NPORT-EX 2 largecapsoi.htm LARGECAP SOI & NOTES

LARGECAP FUND SCHEDULE OF INVESTMENTS
            
February 29, 2020 (Unaudited)
            
             
   
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Value
  
COMMON STOCKS - 99.7%
        
$
112,330,110
  
(COST $117,507,730)
              
 
              
Communication Services - 10.1%
          
11,354,984
  
Entertainment - 2.0%
              
Activision Blizzard, Inc.
    
20,400
      
1,185,852
  
The Walt Disney Co.
    
8,750
      
1,029,438
  
Interactive Media & Services - 5.9%
                
Alphabet, Inc. Class A (a)
    
3,260
      
4,365,954
  
Facebook, Inc. (a)
    
12,050
      
2,319,264
  
Media - 2.2%
                
Discovery, Inc. (a)
    
32,600
      
837,820
  
ViacomCBS, Inc.
    
65,691
      
1,616,656
  
 
                
Consumer Discretionary - 10.9%
            
12,201,583
  
Automobiles - 0.9%
                
Harley-Davidson, Inc.
    
32,200
      
981,134
  
Distributors - 1.4%
                
LKQ Corp. (a)
    
52,000
      
1,538,160
  
Hotels, Restaurants & Leisure - 0.5%
                
Starbucks Corp.
    
7,225
      
566,657
  
Household Durables - 0.9%
                
TopBuild Corp. (a)
    
10,225
      
1,032,725
  
Internet & Direct Marketing Retail - 2.3%
                
eBay, Inc.
    
73,195
      
2,535,475
  
Leisure Products - 0.7%
                
Brunswick Corp.
    
15,225
      
809,970
  
Multiline Retail - 0.9%
                
Target Corp.
    
10,135
      
1,043,905
  
Specialty Retail - 3.3%
                
Bed Bath & Beyond, Inc.
    
75,800
      
819,398
  
Lumber Liquidators Holdings, Inc. (a)
    
203,175
      
1,991,114
  
Party City Holdco, Inc. (a)
    
443,741
      
883,045
  
 
                
Consumer Staples - 4.6%
            
5,087,200
  
Food & Staples Retailing - 2.0%
                
Walgreens Boots Alliance, Inc.
    
48,950
      
2,239,952
  
Food Products - 1.6%
                
The Kraft Heinz Co.
    
71,025
      
1,759,289
  
Household Products - 1.0%
                
Kimberly-Clark Corp.
    
8,293
      
1,087,959
  
 
                
Energy - 5.1%
            
5,683,783
  
Energy Equipment & Services - 0.6%
                
Schlumberger Ltd.
    
24,244
      
656,770
  
Oil, Gas & Consumable Fuels - 4.5%
                
Chevron Corp.
    
9,820
      
916,599
  
Devon Energy Corp.
    
25,425
      
412,902
  
EOG Resources, Inc.
    
9,475
      
599,389
  
Exxon Mobil Corp.
    
28,470
      
1,464,496
  
Noble Energy, Inc.
    
26,800
      
424,244
  
Pioneer Nat Res Co.
    
9,850
      
1,209,383
  
 
                
Financials - 16.2%
            
18,280,048
  
Banks - 9.2%
                
Bank of America Corp.
    
91,100
      
2,596,350
  
CIT Group, Inc.
    
30,925
      
1,228,032
  
Citigroup, Inc.
    
36,115
      
2,291,858
  
JPMorgan Chase & Co.
    
20,545
      
2,385,480
  
The PNC Financial Services Group, Inc.
    
6,145
      
776,728
  
Truist Financial Corp.
    
13,532
      
624,366
  
Zions Bancorporation
    
13,025
      
520,349
  
Capital Markets - 5.6%
                
The Charles Schwab Corp.
    
28,500
      
1,161,375
  
Northern Trust Corp.
    
19,185
      
1,683,676
  


State Street Corp.
    
33,300
      
2,268,062
  
The Goldman Sachs Group, Inc.
    
5,775
      
1,159,447
  
Consumer Finance - 0.5%
                
Discover Financial Services
    
7,920
      
519,394
  
Insurance - 0.9%
                
Fidelity National Financial, Inc.
    
27,475
      
1,064,931
  
 
                
Health Care - 19.3%
            
21,787,358
  
Biotechnology - 4.9%
                
AbbVie, Inc.
    
20,725
      
1,776,340
  
Amgen, Inc.
    
5,675
      
1,133,468
  
Exact Sciences Corp. (a)
    
28,025
      
2,268,623
  
MiMedx Group, Inc. (a)
    
57,600
      
372,096
  
Health Care Equipment & Supplies - 1.0%
                
Abbott Laboratories
    
15,075
      
1,161,227
  
Health Care Providers & Services - 7.5%
                
Cigna Corp.
    
7,100
      
1,298,874
  
CVS Health Corp.
    
31,025
      
1,836,060
  
HCA Healthcare, Inc.
    
8,975
      
1,139,915
  
McKesson Corp.
    
17,385
      
2,431,466
  
UnitedHealth Group, Inc.
    
6,900
      
1,759,224
  
Pharmaceuticals - 5.9%
                
Bristol-Myers Squibb Co.
    
40,925
      
2,417,030
  
Johnson & Johnson
    
8,160
      
1,097,357
  
Merck & Co., Inc.
    
14,800
      
1,133,088
  
Pfizer, Inc.
    
58,725
      
1,962,590
  
 
                
Industrials - 8.3%
            
9,378,849
  
Air Freight & Logistics - 1.6%
                
FedEx Corp.
    
13,075
      
1,845,798
  
Building Products - 1.7%
                
Masco Corp.
    
46,700
      
1,929,644
  
Industrial Conglomerates - 2.9%
                
3M Co.
    
5,400
      
805,896
  
General Electric Co.
    
227,025
      
2,470,031
  
Machinery - 1.0%
                
Wabtec Corp.
    
16,626
      
1,142,206
  
Trading Companies & Distributors - 1.1%
                
HD Supply Holdings, Inc. (a)
    
31,175
      
1,185,274
  
 
                
Information Technology - 23.0%
            
26,034,160
  
Communications Equipment - 3.5%
                
Cisco Systems, Inc.
    
57,860
      
2,310,349
  
Lumentum Holdings, Inc. (a)
    
11,625
      
904,658
  
Viavi Solutions, Inc. (a)
    
58,735
      
774,715
  
Electronic Equipment, Instruments & Components - 2.2%
                
Corning, Inc.
    
43,650
      
1,041,489
  
II-VI, Inc. (a)
    
47,000
      
1,395,430
  
IT Services - 3.9%
                
Alliance Data Systems Corp.
    
21,475
      
1,844,272
  
Fiserv, Inc. (a)
    
10,624
      
1,161,841
  
PayPal Holdings, Inc. (a)
    
7,835
      
846,102
  
Visa, Inc. Class A
    
3,250
      
590,720
  
Semiconductors & Semiconductor Equipment - 6.2%
                
Infineon Technologies A.G. ADR
    
93,575
      
1,940,746
  
Intel Corp.
    
19,400
      
1,077,088
  
NXP Semiconductors N.V.
    
12,400
      
1,409,756
  
Qualcomm, Inc.
    
32,980
      
2,582,334
  
Software - 5.0%
                
Microsoft Corp.
    
23,276
      
3,770,944
  
Oracle Corp.
    
38,475
      
1,902,974
  
Technology Hardware, Storage & Peripherals - 2.2%
                
Apple, Inc.
    
9,075
      
2,480,742
  

Materials - 1.3%
            
1,488,273
  
Metals & Mining - 1.3%
                
Freeport-McMoRan, Inc. Class B
    
149,425
      
1,488,273
  
 
                
Real Estate - 0.9%
            
1,033,872
  
Equity Real Estate Investment - 0.9%
                
Simon Property Group, Inc.
    
8,400
      
1,033,872
  
 
                
RIGHTS - 0.1%
          
$
91,706
  
(COST 58,309)
                
 
                
Health Care - 0.1%
            
91,706
  
Pharmaceuticals - 0.1%
                
Bristol-Myers Squibb Co. CVR (a)
    
27,375
      
91,706
  
 
                
SHORT-TERM INVESTMENTS - 0.0%^
            
90
  
(COST $90)
                
 
                
Money market funds - 0.0%^
            
90
  
First American Government Obligations Fund, 1.491% (b)
    
90
      
90
  
 
                
TOTAL INVESTMENTS - 99.8% (COST $117,566,130)
            
112,421,906
  
                 
NET OTHER ASSETS AND LIABILITIES - 0.2%
            
268,439
  
                 
NET ASSETS - 100.0%
          
$
112,690,345
  

(a)
Non-income producing security.
 
 
 
 
 
 
 
 
(b)
Rate shown represents the current coupon rate at February 29, 2020.
 
 
 
 
 
 
 
 
^
Rounds to 0.0%.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Abbreviations:
 
 
 
 
 
 
 
 
ADR
American Depositary Receipt
 
 
 
 
 
 
 
 
A.G.
Aktiengesellschaft is the German term for a public limited liability corporation.
 
 
 
 
 
 
 
 
CVR
Contingent Value Right
 
 
 
 
 
 
 
 
N.V.
Naamloze Vennootschap is the Dutch term for a public limited liability corporation.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The Global Industry Classification Standard (“GICS”) was developed by and is the exclusive property and a service mark of MSCI Inc. (“MSCI”) and Standard & Poor’s Financial Services LLC (“S&P”) and is licensed for use by Thompson Investment Management, Inc. Neither MSCI, S&P, nor any other party involved in making or compiling the GICS or any GICS classifications makes any warranties with respect thereto or the results to be obtained by the use thereof, and no such party shall have any liability whatsoever with respect thereto.
 
 
 
 
 
 
 
 
 
 
The following is a summary of the inputs used to value the Funds’ investments as of February 29, 2020:
 
 
 
 
 
 

 
 
  
Level 1
    
Level 2
    
Level 3
    
Total
  
 
Common Stocks
                        
 
Communication services
  
$
11,354,984
    
$
-
    
$
-
    
$
11,354,984
  
 
Consumer discretionary
    
12,201,583
      
-
      
-
      
12,201,583
  
 
Consumer staples
    
5,087,200
      
-
      
-
      
5,087,200
  
 
Energy
    
5,683,783
      
-
      
-
      
5,683,783
  
 
Financials
    
18,280,048
      
-
      
-
      
18,280,048
  
 
Health care
    
21,787,358
      
-
      
-
      
21,787,358
  
 
Industrials
    
9,378,849
      
-
      
-
      
9,378,849
  
 
Information technology
    
26,034,160
      
-
      
-
      
26,034,160
  
 
Materials
    
1,488,273
      
-
      
-
      
1,488,273
  
 
Real estate
    
1,033,872
      
-
      
-
      
1,033,872
  
 
Total common stocks
    
112,330,110
      
-
      
-
      
112,330,110
  
 
Rights
                                
 
Health care
    
91,706
      
-
      
-
      
91,706
  
 
Total rights
    
91,706
      
-
      
-
      
91,706
  
 
Short-term investments
                                
 
Money market funds
    
90
      
-
      
-
      
90
  
 
Total short-term investments
    
90
      
-
      
-
      
90
  
 
Total investments
  
$
112,421,906
    
$
-
    
$
-
    
$
112,421,906
  

The Fund did not invest in any level-3 investments as of and during the three-month period ended February 29, 2020.
 
 
 
 
 
 
 
 
 
 
For more information on valuation inputs, see the accompanying notes. The accompanying notes are an integral part of the schedule of investments.
 
 

 
THOMPSON IM FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS
February 29, 2020

VALUATION POLICY AND PROCEDURES - The Funds’ Board of Directors (the “Funds’ Board”) has adopted methods for valuing securities set forth in the Funds’ Pricing Policies and Procedures, including circumstances in which market quotes are not readily available or deemed to be unreliable, and has delegated authority to the Advisor to apply those methods in making fair value determinations, subject to oversight by the Funds’ Board. The Advisor has established a valuation committee that, along with other Advisor employees, administers, implements, and oversees the fair valuation process and makes fair value decisions. The valuation committee regularly reviews its own fair value decisions, as well as valuations, valuation techniques and services furnished by pricing services; considers circumstances in the markets which may require it to make or adjust valuation determinations; and reviews previous valuation determinations. The valuation committee reports on its activities and any changes to the fair valuation guidelines to the Funds’ Board.

VALUATION MEASUREMENTS – In accordance with generally accepted accounting principles in the United States of America (“GAAP”), fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in an orderly transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. GAAP established a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes.

Various inputs are used in determining the value of each Fund’s investments. These inputs are summarized in the three broad levels listed below:

Level 1 – Quoted prices in active markets for identical securities.

Level 2 – Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).

Level 3 – Significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments).

Inputs may include price information, specific and broad credit data, liquidity statistics, and other factors. The Fund considers observable data to be that market data which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market. The determination of what constitutes “observable” requires significant judgment by the Fund. The categorization of a security within the hierarchy is based upon the pricing transparency of the security and does not necessarily correspond to the Fund’s perceived risk of that security.  The inputs used to measure fair value may fall into different levels of the fair valuation hierarchy.  In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety is determined based on the lowest level that is significant to the fair value measurement in its entirety.

SECURITY VALUATION - Each Fund’s equity securities, including common stocks, ADRs,REITs, and rights are valued at their market prices (generally the last reported sales price on the exchange where the securities are primarily traded or, for Nasdaq-listed securities, at their Nasdaq Official Closing Prices). If no sales are reported on a particular day, the mean between the highest bid and lowest asked quotations at the close of the exchanges will generally be used.  To the extent these securities are actively traded, and valuation adjustments are not applied, they are categorized in level 1 of the fair value hierarchy.  When adjustments to observable prices are applied or when the market is considered inactive, securities will be categorized in level 2 of the fair value hierarchy.

Investments in money market mutual funds are generally priced at the ending net asset value provided by the service agent of the funds.  These securities will be categorized as level 1 securities.

1

Fixed-income securities such as corporate bonds, asset-backed securities, mortgage-backed securities, U.S. government and agency securities, sovereign bonds, municipal bonds and commercial paper are typically valued based on valuations published by an independent pricing service, which uses various valuation methodologies such as matrix pricing and other analytical pricing models as well as market transactions and dealer quotations. Factors considered by pricing services include market characteristics such as benchmark yield curves, option-adjusted spreads, credit spreads and fundamental analytical data relating to the issuer. Short-term investments in fixed-income securities (those with remaining maturities of 60 days or less) are generally valued on an amortized cost basis. Fixed-income securities will generally be categorized in level 2 of the fair value hierarchy, in instances where lower relative weight is placed on transaction prices, quotations, or similar observable inputs, they are categorized in level 3.

Where market quotations are not readily available or are unreliable, a value is determined in good faith pursuant to procedures established by the Funds’ Board.   When determining the value of a security, consideration is given to the facts and circumstances relevant to the particular situation, which includes factors such as fundamental analytical data relating to the investment, which may include consideration of yields or prices of securities of comparable quality, coupon rate, maturity and type of issue, nature and duration of any restrictions on disposition of the security and an evaluation of forces that influence the market in which the securities are purchased or sold. Fair value pricing is an inherently subjective process, and no single standard exists for determining fair value. Different funds could reasonably arrive at different values for the same security.

2