BARON SELECT FUNDS

N-CSRS 1 d171358dncsrs.htm BARON SELECT FUNDS BARON SELECT FUNDS

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-21296

BARON SELECT FUNDS

(Exact Name of Registrant as Specified in Charter)

767 Fifth Avenue, 49th Floor

New York, NY 10153

(Address of Principal Executive Offices) (Zip Code)

Patrick M. Patalino, General Counsel

c/o Baron Select Funds

767 Fifth Avenue, 49th Floor

New York, NY 10153

(Name and Address of Agent for Service)

(Registrant’s Telephone Number, including Area Code): 212-583-2000

Date of fiscal year end: December 31

Date of reporting period: June 30, 2021

Item 1. Reports to Stockholders.

Baron Partners Fund

Baron Focused Growth Fund

Baron International Growth Fund

Baron Real Estate Fund

Baron Emerging Markets Fund

Baron Global Advantage Fund

Baron Real Estate Income Fund

Baron Health Care Fund

Baron FinTech Fund

June 30, 2021

Baron Funds^®

Baron Select Funds

Semi-Annual Financial Report


Baron Partners Fund
Retail Shares: BPTRX Institutional Shares: BPTIX R6 Shares: BPTUX
Performance			2
Top Ten Holdings			3
Sector Breakdown			3
Management’s Discussion of Fund Performance			3
Baron Focused Growth Fund
Retail Shares: BFGFX Institutional Shares: BFGIX R6 Shares: BFGUX
Performance			4
Top Ten Holdings			5
Sector Breakdown			5
Management’s Discussion of Fund Performance			5
Baron International Growth Fund
Retail Shares: BIGFX Institutional Shares: BINIX R6 Shares: BIGUX
Performance			6
Top Ten Holdings			7
Sector Breakdown			7
Management’s Discussion of Fund Performance			7
Baron Real Estate Fund
Retail Shares: BREFX Institutional Shares: BREIX R6 Shares: BREUX
Performance			8
Top Ten Holdings			9
Sector Breakdown			9
Management’s Discussion of Fund Performance			9
Baron Emerging Markets Fund
Retail Shares: BEXFX Institutional Shares: BEXIX R6 Shares: BEXUX
Performance			10
Top Ten Holdings			11
Sector Breakdown			11
Management’s Discussion of Fund Performance			11
Baron Global Advantage Fund
Retail Shares: BGAFX Institutional Shares: BGAIX R6 Shares: BGLUX
Performance			12
Top Ten Holdings			13
Sector Breakdown			13
Management’s Discussion of Fund Performance			13
Baron Real Estate Income Fund
Retail Shares: BRIFX Institutional Shares: BRIIX R6 Shares: BRIUX
Performance			14
Top Ten Holdings			15
Sector Breakdown			15
Management's Discussion of Fund Performance			15
Baron Health Care Fund
Retail Shares: BHCFX Institutional Shares: BHCHX R6 Shares: BHCUX
Performance			16
Top Ten Holdings			17
Sector Breakdown			17
Management's Discussion of Fund Performance			17
Baron FinTech Fund
Retail Shares: BFINX Institutional Shares: BFIIX R6 Shares: BFIUX
Performance			18
Top Ten Holdings			19
Sector Breakdown			19
Management's Discussion of Fund Performance			19
Financial Statements
Statements of Net Assets			20
Statements of Assets and Liabilities			38
Statements of Operations			40
Statements of Changes in Net Assets			42
Statement of Cash Flows			45
Notes to Financial Statements			46
Financial Highlights			61
Fund Expenses			70
2021 Disclosure Regarding the Approval of the Investment Advisory Agreements by the Board of Trustees			72
Disclosure Regarding the Approval of the Investment Advisory Agreement for Baron New Asia Fund by the Board of Trustees			73

DEAR BARON SELECT FUNDS SHAREHOLDER:

In this report, you will find unaudited financial statements for Baron Partners Fund, Baron Focused Growth Fund, Baron International Growth Fund, Baron Real Estate Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, Baron Real Estate Income Fund, Baron Health Care Fund, and Baron FinTech Fund (the “Funds”) for the six months ended June 30, 2021. The U.S. Securities and Exchange Commission (the “SEC”) requires mutual funds to furnish these statements semi-annually to their shareholders. We hope you find these statements informative and useful.

We thank you for choosing to join us as fellow shareholders in Baron Funds. We will continue to work hard to justify your confidence.

Sincerely,

Ronald Baron

Chief Executive Officer

August 20, 2021

Linda S. Martinson

Chairman, President and

Chief Operating Officer

August 20, 2021

Peggy Wong

Treasurer and

Chief Financial Officer

August 20, 2021

This Semi-Annual Financial Report is for the Baron Select Funds, which currently has 11 series: Baron Partners Fund, Baron Focused Growth Fund, Baron International Growth Fund, Baron Real Estate Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, Baron Real Estate Income Fund, Baron Health Care Fund, Baron FinTech Fund, Baron WealthBuilder Fund, and Baron New Asia Fund. Baron WealthBuilder Fund is included in a separate Financial Report. Baron New Asia Fund commenced investment operations on July 30, 2021 and therefore, financial information is not included in this report. If you are interested in Baron WealthBuilder Fund or Baron Investment Funds Trust, which contains the Baron Asset Fund, Baron Growth Fund, Baron Small Cap Fund, Baron Opportunity Fund, Baron Fifth Avenue Growth Fund, Baron Discovery Fund, and Baron Durable Advantage Fund, please visit the Funds’ website at www.BaronFunds.com or contact us at 1-800-99BARON.

The Funds’ Proxy Voting Policy is available without charge and can be found on the Funds’ website at www.BaronFunds.com, by clicking on the “Regulatory Documents” link at the bottom left corner of the homepage or by calling 1-800-99BARON and on the SEC’s website at www.sec.gov. The Funds’ most current proxy voting record, Form N-PX, is also available on the Funds’ website and on the SEC’s website.

The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Form N-PORT reports are available on the SEC’s website at www.sec.gov. Schedules of portfolio holdings current to the most recent quarter are also available on the Funds’ website.

Some of the comments contained in this report are based on current management expectations and are considered “forward-looking statements.” Actual future results, however, may prove to be different from our expectations. You can identify forward-looking statements by words such as “estimate,” “may,” “expect,” “should,” “could,” “believe,” “plan”, and other similar terms. We cannot promise future returns and our opinions are a reflection of our best judgment at the time this report is compiled.

The views expressed in this report reflect those of BAMCO, Inc. (“BAMCO” or the “Adviser”) only through the end of the period stated in this report. The views are not intended as recommendations or investment advice to any person reading this report and are subject to change at any time without notice based on market and other conditions.

Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate; an investor’s shares, when redeemed, may be worth more or less than their original cost. For more complete information about Baron Funds, including charges and expenses, call, write or go to www.BaronFunds.com for a prospectus or summary prospectus. Read them carefully before you invest or send money. This report is not authorized for use as an offer of sale or a solicitation of an offer to buy shares of the Funds, unless accompanied or preceded by the Funds’ current prospectus or summary prospectus.

LOGO


Baron Partners Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON PARTNERS FUND (RETAIL SHARES)

IN RELATION TO THE RUSSELL MIDCAP GROWTH INDEX AND THE S&P 500 INDEX

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AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Ten Years		Since Inception (January 31, 1992)
Baron Partners Fund — Retail Shares^1,2,3		4.29%		118.98%		47.25%		38.09%		23.55%		16.27%
Baron Partners Fund — Institutional Shares^1,2,3,4		4.43%		119.55%		47.64%		38.45%		23.88%		16.39%
Baron Partners Fund — R6 Shares^1,2,3,4		4.43%		119.53%		47.64%		38.45%		23.88%		16.39%
Russell Midcap Growth Index¹		10.44%		43.77%		22.39%		20.52%		15.13%		11.03%
S&P 500 Index¹		15.25%		40.79%		18.67%		17.65%		14.84%		10.53%

*	Not Annualized.

The Russell Midcap^® Growth Index measures the performance of medium-sized U.S. companies that are classified as growth and the S&P 500 Index of 500 widely held large-cap U.S. companies. The indexes and Baron Partners Fund are with dividends, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

Reflects the actual fees and expenses that were charged when the Fund was a partnership. The predecessor partnership charged a 20% performance fee after reaching a certain performance benchmark. If the annual returns for the Fund did not reflect the performance fees for the years the predecessor partnership charged a performance fee, returns would be higher. The Fund’s shareholders will not be charged a performance fee. The predecessor partnership’s performance is only for periods before the Fund’s registration statement was effective, which was April 30, 2003. During those periods, the predecessor partnership was not registered under the Investment Company Act of 1940 and was not subject to its requirements or the requirements of the Internal Revenue Code relating to regulated investment companies, which, if it were, might have adversely affected its performance.

Past performance is not predictive of future performance. The performance data does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. The Fund’s transfer agency expenses may be reduced by expense offsets from an unaffiliated transfer agent, without which performance would have been lower.

⁴

Performance for the Institutional Shares prior to May 29, 2009 is based on the performance of the Retail Shares. Performance for the R6 Shares prior to August 31, 2016 is based on the performance of the Institutional Shares, and prior to May 29, 2009 is based on the Retail Shares. The Retail Shares have a distribution fee, but Institutional Shares and R6 Shares do not. If the annual returns for the Institutional Shares and R6 Shares prior to May 29, 2009 did not reflect this fee, the returns would be higher.


June 30, 2021 (Unaudited)		Baron Partners Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Total Investments
Tesla, Inc.		38.1%
CoStar Group, Inc.		8.2%
IDEXX Laboratories, Inc.		6.8%
Zillow Group, Inc.		4.5%
Space Exploration Technologies Corp.		4.3%
Vail Resorts, Inc.		4.2%
The Charles Schwab Corp.		3.8%
Arch Capital Group Ltd.		3.4%
FactSet Research Systems, Inc.		3.2%
Hyatt Hotels Corp.		3.0%

		79.5%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of total investments)

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Partners Fund¹ increased 4.29%, underperforming the Russell Midcap Growth Index, which increased 10.44%.

Baron Partners Fund invests primarily in U.S. companies of any size with, in our view, significant long-term growth potential. We believe our process can identify investment opportunities that are attractively priced relative to future prospects. The Fund is non-diversified, so its top 10 holdings are expected to comprise a significant percentage of the portfolio, and the Fund uses leverage, both of which increase risk. In addition, the Fund may be subject to risks associated with potentially being concentrated in the securities of a single issuer or a small number of issuers, including in

a particular industry. Of course, there can be no assurance that we will be successful in achieving the Fund’s investment goals.

As of June 30, 2021, 41.2% of the Fund’s net assets are invested in Tesla stock. Therefore, the Fund is exposed to the risk that were Tesla stock to lose significant value, which could happen rapidly, the Fund’s performance would be adversely affected. Before investing in the Fund, investors should carefully consider publicly available information about Tesla. There can be no assurances that the Fund will maintain its investment in Tesla, as the Adviser maintains discretion to actively manage the Fund’s portfolio, including by decreasing or liquidating the Fund’s investment in Tesla at any time. However, for so long as the Fund maintains a substantial investment in Tesla, the Fund’s performance will be significantly affected by the performance of Tesla stock and any decline in the price of Tesla stock would materially and adversely affect your investment in the Fund.

While equity markets continued their upward climb through the first half of 2021, beneath the surface, a major rotation took place. The “recovery play” dominated at first, with stocks hit hard during the pandemic along with cyclical, more speculative stocks peaking mid-period as pent-up demand met massive policy stimulus, positive vaccine developments, and the reopening of the economy. Secular growth stocks came back in favor later in the period, led by large-cap technology stocks. The economy continued to grow rapidly as the effects of the pandemic receded, and U.S growth appeared likely to stay strong in the near term. However, inflation accelerated significantly, both in goods and wages, causing investor concerns around whether policy was too stimulative, the Federal Reserve needed to change course, and interest rates would continue to rise.

At the sector level, Financials, Health Care, and Information Technology contributed the most to performance. Communication Services detracted.

Veterinary diagnostics leader IDEXX Laboratories, Inc. was the top contributor. Veterinary visits continue to recover from pandemic lows, with practice revenue growing at double-digit rates. IDEXX’s competitive trends are outstanding, and we expect new proprietary innovations and field sales force expansion to be meaningful contributors to growth. Margins are moving significantly higher, and we believe that margins can exceed 30% over time.

Zillow Group, Inc. was the top detractor. Zillow operates leading U.S. real estate sites, a mortgage marketplace, and the Zillow Offers home-buying business. Shares were down due to rising mortgage rates and the potential knock-on effects to the housing environment. Zillow also issued revenue guidance that was slightly below Street expectations. Despite the volatility, we continue to believe that Zillow has substantial upside in mortgages and Offers, which can grow its addressable market not only in houses bought/sold but also in leads provided to Zillow Premier Agents.

We do not invest based on our insights into macroeconomic, political, or, more recently, public health issues. Nevertheless, we are optimistic that near-term business conditions seem favorable for our investments — vaccines seem to be highly effective, the U.S. economy is reopening, continued fiscal stimulus seems likely, and interest rates remain below historic levels. While inflation is now on the table, the Federal Reserve appears to believe it to be a transitory result of pandemic-related supply and labor constraints and has pledged to keep rates low for the near term.

†

Sector levels are provided from the Global Industry Classification Standard (“GICS”), developed and exclusively owned by MSCI, Inc. and Standard & Poor’s Financial Services LLC, unless otherwise stated that they have been reclassified or classified by the Adviser. All GICS data is provided “as is” with no warranties.

¹	Performance information reflects results of the Retail Shares.


Baron Focused Growth Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON FOCUSED GROWTH FUND (RETAIL SHARES)
IN RELATION TO THE RUSSELL 2500 GROWTH INDEX AND THE S&P 500 INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Ten Years		Since Inception (May 31, 1996)
Baron Focused Growth Fund — Retail Shares^1,2,3		2.40%		94.48%		39.24%		31.22%		18.14%		14.34%
Baron Focused Growth Fund — Institutional Shares^1,2,3,4		2.54%		95.00%		39.58%		31.55%		18.44%		14.48%
Baron Focused Growth Fund — R6 Shares^1,2,3,4		2.53%		95.04%		39.61%		31.56%		18.45%		14.48%
Russell 2500 Growth Index¹		8.67%		49.63%		20.15%		20.68%		14.83%		9.59%
S&P 500 Index¹		15.25%		40.79%		18.67%		17.65%		14.84%		9.74%

*	Not Annualized.

The Russell 2500™ Growth Index measures the performance of small- to medium-sized U.S. companies that are classified as growth and the S&P 500 Index of 500 widely held large-cap U.S. companies. The indexes and Baron Focused Growth Fund are with dividends, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

Reflects the actual fees and expenses that were charged when the Fund was a partnership. The predecessor partnership charged a 15% performance fee through 2003 after reaching a certain performance benchmark. If the annual returns for the Fund did not reflect the performance fees for the years the predecessor partnership charged a performance fee, the returns would be higher. The Fund’s shareholders will not be charged a performance fee. The predecessor partnership’s performance is only for periods before the Fund’s registration statement was effective, which was June 30, 2008. During those periods, the predecessor partnership was not registered under the Investment Company Act of 1940 and was not subject to its requirements or the requirements of the Internal Revenue Code relating to regulated investment companies, which, if it were, might have adversely affected its performance.

⁴


June 30, 2021 (Unaudited)		Baron Focused Growth Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
Tesla, Inc.		31.6%
CoStar Group, Inc.		7.4%
Penn National Gaming, Inc.		6.3%
Vail Resorts, Inc.		6.2%
Hyatt Hotels Corp.		3.8%
Space Exploration Technologies Corp.		3.7%
FactSet Research Systems, Inc.		3.6%
BioNTech SE		3.6%
Spotify Technology S.A.		3.4%
Arch Capital Group Ltd.		3.4%

		73.0%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Focused Growth Fund¹ appreciated 2.40%, underperforming the Russell 2500 Growth Index, which increased 8.67%.

Baron Focused Growth Fund invests in a non-diversified portfolio of companies that we believe are well capitalized and have exceptional management, significant growth potential, and sustainable barriers to competition. We believe our process can identify investment opportunities that are attractively priced relative to future prospects. In addition, the Fund may be subject to risks associated with potentially being concentrated in the securities of a single issuer or a small number of issuers, including in a particular industry. Of course, there can be no assurance that we will be successful in achieving the Fund’s investment goals.

As of June 30, 2021, 31.6% of the Fund’s net assets are invested in Tesla stock. Therefore, the Fund is exposed to the risk that were Tesla stock to lose significant value, which could happen rapidly, the Fund’s performance would be adversely affected. Before investing in the Fund, investors should carefully consider publicly available information about Tesla. There can be no assurances that the Fund will maintain its investment in Tesla, as the Adviser maintains discretion to actively manage the Fund’s portfolio, including by decreasing or liquidating the Fund’s investment in Tesla at any time. However, for so long as the Fund maintains a substantial investment in Tesla, the Fund’s performance will be significantly affected by the performance of Tesla stock and any decline in the price of Tesla stock would materially and adversely affect your investment in the Fund.

At the sector level, Health Care, Financials, and Real Estate contributed the most to performance. Information Technology and Communication Services detracted.

BioNTech SE was the top contributor. BioNTech is a leader in the emerging field of mRNA drugs, with additional programs in engineered cell therapies, antibodies, and immunomodulators. The company hit the headlines with the COVID-19 vaccine it developed in partnership with Pfizer. We believe the vaccine has been a strong proof point of the speed and efficacy of the mRNA platform. Beyond vaccines, we think BioNTech has potential to disrupt the biopharmaceutical space with a pipeline spanning oncology, infectious diseases, and rare diseases.

Penn National Gaming, Inc., a regional U.S. casino operator, was the top detractor. Shares fell on the news that the company had lost sports betting and i-gaming market share in both Michigan and Pennsylvania. While the lost market share is a disappointment, Penn has been able to maintain a double-digit share with no marketing. We believe the market is attributing little value to Penn’s Barstool equity stake as well as its online gaming and sports betting opportunities including its access fees from other operators.

†

¹	Performance information reflects results of the Retail Shares.


Baron International Growth Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON INTERNATIONAL GROWTH FUND (RETAIL SHARES)

IN RELATION TO THE MSCI ACWI EX USA INDEX AND THE MSCI ACWI EX USA IMI GROWTH INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Ten Years		Since Inception (December 31, 2008)^
Baron International Growth Fund — Retail Shares^1,2		10.92%		43.83%		15.46%		16.22%		9.52%		12.84%
Baron International Growth Fund — Institutional Shares^1,2,3		11.04%		44.18%		15.73%		16.50%		9.79%		13.11%
Baron International Growth Fund — R6 Shares^1,2,3		11.05%		44.10%		15.71%		16.48%		9.78%		13.11%
MSCI ACWI ex USA Index¹		9.16%		35.72%		9.38%		11.08%		5.45%		8.50%
MSCI ACWI ex USA IMI Growth Index¹		7.03%		35.13%		13.04%		13.36%		7.36%		10.34%

*	Not Annualized.

^	Commencement of investment operations was January 2, 2009.

The MSCI ACWI ex USA Index Net USD is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of large- and mid-cap securities across developed and emerging markets, excluding the United States. The MSCI ACWI ex USA IMI Growth Index Net USD is a free float-adjusted market capitalization weighted index that is designed to measure the performance of large-, mid-, and small-cap growth securities across developed and emerging markets, excluding the United States. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The indexes and Baron International Growth Fund include reinvestment of dividends, net of foreign withholding taxes, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.


June 30, 2021 (Unaudited)		Baron International Growth Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
BNP Paribas S.A.		2.8%
Future plc		2.7%
S4 Capital plc		2.2%
TCS Group Holding PLC		2.2%
argenx SE		1.8%
Lloyds Banking Group plc		1.8%
Zai Lab Limited		1.6%
Linde plc		1.6%
LVMH Moet Hennessy Louis Vuitton SE		1.6%
Bajaj Finance Limited		1.6%

		19.9%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron International Growth Fund¹ increased 10.92%, outperforming the MSCI ACWI ex USA Index, which increased 9.16%.

Baron International Growth Fund is a diversified fund that invests for the long term primarily in securities of non-U.S. growth companies. The Fund expects to diversify among several developed countries and developing countries throughout the world, although the Fund’s total exposure to developing countries will not exceed 35%. The Fund may purchase securities of companies of any size. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

While the markets continued their upward climb through the first half of 2021, beneath the surface, a major rotation took place. The “recovery play” dominated the first two months, with speculative and higher growth stocks peaking in mid-February as risk aversion, low expectations, and pent-up demand met massive policy stimulus, positive vaccine developments, economic reopening, and normalization. That trend reversed as concerns over COVID-19 variants and rising conviction that the Federal Reserve would not fall too far behind the curve coalesced to cool global growth expectations and spiraling commodity prices. As a result, international equities lagged U.S. equities amid mixed signals, though we remain optimistic regarding their relative appeal, particularly on a multi-year basis.

On a country basis, the U.K., Russia, and France were the top contributors, and Switzerland and Japan were the top detractors.

On a sector basis, Financials, Information Technology, and Health Care contributed the most. Real Estate was a modest detractor.

The top contributor was TCS Group Holdings PLC, a Russian financial and lifestyle services platform ecosystem with over 13 million active users. Shares rose after the company reported strong results for the first five months of 2021 on traction in several business lines, including its retail brokerage business and online payment processing. TCS also started providing detailed information about its verticals, allowing investors to better value the company.

The top detractor was Credit Suisse Group AG, a Switzerland-based financial institution focused on wealth management and investment banking. Shares declined following two high-profile mishaps in its asset management and prime brokerage businesses, leading to significant losses and curtailment of its capital return plans. We believe the impact of these losses is already reflected in the market cap and see value in the group’s wealth management operations, which provide upside from current levels.

We view the recent spotting of above-targeted growth and inflation as having both transitory and more structural drivers. COVID-19-related supply and labor bottlenecks will likely prove transitory. However, the increase in global fiscal spending will prove more structural in our view, leading to marginally greater potential for economic growth and inflation and higher interest rates. With sovereign bond yields at historic lows, and real interest rates still negative in most developed markets, we believe international equities can likely continue to be supported by capital flows at the expense of sovereign bonds for some time.

†

¹	Performance information reflects results of the Retail Shares.


Baron Real Estate Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON REAL ESTATE FUND (RETAIL SHARES)

IN RELATION TO THE MSCI USA IMI EXTENDED REAL ESTATE INDEX AND MSCI US REIT INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Ten Years		Since Inception (December 31, 2009)^
Baron Real Estate Fund — Retail Shares^1,2		16.10%		60.69%		25.09%		20.17%		16.33%		17.15%
Baron Real Estate Fund — Institutional Shares^1,2		16.24%		61.07%		25.42%		20.49%		16.63%		17.44%
Baron Real Estate Fund — R6 Shares^1,2,3		16.24%		61.08%		25.41%		20.49%		16.63%		17.45%
MSCI USA IMI Extended Real Estate Index¹		20.04%		44.27%		13.56%		11.48%		12.11%		13.00%
MSCI US REIT Index¹		21.24%		36.57%		8.83%		5.02%		8.06%		10.10%

*	Not Annualized.

^	Commencement of investment operations was January 4, 2010.

The MSCI USA IMI Extended Real Estate Index is a custom index calculated by MSCI for, and as requested by, BAMCO, Inc. The index includes real estate and real estate-related GICS classification securities. MSCI makes no express or implied warranties or representation and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, reviewed or produced by MSCI. The MSCI US REIT Index is a free float-adjusted market capitalization index that measures the performance of all equity REITs in the U.S. equity market, except for specialty equity REITs that do not generate a majority of their revenue and income from real estate rental and leasing operations. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The indexes and Baron Real Estate Fund are with dividends, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

³	Performance for the R6 Shares prior to January 29, 2016 is based on the performance of the Institutional Shares.


June 30, 2021 (Unaudited)		Baron Real Estate Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
GDS Holdings Limited		3.6%
Red Rock Resorts, Inc.		3.4%
Brookfield Asset Management Inc.		3.4%
American Tower Corp.		3.0%
Lowe’s Companies, Inc.		3.0%
Jones Lang LaSalle Incorporated		2.8%
Boyd Gaming Corporation		2.7%
Simon Property Group, Inc.		2.6%
CBRE Group, Inc.		2.6%
Zillow Group, Inc.		2.6%

		29.7%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Real Estate Fund¹ appreciated 16.10%, underperforming the MSCI USA IMI Extended Real Estate Index, which increased 20.04%.

Baron Real Estate Fund is a diversified fund that under normal circumstances, invests 80% of its net assets in real estate and real estate-related companies of all sizes, and in companies which, in the opinion of the Adviser, own significant real estate assets at the time of investment. The Fund seeks to invest in well-managed companies that we believe have significant long-term growth opportunities. The Fund’s investment universe extends beyond real estate investment trusts (“REITs”) to include hotels, senior housing operators, casino and gaming operators, tower operators, infrastructure-related companies and master limited partnerships, data centers, building products companies, real estate service companies, and real estate operating companies. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

The first six months of 2021 saw a shift in leadership from growth to value stocks within real estate. After a sharp increase in equities that stood to benefit from a post-pandemic environment (the so-called “reopening trade”), returns were tied more closely to company earnings results. REITs benefited broadly from investor expectations of economic growth driven by the successful rollout of vaccines, anticipated pent-up demand from consumers and businesses, the expected recovery in employment, and federal stimulus payments.

REITs, casinos & gaming operators, and building products/services were the top contributing categories to performance. Data centers detracted.

Shares of top contributor Red Rock Resorts, Inc., a casino operator in the Las Vegas locals market, rose on reported EBITDA significantly above pre-pandemic levels and a complete recovery in revenue. Management has said it thinks the margin expansion is sustainable given revenue levels and a reimagined cost structure. Robust free cash flow combined with the $650 million sale of its Palms casino, which is slated to close by the end of 2021, should help improve the balance sheet.

Las Vegas Sands Corporation, a global casino company with assets in Macau, Singapore and Las Vegas, was the top detractor. Shares lost ground due to the slowed reopening of Macau in response to the new, more contagious variant of COVID-19. While Macau is taking longer than expected to recover, we think conditions will normalize by 2022, and we view the company’s valuation as attractive. Las Vegas Sands should close on the $6.25 billion sale of its Vegas assets by the end of 2021, which should improve the balance sheet and allow it to focus on higher-return growth in Asia.

As the pandemic continues to recede, we believe this is an opportune time for active managers in real estate with the flexibility to shift into growth areas while avoiding others facing a longer and more uncertain recovery. We believe our philosophy of structuring a more inclusive and unique real estate fund — one that includes REITs but is more expansive, balanced, and diversified than a typical “REIT only” fund — is a compelling long-term strategy.

†

¹	Performance information reflects results of the Retail Shares.


Baron Emerging Markets Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON EMERGING MARKETS FUND (RETAIL SHARES)
IN RELATION TO THE MSCI EM INDEX AND THE MSCI EM IMI GROWTH INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Ten Years		Since Inception (December 31, 2010)^
Baron Emerging Markets Fund — Retail Shares^1,2		4.59%		42.12%		12.48%		12.38%		7.43%		6.98%
Baron Emerging Markets Fund — Institutional Shares^1,2		4.67%		42.40%		12.76%		12.66%		7.70%		7.24%
Baron Emerging Markets Fund — R6 Shares^1,2,3		4.72%		42.54%		12.75%		12.65%		7.70%		7.25%
MSCI EM Index¹		7.45%		40.90%		11.27%		13.03%		4.28%		4.16%
MSCI EM IMI Growth Index¹		6.54%		42.45%		14.34%		15.54%		6.34%		6.07%

*	Not Annualized.

^	Commencement of investment operations was January 3, 2011.

The MSCI EM (Emerging Markets) Index and the MSCI EM (Emerging Markets) IMI Growth Index are free float-adjusted market capitalization weighted indexes. The MSCI EM (Emerging Markets) Index Net USD and the MSCI EM (Emerging Markets) IMI Growth Index Net USD are designed to measure the equity market performance of large-, mid-, and small-cap securities in the emerging markets. The MSCI EM (Emerging Markets) IMI Growth Index Net USD screens for growth-style securities. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The indexes and Baron Emerging Markets Fund include reinvestment of dividends, net of withholding taxes, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

³	Performance for the R6 Shares prior to January 29, 2016 is based on the performance of the Institutional Shares.


June 30, 2021 (Unaudited)		Baron Emerging Markets Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
Tencent Holdings Limited		4.4%
Taiwan Semiconductor Manufacturing Company Ltd.		3.5%
Alibaba Group Holding Limited		3.4%
Samsung Electronics Co., Ltd.		3.2%
Bajaj Finance Limited		2.3%
Zai Lab Limited		2.2%
Korea Shipbuilding & Offshore Engineering Co., Ltd.		2.1%
Reliance Industries Limited		2.1%
Novatek PJSC		1.9%
Sberbank of Russia PJSC		1.8%

		26.9%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Emerging Markets Fund¹ increased 4.59%, underperforming the MSCI EM Index, which increased 7.45%.

Baron Emerging Markets Fund is a diversified fund that invests for the long term primarily in companies of any size that have their principal business activities or trading markets in developing countries. The Fund may invest up to 20% of its net assets in developed and frontier countries. The Fund seeks to invest in companies with significant long-term growth prospects and to purchase them at prices we believe to be favorable. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

While the markets continued their upward climb through the first half of 2021, beneath the surface, a major rotation took place. The “recovery play” dominated the first two months, with speculative and higher growth stocks peaking in mid-February as risk aversion, low expectations, and pent-up demand met massive policy stimulus, positive vaccine developments, economic reopening, and normalization. That trend reversed as a slowdown in Chinese credit growth, concerns over COVID-19 variants, and rising conviction that the Federal Reserve would not fall too far behind the curve coalesced to cool global growth expectations and spiraling commodity prices. As a result, EM equities lagged modestly in U.S. dollar terms amid mixed signals, though we remain optimistic regarding their relative appeal, particularly on a multi-year basis.

On a country basis, India, Russia, and China contributed the most, while Brazil, Japan, and Poland detracted slightly.

On a sector basis, Health Care, Financials, and Materials contributed the most, while Real Estate, Consumer Discretionary, and Information Technology detracted slightly.

Zai Lab Limited, a leader in the development of a biopharmaceutical industry in China, was the top contributor. Shares increased given continued execution of deals, most recently highlighted by in-licensing of Mirati’s KRAS G12C inhibitor. We believe Zai Lab can be a leader among China pharmaceuticals, a market that is growing as the Chinese government continues to grow health care spending as a percentage of GDP.

Midea Group Co., Ltd., a leading Chinese global home appliances manufacturer, detracted the most. After increasing sharply in 2020 driven by the Chinese economy’s recovery from COVID-19 and rebound in consumer spending, shares gave up some gains on likely profit taking. In addition, home appliance stocks, including Midea, were pressured by the tightening of market liquidity margins in China and the adverse impact of rising commodity prices.

We view the recent spotting of above-targeted growth and inflation as having both transitory and more structural drivers. COVID-19-related supply and labor bottlenecks will likely prove transitory. However, the increase in global fiscal spending will prove more structural in our view, leading to marginally greater potential for economic growth and inflation and higher interest rates. With sovereign bond yields at historic lows, and real interest rates still negative in most developed markets, we believe EM equities can likely continue to be supported by capital flows at the expense of sovereign bonds for some time.

†

*	Represents less than 0.05% of net assets.

¹	Performance information reflects results of the Retail Shares.


Baron Global Advantage Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON GLOBAL ADVANTAGE FUND^† (RETAIL SHARES)

IN RELATION TO THE MSCI ACWI INDEX AND THE MSCI ACWI GROWTH INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Five Years		Since Inception (April 30, 2012)
Baron Global Advantage Fund — Retail Shares^1,2		9.72%		45.41%		34.42%		33.37%		20.80%
Baron Global Advantage Fund — Institutional Shares^1,2		9.88%		45.78%		34.78%		33.68%		21.07%
Baron Global Advantage Fund — R6 Shares^1,2,3		9.87%		45.79%		34.78%		33.69%		21.07%
MSCI ACWI Index¹		12.30%		39.26%		14.57%		14.61%		11.10%
MSCI ACWI Growth Index¹		10.29%		39.69%		20.40%		19.15%		13.88%

*	Not Annualized.

†	The Fund’s six-month, 1-, 3- and 5-year historical performance was impacted by gains from IPOs, and there is no guarantee that these results can be repeated or that the Fund’s level of participation in IPOs will be the same in the future.

The MSCI ACWI Index and the MSCI ACWI Growth Index are free float-adjusted market capitalization weighted indexes. The MSCI ACWI Index Net USD and the MSCI ACWI Growth Index Net USD are designed to measure the equity market performance of large- and mid-cap securities across developed and emerging markets, including the United States. The MSCI ACWI Growth Index Net USD screens for growth-style securities. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The indexes and Baron Global Advantage Fund include reinvestment of dividends, net of foreign withholding taxes, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

³	Performance for the R6 Shares prior to August 31, 2016 is based on the performance of the Institutional Shares.


June 30, 2021 (Unaudited)		Baron Global Advantage Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
Alphabet Inc.		5.4%
Amazon.com, Inc.		4.6%
Facebook, Inc.		3.9%
Alibaba Group Holding Limited		3.9%
EPAM Systems, Inc.		3.0%
Endava plc		2.8%
Acceleron Pharma Inc.		2.8%
Fiverr International Ltd.		2.7%
SoFi Technologies, Inc.		2.6%
RingCentral, Inc.		2.6%

		34.3%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Global Advantage Fund¹ appreciated 9.72%, underperforming the MSCI ACWI Index, which increased 12.30%.

Baron Global Advantage Fund is a diversified fund that, under normal circumstances, invests primarily in equity securities of established and emerging markets companies throughout the world, with capitalizations within the range of companies included in the MSCI ACWI Index. At all times, the Fund will have investments in equity securities of companies in at least three countries outside the U.S. Under normal conditions, at least 40% of the Fund’s net assets will be invested in stocks of companies outside the U.S. (at least 30% if foreign market conditions are not favorable). The Adviser seeks to invest in businesses it believes have significant opportunities for growth, sustainable competitive advantages, exceptional management, and an attractive valuation. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

While equity markets continued their upward climb through the first half of 2021, beneath the surface, a major rotation took place. The “recovery play” dominated at first, with stocks hit hard during the pandemic along with cyclical, more speculative stocks climbing as pent-up demand met massive policy stimulus, positive vaccine developments, and the reopening of the economy. Secular growth stocks came back later in the period, led by large-cap technology stocks. The global economy continued to expand as the impacts of the pandemic receded. However, accelerating inflation spurred investor concerns around whether policy was too stimulative, the Federal Reserve needed to change course, and interest rates would continue to rise.

On a country basis, the U.S., U.K., and Canada contributed the most while China and Brazil detracted the most.

On a sector basis, Information Technology, Communication Services, and Health Care were the top contributors while Real Estate and Consumer Discretionary detracted.

The top contributor was Alphabet Inc., the parent company of Google. Shares climbed on continued recovery in ad spend, strong cloud revenue growth, and improved cost controls. We remain highly convicted in Alphabet’s merits as it continues to benefit from growth in mobile and online video advertising, which accrues to its core assets of search, YouTube, and the Google ad network.

TAL Education Group is a leading K-12 after-school tutoring company in China with over 1,000 learning centers in 110 cities. Shares declined sharply following continued rumors regarding the severity of the upcoming regulatory changes that investors fear will adversely impact the after-school tutoring industry in China.

Every day we live and invest in an uncertain world. The constant challenges we face are real and serious, with clearly uncertain outcomes. History would suggest that most will prove passing or manageable. The business of capital allocation (or investing) is the business of taking risk, managing the uncertainty, and taking advantage of the long-term opportunities that those risks and uncertainties create. We are confident our process is the right one, and we believe it will enable us to make good investment decisions over time.

†

¹	Performance information reflects results of the Retail Shares.


Baron Real Estate Income Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON REAL ESTATE INCOME FUND (RETAIL SHARES)

IN RELATION TO THE MSCI US REIT INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Since Inception December 29, 2017)^
Baron Real Estate Income Fund — Retail Shares^1,2		16.44%		44.23%		19.95%		16.79%
Baron Real Estate Income Fund — Institutional Shares^1,2		16.64%		44.69%		20.18%		17.01%
Baron Real Estate Income Fund — R6 Shares^1,2		16.65%		44.73%		20.11%		16.99%
MSCI US REIT Index¹		21.24%		36.57%		8.83%		7.69%

*	Not Annualized.

^	Commencement of investment operations was January 2, 2018.

The MSCI US REIT Index is a free float-adjusted market capitalization index that measures the performance of all equity REITs in the US equity market, except for specialty equity REITs that do not generate a majority of their revenue and income from real estate rental and leasing operations. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The index and Baron Real Estate Income Fund include reinvestment of interest, capital gains and dividends, which positively impact the performance results. The index is unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.


June 30, 2021 (Unaudited)		Baron Real Estate Income Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
Invitation Homes, Inc.		5.7%
American Tower Corp.		5.1%
Simon Property Group, Inc.		3.7%
Equinix, Inc.		3.6%
CoreSite Realty Corporation		3.6%
Brookfield Infrastructure Partners L.P.		3.6%
Vornado Realty Trust		3.5%
Prologis, Inc.		3.5%
Public Storage Incorporated		3.2%
Pebblebrook Hotel Trust		3.1%

		38.6%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Real Estate Income Fund¹ increased 16.44%, underperforming the MSCI US REIT Index, which increased 21.24%.

Baron Real Estate Income Fund is a non-diversified fund that under normal circumstances, invests at least 80% of its net assets in real estate income-producing securities and other real estate securities of any market capitalization, including common stocks and equity securities, debt and preferred securities, non-U.S. real

estate income-producing securities, and any other real estate-related yield securities. The Fund is likely to maintain a significant portion of its assets in real estate investment trusts (“REITs”). REITs pool money to invest in properties (“equity REITs”) or mortgages (“mortgage REITs”), and their revenue primarily consists of rent derived from owned, income producing real estate properties, and capital gains from the sale of such properties. The Fund generally invests in equity REITs. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

The first six months of 2021 saw a shift in leadership from growth to value stocks within real estate. After a sharp increase in equities that stood to benefit from a post-pandemic environment (the so-called “reopening trade”), returns were tied more closely to company earnings results. REITs outperformed the broader market as they benefited broadly from continued investor expectations of economic growth driven by the successful rollout of vaccines, anticipated pent-up demand from consumers and businesses, the expected recovery in employment, and federal stimulus payments.

Investments in non-REIT real estate companies, other REITs, and industrial REITs contributed the most. No category detracted.

Shares of top contributor Red Rock Resorts, Inc., an operator of casinos in the Las Vegas locals market, rose on reported EBITDA significantly above pre-pandemic levels and a complete recovery in revenue. Management has said that it thinks the margin expansion is sustainable given revenue levels and a reimagined cost structure. Robust free cash flow combined with the $650 million sale of its Palms casino, which is slated to close by the end of 2021, should help improve the balance sheet.

GDS Holdings Ltd. is a leading Chinese data center operator within Tier 1 cities. Shares detracted from performance due to the overall sell-off in Chinese technology-related companies given tightening government regulations, market concerns regarding supply/competition, and escalation of geopolitical tensions. We retain conviction in GDS given durable secular tailwinds in cloud adoption (early innings in China), increased visibility of growth, ample capital, and its status as a provider of choice to China’s leading technology companies.

The increasing pace of vaccinations, strong corporate earnings, favorable monetary policy and fiscal stimulus, and record cash levels held by both consumers and companies bode well for economic growth. While interest rates have increased, they remain low on a historic basis, and we expect investors to continue to search for yield, which should aid REITs, other dividend-yielding real estate companies, and real estate companies broadly. We believe this is an opportune time for active managers in real estate who have the flexibility to shift into growth areas while avoiding others facing a longer and more uncertain recovery.

†

¹	Performance information reflects the results of Retail Shares.


Baron Health Care Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON HEALTH CARE FUND (RETAIL SHARES)

IN RELATION TO THE RUSSELL 3000 HEALTH CARE INDEX AND THE S&P 500 INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Since Inception April 30, 2018)
Baron Health Care Fund — Retail Shares^1,2		11.95%		46.14%		26.51%		26.82%
Baron Health Care Fund — Institutional Shares^1,2		12.08%		46.51%		26.81%		27.14%
Baron Health Care Fund — R6 Shares^1,2		12.08%		46.44%		26.83%		27.12%
Russell 3000 Health Care Index¹		10.47%		29.49%		17.75%		17.98%
S&P 500 Index¹		15.25%		40.79%		18.67%		18.73%

*	Not Annualized.

The Russell 3000 Health Care Index is a free float-adjusted market capitalization index that measures the performance of all equity in the US equity market. The S&P 500 Index measures the performance of 500 widely held large-cap U.S. companies. The indexes and Baron Health Care Fund are with dividends, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.


June 30, 2021 (Unaudited)		Baron Health Care Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
UnitedHealth Group Incorporated		6.0%
ICON Plc		5.2%
Bio-Techne Corporation		4.1%
Acceleron Pharma Inc.		3.9%
Humana Inc.		3.7%
argenx SE		3.7%
Thermo Fisher Scientific Inc.		3.3%
Edwards Lifesciences Corp.		2.7%
Mettler-Toledo International, Inc.		2.5%
Dechra Pharmaceuticals PLC		2.5%

		37.6%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron Health Care Fund¹ appreciated 11.95%, outperforming the Russell 3000 Health Care Index, which rose 10.47%.

Baron Health Care Fund is a non-diversified fund that under normal circumstances, invests at least 80% of its net assets in equity securities in the form of common stock of companies engaged in the research, development, production, sale, delivery

or distribution of products and services related to the health care industry. The Fund’s allocation among the different subsectors of the health care industry will vary depending upon the relative potential the Fund sees within each area. The Adviser seeks to invest in businesses it believes have significant growth opportunities, sustainable competitive advantages, exceptional management, and attractive valuations. The Fund may purchase securities of companies of any market capitalization and may invest in foreign stocks. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

Two significant events impacted the Health Care sector in the period. First, in a controversial decision, the FDA approved Biogen’s Alzheimer’s drug Aduhelm. Approval was based on a surrogate endpoint (the reduction of amyloid plaque in the brain) rather than evidence the drug slowed cognitive decline. This policy shift has positive implications for other neurodegenerative therapeutics companies. Second, Intellia Therapeutics announced the first instance of clinical data supporting the safety and efficacy of in vivo CRISPR genome editing in humans. While still early and involving a limited number of patients, the data indicates the potential for gene editing to cure diseases.

Life sciences tool & services, health care equipment, and biotechnology were the largest contributing sub-industries. Health care technology detracted slightly.

Top contributor Bio-Techne Corporation is a leading provider of high-quality purified proteins and protein analysis and other life sciences tools for biomedical researchers and clinical research laboratories. Shares rose during the period on two consecutive quarters of strong financial results. We continue to believe Bio-Techne has an attractive core life sciences reagents business with multiple additional growth drivers.

Top detractor BridgeBio Pharma, Inc. is a biotechnology company developing drugs addressing a host of genetic disorders. Shares fell on concerns around increasing competition. While we expect positive results from the Phase 3 trial for its lead program for TTR amyloidosis, a disease in which toxic proteins build up in the heart and nerves, updates from Alnylam’s competing drug, Vitrusiran, and more recently, Intellia’s gene editing platform, pressured the stock. We retain conviction given BridgeBio’s pipeline and diversified business model.

We expect developments in government policy that could impact health care stocks, including drug pricing reforms, higher corporate tax rates, and, possibly, enhancements to the Affordable Care Act. Despite these uncertainties, sector trends are positive. Biotechnology funding and new drug approvals are on record pace. Medical device and health care services companies are seeing a return to more normalized procedure volumes. Longer term, we believe health care is in a transformational period marked by rapid innovation and advances in science.

†

¹	Performance information reflects results of the Retail Shares.


Baron FinTech Fund (Unaudited)		June 30, 2021

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON FINTECH FUND (RETAIL SHARES)

IN RELATION TO THE S&P 500 INDEX AND THE FACTSET GLOBAL FINTECH INDEX

LOGO


AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Since Inception December 31, 2019^
Baron FinTech Fund — Retail Shares^1,2		15.11%		46.53%		41.94%
Baron FinTech Fund — Institutional Shares^1,2		15.29%		46.93%		42.27%
Baron FinTech Fund — R6 Shares^1,2		15.21%		46.93%		42.27%
S&P 500 Index¹		15.25%		40.79%		23.03%
FactSet Global FinTech Index¹		8.32%		45.74%		28.69%

*	Not Annualized.

^	Commencement of investment operations was January 2, 2020.

The S&P 500 Index measures the performance of 500 widely held large-cap U.S. companies. The FactSet Global FinTech Index is an unmanaged and equal-weighted index that measures the equity market performance of companies engaged in Financial Technologies, primarily in the areas of software and consulting, data and analytics, digital payment processing, money transfer, and payment transaction-related hardware, across 30 developed and emerging markets. The indexes and Baron FinTech Fund are with dividends, which positively impact the performance results. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.


June 30, 2021 (Unaudited)		Baron FinTech Fund

TOP TEN HOLDINGS AS OF JUNE 30, 2021


	Percent of Net Assets
Intuit Inc.		4.2%
PayPal Holdings, Inc.		4.2%
Endava plc		4.2%
Visa, Inc.		4.1%
S&P Global Inc.		3.7%
EPAM Systems, Inc.		3.6%
Square, Inc.		3.5%
Mastercard Incorporated		3.4%
Dlocal Ltd.		3.2%
Adyen N.V.		3.2%

		37.3%

SECTOR BREAKDOWN AS OF JUNE 30, 2021^†

(as a percentage of net assets)

LOGO

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six months ended June 30, 2021, Baron FinTech Fund¹ appreciated 15.11%, in line with the S&P 500 Index, which increased 15.25%.

Baron FinTech Fund is a non-diversified fund that invests in companies of any market capitalization that develop or use innovative technologies related in a significant way to financial services. The Fund invests principally in U.S. securities but may invest up to 25% in non-U.S. securities. Of course, there can be no guarantee that we will be successful in achieving the Fund’s investment goals.

The first half of 2021 was the most active period ever for FinTech financings. The 17 FinTech IPOs in the period is setting a pace ahead of 2020’s record of 23. In addition, 21 FinTechs have gone public via SPACs so far this year, already above last year’s record of 15. We have followed many of these FinTech companies for years while they were privately held and are thrilled to finally have the opportunity to invest in them. The large number of companies going public increases our opportunity set and casts a spotlight on the significant growth opportunities and pace of innovation in FinTech.

At the sector level, Information Technology and Financials contributed the most to performance. Consumer Discretionary and Communication Services detracted slightly.

Top contributor Dlocal Ltd. is a Uruguay-based financial technology company that enables cross-border and local-to-local e-commerce payments in 29 emerging market countries for global enterprise merchants. The company is experiencing fast growth, driven by increasing globalization of commerce, higher penetration of digital payments, and increasing purchasing power from middle-class consumers. Dlocal went public at the beginning of June at an attractive valuation and shares rose as demand exceeded supply.

P&C insurance software vendor Guidewire Software, Inc. was the top detractor. The stock price lagged along with other high-multiple growth stocks. The company is near the midpoint of its cloud transition, which should correspond with improving financial results. Despite short-term headwinds, we believe Guidewire has tripled its addressable market through new products and cloud delivery and will become the critical software vendor for the global P&C insurance industry, capturing 30% to 50% of its $15 billion to $30 billion total addressable market and generating margins above 40%.

Overall, we believe the outlook for FinTech is positive. In the near term, we expect reopening economies and higher consumer spending will support our Payments investments, a more favorable consumer credit environment will support our Information Services holdings, higher CEO confidence will lead to more investment in digital transformation projects, and low interest rates will support our long-duration growth investments. In the long term, we expect FinTech companies to benefit from secular growth trends such as the shift to electronic payments, the rise of e-commerce, the need for data and analytics to inform decision-making, the electronification of the capital markets, and the need for more modern technology and digital transformation in all areas of commerce.

†

¹	Performance information reflects results of the Retail Shares.


Baron Partners Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (103.31%)
Communication Services (9.50%)
		Alternative Carriers (0.90%)
	1,550,000	Iridium Communications, Inc.¹	$	36,086,794	$	61,984,500

		Interactive Home Entertainment (1.09%)
	790,000	Activision Blizzard, Inc.		46,068,301		75,397,600

		Interactive Media & Services (4.89%)
	2,750,000	Zillow Group, Inc., Cl A¹		107,616,334		336,957,500

		Movies & Entertainment (2.62%)
	5,978,371	Manchester United plc, Cl A²		103,126,035		90,811,455
	325,000	Spotify Technology SA^1,2		74,931,790		89,566,750

				178,057,825		180,378,205

	Total Communication Services			367,829,254		654,717,805

Consumer Discretionary (51.05%)
		Automobile Manufacturers (41.18%)
	4,175,000	Tesla, Inc.^1,5		188,464,376		2,837,747,500

		Casinos & Gaming (0.37%)
	600,000	Red Rock Resorts, Inc., Cl A¹		14,182,756		25,500,000

		Hotels, Resorts & Cruise Lines (4.89%)
	2,900,000	Hyatt Hotels Corp., Cl A¹		84,480,627		225,156,000
	700,000	Marriott Vacations Worldwide Corp.¹		81,762,309		111,510,000

				166,242,936		336,666,000

		Internet & Direct Marketing Retail (0.02%)
	10,553	Airbnb, Inc., Cl A^1,4		717,604		1,616,086

		Leisure Facilities (4.59%)
	1,000,000	Vail Resorts, Inc.^1,6		48,702,009		316,520,000

	Total Consumer Discretionary			418,309,681		3,518,049,586

Financials(13.53%)
		Asset Management & Custody Banks(1.13%)
	1,000,000	Brookfield Asset Management, Inc., Cl A²		35,923,845		50,980,000
	333,079	Cohen & Steers, Inc.		23,794,543		27,342,455

				59,718,388		78,322,455

		Reinsurance (0.01%)
	6,897	Brookfield Asset Management Reinsurance Partners Ltd., Cl A^1,2		365,517		358,759

		Financial Exchanges & Data (4.57%)
	700,000	FactSet Research Systems, Inc.		46,576,636		234,927,000
	150,000	MSCI, Inc.		37,181,742		79,962,000

				83,758,378		314,889,000

		Investment Banking & Brokerage (4.12%)
	3,900,000	The Charles Schwab Corp.		86,233,677		283,959,000

		Property & Casualty Insurance (3.70%)
	6,550,000	Arch Capital Group Ltd.^1,2		30,153,582		255,057,000

	Total Financials			260,229,542		932,586,214


Shares			Cost		Value
Common Stocks (continued)
Health Care (7.71%)
		Biotechnology (0.38%)
	60,000	BioNTech SE, ADR^1,2	$	12,817,509	$	13,432,800
	55,000	Moderna, Inc.¹		9,305,078		12,923,900

				22,122,587		26,356,700

		Health Care Equipment (7.33%)
	800,000	IDEXX Laboratories, Inc.¹		35,048,046		505,240,000

	Total Health Care			57,170,633		531,596,700

Industrials (9.30%)

		Aerospace & Defense (0.47%)
	125,625	HEICO Corp.		9,632,520		17,514,637
	116,875	HEICO Corp., Cl A		7,586,429		14,513,538

				17,218,949		32,028,175

		Research & Consulting Services (8.83%)
	7,350,000	CoStar Group, Inc.¹		98,974,400		608,727,000

	Total Industrials			116,193,349		640,755,175

Information Technology (9.98%)
		Application Software (2.91%)
	124,287	AppLovin Corp., Cl A¹		9,942,960		9,342,654
	925,000	Guidewire Software, Inc.¹		74,997,711		104,266,000
	300,000	RingCentral, Inc., Cl A¹		78,500,510		87,174,000

				163,441,181		200,782,654

		Data Processing & Outsourced Services (2.11%)
	59,246	Adyen N.V. , 144A (Netherlands)^1,2,8		53,544,382		145,290,709

		Internet Services & Infrastructure (2.50%)
	700,000	GDS Holdings Limited, ADR^1,2		37,434,005		54,943,000
	1,916,348	GDS Holdings Limited, Cl A (Hong Kong)^1,2^,8		20,200,657		18,823,624
	67,500	Shopify, Inc., Cl A^1,2		48,766,450		98,616,150

				106,401,112		172,382,774

		IT Consulting & Other Services (2.46%)
	700,000	Gartner, Inc.¹		83,980,674		169,540,000

	Total Information Technology			407,367,349		687,996,137

Materials (0.41%)
		Commodity Chemicals (0.41%)
	709,957	Zymergen, Inc.¹		22,586,992		28,405,380

Real Estate (1.75%)
		Office REITs (0.53%)
	1,085,000	Douglas Emmett, Inc.		29,974,652		36,477,700

		Specialized REITs (1.22%)
	1,819,296	Gaming and Leisure Properties, Inc.		57,585,382		84,287,984

	Total Real Estate			87,560,034		120,765,684

Special Purpose Acquisition Company (0.08%)
	500,000	Atlas Crest Investment Corp.¹		5,000,000		5,226,200

	Total Common Stocks			1,742,246,834		7,120,098,881


20		See Notes to Financial Statements.


June 30, 2021		Baron Partners Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Shares			Cost		Value
Private Common Stocks (1.45%)
Industrials (1.45%)
		Aerospace & Defense (1.45%)
	221,631	Space Exploration Technologies Corp., Cl A^1,3,4,9	$	29,920,185	$	88,268,978
	30,221	Space Exploration Technologies Corp., Cl C^1,3,4,9		4,079,835		12,036,118

	Total Private Common Stocks			34,000,020		100,305,096


Private Convertible Preferred Stocks (0.11%)
Industrials (0.11%)
		Electrical Components & Equipment (0.11%)
	21,213,656	Northvolt AB, Series E2 (Sweden)^1,2,3,4,9		7,843,621		7,305,856


Private Preferred Stocks (3.20%)
Industrials (3.20%)
		Aerospace & Defense (3.20%)
	311,111	Space Exploration Technologies Corp., Cl H^1,3,4,9		41,999,985		123,906,178
	131,657	Space Exploration Technologies Corp., Cl I^1,3,4,9		22,250,032		52,435,033
	111,111	Space Exploration Technologies Corp., Cl N^1,3,4,9		29,999,970		44,252,178

	Total Private Preferred Stocks			94,249,987		220,593,389

Principal Amount

Cost

Value

Short Term Investments (0.07%)

$4,893,675

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $4,893,675; (Fully collateralized by $1,413,700 U.S. Treasury Bond, 5.25% due 11/15/2028 Market value - $1,812,352) and $2,877,400 U.S. Treasury Note, 2.625% due 2/15/2029 Market value - $3,179,258)⁸

4,893,675

Total Investments (108.14%)

1,883,234,137

7,453,196,897

Liabilities Less Cash and Other Assets (-8.14%)⁷

(561,520,266

)

Net Assets

6,891,676,631

Retail Shares (Equivalent to $171.23 per share
based on 18,577,871 shares outstanding)

3,181,133,847

Institutional Shares (Equivalent to $176.53 per share
based on 18,210,369 shares outstanding)

3,214,676,405

R6 Shares (Equivalent to $176.52 per share
based on 2,809,121 shares outstanding)

495,866,379

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	At June 30, 2021, the market value of restricted and fair valued securities amounted to $328,204,341 or 4.76% of net assets. These securities are not deemed liquid. See Note 6 regarding Restricted Securities.

⁴	The Adviser has reclassified/classified certain securities in or out of this sub-industry. Such reclassifications/classifications are not supported by S&P or MSCI (unaudited).

⁵

Investors in the Fund may view Tesla, Inc.’s financial statements on the EDGAR website of the U.S. Securities and Exchange Commission by going to https://www.sec.gov/cgi-bin/browse-edgar?CIK=1318605&owner=exclude. Please note that the Fund is not responsible for Tesla’s financial statements and can provide no assurances as to their accuracy or completeness.

⁶	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $5,697,360.

⁷	Includes unrealized depreciation of $200,600 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁸	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁹	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^144A

Security is exempt from registration pursuant to Rule 144A under the Securities Act of 1933. This security may be resold in transactions that are exempt from registration, normally to qualified institutional buyers. At June 30, 2021, the market value of Rule 144A securities amounted to $145,290,709 or 2.11% of net assets.

All securities are Level 1, unless otherwise noted.


See Notes to Financial Statements.		21


Baron Focused Growth Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (91.51%)
Communication Services (7.99%)
		Alternative Carriers (2.33%)
	401,472	Iridium Communications, Inc.¹	$	2,949,375	$	16,054,865

		Movies & Entertainment (5.66%)
	1,027,365	Manchester United plc, Cl A²		17,423,113		15,605,675
	85,000	Spotify Technology SA^1,2		20,386,545		23,425,150

				37,809,658		39,030,825

	Total Communication Services			40,759,033		55,085,690

Consumer Discretionary (52.91%)
		Automobile Manufacturers (31.64%)
	321,000	Tesla, Inc.^1,5		13,812,209		218,183,700

		Casinos & Gaming (7.53%)
	567,501	Penn National Gaming, Inc.¹		10,857,402		43,408,151
	201,100	Red Rock Resorts, Inc., Cl A¹		1,154,579		8,546,750

				12,011,981		51,954,901

		Hotels, Resorts & Cruise Lines (6.50%)
	155,000	Choice Hotels International, Inc.		5,375,923		18,423,300
	340,000	Hyatt Hotels Corp., Cl A¹		12,201,302		26,397,600

				17,577,225		44,820,900

		Internet & Direct Marketing Retail (1.09%)
	125,000	Stitch Fix, Inc., Cl A¹		6,165,914		7,537,500

		Leisure Facilities (6.15%)
	134,000	Vail Resorts, Inc.^1,6		8,130,896		42,413,680

	Total Consumer Discretionary			57,698,225		364,910,681

Financials (7.04%)
		Financial Exchanges & Data (3.65%)
	75,000	FactSet Research Systems, Inc.		5,828,282		25,170,750

		Property & Casualty Insurance (3.39%)
	600,000	Arch Capital Group Ltd.^1,2		12,581,802		23,364,000

	Total Financials			18,410,084		48,534,750

Health Care (8.49%)
		Biotechnology (5.05%)
	110,000	BioNTech SE, ADR^1,2		11,883,637		24,626,800
	130,000	Denali Therapeutics, Inc.¹		8,709,748		10,197,200

				20,593,385		34,824,000

		Health Care Supplies (2.12%)
	292,000	Figs, Inc., Cl A¹		8,977,596		14,629,200

		Health Care Technolgy (1.32%)
	120,000	Schrödinger, Inc.¹		9,877,963		9,073,200

	Total Health Care			39,448,944		58,526,400

Industrials (7.44%)
		Research & Consulting Services (7.44%)
	620,000	CoStar Group, Inc.¹		11,035,717		51,348,400


Shares			Cost		Value
Common Stocks (continued)
Information Technology (5.74%)
		Application Software (1.67%)
	101,870	Guidewire Software, Inc.¹	$	4,816,691	$	11,482,786

		Data Processing & Outsourced Services (2.08%)
	5,854	Adyen N.V. (Netherlands), 144A^1,2,8		5,352,874		14,355,937

		Internet Services & Infrastructure (1.99%)
	175,000	GDS Holdings Limited, ADR^1,2		12,381,692		13,735,750

	Total Information Technology			22,551,257		39,574,473

Real Estate (1.90%)
		Residential REITs (1.27%)
	225,000	American Homes 4 Rent, Cl A		4,700,804		8,741,250

		Specialized REITs (0.63%)
	115,000	Americold Realty Trust⁴		3,907,873		4,352,750

	Total Real Estate			8,608,677		13,094,000

	Total Common Stocks			198,511,937		631,074,394


Private Common Stocks (1.37%)
Industrials (1.37%)
		Aerospace & Defense (1.37%)
	20,859	Space Exploration Technologies Corp., Cl A^1,3,4,9		2,815,965		8,307,514
	2,844	Space Exploration Technologies Corp., Cl C^1,3,4,9		383,940		1,132,680

	Total Private Common Stocks			3,199,905		9,440,194


Private Preferred Stocks (2.33%)
Industrials (2.33%)
		Aerospace & Defense (2.33%)
	29,630	Space Exploration Technologies Corp., Cl H^1,3,4,9		4,000,050		11,800,740
	1,479	Space Exploration Technologies Corp., Cl I^1,3,4,9		249,951		589,041
	9,259	Space Exploration Technologies Corp., Cl N^1,3,4,9		2,499,930		3,687,582

	Total Private Preferred Stocks			6,749,931		16,077,363


22		See Notes to Financial Statements.


June 30, 2021		Baron Focused Growth Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021

Principal Amount

Cost

Value

Short Term Investments (4.72%)

$32,549,272

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $32,549,272; (Fully collateralized by $25,897,400 U.S. Treasury Bond, 5.25% due 11/15/2028 Market value - $33,200,260)⁸

32,549,272

Total Investments (99.93%)

241,011,045

689,141,223

Cash and Other Assets Less Liabilities (0.07%)⁷

507,327

Net Assets

689,648,550

Retail Shares (Equivalent to $44.40 per share
based on 3,972,304 shares outstanding)

176,355,662

Institutional Shares (Equivalent to $45.69 per share
based on 5,144,669 shares outstanding)

235,067,117

R6 Shares (Equivalent to $45.72 per share
based on 6,085,577 shares outstanding)

278,225,771

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	At June 30, 2021, the market value of restricted and fair valued securities amounted to $25,517,557 or 3.70% of net assets. These securities are not deemed liquid. See Note 6 regarding Restricted Securities.

⁴	The Adviser has reclassified/classified certain securities in or out of this sub-industry. Such reclassifications/classifications are not supported by S&P or MSCI (unaudited).

⁵

Investors in the Fund may view Tesla, Inc.’s financial statements on the EDGAR website of the U.S. Securities and Exchange Commission by going to https://www.sec.gov/cgi-bin/browse-edgar?CIK=1318605&owner=exclude. Please note that the Fund is not responsible for Tesla’s financial statementsand can provide no assurances as to their accuracy or completeness.

⁶	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $11,078,200.

⁷	Includes unrealized appreciation of $154,900 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁸	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁹	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


See Notes to Financial Statements.		23


Baron International Growth Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (95.40%)
Australia (0.80%)
	644,822	NEXTDC Limited^1,5	$	3,195,309	$	5,738,069

Brazil (4.62%)
	203,670	Afya Ltd., Cl A¹		4,052,790		5,250,613
	120,934	Arco Platform Limited, Cl A¹		3,928,368		3,707,836
	758,451	Itaú Unibanco Holding SA, ADR		3,560,256		4,558,290
	271,714	Notre Dame Intermedica Participacoes S.A.		3,091,592		4,639,646
	70,011	StoneCo Ltd., Cl A¹		4,690,522		4,694,938
	492,212	Suzano SA¹		4,494,408		5,918,855
	105,119	XP, Inc., Cl A¹		3,744,284		4,577,932

	Total Brazil			27,562,220		33,348,110

Canada (1.92%)
	168,186	CAE, Inc.¹		2,082,977		5,180,172
	5,753	Constellation Software, Inc.		1,761,296		8,713,085

	Total Canada			3,844,273		13,893,257

China (10.88%)
	36,118	Alibaba Group Holding Limited, ADR^1,3		6,452,603		8,190,840
	955,387	China Conch Venture Holdings Ltd.⁵		4,199,666		4,019,846
	68,159	China Tourism Group Duty Free Corporation Limited, Cl A⁵		775,658		3,161,444
	625,178	Galaxy Entertainment Group Ltd.^1,5		4,744,733		4,998,976
	29,333	GDS Holdings Limited, ADR¹		1,256,623		2,302,347
	153,308	GDS Holdings Limited, Cl A (Hong Kong)^1,5		1,616,054		1,505,891
	585,931	Han’s Laser Technology Industry Group Co., Ltd., Cl A⁵		3,140,221		3,659,604
	597,906	Hua Hong Semiconductor Limited, 144A^1,5		1,399,011		3,300,855
	1,543,374	Kingdee International Software Group Co. Ltd.^1,5		1,375,808		5,227,195
	749,180	Kingsoft Corp. Ltd.⁵		3,177,602		4,486,761
	248,925	Midea Group Co., Ltd., Cl A⁵		1,766,612		2,745,786
	57,639	Shenzhen Mindray Bio-Medical Electronics Co. Ltd., Cl A⁵		1,625,815		4,274,123
	120,824	Tencent Holdings Limited⁵		6,132,637		9,097,138
	17,588	Tencent Holdings Limited, ADR		832,623		1,324,376
	103,143	Will Semiconductor Co. Ltd. Shanghai, Cl A⁵		3,692,074		5,128,105
	1,298,975	Winning Health Technology Group Co. Ltd., Cl A⁵		3,641,404		3,267,281
	67,094	Zai Lab Limited, ADR¹		1,585,596		11,874,967

	Total China			47,414,740		78,565,535

Denmark (1.04%)
	183,153	Genmab A/S, ADR¹		7,473,667		7,478,137

France (8.14%)
	319,942	BNP Paribas S.A.⁵		14,662,429		20,079,442
	91,320	Eurofins Scientific SE^1,5		2,327,909		10,445,060
	14,509	LVMH Moët Hennessy Louis Vuitton SE⁵		4,811,986		11,413,603
	42,741	Pernod Ricard SA⁵		8,264,435		9,499,714
	218,710	Vivendi SA⁵		5,883,632		7,348,463

	Total France			35,950,391		58,786,282

Germany (3.60%)
	146,490	Befesa SA, 144A⁵		7,071,613		11,258,620
	60,194	Symrise AG⁵		5,218,374		8,388,437
	168,057	TeamViewer AG, 144A^1,5		6,563,059		6,311,705

	Total Germany			18,853,046		25,958,762


Shares			Cost		Value
Common Stocks (continued)
Hong Kong (0.75%)
	311,500	Techtronic Industries Co. Ltd.⁵	$	2,131,519	$	5,428,500

India (6.81%)
	140,002	Bajaj Finance Limited^1,5		7,057,302		11,355,389
	2,458,770	Edelweiss Financial Services Ltd.^1,5		2,033,042		2,397,347
	279,909	Godrej Properties Ltd.^1,5		3,762,871		5,270,576
	179,037	HDFC Bank Ltd.⁵		2,695,614		3,616,162
	125,802	Housing Development Finance Corp., Ltd.⁵		3,530,942		4,198,409
	2,171,478	JM Financial Limited⁵		2,615,303		2,591,446
	70,627	Kotak Mahindra Bank Ltd.^1,5		1,217,705		1,623,435
	548,081	Max Financial Services Limited^1,5		3,895,199		7,825,052
	681,376	Nippon Life India Asset Management Ltd., 144A⁵		2,395,677		3,359,539
	233,839	Reliance Industries Limited⁵		5,093,394		6,649,530
	12,984	Reliance Industries Limited PP⁵		115,279		260,365

	Total India			34,412,328		49,147,250

Israel (3.59%)
	128,423	ION Acquisition Corp. 2 Limited¹		1,284,230		1,295,788
	150,000	ION Acquisition Corp. 3 Limited, Cl A¹		1,500,000		1,471,500
	12,905	monday.com Ltd.¹		2,054,845		2,885,429
	166,042	SimilarWeb Ltd.¹		3,584,739		3,271,027
	200,450	Taboola.com Ltd.¹		1,931,400		2,074,657
	229,509	Taboola.com Ltd. (formerly, ION Acquisition Corp. 1 Limited)^1,2,6		2,295,090		2,290,500
	152,785	Tower Semiconductor Ltd.¹		3,043,112		4,496,463
	28,060	Wix.com Ltd.¹		3,231,212		8,145,257

	Total Israel			18,924,628		25,930,621

Japan (10.01%)
	77,173	Advantest Corporation⁵		4,104,008		6,929,117
	29,100	FANUC Corp.⁵		4,834,548		6,978,117
	17,843	Keyence Corporation⁵		5,478,737		8,986,147
	231,600	MonotaRO Co, Ltd.⁵		2,363,486		5,457,563
	118,160	Nexon Co, Ltd.⁵		1,759,983		2,629,593
	104,365	Okamoto Industries, Inc.⁵		4,791,854		3,852,864
	177,000	Recruit Holdings Co, Ltd.⁵		4,885,462		8,679,861
	188,200	SMS Co. Ltd.⁵		5,152,739		5,623,909
	28,316	Sony Corporation, ADR		1,017,216		2,752,881
	64,800	Square Enix Holdings Co, Ltd.⁵		2,218,353		3,200,139
	302,300	Takeda Pharmaceutical Company Limited⁵		11,976,315		10,145,354
	16,302	Tokyo Electron Limited⁵		3,928,027		7,048,727

	Total Japan			52,510,728		72,284,272

Korea, Republic of (1.48%)
	89,715	Korea Shipbuilding & Offshore Engineering Co. Ltd.^1,5		8,515,646		10,670,668

Mexico (0.78%)
	1,191,220	Grupo México S.A.B. de C.V., Series B		3,208,027		5,614,881

Netherlands (4.17%)
	290,160	AMG Advanced Metallurgical Group NV⁵		9,044,500		9,949,406
	43,181	argenx SE, ADR¹		1,904,769		13,000,504
	38,366	Koninklijke DSM NV⁵		5,145,464		7,171,874

	Total Netherlands			16,094,733		30,121,784

Norway (0.79%)
	431,796	Golar LNG Ltd.¹		6,252,146		5,721,297

Poland (0.73%)
	263,772	InPost SA¹		5,175,660		5,293,906


24		See Notes to Financial Statements.


June 30, 2021		Baron International Growth Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (continued)
Russia (4.78%)
	2,571,069	Detsky Mir PJSC, 144A⁵	$	3,841,525	$	5,308,229
	36,018	Novatek PJSC, GDR		5,452,498		7,898,748
	1,100	Novatek PJSC, GDR (London)⁵		153,019		241,377
	333,867	Sberbank of Russia PJSC, ADR⁵		3,957,007		5,547,864
	177,534	TCS Group Holding PLC, GDR		4,902,171		15,534,225

	Total Russia			18,306,220		34,530,443

Spain (2.60%)
	111,195	Cellnex Telecom S.A., 144A⁵		6,227,391		7,092,155
	449,476	eDreams ODIGEO SA¹		3,698,968		3,618,841
	227,691	Industria de Diseno Textil, S.A.⁵		7,335,086		8,039,042

	Total Spain			17,261,445		18,750,038

Sweden (2.84%)
	328,985	Epiroc AB, Cl A⁵		5,190,793		7,488,899
	30,000	Hemnet Group AB¹		412,112		674,799
	19,316	Spotify Technology SA¹		2,790,396		5,323,296
	558,825	Telefonaktiebolaget LM Ericsson, ADR		5,191,588		7,030,019

	Total Sweden			13,584,889		20,517,013

Switzerland (4.21%)
	376,689	Clariant AG⁵		7,747,136		7,500,733
	43,150	Compagnie Financiere Richemont SA⁵		5,086,461		5,231,013
	951,966	Credit Suisse Group AG⁵		10,237,832		9,965,109
	61,830	Nestle S.A.⁵		6,496,788		7,706,928

	Total Switzerland			29,568,217		30,403,783

United Arab Emirates (0.21%)
	294,649	Network International Holdings plc, 144A^1,5		1,471,622		1,492,852

United Kingdom (16.85%)
	144,508	AstraZeneca PLC, ADR		5,429,097		8,656,029
	920,893	B&M European Value Retail S.A.⁵		4,218,892		7,310,832
	98,806	Dechra Pharmaceuticals PLC		3,329,156		5,972,843
	97,910	Endava plc, ADR¹		2,300,130		11,101,036
	152,703	Experian plc⁵		3,184,532		5,895,732
	442,543	Future PLC		7,584,254		19,173,156
	1,581,932	Glencore PLC⁵		6,554,498		6,789,793
	379,691	J D Wetherspoon PLC¹		4,481,096		6,187,169
	39,713	Linde Public Limited Company⁵		7,560,276		11,482,219
	19,779,279	Lloyds Banking Group PLC⁵		7,967,123		12,794,345
	1,865,252	S4 Capital PLC¹		6,064,102		16,203,675
	435,206	WANdisco plc^1,5		3,773,599		2,319,649
	674,144	Watches of Switzerland Group PLC, 144A¹		5,999,471		7,796,063

	Total United Kingdom			68,446,226		121,682,541

United States (2.27%)
	54,278	Agilent Technologies, Inc.		2,697,622		8,022,831
	215,344	Arch Capital Group Ltd.¹		4,878,484		8,385,495

	Total United States			7,576,106		16,408,326

Uruguay (1.53%)
	210,911	Dlocal Ltd., Cl A¹		4,621,639		11,079,155

	Total Common Stocks			452,355,425		688,845,482


Warrants (0.02%)
Israel (0.02%)
	56,745	Taboola.com Ltd. Exp 10/5/2027¹		104,540		175,909

Principal Amount

Cost

Value

Convertible Bonds (0.06%)

Switzerland (0.06%)

$350,000

Credit Suisse Group Guernsey VII Ltd., 144A, 3.00% due 11/12/2021⁵

385,399

425,977

Principal Amount

Short Term Investments (4.63%)

$33,446,185

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $33,446,185; (Fully collateralized by $29,656,200 U.S. Treasury Note, 3.125% due 11/15/2028; Market value - $33,623,881) and $383,200 U.S. Treasury Bond, 5.25% due 11/15/2028 Market value - $491,259)⁵

33,446,185

Total Investments (100.11%)

486,291,549

722,893,553

Liabilities Less Cash and Other Assets (-0.11%)⁴

(791,905

)

Net Assets

722,101,648

Retail Shares (Equivalent to $35.46 per share
based on 2,687,157 shares outstanding)

95,290,209

Institutional Shares (Equivalent to $36.10 per share
based on 12,916,857 shares outstanding)

466,326,420

R6 Shares (Equivalent to $36.08 per share
based on 4,447,583 shares outstanding)

160,485,019

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	At June 30, 2021, the market value of restricted and fair valued securities amounted to $2,290,500 or 0.32% of net assets. This security is not deemed liquid. See Note 6 regarding Restricted Securities.

³	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $5,669,500.

⁴	Includes unrealized depreciation of $451,750 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁵	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁶	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^GDR	Global Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


See Notes to Financial Statements.		25


Baron International Growth Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Summary of Investments by Sector as of June 30, 2021	Percentage of Net Assets

Information Technology		16.9	%

Financials		16.5

Health Care		12.1

Consumer Discretionary		11.9

Industrials		11.9

Communication Services		10.6

Materials		9.2

Energy		2.9

Consumer Staples		2.4

Real Estate		0.7

Special Purpose Acquisition Company		0.4

Cash and Cash Equivalents*		4.5
		100.0	%

*	Includes short term investments.


26		See Notes to Financial Statements.


June 30, 2021		Baron Real Estate Fund

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (97.68%)
Communication Services (6.17%)
		Integrated Telecommunication Services (2.06%)
	574,496	Cellnex Telecom S.A., 144A (Spain)^2,8	$	31,932,710	$	36,642,068

		Interactive Media & Services (4.11%)
	677,654	Tripadvisor, Inc.¹		23,938,338		27,309,456
	376,260	Zillow Group, Inc., Cl C¹		34,108,751		45,986,497

				58,047,089		73,295,953

	Total Communication Services			89,979,799		109,938,021

Consumer Discretionary (31.84%)

		Casinos & Gaming (13.11%)
	796,400	Boyd Gaming Corporation¹		19,022,908		48,970,636
	775,600	Las Vegas Sands Corp.¹		40,460,982		40,866,364
	1,206,989	Melco Resorts & Entertainment Ltd., ADR^1,2		20,494,063		19,999,808
	406,260	Penn National Gaming, Inc.¹		12,646,682		31,074,827
	1,430,417	Red Rock Resorts, Inc., Cl A¹		16,953,492		60,792,723
	261,647	Wynn Resorts Ltd. ¹		19,222,735		31,999,428

				128,800,862		233,703,786

		Distributors (0.56%)
	21,850	Pool Corp.		4,370,642		10,021,721

		Home Improvement Retail (4.06%)
	60,050	The Home Depot, Inc.		12,361,385		19,149,345
	274,750	Lowe’s Companies, Inc.		41,151,066		53,293,257

				53,512,451		72,442,602

		Homebuilding (3.32%)
	106,647	D.R. Horton, Inc.		3,458,125		9,637,689
	164,373	Installed Building Products, Inc.		8,986,233		20,112,680
	196,900	Lennar Corp., Cl A		12,601,875		19,562,015
	171,250	Toll Brothers, Inc.		5,729,225		9,899,963

				30,775,458		59,212,347

		Hotels, Resorts & Cruise Lines (6.43%)
	867,373	Hilton Grand Vacations, Inc.¹		24,840,939		35,900,568
	278,736	Marriott Vacations Worldwide Corp.¹		30,447,751		44,402,645
	576,697	Travel + Leisure Co.		36,383,336		34,284,637

				91,672,026		114,587,850

		Leisure Facilities (2.41%)
	145,650	SeaWorld Entertainment, Inc.¹		2,658,980		7,273,761
	825,424	Six Flags Entertainment Corp.¹		24,010,256		35,724,351

				26,669,236		42,998,112

		Leisure Products (1.95%)
	1,090,000	Latham Group, Inc.¹		20,710,000		34,836,400

	Total Consumer Discretionary			356,510,675		567,802,818

Financials (3.43%)

		Asset Management & Custody Banks (3.41%)
	1,190,557	Brookfield Asset Management, Inc., Cl A²		37,559,581		60,694,596

		Reinsurance (0.02%)
	7,866	Brookfield Asset Management Reinsurance Partners Ltd., Cl A^1,2		416,893		409,185

	Total Financials			37,976,474		61,103,781


Shares			Cost		Value
Common Stocks (continued)
Industrials (7.10%)

		Building Products (3.97%)
	620,101	AZEK Co., Inc.¹	$	24,649,657	$	26,329,488
	228,100	Fortune Brands Home & Security, Inc.		17,288,986		22,721,041
	208,138	Janus International Group, Inc.¹		2,934,364		2,940,990
	1,000,000	Janus International Group, Inc., Cl A^1,3,9		10,000,000		13,760,000
	48,800	Trex Co., Inc.¹		1,446,739		4,987,848

				56,319,746		70,739,367

		Research & Consulting Services (2.24%)
	483,500	CoStar Group, Inc.¹		30,297,359		40,043,470

		Trading Companies & Distributors (0.89%)
	93,477	SiteOne Landscape Supply, Inc.¹		10,670,710		15,821,917

	Total Industrials			97,287,815		126,604,754

Information Technology (4.42%)
		Internet Services & Infrastructure (4.42%)
	816,100	GDS Holdings Limited, ADR^1,2		37,276,714		64,055,689
	1,660,900	NEXTDC Limited (Australia)^1,2,8		8,234,614		14,779,828

	Total Information Technology			45,511,328		78,835,517

Materials (2.22%)
		Construction Materials (2.22%)
	227,250	Vulcan Materials Co.		34,393,246		39,557,407

Real Estate (38.47%)
		Diversified Real Estate Activities (2.12%)
	180,322	CoreSite Realty Corp.		24,567,069		24,271,341
	1,728,470	DigitalBridge Group, Inc. (formerly, Colony Capital, Inc.)¹		8,730,133		13,654,913

				33,297,202		37,926,254

		Diversified REITs (0.99%)
	472,600	American Assets Trust, Inc.		13,655,912		17,623,254

		Hotel & Resort REITs (1.30%)
	631,600	MGM Growth Properties LLC, Cl A		16,115,442		23,129,192

		Industrial REITs (2.96%)
	274,000	Prologis, Inc.		19,543,707		32,751,220
	350,759	Rexford Industrial Realty, Inc.		14,778,586		19,975,725

				34,322,293		52,726,945

		Office REITs (5.64%)
	1,180,150	Douglas Emmett, Inc.		33,143,388		39,676,643
	523,445	JBG SMITH Properties		16,679,403		16,493,752
	950,850	Vornado Realty Trust		40,611,218		44,376,170

				90,434,009		100,546,565

		Real Estate Development (2.10%)
	384,900	The Howard Hughes Corp.¹		32,700,405		37,512,354

		Real Estate Services (6.10%)
	539,450	CBRE Group, Inc., Cl A¹		28,204,325		46,247,048
	258,500	Jones Lang LaSalle, Inc.¹		35,608,120		50,526,410
	677,872	Opendoor Technologies, Inc.¹		6,778,720		12,018,671

				70,591,165		108,792,129

		Residential REITs (4.39%)
	365,750	Equity LifeStyle Properties, Inc.		21,021,028		27,178,883
	206,500	Equity Residential		12,509,075		15,900,500
	945,400	Invitation Homes, Inc.		27,310,761		35,253,966

				60,840,864		78,333,349


See Notes to Financial Statements.		27


Baron Real Estate Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (continued)
Real Estate (continued)

		Retail REITs (2.61%)
	356,350	Simon Property Group, Inc.	$	34,875,928	$	46,496,548

		Specialized REITs (10.26%)
	147,200	Alexandria Real Estate Equities, Inc.⁵		15,402,490		26,781,568
	198,800	American Tower Corp.⁶		34,705,694		53,703,832
	542,290	Americold Realty Trust⁵		15,561,503		20,525,676
	57,240	Equinix, Inc.		18,123,374		45,940,824
	385,348	Gaming and Leisure Properties, Inc.		11,501,945		17,853,173
	56,850	SBA Communications Corp.		14,225,432		18,118,095

				109,520,438		182,923,168

	Total Real Estate			496,353,658		686,009,758

Special Purpose Acquisition Company (4.03%)
	2,835,301	Fifth Wall Acquisition Corp. I, Cl A^1,4		28,607,896		34,902,555
	1,250,000	Fifth Wall Acquisition Corp. III, Cl A¹		12,500,000		12,437,500
	700,000	GO Acquisition Corp., Cl A¹		7,026,345		6,846,000
	1,290,554	RXR Acquisition Corp.¹		12,905,540		12,853,918
	475,000	Tishman Speyer Innovation Corp. II¹		4,750,000		4,773,750

	Total Special Purpose Acquisition Company			65,789,781		71,813,723

	Total Common Stocks			1,223,802,776		1,741,665,779

Principal Amount

Cost

Value

Short Term Investments (3.21%)

$57,298,915

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $57,298,915; (Fully collateralized by $51,548,300 U.S. Treasury Note, 3.125% due 11/15/2028 Market value - $58,444,908)⁸

57,298,915

Total Investments (100.89%)

1,281,101,691

1,798,964,694

Liabilities Less Cash and Other Assets (-0.89%)⁷

(15,817,239

)

Net Assets

1,783,147,455

Retail Shares (Equivalent to $40.88 per share
based on 11,770,320 shares outstanding)

481,147,844

Institutional Shares (Equivalent to $41.87 per share
based on 30,446,209 shares outstanding)

1,274,676,697

R6 Shares (Equivalent to $41.87 per share
based on 652,591 shares outstanding)

27,322,914

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	At June 30, 2021, the market value of restricted and fair valued securities amounted to $13,760,000 or 0.77% of net assets. This security is not deemed liquid. See Note 6 regarding Restricted Securities.

⁴	See Note 10 regarding “Affiliated” companies.

⁵	The Adviser has reclassified/classified certain securities in or out of this sub-industry. Such reclassifications/classifications are not supported by S&P or MSCI (unaudited).

⁶	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $16,748,680.

⁷	Includes unrealized depreciation of $197,400 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁸	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁹	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


28		See Notes to Financial Statements.


June 30, 2021		Baron Emerging Markets Fund

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (93.55%)
Brazil (9.24%)
	21,608,704	Aeris Indústria E Comércio De Equipamentos Para Geracão De Energia SA¹	$	24,053,917	$	43,097,500
	1,728,747	Afya Ltd., Cl A¹		44,946,895		44,567,098
	2,159,229	Banco Inter SA Units		27,129,752		33,770,241
	15,652,753	Itaú Unibanco Holding SA, ADR		75,063,301		94,073,045
	6,524,545	Localiza Rent a Car SA		45,644,839		83,954,095
	20,679,430	Lojas Americanas SA		95,412,123		89,722,566
	5,945,700	Notre Dame Intermedica Participacoes S.A.		70,158,634		101,525,654
	215,453	PagSeguro Digital Ltd., Cl A¹		4,039,701		12,048,132
	1,514,120	StoneCo Ltd., Cl A¹		66,233,117		101,536,887
	8,940,874	Suzano SA¹		86,150,604		107,514,109
	2,078,803	XP, Inc., Cl A¹		75,947,225		90,531,871

	Total Brazil			614,780,108		802,341,198

China (34.06%)
	1,303,924	Alibaba Group Holding Limited, ADR^1,3		164,336,347		295,703,885
	12,713,946	Beijing Oriental Yuhong Waterproof Technology Co. Ltd., Cl A⁵		63,951,680		108,820,660
	24,522,160	China Conch Venture Holdings Ltd.⁵		98,197,526		103,178,396
	16,411,732	China Mengniu Dairy Co. Ltd.⁵		41,962,727		99,147,426
	53,522,892	China Molybdenum Co. Ltd., Cl A⁵		41,912,055		42,668,574
	36,862,026	China Molybdenum Co. Ltd., Cl H⁵		20,930,090		21,843,083
	1,952,929	China Tourism Group Duty Free Corporation Ltd., Cl A⁵		24,923,793		90,583,441
	11,618,446	Galaxy Entertainment Group Ltd.^1,5		92,031,189		92,902,072
	917,744	GDS Holdings Limited, ADR¹		35,540,754		72,033,727
	2,527,535	GDS Holdings Limited, Cl A (Hong Kong)^1,5		27,143,383		24,827,103
	3,447,459	Glodon Co. Ltd., Cl A⁵		15,634,662		36,306,863
	11,372,808	Han’s Laser Technology Industry Group Co., Ltd., Cl A⁵		64,615,499		71,032,206
	3,253,862	Hangzhou Tigermed Consulting Co. Ltd., CI A⁵		44,492,082		97,137,453
	11,980,293	Hua Hong Semiconductor Limited, 144A^1, 5		28,991,221		66,139,505
	51,276	Kanzhun Ltd., ADR¹		974,244		2,033,093
	25,585,166	Kingdee International Software Group Co. Ltd.⁵		21,688,662		86,653,431
	16,726,374	Kingsoft Corp. Ltd.⁵		74,528,357		100,172,516
	2,769,127	Lufax Holding Ltd., ADR¹		37,071,657		31,291,135
	2,197,290	Meituan Inc., Cl B, 144A^1,5		35,013,142		90,640,726
	7,654,096	Midea Group Co., Ltd., Cl A⁵		53,291,715		84,429,078
	2,330,550	New Frontier Health Corp.¹		24,085,361		26,032,243
	4,213,176	Ping An Insurance (Group) Company of China, Ltd., CI H⁵		44,939,819		41,185,469
	4,110,044	SF Holding Co. Ltd., Cl A⁵		30,526,350		42,995,304
	4,035,967	Shanghai Henlius Biotech, Inc., Cl H, 144A^{1, 5}		25,409,986		19,787,878
	1,340,319	Shenzhen Mindray Bio-Medical Electronics Co. Ltd., Cl A⁵		42,578,089		99,389,091
	4,302,486	Shenzhou International Group Holdings Ltd.⁵		24,262,812		108,649,750
	74,225,047	Sino Biopharmaceutical Ltd.⁵		57,221,906		72,720,633
	4,852,982	Tencent Holdings Limited⁵		207,960,451		365,393,014
	194,437	Tencent Holdings Limited, ADR		10,779,783		14,641,106
	12,953,319	Venustech Group, Inc., Cl A⁵		65,921,862		58,125,748
	1,805,694	Will Semiconductor Co. Ltd. Shanghai, Cl A⁵		67,688,729		89,776,218
	17,371,967	Winning Health Technology Group Co. Ltd., Cl A⁵		49,286,633		43,695,291
	840,265	Yum China Holdings, Inc.		46,544,324		55,667,556
	539,983	Yum China Holdings, Inc. (Hong Kong)⁵		29,819,495		35,205,391
	3,980,827	Yunnan Baiyao Group Co. Ltd., Cl A⁵		59,266,465		71,238,187
	1,099,203	Zai Lab Limited, ADR¹		23,498,988		194,547,939

	Total China			1,797,021,838		2,956,595,191


Shares			Cost		Value
Common Stocks (continued)
Hong Kong (2.10%)
	22,831,323	Budweiser Brewing Co. APAC Ltd., 144A⁵	$	73,751,880	$	71,890,200
	6,343,950	Techtronic Industries Co. Ltd.⁵		27,600,967		110,555,798

	Total Hong Kong			101,352,847		182,445,998

Hungary (1.04%)
	1,676,242	OTP Bank Nyrt^1,5		69,227,317		90,234,990

India (21.38%)
	3,651,299	AARTI Industries Ltd.		42,000,009		42,822,816
	1,972,136	Asian Paints Ltd.⁵		51,065,999		79,506,676
	2,442,902	Bajaj Finance Limited⁵		111,059,011		198,140,753
	7,247,716	Bharti Airtel Ltd.⁵		52,989,447		51,326,406
	1,700,442	Divi’s Laboratories Ltd.^1,5		21,682,417		100,914,278
	976,956	Dr. Reddy’s Laboratories Ltd.⁵		43,044,964		71,433,217
	327,566	Dr. Reddy’s Laboratories Ltd., ADR		14,297,565		24,079,377
	28,707,607	Edelweiss Financial Services Ltd.⁵		43,093,752		27,990,453
	2,239,103	Godrej Properties Ltd.^1,5		43,545,600		42,161,426
	4,232,484	HDFC Bank Ltd.⁵		66,916,707		85,487,079
	3,925,013	Hemisphere Properties India Limited^1,5		14,835,694		7,304,055
	1,671,749	Hindustan Unilever Ltd.⁵		47,804,427		55,646,305
	3,034,746	Housing Development Finance Corp., Ltd.⁵		83,718,005		101,279,034
	2,806,297	ICICI Lombard General Insurance Co. Ltd., 144A⁵		51,397,299		59,215,244
	38,260,642	JM Financial Limited⁵		56,062,324		45,660,334
	1,120,128	Jubilant FoodWorks Ltd.^{1, 5}		46,533,795		46,473,646
	2,427,790	Kotak Mahindra Bank Ltd.^1,5		29,356,062		55,805,269
	10,047,947	Max Financial Services Ltd.^1,5		89,132,386		143,456,359
	3,620,278	Muthoot Finance Ltd.⁵		55,962,558		72,236,632
	12,240,204	Nippon Life India Asset Management Ltd., 144A⁵		44,661,124		60,350,585
	6,123,910	Reliance Industries Limited⁵		125,475,817		174,141,703
	378,065	Reliance Industries Limited PP⁵		3,433,391		7,581,254
	5,365,072	SBI Life Insurance Company Limited, 144A⁵		58,005,463		72,864,279
	5,167,699	Tata Communications Ltd.		40,713,353		89,483,995
	7,363,351	Tata Consumer Products Ltd.⁵		28,711,053		74,802,686
	2,817,562	Titan Co. Ltd.⁵		46,652,075		65,760,422

	Total India			1,312,150,297		1,855,924,283

Japan (0.74%)
	126,861	Keyence Corporation⁵		46,564,676		63,890,132

Korea, Republic of (5.35%)
	1,547,005	Korea Shipbuilding & Offshore Engineering Co. Ltd.^1,5		159,504,691		184,000,188
	3,913,024	Samsung Electronics Co., Ltd.⁵		130,238,272		280,118,236

	Total Korea, Republic of			289,742,963		464,118,424

Mexico (2.09%)
	26,518	DD3 Acquisition Corp. II Private Units^1,2,6		265,180		265,445
	18,071,165	Grupo México S.A.B. de C.V., Series B		47,356,118		85,179,425
	29,443,497	Wal-Mart de Mexico, S.A.B de C.V.¹		75,969,718		96,170,668

	Total Mexico			123,591,016		181,615,538

Norway (0.57%)
	3,762,328	Golar LNG Ltd.¹		39,116,123		49,850,846


See Notes to Financial Statements.		29


Baron Emerging Markets Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (continued)
Peru (0.40%)
	283,943	Credicorp, Ltd.¹	$	37,233,871	$	34,388,337

Philippines (1.23%)
	70,414,865	Ayala Land, Inc.		53,079,728		52,001,554
	23,562,436	BDO Unibank, Inc.		50,443,376		54,640,331

	Total Philippines			103,523,104		106,641,885

Poland (1.06%)
	4,601,226	InPost SA¹		96,120,184		92,346,637

Russia (7.05%)
	1,001,680	Fix Price Group Ltd., GDR¹		9,569,653		8,764,700
	4,746,202	Fix Price Group Ltd., GDR, 144A¹		46,272,864		41,529,267
	706,771	Novatek PJSC, GDR		110,198,710		154,994,880
	42,392	Novatek PJSC, GDR (London)⁵		8,119,531		9,302,246
	1,155,805	Ozon Holdings PLC, ADR¹		50,829,388		67,753,289
	130,365	Polyus PJSC⁵		25,890,213		25,195,253
	179,766	Polyus PJSC, GDR		17,983,107		17,392,361
	9,710	Polyus PJSC, GDR (London)⁵		1,009,071		940,444
	8,876,645	Sberbank of Russia PJSC, ADR⁵		99,224,713		147,503,103
	368,033	Sberbank of Russia PJSC, ADR		5,751,698		6,142,471
	691,796	TCS Group Holding PLC, GDR		41,273,832		60,532,150
	192,168	TCS Group Holding PLC, GDR (London)⁵		12,902,788		16,823,040
	783,753	Yandex N.V., Cl A¹		15,244,639		55,450,525

	Total Russia			444,270,207		612,323,729

Taiwan (4.92%)
	11,113,879	Delta Electronics, Inc.⁵		48,287,386		120,739,615
	2,550,695	Taiwan Semiconductor Manufacturing Co., Ltd., ADR		89,316,490		306,491,511

	Total Taiwan			137,603,876		427,231,126

United Arab Emirates (0.29%)
	4,965,504	Network International Holdings plc, 144A^1,5		30,249,729		25,157,943

United Kingdom (1.71%)
	34,503,433	Glencore PLC⁵		119,644,254		148,091,816

United States (0.32%)
	275,025	ACM Research, Inc., Cl A¹		24,539,534		28,113,056

	Total Common Stocks			5,386,731,944		8,121,311,129


Private Common Stocks (0.45%)
India (0.45%)
	27,027	Pine Labs PTE. Ltd., Series 1^1,2,6		10,077,362		9,871,612
	6,833	Pine Labs PTE. Ltd., Series A^1,2,6		2,547,771		2,495,753
	7,600	Pine Labs PTE. Ltd., Series B^1,2,6		2,833,757		2,775,900
	6,174	Pine Labs PTE. Ltd., Series B2^1,2,6		2,302,055		2,255,053
	9,573	Pine Labs PTE. Ltd., Series C^1,2,6		3,569,416		3,496,538
	1,932	Pine Labs PTE. Ltd., Series C1^1,2,6		720,371		705,663
	2,459	Pine Labs PTE. Ltd., Series D^1,2,6		916,870		898,150
	45,680	Pine Labs PTE. Ltd., Series J^1,2,6		17,032,398		16,684,620

	Total Private Common Stocks			40,000,000		39,183,289

Shares

Cost

Value

Private Convertible Preferred Stocks (0.55%)

India (0.55%)

15,334

Think & Learn Private
Limited, Series F^1,2,6

49,776,072

47,710,808

Principal Amount

Short Term Investments (5.74%)

$498,116,757

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $498,116,757; (Fully collateralized by $89,886,600 U.S. Treasury Note, 1.25% due 6/30/2028 Market value - $89,942,779 and $368,795,500 U.S. Treasury Note, 3.125% due 11/15/2028 Market value - $418,136,373)⁵

498,116,757

Total Investments (100.29%)

5,974,624,773

8,706,321,983

Liabilities Less Cash and Other Assets (-0.29%)⁴

(24,787,983

)

Net Assets

8,681,534,000

Retail Shares (Equivalent to $19.84 per share
based on 26,777,111 shares outstanding)

531,333,296

Institutional Shares (Equivalent to $19.95 per share
based on 407,628,152 shares outstanding)

8,134,075,850

R6 Shares (Equivalent to $19.97 per share
based on 807,619 shares outstanding)

16,124,854

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	At June 30, 2021, the market value of restricted and fair valued securities amounted to $87,159,542 or 1.00% of net assets. These securities are not deemed liquid. See Note 6 regarding Restricted Securities.

³	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $19,729,860.

⁴	Includes unrealized appreciation of $2,073,174 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁵	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁶	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^GDR	Global Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


30		See Notes to Financial Statements.


June 30, 2021		Baron Emerging Markets Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021


Summary of Investments by Sector as of June 30, 2021	Percentage of Net Assets

Financials		18.7	%

Information Technology		17.4

Consumer Discretionary		14.6

Health Care		10.6

Industrials		8.4

Materials		7.8

Communication Services		6.7

Consumer Staples		4.6

Energy		4.5

Real Estate		1.2

Special Purpose Acquisition Company		0.0	^†

Cash and Cash Equivalents*		5.5
		100.0	%

†	Represents less than 0.05% of net assets.

*	Includes short term investments.


See Notes to Financial Statements.		31


Baron Global Advantage Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (93.62%)
Argentina (3.06%)
	76,873	Globant S.A.¹	$	5,591,434	$	16,849,024
	46,026	MercadoLibre, Inc.¹		31,748,310		71,698,843

	Total Argentina			37,339,744		88,547,867

Brazil (3.15%)
	1,350,809	Afya Ltd., Cl A¹		30,749,276		34,823,856
	671,264	Arco Platform Limited, Cl A¹		27,148,976		20,580,954
	535,148	StoneCo Ltd., Cl A¹		18,692,727		35,887,025

	Total Brazil			76,590,979		91,291,835

Canada (3.91%)
	587,696	Nuvei Corp., 144A¹		21,077,497		48,484,920
	44,242	Shopify, Inc., Cl A¹		33,882,773		64,636,677

	Total Canada			54,960,270		113,121,597

China (11.26%)
	492,439	Alibaba Group Holding Limited, ADR^1,4		101,881,803		111,675,316
	673,206	GDS Holdings Limited, ADR¹		44,161,310		52,839,939
	1,381,225	Meituan Inc., Cl B, 144A^{1, 6}		26,631,860		56,977,111
	189,309	Pinduoduo, Inc., ADR¹		9,401,278		24,046,029
	663,624	TAL Education Group, ADR¹		33,010,270		16,743,234
	360,337	Zai Lab Limited, ADR¹		24,796,803		63,776,046

	Total China			239,883,324		326,057,675

India (1.50%)
	534,508	Bajaj Finance Limited⁶		33,760,009		43,353,281

Indonesia (0.30%)
	31,632	Sea Ltd., ADR¹		7,379,405		8,686,147

Israel (6.51%)
	326,882	Fiverr International Ltd.¹		7,503,852		79,265,616
	551,889	ION Acquisition Corp. 2 Limited¹		5,518,890		5,568,560
	36,656	monday.com Ltd.¹		5,681,680		8,195,915
	1,326,490	Taboola.com Ltd. (formerly, ION Acquisition Corp. 1 Limited)^1,2,7		13,264,900		13,238,370
	1,143,741	Taboola.com Ltd.¹		11,020,310		11,837,720
	242,889	Wix.com Ltd.¹		43,240,533		70,505,819

	Total Israel			86,230,165		188,612,000

Korea, Republic of (0.94%)
	654,000	Coupang, Inc., Cl A¹		22,890,000		27,350,280

Mexico (0.33%)
	996,069	DD3 Acquisition Corp. II^1,2,3,7		9,115,057		9,462,655
	8,652	DD3 Acquisition Corp. II Private Units^1,2,3,7		86,516		86,607

	Total Mexico			9,201,573		9,549,262

Netherlands (4.76%)
	16,186	Adyen N.V., 144A^1,6		16,437,273		39,693,404
	238,698	argenx SE, ADR¹		45,917,552		71,864,807
	38,227	ASML Holding N.V.⁶		8,394,703		26,388,835

	Total Netherlands			70,749,528		137,947,046

Poland (0.50%)
	62,873	Allegro.eu SA, 144A¹		805,513		1,082,016
	668,821	InPost SA¹		13,261,506		13,423,242

	Total Poland			14,067,019		14,505,258

United Kingdom (2.85%)
	726,800	Endava plc, ADR¹		31,977,783		82,404,584


Shares			Cost		Value
Common Stocks (continued)
United States (53.08%)
	296,371	10X Genomics, Inc., Cl A¹	$	26,654,003	$	58,035,369
	639,858	Acceleron Pharma, Inc.¹		53,505,388		80,295,780
	3,651	Airbnb, Inc., Cl A¹		248,268		559,114
	62,964	Alphabet, Inc., Cl C¹		98,418,779		157,807,933
	38,418	Amazon.com, Inc.¹		91,152,664		132,164,067
	402,314	Arrowhead Pharmaceuticals, Inc.¹		27,471,371		33,319,646
	137,887	Bill.Com Holdings, Inc.¹		5,238,091		25,258,141
	461,820	BridgeBio Pharma, Inc.¹		28,867,909		28,152,547
	371,841	Cloudflare, Inc., Cl A¹		9,123,087		39,355,651
	236,309	Crowdstrike Holdings, Inc., Cl A¹		20,825,845		59,386,815
	214,501	Datadog, Inc., Cl A¹		10,250,761		22,325,264
	933,945	Dynatrace, Inc.¹		33,781,139		54,561,067
	171,386	EPAM Systems, Inc.¹		40,897,771		87,571,391
	321,312	Facebook, Inc., Cl A¹		70,543,701		111,723,396
	327,879	Guardant Health, Inc.¹		25,308,759		40,719,293
	138,687	Illumina, Inc.¹		44,958,886		65,628,075
	923,813	MaxCyte, Inc.¹		10,715,379		11,475,636
	8,586	nCino, Inc.¹		266,166		514,473
	58,333	Okta, Inc.¹		6,160,802		14,272,918
	1,953,501	Opendoor Technologies, Inc.¹		19,535,010		34,635,573
	258,892	RingCentral, Inc., Cl A¹		70,464,733		75,228,837
	1,493,774	Sarissa Capital Acquisition Corp.^1,3		14,937,740		15,565,125
	422,406	Schrödinger, Inc.¹		15,544,854		31,938,118
	166,087	Snowflake, Inc., Cl A¹		21,425,516		40,159,837
	3,960,396	SoFi Technologies, Inc.		39,603,960		75,920,791
	190,027	Twilio, Inc., Cl A¹		32,336,272		74,901,042
	189,872	Veeva Systems, Inc., Cl A¹		34,015,516		59,040,698
	1,000,838	ZoomInfo Technologies Inc., Cl A¹		32,829,689		52,213,719
	123,983	Zscaler, Inc.¹		8,588,945		26,787,767
	686,999	Zymergen, Inc.¹		21,296,969		27,486,830

	Total United States			914,967,973		1,537,004,913

Uruguay (1.47%)
	807,566	Dlocal Ltd., Cl A¹		17,807,000		42,421,442

	Total Common Stocks			1,617,804,772		2,710,853,187


Private Common Stocks (0.32%)
United States (0.32%)
	18,197	Space Exploration Technologies Corp., Cl A^1,2,7		7,642,558		7,247,319
	5,613	Space Exploration Technologies Corp., Cl C^1,2,7		2,357,404		2,235,490

	Total Private Common Stocks			9,999,962		9,482,809


Private Convertible Preferred Stocks (2.43%)
India (0.99%)
	9,201	Think & Learn Private Limited, Series F^1,2,7		29,867,591		28,628,352

United States (1.44%)
	219,321	Farmers Business Network, Inc., Series F^1,2,7		7,250,006		9,371,586
	69,926	Resident Home, Inc. Series B1^1,2,7		4,999,968		4,593,439
	484,183	Rivian Automotive, Inc., Series E ^1,2,7		7,499,995		17,498,374
	176,391	Rivian Automotive, Inc., Series F^1,2,7		6,500,008		6,448,855
	100,775	Zymergen, Inc., Series D^1,2,7		2,249,993		3,775,031

	Total United States			28,499,970		41,687,285

	Total Private Convertible Preferred Stocks			58,367,561		70,315,637


32		See Notes to Financial Statements.


June 30, 2021		Baron Global Advantage Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021

Shares

Cost

Value

Private Preferred Stocks (0.42%)

United States (0.42%)

461,004

GM Cruise Holdings, Cl G^1,2,7

12,147,455

12,267,316

Warrants (0.05%)

Israel (0.02%)

228,748

Taboola.com Ltd.
Exp 10/5/2027¹

417,099

709,119

Mexico (0.03%)

498,034

DD3 Acquisition Corp. II,
Exp 12/10/2027^1,2,3,7

845,632

727,129

Total Warrants

1,262,731

1,436,248

Principal Amount

Short Term Investments (2.87%)

$82,971,185

Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $82,971,185; (Fully collateralized by $84,577,800 U.S. Treasury Note, 1.25% due 6/30/2028 Market value - $84,630,661)⁶

82,971,185

Total Investments (99.71%)

1,782,553,666

2,887,326,382

Cash and Other Assets Less Liabilities (0.29%)⁵

8,278,585

Net Assets

2,895,604,967

Retail Shares (Equivalent to $56.33 per share
based on 17,239,459 shares outstanding)

971,173,756

Institutional Shares (Equivalent to $57.41 per share
based on 33,189,649 shares outstanding)

1,905,366,073

R6 Shares (Equivalent to $57.44 per share
based on 331,908 shares outstanding)

19,065,138

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	At June 30, 2021, the market value of restricted and fair valued securities amounted to $115,580,523 or 3.99% of net assets. These securities are not deemed liquid. See Note 6 regarding Restricted Securities.

³	See Note 10 regarding “Affiliated” companies.

⁴	All or a portion of these securities are segregated for unfunded commitments. Total value of securities segregated is $31,975,980.

⁵	Includes net unrealized appreciation of $430,146 on unfunded commitments with special purpose acquisition companies to purchase when-issued private investments in public entities.

⁶	Level 2 security. See Note 7 regarding Fair Value Measurements.

⁷	Level 3 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


Summary of Investments by Sector as of June 30, 2021	Percentage of Net Assets

Information Technology		34.8	%

Consumer Discretionary		21.9

Health Care		18.8

Communication Services		12.3

Financials		4.1

Materials		1.4

Industrials		1.2

Real Estate		1.2

Special Purpose Acquisition Company		1.1

Cash and Cash Equivalents*		3.2
		100.0	%

*	Includes short term investments.


See Notes to Financial Statements.		33


Baron Real Estate Income Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (97.17%)
Consumer Discretionary (10.16%)
		Casinos & Gaming (7.89%)
	19,575	Las Vegas Sands Corp.¹	$	1,035,923	$	1,031,407
	47,672	Melco Resorts & Entertainment Ltd., ADR^1,2		810,495		789,925
	15,731	Penn National Gaming, Inc.¹		959,526		1,203,264
	50,382	Red Rock Resorts, Inc., Cl A¹		1,098,359		2,141,235
	5,230	Wynn Resorts Ltd.¹		508,667		639,629

				4,412,970		5,805,460

		Hotels, Resorts & Cruise Lines (2.27%)
	28,128	Travel + Leisure Co.		1,547,655		1,672,209

	Total Consumer Discretionary			5,960,625		7,477,669

Information Technology (2.52%)
		Internet Services & Infrastructure (2.52%)
	23,673	GDS Holdings Limited, ADR^1,2		1,781,269		1,858,094

Real Estate (79.33%)
		Diversified REITs (4.38%)
	29,590	American Assets Trust, Inc.		877,020		1,103,411
	234,779	DigitalBridge Group, Inc. (formerly, Colony Capital, Inc.)¹		1,160,186		1,854,754
	7,750	STORE Capital Corp.		210,231		267,453

				2,247,437		3,225,618
		Health Care REITs (1.46%)
	12,901	Welltower, Inc.		903,427		1,072,073

		Hotel & Resort REITs (10.94%)
	121,574	Host Hotels & Resorts, Inc.¹		2,019,675		2,077,700
	51,552	MGM Growth Properties LLC, Cl A		1,685,560		1,887,834
	89,256	Park Hotels & Resorts, Inc.¹		1,851,719		1,839,566
	95,355	Pebblebrook Hotel Trust		1,903,508		2,245,610

				7,460,462		8,050,710

		Industrial REITs (6.94%)
	17,687	Duke Realty Corp.		687,219		837,480
	21,678	Prologis, Inc.		2,103,191		2,591,171
	24,298	Rexford Industrial Realty, Inc.		1,163,762		1,383,771
	4,543	Terreno Realty Corp.		255,832		293,114

				4,210,004		5,105,536

		Office REITs (10.49%)
	3,320	Boston Properties, Inc.		312,344		380,439
	59,095	Douglas Emmett, Inc.		1,820,695		1,986,774
	52,844	JBG SMITH Properties		1,698,383		1,665,114
	107,750	Paramount Group, Inc.		1,099,408		1,085,043
	55,688	Vornado Realty Trust		2,431,635		2,598,959

				7,362,465		7,716,329

		Real Estate Operating Companies (1.62%)
	59,809	Kennedy-Wilson Holdings, Inc.		1,084,529		1,188,405

		Residential REITs (14.86%)
	55,475	American Homes 4 Rent, Cl A		1,833,381		2,155,204
	23,220	Equity LifeStyle Properties, Inc.		1,433,447		1,725,478
	14,602	Equity Residential		867,370		1,124,354
	112,885	Invitation Homes, Inc.		3,768,610		4,209,481
	10,015	Sun Communities, Inc.		1,481,143		1,716,571

				9,383,951		10,931,088

		Retail REITs (3.72%)
	20,960	Simon Property Group, Inc.		2,182,966		2,734,861


Shares			Cost		Value
Common Stocks (continued)
Real Estate (continued)
		Specialized REITs (24.92%)
	10,107	Alexandria Real Estate Equities, Inc.³	$	1,717,719	$	1,838,868
	13,857	American Tower Corp.		3,235,053		3,743,330
	34,696	Americold Realty Trust³		1,200,178		1,313,244
	19,693	CoreSite Realty Corp.		2,468,663		2,650,678
	7,165	Crown Castle International Corp.		1,101,215		1,397,891
	3,322	Equinix, Inc.		2,222,030		2,666,237
	35,118	Gaming and Leisure Properties, Inc.		1,514,096		1,627,017
	7,714	Public Storage		1,989,944		2,319,523
	2,442	SBA Communications Corp.		680,546		778,265

				16,129,444		18,335,053

	Total Real Estate			50,964,685		58,359,673

Special Purpose Acquisition Company (1.58%)
	94,224	Fifth Wall Acquisition Corp. I, Cl A¹		961,740		1,159,897

Utilities (3.58%)
		Multi-Utilities (3.58%)
	47,371	Brookfield Infrastructure Partners L.P.²		2,409,162		2,631,459

	Total Common Stocks			62,077,481		71,486,792



Principal Amount
Short Term Investments (2.66%)
	$1,954,026	Repurchase Agreement with Fixed Income Clearing Corp., dated 6/30/2021, 0.00% due 7/1/2021; Proceeds at maturity - $1,954,026; (Fully collateralized by $1,991,900 U.S. Treasury Note, 1.25% due 6/30/2028 Market value - $1,993,145)⁴		1,954,026		1,954,026

	Total Investments (99.83%)		$	64,031,507		73,440,818

	Cash and Other Assets Less Liabilities (0.17%)					126,526

	Net Assets				$	73,567,344

	Retail Shares (Equivalent to $16.31 per share based on 783,880 shares outstanding)				$	12,784,978

	Institutional Shares (Equivalent to $16.42 per share based on 3,659,625 shares outstanding)				$	60,098,883

	R6 Shares (Equivalent to $16.41 per share based on 41,655 shares outstanding)				$	683,483

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	The Adviser has reclassified/classified certain securities in or out of this sub-industry. Such reclassifications/classifications are not supported by S&P or MSCI (unaudited).

⁴	Level 2 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

All securities are Level 1, unless otherwise noted.


34		See Notes to Financial Statements.


June 30, 2021		Baron Health Care Fund

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (91.67%)
Health Care (88.98%)
		Biotechnology (22.66%)
	54,025	Acceleron Pharma, Inc.¹	$	5,943,074	$	6,779,597
	21,378	argenx SE, ADR^1,2		5,428,328		6,436,275
	42,253	Arrowhead Pharmaceuticals, Inc.¹		2,456,933		3,499,393
	15,117	Beam Therapeutics, Inc.¹		1,412,925		1,945,709
	10,175	BioNTech SE, ADR^1,2		1,072,509		2,277,979
	28,164	BridgeBio Pharma, Inc.¹		1,271,540		1,716,877
	29,200	Denali Therapeutics, Inc.¹		2,105,148		2,290,448
	34,762	Dicerna Pharmaceuticals, Inc.¹		821,180		1,297,318
	81,414	Genmab A/S, ADR^1,2		3,131,661		3,324,134
	10,032	Moderna, Inc.¹		1,314,758		2,357,319
	44,857	Recursion Pharmaceuticals, Inc., Cl A¹		807,426		1,637,281
	16,500	Twist Bioscience Corp.¹		1,871,908		2,198,625
	19,036	Zai Lab Limited, ADR^1,2		2,065,700		3,369,182

				29,703,090		39,130,137

		Health Care Equipment (20.82%)
	24,262	Abbott Laboratories		2,250,311		2,812,694
	22,500	Butterfly Network, Inc.¹		225,000		325,800
	22,191	CryoPort, Inc.¹		764,574		1,400,252
	4,147	DexCom, Inc.¹		1,251,833		1,770,769
	26,116	Eargo, Inc.¹		950,321		1,042,289
	45,351	Edwards Lifesciences Corp.¹		3,711,720		4,697,003
	3,895	IDEXX Laboratories, Inc.¹		1,598,485		2,459,887
	30,028	Inari Medical, Inc.¹		2,401,123		2,801,012
	12,035	Inspire Medical Systems, Inc.^1,3		1,768,419		2,325,884
	12,115	Insulet Corp.¹		2,791,858		3,325,689
	3,411	Intuitive Surgical, Inc.¹		2,293,360		3,136,892
	1,387,480	Opsens, Inc. (Canada)^1,2		2,019,084		2,540,803
	12,500	Shockwave Medical, Inc.¹		918,119		2,371,625
	24,662	Silk Road Medical, Inc.^1,3		1,118,684		1,180,323
	9,349	Teleflex, Inc.		3,539,948		3,756,335

				27,602,839		35,947,257

		Health Care Services (0.95%)
	6,900	Cigna Corp.		1,642,559		1,635,783

		Health Care Supplies (3.07%)
	21,100	Establishment Labs Holdings, Inc.^1,2		1,652,035		1,842,874
	9,634	West Pharmaceutical Services, Inc.		2,518,660		3,459,569

				4,170,695		5,302,443

		Health Care Technology (2.22%)
	6,738	Certara, Inc.¹		154,974		190,887
	31,519	Schrödinger, Inc.¹		1,548,832		2,383,152
	4,060	Veeva Systems, Inc., Cl A¹		945,478		1,262,457

				2,649,284		3,836,496

		Life Sciences Tools & Services (21.53%)
	8,740	10X Genomics, Inc., Cl A¹		983,351		1,711,467
	15,730	Bio-Techne Corporation		5,477,260		7,082,590
	27,754	Guardant Health, Inc.^1,3		3,198,527		3,446,769
	43,223	ICON plc^1,2		8,456,964		8,934,626
	2,837	Illumina, Inc.¹		848,377		1,342,497
	171,654	MaxCyte, Inc. (United Kingdom)^1,2,3		1,812,362		2,132,292
	3,110	Mettler-Toledo International, Inc.¹		3,304,433		4,308,407
	67,322	Olink Holding AB, ADR^1,2		1,838,639		2,317,223
	6,020	Seer, Inc.¹		114,380		197,336
	11,299	Thermo Fisher Scientific, Inc.		4,972,509		5,700,007

				31,006,802		37,173,214

		Managed Health Care (11.03%)
	27,000	HealthEquity, Inc.¹		2,104,809		2,172,960
	14,550	Humana, Inc.		5,834,070		6,441,576
	26,072	UnitedHealth Group, Incorporated		8,609,313		10,440,272

				16,548,192		19,054,808

Shares

Cost

Value

Common Stocks (continued)

Health Care (continued)

Pharmaceuticals (6.70%)

71,222

Dechra Pharmaceuticals PLC
(United Kingdom)²

3,335,995

4,305,385

13,592

Eli Lilly & Co.

2,826,035

3,119,636

22,228

Zoetis, Inc.

3,487,503

4,142,410

9,649,533

11,567,431

Total Health Care

122,972,994

153,647,569

Materials (0.92%)

Commodity Chemicals (0.92%)

39,698

Zymergen, Inc.¹

1,223,843

1,588,317

Real Estate (1.77%)

Specialized REITs (1.77%)

16,829

Alexandria Real Estate Equities, Inc.³

2,773,868

3,061,868

Total Common Stocks

126,970,705

158,297,754

Principal Amount

Short Term Investments (8.93%)

$15,423,432

Repurchase Agreement with
Fixed Income Clearing Corp.,
dated 6/30/2021, 0.00%
due 7/1/2021; Proceeds at
maturity - $15,423,432;
(Fully collateralized by
$15,722,100 U.S. Treasury Note,
1.25% due 6/30/2028
Market value - $15,731,926)⁴

15,423,432

Total Investments (100.60%)

142,394,137

173,721,186

Liabilities Less Cash and Other Assets (-0.60%)

(1,043,214

)

Net Assets

172,677,972

Retail Shares (Equivalent to $20.99 per share
based on 2,241,708 shares outstanding)

47,052,167

Institutional Shares (Equivalent to $21.16 per share
based on 5,657,874 shares outstanding)

119,717,740

R6 Shares (Equivalent to $21.15 per share
based on 279,311 shares outstanding)

5,908,065

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	The Adviser has reclassified/classified certain securities in or out of this sub-industry. Such reclassifications/classifications are not supported by S&P or MSCI (unaudited).

⁴	Level 2 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

All securities are Level 1, unless otherwise noted.


See Notes to Financial Statements.		35


Baron FinTech Fund		June 30, 2021

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Common Stocks (94.98%)
Communication Services (2.16%)
		Interactive Media & Services (2.16%)
	7,500	Zillow Group, Inc., Cl C¹	$	956,220	$	916,650
	8,000	ZoomInfo Technologies Inc., Cl A¹		279,630		417,360

	Total Communication Services			1,235,850		1,334,010


Consumer Discretionary (3.69%)
		Internet & Direct Marketing Retail (3.69%)
	3,200	Alibaba Group Holding Limited, ADR^1,2		778,385		725,696
	1,000	MercadoLibre, Inc.¹		1,426,843		1,557,790

	Total Consumer Discretionary			2,205,228		2,283,486

Financials (22.48%)
		Asset Management & Custody Banks (2.48%)
	1,750	BlackRock, Inc.		1,371,261		1,531,197

		Consumer Finance (1.53%)
	49,505	SoFi Technologies, Inc.¹		495,050		949,011

		Diversified Banks (2.95%)
	30,000	Banco Inter SA (Brazil)²		387,383		469,199
	8,000	TCS Group Holding PLC, GDR²		471,203		700,000
	7,500	TCS Group Holding PLC, GDR^2,5		574,270		656,575

				1,432,856		1,825,774

		Financial Exchanges & Data (12.73%)
	2,000	CME Group, Inc.		395,044		425,360
	3,000	London Stock Exchange Group plc (United Kingdom)^2,5		336,035		331,531
	1,600	MarketAxess Holdings, Inc.		750,037		741,744
	4,300	Moody’s Corp.		1,216,563		1,558,191
	3,300	MSCI, Inc.		1,202,342		1,759,164
	5,600	S&P Global, Inc.		1,885,140		2,298,520
	9,000	Tradeweb Markets, Inc., Cl A		668,211		761,040

				6,453,372		7,875,550

		Insurance Brokers (0.78%)
	18,000	BRP Group, Inc., Cl A¹		522,547		479,700

		Investment Banking & Brokerage (1.45%)
	11,000	Houlihan Lokey, Inc.		706,990		899,690

		Property & Casualty Insurance (0.56%)
	2,100	Kinsale Capital Group, Inc.		271,854		346,017

	Total Financials			11,253,930		13,906,939

Industrials (7.89%)
		Research & Consulting Services (7.89%)
	14,000	CoStar Group, Inc.¹		1,153,265		1,159,480
	13,000	IHS Markit Ltd.²		1,130,402		1,464,580
	15,000	TransUnion		1,396,798		1,647,150
	3,500	Verisk Analytics, Inc.		618,393		611,520

	Total Industrials			4,298,858		4,882,730


Shares			Cost		Value
Common Stocks (continued)
Information Technology (58.76%)
		Application Software (11.59%)
	2,664	Alkami Technology, Inc.¹	$	79,920	$	95,025
	4,300	Bill.Com Holdings, Inc.¹		472,774		787,674
	3,600	Ceridian HCM Holding, Inc.¹		328,451		345,312
	5,500	Duck Creek Technologies, Inc.¹		148,500		239,305
	3,700	Fair Isaac Corp.¹		1,665,412		1,859,916
	11,000	Guidewire Software, Inc.¹		1,275,495		1,239,920
	5,300	Intuit, Inc.		1,775,250		2,597,901
	70	nCino, Inc.¹		2,170		4,194

				5,747,972		7,169,247
		Data Processing & Outsourced Services (33.56%)
	800	Adyen N.V., 144A (Netherlands)^1,2,5		1,193,184		1,961,864
	38,000	Dlocal Ltd., Cl A^1,2		906,023		1,996,140
	10,000	Fidelity National Information Services, Inc.		1,430,601		1,416,700
	3,300	Global Payments, Inc.		649,966		618,882
	3,500	Jack Henry & Associates, Inc.		568,980		572,285
	22,000	Marqeta, Inc.¹		594,000		617,540
	5,800	MasterCard Incorporated, Cl A		1,939,874		2,117,522
	100,000	Network International Holdings plc, 144A (United Kingdom)^1,2,5		507,940		506,654
	21,000	Nuvei Corp. (Canada)^1,2		912,606		1,732,500
	25,000	Paya Holdings, Inc., Cl A¹		281,291		275,500
	16,000	Paymentus Holdings, Inc., Cl A¹		356,901		568,000
	8,900	PayPal Holdings, Inc.^1,3		1,635,006		2,594,172
	17,000	Repay Holdings Corporation¹		320,579		408,680
	7,000	Shift4 Payments, Inc., Cl A¹		345,977		656,040
	8,800	Square, Inc., Cl A¹		1,677,472		2,145,440
	11,000	Visa, Inc., Cl A		2,294,510		2,572,020

				15,614,910		20,759,939

		Internet Services & Infrastructure (2.83%)
	1,200	Shopify, Inc., Cl A^1,2		1,376,343		1,753,176

		IT Consulting & Other Services (10.78%)
	4,600	Accenture plc, Cl A²		1,108,690		1,356,034
	22,800	Endava plc, ADR^1,2		1,358,700		2,585,064
	4,400	EPAM Systems, Inc.¹		1,259,649		2,248,224
	32,000	Grid Dynamics Holdings, Inc.¹		391,672		480,960

				4,118,711		6,670,282

	Total Information Technology			26,857,936		36,352,644

	Total Common Stocks			45,851,802		58,759,809


36		See Notes to Financial Statements.


June 30, 2021		Baron FinTech Fund

STATEMENT OF NET ASSETS (Unaudited) (Continued)

JUNE 30, 2021

Principal Amount

Cost

Value

Short Term Investments (10.25%)

$6,338,710

Repurchase Agreement with
Fixed Income Clearing Corp.,
dated 6/30/2021, 0.00%
due 7/1/2021; Proceeds at
maturity - $6,338,710;
(Fully collateralized by
$6,461,500 U.S. Treasury
Note, 1.25% due 6/30/2028
Market value - $6,465,538)⁵

6,338,710

Total Investments (105.22%)

52,190,512

65,098,519

Liabilities Less Cash and Other Assets (-5.22%)⁴

(3,231,830

)

Net Assets

61,866,689

Retail Shares (Equivalent to $16.91 per share
based on 508,945 shares outstanding)

8,605,991

Institutional Shares (Equivalent to $16.97 per share
based on 2,829,428 shares outstanding)

48,001,853

R6 Shares (Equivalent to $16.97 per share
based on 309,943 shares outstanding)

5,258,845

%	Represents percentage of net assets.

¹	Non-income producing securities.

²	Foreign corporation.

³	All or a portion of these securities are segregated for an unfunded commitment. Total value of securities segregated is $874,440.

⁴	Includes unrealized depreciation of $8,208 on an unfunded commitment with a special purpose acquisition company to purchase a when-issued private investment in a public entity.

⁵	Level 2 security. See Note 7 regarding Fair Value Measurements.

^ADR	American Depositary Receipt.

^GDR	Global Depositary Receipt.

^144A

All securities are Level 1, unless otherwise noted.


See Notes to Financial Statements.		37


Baron Select Funds		June 30, 2021

STATEMENTS OF ASSETS AND LIABILITIES (Unaudited)

JUNE 30, 2021


	Baron Partners Fund		Baron Focused Growth Fund		Baron International Growth Fund		Baron Real Estate Fund
Assets:
Investments in securities, at value*
Unaffiliated investments	$	7,448,303,222	$	656,591,951	$	689,447,368	$	1,706,763,224
“Affiliated” investments		—		—		—		34,902,555
Repurchase agreements, at value**		4,893,675		32,549,272		33,446,185		57,298,915

Total investments, at value		7,453,196,897		689,141,223		722,893,553		1,798,964,694
Foreign currency, at value†		—		—		251,664		—
Cash		110,500		—		—		111,390
Receivable for shares sold		5,041,450		458,809		1,147,436		8,229,241
Dividends and interest receivable		325,625		60,175		770,798		1,772,352
Prepaid expenses		266,972		5,343		4,690		8,472
Receivable for securities sold		—		—		—		3,043,587
Net unrealized appreciation on unfunded commitments		—		154,900		—		—
Other assets		—		—		—		—

		7,458,941,444		689,820,450		725,068,141		1,812,129,736

Liabilities:
Payable for borrowings against line of credit		561,500,000		—		—		—
Payable for shares redeemed		4,371,375		94,442		180,812		1,819,727
Distribution fees payable (Note 4)		785		447		252		696
Investment advisory fees payable (Note 4)		301		975		651		804
Due to custodian bank		—		—		—		—
Payable for securities purchased		—		—		660,907		26,782,349
Net unrealized depreciation on unfunded commitments		200,600		—		451,750		197,400
Accrued capital gains taxes		—		—		1,482,564		—
Accrued expenses and other payables		1,191,752		76,036		189,557		181,305

		567,264,813		171,900		2,966,493		28,982,281

Net Assets	$	6,891,676,631	$	689,648,550	$	722,101,648	$	1,783,147,455

Net Assets consist of:
Paid-in capital	$	724,111,095	$	193,613,832	$	472,520,283	$	1,138,277,550
Distributable earnings/(losses)		6,167,565,536		496,034,718		249,581,365		644,869,905

Net Assets	$	6,891,676,631	$	689,648,550	$	722,101,648	$	1,783,147,455

Retail Shares:
Net Assets	$	3,181,133,847	$	176,355,662	$	95,290,209	$	481,147,844
Shares Outstanding ($0.01 par value; indefinite shares authorized)		18,577,871		3,972,304		2,687,157		11,770,320

Net Asset Value and Offering Price Per Share	$	171.23	$	44.40	$	35.46	$	40.88

Institutional Shares:
Net Assets	$	3,214,676,405	$	235,067,117	$	466,326,420	$	1,274,676,697
Shares Outstanding ($0.01 par value; indefinite shares authorized)		18,210,369		5,144,669		12,916,857		30,446,209

Net Asset Value and Offering Price Per Share	$	176.53	$	45.69	$	36.10	$	41.87

R6 Shares:
Net Assets	$	495,866,379	$	278,225,771	$	160,485,019	$	27,322,914
Shares Outstanding ($0.01 par value; indefinite shares authorized)		2,809,121		6,085,577		4,447,583		652,591

Net Asset Value and Offering Price Per Share	$	176.52	$	45.72	$	36.08	$	41.87


*Investments in securities, at cost
Unaffiliated investments	$	1,878,340,462	$	208,461,773	$	452,845,364	$	1,195,194,880
“Affiliated” investments		—		—		—		28,607,896
**Repurchase agreements, at cost		4,893,675		32,549,272		33,446,185		57,298,915

Total investments, at cost	$	1,883,234,137	$	241,011,045	$	486,291,549	$	1,281,101,691


†Foreign currency, at cost:	$	—	$	—	$	252,898	$	—


38		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

STATEMENTS OF ASSETS AND LIABILITIES (Unaudited) (Continued)

JUNE 30, 2021


	Baron Emerging Markets Fund		Baron Global Advantage Fund		Baron Real Estate Income Fund		Baron Health Care Fund		Baron FinTech Fund
Assets:
Investments in securities, at value*
Unaffiliated investments	$	8,208,205,226	$	2,778,513,681	$	71,486,792	$	158,297,754	$	58,759,809
“Affiliated” investments		—		25,841,516		—		—		—
Repurchase agreements, at value**		498,116,757		82,971,185		1,954,026		15,423,432		6,338,710

Total investments, at value		8,706,321,983		2,887,326,382		73,440,818		173,721,186		65,098,519
Foreign currency, at value†		41,722,326		—		—		5,674		2,146
Cash		22,659		—		316		—		—
Receivable for shares sold		19,708,528		17,507,186		567,382		1,394,657		68,044
Dividends and interest receivable		6,926,636		—		185,135		31,187		—
Prepaid expenses		53,681		18,801		311		987		230
Receivable for securities sold		—		6,179,880		121,836		—		—
Net unrealized appreciation on unfunded commitments		2,073,174		430,146		—		—		—
Other assets		399,247		—		—		—		—

		8,777,228,234		2,911,462,395		74,315,798		175,153,691		65,168,939

Liabilities:
Payable for borrowings against line of credit		—		—		—		—		—
Payable for shares redeemed		6,167,473		1,947,871		596		27,647		—
Distribution fees payable (Note 4)		993		920		102		440		281
Investment advisory fees payable (Note 4)		66		877		108		779		262
Due to custodian bank		—		17		—		—		—
Payable for securities purchased		46,353,516		13,068,166		688,407		2,393,486		3,245,109
Net unrealized depreciation on unfunded commitments		—		—		—		—		8,208
Accrued capital gains taxes		41,247,869		569,568		—		—		—
Accrued expenses and other payables		1,924,317		270,009		59,241		53,367		48,390

		95,694,234		15,857,428		748,454		2,475,719		3,302,250

Net Assets	$	8,681,534,000	$	2,895,604,967	$	73,567,344	$	172,677,972	$	61,866,689

Net Assets consist of:
Paid-in capital	$	6,237,443,531	$	1,835,292,507	$	63,981,210	$	141,423,045	$	48,965,330
Distributable earnings/(losses)		2,444,090,469		1,060,312,460		9,586,134		31,254,927		12,901,359

Net Assets	$	8,681,534,000	$	2,895,604,967	$	73,567,344	$	172,677,972	$	61,866,689

Retail Shares:
Net Assets	$	531,333,296	$	971,173,756	$	12,784,978	$	47,052,167	$	8,605,991
Shares Outstanding ($0.01 par value; indefinite shares authorized)		26,777,111		17,239,459		783,880		2,241,708		508,945

Net Asset Value and Offering Price Per Share	$	19.84	$	56.33	$	16.31	$	20.99	$	16.91

Institutional Shares:
Net Assets	$	8,134,075,850	$	1,905,366,073	$	60,098,883	$	119,717,740	$	48,001,853
Shares Outstanding ($0.01 par value; indefinite shares authorized)		407,628,152		33,189,649		3,659,625		5,657,874		2,829,428

Net Asset Value and Offering Price Per Share	$	19.95	$	57.41	$	16.42	$	21.16	$	16.97

R6 Shares:
Net Assets	$	16,124,854	$	19,065,138	$	683,483	$	5,908,065	$	5,258,845
Shares Outstanding ($0.01 par value; indefinite shares authorized)		807,619		331,908		41,655		279,311		309,943

Net Asset Value and Offering Price Per Share	$	19.97	$	57.44	$	16.41	$	21.15	$	16.97


*Investments in securities, at cost
Unaffiliated investments	$	5,476,508,016	$	1,674,597,535	$	62,077,481	$	126,970,705	$	45,851,802
“Affiliated” investments		—		24,984,946		—		—		—
**Repurchase agreements, at cost		498,116,757		82,971,185		1,954,026		15,423,432		6,338,710

Total investments, at cost	$	5,974,624,773	$	1,782,553,666	$	64,031,507	$	142,394,137	$	52,190,512


†Foreign currency, at cost:	$	41,765,722	$	—	$	—	$	5,718	$	2,194


See Notes to Financial Statements.		39


Baron Select Funds		June 30, 2021

STATEMENTS OF OPERATIONS (Unaudited)

FOR THE SIX MONTHS ENDED JUNE 30, 2021


	Baron Partners Fund			Baron Focused Growth Fund			Baron International Growth Fund			Baron Real Estate Fund
Investment income:
Income:
Dividends — Unaffiliated investments	$	6,866,721		$	249,725		$	4,939,981		$	7,480,910
Interest		—			—			1,580			—
Foreign taxes withheld on dividends		(39,000	)		—			(386,178	)		(34,907	)

Total income		6,827,721			249,725			4,555,383			7,446,003

Expenses:
Investment advisory fees (Note 4)		34,693,344			3,443,798			2,882,429			7,217,980
Distribution fees — Retail Shares (Note 4)		4,051,101			218,534			112,479			517,057
Shareholder servicing agent fees and expenses — Retail Shares		139,890			19,250			12,032			29,120
Shareholder servicing agent fees and expenses — Institutional Shares		63,530			9,020			12,856			28,720
Shareholder servicing agent fees and expenses — R6 Shares		10,823			6,237			3,547			532
Line of credit fees		1,192,607			5,521			5,192			11,168
Reports to shareholders		223,150			16,270			35,070			114,300
Registration and filing fees		212,400			61,020			68,095			165,680
Trustee fees and expenses (Note 4)		121,679			12,006			11,135			22,890
Professional fees		101,055			26,139			20,151			34,740
Custodian and fund accounting fees		97,935			14,725			107,434			32,554
Insurance expense		31,450			3,160			2,850			5,186
Administration fees		30,319			23,017			27,978			23,470
Miscellaneous expenses		2,100			2,164			2,164			2,099

Total operating expenses		40,971,383			3,860,861			3,303,412			8,205,496

Interest expense on borrowings		1,308,309			—			—			—

Total expenses		42,279,692			3,860,861			3,303,412			8,205,496
Reimbursement of expenses by Adviser — Retail Shares (Note 4)		—			—			(18,758	)		—
Reimbursement of expenses by Adviser — Institutional Shares (Note 4)		—			—			(45,316	)		—
Reimbursement of expenses by Adviser — R6 Shares (Note 4)		—			—			(13,486	)		—

Net expenses		42,279,692			3,860,861			3,225,852			8,205,496

Net investment income (loss)		(35,451,971	)		(3,611,136	)		1,329,531			(759,493	)

Realized and unrealized gain (loss) on investments:
Net realized gain (loss) on investments sold — Unaffiliated investments		318,277,323			29,120,944			27,007,377			88,528,994
Net realized gain (loss) on investments sold — “Affiliated” investments		—			—			—			—
Net realized gain (loss) on foreign currency transactions		—			—			(35,683	)		46,609
Change in net unrealized appreciation (depreciation) of:
Investments — Unaffiliated investments		2,725,179			(10,890,635	)		41,531,619	¹		95,564,718
Investments — “Affiliated” investments		—			—			—			6,294,659
Unfunded commitments		(200,600	)		154,900			(451,750	)		(197,400	)
Foreign currency translations		—			—			(12,424	)		—

Net gain (loss) on investments		320,801,902			18,385,209			68,039,139			190,237,580

Net increase (decrease) in net assets resulting from operations	$	285,349,931		$	14,774,073		$	69,368,670		$	189,478,087

¹	Increase in accrued foreign capital gains tax of $368,267.


40		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

STATEMENTS OF OPERATIONS (Unaudited) (Continued)

FOR THE SIX MONTHS ENDED JUNE 30, 2021


	Baron Emerging Markets Fund			Baron Global Advantage Fund			Baron Real Estate Income Fund			Baron Health Care Fund			Baron FinTech Fund
Investment income:
Income:
Dividends — Unaffiliated investments	$	53,458,452		$	71,449		$	582,179		$	213,427		$	76,805
Interest		—			—			—			—			—
Foreign taxes withheld on dividends		(6,378,506	)		(10,717	)		(119	)		(64	)		—

Total income		47,079,946			60,732			582,060			213,363			76,805

Expenses:
Investment advisory fees (Note 4)		38,877,410			11,219,713			192,244			466,367			173,351
Distribution fees — Retail Shares (Note 4)		655,344			1,197,511			8,407			46,769			8,771
Shareholder servicing agent fees and expenses — Retail Shares		32,070			43,760			7,380			9,892			7,722
Shareholder servicing agent fees and expenses — Institutional Shares		114,120			47,850			5,916			6,060			5,872
Shareholder servicing agent fees and expenses — R6 Shares		341			370			14			121			99
Line of credit fees		59,105			21,403			446			978			344
Reports to shareholders		617,300			180,910			2,795			8,840			1,281
Registration and filing fees		185,140			277,318			35,836			59,373			32,361
Trustee fees and expenses (Note 4)		129,721			45,222			772			1,872			807
Professional fees		100,725			46,530			20,160			19,466			40,933
Custodian and fund accounting fees		1,186,064			63,388			8,146			6,243			5,570
Insurance expense		34,185			10,433			222			141			168
Administration fees		29,153			25,048			22,338			22,856			22,165
Miscellaneous expenses		48,811			2,787			3,180			2,163			2,162

Total operating expenses		42,069,489			13,182,243			307,856			651,141			301,606

Interest expense on borrowings		—			816			1,343			—			—

Total expenses		42,069,489			13,183,059			309,199			651,141			301,606
Reimbursement of expenses by Adviser — Retail Shares (Note 4)		—			(43,903	)		(16,781	)		(28,667	)		(20,521	)
Reimbursement of expenses by Adviser — Institutional Shares (Note 4)		—			(59,785	)		(76,459	)		(44,313	)		(58,063	)
Reimbursement of expenses by Adviser — R6 Shares (Note 4)		—			(439	)		(1,148	)		(2,843	)		(8,397	)

Net expenses		42,069,489			13,078,932			214,811			575,318			214,625

Net investment income (loss)		5,010,457			(13,018,200	)		367,249			(361,955	)		(137,820	)

Realized and unrealized gain (loss) on investments:
Net realized gain (loss) on investments sold — Unaffiliated investments		267,029,547	¹		3,146,813			329,787			(426,113	)		149,952
Net realized gain (loss) on investments sold — “Affiliated” investments		—			(1,017	)		—			—			—
Net realized gain (loss) on foreign currency transactions		(1,730,815	)		(289,054	)		682			(8,274	)		389
Change in net unrealized appreciation (depreciation) of:
Investments — Unaffiliated investments		70,497,226	²		239,711,263	³		6,966,072			15,599,545			7,305,561
Investments — “Affiliated” investments		—			(1,765,940	)		—			—			—
Unfunded commitments		2,073,174			430,146			—			—			(8,208	)
Foreign currency translations		(49,204	)		(82	)		—			195			(155	)

Net gain (loss) on investments		337,819,928			241,232,129			7,296,541			15,165,353			7,447,539

Net increase (decrease) in net assets resulting from operations	$	342,830,385		$	228,213,929		$	7,663,790		$	14,803,398		$	7,309,719

¹	Net of realized foreign capital gains tax of $562.

²	Increase in accrued foreign capital gains tax of $13,040,373.

³	Increase in accrued foreign capital gains tax of $569,568.


See Notes to Financial Statements.		41


Baron Select Funds		June 30, 2021

STATEMENTS OF CHANGES IN NET ASSETS (Unaudited)


	Baron Partners Fund						Baron Focused Growth Fund						Baron International Growth Fund
	For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020
Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	(35,451,971	)	$	(40,561,257	)	$	(3,611,136	)	$	(3,533,284	)	$	1,329,531		$	686,556
Net realized gain (loss)		318,277,323			516,827,838			29,120,944			36,239,856			26,971,694			(2,470,961	)
Change in net unrealized appreciation (depreciation)		2,524,579			3,640,857,238			(10,735,735	)		314,240,389			41,067,445			122,447,935

Increase (decrease) in net assets resulting from operations		285,349,931			4,117,123,819			14,774,073			346,946,961			69,368,670			120,663,530

Distributions to shareholders from:
Distributable earnings — Retail Shares		—			(113,598,594	)		—			(3,931,446	)		—			(14,352	)
Distributable earnings — Institutional Shares		—			(109,111,985	)		—			(6,234,860	)		—			(410,918	)
Distributable earnings — R6 Shares		—			(16,031,154	)		—			(7,346,888	)		—			(166,468	)

Decrease in net assets from distributions to shareholders		—			(238,741,733	)		—			(17,513,194	)		—			(591,738	)

Capital share transactions:
Proceeds from the sale of shares — Retail Shares		391,790,807			559,092,962			61,225,309			68,880,699			13,233,054			26,213,357
Proceeds from the sale of shares — Institutional Shares		406,169,955			697,543,901			28,746,181			36,766,653			88,966,918			128,712,041
Proceeds from the sale of shares — R6 Shares		14,440,945			6,251,191			123,398			177,187			5,235,956			121,752,721
Net asset value of shares issued in reinvestment of distributions — Retail Shares		—			110,107,728			—			3,823,378			—			14,117
Net asset value of shares issued in reinvestment of distributions — Institutional Shares		—			99,938,937			—			6,174,515			—			387,973
Net asset value of shares issues in reinvestment of distribution — R6 Shares		—			16,031,154			—			7,346,888			—			166,468
Cost of shares redeemed — Retail Shares		(556,962,351	)		(635,019,449	)		(45,016,326	)		(33,508,896	)		(12,801,958	)		(35,319,590	)
Cost of shares redeemed — Institutional Shares		(519,917,170	)		(577,436,958	)		(32,891,737	)		(18,164,168	)		(28,272,156	)		(72,170,259	)
Cost of shares redeemed — R6 Shares		(4,987,405	)		(6,621,282	)		(43,085	)		(593,258	)		(25,532,430	)		(1,181,130	)

Increase (decrease) in net assets derived from capital share transactions		(269,465,219	)		269,888,184			12,143,740			70,902,998			40,829,384			168,575,698

Net increase (decrease) in net assets		15,884,712			4,148,270,270			26,917,813			400,336,765			110,198,054			288,647,490

Net Assets:
Beginning of period		6,875,791,919			2,727,521,649			662,730,737			262,393,972			611,903,594			323,256,104

End of period	$	6,891,676,631		$	6,875,791,919		$	689,648,550		$	662,730,737		$	722,101,648		$	611,903,594

Capital share transactions — Retail Shares
Shares sold		2,264,753			5,931,103			1,338,219			2,282,722			390,925			1,026,721
Shares issued in reinvestment of distributions		—			820,300			—			104,562			—			535
Shares redeemed		(3,295,373	)		(6,747,487	)		(1,004,613	)		(1,181,125	)		(378,133	)		(1,701,129	)

Net increase (decrease)		(1,030,620	)		3,916			333,606			1,206,159			12,792			(673,873	)

Capital share transactions — Institutional Shares
Shares sold		2,291,692			7,321,769			621,699			1,348,794			2,579,286			5,263,921
Shares issued in reinvestment of distributions		—			722,357			—			164,862			—			12,924
Shares redeemed		(2,960,797	)		(5,924,627	)		(721,052	)		(688,173	)		(825,917	)		(3,097,993	)

Net increase (decrease)		(669,105	)		2,119,499			(99,353	)		825,483			1,753,369			2,178,852

Capital share transactions — R6 Shares
Shares sold		85,971			58,969			2,728			5,929			154,931			4,367,165
Shares issued in reinvestment of distributions		—			115,970			—			196,053			—			5,507
Shares redeemed		(27,902	)		(63,908	)		(938	)		(16,268	)		(739,705	)		(51,045	)

Net increase (decrease)		58,069			111,031			1,790			185,714			(584,774	)		4,321,627


42		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

STATEMENTS OF CHANGES IN NET ASSETS (Unaudited) (Continued)


	Baron Real Estate Fund						Baron Emerging Markets Fund						Baron Global Advantage Fund
	For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020
Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	(759,493	)	$	(1,330,058	)	$	5,010,457		$	(11,245,374	)	$	(13,018,200	)	$	(11,670,593	)
Net realized gain (loss)		88,575,603			86,875,385			265,298,732			(122,586,984	)		2,856,742			(17,863,779	)
Change in net unrealized appreciation (depreciation)		101,661,977			192,254,003			72,521,196			1,515,047,228			238,375,387			789,015,734

Increase (decrease) in net assets resulting from operations		189,478,087			277,799,330			342,830,385			1,381,214,870			228,213,929			759,481,362

Distributions to shareholders from:
Distributable earnings — Retail Shares		—			(18,956,421	)		—			—			—			—
Distributable earnings — Institutional Shares		—			(38,095,768	)		—			—			—			—
Distributable earnings — R6 Shares		—			(1,132,357	)		—			—			—			—

Decrease in net assets from distributions to shareholders		—			(58,184,546	)		—			—			—			—

Capital share transactions:
Proceeds from the sale of shares — Retail Shares		151,766,835			76,559,948			68,544,988			117,433,009			201,134,030	¹		734,007,575
Proceeds from the sale of shares — Institutional Shares		546,338,036			305,064,177			2,274,073,396			2,105,946,178			561,997,554	¹		947,405,989
Proceeds from the sale of shares — R6 Shares		4,646,924			1,798,452			3,337,221			4,215,704			4,497,519	¹		3,243,370
Net asset value of shares issued in reinvestment of distributions — Retail Shares		—			18,370,350			—			—			—			—
Net asset value of shares issued in reinvestment of distributions — Institutional Shares		—			33,950,936			—			—			—			—
Net asset value of shares issues in reinvestment of distribution — R6 Shares		—			1,132,357			—			—			—			—
Cost of shares redeemed — Retail Shares		(48,088,908	)		(92,585,183	)		(67,974,766	)		(375,743,958	)		(229,420,457	)		(281,103,529	)
Cost of shares redeemed — Institutional Shares		(107,464,852	)		(136,271,561	)		(687,914,633	)		(1,801,081,636	)		(276,495,861	)		(148,495,764	)
Cost of shares redeemed — R6 Shares		(733,723	)		(734,891	)		(1,803,093	)		(3,576,131	)		(1,911,138	)		(1,115,476	)

Increase (decrease) in net assets derived from capital share transactions		546,464,312			207,284,585			1,588,263,113			47,193,166			259,801,647			1,253,942,165

Net increase (decrease) in net assets		735,942,399			426,899,369			1,931,093,498			1,428,408,036			488,015,576			2,013,423,527

Net Assets:
Beginning of period		1,047,205,056			620,305,687			6,750,440,502			5,322,032,466			2,407,589,391			394,165,864

End of period	$	1,783,147,455		$	1,047,205,056		$	8,681,534,000		$	6,750,440,502		$	2,895,604,967		$	2,407,589,391

Capital share transactions — Retail Shares
Shares sold		3,851,128			2,562,678			3,465,968			8,155,284			3,682,632			19,303,851
Shares issued in reinvestment of distributions		—			570,441			—			—			—			—
Shares redeemed		(1,217,751	)		(3,428,339	)		(3,445,599	)		(26,716,751	)		(4,395,557	)		(7,439,963	)

Net increase (decrease)		2,633,377			(295,220	)		20,369			(18,561,467	)		(712,925	)		11,863,888

Capital share transactions — Institutional Shares
Shares sold		13,504,678			10,109,253			115,378,739			147,323,346			10,237,682			24,616,046
Shares issued in reinvestment of distributions		—			1,028,877			—			—			—			—
Shares redeemed		(2,642,616	)		(5,053,153	)		(34,609,075	)		(135,448,663	)		(5,196,667	)		(3,774,570	)

Net increase (decrease)		10,862,062			6,084,977			80,769,664			11,874,683			5,041,015			20,841,476

Capital share transactions — R6 Shares
Shares sold		114,700			55,801			167,520			301,153			79,293			83,000
Shares issued in reinvestment of distributions		—			34,393			—			—			—			—
Shares redeemed		(18,597	)		(27,438	)		(90,882	)		(254,199	)		(34,416	)		(28,280	)

Net increase (decrease)		96,103			62,756			76,638			46,954			44,877			54,720

¹	See Note 4f.


See Notes to Financial Statements.		43


Baron Select Funds		June 30, 2021

STATEMENTS OF CHANGES IN NET ASSETS (Unaudited) (Continued)


	Baron Real Estate Income Fund						Baron Health Care Fund						Baron FinTech Fund
	For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020			For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020¹
Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	367,249		$	163,815		$	(361,955	)	$	(119,599	)	$	(137,820	)	$	(76,110	)
Net realized gain (loss)		330,469			(29,010	)		(434,387	)		1,452,827			150,341			57,599
Change in net unrealized appreciation (depreciation)		6,966,072			1,540,261			15,599,740			12,943,885			7,297,198			5,602,515

Increase (decrease) in net assets resulting from operations		7,663,790			1,675,066			14,803,398			14,277,113			7,309,719			5,584,004

Distributions to shareholders from:
Distributable earnings — Retail Shares		(44,835	)		(17,635	)		—			(218,706	)		—			—
Distributable earnings — Institutional Shares		(244,433	)		(114,383	)		—			(268,672	)		—			—
Distributable earnings — R6 Shares		(3,341	)		(4,502	)		—			(47,650	)		—			—

Decrease in net assets from distributions to shareholders		(292,609	)		(136,520	)		—			(535,028	)		—			—

Capital share transactions:
Proceeds from the sale of shares — Retail Shares		9,939,339			1,912,222			22,453,886			20,094,347			2,362,316			6,974,228
Proceeds from the sale of shares — Institutional Shares		24,757,567			40,465,627			72,048,123			24,782,586			19,434,636			20,846,632
Proceeds from the sale of shares — R6 Shares		1,230			39,480			424,958			1,969,884			890,082			2,752,319
Net asset value of shares issued in reinvestment of distributions — Retail Shares		43,907			17,368			—			215,430			—			—
Net asset value of shares issued in reinvestment of distributions — Institutional Shares		243,378			113,638			—			268,072			—			—
Net asset value of shares issues in reinvestment of distribution — R6 Shares		3,341			4,502			—			47,649			—			—
Cost of shares redeemed — Retail Shares		(988,166	)		(827,453	)		(6,201,775	)		(4,152,506	)		(1,280,093	)		(1,776,462	)
Cost of shares redeemed — Institutional Shares		(14,870,803	)		(710,995	)		(1,191,025	)		(1,938,250	)		(937,260	)		(288,432	)
Cost of shares redeemed — R6 Shares		(3	)		(2,370	)		—			(71,517	)		(5,000	)		—

Increase (decrease) in net assets derived from capital share transactions		19,129,790			41,012,019			87,534,167			41,215,695			20,464,681			28,508,285

Net increase (decrease) in net assets		26,500,971			42,550,565			102,337,565			54,957,780			27,774,400			34,092,289

Net Assets:
Beginning of period		47,066,373			4,515,808			70,340,407			15,382,627			34,092,289			—

End of period	$	73,567,344		$	47,066,373		$	172,677,972		$	70,340,407		$	61,866,689		$	34,092,289

Capital share transactions — Retail Shares
Shares sold		636,062			160,782			1,128,950			1,325,369			156,914			605,522
Shares issued in reinvestment of distributions		2,766			1,486			—			12,657			—			—
Shares redeemed		(63,044	)		(72,766	)		(317,806	)		(296,872	)		(85,529	)		(167,962	)

Net increase (decrease)		575,784			89,502			811,144			1,041,154			71,385			437,560

Capital share transactions — Institutional Shares
Shares sold		1,574,448			2,895,052			3,671,823			1,462,806			1,264,590			1,653,709
Shares issued in reinvestment of distributions		15,339			8,609			—			15,649			—			—
Shares redeemed		(1,007,223	)		(57,219	)		(60,588	)		(132,574	)		(61,653	)		(27,218	)

Net increase (decrease)		582,564			2,846,442			3,611,235			1,345,881			1,202,937			1,626,491

Capital share transactions — R6 Shares
Shares sold		78			3,411			20,772			159,004			57,934			252,331
Shares issued in reinvestment of distributions		212			392			—			2,782			—			—
Shares redeemed		—			(222	)		—			(5,708	)		(322	)		—

Net increase (decrease)		290			3,581			20,772			156,078			57,612			252,331

¹	For the period January 2, 2020 (commencement of operations) to December 31, 2020.


44		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

STATEMENT OF CASH FLOWS (Unaudited)

FOR THE SIX MONTHS ENDED JUNE 30, 2021


	Baron Partners Fund
Increase (Decrease) in Cash:
Cash Provided (Used) from Operating Activities
Net increase in net assets resulting from operations	$	285,349,931
Adjustments to reconcile net increase (decease) in net assets resulting from operations to net cash provided (used) by operating activities:
Purchases of portfolio securities		(273,708,495	)
Proceeds from sales of portfolio securities		387,288,552
Net purchases, sales and maturities of short term investments		(4,893,675	)
Decrease in dividends and interest receivable		400,175
Decrease in prepaid expenses		264,168
Increase in accrued expenses		374,657
Increase in net unrealized depreciation on unfunded commitments		200,600
Net realized gain on investments		(318,277,323	)
Change in net unrealized appreciation of investments		(2,725,179	)

Net cash provided (used) by operating activities	$	74,273,411

Cash Provided in Financing Activities
Proceeds from shares sold		825,803,913
Payment for shares redeemed		(1,082,633,164	)
Increase in payable for borrowings against line of credit		182,500,000

Net cash provided (used) in financing activities		(74,329,251	)

Net increase in cash		(55,840	)
Cash at beginning of period		166,340

Cash at end of period		110,500

Supplemental cash flow information:
Interest paid	$	1,366,065


See Notes to Financial Statements.		45


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited)

1. ORGANIZATION

Baron Select Funds (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company established as a Delaware statutory trust on April 30, 2003, and accordingly, follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification Topic 946 Financial Services — Investment Companies. The Trust currently offers 11 series (individually, a “Fund” and collectively, the “Funds”): Baron Partners Fund, Baron Focused Growth Fund, Baron Real Estate Income Fund, Baron Health Care Fund, and Baron FinTech Fund, which are non-diversified; and Baron International Growth Fund, Baron Real Estate Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, Baron WealthBuilder Fund, and Baron New Asia Fund, which are diversified. Baron WealthBuilder Fund is presented in a separate report. Baron New Asia Fund commenced investment operations on July 30, 2021 and therefore, financial information is not included in this report. Each Fund’s investment objective is to seek capital appreciation and, for Baron Real Estate Income Fund only, current income. Baron Partners Fund may employ “leverage” by borrowing money and using it to purchase additional securities. Borrowing for investment increases both investment opportunity and investment risk. Baron International Growth Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, and Baron New Asia Fund invest their assets primarily in non-U.S. companies. Baron Real Estate Fund invests its assets primarily in U.S. and non-U.S. real estate and real estate-related companies. Baron Real Estate Income Fund invests its assets in U.S. and non-U.S. real estate income-producing securities and other real estate securities. Baron Health Care Fund invests its assets primarily in equity securities engaged in the research, development, production, sale, delivery or distribution of products and services related to the health care industry. Baron FinTech Fund invests its assets primarily in securities of companies that develop, use, or rely on innovative technologies or services, for banking, lending, capital markets, financial data analytics, insurance, payments, asset management, or wealth management.

Each Fund offers Retail Shares, Institutional Shares, and R6 Shares. Each class of shares differs only in its ongoing fees, expenses and eligibility requirements. Retail Shares are offered to all investors. Institutional Shares are for investments in the amount of $1 million or more per Fund. Institutional Shares are intended for certain financial intermediaries that offer shares of Baron Funds through fee-based platforms, retirement platforms, or other platforms. R6 Shares are for investments in the amount of $5 million or more per Fund. R6 Shares are available only to qualified 401(a) plans (including 401(k) plans, Keogh plans, profit sharing plans, money purchase pension plans, target benefit plans, defined benefit pension plans, and Taft-Hartley multi-employer pension plans), endowment funds and foundations, any state, county or city, or its instrumentality, department, authority, or agency, 457 plans, including 457(a) governmental entity plans and tax-exempt plans, accounts registered to insurance companies, trust companies and bank trust departments, investment companies, both affiliated and not affiliated with BAMCO, Inc. (the “Adviser”), and any entity that is considered a corporation for tax purposes, including corporate non-qualified deferred compensation plans of such corporations. Each class of shares has equal rights to earnings and assets, except that each class bears different expenses for distribution and shareholder servicing. Each Fund’s investment income, realized and unrealized gains or losses on investments and foreign currency, and expenses other than those attributable to a specific class are allocated to each class based on its relative net assets. Each class of shares has exclusive voting rights with respect to matters that affect just that class.

Baron Partners Fund was organized originally as a limited partnership in January 1992 under the laws of the State of Delaware. Effective as of the close of business on April 30, 2003, the predecessor partnership was reorganized into a series of the Trust. Baron Partners Fund commenced operations on April 30, 2003 with a contribution of assets and liabilities, including securities-in-kind, from the predecessor partnership.

Baron Focused Growth Fund was organized originally as a limited partnership in May 1996 under the laws of the State of Delaware. Effective as of the close of business on June 30, 2008, the predecessor partnership was reorganized into a series of the Trust. Baron Focused Growth Fund commenced operations on June 30, 2008 with a contribution of assets and liabilities, including securities-in-kind, from the predecessor partnership.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies followed by the Funds. The policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the amounts of income and expenses during the period. Actual results could differ from those estimates. Events occurring subsequent to the date of the Statements of Assets and Liabilities and through the date of issuance of the financial statements have been evaluated for adjustment to or disclosure in the financial statements.

a) Security Valuation. The Funds’ share prices or net asset values (“NAV”) are calculated as of the scheduled close of the regular trading session (usually 4 p.m. E.T. or such other time as of which the Funds’ NAVs are calculated (the “NAV Calculation Time”)) on the New York Stock Exchange (the “Exchange”) on any day the Exchange is scheduled to be open. Portfolio securities traded on any national stock exchange are valued based on the last sale price on the exchange where such shares are principally traded. For securities traded on NASDAQ, the Funds use the NASDAQ Official Closing Price. If there are no sales on a given day, the value of the security may be the average of the most recent bid and asked quotations on such exchange or the last sale price from a prior day. Where market quotations are not readily available, or, if in the Adviser’s judgment, they do not accurately reflect the fair value of a security, or an event occurs after the market close but before the Funds are priced that materially affects the value of a security, the security will be valued by the Adviser using policies and procedures approved by the Board of Trustees (the “Board”). Some of the more common reasons that may necessitate that a security be valued using “fair value” pricing may include, but are not limited to: trading of the security has been halted or suspended; or the security has not been traded for an extended period of time. The Adviser has a Fair Valuation Committee (the “Committee”) comprised of senior management representatives and the Committee reports to the Board every quarter. Factors the Committee may consider when valuing a security include whether a current price is stale, there is recent news, the security is thinly traded, transactions are infrequent or quotations are genuine. There can be no guarantee, however, that a fair valuation used by the Funds on any given day will more accurately reflect the market value of an investment than the closing price of such investment in its market.

U.S. Government obligations, money market instruments, and other debt instruments held by the Funds with a remaining maturity of 60 days or less are generally valued at amortized cost, which approximates fair value. Debt instruments having a greater remaining maturity will be valued on the basis of prices obtained from a pricing service approved by the Board or at the mean of the bid and ask prices from the dealer maintaining an active market in that security. The value of the Funds’ investments in convertible bonds/convertible preferred stocks is determined primarily by obtaining valuations from independent pricing services based on readily available bid quotations or, if quotations are not available, by methods which include various considerations such as yields or prices of securities of comparable quality, coupon, maturity and type;


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

2. SIGNIFICANT ACCOUNTING POLICIES (Continued)

indications as to values from dealers; and general market conditions. Other inputs used by an independent pricing service to value convertible bonds/convertible preferred stocks generally include underlying stock data, conversion premiums, listed bond and preferred stock prices and other market information which may include benchmark curves, trade execution data, sensitivity analysis, when available, or an estimated value calculated based on the price of the underlying common share on the valuation date adjusted for accrued and unpaid dividends. Open-end investment companies, including securities lending collateral invested in registered investment company money market funds, are valued at their NAV each day.

Non-U.S. equity securities traded on foreign securities exchanges are generally valued using an independent pricing vendor that provides daily fair value adjustment factors based on information such as local closing price, relevant general and sector indexes, currency fluctuations, and depositary receipts, as applicable. Securities valued using such adjustment factors are classified as Level 2 in the fair value hierarchy. The models of the independent pricing vendor generate an adjustment factor for each security, which is applied to the local closing price to adjust it for post-closing market movements up to the time the Funds are valued and translated into U.S. dollars. If the vendor does not provide an adjustment factor for a security, the security is valued based on its most recent local closing price and translated into U. S. dollars. The Adviser may also fair value securities in other situations, for example, when a particular foreign market is closed but the Funds are open. Other mutual funds may adjust the prices of their securities by different amounts.

b) Securities Transactions, Investment Income and Expense Allocation. Securities transactions are recorded on a trade date basis. Realized gain and loss from securities transactions are recorded on an identified cost basis for financial reporting and federal income tax purposes. Dividend income is recognized on the ex-dividend date and interest income is recognized on an accrual basis, which includes the accretion of discounts and amortization of premiums. Non-cash dividends received in the form of stock, if any, are recognized on the ex-dividend date and recorded as non-cash dividend income at fair value. Certain dividends from foreign securities will be recorded as soon as the Funds are informed of the dividend if such information is obtained subsequent to the ex-dividend date. Distributions received from certain investments held by the Funds may be comprised of dividends, realized gains and returns of capital. The Funds originally estimate the expected classification of such payments. The amounts may subsequently be reclassified upon receipt of information from the issuer. The Funds are charged for those expenses of the Trust that are directly attributable to each Fund, such as advisory and custodian fees. Expenses that are not directly attributable to a Fund are typically allocated among the Funds in proportion to their respective net assets.

c) Single Issuer. Single issuer risk is the possibility that factors specific to an issuer to which a Fund is exposed will affect the market prices of the issuer’s securities and therefore the NAV of the Fund. Due to the size of Baron Partners Fund’s and Baron Focused Growth Fund’s investments in Tesla, Inc. (“Tesla”), 41% and 32%, respectively, of these Fund’s net assets as of June 30, 2021, the NAVs of the Funds will be materially impacted by the price of Tesla stock.

d) Non-Diversified Portfolio. Certain Funds are non-diversified, which means they will likely have a greater percentage of their assets in a single issuer than a diversified fund. As a result, a non-diversified Fund will likely invest a greater percentage of its assets in fewer issuers, and the performance of those issuers may have a greater effect on the Fund’s performance compared to a diversified fund. Thus, a non-diversified Fund is more likely to experience significant fluctuations in value, exposing the Fund to a greater risk of loss in any given period than a diversified fund. Additionally, non-diversified Funds may encounter difficulty liquidating securities.

e) Industry Concentration. From time to time, market fluctuations in the value of a Fund’s investments, combined with a Fund’s non-diversified portfolio, may result in a Fund being concentrated in the securities of a single issuer or a small number of issuers, in a particular industry. As a result, this Fund will be particularly exposed to the risks of that company or industry relative to the risk exposure of investment companies holding a diversified portfolio of securities or those that seek to maintain near-index weightings in their portfolio securities. Accordingly, in those cases, a Fund will be disproportionately exposed to the market conditions, interest rates, and economic, regulatory, or financial developments that significantly affect that company or industry. For example, due to the size of Baron Partners Fund’s and Baron Focused Growth Fund’s investments in Tesla, which represent about 41% and 32%, respectively, of these Funds’ net assets as of June 30, 2021, the Funds will be more adversely impacted by negative developments affecting the automotive and energy industries, as well as governmental environmental regulations.

f) Foreign Currency Translations. Values of assets and liabilities denominated in foreign currencies are translated into U.S. dollars using the price of such currencies at the NAV Calculation Time. Purchases and sales of investments and dividend income are converted at the prevailing rate of exchange on the respective dates of such transactions. Net realized gain (loss) on foreign currency transactions includes gain (loss) arising from the fluctuation in the exchange rates between trade and settlement dates on security transactions and currency gain (loss) between the accrual and payment dates on dividends and foreign withholding taxes. The Funds do not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments and foreign currency transactions on the Statements of Operations. The Funds may invest in foreign securities and foreign currency transactions that may involve risks not associated with domestic investments as a result of the level of governmental supervision and regulation of foreign securities markets and the possibility of political or economic instability, among others.

Pursuant to U.S. federal income tax regulations, gains and losses from certain foreign currency transactions and the foreign currency portion of gains and losses realized on sales and maturities of foreign denominated debt securities are generally treated as ordinary income for U.S. federal income tax purposes.

g) Securities Lending. The Funds may lend securities to certain brokers under the terms of a master netting agreement. Upon such loans, the Funds receive collateral which is maintained by the custodian. The Funds may pay fees to the custodian for administering the securities lending program. The Funds earn interest on such collateral and earn income in the form of negotiated lenders’ fees, both of which are included in securities lending income in the Statements of Operations. Securities loaned are required to be secured at all times by collateral equal to at least 102% of the market value of the securities loaned. Risks may arise upon entering into securities lending to the extent that the value of the collateral is less than the value of the securities loaned due to the changes in the value of collateral or the loaned securities. The collateral is marked-to-market daily and settled on the next business day. The Funds may receive collateral in the form of cash or other eligible securities, such as a letter of credit issued by a U.S. bank or securities issued or guaranteed by the U.S. government. Securities purchased with cash collateral are subject to the risks inherent in investing in these securities.

The Funds did not participate in securities lending activities during the six months ended June 30, 2021.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

2. SIGNIFICANT ACCOUNTING POLICIES (Continued)

h) Repurchase Agreements. The Funds may invest in repurchase agreements, which are short term investments whereby the Funds acquire ownership of a debt security and the seller agrees to repurchase the security at a future date at a specified price. When entering into repurchase agreements, it is the Funds’ policy that their custodian take possession of the underlying collateral securities, the market value of which, at all times, equals at least 102% of the principal amount of the repurchase transaction. To the extent that any repurchase transaction exceeds one business day, the value of the collateral is marked-to-market to ensure the adequacy of the collateral. If the seller defaults and the market value of the collateral declines or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Funds may be delayed or limited. The information required to be disclosed by FASB Accounting Standards Update No. 2011-11 for the Funds’ investments in repurchase agreements at June 30, 2021, including the fair value of the repurchase agreement and the amount of collateral, can be found in each respective Fund’s Statement of Net Assets.

i) Master Limited Partnerships. The Funds may invest in master limited partnerships (“MLPs”). MLPs are limited partnerships or limited liability companies, whose partnership units or limited liability interests are listed and traded on a U.S. securities exchange, and are treated as publicly traded partnerships for federal income tax purposes. To qualify to be treated as a partnership for tax purposes, an MLP must receive at least 90% of its income from qualifying sources as set forth in Section 7704(d) of the Internal Revenue Code of 1986, as amended. These qualifying sources include interest, dividend, real property rent, gain from sale or other disposition of real property and income from activities such as the exploration, development, mining, production, processing, refining, transportation, storage and marketing of mineral or natural resources.

j) Special purpose acquisition company. The Funds may acquire an interest in a special purpose acquisition company (“SPAC”) in an initial public offering (“IPO”), via a private placement or a secondary market transaction. A SPAC is typically a publicly traded company that raises investment capital via an IPO for the purpose of acquiring the equity securities of one or more existing companies via merger, combination, acquisition, or other similar transactions. To the extent the SPAC is invested in cash or similar securities, this may negatively affect a Fund’s performance if the Fund is invested in the SPAC during such period. There is no guarantee that the SPACs will complete an acquisition or that any acquisitions that are completed will be profitable. Some SPACs may pursue acquisitions only within certain industries or regions, which may increase the volatility of their prices. These transactions will require the approval of the respective shareholders and are subject to other customary closing conditions, including the receipt of certain regulatory approvals. If these conditions are not met, the SPAC’s acquisition may not close and, to the extent a Fund had committed to participate in a private placement (i.e., PIPE transaction), the Fund will no longer be obligated to fulfill its commitment.

k) Private investment in public equity. The Funds may acquire equity securities of an issuer that are issued through a private investment in public equity (“PIPE”) transaction, including through commitments to purchase securities on a when-issued basis. A Fund will generally earmark an amount of cash or high-quality securities equal to the amount of its commitment to purchase the when-issued securities. PIPE transactions typically involve the purchase of securities directly from a publicly traded company in a private placement transaction, including securities issued by a SPAC, typically at a discount to the market price of the company’s securities. There is a risk that if the market price of the securities drops below a set threshold, the company may have to issue additional stock at a significantly reduced price, which may dilute the value of a Fund’s investment. Shares in PIPEs generally are not registered with the SEC until after a certain time period from the date the private sale is completed. This restriction can last an uncertain amount of time and may be many months. Until the public registration process is completed, securities acquired via a PIPE are restricted as to resale and a Fund cannot freely trade the securities. Generally, such restrictions cause these securities to be illiquid during this time. PIPEs may contain provisions that the issuer will pay specified financial penalties to the holder if the issuer does not publicly register the restricted equity securities within a specified period of time, but there is no assurance that the restricted equity securities will be publicly registered, or that the registration will remain in effect.

Publicly traded securities acquired via a PIPE transaction are typically valued at a discount to the market price of an issuer’s common stock and classified as Level 2. Discounts are applied due to certain trading restrictions imposed or a lack of marketability preceding the conversion to publicly traded securities. The primary inputs used in determining the discount are the length of the lock-up time period and volatility of the underlying security.

As of June 30, 2021, certain Funds had commitments to purchase when-issued securities through PIPE transactions with SPACs. The commitments are contingent upon the SPACs acquiring the securities of the target companies. Unrealized appreciation (depreciation) on these commitments is separately presented in the Statements of Assets and Liabilities as unrealized appreciation (depreciation) on unfunded commitments, and in the Statements of Operations as change in unrealized appreciation (depreciation) on unfunded commitments.

l) Federal and Foreign Income Taxes. The Trust treats each Fund as a separate entity for federal income tax purposes. Each Fund intends to meet the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute to its shareholders substantially all of its net investment income and any net realized capital gains at least annually. None of the Funds will be subject to federal or state income taxes to the extent that they qualify as regulated investment companies and substantially all of their income is distributed.

The Funds may be subject to foreign taxes on income and gains on investments that are accrued based upon the Funds’ understanding of the tax rules and regulations that exist in the countries in which the Funds invest. Foreign governments may also impose taxes or other payments on investments with respect to foreign securities. Such taxes are accrued as applicable.

m) Restricted Securities. The Funds may invest in securities that are restricted as to public sale in accordance with the Securities Act of 1933. Such assets are valued by the Adviser pursuant to policies and procedures approved by the Board.

n) Distributions to Shareholders. Income and capital gain distributions to shareholders are determined in accordance with income tax regulations which may differ from GAAP. These differences are primarily due to differing treatments for net investment loss, foreign currency gains and losses, non-deductible interest expense, reclassification of distributions, partnership basis adjustments, income from passive foreign investment companies, late-year loss deferral, post-October loss deferral, and wash sale loss deferral.


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

2. SIGNIFICANT ACCOUNTING POLICIES (Continued)

o) Commitments and Contingencies. In the normal course of business, the Funds may enter into contracts and agreements that contain a variety of representations and warranties, which provide general indemnification. The maximum exposure to the Funds under these agreements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

p) Cash and Cash Equivalents. The Funds consider all short term liquid investments with a maturity of three months or less when purchased to be cash equivalents.

3. PURCHASES AND SALES OF SECURITIES

Purchases and sales of securities, other than short term securities, for the six months ended June 30, 2021 were as follows:



Fund	Purchases		Sales
Baron Partners Fund	$	273,151,764	$	384,726,186
Baron Focused Growth Fund		86,623,236		54,485,040
Baron International Growth Fund		115,848,543		89,618,291
Baron Real Estate Fund		936,764,719		383,167,611
Baron Emerging Markets Fund		2,261,401,838		1,095,868,711
Baron Global Advantage Fund		444,880,905		219,791,694
Baron Real Estate Income Fund		40,346,559		22,388,471
Baron Health Care Fund		114,754,137		35,176,136
Baron FinTech Fund		19,034,465		496,232

4. INVESTMENT ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES

a) Investment Advisory Fees. The Adviser, a wholly owned subsidiary of Baron Capital Group, Inc. (“BCG”), serves as investment adviser to the Funds. As compensation for services rendered, the Adviser receives a fee payable monthly from Baron Partners Fund, Baron Focused Growth Fund, Baron Real Estate Fund, and Baron Emerging Markets Fund equal to 1% per annum of the average daily net assets of the respective Fund. The Adviser receives a fee payable monthly from Baron International Growth Fund, Baron Global Advantage Fund, Baron Real Estate Income Fund, Baron Health Care Fund, and Baron FinTech Fund equal to 0.88%, 0.85%, 0.75%, 0.75% and 0.80%, respectively, per annum of the average daily net assets of the respective Fund. The Adviser has contractually agreed to reduce its fee or reimburse Fund expenses to the extent required to limit the net annual operating expense ratio (excluding portfolio transaction costs, interest, dividend and extraordinary expenses), as follows:



	Annual Operating Expense Ratio Cap

Fund	Retail Shares			Institutional Shares			R6 Shares
Baron Partners Fund		1.45	%		1.20	%		1.20	%
Baron Focused Growth Fund		1.35	%		1.10	%		1.10	%
Baron International Growth Fund		1.20	%		0.95	%		0.95	%
Baron Real Estate Fund		1.35	%		1.10	%		1.10	%
Baron Emerging Markets Fund		1.50	%		1.25	%		1.25	%
Baron Global Advantage Fund		1.15	%		0.90	%		0.90	%
Baron Real Estate Income Fund		1.05	%		0.80	%		0.80	%
Baron Health Care Fund		1.10	%		0.85	%		0.85	%
Baron FinTech Fund		1.20	%		0.95	%		0.95	%

b) Distribution Fees. Baron Capital, Inc. (“BCI”), a wholly owned subsidiary of BCG, is a registered limited purpose broker-dealer and the distributor of the Funds’ shares. The Funds are authorized to pay BCI a distribution fee payable monthly pursuant to a distribution plan under Rule 12b-1 of the 1940 Act equal to 0.25% per annum of the Retail Shares’ average daily net assets of the respective Funds.

c) Trustee Fees. Certain Trustees of the Trust are interested persons (as defined by the 1940 Act) of the Trust. None of these Trustees received compensation for his or her services as a Trustee of the Trust. None of the Funds’ officers received compensation from the Funds for their services as an officer.

d) Fund Accounting and Administration Fees. The Funds have entered into an agreement with State Street Bank and Trust Company (“State Street”) to perform accounting and certain administrative services. State Street is compensated for fund accounting services based on a percentage of the Funds’ net assets, plus fixed annual fees for the administrative services.

e) Cross Trades. The Funds are permitted to purchase securities from, or sell securities to, other Funds within the Trust, the funds in Baron Investment Funds Trust and other entities advised or subadvised by the Adviser, pursuant to “Cross-Trading Procedures” adopted by the Board. These procedures have been designed to ensure that any cross-trade of securities by the respective Baron Fund from or to another fund/other entity that is or could be considered an affiliate of a Fund under certain limited


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

4. INVESTMENT ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES (Continued)

circumstances by virtue of having a common investment adviser, common officers, or common trustees complies with Rule 17a-7 under the 1940 Act. Further, as defined under these procedures, each cross-trade is effected at the current market price and with no commissions. Pursuant to these procedures, for the six months ended June 30, 2021, the Funds engaged in the following cross-trades:



	Purchases		Sales		Net Realized Gains (Losses)
Baron International Growth Fund	$	760,400	$	—	$	—
Baron Real Estate Fund		655,481		—		—
Baron Global Advantage Fund		4,305,233		—		—
Baron Health Care Fund		985,200		—		—

f) Voluntary Payment. The Adviser made a voluntary payment to Baron Global Advantage Fund in the amount of $162,286 to compensate the Fund for a loss incurred due to a pricing error. The impact of this payment increased the Fund’s total return by less than 0.01%.

5. LINE OF CREDIT

Baron Partners Fund participates in a committed syndicated line of credit agreement with State Street in the amount of $1 billion. Depending on the outstanding loan amount, a commitment fee of 0.15% or 0.25% per annum is incurred on the unused portion of the line of credit. The line of credit is used for investment purposes and expires on October 29, 2021. Baron Partners Fund may borrow up to the lesser of $1 billion or the maximum amount Baron Partners Fund may borrow under the 1940 Act, the limitations included in Baron Partners Fund’s prospectus, or any limit or restriction under any law or regulation to which Baron Partners Fund is subject or any agreement to which Baron Partners Fund is a party. Interest is charged to Baron Partners Fund, based on its borrowings, at a rate per annum equal to the higher of the Effective Federal Funds Rate or the one month LIBOR rate plus a margin of 0.85%. An upfront fee of 0.05% is incurred on the commitment amount. For the six months ended June 30, 2021, interest expense incurred on these loans amounted to $1,308,309. During the six months ended June 30, 2021, Baron Partners Fund had an average daily balance on the line of credit of $272.8 million at a weighted average interest rate of 0.97%. At June 30, 2021, Baron Partners Fund had an outstanding balance in the amount of $561,500,000.

The Funds (except Baron Partners Fund), together with the funds in Baron Investment Funds Trust, participate in a committed line of credit agreement with State Street to be used for temporary purposes, primarily for financing redemptions. Each fund may borrow up to the lesser of $200 million or the maximum amount each fund may borrow under the 1940 Act, the limitations included in each fund’s prospectus, or any limit or restriction under any law or regulation to which each fund is subject or any agreement to which each fund is a party; provided that the aggregate outstanding principal amount of all loans to any of the funds may not exceed $200 million. Interest is charged to each fund, based on its borrowings, at a rate per annum equal to the higher of the Overnight Bank Funding Rate plus 0.10% or the Overnight Federal Funds Rate plus 0.10%; plus a margin of 1.00%. An upfront fee of 0.05% is incurred on the commitment amount and a commitment fee of 0.20% per annum is incurred on the unused portion of the line of credit. Both fees are allocated to the participating funds based on their relative net assets. During the six months ended June 30, 2021, Baron Global Advantage Fund and Baron Real Estate Income Fund had borrowings under the line of credit and incurred interest expense of $816, and $1,343 respectively. For the 2 days during which there were borrowings, Baron Global Advantage Fund had an average daily balance on the line of credit of $12.5 million at a weighted average interest rate of 1.20%. For the 10 days during which there were borrowings, Baron Real Estate Income Fund had an average daily balance on the line of credit of $4.0 million at a weighted average interest rate of 1.22%.

6. RESTRICTED SECURITIES

At June 30, 2021, investments in securities included securities that are restricted and/or illiquid. Restricted securities are often purchased in private placement transactions, are not registered under the Securities Act of 1933, may have contractual restrictions on resale and are valued pursuant to the policies and procedures for fair value pricing approved by the Board. A security may be considered illiquid if it lacks a readily available market or if its valuation has not changed for a certain period of time. The Funds may receive more or less than this valuation in an actual sale and that difference could be material. At June 30, 2021, the Funds held investments in restricted and/or illiquid securities that were valued pursuant to policies and procedures for fair value pricing as follows:



	Baron Partners Fund

Name of Issuer	Acquisition Date(s)		Value
Private Common Stocks
Space Exploration Technologies Corp.		9/13/2017	$	100,305,096

Private Convertible Preferred Stocks
Northvolt AB		5/19/2021		7,305,856

Private Preferred Stocks
Space Exploration Technologies Corp.		11/15/2017-8/4/2020		220,593,389


Total Restricted Securities:			$	328,204,341

(Cost $136,093,628)^†(4.76% of Net Assets)

†	See Statements of Net Assets for cost of individual securities.


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

6. RESTRICTED SECURITIES (Continued)



	Baron Focused Growth Fund

Name of Issuer	Acquisition Date(s)		Value
Private Common Stocks
Space Exploration Technologies Corp.		9/13/2017	$	9,440,194

Private Preferred Stocks
Space Exploration Technologies Corp.		11/15/2017-8/4/2020		16,077,363


Total Restricted Securities:			$	25,517,557

(Cost $9,949,836 )^†(3.70% of Net Assets)

	Baron International Growth Fund

Name of Issuer	Acquisition Date(s)		Value
Common Stocks
Taboola.com Ltd.		4/30/2021	$	2,290,500

(Cost $2,295,090 )(0.32% of Net Assets)

	Baron Real Estate Fund

Name of Issuer	Acquisition Date(s)		Value
Common Stocks
Janus International Group, Inc.		4/30/2021	$	13,760,000

(Cost $10,000,000)(0.77% of Net Assets)

	Baron Emerging Markets Fund

Name of Issuer	Acquisition Date(s)		Value
Common Stocks
DD3 Acquisition Corp. II		12/10/2020	$	265,445

Private Common Stocks
Pine Labs PTE. Ltd.		5/17/2021		39,183,289

Private Convertible Preferred Stocks
Think & Learn Private Limited		3/31/2021		47,710,808


Total Restricted Securities:			$	87,159,542

(Cost $90,041,252)^†(1.00 % of Net Assets)

	Baron Global Advantage Fund

Name of Issuer	Acquisition Date(s)		Value
Common Stocks
DD3 Acquisition Corp. II		12/10/2020	$	9,549,262
Taboola.com Ltd.		4/30/2021		13,238,370

Private Common Stocks
Space Exploration Technologies Corp.		3/25/2021		9,482,809

Private Convertible Preferred Stocks
Farmers Business Network, Inc.		7/31/2020		9,371,586
Resident Home, Inc.		12/3/2020		4,593,439
Rivian Automotive, Inc.		7/10/2020-1/19/2021		23,947,229
Think & Learn Private Limited		3/31/2021		28,628,352
Zymergen, Inc.		7/29/2020		3,775,031

Private Preferred Stocks
GM Cruise Holdings LLC		1/19/2021		12,267,316

Warrants
DD3 Acquisition Corp. II		12/10/2020		727,129


Total Restricted Securities:			$	115,580,523

(Cost $103,827,083)^†(3.99 % of Net Assets)

†	See Statements of Net Assets for cost of individual securities.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS

Fair value is defined by GAAP as the price that the Funds would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market for the investment. GAAP provides a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable or unobservable. Observable inputs are based on market data obtained from sources independent of the Funds. Unobservable inputs are inputs that reflect the Funds’ own assumptions based on the best information available in the circumstances. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.

•

Level 1 — quoted prices in active markets for identical assets or liabilities;

•

Level 2 — prices determined using other inputs that are observable either directly, or indirectly through corroboration with observable market data (which could include quoted prices for similar assets or liabilities, interest rates, credit risk, etc.);

•

Level 3 — prices determined using unobservable inputs when quoted prices or observable inputs are unavailable, such as when there is little or no market activity for an asset or liability (unobservable inputs reflect each Fund’s own assumptions in determining the fair value of assets or liabilities and would be based on the best information available).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk or liquidity associated with investing in those securities. For example, non-U.S. securities, with markets that close hours before the Funds value their holdings, may require revised valuations to more accurately reflect their fair value. Since these values obtained from quoted prices in an active market are adjusted, such securities are reflected as Level 2.

The Funds have procedures to determine the fair value of securities and other financial instruments for which market prices are not readily available or which may not be reliably priced. Under these procedures, the Funds primarily employ a market-based approach that may use related or comparable assets or liabilities, recent transactions, market multiples, book values, and other relevant information for the investment to determine its fair value. The Funds may also use an income-based valuation approach in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on the disposition of the investments. Due to the inherent uncertainty of valuations of such investments, the fair values may differ significantly from the values that would have been used had an active market existed.

The following is a summary of the inputs used as of June 30, 2021 in valuing the Funds’ investments carried at fair value:



	Baron Partners Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	6,955,984,548	$	164,114,333	$	—		$	7,120,098,881
Private Common Stocks		—		—		100,305,096			100,305,096
Private Convertible Preferred Stocks		—		—		7,305,856			7,305,856
Private Preferred Stocks		—		—		220,593,389			220,593,389
Short Term Investments		—		4,893,675		—			4,893,675

Total Investments	$	6,955,984,548	$	169,008,008	$	328,204,341		$	7,453,196,897

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	(200,600	)	$	(200,600	)


	Baron Focused Growth Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	616,718,457	$	14,355,937	$	—		$	631,074,394
Private Common Stocks		—		—		9,440,194			9,440,194
Private Preferred Stocks		—		—		16,077,363			16,077,363
Short Term Investments		—		32,549,272		—			32,549,272

Total Investments	$	616,718,457	$	46,905,209	$	25,517,557		$	689,141,223

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	154,900		$	154,900

†	See Schedules of Investments for additional detailed categorizations.


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS (Continued)



	Baron International Growth Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	277,093,004	$	409,461,978	$	2,290,500		$	688,845,482
Warrants		175,909		—		—			175,909
Convertible Bonds		—		425,977		—			425,977
Short Term Investments		—		33,446,185		—			33,446,185

Total Investments	$	277,268,913	$	443,334,140	$	2,290,500		$	722,893,553

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	(451,750	)	$	(451,750	)


	Baron Real Estate Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	1,676,483,883	$	51,421,896	$	13,760,000		$	1,741,665,779
Short Term Investments		—		57,298,915		—			57,298,915

Total Investments	$	1,676,483,883	$	108,720,811	$	13,760,000		$	1,798,964,694

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	(197,400	)	$	(197,400	)


	Baron Emerging Markets Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	2,862,420,078	$	5,258,625,606	$	265,445		$	8,121,311,129
Private Common Stocks		—		—		39,183,289			39,183,289
Private Convertible Preferred Stocks		—		—		47,710,808			47,710,808
Short Term Investments		—		498,116,757		—			498,116,757

Total Investments	$	2,862,420,078	$	5,756,742,363	$	87,159,542		$	8,706,321,983

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	2,073,174		$	2,073,174


	Baron Global Advantage Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	2,524,652,924	$	163,412,631	$	22,787,632		$	2,710,853,187
Private Common Stocks		—		—		9,482,809			9,482,809
Private Convertible Preferred Stocks^†		—		—		70,315,637			70,315,637
Private Preferred Stocks		—		—		12,267,316			12,267,316
Warrants^†		709,119		—		727,129			1,436,248
Short Term Investments		—		82,971,185		—			82,971,185

Total Investments	$	2,525,362,043	$	246,383,816	$	115,580,523		$	2,887,326,382

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	430,146		$	430,146

†	See Schedules of Investments for additional detailed categorizations.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS (Continued)



	Baron Real Estate Income Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	71,486,792	$	—	$	—		$	71,486,792
Short Term Investments		—		1,954,026		—			1,954,026

Total Investments	$	71,486,792	$	1,954,026	$	—		$	73,440,818


	Baron Health Care Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	158,297,754	$	—	$	—		$	158,297,754
Short Term Investments		—		15,423,432		—			15,423,432

Total Investments	$	158,297,754	$	15,423,432	$	—		$	173,721,186


	Baron FinTech Fund

Description	Quoted Prices in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Unobservable Inputs (Level 3)			Total
Common Stocks^†	$	55,303,185	$	3,456,624	$	—		$	58,759,809
Short Term Investments		—		6,338,710		—			6,338,710

Total Investments	$	55,303,185	$	9,795,334	$	—		$	65,098,519

Unrealized appreciation (depreciation) on unfunded commitments	$	—	$	—	$	(8,208	)	$	(8,208	)

†	See Schedules of Investments for additional detailed categorizations.

The following is a reconciliation of investments in which unobservable inputs (Level 3) were used in determining fair value:



	Baron Partners Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)		Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales			Transfers Into Level 3		Transfers Out of Level 3		Balance as of June 30, 2021			Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Private Common Stocks
Industrials	$	68,936,929	$	—	$	—	$	31,368,167		$	—	$	—		$	—	$	—	$	100,305,096		$	31,368,167
Private Convertible Preferred Stocks
Industrials		—		—		—		(537,765	)		7,843,621		—			—		—		7,305,856			(537,765	)
Private Preferred Stocks
Industrials		151,607,760		—		—		68,985,629			—		—			—		—		220,593,389			68,985,629
Private Partnerships
Financials		197,815		—		647,600		(197,815	)		—		(647,600	)		—		—		—			—

Total	$	220,742,504	$	—	$	647,600	$	99,618,216		$	7,843,621	$	(647,600	)	$	—	$	—	$	328,204,341		$	99,816,031

Unfunded commitments	$	—	$	—	$	—	$	(200,600	)	$	—	$	—		$	—	$	—	$	(200,600	)	$	(200,600	)


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS (Continued)



	Baron Focused Growth Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)		Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales			Transfers Into Level 3		Transfers Out of Level 3			Balance as of June 30, 2021			Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Private Common Stocks
Industrials	$	6,487,985	$	—	$	—	$	2,952,209		$	—	$	—		$	—	$	—		$	9,440,194		$	2,952,209
Private Preferred Stocks
Industrials		11,049,529		—		—		5,027,834			—		—			—		—			16,077,363			5,027,834

Total	$	17,537,514	$	—	$	—	$	7,980,043		$	—	$	—		$	—	$	—		$	25,517,557		$	7,980,043

Unfunded commitments	$	—	$	—	$	—	$	154,900		$	—	$	—		$	—	$	—		$	154,900		$	154,900


	Baron International Growth Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)		Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales			Transfers Into Level 3		Transfers Out of Level 3			Balance as of June 30, 2021			Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Common Stocks
Communication Services	$	—	$	—	$	—	$	(4,590	)	$	2,295,090	$	—		$	—	$	—		$	2,290,500		$	(4,590	)
Information Technology		40,431		—		484,260		(40,431	)		—		(484,260	)		—		—			—			—

Total	$	40,431	$	—	$	484,260	$	(45,021	)	$	2,295,090	$	(484,260	)	$	—	$	—		$	2,290,500		$	(4,590	)

Unfunded commitments	$	—	$	—	$	—	$	(451,750	)	$	—	$	—		$	—	$	—		$	(451,750	)	$	(451,750	)


	Baron Real Estate Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)		Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales			Transfers Into Level 3		Transfers Out of Level 3			Balance as of June 30, 2021			Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Common Stocks
Industrials	$	—	$	—	$	—	$	3,760,000		$	10,000,000	$	—		$	—	$	—		$	13,760,000		$	3,760,000
Real Estate¹		31,679,993		—		5,409,871		4,233,945			—		(8,109,871	)		—		(33,213,938	)		—			—

Total	$	31,679,993	$	—	$	5,409,871	$	7,993,945		$	10,000,000	$	(8,109,871	)	$	—	$	(33,213,938	)	$	13,760,000		$	3,760,000

Unfunded commitments	$	—	$	—	$	—	$	(197,400	)	$	—	$	—		$	—	$	—		$	(197,400	)	$	(197,400	)

¹	Opendoor Technologies, Inc. restriction on resale was lifted on March 12, 2021.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS (Continued)



	Baron Emerging Markets Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)			Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales		Transfers Into Level 3			Transfers Out of Level 3			Balance as of June 30, 2021		Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Common Stocks
Special Purpose Acquisition Company	$	274,196	$	—	$	—		$	(8,751	)	$	—	$	—	$	—		$	—		$	265,445	$	(8,751	)
Private Common Stocks
Consumer Discretionary		—		—		—			(2,065,264	)		49,776,072		—		—			—			47,710,808		(2,065,264	)
Private Convertible Preferred Stocks
Consumer Discretionary		—		—		—			(816,711	)		40,000,000		—		—			—			39,183,289		(816,711	)
Warrants
Special Purpose Acquisition Company		3,529,767		—		(3,116	)		(3,526,651	)		—		—		—			—			—		—

Total	$	3,803,963	$	—	$	(3,116	)	$	(6,417,377	)	$	89,776,072	$	—	$	—		$	—		$	87,159,542	$	(2,890,726	)

Unfunded commitments	$	—	$	—	$	—		$	2,073,174		$	—	$	—	$	—		$	—		$	2,073,174	$	2,073,174


	Baron Global Advantage Fund

Investments in Securities	Balance as of December 31, 2020		Accrued Premiums/ Discounts		Net Realized Gain (Loss)			Change in Net Unrealized Appreciation (Depreciation)			Purchases		Sales		Transfers Into Level 3			Transfers Out of Level 3			Balance as of June 30, 2021		Change in Net Unrealized Appreciation (Depreciation) from Investments still held at June 30, 2021
Common Stocks
Communication Services	$	—	$	—	$	—		$	(26,530	)	$	13,264,900	$	—	$	—		$	—		$	13,238,370	$	(26,530	)
Real Estate¹		63,354,190		—		—			17,673,274			—		—		—			(81,027,464	)		—		—
Special Purpose Acquisition Company		89,462		—		—			(1,008,885	)		—		—		10,468,685	²		—			9,549,262		(1,008,885	)
Private Common Stocks
Industrials		—		—		—			(517,153	)		9,999,962		—		—			—			9,482,809		(517,153	)
Private Convertible Preferred Stocks
Consumer Discretionary		15,229,412		—		—			5,572,009			36,367,599		—		—			—			57,169,020		5,572,009
Materials		9,866,626		—		—			3,279,991			—		—		—			—			13,146,617		3,279,991
Private Preferred Stocks
Industrials		—		—		—			119,861			12,147,455		—		—			—			12,267,316		119,861
Warrants
Special Purpose Acquisition Company		1,151,593		—		(1,017	)		(1,269,080	)		—		—		845,633	²		—			727,129		(1,269,080	)

Total	$	89,691,283	$	—	$	(1,017	)	$	23,823,487		$	71,779,916	$	—	$	11,314,318		$	(81,027,464	)	$	115,580,523	$	6,150,213

Unfunded commitments	$	—	$	—	$	—		$	430,146		$	—	$	—	$	—		$	—		$	430,146	$	430,146

¹	Opendoor Technologies, Inc. restriction on resale was lifted on March 12, 2021.

²	DD3 Common Stocks and Warrants became restricted on June 11, 2021.


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

7. FAIR VALUE MEASUREMENTS (Continued)

Baron FinTech Fund

Investments in
Securities

Balance as of
December 31,
2020

Accrued
Premiums/
Discounts

Net
Realized
Gain
(Loss)

Change in Net
Unrealized
Appreciation
(Depreciation

Purchases

Sales

Transfers
Into
Level 3

Transfers
Out of
Level 3

Balance as of
June 30,
2021

Change in Net
Unrealized
Appreciation
(Depreciation)
from Investments
still held at
June 30, 2021

—

Unfunded commitments

—

(8,208

)

—

(8,208

)

(8,208

)

Unobservable valuation inputs developed by the Adviser for significant (greater than 1% of net assets) Level 3 investments as of June 30, 2021 were as follows:

Baron Partners Fund

Sector

Company

Fair Value as of
June 30, 2021

Valuation Technique

Unobservable Input

Weighted Average
used on
June 30, 2021

Range used on
June 30, 2021

Private Common Stocks and Private Preferred Stocks:

Industrials

Space Exploration
Technologies Corp.

$320,898,485*

Combination of
recent transaction,
current value via
comparable companies,
and option-pricing
methods

Change in the composite
equity index of comparable
companies

(0.21)%

(5.10)% - 1.61%

Discount for lack of
marketability

4.01%

Estimated volatility of the
returns of equity⁽¹⁾

35.11%

20.28% - 44.57%

Baron Focused Growth Fund

Sector

Company

Fair Value as of
June 30, 2021

Valuation Technique

Unobservable Input

Weighted Average
used on
June 30, 2021

Range used on
June 30, 2021

Private Common Stocks and Private Preferred Stocks:

Industrials

Space Exploration
Technologies Corp.

$25,517,557*

Combination of recent
transaction, current
value via comparable
companies, and option-
pricing methods

Change in the composite
equity index of comparable
companies

(0.21)%

(5.10)% - 1.61%

Discount for lack of
marketability

4.01%

Estimated volatility of the
returns of equity⁽¹⁾

35.11%

20.28% - 44.57%

⁽¹⁾	The volatility was calculated as a simple-average of the volatilities of the individual comparable companies.

*	The fair value as of June 30, 2021 includes a third party transaction price.

8. INCOME TAXES AND DISTRIBUTIONS TO SHAREHOLDERS

Federal income tax regulations differ from GAAP. Therefore, distributions determined in accordance with tax regulations may differ in amount or character from net investment income and net realized gain for financial reporting purposes. Net investment income (loss) and net realized and unrealized gain (loss) differ for financial statement and tax purposes due to differing treatments of net investment loss, foreign currency gains and losses, non-deductible interest expense, reclassification of distributions, partnership basis adjustments, income from passive foreign investment companies, late year loss deferral, post-October loss deferral and wash sale loss deferral. Financial reporting records are adjusted for permanent book/tax differences to reflect tax character. Financial records are not adjusted for temporary differences.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

8. INCOME TAXES AND DISTRIBUTIONS TO SHAREHOLDERS (Continued)

As of June 30, 2021, the components of net assets on a tax basis were as follows:



	Baron Partners Fund			Baron Focused Growth Fund			Baron International Growth Fund			Baron Real Estate Fund			Baron Emerging Markets Fund
Cost of investments	$	1,883,234,137		$	241,011,045		$	486,291,549		$	1,281,101,691		$	5,974,624,773

Gross tax unrealized appreciation		5,584,799,202			450,752,379			243,462,659			521,239,512			2,830,541,905
Gross tax unrealized depreciation		(14,836,442	)		(2,622,201	)		(6,860,655	)		(3,376,509	)		(98,844,695	)

Net tax unrealized appreciation (depreciation)		5,569,962,760			448,130,178			236,602,004			517,863,003			2,731,697,210
Net tax unrealized currency appreciation (depreciation)		—			—			(1,483,466	)		—			(41,305,721	)
Net unrealized appreciation (depreciation) on unfunded commitments		(200,600	)		154,900			(451,750	)		(197,400	)		2,073,174
Undistributed (accumulated) ordinary income (loss)		(36,180,208	)		(3,611,136	)		1,394,870			(759,492	)		5,020,223
Undistributed (accumulated) net realized gain (loss)		633,983,584			51,360,776			13,519,707			127,963,794			(253,394,417	)
Paid-in capital		724,111,095			193,613,832			472,520,283			1,138,277,550			6,237,443,531

Net Assets	$	6,891,676,631		$	689,648,550		$	722,101,648		$	1,783,147,455		$	8,681,534,000



	Baron Global Advantage Fund			Baron Real Estate Income Fund			Baron Health Care Fund			Baron FinTech Fund
Cost of investments	$	1,782,553,666		$	64,031,507		$	142,394,137		$	52,190,512

Gross tax unrealized appreciation		1,130,682,243			9,494,185			31,333,825			13,150,468
Gross tax unrealized depreciation		(25,909,527	)		(84,874	)		(6,776	)		(242,461	)

Net tax unrealized appreciation (depreciation)		1,104,772,716			9,409,311			31,327,049			12,908,007
Net tax unrealized currency appreciation (depreciation)		(569,649	)		—			195			(86	)
Net unrealized appreciation (depreciation) on unfunded commitments		430,146			—			—			(8,208	)
Undistributed (accumulated) ordinary income (loss)		(16,368,134	)		104,774			(437,153	)		(137,820	)
Undistributed (accumulated) net realized gain (loss)		(27,952,619	)		72,049			364,836			139,466
Paid-in capital		1,835,292,507			63,981,210			141,423,045			48,965,330

Net Assets	$	2,895,604,967		$	73,567,344		$	172,677,972		$	61,866,689

As of December 31, 2020, the Funds had capital loss carryforwards expiring as follows:



	Baron Partners Fund		Baron Focused Growth Fund	Baron International Growth Fund		Baron Real Estate Fund		Baron Emerging Markets Fund
Short term:
No expiration date	$	—	$	$	11,630,957	$	—	$	166,852,641

Long term:
No expiration date	$	—	$	$	—	$	—	$	312,078,849



	Baron Global Advantage Fund		Baron Real Estate Income Fund			Baron Health Care Fund		Baron FinTech Fund
Short term:
No expiration date	$	30,576,285	$	228,185	¹	$	—	$	—

Long term:
No expiration date	$	382,453	$	—		$	—	$	—

¹	Future utilization of losses may be subject to limitations under current tax laws.


June 30, 2021		Baron Select Funds

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

8. INCOME TAXES AND DISTRIBUTIONS TO SHAREHOLDERS (Continued)

The tax character of distributions paid during the six months ended June 30, 2021 and for the year ended December 31, 2020 was as follows:



	Six Months Ended June 30, 2021				Year Ended December 31, 2020

Fund	Ordinary¹		Long Term Capital Gain		Ordinary¹		Long Term Capital Gain
Baron Partners Fund	$	—	$	—	$	—	$	238,741,733
Baron Focused Growth Fund		—		—		—		17,513,194
Baron International Growth Fund		—		—		591,738		—
Baron Real Estate Fund		—		—		8,814,350		49,370,196
Baron Emerging Markets Fund		—		—		—		—
Baron Global Advantage Fund		—		—		—		—
Baron Real Estate Income Fund		292,609		—		136,520		—
Baron Health Care Fund		—		—		535,028		—
Baron FinTech Fund		—		—		—		—

¹	For tax purposes, short-term capital gains are considered ordinary income distributions.

The Funds follow the provisions of FASB Codification Section 740 (“ASC Section 740”) “Accounting for Uncertainty in Income Taxes” which clarifies the accounting for uncertainty in tax positions taken or expected to be taken on a tax return. ASC Section 740 sets forth a threshold for financial statement recognition, measurement and disclosure of tax positions taken or expected to be taken on a tax return. The Funds are required to recognize the tax effects of certain tax positions under a “more likely than not” standard, that based on their technical merits, have more than 50% likelihood of being sustained upon examination. Management has analyzed the tax positions taken on the Funds’ federal income tax returns for all open years (current and prior three years), and has concluded that no provision for federal income tax is required in the Funds’ financial statements. At June 30, 2021, the Funds did not have any uncertain tax benefits that require recognition, de-recognition or disclosure. The Funds’ federal, state and local income and federal excise tax returns for which the applicable statutes of limitations have not expired (current and prior three years) are subject to examination by the Internal Revenue Service and state departments of revenue.

9. OWNERSHIP CONCENTRATION

As of June 30, 2021, the officers, trustees and portfolio managers owned, directly or indirectly, 64.59% of Baron Focused Growth Fund, 10.07% of Baron Health Care Fund, and 19.52% of Baron FinTech Fund. As a result of their ownership, these investors may be able to materially affect the outcome of matters presented to Baron Focused Growth Fund, Baron Health Care Fund, and Baron FinTech Fund shareholders.

10. TRANSACTIONS IN “AFFILIATED” COMPANIES¹

Baron Real Estate Fund



Name of issuer	Value at December 31, 2020		Purchase Cost		Sales Proceeds		Change in Net Unrealized Appreciation (Depreciation)			Realized Gains/ (Losses)			Dividend Income		Shares Held at June 30, 2021		Value at June 30, 2021		% of Net Assets at June 30, 2021
“Affiliated” Company as of June 30, 2021:
Fifth Wall Acquisition Corp. I	$	—	$	28,607,896	$	—	$	6,294,659		$	—		$	—		2,835,301	$	34,902,555		1.96	%

No longer an “Affiliated” Company as of June 30, 2021:
RXR Acquisition Corp.	$	—	$	19,655,540	$	6,664,668	$	(51,622	)	$	(85,332	)	$	—		1,290,554	$	12,853,918		0.72	%

¹	An “Affiliated” company (“affiliated person” as defined in the 1940 Act) is a company in which a Fund held 5% or more of the company’s outstanding voting securities at any time during the six months ended June 30, 2021.


Baron Select Funds		June 30, 2021

NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)

10. TRANSACTIONS IN “AFFILIATED” COMPANIES¹ (Continued)

Baron Global Advantage Fund



Name of issuer	Value at December 31, 2020		Purchase Cost/ Transfer In		Sales Proceeds/ Transfer Out		Change in Net Unrealized Appreciation (Depreciation)			Realized Gains/ (Losses)			Dividend Income		Shares Held at June 30, 2021		Value at June 30, 2021		% of Net Assets at June 30, 2021
“Affiliated” Company as of June 30, 2021:
DD3 Acquisition Corp. II Common Stocks	$	—	$	10,468,685	$	—	$	(1,006,030	)	$	—		$	—		996,069	$	9,462,655		0.33	%
DD3 Acquisition Corp. II Forward Shares		257,209		—		—		(257,209	)		—			—		—		—		0.00	%
DD3 Acquisition Corp. II Founders Shares		894,384		—		—		(893,367	)		(1,017	)		—		—		—		0.00	%
DD3 Acquisition Corp. II Private Units		89,462		—		—		(2,855	)		—			—		8,652		86,607		0.00	%
DD3 Acquisition Corp. II Units²		10,458,725		—		11,314,318		855,593			—			—		—		—		0.00	%
DD3 Acquisition Corp. II, Warrants Exp 12/10/2027		—		845,633		—		(118,504	)		—			—		498,034		727,129		0.03	%
Sarissa Capital Acquisition Corp.		15,908,693		—		—		(343,568	)		—			—		1,493,774		15,565,125		0.54	%

	$	27,608,473	$	11,314,318	$	11,314,318	$	(1,765,940	)	$	(1,017	)	$	—			$	25,841,516

¹	An “Affiliated” company (“affiliated person” as defined in the 1940 Act) is a company in which a Fund held 5% or more of the company’s outstanding voting securities at any time during the six months ended June 30, 2021.

²	Separation of Units to Common Stocks and Warrants on January 28, 2021.

11. COVID-19 RISK

The coronavirus disease 2019 (COVID-19) global pandemic and the aggressive responses taken by many governments or voluntarily imposed by private parties, including closing borders, restricting travel and imposing prolonged quarantines or similar restrictions, as well as the closure of, or operational changes to, many retail and other businesses, have had negative impacts, and general uncertainty on markets worldwide. It is not known how long such impacts, or any future impacts of other significant events described above, will or would last, but there could be a prolonged period of global economic slowdown, which may impact your Fund investment.

12. EXECUTIVE ORDER ON SECURITIES INVESTMENTS THAT FINANCE COMMUNIST CHINESE MILITARY COMPANIES

On November 12, 2020, the President of the United States issued an Executive Order (the “Order”) to prohibit, beginning January 11, 2021, U.S. persons (which includes the Funds) from transacting in certain securities and derivatives of publicly traded securities of any of 31 companies designated as a “Communist Chinese military company” (collectively with securities of certain subsidiaries of such companies and related depositary receipts that may be covered by the Order, “CCMC Securities”) by the U.S. Department of Defense (the “DOD”) or the U.S. Department of the Treasury’s Office of Foreign Assets Control (“OFAC”), unless such transactions are for purposes of divestment and occur through November 11, 2021. In the weeks following the issuance of the Order, the DOD designated an additional 13 companies as CCMCs, bringing the current total to 44 companies designated to date. Also subsequent to issuance of the Order, OFAC extended the effective date of the trading ban from January 11, 2021 to January 28, 2021. In addition, U.S. persons also are prohibited from transacting in newly designated CCMC Securities 60 days after such designation. As clarified by an amendment to the Order dated January 13, 2021, and subsequent guidance from OFAC, U.S. persons may divest their holdings in the 31 CCMCs initially designated at any time through November 11, 2021 (and have 365 days from date of designation to divest their holdings in other CCMCs).

OFAC subsequently published, on several occasions, guidance regarding compliance with the Order, including several “Frequently Asked Questions” (FAQs) style publications addressing the scope of, and interpretive matters regarding, compliance with the Order, as well as the Order’s application to U.S. funds that hold CCMC Securities (i.e., including mutual funds that hold CCMC Securities regardless of the size of the position relative to a fund’s total assets). Certain interpretive issues related to compliance with the Order remain open, including to what extent a U.S. person could be held liable for failing to identify an unlisted entity whose name “close matches the name” of an entity designated as a Communist Chinese military company.

A Fund’s holdings in CCMC Securities may adversely impact the Fund’s performance. The extent of any impact will depend on future developments, including a Fund’s ability to sell the CCMC Securities, valuation of the CCMC Securities, modifications to the Order, the issuance of additional or different interpretive guidance regarding compliance with the Order, and the duration of the Order, all of which are highly uncertain. Fund management will continue to monitor developments relating to the Order.

During the six months ended June 30, 2021, none of the Funds owned any CCMC Securities.


June 30, 2021		Baron Select Funds

FINANCIAL HIGHLIGHTS

BARON PARTNERS FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:														Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) on investments ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Total expenses (%)			Less: interest expense (%)			Operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		164.18		(0.98	)¹		8.03			7.05			0.00			0.00			0.00			171.23		4.29	²		1.36	³		(0.04	)³		1.32	³		(1.16	)³		3,181.1		3.79	²

Year Ended December 31,

2020		69.04		(1.12	)¹		102.29			101.17			0.00			(6.03	)		(6.03	)		164.18		148.56			1.56			(0.25	)		1.31			(1.18	)		3,219.4		10.70

2019		47.77		(0.75	)¹		22.20			21.45			0.00			(0.18	)		(0.18	)		69.04		44.97			2.22			(0.90	)		1.32			(1.29	)		1,353.6		7.97

2018		48.75		(0.61	)¹		(0.37	)		(0.98	)		0.00			0.00			0.00			47.77		(2.01	)		2.03			(0.71	)		1.32			(1.13	)		1,016.2		8.09

2017		37.06		(0.38	)¹		12.07			11.69			0.00			0.00			0.00			48.75		31.54			1.79			(0.45	)		1.34			(0.84	)		1,101.7		26.19

2016		35.62		(0.11	)¹		1.55			1.44			0.00			0.00			0.00			37.06		4.04			1.78			(0.43	)		1.35			(0.31	)		913.9		15.59

2015		36.74		(0.05	)¹		(0.95	)		(1.00	)		(0.12	)		0.00			(0.12	)		35.62		(2.71	)		1.52			(0.20	)		1.32			(0.13	)		1,107.5		17.08

2014		33.32		0.23	¹		3.19			3.42			0.00			0.00			0.00			36.74		10.26			1.51			(0.19	)		1.32			0.66			1,256.3		30.82

2013		22.56		(0.19	)¹		10.95			10.76			0.00			0.00			0.00			33.32		47.69			1.67			(0.29	)		1.38			(0.66	)		1,125.6		18.57

2012		19.39		(0.04	)¹		3.21			3.17			0.00			0.00			0.00			22.56		16.35			1.74			(0.34	)		1.40			(0.18	)		653.7		13.04

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		169.04		(0.78	)¹		8.27			7.49			0.00			0.00			0.00			176.53		4.43	²		1.10	³		(0.04	)³		1.06	³		(0.90	)³		3,214.7		3.79	²

Year Ended December 31,

2020		70.82		(0.92	)¹		105.17			104.25			0.00			(6.03	)		(6.03	)		169.04		149.18			1.30			(0.25	)		1.05			(0.93	)		3,191.4		10.70

2019		48.86		(0.62	)¹		22.76			22.14			0.00			(0.18	)		(0.18	)		70.82		45.38			1.96			(0.90	)		1.06			(1.03	)		1,187.0		7.97

2018		49.73		(0.49	)¹		(0.38	)		(0.87	)		0.00			0.00			0.00			48.86		(1.75	)		1.77			(0.71	)		1.06			(0.88	)		815.6		8.09

2017		37.70		(0.27	)¹		12.30			12.03			0.00			0.00			0.00			49.73		31.91			1.53			(0.45	)		1.08			(0.58	)		854.9		26.19

2016		36.15		(0.02	)¹		1.57			1.55			0.00			0.00			0.00			37.70		4.29			1.52			(0.43	)		1.09			(0.05	)		645.3		15.59

2015		37.28		0.04	¹		(0.95	)		(0.91	)		(0.22	)		0.00			(0.22	)		36.15		(2.43	)		1.26			(0.20	)		1.06			0.11			793.3		17.08

2014		33.72		0.25	¹		3.31			3.56			0.00			0.00			0.00			37.28		10.56			1.26			(0.20	)		1.06			0.69			681.5		30.82

2013		22.78		(0.12	)¹		11.06			10.94			0.00			0.00			0.00			33.72		48.02			1.41			(0.30	)		1.11			(0.41	)		349.0		18.57

2012		19.52		0.04	¹		3.22			3.26			0.00			0.00			0.00			22.78		16.70			1.48			(0.35	)		1.13			0.18			146.5		13.04

R6 SHARES

Six Months Ended June 30,

2021		169.03		(0.78	)¹		8.27			7.49			0.00			0.00			0.00			176.52		4.43	²		1.10	³		(0.04	)³		1.06	³		(0.90	)³		495.9		3.79	²

Year Ended December 31,

2020		70.82		(0.91	)¹		105.15			104.24			0.00			(6.03	)		(6.03	)		169.03		149.16			1.30			(0.25	)		1.05			(0.93	)		465.0		10.70

2019		48.86		(0.62	)¹		22.76			22.14			0.00			(0.18	)		(0.18	)		70.82		45.38			1.96			(0.90	)		1.06			(1.03	)		186.9		7.97

2018		49.73		(0.46	)¹		(0.41	)		(0.87	)		0.00			0.00			0.00			48.86		(1.75	)		1.79			(0.73	)		1.06			(0.82	)		123.4		8.09

2017		37.71		(0.26	)¹		12.28			12.02			0.00			0.00			0.00			49.73		31.88			1.52			(0.45	)		1.07			(0.55	)		15.5		26.19

2016 ⁴		38.61		(0.01	)¹		(0.89	)		(0.90	)		0.00			0.00			0.00			37.71		(2.33	)²		1.62	³		(0.53	)³		1.09	³		(0.04	)³		8.3		15.59

¹	Based on average shares outstanding.

²	Not Annualized.

³	Annualized.

⁴	For the period August 31, 2016 (initial offering of R6 Shares) to December 31, 2016.


See Notes to Financial Statements.		61


Baron Select Funds		June 30, 2021

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON FOCUSED GROWTH FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:														Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		43.36		(0.28	)¹		1.32			1.04			0.00			0.00			0.00			44.40		2.40	⁴		1.32	⁵		0.00			1.32	⁵		(1.25	)⁵		176.3		8.58	⁴

Year Ended December 31,

2020		20.18		(0.32	)¹		24.74			24.42			0.00			(1.24	)		(1.24	)		43.36		122.21			1.35			0.00			1.35			(1.15	)		157.7		18.09

2019		15.81		(0.12	)¹		4.85			4.73			0.00			(0.36	)		(0.36	)		20.18		30.03	³		1.39	⁸		(0.04	)		1.35			(0.67	)		49.1		4.53

2018		15.38		(0.08	)¹		0.68			0.60			0.00			(0.17	)		(0.17	)		15.81		3.75	³		1.39	⁸		(0.04	)		1.35			(0.49	)		40.9		1.85

2017		12.43		(0.09	)¹		3.36			3.27			(0.00	)²		(0.32	)		(0.32	)		15.38		26.36	³		1.40			(0.05	)		1.35			(0.64	)		42.4		11.48

2016		13.09		0.01	¹		0.08			0.09			0.00			(0.75	)		(0.75	)		12.43		0.67	³		1.43			(0.08	)		1.35			0.11			37.7		14.31

2015		14.21		(0.01	)¹		(0.35	)		(0.36	)		(0.02	)		(0.74	)		(0.76	)		13.09		(2.42	)³		1.39			(0.04	)		1.35			(0.10	)		43.7		12.18

2014		13.97		0.04	¹		0.29			0.33			0.00			(0.09	)		(0.09	)		14.21		2.35	³		1.39			(0.04	)		1.35			0.31			46.1		36.92

2013		11.26		(0.07	)¹		2.95			2.88			(0.17	)		0.00			(0.17	)		13.97		25.69	³		1.42			(0.07	)		1.35			(0.53	)		47.6		33.67

2012		9.71		0.24	¹		1.31			1.55			0.00			0.00			0.00			11.26		15.96	³		1.48			(0.13	)		1.35			2.30			31.4		38.38

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		44.56		(0.22	)¹		1.35			1.13			0.00			0.00			0.00			45.69		2.54	⁴		1.05	⁵		0.00			1.05	⁵		(0.98	)⁵		235.1		8.58	⁴

Year Ended December 31,

2020		20.67		(0.24	)¹		25.37			25.13			0.00			(1.24	)		(1.24	)		44.56		122.75			1.07			0.00			1.07			(0.88	)		233.7		18.09

2019		16.15		(0.08	)¹		4.96			4.88			0.00			(0.36	)		(0.36	)		20.67		30.33	³		1.11	⁸		(0.01	)		1.10			(0.42	)		91.3		4.53

2018		15.66		(0.05	)¹		0.71			0.66			0.00			(0.17	)		(0.17	)		16.15		4.07			1.09	⁸		0.00			1.09			(0.30	)		70.7		1.85

2017		12.63		(0.06	)¹		3.41			3.35			(0.00	)²		(0.32	)		(0.32	)		15.66		26.59	³		1.12			(0.02	)		1.10			(0.39	)		127.8		11.48

2016		13.25		0.05	¹		0.08			0.13			0.00			(0.75	)		(0.75	)		12.63		0.97	³		1.13			(0.03	)		1.10			0.37			128.9		14.31

2015		14.37		0.02	¹		(0.34	)		(0.32	)		(0.06	)		(0.74	)		(0.80	)		13.25		(2.12	)		1.09			0.00			1.09			0.16			140.5		12.18

2014		14.10		0.08	¹		0.28			0.36			0.00			(0.09	)		(0.09	)		14.37		2.54			1.09			0.00			1.09			0.56			149.2		36.92

2013		11.35		(0.04	)¹		2.99			2.95			(0.20	)		0.00			(0.20	)		14.10		26.09	³		1.12			(0.02	)		1.10			(0.28	)		148.4		33.67

2012		9.77		0.26	¹		1.32			1.58			0.00			0.00			0.00			11.35		16.17	³		1.16			(0.06	)		1.10			2.53			87.9		38.38

R6 SHARES

Six Months Ended June 30,

2021		44.59		(0.22	)¹		1.35			1.13			0.00			0.00			0.00			45.72		2.53	⁴		1.05	⁵		0.00			1.05	⁵		(0.98	)⁵		278.2		8.58	⁴

Year Ended December 31,

2020		20.68		(0.24	)¹		25.39			25.15			0.00			(1.24	)		(1.24	)		44.59		122.78			1.07			0.00			1.07			(0.87	)		271.3		18.09

2019		16.16		(0.07	)¹		4.95			4.88			0.00			(0.36	)		(0.36	)		20.68		30.31			1.10	⁸		0.00			1.10			(0.40	)		122.0		4.53

2018		15.67		(0.03	)¹		0.69			0.66			0.00			(0.17	)		(0.17	)		16.16		4.07	³		1.10	⁸		(0.00	)⁷		1.10			(0.18	)		92.2		1.85

2017		12.63		(0.06	)¹		3.42			3.36			(0.00	)²		(0.32	)		(0.32	)		15.67		26.67	³		1.10			(0.00	)⁷		1.10			(0.38	)		22.6		11.48

2016⁶		13.87		0.02	¹		(0.51	)		(0.49	)		0.00			(0.75	)		(0.75	)		12.63		(3.55	)^3,4		1.14	⁵		(0.04	)⁵		1.10	⁵		0.53	⁵		8.6		14.31

¹	Based on average shares outstanding.

²	Less than $0.01 per share.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.

⁶	For the period August 31, 2016 (initial offering of R6 Shares) to December 31, 2016.

⁷	Less than 0.01%.

⁸	Interest expense rounds to less than 0.01%.


62		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON INTERNATIONAL GROWTH FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:														Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		31.97		0.03	¹		3.46			3.49			0.00			0.00			0.00			35.46		10.92	^3,4		1.24	⁵		(0.04	)⁵		1.20	⁵		0.18	⁵		95.3		14.23	⁴

Year Ended December 31,

2020		24.50		(0.01	)¹		7.49			7.48			(0.01	)		0.00			(0.01	)		31.97		30.52	³		1.28			(0.08	)		1.20			(0.05	)		85.5		41.13

2019		19.00		0.01	¹		5.51			5.52			(0.01	)		(0.01	)		(0.02	)		24.50		29.06	³		1.31			(0.11	)		1.20			0.06			82.0		56.52

2018		23.90		(0.01	)¹		(4.21	)		(4.22	)		0.00			(0.68	)		(0.68	)		19.00		(17.90	)³		1.34	⁷		(0.14	)		1.20			(0.03	)		59.8		50.83

2017		18.09		(0.06	)¹		6.72			6.66			0.00			(0.85	)		(0.85	)		23.90		36.94	³		1.51			(0.14	)		1.37			(0.28	)		56.5		31.44

2016		18.05		(0.03	)¹		0.24			0.21			(0.01	)		(0.16	)		(0.17	)		18.09		1.14	³		1.65			(0.15	)		1.50			(0.16	)		41.8		38.90

2015		17.94		0.03	¹		0.19			0.22			(0.08	)		(0.03	)		(0.11	)		18.05		1.23	³		1.59			(0.09	)		1.50			0.15			44.9		42.85

2014		18.91		0.03	¹		(0.46	)		(0.43	)		(0.00	)²		(0.54	)		(0.54	)		17.94		(2.33	)³		1.63			(0.13	)		1.50			0.14			53.0		34.67

2013		15.55		(0.01	)¹		3.37			3.36			0.00			0.00			0.00			18.91		21.61	³		1.74			(0.24	)		1.50			(0.05	)		17.0		40.60

2012		13.20		(0.02	)¹		2.37			2.35			0.00			0.00			0.00			15.55		17.80	³		1.78			(0.28	)		1.50			(0.16	)		15.6		39.02

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		32.51		0.08	¹		3.51			3.59			0.00			0.00			0.00			36.10		11.04	^3,4		0.97	⁵		(0.02	)⁵		0.95	⁵		0.45	⁵		466.3		14.23	⁴

Year Ended December 31,

2020		24.88		0.06	¹		7.61			7.67			(0.04	)		0.00			(0.04	)		32.51		30.83	³		1.01			(0.06	)		0.95			0.25			362.9		41.13

2019		19.29		0.06	¹		5.61			5.67			(0.07	)		(0.01	)		(0.08	)		24.88		29.39	³		1.04			(0.09	)		0.95			0.27			223.6		56.52

2018		24.19		0.06	¹		(4.28	)		(4.22	)		0.00			(0.68	)		(0.68	)		19.29		(17.68	)³		1.07	⁷		(0.12	)		0.95			0.26			154.2		50.83

2017		18.25		(0.01	)¹		6.80			6.79			0.00			(0.85	)		(0.85	)		24.19		37.33	³		1.23			(0.12	)		1.11			(0.06	)		110.8		31.44

2016		18.17		0.01	¹		0.24			0.25			(0.01	)		(0.16	)		(0.17	)		18.25		1.35	³		1.36			(0.11	)		1.25			0.07			45.4		38.90

2015		18.09		0.08	¹		0.19			0.27			(0.16	)		(0.03	)		(0.19	)		18.17		1.48	³		1.31			(0.06	)		1.25			0.41			53.7		42.85

2014		19.05		0.12	¹		(0.50	)		(0.38	)		(0.04	)		(0.54	)		(0.58	)		18.09		(2.07	)³		1.34			(0.09	)		1.25			0.64			52.3		34.67

2013		15.63		0.03	¹		3.39			3.42			(0.00	)²		0.00			(0.00	)²		19.05		21.89	³		1.37			(0.12	)		1.25			0.20			45.4		40.60

2012		13.25		0.01	¹		2.40			2.41			(0.03	)		0.00			(0.03	)		15.63		18.17	³		1.40			(0.15	)		1.25			0.09			39.0		39.02

R6 SHARES

Six Months Ended June 30,

2021		32.49		0.07	¹		3.52			3.59			0.00			0.00			0.00			36.08		11.05	^3,4		0.97	⁵		(0.02	)⁵		0.95	⁵		0.42	⁵		160.5		14.23	⁴

Year Ended December 31,

2020		24.88		0.04	¹		7.61			7.65			(0.04	)		0.00			(0.04	)		32.49		30.75	³		0.98			(0.03	)		0.95			0.15			163.5		41.13

2019		19.29		0.06	¹		5.61			5.67			(0.07	)		(0.01	)		(0.08	)		24.88		29.39	³		1.03			(0.08	)		0.95			0.28			17.7		56.52

2018		24.19		0.07	¹		(4.29	)		(4.22	)		0.00			(0.68	)		(0.68	)		19.29		(17.68	)³		1.06	⁷		(0.11	)		0.95			0.31			12.4		50.83

2017		18.25		(0.02	)¹		6.81			6.79			0.00			(0.85	)		(0.85	)		24.19		37.33	³		1.22			(0.12	)		1.10			(0.10	)		0.8		31.44

2016⁶		19.15		(0.02	)¹		(0.71	)		(0.73	)		(0.01	)		(0.16	)		(0.17	)		18.25		(3.83	)^3,4		1.38	⁵		(0.14	)⁵		1.24	⁵		(0.31	)⁵		0.4		38.90

¹	Based on average shares outstanding.

²	Less than $0.01 per share.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.

⁶	For the period August 31, 2016 (initial offering of R6 Shares) to December 31, 2016.

⁷	Interest expense rounds to less than 0.01%.


See Notes to Financial Statements.		63


Baron Select Funds		June 30, 2021

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON REAL ESTATE FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:																	Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Return of capital ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		35.21		(0.06	)¹		5.73			5.67			0.00			0.00			0.00			0.00			40.88		16.10	⁴		1.32	⁵		0.00			1.32	⁵		(0.31	)⁵		481.1		27.65	⁴

Year Ended December 31,

2020		26.18		(0.10	)¹		11.34			11.24			(0.00	)²		(2.21	)		0.00			(2.21	)		35.21		43.85			1.34			0.00			1.34			(0.36	)		321.8		71.46

2019		20.77		(0.03	)¹		9.08			9.05			0.00			(3.64	)		0.00			(3.64	)		26.18		44.11			1.33	⁷		0.00			1.33			(0.10	)		246.9		53.44

2018		29.58		(0.03	)¹		(6.28	)		(6.31	)		0.00			(2.50	)		0.00			(2.50	)		20.77		(22.22	)		1.32	⁷		0.00			1.32			(0.10	)		213.0		56.47

2017		23.67		0.00	^1,2		7.32			7.32			0.00			(1.41	)		0.00			(1.41	)		29.58		31.04			1.32			0.00			1.32			0.01			426.7		44.56

2016		24.24		(0.02	)¹		(0.47	)		(0.49	)		0.00			(0.08	)		0.00			(0.08	)		23.67		(2.01	)		1.33			0.00			1.33			(0.07	)		434.0		55.50

2015		25.92		(0.06	)¹		(1.14	)		(1.20	)		(0.01	)		(0.47	)		0.00			(0.48	)		24.24		(4.65	)		1.31			0.00			1.31			(0.23	)		788.9		50.50

2014		22.25		0.04	¹		3.66			3.70			(0.03	)		0.00			0.00			(0.03	)		25.92		16.61			1.32			0.00			1.32			0.17			782.8		24.40

2013		17.52		(0.05	)¹		4.80			4.75			0.00			(0.02	)		0.00			(0.02	)		22.25		27.12			1.35			0.00			1.35			(0.23	)		539.5		19.36

2012		12.51		0.01	¹		5.31			5.32			0.00			(0.31	)		0.00			(0.31	)		17.52		42.60	³		1.76			(0.41	)		1.35			0.07			53.6		30.14

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		36.02		(0.00	)^1,2		5.85			5.85			0.00			0.00			0.00			0.00			41.87		16.24	⁴		1.06	⁵		0.00			1.06	⁵		(0.02	)⁵		1,274.7		27.65	⁴

Year Ended December 31,

2020		26.68		(0.03	)¹		11.60			11.57			(0.02	)		(2.21	)		0.00			(2.23	)		36.02		44.28			1.08			0.00			1.08			(0.10	)		705.4		71.46

2019		21.10		0.04	¹		9.22			9.26			(0.04	)		(3.64	)		0.00			(3.68	)		26.68		44.44			1.08	⁷		0.00			1.08			0.15			360.2		53.44

2018		30.01		0.05	¹		(6.39	)		(6.34	)		(0.07	)		(2.50	)		0.00			(2.57	)		21.10		(22.04	)		1.06	⁷		0.00			1.06			0.17			320.9		56.47

2017		23.93		0.07	¹		7.42			7.49			0.00			(1.41	)		0.00			(1.41	)		30.01		31.42			1.06			0.00			1.06			0.26			657.6		44.56

2016		24.51		0.04	¹		(0.47	)		(0.43	)		0.00			(0.08	)		(0.07	)		(0.15	)		23.93		(1.75	)		1.07			0.00			1.07			0.19			514.6		55.50

2015		26.14		0.01	¹		(1.16	)		(1.15	)		(0.01	)		(0.47	)		0.00			(0.48	)		24.51		(4.42	)		1.06			0.00			1.06			0.04			992.8		50.50

2014		22.43		0.11	¹		3.68			3.79			(0.08	)		0.00			0.00			(0.08	)		26.14		16.93			1.06			0.00			1.06			0.44			919.7		24.40

2013		17.64		0.03	¹		4.81			4.84			(0.00	)²		(0.02	)		(0.03	)		(0.05	)		22.43		27.48			1.09			0.00			1.09			0.15			486.1		19.36

2012		12.56		0.06	¹		5.33			5.39			0.00			(0.31	)		0.00			(0.31	)		17.64		42.99	³		1.44			(0.34	)		1.10			0.36			35.5		30.14

CLASS C SHARES

Six Months Ended June 30,

2021		36.02		(0.01	)¹		5.86			5.85			0.00			0.00			0.00			0.00			41.87		16.24	⁴		1.06	⁵		0.00			1.06	⁵		(0.06	)⁵		27.3		27.65	⁴

Year Ended December 31,

2020		26.69		(0.03	)¹		11.59			11.56			(0.02	)		(2.21	)		0.00			(2.23	)		36.02		44.23			1.07			0.00			1.07			(0.10	)		20.0		71.46

2019		21.10		0.04	¹		9.23			9.27			(0.04	)		(3.64	)		0.00			(3.68	)		26.69		44.51			1.07	⁷		0.00			1.07			0.17			13.2		53.44

2018		30.01		0.09	¹		(6.43	)		(6.34	)		(0.07	)		(2.50	)		0.00			(2.57	)		21.10		(22.03	)		1.07	⁷		0.00			1.07			0.31			9.3		56.47

2017		23.93		0.07	¹		7.42			7.49			0.00			(1.41	)		0.00			(1.41	)		30.01		31.42			1.06			0.00			1.06			0.26			3.3		44.56

2016⁶		21.80		0.02	¹		2.26			2.28			0.00			(0.08	)		(0.07	)		(0.15	)		23.93		10.47	⁴		1.07	⁵		0.00			1.07	⁵		0.08	⁵		2.0		55.50

¹	Based on average shares outstanding.

²	Less than $0.01 per share.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.

⁶	For the period January 29, 2016 (initial offering of R6 Shares) to December 31, 2016.

⁷	Interest expense rounds to less than 0.01%.


64		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON EMERGING MARKETS FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:																Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)		Return of capital ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		18.97		(0.02	)¹		0.89			0.87			0.00			0.00		0.00			0.00			19.84		4.59	³		1.32	⁴		0.00			1.32	⁴		(0.16	)⁴		531.3		14.72	³

Year Ended December 31,

2020		14.72		(0.06	)¹		4.31			4.25			0.00			0.00		0.00			0.00			18.97		28.87			1.35			0.00			1.35			(0.44	)		507.7		55.65

2019		12.45		0.03	¹		2.27			2.30			(0.03	)		0.00		(0.00	)⁶		(0.03	)		14.72		18.48			1.35			0.00			1.35			0.23			667.1		59.00

2018		15.33		0.05	¹		(2.91	)		(2.86	)		(0.02	)		0.00		0.00			(0.02	)		12.45		(18.67	)		1.36			0.00			1.36			0.36			753.5		43.27

2017		10.95		0.03	¹		4.39			4.42			(0.04	)		0.00		(0.00	)⁶		(0.04	)		15.33		40.34			1.36			0.00			1.36			0.23			1,121.4		30.75

2016		10.57		0.04	¹		0.36			0.40			(0.02	)		0.00		0.00			(0.02	)		10.95		3.75			1.38			0.00			1.38			0.33			768.5		25.31

2015		11.91		0.03	¹		(1.36	)		(1.33	)		(0.01	)		0.00		0.00			(0.01	)		10.57		(11.16	)		1.45			0.00			1.45			0.25			665.5		26.34

2014		11.54		0.07	¹		0.33			0.40			(0.03	)		0.00		0.00			(0.03	)		11.91		3.47	²		1.52			(0.02	)		1.50			0.56			649.7		23.38

2013		10.06		(0.06	)¹		1.54			1.48			0.00			0.00		0.00			0.00			11.54		14.71	²		1.90			(0.40	)		1.50			(0.53	)		259.6		14.68

2012		8.28		(0.04	)¹		1.94			1.90			(0.12	)		0.00		0.00			(0.12	)		10.06		22.98	²		4.01			(2.51	)		1.50			(0.39	)		2.9		42.68

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		19.06		0.01	¹		0.88			0.89			0.00			0.00		0.00			0.00			19.95		4.67	³		1.06	⁴		0.00			1.06	⁴		0.15	⁴		8,134.1		14.72	³

Year Ended December 31,

2020		14.75		(0.03	)¹		4.34			4.31			0.00			0.00		0.00			0.00			19.06		29.22			1.09			0.00			1.09			(0.20	)		6,228.8		55.65

2019		12.47		0.07	¹		2.28			2.35			(0.06	)		0.00		(0.01	)		(0.07	)		14.75		18.86			1.09			0.00			1.09			0.50			4,644.8		59.00

2018		15.37		0.09	¹		(2.93	)		(2.84	)		(0.06	)		0.00		0.00			(0.06	)		12.47		(18.49	)		1.10			0.00			1.10			0.62			3,850.0		43.27

2017		10.98		0.06	¹		4.40			4.46			(0.07	)		0.00		(0.00	)⁶		(0.07	)		15.37		40.63			1.10			0.00			1.10			0.47			3,842.5		30.75

2016		10.59		0.06	¹		0.37			0.43			(0.04	)		0.00		0.00			(0.04	)		10.98		4.08			1.13			0.00			1.13			0.57			1,832.8		25.31

2015		11.94		0.06	¹		(1.37	)		(1.31	)		(0.04	)		0.00		0.00			(0.04	)		10.59		(10.97	)		1.20			0.00			1.20			0.49			1,040.9		26.34

2014		11.56		0.09	¹		0.34			0.43			(0.05	)		0.00		0.00			(0.05	)		11.94		3.75	²		1.27			(0.02	)		1.25			0.76			697.8		23.38

2013		10.05		0.01	¹		1.50			1.51			0.00			0.00		0.00			0.00			11.56		15.02	²		1.80			(0.55	)		1.25			0.05			116.0		14.68

2012		8.30		(0.01	)¹		1.93			1.92			(0.17	)		0.00		0.00			(0.17	)		10.05		23.22	²		3.37			(2.12	)		1.25			(0.14	)		6.0		42.68

R6 SHARES

Six Months Ended June 30,

2021		19.07		0.01	¹		0.89			0.90			0.00			0.00		0.00			0.00			19.97		4.72	³		1.06	⁴		0.00			1.06	⁴		0.12	⁴		16.1		14.72	³

Year Ended December 31,

2020		14.75		(0.03	)¹		4.35			4.32			0.00			0.00		0.00			0.00			19.07		29.29			1.09			0.00			1.09			(0.18	)		13.9		55.65

2019		12.48		0.07	¹		2.27			2.34			(0.06	)		0.00		(0.01	)		(0.07	)		14.75		18.77			1.09			0.00			1.09			0.49			10.1		59.00

2018		15.38		0.10	¹		(2.94	)		(2.84	)		(0.06	)		0.00		0.00			(0.06	)		12.48		(18.47	)		1.11			0.00			1.11			0.69			7.3		43.27

2017		10.99		0.07	¹		4.39			4.46			(0.07	)		0.00		(0.00	)⁶		(0.07	)		15.38		40.59			1.11			0.00			1.11			0.49			4.9		30.75

2016⁵		9.94		0.05	¹		1.04			1.09			(0.04	)		0.00		0.00			(0.04	)		10.99		10.99	³		1.13	⁴		0.00			1.13	⁴		0.48	⁴		0.7		25.31

¹	Based on average shares outstanding.

²	The total returns would have been lower had certain expenses not been reduced during the period shown.

³	Not Annualized.

⁴	Annualized.

⁵	For the period January 29, 2016 (initial offering of R6 Shares) to December 31, 2016.

⁶	Less than $0.01 per share.


See Notes to Financial Statements.		65


Baron Select Funds		June 30, 2021

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON GLOBAL ADVANTAGE FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:														Ratios to Average Net Assets:																		Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Total expenses (%)			Less: Interest expense %			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		51.34		(0.30	)²		5.29			4.99			0.00			0.00			0.00			56.33		9.72	^4,6,12		1.16	⁸		(0.00	)^8,11		1.16	⁸		(0.01	)⁸		1.15	⁸		(1.15	)⁸		971.2		8.47	⁶

Year Ended December 31,

2020		28.68		(0.44	)²		23.10			22.66			0.00			0.00			0.00			51.34		79.01	⁴		1.17			0.00			1.17			(0.02	)		1.15			(1.10	)		921.7		8.75

2019		19.77		(0.02	)²		8.93			8.91			0.00			0.00			0.00			28.68		45.07	⁴		1.25			(0.00	)¹¹		1.25			(0.10	)		1.15			(0.08	)		174.6		19.44

2018		20.56		(0.21	)²		(0.58	)		(0.79	)		0.00			0.00			0.00			19.77		(3.84	)⁴		1.45			(0.00	)¹¹		1.45			(0.30	)		1.15			(0.94	)		35.7		19.77

2017		13.75		(0.18	)²		6.99			6.81			0.00			0.00			0.00			20.56		49.53	⁴		2.07			(0.01	)		2.06			(0.70	)		1.36			(1.01	)		18.4		27.98

2016		13.91		(0.18	)²		0.02	¹⁰		(0.16	)		0.00			0.00			0.00			13.75		(1.15	)⁴		3.86			0.00			3.86			(2.36	)		1.50			(1.30	)		5.0		21.48

2015		14.20		(0.11	)²		(0.14	)		(0.25	)		(0.02	)		(0.02	)		(0.04	)		13.91		(1.72	)⁴		3.19			0.00			3.19			(1.69	)		1.50			(0.75	)		6.2		25.88

2014		13.51		0.02	²		0.67			0.69			0.00			(0.00	)³		0.00			14.20		5.11	^4,5		3.61			0.00			3.61			(2.11	)		1.50			0.18			3.9		123.51

2013		10.41		(0.02	)²		3.12			3.10			0.00			0.00			0.00			13.51		29.78	⁴		5.51			0.00			5.51			(4.01	)		1.50			(0.20	)		2.3		32.78

2012¹		10.00		(0.02	)²		0.43			0.41			0.00			0.00			0.00			10.41		4.10	^4,6		8.35	^7,8		0.00			8.35	^7,8		(6.85	)^7,8		1.50	^7,8		(0.38	)^7,8		1.5		24.64	⁶

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		52.25		(0.24	)²		5.40			5.16			0.00			0.00			0.00			57.41		9.88	^4,6,12		0.91	⁸		(0.00	)^8,11		0.91	⁸		(0.01	)⁸		0.90	⁸		(0.90	)⁸		1,905.4		8.47	⁶

Year Ended December 31,

2020		29.12		(0.35	)²		23.48			23.13			0.00			0.00			0.00			52.25		79.43	⁴		0.92			0.00			0.92			(0.02	)		0.90			(0.85	)		1,470.9		8.75

2019		20.02		(0.01	)²		9.11			9.10			0.00			0.00			0.00			29.12		45.45	⁴		1.00			(0.00	)¹¹		1.00			(0.10	)		0.90			(0.03	)		212.8		19.44

2018		20.77		(0.16	)²		(0.59	)		(0.75	)		0.00			0.00			0.00			20.02		(3.61	)⁴		1.18			(0.00	)¹¹		1.18			(0.28	)		0.90			(0.71	)		49.2		19.77

2017		13.87		(0.14	)²		7.04			6.90			0.00			0.00			0.00			20.77		49.75	⁴		1.70			(0.01	)		1.69			(0.61	)		1.08			(0.77	)		24.8		27.98

2016		14.00		(0.14	)²		0.01	¹⁰		(0.13	)		0.00			0.00			0.00			13.87		(0.93	)⁴		3.55			0.00			3.55			(2.30	)		1.25			(1.06	)		4.6		21.48

2015		14.28		(0.07	)²		(0.15	)		(0.22	)		(0.04	)		(0.02	)		(0.06	)		14.00		(1.51	)⁴		2.89			0.00			2.89			(1.64	)		1.25			(0.47	)		5.3		25.88

2014		13.56		0.07	²		0.65			0.72			0.00			(0.00	)³		0.00			14.28		5.32	^4,5		2.92			0.00			2.92			(1.67	)		1.25			0.48			4.1		123.51

2013		10.42		0.00	^2,3		3.14			3.14			0.00			0.00			0.00			13.56		30.13	⁴		4.91			0.00			4.91			(3.66	)		1.25			0.02			3.3		32.78

2012¹		10.00		(0.02	)²		0.44			0.42			0.00			0.00			0.00			10.42		4.20	^4,6		7.33	^7,8		0.00			7.33	^7,8		(6.08	)^7,8		1.25	^7,8		(0.30	)^7,8		1.6		24.64	⁶

R6 SHARES

Six Months Ended June 30,

2021		52.28		(0.24	)²		5.40			5.16			0.00			0.00			0.00			57.44		9.87	^4,6,12		0.91	⁸		(0.00	)^8,11		0.91	⁸		(0.01	)⁸		0.90	⁸		(0.90	)⁸		19.0		8.47	⁶

Year Ended December 31,

2020		29.14		(0.32	)²		23.46			23.14			0.00			0.00			0.00			52.28		79.41	⁴		0.92			0.00			0.92			(0.02	)		0.90			(0.83	)		15.0		8.75

2019		20.03		(0.03	)²		9.14			9.11			0.00			0.00			0.00			29.14		45.48	⁴		1.00			(0.00	)¹¹		1.00			(0.10	)		0.90			(0.10	)		6.8		19.44

2018		20.79		(0.15	)²		(0.61	)		(0.76	)		0.00			0.00			0.00			20.03		(3.66	)⁴		1.16			(0.00	)¹¹		1.16			(0.26	)		0.90			(0.69	)		4.3		19.77

2017		13.87		(0.14	)²		7.06			6.92			0.00			0.00			0.00			20.79		49.89	⁴		1.69			(0.01	)		1.68			(0.59	)		1.09			(0.75	)		0.4		27.98

2016⁹		14.37		(0.07	)²		(0.43	)		(0.50	)		0.00			0.00			0.00			13.87		(3.48	)^4,6		4.11	⁸		0.00			4.11	⁸		(2.87	)⁸		1.24	⁸		(1.52	)⁸		0.1		21.48

¹	For the period April 30, 2012 (commencement of operations) to December 31, 2012.

²	Based on average shares outstanding.

³	Less than $0.01 per share.

⁴	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁵	The Adviser made a voluntary payment to the Fund in the amount of $47,291 to compensate the Fund for a loss incurred due to a shareholder activity processing error. The impact of this payment increased the Fund’s total return by 0.54%.

⁶	Not Annualized.

⁷	Certain fixed expenses incurred by the Fund were not annualized for the period ended December 31, 2012.

⁸	Annualized.

⁹	For the period August 31, 2016 (initial offering of R6 Shares) to December 31, 2016.

¹⁰	The amount shown for a share outstanding does not correspond with the aggregate realized and unrealized gain (loss) on investments for the period due to the timing of sales and redemptions of Fund shares in relation to fluctuating market values of investments of the Fund.

¹¹	Interest expense rounds to less than 0.01%.

¹²	The Adviser made a voluntary payment to the Fund in the amount of $162,286 to compensate the Fund for a loss incurred due to a shareholder activity processing error. The impact of this payment increased the Fund’s total return by less than 0.01%.


66		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON REAL ESTATE INCOME FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:													Ratios to Average Net Assets:																		Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)		Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Total expenses (%)			Less: Interest expense (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		14.08		0.12	²		2.19			2.31			(0.08	)		0.00		(0.08	)		16.31		16.44	^3,4		1.55	⁵		(0.00	)^5,6		1.55	⁵		(0.50	)⁵		1.05	⁵		1.50	⁵		12.8		43.33	⁴

Year Ended December 31,

2020		11.65		0.11	²		2.43			2.54			(0.11	)		0.00		(0.11	)		14.08		22.02	³		4.40			0.00			4.40			(3.35	)		1.05			0.91			2.9		41.75

2019		8.63		0.13	²		3.02			3.15			(0.13	)		0.00		(0.13	)		11.65		36.67	³		6.87			0.00			6.87			(5.82	)		1.05			1.20			1.4		52.50

2018¹		10.00		0.14	²		(1.25	)		(1.11	)		(0.26	)		0.00		(0.26	)		8.63		(11.33	)³		10.47			0.00			10.47			(9.42	)		1.05			1.43			0.4		67.39

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		14.15		0.11	²		2.24			2.35			(0.08	)		0.00		(0.08	)		16.42		16.64	^3.4		1.16	⁵		(0.01	)⁵		1.15	⁵		(0.35	)⁵		0.80	⁵		1.42	⁵		60.1		43.33	⁴

Year Ended December 31,

2020		11.68		0.37	²		2.21			2.58			(0.11	)		0.00		(0.11	)		14.15		22.30	³		3.45			0.00			3.45			(2.65	)		0.80			3.00			43.6		41.75

2019		8.66		0.14	²		3.01			3.15			(0.13	)		0.00		(0.13	)		11.68		36.54	³		5.63			0.00			5.63			(4.83	)		0.80			1.37			2.7		52.50

2018¹		10.00		0.16	²		(1.24	)		(1.08	)		(0.26	)		0.00		(0.26	)		8.66		(11.03	)³		7.18			0.00			7.18			(6.38	)		0.80			1.71			2.0		67.39

R6 SHARES

Six Months Ended June 30,

2021		14.14		0.10	²		2.25			2.35			(0.08	)		0.00		(0.08	)		16.41		16.65	^3,4		1.17	⁵		(0.01	)⁵		1.16	⁵		(0.36	)⁵		0.80	⁵		1.37	⁵		0.7		43.33	⁴

Year Ended December 31,

2020		11.67		0.11	²		2.47			2.58			(0.11	)		0.00		(0.11	)		14.14		22.32	³		3.47			0.00			3.47			(2.67	)		0.80			1.06			0.6		41.75

2019		8.66		0.14	²		3.00			3.14			(0.13	)		0.00		(0.13	)		11.67		36.42	³		5.27			0.00			5.27			(4.47	)		0.80			1.36			0.4		52.50

2018¹		10.00		0.20	²		(1.28	)		(1.08	)		(0.26	)		0.00		(0.26	)		8.66		(11.03	)³		7.05			0.00			7.05			(6.25	)		0.80			2.07			0.4		67.39

¹	For the period January 2, 2018 (commencement of operations) to December 31, 2018.

²	Based on average shares outstanding.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.

⁶	Interest expense rounds to less than 0.01%.


See Notes to Financial Statements.		67


Baron Select Funds		June 30, 2021

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON HEALTH CARE FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:													Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)		Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		18.75		(0.08	)²		2.32			2.24			0.00		0.00			0.00			20.99		11.95	^3,4		1.25	⁵		(0.15	)⁵		1.10	⁵		(0.77	)⁵		47.1		31.12	⁴

Year Ended December 31,

2020		12.86		(0.09	)²		6.17			6.08			0.00		(0.19	)		(0.19	)		18.75		47.40	³		1.73			(0.63	)		1.10			(0.60	)		26.8		35.84

2019		9.51		(0.06	)²		3.41			3.35			0.00		0.00			0.00			12.86		35.23	³		2.80			(1.70	)		1.10			(0.54	)		5.0		68.10

2018¹		10.00		(0.04	)²		(0.45	)		(0.49	)		0.00		0.00			0.00			9.51		(4.90	)^3,4		4.94	⁵		(3.84	)⁵		1.10	⁵		(0.60	)⁵		2.8		27.30	⁴

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		18.88		(0.05	)²		2.33			2.28			0.00		0.00			0.00			21.16		12.08	^3,4		0.96	⁵		(0.11	)⁵		0.85	⁵		(0.50	)⁵		119.7		31.12	⁴

Year Ended December 31,

2020		12.92		(0.05	)²		6.20			6.15			0.00		(0.19	)		(0.19	)		18.88		47.72	³		1.45			(0.60	)		0.85			(0.31	)		38.6		35.84

2019		9.53		(0.03	)²		3.42			3.39			0.00		0.00			0.00			12.92		35.57	³		2.39			(1.54	)		0.85			(0.28	)		9.1		68.10

2018¹		10.00		(0.02	)²		(0.45	)		(0.47	)		0.00		0.00			0.00			9.53		(4.70	)^3,4		4.06	⁵		(3.21	)⁵		0.85	⁵		(0.33	)⁵		4.5		27.30	⁴

CLASS C SHARES

Six Months Ended June 30,

2021		18.87		(0.05	)²		2.33			2.28			0.00		0.00			0.00			21.15		12.08	^3,4		0.96	⁵		(0.11	)⁵		0.85	⁵		(0.53	)⁵		5.9		31.12	⁴

Year Ended December 31,

2020		12.91		(0.04	)²		6.19			6.15			0.00		(0.19	)		(0.19	)		18.87		47.76	³		1.44			(0.59	)		0.85			(0.25	)		4.9		35.84

2019		9.52		(0.03	)²		3.42			3.39			0.00		0.00			0.00			12.91		35.61	³		2.22			(1.37	)		0.85			(0.28	)		1.3		68.10

2018¹		10.00		(0.02	)²		(0.46	)		(0.48	)		0.00		0.00			0.00			9.52		(4.80	)^3,4		3.14	⁵		(2.29	)⁵		0.85	⁵		(0.32	)⁵		0.7		27.30	⁴

¹	For the period April 30, 2018 (commencement of operations) to December 31, 2018.

²	Based on average shares outstanding.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.


68		See Notes to Financial Statements.


June 30, 2021		Baron Select Funds

FINANCIAL HIGHLIGHTS (Unaudited) (Continued)

BARON FINTECH FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:							Less distributions to shareholders from:											Ratios to Average Net Assets:												Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain on investments($)		Total from investment operations ($)		Net investment income ($)		Net realized gain on investments ($)		Total distributions ($)		Net asset value, end of period ($)		Total return (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Months Ended June 30,

2021		14.69		(0.06	)²		2.28		2.22		0.00		0.00		0.00		16.91		15.11	^3,4		1.78	⁵		(0.58	)⁵		1.20	⁵		(0.85	)⁵		8.6		1.16	⁴

Year Ended December 31,

2020¹		10.00		(0.09	)²		4.78		4.69		0.00		0.00		0.00		14.69		46.90	³		3.09			(1.89	)		1.20			(0.77	)		6.4		8.12

INSTITUTIONAL SHARES

Six Months Ended June 30,

2021		14.72		(0.04	)²		2.29		2.25		0.00		0.00		0.00		16.97		15.29	^3,4		1.31	⁵		(0.36	)⁵		0.95	⁵		(0.59	)⁵		48.0		1.16	⁴

Year Ended December 31,

2020¹		10.00		(0.07	)²		4.79		4.72		0.00		0.00		0.00		14.72		47.20	³		2.43			(1.48	)		0.95			(0.54	)		24.0		8.12

R6 SHARES

Six Months Ended June 30,

2021		14.73		(0.04	)²		2.28		2.24		0.00		0.00		0.00		16.97		15.21	^3,4		1.33	⁵		(0.38	)⁵		0.95	⁵		(0.60	)⁵		5.3		1.16	⁴

Year Ended December 31,

2020¹		10.00		(0.06	)²		4.79		4.73		0.00		0.00		0.00		14.73		47.30	³		2.33			(1.38	)		0.95			(0.53	)		3.7		8.12

¹	For the period January 2, 2020 (commencement of operations) to December 31, 2020.

²	Based on average shares outstanding.

³	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁴	Not Annualized.

⁵	Annualized.


See Notes to Financial Statements.		69


Baron Select Funds		June 30, 2021

FUND EXPENSES (Unaudited)

As a shareholder of the Funds, you incur ongoing expenses. Ongoing expenses include advisory fees, distribution and service (12b-1) fees and other Fund expenses. The information on this page is intended to help you understand your ongoing costs of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The information in the following table is based on an investment of $1,000 invested on January 1, 2021 and held for the six months ended June 30, 2021.

ACTUAL EXPENSES

The table below titled “Based on Actual Total Return” provides information about actual account values and actual expenses. You may use the information provided in this table, together with the amount you invested, to estimate the expenses that you paid over the period. To estimate the expenses you paid on your account, divide your ending account value by $1,000 (for example, an $8,600 ending account value divided by $1,000 = 8.6), then multiply the result by the number under the heading titled “Expenses Paid During the Period.”

BASED ON ACTUAL TOTAL RETURN FOR THE SIX MONTHS ENDED JUNE 30, 2021¹



	Actual Total Return			Beginning Account Value January 1, 2021		Ending Account Value June 30, 2021			Annualized Expense Ratio			Expenses Paid During the Period³
Baron Partners Fund — Retail Shares		4.29	%	$	1,000.00	$	1,042.90			1.36	%²	$	6.89
Baron Partners Fund — Institutional Shares		4.43	%	$	1,000.00	$	1,044.30			1.10	%²	$	5.58
Baron Partners Fund — R6 Shares		4.43	%	$	1,000.00	$	1,044.30			1.10	%²	$	5.58
Baron Focused Growth Fund — Retail Shares		2.40	%	$	1,000.00	$	1,024.00			1.32	%	$	6.62
Baron Focused Growth Fund — Institutional Shares		2.54	%	$	1,000.00	$	1,025.40			1.05	%	$	5.27
Baron Focused Growth Fund — R6 Shares		2.53	%	$	1,000.00	$	1,025.30			1.05	%	$	5.27
Baron International Growth Fund — Retail Shares		10.92	%	$	1,000.00	$	1,109.20	⁴		1.20	%⁵	$	6.28
Baron International Growth Fund — Institutional Shares		11.04	%	$	1,000.00	$	1,110.40	⁴		0.95	%⁵	$	4.97
Baron International Growth Fund — R6 Shares		11.05	%	$	1,000.00	$	1,110.50	⁴		0.95	%⁵	$	4.97
Baron Real Estate Fund — Retail Shares		16.10	%	$	1,000.00	$	1,161.00			1.32	%	$	7.07
Baron Real Estate Fund — Institutional Shares		16.24	%	$	1,000.00	$	1,162.40			1.06	%	$	5.68
Baron Real Estate Fund — R6 Shares		16.24	%	$	1.000.00	$	1,162.40			1.06	%	$	5.68
Baron Emerging Markets Fund — Retail Shares		4.59	%	$	1,000.00	$	1,045.90			1.32	%	$	6.70
Baron Emerging Markets Fund — Institutional Shares		4.67	%	$	1,000.00	$	1,046.70			1.06	%	$	5.38
Baron Emerging Markets Fund — R6 Shares		4.67	%	$	1,000.00	$	1,046.70			1.06	%	$	5.38
Baron Global Advantage Fund — Retail Shares		9.72	%	$	1,000.00	$	1,097.20	⁴		1.15	%⁵	$	5.98
Baron Global Advantage Fund — Institutional Shares		9.88	%	$	1,000.00	$	1,098.80	⁴		0.90	%⁵	$	4.68
Baron Global Advantage Fund — R6 Shares		9.87	%	$	1,000.00	$	1,098.70	⁴		0.90	%⁵	$	4.68
Baron Real Estate Income Fund — Retail Shares		16.44	%	$	1,000.00	$	1,164.40	⁴		1.05	%⁵	$	5.63
Baron Real Estate Income Fund — Institutional Shares		16.64	%	$	1,000.00	$	1,166.40	⁴		0.81	%⁵	$	4.35
Baron Real Estate Income Fund — R6 Shares		16.65	%	$	1,000.00	$	1,166.50	⁴		0.81	%⁵	$	4.35
Baron Health Care Fund — Retail Shares		11.95	%	$	1,000.00	$	1,119.50	⁴		1.10	%⁵	$	5.78
Baron Health Care Fund — Institutional Shares		12.08	%	$	1,000.00	$	1,120.80	⁴		0.85	%⁵	$	4.47
Baron Health Care Fund — R6 Shares		12.08	%	$	1,000.00	$	1,120.80	⁴		0.85	%⁵	$	4.47
Baron FinTech Fund — Retail Shares		15.11	%	$	1,000.00	$	1,151.10	⁴		1.20	%⁵	$	6.40
Baron FinTech Fund — Institutional Shares		15.29	%	$	1,000.00	$	1,152.90	⁴		0.95	%⁵	$	5.07
Baron FinTech Fund — R6 Shares		15.21	%	$	1,000.00	$	1,152.10	⁴		0.95	%⁵	$	5.07

¹	Assumes reinvestment of all dividends and capital gain distributions, if any.

²	Annualized expense ratio for Baron Partners Fund for the six months ended June 30, 2021, includes 1.32%, 1.06% and 1.06% for net operating expenses and 0.04%, 0.04% and 0.04% for interest expense for the Retail, Institutional and R6 Shares, respectively.

³	Expenses are equal to each share class’ respective 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, then divided by 365.

⁴	Ending account value assumes the return earned after waiver and would have been lower if a portion of the expenses had not been waived.

⁵	Annualized expense ratios are adjusted to reflect fee waiver.


June 30, 2021		Baron Select Funds

FUND EXPENSES (Unaudited) (Continued)

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The table below titled “Based on Hypothetical Total Return” provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio 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 values and expenses you paid for the period. You may use the information provided in this table to compare the ongoing costs of investing in the Funds and other funds. To do so, compare the 5% hypothetical example relating to the Funds with the 5% hypothetical examples that appear in the shareholder reports of other funds.

BASED ON HYPOTHETICAL TOTAL RETURN FOR THE SIX MONTHS ENDED JUNE 30, 2021



	Hypothetical Annualized Total Return			Beginning Account Value January 1, 2021		Ending Account Value June 30, 2021			Annualized Expense Ratio			Expenses Paid During the Period³
Baron Partners Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.10			1.36	%²	$	6.80
Baron Partners Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,019.34			1.10	%²	$	5.51
Baron Partners Fund — R6 Shares		5.00	%	$	1,000.00	$	1,019.34			1.10	%²	$	5.51
Baron Focused Growth Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.25			1.32	%	$	6.61
Baron Focused Growth Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,019.59			1.05	%	$	5.26
Baron Focused Growth Fund — R6 Shares		5.00	%	$	1,000.00	$	1,019.59			1.05	%	$	5.26
Baron International Growth Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.84	⁴		1.20	%⁵	$	6.01
Baron International Growth Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,020.08	⁴		0.95	%⁵	$	4.76
Baron International Growth Fund — R6 Shares		5.00	%	$	1,000.00	$	1,020.08	⁴		0.95	%⁵	$	4.76
Baron Real Estate Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.25			1.32	%	$	6.61
Baron Real Estate Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,019.54			1.06	%	$	5.31
Baron Real Estate Fund — R6 Shares		5.00	%	$	1,000.00	$	1,019.54			1.06	%	$	5.31
Baron Emerging Markets Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.25			1.32	%	$	6.61
Baron Emerging Markets Fund — Institutional Shares		5.00	%	$	1,000.00	$	1.019.54			1.06	%	$	5.31
Baron Emerging Markets Fund — R6 Shares		5.00	%	$	1,000.00	$	1,019.54			1.06	%	$	5.31
Baron Global Advantage Fund — Retail Shares		5.00	%	$	1,000.00	$	1,019.09	⁴		1.15	%⁵	$	5.76
Baron Global Advantage Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,020.33	⁴		0.90	%⁵	$	4.51
Baron Global Advantage Fund — R6 Shares		5.00	%	$	1,000.00	$	1,020.33	⁴		0.90	%⁵	$	4.51
Baron Real Estate Income Fund — Retail Shares		5.00	%	$	1,000.00	$	1,019.59	⁴		1.05	%⁵	$	5.26
Baron Real Estate Income Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,020.78	⁴		0.81	%⁵	$	4.06
Baron Real Estate Income Fund — R6 Shares		5.00	%	$	1,000.00	$	1,020.78	⁴		0.81	%⁵	$	4.06
Baron Health Care Fund — Retail Shares		5.00	%	$	1,000.00	$	1,019.34	⁴		1.10	%⁵	$	5.51
Baron Health Care Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,020.58	⁴		0.85	%⁵	$	4.26
Baron Health Care Fund — R6 Shares		5.00	%	$	1,000.00	$	1,020.58	⁴		0.85	%⁵	$	4.26
Baron FinTech Fund — Retail Shares		5.00	%	$	1,000.00	$	1,018.84	⁴		1.20	%⁵	$	6.01
Baron FinTech Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,020.08	⁴		0.95	%⁵	$	4.76
Baron FinTech Fund — R6 Shares		5.00	%	$	1,000.00	$	1,020.08	⁴		0.95	%⁵	$	4.76

¹	Assumes reinvestment of all dividends and capital gain distributions, if any.

²	Annualized expense ratio for Baron Partners Fund for the six months ended June 30, 2021, includes 1.32%, 1.06% and 1.06% for net operating expenses and 0.04%, 0.04% and 0.04% for interest expense for the Retail, Institutional and R6 Shares, respectively.

³	Expenses are equal to each share class’ respective 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, then divided by 365.

⁴	Ending account value assumes the return earned after waiver and would have been lower if a portion of the expenses had not been waived.

⁵	Annualized expense ratios are adjusted to reflect fee waiver.


Baron Select Funds		June 30, 2021

2021 DISCLOSURE REGARDING THE APPROVAL OF THE INVESTMENT ADVISORY AGREEMENTS BY THE BOARD OF TRUSTEES (Unaudited)

The Board of Trustees (the “Board”) of Baron Select Funds (the “Trust”) met on May 5, 2021 to discuss the selection of BAMCO, Inc. (the “Adviser”) as the investment adviser and the approval of the investment advisory agreements for Baron Partners Fund, Baron Focused Growth Fund, Baron International Growth Fund, Baron Real Estate Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, Baron Real Estate Income Fund, Baron Health Care Fund and Baron FinTech Fund (each, a “Fund” and collectively, the “Funds”). The members of the Board who are not “interested persons” (as defined in the Investment Company Act of 1940, as amended) of the Trust (the “Independent Trustees”) met in a separate session to discuss and consider the renewal of the investment advisory agreements for the Funds. Representatives of Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, provided reports to the Board and attended the Board meeting. The Trustees received a substantial amount of information from the Adviser and from Broadridge, and were advised by independent legal counsel. Based on its evaluation of this and other information, the Board, including a majority of the Independent Trustees, approved the continuation of the investment advisory agreements for the Funds for an additional one-year period.

In reaching its determination, the Board considered various factors that it deemed relevant, including the factors listed below.

1. NATURE, EXTENT AND QUALITY OF SERVICES

•

Their confidence in the senior personnel, portfolio management, the financial condition of the Adviser and its affiliates and the Adviser’s available resources;

•

The nature, extent and quality of the services provided by the Adviser, including: intensive devotion to research, selection of broker/dealers for Fund portfolio transactions, relationships with and supervision of third party service providers, such as the Funds’ custodian and transfer agent, the quality of shareholder reports, the ability to monitor adherence to investment guidelines and restrictions, the legal, accounting and compliance services provided to the Funds and the support services provided to the Board;

•

The Adviser’s investment principles and processes and the historical performance of the Funds as compared to similar funds managed by other advisers and other funds managed by the Adviser over comparable periods;

•

The advisory fees and total expense ratios of the Funds and comparisons to similar funds managed by other advisers over comparable periods. They observed that, for most of the Funds, while the advisory fee was comparatively higher, the net operating expenses paid by the Funds (total expense ratio) were within the range of those of the funds in their respective peer groups; and

•

Additional services provided by the Adviser.

The Board concluded that the nature, extent and quality of the services the Adviser provides to each Fund, including performance consistent with its investing principles, supported approval of the investment advisory agreement for each Fund.

2. INVESTMENT PERFORMANCE OF THE FUNDS AND THE ADVISER

As part of its consideration of the investment performance of the Funds and the Adviser, the Board took into account the analyses performed by and discussed with representatives of Broadridge. The Board considered for each Fund, among other information, Broadridge’s comparisons of the expense ratio and contractual advisory fee with those of peer group funds selected by Broadridge and Morningstar category medians. The Board also considered, among other performance information, Broadridge’s comparisons of each Fund’s annualized total return and related risk metrics over one-, three-, five- and ten-year periods, where applicable, against peer group funds and Morningstar category medians. After considering all the information, the Board concluded that the Adviser continued to invest in accordance with its long-standing principles and that each Fund’s performance remained consistent with expectations for the Adviser’s investment style, in light of recent market conditions.

3. COSTS OF SERVICES PROVIDED AND PROFITS TO BE REALIZED BY THE ADVISER

The Board considered comparisons of the advisory fees charged and services provided by the Adviser and its investment adviser affiliate to sub-advised accounts and separately managed accounts. The Board considered that, while the advisory fees for the other clients are the same as, or lower than, the fees for the Funds, the Adviser or its affiliate performs significantly fewer services for those clients compared with those provided by the Adviser to the Funds. The Board also considered a profitability analysis prepared by the Adviser and discussed with the representatives of the Adviser that the Adviser has continued to invest in quality personnel, systems and facilities, and otherwise continued to invest in its business, irrespective of fund flows.

The Board also considered benefits that accrue to the Adviser and its affiliates from their relationship with the Funds. The Board considered the costs of portfolio management, including the types of investments made for the Funds, the personnel and systems necessary for implementation of investment strategies, and the pre-tax profits realized by the Adviser and its affiliates from their relationship with the Funds.

4. ECONOMIES OF SCALE AND BENEFITS TO INVESTORS

The Board considered the extent to which each Fund’s advisory fee reflected economies of scale for the benefit of Fund shareholders, appreciating that the economies of scale analysis is predicated on generally predictable increasing assets and noting the small size of certain Funds and the significant fluctuation in assets in recent years. The Board considered that small- and mid-cap investment strategies require more attention by the Adviser than a strategy that involves other types of investing, particularly as asset size increases. The Board considered that the Adviser was continuing to grow and upgrade its staff and invest in its business. The Board members reiterated their intention to continue to consider the extent of economies of scale, asset growth and the Adviser’s plans to invest further to support the Funds.

The Board concluded that the advisory fee for each Fund was supported by the entirety of the presentation and particularly in light of the services provided as discussed at this meeting.

After due consideration of the above-enumerated factors and other factors it deemed relevant, the Board, including a majority of the Independent Trustees, approved the continuance of each Fund’s investment advisory agreement.


June 30, 2021		Baron Select Funds

DISCLOSURE REGARDING THE APPROVAL OF THE INVESTMENT ADVISORY AGREEMENT FOR BARON NEW ASIA FUND BY THE BOARD OF TRUSTEES (Unaudited)

The Board of Trustees (the “Board”) of Baron Select Funds (the “Trust”) met on February 4, 2021 (the “February Meeting”) to discuss the selection of BAMCO, Inc. (the “Adviser”) as the investment adviser and the approval of the investment advisory agreement (the “Agreement”) for Baron New Asia Fund (the “Fund”). The members of the Board who are not “interested persons” (as defined in the Investment Company Act of 1940, as amended) of the Trust (the “Independent Trustees”) met in a separate session to discuss and consider the approval of the Agreement. Because, at its May 4, 2020 meeting (the “May Meeting”), the Board had considered the annual review of the Investment Advisory Agreements, Distribution Agreements, and 12b-1 Plans for the other funds the Adviser advises, had received presentations from Broadridge Financial Solutions, Inc., an independent provider of investment company data, and from management about the relevant fees, expenses and services, and, from independent legal counsel, about the legal standards applicable to approval of the Agreement, similar materials were not presented at this meeting upon the Board’s confirmation that they recalled and understood the application to the Fund of the information and the presentations received and the deliberations undertaken. Based on its evaluation of this and other information, the Board, including a majority of the Independent Trustees, approved the Agreement for an initial term of two years.

The Board considered the information presented about the Fund at the February Meeting and the relevant information presented to the Board in connection with the May Meeting, as well as the following, which many of the Board members had considered in past years and remained in their thinking, as material to their consideration:

1. NATURE, EXTENT AND QUALITY OF SERVICES

In respect of their consideration of the nature, extent and quality of proposed services to be provided by the Adviser, the Independent Trustees noted that they had considered the following matters, which are relevant to the services to be provided to the Fund, at the May Meeting:

•

Their confidence in the Adviser’s senior personnel, portfolio management, the financial condition of the Adviser and its affiliates and the Adviser’s available resources;

•

The nature, extent, quality and level of long-term performance of the services provided by the Adviser to the other funds the Adviser advises, which were expected to be provided to the Fund, including: intensive devotion to research, relationships with and supervision of third party service providers, such as the custodian and transfer agent, the quality of shareholder reports, the ability to monitor adherence to investment guidelines and restrictions, the legal, accounting and compliance services to be provided to the funds and the support services provided to the Board and the selection of broker/dealers for fund portfolio transactions;

•

The Adviser’s investment principles and processes and the Board members’ general understanding of historical performance of the other funds the Adviser advises as compared to similar funds managed by other advisers;

•

Any additional services provided by the Adviser to the other funds the Adviser advises, which were expected to be provided to the Fund.

Based on the considerations as described above, the Board concluded that the nature, extent and quality of the services to be provided by the Adviser to the Fund supported approval of the Agreement.

2. COSTS OF SERVICES PROVIDED AND PROFITS TO BE REALIZED BY THE ADVISER

Since the Fund is newly formed, had not commenced operations and the eventual aggregate amount of its assets is uncertain, the Adviser was not able to provide the Board with specific information concerning the cost of services to be provided and the expected profits to be realized by the Adviser and its affiliates from their relationships with the Fund.

The Board considered the proposed advisory fee to the Adviser and the anticipated total expenses of the Fund in light of the services to be provided to the Fund as discussed above.

The Board also referenced discussions at the May Meeting regarding the costs of portfolio management, in light of discussions regarding the types of investments to be made for the Fund and the personnel and systems necessary for implementation of the investment strategies.

The Board concluded that the proposed advisory fee was supported, among other reasons, by the services to be provided.

3. ECONOMIES OF SCALE AND BENEFITS TO INVESTORS

Since the Fund is newly formed, had not commenced operations and the eventual aggregate amount of the Fund’s assets is uncertain, the Adviser was not able to provide the Board with specific information concerning the extent to which economies of scale would be realized as the Fund grows and whether fee levels would reflect such economies of scale, if any. It was agreed that the issue would be revisited no later than when the Board next reviewed the advisory fee in connection with the renewal of the Agreement.

After due consideration, including in executive session, of the above-enumerated factors, among other factors it deemed relevant, the Board, including a majority of the Independent Trustees, approved the Agreement for an initial term of two years.

Privacy Notice

The Funds collect nonpublic personal information about you from the following sources:

∎

Information we receive from you on applications or other forms;

∎

Information about your transactions with us, our Adviser or others; and

∎

Information we receive from third parties, such as credit reporting agencies.

“Nonpublic personal information” is private information about you that we obtain in connection with providing a financial product or service to you.

We may share your name and address with other Baron Funds and the Adviser and its affiliates for the purpose of sending you information about our products that we believe may be of interest to you and informing you of our upcoming Baron Investment Conference and for sending required information.

We do not disclose any nonpublic personal information about our customers to anyone, except as permitted or required by law. Examples of permitted disclosures under the law include sharing with companies that work for us to provide you services, such as the Transfer Agent or mailing house. All such companies that act on our behalf are contractually obligated to keep the information that we provide to them confidential and to use the information only to provide the services that we have asked them to perform for you and us.

We restrict access to nonpublic information about you to those employees who need to know that information to provide products or services to you. We maintain physical, electronic and procedural safeguards to guard your nonpublic personal information.

This privacy notice is also available at all times on the Baron Funds^® website, www.BaronFunds.com or by calling 1-800-99BARON.

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767 Fifth Avenue, 49^th Fl.

New York, NY 10153

1.800.99.BARON

212-583-2000

www.BaronFunds.com

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JUNE 21

June 30, 2021

Baron Funds

Baron WealthBuilder Fund

Semi-Annual Financial Report


*Ticker Symbols:*
Retail Shares: BWBFX
TA Shares: BWBTX
Institutional Shares: BWBIX
Performance			3
Country Exposures			4
Sector Exposures			4
Management’s Discussion of Fund Performance			4

Financial Statements
Statement of Net Assets			5
Statement of Assets and Liabilities			6
Statement of Operations			7
Statements of Changes in Net Assets			8
Notes to Financial Statements			9

Financial Highlights			14

Fund Expenses			15

Disclosure Regarding the Approval of the Investment Advisory Agreement for Baron WealthBuilder Fund by the Board of Trustees			16

DEAR BARON WEALTHBUILDER FUND SHAREHOLDER:

In this report, you will find unaudited financial statements for Baron WealthBuilder Fund (the “Fund”) for the six months ended June 30, 2021. The U.S. Securities and Exchange Commission (the “SEC”) requires mutual funds to furnish these statements semi-annually to their shareholders. We hope you find these statements informative and useful.

We thank you for choosing to join us as fellow shareholders in Baron Funds. We will continue to work hard to justify your confidence.

Sincerely,

Ronald Baron

Chief Executive Officer

August 20, 2021

Linda S. Martinson

Chairman, President and

Chief Operating Officer

August 20, 2021

Peggy Wong

Treasurer and

Chief Financial Officer

August 20, 2021

This Semi-Annual Financial Report is for the Baron WealthBuilder Fund. If you are interested in the other series of Baron Select Funds, which contains the Baron Partners Fund, Baron Focused Growth Fund, Baron International Growth Fund, Baron Real Estate Fund, Baron Emerging Markets Fund, Baron Global Advantage Fund, Baron Real Estate Income Fund, Baron Health Care Fund, Baron FinTech Fund, and Baron New Asia Fund, or Baron Investment Funds Trust, which contains the Baron Asset Fund, Baron Growth Fund, Baron Small Cap Fund, Baron Opportunity Fund, Baron Fifth Avenue Growth Fund, Baron Discovery Fund, and Baron Durable Advantage Fund, please visit the Funds’ website at www.BaronFunds.com or contact us at 1-800-99BARON.

Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate; an investor’s shares, when redeemed, may be worth more or less than their original cost. For more complete information about Baron Funds, including charges and expenses, call, write or go to www.BaronFunds.com for a prospectus or summary prospectus. Read them carefully before you invest or send money. This report is not authorized for use as an offer of sale or a solicitation of an offer to buy shares of the Fund, unless accompanied or preceded by the Fund’s current prospectus or summary prospectus.

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Baron WealthBuilder Fund		June 30, 2021

Baron WealthBuilder Fund is an open end, no-load mutual fund that invests only in shares of individual Baron mutual funds ("Baron Funds"). Long-term capital appreciation is its objective. It is not a target date fund.

Baron WealthBuilder Fund’s objective is to provide investors with a diversified portfolio of Baron Funds that will outperform its benchmark index over the long term, although we cannot guarantee it will meet its objective.

Baron WealthBuilder Fund’s minimum initial investment is $2,000, making it suitable for periodic purchases.

Baron WealthBuilder Fund has no management fee, but it will indirectly bear its pro-rata share of the expenses of the Baron Funds in which it invests (acquired funds).

Baron WealthBuilder Fund’s annual operating expenses are capped at 5 bps per year for Institutional Shares and TA Shares (available directly through Baron Funds). Retail Shares operating expenses are capped at 30 bps per year. Portfolio transaction costs, interest, dividend, acquired fund fees and expenses are not subject to the operating expense limitation.

Several criteria, including our qualitative assessments, are used to continually determine Baron WealthBuilder Fund allocations among Baron Funds.

Among the criteria are: (a) absolute performance; (b) excess performance vs. benchmark; (c) performance standard deviation (a measure of risk); (d) Sharpe ratio (a measure of performance per unit of risk); (e) beta (a measure of a fund’s sensitivity to market movements); (f) alpha (a measure of excess return given level of risk as measured by beta); (g) portfolio turnover; (h) growth rates of portfolio investments; (i) fund size; and (j) manager tenure.

As of June 30, 2021, the five largest Baron Funds represented 59.5% of Baron WealthBuilder Fund’s net assets.

Ronald Baron, CEO of Baron Capital is the lead portfolio manager of Baron WealthBuilder Fund. Michael Baron, Vice President, is the co-portfolio manager.


June 30, 2021 (Unaudited)		Baron WealthBuilder Fund

COMPARISON OF THE CHANGE IN VALUE OF $10,000 INVESTMENT IN BARON WEALTHBUILDER FUND (RETAIL SHARES)

IN RELATION TO THE S&P 500 INDEX AND THE MSCI ACWI INDEX

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AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED JUNE 30, 2021
	Six Months*		One Year		Three Years		Since Inception December 29, 2017)
Baron WealthBuilder Fund — Retail Shares^1,2		9.25%		60.90%		28.12%		26.22%
Baron WealthBuilder Fund — TA Shares^1,2		9.39%		61.20%		28.45%		26.49%
Baron WealthBuilder Fund — Institutional Shares^1,2		9.39%		61.32%		28.45%		26.49%
S&P 500 Index¹		15.25%		40.79%		18.67%		16.67%
MSCI ACWI Index Net¹		12.30%		39.26%		14.57%		12.22%

*	Not Annualized.

The S&P 500 Index measures the performance of 500 widely held large cap U.S. companies. The MSCI ACWI Index is an unmanaged, free float-adjusted market capitalization weighted index reflected in U.S. dollars that measures the equity market performance of large- and mid-cap securities across developed and emerging markets, including the United States. MSCI is the source and owner of the trademarks, service marks and copyrights related to the MSCI Indexes. The Indexes and Baron WealthBuilder Fund are with dividends, which positively impact the performance results. The MSCI ACWI Index is net of foreign withholding taxes. The indexes are unmanaged. The index performance is not Fund performance; one cannot invest directly into an index.

Past performance is not predictive of future performance. The performance data does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. BAMCO, Inc. (“BAMCO” or the “Adviser”) has agreed that, pursuant to a contract expiring on August 29, 2031, unless renewed for another 11-year term, it will reimburse certain expenses of the Fund, limiting net annual operating expenses (portfolio transaction costs, interest, dividend, acquired fund fees and expenses and extraordinary expense are not subject to the operating expense limitation) to 0.30% of average daily net assets of Retail Shares, 0.05% of average daily net assets of Institutional shares and 0.05% of average daily net assets of TA shares, without which performance would have been lower.


Baron WealthBuilder Fund (Unaudited)		June 30, 2021

COUNTRY EXPOSURES OF BARON UNDERLYING FUNDS AS OF JUNE 30, 2021


	Percent of Net Assets
United States		82.7%
China		3.4%
United Kingdom		2.2%
Netherlands		1.6%
Israel		1.4%
Canada		1.3%
India		1.3%
Brazil		0.7%
Argentina		0.5%
Sweden		0.5%
Other		3.5%
Cash and Cash Equivalents		0.9%

		100.0%

SECTOR EXPOSURES OF BARON UNDERLYING FUNDS AS OF JUNE 30, 2021^†

(as a percentage of net assets)

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

For the six-month period ended June 30, 2021, Baron WealthBuilder Fund¹ appreciated 9.25%, underperforming the S&P 500 Index, which increased 15.25%.

Baron WealthBuilder Fund is a diversified fund that invests exclusively in other Baron mutual funds. At any given time, it invests in the securities of a select number of Baron mutual funds representing specific investment strategies. The Fund can invest in funds holding U.S. and international stocks; small-cap, small- to mid-cap, mid-cap, large-cap, all-cap stocks; and sector stocks. Baron WealthBuilder Fund normally invests in a variety of domestic and international equity funds. It seeks to invest in businesses it believes have significant opportunities for growth, sustainable competitive advantages, exceptional management, and an attractive valuation. Of course, there can be no assurance that we will be successful in achieving the Fund’s investment goals.

While equity markets continued their upward climb through the first half of 2021, beneath the surface, a major rotation took place. The “recovery play” dominated at first, with stocks hit hard during the pandemic along with cyclical, more speculative stocks peaking mid-period as pent-up demand met massive policy stimulus, positive vaccine developments, and the reopening of the economy. Secular growth stocks came back in favor later in the period, led by large-cap technology stocks. The economy continued to grow as the effects of the pandemic receded, and growth appeared likely to stay solid in the near term. However, global inflation accelerated significantly, both in goods and wages, causing investor concerns around whether policy was too stimulative, the Federal Reserve and other central banks needed to change course, and interest rates would continue to rise.

On a sector basis, Health Care, Information Technology, and Consumer Discretionary contributed the most. No sector detracted.

On a country basis, the U.S., U.K., and Canada contributed the most. China and Brazil detracted the most.

Baron Asset Fund and Baron Growth Fund contributed the most to performance.

No Fund detracted in the period.

We do not invest based on our insights into macroeconomic, political, or, more recently, public health issues. Nevertheless, we are optimistic that near-term business conditions seem favorable for our investments — vaccines seem to be highly effective, governments are loosening restrictions, continued fiscal stimulus seems likely, and interest rates remain below historic levels. While inflation is now on the table, the Federal Reserve appears to believe it to be a transitory result of pandemic-related supply and labor constraints and has pledged to keep rates low for the near term.

†

*	Represents less than 0.05% of net assets.

¹	Performance information reflects results of the Retail Shares.


June 30, 2021		Baron WealthBuilder Fund

STATEMENT OF NET ASSETS (Unaudited)

JUNE 30, 2021


Shares			Cost		Value
Affiliated Mutual Funds (100.02%)

Small Cap Funds (29.40%)
	490,875	Baron Discovery Fund — Institutional Shares	$	13,771,547	$	19,468,120
	466,216	Baron Growth Fund — Institutional Shares		43,600,621		55,218,662
	1,222,140	Baron Small Cap Fund — Institutional Shares		42,940,992		52,014,269

	Total Small Cap Funds			100,313,160		126,701,051


Small to Mid Cap Funds (3.97%)
	374,912	Baron Focused Growth Fund — Institutional Shares		9,740,340		17,129,716


Mid Cap Funds (13.06%)
	444,274	Baron Asset Fund — Institutional Shares		42,726,858		56,267,352


Large Cap Funds (8.02%)
	412,403	Baron Durable Advantage Fund — Institutional Shares		5,848,017		7,530,471
	468,664	Baron Fifth Avenue Growth Fund — Institutional Shares		19,130,218		27,013,769

	Total Large Cap Funds			24,978,235		34,544,240


All Cap Funds (20.98%)
	569,023	Baron Opportunity Fund — Institutional Shares		16,699,528		26,630,274
	361,386	Baron Partners Fund — Institutional Shares		26,935,653		63,795,466

	Total All Cap Funds			43,635,181		90,425,740


International Funds (13.27%)
	881,779	Baron Emerging Markets Fund — Institutional Shares		14,420,121		17,591,498
	507,935	Baron Global Advantage Fund — Institutional Shares		20,572,640		29,160,574
	289,454	Baron International Growth Fund — Institutional Shares		7,989,473		10,449,286

	Total International Funds			42,982,234		57,201,358


Sector Funds (11.32%)
	594,431	Baron FinTech Fund — Institutional Shares		7,994,541		10,087,487
	562,362	Baron Health Care Fund — Institutional Shares		9,645,601		11,899,578
	489,171	Baron Real Estate Fund — Institutional Shares		15,693,400		20,481,574
	383,448	Baron Real Estate Income Fund — Institutional Shares		6,168,973		6,296,212

	Total Sector Funds			39,502,515		48,764,851


	Total Affiliated Investments (100.02%)		$	303,878,523		431,034,308


	Liabilities Less Cash and Other Assets (-0.02%)					(77,545	)


	Net Assets				$	430,956,763


	Retail Shares (Equivalent to $21.38 per share based on 3,855,429 shares outstanding)				$	82,430,487


	TA Shares (Equivalent to $21.55 per share based on 1,569,975 shares outstanding)				$	33,825,450


	Institutional Shares (Equivalent to $21.55 per share based on 14,603,094 shares outstanding)				$	314,700,826

%	Represents percentage of net assets.

All Affiliated Mutual Funds are Level 1.


See Notes to Financial Statements.		5


Baron WealthBuilder Fund		June 30, 2021

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

JUNE 30, 2021


Assets:
Investments in Affiliated Mutual Funds, at value*	$	431,034,308
Receivable for shares sold		980,968
Prepaid expenses		2,235

		432,017,511

Liabilities:
Due to custodian bank		453,404
Payable for securities purchased		413,671
Payable for shares redeemed		113,893
Distribution fees payable (Note 4)		894
Accrued expenses and other payables		78,886

		1,060,748

Net Assets	$	430,956,763

Net Assets consist of:
Paid-in capital	$	296,268,610
Distributable earnings/(losses)		134,688,153

Net Assets	$	430,956,763

Retail Shares:
Net Assets	$	82,430,487
Shares Outstanding ($0.01 par value; indefinite shares authorized)		3,855,429

Net Asset Value and Offering Price Per Share	$	21.38

TA Shares:
Net Assets	$	33,825,450
Shares Outstanding ($0.01 par value; indefinite shares authorized)		1,569,975

Net Asset Value and Offering Price Per Share	$	21.55

Institutional Shares:
Net Assets	$	314,700,826
Shares Outstanding ($0.01 par value; indefinite shares authorized)		14,603,094

Net Asset Value and Offering Price Per Share	$	21.55


*Investments in Affiliated Mutual Funds, at cost	$	303,878,523


6		See Notes to Financial Statements.


June 30, 2021		Baron WealthBuilder Fund

STATEMENT OF OPERATIONS (Unaudited)

JUNE 30, 2021


	For the Six Months Ended June 30, 2021
Investment income:
Income:
Dividends from Affiliated Mutual Funds	$	14,383

Total income		14,383

Expenses:
Distribution fees — Retail Shares (Note 4)		82,494
Shareholder servicing agent fees and expenses — Retail Shares		1,650
Shareholder servicing agent fees and expenses — TA Shares		992
Shareholder servicing agent fees and expenses — Institutional Shares		6,048
Reports to shareholders		23,100
Registration and filing fees		49,234
Custodian and fund accounting fees		27,723
Trustee fees and expenses (Note 4)		5,616
Administration fees		22,263
Insurance expense		1,336
Line of credit fees		2,754
Professional fees		6,086
Miscellaneous expenses		2,163

Total operating expenses		231,459

Interest expense on borrowings		180

Total expenses		231,639
Reimbursement of expenses by Adviser — Retail Shares (Note 4)		(11,962	)
Reimbursement of expenses by Adviser — TA Shares (Note 4)		(7,829	)
Reimbursement of expenses by Adviser — Institutional Shares (Note 4)		(42,274	)

Net expenses		169,574

Net investment income (loss)		(155,191	)

Realized and unrealized gain (loss) on investments:
Net realized gain on Affiliated Mutual Funds sold		65,051
Change in net unrealized appreciation (depreciation) of
Affiliated Mutual Funds		31,322,110

Net gain (loss) on investments		31,387,161

Net increase (decrease) in net assets resulting from operations	$	31,231,970


See Notes to Financial Statements.		7


Baron WealthBuilder Fund		June 30, 2021

STATEMENTS OF CHANGES IN NET ASSETS (Unaudited)


	For the Six Months Ended June 30, 2021			For the Year Ended December 31, 2020
Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	(155,191)		$	(108,459)
Net realized gain on Affiliated Mutual Funds		65,051			9,069,136
Change in net unrealized appreciation (depreciation) of Affiliated Mutual Funds		31,322,110			81,205,696

Increase (decrease) in net assets resulting from operations		31,231,970			90,166,373

Distributions to shareholders from:
Distributable earnings — Retail Shares		—			(378,655	)
Distributable earnings — TA Shares		—			(500,550	)
Distributable earnings — Institutional Shares		—			(1,966,011	)

Decrease in net assets from distributions to shareholders		—			(2,845,216	)

Capital share transactions:
Proceeds from the sale of shares — Retail Shares		42,371,192			36,161,463
Proceeds from the sale of shares — TA Shares		7,305,862			8,711,001
Proceeds from the sale of shares — Institutional Shares		114,324,529			49,693,821
Net asset value of shares issued in reinvestment of distributions — Retail Shares		—			378,140
Net asset value of shares issues in reinvestment of distribution — TA Shares		—			500,142
Net asset value of shares issued in reinvestment of distributions — Institutional Shares		—			1,940,053
Cost of shares redeemed — Retail Shares		(9,891,184	)		(7,798,920	)
Cost of shares redeemed — TA Shares		(20,146,118	)		(1,575,827	)
Cost of shares redeemed — Institutional Shares		(6,857,790	)		(23,763,269	)

Increase (decrease) in net assets derived from capital share transactions		127,106,491			64,246,604

Net increase (decrease) in net assets		158,338,461			151,567,761

Net Assets:
Beginning of period		272,618,302			121,050,541

End of period	$	430,956,763		$	272,618,302

Capital share transactions — Retail Shares
Shares sold		2,067,076			2,403,435
Shares issued in reinvestment of distributions		—			23,277
Shares redeemed		(486,132	)		(636,737	)

Net increase (decrease)		1,580,944			1,789,975

Capital share transactions — TA Shares
Shares sold		354,302			584,854
Shares issued in reinvestment of distributions		—			30,868
Shares redeemed		(1,016,803	)		(123,288	)

Net increase (decrease)		(662,501	)		492,434

Capital share transactions — Institutional Shares
Shares sold		5,590,962			3,293,845
Shares issued in reinvestment of dividends		—			119,461
Shares redeemed		(331,931	)		(1,704,041	)

Net increase (decrease)		5,259,031			1,709,265


8		See Notes to Financial Statements.


June 30, 2021		Baron WealthBuilder Fund

NOTES TO FINANCIAL STATEMENT (Unaudited)

1. ORGANIZATION

The Fund offers Retail Shares, TA Shares and Institutional Shares. Each class of shares differs only in its ongoing fees, expenses and eligibility requirements. Retail Shares are offered to all investors but are not available through the Fund’s transfer agent. TA Shares are available only to investors who purchase shares directly through the Fund’s transfer agent. TA Shares do not charge a 12b-1 fee and no revenue sharing, sub-transfer agency or record-keeping service payments are made by or in respect of TA Shares. Institutional Shares are for investments in the amount of $1 million or more. Institutional Shares are intended for certain financial intermediaries that offer shares of the Fund through fee-based platforms, retirement platforms or other platforms. Each class of shares has equal rights to earnings and assets, except that each class bears different expenses for distribution and shareholder servicing. The Fund’s investment income, realized and unrealized gains or losses on investments, and expenses other than those attributable to a specific class are allocated to each class based on its relative net assets. Each class of shares has exclusive voting rights with respect to matters that affect just that class.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies followed by the Fund. The policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the amounts of income and expenses during the period. Actual results could differ from those estimates. Events occurring subsequent to the date of the Statement of Assets and Liabilities and through the date of issuance of the financial statements have been evaluated for adjustment to or disclosure in the financial statements.

a) Security Valuation. The Fund’s share price or net asset value (“NAV”) is calculated as of the scheduled close of the regular trading session (usually 4 p.m. E.T. or such other time as of which the Fund’s NAV is calculated (the “NAV Calculation Time”)) on the New York Stock Exchange (the “Exchange”) on any day the Exchange is scheduled to be open. Investments in the Underlying Funds are valued at their closing NAV per share on the day of valuation.

Portfolio securities held by the Underlying Funds traded on any national stock exchange are valued based on the last sale price on the exchange where such shares are principally traded. For securities traded on NASDAQ, the Underlying Funds use the NASDAQ Official Closing Price. If there are no sales on a given day, the value of the security may be the average of the most recent bid and asked quotations on such exchange or the last sale price from a prior day. Where market quotations are not readily available, or, if in the Adviser’s judgment, they do not accurately reflect the fair value of a security held by one of the Underlying Funds, or an event occurs after the market close but before the Underlying Funds are priced that materially affects the value of a security, the security will be valued by the Adviser using policies and procedures approved by the Board of Trustees (the “Board”). Some of the more common reasons that may necessitate that a security held by one of the Underlying Funds be valued using “fair value” pricing may include, but are not limited to: trading of the security has been halted or suspended; or the security has not been traded for an extended period of time. The Adviser has a Fair Valuation Committee (the “Committee”) comprised of senior management representatives and the Committee reports to the Board every quarter. Factors the Committee may consider when valuing a security include whether a current price is stale, there is recent news, the security is thinly traded, transactions are infrequent, or quotations are genuine. There can be no guarantee, however, that a fair valuation used by the Underlying Funds on any given day will more accurately reflect the market value of an investment than the closing price of such investment in its market. U.S. Government obligations, money market instruments, and other debt instruments held by the Underlying Funds with a remaining maturity of 60 days or less are generally valued at amortized cost, which approximates fair value. Debt instruments having a greater remaining maturity will be valued on the basis of prices obtained from a pricing service approved by the Board or at the mean of the bid and ask prices from the dealer maintaining an active market in that security. The value of the Underlying Funds’ investments in convertible bonds/convertible preferred stocks is determined primarily by obtaining valuations from independent pricing services based on readily available bid quotations or, if quotations are not available, by methods which include various considerations such as yields or prices of securities of comparable quality, coupon, maturity and type; indications as to values from dealers; and general market conditions. Other inputs used by an independent pricing service to value convertible bonds/convertible preferred stocks generally include underlying stock data, conversion premiums, listed bond and preferred stock prices and other market information which may include benchmark curves, trade execution data, sensitivity analysis, when available, or an estimated value, calculated based on the price of the underlying common share on the valuation date adjusted for accrued and unpaid dividends. Open-end investment companies, including securities lending collateral invested in registered investment company money market funds, are valued at their NAV each day.

Non-U.S. equity securities held by the Underlying Funds traded on foreign securities exchanges are generally valued using an independent pricing vendor that provides daily fair value adjustment factors based on information such as local closing price, relevant general and sector indexes, currency fluctuations, and depositary receipts, as applicable. Securities valued using such adjustment factors are classified as Level 2 in the fair value hierarchy. The models of the independent pricing vendor generate an adjustment factor for each security, which is applied to the local closing price to adjust it for post-closing market movements up to the time the Underlying Funds are valued and translated into U.S. dollars. If the vendor does not provide an adjustment factor for a security, the security is valued based on its most recent local closing price and translated into U.S. dollars. The Adviser may also fair value securities in other situations, for example, when a particular foreign market is closed but the Underlying Funds are open. Other mutual funds may adjust the prices of their securities by different amounts.


Baron WealthBuilder Fund		June 30, 2021

NOTES TO FINANCIAL STATEMENT (Unaudited) (Continued)

2. SIGNIFICANT ACCOUNTING POLICIES (Continued)

b) Securities Transactions, Investment Income and Expenses. Securities transactions are recorded on a trade date basis. Realized gain and loss from securities transactions are recorded on an identified cost basis for financial reporting and federal income tax purposes. Dividend income and capital gain distributions from the Underlying Funds are recognized on the ex-dividend date and interest income is recognized on an accrual basis. Dividends received from Underlying Funds are reflected as dividend income; capital gain distributions as realized gains. The Fund is charged for those expenses directly attributable to the Fund, such as distribution and transfer agency fees. Expenses that are not directly attributable to the Fund are typically allocated among the Baron Funds in proportion to their respective net assets.

Expenses included in the accompanying financial statements reflect the expenses of the Fund and do not include any expenses associated with the Underlying Funds. Because Underlying Funds have varied expenses and fee levels and the Fund may own different proportion of Underlying Funds at different times, the amount of fees and expenses incurred indirectly by the Fund will vary.

c) Single Issuer. Single issuer risk is the possibility that factors specific to an issuer to which an Underlying Fund is exposed will affect the market prices of the issuer’s securities and therefore the NAV of the Underlying Fund. Due to the size of Baron Partners Fund’s and Baron Focused Growth Fund’s investments in Tesla, Inc. (“Tesla”), 41% and 32%, respectively, of these Underlying Funds’ net assets as of June 30, 2021, the NAVs of these Underlying Funds will be materially impacted by the price of Tesla stock. The Fund’s indirect proportional ownership of Tesla is $30,769,251, which represents 7.1% of the Fund’s net assets as of June 30, 2021. The financial statements of the Underlying Funds are available at www.BaronFunds.com.

d) Non-Diversified Portfolio. Certain Underlying Funds are non-diversified, which means they will likely have a greater percentage of their assets in a single issuer than a diversified fund. As a result, a non-diversified fund will likely invest a greater percentage of its assets in fewer issuers, and the performance of those issuers may have a greater effect on the Underlying Fund’s performance (and consequently the Fund’s performance) compared to a diversified fund. Thus, a non-diversified fund is more likely to experience significant fluctuations in value, exposing the Underlying Fund (and consequently the Fund) to a greater risk of loss in any given period than a diversified fund. Additionally, non-diversified funds may encounter difficulty liquidating securities.

e) Industry Concentration. From time to time, market fluctuations in the value of an Underlying Fund’s investments, combined with an Underlying Fund’s non-diversified portfolio, may result in an Underlying Fund being concentrated in the securities of a single issuer or a small number of issuers, including in a particular industry. As a result, this Underlying Fund will be particularly exposed to the risks of that company or industry relative to the risk exposure of investment companies holding a diversified portfolio of securities or those that seek to maintain near-index weightings in their portfolio securities. Accordingly, in those cases, an Underlying Fund will be disproportionately exposed to the market conditions, interest rates, and economic, regulatory, or financial developments that significantly affect that company or industry. For example, due to the size of Baron Partners Fund’s and Baron Focused Growth Fund’s investments in Tesla, which represent about 41% and 32%, respectively, of these Underlying Funds’ net assets as of June 30, 2021, these Underlying Funds will be more adversely impacted by negative developments affecting the automotive and energy industries, as well as governmental environmental regulations.

f) Federal Income Taxes. The Fund intends to meet the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute to its shareholders substantially all of its net investment income and any net realized capital gains at least annually. The Fund will not be subject to federal or state income taxes to the extent that it qualifies as regulated investment companies and substantially all of its income is distributed.

g) Distributions to Shareholders. Income and capital gain distributions to shareholders are determined in accordance with income tax regulations which may differ from GAAP. These differences are primarily due to differing treatments for net investment loss and wash sale losses deferred.

h) Commitments and Contingencies. In the normal course of business, the Fund may enter into contracts and agreements that contain a variety of representations and warranties, which provide general indemnification. The maximum exposure to the Fund under these agreements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred.

i) Cash and Cash Equivalents. The Fund considers all short term liquid investments with a maturity of three months or less when purchased to be cash equivalents.

3. PURCHASES AND SALES OF SECURITIES

Purchases and sales of securities, other than short term securities, for the six months ended June 30, 2021 were as follows:



Fund	Purchases		Sales
Baron WealthBuilder Fund	$	127,605,615	$	634,791

4. INVESTMENT ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES

a) Investment Advisory Fees. The Adviser, a wholly owned subsidiary of Baron Capital Group, Inc. (“BCG”), serves as investment adviser to the Fund and the Underlying Funds. The Adviser will not be paid a management fee for performing investment management services for the Fund. However, the Adviser receives management fees for managing the Underlying Funds. See the Underlying Funds’ Prospectuses or Statements of Additional Information for specific fees. The Adviser is contractually obligated to reimburse certain expenses of the Fund so that its net annual operating expenses (excluding acquired fund fees and expenses, portfolio transaction costs, interest, dividend and extraordinary expenses) are limited to 0.30% of average daily net assets of Retail Shares, 0.05% of average daily net assets of TA Shares and 0.05% of average daily net assets of Institutional Shares.

b) Distribution Fees. Baron Capital, Inc. (“BCI”), a wholly owned subsidiary of BCG, is a registered limited purpose broker-dealer and the distributor of the Fund’s shares. The Fund is authorized to pay BCI a distribution fee payable monthly pursuant to a distribution plan under Rule 12b-1 of the 1940 Act equal to 0.25% per annum of the Retail Shares’ average daily net assets.

c) Trustee Fees. Certain Trustees of the Fund are interested persons (as defined by the 1940 Act) of the Trust. None of these Trustees received compensation for his or her services as a Trustee of the Fund. None of the Fund’s officers received compensation from the Fund for their services as an officer.


June 30, 2021		Baron WealthBuilder Fund

NOTES TO FINANCIAL STATEMENT (Unaudited) (Continued)

4. INVESTMENT ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES (Continued)

d) Fund Accounting and Administration Fees. The Fund has entered into an agreement with State Street Bank and Trust Company (“State Street”) to perform accounting and certain administrative services. State Street is compensated for fund accounting services based on a percentage of the Fund’s net assets, plus fixed annual fees for the administrative services.

5. LINE OF CREDIT

Baron WealthBuilder Fund, together with other funds in Baron Select Funds (except Baron Partners Fund) and Baron Investment Funds Trust, participate in a committed line of credit agreement with State Street to be used for temporary purposes, primarily for financing redemptions. Each fund may borrow up to the lesser of $200 million or the maximum amount each fund may borrow under the 1940 Act, the limitations included in each fund’s prospectus, or any limit or restriction under any law or regulation to which each fund is subject or any agreement to which each fund is a party; provided that the aggregate outstanding principal amount of all loans to any of the funds may not exceed $200 million. Interest is charged to each fund, based on its borrowings, at a rate per annum equal to the higher of the Overnight Bank Funding Rate plus 0.10% and the Overnight Federal Funds Rate plus 0.10%; plus a margin of 1.00%. An upfront fee of 0.05% is incurred on the commitment amount and a commitment fee of 0.20% per annum is incurred on the unused portion of the line of credit. Both fees are allocated to the participating funds based on their relative net assets.

During the six months ended June 30, 2021, Baron WealthBuilder Fund had borrowings under the line of credit and incurred interest expense of $180. For the 3 days during which there were borrowings, Baron WealthBuilder Fund had an average daily balance on the line of credit of $1.8 million at a weighted average interest rate of 1.22%.

6. ASSET ALLOCATION AND RISKS OF INVESTING IN THE UNDERLYING FUNDS

The Fund’s ability to meet its investment objective depends largely upon selecting the best mix of Underlying Funds. The selection of the Underlying Funds and the allocation of the Fund’s assets among the various market sectors could cause the Fund to underperform in comparison to other funds with a similar investment objective. In addition, each of the Underlying Funds has its own investment risks, and those risks can affect the value of the Fund’s investments. To the extent that the Fund invests more of its assets in one Underlying Fund than in another, it will have greater exposure to the risks of that Underlying Fund.

7. FAIR VALUE MEASUREMENTS

Fair value is defined by GAAP as the price that the Fund would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market for the investment. GAAP provides a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable or unobservable. Observable inputs are based on market data obtained from sources independent of the Fund. Unobservable inputs are inputs that reflect the Fund’s own assumptions based on the best information available in the circumstances. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.

•

Level 1 — quoted prices in active markets for identical assets or liabilities;

•

Level 3 — prices determined using unobservable inputs when quoted prices or observable inputs are unavailable, such as when there is little or no market activity for an asset or liability (unobservable inputs reflect the Fund’s own assumptions in determining the fair value of assets or liabilities and would be based on the best information available).

Investments in open-end registered investment companies are valued at NAV and are classified in the fair value hierarchy as Level 1.

8. INCOME TAXES AND DISTRIBUTIONS TO SHAREHOLDERS

Federal income tax regulations differ from GAAP. Therefore, distributions determined in accordance with tax regulations may differ in amount or character from net investment income and net realized gain for financial reporting purposes. Net investment income (loss) and net realized and unrealized gain (loss) differ for financial statement and tax purposes due to differing treatments of net investment loss, and wash sale losses deferred. Financial reporting records are adjusted for permanent book/tax differences to reflect tax character. Financial records are not adjusted for temporary differences.

As of June 30, 2021, the components of net assets on a tax basis were as follows:


Cost of investments	$	303,878,523

Gross tax unrealized appreciation		127,155,785
Gross tax unrealized depreciation		—

Net tax unrealized appreciation (depreciation)		127,155,785
Accumulated net investment income (loss)		(68,342	)
Accumulated net realized gain (loss)		7,600,710
Paid-in capital		296,268,610

Net Assets	$	430,956,763


Baron WealthBuilder Fund		June 30, 2021

NOTES TO FINANCIAL STATEMENT (Unaudited) (Continued)

8. INCOME TAXES AND DISTRIBUTIONS TO SHAREHOLDERS (Continued)

The tax character of distributions paid during the six months ended June 30, 2021 and for the year ended December 31, 2020 was as follows:



Six Months Ended June 30, 2021				Year Ended December 31, 2020

Ordinary¹		Long Term Capital Gain		Ordinary¹		Long Term Capital Gain
$	—	$	—	$	—	$	2,845,216

¹	For tax purposes, short-term capital gains are considered ordinary income distributions.

The Fund follows the provisions of FASB Codification Section 740 (“ASC Section 740”) “Accounting for Uncertainty in Income Taxes” which clarifies the accounting for uncertainty in tax positions taken or expected to be taken on a tax return. ASC Section 740 sets forth a threshold for financial statement recognition, measurement and disclosure of tax positions taken or expected to be taken on a tax return. The Fund is required to recognize the tax effects of certain tax positions under a “more likely than not” standard, that based on their technical merits, have more than 50 percent likelihood of being sustained upon examination. Management has analyzed the tax positions taken on the Fund’s federal income tax returns for the current year and prior two years, and has concluded that no provision for federal income tax is required in the Fund’s financial statements. At June 30, 2021, the Fund did not have any uncertain tax benefits that require recognition, de-recognition or disclosure. The Fund’s federal, state and local income and federal excise tax returns for which the applicable statutes of limitations have not expired (current and prior three years) are subject to examination by the Internal Revenue Service and state departments of revenue.

9. OWNERSHIP CONCENTRATION

As of June 30, 2021 the officers, trustees and portfolio managers owned, directly or indirectly, 11.68% of the Fund. As a result of their ownership, these investors may be able to materially affect the outcome of matters presented to the Fund’s shareholders.


June 30, 2021		Baron WealthBuilder Fund

NOTES TO FINANCIAL STATEMENT (Unaudited) (Continued)

10. TRANSACTIONS IN “AFFILIATED” COMPANIES

The Fund invests in the Institutional Shares of the Underlying Funds which are considered to be affiliated with the Fund.



Name of Issuer	Value at December 31, 2020		Purchase Cost		Sales Proceeds/ Return of Capital		Change in Net Unrealized Appreciation (Depreciation)		Realized Gains/ (Losses)			Dividend Income		Other Distributions		Shares Held at June 30, 2021		Value at June 30, 2021		% of Net Assets at June 30, 2021
“Affiliated” Company as of June 30, 2021:
Baron Asset Fund, Institutional Shares	$	35,331,781	$	16,651,236	$	21,555	$	4,306,583	$	(693	)	$	—	$	—		444,274	$	56,267,352		13.06	%
Baron Discovery Fund, Institutional Shares		10,924,041		6,677,359		5,065		1,872,134		(349	)		—		—		490,875		19,468,120		4.52	%
Baron Durable Advantage Fund, Institutional Shares		3,690,125		2,946,463		1,970		895,834		19			—		—		412,403		7,530,471		1.75	%
Baron Emerging Markets Fund, Institutional Shares		10,259,667		6,813,567		4,783		523,372		(325	)		—		—		881,779		17,591,498		4.08	%
Baron Fifth Avenue Growth Fund, Institutional Shares		15,540,300		8,743,032		8,944		2,739,905		(524	)		—		—		468,664		27,013,769		6.27	%
Baron FinTech Fund, Institutional Shares		4,788,760		4,064,153		2,532		1,237,090		16			—		—		594,431		10,087,487		2.34	%
Baron Focused Growth Fund, Institutional Shares		12,571,803		4,144,419		4,502		418,369		(373	)		—		—		374,912		17,129,716		3.97	%
Baron Global Advantage Fund, Institutional Shares		15,993,315		10,796,665		7,576		2,379,175		(1,005	)		—		—		507,935		29,160,574		6.77	%
Baron Growth Fund, Institutional Shares		33,319,521		18,079,601		15,844		3,835,739		(355	)		—		—		466,216		55,218,662		12.81	%
Baron Health Care Fund, Institutional Shares		5,923,951		4,931,918		3,095		1,046,850		(46	)		—		—		562,362		11,899,578		2.76	%
Baron International Growth Fund, Institutional Shares		6,322,059		3,270,680		3,286		859,843		(10	)		—		—		289,454		10,449,286		2.42	%
Baron Opportunity Fund, Institutional Shares		17,580,045		6,669,292		8,569		2,390,321		(815	)		—		—		569,023		26,630,274		6.18	%
Baron Partners Fund, Institutional Shares		55,622,089		5,925,955		495,794		2,672,621		70,595			—		—		361,386		63,795,466		14.80	%
Baron Real Estate Fund, Institutional Shares		12,452,742		5,720,324		33,834		2,342,778		(436	)		—		—		489,171		20,481,574		4.76	%
Baron Real Estate Income Fund, Institutional Shares		—		6,170,650		1,688		127,239		11			14,383		—		383,448		6,296,212		1.46	%
Baron Small Cap Fund, Institutional Shares		32,356,124		16,000,301		15,754		3,674,257		(659	)		—		—		1,222,140		52,014,269		12.07	%

	$	272,676,323	$	127,605,615	$	634,791	$	31,322,110	$	65,051		$	14,383	$	—			$	431,034,308

11. COVID-19 RISK


Baron WealthBuilder Fund		June 30, 2021

FINANCIAL HIGHLIGHTS

BARON WEALTHBUILDER FUND

Selected data for a share outstanding throughout each period:



			Income (loss) from investment operations:									Less distributions to shareholders from:														Ratios to Average Net Assets:																		Supplemental Data:

	Net asset value, beginning of period ($)		Net investment income (loss) ($)			Net realized and unrealized gain (loss) ($)			Total from investment operations ($)			Net investment income ($)			Net realized gain on investments ($)			Total distributions ($)			Net asset value, end of period ($)		Total return (%)			Total expenses⁹ (%)			Less: Interest expense (%)			Operating expenses (%)			Less: Reimbursement of expenses by Adviser (%)			Net operating expenses (%)			Net investment income (loss ) (%)			Net assets (in millions), end of period ($)		Portfolio turnover rate (%)

RETAIL SHARES

Six Month Ended June 30,

2021		19.57		(0.03	)²		1.84			1.81			0.00			0.00			0.00			21.38		9.25	^4,7		0.34	⁶		(0.00	)^6,8		0.34	⁶		(0.04	)⁶		0.30	⁶		(0.29	)⁶		82.5		0.18	⁷

Year Ended December 31,

2020		12.23		(0.04	)²		7.62			7.58			0.00			(0.24	)		(0.24	)		19.57		62.45	⁴		0.41			(0.00	)⁸		0.41			(0.11	)		0.30			(0.29	)		44.5		6.65

2019		9.33		(0.03	)²		3.37			3.34			(0.01	)		(0.43	)		(0.44	)		12.23		36.24	⁴		0.41			(0.02	)		0.39			(0.09	)		0.30			(0.26	)		5.9		22.48

2018		10.00		(0.01	)²		(0.65	)		(0.66	)		0.00			(0.01	)		(0.01	)		9.33		(6.58	)⁴		0.90			0.00			0.90			(0.60	)		0.30			(0.13	)		2.1		1.24

2017¹		10.00		(0.00	)^2,3		0.00			(0.00	)³		0.00			0.00			0.00			10.00		0.00	^4,7		0.59	^5,6		0.00			0.59	^5,6		(0.29	)^5,6		0.30	^5,6		(0.30	)^5,6		0.0		0.00	⁷

TA SHARES

Six Month Ended June 30,

2021		19.70		(0.00	)^2,3		1.85			1.85			0.00			0.00			0.00			21.55		9.39	^4,7		0.09	⁶		(0.00	)^6,8		0.09	⁶		(0.04	)⁶		0.05	⁶		(0.04	)⁶		33.8		0.18	⁷

Year Ended December 31,

2020		12.28		(0.01	)²		7.67			7.66			0.00			(0.24	)		(0.24	)		19.70		62.85	⁴		0.16			(0.00	)⁸		0.16			(0.11	)		0.05			(0.04	)		44.0		6.65

2019		9.35		(0.00	)^2,3		3.37			3.37			(0.01	)		(0.43	)		(0.44	)		12.28		36.49	⁴		0.17			(0.02	)		0.15			(0.10	)		0.05			(0.03	)		21.4		22.48

2018		10.00		0.01	²		(0.65	)		(0.64	)		0.00			(0.01	)		(0.01	)		9.35		(6.38	)⁴		0.59			0.00			0.59			(0.54	)		0.05			0.05			9.7		1.24

2017¹		10.00		(0.00	)^2,3		0.00			(0.00	)³		0.00			0.00			0.00			10.00		0.00	^4,7		0.34	^5,6		0.00			0.34	^5,6		(0.29	)^5,6		0.05	^5,6		(0.05	)^5,6		3.4		0.00	⁷

INSTITUTIONAL SHARES

Six Month Ended June 30,

2021		19.70		(0.00	)^2,3		1.85			1.85			0.00			0.00			0.00			21.55		9.39	^4,7		0.09	⁶		(0.00	)^6,8		0.09	⁶		(0.04	)⁶		0.05	⁶		(0.04	)⁶		314.7		0.18	⁷

Year Ended December 31,

2020		12.28		(0.01	)²		7.67			7.66			0.00			(0.24	)		(0.24	)		19.70		62.85	⁴		0.16			(0.00	)⁸		0.16			(0.11	)		0.05			(0.04	)		184.1		6.65

2019		9.35		(0.00	)^2,3		3.37			3.37			(0.01	)		(0.43	)		(0.44	)		12.28		36.49	⁴		0.17			(0.02	)		0.15			(0.10	)		0.05			(0.02	)		93.8		22.48

2018		10.00		0.01	²		(0.65	)		(0.64	)		0.00			(0.01	)		(0.01	)		9.35		(6.38	)⁴		0.49			0.00			0.49			(0.44	)		0.05			0.12			83.0		1.24

2017¹		10.00		(0.00	)^2,3		0.00			(0.00	)³		0.00			0.00			0.00			10.00		0.00	^4,7		0.34	^5,6		0.00			0.34	^5,6		(0.29	)^5,6		0.05	^5,6		(0.05	)^5,6		1.0		0.00	⁷

¹	For the period December 29, 2017 (commencement of operations) to December 31, 2017.

²	Based on average shares outstanding.

³	Less than $0.01 per share.

⁴	The total returns would have been lower had certain expenses not been reduced during the period shown.

⁵	Certain fixed expenses incurred by the Fund were not annualized for the period ended December 31, 2017.

⁶	Annualized.

⁷	Not Annualized

⁸	Interest expense rounds to less than 0.01%.

⁹	Expenses do not include acquired fund fees and expenses of the Underlying Funds.


14		See Notes to Financial Statements.


June 30, 2021		Baron WealthBuilder Fund

FUND EXPENSES (UNAUDITED)

As a shareholder of the Fund, you may incur two types of costs: ongoing expenses and transaction costs. Ongoing expenses include distribution and service (12b-1) fees and other Fund expenses. Due to the payment of Rule 12b-1 fees, long-term shareholders may indirectly pay more than the maximum permitted front-end sales charge. The information on this page is intended to help you understand your ongoing costs of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The information in the following table is based on an investment of $1,000 invested on January 1, 2021 and held for the six months ended June 30, 2021.

ACTUAL EXPENSES

BASED ON ACTUAL TOTAL RETURN FOR THE SIX MONTHS ENDED JUNE 30, 2021¹


	Actual Total Return			Beginning Account Value January 1, 2021		Ending Account Value June 30, 2021			Annualized Expense Ratio			Expenses Paid During the Period³
Baron WealthBuilder Fund — Retail Shares		9.25	%	$	1,000.00	$	1,092.50	³		0.30	%⁴	$	1.56
Baron WealthBuilder Fund — TA Shares		9.39	%	$	1,000.00	$	1,093.90	³		0.05	%⁴	$	0.26
Baron WealthBuilder Fund — Institutional Shares		9.39	%	$	1,000.00	$	1,093.90	³		0.05	%⁴	$	0.26

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The table below titled “Based on Hypothetical Total Return” provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account values and expenses you paid for the period. You may use the information provided in this table to compare the ongoing costs of investing in the Fund and other funds. To do so, compare the 5% hypothetical example relating to the Fund with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that expenses shown in the table below are meant to highlight your ongoing costs and do not reflect any transactional costs, such as redemption fees, if any. Therefore, the table is useful in comparing ongoing costs only and will not help you determine your relative total costs of owning different mutual funds. In addition, if these transactional costs were included, your costs would have been higher.

BASED ON HYPOTHETICAL TOTAL RETURN FOR THE SIX MONTHS ENDED JUNE 30, 2021¹


	Hypothetical Annualized Total Return			Beginning Account Value January 1, 2021		Ending Account Value June 30, 2021			Annualized Expense Ratio			Expenses Paid During the Period²
Baron WealthBuilder Fund — Retail Shares		5.00	%	$	1,000.00	$	1,023.31	³		0.30	%⁴	$	1.51
Baron WealthBuilder Fund — TA Shares		5.00	%	$	1,000.00	$	1,024.55	³		0.05	%⁴	$	0.25
Baron WealthBuilder Fund — Institutional Shares		5.00	%	$	1,000.00	$	1,024.55	³		0.05	%⁴	$	0.25

¹	Assumes reinvestment of all dividends and capital gain distributions, if any.

²	Expenses are equal to each share class’ respective 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, then divided by 365.

³	Ending account value assumes the return earned after waiver and would have been lower if a portion of the expenses had not been waived.

⁴	Annualized expense ratios are adjusted to reflect fee waiver.


Baron WealthBuilder Fund		June 30, 2021

DISCLOSURE REGARDING THE APPROVAL OF THE INVESTMENT ADVISORY AGREEMENT FOR BARON WEALTHBUILDER FUND BY THE BOARD OF TRUSTEES (Unaudited)

The Board of Trustees (the “Board”) of Baron Select Funds (the “Trust”) met on May 5, 2021 to discuss the selection of BAMCO, Inc. (the “Adviser”) as the investment adviser and the approval of the investment advisory agreement for Baron WealthBuilder Fund (the “Fund”). The members of the Board who are not “interested persons” (as defined in the Investment Company Act of 1940, as amended) of the Trust (the “Independent Trustees”) met in a separate session to discuss and consider the renewal of the investment advisory agreement for the Fund. Representatives of Broadridge Financial Solutions, Inc. (“Broadridge”), an independent provider of investment company data, provided reports to the Board and attended the Board meeting. The Trustees received a substantial amount of information from the Adviser and from Broadridge, and were advised by independent legal counsel. Based on its evaluation of this and other information, the Board, including a majority of the Independent Trustees, approved the continuation of the investment advisory agreement for the Fund for an additional one-year period.

In reaching its determination, the Board considered various factors that it deemed relevant, including the factors listed below.

1. NATURE, EXTENT AND QUALITY OF SERVICES

The Trustees considered the information provided, including, for many, their experience and knowledge gained from their service as Trustees and their experience generally, including the following, which they had previously considered in connection with approving the investment advisory agreement for the Fund and those of the underlying Baron funds in which it invests and remained, in their thinking, material to their consideration:

•

Their confidence in the senior personnel, portfolio management, the financial condition of the Adviser and its affiliates and the Adviser’s available resources;

•

The nature, extent and quality of the services provided by the Adviser, including: relationships with and supervision of third party service providers, such as the Fund’s custodian and transfer agent, the quality of shareholder reports, the ability to monitor adherence to investment guidelines and restrictions, the legal, accounting and compliance services provided to the Fund and the support services provided to the Board;

•

The Adviser’s investment principles and processes and the historical performance of the Fund as compared to similar funds managed by other advisers over comparable periods;

•

The total expense ratio of the Fund and comparisons to similar funds managed by other advisers over comparable periods. They observed that the net operating expenses paid by the Fund (total expense ratio) were within the range of those of the funds in its peer group; and

•

Additional services provided by the Adviser.

No advisory fee is payable by the Fund to the Adviser, although the Fund bears indirectly its pro rata share of the expenses of the underlying Baron funds in which it invests, including advisory fees payable by such underlying Baron funds to the Adviser.

The Board concluded that the nature, extent and quality of the services the Adviser provides to the Fund supported approval of the investment advisory agreement for the Fund.

2. INVESTMENT PERFORMANCE OF THE FUND AND THE ADVISER

As part of its consideration of the investment performance of the Fund and the Adviser, the Board took into account the analyses performed by and discussed with representatives of Broadridge. The Board considered, among other information, Broadridge’s comparison of the expense ratio with those of peer group funds selected by Broadridge and Morningstar category medians. The Board also considered, among other performance information, Broadridge’s comparisons of the Fund’s annualized total return and related risk metrics over one- and three-year periods against peer group funds and Morningstar category medians. After considering all the information, the Board concluded that the Adviser continued to invest in accordance with its long-standing principles and that the Fund’s performance remained consistent with expectations for the Adviser’s investment style, in light of recent market conditions.

3. COSTS OF SERVICES PROVIDED AND PROFITS TO BE REALIZED BY THE ADVISER

Since the Fund does not pay advisory fees, the Board did not consider any comparisons to the advisory fees charged and services provided by the Adviser and its investment adviser affiliate to any other funds or separately managed accounts. The Board was provided with a profitability analysis prepared by the Adviser and discussed with the representatives of the Adviser that the Adviser has continued to invest in quality personnel, systems and facilities, and otherwise continued to invest in its business, irrespective of fund flows. However, since the Fund does not pay an advisory fee the Board did not consider the profitability analysis material to its considerations.

The Board also considered benefits that accrue to the Adviser and its affiliates from their relationship with the Fund.

4. ECONOMIES OF SCALE AND BENEFITS TO INVESTORS

Since the Fund does not pay an advisory fee, the Board did not consider potential economies of scale. The Board did consider that the Adviser was continuing to grow and upgrade its staff and invest in its business.

Privacy Notice

The Fund collects nonpublic personal information about you from the following sources:

∎

Information we receive from you on applications or other forms;

∎

Information about your transactions with us, our Adviser or others; and

∎

Information we receive from third parties, such as credit reporting agencies.

“Nonpublic personal information” is private information about you that we obtain in connection with providing a financial product or service to you.

This privacy notice is also available at all times on the Baron Funds^® website, www.BaronFunds.com or by calling 1-800-99BARON.

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LOGO

767 Fifth Avenue, 49^th Fl.

New York, NY 10153

1.800.99.BARON

212-583-2000

www.BaronFunds.com

LOGO

JUNE 21

Item 2. Code of Ethics.

Not applicable.

Item 3. Audit Committee Financial Expert.

Not applicable.

Item 4. Principal Accountant Fees and Services.

Not applicable.

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Schedule of Investments.

Included herein under Item 1.

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

Not applicable.

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

Not applicable.

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

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

Not applicable.

Item 11. Controls and Procedures.

(a) The Registrant’s principal executive officer and principal financial officer have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “1940 Act”)) are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13. Exhibits.

(a)(1) Not applicable.

(a)(2) Certification of each of the principal executive officers and principal financial officers of the Registrant as required by Rule 30a-2(a) under the 1940 Act.

(b) Certification of each of the principal executive officers and principal financial officers of the Registrant as required by the 1940 Act.

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.


BARON SELECT FUNDS

By:		/s/ Ronald Baron
		Ronald Baron
		Chief Executive Officer

Date: August 26, 2021

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/ Ronald Baron
		Ronald Baron
		Chief Executive Officer

Date: August 26, 2021

By:		/s/ Peggy Wong
		Peggy Wong
		Treasurer and Chief Financial Officer

Date: August 26, 2021