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: 811-09871
CULLEN FUNDS TRUST
(exact name of registrant as specified in charter)
645 Fifth Avenue, New York, NY 10022
(Address of principal executive offices) (Zip code)
Brooks Cullen
645 Fifth Avenue
New York, NY 10022
(Name and address of agent for service)
registrant’s telephone number, including area code: 212-644-1800
Date of fiscal year end: June 30
Date of reporting period: July 1, 2021 – June 30, 2022
| Item 1. | Report to Shareholders. |
| (a) |
Annual Report
June 30, 2022
International High Dividend Fund
High Dividend Equity Fund
Small Cap Value Fund
Value Fund
Emerging Markets High Dividend Fund
Enhanced Equity Income Fund
Table of Contents
Shareholder Letter |
3 |
Fund Performance |
6 |
Disclosure of Fund Expenses |
27 |
Schedule of Investments |
30 |
Statements of Assets and Liabilities |
43 |
Statements of Operations |
45 |
Statements of Changes in Net Assets |
46 |
Financial Highlights |
49 |
Notes to Financial Statements |
70 |
Report of Independent Registered Public Accounting Firm |
79 |
Additional Information |
80 |
Board of Trustees |
81 |
Board Approval of Investment Advisory Agreements |
83 |
Cullen Funds
Shareholder Letter
June 30, 2022 (Unaudited)
August 25, 2022
Retail Class Performance for the twelve months ended June 30, 2022 for the Cullen High Dividend Equity Fund (“High Dividend Fund”), Cullen International High Dividend Fund (“International High Dividend Fund”), Cullen Small Cap Value Fund (“Small Cap Fund”), Cullen Value Fund (“Value Fund”), Cullen Emerging Markets High Dividend Fund (“Emerging Markets High Dividend Fund”), and Cullen Enhanced Equity Income Fund (“Enhanced Equity Income Fund”) versus their respective benchmarks was as follows:
Fund/Benchmark |
Performance | |||
Cullen International High Dividend Fund |
(13.71 | )% | ||
MSCI EAFE Gross Total Return Index |
(17.33 | )% | ||
Cullen High Dividend Equity Fund |
(3.53 | )% | ||
S&P 500 Total Return Index |
(10.62 | )% | ||
Cullen Small Cap Value Fund |
(6.35 | )% | ||
Russell 2000 Value Total Return Index |
(16.28 | )% | ||
Cullen Value Fund |
(6.72 | )% | ||
S&P 500 Total Return Index |
(10.62 | )% | ||
Cullen Emerging Markets High Dividend Fund |
(17.95 | )% | ||
MSCI Emerging Markets Net Total Return Index |
(25.29 | )% | ||
Cullen Enhanced Equity Income Fund |
(3.19 | )% | ||
Cboe S&P 500 BuyWrite Index |
(2.62 | )% |
Please refer to the financial highlights for each Fund’s respective share class performance on pages 49-69 of this annual report.
Portfolio Review - International High Dividend Fund
The International High Dividend Fund’s performance versus the MSCI EAFE Index during the period was primarily due to the Fund’s stock selection in Communication Services and Financials as well as an underweight allocation to the Information Technology and Consumer Discretionary sectors. Partially offsetting relative performance during the period was the Fund’s stock selection within Materials and Utilities.
Portfolio Review - High Dividend Fund
The High Dividend Fund’s outperformance versus the S&P 500 Index during the period was primarily due to the Fund’s allocation in Energy, the best performing sector for the period, Communication Services and Consumer Staples as well as superior stock selection within Communication Services. Stock selection within Consumer Staples and Real Estate slightly offset relative performance.
Portfolio Review - Small Cap Fund
The Small Cap Fund’s performance versus the Russell 2000 Value Index during the period was mainly due to stock selection and allocation to the Energy and Healthcare sectors as well as the Fund’s lack of exposure to Communication Services. Partially offsetting relative performance was the Fund’s stock selection in Information Technology and Industrials.
Portfolio Review - Value Fund
The Value Fund’s performance versus the S&P 500 Index during the period was primarily due to an overweight allocation and strong stock selection in Health Care as well as an overweight allocation to Energy, the best performing sector for the period. The Fund’s underweight exposure in Utilities and stock selection in Communication Services slightly offset relative performance.
Portfolio Review - Emerging Markets High Dividend Fund
The Emerging Markets High Dividend Fund’s performance versus the MSCI Emerging Markets Index during the period was primarily due to an underweight allocation and strong stock selection within the Consumer Discretionary sector as well as an underweight exposure to Information Technology. Offsetting relative performance was primarily stock selection within the Financials sector.
Portfolio Review - Enhanced Equity Income Fund
The Enhanced Equity Income Fund’s performance versus the S&P 500 Index during the period was primarily due to the Fund’s overweight exposure to Energy as well as stock selection within Consumer Discretionary and Communication Services. Stock selection within Information Technology and Financials slightly offset relative performance. The Fund’s use of covered call options1 contributed premiums of approximately 3.1% of average net assets during the period.
3
Cullen Funds
Shareholder Letter
June 30, 2022 (Unaudited) (Continued)
Outlook
The equity market downturn that began in January 2022 hit bear market territory in the 2nd quarter as decades-high inflation, expected to peak by mid-year, has remained persistently high. As a result, global central banks accelerated rate hikes throughout the quarter serving to withdraw liquidity and tighten financial conditions, pressuring almost all asset classes. All the while, the surging US dollar, widening credit spreads and increasing pockets of economic weakness have further raised alarm. Fears of a potential recession driven by a combination of monetary tightening and weakening growth soon shifted to concerns that the Federal Reserve will not be aggressive enough to bring inflation down. This view rests on the belief that a prolonged period of inflation will lengthen the Fed tightening cycle, increasing the odds of recession.
The track record of the Fed engineering a soft landing while raising interest rates is poor. That coupled with a multi-decade paradigm shift at the Fed clearly prioritizing price stability over growth, suggests that the Fed will continue raising interest rates until inflation has broken convincingly low. Over the past half century of Fed rate hike cycles, the Fed Funds rate has ended at levels higher than CPI. There has only been once instance, during the 1994-1995 cycle, when the Fed tightened above the neutral rate that didn’t result in recession. Today, given the wide spread between the Fed Funds rate and CPI, either inflation will need to fall significantly, or Fed tightening has a way to go. That being said, a recession could be short and shallow in nature given the strength of consumer finances, a well-capitalized banking system and market excesses that have already corrected considerably.
The only good news in all of this is that historically difficult markets like the one we’re in tend to be very good for the relative performance of value investing in our opinion. The current environment where risks abound even as we move to an eventual market bottom, favors Value and High Dividend stocks. Considering the increasing odds of a US recession, Value stocks have historically led the market coming out of a recession - outperforming in all 14 out of 14 recessions since 1929. The outperformance of Value stocks over the S&P 500 has averaged +28% over approximately 12 months (BofA/ML, US Equity Strategy in Pictures, 4/29/2022).
In the first year of Fed rate hike cycles, Value has been one of the best performing factors, outperforming the market by an average 7.0 percentage points (BofA/ML, US Equity Strategy in Pictures, 4/29/2022). Two years into a rate hike cycle, High Dividend stocks have outperformed non-Dividend stocks by an average 12% (Ned Davis Research, Dividend stocks during tightening cycles, 2/15/2022). And despite the recent relative outperformance of Value stocks, the valuation spread between Growth and Value is still wide at 7.3x (90% percentile) vs. the long-term historical median of 4.3x.
As we have regularly pointed out, the key to success in the stock market is to invest with a discipline and invest for the long-term, and not to lose focus and be distracted by bear markets and recessions. We believe the best way to avoid the extreme volatility of the stock market is to take a long term view (that is, five years) and invest with a price discipline. Given the incredibly strong equity returns generated this past decade combined with still elevated valuation levels, we believe earnings2 and dividend yield3 along with dividend growth4 become more important.
Sincerely,
James P. Cullen
Chairman and Chief Executive Officer
1 Covered call option is an options strategy whereby an investor holds a long position in an asset and writes (sells) call options on that same asset in an attempt to generate increased income from the asset.
2 The Price-to-Earnings Ratio, or Price/Earnings, is a ratio that measures current share price relative to earnings per share.
3 A dividend yield is a financial ratio that indicates how much a company pays out in dividends each year relative to its share price.
4 Dividend growth is the annualized percentage rate of growth that a particular stock's dividend undergoes over a period of time.
The above outlook reflects the opinions of the authors, is subject to change, is not guaranteed, and should not be considered investment advice.
The Cullen International High Dividend Fund, Cullen High Dividend Equity Fund, Cullen Value Fund, Cullen Emerging Markets High Dividend Fund, and Cullen Enhanced Equity Income Fund’s investment objectives are capital appreciation and current income. The Cullen Small Cap Value Fund’s objective is capital appreciation.
Past performance does not guarantee future results. The investment return and principal value 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. You can obtain performance data current to the most recent month end by calling 1-877-485-8586 or visiting our website: www.cullenfunds.com. The Cullen Funds impose a 2% redemption fee on shares held less than seven days. Performance data does not reflect the redemption fee. If reflected, total returns would be reduced.
Mutual fund investing involves risk. Principal loss is possible. The Funds may also invest in medium- and small-capitalization companies, which will involve additional risks such as limited liquidity and greater volatility.
The S&P 500 Index is an unmanaged index commonly used to measure performance of U.S. stocks. The MSCI EAFE Index is an unmanaged index of common stocks in Europe, Australia, Asia and the Far East. The Russell 2000 Value Index is an unmanaged index commonly used to measure performance of small capitalization stocks. The MSCI Emerging Markets Index is an unmanaged index of common stocks of in global emerging economies. The MSCI Emerging Markets Index is an unmanaged index of common stocks of in global emerging economies. The CBOE S&P 500 BuyWrite Index is an unmanaged index designed to track
4
Cullen Funds
Shareholder Letter
June 30, 2022 (Unaudited) (Continued)
the performance of a hypothetical buy-write strategy on the S&P 500 Index, which itself is also unmanaged index commonly used to measure performance of U.S. stocks. It is not possible to invest directly in an index.
Fund holdings and/or sector allocations are subject to change and are not recommendations to buy or sell any security. Please refer to each Fund’s Schedule of Investments in the report for complete fund holdings information.
Current and future portfolio holdings are subject to risk.
Investment performance reflects fee waivers. In the absence of such waivers, total returns would be reduced.
Must be accompanied or preceded by a current prospectus.
The Cullen Funds are distributed by ALPS Distributors, Inc. (08/21)
5
Cullen International High Dividend Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (12/15/2005) | |||||||||||||
Cullen International High Dividend Fund - Retail |
(13.71)% | 0.63% | 3.07% | 2.61% | ||||||||||||
MSCI EAFE Index |
(17.33)% | 2.69% | 5.89% | 3.91% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI EAFE Index is an unmanaged index of common stocks in Europe, Australia, Asia and the Far East.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012. Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
6
Cullen International High Dividend Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (12/15/2005) | |||||||||||||
Cullen International High Dividend Fund - Class C |
(14.38)% | (0.13)% | 2.30% | 1.87% | ||||||||||||
MSCI EAFE Index |
(17.33)% | 2.69% | 5.89% | 3.91% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI EAFE Index is an unmanaged index of common stocks in Europe, Australia, Asia and the Far East.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
7
Cullen International High Dividend Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (12/15/2005) | |||||||||||||
Cullen International High Dividend Fund - Class I |
(13.49)% | 0.90% | 3.33% | 2.89% | ||||||||||||
MSCI EAFE Index |
(17.33)% | 2.69% | 5.89% | 3.91% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI EAFE Index is an unmanaged index of common stocks in Europe, Australia, Asia and the Far East.
This chart assumes an initial gross investment of $1,000,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
8
Cullen International High Dividend Fund - Class R2
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (3/4/2010) | |||||||||||||
Cullen International High Dividend Fund - Class R2 |
(13.85)% | 0.43% | 2.85% | 2.90% | ||||||||||||
MSCI EAFE Index |
(17.33)% | 2.69% | 5.89% | 4.90% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI EAFE Index is an unmanaged index of common stocks in Europe, Australia, Asia and the Far East.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
9
Cullen High Dividend Equity Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (8/1/2003) | |||||||||||||
Cullen High Dividend Equity Fund - Retail |
(3.53)% | 5.83% | 8.40% | 7.63% | ||||||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.96% | 9.57% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
10
Cullen High Dividend Equity Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (10/7/2004) | |||||||||||||
Cullen High Dividend Equity Fund - Class C |
(4.30)% | 4.99% | 7.59% | 6.25% | ||||||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.96% | 9.23% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
11
Cullen High Dividend Equity Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (10/7/2004) | |||||||||||||
Cullen High Dividend Equity Fund - Class I |
(3.35)% | 6.09% | 8.67% | 7.31% | ||||||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.96% | 9.23% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $1,000,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
12
Cullen High Dividend Equity Fund - Class R1
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (3/3/2010) | |||||||||||||
Cullen High Dividend Equity Fund - Class R1 |
(4.04)% | 5.30% | 7.85% | 8.57% | ||||||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.96% | 12.61% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
13
Cullen High Dividend Equity Fund - Class R2
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (3/4/2010) | |||||||||||||
Cullen High Dividend Equity Fund - Class R2 |
(3.82)% | 5.56% | 8.09% | 8.88% | ||||||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.96% | 12.57% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012 . Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
14
Cullen Small Cap Value Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (10/1/2009) | |||||||||||||
Cullen Small Cap Value Fund - Retail |
(6.35)% | 7.32% | 6.88% | 7.57% | ||||||||||||
Russell 2000 Value Index |
(16.28)% | 4.89% | 9.05% | 9.69% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Russell 2000 Value Index is a small-cap stock market index of the smallest 2,000 stocks in the Russell 3000 Index, which measures performance of the 3,000 largest publicly held companies incorporated in America as measured by total market capitalization.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012. Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
15
Cullen Small Cap Value Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (10/1/2009) | |||||||||||||
Cullen Small Cap Value Fund - Class C |
(7.11)% | 6.51% | 6.08% | 6.77% | ||||||||||||
Russell 2000 Value Index |
(16.28)% | 4.89% | 9.05% | 9.69% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Russell 2000 Value Index is a small-cap stock market index of the smallest 2,000 stocks in the Russell 3000 Index, which measures performance of the 3,000 largest publicly held companies incorporated in America as measured by total market capitalization.
This chart assumes an initial gross investment of $10,000 made on 06/30/2012. Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
16
Cullen Small Cap Value Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||||||
| 1 Year | 5 Year | 10 Year | Annualized Since Inception (10/1/2009) | |||||||||||||
Cullen Small Cap Value Fund - Class I |
(6.11)% | 7.59% | 7.11% | 7.82% | ||||||||||||
Russell 2000 Value Index |
(16.28)% | 4.89% | 9.05% | 9.69% | ||||||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Russell 2000 Value Index is a small-cap stock market index of the smallest 2,000 stocks in the Russell 3000 Index, which measures performance of the 3,000 largest publicly held companies incorporated in America as measured by total market capitalization.
This chart assumes an initial gross investment of $1,000,000 made on 06/30/2012. Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
17
Cullen Value Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Value Fund - Retail |
(6.72)% | 6.79% | 9.21% | |||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.78% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
18
Cullen Value Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Value Fund - Class C |
(7.45)% | 6.00% | 8.39% | |||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.78% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $10,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
19
Cullen Value Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Value Fund - Class I |
(6.51)% | 7.05% | 9.48% | |||||||||
S&P 500 Index |
(10.62)% | 11.31% | 12.78% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The Standard & Poor’s 500® Stock Index (S&P 500®) is a capitalization-weighted index, representing the aggregate market value of the common equity of 500 large-capitalization stocks primarily traded on the New York Stock Exchange.
This chart assumes an initial gross investment of $1,000,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
20
Cullen Emerging Markets High Dividend Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Emerging Markets High Dividend Fund - Retail |
(17.95)% | 1.49% | 2.84% | |||||||||
MSCI Emerging Markets Index |
(25.29)% | 2.18% | 2.95% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI Emerging Markets Index is an unmanaged index of common stocks in global emerging economies.
This chart assumes an initial gross investment of $10,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
21
Cullen Emerging Markets High Dividend Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Emerging Markets High Dividend Fund - Class C |
(18.58)% | 0.72% | 2.06% | |||||||||
MSCI Emerging Markets Index |
(25.29)% | 2.18% | 2.95% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI Emerging Markets Index is an unmanaged index of common stocks in global emerging economies.
This chart assumes an initial gross investment of $10,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
22
Cullen Emerging Markets High Dividend Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (8/31/2012) | ||||||||||
Cullen Emerging Markets High Dividend Fund - Class I |
(17.75)% | 1.74% | 3.11% | |||||||||
MSCI Emerging Markets Index |
(25.29)% | 2.18% | 2.95% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The MSCI Emerging Markets Index is an unmanaged index of common stocks in global emerging economies.
This chart assumes an initial gross investment of $1,000,000 made on 8/31/2012 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
23
Cullen Enhanced Equity Income Fund - Retail Class
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (12/15/2015) | ||||||||||
Cullen Enhanced Equity Income Fund - Retail |
(3.19)% | 5.81% | 7.07% | |||||||||
Cboe S&P 500 BuyWrite Index |
(2.62)% | 4.09% | 5.32% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The CBOE S&P 500 BuyWrite Index is a benchmark index designed to show the hypothetical performance of a portfolio that engages in a buy-write strategy using S&P 500 index call options.
This chart assumes an initial gross investment of $10,000 made on 12/15/2015 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
24
Cullen Enhanced Equity Income Fund - Class C
Fund Performance
June 30, 2022 (Unaudited)
Growth of $10,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (12/15/2015) | ||||||||||
Cullen Enhanced Equity Income Fund - Class C |
(3.88)% | 5.02% | 6.28% | |||||||||
Cboe S&P 500 BuyWrite Index |
(2.62)% | 4.09% | 5.32% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The CBOE S&P 500 BuyWrite Index is a benchmark index designed to show the hypothetical performance of a portfolio that engages in a buy-write strategy using S&P 500 index call options.
This chart assumes an initial gross investment of $10,000 made on 12/15/2015 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
25
Cullen Enhanced Equity Income Fund - Class I
Fund Performance
June 30, 2022 (Unaudited)
Growth of $1,000,000 Investment
Average Annual Total Return as of June 30, 2022 |
||||||||||||
| 1 Year | 5 Year | Annualized Since Inception (12/15/2015) | ||||||||||
Cullen Enhanced Equity Income Fund - Class I |
(2.90)% | 6.06% | 7.34% | |||||||||
Cboe S&P 500 BuyWrite Index |
(2.62)% | 4.09% | 5.32% | |||||||||
Performance data quoted represents past performance; past performance does not guarantee future results. The 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 of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.cullenfunds.com.
The CBOE S&P 500 BuyWrite Index is a benchmark index designed to show the hypothetical performance of a portfolio that engages in a buy-write strategy using S&P 500 index call options.
This chart assumes an initial gross investment of $1,000,000 made on 12/15/2015 (commencement of operations). Returns shown include the reinvestment of all dividends but do not reflect the deduction of taxes that you may pay on fund distributions or redemption of shares.
26
Cullen Funds
Disclosure of Fund Expenses
June 30, 2022 (Unaudited)
As a shareholder of the Funds, you may incur two types of costs: (1) transaction costs; redemption fees; and exchange fees; and (2) ongoing costs, including management fees; service fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from January 1, 2022 to June 30, 2022.
Actual Expenses
The first sets of lines of the tables below provide information about actual account values and actual expenses. Although the Funds charge no sales loads or transaction fees, you will be assessed fees for outgoing wire transfers, returned checks and stop payment orders at prevailing rates charged by the Funds’ transfer agent. If you request that redemption be made by wire transfer, currently a $15.00 fee is charged by the Funds’ transfer agent. You will be charged a 2% redemption fee if you redeem or exchange shares of the Funds within seven (7) days of purchase. IRA accounts will be charged a $15.00 annual maintenance fee. The examples below include, but are not limited to, management fees, shareholder servicing fees, fund accounting, custody and transfer agent fees. However, the examples below do not include portfolio trading commissions and related expenses. You may use the information within these lines, together with the amount you invested, to estimate the expenses that you paid over the six-month period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second set of lines within the tables below provide information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other mutual funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, redemption fees or exchange fees. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Net Expense |
Beginning |
Ending |
Expenses Paid |
|||||||||||||
Cullen International High Dividend Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.25 | % | $ | 1,000.00 | $ | 850.92 | $ | 5.74 | ||||||||
Hypothetical (5% return before expenses) |
1.25 | % | $ | 1,000.00 | $ | 1,018.60 | $ | 6.26 | ||||||||
Class C |
||||||||||||||||
Actual |
2.00 | % | $ | 1,000.00 | $ | 847.50 | $ | 9.16 | ||||||||
Hypothetical (5% return before expenses) |
2.00 | % | $ | 1,000.00 | $ | 1,014.88 | $ | 9.99 | ||||||||
Class I |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 851.91 | $ | 4.59 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
Class R2 |
||||||||||||||||
Actual |
1.03 | % | $ | 1,000.00 | $ | 851.05 | $ | 4.73 | ||||||||
Hypothetical (5% return before expenses) |
1.03 | % | $ | 1,000.00 | $ | 1,019.67 | $ | 5.16 | ||||||||
27
Cullen Funds
Disclosure of Fund Expenses
June 30, 2022 (Unaudited)
Net Expense |
Beginning |
Ending |
Expenses Paid |
|||||||||||||
Cullen High Dividend Equity Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 895.40 | $ | 4.70 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
Class C |
||||||||||||||||
Actual |
1.75 | % | $ | 1,000.00 | $ | 891.80 | $ | 8.21 | ||||||||
Hypothetical (5% return before expenses) |
1.75 | % | $ | 1,000.00 | $ | 1,016.12 | $ | 8.75 | ||||||||
Class I |
||||||||||||||||
Actual |
0.75 | % | $ | 1,000.00 | $ | 896.00 | $ | 3.53 | ||||||||
Hypothetical (5% return before expenses) |
0.75 | % | $ | 1,000.00 | $ | 1,021.08 | $ | 3.76 | ||||||||
Class R1 |
||||||||||||||||
Actual |
1.50 | % | $ | 1,000.00 | $ | 892.50 | $ | 7.04 | ||||||||
Hypothetical (5% return before expenses) |
1.50 | % | $ | 1,000.00 | $ | 1,017.36 | $ | 7.50 | ||||||||
Class R2 |
||||||||||||||||
Actual |
1.25 | % | $ | 1,000.00 | $ | 893.50 | $ | 5.87 | ||||||||
Hypothetical (5% return before expenses) |
1.25 | % | $ | 1,000.00 | $ | 1,018.60 | $ | 6.26 | ||||||||
Cullen Small Cap Value Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.25 | % | $ | 1,000.00 | $ | 928.17 | $ | 5.98 | ||||||||
Hypothetical (5% return before expenses) |
1.25 | % | $ | 1,000.00 | $ | 1,018.60 | $ | 6.26 | ||||||||
Class C |
||||||||||||||||
Actual |
2.00 | % | $ | 1,000.00 | $ | 923.69 | $ | 9.54 | ||||||||
Hypothetical (5% return before expenses) |
2.00 | % | $ | 1,000.00 | $ | 1,014.88 | $ | 9.99 | ||||||||
Class I |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 928.96 | $ | 4.78 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
Cullen Value Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 881.49 | $ | 4.67 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
Class C |
||||||||||||||||
Actual |
1.75 | % | $ | 1,000.00 | $ | 878.23 | $ | 8.15 | ||||||||
Hypothetical (5% return before expenses) |
1.75 | % | $ | 1,000.00 | $ | 1,016.12 | $ | 8.75 | ||||||||
Class I |
||||||||||||||||
Actual |
0.75 | % | $ | 1,000.00 | $ | 882.17 | $ | 3.50 | ||||||||
Hypothetical (5% return before expenses) |
0.75 | % | $ | 1,000.00 | $ | 1,021.08 | $ | 3.76 | ||||||||
Cullen Emerging Markets High Dividend Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.25 | % | $ | 1,000.00 | $ | 843.10 | $ | 5.71 | ||||||||
Hypothetical (5% return before expenses) |
1.25 | % | $ | 1,000.00 | $ | 1,018.60 | $ | 6.26 | ||||||||
Class C |
||||||||||||||||
Actual |
2.00 | % | $ | 1,000.00 | $ | 839.95 | $ | 9.12 | ||||||||
Hypothetical (5% return before expenses) |
2.00 | % | $ | 1,000.00 | $ | 1,014.88 | $ | 9.99 | ||||||||
Class I |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 844.45 | $ | 4.57 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
28
Cullen Funds
Disclosure of Fund Expenses
June 30, 2022 (Unaudited)
Net Expense |
Beginning |
Ending |
Expenses Paid |
|||||||||||||
Cullen Enhanced Equity Income Fund |
||||||||||||||||
Retail |
||||||||||||||||
Actual |
1.00 | % | $ | 1,000.00 | $ | 931.21 | $ | 4.79 | ||||||||
Hypothetical (5% return before expenses) |
1.00 | % | $ | 1,000.00 | $ | 1,019.84 | $ | 5.01 | ||||||||
Class C |
||||||||||||||||
Actual |
1.75 | % | $ | 1,000.00 | $ | 927.82 | $ | 8.36 | ||||||||
Hypothetical (5% return before expenses) |
1.75 | % | $ | 1,000.00 | $ | 1,016.12 | $ | 8.75 | ||||||||
Class I |
||||||||||||||||
Actual |
0.75 | % | $ | 1,000.00 | $ | 932.74 | $ | 3.59 | ||||||||
Hypothetical (5% return before expenses) |
0.75 | % | $ | 1,000.00 | $ | 1,021.08 | $ | 3.76 | ||||||||
(a) |
Annualized, based on the Fund's most recent fiscal half year expenses. Such figures do not reflect acquired fund fees and expenses. |
(b) |
Expenses are equal to the Fund's annualized expense ratio multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half year (181), divided by 365. Expenses in the examples include the effect of applicable fee waivers and/or expense reimbursements, if any. Had such waivers and/or reimbursements not been in effect, your expenses would have been higher. Please refer to the Notes to Financial Statements or the Funds' prospectuses for more information regarding waivers and/or reimbursements. |
29
Cullen International High Dividend Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
30
Cullen International High Dividend Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
31
Cullen High Dividend Equity Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
32
Cullen High Dividend Equity Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
33
Cullen Small Cap Value Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
34
Cullen Small Cap Value Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
35
Cullen Value Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
36
Cullen Value Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
37
Cullen Emerging Markets High Dividend Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
38
Cullen Emerging Markets High Dividend Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
39
Cullen Emerging Markets High Dividend Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
40
Cullen Enhanced Equity Income Fund
Schedule of Investments
June 30, 2022
See Notes to Financial Statements.
41
Cullen Enhanced Equity Income Fund
Schedule of Investments
June 30, 2022 (Continued)
See Notes to Financial Statements.
42
Cullen Funds
Statements of Assets and Liabilities
June 30, 2022
Cullen International High Dividend Fund |
Cullen High Dividend Equity Fund |
Cullen Small Cap Value Fund |
Cullen Value Fund |
Cullen Emerging Markets High Dividend Fund |
Cullen Enhanced Equity Income Fund |
|||||||||||||||||||
ASSETS: |
||||||||||||||||||||||||
Investments, at value |
$ | 163,450,330 | $ | 979,641,678 | $ | 7,779,757 | $ | 23,120,885 | $ | 286,183,551 | $ | 165,827,231 | ||||||||||||
Cash |
14,867,615 | 21,547,381 | 674,105 | 417,182 | 21,245,453 | 4,176,789 | ||||||||||||||||||
Foreign currencies, at value Cost ($105,809, –, –, –, $563,680 and –) |
105,818 | — | — | — | 565,118 | — | ||||||||||||||||||
Receivable for investments sold |
— | 4,884,826 | — | — | 1,034,672 | — | ||||||||||||||||||
Receivable for fund shares sold |
461,767 | 2,489,152 | 30,463 | — | 551,325 | 339,402 | ||||||||||||||||||
Dividends receivable |
1,693,874 | 3,473,056 | 8,134 | 77,062 | 2,849,508 | 538,528 | ||||||||||||||||||
Receivable due from Investment Advisor |
— | — | 15,400 | 8,750 | — | — | ||||||||||||||||||
Prepaid expenses and other assets |
24,989 | 18,460 | 5,844 | 4,516 | — | 39,038 | ||||||||||||||||||
Total Assets |
180,604,393 | 1,012,054,553 | 8,513,703 | 23,628,395 | 312,429,627 | 170,920,988 | ||||||||||||||||||
LIABILITIES: |
||||||||||||||||||||||||
Written options, at value (Premiums received –, –, –, –, – and $312,995) |
— | — | — | — | — | 348,363 | ||||||||||||||||||
Payable to Investment Advisor |
108,211 | 561,613 | — | — | 208,457 | 90,610 | ||||||||||||||||||
Payable for investments purchased |
40,233 | 4,882,249 | 126,510 | — | 275,155 | — | ||||||||||||||||||
Payable for shares redeemed |
137,678 | 1,271,897 | — | — | 458,714 | 52,434 | ||||||||||||||||||
Distribution fees payable |
1,714 | 50,093 | 205 | 1,101 | 2,833 | 6,606 | ||||||||||||||||||
Trustees' fees and expenses payable |
20,000 | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | ||||||||||||||||||
Professional fees payable |
67,928 | 56,846 | 56,846 | 56,846 | 56,847 | 58,783 | ||||||||||||||||||
Capital gains tax payable |
— | — | — | — | 84,988 | — | ||||||||||||||||||
Accrued expenses and other liabilities |
75,534 | 163,893 | 24,884 | 24,768 | 126,218 | 47,240 | ||||||||||||||||||
Total Liabilities |
451,298 | 7,006,591 | 228,445 | 102,715 | 1,233,212 | 624,036 | ||||||||||||||||||
NET ASSETS |
$ | 180,153,095 | $ | 1,005,047,962 | $ | 8,285,258 | $ | 23,525,680 | $ | 311,196,415 | $ | 170,296,952 | ||||||||||||
NET ASSETS CONSIST OF |
||||||||||||||||||||||||
Paid in capital |
$ | 198,027,833 | $ | 539,447,486 | $ | 6,631,314 | $ | 14,893,123 | $ | 374,433,596 | $ | 183,785,089 | ||||||||||||
Total distributable earnings |
(17,874,738 | ) | 465,600,476 | 1,653,944 | 8,632,557 | (63,237,181 | ) | (13,488,137 | ) | |||||||||||||||
NET ASSETS |
$ | 180,153,095 | $ | 1,005,047,962 | $ | 8,285,258 | $ | 23,525,680 | $ | 311,196,415 | $ | 170,296,952 | ||||||||||||
INVESTMENTS, AT COST |
$ | 152,967,836 | $ | 570,172,727 | $ | 6,852,798 | $ | 15,500,467 | $ | 278,598,362 | $ | 178,542,623 | ||||||||||||
See Notes to Financial Statements.
43
Cullen Funds
Statements of Assets and Liabilities
June 30, 2022 (Continued)
Cullen International High Dividend Fund |
Cullen High Dividend Equity Fund |
Cullen Small Cap Value Fund |
Cullen Value Fund |
Cullen Emerging Markets High Dividend Fund |
Cullen Enhanced Equity Income Fund |
|||||||||||||||||||
PRICING OF SHARES |
||||||||||||||||||||||||
Retail: |
||||||||||||||||||||||||
Net Asset Value, offering and redemption price per share |
$ | 9.16 | $ | 14.83 | $ | 13.21 | $ | 13.27 | $ | 9.74 | $ | 10.15 | ||||||||||||
Net Assets |
$ | 4,188,483 | $ | 106,659,411 | $ | 372,796 | $ | 1,947,249 | $ | 7,492,010 | $ | 3,077,961 | ||||||||||||
Shares issued (unlimited number of beneficial interest authorized, $0.001 par value) |
457,264 | 7,193,910 | 28,228 | 146,767 | 769,475 | 303,200 | ||||||||||||||||||
Class C: |
||||||||||||||||||||||||
Net Asset Value, offering and redemption price per share |
$ | 9.11 | $ | 14.55 | $ | 11.66 | $ | 13.24 | $ | 9.59 | $ | 10.16 | ||||||||||||
Net Assets |
$ | 1,070,702 | $ | 31,860,781 | $ | 64,548 | $ | 783,221 | $ | 1,404,900 | $ | 7,126,981 | ||||||||||||
Shares issued (unlimited number of beneficial interest authorized, $0.001 par value) |
117,547 | 2,189,978 | 5,534 | 59,163 | 146,434 | 701,483 | ||||||||||||||||||
Class I: |
||||||||||||||||||||||||
Net Asset Value, offering and redemption price per share |
$ | 9.25 | $ | 14.84 | $ | 13.69 | $ | 13.22 | $ | 9.82 | $ | 10.23 | ||||||||||||
Net Assets |
$ | 174,893,303 | $ | 865,158,812 | $ | 7,847,914 | $ | 20,795,210 | $ | 302,299,505 | $ | 160,092,010 | ||||||||||||
Shares issued (unlimited number of beneficial interest authorized, $0.001 par value) |
18,906,843 | 58,308,358 | 573,248 | 1,572,587 | 30,792,356 | 15,648,136 | ||||||||||||||||||
Class R1: |
||||||||||||||||||||||||
Net Asset Value, offering and redemption price per share |
– | $ | 11.94 | – | – | – | – | |||||||||||||||||
Net Assets |
– | $ | 699,515 | – | – | – | – | |||||||||||||||||
Shares issued (unlimited number of beneficial interest authorized, $0.001 par value) |
– | 58,591 | – | – | – | – | ||||||||||||||||||
Class R2: |
||||||||||||||||||||||||
Net Asset Value, offering and redemption price per share |
$ | 10.76 | * | $ | 12.21 | – | – | – | – | |||||||||||||||
Net Assets |
$ | 607 | $ | 669,443 | – | – | – | – | ||||||||||||||||
Shares issued (unlimited number of beneficial interest authorized, $0.001 par value) |
56 | 54,828 | – | – | – | – | ||||||||||||||||||
* |
Per share amounts may not recalculate due to rounding. |
See Notes to Financial Statements.
44
Cullen Funds
Statements of Operations
Year Ended June 30, 2022
Cullen International High Dividend Fund |
Cullen High Dividend Equity Fund |
Cullen Small Cap Value Fund |
Cullen Value Fund |
Cullen Emerging Markets High Dividend Fund |
Cullen Enhanced Equity Income Fund |
|||||||||||||||||||
INVESTMENT INCOME: |
||||||||||||||||||||||||
Dividends* |
$ | 7,802,957 | $ | 33,794,808 | $ | 184,182 | $ | 628,782 | $ | 15,974,735 | $ | 3,863,226 | ||||||||||||
Total Investment Income |
7,802,957 | 33,794,808 | 184,182 | 628,782 | 15,974,735 | 3,863,226 | ||||||||||||||||||
EXPENSES: |
||||||||||||||||||||||||
Investment advisory fees (Note 6) |
1,887,674 | 11,409,114 | 85,829 | 274,976 | 3,087,925 | 1,105,498 | ||||||||||||||||||
Administrative fees |
80,461 | 373,597 | 12,744 | 17,745 | 123,587 | 47,720 | ||||||||||||||||||
Distribution fees (Note 7) |
– | – | – | – | – | – | ||||||||||||||||||
Retail |
13,199 | 311,829 | 1,558 | 5,801 | 21,902 | 7,247 | ||||||||||||||||||
Class C |
12,525 | 355,708 | 1,967 | 6,721 | 16,822 | 71,850 | ||||||||||||||||||
Class R1 |
23 | 3,769 | – | – | – | – | ||||||||||||||||||
Class R2 |
1 | 2,270 | – | – | – | – | ||||||||||||||||||
Registration and filing fees |
69,547 | 77,845 | 39,694 | 42,801 | 65,329 | 31,660 | ||||||||||||||||||
Custody fees |
70,932 | 36,454 | 2,664 | 2,839 | 313,048 | 9,071 | ||||||||||||||||||
Transfer agent fees |
70,269 | 168,849 | 44,668 | 45,744 | 43,601 | 55,663 | ||||||||||||||||||
Legal fees |
23,781 | 23,781 | 23,781 | 23,781 | 21,716 | 21,717 | ||||||||||||||||||
Professional fees |
54,106 | 44,074 | 44,074 | 44,074 | 65,808 | 44,163 | ||||||||||||||||||
Trustees' fees |
80,000 | 80,000 | 80,000 | 80,000 | 80,000 | 80,000 | ||||||||||||||||||
Other expenses |
35,609 | 155,859 | 10,162 | 11,969 | 42,776 | 26,183 | ||||||||||||||||||
Total Expenses |
2,398,127 | 13,043,149 | 347,141 | 556,451 | 3,882,514 | 1,500,772 | ||||||||||||||||||
Less expenses reimbursed from Investment Advisor (Note 6) |
– | – | – | – | – | – | ||||||||||||||||||
Retail |
(13,727 | ) | (417,900 | ) | (18,685 | ) | (28,452 | ) | (21,366 | ) | (16,115 | ) | ||||||||||||
Class C |
(3,235 | ) | (119,314 | ) | (5,954 | ) | (8,470 | ) | (4,115 | ) | (40,651 | ) | ||||||||||||
Class I |
(468,124 | ) | (3,273,352 | ) | (233,171 | ) | (300,843 | ) | (730,005 | ) | (533,880 | ) | ||||||||||||
Class R1 |
(1 | ) | (636 | ) | – | – | – | – | ||||||||||||||||
Class R2 |
– | (763 | ) | – | – | – | – | |||||||||||||||||
Net Expenses |
1,913,040 | 9,231,184 | 89,331 | 218,686 | 3,127,028 | 910,126 | ||||||||||||||||||
NET INVESTMENT INCOME |
5,889,917 | 24,563,624 | 94,851 | 410,096 | 12,847,707 | 2,953,100 | ||||||||||||||||||
Net realized gain/(loss) on: |
||||||||||||||||||||||||
Investments |
6,597,746 | 75,085,752 | 1,031,566 | 2,071,490 | (3,183,436 | ) | 4,323,237 | |||||||||||||||||
Written options |
– | – | – | – | – | 2,453,441 | ||||||||||||||||||
Foreign currency related transactions |
(159,745 | ) | 10,112 | – | (35 | ) | (421,897 | ) | 657 | |||||||||||||||
Total Net realized gain/(loss) |
6,438,001 | 75,095,864 | 1,031,566 | 2,071,455 | (3,605,333 | ) | 6,777,335 | |||||||||||||||||
Net change in unrealized appreciation/depreciation on: |
||||||||||||||||||||||||
Investments |
(39,177,615 | ) | (129,201,227 | ) | (1,662,285 | ) | (4,157,227 | ) | (71,309,341 | ) | (20,141,379 | ) | ||||||||||||
Written options |
– | – | – | – | – | (23,933 | ) | |||||||||||||||||
Capital gains tax |
– | – | – | – | (84,988 | ) | – | |||||||||||||||||
Foreign currency related translations |
(88,009 | ) | 5,014 | – | – | (36,009 | ) | 498 | ||||||||||||||||
Total net change in unrealized depreciation |
(39,265,624 | ) | (129,196,213 | ) | (1,662,285 | ) | (4,157,227 | ) | (71,430,338 | ) | (20,164,814 | ) | ||||||||||||
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS |
(32,827,623 | ) | (54,100,349 | ) | (630,719 | ) | (2,085,772 | ) | (75,035,671 | ) | (13,387,479 | ) | ||||||||||||
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
$ | (26,937,706 | ) | $ | (29,536,725 | ) | $ | (535,868 | ) | $ | (1,675,676 | ) | $ | (62,187,964 | ) | $ | (10,434,379 | ) | ||||||
*Foreign taxes withheld on dividends |
$ | 972,933 | $ | 494,177 | $ | – | $ | 10,145 | $ | 1,954,401 | $ | 43,600 | ||||||||||||
See Notes to Financial Statements.
45
Cullen Funds
Statements of Changes in Net Assets
June 30, 2022
Cullen International High Dividend Fund |
Cullen High Dividend Equity Fund |
|||||||||||||||
Year Ended |
Year Ended |
Year Ended |
Year Ended |
|||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 5,889,917 | $ | 5,404,031 | $ | 24,563,624 | $ | 28,004,270 | ||||||||
Net realized gain |
6,438,001 | 11,746,622 | 75,095,864 | 134,944,914 | ||||||||||||
Net change in unrealized appreciation/(depreciation) |
(39,265,624 | ) | 24,856,946 | (129,196,213 | ) | 164,915,520 | ||||||||||
Net Increase/(Decrease) in net assets resulting from operations |
(26,937,706 | ) | 42,007,599 | (29,536,725 | ) | 327,864,704 | ||||||||||
DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||
From distributable earnings |
||||||||||||||||
Retail |
(151,717 | ) | (148,725 | ) | (13,011,729 | ) | (12,485,270 | ) | ||||||||
Class C |
(29,042 | ) | (26,352 | ) | (3,516,986 | ) | (3,338,699 | ) | ||||||||
Class I |
(5,776,176 | ) | (5,028,003 | ) | (103,965,155 | ) | (94,458,334 | ) | ||||||||
Class R1 |
(108 | ) | (286 | ) | (88,657 | ) | (72,966 | ) | ||||||||
Class R2 |
(15 | ) | (90 | ) | (123,112 | ) | (95,534 | ) | ||||||||
Net (decrease) in net assets from distributions |
(5,957,058 | ) | (5,203,456 | ) | (120,705,639 | ) | (110,450,803 | ) | ||||||||
CAPITAL SHARE TRANSACTIONS (NOTE 3) |
||||||||||||||||
Shares sold |
||||||||||||||||
Retail |
786,660 | 1,920,586 | 9,426,721 | 11,062,892 | ||||||||||||
Class C |
192,103 | 405,159 | 2,865,036 | 2,395,482 | ||||||||||||
Class I |
83,087,035 | 48,617,455 | 150,098,266 | 163,807,162 | ||||||||||||
Class R1 |
490 | 1,636 | 26,922 | 38,116 | ||||||||||||
Class R2 |
12 | 154 | 114,381 | 127,324 | ||||||||||||
Dividends reinvested |
||||||||||||||||
Retail |
140,001 | 140,610 | 12,618,091 | 12,073,024 | ||||||||||||
Class C |
25,756 | 23,100 | 3,441,842 | 3,264,413 | ||||||||||||
Class I |
3,477,819 | 2,528,603 | 84,916,705 | 77,348,050 | ||||||||||||
Class R1 |
108 | 286 | 88,657 | 72,966 | ||||||||||||
Class R2 |
15 | 90 | 123,063 | 95,534 | ||||||||||||
Shares redeemed |
||||||||||||||||
Retail |
(2,182,717 | ) | (2,379,444 | ) | (28,346,390 | ) | (41,335,064 | ) | ||||||||
Class C |
(332,611 | ) | (361,605 | ) | (5,214,494 | ) | (12,379,836 | ) | ||||||||
Class I |
(68,281,620 | ) | (35,126,168 | ) | (236,496,563 | ) | (347,214,733 | ) | ||||||||
Class R1 |
(12,441 | ) | (6,663 | ) | (30,650 | ) | (58,776 | ) | ||||||||
Class R2 |
(3,731 | ) | (330 | ) | (479,265 | ) | (284,199 | ) | ||||||||
Redemption fees |
||||||||||||||||
Retail |
– | 45 | 10 | 215 | ||||||||||||
Class C |
– | – | – | 16 | ||||||||||||
Class I |
63 | – | 8,306 | 6,760 | ||||||||||||
Class R1 |
– | – | – | 2 | ||||||||||||
Class R2 |
– | – | – | – | ||||||||||||
Net Increase/(Decrease) in net assets derived from capital share transactions |
16,896,942 | 15,763,514 | (6,839,362 | ) | (130,980,652 | ) | ||||||||||
Net Increase/(Decrease) in net assets |
(15,997,822 | ) | 52,567,657 | (157,081,726 | ) | 86,433,249 | ||||||||||
NET ASSETS |
||||||||||||||||
Beginning of year |
196,150,917 | 143,583,260 | 1,162,129,688 | 1,075,696,439 | ||||||||||||
End of year |
$ | 180,153,095 | $ | 196,150,917 | $ | 1,005,047,962 | $ | 1,162,129,688 | ||||||||
See Notes to Financial Statements.
46
Cullen Funds
Statements of Changes in Net Assets
June 30, 2022
Cullen Small Cap Value Fund |
Cullen Value Fund |
|||||||||||||||
Year Ended |
Year Ended |
Year Ended |
Year Ended |
|||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 94,851 | $ | 18,678 | $ | 410,096 | $ | 479,157 | ||||||||
Net realized gain |
1,031,566 | 877,522 | 2,071,455 | 1,651,599 | ||||||||||||
Net change in unrealized appreciation/(depreciation) |
(1,662,285 | ) | 2,483,426 | (4,157,227 | ) | 5,092,858 | ||||||||||
Net Increase/(Decrease) in net assets resulting from operations |
(535,868 | ) | 3,379,626 | (1,675,676 | ) | 7,223,614 | ||||||||||
DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||
From distributable earnings |
||||||||||||||||
Retail |
(71,660 | ) | – | (240,710 | ) | (271,308 | ) | |||||||||
Class C |
(14,094 | ) | – | (58,616 | ) | (28,043 | ) | |||||||||
Class I |
(881,059 | ) | (12,981 | ) | (2,644,369 | ) | (3,416,212 | ) | ||||||||
Net (decrease) in net assets from distributions |
(966,813 | ) | (12,981 | ) | (2,943,695 | ) | (3,715,563 | ) | ||||||||
CAPITAL SHARE TRANSACTIONS (NOTE 3) |
||||||||||||||||
Shares sold |
||||||||||||||||
Retail |
77,112 | 1,080,374 | 155,983 | 713,541 | ||||||||||||
Class C |
28,954 | 116,551 | 443,000 | 403,350 | ||||||||||||
Class I |
976,989 | 4,626,456 | 609,710 | 981,626 | ||||||||||||
Dividends reinvested |
||||||||||||||||
Retail |
71,660 | – | 240,710 | 270,799 | ||||||||||||
Class C |
14,094 | – | 58,616 | 23,208 | ||||||||||||
Class I |
878,227 | 12,922 | 2,644,369 | 3,416,212 | ||||||||||||
Shares redeemed |
||||||||||||||||
Retail |
(321,944 | ) | (1,084,387 | ) | (285,356 | ) | (356,572 | ) | ||||||||
Class C |
(288,464 | ) | (352,806 | ) | (184,926 | ) | (248,321 | ) | ||||||||
Class I |
(438,735 | ) | (3,212,147 | ) | (2,650,597 | ) | (4,961,000 | ) | ||||||||
Redemption fees |
||||||||||||||||
Retail |
– | – | – | – | ||||||||||||
Class C |
– | – | – | – | ||||||||||||
Class I |
– | 1 | – | – | ||||||||||||
Net Increase in net assets derived from capital share transactions |
997,893 | 1,186,964 | 1,031,509 | 242,843 | ||||||||||||
Net Increase/(Decrease) in net assets |
(504,788 | ) | 4,553,609 | (3,587,862 | ) | 3,750,894 | ||||||||||
NET ASSETS |
||||||||||||||||
Beginning of year |
8,790,046 | 4,236,437 | 27,113,542 | 23,362,648 | ||||||||||||
End of year |
$ | 8,285,258 | $ | 8,790,046 | $ | 23,525,680 | $ | 27,113,542 | ||||||||
See Notes to Financial Statements.
47
Cullen Funds
Statements of Changes in Net Assets
June 30, 2022
Cullen Emerging Markets High Dividend Fund |
Cullen Enhanced Equity Income Fund |
|||||||||||||||
Year Ended |
Year Ended |
Year Ended |
Year Ended |
|||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 12,847,707 | $ | 7,994,341 | $ | 2,953,100 | $ | 1,552,266 | ||||||||
Net realized gain/(loss) |
(3,605,333 | ) | 34,801,825 | 6,777,335 | 5,465,120 | |||||||||||
Net change in unrealized appreciation/(depreciation) |
(71,430,338 | ) | 47,140,484 | (20,164,814 | ) | 10,086,276 | ||||||||||
Net Increase/(Decrease) in net assets resulting from operations |
(62,187,964 | ) | 89,936,650 | (10,434,379 | ) | 17,103,662 | ||||||||||
DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||
From distributable earnings |
||||||||||||||||
Retail |
(285,414 | ) | (206,337 | ) | (254,918 | ) | (108,339 | ) | ||||||||
Class C |
(47,243 | ) | (25,923 | ) | (579,307 | ) | (234,296 | ) | ||||||||
Class I |
(11,146,405 | ) | (6,363,299 | ) | (8,507,389 | ) | (2,870,215 | ) | ||||||||
Net (decrease) in net assets from distributions |
(11,479,062 | ) | (6,595,559 | ) | (9,341,614 | ) | (3,212,850 | ) | ||||||||
CAPITAL SHARE TRANSACTIONS (NOTE 3) |
||||||||||||||||
Shares sold |
||||||||||||||||
Retail |
2,030,293 | 2,419,184 | 1,393,802 | 600,334 | ||||||||||||
Class C |
26,000 | 76,000 | 2,679,434 | 2,216,838 | ||||||||||||
Class I |
160,004,060 | 98,028,424 | 120,087,666 | 25,514,354 | ||||||||||||
Dividends reinvested |
||||||||||||||||
Retail |
253,167 | 196,356 | 245,668 | 103,238 | ||||||||||||
Class C |
45,318 | 25,401 | 452,316 | 144,171 | ||||||||||||
Class I |
10,632,604 | 6,072,322 | 7,777,319 | 2,555,399 | ||||||||||||
Shares redeemed |
||||||||||||||||
Retail |
(2,666,582 | ) | (6,220,580 | ) | (574,298 | ) | (700,931 | ) | ||||||||
Class C |
(160,989 | ) | (205,725 | ) | (1,739,631 | ) | (1,251,196 | ) | ||||||||
Class I |
(86,101,429 | ) | (131,839,610 | ) | (20,174,720 | ) | (9,055,528 | ) | ||||||||
Redemption fees |
||||||||||||||||
Retail |
– | 1 | 483 | – | ||||||||||||
Class C |
– | – | – | – | ||||||||||||
Class I |
54 | – | – | – | ||||||||||||
Net Increase/(Decrease) in net assets derived from capital share transactions |
84,062,496 | (31,448,227 | ) | 110,148,039 | 20,126,679 | |||||||||||
Net Increase in net assets |
10,395,470 | 51,892,864 | 90,372,046 | 34,017,491 | ||||||||||||
NET ASSETS |
||||||||||||||||
Beginning of year |
300,800,945 | 248,908,081 | 79,924,906 | 45,907,415 | ||||||||||||
End of year |
$ | 311,196,415 | $ | 300,800,945 | $ | 170,296,952 | $ | 79,924,906 | ||||||||
See Notes to Financial Statements.
48
Cullen International High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 10.94 | $ | 8.79 | $ | 9.55 | $ | 9.88 | $ | 10.30 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.24 | 0.28 | 0.19 | 0.26 | 0.20 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.71 | ) | 2.15 | (0.66 | ) | (0.27 | ) | (0.36 | ) | |||||||||||
Total from Investment Operations |
(1.47 | ) | 2.43 | (0.47 | ) | (0.01 | ) | (0.16 | ) | |||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.31 | ) | (0.28 | ) | (0.29 | ) | (0.32 | ) | (0.26 | ) | ||||||||||
Total Distributions |
(0.31 | ) | (0.28 | ) | (0.29 | ) | (0.32 | ) | (0.26 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.78 | ) | 2.15 | (0.76 | ) | (0.33 | ) | (0.42 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.16 | $ | 10.94 | $ | 8.79 | $ | 9.55 | $ | 9.88 | ||||||||||
TOTAL RETURN(b) |
(13.71 | %) | 27.95 | % | (4.99 | %) | (0.04 | %) | (1.60 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 4,188 | $ | 6,267 | $ | 5,438 | $ | 7,202 | $ | 9,761 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.51 | % | 1.52 | % | 1.55 | % | 1.54 | % | 1.46 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.97 | % | 2.57 | % | 1.71 | % | 2.45 | % | 1.68 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.23 | % | 2.84 | % | 2.01 | % | 2.74 | % | 1.89 | % | ||||||||||
Portfolio turnover rate |
75 | % | 57 | % | 64 | % | 39 | % | 31 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
49
Cullen International High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 10.90 | $ | 8.78 | $ | 9.53 | $ | 9.85 | $ | 10.27 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.20 | 0.22 | 0.11 | 0.20 | 0.18 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.75 | ) | 2.12 | (0.65 | ) | (0.27 | ) | (0.41 | ) | |||||||||||
Total from Investment Operations |
(1.55 | ) | 2.34 | (0.54 | ) | (0.07 | ) | (0.23 | ) | |||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.24 | ) | (0.22 | ) | (0.21 | ) | (0.25 | ) | (0.19 | ) | ||||||||||
Total Distributions |
(0.24 | ) | (0.22 | ) | (0.21 | ) | (0.25 | ) | (0.19 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.79 | ) | 2.12 | (0.75 | ) | (0.32 | ) | (0.42 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.11 | $ | 10.90 | $ | 8.78 | $ | 9.53 | $ | 9.85 | ||||||||||
TOTAL RETURN(b) |
(14.38 | %) | 26.92 | % | (5.71 | %) | (0.70 | %) | (2.34 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 1,071 | $ | 1,387 | $ | 1,084 | $ | 2,556 | $ | 3,047 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
2.26 | % | 2.27 | % | 2.29 | % | 2.29 | % | 2.21 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.64 | % | 1.93 | % | 0.92 | % | 1.80 | % | 1.55 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.90 | % | 2.20 | % | 1.21 | % | 2.09 | % | 1.76 | % | ||||||||||
Portfolio turnover rate |
75 | % | 57 | % | 64 | % | 39 | % | 31 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
50
Cullen International High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 11.03 | $ | 8.86 | $ | 9.63 | $ | 9.95 | $ | 10.37 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.34 | 0.32 | 0.21 | 0.29 | 0.30 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.80 | ) | 2.15 | (0.67 | ) | (0.26 | ) | (0.43 | ) | |||||||||||
Total from Investment Operations |
(1.46 | ) | 2.47 | (0.46 | ) | 0.03 | (0.13 | ) | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.32 | ) | (0.30 | ) | (0.31 | ) | (0.35 | ) | (0.29 | ) | ||||||||||
Total Distributions |
(0.32 | ) | (0.30 | ) | (0.31 | ) | (0.35 | ) | (0.29 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.78 | ) | 2.17 | (0.77 | ) | (0.32 | ) | (0.42 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.25 | $ | 11.03 | $ | 8.86 | $ | 9.63 | $ | 9.95 | ||||||||||
TOTAL RETURN(b) |
(13.49 | %) | 28.24 | % | (4.81 | %) | 0.34 | % | (1.34 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 174,893 | $ | 188,481 | $ | 137,044 | $ | 148,416 | $ | 234,350 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.26 | % | 1.27 | % | 1.30 | % | 1.29 | % | 1.22 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.90 | % | 2.86 | % | 1.99 | % | 2.71 | % | 2.60 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
3.16 | % | 3.13 | % | 2.29 | % | 3.00 | % | 2.82 | % | ||||||||||
Portfolio turnover rate |
75 | % | 57 | % | 64 | % | 39 | % | 31 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
51
Cullen International High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class R2 |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 12.78 | $ | 10.23 | $ | 11.06 | $ | 11.38 | $ | 11.82 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.37 | 0.30 | 0.17 | 0.28 | 0.24 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(2.12 | ) | 2.51 | (0.75 | ) | (0.30 | ) | (0.45 | ) | |||||||||||
Total from Investment Operations |
(1.75 | ) | 2.81 | (0.58 | ) | (0.02 | ) | (0.21 | ) | |||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.27 | ) | (0.26 | ) | (0.25 | ) | (0.30 | ) | (0.23 | ) | ||||||||||
Total Distributions |
(0.27 | ) | (0.26 | ) | (0.25 | ) | (0.30 | ) | (0.23 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.02 | ) | 2.55 | (0.83 | ) | (0.32 | ) | (0.44 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 10.76 | $ | 12.78 | $ | 10.23 | $ | 11.06 | $ | 11.38 | ||||||||||
TOTAL RETURN(b) |
(13.85 | %) | 27.70 | % | (5.24 | %) | (0.19 | %) | (1.80 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 1 | $ | 4 | $ | 4 | $ | 45 | $ | 62 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.25 | % | 1.54 | % | 1.54 | % | 1.54 | % | 1.46 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.25 | % | 1.50 | % | 1.50 | % | 1.50 | % | 1.46 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.99 | % | 2.56 | % | 1.51 | % | 2.57 | % | 1.97 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.99 | % | 2.60 | % | 1.55 | % | 2.61 | % | 1.97 | % | ||||||||||
Portfolio turnover rate |
75 | % | 57 | % | 64 | % | 39 | % | 31 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
52
Cullen High Dividend Equity Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 17.09 | $ | 14.07 | $ | 16.91 | $ | 17.68 | $ | 18.61 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.33 | 0.37 | 0.37 | 0.38 | 0.38 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.78 | ) | 4.26 | (2.13 | ) | 1.08 | 0.52 | |||||||||||||
Total from Investment Operations |
(0.45 | ) | 4.63 | (1.76 | ) | 1.46 | 0.90 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.81 | ) | (1.61 | ) | (1.08 | ) | (2.23 | ) | (1.83 | ) | ||||||||||
Total Distributions |
(1.81 | ) | (1.61 | ) | (1.08 | ) | (2.23 | ) | (1.83 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.26 | ) | 3.02 | (2.84 | ) | (0.77 | ) | (0.93 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 14.83 | $ | 17.09 | $ | 14.07 | $ | 16.91 | $ | 17.68 | ||||||||||
TOTAL RETURN(b) |
(3.53 | %) | 35.10 | % | (11.27 | %) | 9.74 | % | 4.61 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 106,659 | $ | 129,052 | $ | 122,691 | $ | 180,108 | $ | 203,509 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.34 | % | 1.34 | % | 1.33 | % | 1.32 | % | 1.32 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.62 | % | 2.04 | % | 1.99 | % | 1.88 | % | 1.69 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.96 | % | 2.38 | % | 2.32 | % | 2.20 | % | 2.01 | % | ||||||||||
Portfolio turnover rate |
16 | % | 40 | % | 41 | % | 41 | % | 16 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
53
Cullen High Dividend Equity Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 16.82 | $ | 13.87 | $ | 16.69 | $ | 17.50 | $ | 18.46 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.20 | 0.25 | 0.25 | 0.25 | 0.24 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.77 | ) | 4.21 | (2.10 | ) | 1.05 | 0.52 | |||||||||||||
Total from Investment Operations |
(0.57 | ) | 4.46 | (1.85 | ) | 1.30 | 0.76 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.70 | ) | (1.51 | ) | (0.97 | ) | (2.11 | ) | (1.72 | ) | ||||||||||
Total Distributions |
(1.70 | ) | (1.51 | ) | (0.97 | ) | (2.11 | ) | (1.72 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.27 | ) | 2.95 | (2.82 | ) | (0.81 | ) | (0.96 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 14.55 | $ | 16.82 | $ | 13.87 | $ | 16.69 | $ | 17.50 | ||||||||||
TOTAL RETURN(b) |
(4.30 | %) | 34.16 | % | (11.94 | %) | 8.88 | % | 3.85 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 31,861 | $ | 35,626 | $ | 35,533 | $ | 54,940 | $ | 62,291 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
2.09 | % | 2.09 | % | 2.08 | % | 2.07 | % | 2.07 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
0.88 | % | 1.30 | % | 1.24 | % | 1.12 | % | 0.95 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.22 | % | 1.64 | % | 1.57 | % | 1.44 | % | 1.27 | % | ||||||||||
Portfolio turnover rate |
16 | % | 40 | % | 41 | % | 41 | % | 16 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
54
Cullen High Dividend Equity Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 17.11 | $ | 14.07 | $ | 16.92 | $ | 17.69 | $ | 18.62 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.37 | 0.41 | 0.41 | 0.42 | 0.43 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.79 | ) | 4.28 | (2.14 | ) | 1.08 | 0.52 | |||||||||||||
Total from Investment Operations |
(0.42 | ) | 4.69 | (1.73 | ) | 1.50 | 0.95 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.85 | ) | (1.65 | ) | (1.12 | ) | (2.27 | ) | (1.88 | ) | ||||||||||
Total Distributions |
(1.85 | ) | (1.65 | ) | (1.12 | ) | (2.27 | ) | (1.88 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.27 | ) | 3.04 | (2.85 | ) | (0.77 | ) | (0.93 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 14.84 | $ | 17.11 | $ | 14.07 | $ | 16.92 | $ | 17.69 | ||||||||||
TOTAL RETURN(b) |
(3.35 | %) | 35.58 | % | (11.10 | %) | 10.02 | % | 4.87 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 865,159 | $ | 995,683 | $ | 915,992 | $ | 1,364,116 | $ | 1,426,692 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.08 | % | 1.09 | % | 1.08 | % | 1.07 | % | 1.07 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.88 | % | 2.29 | % | 2.24 | % | 2.13 | % | 1.96 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.21 | % | 2.63 | % | 2.57 | % | 2.45 | % | 2.28 | % | ||||||||||
Portfolio turnover rate |
16 | % | 40 | % | 41 | % | 41 | % | 16 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
55
Cullen High Dividend Equity Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class R1 |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 14.07 | $ | 11.79 | $ | 14.34 | $ | 15.35 | $ | 16.39 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.20 | 0.24 | 0.24 | 0.26 | 0.25 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.62 | ) | 3.53 | (1.78 | ) | 0.89 | 0.47 | |||||||||||||
Total from Investment Operations |
(0.42 | ) | 3.77 | (1.54 | ) | 1.15 | 0.72 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.71 | ) | (1.49 | ) | (1.01 | ) | (2.16 | ) | (1.76 | ) | ||||||||||
Total Distributions |
(1.71 | ) | (1.49 | ) | (1.01 | ) | (2.16 | ) | (1.76 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.13 | ) | 2.28 | (2.55 | ) | (1.01 | ) | (1.04 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 11.94 | $ | 14.07 | $ | 11.79 | $ | 14.34 | $ | 15.35 | ||||||||||
TOTAL RETURN(b) |
(4.04 | %) | 34.49 | % | (11.72 | %) | 9.14 | % | 4.09 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 700 | $ | 733 | $ | 560 | $ | 646 | $ | 374 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.58 | % | 1.59 | % | 1.58 | % | 1.57 | % | 1.57 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.50 | % | 1.50 | % | 1.50 | % | 1.50 | % | 1.50 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.38 | % | 1.79 | % | 1.76 | % | 1.70 | % | 1.46 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.46 | % | 1.88 | % | 1.84 | % | 1.77 | % | 1.53 | % | ||||||||||
Portfolio turnover rate |
16 | % | 40 | % | 41 | % | 41 | % | 16 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
56
Cullen High Dividend Equity Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class R2 |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 14.35 | $ | 11.99 | $ | 14.57 | $ | 15.55 | $ | 16.57 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.24 | 0.28 | 0.28 | 0.29 | 0.27 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.64 | ) | 3.60 | (1.82 | ) | 0.92 | 0.50 | |||||||||||||
Total from Investment Operations |
(0.40 | ) | 3.88 | (1.54 | ) | 1.21 | 0.77 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.74 | ) | (1.52 | ) | (1.04 | ) | (2.19 | ) | (1.79 | ) | ||||||||||
Total Distributions |
(1.74 | ) | (1.52 | ) | (1.04 | ) | (2.19 | ) | (1.79 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.14 | ) | 2.36 | (2.58 | ) | (0.98 | ) | (1.02 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 12.21 | $ | 14.35 | $ | 11.99 | $ | 14.57 | $ | 15.55 | ||||||||||
TOTAL RETURN(b) |
(3.82 | %) | 34.83 | % | (11.53 | %) | 9.45 | % | 4.38 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 669 | $ | 1,036 | $ | 920 | $ | 1,191 | $ | 1,179 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.33 | % | 1.35 | % | 1.58 | % | 1.57 | % | 1.57 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.58 | % | 2.04 | % | 1.75 | % | 1.64 | % | 1.29 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.66 | % | 2.14 | % | 2.08 | % | 1.96 | % | 1.61 | % | ||||||||||
Portfolio turnover rate |
16 | % | 40 | % | 41 | % | 41 | % | 16 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
57
Cullen Small Cap Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 15.98 | $ | 9.40 | $ | 11.36 | $ | 12.35 | $ | 13.88 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income/(loss)(a) |
0.14 | 0.01 | 0.05 | (0.02 | ) | (0.07 | ) | |||||||||||||
Net realized and unrealized gain/(loss) |
(1.06 | ) | 6.57 | (1.65 | ) | (0.36 | ) | 0.98 | ||||||||||||
Total from Investment Operations |
(0.92 | ) | 6.58 | (1.60 | ) | (0.38 | ) | 0.91 | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.85 | ) | – | (0.36 | ) | (0.61 | ) | (2.44 | ) | |||||||||||
Total Distributions |
(1.85 | ) | – | (0.36 | ) | (0.61 | ) | (2.44 | ) | |||||||||||
Net Increase/(Decrease) in net asset value |
(2.77 | ) | 6.58 | (1.96 | ) | (0.99 | ) | (1.53 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 13.21 | $ | 15.98 | $ | 9.40 | $ | 11.36 | $ | 12.35 | ||||||||||
TOTAL RETURN(b) |
(6.35 | %) | 70.00 | % | (14.79 | %) | (2.28 | %) | 7.38 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 373 | $ | 637 | $ | 267 | $ | 415 | $ | 440 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
4.25 | % | 4.87 | % | 7.38 | % | 7.67 | %(d)(e) | 8.02 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | ||||||||||
Ratio of net investment (loss) to average net assets excluding waivers |
(2.10 | %) | (3.55 | %) | (5.65 | %) | (6.63 | %)(d)(f) | (7.34 | %) | ||||||||||
Ratio of net investment income/(loss) to average net assets including waivers |
0.90 | % | 0.07 | % | 0.48 | % | (0.21 | %) | (0.57 | %) | ||||||||||
Portfolio turnover rate |
31 | % | 70 | % | 111 | % | 140 | % | 34 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 9.51% for Retail class, 10.29% for Class C and 9.30% for Class I. |
(f) |
Revised from (8.47%) for Retail class, (9.25%) for Class C and (8.25%) for Class I. |
See Notes to Financial Statements.
58
Cullen Small Cap Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 14.43 | $ | 8.56 | $ | 10.41 | $ | 11.46 | $ | 13.14 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment (loss)(a) |
(0.00 | )(b) | (0.08 | ) | (0.02 | ) | (0.10 | ) | (0.16 | ) | ||||||||||
Net realized and unrealized gain/(loss) |
(0.92 | ) | 5.95 | (1.50 | ) | (0.34 | ) | 0.92 | ||||||||||||
Total from Investment Operations |
(0.92 | ) | 5.87 | (1.52 | ) | (0.44 | ) | 0.76 | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.85 | ) | – | (0.33 | ) | (0.61 | ) | (2.44 | ) | |||||||||||
Total Distributions |
(1.85 | ) | – | (0.33 | ) | (0.61 | ) | (2.44 | ) | |||||||||||
Net Increase/(Decrease) in net asset value |
(2.77 | ) | 5.87 | (1.85 | ) | (1.05 | ) | (1.68 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 11.66 | $ | 14.43 | $ | 8.56 | $ | 10.41 | $ | 11.46 | ||||||||||
TOTAL RETURN(c) |
(7.11 | %) | 68.57 | % | (15.32 | %) | (3.01 | %) | (6.56 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(d) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 65 | $ | 336 | $ | 399 | $ | 58 | $ | 55 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
5.04 | % | 5.96 | % | 7.22 | % | 8.30 | %(e)(f) | 8.79 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | ||||||||||
Ratio of net investment (loss) to average net assets excluding waivers |
(3.07 | %) | (4.62 | %) | (5.49 | %) | (7.26 | %)(e)(g) | (8.11 | %) | ||||||||||
Ratio of net investment (loss) to average net assets including waivers |
(0.03 | %) | (0.66 | %) | (0.27 | %) | (0.96 | %) | (1.32 | %) | ||||||||||
Portfolio turnover rate |
31 | % | 70 | % | 111 | % | 140 | % | 34 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Amount represents less than $0.005 per common share. |
(c) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(d) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(e) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(f) |
Revised from 9.51% for Retail class, 10.29% for Class C and 9.30% for Class I. |
(g) |
Revised from (8.47%) for Retail class, (9.25%) for Class C and (8.25%) for Class I. |
See Notes to Financial Statements.
59
Cullen Small Cap Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 16.45 | $ | 9.68 | $ | 11.66 | $ | 12.63 | $ | 14.11 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income/(loss)(a) |
0.18 | 0.05 | 0.08 | 0.01 | (0.04 | ) | ||||||||||||||
Net realized and unrealized gain/(loss) |
(1.09 | ) | 6.75 | (1.69 | ) | (0.37 | ) | 1.00 | ||||||||||||
Total from Investment Operations |
(0.91 | ) | 6.80 | (1.61 | ) | (0.36 | ) | 0.96 | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.85 | ) | (0.03 | ) | (0.37 | ) | (0.61 | ) | (2.44 | ) | ||||||||||
Total Distributions |
(1.85 | ) | (0.03 | ) | (0.37 | ) | (0.61 | ) | (2.44 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.76 | ) | 6.77 | (1.98 | ) | (0.97 | ) | (1.48 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 13.69 | $ | 16.45 | $ | 9.68 | $ | 11.66 | $ | 12.63 | ||||||||||
TOTAL RETURN(b) |
(6.11 | %) | 70.34 | % | (14.49 | %) | (2.07 | %) | 7.62 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 7,848 | $ | 7,817 | $ | 3,570 | $ | 3,810 | $ | 3,684 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
4.00 | % | 4.72 | % | 7.57 | % | 7.50 | %(d)(e) | 7.81 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment (loss) to average net assets excluding waivers |
(1.85 | %) | (3.38 | %) | (5.80 | %) | (6.45 | %)(d)(f) | (7.13 | %) | ||||||||||
Ratio of net investment income/(loss) to average net assets including waivers |
1.15 | % | 0.34 | % | 0.77 | % | 0.05 | % | (0.32 | %) | ||||||||||
Portfolio turnover rate |
31 | % | 70 | % | 111 | % | 140 | % | 34 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 9.51% for Retail class, 10.29% for Class C and 9.30% for Class I. |
(f) |
Revised from (8.47%) for Retail class, (9.25%) for Class C and (8.25%) for Class I. |
See Notes to Financial Statements.
60
Cullen Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 15.85 | $ | 13.87 | $ | 16.56 | $ | 15.35 | $ | 15.30 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.20 | 0.25 | 0.26 | 0.23 | 0.20 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.10 | ) | 3.99 | (0.93 | ) | 1.21 | 1.03 | |||||||||||||
Total from Investment Operations |
(0.90 | ) | 4.24 | (0.67 | ) | 1.44 | 1.23 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.68 | ) | (2.26 | ) | (2.02 | ) | (0.23 | ) | (1.18 | ) | ||||||||||
Total Distributions |
(1.68 | ) | (2.26 | ) | (2.02 | ) | (0.23 | ) | (1.18 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.58 | ) | 1.98 | (2.69 | ) | 1.21 | 0.05 | |||||||||||||
Net Asset Value, End of Period |
$ | 13.27 | $ | 15.85 | $ | 13.87 | $ | 16.56 | $ | 15.35 | ||||||||||
TOTAL RETURN(b) |
(6.72 | %) | 33.12 | % | (5.38 | %) | 9.48 | % | 7.97 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 1,947 | $ | 2,231 | $ | 1,358 | $ | 792 | $ | 626 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
2.23 | % | 2.31 | % | 2.25 | % | 1.97 | %(d)(e) | 2.04 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
0.07 | % | 0.34 | % | 0.50 | % | 0.49 | %(d)(f) | 0.24 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.30 | % | 1.65 | % | 1.75 | % | 1.46 | % | 1.28 | % | ||||||||||
Portfolio turnover rate |
36 | % | 40 | % | 18 | % | 5 | % | 2 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.18% for Retail class, 2.94% for Class C and 1.93% for Class I. |
(f) |
Revised from 0.28% for Retail class, (0.42%) for Class C and 0.54% for Class I. |
See Notes to Financial Statements.
61
Cullen Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 15.82 | $ | 13.85 | $ | 16.55 | $ | 15.34 | $ | 15.28 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.09 | 0.12 | 0.15 | 0.12 | 0.09 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.11 | ) | 4.00 | (0.93 | ) | 1.20 | 1.04 | |||||||||||||
Total from Investment Operations |
(1.02 | ) | 4.12 | (0.78 | ) | 1.32 | 1.13 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.56 | ) | (2.15 | ) | (1.92 | ) | (0.11 | ) | (1.07 | ) | ||||||||||
Total Distributions |
(1.56 | ) | (2.15 | ) | (1.92 | ) | (0.11 | ) | (1.07 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.58 | ) | 1.97 | (2.70 | ) | 1.21 | 0.06 | |||||||||||||
Net Asset Value, End of Period |
$ | 13.24 | $ | 15.82 | $ | 13.85 | $ | 16.55 | $ | 15.34 | ||||||||||
TOTAL RETURN(b) |
(7.45 | %) | 32.18 | % | (6.11 | %) | 8.64 | % | 7.25 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 783 | $ | 596 | $ | 360 | $ | 404 | $ | 203 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
3.01 | % | 3.05 | % | 2.93 | % | 2.65 | %(d)(e) | 2.78 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | ||||||||||
Ratio of net investment (loss) to average net assets excluding waivers |
(0.66 | %) | (0.49 | %) | (0.20 | %) | (0.13 | %)(d)(f) | (0.49 | %) | ||||||||||
Ratio of net investment income to average net assets including waivers |
0.60 | % | 0.81 | % | 0.98 | % | 0.77 | % | 0.54 | % | ||||||||||
Portfolio turnover rate |
36 | % | 40 | % | 18 | % | 5 | % | 2 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.18% for Retail class, 2.94% for Class C and 1.93% for Class I. |
(f) |
Revised from 0.28% for Retail class, (0.42%) for Class C and 0.54% for Class I. |
See Notes to Financial Statements.
62
Cullen Value Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 15.80 | $ | 13.84 | $ | 16.55 | $ | 15.34 | $ | 15.29 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.24 | 0.28 | 0.31 | 0.27 | 0.24 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(1.10 | ) | 3.98 | (0.93 | ) | 1.21 | 1.03 | |||||||||||||
Total from Investment Operations |
(0.86 | ) | 4.26 | (0.62 | ) | 1.48 | 1.27 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.72 | ) | (2.30 | ) | (2.09 | ) | (0.27 | ) | (1.22 | ) | ||||||||||
Total Distributions |
(1.72 | ) | (2.30 | ) | (2.09 | ) | (0.27 | ) | (1.22 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.58 | ) | 1.96 | (2.71 | ) | 1.21 | 0.05 | |||||||||||||
Net Asset Value, End of Period |
$ | 13.22 | $ | 15.80 | $ | 13.84 | $ | 16.55 | $ | 15.34 | ||||||||||
TOTAL RETURN(b) |
(6.51 | %) | 33.42 | % | (5.12 | %) | 9.74 | % | 8.25 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 20,795 | $ | 24,287 | $ | 21,644 | $ | 39,111 | $ | 35,213 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.98 | % | 2.08 | % | 1.88 | % | 1.74 | %(d)(e) | 1.80 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
0.31 | % | 0.59 | % | 0.84 | % | 0.73 | %(d)(f) | 0.47 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.54 | % | 1.92 | % | 1.97 | % | 1.72 | % | 1.52 | % | ||||||||||
Portfolio turnover rate |
36 | % | 40 | % | 18 | % | 5 | % | 2 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.18% for Retail class, 2.94% for Class C and 1.93% for Class I. |
(f) |
Revised from 0.28% for Retail class, (0.42%) for Class C and 0.54% for Class I. |
See Notes to Financial Statements.
63
Cullen Emerging Markets High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 12.30 | $ | 8.95 | $ | 10.26 | $ | 10.55 | $ | 10.67 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.36 | 0.29 | 0.27 | 0.42 | 0.33 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(2.54 | ) | 3.30 | (1.23 | ) | (0.35 | ) | (0.05 | ) | |||||||||||
Total from Investment Operations |
(2.18 | ) | 3.59 | (0.96 | ) | 0.07 | 0.28 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.38 | ) | (0.24 | ) | (0.35 | ) | (0.36 | ) | (0.40 | ) | ||||||||||
Total Distributions |
(0.38 | ) | (0.24 | ) | (0.35 | ) | (0.36 | ) | (0.40 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.56 | ) | 3.35 | (1.31 | ) | (0.29 | ) | (0.12 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.74 | $ | 12.30 | $ | 8.95 | $ | 10.26 | $ | 10.55 | ||||||||||
TOTAL RETURN(b) |
(17.95 | %) | 40.49 | % | (9.47 | %) | 0.66 | % | 2.48 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 7,492 | $ | 9,819 | $ | 10,199 | $ | 15,576 | $ | 14,749 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.49 | % | 1.52 | % | 1.49 | % | 1.43 | % | 1.52 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | 1.25 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.91 | % | 2.35 | % | 2.51 | % | 4.01 | % | 2.59 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
3.15 | % | 2.62 | % | 2.75 | % | 4.19 | % | 2.86 | % | ||||||||||
Portfolio turnover rate |
87 | % | 80 | % | 70 | % | 77 | % | 48 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
64
Cullen Emerging Markets High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 12.14 | $ | 8.84 | $ | 10.14 | $ | 10.45 | $ | 10.57 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.28 | 0.21 | 0.19 | 0.34 | 0.24 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(2.51 | ) | 3.26 | (1.21 | ) | (0.35 | ) | (0.05 | ) | |||||||||||
Total from Investment Operations |
(2.23 | ) | 3.47 | (1.02 | ) | (0.01 | ) | 0.19 | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.32 | ) | (0.17 | ) | (0.28 | ) | (0.30 | ) | (0.31 | ) | ||||||||||
Total Distributions |
(0.32 | ) | (0.17 | ) | (0.28 | ) | (0.30 | ) | (0.31 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.55 | ) | 3.30 | (1.30 | ) | (0.31 | ) | (0.12 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.59 | $ | 12.14 | $ | 8.84 | $ | 10.14 | $ | 10.45 | ||||||||||
TOTAL RETURN(b) |
(18.58 | %) | 39.51 | % | (10.20 | %) | (0.08 | %) | 1.71 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 1,405 | $ | 1,869 | $ | 1,467 | $ | 2,039 | $ | 2,412 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
2.24 | % | 2.27 | % | 2.24 | % | 2.18 | % | 2.28 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | 2.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.20 | % | 1.65 | % | 1.75 | % | 3.22 | % | 1.85 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.44 | % | 1.92 | % | 1.99 | % | 3.40 | % | 2.13 | % | ||||||||||
Portfolio turnover rate |
87 | % | 80 | % | 70 | % | 77 | % | 48 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
65
Cullen Emerging Markets High Dividend Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 12.39 | $ | 9.01 | $ | 10.33 | $ | 10.61 | $ | 10.73 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.48 | 0.33 | 0.29 | 0.45 | 0.37 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(2.65 | ) | 3.32 | (1.23 | ) | (0.35 | ) | (0.07 | ) | |||||||||||
Total from Investment Operations |
(2.17 | ) | 3.65 | (0.94 | ) | 0.10 | 0.30 | |||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.40 | ) | (0.27 | ) | (0.38 | ) | (0.38 | ) | (0.42 | ) | ||||||||||
Total Distributions |
(0.40 | ) | (0.27 | ) | (0.38 | ) | (0.38 | ) | (0.42 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(2.57 | ) | 3.38 | (1.32 | ) | (0.28 | ) | (0.12 | ) | |||||||||||
Net Asset Value, End of Period |
$ | 9.82 | $ | 12.39 | $ | 9.01 | $ | 10.33 | $ | 10.61 | ||||||||||
TOTAL RETURN(b) |
(17.75 | %) | 40.91 | % | (9.26 | %) | 0.93 | % | 2.72 | % | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 302,300 | $ | 289,113 | $ | 237,242 | $ | 332,377 | $ | 393,127 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.24 | % | 1.27 | % | 1.24 | % | 1.18 | % | 1.28 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
3.95 | % | 2.71 | % | 2.73 | % | 4.22 | % | 2.93 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
4.19 | % | 2.98 | % | 2.97 | % | 4.40 | % | 3.21 | % | ||||||||||
Portfolio turnover rate |
87 | % | 80 | % | 70 | % | 77 | % | 48 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
See Notes to Financial Statements.
66
Cullen Enhanced Equity Income Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Retail |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 11.44 | $ | 8.95 | $ | 10.15 | $ | 9.87 | $ | 10.66 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.29 | 0.26 | 0.25 | 0.24 | 0.23 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.60 | ) | 2.77 | (0.86 | ) | 0.60 | (0.27 | ) | ||||||||||||
Total from Investment Operations |
(0.31 | ) | 3.03 | (0.61 | ) | 0.84 | (0.04 | ) | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.98 | ) | (0.54 | ) | (0.38 | ) | (0.56 | ) | (0.75 | ) | ||||||||||
From tax return of capital |
– | – | (0.21 | ) | – | – | ||||||||||||||
Total Distributions |
(0.98 | ) | (0.54 | ) | (0.59 | ) | (0.56 | ) | (0.75 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.29 | ) | 2.49 | (1.20 | ) | 0.28 | (0.79 | ) | ||||||||||||
Net Asset Value, End of Period |
$ | 10.15 | $ | 11.44 | $ | 8.95 | $ | 10.15 | $ | 9.87 | ||||||||||
TOTAL RETURN(b) |
(3.19 | %) | 34.77 | % | (6.08 | %) | 8.69 | % | (0.51 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 3,078 | $ | 2,395 | $ | 1,899 | $ | 2,243 | $ | 2,064 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.56 | % | 1.81 | % | 1.94 | % | 1.86 | %(d)(e) | 2.05 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | 1.00 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.01 | % | 1.72 | % | 1.66 | % | 1.48 | %(d)(f) | 1.17 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.57 | % | 2.53 | % | 2.60 | % | 2.34 | % | 2.22 | % | ||||||||||
Portfolio turnover rate |
93 | % | 139 | % | 170 | % | 192 | % | 157 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.03% for Retail class, 2.78% for Class C and 1.78% for Class I. |
(f) |
Revised from 1.31% for Retail class, 0.56% for Class C and 1.55% for Class I. |
See Notes to Financial Statements.
67
Cullen Enhanced Equity Income Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class C |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 11.47 | $ | 8.98 | $ | 10.17 | $ | 9.89 | $ | 10.67 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.20 | 0.18 | 0.17 | 0.16 | 0.15 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.59 | ) | 2.77 | (0.85 | ) | 0.60 | (0.26 | ) | ||||||||||||
Total from Investment Operations |
(0.39 | ) | 2.95 | (0.68 | ) | 0.76 | (0.11 | ) | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(0.92 | ) | (0.46 | ) | (0.33 | ) | (0.48 | ) | (0.67 | ) | ||||||||||
From tax return of capital |
– | – | (0.18 | ) | – | – | ||||||||||||||
Total Distributions |
(0.92 | ) | (0.46 | ) | (0.51 | ) | (0.48 | ) | (0.67 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.31 | ) | 2.49 | (1.19 | ) | 0.28 | (0.78 | ) | ||||||||||||
Net Asset Value, End of Period |
$ | 10.16 | $ | 11.47 | $ | 8.98 | $ | 10.17 | $ | 9.89 | ||||||||||
TOTAL RETURN(b) |
(3.88 | %) | 33.66 | % | (6.72 | %) | 7.86 | % | (1.17 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 7,127 | $ | 6,590 | $ | 4,311 | $ | 5,216 | $ | 4,961 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
2.32 | % | 2.55 | % | 2.67 | % | 2.56 | %(d)(e) | 2.80 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | 1.75 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
1.24 | % | 0.96 | % | 0.88 | % | 0.78 | %(d)(f) | 0.42 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
1.81 | % | 1.76 | % | 1.80 | % | 1.59 | % | 1.47 | % | ||||||||||
Portfolio turnover rate |
93 | % | 139 | % | 170 | % | 192 | % | 157 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.03% for Retail class, 2.78% for Class C and 1.78% for Class I. |
(f) |
Revised from 1.31% for Retail class, 0.56% for Class C and 1.55% for Class I. |
See Notes to Financial Statements.
68
Cullen Enhanced Equity Income Fund
Financial Highlights
June 30, 2022
For the Year |
For the Year |
For the Year |
For the Year |
For the Year |
||||||||||||||||
Class I |
||||||||||||||||||||
Net Asset Value, Beginning of Period |
$ | 11.51 | $ | 9.00 | $ | 10.21 | $ | 9.92 | $ | 10.70 | ||||||||||
INCOME FROM INVESTMENT OPERATIONS: |
||||||||||||||||||||
Net investment income(a) |
0.31 | 0.29 | 0.28 | 0.26 | 0.26 | |||||||||||||||
Net realized and unrealized gain/(loss) |
(0.59 | ) | 2.78 | (0.88 | ) | 0.61 | (0.27 | ) | ||||||||||||
Total from Investment Operations |
(0.28 | ) | 3.07 | (0.60 | ) | 0.87 | (0.01 | ) | ||||||||||||
DISTRIBUTIONS: |
||||||||||||||||||||
From distributable earnings |
(1.00 | ) | (0.56 | ) | (0.39 | ) | (0.58 | ) | (0.77 | ) | ||||||||||
From tax return of capital |
– | – | (0.22 | ) | – | – | ||||||||||||||
Total Distributions |
(1.00 | ) | (0.56 | ) | (0.61 | ) | (0.58 | ) | (0.77 | ) | ||||||||||
Net Increase/(Decrease) in net asset value |
(1.28 | ) | 2.51 | (1.21 | ) | 0.29 | (0.78 | ) | ||||||||||||
Net Asset Value, End of Period |
$ | 10.23 | $ | 11.51 | $ | 9.00 | $ | 10.21 | $ | 9.92 | ||||||||||
TOTAL RETURN(b) |
(2.90 | %) | 35.09 | % | (5.92 | %) | 9.03 | % | (0.24 | %) | ||||||||||
RATIOS/SUPPLEMENTAL DATA:(c) |
||||||||||||||||||||
Net Assets, End of Period (000s) |
$ | 160,092 | $ | 70,940 | $ | 39,697 | $ | 44,980 | $ | 39,675 | ||||||||||
Ratio of operating expenses to average net assets excluding waivers |
1.28 | % | 1.54 | % | 1.68 | % | 1.64 | %(d)(e) | 1.80 | % | ||||||||||
Ratio of operating expenses to average net assets including waivers |
0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | ||||||||||
Ratio of net investment income to average net assets excluding waivers |
2.20 | % | 1.96 | % | 1.91 | % | 1.69 | %(d)(f) | 1.42 | % | ||||||||||
Ratio of net investment income to average net assets including waivers |
2.73 | % | 2.75 | % | 2.84 | % | 2.58 | % | 2.47 | % | ||||||||||
Portfolio turnover rate |
93 | % | 139 | % | 170 | % | 192 | % | 157 | % | ||||||||||
(a) |
Calculated based on the average number of common shares outstanding during each fiscal period. |
(b) |
Total return based on per share net asset value reflects the effects of changes in net asset value on the performance of the Fund during each fiscal period. Total return based on common share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under the Fund's distribution reinvestment plan. |
(c) |
Ratios do not reflect the proportionate share of income and expenses of the underlying investee funds (i.e. those listed under Money Market Funds or Closed-End Funds on the Schedule of Investments). |
(d) |
In 2019, Custody fees were overstated due to an error in accounting. Due to the expense limitation agreements in place for each affected Fund, net asset values were not affected by this error and accordingly, management concluded the previously issued financial statements were not materially misstated. However, the Ratio of Expenses Before Reimbursements to Average Net Assets and Ratio of Net Investment Income/(Loss) to Average Net Assets before Reimbursements on the financial highlights were revised to reflect the corrected ratios. |
(e) |
Revised from 2.03% for Retail class, 2.78% for Class C and 1.78% for Class I. |
(f) |
Revised from 1.31% for Retail class, 0.56% for Class C and 1.55% for Class I. |
See Notes to Financial Statements.
69
Cullen Funds
Notes to Financial Statements
June 30, 2022
|
NOTE 1 - |
ORGANIZATION |
The Cullen Funds Trust (the “Trust”) is an open end management investment company created as a Delaware business trust on March 25, 2000 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The Trust currently offers six separate series to investors: the Cullen International High Dividend Fund, the Cullen High Dividend Equity Fund, the Cullen Small Cap Value Fund, the Cullen Value Fund, the Cullen Emerging Markets High Dividend Fund and the Cullen Enhanced Equity Income Fund (each a “Fund” and collectively, the “Funds”). The Funds are open end, diversified management investment companies registered under the 1940 Act. The investment objectives of the Cullen International High Dividend Fund, the Cullen High Dividend Equity Fund, the Cullen Value Fund, the Cullen Emerging Markets High Dividend Fund and the Cullen Enhanced Equity Income Fund are long-term capital appreciation and current income. The investment objective of the Cullen Small Cap Value Fund is long-term capital appreciation.
The Trust offers Retail Class, Class C, Class I, Class R1 and Class R2 Shares, except the Cullen Value Fund, the Cullen Emerging Markets High Dividend Fund and the Cullen Enhanced Equity Income Fund, which offer only Retail Class, Class C and Class I shares. However, the Cullen Small Cap Value Fund has not experienced any subscriptions in Class R1 and R2 shares since inception. As of June 30, 2022, the Cullen International High Dividend Fund Class R1 has no shares outstanding. Each class of shares differs principally in its respective distribution expenses and shareholder servicing expenses. Each class of shares has identical rights to earnings, assets, and voting privileges, except for the class specific expenses and exclusive rights to vote on matters affecting only individual classes.
|
NOTE 2 - |
SIGNIFICANT ACCOUNTING POLICIES |
The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States (“GAAP”). Each Fund is an investment company and follows accounting and reporting guidance in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 946, Financial Services – Investment Companies.
Valuation of Securities – Securities that are primarily traded on a national or foreign securities exchange are valued at the last sales price on the exchange on which they are primarily traded on the day of valuation or, if there has been no sale on such day, at the mean between the bid and asked prices. Securities primarily traded in the National Association of Securities Dealers Automated Quotation (“NASDAQ”) National Market System for which market quotations are readily available are valued using the NASDAQ Official Closing Price (“NOCP”). If the NOCP is not available, such securities are valued at the last sale price on the day of valuation, or if there has been no sale on such day, at the mean between the bid and asked prices. Money market mutual funds are valued at the net asset value (“NAV”) of shares held by the Funds on the day of valuation. Any securities or other assets for which market quotations are not readily available are valued at fair value as determined in good faith by the Valuation Committee of the Funds’ Board of Trustees under supervision of the full Board. The values for foreign securities are reported in local currency and converted to U.S. dollars using currency exchange rates at the time of valuation. Exchange rates are provided daily by recognized independent pricing agents.
Option Contracts – Option contracts shall typically be valued using reliable market quotations from the primary exchange on which the respective options are traded on the day of valuation or, if there has been no trade on such day, at the mean between the bid and asked prices. Any options for which market quotations are not readily available are valued at fair value as determined in good faith by the Valuation Committee of the Funds’ Board of Trustees under supervision of the Board, which may include a Black-Scholes model, the Cox- Rubenstein Binomial Option Pricing Model, or other appropriate option pricing model deemed appropriate. As of June 30, 2022, all written option contracts held are exchange-traded.
Participatory Notes/Warrants – The Funds may gain exposure to securities in certain foreign markets through investments in participatory notes (“P-notes”). The Funds may purchase P-notes pending ability to invest directly in a foreign market due to restrictions applicable to foreign investors or other market factors. P-notes are generally issued by banks or broker-dealers and are designed to offer a return linked to a particular underlying security. P-notes involve transaction costs, which may be higher than those applicable to the equity securities. An investment in a P-note may involve risks, including counterparty risk, beyond those normally associated with a direct investment in the underlying security. The Funds must rely on the creditworthiness of the counterparty and would have no rights against the issuer of the underlying security. Furthermore, the P-note’s performance may differ from that of the underlying security. The holder of the P-note is entitled to receive from the bank or broker-dealer an amount equal to dividends paid by the issuer of the underlying security; however, the holder is not entitled to the same rights (e.g. voting rights) as an owner of the underlying security. There is also no assurance that there will be a secondary trading market for a P-note or that the trading price of a P-note will equal the value of the underlying security. P-notes are generally valued based upon the value of a related underlying security that trades actively in the market.
Portfolio securities that are primarily traded on foreign securities exchanges are generally valued at the last reported trade or closing price of such securities on their respective exchanges, except when an occurrence subsequent to the time a value was so established is likely to have changed such value. In such an event, the fair value of those securities is determined in good faith through consideration of other factors in accordance with procedures established by, and under the general supervision of, the Board of Trustees. The Funds use a fair valuation model provided by independent pricing vendors, which is intended to reflect fair value when a security’s value is believed to have been materially affected by a valuation event that has occurred between the close of the exchange or market on which the security is traded and the close of the regular trading day of the New York Stock Exchange (“NYSE”). The Funds’ procedures set forth certain triggers that instruct when to use the fair valuation model. The value assigned to a security by the fair valuation model is a determination of fair value made under the Funds’ valuation procedures and under the supervision of the Board of Trustees. In such a case, a Fund’s value for a security may be different from the last sales price (or the latest closing price) and there is no guarantee that a fair valued security will be sold at the price at which a Fund is valuing the security. In such a circumstance, the affected securities would be considered level 2.
The Trust follows the authoritative guidance for fair value measurements. FASB ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value, and expands disclosure requirements regarding fair value measurements. This standard emphasizes that fair value is a market-based measurement that should be determined based on the assumptions that market participants would use in pricing an asset or liability and establishes a hierarchy that prioritizes inputs to valuation approaches used to measure fair value.
70
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
Various inputs are used in determining the value of each Fund’s investments. These inputs are summarized in the three broad levels listed below.
Level 1 – unadjusted quoted prices in active markets for identical securities.
Level 2 – other significant observable inputs (including quoted prices for similar securities, quoted prices in inactive markets, interest rates, prepayment speeds, credit risk, etc.).
Level 3 – significant unobservable inputs (including a Fund’s own assumptions in determining the fair value of investments).
The Trust’s policy is to disclose transfers between levels based on valuations at the end of the reporting period. The portfolio may hold securities which are periodically fair valued in accordance with the Trust’s fair value procedures. This may result in movements between levels 1, 2 and 3 throughout the period. Pursuant to the Trust’s fair value procedures noted previously, equity securities (including exchange traded securities and open-end regulated investment companies), exchange traded derivatives (i.e. options) and money market instruments are generally categorized as level 1 securities in the fair value hierarchy. Fixed income securities and non-exchange traded derivatives are generally categorized as level 2 securities in the fair value hierarchy. Investments for which there are no such quotations, or for which quotations do not appear reliable, are valued at fair value as determined in accordance with procedures established by and under the general supervision of the Trustees. Provided pre-defined triggers have been met, the Board of Trustees has approved independent pricing vendors that calculate fair valuations of international equity securities based on a number of factors that appear to correlate to the movements in the U.S. markets. These valuations are typically categorized as level 2 or level 3 securities in the fair value hierarchy.
The following is a summary of the inputs used as of June 30, 2022 in valuing each Fund’s assets carried at fair value:
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen International High Dividend Fund |
||||||||||||||||
Common Stocks |
$ | 161,900,761 | $ | – | $ | – | $ | 161,900,761 | ||||||||
Preferred Stock |
1,549,569 | – | – | 1,549,569 | ||||||||||||
Total |
$ | 163,450,330 | $ | – | $ | – | $ | 163,450,330 | ||||||||
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen High Dividend Equity Fund |
||||||||||||||||
Common Stocks |
$ | 911,336,768 | $ | – | $ | – | $ | 911,336,768 | ||||||||
Exchange-Traded Funds |
68,304,910 | – | – | 68,304,910 | ||||||||||||
Total |
$ | 979,641,678 | $ | – | $ | – | $ | 979,641,678 | ||||||||
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen Small Cap Value Fund |
||||||||||||||||
Common Stocks |
$ | 7,779,757 | $ | – | $ | – | $ | 7,779,757 | ||||||||
Total |
$ | 7,779,757 | $ | – | $ | – | $ | 7,779,757 | ||||||||
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen Value Fund |
||||||||||||||||
Common Stocks |
$ | 21,495,101 | $ | – | $ | – | $ | 21,495,101 | ||||||||
Exchange-Traded Funds |
1,625,784 | – | – | 1,625,784 | ||||||||||||
Total |
$ | 23,120,885 | $ | – | $ | – | $ | 23,120,885 | ||||||||
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen Emerging Markets High Dividend Fund |
||||||||||||||||
Common Stocks |
$ | 269,610,405 | $ | – | $ | – | $ | 269,610,405 | ||||||||
Preferred Stock |
5,750,891 | – | – | 5,750,891 | ||||||||||||
Participatory Notes(2) |
– | 10,822,255 | – | 10,822,255 | ||||||||||||
Total |
$ | 275,361,296 | $ | 10,822,255 | $ | – | $ | 286,183,551 | ||||||||
Investments in Securities at Value(1) |
Level 1 - Unadjusted Quoted Prices |
Level 2 - Other Significant Observable Inputs |
Level 3 - Significant Unobservable Inputs |
Total |
||||||||||||
Cullen Enhanced Equity Income Fund |
||||||||||||||||
Common Stocks |
$ | 152,159,449 | $ | – | $ | – | $ | 152,159,449 | ||||||||
Exchange-Traded Funds |
13,667,782 | – | – | 13,667,782 | ||||||||||||
Total |
$ | 165,827,231 | $ | – | $ | – | $ | 165,827,231 | ||||||||
Other Financial Instruments(3) |
||||||||||||||||
Written Options |
$ | (348,363 | ) | $ | – | $ | – | $ | (348,363 | ) | ||||||
Total |
$ | (348,363 | ) | $ | – | $ | – | $ | (348,363 | ) | ||||||
(1) |
For detailed descriptions and other security classifications, see the accompanying Schedule of Investments. |
(2) |
Participatory notes (P-notes) are generally valued based upon the value of a related underlying security that trades actively in the market and are classified as level 2 in the fair value hierarchy. |
(3) |
Other financial instruments are derivative instruments reflected in the Schedule of Investments. |
71
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
Distributions to Shareholders – Dividends from net investment income, if any, are declared and paid quarterly for the Cullen International High Dividend Fund, the Cullen Small Cap Value Fund, the Cullen Value Fund, the Cullen Emerging Markets High Dividend Fund and the Cullen Enhanced Equity Income Fund and monthly for the Cullen High Dividend Equity Fund. Distributions from realized capital gains, if any, are declared and paid at least annually.
Federal Income Taxes – The Funds intend to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies and plan to distribute substantially all of their taxable income to their shareholders in a manner which results in no tax expense to the Funds. Therefore, no federal income or excise tax provision is recorded.
As of and during the year ended June 30, 2022, the Funds did not have a liability for any unrecognized tax benefits. The Funds file U.S. federal, state, and local tax returns as required. The Funds’ tax returns are subject to examination by the relevant tax authorities until expiration of the applicable statute of limitations which is generally three years after the filing of the tax return for federal purposes and four years for most state returns. Tax returns for open years have incorporated no uncertain tax positions that require a provision for income taxes.
Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts in the financial statements. Actual results could differ from those estimates.
Guarantees and Indemnification – In the normal course of business, the Funds enter into contracts with service providers that contain general indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. Based on experience, however, the Funds expect the risk of loss to be remote.
Income and Expenses – Within each Fund, dividend income is recognized on the ex-dividend date or as soon as information is available. Income, expenses (other than expenses attributable to a specific class), and realized and unrealized gains or losses on investments are allocated to each class of shares based on its respective net assets.
Foreign Currency Transactions – The Funds isolate that portion of results of operations resulting from changes in foreign exchange rates on investments from fluctuations arising from changes in market prices of securities held. Such fluctuations in foreign exchange rates are included with the net realized and unrealized gain or loss from foreign currency related transactions. Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on each Fund’s accounts and the U.S. dollar equivalent of the amounts actually received or paid.
Other – Investment and shareholder transactions are recorded on trade date. The Funds determine the gain or loss realized from the investment transactions by comparing the original cost of the security lot sold with the net sales proceeds on a specific identification cost basis.
The effect of derivative instruments on the Statements of Assets and Liabilities as of June 30, 2022:
Asset Derivatives Statement of Assets and Liabilities Location |
Liability Derivatives Statement of Assets and Liabilities Location |
|||||||||||||||
| Location | Fair Value |
Location | Fair Value |
|||||||||||||
Cullen Enhanced Equity Income Fund |
||||||||||||||||
Equity Contracts (Written Options) |
N/A | $ | – | Written Options, at value |
$ | (348,363 | ) | |||||||||
Total |
$ | – | $ | (348,363 | ) | |||||||||||
The effect of derivatives instruments on the Statements of Operations for the year ended June 30, 2022:
Risk Exposure |
Statement of Operations Location |
Realized Gain/(Loss) on Derivatives |
Change in Unrealized Appreciation/ (Depreciation) on Derivatives |
||||||
Cullen Enhanced Equity Income Fund |
|||||||||
Equity Contracts (Written Options) |
Net realized gain on written options/Net change in unrealized depreciation on written options |
$ | 2,453,441 | $ | (23,933 | ) | |||
Total |
$ | 2,453,441 | $ | (23,933 | ) | ||||
The Cullen Enhanced Equity Income Fund had the following monthly average written call option notional value during the year ended June 30, 2022:
Monthly Average Written Option Notional Value |
||||
Cullen Enhanced Equity Income Fund |
$ | 18,859,810 | ||
72
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
|
NOTE 3 - |
CAPITAL SHARE TRANSACTIONS |
Share transactions were as follows:
Year Ended |
Year Ended |
|||||||
Cullen International High Dividend Fund |
||||||||
Retail |
||||||||
Shares sold |
78,077 | 182,451 | ||||||
Dividends reinvested |
13,739 | 14,011 | ||||||
Shares redeemed |
(207,312 | ) | (242,330 | ) | ||||
Net decrease in shares outstanding |
(115,496 | ) | (45,868 | ) | ||||
Class C |
||||||||
Shares sold |
19,303 | 38,979 | ||||||
Dividends reinvested |
2,551 | 2,285 | ||||||
Shares redeemed |
(31,487 | ) | (37,600 | ) | ||||
Net increase/(decrease) in shares outstanding |
(9,633 | ) | 3,664 | |||||
Class I |
||||||||
Shares sold |
7,938,570 | 4,860,548 | ||||||
Dividends reinvested |
342,137 | 247,829 | ||||||
Shares redeemed |
(6,457,256 | ) | (3,491,543 | ) | ||||
Net increase in shares outstanding |
1,823,451 | 1,616,834 | ||||||
Class R1 |
||||||||
Shares sold |
38 | 140 | ||||||
Dividends reinvested |
9 | 25 | ||||||
Shares redeemed |
(974 | ) | (519 | ) | ||||
Net decrease in shares outstanding |
(927 | ) | (354 | ) | ||||
Class R2 |
||||||||
Shares sold |
– | 13 | ||||||
Dividends reinvested |
– | 8 | ||||||
Shares redeemed |
(286 | ) | (26 | ) | ||||
Net decrease in shares outstanding |
(286 | ) | (5 | ) | ||||
Cullen High Dividend Equity Fund |
||||||||
Retail |
||||||||
Shares sold |
564,312 | 712,292 | ||||||
Dividends reinvested |
767,745 | 823,186 | ||||||
Shares redeemed |
(1,687,880 | ) | (2,707,522 | ) | ||||
Net decrease in shares outstanding |
(355,823 | ) | (1,172,044 | ) | ||||
Class C |
||||||||
Shares sold |
175,970 | 151,369 | ||||||
Dividends reinvested |
213,550 | 226,767 | ||||||
Shares redeemed |
(317,807 | ) | (821,678 | ) | ||||
Net increase/(decrease) in shares outstanding |
71,713 | (443,542 | ) | |||||
Class I |
||||||||
Shares sold |
9,029,922 | 10,611,234 | ||||||
Dividends reinvested |
5,161,114 | 5,266,957 | ||||||
Shares redeemed |
(14,092,264 | ) | (22,751,005 | ) | ||||
Net increase/(decrease) in shares outstanding |
98,772 | (6,872,814 | ) | |||||
Class R1 |
||||||||
Shares sold |
1,981 | 2,949 | ||||||
Dividends reinvested |
6,695 | 6,084 | ||||||
Shares redeemed |
(2,193 | ) | (4,441 | ) | ||||
Net increase in shares outstanding |
6,483 | 4,592 | ||||||
Class R2 |
||||||||
Shares sold |
8,125 | 9,549 | ||||||
Dividends reinvested |
9,083 | 7,811 | ||||||
Shares redeemed |
(34,554 | ) | (21,868 | ) | ||||
Net decrease in shares outstanding |
(17,346 | ) | (4,508 | ) | ||||
73
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
Year Ended |
Year Ended |
|||||||
Cullen Small Cap Value Fund |
||||||||
Retail |
||||||||
Shares sold |
5,181 | 83,073 | ||||||
Dividends reinvested |
5,086 | – | ||||||
Shares redeemed |
(21,917 | ) | (71,580 | ) | ||||
Net increase/(decrease) in shares outstanding |
(11,650 | ) | 11,493 | |||||
Class C |
||||||||
Shares sold |
2,234 | 10,367 | ||||||
Dividends reinvested |
1,128 | – | ||||||
Shares redeemed |
(21,110 | ) | (33,722 | ) | ||||
Net decrease in shares outstanding |
(17,748 | ) | (23,355 | ) | ||||
Class I |
||||||||
Shares sold |
65,709 | 307,330 | ||||||
Dividends reinvested |
60,272 | 1,042 | ||||||
Shares redeemed |
(27,865 | ) | (201,933 | ) | ||||
Net increase in shares outstanding |
98,116 | 106,439 | ||||||
Cullen Value Fund |
||||||||
Retail |
||||||||
Shares sold |
10,251 | 47,482 | ||||||
Dividends reinvested |
16,164 | 19,549 | ||||||
Shares redeemed |
(20,406 | ) | (24,229 | ) | ||||
Net increase in shares outstanding |
6,009 | 42,802 | ||||||
Class C |
||||||||
Shares sold |
29,174 | 26,446 | ||||||
Dividends reinvested |
3,946 | 1,682 | ||||||
Shares redeemed |
(11,632 | ) | (16,430 | ) | ||||
Net increase in shares outstanding |
21,488 | 11,698 | ||||||
Class I |
||||||||
Shares sold |
40,265 | 65,500 | ||||||
Dividends reinvested |
178,150 | 247,137 | ||||||
Shares redeemed |
(182,617 | ) | (340,181 | ) | ||||
Net increase/(decrease) in shares outstanding |
35,798 | (27,544 | ) | |||||
Cullen Emerging Markets High Dividend Fund |
||||||||
Retail |
||||||||
Shares sold |
176,735 | 220,558 | ||||||
Dividends reinvested |
23,720 | 18,212 | ||||||
Shares redeemed |
(229,096 | ) | (580,759 | ) | ||||
Net decrease in shares outstanding |
(28,641 | ) | (341,989 | ) | ||||
Class C |
||||||||
Shares sold |
2,415 | 6,133 | ||||||
Dividends reinvested |
4,317 | 2,382 | ||||||
Shares redeemed |
(14,207 | ) | (20,538 | ) | ||||
Net decrease in shares outstanding |
(7,475 | ) | (12,023 | ) | ||||
Class I |
||||||||
Shares sold |
14,011,777 | 8,635,167 | ||||||
Dividends reinvested |
994,977 | 553,473 | ||||||
Shares redeemed |
(7,543,430 | ) | (12,192,529 | ) | ||||
Net increase/(decrease) in shares outstanding |
7,463,324 | (3,003,889 | ) | |||||
74
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
Year Ended |
Year Ended |
|||||||
Cullen Enhanced Equity Income Fund |
||||||||
Retail |
||||||||
Shares sold |
122,619 | 56,293 | ||||||
Dividends reinvested |
22,207 | 10,179 | ||||||
Shares redeemed |
(51,075 | ) | (69,257 | ) | ||||
Net increase/(decrease) in shares outstanding |
93,751 | (2,785 | ) | |||||
Class C |
||||||||
Shares sold |
239,360 | 210,853 | ||||||
Dividends reinvested |
40,799 | 14,071 | ||||||
Shares redeemed |
(153,197 | ) | (130,741 | ) | ||||
Net increase in shares outstanding |
126,962 | 94,183 | ||||||
Class I |
||||||||
Shares sold |
10,580,709 | 2,401,274 | ||||||
Dividends reinvested |
704,814 | 246,528 | ||||||
Shares redeemed |
(1,799,489 | ) | (895,054 | ) | ||||
Net increase in shares outstanding |
9,486,034 | 1,752,748 | ||||||
|
NOTE 4 - |
INVESTMENT TRANSACTIONS |
Purchases and sales of investments, excluding short-term investments, for the year ended June 30, 2022 were as follows:
Fund |
Purchases of Securities |
Proceeds from Sales of Securities |
||||||
Cullen International High Dividend Fund |
$ | 138,989,391 | $ | 134,534,634 | ||||
Cullen High Dividend Equity Fund |
179,822,991 | 287,772,972 | ||||||
Cullen Small Cap Value Fund |
2,637,837 | 3,019,771 | ||||||
Cullen Value Fund |
9,516,785 | 10,159,891 | ||||||
Cullen Emerging Markets High Dividend Fund |
318,169,098 | 254,019,889 | ||||||
Cullen Enhanced Equity Income Fund |
205,372,364 | 97,977,590 | ||||||
|
NOTE 5 - |
FEDERAL TAX INFORMATION |
As of June 30, 2022, the components of accumulated earnings (losses) on a tax basis were as follows:
Undistributed Net |
Accumulated Net |
Unrealized |
Total |
|||||||||||||
Cullen International High Dividend Fund |
$ | 182,258 | $ | (26,395,817 | ) | $ | 8,338,821 | $ | (17,874,738 | ) | ||||||
Cullen High Dividend Equity Fund |
35,709 | 57,140,180 | 408,424,587 | 465,600,476 | ||||||||||||
Cullen Small Cap Value Fund |
76,658 | 618,540 | 958,746 | 1,653,944 | ||||||||||||
Cullen Value Fund |
— | 1,197,301 | 7,435,256 | 8,632,557 | ||||||||||||
Cullen Emerging Markets High Dividend Fund |
348,654 | (66,378,791 | ) | 2,792,956 | (63,237,181 | ) | ||||||||||
Cullen Enhanced Equity Income Fund |
896,469 | – | (14,384,606 | ) | (13,488,137 | ) | ||||||||||
As of June 30, 2022 the costs of investments for federal tax purposes and accumulated net unrealized appreciation/ (depreciation) in investments were as follows:
| Gross Appreciation (excess of value over tax cost |
) | Gross Depreciation (excess of tax cost over value |
) | Net |
Net Unrealized |
Cost of |
||||||||||||||
Cullen International High Dividend Fund |
$ | 20,921,734 | $ | (12,516,563 | ) | $ | (66,350 | ) | $ | 8,338,821 | $ | 155,045,159 | ||||||||
Cullen High Dividend Equity Fund |
411,850,045 | (3,427,629 | ) | 2,171 | 408,424,587 | 571,219,262 | ||||||||||||||
Cullen Small Cap Value Fund |
1,611,169 | (652,423 | ) | – | 958,746 | 6,821,011 | ||||||||||||||
Cullen Value Fund |
7,764,104 | (328,848 | ) | – | 7,435,256 | 15,685,629 | ||||||||||||||
Cullen Emerging Markets High Dividend Fund |
28,576,462 | (25,740,300 | ) | (43,206 | ) | 2,792,956 | 283,262,400 | |||||||||||||
Cullen Enhanced Equity Income Fund |
4,629,869 | (19,014,684 | ) | 209 | (14,384,606 | ) | 180,176,678 | |||||||||||||
* |
Represents cost for federal income tax purposes and differs from the cost for financial reporting purposes due to various book-to-tax differences. Those differences primarily relate to wash sales, straddles, partnership adjustments and passive foreign investment company adjustments for the Funds. |
The Funds may periodically make reclassifications among certain of their capital accounts as a result of the recognition and characterization of certain income and capital gain distributions determined annually in accordance with federal tax regulations, which may differ from GAAP. These principles require that permanent financial reporting and tax differences be reclassified in the capital accounts. For the Funds’ most recent year end, as a result of permanent book-to-tax differences
75
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
arising primarily from the treatment of foreign currency, passive foreign investment companies, excise taxes paid, taxable overdistribution and the use of tax equalization, reclassification adjustments were made to increase (decrease) the amounts listed below:
Fund |
Paid-in Capital |
Total Distributable Earnings |
||||||
Cullen Emerging Markets High Dividend Fund |
$ | (31,424 | ) | $ | 31,424 | |||
Cullen High Dividend Equity Fund |
5,694,150 | (5,694,150 | ) | |||||
At June 30, 2022, the following Funds had capital loss carryforwards which will reduce each Fund’s taxable income arising from future net realized gain on investments, if any, to the extent permitted by the Internal Revenue Code (the “Code”) and thus will reduce the amount of distributions to shareholders which would otherwise be necessary to relieve the Fund of any liability for federal income tax.
Under current law, capital losses maintain their character as short-term or long-term and are carried forward to the next tax year without expiration. As of the current fiscal year end, the following amounts are available as carry forwards to the next tax year:
Fund |
No Expiration |
Total |
||||||
Cullen International High Dividend Fund |
$ | (26,395,817 | ) | $ | (26,395,817 | ) | ||
Cullen Emerging Markets High Dividend Fund |
(66,378,791 | ) | (66,378,791 | ) | ||||
The tax composition of dividends paid during the year ended June 30, 2022 was as follows:
Fund |
Ordinary Income |
Long-Term Capital |
||||||
Cullen International High Dividend Fund |
$ | 5,957,058 | $ | – | ||||
Cullen High Dividend Equity Fund |
32,668,221 | 88,037,418 | ||||||
Cullen Small Cap Value Fund |
174,829 | 791,984 | ||||||
Cullen Value Fund |
1,364,080 | 1,579,615 | ||||||
Cullen Emerging Markets High Dividend Fund |
11,479,062 | – | ||||||
Cullen Enhanced Equity Income Fund |
9,341,614 | – | ||||||
The tax composition of dividends paid during the year ended June 30, 2021 was as follows:
Fund |
Ordinary Income |
Long-Term Capital |
||||||
Cullen International High Dividend Fund |
$ | 5,203,456 | $ | – | ||||
Cullen High Dividend Equity Fund |
27,782,665 | 82,668,138 | ||||||
Cullen Small Cap Value Fund |
12,981 | – | ||||||
Cullen Value Fund |
617,451 | 3,098,112 | ||||||
Cullen Emerging Markets High Dividend Fund |
6,595,559 | – | ||||||
Cullen Enhanced Equity Income Fund |
3,212,850 | – | ||||||
|
NOTE 6 - |
INVESTMENT ADVISORY AND OTHER AGREEMENTS |
The Trust has an agreement with Cullen Capital Management, LLC (the “Investment Advisor”), with which certain officers and trustees of the Trust are affiliated, to furnish investment advisory services to the Funds. Under the terms of the agreement, the Funds will compensate the Investment Advisor for its management services at the annual rate of 1.00% of each Fund’s average daily net assets. Through October 31, 2023, the Investment Advisor has agreed to absorb expenses to the extent that the Cullen International High Dividend Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.25%, 2.00%, 1.00%, 1.75% and 1.50% of the Retail Class, Class C, Class I, Class R1 and Class R2 net assets, respectively; the Cullen High Dividend Equity Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.00%, 1.75%, 0.75%, 1.50% and 1.25% of the Retail Class, Class C, Class I, Class R1 and Class R2 net assets, respectively; and the Cullen Small Cap Value Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.25%, 2.00%, 1.00%, 1.75% and 1.50% of the Retail Class, Class C, Class I, Class R1 and Class R2 net assets, respectively; the Cullen Value Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.00%, 1.75% and 0.75% of the Retail Class, Class C and Class I net assets, respectively; the Cullen Emerging Markets High Dividend Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.25%, 2.00% and 1.00% of the Retail Class, Class C, and Class I net assets, respectively; and the Cullen Enhanced Equity Income Fund’s total annual operating expenses (excluding taxes and acquired funds fees and expenses) exceed 1.00%, 1.75% and 0.75% of the Retail Class, Class C and Class I net assets, respectively. For a period of three years after the year in which the Investment Advisor reimburses expenses, the Investment Advisor may seek reimbursement on a class-by-class basis from the respective Fund to the extent that total annual individual Fund operating expenses are less than the expense limitation in effect at the time of the reimbursement.
76
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
As of June 30, 2022, reimbursed expenses for each Fund subject to potential recovery by year of expiration are as follows:
| Expiring June 30, | ||||||||||||
| 2023 | 2024 | 2025 | ||||||||||
Cullen International High Dividend Fund |
||||||||||||
Retail |
$ | 18,401 | $ | 14,679 | $ | 13,727 | ||||||
Class C |
6,277 | 3,109 | 3,235 | |||||||||
Class I |
417,603 | 450,232 | 468,124 | |||||||||
Class R2 |
2 | 2 | – | |||||||||
Total |
$ | 442,290 | $ | 468,025 | $ | 485,087 | ||||||
Cullen High Dividend Equity Fund |
||||||||||||
Retail |
$ | 508,920 | $ | 417,669 | $ | 417,900 | ||||||
Class C |
156,076 | 117,996 | 119,314 | |||||||||
Class I |
3,886,846 | 3,143,828 | 3,273,352 | |||||||||
Class R1 |
480 | 564 | 636 | |||||||||
Class R2 |
3,332 | 945 | 763 | |||||||||
Total |
$ | 4,555,654 | $ | 3,681,002 | $ | 3,811,965 | ||||||
Cullen Small Cap Value Fund |
||||||||||||
Retail |
$ | 19,199 | $ | 24,890 | $ | 18,685 | ||||||
Class C |
4,374 | 14,222 | 5,954 | |||||||||
Class I |
250,340 | 227,747 | 233,171 | |||||||||
Total |
$ | 273,913 | $ | 266,859 | $ | 257,810 | ||||||
Cullen Value Fund |
||||||||||||
Retail |
$ | 12,692 | $ | 24,262 | $ | 28,452 | ||||||
Class C |
4,566 | 4,266 | 8,470 | |||||||||
Class I |
347,984 | 309,438 | 300,843 | |||||||||
Total |
$ | 365,242 | $ | 337,966 | $ | 337,765 | ||||||
Cullen Emerging Markets High Dividend Fund |
||||||||||||
Retail |
$ | 31,944 | $ | 26,960 | $ | 21,366 | ||||||
Class C |
4,422 | 4,441 | 4,115 | |||||||||
Class I |
718,933 | 701,345 | 730,005 | |||||||||
Total |
$ | 755,299 | $ | 732,746 | $ | 755,486 | ||||||
Cullen Enhanced Equity Income Fund |
||||||||||||
Retail |
$ | 20,282 | $ | 16,642 | $ | 16,115 | ||||||
Class C |
45,707 | 40,315 | 40,651 | |||||||||
Class I |
373,623 | 405,839 | 533,880 | |||||||||
Total |
$ | 439,612 | $ | 462,796 | $ | 590,646 | ||||||
Effective May 2, 2022, Paralel Technologies LLC (“PRT”) began serving as the Funds’ administrator and provides all administrative and fund accounting services to the Funds. Effective May 11, 2022, an employee of PRT was named Chief Compliance Officer of the Funds pursuant to a compliance agreement with PRT. Prior to May 2, 2022, ALPS Fund Services, Inc. served as the Funds’ administrator and fund accountant. Brown Brothers Harriman serves as the Funds’ custodian.
|
NOTE 7 - |
DISTRIBUTION PLAN |
The Funds have adopted a Service and Distribution Plan (the “Plan”) pursuant to Rule 12b-1 under the 1940 Act. The Plan authorizes payments by the Funds in connection with the distribution of shares at an annual rate, as determined from time to time by the Board of Trustees, of up to 0.25%, 1.00%, 0.50% and 0.25% of the average daily net assets of Retail Class, Class C, Class R1, and Class R2, respectively. Amounts paid under the Plan to the Funds’ distributor, ALPS Distributors, Inc., compensate the distributor for any activities or expenses primarily intended to result in the sale of shares of the Funds. This may include, but is not limited to, advertising, compensation for sales and marketing activities of financial institutions and others such as dealers and distributors, shareholder account servicing, the printing and mailing of prospectuses to other than current shareholders and the printing and mailing of sales literature. The expenses of the Plan are reflected as distribution fees in the Statement of Operations.
|
NOTE 8 - |
SHAREHOLDER SERVICES FEE |
The Trust has adopted a Shareholder Servicing Plan (the “Servicing Plan”) with respect to the Funds’ Class R1 and Class R2 shares. For providing certain account administration services to participants in retirement plans that are beneficial owners of such shares, the Servicing Plan authorizes each Fund to compensate plan administrators or other intermediaries up to 0.25% of the average daily net assets of Class R1 and Class R2. The expenses of the Servicing Plan, if any, are reflected as shareholder services fees in the Statement of Operations.
|
NOTE 9 - |
FOREIGN INVESTMENT RISK |
The Trust invests in securities traded on exchanges outside the United States. Further, each Fund invests in securities issued by companies domiciled outside the United States, which may be subject to political, social and economic uncertainty to a greater extent and may also be affected by currency controls; different accounting, auditing, financial reporting, and legal standards and practices in some countries; expropriation; changes in tax policy; greater market volatility; differing securities market structures; higher transaction costs; and various administrative difficulties, such as delays in clearing and settling portfolio transactions or in receiving payment of dividends.
77
Cullen Funds
Notes to Financial Statements
June 30, 2022 (Continued)
|
NOTE 10 - |
SIGNIFICANT SHAREHOLDERS |
At June 30, 2022, the Cullen Small Cap Value Fund had two affiliated shareholders who held 47.06% and 8.86% of the Fund’s outstanding shares and the Cullen Value Fund had two affiliated shareholders who held 36.18% and 5.29% of the Fund’s outstanding shares. Investment activities of these shareholders could have a material effect on the respective Funds.
|
NOTE 11 - |
CYBERSECURITY EVENT/RELATED PARTY AGREEMENT |
The email account of a senior officer of the Adviser and the Trust and an affiliated shareholder of the Cullen Value Fund was compromised through a phishing attack. On June 8 and 10, 2022, fraudulent redemptions totaling $1.2 million were processed by the Transfer Agent from the affiliated shareholder’s account in the Cullen Value Fund, which is held jointly with another related party shareholder. A third redemption request was presented on June 14 but not processed by the Transfer Agent. On August 22, 2022, $340,043 of the misappropriated funds were reclaimed from a recipient bank and returned to the affiliated shareholders’ account. The Trust has entered into an agreement with the affiliated shareholders that releases the Trust and the Cullen Value Fund from any liability relating to any unrecovered portion of the original $1.2 million misappropriated amount.
78
Cullen Funds
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of Cullen Funds Trust and Shareholders of Cullen International High Dividend Fund, Cullen High Dividend Equity Fund, Cullen Small Cap Value Fund, Cullen Value Fund, Cullen Emerging Markets High Dividend Fund and Cullen Enhanced Equity Income Fund
Opinions on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Cullen International High Dividend Fund, Cullen High Dividend Equity Fund, Cullen Small Cap Value Fund, Cullen Value Fund, Cullen Emerging Markets High Dividend Fund and Cullen Enhanced Equity Income Fund (constituting Cullen Funds Trust, hereafter collectively referred to as the "Funds") as of June 30, 2022, the related statements of operations for the year ended June 30, 2022, the statements of changes in net assets for each of the two years in the period ended June 30, 2022, including the related notes, and the financial highlights for each of the five years in the period ended June 30, 2022 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of June 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended June 30, 2022 and each of the financial highlights for each of the five years in the period ended June 30, 2022 in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinions
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits of these financial statements 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 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, 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. 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. Our procedures included confirmation of securities owned as of June 30, 2022 by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.
/s/ PricewaterhouseCoopers LLP
Denver, Colorado
September 21, 2022
We have served as the auditor of one or more investment companies in Cullen Funds Trust since 2000.
79
Cullen Funds
Additional Information
June 30, 2022 (Unaudited)
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Funds. This report may be distributed to others only if preceded or accompanied by a current prospectus. The Funds are distributed by ALPS Distributors, Inc., a member of the FINRA.
How to Obtain a Copy of the Funds Proxy Voting Policy
A description of the policies and procedures that the Funds uses to determine how to vote proxies relating to portfolio securities is available (1) without charge upon request by calling 1-877-485-8586; (2) at www.cullenfunds.com; and (3) on the U.S. Securities and Exchange Commission’s website at www.sec.gov. The Funds’ proxy voting record is available on the SEC’s website at www.sec.gov no later than August 31 for the prior 12 months ended June 30.
Quarterly Filings on Form N-PORT
The Funds files their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-PORT. The Funds’ Form N-PORT is available on the SEC’s website at www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. and information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. Information included in the Funds’ N-PORT will also be available upon request by calling 1-877-485-8586.
Unaudited Section Tax Designations
Pursuant to Section 852(b)(3) of the Internal Revenue Code, Cullen Small Cap Value Fund designates $791,984, Cullen Value Fund designates $1,579,615 and Cullen High Dividend Equity Fund designates $93,731,568 as long-term capital gain distributions. The Cullen High Dividend Equity Fund's paid-in capital has been adjusted by $5,694,150 all of which is long-term capital gain, for distributions in connection with share redemptions (tax equalization).
The Funds designate the following as percentages of taxable ordinary income distributions, up to maximum amount allowable, for the calendar year ended December 31, 2021:
Dividends Received Deduction |
Qualified Dividend Income Percentage |
|||||||
Cullen International High Dividend Fund |
6.99 | % | 90.82 | % | ||||
Cullen High Dividend Equity Fund |
86.99 | % | 96.36 | % | ||||
Cullen Small Cap Value Fund |
100.00 | % | 100.00 | % | ||||
Cullen Value Fund |
39.69 | % | 44.84 | % | ||||
Cullen Emerging Markets High Dividend Fund |
0.00 | % | 78. 26 | % | ||||
Cullen Enhanced Equity Income Fund |
30.72 | % | 36.30 | % | ||||
In early 2022, if applicable, shareholders of record received this information for the distributions paid to them by the Funds during the calendar year 2021 via Form 1099. The Funds will notify shareholders in early 2023 of amounts paid to them by the Funds, if any, during the calendar year 2022.
The Funds designate the following for federal income tax purposes for the year ended June 30, 2022:
Foreign Taxes Paid |
Foreign Source income |
|||||||
Cullen International High Dividend Fund |
$ | 823,805 | $ | 7,135,282 | ||||
Cullen Emerging Markets High Dividend Fund |
$ | 1,144,459 | $ | 14,889,691 | ||||
80
Cullen Funds
Trustees and Officers
(Unaudited)
INTERESTED TRUSTEE |
|||||
Name, Address and Year of Birth |
Position(s) Held with Trust |
Term of Office and Length of Time Served** |
Principal Occupation(s) During Past 5 Years |
No. of Funds in Complex Overseen |
Other Directorships held by Trustees |
James P. Cullen*† Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1938 |
Trustee and CEO |
Since 2000 |
Chairman and CEO, Controlling Member and Portfolio Manager, Cullen Capital Management LLC, since May 2000; Chairman and CEO, Schafer Cullen Capital Management, Inc., a registered investment adviser, from December 1982 to present. |
6 |
None |
INDEPENDENT TRUSTEE |
|||||
Name, Address and Year of Birth |
Position(s) Held with Trust |
Term of Office and Length of Time Served** |
Principal Occupation(s) During Past 5 Years |
No. of Funds in Complex Overseen |
Other Directorships held by Trustees |
Robert J. Garry c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1945 |
Independent |
Since 2000 |
Retired since July 2010, Executive Vice President/ Chief Financial Officer, New York City Off-Track Betting Corporation, November 2007 to July 2010; Corporate Controller, Yonkers Racing Corporation, 2001 to September 2007; Chief Operations Officer, The Tennis Network Inc., March 2000 to 2001; Senior Vice President and Chief Financial Officer, National Thoroughbred Racing Association, 1998 to 2000; Director of Finance and Chief Financial Officer, United States Tennis Association, prior thereto. |
6 |
None |
Stephen G. Fredericks c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1942 |
Independent |
Since 2002 |
Retired since July 2009, Institutional Trader, Raymond James & Associates, February 2002 to July 2009; Institutional Trader, ABN AMRO Inc, January 1995 to May 2001. |
6 |
None |
James H. Wildman c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1940 |
Independent |
Since 2012 |
Retired since 2001; Managing Partner, King & Spalding, New York City, 1992 to 2001. Managing Partner, King & Spalding LLP, 1989 to 1992 |
6 |
None |
Daniel J. Campbell c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1945 |
Independent |
Since 2010 |
Retired since 2003; Managing Director Global Hybrid Capital Products, Deutsche Bank 2001 to 2003; Managing Director Preferred Bond Trading / Global Head Fixed Income Capital Products, Merrill Lynch 1983 to 2001. |
6 |
None |
Jeffrey Hemmings c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1941 |
Independent |
Since 2015 |
Retired since November, 2012; Account Vice President, UBS Financial Services, Inc, 1988-2012, Account Executive, EFHutton and Co,. Inc. 1970-1988. |
6 |
None |
Walter H Forman c/o Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1941 |
Independent |
Since 2016 |
Diagnostic Radiologist. Co-owner of Palm Beach Radiology (Palm Beach Florida), a medical imaging center since June 2007. |
6 |
None |
81
Cullen Funds
Trustees and Officers
(Unaudited)
OFFICERS |
|||||
Name, Address and Year of Birth |
Position(s) Held with Trust |
Term of Office and Length of Time Served |
Principal Occupation(s) During Past 5 Years |
No. of Funds in Complex Overseen |
Other Directorships held by Trustees |
Brooks H. Cullen† Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1967 |
Vice |
Since 2000 |
Vice Chairman and Portfolio Manager, Cullen Capital Management LLC, since May 2000; Vice Chairman and Portfolio Manager Schafer Cullen Capital Management, Inc., from 1996 to present. |
N/A |
N/A |
Rahul D. Sharma Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1970 |
Secretary |
Since 2000 |
Vice Chairman and Portfolio Manager, Cullen Capital Management LLC, since May 2000; Vice Chairman and Portfolio Manager Schafer Cullen Capital Management, Inc., from 1996 to present. |
N/A |
N/A |
Bradley J. Swenson Paralel 1700 Broadway, Suite 1230 Denver, CO 80290 Born: 1972 |
Chief |
Since 2022 |
President and Chief Compliance Officer, Paralel Distributors LLC, since May 2022; Director of Compliance Services, Paralel Technologies, since May 2022; President, TruePeak Consulting, LLC, since August 2021; President, ALPS Fund Services, Inc. (“ALPS”) June 2019 to June 2021; Chief Operating Officer, ALPS 2015 to 2019; Chief Compliance Officer to ALPS, its affiliated entities, and to certain ETF, closed-end and open-end investment companies 2004-2015 |
N/A |
N/A |
Jeffrey T. Battaglia Cullen Capital Management LLC 645 Fifth Avenue New York, NY 10022 Born: 1978 |
Treasurer |
Since 2007 |
Chief Operating Officer, Cullen Capital Management LLC and Schafer Cullen Capital Management, Inc., since February 2007; Manager, KPMG LLP, from September 2001 to February 2007. |
N/A |
N/A |
|
* |
James P. Cullen is an “interested person” of the Trust (as that term is defined in the Investment Company Act) because of his affiliation with the Adviser. |
|
** |
Positions are held indefinitely until resignation or termination. |
|
† |
James P. Cullen and Brooks H. Cullen are father and son, respectively. |
The Statement of Additional Information contains additional information about the Trustees and is available, free of charge, upon request by calling 1-877-485-8586.
82
Cullen Funds
Board Approval of Investment Advisory Agreements
June 30, 2022 (Unaudited)
At the May 12, 2022 meeting (“Meeting”) of the Board of Trustees (the “Board”) of Cullen Funds Trust (the “Trust”), the Board, including those Trustees who are not “interested persons” of the Trust (the “Independent Trustees”), as that term is defined in the Investment Company Act of 1940, as amended (the “1940 Act”), approved Cullen Capital Management LLC (the “Adviser”) to continue to serve as investment adviser to the Cullen High Dividend Equity Fund (the “High Dividend Fund”), the Cullen International High Dividend Fund (the “International Fund”), the Cullen Small Cap Value Fund (the “Small Cap Fund”), the Cullen Value Fund (the “Value Fund”), the Cullen Emerging Markets High Dividend Fund (the “Emerging Markets Fund”), and the Cullen Enhanced Equity Income Fund (the “Equity Income Fund”) (each, a “Fund” and collectively, the “Funds”) and approved the continuation of the separate investment advisory agreements between the Adviser and the Trust with respect to each Fund (the “Investment Advisory Agreements”), upon the same terms and conditions set forth therein, for an additional one-year period. The Independent Trustees met in several executive sessions in the weeks prior to the Meeting and at the Meeting itself, and discussed the approval of the Investment Advisory Agreements with counsel at each such executive session, who provided assistance and advice.
In considering the approval of the continuation of the Investment Advisory Agreements for the Funds, the Independent Trustees reviewed, among other things, the following items about the Adviser and the Funds, including: (i) copies of the Investment Advisory Agreements and Expense Limitation Agreements with respect to the Adviser’s management of each Fund; (ii) information describing the nature, quality, and extent of the services the Adviser will provide to each Fund, and the fees the Adviser receives from each Fund; (iii) information about the fees charged to other accounts managed by the Adviser’s affiliate, Schafer Cullen Capital Management, Inc. (“Schafer Cullen”); (iv) information concerning the Adviser’s financial condition, the profitability of managing the Funds to the Adviser, the business, operations and compliance program of the Adviser; (v) a copy of the current Form ADV for the Adviser; (vi) the Adviser’s responses to certain questions submitted by the Independent Trustees relating to the renewal process; and (vi) data compiled by FUSE Research Network LLC (“FUSE”) comparing, among other things, the advisory fees, expenses and performance of the Funds with fees, expenses and performance of other funds with similar investment objectives, policies and structure and to advisory fees paid by other clients of the Adviser. The Independent Trustees also considered the memorandum from Sidley Austin on the responsibilities of trustees in considering advisory arrangements under the 1940 Act described above as well as oral and written information presented at Board meetings throughout the year.
In considering the approval of the continuation of the Investment Advisory Agreements, the Independent Trustees considered and discussed the following with respect to each Fund:
The nature, extent, and quality of services provided to each Fund by the Adviser. The Independent Trustees reviewed the services that the Adviser provides to each Fund. In connection with the investment advisory services provided to each Fund, the Independent Trustees noted the responsibilities that the Adviser has as the Funds’ investment adviser, including, among other things: portfolio management and asset allocation; overall supervisory responsibility for the general management and investment of each Fund’s portfolio securities; and ultimate responsibility, subject to oversight by the Board, for the implementation of Board directives as they relate to the Funds.
The Independent Trustees reviewed the Adviser’s experience, resources (including assets and similar financial data), profitability from managing the Funds, and strengths in managing the Funds. Based on their consideration and review of the foregoing information, the Independent Trustees determined that each Fund was likely to continue to benefit from the nature, quality, and extent of these services, as well as the Adviser’s ability to render such services based on its experience, operations and resources.
Comparison of services provided and fees charged by the Adviser and other investment advisors to similar clients, and the cost of the services provided and profits realized by the Adviser from the relationship with the Funds. The Independent Trustees then compared both the services rendered and the fees paid pursuant to the Investment Advisory Agreements to contracts of other registered investment advisers providing services to similar funds. In particular, the Independent Trustees compared each Fund’s advisory fee and expense ratio to the advisory fees and expense ratios of other investment companies considered to be in such Fund’s peer group as discussed in the FUSE report. The Independent Trustees reviewed such comparisons on a quarterly basis as presented by FUSE but also such comparisons on a longer-term basis that reflected the performance of both the Funds and such peer funds over such period. The Independent Trustees noted that the Adviser has entered into expense limitation agreements whereby the Adviser reimburses expenses and/or waives fees to keep the expenses through October 31, 2022 for the: (i) High Dividend Fund’s Retail Class, Class C, Class I, Class R1 and Class R2 shares to 1.00%, 1.75%, 0.75%, 1.50% and 1.25% respectively, of the average net asset value of such respective Class; (ii) International Fund’s Retail Class, Class C, Class I, Class R1 and Class R2 shares of the Fund to 1.25%, 2.00%, 1.00%, 1.75% and 1.50% respectively, of the average net asset value of such respective Class; (iii) Small Cap Fund’s Retail Class, Class C, Class I, Class R1 and Class R2 shares of the Fund to 1.25%, 2.00%, 1.00%, 1.75% and 1.50% respectively, of the average net asset value of such respective Class; (iv) Emerging Markets Fund’s Retail Class, Class C, and Class I, of the Fund to 1.25%, 2.00%, and 1.00%, of the average net asset value of such respective Class; (v) Value Fund’s Retail Class, Class C, and Class I, to 1.00%, 1.75%, and 0.75%, respectively, of the average net asset value of such respective Class; and (vi) Equity Income Fund’s Retail Class, Class C, and Class I, to 1.00%, 1.75%, and 0.75%, respectively, of the average net asset value of such respective Class.
The Board also received and considered information about the fee rates charged to other accounts managed by the Adviser, including institutional accounts, and whether the Adviser was required to provide comparable, or lesser services, to such other accounts. The Independent Trustees noted that, except for the High Dividend Fund, the International Fund and the Value Fund, the actual and contractual investment advisory fees of each Fund were within the range of the actual and contractual investment advisory fees charged by other funds in such Fund’s peer group and that the fees charged by all Funds were reasonable in light of the overall scope of services provided by the Adviser to the Funds.
After comparing each Fund’s fees with those of other funds in such Fund’s peer group and considering the information about the fee rates charged to other accounts managed by the Adviser, and in light of the nature, quality, and extent of services provided by the Adviser and the costs incurred by the Adviser in rendering those services, the Independent Trustees concluded that the level of fees paid to the Adviser with respect to each Fund were fair and reasonable.
The Adviser’s profitability and the extent to which economies of scale would be realized as each Fund grows and whether fee levels would reflect such economies of scale. The Independent Trustees discussed potential economies of scale and discussed the Adviser’s profitability, including the income it received in connection with its management of the Funds. The Independent Trustees discussed with representatives of the Adviser the costs of, and profitability to, the Adviser in connection with its serving as investment advisor to each Fund, including operational costs incurred.
83
Cullen Funds
Board Approval of Investment Advisory Agreements
June 30, 2022 (Continued) (Unaudited)
Investment performance of the Funds. The Independent Trustees considered the investment performance of the Funds on a quarterly basis and for the most recent fiscal year as a whole. In particular, the Independent Trustees considered the investment performance of the Funds relative to their stated objectives and the Adviser’s success in reaching such objectives. The Independent Trustees considered each Fund’s investment performance, including risk-adjusted returns, compared to the benchmark index that each Fund uses for comparison in its prospectus and shareholder reports and noted that each Fund’s performance was comparable to their respective benchmarks.
Expenses. The Independent Trustees considered each Fund’s total expense ratio (both including and excluding each Fund’s fee waiver and expense limitation arrangement) compared to the total expense ratios (both including and excluding each fund’s fee waiver and expense limitation arrangement) of other funds in each Fund’s peer group. The Independent Trustees noted that each Fund’s total expense ratio (including the Fund’s fee waiver and expense limitation arrangement) was within the range of the total expense ratios of other funds in each Fund’s peer group (including the peer group’s fee waiver and expense limitation arrangements), taking into account the performance of the Funds versus such peer group over a quarterly and longer-term basis.
Conclusion. After extensive discussion, it was determined that no single factor was determinative to the decision of the Independent Trustees. Based on the foregoing and such other matters as were deemed relevant, the Independent Trustees concluded that the advisory fee rates and total expense ratios were reasonable in relation to the services provided by the Adviser to the High Dividend Fund, International Fund, Small Cap Fund, Emerging Markets Fund, Value Fund, and Equity Income Fund, as well as the costs incurred and benefits gained by the Adviser in providing such services. The Independent Trustees also found the investment advisory fees to be reasonable in comparison to the fees charged by advisors to other comparable funds of similar size. As a result, the Independent Trustees concluded that the continuation of each Investment Advisory Agreement was in the best interests of each Fund.
84
INVESTMENT ADVISOR
Cullen Capital Management LLC
645 Fifth Avenue
New York, NY 10022
DISTRIBUTOR
ALPS Distributors, Inc.
1290 Broadway, Suite 1000
Denver, CO 80203
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
PricewaterhouseCoopers LLP
1900 16th Street, Suite 1600
Denver, CO 80202
LEGAL COUNSEL
Sidley Austin LLP
One South Dearborn Street
Chicago, IL 60603
ADMINISTRATOR AND ACCOUNTANT
Paralel Technologies LLC
1700 Broadway, Suite 1230
Denver, CO 80290
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT
ALPS Fund Services, Inc.
1290 Broadway, Suite 1000
Denver, CO 80203
CUSTODIAN
Brown Brothers Harriman
50 Post Office Square
Boston, MA 02110
Must be accompanied or preceded by a prospectus. ALPS Distributors, Inc. is the Distributor for Cullen Funds. |
| (b) | Not applicable. |
| Item 2. | Code of Ethics. |
| (a) | The registrant, as of the end of the period covered by the report, has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller or any persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, on behalf of the registrant. |
| (b) | For purposes of this item, “code of ethics” means written standards that are reasonably designed to deter wrongdoing and to promote: |
| (1) | Honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships; |
| (2) | Full, fair, accurate, timely, and understandable disclosure in reports and documents that a registrant files with, or submits to, the Commission and in other public communications made by the registrant; |
| (3) | Compliance with applicable governmental laws, rules, and regulations; |
| (4) | The prompt internal reporting of violations of the code to an appropriate person or persons identified in the code; and |
| (5) | Accountability for adherence to the code. |
| (c) | During the period covered by this report, no material amendments were made to the provisions of the code of ethics adopted in 2(a) above. |
| (d) | During the period covered by this report, no implicit or explicit waivers to the provisions of the code of ethics adopted in 2(a) above were granted. |
| (e) | Not applicable. |
| (f) | The registrant’s Code of Ethics is filed herewith as Exhibit 13(a)(1). |
| Item 3. | Audit Committee Financial Expert. |
| (a)(1) | The registrant’s board of trustees has determined that the registrant has at least one audit committee financial expert serving on the audit committee. |
| (a)(2) | The audit committee financial expert is Robert G. Garry, who is independent as defined in Form N-CSR Item 3(a)(2). |
| Item 4. | Principal Accountant Fees and Services. |
| (a) | Audit Fees: For the registrant’s fiscal years ended June 30, 2022 and June 30, 2021, the aggregate fees billed for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements were $257,000 and $225,000, respectively. |
| (b) | Audit-Related Fees: For the registrant’s fiscal years ended June 30, 2022 and June 30, 2021, the aggregate fees billed for professional services rendered by the principal accountant for assurance and related services that were reasonably related to the performance of the audit of the registrant’s financial statements not otherwise included under “Audit Fees” above were $0 and $0, respectively. |
| (c) | Tax Fees: For the registrant’s fiscal years ended June 30, 2022 and June 30, 2021, aggregate fees of $97,712 and $81,810, respectively, were billed for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning. |
| (d) | All Other Fees: For the registrant’s fiscal years ended June 30, 2022 and June 30, 2021, aggregate fees of $0 and $0, respectively, were billed to registrant by the principal accountant for services other than the services reported in paragraphs (a) through (c) of this item. These services were related to International Reclaim Tax Services. |
| (e)(1) | Audit Committee Pre-Approval Policies and Procedures: All services to be performed by the registrant's principal auditors must be pre-approved by the registrant's audit committee. |
| (e)(2) | No services described in paragraphs (b) through (d) were approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. |
| (f) | Not applicable. |
| (g) | The aggregate non-audit fees billed by the registrant’s principal accountant for the fiscal years ended June 30, 2022 and June 30, 2021 were $97,712 and $81,810, respectively. |
| (h) | Not applicable. |
| Item 5. | Audit Committee of Listed registrants. |
Not applicable.
| Item 6. | Schedule of Investments. |
| (a) | The Schedule of Investments is included as part of the Report to Shareholders filed under Item 1 of this form. |
| (b) | Not Applicable. |
| Item 7. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. |
Not applicable to the registrant.
| Item 8. | Portfolio Managers of Closed-End Management Investment Companies. |
Not applicable to the registrant.
| Item 9. | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. |
Not applicable to the registrant.
| Item 10. | Submission of Matters to Vote of Security Holders. |
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees.
| Item 11. | Controls and Procedures. |
| (a) | Assessment of the Registrant’s Control Environment |
| The Registrant’s disclosure controls and procedures are designed to ensure that information required to be disclosed in the reports that the Registrant files or submits under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the Investment Company Act of 1940, as amended (the “1940 Act”), is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that such information is accumulated and communicated to the Registrant’s management (“Management”), including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. Management, including the principal executive officer and principal financial officer, recognizes that any set of controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives. |
For the fiscal year ended June 30, 2022, ALPS Fund Services Inc. (“ALPS”), served as the Registrant’s transfer agent responsible for authorizing and processing shareholder transactions.
In accordance with Rule 30a-3 under the 1940 Act, within 90 days prior to the filing date of this report on Form N-CSR, Management, with the participation of the principal executive officer and principal financial officer, evaluated the effectiveness of the disclosure controls and procedures of the Registrant. Based on their evaluation, the principal executive officer and principal financial officer have determined that the Registrant’s disclosure controls and procedures were not effective due to a material weakness in the operating effectiveness of controls specific to processing affiliated shareholders’ redemption requests. Specifically, additional and alternative verification procedures required in the Registrant’s prospectus were not performed over three affiliated shareholder redemption requests that were sent from an affiliated shareholder’s email account after it was successfully compromised as a result of a phishing attack. A material weakness (as defined in Rule 12b-2 under the Exchange Act) is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Funds’ annual or interim financial statements will not be prevented or detected on a timely basis. This material weakness did not result in any material misstatements of the Funds’ annual or semi-annual financial statements for the periods ended June 30, 2022 and December 31, 2021, respectively, but did result in additional required financial statement disclosure for the year ended June 30, 2022. As discussed in Note 11, the Registrant has entered into an agreement with the affiliated shareholders that releases Cullen Funds Trust and the Cullen Value Fund from any liability relating to any unrecovered portion of the original $1.2 million erroneously redeemed from the first two redemption requests. The third redemption request was not processed after other measures detected the request as fraudulent.
While this material weakness did not result in any material misstatements of the Funds’ financial statements, this material weakness could result in a misstatement of contingent liability balances and related disclosures that could result in a material misstatement to the annual or semi-annual financial statements that would not be prevented or detected.
Remediation Plan Related to Material Weakness Identified Above
Effective as of September 6, 2022, the Funds’ transfer agency agreement with ALPS was terminated, and Paralel Technologies LLC (“Paralel”) assumed the role of the Funds’ transfer agent. Paralel requires that all incoming affiliated shareholder redemption requests be received in accordance with the Registrant’s prospectus and undertakes additional and alternative verification procedures as applicable when required. Management has assessed Paralel’s controls and has determined that they are designed effectively to detect and prevent any material misstatements in redemption processing on a timely basis. Therefore, Management believes that the design and implementation of the controls necessary to address the material weakness described in this Item have been completed in connection with the transition described above. However, Management will continue to evaluate and monitor the operating effectiveness of the controls for a sufficient period of time before concluding on remediation.
| (b) | Changes in Internal Control over Financial Reporting |
| There was no change in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940, as amended) during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
| Item 12. | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. |
Not Applicable.
| Item 13. | Exhibits. |
| (a)(1) | Registrant’s Code of Ethics, which is the subject of the disclosure required by Item 2 of Form N-CSR, is attached hereto. |
| (a)(2) | Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto as EX-99.CERT. |
| (a)(3) | None. |
| (a)(4) | Not applicable. |
| (b) | Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto as EX- 99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
CULLEN FUNDS TRUST
| By: | /s/ James P. Cullen | |
| James P. Cullen | ||
| Chief Executive Officer | ||
| Date: | September 22, 2022 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By: | /s/ James P. Cullen | |
| James P. Cullen | ||
| Chief Executive Officer | ||
| Date: | September 22, 2022 |
| By: | /s/ Jeffrey T. Battaglia | |
| Jeffrey T. Battaglia | ||
| Treasurer | ||
| Date: | September 22, 2022 |