-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Hh1J9g2PVYxqcTDUE+VMVrjO9YwzpPsq8WAfIe0N3CMM6FbrSheB7rLOyQuvxcTA 5rsdPBGQXzvMMefAMfaTkQ== 0000898531-10-000756.txt : 20101108 0000898531-10-000756.hdr.sgml : 20101108 20101108152617 ACCESSION NUMBER: 0000898531-10-000756 CONFORMED SUBMISSION TYPE: N-CSRS PUBLIC DOCUMENT COUNT: 5 CONFORMED PERIOD OF REPORT: 20100831 FILED AS OF DATE: 20101108 DATE AS OF CHANGE: 20101108 EFFECTIVENESS DATE: 20101108 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ADVISORS SERIES TRUST CENTRAL INDEX KEY: 0001027596 IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: N-CSRS SEC ACT: 1940 Act SEC FILE NUMBER: 811-07959 FILM NUMBER: 101172151 BUSINESS ADDRESS: STREET 1: U.S BANCORP FUND SERVICES, LLC STREET 2: 615 E MICHIGAN STREET CITY: MILWAUKEE STATE: WI ZIP: 53202 BUSINESS PHONE: 414-765-5340 MAIL ADDRESS: STREET 1: 615 E MICHIGAN STREET STREET 2: MK-WI-LC2 CITY: MILWAUKEE STATE: WI ZIP: 53202 0001027596 S000028018 Niemann Tactical Return Fund C000085232 Class A NCMTX C000085233 Class C NCMCX N-CSRS 1 ntrf-ncsrs.htm NIEMANN TACTICAL RETURN FUND SEMIANNUAL 08-31-10 ntrf-ncsrs.htm

 
 


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  811-07959



Advisors Series Trust
(Exact name of registrant as specified in charter)



615 East Michigan Street
Milwaukee, WI 53202
(Address of principal executive offices) (Zip code)


Douglas G. Hess, President
Advisors Series Trust
c/o U.S. Bancorp Fund Services, LLC
777 East Wisconsin Avenue, 5th Floor
Milwaukee, WI 53202
(Name and address of agent for service)



(414) 765-6609
Registrant's telephone number, including area code



Date of fiscal year end: February 28, 2011



Date of reporting period:  August 31, 2010

 


 
 
 

 
Item 1. Reports to Stockholders.

NIEMANN TACTICAL
RETURN FUND
 
The Fund is a series of Advisors Series Trust.
 

 
www.ncmfunds.net
 

 

 
SEMI-ANNUAL REPORT
 
August 31, 2010
 

 
 

 
Niemann Tactical Return Fund
 
 
Semi-Annual Review
 
Over the past six months the markets have been mainly characterized by a wide trading range that has made life difficult for equity investors in general and trend-following, tactical strategies in particular.  While we pride ourselves on our ability to manage risk, no process is infallible and all “systematic approaches” to the market’s ups and downs are, in fact, a series of compromises.  To achieve a stated objective, certain sacrifices may need to be made along the way.  In short, all methodologies have drawbacks and underperform under certain market conditions.  In challenging markets like these, our process has uncovered much risk, with little potential reward. And as a result of managing risk to the best of our ability, there has been a lack of reward in the Fund over its first few months.
 
One of the main factors leading to the slight underperformance compared with our blended benchmark (the “Blended Index”), consisting of one-third of the MSCI EAFE Index, one-third of the Barclays Capital Global Aggregate Bond Index and one-third of the Russell 3000® Index, was the intermediate trend rally in bonds that outperformed the equity markets by an extremely wide margin.  In fact since inception, March 29, 2010 through August 31, 2010, bonds, as measured by the Barclays Capital Global Aggregate Bond Index, returned 5.00% vs. the Russell 3000® Index return of -9.92% and the MSCI EAFE Index return of -8.52%.  This compares with our F und’s Class A share performance since inception, of -6.70%.  With our methodology, we never try to pick market lows or (market tops for that matter) and this led us to be underexposed to the bond market at the inception of the Fund.
 
The other large factor that has led to this slight underperformance has been the historically high correlation in the equity markets, which has made it difficult to ascertain both market leaders and shifts in market direction.  In retrospect, the “Flash Crash” that occurred on May 6th was a good gauge of what the market was doing and thinking.  The market (defined as the S&P 500® for this discussion) pierced both short- and longer-term moving averages and key technical metrics imploded.  The market’s correlation shot through the roof and all sectors fell in unison as nervous investors yanked their money out of stocks.  Within half an hour on the same day, the market snapped back up violently—almost erasing its 10% loss as traders (and their systems) sensed opportunity.  Even though this action occurred over the course of just one day, May 6th, it proved indicative of what was to come, as the market struggled to price in the possibility of a double-dip recession, the impact of midterm elections, and potentially debilitating policy and tax issues.  Correlation levels were off the charts—other than autumn of 2008, correlation among stocks reached the highest levels seen in decades.  In fact, we saw more days where 90% of stocks move up or down in tandem than we’ve seen in years.  These conditions are rare and their frequency of late was indicative of A) a market that’s gripped by uncertainty about governmental policies, and B) one that’s heavily influenced by the liquidity trade.  Even the smart money is handicapping the perceived “uncertainty” of the future by placing smaller, short-term bets.
 
The past 3 months have not been easy on tactical strategies and ours has been no exception.  There are times that favor certain investment disciplines and unfortunately there are those times where those same disciplines are out of favor.  In our view, one key
 

 
2

 
to long-term investing success is not only employing a methodology that actually works but having the discipline to follow that system during the times when it doesn’t.  In terms of our decision making and our strict adherence to our process, we’re doing the same things we’ve always done, for the same reasons.  However, our decision to pare back risk at various points throughout this rally has not proven successful.  Seeking to attain a balance between risk and reward is a huge part of both our daily process and the efficacy of our track record.  In accordance with our methodology, when price action and money flow deteriorate and risk becomes elevated, we’re going to get defensive in the portfolio.  Conversely, when the price structure is positive and intern als appear healthy we will rotate assets back into the market.
 
The good news is that even in this worst of market environments for our methodology our returns, while negative, have underperformed their Blended Index benchmark by only -2.20% since inception, compared with the Class A performance.  The big contributor to keeping the Fund close to its benchmark has been the over weighted exposure to international equity markets rather than domestic ones.  In fact, we increased the exposure to select international markets quickly as our analytics picked up on these strong moves to the upside in timely fashion and we continue to hold securities in varied places around the globe such as Chile, Thailand, Indonesia, and Columbia among others.
 
Recently, the U.S. market has again pushed just through the top of the well-established, previously mentioned trading range and could possibly be setting up for further upside gains.  Time will tell.  What we do know is that opportunity will knock on our door eventually and by following our time-tested, disciplined methodology, we believe the Fund should be ready to take full advantage.
 
 
Past performance is not a guarantee of future results.
 
The opinions expressed above are those of the advisor, are subject to change, and should not be considered investment advice.
 
Must be preceded or accompanied by a prospectus.
 
Mutual fund investing involves risk.  Principal loss is possible.  Investments in foreign securities involve greater volatility and political, economic and currency risks and differences in accounting methods.  These risks are greater for investments in emerging markets.  Investments in smaller companies involve additional risks such as limited liquidity and greater volatility.  The Fund is non-diversified, meaning it may concentrate its assets in fewer individual holdings than a diversified fund.  Therefore, the Fund is more exposed to individual stock volatility than a diversified fund. Investments in debt securities typically decrease in value when interest rates rise.  This risk is usually greater for longer-term debt securities.  Inv estments in lower-rated and non-rated securities presents a greater risk of loss to principal and interest than higher-rated securities.
 
The Fund will bear its share of the fees and expenses of underlying funds.  Shareholders will pay higher expenses than would be the case if making direct investments in underlying funds.  Investments in exchange-traded funds (“ETFs”) are subject to additional risks that do not apply to conventional mutual funds, including the risks that the market price of an ETF’s shares may trade at a discount to its net asset value (“NAV”), an active secondary trading market may not develop or be maintained, or trading may be halted by the exchange in which they trade, which may impact a Fund’s ability to sell its shares.
 
A correlation coefficient is a measure of the interdependence of two random variables that ranges in value from -1 to +1, indicating perfect negative correlation at -1, absence of correlation at zero, and perfect positive correlation at +1.
 
The S&P 500® Index is a broad based unmanaged index of 500 stocks, which is widely recognized as representative of the equity market in general.
 

 
3

 
 
The MSCI EAFE (Morgan Stanley Capital International, Europe, Australia and Far East) Index is an unmanaged index of over 1,000 foreign common stock prices including the reinvestment of dividends. It is widely recognized as a benchmark for measuring the performance of international value funds.
 
The Russell 3000® Index measures the performance of the largest 3,000 U.S. companies representing approximately 98% of the investable U.S. equity market.
 
The Barclays Capital Global Aggregate Bond Index provides a broad-based measure of the global investment grade fixed-rate debt markets.
 
The Blended Index consists of one-third of the MSCI EAFE Index, one-third of the Barclays Capital Global Aggregate Bond Index and one-third of the Russell 3000® Index.
 
You cannot invest directly in an index.
 
The Niemann Tactical Return Fund is distributed by Quasar Distributors, LLC.
 

 
4

 
 
NIEMANN TACTICAL RETURN FUND


EXPENSE EXAMPLE – August 31, 2010 (Unaudited)

 
     As a shareholder of a mutual fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, redemption fees, and exchange fees, and (2) ongoing costs, including management fees, distribution and/or service fees, and other fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Niemann Tactical Return Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (3/29/10 – 8/31/10).
 
Actual Expenses
 
The first line of the tables below provides information about actual account values and actual expenses, with actual net expenses being limited to 1.75% and 2.50% per the advisory agreement for the Niemann Tactical Return Fund – Class A shares and the Niemann Tactical Return Fund – Class C shares, respectively.  You will be assessed fees for outgoing wire transfers, returned checks, and stop payment orders at prevailing rates charged by U.S. Bancorp Fund Services, LLC, the Fund’s transfer agent.  To the extent the Fund invests in shares of other investment companies as part of its investment strategy, you will indirectly bear your proportionate share of any fees and expenses charged by the underlying funds in which the Fund invests in addition to the expenses of the Fund.  Actual expenses of the underlying funds are expected to vary among the various underlying funds.  These expenses are not included in the example below.  The example below includes, but is not limited to, management fees, 12b-1 fees, fund accounting, custody and transfer agent fees.  You may use the information in the first line, together with the amount you invested, to estimate the expenses that you paid over the period.  Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period’’ to estimate the expenses you paid on your account during this period.
 
Hypothetical Example for Comparison Purposes
 
The second line of the tables 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% per year before expenses, which is different from the Fund’s actual returns.  The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period.  You may use this information to compare the ongoing costs of investing in the Fund and other funds.  To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.  Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction cost s, such as sales charges (loads), redemption fees, or exchange fees.  Therefore, the second line of the tables is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.
 

 
5

 
 
 
NIEMANN TACTICAL RETURN FUND

EXPENSE EXAMPLE – August 31, 2010 (Unaudited), Continued


 
Beginning
Ending
  Expenses Paid
 
Account Value
Account Value
  During Period
 
3/29/10
8/31/10
  3/29/10 – 8/31/10*
Class A Shares
     
Actual
$1,000.00
$   933.00
$  7.23
Hypothetical (5% return
$1,000.00
$1,013.89
$  7.53
  before expenses)
     
Class C Shares
     
Actual
$1,000.00
$   931.00
$10.32
Hypothetical (5% return
$1,000.00
$1,010.68
$10.74
  before expenses)
     
 
*
Expenses are equal to the Fund’s annualized expense ratios, multiplied by the average account values over the period, multiplied by 156 (days in most recent fiscal half-year) / 365 days to reflect the one-half year expense.  The annualized expense ratios of the Niemann Tactical Return Fund – Class A shares and the Niemann Tactical Return Fund – Class C shares are 1.75% and 2.50%, respectively.
 
 
 
 
ALLOCATION OF PORTFOLIO ASSETS - August 31, 2010 (Unaudited)


 


 

 

 
Percentages represent market value as a percentage of total investments.
 

 
6

 
 
NIEMANN TACTICAL RETURN FUND

SCHEDULE OF INVESTMENTS at August 31, 2010 (Unaudited)

Shares
 
 
    Value  
 
  COMMON STOCKS – 2.7%      
  6,000  
Hugoton Royalty Trust
  $ 108,840  
 
    TOTAL COMMON STOCKS        
 
   
(Cost $114,170)
    108,840  
 
  EXCHANGE-TRADED FUNDS – 78.9%        
  9,279  
Claymore/BNY Mellon Frontier Markets ETF
    197,364  
  4,560  
Global X/InterBolsa FTSE Colombia 20 ETF
    186,777  
  15,200  
Internet Infrastructure HOLDRs Trust*
    52,288  
  2,200  
iShares Barclays 10-20 Year Treasury Bond Fund
    271,920  
  700  
iShares Barclays 20+ Year Treasury Bond Fund
    75,992  
  5,532  
iShares FTSE NAREIT Residential
       
 
 
Plus Capped Index Fund
    202,582  
  1,520  
iShares MSCI Chile Investable
       
 
 
Market Index Fund
    102,828  
  10,700  
iShares MSCI Malaysia Index Fund
    137,816  
  6,345  
iShares MSCI Singapore Index Fund
    77,219  
  985  
iShares MSCI South Africa Index Fund
    57,524  
  3,268  
iShares MSCI Thailand Investable
       
 
 
Market Index Fund
    180,786  
  3,405  
iShares MSCI Turkey Investable
       
 
 
Market Index Fund
    205,866  
  1,960  
Market Vectors Brazil Small-Cap ETF
    100,960  
  2,770  
Market Vectors Indonesia Index ETF
    210,326  
  6,197  
PowerShares 1-30 Laddered Treasury Portfolio
    187,521  
  5,175  
ProShares Short S&P 500*
    276,345  
  8,500  
ProShares Short S&P SmallCap 600*
    322,235  
  1,195  
SPDR Gold Trust*
    145,874  
  450  
SPDR S&P Emerging Asia Pacific ETF
    33,480  
  800  
WisdomTree Emerging Markets
       
 
 
SmallCap Dividend Fund
    36,408  
  2,975  
WisdomTree India Earnings Fund
    68,990  
 
    TOTAL EXCHANGE-TRADED FUNDS        
 
 
(Cost $3,015,996)
    3,131,101   

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

 
7

 
 
NIEMANN TACTICAL RETURN FUND
 
SCHEDULE OF INVESTMENTS at August 31, 2010 (Unaudited), Continued

Shares
 
 
  Value  
 
   EXCHANGE-TRADED NOTES – 3.7%      
  4,750  
ELEMENTS Rogers International Commodity
     
          Index – Agriculture Total Return*    $   38,332  
  5,000  
iPath S&P 500 VIX Short-Term Futures ETN*
    109,650  
 
   TOTAL EXCHANGE-TRADED NOTES        
 
 
(Cost $153,148)
    147,982   
               
 
 
MONEY MARKET FUNDS – 17.1%
       
  680,577  
AIM STIT – Liquid Assets
       
 
 
Portfolio – Institutional Class, 0.24%+
    680,577   
 
 
TOTAL MONEY MARKET FUNDS
(Cost $680,577)
    680,577   
 
 
Total Investments in Securities
       
 
      (Cost $3,963,891) – 102.4%     4,068,500  
 
 
Liabilities in Excess of Other Assets – (2.4%)
    (97,249 )
 
 
NET ASSETS – 100.0%
   $ 3,971,251  
 

Non-income producing security.
+
Rate shown is the 7-day yield as of August 31, 2010.
 
The accompanying notes are an integral part of these financial statements.

 
8

 

NIEMANN TACTICAL RETURN FUND

STATEMENT OF ASSETS AND LIABILITIES at August 31, 2010 (Unaudited)

ASSETS
     
Investments in securities, at value (identified cost $3,963,891)
  $ 4,068,500  
Cash
    36,500   
Receivables
       
Securities sold
    49,202  
Fund shares issued
    41,000  
Dividends and interest
    789  
Due from Advisor (Note 4)
    16,806  
Prepaid expenses
    22,242  
           Total assets  
4,235,039
 
         
LIABILITIES
       
Payables
       
Securities purchased
    189,007  
Payable to Advisor (Note 4)
    35,221  
Shareholder servicing fees
    1,604  
12b-1 fees
    3,491  
Custody fees
    1,503  
Administration fees
    3,822  
Transfer agent fees and expenses
    6,600  
Audit fees
    8,023  
Fund accounting fees
    6,842  
Chief Compliance Officer fee
    2,804  
Accrued expenses
    4,871  
             Total liabilities  
263,788
 
NET ASSETS
  $ 3,971,251  

CALCULATION OF NET ASSET VALUE PER SHARE
Class A Shares
     
Net assets applicable to shares outstanding
  $ 2,110,472  
Shares issued and outstanding
       
  [unlimited number of shares (par value $0.01) authorized]
    226,138  
Net asset value and redemption price per share
  $ 9.33  
         
Maximum offering price per share
       
  (Net asset value per share divided by 95.00%)
  $ 9.82  
Class C Shares
       
Net assets applicable to shares outstanding
  $ 1,860,779  
Shares issued and outstanding
       
  [unlimited number of shares (par value $0.01) authorized]
    199,890  
Net asset value and offering price per share (Note 1)
  $ 9.31  
         
COMPONENTS OF NET ASSETS
       
Paid-in capital
  $ 3,974,064  
Accumulated net investment loss
    (7,381 )
Accumulated net realized loss from investments
    (100,041 )
Net unrealized appreciation on investments
    104,609  
Net assets
  $ 3,971,251  


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

 
9

 
 
NIEMANN TACTICAL RETURN FUND

STATEMENT OF OPERATIONS for the Period Ended August 31, 2010 (Unaudited)

 
  March 29, 2010*  
 
  through  
 
  August 31, 2010  
INVESTMENT INCOME
     
Income
     
Dividends
   $ 5,110  
Interest
    423  
Total income
    5,533  
         
Expenses
       
Transfer agent fees and expenses (Note 4)
    19,464  
Administration fees (Note 4)
    19,233  
Fund accounting fees (Note 4)
    17,084  
Registration fees
    15,002  
Audit fees
    8,023  
Chief Compliance Officer fee (Note 4)
    6,804  
Advisory fees (Note 4)
    6,247  
Custody fees (Note 4)
    4,194  
12b-1 fees - Class A (Note 5)
    901  
12b-1 fees - Class C (Note 5)
    2,642  
Shareholder servicing fees (Note 6)
    3,124  
Legal fees
    3,124  
Trustees fees
    2,337  
Printing and mailing expense
    1,812  
Insurance expense
    1,267  
Miscellaneous
    832  
Total expenses
    112,090  
Less: Expenses waived and reimbursed by Advisor (Note 4)
    (99,176 )
Net expenses
    12,914  
Net investment loss
    (7,381 )
REALIZED AND UNREALIZED GAIN/(LOSS)
       
  ON INVESTMENTS
       
Net realized loss from investments
    (100,041 )
Net change in unrealized appreciation on investments
    104,609  
Net realized and unrealized gain on investments
    4,568  
Net Decrease in Net Assets Resulting from Operations
  $ (2,813
 
*
Commencement of operations.
The accompanying notes are an integral part of these financial statements.

 
10

 
 
NIEMANN TACTICAL RETURN FUND

STATEMENT OF CHANGES IN NET ASSETS (Unaudited)

 
    March 29, 2010*  
 
  through  
 
  August 31, 2010  
NET INCREASE/(DECREASE) IN NET ASSETS FROM:
     
OPERATIONS
     
Net investment loss
  $ (7,381 )
Net realized loss from investments
    (100,041 )
Net change in unrealized appreciation on investments
    104,609  
Net decrease in net assets resulting from operations
    (2,813 )
CAPITAL SHARE TRANSACTIONS
       
Net increase in net assets derived from
       
  net change in outstanding shares (a)
    3,974,064  
Total increase in net assets
    3,971,251  
NET ASSETS
       
Beginning of period
     
End of period
  $ 3,971,251  
Accumulated net investment loss
  $ (7,381 )
 
(a)
A summary of share transactions is as follows:

Class A Shares
           
 
  March 29, 2010*  
 
  through  
 
  August 31, 2010  
 
 
Shares
     Paid-in Capital  
Shares sold
    241,058     $ 2,263,999  
Shares redeemed**
    (14,920 )     (137,065 )
Net increase
    226,138     $ 2,126,934  
** Net of redemption fees of
          $ 85  


Class C Shares
 
   March 29, 2010*  
 
   through  
 
   August 31, 2010  
 
 
Shares
     Paid-in Capital  
Shares sold
    201,296     $ 1,860,371  
Shares redeemed
    (1,406 )     (13,241 )
Net increase
    199,890     $ 1,847,130  
 
*
Commencement of operations.


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





 
11

 

NIEMANN TACTICAL RETURN FUND

FINANCIAL HIGHLIGHTS For a share outstanding throughout each period


 
 
Class A Shares
    Class C Shares  
 
 
March 29, 2010*
    March 29, 2010*  
 
 
through
    through  
   
August 31, 2010
    August 31, 2010  
 
 
(Unaudited)
    (Unaudited)  
Net asset value, beginning of period
  $ 10.00     $ 10.00  
                 
Income from investment operations:
               
Net investment loss(1)
 
(0.04
)^  
(0.06
)^
Net realized and unrealized loss on investments
    (0.63 )     (0.63 )
Total from investment operations
    (0.67 )     (0.69 )
                 
Paid-in capital from redemption fees
 
0.00
^#  
^
                 
Net asset value, end of period
  $ 9.33     $ 9.31  
                 
Total return
    -6.70 %+     -6.90 %+
                 
Ratios/supplemental data:
               
Net assets, end of period (thousands)
  $ 2,110     $ 1,861  
Ratio of expenses to average net assets:(2)
               
Before expense reimbursement
    21.49 %++     13.10 %++
After expense reimbursement
    1.75 %++     2.50 %++
Ratio of net investment loss to average net assets:(2)
               
Before expense reimbursement
    (20.66 %)++     (12.14 %)++
After expense reimbursement
    (0.92 %)++     (1.54 %)++
Portfolio turnover rate
    220.14 %+     220.14 %+

(1)
Recognition of investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests.
(2)
Does not include expenses of investment companies in which the Fund invests.

*
Commencement of operations.
^
Based on average shares outstanding.
#
Amount is less than $0.01.
+
Not annualized.
++
Annualized.

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

 
12

 

 
NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited)

NOTE 1 – ORGANIZATION
 
The Niemann Tactical Return Fund (the “Fund”) is a non-diversified series of Advisors Series Trust (the “Trust”), which is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company.  The investment objective of the Fund is to seek long-term capital appreciation.  The Fund currently offers Class A shares and Class C shares.  Class A shares are subject to a maximum front-end sales load of 5.00%, which decreases depending on the amount invested.  U.S. Bancorp Fund Services, LLC, the Fund’s transfer agent (the “Transfer Agent”), will assess a 1.00% contingent deferred sales charge (“CDSC”) on Class A share purchases of $1,000,000 or more if they are redeemed within twelve mon ths of purchase, unless the dealer of record waived its commission.  The Transfer Agent, will assess a CDSC of 1.00% on Class C shares redeemed within twelve months of purchase.  The Fund commenced operations on March 29, 2010.
 
NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES
 
The following is a summary of significant accounting policies consistently followed by the Fund. These policies are in conformity with accounting principles generally accepted in the United States of America.
 
A.
Security Valuation:  All investments in securities are recorded at their estimated fair value, as described in note 3.
 
B.
Federal Income Taxes:  It is the Fund’s policy to comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of its taxable income to its shareholders.  Therefore, no Federal income or excise tax provision is required.
 
 
The Fund recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by tax authorities.  Management has analyzed the Fund’s tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions expected to be taken in the Fund’s 2011 tax returns.  The Fund identifies its major tax jurisdictions as U.S. Federal and the state of Arizona; however the Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next twelve months.
 
C.
Security Transactions, Income and Distributions: Security transactions are accounted for on the trade date.  Realized gains and losses on securities sold are determined on a first-in, first-out basis.  Interest income is recorded on an accrual basis.  Dividend income, income and capital gain distributions from underlying funds, and distributions to shareholders are recorded on the ex-dividend date.
 
 
The Fund distributes substantially all net investment income, if any, and net realized gains, if any, annually.  The amount of dividends and distributions to shareholders from net investment income and net realized capital gains is determined in
 

 
13

 
 
NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited), Continued

 
accordance with Federal income tax regulations which differ from accounting principles generally accepted in the United States of America.  To the extent these book/tax differences are permanent, such amounts are reclassified within the capital accounts based on their Federal tax treatment.
 
 
Investment income, expenses (other than those specific to the class of shares), and realized and unrealized gains and losses on investments are allocated to the separate classes of the Fund based upon their relative net assets on the date income is earned or expensed and realized and unrealized gains and losses are incurred.
 
D. 
Use of Estimates:  The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets during the reporting period. Actual results could differ from those estimates.
 
E.  
Redemption Fees:  The Fund charges a 1.00% redemption fee to shareholders who redeem shares held for 90 days or less.  Such fees are retained by the Fund and accounted for as an addition to paid-in capital.  During the period ended August 31, 2010, the Fund retained $85 in redemption fees.
 
F.
Reclassification of Capital Accounts:  Accounting principles generally accepted in the United States of America require that certain components of net assets relating to permanent differences be reclassified between financial and tax reporting.  These reclassifications have no effect on net assets or net asset value per share.
 
G.
Derivatives: The Fund has adopted the financial accounting reporting rules as required by the Derivatives and Hedging Topic of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification.  The Fund is required to include enhanced disclosure that enables investors to understand how and why an entity uses derivatives, how derivatives are accounted for, and how derivative instruments affect an entity’s results of operations and financial position.
 
 
During the period ended August 31, 2010, the Fund did not hold any derivative instruments.
 
H.
Events Subsequent to the Fiscal Period End:  The Fund is required to recognize in the financial statements the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the balance sheet.
 
 
Management has evaluated fund related events and transactions that occurred subsequent to August 31, 2010.  There were no events or transactions that occurred that materially impacted the amounts or disclosures in the Fund’s financial statements.
 
 
NOTE 3 – SECURITIES VALUATION
 
The Fund has adopted authoritative fair value accounting standards which establish an authoritative definition of fair value and set out a hierarchy for measuring fair value.   
 

 
14

 
NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited), Continued

 
These standards require additional disclosures about the various inputs and valuation techniques used to develop the measurements of fair value, a discussion in changes in valuation techniques and related inputs during the period and expanded disclosure of valuation levels for major security types.  These inputs are summarized in the three broad levels listed below:
 
Level 1 –
Unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.
Level 2 –
Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly.  These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
Level 3 –
Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.

Following is a description of the valuation techniques applied to the Fund’s major categories of assets and liabilities measured at fair value on a recurring basis.
 
Equity Securities:  The Fund’s investments are carried at fair value. Securities that are primarily traded on a national securities exchange shall be valued at the last sale price on the exchange on which they are primarily traded on the day of valuation or, if there has been no sale on such day, at the mean between the bid and asked prices. Securities primarily traded in the NASDAQ Global Market System for which market quotations are readily available shall be valued using the NASDAQ Official Closing Price (“NOCP”). If the NOCP is not available, such securities shall be valued at the last sale price on the day of valuation, or if there has been no sale on such day, at the mean between the bid and asked prices. Over-the-co unter (“OTC”) securities which are not traded in the NASDAQ Global Market System shall be valued at the most recent sales price. Investments in other mutual funds are valued at their net asset value per share.   To the extent these securities are actively traded and valuation adjustments are not applied, they are categorized in level 1 of the fair value hierarchy.
 
Securities for which market quotations are not readily available or if the closing price doesn’t represent fair value, are valued following procedures approved by the Board of Trustees.  These procedures consider many factors, including the type of security, size of holding, trading volume and news events.  Depending on the relative significance of the valuation inputs, these securities may be classified in either level 2 or level 3 of the fair value hierarchy.
 
Short-Term Notes:  Short-term notes having a maturity of less than 60 days are valued at amortized cost, which approximates market value.  To the extent the inputs are observable and timely, these securities would be classified in level 2 of the fair value hierarchy.
 

 
15

 
 
NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited), Continued


The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.  The following is a summary of the inputs used to value the Fund’s securities as of August 31, 2010:
 
 
 
Level 1
   
Level 2
   
Level 3
    Total  
Common Stocks
  $ 108,840     $     $     $ 108,840  
Exchange-Traded Funds
    3,131,101                   3,131,101  
Exchange-Traded Notes
    147,982                   147,982  
Money Market Funds
    680,577                   680,577  
Total Investments in Securities
  $ 4,068,500     $     $     $ 4,068,500  

 
New Accounting Pronouncement:  In January 2010, FASB issued Accounting Standards Update (“ASU”) No. 2010-06 “Improving Disclosures about Fair Value Measurements”.  ASU 2010-06 amends FASB Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosures, to require enhanced disclosures about a) transfers into and out of Levels 1 and 2, and b) purchases, sales, issuances, and settlements on a gross basis relating to Level 3 measurements.  The first disclosure is effective for the first reporting period beginning after December 15, 2009, and for interim periods within those fiscal years.  There were no significant transfers into and out of Levels 1 and 2 during the curre nt period presented.
 
The second disclosure will become effective for fiscal years beginning after December 15, 2010, and for the interim periods within those fiscal years.  Management is currently evaluating the impact this disclosure may have on the Fund’s financial statements.
 
NOTE 4 – INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
 
For the period ended August 31, 2010, Niemann Capital Management, Inc. (the “Advisor”) provided the Fund with investment management services under an Investment Advisory Agreement. The Advisor furnished all investment advice, office space, facilities, and provides most of the personnel needed by the Fund. As compensation for its services, the Advisor is entitled to a monthly fee at the annual rate of 1.00% based upon the average daily net assets of the Fund.  For the period ended August 31, 2010, the Fund incurred $6,247 in advisory fees.  As of August 31, 2010, the Fund owed the Advisor $35,221.  This amount includes Fund expenses such as state registration fees which were previously paid for by the Advisor.
 
The Fund is responsible for its own operating expenses.  The Advisor has agreed to reduce fees payable to it by the Fund and to pay Fund operating expenses to the extent necessary to limit the Fund’s aggregate annual operating expenses to 1.75% and 2.50% of average daily net assets of the Fund’s Class A and Class C shares, respectively.  Any such reduction made by the Advisor in its fees or payment of expenses which are the Fund’s obligation are subject to reimbursement by the Fund to the Advisor, if so requested by the Advisor, in subsequent fiscal years if the aggregate amount actually paid by the Fund toward the operating expenses for such fiscal year (taking into account the
 

 
16

 


NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited), Continued

reimbursement) does not exceed the applicable limitation on Fund expenses. The Advisor is permitted to be reimbursed only for fee reductions and expense payments made in the previous three fiscal years.  Any such reimbursement is also contingent upon Board of Trustees review and approval at the time the reimbursement is made. Such reimbursement may not be paid prior to the Fund’s payment of current ordinary operating expenses.  For the period ended August 31, 2010, the Advisor reduced its fees in the amount of $99,176; no amounts were reimbursed to the Advisor.  Cumulative expenses subject to recapture pursuant to the aforementioned conditions amounted to $99,176 at August 31, 2010.  The expense limitation will remain in effect through at least June 30, 2011, and may be terminated only by the Trust’s Board of Trustees.  Cumulative expenses subject to recapture expire as f ollows:
 
Year
Amount
2014
$99,176
 
 
U.S. Bancorp Fund Services, LLC (the “Administrator”) acts as the Fund’s Administrator under an Administration Agreement. The Administrator prepares various federal and state regulatory filings, reports and returns for the Fund; prepares reports and materials to be supplied to the Trustees; monitors the activities of the Fund’s custodian, transfer agent and accountants; coordinates the preparation and payment of the Fund’s expenses and reviews the Fund’s expense accruals.  For the period ended August 31, 2010, the Fund incurred $19,233 in administration fees.
 
U.S. Bancorp Fund Services, LLC (“USBFS”) also serves as the fund accountant and transfer agent to the Fund.  U.S. Bank N.A., an affiliate of USBFS, serves as the Fund’s custodian.  For the period ended August 31, 2010, the Fund incurred $17,084, $15,344, and $4,194 in fund accounting, transfer agency (excluding out-of-pocket expenses), and custody fees, respectively.
 
Quasar Distributors, LLC (the “Distributor”) acts as the Fund’s principal underwriter in a continuous public offering of the Fund’s shares. The Distributor is an affiliate of the Administrator.
 
Certain officers of the Fund are also employees of the Administrator.
 
For the period ended August 31, 2010, the Fund was allocated $6,804 of the Chief Compliance Officer fee.
 
NOTE 5 – DISTRIBUTION AGREEMENT AND PLAN
 
The Fund has adopted a Distribution Plan pursuant to Rule 12b-1 (the “Plan”).  The Plan permits the Fund to pay the Distributor for distribution and related expenses at an annual rate of up to 0.25% and 1.00% of the average daily net assets of the Fund’s Class A shares and Class C Shares, respectively.  The expenses covered by the Plan may include the cost in connection with the promotion and distribution of shares and the provision of personal services to shareholders, including, but not necessarily limited to, advertising, compensation to underwriters, dealers and selling personnel, the printing and mailing of prospectuses to other than current Fund shareholders, and the printing and
 

 
17

 
 
 
NIEMANN TACTICAL RETURN FUND

NOTES TO FINANCIAL STATEMENTS at August 31, 2010 (Unaudited), Continued

mailing of sales literature.  Payments made pursuant to the Plan will represent compensation for distribution and service activities, not reimbursements for specific expenses incurred.  For the period ended August 31, 2010, the Class A shares and the Class C shares paid the Distributor $901 and $2,642, respectively.
 
NOTE 6 – SHAREHOLDER SERVICING FEE
 
The Fund has entered into a Shareholder Servicing Agreement (the “Agreement”) with the Advisor, under which the Class A shares and the Class C shares may pay servicing fees at an annual rate of 0.50% of the average daily net assets of each class.  Payments to the Advisor under the Agreement may reimburse the Advisor for payments it makes to selected brokers, dealers and administrators which have entered into Service Agreements with the Advisor for services provided to shareholders of the Fund.  The services provided by such intermediaries are primarily designed to assist shareholders of the Fund and include the furnishing of office space and equipment, telephone facilities, personnel and assistance to the Fund in servicing such shareholders.  Services provided by such intermediaries also includ e the provision of support services to the Fund and include establishing and maintaining shareholders’ accounts and record processing, purchase and redemption transactions, answering routine client inquiries regarding the Fund, and providing such other personal services to shareholders as the Fund may reasonably request.  For the period ended August 31, 2010, the Class A shares and the Class C shares incurred shareholder servicing fees of $1,803 and $1,321 under the Agreement, respectively.
 
NOTE 7 – PURCHASES AND SALES OF SECURITIES
 
For the period ended August 31, 2010, the cost of purchases and the proceeds from sales of securities, excluding short-term securities, were $6,124,332 and $2,740,976, respectively.
 
NOTE 8 – DISTRIBUTIONS TO SHAREHOLDERS
 
The Fund made no distributions during the period ended August 31, 2010.
 

 
18

 
 
NIEMANN TACTICAL RETURN FUND

NOTICE TO SHAREHOLDERS at August 31, 2010 (Unaudited)

How to Obtain a Copy of the Fund’s Proxy Voting Policies
 
A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-877-626-6080 or on the U.S. Securities and Exchange Commission’s (“SEC”) website at http://www.sec.gov.
 
How to Obtain a Copy of the Fund’s Proxy Voting Records for the 12-Month Period Ended June 30, 2010
 
Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, 2010 is available without charge, upon request, by calling 1-877-626-6080.  Furthermore, you can obtain the Fund’s proxy voting records on the SEC’s website at http://www.sec.gov.
 
Quarterly Filings on Form N-Q
 
The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q.  The Fund’s Form N-Q is available on the SEC’s website at http://www.sec.gov.  The Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and information on the operation of the Public Reference Room may be obtained by calling 1-202-551-8090.  Information included in the Fund’s Form N-Q is also available, upon request, by calling 1-877-626-6080.
 

 
19

 
 
NIEMANN TACTICAL RETURN FUND

APPROVAL OF INVESTMENT ADVISORY AGREEMENT (Unaudited)

  At meetings held on December 10, 2009 and March 18, 2010, the Board of Trustees of Advisors Series Trust, including the persons who are Independent Trustees as defined under the Investment Company Act, considered and approved the initial Advisory Agreement for the Niemann Tactical Return Fund (the “Niemann Fund”) for a period not to exceed two years.  Prior to this meeting, the Board received and reviewed substantial information regarding the Fund, the Advisor and the services expected to be provided by the Advisor to the Fund under the Advisory Agreement.  This information formed the primary (but not exclusive) basis for the Board’s determinations.  Below is a summary of the factors considered by the Board and the conclu sions that formed the basis for the Board’s approval of the initial Advisory Agreement:
 
The full Board, which includes a majority of Independent Trustees, took into consideration, among other things, the nature, extent and quality of the services to be provided by the Advisor under the Advisory Agreement.  The Board considered the Advisor’s specific responsibilities in all aspects of day-to-day management of the Niemann Fund.  The Board considered the qualifications, experience and responsibilities of the portfolio manager, as well as the responsibilities of other key personnel of the Advisor that would be involved in the day-to-day activities of the Niemann Fund.  The Board also considered the resources and compliance structure of the Advisor, including information regarding its compliance program, its chief compliance officer and the Advisor’s compliance record and the Advisor&# 8217;s business continuity plan.  The Board also considered the Advisor’s business plan, noting that the Advisor had been managing private institutional accounts since 1991.  After discussion, the Board concluded that the Advisor has the quality and depth of personnel, resources, investment methods and compliance policies and procedures essential to performing its duties under the Advisory Agreement and that the nature, overall quality, cost and extent of such management services will be satisfactory.
 
The Trustees then discussed the expected costs of the services to be provided by the Advisor and the structure of the Advisor’s fees under the Advisory Agreement.  In considering the advisory fee and anticipated total fees and expenses of the Niemann Fund, the Board reviewed and compared the Fund’s anticipated fees and expenses to those funds in their respective peer group, as well as the fees and expenses for similar types of accounts managed by the Advisor.  The Board viewed such information as a whole as useful in assessing whether the Advisor would be able to provide services at a cost that was competitive with other similar funds.  The Trustees also took into account the proposed expense waivers.
 
The Board noted that the Advisor was agreeing to waive its fees or reimburse the Niemann Fund for certain of the Fund’s expenses to the extent necessary to maintain an annual expense ratio of 1.75% for Class A shares and 2.50% for Class C shares.  The Board noted that the Fund’s expected total operating expenses, which include a Rule 12b-1 Plan fee and Shareholder Servicing Plan fee for Class A and Class C shares, were above its peer group median and average.  The Board also noted that the expected contractual advisory fee was above its peer group median and average, although the
 

 
20

 

NIEMANN TACTICAL RETURN FUND

APPROVAL OF INVESTMENT ADVISORY AGREEMENT (Unaudited), Continued

contractual advisory fee was less than the fee charged by the Advisor to its other investment management clients.
 
The Board concluded that the fees to be paid to the Advisor were fair and reasonable.
 
The Board also considered economies of scale that would be expected to be realized by the Advisor as the assets of the Niemann Fund grew.  The Board noted that the Advisor would be contractually agreeing to reduce its advisory fees or reimburse expenses indefinitely, but in no event for less than a one year term, so that the Niemann Fund does not exceed its specified expense limitation.  The Board concluded that there were no effective economies of scale to be shared by the Advisor at this time, but indicated that this issue would be revisited in the future as circumstances changed and asset levels increased.
 
The Board then considered the profits expected to be realized by the Advisor from its relationship with the Niemann Fund.  The Board reviewed the Advisor’s financial information and took into account both the expected direct benefits and the indirect benefits to the Advisor from advising the Niemann Fund.  The Board considered the expected profitability to the Advisor from its relationship with the Niemann Fund and considered any additional benefits that may be derived by the Advisor from its relationship with the Niemann Fund, such as benefits received in exchange for Rule 12b-1 fees on the Fund.  After such review, the Board determined that the expected profitability to the Advisor with respect to the Advisory Agreement was not excessive, and that the Advisor should be able to maintain adequate profit levels to support the services it provides to the Niemann Fund.
 
No single factor was determinative of the Board’s decision to approve the Advisory Agreement; rather, the Trustees based their determination on the total mix of information available to them.  Based on a consideration of all the factors in their totality, the Trustees determined that the advisory arrangement with Niemann, including advisory fees, was fair and reasonable to the Fund.  The Board, including a majority of Independent Trustees, therefore determined that the approval of the Advisory Agreement was in the best interests of the Fund and its shareholders.
 

 
21

 
 
 
(This Page Intentionally Left Blank.)
 

 
 

 
 
PRIVACY NOTICE
 
The Fund collects non-public information about you from the following sources:
 
 
Information we receive about you on applications or other forms;
 
 
Information you give us orally; and/or
 
 
Information about your transactions with us or others.
 
We do not disclose any non-public personal information about our customers or former customers without the customer’s authorization, except as permitted by law or in response to inquiries from governmental authorities. We may share information with affiliated parties and unaffiliated third parties with whom we have contracts for servicing the Fund.  We will provide unaffiliated third parties with only the information necessary to carry out their assigned responsibilities.  We maintain physical, electronic and procedural safeguards to guard your non-public personal information and require third parties to treat your personal information with the same high degree of confidentiality.
 
In the event that you hold shares of the Fund through a financial intermediary, including, but not limited to, a broker-dealer, bank, or trust company, the privacy policy of your financial intermediary would govern how your non-public personal information would be shared by those entities with unaffiliated third parties.
 

 

 
THIS PAGE IS NOT PART OF THE SEMI-ANNUAL REPORT

 
 

 



Investment Advisor
Niemann Capital Management, Inc.
5615 Scotts Valley Drive, Suite 200
Scotts Valley, CA 95066

Distributor
Quasar Distributors, LLC
615 East Michigan Street, 4th Floor
Milwaukee, WI  53202

Transfer Agent
U.S. Bancorp Fund Services, LLC
615 East Michigan Street
Milwaukee, WI  53202
1-877-626-6080

Custodian
U.S. Bank National Association
Custody Operations
1555 North River Center Drive, Suite 302
Milwaukee, WI  53212

Independent Registered Public Accounting Firm
Tait, Weller & Baker LLP
1818 Market Street, Suite 2400
Philadelphia, PA 19103

Legal Counsel
Paul, Hastings, Janofsky & Walker LLP
75 East 55th Street
New York, NY 10022-3205

Past performance results shown in this report should not be considered a representation of future performance.  Share price and returns will fluctuate so that shares, when redeemed, may be worth more or less than their original cost.  Statements and other information herein are dated and are subject to change.

 
 

 


Item 2. Code of Ethics.

Not applicable for semi-annual reports.

Item 3. Audit Committee Financial Expert.

Not applicable for semi-annual reports.

Item 4. Principal Accountant Fees and Services.

Not applicable for semi-annual reports.

Item 5. Audit Committee of Listed Registrants.

Not applicable to registrants who are not listed issuers (as defined in Rule 10A-3 under the Securities Exchange Act of 1934).

Item 6. Investments.

(a)  
Schedule of Investments is included as part of the report to shareholders filed under Item 1 of this Form.

 
(b)  
Not Applicable.
 

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable to open-end investment companies.

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 President/Principal Executive Officer and Treasurer/Principal Financial Officer have reviewed the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “Act”)) as of a date within 90 days of the filing of this report, as required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934.  Based on their review, such officers have concluded that the disclosure controls and procedures are effective in ensuring that information required to be disclosed in this report is appropriately recorded, processed, summarized and reported and made known to them by others within the Registrant and by the Registrant’s service provider.

(b)  
There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant's internal control over financial reporting.

Item 12. Exhibits.

(a)  
(1) Any code of ethics or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy Item 2 requirements through filing an exhibit. Not Applicable.

(2) A separate certification for each principal executive and principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.  Filed herewith.

(3) Any written solicitation to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons.  Not applicable to open-end investment companies.

(b)  
Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.  Furnished herewith.

 
 

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


(Registrant)  Advisors Series Trust                                                                                                

By (Signature and Title)*     /s/Douglas G. Hess 
              Douglas G. Hess, President

Date   11/3/10                                                                                                



Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title)*     /s/Douglas G. Hess 
              Douglas G. Hess, President
Date 11/3/10                                          

By (Signature and Title)*     /s/Cheryl L. King                                                                                                                     
              Cheryl L. King, Treasurer

Date 11/3/10                                                                 

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


EX-99.CERT 2 ntrf-ex99cert302.htm CERTIFICATION 302 ntrf-ex99cert302.htm
CERTIFICATIONS

I, Douglas G. Hess, certify that:

 
1.  
I have reviewed this report on Form N-CSR of Advisors Series Trust;
 
2.  
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
 
3.  
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;
 
4.  
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
 
(a)  
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
 
(b)  
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
 
(c)  
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and
 
(d)  
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
 
5.  
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
 
(a)  
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and
 
(b)  
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:
11/3/10
 
/s/Douglas G. Hess
 
Douglas G. Hess, President



 
 

 

CERTIFICATIONS

I, Cheryl L. King, certify that:

 
1.  
I have reviewed this report on Form N-CSR of Advisors Series Trust;
 
2.  
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
 
3.  
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;
 
4.  
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:
 
(a)  
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
 
(b)  
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
 
(c)  
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and
 
(d)  
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
 
5.  
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
 
(a)  
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and
 
(b)  
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  
11/3/10
 
/s/Cheryl L. King
 
Cheryl L. King, Treasurer

EX-99.906 CERT 3 ntrf-ex99cert906.htm CERTIFICATION 906 ntrf-ex99cert906.htm
Certification Pursuant to Section 906 of the Sarbanes-Oxley Act

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned officers of the Advisors Series Trust, does hereby certify, to such officer’s knowledge, that the report on Form N-CSR of the Advisors Series Trust for the period ended August 31, 2010 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as applicable, and that the information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Advisors Series Trust for the stated period.


 /s/Douglas G. Hess                                                                 
Douglas G. Hess
President, Advisors Series Trust
 
/s/Cheryl L. King                                                      
Cheryl L. King
Treasurer, Advisors Series Trust
Dated: 11/3/10                                          
Dated: 11/3/10                                


This statement accompanies this report on Form N-CSR pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not be deemed as filed by Advisors Series Trust for purposes of Section 18 of the Securities Exchange Act of 1934.


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