N-CSR 1 d684227dncsr.htm N-CSR N-CSR

 

 

 

LOGO

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: 811-09255

 

 

Allspring Variable Trust

(Exact name of registrant as specified in charter)

 

 

1415 Vantage Park Drive, 3rd Floor, Charlotte, NC 28203

(Address of principal executive offices) (Zip code)

 

 

Matthew Prasse

Allspring Funds Management, LLC

1415 Vantage Park Drive, 3rd Floor, Charlotte, NC 28203

(Name and address of agent for service)

 

 

Registrant’s telephone number, including area code: 800-222-8222

Date of fiscal year end: December 31

 

 

Registrant is making a filing for 6 of its series: Allspring VT Discovery All Cap Growth Fund, Allspring VT Discovery SMID Cap Growth Fund, Allspring VT Index Asset Allocation Fund, Allspring VT International Equity Fund, Allspring VT Opportunity Fund and Allspring VT Small Cap Growth Fund.

Date of reporting period: December 31, 2023

 

 

 


ITEM 1. REPORT TO STOCKHOLDERS


Allspring VT
Discovery All Cap
Growth Fund
(formerly, Allspring VT Omega Growth Fund)
Annual Report
December 31, 2023




Contents
The views expressed and any forward-looking statements are as of December 31, 2023, unless otherwise noted, and are those of the Fund’s portfolio managers and/or Allspring Global Investments. Discussions of individual securities or the markets generally are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements. The views expressed are subject to change at any time in response to changing circumstances in the market. Allspring Global Investments disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.
Allspring VT Discovery All Cap Growth Fund | 1


Letter to shareholders (unaudited)
Andrew Owen
President
Allspring Funds
Dear Shareholder:
We are pleased to offer you this annual report for the Allspring VT Discovery All Cap Growth Fund for the 12-month period that ended December 31, 2023. Effective May 1, 2023, the Fund changed its name from Allspring VT Omega Growth Fund to Allspring VT Discovery All Cap Growth Fund. Globally, stocks and bonds experienced high levels of volatility throughout the period but had positive overall results. The market was focused on persistently high inflation and the impact of ongoing aggressive central bank rate hikes. Compounding these concerns were the global reverberations of the Russia-Ukraine war. Riskier assets rallied in 2023, as investors anticipated an end to the tight monetary policy despite concerns of a possible recession. After suffering deep and broad losses through 2022, bonds now benefit from a base of higher yields that can help generate higher income.
For the 12-month period, stocks generally outperformed bonds—both domestic U.S. and global. For the period, U.S. stocks, based on the S&P 500 Index,1 gained 26.29%. International stocks, as measured by the MSCI ACWI ex USA Index (Net),2 returned 15.62%, while the MSCI EM Index (Net) (USD)3 had more modest performance, with a gain of 9.83%. Among bond indexes, the Bloomberg U.S. Aggregate Bond Index4 returned 5.53%, the Bloomberg Global Aggregate ex-USD Index (unhedged)5 gained 5.72%, the Bloomberg Municipal Bond Index6 returned 6.40%, and the ICE BofA U.S. High Yield Index7 gained 13.54%.
Despite high inflation and central bank rate hikes, markets rallied.
The year 2023 began with a rally across global equities and fixed income securities. Investor optimism rose in response to data indicating declining inflation rates and the reopening of China’s economy with the abrupt end to its zero-COVID-19 policy. The U.S. reported strong job gains and unemployment fell to 3.4%—the lowest level since 1969. Meanwhile, wage growth, seen as a potential contributor to ongoing high inflation, continued to moderate. All eyes remained on the Federal Reserve (Fed) and on how many more rate hikes remain in this tightening cycle. The 0.25% federal funds rate hike announced in January was the Fed’s smallest rate increase since March 2022.
Markets declined in February as investors responded unfavorably to resilient economic data. The takeaway: Central banks would likely continue their monetary tightening cycle for longer than markets had priced in. In this environment—where strong economic data is seen as bad news—the resilient U.S. labor market was taken as a negative, with inflation not falling quickly enough for the Fed, which raised interest rates by 0.25% in February. Meanwhile, the Bank of England (BoE) and the European Central Bank (ECB) both raised rates by 0.50%.
1
The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stocks weight in the index proportionate to its market value. You cannot invest directly in an index.
2
The Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the U.S. Source: MSCI. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.
3
The MSCI Emerging Markets (EM) Index (Net) (USD) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of emerging markets. You cannot invest directly in an index.
4
The Bloomberg 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. You cannot invest directly in an index.
5
The Bloomberg Global Aggregate ex-USD Index (unhedged) is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S.-dollar-denominated debt market. You cannot invest directly in an index.
6
The Bloomberg Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.
7
The ICE BofA U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high yield bonds. The index tracks the performance of high yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2024. ICE Data Indices, LLC. All rights reserved.
2 | Allspring VT Discovery All Cap Growth Fund


Letter to shareholders (unaudited)
The collapse of Silicon Valley Bank in March—the second-largest banking failure in U.S. history—led to a bank run that spread to Europe, where Switzerland’s Credit Suisse was taken over by its rival, UBS.
The collapse of Silicon Valley Bank in March—the second-largest banking failure in U.S. history—led to a bank run that spread to Europe, where Switzerland’s Credit Suisse was taken over by its rival, UBS. The banking industry turmoil created an additional challenge for central banks in balancing inflationary concerns against potential economic weakening. Meanwhile, recent data pointed to economic strength in the U.S., Europe, and China. And China’s economy continued to rebound after the removal of its COVID-19 lockdown. Inflation rates in the U.S., the U.K., and the eurozone all remained higher than central bank targets, leading to additional rate hikes in March.
Economic data released in April pointed to global resilience, as Purchasing Managers Indexes1 in the U.S., U.K., and eurozone beat expectations and China reported first-quarter annualized economic growth of 4.5%. Despite banking industry stress, developed market stocks had monthly gains. The U.S. labor market remained strong, with a 3.5% jobless rate and monthly payroll gains above 200,000. However, uncertainty and inflationary concerns weighed on investors in the U.S. and abroad.
May was marked by a divergence between expanding activity in services and an overall contraction in manufacturing activity in the U.S., U.K., and eurozone. Core inflation remained elevated in the U.S. and Europe, despite the ongoing efforts of the Fed and the ECB, which included rate hikes of 0.25% by both in May. Stubborn inflation and the resilient U.S. labor market led to expectations of further interest rate hikes, overall monthly declines across bond indexes, and mixed results for stocks in May. Investor worries over a U.S. debt ceiling impasse were modest, and market confidence was buoyed by a deal in late May to avert a potential U.S. debt default.
June featured the Fed’s first pause on interest rate hikes since March 2022, when it began its aggressive campaign to rein in inflation. However, inflation, as measured by the Core Consumer Price Index (CPI)2, while continuing to decline, remained stubbornly high in June at 4.8%, well above the Fed’s 2.0% target rate. With the U.S. unemployment rate still at 3.6%, near a historical low, and U.S. payrolls growing in June for the 30th consecutive month, expectations of more Fed rate hikes were reinforced. However, U.S. and global stocks had strong returns in June.
July was a good month for stocks. However, bonds had more muted but positive monthly returns overall. Riskier sectors and regions tended to do well, as investors grew more optimistic regarding economic prospects. With strong second-quarter gross domestic product (GDP) growth—initially estimated at 2.4%—and U.S. annual inflation easing steadily to 3.2% in July, hopes for a soft economic landing grew. The Fed, the ECB, and the BoE all raised their respective key interest rates by 0.25% in July. In the Fed’s case, speculation grew that it could be very close to the end of its tightening cycle. Meanwhile, China’s economy showed signs of stagnation, renewing concerns of global fallout.
Stocks retreated in August while monthly bond returns were flat overall. Increased global market volatility reflected unease over the Chinese property market being stressed along with weak Chinese economic data. On a more positive note, speculation grew over a possible end to the Fed’s campaign of interest rate increases or at least a pause in September. U.S. economic data generally remained solid, with resilient job market data and inflation ticking up slightly in August, as the annual CPI3 rose 3.7%. However, the three-month trend for Core CPI stood at a more encouraging annualized 2.4%.
1
The Purchasing Managers Index (PMI) is an index of the prevailing direction of economic trends in the manufacturing and service sectors. You cannot invest directly in an index.
2
The Core Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services excluding energy and food prices. You cannot invest directly in an index.
3
The CPI is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. You cannot invest directly in an index.
Allspring VT Discovery All Cap Growth Fund | 3


Letter to shareholders (unaudited)
Stocks and bonds both had negative overall returns in September as investors reluctantly recited the new chorus of “higher for longer,” led by the Fed’s determination not to lower interest rates until it knows it has vanquished its pesky opponent—higher-than-targeted inflation. As of September, the two primary gauges of U.S. inflation—the annual Core Personal Consumption Expenditures Price Index1 and the CPI—both stood at roughly 4%, twice as high as the Fed’s oft-stated 2% target. The month ended with the prospect of yet another U.S. government shutdown, averted at least temporarily but looming later this fall.
October was a tough month for stocks and bonds. Key global and domestic indexes all were pushed down by rising geopolitical tensions, particularly the Israel-Hamas conflict, and concerns over the Fed’s “higher for longer” monetary policy. The U.S. 10-year Treasury yield rose above 5% for the first time since 2007. Commodity prices did well as oil prices rallied in response to the prospect of oil supply disruptions from the Middle East. U.S. annualized third-quarter GDP was estimated at a healthier-than-anticipated 4.9%. China’s GDP indicated surprisingly strong industrial production and retail sales, offset by ongoing weakness in its real estate sector.
In November, the market mood turned positive as cooling inflation inspired confidence that central banks could hold off on further rate hikes. Overall annual inflation in the U.S. fell to 3.1% in November while 12-month inflation in the U.K. and eurozone eased to 4.6% and 2.4%, respectively—far below their peak levels of mid-2022. Third quarter annualized U.S. GDP growth was raised to an estimated 5.2% while U.S. job totals rose by just below 200,000 in November, indicating a slight cooling of the labor market. All of this fresh evidence added to confidence for a U.S. soft economic landing, leading to a more buoyant mood heading into winter as the Federal Open Market Committee held rates steady at its December meeting.
The broad year-end rally among stocks and bonds that began in November continued through December as investors became more confident that monetary policy would ease in 2024. Supporting the bubbly market mood were a series of reports confirming lower inflationary trends in the U.S. and Europe. During the period, it appeared more likely that the U.S. economy could achieve a soft landing, cooling enough to lower inflation without the pain of a recession. However, by year-end, an expectations gap developed. Capital markets priced in a total of 1.50 percentage points in federal funds rate cuts in 2024—twice as much as the three cuts of 0.25% hinted at by Fed officials.
In November, the market mood turned positive as cooling inflation inspired confidence that central banks could hold off on further rate hikes.
1
The Core Personal Consumption Expenditures Price Index (PCE) is a measure of prices that people living in the United States, or those buying on their behalf, pay for goods and services. It is sometimes called the core PCE price index, because two categories that can have price swings – food and energy – are left out to make underlying inflation easier to see. You cannot invest directly in an index.
4 | Allspring VT Discovery All Cap Growth Fund


Letter to shareholders (unaudited)
For further information about your fund, contact your investment professional, visit our website at allspringglobal.com, or call us directly at 1-800-260-5969.
Don’t let short-term uncertainty derail long-term investment goals.
Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Allspring Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.
Thank you for choosing to invest with Allspring Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.
Sincerely,
Andrew Owen
President
Allspring Funds
Allspring VT Discovery All Cap Growth Fund | 5


Letter to shareholders (unaudited)
Notice to Shareholders
Beginning in July 2024, the Fund will be required by the Securities and Exchange Commission to send shareholders a paper
copy of a new tailored shareholder report in place of the full shareholder report that you are now receiving. The tailored
shareholder report will contain concise information about the Fund, including certain expense and performance
information and fund statistics. If you wish to receive this new tailored shareholder report electronically, please follow the
instructions on the back cover of this report.
Other information that is currently included in the shareholder report, such as the Fund’s financial statements, will be
available online and upon request, free of charge, in paper or electronic format.
6 | Allspring VT Discovery All Cap Growth Fund


This page is intentionally left blank.


Performance highlights (unaudited)
Performance highlights
Investment objective
The Fund seeks long-term capital appreciation.
Manager
Allspring Funds Management, LLC
Subadviser
Allspring Global Investments, LLC
Portfolio managers
Michael T. Smith, CFA, Christopher J. Warner, CFA
Average annual total returns (%) as of December 31, 2023
 
 
 
 
 
Expense ratios1 (%)
 
Inception date
1 year
5 year
10 year
Gross
Net2
Class 1
3-6-1997
33.50
13.80
10.68
0.84
0.75
Class 2
7-31-2002
33.17
13.54
10.42
1.09
1.00
Russell 3000® Growth Index3
41.21
18.85
14.33
Figures quoted represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available by calling 1-800-260-5969. Performance figures of the Fund do not reflect fees and expenses charged pursuant to the terms of variable life insurance policies and variable annuity contracts. If these fees and expenses had been reflected, performance would have been lower.
Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.
Shares are sold without a front-end sales charge or contingent deferred sales charge.
 
1
Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios
shown in the Financial Highlights of this report.
2
The manager has contractually committed through April 30, 2024, to waive fees and/or reimburse expenses to the extent necessary to cap total annual fund operating
expenses after fee waivers at 0.75% for Class 1 shares and 1.00% for Class 2 shares. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and
expenses (if any), and extraordinary expenses are excluded from the expense caps. Prior to or after the commitment expiration date, the caps may be increased or the
commitment to maintain the caps may be terminated only with the approval of the Board of Trustees.  Without these caps, the Fund’s returns would have been lower. The
expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.
3
The Russell 3000® Growth Index measures the performance of those Russell 3000® Index companies with higher price/book ratios and higher forecasted growth values.
You cannot invest directly in an index.
Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). Foreign investments are especially volatile and can rise or fall dramatically due to differences in the political and economic conditions of the host country. These risks are generally intensified in emerging markets. This fund is exposed to smaller-company securities risk. Consult the Fund’s prospectus for additional information on these and other risks.
Please refer to the prospectus provided by your participating insurance company for detailed information describing the separate accounts for information regarding surrender charges, mortality and expense risk fees, and other charges that may be assessed by the participating insurance companies.
CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute.
8 | Allspring VT Discovery All Cap Growth Fund


Performance highlights (unaudited)
Growth of $10,000 investment as of December 31, 20231
1
The chart compares the performance of Class 2 shares for the most recent ten years with the Russell 3000® Growth Index. The chart assumes a hypothetical investment of
$10,000 in Class 2 shares and reflects all operating expenses of the Fund but does not reflect fees and expenses charged pursuant to the terms of variable life insurance
policies and variable annuity contracts.
Allspring VT Discovery All Cap Growth Fund | 9


Performance highlights (unaudited)
MANAGERS DISCUSSION
Fund highlights
The Fund underperformed its benchmark, the Russell 3000® Growth Index, for the 12-month period that ended December 31, 2023.
Positioning within the information technology (IT) and communication services sectors detracted from relative performance.
Stock selection within the consumer discretionary sector and an underweight to energy contributed to the Fund’s results.
Market leadership was concentrated for much of 2023.
The year started with high inflation and financial tightening producing a resounding call for a recession in 2023, yet the year ended on a positive note for most major U.S. equity indexes. Supported by healthy labor markets, declining inflation metrics, and a resilient consumer, earnings results largely exceeded expectations. Most notably, companies connected to artificial intelligence and GLP-1s (glucagon-like peptide-1) garnered significant attention and saw their valuations soar. For much of the year, the “Magnificent 7” stocks substantially outperformed the rest of the U.S. equity universe, boosting returns in large-cap indexes while restrictive policy rates deterred sentiment for small-cap stocks. However, along with favorable economic data, a dovish shift in tone from the Federal Reserve fueled a market rally late in the year. After trailing the Magnificent 7 for most of the year, market leadership broadened out in the fourth quarter and a soft landing became the consensus outlook for 2024.
Ten largest holdings (%) as of December 31, 20231
Microsoft Corp.
11.72
Amazon.com, Inc.
6.60
Alphabet, Inc. Class A
6.55
Visa, Inc. Class A
5.10
UnitedHealth Group, Inc.
3.29
MercadoLibre, Inc.
2.14
Sherwin-Williams Co.
2.12
ServiceNow, Inc.
2.05
Waste Connections, Inc.
2.04
Chipotle Mexican Grill, Inc.
2.01
1
Figures represent the percentage of the Funds net assets. Holdings are
subject to change and may have changed since the date specified.
Stock selection within the IT and communication services sectors detracted from returns.
Within communication services, ZoomInfo Technologies, Inc., hosts a global database that connects sales and marketing professionals with prospective clients. During the year, layoffs within the tech industry and pauses within corporate discretionary spending decreased demand for ZoomInfo. When sales did not reaccelerate as recession fears receded, our sell discipline was triggered and we exited the position.
BILL Holdings, Inc., in IT provides cloud-based software that enables small and medium-size businesses to digitize back-office functions. In return, BILL receives subscription fees and a portion of each transaction processed on its platform. Macro headwinds resulted in many of BILL’s customers reducing advertising and discretionary spending, which adversely affected BILL’s transactional revenue. We still hold the position but we are closely monitoring fundamentals.
Allocation within the consumer discretionary sector along with a select IT holding contributed to relative performance.
While the Fund’s overall exposure to the IT sector detracted from returns, several IT companies meaningfully outperformed the overall market during the year. CrowdStrike Holdings, Inc., is a next-generation, end-point security system that continuously monitors for malicious software code. The company exceeded expectations on several key financial metrics and unveiled plans for new product launches in 2024. With most global enterprises still relying on archaic infrastructures, CrowdStrike’s addressable market remains massively underpenetrated, providing a long runway for growth.
In consumer discretionary, MercadoLibre, Inc., a leading e-commerce and payments platform in Latin America, launched services to boost user engagement and advertising revenue. Improving profitability and a leading technology platform provide multiple growth opportunities for MercadoLibre. We have held MercadoLibre within our portfolio for several years and continue to believe in its potential to deliver superior future
returns.
Sector allocation as of December 31, 20231
1
Figures represent the percentage of the Funds long-term investments.
Allocations are subject to change and may have changed since the date
specified.
10 | Allspring VT Discovery All Cap Growth Fund


Performance highlights (unaudited)
Staying balanced, with a skew toward quality
The recent year was positive for equities, with most major U.S.-based equity indexes producing healthy gains. While the rally in December created optimism going into 2024, we believe investors should guard against extrapolating near-term signals. Consensus expectations are now for double-digit earnings growth for S&P 500 companies in the next year. Given lingering inflation uncertainties and the delayed impact of higher rates, we are concerned that this could be an optimistic bar for the market to clear. With elevated valuations and expectations, the markets may experience a negative surprise. Our strategy for navigating this environment is to be balanced and highly selective. We are placing a
priority on companies with profitable business models, free cash flow generation, and strong management execution.
We think there are exciting opportunities in small- and mid-cap growth stocks, which still trade at compelling relative valuations to large caps. Should the economy avoid a sharp downturn, there is considerable upside in smaller companies on the other side of a recovery. Most importantly, after a long period of hyperfocus on monetary policy, we are encouraged to see investors become more discerning toward company fundamentals. When it comes to compounding wealth, investors are realizing that profits may matter more than interest rates. This is an encouraging trend that we expect to continue.
Allspring VT Discovery All Cap Growth Fund | 11


Fund expenses (unaudited)
Fund expenses
As a shareholder of the Fund, you incur ongoing costs, including management fees, distribution (12b-1) fees and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from July 1, 2023 to December 31, 2023.
Actual expenses
The “Actual” line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000= 8.6), then multiply the result by the number in the “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.
Hypothetical example for comparison purposes
The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any separate account charges assessed by participating insurance companies. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these separate account charges assessed by participating insurance companies were included, your costs would have been higher.
 
Beginning
account value
7-1-2023
Ending
account value
12-31-2023
Expenses
paid during
the period1
Annualized net
expense ratio
Class 1
Actual
$1,000.00
$1,095.70
$3.94
0.75
%
Hypothetical (5% return before expenses)
$1,000.00
$1,021.31
$3.80
0.75
%
Class 2
Actual
$1,000.00
$1,094.30
$5.25
1.00
%
Hypothetical (5% return before expenses)
$1,000.00
$1,020.06
$5.06
1.00
%
1
Expenses paid is equal to the annualized net expense ratio of each class multiplied by the average account value over the period, multiplied by 183 divided by 365 (to
reflect the one-half-year period).
12 | Allspring VT Discovery All Cap Growth Fund


Portfolio of investments—December 31, 2023
Portfolio of investments
 
 
 
Shares
Value
Common stocks:  99.39%
 
Communication services:  7.81%
 
Entertainment:  1.26%
 
Spotify Technology SA
 
4,700
$883,177
Interactive media & services:  6.55%
 
Alphabet, Inc. Class A
 
33,000
4,609,770
Consumer discretionary:  15.32%
 
Automobiles:  1.44%
 
Ferrari NV
 
3,000
1,015,290
Broadline retail:  8.74%
 
Amazon.com, Inc.
 
30,540
4,640,248
MercadoLibre, Inc.
 
958
1,505,535
 
 
6,145,783
Hotels, restaurants & leisure:  2.01%
 
Chipotle Mexican Grill, Inc.
 
620
1,417,915
Specialty retail:  1.60%
 
Home Depot, Inc.
 
3,251
1,126,634
Textiles, apparel & luxury goods:  1.53%
 
lululemon athletica, Inc.
 
2,100
1,073,709
Consumer staples:  0.80%
 
Beverages:  0.80%
 
Celsius Holdings, Inc.
 
10,300
561,556
Financials:  12.43%
 
Capital markets:  3.09%
 
Intercontinental Exchange, Inc.
 
8,500
1,091,655
Tradeweb Markets, Inc. Class A
 
11,900
1,081,472
 
 
2,173,127
Financial services:  7.53%
 
Adyen NV ADR
 
54,300
699,384
Fiserv, Inc.
 
7,560
1,004,270
Visa, Inc. Class A
 
13,790
3,590,227
 
 
5,293,881
Insurance:  1.81%
 
Progressive Corp.
 
8,000
1,274,240
Health care:  15.05%
 
Biotechnology:  1.39%
 
Exact Sciences Corp.
 
13,200
976,536
Health care equipment & supplies:  4.50%
 
Align Technology, Inc.
 
2,200
602,800
The accompanying notes are an integral part of these financial statements.
Allspring VT Discovery All Cap Growth Fund | 13


Portfolio of investments—December 31, 2023
 
 
 
Shares
Value
Health care equipment & supplies(continued)
 
DexCom, Inc.
 
10,200
$1,265,718
Intuitive Surgical, Inc.
 
3,840
1,295,462
 
 
3,163,980
Health care providers & services:  3.29%
 
UnitedHealth Group, Inc.
 
4,401
2,316,995
Health care technology:  1.34%
 
Veeva Systems, Inc. Class A
 
4,900
943,348
Life sciences tools & services:  2.57%
 
Bio-Techne Corp.
 
11,100
856,476
Danaher Corp.
 
4,100
948,494
 
 
1,804,970
Pharmaceuticals:  1.96%
 
Zoetis, Inc.
 
7,000
1,381,590
Industrials:  10.19%
 
Commercial services & supplies:  3.49%
 
Tetra Tech, Inc.
 
6,100
1,018,273
Waste Connections, Inc.
 
9,646
1,439,858
 
 
2,458,131
Electrical equipment:  0.94%
 
Vertiv Holdings Co.
 
13,700
658,011
Ground transportation:  1.44%
 
Old Dominion Freight Line, Inc.
 
2,500
1,013,325
Industrial conglomerates:  1.54%
 
General Electric Co.
 
8,500
1,084,855
Machinery:  1.70%
 
RBC Bearings, Inc.
 
4,200
1,196,538
Professional services:  1.08%
 
Paylocity Holding Corp.
 
4,600
758,310
Information technology:  34.52%
 
Communications equipment:  2.00%
 
Motorola Solutions, Inc.
 
4,500
1,408,905
Electronic equipment, instruments & components:  2.41%
 
Teledyne Technologies, Inc.
 
2,200
981,838
Zebra Technologies Corp. Class A
 
2,600
710,658
 
 
1,692,496
IT services:  4.28%
 
Gartner, Inc.
 
2,400
1,082,664
The accompanying notes are an integral part of these financial statements.
14 | Allspring VT Discovery All Cap Growth Fund


Portfolio of investments—December 31, 2023
 
 
 
Shares
Value
IT services(continued)
 
Globant SA
 
5,700
$1,356,486
MongoDB, Inc.
 
1,400
572,390
 
 
3,011,540
Semiconductors & semiconductor equipment:  4.42%
 
Advanced Micro Devices, Inc.
 
8,200
1,208,762
Analog Devices, Inc.
 
4,500
893,520
Monolithic Power Systems, Inc.
 
1,600
1,009,248
 
 
3,111,530
Software:  21.41%
 
BILL Holdings, Inc.
 
5,200
424,268
Cadence Design Systems, Inc.
 
4,900
1,334,613
Crowdstrike Holdings, Inc. Class A
 
4,700
1,200,004
Datadog, Inc. Class A
 
6,000
728,280
Microsoft Corp.
 
21,923
8,243,925
ServiceNow, Inc.
 
2,040
1,441,239
Workday, Inc. Class A
 
3,800
1,049,028
Zscaler, Inc.
 
2,900
642,524
 
 
15,063,881
Materials:  2.12%
 
Chemicals:  2.12%
 
Sherwin-Williams Co.
 
4,770
1,487,763
Real estate:  1.15%
 
Specialized REITs :  1.15%
 
SBA Communications Corp.
 
3,200
811,808
Total common stocks (Cost $35,526,315)
 
69,919,594
 
 
Yield
 
 
Short-term investments:  0.44%
 
Investment companies:  0.44%
 
Allspring Government Money Market Fund Select Class♠∞
5.28
%
 
311,643
311,643
Total short-term investments (Cost $311,643)
 
311,643
Total investments in securities (Cost $35,837,958)
99.83
%
 
70,231,237
Other assets and liabilities, net
0.17
 
119,887
Total net assets
100.00
%
 
$70,351,124
Non-income-earning security
The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.
The rate represents the 7-day annualized yield at period end.
Abbreviations:
ADR
American depositary receipt
REIT
Real estate investment trust
The accompanying notes are an integral part of these financial statements.
Allspring VT Discovery All Cap Growth Fund | 15


Portfolio of investments—December 31, 2023
Investments in affiliates
An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were affiliates of the Fund at the end of the period were as follows:
 
Value,
beginning of
period
Purchases
Sales
proceeds
Net
realized
gains
(losses)
Net
change in
unrealized
gains
(losses)
Value,
end of
period
Shares,
end
of period
Income
from
affiliated
securities
Short-term investments
Allspring Government Money Market Fund Select
Class
$2,283,520
$13,478,710
$(15,450,587
)
$0
$0
$311,643
311,643
$39,156
The accompanying notes are an integral part of these financial statements.
16 | Allspring VT Discovery All Cap Growth Fund


Statement of assets and liabilities—December 31, 2023 
Financial statements
Statement of assets and liabilities
Assets
Investments in unaffiliated securities, at value (cost $35,526,315)
$69,919,594
Investments in affiliated securities, at value (cost $311,643)
311,643
Receivable for investments sold
354,916
Receivable for dividends
13,190
Receivable for Fund shares sold
363
Prepaid expenses and other assets
1,860
Total assets
70,601,566
Liabilities
Payable for investments purchased
135,069
Payable for Fund shares redeemed
54,741
Management fee payable
24,255
Distribution fee payable
7,535
Administration fees payable
4,854
Trustees fees and expenses payable
352
Accrued expenses and other liabilities
23,636
Total liabilities
250,442
Total net assets
$70,351,124
Net assets consist of
Paid-in capital
$32,670,467
Total distributable earnings
37,680,657
Total net assets
$70,351,124
Computation of net asset value per share
Net assets–Class 1
$32,120,646
Shares outstanding–Class 11
1,269,870
Net asset value per share–Class 1
$25.29
Net assets–Class 2
$38,230,478
Shares outstanding–Class 21
1,600,463
Net asset value per share–Class 2
$23.89
1The Fund has an unlimited number of authorized shares.
The accompanying notes are an integral part of these financial statements.
Allspring VT Discovery All Cap Growth Fund | 17


Statement of operations—year ended December 31, 2023
Statement of operations
Investment income
Dividends (net of foreign withholdings taxes of $3,416)
$323,121
Income from affiliated securities
39,156
Interest
13
Total investment income
362,290
Expenses
Management fee
389,907
Administration fees
Class 1
23,456
Class 2
28,532
Distribution fee
Class 2
81,426
Custody and accounting fees
3,306
Professional fees
73,465
Shareholder report expenses
20,238
Trustees’ fees and expenses
23,591
Other fees and expenses
3,412
Total expenses
647,333
Less: Fee waivers and/or expense reimbursements
Fund-level
(70,725
)
Net expenses
576,608
Net investment loss
(214,318
)
Realized and unrealized gains (losses) on investments
Net realized gains on investments
3,436,065
Net change in unrealized gains (losses) on investments
15,520,585
Net realized and unrealized gains (losses) on investments
18,956,650
Net increase in net assets resulting from operations
$18,742,332
The accompanying notes are an integral part of these financial statements.
18 | Allspring VT Discovery All Cap Growth Fund


Statement of changes in net assets
Statement of changes in net assets
 
Year ended
December 31, 2023
Year ended
December 31, 2022
Operations
Net investment loss
$(214,318
)
$(294,454
)
Net realized gains on investments
3,436,065
6,653,356
Net change in unrealized gains (losses) on investments
15,520,585
(44,084,645
)
Net increase (decrease) in net assets resulting from operations
18,742,332
(37,725,743
)
Distributions to shareholders from
Net investment income and net realized gains
Class 1
(2,959,369
)
(7,399,134
)
Class 2
(3,747,752
)
(9,021,680
)
Total distributions to shareholders
(6,707,121
)
(16,420,814
)
Capital share transactions
Shares
Shares
Proceeds from shares sold
Class 1
38,434
889,700
22,220
566,861
Class 2
47,234
1,029,344
142,485
4,023,820
 
1,919,044
4,590,681
Reinvestment of distributions
Class 1
124,031
2,959,369
326,384
7,399,134
Class 2
166,124
3,747,752
417,671
9,021,680
 
6,707,121
16,420,814
Payment for shares redeemed
Class 1
(173,842
)
(3,985,196
)
(187,569
)
(5,315,386
)
Class 2
(304,527
)
(6,686,741
)
(305,040
)
(10,025,192
)
 
(10,671,937
)
(15,340,578
)
Net increase (decrease) in net assets resulting from capital share transactions
(2,045,772
)
5,670,917
Total increase (decrease) in net assets
9,989,439
(48,475,640
)
Net assets
Beginning of period
60,361,685
108,837,325
End of period
$70,351,124
$60,361,685
The accompanying notes are an integral part of these financial statements.
Allspring VT Discovery All Cap Growth Fund | 19


Financial highlights
Financial highlights
(For a share outstanding throughout each period) 
 
Year ended December 31
Class 1
2023
2022
2021
2020
2019
Net asset value, beginning of period
$20.88
$43.70
$42.28
$31.89
$26.27
Net investment loss
(0.04
)1
(0.08
)1
(0.19
)1
(0.07
)
(0.03
)1
Net realized and unrealized gains (losses) on investments
6.88
(15.54
)
6.43
13.27
9.69
Total from investment operations
6.84
(15.62
)
6.24
13.20
9.66
Distributions to shareholders from
Net realized gains
(2.43
)
(7.20
)
(4.82
)
(2.81
)
(4.04
)
Net asset value, end of period
$25.29
$20.88
$43.70
$42.28
$31.89
Total return2
33.50
%
(37.04
)%
15.27
%
43.41
%
37.39
%
Ratios to average net assets (annualized)
Gross expenses
0.87
%
0.84
%
0.78
%
0.80
%
0.82
%
Net expenses
0.75
%
0.75
%
0.75
%
0.75
%
0.75
%
Net investment loss
(0.19
)%
(0.29
)%
(0.43
)%
(0.27
)%
(0.08
)%
Supplemental data
Portfolio turnover rate
30
%
22
%
25
%
24
%
31
%
Net assets, end of period (000s omitted)
$32,121
$26,748
$48,949
$50,122
$40,001
1
Calculated based upon average shares outstanding
2
Returns do not reflect fees and expenses charged pursuant to the terms of variable life insurance policies and variable annuity contracts.
The accompanying notes are an integral part of these financial statements.
20 | Allspring VT Discovery All Cap Growth Fund


Financial highlights
(For a share outstanding throughout each period) 
 
Year ended December 31
Class 2
2023
2022
2021
2020
2019
Net asset value, beginning of period
$19.87
$41.69
$40.43
$30.55
$25.23
Net investment loss
(0.10
)1
(0.14
)1
(0.28
)
(0.17
)1
(0.10
)1
Net realized and unrealized gains (losses) on investments
6.55
(14.82
)
6.14
12.73
9.29
Total from investment operations
6.45
(14.96
)
5.86
12.56
9.19
Distributions to shareholders from
Net realized gains
(2.43
)
(6.86
)
(4.60
)
(2.68
)
(3.87
)
Net asset value, end of period
$23.89
$19.87
$41.69
$40.43
$30.55
Total return2
33.17
%
(37.20
)%
14.97
%
43.18
%
37.04
%
Ratios to average net assets (annualized)
Gross expenses
1.10
%
1.04
%
1.02
%
1.04
%
1.06
%
Net expenses
1.00
%
0.98
%
1.00
%
1.00
%
1.00
%
Net investment loss
(0.44
)%
(0.51
)%
(0.68
)%
(0.52
)%
(0.33
)%
Supplemental data
Portfolio turnover rate
30
%
22
%
25
%
24
%
31
%
Net assets, end of period (000s omitted)
$38,230
$33,614
$59,888
$57,850
$50,843
1
Calculated based upon average shares outstanding
2
Returns do not reflect fees and expenses charged pursuant to the terms of variable life insurance policies and variable annuity contracts.
The accompanying notes are an integral part of these financial statements.
Allspring VT Discovery All Cap Growth Fund | 21


Notes to financial statements
Notes to financial statements
1.
ORGANIZATION
Allspring Variable Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial ServicesInvestment Companies. These financial statements report on the Allspring VT Discovery All Cap Growth Fund (formerly, Allspring VT Omega Growth Fund)  (the “Fund”) which is a diversified series of the Trust. The Trust offers shares of the Fund to separate accounts of various life insurance companies as funding vehicles for certain variable annuity contracts and variable life insurance policies.
2.
SIGNIFICANT ACCOUNTING POLICIES
The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates.
Securities valuation
All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.
Equity securities and exchange-traded funds that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price.
Investments in registered open-end investment companies (other than those listed on a foreign or domestic exchange or market) are valued at net asset value.
Investments which are not valued using the methods discussed above are valued at their fair value, as determined in good faith by Allspring Funds Management, LLC (“Allspring Funds Management”), which was named the valuation designee by the Board of Trustees. As the valuation designee, Allspring Funds Management is responsible for day-to-day valuation activities for the Allspring Funds. In connection with these responsibilities, Allspring Funds Management has established a Valuation Committee and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities. On a quarterly basis, the Board of Trustees receives reports of valuation actions taken by the Valuation Committee. On at least an annual basis, the Board of Trustees receives an assessment of the adequacy and effectiveness of Allspring Funds Managements process for determining the fair value of the portfolio of investments.
Security transactions and income recognition
Securities transactions are recorded on a trade date basis.  Realized gains or losses are recorded on the basis of identified cost.
Dividend income is recognized on the ex-dividend date. Dividend income is recorded net of foreign taxes withheld where recovery of such taxes is not assured.
Interest earned on cash balances held at the custodian is recorded as interest income.
Distributions received from REIT investments may be characterized as ordinary income, capital gains, or a return of capital to the Fund based on information provided by the REIT. The proper characterization of REIT distributions is generally not known until after the end of each calendar year. As such, estimates may be used in reporting the character of income and distributions for financial statement purposes.
Distributions to shareholders
Distributions to shareholders from net investment income and any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Funds fiscal year end. Therefore, a portion of the Funds distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.
Federal and other taxes
The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable  income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.
The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Funds  tax positions taken on federal, state, and foreign tax returns, as applicable, for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability. 
22 | Allspring VT Discovery All Cap Growth Fund


Notes to financial statements
As of December 31, 2023, the aggregate cost of all investments for federal income tax purposes was $35,923,646 and the unrealized gains (losses) consisted of:
Gross unrealized gains
$36,274,120
Gross unrealized losses
(1,966,529
)
Net unrealized gains
$34,307,591
Reclassifications are made to the Fund’s capital accounts for permanent tax differences to reflect income and gains available for distribution (or available capital loss carryforwards) under federal income tax regulations. U.S. generally accepted accounting principles require that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or net asset values per share. The primary permanent difference causing such reclassification is due to net operating loss. At December 31, 2023, as a result of permanent book-to-tax differences, the following reclassification adjustments were made on the Statement of Assets and Liabilities:
Paid-in
capital
Total distributable
earnings
$(214,403
)
$214,403
Class allocations
The separate classes of shares offered by the Fund differ principally in distribution fees. Class specific expenses are charged directly to that share class. Investment income, common fund-level expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.    
3.
FAIR VALUATION MEASUREMENTS
Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:
Level 1—quoted prices in active markets for identical securities
Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)
Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments) 
The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of December 31, 2023:
 
Quoted prices
(Level 1)
Other significant
observable inputs
(Level 2)
Significant
unobservable inputs
(Level 3)
Total
Assets
Investments in:
Common stocks
Communication services
$5,492,947
$0
$0
$5,492,947
Consumer discretionary
10,779,331
0
0
10,779,331
Consumer staples
561,556
0
0
561,556
Financials
8,741,248
0
0
8,741,248
Health care
10,587,419
0
0
10,587,419
Industrials
7,169,170
0
0
7,169,170
Information technology
24,288,352
0
0
24,288,352
Materials
1,487,763
0
0
1,487,763
Real estate
811,808
0
0
811,808
Short-term investments
Investment companies
311,643
0
0
311,643
Total assets
$70,231,237
$0
$0
$70,231,237
Additional sector, industry or geographic detail, if any, is included in the Portfolio of Investments.
Allspring VT Discovery All Cap Growth Fund | 23


Notes to financial statements
At December 31, 2023, the Fund did not have any transfers into/out of Level 3.
4.
TRANSACTIONS WITH AFFILIATES
Management fee
Allspring Funds Management, a wholly owned subsidiary of Allspring Global Investments Holdings, LLC, a holding company indirectly owned by certain private funds of GTCR LLC and Reverence Capital Partners, L.P., is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Allspring Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Allspring Funds Management is entitled to receive a management fee at the following annual rate based on the Fund’s average daily net assets: 
Average daily net assets
Management fee
First $500 million
0.600
%
Next $500 million
0.550
Next $1 billion
0.500
Next $2 billion
0.475
Next $1 billion
0.450
Next $5 billion
0.440
Over $10 billion
0.430
For the year ended December 31, 2023, the management fee was equivalent to an annual rate of 0.60% of the Fund’s average daily net assets.
Allspring Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Allspring Funds Management. Allspring Global Investments, LLC, an affiliate of Allspring Funds Management and a wholly owned subsidiary of Allspring Global Investments Holdings, LLC, is the subadviser to the Fund and is entitled to receive a fee from Allspring Funds Management at an annual rate starting at 0.45% and declining to 0.30% as the average daily net assets of the Fund increase.
Administration fees
Under a class-level administration agreement, Allspring Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Allspring Funds Management receives an annual fee of 0.08% which is calculated based on the average daily net assets of each class.
Waivers and/or expense reimbursements
Allspring Funds Management has contractually committed to waive and/or reimburse management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Allspring Funds Management will waive fees and/or reimburse expenses from fund-level expenses on a proportionate basis and then from class specific expenses. When only certain classes exceed their expense caps, waivers and/or reimbursements are applied against class specific expenses before fund-level expenses. Allspring Funds Management has contractually committed through April 30, 2024 to waive fees and/or reimburse expenses to the extent necessary to cap the Funds expenses. Prior to or after the commitment expiration date, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. As of December 31, 2023, the contractual expense caps are as follows:      
 
EXPENSE RATIO CAPS
Class 1
0.75
%
Class 2
1.00
Distribution fee
The Trust has adopted a distribution plan for Class 2 shares pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class 2 shares and paid to Allspring Funds Distributor, LLC, the principal underwriter, an affiliate of Allspring Funds Management, at an annual rate up to 0.25% of the average daily net assets of Class 2 shares. 
Interfund transactions
The Fund may purchase or sell portfolio investment securities to certain affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices. Pursuant to these procedures, the Fund did not have any interfund transactions during the year ended December 31, 2023.
24 | Allspring VT Discovery All Cap Growth Fund


Notes to financial statements
5.
INVESTMENT PORTFOLIO TRANSACTIONS
Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended December 31, 2023 were $19,099,246 and $26,225,969, respectively.
6.
BANK BORROWINGS
The Trust, Allspring Master Trust and Allspring Funds Trust (excluding the money market funds) are parties to a $350,000,000 revolving credit agreement whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on borrowing rate equal to the higher of the Federal Funds rate or the overnight bank funding rate in effect on that day plus a spread. In addition, an annual commitment fee based on the unused balance is allocated to each participating fund.
For the year ended December 31, 2023, there were no borrowings by the Fund under the agreement.
7.
DISTRIBUTIONS TO SHAREHOLDERS
The tax character of distributions paid was $6,707,121 and $16,420,814 of long-term capital gain for the years ended December 31, 2023 and December 31, 2022, respectively.
As of December 31, 2023, the components of distributable earnings on a tax basis were as follows:
Undistributed
long-term
gain
Unrealized
gains
$3,374,006
$34,307,591
8.
CONCENTRATION RISKS
As of the end of the period, the Fund concentrated its portfolio of investments in the information technology sector. A fund that invests a substantial portion of its assets in any sector may be more affected by changes in that sector than would be a fund whose investments are not heavily weighted in any sector.
9.
INDEMNIFICATION
Under the Funds organizational documents, the officers and Trustees have been granted certain indemnification rights against certain liabilities that may arise out of performance of their duties to the Fund. The Fund has entered into a separate agreement with each Trustee that converts indemnification rights currently existing under the Fund’s organizational documents into contractual rights that cannot be changed in the future without the consent of the Trustee. Additionally, in the normal course of business, the Fund may enter into contracts with service providers that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.
Allspring VT Discovery All Cap Growth Fund | 25


Report of independent registered public accounting firm
To the Shareholders of the Fund and Board of Trustees
Allspring Variable Trust:
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities of Allspring VT Discovery All Cap Growth Fund (formerly, Allspring VT Omega Growth Fund) (the Fund), one of the funds constituting Allspring Variable Trust, including the portfolio of investments, as of December 31, 2023, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the financial statements) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of December 31, 2023, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.
Basis for Opinion
These financial statements and financial highlights are the responsibility of the Funds management. Our responsibility is to express an opinion on these 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. 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. Such procedures also included confirmation of securities owned as of December 31, 2023, by correspondence with the custodian, transfer agent and brokers, or by other appropriate auditing procedures. 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. We believe that our audits provide a reasonable basis for our opinion.
We have not been able to determine the specific year that we began serving as the auditor of one or more Allspring Funds investment companies; however, we are aware that we have served as the auditor of one or more Allspring Funds investment companies since at least 1955.
Boston, Massachusetts
February 26, 2024
26 | Allspring VT Discovery All Cap Growth Fund


Other information (unaudited)
Other information
Tax information
Pursuant to Section 852 of the Internal Revenue Code, $6,707,121 was designated as a 20% rate gain distribution for the fiscal year ended
December 31, 2023.
Proxy voting information
A description of the policies and procedures used to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-866-259-3305, visiting our website at allspringglobal.com, or visiting the SEC website at sec.gov. Information regarding how the proxies related to portfolio securities were voted during the most recent 12-month period ended June 30 is available on the website at allspringglobal.com or by visiting the SEC website at sec.gov.
Quarterly portfolio holdings information
The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Shareholders may view the filed Form N-PORT by visiting the SEC website at sec.gov.
Allspring VT Discovery All Cap Growth Fund | 27


Other information (unaudited)
BOARD OF TRUSTEES AND OFFICERS
Each of the Trustees and Officers listed in the table below acts in identical capacities for each fund in the Allspring family of funds, which consists of 117 mutual funds comprising the Allspring Funds Trust, Allspring Variable Trust, Allspring Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information. The mailing address of each Trustee and Officer is 1415 Vantage Park Drive, 3rd Floor, Charlotte, NC 28203. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.
Independent Trustees
Name and
year of birth
Position held and
length of service*
Principal occupations during past five years or longer
Current other
public company
or
investment
company
directorships
William R.
Ebsworth
(Born 1957)
Trustee,
since 2015
Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief
investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong
Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he
led a team of investment professionals managing client assets. Prior thereto, Board member of
Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International
Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life
Insurance Company. Serves on the Investment Company Institute’s Board of Governors since
2022 and Executive Committee since 2023 as well as the Vice Chairman of the Governing Council
of the Independent Directors Council since 2023. Audit Committee Chair and Investment
Committee Chair of the Vincent Memorial Hospital Foundation (non-profit organization). Mr.
Ebsworth is a CFA charterholder.
N/A
Jane A.
Freeman
(Born 1953)
Trustee,
since 2015;
Chair Liaison,
since January 2018#
Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning
Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic
business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens &
Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead
Independent Director and chair of the Audit Committee. Board member of the Russell Exchange
Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is also
an inactive Chartered Financial Analyst.
N/A
Isaiah
Harris, Jr.
(Born 1952)
Trustee,
since 2009;
Audit Committee
Chair,
since 2019
Retired. Member of the Advisory Board of CEF of East Central Florida. Chairman of the Board of
CIGNA Corporation from 2009 to 2021, and Director from 2005 to 2008. From 2003 to 2011,
Director of Deluxe Corporation. Prior thereto, President and CEO of BellSouth Advertising and
Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to
2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the
Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory board of
Iowa State University School of Business. Advisory Board Member, Palm Harbor Academy (private
school). Advisory Board Member, Fellowship of Christian Athletes. Mr. Harris is a certified public
accountant (inactive status).
N/A
David F.
Larcker
(Born 1950)
Trustee,
since 2009
Distinguished Visiting Fellow at the Hoover Institution since 2022. James Irvin Miller Professor of
Accounting at the Graduate School of Business (Emeritus), Stanford University, Director of the
Corporate Governance Research Initiative and Senior Faculty of The Rock Center for Corporate
Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of
Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The
Wharton School, University of Pennsylvania from 1985 to 2005.
N/A
Olivia S.
Mitchell
(Born 1953)
Trustee,
since 2006
International Foundation of Employee Benefit Plans Professor since 1993, Wharton School of the
University of Pennsylvania. Director of Wharton’s Pension Research Council and Boettner Center
on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic
Research. Previously taught at Cornell University from 1978 to 1993.
N/A
Timothy J.
Penny
(Born 1951)
Trustee,
since 1996;
Chair,
since 2018
President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit
organization, since 2007. Vice Chair of the Economic Club of Minnesota, since 2007. Co-Chair of
the Committee for a Responsible Federal Budget, since 1995. Member of the Board of Trustees of
NorthStar Education Finance, Inc., a non-profit organization, from 2007-2022. Senior Fellow of
the University of Minnesota Humphrey Institute from 1995 to 2017.
N/A
*Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.
# Ms. Freeman will serve as Chair Liaison through June 2024, at which time Ms. Wheelock will assume the role.
The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-260-5969 or by visiting the website at allspringglobal.com.
28 | Allspring VT Discovery All Cap Growth Fund


Other information (unaudited)
Name and
year of birth
Position held and
length of service*
Principal occupations during past five years or longer
Current other
public company
or
investment
company
directorships
James G.
Polisson
(Born 1959)
Trustee,
since 2018;
Nominating and
Governance
Committee Chair,
since 2024
Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to
2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and
principal investing company. Chief Executive Officer and Managing Director at Russell
Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays
Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays
Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-
profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust
from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006
to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of
Columbia Bar Associations.
N/A
Pamela
Wheelock
(Born 1959)
Trustee,
since January 2020;
previously Trustee
from
January 2018 to
July 2019#
Retired. Executive and Senior Financial leadership positions in the public, private and nonprofit
sectors. Interim President and CEO, McKnight Foundation, 2020. Interim Commissioner,
Minnesota Department of Human Services, 2019. Chief Operating Officer, Twin Cities Habitat for
Humanity, 2017-2019. Vice President for University Services, University of Minnesota, 2012-
2016. Interim President and CEO, Blue Cross and Blue Shield of Minnesota, 2011-2012. Executive
Vice-President and Chief Financial Officer, Minnesota Wild, 2002-2008. Commissioner,
Minnesota Department of Finance, 1999-2002. Chair of the Board of Directors of Destination
Medical Center Corporation. Board member of the Minnesota Wild Foundation.
N/A
*Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.
#Ms. Freeman will serve as Chair Liaison through June 2024, at which time Ms. Wheelock will assume the role.
Allspring VT Discovery All Cap Growth Fund | 29


Other information (unaudited)
Officers1
Name and
year of birth
Position held and
length of
service
Principal occupations during past five years or longer
Andrew Owen
(Born 1960)
President,
since 2017
President and Chief Executive Officer of Allspring Funds Management, LLC since 2017 and Head of Global Fund
Governance of Allspring Global Investments since 2022. Prior thereto, co-president of Galliard Capital
Management, LLC, an affiliate of Allspring Funds Management, LLC, from 2019 to 2022 and Head of Affiliated
Managers, Allspring Global Investments, from 2014 to 2019 and Executive Vice President responsible for marketing,
investments and product development for Allspring Funds Management, LLC, from 2009 to 2014.
Jeremy DePalma
(Born 1974)
Treasurer,
since 2012
(for certain funds in
the Fund Complex);
since 2021 (for
the remaining funds
in the Complex)
Senior Vice President of Allspring Funds Management, LLC since 2009. Senior Vice President of Evergreen
Investment Management Company, LLC from 2008 to 2010 and head of the Fund Reporting and Control Team
within Fund Administration from 2005 to 2010.
Christopher Baker
(Born 1976)
Chief Compliance
Officer,
since 2022
Global Chief Compliance Officer for Allspring Global Investments since 2022. Prior thereto, Chief Compliance
Officer for State Street Global Advisors from 2018 to 2021. Senior Compliance Officer for the State Street divisions
of Alternative Investment Solutions, Sector Solutions, and Global Marketing from 2015 to 2018. From 2010 to 2015
Vice President, Global Head of Investment and Marketing Compliance for State Street Global Advisors.
Matthew Prasse
(Born 1983)
Chief Legal Officer,
since 2022;
Secretary,
since 2021
Senior Counsel of the Allspring Legal Department since 2021. Senior Counsel of the Wells Fargo Legal Department
from 2018 to 2021. Previously, Counsel for Barings LLC from 2015 to 2018. Prior to joining Barings, Associate at
Morgan, Lewis & Bockius LLP from 2008 to 2015.
1For those Officers with tenures at Allspring Global Investments and/or Allspring Funds Management, LLC that began prior to 2021, such tenures include years of service during which these businesses/entities were known as Wells Fargo Asset Management and Wells Fargo Funds Management, LLC, respectively.
30 | Allspring VT Discovery All Cap Growth Fund


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For more information
More information about Allspring Funds is available free upon request. To obtain literature, please write, visit the Funds website, or call:
Allspring Funds
P.O. Box 219967
Kansas City, MO 64121-9967
Website:allspringglobal.com
Individual investors: 1-800-260-5969
Retail investment professionals:1-888-877-9275
Institutional investment professionals:1-866-765-0778
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-260-5969 or visit the Funds website at allspringglobal.com. Read the prospectus carefully before you invest or send money.
Allspring Global InvestmentsTM is the trade name for the asset management firms of Allspring Global Investments Holdings, LLC, a holding company indirectly owned by certain private funds of GTCR LLC and Reverence Capital Partners, L.P. These firms include but are not limited to Allspring Global Investments, LLC, and Allspring Funds Management, LLC. Certain products managed by Allspring entities are distributed by Allspring Funds Distributor, LLC (a broker-dealer and Member FINRA/SIPC).
This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind - including a recommendation for any specific investment, strategy, or plan.
© 2024 Allspring Global Investments Holdings, LLC. All rights reserved.
ALL-01052024-ab2bssdw 02-24
AR0578 12-23


Allspring VT
Discovery SMID Cap
Growth Fund
(formerly, Allspring VT Discovery Fund)
Annual Report
December 31, 2023




Contents
The views expressed and any forward-looking statements are as of December 31, 2023, unless otherwise noted, and are those of the Fund’s portfolio managers and/or Allspring Global Investments. Discussions of individual securities or the markets generally are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements. The views expressed are subject to change at any time in response to changing circumstances in the market. Allspring Global Investments disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.
Allspring VT Discovery SMID Cap Growth Fund | 1


Letter to shareholders (unaudited)
Andrew Owen
President
Allspring Funds
Dear Shareholder:
We are pleased to offer you this annual report for the Allspring VT Discovery SMID Cap Growth Fund for the 12-month period that ended December 31, 2023. Effective May 1, 2023, the Fund changed its name from Allspring VT Discovery Fund to Allspring VT Discovery SMID Cap Growth Fund. Globally, stocks and bonds experienced high levels of volatility throughout the period but had positive overall results. The market was focused on persistently high inflation and the impact of ongoing aggressive central bank rate hikes. Compounding these concerns were the global reverberations of the Russia-Ukraine war. Riskier assets rallied in 2023, as investors anticipated an end to the tight monetary policy despite concerns of a possible recession. After suffering deep and broad losses through 2022, bonds now benefit from a base of higher yields that can help generate higher income.
For the 12-month period, stocks generally outperformed bonds—both domestic U.S. and global. For the period, U.S. stocks, based on the S&P 500 Index,1 gained 26.29%. International stocks, as measured by the MSCI ACWI ex USA Index (Net),2 returned 15.62%, while the MSCI EM Index (Net) (USD)3 had more modest performance, with a gain of 9.83%. Among bond indexes, the Bloomberg U.S. Aggregate Bond Index4 returned 5.53%, the Bloomberg Global Aggregate ex-USD Index (unhedged)5 gained 5.72%, the Bloomberg Municipal Bond Index6 returned 6.40%, and the ICE BofA U.S. High Yield Index7 gained 13.54%.
Despite high inflation and central bank rate hikes, markets rallied.
The year 2023 began with a rally across global equities and fixed income securities. Investor optimism rose in response to data indicating declining inflation rates and the reopening of China’s economy with the abrupt end to its zero-COVID-19 policy. The U.S. reported strong job gains and unemployment fell to 3.4%—the lowest level since 1969. Meanwhile, wage growth, seen as a potential contributor to ongoing high inflation, continued to moderate. All eyes remained on the Federal Reserve (Fed) and on how many more rate hikes remain in this tightening cycle. The 0.25% federal funds rate hike announced in January was the Fed’s smallest rate increase since March 2022.
Markets declined in February as investors responded unfavorably to resilient economic data. The takeaway: Central banks would likely continue their monetary tightening cycle for longer than markets had priced in. In this environment—where strong economic data is seen as bad news—the resilient U.S. labor market was taken as a negative, with inflation not falling quickly enough for the Fed, which raised interest rates by 0.25% in February. Meanwhile, the Bank of England (BoE) and the European Central Bank (ECB) both raised rates by 0.50%.
1
The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stocks weight in the index proportionate to its market value. You cannot invest directly in an index.
2
The Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the U.S. Source: MSCI. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.
3
The MSCI Emerging Markets (EM) Index (Net) (USD) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of emerging markets. You cannot invest directly in an index.
4
The Bloomberg 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. You cannot invest directly in an index.
5
The Bloomberg Global Aggregate ex-USD Index (unhedged) is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S.-dollar-denominated debt market. You cannot invest directly in an index.
6
The Bloomberg Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.
7
The ICE BofA U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high yield bonds. The index tracks the performance of high yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2024. ICE Data Indices, LLC. All rights reserved.
2 | Allspring VT Discovery SMID Cap Growth Fund


Letter to shareholders (unaudited)
The collapse of Silicon Valley Bank in March—the second-largest banking failure in U.S. history—led to a bank run that spread to Europe, where Switzerland’s Credit Suisse was taken over by its rival, UBS.
The collapse of Silicon Valley Bank in March—the second-largest banking failure in U.S. history—led to a bank run that spread to Europe, where Switzerland’s Credit Suisse was taken over by its rival, UBS. The banking industry turmoil created an additional challenge for central banks in balancing inflationary concerns against potential economic weakening. Meanwhile, recent data pointed to economic strength in the U.S., Europe, and China. And China’s economy continued to rebound after the removal of its COVID-19 lockdown. Inflation rates in the U.S., the U.K., and the eurozone all remained higher than central bank targets, leading to additional rate hikes in March.
Economic data released in April pointed to global resilience, as Purchasing Managers Indexes1 in the U.S., U.K., and eurozone beat expectations and China reported first-quarter annualized economic growth of 4.5%. Despite banking industry stress, developed market stocks had monthly gains. The U.S. labor market remained strong, with a 3.5% jobless rate and monthly payroll gains above 200,000. However, uncertainty and inflationary concerns weighed on investors in the U.S. and abroad.
May was marked by a divergence between expanding activity in services and an overall contraction in manufacturing activity in the U.S., U.K., and eurozone. Core inflation remained elevated in the U.S. and Europe, despite the ongoing efforts of the Fed and the ECB, which included rate hikes of 0.25% by both in May. Stubborn inflation and the resilient U.S. labor market led to expectations of further interest rate hikes, overall monthly declines across bond indexes, and mixed results for stocks in May. Investor worries over a U.S. debt ceiling impasse were modest, and market confidence was buoyed by a deal in late May to avert a potential U.S. debt default.
June featured the Fed’s first pause on interest rate hikes since March 2022, when it began its aggressive campaign to rein in inflation. However, inflation, as measured by the Core Consumer Price Index (CPI)2, while continuing to decline, remained stubbornly high in June at 4.8%, well above the Fed’s 2.0% target rate. With the U.S. unemployment rate still at 3.6%, near a historical low, and U.S. payrolls growing in June for the 30th consecutive month, expectations of more Fed rate hikes were reinforced. However, U.S. and global stocks had strong returns in June.
July was a good month for stocks. However, bonds had more muted but positive monthly returns overall. Riskier sectors and regions tended to do well, as investors grew more optimistic regarding economic prospects. With strong second-quarter gross domestic product (GDP) growth—initially estimated at 2.4%—and U.S. annual inflation easing steadily to 3.2% in July, hopes for a soft economic landing grew. The Fed, the ECB, and the BoE all raised their respective key interest rates by 0.25% in July. In the Fed’s case, speculation grew that it could be very close to the end of its tightening cycle. Meanwhile, China’s economy showed signs of stagnation, renewing concerns of global fallout.
Stocks retreated in August while monthly bond returns were flat overall. Increased global market volatility reflected unease over the Chinese property market being stressed along with weak Chinese economic data. On a more positive note, speculation grew over a possible end to the Fed’s campaign of interest rate increases or at least a pause in September. U.S. economic data generally remained solid, with resilient job market data and inflation ticking up slightly in August, as the annual CPI3 rose 3.7%. However, the three-month trend for Core CPI stood at a more encouraging annualized 2.4%.
1
The Purchasing Managers Index (PMI) is an index of the prevailing direction of economic trends in the manufacturing and service sectors. You cannot invest directly in an index.
2
The Core Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services excluding energy and food prices. You cannot invest directly in an index.
3
The CPI is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. You cannot invest directly in an index.
Allspring VT Discovery SMID Cap Growth Fund | 3


Letter to shareholders (unaudited)
Stocks and bonds both had negative overall returns in September as investors reluctantly recited the new chorus of “higher for longer,” led by the Fed’s determination not to lower interest rates until it knows it has vanquished its pesky opponent—higher-than-targeted inflation. As of September, the two primary gauges of U.S. inflation—the annual Core Personal Consumption Expenditures Price Index1 and the CPI—both stood at roughly 4%, twice as high as the Fed’s oft-stated 2% target. The month ended with the prospect of yet another U.S. government shutdown, averted at least temporarily but looming later this fall.
October was a tough month for stocks and bonds. Key global and domestic indexes all were pushed down by rising geopolitical tensions, particularly the Israel-Hamas conflict, and concerns over the Fed’s “higher for longer” monetary policy. The U.S. 10-year Treasury yield rose above 5% for the first time since 2007. Commodity prices did well as oil prices rallied in response to the prospect of oil supply disruptions from the Middle East. U.S. annualized third-quarter GDP was estimated at a healthier-than-anticipated 4.9%. China’s GDP indicated surprisingly strong industrial production and retail sales, offset by ongoing weakness in its real estate sector.
In November, the market mood turned positive as cooling inflation inspired confidence that central banks could hold off on further rate hikes. Overall annual inflation in the U.S. fell to 3.1% in November while 12-month inflation in the U.K. and eurozone eased to 4.6% and 2.4%, respectively—far below their peak levels of mid-2022. Third quarter annualized U.S. GDP growth was raised to an estimated 5.2% while U.S. job totals rose by just below 200,000 in November, indicating a slight cooling of the labor market. All of this fresh evidence added to confidence for a U.S. soft economic landing, leading to a more buoyant mood heading into winter as the Federal Open Market Committee held rates steady at its December meeting.
The broad year-end rally among stocks and bonds that began in November continued through December as investors became more confident that monetary policy would ease in 2024. Supporting the bubbly market mood were a series of reports confirming lower inflationary trends in the U.S. and Europe. During the period, it appeared more likely that the U.S. economy could achieve a soft landing, cooling enough to lower inflation without the pain of a recession. However, by year-end, an expectations gap developed. Capital markets priced in a total of 1.50 percentage points in federal funds rate cuts in 2024—twice as much as the three cuts of 0.25% hinted at by Fed officials.
In November, the market mood turned positive as cooling inflation inspired confidence that central banks could hold off on further rate hikes.
1
The Core Personal Consumption Expenditures Price Index (PCE) is a measure of prices that people living in the United States, or those buying on their behalf, pay for goods and services. It is sometimes called the core PCE price index, because two categories that can have price swings – food and energy – are left out to make underlying inflation easier to see. You cannot invest directly in an index.
4 | Allspring VT Discovery SMID Cap Growth Fund


Letter to shareholders (unaudited)
For further information about your fund, contact your investment professional, visit our website at allspringglobal.com, or call us directly at 1-800-260-5969.
Don’t let short-term uncertainty derail long-term investment goals.
Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Allspring Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.
Thank you for choosing to invest with Allspring Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.
Sincerely,
Andrew Owen
President
Allspring Funds
Allspring VT Discovery SMID Cap Growth Fund | 5


Letter to shareholders (unaudited)
Notice to Shareholders
Beginning in July 2024, the Fund will be required by the Securities and Exchange Commission to send shareholders a paper
copy of a new tailored shareholder report in place of the full shareholder report that you are now receiving. The tailored
shareholder report will contain concise information about the Fund, including certain expense and performance
information and fund statistics. If you wish to receive this new tailored shareholder report electronically, please follow the
instructions on the back cover of this report.
Other information that is currently included in the shareholder report, such as the Fund’s financial statements, will be
available online and upon request, free of charge, in paper or electronic format.
6 | Allspring VT Discovery SMID Cap Growth Fund


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Performance highlights (unaudited)
Performance highlights
Investment objective
The Fund seeks long-term capital appreciation.
Manager
Allspring Funds Management, LLC
Subadviser
Allspring Global Investments, LLC
Portfolio managers
Michael T. Smith, CFA, Christopher J. Warner, CFA
Average annual total returns (%) as of December 31, 2023
 
 
 
 
 
Expense ratios1 (%)
 
Inception date
1 year
5 year
10 year
Gross
Net2
Class 2
5-8-1992
20.14
9.90
7.43
1.16
1.15
Russell 2500TM Growth Index3
18.93
11.43
8.78
Figures quoted represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available by calling 1-800-260-5969. Performance figures of the Fund do not reflect fees and expenses charged pursuant to the terms of variable life insurance policies and variable annuity contracts. If these fees and expenses had been reflected, performance would have been lower.
Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.
Shares are sold without a front-end sales charge or contingent deferred sales charge.
 
1
Reflects the expense ratios as stated in the most recent prospectus. The expense ratios shown are subject to change and may differ from the annualized expense ratios
shown in the Financial Highlights of this report.
2
The manager has contractually committed through April 30, 2024, to waive fees and/or reimburse expenses to the extent necessary to cap total annual fund operating
expenses after fee waivers at 1.15% for Class 2 shares. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and
extraordinary expenses are excluded from the expense cap. Prior to or after the commitment expiration date, the cap may be increased or the commitment to maintain the
cap may be terminated only with the approval of the Board of Trustees.  Without these caps, the Fund’s returns would have been lower. The expense ratio paid by an
investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectus.
3
The Russell 2500TM Growth Index measures the performance of those Russell 2500TM companies with higher price/book ratios and higher forecasted growth values. You
cannot invest directly in an index.
Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). This fund is exposed to foreign investment risk. Consult the Fund’s prospectus for additional information on these and other risks.
Please refer to the prospectus provided by your participating insurance company for detailed information describing the separate accounts for information regarding surrender charges, mortality and expense risk fees, and other charges that may be assessed by the participating insurance companies.
CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute.
8 | Allspring VT Discovery SMID Cap Growth Fund


Performance highlights (unaudited)
Growth of $10,000 investment as of December 31, 20231
1
The chart compares the performance of Class 2 shares for the most recent ten years with the Russell 2500TM Growth Index. The chart assumes a hypothetical investment
of $10,000 in Class 2 shares and reflects all operating expenses of the Fund but does not reflect fees and expenses charged pursuant to the terms of variable life insurance
policies and variable annuity contracts.
Allspring VT Discovery SMID Cap Growth Fund | 9


Performance highlights (unaudited)
MANAGERS DISCUSSION
Fund highlights
The Fund outperformed its benchmark, the Russell 2500TM Growth Index, for the 12-month period that ended December 31, 2023.
Security selection in the consumer discretionary and industrials sectors, along with a material underweight to the energy sector, contributed to the Fund’s results.
Holdings within the communication services and information technology (IT) sectors detracted from relative performance.
Market leadership was concentrated for much of 2023.
The year started with high inflation and financial tightening producing a resounding call for a recession in 2023, yet the year ended on a positive note for most major U.S. equity indexes. Supported by healthy labor markets, declining inflation metrics, and a resilient consumer, earnings results largely exceeded expectations. Most notably, companies connected to artificial intelligence and GLP-1s (glucagon-like peptide-1) garnered significant attention and saw their valuations soar. For much of the year, the “Magnificent 7” stocks substantially outperformed the rest of the U.S. equity universe, boosting returns in large-cap indexes while restrictive policy rates deterred sentiment for small-cap stocks. However, along with favorable economic data, a dovish shift in tone from the Federal Reserve fueled a market rally late in the year. After trailing the Magnificent 7 for most of the year, market leadership broadened out in the fourth quarter and a soft landing became the consensus outlook for 2024.
Ten largest holdings (%) as of December 31, 20231
Casella Waste Systems, Inc. Class A
2.51
Teledyne Technologies, Inc.
2.22
SiteOne Landscape Supply, Inc.
2.22
Globant SA
2.18
Axon Enterprise, Inc.
2.14
Bio-Techne Corp.
2.09
Rexford Industrial Realty, Inc.
1.98
Tetra Tech, Inc.
1.95
Morningstar, Inc.
1.91
Novanta, Inc.
1.83
1
Figures represent the percentage of the Funds net assets. Holdings are
subject to change and may have changed since the date specified.
Security selection in industrials and consumer discretionary contributed to relative performance.
Within industrials, Saia, Inc., contributed to performance. Saia is a short-haul trucking company that specializes in e-commerce fulfillment. During the year, shipment volumes and contract renewals exceeded expectations. Additionally, the dissolution of a key competitor created a unique opportunity for Saia to expand its distribution network. We hold conviction in Saia’s ability to execute, but we modestly trimmed the position due to elevated valuation.
In consumer discretionary, MercadoLibre, Inc., also contributed. MercadoLibre, a leading e-commerce and payments platform in Latin America, launched services to boost user engagement and advertising
revenue. Improving profitability and a leading technology platform provide multiple growth opportunities for MercadoLibre. We have held MercadoLibre within our portfolio for several years and continue to believe in its potential to deliver superior future returns.
Stock selection within communication services and IT detracted from relative performance.
Within communication services, ZoomInfo Technologies, Inc., detracted from performance. ZoomInfo hosts a global database that connects sale and marketing professionals with prospective clients. During the year, layoffs within the tech industry and pauses within corporate discretionary spending decreased demand for ZoomInfo. When sales did not reaccelerate as recession fears receded, our sell discipline was triggered and we exited the position.
BILL Holdings, Inc., in IT, also detracted from performance. BILL provides cloud-based software that enables small and medium-size businesses to digitize back-office functions. In return, BILL receives subscription fees and a portion of each transaction processed on its platform. Macro headwinds resulted in many of BILL’s customers reducing advertising and discretionary spending, which adversely affected BILL’s transactional revenue. We still hold the position but we are closely monitoring
fundamentals.
Sector allocation as of December 31, 20231
1
Figures represent the percentage of the Funds long-term investments.
Allocations are subject to change and may have changed since the date
specified.
10 | Allspring VT Discovery SMID Cap Growth Fund


Performance highlights (unaudited)
Staying balanced, with a skew toward quality.
The recent year was positive for equities, with most major U.S.-based equity indexes producing healthy gains. While the rally in December created optimism going into 2024, we believe investors should guard against extrapolating near-term signals. Consensus expectations are now for double-digit earnings growth for S&P 500 companies in the next year. Given lingering inflation uncertainties and the delayed impact of higher rates, we are concerned that this could be an optimistic bar for the market to clear. With elevated valuations and expectations, the markets may experience a negative surprise. Our strategy for navigating this environment is to be balanced and highly selective. We are placing a
priority on companies with profitable business models, free cash flow generation, and strong management execution. 
We think there are exciting opportunities in small- and mid-cap growth stocks, which still trade at compelling relative valuations to large caps. Should the economy avoid a sharp downturn, there is considerable upside in smaller companies on the other side of a recovery. Most importantly, after a long period of hyperfocus on monetary policy, we are encouraged to see investors become more discerning toward company fundamentals. When it comes to compounding wealth, investors are realizing that profits may matter more than interest rates. This is an encouraging trend that we expect to continue.
Allspring VT Discovery SMID Cap Growth Fund | 11


Fund expenses (unaudited)
Fund expenses
As a shareholder of the Fund, you incur ongoing costs, including management fees, distribution (12b-1) fees and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from July 1, 2023 to December 31, 2023.
Actual expenses
The “Actual” line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000= 8.6), then multiply the result by the number in the “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.
Hypothetical example for comparison purposes
The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any separate account charges assessed by participating insurance companies. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these separate account charges assessed by participating insurance companies were included, your costs would have been higher.
 
Beginning
account value
7-1-2023
Ending
account value
12-31-2023
Expenses 
paid during
paid during
the period1
Annualized net
expense ratio
Actual
$1,000.00
$1,019.40
$5.82
1.15
%
Hypothetical (5% return before expenses)
$1,000.00
$1,019.30
$5.82
1.15
%
1
Expenses paid is equal to the annualized net expense ratio multiplied by the average account value over the period, multiplied by 183 divided by 365 (to reflect the
one-half-year period).
12 | Allspring VT Discovery SMID Cap Growth Fund


Portfolio of investments—December 31, 2023
Portfolio of investments
 
 
 
Shares
Value
Common stocks:  97.92%
 
Communication services:  4.56%
 
Entertainment:  3.41%
 
Liberty Media Corp.-Liberty Formula One Class C
 
25,300
$1,597,189
Liberty Media Corp.-Liberty Live Class C
 
39,878
1,491,039
TKO Group Holdings, Inc.
 
19,200
1,566,336