UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number                            811-21624                                                                           

Allianz Variable Insurance Products Fund of Funds Trust

 (Exact name of registrant as specified in charter)

5701 Golden Hills Drive, Minneapolis, MN                              55416-1297

(Address of principal executive offices)                                 (Zip code)

Citi Fund Services Ohio, Inc., 4400 Easton Commons, Suite 200, Columbus, OH 43219-8000

(Name and address of agent for service)

Registrant’s telephone number, including area code:   800-624-0197     

Date of fiscal year end: December 31

Date of reporting period: December 31, 2024

Item 1. Reports to Stockholders.

AZL Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL Balanced Index Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL Balanced Index Strategy Fund	$10	0.10%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL Balanced Index Strategy Fund (the “Fund”) returned 8.36%. That compared to 25.02%, 1.25% and 12.74% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Balanced Composite Index (a blended index comprised of (50%) S&P 500 Index and (50%) Bloomberg U.S. Aggregate Bond Index), respectively.

U.S. equities posted positive performance for the period under review, especially large-cap stocks. Small- and mid-cap equities generally produced positive returns but tended to underperform large-caps stocks during the year. Several factors drove these gains, including easing recession expectations and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year, for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although these returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Balanced Composite Index, for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market, non-U.S. equities.

• Slight underperformance within the fixed income allocation.

Growth of a $10,000 initial investment

	AZL Balanced Index Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Balanced Composite Index
Dec 14	$10,000	$10,000	$10,000	10,000.000000005
Dec 15	$10,001	$10,138	$10,055	10,112.0068927369
Dec 16	$10,677	$11,351	$10,321	10,848.0521878323
Dec 17	$11,905	$13,829	$10,687	12,195.8274355405
Dec 18	$11,385	$13,223	$10,688	11,975.5061850019
Dec 19	$13,348	$17,386	$11,620	14,348.5752969485
Dec 20	$14,983	$20,585	$12,492	16,402.2401378628
Dec 21	$16,487	$26,494	$12,299	18,519.2934949935
Dec 22	$13,998	$21,696	$10,699	15,668.0411102299
Dec 23	$15,847	$27,399	$11,291	18,115.5763431686
Dec 24	$17,171	$34,254	$11,432	20,424.0260939236

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL Balanced Index Strategy Fund	8.36%	5.17%	5.56%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Balanced Composite Index	12.74%	7.32%	7.40%

Fund Statistics

Net Assets	$332,659,015
Number of Portfolio Holdings	5
Total Advisory Fees Paid	$171,628
Portfolio Turnover Rate	12%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Fixed Income Fund	50.2%
Domestic Equity Funds	36.2%
International Equity Fund	13.6%

AZL Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822304 02/25

AZL DFA Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL DFA Multi-Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL DFA Multi-Strategy Fund	$8	0.08%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL DFA Multi-Strategy Fund (the “Fund”) returned 9.04%. That compared to 25.02%, 1.25% and 15.13% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Moderate Composite Index (a blended index comprised of (60%) S&P 500 Index and (40%) Bloomberg U.S. Aggregate Bond Index), respectively.

U.S. equities posted positive performance for the period under review, especially large-cap stocks. Several factors drove these gains, including easing fears of a pending recession and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although these returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Moderate Composite Index, for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market non-U.S. equities.

• The Fund’s more value-oriented style.

• Slight underperformance of the fixed income allocation.

Growth of a $10,000 initial investment

	AZL DFA Multi-Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Moderate Composite Index
Dec 14	$10,000	$10,000	$10,000	9,999.9999999954
Dec 15	$9,933	$10,138	$10,055	10,119.532735665
Dec 16	$10,859	$11,351	$10,321	10,950.8285791854
Dec 17	$12,237	$13,829	$10,687	12,512.9041021404
Dec 18	$11,515	$13,223	$10,688	12,229.466630439
Dec 19	$13,423	$17,386	$11,620	14,932.536448422
Dec 20	$14,851	$20,585	$12,492	17,228.108303895
Dec 21	$16,902	$26,494	$12,299	19,976.455673268
Dec 22	$14,973	$21,696	$10,699	16,797.97156569
Dec 23	$16,953	$27,399	$11,291	19,772.706692013
Dec 24	$18,485	$34,254	$11,432	22,764.6472878642

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL DFA Multi-Strategy Fund	9.04%	6.61%	6.34%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Moderate Composite Index	15.13%	8.80%	8.57%

Fund Statistics

Net Assets	$660,483,880
Number of Portfolio Holdings	3
Total Advisory Fees Paid	$348,123
Portfolio Turnover Rate	19%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Domestic Equity Fund	43.3%
Fixed Income Fund	40.4%
International Equity Fund	16.3%

AZL DFA Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822403 02/25

AZL MVP Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP Balanced Index Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP Balanced Index Strategy Fund	$15	0.14%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP Balanced Index Strategy Fund (the “Fund”) returned 8.28%. That compared to 25.02%, 1.25% and 12.74% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Balanced Composite Index (a blended index comprised of (50%) S&P 500 Index and (50%) Bloomberg U.S. Aggregate Bond Index), respectively.  

U.S. equities posted positive performance for the period under review, especially large-cap stocks. Small- and mid-cap equities generally produced positive returns but tended to underperform large-cap stocks during the year. Several factors drove these gains, including easing recession expectations and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year, for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although these returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Balanced Composite Index for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market non-U.S. equities.

• Slight underperformance within the fixed income allocation.

Market volatility was relatively low during most of the year, and the MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was not engaged during the year.

Growth of a $10,000 initial investment

	AZL MVP Balanced Index Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Balanced Composite Index
Dec 14	$10,000	$10,000	$10,000	10,000.000000005
Dec 15	$9,978	$10,138	$10,055	10,112.0068927369
Dec 16	$10,637	$11,351	$10,321	10,848.0521878323
Dec 17	$11,850	$13,829	$10,687	12,195.8274355405
Dec 18	$11,323	$13,223	$10,688	11,975.5061850019
Dec 19	$13,239	$17,386	$11,620	14,348.5752969485
Dec 20	$14,030	$20,585	$12,492	16,402.2401378628
Dec 21	$15,437	$26,494	$12,299	18,519.2934949935
Dec 22	$13,142	$21,696	$10,699	15,668.0411102299
Dec 23	$14,831	$27,399	$11,291	18,115.5763431686
Dec 24	$16,059	$34,254	$11,432	20,424.0260939236

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP Balanced Index Strategy Fund	8.28%	3.94%	4.85%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Balanced Composite Index	12.74%	7.32%	7.40%

Fund Statistics

Net Assets	$729,182,157
Number of Portfolio Holdings	7
Total Advisory Fees Paid	$772,342
Portfolio Turnover Rate	11%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Fixed Income Fund	50.5%
Domestic Equity Funds	35.1%
International Equity Fund	14.4%

AZL MVP Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822809 02/25

AZL MVP DFA Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP DFA Multi-Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP DFA Multi-Strategy Fund	$14	0.13%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP DFA Multi-Strategy Fund (the “Fund”) returned 8.95%. That compared to 25.02%, 1.25% and 15.13% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Moderate Composite Index (a blended index comprised of (60%) S&P 500 Index and (40%) Bloomberg U.S. Aggregate Bond Index), respectively.

U.S. equities posted positive performance for the year, especially large-cap stocks. Several factors drove these gains, including easing recession fears and moderating inflation. In this environment, the Federal Reserve cut the target federal funds rate three times during the year for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Moderate Composite Index, for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market non-U.S. equities.

• The Fund’s more value-oriented style.

• Slight underperformance of the fixed income allocation.

Market volatility was relatively low during most of the year, and the MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was not engaged during the year. 

Growth of a $10,000 initial investment

	AZL MVP DFA Multi-Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Moderate Composite Index
Apr 15	$10,000	$10,000	$10,000	10,000.0000000054
Dec 15	$9,500	$9,798	$9,872	9,867.54966887955
Dec 16	$10,360	$10,970	$10,134	10,678.1456953701
Dec 17	$11,660	$13,365	$10,493	12,201.3245033179
Dec 18	$10,935	$12,779	$10,494	11,924.9448123685
Dec 19	$12,663	$16,803	$11,409	14,560.7064017739
Dec 20	$13,141	$19,895	$12,265	16,799.1169978017
Dec 21	$14,947	$25,605	$12,076	19,479.0286975824
Dec 22	$13,189	$20,968	$10,505	16,379.6909492363
Dec 23	$14,995	$26,480	$11,086	19,280.3532008935
Dec 24	$16,338	$33,105	$11,224	22,197.7924944933

Average Annual Total Returns

	1 Year	5 Years	Since Inception 4/27/15
AZL MVP DFA Multi-Strategy Fund	8.95%	5.23%	5.20%
S&P 500 Index	25.02%	14.53%	13.15%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.20%
Moderate Composite Index	15.13%	8.80%	8.58%

Fund Statistics

Net Assets	$1,291,890,081
Number of Portfolio Holdings	5
Total Advisory Fees Paid	$1,364,790
Portfolio Turnover Rate	20%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Domestic Equity Fund	42.5%
Fixed Income Fund	40.4%
International Equity Fund	17.1%

AZL MVP DFA Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822833 02/25

AZL MVP FIAM Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP FIAM Multi-Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP FIAM Multi-Strategy Fund	$16	0.15%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP FIAM Multi-Strategy Fund (the “Fund”) returned 11.06%. That compared to 25.02%, 1.25% and 10.38% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Income & Growth Composite Index (a blended index comprised of (40%) S&P 500 index and (60%) Bloomberg U.S. Aggregate Bond Index), respectively. U.S. stocks generated strong returns for the year. A series of interest rate cuts, stabilizing inflation, and consistently strong results from large-cap technology companies developing AI-related applications boosted investor sentiment throughout the period.

Most fixed income asset classes provided positive returns for 2024 as credit spreads tightened and higher coupons provided positive income. The Federal Reserve cut the federal funds target rate three times during the year. In this environment, most fixed income categories ended the year with yields close to their historical averages and credit spreads near the lowest end of their historical ranges.

The Fund narrowly outperformed its blended benchmark, the Income & Growth Composite Index, for the year ended December 31, 2024. The Fund's equity component outperformed its equity benchmark, the S&P 500 Index.

The following factors contributed to the Fund’s relative performance:

• Stock selection based on quality measures, especially those focused on profitability.

• Stock selection within consumer staples and information technology.

• The Fund’s above-benchmark exposure to the outperforming communication services sector.

• The Fund’s below-benchmark exposure to the underperforming real estate sector.

The Fund’s fixed income component outperformed its benchmark, the Bloomberg U.S. Aggregate Bond Index, for the year ended December 31, 2024.

Within fixed income, the following factors contributed to the Fund’s performance on a relative basis:

• The Fund’s holdings of high-yield corporate bonds, which offered compelling yields throughout the period.

• Security selection in the industrials sector.

• Security selection in high-quality, short-duration asset-backed securities (ABS) and commercial mortgage-backed securities (CMBS).

The Fund held futures to equitize its cash positions during the period. Exposure to this form of derivative did not materially impact the Fund's performance.

The MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was engaged briefly during the third quarter. The MVP process had a negligible impact on the Fund’s performance.

Growth of a $10,000 initial investment

	AZL MVP FIAM Multi-Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Income and Growth Composite Index
Dec 14	$10,000	$10,000	$10,000	10,000.0000000031
Dec 15	$9,379	$10,138	$10,055	10,102.5804396336
Dec 16	$9,455	$11,351	$10,321	10,744.8231921027
Dec 17	$10,489	$13,829	$10,687	11,884.0395030301
Dec 18	$10,265	$13,223	$10,688	11,719.6559413862
Dec 19	$11,933	$17,386	$11,620	13,776.3618986981
Dec 20	$12,787	$20,585	$12,492	15,587.1296591319
Dec 21	$14,203	$26,494	$12,299	17,132.2077094669
Dec 22	$12,242	$21,696	$10,699	14,581.0767760478
Dec 23	$13,788	$27,399	$11,291	16,558.1395348888
Dec 24	$15,312	$34,254	$11,432	18,276.5211850964

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP FIAM Multi-Strategy Fund	11.06%	5.11%	4.35%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Income and Growth Composite Index	10.38%	5.82%	6.22%

Fund Statistics

Net Assets	$296,144,948
Number of Portfolio Holdings	3
Total Advisory Fees Paid	$280,016
Portfolio Turnover Rate	3%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Balanced Funds	100.0%

AZL MVP FIAM Multi-Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822858 02/25

AZL MVP Global Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP Global Balanced Index Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP Global Balanced Index Strategy Fund	$15	0.14%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP Global Balanced Index Strategy Fund (the “Fund”) returned 9.44%. That compared to 18.67%, 1.25%, and 10.00% total return for its benchmarks, the MSCI World Index, the Bloomberg U.S. Aggregate Bond Index, and the Global Balanced Composite Index (a blended index comprised of (50%) MSCI World Index and (50%) Bloomberg U.S. Aggregate Bond Index), respectively.

U.S. equities posted positive performance for the year under review, especially large-cap stocks. Several factors drove these gains, including easing recession fears and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although these returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its composite benchmark, the Global Balanced Composite Index, for the year ended December 31, 2024.

The following factors impacting the underlying funds in which the Fund invests detracted from the Fund’s relative performance:

• Fair value adjustments.

• Duration positioning in the fourth quarter.

Market volatility was relatively low during most of the year, and the MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was not engaged during the year.

Growth of a $10,000 initial investment

	AZL MVP Global Balanced Index Strategy Fund	Bloomberg U.S. Aggregate Bond Index	MSCI World Index (net of withholding taxes)	MSCI World Index (gross of withholding taxes)	Global Balanced Composite Index
Dec 14	$10,000	$10,000	$10,000	10,000.0000000104	10,000.0000000016
Dec 15	$9,851	$10,055	$9,913	9,967.92064003044	10,029.3075245382
Dec 16	$10,180	$10,321	$10,657	10,780.6082071245	10,574.5637949854
Dec 17	$11,355	$10,687	$13,045	13,267.9574678287	11,948.6095965123
Dec 18	$10,699	$10,688	$11,908	12,179.3591963832	11,489.2311886606
Dec 19	$12,432	$11,620	$15,203	15,638.5391119179	13,600.0545256293
Dec 20	$13,403	$12,492	$17,621	18,218.3183018658	15,437.5681570363
Dec 21	$14,482	$12,299	$21,465	22,289.6545239652	16,977.9171210497
Dec 22	$12,151	$10,699	$17,571	18,337.0918579422	14,402.2628135247
Dec 23	$13,834	$11,291	$21,751	22,814.1606789089	16,522.6281352263
Dec 24	$15,139	$11,432	$25,812	27,193.2048801029	18,175.4362050194

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP Global Balanced Index Strategy Fund	9.44%	4.02%	4.23%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
MSCI World Index (net of withholding taxes)	18.67%	11.17%	9.95%
MSCI World Index (gross of withholding taxes)	19.19%	11.70%	10.52%
Global Balanced Composite Index	10.00%	5.97%	6.16%

Fund Statistics

Net Assets	$453,138,316
Number of Portfolio Holdings	12
Total Advisory Fees Paid	$485,095
Portfolio Turnover Rate	3%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Fixed Income Fund	50.4%
International Equity Fund	49.6%
Convertible Bond	0.0%
Private Placements	0.0%
Corporate Bonds	0.0%
Common Stocks	0.0%

AZL MVP Global Balanced Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822874 02/25

AZL MVP Growth Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP Growth Index Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP Growth Index Strategy Fund	$13	0.12%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP Growth Index Strategy Fund (the “Fund”) returned 12.10%. That compared to 25.02%, 1.25% and 18.78% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Growth Composite Index (a blended index comprised of (75%) S&P 500 Index and (25%) Bloomberg U.S. Aggregate Bond Index), respectively.

U.S. equities posted positive performance for the year, especially large-cap stocks. Several factors drove these gains, including easing recession expectations and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Growth Composite Index, for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market non-U.S. equities.

• Slight underperformance of the fixed income allocation.

The MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was engaged briefly during the third quarter. Because equities gained during this period, it had a slightly negative impact on the Fund’s performance.

Growth of a $10,000 initial investment

	AZL MVP Growth Index Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Growth Composite Index
Dec 14	$10,000	$10,000	$10,000	9,999.99999999646
Dec 15	$9,920	$10,138	$10,055	10,128.6945141201
Dec 16	$10,594	$11,351	$10,321	11,102.6284218523
Dec 17	$12,285	$13,829	$10,687	12,997.0552950112
Dec 18	$11,493	$13,223	$10,688	12,607.1545424756
Dec 19	$13,851	$17,386	$11,620	15,832.1518158958
Dec 20	$14,506	$20,585	$12,492	18,482.3863016621
Dec 21	$16,885	$26,494	$12,299	22,295.7792561814
Dec 22	$14,336	$21,696	$10,699	18,570.1821354498
Dec 23	$16,746	$27,399	$11,291	22,447.922347031
Dec 24	$18,772	$34,254	$11,432	26,663.2130003177

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP Growth Index Strategy Fund	12.10%	6.27%	6.50%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Growth Composite Index	18.78%	10.99%	10.30%

Fund Statistics

Net Assets	$1,840,314,886
Number of Portfolio Holdings	7
Total Advisory Fees Paid	$1,953,343
Portfolio Turnover Rate	14%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Domestic Equity Funds	53.1%
Fixed Income Fund	25.3%
International Equity Fund	21.6%

AZL MVP Growth Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822882 02/25

AZL MVP Moderate Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP Moderate Index Strategy Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP Moderate Index Strategy Fund	$16	0.15%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP Moderate Index Strategy Fund (the “Fund”) returned 9.93%. That compared to 25.02%, 1.25% and 15.13% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Moderate Composite Index (a blended index comprised of (60%) S&P 500 Index and (40%) Bloomberg U.S. Aggregate Bond Index), respectively.U.S. equities posted positive performance for the year, especially large-cap stocks. Several factors drove these gains, including easing recession expectations and moderating inflation. In this environment, the Federal Reserve opted to cut the target federal funds rate three times during the year for a total reduction of 100 basis points.

Non-U.S. equities also gained for the year, although returns trailed U.S. equities, as economic growth in the Eurozone and Japan stagnated despite easing monetary policies.

Bonds gained despite generally rising yields and a steepening yield curve. Bonds with credit risk performed especially well.

The Fund, which invests in both U.S. and international markets, underperformed its blended benchmark, the Moderate Composite Index, for the year ended December 31, 2024.

The following factors detracted from the Fund’s relative performance:

• The Fund’s allocations to mid- and small-cap U.S. equities.

• Allocations to developed market non-U.S. equities.

• Slight underperformance within the fixed income allocation.

Market volatility was relatively low during most of the year, and the MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was not engaged during the year.

Growth of a $10,000 initial investment

	AZL MVP Moderate Index Strategy Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Moderate Composite Index
Dec 14	$10,000	$10,000	$10,000	9,999.9999999954
Dec 15	$9,679	$10,138	$10,055	10,119.532735665
Dec 16	$10,205	$11,351	$10,321	10,950.8285791854
Dec 17	$11,553	$13,829	$10,687	12,512.9041021404
Dec 18	$10,946	$13,223	$10,688	12,229.466630439
Dec 19	$12,986	$17,386	$11,620	14,932.536448422
Dec 20	$13,822	$20,585	$12,492	17,228.108303895
Dec 21	$15,544	$26,494	$12,299	19,976.455673268
Dec 22	$13,154	$21,696	$10,699	16,797.97156569
Dec 23	$15,072	$27,399	$11,291	19,772.706692013
Dec 24	$16,568	$34,254	$11,432	22,764.6472878642

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP Moderate Index Strategy Fund	9.93%	4.99%	5.18%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Moderate Composite Index	15.13%	8.80%	8.57%

Fund Statistics

Net Assets	$334,849,614
Number of Portfolio Holdings	7
Total Advisory Fees Paid	$360,306
Portfolio Turnover Rate	12%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Domestic Equity Funds	42.5%
Fixed Income Fund	40.5%
International Equity Fund	17.0%

AZL MVP Moderate Index Strategy Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822866 02/25

AZL MVP T. Rowe Price Capital Appreciation Plus Fund 

Annual Shareholder Report - December 31, 2024

This annual shareholder report contains important information about the AZL MVP T. Rowe Price Capital Appreciation Plus Fund (the "Fund") for the period of January 1, 2024 to December 31, 2024. You can find additional information about the Fund at https://connect.rightprospectus.com/Allianz?site=Allianz. You can also request this information by contacting us at 800-624-0197.

What were the Fund's costs for the last year?

(based on a hypothetical $10,000 investment and reflects expense reimbursements and fee waivers, as applicable)

	Costs of a $10,000 investment	Costs paid as a % of a $10,000 investment
AZL MVP T. Rowe Price Capital Appreciation Plus Fund	$14	0.13%

How did the Fund perform last year?

For the year ended December 31, 2024, the AZL MVP T. Rowe Price Capital Appreciation Plus Fund (the “Fund”) returned 13.23%. That compared to 25.02%, 1.25% and 15.13% total return for its benchmarks, the S&P 500 Index, the Bloomberg U.S. Aggregate Bond Index, and the Moderate Composite Index (a blended index comprised of (60%) S&P 500 Index and (40%) Bloomberg U.S. Aggregate Bond Index), respectively.

Thanks to generally favorable corporate earnings and continuing interest in companies expected to benefit from artificial intelligence developments, U.S. stocks produced sizeable gains for the second consecutive year.

Although inflation remained above the Federal Reserve’s (the Fed’s) long-term target of 2%, the central bank began reducing interest rates in mid-September to support labor market conditions. Intermediate and long-term U.S. Treasury yields fluctuated throughout the year but ultimately increased. This rise was driven in part by expectations for fewer interest rate cuts in 2025 due to inflation remaining above the Fed’s long-term target of 2%. The equity portion of the Fund underperformed its benchmark, the S&P 500 Index, for the year ended December 31, 2024.

Within equities, the following factors detracted from the Fund’s relative performance:

• An above-benchmark exposure to the health care sector.

• Stock selection in information technology.

Within equities, the following factors contributed to the Fund’s performance on a relative basis:

• The Fund’s below-benchmark allocation to the consumer staples sector.

• An underweight and stock selection in the materials sector.

Meanwhile, the Fund’s fixed income sleeve strongly outperformed its benchmark, the Bloomberg U.S. Aggregate Bond Index, for the year ended December 31, 2024.

Within fixed income, the following factors contributed to the Fund’s performance on a relative basis:

• The Fund’s above-benchmark exposure to bank loans and high-yield bonds.

During the year, the Fund maintained exposure to covered call options, a type of derivative that is designed to provide downside protection for the portfolio while offering the benefits of owning a stock, such as dividends and capital appreciation, so long as the stock remains below the option strike price. The Fund’s covered call strategy made a modestly positive contribution to returns.

The MVP (Managed Volatility Portfolio) risk management process, which utilizes derivatives to seek to reduce portfolio volatility in unstable market conditions, was not engaged during the year.

Growth of a $10,000 initial investment

	AZL MVP T. Rowe Price Capital Appreciation Plus Fund	S&P 500 Index	Bloomberg U.S. Aggregate Bond Index	Moderate Composite Index
Dec 14	$10,000	$10,000	$10,000	9,999.9999999954
Dec 15	$10,415	$10,138	$10,055	10,119.532735665
Dec 16	$11,209	$11,351	$10,321	10,950.8285791854
Dec 17	$12,802	$13,829	$10,687	12,512.9041021404
Dec 18	$12,587	$13,223	$10,688	12,229.466630439
Dec 19	$15,280	$17,386	$11,620	14,932.536448422
Dec 20	$16,505	$20,585	$12,492	17,228.108303895
Dec 21	$19,318	$26,494	$12,299	19,976.455673268
Dec 22	$16,670	$21,696	$10,699	16,797.97156569
Dec 23	$19,563	$27,399	$11,291	19,772.706692013
Dec 24	$22,152	$34,254	$11,432	22,764.6472878642

Average Annual Total Returns

	1 Year	5 Years	10 Years
AZL MVP T. Rowe Price Capital Appreciation Plus Fund	13.23%	7.71%	8.28%
S&P 500 Index	25.02%	14.53%	13.10%
Bloomberg U.S. Aggregate Bond Index	1.25%	-0.33%	1.35%
Moderate Composite Index	15.13%	8.80%	8.57%

Fund Statistics

Net Assets	$1,079,332,138
Number of Portfolio Holdings	5
Total Advisory Fees Paid	$1,138,023
Portfolio Turnover Rate	5%

The Fund's past performance is not a good predictor of the Fund's future performance. Performance reflects the impact of fee waivers, expense caps and/or reimbursements in effect during the period shown. In the absence of applicable fee waivers, expense caps and/or reimbursements, Fund performance would have been reduced. Performance data does not reflect the effect of any insurance charges, the annual maintenance fee or the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. To obtain more recent performance information, please send an email request to contact.us@allianzlife.com or call 800-624-0197.

What did the Fund invest in?

(as of December 31, 2024)

Portfolio Composition

Type of Security	Percent of Total Investments
Domestic Equity Funds	80.9%
Fixed Income Fund	19.1%

AZL MVP T. Rowe Price Capital Appreciation Plus Fund 

Annual Shareholder Report - December 31, 2024

Additional information about the Fund (e.g. Financial Statements, Holdings, Prospectus and Statement of Additional Information) is available:

 On the Fund's Website, https://connect.rightprospectus.com/Allianz?site=Allianz, or upon request, by calling 800-624-0197.

Additional information about the Fund's Proxy Voting Record is available:

 https://www.allianzlife.com/what-we-offer/annuities/investment-strategies/Allianz-investment-options. 

018822841 02/25

Item 2. Code of Ethics.

(a)           The registrant has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions.  This code of ethics is included as an Exhibit.

(b)           During the period covered by the report, with respect to the registrant's code of ethics that applies to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions; there have been no amendments to, nor any waivers granted from, a provision that relates to any element of the code of ethics definition enumerated in paragraph (b) of this Item 2.

Item 3. Audit Committee Financial Expert.

(a)(1)      The registrant’s board of directors has determined that the registrant has at least one audit committee financial expert serving on its audit committee.

(a)(2)      The audit committee financial expert is Tamara Lynn Fagely, who is “independent” for purposes of this Item 3 of Form N-CSR.

Item 4. Principal Accountant Fees and Services.

                                                                                                                                                                2024                                       2023      

(a)           Audit Fees                                                                                                                             $160,338                               $152,702

                                                                                                                                                                2024                                       2023

(b)           Audit-Related Fees                                                                                                              $0                                           $6,000

                Related to the consent on Form N-1A for the annual registration statement.

                                                                                                                                                                2024                                       2023      

(c)           Tax Fees                                                                                                                                $44,037                               $42,966

                Preparation of the funds’ federal income tax return

                                                                                                                                                                2024                                       2023      

(d)           All Other Fees                                                                                                                      $0                                           $0

4(e)(1)    The Audit Committee (“Committee”) of the Registrant is responsible for pre-approving all audit and non-audit services performed by the independent auditor in order to assure that the provision of such services does not impair the auditor’s independence. Before the Registrant engages the independent auditor to render a service, the engagement must be either specifically approved by the Committee or entered into pursuant to the pre-approval policy.  The Committee may delegate preapproval authority to one or more of its members.  The member or members to whom such authority is delegated shall report any pre-approval decisions to the Committee at its next scheduled meeting.  The Committee may not delegate to management the Committee’s responsibilities to pre-approve services performed by the independent auditor.  The Committee has delegated pre-approval authority to its Chairman for any services not exceeding $10,000.

4(e)(2)    During the previous two fiscal years, the Registrant did not receive any non-audit services pursuant to a waiver from the audit committee approval or pre-approval requirement under paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

 (f)           Not applicable.

 (g)          The aggregate fees billed for each of the last two fiscal years for professional services rendered by PricewaterhouseCoopers LLP for tax compliance, tax advice, and tax planning were as follows:  

                                                                                                                                                                2024                                       2023      

                                                                                                                                                                $44,037                                 $42,966

 (h)          The Registrant’s Audit Committee has considered whether the provision of non-audit services that were rendered to the Registrant’s investment adviser, and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01of Regulation S-X is compatible with maintaining the principal auditor’s independence.

 (i)           Not applicable.

 (j)           Not applicable.

Item 5.    Audit Committee of Listed Registrants.

Not applicable.

Item 6.   Investments.

(a)                 The Schedule of Investments in securities of unaffiliated issuers is included as part of the Financial Statements filed under Item 7(a) of this Form.

(b)                Not applicable.

Item 7. Financial Statements and Financial Highlights for Open-End Management Investment Companies.

AZL®

Balanced

Index

Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

Balanced

Index

Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

3

Statement

of

Assets

and

Liabilities

Page

4

Statement

of

Operations

Page

4

Statements

of

Changes

in

Net

Assets

Page

5

Financial

Highlights

Page

6

Notes

to

the

Financial

Statements

Page

7

Report

of

Independent

Registered

Public

Accounting

Firm

Page

12

Other

Federal

Income

Tax

Information

Page

13

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

14

Item

9.

Proxy

Disclosures

Page

14

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

14

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

15

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

Balanced

Index

Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

3

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(100.1%):

Domestic

Equity

Funds

(36.2%):

477,935

AZL

Mid

Cap

Index

Fund,

Class

2

$

10,318,624‌

4,341,240

AZL

S&P

500

Index

Fund,

Class

2

103,147,864‌

561,546

AZL

Small

Cap

Stock

Index

Fund,

Class

2

6,991,253‌

120,457,741‌

Fixed

Income

Fund

(50.3%):

17,468,038

AZL

Enhanced

Bond

Index

Fund

167,169,124‌

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(13.6%):

2,608,276

AZL

International

Index

Fund,

Class

2

$

45,253,594‌

Total

Affiliated

Investment

Companies

(Cost

$268,595,796)

332,880,459‌

Total

Investment

Securities

(Cost

$268,595,796

)

—

100.1%

(a)

332,880,459‌

Net

other

assets

(liabilities)

—

(0.1)%

(221,444‌)

Net

Assets

—

100.0%

$

332,659,015‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

AZL

Balanced

Index

Strategy

Fund

4

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

268,595,796‌

aaa

aaa

Investments

in

affiliates,

at

value

$

332,880,459‌

Interest

and

dividends

receivable

114‌

Receivable

for

affiliated

investments

sold

92,987‌

Prepaid

expenses

1,691‌

Total

Assets

332,975,251‌

Liabilities:

Cash

overdraft

92,987‌

Payable

for

capital

shares

redeemed

172,241‌

Management

fees

payable

14,351‌

Administration

fees

payable

15,416‌

Custodian

fees

payable

3,420‌

Administrative

and

compliance

services

fees

payable

1,427‌

Transfer

agent

fees

payable

1,560‌

Trustee

fees

payable

2,793‌

Other

accrued

liabilities

12,041‌

Total

Liabilities

316,236‌

Commitments

and

contingent

liabilities^

Net

Assets

$

332,659,015‌

Net

Assets

Consist

of:

Paid

in

capital

$

243,695,902‌

Total

distributable

earnings

88,963,113‌

Net

Assets

$

332,659,015‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

22,449,809‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

14.82‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

8,988,138‌

Dividends

from

non-affiliates

939‌

Total

Investment

Income

8,989,077‌

Expenses:

Management

fees

171,628‌

Administration

fees

85,902‌

Custodian

fees

13,070‌

Administrative

and

compliance

services

fees

9,473‌

Transfer

agent

fees

8,902‌

Trustee

fees

23,838‌

Professional

fees

24,595‌

Shareholder

reports

4,898‌

Other

expenses

5,207‌

Total

expenses

347,513‌

Net

Investment

Income/(Loss)

8,641,564‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

14,506,888‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

6,258,348‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

(1,592,915‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

19,172,321‌

Change

in

Net

Assets

Resulting

From

Operations

$

27,813,885‌

AZL

Balanced

Index

Strategy

Fund

5

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

8,641,564‌

$

4,927,795‌

Net

realized

gains/(losses)

on

investments

20,765,236‌

9,048,001‌

Change

in

unrealized

appreciation/depreciation

on

investments

(

1,592,915‌

)

28,511,992‌

Change

in

net

assets

resulting

from

operations

27,813,885‌

42,487,788‌

Distributions

to

Shareholders:

Distributions

(

14,621,822‌

)

(

27,030,919‌

)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(

14,621,822‌

)

(

27,030,919‌

)

Capital

Transactions:

Proceeds

from

shares

issued

3,647,291‌

6,724,552‌

Proceeds

from

dividends

reinvested

14,621,822‌

27,030,919‌

Value

of

shares

redeemed

(

46,427,551‌

)

(

44,668,426‌

)

Change

in

net

assets

resulting

from

capital

transactions

(

28,158,438‌

)

(

10,912,955‌

)

Change

in

net

assets

(

14,966,375‌

)

4,543,914‌

Net

Assets:

Beginning

of

period

347,625,390‌

343,081,476‌

End

of

period

$

332,659,015‌

$

347,625,390‌

Share

Transactions:

Shares

issued

246,383‌

470,754‌

Dividends

reinvested

969,617‌

2,095,420‌

Shares

redeemed

(

3,121,198‌

)

(

3,142,148‌

)

Change

in

shares

(

1,905,198‌

)

(

575,974‌

)

AZL

Balanced

Index

Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

6

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$14.28

$13.76

$17.96

$17.48

$16.46

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.37

‌

0.20

‌

0.21

‌

0.15

‌

0.33

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.83

‌

1.49

‌

(2.97

)

1.56

‌

1.62

‌

Total

from

Investment

Activities

1.20

‌

1.69

‌

(2.76

)

1.71

‌

1.95

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.22

)

(0.27

)

(0.37

)

(0.34

)

(0.33

)

Net

Realized

Gains

(0.44

)

(0.90

)

(1.07

)

(0.89

)

(0.60

)

Total

Dividends

(0.66

)

(1.17

)

(1.44

)

(1.23

)

(0.93

)

Net

Asset

Value,

End

of

Period

$14.82

$14.28

$13.76

$17.96

$17.48

Total

Return

(b)

8.36

%

13.21

%

(15.10

)%

10.04

%

12.24

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$332,659

$347,625

$343,081

$445,174

$417,253

Net

Investment

Income/(Loss)

2.52

%

1.43

%

1.35

%

0.85

%

2.01

%

Expenses

Before

Reductions*(c)

0.10

%

0.09

%

0.09

%

0.08

%

0.09

%

Expenses

Net

of

Reductions*

0.10

%

0.09

%

0.09

%

0.08

%

0.09

%

Portfolio

Turnover

Rate

12

%

5

%

8

%

13

%

19

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

7

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

Balanced

Index

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

8

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

Annual

Rate

Annual

Expense

Limit

AZL

Balanced

Index

Strategy

Fund

0.05%

0.20%

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

173,548,020‌

$

11,327,563‌

$

(13,531,408‌)

$

(2,193,816‌)

$

(1,981,235‌)

$

167,169,124‌

17,468,038‌

$

6,372,384‌

$

—‌

AZL

International

Index

Fund,

Class

2

43,789,066‌

6,345,552‌

(4,746,615‌)

1,316,299‌

(1,450,708‌)

45,253,594‌

2,608,276‌

1,247,365‌

372,938‌

AZL

Mid

Cap

Index

Fund,

Class

2

26,067,425‌

1,585,557‌

(17,913,170‌)

5,521,191‌

(4,942,379‌)

10,318,624‌

477,935‌

174,009‌

925,911‌

AZL

S&P

500

Index

Fund,

Class

2

90,517,098‌

21,249,245‌

(25,534,164‌)

8,282,908‌

8,632,777‌

103,147,864‌

4,341,240‌

1,106,094‌

4,640,127‌

AZL

Small

Cap

Stock

Index

Fund,

Class

2

13,921,104‌

583,487‌

(7,242,274‌)

1,580,306‌

(1,851,370‌)

6,991,253‌

561,546‌

88,286‌

319,372‌

$

347,842,713‌

$

41,091,404‌

$

(68,967,631‌)

$

14,506,888‌

$

(1,592,915‌)

$

332,880,459‌

25,457,035‌

$

8,988,138‌

$

6,258,348‌

AZL

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

9

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager's

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund's

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk

:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

During

the

year

ended

December

31,

2024,

the

Fund

did

not

directly

invest

in

derivatives.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

332,880,459

$

—

$

—

$

332,880,459

Total

Investment

Securities

$332,880,459

$—

$—

$332,880,459

Purchases

Sales

AZL

Balanced

Index

Strategy

Fund

$41,091,404

$68,967,631

AZL

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

10

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$272,821,776.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

90%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

Unrealized

appreciation

$72,869,303

Unrealized

(depreciation)

(12,810,620)

Net

unrealized

appreciation/(depreciation)

$60,058,683

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

Balanced

Index

Strategy

Fund

$4,927,798

$9,694,024

$14,621,822

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

Balanced

Index

Strategy

Fund

$6,203,918

$20,827,001

$27,030,919

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

Balanced

Index

Strategy

Fund

$8,720,789

$20,183,641

$—

$60,058,683

$88,963,113

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales.

AZL

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

11

10.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

12

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

Balanced

Index

Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

Balanced

Index

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

13

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

27.75%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$9,694,024.

14

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

15

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

16

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

17

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

DFA

Multi-Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

DFA

Multi-Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

21

Statement

of

Assets

and

Liabilities

Page

22

Statement

of

Operations

Page

22

Statements

of

Changes

in

Net

Assets

Page

23

Financial

Highlights

Page

24

Notes

to

the

Financial

Statements

Page

25

Report

of

Independent

Registered

Public

Accounting

Firm

Page

30

Other

Federal

Income

Tax

Information

Page

31

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

32

Item

9.

Proxy

Disclosures

Page

32

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

32

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

33

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

DFA

Multi-Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

21

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(100.1%):

Domestic

Equity

Fund

(43.3%):

18,426,748

AZL

DFA

U.S.

Core

Equity

Fund

$

285,983,124

Fixed

Income

Fund

(40.5%):

27,901,672

AZL

Enhanced

Bond

Index

Fund

267,018,997

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(16.3%):

10,848,095

AZL

DFA

International

Core

Equity

Fund

$

107,830,064

Total

Affiliated

Investment

Companies

(Cost

$572,612,260)

660,832,185

Total

Investment

Securities

(Cost

$572,612,260

)

—

100.1%

(a)

660,832,185

Net

other

assets

(liabilities)

—

(0.1)%

(348,305)

Net

Assets

—

100.0%

$

660,483,880

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

AZL

DFA

Multi-Strategy

Fund

22

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

572,612,260‌

aaa

aaa

Investments

in

affiliates,

at

value

$

660,832,185‌

Receivable

for

affiliated

investments

sold

268,034‌

Prepaid

expenses

3,416‌

Total

Assets

661,103,635‌

Liabilities:

Cash

overdraft

268,034‌

Payable

for

capital

shares

redeemed

273,707‌

Management

fees

payable

28,679‌

Administration

fees

payable

14,158‌

Custodian

fees

payable

5,176‌

Administrative

and

compliance

services

fees

payable

2,547‌

Transfer

agent

fees

payable

1,455‌

Trustee

fees

payable

4,984‌

Other

accrued

liabilities

21,015‌

Total

Liabilities

619,755‌

Commitments

and

contingent

liabilities^

Net

Assets

$

660,483,880‌

Net

Assets

Consist

of:

Paid

in

capital

$

533,200,195‌

Total

distributable

earnings

127,283,685‌

Net

Assets

$

660,483,880‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

51,074,497‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

12.93‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

15,664,453‌

Dividends

from

non-affiliates

23‌

Total

Investment

Income

15,664,476‌

Expenses:

Management

fees

348,123‌

Administration

fees

87,808‌

Custodian

fees

25,549‌

Administrative

and

compliance

services

fees

16,050‌

Transfer

agent

fees

9,199‌

Trustee

fees

41,102‌

Professional

fees

44,835‌

Shareholder

reports

8,499‌

Other

expenses

10,138‌

Total

expenses

591,303‌

Net

Investment

Income/(Loss)

15,073,173‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

11,662,442‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

47,648,014‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

(13,677,087‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

45,633,369‌

Change

in

Net

Assets

Resulting

From

Operations

$

60,706,542‌

AZL

DFA

Multi-Strategy

Fund

23

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

15,073,173‌

$

9,369,625‌

Net

realized

gains/(losses)

on

investments

59,310,456‌

(

29,697,045‌

)

Change

in

unrealized

appreciation/depreciation

on

investments

(

13,677,087‌

)

109,232,505‌

Change

in

net

assets

resulting

from

operations

60,706,542‌

88,905,085‌

Distributions

to

Shareholders:

Distributions

(

9,399,757‌

)

(

82,785,004‌

)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(

9,399,757‌

)

(

82,785,004‌

)

Capital

Transactions:

Proceeds

from

shares

issued

417,715‌

1,804,943‌

Proceeds

from

dividends

reinvested

9,399,757‌

82,785,004‌

Value

of

shares

redeemed

(

119,155,650‌

)

(

95,508,526‌

)

Change

in

net

assets

resulting

from

capital

transactions

(

109,338,178‌

)

(

10,918,579‌

)

Change

in

net

assets

(

58,031,393‌

)

(

4,798,498‌

)

Net

Assets:

Beginning

of

period

718,515,273‌

723,313,771‌

End

of

period

$

660,483,880‌

$

718,515,273‌

Share

Transactions:

Shares

issued

33,030‌

158,191‌

Dividends

reinvested

716,445‌

7,658,187‌

Shares

redeemed

(

9,428,944‌

)

(

7,761,226‌

)

Change

in

shares

(

8,679,469‌

)

55,152‌

AZL

DFA

Multi-Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

24

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$12.02

$12.12

$15.44

$14.52

$14.36

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.27

‌

0.16

‌

0.29

‌

0.08

‌

0.22

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.82

‌

1.27

‌

(2.10

)

1.89

‌

1.20

‌

Total

from

Investment

Activities

1.09

‌

1.43

‌

(1.81

)

1.97

‌

1.42

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.18

)

(0.37

)

(0.16

)

(0.25

)

(0.45

)

Net

Realized

Gains

—

‌

(1.16

)

(1.35

)

(0.80

)

(0.81

)

Total

Dividends

(0.18

)

(1.53

)

(1.51

)

(1.05

)

(1.26

)

Net

Asset

Value,

End

of

Period

$12.93

$12.02

$12.12

$15.44

$14.52

Total

Return

(b)

9.04

%

13.22

%

(11.41

)%

13.81

%

10.64

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$660,484

$718,515

$723,314

$937,644

$940,773

Net

Investment

Income/(Loss)

2.16

%

1.31

%

2.14

%

0.50

%

1.60

%

Expenses

Before

Reductions*(c)

0.08

%

0.08

%

0.08

%

0.07

%

0.08

%

Expenses

Net

of

Reductions*

0.08

%

0.08

%

0.08

%

0.07

%

0.08

%

Portfolio

Turnover

Rate

19

%

44

%

10

%

6

%

18

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

25

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

DFA

Multi-Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

26

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

Annual

Rate

Annual

Expense

Limit

AZL

DFA

Multi-Strategy

Fund

0.05%

0.20%

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

DFA

International

Core

Equity

Fund

$

87,850,444‌

$

37,669,179‌

$

(13,444,968‌)

$

1,071,415‌

$

(5,316,006‌)

$

107,830,064‌

10,848,095‌

$

2,686,769‌

$

4,382,411‌

AZL

DFA

U.S.

Core

Equity

Fund

274,015,735‌

60,816,420‌

(76,195,279‌)

20,133,746‌

7,212,502‌

285,983,124‌

18,426,748‌

2,279,164‌

25,174,781‌

AZL

DFA

U.S.

Small

Cap

Fund

72,497,188‌

18,519,365‌

(72,634,072‌)

(10,522,502‌)

(7,859,979‌)

—‌

—‌

428,541‌

18,090,822‌

AZL

Enhanced

Bond

Index

Fund

284,522,638‌

17,169,523‌

(27,939,343‌)

979,783‌

(7,713,604‌)

267,018,997‌

27,901,672‌

10,269,979‌

—‌

$

718,886,005‌

$

134,174,487‌

$

(190,213,662‌)

$

11,662,442‌

$

(13,677,087‌)

$

660,832,185‌

57,176,515‌

$

15,664,453‌

$

47,648,014‌

AZL

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

27

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager's

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund's

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk

:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

During

the

year

ended

December

31,

2024,

the

Fund

did

not

directly

invest

in

derivatives.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

660,832,185

$

—

$

—

$

660,832,185

Total

Investment

Securities

$660,832,185

$—

$—

$660,832,185

Purchases

Sales

AZL

DFA

Multi-Strategy

Fund

$134,174,487

$190,213,662

AZL

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

28

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$573,849,773.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

As

of

the

end

of

its

tax

year

ended

December

31,

2024,

the

Fund

had

no

remaining

capital

loss

carry

forwards

(“CLCFs”).

The

Board

does

not

intend

to

authorize

a

distribution

of

any

realized

gain

for

the

Fund

until

any

applicable

CLCF

has

been

offset.

During

the

year

ended

December

31,

2024,

the

Fund

utilized

$32,040,228

in

CLCFs

to

offset

capital

gains. 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

90%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

Unrealized

appreciation

$86,982,412

Unrealized

(depreciation)

–

Net

unrealized

appreciation/(depreciation)

$86,982,412

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

DFA

Multi-Strategy

Fund

$9,399,757

$–

$9,399,757

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

DFA

Multi-Strategy

Fund

$19,999,004

$62,786,000

$82,785,004

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

DFA

Multi-Strategy

Fund

$16,882,818

$23,418,455

$—

$86,982,412

$127,283,685

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales.

AZL

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

29

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

10.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

30

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

DFA

Multi-Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

DFA

Multi-Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

31

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

15.34%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

32

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

33

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

34

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

35

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

Balanced

Index

Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

Balanced

Index

Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

39

Statement

of

Assets

and

Liabilities

Page

40

Statement

of

Operations

Page

40

Statements

of

Changes

in

Net

Assets

Page

41

Financial

Highlights

Page

42

Notes

to

the

Financial

Statements

Page

43

Report

of

Independent

Registered

Public

Accounting

Firm

Page

49

Other

Federal

Income

Tax

Information

Page

50

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

51

Item

9.

Proxy

Disclosures

Page

51

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

51

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

52

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

Balanced

Index

Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

39

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(95.1%):

Domestic

Equity

Funds

(33.3%):

1,004,588

AZL

Mid

Cap

Index

Fund,

Class

2

$

21,689,065‌

8,704,428

AZL

S&P

500

Index

Fund,

Class

2

206,817,218‌

1,160,118

AZL

Small

Cap

Stock

Index

Fund,

Class

2

14,443,473‌

242,949,756‌

Fixed

Income

Fund

(48.0%):

36,584,321

AZL

Enhanced

Bond

Index

Fund

350,111,957‌

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(13.8%):

5,769,917

AZL

International

Index

Fund,

Class

2

$

100,108,056‌

Total

Affiliated

Investment

Companies

(Cost

$639,510,541)

693,169,769‌

Total

Investment

Securities

(Cost

$639,510,541

)

—

95.1%

(a)

693,169,769‌

Net

other

assets

(liabilities)

—

4.9%

36,012,388‌

Net

Assets

—

100.0%

$

729,182,157‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

61

$

18,104,038‌

$

(571,598‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

167

18,161,250‌

(290,283‌)

$

(861,881‌)

AZL

MVP

Balanced

Index

Strategy

Fund

40

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

639,510,541‌

aaa

aaa

Investments

in

affiliates,

at

value

$

693,169,769‌

Deposit

at

broker

for

futures

contracts

collateral

36,358,844‌

Interest

and

dividends

receivable

110,672‌

Receivable

for

affiliated

investments

sold

330,858‌

Prepaid

expenses

3,757‌

Total

Assets

729,973,900‌

Liabilities:

Cash

overdraft

330,858‌

Payable

for

capital

shares

redeemed

342,108‌

Management

fees

payable

63,189‌

Administration

fees

payable

15,318‌

Custodian

fees

payable

6,989‌

Administrative

and

compliance

services

fees

payable

2,786‌

Transfer

agent

fees

payable

1,539‌

Trustee

fees

payable

5,453‌

Other

accrued

liabilities

23,503‌

Total

Liabilities

791,743‌

Commitments

and

contingent

liabilities^

Net

Assets

$

729,182,157‌

Net

Assets

Consist

of:

Paid

in

capital

$

638,368,099‌

Total

distributable

earnings

90,814,058‌

Net

Assets

$

729,182,157‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

58,152,599‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

12.54‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

19,142,645‌

Interest

1,716,008‌

Dividends

from

non-affiliates

282‌

Total

Investment

Income

20,858,935‌

Expenses:

Management

fees

772,342‌

Administration

fees

96,914‌

Custodian

fees

32,414‌

Administrative

and

compliance

services

fees

22,874‌

Transfer

agent

fees

9,898‌

Trustee

fees

57,184‌

Professional

fees

57,693‌

Shareholder

reports

10,668‌

Other

expenses

12,573‌

Total

expenses

1,072,560‌

Net

Investment

Income/(Loss)

19,786,375‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

25,413,446‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

13,063,919‌

Net

realized

gains/(losses)

on

futures

contracts

3,845,842‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

1,808,831‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(1,626,751‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

42,505,287‌

Change

in

Net

Assets

Resulting

From

Operations

$

62,291,662‌

AZL

MVP

Balanced

Index

Strategy

Fund

41

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

19,786,375‌

$

12,292,134‌

Net

realized

gains/(losses)

on

investments

42,323,207‌

29,065,455‌

Change

in

unrealized

appreciation/depreciation

on

investments

182,080‌

45,861,248‌

Change

in

net

assets

resulting

from

operations

62,291,662‌

87,218,837‌

Distributions

to

Shareholders:

Distributions

(43,308,388‌)

(12,096,295‌)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(43,308,388‌)

(12,096,295‌)

Capital

Transactions:

Proceeds

from

shares

issued

2,013,371‌

4,731,773‌

Proceeds

from

shares

issued

in

merger

—‌

579,651,043‌

Proceeds

from

dividends

reinvested

43,308,388‌

12,096,295‌

Value

of

shares

redeemed

(134,489,155‌)

(112,489,130‌)

Change

in

net

assets

resulting

from

capital

transactions

(89,167,396‌)

483,989,981‌

Change

in

net

assets

(70,184,122‌)

559,112,523‌

Net

Assets:

Beginning

of

period

799,366,279‌

240,253,756‌

End

of

period

$

729,182,157‌

$

799,366,279‌

Share

Transactions:

Shares

issued

158,934‌

409,444‌

Shares

issued

in

merger

—‌

51,611,164‌

Dividends

reinvested

3,394,074‌

1,089,757‌

Shares

redeemed

(10,559,502‌)

(9,686,070‌)

Change

in

shares

(7,006,494‌)

43,424,295‌

Amounts

shown

as

“—”

are

either

$0

or

round

to

less

than

$1.

AZL

MVP

Balanced

Index

Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

42

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$12.27

$11.05

$14.38

$14.04

$13.90

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.33

‌

0.21

‌

0.16

‌

0.11

‌

0.24

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.70

‌

1.19

‌

(2.34

)

1.26

‌

0.54

‌

Total

from

Investment

Activities

1.03

‌

1.40

‌

(2.18

)

1.37

‌

0.78

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.22

)

(0.06

)

(0.28

)

(0.26

)

(0.27

)

Net

Realized

Gains

(0.54

)

(0.12

)

(0.87

)

(0.77

)

(0.37

)

Total

Dividends

(0.76

)

(0.18

)

(1.15

)

(1.03

)

(0.64

)

Net

Asset

Value,

End

of

Period

$12.54

$12.27

$11.05

$14.38

$14.04

Total

Return

(b)

8.28

%

12.85

%

(14.87

)%

10.02

%

5.98

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$729,182

$799,366

$240,254

$324,718

$320,488

Net

Investment

Income/(Loss)

2.56

%

1.77

%

1.30

%

0.74

%

1.82

%

Expenses

Before

Reductions*(c)

0.14

%

0.13

%

0.14

%

0.13

%

0.14

%

Expenses

Net

of

Reductions*

0.14

%

0.13

%

0.14

%

0.13

%

0.14

%

Portfolio

Turnover

Rate

11

%

16

%

7

%

10

%

13

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

43

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

Balanced

Index

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

44

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$38.3

million.

There

was

no

short

contract

activity

during

the

period.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(571,598)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$571,598

Interest

Rate

Risk

–

–

–

–

(290,283)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

290,283

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(3,924,721)

720,528

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

3,924,721

$

(720,528)

Interest

Rate

Risk

78,879

906,223

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(78,879)

$(906,223)

Annual

Rate

Annual

Expense

Limit

AZL

MVP

Balanced

Index

Strategy

Fund

0.10%

0.20%

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

45

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

379,598,130‌

$

16,640,187‌

$

(37,209,731‌)

$

(3,829,175‌)

$

(5,087,454‌)

$

350,111,957‌

36,584,321‌

$

13,532,740‌

$

—‌

AZL

International

Index

Fund,

Class

2

100,669,805‌

14,110,651‌

(14,623,545‌)

2,633,862‌

(2,682,717‌)

100,108,056‌

5,769,917‌

2,768,450‌

827,712‌

AZL

Mid

Cap

Index

Fund,

Class

2

59,781,515‌

2,595,457‌

(42,218,175‌)

5,310,364‌

(3,780,096‌)

21,689,065‌

1,004,588‌

381,992‌

2,032,599‌

AZL

S&P

500

Index

Fund,

Class

2

188,108,697‌

47,311,867‌

(63,823,221‌)

20,901,475‌

14,318,400‌

206,817,218‌

8,704,428‌

2,262,125‌

9,489,74

3‌

AZL

Small

Cap

Stock

Index

Fund,

Class

2

31,988,605‌

911,203‌

(17,893,953‌)

396,920‌

(959,302‌)

14,443,473‌

1,160,118‌

197,338‌

713,865‌

$

760,146,752‌

$

81,569,365‌

$

(175,768,625‌)

$

25,413,446‌

$

1,808,831‌

$

693,169,769‌

53,223,372‌

$

19,142,645‌

$

13,063,91

9‌

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

46

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates.

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

693,169,769

$

—

$

—

$

693,169,769

Total

Investment

Securities

693,169,769

—

—

693,169,769

Other

Financial

Instruments:

*

Futures

Contracts

(861,881)

—

—

(861,881)

Total

Investments

$692,307,888

$—

$—

$692,307,888

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

Balanced

Index

Strategy

Fund

$81,569,365

$175,768,625

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

47

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$644,098,808.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Acquisition

of

Funds

Effective

as

of

the

close

of

business

March

10,

2023,

the

Fund

acquired

all

the

assets

and

liabilities

of

the

AZL

MVP

Fusion

Balanced

Fund

(“MVP

Fusion

Balanced

Fund”),

an

open-end

management

investment

company,

pursuant

to

a

plan

of

reorganization

approved

by

the

Board

on

December

13,

2022

(the

“Plan”).

The

acquisition

was

accomplished

by

a

taxable

exchange

of

67,346,809

shares

of

the

MVP

Fusion

Balanced

Fund

outstanding

as

of

close

of

business

March

10,

2023,

valued

at

$579,651,043

for

51,611,164

shares

of

the

Fund.

At

the

close

of

business

March

10,

2023,

the

MVP

Fusion

Balanced

Fund’s

investment

holdings

had

a

fair

value

of

$553,582,576

and

identified

cost

of

$550,296,722.

For

financial

reporting

purposes,

assets

received

and

shares

issued

by

the

Fund

were

recorded

at

fair

value,

including

the

cost

basis

of

investments

received.

All

fees

and

expenses

incurred

by

the

MVP

Fusion

Balanced

Fund

and

the

Fund

directly

in

connection

with

the

Plan

were

borne

by

the

Manager.

There were

no

material

differences

in

accounting

policies

of

the

MVP

Fusion

Balanced

Fund

as

compared

to

those

of

the

Fund.

Unrealized

appreciation

$58,818,576

Unrealized

(depreciation)

(9,747,615)

Net

unrealized

appreciation/(depreciation)

$49,070,961

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Balanced

Index

Strategy

Fund

$30,191,032

$13,117,356

$43,308,388

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Balanced

Index

Strategy

Fund

$4,448,886

$7,647,409

$12,096,295

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

Balanced

Index

Strategy

Fund

$41,742,224

$18,417,532

$—

$49,070,961

$109,230,717

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales,

mark-to-market

of

futures

contracts

and

straddles.

AZL

MVP

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

48

10.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

11.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

49

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

Balanced

Index

Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

Balanced

Index

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

50

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

36.34%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

short-term

capital

gain

distributions

of

$17,898,923.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$13,117,356.

51

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

52

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

53

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

54

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

DFA

Multi-Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

DFA

Multi-Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

58

Statement

of

Assets

and

Liabilities

Page

59

Statement

of

Operations

Page

59

Statements

of

Changes

in

Net

Assets

Page

60

Financial

Highlights

Page

61

Notes

to

the

Financial

Statements

Page

62

Report

of

Independent

Registered

Public

Accounting

Firm

Page

68

Other

Federal

Income

Tax

Information

Page

69

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

70

Item

9.

Proxy

Disclosures

Page

70

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

70

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

71

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

DFA

Multi-Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

58

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(95.1%):

Domestic

Equity

Fund

(40.4%):

33,611,654

AZL

DFA

U.S.

Core

Equity

Fund

$

521,652,873‌

Fixed

Income

Fund

(38.4%):

51,846,235

AZL

Enhanced

Bond

Index

Fund

496,168,465‌

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(16.3%):

21,152,278

AZL

DFA

International

Core

Equity

Fund

$

210,253,639‌

Total

Affiliated

Investment

Companies

(Cost

$1,146,503,792)

1,228,074,977‌

Total

Investment

Securities

(Cost

$1,146,503,792)

—

95.1%(a)

1,228,074,977‌

Net

other

assets

(liabilities)

—

4.9%

63,815,104‌

Net

Assets

—

100.0%

$

1,291,890,081‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

129

$

38,285,588‌

$

(1,221,174‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

236

25,665,000‌

(408,124‌)

$

(1,629,298‌)

AZL

MVP

DFA

Multi-Strategy

Fund

59

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

1,146,503,792‌

aaa

aaa

Investments

in

affiliates,

at

value

$

1,228,074,977‌

Deposit

at

broker

for

futures

contracts

collateral

64,237,968‌

Interest

and

dividends

receivable

196,304‌

Receivable

for

affiliated

investments

sold

683,048‌

Receivable

for

variation

margin

on

futures

contracts

1,806‌

Prepaid

expenses

6,668‌

Total

Assets

1,293,200,771‌

Liabilities:

Cash

overdraft

683,048‌

Payable

for

capital

shares

redeemed

421,749‌

Management

fees

payable

112,104‌

Administration

fees

payable

16,933‌

Custodian

fees

payable

12,535‌

Administrative

and

compliance

services

fees

payable

5,686‌

Transfer

agent

fees

payable

1,675‌

Trustee

fees

payable

11,127‌

Other

accrued

liabilities

45,833‌

Total

Liabilities

1,310,690‌

Commitments

and

contingent

liabilities^

Net

Assets

$

1,291,890,081‌

Net

Assets

Consist

of:

Paid

in

capital

$

1,081,526,682‌

Total

distributable

earnings

210,363,399‌

Net

Assets

$

1,291,890,081‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

111,144,597‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

11.62‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

29,294,148‌

Interest

3,019,905‌

Total

Investment

Income

32,314,053‌

Expenses:

Management

fees

2,729,562‌

Administration

fees

95,732‌

Custodian

fees

56,094‌

Administrative

and

compliance

services

fees

21,241‌

Transfer

agent

fees

9,651‌

Trustee

fees

60,011‌

Professional

fees

75,169‌

Shareholder

reports

13,508‌

Other

expenses

17,280‌

Total

expenses

before

reductions

3,078,248‌

Less

Management

fees

contractually

waived

(1,364,772‌)

Net

expenses

1,713,476‌

Net

Investment

Income/(Loss)

30,600,577‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

8,040,991‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

89,861,261‌

Net

realized

gains/(losses)

on

futures

contracts

9,288,394‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

(14,920,645‌)

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(3,883,868‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

88,386,133‌

Change

in

Net

Assets

Resulting

From

Operations

$

118,986,710‌

AZL

MVP

DFA

Multi-Strategy

Fund

60

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

30,600,577‌

$

15,764,044‌

Net

realized

gains/(losses)

on

investments

107,190,646‌

40,709,759‌

Change

in

unrealized

appreciation/depreciation

on

investments

(18,804,513‌)

99,255,205‌

Change

in

net

assets

resulting

from

operations

118,986,710‌

155,729,008‌

Distributions

to

Shareholders:

Distributions

(58,176,909‌)

(2,915,434‌)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(58,176,909‌)

(2,915,434‌)

Capital

Transactions:

Proceeds

from

shares

issued

639,835‌

6,751,576‌

Proceeds

from

shares

issued

in

merger

—‌

1,340,915,610‌

Proceeds

from

dividends

reinvested

58,176,909‌

2,915,434‌

Value

of

shares

redeemed

(241,540,534‌)

(168,014,722‌)

Change

in

net

assets

resulting

from

capital

transactions

(182,723,790‌)

1,182,567,898‌

Change

in

net

assets

(121,913,989‌)

1,335,381,472‌

Net

Assets:

Beginning

of

period

1,413,804,070‌

78,422,598‌

End

of

period

$

1,291,890,081‌

$

1,413,804,070‌

Share

Transactions:

Shares

issued

54,336‌

665,897‌

Shares

issued

in

merger

—‌

134,212,030‌

Dividends

reinvested

4,930,247‌

290,961‌

Shares

redeemed

(20,787,251‌)

(16,206,663‌)

Change

in

shares

(15,802,668‌)

118,962,225‌

Amounts

shown

as

“—”

are

either

$0

or

round

to

less

than

$1.

AZL

MVP

DFA

Multi-Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

61

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$11.14

$9.82

$12.21

$11.58

$12.03

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.26

‌

0.14

‌

0.23

‌

0.05

‌

0.16

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.74

‌

1.21

‌

(1.69

)

1.51

‌

0.22

‌

Total

from

Investment

Activities

1.00

‌

1.35

‌

(1.46

)

1.56

‌

0.38

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.14

)

(0.02

)

(0.11

)

(0.17

)

(0.34

)

Net

Realized

Gains

(0.38

)

(0.01

)

(0.82

)

(0.76

)

(0.49

)

Total

Dividends

(0.52

)

(0.03

)

(0.93

)

(0.93

)

(0.83

)

Net

Asset

Value,

End

of

Period

$11.62

$11.14

$9.82

$12.21

$11.58

Total

Return

(b)

8.95

%

13.69

%

(11.76

)%

13.74

%

3.77

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$1,291,890

$1,413,804

$78,423

$99,979

$90,668

Net

Investment

Income/(Loss)

2.24

%

1.38

%

2.10

%

0.42

%

1.44

%

Expenses

Before

Reductions*(c)

0.23

%

0.23

%

0.30

%

0.29

%

0.30

%

Expenses

Net

of

Reductions*

0.13

%

0.13

%

0.15

%

0.15

%

0.15

%

Portfolio

Turnover

Rate

20

%

18

%

11

%

13

%

18

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

62

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

DFA

Multi-

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

63

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$67.7

million.

There

was

no

short

contract

activity

during

the

period.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

*

The

Manager

waived,

prior

to

any

application

of

expense

limit,

the

management

fee

to

0.10%

on

all

assets

in

order

to

maintain

a

more

competitive

expense

ratio.

The

Manager

reserves

the

right

to

increase

the

management

fee

to

the

amount

shown

in

the

table

above

(i.e.,

discontinue

the

waiver)

at

any

time

after

April

30,

2026.

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(1,221,174)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$1,221,174

Interest

Rate

Risk

–

–

–

–

(408,124)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

408,124

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(9,408,753)

2,604,811

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

9,408,753

$

(2,604,811)

Interest

Rate

Risk

120,359

1,279,057

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(120,359)

$(1,279,057)

Annual

Rate*

Annual

Expense

Limit

AZL

MVP

DFA

Multi-Strategy

Fund

0.2

0

%

0.15%

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

64

Any

amounts

contractually

waived

or

assumed

by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

The

Manager

serves

as

the

investment

adviser

of

the

underlying

funds

in

which

the

Fund

invests.

At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

DFA

International

Core

Equity

Fund

$

172,336,936‌

$

73,801,310‌

$

(27,743,616‌)

$

2,437,381‌

$

(10,578,372‌)

$

210,253,639‌

21,152,278‌

$

5,245,436‌

$

8,555,874‌

AZL

DFA

U.S.

Core

Equity

Fund

496,376,149‌

116,613,444‌

(141,294,050‌)

29,110,737‌

20,846,593‌

521,652,873‌

33,611,654‌

4,139,899‌

45,727,762‌

AZL

DFA

U.S.

Small

Cap

Fund

142,122,745‌

36,419,262‌

(142,400,384‌)

(24,363,215‌)

(11,778,408‌)

—‌

—‌

841,637‌

35,577,625‌

AZL

Enhanced

Bond

Index

Fund

533,362,197‌

30,360,135‌

(54,999,497‌)

856,088‌

(13,410,458‌)

496,168,465‌

51,846,235‌

19,067,176‌

—‌

$

1,344,198,027‌

$

257,194,151‌

$

(366,437,547‌)

$

8,040,991‌

$

(14,920,645‌)

$

1,228,074,977‌

106,610,167‌

$

29,294,148‌

$

89,861,261‌

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

65

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

1,228,074,977

$

—

$

—

$

1,228,074,977

Total

Investment

Securities

1,228,074,977

—

—

1,228,074,977

Other

Financial

Instruments:

*

Futures

Contracts

(1,629,298)

—

—

(1,629,298)

Total

Investments

$1,226,445,679

$—

$—

$1,226,445,679

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

DFA

Multi-Strategy

Fund

$257,194,151

$366,437,547

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

66

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$1,147,263,982.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

As

of

December

31,

2024,

the

Fund

had

a

controlling

interest

(in

excess

of

50%)

in

the

AZL

DFA

U.S.

Core

Equity

Fund

and

the

AZL

DFA

International

Core

Equity

Fund,

which

are

each

affiliated

with

the

Manager.

9.

Acquisition

of

Funds

Effective

as

of

the

close

of

business

March

10,

2023,

the

Fund

acquired

all

the

assets

and

liabilities

of

the

AZL

MVP

Fusion

Moderate

Fund

(“MVP

Fusion

Moderate

Fund”),

an

open-

end

management

investment

company,

pursuant

to

a

plan

of

reorganization

approved

by

the

Board

on

December

13,

2022

(the

“Plan”).

The

acquisition

was

accomplished

by

a

taxable

exchange

of

157,277,879

shares

of

the

MVP

Fusion

Moderate

Fund

outstanding

as

of

close

of

business

March

10,

2023,

valued

at

$1,340,915,610

for

134,212,030

shares

of

the

Fund.

At

the

close

of

business

March

10,

2023,

the

MVP

Fusion

Moderate

Fund’s

investment

holdings

had

a

fair

value

of

$1,281,321,873

and

identified

cost

of

$1,287,826,325.

For

financial

reporting

purposes,

assets

received

and

shares

issued

by

the

Fund

were

recorded

at

fair

value,

including

the

cost

basis

of

investments

received.

All

fees

and

expenses

incurred

by

the

MVP

Fusion

Moderate

Fund

and

the

Fund

directly

in

connection

with

the

Plan

were

borne

by

the

Manager.

There were

no

material

differences

in

accounting

policies

of

the

MVP

Fusion

Moderate

Fund

as

compared

to

those

of

the

Fund.

Unrealized

appreciation

$86,736,018

Unrealized

(depreciation)

(5,925,023)

Net

unrealized

appreciation/(depreciation)

$80,810,995

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

DFA

Multi-Strategy

Fund

$29,503,001

$28,673,908

$58,176,909

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

DFA

Multi-Strategy

Fund

$2,117,611

$797,823

$2,915,434

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

DFA

Multi-Strategy

Fund

$64,539,584

$69,517,781

$—

$80,810,995

$214,868,360

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales,

mark-to-market

of

futures

contracts

and

straddles.

AZL

MVP

DFA

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

67

10.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

11.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

68

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

DFA

Multi-Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

DFA

Multi-Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

69

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

9.07%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

short-term

capital

gain

distributions

of

$13,679,762.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$28,673,908.

70

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

71

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

72

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

73

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

77

Statement

of

Assets

and

Liabilities

Page

78

Statement

of

Operations

Page

78

Statements

of

Changes

in

Net

Assets

Page

79

Financial

Highlights

Page

80

Notes

to

the

Financial

Statements

Page

81

Report

of

Independent

Registered

Public

Accounting

Firm

Page

87

Other

Federal

Income

Tax

Information

Page

88

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

89

Item

9.

Proxy

Disclosures

Page

89

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

89

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

90

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

77

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Company

(95.0%):

Balanced

Funds

(95.0%):

18,651,996

AZL

Fidelity

Institutional

Asset

Management

Multi-

Strategy

Fund,

Class

2

$

281,458,614

Total

Affiliated

Investment

Company

(Cost

$230,411,613)

281,458,614

Total

Investment

Securities

(Cost

$230,411,613)

—

95.0%(a)

281,458,614

Net

other

assets

(liabilities)

—

5.0%

14,686,334

Net

Assets

—

100.0%

$

296,144,948

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

19

$

5,638,963‌

$

(163,571‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

81

8,808,750‌

(139,138‌)

$

(302,709‌)

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

78

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

230,411,613‌

aaa

aaa

Investments

in

affiliates,

at

value

$

281,458,614‌

Deposit

at

broker

for

futures

contracts

collateral

14,812,784‌

Interest

and

dividends

receivable

45,001‌

Receivable

for

affiliated

investments

sold

372,110‌

Receivable

for

variation

margin

on

futures

contracts

1,806‌

Prepaid

expenses

1,526‌

Total

Assets

296,691,841‌

Liabilities:

Cash

overdraft

372,110‌

Payable

for

capital

shares

redeemed

121,289‌

Management

fees

payable

15,763‌

Administration

fees

payable

16,426‌

Custodian

fees

payable

4,046‌

Administrative

and

compliance

services

fees

payable

1,302‌

Transfer

agent

fees

payable

1,602‌

Trustee

fees

payable

2,548‌

Other

accrued

liabilities

11,807‌

Total

Liabilities

546,893‌

Commitments

and

contingent

liabilities^

Net

Assets

$

296,144,948‌

Net

Assets

Consist

of:

Paid

in

capital

$

239,861,047‌

Total

distributable

earnings

56,283,901‌

Net

Assets

$

296,144,948‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

22,185,534‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

13.35‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

6,809,711‌

Interest

687,727‌

Dividends

from

non-affiliates

223‌

Total

Investment

Income

7,497,661‌

Expenses:

Management

fees

315,438‌

Administration

fees

90,654‌

Custodian

fees

18,580‌

Administrative

and

compliance

services

fees

10,919‌

Transfer

agent

fees

9,043‌

Trustee

fees

26,963‌

Professional

fees

26,027‌

Shareholder

reports

5,703‌

Other

expenses

5,375‌

Total

expenses

before

reductions

508,702‌

Less

expense

contractually

waived/reimbursed

by

the

Manager

(35,422‌)

Net

expenses

473,280‌

Net

Investment

Income/(Loss)

7,024,381‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

9,565,471‌

Net

realized

gains/(losses)

on

futures

contracts

1,087,667‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

16,221,541‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(603,479‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

26,271,200‌

Change

in

Net

Assets

Resulting

From

Operations

$

33,295,581‌

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

79

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

7,024,381‌

$

5,329,878‌

Net

realized

gains/(losses)

on

investments

10,653,138‌

(143,550‌)

Change

in

unrealized

appreciation/depreciation

on

investments

15,618,062‌

33,097,849‌

Change

in

net

assets

resulting

from

operations

33,295,581‌

38,284,177‌

Distributions

to

Shareholders:

Distributions

(5,329,858‌)

(4,941,197‌)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(5,329,858‌)

(4,941,197‌)

Capital

Transactions:

Proceeds

from

shares

issued

3,104,394‌

9,474,749‌

Proceeds

from

shares

issued

in

merger

—‌

165,908,114‌

Proceeds

from

dividends

reinvested

5,329,858‌

4,941,197‌

Value

of

shares

redeemed

(70,186,703‌)

(66,117,969‌)

Change

in

net

assets

resulting

from

capital

transactions

(61,752,451‌)

114,206,091‌

Change

in

net

assets

(33,786,728‌)

147,549,071‌

Net

Assets:

Beginning

of

period

329,931,676‌

182,382,605‌

End

of

period

$

296,144,948‌

$

329,931,676‌

Share

Transactions:

Shares

issued

238,428‌

828,026‌

Shares

issued

in

merger

—‌

14,877,903‌

Dividends

reinvested

398,048‌

441,178‌

Shares

redeemed

(5,423,334‌)

(5,712,574‌)

Change

in

shares

(4,786,858‌)

10,434,533‌

Amounts

shown

as

“—”

are

either

$0

or

round

to

less

than

$1.

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

80

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$12.23

$11.03

$13.55

$13.00

$12.47

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.29

‌

0.20

‌

0.10

‌

0.05

‌

0.27

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

1.06

‌

1.18

‌

(1.98

)

1.36

‌

0.61

‌

Total

from

Investment

Activities

1.35

‌

1.38

‌

(1.88

)

1.41

‌

0.88

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.23

)

(0.18

)

(0.09

)

(0.36

)

(0.35

)

Net

Realized

Gains

—

‌

—

‌

(0.55

)

(0.50

)

—

‌

Total

Dividends

(0.23

)

(0.18

)

(0.64

)

(0.86

)

(0.35

)

Net

Asset

Value,

End

of

Period

$13.35

$12.23

$11.03

$13.55

$13.00

Total

Return

(b)

11.06

%

12.63

%

(13.81

)%

11.07

%

7.16

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$296,145

$329,932

$182,383

$243,789

$254,918

Net

Investment

Income/(Loss)

2.23

%

1.73

%

0.81

%

0.35

%

2.19

%

Expenses

Before

Reductions*(c)

0.16

%

0.15

%

0.15

%

0.14

%

0.15

%

Expenses

Net

of

Reductions*

0.15

%

0.15

%

0.15

%

0.14

%

0.15

%

Portfolio

Turnover

Rate

3

%

21

%

8

%

3

%

6

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

81

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

FIAM

Multi-

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

82

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$14.7

million,

and

the

monthly

average

notional

amount

for

short

contracts

was

$47.1

thousand.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed

by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(163,571)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$163,571

Interest

Rate

Risk

–

–

–

–

(139,138)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

139,138

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(1,129,265)

187,788

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

1,129,26

4

$

(187,788)

Interest

Rate

Risk

41,597

415,691

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(41,597)

$(415,691)

Annual

Rate

Annual

Expense

Limit

AZL

MVP

FIAM

Multi-Strategy

Fund

0.10%

0.15%

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

83

At

December

31,

2024,

the

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years

were

as

follows:

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of

the

underlying

funds

in

which

the

Fund

invests.

At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Expires

12/31/2027

Total

AZL

MVP

FIAM

Multi-Strategy

Fund

$35,422

$35,422

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund,

Class

2

$

315,196,873‌

$

8,482,460‌

$

(68,007,731‌

)

$

9,565,47

1‌

$

16,221,541‌

$

281,458,614‌

18,651,996‌

$

6,809,711‌

$

—‌

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

84

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Company

$

281,458,614

$

—

$

—

$

281,458,614

Total

Investment

Securities

281,458,614

—

—

281,458,614

Other

Financial

Instruments:

*

Futures

Contracts

(302,709)

—

—

(302,709)

Total

Investments

$281,155,905

$—

$—

$281,155,905

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.

These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

FIAM

Multi-Strategy

Fund

$8,482,460

$68,007,731

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

85

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$232,963,227.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis

is

as

follows:

As

of

the

end

of

its

tax

year

ended

December

31,

2024,

the

Fund

had

no

remaining

capital

loss

carry

forwards

(“CLCFs”).

The

Board

does

not

intend

to

authorize

a

distribution

of

any

realized

gain

for

the

Fund

until

any

applicable

CLCF

has

been

offset.

During

the

year

ended

December

31,

2024,

the

Fund

utilized

$2,368,979

in

CLCFs

to

offset

capital

gains. 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Acquisition

of

Funds

Effective

as

of

the

close

of

business

March

10,

2023,

the

Fund

acquired

all

the

assets

and

liabilities

of

the

AZL

MVP

Fusion

Conservative

Fund

(“MVP

Fusion

Conservative

Fund”),

an

open-end

management

investment

company,

pursuant

to

a

plan

of

reorganization

approved

by

the

Board

on

December

13,

2022

(the

“Plan”).

The

acquisition

was

accomplished

by

a

taxable

exchange

of

17,761,854

shares

of

the

MVP

Fusion

Conservative

Fund

outstanding

as

of

close

of

business

March

10,

2023,

valued

at

$165,908,114

for

14,877,903

shares

of

the

Fund.

At

the

close

of

business

March

10,

2023,

the

MVP

Fusion

Conservative

Fund’s

investment

holdings

had

a

fair

value

of

$157,511,590

and

identified

cost

of

$157,511,590.

For

financial

reporting

purposes,

assets

received

and

shares

issued

by

the

Fund

were

recorded

at

fair

value,

including

the

cost

basis

of

investments

received.

All

fees

and

expenses

incurred

by

the

MVP

Fusion

Conservative

Fund

and

the

Fund

directly

in

connection

with

the

Plan

were

borne

by

the

Manager.

There were

no

material

differences

in

accounting

policies

of

the

MVP

Fusion

Conservative

Fund

as

compared

to

those

of

the

Fund.

Unrealized

appreciation

$48,495,387

Unrealized

(depreciation)

–

Net

unrealized

appreciation/(depreciation)

$48,495,387

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

FIAM

Multi-Strategy

Fund

$5,329,858

$–

$5,329,858

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

FIAM

Multi-Strategy

Fund

$4,941,197

$—

$4,941,197

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

FIAM

Multi-Strategy

Fund

$13,652,055

$—

$—

$48,495,387

$62,147,442

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales

and

mark-to-market

of

futures

contracts.

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

86

10.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

11.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

87

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

Fidelity

Institutional

Asset

Management

Multi-

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

88

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

23.90%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

89

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

90

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

91

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

92

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

Global

Balanced

Index

Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

Global

Balanced

Index

Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

96

Statement

of

Assets

and

Liabilities

Page

97

Statement

of

Operations

Page

97

Statements

of

Changes

in

Net

Assets

Page

98

Financial

Highlights

Page

99

Notes

to

the

Financial

Statements

Page

100

Report

of

Independent

Registered

Public

Accounting

Firm

Page

107

Other

Federal

Income

Tax

Information

Page

108

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

109

Item

9.

Proxy

Disclosures

Page

109

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

109

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

110

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

96

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31

,

2024

.

Shares

Value

Common

Stocks

(0.0%

†

):

Health

Care

Providers

&

Services

(0.0%

†

):

145,123

Grand

Rounds,

Inc.,

Series

C*(a)(b)

$

108,842‌

Paper

&

Forest

Products

(0.0%

†

):

386,370

Quintis

Pty,

Ltd.*(a)(b)

3‌

Total

Common

Stocks

(Cost

$653,277)

108,845‌

Private

Placements

(0.1%):

Household

Durables

(0.0%

†

):

23,389

Jawbone,

0.00%*(a)(b)

—‌

Software

(0.1%):

5,547

Lookout,

Inc.,

0.00%*(a)(b)

5,269‌

63,925

Lookout,

Inc.,

Series

F,

Preferred

Shares,

0.00%*(a)

(b)

120,818‌

126,087‌

Total

Private

Placements

(Cost

$485,378)

126,087‌

Principal

Amount

Convertible

Bond

(0.0%

†

):

Food

Products

(0.0%

†

):

$

400,000

REI

Agro,

Ltd.,

Registered

Shares,

5.50%,

11/13/14*(a)(b)(c)

—‌

Total

Convertible

Bond

(Cost

$—)

—‌

Principal

Amount

Value

Corporate

Bonds

(0.0%

†

):

Paper

&

Forest

Products

(0.0%

†

):

$

52,331

Quintis

Australia

Pty,

Ltd.,

7.50%,

10/1/26,

Callable

2/7/25

@

100*(a)(b)

$

6,672‌

730,672

Quintis

Australia

Pty,

Ltd.,

12.00%,

10/1/28,

Callable

2/7/25

@

109*(a)(b)

—‌

Total

Corporate

Bonds

(Cost

$783,003)

6,672‌

Shares

Affiliated

Investment

Companies

(95.0%):

Fixed

Income

Fund

(47.9%):

22,666,781

AZL

Enhanced

Bond

Index

Fund

216,921,097‌

International

Equity

Fund

(47.1%):

12,060,734

AZL

MSCI

Global

Equity

Index

Fund,

Class

2

213,595,597‌

Total

Affiliated

Investment

Companies

(Cost

$375,085,706)

430,516,694‌

Total

Investment

Securities

(Cost

$377,007,364

)

—

95.1%

(d)

430,758,298‌

Net

other

assets

(liabilities)

—

4.9%

22,380,018‌

Net

Assets

—

100.0%

$

453,138,316‌

†

Represents

less

than

0.05%.

*

Non-income

producing

security.

(a)

Rule

144A,

Section

4(2)

or

other

security

which

is

restricted

to

resale

to

institutional

investors.

(b)

Security

was

valued

using

significant

unobservable

inputs

as

of

December

31,

2024.

(c)

Defaulted

bond.

(d)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Amounts

shown

as

“—“

are

either

$0

or

round

to

less

than

$1.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

37

$

10,981,138‌

$

(340,334‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

104

11,310,000‌

(180,075‌)

$

(520,409‌)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

97

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

375,085,706‌

Investments

in

non-affiliates,

at

cost

1,921,658‌

aaa

aaa

Investments

in

affiliates,

at

value

$

430,516,694‌

Investments

in

non-affiliates,

at

value

241,604‌

Deposit

at

broker

for

futures

contracts

collateral

22,626,964‌

Interest

and

dividends

receivable

68,815‌

Receivable

for

investments

sold

252,963‌

Receivable

for

variation

margin

on

futures

contracts

1,448‌

Prepaid

expenses

2,330‌

Reclaims

receivable

32,992‌

Total

Assets

453,743,810‌

Liabilities:

Cash

overdraft

252,964‌

Payable

for

capital

shares

redeemed

269,693‌

Management

fees

payable

39,310‌

Administration

fees

payable

14,956‌

Custodian

fees

payable

5,441‌

Administrative

and

compliance

services

fees

payable

1,821‌

Transfer

agent

fees

payable

1,456‌

Trustee

fees

payable

3,564‌

Other

accrued

liabilities

16,289‌

Total

Liabilities

605,494‌

Commitments

and

contingent

liabilities^

Net

Assets

$

453,138,316‌

Net

Assets

Consist

of:

Paid

in

capital

$

417,757,369‌

Total

distributable

earnings

35,380,947‌

Net

Assets

$

453,138,316‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

40,909,971‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

11.08‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

11,613,101‌

Interest

1,077,264‌

Dividends

from

non-affiliates

102‌

Total

Investment

Income

12,690,467‌

Expenses:

Management

fees

485,095‌

Administration

fees

89,301‌

Custodian

fees

26,045‌

Administrative

and

compliance

services

fees

10,494‌

Transfer

agent

fees

8,876‌

Trustee

fees

27,160‌

Professional

fees

30,472‌

Shareholder

reports

7,382‌

Other

expenses

7,066‌

Total

expenses

691,891‌

Net

Investment

Income/(Loss)

11,998,576‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

12,022,291‌

Net

realized

gains/(losses)

on

futures

contracts

2,718,122‌

Change

in

net

unrealized

appreciation/depreciation

on

securities

and

foreign

currencies

(239,320‌)

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

18,869,531‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(1,324,045‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

32,046,579‌

Change

in

Net

Assets

Resulting

From

Operations

$

44,045,155‌

AZL

MVP

Global

Balanced

Index

Strategy

Fund

98

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

11,998,576‌

$

7,374,754‌

Net

realized

gains/(losses)

on

investments

14,740,413‌

1,662,612‌

Change

in

unrealized

appreciation/depreciation

on

investments

17,306,166‌

57,065,550‌

Change

in

net

assets

resulting

from

operations

44,045,155‌

66,102,916‌

Distributions

to

Shareholders:

Distributions

(

7,719,756‌

)

(

20,387,500‌

)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(

7,719,756‌

)

(

20,387,500‌

)

Capital

Transactions:

Proceeds

from

shares

issued

275,252‌

512,058‌

Proceeds

from

dividends

reinvested

7,719,756‌

20,387,500‌

Value

of

shares

redeemed

(

97,608,681‌

)

(

78,067,295‌

)

Change

in

net

assets

resulting

from

capital

transactions

(

89,613,673‌

)

(

57,167,737‌

)

Change

in

net

assets

(

53,288,274‌

)

(

11,452,321‌

)

Net

Assets:

Beginning

of

period

506,426,590‌

517,878,911‌

End

of

period

$

453,138,316‌

$

506,426,590‌

Share

Transactions:

Shares

issued

24,910‌

51,282‌

Dividends

reinvested

687,423‌

2,185,155‌

Shares

redeemed

(

9,002,481‌

)

(

7,886,963‌

)

Change

in

shares

(

8,290,148‌

)

(

5,650,526‌

)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

99

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$10.29

$9.44

$12.31

$12.31

$12.99

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.27

‌

0.14

‌

0.12

‌

0.08

‌

0.19

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.70

‌

1.12

‌

(2.12

)

0.89

‌

0.73

‌

Total

from

Investment

Activities

0.97

‌

1.26

‌

(2.00

)

0.97

‌

0.92

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.18

)

(0.41

)

(0.32

)

(0.20

)

(1.22

)

Net

Realized

Gains

—

‌

—

‌

(0.55

)

(0.77

)

(0.38

)

Total

Dividends

(0.18

)

(0.41

)

(0.87

)

(0.97

)

(1.60

)

Net

Asset

Value,

End

of

Period

$11.08

$10.29

$9.44

$12.31

$12.31

Total

Return

(b)

9.44

%

13.85

%

(16.09

)%

8.05

%

7.81

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$453,138

$506,427

$517,879

$691,209

$716,925

Net

Investment

Income/(Loss)

2.47

%

1.44

%

1.18

%

0.61

%

1.49

%

Expenses

Before

Reductions*(c)

0.14

%

0.14

%

0.13

%

0.13

%

0.13

%

Expenses

Net

of

Reductions*

0.14

%

0.14

%

0.13

%

0.13

%

0.13

%

Portfolio

Turnover

Rate

3

%

6

%

5

%

5

%

9

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

100

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

Global

Balanced

Index

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Private

Placements

The

Fund

may

invest

in

private

placement

securities

which

are

securities

issued

by

corporations

without

registration

under

the

Securities

Act

of

1933,

as

amended

(the

“1933

Act”),

in

reliance

on

a

“private

placement”

exemption.

These

unregistered

securities

may

be

restricted

and

generally

are

sold

to

institutional

investors,

such

as

the

Fund,

who

agree

that

they

are

purchasing

the

securities

for

investment

and

not

with

a

view

to

public

distribution.

Unregistered

securities

are

normally

resold

to

other

institutional

investors

through

or

with

the

assistance

of

the

issuer

or

investment

dealers

who

make

a

market

in

such

securities.

Foreign

Currency

Translation

and

Withholding

Taxes

The

accounting

records

of

the

Fund

are

maintained

in

U.S.

dollars.

Foreign

currency

amounts

are

translated

into

U.S.

dollars

at

the

current

rate

of

exchange

to

determine

the

fair

value

of

investments,

assets

and

liabilities.

Purchases

and

sales

of

securities,

and

income

and

expenses

are

translated

at

the

prevailing

rate

of

exchange

on

the

respective

dates

of

such

transactions.

The

Fund

does

not

isolate

that

portion

of

the

results

of

operations

resulting

from

changes

in

foreign

exchange

rates

on

investments

from

fluctuations

arising

from

changes

in

market

prices

of

securities

held.

Such

fluctuations

are

included

in

the

net

realized

and

unrealized

gain

or

loss

on

investments

and

foreign

currencies.

Income

received

by

the

Fund

from

sources

within

foreign

countries

may

be

subject

to

withholding

and

other

income

or

similar

taxes

imposed

by

such

countries.

The

Fund

accrues

such

taxes,

as

applicable,

based

on

its

current

interpretation

of

tax

rules

in

the

foreign

markets

in

which

it

invests.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

101

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$23.9

million.

There

was

no

short

contract

activity

during

the

period.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(340,334)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$340,334

Interest

Rate

Risk

–

–

–

–

(180,075)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

180,075

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(2,763,678)

754,071

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

2,763,678

$

(754,071)

Interest

Rate

Risk

45,556

569,974

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(45,556)

$(569,974)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

102

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

Annual

Rate

Annual

Expense

Limit

AZL

MVP

Global

Balanced

Index

Strategy

Fund

0.10%

0.15%

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

240,085,173‌

$

8,497,25

4‌

$

(26,108,328‌)

$

(3,468,358‌)

$

(2,084,644‌)

$

216,921,09

7‌

22,666,781‌

$

8,408,961‌

$

—‌

AZL

MSCI

Global

Equity

Index

Fund,

Class

2

240,613,096‌

3,204,139‌

(66,666,462‌)

15,490,649‌

20,954,175‌

213,595,597‌

12,060,734‌

3,204,140‌

—‌

$

480,698,269‌

$

11,701,39

3‌

$

(92,774,790‌)

$

12,022,291‌

$

18,869,531‌

$

430,516,69

4‌

34,727,515‌

$

11,613,101‌

$

—‌

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

103

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

Equity

securities

are

valued

at

the

last

quoted

sale

price

or,

if

there

is

no

sale,

the

last

quoted

bid

price

is

used.

Securities

listed

on

NASDAQ

Stock

Market,

Inc.

(“NASDAQ”)

are

valued

at

the

official

closing

price

as

reported

by

NASDAQ.

In

each

of

these

situations,

valuations

are

typically

categorized

as

a

Level

1

in the

fair

value

hierarchy.

Investments

in

open-end

investment

companies

are

valued

at

their

respective

net

asset

value

as

reported

by

such

companies

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Debt

and

other

fixed

income

securities

are

generally

valued

at

an

evaluated

bid

price

provided

by

an

independent

pricing

source

in

accordance

with

valuation

procedures

approved

by

the

Board.

To

value

debt

securities,

pricing

services

may

use

various

pricing

techniques

which

take

into

account

appropriate

factors

such

as

market

activity,

yield,

quality,

coupon

rate,

maturity,

type

of

issue,

trading

characteristics,

call

features,

credit

ratings

and

other

data,

as

well

as

broker

quotes.

Short-term

securities

of

sufficient

credit

quality

with

sixty

days

or

less

remaining

until

maturity

may

be

valued

at

amortized

cost,

which

approximates

fair

value.

In

each

of

these

situations,

valuations

are

typically

categorized

as

Level

2

in

the

fair

value

hierarchy.

Other

assets

and

securities

for

which

market

quotations

have

become

unreliable

or

are

not

readily

available

as

defined

in

Rule

2a-5

under

the

1940

Act

are

valued

in

accordance

with

valuation

procedures

approved

by

the

Board.

Fair

value

pricing

may

be

used

for

significant

events

such

as

securities

whose

trading

has

been

suspended,

whose

price

has

become

stale

or

for

which

there

is

no

currently

available

price

at

the

close

of

the

NYSE.

Depending

on

the

source

and

relative

significance

of

valuation

inputs,

these

instruments

may

be

classified

as

Level

2

or

Level

3

in

the

fair

value

hierarchy.

The

Fund

utilizes

a

pricing

service

to

assist

in

determining

the

fair

value

of

securities

when

certain

significant

events

occur

that

may

affect

the

value

of

foreign

securities.

In

accordance

with

valuation

procedures

approved

by

the

Board,

fair

value

pricing

may

be

used

if

events

materially

affecting

the

value

of

foreign

securities

occur

between

the

time

when

the

exchange

on

which

they

are

traded

closes

and

the

time

when

the

Fund’s

net

asset

value

is

calculated.

Management

identifies

possible

fluctuations

in

international

securities

by

monitoring

the

increase

or

decrease

in

the

value

of

a

designated

benchmark

index.

In

the

event

of

an

increase

or

decrease

greater

than

predetermined

levels,

the

Fund

may

use

a

systematic

valuation

model

provided

by

an

independent

third

party

to

fair

value

its

international

equity

securities

which

are

then

typically

categorized

as

Level

2

in

the

fair

value

hierarchy.

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

Investment

Securities:

Level

1

Level

2

Level

3

Total

Common

Stocks

+

$

—

$

—

$

108,845

$

108,845

Private

Placements

+

—

—

126,087

126,087

Convertible

Bond

+

—

—

—

#

—

Corporate

Bonds

+

—

—

6,672

6,672

Affiliated

Investment

Companies

430,516,694

—

—

430,516,694

Total

Investment

Securities

430,516,694

—

241,604

430,758,298

Other

Financial

Instruments:

*

Futures

Contracts

(520,409)

—

—

(520,409)

Total

Investments

$429,996,285

$—

$241,604

$430,237,889

+

For

detailed

industry

descriptions,

see

the

accompanying

Schedule

of

Portfolio

Investments.

#

Represents

the

interest

in

securities

that

were

determined

to

have

a

value

of

zero

at

December

31,

2024.

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

Global

Balanced

Index

Strategy

Fund

$11,701,393

$92,774,790

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

104

Security

Acquisition

Date

(a)

Acquisition

Cost

Shares

or

Principal

Amount

Value

Percentage

of

Net

Assets

Grand

Rounds,

Inc.

Series

C

3/31/15

$

399,608

145,123

$

108,842

0.02%

Jawbone

1/24/17

–‌

23,389

–‌

0.00%

Lookout,

Inc.,

Series

F,

Preferred

Shares

9/19/14

481,994

63,925

120,818

0.03%

Lookout,

Inc.

3/4/15

3,384

5,547

5,269

0.00%

Quintis

Australia

Pty,

Ltd.

7.50%

,

10/1/26

,

Callable

2/5/24

@

101.88

10/25/18

52,331

52,331

6,672

0.00%

Quintis

Australia

Pty,

Ltd.

10/1/28

,

Callable

2/5/24

@

100.00

10/25/18

730,672

730,672

–

0.00%

Quintis

Pty,

Ltd.

10/25/18

253,669

386,370

3

0.00%

REI

Agro,

Ltd.,

Registered

Shares

,

5.50%

,

11/13/14

2/7/12

–

400,000

–

0.00%

6.

Restricted

Securities

A

restricted

security

is

a

security

which

has

been

purchased

through

a

private

offering

and

cannot

be

resold

to

the

general

public

without

prior

registration

under

the

Securities

Act

of

1933

(the

“1933

Act”)

or

pursuant

to

the

resale

limitations

provided

by

Rule

144A

under

the

1933

Act,

or

an

exemption

from

the

registration

requirements

of

the

1933

Act.

Whether

a

restricted

security

is

illiquid

is

determined

pursuant

to

guidelines

established

by

the

Trustees.

Not

all

restricted

securities

are

considered

illiquid.

The

illiquid

restricted

securities

held

as

of

December

31,

2024

are

identified

below.

7.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

(a)

Acquisition

date

represents

the

initial

purchase

date

of

the

security.

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

105

8.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$379,916,196.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis

is

as

follows:

As

of

the

end

of

its

tax

year

ended

December

31,

2024,

the

Fund

had

capital

loss

carry

forwards

(“CLCFs”)

as

summarized

in

the

table

below.

The

Board

does

not

intend

to

authorize

a

distribution

of

any

realized

gain

for

the

Fund

until

any

applicable

CLCF

has

been

offset.

CLCFs

not

subject

to

expiration: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

9.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

As

of

December

31,

2024,

the

Fund

had

a

controlling

interest

(in

excess

of

50%)

in

the

AZL

MSCI

Global

Equity

Index

Fund,

which

is

affiliated

with

the

Manager.

Unrealized

appreciation

$82,766,142

Unrealized

(depreciation)

(31,924,040)

Net

unrealized

appreciation/(depreciation)

$50,842,102

Short-Term

Amount

Long-Term

Amount

Total

AZL

MVP

Global

Balanced

Index

Strategy

Fund

$

–

$

1,736,382

$

1,736,382

During

the

year

ended

December

31,

2024,

the

Fund

utilized

$13,871,371

in

CLCFs

to

offset

capital

gains.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

$7,719,756

$–

$7,719,756

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

$20,387,500

$—

$20,387,500

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

Global

Balanced

Index

Strategy

Fund

$11,998,538

$—

$(1,736,382)

$50,839,483

$61,101,639

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales,

foreign

currency

gains

or

losses,

mark-to-

market

of

futures

contracts

and

straddles.

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

106

10.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

11.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

107

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

Global

Balanced

Index

Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

Global

Balanced

Index

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

custodian,

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

108

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

28.22%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

109

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

110

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

111

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

112

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

Growth

Index

Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

Growth

Index

Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

116

Statement

of

Assets

and

Liabilities

Page

117

Statement

of

Operations

Page

117

Statements

of

Changes

in

Net

Assets

Page

118

Financial

Highlights

Page

119

Notes

to

the

Financial

Statements

Page

120

Report

of

Independent

Registered

Public

Accounting

Firm

Page

126

Other

Federal

Income

Tax

Information

Page

127

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

128

Item

9.

Proxy

Disclosures

Page

128

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

128

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

129

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

Growth

Index

Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

116

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(95.0%):

Domestic

Equity

Funds

(50.4%):

3,919,023

AZL

Mid

Cap

Index

Fund,

Class

2

$

84,611,702‌

33,117,394

AZL

S&P

500

Index

Fund,

Class

2

786,869,284‌

4,577,904

AZL

Small

Cap

Stock

Index

Fund,

Class

2

56,994,906‌

928,475,892‌

Fixed

Income

Fund

(24.0%):

46,175,869

AZL

Enhanced

Bond

Index

Fund

441,903,068‌

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(20.6%):

21,825,568

AZL

International

Index

Fund,

Class

2

$

378,673,601‌

Total

Affiliated

Investment

Companies

(Cost

$1,359,547,379)

1,749,052,561‌

Total

Investment

Securities

(Cost

$1,359,547,379)

—

95.0%(a)

1,749,052,561‌

Net

other

assets

(liabilities)

—

5.0%

91,262,325‌

Net

Assets

—

100.0%

$

1,840,314,886‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

230

$

68,261,125‌

$

(2,155,382‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

210

22,837,500‌

(361,981‌)

$

(2,517,363‌)

AZL

MVP

Growth

Index

Strategy

Fund

117

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

1,359,547,379‌

aaa

aaa

Investments

in

affiliates,

at

value

$

1,749,052,561‌

Deposit

at

broker

for

futures

contracts

collateral

91,576,181‌

Interest

and

dividends

receivable

280,735‌

Receivable

for

affiliated

investments

sold

1,233,005‌

Receivable

for

variation

margin

on

futures

contracts

5,060‌

Prepaid

expenses

9,504‌

Total

Assets

1,842,157,046‌

Liabilities:

Cash

overdraft

1,233,005‌

Payable

for

capital

shares

redeemed

350,448‌

Management

fees

payable

160,293‌

Administration

fees

payable

14,624‌

Custodian

fees

payable

13,898‌

Administrative

and

compliance

services

fees

payable

6,271‌

Transfer

agent

fees

payable

1,512‌

Trustee

fees

payable

12,273‌

Other

accrued

liabilities

49,836‌

Total

Liabilities

1,842,160‌

Commitments

and

contingent

liabilities^

Net

Assets

$

1,840,314,886‌

Net

Assets

Consist

of:

Paid

in

capital

$

1,477,244,629‌

Total

distributable

earnings

363,070,257‌

Net

Assets

$

1,840,314,886‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

124,124,779‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

14.83‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

38,337,123‌

Interest

4,308,006‌

Dividends

from

non-affiliates

451‌

Total

Investment

Income

42,645,580‌

Expenses:

Management

fees

1,953,343‌

Administration

fees

101,573‌

Custodian

fees

79,025‌

Administrative

and

compliance

services

fees

37,292‌

Transfer

agent

fees

10,556‌

Trustee

fees

97,487‌

Professional

fees

113,793‌

Shareholder

reports

18,548‌

Other

expenses

26,310‌

Total

expenses

2,437,927‌

Net

Investment

Income/(Loss)

40,207,653‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

102,399,657‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

49,538,528‌

Net

realized

gains/(losses)

on

futures

contracts

14,831,811‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

23,589,226‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(5,737,682‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

184,621,540‌

Change

in

Net

Assets

Resulting

From

Operations

$

224,829,193‌

AZL

MVP

Growth

Index

Strategy

Fund

118

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

40,207,653‌

$

29,651,237‌

Net

realized

gains/(losses)

on

investments

166,769,996‌

70,356,646‌

Change

in

unrealized

appreciation/depreciation

on

investments

17,851,544‌

207,303,551‌

Change

in

net

assets

resulting

from

operations

224,829,193‌

307,311,434‌

Distributions

to

Shareholders:

Distributions

(107,317,081‌)

(76,260,325‌)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(107,317,081‌)

(76,260,325‌)

Capital

Transactions:

Proceeds

from

shares

issued

4,655,717‌

3,930,389‌

Proceeds

from

dividends

reinvested

107,317,081‌

76,260,325‌

Value

of

shares

redeemed

(388,997,620‌)

(293,901,444‌)

Change

in

net

assets

resulting

from

capital

transactions

(277,024,822‌)

(213,710,730‌)

Change

in

net

assets

(159,512,710‌)

17,340,379‌

Net

Assets:

Beginning

of

period

1,999,827,596‌

1,982,487,217‌

End

of

period

$

1,840,314,886‌

$

1,999,827,596‌

Share

Transactions:

Shares

issued

309,767‌

296,153‌

Dividends

reinvested

7,168,810‌

6,095,949‌

Shares

redeemed

(26,179,677‌)

(22,166,575‌)

Change

in

shares

(18,701,100‌)

(15,774,473‌)

AZL

MVP

Growth

Index

Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

119

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$14.00

$12.50

$16.66

$15.77

$16.02

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.31

‌

0.20

‌

0.19

‌

0.14

‌

0.26

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

1.39

‌

1.84

‌

(2.76

)

2.36

‌

0.42

‌

Total

from

Investment

Activities

1.70

‌

2.04

‌

(2.57

)

2.50

‌

0.68

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.24

)

(0.27

)

(0.26

)

(0.30

)

(0.29

)

Net

Realized

Gains

(0.63

)

(0.27

)

(1.33

)

(1.31

)

(0.64

)

Total

Dividends

(0.87

)

(0.54

)

(1.59

)

(1.61

)

(0.93

)

Net

Asset

Value,

End

of

Period

$14.83

$14.00

$12.50

$16.66

$15.77

Total

Return

(b)

12.10

%

16.81

%

(15.10

)%

16.40

%

4.73

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$1,840,315

$1,999,828

$1,982,487

$2,641,569

$2,578,042

Net

Investment

Income/(Loss)

2.06

%

1.50

%

1.32

%

0.82

%

1.76

%

Expenses

Before

Reductions*(c)

0.12

%

0.12

%

0.12

%

0.12

%

0.12

%

Expenses

Net

of

Reductions*

0.12

%

0.12

%

0.12

%

0.12

%

0.12

%

Portfolio

Turnover

Rate

14

%

4

%

10

%

6

%

12

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

120

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

Growth

Index

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

121

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended

December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended

December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$90.7

million,

and

the

monthly

average

notional

amount

for

short

contracts

was

$1.0

million.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(2,155,382)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$2,155,382

Interest

Rate

Risk

–

–

–

–

(361,981)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

361,981

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(14,922,442)

4,606,449

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

14,922,442

$

(4,606,449)

Interest

Rate

Risk

90,631

1,131,233

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(90,631)

$(1,131,233)

Annual

Rate

Annual

Expense

Limit

AZL

MVP

Growth

Index

Strategy

Fund

0.10%

0.20%

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

122

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

468,336,555‌

$

30,649,018‌

$

(46,039,533‌)

$

(6,950,787‌)

$

(4,092,185‌)

$

441,903,068‌

46,175,869‌

$

17,010,13

1‌

$

—‌

AZL

International

Index

Fund,

Class

2

383,949,980‌

52,064,753‌

(57,034,504‌)

12,569,056‌

(12,875,684‌)

378,673,601‌

21,825,568‌

10,552,539‌

$

3,155,003‌

AZL

Mid

Cap

Index

Fund,

Class

2

221,180,974‌

9,068,760‌

(150,764,163‌)

22,213,498‌

(17,087,367‌)

84,611,702‌

3,919,023‌

1,434,694‌

7,634,066‌

AZL

S&P

500

Index

Fund,

Class

2

716,180,551‌

173,490,738‌

(236,651,634‌)

73,946,837‌

59,902,792‌

786,869,284‌

33,117,394‌

8,592,926‌

36,047,81

1‌

AZL

Small

Cap

Stock

Index

Fund,

Class

2

111,350,115‌

3,448,481‌

(56,166,413‌)

621,053‌

(2,258,330‌)

56,994,906‌

4,577,904‌

746,833‌

2,701,64

8‌

$

1,900,998,175‌

$

268,721,750‌

$

(546,656,247‌)

$

102,399,657‌

$

23,589,226‌

$

1,749,052,561‌

109,615,758‌

$

38,337,123‌

$

49,538,52

8‌

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

123

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

1,749,052,561

$

—

$

—

$

1,749,052,561

Total

Investment

Securities

1,749,052,561

—

—

1,749,052,561

Other

Financial

Instruments:

*

Futures

Contracts

(2,517,363)

—

—

(2,517,363)

Total

Investments

$1,746,535,198

$—

$—

$1,746,535,198

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

Growth

Index

Strategy

Fund

$268,721,750

$546,656,247

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

124

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$1,389,939,571.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

Unrealized

appreciation

$410,753,048

Unrealized

(depreciation)

(51,640,058)

Net

unrealized

appreciation/(depreciation)

$359,112,990

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Growth

Index

Strategy

Fund

$63,325,732

$43,991,349

$107,317,081

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Growth

Index

Strategy

Fund

$38,506,889

$37,753,436

$76,260,325

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

Growth

Index

Strategy

Fund

$118,528,072

$71,950,230

$—

$359,112,990

$549,591,292

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales,

mark-to-market

of

futures

contracts

and

straddles.

AZL

MVP

Growth

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

125

10.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

126

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

Growth

Index

Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

Growth

Index

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

127

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

17.28%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

short-term

capital

gain

distributions

of

$33,674,515.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$43,991,349.

128

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

129

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

130

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

131

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

Moderate

Index

Strategy

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

Moderate

Index

Strategy

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

135

Statement

of

Assets

and

Liabilities

Page

136

Statement

of

Operations

Page

136

Statements

of

Changes

in

Net

Assets

Page

137

Financial

Highlights

Page

138

Notes

to

the

Financial

Statements

Page

139

Report

of

Independent

Registered

Public

Accounting

Firm

Page

144

Other

Federal

Income

Tax

Information

Page

145

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

146

Item

9.

Proxy

Disclosures

Page

146

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

146

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

147

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

Moderate

Index

Strategy

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

135

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(95.1%):

Domestic

Equity

Funds

(40.4%):

538,447

AZL

Mid

Cap

Index

Fund,

Class

2

$

11,625,078‌

4,851,842

AZL

S&P

500

Index

Fund,

Class

2

115,279,762‌

665,252

AZL

Small

Cap

Stock

Index

Fund,

Class

2

8,282,384‌

135,187,224‌

Fixed

Income

Fund

(38.5%):

13,473,746

AZL

Enhanced

Bond

Index

Fund

128,943,747‌

Shares

Value

Affiliated

Investment

Companies,

continued

International

Equity

Fund

(16.2%):

3,125,708

AZL

International

Index

Fund,

Class

2

$

54,231,035‌

Total

Affiliated

Investment

Companies

(Cost

$279,922,748)

318,362,006‌

Total

Investment

Securities

(Cost

$279,922,748

)

—

95.1%

(

a)

318,362,006‌

Net

other

assets

(liabilities)

—

4.9%

16,487,608‌

Net

Assets

—

100.0%

$

334,849,614‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

33

$

9,793,988‌

$

(307,754‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

61

6,633,750‌

(106,580‌)

$

(414,334‌)

AZL

MVP

Moderate

Index

Strategy

Fund

136

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

279,922,748‌

aaa

aaa

Investments

in

affiliates,

at

value

$

318,362,006‌

Deposit

at

broker

for

futures

contracts

collateral

16,698,074‌

Interest

and

dividends

receivable

50,885‌

Receivable

for

affiliated

investments

sold

219,230‌

Prepaid

expenses

1,722‌

Total

Assets

335,331,917‌

Liabilities:

Cash

overdraft

219,231‌

Payable

for

capital

shares

redeemed

189,764‌

Management

fees

payable

33,983‌

Administration

fees

payable

15,756‌

Custodian

fees

payable

4,754‌

Administrative

and

compliance

services

fees

payable

1,439‌

Transfer

agent

fees

payable

1,524‌

Trustee

fees

payable

2,816‌

Other

accrued

liabilities

13,036‌

Total

Liabilities

482,303‌

Commitments

and

contingent

liabilities^

Net

Assets

$

334,849,614‌

Net

Assets

Consist

of:

Paid

in

capital

$

286,980,143‌

Total

distributable

earnings

47,869,471‌

Net

Assets

$

334,849,614‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

24,995,022‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

13.40‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

8,085,406‌

Interest

799,235‌

Dividends

from

non-affiliates

244‌

Total

Investment

Income

8,884,885‌

Expenses:

Management

fees

360,306‌

Administration

fees

87,667‌

Custodian

fees

19,687‌

Administrative

and

compliance

services

fees

7,959‌

Transfer

agent

fees

8,669‌

Trustee

fees

20,567‌

Professional

fees

22,882‌

Shareholder

reports

5,659‌

Other

expenses

4,947‌

Total

expenses

538,343‌

Net

Investment

Income/(Loss)

8,346,542‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

17,151,003‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

7,257,468‌

Net

realized

gains/(losses)

on

futures

contracts

2,443,335‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

306,947‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(1,017,326‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

26,141,427‌

Change

in

Net

Assets

Resulting

From

Operations

$

34,487,969‌

AZL

MVP

Moderate

Index

Strategy

Fund

137

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

8,346,542‌

$

5,690,943‌

Net

realized

gains/(losses)

on

investments

26,851,806‌

11,295,853‌

Change

in

unrealized

appreciation/depreciation

on

investments

(

710,379‌

)

35,135,533‌

Change

in

net

assets

resulting

from

operations

34,487,969‌

52,122,329‌

Distributions

to

Shareholders:

Distributions

(

18,037,204‌

)

(

12,393,539‌

)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(

18,037,204‌

)

(

12,393,539‌

)

Capital

Transactions:

Proceeds

from

shares

issued

173,620‌

1,590,206‌

Proceeds

from

dividends

reinvested

18,037,204‌

12,393,539‌

Value

of

shares

redeemed

(

79,126,975‌

)

(

66,340,905‌

)

Change

in

net

assets

resulting

from

capital

transactions

(

60,916,151‌

)

(

52,357,160‌

)

Change

in

net

assets

(

44,465,386‌

)

(

12,628,370‌

)

Net

Assets:

Beginning

of

period

379,315,000‌

391,943,370‌

End

of

period

$

334,849,614‌

$

379,315,000‌

Share

Transactions:

Shares

issued

12,912‌

130,949‌

Dividends

reinvested

1,327,241‌

1,072,105‌

Shares

redeemed

(

5,881,048‌

)

(

5,420,991‌

)

Change

in

shares

(

4,540,895‌

)

(

4,217,937‌

)

AZL

MVP

Moderate

Index

Strategy

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

138

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$12.84

$11.61

$15.50

$15.11

$14.96

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.31

‌

0.18

‌

0.17

‌

0.12

‌

0.26

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

0.98

‌

1.46

‌

(2.60

)

1.70

‌

0.64

‌

Total

from

Investment

Activities

1.29

‌

1.64

‌

(2.43

)

1.82

‌

0.90

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.23

)

(0.24

)

(0.28

)

(0.30

)

(0.27

)

Net

Realized

Gains

(0.50

)

(0.17

)

(1.18

)

(1.13

)

(0.48

)

Total

Dividends

(0.73

)

(0.41

)

(1.46

)

(1.43

)

(0.75

)

Net

Asset

Value,

End

of

Period

$13.40

$12.84

$11.61

$15.50

$15.11

Total

Return

(b)

9.93

%

14.59

%

(15.38

)%

12.46

%

6.44

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$334,850

$379,315

$391,943

$523,972

$533,854

Net

Investment

Income/(Loss)

2.32

%

1.49

%

1.31

%

0.76

%

1.83

%

Expenses

Before

Reductions*(c)

0.15

%

0.14

%

0.13

%

0.13

%

0.13

%

Expenses

Net

of

Reductions*

0.15

%

0.14

%

0.13

%

0.13

%

0.13

%

Portfolio

Turnover

Rate

12

%

3

%

8

%

6

%

18

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

Moderate

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

139

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

Moderate

Index

Strategy

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

Moderate

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

140

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$17.7

million.

There

was

no

short

contract

activity

during

the

period.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(307,754)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$307,754

Interest

Rate

Risk

–

–

–

–

(106,580)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

106,580

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(2,466,351)

676,412

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

2,466,351

$

(676,41

3

)

Interest

Rate

Risk

23,016

340,915

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(23,016)

$(340,913)

Annual

Rate

Annual

Expense

Limit

AZL

MVP

Moderate

Index

Strategy

Fund

0.10%

0.15%

AZL

MVP

Moderate

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

141

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

143,722,342‌

$

5,694,944‌

$

(17,184,30

6‌

)

$

(1,976,898‌)

$

(1,312,33

5‌

)

$

128,943,747‌

13,473,746‌

$

4,993,511‌

$

—‌

AZL

International

Index

Fund,

Class

2

57,364,131‌

6,909,082‌

(10,143,715‌)

2,455,659‌

(2,354,122‌)

54,231,035‌

3,125,708‌

1,508,169‌

450,913‌

AZL

Mid

Cap

Index

Fund,

Class

2

34,145,133‌

1,283,198‌

(24,663,282‌)

3,478,292‌

(2,618,263‌)

11,625,078‌

538,447‌

203,004‌

1,080,194‌

AZL

S&P

500

Index

Fund,

Class

2

108,346,748‌

27,240,674‌

(40,306,548‌)

12,941,971‌

7,056,917‌

115,279,762‌

4,851,842‌

1,266,718‌

5,313,956‌

AZL

Small

Cap

Stock

Index

Fund,

Class

2

17,104,528‌

526,408‌

(9,135,281‌)

251,979‌

(465,250‌)

8,282,384‌

665,252‌

114,004‌

412,405‌

$

360,682,882‌

$

41,654,306‌

$

(101,433,13

2‌

)

$

17,151,003‌

$

306,94

7‌

$

318,362,006‌

22,654,995‌

$

8,085,406‌

$

7,257,468‌

AZL

MVP

Moderate

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

142

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

318,362,006

$

—

$

—

$

318,362,006

Total

Investment

Securities

318,362,006

—

—

318,362,006

Other

Financial

Instruments:

*

Futures

Contracts

(414,334)

—

—

(414,334)

Total

Investments

$317,947,672

$—

$—

$317,947,672

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

Moderate

Index

Strategy

Fund

$41,654,306

$101,433,132

AZL

MVP

Moderate

Index

Strategy

Fund

Notes

to

the

Financial

Statements

December

31,

2024

143

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$283,662,667.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis

is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of

December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

9.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

10.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

Unrealized

appreciation

$50,820,882

Unrealized

(depreciation)

(16,121,543)

Net

unrealized

appreciation/(depreciation)

$34,699,339

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Moderate

Index

Strategy

Fund

$11,777,950

$6,259,254

$18,037,204

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

Moderate

Index

Strategy

Fund

$7,277,615

$5,115,924

$12,393,539

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

Moderate

Index

Strategy

Fund

$21,950,323

$10,842,139

$—

$34,699,339

$67,491,801

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales,

mark-to-market

of

futures

contracts

and

straddles.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

144

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

Moderate

Index

Strategy

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

Moderate

Index

Strategy

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

145

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

14.32%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

short-term

capital

gain

distributions

of

$6,087,025.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$6,259,254.

146

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

147

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

148

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

149

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

AZL®

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Annual

Financial

Statements

and

Other

Information

December

31,

2024

Table

of

Contents

AZL®

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Financial

Statements

(Form

N-CSR

Item

7)

Schedule

of

Portfolio

Investments

Page

153

Statement

of

Assets

and

Liabilities

Page

154

Statement

of

Operations

Page

154

Statements

of

Changes

in

Net

Assets

Page

155

Financial

Highlights

Page

156

Notes

to

the

Financial

Statements

Page

157

Report

of

Independent

Registered

Public

Accounting

Firm

Page

162

Other

Federal

Income

Tax

Information

Page

163

Other

Information

(Form

N-CSR

Items

8-11)

Item

8.

Changes

in

and

Disagreements

with

Accountants

Page

164

Item

9.

Proxy

Disclosures

Page

164

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Page

164

Item

11.

Approval

of

Investment

Advisory

Agreement

Page

165

This

report

is

submitted

for

the

general

information

of

the

shareholder

of

the

Fund.

The

report

is

not

authorized

for

distribution

to

prospective

investors

in

the

Fund

unless

preceded

or

accompanied

by

an

effective

prospectus,

which

contains

details

concerning

the

sales

charges

and

other

pertinent

information.

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Schedule

of

Portfolio

Investments

December

31,

2024

153

See

accompanying

notes

to

the

financial

statements.

Percentages

indicated

are

based

on

net

assets

as

of

December

31,

2024

.

Shares

Value

Affiliated

Investment

Companies

(95.0%):

Domestic

Equity

Funds

(76.9%):

12,155,498

AZL

S&P

500

Index

Fund,

Class

2

$

288,814,630‌

30,610,472

AZL

T.

Rowe

Price

Capital

Appreciation

Fund

540,887,047‌

829,701,677‌

Shares

Value

Affiliated

Investment

Companies,

continued

Fixed

Income

Fund

(18.1%):

20,442,854

AZL

Enhanced

Bond

Index

Fund

$

195,638,116‌

Total

Affiliated

Investment

Companies

(Cost

$869,575,619

)

1,025,339,793‌

Total

Investment

Securities

(Cost

$869,575,619)

—

95.0%(a)

1,025,339,793‌

Net

other

assets

(liabilities)

—

5.0%

53,992,345‌

Net

Assets

—

100.0%

$

1,079,332,138‌

(a)

See

Federal

Tax

Information

listed

in

the

Notes

to

the

Financial

Statements.

Futures

Contracts

At

December

31,

2024,

the

Fund's

open

futures

contracts

were

as

follows:

Long

Futures

Description

Expiration

Date

Number

of

Contracts

Notional

Amount

Value

and

Unrealized

Appreciation/

(Depreciation)

S&P

500

Index

E-Mini

March

Futures

(U.S.

Dollar)

3/21/25

108

$

32,053,050‌

$

(1,021,174‌)

U.S.

Treasury

10-Year

Note

March

Futures

(U.S.

Dollar)

3/20/25

198

21,532,500‌

(342,910‌)

$

(1,364,084‌)

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

154

See

accompanying

notes

to

the

financial

statements.

Statement

of

Assets

and

Liabilities

December

31,

2024

Statement

of

Operations

For

the

Year

Ended

December

31,

2024

Assets:

Investments

in

affiliates,

at

cost

$

869,575,619‌

aaa

aaa

Investments

in

affiliates,

at

value

$

1,025,339,793‌

Deposit

at

broker

for

futures

contracts

collateral

53,936,018‌

Interest

and

dividends

receivable

164,150‌

Receivable

for

capital

shares

issued

61,238‌

Receivable

for

affiliated

investments

sold

838,290‌

Receivable

for

variation

margin

on

futures

contracts

1,806‌

Prepaid

expenses

5,548‌

Total

Assets

1,080,346,843‌

Liabilities:

Cash

overdraft

838,290‌

Payable

for

capital

shares

redeemed

15,502‌

Management

fees

payable

93,729‌

Administration

fees

payable

14,223‌

Custodian

fees

payable

9,294‌

Administrative

and

compliance

services

fees

payable

3,891‌

Transfer

agent

fees

payable

1,421‌

Trustee

fees

payable

7,614‌

Other

accrued

liabilities

30,741‌

Total

Liabilities

1,014,705‌

Commitments

and

contingent

liabilities^

Net

Assets

$

1,079,332,138‌

Net

Assets

Consist

of:

Paid

in

capital

$

903,834,375‌

Total

distributable

earnings

175,497,763‌

Net

Assets

$

1,079,332,138‌

Shares

of

beneficial

interest

(unlimited

number

of

shares

authorized,

no

par

value)

86,141,538‌

Net

Asset

Value

(offering

and

redemption

price

per

share)

$

12.53‌

^

See

Note

3

in

Notes

to

the

Financial

Statements.

Investment

Income:

Dividends

from

affiliates

$

23,225,977‌

Interest

2,521,134‌

Dividends

from

non-affiliates

475‌

Total

Investment

Income

25,747,586‌

Expenses:

Management

fees

1,138,023‌

Administration

fees

94,173‌

Custodian

fees

48,312‌

Administrative

and

compliance

services

fees

21,448‌

Transfer

agent

fees

9,538‌

Trustee

fees

56,277‌

Professional

fees

66,226‌

Shareholder

reports

10,721‌

Other

expenses

15,416‌

Total

expenses

1,460,134‌

Net

Investment

Income/(Loss)

24,287,452‌

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments:

Net

realized

gains/(losses)

on

affiliated

underlying

funds

32,462,291‌

Net

realized

gains

distributions

from

affiliated

underlying

funds

23,189,411‌

Net

realized

gains/(losses)

on

futures

contracts

7,725,317‌

Change

in

net

unrealized

appreciation/depreciation

on

affiliated

underlying

funds

58,431,212‌

Change

in

net

unrealized

appreciation/depreciation

on

futures

contracts

(3,229,369‌)

Net

realized

and

Change

in

net

unrealized

gains/losses

on

investments

118,578,862‌

Change

in

Net

Assets

Resulting

From

Operations

$

142,866,314‌

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

155

See

accompanying

notes

to

the

financial

statements.

Statements

of

Changes

in

Net

Assets

For

the

Year

Ended

December

31,

2024

For

the

Year

Ended

December

31,

2023

Change

In

Net

Assets:

Operations:

Net

investment

income/(loss)

$

24,287,452‌

$

15,845,540‌

Net

realized

gains/(losses)

on

investments

63,377,019‌

86,369,789‌

Change

in

unrealized

appreciation/depreciation

on

investments

55,201,843‌

82,715,629‌

Change

in

net

assets

resulting

from

operations

142,866,314‌

184,930,958‌

Distributions

to

Shareholders:

Distributions

(95,003,090‌)

(91,615,841‌)

Change

in

net

assets

resulting

from

distributions

to

shareholders

(95,003,090‌)

(91,615,841‌)

Capital

Transactions:

Proceeds

from

shares

issued

4,860,343‌

5,640,403‌

Proceeds

from

dividends

reinvested

95,003,090‌

91,615,841‌

Value

of

shares

redeemed

(228,621,343‌)

(182,678,389‌)

Change

in

net

assets

resulting

from

capital

transactions

(128,757,910‌)

(85,422,145‌)

Change

in

net

assets

(80,894,686‌)

7,892,972‌

Net

Assets:

Beginning

of

period

1,160,226,824‌

1,152,333,852‌

End

of

period

$

1,079,332,138‌

$

1,160,226,824‌

Share

Transactions:

Shares

issued

371,715‌

473,809‌

Dividends

reinvested

7,612,427‌

8,321,148‌

Shares

redeemed

(17,918,496‌)

(15,375,653‌)

Change

in

shares

(9,934,354‌)

(6,580,696‌)

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Financial

Highlights

(Selected

data

for

a

share

of

beneficial

interest

outstanding

throughout

the

periods

indicated.

Does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.)

156

See

accompanying

notes

to

the

financial

statements.

Year

Ended

December

31,

2024

Year

Ended

December

31,

2023

Year

Ended

December

31,

2022

Year

Ended

December

31,

2021

Year

Ended

December

31,

2020

Net

Asset

Value,

Beginning

of

Period

$12.08

$11.23

$15.13

$14.07

$13.85

Investment

Activities:

Net

Investment

Income/(Loss)(a)

0.27

‌

0.16

‌

0.11

‌

0.12

‌

0.19

‌

Net

Realized

and

Unrealized

Gains/(Losses)

on

Investments

1.32

‌

1.69

‌

(2.21

)

2.21

‌

0.87

‌

Total

from

Investment

Activities

1.59

‌

1.85

‌

(2.10

)

2.33

‌

1.06

‌

Distributions

to

Shareholders

From:

Net

Investment

Income

(0.65

)

(1.00

)

(1.02

)

(0.55

)

(0.39

)

Net

Realized

Gains

(0.49

)

—

‌

(0.78

)

(0.72

)

(0.45

)

Total

Dividends

(1.14

)

(1.00

)

(1.80

)

(1.27

)

(0.84

)

Net

Asset

Value,

End

of

Period

$12.53

$12.08

$11.23

$15.13

$14.07

Total

Return

(b)

13.23

%

17.36

%

(13.71

)%

17.04

%

8.02

%

Ratios

to

Average

Net

Assets/Supplemental

Data:

Net

Assets,

End

of

Period

(000's)

$1,079,332

$1,160,227

$1,152,334

$1,477,978

$1,372,669

Net

Investment

Income/(Loss)

2.13

%

1.37

%

0.85

%

0.78

%

1.41

%

Expenses

Before

Reductions*(c)

0.13

%

0.13

%

0.12

%

0.12

%

0.12

%

Expenses

Net

of

Reductions*

0.13

%

0.13

%

0.12

%

0.12

%

0.12

%

Portfolio

Turnover

Rate

5

%

9

%

10

%

10

%

10

%

*

The

expense

ratios

exclude

the

impact

of

fees/expenses

paid

by

each

underlying

fund.

(a)

Calculated

using

the

average

shares

method.

(b)

The

returns

include

reinvested

dividends

and

fund

level

expenses,

but

exclude

insurance

contract

charges.

If

these

charges

were

included,

the

returns

would

have

been

lower.

(c)

Excludes

fee

reductions,

if

any

.

If

such

fee

reductions

had

not

occurred,

the

ratios

would

have

been

as

indicated.

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Notes

to

the

Financial

Statements

December

31,

2024

157

1.

Organization

The

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”)

was

organized

as

a

Delaware

statutory

trust

on

June

16,

2004.

The

Trust

is

an

open-end

management

investment

company

registered

under

the

Investment

Company

Act

of

1940,

as

amended,

(the

“1940

Act”)

and

thus

is

determined

to

be

an

investment

company,

and

follows

the

investment

company

accounting

and

reporting

guidance

under

Financial

Accounting

Standards

Board

(“FASB”)

Accounting

Standards

Codification

(“ASC”)

Topic

946

“Financial

Services—Investment

Companies”.

The

Trust

consists

of 9

separate

investment

portfolios

(collectively,

the

“Funds”),

of

which

one

is

included

in

this

report,

the

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund (the

“Fund”),

and 8

are

presented

in

separate

reports. 

The

Fund

is

a

diversified

series

of

the

Trust.

The

Fund

is

a

“fund

of

funds”,

which

means

that

the

Fund

invests

primarily

in

other

mutual

funds

(the

"Underlying

Funds").

Underlying

Funds

invest

in

stocks,

bonds,

and

other

securities

and

reflect

varying

amounts

of

potential

investment

risk

and

reward.

The

Underlying

Funds

record

their

investments

at

fair

value.

Periodically,

the

Fund

will

adjust

its

asset

allocation

as

it

seeks

to

achieve

its

investment

objective.

The

Trust

is

authorized

to

issue

an

unlimited

number

of

shares

of

the

Fund

without

par

value.

Shares

of

the

Fund

are

available

through

the

variable

annuity

contracts

offered

through

the

separate

accounts

of

participating

insurance

companies.

Currently,

the

Fund

only

offers

its

shares

to

separate

accounts

of

Allianz

Life

Insurance

Company

of

North

America

and

Allianz

Life

Insurance

Company

of

New

York,

affiliates

of

the

Trust

and

the

Manager,

as

defined

below.

Under

the

Trust’s

organizational

documents,

its

officers

and

trustees

are

indemnified

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Fund.

In

addition,

in

the

normal

course

of

business,

the

Fund

may

enter

into

contracts

with

its

vendors

and

others

that

provide

for

general

indemnifications.

The

Fund’s

maximum

exposure

under

these

arrangements

is

unknown,

as

this

would

involve

future

claims

that

may

be

made

against

the

Fund.

However,

based

on

experience,

the

Fund

expects

that

risk

of

loss

to

be

remote.

2.

Significant

Accounting

Policies

The

following

is

a

summary

of

significant

accounting

policies

followed

by

the

Fund

in

the

preparation

of

its

financial

statements.

The

policies

conform

with

U.S.

generally

accepted

accounting

principles

(“U.S.

GAAP”).

The

preparation

of

financial

statements

requires

management

to

make

certain

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

and

disclosure

of

contingent

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

reported

amounts

of

increases

and

decreases

in

net

assets

from

operations

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

Security

Valuation

The

Fund

records

its

investments

at

fair

value.

Fair

value

is

defined

as

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

willing

market

participants

at

the

measurement

date.

The

valuation

techniques

used

to

determine

fair

value

are

further

described

in

Note

4

below.

Investment

Transactions

and

Investment

Income

Investment

transactions

are

accounted

for

on

the trade

date.

Net

realized

gains

and

losses

on

investments

sold

and

on

foreign

currency

transactions

are

recorded

on

the

basis

of

identified

cost.

Interest

income

is

recorded

on

the

accrual

basis

and

includes,

where

applicable,

the

amortization

of

premiums

or

accretion

of

discounts.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

in

the

case

of

foreign

securities,

in

which

case

dividends

are

recorded

as

soon

as

such

information

becomes

available.

Distributions

to

Shareholders

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

The

Fund

distributes

its

dividends

from

net

investment

income

and

net

realized

capital

gains,

if

any,

on

an

annual

basis.

The

amount

of

distributions

from

net

investment

income

and

from

net

realized

gains

is

determined

in

accordance

with

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

These

“book/tax”

differences

are

either

temporary

or

permanent

in

nature.

To

the

extent

these

differences

are

permanent

in

nature

(e.g.,

return

of

capital,

net

operating

loss,

reclassification

of

certain

market

discounts,

gain/loss,

paydowns,

and

distributions),

such

amounts

are

reclassified

within

the

composition

of

net

assets

based

on

their

federal

tax-basis

treatment;

temporary

differences

(e.g.,

wash

sales

and

differing

treatment

on

certain

investments)

do

not

require

reclassification.

Distributions

to

shareholders

that

exceed

net

investment

income

and

net

realized

gains

for

tax

purposes

are

reported

as

distributions

of

capital.

Expense

Allocation

Expenses

directly

attributable

to

the

Fund

are

charged

directly

to

the

Fund,

while

expenses

attributable

to

more

than

one

Fund

are

allocated

among

the

respective

Funds

based

upon

relative

net

assets

or

some

other

reasonable

method.

Expenses

which

are

attributable

to

more

than

one

Trust

are

allocated

across

the

Allianz

Variable

Insurance

Products

Trust,

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

AIM

ETF

Products

Trust

based

upon

relative

net

assets

or

another

reasonable

basis.

Allianz

Investment

Management

LLC

(the

“Manager”),

serves

as

the

investment

manager

for

the

Trust,

Allianz

Variable

Insurance

Products

Trust

and

AIM

ETF

Products

Trust.

This

report

does

not

reflect

fees

or

expenses

associated

with

the

separate

accounts

that

invest

in

the

Fund

or

in

any

variable

annuity

contracts

or

variable

life

insurance

policy

for

which

the

Fund

serves

as

an

investment

vehicle.

Affiliated

Securities

Transactions

Pursuant

to

Rule

17a-7

under

the

1940

Act,

the

Fund

may

engage

in

securities

transactions

with

affiliated

investment

companies

and

advisory

accounts

managed

by

the

Manager.

Any

such

purchase

or

sale

transaction

must

be

effected

without

a

brokerage

commission

or

other

remuneration,

except

for

customary

transfer

fees.

The

transaction

must

be

effected

at

the

current

market

price,

which

is

either

the

security’s

last

sale

price

on

an

exchange

or,

if

there

are

no

transactions

in

the

security

that

day,

at

the

average

of

the

highest

bid

and

lowest

asked

price.

During

the

year

ended December

31,

2024,

the

Fund

did

not

engage

in

any

Rule

17a-7

transactions.

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Notes

to

the

Financial

Statements

December

31,

2024

158

Derivative

Instruments

All

open

derivative

positions

at

period

end

are

reflected

on

the

Fund’s

Schedule

of

Portfolio

Investments.

The

following

is

a

description

of

the

derivative

instruments

utilized

by

the

Fund,

including

the

primary

underlying

risk

exposures

related

to

each

instrument

type.

The

Fund’s

allocation

to

the

MVP

(Managed

Volatility

Portfolio)

risk

management

process

may

include

(a)

derivatives

such

as

index

futures,

other

futures

contracts,

options,

and

other

similar

securities

and

(b)

cash,

money

market

equivalents,

short-term

debt

instruments,

money

market

funds,

and

short-term

debt

funds

to

satisfy

all

applicable

margin

requirements

and

to

provide

additional

portfolio

liquidity

to

satisfy

large

redemptions

and

any

margin

calls.

Due

to

the

leverage

provided

by

derivatives,

the

notional

value

of

the

Fund’s

derivative

positions

could

exceed

20%

of

the

Fund’s

value.

The

Fund

may

also

use

futures

to

gain

equity

exposure

and

may

hold

cash

as

a

buffer

in

the

event

of

market

shocks.

Futures

Contracts

During

the

year

ended December

31,

2024,

the

Fund

invested

in

futures

contracts

to

reduce

volatility

and

limit

the

need

to

decrease

or

increase

allocations

to

underlying

funds.

Futures

contracts

are

valued

based

upon

their

quoted

daily

settlement

prices.

Upon

entering

into

a

futures

contract,

the

Fund

is

required

to

segregate

liquid

assets

in

accordance

with

the

initial

margin

requirements

of

the

broker

or

exchange.

Futures

contracts

are

marked

to

market

daily

and

a

payable

or

receivable

for

the

change

in

value

(“variation

margin”),

if

any,

is

recorded

by

the

Fund.

Gains

or

losses

are

recognized

but

not

considered

realized

until

the

contracts

expire

or

are

closed.

Futures

contracts

involve,

to

varying

degrees,

elements

of

market

risk

(generally

equity

price

risk

related

to

stock

futures,

interest

rate

risk

related

to

bond

futures,

and

foreign

currency

risk

related

to

currency

futures)

and

exposure

to

loss

in

excess

of

the

variation

margin

disclosed

in

the

Statement

of

Assets

and

Liabilities.

The

primary

risks

associated

with

the

use

of

futures

contracts

are

the

imperfect

correlation

between

the

change

in

value

of

the

underlying

securities

and

the

prices

of

futures

contracts,

the

possibility

of

an

illiquid

market,

and

the

inability

of

the

counterparty

to

meet

the

terms

of

the

contract.

For

the

year

ended December

31,

2024,

the

monthly

average

notional

amount

for

long

contracts

was

$56.6

million.

There

was

no

short

contract

activity

during

the

period.

Realized

gains

and

losses

are

reported

as

“Net

realized

gains/(losses)

on

futures

contracts”

on

the

Statement

of

Operations.

Summary

of

Derivative

Instruments

The

following

is

a

summary

of

the

values

of

derivative

instruments

on

the

Fund’s

Statement

of

Assets

and

Liabilities,

categorized

by

risk

exposure,

as

of

December

31,

2024: 

The

following

is

a

summary

of

the

effect

of

derivative

instruments

on

the

Statement

of

Operations,

categorized

by

risk

exposure,

for

the

year

ended December

31,

2024:

3.

Fees

and

Transactions

with

Affiliates

and

Other

Parties

The

Manager

provides

investment

advisory

and

management

services

for

the

Fund.

The

Manager

has

contractually

agreed

to

waive

fees

and

reimburse

the

Fund

to

limit

the

annual

expenses,

excluding

interest

expense

(e.g.,

cash

overdraft

fees),

taxes,

brokerage

commissions,

acquired

fund

fees

and

expenses,

other

expenditures

that

are

capitalized

in

accordance

with

U.S.

GAAP

and

other

extraordinary

expenses

not

incurred

in

the

ordinary

course

of

the

Fund’s

business,

based

on

the

daily

net

assets

of

the

Fund,

through

April

30,

2026.

Expenses

incurred

for

investment

advisory

and

management

services

are

reflected

on

the

Statement

of

Operations

as

“Management

fees.”

For

the

year

ended December

31,

2024,

the

annual

management

fee rate

due

to

the

Manager

and

the

annual

expense

limit

were

as

follows:

Any

amounts

contractually

waived

or

assumed by

the

Manager

with

respect

to

the

annual

expense

limit

may

be

reimbursed

by

the

Fund

to

the

Manager

to

the

extent

that

such

reimbursement

will

not

cause

the

Fund's

expenses

to

exceed

(i)

the

expense

limit

then

in

effect;

or

(ii)

the

expense

limit

in

effect

at

the

time

the

fees

and/or

expenses

were

waived

or

assumed;

provided,

however,

that

such

reimbursement

shall

only

be

made

for

a

period

of

three

years

following

the

end

of

the

month

in

which

the

waiver

or

assumption

was

made.

Any

amounts

recouped

by

the

Manager

during

the

period

are

reflected

on

the

Statement

of

Operations

as

“Recoupment

of

prior

expenses

reimbursed

by

the

Manager.”

At

December

31,

2024,

there

were

no

remaining

contractual

reimbursements

subject

to

repayment

by

the

Fund

in

subsequent

years,

and

no

commitment

or

contingent

liability

is

expected.

Asset

Derivatives

Liability

Derivatives

Primary

Risk

Exposure

Statement

of

Assets

and

Liabilities

Location

Total

Value

Statement

of

Assets

and

Liabilities

Location

Total

Value

Equity

Risk

–

(1,021,174)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$1,021,174

Interest

Rate

Risk

–

–

–

–

(342,910)

Futures

Contracts

Receivable

for

variation

margin

on

futures

contracts*

$—

Payable

for

variation

margin

on

futures

contracts*

$

342,910

*

For

futures

contracts,

the

amounts

represent

the

cumulative

appreciation/depreciation

of

these

futures

contracts

as

reported

in

the

Schedule

of

Portfolio

Investments.

Only

the

current

day's

variation

margin,

if

any,

is

reported

within

the

Statement

of

Assets

and

Liabilities

as

“Variation

margin

on

futures

contracts”.

Primary

Risk

Exposure

Location

of

Gains/(Losses)

on

Derivatives

Recognized

Realized

Gains/(Losses)

on

Derivatives

Recognized

Change

in

Net

Unrealized

Appreciation/Depreciation

on

Derivatives

Recognized

Equity

Risk

(7,816,379)

2,166,906

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$

7,816,379

$

(2,166,906)

Interest

Rate

Risk

91,062

1,062,463

Futures

Contracts

Net

realized

gains/(losses)

on

futures

contracts/

Change

in

net

unrealized

appreciation/

depreciation

on

futures

contracts

$(91,062)

$(1,062,463)

Annual

Rate

Annual

Expense

Limit

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

0.10%

0.15%

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Notes

to

the

Financial

Statements

December

31,

2024

159

Management

fees,

which

the

Manager

may

waive

in

order

to

maintain

more

competitive

expense

ratios,

are

not

subject

to

repayment

in

subsequent

years.

Information

on

the

total

amount

waived/reimbursed

by

the

Manager

or

repaid

to

the

Manager

by

the

Fund

during

the

period

can

be

found

on

the

Statement

of

Operations,

as

applicable.

During

the

year

ended December

31,

2024,

there

were

no

such

waivers.

The

Manager

serves

as

the

investment

adviser

of the

underlying

funds

in

which

the

Fund

invests. At

December

31,

2024,

these

underlying

funds

are

noted

as

Affiliated

Investment

Companies

in

the

Fund’s

Schedule

of

Portfolio

Investments.

Additional

information,

including

financial

statements,

about

these

Funds

is

available

at

www.allianzlife.com.

The

Manager

is

paid

a

separate

fee

from

the

underlying

funds

for

such

services.

A

summary

of

the

Fund’s

investments

in

affiliated

investment

companies

for

the

year

ended December

31,

2024

is

as

follows:

Pursuant

to

separate

agreements

between

the

Trust

and

the

Manager,

the

Manager

provides

a

Chief

Compliance

Officer

(“CCO”)

and

certain

compliance

oversight

and

regulatory

filing

services

to

the

Trust.

Under

these

agreements,

the

Manager

is

entitled

to

an

amount

equal

to

a

portion

of

the

compensation

and

certain

other

expenses

related

to

the

individuals

performing

the

CCO

and

compliance

oversight

services,

as

well

as

$100

per

hour

for

time

incurred

in

connection

with

the

preparation

and

filing

of

certain

documents

with

the

SEC.

The

fees

are

paid

to

the

Manager

on

a

quarterly

basis.

Adviser

Compliance

Associates,

LLC

("ACA")

provides

Principal

Financial

Officer

("PFO")

and

officer

support

services

to

the

Trust.

For

these

services,

ACA

receives

an

annual

base

fee

and

additional

per

fund

fees. The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administrative

and

compliance

services

fees.”

Citi

Fund

Services

Ohio,

Inc.

(“Citi”

or

the

“Administrator”),

a

wholly

owned

subsidiary

of

Citigroup,

Inc.,

serves

as

the

Trust’s

administrator

and

fund

accountant,

and

assists

the

Trust

in

all

aspects

of

its

administration

and

operation.

The

Administrator

is

entitled

to

a

fee,

accrued

daily

and

paid

monthly.

The

Administrator

is

entitled

to

an

annual

fee

for

each

additional

class

of

shares

of

any

Fund,

certain

annual

fees

in

supporting

fair

value

services,

and

a

Trust-wide

annual

fee

for

providing

infrastructure

and

support

in

implementing

the

written

policies

and

procedures

comprising

the

Fund’s

compliance

program.

The

Administrator

is

also

reimbursed

for

certain

expenses

incurred.

The

total

expenses

incurred

by

the

Fund

for

these

services

are

reflected

on

the

Statement

of

Operations

as

“Administration

fees.”

FIS

Investor

Services

LLC

(“FIS”)

serves

as

the

Fund's

transfer

agent.

Under

the

Transfer

Agent

Agreement,

the

Trust

pays

FIS

a

fee

for

its

services

and

reimburses

FIS

for

all

of

their

reasonable

out-of-pocket

expenses

incurred

in

providing

these

services.

The

Bank

of

New

York

Mellon

(“BNY

Mellon”

or

the

“Custodian”)

serves

as

the

Trust’s

custodian.

For

these

services

as

custodian,

the

Funds

pay

BNY

Mellon

a

fee

based

on

a

percentage

of

assets

held

on

behalf

of

the

Funds,

plus

certain

out-of-pocket

charges.

Allianz

Life

Financial

Services,

LLC

(“ALFS”),

an

affiliate

of

the

Manager,

serves

as

distributor

of

the

Fund.

ALFS

receives

a

Trust-wide

annual

fee

of

$7,500,

paid

by

the

Manager

from

its

profits

and

not

by

the

Trust,

for

recordkeeping

and

reporting

services.

Certain

Officers

and

Trustees

of

the

Trust

are

affiliated

with

the

Manager.

Such

Officers

(except

for

the

Trust’s

CCO

as

noted

above)

and

Trustees

receive

no

compensation

from

the

Trust

for

serving

in

their

respective

roles.

4.

Investment

Valuation

Summary

The

valuation

techniques

employed

by

the

Fund,

as

described

below,

maximize

the

use

of

observable

inputs

and

minimize

the

use

of

unobservable

inputs

in

determining

fair

value.

The

inputs

used

for

valuing

the

Fund’s

investments

are

summarized

in

the

three

broad

levels

listed

below:

•

Level

1

-

quoted

prices

in

active

markets

for

identical

assets

•

Level

2

-

other

significant

observable

inputs

(including

quoted

prices

for

similar

securities,

interest

rates,

prepayments

speeds,

credit

risk,

etc.)

•

Level

3

-

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

investments)

Changes

in

valuation

techniques

may

result

in

transfers

in

or

out

of

an

assigned

level

within

the

disclosure

hierarchy.

The

inputs

or

methodology

used

for

valuing

investments

is

not

necessarily

an

indication

of

the

risk

associated

with

investing

in

those

investments.

Investments

in

other

investment

companies

are

valued

at

their

published

net

asset

value

(“NAV”).

Security

prices

are

determined

pursuant

to

valuation

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

“Board”

or

“Trustees”)

as

of

the

close

of

the

New

York

Stock

Exchange

(“NYSE”)

(generally

4:00

pm

Eastern

Time).

The

investments

utilizing

Level

1

valuations

represent

investments

in

open-end

investment

companies.

Futures

contracts

are

valued

at

the

settlement

prices

established

each

day

on

the

primary

exchange

and

are

typically

categorized

as

Level

1

in

the

fair

value

hierarchy.

The

Board

has

designated

the

Manager

to

perform

the

Fund’s

fair

value

determinations

in

accordance

with

valuation

procedures

approved

by

the

Board.

The

effect

of

using

fair

value

pricing

is

that

the

Fund’s

NAV

will

be

subject

to

the

judgment

of

the

Manager.

The

Manager’s

fair

valuation

process

is

subject

to

the

oversight

of

the

Board.

Value

12/31/23

Purchases

at

Cost

Proceeds

from

Sales

Net

Realized

Gains

(Losses)

Change

in

Net

Unrealized

Appreciation

(Depreciation)

Value

12/31/24

Shares

as

of

12/31/24

Dividend

Income

Net

Realized

Gains

Distributions

from

Affiliated

Underlying

Funds

AZL

Enhanced

Bond

Index

Fund

$

208,826,331‌

$

9,657,530‌

$

(17,927,272‌)

$

(3,126,561‌)

$

(1,791,912‌)

$

195,638,116‌

20,442,854‌

$

7,507,644‌

$

—‌

AZL

S&P

500

Index

Fund,

Class

2

313,370,744‌

16,856,988‌

(93,526,280‌)

28,539,516‌

23,573,662‌

288,814,630‌

12,155,498‌

3,142,675‌

13,183,698‌

AZL

T.

Rowe

Price

Capital

Appreciation

Fund

580,753,144‌

23,104,293‌

(106,669,188‌)

7,049,336‌

36,649,462‌

540,887,047‌

30,610,472‌

12,575,658‌

10,005,713‌

$

1,102,950,219‌

$

49,618,811‌

$

(218,122,740‌)

$

32,462,291‌

$

58,431,212‌

$

1,025,339,793‌

63,208,824‌

$

23,225,977‌

$

23,189,411‌

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Notes

to

the

Financial

Statements

December

31,

2024

160

The

following

is

a

summary

of

the

valuation

inputs

used

as

of

December

31,

2024

in

valuing

the

Fund’s

investments

based

upon

the

three

levels

defined

above:

5.

Security

Purchases

and

Sales

For

the

year

ended December

31,

2024,

cost

of

purchases

and

proceeds

from

sales

of

securities

(excluding

securities

maturing

less

than

one

year

from

acquisition)

were

as

follows: 

6.

Investment

Risks

The

risks

below

are

presented

in

an

order

intended

to

facilitate

readability.

Their

order

does

not

imply

that

the

realization

of

one

risk

is

more

likely

to

occur

more

frequently

than

another

risk,

nor

does

it

imply

that

the

realization

of

one

risk

is

likely

to

have

a

greater

adverse

impact

than

another

risk.

The

Fund

may

be

subject

to

other

risks

in

addition

to

these

identified

risks.

This

section

discusses

certain

common

principal

risks

encountered

by

the

Fund.

Derivatives

Risk:

The

Fund

may

invest

directly

or

through

affiliated

or

unaffiliated

mutual

funds

in

derivative

instruments

such

as

futures,

options,

and

options

on

futures.

A

derivative

is

a

financial

contract

whose

value

depends

on,

or

is

derived

from,

the

value

of

an

underlying

asset,

reference

rate,

or

risk.

Use

of

derivative

instruments

involves

risks

different

from,

or

possibly

greater

than,

the

risks

associated

with

investing

directly

in

securities

and

other

traditional

investments.

Derivatives

are

subject

to

a

number

of

other

risks,

such

as

liquidity

risk,

interest

rate

risk,

market

risk,

credit

risk,

and

selection

risk.

Derivatives

also

involve

the

risk

of

mispricing

or

improper

valuation

and

the

risk

that

changes

in

the

value

may

not

correlate

perfectly

with

the

underlying

asset,

rate,

or

index.

Using

derivatives

may

result

in

losses,

possibly

in

excess

of

the

principal

amount

invested.

Also,

suitable

derivative

transactions

may

not

be

available

in

all

circumstances.

The

other

party

to

a

derivatives

contract

could

default.

Foreign

Securities

Risk:

Investing

in

the

securities

of

non-U.S.

issuers

involves

a

number

of

risks,

such

as

fluctuations

in

currency

values,

adverse

political,

social

or

economic

developments,

and

differences

in

social

and

economic

developments

or

policies.

Such

risks

include

future

political

and

economic

developments,

and

the

possible

imposition

of

exchange

controls

or

other

foreign

governmental

laws

and

restrictions.

In

addition,

with

respect

to

certain

countries,

there

is

the

possibility

of

expropriation

of

assets,

confiscatory

taxation,

political

or

social

instability

or

diplomatic

developments

which

could

adversely

affect

investments

in

those

securities.

Certain

foreign

companies

may

be

subject

to

sanctions,

embargoes,

or

other

governmental

actions

that

may

impair

or

otherwise

limit

the

ability

to

invest

in,

receive,

hold

or

sell

the

securities

of

such

companies.

Fund

of

Fund

Risk:

The

Fund,

as

a

shareholder

of

the

underlying

funds,

indirectly

bears

its

proportionate

share

of

any

investment

management

fees

and

other

expenses

of

the

underlying

funds.

Further,

due

to

the

fees

and

expenses

paid

by

the

Fund,

as

well

as

small

variations

in

the

Fund’s

actual

allocations

to

the

underlying

funds

and

any

futures

and

cash

held

in

the

Fund’s

portfolio,

the

performance

and

income

distributions

of

the

Fund

will

not

be

the

same

as

the

performance

and

income

distributions

of

the

underlying

funds.

In

addition,

the

Fund

maintains

indirect

exposure

to

various

types

of

risk

which

may

exist

in

the

underlying

Funds,

such

as

foreign

securities

risk,

fixed

income

securities

risk

and

other

risks.

Interest

Rate

Risk:

Debt

securities

held

by

an

underlying

fund

may

decline

in

value

due

to

rising

interest

rates.

The

price

of

a

bond

is

also

affected

by

its

maturity.

Bonds

with

longer

maturities

generally

have

greater

sensitivity

to

changes

in

interest

rates. 

Market

Risk

:

The

market

price

of

securities

owned

by

the

underlying

funds

may

go

up

or

down,

sometimes

rapidly

and

unpredictably.

Securities

may

decline

in

value

due

to

factors

affecting

securities

markets

generally

or

particular

industries

represented

in

the

securities

markets.

The

value

of

a

security

may

decline

due

to

general

market

conditions,

economic

trends

or

events that

are

not

specifically

related

to

a

particular

company,

such

as

real

or

perceived

adverse

economic

conditions,

inflation,

recessions, changes

in

the

general

outlook

for

corporate

earnings,

changes

in

interest

or

currency

rates,

or

adverse

investor

sentiment,

as

well

as

natural

disasters,

and

outbreaks

of

infectious

illnesses

or

other

widespread

public

health

issues.

Quantitative

Investing

Risk:

The

value

of

securities

selected

using

quantitative

analysis

can

react

differently

to

issuer,

political,

market,

and

economic

developments

than

the

market

as

a

whole

or

securities

selected

using

only

fundamental

analysis.

The

factors

used

in

quantitative

analysis

and

the

weight

placed

on

those

factors

may

not

be

predictive

of

a

security's

value.

In

addition,

factors

that

affect

a

security's

value

can

change

over

time

and

these

changes

may

not

be

reflected

in

the

quantitative

model.

A

quantitative

model

can

be

adversely

affected

by

errors

or

imperfections

in

the

factors

or

the

data

on

which

evaluations

are

based,

or

by

technical

issues

with

construction

or

implementation

of

the

model,

which

in

any

case

may

result

in

a

failure

of

the

portfolio

to

perform

as

expected

or

a

failure

to

identify

securities

that

will

perform

well

in

the

future.

7.

Federal

Tax

Information

It

is

the

policy

of

the

Fund

to

continue

to

qualify

as

a

regulated

investment

company

by

complying

with

the

provisions

available

to

certain

investment

companies,

as

defined

under

Subchapter

M

of

the

Internal

Revenue

Code,

and

to

make

distributions

of

net

investment

income

and

net

realized

gains

sufficient

to

relieve

it

from

all,

or

substantially

all,

federal

income

taxes.

Accordingly,

no

provisions

for

federal

income

taxes

are

required

in

the

financial

statements.

Investment

Securities:

Level

1

Level

2

Level

3

Total

Affiliated

Investment

Companies

$

1,025,339,793

$

—

$

—

$

1,025,339,793

Total

Investment

Securities

1,025,339,793

—

—

1,025,339,793

Other

Financial

Instruments:

*

Futures

Contracts

(1,364,084)

—

—

(1,364,084)

Total

Investments

$1,023,975,709

$—

$—

$1,023,975,709

*

Other

Financial

Instruments

would

include

any

derivative

instruments,

such

as

futures

contracts.  These

investments

are

generally

presented

in

the

Statement

of

Assets

and

Liabilities

at

variation

margin.

Purchases

Sales

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

$49,618,811

$218,122,740

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Notes

to

the

Financial

Statements

December

31,

2024

161

Management

of

the

Fund

has

reviewed

tax

positions

taken

in

tax

years

that

remain

subject

to

examination

by

all

major

tax

jurisdictions,

including

federal

(i.e.,

the

last

four

tax

year

ends

and

the

interim

tax

period

since

then,

as

applicable).

Management

believes

that

there

is

no

tax

liability

resulting

from

unrecognized

tax

benefits

related

to

uncertain

tax

positions

taken.

Cost

of

securities,

including

derivatives

and

short

positions

as

applicable,

for

federal

income

tax

purposes

at

December

31,

2024 is

$876,394,244.

The

gross

unrealized

appreciation/

(depreciation)

on

a

tax

basis is

as

follows:

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2024, was

as

follows: 

The

tax

character

of

dividends

paid

to

shareholders

during

the

year

ended

December

31,

2023, was

as

follows: 

At

December

31,

2024,

the

components

of

accumulated

earnings

on

a

tax

basis

were

as

follows: 

8.

Ownership

and

Principal

Holders

The

beneficial

ownership,

either

directly

or

indirectly,

of

more

than

25%

of

the

voting

securities

of

a

fund

creates

presumptions

of

control

of

the

fund,

under

section

2(a)(9)

of

the

1940

Act.

As

of December

31,

2024,

the

Fund

had

an

individual

shareholder

account

which

is

affiliated

with

the

Manager

representing

ownership

in

excess

of

85%

of

the

Fund.

Investment

activities

of

this

shareholder

could

have

a

material

impact

to

the

Fund.

As

of

December

31,

2024,

the

Fund

had

a

controlling

interest

(in

excess

of

50%)

in

the

AZL

T.

Rowe

Price

Capital

Appreciation

Fund,

which

is

affiliated

with

the

Manager. 

9.

Segment

Reporting

The

Fund

adopted

FASB

Accounting

Standards

Update

2023-07,

Segment

Reporting

(Topic

280)

-

Improvements

to

Reportable

Segment

Disclosures

("ASU

2023-07")

during

the

period.

Adoption

of

the

new

standard

impacted

financial

statement

disclosures

only

and

did

not

affect

the

Fund’s

financial

position

or

its

results

of

operations.

Subject

to

the

oversight

and,

when

applicable,

approval

of

the

Board,

the

Fund's

Manager

acts

as

the

Fund’s

chief

operating

decision

maker

(“CODM”)

and

is

responsible

for

assessing

performance

and

making

decisions

about

resource

allocation.

The

CODM

has

determined

that

the

Fund

has

a

single

operating

segment

based

on

the

fact

that

the

CODM

monitors

the

operating

results

of

the

Fund

as

a

whole

and

the

Fund’s

long-term

strategic

asset

allocation

is

determined

in

accordance

with

the

terms

of

its

prospectus,

based

on

a

defined

investment

strategy

which

is

executed

by

the

Fund’s

portfolio

managers

as

a

team.

The

financial

information

provided

to

and

reviewed

by

the

CODM

is

consistent

with

that

presented

in

the

Fund’s

financial

statements. 

10.

Subsequent

Events

Management

of

the

Fund

has

evaluated

the

need

for

additional

disclosures

or

adjustments

resulting

from

events

through

the

date

the

financial

statements

were

issued.

Based

on

this

evaluation,

there

were

no

subsequent

events

to

report

that

would

have

material

impact

on

the

Fund’s

financial

statements.

Unrealized

appreciation

$173,700,608

Unrealized

(depreciation)

(24,755,059)

Net

unrealized

appreciation/(depreciation)

$148,945,549

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

$57,493,633

$37,509,457

$95,003,090

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Ordinary

Income

Net

Long-Term

Capital

Gains

Total

Distributions(a)

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

$91,615,841

$—

$91,615,841

(a)

Total

distributions

paid

may

differ

from

the

Statements

of

Changes

in

Net

Assets

because

dividends

are

recognized

when

actually

paid

for

tax

purposes.

Undistributed

Ordinary

Income

Undistributed

Long-Term

Capital

Gains

Accumulated

Capital

and

Other

Losses

Unrealized

Appreciation/

Depreciation(a)

Total

Accumulated

Earnings/

(Deficit)

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

$64,766,426

$19,315,080

$—

$148,945,549

$233,027,055

(a)

The

differences

between

book-basis

and

tax-basis

unrealized

appreciation/(depreciation)

are

attributable

primarily

to

tax

deferral

of

losses

on

wash

sales

and

mark-to-market

of

futures

contracts.

REPORT

OF

INDEPENDENT

REGISTERED

PUBLIC

ACCOUNTING

FIRM

162

To

the

Board

of

Trustees

of

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

and

Shareholders

of

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

Opinion

on

the

Financial

Statements

We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

portfolio

investments,

of

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Fund

(one

of

the

funds

constituting

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2024,

the

related

statement

of

operations

for

the

year

ended

December

31,

2024,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

(collectively

referred

to

as

the

“financial

statements”).

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2024,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2024

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2024

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

Basis

for

Opinion

These

financial

statements

are

the

responsibility

of

the

Fund’s

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund’s

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2024

by

correspondence

with

the

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/

PricewaterhouseCoopers

LLP

New

York,

New

York

February

21,

2025

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Allianz

Variable

Insurance

Products

complex

since

2018.

163

Other

Federal

Income

Tax

Information

(Unaudited)

For

the

year

ended

December

31,

2024,

16.22%

of

the

total

ordinary

income

dividends

paid

by

the

Fund

qualify

for

the

corporate

dividends

received

deductions

available

to

corporate

shareholders.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

short-term

capital

gain

distributions

of

$3,294,422.

During

the

year

ended

December

31,

2024,

the

Fund

declared

net

long-term

capital

gain

distributions

of

$37,509,457.

164

Other

Information

(Unaudited)

Item

8.

Changes

in

and

Disagreements

with

Accountants

There

were

no

changes

in

or

disagreements

with

accountants

during

the

reporting

period.

Item

9.

Proxy

Disclosures

There

were

no

matters

submitted

for

vote

by

shareholders

of

the

Funds’

during

the

reporting

period.

Item

10.

Remuneration

Paid

to

Directors,

Officers

and

Others

Remuneration

paid

to

Directors/Trustees,

Officers

and

others,

if

any,

are

reflected

on

the

Statements

of

Operations

and

described

in

Note

3

of

the

Notes

to

Financial

Statements

included

in

Item

7.

165

Item

11.

Approval

of

Investment

Advisory

Agreement

Subject

to

the

general

supervision

of

the

Board

of

Trustees

(the

“Board”)

and

in

accordance

with

the

investment

objectives

and

restrictions

of

each

separate

series

(each

a

“Fund,”

together,

the

“Funds”)

of

the

Allianz

Variable

Insurance

Products

Fund

of

Funds

Trust

(the

“Trust”),

investment

advisory

services

are

provided

to

the

Funds

by

Allianz

Investment

Management

LLC

(the

“Manager”).

The

Manager

manages

each

Fund

pursuant

to

an

investment

management

agreement

(the

“Management

Agreement”)

with

the

Trust

in

respect

of

each

such

Fund.

The

Management

Agreement

provides

that

the

Manager,

subject

to

the

supervision

and

approval

of

the

Board,

is

responsible

for

the

management

of

each

Fund.

For

management

services,

each

Fund

pays

the

Manager

an

investment

advisory

fee

based

upon

each

Fund’s

average

daily

net

assets.

The

Manager

has

contractually

agreed

to

limit

the

expenses

of

each

Fund

by

reimbursing

the

Fund

if

and

when

total

Fund

operating

expenses

exceed

certain

amounts

until

at

least

April

30,

2026

(the

“Expense

Limitation

Agreement”).

In

reviewing

the

services

provided

by

the

Manager

and

the

terms

of

the

Management

Agreement,

the

Board

receives

and

reviews

information

related

to

the

Manager’s

experience

and

expertise

in

the

variable

insurance

marketplace.

In

addition,

the

Board

receives

information

regarding

the

Manager’s

expertise

with

regard

to

portfolio

diversification

and

asset

allocation

requirements

within

variable

insurance

products

issued

by

Allianz

Life

Insurance

Company

of

North

America

(“Allianz

Life”)

and

its

subsidiary,

Allianz

Life

Insurance

Company

of

New

York

(“Allianz

of

New

York”).

Currently,

the

Funds

are

offered

only

through

Allianz

Life

and

Allianz

of

New

York

variable

products,

and

not

in

the

retail

fund

market.

As

required

by

the

Investment

Company

Act

of

1940

(the

“1940

Act”),

the

Board

has

reviewed

and

approved

the

Management

Agreement

with

the

Manager.

The

Board’s

decision

to

approve

this

contract

reflects

the

exercise

of

its

business

judgment

on

whether

to

approve

new

arrangements

and

continue

the

existing

arrangements.

During

its

review

of

the

contract,

the

Board

considered

many

factors,

among

the

most

material

of

which

are:

the

Fund’s

investment

objectives

and

long-term

performance;

the

Manager’s

management

philosophy,

personnel,

processes

and

investment

performance,

including

its

compliance

history

and

the

adequacy

of

its

compliance

processes;

the

preferences

and

expectations

of

Fund

shareholders

(and

underlying

contract

owners)

and

their

relative

sophistication;

the

continuing

state

of

competition

in

the

mutual

fund

industry;

and

comparable

fees

in

the

mutual

fund

industry.

The

Board

also

considered

the

compensation

and

benefits

received

by

the

Manager.

This

includes

fees

received

for

services

provided

to

a

Fund

by

employees

of

the

Manager

or

of

affiliates

of

the

Manager

and

research

services

received

by

the

Manager

from

brokers

that

execute

Fund

trades,

as

well

as

advisory

fees.

The

Board

considered

the

fact

that:

(1)

the

Manager

and

the

Trust

are

parties

to

an

Administrative

Services

Agreement

and

a

Compliance

Services

Agreement,

under

which

the

Manager

is

compensated

by

the

Trust

for

performing

certain

administrative

and

compliance

services

including

providing

an

employee

of

the

Manager

or

one

of

its

affiliates

to

act

as

the

Trust’s

Chief

Compliance

Officer;

and

(2)

Allianz

Life

Financial

Services,

LLC,

an

affiliated

person

of

the

Manager,

is

a

registered

securities

broker-dealer

and

received

(along

with

its

affiliated

persons)

payments

made

by

the

underlying

funds

pursuant

to

Rule

12b

1.

The

Board

is

aware

that

various

courts

have

interpreted

provisions

of

the

1940

Act

and

have

indicated

in

their

decisions

that

the

following

factors

may

be

relevant

to

an

adviser’s

compensation:

the

nature,

extent

and

quality

of

the

services

provided

by

the

adviser,

including

the

performance

of

the

fund;

the

adviser’s

cost

of

providing

the

services;

the

extent

to

which

the

adviser

may

realize

“economies

of

scale”

as

the

fund

grows

larger;

any

indirect

benefits

that

may

accrue

to

the

adviser

and

its

affiliates

as

a

result

of

the

adviser’s

relationship

with

the

fund;

performance

and

expenses

of

comparable

funds;

the

profitability

of

acting

as

adviser

to

the

fund;

and

the

extent

to

which

the

independent

Board

members,

who

are

not

“interested

persons”

of

a

fund

as

defined

by

the

1940

Act

(“Independent

Trustees”),

are

fully

informed

about

all

facts

bearing

on

the

adviser’s

services

and

fees.

The

Board

is

aware

of

these

factors

and

takes

them

into

account

in

its

review

of

the

Management

Agreement

for

the

Funds.

Each

member

of

the

Board

considered

and

weighed

these

factors

in

light

of

his

or

her

experience

in

governing

the

Trust.

The

Board

is

assisted

in

its

deliberations

by

the

advice

of

independent

legal

counsel

to

the

Independent

Trustees

(“Independent

Trustee

Counsel”).

In

this

regard,

the

Board

requests

and

receives

a

significant

amount

of

information

about

the

Funds

and

the

Manager.

Some

of

this

information

is

provided

at

each

regular

meeting

of

the

Board;

additional

information

is

provided

in

connection

with

the

particular

meetings

at

which

the

Board’s

formal

review

of

the

Management

Agreement

occurs.

In

between

regularly

scheduled

meetings,

the

Board

may

receive

information

on

particular

matters

as

the

need

arises.

Thus,

the

Board’s

evaluation

of

the

Management

Agreement

is

informed

by

reports

covering

such

matters

as:

the

Manager’s

investment

philosophy,

personnel

and

processes,

and

the

Fund’s

investment

performance

(in

absolute

terms

as

well

as

in

relationship

to

its

benchmark

and

certain

competitor

or

“peer

group”

funds).

In

connection

with

comparing

the

performance

of

each

Fund

versus

its

benchmark,

the

Board

receives

reports

on

the

extent

to

which

the

Fund’s

performance

may

be

attributed

to

various

applicable

factors,

such

as

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

rebalancing

decisions,

and

the

impact

of

cash

positions

and

Fund

fees

and

expenses.

The

Board

also

receives

reports

on

the

Funds’

expenses

(including

the

advisory

fee

itself

and

the

overall

expense

structure

of

the

Funds,

both

in

absolute

terms

and

relative

to

peer

group

and/or

competing

funds,

with

due

regard

for

the

Expense

Limitation

Agreement

and

additional

voluntary

expense

limitations);

the

use

and

allocation

of

any

brokerage

commissions

derived

from

trading

the

Funds’

portfolio

securities;

the

nature,

extent

and

quality

of

the

advisory

and

other

services

provided

to

the

Fund

by

the

Manager

and

its

affiliates;

compliance

and

audit

reports

concerning

the

Funds

and

the

companies

that

service

them;

and

relevant

developments

in

the

mutual

fund

industry

and

how

the

Funds

and/or

the

Manager

are

responding

to

them.

The

Board

also

receives

financial

information

about

the

Manager,

including

reports

on

the

compensation

and

benefits

the

Manager

derives

from

its

relationships

with

the

Funds.

These

reports

cover

not

only

the

fees

under

the

Management

Agreement,

but

also

the

fees,

if

any,

received

for

providing

other

services

to

the

Funds.

The

reports

also

discuss

any

indirect

or

“fall-out”

benefits

the

Manager

or

its

affiliates

may

derive

from

their

relationships

with

the

Funds.

The

Management

Agreement

was

most

recently

considered

at

Board

meetings

held

in

the

summer

and

fall

of

2024.

Information

relevant

to

the

approval

of

the

Management

Agreement

was

considered

at

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

as

well

as

at

various

other

meetings

preceding

those

meetings.

Accordingly,

the

Management

Agreement

was

approved

by

the

Board

at

an

in-person

meeting

on

September

24,

2024.

At

such

meeting

the

Board

also

approved

the

Expense

Limitation

Agreement

between

the

Manager

and

the

Trust

for

the

period

ending

April

30,

2026.

In

connection

with

such

meetings,

the

Board

requested

and

evaluated

extensive

materials

from

the

Manager,

including

performance

and

expense

information

for

other

investment

companies

with

similar

investment

objectives

derived

from

data

compiled

by

an

independent

third-party

provider

and

other

sources

believed

to

be

reliable

by

the

Manager

and

the

Trustees.

Prior

to

voting,

the

Trustees

reviewed

the

proposed

approval

of

the

Management

Agreement

with

management

and

with

Independent

Trustee

Counsel

and

received

a

memorandum

from

such

counsel

discussing

the

legal

standards

for

their

consideration

of

the

proposed

approval.

The

Independent

Trustees

also

discussed

the

proposed

approval

in

private

sessions

with

Independent

Trustee

Counsel

at

which

no

representatives

of

the

Manager

were

present.

In

reaching

their

determinations

relating

to

the

approval

of

the

Management

Agreement,

in

respect

of

each

Fund,

each

member

of

the

Board

considered

all

factors

he

or

she

believed

relevant.

The

Board

based

its

decision

to

approve

166

the

Management

Agreement

on

the

totality

of

the

circumstances

and

relevant

factors,

and

with

a

view

to

past

and

future

long-term

considerations.

Not

all

of

the

factors

and

considerations

discussed

above

and

below

are

necessarily

relevant

to

every

Fund,

and

the

Board

did

not

assign

relative

weights

to

factors

discussed

herein

or

deem

any

one

or

group

of

them

to

be

controlling

in

and

of

themselves.

Form

N-CSR

filings

must

include

a

discussion

of

certain

factors

relating

to

the

selection

of

the

investment

adviser

and

the

approval

of

the

advisory

fee.

The

“factors”

enumerated

by

the

SEC

are

set

forth

below

in

italics,

as

well

as

the

Board’s

conclusions

regarding

such

factors:

(1)

The

nature,

extent

and

quality

of

services

provided

by

the

Manager.

The

Trustees

noted

that

the

Manager,

subject

to

the

oversight

of

the

Board,

administers

each

Fund’s

business

and

other

affairs.

The

Trustees

noted

that

the

Manager

also

provides

the

Trust

and

each

Fund

with

such

administrative

and

other

services

(exclusive

of,

and

in

addition

to,

any

such

services

provided

by

any

other

service

providers

retained

by

the

Trust

on

behalf

of

the

Funds)

and

executive

and

other

personnel

as

are

necessary

for

the

operation

of

the

Trust

and

the

Funds.

Except

for

the

Trust’s

Chief

Compliance

Officer

and

certain

compliance

staff,

the

Manager

pays

all

of

the

compensation

of

Trustees

and

officers

of

the

Trust

who

are

employees

of

the

Manager

or

its

affiliates.

The

Board

considered

the

scope

and

quality

of

services

provided

by

the

Manager

and

noted

that

the

scope

of

the

services

provided

has

continued

to

expand

as

a

result

of

regulatory

and

other

developments.

The

Board

noted,

for

example,

that

the

Manager

is

responsible

for

maintaining

and

monitoring

its

own

compliance

program,

and

this

compliance

program

has

been

continuously

refined

and

enhanced

in

light

of

new

regulatory

requirements.

The

Board

considered

the

capabilities

and

resources

which

the

Manager

has

dedicated

to

performing

services

on

behalf

of

the

Trust

and

its

Funds.

The

quality

of

administrative

and

other

services,

including

the

Manager’s

role

in

coordinating

the

activities

of

the

Trust’s

other

service

providers,

also

were

considered.

The

Board

concluded

that,

overall,

they

were

satisfied

with

the

nature,

extent

and

quality

of

services

provided

(and

expected

to

be

provided)

to

the

Trust

and

to

each

of

the

Funds

under

the

Management

Agreement.

(2)

The

investment

performance

of

the

Funds

and

the

Manager.

In

connection

with

every

quarterly

Board

meeting

and

the

summer

and

fall

2024

contract

review

process,

Trustees

received

extensive

information

on

the

performance

results

of

each

Fund.

This

included,

for

example,

performance

information

on

absolute

total

return,

performance

versus

the

appropriate

benchmark(s)

and

performance

versus

peer

groups

as

reported

by

Lipper,

the

contribution

to

performance

of

the

Manager’s

asset

class

allocation

decisions

and

volatility

management

strategies,

if

applicable,

the

performance

of

the

underlying

funds,

and

the

impact

on

performance

of

rebalancing

decisions,

cash

and

Fund

fees.

This

included

Lipper

performance

information

on

the

Funds

for

the

previous

quarter,

and

previous

one-,

three-

and

five-year

periods,

to

the

extent

available.

For

example,

in

connection

with

the

Board

meetings

held

June

4

and

11,

2024,

and

September

24,

2024,

the

Manager

reported

that,

for

the

five-year

period

ended

December

31,

2023,

three

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

four

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

reported

that

for

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%,

two

were

in

the

middle

20%,

and

one

was

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

eight

Funds

were

in

the

top

40%,

one

was

in

the

middle

20%,

and

none

were

in

the

bottom

40%

of

their

respective

Lipper

peer

groups.

The

Manager

also

reported

on

the

performance

of

the

MVP

Funds

compared

to

custom

managed-volatility

peer

groups.

For

the

five-year

period

ended

December

31,

2023,

seven

Funds

were

in

the

top

40%

of

their

respective

custom

managed-volatility

peer

group.

For

the

three-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

groups.

For

the

one-year

period

ended

December

31,

2023,

six

Funds

were

in

the

top

40%

and

one

was

in

the

middle

20%

of

their

respective

custom

managed-volatility

peer

group.

The

Board

members

discussed

with

the

Manager

and

considered

the

impact

of

the

volatility

management

strategies

on

performance

in

different

market

environments,

where

applicable,

and

considered

whether

they

were

operating

as

intended.

The

Board

noted,

in

particular,

the

impact

on

longer-term

performance

of

certain

characteristics

of

the

Funds’

volatility

management

strategies

in

relation

to

volatility

experienced

as

a

result

of

the

COVID-19

pandemic,

and

that

relative

performance

had

improved

as

the

markets

stabilized.

At

the

Board

meeting

held

September

24,

2024,

the

Board

also

received

updated

performance

information

for

the

Funds,

including

updated

Lipper

peer

group

ranking

information,

for

various

periods

ending

June

30,

2024.

At

the

Board

meeting

held

September

24,

2024,

the

Trustees

determined

that

the

investment

performance

of

the

Funds

was

acceptable.

(3)

The

costs

of

services

to

be

provided

and

profits

to

be

realized

by

the

Manager

and

its

affiliates

from

the

relationship

with

the

Funds.

The

Board

considered

that

the

Manager

receives

an

advisory

fee

from

each

of

the

Funds.

The

Manager

reported

that

for

the

four

MVP

Index

Strategy

Funds,

the

advisory

fee

paid

was

in

the

31st

percentile

of

the

customized

peer

group.

The

Manager

reported

that

for

the

AZL

DFA

Multi-Strategy

Fund,

the

advisory

fee

paid

was

in

the

3rd

percentile.

The

Manager

reported

that

for

the

AZL

Balanced

Index

Strategy,

AZL

MVP

DFA

Multi-Strategy,

AZL

MVP

FIAM

Multi-Strategy,

and

AZL

MVP

T.

Rowe

Price

Capital

Appreciation

Plus

Funds,

the

advisory

fee

paid

was

in

the

1st

percentile.

(A

lower

percentile

reflects

lower

fund

fees

and

is

better

for

fund

shareholders.)

Trustees

were

provided

with

information

on

the

total

expense

ratios

of

the

Funds

and

other

funds

in

the

customized

peer

groups,

and

the

Manager

reported

upon

the

challenges

in

making

peer

group

comparisons

for

the

Funds.

The

Board

further

considered

and

found

that

the

advisory

fee

paid

to

the

Manager

with

respect

to

each

Fund

was

based

on

services

provided

to

the

Fund

that

were

in

addition

to,

rather

than

duplicative

of,

the

services

provided

pursuant

to

the

advisory

agreements

for

the

underlying

funds

in

which

the

Fund

invests.

The

Manager

provided

information

concerning

the

profitability

of

the

Manager’s

investment

advisory

activities

for

the

period

from

2021

through

2023.

The

Board

recognized

that

it

is

difficult

to

make

comparisons

of

profitability

from

investment

company

advisory

agreements

because

comparative

information

is

not

generally

publicly

available

and

is

affected

by

numerous

factors,

including

the

structure

of

the

particular

adviser,

the

types

of

funds

it

manages,

its

business

mix,

numerous

assumptions

regarding

allocation

of

expenses

and

the

adviser’s

capital

structure

and

cost

of

capital.

In

considering

profitability

information,

the

Board

considered

the

possible

effect

of

certain

fall-out

benefits

to

the

Manager

and

its

affiliates.

The

Board

focused

on

profitability

of

the

Manager’s

relationships

with

the

Funds

before

taxes

and

distribution

expenses.

The

Board

recognized

that

the

Manager

should

earn

a

reasonable

level

of

profits

for

the

services

it

provides

to

each

Fund.

(4)

and

(5)

The

extent

to

which

economies

of

scale

would

be

realized

as

the

Funds

grow,

and

whether

fee

levels

reflect

these

economies

of

scale.

The

Board

noted

that

the

advisory

fee

schedules

for

the

Funds

do

not

contain

breakpoints

that

reduce

the

fee

rate

on

assets

above

specified

levels.

The

Board

recognized

that

breakpoints

may

be

an

appropriate

way

for

the

Manager

to

share

its

economies

of

scale,

if

any,

with

Funds

that

have

substantial

assets.

The

Board

found

there

was

no

uniform

methodology

for

establishing

breakpoints

that

give

effect

to

Fund-specific

services

provided

by

the

Manager.

The

Board

noted

that

in

the

fund

industry

as

a

whole,

as

well

as

among

funds

similar

to

the

Funds,

there

is

no

uniformity

or

pattern

in

the

fees

and

asset

levels

at

which

breakpoints

(if

any)

apply.

Depending

on

the

age,

size,

and

other

characteristics

of

a

particular

fund

and

its

manager’s

cost

structure,

different

conclusions

can

be

drawn

as

to

whether

there

are

economies

of

scale

to

be

realized

at

any

particular

level

of

assets,

notwithstanding

the

intuitive

conclusion

that

such

economies

exist,

or

will

be

realized

at

some

level

of

total

assets.

Moreover,

because

different

managers

have

different

cost

structures

and

service

models,

it

is

difficult

to

draw

meaningful

167

conclusions

from

the

breakpoints

that

may

have

been

adopted

by

other

funds.

The

Board

also

noted

that

the

advisory

agreements

for

many

funds

do

not

have

breakpoints

at

all,

or

if

breakpoints

exist,

they

may

be

at

asset

levels

significantly

greater

than

those

of

the

individual

Funds.

The

Board

noted

that

the

total

assets

in

all

of

the

Funds,

as

of

June

30,

2024,

were

approximately

$8.8

billion

and

that

the

largest

Fund,

the

AZL

MVP

Growth

Index

Strategy

Fund,

had

assets

of

approximately

$2.0

billion.

The

Board

noted

that

the

Manager

has

agreed

to

temporarily

limit

Fund

expenses

under

the

Expense

Limitation

Agreement,

which

has

the

effect

of

reducing

expenses

similar

to

implementation

of

advisory

fee

breakpoints.

The

Manager

has

committed

to

continue

to

consider

the

continuation

of

expense

limits

and/or

advisory

fee

breakpoints

as

Fund

assets

change.

The

Board

receives

quarterly

reports

on

the

level

of

Fund

assets.

The

Board

expects

to

continue

to

consider:

(a)

the

extent

to

which

economies

of

scale

have

been

realized,

and

(b)

whether

the

advisory

fee

should

be

modified,

either

in

connection

with

the

next

renewal

of

the

Management

Agreement

or

by

modifying

the

Expense

Limitation

Agreement,

to

reflect

such

economies

of

scale,

if

any.

Having

taken

these

factors

into

account,

the

Board

concluded

that

the

absence

of

breakpoints

in

the

Funds’

advisory

fee

rate

schedules

was

acceptable

under

each

Fund’s

circumstances.

In

conclusion,

after

full

consideration

of

the

above

factors,

as

well

as

such

other

factors

as

each

member

of

the

Board

considered

instructive

in

evaluating

the

Management

Agreement,

the

Board

concluded

that

the

advisory

fees

were

reasonable,

and

that

the

continuation

of

the

Management

Agreement

was

in

the

best

interest

of

the

Funds.

ANNRPT1224

02/25

The

Allianz

VIP

Fund

of

Funds

are

distributed

by

Allianz

Life

Financial

Services,

LLC.

These

Funds

are

not

FDIC

Insured.

(b)           The Financial Highlights are included as part of the Financial Statements filed under Item 7(a) of this Form.

Item 8. Changes in and Disagreements with Accountants for Open-End Management Investment Companies.

Changes in and disagreements with accountants, if any, are included as part of the Financial Statements filed under Item 7(a) of this Form.

Item 9. Proxy Disclosures for Open-End Management Investment Companies.

Proxy disclosures, if any, are included as part of the Financial Statements filed under Item 7(a) of this Form.

Item 10. Renumeration Paid to Directors, Officers, and Others of Open-End Management Investment Companies.

Renumeration paid to Directors/Trustees, Officers, and others, if any, are included as part of the Financial Statements filed under Item 7(a) of this Form.

Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.

Approval of the Investment Advisory Contract is included as part of the Financial Statements filed under Item 7(a) of this Form.

Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 13. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 15. Submission of Matters to a Vote of Security Holders.

Not applicable.

Item 16. Controls and Procedures.

(a)           The Registrant’s principal executive officer and principal financial officer have concluded, based on their evaluation of the Registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this report, that those disclosure controls and procedures provide reasonable assurance that material information required to be disclosed by the Registrant on this report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.

(b)           There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) 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 17. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 18. Recovery of Erroneously Awarded Compensation.

                Not applicable. 

Item 19. Exhibits.

(a)(1)      The Code of Ethics is attached hereto. 

(a)(2)      Not applicable. 

(a)(3)      The certifications required by Rule 30a-2(a) of the Investment Company Act of 1940 are attached hereto.

(b)           The certifications required by Rule 30a-2(b) of the Investment Company Act of 1940 and Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto.

SIGNATURES

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

(Registrant)  Allianz Variable Insurance Products Fund of Funds Trust                 

By (Signature and Title)   /s/ Brian Muench                                                                 

                                                Brian Muench, Principal Executive Officer

Date  February 20, 2025                                   

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

By (Signature and Title) /s/ Brian Muench                                                                                   

                                                Brian Muench, Principal Executive Officer

Date February 20, 2025                                                   

By (Signature and Title) /s/ Monique Labbe                                                                                                                                 

                                                Monique Labbe, Principal Financial Officer

Date February 20, 2025