LOC), 0.70%, 4/1/20 (1)(2)		3,850		3,850
Iowa State Finance Authority Variable Revenue Bonds, Wesley Retirement Services (Bank of America N.A. LOC), 4.71%, 4/8/20 (1)(2)		680		680
Iowa State Higher Education Loan Authority Private College Facilities Variable Revenue Bonds, Loras College Project (Bank of America N.A. LOC), 0.75%, 4/1/20 (1)(2)		400		400
Tender Option Bond Trust Receipts/Certificates Floater Revenue Bonds, Series 2017-XM0492, 5.00%, 4/8/20 (1)(2)(3)		3,750		3,750
				8,680
Kansas – 0.2%
University of Kansas Hospital Authority Health Facilities Variable Revenue Bonds, KU Health System (U.S. Bank N.A. LOC), 0.70%, 4/1/20 (1)(2)		375		375
Kentucky – 0.5%
Lexington-Fayette Urban County Government Variable Revenue Refunding Bonds, Eastland Parkway (Traditional Bank Inc., LOC), 5.50%, 4/8/20 (1)(2)		1,010		1,010

See Notes to the Financial Statements.

MONEY MARKET FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Maryland – 1.6%
Maryland State Health & Higher Educational Facilities Authority Variable Revenue Bonds, Odenton Christian School (PNC Bank N.A. LOC), 4.71%, 4/8/20 (1)(2)		$3,535		$3,535
Massachusetts – 3.3%
Massachusetts State Development Finance Agency Mass Credit Revenue Bonds, Series A, Wilber School Apartments (Bank of America N.A. LOC), 4.85%, 4/8/20 (1)(2)		500		500
Massachusetts State G.O. Limited RANS Series B, 4.00%, 5/21/20		6,500		6,525
				7,025
Michigan – 1.4%
Michigan State Finance Authority Revenue Notes, Series A-1 (State Aid Withholding), 4.00%, 8/20/20		1,000		1,010
Michigan State Finance Authority Revenue Notes, Series A-2 (State Aid Withholding) (JPMorgan Chase N.A. LOC), 2.00%, 8/20/20		1,000		1,003
University of Michigan General Variable Revenue Bonds, Series D-1, 0.55%, 4/1/20 (1)(2)		1,000		1,000
				3,013
Minnesota – 5.7%
City of Eden Prairie Minnesota MFH Variable Revenue Refunding Bonds, Eden Glen Apartments Project (Bridgewater Bank LOC), 6.00%, 4/8/20 (1)(2)		1,065		1,065
Minnesota State Higher Education Facilities Authority Variable Revenue Bonds, Series 6Q, Concordia University, St. Paul (U.S. Bank N.A. LOC), 1.10%, 4/1/20 (1)(2)		2,600		2,600

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Minnesota – 5.7% – continued
Minnetonka MFH Variable Revenue Bonds, Tonka Creek Project (Bridgewater Bank LOC), 6.00%, 4/8/20 (1)(2)		$3,295		$3,295
Owatonna City Housing Variable Revenue Refunding Bonds, Series A, Second Century Project (Bridgewater Bank LOC), 6.00%, 4/8/20 (1)(2)		1,805		1,805
Saint Louis Park MFH Variable Revenue Bonds, Shoreham Project (Bridgewater Bank LOC), 6.00%, 4/8/20 (1)(2)		3,410		3,410
				12,175
Mississippi – 1.4%
Mississippi State Business Finance Commission Gulf Opportunity Zone Variable Revenue Bonds, Series A, Chevron U.S.A., Inc., 0.65%, 4/1/20 (1)(2)		3,000		3,000
Missouri – 2.4%
Bridgeton IDA Variable Revenue Bonds, Stolze Printing Project (Carrollton Bank LOC), 5.31%, 4/8/20 (1)(2)		100		100
Platte County IDA Adjustable Revenue Refunding Bonds, Housing Wexford Project (FHLMC LOC), 6.00%, 4/8/20 (1)(2)		205		205
Saint Charles County IDA Variable Revenue Refunding Bonds, Casalon Apartments Project (FNMA Insured), 5.25%, 4/8/20 (1)(2)		4,910		4,910
				5,215
New Jersey – 2.3%
New Jersey State Health Care Facilities Financing Authority Variable Revenue Bonds, Virtua Health (Wells Fargo Bank N.A. LOC), 3.39%, 4/8/20 (1)(2)		5,000		5,000
New York – 0.6%
New York City Transitional Finance Authority Future Tax Secured Adjustable Subordinate Revenue Bonds, Series E-4, 0.75%, 4/1/20 (1)(2)		1,200		1,200

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

MUNICIPAL MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
North Carolina – 0.6%
Raleigh Comb Enterprise System Variable Revenue Bonds, Series B, 4.95%, 4/8/20 (1)(2)		$1,200		$1,200
Ohio – 1.0%
Ohio State Higher Educational Facilities Commission Revenue Bonds, Cleveland Clinic Health System Obligation, 0.75%, 4/1/20 (1)(2)		1,195		1,195
Ross County Hospital Adjustable Revenue Bonds, Adena Health System (PNC Bank N.A. LOC), 4.75%, 4/8/20 (1)(2)		990		990
				2,185
Oregon – 0.1%
Oregon State Facilities Authority Variable Revenue Bonds, Series A, Quatama Crossing Housing (FNMA LOC), 5.20%, 4/8/20 (1)(2)		300		300
Pennsylvania – 6.3%
Lancaster County Hospital Authority Senior Living Facilities Variable Revenue Bonds, Quarryville Presbyterian (Manufacturers & Traders LOC), 4.75%, 4/8/20 (1)(2)		8,540		8,540
RBC Municipal Products, Inc., Trust Revenue Bonds, Series E-101, Floater Certificates (Royal Bank of Canada LOC), 4.76%, 4/8/20 (1)(2)		5,000		5,000
				13,540
Rhode Island – 1.0%
Rhode Island State Health & Educational Building Corp. Higher Educational Facilities Variable Revenue Refunding Bonds, Bryant University (TD Bank N.A. LOC), 5.25%, 4/8/20 (1)(2)		2,120		2,120
South Carolina – 2.0%
Greenville County School District G.O. Limited Notes, Series C (SCSDE Insured), 4.00%, 6/1/20		2,900		2,913

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
South Carolina – 2.0% – continued
South Carolina Jobs-EDA Economic Development Hospital Variable Revenue Bonds, Prisma Health Obligation Group (U.S. Bank N.A. LOC), 1.10%, 4/1/20 (1)(2)		$1,500		$1,500
				4,413
South Dakota – 1.2%
South Dakota State Housing Development Authority MFH Variable Revenue Bonds, Country Meadows Apartments Project, 4.75%, 4/8/20 (1)(2)		2,500		2,500
Tennessee – 1.7%
Clarksville Public Building Authority Adjustable Revenue Bonds, Pooled Financing-Tennessee Bond Fund (Bank of America N.A. LOC), 0.97%, 4/1/20 (1)(2)		3,715		3,715
Texas – 17.6%
Bexar County HFA Variable Revenue Refunding Bonds, Altamonte Apartments Project (FNMA LOC), 5.50%, 4/8/20 (1)(2)		3,000		3,000
City of Austin Bonds, 1.18%, 6/2/20		3,000		3,000
Gulf Coast IDA Variable Revenue Bonds, Exxon Mobil Project, 0.65%, 4/1/20 (1)(2)		4,730		4,730
Harris County Hospital District Variable Revenue Refunding Bonds, Senior Lien (JPMorgan Chase Bank N.A. LOC), 4.95%, 4/8/20 (1)(2)		3,990		3,990
Houston Revenue TRANS, 3.00%, 6/26/20		3,000		3,013
JP Morgan Chase Putters/Drivers Various States Revenue Bonds, Series 5018, For Harris (JPMorgan Chase Bank N.A. LOC), 1.00%, 4/1/20 (1)(2)(3)		2,000		2,000
Mesquite Independent School District Variable G.O. Unlimited Bonds, Series A (PSF, Gtd.), 6.27%, 4/8/20 (1)(2)		2,160		2,160

See Notes to the Financial Statements.

MONEY MARKET FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
Texas – 17.6% – continued
Northwest Independent School District Variable G.O. Unlimited Bonds (PSF, Gtd.), 6.26%, 4/8/20 (1)(2)		$500		$500
Port of Arthur Navigation District Industrial Development Corp. Variable Revenue Bonds, Total Petrochemicals, 7.05%, 4/8/20 (1)(2)		3,600		3,600
RIB Floater Trust Revenue Bonds, Series 2019-10, Floater Certificates (Barclays Bank PLC LOC), 2.14%, 4/8/20 (1)(2)(3)		5,000		5,000
San Antonio Texas Bonds, 0.89%, 9/8/20		2,000		2,000
Tarrant County Cultural Education Facilities Finance Corp. Hospital Variable Revenue Refunding Bonds, Methodist Hospitals Dallas (TD Bank N.A. LOC), 0.81%, 4/1/20 (1)(2)		1,300		1,300
Tarrant County Cultural Educational Facilities Finance Corp. Hospital Variable Revenue Bonds, Series A-R, Methodist Hospitals Dallas (TD Bank N.A. LOC), 0.65%, 4/1/20 (1)(2)		2,400		2,400
Texas State Department of Housing & Community Affairs MFH Variable Revenue Bonds, Costa Mariposa Apartments, 5.31%, 4/8/20 (1)(2)		170		170
University of Texas System Bonds, 1.29%, 5/26/20		1,000		1,000
				37,863
Washington – 2.2%
Washington State Higher Education Facilities Authority Variable Revenue Bonds, Whitman College Project, 5.25%, 4/8/20 (1)(2)		2,915		2,915
Washington State Housing Finance Commission Variable Revenue Bonds, Draw Down Redmond Ridge Apartments (FHLB LOC), 3.25%, 4/8/20 (1)(2)		1,800		1,800
				4,715

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
MUNICIPAL INVESTMENTS – 95.8% – continued
West Virginia – 0.6%
West Virginia State Hospital Finance Authority Variable Revenue Refunding & Improvement Bonds, Series A, Cabell Hospital (Branch Banking & Trust LOC), 5.02%, 4/8/20 (1)(2)		$1,380		$1,380
Municipal States Pooled Securities – 2.3%
Blackrock Muniyield Quality Fund III, Inc., Variable Tax-Exempt Preferreds Bonds (AMT), 5.21%, 4/8/20 (1)(2)(3)		5,000		5,000
Total Municipal Investments
(Cost $206,113)				206,113
Total Investments – 95.8%
(Cost $206,113)				206,113
Other Assets less Liabilities – 4.2%				8,984
NET ASSETS – 100.0%				$215,097

(1) Rate is determined by a remarketing agent which, in its judgment, on the basis of prevailing financial markets, will be the lowest interest rate necessary to enable the remarketing agent to sell the bonds at a price equal to 100% of the principal amount.

(2) Variable rate security. Rate as of March 31, 2020 is disclosed. Maturity date represents the date when principal payments may be due, taking into account any call options exercised and any permissible maturity shortening features.

(3) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined in accordance with procedures established by the Board of Trustees of Northern Funds.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

AMBAC - American Municipal Bond Assurance Corporation

AMT - Alternative Minimum Tax

COPS - Certificates of Participation

EDA - Economic Development Authority

FHLB - Federal Home Loan Bank

FHLMC Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

G.O. - General Obligation

Gtd. - Guaranteed

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

MUNICIPAL MONEY MARKET FUND continued MARCH 31, 2020

HFA - Housing Finance Authority

IDA Industrial Development Authority

LOC - Letter of Credit

MFH - Multi-Family Housing

PLC - Public Limited Company

PSF - Permanent School Fund

RANS - Revenue Anticipation Notes

RIB - Residual Interest Bond

SCSDE - South Carolina State Department of Education

TANS - Tax Anticipation Notes

TRANS - Tax and Revenue Anticipation Notes

Percentages shown are based on Net Assets.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF TOTAL INVESTMENTS
City		5.4%
Hospital		20.7
Housing		13.9
Miscellaneous Revenues		7.9
School		11.9
State		10.8
University		10.7
All other sectors less than 5%		18.7
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments, which are carried at amortized cost, or at cost for repurchase agreements, which approximates fair value, by the above fair value hierarchy as of March 31, 2020:

	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Investments held by Municipal Money Market Fund (1)		$–		$206,113		$–		$206,113

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT MONEY MARKET FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 37.1% (1)
Federal Farm Credit Bank – 6.4%
FFCB Discount Notes, 2.04%, 4/7/20 (2)		$15,000		$14,995
2.06%, 4/22/20(2)		20,000		19,976
2.09%, 6/2/20 (2)		20,000		19,929
1.91%, 7/22/20 (2)		20,000		19,883
1.91%, 8/10/20 (2)		25,000		24,829
1.90%, 9/1/20 (2)		15,000		14,881
1.89%, 9/15/20 (2)		35,000		34,696
1.62%, 9/23/20 (2)		50,000		49,611
1.63%, 10/26/20 (2)		20,000		19,814
1.62%, 11/3/20 (2)		15,000		14,856
1.62%, 11/4/20 (2)		20,000		19,807
1.63%, 11/10/20 (2)		57,000		56,432
1.63%, 11/17/20 (2)		34,000		33,650
FFCB Notes,
(Floating, U.S. SOFR + 0.07%), 0.08%, 4/1/20 (3)		20,000		20,000
(Floating, U.S. SOFR + 0.08%), 0.09%, 4/1/20 (3)		19,000		19,000
(Floating, U.S. SOFR + 0.14%), 0.15%, 4/1/20 (3)		30,000		30,000
(Floating, U.S. Federal Funds + 0.10%), 0.19%, 4/1/20 (3)		160,000		159,963
(Floating, U.S. SOFR + 0.18%), 0.19%, 4/1/20 (3)		15,000		15,000
(Floating, U.S. SOFR + 0.19%), 0.20%, 4/1/20 (3)		35,000		35,000
(Floating, U.S. Federal Funds + 0.15%), 0.24%, 4/1/20 (3)		20,000		20,000
(Floating, U.S. Federal Funds + 0.22%), 0.31%, 4/1/20 (3)		65,000		64,992
(Floating, ICE LIBOR USD 3M - 0.14%), 1.77%, 4/1/20 (3)		75,000		75,000
(Floating, ICE LIBOR USD 1M - 0.05%), 0.97%, 4/6/20 (3)		55,000		55,000
(Floating, ICE LIBOR USD 1M + 0.09%), 1.45%, 4/6/20 (3)		55,000		55,000
(Floating, ICE LIBOR USD 1M + 0.00%), 0.71%, 4/14/20 (4)		65,000		65,000
(Floating, ICE LIBOR USD 1M + 0.08%), 1.02%, 4/30/20 (3)		45,000		44,999
(Floating, ICE LIBOR USD 3M - 0.14%), 1.57%, 5/13/20 (4)		60,000		60,000
				1,062,313

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 37.1% (1) – continued
Federal Home Loan Bank – 27.4%
FHLB Bonds, 1.69%, 4/17/20		$95,000		$94,999
2.63%, 5/28/20		40,000		40,026
1.59%, 6/17/20		190,000		189,990
1.59%, 6/23/20		55,000		54,995
1.63%, 7/6/20		100,000		100,000
1.63%, 10/28/20		36,500		36,512
FHLB Discount Notes, 1.57%, 4/7/20 (2)		150,000		149,961
1.58%, 4/9/20 (2)		185,000		184,935
1.67%, 4/22/20 (2)		36,000		35,965
1.20%, 5/28/20 (2)		240,000		239,540
1.61%, 6/2/20 (2)		95,000		94,738
1.59%, 6/12/20 (2)		50,000		49,842
1.51%, 6/25/20 (2)		165,000		164,414
1.51%, 7/1/20 (2)		150,000		149,431
0.09%, 7/13/20 (2)		85,000		84,978
1.39%, 7/16/20 (2)		145,000		144,411
0.09%, 7/17/20 (2)		145,000		144,933
0.43%, 9/4/20 (2)		110,000		109,790
0.49%, 9/9/20 (2)		70,000		69,844
0.43%, 9/11/20 (2)		200,000		199,602
0.15%, 10/1/20 (2)		35,000		34,973
0.58%, 12/7/20 (2)		130,000		129,476
0.35%, 12/29/20 (2)		100,000		99,736
0.45%, 3/8/21 (2)		41,000		40,825
FHLB Notes,
(Floating, U.S. SOFR + 0.02%), 0.03%, 4/1/20 (3)		125,000		125,000
(Floating, U.S. SOFR + 0.03%), 0.04%, 4/1/20 (3)		125,000		125,000
(Floating, U.S. SOFR + 0.06%), 0.07%, 4/1/20 (3)		45,000		45,000
(Floating, U.S. SOFR + 0.07%), 0.08%, 4/1/20 (3)		35,000		35,000
(Floating, U.S. SOFR + 0.08%), 0.09%, 4/1/20 (3)		160,000		160,000
(Floating, U.S. SOFR + 0.10%), 0.11%, 4/1/20 (3)		30,000		30,000
(Floating, U.S. SOFR + 0.15%), 0.16%, 4/1/20 (3)		70,000		70,000
(Floating, ICE LIBOR USD 3M - 0.21%), 1.69%, 4/6/20 (3)		100,000		100,000
(Floating, ICE LIBOR USD 3M - 0.17%), 1.73%, 4/6/20 (3)		25,000		25,000

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 37.1% (1) – continued
Federal Home Loan Bank – 27.4% – continued
(Floating, ICE LIBOR USD 3M - 0.17%), 1.70%, 4/8/20 (3)		$100,000		$100,000
(Floating, ICE LIBOR USD 3M - 0.17%), 1.71%, 4/9/20 (3)		100,000		100,000
(Floating, ICE LIBOR USD 1M - 0.08%), 0.68%, 4/20/20 (3)		150,000		150,000
(Floating, ICE LIBOR USD 3M - 0.18%), 1.62%, 4/28/20 (3)		225,000		225,000
(Floating, ICE LIBOR USD 3M - 0.14%), 1.63%, 5/4/20 (3)		130,000		130,000
(Floating, ICE LIBOR USD 3M - 0.19%), 1.50%, 5/15/20 (4)		120,000		120,059
(Floating, ICE LIBOR USD 3M - 0.21%), 1.49%, 5/18/20 (4)		150,000		150,000
(Floating, ICE LIBOR USD 3M - 0.21%), 1.01%, 6/25/20 (4)		205,000		205,000
				4,538,975
Federal Home Loan Mortgage Corporation – 3.2%
FHLMC Bonds, 1.38%, 5/1/20		60,000		59,959
2.38%, 2/16/21		45,000		45,473
FHLMC Discount Notes, 0.67%, 7/17/20 (2)		300,000		299,394
FHLMC Notes,
(Floating, U.S. SOFR + 0.05%), 0.06%, 4/1/20 (3)		40,000		40,000
(Floating, U.S. SOFR + 0.14%), 0.15%, 4/1/20 (3)		90,000		90,000
				534,826
Federal National Mortgage Association – 0.1%
FNMA Notes, (Floating, U.S. SOFR + 0.10%), 0.11%, 4/1/20 (3)		25,000		25,000
Total U.S. Government Agencies
(Cost $6,161,114)				6,161,114
U.S. GOVERNMENT OBLIGATIONS – 15.7%
U.S. Treasury Bills – 2.1%
0.10%, 4/2/20 (2)		100,000		99,950
0.08%, 7/2/20 (2)		200,000		199,957
1.82%, 8/13/20 (2)		50,000		49,665
				349,572

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 15.7% – continued
U.S. Treasury Bonds – 0.6%
1.63%, 6/30/20		$55,000		$54,933
2.63%, 8/15/20		45,000		45,137
				100,070
U.S. Treasury Floating Rate Notes – 3.5%
(Floating, U.S. Treasury 3M Bill MMY + 0.04%), 0.13%, 4/1/20 (3)		100,000		99,997
(Floating, U.S. Treasury 3M Bill MMY + 0.12%), 0.20%, 4/1/20 (3)		70,000		69,942
(Floating, U.S. Treasury 3M Bill MMY + 0.15%), 0.24%, 4/1/20 (3)		75,000		74,967
(Floating, U.S. Treasury 3M Bill MMY + 0.22%), 0.31%, 4/1/20 (3)		245,000		244,950
(Floating, U.S. Treasury 3M Bill MMY + 0.14%), 0.43%, 4/1/20 (3)		85,000		85,064
				574,920
U.S. Treasury Notes – 9.5%
2.25%, 3/31/21		100,000		101,977
U.S. Treasury Notes, 2.38%, 4/30/20		100,000		100,026
2.50%, 5/31/20		170,000		170,170
1.63%, 7/31/20		65,000		64,967
2.63%, 7/31/20		145,000		145,398
1.38%, 8/31/20		55,000		54,901
2.75%, 9/30/20		50,000		50,208
1.63%, 10/15/20		35,000		34,999
1.38%, 10/31/20		80,000		79,871
2.88%, 10/31/20		240,000		241,690
1.63%, 11/30/20		65,000		64,976
2.75%, 11/30/20		155,000		156,112
1.88%, 12/15/20		30,000		30,052
2.13%, 1/31/21		40,000		40,639
2.50%, 1/31/21		70,000		70,647

See Notes to the Financial Statements.

MONEY MARKET FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 15.7% – continued
U.S. Treasury Notes – 9.5% – continued
2.25%, 2/15/21		$100,000		$101,776
2.38%, 4/15/21		65,000		66,429
				1,574,838
Total U.S. Government Obligations
(Cost $2,599,400)				2,599,400
Investments, at Amortized Cost
($8,760,514)				8,760,514
REPURCHASE AGREEMENTS – 48.8%
Joint Repurchase Agreements – 0.4% (5)(6)
Bank of America Securities, Inc., dated 3/31/20, repurchase price $32,065, 1.32%, 4/7/20		32,057		32,057
Societe Generale, New York Branch, dated 3/31/20, repurchase price $32,056, 0.01%, 4/7/20		32,056		32,056
				64,113
Repurchase Agreements – 48.4% (7)
Bank of America N.A., dated 3/31/20, repurchase price $470,000, 0.01%, 4/1/20		470,000		470,000
Bank of Nova Scotia, dated 3/31/20, repurchase price $600,000, 0.02%, 4/1/20		600,000		600,000
Barclays Bank PLC, dated 3/24/20, repurchase price $50,003, 0.13%, 4/7/20		50,000		50,000
BNP Paribas S.A., dated 3/10/20, repurchase price $400,233, 0.70%, 4/9/20		400,000		400,000
BNY Mellon Capital Markets LLC, dated 3/31/20, repurchase price $900,000, 0.01%, 4/1/20		900,000		900,000
Citigroup Global Markets, Inc., dated 3/31/20, repurchase price $37,343, 0.01%, 4/1/20		37,343		37,343
Deutsche Bank A.G., dated 3/31/20, repurchase price $200,000, 0.01%, 4/1/20		200,000		200,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
REPURCHASE AGREEMENTS – 48.8% – continued
Repurchase Agreements – 48.4% (7) – continued
Federal Reserve Bank of New York, dated 3/31/20, repurchase price $250,000, 0.00%, 4/1/20		$250,000		$250,000
Fixed Income Clearing Co., dated 3/31/20, repurchase price $825,000, 0.01%, 4/1/20		825,000		825,000
JPMorgan Securities LLC, dated 3/31/20, repurchase price $150,089, 0.06%, 7/4/20		150,000		150,000
JPMorgan Securities LLC, dated 3/31/20, repurchase price $320,000, 0.02%, 4/1/20		320,000		320,000
NatWest Markets PLC, dated 3/31/20, repurchase price $250,001, 0.02%, 4/7/20		250,000		250,000
NatWest Markets PLC, dated 3/31/20, repurchase price $475,000, 0.02%, 4/1/20		475,000		475,000
NatWest Markets PLC, dated 3/31/20, repurchase price $750,001, 0.01%, 4/7/20		750,000		750,000
Nomura Securities International, Inc., dated 3/31/20, repurchase price $1,725,001, 0.02%, 4/1/20		1,725,000		1,725,000

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
REPURCHASE AGREEMENTS – 48.8% – continued
Repurchase Agreements – 48.4% (7) – continued
Nomura Securities International, Inc., dated 3/31/20, repurchase price $75,000, 0.01%, 4/1/20		$75,000		$75,000
Royal Bank of Canada, New York Branch, dated 3/31/20, repurchase price $550,002, 0.02%, 4/7/20		550,000		550,000
				8,027,343
Total Repurchase Agreements
(Cost $8,091,456)				8,091,456
Total Investments – 101.6%
(Cost $16,851,970)				16,851,970
Liabilities less Other Assets – (1.6%)				(265,311	)
NET ASSETS – 100.0%				$16,586,659

(1) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(2) Discount rate at the time of purchase.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed. Maturity date represents the next interest reset date. The security’s legal final maturity date is longer than the reset date. Securities with longer maturity dates have a greater sensitivity to changes in liquidity, interest rate risk and/or credit risk.

(4) Variable rate security. Rate as of March 31, 2020 is disclosed.

(5) Interest rates are reset daily and interest is payable monthly. Rates are determined based on technical market conditions, which currently are driven by supply and demand.

(6) The nature and terms of the collateral received for the joint repurchase agreements are as follows:

NAME	FAIR VALUE (000s)		COUPON RATES		MATURITY DATES
U.S. Treasury Bonds		$214		3.00%		11/15/45
U.S. Treasury Notes		$64,861		0.25% – 0.63%		7/15/21 – 7/15/29
Total		$65,075

(7) The nature and terms of the collateral received for the repurchase agreements are as follows:

NAME	FAIR VALUE (000s)		COUPON RATES		MATURITY DATES
FHLB		$295,874		0.00% – 7.13%		5/29/20 – 12/28/38
FHLMC		$659,140		0.00% – 7.00%		4/25/20 – 4/1/50
FNMA		$1,392,366		0.00% – 7.25%		4/15/20 – 3/1/50
GNMA		$1,100,271		2.50% – 7.00%		9/15/24 – 3/20/50
TVA		$31,881		0.00% – 7.13%		1/15/27 – 9/15/65
U.S. Treasury Bills		$445,740		0.00%		4/7/20 – 2/25/21
U.S. Treasury Bonds		$1,055,082		0.00% – 8.75%		5/15/20 – 2/15/50
U.S. Treasury Notes		$3,223,576		0.00% – 3.13%		4/15/20 – 2/15/30
Total		$8,203,930

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M - 1 Month

3M - 3 Month

FFCB - Federal Farm Credit Bank

FHLB - Federal Home Loan Bank

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

GNMA - Government National Mortgage Association

ICE - Intercontinental Exchange

LIBOR - London Interbank Offered Rate

MMY - Money Market Yield

PLC - Public Limited Company

SOFR - Secured Overnight Financing Rate

TVA - Tennessee Valley Authority

USD - United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments, which are carried at amortized cost, or at cost for repurchase agreements, which approximates fair value, by the above fair value hierarchy as of March 31, 2020:

	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Investments held by U.S. Government Money Market Fund (1)		$–		$16,851,970		$–		$16,851,970

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT SELECT MONEY MARKET FUND

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 40.2% (1)
Federal Farm Credit Bank – 8.0%
FFCB Discount Notes, 2.04%, 4/7/20 (2)		$3,000		$2,999
0.57%, 4/17/20 (2)		40,000		39,989
2.06%, 4/22/20 (2)		3,000		2,996
1.60%, 5/7/20 (2)		45,000		44,929
1.64%, 5/19/20 (2)		2,000		1,996
1.61%, 6/16/20 (2)		3,000		2,990
1.91%, 7/22/20 (2)		5,000		4,971
1.91%, 8/10/20 (2)		4,000		3,973
1.61%, 8/21/20 (2)		4,000		3,975
1.90%, 9/1/20 (2)		3,000		2,976
1.89%, 9/15/20 (2)		5,000		4,956
1.62%, 9/23/20 (2)		5,000		4,961
1.63%, 10/26/20 (2)		2,000		1,981
1.62%, 11/3/20 (2)		2,000		1,981
1.62%, 11/4/20 (2)		5,000		4,952
1.62%, 11/10/20 (2)		7,000		6,930
0.19%, 11/17/20 (2)		12,000		11,922
FFCB Notes,
(Floating, U.S. SOFR + 0.07%), 0.08%, 4/1/20 (3)		5,000		5,000
(Floating, U.S. SOFR + 0.08%), 0.09%, 4/1/20 (3)		4,000		4,000
(Floating, U.S. SOFR + 0.14%), 0.15%, 4/1/20 (3)		5,000		5,000
(Floating, U.S. Federal Funds + 0.10%), 0.19%, 4/1/20 (3)		30,000		29,993
(Floating, U.S. SOFR + 0.18%), 0.19%, 4/1/20 (3)		3,000		3,000
(Floating, U.S. SOFR + 0.19%), 0.20%, 4/1/20 (3)		6,000		6,000
(Floating, U.S. Federal Funds + 0.14%), 0.23%, 4/1/20 (3)		10,000		10,003
(Floating, U.S. Federal Funds + 0.15%), 0.24%, 4/1/20 (3)		5,000		5,000
(Floating, U.S. Federal Funds + 0.22%), 0.31%, 4/1/20 (3)		15,000		14,998
(Floating, ICE LIBOR USD 3M - 0.14%), 1.77%, 4/1/20 (3)		15,000		15,000
(Floating, ICE LIBOR USD 1M + 0.09%), 1.45%, 4/6/20 (3)		10,000		10,000
(Floating, ICE LIBOR USD 1M + 0.00%), 0.71%, 4/14/20 (4)		10,000		10,000

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 40.2% (1)
Federal Farm Credit Bank – 8.0% – continued
(Floating, ICE LIBOR USD 1M + 0.08%), 1.02%, 4/30/20 (3)		$8,000		$8,000
(Floating, ICE LIBOR USD 3M - 0.14%), 1.57%, 5/13/20 (4)		15,000		15,000
				290,471
Federal Home Loan Bank – 32.2%
FHLB Bonds, 1.69%, 4/17/20		15,000		15,000
2.63%, 5/28/20		5,000		5,003
2.25%, 6/3/20		24,515		24,517
1.59%, 6/17/20		35,000		34,998
1.59%, 6/23/20		10,000		9,999
1.63%, 7/6/20		15,000		15,000
0.62%, 9/8/20		120,000		120,009
1.63%, 10/28/20		7,570		7,573
FHLB Discount Notes, 1.57%, 4/7/20 (2)		30,000		29,992
1.58%, 4/9/20 (2)		35,000		34,988
1.67%, 4/22/20 (2)		6,000		5,994
1.20%, 5/28/20 (2)		50,000		49,904
1.61%, 6/2/20 (2)		20,000		19,945
1.51%, 6/25/20 (2)		35,000		34,876
1.51%, 7/1/20 (2)		30,000		29,886
0.09%, 7/13/20 (2)		45,000		44,988
1.39%, 7/16/20 (2)		40,000		39,838
0.09%, 7/17/20 (2)		35,000		34,984
0.43%, 9/4/20 (2)		65,000		64,876
0.49%, 9/9/20 (2)		15,000		14,967
0.15%, 10/1/20 (2)		10,000		9,992
0.58%, 12/7/20 (2)		30,000		29,879
0.35%, 12/29/20 (2)		20,000		19,947
0.45%, 3/8/21 (2)		9,000		8,962
FHLB Notes,
(Floating, U.S. SOFR + 0.02%), 0.03%, 4/1/20 (3)		25,000		25,000
(Floating, U.S. SOFR + 0.03%), 0.04%, 4/1/20 (3)		46,000		46,000
(Floating, U.S. SOFR + 0.06%), 0.07%, 4/1/20 (3)		10,000		10,000
(Floating, U.S. SOFR + 0.07%), 0.08%, 4/1/20 (3)		5,000		5,000
(Floating, U.S. SOFR + 0.08%), 0.09%, 4/1/20 (3)		55,000		55,000

See Notes to the Financial Statements.

MONEY MARKET FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT AGENCIES – 40.2% (1)
Federal Home Loan Bank – 32.2% – continued
(Floating, U.S. SOFR + 0.10%), 0.11%, 4/1/20 (3)		$6,000		$6,000
(Floating, U.S. SOFR + 0.12%), 0.13%, 4/1/20 (3)		6,000		6,000
(Floating, U.S. SOFR + 0.15%), 0.16%, 4/1/20 (3)		15,000		15,000
(Floating, ICE LIBOR USD 3M - 0.21%), 1.69%, 4/6/20 (3)		22,000		22,000
(Floating, ICE LIBOR USD 3M - 0.17%), 1.70%, 4/8/20 (3)		15,000		15,000
(Floating, ICE LIBOR USD 3M - 0.17%), 1.71%, 4/9/20 (3)		20,000		20,000
(Floating, ICE LIBOR USD 1M - 0.08%), 0.68%, 4/20/20 (3)		25,000		25,000
(Floating, ICE LIBOR USD 3M - 0.19%), 1.62%, 4/27/20 (3)		60,000		60,000
(Floating, ICE LIBOR USD 3M - 0.18%), 1.62%, 4/28/20 (3)		50,000		50,000
(Floating, ICE LIBOR USD 3M - 0.14%), 1.63%, 5/4/20 (3)		25,000		25,000
(Floating, ICE LIBOR USD 3M - 0.19%), 1.50%, 5/15/20 (4)		25,000		25,012
(Floating, ICE LIBOR USD 3M - 0.21%), 1.49%, 5/18/20 (4)		25,000		25,000
(Floating, ICE LIBOR USD 3M - 0.21%), 1.01%, 6/25/20 (4)		18,000		18,000
				1,159,129
Total U.S. Government Agencies
(Cost $1,449,600)				1,449,600
U.S. GOVERNMENT OBLIGATIONS – 15.7%
U.S. Treasury Bills – 3.1%
0.10%, 4/2/20 (2)		20,000		19,990
0.03%, 4/21/20 (2)		20,000		20,000
0.03%, 5/19/20 (2)		20,000		19,999
0.08%, 7/2/20 (2)		40,000		39,991
1.82%, 8/13/20 (2)		10,000		9,933
				109,913
U.S. Treasury Bonds – 0.6%
1.63%, 6/30/20		10,000		9,988
2.63%, 8/15/20		10,000		10,030
				20,018

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
U.S. GOVERNMENT OBLIGATIONS – 15.7% – continued
U.S. Treasury Floating Rate Notes – 3.3%
(Floating, U.S. Treasury 3M Bill MMY + 0.04%), 0.13%, 4/1/20 (3)		$20,000		$20,000
(Floating, U.S. Treasury 3M Bill MMY + 0.12%), 0.20%, 4/1/20 (3)		20,000		19,983
(Floating, U.S. Treasury 3M Bill MMY + 0.15%), 0.24%, 4/1/20 (3)		15,000		14,994
(Floating, U.S. Treasury 3M Bill MMY + 0.22%), 0.31%, 4/1/20 (3)		45,000		44,992
(Floating, U.S. Treasury 3M Bill MMY + 0.14%), 0.43%, 4/1/20 (3)		20,000		20,015
				119,984
U.S. Treasury Notes – 8.7%
2.38%, 4/30/20		15,000		15,004
2.50%, 5/31/20		30,000		30,030
2.50%, 6/30/20		10,000		10,017
2.63%, 7/31/20		20,000		20,055
1.38%, 8/31/20		10,000		9,982
2.75%, 9/30/20		10,000		10,041
1.63%, 10/15/20		5,000		5,000
2.88%, 10/31/20		45,000		45,317
2.63%, 11/15/20		20,000		20,120
1.63%, 11/30/20		15,000		14,994
2.75%, 11/30/20		30,000		30,215
1.88%, 12/15/20		5,000		5,009
2.13%, 1/31/21		10,000		10,160
2.50%, 1/31/21		15,000		15,139
2.25%, 2/15/21		5,000		5,089
1.13%, 2/28/21		58,000		58,248
2.38%, 4/15/21		10,000		10,220
				314,640
Total U.S. Government Obligations
(Cost $564,555)				564,555
Investments, at Amortized Cost
($2,014,155)				2,014,155

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 MONEY MARKET FUNDS

SCHEDULE OF INVESTMENTS

U.S. GOVERNMENT SELECT MONEY MARKET FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
REPURCHASE AGREEMENTS – 45.6% (5)
Repurchase Agreements – 45.6%
Bank of America N.A., dated 3/31/20, repurchase price $650,000, 0.01%, 4/1/20		$650,000		$650,000
Canadian Imperial Bank of Commerce, dated 2/5/20, repurchase price $100,280, 1.60%, 4/7/20		100,000		100,000
Citigroup Global Markets, Inc., dated 3/31/20, repurchase price $68,871, 0.01%, 4/1/20		68,871		68,871
Fixed Income Clearing Co., dated 3/31/20, repurchase price $175,000, 0.01%, 4/1/20		175,000		175,000
JPMorgan Securities LLC, dated 3/31/20, repurchase price $650,000, 0.02%, 4/1/20		650,000		650,000
				1,643,871
Total Repurchase Agreements
(Cost $1,643,871)				1,643,871
Total Investments – 101.5%
(Cost $3,658,026)				3,658,026
Liabilities less Other Assets – (1.5%)				(55,583	)
NET ASSETS – 100.0%				$3,602,443

(1) The obligations of certain U.S. government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

(2) Discount rate at the time of purchase.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed. Maturity date represents the next interest reset date. The security’s legal final maturity date is longer than the reset date. Securities with longer maturity dates have a greater sensitivity to changes in liquidity, interest rate risk and/or credit risk.

(4) Variable rate security. Rate as of March 31, 2020 is disclosed.

(5) The nature and terms of the collateral received for the repurchase agreements are as follows:

NAME	FAIR VALUE (000s)		COUPON RATES		MATURITY DATES
FHLB		$27,931		2.00% – 4.15%		10/28/22 – 2/25/36
FHLMC		$514,348		2.50% – 7.00%		6/1/20 – 3/1/50
FNMA		$201,553		0.00% – 6.63%		1/15/23 – 3/1/50
GNMA		$697,453		3.50% – 6.50%		4/15/32 – 3/20/50
TVA		$301		0.00%		6/15/35
U.S. Treasury Bonds		$17		0.75%		2/15/42
U.S. Treasury Notes		$248,737		0.50% – 2.88%		2/29/24 – 5/15/24
Total		$1,690,340

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M - 1 Month

3M - 3 Month

FFCB - Federal Farm Credit Bank

FHLB - Federal Home Loan Bank

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

GNMA - Government National Mortgage Association

ICE - Intercontinental Exchange

LIBOR - London Interbank Offered Rate

MMY - Money Market Yield

SOFR - Secured Overnight Financing Rate

TVA - Tennessee Valley Authority

USD - United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

MONEY MARKET FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 - Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 - Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 - Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments, which are carried at amortized cost, or at cost for repurchase agreements, which approximates fair value, by the above fair value hierarchy as of March 31, 2020:

	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Investments held by U.S. Government Select Money Market Fund (1)		$–		$3,658,026		$–		$3,658,026

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 MONEY MARKET FUNDS

MONEY MARKET FUNDS

NOTES TO THE FINANCIAL STATEMENTS

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Money Market, Municipal Money Market, U.S. Government Money Market and U.S. Government Select Money Market Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

The Money Market Fund and Municipal Money Market Fund seek to qualify as retail money market funds in accordance with criteria established by the U.S. Securities and Exchange Commission (“SEC”). The U.S. Government Money Market Fund and the U.S. Government Select Money Market Fund seek to qualify as government money market funds in accordance with criteria established by the SEC.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

A) VALUATION OF SECURITIES The investments held by the Funds are valued at amortised cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value. Under this method, investments purchased at a discount or premium are valued by accreting or amortizing the difference between the original purchase price and maturity value of the issue over the period to effective maturity.

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) CREDIT ENHANCEMENTS Certain investments owned by the Funds (primarily the Money Market Fund and Municipal Money Market Fund) are covered by insurance issued by private insurers, are backed by an escrow or trust containing U.S. government securities or U.S. government agency securities, or are otherwise supported by letters of credit, standby purchase agreements or other liquidity facilities. Such enhancements may ensure the timely payment of the security’s principal and interest or may shorten the security’s maturity. However, such enhancements do not guarantee the market value of the securities or the value of a Fund’s shares. Additionally, there is no guarantee that an insurer will meet its obligations. For example, exposure to securities involving sub-prime mortgages may cause a municipal bond insurer’s rating to be downgraded or may cause the bond insurer to become insolvent, which may affect the prices and liquidity of municipal obligations insured by the insurer.

C) REPURCHASE AGREEMENTS The Funds may enter into repurchase agreements under the terms of a master repurchase agreement by which the Funds purchase securities for cash from a seller and agree to resell those securities to the same seller at a specific price within a specified time or with an indefinite life and liquidity feature, which allows the Funds to resell the securities quarterly. The interest rate on such repurchase agreements resets daily. During the term of a repurchase agreement, the fair value of the underlying collateral, including accrued interest, is required to equal or exceed the fair value of the repurchase agreement. The underlying collateral for tri-party repurchase agreements is held in accounts for Northern Trust, as agent of the Funds, at The Bank of New York Mellon, State Street Bank and Trust Company or JPMorgan Chase which, in turn, holds securities through the book-entry system at the Federal Reserve Bank of New York. The underlying collateral for other repurchase agreements is held in a customer-only account for Northern Trust, as custodian for the Funds, at the Federal Reserve Bank of Chicago. The Funds are subject to credit risk on repurchase agreements to the extent that the counterparty fails to perform under the agreement and the value of the collateral received falls below the agreed repurchase price. If the seller defaults and the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of collateral by the Funds may be delayed or limited. Certain Funds have entered into such repurchase agreements at March 31, 2020, as reflected in their accompanying Schedules of Investments.

Pursuant to exemptive relief granted by the SEC, U.S. Government Money Market Fund and certain other money market portfolios advised by NTI and Northern Trust may enter into joint repurchase agreements with non-affiliated counterparties through a master repurchase agreement. NTI administers and manages these joint repurchase agreements in accordance with and as part

MONEY MARKET FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MARCH 31, 2020

of its duties under its management agreements with the Funds and does not collect any additional fees from the Funds for such services. The U.S. Government Money Market Fund has entered into such joint repurchase agreements at March 31, 2020, as reflected in its accompanying Schedule of Investments.

The Funds may enter into transactions subject to enforceable netting arrangements (“Netting Arrangements”) under a repurchase agreement. Generally, Netting Arrangements allow the Funds to offset any exposure to a specific counterparty with any collateral received or delivered to that counterparty. In addition, Netting Arrangements provide the right for the non-defaulting party to liquidate the collateral and calculate the net exposure to the defaulting party or request additional collateral. Generally, the Funds manage their cash collateral and securities collateral on a counterparty basis. As of March 31, 2020, the Funds have not invested in any portfolio securities other than the repurchase agreements described below, with gross exposures on the Statements of Assets and Liabilities, that could be netted subject to Netting Arrangements.

The following table presents the repurchase agreements, which are subject to Netting Arrangements, as well as the collateral delivered related to those repurchase agreements.

				GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENTS OF ASSETS AND LIABILITIES		FINANCIAL INSTRUMENTS			NET AMOUNT*
Money Market	Citigroup	$	14,000	$	(14,000	)	$	–
	Fixed Income Clearing		5,000		(5,000	)		–
	HSBC Securities		5,000		(5,000	)		–
	JPMorgan		58,000		(58,000	)		–
	Total	$	82,000	$	(82,000	)	$	–
U.S. Government Money Market	Bank of America	$	502,057	$	(502,057	)	$	–
	Bank of Nova Scotia		600,000		(600,000	)		–
	Barclays Capital		50,000		(50,000	)		–
	BNP Paribas		400,000		(400,000	)		–
	BNY Mellon		900,000		(900,000	)		–
	Citgroup		37,343		(37,343	)		–
	Deutsche Bank		200,000		(200,000	)		–
	Federal Reserve Bank of New York		250,000		(250,000	)		–
	Fixed Income Clearing Co.		825,000		(825,000	)		–
	JPMorgan		470,000		(470,000	)		–
	NatWest		1,475,000		(1,475,000	)		–
	Nomura Securities		1,800,000		(1,800,000	)		–
	Royal Bank of Canada		550,000		(550,000	)		–
	Societe Generale		32,056		(32,056	)		–
	Total	$	8,091,456	$	(8,091,456	)	$	–
U.S. Government Select Money Market	Bank of America	$	650,000	$	(650,000	)	$	–
	Canadian Imperial Bank of Commerce		100,000		(100,000	)		–
	Citigroup		68,871		(68,871	)		–
	Fixed Income Clearing		175,000		(175,000	)		–
	JPMorgan		650,000		(650,000	)		–
	Total	$	1,643,871	$	(1,643,871	)	$	–

* Collateral received is reflected up to the fair value of the repurchase agreement. Refer to the Schedules of Investments.

NORTHERN FUNDS ANNUAL REPORT 33 MONEY MARKET FUNDS

MONEY MARKET FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

D) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income, if any, is recognized on an accrual basis and includes amortization of premiums and accretion of discounts. Certain Funds may receive dividend income, if any, from investment companies. Dividend income is recognized on the ex-dividend date. The Municipal Money Market Fund’s income may be subject to certain state and local taxes and, depending on an individual shareholder’s tax status, the federal alternative minimum tax.

E) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

F) LIQUIDITY FEES AND REDEMPTION GATES For the Money Market Fund and Municipal Money Market Fund only, each Fund may impose a liquidity fee of up to 2 percent on redemptions from the Fund or temporarily restrict redemptions from the Fund for up to 10 business days in any given 90-day period (a “redemption gate”) in the event that the Fund’s weekly liquid assets fall below the following thresholds:

30 percent weekly liquid assets – If a Fund’s weekly liquid assets fall below 30 percent of the Fund’s total assets as of the end of a business day, and the Board determines it is in the best interests of the Fund, the Board may impose a liquidity fee of no more than 2 percent of the amount redeemed and/or a redemption gate that temporarily suspends the right of redemption. Liquidity fees and/or redemption gates may be implemented as early as the same business day that the weekly liquid assets of the Fund fall below 30 percent of the total assets.

10 percent weekly liquid assets – If a Fund’s weekly liquid assets fall below 10 percent of the Fund’s total assets as of the end of a business day, the Fund will impose, at the beginning of the next business day, a liquidity fee of 1 percent of the amount redeemed, unless the Board determines that imposing such a fee would not be in the best interests of the Fund or determines that a lower or higher fee (not to exceed 2 percent) would be in the best interest of the Fund.

If a Fund imposes a redemption gate, the Fund and the Fund’s authorized intermediaries will not accept redemption orders until the Fund has notified shareholders that the redemption gate has been lifted.

Liquidity fees and redemption gates may be terminated at any time at the discretion of the Board. In addition, liquidity fees and redemption gates will terminate at the beginning of the next business day once the Fund has invested 30 percent or more of its total assets in weekly liquid assets. A Fund may only suspend redemptions for up to 10 business days in any 90-day period.

Liquidity fees would generally be used to assist the Funds to stem redemptions during times of market stress.

A liquidity fee imposed by a Fund will reduce the amount you will receive upon the redemption of your shares, and will generally decrease the amount of any capital gain or increase the amount of any capital loss you will recognize with respect to the redemption.

If a Fund’s weekly liquid assets fall below 10 percent of the Fund’s total assets, the Fund reserves the right to permanently suspend redemptions and liquidate if the Board determines that it is not in the best interests of the Fund to continue operating.

Liquidity fees, if any, are included in Payments for Shares Redeemed in Note 9 — Capital Share Transactions. No liquidity fees or redemption gates were imposed by the Money Market Fund or Municipal Money Market Fund during the fiscal year ended March 31, 2020.

G) DISTRIBUTIONS TO SHAREHOLDERS Distribution of dividends from net investment income are declared daily and paid monthly. Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date. The timing and character of distributions determined in accordance with federal income tax regulations may differ from financial statement amounts determined in accordance with U.S. GAAP due to differences in the treatment and recognition of investment income and realized gains and losses. These differences are primarily related to the capital loss carryforwards. Inherent differences in the recognition of income and capital gains for federal income tax purposes, which are permanent, may result in periodic reclassifications in the Funds’ capital accounts. These reclassifications may relate to net operating losses and expired capital loss carryforwards. These reclassifications have no impact on the net assets or the net asset value (“NAV”) of the Funds.

At March 31, 2020, the following reclassifications were recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)		ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)
Money Market		$2		$(2)
U.S. Government Money Market		253		(253	)
U.S. Government Select Money Market		42		(42	)

H) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and tax-exempt income to its shareholders.

MONEY MARKET FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MARCH 31, 2020

The Regulated Investment Company Modernization Act of 2010 (the “Act”) allows capital losses to be carried forward for an unlimited period and to retain their character as either short-term or long-term. The Funds’ ability to utilize capital loss carry-forwards in the future may be limited under the Code and related regulations based on the results of future transactions.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
Municipal Money Market		$29		$–

At March 31, 2020, the tax components of undistributed net investment income and realized gains, including amounts declared but not yet paid for federal income tax purposes, were as follows:

	UNDISTRIBUTED
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Money Market		$–		$ 514		$–
Municipal Money Market		358		–		–
U.S. Government Money Market		–		9,139		–
U.S. Government Select Money Market		–		1,937		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Money Market		$ –		$ 11,250		$–
Municipal Money Market		4,109		–		–
U.S. Government Money Market		–		292,087		–
U.S. Government Select Money Market		–		54,461		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	TAX-EXEMPT INCOME		ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Money Market		$ –		$ 9,571		$–
Municipal Money Market		7,788		–		–
U.S. Government Money Market		–		$293,380		–
U.S. Government Select Money Market		–		61,310		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

NORTHERN FUNDS ANNUAL REPORT 35 MONEY MARKET FUNDS

MONEY MARKET FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

The Funds did not have any borrowings or incur any interest expense for the fiscal year ended March 31, 2020. There were no outstanding loan amounts at March 31, 2020

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of each Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL
	ANNUAL MANAGEMENT FEES			EXPENSE LIMITATIONS
Money Market		0.33	%		0.35	%
Municipal Money Market		0.33	%		0.35	%
U.S. Government Money Market		0.33	%		0.35	%
U.S. Government Select Money Market		0.33	%		0.35	%

The contractual reimbursement arrangements described above are expected to continue until at least July 31, 2020 with respect to the Money Market Fund, Municipal Money Market Fund and U.S. Government Money Market Fund and until at least January 22, 2021 for the U.S. Government Select Money Market Fund. The contractual reimbursement arrangements will continue automatically for periods of one year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

NTI may reimburse additional expenses or waive all or a portion of the management fees of a Fund from time to time, including to avoid a negative yield. Any such additional expense reimbursement or waiver would be voluntary and could be implemented, increased or decreased or discontinued at any time. There is no guarantee that a Fund will be able to avoid a negative yield. Any such reimbursement or waiver is paid monthly to the Funds by NTI. There were no voluntary reimbursements during the year ended March 31, 2020.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.019 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return. Custodian credits are shown as Less custodian credits in the Funds’ Statements of Operations.

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

MONEY MARKET FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MARCH 31, 2020

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S. Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or at the discretion of the Trust, a money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specified conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the following Fund engaged in purchases and/or sales of securities from an affiliated entity:

Amount in thousands	PURCHASES		SALES*
Money Market		$ 14,500		$ –
Municipal Money Market		214,185		(290,165	)

* During the fiscal year ended March 31, 2020, the realized gain (loss) associated with these transactions was zero.

Certain uninvested cash balances of the Funds may receive a return from Northern Trust based on a market return it receives less an administrative fee. These amounts (if any) are shown on the Funds’ Statements of Operations as Income from affiliates.

On March 30 and March 31, 2020, the Money Market Fund purchased asset-backed commercial paper with an aggregate value of $30,192,000 from an unaffiliated asset-backed commercial paper program. The purchase of this commercial paper was concurrent with separate transactions of other NTI client accounts that sold money market instruments to an unaffiliated broker-dealer that then conveyed those instruments to the issuer of the asset-backed commercial paper. The Money Market Fund sold the asset-backed commercial paper immediately after purchasing it, and did not realize any gain or loss on the sale. See Note7-U.S. Federal Reserve Money Market Mutual Fund Liquidity Facility.

7. U.S. FEDERAL RESERVE’S MONEY MARKET MUTUAL FUND LIQUIDITY FACILITY

The U.S. Federal Reserve established the Money Market Mutual Fund Liquidity Facility (“MMLF”) on March 18, 2020, to broaden its program of support for the flow of credit to households and businesses. Under the MMLF, loans are made available to eligible financial institutions secured by high-quality assets purchased by the financial institution from eligible money market mutual funds. On March 30, 2020 and March 31, 2020, the Money Market Fund sold securities with an aggregate value of $30,192,000 to a financial institution in connection with the MMLF. These securities were sold at purchased cost and the Money Market Fund incurred no realized gain or loss.

8. INVESTMENT TRANSACTIONS

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments and the cost basis of investments were as follows:

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION		NET APPRECIATION (DEPRECIATION)		COST BASIS OF INVESTMENTS
Money Market		$–		$–		$–		$     444,394
Municipal Money Market		–		–		–		206,113
U.S. Government Money Market		–		–		–		16,851,970
U.S. Government Select Money Market		–		–		–		3,658,026

NORTHERN FUNDS ANNUAL REPORT 37 MONEY MARKET FUNDS

MONEY MARKET FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

9. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands*	PROCEEDS FROM SHARES SOLD		REINVESTMENTS OF DIVIDENDS		PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN NET ASSETS
Money Market		$601,472		$4,789		$(769,632	)		$(163,371)
Municipal Money Market		367,400		547		(621,013	)		(253,066	)
U.S. Government Money Market		72,000,916		62,199		(74,689,868	)		(2,626,753	)
U.S. Government Select Money Market		13,725,962		12,145		(13,926,824	)		(188,717	)

* The number of shares sold, reinvested and redeemed approximates the dollar amount of transactions.

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands*	PROCEEDS FROM SHARES SOLD		REINVESTMENTS OF DIVIDENDS		PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN NET ASSETS
Money Market		$ 860,828		$4,128		$(592,605	)		$272,351
Municipal Money Market		911,071		1,115		(1,320,954	)		(408,768	)
U.S. Government Money Market		70,558,619		90,431		(67,431,537	)		3,217,513
U.S. Government Select Money Market		15,897,291		21,298		(15,905,477	)		13,112

* The number of shares sold, reinvested and redeemed approximates the dollar amount of transactions.

10. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

11. NEW ACCOUNTING PRONOUNCEMENTS

On March 30, 2017, the FASB issued Accounting Standards Update (ASU) 2017-08 “Premium Amortization on Purchased Callable Debt Securities” (the “ASU”), which amends the amortization period for certain purchased callable debt securities held at premium shortening such period to the earliest call date. The new guidance requires an entity to amortize the premium on a callable debt security within its scope to the earliest call date, unless the guidance for considering estimated prepayments as described above is applied. If the call option is not exercised at the earliest call date, the yield is reset to the effective yield using the payment terms of the security. If the security has more than one call date and the premium was amortized to a call price greater than the next call price, any excess of the amortized cost basis over the amount repayable at the next call date will be amortized to that date. If there are no other call dates, any excess of the amortized cost basis over the par amount will be amor tized to maturity. Discounts on purchased callable debt securities will continue to be amortized to the security’s maturity date. The ASU is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Earlier application is permitted for all entities, including adoption in an interim period. If an entity early adopts the ASU in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The Funds have adopted the ASU. The adoption of the ASU did not have a material impact on the financial statements.

12. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such

MONEY MARKET FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MARCH 31, 2020

Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

13. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

14. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

NORTHERN FUNDS ANNUAL REPORT 39 MONEY MARKET FUNDS

MONEY MARKET FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of four separate portfolios of Northern Funds, comprising the Money Market Fund, Municipal Money Market Fund, U.S. Government Money Market Fund, and U.S. Government Select Money Market Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the four portfolios constituting the Northern Funds as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

MONEY MARKET FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

TAX AND DISTRIBUTION INFORMATION MARCH 31, 2019 (UNAUDITED)

During the fiscal year ended March 31, 2020, the percentage of dividends derived from net investment income paid by the following Fund as “exempt-interest dividends,” excludable from gross income for federal income tax purposes was as follows: Municipal Money Market 100%.

The American Jobs Creation Act (Sec. 871(k)) allows a regulated investment company to designate interest related dividends and qualified short-term capital gains that are exempt from U.S. withholding taxes for foreign investors, not considered a U.S. person as Qualified Interest Income (“QII”), for tax years after December 31, 2004. The following funds designated QII for the fiscal year ended March 31, 2020: the Money Market Fund, U.S. Government Money Market Fund and the U.S. Government Select Money Market Fund.

The Funds designate the maximum amount required to be distributed as long-term capital gain under Internal Revenue Code Section 852(b)(2)(3).

1. DISTRIBUTION CONSIDERATIONS (ALL FUNDS)

DISTRIBUTION CALCULATION: Maturity Distribution is measured on a trade date basis and excludes uninvested cash from the market value used to compute the percentage calculations.

MATURITY DISTRIBUTION: The data is measured using the lower of the stated maturity date or next interest rate reset date.

NORTHERN FUNDS ANNUAL REPORT 41 MONEY MARKET FUNDS

MONEY MARKET FUNDS

FUND EXPENSES MARCH 31, 2020 (UNAUDITED)

As a shareholder of the Funds, you incur ongoing costs, including management fees and other fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

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

Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads), redemption fees, or exchange fees, but shareholders of other funds may incur such costs. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

MONEY MARKET
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.34	%		$ 1,000.00		$ 1,007.60		$ 1.71
Hypothetical		0.34	%		$ 1,000.00		$ 1,023.30		$ 1.72
MUNICIPAL MONEY MARKET
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.35	%		$1,000.00		$1,005.30		$1.75
Hypothetical		0.35	%		$1,000.00		$1,023.25		$1.77
U.S. GOVERNMENT MONEY MARKET
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.35	%		$1,000.00		$1,006.60		$1.76
Hypothetical		0.35	%		$1,000.00		$1,023.25		$1.77
U.S. GOVERNMENT SELECT MONEY MARKET
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.35	%		$1,000.00		$1,006.60		$1.76
Hypothetical		0.35	%		$1,000.00		$1,023.25		$1.77

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

MONEY MARKET FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

TRUSTEES AND OFFICERS MARCH 31, 2020 (UNAUDITED)

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex — Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President — Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company — 34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company — 8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

NORTHERN FUNDS ANNUAL REPORT 43 MONEY MARKET FUNDS

MONEY MARKET FUNDS

TRUSTEES AND OFFICERS continued

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow — 2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company — 29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940” Act ).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

MONEY MARKET FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

NORTHERN FUNDS ANNUAL REPORT 45 MONEY MARKET FUNDS

MONEY MARKET FUNDS

TRUSTEES AND OFFICERS continued MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

MONEY MARKET FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

MONEY MARKET FUNDS

INVESTMENT CONSIDERATIONS

MONEY MARKET FUND1,2,3,4,5,6,7,8	U.S. GOVERNMENT MONEY MARKET FUND1,2,3,6
MUNICIPAL MONEY MARKET FUND1,2,3,4,5,7	U.S. GOVERNMENT SELECT MONEY MARKET FUND1,2,3,6

¹ Interest Rate Risk: During periods of rising interest rates, the Fund’s yield (and the market value of its securities) will tend to be lower than prevailing market rates; in periods of falling interest rates, the Fund’s yield (and the market value of its securities) will tend to be higher. Securities with longer maturities tend to be more sensitive to changes in interest rates, causing them to be more volatile than securities with shorter maturities. Changing interest rates may have unpredictable effects on the markets and on the Fund’s investments. Recent and any future declines in interest rate levels could cause the Fund’s earnings to fall below the Fund’s expense ratio, resulting in a negative yield and a decline in the Fund’s share price.

² Money Market Risk: You could lose money by investing in the Fund. An investment in the Fund is not a deposit of any bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation, any other government agency, or The Northern Trust Company, its affiliates, subsidiaries or any other bank. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

³ Stable NAV Risk: The Fund may be unable to maintain a NAV per share price of $1.00 at all times. A significant enough market disruption or drop in market prices of securities held by the Fund, especially at a time when the Fund needs to sell securities to meet shareholder redemption requests, could cause the value of the Fund’s shares to decrease to a price less than $1.00 per share.

⁴ Municipal Market Volatility Risk: The municipal market can be significantly affected by adverse tax, legislative, or political changes and the financial condition of the issuers of municipal securities.

⁵ Tax Risk: Future legislative or administrative changes or court decisions may materially affect the value of municipal instruments or the ability of the Fund to pay tax-exempt dividends.

⁶ U.S. Government Securities Risk: There is a risk that the U.S. government will not provide financial support to its agencies, instrumentalities or sponsored enterprises if it is not obligated to do so by law. Certain U.S. government securities purchased by the Fund may not be backed by the full faith and credit of the United States. It is possible that the issuers of such securities will not have the funds to meet their payment obligations in the future.

⁷ Liquidity Fee and Redemption Gate Risk: The Fund may impose a “liquidity fee” (up to 2 percent) or a “redemption gate” that temporarily restricts a shareholder’s ability to sell shares for up to 10 business days if the Fund’s liquidity falls below required minimums because of market conditions or other factors.

⁸ Financial Services Industry Risk: The Fund will invest under normal market conditions at least 25% of its total assets in the financial services industry. As a result, the Fund will be subject to greater risk of loss by economic, business, political or other developments which generally affect this industry. Changes in government regulation and interest rates and economic downturns can have a significant negative effect on issuers in the financial services sector, including the price of their securities or their ability to meet their payment obligations.

NORTHERN FUNDS ANNUAL REPORT 47 MONEY MARKET FUNDS

MONEY MARKET FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files detailed month-end portfolio holdings information on Form N-MFP with the U.S. Securities and Exchange Commission (“SEC”) each month and posts a complete schedule of portfolio holdings on its website (northerntrust.com) as of each month-end for the previous six months. The Funds’ Forms N-MFP are available electronically on the SEC’s website (sec.gov).

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

MONEY MARKET FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

ANNUAL REPORT

MARC H 31, 2020

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of Northern Funds shareholder reports like this one will no longer be sent by mail, unless you specifically request paper copies of the reports from Northern Funds or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on the Funds’ website (northerntrust.com) and you will be notified by mail each time a report is posted and provided with a website link to access the report.

If you have already elected to receive your shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from Northern Funds electronically at any time by contacting your financial intermediary (such as a broker-dealer or bank) or, if your account is held directly with Northern Funds, by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com.

You may elect to receive all future reports in paper free of charge. If you invest through a financial intermediary, please contact your financial intermediary to continue receiving paper copies of your shareholder reports. If you invest directly with Northern Funds, you can inform Northern Funds that you wish to continue receiving paper copies of your shareholder reports by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com. Your election to receive reports in paper will apply to all Northern Funds you hold in your account at the financial intermediary or through an account with Northern Funds. You must provide separate instructions to each of your financial intermediaries.

MULTI-MANAGER FUNDS

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
10	STATEMENTS OF ASSETS AND LIABILITIES
12	STATEMENTS OF OPERATIONS
14	STATEMENTS OF CHANGES IN NET ASSETS
16	FINANCIAL HIGHLIGHTS
23	SCHEDULES OF INVESTMENTS
	EQUITY FUNDS
23	ACTIVE M EMERGING MARKETS EQUITY FUND
	Ticker Symbol: NMMEX
28	ACTIVE M INTERNATIONAL EQUITY FUND
	Ticker Symbol: NMIEX
36	MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND
	Ticker Symbol: NMFIX
39	MULTI-MANAGER GLOBAL REAL ESTATE FUND
	Ticker Symbol: NMMGX
42	NORTHERN ENGAGE360TM FUND
	Ticker Symbol: NENGX
	FIXED INCOME FUNDS
50	MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND
	Ticker Symbol: NMEDX
62	MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND
	Ticker Symbol: NMHYX
93	NOTES TO THE FINANCIAL STATEMENTS
109	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
110	TAX INFORMATION
111	LIQUIDITY RISK MANAGEMENT PROGRAM
112	FUND EXPENSES
114	TRUSTEES AND OFFICERS
118	APPROVAL OF SUB-ADVISORY AGREEMENTS
121	INVESTMENT CONSIDERATIONS
124	FOR MORE INFORMATION

This report has been prepared for the general information of Northern Funds shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Northern Funds summary prospectus or prospectus, which contains more complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read a summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Funds in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

ACTIVE M EMERGING MARKETS EQUITY FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The outbreak of the COVID-19 pandemic resulted in increased market volatility across the globe, and emerging market equities experienced historically high levels of volatility. For the 12-month reporting period ended March 31, 2020, the Active M Emerging Markets Equity Fund underperformed its benchmark, the MSCI Emerging Markets^® Index, returning -18.77% versus -17.69% for the index.

While emerging markets, as measured by the MSCI Emerging Markets^® Index, were down for the period, information technology and Internet-related stocks within the communication services sector produced positive returns. Asian countries, including China, South Korea and Taiwan, led performance within emerging markets. Latin America faced particular headwinds, as Brazil returned -41.87% amid a struggling economy. Non-performing loans within public sector banks and slow-moving reform policies weighed on stocks in India, which returned -30.86%. Russia managed to outperform the broader universe with a decline of -14.39% for the reporting period, benefiting from an improvement in dividend policies. Dispersion between growth and value stocks was extreme as highlighted by the -9.94% return of the MSCI Emerging Markets Growth Index versus the -25.26% return of the MSCI Emerging Markets Value Index.

The Fund’s country positioning weighed on performance, while overall stock selection contributed positively. Stock selection in Brazil and China added value, while an overweight to Brazil and an underweight to China, detracted from performance. Stock selection proved beneficial within India, Taiwan and South Korea, and detracted in South Africa. An overweight to Mexico also hindered results.

Among the Fund’s sub-advisers, Westwood Global Investments underperformed for the 12 month period, largely as a result of their exposure to China. Weak stock selection in China and an underweight allocation detracted from the sub-adviser’s performance. Meanwhile, the more growth-oriented sub-adviser Axiom benefited from the outperformance of growth stocks and strong stock selection in China, South Korea and Taiwan. Near the end of the fiscal year, quantitatively-oriented sub-adviser PanAgora Asset Management, Inc. was replaced by Ashmore Investment Management Limited, which employs a more macro-oriented investment process.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 11/19/08
ACTIVE M EMERGING MARKETS EQUITY FUND		(18.77	)%		(1.39	)%		0.71	%		7.68	%
MSCI EMERGING MARKETS® INDEX		(17.69	)		(0.37	)		0.68			7.49

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The MSCI Emerging Markets^® Index is a free-float adjusted market capitalization index designed to measure the equity market performance in the global emerging markets.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

MULTI-MANAGER FUNDS 2 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

ACTIVE M INTERNATIONAL EQUITY FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

Global equities entered bear market territory during the first quarter of 2020, as the spread of COVID-19 caused markets to sell off and volatility to spike. For the first quarter of 2020, the benchmark MSCI World^® ex USA IM Index posted its worst quarterly performance, since the inception of the index, returning -24.00%. This resulted in the index’s return of -15.48% for the 12-month reporting period ended March 31, 2020 while the Active M International Equity Fund returned -17.49%.

On a regional basis, MSCI Europe IMI returned -16.07%, while the MSCI Pacific IMI returned -13.09%. By country, the bottom-performing markets in the index included the U.K., Spain, France, Australia and Canada. Conversely, Switzerland and Denmark posted modestly positive returns, while Japan also fared notably better than the benchmark index. More defensive areas of the market such as health care, which was the only sector in the index to post a positive return for the 12-month period ended March 31, 2020, and utilities, held up best. Energy stocks lagged, selling off on concerns surrounding falling demand and the price war between OPEC and Russia. Financials sector also suffered as regulators have pressured banks across Europe to suspend dividends and share buybacks, and to increase their capacity to manage rising non-performing loans. Large-cap stocks performed better than small-cap stocks, and growth stocks significantly outperformed value.

Stock selection was the primary cause of the underperformance as the Fund had an overweight to stocks with lower price-to-book (P/B) multiples, which was a headwind as value stocks underperformed their growth counterparts. This was evident within the energy, financial and consumer discretionary sectors. An overweight to banks also detracted. Overweights to information technology and health care benefited performance.

Value sub-advisers Causeway Capital Management and Wellington Management Company struggled due to their focus on the lower end of the P/B (price to book) and P/E (price to earnings) scale. WCM Investment Management’s quality growth portfolio held up relatively well during the downturn, while the Fund’s smaller-cap sub-adviser, Victory Capital Management, outperformed relative to international small-cap stocks (as measured by the MSCI World ex USA Small Cap Index) while trailing the Fund’s broader benchmark. Near the end of the period, Brandes Investment Partners was removed as a sub-adviser, with assets reallocated to existing sub-advisers.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 06/22/06
ACTIVE M INTERNATIONAL EQUITY FUND		(17.49	)%		(1.88	)%		1.13	%		0.87	%
MSCI WORLD® EX USA IM INDEX		(15.48	)		(0.62	)		2.61			1.75

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

MSCI World^® ex USA IM Index is a free float-adjusted, market capitalization weighted index that is designed to measure the equity market performance of developed markets. It captures large, mid and small cap representation across 22 developed markets, excluding the United States, and covers approximately 99% of the free float-adjusted market capitalization in each country. It is not possible to invest directly in an index.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

NORTHERN FUNDS ANNUAL REPORT 3 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The global listed infrastructure market, as measured by the S&P Global Infrastructure^® Index, underperformed broader global equity markets and returned -21.91% for the 12-month reporting period ended March 31, 2020. The Multi-Manager Global Listed Infrastructure Fund outperformed the S&P Global Infrastructure^® Index for the annual period, returning -11.09%.

The outbreak of the COVID-19 pandemic resulted in increased market volatility worldwide during the reporting period. Electric utilities were one of the only sectors in the index to post positive performance, returning 3.63%. Investors flocked to utilities for their defensive characteristics in the midst of market volatility, especially in the first quarter of 2020. Marine ports and airports underperformed over the reporting period, due to their economic sensitivity, as a slowdown in economic activity moved from a risk to a reality in early 2020. All major regions posted negative returns for the reporting period. The U.K. and North America led performance, while Pacific ex-Japan, continental Europe and emerging markets underperformed.

The Fund’s strong relative performance for the reporting period was largely driven by exposure to the U.K. An overweight to the U.K. and strong stock selection within the utilities sector contributed positively as the results of the U.K. elections in late 2019 took the threat of nationalization off the table. The Fund also benefited from its overall defensive positioning in the annual period, with underweights in airports and marine ports and an overweight in gas utilities adding to relative performance. Energy pipelines were also positive contributors, while stock selection in rail and satellites detracted.

Sub-adviser Lazard Asset Management outperformed the S&P Global Infrastructure^® Index over the 12-month period, adding value through exposure to U.K. water utilities, an overweight in rail and an underweight in energy pipelines. Sub-adviser Maple-Brown Abbott Limited outperformed due to stock selection in energy pipelines and water utilities, along with an underweight in airports. In January 2020, First Sentier was added as a third sub-adviser to the Fund. First Sentier provides a more diversified, quality-focused approach, complementing the two existing sub-advisers, who deploy more concentrated, benchmark-agnostic strategies.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			THREE YEAR			FIVE YEAR			SINCE INCEPTION 09/18/12
MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND		(11.09	)%		(0.40	)%		1.85	%		5.32	%
S&P GLOBAL INFRASTRUCTURE® INDEX (NET DIVIDEND RETURN)*		(21.91	)		(4.16	)		(1.29	)		2.45
S&P GLOBAL INFRASTRUCTURE® INDEX (GROSS DIVIDEND RETURN)*		(21.14	)		(3.24	)		(0.38	)		3.36

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

* Effective July 31, 2019, the benchmark for Multi-Manager Global Listed Infrastructure Fund changed from S&P Global Infrastructure^® Index (gross dividend return) to S&P Global Infrastructure^® Index (net dividend return) to better align the total returns of the benchmark with the total returns experienced by a U.S. shareholder of the Fund.

GROWTH OF A $10,000 INVESTMENT

The S&P Global Infrastructure^® Index provides liquid and tradable exposure to 75 companies from around the world that represent the listed infrastructure universe. The Index has balanced weights across three distinct infrastructure clusters: Utilities, Transportation and Energy.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

MULTI-MANAGER FUNDS 4 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MULTI-MANAGER GLOBAL REAL ESTATE FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

For the 12-month reporting period ended March 31, 2020, global real estate securities as measured by the FTSE^® EPRA^®/NAREIT^® Developed^® Index returned -23.97%, primarily due to the COVID-19 pandemic and ensuing restrictions. The Multi-Manager Global Real Estate Fund returned -18.86% for the 12-month period ended March 31, 2020, outperforming the benchmark return of -23.97%.

During the period, the U.K., Japan and Germany outperformed the broader benchmark, as investors sought defensiveness and safety. Italy and Hong Kong underperformed, as they were hit hardest by COVID-19 concerns. Australia underperformed during the period, selling off on a combination of COVID-19 worries and a sharp drop in oil prices. From a sector perspective, information technology, real estate (data centers and cell towers) and industrials were significant outperformers in the index, posting positive returns over the 12-month period. Retail and lodging lagged as both travel and retail spending slowed due to the pandemic and ensuing restrictions.

Positive stock selection in the U.S. was the primary contributor to the Fund’s relative performance, specifically within the residential sector. The Fund’s performance was also supported by underweights to lodging and retail and an overweight in self-storage. The Fund’s underweights to the more defensive markets of Sweden and Switzerland detracted from results.

Sub-adviser Massachusetts Financial Services Company outperformed the benchmark on the strength of stock selection across regions and property types, most notably in the residential sector. Sub-adviser Brookfield Public Securities Group slightly lagged the benchmark, as the positive impact of an underweight in retail was offset by negative stock selection, most notably in the U.S. and U.K. markets.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 11/19/08
MULTI-MANAGER GLOBAL REAL ESTATE FUND		(18.86	)%		(0.67	)%		4.48	%		9.44	%
FTSE® EPRA® /NAREIT® DEVELOPED® INDEX		(23.97	)		(2.06	)		4.40			9.27

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

FTSE^® EPRA^®/NAREIT^® Developed^® Index is designed to track the performance of listed real estate companies and REITs worldwide. By making the index constituents free-float adjusted, liquidity, size and revenue screened, the series is suitable for use as the basis for investment products, such as derivatives and exchange traded funds (ETFs). It is not possible to invest in an index.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 125.

NORTHERN FUNDS ANNUAL REPORT 5 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

NORTHERN ENGAGE360^TM FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

Global equities as measured by the MSCI ACWI Index returned -11.26% over the 12-month period ended March 31, 2020 as the outbreak of the COVID-19 pandemic resulted in increased market volatility worldwide. The Northern Engage360^TM Fund returned -11.22% for the 12-month period ended March 31, 2020, performing in line with its benchmark index return of -11.26%.

Regionally, the U.S. market as measured by the Russell 3000^® Index returned -9.11%, while both the international developed (as measured by the MSCI EAFE^® Index) and emerging markets (as measured by the MSCI Emerging Markets Index) declined by greater amounts, returning -14.38% and -17.69%, respectively. From a style perspective, growth far outpaced value over the period, with the MSCI ACWI^® Growth Index returning -2.28%, versus -20.00% for the MSCI ACWI^® Value Index. In addition, large-cap stocks outperformed small caps.

The Fund faced a significant headwind over the period due to an overweight to smaller-cap companies relative to the benchmark, primarily within the U.S. This headwind was offset by positive stock selection and beneficial regional and industry positioning.

The sub-advisers managing large-cap U.S. equity strategies (Aristotle Capital Management and Mar Vista Investment Partners) contributed positively to the Fund’s performance, while the smaller-cap U.S. strategies (Segall Bryant & Hamill) detracted. In particular, Mar Vista experienced strong stock selection in the financial sector. Performance across the two international equity sub-advisers, Ariel Investments and Strategic Global Advisors, was mixed as Ariel added to relative performance and Strategic Global detracted. Ariel’s outperformance was primarily due to stock selection and an overweight to the communications sector. Strategic Global lagged primarily due to an underweight in the information technology sector and overweights to financials and materials. EARNEST Partners U.S. mid cap core strategy outperformed the mid cap index yet underperformed the Fund’s benchmark, while ARK Investment Management’s global equity strategy contributed positively.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			SINCE INCEPTION 11/20/17
NORTHERN ENGAGE360TM FUND		(11.22	)%		(4.34	)%
MSCI ACWI INDEX		(11.26	)		(2.95	)

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

The MSCI All Country World Index (“MSCI ACWI”) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The MSCI ACWI consists of 49 country indices comprising 23 developed and 26 emerging market country indices. As of May 31, 2019, the developed market country indices included are: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the United States. As of May 31, 2019, the emerging market country indices included are: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

MULTI-MANAGER FUNDS 6 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The Multi-Manager Emerging Markets Debt Opportunity Fund is constructed to provide exposure to a blend of local and external currency emerging market debt, while opportunistically investing in emerging market corporate and frontier market bonds. The Multi-Manager Emerging Markets Debt Opportunity Fund returned -12.99% for the 12-month reporting period ended March 31, 2020, compared with the blended benchmark return of -6.61%. The Fund is benchmarked to a blended index that is equally divided between the JP Morgan Emerging Markets Bond (EMBI) Global Diversified Index and the JP Morgan GBI-EM Global Diversified Index. For the 12-month reporting period ended March 31, 2020, external debt, i.e., debt denominated in U.S. dollars or euros, posted a return of -6.84%, while emerging market local currency bonds posted a return of -6.50%.

Fund underperformance was mainly driven by the market dislocation in the first quarter of 2020. As COVID-19 spread throughout the world and oil prices declined, emerging market debt sold off. The asset class also experienced challenges from a liquidity perspective as bid/ask spreads widened materially during the month of March 2020.

For sub-adviser Ashmore Investment Management, overweight positions in Ecuador, Venezuela and Lebanon were the largest detractors for the 12-month period. Underweights in South Africa and Sri Lanka, along with an overweight position in Colombia, were relatively stronger performing areas in the portfolio. Ashmore’s asset allocation between local and external currency debt was essentially a neutral factor in Fund performance, while an overweight to corporate debt was detrimental. For sub-adviser Global Evolution USA, positions in Argentina, Angola and Zambia were the largest detractors from relative performance, while a non-benchmark position in Costa Rica and a lack of exposure to Venezuela led positive contributions.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			THREE YEAR			FIVE YEAR			SINCE INCEPTION 12/03/13
MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND		(12.99	)%		(2.82	)%		(0.94	)%		(1.24	)%
50% JP MORGAN EMBI GLOBAL DIVERSIFIED AND 50% JP MORGAN GBI-EM GLOBAL DIVERSIFIED INDEX		(6.61	)		(0.13	)		1.60			1.32
JP MORGAN EMBI GLOBAL DIVERSIFIED INDEX		(6.84	)		0.42			2.82			3.89
JP MORGAN GBI-EM GLOBAL DIVERSIFIED INDEX		(6.52	)		(0.80	)		0.25			(1.33	)

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northernfunds.com/funds.

GROWTH OF A $10,000 INVESTMENT

JP Morgan Emerging Markets Bond Index Global Diversified (EMBI Global Diversified) is a uniquely weighted USD-denominated emerging markets sovereign bond index. The EMBI Global Diversified has the same instrument composition as the market-capitalization weighted EMBI Global, which includes USD-denominated fixed and floating rate instruments issued by sovereign and quasi-sovereign entities. The EMBI Global Diversified limits the weights of the index countries by only including a specified portion of those countries’ eligible current face amounts of debt outstanding.

JP Morgan Government Bond-Emerging Market Index Global Diversified (GBI-EM Global Diversified) tracks the performance of local currency debt issued by emerging market governments. The index incorporates a constrained market-capitalization methodology in which individual issuer exposures are capped at 10% (with the excess distributed to smaller issuers), for greater diversification among issuing governments.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

NORTHERN FUNDS ANNUAL REPORT 7 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

MULTI-MANAGER HIGH YIELD OPPORTUNIT Y FUND (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

For the 12-month reporting period ended March 31, 2020, the high-yield market returned -7.46% as measured by the benchmark ICE BofAML U.S. High Yield Constrained Index. During the same reporting period, the Multi-Manager High Yield Opportunity Fund returned -10.69%, underperforming its benchmark index.

Performance for the index was primarily driven by performance in the first quarter of 2020 in light of the COVID-19 outbreak and specifically in lower quality securities. On a trailing 12-month basis, issues rated CCC and lower returned -21.6%, which included a -22.4% return for the first quarter. By contrast, BB-rated securities, the highest quality segment of the index, returned -3.3%, while B-rated securities returned -8.4%. From a sector perspective, energy weighed heavily on the index, with the sector returning -39.7% for the first quarter of 2020 and -49.41% for the 12-month period. Media, technology and banking were the best performing sectors for the reporting period.

The Fund’s overweight position in lower-rated securities, driven by sub-adviser DDJ Capital Management and to a lesser extent Nomura Corporate Research and Asset Management, detracted from relative performance. The DDJ portfolio’s smaller issuer size and allocation to bank loans detracted, while an overweight to energy weighed on Nomura’s performance. Sub-adviser Neuberger Berman Investment Advisers’ high quality bias and security selection within lower-rated issuers helped drive positive relative performance, as did Nomura’s overall security selection and DDJ’s underweight to energy.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 09/23/09
MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND		(10.69	)%		1.46	%		4.43	%		4.88	%
ICE BofAML U.S. HIGH YIELD CONSTRAINED INDEX		(7.46	)		2.67			5.49			6.30

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. The one year total return will differ from the total return in the Financial Highlights. The Financial Highlights’ total return has been adjusted to reflect performance in conformity with U.S. GAAP principles. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

ICE BofAML U.S. High Yield Constrained Index contains all securities in the BofA Merrill Lynch U.S. High Yield Master II Index, but caps issuer exposure based on their current amount outstanding, provided the total allocation to an individual issuer does not exceed 2%. The Index tracks the performance of US dollar denominated below investment grade corporate debt publicly issued in the US domestic market. It is not possible to invest directly in an index.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees. A direct investment in an Index is not possible.

Information about Investment Considerations can be found on page 121.

MULTI-MANAGER FUNDS 8 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

THIS PAGE INTENTIONALLY LEFT BLANK

NORTHERN FUNDS ANNUAL REPORT 9 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

STATEMENTS OF ASSETS AND LIABILITIES

Amounts in thousands, except per share data	ACTIVE M EMERGING MARKETS EQUITY FUND			ACTIVE M INTERNATIONAL EQUITY FUND			MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND
ASSETS:
Investments, at value		$324,972			$541,620			$855,763
Investments in affiliates, at value		10,656			–			30,334
Cash held at broker (restricted $28)		–			–			–
Foreign currencies, at value (cost $5,522, $719, $1,015, $18, $1,703 and $638, respectively)		5,524			720			1,011
Due from broker (Note 2)		–			–			–
Interest income receivable		–			–			–
Dividend income receivable		1,325			2,600			844
Receivable for foreign tax reclaims		31			2,362			1,137
Receivable for securities sold		2,559			27,049			17,562
Receivable for variation margin on futures contracts		94			–			5
Receivable for fund shares sold		215			–			1,902
Receivable from investment adviser		12			2			6
Receivable for variation margin on centrally cleared interest rate swap agreements		–			–			–
Unrealized appreciation on bilateral interest rate swap agreements		–			–			–
Unrealized appreciation on forward foreign currency exchange contracts		–			–			–
Prepaid and other assets		4			413			4
Total Assets		345,392			574,766			908,568
LIABILITIES:
Cash overdraft		–			297			–
Unrealized depreciation on forward foreign currency exchange contracts		–			–			–
Payable for securities purchased		3,961			10,392			5,500
Unfunded loan commitments (Note 2)		–			–			–
Payable for variation margin on futures contracts		32			27			84
Payable for fund shares redeemed		2,681			5,236			6,505
Payable to affiliates:
Management fees		72			89			154
Custody fees		34			19			21
Shareholder servicing fees		24			5			10
Transfer agent fees		13			20			31
Trustee fees		2			2			3
Accrued other liabilities		203			496			40
Total Liabilities		7,022			16,583			12,348
Net Assets		$338,370			$558,183			$896,220
ANALYSIS OF NET ASSETS:
Capital stock		$338,680			$652,860			$1,007,040
Distributable earnings		(310	)		(94,677	)		(110,820	)
Net Assets		$338,370			$558,183			$896,220
Shares Outstanding ($.0001 par value, unlimited authorization)		23,167			68,999			85,487
Net Asset Value, Redemption and Offering Price Per Share		$14.61			$8.09			$10.48
Investments, at cost		$315,893			$609,157			$953,599
Investments in affiliates, at cost		10,656			–			30,334

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 10 NORTHERN FUNDS ANNUAL REPORT

MARCH 31, 2020

MULTI-MANAGER GLOBAL REAL ESTATE FUND			NORTHERN ENGAGE360TM FUND			MULTI-MANAGER EMERGING MARKETS DEBT  OPPORTUNITY FUND			MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND
	$85,083			$233,536			$125,717			$199,335
	8,005			9,878			5,081			11,591
	–			125			–			–
	18			1,713			631			–
	–			–			1,026			–
	–			–			2,297			3,957
	383			651			4			8
	57			176			50			–
	1,847			591			–			1,922
	–			5			–			–
	7,110			1			–			168
	3			10			1			7
	–			–			5			–
	–			–			19			–
	–			12			507			–
	4			4			4			4
	102,510			246,702			135,342			216,992
	–			–			–			–
	–			486			999			–
	3,721			420			1,544			1,831
	–			–			–			5
	–			54			–			–
	152			–			–			779
	15			32			38			33
	5			4			5			5
	1			–			–			1
	3			8			5			8
	2			–			2			1
	43			29			35			41
	3,942			1,033			2,628			2,704
	$98,568			$245,669			$132,714			$214,288
	$119,504			$287,240			$174,106			$296,625
	(20,936	)		(41,571	)		(41,392	)		(82,337	)
	$98,568			$245,669			$132,714			$214,288
	11,372			27,985			17,414			26,885
	$8.67			$8.78			$7.62			$7.97
	$97,105			$267,006			$157,319			$246,138
	8,005			9,878			5,081			11,591

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 11 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

STATEMENTS OF OPERATIONS

Amounts in thousands	ACTIVE M EMERGING MARKETS EQUITY FUND			ACTIVE M INTERNATIONAL EQUITY FUND			MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND
INVESTMENT INCOME:
Dividend income		$15,725	(1)		$22,509	(1)		$30,921	(1)
Non-cash dividend income		2,515			—			4,704
Dividend income from investments in affiliates		254			611			1,019
Interest income		41			84			36
Total Investment Income		18,535			23,204			36,680
EXPENSES:
Management fees		6,779			7,032			9,635
Custody fees		543			428			425
Transfer agent fees		181			259			334
Registration fees		21			22			21
Printing fees		15			20			21
Professional fees		43			26			43
Shareholder servicing fees		92			18			37
Trustee fees		9			18			9
Interest expense		2			–			–
Other		192			113			15
Total Expenses		7,877			7,936			10,540
Less expenses reimbursed by investment adviser		(958	)		(623	)		(78	)
Net Expenses		6,919			7,313			10,462
Net Investment Income		11,616			15,891			26,218
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		29,481	(2)		(14,645	)		26,203
Interest rate swap agreements		–			–			–
Futures contracts		(2,095	)		(2,666	)		(1,618	)
Foreign currency transactions		(647	)		(289	)		(362	)
Forward foreign currency exchange contracts		–			–			–
Net changes in unrealized appreciation (depreciation) on:
Investments		(125,521	)(3)		(122,758	)		(168,555	)
Interest rate swap agreements		–			–			–
Futures contracts		30			37			(186	)
Foreign currency translations		(153	)		112			5
Forward foreign currency exchange contracts		–			–			–
Net Losses		(98,905	)		(140,209	)		(144,513	)
Net Decrease in Net Assets Resulting from Operations		$(87,289	)		$(124,318	)		$(118,295	)

(1) Net of $2,130, $2,169, $2,421, $165, $415 and $136, respectively, in non-reclaimable foreign withholding taxes.

(2) Net of foreign capital gains tax paid of $308.

(3) Net change in unrealized deferred foreign capital gains tax of $515.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 12 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEAR ENDED MARCH 31, 2020

MULTI-MANAGER GLOBAL REAL ESTATE FUND			NORTHERN ENGAGE360TM FUND			MULTI-MANAGER EMERGING MARKETS DEBT  OPPORTUNITY FUND			MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND
	$3,243	(1)		$6,113	(1)		$–			$32
	–			–			–			–
	68			225			134			253
	5			5			10,358	(1)		23,179
	3,316			6,343			10,492			23,464
	949			1,902			1,400			2,628
	70			125			112			152
	33			88			51			94
	18			20			19			21
	15			24			14			15
	43			43			43			68
	4			–			–			4
	9			9			9			9
	–			–			–			–
	31			20			26			14
	1,172			2,231			1,674			3,005
	(173	)		(273	)		(128	)		(301	)
	999			1,958			1,546			2,704
	2,317			4,385			8,946			20,760
	(1,997	)		(1,432	)		(3,164	)		(3,729	)
	–			–			(38	)		–
	–			(766	)		–			–
	(17	)		(77	)		(415	)		–
	–			8			(1,031	)		–
	(19,906	)		(34,157	)		(24,009	)		(39,748	)
	–			–			53			–
	–			159			–			–
	11			8			(129	)		–
	–			(528	)		(276	)		–
	(21,909	)		(36,785	)		(29,009	)		(43,477	)
	$(19,592	)		$(32,400	)		$(20,063	)		$(22,717	)

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 13 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

	ACTIVE M EMERGING MARKETS EQUITY FUND						ACTIVE M INTERNATIONAL EQUITY FUND						MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND
Amounts in thousands	2020			2019			2020			2019			2020			2019
OPERATIONS:
Net investment income		$11,616			$16,886			$15,891			$21,074			$26,218			$31,975
Net realized gains (losses)		26,739			37,713			(17,600	)		56,671			24,223			(18,429	)
Net change in unrealized appreciation (depreciation)		(125,644	)		(220,165	)		(122,609	)		(140,869	)		(168,736	)		22,516
Net Increase (Decrease) in Net Assets Resulting from Operations		(87,289	)		(165,566	)		(124,318	)		(63,124	)		(118,295	)		36,062
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		(345,304	)		(278,556	)		(183,049	)		(347,024	)		31,394			(127,321	)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		(345,304	)		(278,556	)		(183,049	)		(347,024	)		31,394			(127,321	)
DISTRIBUTIONS PAID:
Distributable earnings		(45,400	)		(8,500	)		(50,146	)		(65,000	)		(26,473	)		(104,909	)
Total Distributions Paid		(45,400	)		(8,500	)		(50,146	)		(65,000	)		(26,473	)		(104,909	)
Total Increase (Decrease) in Net Assets		(477,993	)		(452,622	)		(357,513	)		(475,148	)		(113,374	)		(196,168	)
NET ASSETS:
Beginning of year		816,363			1,268,985			915,696			1,390,844			1,009,594			1,205,762
End of year		$338,370			$816,363			$558,183			$915,696			$896,220			$1,009,594

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 14 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

MULTI-MANAGER GLOBAL REAL ESTATE FUND						NORTHERN ENGAGE360TM FUND						MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND						MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND
2020			2019			2020			2019			2020			2019			2020			2019
	$2,317			$2,056			$4,385			$2,626			$8,946			$9,811			$20,760			$21,160
	(2,014	)		83			(2,267	)		(6,634	)		(4,648	)		(8,262	)		(3,729	)		(4,816	)
	(19,895	)		9,275			(34,518	)		3,146			(24,361	)		(9,108	)		(39,748	)		(306	)
	(19,592	)		11,414			(32,400	)		(862	)		(20,063	)		(7,559	)		(22,717	)		16,038
	23,582			14,834			52,553			134,637			(17,119	)		(2,237	)		(108,057	)		105,621
	23,582			14,834			52,553			134,637			(17,119	)		(2,237	)		(108,057	)		105,621
	(4,336	)		(4,307	)		(4,322	)		(2,060	)		(4,297	)		(5,641	)		(20,934	)		(21,073	)
	(4,336	)		(4,307	)		(4,322	)		(2,060	)		(4,297	)		(5,641	)		(20,934	)		(21,073	)
	(346	)		21,941			15,831			131,715			(41,479	)		(15,437	)		(151,708	)		100,586
	98,914			76,973			229,838			98,123			174,193			189,630			365,996			265,410
	$98,568			$98,914			$245,669			$229,838			$132,714			$174,193			$214,288			$365,996

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 15 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

FINANCIAL HIGHLIGHTS

ACTIVE M EMERGING MARKETS EQUITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$19.49			$22.55			$18.05			$15.36			$18.25
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.59			0.42			0.28			0.20			0.25
Net realized and unrealized gains (losses)		(3.84	)		(3.30	)		4.22			2.79			(2.49	)
Total from Investment Operations		(3.25	)		(2.88	)		4.50			2.99			(2.24	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.88	)		(0.18	)		–			(0.30	)		(0.28	)
From net realized gains		(0.75	)		–			–			–			(0.37	)
Total Distributions Paid		(1.63	)		(0.18	)		–			(0.30	)		(0.65	)
Net Asset Value, End of Year		$14.61			$19.49			$22.55			$18.05			$15.36
Total Return(2)		(18.77	)%		(12.71	)%		24.93	%		19.75	%		(12.11	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$338,370			$816,363			$1,268,985			$962,121			$677,066
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		1.10	%		1.10	%		1.10	%		1.15	%(4)		1.35	%
Expenses, before reimbursements and credits		1.26	%		1.21	%		1.21	%		1.28	%(4)		1.45	%
Net investment income, net of reimbursements and credits(3)		1.85	%		1.61	%		1.34	%		1.13	%(4)		1.32	%
Net investment income, before reimbursements and credits		1.69	%		1.50	%		1.23	%		1.00	%(4)		1.22	%
Portfolio Turnover Rate		81.32	%		80.98	%		36.14	%		59.52	%		37.58	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $17,000, $42,000 and $46,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020 , 2019 and 2018, respectively, and approximately $36,000, and $16,000, which represent less than 0.005 percent of average net assets for the fiscal years ended March 31, 2017, and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Effective June 15, 2016, the investment adviser reduced the management fee paid by the Fund and agreed to increase the expense reimbursement it provides the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 1.10%. Prior to June 15, 2016, the expense limitation had been 1.35%.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 16 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

ACTIVE M INTERNATIONAL EQUITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$10.38			$11.70			$9.95			$9.35			$10.44
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.21			0.22			0.17			0.16			0.13
Net realized and unrealized gains (losses)		(1.85	)		(0.91	)		1.74			0.60			(1.15	)
Total from Investment Operations		(1.64	)		(0.69	)		1.91			0.76			(1.02	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.26	)		(0.29	)		(0.16	)		(0.16	)		(0.07	)
From net realized gains		(0.39	)		(0.34	)		–			–			–
Total Distributions Paid		(0.65	)		(0.63	)		(0.16	)		(0.16	)		(0.07	)
Net Asset Value, End of Year		$8.09			$10.38			$11.70			$9.95			$9.35
Total Return(2)		(17.49	)%		(5.32	)%		19.17	%		8.27	%		(9.77	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$558,183			$915,696			$1,390,844			$1,156,348			$1,448,577
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.85	%		0.84	%		0.84	%		0.92	%(4)		1.20	%
Expenses, before reimbursements and credits		0.93	%		0.94	%		0.93	%		1.01	%(4)		1.26	%
Net investment income, net of reimbursements and credits(3)		1.86	%		1.75	%		1.49	%		1.41	%(4)		1.22	%
Net investment income, before reimbursements and credits		1.78	%		1.65	%		1.40	%		1.32	%(4)		1.16	%
Portfolio Turnover Rate		39.52	%		35.11	%		65.70	%		115.17	%		70.24	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $45,000, $66,000, $77,000 and $71,000 which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $57,000 which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Effective June 15, 2016, the investment adviser reduced the management fee paid by the Fund and agreed to increase the expense reimbursement it provides the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.84%. Prior to June 15, 2016, the expense limitation had been 1.20%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 17 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

FINANCIAL HIGHLIGHTS continued

MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$12.09			$12.83			$12.97			$11.76			$12.22
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.31			0.36			0.38			0.28			0.31
Net realized and unrealized gains (losses)		(1.61	)		0.08			0.51			1.22			(0.53	)
Total from Investment Operations		(1.30	)		0.44			0.89			1.50			(0.22	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.31	)		(0.43	)		(0.44	)		(0.29	)		(0.24	)
From net realized gains		–			(0.75	)		(0.59	)		–			–
Total Distributions Paid		(0.31	)		(1.18	)		(1.03	)		(0.29	)		(0.24	)
Net Asset Value, End of Year		$10.48			$12.09			$12.83			$12.97			$11.76
Total Return(2)		(11.09	)%		4.24	%		6.62	%		12.96	%		(1.80	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$896,220			$1,009,594			$1,205,762			$1,248,307			$1,178,180
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.98	%		1.00	%		1.00	%		1.00	%		1.00	%
Expenses, before reimbursements and credits		0.98	%		1.02	%		1.02	%		1.02	%		1.02	%
Net investment income, net of reimbursements and credits(3)		2.45	%		2.81	%		2.59	%		2.24	%		2.51	%
Net investment income, before reimbursements and credits		2.45	%		2.79	%		2.57	%		2.22	%		2.49	%
Portfolio Turnover Rate		80.41	%		38.64	%		44.40	%		81.27	%		56.92	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $77,000, $66,000, $97,000 and $52,000 which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $33,000 which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 18 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

MULTI-MANAGER GLOBAL REAL ESTATE FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$11.12			$10.38			$10.63			$11.91			$16.66
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.29			0.31			0.07			0.30			0.30
Net realized and unrealized gains (losses)		(2.28	)		1.01			0.35			(0.04	)		(0.71	)
Total from Investment Operations		(1.99	)		1.32			0.42			0.26			(0.41	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.46	)		(0.46	)		(0.57	)		(0.48	)		(0.44	)
From net realized gains		—			(0.12	)		(0.10	)		(1.06	)		(3.90	)
Total Distributions Paid		(0.46	)		(0.58	)		(0.67	)		(1.54	)		(4.34	)
Net Asset Value, End of Year		$8.67			$11.12			$10.38			$10.63			$11.91
Total Return(2)		(18.86	)%		13.28	%		3.93	%		2.72	%		(1.46	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$98,568			$98,914			$76,973			$218,174			$326,942
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.94	%		0.94	%		0.92	%		0.96	%(4)		1.11	%
Expenses, before reimbursements and credits		1.10	%		1.20	%		1.09	%		1.10	%(4)		1.20	%
Net investment income, net of reimbursements and credits(3)		2.18	%		2.47	%		2.97	%		1.79	%(4)		1.44	%
Net investment income, before reimbursements and credits		2.02	%		2.21	%		2.80	%		1.65	%(4)		1.35	%
Portfolio Turnover Rate		62.47	%		66.43	%		144.67	%		167.04	%		94.24	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $5,000, $3,000, $8,000 and $16,000 which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018 and 2017, respectively, and approximately $14,000 which represents less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Effective June 15, 2016, the investment adviser reduced the management fee paid by the Fund and agreed to increase the expense reimbursement it provides the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.91%. Prior to June 15, 2016, the expense limitation had been 1.10%.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 19 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

FINANCIAL HIGHLIGHTS continued

NORTHERN ENGAGE360TM FUND
Selected per share data	2020			2019			2018(1)
Net Asset Value, Beginning of Period		$10.03			$10.17			$10.00
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.15			0.09			0.05
Net realized and unrealized gains (losses)		(1.24	)		(0.14	)		0.13
Total from Investment Operations		(1.09	)		(0.05	)		0.18
LESS DISTRIBUTIONS PAID:
From net investment income		(0.16	)		(0.09	)		(0.01	)
From net realized gains		–			–	(2)		–
Total Distributions Paid		(0.16	)		(0.09	)		(0.01	)
Net Asset Value, End of Period		$8.78			$10.03			$10.17
Total Return(3)		(11.22	)%		(0.36	)%		1.80	%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of period		$245,669			$229,838			$98,123
Ratio to average net assets of:(4)
Expenses, net of reimbursements and credits(5)		0.70	%		0.70	%		0.70	%
Expenses, before reimbursements and credits		0.80	%		0.88	%		1.08	%
Net investment income, net of reimbursements and credits(5)		1.57	%		1.60	%		1.54	%(6)
Net investment income, before reimbursements and credits		1.47	%		1.42	%		1.16	%(6)
Portfolio Turnover Rate		32.99	%		48.63	%		7.21	%

(1) Commenced investment operations on November 20, 2017.

(2) Per share amounts from distributions paid from net realized gains were less than $0.01 per share.

(3) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year. The total return is not annualized for periods less than one year.

(4) Annualized for periods less than one year.

(5) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $16,000, $11,000 and $2,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019 and for the period from November 20, 2017 (commencement of operations) to March 31, 2018, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(6) As the Fund commenced investment operations on November 20, 2017, annualized net investment income may not be reflective of actual amounts the Fund might obtain in a full year of operation.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 20 NORTHERN FUNDS ANNUAL REPORT

FOR THE FISCAL YEARS ENDED MARCH 31,

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.05			$9.68			$9.32			$8.89			$9.15
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.52			0.51			0.55			0.53			0.35
Net realized and unrealized gains (losses)		(1.70	)		(0.85	)		0.30			0.03			(0.55	)(1)
Total from Investment Operations		(1.18	)		(0.34	)		0.85			0.56			(0.20	)
LESS DISTRIBUTIONS PAID:
From net investment income(2)		(0.25	)		(0.29	)		(0.49	)		(0.13	)		–
Return of capital		–			–			–			–	(3)		(0.06	)
Total Distributions Paid		(0.25	)		(0.29	)		(0.49	)		(0.13	)		(0.06	)
Net Asset Value, End of Year		$7.62			$9.05			$9.68			$9.32			$8.89
Total Return(4)		(13.20	)%		(3.39	)%		9.30	%		6.32	%		(2.25	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$132,714			$174,193			$189,630			$98,397			$66,299
Ratio to average net assets of:
Expenses, net of reimbursements and credits(5)		0.94	%		0.95	%		0.94	%		0.95	%		0.95	%
Expenses, before reimbursements and credits		1.02	%		1.05	%		1.05	%		1.14	%		1.11	%
Net investment income, net of reimbursements and credits(5)		5.44	%		5.67	%		5.36	%		5.48	%		5.00	%
Net investment income, before reimbursements and credits		5.36	%		5.57	%		5.25	%		5.29	%		4.84	%
Portfolio Turnover Rate		73.25	%		82.84	%		99.56	%		210.59	%		203.48	%

(1) The Fund received reimbursements from Northern Trust Investments, Inc. of approximately $52,000. The reimbursements represents less than $0.01 per share and had no effect on the Fund’s total return.

(2) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(3) Per share amounts from distributions paid from return of capital were less than $0.01 per share.

(4) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(5) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $9,000, $11,000, $13,000, $8,000 and $5,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017 and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 21 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

FINANCIAL HIGHLIGHTS continued

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$9.56			$9.81			$10.01			$9.01			$10.12
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.63			0.60			0.63			0.63			0.51
Net realized and unrealized gains (losses)		(1.59	)		(0.25	)		(0.20	)		0.91			(1.03	)
Total from Investment Operations		(0.96	)		0.35			0.43			1.54			(0.52	)
LESS DISTRIBUTIONS PAID:
From net investment income(1)		(0.63	)		(0.60	)		(0.63	)		(0.54	)		(0.54	)
From net realized gains		–			–			–			–			(0.05	)
Total Distributions Paid		(0.63	)		(0.60	)		(0.63	)		(0.54	)		(0.59	)
Net Asset Value, End of Year		$7.97			$9.56			$9.81			$10.01			$9.01
Total Return(2)		(10.79	)%		3.75	%		4.37	%		17.41	%		(5.19	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$214,288			$365,996			$265,410			$322,859			$402,408
Ratio to average net assets of:
Expenses, net of reimbursements and credits(3)		0.86	%		0.86	%		0.86	%		0.87	%(4)		0.90	%
Expenses, before reimbursements and credits		0.95	%		0.98	%		0.99	%		0.99	%(4)		0.99	%
Net investment income, net of reimbursements and credits(3)		6.57	%		6.23	%		6.26	%		6.51	%(4)		5.51	%
Net investment income, before reimbursements and credits		6.48	%		6.11	%		6.13	%		6.39	%(4)		5.42	%
Portfolio Turnover Rate		63.55	%		80.62	%		66.18	%		92.50	%		73.41	%

(1) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(2) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(3) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $18,000, $31,000, $18,000, $25,000, and 29,000, which represent less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020, 2019, 2018, 2017, and 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(4) Effective June 15, 2016, the investment adviser reduced the management fee paid by the Fund and agreed to increase the expense reimbursement it provides the Fund by contractually limiting the Fund’s total expenses (other than certain excepted expenses noted in the Notes to the Financial Statements) to 0.85%. Prior to June 15, 2016, the expense limitation had been 0.90%.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 22 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

ACTIVE M EMERGING MARKETS EQUITY FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1)
Argentina – 0.3%
Globant S.A. *		4,650		$409
MercadoLibre, Inc. *		1,030		503
				912
Brazil – 6.5%
Ambev S.A. ADR *		1,051,926		2,420
B3 S.A. – Brasil Bolsa Balcao		135,100		926
Banco do Brasil S.A. *		179,300		958
CVC Brasil Operadora e Agencia de Viagens S.A.		201,200		437
Ez Tec Empreendimentos e Participacoes S.A.		26,700		153
Hapvida Participacoes e Investimentos S.A. (2)		65,000		531
Lojas Renner S.A.		78,800		510
Magazine Luiza S.A.		222,100		1,683
Natura & Co. Holding S.A. *		877,064		4,387
Notre Dame Intermedica Participacoes S.A.		159,200		1,368
Petroleo Brasileiro S.A. ADR (New York Exchange) *		188,578		1,037
Raia Drogasil S.A. *		11,300		220
Suzano S.A.		802,553		5,540
TOTVS S.A. *		35,700		320
Vale S.A. ADR *		129,740		1,076
WEG S.A.		31,900		205
XP, Inc., Class A *		5,300		102
				21,873
China – 23.3%
Aier Eye Hospital Group Co. Ltd., Class A		143,056		798
Alibaba Group Holding Ltd.  *		120,900		2,844
Alibaba Group Holding Ltd. ADR *		72,428		14,086
Anhui Conch Cement Co. Ltd., Class H		620,000		4,286
ANTA Sports Products Ltd.		164,000		1,185
Baidu, Inc. ADR *		31,722		3,197
Centre Testing International Group Co. Ltd., Class A		357,800		771
China Construction Bank Corp., Class H		710,000		579
China Feihe Ltd. *		74,000		132
China International Capital Corp. Ltd., Class H (2)		298,400		480
China International Travel Service Corp. Ltd., Class A		11,500		110

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1) – continued
China – 23.3% – continued
China Merchants Bank Co. Ltd., Class H		364,000		$1,634
China Vanke Co. Ltd., Class H		393,100		1,288
CITIC Securities Co. Ltd., Class H		768,000		1,398
Country Garden Services Holdings Co. Ltd.		108,000		436
Dongfeng Motor Group Co. Ltd., Class H		4,652,000		3,050
Gree Electric Appliances, Inc. of Zhuhai, Class A		17,600		130
Hangzhou Tigermed Consulting Co. Ltd., Class A		24,800		223
Huatai Securities Co. Ltd., Class H(2)		404,600		599
Industrial & Commercial Bank of China Ltd., Class H		808,000		551
JD.com, Inc. ADR *		91,800		3,718
Jiangsu Hengli Hydraulic Co. Ltd., Class A		203,500		1,772
Jiangsu Hengrui Medicine Co. Ltd., Class A		37,700		491
Kweichow Moutai Co. Ltd., Class A		7,400		1,163
Li Ning Co. Ltd.		611,500		1,774
Meituan Dianping, Class B *		57,700		693
NetEase, Inc. ADR		13,921		4,468
Ping An Healthcare and Technology Co. Ltd. (2)*		166,200		1,542
Ping An Insurance Group Co. of China Ltd., Class H		451,500		4,417
Shanghai International Airport Co. Ltd., Class A		22,000		189
Sunny Optical Technology Group Co. Ltd.		97,400		1,299
TAL Education Group ADR *		15,100		804
Tencent Holdings Ltd.		218,100		10,635
Want Want China Holdings Ltd.		4,857,000		3,504
Will Semiconductor Ltd., Class A		15,400		337
Wuliangye Yibin Co. Ltd., Class A		92,000		1,501
Wuxi Biologics Cayman, Inc. (2)*		98,000		1,263
Yonyou Network Technology Co. Ltd., Class A		31,300		179
Yum China Holdings, Inc.		11,900		507
Zoomlion Heavy Industry Science and Technology Co. Ltd., Class H		1,041,000		755
				78,788

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 23 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M EMERGING MARKETS EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1) – continued
Egypt – 1.6%
Commercial International Bank Egypt S.A.E.		1,417,368		$5,292
Commercial International Bank Egypt S.A.E. GDR (Registered)		73,430		266
				5,558
France – 0.1%
Airbus S.E.		2,555		166
LVMH Moet Hennessy Louis Vuitton S.E.		366		136
Teleperformance		976		203
				505
Greece – 0.1%
OPAP S.A.		23,495		181
Hong Kong – 4.3%
AIA Group Ltd.		339,600		3,055
Alibaba Health Information Technology Ltd. *		365,000		606
China Mobile Ltd. (Hong Kong Exchange)		1,037,502		7,838
China Overseas Land & Investment Ltd.		1,024,000		3,160
				14,659
Hungary – 0.4%
OTP Bank Nyrt.		11,991		348
Richter Gedeon Nyrt.		59,226		1,117
				1,465
India – 8.2%
Asian Paints Ltd.		76,566		1,671
Dr. Reddy’s Laboratories Ltd. ADR		11,470		463
Escorts Ltd.		18,296		160
HDFC Bank Ltd.		70,453		793
HDFC Bank Ltd. ADR		53,508		2,058
Hero MotoCorp Ltd.		160,744		3,364
Hindustan Unilever Ltd.		78,959		2,377
Housing Development Finance Corp. Ltd.		41,232		881
ICICI Bank Ltd.		89,848		393
ICICI Bank Ltd. ADR		182,599		1,552
Maruti Suzuki India Ltd.		10,319		578
Reliance Industries Ltd.		197,049		2,900
Tata Consultancy Services Ltd.		411,287		9,856
Tata Consumer Products Ltd.		15,279		59
UltraTech Cement Ltd.		11,357		483
				27,588

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1) – continued
Indonesia – 0.5%
Bank Central Asia Tbk PT		316,200		$534
Bank Rakyat Indonesia Persero Tbk PT		4,393,600		808
Bank Tabungan Pensiunan Nasional Syariah Tbk PT *		2,679,000		349
				1,691
Japan – 0.6%
Anritsu Corp.		36,200		672
Keyence Corp.		2,480		800
Sony Corp.		10,000		595
				2,067
Mexico – 5.4%
Alfa S.A.B. de C.V., Class A		4,404,988		1,177
America Movil S.A.B. de C.V. ADR		425,801		5,016
Grupo Aeroportuario del Centro Norte S.A.B. de C.V.		32,924		111
Grupo Bimbo S.A.B. de C.V., Series A		999,760		1,466
Grupo Financiero Banorte S.A.B. de C.V., Series O		478,300		1,310
Grupo Mexico S.A.B. de C.V., Series B		777,000		1,441
Telesites S.A.B. de C.V. *		280,568		184
Wal-Mart de Mexico S.A.B. de C.V.		3,155,600		7,435
				18,140
Netherlands – 0.2%
ASML Holding N.V.		2,638		701
Peru – 0.3%
Credicorp Ltd.		400		57
Southern Copper Corp.		36,660		1,033
				1,090
Philippines – 0.3%
Ayala Land, Inc.		374,000		224
BDO Unibank, Inc.		137,710		282
SM Prime Holdings, Inc.		529,700		297
Universal Robina Corp.		85,440		175
				978
Poland – 0.1%
Dino Polska S.A. (2)*		7,440		291
Russia – 1.3%
LUKOIL PJSC ADR		14,600		870
MMC Norilsk Nickel PJSC ADR		44,167		1,094
Sberbank of Russia PJSC ADR (London Exchange)		262,529		2,487
				4,451

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 24 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1) – continued
Saudi Arabia – 0.2%
Arab National Bank		32,641		$159
Jarir Marketing Co.		2,708		92
Riyad Bank		66,052		263
Saudi Industrial Investment Group		15,099		63
Saudi Telecom Co.		7,333		171
				748
Singapore – 0.0%
Sea Ltd. ADR *		3,470		154
South Africa – 3.8%
Barloworld Ltd.		495,158		1,786
Bidvest Group (The) Ltd.		358,814		2,926
Clicks Group Ltd.		29,398		423
FirstRand Ltd.		68,488		154
Naspers Ltd., Class N		30,498		4,333
Standard Bank Group Ltd.		312,706		1,788
Truworths International Ltd.		970,946		1,354
				12,764
South Korea – 15.0%
Amorepacific Corp.		31,937		4,402
Hyundai Mobis Co. Ltd.		16,330		2,249
Hyundai Motor Co.		70,712		5,095
LG Household & Health Care Ltd.		965		883
NAVER Corp.		12,819		1,763
NCSoft Corp.		659		349
NICE Information Service Co. Ltd.		13,361		145
Orion Corp.		46,083		4,331
POSCO		26,078		3,422
Samsung Electronics Co. Ltd.		554,674		21,557
Shinhan Financial Group Co. Ltd.		11,071		258
SK Hynix, Inc.		95,584		6,466
				50,920
Sweden – 0.1%
Atlas Copco AB, Class A		7,098		239
Switzerland – 0.3%
Logitech International S.A. (Registered)		7,370		319
Nestle S.A. (Registered)		6,482		668
				987
Taiwan – 12.7%
Accton Technology Corp.		70,000		371
Airtac International Group		82,183		1,205
Catcher Technology Co. Ltd.		294,000		1,869
CTBC Financial Holding Co. Ltd.		687,000		407

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 90.8% (1) – continued
Taiwan – 12.7% – continued
Hon Hai Precision Industry Co. Ltd.		1,907,796		$4,411
Largan Precision Co. Ltd.		35,000		4,351
MediaTek, Inc.		164,000		1,747
President Chain Store Corp.		36,000		337
Realtek Semiconductor Corp.		267,000		1,930
Taiwan Semiconductor Manufacturing Co. Ltd.		1,670,952		14,915
Taiwan Semiconductor Manufacturing Co. Ltd. ADR		185,500		8,865
Win Semiconductors Corp.		158,000		1,352
Wiwynn Corp.		56,000		1,279
				43,039
Thailand – 0.7%
CP ALL PCL (Registered)		1,301,871		2,420
Turkey – 1.3%
BIM Birlesik Magazalar A.S.		18,975		143
KOC Holding A.S.		73,781		150
Turk Telekomunikasyon A.S. *		637,636		632
Turkcell Iletisim Hizmetleri A.S.		1,793,448		3,349
				4,274
United Arab Emirates – 0.6%
Emaar Properties PJSC		3,281,852		1,944
United States – 2.6%
Estee Lauder (The) Cos., Inc., Class A		1,200		191
Facebook, Inc., Class A *		2,740		457
Mastercard, Inc., Class A		4,230		1,022
Microsoft Corp.		17,360		2,738
NIKE, Inc., Class B		1,670		138
NVIDIA Corp.		2,855		753
Tenaris S.A. ADR		143,506		1,729
Visa, Inc., Class A		10,000		1,611
				8,639
Total Common Stocks
(Cost $296,134)				307,066
PREFERRED STOCKS – 3.5% (1)
Brazil – 2.4%
Gerdau S.A. ADR, 1.32% (3)		50,600		97
Itau Unibanco Holding S.A. ADR, 0.94% (3)		860,719		3,865

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 25 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M EMERGING MARKETS EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
PREFERRED STOCKS – 3.5% (1) – continued
Brazil – 2.4% – continued
Lojas Americanas S.A. *		983,595		$3,441
Petroleo Brasileiro S.A. ADR, 0.00% (3)(4)		135,070		728
				8,131
Colombia – 0.4%
Bancolombia S.A. ADR, 4.75% (3)		55,896		1,395
South Korea – 0.7%
Samsung Electronics Co. Ltd., 3.59% (3)		75,018		2,449
Total Preferred Stocks
(Cost $13,836)				11,975
INVESTMENT COMPANIES – 4.3%
iShares Core MSCI Emerging Markets ETF		97,400		3,942
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (5)(6)		10,655,574		10,656
Total Investment Companies
(Cost $14,598)				14,598
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.6%
U.S. Treasury Bill, 1.47%, 7/16/20 (7)(8)		$1,990		$1,989
Total Short-Term Investments
(Cost $1,981)				1,989
Total Investments – 99.2%
(Cost $326,549)				335,628
Other Assets less Liabilities – 0.8%				2,742
Net Assets – 100.0%				$338,370

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(4) Current yield is less than 0.01%.

(5) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(6) 7-day current yield as of March 31, 2020 is disclosed.

(7) Discount rate at the time of purchase.

(8) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

ETF – Exchange-Traded Fund

GDR – Global Depositary Receipt

MSCI – Morgan Stanley Capital International

PCL – Public Company Limited

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
MSCI Emerging Markets Index		110		$4,636		Long		6/20		$191

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		11.8%
Consumer Discretionary		16.6
Consumer Staples		12.1
Energy		2.3
Financials		13.7
Health Care		2.6
Industrials		3.8
Information Technology		28.7
Materials		6.3
Real Estate		2.1
Total		100.0%

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 26 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		23.2%
Hong Kong Dollar		18.3
Korean Won		16.5
Taiwan Dollar		10.6
Indian Rupee		7.3
Brazilian Real		6.4
All other currencies less than 5%		17.7
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Argentina		$912		$–		$–		$912
Brazil		21,873		–		–		21,873
China		26,780		52,008		–		78,788
Egypt		5,292		266		–		5,558
India		4,073		23,515		–		27,588
Mexico		18,140		–		–		18,140
Peru		1,090		–		–		1,090
Singapore		154		–		–		154
Taiwan		8,865		34,174		–		43,039
United States		8,639		–		–		8,639
All Other Countries (1)		–		101,285		–		101,285
Total Common Stocks		95,818		211,248		–		307,066
Preferred Stocks:
South Korea		–		2,449		–		2,449
All Other Countries (1)		9,526		–		–		9,526
Total Preferred Stocks		9,526		2,449		–		11,975
Investment Companies		14,598		–		–		14,598
Short-Term Investments		–		1,989		–		1,989
Total Investments		$119,942		$215,686		$–		$335,628
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$191		$–		$–		$191

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 27 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M INTERNATIONAL EQUITY FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1)
Argentina – 1.2%
Globant S.A. *		5,021		$441
MercadoLibre, Inc. *		11,765		5,748
YPF S.A. ADR		89,751		375
				6,564
Australia – 2.6%
Appen Ltd.		27,680		344
Beach Energy Ltd.		703,572		515
Charter Hall Group		101,127		421
CSL Ltd.		60,113		10,905
Magellan Financial Group Ltd.		7,841		207
Mineral Resources Ltd.		61,427		524
Northern Star Resources Ltd.		57,920		371
OZ Minerals Ltd.		59,575		277
Saracen Mineral Holdings Ltd. *		167,444		377
Seven Group Holdings Ltd.		31,568		225
Shopping Centres Australasia Property Group		121,376		173
				14,339
Austria – 0.1%
Erste Group Bank A.G. *		42,131		781
Belgium – 0.5%
Ageas		42,041		1,749
Ontex Group N.V.		11,343		198
Warehouses De Pauw – C.V.A.		25,659		738
				2,685
Canada – 6.5%
ARC Resources Ltd.		83,530		240
B2Gold Corp.		170,646		517
Barrick Gold Corp.		153,603		2,823
Cameco Corp.		58,994		451
Canada Goose Holdings, Inc. *		14,260		284
Canadian Apartment Properties REIT		11,649		353
Canadian Imperial Bank of Commerce		14,597		851
Canadian Pacific Railway Ltd.		38,661		8,490
Canadian Western Bank		19,345		266
Finning International, Inc.		23,329		250
Kinross Gold Corp. *		253,132		1,007
Kirkland Lake Gold Ltd.		9,159		270
Lululemon Athletica, Inc. *		46,488		8,812
Manulife Financial Corp.		77,357		971
Maple Leaf Foods, Inc.		8,012		145
Norbord, Inc.		5,751		68
Northland Power, Inc.		25,767		514

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Canada – 6.5% – continued
Pan American Silver Corp.		24,636		$354
Parex Resources, Inc. *		47,452		401
Real Matters, Inc. *		37,281		371
Ritchie Bros. Auctioneers, Inc.		4,405		151
Shopify, Inc., Class A *		17,716		7,386
Stantec, Inc.		20,192		516
Tamarack Valley Energy Ltd. *		50,417		17
TFI International, Inc.		16,712		369
Tourmaline Oil Corp.		46,404		285
Tricon Capital Group, Inc.		56,927		279
				36,441
China – 2.8%
Baidu, Inc. ADR *		26,395		2,660
Beijing Capital International Airport Co. Ltd., Class H		758,000		482
China Telecom Corp. Ltd., Class H		6,170,259		1,862
Dongfeng Motor Group Co. Ltd., Class H		2,941,530		1,928
Sinopharm Group Co. Ltd., Class H		232,358		521
Tencent Holdings Ltd.		167,105		8,148
				15,601
Czech Republic – 0.0%
O2 Czech Republic A.S.		16,687		152
Denmark – 1.6%
AP Moller – Maersk A/S, Class B		2,224		1,995
Bavarian Nordic A/S *		10,063		161
Dfds A/S *		8,025		183
Drilling Co. of 1972 (The) A/S *		3,061		59
DSV PANALPINA A/S		59,289		5,399
GN Store Nord A/S		11,893		532
Royal Unibrew A/S		4,747		343
				8,672
Finland – 0.7%
Adapteo OYJ *		22,530		193
Kemira OYJ		26,752		260
Nokia OYJ		652,781		2,049
Outotec OYJ		77,942		291
TietoEVRY OYJ		15,645		340
Valmet OYJ		27,367		537
				3,670
France – 8.9%
Air France-KLM *		171,998		960
Alstom S.A.		9,162		383

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 28 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
France – 8.9% – continued
Alten S.A.		7,551		$543
Arkema S.A.		7,045		487
BNP Paribas S.A.		136,929		4,128
Carrefour S.A.		85,343		1,352
Cie de Saint-Gobain		130,049		3,162
Danone S.A.		25,850		1,667
Eiffage S.A.		9,882		700
Engie S.A.		177,019		1,831
EssilorLuxottica S.A.		47,823		5,188
EssilorLuxottica S.A. (Euronext Exchange)		560		60
Faurecia S.E.		11,883		356
Korian S.A.		14,754		459
La Francaise des Jeux S.A.E.M *		10,358		258
LVMH Moet Hennessy Louis Vuitton S.E.		21,560		8,003
Nexans S.A.		13,770		409
Nexity S.A.		11,054		341
Pernod Ricard S.A.		34,845		4,956
Renault S.A.		47,213		917
Rexel S.A.		218,075		1,625
Rubis S.C.A.		5,526		231
Safran S.A.		1,050		92
Savencia S.A.		17,938		955
SCOR S.E.		8,117		179
Societe Generale S.A.		98,855		1,663
SOITEC *		3,882		280
Teleperformance		6,909		1,442
TOTAL S.A.		164,121		6,364
Vinci S.A.		1,529		126
Worldline S.A./France (2)*		7,326		431
				49,548
Germany – 5.2%
Allianz S.E. (Registered)		3,562		614
alstria office REIT-A.G.		42,710		615
BASF S.E.		83,770		4,049
Bayer A.G. (Registered)		36,226		2,126
Bechtle A.G.		4,783		624
Carl Zeiss Meditec A.G. (Bearer)		7,122		692
CECONOMY A.G. *		138,922		304
Daimler A.G. (Registered)		67,753		2,078
Deutsche Lufthansa A.G. (Registered)		108,920		1,040
Deutsche Pfandbriefbank A.G.		42,722		328
Deutsche Post A.G. (Registered)		95,454		2,634
Draegerwerk A.G. & Co. KGaA		16,790		1,245

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Germany – 5.2% – continued
Encavis A.G.		21,261		$216
Fraport A.G. Frankfurt Airport Services Worldwide		5,981		243
Gerresheimer A.G.		5,777		369
HelloFresh S.E. *		20,268		682
Infineon Technologies A.G.		122,988		1,842
KION Group A.G.		8,487		373
METRO A.G.		44,973		389
Rheinmetall A.G.		3,651		261
RTL Group S.A.		21,727		734
RWE A.G.		18,698		501
Salzgitter A.G.		16,434		195
SAP S.E.		21,586		2,479
Siemens A.G. (Registered)		36,485		3,140
Suedzucker A.G.		29,050		421
TAG Immobilien A.G. *		33,800		671
				28,865
Hong Kong – 2.9%
AIA Group Ltd.		765,600		6,888
China High Precision Automation Group Ltd. (3)*		982,000		–
China Merchants Port Holdings Co. Ltd.		70,052		80
China Mobile Ltd.		155,000		1,171
China Mobile Ltd. (Hong Kong Exchange)		562,636		4,251
China Unicom Hong Kong Ltd.		3,289,983		1,885
CK Asset Holdings Ltd.		244,520		1,330
Melco International Development Ltd.		183,000		263
Towngas China Co. Ltd. *		518,000		256
Xinyi Glass Holdings Ltd.		248,000		282
				16,406
India – 0.9%
HDFC Bank Ltd. ADR		129,622		4,985
Ireland – 4.2%
Accenture PLC, Class A		48,416		7,904
AIB Group PLC *		599,271		670
Bank of Ireland Group PLC		433,869		821
Dalata Hotel Group PLC		56,815		154
Experian PLC		293,637		8,174
ICON PLC *		24,038		3,269
Ryanair Holdings PLC ADR *		37,138		1,972
UDG Healthcare PLC		70,578		552
				23,516

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 29 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M INTERNATIONAL EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Isle of Man – 0.1%
GVC Holdings PLC		49,899		$346
Israel – 0.0%
Israel Discount Bank Ltd., Class A		68,852		204
Italy – 3.4%
ACEA S.p.A.		33,156		527
Amplifon S.p.A.		21,490		441
Assicurazioni Generali S.p.A.		89,356		1,217
Banca Mediolanum S.p.A.		31,364		160
BPER Banca		166,291		511
Buzzi Unicem S.p.A.		28,192		516
DiaSorin S.p.A.		3,999		531
Eni S.p.A.		325,597		3,292
Ferrari N.V.		30,370		4,720
Infrastrutture Wireless Italiane S.p.A.		47,203		513
Interpump Group S.p.A.		11,462		276
Saipem S.p.A. *		365,020		897
UniCredit S.p.A.		700,363		5,484
				19,085
Japan – 15.2%
Adastria Co. Ltd.		18,700		210
Advantest Corp.		7,300		293
Anritsu Corp.		27,400		509
ASKUL Corp.		6,300		187
BayCurrent Consulting, Inc.		4,600		215
Benesse Holdings, Inc.		15,995		407
Canon, Inc.		43,837		957
Capcom Co. Ltd.		16,900		529
Chiyoda Corp. *		82,661		161
Citizen Watch Co. Ltd.		197,743		701
Daihen Corp.		10,200		273
Dai-ichi Life Holdings, Inc.		146,390		1,752
Daiseki Co. Ltd.		13,700		291
DeNA Co. Ltd.		78,521		860
Denka Co. Ltd.		10,600		223
Dip Corp.		18,500		298
Eiken Chemical Co. Ltd.		27,000		492
Eisai Co. Ltd.		13,923		1,022
FANUC Corp.		24,600		3,336
Fuji Corp.		21,600		330
Fuji Media Holdings, Inc.		43,688		436
Fujitsu Ltd.		12,779		1,153
FULLCAST Holdings Co. Ltd.		16,400		187
Fuso Chemical Co. Ltd.		9,700		272

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Japan – 15.2% – continued
Gree, Inc.		180,210		$696
Honda Motor Co. Ltd.		182,376		4,102
Inpex Corp.		277,151		1,558
Internet Initiative Japan, Inc.		11,700		384
Invincible Investment Corp.		859		192
Japan Lifeline Co. Ltd.		20,800		262
JGC Holdings Corp.		151,222		1,213
JSR Corp.		116,766		2,151
Kanamoto Co. Ltd.		12,600		245
Kenedix Office Investment Corp.		69		361
Keyence Corp.		20,220		6,525
Komatsu Ltd.		57,800		951
Kumagai Gumi Co. Ltd.		12,600		291
Lasertec Corp.		20,100		940
Lintec Corp.		2,800		59
Maeda Corp.		46,000		339
Makino Milling Machine Co. Ltd.		7,700		203
Matsumotokiyoshi Holdings Co. Ltd.		12,100		444
Mitsubishi Estate Co. Ltd.		103,913		1,532
Mitsubishi Heavy Industries Ltd.		52,897		1,338
Mitsubishi Motors Corp.		289,780		821
Mitsubishi Shokuhin Co. Ltd.		56,600		1,459
Mitsubishi UFJ Financial Group, Inc.		822,192		3,067
Murata Manufacturing Co. Ltd.		33,500		1,696
NET One Systems Co. Ltd.		18,500		385
Nichirei Corp.		13,500		383
Nikon Corp.		132,076		1,220
Nippon Accommodations Fund, Inc.		100		541
Nippon Suisan Kaisha Ltd.		95,400		422
Nippon Television Holdings, Inc.		80,583		900
Nissan Motor Co. Ltd.		342,999		1,132
Nitto Denko Corp.		31,361		1,400
Nomura Holdings, Inc.		377,075		1,597
North Pacific Bank Ltd.		154,700		292
Open House Co. Ltd.		20,000		411
PALTAC CORPORATION		11,500		574
Penta-Ocean Construction Co. Ltd.		83,000		437
Rengo Co. Ltd.		74,900		585
Resona Holdings, Inc.		576,924		1,736
Resorttrust, Inc.		18,400		180
Sankyu, Inc.		7,500		280
Sanwa Holdings Corp.		41,100		321
Sawai Pharmaceutical Co. Ltd.		9,000		482
Seino Holdings Co. Ltd.		34,000		369

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 30 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Japan – 15.2% – continued
Shiga Bank (The) Ltd.		17,700		$421
Shimamura Co. Ltd.		29,040		1,754
Ship Healthcare Holdings, Inc.		10,700		439
Sompo Holdings, Inc.		24,800		767
Starts Corp., Inc.		14,000		260
Sumitomo Forestry Co. Ltd.		22,100		283
Sumitomo Mitsui Financial Group, Inc.		172,035		4,180
Sumitomo Mitsui Trust Holdings, Inc.		70,780		2,045
Sushiro Global Holdings Ltd.		28,600		421
T&D Holdings, Inc.		322,282		2,631
Taiyo Yuden Co. Ltd.		14,400		381
Takasago Thermal Engineering Co. Ltd.		21,900		339
Takeda Pharmaceutical Co. Ltd.		213,546		6,535
THK Co. Ltd.		50,109		1,023
TIS, Inc.		50,800		840
Toda Corp.		47,700		278
Tokyo Steel Manufacturing Co. Ltd.		51,800		324
Toyo Tire Corp.		35,700		410
Yamato Kogyo Co. Ltd.		12,600		216
Z Holdings Corp.		439,340		1,413
Zenkoku Hosho Co. Ltd.		16,300		512
				85,042
Jersey – 0.0%
Centamin PLC		159,991		235
Jordan – 0.1%
Hikma Pharmaceuticals PLC		23,989		605
Malaysia – 0.1%
CIMB Group Holdings Bhd.		889,388		733
Mexico – 0.8%
Grupo Financiero Banorte S.A.B. de C.V., Series O		136,524		374
Wal-Mart de Mexico S.A.B. de C.V.		1,804,396		4,251
				4,625
Netherlands – 4.0%
ABN AMRO Bank N.V. – C.V.A. (2)		199,178		1,635
Akzo Nobel N.V.		31,105		2,051
Argenx S.E. *		2,525		341
ASM International N.V.		8,095		810
ASML Holding N.V. (Registered)		25,249		6,606
ASR Nederland N.V.		17,510		441
Euronext N.V.		9,967		742
Flow Traders		11,485		346
ING Groep N.V.		658,367		3,449

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Netherlands – 4.0% – continued
Intertrust N.V.		23,071		$289
PostNL N.V.		387,462		487
Royal Dutch Shell PLC, Class B		217,275		3,643
SBM Offshore N.V.		30,707		405
TKH Group N.V. – C.V.A.		5,672		158
VEON Ltd. ADR		438,962		663
				22,066
New Zealand – 0.0%
Summerset Group Holdings Ltd.		68,704		222
Norway – 0.6%
Bakkafrost P/F		6,207		295
Equinor ASA		132,248		1,666
Norsk Hydro ASA		665,095		1,445
Sparebanken Vest		40,954		194
				3,600
Russia – 0.5%
Gazprom PJSC ADR		288,724		1,330
LUKOIL PJSC ADR		7,561		451
Sberbank of Russia PJSC ADR		91,423		866
				2,647
Singapore – 0.1%
Frasers Logistics & Industrial Trust		601,700		375
South Africa – 0.3%
Gold Fields Ltd. ADR		151,681		721
Impala Platinum Holdings Ltd.		103,297		436
MTN Group Ltd.		173,223		467
				1,624
South Korea – 2.7%
AfreecaTV Co. Ltd.		6,678		285
Douzone Bizon Co. Ltd.		7,854		517
F&F Co. Ltd.		4,034		306
GS Home Shopping, Inc.		2,015		174
KB Financial Group, Inc.		71,607		1,998
KT Corp. ADR		212,378		1,652
Lotte Confectionery Co. Ltd.		781		67
Maeil Dairies Co. Ltd.		5,310		297
Partron Co. Ltd.		27,419		169
Samsung Electronics Co. Ltd.		78,741		3,060
Samsung Engineering Co. Ltd. *		26,900		221
Seegene, Inc.		18,460		1,690
SFA Engineering Corp.		11,694		296
Shinhan Financial Group Co. Ltd.		72,577		1,689

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 31 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M INTERNATIONAL EQUITY FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
South Korea – 2.7% – continued
SK Telecom Co. Ltd.		13,501		$1,954
SL Corp.		14,278		153
Soulbrain Co. Ltd.		9,749		502
				15,030
Spain – 1.7%
Amadeus IT Group S.A.		86,073		4,082
Applus Services S.A.		20,740		133
Banco Bilbao Vizcaya Argentaria S.A.		357,060		1,141
Bankinter S.A.		34,657		127
CaixaBank S.A. (OTC Exchange)		1,536,064		2,865
Cia de Distribucion Integral Logista Holdings S.A.		22,185		356
Indra Sistemas S.A. *		26,048		215
Masmovil Ibercom S.A. *		27,255		433
Merlin Properties Socimi S.A.		48,459		366
				9,718
Sweden – 1.6%
Atlas Copco AB, Class A		159,560		5,363
Evolution Gaming Group AB		24,729		842
Getinge AB, Class B		23,865		458
Nordic Entertainment Group AB, Class B		9,534		201
Peab AB, Class B		41,059		296
Stillfront Group AB *		11,472		512
Swedbank AB, Class A		36,367		406
Wihlborgs Fastigheter AB		48,408		674
				8,752
Switzerland – 10.3%
ABB Ltd. (Registered)		178,522		3,139
Adecco Group A.G. (Registered)		70,843		2,795
Alcon, Inc. *		131,030		6,687
Barry Callebaut A.G. (Registered)		126		253
Bucher Industries A.G. (Registered)		1,192		317
Cembra Money Bank A.G.		2,720		251
Chubb Ltd.		49,235		5,499
Cie Financiere Richemont S.A. (Registered)		39,312		2,155
Coca-Cola HBC A.G. – CDI *		14,279		307
Forbo Holding A.G. (Registered)		306		371
Galenica A.G. *		8,250		564
Geberit A.G. (Registered)		8,512		3,755
Helvetia Holding A.G. (Registered)		2,392		206
Julius Baer Group Ltd. *		65,920		2,251

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
Switzerland – 10.3% – continued
LafargeHolcim Ltd. (Registered) (Euronext Exchange) *		76,623		$2,801
Logitech International S.A. (Registered)		26,669		1,154
Nestle S.A. (Registered)		77,408		7,978
Novartis A.G. (Registered)		37,362		3,088
PSP Swiss Property A.G. (Registered)		5,638		705
Roche Holding A.G. (Genusschein)		5,231		1,701
Sika A.G. (Registered)		36,064		5,967
Straumann Holding A.G. (Registered)		400		298
Sulzer A.G. (Registered)		5,352		338
Swiss Life Holding A.G. (Registered)		2,289		779
UBS Group A.G. (Registered)		349,854		3,270
Vontobel Holding A.G. (Registered)		9,598		472
Wizz Air Holdings PLC *		12,695		362
				57,463
Taiwan – 1.7%
Innolux Corp.		3,455,085		598
Shin Kong Financial Holding Co. Ltd. *		3,647,814		920
Taiwan Semiconductor Manufacturing Co. Ltd. ADR		163,821		7,829
				9,347
Thailand – 0.2%
Kasikornbank PCL NVDR		495,710		1,382
United Kingdom – 10.3%
Aggreko PLC		32,982		199
Anglo American PLC		83,639		1,462
Ashmore Group PLC		106,531		470
AstraZeneca PLC		21,281		1,901
Atlantica Yield PLC		13,094		292
Auto Trader Group PLC (2)		79,349		431
Avast PLC		69,525		338
Aviva PLC		336,403		1,117
B&M European Value Retail S.A.		85,008		290
Babcock International Group PLC		231,728		1,098
Barclays PLC		2,207,842		2,565
Beazley PLC		42,708		207
Bellway PLC		7,421		198
BP PLC		951,912		4,050
British American Tobacco PLC		88,879		3,035
British Land (The) Co. PLC		170,572		710
BT Group PLC		994,314		1,450
Cairn Energy PLC *		258,096		247
Centrica PLC		1,351,979		636
Clinigen Group PLC		37,351		250

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 32 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
United Kingdom – 10.3% – continued
Coca-Cola European Partners PLC		12,749		$478
Compass Group PLC		33,591		525
Computacenter PLC		30,305		537
Cranswick PLC		9,731		446
Diageo PLC		584		19
Electrocomponents PLC		42,807		273
Future PLC		26,315		326
HomeServe PLC		37,481		491
Howden Joinery Group PLC		47,201		299
HSBC Holdings PLC		4,114		23
Intermediate Capital Group PLC		26,421		293
J Sainsbury PLC		934,285		2,433
JD Sports Fashion PLC		67,798		390
Johnson Matthey PLC		39,246		872
Kingfisher PLC		759,358		1,368
Land Securities Group PLC		114,208		787
Linde PLC		14,304		2,581
LondonMetric Property PLC		156,162		341
Marks & Spencer Group PLC		508,055		624
Micro Focus International PLC		95,510		472
National Express Group PLC		104,782		266
OneSavings Bank PLC		113,245		351
Premier Foods PLC *		758,508		228
Prudential PLC		125,696		1,605
Redrow PLC		68,656		306
RELX PLC		90,001		1,929
Rio Tinto PLC		9,889		454
Rolls-Royce Holdings PLC		502,089		2,113
Safestore Holdings PLC		85,806		681
Smith & Nephew PLC		381,066		6,762
Spirent Communications PLC		142,077		370
SSE PLC		54,015		872
Standard Chartered PLC		413,991		2,282
Stock Spirits Group PLC		135,716		276
Tate & Lyle PLC		77,106		626
Ultra Electronics Holdings PLC		3,474		86
UNITE Group (The) PLC		39,882		396
Vesuvius PLC		64,960		262
Vodafone Group PLC		1,408,187		1,967
WPP PLC		129,590		883
				57,239
United States – 3.3%
Mettler-Toledo International, Inc. *		7,327		5,059
Ovintiv, Inc.		101,930		280

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 95.1% (1) – continued
United States – 3.3% – continued
ResMed, Inc.		55,107		$8,117
STERIS PLC		35,323		4,944
				18,400
Total Common Stocks
(Cost $597,508)				530,965
PREFERRED STOCKS – 0.8% (1)
Germany – 0.8%
Volkswagen A.G., 6.56% (4)		36,523		4,351
Total Preferred Stocks
(Cost $5,363)				4,351
INVESTMENT COMPANIES – 0.3%
iShares Core MSCI EAFE ETF		12,940		646
Vanguard FTSE Developed Markets ETF		35,967		1,199
Total Investment Companies
(Cost $1,845)				1,845
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.8%
U.S. Treasury Bill, 1.47%, 7/16/20 (5)(6)		$4,460		$4,459
Total Short-Term Investments
(Cost $4,441)				4,459
Total Investments – 97.0%
(Cost $609,157)				541,620
Other Assets less Liabilities – 3.0%				16,563
Net Assets – 100.0%				$558,183

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Level 3 asset that is worthless, bankrupt or has been delisted.

(4) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(5) Discount rate at the time of purchase.

(6) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 33 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

ACTIVE M INTERNATIONAL EQUITY FUND continued

ADR – American Depositary Receipt

CDI – CREST Depository Interest

EAFE – Europe, Australasia and the Far East

ETF – Exchange-Traded Fund

FTSE – Financial Times Stock Exchange

MSCI – Morgan Stanley Capital International

NVDR – Non-Voting Depositary Receipt

PCL – Public Company Limited

PLC – Public Limited Company

REIT – Real Estate Investment Trust

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s)  (1)
MSCI EAFE Index		63		$4,912		Long		6/20		$216

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		7.1%
Consumer Discretionary		12.0
Consumer Staples		6.3
Energy		4.9
Financials		17.6
Health Care		13.7
Industrials		15.5
Information Technology		12.4
Materials		6.9
Real Estate		2.5
Utilities		1.1
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
Euro		24.9%
United States Dollar		18.6
Japanese Yen		15.8
British Pound		12.7
Swiss Franc		9.5
Hong Kong Dollar		5.5
All other currencies less than 5%		13.0
Total		100.0%

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 34 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Argentina		$6,564		$–		$–		6,564
Canada		36,441		–		–		36,441
China		2,660		12,941		–		15,601
India		4,985		–		–		4,985
Ireland		13,145		10,371		–		23,516
Mexico		4,625		–		–		4,625
Netherlands		7,269		14,797		–		22,066
South Africa		721		903		–		1,624
South Korea		1,652		13,378		–		15,030
Switzerland		5,499		51,964		–		57,463
Taiwan		7,829		1,518		–		9,347
United Kingdom		770		56,469		–		57,239
United States		18,400		–		–		18,400
All Other Countries (1)		–		258,064		–		258,064
Total Common Stocks		110,560		420,405		–		530,965
Preferred Stocks (1)		–		4,351		–		4,351
Investment Companies		1,845		–		–		1,845
Short-Term Investments		–		4,459		–		4,459
Total Investments		$112,405		$429,215		$–		$541,620
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$216		$–		$–		$216

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 35 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.1% (1)
Australia – 5.0%
Atlas Arteria Ltd.		2,286,245		$7,964
Aurizon Holdings Ltd.		434,908		1,127
AusNet Services		706,734		747
Spark Infrastructure Group		9,477,129		11,301
Transurban Group (OTC Exchange)		3,191,030		23,475
				44,614
Brazil – 0.8%
CPFL Energia S.A.		557,600		2,884
Transmissora Alianca de Energia Eletrica S.A.		784,700		3,884
				6,768
Canada – 5.1%
Atco Ltd., Class I		129,600		3,589
Emera, Inc.		156,008		6,153
Enbridge, Inc.		416,808		12,137
Hydro One Ltd. (2)		865,120		15,577
Pembina Pipeline Corp.		131,400		2,465
TC Energy Corp.		132,702		5,898
				45,819
Chile – 0.3%
Aguas Andinas S.A., Class A		8,086,975		2,381
China – 0.5%
Jiangsu Expressway Co. Ltd., Class H		4,346,000		4,839
France – 8.3%
Eiffage S.A.		76,607		5,425
Eutelsat Communications S.A.		854,242		8,945
Getlink S.E.		1,131,559		13,677
Rubis S.C.A.		100,809		4,214
SES S.A.		1,207,965		7,107
Vinci S.A. (OTC Exchange)		426,923		35,326
				74,694
Germany – 1.5%
Fraport A.G. Frankfurt Airport Services Worldwide		339,366		13,774
Hong Kong – 2.6%
China Merchants Port Holdings Co. Ltd.		1,132,000		1,288
CLP Holdings Ltd.		641,500		5,897
COSCO SHIPPING Ports Ltd.		1,538,000		740
Power Assets Holdings Ltd.		2,547,000		15,174
				23,099
Italy – 12.6%
ASTM S.p.A.		278,442		4,891

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.1% (1) – continued
Italy – 12.6% continued
Atlantia S.p.A. (OTC Exchange)		1,935,546		$24,262
Hera S.p.A.		2,764,339		9,929
Italgas S.p.A.		2,044,450		11,206
Snam S.p.A.		6,812,639		31,465
Terna Rete Elettrica Nazionale S.p.A.		4,955,136		31,401
				113,154
Japan – 1.6%
Central Japan Railway Co.		19,600		3,142
East Japan Railway Co.		80,500		6,100
Tokyo Gas Co. Ltd.		201,000		4,762
				14,004
Mexico – 0.8%
ALEATICA S.A.B. de C.V.		3,216,989		2,341
Grupo Aeroportuario del Sureste S.A.B. de C.V., Series B		252,762		2,382
Promotora y Operadora de Infraestructura S.A.B. de C.V.		291,649		1,957
				6,680
Netherlands – 1.8%
Koninklijke Vopak N.V.		309,432		16,135
New Zealand – 0.1%
Auckland International Airport Ltd.		382,860		1,128
Portugal – 0.5%
REN – Redes Energeticas Nacionais SGPS S.A.		1,688,169		4,311
Spain – 3.2%
Ferrovial S.A.		1,185,975		28,479
Switzerland – 1.3%
Flughafen Zurich A.G. (Registered)		105,415		11,866
United Kingdom – 13.9%
National Grid PLC		4,136,795		48,485
Pennon Group PLC		1,439,075		19,503
Severn Trent PLC		860,391		24,267
Signature Aviation PLC		1,103,456		2,253
SSE PLC		176,576		2,850
United Utilities Group PLC		2,466,792		27,546
				124,904
United States – 34.2%
Alliant Energy Corp.		109,722		5,298
Ameren Corp.		127,070		9,255
American Electric Power Co., Inc.		94,106		7,527
American Tower Corp.		38,745		8,437

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 36 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.1% (1) – continued
United States – 34.2% continued
Atmos Energy Corp.		127,107		$12,613
Avangrid, Inc.		35,665		1,561
Avista Corp.		64,472		2,739
CenterPoint Energy, Inc.		197,506		3,051
Cheniere Energy, Inc. *		90,111		3,019
CMS Energy Corp.		72,753		4,274
Crown Castle International Corp.		138,302		19,971
CSX Corp.		523,300		29,985
Dominion Energy, Inc.		265,258		19,149
Duke Energy Corp.		170,720		13,808
Edison International		173,464		9,504
Evergy, Inc.		106,116		5,842
Eversource Energy		51,518		4,029
Kansas City Southern		35,100		4,464
Kinder Morgan, Inc.		881,012		12,264
NextEra Energy, Inc.		68,659		16,521
NiSource, Inc.		736,505		18,391
Norfolk Southern Corp.		230,439		33,644
PNM Resources, Inc.		79,585		3,024
Portland General Electric Co.		81,523		3,908
SBA Communications Corp.		5,286		1,427
Sempra Energy		92,872		10,494
SJW Group		53,800		3,108
Southwest Gas Holdings, Inc.		30,900		2,149
UGI Corp.		157,317		4,196
Union Pacific Corp.		90,431		12,754
Williams (The) Cos., Inc.		1,091,412		15,444
Xcel Energy, Inc.		73,289		4,419
				306,269
Total Common Stocks
(Cost $933,526)				842,918
MASTER LIMITED PARTNERSHIPS – 1.2%
United States – 1.2%
Enterprise Products Partners L.P.		507,034		7,251
Magellan Midstream Partners L.P.		105,384		3,845
				11,096
Total Master Limited Partnerships
(Cost $18,330)				11,096

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.4%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (3)(4)		30,333,577		$30,334
Total Investment Companies
(Cost $30,334)				30,334
	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.2%
U.S. Treasury Bill, 1.47%, 7/16/20 (5)(6)		$1,750		$1,749
Total Short-Term Investments
(Cost $1,743)				1,749
Total Investments – 98.9%
(Cost $983,933)				886,097
Other Assets less Liabilities – 1.1%				10,123
Net Assets – 100.0%				$896,220

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(4) 7-day current yield as of March 31, 2020 is disclosed.

(5) Discount rate at the time of purchase.

(6) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

EAFE – Europe, Australasia and the Far East

MSCI – Morgan Stanley Capital International

PLC – Public Limited Company

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 37 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND continued MARCH 31, 2020

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P 500		36		$4,626		Long		6/20		$10
MSCI EAFE Index		49		3,820		Long		6/20		30
Total										$40

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		1.9%
Energy		9.2
Industrials		32.4
Real Estate		3.5
Utilities		53.0
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		37.2%
Euro		29.3
British Pound		14.6
Canadian Dollar		5.4
Australian Dollar		5.2
All other currencies less than 5%		8.3
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Brazil		$6,768		$–		$–		$6,768
Canada		45,819		–		–		45,819
Chile		2,381		–		–		2,381
Mexico		6,680		–		–		6,680
United States		306,269		–		–		306,269
All Other Countries (1)		–		475,001		–		475,001
Total Common Stocks		367,917		475,001		–		842,918
Master Limited Partnerships (1)		11,096		–		–		11,096
Investment Companies		30,334		–		–		30,334
Short-Term Investments		–		1,749		–		1,749
Total Investments		$409,347		$476,750		$–		$886,097
OTHER FINANCIAL INSTRUMENTS
Assets
Futures Contracts		$40		$–		$–		$40

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 38 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MULTI-MANAGER GLOBAL REAL ESTATE FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 86.3% (1)
Australia – 4.5%
BGP Holdings PLC (2)*		3,277,404		$–
Dexus		209,842		1,198
Goodman Group		176,628		1,349
Mirvac Group (OTC Exchange)		503,942		667
National Storage REIT		1,301,644		1,256
				4,470
Belgium – 2.1%
Shurgard Self Storage S.A.		30,080		894
Warehouses De Pauw – C.V.A.		40,920		1,177
				2,071
Canada – 2.3%
Allied Properties Real Estate Investment Trust		19,342		615
Boardwalk Real Estate Investment Trust		62,252		1,014
Granite Real Estate Investment Trust		15,306		632
				2,261
France – 0.6%
Gecina S.A.		2,657		352
Unibail-Rodamco-Westfield		4,325		245
				597
Germany – 4.3%
alstria office REIT-A.G.		17,537		253
Deutsche Wohnen S.E.		57,280		2,188
LEG Immobilien A.G.		7,691		869
Vonovia S.E.		19,696		971
				4,281
Hong Kong – 6.7%
CK Asset Holdings Ltd.		85,138		463
ESR Cayman Ltd. *		269,200		579
Hang Lung Properties Ltd.		545,656		1,104
Hysan Development Co. Ltd.		179,000		579
Link REIT		192,400		1,625
Sino Land Co. Ltd.		364,000		461
Sun Hung Kai Properties Ltd.		64,081		841
Swire Properties Ltd.		326,680		917
				6,569
India – 0.5%
Embassy Office Parks REIT		111,600		516
Japan – 9.0%
Advance Residence Investment Corp.		439		1,277
Daiwa House Industry Co. Ltd.		51,100		1,266
GLP J-Reit		634		713

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 86.3% (1) continued
Japan – 9.0% continued
Invesco Office J-Reit, Inc.		2,642		$346
Japan Logistics Fund, Inc.		499		1,109
Katitas Co. Ltd.		27,400		439
Kenedix Office Investment Corp.		189		990
Kenedix, Inc.		79,400		301
LaSalle Logiport REIT		314		423
MCUBS MidCity Investment Corp.		614		434
Mitsui Fudosan Co. Ltd.		56,024		969
Mitsui Fudosan Logistics Park, Inc.		93		393
Tokyu Fudosan Holdings Corp.		36,924		177
				8,837
Jersey – 0.2%
Atrium European Real Estate Ltd. *		70,653		211
Mexico – 0.3%
Corp. Inmobiliaria Vesta S.A.B. de C.V.		284,069		329
Norway – 0.7%
Entra ASA		59,220		705
Singapore – 4.1%
Ascendas India Trust		1,052,900		880
CapitaLand Commercial Trust		582,420		627
CapitaLand Ltd.		165,499		330
City Developments Ltd.		123,963		628
Keppel DC REIT		191,805		306
Keppel REIT		270,543		181
Mapletree Logistics Trust		1,005,300		1,119
				4,071
Sweden – 0.4%
Hufvudstaden AB, Class A		25,191		344
United Kingdom – 5.6%
Big Yellow Group PLC		68,472		852
Capital & Counties Properties PLC		59,891		123
Derwent London PLC		15,882		643
Grainger PLC		213,068		685
Hammerson PLC		213,873		205
Helios Towers PLC *		373,547		640
LondonMetric Property PLC		121,551		265
Shaftesbury PLC		97,149		744
Tritax Big Box REIT PLC		626,078		870
Tritax EuroBox PLC		188,419		219
UNITE Group (The) PLC		27,720		275
				5,521

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 39 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER GLOBAL REAL ESTATE FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 86.3% (1) – continued
United States – 45.0%
Alexandria Real Estate Equities, Inc.		8,929		$1,224
American Homes 4 Rent, Class A		69,598		1,615
American Tower Corp.		4,066		885
Americold Realty Trust		20,069		683
AvalonBay Communities, Inc.		14,862		2,187
Boston Properties, Inc.		511		47
Brixmor Property Group, Inc.		65,433		622
CareTrust REIT, Inc.		22,306		330
CoreSite Realty Corp.		3,731		432
Corporate Office Properties Trust		25,041		554
Cousins Properties, Inc.		11,986		351
CyrusOne, Inc.		10,936		675
Digital Realty Trust, Inc.		7,200		1,000
Douglas Emmett, Inc.		20,446		624
Duke Realty Corp.		12,524		405
EPR Properties		10,682		259
Equinix, Inc.		2,583		1,613
Equity LifeStyle Properties, Inc.		18,840		1,083
Equity Residential		20,075		1,239
Essex Property Trust, Inc.		3,150		694
Farmland Partners, Inc.		25,989		158
Federal Realty Investment Trust		4,232		316
Four Corners Property Trust, Inc.		20,627		386
Healthpeak Properties, Inc.		16,408		391
Host Hotels & Resorts, Inc.		67,831		749
Industrial Logistics Properties Trust		25,740		451
Kilroy Realty Corp.		10,154		647
Medical Properties Trust, Inc.		36,704		635
MGM Growth Properties LLC, Class A		35,889		849
Mid-America Apartment Communities, Inc.		17,666		1,820
National Retail Properties, Inc.		14,090		454
Park Hotels & Resorts, Inc.		37,354		295
Pebblebrook Hotel Trust		15,201		166
Physicians Realty Trust		39,780		555
Prologis, Inc. (New York Exchange)		66,003		5,305
Public Storage (New York Exchange)		18,770		3,728
Rayonier, Inc.		14,093		332
Retail Properties of America, Inc., Class A		23,849		123
Rexford Industrial Realty, Inc.		10,310		423
Ryman Hospitality Properties, Inc.		4,907		176
Simon Property Group, Inc.		20,129		1,104
STAG Industrial, Inc.		36,575		824

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 86.3% (1) – continued
United States – 45.0% – continued
STORE Capital Corp.		41,358		$749
Sun Communities, Inc.		9,401		1,174
Urban Edge Properties		88,404		779
VICI Properties, Inc.		91,361		1,520
Vornado Realty Trust		16,749		606
Welltower, Inc. (New York Exchange)		50,213		2,299
WP Carey, Inc.		13,156		764
				44,300
Total Common Stocks
(Cost $97,105)				85,083
INVESTMENT COMPANIES – 8.1%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (3)(4)		8,004,922		8,005
Total Investment Companies
(Cost $8,005)				8,005
Total Investments – 94.4%
(Cost $105,110)				93,088
Other Assets less Liabilities – 5.6%				5,480
Net Assets – 100.0%				$98,568

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Level 3 asset that is worthless, bankrupt or has been delisted.

(3) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(4) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

PLC – Public Limited Company

REIT – Real Estate Investment Trust

Percentages shown are based on Net Assets.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Diversified Real Estate Activities		7.3%
Diversified REITs		4.5
Health Care REITs		4.9
Hotel & Resort REITs		2.6

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 40 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Industrial REITs		18.9%
Integrated Telecommunication Services		0.8
Office REITs		10.4
Real Estate Development		1.6
Real Estate Operating Companies		11.2
Residential REITs		14.5
Retail REITs		7.5
Specialized REITs		15.8
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		52.1%
Japanese Yen		10.4
Euro		8.4
Hong Kong Dollar		7.7
British Pound		6.5
Australian Dollar		5.2
All other currencies less than 5%		9.7
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Canada		$2,261		$–		$–		$2,261
Mexico		329		–		–		329

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
United States		$44,300		$–		$–		$44,300
All Other Countries (1)		–		38,193		–		38,193
Total Common Stocks		46,890		38,193		–		85,083
Investment Companies		8,005		–		–		8,005
Total Investments		$54,895		$38,193		$–		$93,088

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 41 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

NORTHERN ENGAGE360^TM FUND

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1)
Argentina – 0.0%
MercadoLibre, Inc. *		183		$89
Australia – 0.3%
BHP Group Ltd.		8,310		151
Coles Group Ltd.		27,000		255
CSL Ltd.		1,960		356
Macquarie Group Ltd.		1,376		75
				837
Austria – 0.0%
Raiffeisen Bank International A.G.		5,850		86
Belgium – 0.2%
KBC Group N.V.		484		22
Telenet Group Holding N.V.		4,449		134
UCB S.A.		4,649		404
				560
Brazil – 0.3%
Banco Bradesco S.A.		35,300		128
BR Malls Participacoes S.A.		69,000		131
Cia de Saneamento Basico do Estado de Sao Paulo *		17,100		128
Cosan S.A.		24,100		249
Qualicorp Consultoria e Corretora de Seguros S.A.		39,000		180
				816
Canada – 2.2%
Alimentation Couche-Tard, Inc., Class B		14,600		344
Bank of Montreal		6,950		351
CAE, Inc.		16,782		212
Canadian Tire Corp. Ltd., Class A		3,400		205
Constellation Software, Inc.		743		675
Enerplus Corp.		45,397		67
Fairfax Financial Holdings Ltd.		186		57
IGM Financial, Inc.		26,927		447
Kirkland Lake Gold Ltd.		3,400		100
Magna International, Inc.		12,000		383
Manulife Financial Corp.		49,800		625
Open Text Corp.		21,400		749
Quebecor, Inc., Class B		14,300		316
Sun Life Financial, Inc.		6,100		196
Suncor Energy, Inc.		16,176		258
Toronto-Dominion Bank (The)		7,900		336
Vermilion Energy, Inc.		20,789		65
				5,386

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
Chile – 0.2%
Banco Santander Chile ADR		28,454		$430
China – 3.1%
Agricultural Bank of China Ltd., Class H		398,000		159
Alibaba Group Holding Ltd. ADR *		3,148		612
Anhui Conch Cement Co. Ltd., Class H		120,500		833
Baidu, Inc. ADR *		20,941		2,111
China Construction Bank Corp., Class H		363,000		296
China Shenhua Energy Co. Ltd., Class H		292,500		555
Maanshan Iron & Steel Co. Ltd., Class H		464,000		144
Momo, Inc. ADR		5,180		112
NetEase, Inc. ADR		2,900		931
Ping An Insurance Group Co. of China Ltd., Class H		67,000		656
Tencent Holdings Ltd. ADR		2,736		134
Vipshop Holdings Ltd. ADR *		14,900		232
Weichai Power Co. Ltd., Class H		221,000		354
Yanzhou Coal Mining Co. Ltd., Class H		150,000		117
Yum China Holdings, Inc.		7,116		303
				7,549
Colombia – 0.1%
Ecopetrol S.A. ADR		15,129		144
Denmark – 0.1%
Carlsberg A/S, Class B		1,450		165
Finland – 0.7%
Neste OYJ		8,460		287
Nokia OYJ		377,083		1,183
Nokian Renkaat OYJ		5,824		141
				1,611
France – 2.3%
Airbus S.E.		298		19
Arkema S.A.		3,120		216
Cellectis S.A. ADR *		10,186		94
Cie Generale des Etablissements Michelin S.C.A.		22,167		1,973
Credit Agricole S.A.		20,150		148
Dassault Aviation S.A.		290		239
Klepierre S.A.		5,014		97
Peugeot S.A.		21,948		293
Safran S.A.		5,517		485
Schneider Electric S.E.		4,800		413
SEB S.A.		1,300		162

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 42 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
France – 2.3% – continued
Thales S.A.		7,985		$670
TOTAL S.A.		12,022		466
Vivendi S.A.		15,205		326
				5,601
Germany – 3.7%
adidas A.G.		1,010		232
Allianz S.E. (Registered)		1,084		187
Argo Group International Holdings Ltd.		4,380		162
Axis Capital Holdings Ltd.		6,545		253
Deutsche Boerse A.G.		30,561		4,198
Deutsche Post A.G. (Registered)		10,020		277
Everest Re Group Ltd.		1,277		246
Hannover Rueck S.E.		3,360		491
MTU Aero Engines A.G.		459		67
Rocket Internet S.E. *		8,415		172
RTL Group S.A.		8,001		270
SAP S.E. ADR		10,621		1,174
Telefonica Deutschland Holding A.G.		530,728		1,319
				9,048
Hong Kong – 1.8%
China Mobile Ltd. (Hong Kong Exchange)		379,000		2,863
China Resources Cement Holdings Ltd.		194,000		230
China Unicom Hong Kong Ltd.		392,000		225
CITIC Ltd.		153,000		159
CK Asset Holdings Ltd.		18,000		98
CLP Holdings Ltd.		21,000		193
Hang Seng Bank Ltd.		12,000		205
Kunlun Energy Co. Ltd.		142,000		82
Li & Fung Ltd.		916,000		120
WH Group Ltd. (2)		344,000		319
				4,494
India – 0.1%
Dr. Reddy’s Laboratories Ltd. ADR		7,000		282
Indonesia – 0.1%
Bank Mandiri Persero Tbk PT		712,600		204
Bank Negara Indonesia Persero Tbk PT		220,000		51
				255
Ireland – 1.1%
Allegion PLC		14,400		1,325
Medtronic PLC		16,300		1,470
				2,795

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
Israel – 0.4%
Bank Leumi Le-Israel B.M.		60,189		$333
Check Point Software Technologies Ltd. *		4,601		462
Israel Discount Bank Ltd., Class A		57,000		169
				964
Italy – 0.7%
Enel S.p.A.		60,987		425
Italgas S.p.A.		21,241		116
Snam S.p.A.		259,444		1,198
				1,739
Japan – 9.3%
Advantest Corp.		2,900		116
Asahi Group Holdings Ltd.		13,100		425
Astellas Pharma, Inc.		42,300		655
Bandai Namco Holdings, Inc.		4,800		233
Bridgestone Corp.		35,300		1,086
Brother Industries Ltd.		5,000		76
Central Japan Railway Co.		2,600		417
Daito Trust Construction Co. Ltd.		4,100		382
Daiwa House Industry Co. Ltd.		6,500		161
Fuji Electric Co. Ltd.		10,400		235
FUJIFILM Holdings Corp.		11,200		562
Hoya Corp.		12,200		1,038
ITOCHU Corp.		45,000		934
Japan Tobacco, Inc.		61,400		1,137
KDDI Corp.		6,000		177
Mabuchi Motor Co. Ltd.		5,900		176
Marubeni Corp.		93,900		468
Mitsubishi UFJ Financial Group, Inc. ADR		159,000		582
MS&AD Insurance Group Holdings, Inc.		9,800		275
Nexon Co. Ltd.		11,400		186
Nintendo Co. Ltd.		9,800		3,780
Nippon Telegraph & Telephone Corp.		81,800		1,941
NTT DOCOMO, Inc.		33,700		1,059
Oji Holdings Corp.		42,000		225
Omron Corp.		5,200		271
Ono Pharmaceutical Co. Ltd.		6,000		138
ORIX Corp.		24,100		290
Otsuka Corp.		4,900		210
Secom Co. Ltd.		5,000		416
Shin-Etsu Chemical Co. Ltd.		3,800		377
Shinsei Bank Ltd.		15,600		208

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 43 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

NORTHERN ENGAGE360^TM FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
Japan – 9.3% – continued
Shionogi & Co. Ltd.		6,700		$330
Shizuoka Bank (The) Ltd.		6,600		40
Showa Denko K.K.		8,900		184
Sony Corp.		14,100		838
Sony Corp. ADR		25,400		1,503
Subaru Corp.		72,100		1,384
Toho Co. Ltd.		6,300		193
West Japan Railway Co.		1,500		103
				22,811
Mexico – 0.1%
Grupo Financiero Banorte S.A.B. de C.V., Series O		40,214		110
Wal-Mart de Mexico S.A.B. de C.V.		95,727		226
				336
Netherlands – 2.0%
Koninklijke Ahold Delhaize N.V.		153,167		3,585
NXP Semiconductors N.V.		6,389		530
Royal Dutch Shell PLC, Class B		28,603		479
Wolters Kluwer N.V.		5,590		397
				4,991
Norway – 0.2%
Telenor ASA		16,150		237
Yara International ASA		8,120		257
				494
Puerto Rico – 0.1%
EVERTEC, Inc.		11,089		252
Russia – 0.2%
Evraz PLC		37,869		108
MMC Norilsk Nickel PJSC ADR		11,181		277
				385
Singapore – 0.3%
DBS Group Holdings Ltd.		19,600		256
Genting Singapore Ltd.		379,300		184
Singapore Exchange Ltd.		63,000		406
				846
South Africa – 0.2%
Naspers Ltd., Class N		2,120		301
Nedbank Group Ltd.		7,800		36
Old Mutual Ltd.		69,375		46
Standard Bank Group Ltd.		34,583		198
				581

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
South Korea – 1.1%
Hana Financial Group, Inc.		9,490		$177
Hyundai Mobis Co. Ltd.		1,480		204
KB Financial Group, Inc.		3,711		104
KT&G Corp.		13,009		792
Samsung Electronics Co. Ltd.		26,298		1,022
Shinhan Financial Group Co. Ltd.		15,640		364
Woori Financial Group, Inc.		13,415		83
				2,746
Spain – 0.8%
Aena S.M.E. S.A. (2)		2,621		286
Endesa S.A.		54,094		1,158
Tecnicas Reunidas S.A. *		37,663		485
				1,929
Sweden – 0.6%
Atlas Copco AB, Class A		7,197		242
Essity AB, Class B		17,000		524
Lundin Petroleum AB		10,700		205
Sandvik AB		17,444		247
Spotify Technology S.A. *		1,324		161
				1,379
Switzerland – 5.5%
Alcon, Inc. *		24,700		1,255
Chubb Ltd.		8,300		927
CRISPR Therapeutics A.G. *		17,307		734
Kuehne + Nagel International A.G. (Registered)		192		26
Nestle S.A. (Registered)		8,512		877
Novartis A.G. (Registered)		9,577		792
Novartis A.G. ADR		15,000		1,237
Partners Group Holding A.G.		219		152
Roche Holding A.G. (Genusschein)		19,321		6,282
Swisscom A.G. (Registered)		2,169		1,169
				13,451
Taiwan – 0.8%
Catcher Technology Co. Ltd.		24,000		153
Delta Electronics, Inc.		52,000		207
Feng TAY Enterprise Co. Ltd.		20,000		86
Globalwafers Co. Ltd.		10,000		111
Phison Electronics Corp.		14,000		115
Powertech Technology, Inc.		40,000		112
Realtek Semiconductor Corp.		74,000		535
Taiwan Semiconductor Manufacturing Co. Ltd.		28,000		250

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 44 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
Taiwan – 0.8% – continued
Uni-President Enterprises Corp.		114,000		$247
Zhen Ding Technology Holding Ltd.		55,000		166
				1,982
Thailand – 0.4%
Fabrinet *		478		26
Intouch Holdings PCL NVDR		174,000		265
Kasikornbank PCL NVDR		234,600		654
				945
Turkey – 0.4%
Eregli Demir ve Celik Fabrikalari T.A.S.		118,192		132
Turk Telekomunikasyon A.S. *		375,000		372
Turkiye Garanti Bankasi A.S. *		190,000		229
Turkiye Is Bankasi A.S., Class C *		304,938		214
				947
United Arab Emirates – 0.0%
Dubai Financial Market PJSC *		326,356		49
United Kingdom – 4.8%
3i Group PLC		61,694		604
Anglo American PLC		4,910		86
Atlantica Yield PLC		7,309		163
Barclays PLC		126,000		146
Coca-Cola European Partners PLC		5,140		193
Direct Line Insurance Group PLC		125,000		457
GlaxoSmithKline PLC		185,146		3,473
Kingfisher PLC		16,464		30
Linde PLC		4,181		723
National Grid PLC		22,785		267
Persimmon PLC		23,790		563
Reckitt Benckiser Group PLC		6,457		496
RELX PLC		18,051		387
Rio Tinto Ltd.		10,279		544
Sage Group (The) PLC		22,000		161
Taylor Wimpey PLC		131,350		191
Tesco PLC		130,704		370
Unilever N.V.		17,689		872
Unilever N.V. (New York Exchange)		39,504		1,927
Vodafone Group PLC		15,539		22
				11,675
United States – 50.5%
2U, Inc. *		22,340		474
Aaron’s, Inc.		6,197		141
Activision Blizzard, Inc.		7,568		450
Adobe, Inc. *		13,459		4,283

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
United States – 50.5% – continued
AeroVironment, Inc. *		1,142		$70
Agilent Technologies, Inc.		5,363		384
Air Lease Corp.		11,418		253
Akamai Technologies, Inc. *		3,163		289
Albemarle Corp.		3,528		199
Allegiant Travel Co.		1,256		103
Allergan PLC		2,561		454
Alphabet, Inc., Class C *		1,359		1,580
Amazon.com, Inc. *		812		1,583
American Tower Corp.		5,640		1,228
Americold Realty Trust		22,843		778
Ameriprise Financial, Inc.		10,400		1,066
AmerisourceBergen Corp.		3,219		285
Amgen, Inc.		9,100		1,845
ANSYS, Inc. *		11,370		2,643
Apple, Inc.		6,738		1,713
Applied Materials, Inc.		9,765		447
Arrow Electronics, Inc. *		3,378		175
Atlantic Union Bankshares Corp.		10,500		230
Autodesk, Inc. *		5,587		872
Bank of America Corp.		68,200		1,448
Bausch Health Cos., Inc. *		6,600		102
Berkshire Hathaway, Inc., Class B *		11,229		2,053
Bio-Rad Laboratories, Inc., Class A *		1,173		411
Black Knight, Inc. *		6,563		381
BOK Financial Corp.		14,443		615
BorgWarner, Inc.		12,398		302
Boston Properties, Inc.		1,526		141
Boyd Gaming Corp.		9,728		140
Cabot Microelectronics Corp.		2,909		332
Cabot Oil & Gas Corp.		81,800		1,406
Capital One Financial Corp.		14,900		751
CBRE Group, Inc., Class A *		10,506		396
CenterPoint Energy, Inc.		9,244		143
Cerner Corp.		4,219		266
Charles Schwab (The) Corp.		28,883		971
Cimarex Energy Co.		2,840		48
Coca-Cola (The) Co.		32,500		1,438
Comcast Corp., Class A		22,284		766
Commerce Bancshares, Inc.		15,750		793
Continental Resources, Inc.		7,727		59
Corteva, Inc.		59,400		1,396
Crane Co.		3,676		181
CSX Corp.		7,896		452

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 45 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

NORTHERN ENGAGE360^TM FUND continued

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
United States – 50.5% – continued
Cullen/Frost Bankers, Inc.		8,900		$497
Cummins, Inc.		2,231		302
CyrusOne, Inc.		2,997		185
D.R. Horton, Inc.		11,009		374
Dana, Inc.		10,653		83
Danaher Corp.		16,000		2,215
Darden Restaurants, Inc.		5,970		325
DENTSPLY SIRONA, Inc.		4,057		158
Diamondback Energy, Inc.		1,808		47
Dolby Laboratories, Inc., Class A		3,290		178
Dover Corp.		3,343		281
Eagle Materials, Inc.		2,490		145
East West Bancorp, Inc.		22,400		577
Eastman Chemical Co.		3,899		182
Eaton Vance Corp.		5,936		191
Ecolab, Inc.		7,976		1,243
Editas Medicine, Inc. *		28,320		562
Elanco Animal Health, Inc. *		12,454		279
EnerSys		2,716		134
Ensign Group (The), Inc.		8,513		320
Equity LifeStyle Properties, Inc.		15,000		862
Facebook, Inc., Class A *		5,214		870
First Republic Bank		16,242		1,336
FNB Corp.		29,098		214
Fortive Corp.		18,480		1,020
Forward Air Corp.		3,251		165
General Dynamics Corp.		9,861		1,305
Genpact Ltd.		4,354		127
Glacier Bancorp, Inc.		10,287		350
Global Payments, Inc.		4,494		648
Graham Holdings Co., Class B		459		157
Graphic Packaging Holding Co.		15,990		195
Halliburton Co.		35,000		240
Hasbro, Inc.		1,944		139
Home Depot (The), Inc.		6,024		1,125
Honeywell International, Inc.		10,001		1,338
Houlihan Lokey, Inc.		6,386		333
Huntsman Corp.		11,629		168
Illumina, Inc. *		4,031		1,101
Independent Bank Corp.		5,148		331
Intellia Therapeutics, Inc. *		46,262		566
Intercontinental Exchange, Inc.		7,542		609
InterDigital, Inc.		5,632		251
Intuit, Inc.		8,314		1,912

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
United States – 50.5% – continued
Investors Bancorp, Inc.		24,163		$193
Invitae Corp. *		48,197		659
Invitation Homes, Inc.		9,652		206
Iridium Communications, Inc. *		7,678		171
John B. Sanfilippo & Son, Inc.		890		80
John Wiley & Sons, Inc., Class A		8,055		302
Johnson & Johnson		12,785		1,677
Johnson Controls International PLC		36,000		971
JPMorgan Chase & Co.		14,700		1,323
Kansas City Southern		2,309		294
KeyCorp		16,011		166
Keysight Technologies, Inc. *		5,746		481
Laboratory Corp. of America Holdings *		1,852		234
Lamb Weston Holdings, Inc.		1,200		69
LendingTree, Inc. *		1,883		345
Lennar Corp., Class A		26,000		993
M&T Bank Corp.		630		65
Markel Corp. *		1,907		1,769
Martin Marietta Materials, Inc.		6,700		1,268
Masco Corp.		10,312		356
MAXIMUS, Inc.		3,015		175
MDU Resources Group, Inc.		7,173		154
Mettler-Toledo International, Inc. *		1,184		818
Microchip Technology, Inc.		30,837		2,091
Microsoft Corp.		26,129		4,121
MKS Instruments, Inc.		2,434		198
Moody’s Corp.		6,093		1,289
Mueller Water Products, Inc., Class A		25,203		202
NanoString Technologies, Inc. *		8,269		199
Newmont Corp.		6,718		304
NIKE, Inc., Class B		11,058		915
NVIDIA Corp.		724		191
OceanFirst Financial Corp.		4,430		70
O’Reilly Automotive, Inc. *		1,947		586
Oshkosh Corp.		22,592		1,453
Outfront Media, Inc.		14,244		192
Packaging Corp. of America		3,016		262
Parker-Hannifin Corp.		8,300		1,077
PayPal Holdings, Inc. *		17,300		1,656
PBF Energy, Inc., Class A		6,265		44
PepsiCo, Inc.		7,486		899
Phibro Animal Health Corp., Class A		5,181		125
Philip Morris International, Inc.		38,265		2,792

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 46 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
United States – 50.5% – continued
Phillips 66		16,300		$874
Pinterest, Inc., Class A *		21,302		329
Pioneer Natural Resources Co.		6,800		477
Progressive (The) Corp.		7,030		519
Proto Labs, Inc. *		7,959		606
Pure Storage, Inc., Class A *		21,519		265
QTS Realty Trust, Inc., Class A		5,781		335
Radian Group, Inc.		10,577		137
Raymond James Financial, Inc.		5,195		328
Reinsurance Group of America, Inc.		5,285		445
RenaissanceRe Holdings Ltd.		1,905		284
Republic Services, Inc.		9,473		711
Rexford Industrial Realty, Inc.		4,278		175
Roku, Inc. *		7,145		625
Roper Technologies, Inc.		4,053		1,264
Ross Stores, Inc.		1,640		143
RPM International, Inc.		4,036		240
Rubius Therapeutics, Inc. *		19,294		86
salesforce.com, Inc. *		8,332		1,200
SBA Communications Corp.		2,117		572
Scotts Miracle-Gro (The) Co.		2,769		284
Sealed Air Corp.		7,313		181
Sensata Technologies Holding PLC *		9,945		288
Seres Therapeutics, Inc. *		29,720		106
Silgan Holdings, Inc.		5,750		167
Skyworks Solutions, Inc.		5,558		497
SLM Corp.		26,943		194
Snap-on, Inc.		2,540		276
Solaris Oilfield Infrastructure, Inc., Class A		13,896		73
Southwest Gas Holdings, Inc.		4,168		290
Splunk, Inc. *		4,618		583
Square, Inc., Class A *		21,367		1,119
STAG Industrial, Inc.		10,526		237
Starbucks Corp.		6,417		422
Stericycle, Inc. *		7,799		379
Stifel Financial Corp.		4,851		200
Stratasys Ltd. *		40,799		651
Sun Communities, Inc.		9,051		1,130
Syneos Health, Inc. *		6,148		242
Synopsys, Inc. *		4,463		575
Sysco Corp.		6,189		282
Teladoc Health, Inc. *		1,637		254
Teleflex, Inc.		4,899		1,435

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 94.7% (1) – continued
United States – 50.5% – continued
Tenaris S.A. ADR		10,225		$123
Teradyne, Inc.		2,203		119
Ternium S.A. ADR		12,989		155
Tesla, Inc. *		2,765		1,449
TJX (The) Cos., Inc.		10,797		516
TransDigm Group, Inc.		2,576		825
TTEC Holdings, Inc.		9,347		343
Twitter, Inc. *		47,996		1,179
Tyson Foods, Inc., Class A		20,160		1,167
Umpqua Holdings Corp.		11,129		121
US Bancorp		18,598		641
VICI Properties, Inc.		15,976		266
Visa, Inc., Class A		7,823		1,260
Vistra Energy Corp.		14,320		229
Walgreens Boots Alliance, Inc.		17,700		810
Washington Federal, Inc.		5,350		139
WEC Energy Group, Inc.		5,116		451
Winmark Corp.		780		99
Woodward, Inc.		4,551		271
Xilinx, Inc. (NASDAQ Exchange)		11,187		872
Xylem, Inc.		19,500		1,270
Zillow Group, Inc., Class C *		15,110		544
				123,940
Total Common Stocks
(Cost $265,817)				232,590
PREFERRED STOCKS – 0.2% (1)
Brazil – 0.1%
Petroleo Brasileiro S.A., 0.00% (3)(4)		67,000		180
Spain – 0.1%
Grifols S.A. ADR, 2.24% (4)		14,940		301
Total Preferred Stocks
(Cost $725)				481
INVESTMENT COMPANIES – 4.0%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (5)(6)		9,878,233		9,878
Total Investment Companies
(Cost $9,878)				9,878

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 47 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

NORTHERN ENGAGE360^TM FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
SHORT-TERM INVESTMENTS – 0.2%
U.S. Treasury Bill, 0.96%, 7/16/20 (7)(8)		$465		$465
Total Short-Term Investments
(Cost $464)				465
Total Investments – 99.1%
(Cost $276,884)				243,414
Other Assets less Liabilities – 0.9%				2,255
Net Assets – 100.0%				$245,669

(1) Adjustment factors obtained from an independent evaluation service were used to determine the value of certain foreign securities.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Current yield is less than 0.01%.

(4) Current yield is disclosed. Dividends are calculated based on a percentage of the issuer’s net income.

(5) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(6) 7-day current yield as of March 31, 2020 is disclosed.

(7) Discount rate at the time of purchase.

(8) Security pledged as collateral to cover margin requirements for open futures contracts.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ADR – American Depositary Receipt

EAFE – Europe, Australasia and the Far East

MSCI – Morgan Stanley Capital International

NVDR – Non-Voting Depositary Receipt

PCL – Public Company Limited

PLC – Public Limited Company

S&P – Standard & Poor’s

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY	CONTRACTS TO DELIVER CURRENCY		AMOUNT (LOCAL CURRENCY) (000s)		IN EXCHANGE FOR CURRENCY		AMOUNT (LOCAL CURRENCY) (000s)		SETTLEMENT DATE		UNREALIZED APPRECIATION (DEPRECIATION) (000s)
JPMorgan Chase		Chinese Yuan Renminbi		4,323		United States Dollar		619		5/13/20		$9
JPMorgan Chase		United States Dollar		607		Chinese Yuan Renminbi		4,323		5/13/20		3
Subtotal Appreciation												12
JPMorgan Chase		Euro		345		Australian Dollar		562		5/13/20		(35)
JPMorgan Chase		Euro		1,570		British Pound		1,329		5/13/20		(84)
JPMorgan Chase		Euro		398		Canadian Dollar		581		5/13/20		(27)
JPMorgan Chase		Euro		150		Israeli Shekel		560		5/13/20		(8)
JPMorgan Chase		Euro		30		New Zealand Dollar		51		5/13/20		(2)
JPMorgan Chase		Euro		159		Norwegian Krone		1,614		5/13/20		(20)
JPMorgan Chase		Euro		98		Singapore Dollar		149		5/13/20		(3)
JPMorgan Chase		Euro		590		Swedish Krona		6,218		5/13/20		(23)
JPMorgan Chase		United States Dollar		2,102		Australian Dollar		3,122		5/13/20		(182)
JPMorgan Chase		United States Dollar		1,399		Canadian Dollar		1,859		5/13/20		(77)
JPMorgan Chase		United States Dollar		95		Norwegian Krone		875		5/13/20		(11)
JPMorgan Chase		United States Dollar		332		Singapore Dollar		460		5/13/20		(8)
JPMorgan Chase		United States Dollar		213		Swedish Krona		2,044		5/13/20		(6)
Subtotal Depreciation												(486)
Total												$(474)

At March 31, 2020, the Fund had open futures contracts as follows:

TYPE	NUMBER OF CONTRACTS		NOTIONAL AMOUNT (000s)		CONTRACT POSITION		CONTRACT EXP.		VALUE AND UNREALIZED APPRECIATION (DEPRECIATION) (000s) (1)
E-Mini S&P 500		20		$2,570		Long		06/20		$40
MSCI EAFE Index		21		1,637		Long		06/20		162
MSCI Emerging Markets Index		14		590		Long		06/20		35
Total										$237

(1) Includes cumulative appreciation/depreciation on futures contracts. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 48 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Communication Services		10.8%
Consumer Discretionary		9.0
Consumer Staples		8.7
Energy		3.0
Financials		16.2
Health Care		14.5
Industrials		10.5
Information Technology		17.3
Materials		4.7
Real Estate		3.2
Utilities		2.1
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		62.4%
Euro		10.1
Japanese Yen		8.9
All other currencies less than 5%		18.6
Total		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices). The Fund adjusted the price of certain foreign equity securities held in its portfolio on March 31, 2020 using adjustment factors designed to reflect more accurately the fair value of the securities. See Note 2 for a discussion of this procedure. The fair valuation of these securities resulted in their categorization as Level 2 investments.

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Common Stocks:
Argentina		$89		$–			$–		$89
Brazil		816		–			–		816
Canada		5,386		–			–		5,386
Chile		430		–			–		430
China		4,435		3,114			–		7,549
Colombia		144		–			–		144
France		94		5,507			–		5,601
Germany		1,835		7,213			–		9,048
India		282		–			–		282
Ireland		2,795		–			–		2,795
Israel		462		502			–		964
Japan		2,085		20,726			–		22,811
Mexico		336		–			–		336
Netherlands		530		4,461			–		4,991
Puerto Rico		252		–			–		252
Sweden		161		1,218			–		1,379
Switzerland		4,153		9,298			–		13,451
Thailand		26		919			–		945
United Kingdom		3,006		8,669			–		11,675
United States		123,940		–			–		123,940
All Other Countries (1)		–		19,706			–		19,706
Total Common Stocks		151,257		81,333			–		232,590
Preferred Stocks (1)		481		–			–		481
Investment Companies		9,878		–			–		9,878
Short-Term Investments		–		465			–		465
Total Investments		$161,616		$81,798			$–		$243,414
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$–		$12			$–		$12
Futures Contracts		237		–			–		237
Liabilities
Forward Foreign Currency Exchange Contracts		–		(486	)		–		(486	)
Total Other Financial Instruments		$237		$(474	)		$–		$(237	)

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 49 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
CORPORATE BONDS – 0.1%
United States – 0.1%
CEDC Finance Corp. International, Inc., 10.00%, 12/31/22 (2)		$85		$70
Total Corporate Bonds
(Cost $84)				70
FOREIGN ISSUER BONDS – 94.7%
Angola – 0.7%
Angolan Government International Bond, 9.50%, 11/12/25		650		280
8.25%, 5/9/28		200		83
8.00%, 11/26/29		200		84
9.38%, 5/8/48		1,205		480
				927
Argentina – 2.0%
Argentina POM Politica Monetaria, (Floating, Argentina Blended Historical Policy Rate + 0.00%), 38.04%, 6/21/20 (ARS) (3)		35,966		348
Argentina Treasury Bill, 0.00%, 5/13/20 (ARS) (4)		3,165		18
0.00%, 7/29/20 (ARS) (4)		1,422		25
0.00%, 8/27/20 (ARS) (4)		1,727		25
0.00%, 10/29/20 (ARS) (4)		9,099		124
Argentine Republic Government International Bond, 6.88%, 4/22/21		750		223
5.63%, 1/26/22		341		100
4.63%, 1/11/23		441		128
7.50%, 4/22/26		705		199
5.88%, 1/11/28		186		51
8.28%, 12/31/33		259		91
(Step to 5.25% on 3/31/29), 3.75%, 12/31/38 (5)		435		128
7.63%, 4/22/46		1,200		312
6.88%, 1/11/48		785		208
Autonomous City of Buenos Aires Argentina, (Floating, Argentina Deposit Rates Badlar Private Banks 30-35 Days + 3.25%), 31.46%, 3/29/24 (ARS) (3)		3,021		33
Bonos del Tesoro Nacional en Pesos Badlar, (Floating, Argentina Deposit Rates Badlar Private Banks 30-35 Days + 2.00%), 30.19%, 4/3/22 (ARS) (3)		5,194		53

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Argentina – 2.0% – continued
Provincia de Buenos Aires, 6.50%, 2/15/23		$450		$117
9.13%, 3/16/24		500		130
(Floating, Argentina Deposit Rates Badlar Private Banks 30-35 Days + 3.75%), 37.46%, 4/12/25 (ARS) (3)		4,138		32
YPF S.A., 8.75%, 4/4/24		450		253
				2,598
Azerbaijan – 1.1%
Republic of Azerbaijan International Bond, 4.75%, 3/18/24		500		490
3.50%, 9/1/32		612		519
Southern Gas Corridor CJSC, 6.88%, 3/24/26		200		205
State Oil Co. of the Azerbaijan Republic, 6.95%, 3/18/30		200		201
				1,415
Bahamas – 0.2%
Bahamas Government International Bond, 6.00%, 11/21/28		343		298
Bahrain – 0.5%
Bahrain Government International Bond, 6.13%, 7/5/22		400		382
7.50%, 9/20/47		200		169
Oil and Gas Holding (The) Co. BSCC, 8.38%, 11/7/28		200		177
				728
Belarus – 0.3%
Republic of Belarus International Bond, 6.88%, 2/28/23		240		236
6.20%, 2/28/30		200		183
				419
Bermuda – 0.5%
Digicel Group One Ltd., 8.25%, 12/30/22 (6)		754		358
Digicel Group Two Ltd., 8.25%, 9/30/22 (6)		708		110
9.13%, 4/1/24 (6)(7)		257		32
Digicel Ltd., 6.00%, 4/15/21 (6)		230		124
				624

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 50 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Brazil – 8.0%
Banco do Brasil S.A., (Variable, U.S. Treasury Yield Curve Rate CMT 10Y + 4.40%), 6.25%, 4/15/24 (8)(9)		$200		$157
Brazil Letras do Tesouro Nacional, 0.00%, 7/1/23 (BRL) (4)		5,398		864
Brazil Notas do Tesouro Nacional, Serie F, 10.00%, 1/1/21 (BRL)		6,618		1,333
10.00%, 1/1/23 (BRL)		8,604		1,840
10.00%, 1/1/25 (BRL)		4,338		943
10.00%, 1/1/27 (BRL)		7,308		1,596
10.00%, 1/1/29 (BRL)		6,036		1,324
10.00%, 1/1/31 (BRL)		406		90
Brazilian Government International Bond, 4.63%, 1/13/28		200		213
8.25%, 1/20/34		118		149
7.13%, 1/20/37		153		180
5.63%, 1/7/41		100		103
5.00%, 1/27/45		450		427
4.75%, 1/14/50		200		183
Oi S.A., 10.00%,(100% Cash), 7/27/25 (7)		990		676
Samarco Mineracao S.A., 4.13%, 11/1/22 (6)		400		154
5.75%, 10/24/23 (6)		600		231
5.38%, 9/26/24 (6)		300		115
				10,578
Chile – 2.3%
Bonos de la Tesoreria de la Republica, 1.90%, 9/1/30 (CLP)		1		19
2.00%, 3/1/35 (CLP)		3		118
Bonos de la Tesoreria de la Republica en pesos, 4.50%, 3/1/26 (CLP)		1,060,000		1,355
4.70%, 9/1/30 (CLP)		85,000		109
5.00%, 3/1/35 (CLP)		520,000		677
Corp. Nacional del Cobre de Chile, 5.63%, 10/18/43		200		219
4.88%, 11/4/44		200		204
4.38%, 2/5/49		220		212
Empresa Nacional del Petroleo, 4.50%, 9/14/47		200		158
				3,071

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
China – 1.3%
Amber Circle Funding Ltd., 3.25%, 12/4/22		$200		$210
China Evergrande Group, 7.50%, 6/28/23		370		265
10.50%, 4/11/24		250		184
8.75%, 6/28/25		200		141
Kaisa Group Holdings Ltd., 8.50%, 6/30/22		215		178
10.88%, 7/23/23		200		162
9.38%, 6/30/24		265		205
Sinochem Overseas Capital Co. Ltd., 4.50%, 11/12/20		200		200
Sunac China Holdings Ltd., 7.50%, 2/1/24		200		181
				1,726
Colombia – 4.9%
Colombia Government International Bond, 8.13%, 5/21/24		213		246
7.38%, 9/18/37		100		124
6.13%, 1/18/41		165		190
5.63%, 2/26/44		200		219
5.00%, 6/15/45		850		871
Colombian TES, 7.00%, 5/4/22(COP)		2,719,400		695
4.75%, 2/23/23(COP)		7,179		518
10.00%, 7/24/24(COP)		7,072,300		1,991
6.25%, 11/26/25(COP)		182,800		44
7.50%, 8/26/26(COP)		1,061,300		268
5.75%, 11/3/27(COP)		88,600		20
6.00%, 4/28/28(COP)		4,223,200		971
7.00%, 6/30/32(COP)		600,000		145
7.25%, 10/18/34(COP)		346,200		86
Empresas Publicas de Medellin ESP, 8.38%, 11/8/27(COP)		693,000		155
				6,543
Costa Rica – 1.6%
Banco Nacional de Costa Rica, 6.25%, 11/1/23		200		183
Costa Rica Government International Bond, 4.83%, 5/27/20		200		200
5.52%, 11/10/21		700		676

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 51 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Costa Rica – 1.6% – continued
5.75%, 11/20/24		$650		$596
6.44%, 11/21/29		480		407
				2,062
Croatia – 1.3%
Croatia Government International Bond, 6.63%, 7/14/20		300		303
6.38%, 3/24/21		200		205
5.50%, 4/4/23		200		210
6.00%, 1/26/24		900		977
				1,695
Czech Republic – 1.7%
Czech Republic Government Bond, 0.45%, 10/25/23 (CZK)		20,000		787
2.40%, 9/17/25 (CZK)		7,100		302
0.95%, 5/15/30 (CZK)		23,270		901
2.00%, 10/13/33 (CZK)		7,510		311
4.20%, 12/4/36 (CZK)		390		21
				2,322
Dominican Republic – 2.3%
Dominican Republic International Bond, 7.50%, 5/6/21		80		80
6.60%, 1/28/24		100		98
5.88%, 4/18/24		200		197
5.50%, 1/27/25		550		528
6.88%, 1/29/26		230		229
9.75%, 6/5/26 (DOP)		32,700		528
5.95%, 1/25/27		200		189
7.45%, 4/30/44		190		184
6.85%, 1/27/45		800		734
6.50%, 2/15/48		200		176
6.40%, 6/5/49		200		176
				3,119
Ecuador – 1.2%
Ecuador Government International Bond, 10.75%, 3/28/22 (6)		260		80
8.75%, 6/2/23 (6)		200		59
7.95%, 6/20/24 (6)		691		193
7.88%, 3/27/25 (6)		650		183
9.65%, 12/13/26 (6)		850		221
9.63%, 6/2/27 (6)		250		68
8.88%, 10/23/27 (6)		343		86
7.88%, 1/23/28 (6)		878		241

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Ecuador – 1.2% – continued
10.75%, 1/31/29 (6)		$814		$230
9.50%, 3/27/30 (6)		600		177
				1,538
Egypt – 1.8%
Egypt Government Bond, 15.90%, 7/2/24 (EGP)		800		54
16.10%, 5/7/29 (EGP)		808		58
Egypt Government International Bond, 7.50%, 1/31/27		800		731
6.59%, 2/21/28		200		171
7.60%, 3/1/29		200		180
7.05%, 1/15/32		229		186
8.50%, 1/31/47		800		660
7.90%, 2/21/48		430		351
				2,391
El Salvador – 0.7%
El Salvador Government International Bond, 5.88%, 1/30/25		93		82
6.38%, 1/18/27		85		74
8.63%, 2/28/29		504		489
8.25%, 4/10/32		131		119
7.65%, 6/15/35		80		68
7.63%, 2/1/41		150		123
				955
Gabon – 0.1%
Gabon Government International Bond, 6.63%, 2/6/31 (2)		200		123
Georgia – 0.2%
Georgia Government International Bond, 6.88%, 4/12/21		200		201
Ghana – 0.6%
Ghana Government International Bond, 7.88%, 8/7/23		100		84
7.63%, 5/16/29		200		145
10.75%, 10/14/30		200		207
8.13%, 3/26/32		200		143
7.88%, 2/11/35		200		142
8.63%, 6/16/49		200		141
				862
Guatemala – 0.3%
Guatemala Government Bond, 4.90%, 6/1/30		400		383

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 52 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Honduras – 0.2%
Honduras Government International Bond, 6.25%, 1/19/27		$300		$261
Hungary – 2.7%
Hungary Government Bond, 1.50%, 8/24/22 (HUF)		230,500		711
5.50%, 6/24/25 (HUF)		73,690		268
3.00%, 10/27/27 (HUF)		121,770		393
6.75%, 10/22/28 (HUF)		21,730		88
3.00%, 8/21/30 (HUF)		200,490		628
Hungary Government International Bond, 5.38%, 2/21/23		310		333
5.75%, 11/22/23		792		871
5.38%, 3/25/24		256		282
7.63%, 3/29/41		38		58
				3,632
India – 0.2%
Export-Import Bank of India, 4.00%, 1/14/23		200		200
Indonesia – 8.1%
Indonesia Government International Bond, 8.50%, 10/12/35		200		287
6.63%, 2/17/37		750		943
7.75%, 1/17/38		200		276
5.25%, 1/17/42		1,070		1,219
5.13%, 1/15/45		200		223
5.25%, 1/8/47		200		221
Indonesia Treasury Bond, 6.50%, 6/15/25 (IDR)		3,389,000		202
8.38%, 9/15/26 (IDR)		7,877,000		499
7.00%, 5/15/27 (IDR)		4,208,000		246
6.13%, 5/15/28 (IDR)		2,899,000		157
9.00%, 3/15/29 (IDR)		7,246,000		469
8.25%, 5/15/29 (IDR)		3,111,000		194
10.50%, 8/15/30 (IDR)		2,813,000		199
7.00%, 9/15/30 (IDR)		7,270,000		418
8.75%, 5/15/31 (IDR)		11,890,000		745
9.50%, 7/15/31 (IDR)		17,912,000		1,180
7.50%, 8/15/32 (IDR)		4,849,000		275
6.63%, 5/15/33 (IDR)		1,545,000		82
8.38%, 3/15/34 (IDR)		2,595,000		158
7.50%, 6/15/35 (IDR)		2,274,000		131
8.25%, 5/15/36 (IDR)		23,536,000		1,406
7.50%, 5/15/38 (IDR)		635,000		35

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Indonesia – 8.1% – continued
8.38%, 4/15/39 (IDR)		$2,451,000		$151
Perusahaan Listrik Negara PT, 5.50%, 11/22/21		200		201
6.15%, 5/21/48		200		216
Perusahaan Penerbit SBSN Indonesia III, 4.55%, 3/29/26		200		204
4.40%, 3/1/28		450		454
				10,791
Ireland – 0.2%
SCF Capital Designated Activity Co., 5.38%, 6/16/23		200		201
Ivory Coast – 0.7%
Ivory Coast Government International Bond, 5.88%, 10/17/31 (EUR)		119		113
5.75%, 12/31/32		201		182
6.13%, 6/15/33		540		473
6.88%, 10/17/40 (EUR)		225		214
				982
Jamaica – 0.2%
Jamaica Government International Bond, 7.88%, 7/28/45		200		214
Kazakhstan – 0.5%
Development Bank of Kazakhstan JSC, 4.13%, 12/10/22		200		196
Kazakhstan Government International Bond, 6.50%, 7/21/45		200		263
KazMunayGas National Co. JSC, 5.38%, 4/24/30		200		198
				657
Kenya – 0.6%
Kenya Government International Bond, 6.88%, 6/24/24		239		229
8.25%, 2/28/48		619		574
				803
Lebanon – 0.5%
Lebanon Government International Bond, 6.38%, 3/9/20 (6)		267		53
5.80%, 4/14/20 (6)		188		37
6.15%, 6/19/20 (6)		326		63
8.25%, 4/12/21 (6)		593		116
6.10%, 10/4/22 (6)		795		153
6.00%, 1/27/23 (6)		231		45

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 53 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Lebanon – 0.5% continued
6.60%, 11/27/26 (6)		$97		$19
6.85%, 3/23/27 (6)		212		41
6.75%, 11/29/27 (6)		116		23
6.65%, 2/26/30 (6)		254		49
7.00%, 3/23/32 (6)		143		28
7.05%, 11/2/35 (6)		11		2
7.25%, 3/23/37 (6)		349		64
				693
Malaysia – 2.0%
Malaysia Government Bond, 3.88%, 3/10/22 (MYR)		2,157		510
3.80%, 9/30/22 (MYR)		1,821		431
3.73%, 6/15/28 (MYR)		2,400		566
4.50%, 4/15/30 (MYR)		711		174
4.23%, 6/30/31 (MYR)		184		45
3.84%, 4/15/33 (MYR)		21		5
4.64%, 11/7/33 (MYR)		1,020		258
3.83%, 7/5/34 (MYR)		2,255		529
4.92%, 7/6/48 (MYR)		140		37
Petronas Capital Ltd., 7.88%, 5/22/22		100		112
				2,667
Mexico – 6.4%
Comision Federal de Electricidad, 8.18%, 12/23/27 (MXN)		2,060		82
5.75%, 2/14/42		200		186
Mexican Bonos, 10.00%, 12/5/24 (MXN)		21,566		1,028
7.50%, 6/3/27 (MXN)		24,490		1,050
8.50%, 5/31/29 (MXN)		13,904		633
7.75%, 5/29/31 (MXN)		8,650		374
7.75%, 11/23/34 (MXN)		5,110		220
10.00%, 11/20/36 (MXN)		11,600		595
8.50%, 11/18/38 (MXN)		23,210		1,035
7.75%, 11/13/42 (MXN)		9,500		392
8.00%, 11/7/47 (MXN)		7,020		296
Mexico Government International Bond, 4.13%, 1/21/26		200		205
4.15%, 3/28/27		200		203
6.05%, 1/11/40		60		71
4.75%, 3/8/44		314		316
5.55%, 1/21/45		114		129
5.75%, 10/12/10 (10)		624		647

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Mexico – 6.4% – continued
Petroleos Mexicanos,
7.19%, 9/12/24 (MXN)		$3,090		$103
6.75%, 9/21/47		550		358
6.35%, 2/12/48		160		100
7.69%, 1/23/50		298		206
6.95%, 1/28/60 (2)		465		311
				8,540
Mongolia – 0.1%
Development Bank of Mongolia LLC, 7.25%, 10/23/23		200		168
Mongolian Mining Corp., 2.34%, 10/1/20 (7)(9)		60		24
				192
Morocco – 0.2%
Morocco Government International Bond, 4.25%, 12/11/22		210		209
Mozambique – 0.1%
Mozambique International Bond, 5.00%, 9/15/31		200		153
Netherlands – 0.3%
Kazakhstan Temir Zholy Finance B.V., 6.95%, 7/10/42		200		209
Metinvest B.V., 7.75%, 4/23/23		200		144
Teva Pharmaceutical Finance Netherlands III B.V., 2.80%, 7/21/23		15		14
				367
Nigeria – 0.2%
Nigeria Government International Bond, 6.50%, 11/28/27		200		140
7.63%, 11/28/47		200		134
				274
Oman – 0.7%
Oman Government International Bond, 6.00%, 8/1/29		276		199
6.50%, 3/8/47		674		444
6.75%, 1/17/48		410		274
				917
Pakistan – 0.6%
Pakistan Government International Bond, 8.25%, 4/15/24		200		178

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 54 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Pakistan – 0.6% – continued
8.25%, 9/30/25		$200		$176
6.88%, 12/5/27		281		235
Third Pakistan International Sukuk (The) Co. Ltd., 5.63%, 12/5/22		200		188
				777
Panama – 1.6%
Panama Government International Bond, 7.13%, 1/29/26		100		121
8.88%, 9/30/27		574		775
9.38%, 4/1/29		73		103
6.70%, 1/26/36		138		177
4.50%, 4/16/50		500		545
4.30%, 4/29/53		200		215
3.87%, 7/23/60		210		211
				2,147
Papua New Guinea – 0.1%
Papua New Guinea Government International Bond, 8.38%, 10/4/28		200		178
Paraguay – 1.0%
Paraguay Government International Bond, 4.63%, 1/25/23		200		200
5.00%, 4/15/26		200		202
5.60%, 3/13/48		400		404
5.40%, 3/30/50		500		500
				1,306
Peru – 2.9%
Banco de Credito del Peru, 4.85%, 10/30/20 (PEN)		51		15
Fondo MIVIVIENDA S.A., 7.00%, 2/14/24 (PEN)		279		87
Peru Government Bond, 6.15%, 8/12/32 (PEN)		3,927		1,231
5.40%, 8/12/34 (PEN)		565		165
5.35%, 8/12/40 (PEN)		1,675		473
Peruvian Government International Bond, 7.35%, 7/21/25		218		277
6.35%, 8/12/28 (PEN)		560		180
6.95%, 8/12/31 (PEN)		1,029		342
8.75%, 11/21/33		260		410

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Peru – 2.9% – continued
6.90%, 8/12/37 (PEN)		$231		$77
5.63%, 11/18/50		353		526
				3,783
Philippines – 0.7%
Philippine Government International Bond, 10.63%, 3/16/25		78		103
9.50%, 2/2/30		302		453
7.75%, 1/14/31		100		141
6.38%, 10/23/34		100		133
Power Sector Assets & Liabilities Management Corp., 7.39%, 12/2/24		100		116
				946
Poland – 4.1%
Republic of Poland Government Bond, 5.25%, 10/25/20 (PLN)		625		155
1.75%, 7/25/21 (PLN)		5,900		1,446
2.50%, 1/25/23 (PLN)		2,850		719
2.50%, 7/25/26 (PLN)		3,108		798
2.50%, 7/25/27 (PLN)		3,000		772
2.75%, 4/25/28 (PLN)		1,151		300
2.75%, 10/25/29 (PLN)		4,780		1,267
				5,457
Qatar – 2.0%
Qatar Government International Bond, 3.25%, 6/2/26		200		203
4.50%, 4/23/28		268		294
5.10%, 4/23/48		1,000		1,218
4.82%, 3/14/49		822		972
				2,687
Romania – 0.9%
Romania Government Bond, 5.80%, 7/26/27 (RON)		400		99
3.65%, 9/24/31 (RON)		1,235		239
Romanian Government International Bond, 6.75%, 2/7/22		120		126
4.38%, 8/22/23		236		243
6.13%, 1/22/44		24		28
5.13%, 6/15/48		300		311
3.38%, 1/28/50 (EUR) (2)		108		107
				1,153

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 55 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Russia – 5.5%
Russian Federal Bond – OFZ, 7.00%, 8/16/23 (RUB)		$104,351		$1,352
7.40%, 7/17/24 (RUB)		8,327		110
7.75%, 9/16/26 (RUB)		49,356		669
7.95%, 10/7/26 (RUB)		24,664		337
8.15%, 2/3/27 (RUB)		39,008		542
7.05%, 1/19/28 (RUB)		16,507		216
6.90%, 5/23/29 (RUB)		37,529		487
7.65%, 4/10/30 (RUB)		57,548		785
8.50%, 9/17/31 (RUB)		18,853		275
7.70%, 3/23/33 (RUB)		50,227		693
7.25%, 5/10/34 (RUB)		5,593		74
7.70%, 3/16/39 (RUB)		22,000		306
Russian Foreign Bond – Eurobond, 4.38%, 3/21/29		200		215
5.10%, 3/28/35		600		694
5.25%, 6/23/47		400		486
				7,241
Saudi Arabia – 0.3%
Saudi Government International Bond, 5.00%, 4/17/49		200		217
5.25%, 1/16/50		200		225
				442
South Africa – 3.5%
Eskom Holdings SOC Ltd., 7.13%, 2/11/25		200		144
Republic of South Africa Government Bond, 10.50%, 12/21/26 (ZAR)		2,478		141
8.00%, 1/31/30 (ZAR)		4,829		222
7.00%, 2/28/31 (ZAR)		722		30
8.25%, 3/31/32 (ZAR)		7,797		347
8.88%, 2/28/35 (ZAR)		2,851		129
6.25%, 3/31/36 (ZAR)		8,559		292
8.50%, 1/31/37 (ZAR)		26,827		1,136
6.50%, 2/28/41 (ZAR)		1,752		58
8.75%, 1/31/44 (ZAR)		5,509		233
8.75%, 2/28/48 (ZAR)		31,117		1,307
Republic of South Africa Government International Bond, 5.88%, 5/30/22		100		102
4.30%, 10/12/28		340		278

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
South Africa – 3.5% – continued
5.65%, 9/27/47		$200		$147
5.75%, 9/30/49		200		145
				4,711
Sri Lanka – 0.5%
Sri Lanka Government International Bond, 6.20%, 5/11/27		200		116
6.75%, 4/18/28		471		273
7.85%, 3/14/29		200		116
7.55%, 3/28/30		200		110
				615
Supranational – 0.6%
European Investment Bank, 12.50%, 10/8/21 (EGP) (11)		2,500		156
International Bank for Reconstruction & Development, 12.50%, 5/20/21 (11)		550		582
				738
Suriname – 0.1%
Suriname Government International Bond, 9.25%, 10/26/26		200		104
Tajikistan – 0.1%
Republic of Tajikistan International Bond, 7.13%, 9/14/27		230		145
Thailand – 2.9%
Thailand Government Bond, 2.40%, 12/17/23 (THB)		28,000		897
2.88%, 12/17/28 (THB)		2,733		93
3.65%, 6/20/31 (THB)		5,784		209
3.78%, 6/25/32 (THB)		24,892		934
3.40%, 6/17/36 (THB)		8,826		331
3.30%, 6/17/38 (THB)		36,103		1,330
2.88%, 6/17/46 (THB)		243		8
3.60%, 6/17/67 (THB)		2,480		97
				3,899
Tunisia – 0.1%
Banque Centrale de Tunisie International Bond, 5.75%, 1/30/25		220		177
Turkey – 3.0%
Turkey Government Bond, 8.00%, 3/12/25 (TRY)		1,077		135
10.60%, 2/11/26 (TRY)		220		30

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 56 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Turkey – 3.0% – continued
11.00%, 2/24/27 (TRY)		$6,374		$879
10.50%, 8/11/27 (TRY)		316		42
Turkey Government International Bond, 7.00%, 6/5/20		84		84
5.63%, 3/30/21		100		99
5.75%, 3/22/24		200		186
6.35%, 8/10/24		200		189
5.60%, 11/14/24		230		211
7.38%, 2/5/25		168		165
4.25%, 3/13/25		223		191
4.88%, 10/9/26		300		254
5.13%, 2/17/28		300		251
6.13%, 10/24/28		200		176
5.25%, 3/13/30		300		243
6.88%, 3/17/36		71		63
4.88%, 4/16/43		545		379
5.75%, 5/11/47		535		393
				3,970
Ukraine – 3.0%
Ukraine Government International Bond, 16.00%, 8/11/21 (UAH) (2)		460		16
17.25%, 1/5/22 (UAH) (2)		488		17
17.00%, 5/11/22 (UAH) (2)		442		15
7.75%, 9/1/23		695		654
7.75%, 9/1/24		100		93
15.84%, 2/26/25 (UAH)		15,200		484
15.84%, 2/26/25 (UAH) (2)		1,835		58
7.75%, 9/1/25		465		425
7.75%, 9/1/26		200		185
7.75%, 9/1/27		100		92
9.75%, 11/1/28		970		947
7.38%, 9/25/32		1,157		1,056
				4,042
United Arab Emirates – 0.6%
Abu Dhabi Government International Bond, 2.50%, 9/30/29		200		195
3.13%, 9/30/49		400		374
Emirate of Dubai Government International Bonds, 5.25%, 1/30/43		200		187
				756
United Kingdom – 0.2%
DTEK Finance PLC, 10.75%,(100% Cash), 12/31/24 (6)(7)		278		136

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
United Kingdom – 0.2% – continued
Ukreximbank Via Biz Finance PLC, 9.75%, 1/22/25		$200		$188
				324
Uruguay – 1.5%
Uruguay Government International Bond, 9.88%, 6/20/22 (UYU)		1,813		39
8.50%, 3/15/28 (UYU)		3,171		59
4.38%, 12/15/28 (UYU)		601		27
7.88%, 1/15/33		111		153
7.63%, 3/21/36		129		178
4.13%, 11/20/45		104		106
5.10%, 6/18/50		351		397
4.98%, 4/20/55		692		786
Uruguay Monetary Regulation Bills, 0.00%, 6/10/20 (UYU) (4)		1,260		29
0.00%, 7/3/20 (UYU) (4)		2,806		64
0.00%, 12/18/20 (UYU) (4)		144		3
0.00%, 2/5/21 (UYU) (4)		361		8
0.00%, 2/19/21 (UYU) (4)		545		11
0.00%, 3/10/21 (UYU) (4)		1,100		23
0.00%, 6/9/21 (UYU) (4)		1,218		25
0.00%, 12/8/21 (UYU) (4)		1,043		21
				1,929
Uzbekistan – 0.5%
Republic of Uzbekistan Bond, 4.75%, 2/20/24		511		505
5.38%, 2/20/29		200		199
				704
Venezuela – 0.4%
Petroleos de Venezuela S.A., 8.50%, 10/27/20		1,480		231
9.00%, 11/17/21 (6)		172		10
12.75%, 2/17/22 (6)		92		5
5.38%, 4/12/27 (6)		77		5
9.75%, 5/17/35 (6)		222		13
Venezuela Government International Bond, 7.75%, 10/13/19 (6)		72		6
12.75%, 8/23/22 (6)		151		14
9.00%, 5/7/23 (6)		62		6
8.25%, 10/13/24 (6)		141		13
11.75%, 10/21/26 (6)		632		57

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 57 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s) (1)		VALUE (000s)
FOREIGN ISSUER BONDS – 94.7% – continued
Venezuela – 0.4% – continued
9.25%, 9/15/27 (6)		$186		$17
9.25%, 5/7/28 (6)		102		9
11.95%, 8/5/31 (6)		1,045		94
				480
Zambia – 0.5%
Zambia Government International Bond, 5.38%, 9/20/22		1,050		446
8.97%, 7/30/27		400		159
				605
Total Foreign Issuer Bonds
(Cost $157,235)				125,647
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 3.8%
Northern Institutional Funds – U.S. Government Portfolio (Shares), 0.40% (12)(13)		5,080,769		$5,081
Total Investment Companies
(Cost $5,081)				5,081
Total Investments – 98.6%
(Cost $162,400)				130,798
Other Assets less Liabilities – 1.4%				1,916
Net Assets – 100.0%				$132,714

(1) Principal amount is in USD unless otherwise indicated.

(2) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(3) Variable rate security. Rate as of March 31, 2020 is disclosed.

(4) Zero coupon bond.

(5) Step coupon bond. Rate as of March 31, 2020 is disclosed.

(6) Issuer has defaulted on terms of debt obligation. Income is not being accrued.

(7) Security is a payment in-kind bond (PIK), distributions received in-kind unless otherwise noted in the description.

(8) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(9) Perpetual bond. Maturity date represents next call date.

(10) Century bond maturing in 2110.

(11) Level 3 asset.

(12) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(13) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

10Y – 10 Year

CETIP – Central of Custody and Financial Settlement of Securities

CFETS – China Foreign Exchange Trade System

CMT – Constant Maturity

PLC – Public Limited Company

S&P – Standard & Poor’s

SBSN – Surat Berharga Syariah Negara

USD – United States Dollar

ARS – Argentine Peso

BRL – Brazilian Real

CLP – Chilean Peso

COP – Colombian Peso

CZK – Czech Koruna

DOP – Dominican Peso

EGP – Egyptian Pound

EUR – Euro

HUF – Hungarian Forint

IDR – Indonesian Rupiah

MXN – Mexican Peso

MYR – Malaysian Ringgit

PEN – Peruvian Nuevo Sol

PLN – Polish Zloty

RON – Romanian Leu

RUB – Russian Ruble

THB – Thai Baht

TRY – Turkish Lira

UAH – Ukraine Hryvnia

UYU – Uruguayan Peso

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 58 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

ZAR – South African Rand

Percentages shown are based on Net Assets.

At March 31, 2020, the Fund had outstanding forward foreign currency exchange contracts as follows:

COUNTERPARTY	CONTRACTS TO DELIVER CURRENCY	AMOUNT (LOCAL CURRENCY) (000s)		IN EXCHANGE FOR CURRENCY	AMOUNT (LOCAL CURRENCY) (000s)		SETTLEMENT DATE		UNREALIZED APPRECIATION (DEPRECIATION) (000s)
Barclays	Brazilian Real		5,243	United States Dollar		1,035		4/2/20		$26
Barclays	Indonesian Rupiah		102,102	United States Dollar		6		4/30/20		– *
Barclays	Thai Baht		1,076	United States Dollar		33		4/30/20		– *
Barclays	United States Dollar		230	Czech Koruna		5,851		5/29/20		6
Barclays	United States Dollar		629	Russian Ruble		50,183		4/30/20		12
BNP	Colombian Peso		3,012,465	United States Dollar		897		4/30/20		157
BNP	Euro		351	United States Dollar		389		4/15/20		2
BNP	Mexican Peso		4,447	United States Dollar		195		4/30/20		8
BNP	Peruvian Nuevo Sol		468	United States Dollar		137		4/30/20		– *
BNP	Polish Zloty		634	United States Dollar		160		4/30/20		7
BNP	Russian Ruble		8,521	United States Dollar		129		4/30/20		20
BNP	South African Rand		912	United States Dollar		51		4/30/20		1
BNP	United States Dollar		109	Hungarian Forint		35,888		4/30/20		1
BNP	United States Dollar		64	Indonesian Rupiah		1,059,961		5/20/20		1
BNP	United States Dollar		84	Mexican Peso		2,030		4/30/20		1
BNP	United States Dollar		317	Polish Zloty		1,345		5/29/20		8
BNP	United States Dollar		355	Thai Baht		11,678		5/29/20		1
Citibank	Brazilian Real		946	United States Dollar		190		4/2/20		8
Citibank	Chilean Peso		48,394	United States Dollar		60		4/30/20		3
Citibank	Colombian Peso		387,729	United States Dollar		110		4/30/20		15
Citibank	Polish Zloty		484	United States Dollar		125		4/30/20		8
Citibank	Romanian Leu		338	United States Dollar		78		4/30/20		1
Citibank	Thai Baht		6,239	United States Dollar		192		4/30/20		2
Goldman Sachs	United States Dollar		38	Ukraine Hryvnia		1,127		5/22/20		1
JPMorgan Chase	Brazilian Real		456	United States Dollar		90		4/2/20		2
JPMorgan Chase	Chilean Peso		137,160	United States Dollar		178		4/30/20		17
JPMorgan Chase	Hungarian Forint		14,555	United States Dollar		45		4/30/20		– *
JPMorgan Chase	Philippine Peso		2,295	United States Dollar		45		4/30/20		– *
JPMorgan Chase	Polish Zloty		683	United States Dollar		172		4/30/20		7
JPMorgan Chase	Russian Ruble		6,268	United States Dollar		83		4/30/20		3
JPMorgan Chase	South African Rand		1,347	United States Dollar		77		4/30/20		2
JPMorgan Chase	United States Dollar		160	Mexican Peso		3,904		4/30/20		4
JPMorgan Chase	United States Dollar		143	Romanian Leu		634		6/30/20		1
Merrill Lynch	Chilean Peso		74,111	United States Dollar		90		4/30/20		3
Merrill Lynch	Czech Koruna		10,137	United States Dollar		435		4/30/20		27
Merrill Lynch	Hungarian Forint		45,013	United States Dollar		150		4/30/20		12
Merrill Lynch	Indonesian Rupiah		202,187	United States Dollar		12		4/29/20		– *
Merrill Lynch	Mexican Peso		1,689	United States Dollar		89		4/30/20		18
Merrill Lynch	Russian Ruble		2,776	United States Dollar		37		4/30/20		1
Merrill Lynch	South African Rand		2,383	United States Dollar		156		4/30/20		24
Merrill Lynch	Ukraine Hryvnia		909	United States Dollar		37		4/29/20		4
Merrill Lynch	Ukraine Hryvnia		3,543	United States Dollar		141		5/6/20		16
Merrill Lynch	United States Dollar		144	Mexican Peso		3,505		4/30/20		3
Merrill Lynch	United States Dollar		471	Romanian Leu		2,095		5/29/20		5
Merrill Lynch	United States Dollar		54	Ukraine Hryvnia		1,621		4/29/20		3
Merrill Lynch	United States Dollar		120	Ukraine Hryvnia		3,543		5/6/20		5
Morgan Stanley	Mexican Peso		3,150	United States Dollar		165		4/30/20		33

COUNTERPARTY	CONTRACTS TO DELIVER CURRENCY		AMOUNT (LOCAL CURRENCY) (000s)		IN EXCHANGE FOR CURRENCY		AMOUNT (LOCAL CURRENCY) (000s)		SETTLEMENT DATE		UNREALIZED APPRECIATION (DEPRECIATION) (000s)
Morgan Stanley		Polish Zloty		79		United States Dollar		20		4/30/20		$1
Morgan Stanley		Russian Ruble		15,905		United States Dollar		210		4/30/20		7
Morgan Stanley		United States Dollar		42		Mexican Peso		1,061		4/30/20		3
Santander		Colombian Peso		177,127		United States Dollar		52		4/30/20		9
Santander		United States Dollar		344		Chilean Peso		294,705		4/30/20		1
Standard Chartered Bank		Malaysian Ringgit		251		United States Dollar		60		4/30/20		2
Standard Chartered Bank		Polish Zloty		117		United States Dollar		30		4/30/20		2
Standard Chartered Bank		Russian Ruble		20		United States Dollar		0		4/30/20		– *
Standard Chartered Bank		South African Rand		1,347		United States Dollar		77		4/30/20		2
Standard Chartered Bank		United States Dollar		109		Malaysian Ringgit		474		4/30/20		1
Subtotal Appreciation												507
Barclays		Indonesian Rupiah		1,586,025		United States Dollar		95		4/30/20		(2)
Barclays		United States Dollar		1,033		Brazilian Real		5,243		5/5/20		(26)
Barclays		United States Dollar		115		Mexican Peso		2,293		4/30/20		(19)
Barclays		United States Dollar		220		Thai Baht		6,990		4/30/20		(7)
Barclays		United States Dollar		285		Thai Baht		9,000		5/29/20		(11)
BNP		Peruvian Nuevo Sol		275		United States Dollar		79		4/30/20		(1)
BNP		Polish Zloty		574		United States Dollar		135		4/30/20		(4)
BNP		United States Dollar		812		Chinese Offshore Yuan		5,732		4/29/20		(4)
BNP		United States Dollar		187		Czech Koruna		4,258		4/30/20		(16)
BNP		United States Dollar		379		Hungarian Forint		117,933		4/30/20		(19)
BNP		United States Dollar		135		Indonesian Rupiah		1,956,000		4/30/20		(15)
BNP		United States Dollar		463		Peruvian Nuevo Sol		1,538		4/30/20		(15)
BNP		United States Dollar		364		Polish Zloty		1,451		4/30/20		(13)
BNP		United States Dollar		9		Russian Ruble		622		4/30/20		(1)
Citibank		Colombian Peso		390,108		United States Dollar		95		4/30/20		(1)
Citibank		Peruvian Nuevo Sol		362		United States Dollar		104		4/30/20		(1)
Citibank		United States Dollar		72		Mexican Peso		1,705		4/30/20		(1)
Citibank		United States Dollar		57		Russian Ruble		3,556		4/30/20		(11)
Citibank		United States Dollar		47		Turkish Lira		305		4/30/20		(1)
HSBC		United States Dollar		28		Indonesian Rupiah		451,291		4/1/20		– *
JPMorgan Chase		Czech Koruna		1,153		United States Dollar		45		4/30/20		(1)
JPMorgan Chase		Mexican Peso		1,392		United States Dollar		57		4/30/20		(1)
JPMorgan Chase		Romanian Leu		180		United States Dollar		40		4/30/20		(1)
JPMorgan Chase		United States Dollar		1,054		Brazilian Real		4,646		4/2/20		(160)
JPMorgan Chase		United States Dollar		519		Czech Koruna		11,847		4/30/20		(43)
JPMorgan Chase		United States Dollar		235		Indonesian Rupiah		3,253,811		4/30/20		(36)
JPMorgan Chase		United States Dollar		150		Romanian Leu		649		4/30/20		(3)
Merrill Lynch		Indonesian Rupiah		203,700		United States Dollar		12		4/30/20		(1)
Merrill Lynch		Russian Ruble		1,433		United States Dollar		18		4/30/20		(1)
Merrill Lynch		Ukraine Hryvnia		712		United States Dollar		24		4/29/20		(1)
Merrill Lynch		United States Dollar		132		Indonesian Rupiah		1,912,000		4/30/20		(15)
Merrill Lynch		United States Dollar		1,020		Mexican Peso		19,316		4/30/20		(209)
Merrill Lynch		United States Dollar		344		Polish Zloty		1,319		4/30/20		(26)
Merrill Lynch		United States Dollar		702		Russian Ruble		44,400		4/30/20		(136)
Merrill Lynch		United States Dollar		808		Russian Ruble		52,627		5/29/20		(140)
Morgan Stanley		Colombian Peso		102,900		United States Dollar		25		4/30/20		– *
Morgan Stanley		Peruvian Nuevo Sol		212		United States Dollar		60		4/30/20		(2)

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 59 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

COUNTERPARTY	CONTRACTS TO DELIVER CURRENCY	AMOUNT (LOCAL CURRENCY) (000S)		IN EXCHANGE FOR CURRENCY	AMOUNT (LOCAL CURRENCY) (000S)		SETTLEMENT DATE		UNREALIZED APPRECIATION (DEPRECIATION) (000S)
Morgan Stanley	Russian Ruble		17,902	United States Dollar		225		4/30/20		$(3)
Morgan Stanley	Thai Baht		3,954	United States Dollar		120		4/30/20		– *
Santander	Peruvian Nuevo Sol		362	United States Dollar		105		4/30/20		– *
Santander	United States Dollar		397	Brazilian Real		2,000		4/2/20		(13)
Standard Chartered Bank	Malaysian Ringgit		570	United States Dollar		130		4/30/20		(2)
Standard Chartered Bank	United States Dollar		84	Czech Koruna		1,956		4/30/20		(5)
Standard Chartered Bank	United States Dollar		344	Malaysian Ringgit		1,435		4/30/20		(11)
Standard Chartered Bank	United States Dollar		74	Mexican Peso		1,750		4/30/20		– *
Standard Chartered Bank	United States Dollar		102	Philippine Peso		5,204		4/30/20		– *
Standard Chartered Bank	United States Dollar		120	Russian Ruble		8,099		4/30/20		(17)
Standard Chartered Bank	United States Dollar		251	Turkish Lira		1,651		4/30/20		(4)
Subtotal Depreciation										(999)
Total										$(492)

* Amount rounds to less than one thousand.

As of March 31, 2020, the Fund had the following bilateral interest rate swap agreements outstanding:

COUNTERPARTY

PAY RATE INDEX/ PAY RATE

RECEIVE RATE/ RECEIVE RATE INDEX

NOTIONAL AMOUNT

NOTIONAL CURRENCY

EXPIRATION DATE

VALUE (000S)

PREMIUMS PAID/ (RECEIVED) (000S)

UNREALIZED APPRECIATION (DEPRECIATION) (000S)

BNP

Kuala Lumpur Interbank Offered Rate 3 Month (1)

3.94% (1)

2,500,000

MYR

4/20/22

$19

$–

$19

Total

$19

(1) Payment frequency is quarterly.

As of March 31, 2020, the Fund had the following centrally cleared interest rate swap agreements outstanding:

PAY RATE INDEX/ PAY RATE	RECEIVE RATE/ RECEIVE RATE INDEX		NOTIONAL AMOUNT		NOTIONAL CURRENCY		EXPIRATION DATE		VALUE (000S)			PREMIUMS PAID/ (RECEIVED) (000S)		UNREALIZED APPRECIATION (DEPRECIATION) (000S) (1)
CFETS China Fixing Repo Rates 7 Day (2)		2.58% (2)		7,014,000		CNY		3/18/25		$17			$–		$17
Warsaw InterBank Offer Rate 6 Month (3)		2.44% (4)		2,000,000		PLN		7/11/22		24			–		24
Warsaw InterBank Offer Rate 6 Month (3)		2.40% (4)		750,000		PLN		3/26/23		9			–		9
Subtotal Appreciation															50
Brazil CETIP InterBank Deposit Rate (5)		5.92% (5)		3,020,269		BRL		1/2/25		(17	)		–		(17	)
Total															$33

(1) Includes cumulative appreciation/depreciation on centrally cleared swap agreements. Only the current day’s variation margin, if any, is reported within the Statements of Assets and Liabilities.

(2) Payment frequency is quarterly.

(3) Payment frequency is semi-anually.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 60 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

(4) Payment frequency is anually.

(5) Payment Frequency is at maturity.

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
AAA		0.5%
AA		4.3
A		11.0
BBB		44.7
BB		12.6
B		16.8
CCC or Below		5.7
Not Rated		0.5
Cash Equivalents		3.9
Total		100.0%

* Credit quality ratings are compiled from two external rating agencies: Moody’s and S&P Global. The Fund assigns the lowest rating of the two in the event there are any differences between them. If neither of these rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). Government securities consist of obligations issued or guaranteed by the U.S. Treasury. The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the industry sectors (unaudited) for the Fund were:

INDUSTRY SECTOR	% OF LONG-TERM INVESTMENTS
Basic Materials		1.0%
Communications		1.0
Consumer, Non-cyclical		0.1
Energy		2.3
Financial		2.4
Government		92.1
Industrial		0.3
Utilities		0.8
Total		100.0%

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		52.0	%
Brazilian Real		6.4
Indonesian Rupiah		5.2
All other currencies less than 5%		36.4
Total		100.0	%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000S)		LEVEL 2 (000S)			LEVEL 3 (000S)		TOTAL (000S)
Corporate Bonds (1)		$–		$70			$–		$70
Foreign Issuer Bonds:
Supranational		–		–			738		738
All Other Countries (1)		–		124,909			–		124,909
Total Foreign Issuer Bonds		–		124,909			738		125,647
Investment Companies		5,081		–			–		5,081
Total Investments		$5,081		$124,979			$738		$130,798
OTHER FINANCIAL INSTRUMENTS
Assets
Forward Foreign Currency Exchange Contracts		$–		$507			$–		$507
Bilateral Interest Rate Swap Agreements		–		19			–		19
Centrally Cleared Interest Rate Swap Agreements		–		50			–		50
Liabilities
Forward Foreign Currency Exchange Contracts		–		(999	)		–		(999	)
Centrally Cleared Interest Rate Swap Agreements		–		(17	)		–		(17	)
Total Other Financial Instruments		$–		$(440)			$–		$(440)

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 61 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CONVERTIBLE BONDS – 0.3%
Cable & Satellite – 0.3%
DISH Network Corp., 3.38%, 8/15/26		$716		$581
Exploration & Production – 0.0%
Chesapeake Energy Corp., 5.50%, 9/15/26		25		1
Denbury Resources, Inc., 6.38%, 12/31/24 (1)		106		42
				43
Total Convertible Bonds
(Cost $722)				624
CORPORATE BONDS – 66.0%
Advertising & Marketing – 0.3%
Lamar Media Corp.,
5.00%, 5/1/23		75		74
3.75%, 2/15/28 (1)		50		47
4.00%, 2/15/30 (1)		50		47
Outfront Media Capital LLC/Outfront Media Capital Corp., 5.00%, 8/15/27 (1)		460		423
				591
Aerospace & Defense – 1.3%
Arconic, Inc., 5.13%, 10/1/24		25		25
5.90%, 2/1/27		25		23
5.95%, 2/1/37		250		218
TransDigm, Inc., 6.50%, 5/15/25		50		47
6.25%, 3/15/26 (1)		880		877
6.38%, 6/15/26		350		335
7.50%, 3/15/27		590		569
5.50%, 11/15/27 (1)		670		601
Triumph Group, Inc., 6.25%, 9/15/24 (1)		25		22
7.75%, 8/15/25		75		54
				2,771
Airlines – 0.1%
American Airlines Group, Inc.,
5.00%, 6/1/22 (1)		75		60
3.75%, 3/1/25 (1)		125		88

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Airlines – 0.1% – continued
United Airlines Holdings, Inc., 4.25%, 10/1/22		$25		$23
4.88%, 1/15/25		90		77
				248
Apparel & Textile Products – 0.1%
William Carter (The) Co., 5.63%, 3/15/27 (1)		215		208
Auto Parts Manufacturing – 0.3%
Cooper-Standard Automotive, Inc., 5.63%, 11/15/26 (1)		75		55
Dealer Tire LLC/DT Issuer LLC, 8.00%, 2/1/28 (1)		130		104
Tenneco, Inc., 5.38%, 12/15/24		75		42
5.00%, 7/15/26		25		16
Truck Hero, Inc., 8.50%, 4/21/24 (1)		560		498
				715
Automobiles Manufacturing – 0.5%
Ford Motor Credit Co. LLC, 3.34%, 3/18/21		10		10
5.88%, 8/2/21		230		225
4.13%, 8/4/25		200		177
4.39%, 1/8/26		185		162
5.11%, 5/3/29		400		347
Tesla, Inc., 5.30%, 8/15/25 (1)		200		187
				1,108
Banks – 0.1%
CIT Group, Inc., 4.13%, 3/9/21		75		74
5.00%, 8/15/22		100		97
				171
Cable & Satellite – 2.9%
Block Communications, Inc., 4.88%, 3/1/28 (1)		25		23
Cablevision Systems Corp., 5.88%, 9/15/22		25		25
CCO Holdings LLC/CCO Holdings Capital Corp., 5.25%, 9/30/22		195		192
5.13%, 5/1/23 (1)		225		227

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 62 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Cable & Satellite – 2.9% – continued
5.88%, 4/1/24 (1)		$280		$287
5.38%, 5/1/25 (1)		50		51
5.75%, 2/15/26 (1)		690		699
5.50%, 5/1/26 (1)		150		152
5.00%, 2/1/28 (1)		595		597
4.75%, 3/1/30 (1)		25		25
4.50%, 8/15/30 (1)		890		872
4.50%, 5/1/32 (1)		535		522
CSC Holdings LLC, 7.75%, 7/15/25 (1)		375		390
6.63%, 10/15/25 (1)		200		210
5.50%, 5/15/26 (1)		335		347
7.50%, 4/1/28 (1)		385		410
6.50%, 2/1/29 (1)		400		432
5.75%, 1/15/30 (1)		380		383
DISH DBS Corp., 5.88%, 7/15/22		25		24
5.88%, 11/15/24		175		170
GCI LLC, 6.63%, 6/15/24 (1)		75		74
Midcontinent Communications/Midcontinent Finance Corp., 5.38%, 8/15/27 (1)		50		49
				6,161
Casinos & Gaming – 1.0%
Boyd Gaming Corp., 6.38%, 4/1/26		340		294
6.00%, 8/15/26		100		86
4.75%, 12/1/27 (1)		70		58
Caesars Resort Collection LLC/CRC Finco, Inc., 5.25%, 10/15/25 (1)		125		90
Churchill Downs, Inc., 5.50%, 4/1/27 (1)		230		217
4.75%, 1/15/28 (1)		25		22
Downstream Development Authority of the Quapaw Tribe of Oklahoma, 10.50%, 2/15/23 (1)		75		60
Eldorado Resorts, Inc., 6.00%, 4/1/25		25		22
6.00%, 9/15/26		100		90
Enterprise Development Authority (The), 12.00%, 7/15/24 (1)		125		109

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Casinos & Gaming – 1.0% – continued
Golden Entertainment, Inc., 7.63%, 4/15/26 (1)		$125		$82
Inn of the Mountain Gods Resort & Casino, 9.25%, 11/30/20 (2)		63		62
Jacobs Entertainment, Inc., 7.88%, 2/1/24 (1)		100		84
MGM Resorts International, 6.00%, 3/15/23		125		121
5.50%, 4/15/27		83		76
Mohegan Gaming & Entertainment, 7.88%, 10/15/24 (1)		250		185
Scientific Games International, Inc., 8.25%, 3/15/26 (1)		25		16
7.00%, 5/15/28 (1)		550		338
7.25%, 11/15/29 (1)		50		31
Twin River Worldwide Holdings, Inc., 6.75%, 6/1/27 (1)		25		19
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., 5.50%, 3/1/25 (1)		15		14
5.25%, 5/15/27 (1)		125		113
Wynn Resorts Finance LLC/Wynn Resorts Capital Corp., 5.13%, 10/1/29 (1)		25		23
				2,212
Chemicals – 1.3%
CF Industries, Inc., 5.38%, 3/15/44		80		76
Chemours (The) Co., 7.00%, 5/15/25		25		21
5.38%, 5/15/27		25		19
Cornerstone Chemical Co., 6.75%, 8/15/24 (1)		1,110		919
Element Solutions, Inc., 5.88%, 12/1/25 (1)		300		294
Innophos Holdings, Inc., 9.38%, 2/15/28 (1)		50		49
Kraton Polymers LLC/Kraton Polymers Capital Corp., 7.00%, 4/15/25 (1)		25		22
Olin Corp., 5.63%, 8/1/29		50		46
5.00%, 2/1/30		220		189

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 63 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Chemicals – 1.3% – continued
PQ Corp., 6.75%, 11/15/22 (1)		$25		$25
TPC Group, Inc., 10.50%, 8/1/24 (1)		100		82
Tronox, Inc., 6.50%, 4/15/26 (1)		310		279
Univar Solutions USA, Inc., 5.13%, 12/1/27 (1)		335		305
Valvoline, Inc., 4.25%, 2/15/30 (1)		195		183
WR Grace & Co-Conn, 5.13%, 10/1/21 (1)		230		232
				2,741
Coal Operations – 0.0%
Murray Energy Corp., 12.00%, 4/15/24 (1)(3)(4)(5)		486		–
Commercial Finance – 0.2%
AerCap Global Aviation Trust, (Variable, ICE LIBOR USD 3M + 4.30%), 6.50%, 6/15/45 (1)(6)		294		244
DAE Funding LLC, 5.00%, 8/1/24 (1)		75		68
Fortress Transportation & Infrastructure Investors LLC, 6.75%, 3/15/22 (1)		50		46
6.50%, 10/1/25 (1)		75		55
Oxford Finance LLC/Oxford Finance Co-Issuer II, Inc., 6.38%, 12/15/22 (1)		25		24
				437
Communications Equipment – 1.0%
CommScope Technologies LLC, 6.00%, 6/15/25 (1)		724		663
5.00%, 3/15/27 (1)		525		455
CommScope, Inc., 5.00%, 6/15/21 (1)		4		4
5.50%, 3/1/24 (1)		75		76
6.00%, 3/1/26 (1)		220		220
8.25%, 3/1/27 (1)		365		352
Nokia of America Corp., 6.45%, 3/15/29		75		80

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Communications Equipment – 1.0% – continued
ViaSat, Inc., 5.63%, 9/15/25 (1)		$210		$196
5.63%, 4/15/27 (1)		75		74
				2,120
Construction Materials Manufacturing – 0.2%
Advanced Drainage Systems, Inc., 5.00%, 9/30/27 (1)		25		22
Northwest Hardwoods, Inc., 7.50%, 8/1/21 (1)		25		9
NWH Escrow Corp., 7.50%, 8/1/21 (1)		25		9
Standard Industries, Inc., 5.38%, 11/15/24 (1)		200		193
Summit Materials LLC/Summit Materials Finance Corp., 6.13%, 7/15/23		75		74
6.50%, 3/15/27 (1)		50		47
US Concrete, Inc., 6.38%, 6/1/24		100		90
				444
Consumer Finance – 0.8%
Ally Financial, Inc., 3.88%, 5/21/24		75		67
8.00%, 11/1/31		50		58
Cardtronics, Inc./Cardtronics USA, Inc., 5.50%, 5/1/25 (1)		25		24
Credit Acceptance Corp., 5.13%, 12/31/24 (1)		50		45
6.63%, 3/15/26		75		71
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 5.88%, 8/1/21 (1)		25		21
5.25%, 3/15/22 (1)		100		89
4.25%, 2/1/27 (1)		50		40
Nationstar Mortgage Holdings, Inc., 8.13%, 7/15/23 (1)		100		98
9.13%, 7/15/26 (1)		50		45
6.00%, 1/15/27 (1)		25		21
Navient Corp., 5.88%, 3/25/21		25		24
6.63%, 7/26/21		25		26
5.50%, 1/25/23		25		24

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 64 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Consumer Finance – 0.8% – continued
6.13%, 3/25/24		$125		$116
6.75%, 6/25/25		175		161
6.75%, 6/15/26		150		138
5.00%, 3/15/27		25		21
Provident Funding Associates L.P./PFG Finance Corp., 6.38%, 6/15/25 (1)		50		42
Springleaf Finance Corp., 6.88%, 3/15/25		75		76
7.13%, 3/15/26		200		198
6.63%, 1/15/28		75		71
5.38%, 11/15/29		25		23
Starwood Property Trust, Inc., 3.63%, 2/1/21		280		262
				1,761
Consumer Products – 0.4%
Central Garden & Pet Co., 6.13%, 11/15/23		25		24
5.13%, 2/1/28		25		23
Energizer Holdings, Inc., 5.50%, 6/15/25 (1)		125		121
6.38%, 7/15/26 (1)		25		25
7.75%, 1/15/27 (1)		210		217
High Ridge Brands Co., 8.88%, 3/15/25 (1)(4)(7)		1,100		–
Kronos Acquisition Holdings, Inc., 9.00%, 8/15/23 (1)		50		41
Prestige Brands, Inc., 5.13%, 1/15/28 (1)		25		25
Revlon Consumer Products Corp., 6.25%, 8/1/24		25		6
Spectrum Brands, Inc., 6.13%, 12/15/24		65		62
5.75%, 7/15/25		330		309
				853
Consumer Services – 1.7%
ADT Security (The) Corp., 6.25%, 10/15/21		50		49
4.13%, 6/15/23		25		24
4.88%, 7/15/32 (1)		175		149
Allied Universal Holdco LLC/Allied Universal Finance Corp., 6.63%, 7/15/26 (1)		175		172

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Consumer Services – 1.7% – continued
9.75%, 7/15/27 (1)		$200		$188
APX Group, Inc., 7.88%, 12/1/22		49		46
7.63%, 9/1/23		340		263
6.75%, 2/15/27 (1)		320		266
Aramark Services, Inc., 5.00%, 2/1/28 (1)		335		312
ASGN, Inc., 4.63%, 5/15/28 (1)		545		506
Korn Ferry, 4.63%, 12/15/27 (1)		205		178
Prime Security Services Borrower LLC/Prime Finance, Inc., 5.25%, 4/15/24 (1)		25		25
5.75%, 4/15/26 (1)		915		897
6.25%, 1/15/28 (1)		455		392
Service Corp. International, 5.38%, 5/15/24		50		51
5.13%, 6/1/29		50		51
				3,569
Containers & Packaging – 2.7%
Ball Corp., 4.00%, 11/15/23		65		66
5.25%, 7/1/25		15		16
Berry Global, Inc., 5.13%, 7/15/23		235		236
5.63%, 7/15/27 (1)		290		300
Crown Americas LLC/Crown Americas Capital Corp. VI, 4.75%, 2/1/26		335		343
Flex Acquisition Co., Inc., 7.88%, 7/15/26 (1)		50		46
Greif, Inc., 6.50%, 3/1/27 (1)		100		96
Matthews International Corp., 5.25%, 12/1/25 (1)		75		66
Mauser Packaging Solutions Holding Co., 7.25%, 4/15/25 (1)		425		338
Plastipak Holdings, Inc., 6.25%, 10/15/25 (1)		1,780		1,593

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 65 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Containers & Packaging – 2.7% – continued
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer (Luxembourg), 5.13%, 7/15/23 (1)		$365		$361
7.00%, 7/15/24 (1)		50		51
Sealed Air Corp., 5.13%, 12/1/24 (1)		25		25
4.00%, 12/1/27 (1)		75		70
Silgan Holdings, Inc., 4.13%, 2/1/28 (1)		25		23
Trident TPI Holdings, Inc., 9.25%, 8/1/24 (1)		855		710
6.63%, 11/1/25 (1)		1,785		1,432
				5,772
Department Stores – 0.0%
JC Penney Corp., Inc., 8.63%, 3/15/25 (1)		75		10
6.38%, 10/15/36		100		8
Neiman Marcus Group Ltd. LLC/Neiman Marcus Group LLC/Mariposa Borrower/NMG, 8.75%, 10/25/24 (1)		41		3
				21
Distributors – Consumer Discretionary – 0.5%
IAA, Inc., 5.50%, 6/15/27 (1)		410		397
KAR Auction Services, Inc., 5.13%, 6/1/25 (1)		730		697
				1,094
Diversified Banks – 0.4%
Bank of America Corp., (Variable, ICE LIBOR USD 3M + 3.29%), 5.13%, 6/20/24 (6)(8)		50		48
(Variable, ICE LIBOR USD 3M + 3.71%), 6.25%, 9/5/24 (6)(8)		225		228
(Variable, ICE LIBOR USD 3M + 2.93%), 5.88%, 3/15/28 (6)(8)		50		51
Citigroup, Inc., (Variable, ICE LIBOR USD 3M + 4.07%), 5.95%, 1/30/23 (6)(8)		50		48
(Variable, U.S. SOFR + 3.23%), 4.70%, 1/30/25 (6)(8)		125		107

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Diversified Banks – 0.4% – continued
(Variable, ICE LIBOR USD 3M + 4.52%), 6.25%, 8/15/26 (6)(8)		$100		$103
JPMorgan Chase & Co., (Variable, ICE LIBOR USD 3M + 3.30%), 6.00%, 8/1/23 (6)(8)		150		148
(Variable, ICE LIBOR USD 3M + 3.78%), 6.75%, 2/1/24 (6)(8)		25		26
(Variable, ICE LIBOR USD 3M + 3.33%), 6.10%, 10/1/24 (6)(8)		100		102
(Variable, U.S. SOFR + 3.13%), 4.60%, 2/1/25 (6)(8)		50		44
				905
Educational Services – 0.0%
Graham Holdings Co., 5.75%, 6/1/26 (1)		25		24
Entertainment Content – 0.3%
Allen Media LLC/Allen Media Co-Issuer, Inc., 10.50%, 2/15/28 (1)		50		41
AMC Networks, Inc., 4.75%, 12/15/22		83		80
Diamond Sports Group LLC/Diamond Sports Finance Co., 5.38%, 8/15/26 (1)		200		163
6.63%, 8/15/27 (1)		75		50
Lions Gate Capital Holdings LLC, 6.38%, 2/1/24 (1)		50		44
5.88%, 11/1/24 (1)		150		128
Univision Communications, Inc., 6.75%, 9/15/22 (1)		128		123
5.13%, 2/15/25 (1)		25		21
WMG Acquisition Corp., 5.00%, 8/1/23 (1)		50		50
				700
Entertainment Resources – 1.8%
AMC Entertainment Holdings, Inc., 5.88%, 11/15/26		175		73
6.13%, 5/15/27		50		21
Boyne USA, Inc., 7.25%, 5/1/25		100		95
Carlson Travel, Inc., 9.50%, 12/15/24 (1)		930		614
Cedar Fair L.P., 5.25%, 7/15/29 (1)		285		241

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 66 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Entertainment Resources – 1.8% – continued
Cedar Fair L.P./Canada’s Wonderland Co./Magnum Management Corp., 5.38%, 6/1/24		$25		$22
Cedar Fair L.P./Canada’s Wonderland Co./Magnum Management Corp./Millennium Op, 5.38%, 4/15/27		175		150
Cinemark USA, Inc., 5.13%, 12/15/22		75		59
4.88%, 6/1/23		50		37
Live Nation Entertainment, Inc., 4.88%, 11/1/24 (1)		235		214
5.63%, 3/15/26 (1)		75		70
4.75%, 10/15/27 (1)		1,010		899
LTF Merger Sub, Inc., 8.50%, 6/15/23 (1)		150		123
Six Flags Entertainment Corp., 5.50%, 4/15/27 (1)		285		240
Speedway Motorsports LLC/Speedway Funding II, Inc., 4.88%, 11/1/27 (1)		25		23
Sterling Entertainment Group LLC, 10.25%, 1/15/25 (9)		1,110		975
				3,856
Exploration & Production – 2.2%
Antero Resources Corp., 5.13%, 12/1/22		50		26
5.63%, 6/1/23		25		10
Ascent Resources Utica Holdings LLC/ARU Finance Corp., 10.00%, 4/1/22 (1)		176		103
7.00%, 11/1/26 (1)		635		176
Bruin E&P Partners LLC, 8.88%, 8/1/23 (1)		410		29
Callon Petroleum Co., 6.25%, 4/15/23		25		6
6.13%, 10/1/24		125		22
Centennial Resource Production LLC, 5.38%, 1/15/26 (1)		100		24
6.88%, 4/1/27 (1)		250		61
Chaparral Energy, Inc., 8.75%, 7/15/23 (1)		125		6
Chesapeake Energy Corp., 6.88%, 11/15/20		75		20

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Exploration & Production – 2.2% – continued
5.75%, 3/15/23		$25		$2
8.00%, 1/15/25		75		5
CNX Resources Corp., 5.88%, 4/15/22		50		46
7.25%, 3/14/27 (1)		50		35
Comstock Resources, Inc., 7.50%, 5/15/25 (1)		25		16
9.75%, 8/15/26		85		61
Continental Resources, Inc., 5.00%, 9/15/22		650		415
CrownRock L.P./CrownRock Finance, Inc., 5.63%, 10/15/25 (1)		820		426
Denbury Resources, Inc., 9.00%, 5/15/21 (1)		175		51
Endeavor Energy Resources L.P./EER Finance, Inc., 5.75%, 1/30/28 (1)		75		51
Energy Ventures Gom LLC/EnVen Finance Corp., 11.00%, 2/15/23 (1)		580		336
EP Energy LLC/Everest Acquisition Finance, Inc., 9.38%, 5/1/24 (1)(4)(5)		219		–
Extraction Oil & Gas, Inc., 7.38%, 5/15/24 (1)		50		9
Gulfport Energy Corp., 6.00%, 10/15/24		100		25
6.38%, 1/15/26		50		10
HighPoint Operating Corp., 7.00%, 10/15/22		50		26
Hilcorp Energy I L.P./Hilcorp Finance Co., 5.75%, 10/1/25 (1)		925		425
6.25%, 11/1/28 (1)		410		180
Indigo Natural Resources LLC, 6.88%, 2/15/26 (1)		100		66
Jagged Peak Energy LLC, 5.88%, 5/1/26		50		37
Laredo Petroleum, Inc., 9.50%, 1/15/25		75		30
Lonestar Resources America, Inc., 11.25%, 1/1/23 (1)		75		14

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 67 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Exploration & Production – 2.2% – continued
Magnolia Oil & Gas Operating LLC/Magnolia Oil & Gas Finance Corp., 6.00%, 8/1/26 (1)		$50		$30
Matador Resources Co., 5.88%, 9/15/26		345		101
Moss Creek Resources Holdings, Inc., 7.50%, 1/15/26 (1)		75		22
10.50%, 5/15/27 (1)		25		8
Murphy Oil Corp., 6.88%, 8/15/24		75		44
5.75%, 8/15/25		25		13
Oasis Petroleum, Inc., 6.25%, 5/1/26 (1)		25		4
Occidental Petroleum Corp., 3.13%, 2/15/22		95		69
2.70%, 8/15/22		190		135
2.70%, 2/15/23		265		157
2.90%, 8/15/24		285		156
7.50%, 5/1/31		50		26
Parsley Energy LLC/Parsley Finance Corp., 5.63%, 10/15/27 (1)		145		102
4.13%, 2/15/28 (1)		75		51
PDC Energy, Inc., 6.13%, 9/15/24		25		13
5.75%, 5/15/26		450		252
Range Resources Corp., 5.00%, 8/15/22		57		43
4.88%, 5/15/25		220		131
9.25%, 2/1/26 (1)		235		141
Sanchez Energy Corp., 7.75%, 6/15/21 (4)(5)		175		–
6.13%, 1/15/23 (4)(5)		165		–
SM Energy Co., 6.13%, 11/15/22		25		11
5.63%, 6/1/25		85		23
6.75%, 9/15/26		25		8
6.63%, 1/15/27		215		63
Southwestern Energy Co., 7.75%, 10/1/27		25		16
Vine Oil & Gas L.P./Vine Oil & Gas Finance Corp., 8.75%, 4/15/23 (1)		50		11

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Exploration & Production – 2.2% – continued
9.75%, 4/15/23 (1)		$100		$24
Whiting Petroleum Corp., 5.75%, 3/15/21 (4)		25		2
6.25%, 4/1/23 (4)		25		2
6.63%, 1/15/26 (4)		75		5
WPX Energy, Inc., 8.25%, 8/1/23		58		43
5.25%, 9/15/24		150		92
5.75%, 6/1/26		150		86
4.50%, 1/15/30		75		41
				4,674
Financial Services – 1.5%
AG Issuer LLC, 6.25%, 3/1/28 (1)		75		63
Goldman Sachs Group (The), Inc., (Variable, U.S. Treasury Yield Curve Rate CMT 5Y + 3.22%), 4.95%, 2/10/25 (6)(8)		50		44
Hunt Cos., Inc., 6.25%, 2/15/26 (1)		75		56
Icahn Enterprises L.P./Icahn Enterprises Finance Corp., 6.75%, 2/1/24		50		48
4.75%, 9/15/24		200		184
6.25%, 5/15/26		225		213
5.25%, 5/15/27		175		162
LPL Holdings, Inc., 5.75%, 9/15/25 (1)		700		672
4.63%, 11/15/27 (1)		200		183
NFP Corp., 6.88%, 7/15/25 (1)		1,535		1,512
8.00%, 7/15/25 (1)		75		69
				3,206
Food & Beverage – 1.4%
Chobani LLC/Chobani Finance Corp., Inc., 7.50%, 4/15/25 (1)		75		68
Darling Ingredients, Inc., 5.25%, 4/15/27 (1)		50		48
HLF Financing S.a.r.l. LLC/Herbalife International, Inc., 7.25%, 8/15/26 (1)		50		43
Kraft Heinz Foods Co., 4.63%, 1/30/29		50		50

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 68 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Food & Beverage – 1.4% – continued
3.75%, 4/1/30 (1)		$25		$24
5.00%, 7/15/35		100		99
6.88%, 1/26/39		50		57
7.13%, 8/1/39 (1)		25		29
6.50%, 2/9/40		150		164
5.00%, 6/4/42		75		71
5.20%, 7/15/45		510		490
4.38%, 6/1/46		250		225
4.88%, 10/1/49 (1)		655		596
Nathan’s Famous, Inc., 6.63%, 11/1/25 (1)		100		93
Pilgrim’s Pride Corp., 5.75%, 3/15/25 (1)		100		101
5.88%, 9/30/27 (1)		75		75
Post Holdings, Inc., 5.75%, 3/1/27 (1)		315		323
5.63%, 1/15/28 (1)		215		218
4.63%, 4/15/30 (1)		225		215
				2,989
Forest & Paper Products Manufacturing – 0.1%
Mercer International, Inc., 6.50%, 2/1/24		75		64
7.38%, 1/15/25		75		62
Schweitzer-Mauduit International, Inc., 6.88%, 10/1/26 (1)		75		75
				201
Hardware – 0.5%
CDW LLC/CDW Finance Corp., 5.00%, 9/1/25		230		237
Dell International LLC/EMC Corp., 7.13%, 6/15/24 (1)		125		129
Diebold Nixdorf, Inc., 8.50%, 4/15/24		50		33
Everi Payments, Inc., 7.50%, 12/15/25 (1)		40		30
NCR Corp., 6.38%, 12/15/23		50		49
5.75%, 9/1/27 (1)		100		91
6.13%, 9/1/29 (1)		150		140
TTM Technologies, Inc., 5.63%, 10/1/25 (1)		50		42

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Hardware – 0.5% continued
Western Digital Corp., 4.75%, 2/15/26		$405		$411
				1,162
Health Care Facilities & Services – 3.4%
ASP AMC Merger Sub, Inc., 8.00%, 5/15/25 (1)		150		88
Catalent Pharma Solutions, Inc., 5.00%, 7/15/27 (1)		25		24
Charles River Laboratories International, Inc., 5.50%, 4/1/26 (1)		75		77
CHS/Community Health Systems, Inc., 6.88%, 2/1/22		38		29
9.88%, 6/30/23 (1)		50		40
8.63%, 1/15/24 (1)		95		94
8.13%, 6/30/24 (1)		144		100
6.63%, 2/15/25 (1)		275		254
8.00%, 3/15/26 (1)		175		166
8.00%, 12/15/27 (1)		21		19
6.88%, 4/1/28 (1)		53		21
DaVita, Inc., 5.13%, 7/15/24		25		25
Encompass Health Corp., 5.75%, 11/1/24		56		56
4.75%, 2/1/30		50		49
Envision Healthcare Corp., 8.75%, 10/15/26 (1)		3,340		818
HCA, Inc., 5.88%, 5/1/23		50		52
5.38%, 2/1/25		25		26
7.69%, 6/15/25		360		371
7.58%, 9/15/25		100		103
5.63%, 9/1/28		100		105
5.88%, 2/1/29		35		37
3.50%, 9/1/30		1,400		1,270
LifePoint Health, Inc., 4.38%, 2/15/27 (1)		25		24
MEDNAX, Inc., 6.25%, 1/15/27 (1)		50		40
Radiology Partners, Inc., 9.25%, 2/1/28 (1)		25		22
Select Medical Corp., 6.25%, 8/15/26 (1)		350		350

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 69 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Health Care Facilities & Services – 3.4% – continued
Surgery Center Holdings, Inc., 6.75%, 7/1/25 (1)		$1,850		$1,332
10.00%, 4/15/27 (1)		340		238
Team Health Holdings, Inc., 6.38%, 2/1/25 (1)		1,020		378
Tenet Healthcare Corp., 8.13%, 4/1/22		75		72
6.75%, 6/15/23		205		189
4.63%, 7/15/24		50		48
4.63%, 9/1/24 (1)		50		48
4.88%, 1/1/26 (1)		75		71
5.13%, 11/1/27 (1)		100		95
Vizient, Inc., 6.25%, 5/15/27 (1)		280		273
West Street Merger Sub, Inc., 6.38%, 9/1/25 (1)		340		296
				7,300
Home & Office Products Manufacturing – 0.1%
Newell Brands, Inc., 4.45%, 4/1/26		100		98
5.63%, 4/1/36		150		149
5.75%, 4/1/46		50		50
				297
Home Improvement – 1.0%
Apex Tool Group LLC/BC Mountain Finance, Inc., 9.00%, 2/15/23 (1)		1,480		962
BMC East LLC, 5.50%, 10/1/24 (1)		175		169
Cornerstone Building Brands, Inc., 8.00%, 4/15/26 (1)		113		97
Griffon Corp., 5.75%, 3/1/28 (1)		100		94
JELD-WEN, Inc., 4.63%, 12/15/25 (1)		145		128
4.88%, 12/15/27 (1)		415		366
Patrick Industries, Inc., 7.50%, 10/15/27 (1)		100		98
PGT Innovations, Inc., 6.75%, 8/1/26 (1)		100		96
Werner FinCo L.P./Werner FinCo, Inc., 8.75%, 7/15/25 (1)		125		110
				2,120

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Homebuilders – 0.8%
Adams Homes, Inc., 7.50%, 2/15/25 (1)		$50		$48
Ashton Woods USA LLC/Ashton Woods Finance Co., 6.63%, 1/15/28 (1)		50		40
Beazer Homes USA, Inc., 6.75%, 3/15/25		75		60
7.25%, 10/15/29		50		38
Century Communities, Inc., 5.88%, 7/15/25		100		84
Forestar Group, Inc., 8.00%, 4/15/24 (1)		150		151
5.00%, 3/1/28 (1)		25		21
KB Home, 7.63%, 5/15/23		25		25
6.88%, 6/15/27		75		75
Lennar Corp., 4.13%, 1/15/22		25		25
Meritage Homes Corp., 7.00%, 4/1/22		54		54
6.00%, 6/1/25		125		115
Shea Homes L.P./Shea Homes Funding Corp., 4.75%, 2/15/28 (1)		155		132
Taylor Morrison Communities, Inc., 5.88%, 1/31/25 (1)		125		116
5.88%, 6/15/27 (1)		195		181
6.63%, 7/15/27 (1)		50		45
5.75%, 1/15/28 (1)		155		138
TRI Pointe Group, Inc., 5.25%, 6/1/27		75		67
Weekley Homes LLC/Weekley Finance Corp., 6.00%, 2/1/23		75		71
6.63%, 8/15/25		50		45
Williams Scotsman International, Inc., 7.88%, 12/15/22 (1)		44		43
6.88%, 8/15/23 (1)		150		137
				1,711
Industrial Other – 0.8%
Ahern Rentals, Inc., 7.38%, 5/15/23 (1)		125		71
Anixter, Inc., 6.00%, 12/1/25		50		49

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 70 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Industrial Other – 0.8% – continued
Brand Industrial Services, Inc., 8.50%, 7/15/25 (1)		$125		$98
Capitol Investment Merger Sub 2 LLC, 10.00%, 8/1/24 (1)		25		23
frontdoor, Inc., 6.75%, 8/15/26 (1)		255		244
Great Lakes Dredge & Dock Corp., 8.00%, 5/15/22		50		49
H&E Equipment Services, Inc., 5.63%, 9/1/25		125		116
Harsco Corp., 5.75%, 7/31/27 (1)		360		333
Installed Building Products, Inc., 5.75%, 2/1/28 (1)		75		71
New Enterprise Stone & Lime Co., Inc., 10.13%, 4/1/22 (1)		125		125
6.25%, 3/15/26 (1)		25		23
Resideo Funding, Inc., 6.13%, 11/1/26 (1)		370		323
TopBuild Corp., 5.63%, 5/1/26 (1)		75		69
United Rentals North America, Inc., 6.50%, 12/15/26		125		127
				1,721
Internet Media – 1.1%
Go Daddy Operating Co. LLC/GD Finance Co., Inc., 5.25%, 12/1/27 (1)		380		383
GrubHub Holdings, Inc., 5.50%, 7/1/27 (1)		100		88
Match Group, Inc., 6.38%, 6/1/24		75		76
5.00%, 12/15/27 (1)		50		48
5.63%, 2/15/29 (1)		75		72
4.13%, 8/1/30 (1)		50		45
Netflix, Inc., 5.38%, 2/1/21		125		126
4.88%, 4/15/28		215		221
5.88%, 11/15/28		250		267
6.38%, 5/15/29		230		251
5.38%, 11/15/29 (1)		390		405
Twitter, Inc., 3.88%, 12/15/27 (1)		25		24

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Internet Media – 1.1% – continued
Uber Technologies, Inc., 7.50%, 11/1/23 (1)		$175		$170
8.00%, 11/1/26 (1)		100		99
7.50%, 9/15/27 (1)		25		25
				2,300
Iron & Steel – 1.1%
Algoma Steel Parent S.C.A., 12/31/40 (10)		49		49
Specialty Steel Supply, Inc., 12.55%, 11/15/22 (1)(9)		2,670		2,376
				2,425
Leisure Products Manufacturing – 0.0%
Mattel, Inc., 6.75%, 12/31/25 (1)		75		76
Life Insurance – 0.1%
Fidelity & Guaranty Life Holdings, Inc., 5.50%, 5/1/25 (1)		100		99
Genworth Holdings, Inc., 7.63%, 9/24/21		50		47
4.90%, 8/15/23		100		88
				234
Machinery Manufacturing – 1.1%
Amsted Industries, Inc., 5.63%, 7/1/27 (1)		50		49
4.63%, 5/15/30 (1)		170		152
Cloud Crane LLC, 10.13%, 8/1/24 (1)		125		98
Colfax Corp., 6.00%, 2/15/24 (1)		50		48
6.38%, 2/15/26 (1)		25		25
Granite US Holdings Corp., 11.00%, 10/1/27 (1)		170		146
JPW Industries Holding Corp., 9.00%, 10/1/24 (1)		1,370		1,067
Manitowoc (The) Co., Inc., 9.00%, 4/1/26 (1)		50		44
MTS Systems Corp., 5.75%, 8/15/27 (1)		50		46
RBS Global, Inc./Rexnord LLC, 4.88%, 12/15/25 (1)		170		159
SPX FLOW, Inc., 5.63%, 8/15/24 (1)		50		49

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 71 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Machinery Manufacturing – 1.1% – continued
5.88%, 8/15/26 (1)		$50		$48
Tennant Co., 5.63%, 5/1/25		75		72
Terex Corp., 5.63%, 2/1/25 (1)		380		357
Titan International, Inc., 6.50%, 11/30/23		75		34
				2,394
Managed Care – 3.4%
Centene Corp., 4.75%, 1/15/25 (1)		125		125
5.38%, 6/1/26 (1)		75		77
5.38%, 8/15/26 (1)		75		76
4.25%, 12/15/27 (1)		75		74
4.63%, 12/15/29 (1)		50		50
3.38%, 2/15/30 (1)		50		47
One Call Corp., 7.50%, 7/1/24 (1)(2)		5,514		4,880
Polaris Intermediate Corp., 8.50%, 12/1/22 (1)(2)		2,650		2,054
				7,383
Manufactured Goods – 1.6%
EnPro Industries, Inc., 5.75%, 10/15/26		75		72
Foxtrot Escrow Issuer LLC/Foxtrot Escrow Corp., 12.25%, 11/15/26 (1)		150		117
Grinding Media, Inc./Moly-Cop AltaSteel Ltd., 7.38%, 12/15/23 (1)		75		70
Material Sciences Corp., 10.20%, 1/9/24 (9)		1,550		1,448
Optimas OE Solutions Holding LLC/Optimas OE Solutions, Inc., 8.63%, 6/1/21 (1)		2,730		1,597
Park-Ohio Industries, Inc., 6.63%, 4/15/27		100		79
				3,383
Medical Equipment & Devices Manufacturing – 0.3%
Avantor, Inc., 9.00%, 10/1/25 (1)		200		210

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Medical Equipment & Devices Manufacturing – 0.3% – continued
Hill-Rom Holdings, Inc., 4.38%, 9/15/27 (1)		$25		$25
Ortho-Clinical Diagnostics, Inc./Ortho-Clinical Diagnostics S.A., 6.63%, 5/15/22 (1)		190		180
7.25%, 2/1/28 (1)		325		279
				694
Metals & Mining – 2.7%
Aleris International, Inc., 10.75%, 7/15/23 (1)		25		24
Allegheny Technologies, Inc., 5.88%, 12/1/27		50		42
Arconic Corp., 6.13%, 2/15/28 (1)		95		97
Big River Steel LLC/BRS Finance Corp., 7.25%, 9/1/25 (1)		776		706
Century Aluminum Co., 7.50%, 6/1/21 (1)		1,240		1,131
Cleveland-Cliffs, Inc., 5.75%, 3/1/25		39		30
6.75%, 3/15/26 (1)		445		396
5.88%, 6/1/27 (1)		125		76
6.25%, 10/1/40		50		27
Coeur Mining, Inc., 5.88%, 6/1/24		75		67
Commercial Metals Co., 5.75%, 4/15/26		50		47
5.38%, 7/15/27		25		23
Compass Minerals International, Inc., 6.75%, 12/1/27 (1)		75		68
Freeport-McMoRan, Inc., 3.55%, 3/1/22		60		58
3.88%, 3/15/23		100		94
5.00%, 9/1/27		230		214
4.13%, 3/1/28		185		161
5.25%, 9/1/29		310		292
4.25%, 3/1/30		210		183
5.45%, 3/15/43		310		277
Joseph T Ryerson & Son, Inc., 11.00%, 5/15/22 (1)		660		614
Kaiser Aluminum Corp., 4.63%, 3/1/28 (1)		50		44

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 72 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Metals & Mining – 2.7% – continued
Novelis Corp., 5.88%, 9/30/26 (1)		$670		$658
4.75%, 1/30/30 (1)		395		352
Real Alloy Holding, Inc., 10.00%, 1/15/19 (1)(3)(4)(7)		1,283		–
Tms International Holding Corp., 7.25%, 8/15/25 (1)		75		68
Warrior Met Coal, Inc., 8.00%, 11/1/24 (1)		36		30
				5,779
Oil & Gas Services & Equipment – 0.5%
Apergy Corp., 6.38%, 5/1/26		25		19
Archrock Partners L.P./Archrock Partners Finance Corp., 6.88%, 4/1/27 (1)		100		71
6.25%, 4/1/28 (1)		295		204
Basic Energy Services, Inc., 10.75%, 10/15/23 (1)		25		11
Calfrac Holdings L.P., 8.50%, 6/15/26 (1)		25		2
Diamond Offshore Drilling, Inc., 3.45%, 11/1/23		25		7
7.88%, 8/15/25		75		22
5.70%, 10/15/39		25		4
Exterran Energy Solutions L.P./EES Finance Corp., 8.13%, 5/1/25		50		33
Forum Energy Technologies, Inc., 6.25%, 10/1/21		1,460		460
FTS International, Inc., 6.25%, 5/1/22		100		35
Global Marine, Inc., 7.00%, 6/1/28		25		8
Nabors Industries, Inc., 5.75%, 2/1/25		150		33
Nine Energy Service, Inc., 8.75%, 11/1/23 (1)		75		19
SESI LLC, 7.13%, 12/15/21 (1)		75		29
7.75%, 9/15/24		25		6

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Oil & Gas Services & Equipment – 0.5% – continued
USA Compression Partners L.P./USA Compression Finance Corp., 6.88%, 4/1/26		$50		$31
6.88%, 9/1/27		75		47
				1,041
Pharmaceuticals – 0.2%
Bausch Health Americas, Inc., 8.50%, 1/31/27 (1)		175		183
Elanco Animal Health, Inc., 5.65%, 8/28/28		25		26
Par Pharmaceutical, Inc., 7.50%, 4/1/27 (1)		125		125
				334
Pipeline – 3.7%
Antero Midstream Partners L.P./Antero Midstream Finance Corp., 5.38%, 9/15/24		920		639
5.75%, 3/1/27 (1)		50		32
Buckeye Partners L.P., 4.15%, 7/1/23		30		26
4.13%, 3/1/25 (1)		170		143
3.95%, 12/1/26		450		369
4.13%, 12/1/27		290		238
4.50%, 3/1/28 (1)		170		139
5.85%, 11/15/43		175		117
Cheniere Energy Partners L.P., 5.25%, 10/1/25		705		649
4.50%, 10/1/29 (1)		790		687
Crestwood Midstream Partners L.P./Crestwood Midstream Finance Corp., 5.63%, 5/1/27 (1)		25		14
DCP Midstream Operating L.P., 4.75%, 9/30/21 (1)		50		44
5.38%, 7/15/25		115		79
5.13%, 5/15/29		75		47
(Variable, ICE LIBOR USD 3M + 3.85%), 5.85%, 5/21/43 (1)(6)		425		204
5.60%, 4/1/44		240		106
Delek Logistics Partners L.P./Delek Logistics Finance Corp., 6.75%, 5/15/25		75		73

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 73 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Pipeline – 3.7% – continued
Energy Transfer Operating L.P., (Variable, ICE LIBOR USD 3M + 4.03%), 6.25%, 2/15/23 (6)(8)		$75		$38
(Variable, ICE LIBOR USD 3M + 4.16%), 6.63%, 2/15/28 (6)(8)		50		25
EnLink Midstream LLC, 5.38%, 6/1/29		100		52
EnLink Midstream Partners L.P., 4.40%, 4/1/24		25		13
4.85%, 7/15/26		25		12
5.60%, 4/1/44		75		25
5.05%, 4/1/45		25		9
5.45%, 6/1/47		75		25
Enterprise Products Operating LLC, 4.80%, 2/1/49		140		140
4.20%, 1/31/50		403		384
EQM Midstream Partners L.P., 4.75%, 7/15/23		335		242
4.00%, 8/1/24		110		77
4.13%, 12/1/26		220		126
5.50%, 7/15/28		340		189
Genesis Energy L.P./Genesis Energy Finance Corp., 6.00%, 5/15/23		25		18
6.50%, 10/1/25		125		90
6.25%, 5/15/26		180		126
7.75%, 2/1/28		75		52
Global Partners L.P./GLP Finance Corp., 7.00%, 8/1/27		170		128
Hess Midstream Operations L.P., 5.63%, 2/15/26 (1)		125		88
5.13%, 6/15/28 (1)		125		88
Holly Energy Partners L.P./Holly Energy Finance Corp., 5.00%, 2/1/28 (1)		25		21
MPLX L.P., 4.70%, 4/15/48		206		159
5.50%, 2/15/49		29		24
NuStar Logistics L.P., 6.00%, 6/1/26		25		19
PBF Logistics L.P./PBF Logistics Finance Corp., 6.88%, 5/15/23		175		109

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Pipeline – 3.7% – continued
Plains All American Pipeline L.P., (Variable, ICE LIBOR USD 3M + 4.11%), 6.13%, 11/15/22 (6)(8)		$175		$88
Summit Midstream Holdings LLC/Summit Midstream Finance Corp., 5.50%, 8/15/22		237		43
5.75%, 4/15/25		505		56
Summit Midstream Partners L.P., (Variable, ICE LIBOR USD 3M + 7.43%), 9.50%, 12/15/22 (6)(8)		125		2
Tallgrass Energy Partners L.P./Tallgrass Energy Finance Corp., 4.75%, 10/1/23 (1)		125		79
5.50%, 9/15/24 (1)		50		28
6.00%, 3/1/27 (1)		175		93
5.50%, 1/15/28 (1)		310		161
Targa Resources Partners L.P./Targa Resources Partners Finance Corp., 4.25%, 11/15/23		100		86
6.75%, 3/15/24		198		174
5.13%, 2/1/25		270		230
5.38%, 2/1/27		66		54
6.50%, 7/15/27		160		136
5.00%, 1/15/28		75		60
6.88%, 1/15/29		75		60
5.50%, 3/1/30 (1)		340		263
TransMontaigne Partners L.P./TLP Finance Corp., 6.13%, 2/15/26		25		20
Williams (The) Cos., Inc., 5.10%, 9/15/45		10		9
4.85%, 3/1/48		335		312
				7,839
Power Generation – 1.9%
Calpine Corp., 5.50%, 2/1/24		205		195
5.75%, 1/15/25		520		481
4.50%, 2/15/28 (1)		655		635
5.13%, 3/15/28		540		497
Clearway Energy Operating LLC, 5.75%, 10/15/25		125		124
5.00%, 9/15/26		100		97
4.75%, 3/15/28 (1)		50		46

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 74 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Power Generation – 1.9% – continued
NRG Energy, Inc., 7.25%, 5/15/26		$260		$272
6.63%, 1/15/27		775		806
5.25%, 6/15/29 (1)		35		36
Pattern Energy Group, Inc., 5.88%, 2/1/24 (1)		25		25
TerraForm Power Operating LLC, 5.00%, 1/31/28 (1)		25		26
4.75%, 1/15/30 (1)		50		48
Vistra Energy Corp., 5.88%, 6/1/23		25		25
Vistra Operations Co. LLC, 3.55%, 7/15/24 (1)		75		70
5.63%, 2/15/27 (1)		370		382
5.00%, 7/31/27 (1)		405		411
				4,176
Property & Casualty Insurance – 2.3%
Acrisure LLC/Acrisure Finance, Inc., 8.13%, 2/15/24 (1)		310		302
7.00%, 11/15/25 (1)		125		107
10.13%, 8/1/26 (1)		50		47
Alliant Holdings Intermediate LLC/Alliant Holdings Co-Issuer, 6.75%, 10/15/27 (1)		320		300
AmWINS Group, Inc., 7.75%, 7/1/26 (1)		120		118
AssuredPartners, Inc., 7.00%, 8/15/25 (1)		2,695		2,425
GTCR AP Finance, Inc., 8.00%, 5/15/27 (1)		290		267
HUB International Ltd., 7.00%, 5/1/26 (1)		1,060		1,049
Radian Group, Inc., 4.50%, 10/1/24		50		49
4.88%, 3/15/27		100		99
USI, Inc., 6.88%, 5/1/25 (1)		100		93
				4,856
Publishing & Broadcasting – 2.1%
Clear Channel Outdoor Holdings, Inc., 9.25%, 2/15/24 (1)		42		36
5.13%, 8/15/27 (1)		700		662

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Publishing & Broadcasting – 2.1% – continued
EW Scripps (The) Co., 5.13%, 5/15/25 (1)		$100		$88
Gray Television, Inc., 5.13%, 10/15/24 (1)		100		98
5.88%, 7/15/26 (1)		200		193
7.00%, 5/15/27 (1)		25		25
iHeartCommunications, Inc., 6.38%, 5/1/26		27		25
8.38%, 5/1/27		3		3
5.25%, 8/15/27 (1)		315		276
4.75%, 1/15/28 (1)		75		67
National CineMedia LLC, 5.75%, 8/15/26		25		17
Nexstar Broadcasting, Inc., 5.63%, 8/1/24 (1)		25		23
5.63%, 7/15/27 (1)		210		205
Salem Media Group, Inc., 6.75%, 6/1/24 (1)		25		21
Scripps Escrow, Inc., 5.88%, 7/15/27 (1)		25		22
Sinclair Television Group, Inc., 5.13%, 2/15/27 (1)		100		84
5.50%, 3/1/30 (1)		25		21
Sirius XM Radio, Inc., 3.88%, 8/1/22 (1)		85		85
4.63%, 5/15/23 (1)		130		129
4.63%, 7/15/24 (1)		475		482
5.38%, 7/15/26 (1)		160		163
5.00%, 8/1/27 (1)		235		238
5.50%, 7/1/29 (1)		515		525
TEGNA, Inc., 4.63%, 3/15/28 (1)		175		154
5.00%, 9/15/29 (1)		75		68
Townsquare Media, Inc., 6.50%, 4/1/23 (1)		100		96
Urban One, Inc., 7.38%, 4/15/22 (1)		720		652
				4,458
Real Estate – 2.6%
Equinix, Inc., 5.88%, 1/15/26		50		51
ESH Hospitality, Inc., 5.25%, 5/1/25 (1)		465		391

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 75 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Real Estate – 2.6% – continued
4.63%, 10/1/27 (1)		$355		$277
FelCor Lodging L.P., 6.00%, 6/1/25		175		167
Five Point Operating Co. L.P./Five Point Capital Corp., 7.88%, 11/15/25 (1)		50		43
GEO Group (The), Inc., 6.00%, 4/15/26		25		16
GLP Capital L.P./GLP Financing II, Inc., 5.25%, 6/1/25		25		23
Greystar Real Estate Partners LLC, 5.75%, 12/1/25 (1)		50		45
HAT Holdings I LLC/HAT Holdings II LLC, 5.25%, 7/15/24 (1)		75		72
Howard Hughes (The) Corp., 5.38%, 3/15/25 (1)		50		48
Iron Mountain US Holdings, Inc., 5.38%, 6/1/26 (1)		170		172
Iron Mountain, Inc., 5.75%, 8/15/24		75		75
4.88%, 9/15/27 (1)		515		500
5.25%, 3/15/28 (1)		530		523
4.88%, 9/15/29 (1)		465		437
Kennedy-Wilson, Inc., 5.88%, 4/1/24		75		67
MPT Operating Partnership L.P./MPT Finance Corp., 6.38%, 3/1/24		180		180
5.50%, 5/1/24		395		384
5.25%, 8/1/26		160		157
4.63%, 8/1/29		50		46
Newmark Group, Inc., 6.13%, 11/15/23		75		76
Realogy Group LLC/Realogy Co-Issuer Corp., 4.88%, 6/1/23 (1)		125		105
9.38%, 4/1/27 (1)		340		287
Ryman Hospitality Properties, Inc., 4.75%, 10/15/27 (1)		135		101
SBA Communications Corp., 4.00%, 10/1/22		50		50
3.88%, 2/15/27 (1)		100		100

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Real Estate – 2.6% – continued
Uniti Group L.P./Uniti Fiber Holdings, Inc./CSL Capital LLC, 7.13%, 12/15/24 (1)		$25		$19
7.88%, 2/15/25 (1)		855		786
Uniti Group L.P./Uniti Group Finance, Inc./CSL Capital LLC, 6.00%, 4/15/23 (1)		205		187
VICI Properties L.P./VICI Note Co., Inc., 4.25%, 12/1/26 (1)		50		46
3.75%, 2/15/27 (1)		25		24
4.63%, 12/1/29 (1)		95		87
4.13%, 8/15/30 (1)		25		23
				5,565
Refining & Marketing – 0.1%
Citgo Holding, Inc., 9.25%, 8/1/24 (1)		150		122
Murphy Oil USA, Inc., 4.75%, 9/15/29		50		47
PBF Holding Co LLC/PBF Finance Corp., 6.00%, 2/15/28 (1)		25		17
Sunoco L.P./Sunoco Finance Corp., 6.00%, 4/15/27		75		64
				250
Renewable Energy – 0.1%
EnerSys, 4.38%, 12/15/27 (1)		170		160
Restaurants – 0.4%
Golden Nugget, Inc., 6.75%, 10/15/24 (1)		225		142
8.75%, 10/1/25 (1)		150		77
IRB Holding Corp., 6.75%, 2/15/26 (1)		50		39
KFC Holding Co./Pizza Hut Holdings LLC/Taco Bell of America LLC, 5.00%, 6/1/24 (1)		100		98
5.25%, 6/1/26 (1)		435		434
Yum! Brands, Inc., 7.75%, 4/1/25 (1)		85		89
				879

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 76 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Retail – Consumer Discretionary – 2.4%
Asbury Automotive Group, Inc., 4.50%, 3/1/28 (1)		$13		$11
Avis Budget Car Rental LLC/Avis Budget Finance, Inc., 5.50%, 4/1/23		26		22
5.25%, 3/15/25 (1)		240		188
5.75%, 7/15/27 (1)		370		294
Beacon Roofing Supply, Inc., 4.88%, 11/1/25 (1)		645		582
4.50%, 11/15/26 (1)		25		23
Builders FirstSource, Inc., 6.75%, 6/1/27 (1)		163		160
5.00%, 3/1/30 (1)		25		22
Carvana Co., 8.88%, 10/1/23 (1)		50		47
FirstCash, Inc., 5.38%, 6/1/24 (1)		50		48
Hertz (The) Corp., 5.50%, 10/15/24 (1)		165		94
7.13%, 8/1/26 (1)		405		215
6.00%, 1/15/28 (1)		810		425
L Brands, Inc., 5.25%, 2/1/28		130		99
7.50%, 6/15/29		50		39
6.88%, 11/1/35		50		37
6.75%, 7/1/36		200		144
Lithia Motors, Inc., 4.63%, 12/15/27 (1)		25		23
Midas Intermediate Holdco II LLC/Midas Intermediate Holdco II Finance, Inc., 7.88%, 10/1/22 (1)		165		106
Penske Automotive Group, Inc., 3.75%, 8/15/20		290		282
5.50%, 5/15/26		230		210
PetSmart, Inc., 7.13%, 3/15/23 (1)		175		163
QVC, Inc., 4.75%, 2/15/27		50		44
Sonic Automotive, Inc., 6.13%, 3/15/27		125		110
SRS Distribution, Inc., 8.25%, 7/1/26 (1)		1,210		920

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Retail – Consumer Discretionary – 2.4% – continued
Staples, Inc., 7.50%, 4/15/26 (1)		$585		$517
10.75%, 4/15/27 (1)		495		380
				5,205
Retail – Consumer Staples – 0.3%
KeHE Distributors LLC/KeHE Finance Corp., 8.63%, 10/15/26 (1)		25		25
Performance Food Group, Inc., 5.50%, 10/15/27 (1)		335		311
Sysco Corp., 5.95%, 4/1/30		40		42
6.60%, 4/1/40		40		43
6.60%, 4/1/50		65		68
US Foods, Inc., 5.88%, 6/15/24 (1)		85		77
				566
Semiconductors – 0.3%
Advanced Micro Devices, Inc., 7.50%, 8/15/22		66		70
Amkor Technology, Inc., 6.63%, 9/15/27 (1)		290		273
Entegris, Inc., 4.63%, 2/10/26 (1)		50		47
Qorvo, Inc., 5.50%, 7/15/26		75		78
4.38%, 10/15/29 (1)		75		70
				538
Software & Services – 3.0%
ACI Worldwide, Inc., 5.75%, 8/15/26 (1)		25		25
Ascend Learning LLC, 6.88%, 8/1/25 (1)		128		124
Banff Merger Sub, Inc., 9.75%, 9/1/26 (1)		75		66
Castle US Holding Corp., 9.50%, 2/15/28 (1)		150		142
CDK Global, Inc., 5.00%, 10/15/24		75		75
5.88%, 6/15/26		50		53
4.88%, 6/1/27		252		258
5.25%, 5/15/29 (1)		50		51

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 77 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Software & Services – 3.0% – continued
Donnelley Financial Solutions, Inc., 8.25%, 10/15/24		$25		$24
Dun & Bradstreet (The) Corp., 10.25%, 2/15/27 (1)		225		238
Exela Intermediate LLC/Exela Finance, Inc., 10.00%, 7/15/23 (1)		125		33
Gartner, Inc., 5.13%, 4/1/25 (1)		50		49
Granite Merger Sub 2, Inc., 11.00%, 7/15/27 (1)		30		30
j2 Cloud Services LLC/j2 Cloud Co-Obligor, Inc., 6.00%, 7/15/25 (1)		565		561
MPH Acquisition Holdings LLC, 7.13%, 6/1/24 (1)		795		692
MSCI, Inc., 4.00%, 11/15/29 (1)		25		25
Nielsen Finance LLC/Nielsen Finance Co., 5.00%, 4/15/22 (1)		384		354
Open Text Holdings, Inc., 4.13%, 2/15/30 (1)		50		47
Presidio Holdings, Inc., 4.88%, 2/1/27 (1)		170		152
8.25%, 2/1/28 (1)		475		419
PTC, Inc., 3.63%, 2/15/25 (1)		50		47
4.00%, 2/15/28 (1)		25		24
Rackspace Hosting, Inc., 8.63%, 11/15/24 (1)		875		785
Refinitiv US Holdings, Inc., 6.25%, 5/15/26 (1)		25		26
8.25%, 11/15/26 (1)		50		53
RP Crown Parent LLC, 7.38%, 10/15/24 (1)		75		71
Science Applications International Corp., 4.88%, 4/1/28 (1)		180		173
Solera LLC/Solera Finance, Inc., 10.50%, 3/1/24 (1)		335		328
SS&C Technologies, Inc., 5.50%, 9/30/27 (1)		980		1,021

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Software & Services – 3.0% – continued
Tempo Acquisition LLC/Tempo Acquisition Finance Corp., 6.75%, 6/1/25 (1)		$290		$265
Vericast Corp., 9.25%, 3/1/21 (1)		25		25
8.38%, 8/15/22 (1)		125		96
Verscend Escrow Corp., 9.75%, 8/15/26 (1)		125		125
				6,457
Supermarkets & Pharmacies – 0.2%
Albertsons Cos., Inc./Safeway, Inc./New Albertsons L.P./Albertsons LLC, 3.50%, 2/15/23 (1)		50		49
6.63%, 6/15/24		100		101
5.75%, 3/15/25		125		126
4.63%, 1/15/27 (1)		50		50
4.88%, 2/15/30 (1)		25		25
Rite Aid Corp., 6.13%, 4/1/23 (1)		66		57
7.50%, 7/1/25 (1)		9		9
				417
Tobacco – 0.1%
Vector Group Ltd., 6.13%, 2/1/25 (1)		25		23
10.50%, 11/1/26 (1)		100		83
				106
Transportation & Logistics – 0.2%
BCD Acquisition, Inc., 9.63%, 9/15/23 (1)		50		41
Cargo Aircraft Management, Inc., 4.75%, 2/1/28 (1)		25		23
Navistar International Corp., 6.63%, 11/1/25 (1)		75		63
Wabash National Corp., 5.50%, 10/1/25 (1)		50		40
XPO Logistics, Inc., 6.13%, 9/1/23 (1)		125		122
6.75%, 8/15/24 (1)		125		122
				411
Travel & Lodging – 0.0%
Arrow Bidco LLC, 9.50%, 3/15/24 (1)		25		11

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 78 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Travel & Lodging – 0.0% – continued
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp., 4.63%, 4/1/25		$15		$14
Hyatt Hotels Corp., 3.38%, 7/15/23		25		23
Marriott Ownership Resorts, Inc., 4.75%, 1/15/28 (1)		25		19
Wyndham Destinations, Inc., 4.63%, 3/1/30 (1)		25		19
				86
Utilities – 0.6%
AmeriGas Partners L.P./AmeriGas Finance Corp., 5.50%, 5/20/25		75		69
5.75%, 5/20/27		25		23
Ferrellgas L.P./Ferrellgas Finance Corp., 6.50%, 5/1/21		50		44
Ferrellgas Partners L.P./Ferrellgas Partners Finance Corp., 8.63%, 6/15/20		50		13
NextEra Energy Operating Partners L.P., 4.25%, 7/15/24 (1)		75		73
4.25%, 9/15/24 (1)		75		73
3.88%, 10/15/26 (1)		100		95
Pacific Gas & Electric Co., 3.25%, 6/15/23 (4)		25		24
6.05%, 3/1/34 (4)		25		25
5.40%, 1/15/40 (4)		125		127
5.13%, 11/15/43 (4)		75		75
4.00%, 12/1/46 (4)		25		23
Talen Energy Supply LLC, 10.50%, 1/15/26 (1)		360		259
7.25%, 5/15/27 (1)		315		285
6.63%, 1/15/28 (1)		130		109
				1,317
Wireless Telecommunications Services – 1.9%
Hughes Satellite Systems Corp., 6.63%, 8/1/26		100		101
Sprint Capital Corp., 6.88%, 11/15/28		175		200
8.75%, 3/15/32		835		1,104
Sprint Communications, Inc., 11.50%, 11/15/21		25		28

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Wireless Telecommunications Services – 1.9% continued
9.25%, 4/15/22		$75		$80
6.00%, 11/15/22		75		78
Sprint Corp., 7.88%, 9/15/23		365		401
7.13%, 6/15/24		830		911
7.63%, 3/1/26		430		487
7.25%, 2/1/28 (1)		40		40
T-Mobile USA, Inc., 4.00%, 4/15/22		25		25
6.00%, 3/1/23		175		176
6.00%, 4/15/24		75		76
6.38%, 3/1/25		225		230
5.13%, 4/15/25		50		51
6.50%, 1/15/26		50		52
				4,040
Wireline Telecommunications Services – 2.0%
CenturyLink, Inc., 5.63%, 4/1/20		75		75
5.80%, 3/15/22		100		101
7.50%, 4/1/24		25		27
5.13%, 12/15/26 (1)		125		125
4.00%, 2/15/27 (1)		25		24
Cogent Communications Group, Inc., 5.38%, 3/1/22 (1)		75		76
Embarq Corp., 8.00%, 6/1/36		150		149
Front Range BidCo, Inc., 6.13%, 3/1/28 (1)		285		271
Frontier Communications Corp., 10.50%, 9/15/22		520		135
8.50%, 4/1/26 (1)		50		46
8.00%, 4/1/27 (1)		520		513
GTT Communications, Inc., 7.88%, 12/31/24 (1)		2,470		1,593
Level 3 Financing, Inc., 5.38%, 8/15/22		42		42
5.63%, 2/1/23		200		199
5.13%, 5/1/23		285		280
5.38%, 1/15/24		115		115
5.38%, 5/1/25		25		25
4.63%, 9/15/27 (1)		360		358
Qualitytech L.P./QTS Finance Corp., 4.75%, 11/15/25 (1)		25		24

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 79 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
CORPORATE BONDS – 66.0% – continued
Wireline Telecommunications Services – 2.0% – continued
Windstream Services LLC/Windstream Finance Corp., 10.50%, 6/30/24 (1)(4)		$75		$3
				4,181
Total Corporate Bonds
(Cost $168,276)				141,413
FOREIGN ISSUER BONDS – 10.0%
Aerospace & Defense – 0.4%
Bombardier, Inc., 8.75%, 12/1/21 (1)		200		166
5.75%, 3/15/22 (1)		270		204
6.00%, 10/15/22 (1)		125		94
6.13%, 1/15/23 (1)		225		159
7.50%, 12/1/24 (1)		25		17
7.88%, 4/15/27 (1)		75		50
TransDigm UK Holdings PLC, 6.88%, 5/15/26		200		186
				876
Airlines – 0.1%
Air Canada, 7.75%, 4/15/21 (1)		100		97
Apparel & Textile Products – 0.0%
Eagle Intermediate Global Holding B.V./Ruyi US Finance LLC, 7.50%, 5/1/25 (1)		150		86
Auto Parts Manufacturing – 0.1%
Panther BF Aggregator 2 L.P./Panther Finance Co., Inc., 6.25%, 5/15/26 (1)		95		90
8.50%, 5/15/27 (1)		240		209
				299
Cable & Satellite – 0.3%
Altice Financing S.A., 5.00%, 1/15/28 (1)		455		403
Videotron Ltd., 5.38%, 6/15/24 (1)		125		125
				528
Casinos & Gaming – 0.1%
Gateway Casinos & Entertainment Ltd., 8.25%, 3/1/24 (1)		100		87

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Casinos & Gaming – 0.1% – continued
Melco Resorts Finance Ltd., 5.25%, 4/26/26 (1)		$200		$180
				267
Chemicals – 0.4%
NOVA Chemicals Corp., 5.00%, 5/1/25 (1)		25		21
5.25%, 6/1/27 (1)		188		159
Starfruit Finco B.V./Starfruit US Holdco LLC, 8.00%, 10/1/26 (1)		380		361
Trinseo Materials Operating S.C.A./Trinseo Materials Finance, Inc., 5.38%, 9/1/25 (1)		220		185
Tronox Finance PLC, 5.75%, 10/1/25 (1)		220		196
				922
Commercial Finance – 0.3%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, 4.45%, 4/3/26		150		123
Global Aircraft Leasing Co. Ltd., 6.50%, 9/15/24 (1)(2)		565		364
Park Aerospace Holdings Ltd., 3.63%, 3/15/21 (1)		75		71
				558
Communications Equipment – 0.0%
Nokia OYJ, 3.38%, 6/12/22		25		25
Consumer Finance – 0.0%
Fairstone Financial, Inc., 7.88%, 7/15/24 (1)		100		94
Consumer Products – 0.0%
Avon International Capital PLC, 6.50%, 8/15/22 (1)		50		44
Consumer Services – 0.4%
Garda World Security Corp., 8.75%, 5/15/25 (1)		660		607
4.63%, 2/15/27 (1)		50		45
9.50%, 11/1/27 (1)		183		164
				816

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 80 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Containers & Packaging – 0.2%
ARD Finance S.A., 6.50%, 6/30/27 (1)(2)		$490		$421
Cascades, Inc./Cascades USA, Inc., 5.13%, 1/15/26 (1)		25		24
5.38%, 1/15/28 (1)		25		24
				469
Diversified Banks – 0.1%
Royal Bank of Scotland Group PLC, (Variable, USD Swap 5Y + 5.72%), 8.00%, 8/10/25 (6)(8)		200		187
Entertainment Resources – 0.1%
Motion Bondco DAC, 6.63%, 11/15/27 (1)		240		168
Exploration & Production – 0.1%
MEG Energy Corp., 7.00%, 3/31/24 (1)		15		7
7.13%, 2/1/27 (1)		75		37
OGX Austria GmbH, 8.50%, 6/1/18 (1)(3)(4)(7)		2,420		–
8.38%, 4/1/22 (1)(3)(4)(7)		1,800		–
Seven Generations Energy Ltd., 6.88%, 6/30/23 (1)		100		68
5.38%, 9/30/25 (1)		50		28
				140
Financial Services – 0.6%
Altice France Holding S.A., 10.50%, 5/15/27 (1)		200		211
6.00%, 2/15/28 (1)		1,035		910
VistaJet Malta Finance PLC/XO Management Holding, Inc., 10.50%, 6/1/24 (1)		75		61
				1,182
Food & Beverage – 0.1%
Cooke Omega Investments, Inc./Alpha VesselCo Holdings, Inc., 8.50%, 12/15/22 (1)		75		74
JBS USA LUX S.A./JBS USA Finance, Inc., 5.88%, 7/15/24 (1)		25		25
5.75%, 6/15/25 (1)		75		76

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Food & Beverage – 0.1% – continued
JBS USA LUX S.A./JBS USA Food Co./JBS USA Finance, Inc., 5.50%, 1/15/30 (1)		$125		$129
				304
Home Improvement – 0.2%
Masonite International Corp., 5.75%, 9/15/26 (1)		200		196
5.38%, 2/1/28 (1)		240		236
				432
Homebuilders – 0.1%
Brookfield Residential Properties, Inc./Brookfield Residential US Corp., 6.38%, 5/15/25 (1)		25		23
4.88%, 2/15/30 (1)		50		38
Mattamy Group Corp., 4.63%, 3/1/30 (1)		75		64
Taylor Morrison Communities, Inc./Taylor Morrison Holdings II, Inc., 5.63%, 3/1/24 (1)		103		97
				222
Industrial Other – 0.0%
Ritchie Bros. Auctioneers, Inc., 5.38%, 1/15/25 (1)		75		75
Machinery Manufacturing – 0.4%
Husky III Holding Ltd., 13.00%, 2/15/25 (1)(2)		50		37
Titan Acquisition Ltd./Titan Co-Borrower LLC, 7.75%, 4/15/26 (1)		930		776
				813
Metals & Mining – 2.2%
Alcoa Nederland Holding B.V., 7.00%, 9/30/26 (1)		200		186
Baffinland Iron Mines Corp./Baffinland Iron Mines L.P., 8.75%, 7/15/26 (1)		2,695		2,396
First Quantum Minerals Ltd., 7.25%, 4/1/23 (1)		400		337
6.50%, 3/1/24 (1)		200		166
7.50%, 4/1/25 (1)		200		166
Hudbay Minerals, Inc., 7.63%, 1/15/25 (1)		367		319

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 81 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Metals & Mining – 2.2% – continued
IAMGOLD Corp., 7.00%, 4/15/25 (1)		$50		$47
Kinross Gold Corp., 5.13%, 9/1/21		50		50
Mineral Resources Ltd., 8.13%, 5/1/27 (1)		125		117
Mountain Province Diamonds, Inc., 8.00%, 12/15/22 (1)		25		18
Northwest Acquisitions ULC/Dominion Finco, Inc., 7.13%, 11/1/22 (1)		1,905		934
Taseko Mines Ltd., 8.75%, 6/15/22 (1)		125		56
				4,792
Oil & Gas Services & Equipment – 0.5%
Ensign Drilling, Inc., 9.25%, 4/15/24 (1)		100		36
Nabors Industries Ltd., 7.25%, 1/15/26 (1)		50		17
7.50%, 1/15/28 (1)		25		8
Noble Holding International Ltd., 7.75%, 1/15/24		69		6
7.88%, 2/1/26 (1)		125		30
8.95%, 4/1/45		25		1
Precision Drilling Corp., 7.75%, 12/15/23		70		28
5.25%, 11/15/24		240		84
7.13%, 1/15/26 (1)		210		69
Shelf Drilling Holdings Ltd., 8.25%, 2/15/25 (1)		125		60
Transocean Guardian Ltd., 5.88%, 1/15/24 (1)		105		83
Transocean Pontus Ltd., 6.13%, 8/1/25 (1)		104		85
Transocean Sentry Ltd., 5.38%, 5/15/23 (1)		50		42
Transocean, Inc., 5.80%, 10/15/22		75		44
7.25%, 11/1/25 (1)		820		412
8.00%, 2/1/27 (1)		100		48
7.50%, 4/15/31		100		25
6.80%, 3/15/38		50		12
				1,090

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Pharmaceuticals – 0.9%
Bausch Health Cos., Inc., 5.50%, 3/1/23 (1)		$33		$32
5.88%, 5/15/23 (1)		8		8
7.00%, 3/15/24 (1)		140		142
6.13%, 4/15/25 (1)		790		778
5.50%, 11/1/25 (1)		125		126
9.00%, 12/15/25 (1)		150		158
5.75%, 8/15/27 (1)		25		26
7.00%, 1/15/28 (1)		25		26
5.00%, 1/30/28 (1)		100		95
7.25%, 5/30/29 (1)		75		78
5.25%, 1/30/30 (1)		75		71
Endo Dac/Endo Finance LLC/Endo Finco, Inc., 6.00%, 7/15/23 (1)		400		290
Mallinckrodt International Finance S.A./Mallinckrodt CB LLC, 5.75%, 8/1/22 (1)		50		25
Teva Pharmaceutical Finance Netherlands III B.V., 4.10%, 10/1/46		100		72
				1,927
Refining & Marketing – 0.1%
eG Global Finance PLC, 6.75%, 2/7/25 (1)		200		164
Parkland Fuel Corp., 6.00%, 4/1/26 (1)		25		23
5.88%, 7/15/27 (1)		50		47
				234
Restaurants – 0.4%
1011778 B.C. ULC/New Red Finance, Inc., 4.25%, 5/15/24 (1)		375		374
5.00%, 10/15/25 (1)		420		401
4.38%, 1/15/28 (1)		25		23
				798
Software & Services – 0.4%
Camelot Finance S.A., 4.50%, 11/1/26 (1)		100		97
Nielsen Co. Luxembourg (The) S.a.r.l., 5.00%, 2/1/25 (1)		335		311

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 82 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Software & Services – 0.4% – continued
Open Text Corp., 5.88%, 6/1/26 (1)		$305		$320
3.88%, 2/15/28 (1)		50		47
				775
Travel & Lodging – 0.0%
Viking Cruises Ltd., 6.25%, 5/15/25 (1)		75		48
5.88%, 9/15/27 (1)		25		15
				63
Utilities – 0.0%
Superior Plus L.P./Superior General Partner, Inc., 7.00%, 7/15/26 (1)		25		24
Waste & Environment Services & Equipment – 0.0%
GFL Environmental, Inc., 5.13%, 12/15/26 (1)		25		24
Wireless Telecommunications Services – 1.4%
Altice France S.A., 7.38%, 5/1/26 (1)		690		685
8.13%, 2/1/27 (1)		420		438
5.50%, 1/15/28 (1)		470		440
Connect Finco S.a.r.l./Connect US Finco LLC, 6.75%, 10/1/26 (1)		200		165
Digicel Group One Ltd., 8.25%, 12/30/22 (1)(4)		310		147
Digicel Group Two Ltd., 8.25%, 9/30/22 (1)(4)		140		22
Intelsat Connect Finance S.A., 9.50%, 2/15/23 (1)		175		65
Intelsat Jackson Holdings S.A., 5.50%, 8/1/23		440		288
8.00%, 2/15/24 (1)		100		97
8.50%, 10/15/24 (1)(4)		75		47
9.75%, 7/15/25 (1)		300		198
Intelsat Luxembourg S.A., 8.13%, 6/1/23		50		10
Telesat Canada/Telesat LLC, 4.88%, 6/1/27 (1)		50		48
6.50%, 10/15/27 (1)		75		72
Vodafone Group PLC, (Variable, USD Swap 5Y + 4.87%), 7.00%, 4/4/79 (6)		125		134

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
FOREIGN ISSUER BONDS – 10.0% – continued
Wireless Telecommunications Services – 1.4% – continued
Xplornet Communications, Inc., 9.63%, 6/1/22 (1)(2)		$57		$53
				2,909
Wireline Telecommunications Services – 0.1%
Telecom Italia Capital S.A., 6.00%, 9/30/34		175		173
7.20%, 7/18/36		25		26
Telecom Italia S.p.A., 5.30%, 5/30/24 (1)		25		25
				224
Total Foreign Issuer Bonds
(Cost $29,754)				21,464
TERM LOANS – 15.7% (11)
Auto Parts Manufacturing – 1.3%
DexKo Global, Inc., Term B Loan, (Floating, ICE LIBOR USD 3M + 8.25%), 9.70%, 7/24/25		1,460		1,256
Truck Hero, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 1M + 8.25%, 1.00% Floor), 9.25%, 4/21/25		2,050		1,537
				2,793
Cable & Satellite – 0.0%
Radiate HoldCo LLC, Closing Date Term Loan, (Floating, ICE LIBOR USD 1M + 3.00%, 0.75% Floor), 3.99%, 2/1/24		97		89
Casinos & Gaming – 0.8%
18 Fremont Street Acquisition LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 8.00%, 1.50% Floor), 9.50%, 8/9/25		1,590		1,288
Boyd Gaming Corp., Refinancing Term B Loan, (Floating, ICE LIBOR USD 1W + 2.25%), 2.93%, 9/15/23		84		72
CEOC LLC, Term B Loan, (Floating, ICE LIBOR USD 1M + 2.00%), 2.99%, 10/7/24		81		66

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 83 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Casinos & Gaming – 0.8% – continued
Gateway Casinos & Entertainment Ltd., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 3.00%), 4.45%, 12/1/23		$74		$52
Golden Nugget, Inc., Initial B Term Loan, (Floating, ICE LIBOR USD 1M + 2.50%, 0.75% Floor), 3.49%, 10/4/23		37		29
(Floating, ICE LIBOR USD 3M + 2.50%, 0.75% Floor), 3.70%, 10/4/23		32		25
Spectacle Gary Holdings LLC, Closing Date Term Loan, (Floating, ICE LIBOR USD 3M + 9.00%, 2.00% Floor), 11.00%, 12/23/25		93		77
Spectacle Gary Holdings LLC, Delayed Draw Term Loan, 12/23/25 (12)(13)		7		5
				1,614
Chemicals – 0.5%
ASP Unifrax Holdings, Inc., USD Term Loan, (Floating, ICE LIBOR USD 3M + 3.75%), 4.82%, 12/12/25		25		19
Consolidated Energy Finance S.A., Initial Term Loan, (Floating, ICE LIBOR USD 1M + 2.50%), 3.20%, 5/7/25		74		52
Solenis Holdings LLC, Initial Dollar Term Loan, 6/26/25 (13)		20		16
(Floating, ICE LIBOR USD 3M + 4.00%), 5.61%, 6/26/25		168		132
Solenis Holdings LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 8.50%), 10.11%, 6/26/26		105		70
UTEX Industries, Inc., Initial Loan, (Floating, ICE LIBOR USD 1M + 7.25%, 1.00% Floor), 8.25%, 5/20/22		2,200		385

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Chemicals – 0.5% – continued
UTEX Industries, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 1M + 4.00%, 1.00% Floor), 5.00%, 5/21/21		$957		$297
				971
Construction Materials Manufacturing – 0.1%
Forterra Finance LLC, Replacement Term Loan, (Floating, ICE LIBOR USD 1M + 3.00%, 1.00% Floor), 4.00%, 10/25/23		347		286
Consumer Products – 0.5%
Kronos Acquisition Intermediate, Inc., Initial Loan, (Floating, ICE LIBOR USD 1M + 4.00%, 1.00% Floor), 5.00%, 5/15/23		210		187
Parfums Holding Co., Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 8.75%, 1.00% Floor), 10.21%, 6/30/25		950		773
				960
Consumer Services – 0.2%
IRI Holdings, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 4.50%), 6.11%, 12/1/25		448		352
National Intergovernmental Purchasing Alliance Co., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 3.75%), 5.20%, 5/23/25		49		42
USS Ultimate Holdings, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 6M + 3.75%, 1.00% Floor), 5.67%, 8/25/24		49		42
				436
Containers & Packaging – 0.2%
Berry Global, Inc., Term Y Loan, (Floating, ICE LIBOR USD 1M + 2.00%), 2.86%, 7/1/26		174		162
BWay Holding Co., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 3.25%), 5.08%, 4/3/24		347		282

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 84 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Containers & Packaging – 0.2% – continued
Flex Acquisition Co., Inc., Initial Term Loan, (Floating, ICE LIBOR USD 1M + 3.00%, 1.00% Floor), 4.58%, 12/29/23		$3		$3
(Floating, ICE LIBOR USD 3M + 3.00%, 1.00% Floor), 4.91%, 12/29/23		85		77
				524
Distributors – Consumer Discretionary – 0.1%
American Tire Distributors, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 6.00%, 1.00% Floor), 7.20%, 9/1/23		197		183
(Floating, ICE LIBOR USD 1M + 7.50%, 1.00% Floor), 8.49%, 9/2/24		115		76
(Floating, ICE LIBOR USD 3M + 7.50%, 1.00% Floor), 8.95%, 9/2/24		15		10
KAR Auction Services, Inc., Tranche B-6 Term Loan, (Floating, ICE LIBOR USD 1M + 2.25%), 3.19%, 9/19/26		25		23
				292
Educational Services – 0.8%
KUEHG Corp., Tranche B Term Loan, (Floating, ICE LIBOR USD 3M + 8.25%, 1.00% Floor), 9.70%, 8/22/25		1,020		928
Learning Care Group (US) No. 2, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 7.50%, 1.00% Floor), 9.29%, 3/13/26		770		678
				1,606
Electrical Equipment Manufacturing – 0.9%
Deliver Buyer, Inc., Term Loan, (Floating, ICE LIBOR USD 3M + 5.00%, 1.00% Floor), 6.45%, 5/1/24		2,139		1,714
Vertiv Group Corp., Initial Term Loan, (Floating, ICE LIBOR USD 1M + 3.00%), 4.58%, 3/2/27		150		129
				1,843

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Entertainment Content – 0.1%
Allen Media LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 5.50%), 7.23%, 2/10/27		$100		$83
Diamond Sports Group LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 3.25%), 4.18%, 8/24/26		50		38
Lions Gate Capital Holdings LLC, Term B Loan, (Floating, ICE LIBOR USD 1M + 2.25%), 3.24%, 3/24/25		20		18
				139
Entertainment Resources – 0.3%
Life Time Fitness, Inc., 2017 Refinancing Term Loan, (Floating, ICE LIBOR USD 3M + 2.75%, 1.00% Floor), 4.36%, 6/10/22		316		232
Motion Acquisition Ltd., Facility B1, 11/12/26 (13)		22		17
Motion Acquisition Ltd., Facility B2, 11/12/26 (13)		3		2
NASCAR Holdings LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 2.75%), 3.67%, 10/19/26		70		62
SeaWorld Parks & Entertainment, Inc., Term B-5 Loan, (Floating, ICE LIBOR USD 1M + 3.00%, 0.75% Floor), 3.99%, 4/1/24		347		283
UFC Holdings LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 3.25%, 1.00% Floor), 4.25%, 4/29/26		98		85
				681
Exploration & Production – 0.0%
California Resources Corp., Initial Loan, (Floating, ICE LIBOR USD 3M + 4.75%, 1.00% Floor), 6.36%, 12/31/22		275		61
California Resources Corp., Loan, (Floating, ICE LIBOR USD 3M + 10.38%, 1.00% Floor), 11.99%, 12/31/21		25		1
				62

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 85 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Financial Services – 0.3%
Masergy Holdings, Inc., Initial Loan, (Floating, ICE LIBOR USD 3M + 7.50%, 1.00% Floor), 8.56%, 12/16/24		$840		$678
Hardware – 0.0%
Pitney Bowes, Inc., Term Loan B, (Floating, ICE LIBOR USD 1M + 5.50%), 6.49%, 1/17/25		85		72
Health Care Facilities & Services – 2.3%
Air Methods Corp., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 3.50%, 1.00% Floor), 4.95%, 4/22/24		48		33
Aveanna Healthcare LLC, Initial New Term Loan, (Floating, ICE LIBOR USD 3M + 5.50%, 1.00% Floor), 6.50%, 3/18/24		49		40
Aveanna Healthcare LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 8.00%, 1.00% Floor), 9.00%, 3/17/25		1,710		1,197
Dentalcorp Health Services ULC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 7.50%, 1.00% Floor), 8.50%, 6/8/26		1,580		1,232
Iqvia, Inc., Term B-3 Dollar Loan, (Floating, ICE LIBOR USD 3M + 1.75%), 3.20%, 6/11/25		72		68
Lanai Holdings III, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 8.50%, 1.00% Floor), 10.28%, 8/28/23		1,820		965
LifePoint Health, Inc., Term B Loan, (Floating, ICE LIBOR USD 1M + 3.75%), 4.74%, 11/16/25		75		69
Packaging Coordinators Midco, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 8.75%, 1.00% Floor), 9.83%, 7/1/24		1,450		1,276
				4,880

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Home & Office Products Manufacturing – 0.0%
Serta Simmons Bedding LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 8.00%, 1.00% Floor), 9.00%, 11/8/24		$95		$21
Industrial Other – 0.1%
HD Supply, Inc., Term B-5 Loan, (Floating, ICE LIBOR USD 1M + 1.75%), 2.74%, 10/17/23		99		92
MRO Holdings, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 5.00%), 6.45%, 6/4/26		74		60
				152
Internet Media – 1.8%
MH Sub I LLC, Amendment No. 2 Initial Term Loan, (Floating, ICE LIBOR USD 3M + 7.50%, 1.00% Floor), 8.57%, 9/15/25		3,060		2,540
Ten-X LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 8.00%, 1.00% Floor), 9.00%, 9/29/25 (9)		1,360		1,253
				3,793
Machinery Manufacturing – 0.8%
Altra Industrial Motion Corp., Term Loan, (Floating, ICE LIBOR USD 1M + 2.00%), 2.99%, 10/1/25		44		38
Engineered Machinery Holdings, Inc., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 7.25%, 1.00% Floor), 8.70%, 7/18/25		2,045		1,534
Granite US Holdings Corp., Term B Loan, (Floating, ICE LIBOR USD 3M + 5.25%), 6.32%, 9/30/26		234		164
				1,736
Managed Care – 0.2%
Tivity Health, Inc., Tranche A Term Loan, (Floating, ICE LIBOR USD 1M + 4.25%), 5.24%, 3/8/24		203		162

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 86 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Managed Care – 0.2% – continued
Tivity Health, Inc., Tranche B Term Loan, (Floating, ICE LIBOR USD 1M + 5.25%), 6.24%, 3/6/26		$280		$223
				385
Manufactured Goods – 0.0%
Neenah Foundry Co., Loan, (Floating, ICE LIBOR USD 2M + 6.50%), 7.76%, 12/13/22		19		16
(Floating, ICE LIBOR USD 2M + 6.50%), 8.12%, 12/13/22		22		19
				35
Metals & Mining – 0.3%
Arconic Rolled Products Corp., Term Loan B, 2/4/27 (13)		25		22
Big River Steel LLC, Closing Date Term Loan, (Floating, ICE LIBOR USD 3M + 5.00%, 1.00% Floor), 6.45%, 8/23/23		24		23
RA Acquisition Purchaser LLC, Notes, (Floating, ICE LIBOR USD 3M + 12.00%, 1.00% Floor), 13.45%, 5/31/23 (9)		649		565
				610
Oil & Gas Services & Equipment – 0.0%
Keane Group Holdings LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 3.50%, 1.00% Floor), 4.50%, 5/25/25		25		16
Oil, Gas & Coal – 0.0%
Parker Drilling Co., Initial Loan, (Floating, ICE LIBOR USD 3M + 11.00% Cash, 2.00% PIK), 13.00%, 3/26/24 (2)		16		15
Pharmaceuticals – 0.0%
Elanco Animal Health, Inc., Term Loan B, 2/4/27 (13)		75		71
Pipeline – 0.2%
BCP Raptor LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 4.25%, 1.00% Floor), 5.25%, 6/24/24		208		87

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Pipeline – 0.2% – continued
Brazos Delaware II LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 4.00%), 4.92%, 5/21/25		$208		$105
Lower Cadence Holdings LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 4.00%), 4.99%, 5/22/26		418		251
Medallion Midland Acquisition LLC, Initial Term Loan, (Floating, ICE LIBOR USD 1M + 3.25%, 1.00% Floor), 4.25%, 10/30/24		44		24
Prairie ECI Acquiror L.P., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 4.75%), 6.20%, 3/11/26		47		24
				491
Power Generation – 0.2%
Granite Generation LLC, Term Loan, (Floating, ICE LIBOR USD 1M + 3.75%, 1.00% Floor), 4.75%, 11/9/26		273		226
(Floating, ICE LIBOR USD 3M + 3.75%, 1.00% Floor), 5.20%, 11/9/26		48		40
Vistra Operations Co. LLC, 2018 Incremental Term Loan, (Floating, ICE LIBOR USD 1M + 1.75%), 2.55%, 12/31/25		9		9
(Floating, ICE LIBOR USD 1M + 1.75%), 2.74%, 12/31/25		38		35
				310
Property & Casualty Insurance – 1.3%
Asurion LLC, Replacement B-6 Term Loan, (Floating, ICE LIBOR USD 1M + 3.00%), 3.99%, 11/3/23		47		45
Asurion LLC, Second Lien Replacement B-2 Term Loan, (Floating, ICE LIBOR USD 1M + 6.50%), 7.49%, 8/4/25		2,850		2,597

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 87 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Property & Casualty Insurance – 1.3% – continued
Hub International Ltd., 2019 Incremental Term Loan, (Floating, ICE LIBOR USD 3M + 4.00%, 1.00% Floor), 5.69%, 4/25/25		$150		$140
Hub International Ltd., Initial Term Loan, (Floating, ICE LIBOR USD 2M + 2.75%), 4.39%, 4/25/25		2		2
(Floating, ICE LIBOR USD 3M + 2.75%), 4.55%, 4/25/25		47		44
				2,828
Publishing & Broadcasting – 0.1%
Banijay Group S.A.S, Cov-Lite Term Loan, 3/4/25 (13)		25		22
Cengage Learning, Inc., 2016 Refinancing Term Loan, (Floating, ICE LIBOR USD 1M + 4.25%, 1.00% Floor), 5.25%, 6/7/23		124		100
Clear Channel Outdoor Holdings, Inc., Term B Loan, (Floating, ICE LIBOR USD 1M + 3.50%), 4.49%, 8/21/26		50		42
Nexstar Broadcasting, Inc., Term B-4 Loan, (Floating, ICE LIBOR USD 1M + 2.75%), 4.33%, 9/18/26		72		67
Sinclair Television Group, Inc., Tranche B-2b Term Loan, (Floating, ICE LIBOR USD 1M + 2.50%), 3.21%, 9/30/26		25		23
				254
Real Estate – 0.1%
RHP Hotel Properties L.P., Tranche B Term Loan, (Floating, ICE LIBOR USD 1M + 2.00%), 2.99%, 5/11/24		155		137
Refining & Marketing – 0.0%
CITGO Holding, Inc., Term Loan, (Floating, ICE LIBOR USD 1M + 7.00%, 1.00% Floor), 8.00%, 8/1/23		99		80

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Restaurants – 0.1%
1011778 B.C. Unlimited Liability Co., Term B-4 Loan, (Floating, ICE LIBOR USD 1M + 1.75%), 2.74%, 11/19/26		$158		$145
Retail-Consumer Discretionary – 0.5%
Bass Pro Group LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 5.00%, 0.75% Floor), 6.07%, 9/25/24		655		548
Staples, Inc., 2019 Refinancing New Term B-1 Loan, (Floating, ICE LIBOR USD 1M + 5.00%), 6.52%, 4/16/26		651		513
				1,061
Software & Services – 1.2%
Camelot U.S. Acquisition 1 Co., Initial Term Loan, 10/30/26 (13)		50		47
Dun & Bradstreet (The) Corp., Initial Term Borrowing, (Floating, ICE LIBOR USD 1M + 4.00%), 4.96%, 2/6/26		50		45
Evergreen Skills Lux S.a.r.l., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 4.75%, 1.00% Floor), 6.53%, 4/28/21		2,095		1,337
MPH Acquisition Holdings LLC, Initial Term Loan, (Floating, ICE LIBOR USD 3M + 2.75%, 1.00% Floor), 4.20%, 6/7/23		250		220
Peak 10 Holding Corp., Initial Term Loan, (Floating, ICE LIBOR USD 3M + 7.25%, 1.00% Floor), 8.71%, 8/1/25		1,360		514
SS&C Technologies Holdings, Inc., Term B-3 Loan, (Floating, ICE LIBOR USD 1M + 1.75%), 2.74%, 4/16/25		25		23
SS&C Technologies Holdings, Inc., Term B-4 Loan, (Floating, ICE LIBOR USD 1M + 1.75%), 2.74%, 4/16/25		18		17

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 88 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

	PRINCIPAL AMOUNT (000s)		VALUE (000s)
TERM LOANS – 15.7% (11) – continued
Software & Services – 1.2% – continued
TierPoint LLC, Initial Term Loan, (Floating, ICE PRIME USD 3M + 6.25%, 1.00% Floor), 9.50%, 5/5/25		$480		$461
				2,664
Transportation & Logistics – 0.0%
Navistar, Inc., Tranche B Term Loan, 11/6/24 (13)		25		21
(Floating, ICE LIBOR USD 1M + 3.50%), 4.28%, 11/6/24		73		63
				84
Wireless Telecommunications Services – 0.2%
Altice France S.A., Incremental Term Loan, (Floating, ICE LIBOR USD 1M + 4.00%), 4.70%, 8/14/26		298		282
Intelsat Jackson Holdings S.A., Tranche B-3 Term Loan, (Floating, ICE LIBOR USD 3M + 3.75%, 1.00% Floor), 5.68%, 11/27/23		160		146
				428
Wireline Telecommunications Services – 0.2%
Frontier Communications Corp., Term B-1 Loan, (Floating, ICE LIBOR USD 3M + 3.75%, 0.75% Floor), 5.21%, 6/15/24		2		1
(Floating, ICE LIBOR USD 3M + 3.75%, 0.75% Floor), 5.35%, 6/15/24		450		426
				427
Total Term Loans
(Cost $44,690)				33,669
	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 1.0%
Chemicals – 0.0%
Hexion Holdings Corp., Class B *		7,901		$75
Distributors – Consumer Discretionary – 0.2%
ATD New Holdings, Inc. (9)*		22,076		435

	NUMBER OF SHARES		VALUE (000s)
COMMON STOCKS – 1.0% – continued
Iron & Steel – 0.0%
Algoma Steel Parent GP S.A.*		4,899		$13
Algoma Steel Parent S.C.A.*		4,899		13
				26
Metals & Mining – 0.8%
Real Alloy Parent, Inc. (9)*		48		1,577
Oil, Gas & Coal – 0.0%
Parker Drilling Co.*		1,014		9
Weatherford International PLC*		1,227		7
				16
Software – 0.0%
Avaya Holdings Corp.*		2,928		24
Total Common Stocks
(Cost $2,537)				2,153
CONVERTIBLE PREFERRED STOCKS – 0.0%
Exploration & Production – 0.0%
Chesapeake Energy Corp., 5.75% (1) (5)		13		–
Total Convertible Preferred Stocks
(Cost $9)				–
PREFERRED STOCKS – 0.0%
Retail – Consumer Discretionary – 0.0%
MYT Holding Co. (1)*		8,421		6
Total Preferred Stocks
(Cost $12)				6
OTHER – 0.0%
Escrow Appvion, Inc. (7)*		225,000		–
Escrow Cloud Peak Energy, Inc. (7)*		270,000		–
Escrow GenOn Energy, Inc. (7)*		25,000		–
Escrow Hercules Offshore, Inc. (7)*		3,570		–
Escrow T-Mobile USA, Inc. (7)*		860,000		–
Escrow Washington Mutual Bank (9)*		250,000		3
Total Other
(Cost $134)				3
	NUMBER OF WARRANTS		VALUE (000s)
WARRANTS – 0.0%
Appvion, Inc. Class A, Exp. 6/1/20, Strike $0.00 (7)*		219		$ –
Appvion, Inc. Class B, Exp. 6/13/23, Strike $0.00 (7)*		219		–

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 89 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued

	NUMBER OF WARRANTS		VALUE (000s)
WARRANTS – 0.0% – continued
iHeartMedia, Inc., Exp. 5/1/39, Strike $0.00 *		419		$3
Jones Energy II, Inc., Exp. 5/17/24, Strike $0.00 (5)*		340		–
Total Warrants
(Cost $4)				3
	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 5.4%
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40% (14)(15)		11,590,772		$11,591
Total Investment Companies
(Cost $11,591)				11,591
Total Investments – 98.4%
(Cost $257,729)				210,926
Other Assets less Liabilities – 1.6%				3,362
NET ASSETS – 100.0%				$214,288

(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. The value of these securities is determined by valuations supplied by a pricing service or brokers, or, if not available, in accordance with procedures established by the Board of Trustees of Northern Funds.

(2) Security is a payment in-kind bond (PIK), distributions received in-kind unless otherwise noted in the description.

(3) Restricted security that has been deemed illiquid. At March 31, 2020, the value of this restricted illiquid security amounted to less than one thousand or 0.0% of net assets. Additional information on this restricted illiquid security is as follows:

SECURITY	ACQUISITION AND ENFORCEABLE DATE		COST (000s)
Murray Energy Corp., 12.00%, 4/15/24		7/3/18-4/18/19		$397
OGX Austria GmbH, 8.50%, 6/1/18		5/26/11-4/17/13		2,265
OGX Austria GmbH, 8.38%, 4/1/22		5/30/12-4/18/13		1,497
Real Alloy Holding, Inc., 10.00%, 1/15/19		12/23/14		1,254

(4) Issuer has defaulted on terms of debt obligation. Income is not being accrued.

(5) Value rounds to less than one thousand.

(6) Variable rate security. Security issued at a fixed coupon rate, which converts to a variable rate at a future date. Rate shown is the rate in effect as of period end.

(7) Level 3 asset that is worthless, bankrupt or has been delisted.

(8) Perpetual bond. Maturity date represents next call date.

(9) Level 3 asset.

(10) Variable rate is calculated based on the issuer’s annual income subject to certain fees.

(11) Variable rate security. Rate as of March 31, 2020 is disclosed.

(12) Unfunded loan commitment. An unfunded loan commitment is a contractual obligation for future funding at the option of the Borrower. The Fund receives a stated coupon rate until the borrower draws on the loan commitment, at which time the rate will become the stated rate in the loan agreement. See Note 2.

(13) Position is unsettled. Contract rate was not determined at March 31, 2020 and does not take effect until settlement date.

(14) Investment in affiliated Portfolio. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to Northern Institutional Funds.

(15) 7-day current yield as of March 31, 2020 is disclosed.

* Non-Income Producing Security

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

1M – 1 Month

1W – 1 Week

2M – 2 Month

3M – 3 Month

5Y – 5 Year

6M – 6 Month

CMT – Constant Maturity

ICE – Intercontinental Exchange

LIBOR – London Interbank Offered Rate

MSCI – Morgan Stanley Capital International

PIK – Payment In-Kind

PLC – Public Limited Company

S&P – Standard & Poor’s

SOFR – Secured Overnight Financing Rate

USD – United States Dollar

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 90 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

MARCH 31, 2020

At March 31, 2020, the credit quality distribution (unaudited) for the Fund as a percentage of investments including cash was:

QUALITY DISTRIBUTION*	% OF INVESTMENTS
BBB		1.2%
BB		24.8
B		32.3
CCC or Below		29.5
Not Rated		6.7
Cash Equivalents		5.5
Total		100.0%

* Credit quality ratings are compiled from two external rating agencies: Moody’s and S&P Global. The Fund assigns the lowest rating of the two in the event there are any differences between them. If neither of these rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in S&P Global’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in S&P Global’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to D (in default). Government securities consist of obligations issued or guaranteed by the U.S. Treasury. The ratings represent the rating agencies’ opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

At March 31, 2020, the Fund’s investments were denominated in the following currencies (unaudited):

CONCENTRATION BY CURRENCY	% OF LONG-TERM INVESTMENTS
United States Dollar		100.0%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)			LEVEL 3 (000s)		TOTAL (000s)
Convertible Bonds (1)		$–		$624			$–		$624
Corporate Bonds:
Entertainment Resources		–		2,881			975		3,856
Iron & Steel		–		49			2,376		2,425
Manufactured Goods		–		1,935			1,448		3,383
All Other Industries(1)		–		131,749			–		131,749
Total Corporate Bonds		–		136,614			4,799		141,413
Foreign Issuer Bonds (1)		–		21,464			–		21,464
Term Loans:
Internet Media		–		2,540			1,253		3,793
Metals & Mining		–		45			565		610
All Other Industries (1)		–		29,266			–		29,266
Total Term Loans		–		31,851			1,818		33,669
Common Stocks:
Distributors - Consumer Discretionary		–		–			435		435
Iron & Steel		–		26			–		26
Metals & Mining		–		–			1,577		1,577
All Other Industries (1)		115		–			–		115
Total Common Stocks		115		26			2,012		2,153
Preferred Stocks (1)		–		6			–		6
Convertible Preferred Stocks (1)		–		–	*		–		–	*
Other		–		–			3		3
Warrants		–		3			–		3
Investment Companies		11,591		–			–		11,591
Total Investments		$11,706		$190,588			$8,632		$210,926

* Amounts round to less than a thousand.

(1) Classifications as defined in the Schedule of Investments.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 91 MULTI-MANAGER FUNDS

SCHEDULE OF INVESTMENTS

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND continued MARCH 31, 2020

The following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:

	BALANCE AS OF 3/31/19 (000s)		ACCRUED DISCOUNTS (PREMIUMS) (000s)		REALIZED GAIN (LOSS) (000s)		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) (000s)			PURCHASES (000s)		SALES (000s)			TRANSFERS INTO LEVEL 3 (000s)		TRANSFERS OUT OF LEVEL 3 (000s)			BALANCE AS OF 3/31/20 (000s)		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) FROM INVESTMENTS STILL HELD AT 3/31/20 (000s)
Corporate Bonds
Consumer Products	$	–	$	–	$	–	$	–		$	–	$	–		$	–	$	–		$	–	$	(427	)
Entertainment Resources		1,093		3		–		(121	)		–		–			–		–			975		(121	)
Iron & Steel		2,670		–		–		(294	)		–		–			–		–			2,376		(294	)
Managed Care		4,405		110		12		68			434		(149	)		–		(4,880	)		–		–
Manufactured Goods		1,511		25		–		(124	)		36		–			–		–			1,448		(124	)
Term Loans
Internet Media		1,319		3		–		(69	)		–		–			–		–			1,253		(69	)
Health Care Facilities & Services		115		–		–		–			–		(115	)		–		–			–		–
Metals & Mining		627		–		–		(84	)		22		–			–		–			565		(84	)
Common Stocks
Distributors - Consumer Discretionary		480		–		–		(45	)		–		–			–		–			435		(45	)
Metals & Mining		1,849		–		–		(272	)		–		–			–		–			1,577		(272	)
Other		–		–		–		(107	)		110		–			–		–			3		(105	)
Warrants		453		–		482		(369	)		–		(566	)		–		–			–		–
Total	$	14,522	$	141	$	494	$	(1,417	)	$	602	$	(830	)	$	–	$	(4,880	)	$	8,632	$	(1,541	)

Security valued at $3 included in the Balance as of 3/31/20 above was valued using evaluated prices provided by a third party provider. Securities valued at $8,629 included in the Balance as of 3/31/20 above were valued using prices provided by the Fund’s investment adviser’s pricing and valuation committee. Transfers out of Level 3, noted above, were due to the Fund receiving an evaluated price from a vendor.

	FAIR VALUE AT 3/31/20 (000s)		VALUATION TECHNIQUES	UNOBSERVABLE INPUTS	RANGE (WEIGHTED AVERAGE)
Corporate Bonds	$	4,799	Market Approach	Yield(1)	5.9%-16.3% (10.3%)
			Market Approach	Market Comparables(2)	6.5%-11.0%
Term Loans	$	1,818	Market Approach	Yield(1)	8.8%-16.3% (11.4%)
			Market Approach	Market Comparables(2)	7.9%-13.0%
Common Stocks	$	2,012	Discounted Cash Flow/Market Approach	Discount Rate/EBITDA Multiple(2)	12.7%/5.9x
			Market Approach	Market Comparables(2)	6.3%-9.9%

(1) The significant unobservable inputs that can be used in the fair value measurement are: Yield. Significant decreases (increases) in yield would have resulted in a significantly higher (lower) fair value measurement.

(2) The significant unobservable inputs that can be used in the fair value measurement are: Discount Rate and EBITDA Multiple. Significant increases (decreases) in the discount rate in isolation would have resulted in a significantly lower (higher) fair value measurement while an increase (decrease) in EBITDA multiple in isolation would have resulted in a significantly higher (lower) fair value measurement.

See Notes to the Financial Statements.

MULTI-MANAGER FUNDS 92 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

NOTES TO THE FINANCIAL STATEMENTS MARCH 31, 2020

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure, Multi-Manager Global Real Estate, Northern Engage360^TM, Multi-Manager Emerging Markets Debt Opportunity and Multi-Manager High Yield Opportunity Funds (each a “Fund” and collectively, the “Funds”) are separate, diversified investment portfolios of the Trust, except for the Multi-Manager Global Listed Infrastructure and Multi-Manager Emerging Markets Debt Opportunity Funds which are non-diversified portfolios. Non-diversified portfolios may invest a relatively high percentage of their net assets in obligations of a limited number of issuers. Each of the Funds is presented herein.

Northern Trust Investments, Inc. (“NTI”), a subsidiary of The Northern Trust Company (“Northern Trust”), serves as the investment adviser and administrator for each of the Funds. Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of each Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES AND DERIVATIVES CONTRACTS Securities are valued at their fair value. Securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price. Fixed income securities and term loans, however, may be valued on the basis of evaluated prices provided by the Funds’ approved independent third-party pricing services when such prices are believed to reflect the fair value of such securities or broker provided prices. Such prices may be determined by taking into account other similar securities’ prices, yields, maturities, call features, ratings, prepayment speeds, credit risks, cash flows, institutional size trading in similar groups of securities and developments related to specific securities.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time. Foreign fixed income securities, however, may, like domestic fixed income securities, be valued based on evaluated prices provided by independent pricing services when such prices are believed to reflect the fair value of such securities.

Shares of open-end investment companies, other than exchange-traded funds, are valued at their NAV. Spot and forward foreign currency exchange contracts are generally valued using an independent pricing service. Exchange-traded financial futures and options are valued at the settlement price as established by the exchange on which they are traded. Over-the-counter options are valued at broker-provided bid prices, as are swaps, caps, collars and floors. Centrally cleared swap agreements are generally valued using an independent pricing service. The foregoing prices may be obtained from one or more independent pricing services or, as needed or applicable, independent broker-dealers. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by a Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

NORTHERN FUNDS ANNUAL REPORT 93 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

The use of fair valuation involves the risk that the values used by the Funds to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) FUTURES CONTRACTS Certain Funds invest in long or short exchange-traded futures contracts for hedging purposes, in anticipation of the purchase of securities and for liquidity management purposes. The Multi-Manager Emerging Markets Debt Opportunity Fund may also use these investments for non-hedging purposes in order to seek exposure to certain countries or currencies. When used as a hedge, a Fund may sell a futures contract in order to offset a decrease in the fair value of its portfolio securities that might otherwise result from a market decline. A Fund may do so either to hedge the value of its portfolio securities as a whole, or to protect against declines occurring prior to sales of securities in the value of the securities to be sold. Conversely, a Fund may purchase a futures contract as a hedge in anticipation of purchases of securities. In addition, a Fund may utilize futures contracts in anticipation of changes in the composition of its portfolio holdings. A Fund bears the market risk arising from changes in the value of these financial instruments. At the time a Fund enters into a futures contract, it is generally required to make a margin deposit with the custodian of a specified amount of liquid assets. Futures are marked-to-market each day with the change in value reflected in the unrealized gains or losses. Risk may arise as a result of the potential inability of the counterparties to meet the terms of their contracts. Credit risk is mitigated to the extent that the exchange on which a particular futures contract is traded assumes the risk of a counterparty defaulting on its obligations under the contract. The Statements of Operations include any realized gains or losses on closed futures contracts in Net realized gains (losses) on futures contracts, and any unrealized gains or losses on open futures contracts in Net change in unrealized appreciation (depreciation) on futures contracts.

The contract position and investment strategy utilized during the fiscal year ended March 31, 2020, was as follows:

	CONTRACT POSITION	INVESTMENT STRATEGY
Active M Emerging Markets Equity	Long	Liquidity
Active M International Equity	Long	Liquidity
Multi-Manager Global Listed Infrastructure	Long	Liquidity
Northern Engage360TM	Long	Liquidity

At March 31, 2020, the aggregate fair value of securities pledged to cover margin requirements for open positions for the Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure and Northern Engage360^TM Funds was approximately $1,990,000, $4,459,000, $1,749,000 and $465,000, respectively. At March 31, 2020, the value of cash to cover margin requirements for open positions for the Northern Engage360^TM Fund was approximately $28,000. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 10.

C) FOREIGN CURRENCY TRANSLATION Values of investments denominated in foreign currencies are converted into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The cost of purchases and proceeds from sales of investments, interest and dividend income are translated into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The gains or losses, if any, on investments from original purchase date to subsequent sales trade date resulting from changes in foreign exchange rates are included in the Statements of Operations in Net realized gains (losses) on investments and Net change in unrealized appreciation (depreciation) on investments. The gains or losses, if any, on translation of other assets and liabilities denominated in foreign currencies and between the trade and settlement dates on investment transactions are included in Net realized gains (losses) on foreign currency transactions and Net change in unrealized appreciation (depreciation) on foreign currency translations in the Statements of Operations.

D) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS Certain Funds are authorized to enter into forward foreign currency exchange contracts, or forward currency exchange contracts, for the purchase or sale of a specific foreign currency at a specified exchange rate on a future date. The Multi-Manager Emerging Markets Debt Opportunity Fund may enter into forward foreign currency contracts for hedging purposes and to seek exposure to certain currencies. Each of the other Funds may enter into these contracts for hedging purposes, in anticipation of the purchase of securities and for liquidity management purposes, but not for speculative purposes or to seek to enhance total return. The Funds may also enter into forward currency exchange contracts when seeking to hedge against fluctuations in foreign currency exchange rates. The objective of a Fund’s foreign currency hedging transactions is to reduce the risk that the U.S. dollar value of a Fund’s foreign currency denominated securities will decline in value due to changes in foreign currency exchange rates. All forward foreign currency exchange contracts are marked-to-market daily at the applicable exchange rates. Any resulting unrealized gains or losses are recorded in Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts in the Statements of Operations. Gains or losses are recorded for financial statement purposes as unrealized until the settlement date. Realized gains or losses, if any, are included in Net realized gains (losses) on forward foreign currency exchange contracts in the Statements of Operations.

Risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. The contractual amounts of forward foreign currency exchange contracts do not necessarily represent the amounts potentially subject to risk. A

MULTI-MANAGER FUNDS 94 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MARCH 31, 2020

Fund bears the market risk from changes in foreign currency exchange rates and the credit risk if the counterparty to the contract fails to perform. The institutions that deal in forward foreign currency contracts are not required to make markets in the currencies they trade, and these markets can experience periods of illiquidity. Further information on the impact of these positions on the Funds’ financial statements can be found in Note 10. With respect to forward foreign currency exchange transactions that were outstanding as of March 31, 2020 for the Multi-Manager Emerging Markets Debt Opportunity Fund, approximately $930,000 was posted by the counterparty and is included in Due from broker on the Statements of Assets and Liabilities.

E) CREDIT DEFAULT SWAP AGREEMENTS The Multi-Manager Emerging Markets Debt Opportunity Fund may invest in credit default swap agreements for hedging purposes or to gain exposure to certain countries or currencies. The Fund enters into credit default swap agreements either as a buyer or seller of protection. The buyer of protection in a swap agreement is the party that makes a periodic stream of payments to the counterparty based on the fixed rate of the agreement to the party that is the seller of protection. In exchange for the fixed rate payments received, the seller of protection agrees to provide credit protection to the buyer in the form of payment should a credit default event on the referenced obligation occur. In the event of a credit default event, as defined under the terms of each particular swap agreement, if the Fund is the seller of protection, the Fund will either a) pay to the buyer of protection an amount equal to the notional amount of the swap agreement and take delivery of the referenced obligation or underlying securities comprising the referenced index or b) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. If the Fund is the buyer of protection and a credit default event should occur, the Fund will either a) receive from the seller of protection in the swap agreement an amount equal to the notional amount of the swap agreement and deliver the referenced obligation or underlying securities comprising the referenced index or b) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. If a credit default event should occur, the maximum potential amount of future payments the seller of protection could be required to make under a credit default swap agreement would be an amount equal to the notional amount of the swap.

The implied credit spreads are disclosed in the Schedule of Investments for those agreements for which the Fund is the protection seller, if any, and serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for each swap. The wider the credit spread, the greater the likelihood or risk of default or other credit event occurring for the referenced entity. Events or circumstances that would require the seller to perform under the derivative agreement are credit events as defined under the terms of that particular swap agreement, such as bankruptcy, cross acceleration, failure to pay, repudiation and restructuring.

The resulting values for credit default agreements serve as an indicator of the current status of the payment/performance risk and represent the likelihood of an expected liability (or profit) for the credit default agreement should the notional amount of the swap agreement be closed/sold as of the period end. When compared to the notional amount of the swap, decreasing market values for credit default swaps sold and, conversely, increasing market values for credit default swaps purchased, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

When entering into a credit default swap agreement as a buyer of protection, the Fund may pay an upfront premium to enter into the agreement. When selling protection, the Fund may receive this upfront premium paid from the buyer. During the term of the credit default swap agreement, the discounted value of the estimated stream of fixed rate payments from buyer to seller yet to be made is recorded as unrealized gain or loss on credit default swap agreements, with any interest payments already having been made being recognized as realized gain or loss on credit default swap agreements. This treatment will occur until the credit default swap is sold or reaches its expiration. Any upfront payments made or received upon entering into a credit default swap agreement are treated as part of the cost and are reflected as part of the unrealized appreciation (depreciation) on valuation. Upon termination of the swap agreement, the amount included in the cost is reversed and becomes part of the realized gain (loss) on credit default swap agreements. Unrealized appreciation (depreciation) on credit default swap agreements, if any, is included in the Statements of Assets and Liabilities of the Multi-Manager Emerging Markets Debt Opportunity Fund, with corresponding changes in unrealized appreciation (depreciation) included in the Statements of Operations.

Counterparty credit risk may arise as a result of the failure of the swap counterparty to comply with the terms of the swap agreement. Additionally, risks may arise with respect to the underlying issuer of the referenced security. Therefore, the sub-adviser considers the creditworthiness of each underlying issuer of the referenced security in addition to the creditworthiness of the counterparty. In addition, the sub-advisers of the Multi-Manager Emerging Markets Debt Opportunity Fund may use different counterparties to minimize credit risk and limit the exposure to any individual counterparty. As stipulated in each swap agreement, collateral may be posted between the Fund and its counterparties to mitigate credit risk. No credit default swap agreements were held during the fiscal year ended March 31, 2020.

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NOTES TO THE FINANCIAL STATEMENTS continued

F) INTEREST RATE SWAP AGREEMENTS The Multi-Manager Emerging Markets Debt Opportunity Fund may invest in interest rate swap agreements for hedging purposes or to gain exposure to certain countries or currencies. An interest rate swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals at agreed upon fixed rates or at rates based upon, or calculated by, reference to changes in specified prices or interest rates for a specified notional amount.

Interest payments earned or charged under the terms of the interest rate swap agreements are recorded as realized gain (loss) on interest rate swap agreements. The swap interest receivable or payable as of March 31, 2020, if any, is included as unrealized appreciation (depreciation) on bilateral interest rate swap agreements on the Statements of Assets and Liabilities. Unrealized appreciation (depreciation) on bilateral interest rate swap agreements and variation margin on centrally cleared interest rate swap agreements, if any, is included in the Statements of Assets and Liabilities of the Multi-Manager Emerging Markets Debt Opportunity Fund, with corresponding changes in unrealized appreciation (depreciation) included in the Statements of Operations.

Risks may arise as a result of the failure of the counterparty to the interest rate swap agreement to comply with the terms of the agreement. The loss incurred by the failure of the counterparty is generally limited to the swap interest payment to be received by the Fund and/or the termination value at the end of the agreement. Therefore, the sub-adviser considers the creditworthiness of each counterparty to a swap agreement in evaluating potential credit risk. The sub-adviser may use different counterparties to minimize credit risk and limit the exposure to any individual counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying counterparties used to minimize credit risk and limit the exposure to any individual counterparty. As stipulated in each interest rate swap agreement, collateral may be posted between the Fund and its counterparties to mitigate credit risk.

Swap agreements are privately negotiated in the over-the-counter market and may be entered into as a bilateral contract or centrally cleared (“centrally cleared swaps”). Bilateral swap agreements are traded between counterparties and, as such, are subject to the risk that a party to the agreement will not be able to meet its obligations. In a centrally cleared swap, immediately following execution of the swap agreement, the swap agreement is novated to a central counterparty (the “CCP”) and the Fund faces the CCP through a broker. Upon entering into a centrally cleared swap, the Fund is required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on the size and risk profile of the particular swap. Subsequent payments, known as “variation margin,” are made or received by the Fund based on the daily change in the value of the centrally cleared swap agreement. For centrally cleared swaps, the Fund’s counterparty credit risk is reduced as the CCP stands between the Fund and the counterparty.

For bilateral interest rate swap transactions that were outstanding as of March 31, 2020, no collateral had been posted by either the Multi-Manager Emerging Markets Debt Opportunity Fund or any counterparty. For centrally cleared interest rate swap transactions that were outstanding as of March 31, 2020, the fair value of cash and foreign currencies pledged to cover margin requirements for open positions for the Multi-Manager Emerging Markets Debt Opportunity Fund was approximately $96,000 and is included in Due from broker on the Statements of Assets and Liabilities. During the fiscal year ended March 31, 2020, the Multi-Manager Emerging Markets Debt Opportunity Fund entered into bilateral and centrally cleared interest rate swap agreements to gain country exposure. Further information on the impact of these positions on the Fund’s financial statements can be found in Note 10.

G) CURRENCY SWAP AGREEMENTS The Multi-Manager Emerging Markets Debt Opportunity Fund may enter into currency swap agreements to manage its exposure to currency risk. Currency swaps usually involve the delivery of the entire principal amount of one designated currency in exchange for the other designated currency. Therefore, the entire principal value of a currency swap is subject to the risk that the other party to the swap will default on its contractual delivery obligations. To the extent that the amount payable by a Fund under a swap is covered by segregated cash or liquid assets, the Funds, NTI and the Funds’ sub-advisers (each, a “Sub-Adviser” and collectively, the “Sub-Advisers”) believe that transactions do not constitute senior securities under the 1940 Act and, accordingly, will not treat them as being subject to a Fund’s borrowing restrictions.

A Fund will not enter into a currency swap unless the unsecured commercial paper, senior debt or the claims-paying ability of the other party thereto is rated either A or A-1 or better by S&P Global’s Rating Services or Fitch Ratings, or A or Prime-1 or better by Moody’s Investor Services, Inc. or a comparable rating from another organization that is recognized as a nationally recognized statistical rating organization or, if unrated by such rating organization, is determined to be of comparable quality by NTI or the Sub-Advisers. If there is a default by the other party to such transaction, a Fund will have contractual remedies pursuant to the agreements related to the transaction. The use of currency swaps is a highly specialized activity that involves investment techniques and risks different from those associated with ordinary portfolio securities transactions. If NTI or the Sub-Advisers are incorrect in their forecasts of currency exchange rates the investment performance of a Fund would be less favorable than it would have been if this investment technique were not used.

Interest payments earned or charged under the terms of the currency swap agreements are recorded as realized gain (loss) on currency swap agreements. The swap interest receivable or payable as of March 31, 2020, if any, is included as unrealized gains and losses on currency swap agreements on the Statements of Assets and Liabilities of the Multi-Manager Emerging Markets Debt Opportunity Fund. Unrealized appreciation (depreciation) on

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currency swap agreements, if any, are included in the Statements of Assets and Liabilities of the Multi-Manager Emerging Markets Debt Opportunity Fund, with corresponding changes in unrealized appreciation (depreciation) included in the Statements of Operations. No currency swap agreements were held during the fiscal year ended March 31, 2020.

H) WHEN-ISSUED/DELAYED DELIVERY SECURITIES Certain Funds purchase securities with delivery or payment to occur at a later date beyond the normal settlement period. At the time the Fund enters into the commitment to purchase a security, the transaction is recorded and the value of the commitment is reflected in the NAV. The value of the commitment may vary with market fluctuations. No interest accrues to the Fund until settlement takes place. At the time the Fund enters into this type of transaction, it is required to segregate collateral of cash or other liquid assets having a fair value at least equal to the amount of the commitment. The Funds identify securities as segregated with a value that meets or exceeds the value of the commitment. When-issued securities at March 31, 2020, if any, are noted in each Fund’s Schedule of Investments and in aggregate as Payable for when-issued securities, in each Fund’s Statement of Assets and Liabilities.

I) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Funds determine the gain or loss realized from investment transactions by using an identified cost basis method. Interest income is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedules of Investments represent either the stated coupon rate, annualized yield on the date of purchase for discount notes, the current reset rate for floating rate securities, the 7-day yield for money market funds or, for interest-only or principal-only securities, the current effective yield. Cost of investments includes amortization of premiums and accretion of discounts, if any. Dividend income, if any, is recognized on the ex-dividend date. Dividends from foreign securities are recorded on the ex-dividend date, or as soon as the information is available. Distributions received from a Fund’s investments in real estate investment trusts (“REITs”) are comprised of return of capital, capital gains and income. The actual character of the amounts received during the year is not known until the fiscal year-end. A Fund records the character of distributions received from the REITs during the year based on estimates available. A Fund’s characterization may be subsequently revised based on information received from the REITs after their tax reporting periods conclude.

J) EXPENSES Each Fund is charged for those expenses that are directly attributable to that Fund. Expenses incurred which do not specifically relate to an individual Fund generally are allocated among all Funds in the Trust in proportion to each Fund’s relative net assets.

K) REDEMPTION FEES The Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure, Multi-Manager Global Real Estate, Northern Engage360^TM, Multi-Manager Emerging Markets Debt Opportunity and Multi-Manager High Yield Opportunity Funds each charge a 2 percent redemption fee on the redemption of shares (including by exchange) held for 30 days or less. For the purpose of applying the fee, the Funds use a first-in, first-out (“FIFO”) method so that shares held longest are treated as being redeemed first and shares held shortest are treated as being redeemed last. The redemption fee is paid to the Fund from which the redemption is made and is intended to offset the trading, market impact and other costs associated with short-term money movements in and out of the Funds. The redemption fee may be collected by deduction from the redemption proceeds, or, if assessed after the redemption transaction, through a separate billing. The Funds are authorized to waive the redemption fee for certain types of redemptions as described in the Funds’ prospectus.

Redemption fees were approximately $2,000 for the fiscal year ended March 31, 2020, for the Multi-Manager Emerging Markets Debt Opportunity Fund. Redemption fees were less than $1,000 for the fiscal year ended March 31, 2020, for the Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure and Multi-Manager High Yield Opportunity Funds. There were no redemption fees for the fiscal year ended March 31, 2020, for the Multi-Manager Global Real Estate and Northern Engage360^TM Funds. Redemption fees were approximately $20,000 and $4,000 for the fiscal year ended March 31, 2019, for the Multi-Manager Global Listed Infrastructure and Multi-Manager High Yield Opportunity Funds, respectively. Redemption fees were less than $1,000 for the fiscal year ended March 31, 2019, for the Active M International Equity Fund. There were no redemption fees for the fiscal year ended March 31, 2019, for the Active M Emerging Markets Equity, Multi-Manager Global Real Estate, Northern Engage360^TM and Multi-Manager Emerging Markets Debt Opportunity Funds. These amounts are included in Payments for Shares Redeemed in Note 8 – Capital Share Transactions. The impact from redemption fees paid to each Fund was less than $0.001 per share for both fiscal years.

L) UNFUNDED LOAN COMMITMENTS The Multi-Manager High Yield Opportunity Fund may enter into unfunded loan commitments, which are contractual obligations for future funding at the option of the borrower. Unfunded loan commitments, if any, represent a future obligation, in full, and are recorded as a liability on the Statements of Assets and Liabilities at fair value.

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NOTES TO THE FINANCIAL STATEMENTS continued

M) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid as follows:

	DECLARATION AND PAYMENT FREQUENCY
Active M Emerging Markets Equity	Annually
Active M International Equity	Annually
Multi-Manager Global Listed Infrastructure	Quarterly
Multi-Manager Global Real Estate	Quarterly
Northern Engage360TM	Annually
Multi-Manager Emerging Markets Debt Opportunity	Quarterly
Multi-Manager High Yield Opportunity	Monthly

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Funds may periodically make reclassifications among certain of their capital accounts to reflect differences between financial reporting and federal income tax basis distributions. These reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These reclassifications may relate to paydowns, net operating losses, Section 988 currency gains and losses, Passive Foreign Investment Companies (“PFICs”) gains and losses, recharacterization of dividends received from investments in REITs, recharacterization of distributions received from investments in master limited partnerships (“MLPs”), expired capital loss carryforwards, and gains or losses on in-kind transactions. These reclassifications have no impact on the total net assets or the NAVs per share of the Funds.

At March 31, 2020, the following reclassifications were recorded:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)			ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)			CAPITAL STOCK
Active M Emerging Markets Equity		$   (120	)		$    120			$  –
Active M International Equity		249			(249	)		–
Multi-Manager Global Listed Infrastructure		(362	)		362			–
Multi-Manager Global Real Estate		822			(822	)		–
Northern Engage360TM		(32	)		34			(2	)
Multi-Manager Emerging Markets Debt Opportunity		(5,233	)		5,233			–
Multi-Manager High Yield Opportunity		286			(286	)		–

N) FEDERAL INCOME TAXES No provision for federal income taxes has been made since each Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

For the period from November 1, 2019 through March 31, 2020, the following Funds incurred net capital losses and/or late year ordinary losses for which each Fund intends to treat as having been incurred in the following fiscal year:

Amounts in thousands
Active M International Equity	$16,784
Multi-Manager Emerging Markets Debt Opportunity	768

The Regulated Investment Company Modernization Act of 2010 (the “Act”) eliminated the eight-year limit on the use of capital loss carryforwards that arise in taxable years beginning after its enactment date of December 22, 2010. The changes became effective for the Funds for the fiscal year ended March 31, 2012, except for the Multi-Manager Global Listed Infrastructure Fund, for which they became effective for the period ended March 31, 2013 and the Multi-Manager Emerging Markets Debt Opportunity Fund, for which they became effective for the period ended March 31, 2014. Consequently, capital losses incurred by the Funds in taxable years beginning with the taxable year ended March 31, 2012 or taxable year or period ended November 30, 2012, as applicable, can be carried forward for an unlimited period. However, capital losses incurred by the Funds in taxable years beginning before the taxable year ended March 31, 2012 or taxable year or period ended November 30, 2012, as applicable, with an expiration date may not be used to offset capital gains until all net capital losses incurred in taxable years beginning with the taxable year ended March 31, 2012 or taxable year or period ended November 30, 2012, as applicable, without an expiration date have been utilized. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital loss carryforwards will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The Funds’ ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

During the fiscal year ended March 31, 2020, the Multi-Manager Emerging Markets Debt Opportunity Fund utilized approximately $393,000 in capital loss carryforwards.

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During the taxable year ended November 30, 2019, the Multi-Manager Global Real Estate Fund utilized approximately $3,000 in capital loss carryforwards.

Capital losses incurred that will be carried forward indefinitely under the provisions of the Act are as follows:

Amounts in thousands	SHORT-TERM CAPITAL LOSS CARRYFORWARD		LONG-TERM CAPITAL LOSS CARRYFOWARD
Northern Engage360TM		$6,813		$990
Multi-Manager Emerging Markets Debt Opportunity		–		7,876
Multi-Manager High Yield Opportunity		–		35,654

At November 30, 2019, the Multi-Manager Global Listed Infrastructure’s last tax year end, the non-expiring short-term and long-term capital losses were approximately $7,035,000 and $20,467,000, respectively. The Fund may offset future capital gains with these capital loss carryforwards.

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Active M Emerging Markets Equity		$447		$6,753	$	(7,508	)
Active M International Equity		5,234		–		(83,124	)
Northern Engage360TM		315		–		(34,084	)
Multi-Manager Emerging Markets Debt Opportunity		–		–		(32,747	)
Multi-Manager High Yield Opportunity		1,028		–		(47,710	)

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax components of undistributed net ordinary income, net long-term capital gains and unrealized gains (losses) at November 30, 2019, the Multi-Manager Global Listed Infrastructure Fund’s and Multi-Manager Global Real Estate Fund’s last tax year end, were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Multi-Manager Global Listed Infrastructure		$7,077		$–		$102,669
Multi-Manager Global Real Estate		1,964		–		7,357

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		RETURN OF CAPITAL
Active M Emerging Markets Equity		$24,500		$20,900		$–
Active M International Equity		20,146		30,000		–
Northern Engage360TM		4,322		–		–
Multi-Manager Emerging Markets Debt Opportunity		4,297		–		–
Multi-Manager High Yield Opportunity		20,934		–		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		RETURN OF CAPITAL
Active M Emerging Markets Equity		$8,500		$–		$–
Active M International Equity		30,000		35,000		–
Northern Engage360TM		2,060		–		–
Multi-Manager Emerging Markets Debt Opportunity		5,641		–		–
Multi-Manager High Yield Opportunity		21,073		–		–

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

The tax character of distributions paid during the Multi-Manager Global Listed Infrastructure Fund’s tax years ended November 30, 2019 and November 30, 2018 and Multi-Manager Global Real Estate Fund’s tax years ended November 30, 2019 and November 30, 2018 was designated for the purpose of the dividends paid deductions as follows:

	NOVEMBER 30, 2019 AND NOVEMBER 30, 2018 DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Multi-Manager Global Listed Infrastructure (2019)		$28,660		$65,734
Multi-Manager Global Listed Infrastructure (2018)		53,467		42,071
Multi-Manager Global Real Estate (2019)		4,038		69
Multi-Manager Global Real Estate (2018)		7,758		1,242

* Ordinary income includes taxable market discount income and short-term capital gains, if any.

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NOTES TO THE FINANCIAL STATEMENTS continued

The Multi-Manager Global Listed Infrastructure Fund and the Multi-Manager Global Real Estate Fund have a tax year end of November 30th. Therefore, the tax character of distributions paid for the period December 1, 2019 through March 31, 2020 will be determined at the end of its tax year.

As of March 31, 2020, no Fund had uncertain tax positions that would require financial statement recognition or disclosure. The Funds’ federal tax returns remain subject to examination by the Internal Revenue Service for three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Funds will be recorded as interest expense and other expenses, respectively, on the Statements of Operations.

O) OTHER RISKS Certain Funds may invest in emerging market securities. Additional risks are involved when a Fund invests its assets in countries with emerging economies or securities markets. These countries generally are located in the Asia and Pacific regions, the Middle East, Eastern Europe, Central America, South America and Africa. Political and economic structures in many of these countries may lack the social, political and economic stability characteristics of more developed countries. In general, the securities markets of these countries are less liquid, subject to greater price volatility and have smaller market capitalizations. As a result, the risks presented by investments in these countries are heightened.

The Multi-Manager Global Listed Infrastructure Fund invests in MLPs. The benefits derived from the Fund’s investment in MLPs is largely dependent on the MLPs being treated as partnerships for federal income tax purposes. If any of the MLPs held by the Fund were treated as corporations for U.S. federal income tax purposes, the after-tax return to the Fund with respect to its investments in such MLPs would be materially reduced, causing a decline in the value of the common stock. The Fund must include its allocable share of an MLP’s taxable income in its reportable taxable income, whether or not it receives a distribution in cash from the MLP. In such case, the Fund may have to liquidate securities to make required distributions to shareholders.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, who are beneficial owners of shares of the Funds. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Funds beneficially owned by their customers. There were no shareholder servicing fees paid by the Funds to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statements of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

As of March 31, 2020, the Active M International Equity Fund had an outstanding loan of $400,000. This amount is included in “Accrued other liabilities” on the Fund’s Statements of Assets and Liabilities. The effective interest rate for the outstanding loan was 1.99 percent.

During the fiscal year ended March 31, 2020, the following Funds had borrowings with the average loan amounts and weighted average interest rates as disclosed below:

Amounts in thousands	DOLLAR AMOUNT		RATE
Active M Emerging Markets Equity		$5,200		3.16	%
Active M International Equity		400		1.99
Multi-Manager High Yield Opportunity		1,350		2.24

No other Fund had any borrowings or incurred any interest expenses during the fiscal year ended March 31, 2020.

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5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at annual rates set forth in the table below (expressed as a percentage of each Fund’s respective average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) of each Fund except for the Northern Engage360^TM Fund, for which NTI has contractually agreed to reimburse a portion of operating expenses (other than acquired fund fees and extraordinary expenses) of the Fund, as shown on the accompanying Statements of Operations, to the extent the total annual fund operating expenses of the Funds exceed the expense limitations set forth below. The total annual fund operating expenses after expense reimbursement for each Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statements of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Funds were based on the following annual rates as set forth in the table below.

	CONTRACTUAL ANNUAL MANAGEMENT FEES
	FIRST $1 BILLION			NEXT $1 BILLION			OVER $2 BILLION			CONTRACTUAL EXPENSE LIMITATIONS
Active M Emerging Markets Equity		1.08	%		1.048	%		1.017	%		1.10	%
Active M International Equity		0.82	%		0.795	%		0.771	%		0.84	%
Multi-Manager Global Listed Infrastructure		0.90	%		0.873	%		0.847	%		1.00	%
Multi-Manager Global Real Estate		0.89	%		0.863	%		0.837	%		0.91	%
Northern Engage360TM		0.68	%		0.660	%		0.640	%		0.70	%
Multi-Manager Emerging Markets Debt Opportunity		0.85	%		0.825	%		0.80	%		0.93	%
Multi-Manager High Yield Opportunity		0.83	%		0.805	%		0.781	%		0.85	%

The contractual reimbursement arrangements described above are expected to continue until at least July 31, 2020. The contractual reimbursement arrangements will continue automatically thereafter for periods of one year (each such one-year period, a “Renewal Year”). The arrangements may be terminated, as to any succeeding Renewal Year, by NTI or a Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangements at any time with respect to a Fund if it determines that it is in the best interest of the Fund and its shareholders.

Pursuant to the Management Agreement with the Trust, NTI is responsible for performing and overseeing investment management services to the Funds. In addition to selecting the overall investment strategies of the Funds, NTI oversees and monitors the selection and performance of Sub-Advisers and allocates resources among the Sub-Advisers. The Sub-Advisers manage each Fund’s investment portfolio pursuant to Sub-Advisory Agreements with NTI.

As of March 31, 2020, Axiom International Investors LLC, Ashmore Investment Management Limited and Westwood Global Investments, LLC are the Sub-Advisers for the Active M Emerging Markets Equity Fund.

As of March 31, 2020, Causeway Capital Management LLC, Victory Capital Management Inc., WCM Investment Management, LLC and Wellington Management Company LLP are the Sub-Advisers for the Active M International Equity Fund.

As of March 31, 2020, First Sentier Investors (Australia) IM Ltd., Lazard Asset Management LLC and Maple-Brown Abbott Limited are the Sub-Advisers for the Multi-Manager Global Listed Infrastructure Fund.

As of March 31, 2020, Brookfield Public Services Group LLC and Massachusetts Financial Services Company are the Sub-Advisers for the Multi-Manager Global Real Estate Fund.

As of March 31, 2020, Ariel Investments, LLC, Aristotle Capital Management, LLC, ARK Investment Management, LLC, Earnest Partners, LLC, Mar Vista Investment Partners, LLC, Segall Bryant & Hamill, LLC and Strategic Global Advisors, LLC are the Sub-Advisers for Northern Engage360^TM Fund.

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NOTES TO THE FINANCIAL STATEMENTS continued

As of March 31, 2020, Ashmore Investment Management Limited and Global Evolution USA, LLC are the Sub-Advisers for the Multi-Manager Emerging Markets Debt Opportunity Fund.

As of March 31, 2020, DDJ Capital Management, LLC, Neuberger Berman Investment Advisers LLC and Nomura Corporate Research and Asset Management Inc. are the Sub-Advisers for Multi-Manager High Yield Opportunity Fund.

NTI is responsible for payment of sub-advisory fees to these sub-advisers.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, accrued daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of each Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of each Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Funds. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees. Northern Trust also performs certain administrative services for certain Sub-Advisers pursuant to separate agreements with such Sub-Advisers. For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Funds have entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Funds’ custodian expenses, unless such uninvested cash balances receive a separate type of return.

Northern Funds Distributors, LLC, the distributor for the Funds, received no compensation from the Funds under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Funds. The Trust provided a deferred compensation plan for the Funds’ Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S Government Portfolio of Northern Institutional Funds and/or the Global Tactical Asset Allocation Fund of the Trust and/or at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

Each Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, each Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI and/or its affiliates. At March 31, 2020, the uninvested cash of the Funds is invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse each Fund for a portion of the management fees attributable to and payable by the Funds for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statements of Operations. This reimbursement’s impact on each Fund’s net expense and net investment income ratios is included in each Fund’s Financial Highlights.

The Funds are permitted to purchase and sell securities from or to certain affiliated funds or portfolios under specified conditions outlined in Rule 17a-7 Procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by a Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each transaction is effected at the current market price as defined in the Rule 17a-7 Procedures. For the fiscal year ended March 31, 2020, the following Funds engaged in purchases and/or sales of securities from an affiliated entity:

Amount in thousands	PURCHASES		SALES*
Multi-Manager Global Real Estate		$–		$(7)

* During the fiscal year ended March 31, 2020, the realized gain (loss) associated with these transactions was approximately $(1,000).

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MARCH 31, 2020

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Funds were as follows:

	PURCHASES				SALES
Amounts in thousands	U.S. GOVERNMENT		OTHER		U.S. GOVERNMENT		OTHER
Active M Emerging Markets Equity		$–		$488,132		$–		$855,208
Active M International Equity		–		315,585		–		506,703
Multi-Manager Global Listed Infrastructure		–		855,725		–		801,795
Multi-Manager Global Real Estate		–		74,594		–		63,274
Northern Engage360TM		–		135,765		–		86,309
Multi-Manager Emerging Markets Debt Opportunity		–		110,545		–		117,880
Multi-Manager High Yield Opportunity		–		189,468		–		285,834

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains on certain foreign currency contracts, the deferral of post-October currency and capital losses for tax purposes, and the timing of income recognition on investments in REITs and PFICs.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation (depreciation) on investments (including the effects of foreign currency translation and derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION		UNREALIZED DEPRECIATION			NET APPRECIATION (DEPRECIATION)			COST BASIS OF INVESTMENTS
Active M Emerging Markets Equity		$37,570		$(45,026	)		$(7,456	)		$343,275
Active M International Equity		69,109		(152,179	)		(83,070	)		624,906
Multi-Manager Global Listed Infrastructure		36,955		(151,936	)		(114,981	)		1,001,118
Multi-Manager Global Real Estate		3,261		(19,674	)		(16,413	)		109,501
Northern Engage360TM		13,763		(47,851	)		(34,088	)		277,265
Multi-Manager Emerging Markets Debt Opportunity		1,666		(34,248	)		(32,582	)		162,940
Multi-Manager High Yield Opportunity		1,393		(49,104	)		(47,711	)		258,637

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Active M Emerging Markets Equity		2,498		$45,618		1,042		$20,404		(22,251	)		$(411,326)			(18,711	)		$(345,304)
Active M International Equity		2,278		23,012		2,096		22,952		(23,554	)		(229,013	)		(19,180	)		(183,049	)
Multi-Manager Global Listed Infrastructure		21,219		260,169		706		8,607		(19,959	)		(237,382	)		1,966			31,394
Multi-Manager Global Real Estate		3,817		37,902		219		2,487		(1,556	)		(16,807	)		2,480			23,582
Northern Engage360TM		4,871		50,140		392		4,307		(187	)		(1,894	)		5,076			52,553
Multi-Manager Emerging Markets Debt
Opportunity		3,922		36,789		489		3,942		(6,254	)		(57,850	)		(1,843	)		(17,119	)
Multi-Manager High Yield Opportunity		8,944		79,883		464		4,288		(20,816	)		(192,228	)		(11,408	)		(108,057	)

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NOTES TO THE FINANCIAL STATEMENTS continued

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Active M Emerging Markets Equity		13,102		$257,177		66		$1,189		(27,561	)		$(536,922)			(14,393	)		$(278,556)
Active M International Equity		13,049		132,397		2,959		27,815		(46,750	)		(507,236	)		(30,742	)		(347,024	)
Multi-Manager Global Listed Infrastructure		14,024		172,830		6,217		69,405		(30,703	)		(369,556	)		(10,462	)		(127,321	)
Multi-Manager Global Real Estate		3,432		35,392		217		2,232		(2,169	)		(22,790	)		1,480			14,834
Northern Engage360TM		13,124		133,577		233		2,060		(100	)		(1,000	)		13,257			134,637
Multi-Manager Emerging Markets Debt
Opportunity		5,692		50,883		523		4,562		(6,539	)		(57,682	)		(324	)		(2,237	)
Multi-Manager High Yield Opportunity		40,192		379,692		293		2,800		(29,257	)		(276,871	)		11,228			105,621

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	AFFILIATE	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
Active M Emerging Markets Equity	Northern Institutional Funds - U.S. Government Portfolio (Shares)		$21,164		$500,587		$511,095		$–		$–		$254		$10,656		10,655,574
Multi-Manager Global Listed Infrastructure	Northern Institutional Funds - U.S. Government Portfolio (Shares)		49,913		548,664		568,243		–		–		1,019		30,334		30,333,577
Multi-Manager Global Real Estate	Northern Institutional Funds - U.S. Government Portfolio (Shares)		2,188		57,758		51,941		–		–		68		8,005		8,004,922
Northern Engage360TM	Northern Institutional Funds - U.S. Government Portfolio (Shares)		9,177		82,751		82,050		–		–		225		9,878		9,878,233
Multi-Manager Emerging Markets Debt Opportunity	Northern Institutional Funds - U.S. Government Portfolio (Shares)		10,182		125,787		130,888		–		–		134		5,081		5,080,769
Multi-Manager High Yield Opportunity	Northern Institutional Funds - U.S. Government Portfolio (Shares)		24,050		313,223		325,682		–		–		253		11,591		11,590,772

10. DERIVATIVE INSTRUMENTS

Information concerning the types of derivatives in which the Funds invest, the objectives for using them and their related risks can be found in Note 2.

MULTI-MANAGER FUNDS 104 NORTHERN FUNDS ANNUAL REPORT

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MARCH 31, 2020

Below are the types of derivatives by primary risk exposure as presented in the Statements of Assets and Liabilities as of March 31, 2020:

		ASSETS				LIABILITIES
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF ASSETS LOCATION	VALUE			STATEMENTS OF LIABILITIES LOCATION	VALUE
Active M Emerging Markets Equity	Equity contracts	Net Assets - Net unrealized appreciation		$191	*	Net Assets - Net unrealized depreciation		$–
Active M International Equity	Equity contracts	Net Assets-Net unrealized appreciation		216	*	Net Assets-Net unrealized depreciation		–
Multi-Manager Global Listed Infrastructure	Equity contracts	Net Assets-Net unrealized appreciation		40	*	Net Assets-Net unrealized depreciation		–
Northern Engage360TM	Equity contracts	Net Assets-Net unrealized appreciation		237	*	Net Assets-Net unrealized depreciation		–
	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		12		Unrealized depreciation on forward foreign currency exchange contracts		(486	)
Multi-Manager Emerging Markets Debt Opportunity	Foreign exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		507		Unrealized depreciation on forward foreign currency exchange contracts		(999	)
	Interest rate contracts	Net Assets-Net unrealized appreciation		50	**	Net Assets-Net unrealized depreciation		(17	)**
	Interest rate contracts	Unrealized appreciation on bilateral interest rate swap agreements		19		Unrealized depreciation on bilateral interest rate swap agreements		–

* Includes cumulative appreciation/depreciation on futures contracts as reported in the Schedules of Investments’ footnotes. Only the current day’s variation margin is reported within the Statements of Assets and Liabilities.

** Includes cumulative appreciation/depreciation on centrally cleared swap agreements as reported in the Schedule of Investments’ footnotes. Only the current day’s variation margin, if any, is reported within the Statements of Assets and Liabilities.

The Funds may enter into transactions subject to enforceable netting agreements or other similar arrangements (“netting agreements”). Generally, netting agreements allow the Funds to offset any exposure to a specific counterparty with any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, the Funds manage their cash collateral and securities collateral on a counterparty basis. In the event of default where the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the defaulting party, realization of collateral by the Funds may be delayed or limited. In addition, the netting agreements provide the right for the non-defaulting party to liquidate the collateral and calculate the net exposure to the defaulting party or request additional collateral.

As of March 31, 2020, gross amounts of assets and liabilities for forward foreign exchange contracts and swap agreements not offset in the Statements of Assets and Liabilities, related collateral and net amounts after taking into account netting agreements, by counterparty, are as follows:

				GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND  LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENTS OF ASSETS AND  LIABILITIES		FINANCIAL INSTRUMENTS			CASH COLLATERAL RECEIVED		NET AMOUNT
Northern Engage360TM	JPMorgan Chase		$12		$(12)			$–		$–
Multi-Manager Emerging Markets Debt Opportunity	Barclays		$44		$(44)			$–		$–
	BNP		226		(88	)		–		138
	Citibank		37		(15	)		–		22
	Goldman Sachs		1		–			–		1
	JPMorgan Chase		36		(36	)		–		–
	Merrill Lynch		121		(121	)		–		–
	Morgan Stanley		44		(5	)		–		39

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MULTI-MANAGER FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued

				GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENTS OF ASSETS AND  LIABILITIES		FINANCIAL INSTRUMENTS		CASH COLLATERAL RECEIVED		NET AMOUNT
	Santander		$10		$(10)		$–		$–
	Standard Chartered Bank		7		(7)		–		–
	Total		$526		$(326)		$–		$200

				GROSS AMOUNTS NOT OFFSET IN THE STATEMENTS OF ASSETS AND LIABILITIES
Amounts in thousands	COUNTERPARTY	GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENTS OF ASSETS AND LIABILITIES		FINANCIAL INSTRUMENTS		CASH COLLATERAL PLEDGED		NET AMOUNT
Northern Engage360TM	JPMorgan Chase		$(486)		$12		$–		$(474)
Multi-Manager Emerging Markets Debt Opportunity	Barclays		$(65)		$44		$–		$(21)
	BNP		(88)		88		–		–
	Citibank		(15)		15		–		–
	JPMorgan Chase		(245)		36		209		–
	Merrill Lynch		(529)		121		408		–
	Morgan Stanley		(5)		5		–		–
	Santander		(13)		10		–		(3)
	Standard Chartered Bank		(39)		7		–		(32)
	Total		$(999)		$326		$617		$(56)

The following tables set forth by primary risk exposure the Funds’ realized gains (losses) and change in unrealized appreciation (depreciation) by type of derivative contract for the fiscal year ended March 31, 2020:

		AMOUNT OF REALIZED GAIN (LOSS) ON DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Active M Emerging Markets Equity	Equity contracts	Net realized gains (losses) on futures contracts	$	(2,095	)
Active M International Equity	Equity contracts	Net realized gains (losses) on futures contracts		(2,666	)
Multi-Manager Global Listed Infrastructure	Equity contracts	Net realized gains (losses) on futures contracts		(1,618	)
Northern Engage360TM	Equity contracts	Net realized gains (losses) on futures contracts		(766	)
	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		8
Multi-Manager Emerging Markets Debt Opportunity	Foreign exchange contracts	Net realized gains (losses) on forward foreign currency exchange contracts		(1,031	)
	Interest rate contracts	Net realized gains (losses) on interest rate swap agreements		(38	)

		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON      DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
Active M Emerging Markets Equity	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		$30
Active M International Equity	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		37
Multi-Manager Global Listed Infrastructure	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		(186	)
Northern Engage360TM	Equity contracts	Net change in unrealized appreciation (depreciation) on futures contracts		159

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MULTI-MANAGER FUNDS

MARCH 31, 2020

		CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON     DERIVATIVE CONTRACTS
Amounts in thousands	CONTRACT TYPE	STATEMENTS OF OPERATIONS LOCATION	VALUE
	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		$	(528)
Multi-Manager Emerging Markets Debt Opportunity	Foreign exchange contracts	Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts		(276	)
	Interest rate contracts	Net change in unrealized appreciation (depreciation) on interest rate swap agreements		53

Volume of derivative activity for the fiscal year ended March 31, 2020*:

FOREIGN EXCHANGE CONTRACTS

EQUITY CONTRACTS

INTEREST RATE CONTRACTS

NUMBER OF TRADES

AVERAGE NOTIONAL AMOUNT**

NUMBER OF TRADES

AVERAGE NOTIONAL AMOUNT**

NUMBER OF TRADES

AVERAGE NOTIONAL AMOUNT**

Active M Emerging Markets Equity

–

$–

84

$3,130

–

$–

Active M International Equity

–

–

56

4,176

–

–

Multi-Manager Global Listed Infrastructure

–

–

201

1,214

–

–

Northern Engage360TM

110

2,015

94

279

–

–

Multi-Manager Emerging Markets Debt Opportunity

1,116

145,996

–

–

8

1,005

* Activity for the fiscal year is measured by number of trades during the fiscal year and average notional amount for forward foreign currency exchange, futures equity, swap interest rate contracts.

** Amounts in thousands.

11. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of their business, the Funds may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Funds. The maximum exposure to the Funds under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

12. NEW ACCOUNTING PRONOUNCEMENTS

On March 30, 2017, the FASB issued Accounting Standards Update (ASU) 2017-08 “Premium Amortization on Purchased Callable Debt Securities” (the “ASU”), which amends the amortization period for certain purchased callable debt securities held at premium shortening such period to the earliest call date. The new guidance requires an entity to amortize the premium on a callable debt security within its scope to the earliest call date, unless the guidance for considering estimated prepayments as described above is applied. If the call option is not exercised at the earliest call date, the yield is reset to the effective yield using the payment terms of the security. If the security has more than one call date and the premium was amortized to a call price greater than the next call price, any excess of the amortized cost basis over the amount repayable at the next call date will be amortized to that date. If there are no other call dates, any excess of the amortized cost basis over the par amount will be amortized to maturity. Discounts on purchased callable debt securities will continue to be amortized to the security’s maturity date. The ASU is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Earlier application is permitted for all entities, including adoption in an interim period. If an entity early adopts the ASU in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The Funds have adopted the ASU. The adoption of the ASU did not have a material impact on the financial statements.

13. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after

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MULTI-MANAGER FUNDS

NOTES TO THE FINANCIAL STATEMENTS continued MARCH 31, 2020

2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

14. CORONAVIRUS (COVID–19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Funds and their service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Funds’ service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund invests, negatively impact a Fund’s performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Funds.

15. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Funds through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure, other than the item noted below.

Segall Bryant & Hamill, LLC has been terminated as Sub-Adviser to the Northern Engage360™ Fund, effective May 15, 2020. NTI will reallocate assets managed by the terminated sub-adviser among the remaining sub-advisers of the Fund on or about May 28, 2020. During this transition period, NTI will manage the portions of the Fund previously managed by the terminated sub-adviser.

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MULTI-MANAGER FUNDS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of seven separate portfolios of Northern Funds, comprising the Active M Emerging Markets Equity Fund, Active M International Equity Fund, Multi-Manager Global Listed Infrastructure Fund, Multi-Manager Global Real Estate Fund, Northern Engage360^TM Fund, Multi-Manager Emerging Markets Debt Opportunity Fund, and Multi-Manager High Yield Opportunity Fund (collectively, the “Funds”), including the schedules of investments, as of March 31, 2020, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended for Active M Emerging Markets Equity Fund, Active M International Equity Fund, Multi-Manager Global Listed Infrastructure Fund, Multi-Manager Global Real Estate Fund, Multi-Manager Emerging Markets Debt Opportunity Fund and Multi-Manager High Yield Opportunity Fund; the related statement of operations for the year ended March 31, 2020, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the two years in the period then ended and the period from November 20, 2017 (commencement of operations) through March 31, 2018 for Northern Engage360^TM Fund; and the related notes.

In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of Active M Emerging Markets Equity Fund, Active M International Equity Fund, Multi-Manager Global Listed Infrastructure Fund, Multi-Manager Global Real Estate Fund, Multi-Manager Emerging Markets Debt Opportunity Fund, and Multi-Manager High Yield Opportunity Fund as of March 31, 2020, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America. Also, in our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of Northern Engage360^TM Fund as of March 31, 2020, and the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the two years in the period then ended and for the period from November 20, 2017 (commencement of operations) through March 31, 2018, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian, agent banks, and brokers; when replies were not received from agent banks or brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

NORTHERN FUNDS ANNUAL REPORT 109 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

CAPITAL GAIN DISTRIBUTION — The following Funds made capital gain distributions in December 2019, and hereby designated these long-term capital gain distributions as follows (per share):

	LONG-TERM CAPITAL GAIN
Active M Emerging Markets Equity	$	0.753974
Active M International Equity		0.384144

CORPORATE DIVIDENDS-RECEIVED DEDUCTION (DRD) — A percentage of the dividends distributed during the fiscal year ended March 31, 2020 for the following Funds qualifies for the dividends-received deduction for corporate shareholders:

	CORPORATE DRD PERCENTAGE
Active M Emerging Markets Equity		0.81	%
Active M International Equity		0.42	%
Northern Engage360TM		43.79	%

A percentage of the dividends distributed during the calendar year ended December 31, 2019 for the following Funds qualifies for the dividends-received deduction for corporate shareholders:

	CORPORATE DRD PERCENTAGE
Multi-Manager Global Listed Infrastructure		17.20	%
Multi-Manager Global Real Estate		0.04	%

FOREIGN TAX CREDIT — The Funds below intend to make an election that will allow shareholders to treat their proportionate share of foreign taxes paid by the Funds as having been paid by them. The amounts per share which represent income from sources within, and taxes paid to, foreign countries are as follows:

	TAXES		INCOME
Active M Emerging Markets Equity	$	0.0779	$	0.5811
Active M International Equity		0.0304		0.2592
Multi-Manager Global Listed Infrastructure		0.0321		0.7792

LONG-TERM CAPITAL GAIN — The following Fund designated the below amount as long-term capital gains, pursuant to Section 852 of the Internal Revenue Code, for the fiscal year ended March 31, 2020:

Amounts in thousands	LONG-TERM CAPITAL GAIN
Active M Emerging Markets Equity	$	6,753

QUALIFIED DIVIDEND INCOME (QDI) — Under the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the “Act”), the following percentages of ordinary dividends paid during the fiscal year ended March 31, 2020, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Active M Emerging Markets Equity		49.23	%
Active M International Equity		100.00	%
Northern Engage360TM		100.00	%

Under the Act, the following percentages of ordinary dividends paid during the calendar year ended December 31, 2019, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Multi-Manager Global Listed Infrastructure		100.00	%
Multi-Manager Global Real Estate		12.96	%

MULTI-MANAGER FUNDS 110 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

Each Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review each Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Funds, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to each Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review each Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of each Fund’s portfolio investments and the Committee’s assessment that each Fund’s strategy is appropriate for an open-end mutual fund; (iii) that each Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that none of the Funds required the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that none of the Funds had breached the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in each Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage each Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

NORTHERN FUNDS ANNUAL REPORT 111 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

FUND EXPENSES

As a shareholder of the Funds, you incur two types of costs:

(1) transaction costs, if any, including redemption fees on certain exchanges and redemptions in the Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure, Multi-Manager Global Real Estate, Northern Engage360^TM, Multi-Manager Emerging Markets Debt Opportunity and Multi-Manager High Yield Opportunity Funds; and (2) ongoing costs, including management fees and other fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the tables below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 – 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line in the tables below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5 percent per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5 percent hypothetical example with the 5 percent 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 transaction costs, such as sales charges (loads), redemption fees, or exchange fees or other costs such as advisory fees related to affiliated money market fund investments, but shareholders of other funds may incur such costs. For example, the information does not reflect redemption fees (See page 97), if any, in the Active M Emerging Markets Equity, Active M International Equity, Multi-Manager Global Listed Infrastructure, Multi-Manager Global Real Estate, Northern Engage360^TM , Multi-Manager Emerging Markets Debt Opportunity and Multi-Manager High Yield Opportunity Funds. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements of advisory fees incurred in connection with the investment of uninvested cash in affiliated money market funds (See page 102), which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

ACTIVE M EMERGING MARKETS EQUITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		1.10	%		$1,000.00		$821.20		$5.01
Hypothetical		1.10	%		$1,000.00		$1,019.50		$5.55
ACTIVE M INTERNATIONAL EQUITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.86	%		$1,000.00		$807.00		$3.89
Hypothetical		0.86	%		$1,000.00		$1,020.70		$4.34
MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.96	%		$1,000.00		$845.20		$4.43
Hypothetical		0.96	%		$1,000.00		$1,020.20		$4.85
MULTI-MANAGER GLOBAL REAL ESTATE
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.95	%		$1,000.00		$766.20		$4.19
Hypothetical		0.95	%		$1,000.00		$1,020.25		$4.80
NORTHERN ENGAGE360TM
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.70	%		$1,000.00		$853.80		$3.24
Hypothetical		0.70	%		$1,000.00		$1,021.50		$3.54

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

MULTI-MANAGER FUNDS 112 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MARCH 31, 2020 (UNAUDITED)

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.94	%		$1,000.00		$845.40		$4.34
Hypothetical		0.94	%		$1,000.00		$1,020.30		$4.75
MULTI-MANAGER HIGH YIELD OPPORTUNITY
SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.86	%		$1,000.00		$876.50		$4.03
Hypothetical		0.86	%		$1,000.00		$1,020.70		$4.34

* Expenses are calculated using the Funds’ annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Funds’ annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

NORTHERN FUNDS ANNUAL REPORT 113 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

TRUSTEES AND OFFICERS

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex — Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President — Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company — 34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company — 8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

MULTI-MANAGER FUNDS 114 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MARCH 31, 2020 (UNAUDITED)

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & •  Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow — 2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company — 29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act”).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

NORTHERN FUNDS ANNUAL REPORT 115 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

TRUSTEES AND OFFICERS continued

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

MULTI-MANAGER FUNDS 116 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

NORTHERN FUNDS ANNUAL REPORT 117 MULTI-MANAGER FUNDS

MULTI-MANAGER FUNDS

APPROVAL OF SUB-ADVISORY AGREEMENTS

APPROVAL OF NEW SUB-ADVISORY AGREEMENT (MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND)

At a quarterly meeting of the Board of Trustees (the “Board” or the “Trustees”) held on November 13-14, 2019 (the “November Meeting”), the Trustees, including a majority of the Trustees who are not “interested persons” of the Trust (as that term is defined in the Investment Company Act of 1940, as amended (the “1940 Act”)) (the “Independent Trustees”), voting separately, approved a new sub-advisory agreement (the “First Sentier Agreement”) with respect to the Multi-Manager Global Listed Infrastructure Fund (the “Global Listed Infrastructure Fund”) between Northern Trust Investments (“NTI”) and First Sentier Investors (Australia) IM Ltd. (“First Sentier”). Under the First Sentier Agreement, First Sentier began managing a portion of the Global Listed Infrastructure Fund’s assets effective January 21, 2020.

The Trustees reviewed and discussed information and written materials from NTI about First Sentier including: (i) the nature and quality of the investment advisory services to be provided by First Sentier, and the experience and qualifications of the personnel providing such services; (ii) First Sentier’s financial condition, history of operations and ownership structures; (iii) First Sentier’s brokerage and soft dollar practices; (iv) First Sentier’s investment strategies and styles of investing; (v) the performance history of First Sentier with respect to accounts or funds managed similarly to the Global Listed Infrastructure Fund and hypothetical performance information and portfolio attributes; (vi) information with respect to First Sentier’s risk management and cyber-security programs and First Sentier’s compliance policies and procedures (including its code of ethics) and the Trust’s Chief Compliance Officer’s (“CCO”) evaluations of such policies and procedures, as well as First Sentier’s regulatory history; (vii) First Sentier’s conflicts of interest in managing the Global Listed Infrastructure Fund, including First Sentier’s financial or business relationships with NTI and its affiliates, if any; and (viii) the terms of the First Sentier Agreement. The Trustees also considered NTI’s discussion of the reasons that it anticipated that First Sentier may improve the performance of the Global Listed Infrastructure Fund. The Trustees also discussed the proposed allocation of assets among First Sentier and the Global Listed Infrastructure Fund’s other sub-advisers, as well as the then current allocations of assets among the other sub-advisers.

In evaluating the First Sentier Agreement, the Trustees gave weight to various factors but did not identify any single factor as controlling their decision, and each Trustee may have attributed different weight to different factors. However, the Trustees relied upon the recommendations and performance evaluations of NTI with respect to First Sentier.

Nature, Extent and Quality of Services

The Trustees considered the information and evaluations provided by NTI with respect to First Sentier’s operations, qualifications, performance and experience in managing the type of strategy for which First Sentier was proposed to be engaged in connection with the Global Listed Infrastructure Fund. The Board also considered NTI’s evaluation of First Sentier’s ability to add alpha to the Global Listed Infrastructure Fund’s returns. The Trustees also reviewed the CCO’s evaluation of First Sentier’s compliance program, noting that he believed the program to be satisfactory and in compliance with regulatory requirements. The Trustees concluded that First Sentier was able to provide quality services to the Global Listed Infrastructure Fund.

Fees, Expenses and Performance

With respect to the sub-advisory fees, the Trustees considered that First Sentier would be paid by NTI out of its management fee and not by the Global Listed Infrastructure Fund. The Trustees also believed, based on NTI’s representations, that the First Sentier Agreement had been negotiated at arm’s-length between NTI and First Sentier. The Trustees also considered comparisons of First Sentier’s fees at various asset levels of the Global Listed Infrastructure Fund and in relation to the other sub-advisers to the Fund. The Trustees also compared First Sentier’s fees in relation to its other similar institutional accounts. Finally, the Trustees also considered NTI’s representations that the fees to be paid to First Sentier were reasonable in light of the anticipated quality of the services to be performed by it.

The Trustees also considered the projected profitability to NTI of the Global Listed Infrastructure Fund before and after the addition of First Sentier. These comparisons showed that NTI’s profitability did not increase appreciably. The Trustees did not consider First Sentier’s projected profitability as they did not consider it to be particularly relevant because NTI would be paying First Sentier out of the management fees NTI received from the Global listed Infrastructure Fund. The Trustees therefore believed that NTI had an incentive to negotiate the lowest possible sub-advisory fees.

The Trustees considered and evaluated First Sentier’s performance information with respect to its other accounts using the same investment strategy and NTI’s evaluation of that performance. The Trustees reviewed reports prepared by NTI showing the hypothetical performance of First Sentier and the Global Listed Infrastructure Fund over various time periods if First Sentier also had been managing the Fund along with the Fund’s other sub-advisers. The Trustees also considered First Sentier’s actual performance record in the strategy for which it was being engaged and against relevant performance benchmarks. It was noted that First Sentier had a different style than the Global Listed Infrastructure Fund’s other sub-advisers and that its style would underperform in certain markets. The Trustees concluded, based upon the information provided, that First Sentier’s performance record was generally satisfactory.

MULTI-MANAGER FUNDS 118 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

MARCH 31, 2020 (UNAUDITED)

Economies of Scale

The Trustees considered information prepared by NTI that showed the impact on NTI’s net management fee (after payment of sub-advisory fees) at various asset levels. They took into account the levels of aggregate sub-advisory fees at various asset levels, including breakpoints in the sub-advisory fee structures (if any). However, the Trustees generally considered economies of scale with respect to the Global Listed Infrastructure Fund primarily at the management fee level given that NTI would be paying First Sentier out of its management fee.

Other Benefits

The Trustees considered other benefits derived or to be derived by First Sentier as a result of its relationships with the Global listed Infrastructure Fund. These benefits included, but were not limited to, research and other benefits in connection with brokerage commissions paid by the Fund. The Trustees also considered the other relationships that First Sentier had with NTI or its affiliates, if any, including other sub-advisory relationships to portfolios managed by NTI.

Based on the Trustees’ deliberations and the recommendations by NTI, the Trustees concluded that the proposed fee to be paid to First Sentier was reasonable in light of the services to be provided by it and that the First Sentier Agreement should be approved.

APPROVAL OF NEW SUB-ADVISORY AGREEMENT (ACTIVE M EMERGING MARKETS EQUITY FUND)

At a meeting of the Board held on February 12-13, 2020 (the “February Meeting”), the Trustees, including a majority of the Independent Trustees, voting separately, approved the termination of PanAgora Asset Management, LLC (“PanAgora”) as a sub-adviser to the Active M Emerging Markets Equity Fund (the “Emerging Markets Equity Fund”), which was effective March 11, 2020 and approved a new sub-advisory agreement (the “Ashmore Agreement”) with respect to the Emerging Markets Equity Fund between NTI and Ashmore Investment Management Limited (“Ashmore”). Under the Ashmore Agreement, Ashmore began managing a portion of the Emerging Markets Equity Fund’s assets effective March 24, 2020.

The Trustees reviewed and discussed information and written materials from NTI regarding the Ashmore Agreement including: (i) the nature and quality of the investment advisory services to be provided by Ashmore, and the experience and qualifications of the personnel providing such services; (ii) Ashmore’s financial condition, history of operations and ownership structures; (iii) Ashmore’s brokerage and soft dollar practices; (iv) Ashmore’s investment strategies and styles of investing; (v) the performance history of Ashmore with respect to accounts or funds managed similarly to the Emerging Markets Equity Fund and hypothetical performance information and portfolio attributes; (vi) information with respect to Ashmore’s risk management and cyber-security programs and Ashmore’s compliance policies and procedures (including its code of ethics) and the Trust’s CCO’s evaluations of such policies and procedures, as well as Ashmore’s regulatory history; (vii) Ashmore’s conflicts of interest in managing the Emerging Markets Equity Fund, including Ashmore’s financial or business relationships with NTI and its affiliates, if any; and (viii) the terms of the Ashmore Agreement. The Trustees also considered NTI’s discussion of the reasons that it anticipated that Ashmore may improve the performance of the Emerging Markets Equity Fund. The Trustees also discussed the proposed allocation of assets among Ashmore and the Emerging Markets Equity Fund’s other sub-advisers, as well as the then current allocations of assets among the Fund’s other sub-advisers.

In evaluating the Ashmore Agreement, the Trustees gave weight to various factors but did not identify any single factor as controlling their decision, and each Trustee may have attributed different weight to different factors. However, the Trustees relied upon the recommendations and performance evaluations of NTI with respect to Ashmore.

Nature, Extent and Quality of Services

The Trustees considered the information and evaluations provided by NTI with respect to Ashmore’s operations, qualifications, performance and experience in managing the type of strategy for which Ashmore was proposed to be engaged in connection with the Emerging Markets Equity Fund. It was noted that Ashmore currently sub-advised another Multi-Manager Fund. The Board also considered NTI’s evaluation of Ashmore’s ability to add alpha to the Emerging Markets Equity Fund’s returns. The Trustees also reviewed the CCO’s evaluation of Ashmore’s compliance program, noting that he believed the program to be satisfactory and in compliance with regulatory requirements. The Trustees concluded that Ashmore was able to provide quality services to the Emerging Markets Equity Fund.

Fees, Expenses and Performance

With respect to the sub-advisory fees, the Trustees considered that Ashmore would be paid by NTI out of its management fee and not by the Emerging Markets Equity Fund. The Trustees also believed, based on NTI’s representations, that the Ashmore Agreement had been negotiated at arm’s-length between NTI and Ashmore. The Trustees also considered comparisons of Ashmore’s fees at various asset levels of the Emerging Markets Equity Fund and in relation to the other sub-advisers to the Fund. The Trustees also compared Ashmore’s fees in relation to its other similar institutional accounts. Finally, the Trustees also considered NTI’s representations that the fees to be paid to Ashmore were reasonable in light of the anticipated quality of the services to be performed by it.

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MULTI-MANAGER FUNDS

APPROVAL OF SUB-ADVISORY AGREEMENTS (continued) MARCH 31, 2020 (UNAUDITED)

The Trustees also considered the projected profitability to NTI of the Emerging Markets Equity Fund before and after the addition of Ashmore. These comparisons showed that NTI’s profitability slightly increased. The Trustees did not consider Ashmore’s projected profitability as they did not consider it to be particularly relevant because NTI would be paying Ashmore out of the management fees NTI received from the Emerging Markets Equity Fund. The Trustees therefore believed that NTI had an incentive to negotiate the lowest possible sub-advisory fees.

The Trustees considered and evaluated Ashmore’s performance information with respect to its other accounts using the same investment strategy and NTI’s evaluation of that performance. The Trustees reviewed reports prepared by NTI showing the hypothetical performance of Ashmore and the Emerging Markets Equity Fund over various time periods if Ashmore, and not PanAgora, had been managing the Fund along with the Fund’s other sub-advisers. The Trustees also considered Ashmore’s actual performance record in the strategy for which it was being engaged and against relevant performance benchmarks. It was noted that Ashmore had a different style than the Emerging Markets Equity Fund’s other sub-advisers and that its style would underperform in certain markets. The Trustees concluded, based upon the information provided, that Ashmore’s performance record was generally satisfactory.

Economies of Scale

The Trustees considered information prepared by NTI that showed the impact on NTI’s net management fee (after payment of sub-advisory fees) at various asset levels. They took into account the levels of aggregate sub-advisory fees at various asset levels, including breakpoints in the sub-advisory fee structures (if any). However, the Trustees generally considered economies of scale with respect to the Emerging Markets Equity Fund primarily at the management fee level given that NTI would be paying Ashmore out of its management fee. It was noted by the Trustees that Ashmore had a breakpoint in its sub-advisory fee structure.

Other Benefits

The Trustees considered other benefits derived or to be derived by Ashmore as a result of its relationships with the Emerging Markets Equity Fund. The Trustees also reviewed the other relationships that Ashmore had with NTI or its affiliates, including other sub-advisory relationships to portfolios managed by NTI.

Based on the Trustees’ deliberations and the recommendations by NTI, the Trustees concluded that the proposed fee to be paid to Ashmore was reasonable in light of the services to be provided by it and that the Ashmore Agreement should be approved.

MULTI-MANAGER FUNDS 120 NORTHERN FUNDS ANNUAL REPORT

MULTI-MANAGER FUNDS

INVESTMENT CONSIDERATIONS

ACTIVE M EMERGING MARKETS EQUITY FUND^{1,2,4,5,10,11}

ACTIVE M INTERNATIONAL EQUITY FUND^1,2,4,10,11

MULTI-MANAGER GLOBAL LISTED INFRASTRUCTURE FUND^{1,2,4,5,7,8,10,11}

MULTI-MANAGER GLOBAL REAL ESTATE FUND^2,4,9,10,11

NORTHERN ENGAGE 360^TM FUND^{1,2,4,5,10,11}

MULTI-MANAGER EMERGING MARKETS DEBT OPPORTUNITY FUND^1,3,4,5,6,8

MULTI-MANAGER HIGH YIELD OPPORTUNITY FUND^1,3,4,6

¹ Emerging Markets Risk: Markets of emerging market countries are less developed and less liquid, subject to greater price volatility and generally subject to increased economic, political, regulatory and other uncertainties than more developed markets.

² Equity Market Risk: The value of equity securities owned by the Fund may decline, at times sharply and unpredictably, because of economic changes or other events, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment, that affect individual issuers or large portions of the market.

³ Fixed Income Market Risk: The market values of fixed-income securities owned by the Fund may decline, at times sharply and unpredictably. Fixed income securities may experience increased volatility, illiquidity or other potentially adverse effects in response to changing market conditions, inflation, changes in interest rates, or lack of liquidity in markets, which may be caused by numerous factors, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment.

⁴ Foreign Securities Risk: Investing in foreign (non-U.S.) securities may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies, due to less liquid markets and adverse economic, political, diplomatic, financial and regulatory factors. Foreign governments may also impose limits on investment and repatriation and impose taxes. Any of these events could cause the value of the Fund’s investments to decline.

⁵ Frontier Markets Risk: Frontier countries generally have smaller economies or less developed capital markets than traditional emerging markets and, as a result, the risks of investing in emerging market countries are magnified in frontier countries.

⁶ High-Yield Risk: The Fund’s non-investment grade fixed-income securities, sometimes known as “junk bonds,” will be subject to greater credit risk, price volatility and risk of loss than investment grade securities, which can adversely impact the Fund’s return and net asset value (“NAV”). High yield securities are considered primarily speculative with respect to the issuer’s continuing ability to make principal and interest payments.

⁷ Infrastructure Company Risk: Infrastructure companies are subject to the risks that: the potential for realized revenue volumes is significantly lower than projected and/or there will be cost overruns; project sponsors will alter their terms making a project no longer economical; macroeconomic factors such as low gross domestic product (“GDP”) growth or high nominal interest rates will raise the average cost of funding; government regulation may affect rates charged to customers; government budgetary constraints will impact projects; special tariffs will be imposed; and changes in tax laws, regulatory policies or accounting standards could be unfavorable. Other risks include environmental damage due to a company’s operations or an accident, changes in market sentiment towards infrastructure and terrorist acts.

⁸ Non-Diversification Risk: The Fund invests in fewer securities than diversified funds and may be more susceptible to adverse financial, economic or other developments affecting any single issuer, and more susceptible to greater losses because of these developments, than if it were diversified.

⁹ Real Estate Securities/REIT Risk: Investments in securities of real estate companies will make the Fund more susceptible to risks associated with the ownership of real estate and with the real estate industry in general. Real estate companies may have lower trading volumes and may be subject to more abrupt or erratic price movements than the overall securities markets. Investing in REITs involves certain unique risks in addition to those risks associated with investing in the real estate industry in general.

¹⁰ Mid Cap Stock Risk: Stocks of mid-sized companies may be subject to more abrupt or erratic market movements than stocks of larger, more established companies. Mid-sized companies may have limited product lines or financial resources, and may be dependent on a particular niche of the market.

¹¹ Small Cap Stock Risk: Stocks of smaller companies may be subject to more abrupt or erratic market movements than stocks of larger, more established companies. Small companies may have limited product lines or financial resources, or may be dependent on a small or inexperienced management group, and their securities may trade less frequently and in lower volume than the securities of larger companies, which could lead to higher transaction costs. Generally, the smaller the company size, the greater the risk.

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MULTI-MANAGER FUNDS

FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

MULTI-MANAGER FUNDS 124 NORTHERN FUNDS ANNUAL REPORT

NORTHERN GLOBAL TACTICAL ASSET ALLOCATION FUND

MARC H 31, 2020

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of Northern Funds shareholder reports like this one will no longer be sent by mail, unless you specifically request paper copies of the reports from Northern Funds or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on the Funds’ website (northerntrust.com) and you will be notified by mail each time a report is posted and provided with a website link to access the report.

If you have already elected to receive your shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from Northern Funds electronically at any time by contacting your financial intermediary (such as a broker-dealer or bank) or, if your account is held directly with Northern Funds, by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com.

You may elect to receive all future reports in paper free of charge. If you invest through a financial intermediary, please contact your financial intermediary to continue receiving paper copies of your shareholder reports. If you invest directly with Northern Funds, you can inform Northern Funds that you wish to continue receiving paper copies of your shareholder reports by calling the Northern Funds Center at 800-595-9111 or by sending an e-mail request to: northern-funds@ntrs.com. Your election to receive reports in paper will apply to all Northern Funds you hold in your account at the financial intermediary or through an account with Northern Funds. You must provide separate instructions to each of your financial intermediaries.

GLOBAL TACTICAL ASSET ALLOCATION FUND

TABLE OF CONTENTS

2	PORTFOLIO MANAGEMENT COMMENTARY
3	STATEMENTS OF ASSETS AND LIABILITIES
4	STATEMENTS OF OPERATIONS
5	STATEMENTS OF CHANGES IN NET ASSETS
6	FINANCIAL HIGHLIGHTS
7	SCHEDULES OF INVESTMENTS
7	GLOBAL TACTICAL ASSET ALLOCATION FUND
	Ticker Symbol: BBALX
9	NOTES TO THE FINANCIAL STATEMENTS
15	REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
16	TAX INFORMATION
17	LIQUIDITY RISK MANAGEMENT PROGRAM
18	FUND EXPENSES
19	TRUSTEES AND OFFICERS
23	BENCHMARK INFORMATION
24	INVESTMENT CONSIDERATIONS
28	FOR MORE INFORMATION

This report has been prepared for the general information of Global Tactical Asset Allocation Fund shareholders. It is not authorized for distribution to prospective investors unless accompanied or preceded by a current Global Tactical Asset Allocation Fund summary prospectus or prospectus, which contains complete information about a fund’s investment objectives, risks, fees and expenses. Investors are reminded to read the summary prospectus or prospectus carefully before investing or sending money.

This report contains certain forward-looking statements about factors that may affect the performance of the Fund in the future. These statements are based on Northern Funds’ management predictions and expectations concerning certain future events, such as performance of the economy as a whole and of specific industry sectors, changes in the levels of interest rates, the impact of developing world events, and other factors. Management believes these forward-looking statements to be reasonable, although they are inherently uncertain and difficult to predict. Actual events may cause adjustments in Northern Funds’ management strategies from those currently expected to be employed.

Northern Funds are distributed by Northern Funds Distributors, LLC, Three Canal Plaza, Suite 100, Portland, Maine 04101, not affiliated with Northern Trust.

NOT FDIC INSURED

May lose value / No bank guarantee

NORTHERN FUNDS ANNUAL REPORT 1 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND* (UNAUDITED)

PORTFOLIO MANAGEMENT COMMENTARY

The 12-month reporting period ended March 31, 2020 concluded in a stretch of heightened financial market volatility as COVID-19 concerns led to a sharp decline in equity markets and record low U.S. interest rates in late February and March 2020. The volatility overshadowed solid equity market performance during the last nine months of 2019, when easing U.S./China trade tensions helped to support financial markets. Asset class performance was mixed over the reporting period, with negative returns in equity markets and positive returns across most areas of fixed income. U.S. equities (as measured by the MSCI USA Index) returned -7.1% in the reporting period, considerably ahead of -14.4% and -17.4% returns in developed ex-U.S. equities and emerging market equities, respectively (as measured by the MSCI World ex USA Index and the MSCI Emerging Markets Index, respectively). Investment-grade fixed income (as measured by the Bloomberg Barclays U.S. Aggregate Bond Index) was well into positive territory with an 8.9% return, helped by the 171 basis point decline in the 10-year Treasury yield from 2.41% to 0.70% over the reporting period.

For the 12-month period ended March 31, 2020, the Global Tactical Asset Allocation Fund returned -10.14% during the reporting period, trailing the -3.13% return of its blended benchmark (Blend Index). Product fulfillment, tactical positioning and strategic positioning all detracted from returns, leading to the Fund’s substantial underperformance. The Fund retained a moderate overweight to risk throughout the reporting period, which helped performance initially until this positioning quickly turned into a headwind during the COVID-19-driven financial market weakness. Within product fulfillment, exposures to risk factors (value, size and yield) significantly negatively impacted performance, particularly in U.S. equities.

Relative to its strategic norms, the Fund ended the period with a moderate overweight to risk, with large overweights to high-yield fixed income and U.S. equities in addition to overweights to global real estate and global listed infrastructure. The tactical overweights are funded by underweight positions across investment-grade fixed income, cash, inflation-protected fixed income, emerging market equities, natural resources and developed ex-U.S. equities. The Fund remains committed to broad global diversification and exposure to risk factors that have displayed long-term efficacy.

INVESTMENT PERFORMANCE

AVERAGE ANNUAL RETURNS for periods ended March 31, 2020
TOTAL RETURN	ONE YEAR			FIVE YEAR			TEN YEAR			SINCE INCEPTION 07/01/93
GLOBAL TACTICAL ASSET ALLOCATION FUND		(10.14	)%		1.54	%		4.43	%*		5.44	%*
BLENDED INDEX**		(3.13	)		3.31			5.35			6.25
MSCI ALL COUNTRY WORLD INDEX		(11.26	)		2.85			5.85			6.36
BLOOMBERG BARCLAYS U.S. AGGREGATE BOND INDEX		8.93			3.36			3.88			5.30

* Prior to August 1, 2011, the Fund operated as the Northern Institutional Global Tactical Asset Allocation Portfolio (the “Predecessor Fund”).On August 1, 2011, the Predecessor Fund was reorganized into the Fund, a newly created series of Northern Funds with the same investment objective and policies as the Predecessor Fund. In connection with the reorganization, the performance record of the Predecessor Fund was carried over to the Fund. The Predecessor Fund’s investment strategy changed from a traditional balanced fund to an asset allocation fund, operating as a fund of funds, on April 1, 2008.

Fund Performance reflects contractual expense reimbursements in effect. In their absence, performance would be reduced. Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available at northerntrust.com/funds.

GROWTH OF A $10,000 INVESTMENT

Unlike the Index, the Fund’s total returns are reduced by operating expenses, such as transaction costs and management fees.

** The Blended Index consists of 60% MSCI All Country World Index and 40% Bloomberg Barclays U.S. Aggregate Bond Index.

The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Information about Benchmarks and Investment Considerations can be found on page 23 and page 24.

GLOBAL TACTICAL ASSET ALLOCATION FUND 2 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

STATEMENT OF ASSETS AND LIABILITIES MARCH 31, 2020

Amounts in thousands, except per share data	GLOBAL TACTICAL ASSET ALLOCATION FUND
ASSETS:
Investments, at value		$21,558
Investments in affiliates, at value		79,628
Dividend income receivable		1
Receivable for fund shares sold		6
Prepaid and other assets		16
Total Assets		101,209
LIABILITIES:
Payable to affiliates:
Management fees		11
Shareholder servicing fees		4
Transfer agent fees		4
Trustee fees		4
Accrued other liabilities		30
Total Liabilities		53
Net Assets		$101,156
ANALYSIS OF NET ASSETS:
Capital stock		$109,540
Distributable earnings		(8,384	)
Net Assets		$101,156
Shares Outstanding ($.0001 par value, unlimited authorization)		9,107
Net Asset Value, Redemption and Offering Price Per Share		$11.11
Investments, at cost		$20,755
Investments in affiliates, at cost		$89,068

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 3 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

STATEMENT OF OPERATIONS FOR THE FISCAL YEAR ENDED MARCH 31, 2020

Amounts in thousands	GLOBAL TACTICAL ASSET ALLOCATION FUND
INVESTMENT INCOME:
Dividend income		$900
Dividend income from investments in affiliates		2,138
Total Investment Income		3,038
EXPENSES:
Management fees		225
Custody fees		8
Transfer agent fees		31
Blue sky fees		20
Printing fees		18
Audit fees		19
Legal fees		24
Shareholder servicing fees		19
Trustee fees		9
Interest expense		1
Other		12
Total Expenses		386
Less expenses reimbursed by investment adviser		(128	)
Net Expenses		258
Net Investment Income		2,780
NET REALIZED AND UNREALIZED GAINS (LOSSES):
Net realized gains (losses) on:
Investments		813
Investments in affiliates		105	(1)
Net changes in unrealized (depreciation) on:
Investments		25
Investments in affiliates		(18,050	)
Net Losses		(17,107	)
Net Decrease in Net Assets Resulting from Operations		$(14,327	)

(1) Amount includes capital gain distributions from affiliated funds of $67.

See Notes to the Financial Statements.

GLOBAL TACTICAL ASSET ALLOCATION FUND 4 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

STATEMENT OF CHANGES IN NET ASSETS FOR THE FISCAL YEARS ENDED MARCH 31,

	GLOBAL TACTICAL ASSET ALLOCATION FUND
Amounts in thousands	2020			2019
OPERATIONS:
Net investment income		$2,780			$2,710
Net realized gains (losses)		918			(584	)
Net change in unrealized depreciation		(18,025	)		(868	)
Net increase from payment by affiliate on affiliated transactions (Note 6)		–			209
Net Increase (Decrease) in Net Assets Resulting from Operations		(14,327	)		1,467
CAPITAL SHARE TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital share transactions		26,525			(546	)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions		26,525			(546	)
DISTRIBUTIONS PAID:
Distributable earnings		(2,510	)		(3,498	)
Total Distributions Paid		(2,510	)		(3,498	)
Total Increase (Decrease) in Net Assets		9,688			(2,577	)
NET ASSETS:
Beginning of year		91,468			94,045
End of year		$101,156			$91,468

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 5 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

FINANCIAL HIGHLIGHTS FOR THE FISCAL YEARS ENDED MARCH 31,

GLOBAL TACTICAL ASSET ALLOCATION FUND
Selected per share data	2020			2019			2018			2017			2016
Net Asset Value, Beginning of Year		$12.69			$13.02			$12.41			$11.54			$12.20
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income		0.36			0.38			0.33			0.32			0.33
Net realized and unrealized gains (losses)		(1.60	)		(0.25	)		0.72			0.90			(0.52	)
Net increase from payment by affiliate on affiliate transactions (Note 6)		–			0.03	(1)		–			–			–
Total from Investment Operations		(1.24	)		0.16			1.05			1.22			(0.19	)
LESS DISTRIBUTIONS PAID:
From net investment income		(0.34	)		(0.39	)		(0.33	)		(0.35	)(2)		(0.32	)(2)
From net realized gains		–			(0.10	)		(0.11	)		–			(0.15	)
Total Distributions Paid		(0.34	)		(0.49	)		(0.44	)		(0.35	)		(0.47	)
Net Asset Value, End of Year		$11.11			$12.69			$13.02			$12.41			$11.54
Total Return(3)		(10.14	)%		1.46	%(1)		8.55	%		10.73	%		(1.52	)%
SUPPLEMENTAL DATA AND RATIOS:
Net assets, in thousands, end of year		$101,156			$91,468			$94,045			$84,298			$72,400
Ratio to average net assets of:
Expenses, net of reimbursements and credits(4)(5)		0.26	%		0.28	%		0.27	%		0.27	%		0.27	%
Expenses, before reimbursements and credits(5)		0.40	%		0.42	%		0.44	%		0.49	%		0.46	%
Net investment income, net of reimbursements and credits(4)		2.85	%		2.99	%		2.53	%		2.67	%		2.78	%
Net investment income, before reimbursements and credits		2.71	%		2.85	%		2.36	%		2.45	%		2.59	%
Portfolio Turnover Rate		48.38	%		87.64	%		25.39	%		27.84	%		20.49	%

(1) Northern Trust Investments, Inc. reimbursed the Fund approximately $209,000. Without this reimbursement the total return would have been 1.25%.

(2) Distributions to shareholders from net investment income include amounts related to foreign currency transactions, which are treated as ordinary income for federal income tax purposes.

(3) Assumes investment at net asset value at the beginning of the year, reinvestment of all dividends and distributions, and a complete redemption of the investment at net asset value at the end of the year.

(4) The net expenses and net investment income ratios include additional reimbursements of management fees incurred in connection with the investment of uninvested cash in affiliated money market funds of approximately $2,000, which represents less than 0.01 percent of average net assets for the fiscal years ended March 31, 2020 and 2019, less than $1,000, which represents less than 0.01 percent of average net assets for the fiscal years ended March 31, 2018 and 2017 and less than 0.005 percent of average net assets for the fiscal year ended March 31, 2016, respectively. Absent the additional reimbursements, net investment income and reimbursements would have been decreased and net expenses would have been increased by a corresponding amount.

(5) Expense ratios reflect only the direct expenses of the Fund and not any expenses associated with the underlying funds.

See Notes to the Financial Statements.

GLOBAL TACTICAL ASSET ALLOCATION FUND 6 NORTHERN FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

GLOBAL TACTICAL ASSET ALLOCATION FUND MARCH 31, 2020

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 100.0%
FlexShares® Credit-Scored US Corporate Bond Index Fund(1)		147,451		$7,503
FlexShares® Credit-Scored US Long Corporate Bond Index Fund(1)		33,243		1,873
FlexShares® Disciplined Duration MBS Index Fund(1)		120,092		2,848
FlexShares® Global Quality Real Estate Index Fund(1)		102,709		4,862
FlexShares® High Yield Value-Scored Bond Index Fund(1)		170,492		6,985
FlexShares® International Quality Dividend Index Fund(1)		289,933		5,137
FlexShares® Morningstar Developed Markets ex-US Factor Tilt Index Fund(1)		201,004		9,335
FlexShares® Morningstar Emerging Markets Factor Tilt Index Fund(1)		51,267		1,956
FlexShares® Morningstar Global Upstream Natural Resources Index Fund(1)		134,560		3,032
FlexShares® Morningstar US Market Factor Tilt Index Fund(1)		236,499		22,050
FlexShares® Quality Dividend Index Fund(1)		211,781		7,616
FlexShares® STOXX® Global Broad Infrastructure Index Fund(1)		96,907		4,187
Flexshares® US Quality Low Volatility Index Fund(1)		61,077		2,094
iShares 20+ Year Treasury Bond ETF		16,852		2,780
iShares 3-7 Year Treasury Bond ETF		19,222		2,563
iShares 7-10 Year Treasury Bond ETF		15,994		1,943
iShares iBoxx High Yield Corporate Bond ETF		52,628		4,056
iShares Long-Term Corporate Bond ETF		28,819		1,834
iShares MBS ETF		61,578		6,801

	NUMBER OF SHARES		VALUE (000s)
INVESTMENT COMPANIES – 100.0% continued
iShares Short-Term Corporate Bond ETF		30,205		$1,581
Northern Institutional Funds - U.S. Government Portfolio (Shares), 0.40%(1)(2)		150,571		150
Total Investment Companies
(Cost $109,823)				101,186
Total Investments – 100.0%
(Cost $109,823)				101,186
Liabilities less Other Assets – (0.0%)				(30	)
NET ASSETS – 100.0%				$101,156

(1) Investment in affiliated fund. Northern Trust Investments, Inc. is the investment adviser to the Fund and the investment adviser to other Northern Institutional Funds and FlexShares Trust.

(2) 7-day current yield as of March 31, 2020 is disclosed.

EXPLANATION OF ABBREVIATIONS AND ACRONYMS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:

ETF - Exchange-Traded Fund

MBS - Mortgage Backed Securities

Percentages shown are based on Net Assets.

See Notes to the Financial Statements.

NORTHERN FUNDS ANNUAL REPORT 7 GLOBAL TACTICAL ASSET ALLOCATION FUND

SCHEDULE OF INVESTMENTS

GLOBAL TACTICAL ASSET ALLOCATION FUND continued MARCH 31, 2020

At March 31, 2020, the asset class weightings (unaudited) for the Fund were:

ASSET CLASS	WEIGHT			INVESTMENT VEHICLE
U.S. Equity		21.8	%	FlexShares® Morningstar US Market Factor Tilt Index Fund
U.S. Equity		7.5		FlexShares® Quality Dividend Index Fund
U.S. Equity		2.1		Flexshares® US Quality Low Volatility Index Fund
Non U.S. Equity – Developed		9.2		FlexShares® Morningstar Developed Markets ex-US Factor Tilt Index Fund
Non U.S. Equity – Developed		5.1		FlexShares® International Quality Dividend Index Fund
Non U.S. Equity – Emerging Markets		1.9		FlexShares® Morningstar Emerging Markets Factor Tilt Index Fund
Global Real Estate		4.8		FlexShares® Global Quality Real Estate Index Fund
U.S. Bonds – High Yield		6.9		FlexShares® High Yield Value-Scored Bond Index Fund
U.S. Bonds – High Yield		4.0		iShares iBoxx High Yield Corporate Bond ETF
U.S. Bonds – Investment Grade		7.4		FlexShares® Credit-Scored US Corporate Bond Index Fund
U.S. Bonds – Investment Grade		6.7		iShares MBS ETF
U.S. Bonds – Investment Grade		2.8		FlexShares® Disciplined Duration MBS Index Fund
U.S. Bonds – Investment Grade		2.8		iShares 20+ Year Treasury Bond ETF
U.S. Bonds – Investment Grade		2.5		iShares 3-7 Year Treasury Bond ETF
U.S. Bonds – Investment Grade		1.9		FlexShares® Credit-Scored US Long Corporate Bond Index Fund
U.S. Bonds – Investment Grade		1.9		iShares 7-10 Year Treasury Bond ETF
U.S. Bonds – Investment Grade		1.8		iShares Long-Term Corporate Bond ETF
U.S. Bonds – Investment Grade		1.6		iShares Short-Term Corporate Bond ETF
Global Infrastructure		4.1		FlexShares® STOXX® Global Broad Infrastructure Index Fund
Commodities/Natural Resources		3.0		FlexShares® Morningstar Global Upstream Natural Resources Index Fund
Cash		0.2		Northern Institutional Funds - U.S. Government Portfolio (Shares)
Total		100.0	%

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three levels listed below:

Level 1 – Unadjusted quoted market prices in active markets for identical securities on the measurement date.

Level 2 – Other observable inputs (e.g., quoted prices in active markets for similar securities, securities valuations based on commonly quoted benchmark interest rates and yield curves, maturities, ratings and/or securities indices).

Level 3 – Significant unobservable inputs (e.g., information about assumptions, including risk, market participants would use in pricing a security).

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and other financial instruments, if any. The following table summarizes the valuations of the Fund’s investments by the above fair value hierarchy as of March 31, 2020:

INVESTMENTS	LEVEL 1 (000s)		LEVEL 2 (000s)		LEVEL 3 (000s)		TOTAL (000s)
Investment Companies		$101,186		$–		$–		$101,186

See Notes to the Financial Statements.

GLOBAL TACTICAL ASSET ALLOCATION FUND 8 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

NOTES TO THE FINANCIAL STATEMENTS MARCH 31, 2020

1. ORGANIZATION

Northern Funds (the “Trust”) is a Delaware statutory trust and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust offers 43 funds as of March 31, 2020, each with its own investment objective (e.g., long-term capital appreciation, total return or income consistent with preservation of capital). The Global Tactical Asset Allocation Fund (the “Fund”) is a separate, diversified investment portfolio of the Trust. The Fund seeks to provide long-term capital appreciation and current income by investing primarily in shares of a combination of underlying mutual funds and exchange-traded funds (“ETFs”) for which Northern Trust Investments, Inc. (“NTI”), the Fund’s investment adviser, or an affiliate of NTI acts as investment adviser. The Fund also may invest in other unaffiliated mutual funds and ETFs (together with affiliated underlying funds and ETFs, the “Underlying Funds”) and other securities and investments not issued by mutual funds.

NTI, a subsidiary of The Northern Trust Company (“Northern Trust”). Northern Trust serves as the custodian, transfer agent and sub-administrator for the Trust. NTI serves as the Trust’s administrator. Northern Funds Distributors, LLC, not an affiliate of NTI, is the Trust’s distributor.

2. SIGNIFICANT ACCOUNTING POLICIES

The Trust, which is an investment company, follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services-Investment Companies.

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates.

The net asset value (“NAV”) of the Fund is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), generally 3:00 P.M. Central Time, on each day the NYSE is open for trading.

A) VALUATION OF SECURITIES Securities are valued at their fair value. Securities traded on United States (“U.S.”) securities exchanges or in the NASDAQ National Market System are principally valued at the regular trading session closing price (generally, 3:00 P.M. Central Time) on the exchange or market in which such securities are principally traded. If any such security is not traded on a valuation date, it is valued at the most recent quoted bid price. Over-the-counter securities not reported in the NASDAQ National Market System are also generally valued at the most recent quoted bid price.

The values of securities of foreign issuers are generally based upon market quotations, which depending upon local convention or regulation, may be the last sale price, the last bid price or the mean between the last bid and asked price as of, in each case, the close of the appropriate exchange or other designated time.

Shares of open-end investment companies, other than ETFs, are valued at their NAV. Spot and forward foreign currency exchange contracts are generally valued using an independent pricing service. Short-term investments with a maturity of 60 days or less are valued at their amortized cost, which NTI, as authorized by the Trust’s Board of Trustees (the “Board”), has determined approximates fair value.

Any securities for which market quotations are not readily available or are believed to be incorrect are valued at fair value as determined in good faith by NTI under the supervision of the Board. The Trust, in its discretion, may make adjustments to the prices of securities held by a Fund if an event occurs after the publication of fair values normally used by a Fund but before the time as of which the Fund calculates its NAV, depending on the nature and significance of the event, consistent with applicable regulatory guidance and U.S. GAAP. This may occur particularly with respect to certain foreign securities held by the Fund, in which case the Trust may use adjustment factors obtained from an independent evaluation service that are intended to reflect more accurately the fair value of those securities as of the time the Fund’s NAV is calculated.

The use of fair valuation involves the risk that the values used by the Fund to price their investments may be higher or lower than the values used by other unaffiliated investment companies and investors to price the same investments.

B) FOREIGN CURRENCY TRANSLATION Values of investments denominated in foreign currencies are converted into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The cost of purchases and proceeds from sales of investments, interest and dividend income are translated into U.S. dollars using the spot rates on the NYSE, generally at 3:00 P.M. Central Time. The gains or losses, if any, on investments from original purchase date to subsequent sales trade date resulting from changes in foreign exchange rates are included in the Statement of Operations in Net realized gains (losses) on investments and Net change in unrealized appreciation (depreciation) on investments. The gains or losses, if any, on translation of other assets and liabilities denominated in foreign currencies and between the trade and settlement dates on investment transactions are included in Net realized gains (losses) on foreign currency transactions and Net change in unrealized appreciation (depreciation) on foreign currency translations in the Statement of Operations.

NORTHERN FUNDS ANNUAL REPORT 9 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

NOTES TO THE FINANCIAL STATEMENTS continued

C) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS The Fund is authorized to enter into forward foreign currency exchange contracts, or forward currency exchange contracts, for the purchase or sale of a specific foreign currency at a specified exchange rate on a future date. The Fund and certain of the Underlying Funds may enter into these contracts when seeking to hedge against fluctuations in foreign currency exchange rates. Certain of the Underlying Funds may also enter into forward foreign currency exchange contracts as a cross-hedge transaction or for speculative purposes. All forward foreign currency exchange contracts are “marked-to-market” daily at the applicable exchange rates. Any resulting unrealized gains or losses are recorded in Net change in unrealized appreciation (depreciation) on forward foreign currency exchange contracts in the Statement of Operations. Gains or losses are recorded for financial statement purposes as unrealized until settlement date. Realized gains or losses, if any, are included in Net realized gains (losses) on forward foreign currency exchange contracts in the Statement of Operations.

Forward foreign currency exchange contracts are privately negotiated transactions, and can have substantial price volatility. As a result, these contracts offer less protection against default by the other party than is available for instruments traded on an exchange. When used for hedging purposes, forward foreign currency exchange contracts tend to limit any potential gain that may be realized if the value of the Fund’s or an Underlying Fund’s foreign holdings increase because of currency fluctuations. When used for speculative purposes, the contracts may result in additional losses that are not otherwise related to the changes in value of the securities held by an Underlying Fund. The Fund bears the market risk from changes in forward foreign currency exchange rates and the credit risk if the counterparty to the contract fails to perform. The institutions that deal in forward foreign currency exchange contracts are not required to continue to make markets in the currencies they trade and these markets can experience periods of illiquidity. No forward foreign currency exchange contracts were held by the Fund during the fiscal year ended March 31, 2020.

D) INVESTMENT TRANSACTIONS AND INCOME Investment transactions are recorded as of the trade date. The Fund determines the gain or loss realized from investment transactions by using an identified cost basis method. Interest income, if any, is recognized on an accrual basis and includes amortization of premiums and accretion of discounts using the effective yield method. The interest rates reflected in the Schedule of Investments represent the 7-day yield for money market funds. Dividend income, if any, is recognized on the ex-dividend date. Dividends from foreign securities, if any, are recorded on the ex-dividend date, or as soon as the information is available.

E) EXPENSES The Fund is charged for those expenses that are directly attributable to the Fund. Expenses incurred which do not specifically relate to the Fund generally are allocated among all funds in the Trust in proportion to each fund’s relative net assets.

Expenses included in the accompanying financial statements reflect the expenses of the Fund and do not include any expenses associated with the Underlying Funds.

F) DISTRIBUTIONS TO SHAREHOLDERS Distributions of dividends from net investment income, if any, are declared and paid quarterly.

Distributions of net realized capital gains, if any, are declared and paid at least annually. Distributions to shareholders are recorded on the ex-dividend date.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations. Such amounts may differ from income and capital gains recorded in accordance with U.S. GAAP. Accordingly, the Fund may periodically make reclassifications among certain capital accounts to reflect differences between financial reporting and federal income tax basis distributions. The reclassifications are reported in order to reflect the tax treatment for certain permanent differences that exist between income tax regulations and U.S. GAAP. These reclassifications may relate to net operating losses, expired capital loss carryforwards, and gains or losses on in-kind transactions. These reclassifications have no impact on the total net assets or the net asset values per share of the Fund. At March 31, 2020, the following reclassifications were recorded for the Fund:

Amounts in thousands	UNDISTRIBUTED NET INVESTMENT INCOME (LOSS)		ACCUMULATED UNDISTRIBUTED NET REALIZED GAINS (LOSSES)		CAPITAL STOCK
Global Tactical Asset Allocation		$12		$–		$(12)

G) FEDERAL INCOME TAXES No provision for federal income taxes has been made since the Fund’s policy is to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute, each year, substantially all of its taxable income and capital gains to its shareholders.

The Regulated Investment Company Modernization Act of 2010 (the “Act”) allows capital losses to be carried forward for an unlimited period and to retain their character as either short-term or long-term. The Fund’s ability to utilize capital loss carryforwards in the future may be limited under the Code and related regulations based on the results of future transactions.

During the fiscal year ended March 31, 2020, the Fund utilized approximately $390,000 in capital loss carryforwards.

There were no capital losses incurred that will be carried forward indefinitely under the provisions of the Act.

GLOBAL TACTICAL ASSET ALLOCATION FUND 10 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

MARCH 31, 2020

At March 31, 2020, the tax components of undistributed net investment income, undistributed realized gains and unrealized gains were as follows:

	UNDISTRIBUTED
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS		UNREALIZED GAINS (LOSSES)
Global Tactical Asset Allocation		$481		$615		$(9,477)

* Ordinary income includes short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2020, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Global Tactical Asset Allocation		$2,510		$–

* Ordinary income includes short-term capital gains, if any.

The tax character of distributions paid during the fiscal year ended March 31, 2019, was as follows:

	DISTRIBUTIONS FROM
Amounts in thousands	ORDINARY INCOME*		LONG-TERM CAPITAL GAINS
Global Tactical Asset Allocation		$2,762		$735

* Ordinary income includes short-term capital gains, if any.

As of March 31, 2020, the Fund had no uncertain tax positions that would require financial statement recognition or disclosure. The Fund’s federal tax returns remain subject to examination by the Internal Revenue Service for three years after they are filed. Interest or penalties incurred, if any, on future unknown, uncertain tax positions taken by the Fund will be recorded as interest expense and other expenses, respectively, on the Statement of Operations.

3. SERVICE PLAN

The Trust has adopted a Service Plan pursuant to which the Trust may enter into agreements with Northern Trust, its affiliates or other institutions (together “Service Organizations”) under which the Service Organizations agree to provide certain administrative support services and, in some cases, personal and account maintenance services for their customers, whom are beneficial owners of shares of the Fund. As compensation for services provided pursuant to the Service Plan, the Service Organizations receive a fee at an annual rate of up to 0.15 percent of the average daily net assets of the Fund beneficially owned by their customers. There were no shareholder servicing fees paid by the Fund to Northern Trust or its affiliates during the fiscal year ended March 31, 2020.

Service Plan expenses, if any, are included in the Statements of Operations under Shareholder servicing fees for the fiscal year ended March 31, 2020.

4. BANK BORROWINGS

The Trust and Northern Institutional Funds, a registered investment company also advised by NTI, jointly entered into a $250,000,000 senior unsecured revolving credit facility on November 19, 2018, which expired on November 18, 2019 and was administered by Citibank, N.A., for liquidity and other purposes (the “Credit Facility”). The interest rate charged under the Credit Facility was equal to the sum of (i) the Federal Funds Rate plus (ii) if the one month London Interbank Offered Rate (“LIBOR”) on the date of borrowing exceeded such Federal Funds Rate, the amount by which it so exceeded, plus (iii) 1.00 percent. In addition, there was an annual commitment fee of 0.15 percent on the unused portion of the credit line under the Credit Facility, payable quarterly in arrears, which is included in Other expenses on the Statement of Operations.

At a meeting held on November 13-14, 2019, the Board approved an agreement to replace the Credit Facility (as replaced, the “New Credit Facility”). The New Credit Facility is also in the amount of $250,000,000 and is also administered by Citibank, N.A. The interest rate charged under the New Credit Facility is the same as it was for the Credit Facility. In addition, there is an annual commitment fee of 0.15 percent on the unused portion of the credit line under the New Credit Facility, payable quarterly in arrears. The New Credit Facility went into effect on November 18, 2019 and will expire on November 16, 2020, unless renewed.

During the fiscal year ended March 31, 2020, the Fund had borrowings with the average loan amounts and weighted average interest rates as disclosed below:

Amounts in thousands	DOLLAR AMOUNT		RATE
Global Tactical Asset Allocation		$204		3.04	%

There were no outstanding loan amounts at March 31, 2020.

5. MANAGEMENT AND OTHER AGREEMENTS

As compensation for advisory (asset allocation) and administration services and the assumption of related expenses, NTI is entitled to a management fee, computed daily and payable monthly, at the annual rate set forth in the table below (expressed as a percentage of the Fund’s average daily net assets).

NTI has contractually agreed to reimburse a portion of the operating expenses of the Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses, the compensation paid to each independent Trustee of the Trust, expenses of third-party consultants engaged by the Board, membership dues paid to the Investment Company Institute and Mutual Fund

NORTHERN FUNDS ANNUAL REPORT 11 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

NOTES TO THE FINANCIAL STATEMENTS continued

Directors Forum, expenses in connection with the negotiation and renewal of the revolving credit facility, extraordinary expenses and interest) as shown on the accompanying Statement of Operations, to the extent the total annual fund operating expenses of the Fund exceed the expense limitation set forth below. The total annual fund operating expenses after expense reimbursement for the Fund may be higher than the contractual limitation as a result of certain excepted expenses that are not reimbursed. The amount of the reimbursement is included in Less expenses reimbursed by investment adviser as a reduction to Total Expenses in the Statement of Operations.

At March 31, 2020, the annual management fees and contractual expense limitations for the Fund were based on the following annual rates as set forth in the table below.

	CONTRACTUAL
	ANNUAL MANAGEMENT FEES			EXPENSE LIMITATIONS
Global Tactical Asset Allocation		0.23	%		0.25	%

The contractual reimbursement arrangement described in the table above is expected to continue until at least July 31, 2020. The contractual reimbursement arrangement will continue automatically thereafter for periods of one year (each such one-year period, a “Renewal Year”). The arrangement may be terminated, as to any succeeding Renewal Year, by NTI or the Fund upon 60 days’ written notice prior to the end of the current Renewal Year. The Board may terminate the contractual arrangement at any time with respect to the Fund if it determines that it is in the best interest of the Fund and its shareholders.

In addition, NTI has contractually agreed to reimburse certain additional expenses that may be excepted expenses.

As compensation for the services rendered as transfer agent, including the assumption by Northern Trust of the expenses related thereto, Northern Trust receives a fee, computed daily and payable monthly, at an annual rate of 0.0385 percent of the average daily net assets of the Fund. Prior to August 1, 2019, the transfer agent annual rate was 0.015 percent of the average daily net assets of the Fund.

NTI has entered into a sub-administration agreement with Northern Trust, pursuant to which Northern Trust performs certain administrative services for the Fund. NTI pays Northern Trust for its sub-administration services out of NTI’s management fees.

For compensation as custodian, Northern Trust receives an amount based on a pre-determined schedule of charges approved by the Board. The Fund has entered into an expense offset arrangement with the custodian whereby credits realized as a result of uninvested cash balances are used to reduce a portion of the Fund’s custodian expenses, unless such uninvested cash balances receive a separate type of return.

Northern Funds Distributors, LLC, the distributor for the Fund, received no compensation from the Fund under its distribution agreement. However, it received compensation from NTI for its services as distributor pursuant to a separate letter agreement between it and NTI.

Certain officers of the Trust are also officers of Northern Trust and NTI. All officers serve without compensation from the Fund. The Trust provided a deferred compensation plan for its Trustees who are not officers of Northern Trust or NTI. Prior to August 22, 2013, under the deferred compensation plan, Trustees may have elected to defer all or a portion of their compensation. Effective August 22, 2013, the Trustees may no longer defer their compensation. Any amounts deferred and invested under the plan shall remain invested pursuant to the terms of the plan. Each Trustee’s account shall be deemed to be invested in shares of the U.S Government Portfolio of Northern Institutional Funds and/ or the Fund and/or, at the discretion of the Trust, another money market fund selected by the Trust that complies with the provisions of Rule 2a-7 under the 1940 Act or one or more short-term fixed-income instruments selected by the Trust that are “eligible securities” as defined by that rule. The net investment income, gains and losses achieved by such deemed investment shall be credited to the Trustee’s account as provided in the plan.

6. RELATED PARTY TRANSACTIONS

The Fund may invest its uninvested cash in a money market fund advised by NTI or its affiliates. Accordingly, the Fund bears indirectly a proportionate share of that money market fund’s operating expenses. These operating expenses include the management, transfer agent and custody fees that the money market fund pays to NTI and/or its affiliates. At March 31, 2020, the uninvested cash of the Fund was invested in the Northern Institutional Funds U.S. Government Portfolio (the “Portfolio”). The total annual portfolio operating expenses after expense reimbursement (other than certain excepted expenses as described in the fees and expenses table of the Portfolio’s prospectus) on any assets invested in the Portfolio is 0.25%. However, to the extent of any duplicative advisory fees, NTI will reimburse the Fund for a portion of the management fees attributable to and payable by the Fund for advisory services on any assets invested in an affiliated money market fund. This reimbursement is included in Less expenses reimbursed by the investment adviser as a reduction to Total Expenses in the Statement of Operations. This reimbursement’s impact on the Fund’s net expense and net investment income ratios is included in the Fund’s Financial Highlights.

On July 31, 2018 and thereafter, the Fund had transactions in the FlexShares High Yield Value-Scored Bond Index Fund (“HYGV”) that have been deemed affiliated transactions. On November 20, 2018, the Fund disposed of its remaining position in HYGV and NTI reimbursed the Fund approximately $209,000 for the realized loss (net of dividends paid) and commissions associated with the transactions. The amount of the reimbursement is included in

GLOBAL TACTICAL ASSET ALLOCATION FUND 12 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

MARCH 31, 2020

Net increase from payment by affiliate on affiliated transactions in the Statement of Changes in Net Assets and Financial Highlights for the fiscal year ended March 31, 2019.

7. INVESTMENT TRANSACTIONS

For the fiscal year ended March 31, 2020, the aggregate costs of purchases and proceeds from sales of securities (excluding short-term investments) for the Fund were as follows:

	PURCHASES		SALES
Amounts in thousands	U.S. GOVERNMENT	OTHER	U.S. GOVERNMENT	OTHER
Global Tactical Asset Allocation	$–	$74,236	$–	$46,677

The difference between book basis and tax basis net unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales.

At March 31, 2020, for federal income tax purposes, gross unrealized appreciation, gross unrealized depreciation, net unrealized appreciation on investments (including the effects of foreign currency translation and derivative instruments, if any) and the cost basis of investments (including derivative instruments, if any) were as follows:

Amounts in thousands	UNREALIZED APPRECIATION	UNREALIZED DEPRECIATION	NET APPRECIATION (DEPRECIATION)	COST BASIS OF INVESTMENTS
Global Tactical Asset Allocation	$1,232	$(10,709)	$(9,477)	$110,663

8. CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES		NET INCREASE (DECREASE) IN NET ASSETS
Global Tactical Asset Allocation		3,381	$	44,740		153	$	1,963		(1,633	)	$	(20,178	)		1,901	$	26,525

Transactions in capital shares for the fiscal year ended March 31, 2019, were as follows:

Amounts in thousands	SHARES SOLD		PROCEEDS FROM SHARES SOLD		SHARES FROM REINVESTED DIVIDENDS		REINVESTMENTS OF DIVIDENDS		SHARES REDEEMED			PAYMENTS FOR SHARES REDEEMED			NET INCREASE (DECREASE) IN SHARES			NET INCREASE (DECREASE) IN NET ASSETS
Global Tactical Asset Allocation		1,549	$	19,151		233	$	2,843		(1,800	)	$	(22,540	)		(18	)	$	(546	)

9. INVESTMENTS IN AFFILIATES

Transactions in affiliated investments for the fiscal year ended March 31, 2020, were as follows:

Amounts in thousands except shares	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)		NET REALIZED GAINS (LOSSES)		DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
FlexShares® Credit-Scored US Corporate Bond Index Fund		$6,212		$4,594		$3,255		$(181)		$133		$210		$7,503		147,451
FlexShares® Credit-Scored US Long Corporate Bond Index Fund		560		1,901		576		(54)		42		28		1,873		33,243
FlexShares® Disciplined Duration MBS Index Fund		3,368		3,327		3,839		(47)		39		34		2,848		120,092
FlexShares® Global Quality Real Estate Index Fund		3,684		3,158		353		(1,664)		37		179		4,862		102,709
FlexShares® High Yield Value-Scored Bond Index Fund		–		8,168		93		(1,090)		–		79		6,985		170,492
FlexShares® International Quality Dividend Index Fund		5,343		2,656		1,399		(1,410)		(53)		278		5,137		289,933
FlexShares® Morningstar Developed Markets ex-US Factor Tilt Index Fund		8,924		4,309		828		(2,957)		(113)		353		9,335		201,004

NORTHERN FUNDS ANNUAL REPORT 13 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

NOTES TO THE FINANCIAL STATEMENTS continued MARCH 31, 2020

Amounts in thousands except shares	VALUE, BEGINNING OF YEAR		PURCHASES		SALES PROCEEDS		NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION)			NET REALIZED GAINS (LOSSES)			DIVIDEND INCOME		VALUE, END OF YEAR		SHARES, END OF YEAR
FlexShares® Morningstar Emerging Markets Factor Tilt Index Fund		$7,130		$1,426		$5,195		$(1,055	)		$(350	)		$152		$1,956		51,267
FlexShares® Morningstar Global Upstream Natural Resources Index Fund		4,573		1,884		2,199		(1,404	)		178			138		3,032		134,560
FlexShares® Morningstar US Market Factor Tilt Index Fund		15,829		13,390		2,296		(4,996	)		123			356		22,050		236,499
FlexShares® Quality Dividend Index Fund		6,866		3,017		417		(1,905	)		55			209		7,616		211,781
FlexShares® STOXX® Global Broad Infrastructure Index Fund		1,854		3,140		109		(712	)		14			94		4,187		96,907
Flexshares® US Quality Low Volatility Index Fund		–		2,702		33		(575	)		–			7		2,094		61,077
Northern Institutional Funds - U.S. Government Portfolio (Shares)		854		71,053		71,757		–			–			21		150		150,571
		$ 65,197		$ 124,725		$92,349		$(18,050	)		$ 105			$2,138		$ 79,628		2,007,586

10. INDEMNIFICATIONS AND WARRANTIES

In the ordinary course of its business, the Fund may enter into contracts or agreements that contain indemnifications or warranties. Future events could occur that lead to the execution of these provisions against the Fund. The maximum exposure to the Fund under these provisions is unknown, as this would involve future claims that have not yet occurred. However, the Fund has not had prior claims or losses pursuant to these contracts and believe the risk of loss to be remote.

11. LIBOR TRANSITION

Certain of the Funds’ investments, payment obligations and financing terms may be based on floating rates, such as LIBOR, Euro Interbank Offered Rate and other similar types of reference rates (each, a “Reference Rate”). On July 27, 2017, the Chief Executive of the UK Financial Conduct Authority (“FCA”), which regulates LIBOR, announced that the FCA will no longer persuade nor compel banks to submit rates for the calculation of LIBOR and certain other Reference Rates after 2021. Such announcement indicates that the continuation of LIBOR and other Reference Rates on the current basis cannot and will not be guaranteed after 2021. The transition away from Reference Rates may lead to increased volatility and illiquidity in markets that are tied to such Reference Rates and reduced values of Reference Rate-related instruments. This announcement and any additional regulatory or market changes that occur as a result of the transition away from Reference Rates may have an adverse impact on a Fund’s investments, performance or financial condition.

12. CORONAVIRUS (COVID-19) PANDEMIC

A recent outbreak of respiratory disease caused by a novel coronavirus was first detected in December 2019 and has spread internationally. The outbreak and efforts to contain its spread have resulted in closing borders and quarantines, restricting international and domestic travel, enhanced health screenings, cancelations, disrupted supply chains and customer activity, responses by businesses (including changes to operations and reducing staff), and have produced general concern and uncertainty. The impact of the coronavirus pandemic, and other epidemics and pandemics that may arise in the future could adversely affect national and global economies, individual companies and the market in general in a manner and for a period of time that cannot be foreseen at the present time and may adversely affect the value, volatility and liquidity of dividend and interest paying securities. In the event of a pandemic or an outbreak, there can be no assurance that the Fund (or the Underlying Funds) and its service providers will be able to maintain normal business operations for an extended period of time or will not lose the services of key personnel on a temporary or long-term basis due to illness or other reasons, and could otherwise disrupt the ability of the Fund’s (or an Underlying Fund’s) service providers to perform essential services. Certain economic and market conditions arising out of a pandemic or outbreak could result in a Fund’s (or an Underlying Fund’s) inability to achieve its investment objectives, cause the postponement of reconstitution or rebalance dates for benchmark indices, adversely affect the prices and liquidity of the securities and other instruments in which a Fund (or an Underlying Fund) invests, negatively impact a Fund’s (or an Underlying Fund’s) performance, and cause losses on your investment in a Fund. Management is monitoring the development of the pandemic, which was ongoing as of the date of the financial statements, and is evaluating its impact on the financial position and operating results of the Fund (or the Underlying Funds).

13. SUBSEQUENT EVENTS

Management has evaluated subsequent events for the Fund through the date the financial statements were issued, and has concluded that there are no recognized or non-recognized subsequent events relevant for financial statement disclosure.

GLOBAL TACTICAL ASSET ALLOCATION FUND 14 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees of Northern Funds:

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Global Tactical Asset Allocation Fund, a separate portfolio constituting the Northern Funds (the “Fund”), as of March 31, 2020, the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of March 31, 2020, and the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2020, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Chicago, Illinois

May 22, 2020

We have served as the auditor of one or more Northern Trust investment companies since 2002.

NORTHERN FUNDS ANNUAL REPORT 15 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

TAX INFORMATION MARCH 31, 2020 (UNAUDITED)

LONG-TERM CAPITAL GAIN — The Fund designated the below amount as long-term capital gains, pursuant to Section 852 of the Code, for the fiscal year ended March 31, 2020:

Amounts in thousands	LONG-TERM CAPITAL GAIN
Global Tactical Asset Allocation	$615

QUALIFIED DIVIDEND INCOME (QDI) — Under the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the “Act”), the following percentages of ordinary dividends paid during the fiscal year ended March 31, 2020, are designated as “qualified dividend income,” as defined in the Act, subject to reduced tax rates in 2019:

	QDI PERCENTAGE
Global Tactical Asset Allocation	48.01%

GLOBAL TACTICAL ASSET ALLOCATION FUND 16 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

LIQUIDITY RISK MANAGEMENT PROGRAM MARCH 31, 2020 (UNAUDITED)

The Fund has adopted and implemented a Liquidity Risk Management Program (the “Program”) as required by rule 22e-4 under the Investment Company Act of 1940. The Program seeks to assess, manage and review the Fund’s Liquidity Risk. “Liquidity Risk” is defined as the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interest in the Fund.

The Board has appointed Northern Trust Investments, Inc. (“NTI”), the investment adviser to the Fund, as the program administrator for the Program. NTI has delegated oversight of the Program to the Northern Trust Asset Management Credit & Liquidity Risk Committee (the “Committee”).

At a meeting held on November 13-14, 2019, the Board received and reviewed the annual written report of the Committee, on behalf of NTI (the “Report”), concerning the operation of the Program for the period from December 1, 2018 to September 30, 2019 (the “Reporting Period”). The Report addressed the operation of the Program and assessed its adequacy and effectiveness of implementation.

The Report summarized the operation of the Program and the information and factors considered by the Committee in reviewing the adequacy and effectiveness of the Program’s implementation with respect to the Fund. Such information and factors included, among other things: (i) the liquidity risk framework used to assess, manage, and periodically review the Fund’s liquidity risk and the results of this assessment; (ii) the methodology and inputs used to classify the liquidity of the Fund’s portfolio investments and the Committee’s assessment that the Fund’s strategy is appropriate for an open-end mutual fund; (iii) that the Fund held primarily highly liquid assets (investments that the Fund anticipates can be converted to cash within 3 business days or less in current market conditions without significantly changing their market value); (iv) that the Fund did not require the establishment of a highly liquid investment minimum and the methodology for that determination; (v) confirmation that the Fund did not breach the 15% maximum illiquid security threshold (investments that cannot be sold or disposed of in seven days or less in current market conditions without the sale of the investment significantly changing the market value of the investment) and the procedures for monitoring compliance with the limit; and (vi) historical information regarding redemptions and shareholder concentration in the Fund. The Report also summarized the changes made to the Program over the course of the year.

Based on the review, the Report concluded that the Program was being effectively implemented and that the Program was reasonably designed to assess and manage the Fund’s liquidity risk.

There can be no assurance that the Program will achieve its objectives under all circumstances in the future. Please refer to your Fund’s prospectus for more information regarding the Fund’s exposure to liquidity risk and other risks to which it may be subject.

NORTHERN FUNDS ANNUAL REPORT 17 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

FUND EXPENSES MARCH 31, 2020 (UNAUDITED)

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

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, October 1, 2019 through March 31, 2020.

ACTUAL EXPENSES

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid 10/1/2019 - 3/31/2020 to estimate the expenses you paid on your account during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line in the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratios and an assumed rate of return of 5 percent 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 percent hypothetical example with the 5 percent 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 transaction costs, such as sales charges (loads), redemption fees, or exchange fees, but shareholders of other funds may incur such costs. If these fees were included, your costs would have been higher. The information also does not reflect reimbursements on advisory fees incurred in connection with the investment of univested cash in affiliated money market funds (See page 12) which may result in different expense ratios in the Financial Highlights. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

GLOBAL TACTICAL ASSET ALLOCATION

SHARES	EXPENSE RATIO			BEGINNING ACCOUNT VALUE 10/1/2019		ENDING ACCOUNT VALUE 3/31/2020		EXPENSES PAID* 10/1/2019- 3/31/2020
Actual		0.26	%	$	1,000.00	$	876.60	$	1.22
Hypothetical		0.26	%	$	1,000.00	$	1,023.70	$	1.32

* Expenses are calculated using the Fund’s annualized expense ratios, which represent ongoing expenses as a percentage of net assets for the six months ended March 31, 2020. Expenses are equal to the Fund’s annualized expense ratio multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period).

GLOBAL TACTICAL ASSET ALLOCATION FUND 18 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

TRUSTEES AND OFFICERS MARCH 31, 2020 (UNAUDITED)

Set forth below is information about the Trustees and Officers of Northern Funds. Each Trustee has served in that capacity since he or she was originally elected or appointed to the Board of Trustees. Each Trustee oversees a total of 50 portfolios in the Northern Funds Complex—Northern Funds offers 43 portfolios and Northern Institutional Funds consists of 7 portfolios. The Northern Funds’ Statement of Additional Information contains additional information about the Trustees and is available upon request and without charge by calling 800-595-9111.

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1) , POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Therese M. Bobek Age: 59 Trustee since 2019	•  Adjunct Lecturer in the Masters of Accountancy Program, University of Iowa Tippie College of Business since 2018; •  Retired Assurance Partner, PricewaterhouseCoopers LLP from 1997 to 2018.	•  Methode Electronics, Inc.
Ingrid LaMae A. de Jongh Age: 54 Trustee since 2019	•  Head of School Management and Technology, Success Academy Charter Schools since 2016; •  Member of the Board of Directors of Bank Leumi USA since 2016; •  Partner in Accenture (global management consulting and professional services firm) from 1987 to 2012; •  Member of the Board of Directors, Member of Nominating and Governance and Compensating Committees of Carver Bancorp from 2014 to 2018.	•  None
Mark G. Doll Age: 70 Trustee since 2013	•  Member of the State of Wisconsin Investment Board since 2015; •  Executive Vice President and Chief Investment Officer, Northwestern Mutual Life Insurance Company from 2008 to 2012; •  Senior Vice President—Public Markets, Northwestern Mutual Life Insurance Company from 2002 to 2008; •  President, Northwestern Mutual Series Fund, Mason Street Advisors and Mason Street Funds from 2002 to 2008; •  Chairman, Archdiocese of Milwaukee Finance Council from 2005 to 2015; •  Member of Investment Committee of Greater Milwaukee Foundation from 2003 to 2015.	•  None
Thomas A. Kloet Age: 61 Trustee since 2015 and Chairperson since January 1, 2020	•  Chair of Boards of The NASDAQ Stock Market LLC, NASDAQ PHLX LLC and NASDAQ BX, Inc. since 2016; •  Executive Director and Chief Executive Officer, TMX Group, Ltd. (financial services company and operator of stock, derivatives exchanges, their clearing operations and securities depository) from 2008 to 2014.	•  Nasdaq, Inc.
David R. Martin Age: 63 Trustee since 2017	•  Chief Financial Officer, Neo Tech (an electronics manufacturer) since June 2019; •  Adjunct professor, University of Texas, McCombs School of Business since 2017; •  Vice President, Chief Financial Officer and Treasurer of Dimensional Fund Advisors LP (an investment manager) from 2007 to 2016; •  Executive Vice President, Finance and Chief Financial Officer of Janus Capital Group Inc. (an investment manager) from 2005 to 2007; •  Senior Vice President, Finance of Charles Schwab & Co., Inc. (an investment banking and securities brokerage firm) from 1999 to 2005.	•  None
Cynthia R. Plouché Age: 63 Trustee since 2014	•  Assessor, Moraine Township, Illinois from January 2014 to June 2018; •  Trustee of AXA Premier VIP Trust (registered investment company—34 portfolios) from 2001 to May 2017; •  Senior Portfolio Manager and member of Investment Policy Committee, Williams Capital Management, LLC from 2006 to 2012; •  Managing Director and Chief Investment Officer of Blaylock-Abacus Asset Management, Inc. from June 2003 to 2006; •  Founder, Chief Investment Officer and Managing Director of Abacus Financial Group from 1991 to 2003, (a manager of fixed income portfolios for institutional clients).	•  Barings Funds Trust (registered investment company—8 portfolios); Barings Global Short Duration High Yield Fund (closed-end investment company advised by Barings LLC)

NORTHERN FUNDS ANNUAL REPORT 19 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

TRUSTEES AND OFFICERS continued

NON-INTERESTED TRUSTEES
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Mary Jacobs Skinner, Esq. Age: 62 Trustee since 1998	•  Executive Committee member and Chair, Public Policy Committee, Ann & Robert H. Lurie Children’s Hospital since 2016; •  Director, Pathways Awareness Foundation since 2000; •  Harvard Advanced Leadership Fellow—2016; •  Retired in 2015 as partner in the law firm of Sidley Austin LLP; •  Director, Chicago Area Foundation for Legal Services from 1995 to 2013.	•  None
INTERESTED TRUSTEE
NAME, AGE, ADDRESS(1), POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE AS TRUSTEE(2)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS	OTHER DIRECTORSHIPS HELD BY TRUSTEE(3)
Darek Wojnar(4) Age: 54 Trustee since 2019	•  Director and Executive Vice President, Head of Funds and Managed Accounts Group at Northern Trust Investments, Inc. since 2018; •  Head of Exchange Traded Funds at Hartford Funds from 2014 to 2017; •  Managing Director at Lattice Strategies, LLC from 2014 to 2016, acquired by Hartford Funds in 2016; •  Managing Director, Head of US iShares Product at BlackRock from 2005 to 2013, including Barclay Global Investors, acquired by BlackRock in 2009; •  Managing Member, Wojnar Group LLC, which offers consulting services within the publishing industry, since 2013.	•  FlexShares Trust (registered investment company—29 portfolios)

(1) Each Trustee may be contacted by writing to the Trustee, c/o Diana E. McCarthy, Faegre Drinker Biddle & Reath LLP, One Logan Square, Suite 2000, Philadelphia, PA 19103-6996.

(2) Each Trustee will hold office for an indefinite term until the earliest of: (i) the next meeting of shareholders, if any, called for the purpose of considering the election or re-election of such Trustee and until the election and qualification of his or her successor, if any, elected at such meeting; (ii) the date a Trustee resigns or retires, or a Trustee is removed by the Board of Trustees or shareholders, in accordance with the Trust’s Agreement and Declaration of Trust; or (iii) in accordance with the current resolutions of the Board of Trustees (which may be changed without shareholder vote) on the earlier of the completion of 15 years of service on the Board and the last day of the calendar year in which he or she attains the age of seventy-five years. The 15-year service limit does not apply to the service of Trustees of the Trust who began serving on the Board prior to July 1, 2016.

(3) This column includes only directorships of companies required to report to the SEC under the Securities Exchange Act of 1934, as amended (i.e., public companies) or other investment companies registered under the Investment Company Act of 1940, as amended (the “1940 Act” ).

(4) An “interested person,” as defined by the 1940 Act. Mr. Wojnar is an “interested” Trustee because he is an officer, director, employee, and a shareholder of Northern Trust Corporation and/or its affiliates.

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Peter K. Ewing Age: 61 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 President since 2017	Director of Product Management, ETFs and Mutual Funds, Northern Trust Investments, Inc. since 2017; Director of Northern Trust Investments, Inc. since 2017; Director of ETF Product Management, Northern Trust Investments, Inc. from 2010 to 2017; Senior Vice President of The Northern Trust Company and Northern Trust Investments, Inc. since 2010; President of FlexShares Trust since 2017; Vice President of FlexShares Trust from 2011 to 2017.

GLOBAL TACTICAL ASSET ALLOCATION FUND 20 NORTHERN FUNDS ANNUAL REPORT

GLOBAL TACTICAL ASSET ALLOCATION FUND

MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Kevin P. O’Rourke Age: 48 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since 2015	Senior Vice President of Northern Trust Investments, Inc. since 2014; Vice President of Northern Trust Investments, Inc. from 2009 to 2014.
Jack P. Huntington Age: 49 Foreside Fund Officer Services, LLC 10 High Street, Suite 302 Boston, Massachusetts 02110 Acting Chief Compliance Officer since September 2019	Fund Chief Compliance Officer, Foreside Fund Officer Services, LLC (since 2015); Senior Vice President of Regulatory Administration, Citi Fund Services Ohio, Inc. (2008 to 2015).
Darlene Chappell Age: 57 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Anti-Money Laundering Compliance Officer since 2009	Anti-Money Laundering Compliance Officer for Northern Trust Investments, Inc., Northern Trust Securities, Inc. and Alpha Core Strategies Fund since 2009; Anti-Money Laundering Compliance Officer for 50 South Capital Advisors, LLC since 2015, FlexShares Trust since 2011 and Belvedere Advisors LLC since September 2019; Anti-Money Laundering Compliance Officer for Equity Long/Short Opportunities Fund from 2011 to 2019; Vice President and Compliance Consultant for The Northern Trust Company since 2006; Anti-Money Laundering Compliance Officer for The Northern Trust Company of Connecticut from 2009 to 2013 and Northern Trust Global Advisors, Inc. from 2009 to 2011.
Randal E. Rein Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Treasurer since 2008	Senior Vice President of Northern Trust Investments, Inc. since 2010; Treasurer and Principal Financial Officer of FlexShares Trust since 2011; Treasurer of Alpha Core Strategies Fund from 2008 to 2018; Treasurer of Equity Long/Short Opportunities Fund from 2011 to 2018.
Michael J. Pryszcz Age: 52 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Accounting of The Northern Trust Company since 2010.
Richard N. Crabill Age: 51 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2008	Senior Vice President of Fund Administration of The Northern Trust Company since 2011; Vice President of Fund Administration of The Northern Trust Company from 2005 to 2011.

NORTHERN FUNDS ANNUAL REPORT 21 GLOBAL TACTICAL ASSET ALLOCATION FUND

GLOBAL TACTICAL ASSET ALLOCATION FUND

TRUSTEES AND OFFICERS continued MARCH 31, 2020 (UNAUDITED)

OFFICERS OF THE TRUST
NAME, AGE, ADDRESS, POSITIONS HELD WITH TRUST AND LENGTH OF SERVICE(1)	PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS
Michael G. Meehan Age: 49 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2011	Senior Vice President of Northern Trust Investments, Inc. since 2016; Vice President of Northern Trust Investments, Inc. from 2011 to 2016; Assistant Treasurer of Alpha Core Strategies Fund and Equity Long/Short Opportunities Fund from 2011 to 2018.
John P. Gennovario Age: 59 Northern Trust Investments, Inc. 50 South LaSalle Street Chicago, Illinois 60603 Vice President since August 2019	Vice President of Northern Trust Investments, Inc. since August 2019; Management Consultant, Principal Funds from September 2018 to April 2019; Financial Reporting Manager Consultant, BNY Mellon from December 2016 to June 2018; Vice President, Fund Accounting Unit Manager, U.S. Bancorp Fund Services and Accounting Manager, State Street Global Services from January 2016 to August 2016; Assistant Treasurer, Forward Management LLC from July 2010 to March 2013.
Gregory A. Chidsey Age: 50 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Treasurer since 2013	Senior Vice President of Financial Reporting of The Northern Trust Company since 2010.
Craig R. Carberry, Esq. Age: 59 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Chief Legal Officer since August 2019	Chief Legal Officer and Secretary of Northern Trust Investments, Inc. since May 2000; Chief Compliance Officer of Northern Trust Investments, Inc. from October 2015 to June 2017; Chief Legal Officer and Secretary of Belvedere Advisers LLC since September 2019; Chief Legal Officer and Secretary of 50 South Capital Advisors, LLC since 2015; Associate General Counsel and Senior Vice President at The Northern Trust Company since June 2015; Assistant General Counsel and U.S. Funds General Counsel at The Northern Trust Company from July 2014 to June 2015; Senior Legal Counsel and U.S. Funds General Counsel at The Northern Trust Company from 2000-2014; Secretary of Alpha Core Strategies Fund (formerly NT Alpha Strategies Fund) since 2004; Secretary of Equity Long/Short Opportunities Fund (formerly NT Equity Long/Short Strategies Fund) from 2011 to 2019; Secretary of Northern Institutional Funds and Northern Funds from 2010-2018; Secretary of FlexShares Trust from 2011-2018.
Jose J. Del Real, Esq. Age: 42 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Secretary since 2018	Senior Legal Counsel and Senior Vice President of The Northern Trust Company since 2017; Senior Legal Counsel and Vice President of The Northern Trust Company from 2015 to 2017; Assistant Secretary of Northern Trust Investments, Inc. since 2016; Legal Counsel and Vice President of The Northern Trust Company from 2014 to 2015; Assistant Secretary of Northern Funds and Northern Institutional Funds from 2011 to 2014 and from 2015 to 2018; Assistant Secretary of FlexShares Trust from 2015 to 2018; Secretary of FlexShares Trust since 2018.
Angela R. Burke, Esq. Age: 37 The Northern Trust Company 50 South LaSalle Street Chicago, Illinois 60603 Assistant Secretary since 2018	Vice President of The Northern Trust Company since 2016; Attorney of Jackson National Asset Management, LLC and Assistant Secretary of Jackson Variable Series Trust from 2013 to 2015.

(1) Each Officer serves until his or her resignation, removal, retirement or election of his or her successor. Each officer also holds the same office with Northern Institutional Funds.

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GLOBAL TACTICAL ASSET ALLOCATION FUND

BENCHMARK INFORMATION

Asset Allocation Blended Index (Blended Index) consists of 60% MSCI All Country World Index and 40% Bloomberg Barclays U.S. Aggregate Bond Index.

The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities.

MSCI All Country World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets.

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GLOBAL TACTICAL ASSET ALLOCATION FUND

INVESTMENT CONSIDERATIONS

GLOBAL TACTICAL ASSET ALLOCATION FUND

Because the Fund invests in a combination of underlying mutual funds and exchange-traded funds (“ETFs”, and together with the underlying mutual funds, the “Underlying Funds”), the risks described below are in reference to the Underlying Funds, and to the extent that the Fund invests directly in securities and other instruments, the risks described below are also directly applicable to the Fund.

Asset Allocation Risk: The selection by the Fund’s portfolio manager of Underlying Funds and the allocation of the Fund’s assets among the various asset classes and market segments may cause the Fund to underperform other funds with similar investment objectives.

Emerging Markets Risk: Markets of emerging market countries are less developed and less liquid, subject to greater price volatility and generally subject to increased economic, political, regulatory and other uncertainties than more developed markets.

Foreign Securities Risk: Investing in foreign (non-U.S.) securities may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies, due to less liquid markets and adverse economic, political, diplomatic, financial and regulatory factors. Foreign governments may also impose limits on investment and repatriation and impose taxes. Any of these events could cause the value of the Fund’s investments to decline. To the extent that an Underlying Fund’s assets are concentrated in a single country or geographic region, the Fund will be subject to the risks associated with that particular country or region.

High-Yield Risk: Non-investment grade fixed-income securities, sometimes known as “junk bonds,” will be subject to greater credit risk, price volatility and risk of loss than investment grade securities, which can adversely impact the Fund’s return and net asset value (“NAV”). High yield securities are considered highly speculative and are subject to the increased risk of an issuer’s inability to make principal and interest payments.

Interest Rate/Maturity Risk: Securities with longer maturities tend to be more sensitive to changes in interest rates, causing them to be more volatile than securities with shorter maturities. Securities with shorter maturities tend to provide lower returns and be less volatile than securities with longer maturities. Changing interest rates may have unpredictable effects on the markets and an Underlying Fund’s or the Fund’s investments. A low or declining interest rate environment poses risks to the Fund’s performance, including the risk that proceeds from prepaid or maturing instruments may have to be reinvested at a lower interest rate. Fluctuations in interest rates may also affect the liquidity of fixed income securities and instruments held by the Underlying Funds or the Fund.

Large Cap Risk: Large-capitalization stocks as a group could fall out of favor with the market, causing the fund to underperform investments that focus solely on small- or medium-capitalization stocks.

Market Risk: The value of securities owned by the Fund may decline, at times sharply and unpredictably, because of economic changes or other events, including but not limited to local or regional events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions or other events or adverse investor sentiment, that affect individual issuers or large portions of the market.

Mid Cap Risk: Stocks of mid-sized companies may be subject to more abrupt or erratic market movements than stocks of larger, more established companies. Mid-sized companies may have more limited product lines or financial resources, and may be dependent on a particular niche in the market.

Real Estate Risk: Investments in real estate trusts (“REITs”) and securities of real estate companies will make the Fund more susceptible to risks associated with the ownership of real estate and with the real estate industry in general. These risks include possible declines in the value of real estate, possible lack of mortgage funds and unexpected vacancies of properties, increases in property taxes and fluctuations in interest rates. REITs that invest in real estate mortgages are also subject to prepayment risks. REITs and real estate companies may be less diversified than other pools of securities, may have lower trading volumes and may be subject to more abrupt or erratic price movements than the overall securities markets.

Small Cap Risk: The stocks of smaller companies may be subject to more abrupt, erratic market movements than stocks of larger, more established companies. Small companies may have limited product lines or financial resources, may be dependent on a small or inexperienced management group, and their securities may trade less frequently and in lower volume than the securities of larger companies, which could lead to higher transaction costs. Generally, the smaller the company size, the greater the risk.

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GLOBAL TACTICAL ASSET ALLOCATION FUND

Underlying Fund Risk: The Fund’s investment performance and its ability to achieve its investment objective are directly tied to the performance of the Underlying Funds in which it invests. There can be no assurance that the Underlying Funds will achieve their respective investment objectives. The Fund is subject to the risks of the Underlying Funds in direct proportion to the allocation of its assets among the Underlying Funds.

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FOR MORE INFORMATION

PORTFOLIO HOLDINGS

Northern Funds files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT (and its predecessor form, Form N-Q) are available on the SEC’s web site at www.sec.gov.

PROXY VOTING

Northern Funds’ Proxy Voting Policies and Procedures and each Fund’s portfolio securities voting record for the 12-month period ended June 30 are available upon request and without charge by visiting Northern Funds’ web site at northerntrust.com/funds or the SEC’s web site at www.sec.gov or by calling the Northern Funds Center at 800-595-9111.

GLOBAL TACTICAL ASSET ALLOCATION FUND 28 NORTHERN FUNDS ANNUAL REPORT

Item 2. Code of Ethics.

(a) The registrant has adopted a code of ethics that applies to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party (the “Code of Ethics”).

(c) The registrant has amended its Code of Ethics during the period covered by this report in order to insert a new section on the administration of the Code of Ethics and make certain updates to the reporting and accountability section, as well as other non-substantive amendments.

(d) The registrant has not granted any waivers, including an implicit waiver, from any provisions of its Code of Ethics during the period covered by this report.

Item 3. Audit Committee Financial Expert.

The registrant’s Board of Trustees has determined that the registrant has at least one “audit committee financial expert” (as defined in Item 3 of Form N-CSR), serving on its audit committee. David R. Martin is the “audit committee financial expert” and is “independent” (as each term is defined in Item 3 of Form N-CSR).

Under applicable securities laws and regulations, a person who is determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for purposes of Section 11 of the Securities Act of 1933, as amended, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liability that are greater than the duties, obligations, and liability imposed on such person as a member of the registrant’s Audit Committee and Board of Trustees in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert does not affect the duties, obligations or liability of any other member of the registrant’s Audit Committee or Board of Trustees.

Item 4. Principal Accountant Fees and Services.

Items 4(a) – 4(d): Audit, Audit-Related, Tax and All Other Fees

Fees for the fiscal year ended March 31, 2020 were billed by the principal accountant related to the registrant. The principal accountant billed the registrant aggregate fees for services rendered to the registrant for the fiscal years ended March 31, 2020 and March 31, 2019, respectively, as follows:

	2020			2019
	All fees and services to the Trust that were pre-approved	All fees and services to service affiliates that were pre-approved	All other fees and services to service affiliates that did not require pre-approval	All fees and services to the Trust that were pre-approved	All fees and services to service affiliates that were pre-approved	All other fees and services to service affiliates that did not require pre-approval
(a) Audit Fees	$808,780	$0	$4,120,370(3)	$793,780	$0	$3,370,000(3)
(b) Audit-Related Fees	$150,500(1)	$0	$21,685(4)	$150,500(1)	$0	$74,400(4)
(c) Tax Fees	$134,590(2)	$0	$3,794,790(5)	$137,720(2)	$0	$3,885,000(5)
(d) All Other Fees	$0	$0	$12,799(6)	$0	$0	$832,000(6)

(1) Amount relates to 17f-2 procedures.

(2) Amounts relate to excise tax return review and RIC tax return review.

(3) Amounts relate to audit fees on The Northern Trust Company sponsored funds.

(4) Amounts relate to performance examination services performed for Northern Trust Global Investments Limited, agreed upon procedures for The Northern Trust Company, and other attestation engagements.

(5) Amounts relate to international tax compliance and consulting, fund tax return reviews, and general tax consultations for The Northern Trust Company.

(6) Amounts relate to Resolution Plan Mapping, Data Analytics Strategy, and other consulting services.

“Service affiliates” as it relates to the aggregate “Audit Fees,” “Audit-Related Fees,” “Tax Fees” and “All Other Fees” that were billed by the principal accountant for the fiscal years ended March 31, 2020 and March 31, 2019, respectively, are Northern Trust Investments, Inc. (“NTI”) and entities controlling, controlled by or under common control with NTI that provide ongoing

services to the registrant for assurance and related services that relate directly to the operations and financial reporting of the registrant. “Audit-Related Fees” are fees that are reasonably related to the performance of the audit or review of the registrant’s financial statements, but are not reported as “Audit Fees.” “Tax Fees” are fees for professional services rendered by the principal accountant for tax compliance, tax advice and tax planning. “All Other Fees” are for products and services provided by the principal accountant other than those reported as Audit, Audit-Related or Tax Fees.

Item 4(e)(1): Pre-Approval Policies and Procedures

Pursuant to the Northern Funds’ Amended and Restated Audit Committee Charter adopted on August 3, 2006, as amended, to the extent required by applicable regulations, all audit and non-audit services provided by the independent registered public accountants shall either be: (a) pre-approved by the Audit Committee as a whole; or (b) between meetings of the Audit Committee by either the Chairman of the Audit Committee, the designated Audit Committee Financial Expert (if any), or another member of the Audit Committee, provided that, in each case, such pre-approvals must be reported to the full Audit Committee at its next meeting.

Item 4(e)(2): Percentage of Fees Pre-Approved Pursuant to Waiver Provision of Paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X

No percentage of the principal accountant’s fees or services were approved pursuant to the waiver provision of paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

Item 4(f): Work Performed by Persons Other than the Principal Accountant

Not applicable.

Item 4(g): Aggregate Non-Audit Fees Disclosure

The aggregate non-audit fees and services billed by the principal accountant for services rendered to the registrant and service affiliates for the last two fiscal years were $4,114,364 and $5,079,620 for 2020 and 2019, respectively.

Item 4(h): Non-Audit Services and Independent Accountant’s Independence

The Northern Funds’ Audit Committee has considered whether the provision of non-audit services to service affiliates, not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, is compatible with maintaining the registered public accountant’s independence in performing audit services.

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Investments.

(a) The registrant has elected to include the schedule of investments in securities of unaffiliated issuers as part of the reports to shareholders filed under Item 1 of this report on Form N-CSR.

(b) Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees.

Item 11. Controls and Procedures.

(a) The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “1940 Act”)) are effective, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 as of a date within 90 days of the filing date of this report.

(b) There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

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

Not Applicable.

Item 13. Exhibits.

(a)(1)  Exhibit 99.CODE: Code of Ethics pursuant to Item 2 of Form N-CSR.

(a)(2)  Exhibit 99.CERT: Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

(a)(3)  Not Applicable.

(a)(4)  There has been no change to the registrant’s independent public accountant during the reporting period.

(b)       Exhibit 99.906 CERT: Certifications pursuant to Section  906 of the Sarbanes-Oxley Act of 2002.

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.

Northern Funds
By	/s/ Peter K. Ewing
	Peter K. Ewing, President
	(Principal Executive Officer)
Date:	June 5, 2020

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By	/s/ Peter K. Ewing
	Peter K. Ewing, President
	(Principal Executive Officer)
Date:	June 5, 2020

By	/s/ Randal E. Rein
	Randal E. Rein, Treasurer
	(Principal Financial and Accounting Officer)
Date:	June 5, 2020