UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number811-04367
Columbia Funds Series Trust I
(Exact name of registrant as specified in charter)
225 Franklin Street
Boston, Massachusetts 02110
(Address of principal executive offices) (Zip code)
Christopher O. Petersen, Esq.
c/o Columbia Management Investment Advisers, LLC
225 Franklin Street
Boston, Massachusetts 02110
Ryan C. Larrenaga, Esq.
c/o Columbia Management Investment Advisers, LLC
225 Franklin Street
Boston, MA 02110
(Name and address of agent for service)
Registrant's telephone number, including area code: (800) 345-6611
Date of fiscal year end: December 31
Date of reporting period: December 31, 2019
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.
Columbia Real
Estate Equity 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 will no longer be sent by mail, unless you
specifically request paper copies of the reports. Instead, the reports will be 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
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 FDIC Insured • No bank
guarantee • May lose value
Table of Contents
| 3 | |
| 5 | |
| 7 | |
| 8 | |
| 10 | |
| 12 | |
| 13 | |
| 16 | |
| 20 | |
| 28 | |
| 29 | |
| 29 |
Columbia Real Estate Equity Fund
(the Fund) mails one shareholder report to each shareholder address, unless such shareholder elected to receive shareholder reports from the Fund electronically. If you would like more than one report, 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, and for reporting periods ended prior to March 31, 2019, on Form N-Q. The Fund’s Form N-Q and 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-Q or 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)
225 Franklin Street
Boston, MA 02110
Fund distributor
Columbia Management Investment Distributors,
Inc.
225 Franklin Street
Boston, MA 02110
Fund transfer agent
Columbia Management Investment Services Corp.
P.O. Box 219104
Kansas City, MO 64121-9104
Columbia Real Estate Equity
Fund | Annual Report 2019
Fund at a Glance
Investment objective
The Fund
seeks capital appreciation and above-average income by investing, under normal market conditions, at least 80% of its net assets (plus any borrowings for investment purposes) in the stocks of companies principally
engaged in the real estate industry, including real estate investment trusts (REITs).
Portfolio management
Arthur Hurley, CFA
Portfolio Manager
Managed Fund since 2006
Morningstar style boxTM
The Morningstar Style Box is based on a fund’s portfolio holdings. For equity funds, the vertical axis shows the market capitalization of the stocks owned, and the horizontal axis shows
investment style (value, blend, or growth). Information shown is based on the most recent data provided by Morningstar.
© 2020 Morningstar, Inc. All rights reserved. The Morningstar information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or
distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 3 |
Fund at a Glance (continued)
Performance of a hypothetical $10,000 investment (December 31, 2009 — December 31, 2019)
The chart above shows the change in
value of a hypothetical $10,000 investment in Class A shares of Columbia Real Estate Equity 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 Real Estate Equity Fund | Annual Report 2019 |
Manager Discussion of Fund Performance
For the 12-month period that ended
December 31, 2019, the Fund’s Class A shares returned 28.04% excluding sales charges. The Fund outperformed its benchmark, the FTSE Nareit Equity REITS Index, which returned 26.00% for the same period. Sector
allocation and stock selection decisions overall contributed positively to the Fund’s performance during the period.
Real estate market posted robust
gains but lagged broad U.S. equity market in 2019
The U.S. real estate market, as
measured by the benchmark, posted robust double-digit absolute gains but lagged the broad U.S. equity market, as measured by the 31.49% return of the S&P 500 Index, during the annual period.
After falling sharply late in 2018,
real estate securities rebounded even more than the broad U.S. equity market in the first quarter of 2019, and strength was found across property types. Such strength was supported by particularly attractive
valuations within the real estate sector, the Federal Reserve’s (the Fed) pause in hiking interest rates, declining long-term U.S. Treasury yields, solid underlying fundamentals and significant amounts of
private capital still available driving speculation of heightened merger and acquisition activity. Real estate securities then posted positive returns but did not keep up with the broader U.S. equity market in the
second calendar quarter. Still, the real estate sector continued to be buoyed by lower U.S. Treasury yields, solid operating fundamentals, fair valuations, well-covered dividend yields and strong demand for commercial
real estate. Additionally, the economic backdrop was favorable for real estate fundamentals, with U.S. GDP growth positive but not strong enough to cause concerns of overheating.
Real estate securities posted
positive returns that significantly outperformed the broader U.S. equity market in the third quarter of 2019. Additionally, slower economic growth outside the U.S., softer economic growth expectations within the U.S.
and increased uncertainty in the broader U.S. equity market benefited the real estate sector, traditionally considered a more defensive sector. Lower U.S. Treasury yields and the more accommodative stance of the Fed
helped this interest-rate sensitive sector as well. During the fourth calendar quarter, real estate securities underperformed the broader U.S. equity market. The real estate sector was negatively affected by rising
yields, with the bellwether 10-year U.S. Treasury yield increasing approximately 24 basis points during the quarter to end December 2019 at 1.92%. (A basis point is 1/100th of a percentage point.) Also, growth
expectations improving in more economically-sensitive, cyclical sectors, combined with real estate securities generally trading at a slight premium to the value of the underlying property portfolios at the start of
the fourth quarter, may have negatively impacted returns for the sector. Investors moved away from traditionally defensive and yield-oriented sectors, such as real estate, during these months.
Positioning in manufactured and
single-family homes boosted Fund results most
From a real estate investment
trust (REIT) industry perspective, having overweighted allocations to the manufactured homes, single-family homes, data centers and office sub-sectors, which each significantly outperformed the benchmark during the
annual period, and having an underweighted allocation to the health care sub-sector, which posted double-digit gains but lagged the benchmark during the annual period, contributed most positively to the Fund’s
relative results. Having exposure to infrastructure REITs, which are not a component of the benchmark but which outperformed the benchmark during the annual period, added value as well. Effective stock selection in
the self-storage, office and health care sub-sectors further boosted the Fund’s relative results.
Among individual holdings held,
Equity LifeStyle Properties, Inc. and Invitation Homes, Inc. were standout performers. Equity LifeStyle Properties is the leading operator of manufactured home communities, recreational vehicle resorts and campgrounds
in North America. A strong performer through most of 2019, the company’s momentum continued into the fourth calendar quarter as a lack of affordable housing and demand for affordable vacationing options drove
its shares higher. The company also beat and raised its earnings and revenue guidance throughout 2019, benefiting from strong underlying fundamentals. Investors also favored its management team’s effective
allocation of capital, which, along with solid earnings and revenue growth, led to a high return on investment. Invitation Homes, which owns and operates single-family rental homes, saw its shares gain on favorable
supply/demand dynamics. At period end, there was generally a lower supply of housing being constructed in the U.S., while demand for rental homes had become an increasingly attractive and affordable option for those
seeking a stand-alone home rather than an apartment. Further, Invitation Homes benefited from its improved control of expenses following some earlier missteps in expense management and from attractive revenue growth
relative to its peers.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 5 |
Manager Discussion of Fund Performance (continued)
Stock selection in data centers
sub-sector detracted from Fund results most
Stock selection in the data
centers sub-sector hurt the Fund’s relative results most during the annual period. Having an overweight to the self-storage sub-sector, which posted double-digit absolute gains but which lagged the benchmark
during the annual period, further dampened the Fund’s relative performance.
Among individual holdings held, the
biggest disappointments were Simon Property Group, Inc. and Host Hotels & Resorts, Inc. Simon Property Group is primarily a regional mall and outlet center REIT, whose shares fell not on any company-specific
factors but rather on persistent challenges within the retail industry, including consumers’ increasing preference for online shopping, persistent concerns around store closings and/or bankruptcies, and
increasingly high capital expenditures needed to keep properties appealing and competitive. At the end of the annual period, we maintained the Fund’s position in Simon Property Group, as we continued to believe
it was positioned competitively, with a portfolio of the best malls in the U.S., a strong balance sheet and good free cash flow that its management was directing into redevelopment projects. Host Hotels & Resorts,
a hotel REIT, posted double-digit absolute gains but lagged the benchmark on a relative basis as did the lodging/resorts sub-sector overall. Weighing on demand within the sub-sector broadly were investors’
concerns around softer macroeconomic trends and heightened geopolitical tensions, both of which impact international and domestic business and individual travel and other discretionary spending. In turn, disappointing
top-line growth and a muted ability to gain any pricing power pressured the performance of hotel REITs.
Shifting market conditions and
bottom-up stock selection drove portfolio changes
During the annual period, we
increased the Fund’s weightings relative to the benchmark in the self-storage, apartments, free standing and health care sub-sectors. We decreased the Fund’s weightings relative to the benchmark in the
data centers, office and lodging/resorts sub-sectors during the annual period. Within the office sub-sector, we sought to reduce Fund exposure to the New York City real estate market given supply headwinds keeping
rent growth in check and driving high capital expenditures in an effort to attract quality tenants. Other weighting shifts were made based on company-specific, bottom-up stock selection criteria. At the end of the
annual period, the Fund was most overweight relative to the benchmark in the single-family homes, manufactured homes, self-storage and data centers sub-sectors and was most underweight relative to the benchmark in the
diversified, shopping centers, specialty and health care sub-sectors. The Fund was rather neutrally weighted to the benchmark in the apartments, industrial, regional malls, free-standing, office and lodging/resorts
sub-sectors at the end of 2019 and also had exposure to infrastructure REITs, which are not a component of the benchmark.
Market risk may affect a single issuer, sector of the economy, industry or the market as a whole. Like real estate, real estate investment trusts (REITs) are subject to illiquidity, valuation and financing complexities, taxes, default, bankruptcy and other economic, political or regulatory occurrences. As a non-diversified fund, fewer investments could have a greater effect on performance. 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. 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.
| 6 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Understanding Your Fund’s
Expenses
(Unaudited)
(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 $1,000 = 8.6), then multiply the results by the expenses paid during the period under
the “Actual” column. The amount listed in the “Hypothetical” column assumes a 5% annual rate of return before expenses (which is not the Fund’s actual return) and then applies the
Fund’s actual expense ratio for the period to the hypothetical return. You should not use the hypothetical account values and expenses to estimate either your actual account balance at the end of the period or
the expenses you paid during the period. See “Compare with other funds” below for details on how to use the hypothetical data.
Compare with other funds
Since all mutual funds are
required to include the same hypothetical calculations about expenses in shareholder reports, you can use this information to compare the ongoing cost of investing in the Fund with other funds. To do so, compare the
hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. As you compare hypothetical examples of other funds, it is important to note that hypothetical examples are
meant to highlight the ongoing costs of investing in a fund only and do not reflect any transaction costs, such as sales charges, or redemption or exchange fees. Therefore, the hypothetical calculations are useful in
comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. If transaction costs were included in these calculations, your costs would be higher.
| July 1, 2019 — December 31, 2019 | |||||||
| Account value at the beginning of the period ($) | 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 | 1,076.90 | 1,019.01 | 6.72 | 6.53 | 1.27 |
| Advisor Class | 1,000.00 | 1,000.00 | 1,079.30 | 1,020.23 | 5.46 | 5.30 | 1.03 |
| Class C | 1,000.00 | 1,000.00 | 1,072.80 | 1,015.19 | 10.67 | 10.37 | 2.02 |
| Institutional Class | 1,000.00 | 1,000.00 | 1,078.90 | 1,020.28 | 5.40 | 5.25 | 1.02 |
| Institutional 2 Class | 1,000.00 | 1,000.00 | 1,079.20 | 1,020.94 | 4.71 | 4.58 | 0.89 |
| Institutional 3 Class | 1,000.00 | 1,000.00 | 1,079.30 | 1,021.20 | 4.45 | 4.33 | 0.84 |
| Class R | 1,000.00 | 1,000.00 | 1,075.70 | 1,017.73 | 8.04 | 7.81 | 1.52 |
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.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 7 |
Portfolio of Investments
December 31, 2019
December 31, 2019
(Percentages represent value of
investments compared to net assets)
Investments in securities
The accompanying Notes to Financial
Statements are an integral part of this statement.
| 8 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Portfolio of Investments (continued)
December 31, 2019
December 31, 2019
Notes to Portfolio of
Investments
| (a) | The rate shown is the seven-day current annualized yield at December 31, 2019. |
| (b) | As defined in the Investment Company Act of 1940, 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. Holdings and transactions in these affiliated companies during the year ended December 31, 2019 are as follows: |
| Issuer | Beginning shares | Shares purchased | Shares sold | Ending shares | Realized gain (loss) — affiliated issuers ($) | Net change in unrealized appreciation (depreciation) — affiliated issuers ($) | Dividends — affiliated issuers ($) | Value — affiliated issuers at end of period ($) |
| Columbia Short-Term Cash Fund, 1.699% | ||||||||
| 2,067,051 | 35,749,912 | (36,483,819) | 1,333,144 | 132 | — | 38,836 | 1,333,010 | |
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. |
| ■ | 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 December 31, 2019:
| Level 1 ($) | Level 2 ($) | Level 3 ($) | Total ($) | |
| Investments in Securities | ||||
| Common Stocks | ||||
| Real Estate | 290,258,593 | — | — | 290,258,593 |
| Total Common Stocks | 290,258,593 | — | — | 290,258,593 |
| Money Market Funds | 1,333,010 | — | — | 1,333,010 |
| Total Investments in Securities | 291,591,603 | — | — | 291,591,603 |
See the Portfolio of Investments for
all investment classifications not indicated in the table.
The accompanying Notes to Financial Statements are
an integral part of this statement.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 9 |
Statement of Assets and Liabilities
December 31, 2019
December 31, 2019
| Assets | |
| Investments in securities, at value | |
| Unaffiliated issuers (cost $179,570,259) | $290,258,593 |
| Affiliated issuers (cost $1,333,010) | 1,333,010 |
| Cash | 630 |
| Receivable for: | |
| Capital shares sold | 32,970 |
| Dividends | 1,399,657 |
| Prepaid expenses | 1,153 |
| Trustees’ deferred compensation plan | 107,130 |
| Total assets | 293,133,143 |
| Liabilities | |
| Payable for: | |
| Capital shares purchased | 167,604 |
| Management services fees | 5,970 |
| Distribution and/or service fees | 676 |
| Transfer agent fees | 40,059 |
| Compensation of board members | 331 |
| Compensation of chief compliance officer | 28 |
| Other expenses | 32,234 |
| Trustees’ deferred compensation plan | 107,130 |
| Total liabilities | 354,032 |
| Net assets applicable to outstanding capital stock | $292,779,111 |
| Represented by | |
| Paid in capital | 178,641,201 |
| Total distributable earnings (loss) | 114,137,910 |
| Total - representing net assets applicable to outstanding capital stock | $292,779,111 |
The accompanying Notes to Financial Statements are
an integral part of this statement.
| 10 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Statement of Assets and Liabilities (continued)
December 31, 2019
December 31, 2019
| Class A | |
| Net assets | $73,521,922 |
| Shares outstanding | 5,338,942 |
| Net asset value per share | $13.77 |
| Maximum sales charge | 5.75% |
| 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) | $14.61 |
| Advisor Class | |
| Net assets | $2,005,330 |
| Shares outstanding | 141,955 |
| Net asset value per share | $14.13 |
| Class C | |
| Net assets | $4,622,522 |
| Shares outstanding | 335,822 |
| Net asset value per share | $13.76 |
| Institutional Class | |
| Net assets | $162,706,487 |
| Shares outstanding | 11,782,929 |
| Net asset value per share | $13.81 |
| Institutional 2 Class | |
| Net assets | $1,370,162 |
| Shares outstanding | 99,612 |
| Net asset value per share | $13.75 |
| Institutional 3 Class | |
| Net assets | $44,826,962 |
| Shares outstanding | 3,219,438 |
| Net asset value per share | $13.92 |
| Class R | |
| Net assets | $3,725,726 |
| Shares outstanding | 270,883 |
| Net asset value per share | $13.75 |
The accompanying Notes to Financial Statements are
an integral part of this statement.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 11 |
Statement of Operations
Year Ended December 31, 2019
Year Ended December 31, 2019
| Net investment income | |
| Income: | |
| Dividends — unaffiliated issuers | $8,144,678 |
| Dividends — affiliated issuers | 38,836 |
| Total income | 8,183,514 |
| Expenses: | |
| Management services fees | 2,243,225 |
| Distribution and/or service fees | |
| Class A | 183,272 |
| Class C | 48,788 |
| Class R | 21,091 |
| Transfer agent fees | |
| Class A | 148,054 |
| Advisor Class | 2,004 |
| Class C | 9,873 |
| Institutional Class | 314,241 |
| Institutional 2 Class | 4,140 |
| Institutional 3 Class | 4,263 |
| Class R | 8,553 |
| Compensation of board members | 17,797 |
| Custodian fees | 6,089 |
| Printing and postage fees | 65,963 |
| Registration fees | 99,150 |
| Audit fees | 32,550 |
| Legal fees | 6,531 |
| Compensation of chief compliance officer | 115 |
| Other | 19,045 |
| Total expenses | 3,234,744 |
| Expense reduction | (780) |
| Total net expenses | 3,233,964 |
| Net investment income | 4,949,550 |
| Realized and unrealized gain (loss) — net | |
| Net realized gain (loss) on: | |
| Investments — unaffiliated issuers | 30,124,170 |
| Investments — affiliated issuers | 132 |
| Net realized gain | 30,124,302 |
| Net change in unrealized appreciation (depreciation) on: | |
| Investments — unaffiliated issuers | 38,944,907 |
| Net change in unrealized appreciation (depreciation) | 38,944,907 |
| Net realized and unrealized gain | 69,069,209 |
| Net increase in net assets resulting from operations | $74,018,759 |
The accompanying Notes to
Financial Statements are an integral part of this statement.
| 12 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Statement of Changes in Net Assets
| Year Ended December 31, 2019 | Year Ended December 31, 2018 | |
| Operations | ||
| Net investment income | $4,949,550 | $5,046,672 |
| Net realized gain | 30,124,302 | 8,282,995 |
| Net change in unrealized appreciation (depreciation) | 38,944,907 | (36,495,942) |
| Net increase (decrease) in net assets resulting from operations | 74,018,759 | (23,166,275) |
| Distributions to shareholders | ||
| Net investment income and net realized gains | ||
| Class A | (8,129,187) | (5,163,530) |
| Advisor Class | (187,406) | (36,177) |
| Class C | (482,671) | (544,081) |
| Institutional Class | (17,931,617) | (11,198,736) |
| Institutional 2 Class | (293,106) | (634,073) |
| Institutional 3 Class | (5,528,108) | (5,441,623) |
| Class R | (402,705) | (396,239) |
| Class T | — | (635) |
| Total distributions to shareholders | (32,954,800) | (23,415,094) |
| Decrease in net assets from capital stock activity | (25,950,026) | (22,710,485) |
| Total increase (decrease) in net assets | 15,113,933 | (69,291,854) |
| Net assets at beginning of year | 277,665,178 | 346,957,032 |
| Net assets at end of year | $292,779,111 | $277,665,178 |
The accompanying Notes to
Financial Statements are an integral part of this statement.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 13 |
Statement of Changes in Net Assets (continued)
| Year Ended | Year Ended | |||
| December 31, 2019 | December 31, 2018 | |||
| Shares | Dollars ($) | Shares | Dollars ($) | |
| Capital stock activity | ||||
| Class A | ||||
| Subscriptions | 615,762 | 8,670,969 | 593,777 | 7,930,512 |
| Distributions reinvested | 570,669 | 7,733,398 | 373,884 | 4,911,238 |
| Redemptions | (1,146,191) | (16,157,901) | (1,699,030) | (22,344,780) |
| Net increase (decrease) | 40,240 | 246,466 | (731,369) | (9,503,030) |
| Advisor Class | ||||
| Subscriptions | 104,750 | 1,594,152 | 20,023 | 263,660 |
| Distributions reinvested | 11,579 | 159,414 | 2,681 | 35,990 |
| Redemptions | (13,252) | (189,867) | (21,472) | (288,919) |
| Net increase | 103,077 | 1,563,699 | 1,232 | 10,731 |
| Class C | ||||
| Subscriptions | 35,807 | 507,831 | 29,817 | 393,572 |
| Distributions reinvested | 31,472 | 425,531 | 37,781 | 496,672 |
| Redemptions | (128,931) | (1,816,688) | (613,227) | (8,151,496) |
| Net decrease | (61,652) | (883,326) | (545,629) | (7,261,252) |
| Institutional Class | ||||
| Subscriptions | 1,321,862 | 18,900,700 | 1,528,458 | 20,109,669 |
| Distributions reinvested | 1,200,836 | 16,279,827 | 738,656 | 9,724,326 |
| Redemptions | (1,990,015) | (28,026,589) | (2,901,252) | (38,167,880) |
| Net increase (decrease) | 532,683 | 7,153,938 | (634,138) | (8,333,885) |
| Institutional 2 Class | ||||
| Subscriptions | 105,333 | 1,450,777 | 115,459 | 1,531,760 |
| Distributions reinvested | 21,092 | 292,776 | 48,327 | 633,874 |
| Redemptions | (665,526) | (9,727,366) | (122,414) | (1,596,510) |
| Net increase (decrease) | (539,101) | (7,983,813) | 41,372 | 569,124 |
| Institutional 3 Class | ||||
| Subscriptions | 148,096 | 2,141,764 | 2,104,893 | 27,746,603 |
| Distributions reinvested | 237,981 | 3,270,907 | 216,532 | 2,872,113 |
| Redemptions | (2,060,535) | (29,414,116) | (2,122,651) | (27,924,076) |
| Net increase (decrease) | (1,674,458) | (24,001,445) | 198,774 | 2,694,640 |
| Class K | ||||
| Subscriptions | — | — | 2 | 16 |
| Redemptions | — | — | (3,426) | (44,632) |
| Net decrease | — | — | (3,424) | (44,616) |
| Class R | ||||
| Subscriptions | 48,111 | 675,734 | 64,945 | 859,691 |
| Distributions reinvested | 17,454 | 236,175 | 19,360 | 253,943 |
| Redemptions | (212,693) | (2,957,454) | (147,032) | (1,939,777) |
| Net decrease | (147,128) | (2,045,545) | (62,727) | (826,143) |
| Class T | ||||
| Distributions reinvested | — | — | 32 | 426 |
| Redemptions | — | — | (1,290) | (16,480) |
| Net decrease | — | — | (1,258) | (16,054) |
| Total net decrease | (1,746,339) | (25,950,026) | (1,737,167) | (22,710,485) |
The accompanying Notes to Financial Statements are
an integral part of this statement.
| 14 | Columbia Real Estate Equity Fund | Annual Report 2019 |
[THIS PAGE INTENTIONALLY LEFT
BLANK]
| Columbia Real Estate Equity Fund | Annual Report 2019 | 15 |
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 | Distributions from net realized gains | Total distributions to shareholders | |
| Class A | |||||||
| Year Ended 12/31/2019 | $12.07 | 0.21 | 3.11 | 3.32 | (0.21) | (1.41) | (1.62) |
| Year Ended 12/31/2018 | $14.02 | 0.18 | (1.17) | (0.99) | (0.19) | (0.77) | (0.96) |
| Year Ended 12/31/2017 | $15.37 | 0.22 | 0.56 | 0.78 | (0.22) | (1.91) | (2.13) |
| Year Ended 12/31/2016 | $15.30 | 0.22 | 0.54 | 0.76 | (0.23) | (0.46) | (0.69) |
| Year Ended 12/31/2015 | $15.95 | 0.21 | 0.42 | 0.63 | (0.21) | (1.07) | (1.28) |
| Advisor Class | |||||||
| Year Ended 12/31/2019 | $12.34 | 0.26 | 3.19 | 3.45 | (0.25) | (1.41) | (1.66) |
| Year Ended 12/31/2018 | $14.32 | 0.23 | (1.21) | (0.98) | (0.23) | (0.77) | (1.00) |
| Year Ended 12/31/2017 | $15.65 | 0.29 | 0.55 | 0.84 | (0.26) | (1.91) | (2.17) |
| Year Ended 12/31/2016 | $15.56 | 0.30 | 0.52 | 0.82 | (0.27) | (0.46) | (0.73) |
| Year Ended 12/31/2015 | $16.20 | 0.31 | 0.36 | 0.67 | (0.24) | (1.07) | (1.31) |
| Class C | |||||||
| Year Ended 12/31/2019 | $12.06 | 0.10 | 3.12 | 3.22 | (0.11) | (1.41) | (1.52) |
| Year Ended 12/31/2018 | $14.02 | 0.06 | (1.16) | (1.10) | (0.09) | (0.77) | (0.86) |
| Year Ended 12/31/2017 | $15.37 | 0.11 | 0.56 | 0.67 | (0.11) | (1.91) | (2.02) |
| Year Ended 12/31/2016 | $15.30 | 0.11 | 0.53 | 0.64 | (0.11) | (0.46) | (0.57) |
| Year Ended 12/31/2015 | $15.95 | 0.09 | 0.42 | 0.51 | (0.09) | (1.07) | (1.16) |
| Institutional Class | |||||||
| Year Ended 12/31/2019 | $12.10 | 0.25 | 3.12 | 3.37 | (0.25) | (1.41) | (1.66) |
| Year Ended 12/31/2018 | $14.05 | 0.22 | (1.17) | (0.95) | (0.23) | (0.77) | (1.00) |
| Year Ended 12/31/2017 | $15.40 | 0.25 | 0.57 | 0.82 | (0.26) | (1.91) | (2.17) |
| Year Ended 12/31/2016 | $15.33 | 0.26 | 0.54 | 0.80 | (0.27) | (0.46) | (0.73) |
| Year Ended 12/31/2015 | $15.98 | 0.24 | 0.43 | 0.67 | (0.25) | (1.07) | (1.32) |
| Institutional 2 Class | |||||||
| Year Ended 12/31/2019 | $12.06 | 0.22 | 3.15 | 3.37 | (0.27) | (1.41) | (1.68) |
| Year Ended 12/31/2018 | $14.01 | 0.24 | (1.18) | (0.94) | (0.24) | (0.77) | (1.01) |
| Year Ended 12/31/2017 | $15.36 | 0.29 | 0.56 | 0.85 | (0.29) | (1.91) | (2.20) |
| Year Ended 12/31/2016 | $15.29 | 0.29 | 0.53 | 0.82 | (0.29) | (0.46) | (0.75) |
| Year Ended 12/31/2015 | $15.94 | 0.31 | 0.38 | 0.69 | (0.27) | (1.07) | (1.34) |
| Institutional 3 Class | |||||||
| Year Ended 12/31/2019 | $12.19 | 0.26 | 3.16 | 3.42 | (0.28) | (1.41) | (1.69) |
| Year Ended 12/31/2018 | $14.15 | 0.25 | (1.19) | (0.94) | (0.25) | (0.77) | (1.02) |
| Year Ended 12/31/2017(d) | $15.97 | 0.28 | 0.10 | 0.38 | (0.29) | (1.91) | (2.20) |
The accompanying Notes to Financial
Statements are an integral part of this statement.
| 16 | Columbia Real Estate Equity Fund | Annual Report 2019 |
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 12/31/2019 | $13.77 | 28.04% | 1.29% | 1.28%(c) | 1.47% | 20% | $73,522 |
| Year Ended 12/31/2018 | $12.07 | (7.48%) | 1.29% | 1.29%(c) | 1.35% | 18% | $63,934 |
| Year Ended 12/31/2017 | $14.02 | 5.07% | 1.28% | 1.28%(c) | 1.41% | 27% | $84,557 |
| Year Ended 12/31/2016 | $15.37 | 4.99% | 1.24% | 1.24%(c) | 1.43% | 36% | $115,826 |
| Year Ended 12/31/2015 | $15.30 | 4.32% | 1.25% | 1.25%(c) | 1.33% | 32% | $123,136 |
| Advisor Class | |||||||
| Year Ended 12/31/2019 | $14.13 | 28.47% | 1.04% | 1.04%(c) | 1.81% | 20% | $2,005 |
| Year Ended 12/31/2018 | $12.34 | (7.30%) | 1.03% | 1.03%(c) | 1.69% | 18% | $480 |
| Year Ended 12/31/2017 | $14.32 | 5.37% | 1.04% | 1.04%(c) | 1.85% | 27% | $539 |
| Year Ended 12/31/2016 | $15.65 | 5.28% | 1.00% | 1.00%(c) | 1.86% | 36% | $428 |
| Year Ended 12/31/2015 | $15.56 | 4.56% | 1.00% | 1.00%(c) | 1.98% | 32% | $363 |
| Class C | |||||||
| Year Ended 12/31/2019 | $13.76 | 27.11% | 2.03% | 2.03%(c) | 0.68% | 20% | $4,623 |
| Year Ended 12/31/2018 | $12.06 | (8.24%) | 2.04% | 2.04%(c) | 0.47% | 18% | $4,795 |
| Year Ended 12/31/2017 | $14.02 | 4.28% | 2.03% | 2.03%(c) | 0.68% | 27% | $13,222 |
| Year Ended 12/31/2016 | $15.37 | 4.21% | 1.99% | 1.99%(c) | 0.68% | 36% | $16,965 |
| Year Ended 12/31/2015 | $15.30 | 3.53% | 2.00% | 2.00%(c) | 0.56% | 32% | $18,523 |
| Institutional Class | |||||||
| Year Ended 12/31/2019 | $13.81 | 28.38% | 1.03% | 1.03%(c) | 1.73% | 20% | $162,706 |
| Year Ended 12/31/2018 | $12.10 | (7.23%) | 1.04% | 1.04%(c) | 1.63% | 18% | $136,079 |
| Year Ended 12/31/2017 | $14.05 | 5.32% | 1.03% | 1.03%(c) | 1.60% | 27% | $167,023 |
| Year Ended 12/31/2016 | $15.40 | 5.23% | 0.99% | 0.99%(c) | 1.68% | 36% | $301,531 |
| Year Ended 12/31/2015 | $15.33 | 4.57% | 1.00% | 1.00%(c) | 1.56% | 32% | $319,237 |
| Institutional 2 Class | |||||||
| Year Ended 12/31/2019 | $13.75 | 28.49% | 0.89% | 0.89% | 1.57% | 20% | $1,370 |
| Year Ended 12/31/2018 | $12.06 | (7.12%) | 0.89% | 0.89% | 1.81% | 18% | $7,700 |
| Year Ended 12/31/2017 | $14.01 | 5.48% | 0.89% | 0.89% | 1.89% | 27% | $8,368 |
| Year Ended 12/31/2016 | $15.36 | 5.39% | 0.85% | 0.85% | 1.86% | 36% | $8,580 |
| Year Ended 12/31/2015 | $15.29 | 4.74% | 0.85% | 0.85% | 2.05% | 32% | $7,102 |
| Institutional 3 Class | |||||||
| Year Ended 12/31/2019 | $13.92 | 28.58% | 0.84% | 0.84% | 1.84% | 20% | $44,827 |
| Year Ended 12/31/2018 | $12.19 | (7.07%) | 0.85% | 0.85% | 1.88% | 18% | $59,640 |
| Year Ended 12/31/2017(d) | $14.15 | 2.38% | 0.84%(e) | 0.84%(e) | 2.13%(e) | 27% | $66,446 |
The accompanying Notes to Financial
Statements are an integral part of this statement.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 17 |
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 | Distributions from net realized gains | Total distributions to shareholders | |
| Class R | |||||||
| Year Ended 12/31/2019 | $12.05 | 0.16 | 3.13 | 3.29 | (0.18) | (1.41) | (1.59) |
| Year Ended 12/31/2018 | $14.01 | 0.15 | (1.18) | (1.03) | (0.16) | (0.77) | (0.93) |
| Year Ended 12/31/2017 | $15.36 | 0.19 | 0.56 | 0.75 | (0.19) | (1.91) | (2.10) |
| Year Ended 12/31/2016 | $15.29 | 0.19 | 0.53 | 0.72 | (0.19) | (0.46) | (0.65) |
| Year Ended 12/31/2015 | $15.94 | 0.17 | 0.42 | 0.59 | (0.17) | (1.07) | (1.24) |
| 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) | Institutional 3 Class shares commenced operations on March 1, 2017. Per share data and total return reflect activity from that date. |
| (e) | Annualized. |
The accompanying Notes to
Financial Statements are an integral part of this statement.
| 18 | Columbia Real Estate Equity Fund | Annual Report 2019 |
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 R | |||||||
| Year Ended 12/31/2019 | $13.75 | 27.77% | 1.53% | 1.53%(c) | 1.10% | 20% | $3,726 |
| Year Ended 12/31/2018 | $12.05 | (7.78%) | 1.54% | 1.54%(c) | 1.12% | 18% | $5,038 |
| Year Ended 12/31/2017 | $14.01 | 4.81% | 1.53% | 1.53%(c) | 1.22% | 27% | $6,735 |
| Year Ended 12/31/2016 | $15.36 | 4.73% | 1.49% | 1.49%(c) | 1.21% | 36% | $8,557 |
| Year Ended 12/31/2015 | $15.29 | 4.06% | 1.50% | 1.50%(c) | 1.09% | 32% | $9,140 |
The accompanying Notes to Financial Statements are
an integral part of this statement.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 19 |
Notes to Financial Statements
December 31, 2019
December 31, 2019
Note 1. Organization
Columbia Real Estate Equity Fund
(the Fund), a series of Columbia Funds Series Trust I (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 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. Class C shares automatically convert 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
All equity securities are valued at
the close of business of the New York Stock Exchange. Equity securities are valued at the official closing price on the principal exchange or market on which they trade. Unlisted securities or listed securities for
which there were no sales during the day are valued at the mean of the latest quoted bid and ask prices on such exchanges or markets.
Investments in open-end investment
companies, including money market funds, are valued at their latest net asset value.
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.
| 20 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
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.
Income recognition
Corporate actions and dividend
income are generally recorded net of any non-reclaimable tax withholdings, on the ex-dividend date or upon receipt of ex-dividend notification in the case of certain foreign securities.
The Fund may receive distributions
from holdings in equity securities, business development companies (BDCs), exchange-traded funds (ETFs), limited partnerships (LPs), other regulated investment companies (RICs), and real estate investment trusts
(REITs), which report information as to the tax character of their distributions annually. These distributions are allocated to dividend income, capital gain and return of capital based on actual information reported.
Return of capital is recorded as a reduction of the cost basis of securities held. If the Fund no longer owns the applicable securities, return of capital is recorded as a realized gain. With respect to REITs, to the
extent actual information has not yet been reported, estimates for return of capital are made by Columbia Management Investment Advisers, LLC (the Investment Manager), a wholly-owned subsidiary of Ameriprise
Financial, Inc. (Ameriprise Financial). The Investment Manager’s estimates are subsequently adjusted when the actual character of the distributions is disclosed by the REITs, which could result in a
proportionate change in return of capital to shareholders.
Awards from class action litigation
are recorded as a reduction of cost basis if the Fund still owns the applicable securities on the payment date. If the Fund no longer owns the applicable securities on the payment date, the proceeds are recorded as
realized gains.
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.
Distributions to shareholders
Distributions from net investment
income, if any, are declared and paid each calendar quarter. Net realized capital gains, if any, are distributed at least annually. Income distributions and capital gain distributions are determined in accordance with
federal income tax regulations, which may differ from GAAP.
Guarantees and indemnifications
Under the Trust’s
organizational documents and, in some cases, by contract, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trust or its funds. In addition,
certain of the Fund’s contracts with its service providers contain general indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown since the amount of any future claims
that may be made against the Fund cannot be determined, and the Fund has no historical basis for predicting the likelihood of any such claims.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 21 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
Recent accounting pronouncement
Accounting Standards Update 2018-13
Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement
In August 2018, the Financial
Accounting Standards Board issued Accounting Standards Update (ASU) No. 2018-13 Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. The standard is effective for annual periods
beginning after December 15, 2019 and interim periods within those fiscal years, with early adoption permitted. After evaluation, management determined to adopt the ASU effective for the period ended July 31, 2019 and
all subsequent periods. To comply with the ASU, management implemented disclosure changes which include removal of the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, removal
of the policy for the timing of transfers between levels, removal of the description of the Level 3 valuation processes, as well as modifications to the measurement uncertainty disclosure.
Note 3. Fees and other
transactions with affiliates
Management services fees
The Fund has entered into a
Management Agreement with Columbia Management Investment Advisers, LLC (the Investment Manager), a wholly-owned subsidiary of Ameriprise Financial, Inc. (Ameriprise Financial). Under the Management Agreement, the
Investment Manager provides the Fund with investment research and advice, as well as administrative and accounting services. The management services fee is an annual fee that is equal to a percentage of the
Fund’s daily net assets that declines from 0.75% to 0.66% as the Fund’s net assets increase. The effective management services fee rate for the year ended December 31, 2019 was 0.75% of the Fund’s
average daily net assets.
Compensation of board members
Members of the Board of Trustees
who are not officers or employees of the Investment Manager or Ameriprise Financial are compensated for their services to the Fund as disclosed in the Statement of Operations. These members of the Board of Trustees
may participate in a Deferred Compensation Plan (the Deferred Plan) which may be terminated at any time. Obligations of the Deferred Plan will be paid solely out of the Fund’s assets, and all amounts payable
under the Deferred Plan constitute a general unsecured obligation of the Fund.
Compensation of Chief Compliance
Officer
The Board of Trustees has appointed
a Chief Compliance Officer for the Fund in accordance with federal securities regulations. As disclosed in the Statement of Operations, a portion of the Chief Compliance Officer’s total compensation is allocated
to the Fund, along with other allocations to affiliated registered investment companies managed by the Investment Manager and its affiliates, based on relative net assets.
Transactions with affiliates
For the year ended December 31,
2019, the Fund engaged in purchase and/or sale transactions with affiliates and/or accounts that have a common investment manager (or affiliated investment managers), common directors/trustees, and/or common officers.
Those purchase and sale transactions complied with provisions of Rule 17a-7 under the 1940 Act and were $508,364 and $0, respectively.
Transfer agency fees
Under a Transfer and Dividend
Disbursing Agent Agreement, Columbia Management Investment Services Corp. (the Transfer Agent), an affiliate of the Investment Manager and a wholly-owned subsidiary of Ameriprise Financial, is responsible for
providing transfer agency services to the Fund. The Transfer Agent has contracted with DST Asset Manager Solutions, Inc. (DST) to serve as sub-transfer agent. The Transfer Agent pays the fees of DST for services as
sub-transfer agent and DST is not entitled to reimbursement for such fees from the Fund (with the exception of out-of-pocket fees).
| 22 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
The Fund pays the Transfer Agent a
monthly transfer agency fee based on the number or the average value of accounts, depending on the type of account. In addition, the Fund pays the Transfer Agent a fee for shareholder services based on the number of
accounts or on a percentage of the average aggregate value of the Fund’s shares maintained in omnibus accounts up to the lesser of the amount charged by the financial intermediary or a cap established by the
Board of Trustees from time to time.
The Transfer Agent also receives
compensation from the Fund for various shareholder services and reimbursements for certain out-of-pocket fees. Total transfer agency fees for Institutional 2 Class and Institutional 3 Class shares are subject to an
annual limitation of not more than 0.07% and 0.02%, respectively, of the average daily net assets attributable to each share class.
For the year ended December 31,
2019, the Fund’s effective transfer agency fee rates as a percentage of average daily net assets of each class were as follows:
| Effective rate (%) | |
| Class A | 0.20 |
| Advisor Class | 0.20 |
| Class C | 0.20 |
| Institutional Class | 0.20 |
| Institutional 2 Class | 0.06 |
| Institutional 3 Class | 0.01 |
| Class R | 0.20 |
An annual minimum account balance
fee of $20 may apply to certain accounts with a value below the applicable share class’s initial minimum investment requirements to reduce the impact of small accounts on transfer agency fees. These minimum
account balance fees are remitted to the Fund and recorded as part of expense reductions in the Statement of Operations. For the year ended December 31, 2019, these minimum account balance fees reduced total expenses
of the Fund by $780.
Distribution and service fees
The Fund has entered into an
agreement with Columbia Management Investment Distributors, Inc. (the Distributor), an affiliate of the Investment Manager and a wholly-owned subsidiary of Ameriprise Financial, for distribution and shareholder
services. The Board of Trustees has approved, and the Fund has adopted, distribution and shareholder service plans (the Plans) applicable to certain share classes, which set the distribution and service fees for the
Fund. These fees are calculated daily and are intended to compensate the Distributor and/or eligible selling and/or servicing agents for selling shares of the Fund and providing services to investors.
Under the Plans, the Fund pays a
monthly service fee to the Distributor at the maximum annual rate of 0.25% of the average daily net assets attributable to Class A and Class C shares of the Fund. Also under the Plans, the Fund pays a
monthly distribution fee to the Distributor at the maximum annual rates of 0.10%, 0.75% and 0.50% of the average daily net assets attributable to Class A, Class C and Class R shares of the Fund,
respectively.
Although the Fund may pay
distribution and service fees up to a maximum annual rate of 0.35% of the Fund’s average daily net assets attributable to Class A shares (comprised of up to 0.10% for distribution services and up to 0.25% for
shareholder liaison services), the Fund currently limits such fees to an aggregate fee of not more than 0.25% of the Fund’s average daily net assets attributable to Class A shares.
Sales charges (unaudited)
Sales charges, including front-end
charges and contingent deferred sales charges (CDSCs), received by the Distributor for distributing Fund shares for the year ended December 31, 2019, if any, are listed below:
| Front End (%) | CDSC (%) | Amount ($) | |
| Class A | 5.75 | 0.50 - 1.00(a) | 41,625 |
| Class C | — | 1.00(b) | 19 |
| Columbia Real Estate Equity Fund | Annual Report 2019 | 23 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
| (a) | This charge is imposed on certain investments of between $1 million and $50 million redeemed within 18 months after purchase, as follows: 1.00% if redeemed within 12 months after purchase, and 0.50% if redeemed more than 12, but less than 18, months after purchase, with certain limited exceptions. |
| (b) | This charge applies to redemptions within 12 months after purchase, with certain limited exceptions. |
The Fund’s other share
classes are not subject to sales charges.
Expenses waived/reimbursed by the
Investment Manager and its affiliates
The Investment Manager and certain
of its affiliates have contractually agreed to waive fees and/or reimburse expenses (excluding certain fees and expenses described below) for the period(s) disclosed below, unless sooner terminated at the sole
discretion of the Board of Trustees, so that the Fund’s net operating expenses, after giving effect to fees waived/expenses reimbursed and any balance credits and/or overdraft charges from the Fund’s
custodian, do not exceed the following annual rate(s) as a percentage of the class’ average daily net assets:
| Fee rate(s) contractual through April 30, 2019 | |
| Class A | 1.32% |
| Advisor Class | 1.07 |
| Class C | 2.07 |
| Institutional Class | 1.07 |
| Institutional 2 Class | 0.93 |
| Institutional 3 Class | 0.88 |
| Class R | 1.57 |
The Fund had a voluntary expense
reimbursement arrangement from May 1, 2019 to June 30, 2019. The voluntary expense reimbursement arrangement changed to a contractual arrangement effective July 1, 2019 through April 30, 2020. The annual limitation
rates were the same under all arrangements.
Under the agreement governing these
fee waivers and/or expense reimbursement arrangements, the following fees and expenses are excluded from the waiver/reimbursement commitment, and therefore will be paid by the Fund, if applicable: taxes (including
foreign transaction taxes), expenses associated with investments in affiliated and non-affiliated pooled investment vehicles (including mutual funds and exchange-traded funds), transaction costs and brokerage
commissions, costs related to any securities lending program, dividend expenses associated with securities sold short, inverse floater program fees and expenses, transaction charges and interest on borrowed money,
interest, infrequent and/or unusual expenses and any other expenses the exclusion of which is specifically approved by the Board of Trustees. This agreement may be modified or amended only with approval from the
Investment Manager, certain of its affiliates and the Fund. Any fees waived and/or expenses reimbursed under the expense reimbursement arrangements described above are not recoverable by the Investment Manager or its
affiliates in future periods.
Note 4. Federal tax
information
The timing and character of
income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP because of temporary or permanent book to tax differences.
At December 31, 2019, these
differences were primarily due to differing treatment for deferral/reversal of wash sale losses, trustees’ deferred compensation, re-characterization of distributions for investments and distribution
reclassifications. To the extent these differences were permanent, reclassifications were made among the components of the Fund’s net assets. Temporary differences do not require reclassifications.
The following reclassifications
were made:
| Excess of distributions over net investment income ($) | Accumulated net realized gain ($) | Paid in capital ($) |
| 1,584,823 | (1,584,823) | — |
| 24 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
Net investment income (loss) and
net realized gains (losses), as disclosed in the Statement of Operations, and net assets were not affected by this reclassification.
The tax character of distributions
paid during the years indicated was as follows:
| Year Ended December 31, 2019 | Year Ended December 31, 2018 | ||||
| Ordinary income ($) | Long-term capital gains ($) | Total ($) | Ordinary income ($) | Long-term capital gains ($) | Total ($) |
| 4,963,299 | 27,991,501 | 32,954,800 | 5,145,836 | 18,269,258 | 23,415,094 |
Short-term capital gain
distributions, if any, are considered ordinary income distributions for tax purposes.
At December 31, 2019, the
components of distributable earnings on a tax basis were as follows:
| Undistributed ordinary income ($) | Undistributed long-term capital gains ($) | Capital loss carryforwards ($) | Net unrealized appreciation ($) |
| — | 4,319,434 | — | 109,917,125 |
At December 31, 2019, the cost of
all investments for federal income tax purposes along with the aggregate gross unrealized appreciation and depreciation based on that cost was:
| Federal tax cost ($) | Gross unrealized appreciation ($) | Gross unrealized (depreciation) ($) | Net unrealized appreciation ($) |
| 181,674,478 | 110,555,976 | (638,851) | 109,917,125 |
Tax cost of investments and
unrealized appreciation/(depreciation) may also include timing differences that do not constitute adjustments to tax basis.
Management of the Fund has
concluded that there are no significant uncertain tax positions in the Fund that would require recognition in the financial statements. However, management’s conclusion may be subject to review and adjustment at
a later date based on factors including, but not limited to, new tax laws, regulations, and administrative interpretations (including relevant court decisions). Generally, the Fund’s federal tax returns for the
prior three fiscal years remain subject to examination by the Internal Revenue Service.
Note 5. Portfolio
information
The cost of purchases and
proceeds from sales of securities, excluding short-term investments and derivatives, if any, aggregated to $60,433,173 and $112,465,334, respectively, for the year ended December 31, 2019. The amount of purchase and
sale activity impacts the portfolio turnover rate reported in the Financial Highlights.
Note 6. Affiliated money
market fund
The Fund invests in Columbia
Short-Term Cash Fund, an affiliated money market fund established for the exclusive use by the Fund and other affiliated funds (the Affiliated MMF). The income earned by the Fund from such investments is included as
Dividends - affiliated issuers in the Statement of Operations. As an investing fund, the Fund indirectly bears its proportionate share of the expenses of the Affiliated MMF. The Affiliated MMF prices its shares with a
floating net asset value. In addition, the Board of Trustees of the Affiliated MMF may impose a fee on redemptions (sometimes referred to as a liquidity fee) or temporarily suspend redemptions (sometimes referred to
as imposing a redemption gate) in the event its liquidity falls below regulatory limits.
Note 7. Interfund
lending
Pursuant to an exemptive order
granted by the Securities and Exchange Commission, the Fund participates in a program (the Interfund Program) allowing each participating Columbia Fund (each, a Participating Fund) to lend money directly to and,
except for closed-end funds and money market funds, borrow money directly from other Participating Funds for temporary purposes. The amounts eligible for borrowing and lending under the Interfund Program are subject
to certain restrictions.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 25 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
Interfund loans are subject to the
risk that the borrowing fund could be unable to repay the loan when due, and a delay in repayment to the lending fund could result in lost opportunities and/or additional lending costs. The exemptive order is subject
to conditions intended to mitigate conflicts of interest arising from the Investment Manager’s relationship with each Participating Fund.
The Fund did not borrow or lend
money under the Interfund Program during the year ended December 31, 2019.
Note 8. Line of credit
The Fund has access to a
revolving credit facility with a syndicate of banks led by Citibank, N.A., HSBC Bank USA, N.A. and JPMorgan Chase Bank, N.A. whereby the Fund may borrow for the temporary funding of shareholder redemptions or for
other temporary or emergency purposes. The credit facility, which is a collective agreement between the Fund and certain other funds managed by the Investment Manager or an affiliated investment manager, severally and
not jointly, permits collective borrowings up to $1 billion. Interest is charged to each participating fund based on its borrowings at a rate equal to the higher of (i) the federal funds effective rate, (ii) the
one-month LIBOR rate and (iii) the overnight bank funding rate, plus in each case, 1.00%. Each borrowing under the credit facility matures no later than 60 days after the date of borrowing. The Fund also pays a
commitment fee equal to its pro rata share of the unused amount of the credit facility at a rate of 0.15% per annum. The commitment fee is included in other expenses in the Statement of Operations. This agreement
expires annually in December unless extended or renewed.
The Fund had no borrowings during
the year ended December 31, 2019.
Note 9. Significant
risks
Non-diversification risk
A non-diversified fund is permitted
to invest a greater percentage of its total assets in fewer issuers than a diversified fund. This increases the risk that a change in the value of any one investment held by the Fund could affect the overall value of
the Fund more than it would affect that of a diversified fund holding a greater number of investments. Accordingly, the Fund’s value will likely be more volatile than the value of a more diversified fund.
Real estate sector risk
The risks associated with
investments in real estate investment trusts (REITs) and other companies principally engaged in the real estate industry subject the Fund to risks similar to those of direct investments in real estate and the real
estate industry in general. These include risks related to general and and local economic conditions, possible lack of availability of financing and changes in interest rates or property values. The value of such
investments may be affected by, among other factors, changes in the value of the underlying properties owned by the issuer, changes in the prospect of earnings and/or cash flow growth of the investment, defaults by
borrowers or tenants, market saturation, decreases in market rates for rents, and other economic, political, or regulatory occurrences affecting the real estate industry, including REITs.
REITs depend upon specialized
management skills, may have limited financial resources, may have less trading volume in their securities, and may be subject to more abrupt or erratic price movements than the overall securities markets. REITs are
also subject to the risk of failing to qualify for favorable tax treatment. Some REITs (especially mortgage REITs) are affected by risks similar to those associated with investments in debt securities including
changes in interest rates and the quality of credit extended.
Shareholder concentration risk
At December 31, 2019, one
unaffiliated shareholder of record owned 18.4% of the outstanding shares of the Fund in one or more accounts. The Fund has no knowledge about whether any portion of those shares was owned beneficially. Affiliated
shareholders of record owned 29.0% of the outstanding shares of the Fund in one or more accounts. Subscription and redemption activity by concentrated accounts may have a significant effect on the operations of the
Fund. In the case of a large redemption, the Fund may be forced to sell investments at inopportune times, including its liquid positions, which may result in Fund losses and the Fund holding a higher percentage of
less liquid positions. Large redemptions could result in decreased economies of scale and increased operating expenses for non-redeeming Fund shareholders.
| 26 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Notes to Financial Statements (continued)
December 31, 2019
December 31, 2019
Small- and mid-cap company risk
Investments in small- and
mid-capitalization companies (small- and mid-cap companies) often involve greater risks than investments in larger, more established companies (larger companies) because small- and mid-cap companies tend to have less
predictable earnings and may lack the management experience, financial resources, product diversification and competitive strengths of larger companies. Securities of small- and mid-cap companies may be less liquid
and more volatile than the securities of larger companies.
Note 10. Subsequent
events
Management has evaluated the
events and transactions that have occurred through the date the financial statements were issued and noted no items requiring adjustment of the financial statements or additional disclosure.
Note 11. Information
regarding pending and settled legal proceedings
Ameriprise Financial and certain
of its affiliates have historically been involved in a number of legal, arbitration and regulatory proceedings, including routine litigation, class actions, and governmental actions, concerning matters arising in
connection with the conduct of their business activities. Ameriprise Financial believes that the Fund is not currently the subject of, and that neither Ameriprise Financial nor any of its affiliates are the subject
of, any pending legal, arbitration or regulatory proceedings that are likely to have a material adverse effect on the Fund or the ability of Ameriprise Financial or its affiliates to perform under their contracts with
the Fund. Ameriprise Financial is required to make quarterly (10-Q), annual (10-K) and, as necessary, 8-K filings with the Securities and Exchange Commission (SEC) on legal and regulatory matters that relate to
Ameriprise Financial and its affiliates. Copies of these filings may be obtained by accessing the SEC website at www.sec.gov.
There can be no assurance that
these matters, or the adverse publicity associated with them, will not result in increased Fund redemptions, reduced sale of Fund shares or other adverse consequences to the Fund. Further, although we believe
proceedings are not likely to have a material adverse effect on the Fund or the ability of Ameriprise Financial or its affiliates to perform under their contracts with the Fund, these proceedings are subject to
uncertainties and, as such, we are unable to estimate the possible loss or range of loss that may result. An adverse outcome in one or more of these proceedings could result in adverse judgments, settlements, fines,
penalties or other relief that could have a material adverse effect on the consolidated financial condition or results of operations of Ameriprise Financial.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 27 |
Report of Independent Registered Public
Accounting Firm
To the Board of Trustees of Columbia
Funds Series Trust I and Shareholders of Columbia Real Estate Equity Fund
Opinion on the Financial
Statements
We have audited the accompanying
statement of assets and liabilities, including the portfolio of investments, of Columbia Real Estate Equity Fund (one of the funds constituting Columbia Funds Series Trust I, referred to hereafter as the "Fund") as of
December 31, 2019, the related statement of operations for the year ended December 31, 2019, the statement of changes in net assets for each of the two years in the period ended December 31, 2019, including the
related notes, and the financial highlights for each of the periods indicated therein (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, 2019, 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, 2019 and the financial highlights for each of the periods indicated therein 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, 2019 by correspondence with the custodian and transfer agent. We believe that our
audits provide a reasonable basis for our opinion.
/s/PricewaterhouseCoopers LLP
Minneapolis, Minnesota
February 24, 2020
We have served as the auditor of
one or more investment companies within the Columbia Funds Complex since 1977.
| 28 | Columbia Real Estate Equity Fund | Annual Report 2019 |
Federal Income Tax
Information
(Unaudited)
The Fund hereby designates the
following tax attributes for the fiscal year ended December 31, 2019. Shareholders will be notified in early 2020 of the amounts for use in preparing 2019 income tax returns.
| Section 199A dividends | Capital gain dividend |
| 84.32% | $31,362,881 |
Section 199A dividends. For
taxable, non-corporate shareholders, the percentage of ordinary income distributed during the fiscal year that represents Section 199A dividends potentially eligible for a 20% deduction.
Capital gain dividend. The Fund
designates as a capital gain dividend the amount reflected above, or if subsequently determined to be different, the net capital gain of such fiscal period.
TRUSTEES AND
OFFICERS
The Board oversees the Fund’s
operations and appoints officers who are responsible for day-to-day business decisions based on policies set by the Board. The following table provides basic biographical information about the Fund’s Trustees as
of the printing of this report, including their principal occupations during the past five years, although specific titles for individuals may have varied over the period. The year set forth beneath Length of Service
in the table below is the year in which the Trustee was first appointed or elected as Trustee to any Fund currently in the Columbia Funds Complex or a predecessor thereof. Under current Board policy, members serve
terms of indefinite duration.
Independent trustees
| Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Fund Complex overseen | Other directorships held by Trustee during the past five years |
| Janet Langford Carrig c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1957 | Trustee 1996 | Senior Vice President, General Counsel and Corporate Secretary, ConocoPhillips (independent energy company), September 2007-October 2018 | 71 | Director, EQT Corporation (natural gas producer) |
| Douglas A. Hacker c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1955 | Trustee and Chairman of the Board 1996 | Independent business executive since May 2006; Executive Vice President — Strategy of United Airlines, December 2002-May 2006; President of UAL Loyalty Services (airline marketing company), September 2001-December 2002; Executive Vice President and Chief Financial Officer of United Airlines, July 1999-September 2001 | 71 | Director, Spartan Nash Company (food distributor); Director, Aircastle Limited (aircraft leasing); former Director, Nash Finch Company (food distributor), 2005-2013; former Director, SeaCube Container Leasing Ltd. (container leasing), 2010-2013; and former Director, Travelport Worldwide Limited (travel information technology), 2014-2019 |
| Nancy T. Lukitsh c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1956 | Trustee 2011 | Senior Vice President, Partner and Director of Marketing, Wellington Management Company, LLP (investment adviser), 1997-2010; Chair, Wellington Management Portfolios (commingled non-U.S. investment pools), 2007-2010; Director, Wellington Trust Company, NA and other Wellington affiliates, 1997-2010 | 71 | None |
| Columbia Real Estate Equity Fund | Annual Report 2019 | 29 |
TRUSTEES AND OFFICERS (continued)
Independent trustees (continued)
Independent trustees (continued)
| Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Fund Complex overseen | Other directorships held by Trustee during the past five years |
| David M. Moffett c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1952 | Trustee 2011 | Retired. Consultant to Bridgewater and Associates | 71 | Director, CSX Corporation (transportation suppliers); Director, Genworth Financial, Inc. (financial and insurance products and services); Director, PayPal Holdings Inc. (payment and data processing services); Trustee, University of Oklahoma Foundation; former Director, eBay Inc. (online trading community), 2007-2015; and former Director, CIT Bank, CIT Group Inc. (commercial and consumer finance), 2010-2016 |
| John J. Neuhauser c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1943 | Trustee 1984 | President, Saint Michael’s College, August 2007-June 2018; Director or Trustee of several non-profit organizations, including University of Vermont Medical Center; Academic Vice President and Dean of Faculties, Boston College, August 1999-October 2005; University Professor, Boston College, November 2005-August 2007 | 71 | Director, Liberty All-Star Equity Fund and Liberty All- Star Growth Fund (closed-end funds) |
| Patrick J. Simpson c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1944 | Trustee 2000 | Of Counsel, Perkins Coie LLP (law firm) since 2015; Partner, Perkins Coie LLP, 1988-2014 | 71 | Former Director, M Fund, Inc. (M Funds mutual fund family), July 2018-July 2019 |
Consultants to the Independent
Trustees*
| Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
| J. Kevin Connaughton c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street Mail Drop BX32 05228, Boston, MA 02110 1964 | Independent Trustee Consultant 2016 | Independent Trustee Consultant, Columbia Funds since March 2016; Adjunct Professor of Finance, Bentley University since November 2017; Managing Director and General Manager of Mutual Fund Products, Columbia Management Investment Advisers, LLC, May 2010-February 2015; President, Columbia Funds, 2009-2015; and senior officer of Columbia Funds and affiliated funds, 2003-2015 | 71 | Director, The Autism Project since March 2015; former Trustee, New Century Portfolios, March 2015-December 2017; formerly on Board of Governors, Gateway Healthcare, January 2016 – December 2017 |
| 30 | Columbia Real Estate Equity Fund | Annual Report 2019 |
TRUSTEES AND OFFICERS (continued)
Consultants to the Independent Trustees* (continued)
Consultants to the Independent Trustees* (continued)
| Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
| Olive Darragh c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1962 | Independent Trustee Consultant 2019 | Independent Trustee Consultant, Columbia Funds since June 2019; Managing Director of Darragh Inc. (a strategy and talent management consulting firm) since 2010; Founder and CEO, Zolio (an investment management talent identification platform) since 2004; Partner, Tudor Investments, 2004-2010; Senior Partner, McKinsey & Company, 2001-2004 | 71 | Former Director, University of Edinburgh Business School; former Director, Boston Public Library Foundation |
| Natalie A. Trunow c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street Mail Drop BX32 05228, Boston, MA 02110 1967 | Independent Trustee Consultant 2016 | Independent Trustee Consultant, Columbia Funds since September 2016; Chief Executive Officer, Millennial Portfolio Solutions LLC (asset management and consulting services) since January 2016; Non-executive Investment Committee Member, Sarona Asset Management (private equity firm) since October 2019; Director of Investments, Casey Family Programs, April 2016-September 2016; Senior Vice President and Chief Investment Officer, Calvert Investments, August 2008-January 2016; Section Head and Portfolio Manager, General Motors Asset Management, June 1997-August 2008 | 71 | Director, Health Services for Children with Special Needs, Inc.; Director, Consumer Credit Counseling Services (formerly Guidewell Financial Solutions) |
| * | J. Kevin Connaughton was appointed consultant to the Independent Trustees effective March 1, 2016. Olive Darragh was appointed consultant to the Independent Trustees effective June 10, 2019. Natalie A. Trunow was appointed consultant to the Independent Trustees effective September 1, 2016. Shareholders of the Funds are expected to be asked to elect each of Mr. Connaughton, Ms. Darragh and Ms. Trunow as a Trustee at a future shareholder meeting. |
Interested trustee affiliated with
Investment Manager*
| Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
| William F. Truscott c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Boston, MA 02110 1960 | Trustee 2012 | Chairman of the Board and President, Columbia Management Investment Advisers, LLC since May 2010 and February 2012, respectively; Chief Executive Officer, Global Asset Management, Ameriprise Financial, Inc. since September 2012 (previously Chief Executive Officer, U.S. Asset Management & President, Annuities, May 2010-September 2012); Director and Chief Executive Officer, Columbia Management Investment Distributors, Inc. since May 2010 and February 2012, respectively; Chairman of the Board and Chief Executive Officer, RiverSource Distributors, Inc. since 2006; Director, Threadneedle Asset Management Holdings, SARL since 2014; President and Chief Executive Officer, Ameriprise Certificate Company, 2006-August 2012 | 192 | Chairman of the Board, Columbia Management Investment Advisers, LLC since May 2010; Director, Columbia Management Investment Distributors, Inc. since May 2010; former Director, Ameriprise Certificate Company, August 2006 - January 2013 |
| * | Interested person (as defined under the 1940 Act) by reason of being an officer, director, security holder and/or employee of the Investment Manager or Ameriprise Financial. |
The Statement of Additional
Information has additional information about the Fund’s Board members and is available, without charge, upon request by calling 800.345.6611, visiting columbiathreadneedleus.com/investor/ or contacting your
financial intermediary.
| Columbia Real Estate Equity Fund | Annual Report 2019 | 31 |
TRUSTEES AND OFFICERS (continued)
The Board has appointed officers who are responsible for day-to-day business decisions based on policies it has established. The officers serve at the pleasure of the Board. The following table provides basic information about the Officers of the Fund, including principal occupations during the past five years, although their specific titles may have varied over the period. In addition to Mr. Truscott, who is Senior Vice President, the Fund’s other officers are:
The Board has appointed officers who are responsible for day-to-day business decisions based on policies it has established. The officers serve at the pleasure of the Board. The following table provides basic information about the Officers of the Fund, including principal occupations during the past five years, although their specific titles may have varied over the period. In addition to Mr. Truscott, who is Senior Vice President, the Fund’s other officers are:
Fund officers
| Name, address and year of birth | Position and year first appointed to position for any Fund in the Columbia Funds complex or a predecessor thereof | Principal occupation(s) during past five years |
| Christopher O. Petersen 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1970 | President and Principal Executive Officer (2015) | Vice President and Lead Chief Counsel, Ameriprise Financial, Inc. since January 2015 (previously, Vice President and Chief Counsel, January 2010 - December 2014; officer of Columbia Funds and affiliated funds since 2007. |
| Michael G. Clarke 225 Franklin Street Boston, MA 02110 Born 1969 | Chief Financial Officer, Principal Financial Officer (2009), and Senior Vice President (2019) | Vice President — Accounting and Tax, Columbia Management Investment Advisers, LLC, since May 2010; senior officer of Columbia Funds and affiliated funds since 2002 (previously, Treasurer and Chief Accounting Officer, January 2009-December 2018 and December 2015-December 2018, respectively). |
| Joseph Beranek 5890 Ameriprise Financial Center Minneapolis, MN 55474 Born 1965 | Treasurer, Chief Accounting Officer (Principal Accounting Officer) (2019), and Principal Financial Officer (2020) | Vice President — Mutual Fund Accounting and Financial Reporting, Columbia Management Investment Advisers, LLC, since December 2018 and March 2017, respectively (previously, Vice President — Pricing and Corporate Actions, May 2010-March 2017). |
| Paul B. Goucher 100 Park Avenue New York, NY 10017 Born 1968 | Senior Vice President (2011) and Assistant Secretary (2008) | Senior Vice President and Assistant General Counsel, Ameriprise Financial, Inc. since January 2017 (previously, Vice President and Lead Chief Counsel, November 2008 - January 2017 and January 2013 - January 2017, respectively); Vice President, Chief Legal Officer and Assistant Secretary, Columbia Management Investment Advisers, LLC since May 2010. |
| Thomas P. McGuire 225 Franklin Street Boston, MA 02110 Born 1972 | Senior Vice President and Chief Compliance Officer (2012) | Vice President — Asset Management Compliance, Ameriprise Financial, Inc., since May 2010; Chief Compliance Officer, Ameriprise Certificate Company since September 2010; Chief Compliance Officer, Columbia Acorn/Wanger Funds since December 2015. |
| Colin Moore 225 Franklin Street Boston, MA 02110 Born 1958 | Senior Vice President (2010) | Executive Vice President and Global Chief Investment Officer, Ameriprise Financial, Inc., since July 2013; Executive Vice President and Global Chief Investment Officer, Columbia Management Investment Advisers, LLC since July 2013. |
| Ryan C. Larrenaga 225 Franklin Street Boston, MA 02110 Born 1970 | Senior Vice President (2017), Chief Legal Officer (2017), and Secretary (2015) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since August 2018 (previously, Vice President and Group Counsel, August 2011 - August 2018); officer of Columbia Funds and affiliated funds since 2005. |
| Daniel J. Beckman 225 Franklin Street Boston, MA 02110 Born 1962 | Senior Vice President (2020) | Vice President – Head of North America Product, Columbia Management Investment Advisers, LLC (since April 2015); previously, Senior Vice President of Investment Product Management, Fidelity Financial Advisor Solutions, a division of Fidelity Investments (January 2012 – March 2015). |
| Michael E. DeFao 225 Franklin Street Boston, MA 02110 Born 1968 | Vice President (2011) and Assistant Secretary (2010) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since May 2010. |
| Lyn Kephart-Strong 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1960 | Vice President (2015) | President, Columbia Management Investment Services Corp. since October 2014; Vice President & Resolution Officer, Ameriprise Trust Company since August 2009. |
| 32 | Columbia Real Estate Equity Fund | Annual Report 2019 |
[THIS PAGE INTENTIONALLY LEFT
BLANK]
[THIS PAGE INTENTIONALLY LEFT BLANK]
[THIS PAGE INTENTIONALLY LEFT BLANK]
Please read and consider the
investment objectives, risks, charges and expenses for any fund carefully before investing. For a prospectus and summary prospectus, which contains this and other important information about the Fund, go to
columbiathreadneedleus.com/investor/. The Fund is distributed by Columbia Management Investment Distributors, Inc., member FINRA, and managed by Columbia Management Investment Advisers, LLC.
columbiathreadneedleus.com/investor/. The Fund is distributed by Columbia Management Investment Distributors, Inc., member FINRA, and managed by Columbia Management Investment Advisers, LLC.
Columbia Threadneedle Investments
(Columbia Threadneedle) is the global brand name of the Columbia and Threadneedle group of companies. All rights reserved.
© 2020 Columbia Management Investment
Advisers, LLC.
columbiathreadneedleus.com/investor/
ANN212_12_K01_(02/20)
