N-CSR 1 f10070d1.htm COLUMBIA FUND SERIES TRUST II Columbia Fund Series Trust II

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 

FORM N-CSR 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES 

Investment Company Act file number811-21852 

Columbia Funds Series Trust II 

(Exact name of registrant as specified in charter) 

290 Congress Street 

Boston, MA 02210

(Address of principal executive offices) (Zip code)
 

  

Daniel J. Beckman 

c/o Columbia Management Investment Advisers, LLC 

290 Congress Street 

Boston, MA 02210 

  

Ryan C. Larrenaga, Esq. 

c/o Columbia Management Investment Advisers, LLC 

290 Congress Street 

Boston, MA 02210
  
(Name and address of agent for service)
 

  

Registrant's telephone number, including area code:   (800) 345-6611 

Date of fiscal year end:  August 31 

Date of reporting period:  August 31, 2021 

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles. 

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100  F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507. 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Item 1. Reports to Stockholders. 


Annual Report
August 31, 2021
Columbia Emerging Markets Bond Fund
Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of the Fund’s annual and semiannual shareholder reports like this one are no longer sent by mail, unless you specifically requested paper copies of the reports. Instead, the reports are made available on the Fund’s website (columbiathreadneedleus.com/investor/), and each time a report is posted you will be notified by mail and provided with a website address to access the report.
If you have already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Fund electronically at any time by contacting your financial intermediary (such as a broker-dealer or bank) or, for Fund shares held directly with the Fund, by calling 800.345.6611 or by enrolling in “eDelivery” by logging into your account at columbiathreadneedleus.com/investor/.
You may elect to receive all future shareholder reports in paper free of charge. If you invest through a financial intermediary, you can contact your financial intermediary to request that you continue receiving paper copies of your shareholder reports. If you invest directly with the Fund, you can call 800.345.6611 to let the Fund know you wish to continue receiving paper copies of your shareholder reports. Your election to receive paper reports will apply to all Columbia Funds held in your account if you invest through a financial intermediary or all Columbia Funds held with the fund complex if you invest directly with the Fund.
Not Federally Insured • No Financial Institution Guarantee • May Lose Value

Table of Contents
If you elect to receive the shareholder report for Columbia Emerging Markets Bond Fund (the Fund) in paper, mailed to you, the Fund mails one shareholder report to each shareholder address, unless such shareholder elects to receive shareholder reports from the Fund electronically via e-mail or by having a paper notice mailed to you (Postcard Notice) that your Fund’s shareholder report is available at the Columbia funds’ website (columbiathreadneedleus.com/investor/). If you would like more than one report in paper to be mailed to you, or would like to elect to receive reports via e-mail or access them through Postcard Notice, please call shareholder services at 800.345.6611 and additional reports will be sent to you.
Proxy voting policies and procedures
The policy of the Board of Trustees is to vote the proxies of the companies in which the Fund holds investments consistent with the procedures as stated in the Statement of Additional Information (SAI). You may obtain a copy of the SAI without charge by calling 800.345.6611; contacting your financial intermediary; visiting columbiathreadneedleus.com/investor/; or searching the website of the Securities and Exchange Commission (SEC) at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities is filed with the SEC by August 31st for the most recent 12-month period ending June 30th of that year, and is available without charge by visiting columbiathreadneedleus.com/investor/, or searching the website of the SEC at sec.gov.
Quarterly schedule of investments
The Fund files a complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-PORT. The Fund’s Form N-PORT filings are available on the SEC’s website at sec.gov. The Fund’s complete schedule of portfolio holdings, as filed on Form N-PORT, can also be obtained without charge, upon request, by calling 800.345.6611.
Additional Fund information
For more information about the Fund, please visit columbiathreadneedleus.com/investor/ or call 800.345.6611. Customer Service Representatives are available to answer your questions Monday through Friday from 8 a.m. to 7 p.m. Eastern time.
Fund investment manager
Columbia Management Investment Advisers, LLC (the Investment Manager)
290 Congress Street
Boston, MA 02210
Fund distributor
Columbia Management Investment Distributors, Inc.
290 Congress Street
Boston, MA 02210
Fund transfer agent
Columbia Management Investment Services Corp.
P.O. Box 219104
Kansas City, MO 64121-9104
Columbia Emerging Markets Bond Fund  |  Annual Report 2021

Fund at a Glance
Investment objective
The Fund seeks to provide shareholders with high total return through current income and, secondarily, through capital appreciation.
Portfolio management
Adrian Hilton
Lead Portfolio Manager
Managed Fund since October 2020
Christopher Cooke
Portfolio Manager
Managed Fund since 2017
Average annual total returns (%) (for the period ended August 31, 2021)
    Inception 1 Year 5 Years 10 Years
Class A Excluding sales charges 02/16/06 5.42 3.77 4.28
  Including sales charges   0.44 2.77 3.78
Advisor Class* 03/19/13 5.67 4.02 4.51
Class C Excluding sales charges 02/16/06 4.66 2.99 3.51
  Including sales charges   3.66 2.99 3.51
Institutional Class 09/27/10 5.67 4.02 4.56
Institutional 2 Class* 11/08/12 5.90 4.17 4.66
Institutional 3 Class* 11/08/12 5.86 4.21 4.71
Class R* 11/16/11 5.15 3.49 4.03
JPMorgan Emerging Markets Bond Index-Global   4.20 4.05 5.23
Returns for Class A shares are shown with and without the maximum initial sales charge of 4.75%. Returns for Class C shares are shown with and without the 1.00% contingent deferred sales charge for the first year only. The Fund’s other share classes are not subject to sales charges and have limited eligibility. Please see the Fund’s prospectus for details. Performance for different share classes will vary based on differences in sales charges and fees associated with each share class. All results shown assume reinvestment of distributions during the period. Returns do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or on the redemption of Fund shares. Performance results reflect the effect of any fee waivers or reimbursements of Fund expenses by Columbia Management Investment Advisers, LLC and/or any of its affiliates. Absent these fee waivers or expense reimbursement arrangements, performance results would have been lower.
The performance information shown represents past performance and is not a guarantee of future results. The investment return and principal value of your investment will fluctuate so that your shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by contacting your financial intermediary, visiting columbiathreadneedleus.com/investor/ or calling 800.345.6611.
* The returns shown for periods prior to the share class inception date (including returns for the Life of the Fund, if shown, which are since Fund inception) include the returns of the Fund’s oldest share class. Since the Fund launched more than one share class at its inception, Class A shares were used. These returns are adjusted to reflect any higher class-related operating expenses of the newer share classes, as applicable. Please visit columbiathreadneedleus.com/investor/investment-products/mutual-funds/appended-performance for more information.
The JPMorgan Emerging Markets Bond Index-Global is based on U.S. dollar-denominated debt instruments issued by emerging market sovereign and quasi-sovereign entities, such as Brady bonds, Eurobonds and loans, and reflects reinvestment of all distributions and changes in market prices.
Indices are not available for investment, are not professionally managed and do not reflect sales charges, fees, brokerage commissions, taxes or other expenses of investing. Securities in the Fund may not match those in an index.
Fund performance may be significantly negatively impacted by the economic impact of the COVID-19 pandemic. The COVID-19 pandemic has adversely impacted economies and capital markets around the world in ways that will likely continue and may change in unforeseen ways for an indeterminate period. The COVID-19 pandemic may exacerbate pre-existing political, social and economic risks in certain countries and globally.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
3

Fund at a Glance   (continued)
Performance of a hypothetical $10,000 investment (August 31, 2011 — August 31, 2021)
The chart above shows the change in value of a hypothetical $10,000 investment in Class A shares of Columbia Emerging Markets Bond Fund during the stated time period, and does not reflect the deduction of taxes that a shareholder may pay on Fund distributions or on the redemption of Fund shares.
4 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Fund at a Glance   (continued)
Quality breakdown (%) (at August 31, 2021)
AAA rating 1.2
AA rating 8.8
A rating 7.1
BBB rating 23.8
BB rating 28.1
B rating 16.5
CCC rating 7.8
C rating 0.2
Not rated 6.5
Total 100.0
Percentages indicated are based upon total fixed income investments.
Bond ratings apply to the underlying holdings of the Fund and not the Fund itself and are divided into categories ranging from highest to lowest credit quality, determined by using the middle rating of Moody’s, S&P and Fitch, after dropping the highest and lowest available ratings. When ratings are available from only two rating agencies, the lower rating is used. When a rating is available from only one rating agency, that rating is used. When a bond is not rated by any rating agency, it is designated as “Not rated.” Credit quality ratings assigned by a rating agency are subjective opinions, not statements of fact, and are subject to change, including daily. The ratings assigned by credit rating agencies are but one of the considerations that the Investment Manager and/or Fund’s subadviser incorporates into its credit analysis process, along with such other country-specific factors as the direction and stance of fiscal policy, balance of payment trends and commodity prices, the level and structure of public debt as well as political stability and commitment to strong macroeconomic policies.
Country breakdown (%) (at August 31, 2021)
Angola 2.0
Argentina 1.7
Belarus 0.3
Brazil 2.7
Canada 0.4
Chile 0.4
China 1.7
Colombia 5.0
Costa Rica 0.4
Croatia 0.6
Dominican Republic 3.6
Ecuador 1.4
Egypt 4.3
El Salvador 0.2
Ghana 2.4
Guatemala 1.0
Hong Kong 0.9
India 1.4
Indonesia 7.0
Isle of Man 0.2
Ivory Coast 1.7
Jersey 1.2
Kazakhstan 2.3
Malaysia 0.5
Mexico 11.5
Netherlands 0.1
Oman 0.4
Pakistan 0.5
Panama 0.9
Paraguay 1.0
Philippines 1.5
Qatar 5.6
Romania 0.6
Russian Federation 4.7
Saudi Arabia 4.2
Singapore 0.3
South Africa 2.3
Sri Lanka 0.3
Turkey 4.2
Ukraine 3.2
United Arab Emirates 3.5
United States(a) 8.3
Venezuela 0.5
Virgin Islands 3.1
Total 100.0
    
(a) Includes investments in Money Market Funds.
Country breakdown is based primarily on issuer’s place of organization/incorporation. Percentages indicated are based upon total investments excluding investments in derivatives, if any. The Fund’s portfolio composition is subject to change.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
5

Manager Discussion of Fund Performance
At August 31, 2021, approximately 42.53% of the Fund’s shares were owned in the aggregate by affiliated funds-of-funds managed by Columbia Management Investment Advisers, LLC (the Investment Manager). As a result of asset allocation decisions by the Investment Manager, it is possible that the Fund may experience relatively large purchases or redemptions from affiliated funds-of-funds. The Investment Manager seeks to minimize the impact of these transactions by structuring them over a reasonable period of time. The Fund may experience increased expenses as it buys and sells securities as a result of purchases or redemptions by affiliated funds-of-funds.
For the 12-month period that ended August 31, 2021, the Fund’s Class A shares returned 5.42% excluding sales charges. The Fund outperformed its benchmark, the JPMorgan Emerging Markets Bond Index-Global, which returned 4.20% for the same period.
Market overview
The 12 months ended August 31, 2021 proved a second consecutive tumultuous annual period for global markets. Emerging market bonds performed well during the first few months of the annual period, as landmark results in COVID-19 vaccine trials and the subsequent rollout of inoculations fueled hopes of a global economic recovery. The resulting strength in commodity prices further supported emerging market countries that export commodities. Indications that major central banks would keep monetary policy accommodative also proved beneficial for emerging markets debt during these months. However, expectations subsequently rose that improving economies could push inflation higher and thereby lead the U.S. Federal Reserve (the Fed) and other major central banks to pull back their stimulus measures. These concerns triggered a sharp rise in core fixed-income yields during the first quarter of 2021, and the U.S. dollar also appreciated — factors that diminished the attractiveness of emerging market bonds.
As 2021 progressed, investor sentiment was impacted by the emergence of more contagious strains of COVID-19, most notably the Delta variant, which, in turn, led to rising pandemic caseloads in many countries as well as lockdowns being reimposed. These fears were particularly painful for emerging market countries, where COVID-19 vaccination rates lagged those of developed nations. The resulting commodity demand worries were further headwinds for the emerging markets. Meanwhile, rising inflation led many emerging market central banks to increase their respective benchmark policy rates and/or become more hawkish in their rhetoric while rising prices of food resulted in street protests in some emerging market countries. Political uncertainty also rose in many emerging market countries due to the pandemic and governments’ struggles to administer COVID-19 vaccines.
In the last two months of the annual period, global markets encountered more volatility on increased worries that the spread of the Delta variant could threaten the economic recovery. Emerging markets debt assets were further impacted by news of a regulatory crackdown by the Chinese government on a number of sectors and on expectations that this could cool the country’s demand for commodities. Geopolitical concerns also heightened owing to the turbulent withdrawal of American troops from Afghanistan. Partially offsetting these headwinds was the dovish signaling by developed market central banks, with the U.S. Fed stating that the heightened inflation was a transitory phenomenon and that any policy rate tightening remained a distant prospect, even after asset purchase tapering commences. The progression of additional fiscal support programs from the U.S. Biden administration and the accelerating pace of the economic recovery in Europe and the U.S. also helped provide a backstop for risk assets, including emerging markets debt.
The Fund’s notable contributors during the period
The Fund’s performance during the annual period was driven most by security selection, particularly holdings in Indonesia, which contributed positively. In Indonesia, we favored exposure to corporate bonds with robust cash flow generation, where spread valuations appeared attractive. A strong price environment for raw materials was helpful to the performance of these names.
Security selection was also effective among holdings in the Philippines, Brazil, China, Mexico and the United Arab Emirates.
Among the Fund’s best performing individual holdings were those in Pemex, or Petroleos Mexicanos, which is a Mexican government institution engaged in the exploration production, processing, refining and transportation of crude oil and natural gas and their derivatives. These holdings were aided by a tightening in the spread, or yield differential, of these bonds to the sovereign bond, as emerging markets debt struggled in the first quarter of 2021.
6 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Manager Discussion of Fund Performance  (continued)
The commodity boom during the annual period was especially supportive for effective country positioning in Angola, Ivory Coast and Ghana, each of which contributed positively to Fund performance.
Country positioning in the Dominican Republic, Peru, Venezuela and Sri Lanka also boosted Fund returns during the annual period.
Local rates and currency positioning added value, albeit modestly, to Fund performance, led by holdings of Egyptian government bonds.
The Fund’s notable detractors during the period
The Fund’s overweight to Colombia detracted most from relative results, as spreads widened amid social unrest and the troubled passage of a tax reform bill there, leading to a credit rating downgrade for the country’s debt.
Country positioning in Oman and Nigeria also detracted during the annual period.
Security selection among holdings in Argentina and Chile dampened Fund results.
Overall, duration/curve positioning detracted slightly from the Fund’s relative performance during the annual period.
Market risk may affect a single issuer, sector of the economy, industry or the market as a whole. Foreign investments subject the Fund to risks, including political, economic, market, social and others within a particular country, as well as to currency instabilities and less stringent financial and accounting standards generally applicable to U.S. issuers. Risks are enhanced for emerging market and sovereign debt issuers. Fixed-income securities present issuer default risk. A rise in interest rates may result in a price decline of fixed-income instruments held by the Fund, negatively impacting its performance and NAV. Falling rates may result in the Fund investing in lower yielding debt instruments, lowering the Fund’s income and yield. These risks may be heightened for longer maturity and duration securities. Non-investment-grade (high-yield or junk) securities present greater price volatility and more risk to principal and income than higher rated securities. Prepayment and extension risk exists because the timing of payments on a loan, bond or other investment may accelerate when interest rates fall or decelerate when interest rates rise which may reduce investment opportunities and potential returns. As a non-diversified fund, fewer investments could have a greater affect on performance. Market or other (e.g., interest rate) environments may adversely affect the liquidity of Fund investments, negatively impacting their price. Generally, the less liquid the market at the time the Fund sells a holding, the greater the risk of loss or decline of value to the Fund. See the Fund’s prospectus for more information on these and other risks.
The views expressed in this report reflect the current views of the respective parties who contributed to this report. These views are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict, so actual outcomes and results may differ significantly from the views expressed. These views are subject to change at any time based upon economic, market or other conditions and the respective parties disclaim any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Columbia fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any particular Columbia fund. References to specific securities should not be construed as a recommendation or investment advice.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
7

Understanding Your Fund’s Expenses
(Unaudited)
As an investor, you incur two types of costs. There are shareholder transaction costs, which generally include sales charges on purchases and may include redemption fees. There are also ongoing fund costs, which generally include management fees, distribution and/or service fees, and other fund expenses. The following information is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to help you compare these costs with the ongoing costs of investing in other mutual funds.
Analyzing your Fund’s expenses
To illustrate these ongoing costs, we have provided examples and calculated the expenses paid by investors in each share class of the Fund during the period. The actual and hypothetical information in the table is based on an initial investment of $1,000 at the beginning of the period indicated and held for the entire period. Expense information is calculated two ways and each method provides you with different information. The amount listed in the “Actual” column is calculated using the Fund’s actual operating expenses and total return for the period. You may use the Actual information, together with the amount invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the results by the expenses paid during the period under the “Actual” column. The amount listed in the “Hypothetical” column assumes a 5% annual rate of return before expenses (which is not the Fund’s actual return) and then applies the Fund’s actual expense ratio for the period to the hypothetical return. You should not use the hypothetical account values and expenses to estimate either your actual account balance at the end of the period or the expenses you paid during the period. See “Compare with other funds” below for details on how to use the hypothetical data.
Compare with other funds
Since all mutual funds are required to include the same hypothetical calculations about expenses in shareholder reports, you can use this information to compare the ongoing cost of investing in the Fund with other funds. To do so, compare the hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. As you compare hypothetical examples of other funds, it is important to note that hypothetical examples are meant to highlight the ongoing costs of investing in a fund only and do not reflect any transaction costs, such as sales charges, or redemption or exchange fees. Therefore, the hypothetical calculations are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. If transaction costs were included in these calculations, your costs would be higher.
March 1, 2021 — August 31, 2021
  Account value at the
beginning of the
period ($)
Account value at the
end of the
period ($)
Expenses paid during
the period ($)
Fund’s annualized
expense ratio (%)
  Actual Hypothetical Actual Hypothetical Actual Hypothetical Actual
Class A 1,000.00 1,000.00 1,036.10 1,019.77 5.81 5.76 1.12
Advisor Class 1,000.00 1,000.00 1,037.40 1,021.05 4.52 4.48 0.87
Class C 1,000.00 1,000.00 1,032.50 1,015.95 9.68 9.61 1.87
Institutional Class 1,000.00 1,000.00 1,037.40 1,021.05 4.52 4.48 0.87
Institutional 2 Class 1,000.00 1,000.00 1,038.00 1,021.66 3.89 3.86 0.75
Institutional 3 Class 1,000.00 1,000.00 1,038.30 1,021.96 3.58 3.55 0.69
Class R 1,000.00 1,000.00 1,034.80 1,018.50 7.10 7.05 1.37
Expenses paid during the period are equal to the annualized expense ratio for each class as indicated above, multiplied by the average account value over the period and then multiplied by the number of days in the Fund’s most recent fiscal half year and divided by 365.
Expenses do not include fees and expenses incurred indirectly by the Fund from its investment in underlying funds, including affiliated and non-affiliated pooled investment vehicles, such as mutual funds and exchange-traded funds.
8 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Portfolio of Investments
August 31, 2021
(Percentages represent value of investments compared to net assets)
Investments in securities
Corporate Bonds & Notes 8.7%
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Colombia 0.8%
Millicom International Cellular SA(a)
01/15/2028 5.125%   1,215,000 1,268,206
03/25/2029 6.250%   1,260,000 1,383,274
03/25/2029 6.250%   180,000 197,610
Total 2,849,090
Egypt 0.2%
Egypt Government International Bond(a)
02/16/2061 7.500%   981,000 930,818
Guatemala 0.4%
Energuate Trust(a)
05/03/2027 5.875%   900,000 938,534
05/03/2027 5.875%   550,000 573,548
Total 1,512,082
Hong Kong 0.9%
Lenovo Group Ltd.(a)
04/24/2025 5.875%   2,850,000 3,236,872
India 0.5%
Adani Ports & Special Economic Zone Ltd.(a)
08/04/2027 4.200%   1,614,000 1,713,150
Isle of Man 0.2%
AngloGold Ashanti Holdings PLC
10/01/2030 3.750%   565,000 592,568
Jersey 1.2%
Galaxy Pipeline Assets Bidco Ltd.(a)
03/31/2036 2.625%   1,780,000 1,779,277
09/30/2040 2.940%   2,666,000 2,712,713
Total 4,491,990
Netherlands 0.2%
Mong Duong Finance Holdings BV(a)
05/07/2029 5.125%   570,000 571,753
Pakistan 0.4%
Pakistan Government International Bond(a)
04/08/2031 7.375%   1,300,000 1,321,278
Philippines 0.7%
SMC Global Power Holdings Corp.(a),(b)
12/31/2049 5.700%   2,600,000 2,634,254
Singapore 0.3%
Geo Coal International Pte Ltd.(a)
10/04/2022 8.000%   1,307,000 1,156,510
Corporate Bonds & Notes (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Ukraine 0.5%
MHP Lux SA(a)
04/03/2026 6.950%   1,700,000 1,803,986
Virgin Islands 2.4%
Gold Fields Orogen Holdings BVI Ltd.(a)
05/15/2029 6.125%   1,900,000 2,281,608
JGSH Philippines Ltd.(a)
07/09/2030 4.125%   6,100,000 6,563,664
Total 8,845,272
Total Corporate Bonds & Notes
(Cost $30,254,238)
31,659,623
Foreign Government Obligations(c),(d) 82.0%
Angola 2.0%
Angolan Government International Bond(a)
11/26/2029 8.000%   2,463,000 2,599,606
05/08/2048 9.375%   4,350,000 4,632,991
Total 7,232,597
Argentina 1.7%
Argentine Republic Government International Bond(b)
07/09/2035 1.125%   17,001,998 5,894,200
07/09/2046 1.125%   610,000 213,851
Total 6,108,051
Belarus 0.3%
Republic of Belarus International Bond(a)
02/28/2030 6.200%   1,250,000 1,093,853
Brazil 2.7%
Brazilian Government International Bond
05/30/2029 4.500%   1,200,000 1,271,344
06/12/2030 3.875%   7,200,000 7,232,213
01/27/2045 5.000%   1,300,000 1,284,726
Total 9,788,283
Canada 0.4%
MEGlobal Canada ULC(a)
05/18/2025 5.000%   1,300,000 1,452,199
Chile 0.4%
Chile Government International Bond
01/25/2050 3.500%   1,500,000 1,610,166
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
9

Portfolio of Investments  (continued)
August 31, 2021
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
China 1.7%
China Government Bond
11/21/2029 3.130% CNY 100,000 15,691
State Grid Overseas Investment 2016 Ltd.(a)
05/04/2027 3.500%   1,250,000 1,382,494
Syngenta Finance NV(a)
04/24/2028 5.182%   4,200,000 4,799,752
Total 6,197,937
Colombia 4.2%
Colombia Government International Bond
01/30/2030 3.000%   6,600,000 6,471,734
04/15/2031 3.125%   7,300,000 7,136,244
04/22/2032 3.250%   1,652,000 1,614,249
Total 15,222,227
Costa Rica 0.4%
Costa Rica Government International Bond(a)
04/04/2044 7.000%   1,500,000 1,551,289
Croatia 0.6%
Croatia Government International Bond(a)
01/26/2024 6.000%   767,000 862,783
Hrvatska Elektroprivreda(a)
10/23/2022 5.875%   1,290,000 1,370,194
Total 2,232,977
Dominican Republic 3.6%
Dominican Republic International Bond(a)
06/05/2026 9.750% DOP 124,450,000 2,568,245
01/30/2030 4.500%   2,489,000 2,589,373
09/23/2032 4.875%   1,050,000 1,102,392
04/30/2044 7.450%   3,400,000 4,180,248
06/05/2049 6.400%   1,300,000 1,427,792
01/30/2060 5.875%   1,050,000 1,072,020
Total 12,940,070
Ecuador 1.4%
Ecuador Government International Bond(a),(b)
07/31/2030 5.000%   2,000,000 1,787,818
07/31/2035 1.000%   3,000,000 2,155,313
07/31/2040 0.500%   1,899,850 1,218,200
Total 5,161,331
Egypt 3.0%
Egypt Government International Bond(a)
04/16/2030 5.625% EUR 1,300,000 1,538,813
04/11/2031 6.375% EUR 1,700,000 2,083,870
01/15/2032 7.053%   1,400,000 1,452,060
05/29/2032 7.625%   1,815,000 1,945,330
02/21/2048 7.903%   3,460,000 3,436,385
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
02/21/2048 7.903%   400,000 397,270
Total 10,853,728
El Salvador 0.2%
El Salvador Government International Bond(a)
01/18/2027 6.375%   800,000 694,420
Ghana 2.4%
Ghana Government International Bond(a)
02/11/2027 6.375%   700,000 684,956
03/26/2032 8.125%   1,700,000 1,706,187
02/11/2035 7.875%   1,800,000 1,732,931
05/07/2042 8.875%   1,100,000 1,097,338
03/26/2051 8.950%   3,400,000 3,344,436
Total 8,565,848
Guatemala 0.5%
Guatemala Government Bond(a)
06/01/2050 6.125%   1,650,000 1,981,286
India 0.9%
Export-Import Bank of India(a)
01/15/2030 3.250%   3,200,000 3,293,600
Indonesia 7.0%
Indonesia Government International Bond(a)
01/15/2045 5.125%   2,300,000 2,891,718
Indonesia Government International Bond
10/30/2049 3.700%   3,500,000 3,729,387
Perusahaan Penerbit SBSN Indonesia III(a)
06/23/2025 2.300%   1,145,000 1,192,998
PT Indonesia Asahan Aluminium Persero(a)
05/15/2030 5.450%   4,485,000 5,237,678
11/15/2048 6.757%   4,300,000 5,654,289
PT Pelabuhan Indonesia II(a)
05/05/2045 5.375%   1,350,000 1,625,954
PT Perusahaan Listrik Negara(a)
07/17/2049 4.875%   1,500,000 1,651,050
PT Saka Energi Indonesia(a)
05/05/2024 4.450%   3,500,000 3,301,080
Total 25,284,154
Ivory Coast 1.7%
Ivory Coast Government International Bond(a)
10/17/2031 5.875% EUR 3,440,000 4,431,740
06/15/2033 6.125%   1,650,000 1,806,893
Total 6,238,633
 
The accompanying Notes to Financial Statements are an integral part of this statement.
10 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Portfolio of Investments  (continued)
August 31, 2021
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Kazakhstan 2.3%
KazMunayGas National Co. JSC(a)
04/19/2027 4.750%   2,200,000 2,494,971
04/24/2030 5.375%   3,800,000 4,548,241
04/19/2047 5.750%   1,050,000 1,301,461
Total 8,344,673
Malaysia 0.5%
Petronas Capital Ltd.(a)
04/21/2030 3.500%   1,795,000 1,977,434
Mexico 11.5%
Comision Federal de Electricidad(a)
07/26/2033 3.875%   3,243,000 3,254,149
Mexican Bonos
05/31/2029 8.500% MXN 61,500,000 3,351,984
Mexico Government International Bond
04/16/2030 3.250%   5,250,000 5,526,998
01/15/2047 4.350%   1,800,000 1,919,040
02/10/2048 4.600%   1,600,000 1,753,304
Petroleos Mexicanos
11/12/2026 7.470% MXN 50,100,000 2,217,007
03/13/2027 6.500%   2,000,000 2,115,142
02/12/2028 5.350%   3,630,000 3,609,819
01/23/2029 6.500%   200,000 207,358
01/23/2030 6.840%   5,660,000 5,891,862
01/28/2031 5.950%   5,000,000 4,898,250
01/23/2045 6.375%   5,300,000 4,537,873
09/21/2047 6.750%   800,000 702,769
01/23/2050 7.690%   1,765,000 1,684,697
Total 41,670,252
Oman 0.4%
Oman Government International Bond(a)
01/25/2031 6.250%   1,339,000 1,459,803
Pakistan 0.1%
Pakistan Government International Bond(a)
09/30/2025 8.250%   419,000 456,187
Panama 0.9%
Panama Government International Bond
03/16/2025 3.750%   900,000 974,693
09/29/2032 2.252%   2,200,000 2,146,529
Total 3,121,222
Paraguay 1.0%
Paraguay Government International Bond(a)
08/11/2044 6.100%   2,000,000 2,528,939
03/30/2050 5.400%   925,000 1,103,549
Total 3,632,488
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Philippines 0.8%
Philippine Government International Bond
07/06/2046 3.200%   2,655,000 2,737,154
Qatar 5.6%
Ooredoo International Finance Ltd.(a)
04/08/2031 2.625%   1,063,000 1,095,820
Qatar Government International Bond(a)
04/23/2028 4.500%   700,000 826,804
03/14/2029 4.000%   4,700,000 5,418,546
04/16/2030 3.750%   3,100,000 3,534,896
04/23/2048 5.103%   2,350,000 3,169,654
03/14/2049 4.817%   2,550,000 3,336,458
Qatar Petroleum(a)
07/12/2031 2.250%   2,763,000 2,785,172
Total 20,167,350
Romania 0.6%
Romanian Government International Bond(a)
02/14/2051 4.000%   2,042,000 2,168,514
Russian Federation 4.7%
Gazprom Neft OAO Via GPN Capital SA(a)
09/19/2022 4.375%   529,000 547,639
Gazprom PJSC via Gaz Finance PLC(a)
02/25/2030 3.250%   2,550,000 2,557,926
Russian Federal Bond - OFZ
03/12/2031 5.900% RUB 400,000,000 5,092,972
Russian Foreign Bond - Eurobond(a)
05/27/2026 4.750%   3,000,000 3,406,267
03/21/2029 4.375%   2,000,000 2,286,043
03/28/2035 5.100%   2,600,000 3,169,247
Total 17,060,094
Saudi Arabia 4.2%
KSA Sukuk Ltd.(a)
10/29/2029 2.969%   1,400,000 1,494,450
SA Global Sukuk Ltd.(a)
06/17/2031 2.694%   1,600,000 1,637,285
Saudi Government International Bond(a)
01/21/2055 3.750%   4,000,000 4,275,073
01/21/2055 3.750%   3,950,000 4,221,634
02/02/2061 3.450%   3,500,000 3,519,621
Total 15,148,063
South Africa 2.3%
Eskom Holdings SOC Ltd.(a)
02/11/2025 7.125%   2,300,000 2,436,144
08/10/2028 8.450%   1,800,000 2,050,793
 
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
11

Portfolio of Investments  (continued)
August 31, 2021
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Republic of South Africa Government International Bond
09/30/2029 4.850%   1,400,000 1,481,633
09/30/2049 5.750%   2,200,000 2,217,043
Total 8,185,613
Sri Lanka 0.3%
Sri Lanka Government International Bond(a)
05/11/2027 6.200%   1,000,000 647,603
03/28/2030 7.550%   750,000 481,857
Total 1,129,460
Turkey 4.2%
Turkey Government International Bond
03/22/2024 5.750%   1,500,000 1,563,158
04/14/2026 4.250%   1,350,000 1,318,430
03/25/2027 6.000%   2,000,000 2,068,667
02/17/2028 5.125%   4,900,000 4,857,299
04/26/2029 7.625%   2,400,000 2,680,866
05/30/2040 6.750%   1,573,000 1,582,671
01/14/2041 6.000%   1,200,000 1,116,267
Total 15,187,358
Ukraine 2.7%
Ukraine Government International Bond(a)
09/01/2023 7.750%   850,000 914,620
09/01/2026 7.750%   5,770,000 6,422,610
05/21/2029 6.876%   2,179,000 2,304,794
Ukraine Railways Via Shortline PLC(a)
09/15/2021 9.875%   90,000 90,217
Total 9,732,241
United Arab Emirates 3.6%
Abu Dhabi Government International Bond(a)
04/16/2030 3.125%   2,400,000 2,643,862
09/30/2049 3.125%   2,500,000 2,580,928
04/16/2050 3.875%   385,000 450,798
DP World Crescent Ltd.(a)
09/26/2028 4.848%   1,450,000 1,663,863
DP World PLC(a)
07/02/2037 6.850%   3,600,000 4,881,233
09/25/2048 5.625%   500,000 629,194
Total 12,849,878
Foreign Government Obligations(c),(d) (continued)
Issuer Coupon
Rate
  Principal
Amount ($)
Value ($)
Venezuela 0.5%
Petroleos de Venezuela SA(a),(e)
05/16/2024 0.000%   22,627,059 994,672
Venezuela Government International Bond(a),(e)
10/13/2024 0.000%   7,500,000 795,123
Total 1,789,795
Virgin Islands 0.7%
Sinopec Group Overseas Development 2017 Ltd.(a)
09/13/2027 3.250%   2,150,000 2,347,637
Total Foreign Government Obligations
(Cost $298,981,886)
296,667,865
Treasury Bills(c) 1.1%
Issuer Effective
Yield
  Principal
Amount ($)
Value ($)
Egypt 1.1%
Egypt Treasury Bills
11/23/2021 12.850% EGP 61,900,000 3,829,402
Total Treasury Bills
(Cost $3,837,135)
3,829,402
    
Money Market Funds 8.4%
  Shares Value ($)
Columbia Short-Term Cash Fund, 0.061%(f),(g) 30,288,157 30,285,129
Total Money Market Funds
(Cost $30,285,129)
30,285,129
Total Investments in Securities
(Cost $363,358,388)
362,442,019
Other Assets & Liabilities, Net   (843,965)
Net Assets $361,598,054
 
At August 31, 2021, securities and/or cash totaling $213,150 were pledged as collateral.
The accompanying Notes to Financial Statements are an integral part of this statement.
12 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Portfolio of Investments  (continued)
August 31, 2021
Investments in derivatives
Forward foreign currency exchange contracts
Currency to
be sold
Currency to
be purchased
Counterparty Settlement
date
Unrealized
appreciation ($)
Unrealized
depreciation ($)
112,300,000 MXN 5,481,269 USD Goldman Sachs International 10/20/2021 (73,086)
6,881,000 EUR 8,086,799 USD UBS 10/20/2021 (45,786)
Total       (118,872)
    
Short futures contracts
Description Number of
contracts
Expiration
date
Trading
currency
Notional
amount
Value/Unrealized
appreciation ($)
Value/Unrealized
depreciation ($)
U.S. Ultra Bond 10-Year Note (87) 12/2021 USD (12,877,359) (53,937)
Notes to Portfolio of Investments
(a) Represents privately placed and other securities and instruments exempt from Securities and Exchange Commission registration (collectively, private placements), such as Section 4(a)(2) and Rule 144A eligible securities, which are often sold only to qualified institutional buyers. At August 31, 2021, the total value of these securities amounted to $223,007,630, which represents 61.67% of total net assets.
(b) Represents a variable rate security with a step coupon where the rate adjusts according to a schedule for a series of periods, typically lower for an initial period and then increasing to a higher coupon rate thereafter. The interest rate shown was the current rate as of August 31, 2021.
(c) Principal amounts are denominated in United States Dollars unless otherwise noted.
(d) Principal and interest may not be guaranteed by a governmental entity.
(e) Represents securities that have defaulted on payment of interest. The Fund has stopped accruing interest on these securities. At August 31, 2021, the total value of these securities amounted to $1,789,795, which represents 0.49% of total net assets.
(f) The rate shown is the seven-day current annualized yield at August 31, 2021.
(g) As defined in the Investment Company Act of 1940, as amended, an affiliated company is one in which the Fund owns 5% or more of the company’s outstanding voting securities, or a company which is under common ownership or control with the Fund. The value of the holdings and transactions in these affiliated companies during the year ended August 31, 2021 are as follows:
    
Affiliated issuers Beginning
of period($)
Purchases($) Sales($) Net change in
unrealized
appreciation
(depreciation)($)
End of
period($)
Realized gain
(loss)($)
Dividends($) End of
period shares
Columbia Short-Term Cash Fund, 0.061%
  25,696,261 168,155,353 (163,566,485) 30,285,129 (2,485) 22,683 30,288,157
Currency Legend
CNY China Yuan Renminbi
DOP Dominican Republic Peso
EGP Egyptian Pound
EUR Euro
MXN Mexican Peso
RUB Russian Ruble
USD US Dollar
Fair value measurements
The Fund categorizes its fair value measurements according to a three-level hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs by prioritizing that the most observable input be used when available. Observable inputs are those that market participants would use in pricing an investment based on market data obtained from sources independent of the reporting entity. Unobservable inputs are those that reflect the Fund’s assumptions about the information market participants would use in pricing an investment. An investment’s level within the fair value hierarchy is based on the lowest level of any input that is deemed significant to the asset’s or liability’s fair value measurement. The input levels are not necessarily an indication of the risk or liquidity associated with investments at that level. For example, certain U.S. government securities are generally high quality and liquid, however, they are reflected as Level 2 because the inputs used to determine fair value may not always be quoted prices in an active market.
Fair value inputs are summarized in the three broad levels listed below:
Level 1 — Valuations based on quoted prices for investments in active markets that the Fund has the ability to access at the measurement date. Valuation adjustments are not applied to Level 1 investments.
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
13

Portfolio of Investments  (continued)
August 31, 2021
Fair value measurements  (continued)
Level 2 — Valuations based on other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risks, etc.).
Level 3 — Valuations based on significant unobservable inputs (including the Fund’s own assumptions and judgment in determining the fair value of investments).
Inputs that are used in determining fair value of an investment may include price information, credit data, volatility statistics, and other factors. These inputs can be either observable or unobservable. The availability of observable inputs can vary between investments, and is affected by various factors such as the type of investment, and the volume and level of activity for that investment or similar investments in the marketplace. The inputs will be considered by the Investment Manager, along with any other relevant factors in the calculation of an investment’s fair value. The Fund uses prices and inputs that are current as of the measurement date, which may include periods of market dislocations. During these periods, the availability of prices and inputs may be reduced for many investments. This condition could cause an investment to be reclassified between the various levels within the hierarchy.
Investments falling into the Level 3 category are primarily supported by quoted prices from brokers and dealers participating in the market for those investments. However, these may be classified as Level 3 investments due to lack of market transparency and corroboration to support these quoted prices. Additionally, valuation models may be used as the pricing source for any remaining investments classified as Level 3. These models may rely on one or more significant unobservable inputs and/or significant assumptions by the Investment Manager. Inputs used in valuations may include, but are not limited to, financial statement analysis, capital account balances, discount rates and estimated cash flows, and comparable company data.
Under the direction of the Fund’s Board of Trustees (the Board), the Investment Manager’s Valuation Committee (the Committee) is responsible for overseeing the valuation procedures approved by the Board. The Committee consists of voting and non-voting members from various groups within the Investment Manager’s organization, including operations and accounting, trading and investments, compliance, risk management and legal.
The Committee meets at least monthly to review and approve valuation matters, which may include a description of specific valuation determinations, data regarding pricing information received from approved pricing vendors and brokers and the results of Board-approved valuation control policies and procedures (the Policies). The Policies address, among other things, instances when market quotations are or are not readily available, including recommendations of third party pricing vendors and a determination of appropriate pricing methodologies; events that require specific valuation determinations and assessment of fair value techniques; securities with a potential for stale pricing, including those that are illiquid, restricted, or in default; and the effectiveness of third party pricing vendors, including periodic reviews of vendors. The Committee meets more frequently, as needed, to discuss additional valuation matters, which may include the need to review back-testing results, review time-sensitive information or approve related valuation actions. The Committee reports to the Board, with members of the Committee meeting with the Board at each of its regularly scheduled meetings to discuss valuation matters and actions during the period, similar to those described earlier.
The following table is a summary of the inputs used to value the Fund’s investments at August 31, 2021:
  Level 1 ($) Level 2 ($) Level 3 ($) Total ($)
Investments in Securities        
Corporate Bonds & Notes 31,659,623 31,659,623
Foreign Government Obligations 296,667,865 296,667,865
Treasury Bills 3,829,402 3,829,402
Money Market Funds 30,285,129 30,285,129
Total Investments in Securities 30,285,129 332,156,890 362,442,019
Investments in Derivatives        
Liability        
Forward Foreign Currency Exchange Contracts (118,872) (118,872)
Futures Contracts (53,937) (53,937)
Total 30,231,192 332,038,018 362,269,210
See the Portfolio of Investments for all investment classifications not indicated in the table.
The Fund’s assets assigned to the Level 2 input category are generally valued using the market approach, in which a security’s value is determined through reference to prices and information from market transactions for similar or identical assets.
Derivative instruments are valued at unrealized appreciation (depreciation).
The accompanying Notes to Financial Statements are an integral part of this statement.
14 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Statement of Assets and Liabilities
August 31, 2021
Assets  
Investments in securities, at value  
Unaffiliated issuers (cost $333,073,259) $332,156,890
Affiliated issuers (cost $30,285,129) 30,285,129
Foreign currency (cost $667,743) 672,649
Margin deposits on:  
Futures contracts 213,150
Receivable for:  
Capital shares sold 32,340
Dividends 1,405
Interest 4,220,968
Foreign tax reclaims 30,239
Variation margin for futures contracts 23,110
Prepaid expenses 10,699
Total assets 367,646,579
Liabilities  
Unrealized depreciation on forward foreign currency exchange contracts 118,872
Payable for:  
Investments purchased 5,622,246
Capital shares purchased 159,922
Foreign capital gains taxes deferred 1
Management services fees 5,939
Distribution and/or service fees 713
Transfer agent fees 29,802
Compensation of board members 78,961
Other expenses 32,069
Total liabilities 6,048,525
Net assets applicable to outstanding capital stock $361,598,054
Represented by  
Paid in capital 391,691,195
Total distributable earnings (loss) (30,093,141)
Total - representing net assets applicable to outstanding capital stock $361,598,054
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
15

Statement of Assets and Liabilities  (continued)
August 31, 2021
Class A  
Net assets $43,920,260
Shares outstanding 3,790,045
Net asset value per share $11.59
Maximum sales charge 4.75%
Maximum offering price per share (calculated by dividing the net asset value per share by 1.0 minus the maximum sales charge for Class A shares) $12.17
Advisor Class  
Net assets $3,180,486
Shares outstanding 273,956
Net asset value per share $11.61
Class C  
Net assets $4,364,515
Shares outstanding 379,307
Net asset value per share $11.51
Institutional Class  
Net assets $44,921,202
Shares outstanding 3,872,764
Net asset value per share $11.60
Institutional 2 Class  
Net assets $53,659,710
Shares outstanding 4,627,212
Net asset value per share $11.60
Institutional 3 Class  
Net assets $190,133,016
Shares outstanding 16,389,572
Net asset value per share $11.60
Class R  
Net assets $21,418,865
Shares outstanding 1,849,128
Net asset value per share $11.58
The accompanying Notes to Financial Statements are an integral part of this statement.
16 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Statement of Operations
Year Ended August 31, 2021
Net investment income  
Income:  
Dividends — affiliated issuers $22,683
Interest 16,509,796
Interfund lending 171
Foreign taxes withheld (56,000)
Total income 16,476,650
Expenses:  
Management services fees 2,139,819
Distribution and/or service fees  
Class A 110,403
Class C 66,085
Class R 104,356
Transfer agent fees  
Class A 81,410
Advisor Class 7,641
Class C 12,124
Institutional Class 92,902
Institutional 2 Class 30,657
Institutional 3 Class 11,924
Class R 38,495
Compensation of board members 37,543
Custodian fees 45,480
Printing and postage fees 30,475
Registration fees 114,008
Audit fees 36,252
Legal fees 12,189
Compensation of chief compliance officer 70
Other 34,857
Total expenses 3,006,690
Expense reduction (20)
Total net expenses 3,006,670
Net investment income 13,469,980
Realized and unrealized gain (loss) — net  
Net realized gain (loss) on:  
Investments — unaffiliated issuers 3,221,317
Investments — affiliated issuers (2,485)
Foreign currency translations 40,976
Forward foreign currency exchange contracts (548,529)
Futures contracts (284,128)
Net realized gain 2,427,151
Net change in unrealized appreciation (depreciation) on:  
Investments — unaffiliated issuers 4,325,379
Foreign currency translations (39,104)
Forward foreign currency exchange contracts 16,809
Futures contracts (95,677)
Foreign capital gains tax (1)
Net change in unrealized appreciation (depreciation) 4,207,406
Net realized and unrealized gain 6,634,557
Net increase in net assets resulting from operations $20,104,537
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
17

Statement of Changes in Net Assets
  Year Ended
August 31, 2021
Year Ended
August 31, 2020
Operations    
Net investment income $13,469,980 $16,198,646
Net realized gain 2,427,151 2,849,310
Net change in unrealized appreciation (depreciation) 4,207,406 (10,677,580)
Net increase in net assets resulting from operations 20,104,537 8,370,376
Distributions to shareholders    
Net investment income and net realized gains    
Class A (1,245,220) (1,536,100)
Advisor Class (125,875) (384,613)
Class C (132,955) (268,569)
Institutional Class (1,537,000) (2,167,199)
Institutional 2 Class (1,567,441) (1,202,923)
Institutional 3 Class (5,916,720) (6,484,372)
Class R (536,704) (654,730)
Total distributions to shareholders (11,061,915) (12,698,506)
Decrease in net assets from capital stock activity (8,705,719) (36,370,725)
Total increase (decrease) in net assets 336,903 (40,698,855)
Net assets at beginning of year 361,261,151 401,960,006
Net assets at end of year $361,598,054 $361,261,151
The accompanying Notes to Financial Statements are an integral part of this statement.
18 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Statement of Changes in Net Assets   (continued)
  Year Ended Year Ended
  August 31, 2021 August 31, 2020
  Shares Dollars ($) Shares Dollars ($)
Capital stock activity
Class A        
Subscriptions 1,064,981 12,085,590 611,449 6,646,050
Distributions reinvested 104,551 1,192,972 135,732 1,495,230
Redemptions (1,503,655) (17,091,440) (1,473,275) (16,019,676)
Net decrease (334,123) (3,812,878) (726,094) (7,878,396)
Advisor Class        
Subscriptions 69,227 795,126 268,364 2,968,905
Distributions reinvested 11,019 125,849 34,333 384,409
Redemptions (230,024) (2,635,741) (1,659,141) (17,741,397)
Net decrease (149,778) (1,714,766) (1,356,444) (14,388,083)
Class C        
Subscriptions 27,859 318,139 21,082 228,895
Distributions reinvested 11,659 132,010 22,366 245,444
Redemptions (451,149) (5,133,379) (444,857) (4,850,966)
Net decrease (411,631) (4,683,230) (401,409) (4,376,627)
Institutional Class        
Subscriptions 1,992,139 22,996,245 1,966,307 21,803,127
Distributions reinvested 133,374 1,522,825 192,303 2,123,015
Redemptions (2,818,199) (32,243,911) (3,913,431) (41,378,706)
Net decrease (692,686) (7,724,841) (1,754,821) (17,452,564)
Institutional 2 Class        
Subscriptions 1,660,766 19,024,213 3,067,977 33,744,385
Distributions reinvested 137,153 1,566,633 108,739 1,202,211
Redemptions (944,342) (10,810,111) (2,512,417) (26,642,333)
Net increase 853,577 9,780,735 664,299 8,304,263
Institutional 3 Class        
Subscriptions 2,764,670 31,862,382 1,393,213 15,404,862
Distributions reinvested 518,127 5,916,674 589,251 6,484,372
Redemptions (3,224,051) (37,477,501) (1,794,122) (19,746,092)
Net increase 58,746 301,555 188,342 2,143,142
Class R        
Subscriptions 217,275 2,484,325 182,147 1,960,741
Distributions reinvested 46,298 528,158 56,736 625,348
Redemptions (338,740) (3,864,777) (495,648) (5,308,549)
Net decrease (75,167) (852,294) (256,765) (2,722,460)
Total net decrease (751,062) (8,705,719) (3,642,892) (36,370,725)
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
19

Financial Highlights
The following table is intended to help you understand the Fund’s financial performance. Certain information reflects financial results for a single share of a class held for the periods shown. Per share net investment income (loss) amounts are calculated based on average shares outstanding during the period. Total return assumes reinvestment of all dividends and distributions, if any. Total return does not reflect payment of sales charges, if any. Total return and portfolio turnover are not annualized for periods of less than one year. The portfolio turnover rate is calculated without regard to purchase and sales transactions of short-term instruments and certain derivatives, if any. If such transactions were included, the Fund’s portfolio turnover rate may be higher.
  Net asset value,
beginning of
period
Net
investment
income
Net
realized
and
unrealized
gain (loss)
Total from
investment
operations
Distributions
from net
investment
income
Total
distributions to
shareholders
Class A
Year Ended 8/31/2021 $11.31 0.40 0.20 0.60 (0.32) (0.32)
Year Ended 8/31/2020 $11.29 0.45 (0.08) 0.37 (0.35) (0.35)
Year Ended 8/31/2019 $10.74 0.59 0.39 0.98 (0.43) (0.43)
Year Ended 8/31/2018 $12.09 0.62 (1.31) (0.69) (0.66) (0.66)
Year Ended 8/31/2017(e) $11.64 0.54 0.33 0.87 (0.42) (0.42)
Year Ended 10/31/2016 $10.56 0.64 0.73 1.37 (0.29) (0.29)
Advisor Class
Year Ended 8/31/2021 $11.33 0.43 0.20 0.63 (0.35) (0.35)
Year Ended 8/31/2020 $11.31 0.51 (0.11) 0.40 (0.38) (0.38)
Year Ended 8/31/2019 $10.75 0.61 0.41 1.02 (0.46) (0.46)
Year Ended 8/31/2018 $12.11 0.65 (1.32) (0.67) (0.69) (0.69)
Year Ended 8/31/2017(e) $11.65 0.58 0.32 0.90 (0.44) (0.44)
Year Ended 10/31/2016 $10.57 0.68 0.72 1.40 (0.32) (0.32)
Class C
Year Ended 8/31/2021 $11.23 0.31 0.21 0.52 (0.24) (0.24)
Year Ended 8/31/2020 $11.22 0.37 (0.09) 0.28 (0.27) (0.27)
Year Ended 8/31/2019 $10.67 0.51 0.39 0.90 (0.35) (0.35)
Year Ended 8/31/2018 $12.01 0.53 (1.29) (0.76) (0.58) (0.58)
Year Ended 8/31/2017(e) $11.57 0.47 0.31 0.78 (0.34) (0.34)
Year Ended 10/31/2016 $10.50 0.56 0.72 1.28 (0.21) (0.21)
Institutional Class
Year Ended 8/31/2021 $11.32 0.43 0.20 0.63 (0.35) (0.35)
Year Ended 8/31/2020 $11.30 0.49 (0.09) 0.40 (0.38) (0.38)
Year Ended 8/31/2019 $10.75 0.62 0.39 1.01 (0.46) (0.46)
Year Ended 8/31/2018 $12.10 0.65 (1.31) (0.66) (0.69) (0.69)
Year Ended 8/31/2017(e) $11.65 0.57 0.32 0.89 (0.44) (0.44)
Year Ended 10/31/2016 $10.57 0.67 0.73 1.40 (0.32) (0.32)
Institutional 2 Class
Year Ended 8/31/2021 $11.31 0.44 0.22 0.66 (0.37) (0.37)
Year Ended 8/31/2020 $11.30 0.49 (0.09) 0.40 (0.39) (0.39)
Year Ended 8/31/2019 $10.74 0.63 0.40 1.03 (0.47) (0.47)
Year Ended 8/31/2018 $12.10 0.65 (1.30) (0.65) (0.71) (0.71)
Year Ended 8/31/2017(e) $11.64 0.59 0.33 0.92 (0.46) (0.46)
Year Ended 10/31/2016 $10.56 0.70 0.72 1.42 (0.34) (0.34)
The accompanying Notes to Financial Statements are an integral part of this statement.
20 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Financial Highlights  (continued)
  Net
asset
value,
end of
period
Total
Return
Total gross
expense
ratio to
average
net assets(a)
Total net
expense
ratio to
average
net assets(a),(b)
Net investment
income
ratio to
average
net assets
Portfolio
turnover
Net
assets,
end of
period
(000’s)
Class A
Year Ended 8/31/2021 $11.59 5.42% 1.12% 1.12%(c) 3.49% 56% $43,920
Year Ended 8/31/2020 $11.31 3.40% 1.11%(d) 1.11%(d) 4.13% 175% $46,632
Year Ended 8/31/2019 $11.29 9.33% 1.11%(d) 1.11%(d) 5.40% 106% $54,778
Year Ended 8/31/2018 $10.74 (5.97%) 1.13% 1.13% 5.33% 64% $61,421
Year Ended 8/31/2017(e) $12.09 7.68% 1.17%(f) 1.17%(f) 5.63%(f) 44% $77,842
Year Ended 10/31/2016 $11.64 13.30% 1.20% 1.20% 5.91% 44% $135,877
Advisor Class
Year Ended 8/31/2021 $11.61 5.67% 0.87% 0.87%(c) 3.75% 56% $3,180
Year Ended 8/31/2020 $11.33 3.65% 0.85%(d) 0.85%(d) 4.51% 175% $4,799
Year Ended 8/31/2019 $11.31 9.69% 0.86%(d) 0.86%(d) 5.51% 106% $20,141
Year Ended 8/31/2018 $10.75 (5.80%) 0.88% 0.88% 5.60% 64% $8,734
Year Ended 8/31/2017(e) $12.11 7.99% 0.91%(f) 0.91%(f) 5.97%(f) 44% $8,758
Year Ended 10/31/2016 $11.65 13.57% 0.95% 0.95% 6.21% 44% $1,964
Class C
Year Ended 8/31/2021 $11.51 4.66% 1.87% 1.87%(c) 2.76% 56% $4,365
Year Ended 8/31/2020 $11.23 2.55% 1.86%(d) 1.86%(d) 3.39% 175% $8,881
Year Ended 8/31/2019 $11.22 8.57% 1.86%(d) 1.86%(d) 4.66% 106% $13,374
Year Ended 8/31/2018 $10.67 (6.63%) 1.88% 1.88% 4.57% 64% $16,550
Year Ended 8/31/2017(e) $12.01 6.97% 1.92%(f) 1.92%(f) 4.91%(f) 44% $20,307
Year Ended 10/31/2016 $11.57 12.43% 1.95% 1.95% 5.16% 44% $23,714
Institutional Class
Year Ended 8/31/2021 $11.60 5.67% 0.87% 0.87%(c) 3.75% 56% $44,921
Year Ended 8/31/2020 $11.32 3.66% 0.86%(d) 0.86%(d) 4.40% 175% $51,668
Year Ended 8/31/2019 $11.30 9.60% 0.86%(d) 0.86%(d) 5.65% 106% $71,443
Year Ended 8/31/2018 $10.75 (5.72%) 0.88% 0.88% 5.57% 64% $81,762
Year Ended 8/31/2017(e) $12.10 7.90% 0.92%(f) 0.92%(f) 5.94%(f) 44% $94,159
Year Ended 10/31/2016 $11.65 13.57% 0.95% 0.95% 6.17% 44% $75,526
Institutional 2 Class
Year Ended 8/31/2021 $11.60 5.90% 0.75% 0.75% 3.86% 56% $53,660
Year Ended 8/31/2020 $11.31 3.69% 0.73%(d) 0.73%(d) 4.44% 175% $42,699
Year Ended 8/31/2019 $11.30 9.83% 0.75%(d) 0.75%(d) 5.75% 106% $35,131
Year Ended 8/31/2018 $10.74 (5.68%) 0.75% 0.74% 5.60% 64% $36,419
Year Ended 8/31/2017(e) $12.10 8.18% 0.76%(f) 0.75%(f) 6.10%(f) 44% $50,366
Year Ended 10/31/2016 $11.64 13.82% 0.74% 0.74% 6.34% 44% $18,615
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
21

Financial Highlights  (continued)
  Net asset value,
beginning of
period
Net
investment
income
Net
realized
and
unrealized
gain (loss)
Total from
investment
operations
Distributions
from net
investment
income
Total
distributions to
shareholders
Institutional 3 Class
Year Ended 8/31/2021 $11.32 0.45 0.20 0.65 (0.37) (0.37)
Year Ended 8/31/2020 $11.30 0.50 (0.09) 0.41 (0.39) (0.39)
Year Ended 8/31/2019 $10.75 0.64 0.39 1.03 (0.48) (0.48)
Year Ended 8/31/2018 $12.10 0.66 (1.30) (0.64) (0.71) (0.71)
Year Ended 8/31/2017(e) $11.65 0.61 0.31 0.92 (0.47) (0.47)
Year Ended 10/31/2016 $10.57 0.71 0.72 1.43 (0.35) (0.35)
Class R
Year Ended 8/31/2021 $11.30 0.37 0.20 0.57 (0.29) (0.29)
Year Ended 8/31/2020 $11.29 0.42 (0.09) 0.33 (0.32) (0.32)
Year Ended 8/31/2019 $10.73 0.56 0.40 0.96 (0.40) (0.40)
Year Ended 8/31/2018 $12.08 0.59 (1.31) (0.72) (0.63) (0.63)
Year Ended 8/31/2017(e) $11.63 0.52 0.32 0.84 (0.39) (0.39)
Year Ended 10/31/2016 $10.55 0.62 0.73 1.35 (0.27) (0.27)
    
Notes to Financial Highlights
(a) In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund’s reported expense ratios.
(b) Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable.
(c) The benefits derived from expense reductions had an impact of less than 0.01%.
(d) Ratios include interest on collateral expense which is less than 0.01%.
(e) For the period from November 1, 2016 to August 31, 2017. During the period, the Fund’s fiscal year end was changed from October 31 to August 31.
(f) Annualized.
The accompanying Notes to Financial Statements are an integral part of this statement.
22 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Financial Highlights  (continued)
  Net
asset
value,
end of
period
Total
Return
Total gross
expense
ratio to
average
net assets(a)
Total net
expense
ratio to
average
net assets(a),(b)
Net investment
income
ratio to
average
net assets
Portfolio
turnover
Net
assets,
end of
period
(000’s)
Institutional 3 Class
Year Ended 8/31/2021 $11.60 5.86% 0.69% 0.69% 3.92% 56% $190,133
Year Ended 8/31/2020 $11.32 3.83% 0.68%(d) 0.68%(d) 4.53% 175% $184,834
Year Ended 8/31/2019 $11.30 9.79% 0.69%(d) 0.69%(d) 5.83% 106% $182,472
Year Ended 8/31/2018 $10.75 (5.54%) 0.70% 0.69% 5.72% 64% $202,999
Year Ended 8/31/2017(e) $12.10 8.13% 0.71%(f) 0.70%(f) 6.17%(f) 44% $173,174
Year Ended 10/31/2016 $11.65 13.86% 0.69% 0.69% 6.41% 44% $3,199
Class R
Year Ended 8/31/2021 $11.58 5.15% 1.37% 1.37%(c) 3.25% 56% $21,419
Year Ended 8/31/2020 $11.30 3.05% 1.36%(d) 1.36%(d) 3.87% 175% $21,748
Year Ended 8/31/2019 $11.29 9.16% 1.36%(d) 1.36%(d) 5.15% 106% $24,620
Year Ended 8/31/2018 $10.73 (6.20%) 1.38% 1.38% 5.07% 64% $27,218
Year Ended 8/31/2017(e) $12.08 7.46% 1.42%(f) 1.42%(f) 5.43%(f) 44% $33,057
Year Ended 10/31/2016 $11.63 13.03% 1.45% 1.45% 5.64% 44% $21,289
The accompanying Notes to Financial Statements are an integral part of this statement.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
23

Notes to Financial Statements
August 31, 2021
Note 1. Organization
Columbia Emerging Markets Bond Fund (the Fund), a series of Columbia Funds Series Trust II (the Trust), is a non-diversified fund. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust.
Fund shares
The Trust may issue an unlimited number of shares (without par value). The Fund offers each of the share classes listed in the Statement of Assets and Liabilities. Although all share classes generally have identical voting, dividend and liquidation rights, each share class votes separately when required by the Trust’s organizational documents or by law. Each share class has its own expense and sales charge structure. Different share classes may have different minimum initial investment amounts and pay different net investment income distribution amounts to the extent the expenses of distributing such share classes vary. Distributions to shareholders in a liquidation will be proportional to the net asset value of each share class.
As described in the Fund’s prospectus, Class A and Class C shares are offered to the general public for investment. Effective April 1, 2021, Class C shares automatically convert to Class A shares after 8 years. Prior to April 1, 2021, Class C shares automatically converted to Class A shares after 10 years. Advisor Class, Institutional Class, Institutional 2 Class, Institutional 3 Class and Class R shares are available for purchase through authorized investment professionals to omnibus retirement plans or to institutional investors and to certain other investors as also described in the Fund’s prospectus.
Note 2. Summary of significant accounting policies
Basis of preparation
The Fund is an investment company that applies the accounting and reporting guidance in the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946, Financial Services - Investment Companies (ASC 946). The financial statements are prepared in accordance with U.S. generally accepted accounting principles (GAAP), which requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates.
The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements.
Security valuation
Debt securities generally are valued by pricing services approved by the Board of Trustees based upon market transactions for normal, institutional-size trading units of similar securities. The services may use various pricing techniques that take into account, as applicable, factors such as yield, quality, coupon rate, maturity, type of issue, trading characteristics and other data, as well as approved independent broker-dealer quotes. Debt securities for which quotations are not readily available or not believed to be reflective of market value may also be valued based upon a bid quote from an approved independent broker-dealer. Debt securities maturing in 60 days or less are valued primarily at amortized market value, unless this method results in a valuation that management believes does not approximate fair value.
Investments in open-end investment companies (other than exchange-traded funds (ETFs)), are valued at the latest net asset value reported by those companies as of the valuation time.
Forward foreign currency exchange contracts are marked-to-market based upon foreign currency exchange rates provided by a pricing service.
Futures and options on futures contracts are valued based upon the settlement price at the close of regular trading on their principal exchanges or, in the absence of a settlement price, at the mean of the latest quoted bid and ask prices.
24 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Notes to Financial Statements  (continued)
August 31, 2021
Investments for which market quotations are not readily available, or that have quotations which management believes are not reflective of market value or reliable, are valued at fair value as determined in good faith under procedures approved by and under the general supervision of the Board of Trustees. If a security or class of securities (such as foreign securities) is valued at fair value, such value is likely to be different from the quoted or published price for the security, if available.
The determination of fair value often requires significant judgment. To determine fair value, management may use assumptions including but not limited to future cash flows and estimated risk premiums. Multiple inputs from various sources may be used to determine fair value.
GAAP requires disclosure regarding the inputs and valuation techniques used to measure fair value and any changes in valuation inputs or techniques. In addition, investments shall be disclosed by major category. This information is disclosed following the Fund’s Portfolio of Investments.
Foreign currency transactions and translations
The values of all assets and liabilities denominated in foreign currencies are generally translated into U.S. dollars at exchange rates determined at the close of regular trading on the New York Stock Exchange. Net realized and unrealized gains (losses) on foreign currency transactions and translations include gains (losses) arising from the fluctuation in exchange rates between trade and settlement dates on securities transactions, gains (losses) arising from the disposition of foreign currency and currency gains (losses) between the accrual and payment dates on dividends, interest income and foreign withholding taxes.
For financial statement purposes, the Fund does not distinguish that portion of gains (losses) on investments which is due to changes in foreign exchange rates from that which is due to changes in market prices of the investments. Such fluctuations are included with the net realized and unrealized gains (losses) on investments in the Statement of Operations.
Derivative instruments
The Fund invests in certain derivative instruments, as detailed below, in seeking to meet its investment objectives. Derivatives are instruments whose values depend on, or are derived from, in whole or in part, the value of one or more securities, currencies, commodities, indices, or other assets or instruments. Derivatives may be used to increase investment flexibility (including to maintain cash reserves while maintaining desired exposure to certain assets), for risk management (hedging) purposes, to facilitate trading, to reduce transaction costs and to pursue higher investment returns. The Fund may also use derivative instruments to mitigate certain investment risks, such as foreign currency exchange rate risk, interest rate risk and credit risk. Derivatives may involve various risks, including the potential inability of the counterparty to fulfill its obligations under the terms of the contract, the potential for an illiquid secondary market (making it difficult for the Fund to sell or terminate, including at favorable prices) and the potential for market movements which may expose the Fund to gains or losses in excess of the amount shown in the Statement of Assets and Liabilities. The notional amounts of derivative instruments, if applicable, are not recorded in the financial statements.
A derivative instrument may suffer a marked-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform its obligations under the contract. The Fund’s risk of loss from counterparty credit risk on over-the-counter derivatives is generally limited to the aggregate unrealized gain netted against any collateral held by the Fund and the amount of any variation margin held by the counterparty, plus any replacement costs or related amounts. With exchange-traded or centrally cleared derivatives, there is reduced counterparty credit risk to the Fund since the clearinghouse or central counterparty (CCP) provides some protection in the case of clearing member default. The clearinghouse or CCP stands between the buyer and the seller of the contract; therefore, additional counterparty credit risk is failure of the clearinghouse or CCP. However, credit risk still exists in exchange-traded or centrally cleared derivatives with respect to initial and variation margin that is held in a broker’s customer account. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients and such shortfall is remedied by the CCP or otherwise, U.S. bankruptcy laws will typically allocate that shortfall on a pro-rata basis across all the clearing broker’s customers (including the Fund), potentially resulting in losses to the Fund.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
25

Notes to Financial Statements  (continued)
August 31, 2021
In order to better define its contractual rights and to secure rights that will help the Fund mitigate its counterparty risk, the Fund may enter into an International Swaps and Derivatives Association, Inc. Master Agreement (ISDA Master Agreement) or similar agreement with its derivatives counterparties. An ISDA Master Agreement is an agreement between the Fund and a counterparty that governs over-the-counter derivatives and foreign exchange forward contracts and contains, among other things, collateral posting terms and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, the Fund may, under certain circumstances, offset with the counterparty certain derivative instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default (close-out netting), including the bankruptcy or insolvency of the counterparty. Note, however, that bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset or netting in bankruptcy, insolvency or other events.
Collateral (margin) requirements differ by type of derivative. Margin requirements are established by the clearinghouse or CCP for exchange-traded and centrally cleared derivatives. Brokers can ask for margin in excess of the minimum in certain circumstances. Collateral terms for most over-the-counter derivatives are subject to regulatory requirements to exchange variation margin with trading counterparties and may have contract specific margin terms as well. For over-the-counter derivatives traded under an ISDA Master Agreement, the collateral requirements are typically calculated by netting the marked-to-market amount for each transaction under such agreement and comparing that amount to the value of any variation margin currently pledged by the Fund and/or the counterparty. Generally, the amount of collateral due from or to a party has to exceed a minimum transfer amount threshold (e.g., $250,000) before a transfer has to be made. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty nonperformance. The Fund may also pay interest expense on cash collateral received from the broker. Any interest expense paid by the Fund is shown on the Statement of Operations. The Fund attempts to mitigate counterparty risk by only entering into agreements with counterparties that it believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties.
Certain ISDA Master Agreements allow counterparties of over-the-counter derivatives transactions to terminate derivatives contracts prior to maturity in the event the Fund’s net asset value declines by a stated percentage over a specified time period or if the Fund fails to meet certain terms of the ISDA Master Agreement, which would cause the Fund to accelerate payment of any net liability owed to the counterparty.  The Fund also has termination rights if the counterparty fails to meet certain terms of the ISDA Master Agreement.  In determining whether to exercise such termination rights, the Fund would consider, in addition to counterparty credit risk, whether termination would result in a net liability owed from the counterparty.
For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the Statement of Assets and Liabilities.
Forward foreign currency exchange contracts
Forward foreign currency exchange contracts are over-the-counter agreements between two parties to buy and sell a currency at a set price on a future date. The Fund utilized forward foreign currency exchange contracts to hedge the currency exposure associated with some or all of the Fund’s securities and to shift foreign currency exposure back to U.S. dollars. These instruments may be used for other purposes in future periods.
The values of forward foreign currency exchange contracts fluctuate daily with changes in foreign currency exchange rates. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation until the contract is exercised or has expired. The Fund will realize a gain or loss when the forward foreign currency exchange contract is closed or expires. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in U.S. dollars without delivery of foreign currency.
The use of forward foreign currency exchange contracts does not eliminate fluctuations in the prices of the Fund’s portfolio securities. The risks of forward foreign currency exchange contracts include movement in the values of the foreign currencies relative to the U.S. dollar (or other foreign currencies) and the possibility that counterparties will not complete their contractual obligations, which may be in excess of the amount reflected, if any, in the Statement of Assets and Liabilities.
26 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Notes to Financial Statements  (continued)
August 31, 2021
Futures contracts
Futures contracts are exchange-traded and represent commitments for the future purchase or sale of an asset at a specified price on a specified date. The Fund bought and sold futures contracts to manage the duration and yield curve exposure of the Fund versus the benchmark. These instruments may be used for other purposes in future periods. Upon entering into futures contracts, the Fund bears risks that it may not achieve the anticipated benefits of the futures contracts and may realize a loss. Additional risks include counterparty credit risk, the possibility of an illiquid market, and that a change in the value of the contract or option may not correlate with changes in the value of the underlying asset.
Upon entering into a futures contract, the Fund deposits cash or securities with the broker, known as a futures commission merchant (FCM), in an amount sufficient to meet the initial margin requirement. The initial margin deposit must be maintained at an established level over the life of the contract. Cash deposited as initial margin is recorded in the Statement of Assets and Liabilities as margin deposits. Securities deposited as initial margin are designated in the Portfolio of Investments. Subsequent payments (variation margin) are made or received by the Fund each day. The variation margin payments are equal to the daily change in the contract value and are recorded as variation margin receivable or payable and are offset in unrealized gains or losses. The Fund generally expects to earn interest income on its margin deposits. The Fund recognizes a realized gain or loss when the contract is closed or expires. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed in the Statement of Assets and Liabilities.
Effects of derivative transactions in the financial statements
The following tables are intended to provide additional information about the effect of derivatives on the financial statements of the Fund, including: the fair value of derivatives by risk category and the location of those fair values in the Statement of Assets and Liabilities; and the impact of derivative transactions over the period in the Statement of Operations, including realized and unrealized gains (losses). The derivative instrument schedules following the Portfolio of Investments present additional information regarding derivative instruments outstanding at the end of the period, if any.
The following table is a summary of the fair value of derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) at August 31, 2021:
  Liability derivatives  
Risk exposure
category
Statement
of assets and liabilities
location
Fair value ($)
Foreign exchange risk Unrealized depreciation on forward foreign currency exchange contracts 118,872
Interest rate risk Component of total distributable earnings (loss) — unrealized depreciation on futures contracts 53,937*
Total   172,809
    
* Includes cumulative appreciation (depreciation) as reported in the tables following the Portfolio of Investments. Only the current day’s variation margin is reported in receivables or payables in the Statement of Assets and Liabilities.
Columbia Emerging Markets Bond Fund  | Annual Report 2021
27

Notes to Financial Statements  (continued)
August 31, 2021
The following table indicates the effect of derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in the Statement of Operations for the year ended August 31, 2021:
Amount of realized gain (loss) on derivatives recognized in income
Risk exposure category       Forward
foreign
currency
exchange
contracts
($)
Futures
contracts
($)
Total
($)
Foreign exchange risk       (548,529) (548,529)
Interest rate risk       (284,128) (284,128)
Total       (548,529) (284,128) (832,657)
 
Change in unrealized appreciation (depreciation) on derivatives recognized in income
Risk exposure category       Forward
foreign
currency
exchange
contracts
($)
Futures
contracts
($)
Total
($)
Foreign exchange risk       16,809 16,809
Interest rate risk       (95,677) (95,677)
Total       16,809 (95,677) (78,868)
The following table is a summary of the average outstanding volume by derivative instrument for the year ended August 31, 2021:
Derivative instrument Average notional
amounts ($)*
Futures contracts — long 4,279,992
Futures contracts — short 8,949,469
    
Derivative instrument Average unrealized
appreciation ($)*
Average unrealized
depreciation ($)*
Forward foreign currency exchange contracts 55,598 (46,502)
    
* Based on the ending quarterly outstanding amounts for the year ended August 31, 2021.
Offsetting of assets and liabilities
The following table presents the Fund’s gross and net amount of assets and liabilities available for offset under netting arrangements as well as any related collateral received or pledged by the Fund as of August 31, 2021:
  Goldman
Sachs
International ($)
UBS ($) Total ($)
Liabilities      
Forward foreign currency exchange contracts 73,086 45,786 118,872
Total financial and derivative net assets (73,086) (45,786) (118,872)
Total collateral received (pledged) (a) - - -
Net amount (b) (73,086) (45,786) (118,872)
    
(a) In some instances, the actual collateral received and/or pledged may be more than the amount shown due to overcollateralization.
(b) Represents the net amount due from/(to) counterparties in the event of default.
Security transactions
Security transactions are accounted for on the trade date. Cost is determined and gains (losses) are based upon the specific identification method for both financial statement and federal income tax purposes.
28 Columbia Emerging Markets Bond Fund  | Annual Report 2021

Notes to Financial Statements  (continued)
August 31, 2021
Income recognition
Interest income is recorded on an accrual basis. Market premiums and discounts, including original issue discounts, are amortized and accreted, respectively, over the expected life of the security on all debt securities, unless otherwise noted.
The Fund may place a debt security on non-accrual status and reduce related interest income when it becomes probable that the interest will not be collected and the amount of uncollectible interest can be reasonably estimated. A defaulted debt security is removed from non-accrual status when the issuer resumes interest payments or when collectability of interest is reasonably assured.
Dividend income is recorded on the ex-dividend date.
Expenses
General expenses of the Trust are allocated to the Fund and other funds of the Trust based upon relative net assets or other expense allocation methodologies determined by the nature of the expense. Expenses directly attributable to the Fund are charged to the Fund. Expenses directly attributable to a specific class of shares are charged to that share class.
Determination of class net asset value
All income, expenses (other than class-specific expenses, which are charged to that share class, as shown in the Statement of Operations) and realized and unrealized gains (losses) are allocated to each class of the Fund on a daily basis, based on the relative net assets of each class, for purposes of determining the net asset value of each class.
Federal income tax status
The Fund intends to qualify each year as a regulated investment company under Subchapter M of the Internal Revenue Code, as amended, and will distribute substantially all of its investment company taxable income and net capital gain, if any, for its tax year, and as such will not be subject to federal income taxes. In addition, the Fund intends to distribute in each calendar year substantially all of its ordinary income, capital gain net income and certain other amounts, if any, such that the Fund should not be subject to federal excise tax. Therefore, no federal income or excise tax provision is recorded.
Foreign taxes
The Fund may be subject to foreign taxes on income, gains on investments or currency repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries, as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.
Realized gains in certain countries may be subject to foreign taxes at the Fund level, based on statutory rates. The Fund accrues for such foreign taxes on realized and unrealized gains at the appropriate rate for each jurisdiction, as applicable. The amount, if any, is disclosed as a liability o