N-CSR 1 d328602dncsr.htm WILMINGTON FUNDS ANNUAL REPORT Wilmington Funds Annual Report

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM N-CSR

 

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-05514    

 

 

Wilmington Funds

(Exact name of registrant as specified in charter)

 

 

Wilmington Funds Management Corporation

Rodney Square North

1100 North Market Street

Wilmington, DE 19890

(Address of principal executive offices) (Zip code)

 

 

John McDonnell

Wilmington Funds Management Corporation

Rodney Square North

1100 North Market Street

Wilmington, DE 19890

(Name and address of agent for service)

 

 

Registrant’s telephone number, including area code: 302-651-8409

Date of fiscal year end: April 30

Date of reporting period: April 30, 2021

 

 

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

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 

 

 

Item 1. Reports to Stockholders.

 

  (a)

The Report to Shareholders is attached herewith.

 

  (b)

Not applicable.

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WILMINGTON FUNDS April 30, 2021 PRESIDENT’S MESSAGE AND Annual Report WILMINGTON FUNDS Equity Fund Wilmington International Fund Alternatives Fund Wilmington Global Alpha Equities Fund Asset Allocation Funds Wilmington Real Asset Fund Wilmington Diversified Income Fund

LOGO

 

Wilmington International Fund (“International Fund”)

Wilmington Global Alpha Equities Fund (“Global Alpha Equities Fund”)

Wilmington Real Asset Fund (“Real Asset Fund”)

Wilmington Diversified Income Fund (“Diversified Income Fund”)

LOGO

 

PRESIDENT’S MESSAGE

         

President’s Message

      i  

WILMINGTON FUNDS ANNUAL REPORT

         

Management’s Discussion of Fund Performance

      1  

Shareholder Expense Example

      10  

Portfolios of Investments

      11  

Statements of Assets and Liabilities

      46  

Statements of Operations

      48  

Statements of Changes in Net Assets

      50  

Financial Highlights

      52  

Notes to Financial Statements

      56  

Report of Independent Registered Public Accounting Firm

      68  

Federal Tax Information (unaudited)

      69  

Board of Trustees and Trust Officers

      70  

Liquidity Risk Management Disclosure

      73  

 

 

 

 

[This Page Intentionally Left Blank]

 

  i

 

PRESIDENT’S MESSAGE (unaudited)

Esteemed Shareholder:

I am pleased to present the Annual Report of the Wilmington Funds (the “Trust”), covering the Trust’s annual fiscal year of May 1, 2020, through April 30, 2021. Inside you will find a comprehensive review of the Trust’s holdings and financial statements.

The economy and financial markets in review

Wilmington Funds Management Corporation and Wilmington Trust Investment Advisors, Inc. (the Trust’s investment advisor and subadvisor, respectively), have provided the following review of the economy, bond markets, and stock markets for the Trust’s annual fiscal year.

The economy

The last year was one for the history books and captured both the worst of the COVID-19 pandemic’s impact on global output, as well as the early stages of recovery as vaccines and unprecedented volumes of fiscal and monetary stimulus helped the global economy get back on its feet. The U.S. began the period with one of the steepest quarterly declines on record in Q2 2020 as strict lockdown measures imposed to contain the virus abruptly brought in-person activity to a near halt.

The pace and magnitude of the economic rebound that followed was comparably profound as the approval and distribution of highly effective vaccines and rising COVID-19 vaccination rates across the world in 2021 provided investors with a much-needed light at the end of the tunnel. The federal government’s provision of direct checks to many Americans and extended unemployment benefits padded consumer savings, more than offsetting wages lost by low income consumers, and helped to fuel a robust rebound in spending on goods. Spending on services, which depends more on in person interaction, has still yet to recover to pre-pandemic levels but showed signs of picking up in 1Q 2021 as a growing number of states peeled back virus restrictions. The labor market recovered considerably in the period, as the unemployment rate dropped from 14.7% in April 2020, the highest observed since the Great Depression, to 6.1% one year later. The Federal Reserve (the “Fed”) upgraded its outlook for economic activity and inflation, but still guided for rates to remain near zero for years to come and for monthly purchases of treasuries and mortgage-backed securities to continue for the time being.

Economic activity outside the U.S. varied between regions depending on the success of virus containment and vaccination efforts. The eurozone was bogged down by weakness in the services sector for much of the period. Gross Domestic Product (“GDP”) growth contracted in the region for a second consecutive quarter in 1Q 2021 as many of the largest economies kept tight mobility restrictions in place in response to a resurgence of infections and the looming threat of new virus variants. However, notable strength on the industrial side of the economy provided some offset as manufacturing activity benefitted from strength in global goods demand. After a rocky start, vaccination efforts in many European countries began to accelerate in March and April of 2021 paving the way for renewed reopening efforts.

The virus remained a persistent threat for many developing economies, where vaccination campaigns broadly lagged the developed world by a substantial margin. Brazil and India in particular, emerged as virus epicenters in early 2021 after witnessing sharp spikes in infection rates, providing a grim reminder of the need for vaccination efforts to broaden in the emerging world. China was first in and first out of the COVID-19 pandemic after controlling infection rates more effectively and far earlier than most countries and was the only major economy to record positive GDP growth in 2020. Chinese manufacturing activity expanded at a feverish pace for much of the period, benefitting from goods exports and government investment. The services side of the economy lagged but began to narrow the gap later in the period as a brief rise in virus cases was brought under control.

Bond markets

Fixed income performance was mixed over the past year as spreads compressed materially across taxable and tax-exempt credit from extreme levels recorded in early 2020. However, rising long-term rates served as a headwind later in the period. The U.S. 10-year Treasury yield surged over 80 basis points1 in 1Q 2021 for its largest quarterly rise since 2016, buttressed by an improving growth outlook and expectations for higher inflation later in the year. Upward rate pressure weighed heavily on investment grade taxable bonds, as the Bloomberg Barclays U.S. Aggregate Bond Index suffered its worst quarter in several decades in 1Q, more than offsetting gains booked in much of 2020. In investment grade, tax-exempt held up better than taxable peers as strong demand for yield offset more muted new supply, helping to overshadow the rise in rates. Municipals also benefitted from the American Recovery Plan passed by the federal government in March 2021, which included $350 billion of funding for state and local governments. High-yield credit outperformed investment grade in both the taxable and tax-exempt spaces substantially as spreads continued to normalize from more elevated levels, and investors embraced riskier assets.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

ii  

 

For the 12-month period May 1, 2020 to April 30, 2021, certain Bloomberg Barclays indices performed as follows:2

 

 

Bloomberg

Barclays U.S.

Treasury Bond

Index3

  

 

Bloomberg

Barclays U.S.

Aggregate Bond

Index4

 

 

Bloomberg

Barclays U.S.

Credit Bond

Index5

 

 

Bloomberg
Barclays
Municipal Bond
Index6

 

 

Bloomberg        

Barclays U.S.        

Corporate High Yield         

Bond Index7         

 

-4.32%

   

 

-0.27%

  

 

4.25%

  

 

7.75%

  

 

19.67%

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Equity markets

Global equities recorded historically strong performance over the past 12-months as concerns over the initial spread of COVID-19 gave way to optimism over the pace of subsequent recovery. After suffering a -33% market rout in February and March of 2020, the S&P 500 reclaimed its pre-pandemic peak by August of that year, marking the fastest bear market recovery on record. U.S. large cap outperformed from April through November as mega-cap growth stocks that benefitted most from the “stay- at- home” environment prevailed.

November brought an immense shift in leadership, as positive vaccine developments and growing optimism for a swifter return to normal fueled a powerful rotation into economically sensitive areas of the market. U.S. small-cap and value stocks, which carry a heavier weighting toward cyclical sectors, were notable beneficiaries of this trend.

Emerging market equities recorded solid gains in the reflationary environment but saw some weakness in February as certain regions struggled with new outbreaks of COVID-19. In addition, Chinese equities, which comprise a significant share of the MSCI Emerging Markets Index, were weighed down by a mix of regulatory headwinds and concerns over policy tightening. International developed equities also performed well and benefitted from a tilt toward segments that benefit most from rising interest rates and inflation. Equities in Europe picked up momentum towards the end of the period amidst an improving economic outlook for many of the region’s largest countries as vaccinations ramped up.

For the 12-month period May 1, 2020 to April 30, 2021, certain stock market indices performed as follows:

 

S&P 500®
Index8 		   Russel
2000®
Index9 		  MSCI EAFE
(Net)
Index10 		  MSCI Emerging        
Markets (Net)         
Index11         

 

45.98%

   

 

74.91%

  

 

39.88%

  

 

48.71%    

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Although we have begun a new fiscal year, we will never forget the daunting damage that the pandemic has wrought on multiple levels. Still, there is much in the world that is positive, hopeful, and strong. I am referring to our trusted partnership with our clients, our desire to stay close to what’s important to them, and our fervent dedication to helping them achieve their long-term investment objectives. On that—as well as our fiduciary, clients-first mindset—you can always count.

Sincerely,

 

LOGO

Dominick J. D’Eramo, CFA

President

May 14, 2021

 

 

April 30, 2021 (unaudited) / PRESIDENT’S MESSAGE

  iii

 

Must be preceded or accompanied by a prospectus.

Past performance is no guarantee of future results. The index performance quoted is for illustrative purposes only and is not representative of any specific investment. Diversification does not ensure a profit nor protect against loss.

All investments involve risk, including the possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. International investments are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility. These risks are magnified in emerging markets.

High-yield, lower-rated securities generally entail greater market, credit, and liquidity risks than investment grade securities and may include higher volatility and higher risk of default.

 

1.

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

 

2.

Bond prices are sensitive to changes in interest rates and a rise in interest rates can cause decline in their prices.

 

3.

Bloomberg Barclays U.S. Treasury Bond Index is a market capitalization weighted index that includes all publicly issued U.S. Treasury securities that have a remaining maturity of at least one year, are rated investment-grade, and have $250 million or more of outstanding face value. The index is unmanaged and investments cannot be made directly in an index.

 

4.

Bloomberg Barclays U.S. Aggregate Bond Index is a widely used benchmark index for the domestic investment-grade bond market composed of securities from the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index. The index typically includes fixed income securities with overall intermediate- to long-term average maturities. The index is unmanaged and investments cannot be made directly in an index.

 

5.

Bloomberg Barclays U.S. Credit Bond Index tracks the performance of domestic investment-grade corporate bonds and is composed of all publicly issued, fixed-rate, nonconvertible, investment-grade corporate debt. The index is unmanaged and investments cannot be made directly in an index.

 

6.

Bloomberg Barclays Municipal Bond Index tracks the performance of the long-term, tax-exempt, investment-grade bond market. To be included in the index, bonds must have an outstanding par balance of at least $7 million and be issued as part of a transaction of at least $75 million. The index is unmanaged and investments cannot be made directly in an index.

 

7.

Bloomberg Barclays U.S. Corporate High Yield Bond Index measures the USD-denominated, high yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody’s, Fitch, and S&P is Ba1/BB+/BB+ or below. Bonds from issuers with an emerging markets country of risk, based on the Bloomberg Barclays EM country definition, are excluded. The U.S. Corporate High Yield Bond Index is a component of the U.S. Universal and Global High Yield Indices. An investment cannot be made directly in an index.

 

8.

The S&P 500® Index is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index is unmanaged and investments cannot be made directly in an index.

 

9.

The Russell 2000® Index measures the performance of the 2,000 smallest companies in the Russell 3000® Index, which represents approximately 8% of the total market capitalization of the Russell 3000® Index. As of its latest reconstitution, the index had a total market capitalization range of $152.3 million to $5 billion. The index is unmanaged and investments cannot be made directly in an index.

 

10.

MSCI EAFE (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of developed markets, excluding the U.S. & Canada. The MSCI EAFE (Net) Index is an equity index which captures large and mid-cap representation across 21 Developed Markets countries: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the United Kingdom. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

11.

MSCI Emerging Markets (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of emerging markets. The MSCI Emerging Markets (Net) Index captures large and mid-cap representation across 27 Emerging Markets countries: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

1  

 

WILMINGTON INTERNATIONAL FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington International Fund (the “Fund”) had a total return of 44.67%* for Class A Shares and 44.92%* for Class I Shares, versus its benchmark, the MSCI –All Country World ex-US Index (Net, USD) (MSCI ACWI ex-US)** which had a total return of 42.98%.

The Fund’s fiscal-year performance can be divided into three time periods. During the six months from May 1st through October 31st, 2020, uncertainty over the course of the COVID-19 pandemic and associated economic damage dominated investors’ calculations. Markets favored quality growth stocks over more volatile cyclical value stocks. They also favored technology over financials and energy. The Fund enjoyed strong performance tailwinds due to its quality growth tilt, technology overweight, and financials and energy underweights. During those six months, the Fund (Class I shares) returned 15.99% versus 12.22% for the benchmark, producing a 3.77% excess return.

During November 2020, Pfizer and Moderna announced surprisingly high efficacy findings for their COVID-19 vaccines. Perceiving a light at the end of the tunnel, global investors sharply repriced stocks. For instance, the Fund’s benchmark index rose by 13.45% just in November. Investors particularly favored higher-beta cyclical stocks, particularly in the financials and energy sectors. Investors rewarded “junky” stocks, those with low profitability, higher leverage, and higher earnings variability. Now encountering stiff headwinds, the Fund gave back some of the prior six months’ positive excess return. During November 2020, the Fund (Class I shares) returned 10.81% versus 13.45% for the benchmark, trailing the benchmark return by 2.64%.

From December 1st, 2020 through April 30th, 2021, global investors continued to reprice stocks. The Fund’s benchmark rose by another 12.30% during those five months. There were several bursts of cyclical value outperformance during these five months, but such bursts were short-lived. The Fund was able to slightly outperform its benchmark. From December 1st, 2020 through April 30th, 2021, the Fund returned 12.75% versus 12.30% for the benchmark, producing a 0.45% excess return.

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 36.67%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

The MSCI All Country World ex-US Index (Net, USD) (MSCI ACWI ex-US) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the United States. The MSCI ACWI ex-US consists of 49 country indices comprising 22 developed and 27 emerging market country indices. The developed market country indices included are: Australia,Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. The emerging market country indices included are: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Morocco, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. The index is unmanaged and it is not possible to invest directly in an index.

International investing involves special risks including currency risks, increased volatility of foreign securities, political risks and differences in auditing and other financial standards.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  2

 

WILMINGTON INTERNATIONAL FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of Wilmington International Fund from April 30, 2011 to April 30, 2021, compared to the MSCI ACWI ex-US Net Index2.

 

 

VALUE OF A HYPOTHETICAL $10,000 INVESTMENT

   

VALUE OF A HYPOTHETICAL $1,000,000 INVESTMENT

 

LOGO

  

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 36.67%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

   

             1 Year                    

 

  

             5 Years                    

 

  

             10 Years                    

 

     

Class A^

 

   36.67%        

 

     8.68%        

 

   3.66%        

 

     

Class I^

 

   44.92%        

 

   10.05%        

 

   4.41%        

 

     

MSCI ACWI ex-US Net Index2

 

   42.98%        

 

     9.83%        

 

   4.73%        

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.51% and 1.11%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 1.01% and 0.86%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 5.50% ($10,000 investment minus $550 sales charge = $9,450) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

2 

The performance for the MSCI ACWI ex-US Net Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index. It is not possible to invest directly in an index and the represented index is unmanaged.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

3  

 

WILMINGTON GLOBAL ALPHA EQUITIES FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, the Wilmington Global Alpha Equities Fund (the “Fund”) had a total return of 12.27%* for Class A Shares and 12.46%* for Class I Shares, versus its benchmark, the HFRX Equity Hedge Fund Index**, which had a total return of 22.11%.

During the fiscal year ended April 30, 2021, the Fund had positive returns, but failed to keep up with its benchmark during the violent recovery from the coronavirus induced selloff of early 2020. Despite trailing for the fiscal year, the Fund has outpaced the HFRX by over 60 basis points annualized with a lower max drawdown, lower beta, and lower volatility since Wellington Company LLP (“Wellington”) was installed as the sole subadvisor in 2017.

The Fund is a portfolio of long only equity strategies run by Wellington’s different portfolio management teams overseen by Wellington’s Fundamental Factor Team, which also has a long factor overlay sleeve and hedges the portfolio with equity index futures.

For the year, the long only equity strategies trailed Global Equities as represented by the MSCI– All Country World ex-US Index (Net, USD) (MSCI ACWI ex-US) ***. The Fund was hurt by its defensive posture, which results in the portfolio favoring securities with lower beta to equity markets. While low beta typically lags broad markets during up markets (as beta is a measure of market sensitivity), during 2020 and the early months of 2021, low beta stocks underperformed by a much larger degree than would be predicted by historical performance. Roughly 70% of the Fund’s underperformance is due to limited exposure to higher beta names.

From an underlying strategy perspective, four Portfolio Managers (“PM”) outperformed the MSCI ACWI while five underperformed. The top performer was the funds growth manager, while the poorest performer was the quality manager, which is unsurprising as the rally was fueled my lower quality names, especially during the period after the announcement of the Pfizer vaccines efficacy in early November 2020. The factor portfolio was also a significant detractor, given its low vol and quality biases.

The Fund uses equity index futures to reduce the Fund’s net long exposure to the global equity market. Equity index futures performance was in line with the MSCI ACWI ex-US, but detracted significantly as the markets rose.

 

  *

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 6.12%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

**

The HFRX Equity Hedge Fund Index measures the performance of hedge fund strategies that primarily maintain long and short positions in equity and equity derivative securities. Equity Hedge managers typically maintain at least 50%, and in some cases may be entirely invested in equity-related securities, both long and short. Managers may employ a broad range of processes and strategies, including both quantitative and fundamental techniques, as well as net exposures, level of concentration, use of leverage, holding periods, and market capitalizations. The Index is weighted by asset size among reporting funds, which must have at least $50 million in assets or have been active for at least 12 months. The index is unmanaged and it is not possible to invest directly in an index.

 

***

The MSCI All Country World ex-US Index (Net, USD) (MSCI ACWI ex-US) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the United States. The MSCI ACWI ex-US consists of 49 country indices comprising 22 developed and 27 emerging market country indices. The developed market country indices included are:Australia,Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. The emerging market country indices included are: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Morocco, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. The index is unmanaged and it is not possible to invest directly in an index.

Investing involves risk and you may incur a profit or a loss. Investments such as mutual funds which focus on alternative strategies are subject to increased risk and loss of principal and are not suitable for all investors. Diversification does not ensure a profit or guarantee against a loss. There is no assurance that any investment strategy will be successful. Any investment in the Fund should be part of an overall investment program rather than, in itself, a complete program. Because the Fund invests in underlying mutual funds or other managed strategies, an investor in the Fund will bear the management fees and operating expenses of the “Underlying Strategies” in which the Fund invests. The total expenses borne by an investor in the Fund will be higher than if the investor invested directly in the Underlying Strategies, and the returns may therefore be lower.

The Fund, the Sub-Advisers, and the Underlying Strategies may use aggressive investment strategies, which are riskier than those used by typical mutual funds. If the Fund and Sub-Advisers are unsuccessful in applying these investment strategies, the Fund and you may lose more money than if you had invested in another fund that did not invest aggressively. The Fund is subject to risks associated with the Sub-Advisers making trading decisions independently, investing in other investment companies, using a particular style or set of styles, basing investment decisions on historical relationships and correlations, trading frequently, using leverage, making short sales, being non-diversified, and investing in securities with low correlation to the market. The use of leverage may magnify losses.

The Fund is also subject to risks associated with investments in foreign markets, emerging market securities, small cap companies, derivatives, and illiquid securities. Please see the prospectus and summary prospectus for information on these as well as other risk considerations.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  4

 

WILMINGTON GLOBAL ALPHA EQUITIES FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Global Alpha Equities Fund from January 12, 2012 (start of performance) to April 30, 2021 compared to the HFRX Equity Hedge Fund Index2.

 

 

VALUE OF A HYPOTHETICAL $10,000 INVESTMENT

   

VALUE OF A HYPOTHETICAL $1,000,000 INVESTMENT

 

LOGO

  

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 6.12%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

   

             1 Year                    

 

  

             5 Years                    

 

  

Start of Performance             
(1/12/2012)

 

     

Class A^

 

   6.12%        

 

   4.02%        

 

   2.60%        

 

     

Class I^

 

   12.46%        

 

   5.47%        

 

   3.48%        

 

     

HFRX Equity Hedge Fund Index2

 

   22.11%        

 

   4.69%        

 

   3.63%        

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 2.30% and 1.50%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 1.80% and 1.25%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 5.50% ($10,000 investment minus $550 sales charge = $9,450) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

2 

The performance for the HFRX Equity Hedge Fund Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index and the represented index is unmanaged.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

5  

 

WILMINGTON REAL ASSET FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Real Asset Fund (the “Fund”) had a total return of 28.65%* for Class A Shares and 29.00%* for Class I Shares, versus its benchmark, the S&P Developed Property Index**, the Bloomberg Barclays U.S. Treasury Inflation Protected Securities Index (“Bloomberg Barclays U.S. TIPS Index”)***, the Bloomberg Commodity Index****, and the Real Asset Blended Index, which had total returns of 33.28%, 6.09%, 48.52% and 31.51%, respectively.

The Blended Index is a mix of 37.5% S&P Developed Property Index, 37.5% Bloomberg Commodity Index (Total Return), and 25% Bloomberg Barclays U.S. TIPS Index. During the fiscal year, the Fund was helped by its underweight to TIPS and overweight to Real Estate, but hurt by its underweight to Commodities/Other Real Assets for much of the year. Selection and interaction within commodities also detracted.

U.S. inflation-linked bonds (“ILB”) markets posted strong returns for the fiscal year as inflation expectations increased substantially across the curve, though more pronounced at the short end, even as real yields stayed low. During the year, the 10-year inflation expectations increased over 120 basis points and five-year expectations jumped almost 200 basis points, reaching its highest point since before the global financial crisis year. Given the increased outlook for inflation, the Fund reintroduced Treasury Inflation Protected Securities (“TIPS”) into the portfolio in late December, though still below its target given the strong outlook for commodities and real estate.

Global real estate securities, as measured by the S&P Developed Property Index, were up 33% for the fiscal year. While this was a strong result, Real Estate performed considerably worse than equities during the fiscal year, as well as during the calendar year 2020. This was due to the nature of the crisis which left many commercial real estate properties vacant and increased future uncertainty, especially for sectors like hospitality, office and retail. U.S. real estate outperformed international, and especially outperformed emerging markets, with China in particular experiencing poor relative performance. The Fund benefitted from being overweight real estate much of the year, in particular shifting assets into real estate near market lows in the spring of 2020. Selection was slightly negative as the Fund had some exposure to emerging markets real estate.

Commodities gained nearly 50% during the fiscal year. Commodities rebounded post crisis along with other risk assets and performance for most contracts, in particular industrial metals, agriculture, and

energy, accelerated in 2021 on shortages and increase in demand expectations from economies reopening. Precious metals, particularly gold, lagged the broader commodity complex as the optimism around a faster than expected recovery and higher yields increased the opportunity cost of holding gold. The Fund benefitted from increasing exposure to commodities in late 2020, but suffered due to overweight positioning in gold and silver.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 21.55%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

S&P Developed Property Index defines and measures the investable universe of publicly traded property companies in developed global markets.

 

***

The Bloomberg Barclays U.S. Treasury Inflation Protected Securities Index measures the performance of the U.S. Treasury Inflation Protected Securities market. Federal Reserve holdings of US TIPS are not index eligible and are excluded from the face amount outstanding of each bond in the index.

 

****

Bloomberg Commodity Index (Total Return) is designed to be a diversified benchmark for commodities as an asset class, and reflects the returns that are potentially available through an unleveraged investment in the futures contracts on physical commodities comprising the Index plus the rate of interest that could be earned on cash collateral invested in specified Treasury Bills. The Index is currently composed of futures contracts on 20 physical commodities.

International investing involves special risks including currency risks, increased volatility of foreign securities, political risks and differences in auditing and other financial standards.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  6

 

WILMINGTON REAL ASSET FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Real Asset Fund from April 30, 2011 to April 30, 2021 compared to the S&P Developed Property Index2, the Bloomberg Barclays U.S. TIPS Index2, the Bloomberg Commodity Index2, and the Real Asset Blended Index3.

 

 

VALUE OF A HYPOTHETICAL $10,000 INVESTMENT

   

VALUE OF A HYPOTHETICAL $1,000,000 INVESTMENT

 

LOGO

  

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 21.55%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

   

             1 Year                    

 

   

             5 Years                    

 

   

             10 Years                    

 

     

Class A^

 

   21.55%        

 

    3.70%        

 

    2.20%        

 

     

Class I^

 

   29.00%        

 

    5.14%        

 

    3.04%        

 

     

Bloomberg Barclays U.S. TIPS Index2

  6.09%        

 

    4.08%        

 

    3.33%        

 

     

S&P Developed Property Index2

 

   33.28%        

 

    5.50%        

 

    6.24%        

 

     

Bloomberg Commodity Index2

 

   48.52%        

 

    2.26%        

 

    -5.85%        

 

     

Real Asset Blended Index3

 

   31.51%        

 

    5.51%        

 

    3.96%        

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.42% and 1.08%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 0.92% and 0.83%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 5.50% ($10,000 investment minus $550 sales charge = $9,450) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

2 

The performance for the Bloomberg Barclays U.S. TIPS Index, S&P Developed Property Index and the Bloomberg Commodity Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index and the represented index is unmanaged.

3 

The Real Asset Blended Index is calculated by the investment advisor and is currently based on a weighting of the following indices: 37.5% S&P Developed Property Index, 37.5% Bloomberg Commodity Index (Total Return) and 25% Bloomberg Barclays U.S. Tips Index.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

7  

 

WILMINGTON DIVERSIFIED INCOME FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Diversified Income Fund (the “Fund”) had a total return of 24.86%* for Class A Shares and 25.09%* for Class I Shares, versus its benchmarks, the Russell 1000® Value Index**, Bloomberg Barclays US Aggregate Bond Index***, and the Diversified Blended Index****, which had total returns of 45.92%, -0.27% and 26.25%, respectively.

The Wilmington Diversified Income Fund seeks to achieve a high level of total return consistent with a moderate level of risk, with added emphasis on providing an attractive level of current income. The Fund is diversified across asset classes and geographies, with a philosophy that focuses on strategic positioning, minimizing tactical allocation shifts, and restrained turnover.

The beginning of the fiscal year marked a turning point for equity markets. Progress in the battle against the coronavirus boosted markets early in the 2nd quarter of 2020, with infection rates, hospitalizations, and deaths beginning to decline in early April in New York and other hard-hit areas. The CARES Act, the $2.2 Trillion economic stimulus package passed in late March of 2020, began to flow through the domestic economy and provide a lifeline to many negatively impacted businesses and individuals. Similar historically sized stimulus packages were rolling out globally.

Despite the positive impact of the stimulus and some early progress in the containment of virus spread, the market recognized that early progress was not a solution. The complexion of the markets reflected this as companies aligned with the new work-at-home, shop-at-home, learn-at-home, entertain-at-home environment prospered, while more economically sensitive companies lagged. The former group resides squarely in the realm of growth investing and witnessed a dramatic pull-forward in business gains with many companies capturing years of projected growth in a manner of months. The latter group resides more in the realm of value investing and is more closely aligned with the typical holdings of your Fund.

Hence, in the first half of the fiscal year, your Fund participated in the market rebound by posting low single-digit gains, certainly respectable but somewhat overshadowed by gains in core equity benchmarks driven by marked outperformance of growth stocks. Enter the scientific breakthroughs.

On November 9, 2020, Pfizer and Biontech announced their vaccine candidate against Covid-19 achieved success in the first interim analysis from phase 3 study results, displaying 90% efficacy in preventing Covid-19. Just a week later, on November 16, Moderna announced equally positive results on their vaccine, displaying efficacy of 94.5%. With solutions in sight, the market witnessed an abrupt change in leadership, as companies aligned with an economic reopen scenario surged forward. The value style assumed leadership from growth, setting the stage for attractive returns in your Fund in the second half of the fiscal year.

In the second half of the fiscal year, returns in the Fund moved sharply higher, with both share classes of the Fund posting 6-month returns that exceeded 20%. The net result was full fiscal year returns of 24.86%* for Class A Shares and 25.09%* for Class I Shares. These full year results trailed the pure equity Russell 1000® Value benchmark and

also the Fund’s Diversified Blended Index benchmark. The Fund topped the Barclays US Aggregate Bond Index, which posted a slight negative return for the full year.

The Fund’s broad diversification hurt in limiting the Fund’s upside versus the Russell 1000® Value benchmark but helped when compared to the modest negative return of the Bloomberg Barclays US Aggregate Bond Index. The Fund lagged its Diversified Blended Index in the fiscal year primarily due to the higher quality mandate of our domestic dividend-oriented equity strategy, the Enhanced Dividend Income Strategy (“EDIS”). The rally in value stocks that followed the positive vaccine news was a typical early cycle surge, with broad participation from economically sensitive stocks, many of which have high debt levels, limited earnings, and other lower quality metrics that make them unattractive candidates for the EDIS process. Basically, in the post-vaccine rebound, many of the stocks that were most beaten down led the Russell 1000® Value benchmark higher. Against this backdrop, EDIS posted impressive returns, but could simply not keep pace with the surging value benchmark that is a large component of the Diversified Blended Index.

The modest negative full fiscal year return of the Bloomberg Barclays US Aggregate Bond Index is worthy of mention, as the decline is a recent phenomenon. During the first quarter of 2021, the Biden administration achieved the passage of the USD 1.9 trillion American Rescue Plan Act. Passage of this stimulus package fueled growth hopes but also worries about potential inflation, driving a sharp rise in bond yields that periodically weighed on sentiment. This selloff in bonds drove fixed income returns to negative territory for the fiscal year. The questions of how much stimulus is too much stimulus, and what is the impact in terms of inflation will be topics that are closely watched in the new fiscal year. In that regard, our underweight position to fixed income helped during this decline, as did the outperformance of the Wilmington Trust Core Bond allocation.

Moving forward, as we navigate the improving economic climate, we’ll continue to pursue our goals for your Fund, seeking a high level of total return that includes an attractive level of current income.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 17.94%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

The Russell 1000® Value Index measures the performance of those Russell 1000® Index companies with lower price-to-book ratios and lower forecasted growth values. The Bloomberg Barclays US Aggregate Bond Index is an index measuring both the capital price changes and income provided

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  8

 

 

by the underlying universe of securities, comprised of U.S. Treasury obligations, U.S. investment grade corporate debt and mortgage backed obligations.

 

***

Bloomberg Barclays US Aggregate Bond Index is a widely used benchmark index for the domestic investment-grade bond market composed of securities from the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index. The index typically includes fixed income securities with overall intermediate- to long-term average maturities. The index is unmanaged and investments cannot be made directly in an index.

 

****

The Diversified Blended Index is calculated by the investment advisor and represents the weighted returns of the following indices: 36.0% Russell 1000® Value Index; 24.0% Bloomberg Barclays US Aggregate Bond Index; 17.0% MSCI EAFE (Net) Index; 7.0% Bloomberg Barclays US Corporate High Yield Bond Index; 7.0%, Bloomberg Barclays US Government Inflation-Linked Bond Index; 4.5% Dow Jones Global ex-US Select Real Estate Securities Index; 2.5% S&P US REIT Index; and 2.0% Ibbotson Associates SBBI 30-Day US T-Bill Index.

MSCI EAFE (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of developed markets, excluding the U.S. & Canada. The MSCI EAFE (Net) Index is an equity index which captures large and mid-cap representation across 21 Developed Markets countries: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the United Kingdom. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

The Bloomberg Barclays US Government Inflation-Linked Bond Index includes publicly issued, U.S. Treasury inflation protected securities that have at least 1 year remaining to maturity on index rebalancing date, with an issue size equal to or in excess of $500 million.

Bloomberg Barclays US Corporate High Yield Bond Index measures the USD-denominated, high yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody’s, Fitch, and S&P is Ba1/BB+/BB+ or below. Bonds from issuers with an emerging markets country of risk, based on the Bloomberg Barclays EM country definition, are excluded. The U.S. Corporate High Yield Bond Index is a component of the U.S. Universal and Global High Yield Indices. An investment cannot be made directly in an index.

The Dow Jones Global ex-US Select Real Estate Securities Index is a float adjusted market capitalization index designed to measure the performance of publicly traded real estate securities in developed and emerging countries excluding the United States.

The S&P US REIT Index measures the investable U.S. real estate investment trust market and maintains a constituency that reflects the market’s overall composition.

The Ibbotson Associates SBBI 30 Day T-Bill Total Return Index is an index that reflects U.S. Treasury bill returns. Data from the Wall Street Journal are used for 1977-present; the CRSP U.S. Government Bond File is the source from 1926 to 1976. Each month a one bill portfolio containing the shortest-term bill having not less than one month to maturity is constructed.

International investing involves special risks including currency risk, political risks, increased volatility of foreign securities, and differences in auditing and other financial standards.

Bond prices are sensitive to changes in interest rates and a rise in short-term interest rates could cause a decline in bond prices.

Due to its strategy of investing in other mutual funds, this Fund may incur certain additional expenses and tax results that would not be present with a direct investment in the underlying funds.

 

 

ANNUAL REPORT / April 30, 2021 (unaudited)

9  

 

WILMINGTON DIVERSIFIED INCOME FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Diversified Income Fund from April 30, 2011 to April 30, 2021 compared to the Russell 1000® Value Index2, the Bloomberg Barclays U.S. Aggregate Bond Index2 and the Diversified Blended Index2,3.

 

 

VALUE OF A HYPOTHETICAL $10,000 INVESTMENT

   

VALUE OF A HYPOTHETICAL $1,000,000 INVESTMENT

 

LOGO

  

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 17.94%, adjusted for the Fund’s maximum sales charge of 5.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

    

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

    

             1 Year                    

 

  

        5 Years                     

 

  

             10 Years                    

 

     

Class A^

 

    17.94%        

 

   6.27%        

 

   4.54%        

 

     

Class I^

 

    25.09%        

 

   7.74%        

 

   5.39%        

 

     

Russell 1000® Value Index2

 

    45.92%        

 

   12.15%        

 

   11.13%        

 

     

Bloomberg Barclays U.S. Aggregate Bond Index2

 

    -0.27%        

 

   3.19%        

 

   3.39%        

 

     

Diversified Blended Index2, 3

 

    26.25%        

 

   8.12%        

 

   7.12%        

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.83% and 0.75%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 1.33% and 0.50%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 5.50% ($10,000 investment minus $550 sales charge = $9,450) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

2 

The performance for the Russell 1000® Value Index, the Bloomberg Barclays U.S. Aggregate Bond Index and the Diversified Blended Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index and the represented indices are unmanaged.

3 

The Diversified Blended Index is calculated by the investment advisor and represents the weighted returns of the following indices: 36.0% Russell 1000® Value Index; 24.0% Bloomberg Barclays U.S. Aggregate Bond Index; 17.0% MSCI EAFE (Net) Index; 7.0% Bloomberg Barclays U.S. Corporate High Yield Bond Index; 7.0%, Bloomberg Barclays U.S. Government Inflation-Linked Bond Index; 4.5% Dow Jones Global ex-U.S. Select Real Estate Securities Index; 2.5% S&P U.S. REIT Index; and 2.0% Ibbotson Associates SBBI 30-Day U.S T-Bill Index.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  10

 

SHAREHOLDER EXPENSE EXAMPLE (unaudited)

 

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; and redemption fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This Example is intended to help you to understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. It is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from November 1, 2020 to April 30, 2021.

Actual Expenses

This section of the following table provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred 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 result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses attributable to your investment during this period.

Hypothetical Example for

Comparison Purposes

This section of the following table provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and assumed rates of return of 5% per year before expenses, which are not the Funds’ actual returns. Thus, you should not use the hypothetical account values and expenses to estimate the actual ending account balance or your expenses for the period. Rather, these figures are required to be provided to enable you to compare the ongoing costs of investing in the Funds with other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the Annualized Net Expense Ratio section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

The Annualized Net Expense Ratios may be different from the net expense ratios in the Financial Highlights which are for the fiscal year ended April 30, 2021.

 

 

     Beginning
Account Value
11/01/20		   

Ending

Account Value
4/30/21

    Expenses
Paid
During  Period(1)		    Annualized
Net 
Expense Ratio(2) 

WILMINGTON INTERNATIONAL FUND

            

Actual

            

Class A

      $1,000.00        $1,248.50        $6.13        1.10%  

Class I

      $1,000.00        $1,249.40        $4.74        0.85%  

Hypothetical (assuming a 5% return before expenses)

            

Class A

      $1,000.00        $1,019.34        $5.51        1.10%  

Class I

      $1,000.00        $1,020.58        $4.26        0.85%  

WILMINGTON GLOBAL ALPHA EQUITIES FUND

            

Actual

            

Class A

      $1,000.00        $1,071.40        $7.65        1.49%  

Class I

      $1,000.00        $1,072.00        $6.37        1.24%  

Hypothetical (assuming a 5% return before expenses)

            

Class A

      $1,000.00        $1,017.41        $7.45        1.49%  

Class I

      $1,000.00        $1,018.65        $6.21        1.24%  

WILMINGTON REAL ASSET FUND

            

Actual

            

Class A

      $1,000.00        $1,246.40        $5.35        0.96%  

Class I

      $1,000.00        $1,247.70        $3.96        0.71%  

Hypothetical (assuming a 5% return before expenses)

            

Class A

      $1,000.00        $1,020.03        $4.81        0.96%  

Class I

      $1,000.00        $1,021.27        $3.56        0.71%  

WILMINGTON DIVERSIFIED INCOME FUND

            

Actual

            

Class A

      $1,000.00        $1,205.30        $3.28        0.60%  

Class I

      $1,000.00        $1,206.10        $1.91        0.35%  

Hypothetical (assuming a 5% return before expenses)

            

Class A

      $1,000.00        $1,021.82        $3.01        0.60%  

Class I

      $1,000.00        $1,023.06        $1.76        0.35%  

 

(1) 

Expenses are equal to the Funds’ annualized net expense ratios, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the most recent one-half year period).

 

(2) 

Expense ratio does not reflect the indirect expenses of the underlying funds in which the Funds invest.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

11  

 

PORTFOLIO OF INVESTMENTS SUMMARY TABLE

Wilmington International Fund

At April 30, 2021, the Fund’s sector classifications and country allocations were as follows (unaudited):

 

     Percentage of
Total Net Assets

Common Stocks

  

Information Technology

     16.0 % 

Industrials

     15.7 % 

Consumer Discretionary

     13.7 % 

Financials

     13.4 % 

Materials

     8.4 % 

Health Care

     8.0 % 

Communication Services

     6.0 % 

Consumer Staples

     3.5 % 

Real Estate

     2.8 % 

Energy

     2.1 % 

Utilities

     1.5 % 

Investment Companies

     3.5 % 

Warrants

     1.1 % 

Preferred Stocks

     0.4 % 

Cash Equivalents(1)

    2.9 % 

Cash Collateral Invested for Securities on Loan(2)

    3.5 % 

Other Assets and Liabilities – Net(3)

    (2.5 )% 
 

 

 

  

TOTAL

     100.0 % 
 

 

 

  
Country Allocation    Percentage of
Total Net Assets

Common Stocks

  

Japan

     17.8 % 

China

     8.7 % 

France

     7.4 % 

Germany

     7.0 % 

United Kingdom

     6.3 % 

Switzerland

     5.6 % 

Sweden

     5.1 % 

Taiwan

     4.5 % 

Hong Kong

     4.2 % 

Australia

     3.8 % 

South Korea

     3.6 % 

Netherlands

     3.3 % 

Denmark

     2.9 % 

United States

     2.0 % 

Italy

     1.4 % 

Spain

     1.4 % 

India

     1.0 % 

Finland

     1.0 % 

All other countries less than 1.0%

     4.1 % 

Investment Companies

     3.5 % 

Warrants

     1.1 % 

Preferred Stocks

     0.4 % 

Cash Equivalents(1)

    2.9 % 

Cash Collateral Invested for Securities on Loan(2)

    3.5 % 

Other Assets and Liabilities – Net(3)

    (2.5 )% 
 

 

 

  

TOTAL

     100.0 % 
 

 

 

  
 

 

(1) 

Cash Equivalents include investments in a money market fund.

 

(2) 

Cash Collateral Invested for Securities on Loan include investments in money market funds and repurchase agreements.

 

(3) 

Assets, other than investments in securities, less liabilities. See Statements of Assets and Liabilities.

PORTFOLIO OF INVESTMENTS¢

 

  Description        Number of
Shares		                      Value    

COMMON STOCKS – 91.1%

      

AUSTRALIA – 3.8%

 

Australia & New Zealand Banking Group Ltd.

      145,412      $ 3,208,411  

BHP Group Ltd.

      136,241        4,958,610  

BHP Group PLC

      74,142        2,232,773  

Brambles Ltd.

      141,272        1,131,719  

Cochlear Ltd.

      13,569        2,322,738  

CSL Ltd.

      18,567        3,878,542  

Incitec Pivot Ltd.*

      1,156,938        2,348,481  

Rio Tinto Ltd.

      42,218        3,923,948  

Rio Tinto PLC

      37,086        3,106,222  
     

 

 

  

TOTAL AUSTRALIA

 

    $     27,111,444  
  Description        Number of
Shares		                      Value    

BELGIUM – 0.5%

 

Ageas SA

      13,570      $ 820,712  

Bpost SA*

      12,003        127,565  

KBC Group NV*

      3,640        282,423  

Proximus SADP#

     9,110        194,088  

UCB SA

      1,370        126,859  

Xior Student Housing NV#

     32,940        1,840,711  
     

 

 

  

TOTAL BELGIUM

 

    $     3,392,358  

BULGARIA – 0.0%**

 

Petrol AD*,(1)

      2,384        —  

CHINA – 8.7%

 

Alibaba Group Holding Ltd.*

      78,528        2,270,065  

Alibaba Group Holding Ltd., ADR*

      33,377        7,708,418  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington International Fund (continued)

   12

 

  Description        Number of
Shares		                      Value    

Baozun, Inc., Class A*

      191,800      $ 2,230,851  

Budweiser Brewing Co. APAC Ltd.#

     695,200        2,190,648  

China Pacific Insurance Group Co. Ltd., Class H

      896,200        3,225,664  

China Petroleum & Chemical Corp., Class H

      5,284,000        2,606,099  

China Resources Land Ltd.

      388,000        1,816,644  

China Resources Medical Holdings Co. Ltd.

      21,000        18,225  

Haitian International Holdings Ltd.

      812,000        3,303,697  

Hollysys Automation Technologies Ltd.

      91,280        1,237,757  

Huazhu Group Ltd., ADR*,#

     54,264        3,199,406  

JD.com, Inc., Class A*

      91,884        3,548,427  

Kuaishou Technology*,#

     16,800        568,813  

NetEase, Inc., ADR

      14,905        1,670,254  

New Oriental Education & Technology Group, Inc., ADR*

      306,780        4,681,463  

Ping An Insurance Group Co. of China Ltd., Class H

      243,500        2,654,704  

Shenzhou International Group Holdings Ltd.

      115,600        2,543,084  

Tencent Holdings Ltd.

      176,900        14,111,674  

Yum China Holdings, Inc.

      30,248        1,903,204  

Yum China Holdings, Inc.

      17,800        1,120,136  
     

 

 

  

TOTAL CHINA

 

    $     62,609,233  

DENMARK – 2.9%

 

Ambu A/S, Class B

      73,873        4,134,723  

Carlsberg AS, Class B

      2,150        377,196  

Chr Hansen Holding A/S*

      6,762        620,802  

Coloplast A/S, Class B

      15,126        2,505,464  

DSV Panalpina A/S

      27,886        6,212,731  

Netcompany Group A/S

      15,310        1,596,734  

Novo Nordisk A/S, Class B

      53,143        3,920,225  

Tryg A/S

      56,385        1,289,351  
     

 

 

  

TOTAL DENMARK

       $ 20,657,226  

FINLAND – 1.0%

 

Elisa OYJ

      4,420        250,558  

Fortum OYJ

      4,090        107,480  

Kesko OYJ, Class B#

     21,106        642,665  

Kojamo OYJ

      76,265        1,651,601  

Neles OYJ

      1,800        26,190  

Neste OYJ

      2,450        148,153  

Nokia OYJ*

      262,900        1,245,346  

Nokian Renkaat OYJ

      3,410        126,960  

Nordea Bank Abp

      38,370        397,689  

Sampo OYJ, Class A

      12,190        578,228  

TietoEVRY OYJ

      7,260        251,429  

UPM-Kymmene OYJ

      33,668        1,316,660  

Valmet OYJ

      10,184        425,359  
     

 

 

  

TOTAL FINLAND

       $ 7,168,318  

FRANCE – 7.4%

 

Amundi SA*

      1,410        125,657  

AXA SA#

     46,578        1,315,598  

BNP Paribas SA*

      20,574        1,319,158  

Bouygues SA#

     12,204        523,008  

Cie Generale des Etablissements Michelin SCA

      7,800        1,128,665  

CNP Assurances

      11,166        195,302  

Credit Agricole SA*

      103,953        1,607,968  
  Description        Number of
Shares		                      Value    

Dassault Systemes SA

      12,017      $ 2,787,616  

Edenred

      58,816        3,334,367  

Engie SA*

      27,516        409,863  

Esker SA

      5,497        1,532,921  

EssilorLuxottica SA

      550        91,542  

Eurazeo SE

      30,204        2,516,578  

Eutelsat Communications SA

      21,030        266,108  

Faurecia SE*

      33,566        1,813,473  

ID Logistics Group*

      7,102        1,964,880  

Legrand SA

      15,526        1,511,299  

L’Oreal SA

      7,126        2,917,886  

LVMH Moet Hennessy Louis Vuitton SE

      9,234        6,956,438  

Natixis SA*

      31,460        153,619  

Neoen SA*,#

     40,091        1,835,707  

Orange SA

      48,560        604,728  

Publicis Groupe SA

      4,450        288,004  

Sanofi#

     27,255        2,857,479  

Sartorius Stedim Biotech

      4,699        2,158,186  

Schneider Electric SE

      17,310        2,761,913  

SCOR SE*

      46,265        1,494,890  

SEB SA

      5,505        1,002,543  

Societe BIC SA

      1,980        139,923  

Societe Generale SA*

      12,593        358,236  

Technip Energies NV*

      93,424        1,330,419  

Teleperformance

      2,900        1,119,819  

TOTAL SE#

     66,643        2,945,475  

Vinci SA#

     813        89,210  

Virbac SA*

      6,015        1,952,418  
     

 

 

  

TOTAL FRANCE

       $     53,410,896  

GERMANY – 7.0%

 

adidas AG*

      10,126        3,127,526  

alstria office REIT AG

      119,381        2,137,492  

ArcelorMittal SA*

      39,400        1,145,383  

Aroundtown SA

      66,440        511,595  

BASF SE

      9,650        777,707  

Bayer AG

      5,970        386,309  

Bayerische Motoren Werke AG

      19,358        1,939,870  

Covestro AG

      2,819        184,361  

Daimler AG

      25,805        2,296,613  

Deutsche Bank AG*

      96,600        1,345,760  

Deutsche Post AG

      34,340        2,022,529  

Deutsche Telekom AG

      42,646        820,725  

Deutsche Wohnen SE

      20,800        1,125,252  

E.ON SE

      38,900        469,050  

Evotec SE*

      48,613        2,022,137  

Fielmann AG*

      19,496        1,484,398  

Freenet AG

      10,052        244,431  

Hannover Rueck SE

      1,830        337,930  

Hypoport SE*

      3,302        1,989,942  

Infineon Technologies AG

      136,453        5,471,842  

LEG Immobilien SE

      3,530        491,147  

Merck KGaA

      6,500        1,141,949  

MTU Aero Engines AG

      7,023        1,772,306  

Muenchener Rueckversicherungs AG

      1,580        456,516  

Nemetschek SE

      34,023        2,536,202  

New Work SE

      6,445        1,956,337  
 

 

ANNUAL REPORT / April 30, 2021

13   PORTFOLIOS OF INVESTMENTS

Wilmington International Fund (continued)

 

  Description        Number of
Shares		                      Value    

Rheinmetall AG

      2,920      $ 304,670  

SAP SE

      27,147        3,801,142  

Siemens AG

      15,740        2,625,982  

Vonovia SE

      26,080        1,713,579  

Zalando SE*

      33,042        3,436,322  
     

 

 

  

TOTAL GERMANY

 

    $     50,077,004  

HONG KONG – 4.2%

 

AIA Group Ltd.

      596,800        7,574,929  

ASM Pacific Technology Ltd.

      150,400        2,271,556  

Hong Kong Exchanges & Clearing Ltd.

      47,800        2,882,868  

Hutchison China MediTech Ltd., ADR*

      101,171        2,862,128  

Jardine Matheson Holdings Ltd.

      46,400        3,115,722  

Johnson Electric Holdings Ltd.

      822,436        2,185,605  

Swire Properties Ltd.

      901,800        2,691,108  

Techtronic Industries Co. Ltd.

      353,500        6,414,177  
     

 

 

  

TOTAL HONG KONG

 

    $ 29,998,093  

INDIA – 1.0%

 

HDFC Bank Ltd., ADR*

      102,976        7,237,153  

IRELAND – 0.8%

 

CRH PLC

      32,960        1,555,193  

Kerry Group PLC, Class A

      11,472        1,487,021  

Kingspan Group PLC

      30,308        2,695,749  
     

 

 

  

TOTAL IRELAND

 

    $ 5,737,963  

ITALY – 1.4%

 

A2A SpA

      106,130        207,587  

Assicurazioni Generali SpA*

      22,067        441,703  

ASTM SpA*

      1,290        39,970  

Enel SpA

      167,269        1,660,869  

Eni SpA

      116,955        1,393,039  

FinecoBank Banca Fineco SpA*

      147,148        2,530,917  

Intesa Sanpaolo SpA*

      330,708        921,986  

Iren SpA

      32,640        97,423  

Mediobanca Banca di Credito Finanziario SpA*

      44,190        499,104  

Salvatore Ferragamo SpA*,#

     95,534        2,045,404  

Societa Cattolica Di Assicurazione SPA*

      10,240        60,698  

UnipolSai Assicurazioni SpA

      99,460        308,884  
     

 

 

  

TOTAL ITALY

 

    $ 10,207,584  

JAPAN – 17.8%

 

ABC-Mart, Inc.

      38,400        2,057,490  

AEON Financial Service Co. Ltd.

      57,300        652,267  

AGC, Inc.

      52,200        2,380,284  

Air Water, Inc.#

     74,000        1,224,015  

Amada Co. Ltd.

      157,400        1,707,224  

Amano Corp.

      30,000        815,097  

Anritsu Corp.#

     84,600        1,643,743  

Ariake Japan Co. Ltd.

      10,200        590,507  

Aruhi Corp.

      123,400        1,991,398  

Asahi Group Holdings Ltd.

      43,100        1,802,144  

Astellas Pharma, Inc.

      39,300        591,507  

Central Japan Railway Co.

      5,200        761,862  

Chubu Electric Power Co., Inc.

      113,900        1,380,286  

cocokara fine, Inc.#

     7,800        528,886  

COMSYS Holdings Corp.

      37,800        1,173,540  
  Description        Number of
Shares		                      Value    

Dai-ichi Life Holdings, Inc.

      51,100      $ 922,716  

Daikin Industries Ltd.

      7,200        1,452,347  

Daiseki Co. Ltd.

      51,900        1,955,906  

Denso Corp.

      19,800        1,280,129  

DKK Co. Ltd.

      22,800        522,706  

Doutor Nichires Holdings Co. Ltd.

      20,800        310,545  

East Japan Railway Co.

      11,100        760,213  

ENEOS Holdings, Inc.

      137,600        591,806  

FCC Co. Ltd.

      40,600        653,404  

Fuji Electric Co. Ltd.

      24,800        1,129,088  

FUJIFILM Holdings Corp.

      11,500        744,916  

Fujitsu Ltd.

      7,400        1,175,549  

Furukawa Electric Co. Ltd.

      35,800        949,590  

Fuso Chemical Co. Ltd.

      18,400        662,586  

Hino Motors Ltd.

      67,000        562,338  

Hitachi Ltd.

      69,800            3,454,941  

Honda Motor Co. Ltd.

      84,100        2,507,848  

Horiba Ltd.

      6,900        449,440  

IHI Corp.*

      34,400        694,698  

Isetan Mitsukoshi Holdings Ltd.

      65,600        459,633  

ITOCHU Corp.

      66,200        2,066,681  

Iwatani Corp.

      8,400        526,457  

J Front Retailing Co. Ltd.

      44,900        428,720  

Japan Airlines Co. Ltd.*

      10,100        216,363  

JGC Holdings Corp.

      76,300        872,230  

JSP Corp.

      29,100        473,612  

Kamigumi Co. Ltd.

      64,500        1,256,719  

Kaneka Corp.

      53,800        2,095,391  

KDDI Corp.

      28,100        849,448  

KH Neochem Co. Ltd.

      33,800        804,121  

Kintetsu World Express, Inc.

      46,600        1,124,341  

Komatsu Ltd.

      22,100        649,842  

Kumagai Gumi Co. Ltd.

      14,500        403,824  

Kureha Corp.

      14,500        980,736  

Mabuchi Motor Co. Ltd.

      19,800        793,043  

Mirait Holdings Corp.

      56,600        915,206  

Mitsubishi Chemical Holdings Corp.

      106,000        789,115  

Mitsubishi Corp.

      83,800        2,317,130  

Mitsubishi Electric Corp.

      90,800        1,399,078  

Mitsubishi UFJ Financial Group, Inc.

      351,500        1,870,014  

Mitsui Fudosan Co. Ltd.

      56,300        1,223,922  

Mitsui Mining & Smelting Co. Ltd.

      18,000        612,756  

Mitsui OSK Lines Ltd.

      46,900        1,885,573  

Murata Manufacturing Co. Ltd.

      19,400        1,542,444  

NEC Networks & System Integration Corp.

      67,300        1,157,740  

Nexon Co. Ltd.

      5,800        191,848  

NGK Insulators Ltd.

      63,800        1,166,037  

Nihon Kohden Corp.

      14,200        429,387  

Nintendo Co. Ltd.

      4,400        2,524,075  

Nippon Steel Corp.

      65,400        1,142,864  

Nippon Telegraph & Telephone Corp.

      62,100        1,565,720  

Nitori Holdings Co. Ltd.

      4,200        752,243  

NOK Corp.

      153,200        1,974,430  

NTT Data Corp.

      91,900        1,430,971  

Olympus Corp.

      82,800        1,704,150  

Organo Corp.

      9,300        622,683  

ORIX Corp.

      41,900        676,428  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington International Fund (continued)

   14

 

  Description        Number of
Shares		                      Value    

Osaka Gas Co. Ltd.

      14,600      $ 282,597  

Otsuka Corp.

      43,100        2,168,086  

Pacific Industrial Co. Ltd.

      58,300        627,034  

Pan Pacific International Holdings Corp.

      63,100        1,360,142  

Panasonic Corp.

      61,800        725,656  

Recruit Holdings Co. Ltd.

      30,900        1,393,204  

Relia, Inc.

      48,000        571,269  

Resona Holdings, Inc.

      68,400        281,578  

Saizeriya Co. Ltd.

      18,700        410,447  

San-A Co. Ltd.

      24,200        929,357  

Santen Pharmaceutical Co. Ltd.

      102,200        1,308,945  

SBI Holdings, Inc.

      28,900        816,853  

SCREEN Holdings Co. Ltd.

      16,100        1,533,310  

Seino Holdings Co. Ltd.

      57,400        789,275  

Seria Co. Ltd.

      20,800        753,773  

Shibaura Machine Co. Ltd.

      55,100        1,314,095  

SoftBank Group Corp.

      37,000        3,334,094  

Sompo Holdings, Inc.

      19,100        709,854  

Sony Group Corp.

      32,700        3,269,311  

SUMCO Corp.

      20,300        525,002  

Sumitomo Electric Industries Ltd.

      79,200        1,178,488  

Sumitomo Metal Mining Co. Ltd.

      48,300        2,044,943  

Sumitomo Mitsui Financial Group, Inc.

      39,400        1,384,072  

Sumitomo Rubber Industries Ltd.

      36,200        448,440  

Suzuki Motor Corp.

      12,800        485,715  

Tatsuta Electric Wire & Cable Co. Ltd.

      55,900        304,956  

TDK Corp.

      16,800        2,278,298  

Terumo Corp.

      17,600        665,495  

THK Co. Ltd.

      40,200        1,371,409  

Toagosei Co. Ltd.

      8,800        98,547  

Tokio Marine Holdings, Inc.

      18,600        891,998  

Tokyu Fudosan Holdings Corp.

      76,500        425,794  

Tomy Co. Ltd.

      36,100        309,982  

Topcon Corp.

      161,800        2,207,511  

Torii Pharmaceutical Co. Ltd.

      31,600        745,398  

Toyo Tanso Co. Ltd.

      33,200        651,367  

Toyota Motor Corp.

      57,700        4,317,355  

Trend Micro, Inc.

      22,500        1,070,975  

Tsumura & Co.

      37,000        1,232,237  

Welcia Holdings Co. Ltd.

      17,300        539,707  

Z Holdings Corp.

      70,800        326,549  
     

 

 

  

TOTAL JAPAN

 

    $     128,059,109  

LUXEMBOURG – 0.0%**

 

APERAM SA

      4,390        227,215  

MACAO – 0.4%

 

Galaxy Entertainment Group Ltd.*

      227,000        1,992,634  

Sands China Ltd.*

      212,000        1,003,197  
     

 

 

  

TOTAL MACAO

 

    $ 2,995,831  

NETHERLANDS – 3.3%

 

Aalberts NV

      37,739        2,038,884  

ABN AMRO Bank NV*

      5,512        71,172  

Adyen NV*

      657        1,616,939  

Aegon NV

      78,886        365,583  

ASML Holding NV

      11,894        7,720,895  

ASR Nederland NV

      7,497        327,435  
  Description        Number of
Shares		                      Value    

BE Semiconductor Industries NV

      1,570      $ 126,801  

IMCD NV

      18,569        2,697,136  

ING Groep NV

      133,367        1,703,763  

Koninklijke Ahold Delhaize NV

      53,580        1,441,941  

Koninklijke Philips NV*

      18,651        1,054,586  

NN Group NV

      32,119        1,602,047  

Royal Dutch Shell PLC, Class A

      79,920        1,503,797  

Royal Dutch Shell PLC, Class B

      27,972        500,522  

Wolters Kluwer NV

      12,300        1,112,548  
     

 

 

  

TOTAL NETHERLANDS

 

    $ 23,884,049  

NORWAY – 0.9%

 

Equinor ASA

      83,470        1,685,491  

Kahoot! ASA*

      63,635        668,505  

Orkla ASA

      33,280        339,227  

Telenor ASA

      13,100        233,376  

TOMRA Systems ASA

      64,020        3,198,274  
     

 

 

  

TOTAL NORWAY

 

    $ 6,124,873  

PHILIPPINES – 0.2%

 

Ayala Land, Inc.

      1,838,600        1,226,631  

RUSSIAN FEDERATION – 0.0%**

 

Evraz PLC

      35,040        310,746  

SINGAPORE – 0.6%

 

Oversea-Chinese Banking Corp. Ltd.

      441,761        4,038,373  

SOUTH AFRICA – 0.3%

 

Anglo American PLC

      52,360        2,220,088  

Investec PLC

      33,220        133,674  
     

 

 

  

TOTAL SOUTH AFRICA

 

    $ 2,353,762  

SOUTH KOREA – 3.6%

 

LG Chem Ltd.

      1,577        1,316,461  

NAVER Corp.

      11,557        3,721,609  

Samsung Electronics Co. Ltd.

      206,952        15,083,795  

SK Hynix, Inc.

      17,721        2,021,636  

SK Materials Co. Ltd.

      12,216        3,680,802  
     

 

 

  

TOTAL SOUTH KOREA

 

    $     25,824,303  

SPAIN – 1.4%

 

ACS Actividades de Construccion y Servicios SA#

     18,623        606,751  

Amadeus IT Group SA*

      4,830        328,914  

Banco Bilbao Vizcaya Argentaria SA*

      61,233        342,879  

Banco Santander SA*,#

     300,394        1,158,787  

Bankinter SA

      316,086        1,728,532  

Cellnex Telecom SA

      20,200        1,142,594  

Enagas SA

      7,500        163,279  

Iberdrola SA

      106,130        1,434,237  

Industria de Diseno Textil SA#

     28,693        1,020,917  

Linea Directa Aseguradora SA Cia de Seguros y Reaseguros*

      316,086        619,424  

Mediaset Espana Comunicacion SA*

      37,460        238,441  

Naturgy Energy Group SA

      9,480        243,537  

Telefonica SA

      202,012        936,189  
     

 

 

  

TOTAL SPAIN

 

    $ 9,964,481  
 

 

ANNUAL REPORT / April 30, 2021

15   PORTFOLIOS OF INVESTMENTS

Wilmington International Fund (continued)

 

  Description        Number of
Shares		                      Value    

SWEDEN – 5.1%

 

AddLife AB, Class B

      52,314      $ 1,448,663  

Annehem Fastigheter AB, Class B*

      6,045        21,154  

Assa Abloy AB, Class B#

     97,453        2,778,345  

Atlas Copco AB, Class A#

     49,351        2,992,648  

Avanza Bank Holding AB

      69,122        2,481,152  

Boliden AB*,#

     13,640        530,562  

Epiroc AB, Class A#

     88,600        1,917,083  

EQT AB

      34,300        1,155,994  

Fabege AB

      108,045        1,610,868  

GARO AB*,#

     22,518        1,773,848  

Hexagon AB, Class B

      33,667        3,215,836  

Hexpol AB

      62,658        768,212  

Investor AB, Class A

      2,230        189,406  

JM AB

      44,545        1,650,207  

Paradox Interactive AB#

     70,417        1,649,819  

Peab AB, Class B*

      26,199        377,936  

Sinch AB*

      8,280        1,293,063  

Skandinaviska Enskilda Banken AB, Class A

      49,971        640,286  

SKF AB, Class B

      7,820        202,036  

Sweco AB, Class B#

     175,365        3,118,166  

Swedbank AB, Class A

      89,250        1,566,794  

Swedish Match AB

      16,330        1,336,848  

Tele2 AB, Class B#

     31,500        406,863  

Telefonaktiebolaget LM Ericsson, Class B

      80,600        1,106,972  

Trelleborg AB, Class B

      41,057        1,068,132  

Volvo AB, Class B

      67,190        1,640,819  
     

 

 

  

TOTAL SWEDEN

 

    $     36,941,712  

SWITZERLAND – 5.6%

 

ABB Ltd.

      72,440        2,353,009  

BKW AG

      8,022        898,412  

Chocoladefabriken Lindt & Spruengli AG*

      137        1,271,555  

Cie Financiere Richemont SA

      11,100        1,139,157  

Comet Holding AG

      7,692        1,972,324  

Emmi AG

      1,777        1,845,492  

EMS-Chemie Holding AG

      80        74,697  

Geberit AG

      340        223,723  

Julius Baer Group Ltd.

      18,300        1,151,755  

Kuehne + Nagel International AG

      950        284,045  

LafargeHolcim Ltd.*

      23,620        1,457,536  

Landis+Gyr Group AG*

      1,070        74,171  

Logitech International SA

      2,470        274,922  

Lonza Group AG*

      2,589        1,645,864  

Nestle SA

      1,850        220,762  

Novartis AG

      40,673        3,470,887  

Partners Group Holding AG

      2,906        4,139,501  

Siegfried Holding AG*

      2,507        2,305,602  

Sika AG

      14,966        4,469,784  

Straumann Holding AG

      1,961        2,802,607  

Swiss Life Holding AG

      1,510        735,720  

Swiss Prime Site AG

      910        88,560  

Swisscom AG

      2,200        1,194,488  

Temenos AG*

      6,914        1,016,496  

UBS Group AG

      111,810        1,707,407  

VAT Group AG

      3,208        916,090  

Zur Rose Group AG*

      4,706        1,566,218  
  Description        Number of
Shares		                      Value    

Zurich Insurance Group AG

      2,947      $ 1,209,032  
     

 

 

  

TOTAL SWITZERLAND

 

    $ 40,509,816  

TAIWAN – 4.5%

 

Hon Hai Precision Industry Co. Ltd.

      531,000        2,182,966  

MediaTek, Inc.

      130,000        5,449,937  

Merida Industry Co. Ltd.

      277,000        3,295,175  

Taiwan Semiconductor Manufacturing Co. Ltd.

      1,000,000        21,059,624  
     

 

 

  

TOTAL TAIWAN

 

    $     31,987,702  

THAILAND – 0.4%

 

Kasikornbank PCL

      602,400        2,549,785  

UNITED KINGDOM – 6.3%

 

3i Group PLC

      21,540        381,512  

Admiral Group PLC

      12,450        537,949  

Ashtead Group PLC

      17,900        1,150,092  

Aviva PLC

      55,133        304,806  

Barclays PLC

      454,700        1,100,816  

Barratt Developments PLC

      39,237        418,355  

Berkeley Group Holdings PLC

      4,737        302,735  

BP PLC

      468,757        1,962,381  

British American Tobacco PLC

      32,440        1,203,633  

BT Group PLC*

      175,855        401,116  

Clipper Logistics PLC

      164,748        1,565,574  

Croda International PLC

      30,734        2,871,169  

CVS Group PLC*

      54,954        1,694,548  

DCC PLC

      23,160        2,009,572  

Dechra Pharmaceuticals PLC

      28,135        1,567,176  

easyJet PLC*

      108,260        1,547,777  

Future PLC

      66,577        2,169,334  

GB Group PLC

      125,367        1,555,859  

GlaxoSmithKline PLC

      80,060        1,479,490  

Hargreaves Lansdown PLC#

     10,310        244,777  

Hill & Smith Holdings PLC

      82,834        1,684,449  

HSBC Holdings PLC

      247,140        1,543,072  

IG Group Holdings PLC

      11,060        139,920  

Imperial Brands PLC

      20,440        426,042  

Kingfisher PLC*

      102,000        503,540  

Legal & General Group PLC

      135,843        510,035  

Lloyds Banking Group PLC

      3,239,699        2,031,549  

Marshalls PLC*

      89,742        901,069  

National Grid PLC

      108,722        1,370,501  

Natwest Group PLC

      96,820        262,751  

Ninety One PLC

      16,720        56,508  

Pennon Group PLC

      3,910        55,850  

Persimmon PLC

      19,291        834,539  

Reckitt Benckiser Group PLC

      4,230        376,629  

Rightmove PLC#

     15,420        130,719  

Softcat PLC

      4,090        108,292  

Spirax-Sarco Engineering PLC

      4,994        815,141  

Spirent Communications PLC

      30,180        106,838  

SSE PLC

      14,763        299,298  

St. James’s Place PLC#

     75,919        1,427,911  

Synthomer PLC

      12,060        84,691  

Tate & Lyle PLC

      16,070        177,775  

Tesco PLC

      119,549        364,931  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington International Fund (continued)

   16

 

  Description        Number of
Shares		                      Value    

Trainline PLC*

      37,838      $ 238,340  

Travis Perkins PLC*

      79,450        1,687,153  

Unilever PLC

      37,835        2,209,233  

UNITE Group PLC (The)

      79,855        1,284,710  

Vodafone Group PLC

      264,580        499,316  

WPP PLC

      17,960        242,139  
     

 

 

  

TOTAL UNITED KINGDOM

 

    $ 44,841,612  

UNITED STATES – 2.0%

 

Ferguson PLC

      4,950        624,324  

James Hardie Industries PLC*

      191,815        6,321,141  

ResMed, Inc.

      140,341        2,832,140  

Samsonite International SA*

      1,351,486        2,501,235  

Stellantis NV

      50,850        843,498  

Stellantis NV

      66,300        1,098,559  
     

 

 

  

TOTAL UNITED STATES

 

    $ 14,220,897  
     

 

 

  
TOTAL COMMON STOCKS
(Cost $458,936,286)

 

    $     653,668,169  

INVESTMENT COMPANIES – 3.5%

 

iShares MSCI ACWI ex U.S. ETF

      71,600        4,051,844  

iShares MSCI Canada ETF#

     372,800        13,275,408  

iShares MSCI EAFE Growth ETF#

     37,600        3,931,456  

iShares MSCI Europe Financials ETF

      179,500        3,598,975  
     

 

 

  
TOTAL INVESTMENT COMPANIES
(Cost $23,472,688)

 

    $ 24,857,683  

PREFERRED STOCKS – 0.4%

 

GERMANY – 0.4%

      

Henkel AG & Co. KGaA, 1.85%

      4,360        500,832  

Volkswagen AG, 4.86%

      9,952        2,591,099  
     

 

 

  
TOTAL PREFERRED STOCKS
(Cost $2,298,946)

 

    $ 3,091,931  

WARRANTS – 1.1%

 

CHINA – 1.1%

      

Midea Group Co. Ltd., Expire 05/27/21*

      308,131        3,817,897  

Shanghai Kelai Mechatronics Engineering Co. Ltd., Expire 03/3/22*

      435,800        1,830,012  

Zhejiang Sanhua Intelligent Controls Co. Ltd., Expire 10/29/21*

      745,704        2,468,653  
     

 

 

  
TOTAL WARRANTS
(Cost $7,354,515)

 

    $ 8,116,562  

MONEY MARKET FUND – 2.9%

 

Dreyfus Government Cash Management

      

Fund, Institutional Shares, 0.03%^

     20,524,201        20,524,201  
     

 

 

  
TOTAL MONEY MARKET FUND
(Cost $20,524,201)

 

    $ 20,524,201  

CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN – 3.5%

 

MONEY MARKET FUNDS – 1.8%

      

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 0.01%^

     2,020,000        2,020,000  
  Description        Number of
Shares		                      Value    

Morgan Stanley Liquidity Funds, Government Portfolio, Institutional Class, 0.03%^

     2,220,000      $ 2,220,000  

Invesco STIT, Government & Agency Portfolio, 0.03%^

     1,510,000        1,510,000  

Blackrock Liquidity Fed Fund, Institutional Shares, 0.03%^

     2,280,000        2,280,000  

JPMorgan U.S. Government Money Market Fund, Capital Class, 0.03%^

     1,550,000        1,550,000  

Federated Hermes Government Obligations Fund, Premier Shares, 0.02%^

     1,290,000        1,290,000  

Goldman Sachs Financial Square Government Fund, Institutional Shares, 0.03%^

     2,280,000        2,280,000  
     

 

 

  

TOTAL MONEY MARKET FUNDS
(Cost $13,150,000)

 

 

    $

 

 13,150,000

 

  

 

     Par Value         

REPURCHASE AGREEMENTS – 1.7%

 

Bank of America Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $2,552,308 collateralized by U.S. Government Agency Securities, 1.00% to 5.50%, maturing 11/01/28 to 5/01/51; total market value of $2,603,352.

    $ 2,552,306        2,552,306  

Daiwa Capital Markets America, 0.01%, dated 4/30/21, due 5/03/21, repurchase price $4,812,002 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.00%, maturing 6/30/21 to 5/01/51; total market value of $4,908,238.

      4,811,998        4,811,998  

RBC Dominion Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $4,812,002 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 6.50%, maturing 6/01/21 to 12/15/60; total market value of $4,908,238.

      4,811,998        4,811,998  
     

 

 

  

TOTAL REPURCHASE AGREEMENTS
(Cost $12,176,302)

       $ 12,176,302  
     

 

 

  
TOTAL CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN
(Cost $25,326,302)

 

    $ 25,326,302  
     

 

 

  
TOTAL INVESTMENTS – 102.5%
(Cost $537,912,938)

 

    $ 735,584,848  

COLLATERAL FOR SECURITIES ON LOAN – (3.5%)

 

      (25,326,302 ) 

OTHER ASSETS LESS LIABILITIES – 1.0%

         7,219,212  
     

 

 

  

TOTAL NET ASSETS – 100.0%

       $     717,477,758  
     

 

 

  
 

 

ANNUAL REPORT / April 30, 2021

17  

PORTFOLIOS OF INVESTMENTS

 

Wilmington International Fund (continued)

 

Various inputs are used in determining the value of the 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)

The following is a summary of the inputs used as of April 30, 2021 in valuing the Fund’s assets and liabilities carried at fair value:

 

     Level 1      Level 2      Level 3     Total  

Assets

           

Investments in Securities

           

Common Stocks

           

Australia

    $ —      $ 27,111,444        $ —     $ 27,111,444  

Belgium

      —        3,392,358        —       3,392,358  

Bulgaria

      —        —        — (a)      —  

China

      20,969,315        41,639,918        —       62,609,233  

Denmark

      —        20,657,226        —       20,657,226  

Finland

      —        7,168,318        —       7,168,318  

France

      1,330,419        52,080,477        —       53,410,896  

Germany

      —        50,077,004        —       50,077,004  

Hong Kong

      2,862,128        27,135,965        —       29,998,093  

India

      7,237,153        —        —       7,237,153  

Ireland

      —        5,737,963        —       5,737,963  

Italy

      —        10,207,584        —       10,207,584  

Japan

      —        128,059,109        —       128,059,109  

Luxembourg

      —        227,215        —       227,215  

Macao

      —        2,995,831        —       2,995,831  

Netherlands

      —        23,884,049        —       23,884,049  

Norway

      —        6,124,873        —       6,124,873  

Philippines

      —        1,226,631        —       1,226,631  

Russian Federation

      —        310,746        —       310,746  

Singapore

      —        4,038,373        —       4,038,373  

South Africa

      —        2,353,762        —       2,353,762  

South Korea

      —        25,824,303        —       25,824,303  

Spain

      619,424        9,345,057        —       9,964,481  

Sweden

      —        36,941,712        —       36,941,712  

Switzerland

      —        40,509,816        —       40,509,816  

Taiwan

      —        31,987,702        —       31,987,702  

Thailand

      —        2,549,785        —       2,549,785  

United Kingdom

      —        44,841,612        —       44,841,612  

United States

      —        14,220,897        —       14,220,897  

Investment Companies

      24,857,683        —        —       24,857,683  

Preferred Stocks

           

Germany

      —        3,091,931        —       3,091,931  

Warrants

           

China

      —        8,116,562        —       8,116,562  

Money Market Funds

      33,674,201        —        —       33,674,201  

Repurchase Agreements

      —        12,176,302        —       12,176,302  
  

 

 

     

 

 

     

 

 

    

 

 

  

Total Investments in Securities

      $91,550,323        $644,034,525        $—       $735,584,848  
  

 

 

     

 

 

     

 

 

    

 

 

  

 


 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington International Fund (concluded)

   18

 

     Level 1     Level 2      Level 3      Total  

Liabilities

           

Other Financial Instruments!

          

Financial Futures Contracts

    $     (609,275)     $                 —      $ —        $(609,275)  
  

 

 

    

 

 

     

 

 

     

 

 

  

Total Liabilities - Other Financial Instruments

    $ (609,275 )    $ —      $ —        $(609,275)  
  

 

 

    

 

 

     

 

 

     

 

 

  

 

(a) 

Includes internally fair valued securities currently priced at zero ($0).

 

! 

Other financial instruments are derivative instruments, such as financial future contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.

As a result of utilizing international fair value pricing at April 30, 2021, a majority portion of the Fund’s common stock investments were categorized as Level 2.

 

 

 

¢

Country classifications are based on primary country of risk.

 

*

Non-income producing security.

 

#

Security, or a portion thereof, is on loan. See Note 2 in Notes to Financial Statements.

 

**

Represents less than 0.05%.

 

^

7-Day net yield.

 

(1) 

The value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the Valuation Hierarchy table located at the end of the Portfolio of Investments.

The following acronyms are used throughout this Fund:

 

ADR

    American Depositary Receipt

ETF

    Exchange-Traded Fund

MSCI

    Morgan Stanley Capital International

OYJ

    Public Limited Company

PCL

    Public Company Limited

PLC

    Public Limited Company

REIT

    Real Estate Investment Trust

SCA

    Limited Partnership With Share Capital

SpA

    Societa per Azioni

At April 30, 2021, the International Fund had open financial futures contracts as follows:

 

  Underlying Contracts to Buy/Sell

 

   

Expiration
Date

 

     

Number of
Contracts

 

     

Notional
Amount

 

     

Notional
Value

 

     

Unrealized

Appreciation(a)

 

     

Unrealized

(Depreciation)(a)

 

  

  LONG POSITIONS:

 

                                                      

  EXCHANGE-TRADED:

 

                                                      

  MSCI India NTR Index

 

     

 

 June 2021

 

  

 

     

 

 154

 

  

 

    $

 

 13,438,461

 

  

 

    $

 

 12,829,186

 

  

 

     

 

 $—

 

  

 

     

 

 $(609,275)

 

  

 

  UNREALIZED APPRECIATION (DEPRECIATION)

  ON FINANCIAL FUTURES CONTRACTS

 

                                         

 

 $—

 

  

 

     

 

 $(609,275)

 

  

 

 

(a) 

The unrealized appreciation (depreciation) presented above is the cumulative change in unrealized appreciation (depreciation) from the date the contract was open through April 30, 2021. Only current day variation margin is reported on the Fund’s Statement of Assets and Liabilities.

See Notes which are an integral part of the Financial Statements

 

 

 

ANNUAL REPORT / April 30, 2021

19  

 

PORTFOLIO OF INVESTMENTS SUMMARY TABLE

Wilmington Global Alpha Equities Fund

At April 30, 2021, the Fund’s portfolio composition was as follows (unaudited):

 

Common Stocks

     
 Percentage of
Total Net Assets		  
 

Insurance

      6.8 % 

IT Services

      4.4 % 

Pharmaceuticals

      4.2 % 

Health Care Equipment & Supplies

      3.6 % 

Machinery

      3.5 % 

Software

      3.5 % 

Interactive Media & Services

      3.4 % 

Banks

      3.1 % 

Hotels, Restaurants & Leisure

      2.9 % 

Internet & Direct Marketing Retail

      2.6 % 

Diversified Financial Services

      2.5 % 

Capital Markets

      2.5 % 

Commercial Services & Supplies

      2.3 % 

Real Estate Investment Trusts

      2.2 % 

Aerospace & Defense

      2.1 % 

Beverages

      2.1 % 

Professional Services

      2.0 % 

Oil, Gas & Consumable Fuels

      1.9 % 

Specialty Retail

      1.9 % 

Trading Companies & Distributors

      1.9 % 

Health Care Providers & Services

      1.9 % 

Diversified Telecommunication Services

      1.8 % 

Semiconductors & Semiconductor Equipment

      1.8 % 

Food Products

      1.7 % 

Technology Hardware, Storage & Peripherals

      1.6 % 

Air Freight & Logistics

      1.5 % 

Road & Rail

      1.4 % 

Communications Equipment

      1.2 % 

Household Products

      1.2 % 

Chemicals

      1.2 % 

Metals & Mining

      1.1 % 

Household Durables

      1.1 % 

Electric Utilities

      1.0 % 

Building Products

      1.0 % 

Automobiles

      1.0 % 

Construction & Engineering

      0.9 % 

Multi-Utilities

      0.9 % 

Electronic Equipment, Instruments & Components

      0.9 % 

Food & Staples Retailing

      0.9 % 

Gas Utilities

      0.8 % 

Multiline Retail

      0.8 % 

Wireless Telecommunication Services

      0.7 % 

Media

      0.7 % 

Consumer Finance

      0.6 % 

Life Sciences Tools & Services

      0.5 % 

Electrical Equipment

      0.5 % 

Real Estate Management & Development

      0.5 % 

Entertainment

      0.4 % 

Textiles, Apparel & Luxury Goods

      0.4 % 

Diversified Consumer Services

      0.4 % 

Auto Components

      0.3 % 

Leisure Products

      0.3 % 

Common Stocks

     
 Percentage of
Total Net Assets		  
 

Tobacco

      0.3 % 

Health Care Technology

      0.2 % 

Marine

      0.2 % 

Containers & Packaging

      0.2 % 

Water Utilities

      0.2 % 

Construction Materials

      0.2 % 

Biotechnology

      0.2 % 

Distributors

      0.1 % 

Transportation Infrastructure

      0.1 % 

Personal Products

      0.1 % 

Energy Equipment & Services

      0.1 % 

Airlines

      0.1 % 

Preferred Stock

      0.2 % 

Investment Companies

      0.0 %(1) 

Cash Equivalents(2)

     3.3 % 

Other Assets and Liabilities - Net(3)

     4.1 % 
  

 

 

  

TOTAL

      100.0 % 
  

 

 

  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

   20

 

Country Allocation

     
 Percentage of
Total Net Assets		  
 

Common Stocks

   

United States

      48.4 % 

Japan

      8.5 % 

United Kingdom

      5.8 % 

France

      5.6 % 

Canada

      4.9 % 

China

      4.4 % 

Switzerland

      3.2 % 

Netherlands

      1.7 % 

Hong Kong

      1.3 % 

Taiwan

      1.3 % 

Germany

      1.2 % 

Sweden

      1.0 % 

All other countries less than 1.0%

      5.1 % 

Preferred Stocks

      0.2 % 

Investment Companies

      0.0 %(1)  

Cash Equivalents(2)

     3.3 % 

Other Assets and Liabilities - Net(3)

     4.1 % 
  

 

 

  

TOTAL

      100.0 % 
  

 

 

  
 

 

(1) 

Represents less than 0.05%.

 

(2) 

Cash Equivalents include investments in a money market fund.

 

(3) 

Assets, other than investments in securities, less liabilities. See Statements of Assets and Liabilities.

PORTFOLIO OF INVESTMENTS

April 30, 2021

 

 Description    Number of
Shares		      Value  

 COMMON STOCKS – 92.4%

      

AEROSPACE & DEFENSE – 2.1%

      

BAE Systems PLC

      141,080      $ 985,477  

BWX Technologies, Inc.

      10,233        684,792  

CAE, Inc.*

      14,999        469,806  

Dassault Aviation SA*

      55        59,919  

Lockheed Martin Corp.

      2,626        999,351  

Raytheon Technologies Corp.

      7,427        618,223  

Safran SA*

      3,855        575,585  
     

 

 

  

TOTAL AEROSPACE & DEFENSE

       $ 4,393,153  

AIR FREIGHT & LOGISTICS – 1.5%

      

Bpost SA*

      2,832        30,098  

C.H. Robinson Worldwide, Inc.

      1,969        191,151  

DSV Panalpina A/S

      2,354        524,448  

Expeditors International of Washington, Inc.

      7,420        815,161  

FedEx Corp.

      2,247        652,327  

PostNL NV

      12,787        66,792  

SG Holdings Co. Ltd.

      2,825        64,153  

United Parcel Service, Inc., Class B

      3,056        622,996  

ZTO Express Cayman, Inc., ADR

      5,661        182,058  
     

 

 

  

TOTAL AIR FREIGHT & LOGISTICS

       $     3,149,184  

AIRLINES – 0.1%

      

Japan Airlines Co. Ltd.*

      5,000        107,110  

AUTO COMPONENTS – 0.3%

      

Aisan Industry Co. Ltd.

      1,965        13,899  
 Description    Number of
Shares		      Value  

Continental AG*

      379      $ 51,218  

Exedy Corp.

      2,795        40,130  

Hankook Tire & Technology Co. Ltd.

      1,620        69,902  

NOK Corp.

      6,655        85,769  

Sumitomo Electric Industries Ltd.

      3,657        54,416  

Sumitomo Riko Co. Ltd.

      3,150        20,448  

Tachi-S Co. Ltd.

      3,340        34,741  

Tokai Rika Co. Ltd.

      7,857        127,194  

Toyota Boshoku Corp.

      4,960        92,536  

TS Tech Co. Ltd.

      4,364        60,846  

Unipres Corp.

      5,180        49,723  
     

 

 

  

TOTAL AUTO COMPONENTS

       $ 700,822  

AUTOMOBILES – 1.0%

      

Daimler AG

      2,238        199,179  

Dongfeng Motor Group Co. Ltd., Class H

      117,711        102,302  

Ferrari NV

      1,870        400,586  

Honda Motor Co. Ltd.

      14,465        431,344  

Isuzu Motors Ltd.

      54,853        556,985  

Mitsubishi Motors Corp.*

      9,550        25,875  

Nissan Motor Co. Ltd.*

      17,480        87,749  

Renault SA*

      2,012        81,100  

Suzuki Motor Corp.

      2,773        105,226  
     

 

 

  

TOTAL AUTOMOBILES

       $     1,990,346  

BANKS – 3.1%

      

ABN AMRO Bank NV*

      8,912        115,073  

AIB Group PLC*

      45,067        131,662  
 

 

ANNUAL REPORT / April 30, 2021

21  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

 

 Description    Number of
Shares		      Value  

Bank Mandiri Persero Tbk PT

      69,746      $ 29,695  

Bank of Ireland Group PLC*

      29,030        170,111  

Bank of Nova Scotia (The)

      10,638        677,408  

Bank of Nova Scotia (The)

      9,779        622,824  

BPER Banca*

      30,060        68,492  

CaixaBank SA

      50,851        162,671  

Dah Sing Financial Holdings Ltd.

      12,181        39,340  

DGB Financial Group, Inc.

      8,784        69,880  

DNB ASA

      22,324        478,766  

Erste Group Bank AG*

      2,202        78,264  

First Citizens BancShares, Inc., Class A

      493        427,658  

First Republic Bank

      3,100        568,044  

KB Financial Group, Inc., ADR

      3,534        172,883  

PNC Financial Services Group, Inc. (The)

      4,600        859,970  

Popular, Inc.

      5,054        373,794  

Resona Holdings, Inc.

      68,540        282,154  

Sberbank of Russia PJSC, ADR

      3,664        57,781  

Shinhan Financial Group Co. Ltd., ADR

      4,123        147,356  

Standard Chartered PLC

      72,089        517,162  

Sumitomo Mitsui Trust Holdings, Inc.

      3,570        121,675  

Tochigi Bank Ltd. (The)

      10,150        16,168  

Unicaja Banco SA

      66,285        65,325  

UniCredit SpA

      14,407        147,989  
     

 

 

  

TOTAL BANKS

       $ 6,402,145  

BEVERAGES – 2.1%

      

Anadolu Efes Biracilik Ve Malt Sanayii AS

      22,309        62,834  

Asahi Group Holdings Ltd.

      3,144        131,460  

Boston Beer Co., Inc. (The), Class A*

      381        463,483  

Coca-Cola Co. (The)

      9,996        539,584  

Coca-Cola Icecek AS

      6,913        65,701  

Constellation Brands, Inc., Class A

      3,591        862,989  

Diageo PLC

      18,589        834,487  

Heineken NV

      6,727        780,329  

PepsiCo., Inc.

      3,620        521,859  
     

 

 

  

TOTAL BEVERAGES

       $     4,262,726  

BIOTECHNOLOGY – 0.2%

      

Zai Lab Ltd., ADR*

      2,025        336,575  

BUILDING PRODUCTS – 1.0%

      

Assa Abloy AB, Class B

      14,372        409,739  

Cie de Saint-Gobain*

      4,267        269,227  

Geberit AG

      90        59,221  

Johnson Controls International PLC

      7,220        450,095  

Lennox International, Inc.

      2,691        902,400  
     

 

 

  

TOTAL BUILDING PRODUCTS

       $ 2,090,682  

CAPITAL MARKETS – 2.5%

      

Ares Management Corp., Class A

      9,486        498,205  

Charles Schwab Corp. (The)

      27,679        1,948,601  

CSC Financial Co. Ltd., Class H

      63,500        73,935  

GAM Holding AG*

      4,097        10,616  

Hong Kong Exchanges & Clearing Ltd.

      3,700        223,151  

Ichiyoshi Securities Co. Ltd.

      4,430        25,132  

Intercontinental Exchange, Inc.

      1,654        194,692  

Intermediate Capital Group PLC

      17,051        514,767  

Julius Baer Group Ltd.

      1,058        66,588  
 Description    Number of
Shares		      Value  

MarketAxess Holdings, Inc.

      341      $ 166,565  

Moody’s Corp.

      990        323,443  

Nomura Holdings, Inc.

      10,382        55,805  

Partners Group Holding AG

      98        139,598  

UBS Group AG

      50,656        773,548  

Uranium Participation Corp.*

      9,181        40,111  
     

 

 

  

TOTAL CAPITAL MARKETS

       $ 5,054,757  

CHEMICALS – 1.2%

      

ADEKA Corp.

      6,571        127,881  

Air Liquide SA

      453        76,286  

China BlueChemical Ltd., Class H

      179,584        50,773  

Croda International PLC

      1,147        107,153  

EMS-Chemie Holding AG

      109        101,775  

Fujimi, Inc.

      1,000        41,819  

Givaudan SA

      27        113,135  

Koninklijke DSM NV

      582        104,353  

Linde PLC

      2,675        764,622  

Lintec Corp.

      3,200        69,632  

Nissan Chemical Corp.

      146        7,506  

Sanyo Chemical Industries Ltd.

      1,200        57,006  

Sherwin-Williams Co. (The)

      2,516        689,057  

Symrise AG

      806        104,083  
     

 

 

  

TOTAL CHEMICALS

       $     2,415,081  

COMMERCIAL SERVICES & SUPPLIES – 2.3%

      

Aeon Delight Co. Ltd.

      4,873        148,683  

Babcock International Group PLC*

      17,672        70,337  

Cintas Corp.

      2,691        928,772  

Clean Harbors, Inc.*

      5,254        467,396  

Copart, Inc.*

      14,423        1,795,808  

Prosegur Cia de Seguridad SA

      20,797        64,685  

Rollins, Inc.

      4,624        172,383  

Secom Co. Ltd.

      2,483        206,919  

Toppan Forms Co. Ltd.

      4,585        48,406  

Toppan Printing Co. Ltd.

      3,480        59,430  

Waste Connections, Inc.

      6,451        768,379  
     

 

 

  

TOTAL COMMERCIAL SERVICES & SUPPLIES

       $ 4,731,198  

COMMUNICATIONS EQUIPMENT – 1.2%

      

Accton Technology Corp.

      59,000        668,062  

Cisco Systems, Inc.

      9,772        497,493  

Motorola Solutions, Inc.

      6,223        1,171,791  

Nokia OYJ*

      36,549        173,131  
     

 

 

  

TOTAL COMMUNICATIONS EQUIPMENT

       $ 2,510,477  

CONSTRUCTION & ENGINEERING – 0.9%

      

China Machinery Engineering Corp., Class H

      94,953        42,484  

Chiyoda Corp.*

      6,760        31,449  

Implenia AG*

      1,286        37,484  

JGC Holdings Corp.

      19,631        224,414  

Kumagai Gumi Co. Ltd.

      2,676        74,526  

Kyowa Exeo Corp.

      3,514        93,476  

Raubex Group Ltd.

      16,850        30,669  

Taisei Corp.

      2,401        88,713  

Toyo Engineering Corp.*

      2,309        14,800  

Vinci SA

      11,911        1,306,991  
     

 

 

  

TOTAL CONSTRUCTION & ENGINEERING

       $ 1,945,006  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

   22

 

  Description        Number of
Shares		                      Value    

CONSTRUCTION MATERIALS – 0.2%

 

Imerys SA

      1,436      $ 74,644  

LafargeHolcim Ltd.*

      3,565        219,988  

Taiheiyo Cement Corp.

      2,820        70,801  

Vicat SA

      1,263        63,481  
     

 

 

  

TOTAL CONSTRUCTION MATERIALS

 

    $ 428,914  

CONSUMER FINANCE – 0.6%

 

American Express Co.

      2,914        446,862  

Credit Acceptance Corp.*

      1,664        656,931  

Provident Financial PLC*

      13,385        45,264  
     

 

 

  

TOTAL CONSUMER FINANCE

 

    $ 1,149,057  

CONTAINERS & PACKAGING – 0.2%

 

Ball Corp.

      4,772        446,850  

Nampak Ltd.*

      56,917        12,077  
     

 

 

  

TOTAL CONTAINERS & PACKAGING

 

    $ 458,927  

DISTRIBUTORS – 0.1%

 

Genuine Parts Co.

      1,719        214,823  

PALTAC Corp.

      1,250        65,128  
     

 

 

  

TOTAL DISTRIBUTORS

 

    $ 279,951  

DIVERSIFIED CONSUMER SERVICES – 0.4%

 

Benesse Holdings, Inc.

      425        9,385  

Chegg, Inc.*

      6,622        598,165  

New Oriental Education & Technology Group,

      

Inc., ADR*

      4,276        65,252  

TAL Education Group, ADR*

      2,896        164,927  
     

 

 

  

TOTAL DIVERSIFIED CONSUMER SERVICES

 

    $ 837,729  

DIVERSIFIED FINANCIAL SERVICES – 2.5%

 

Bank of America Corp.

      20,267        821,422  

Berkshire Hathaway, Inc., Class B*

      4,852        1,334,057  

BNP Paribas SA*

      3,601        230,888  

G-Resources Group Ltd.*

      1,133,619        7,014  

ING Groep NV

      20,016        255,704  

Investor AB, Class B

      1,388        117,823  

JPMorgan Chase & Co.

      3,495        537,566  

Kasikornbank PCL

      28,456        120,446  

Mitsubishi UFJ Financial Group, Inc.

      127,364        677,589  

Royal Bank of Canada

      5,101        486,839  

Societe Generale SA*

      5,223        148,580  

Sumitomo Mitsui Financial Group, Inc.

      11,685        410,479  
     

 

 

  

TOTAL DIVERSIFIED FINANCIAL SERVICES

 

    $     5,148,407  

DIVERSIFIED TELECOMMUNICATION SERVICES – 1.8%

 

AT&T, Inc.

      6,304        198,009  

BT Group PLC*

      51,800        118,153  

Cellnex Telecom SA

      10,363        586,173  

Hellenic Telecommunications Organization SA

      31,988        542,441  

Koninklijke KPN NV

      136,570        471,114  

KT Corp., ADR

      10,041        126,517  

Magyar Telekom Telecommunications PLC,

      

ADR

      7,725        53,901  

Nippon Telegraph & Telephone Corp.

      11,058        278,804  

Orange SA

      10,666        132,826  

Proximus SADP

      4,907        104,543  

Swisscom AG

      193        104,789  
  Description        Number of
Shares		                      Value    

Telenor ASA

      4,920      $ 87,650  

Telia Co. AB

      23,584        97,728  

Turk Telekomunikasyon AS

      63,667        48,944  

Verizon Communications, Inc.

      13,758        795,075  
     

 

 

  

TOTAL DIVERSIFIED TELECOMMUNICATION SERVICES

 

    $ 3,746,667  

ELECTRIC UTILITIES – 1.0%

 

American Electric Power Co., Inc.

      134        11,887  

Chugoku Electric Power Co., Inc. (The)

      5,624        62,943  

Duke Energy Corp.

      5,248        528,421  

Edison International

      6,115        363,537  

Exelon Corp.

      7,927        356,239  

Iberdrola SA

      7,545        101,963  

Pinnacle West Capital Corp.

      7,482        633,351  

Red Electrica Corp. SA

      5,109        93,791  
     

 

 

  

TOTAL ELECTRIC UTILITIES

 

    $ 2,152,132  

ELECTRICAL EQUIPMENT – 0.5%

 

Cosel Co. Ltd.

      4,590        44,599  

Mitsubishi Electric Corp.

      11,570        178,275  

Nippon Carbon Co. Ltd.

      1,500        62,917  

Nissin Electric Co. Ltd.

      4,500        49,620  

Schneider Electric SE

      3,261        520,312  

Ushio, Inc.

      10,740        142,242  

Zumtobel Group AG*

      2,714        27,503  
     

 

 

  

TOTAL ELECTRICAL EQUIPMENT

 

    $ 1,025,468  

ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS – 0.9%

 

Ai Holdings Corp.

      3,900        74,456  

Amphenol Corp., Class A

      2,247        151,313  

Canon Marketing Japan, Inc.

      3,731        90,074  

Citizen Watch Co. Ltd.

      17,280        58,144  

Enplas Corp.

      390        14,973  

Foxconn Technology Co. Ltd.

      27,760        68,181  

Halma PLC

      2,815        100,587  

Hon Hai Precision Industry Co. Ltd.

      24,925        102,468  

II-VI, Inc.*

      5,925        397,804  

Keyence Corp.

      147        70,568  

Kyocera Corp.

      1,740        105,641  

Maruwa Co. Ltd.

      513        52,867  

Nichicon Corp.

      2,445        24,002  

Nippon Chemi-Con Corp.*

      3,490        54,872  

PAX Global Technology Ltd.

      66,276        73,340  

Sunny Optical Technology Group Co. Ltd.

      18,300        443,632  
     

 

 

  

TOTAL ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS

 

    $     1,882,922  

ENERGY EQUIPMENT & SERVICES – 0.1%

 

Drilling Co. of 1972 A/S (The)*

      232        9,709  

Fugro NV*

      4,012        41,765  

Saipem SpA

      17,409        40,140  

Trican Well Service Ltd.*

      20,938        35,943  
     

 

 

  

TOTAL ENERGY EQUIPMENT & SERVICES

 

    $ 127,557  

ENTERTAINMENT – 0.4%

 

Bilibili, Inc., ADR*

      675        74,831  

Bilibili, Inc., Class Z*

      200        22,941  

DeNA Co. Ltd.*

      4,815        98,512  
 

 

ANNUAL REPORT / April 30, 2021

23  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

 

  Description        Number of
Shares		                      Value    

NetEase, Inc., ADR

      2,495      $ 279,590  

Nexon Co. Ltd.

      2,540        84,016  

Nintendo Co. Ltd.

      138        79,164  

Tencent Music Entertainment Group, ADR*

      15,234        265,376  
     

 

 

  

TOTAL ENTERTAINMENT

 

    $ 904,430  

FOOD & STAPLES RETAILING – 0.9%

 

Cosmos Pharmaceutical Corp.

      415        59,564  

Costco Wholesale Corp.

      480        178,603  

J Sainsbury PLC

      77,491        254,519  

Jeronimo Martins SGPS SA

      5,955        108,735  

Kato Sangyo Co. Ltd.

      1,300        38,139  

Koninklijke Ahold Delhaize NV

      3,654        98,336  

METRO AG

      2,159        23,601  

Performance Food Group Co.*

      10,157        596,216  

Sundrug Co. Ltd.

      2,573        87,684  

Tesco PLC

      26,505        80,908  

Walmart, Inc.

      1,219        170,550  

Wm Morrison Supermarkets PLC

      43,671        104,884  
     

 

 

  

TOTAL FOOD & STAPLES RETAILING

 

    $     1,801,739  

FOOD PRODUCTS – 1.7%

 

Astral Foods Ltd.

      3,519        33,520  

Barry Callebaut AG

      46        101,564  

Calbee, Inc.

      2,511        60,225  

China Feihe Ltd.

      42,000        119,339  

Chocoladefabriken Lindt & Spruengli AG*

      11        102,096  

General Mills, Inc.

      2,369        144,177  

Hormel Foods Corp.

      3,725        172,095  

Kellogg Co.

      9,207        574,701  

MEIJI Holdings Co. Ltd.

      710        44,058  

Nestle SA

      8,614        1,027,915  

Nissin Foods Holdings Co. Ltd.

      854        60,515  

Nomad Foods Ltd.*

      18,318        534,153  

Perusahaan Perkebunan London Sumatra

      

Indonesia Tbk PT

      230,566        20,796  

Toyo Suisan Kaisha Ltd.

      1,998        81,468  

Viscofan SA

      5,166        353,040  

Yamazaki Baking Co. Ltd.

      2,263        35,871  

Yihai International Holding Ltd.

      6,000        58,362  
     

 

 

  

TOTAL FOOD PRODUCTS

 

    $ 3,523,895  

GAS UTILITIES – 0.8%

 

Atmos Energy Corp.

      1,789        185,322  

ENN Energy Holdings Ltd.

      14,600        249,143  

Osaka Gas Co. Ltd.

      1,635        31,647  

Rubis SCA

      9,047        424,692  

Toho Gas Co. Ltd.

      1,307        72,842  

Tokyo Gas Co. Ltd.

      2,434        49,395  

UGI Corp.

      13,418        586,501  
     

 

 

  

TOTAL GAS UTILITIES

 

    $ 1,599,542  

HEALTH CARE EQUIPMENT & SUPPLIES – 3.6%

 

Abbott Laboratories

      980        117,678  

Align Technology, Inc.*

      1,210        720,591  

Asahi Intecc Co. Ltd.

      2,260        60,832  

Baxter International, Inc.

      7,373        631,792  

Becton Dickinson & Co.

      1,790        445,370  
  Description        Number of
Shares		                      Value    

Coloplast A/S, Class B

      708      $ 117,273  

Danaher Corp.

      4,395        1,116,066  

DexCom, Inc.*

      992        383,011  

DiaSorin SpA

      496        84,240  

Hologic, Inc.*

      3,736        244,895  

Hoya Corp.

      594        67,517  

Insulet Corp.*

      1,112        328,285  

Koninklijke Philips NV*

      13,096        740,489  

Medtronic PLC

      9,127        1,194,907  

Shandong Weigao Group Medical Polymer Co.

      

Ltd., Class H

      8,000        17,910  

Siemens Healthineers AG

      2,134        121,951  

Smith & Nephew PLC

      22,149        479,388  

STERIS PLC

      86        18,148  

Sysmex Corp.

      744        74,313  

Teleflex, Inc.

      1,088        459,658  
     

 

 

  

TOTAL HEALTH CARE EQUIPMENT & SUPPLIES

 

    $     7,424,314  

HEALTH CARE PROVIDERS & SERVICES – 1.9%

 

agilon health, Inc.*

      1,400        44,142  

BML, Inc.

      1,600        55,353  

Fresenius SE & Co. KGaA

      3,663        180,034  

HCA Healthcare, Inc.

      3,714        746,737  

Humana, Inc.

      1,401        623,781  

Laboratory Corp. of America Holdings*

      1,501        399,071  

Medipal Holdings Corp.

      2,539        46,719  

Suzuken Co. Ltd.

      2,059        74,201  

UnitedHealth Group, Inc.

      4,116        1,641,461  
     

 

 

  

TOTAL HEALTH CARE PROVIDERS & SERVICES

 

    $ 3,811,499  

HEALTH CARE TECHNOLOGY – 0.2%

 

AGFA-Gevaert NV*

      7,829        38,544  

Cerner Corp.

      2,422        181,771  

M3, Inc.

      947        65,419  

Multiplan Corp.*

      24,595        182,741  
     

 

 

  

TOTAL HEALTH CARE TECHNOLOGY

 

    $ 468,475  

HOTELS, RESTAURANTS & LEISURE – 2.9%

 

Booking Holdings, Inc.*

      281        692,968  

Choice Hotels International, Inc.*

      6,951        791,024  

Compass Group PLC*

      61,244        1,332,319  

DraftKings, Inc., Class A*

      3,886        220,181  

Evolution Gaming Group AB

      1,298        256,237  

Food & Life Cos Ltd.

      5,000        223,006  

Galaxy Entertainment Group Ltd.*

      5,124        44,979  

Huazhu Group Ltd., ADR*

      5,343        315,023  

McDonald’s Corp.

      3,967        936,529  

McDonald’s Holdings Co. Japan Ltd.

      1,525        69,629  

Penn National Gaming, Inc.*

      1,747        155,693  

Planet Fitness, Inc., Class A*

      5,759        483,698  

Sands China Ltd.*

      100,800        476,992  
     

 

 

  

TOTAL HOTELS, RESTAURANTS & LEISURE

 

    $ 5,998,278  

HOUSEHOLD DURABLES – 1.1%

 

Funai Electric Co. Ltd.*

      4,290        35,888  

Garmin Ltd.

      1,446        198,449  

Lennar Corp., Class A

      3,064        317,430  

Nikon Corp.

      6,515        61,345  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

  24

 

  Description        Number of
Shares		                      Value    

NVR, Inc.*

      245      $ 1,229,435  

Persimmon PLC

      2,253        97,466  

Rinnai Corp.

      669        67,177  

Sekisui Chemical Co. Ltd.

      3,672        64,023  

Sekisui House Ltd.

      3,800        76,960  

Tamron Co. Ltd.

      810        17,565  
     

 

 

  

TOTAL HOUSEHOLD DURABLES

 

    $ 2,165,738  

HOUSEHOLD PRODUCTS – 1.2%

 

Clorox Co. (The)

      930        169,725  

Colgate-Palmolive Co.

      8,370        675,459  

Procter & Gamble Co. (The)

      5,443        726,205  

Reckitt Benckiser Group PLC

      9,183        817,633  

Unicharm Corp.

      1,478        57,450  
     

 

 

  

TOTAL HOUSEHOLD PRODUCTS

 

    $ 2,446,472  

INSURANCE – 6.8%

 

Admiral Group PLC

      2,598        112,256  

Ageas SA

      2,131        128,883  

AIA Group Ltd.

      166,536        2,113,771  

Arthur J. Gallagher & Co.

      5,228        757,798  

Assicurazioni Generali SpA*

      7,283        145,780  

AXA SA

      51,233        1,447,079  

Brown & Brown, Inc.

      3,865        205,541  

China Reinsurance Group Corp., Class H

      714,150        74,381  

Chubb Ltd.

      4,046        694,253  

Dai-ichi Life Holdings, Inc.

      9,725        175,605  

Enstar Group Ltd.*

      1,870        469,707  

Globe Life, Inc.

      6,600        676,434  

Intact Financial Corp.

      13,988        1,859,301  

Markel Corp.*

      908        1,068,189  

Marsh & McLennan Cos., Inc.

      4,506        611,464  

MS&AD Insurance Group Holdings, Inc.

      8,403        238,398  

Old Mutual Ltd.

      96,171        83,712  

Phoenix Group Holdings PLC

      341        3,345  

Progressive Corp. (The)

      11,393        1,147,731  

Sampo OYJ, Class A

      2,223        105,447  

SCOR SE*

      2,403        77,644  

Shin Kong Financial Holding Co. Ltd.

      124,497        44,874  

Swiss Life Holding AG

      30        14,617  

T&D Holdings, Inc.

      21,078        258,675  

Tokio Marine Holdings, Inc.

      15,973        766,016  

Tongyang Life Insurance Co. Ltd.

      7,703        32,926  

White Mountains Insurance Group Ltd.

      289        336,809  

Willis Towers Watson PLC

      809        209,418  

Zurich Insurance Group AG

      265        108,718  
     

 

 

  

TOTAL INSURANCE

 

    $     13,968,772  

INTERACTIVE MEDIA & SERVICES – 3.4%

 

Alphabet, Inc., Class A*

      1,001        2,355,854  

Alphabet, Inc., Class C*

      411        990,559  

Facebook, Inc., Class A*

      3,342        1,086,417  

Gree, Inc.

      18,280        95,633  

Match Group, Inc.*

      2,535        394,522  

Tencent Holdings Ltd.

      26,500        2,113,959  
     

 

 

  

TOTAL INTERACTIVE MEDIA & SERVICES

 

    $ 7,036,944  
  Description        Number of
Shares		                      Value    

INTERNET & DIRECT MARKETING RETAIL – 2.6%

 

Alibaba Group Holding Ltd.*

      9,300      $ 268,842  

Alibaba Group Holding Ltd., ADR*

      4,723        1,090,777  

Amazon.com, Inc.*

      875        3,033,992  

Meituan, Class B*

      20,739        793,771  

Trip.com Group Ltd., ADR*

      6,359        248,510  
     

 

 

  

TOTAL INTERNET & DIRECT MARKETING RETAIL

 

    $     5,435,892  

IT SERVICES – 4.4%

 

Accenture PLC, Class A

      3,066        889,048  

Automatic Data Processing, Inc.

      3,358        627,912  

Black Knight, Inc.*

      6,466        468,268  

Capgemini SE

      4,052        742,517  

Cognizant Technology Solutions Corp., Class A

      1,125        90,450  

DTS Corp.

      2,978        70,010  

Edenred

      10,744        609,093  

EPAM Systems, Inc.*

      292        133,663  

Fidelity National Information Services, Inc.

      9,232        1,411,573  

FleetCor Technologies, Inc.*

      2,039        586,661  

Fujitsu Ltd.

      388        61,637  

Future Corp.

      2,600        48,144  

Global Payments, Inc.

      3,287        705,489  

GoDaddy, Inc., Class A*

      7,296        633,439  

Itochu Techno-Solutions Corp.

      2,005        69,377  

Jack Henry & Associates, Inc.

      1,118        182,044  

Nihon Unisys Ltd.

      2,793        88,472  

Nomura Research Institute Ltd.

      2,266        69,541  

NS Solutions Corp.

      3,503        105,946  

Obic Co. Ltd.

      374        72,080  

Otsuka Corp.

      1,758        88,434  

Paychex, Inc.

      1,984        193,420  

Sopra Steria Group SACA*

      148        27,544  

Transcosmos, Inc.

      2,400        68,548  

Visa, Inc., Class A

      1,846        431,152  

Worldline SA*

      6,774        665,059  
     

 

 

  

TOTAL IT SERVICES

 

    $ 9,139,521  

LEISURE PRODUCTS – 0.3%

 

Bandai Namco Holdings, Inc.

      863        63,328  

Polaris, Inc.

      3,064        429,052  

Sega Sammy Holdings, Inc.

      5,240        75,208  

Shimano, Inc.

      314        71,798  
     

 

 

  

TOTAL LEISURE PRODUCTS

 

    $ 639,386  

LIFE SCIENCES TOOLS & SERVICES – 0.5%

 

Agilent Technologies, Inc.

      1,326        177,207  

CMIC Holdings Co. Ltd.

      1,480        21,661  

EPS Holdings, Inc.

      4,940        52,917  

Pharmaron Beijing Co. Ltd., Class H

      9,300        192,014  

Sartorius Stedim Biotech

      270        124,007  

Thermo Fisher Scientific, Inc.

      376        176,807  

WuXi AppTec Co. Ltd., Class H

      3,900        91,887  

Wuxi Biologics Cayman, Inc.*

      18,200        255,488  
     

 

 

  

TOTAL LIFE SCIENCES TOOLS & SERVICES

 

    $ 1,091,988  

MACHINERY – 3.5%

 

Alfa Laval AB

      21,228        716,926  

Amada Co. Ltd.

      4,300        46,640  
 

 

ANNUAL REPORT / April 30, 2021

25  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

 

  Description        Number of
Shares		                  Value    

Fortive Corp.

      25,586      $ 1,812,000  

Hino Motors Ltd.

      12,230        102,648  

Hisaka Works Ltd.

      3,060        23,342  

IDEX Corp.

      4,078        914,288  

Ingersoll Rand, Inc.*

      12,859        635,363  

Japan Steel Works Ltd. (The)

      2,045        49,678  

Kone OYJ, Class B

      1,140        89,539  

Middleby Corp. (The)*

      3,278        594,367  

MISUMI Group, Inc.

      2,310        65,243  

Mitsubishi Heavy Industries Ltd.

      1,722        51,261  

Obara Group, Inc.

      1,600        54,265  

OKUMA Corp.

      2,380        128,502  

Otis Worldwide Corp.

      2,709        210,950  

PACCAR, Inc.

      7,234        650,192  

Sandvik AB

      15,429        381,551  

Schindler Holding AG

      370        102,951  

Schindler Holding AG

      368        104,720  

Shibaura Machine Co. Ltd.

      548        13,069  

SMC Corp.

      94        54,621  

Spirax-Sarco Engineering PLC

      644        105,116  

Star Micronics Co. Ltd.

      5,500        82,897  

Sumitomo Heavy Industries Ltd.

      2,960        86,155  

THK Co. Ltd.

      2,140        73,005  

Weichai Power Co. Ltd., Class H

      68,000        157,399  
     

 

 

  

TOTAL MACHINERY

 

    $     7,306,688  

MARINE – 0.2%

 

AP Moller - Maersk A/S, Class B

      44        109,456  

D/S Norden A/S

      3,727        96,105  

Kuehne + Nagel International AG

      482        144,115  

Pacific Basin Shipping Ltd.

      338,384        118,573  
     

 

 

  

TOTAL MARINE

 

    $ 468,249  

MEDIA – 0.7%

 

China Literature Ltd.*

      9,000        93,732  

Comcast Corp., Class A

      9,814        551,056  

Criteo SA, ADR*

      2,303        91,498  

Fuji Media Holdings, Inc.

      3,235        39,365  

Gendai Agency, Inc.*

      670        1,775  

Metropole Television SA*

      3,888        86,390  

Nippon Television Holdings, Inc.

      11,397        150,047  

RTL Group SA*

      1,907        112,119  

Television Francaise 1*

      10,294        101,565  

TV Asahi Holdings Corp.

      3,115        57,090  

WPP PLC

      14,275        192,457  
     

 

 

  

TOTAL MEDIA

 

    $ 1,477,094  

METALS & MINING – 1.1%

 

Anglo American PLC

      4,547        192,795  

Asahi Holdings, Inc.

      6,236        125,970  

Barrick Gold Corp.

      4,923        104,896  

Centerra Gold, Inc.

      4,464        41,184  

Chubu Steel Plate Co. Ltd.

      1,442        10,512  

Eldorado Gold Corp.*

      3,888        38,375  

Endeavour Mining Corp.

      2,450        51,007  

Gold Fields Ltd.

      5,577        52,334  

Harmony Gold Mining Co. Ltd., ADR

      10,643        48,319  

IAMGOLD Corp.*

      6,146        19,237  
  Description        Number of
Shares		                  Value    

Impala Platinum Holdings Ltd.

      557      $ 10,408  

Kinross Gold Corp.

      8,767        61,720  

Kyoei Steel Ltd.

      4,215        58,976  

Maruichi Steel Tube Ltd.

      2,740        68,585  

Nakayama Steel Works Ltd.

      5,740        22,686  

Neturen Co. Ltd.

      2,165        10,748  

Norsk Hydro ASA

      24,692        157,233  

OceanaGold Corp.*

      22,116        36,885  

Pacific Metals Co. Ltd.

      1,727        34,291  

Resolute Mining Ltd.*

      36,598        13,610  

Rio Tinto PLC

      9,282        777,435  

Salzgitter AG*

      1,398        44,465  

Tokyo Steel Manufacturing Co. Ltd.

      12,050        117,004  

Western Areas Ltd.

      28,025        49,582  

Yamato Kogyo Co. Ltd.

      6,048        181,986  

Yodogawa Steel Works Ltd.

      760        16,771  
     

 

 

  

TOTAL METALS & MINING

 

    $     2,347,014  

MULTILINE RETAIL – 0.8%

 

Dollar General Corp.

      927        199,073  

Dollarama, Inc.

      11,366        529,671  

Marks & Spencer Group PLC*

      25,364        55,333  

Marui Group Co. Ltd.

      4,320        81,191  

Ollie’s Bargain Outlet Holdings, Inc.*

      6,960        642,199  

Pan Pacific International Holdings Corp.

      3,250        70,055  
     

 

 

  

TOTAL MULTILINE RETAIL

 

    $ 1,577,522  

MULTI-UTILITIES – 0.9%

 

Centrica PLC*

      67,417        52,770  

Consolidated Edison, Inc.

      2,228        172,470  

Dominion Energy, Inc.

      1,663        132,874  

Engie SA*

      11,620        173,085  

National Grid PLC

      95,174        1,199,721  

WEC Energy Group, Inc.

      2,159        209,790  
     

 

 

  

TOTAL MULTI-UTILITIES

 

    $ 1,940,710  

OIL, GAS & CONSUMABLE FUELS – 1.9%

 

Advantage Oil & Gas Ltd.*

      14,598        38,717  

ARC Resources Ltd.

      7,390        46,475  

BP PLC

      67,862        284,094  

Cameco Corp.

      4,632        77,856  

Enbridge, Inc.

      15,580        600,942  

Eni SpA

      15,554        185,262  

Gazprom PJSC, ADR

      13,802        84,054  

Inpex Corp.

      13,740        93,501  

Japan Petroleum Exploration Co. Ltd.

      1,430        26,511  

LUKOIL PJSC, ADR

      357        27,575  

Ovintiv, Inc.

      2,766        66,137  

Royal Dutch Shell PLC, Class B

      19,694        352,398  

Surgutneftegas PJSC, ADR

      15,051        67,579  

TC Energy Corp.

      11,870        587,247  

TOTAL SE

      29,725        1,313,780  

Tourmaline Oil Corp.

      2,295        49,517  

YPF SA, ADR*

      4,253        16,076  
     

 

 

  

TOTAL OIL, GAS & CONSUMABLE FUELS

 

    $ 3,917,721  

PERSONAL PRODUCTS – 0.1%

 

Kobayashi Pharmaceutical Co. Ltd.

      698        62,340  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

  26

 

  Description        Number of
Shares		                      Value    

Unilever PLC

      1,549      $ 90,448  
     

 

 

  

TOTAL PERSONAL PRODUCTS

 

    $ 152,788  

PHARMACEUTICALS – 4.2%

 

Astellas Pharma, Inc.

      15,958        240,185  

AstraZeneca PLC

      6,721        715,410  

AstraZeneca PLC, ADR

      7,822        415,114  

Bristol-Myers Squibb Co.

      2,865        178,833  

Daiichi Sankyo Co. Ltd.

      3,100        79,175  

Eisai Co. Ltd.

      785        51,199  

Eli Lilly & Co.

      901        164,676  

Hutchison China MediTech Ltd., ADR*

      1,213        34,316  

Johnson & Johnson

      6,441        1,048,144  

Kyowa Kirin Co. Ltd.

      2,128        64,772  

Merck & Co., Inc.

      12,786        952,557  

Novartis AG

      24,878        2,122,999  

Novo Nordisk A/S, Class B

      1,456        107,405  

Ono Pharmaceutical Co. Ltd.

      7,798        196,423  

Pfizer, Inc.

      35,717        1,380,462  

Roche Holding AG

      1,993        650,029  

Sanofi

      962        100,858  

Takeda Pharmaceutical Co. Ltd.

      5,415        180,864  
     

 

 

  

TOTAL PHARMACEUTICALS

 

    $     8,683,421  

PROFESSIONAL SERVICES – 2.0%

 

Adecco Group AG

      3,180        215,539  

BeNext-Yumeshin Group Co.

      3,900        50,903  

Booz Allen Hamilton Holding Corp.

      2,093        173,614  

Bureau Veritas SA*

      35,250        1,054,229  

CoStar Group, Inc.*

      408        348,607  

Experian PLC

      8,009        308,760  

Hays PLC*

      43,749        98,748  

IHS Markit Ltd.

      1,496        160,940  

Leidos Holdings, Inc.

      5,775        584,892  

Meitec Corp.

      450        25,061  

Pagegroup PLC*

      11,943        92,406  

Science Applications International Corp.

      5,258        470,170  

SGS SA

      34        100,603  

SThree PLC*

      7,845        43,477  

Wolters Kluwer NV

      4,987        451,080  
     

 

 

  

TOTAL PROFESSIONAL SERVICES

 

    $ 4,179,029  

REAL ESTATE INVESTMENT TRUSTS – 2.2%

 

American Tower Corp.

      3,995        1,017,806  

Boston Properties, Inc.

      3,393        371,024  

British Land Co. PLC (The)

      8,378        60,038  

Daiwa House REIT Investment Corp.

      31        83,024  

Daiwa Securities Living Investments Corp.

      52        53,366  

Japan Real Estate Investment Corp.

      14        86,775  

Land Securities Group PLC

      5,662        56,422  

LaSalle Logiport REIT

      70        113,599  

Medical Properties Trust, Inc.

      65,277        1,439,358  

Nippon Building Fund, Inc.

      13        85,319  

Public Storage

      4,448        1,250,600  
     

 

 

  

TOTAL REAL ESTATE INVESTMENT TRUSTS

 

    $ 4,617,331  

REAL ESTATE MANAGEMENT & DEVELOPMENT – 0.5%

 

CK Asset Holdings Ltd.

      18,020        112,816  
  Description        Number of
Shares		                      Value    

Daito Trust Construction Co. Ltd.

      464      $ 49,339  

Mitsubishi Estate Co. Ltd.

      12,794        210,575  

Nexity SA

      8,642        468,342  

Swiss Prime Site AG

      1,063        103,450  
     

 

 

  

TOTAL REAL ESTATE MANAGEMENT & DEVELOPMENT

 

    $ 944,522  

ROAD &RAIL – 1.4%

 

AMERCO

      1,290        769,653  

Canadian National Railway Co.

      19,758        2,127,141  

Go-Ahead Group PLC (The)*

      2,291        38,600  
     

 

 

  

TOTAL ROAD & RAIL

 

    $     2,935,394  

SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – 1.8%

 

ACM Research, Inc., Class A*

      2,132        168,321  

Disco Corp.

      71        22,927  

Flat Glass Group Co. Ltd., Class H

      36,500        112,109  

Intel Corp.

      3,032        174,431  

Marvell Technology, Inc.

      12,731        575,569  

MediaTek, Inc.

      15,000        628,839  

Mimasu Semiconductor Industry Co. Ltd.

      900        23,031  

Miraial Co. Ltd.

      2,210        27,029  

Qorvo, Inc.*

      1,768        332,685  

Realtek Semiconductor Corp.

      18,166        342,700  

Taiwan Semiconductor Manufacturing Co. Ltd.

      32,000        673,908  

Texas Instruments, Inc.

      2,715        490,085  

Tokyo Seimitsu Co. Ltd.

      865        40,887  
     

 

 

  

TOTAL SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT

 

    $ 3,612,521  

SOFTWARE – 3.5%

 

ANSYS, Inc.*

      446        163,084  

Constellation Software, Inc.

      1,064        1,561,552  

Dassault Systemes SA

      551        127,817  

Kingdee International Software Group Co. Ltd.

      43,552        143,424  

Manhattan Associates, Inc.*

      3,214        441,090  

Microsoft Corp.

      14,624        3,687,880  

Oracle Corp.

      2,800        212,212  

salesforce.com, Inc.*

      2,280        525,130  

Topicus.com, Inc.*

      1,305        97,677  

Tyler Technologies, Inc.*

      398        169,094  
     

 

 

  

TOTAL SOFTWARE

 

    $ 7,128,960  

SPECIALTY RETAIL – 1.9%

 

CarMax, Inc.*

      4,636        617,701  

CECONOMY AG*

      10,380        60,811  

China Meidong Auto Holdings Ltd.

      65,451        326,379  

Five Below, Inc.*

      2,657        534,774  

Hikari Tsushin, Inc.

      517        104,000  

Home Depot, Inc. (The)

      1,090        352,800  

Industria de Diseno Textil SA

      8,871        315,636  

Kingfisher PLC*

      30,032        148,258  

Nitori Holdings Co. Ltd.

      678        121,433  

Shimamura Co. Ltd.

      1,762        174,314  

TJX Cos., Inc. (The)

      14,259        1,012,389  

USS Co. Ltd.

      3,449        62,585  

Xebio Holdings Co. Ltd.

      5,265        41,726  
     

 

 

  

TOTAL SPECIALTY RETAIL

 

    $ 3,872,806  
 

 

ANNUAL REPORT / April 30, 2021

27  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

 

  Description        Number of
Shares		                      Value    

TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS – 1.6%

 

Apple, Inc.

      22,596      $ 2,970,470  

Canon, Inc.

      6,930        164,797  

Catcher Technology Co. Ltd.

      11,377        80,285  

Maxell Holdings Ltd.*

      3,430        40,427  

Quadient SA

      3,016        82,433  
     

 

 

  

TOTAL TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS

 

    $     3,338,412  

TEXTILES, APPAREL & LUXURY GOODS – 0.4%

 

Hermes International

      99        124,256  

Lululemon Athletica, Inc.*

      211        70,742  

NIKE, Inc., Class B

      5,000        663,100  

Sanyo Shokai Ltd.*

      2,000        14,232  
     

 

 

  

TOTAL TEXTILES, APPAREL & LUXURY GOODS

 

    $ 872,330  

TOBACCO – 0.3%

 

Philip Morris International, Inc.

      6,590        626,050  

TRADING COMPANIES & DISTRIBUTORS – 1.9%

 

AerCap Holdings NV*

      5,014        292,066  

Brenntag SE

      18,386        1,650,598  

Fastenal Co.

      12,003        627,517  

Ferguson PLC

      1,786        225,261  

Inaba Denki Sangyo Co. Ltd.

      2,100        49,111  

ITOCHU Corp.

      5,733        178,977  

Mitsubishi Corp.

      7,914        218,828  

MonotaRO Co. Ltd.

      2,535        64,370  

Rexel SA

      5,490        107,918  

SIG PLC*

      22,578        15,426  

Sumitomo Corp.

      6,209        84,374  

Triton International Ltd.

      6,327        317,426  
     

 

 

  

TOTAL TRADING COMPANIES & DISTRIBUTORS

 

    $ 3,831,872  

TRANSPORTATION INFRASTRUCTURE – 0.1%

 

Hamburger Hafen und Logistik AG

      1,117        27,510  

Kamigumi Co. Ltd.

      7,950        154,898  
     

 

 

  

TOTAL TRANSPORTATION INFRASTRUCTURE

 

    $ 182,408  

WATER UTILITIES – 0.2%

 

Cia de Saneamento Basico do Estado de Sao Paulo

      10,496        82,584  
  Description        Number of
Shares		                      Value    

Guangdong Investment Ltd.

      170,503      $ 262,511  

Severn Trent PLC

      2,950        100,979  
     

 

 

  

TOTAL WATER UTILITIES

 

    $ 446,074  

WIRELESS TELECOMMUNICATION SERVICES – 0.7%

 

America Movil SAB de CV, Class L

      7,707        107,436  

KDDI Corp.

      39,426        1,191,827  

MTN Group*

      8,256        52,233  

SoftBank Corp.

      6,274        80,874  

Turkcell Iletisim Hizmetleri AS

      22,036        39,442  

VEON Ltd., ADR*

      33,866        60,959  
     

 

 

  

TOTAL WIRELESS TELECOMMUNICATION SERVICES

 

    $ 1,532,771  
     

 

 

  
TOTAL COMMON STOCKS
(Cost $ 141,753,772)

 

    $ 190,775,565  

INVESTMENT COMPANIES – 0.0%**

 

EQUITY FUNDS – 0.0%**

 

iShares Core MSCI EAFE ETF

      963        71,561  

NEXT FUNDS TOPIX ETF

      690        12,595  
     

 

 

  
TOTAL INVESTMENT COMPANIES
(Cost $ 65,982)

 

    $ 84,156  
PREFERRED STOCK – 0.2%

 

CONSUMER DISCRETIONARY – 0.2%

 

Volkswagen AG 4.86%

      1,694        441,049  
     

 

 

  
TOTAL PREFERRED STOCK
(Cost $ 242,662)

 

    $ 441,049  
MONEY MARKET FUND – 3.3%

 

Dreyfus Government Cash Management Fund,

      

Institutional Shares 0.03%^

     6,723,646        6,723,646  
     

 

 

  

TOTAL MONEY MARKET FUND

(Cost $ 6,723,646)

 

 

    $ 6,723,646  
     

 

 

  

TOTAL INVESTMENTS – 95.9%

(COST $ 148,786,062)

 

 

    $ 198,024,416  

OTHER ASSETS LESS LIABILITIES – 4.1%

         8,531,328  
     

 

 

  

TOTAL NET ASSETS – 100.0%

       $     206,555,744  
     

 

 

  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

  28

 

Various inputs are used in determining the value of the 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)

The following is a summary of the inputs used as of April 30, 2021 in valuing the Fund’s assets and liabilities carried at fair value:

 

     Level 1      Level 2      Level 3      Total  

Assets

            

Investments in Securities

            

Common Stocks

            

Aerospace & Defense

    $     2,772,172      $     1,620,981      $     —      $ 4,393,153  

Air Freight & Logistics

      2,463,693        685,491        —        3,149,184  

Airlines

      —        107,110        —        107,110  

Auto Components

      —        700,822        —        700,822  

Automobiles

      —        1,990,346        —        1,990,346  

Banks

      3,907,718        2,494,427        —        6,402,145  

Beverages

      2,387,915        1,874,811        —        4,262,726  

Biotechnology

      336,575        —        —        336,575  

Building Products

      1,352,495        738,187        —        2,090,682  

Capital Markets

      3,171,617        1,883,140        —        5,054,757  

Chemicals

      1,453,679        961,402        —        2,415,081  

Commercial Services & Supplies

      4,132,738        598,460        —        4,731,198  

Communications Equipment

      1,669,284        841,193        —        2,510,477  

Construction & Engineering

      —        1,945,006        —        1,945,006  

Construction Materials

      —        428,914        —        428,914  

Consumer Finance

      1,103,793        45,264        —        1,149,057  

Containers & Packaging

      446,850        12,077        —        458,927  

Distributors

      214,823        65,128        —        279,951  

Diversified Consumer Services

      828,344        9,385        —        837,729  

Diversified Financial Services

      3,179,884        1,968,523        —        5,148,407  

Diversified Telecommunication Services

      1,173,502        2,573,165        —        3,746,667  

Electric Utilities

      1,893,435        258,697        —            2,152,132  

Electrical Equipment

      —        1,025,468        —        1,025,468  

Electronic Equipment, Instruments & Components

      549,117        1,333,805        —        1,882,922  

Energy Equipment & Services

      35,943        91,614        —        127,557  

Entertainment

      642,738        261,692        —        904,430  

Food & Staples Retailing

      945,369        856,370        —        1,801,739  

Food Products

      1,425,126        2,098,769        —        3,523,895  

Gas Utilities

      771,823        827,719        —        1,599,542  

Health Care Equipment & Supplies

      5,660,401        1,763,913        —        7,424,314  

Health Care Providers & Services

      3,455,192        356,307        —        3,811,499  

Health Care Technology

      364,512        103,963        —        468,475  

Hotels, Restaurants & Leisure

      3,595,116        2,403,162        —        5,998,278  

Household Durables

      1,745,314        420,424        —        2,165,738  

Household Products

      1,571,389        875,083        —        2,446,472  

Insurance

      8,036,645        5,932,127        —        13,968,772  

Interactive Media & Services

      4,827,352        2,209,592        —        7,036,944  

Internet & Direct Marketing Retail

      4,373,279        1,062,613        —        5,435,892  

IT Services

      6,353,119        2,786,402        —        9,139,521  

Leisure Products

      429,052        210,334        —        639,386  

Life Sciences Tools & Services

      354,014        737,974        —        1,091,988  

Machinery

      4,817,160        2,489,528        —        7,306,688  

Marine

      —        468,249        —        468,249  

Media

      642,554        834,540        —        1,477,094  

Metals & Mining

      401,623        1,945,391        —        2,347,014  

Multiline Retail

      1,370,943        206,579        —        1,577,522  

Multi-Utilities

      515,134        1,425,576        —        1,940,710  

Oil, Gas & Consumable Fuels

      1,662,175        2,255,546        —        3,917,721  

Personal Products

      —        152,788        —        152,788  

Pharmaceuticals

      4,174,102        4,509,319        —        8,683,421  

 

ANNUAL REPORT / April 30, 2021

29  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (continued)

 

     Level 1     Level 2     Level 3      Total          

Professional Services

    $ 1,738,223     $ 2,440,806     $ —      $ 4,179,029  

Real Estate Investment Trusts

      4,078,788       538,543       —        4,617,331  

Real Estate Management & Development

      —       944,522       —        944,522  

Road & Rail

      2,896,794       38,600       —        2,935,394  

Semiconductors & Semiconductor Equipment

      1,741,091       1,871,430       —        3,612,521  

Software

      6,857,719       271,241       —        7,128,960  

Specialty Retail

      2,517,664       1,355,142       —        3,872,806  

Technology Hardware, Storage & Peripherals

      2,970,470       367,942       —        3,338,412  

Textiles, Apparel & Luxury Goods

      733,842       138,488       —        872,330  

Tobacco

      626,050       —       —        626,050  

Trading Companies & Distributors

      1,237,009       2,594,863       —        3,831,872  

Transportation Infrastructure

      —       182,408       —        182,408  

Water Utilities

      82,584       363,490       —        446,074  

Wireless Telecommunication Services

      168,395       1,364,376       —        1,532,771  

Investment Companies

      71,561       12,595       —        84,156  

Preferred Stock

      —       441,049       —        441,049  

Money Market Fund

      6,723,646       —       —        6,723,646  
  

 

 

    

 

 

    

 

 

     

 

 

  

Total Investments in Securities

    $     123,651,545     $     74,372,871     $ —      $     198,024,416  
  

 

 

    

 

 

    

 

 

     

 

 

  

Other Financial Instruments!

         

Forward Foreign Currency Contracts

    $ —     $ 24,948     $ —      $ 24,948  

Financial Futures Contracts

      319,262       —       —        319,262  
  

 

 

    

 

 

    

 

 

     

 

 

  

Total Assets - Other Financial Instruments

    $ 319,262     $ 24,948     $ —      $ 344,210  
  

 

 

    

 

 

    

 

 

     

 

 

  

Liabilities

          

Other Financial Instruments!

         

Forward Foreign Currency Contracts

    $ —     $ (229,936 )    $ —      $ (229,936 ) 

Financial Futures Contracts

      (3,236,460 )      —       —        (3,236,460 ) 
  

 

 

    

 

 

    

 

 

     

 

 

  

Total Liabilities - Other Financial Instruments

    $ (3,236,460 )    $ (229,936 )    $ —      $ (3,466,396 ) 
  

 

 

    

 

 

    

 

 

     

 

 

  

 

!

Other financial instruments are derivative instruments, such as forward foreign currency contracts and financial future contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.

As a result of utilizing international fair value pricing at April 30, 2021, a portion of the Fund’s common stock investments were categorized as Level 2.

 

 

 

*

Non-income producing security.

 

**

Represents less than 0.05%.

 

^

7-Day net yield.

The following acronyms are used throughout this Fund:

 

 

ADR

   

American Depositary Receipt

 

CAD

   

Canadian Dollar

 

ETF

   

Exchange-Traded Fund

 

EUR

   

Euro

 

GBP

   

British Pound Sterling

 

JPY

   

Japanese Yen

 

MSCI

   

Morgan Stanley Capital International

 

OYJ

   

Public Limited Company

 

PCL

   

Public Company Limited

 

PLC

   

Public Limited Company

 

REIT

   

Real Estate Investment Trust

 

S&P

   

Standards & Poor’s

 

SCA

   

Limited Partnership With Share Capital

 

SpA

   

Societa per Azioni

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Global Alpha Equities Fund (concluded)

   30

 

At April 30, 2021, the Global Alpha Equities Fund had the following outstanding forward foreign currency contracts, which contractually obligates the Fund to deliver or receive currencies at specified future dates:

 

 Settlement Date

    Counterparty     
 Contracts to
Deliver/Receive		  
 		     
 Contract
Amount		  
 		     
 Contract at
Value		  
 		     
 Unrealized
Appreciation		  
 		   

Unrealized 

(Depreciation) 

 CONTRACTS SOLD

                                         

 6/16/2021

    Morgan Stanley      3,187,000 EUR        $3,801,074        $3,835,307        $        —      $(34,233)

 6/16/2021

    BNP Paribas      2,266,000 GBP        3,142,822        3,129,857        12,965      —

 6/16/2021

    Morgan Stanley      327,000,000 JPY        3,005,176        2,993,193        11,983      —

 6/16/2021

    Morgan Stanley      8,975,000 CAD        7,106,828        7,302,531        —      (195,703)
 UNREALIZED APPRECIATION (DEPRECIATION) ON FORWARD FOREIGN CURRENCY  CONTRACTS                                 $ 24,948      $ (229,936)

At April 30, 2021, the Global Alpha Equities Fund had open financial futures contracts as follows:

 

 Underlying Contracts to Buy/Sell

     
 Expiration
Date		  
 		     
 Number of
Contracts		  
 		     
 Notional
Amount		  
 		     
 Notional
Value		  
 		     
 Unrealized
Appreciation		  
(a) 		    

 Unrealized 

(Depreciation)(a) 

  

 

 SHORT POSITIONS:

 

                                            

 EXCHANGE-TRADED:

 

                                            

 E-Mini S&P 500 Index

      June 2021        101        $19,833,144        $21,080,720        $         —     $ (1,247,576)  

 E-Mini S&P Mid 400 Index

      June 2021        65        17,004,131        17,681,950        —       (677,819)  

 HSCE Index

      May 2021        83        5,821,168        5,752,914        68,254       —  

 MSCI EAFE Index

      June 2021        262        28,721,891        29,570,630        —       (848,739)  

 S&P TSX 60 Index

      June 2021        16        2,896,197        2,955,929        —       (59,732)  

 E-Mini Russell 2000 Index

      June 2021        71        8,279,333        8,028,325        251,008       —  

 TOPIX Index

      June 2021        32        5,509,766        5,567,573        —       (57,807)  

 Euro STOXX 50 Index

      June 2021        107        4,865,605        5,068,446        —       (202,841)  

 FTSE 100 Index

      June 2021        48        4,456,951        4,598,897        —       (141,946)  
 UNREALIZED APPRECIATION (DEPRECIATION) ON FINANCIAL FUTURES  CONTRACTS

 

                                 $ 319,262     $ (3,236,460 ) 

 

(a) 

The unrealized appreciation (depreciation) presented above is the cumulative change in unrealized appreciation (depreciation) from the date the contract was open through April 30, 2021. Only current day variation margin is reported on the Fund’s Statement of Assets and Liabilities.

See Notes which are an integral part of the Financial Statements

 

 

 

ANNUAL REPORT / April 30, 2021

31  

 

PORTFOLIO OF INVESTMENTS SUMMARY TABLE

Wilmington Real Asset Fund

At April 30, 2021, the Fund’s portfolio composition was as follows (unaudited):

 

     Percentage of
Total Net Assets

Commodity Related Securities:

  

Investment Company Commodity Fund

     33.1 % 

Exchange-Traded Commodity Funds

     19.3 % 

Real Estate Related Securities:

  

Real Estate Investment Trusts

     17.6 % 

Exchange-Traded Funds

     8.8 % 

Common Stocks

     4.9 % 

Investment Companies

     2.2 % 

Rights

     0.0 %(1) 

Inflation Related Securities:

  

Exchange-Traded Funds

     10.1 % 

Cash Equivalents(2)

    3.8 % 

Cash Collateral Invested for Securities on Loan(3)

    1.5 % 

Other Assets and Liabilities - Net(4)

    (1.3 )% 
 

 

 

  

TOTAL

     100.0 % 
 

 

 

  
 

 

(1) 

Represents less than 0.05%.

 

(2) 

Cash Equivalents include investments in a money market fund.

 

(3) 

Cash Collateral Invested for Securities on Loan include investments in money market funds and repurchase agreements.

 

(4) 

Assets, other than investments in securities, less liabilities. See Statements of Assets and Liabilities.

PORTFOLIO OF INVESTMENTS

April 30, 2021

 

  Description        Number of
Shares		                      Value    

INFLATION RELATED SECURITIES – 10.1%

 

EXCHANGE-TRADED FUNDS – 10.1%

 

INFLATION-PROTECTED SECURITIES FUND – 10.1%

 

Schwab U.S. TIPS ETF

      760,000      $ 47,051,600  
     

 

 

  

TOTAL EXCHANGE-TRADED FUNDS
(COST $46,978,380)

 

    $ 47,051,600  
     

 

 

  

TOTAL INFLATION RELATED SECURITIES

(COST $46,978,380)

 

 

    $ 47,051,600  

REAL ESTATE RELATED SECURITIES – 33.5%

 

COMMON STOCKS – 4.9%

 

CONSTRUCTION & ENGINEERING – 0.0%**

 

Ashtrom Group Ltd.

      754        16,238  

DIVERSIFIED – 0.0%**

 

Argosy Property Ltd.

      19,879        21,099  

Centuria Capital Group

      25,310        51,946  
     

 

 

  

TOTAL DIVERSIFIED

       $ 73,045  

DIVERSIFIED REAL ESTATE ACTIVITIES – 2.0%

 

Airport City Ltd.*

      4,669        77,528  

Allreal Holding AG

      730        147,755  

CapitaLand Ltd.

      130,800        364,626  
  Description        Number of
Shares		                      Value    

Chinese Estates Holdings Ltd.

      75,000      $ 37,082  

City Developments Ltd.

      26,000        153,802  

Daito Trust Construction Co. Ltd.

      3,500        372,165  

Daiwa House Industry Co. Ltd.

      34,200        1,014,107  

DIC Asset AG

      3,489        62,228  

Far East Consortium International Ltd.

      78,000        27,593  

Gemdale Properties & Investment Corp. Ltd.

      358,000        50,229  

Great Eagle Holdings Ltd.

      13,000        45,786  

Hang Lung Properties Ltd.

      106,000        289,191  

Heiwa Real Estate Co. Ltd.

      2,900        98,755  

Kerry Properties Ltd.

      54,500        183,627  

Lendlease Corp. Ltd.

      35,398        345,899  

Mitsubishi Estate Co. Ltd.

      69,400        1,142,247  

Mitsui Fudosan Co. Ltd.

      48,700        1,058,704  

New World Development Co. Ltd.

      66,000        349,250  

Nomura Real Estate Holdings, Inc.

      6,900        170,103  

Property & Building Corp. Ltd.

      345        41,127  

Shinoken Group Co. Ltd.

      3,200        34,248  

St. Joe Co. (The)

      1,605        73,493  

Starts Corp., Inc.

      700        17,145  

Sumitomo Realty & Development Co. Ltd.

      24,500        817,833  

Sun Hung Kai Properties Ltd.

      78,000        1,173,304  

Tokyo Tatemono Co. Ltd.

      11,600        171,742  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

   32

 

  Description        Number of
Shares		                      Value    

Tokyu Fudosan Holdings Corp.

      31,100      $ 173,101  

UOL Group Ltd.

      29,900        172,528  

Wharf Holdings Ltd. (The)

      78,000        236,588  

YH Dimri Construction & Development Ltd.

      360        21,387  
     

 

 

  

TOTAL DIVERSIFIED REAL ESTATE ACTIVITIES

 

    $ 8,923,173  

OFFICE – 0.0%**

 

Precinct Properties New Zealand Ltd.

      65,609        77,325  

REAL ESTATE DEVELOPMENT – 0.5%

 

Aedas Homes SA*

      962        24,834  

BUWOG AG Escrow Shares*,(1)

     3,077        —  

Cedar Woods Properties Ltd.

      3,874        21,875  

Chip Eng Seng Corp. Ltd.

      44,200        16,243  

CK Asset Holdings Ltd.

      125,500        785,708  

Forestar Group, Inc.*

      1,558        39,480  

Goldcrest Co. Ltd.

      1,500        21,777  

Greenland Hong Kong Holdings Ltd.

      101,000        35,113  

Henderson Land Development Co. Ltd.

      62,735        278,840  

Howard Hughes Corp. (The)*

      2,114        228,185  

Instone Real Estate Group AG*

      2,416        71,836  

K Wah International Holdings Ltd.

      135,000        67,180  

Katitas Co. Ltd.

      2,600        77,891  

Lifestyle Communities Ltd.

      4,838        52,127  

Nexity SA

      2,856        154,777  

Road King Infrastructure Ltd.

      24,000        31,892  

Selvaag Bolig ASA

      6,948        50,991  

Sino Land Co. Ltd.

      170,000        252,475  

St. Modwen Properties PLC

      17,514        105,045  

Tosei Corp.

      2,300        22,768  

Wing Tai Holdings Ltd.

      24,500        35,301  
     

 

 

  

TOTAL REAL ESTATE DEVELOPMENT

 

    $     2,374,338  

REAL ESTATE OPERATING COMPANIES – 2.4%

 

ADO Properties SA*

      3,613        106,710  

Aeon Mall Co. Ltd.

      5,000        79,373  

Akelius Residential Property AB, Class D

      10,772        20,990  

Alony Hetz Properties & Investments Ltd.

      5,823        83,748  

Amot Investments Ltd.

      8,779        57,242  

Aroundtown SA

      61,652        474,727  

Ascendas India Trust

      33,200        35,373  

Atrium Ljungberg AB, Class B

      2,330        48,804  

Azrieli Group Ltd.

      3,961        277,946  

Bayside Land Corp. Ltd.

      5,012        45,925  

Big Shopping Centers Ltd.*

      276        33,260  

Blue Square Real Estate Ltd.

      878        64,451  

CA Immobilien Anlagen AG

      3,292        144,264  

Castellum AB

      12,547        305,546  

Catena AB

      1,357        65,591  

Cibus Nordic Real Estate AB

      2,057        43,453  

Citycon OYJ

      2,325        20,417  

CLS Holdings PLC

      27,220        93,561  

Daibiru Corp.

      5,100        59,664  

Deutsche EuroShop AG*

      2,964        68,419  

Deutsche Wohnen SE

      18,869        1,020,788  

Dios Fastigheter AB

      4,885        46,497  

Entra ASA

      5,788        130,715  

Fabege AB

      13,425        200,157  

Fastighets AB Balder, Class B*

      5,228        301,226  
  Description        Number of
Shares		                      Value    

Gazit-Globe Ltd.

      8,975      $ 58,470  

Grainger PLC

      32,952        130,085  

Grand City Properties SA

      5,578        149,977  

Hang Lung Group Ltd.

      31,000        81,322  

Helical PLC

      12,067        70,627  

Hongkong Land Holdings Ltd.

      60,000        296,713  

Hufvudstaden AB, Class A

      4,456        71,027  

Hulic Co. Ltd.

      25,700        293,200  

Hysan Development Co. Ltd.

      26,001        97,883  

Ichigo, Inc.

      6,800        21,254  

IMMOFINANZ AG*

      4,535        94,362  

Intershop Holding AG

      64        42,820  

Keihanshin Building Co. Ltd.

      4,900        66,802  

Kennedy-Wilson Holdings, Inc.

      4,727        97,140  

K-fast Holding AB*

      646        23,536  

Klovern AB, Class B

      55,778        107,962  

Kungsleden AB

      9,968        115,895  

LEG Immobilien SE

      3,707        515,774  

Mega Or Holdings Ltd.

      685        22,671  

Melisron Ltd.*

      1,293        78,066  

Mobimo Holding AG

      348        110,584  

NP3 Fastigheter AB

      1,509        27,707  

Nyfosa AB

      11,802        141,979  

Platzer Fastigheter Holding AB, Class B

      3,083        40,308  

PSP Swiss Property AG

      2,079        256,541  

S IMMO AG

      4,007        104,028  

Sagax AB, Class D

      19,966        77,500  

Samhallsbyggnadsbolaget i Norden AB, Class D

      21,008        74,802  

Samhallsbyggnadsbolaget i Norden AB

      81,389        309,577  

Shurgard Self Storage SA

      1,183        55,034  

Sirius Real Estate Ltd.

      54,139        76,023  

Swire Properties Ltd.

      59,000        176,065  

Swiss Prime Site AG

      3,906        380,129  

TAG Immobilien AG

      7,764        240,110  

Tricon Residential, Inc.

      9,173        97,316  

VGP NV

      392        68,424  

Vonovia SE

      29,101        1,912,074  

Wallenstam AB, Class B

      10,637        164,390  

Wharf Real Estate Investment Co. Ltd.

      84,000        482,751  

Wihlborgs Fastigheter AB

      6,877        140,580  
     

 

 

  

TOTAL REAL ESTATE OPERATING COMPANIES

       $     11,200,355  

RETAIL – 0.0%**

 

Kiwi Property Group Ltd.

      80,708        73,237  
     

 

 

  

TOTAL COMMON STOCKS
(COST $17,427,889)

       $ 22,737,711  

EXCHANGE-TRADED FUNDS – 8.8%

 

EQUITY FUNDS – 8.8%

 

Schwab U.S. REIT ETF#

     472,500        20,974,275  

Vanguard Global ex-U.S. Real Estate ETF#

      345,000        19,713,300  
     

 

 

  

TOTAL EQUITY FUNDS

       $ 40,687,575  
     

 

 

  

TOTAL EXCHANGE-TRADED FUNDS
(COST $32,610,051)

       $ 40,687,575  
 

 

ANNUAL REPORT / April 30, 2021

33  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

 

  Description        Number of
Shares		                      Value    

INVESTMENT COMPANIES – 2.2%

      

EQUITY FUNDS – 2.2%

      

Tortoise MLP & Pipeline Fund

      973,466      $ 10,211,663  

REAL ESTATE – 0.0%**

      

BMO Commercial Property Trust Ltd.

      39,591        43,585  
     

 

 

  

TOTAL INVESTMENT COMPANIES
(COST $12,786,269)

 

    $     10,255,248  

RIGHTS – 0.0%**

      

HomeCo Daily Needs REIT*, Expire 05/07/21

      8,727        —  
     

 

 

  

TOTAL RIGHTS
(COST $0)

 

    $ —  

REAL ESTATE INVESTMENT TRUSTS – 17.6%

 

   

DIVERSIFIED – 1.9%

      

Abacus Property Group

      16,994        39,633  

Activia Properties, Inc.

      35        161,390  

Alexander & Baldwin, Inc.

      7,229        132,508  

American Assets Trust, Inc.

      1,696        59,445  

Armada Hoffler Properties, Inc.

      5,648        76,982  

Artis REIT

      2,286        20,216  

Broadstone Net Lease, Inc.

      1,074        21,673  

Charter Hall Group

      21,646        233,826  

Charter Hall Long Wale REIT

      30,820        116,061  

Cofinimmo SA

      1,343        205,900  

Colony Capital, Inc.*,#

     25,064        175,448  

Cominar REIT

      2,658        21,106  

CTO Realty Growth, Inc.

      76        4,028  

Daiwa House REIT Investment Corp.

      104        278,533  

Empire State Realty Trust, Inc., Class A

      16,562        188,641  

Essential Properties Realty Trust, Inc.

      5,505        144,176  

Gecina SA

      2,544        372,385  

Gladstone Commercial Corp.

      2,455        51,653  

Global Net Lease, Inc.

      11,392        218,726  

Goodman Property Trust

      75,368        120,129  

GPT Group (The)

      100,172        356,540  

Growthpoint Properties Australia Ltd.

      18,802        54,326  

H&R REIT

      7,113        88,135  

Hankyu Hanshin REIT, Inc.

      37        51,852  

Heiwa REIT, Inc.

      76        114,520  

Hulic Reit, Inc.

      71        113,318  

ICADE

      1,562        121,552  

Irongate Group

      21,935        23,591  

Kenedix Office Investment Corp.

      20        147,271  

Land Securities Group PLC

      36,123        359,968  

LondonMetric Property PLC

      49,777        155,098  

LXI REIT PLC

      26,814        50,575  

Mapletree North Asia Commercial Trust

      101,300        82,990  

Merlin Properties Socimi SA

      17,152        189,570  

Mirvac Group

      191,655        397,112  

NIPPON REIT Investment Corp.

      32        124,170  

Nomura Real Estate Master Fund, Inc.

      242        382,374  

NTT UD REIT Investment Corp.

      97        143,808  

One Liberty Properties, Inc.

      12        298  

Picton Property Income Ltd. (The)

      63,920        80,298  

PS Business Parks, Inc.

      809        131,357  

RDI REIT PLC

      11,838        19,840  
  Description        Number of
Shares		                      Value    

REIT 1 Ltd.

      11,700      $ 61,979  

Samty Residential Investment Corp.

      22        23,764  

Sekisui House Reit, Inc.

      220        183,057  

Star Asia Investment Corp.

      81        41,467  

Stockland

      122,754        442,365  

STORE Capital Corp.

      11,637        416,488  

Sunlight REIT

      139,000        76,424  

Suntec REIT

      110,400        126,517  

Tokyu REIT, Inc.

      73        123,822  

Tosei Reit Investment Corp.

      15        18,381  

UK Commercial Property REIT Ltd.

      46,367        51,524  

United Urban Investment Corp.

      161        240,351  

VEREIT, Inc.

      11,018        527,101  

Washington REIT

      2,685        62,346  

WP Carey, Inc.

      8,528        638,662  

Yuexiu REIT

      80,000        40,237  
     

 

 

  

TOTAL DIVERSIFIED

 

    $ 8,905,507  

DIVERSIFIED REAL ESTATE ACTIVITIES – 0.0%**

 

Sella Capital Real Estate Ltd.

      19,590        49,906  

HEALTH CARE – 1.6%

 

Aedifica SA

      1,702        207,914  

Arena REIT

      17,467        43,518  

Assura PLC

      137,396        141,443  

CareTrust REIT, Inc.

      6,068        146,724  

Community Healthcare Trust, Inc.

      886        45,115  

Diversified Healthcare Trust

      8,694        38,384  

Health Care & Medical Investment Corp.

      17        21,193  

Healthcare Realty Trust, Inc.

      6,136        197,334  

Healthcare Trust of America, Inc., Class A

      10,497        308,297  

Healthpeak Properties, Inc.

      26,806        920,518  

Impact Healthcare REIT PLC

      12,583        19,444  

LTC Properties, Inc.

      2,893        123,039  

Medical Properties Trust, Inc.

      29,826        657,663  

National Health Investors, Inc.

      2,416        177,359  

New Senior Investment Group, Inc.

      6,765        44,784  

NorthWest Healthcare Properties REIT

      4,866        51,702  

Omega Healthcare Investors, Inc.

      11,311        429,818  

Parkway Life REIT

      31,100        97,426  

Physicians Realty Trust

      15,860        297,058  

Primary Health Properties PLC

      66,777        139,480  

Sabra Health Care REIT, Inc.

      10,574        192,130  

Universal Health Realty Income Trust

      1,767        118,301  

Ventas, Inc.

      19,267        1,068,548  

Vital Healthcare Property Trust

      24,302        51,037  

Welltower, Inc.

      21,426        1,607,593  
     

 

 

  

TOTAL HEALTH CARE

 

    $     7,145,822  

HOTEL & RESORT – 0.6%

 

Apple Hospitality REIT, Inc.

      9,928        157,458  

Ascott Residence Trust

      95,500        75,870  

CDL Hospitality Trusts

      31,900        29,923  

Chatham Lodging Trust*

      2,859        39,654  

DiamondRock Hospitality Co.*

      14,037        146,266  

Hersha Hospitality Trust*

      6,231        72,030  

Hoshino Resorts REIT, Inc.

      11        64,565  

Host Hotels & Resorts, Inc.*

      35,009        635,763  

Invincible Investment Corp.

      270        97,030  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

   34

 

  Description        Number of
Shares		                      Value    

Japan Hotel REIT Investment Corp.

      200      $ 114,531  

Park Hotels & Resorts, Inc.*

      12,850        286,684  

Pebblebrook Hotel Trust

      6,007        143,447  

RLJ Lodging Trust

      10,153        163,869  

Ryman Hospitality Properties, Inc.*

      2,708        212,984  

Service Properties Trust

      10,529        129,665  

Summit Hotel Properties, Inc.*

      3,569        36,297  

Sunstone Hotel Investors, Inc.*

      9,213        121,243  

Xenia Hotels & Resorts, Inc.*

      6,846        133,018  
     

 

 

  

TOTAL HOTEL & RESORT

 

    $ 2,660,297  

INDUSTRIAL – 3.0%

 

AIMS APAC REIT

      23,200        24,411  

Americold Realty Trust

      12,978        524,181  

APN Industria REIT

      12,124        28,860  

ARA LOGOS Logistics Trust

      57,800        33,602  

Ascendas REIT

      162,800        379,376  

Centuria Industrial REIT

      23,836        63,853  

CRE Logistics REIT, Inc.

      13        21,513  

Dream Industrial REIT

      7,428        82,369  

Duke Realty Corp.

      19,221        894,161  

EastGroup Properties, Inc.

      2,507        397,761  

First Industrial Realty Trust, Inc.

      5,859        291,602  

Frasers Logistics & Commercial Trust

      148,720        163,885  

GLP J-REIT

      223        374,091  

Goodman Group

      86,453        1,260,706  

Granite REIT

      1,863        119,269  

Industrial & Infrastructure Fund Investment

      

Corp.

      106        191,937  

Industrial Logistics Properties Trust

      5,680        140,864  

Innovative Industrial Properties, Inc.#

     1,231        225,433  

Itochu Advance Logistics Investment Corp.

      16        20,602  

Japan Logistics Fund, Inc.

      46        131,547  

LaSalle Logiport REIT

      96        155,793  

Lexington Realty Trust

      18,817        230,320  

Mapletree Industrial Trust

      87,400        185,418  

Mapletree Logistics Trust

      159,950        238,747  

Mitsubishi Estate Logistics REIT Investment

      

Corp.

      19        78,596  

Mitsui Fudosan Logistics Park, Inc.

      27        139,746  

Monmouth Real Estate Investment Corp.

      6,343        117,219  

Montea CVA

      546        59,836  

Nippon Prologis REIT, Inc.

      140        448,627  

Plymouth Industrial REIT, Inc.

      1,334        24,866  

Prologis, Inc.

      38,029        4,431,519  

Rexford Industrial Realty, Inc.

      7,865        436,901  

Segro PLC

      61,276        851,282  

SOSiLA Logistics REIT, Inc.

      15        19,580  

STAG Industrial, Inc.

      9,873        360,463  

Summit Industrial Income REIT

      3,608        45,821  

Terreno Realty Corp.

      4,147        267,564  

Tritax Big Box REIT PLC

      88,407        232,318  

Warehouses De Pauw CVA

      7,016        247,442  
     

 

 

  

TOTAL INDUSTRIAL

 

    $     13,942,081  

OFFICE – 2.0%

 

Alexandria Real Estate Equities, Inc.

      6,537        1,183,851  

Allied Properties REIT

      2,996        103,958  
  Description        Number of
Shares		                      Value    

alstria office REIT AG

      8,939      $ 160,051  

Befimmo SA

      523        22,236  

Boston Properties, Inc.

      6,998        765,231  

Brandywine Realty Trust

      7,621        103,112  

Centuria Office REIT

      12,820        21,737  

Champion REIT

      160,000        92,934  

City Office REIT, Inc.

      2,823        30,855  

Columbia Property Trust, Inc.

      6,598        118,830  

Corporate Office Properties Trust

      4,663        130,751  

Cousins Properties, Inc.

      6,919        253,720  

Covivio

      2,344        209,111  

Cromwell Property Group

      70,423        47,452  

Daiwa Office Investment Corp.

      20        144,524  

Derwent London PLC

      6,282        288,956  

Dexus

      55,850        438,411  

Douglas Emmett, Inc.

      7,491        251,248  

Dream Office REIT

      3,839        65,995  

Easterly Government Properties, Inc.

      3,911        83,813  

Equity Commonwealth

      6,256        180,173  

GDI Property Group

      37,938        31,111  

Global One Real Estate Investment Corp.

      60        69,433  

Great Portland Estates PLC

      15,111        144,641  

Hibernia REIT PLC

      32,408        44,306  

Highwoods Properties, Inc.

      4,541        203,391  

Hudson Pacific Properties, Inc.

      6,823        191,795  

Ichigo Office REIT Investment Corp.

      84        73,320  

Inmobiliaria Colonial Socimi SA

      17,931        181,901  

Intervest Offices & Warehouses NV

      685        18,287  

Invesco Office J-REIT, Inc.

      616        113,638  

IREIT Global

      87,000        42,131  

Japan Excellent, Inc.

      66        92,290  

Japan Prime Realty Investment Corp.

      49        198,911  

Japan Real Estate Investment Corp.

      71        440,072  

JBG SMITH Properties

      4,693        153,039  

Keppel Pacific Oak U.S. REIT

      54,800        40,821  

Keppel REIT

      112,100        104,325  

Kilroy Realty Corp.

      5,446        373,269  

Mack-Cali Realty Corp.

      2,455        40,164  

Manulife U.S. REIT

      72,500        55,067  

Mirai Corp.

      43        19,305  

Mori Hills REIT Investment Corp.

      84        121,847  

Mori Trust Sogo REIT, Inc.

      49        70,612  

Nippon Building Fund, Inc.

      85        557,854  

NSI NV

      1,341        54,517  

Office Properties Income Trust

      1,436        39,849  

One REIT, Inc.

      16        44,896  

Orix JREIT, Inc.

      152        268,124  

Paramount Group, Inc.

      6,206        65,846  

Piedmont Office Realty Trust, Inc., Class A

      4,742        88,296  

Prime U.S. REIT

      23,700        20,483  

SL Green Realty Corp.#

     3,267        241,791  

True North Commercial REIT

      3,946        22,858  

Vornado Realty Trust

      7,526        344,314  

Workspace Group PLC

      10,610        120,122  
     

 

 

  

TOTAL OFFICE

 

    $     9,389,575  

RESIDENTIAL – 2.5%

 

Advance Residence Investment Corp.

      71        226,123  
 

 

ANNUAL REPORT / April 30, 2021

35  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

 

  Description        Number of
Shares		                      Value    

American Campus Communities, Inc.

      6,656      $ 300,918  

American Homes 4 Rent, Class A

      13,818        511,819  

Apartment Income REIT Corp.

      8,212        370,772  

Apartment Investment & Management Co., Class A

      8,212        56,991  

AvalonBay Communities, Inc.

      7,175        1,377,600  

Bluerock Residential Growth REIT, Inc.

      5,964        56,539  

Boardwalk REIT

      1,785        53,238  

Camden Property Trust

      5,017        604,448  

Canadian Apartment Properties REIT

      4,891        217,422  

Care Property Invest NV

      688        20,856  

Centerspace

      389        27,382  

Civitas Social Housing PLC

      32,010        50,466  

Clipper Realty, Inc.

      9,929        81,716  

Comforia Residential REIT, Inc.

      32        102,544  

Daiwa Securities Living Investments Corp.

      98        100,574  

Empiric Student Property PLC*

      17,727        21,555  

Equity LifeStyle Properties, Inc.

      8,482        588,651  

Equity Residential

      17,163        1,274,009  

Essex Property Trust, Inc.

      3,296        957,554  

GCP Student Living PLC

      19,492        44,165  

Independence Realty Trust, Inc.

      3,834        64,564  

Ingenia Communities Group

      24,221        98,654  

InterRent REIT

      6,334        79,101  

Invitation Homes, Inc.

      29,169        1,022,665  

Irish Residential Properties REIT PLC

      33,709        65,909  

Kenedix Residential Next Investment Corp.

      69        142,326  

Killam Apartment REIT

      2,717        41,866  

Mid-America Apartment Communities, Inc.

      5,882        925,415  

NexPoint Residential Trust, Inc.

      608        30,497  

Nippon Accommodations Fund, Inc.

      28        166,106  

Starts Proceed Investment Corp.

      19        39,478  

Sun Communities, Inc.

      5,740        957,604  

UDR, Inc.

      14,454        671,388  

UMH Properties, Inc.

      2,326        50,079  

UNITE Group PLC (The)

      19,817        318,817  

Xior Student Housing NV

      874        48,840  
     

 

 

  

TOTAL RESIDENTIAL

 

    $     11,768,651  

RETAIL – 3.0%

 

Acadia Realty Trust

      4,930        102,988  

AEON REIT Investment Corp.

      78        107,255  

Agree Realty Corp.

      4,259        299,663  

Altarea SCA

      107        21,578  

American Finance Trust, Inc.

      10,965        109,760  

Aventus Group

      19,965        45,649  

British Land Co. PLC (The)

      47,539        340,673  

Brixmor Property Group, Inc.

      14,204        317,317  

BWP Trust

      35,261        112,227  

Capital & Counties Properties PLC*

      35,360        88,692  

CapitaLand China Trust

      50,000        51,784  

CapitaLand Integrated Commercial Trust

      265,780        428,800  

Carmila SA

      5,913        99,259  

Charter Hall Retail REIT

      14,984        42,960  

Choice Properties REIT

      6,632        75,215  

CT REIT

      1,626        21,893  

Eurocommercial Properties NV*

      3,899        100,858  

Federal Realty Investment Trust

      3,328        375,531  
  Description        Number of
Shares		                      Value    

First Capital REIT

      5,526      $ 79,620  

Fortune REIT

      64,000        64,499  

Frasers Centrepoint Trust

      69,023        125,773  

Frontier Real Estate Investment Corp.

      26        113,597  

Fukuoka REIT Corp.

      37        60,653  

Getty Realty Corp.

      3,846        121,457  

Hamborner REIT AG

      1,873        20,537  

Hammerson PLC

      272,124        149,878  

Home Consortium Ltd.

      9,400        36,174  

HomeCo Daily Needs REIT

      20,596        20,751  

Japan Metropolitan Fund Invest

      359        353,781  

Kenedix Retail REIT Corp.

      23        58,911  

Kimco Realty Corp.

      22,126        464,646  

Kite Realty Group Trust

      3,631        75,561  

Klepierre SA

      9,718        257,927  

Lendlease Global Commercial REIT

      33,300        20,362  

Link REIT

      109,200        1,030,091  

Macerich Co. (The)#

     9,529        131,405  

Mapletree Commercial Trust

      114,123        187,210  

Mercialys SA

      4,343        55,572  

National Retail Properties, Inc.

      8,579        398,237  

NewRiver REIT PLC*

      17,295        24,277  

Realty Income Corp.

      19,201        1,327,749  

Regency Centers Corp.

      7,636        486,108  

Retail Estates NV

      943        72,493  

Retail Opportunity Investments Corp.

      5,146        90,570  

Retail Properties of America, Inc., Class A

      9,519        111,658  

Retail Value, Inc.

      1,384        25,784  

RioCan REIT

      5,653        96,673  

RPT Realty

      7,659        97,346  

Sasseur REIT

      29,500        20,505  

Scentre Group

      266,908        558,635  

Seritage Growth Properties, Class A*,#

     3,490        60,028  

Shaftesbury PLC*

      15,609        135,654  

Shopping Centres Australasia Property Group

      55,541        106,748  

Simon Property Group, Inc.

      16,893        2,056,554  

SITE Centers Corp.

      7,255        107,011  

SmartCentres REIT

      7,835        182,433  

SPH REIT

      137,600        91,533  

Spirit Realty Capital, Inc.

      5,228        248,539  

Supermarket Income REIT PLC

      41,671        65,313  

Tanger Factory Outlet Centers, Inc.#

     5,839        101,890  

Unibail-Rodamco-Westfield*

      6,943        571,768  

Urban Edge Properties

      4,971        93,703  

Urstadt Biddle Properties, Inc., Class A

      3,106        56,436  

Vicinity Centres

      180,821        220,974  

Waypoint REIT

      56,188        107,983  

Weingarten Realty Investors

      5,920        191,453  

Wereldhave NV

      1,145        19,781  
     

 

 

  

TOTAL RETAIL

 

    $     13,898,343  

SPECIALIZED – 3.0%

 

Big Yellow Group PLC

      8,499        140,631  

Charter Hall Social Infrastructure REIT

      35,768        89,551  

CoreSite Realty Corp.

      2,126        258,288  

CubeSmart

      10,990        465,317  

CyrusOne, Inc.

      5,939        432,537  

Digital Realty Trust, Inc.

      14,591        2,251,537  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

   36

 

  Description        Number of
Shares		                      Value    

EPR Properties*

      3,543      $ 169,037  

Equinix, Inc.

      4,591        3,309,009  

Extra Space Storage, Inc.

      6,790        1,009,605  

Farmland Partners, Inc.

      2,902        38,684  

Four Corners Property Trust, Inc.

      6,477        186,991  

Gaming and Leisure Properties, Inc.

      11,253        523,152  

GEO Group, Inc. (The)#

     5,794        31,925  

Gladstone Land Corp.#

     1,517        31,842  

Iron Mountain, Inc.#

     14,832        595,060  

Keppel DC REIT

      68,895        139,079  

Life Storage, Inc.

      4,006        384,816  

National Storage Affiliates Trust

      3,129        142,182  

National Storage REIT

      48,147        74,682  

Public Storage

      7,971        2,241,126  

QTS Realty Trust, Inc., Class A

      2,885        191,824  

Rural Funds Group

      17,455        32,724  

Safehold, Inc.

      677        47,871  

Safestore Holdings PLC

      13,213        155,486  

VICI Properties, Inc.

      27,175        861,447  
     

 

 

  

TOTAL SPECIALIZED

       $ 13,804,403  
     

 

 

  

TOTAL REAL ESTATE INVESTMENT TRUSTS
(COST $64,830,725)

 

    $ 81,564,585  
     

 

 

  
TOTAL REAL ESTATE RELATED SECURITIES
(COST $127,654,934)

 

    $ 155,245,119  

COMMODITY RELATED SECURITIES – 52.4%

 

EXCHANGE-TRADED FUNDS – 19.3%

 

COMMODITY – 19.3%

 

Aberdeen Standard Bloomberg All Commodity Strategy K-1 Free ETF

      416,000        10,483,200  

Invesco Optimum Yield Diversified Commodity Strategy No K-1 ETF

      2,170,000        40,427,100  

iShares Gold Trust*

      886,100        14,930,785  

iShares Silver Trust*

      144,100        3,459,841  

SPDR S&P Global Natural Resources ETF#

      390,000        20,358,000  
     

 

 

  

TOTAL COMMODITY

       $ 89,658,926  
     

 

 

  

TOTAL EXCHANGE-TRADED FUNDS
(COST $80,126,969)

 

    $ 89,658,926  

INVESTMENT COMPANIES – 33.1%

      

COMMODITY – 33.1%

      

Vanguard Commodity Strategy Fund

      808,253        25,201,324  

DFA Commodity Strategy Portfolio

      11,661,926        73,353,515  

Parametric Commodity Strategy Fund

      2,809,867        18,123,646  

Credit Suisse Commodity Return Strategy Fund*

      7,019,673        37,063,874  
     

 

 

  

TOTAL COMMODITY

       $ 153,742,359  
     

 

 

  

TOTAL INVESTMENT COMPANIES
(COST $136,439,488)

 

    $ 153,742,359  
     

 

 

  
TOTAL COMMODITY RELATED SECURITIES
(COST $216,566,457)

 

    $     243,401,285  
  Description        Number of
Shares		                      Value    

SHORT-TERM INVESTMENTS – 3.8%

 

MONEY MARKET FUND – 3.8%

      

Dreyfus Government Cash Management Fund, Institutional Shares, 0.03%^

     17,639,847      $ 17,639,847  
     

 

 

  
TOTAL SHORT-TERM INVESTMENT
(COST $17,639,847)

 

    $ 17,639,847  
CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN – 1.5%

 

MONEY MARKET FUNDS – 0.7%

 

Fidelity Investments Money Market Funds, Government Portfolio, Institutional Class, 0.01%^

     346,000        346,000  

Morgan Stanley Liquidity Funds, Government Portfolio, Institutional Class, 0.03%^

     640,000        640,000  

Blackrock Liquidity Fed Fund, Institutional Shares, 0.03%^

     627,000        627,000  

JPMorgan U.S. Government Money Market Fund, Capital Class, 0.03%^

     627,000        627,000  

Federated Hermes Government Obligations Fund, Premier Shares, 0.02%^

     580,000        580,000  

Goldman Sachs Financial Square Government Fund, Institutional Shares, 0.03%^

     627,000        627,000  
     

 

 

  

TOTAL MONEY MARKET FUNDS
(COST $3,447,000)

 

    $ 3,447,000  
  
     Par Value         

REPURCHASE AGREEMENTS – 0.8%

 

Bank of America Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $937,787 collateralized by U.S. Government Agency Securities, 1.00% to 5.50%, maturing 11/01/28 to 5/01/51; total market value of $956,542.

    $ 937,786        937,786  

Daiwa Capital Markets America, 0.01%, dated 4/30/21, due 5/03/21, repurchase price $1,290,362 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.00%, maturing 6/30/21 to 5/01/51; total market value of $1,316,168.

      1,290,361        1,290,361  

RBC Dominion Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $1,290,362 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 6.50%, maturing 6/01/21 to 12/15/60; total market value of $1,316,168.

      1,290,361        1,290,361  
     

 

 

  

TOTAL REPURCHASE AGREEMENTS
(COST $3,518,508)

 

    $ 3,518,508  
     

 

 

  
TOTAL CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN
(COST $6,965,508)

 

    $ 6,965,508  
     

 

 

  
TOTAL INVESTMENTS – 101.3%
(Cost $415,805,126)

 

    $     470,303,359  

COLLATERAL FOR SECURITIES ON LOAN – (1.5%)

 

      (6,965,508 ) 

OTHER ASSETS LESS LIABILITIES – 0.2%

 

      860,115  
     

 

 

  

TOTAL NET ASSETS – 100.0%

 

    $ 464,197,966  
     

 

 

  
 

 

ANNUAL REPORT / April 30, 2021

37  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (continued)

 

Various inputs are used in determining the value of the 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)

The following is a summary of the inputs used as of April 30, 2021 in valuing the Fund’s assets carried at fair value:

 

     Level 1      Level 2     Level 3     Total  

Assets

          

Investments in Securities

          

Inflation Related Securities

          

Exchange-Traded Funds

    $ 47,051,600      $ —     $ —     $ 47,051,600  

Real Estate Related Securities

          

Common Stocks

          

Construction & Engineering

      —        16,238       —       16,238  

Diversified

      —        73,045       —       73,045  

Diversified Real Estate Activities

      73,493        8,849,680       —       8,923,173  

Office

      —        77,325       —       77,325  

Real Estate Development

      267,665        2,106,673       — (a)      2,374,338  

Real Estate Operating Companies

      194,456        11,005,899       —       11,200,355  

Retail

      —        73,237       —       73,237  

Exchange-Traded Funds

      40,687,575        —       —       40,687,575  

Investment Companies

      10,211,663        43,585       —       10,255,248  

Real Estate Investment Trusts

          

Diversified

      2,978,989        5,926,518       —       8,905,507  

Diversified Real Estate Activities

      —        49,906       —       49,906  

Health Care

      6,424,367        721,455       —       7,145,822  

Hotel & Resort

      2,278,378        381,919       —       2,660,297  

Industrial

      8,590,313        5,351,768       —       13,942,081  

Office

      5,036,149        4,353,426       —       9,389,575  

Residential

      10,322,238        1,446,413       —       11,768,651  

Retail

      7,907,228        5,991,115       —       13,898,343  

Specialized

      13,172,250        632,153       —       13,804,403  

Rights

      —        — (a)       —       —  

Commodity Related Securities

          

Exchange-Traded Funds

      89,658,926        —       —       89,658,926  

Investment Companies

      153,742,359        —       —       153,742,359  

Money Market Funds

      21,086,847        —       —       21,086,847  

Repurchase Agreements

      —        3,518,508       —       3,518,508  
  

 

 

     

 

 

    

 

 

    

 

 

  

Total Investments in Securities

    $     419,684,496      $     50,618,863     $ —     $     470,303,359  
  

 

 

     

 

 

    

 

 

    

 

 

  

 

(a)

Includes internally fair valued securities currently priced at zero ($0).

As a result of utilizing international fair value pricing at April 30, 2021, a portion of the Fund’s common stock investments were categorized as Level 2.

 

 

 

**

Represents less than 0.05%.

 

*

Non-income producing security.

 

#

Security, or a portion thereof, is on loan. See Note 2 in Notes to Financial Statements.

 

^

7-Day net yield.

 

(1) 

The value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the Valuation Hierarchy table located at the end of the Portfolio of Investments.

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Real Asset Fund (concluded)

   38

 

The following acronyms are used throughout this Fund:

 

CVA   Dutch Certification
ETF   Exchange-Traded Fund
J-REIT   Japanese Real Estate Investment Trust
OYJ   Public Limited Company
PLC   Public Limited Company
REIT   Real Estate Investment Trust
SCA   Limited Partnership With Share Capital
SPDR   Standard & Poor’s Depositary Receipt

See Notes which are an integral part of the Financial Statements

 

 

 

ANNUAL REPORT / April 30, 2021

39

  

 

PORTFOLIO OF INVESTMENTS SUMMARY TABLE

Wilmington Diversified Income Fund

At April 30, 2021, the Fund’s portfolio composition was as follows (unaudited):

 

     Percentage of
Total Net Assets

Common Stocks

      40.8 % 

Investment Companies

      34.4 % 

Corporate Bonds

      9.7 % 

U.S. Treasury Obligations

      6.8 % 

Mortgage-Backed Securities

      5.1 % 

Government Agencies

      0.8 % 

Collateralized Mortgage Obligations

      0.2 % 

Enhanced Equipment Trust Certificate

      0.1 % 

Cash Equivalents(1)

     2.0 % 

Cash Collateral Invested for Securities on Loan(2)

     12.4 % 

Other Assets and Liabilities - Net(3)

     (12.3 )% 
  

 

 

  

TOTAL

      100.0 % 
  

 

 

  
 

 

(1) 

Cash Equivalents include investments in a money market fund.

 

(2) 

Cash Collateral Invested for Securities on Loan include investments in repurchase agreements.

 

(3) 

Assets, other than investments in securities, less liabilities. See Statements of Assets and Liabilities.

PORTFOLIO OF INVESTMENTS

April 30, 2021

 

  Description        
Par Value		      Value  

COLLATERALIZED MORTGAGE OBLIGATIONS – 0.2%

 

FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) –0.2%

 

Series 2012-114, Class VM, 3.50%, 10/25/25

    $ 77,658      $ 79,923  

WHOLE LOAN – 0.0%**

 

Banc of America Mortgage Securities, Inc.,
Series 2004-A, Class 2A1, 2.53%, 02/25/34D

     7,456        7,165  

IndyMac INDA Mortgage Loan Trust,
Series 2005-AR1, Class 2A1, 2.88%, 11/25/35D

     1,564        1,488  
     

 

 

  

TOTAL WHOLE LOAN

       $ 8,653  
     

 

 

  
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $95,761)       $ 88,576  
CORPORATE BONDS – 9.7%

 

AEROSPACE & DEFENSE – 0.4%

 

Boeing Co. (The), Sr. Unsecured

      

1.43%, 02/04/24

      50,000        50,172  

2.75%, 02/01/26

      45,000        46,720  

L3Harris Technologies, Inc., Sr. Unsecured,
2.90%, 12/15/29

      15,000        15,601  

Raytheon Technologies Corp., Sr. Unsecured,
3.50%, 03/15/27

      25,000        27,543  
     

 

 

  

TOTAL AEROSPACE & DEFENSE

       $ 140,036  

AUTOMOTIVE – 0.3%

 

General Motors Financial Co., Inc., Company Guaranteed,
3.20%, 07/06/21

      40,000        40,056  
  Description        
Par Value		      Value  

PACCAR Financial Corp., Sr. Unsecured, MTN,
2.65%, 05/10/22

    $ 55,000      $ 56,393  
     

 

 

  

TOTAL AUTOMOTIVE

       $ 96,449  

BEVERAGES – 0.1%

 

Anheuser-Busch InBev Finance, Inc., Company Guaranteed,
4.90%, 02/01/46

      20,000        23,905  

Keurig Dr. Pepper, Inc., Company Guaranteed,
3.20%, 05/01/30

      15,000        15,981  
     

 

 

  

TOTAL BEVERAGES

       $ 39,886  

BIOTECHNOLOGY – 0.1%

 

Amgen, Inc., Sr. Unsecured,
4.40%, 05/01/45

      25,000        28,972  

CAPITAL MARKETS – 0.8%

 

Goldman Sachs Group, Inc. (The), Sr. Unsecured
(3 Month USD LIBOR + 1.20%), 3.27%, 09/29/25D

      55,000        59,032  

(3 Month USD LIBOR + 1.51%), 3.69%, 06/05/28D

      35,000        38,633  

JPMorgan Chase & Co., Sr. Unsecured, (SOFR + 2.04%),
2.52%, 04/22/31D

     50,000        50,585  

Morgan Stanley, Sr. Unsecured, MTN, (SOFR + 3.12%),
3.62%, 04/01/31D

     70,000        76,941  

Morgan Stanley, Subordinated, GMTN,
4.35%, 09/08/26

      10,000        11,341  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (continued)

   40

 

  Description   

    Par Value

                      Value    

TD Ameritrade Holding Corp., Sr. Unsecured,
2.95%, 04/01/22

    $ 18,000      $ 18,364  

U.S. Bancorp, Series V, Sr. Unsecured,
2.63%, 01/24/22

      45,000        45,684  
     

 

 

  

TOTAL CAPITAL MARKETS

       $ 300,580  

CHEMICALS – 0.2%

 

Nutrien Ltd., Sr. Unsecured,
1.90%, 05/13/23

      80,000        82,145  

COMMERCIAL SERVICES & SUPPLIES – 0.1%

 

Global Payments, Inc., Sr. Unsecured,
3.75%, 06/01/23

      50,000        52,958  

COMPUTERS – 0.1%

 

Hewlett Packard Enterprise Co., Sr.
Unsecured, 3.50%, 10/05/21

      50,000        50,516  

DIVERSIFIED FINANCIAL SERVICES – 1.6%

 

Bank of America Corp., Sr. Unsecured, MTN,
3.25%, 10/21/27

      20,000        21,669  

BlackRock, Inc., Sr. Unsecured,
3.38%, 06/01/22

      38,000        39,276  

Capital One Financial Corp., Sr. Unsecured,
2.60%, 05/11/23

      30,000        31,265  

Citigroup, Inc., Sr. Unsecured, (3 Month USD LIBOR + 0.95%),
2.88%, 07/24/23D

      35,000        36,065  

Fifth Third Bancorp, Sr. Unsecured
3.50%, 03/15/22

      100,000        102,516  

2.55%, 05/05/27

      15,000        15,738  

Fifth Third Bancorp, Subordinated,
4.30%, 01/16/24

      20,000        21,850  

FMR LLC, Sr. Unsecured,
6.45%, 11/15/39W

      100,000        141,213  

Huntington Bancshares, Inc., Sr. Unsecured
2.63%, 08/06/24

      25,000        26,481  

2.55%, 02/04/30

      50,000        50,741  

Wells Fargo & Co., Series M, Subordinated,
3.45%, 02/13/23

      35,000        36,941  

Wells Fargo & Co., Sr. Unsecured, (SOFR + 2.00%),
2.19%, 04/30/26D

      25,000        25,978  

Wells Fargo & Co., Subordinated, MTN,
4.40%, 06/14/46

      40,000        45,662  
     

 

 

  

TOTAL DIVERSIFIED FINANCIAL SERVICES

 

    $ 595,395  

ELECTRIC – 0.5%

 

American Electric Power Co., Inc., Series M, Sr. Unsecured,
0.75%, 11/01/23

      25,000        25,065  

DTE Energy Co., Series F, Sr. Unsecured,
3.85%, 12/01/23

      10,000        10,737  

FirstEnergy Corp., Sr. Unsecured,
2.05%, 03/01/25

      100,000        100,878  

NextEra Energy Capital Holdings, Inc., Company Guaranteed,
0.65%, 03/01/23

      35,000        35,074  
     

 

 

  

TOTAL ELECTRIC

       $ 171,754  

ENVIRONMENTAL CONTROL – 0.2%

 

Waste Management, Inc., Company Guaranteed
3.50%, 05/15/24

      35,000        37,762  
  Description   

    Par Value

                      Value    

4.10%, 03/01/45

    $ 25,000      $ 28,631  
     

 

 

  

TOTAL ENVIRONMENTAL CONTROL

       $ 66,393  

FOOD & STAPLES RETAILING – 0.8%

 

Archer-Daniels-Midland Co., Sr. Unsecured,
3.25%, 03/27/30

      20,000        21,729  

Campbell Soup Co., Sr. Unsecured
3.30%, 03/19/25

      40,000        43,188  

3.13%, 04/24/50

      50,000        47,081  

Conagra Brands, Inc., Sr. Unsecured,
4.60%, 11/01/25

      40,000        45,729  

Kroger Co. (The), Sr. Unsecured
2.80%, 08/01/22#

     35,000        36,017  

5.40%, 01/15/49

      50,000        65,490  

McCormick & Co., Inc., Sr. Unsecured,
2.50%, 04/15/30

      35,000        35,323  
     

 

 

  

TOTAL FOOD & STAPLES RETAILING

       $ 294,557  

HEALTHCARE-PRODUCTS – 0.1%

 

DH Europe Finance II Sarl, Company Guaranteed,
2.20%, 11/15/24

      45,000        47,071  

HEALTHCARE-SERVICES – 0.2%

 

Anthem, Inc., Sr. Unsecured,
3.65%, 12/01/27

      30,000        33,364  

UnitedHealth Group, Inc., Sr. Unsecured
2.75%, 02/15/23

      25,000        25,994  

2.95%, 10/15/27

      25,000        27,133  
     

 

 

  

TOTAL HEALTHCARE-SERVICES

       $ 86,491  

HOME FURNISHINGS – 0.3%

 

Whirlpool Corp., Sr. Unsecured
4.70%, 06/01/22

      65,000        67,927  

2.40%, 05/15/31

      15,000        14,935  

4.60%, 05/15/50

      30,000        35,631  
     

 

 

  

TOTAL HOME FURNISHINGS

       $ 118,493  

HOUSEHOLD PRODUCTS/WARES – 0.0%**

 

Church & Dwight Co., Inc., Sr. Unsecured,
3.95%, 08/01/47

      15,000        16,821  

INSURANCE – 0.7%

 

Aon PLC, Company Guaranteed,
4.00%, 11/27/23

      40,000        43,174  

CNA Financial Corp., Sr. Unsecured,
3.95%, 05/15/24

      35,000        38,012  

Lincoln National Corp., Sr. Unsecured,
3.63%, 12/12/26

      25,000        27,670  

W.R. Berkley Corp., Sr. Unsecured
4.63%, 03/15/22

      60,000        62,231  

4.75%, 08/01/44

      45,000        54,039  

4.00%, 05/12/50

      30,000        33,218  
     

 

 

  

TOTAL INSURANCE

       $ 258,344  

MACHINERY – 0.1%

 

Caterpillar, Inc., Sr. Unsecured,
2.60%, 04/09/30

      25,000        26,097  

Roper Technologies, Inc., Sr. Unsecured,
2.00%, 06/30/30

      30,000        28,890  
     

 

 

  

TOTAL MACHINERY

       $ 54,987  
 

 

ANNUAL REPORT / April 30, 2021

41  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (continued)

 

  Description        
    Par Value		                      Value    

MEDIA – 0.3%

 

ViacomCBS, Inc., Sr. Unsecured
4.60%, 01/15/45

    $ 75,000      $ 83,684  

4.95%, 05/19/50#

     25,000        29,249  

Walt Disney Co. (The) / TWDC Enterprises 18 Corp., Company Guaranteed, GMTN,
4.13%, 06/01/44

      10,000        11,601  
     

 

 

  

TOTAL MEDIA

       $ 124,534  

MISCELLANEOUS MANUFACTURING – 0.3%

 

Illinois Tool Works, Inc., Sr. Unsecured,
3.50%, 03/01/24

      45,000        48,576  

Trane Technologies Luxembourg Finance SA, Company Guaranteed,
3.50%, 03/21/26

      55,000        60,358  
     

 

 

  

TOTAL MISCELLANEOUS MANUFACTURING

 

    $ 108,934  

OIL & GAS – 0.4%

 

Marathon Petroleum Corp., Sr. Unsecured,
3.63%, 09/15/24

      20,000        21,632  

Phillips 66, Company Guaranteed
4.30%, 04/01/22

      20,000        20,807  

0.90%, 02/15/24

      15,000        15,021  

3.85%, 04/09/25

      10,000        10,978  

Pioneer Natural Resources Co., Sr. Unsecured
1.13%, 01/15/26

      15,000        14,822  

2.15%, 01/15/31#

     15,000        14,173  

Shell International Finance BV, Company Guaranteed,
3.25%, 05/11/25

      25,000        27,262  

Valero Energy Corp., Sr. Unsecured
4.00%, 04/01/29

      30,000        32,805  

4.90%, 03/15/45#

     10,000        11,433  
     

 

 

  

TOTAL OIL & GAS

       $ 168,933  

PHARMACEUTICALS – 0.3%

 

AbbVie, Inc., Sr. Unsecured
4.25%, 11/14/28

      25,000        28,656  

4.40%, 11/06/42

      20,000        23,262  

Bristol-Myers Squibb Co., Sr. Unsecured,
2.75%, 02/15/23

      25,000        26,006  

Zoetis, Inc., Sr. Unsecured,
3.95%, 09/12/47

      20,000        22,430  
     

 

 

  

TOTAL PHARMACEUTICALS

       $ 100,354  

PIPELINES – 0.7%

 

Energy Transfer LP, Sr. Unsecured
3.60%, 02/01/23

      35,000        36,427  

4.20%, 04/15/27

      40,000        43,778  

3.75%, 05/15/30

      15,000        15,629  

Kinder Morgan, Inc., Company Guaranteed
5.20%, 03/01/48

      40,000        47,633  

3.60%, 02/15/51

      20,000        19,260  

MPLX LP, Sr. Unsecured,
4.00%, 03/15/28

      30,000        33,180  

ONEOK Partners LP, Company Guaranteed,
6.20%, 09/15/43

      45,000        55,870  
  Description        
    Par Value		                      Value    

Spectra Energy Partners LP, Company Guaranteed,
4.50%, 03/15/45

    $ 25,000      $ 28,029  
     

 

 

  

TOTAL PIPELINES

       $ 279,806  

REAL ESTATE INVESTMENT TRUSTS – 0.4%

 

American Tower Corp., Sr. Unsecured,
5.00%, 02/15/24

      15,000        16,687  

AvalonBay Communities, Inc., Sr. Unsecured, MTN,
3.35%, 05/15/27

      25,000        27,306  

Healthcare Realty Trust, Inc., Sr. Unsecured,
3.88%, 05/01/25

      15,000        16,321  

Healthpeak Properties, Inc., Sr. Unsecured,
2.88%, 01/15/31#

     50,000        51,283  

Welltower, Inc., Sr. Unsecured, 3.63%,
03/15/24

      55,000        59,371  
     

 

 

  

TOTAL REAL ESTATE INVESTMENT TRUSTS

 

    $ 170,968  

RETAIL – 0.0%**

 

McDonald’s Corp., Sr. Unsecured, MTN,
1.45%, 09/01/25

      15,000        15,251  

TELECOMMUNICATIONS – 0.3%

 

AT&T, Inc., Sr. Unsecured
4.50%, 05/15/35

      15,000        17,039  

3.55%, 09/15/55W

      29,000        26,799  

Verizon Communications, Inc., Sr. Unsecured
1.75%, 01/20/31

      35,000        32,944  

3.40%, 03/22/41

      25,000        25,440  
     

 

 

  

TOTAL TELECOMMUNICATIONS

       $ 102,222  

TRANSPORTATION – 0.3%

 

FedEx Corp., Company Guaranteed
3.88%, 08/01/42

      30,000        32,008  

4.10%, 02/01/45

      15,000        16,326  

Ryder System, Inc., Sr. Unsecured, MTN,
2.50%, 09/01/22

      10,000        10,263  

Union Pacific Corp., Sr. Unsecured,
3.15%, 03/01/24

      45,000        48,081  
     

 

 

  

TOTAL TRANSPORTATION

       $ 106,678  

TRUCKING & LEASING – 0.1%

 

GATX Corp., Sr. Unsecured,
5.20%, 03/15/44

      20,000        25,142  
     

 

 

  

TOTAL CORPORATE BONDS
(COST $3,448,948)

 

 

    $

 

 3,704,670

 

  

 

         Number of
Shares		         

COMMON STOCKS – 40.8%

 

COMMUNICATION SERVICES – 2.5%

 

DIVERSIFIED TELECOMMUNICATION SERVICES – 1.7%

 

AT&T, Inc.

      12,570        394,824  

Verizon Communications, Inc.

      4,390        253,698  
     

 

 

  
      $ 648,522  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (continued)

   42

 

  Description        Number of
Shares		                      Value    

MEDIA – 0.8%

 

Omnicom Group, Inc.

      3,780      $ 310,943  
     

 

 

  

TOTAL COMMUNICATION SERVICES

       $ 959,465  

CONSUMER DISCRETIONARY – 2.8%

 

HOTELS, RESTAURANTS & LEISURE – 1.2%

 

McDonald’s Corp.

      800        188,864  

Restaurant Brands International, Inc.

      3,820        262,090  
     

 

 

  
      $ 450,954  

MULTILINE RETAIL – 0.8%

 

Target Corp.

      1,510        312,963  

SPECIALTY RETAIL – 0.8%

 

Home Depot, Inc. (The)

      920        297,776  
     

 

 

  

TOTAL CONSUMER DISCRETIONARY

       $ 1,061,693  

CONSUMER STAPLES – 2.6%

 

BEVERAGES – 0.7%

 

PepsiCo., Inc.

      1,855        267,417  

HOUSEHOLD PRODUCTS – 1.0%

 

Procter & Gamble Co. (The)

      2,900        386,918  

TOBACCO – 0.9%

 

Philip Morris International, Inc.

      3,375        320,625  
     

 

 

  

TOTAL CONSUMER STAPLES

       $ 974,960  

ENERGY – 2.8%

 

OIL, GAS & CONSUMABLE FUELS – 2.8%

 

Chevron Corp.

      3,315        341,677  

ConocoPhillips

      6,020        307,863  

Exxon Mobil Corp.

      3,410        195,188  

Valero Energy Corp.

      2,650        195,994  
     

 

 

  

TOTAL ENERGY

       $ 1,040,722  

FINANCIALS – 9.4%

 

BANKS – 2.1%

 

KeyCorp.

      10,290        223,910  

Toronto-Dominion Bank (The)

      4,625        317,969  

United Bankshares, Inc.

      6,535        256,630  
     

 

 

  
      $ 798,509  

CAPITAL MARKETS – 1.9%

 

BlackRock, Inc.

      472        386,710  

Main Street Capital Corp.

      60        2,555  

Morgan Stanley

      4,245        350,425  
     

 

 

  
      $ 739,690  

DIVERSIFIED FINANCIAL SERVICES – 3.6%

 

Citigroup, Inc.

      4,395        313,100  

JPMorgan Chase & Co.

      4,350        669,073  

U.S. Bancorp

      6,670        395,865  
     

 

 

  
      $ 1,378,038  

INSURANCE – 1.8%

 

MetLife, Inc.

      5,755        366,190  
  Description        Number of
Shares		                      Value    

Old Republic International Corp.

      12,145      $ 299,010  
     

 

 

  
      $ 665,200  
     

 

 

  

TOTAL FINANCIALS

       $     3,581,437  

HEALTH CARE – 4.9%

 

BIOTECHNOLOGY – 0.5%

 

Amgen, Inc.

      760        182,126  

HEALTH CARE PROVIDERS & SERVICES – 0.9%

 

CVS Health Corp.

      4,400        336,160  

PHARMACEUTICALS – 3.5%

 

Bristol-Myers Squibb Co.

      4,255        265,597  

Johnson & Johnson

      2,815        458,085  

Merck & Co., Inc.

      3,300        245,850  

Pfizer, Inc.

      9,315        360,025  
     

 

 

  
      $ 1,329,557  
     

 

 

  

TOTAL HEALTH CARE

       $ 1,847,843  

INDUSTRIALS – 5.6%

 

AEROSPACE & DEFENSE – 1.0%

 

Lockheed Martin Corp.

      1,010        384,366  

AIR FREIGHT & LOGISTICS – 1.4%

 

United Parcel Service, Inc.

      2,530        515,766  

BUILDING PRODUCTS – 0.9%

 

Johnson Controls International PLC

      5,820        362,819  

ELECTRICAL EQUIPMENT – 1.6%

 

Emerson Electric Co.

      4,125        373,271  

nVent Electric PLC

      7,710        234,770  
     

 

 

  
      $ 608,041  

MACHINERY – 0.7%

 

Caterpillar, Inc.

      1,150        262,326  
     

 

 

  

TOTAL INDUSTRIALS

       $ 2,133,318  

INFORMATION TECHNOLOGY – 4.4%

 

COMMUNICATIONS EQUIPMENT – 1.2%

 

Cisco Systems, Inc.

      8,760        445,971  

IT SERVICES – 0.6%

 

International Business Machines Corp.

      1,710        242,615  

SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – 2.6%

 

Broadcom, Inc.

      1,025        467,605  

QUALCOMM, Inc.

      3,720        516,336  
     

 

 

  
      $ 983,941  
     

 

 

  

TOTAL INFORMATION TECHNOLOGY

       $ 1,672,527  

MATERIALS – 2.0%

 

CHEMICALS – 2.0%

 

Dow, Inc.

      6,710        419,375  

Nutrien Ltd.

      6,240        344,386  
     

 

 

  

TOTAL MATERIALS

       $ 763,761  

REAL ESTATE – 1.3%

 

REAL ESTATE INVESTMENT TRUSTS – 1.3%

 

AvalonBay Communities, Inc.

      1,610        309,120  
 

 

ANNUAL REPORT / April 30, 2021

43  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (continued)

 

  Description        Number of
Shares		                      Value    

Crown Castle International Corp.

      1,050      $ 198,513  
     

 

 

  

TOTAL REAL ESTATE

       $ 507,633  

UTILITIES – 2.5%

 

ELECTRIC UTILITIES – 2.5%

 

American Electric Power Co., Inc.

      2,800        248,388  

Duke Energy Corp.

      2,130        214,469  

FirstEnergy Corp.

      6,325        239,844  

NextEra Energy, Inc.

      3,325        257,721  
     

 

 

  

TOTAL UTILITIES

       $ 960,422  
     

 

 

  
TOTAL COMMON STOCKS
(COST $11,242,871)

 

    $     15,503,781  
  
     Par Value         

ENHANCED EQUIPMENT TRUST CERTIFICATE – 0.1%

 

AIRLINES – 0.1%

 

Delta Air Lines, Series 2007-1, Class A, Pass-Through Certificates, 6.82%, 08/10/22

    $ 26,957        28,188  
     

 

 

  
TOTAL ENHANCED EQUIPMENT TRUST CERTIFICATE
(COST $26,433)

 

    $ 28,188  

  GOVERNMENT AGENCIES – 0.8%

 

FEDERAL HOME LOAN BANK (FHLB) – 0.1%

 

3.25%, 11/16/28

      35,000        39,659  

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) – 0.7%

 

0.36%, 05/15/24

      270,000        269,586  
     

 

 

  
TOTAL GOVERNMENT AGENCIES
(COST $304,656)

 

    $ 309,245  

  MORTGAGE-BACKED SECURITIES – 5.1%

 

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) – 2.2%

 

Pool C00478, 8.50%, 09/01/26

      613        703  

Pool A15865, 5.50%, 11/01/33

      16,633        18,931  

Pool A19412, 5.00%, 03/01/34

      38,462        43,718  

Pool G05774, 5.00%, 01/01/40

      96,277        109,192  

Pool C03517, 4.50%, 09/01/40

      10,737        11,929  

Pool C03849, 3.50%, 04/01/42

      21,324        23,214  

Pool C04305, 3.00%, 11/01/42

      93,484        100,385  

Pool C09020, 3.50%, 11/01/42

      70,736        76,812  

Pool G07889, 3.50%, 08/01/43

      16,417        17,839  

Pool Q23891, 4.00%, 12/01/43

      12,367        13,439  

Pool G60038, 3.50%, 01/01/44

      55,693        60,496  

Pool ZS4693, 3.00%, 12/01/46

      61,763        65,382  

Pool SD8000, 3.00%, 07/01/49

      24,890        26,085  

Pool SD8012, 4.00%, 09/01/49

      1,307        1,408  

Pool SD8037, 2.50%, 01/01/50

      91,509        94,951  

Pool RA2480, 2.50%, 07/01/50

      11,617        12,086  

Pool SD8104, 1.50%, 11/01/50

      45,669        44,792  

Pool RA4349, 2.50%, 01/01/51

      46,313        48,323  

Pool SD8141, 2.50%, 04/01/51

      56,807        59,041  
     

 

 

  

TOTAL FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC)

 

    $ 828,726  

FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) – 2.9%

 

Pool AB4089, 3.00%, 12/01/26

      9,900        10,430  

Pool 533246, 7.50%, 04/01/30

      1,726        1,760  
  Description    Par Value      Value  

Pool AJ4050, 4.00%, 10/01/41

    $ 33,367      $ 36,663  

Pool AX5302, 4.00%, 01/01/42

      11,752        12,953  

Pool AT7899, 3.50%, 07/01/43

      30,946        33,245  

Pool AS0302, 3.00%, 08/01/43

      34,910        37,231  

Pool AL6325, 3.00%, 10/01/44

      32,686        34,864  

Pool BC0830, 3.00%, 04/01/46

      32,216        34,113  

Pool BC9468, 3.00%, 06/01/46

      12,201        12,910  

Pool BE1899, 3.00%, 11/01/46

      52,541        55,636  

Pool BD7166, 4.50%, 04/01/47

      31,920        35,337  

Pool BE3625, 3.50%, 05/01/47

      45,448        48,564  

Pool BE3702, 4.00%, 06/01/47

      66,233        71,557  

Pool BE3767, 3.50%, 07/01/47

      5,418        5,794  

Pool BH9215, 3.50%, 01/01/48

      14,658        15,676  

Pool BJ0650, 3.50%, 03/01/48

      87,130        93,169  

Pool BJ9169, 4.00%, 05/01/48

      32,611        35,092  

Pool BK4764, 4.00%, 08/01/48

      24,966        26,866  

Pool MA3444, 4.50%, 08/01/48

      18,285        19,895  

Pool BN1628, 4.50%, 11/01/48

      8,974        9,781  

Pool BN3956, 4.00%, 01/01/49

      12,428        13,374  

Pool MA3871, 3.00%, 12/01/49

      34,001        35,633  

Pool CA5353, 3.50%, 03/01/50

      96,547        102,636  

Pool FM4994, 2.00%, 12/01/50

      70,853        71,826  

Pool MA4208, 2.00%, 12/01/50

      46,863        47,390  

Pool BQ4495, 2.00%, 02/01/51

      97,423        98,509  

Pool FM7188, 2.50%, 05/01/51

      93,000        98,087  
     

 

 

  

TOTAL FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA)

 

    $ 1,098,991  

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA) – 0.0%**

 

Pool 354677, 7.50%, 10/15/23

      2,886        2,889  

Pool 354765, 7.00%, 02/15/24

      5,043        5,525  

Pool 354827, 7.00%, 05/15/24

      3,333        3,656  
     

 

 

  

TOTAL GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA)

 

    $ 12,070  
     

 

 

  
TOTAL MORTGAGE-BACKED SECURITIES
(COST $1,886,006)

 

    $     1,939,787  

U.S. TREASURY OBLIGATIONS – 6.8%

 

U.S. TREASURY BONDS – 1.8%

 

4.75%, 02/15/37

      21,000        29,078  

4.38%, 05/15/40

      120,000        163,587  

3.63%, 02/15/44

      87,000        109,152  

3.38%, 05/15/44

      139,000        168,026  

3.13%, 08/15/44

      11,000        12,786  

3.00%, 11/15/44

      53,000        60,381  

3.00%, 11/15/45#

      8,000        9,132  

3.00%, 02/15/47

      21,000        24,016  

3.00%, 05/15/47

      30,000        34,327  

2.00%, 02/15/50

      50,000        46,952  
     

 

 

  

TOTAL U.S. TREASURY BONDS

       $ 657,437  

U.S. TREASURY NOTES – 5.0%

 

1.63%, 11/15/22

      46,000        47,053  

1.75%, 05/15/23

      405,000        417,951  

2.00%, 04/30/24

      170,000        178,420  

1.75%, 07/31/24

      30,000        31,313  

2.25%, 11/15/24

      80,000        84,990  

2.00%, 02/15/25

      115,000        121,347  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (continued)

  44

 

  Description        
    Par Value		                      Value    

2.13%, 05/15/25

    $ 140,000      $ 148,505  

2.00%, 08/15/25

      35,000        36,984  

2.25%, 11/15/25

      5,000        5,340  

1.63%, 05/15/26

      195,000        202,372  

1.50%, 08/15/26

      90,000        92,658  

2.25%, 08/15/27

      460,000        490,619  

2.38%, 05/15/29

      50,000        53,541  
     

 

 

  

TOTAL U.S. TREASURY NOTES

       $ 1,911,093  
     

 

 

  
TOTAL U.S. TREASURY OBLIGATIONS
(COST $2,392,392)

 

    $     2,568,530  
  
         Number of
Shares		         

INVESTMENT COMPANIES – 34.4%

 

EXCHANGE-TRADED FUNDS – 31.1%

 

iShares iBoxx High Yield Corporate Bond ETF#

     21,300        1,862,472  

iShares International Select Dividend ETF#

      227,000        7,357,070  

SPDR Dow Jones International Real Estate ETF#

     42,625        1,537,910  

Vanguard REIT ETF

      10,700        1,060,156  
     

 

 

  

TOTAL EXCHANGE-TRADED FUNDS

       $ 11,817,608  

INFLATION-PROTECTED SECURITIES FUND – 3.3%

 

Vanguard Inflation-Protected Securities Fund, Admiral Shares

      44,963        1,270,200  
     

 

 

  
TOTAL INVESTMENT COMPANIES
(COST $13,000,125)

 

    $ 13,087,808  
MONEY MARKET FUND – 2.0%

 

Dreyfus Government Cash Management Fund, Institutional Shares, 0.03%^

      756,230        756,230  
     

 

 

  
TOTAL MONEY MARKET FUND
(COST $756,230)

 

    $ 756,230  
     
         
Par Value		         

CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN – 12.4%

 

REPURCHASE AGREEMENTS – 12.4%

 

Bank of America Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $874,135 collateralized by U.S. Government Agency Securities, 1.00% to 5.50%, maturing 11/01/28 to 5/01/51; total market value of $891,617.

    $ 874,134        874,134  
  Description        
    Par Value		                      Value    

BNP Paribas SA, 0.00%, dated 4/30/21, due 5/03/21, repurchase price $874,134 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.13%, maturing 5/15/21 to 2/01/56; total market value of $891,617.

    $ 874,134      $ 874,134  

Citigroup Global Markets Ltd., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $874,135 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 6.00%, maturing 5/15/21 to 4/20/51; total market value of $891,617.

      874,134        874,134  

Daiwa Capital Markets America, 0.01%, dated 4/30/21, due 5/03/21, repurchase price $874,135 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.00%, maturing 6/30/21 to 5/01/51; total market value of $891,617.

      874,134        874,134  

Deutsche Bank Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $347,985 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 4.00%, maturing 6/22/21 to 4/01/51; total market value of $354,945.

      347,985        347,985  

RBC Dominion Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $874,135 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 6.50%, maturing 6/01/21 to 12/15/60; total market value of $891,617.

      874,134        874,134  
     

 

 

  

TOTAL REPURCHASE AGREEMENTS
(COST $4,718,655)

 

    $ 4,718,655  
     

 

 

  
TOTAL CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN
(COST $4,718,655)

 

    $ 4,718,655  
     

 

 

  
TOTAL INVESTMENTS – 112.3%
(COST $37,872,077)

 

    $ 42,705,470  
COLLATERAL FOR SECURITIES ON LOAN – (12.4%)

 

      (4,718,655 ) 
OTHER ASSETS LESS LIABILITIES – 0.1%

 

      30,657  
     

 

 

  
TOTAL NET ASSETS – 100.0%

 

    $ 38,017,472  
     

 

 

  
 

 

ANNUAL REPORT / April 30, 2021

45  

PORTFOLIOS OF INVESTMENTS

 

Wilmington Diversified Income Fund (concluded)

 

Various inputs are used in determining the value of the 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)

The following is a summary of the inputs used as of April 30, 2021 in valuing the Fund’s assets carried at fair value:

 

     Level 1      Level 2      Level 3      Total  

  Investments in Securities

            

  Collateralized Mortgage Obligations

    $ —      $ 88,576      $ —      $ 88,576  

  Corporate Bonds

      —        3,704,670        —        3,704,670  

  Common Stocks

      15,503,781        —        —        15,503,781  

  Enhanced Equipment Trust Certificate

      —        28,188        —        28,188  

  Government Agencies

      —        309,245        —        309,245  

  Mortgage-Backed Securities

      —        1,939,787        —        1,939,787  

  U.S. Treasury Obligations

      —        2,568,530        —        2,568,530  

  Investment Companies

      13,087,808        —        —        13,087,808  

  Money Market Fund

      756,230        —        —        756,230  

  Repurchase Agreements

      —        4,718,655        —        4,718,655  
  

 

 

     

 

 

     

 

 

     

 

 

  

  Total

    $ 29,347,819      $ 13,357,651      $ —      $ 42,705,470  
  

 

 

     

 

 

     

 

 

     

 

 

  

 

 

 

**

Represents less than 0.05%.

D

Variable rate security. The rate disclosed is the rate in effect on the report date. The information in parenthesis represents the benchmark and reference rate for each relevant security and the rate floats based upon the reference rate and spread. The security may be further subject to interest rate floor and caps. Certain variable rate securities are not based on a published reference rate and spread, but are determined by the issuer or agent and are based on current market conditions, or, for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their descriptions.

W

Denotes a restricted security that may be resold without restriction to “qualified institutional buyers” as defined in Rule 144A under the Securities Act of 1933 and that the Fund has determined to be liquid under criteria established by the Fund’s Board of Trustees. At April 30, 2021, these liquid restricted securities amounted to $168,012 representing 0.44% of total net assets.

#

Security, or a portion thereof, is on loan. See Note 2 in Notes to Financial Statements.

^

7-Day net yield.

The following acronyms are used throughout this Fund:

 

ETF

Exchange-Traded Fund

GMTN

Global Medium Term Note

LIBOR

London Interbank Offered Rate

LLC

Limited Liability Corporation

LP

Limited Partnership

MTN

Medium Term Note

PLC

Public Limited Company

REIT

Real Estate Investment Trust

SOFR

Secured Overnight Financing Rate

SPDR

Standard & Poor’s Depositary Receipt

USD

United States Dollar

See Notes which are an integral part of the Financial Statements

 

 

 

April 30, 2021 / ANNUAL REPORT

STATEMENTS OF ASSETS AND LIABILITIES   46

 

   
                                Wilmington        
                   Wilmington            Global Alpha        
                   International            Equities        
 April 30, 2021                  Fund            Fund        

ASSETS:

                

Investments, at identified cost

          $ 537,912,938        $ 148,786,062    
        

 

 

       

 

 

    

Investments in securities, at value

          $ 735,584,848 (a)       $ 198,024,416    

Cash

            134,911          754    

Deposits for financial futures contracts

            1,325,509          6,451,972    

Cash denominated in foreign currencies

            3,450,171 (b)         184,969 (b)   

Variation margin receivable for financial futures contracts

            —          1,062,184    

Income receivable

            1,949,408          351,833    

Foreign tax reclaim receivable

            1,403,855          262,354    

Due from broker

            114,624          —    

Receivable for shares sold

            826,961          271,296    

Unrealized appreciation on forward foreign currency contracts

            —          24,948    

Receivable for investments sold

            1,174,476          993,594    

Prepaid and other assets

            27,265          31,812    
        

 

 

       

 

 

    

TOTAL ASSETS

                     745,992,028          207,660,132    

 

         

 

 

       

 

 

    

LIABILITIES:

                

Deferred foreign capital gains tax payable

            23,588          2,390    

Payable for investments purchased

            2,316,272          538,697    

Collateral for securities on loan

            25,326,302          —    

Unrealized depreciation on forward foreign currency contracts

            —          229,936    

Payable for shares redeemed

            123,572          12,612    

Payable to sub-advisors

            221,198          92,570    

Payable for Trustees’ fees

            9,263          9,262    

Payable for administration fees

            17,648          5,064    

Payable for distribution services fees

            828          66    

Payable for investment advisory fees

            182,399          60,363    

Other accrued expenses

            293,200          153,428    
        

 

 

       

 

 

    

TOTAL LIABILITIES

            28,514,270          1,104,388    

 

         

 

 

       

 

 

    

NET ASSETS

          $ 717,477,758        $ 206,555,744    

 

         

 

 

       

 

 

    

NET ASSETS CONSIST OF:

                

Paid-in capital

          $ 528,702,053        $ 189,532,904    

Distributable earnings (loss)

            188,775,705          17,022,840    
        

 

 

       

 

 

    

TOTAL NET ASSETS

          $ 717,477,758        $ 206,555,744    

 

         

 

 

       

 

 

    

COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE:

                

Class A

                

Net Assets

          $ 4,014,499        $ 324,345    
        

 

 

       

 

 

    

Shares outstanding (unlimited shares authorized)

            383,442          27,105    
        

 

 

       

 

 

    

Net Asset Value per share

          $ 10.47        $ 11.97    
        

 

 

       

 

 

    

Offering Price per share*

          $ 11.08 **       $ 12.67 **   
        

 

 

       

 

 

    

Class I

                

Net Assets

          $ 713,463,259        $ 206,231,399    
        

 

 

       

 

 

    

Shares outstanding (unlimited shares authorized)

            67,543,095          16,981,184    
        

 

 

       

 

 

    

Net Asset Value and Offering Price per share

          $ 10.56        $ 12.14    
        

 

 

       

 

 

    

 

(a) 

Including $23,456,143 of securities on loan (Note 2).

(b) 

Cost of cash denominated in foreign currencies was $3,397,370 and $184,128, respectively .

*

See “How are Shares Priced?” in the Prospectus.

**

Computation of offering price per share: 100/94.50 of net asset value.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

47   STATEMENTS OF ASSETS AND LIABILITIES (concluded)

 

   
                                Wilmington        
                   Wilmington            Diversified        
                   Real Asset            Income        
 April 30, 2021                  Fund            Fund        

ASSETS:

                

Investments, at identified cost

          $ 415,805,126        $ 37,872,076    
        

 

 

       

 

 

    

Investments in securities, at value (including repurchase agreements of $3,518,508 and $4,718,655, respectively)

          $ 470,303,359 (a)       $ 42,705,470 (a)   

Cash denominated in foreign currencies

            66,098 (b)          —    

Income receivable

            276,327          81,829    

Foreign tax reclaim receivable

            165,573          137    

Due from advisor

            —          11,298    

Receivable for shares sold

            735,925          5,786    

Receivable for investments sold

            19,215          —    

Prepaid and other assets

            54,040          15,305    
        

 

 

       

 

 

    

TOTAL ASSETS

                     471,620,537          42,819,825    

 

         

 

 

       

 

 

    

LIABILITIES:

                

Collateral for securities on loan

            6,965,508          4,718,655    

Payable for shares redeemed

            14,988          85    

Payable to sub-advisors

            14,604          —    

Payable for Trustees’ fees

            8,755          9,264    

Payable for administration fees

            10,942          936    

Payable for distribution services fees

            197          7,651    

Payable for investment advisory fees

            213,999          —    

Other accrued expenses

            193,578          65,762    
        

 

 

       

 

 

    

TOTAL LIABILITIES

            7,422,571          4,802,353    

 

         

 

 

       

 

 

    

NET ASSETS

          $ 464,197,966        $ 38,017,472    

 

         

 

 

       

 

 

    

NET ASSETS CONSIST OF:

                

Paid-in capital

          $ 443,591,472        $ 33,687,582    

Distributable earnings (loss)

            20,606,494          4,329,890    
        

 

 

       

 

 

    

TOTAL NET ASSETS

          $ 464,197,966        $ 38,017,472    

 

         

 

 

       

 

 

    

COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE:

                

Class A

                

Net Assets

          $ 994,637        $ 37,388,042    
        

 

 

       

 

 

    

Shares outstanding (unlimited shares authorized)

            63,833          3,238,419    
        

 

 

       

 

 

    

Net Asset Value per share

          $ 15.58        $ 11.55    
        

 

 

       

 

 

    

Offering Price per share*

          $ 16.49 **       $ 12.22 **   
        

 

 

       

 

 

    

Class I

                

Net Assets

          $ 463,203,329        $ 629,430    
        

 

 

       

 

 

    

Shares outstanding (unlimited shares authorized)

            29,364,925          54,449    
        

 

 

       

 

 

    

Net Asset Value and Offering Price per share

          $ 15.77        $ 11.56    
        

 

 

       

 

 

    

 

(a) 

Including $6,780,909 and $4,591,658, respectively, of securities on loan (Note 2).

(b) 

Cost of cash denominated in foreign currencies was $65,468.

*

See “How are Shares Priced?” in the Prospectus.

**

Computation of offering price per share: 100/94.50 of net asset value.

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

STATEMENTS OF OPERATIONS   48

 

 Year Ended April 30, 2021          

 Wilmington
International
Fund		  
 
 		       


 Wilmington
Global Alpha
Equities

Fund

  
 
 

 

INVESTMENT INCOME:

               

Dividends

         $ 13,311,864 (a)       $ 3,641,056 (a) 

Interest

           77,421          5,752  

Securities lending income, net

           156,056          —  
       

 

 

       

 

 

  

TOTAL INVESTMENT INCOME

           13,545,341          3,646,808  
       

 

 

       

 

 

  
                          

EXPENSES:

               

Investment advisory fees

           5,098,190          3,259,427  

Administration fees

           188,533          65,665  

Portfolio accounting and administration fees

           189,991          79,400  

Custodian fees

           182,680          121,467  

Transfer and dividend disbursing agent fees and expenses

           107,788          82,661  

Trustees’ fees

           56,884          56,884  

Professional fees

           178,817          162,280  

Distribution services fee—Class A

           9,011          751  

Shareholder services fee—Class A

           9,011          751  

Shareholder services fee—Class I

           1,121,924          413,190  

Share registration costs

           32,085          32,761  

Printing and postage

           21,352          13,201  

Miscellaneous

           59,102          32,078  
       

 

 

       

 

 

  

TOTAL EXPENSES

           7,255,368          4,320,516  
       

 

 

       

 

 

  
                          

WAIVERS AND REIMBURSEMENTS:

               

Waiver/reimbursement by investment advisor

           (1,045,342 )         (1,211,350 ) 

Waiver of shareholder services fee—Class A

           (9,011 )         (751 ) 

Waiver of shareholder services fee—Class I

           (896,909 )         (413,190 ) 
       

 

 

       

 

 

  

TOTAL WAIVERS AND REIMBURSEMENTS

           (1,951,262 )         (1,625,291 ) 
       

 

 

       

 

 

  
                          

Net expenses

           5,304,106          2,695,225  
       

 

 

       

 

 

  

Net investment income

           8,241,235          951,583  
       

 

 

       

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS):

               

Net realized gain (loss) on investments

           25,067,753 (b)          20,237,964 (b) 

Net realized gain (loss) on forward foreign currency contracts

           (152,695 )         (889,512 ) 

Net realized gain (loss) on foreign currency transactions

           (566,634 )         53,790  

Net realized gain (loss) on financial futures contracts

           4,267,511          (52,761,632 ) 
       

 

 

       

 

 

  

Net realized gain (loss)

           28,615,935          (33,359,390 ) 
       

 

 

       

 

 

  

Net change in unrealized appreciation (depreciation) on investments

           189,047,404          46,867,101  

Net change in unrealized appreciation (depreciation) on forward foreign currency contracts

           601          (459,928 ) 

Net change in unrealized appreciation (depreciation) on foreign currency transactions

           175,372          18,743  

Net change in unrealized appreciation (depreciation) on financial futures contracts

           (948,553 )         11,047,084  
       

 

 

       

 

 

  

Net change in unrealized appreciation (depreciation)

           188,274,824          57,473,000  
       

 

 

       

 

 

  

Net realized and unrealized gain (loss)

           216,890,759          24,113,610  
       

 

 

       

 

 

  

Change in net assets resulting from operations

         $ 225,131,994        $ 25,065,193  
       

 

 

       

 

 

  

 

(a) 

Net of foreign withholding taxes of $1,225,394 and $296,330, respectively.

(b) 

Net of change in deferred foreign capital gains tax payable of $23,588 and $2,390, respectively.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

49  

STATEMENTS OF OPERATIONS (concluded)

 

  Year Ended April 30, 2021          

 Wilmington
Real Asset
Fund		  
 
 		       


 Wilmington
Diversified
Income

Fund

  
 
 

 

INVESTMENT INCOME:

               

Dividends

         $ 5,045,576 (a)       $ 951,966 (a)  

Interest

           —          227,494  

Securities lending income, net

           68,041          23,589  
       

 

 

       

 

 

  

TOTAL INVESTMENT INCOME

           5,113,617          1,203,049  
       

 

 

       

 

 

  
                          

EXPENSES:

               

Investment advisory fees

           1,372,694          140,968  

Administration fees

           81,696          10,650  

Portfolio accounting and administration fees

           118,447          21,934  

Custodian fees

           76,814          2,744  

Transfer and dividend disbursing agent fees and expenses

           82,809          39,665  

Trustees’ fees

           56,884          56,884  

Professional fees

           175,176          97,179  

Distribution services fee—Class A

           2,362          86,699  

Shareholder services fee—Class A

           2,362          86,699  

Shareholder services fee—Class I

           430,535          1,035  

Share registration costs

           34,723          23,459  

Printing and postage

           39,302          7,886  

Miscellaneous

           36,562          19,633  
       

 

 

       

 

 

  

TOTAL EXPENSES

           2,510,366          595,435  
       

 

 

       

 

 

  
                          

WAIVERS AND REIMBURSEMENTS:

               

Waiver/reimbursement by investment advisor

           (154,393 )         (297,655 ) 

Waiver of shareholder services fee—Class A

           (2,362 )         (86,699 ) 

Waiver of shareholder services fee—Class I

           (430,535 )         (1,035 ) 
       

 

 

       

 

 

  

TOTAL WAIVERS AND REIMBURSEMENTS

           (587,290 )         (385,389 ) 
       

 

 

       

 

 

  
                          

Net expenses

           1,923,076          210,046  
       

 

 

       

 

 

  

Net investment income

           3,190,541          993,003  
       

 

 

       

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS):

               

Net realized gain (loss) on investments

           (8,277,960 )         367,883  

Net realized gain (loss) on forward foreign currency contracts

           (385 )         —  

Net realized gain (loss) on foreign currency transactions

           16,879          —  
       

 

 

       

 

 

  

Net realized gain (loss)

           (8,261,466 )         367,883  
       

 

 

       

 

 

  

Net change in unrealized appreciation (depreciation) on investments

           79,210,677          6,475,486  

Net change in unrealized appreciation (depreciation) on foreign currency transactions

           8,332          —  
       

 

 

       

 

 

  

Net change in unrealized appreciation (depreciation)

           79,219,009          6,475,486  
       

 

 

       

 

 

  

Net realized and unrealized gain (loss)

           70,957,543          6,843,369  
       

 

 

       

 

 

  

Change in net assets resulting from operations

         $ 74,148,084        $ 7,836,372  
       

 

 

       

 

 

  

 

(a) 

Net of foreign withholding taxes of $138,969 and $5,362, respectively.

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

STATEMENTS OF CHANGES IN NET ASSETS   50

 

     Wilmington   Wilmington
     International
                             Fund                                 		   Global Alpha
                     Equities Fund                    
     
             Year Ended                   Year Ended                    Year Ended                   Year Ended        
     April 30,   April 30,   April 30,   April 30,
     2021   2020   2021   2020

OPERATIONS:

                   

Net investment income

      $ 8,241,235     $ 8,760,578     $ 951,583     $ 1,588,127

Net realized gain (loss)

        28,615,935       (27,424,995 )       (33,359,390 )       13,823,568

Net change in unrealized appreciation (depreciation)

        188,274,824       (44,981,027 )       57,473,000       (22,691,724 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets resulting from operations

        225,131,994       (63,645,444 )       25,065,193       (7,280,029 )
    

 

 

      

 

 

      

 

 

      

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS:

                   

Class A

        (53,943 )       (58,590 )       (5,953 )       (1,405 )

Class I

        (10,011,086 )       (9,522,428 )       (4,303,804 )       (2,321,797 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Total distributions to shareholders

        (10,065,029 )       (9,581,018 )       (4,309,757 )       (2,323,202 )
    

 

 

      

 

 

      

 

 

      

 

 

  

SHARE TRANSACTIONS:

                   

Proceeds from sale of shares

                   

Class A

        67,944       13,474       101,389       140,958

Class I

        90,361,155       141,661,987       60,797,169       100,727,971

Distributions reinvested

                   

Class A

        46,666       50,869       5,059       1,373

Class I

        2,180,439       2,358,908       3,105,237       941,789

Cost of shares redeemed

                   

Class A

        (377,606 )       (1,346,018 )       (19,709 )       (53,284 )

Class I

        (106,543,959 )       (128,456,761 )       (90,307,965 )       (48,360,296 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets resulting from share transactions

        (14,265,361 )       14,282,459       (26,318,820 )       53,398,511
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets

        200,801,604       (58,944,003 )       (5,563,384 )       43,795,280

NET ASSETS:

                   

Beginning of year

        516,676,154       575,620,157       212,119,128       168,323,848
    

 

 

      

 

 

      

 

 

      

 

 

  

End of year

      $ 717,477,758     $ 516,676,154     $ 206,555,744     $ 212,119,128
    

 

 

      

 

 

      

 

 

      

 

 

  

SHARES OF BENEFICIAL INTEREST:

                   

Shares sold

                   

Class A

        6,920       1,663       9,228       12,575

Class I

        9,862,310       18,263,863       5,264,052       8,757,708

Distributions reinvested

                   

Class A

        5,369       6,089       438       117

Class I

        248,495       280,142       264,726       79,610

Shares redeemed

                   

Class A

        (41,741 )       (166,540 )       (1,713 )       (4,592 )

Class I

        (11,852,417 )       (15,738,820 )       (7,794,856 )       (4,342,370 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Net change resulting from share transactions

        (1,771,064 )       2,646,397       (2,258,125 )       4,503,048
    

 

 

      

 

 

      

 

 

      

 

 

  

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

51   STATEMENTS OF CHANGES IN NET ASSETS (concluded)

 

     Wilmington   Wilmington
     Real Asset
                             Fund                             		   Diversified Income
                           Fund                          
     
             Year Ended                   Year Ended                    Year Ended                   Year Ended        
     April 30,   April 30,   April 30,   April 30,
     2021   2020   2021   2020

OPERATIONS:

                   

Net investment income

      $ 3,190,541     $ 10,479,624     $ 993,003     $ 1,468,788

Net realized gain (loss)

        (8,261,466 )       818,770       367,883       (749,345 )

Net change in unrealized appreciation (depreciation)

        79,219,009       (46,892,572 )       6,475,486       (2,792,079 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets resulting from operations

        74,148,084       (35,594,178 )       7,836,372       (2,072,636 )
    

 

 

      

 

 

      

 

 

      

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS:

                   

Class A

        (17,371 )       (38,272 )       (1,056,510 )       (1,350,031 )

Class I

        (5,009,481 )       (11,252,467 )       (18,230 )       (24,433 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Total distributions to shareholders

        (5,026,852 )       (11,290,739 )       (1,074,740 )       (1,374,464 )
    

 

 

      

 

 

      

 

 

      

 

 

  

SHARE TRANSACTIONS:

                   

Proceeds from sale of shares

                   

Class A

        74,933       200,308       451,605       390,191

Class I

        229,046,473       63,422,482       21,568       129,029

Distributions reinvested

                   

Class A

        11,639       26,100       969,611       1,247,276

Class I

        2,115,796       5,458,098       14,082       11,930

Cost of shares redeemed

                   

Class A

        (240,445 )       (305,579 )       (3,393,587 )       (4,457,443 )

Class I

        (35,979,010 )       (132,696,076 )       (13,359 )       (248,138 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets resulting from share transactions

        195,029,386       (63,894,667 )       (1,950,080 )       (2,927,155 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Change in net assets

        264,150,618       (110,779,584 )       4,811,552       (6,374,255 )

NET ASSETS:

                   

Beginning of year

        200,047,348       310,826,932       33,205,920       39,580,175
    

 

 

      

 

 

      

 

 

      

 

 

  

End of year

      $ 464,197,966     $ 200,047,348     $ 38,017,472     $ 33,205,920
    

 

 

      

 

 

      

 

 

      

 

 

  

SHARES OF BENEFICIAL INTEREST:

                   

Shares sold

                   

Class A

        5,600       13,863       42,975       37,841

Class I

        15,928,941       4,840,601       2,244       13,122

Distributions reinvested

                   

Class A

        879       1,862       95,193       118,944

Class I

        154,311       387,546       1,378       1,152

Shares redeemed

                   

Class A

        (18,291 )       (21,519 )       (326,521 )       (426,388 )

Class I

        (2,687,031 )       (10,521,157 )       (1,265 )       (22,657 )
    

 

 

      

 

 

      

 

 

      

 

 

  

Net change resulting from share transactions

        13,384,409       (5,298,804 )       (185,996 )       (277,986 )
    

 

 

      

 

 

      

 

 

      

 

 

  

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

FINANCIAL HIGHLIGHTS   52

 

For a share outstanding throughout each year ended April 30, unless otherwise noted:

 

 

 

 WILMINGTON INTERNATIONAL FUND

 

 

    

Year Ended

  April 30, 2021  

 

Year Ended

  April 30, 2020  

 

Year Ended

  April 30, 2019  

 

Year Ended

  April 30, 2018  

 

Year Ended    

  April 30, 2017      

 CLASS A                     

Net Asset Value, Beginning of Year

        $  7.35       $  8.52       $  9.11       $  7.86       $  7.08

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.10       0.13       0.14       0.08       0.08

Net Realized and Unrealized Gain (Loss)

        3.16       (1.17 )       (0.51 )       1.26       0.79 (b)  

Total Income (Loss) From Operations

        3.26       (1.04 )       (0.37 )       1.34       0.87

Less Distributions From:

                     

Net Investment Income

        (0.14 )       (0.13 )       (0.14 )       (0.09 )       (0.09 )

Net Realized Gains

        —       —       (0.08 )       —       —

Total Distributions

        (0.14 )       (0.13 )       (0.22 )       (0.09 )       (0.09 )

Net Asset Value, End of Year

        $10.47       $  7.35       $ 8.52       $  9.11       $  7.86
                                                  

Total Return(c)

       44.67 %       (12.35 )%       (4.07 )%       17.18 %       12.52 %

Net Assets, End of Year (000’s)

        $4,015       $ 3,036       $4,871       $5,473       $4,913

Ratios to Average Net Assets

                     

Gross Expense(d)

       1.48 %       1.50 %       1.50 %       1.48 %       1.79 %

Net Expense(d),(e)

       1.06 %       0.98 %       1.00 %       1.04 %       1.22 %

Net Investment Income

        1.10 %       1.57 %       1.69 %       0.93 %       1.16 %

Portfolio Turnover Rate

        74 %       79 %       70 %       75 %       177 %
                    
     Year Ended
April 30, 2021		   Year Ended
April 30, 2020		   Year Ended
April 30, 2019		   Year Ended
April 30, 2018		   Year Ended
April 30, 2017
 CLASS I                     

Net Asset Value, Beginning of Year

      $ 7.41     $ 8.59     $ 9.18     $ 7.92     $ 7.13

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.12       0.13       0.17       0.09       0.09

Net Realized and Unrealized Gain (Loss)

        3.18       (1.17 )       (0.53 )       1.27       0.80 (b)  

Total Income (Loss) From Operations

        3.30       (1.04 )       (0.36 )       1.36       0.89

Less Distributions From:

                     

Net Investment Income

        (0.15 )       (0.14 )       (0.15 )       (0.10 )       (0.10 )

Net Realized Gains

        —       —       (0.08 )       —       —

Total Distributions

        (0.15 )       (0.14 )       (0.23 )       (0.10 )       (0.10 )

Net Asset Value, End of Year

      $ 10.56     $ 7.41     $ 8.59     $ 9.18     $ 7.92
                                                  

Total Return(c)

       44.92 %       (12.28 )%       (3.91 )%       17.29 %       12.69 %

Net Assets, End of Year (000’s)

      $ 713,463     $ 513,640     $ 570,749     $ 655,810     $ 438,974

Ratios to Average Net Assets

                     

Gross Expense(d)

       1.16 %       1.25 %       1.26 %       1.23 %       1.54 %

Net Expense(d),(e)

       0.85 %       0.85 %       0.87 %       0.91 %       1.09 %

Net Investment Income

        1.32 %       1.58 %       1.95 %       1.06 %       1.28 %

Portfolio Turnover Rate

        74 %       79 %       70 %       75 %       177 %

 

(a)

Per share amounts have been calculated using the average shares method.

 

(b)

Amount includes a non-recurring payment for Litigation proceeds which represents a class action settlement received by the Fund related to best execution of foreign exchange transactions. The litigation proceeds impacted the realized and unrealized gain (loss) per share by $0.01 and $0.01 for Class A and Class I, respectively.

 

(c)

Based on net asset value, which does not reflect the sales charge, if applicable. Total returns for periods of less than one year, if any, are not annualized.

 

(d)

The Fund invests in other underlying funds and indirectly bears its proportionate share of fees and expenses incurred by the underlying funds. This ratio does not include these indirect fees and expenses.

 

(e)

The investment advisor and other service providers waived or reimbursed a portion of their fees.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

53   FINANCIAL HIGHLIGHTS (continued)

 

For a share outstanding throughout each year ended April 30, unless otherwise noted:

 

 

 

 WILMINGTON GLOBAL ALPHA EQUITIES FUND

 

 

    

Year Ended

  April 30, 2021  

 

Year Ended

  April 30, 2020  

 

Year Ended

  April 30, 2019  

 

Year Ended

  April 30, 2018  

 

Year Ended    

  April 30, 2017      

 CLASS A                     

Net Asset Value, Beginning of Year

        $10.87       $11.28       $10.99       $10.54       $ 9.82

Income (Loss) From Operations:

                     

Net Investment Income (Loss)(a)

       0.02       0.07       0.09       0.05       (0.01 )

Net Realized and Unrealized Gain (Loss)

        1.31       (0.35 )       0.33       0.52       0.75

Total Income (Loss) From Operations

        1.33       (0.28 )       0.42       0.57       0.74

Less Distributions From:

                     

Net Investment Income

        (0.06 )       (0.13 )       (0.13 )       (0.12 )       (0.02 )

Net Realized Gains

        (0.17 )       —       —       —       —

Total Distributions

        (0.23 )       (0.13 )       (0.13 )       (0.12 )       (0.02 )

Net Asset Value, End of Year

        $11.97       $10.87       $11.28       $10.99       $10.54
                                                  

Total Return(b)

       12.27 %       (2.57 )%       3.87 %       5.41 %       7.59 %

Net Assets, End of Year (000’s)

        $   324       $   208       $   125       $   132       $   180

Ratios to Average Net Assets

                     

Gross Expense(c)

       2.30 %       2.29 %       2.36 %       2.46 %       3.06 %

Net Expense(c),(d)

       1.49 %       1.49 %       1.49 %       1.50 %       2.48 %(e)

Net Investment Income (Loss)

        0.19 %       0.63 %       0.78 %       0.42 %       (0.06 )%

Portfolio Turnover Rate

        58 %       84 %       61 %       58 %(f)       367 %
                    
     Year Ended
April 30, 2021		   Year Ended
April 30, 2020		   Year Ended
April 30, 2019		   Year Ended
April 30, 2018		   Year Ended
April 30, 2017
 CLASS I                     

Net Asset Value, Beginning of Year

      $ 11.01     $ 11.40     $ 11.08     $ 10.61     $ 9.86

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.05       0.09       0.11       0.11       0.03

Net Realized and Unrealized Gain (Loss)

        1.31       (0.34 )       0.34       0.49       0.75

Total Income (Loss) From Operations

        1.36       (0.25 )       0.45       0.60       0.78

Less Distributions From:

                     

Net Investment Income

        (0.06 )       (0.14 )       (0.13 )       (0.13 )       (0.03 )

Net Realized Gains

        (0.17 )       —       —       —       —

Total Distributions

        (0.23 )       (0.14 )       (0.13 )       (0.13 )       (0.03 )

Net Asset Value, End of Year

      $ 12.14     $ 11.01     $ 11.40     $ 11.08     $ 10.61
                                                  

Total Return(b)

       12.46 %       (2.31 )%       4.18 %       5.63 %       7.93 %

Net Assets, End of Year (000’s)

      $ 206,232     $ 211,911     $ 168,199     $ 156,369     $ 103,768

Ratios to Average Net Assets

                     

Gross Expense(c)

       1.99 %       2.04 %       2.11 %       2.21 %       2.82 %

Net Expense(c),(d)

       1.24 %       1.24 %       1.24 %       1.25 %       2.12 %(e)

Net Investment Income

        0.44 %       0.82 %       1.02 %       1.03 %       0.32 %

Portfolio Turnover Rate

        58 %       84 %       61 %       58 %(f)       367 %

 

(a)

Per share amounts have been calculated using the average shares method.

 

(b)

Based on net asset value, which does not reflect the sales charge, if applicable. Total returns for periods of less than one year, if any, are not annualized.

 

(c)

The Fund invests in other underlying funds and indirectly bears its proportionate share of fees and expenses incurred by the underlying funds. This ratio does not include these indirect fees and expenses.

 

(d)

The investment advisor and other service providers waived or reimbursed a portion of their fees.

 

(e)

Expense ratio includes dividend and interest expense related to securities sold short. Excluding such dividend and interest expense, the ratio of expenses to average net assets would be 2.06% and 1.77% for Class A and Class I, respectively.

 

(f)

In January 2017, the Fund transitioned to a single sub-advisor strategy. As a result, the portfolio turnover rate for the fiscal year ended April 30, 2018 was significantly lower than that of the prior fiscal year.

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)   54

 

For a share outstanding throughout each year ended April 30, unless otherwise noted:

 

 

 WILMINGTON REAL ASSET FUND

 

 

    

Year Ended

  April 30, 2021  

 

Year Ended

  April 30, 2020  

 

Year Ended

  April 30, 2019  

 

Year Ended

  April 30, 2018  

 

Year Ended    

  April 30, 2017      

 CLASS A                     

Net Asset Value, Beginning of Year

        $12.33       $ 14.40       $14.48       $13.87       $13.63

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.17       0.45       0.34       0.35       0.23

Net Realized and Unrealized Gain (Loss)

        3.32       (2.03 )       (0.07 )       0.63       0.01

Total Income (Loss) From Operations

        3.49       (1.58 )       0.27       0.98       0.24

Less Distributions From:

                     

Net Investment Income

        (0.24 )       (0.49 )       (0.35 )       (0.37 )       —

Total Distributions

        (0.24 )       (0.49 )       (0.35 )       (0.37 )       —

Net Asset Value, End of Year

        $15.58       $12.33       $14.40       $14.48       $13.87
                                                  

Total Return(b)

       28.65 %       (11.35 )%       2.05 %       7.11 %       1.76 %

Net Assets, End of Year (000’s)

        $   995       $   932       $1,173       $1,297       $1,643

Ratios to Average Net Assets

                     

Gross Expense(c)

       1.30 %       1.30 %       1.32 %       1.32 %       1.45 %

Net Expense(c),(d)

       0.96 %       0.96 %       0.96 %       0.99 %       1.20 %

Net Investment Income

        1.25 %       3.16 %       2.44 %       2.46 %       1.68 %

Portfolio Turnover Rate

        40 %(e)       411 %       347 %       438 %       593 %
                    
    

Year Ended

  April 30, 2021  

 

Year Ended

  April 30, 2020  

 

Year Ended

  April 30, 2019  

 

Year Ended

  April 30, 2018  

 

Year Ended    

  April 30, 2017      

 CLASS I                     

Net Asset Value, Beginning of Year

        $    12.47       $    14.56       $    14.63       $    14.01       $    13.73

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.17       0.49       0.38       0.40       0.27

Net Realized and Unrealized Gain (Loss)

        3.40       (2.06 )       (0.07 )       0.62       0.01

Total Income (Loss) From Operations

        3.57       (1.57 )       0.31       1.02       0.28

Less Distributions From:

                     

Net Investment Income

        (0.27 )       (0.52 )       (0.38 )       (0.40 )       —

Total Distributions

        (0.27 )       (0.52 )       (0.38 )       (0.40 )       —

Net Asset Value, End of Year

        $    15.77       $    12.47       $    14.56       $    14.63       $    14.01
                                                  

Total Return(b)

       29.00 %       (11.13 )%       2.29 %       7.31 %       2.11 %

Net Assets, End of Year (000’s)

        $463,203       $199,115       $309,654       $307,734       $345,787

Ratios to Average Net Assets

                     

Gross Expense(c)

       0.93 %       1.05 %       1.07 %       1.07 %       1.20 %

Net Expense(c),(d)

       0.71 %       0.71 %       0.71 %       0.74 %       0.95 %

Net Investment Income

        1.18 %       3.41 %       2.69 %       2.74 %       1.97 %

Portfolio Turnover Rate

        40 %(e)       411 %       347 %       438 %       593 %

 

(a)

Per share amounts have been calculated using the average shares method.

 

(b)

Based on net asset value, which does not reflect the sales charge, if applicable. Total returns for periods of less than one year, if any, are not annualized.

 

(c)

The Fund invests in other underlying funds and indirectly bears its proportionate share of fees and expenses incurred by the underlying funds. This ratio does not include these indirect fees and expenses.

 

(d)

The investment advisor and other service providers waived or reimbursed a portion of their fees.

 

(e)

In 2020, the Fund transitioned to a single sub-advisor strategy. As a result, the portfolio turnover rate for the year ended April 30, 2021 was significantly lower than that of previous fiscal years.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

55   FINANCIAL HIGHLIGHTS (concluded)

 

For a share outstanding throughout each year ended April 30, unless otherwise noted:

 

 

 WILMINGTON DIVERSIFIED INCOME FUND

 

 

    

Year Ended

  April 30, 2021  

 

Year Ended

  April 30, 2020  

 

Year Ended

  April 30, 2019  

 

Year Ended

  April 30, 2018  

 

Year Ended

  April 30, 2017       

 CLASS A                     

Net Asset Value, Beginning of Year

        $    9.54       $  10.54       $  10.47       $  11.24       $  10.40

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.29       0.40       0.36       0.26       0.12

Net Realized and Unrealized Gain (Loss)

        2.04       (1.02 )       0.11       0.52       0.85

Total Income (Loss) From Operations

        2.33       (0.62 )       0.47       0.78       0.97

Less Distributions From:

                     

Net Investment Income

        (0.32 )       (0.38 )       (0.36 )       (0.23 )       (0.13 )

Net Realized Gains

        —       —       (0.04 )       (1.32 )       —

Total Distributions

        (0.32 )       (0.38 )       (0.40 )       (1.55 )       (0.13 )

Net Asset Value, End of Year

        $  11.55       $    9.54       $  10.54       $  10.47       $  11.24
                                                  

Total Return(b)

       24.86 %       (6.17 )%       4.66 %       6.99 %       9.38 %

Net Assets, End of Year (000’s)

        $37,388       $32,708       $38,943       $40,993       $42,878

Ratios to Average Net Assets

                     

Gross Expense(c)

       1.69 %       1.68 %       1.67 %       1.72 %       1.59 %

Net Expense(c),(d)

       0.60 %       0.60 %       0.60 %       0.66 %       0.74 %

Net Investment Income

        2.81 %       3.86 %       3.45 %       2.30 %       1.16 %

Portfolio Turnover Rate

        12 %       14 %       14 %       85 %       9 %
                    
    

Year Ended

April 30, 2021

  

Year Ended

April 30, 2020

  

Year Ended

April 30, 2019

  

Year Ended

April 30, 2018

  

Year Ended

April 30, 2017

 CLASS I                     

Net Asset Value, Beginning of Year

        $  9.55       $10.54       $10.48       $11.25       $10.41

Income (Loss) From Operations:

                     

Net Investment Income(a)

       0.32       0.44       0.39       0.29       0.15

Net Realized and Unrealized Gain (Loss)

        2.03       (1.02 )       0.10       0.52       0.85

Total Income (Loss) From Operations

        2.35       (0.58 )       0.49       0.81       1.00

Less Distributions From:

                     

Net Investment Income

        (0.34 )       (0.41 )       (0.39 )       (0.26 )       (0.16 )

Net Realized Gains

        —       —       (0.04 )       (1.32 )       —

Total Distributions

        (0.34 )       (0.41 )       (0.43 )       (1.58 )       (0.16 )

Net Asset Value, End of Year

        $11.56       $  9.55       $10.54       $10.48       $11.25
                                                  

Total Return(b)

       25.09 %       (5.83 )%       4.82 %       7.24 %       9.64 %

Net Assets, End of Year (000’s)

        $   629       $   498       $   637       $1,109       $   725

Ratios to Average Net Assets

                     

Gross Expense(c)

       1.38 %       1.44 %       1.40 %       1.48 %       1.34 %

Net Expense(c),(d)

       0.35 %       0.35 %       0.35 %       0.41 %       0.49 %

Net Investment Income

        3.06 %       4.20 %       3.72 %       2.62 %       1.44 %

Portfolio Turnover Rate

        12 %       14 %       14 %       85 %       9 %

 

(a)

Per share amounts have been calculated using the average shares method.

 

(b)

Based on net asset value, which does not reflect the sales charge, if applicable. Total returns for periods of less than one year, if any, are not annualized.

 

(c)

The Fund invests in other underlying funds and indirectly bears its proportionate share of fees and expenses incurred by the underlying funds. This ratio does not include these indirect fees and expenses.

 

(d)

The investment advisor and other service providers waived or reimbursed a portion of their fees.

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS   56

 

Wilmington Funds

April 30, 2021

 

1.

ORGANIZATION

Wilmington Funds (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Trust consists of 12 funds, 4 of which are presented herein (individually referred to as a “Fund” or collectively as the “Funds”). The remaining 8 funds are presented in separate reports.

 

 

    Fund

 

   

 

Investment Goal

 

 

Wilmington International Fund (“International Fund”)(d)

  

 

The Fund seeks to provide long-term capital appreciation primarily through a diversified portfolio of non-U.S. equity securities.

Wilmington Global Alpha Equities Fund (“Global Alpha Equities Fund”)(d)

   The Fund seeks to achieve long-term growth of capital with lower volatility than broader equity markets.

Wilmington Real Asset Fund (“Real Asset Fund”)(d)

   The Fund seeks to achieve long-term preservation of capital with current income.

Wilmington Diversified Income Fund (“Diversified Income Fund”)(d)

   The Fund seeks a high level of total return consistent with a moderate level of risk.

 

  (d)

Diversified

The Trust offers 6 classes of shares: Class A, Service Class, Select Class, Administrative Class, Class I and Institutional Class. Service Class, Select Class, Administrative Class and Institutional Class are not available for the Funds. All shares of the Trust have equal rights with respect to voting, except on class-specific matters.

The assets of each fund are segregated and a shareholder’s interest is limited to the fund in which shares are held.

 

2.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with U.S. generally accepted accounting principles (“GAAP”). The Trust is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 946, “Financial Services - Investment Companies.” The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated and the differences could be material.

Computation of Net Asset Value – The net asset value (‘‘NAV’’) per share for each class of a Fund is computed by dividing the total current value of the assets of the Fund, less its liabilities, attributable to the class by the total number of shares outstanding of the class at the time of such computation. The NAV per share for each class of a Fund is computed as of 4:00 p.m. (Eastern Time) on days when the New York Stock Exchange (“NYSE”) is open for regular trading.

Investment Valuation – The Funds utilize a fair value approach. The fair value of the Funds’ portfolio securities are determined as follows:

• for equity securities, according to the last sale price or official closing price reported in the market in which they are primarily traded (either a national securities exchange or the over-the-counter market), if available;

• in the absence of recorded sales for equity securities, according to the mean between the last closing bid and asked prices;

• financial futures contracts and options are generally valued at market values established by the exchanges on which they are traded at the close of trading on such exchanges. Options traded in the over-the-counter market are generally valued according to the mean between the last bid and the last asked price for the option as provided by an investment dealer or other financial institution that deals in the option. The Board of Trustees (“Trustees”) may determine in good faith that another method of valuing such investments is necessary to appraise their fair value;

• forward foreign currency contracts are valued at the mean between the last bid and asked prices;

• investments in open-end regulated investment companies are valued at net asset value (“NAV”);

• for fixed income securities, according to prices as furnished by an independent pricing service, except that fixed income securities with remaining maturities of less than 60 days at the time of purchase are valued at amortized cost provided such amount approximates fair value;

• price information on listed securities, including underlying Exchange Traded Funds (“ETFs”) and Exchange Traded Notes (“ETNs”), is taken from the exchange where the security is primarily traded; and

• for all other securities, at fair value as determined in accordance with procedures established by and under the general supervision of the Trustees.

Trading in foreign securities may be completed at times which vary from the closing of the New York Stock Exchange (“NYSE”). In computing their NAV, the Funds value foreign securities using the latest closing price on the primary exchange on which they are traded imme-

 

ANNUAL REPORT / April 30, 2021

57   NOTES TO FINANCIAL STATEMENTS (continued)

 

diately prior to the closing of the NYSE. Certain foreign currency exchange rates are generally determined at the latest rate prior to the closing of the NYSE. Foreign securities quoted in foreign currencies are translated into U.S. dollars at current rates. Events that affect these values and exchange rates may occur between the times at which they are determined and the closing of the NYSE. If such events materially affect the value of portfolio securities, these securities may be valued at their fair value as determined in good faith by the Trustees, although the actual calculation may be done by others. An event is considered material if there is both an affirmative expectation that the security’s value will change in response to the event and a reasonable basis for quantifying the resulting change in value. In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures or suspension of trading in a security. Each Fund may use fair value pricing more frequently for securities traded primarily in non-US markets because, among other things, most foreign markets close well before each Fund values its securities, generally as of 4:00pm Eastern time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, government actions or pronouncements, aftermarket trading, or news events may have occurred in the interim. Whenever such a significant event occurs, each Fund may value foreign securities using fair value prices based on third-party vendor modeling tools (Systematic International Fair Value Pricing (“SIFVP”)).

The Trust follows the authoritative guidance (GAAP) for fair value measurements. The guidance establishes a framework for measuring fair value and a hierarchy for inputs and techniques used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs and techniques by requiring that the most observable inputs be used when available. The guidance establishes three tiers of inputs that may be used to measure fair value. The three tiers of inputs are summarized at the end of each Fund’s Portfolio of Investments. The inputs or techniques used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

Pursuant to the Funds’ fair value procedures noted previously, equity securities (including exchange traded securities and other open-end regulated investment companies) and exchange traded derivatives are generally categorized as Level 1 securities in the fair value hierarchy. The Wilmington International Fund, the Wilmington Global Alpha Equities and the Wilmington Real Asset Fund may utilize SIFVP which could result in certain equity securities being categorized as Level 2. Fixed income securities, non-exchange traded derivatives and money market instruments are generally categorized as Level 2 securities in the fair value hierarchy.

Investments for which there are no such quotations, or for which quotations do not appear reliable, are valued at fair value as determined in accordance with procedures established by and under the general supervision of the Trustees. These valuations are typically categorized as Level 2 or Level 3 securities in the fair value hierarchy.

Repurchase Agreements – Repurchase agreements are transactions in which a Fund buys a security from a dealer or bank and agrees to sell the security back at a mutually agreed upon time and price. The repurchase price exceeds the sale price, reflecting each Fund’s return on the transaction. It is each Fund’s policy to require the counterparty to a repurchase agreement to transfer to the Funds’ custodian or sub-custodian eligible securities or cash with a market value (after transaction costs) at least equal to the repurchase price to be paid under the repurchase agreement. The eligible securities are transferred to accounts with the custodian or sub-custodian in which the Funds hold a “securities entitlement” and exercise “control” as those terms are defined in the Uniform Commercial Code. The Funds have established procedures for monitoring the market value of the transferred securities and requiring the transfer of additional eligible securities, if necessary, to equal at least the repurchase price. These procedures also allow the counterparty to require securities to be transferred from the account to the extent that their market value exceeds the repurchase price or in exchange for other eligible securities of equivalent market value.

The insolvency of the counterparty or other failure to repurchase the securities may delay the disposition of the underlying securities or cause the Funds to receive less than the full repurchase price.

Repurchase agreements are entered into by the Funds under Master Repurchase Agreements (“MRA”) which permit the Funds, under certain circumstances including an event of default (such as bankruptcy or insolvency), to offset payables and/or receivables under the MRA with collateral held and/or posted to the counterparty and create one single net payment due to or from each Fund.

At April 30, 2021, the open repurchase agreements by counterparty which are subject to a MRA on a net payment basis are as follows:

 

       
    Fund/Counterparty   Repurchase        
Agreements         		   Fair Value of
Non-Cash Collateral    
Received(1) 		  Cash Collateral    
Received(1) 		  Net Exposure(2)    
       

International Fund

                      

Bank of America Securities, Inc.

     $ 2,552,306          $ 2,552,306     $ —     $ —

Daiwa Capital Markets America

       4,811,998            4,811,998       —       —

RBC Dominion Securities, Inc.

       4,811,998            4,811,998       —       —
     

 

 

      

 

 

      

 

 

      

 

 

  
       
      $     12,176,302          $     12,176,302     $             —     $             —
     

 

 

      

 

 

      

 

 

      

 

 

  

Real Asset Fund

                      

Bank of America Securities, Inc.

     $ 937,786          $ 937,786     $ —     $ —

Daiwa Capital Markets America

       1,290,361            1,290,361       —       —

RBC Dominion Securities, Inc.

       1,290,361            1,290,361       —       —
     

 

 

      

 

 

      

 

 

      

 

 

  
       
      $ 3,518,508          $ 3,518,508     $ —     $ —
     

 

 

      

 

 

      

 

 

      

 

 

  

Diversified Income Fund

                      

Bank of America Securities, Inc.

     $ 874,134          $ 874,134     $ —     $ —

BNP Paribas SA

       874,134            874,134       —       —

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)   58

 

       
    Fund/Counterparty   Repurchase        
Agreements         		   Fair Value of
Non-Cash Collateral    
Received(1) 		  Cash Collateral    
Received(1) 		  Net Exposure(2)    

Citigroup Global Markets Ltd.

     $ 874,134          $ 874,134     $         —     $ —

Daiwa Capital Markets America

       874,134            874,134       —       —

Deutsche Bank Securities, Inc.

       347,985            347,985       —       —

RBC Dominion Securities, Inc.

       874,134            874,134       —       —
     

 

 

      

 

 

      

 

 

      

 

 

  
       
      $       4,718,655          $       4,718,655     $             —     $             —
     

 

 

      

 

 

      

 

 

      

 

 

  

(1) The amount of collateral reflected in the table does not include any over-collateralization received by the Fund.

(2) Net exposure represents the receivable (payable) due from (to) the counterparty in the event of default.

Investment Income, Gains and Losses, Expenses and Distributions – Interest income and expenses are accrued daily. All premiums and discounts on fixed income securities are amortized/accreted for financial reporting purposes. Gains and losses realized on principal payment of mortgage-backed securities (paydown gains and losses) are classified as part of investment income. Dividends and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. Foreign dividends are recorded on the ex-dividend date or when the Funds are informed of the ex-dividend date. Investment transactions are accounted for on a trade date basis for financial reporting purposes. Realized gains and losses from investment transactions are recorded on an identified cost basis and includes proceeds from litigation, if any. Withholding taxes and, where appropriate, deferred withholding taxes on foreign interest, dividends and capital gains have been provided for in accordance with the applicable country’s tax rules and rates.

Expenses of the Trust, which are directly identifiable to a specific fund, are applied to that fund. Expenses which are not identifiable to a specific fund are allocated in such a manner as deemed equitable, taking into consideration the nature and type of expense.

Each Fund offers multiple classes of shares. Investment income, realized and unrealized gains and losses, and certain fund-level expenses are allocated to each class based on relative daily net assets, except that each class bears certain expenses unique to that class such as distribution and shareholder services fees. Distributions are declared separately for each class. No class has preferential distribution rights; differences in per share distributions rates are generally due to differences in class specific expenses. Distributions from net realized gains, if any, are declared and paid to shareholders annually. Distributions from net investment income are declared and paid quarterly for the Funds, with the exception of the Global Alpha Equities Fund, which is paid annually.

Real Estate Investment Trusts – The Funds may invest in real estate investment trusts (“REITs”) that involve risks not associated with investing in stocks. Risks include declines in the value of real estate, general and economic conditions, changes in the value of the underlying property and defaults by borrowers. The value of assets in the real estate industry may go through cycles of relative underperformance and outperformance in comparison to equity securities markets in general. Dividend income is recorded using management’s estimate of the income included in distributions received from REIT investments. The actual amounts of income, return of capital and capital gains are only determined by each REIT after its fiscal year-end and may differ from the estimated amount. Estimates of income are adjusted to the actual amounts when the amounts are determined.

Warrants and Rights – Certain Funds hold warrants and rights acquired either through a direct purchase, including as part of private placement, or pursuant to corporate actions. Warrants and rights entitle the holder to buy a proportionate amount of common stock at a specific price and time through the expiration dates. Such warrants and rights are held as long positions by the Funds until exercised, sold or expired. Equity-linked warrants are purchased in order to own local exposure to certain countries in which the Funds are not locally registered. Warrants and rights are valued at fair value in accordance with the Trustees’ approved fair value procedures.

Foreign Currency Translation – The accounting records of the Funds are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the rates of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Funds do not isolate that portion of results of operations resulting from changes in foreign exchange rates on investments from fluctuations arising from changes in the net realized and unrealized gain or loss on investments.

Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Funds’ books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities, other than investments in securities at period end, resulting from changes in the exchange rates.

Restricted Securities – Restricted securities are securities that either (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933, as amended, or (b) are subject to contractual restrictions on public sales. In some cases, when a security cannot be offered for public sale without first being registered, the issuer of the restricted security has agreed to register such securities for resale, at the issuer’s expense, either upon demand by the Funds or in connection with another registered offering of the securities. Many such restricted securities may be resold in the secondary market in transactions exempt from registration. Restricted securities may be determined to be liquid under criteria established by the Trustees. A Fund will not incur any registration costs upon such resales. The Funds’ restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in accordance with procedures established by and under the general supervision of the Trustees.

 

ANNUAL REPORT / April 30, 2021

59   NOTES TO FINANCIAL STATEMENTS (continued)

 

Securities Sold Short – Certain Funds may sell securities short. A short sale is a transaction in which the Fund sells a security it does not own in anticipation of a decline in market price. To sell a security short, the Fund must borrow the security. The Fund’s obligation to replace the security borrowed and sold short will be fully collateralized at all times by the proceeds from the short sale retained by the broker and by cash and securities deposited in a segregated account with the Fund’s custodian. If the price of the security sold short increases between the time of the short sale and the time the Fund replaces the borrowed security, the Fund will realize a loss, and if the price declines during the period, the Fund will realize a gain. Any realized gain will be decreased, and any realized loss increased, by the amount of transaction costs. The Funds are required to pay the lender any dividends declared on short positions. Such amounts are recorded on the ex-dividend date as dividends expense on securities sold short on the Statements of Operations.

In accordance with the terms of its prime brokerage agreement, the Funds may be charged a fee on borrowed securities. Such fees are calculated on a daily basis based upon the market value of each borrowed security and a variable rate that is dependent upon the availability of such security. The Funds are required to maintain margin cash balances at the prime broker sufficiently to satisfy their short sales positions on a daily basis. The Funds are charged interest expense at the Fed Funds open rate plus 50 basis points on the amount of any shortfall in the required cash margin. The Funds record these prime broker charges on a net basis as Prime Broker interest expense on securities sold short on the Statements of Operations. During the year ended April 30, 2021, there was no short sales transactions.

Lending of Portfolio Securities – The Trust has entered into an agreement with its custodian whereby the custodian may lend securities owned by the Funds to brokers, dealers and other financial organizations. Any increase or decrease in the fair value of securities loaned and any interest or dividends earned on those securities during the term of the loan would be for the account of the Funds. In exchange for lending securities under the terms of the agreement with their custodian, the Funds receive a lender’s fee. Fees earned by the Funds on securities lending are recorded as income. Loans of securities by the Funds are collateralized by cash, U.S. government securities or money market instruments that are maintained at all times in an amount at least equal to the current market value of the loaned securities plus a margin which varies depending on the type of securities owned. The custodian establishes and maintains the collateral in a segregated account. The Funds have the right under the lending agreement to recover the securities from the borrower on demand. The market value of the loaned securities is determined at the close of business of the Funds and any additional required collateral is delivered to the Funds on the next business day.

Under the terms of the agreement, cash collateral received is invested in one or more approved investments. Investments purchased with cash collateral are presented on the Portfolios of Investments under the caption “Cash Collateral Invested for Securities on Loan.”

The Funds maintain the risk of any loss on the securities on loan as well as the potential loss on investments purchased with cash collateral received from securities lending.

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (“MSLA”) which permit the Funds, under certain circumstances including an event of default (such as bankruptcy or insolvency), to offset amounts payable by the Funds to the same counterparty against amounts to be received and create one single net payment due to or from the Funds.

At April 30, 2021, the securities loaned which are subject to a MSLA on a net payment basis are as follows:

 

    Fund   Value of        
Securities        
on Loan        		  

Cash        

Collateral        
Received(1)         

   Net Exposure(2)         
   

International Fund

   $23,456,143           $23,456,143             $ —

Real Asset Fund

   6,780,909       6,780,909           —

Diversified Income Fund

   4,591,658       4,591,658           —

 

  (1) 

Collateral with a value of $25,326,302, $6,965,508 and $4,718,655, respectively, has been received in connection with securities lending transactions. The amount of collateral reflected in the table does not include any over-collateralization received by the Fund.

 

  (2) 

Net exposure represents the receivable (payable) due from (to) the counterparty in the event of default.

TBA Commitments – “TBA” (to be announced) commitments are commitments to purchase or sell mortgage-backed securities for a fixed price at a future date, typically not exceeding 45 days. TBAs may be considered securities in themselves and involve a risk of loss if the value of the TBA changes relative to the Funds’ “basis” in the position prior to the settlement date. Unsettled TBAs are valued according to the procedures described in the section entitled “Investment Valuation.”

 

3.

DERIVATIVE FINANCIAL INSTRUMENTS

Disclosures about derivative instruments and hedging activities are intended to improve financial reporting for derivative instruments by enabling investors to understand how and why an entity uses derivatives, how derivatives are accounted for, and how derivative instruments affect an entity’s results of operations and financial position. Risk of loss on derivatives, including written options, forward foreign currency contracts, and financial futures contracts, may exceed amounts recognized on the Statements of Assets and Liabilities.

Options – Certain Funds may either purchase or write options in order to hedge against adverse market movements or fluctuations in value caused by changes in prevailing interest rates, value of equities or foreign exchange rates, with respect to securities which the Fund currently owns or intends to purchase. A Fund’s principal reason for writing options is to realize, through receipt of premiums, a greater current return than would be realized on the underlying security alone. When a Fund purchases an option, it pays a premium and an amount equal to that premium is recorded as an asset. When a Fund writes an option, it receives a premium and an amount equal to that premium is recorded as

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)   60

 

a liability. The asset or liability is adjusted daily to reflect the current market value of the option. If an option expires unexercised, a Fund realizes a gain or loss to the extent of the premium received or paid. If an option is exercised, the premium received or paid is recorded as an adjustment to the proceeds from the sale or the cost of the purchase in determining whether a Fund has realized a gain or loss. The difference between the premium and the amount received or paid on effecting a closing purchase or sale transaction is also treated as a realized gain or loss. A Fund, as writer of options, may have no control over whether the underlying securities may be sold (called) or purchased (put). As a result, a Fund bears the market risk of an unfavorable change in the price of the security underlying the written option. A Fund, as purchaser of over-the-counter options, bears the risk of the potential inability of the counterparties to meet the terms of their contracts.

For the year ended April 30, 2021, the Funds did not utilize options.

Forward Foreign Currency Contracts – Certain Funds may enter into foreign currency commitments or foreign currency exchange transactions. A Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge a Fund’s securities against currency fluctuations. Risks may arise upon entering into these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purposes as unrealized until the settlement date.

The International Fund entered into forward foreign currency contracts in connection with settling planned purchases or sales of securities. The Real Asset Fund and the Global Alpha Equities Fund entered into forward foreign currency contracts in connection with settling planned purchases or sales of securities, to hedge the currency exposure associated with some or all of the portfolio’s securities or as a means to express a view on the direction of a currency’s value as a part of the broader investment strategy.

Financial Futures Contracts – The Funds may invest in financial futures contracts to hedge their existing portfolios, manage cash flows, enhance yield and to potentially reduce transaction costs. Upon entering into a futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a “variation margin” account. Daily, and prior to computing its NAV, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with the changes in the value of the underlying securities.

For the year ended April 30, 2021, the International Fund and Global Alpha Equities Fund used equity index futures contracts to manage equity market exposure.

The following is a summary of the location of derivatives on the Funds’ Statements of Assets and Liabilities as of April 30, 2021.

 

     Location on the Statements of Assets and Liabilities
    Derivative Type    Asset Derivatives    Liability Derivatives

Equity contracts

    Variation margin receivable for financial futures contracts*    Variation margin payable for financial futures contracts*

Foreign exchange contracts

    Unrealized appreciation on forward foreign currency contracts**    Unrealized depreciation on forward foreign currency contracts**

 

  *

The variation margin shown on the Statements of Assets and Liabilities is the daily change in the unrealized appreciation (depreciation) for financial futures contracts. The amount presented below is the cumulative unrealized appreciation (depreciation) from the date the contract was opened until April 30, 2021.

 

  **

The amounts shown represent the unrealized appreciation (depreciation) from the date the contract was open.

 

 
    Asset Derivatives Fair Value  
     
    Fund       Total Value         Equity
    Contracts    		    

Foreign

Exchange
    Contracts    

 
     

Global Alpha Equities Fund

          

Financial Futures Contracts

   $ 319,262     $ 319,262     $ —  

Forward Foreign Currency Contracts

     24,948       —       24,948  
 

 

 

    

 

 

    

 

 

  

Totals

   $ 344,210     $ 319,262     $     24,948  
 

 

 

    

 

 

    

 

 

  
     
 
    Liability Derivatives Fair Value  
     
    Fund   Total Value     Equity
Contracts		     Foreign
Exchange
Contracts		  
     

International Fund

          

Financial Futures Contracts

   $ (609,275 )    $ (609,275 )    $ —  
 

 

 

    

 

 

    

 

 

  

Totals

   $ (609,275 )    $ (609,275 )    $ —  
 

 

 

    

 

 

    

 

 

  

 

ANNUAL REPORT / April 30, 2021

61   NOTES TO FINANCIAL STATEMENTS (continued)

 

     Liability Derivatives Fair Value  
    Fund               Total Value                Equity
    Contracts    		            Foreign
Exchange
    Contracts    		        

Global Alpha Equities Fund

                        

Financial Futures Contracts

         $ (3,236,460 )         $ (3,236,460 )         $ —    

Forward Foreign Currency Contracts

           (229,936 )           —            (229,936 )   
     

 

 

       

 

 

       

 

 

    

Totals

         $ (3,466,396 )         $ (3,236,460 )         $ (229,936 )   
     

 

 

       

 

 

       

 

 

    

The effect of derivative instruments on the Statements of Operations for the year ended April 30, 2021 are as follows:

 

 

    Derivative Type

 

   

 

Location on the Statements of Operations

 

Equity contracts

    Net realized gain (loss) on financial futures contracts.
   Net change in unrealized appreciation (depreciation) on financial futures contracts.

Foreign exchange contracts

    Net realized gain (loss) on forward foreign currency contracts.
   Net change in unrealized appreciation (depreciation) on forward foreign currency contracts.

 

     Net Realized Gain (Loss) on Derivatives Recognized in Results
from Operations		  
    Fund           Total            

Equity
Contracts

             Foreign
Exchange
Contracts		         

International Fund

                           

Financial Futures Contracts

         $ 4,114,816           $ 4,267,511           $ (152,695 )    
     

 

 

        

 

 

        

 

 

     

Totals

         $ 4,114,816           $ 4,267,511           $ (152,695 )    
     

 

 

        

 

 

        

 

 

     
     

Global Alpha Equities Fund

                           

Financial Futures Contracts

         $ (52,761,632 )          $ (52,761,632 )          $ —     

Forward Foreign Currency Contracts

           (889,512 )            —             (889,512 )    
     

 

 

        

 

 

        

 

 

     

Totals

         $ (53,651,144 )          $ (52,761,632 )          $ (889,512 )    
     

 

 

        

 

 

        

 

 

     
     

Real Asset Fund

                           

Forward Foreign Currency Contracts

         $ (385 )          $ —           $ (385 )    
     

 

 

        

 

 

        

 

 

     

Totals

         $ (385 )          $ —           $ (385 )    
     

 

 

        

 

 

        

 

 

     

        

                     
    

Net Change in Unrealized Appreciation (Depreciation) on Derivatives

Recognized in Results from Operations

  
    Fund           Total             Equity
Contracts		             Foreign
Exchange
Contracts		         

International Fund

                           

Financial Futures Contracts

         $ (947,952 )          $ (948,553 )          $ 601     
     

 

 

        

 

 

        

 

 

     

Totals

         $ (947,952 )          $ (948,553 )          $ 601     
     

 

 

        

 

 

        

 

 

     
     

Global Alpha Equities Fund

                           

Financial Futures Contracts

         $ 11,047,084           $ 11,047,084           $ —     

Forward Foreign Currency Contracts

           (459,928 )            —             (459,928 )    
     

 

 

        

 

 

        

 

 

     

Totals

         $ 10,587,156           $ 11,047,084           $ (459,928 )    
     

 

 

        

 

 

        

 

 

     

The average quarterly volume of derivative activities for the year ended April 30, 2021 are as follows.

 

     Asset Derivative Volume  
    Fund           Financial
Futures
Contracts(1)		             Forward
Foreign
Currency
Contracts(2) 		        

International Fund

         $ 9,375,787           $ 106,320     

Global Alpha Equities Fund

           —             804,060     

Real Asset Fund

           —             13,189     

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)   62

 

  Liability Derivative Volume
    Fund

Financial

Futures

Contracts(1)

Forward

Foreign

Currency

Contracts(2)

   

International Fund

 $ — $ 2,172,576

Global Alpha Equities Fund

     102,594,807     17,490,362

(1) Notional Amount.

(2) Contract Amount.

Certain Funds are parties to International Swap and Derivatives Association, Inc. (“ISDA”) Master Agreements (“MA”) with various counterparties that govern over-the-counter derivative and foreign exchange contracts entered into from time to time. The ISDA MA may contain provisions regarding, among other things, the parties’ general obligations, representations, agreements, collateral requirements, events of default and early termination. With respect to certain counterparties, in accordance with the terms of the ISDA MA, collateral posted to each Fund is held in a segregated account by each Fund’s custodian and, with respect to those amounts which can be sold or repledged, are presented in the Fund’s Portfolio of Investments or Statements of Assets and Liabilities.

At April 30, 2021, derivative assets and liabilities by counterparty net of amounts available for offset under a MA and net of the related collateral received by each Fund are as follows:

 

    Fund/Counterparty

Derivative

Assets Subject to

a MA

Derivatives

Available for

Offset

Non-Cash

Collateral

Received(1)

Cash

Collateral

Received(1)

Net Exposure

of Derivative

Assets(2)

Global Alpha Equities Fund

BNP Paribas

 $ 12,965 $ — $ — $ — $ 12,965

Morgan Stanley

   11,983   (11,983 )   —   —   —

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Total Derivative Assets

 $ 24,948 $ (11,983 ) $ — $ — $ 12,965

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  
                                                      
 

Derivative

Liabilities Subject to
a MA

Derivatives

Available for

Offset

Non-Cash

Collateral

Pledged(3)

Cash

Collateral

Pledged(3)

Net Exposure

of Derivative

Liabilities(2)

Morgan Stanley

 $ (229,936 ) $ 11,983 $ — $ — $ (217,953 )

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

Total Derivative Liabilities

 $         (229,936 )  $         11,983 $             — $             — $         (217,953 ) 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

(1) Excess of collateral received is not shown for financial reporting purposes.

(2) Net exposure represents the receivable (payable) due from (to) the counterparty in the event of default.

(3) Excess of collateral pledged is not shown for financial reporting purposes.

 

4.

FEDERAL TAX INFORMATION

No provision for federal income taxes has been made, as it is each Fund’s policy to comply with the Subchapter M provision of the Internal Revenue Code of 1986, as amended, and to distribute to shareholders each year all of its taxable income and realized gains.

Each Fund files U.S. federal, state, and local tax returns as required. The Fund’s tax returns are subject to examination by the relevant tax authorities until expiration of the applicable statute of limitations, which is generally three years after the tax returns are filed. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statements of Operations. The Funds do not have any unrecognized tax benefits or uncertain tax positions that would require a provision for income tax. Accordingly, the Funds did not incur any interest or penalties for the year ended April 30, 2021.

The timing and character of income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to foreign currency transactions, mark-to-market of futures contracts, passive foreign investment companies, paydown gains (losses) on mortgage-backed securities and losses deferred due to wash sales. For financial reporting purposes, any permanent differences resulting from different book and tax treatment are reclassified between distributable earnings and paid-in capital in the period that the differences arise. Results of operations and net assets are not affected by these reclassifications. As of April 30, 2021, the following reclassifications were made on the Statements of Assets and Liabilities for permanent differences:

 

ANNUAL REPORT / April 30, 2021

63   NOTES TO FINANCIAL STATEMENTS (continued)

 

    Fund   Paid-in
    Capital     		    Distributable    
Earnings
(Loss)		  

Global Alpha Equities Fund

   $ (8,732 )        $ 8,732      

Real Asset Fund

     (54,352 )          54,352      

Diversified Income Fund

     (2,841 )          2,841      

The tax character of distributions for the corresponding fiscal year ends were as follows:

 

   
    Fund   2021     2020
  Ordinary    
Income*     		  Long-Term    
Capital Gains     		     Ordinary    
Income*     		  Long-Term
Capital Gains    

International Fund

   $10,065,029       $             —             $  9,581,018         $—  

Global Alpha Equities Fund

   1,218,173      3,091,584             2,323,202     —

Real Asset Fund

   5,026,852      —             11,290,739       —

Diversified Income Fund

   1,074,740      —             1,374,464     —

    * For tax purposes, short-term capital gain distributions are considered ordinary income distributions.

As of April 30, 2021, the cost of investments and derivatives for U.S. federal income tax purposes, the aggregate gross unrealized appreciation for all investments and derivatives for which there was an excess of value over tax cost and the aggregate gross unrealized depreciation for all investments and derivatives for which there was an excess of tax cost over value, were as follows:

 

       
    Fund        Tax Cost                    Tax Unrealized         
    Appreciation        		        Tax Unrealized         
Depreciation        		  

Net Tax    

Unrealized    

Appreciation/    

        (Depreciation)             

International Fund

      $ 544,361,173                  $ 203,024,902              $ (11,801,227 )             $ 191,223,675        

Global Alpha Equities Fund        

        153,158,567                    46,567,148                (1,750,584 )               44,816,564        

Real Asset Fund

        424,666,994                    49,241,530                (3,605,165 )               45,636,365        

Diversified Income Fund

        37,864,281                    5,200,236                (359,047 )               4,841,189        

As of April 30, 2021, the components of distributable earnings on a tax basis were as follows:

 

             
    Fund       Undistributed    
Ordinary
Income		   Undistributed
Long-Term
    Capital Gains     		   Other
Timing
    Differences     		      Unrealized    
     Appreciation/    
    (Depreciation)    		   Capital Loss
    Carryforwards    		   Late Year
Loss
    Deferrals     		      Distributable    
Earnings

International Fund

     $ 6,927,934     $ —     $ —     $ 191,353,926         $ (9,506,155 )     $ —     $ 188,775,705    

Global Alpha Equities Fund

       —       —       (7,325 )       44,825,788           (27,702,622 )       (93,001 )       17,022,840    

Real Asset Fund

       1,970,245       —       1       45,644,734           (27,008,486 )       —       20,606,494    

Diversified Income Fund

       200,800       —       1       4,841,189           (712,100 )       —       4,329,890    

Capital loss carryforwards represent realized losses that may be carried forward for an unlimited period and applied against future capital gains for U.S. federal income tax purposes. Such capital loss carryforwards will retain their character as either short-term or long-term capital losses. As of April 30, 2021, character of capital loss carryforwards were as follows:

 

    Fund    Short-Term
    No Expiration    		    Long-Term
    No Expiration    		   

 

Total
Capital Loss
    Carryforwards    

International Fund

      $ 6,118,734      $ 3,387,421      $ 9,506,155

Global Alpha Equities Fund

        8,841,083        18,861,539        27,702,622

Real Asset Fund

        10,976,666        16,031,820        27,008,486

Diversified Income Fund

        94,656        617,444        712,100

For the year ended April 30, 2021, capital loss carryforwards utilized were as follows:

 

 
    Fund   Capital Loss
    Carryforwards    
Utilized

International Fund

       $25,384,834

Diversified Income Fund

       335,867

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)   64

 

Late year loss deferrals represent (1) net specified losses realized between November 1 and April 30 of each year and (2) ordinary losses realized between January 1 and April 30 of each year that the Fund has elected for U.S. federal income tax purposes to treat as occurring on the first day of the following tax year. As of April 30, 2021, late year loss deferrals were as follows:

 

     
    Fund  Ordinary 
Losses		  Short-Term 
Capital
Losses		  Long-Term 
Capital
Losses
     

Global Alpha Equities Fund

   $93,001   $—   $—

 

5.

ADVISORY FEES, SERVICING FEES, AND OTHER SERVICE PROVIDERS

Investment Advisor – Wilmington Funds Management Corporation (“WFMC” or the “Advisor”) serves as the Investment Advisor to each of the Funds. Wilmington Trust Investment Advisors, Inc. (“WTIA”) provides sub-advisory services to the Funds. WFMC and WTIA are wholly-owned subsidiaries of M&T Bank Corporation. For its services, the Funds pay WFMC an annual investment advisory fee, accrued daily and paid monthly, based on a percentage of each Fund’s average daily net assets as described below. WFMC, not the Funds, pays WTIA for its services.

The International Fund, Global Alpha Equities Fund and Real Asset Fund, utilize a sub-advisor strategy, whereby WFMC allocates all or a portion of the Funds’ assets among one or more sub-advisors and strategies. For their services, the Funds pay each sub-advisor fees, accrued daily and paid monthly, as described below.

 

     
    Fund    Gross Fees      Fees Waived/
Reimbursed		      Current Fee as a % of average net asset
of the Fund/ Allocated Net Assets for Sub-advisors
     

International Fund

         

WFMC

    $ 2,807,880      $ (1,045,342 )     0.45%

Sub-advisors:

         

Allianz Global investors U.S. LLC

      279,986        —      0.38% on the first $100 million; and 0.33% on the next
         $100 million; and 0.28% on assets in excess of $200 million
         allocated to the Europe Equity Growth Select Strategy
     153,831        —      0.25% on assets allocated to the High Dividend Europe
         Strategy.

AXA Investment Managers, Inc.

      371,158        —      0.43% on the first $150 million; and
         0.41% on assets in excess of $150 million

Berenberg Asset Management LLC

      165,686        —      0.27%

Nikko Asset Management Americas, Inc.

      387,929        —      0.32%

Schroder Investment Management North America, Inc.

      931,720        —      0.50%
  

 

 

     

 

 

     

Total(a)

   $ 5,098,190      $ (1,045,342 )    
  

 

 

     

 

 

     

Global Alpha Equities Fund

         

WFMC

    $ 2,064,314      $ (1,211,350 )     0.95%

Sub-advisors:

         

Wellington Management Company LP

      1,195,113        —      0.55%
  

 

 

     

 

 

     

Total(b)

   $ 3,259,427      $ (1,211,350 )    
  

 

 

     

 

 

     

Real Asset Fund

         

WFMC

    $ 1,217,158      $ (154,393 )     0.45% on all Assets except Assets allocated to the inflation- protected and fixed-income securities (“TIPS”) strategy or the Enhanced Cash Strategy. The fee for assets allocated to the TIPS strategy: 0.52% of the first $25 million; 0.49% of the next $25 million; and 0.47% of Assets over $50 million. The fee for assets allocated to the Enhanced Cash strategy is 0.53% on the assets.

Sub-advisors:

         

Pacific Investment Management Company LLC (terminated 07/27/2020)

      84        —      0.25%

Parametric Portfolio Associates LLC

      155,452        —      0.25% of the first $20 million in assets;
         0.20% of the next $20 million in assets; and
         0.15% of assets in excess of $40 million
  

 

 

     

 

 

     

Total(c)

   $ 1,372,694      $ (154,393 )    
  

 

 

     

 

 

     

Diversified Income Fund

         

WFMC

    $ 140,968      $ (297,655 )     0.40%
  

 

 

     

 

 

     

 

  (a) 

The total gross advisory and sub-advisory fees during the period were 0.82% for the International Fund.

 

  (b) 

The total gross advisory and sub-advisory fees during the period were 1.50% for the Global Alpha Equities Fund.

 

  (c) 

The total gross advisory and sub-advisory fees during the period were 0.51% for the Real Asset Fund.

 

ANNUAL REPORT / April 30, 2021

65   NOTES TO FINANCIAL STATEMENTS (continued)

 

WFMC and the Funds’ distributor and shareholder service provider have contractually agreed to waive their fees and/or reimburse expenses through January 31, 2022 so that total annual fund operating expenses paid by the Funds (not including the effects of dividends or interest on short positions, acquired fund fees and expenses, taxes, or other extraordinary expenses expressed as an annualized percentage of average daily net assets), will not exceed the expense limitations set forth below. Neither WFMC nor the Funds’ distributor and shareholder service provider will recoup previously waived fees/expenses in subsequent years.

The contractual expense limitations are as follows:

 

 
    Current Contractual    
Expense Limitations    
   
    Fund   Class A   Class I
   

International Fund*

   1.10%   0.85%

Global Alpha Equities Fund

   1.49%   1.24%

Real Asset Fund

   0.96%   0.71%

Diversified Income Fund

   0.60%   0.35%

 

  *

Prior to August 31, 2020, the International Fund’s contractual expense limitation was 0.98% for Class A.

Administrative Fees – The Bank of New York Mellon (“BNYM”) provides the Trust with fund administration services. The fees as described in the table below are a component of “Portfolio accounting and administration fees” as disclosed in the Statements of Operations. WFMC, in its role as Co-Administrator, provides the Funds with certain administrative personnel and services necessary to operate the Funds. The fees as described in the table below are accrued daily and paid monthly, and are disclosed on the Statements of Operations as “Administration fees.”

 

 
    Administrator                     Maximum    
Fee		 Average Aggregate Daily Net
Assets of the Trust
   

WFMC

   0.040 %     on the first $5 billion
  0.030 %     on the next $2 billion
  0.025 %     on the next $3 billion
  0.018 %     on assets in excess of $10 billion
   

BNYM

   0.0175 %     on the first $15 billion
  0.0150 %     on the next $10 billion
  0.0125 %     on assets in excess of $25 billion

WFMC and BNYM may voluntarily choose to waive any portion of their fee and can add, modify or terminate a voluntary wavier at any time at their sole discretion. Neither WFMC nor BNYM will recoup previously waived fees/expenses in subsequent years. For the year ended April 30, 2021, neither WFMC nor BNYM waived any administrative fees.

Distribution Services Fee – The Trust has adopted a Distribution Services Plan (the “Plan”) pursuant to Rule 12b-1 under the Act. The Plan allows the Funds to pay fees to financial intermediaries, which may be paid through ALPS Distributors, Inc. (“ALPS”), the principal distributor, at an annual rate of up to 0.25% of the average daily net assets of the Funds’ Class A shares, for the sale, distribution, administration, customer servicing and record keeping of these shares.

The Trust may reduce the maximum amount of distribution services fees it pays from time to time at its sole discretion. In addition, a financial intermediary (including ALPS, the Advisor or their affiliates), may voluntarily waive or reduce any fees to which they are entitled.

For the year ended April 30, 2021, M&T Securities, Inc., Manufacturers and Traders Trust Company, and Wilmington Trust, NA (together “M&T”), affiliates of the Advisor, received distribution services fees paid by the Funds as follows:

 

 
    Fund   Distribution
Fees
from Class A    
 

International Fund

     $ 4,570

Global Alpha Equities Fund

       390

Real Asset Fund

       1,819

Diversified Income Fund

       79,406

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)   66

 

Sales Charges – The Class A shares of all the Funds bear front-end sales charges.

For the year ended April 30, 2021, M&T received sales charges on the sale of Class A shares as follows:

 

 
    Fund   Sales Charges    
from Class A		  
 

International Fund

   $ 149          

Global Alpha Equities Fund

     1,511          

Real Asset Fund

     55          

Diversified Income Fund

     12,113          

Shareholder Services Fee – Pursuant to a Shareholder Services Plan adopted by the Funds and administered by ALPS, the Funds may pay up to 0.25% of the average daily net assets of each Fund’s Class A shares to financial intermediaries (which may include ALPS, the Advisor or their affiliates) for providing shareholder services and maintaining shareholder accounts. Prior to January 31, 2021, the Funds’ Class I shares were included in the Shareholder Services Plan whereby the Funds could pay up to 0.25% of the average daily net assets of each Fund’s Class I shares to financial intermediaries (including ALPS, the Advisor or their affiliates) for providing shareholder services and maintaining shareholder accounts. Effective January 31, 2021, the Class I shares were removed from the Shareholder Services Plan. Accordingly, the 0.25% shareholder servicing fee was no longer charged to Class I shares after that date.

M&T has entered into a Shareholder Services Agreement with ALPS, under which it is entitled to receive up to 0.25% of the average daily net assets of each Fund’s Class A shares and, prior to January 31, 2021, Class I shares for whom M&T provides shareholder services. The Funds may reduce the maximum amount of shareholder service fees they pay from time to time at their sole discretion. In addition, a financial intermediary (including M&T) may waive or reduce any fees to which they are entitled.

For the year ended April 30, 2021, M&T received shareholder service fees, net of waivers, paid by the Fund as follows:

 

 
    Fund     Shareholder    
Services
Fee		  
 

International Fund

     $213,050        

Global Alpha Equities Fund

     —        

Real Asset Fund

     —        

Diversified Income Fund

     —        

Other Service Providers – Foreside Management Services, LLC (“FMS”) provides a Principal Executive Officer and Principal Financial Officer to the Trust. FMS has no role in determining the investment policies or which securities are to be sold or purchased by the Trust or its funds.

BNYM provides custody services to the Trust.

BNY Mellon Investment Servicing (U.S.) Inc. provides fund accounting and transfer agency services to the Trust.

General – Certain Trustees and Officers of the Trust are also Officers or employees of the above companies that provide services to the Funds, and during their terms of office, receive no compensation from the Funds. The Trust’s Statement of Additional Information includes additional information about the Trustees.

 

6.

INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding short-term obligations and U.S. Government Securities, for the year ended April 30, 2021 were as follows:

 

   
    Fund   Purchases   Sales
   

International Fund

     $ 437,012,789         $ 430,941,821    

Global Alpha Equities Fund

       114,405,879           178,833,839    

Real Asset Fund

       290,681,982           106,618,031    

Diversified Income Fund

       4,117,188           4,784,418    

Purchases and sales of investments of U.S. Government Securities for the year ended April 30, 2021 were as follows:

 

 
    Fund    Sales
 

Diversified Income Fund

      $ 1,376,842    

 

ANNUAL REPORT / April 30, 2021

67   NOTES TO FINANCIAL STATEMENTS (concluded)

 

7.

MARKET RISK IN GENERAL

Market risk is the risk that one or more markets in which a Fund invests will go down in value, including the possibility that the markets will go down sharply and unpredictably. The value of a security or other asset may decline due to changes in general market conditions, economic trends or events that are not specifically related to the issuer of the security or other asset, or factors that affect a particular issuer or issuers, exchange, country, group of countries, region, market, industry, group of industries, sector or asset class. Local, regional or global events such as war, acts of terrorism, the spread of infectious illnesses or other public health issues, recessions, natural disasters or other events could have a significant impact on a Fund and its investments.

Recently, the global pandemic outbreak of an infectious respiratory illness caused by a novel coronavirus known as COVID-19 has resulted in substantial market volatility and global business disruption, impacting the global economy and the financial health of individual companies in significant and unforeseen ways. The duration and future impact of COVID-19 are currently unknown, which may exacerbate other types of risks that apply to the Funds and negatively impact Fund performance.

 

8.

CONTRACTUAL OBLIGATIONS

In the normal course of business, the Funds may enter into contracts that provide general indemnifications. The Funds’ maximum exposure under these arrangements is dependent on claims that may be made against the Funds in the future, and, therefore, cannot be estimated; however, based on experience, the risk of material loss from such claims is considered remote.

 

9.

LINE OF CREDIT

The Trust participates in a $10,000,000 unsecured, committed revolving line of credit (“LOC”) agreement with BNYM, which was renewed effective April 1, 2021. The LOC is available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate of 1.25% per annum over the greater of the Federal Funds Rate or the one month London Interbank Offered Rate (“LIBOR”). The LOC includes a commitment fee of 0.20% per annum on the daily unused portion. Prior to April 1, 2021, the commitment fee was of 0.15% per annum on the daily unused portion. The LOC expires on March 31, 2022.

The Trust did not utilize the LOC during the year ended April 30, 2021.

 

10.

RECENT ACCOUNTING PRONOUNCEMENTS

In August 2018, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update 2018-13 (“ASU 2018-13”), which changes certain fair value measurement disclosure requirements. ASU 2018-13, in addition to other modifications and additions, removes the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, the policy for the timing of transfers between levels and the valuation process for Level fair value measurements. ASU 2018-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. As of April 30, 2021, ASU 2018-13 has been fully adopted and the implementation did not have a material impact on the Funds’ financial statements.

In March 2020, the FASB issued ASU No. 2020-04 (“ASU 2020-04”), Reference Rate Reform (Topic 848)—Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The amendments in ASU 2020-04 provides optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the LIBOR and other interbank-offered based reference rates as of the end of 2021. ASU 2020-04 is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2022. Management is currently evaluating the impact, if any, of applying ASU 2020-04.

 

11.

SUBSEQUENT EVENTS

Management has evaluated events and transactions for potential recognition or disclosure in the financial statements through the date the financial statements were issued. Management has determined that there are no material events that would require recognition or disclosure in the Funds’ financial statements through this date.

 

April 30, 2021 / ANNUAL REPORT

  68

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of Wilmington Funds and Shareholders of Wilmington International Fund, Wilmington Global Alpha Equities Fund, Wilmington Real Asset Fund and Wilmington Diversified Income Fund

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of Wilmington International Fund, Wilmington Global Alpha Equities Fund, Wilmington Real Asset Fund and Wilmington Diversified Income Fund (four of the funds constituting Wilmington Funds, hereafter collectively referred to as the “Funds”) as of April 30, 2021, the related statements of operations for the year ended April 30, 2021, the statements of changes in net assets for each of the two years in the period ended April 30, 2021, including the related notes, and the financial highlights for each of the two years in the period ended April 30, 2021 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2021, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2021 and each of the financial highlights for each of the two years in the period ended April 30, 2021 in conformity with accounting principles generally accepted in the United States of America.

The financial statements of the Funds as of and for the year ended April 30, 2019 and the financial highlights for each of the periods ended on or prior to April 30, 2019 (not presented herein, other than the financial highlights) were audited by other auditors whose report dated June 27, 2019 expressed unqualified opinions on those financial statements and financial highlights.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ 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 Funds 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 April 30, 2021 by correspondence with the custodians, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 24, 2021

We have served as the auditor of one or more investment companies in Wilmington Funds since 2019.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

69  

 

FEDERAL TAX INFORMATION (UNAUDITED)

Complete information regarding the tax status of distributions will be reported on Forms 1099.

Of the ordinary income (including short-term capital gain) distributions made by the Funds during the fiscal year ended April 30, 2021, the Funds designate the following percentages, or such greater percentages that constitute the maximum amount allowable pursuant to Code Sections Section 243 and 854(b)(2), as qualifying for the corporate dividends received deduction:

 

 
    Fund       

International Fund

      0.24 %     

Global Alpha Equities Fund

      75.99 %     

Real Asset Fund

      4.85 %     

Diversified Income Fund

      58.42 %     

For the fiscal year ended April 30, 2021, the Funds designate the following percentages of the ordinary income dividends, or such greater percentages that constitute the maximum amount allowable pursuant to Code Sections 1(h)(11) and 854(b)(2), as qualified dividend income which may be subject to a maximum rate of federal income tax of 20%:

 

 
    Fund       

International Fund

      72.76 %     

Global Alpha Equities Fund

      100.00 %     

Real Asset Fund

      22.80 %     

Diversified Income Fund

      67.69 %     

If the Funds meet the requirements of Section 853 of the Code, the Funds will pass through to shareholders credits of foreign taxes paid.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  70

 

BOARD OF TRUSTEES AND TRUST OFFICERS

The following tables give information about each Trustee and the senior officers of the Trust. The tables separately list Trustee members who are “interested persons” of the Fund (i.e., “Interested” Trustees) and those who are not (i.e., “Independent” Trustees). The Trust is comprised of 12 funds. Unless otherwise noted, the business address of each Trustee and senior officer is 1100 North Market Street, 9th Floor, Wilmington, DE 19890. Each Trustee oversees all portfolios of the Trust and serves for an indefinite term. The Trust’s Statement of Additional Information includes additional information about the Trustees and is available, without charge and upon request, by calling 1-800-836-2211.

INTERESTED TRUSTEES BACKGROUND

 

   

Name

Birth Year

Position with Trust

Date Service Began

 

   

Principal Occupations and Other Directorships Held  for Past Five Years

 

 

Dominick J. D’Eramo*

Birth year: 1964

    Principal Occupations: Senior Vice President, Wilmington Trust Investment Advisors, Inc. and Head of Fixed Income.
 

TRUSTEE

   

Previous Positions: Group Vice President, Wilmington Trust Investment Advisor, Inc. (WTIA)

 

Began serving: November 2018

 

PRESIDENT

    (2014-2017); Administrative Vice President, WTIA (2012-2014).
 

Began serving: June 2018

   

 

 

*

Dominick J. D’Eramo is “interested” due to his employment with WTIA and his position with WFMC, investment Advisors to the Funds.

INDEPENDENT TRUSTEES BACKGROUND

 

   

Name

Birth Year

Position with Trust

Date Service Began

 

   

Principal Occupations and Other Directorships Held  for Past Five Years

 

   

Nicholas A. Giordano

Birth year: 1943

CHAIRMAN and TRUSTEE

Began serving: March 2012

   

Principal Occupations: Consultant, financial services organizations (1997 to present).

 

Other Directorships Held: The RBB Fund Inc. (34 portfolios) (registered investment companies); Independence Blue Cross; IntriCon Corporation (body-worn products).

 

Previous Positions: Director, Kalmar Pooled Investment Trust (through 6/17).

 

   

Robert H. Arnold

Birth year: 1944

TRUSTEE

Began serving: March 2012

   

Principal Occupations: Managing Director, R.H. Arnold & Co, Inc. (financial management consulting) (6/89 to present).

 

Other Directorships Held: None.

 

Previous Positions: Trustee, First Potomac Realty Trust (real estate investment trust) (5/03 to 12/17); Director, Treasury Strategies, Inc. (private treasury consulting services) (6/01 to 6/16).

 

   

Gregory P. Chandler

Birth year: 1966

TRUSTEE

Began serving: July 2017

   

Principal Occupations: Chief Financial Officer, Avocado Systems, Inc. (cybersecurity software) (3/20 to present); President, GCVC Consulting (financial and corporate governance advisory) (2008 to present).

 

Other Directorships Held: Trustee, RBB Fund Series Trust (34 portfolios) (registered investment companies) (2012 to present); Trustee, FS Energy Partners (business development company) (2009 to present); Director, Emtec, Inc. (2005 to 2019); Director, FS Investment Corporation (business development company) (2007 to 2019);

 

Previous Positions: Chief Financial Officer, Emtec, Inc. (information technology services) (2009 to 2020); Managing Director, Janney Montgomery Scott LLC (investment banking) (1999 to 2009); Consulting Manager, PwC (1997 to 1999); Manager, Business Assurance, Coopers & Lybrand (audit services) (1995 – 1997).

 

 

ANNUAL REPORT / April 30, 2021 (unaudited)

71   BOARD OF TRUSTEES AND TRUST OFFICERS

 

   

Name

Birth Year

Position with Trust

Date Service Began

    Principal Occupations and Other Directorships Held for Past Five Years
 

Donald E. Foley

Birth year: 1951

TRUSTEE

Began serving: December 2015

   

Principal Occupations: Director, BioSig Technologies (2015 to present); Trustee, AXA Premier VIP Trust (2017 to present); Trustee, EQ Advisors Trust (2014 to present); Trustee, 1290 Funds (retail funds) (2014 to present); Chairman and Director, Burke Rehabilitation Hospital Foundation (private hospital, research institute) (2005 to present); Trustee and Chairman of the President’s Council, Union College (private college) (2011 to present); Chairman and Trustee, New Beginning Family Academy (elementary charter school) (2016 to present).

 

Other Directorships Held: Director, M&T Bank Corporation (commercial bank) (2011 to 2012); Chairman and Director, Wilmington Trust Corporation (commercial and trust bank) (2007 to 2011).

 

Previous Positions: Advisory Member, Trust and Investment Committee, M&T Bank, Wilmington Trust, National Association, and Wilmington Trust Company (through 2016); Chairman and Chief Executive Officer of Wilmington Trust Corporation (2010 to 2011).

     
   

Valerie J. Sill

Birth year: 1962

TRUSTEE

Began serving: April 2020

   

Principal Occupations: President, Chief Executive Officer and Chief Investment Officer, DuPont Capital Management (asset management) (2004 to present).

 

Other Directorships Held: Trustee, Longwood Gardens (2005 to present); Trustee of the Christiana Care Health System (2012 to present); and Advisory Counsel, Federal Reserve Bank of Philadelphia’s Economic Advisory Council (2010 to 2013).

 

Previous Positions: Executive Vice President at The Boston Company (1994 to 2004).

OFFICERS

 

   

Name

Birth Year

Positions with Trust

    Principal Occupations for Past Five Years and Previous Positions
 

John C. McDonnell

Birth year: 1966

CHIEF OPERATIONS OFFICER

Began serving: June 2017

VICE PRESIDENT

Began serving: June 2012

   

Principal Occupations: Chief Operations Officer, Wilmington Funds; Administrative Vice President, Wilmington Funds Management Corporation (2005 to present); Administrative Vice President, Wilmington Trust Investment Advisors, Inc. (2012 to present).

 

Previous Positions: Vice President, Wilmington Trust Investment Management, LLC (2005 to 2012).

     
   

Lisa Druelinger

Birth year: 1978

CHIEF COMPLIANCE OFFICER and AML

COMPLIANCE OFFICER.

Began serving: November 2017

   

Principal Occupations: Chief Compliance Officer and Anti-Money Laundering Officer, Wilmington Funds; Administrative Vice President, M&T Bank.

 

Previous Positions: Vice President and Senior Compliance Officer, Wilmington Trust Investment Advisors, Inc. (2015-2017); Wilmington Funds Product Manager, Wilmington Trust Investment Advisors, Inc. (2013-2015); Institutional and Retirement Services Product Manager, Wilmington Trust (2011-2013); Trust Compliance and Risk Management at M&T Bank (2006-2011).

     
   

John J. Kelley

Birth year: 1959

VICE PRESIDENT

Began serving: December 2016

   

Principal Occupations: President of Wilmington Funds Management Corporation; Group Vice President and Chief Administrative Officer, Wilmington Trust Investment Advisors, Inc.

 

Previous Positions: Vice President, BNY Mellon Investment Servicing (formerly, PNC Global Investment Servicing) from (1/05 to 7/05); Vice President of Administration, 1838 Investment Advisors, LP (1999 to 2005); Chief Compliance Officer, 1838 Investment Advisors, LP (2004 to 2005).

 

April 30, 2021 (unaudited) / ANNUAL REPORT

BOARD OF TRUSTEES AND TRUST OFFICERS   72

 

   

Name

Birth Year

Positions with Trust

    Principal Occupations for Past Five Years and Previous Positions
     
   

Robert L. Tuleya

Birth year: 1974

VICE PRESIDENT and ASSISTANT SECRETARY

Began serving: September 2018

   

Principal Occupations: Vice President and Assistant Secretary, Wilmington Funds; Vice President and Assistant Secretary, Wilmington Funds Management Corporation (2018 to present); Vice President and Assistant Secretary, Wilmington Trust Investment Advisors, Inc. (2018 to present); Vice President and Assistant Secretary, Wilmington Trust Investment Management, LLC (2018 to present); Vice President and Assistant General Counsel, M&T Bank (2018 to present).

 

Previous Positions: Vice President and Counsel, M&T Bank (2017 to 2018); Senior Counsel, PNC Bank (2014 to 2017).

     
   

Christopher W. Roleke

10 High Street, Suite 302

Boston, MA 02110

Birth year: 1972

CHIEF EXECUTIVE OFFICER

Began serving: October 2020

   

Principal Occupation: Managing Director and Fund Principal Financial Officer, Foreside Management Services, LLC (2011 to present).

 

Previous Positions: Assistant Vice President, JP Morgan Investor Services Co. (2006 to 2011).

     
   

Arthur W. Jasion

Three Canal Plaza, Suite 100

Portland, ME 04101

Birth year: 1965

CHIEF FINANCIAL OFFICER AND TREASURER

Began serving: October 2020

   

Principal Occupation: Senior Director and Fund Principal Financial Officer, Foreside Management Services, LLC (2020 to present).

 

Previous Positions: Partner, Ernst &Young LLP (2012 to 2020).

     
   

Lisa R. Grosswirth

240 Greenwich Street, 22nd Floor

New York, NY 10286

Birth year: 1963

SECRETARY

Began serving: September 2007

   

Principal Occupation: Vice President, BNY Mellon Asset Servicing (2004 to present).

 

Previous Positions: Supervisory Paralegal, The Dreyfus Corporation (1998 to 2004).

 

ANNUAL REPORT / April 30, 2021 (unaudited)

73  

 

Board Approval of Liquidity Risk Management Program

To promote effective liquidity risk management throughout the fund industry and to enhance disclosure regarding fund liquidity and redemption practices, the Securities and Exchange Commission (the “Commission”) adopted Rule 22e-4 under the Investment Company Act of 1940, as amended. The rule requires every registered open-end management company to establish a liquidity risk management program that, among other things, provides for the assessment, management and review of liquidity risk, the classification of a fund’s portfolio investments into one of four liquidity buckets based upon the number of days that such investments may reasonably be expected to be converted into cash or otherwise disposed of without significantly impacting their price, the establishment of a highly liquid investment minimum where required, and the establishment of a 15% limitation on illiquid investments. Additionally, the Commission adopted Rule 30b1-10 and Form N-LIQUID, which generally requires a fund to notify the Commission when certain liquidity-related events occur.

The Wilmington Funds Board of Trustees (the “Board”) approved the appointment of the Funds’ Liquidity Risk Management Committee (“Liquidity Committee”) as the administrator of the liquidity risk management program (the “LRMP”) for the Funds on September 6, 2018 and the Funds’ final LRMP on March 5, 2019. At the regular meeting of the Board on March 10, 2021, the Trust’s Chief Operations Officer, as a member of the Liquidity Committee, provided a report to the Board on the operation and effectiveness of the LRMP for the year of operation ending December 31, 2020. The Liquidity Committee managed liquidity risks associated with the Funds’ investments by monitoring cash and cash equivalents, the use of derivatives, the concentration of investments and the appropriateness of portfolio strategies for open-end funds, and by classifying each investment of a Fund as either highly liquid, moderately liquid, less liquid or illiquid on at least a monthly basis. To assist with the classification of each Fund’s investments, the Liquidity Committee utilized a third party provider of liquidity monitoring services. The Liquidity Committee supplied portfolio-level data and certain assumptions to the provider which then used the information to determine the liquidity classification of each security position held by the Funds. The liquidity classifications as of each month end were reviewed by the Liquidity Committee on at least a quarterly basis and would be reviewed more often if market conditions warranted. For assets managed by a third party sub-adviser the Liquidity Committee would take sub-adviser input into account where appropriate in determining the liquidity classifications.

The LRMP effectively managed the Funds’ liquidity risks for the twelve month period ended April 30, 2021. During this period, each Fund held more than 50% of its total net assets in highly liquid investments and due to the fact that each Fund is deemed to consist primarily of highly liquid investments, no highly liquid investment minimum was required to be established for any Fund. All Funds holding assets deemed to be illiquid were well under the illiquid investment limitation. Additionally, no events occurred that required the filing of Form N-LIQUID.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  74

 

 

 

Shares of the Wilmington Funds are not FDIC insured or otherwise protected by the U.S. government, are not deposits or other obligations of, or guaranteed by, Manufacturers and Traders Trust Company, and are subject to investment risks, including possible loss of the principal amount invested.

VOTING PROXIES ON FUND PORTFOLIO SECURITIES

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-836-2211. A report on how the Funds voted any such proxies during the most recent 12-month period ended June 30 is available through Wilmington Funds’ website. Go to www.wilmingtonfunds.com select “Proxy Voting Record” to access the link. This information is also available from the Edgar database on the SEC’s website at www.sec.gov.

QUARTERLY PORTFOLIO SCHEDULE

The Funds file a complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Form N-PORT is available on the SEC’s website at www.sec.gov.

Important information about the access and delivery of shareholder reports

Beginning on June 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of your Fund’s shareholder reports will no longer be sent to you by mail, unless you specifically request them. You will be notified by mail each time a report is posted on the Funds’ website and you will be provided with a link to access the report.

If you have already elected to receive shareholder reports electronically, you will not be affected by this change and you do not need to take any action. You may elect to receive other communications electronically from the Fund by contacting your financial intermediary or, if you hold shares directly with the Fund, by calling 1-800-836-2211.

You may elect to receive paper copies of all future shareholder reports free of charge. If you own these shares through a financial intermediary, you may contact your financial intermediary to elect to receive paper copies of your shareholder reports. If you are a direct investor you can inform the Wilmington Funds that you wish to continue receiving paper copies of your shareholder reports by contacting us at 1-800-836-2211. Your election to receive paper reports will apply to all funds held directly with Wilmington Funds and may apply to all funds held with your financial intermediary.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

75  

 

PRIVACY POLICY AND NOTICE

OF THE FUNDS AND THEIR DISTRIBUTOR

June 8, 2012

The Wilmington Funds, their distributor and their agents (referred to as “the Funds”, “we” or “us”) recognize that consumers (referred to as “you” or “your”) expect us to protect both your assets and financial information. We respect your right to privacy and your expectation that all personal information about you or your account will be maintained in a secure manner. We are committed to maintaining the confidentiality, security and integrity of client and shareholder information. We want you to understand the Funds’ policy that governs the handling of your information, how the Funds gather information, how that information is used and how it is kept secure.

Information The Funds Collect:

The Funds collect nonpublic personal information about you from the following sources:

 

  •  

We may receive information from you, or from your financial representative, on account applications, other forms or electronically (such as through the Funds’ website or other electronic trading mechanisms). Examples of this information include your name, address, social security number, assets and income.

 

  •  

We may receive information from you, or from your financial representative, through transactions with us or others, correspondence and other communications. Examples of this information include specific investments and your account balances.

 

  •  

We may obtain other personal information from you in connection with providing you a financial product or service. Examples of this information include depository, debit or credit account numbers.

Information Sharing Policy:

The Funds may share nonpublic personal information about you, as described above, with financial or non-financial companies or other entities, including companies that may be affiliated with the Funds and other nonaffiliated third parties, for the following purposes:

 

  •  

We may share information when it is necessary and required to process a transaction or to service a customer relationship. For example, information may be shared with a company that provides account record keeping services or a company that provides proxy services to shareholders.

 

  •  

We may share information when it is required or permitted by law. For example, information may be shared in response to a subpoena or to protect you against fraud or with someone who has established a legal beneficial interest, such as a power of attorney.

 

  •  

We may disclose some or all of the information described above to companies that perform marketing or other services on our behalf. For example, we may share information about you with the financial intermediary (bank, investment bank or broker-dealer) through whom you purchased the Funds’ products or services, or with providers of marketing, legal, accounting or other professional services. The Funds will not, however, disclose a consumer’s account number or similar form of access number or access code for credit card, deposit or transaction accounts to any nonaffiliated third party for use in telemarketing, direct mail or other marketing purposes.

Except as described above, the Funds do not share customer information. We will not rent, sell, trade, or otherwise release or disclose any personal information about you. Any information you provide to us is for the Funds’ use only. If you decide to close your account(s) or become an inactive customer, we will adhere to the privacy policies and practices as described in this notice.

Information Security:

When the Funds share nonpublic customer information with third parties hired to facilitate the delivery of certain products or services to our customers, such information is made available for limited purposes and under controlled circumstances designed to protect our customers’ privacy. We require third parties to comply with our standards regarding security and confidentiality of such information. We do not permit them to use that information for their own or any other purposes, or rent, sell, trade or otherwise release or disclose the information to any other party. These requirements are reflected in written agreements between the Funds and the third party service providers.

The Funds protect your personal information in several ways. We maintain physical, electronic, and procedural safeguards to guard your nonpublic personal information. In addition, the Funds’ Transfer Agent and Shareholder Servicing Agent have procedures in place for the appropriate disposal of nonpublic personal information when they are no longer required to maintain the information.

Each of the following sections explains an aspect of the Funds’ commitment to protecting your personal information and respecting your privacy.

Employee Access to Information:

Our Code of Ethics, which applies to all employees, restricts the use of customer information and requires that it be held in the strictest of confidence. Employee access to customer information is authorized for business purposes only, and the degree of access is based on the sensitivity of the information and on an employee’s or agent’s need to know the information in order to service a customer’s account or comply with legal requirements.

Visiting The Funds’ Website:

The Funds’ website gathers and maintains statistics about the number of visitors as well as what information is viewed most frequently. This information is used to improve the content and level of service we provide to our clients and shareholders.

 

  •  

Information or data entered into a website will be retained.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  76

 

  •  

Where registration to a website or re-entering personal information on a website is required, “cookies” are used to improve your online experience. A cookie is a way for websites to recognize whether or not you have visited the site before. It is a small file that is stored on your computer that identifies you each time you re-visit our site so you don’t have to resubmit personal information. Cookies provide faster access into the website.

 

  •  

We may also collect non-personally identifiable Internet Protocol (“IP”) addresses for all other visitors to monitor the number of visitors to the site. These non-personally identifiable IP addresses are never shared with any third party.

E-mail:

If you have opted to receive marketing information from the Funds by e-mail, it is our policy to include instructions in all marketing messages on how to unsubscribe from subsequent e-mail programs. Some products or services from the Funds are intended to be delivered and serviced electronically. E-mail communication may be utilized in such cases. If you participate in an employer-sponsored retirement plan administered by the Funds, we may, at your employer’s request, send you e-mail on matters pertaining to the retirement plan.

Please do not provide any account or personal information such as social security numbers, account numbers, or account balances within your e-mail correspondence to us. We cannot use e-mail to execute transaction instructions, provide personal account information, or change account registration. We can, however, use e-mail to provide you with the necessary forms or you may contact customer service toll-free at 1-800-836-2211.

Surveys/Aggregate Data:

Periodically, the Funds may conduct surveys about financial products and services or review elements of customer information in an effort to forecast future business needs. The Funds then generate reports that include aggregate data regarding its customers. Aggregate data classifies customer information in various ways but that does not identify individual customers. These reports may also include information on website traffic patterns and related information. These reports are used for the Funds’ planning, statistical and other corporate purposes. Aggregate data may also be shared with external parties, such as marketing organizations. However, no information is shared by which any individual customer could be identified.

Changes to Our Privacy Statement:

The effective date of this policy is June 8, 2012. We reserve the right to modify this policy at any time. When it is revised or materially changed, we will update the effective date. You can determine whether there have been changes since the last time you reviewed by simply checking the effective date.

Notice will be provided to you in advance of any changes that would affect your rights under this policy statement.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

LOGO

WILMINGTON FUNDS Investment Advisor Distributor Wilmington Funds Management Corp. ALPS Distributors, Inc. 1100 North Market Street 1290 Broadway, Suite 1100 9th Floor Denver, CO 80203 Wilmington, DE 19890 Fund Accountant, Co-Administrator, Transfer Agent Sub-Advisor and Dividend Disbursing Agent Wilmington Trust Investment Advisors, Inc. BNY Mellon Investment Servicing (U.S.) Inc. 1100 North Market Street 301 Bellevue Parkway 9th Floor Wilmington, DE 19809 Wilmington, DE 19890 Independent Registered Public Accounting Firm Additional Sub-Advisors to the PricewaterhouseCoopers LLP Wilmington International Fund Two Commerce Square Allianz Global Investors U.S. LLC 2001 Market Street, Suite 1800 1633 Broadway Philadelphia, PA 19103 New York, New York 10019 AXA Investment Managers, Inc. 100 West Putnam Avenue Greenwich, Connecticut 06830 Berenberg Asset Management LLC 1251 Avenue of the Americas, 53rd Floor New York, NY 10020 Nikko Asset Management Americas, Inc. 605 3rd Avenue, 38th Floor New York, New York 10158 Schroder Investment Management North America, Inc. 7 Bryant Park New York, New York 10018 Additional Sub-Advisors to the Wilmington Global Alpha Equities Fund Wellington Management Company LLP 280 Congress Street Boston, Massachusetts 02210 Additional Sub-Advisors to the Wilmington Real Asset Fund Parametric Portfolio Associates, LLC 800 Fifth Avenue, Suite 2800 Seattle, WA 98104 Co-Administrator Wilmington Funds Management Corp. 1100 North Market Street 9th Floor Wilmington, DE 19890 Custodian The Bank of New York Mellon 240 Greenwich Street New York, NY 10286 WT-AR-MMgr-0421 Wilmington Funds | 1-800-836-2211 | www.wilmingtonfunds.com We are pleased to send you this shareholder report for the Wilmington Funds. This report contains important information about your investments in the funds.

LOGO

LOGO

                                         Wilmington Large-Cap Strategy Fund (“Large-Cap Strategy Fund”)

LOGO

 

PRESIDENT’S MESSAGE

 

President’s Message

      i  

WILMINGTON FUND ANNUAL REPORT

 

Management’s Discussion of Fund Performance

      1  

Shareholder Expense Example

      3  

Portfolio of Investments

     4  

Statement of Assets and Liabilities

      17  

Statement of Operations

     18  

Statements of Changes in Net Assets

      19  

Financial Highlights

     20  

Notes to Financial Statements

     21  

Report of Independent Registered Public Accounting Firm

      27  

Federal Tax Information (unaudited)

     28  

Board of Trustees and Trust Officers

     29  

Liquidity Risk Management Disclosure

     32  

[This Page Intentionally Left Blank]

  i

 

PRESIDENT’S MESSAGE (unaudited)

Esteemed Shareholder:

I am pleased to present the Annual Report of the Wilmington Funds (the “Trust”), covering the Trust’s annual fiscal year of May 1, 2020, through April 30, 2021. Inside you will find a comprehensive review of the Trust’s holdings and financial statements.

The economy and financial markets in review

Wilmington Funds Management Corporation and Wilmington Trust Investment Advisors, Inc. (the Trust’s investment advisor and subadvisor, respectively), have provided the following review of the economy, bond markets, and stock markets for the Trust’s annual fiscal year.

The economy

The last year was one for the history books and captured both the worst of the COVID-19 pandemic’s impact on global output, as well as the early stages of recovery as vaccines and unprecedented volumes of fiscal and monetary stimulus helped the global economy get back on its feet. The U.S. began the period with one of the steepest quarterly declines on record in Q2 2020 as strict lockdown measures imposed to contain the virus abruptly brought in-person activity to a near halt.

The pace and magnitude of the economic rebound that followed was comparably profound as the approval and distribution of highly effective vaccines and rising COVID-19 vaccination rates across the world in 2021 provided investors with a much-needed light at the end of the tunnel. The federal government’s provision of direct checks to many Americans and extended unemployment benefits padded consumer savings, more than offsetting wages lost by low income consumers, and helped to fuel a robust rebound in spending on goods. Spending on services, which depends more on in person interaction, has still yet to recover to pre-pandemic levels but showed signs of picking up in 1Q 2021 as a growing number of states peeled back virus restrictions. The labor market recovered considerably in the period, as the unemployment rate dropped from 14.7% in April 2020, the highest observed since the Great Depression, to 6.1% one year later. The Federal Reserve (the “Fed”) upgraded its outlook for economic activity and inflation, but still guided for rates to remain near zero for years to come and for monthly purchases of treasuries and mortgage-backed securities to continue for the time being.

Economic activity outside the U.S. varied between regions depending on the success of virus containment and vaccination efforts. The eurozone was bogged down by weakness in the services sector for much of the period. Gross Domestic Product (“GDP”) growth contracted in the region for a second consecutive quarter in 1Q 2021 as many of the largest economies kept tight mobility restrictions in place in response to a resurgence of infections and the looming threat of new virus variants. However, notable strength on the industrial side of the economy provided some offset as manufacturing activity benefitted from strength in global goods demand. After a rocky start, vaccination efforts in many European countries began to accelerate in March and April of 2021 paving the way for renewed reopening efforts.

The virus remained a persistent threat for many developing economies, where vaccination campaigns broadly lagged the developed world by a substantial margin. Brazil and India in particular, emerged as virus epicenters in early 2021 after witnessing sharp spikes in infection rates, providing a grim reminder of the need for vaccination efforts to broaden in the emerging world. China was first in and first out of the COVID-19 pandemic after controlling infection rates more effectively and far earlier than most countries and was the only major economy to record positive GDP growth in 2020. Chinese manufacturing activity expanded at a feverish pace for much of the period, benefitting from goods exports and government investment. The services side of the economy lagged but began to narrow the gap later in the period as a brief rise in virus cases was brought under control.

Bond markets

Fixed income performance was mixed over the past year as spreads compressed materially across taxable and tax-exempt credit from extreme levels recorded in early 2020. However, rising long-term rates served as a headwind later in the period. The U.S. 10-year Treasury yield surged over 80 basis points1 in 1Q 2021 for its largest quarterly rise since 2016, buttressed by an improving growth outlook and expectations for higher inflation later in the year. Upward rate pressure weighed heavily on investment grade taxable bonds, as the Bloomberg Barclays U.S. Aggregate Bond Index suffered its worst quarter in several decades in 1Q, more than offsetting gains booked in much of 2020. In investment grade, tax-exempt held up better than taxable peers as strong demand for yield offset more muted new supply, helping to overshadow the rise in rates. Municipals also benefitted from the American Recovery Plan passed by the federal government in March 2021, which included $350 billion of funding for state and local governments. High-yield credit outperformed investment grade in both the taxable and tax-exempt spaces substantially as spreads continued to normalize from more elevated levels, and investors embraced riskier assets.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

ii  

 

For the 12-month period May 1, 2020 to April 30, 2021, certain Bloomberg Barclays indices performed as follows:2

 

    Bloomberg Barclays
    U.S. Treasury Bond
    Index3 		   Bloomberg Barclays
U.S. Aggregate
Bond Index4 		  Bloomberg Barclays
U.S. Credit Bond
Index5 		 

Bloomberg Barclays
Municipal

Bond  Index6

  Bloomberg Barclays    
U.S. Corporate High    
Yield Bond  Index7     
-4.32%    -0.27%   4.25%   7.75%   19.67%

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Equity markets

Global equities recorded historically strong performance over the past 12-months as concerns over the initial spread of COVID-19 gave way to optimism over the pace of subsequent recovery. After suffering a -33% market rout in February and March of 2020, the S&P 500 reclaimed its pre-pandemic peak by August of that year, marking the fastest bear market recovery on record. U.S. large cap outperformed from April through November as mega-cap growth stocks that benefitted most from the “stay- at- home” environment prevailed.

November brought an immense shift in leadership, as positive vaccine developments and growing optimism for a swifter return to normal fueled a powerful rotation into economically sensitive areas of the market. U.S. small-cap and value stocks, which carry a heavier weighting toward cyclical sectors, were notable beneficiaries of this trend.

Emerging market equities recorded solid gains in the reflationary environment but saw some weakness in February as certain regions struggled with new outbreaks of COVID-19. In addition, Chinese equities, which comprise a significant share of the MSCI Emerging Markets Index, were weighed down by a mix of regulatory headwinds and concerns over policy tightening. International developed equities also performed well and benefitted from a tilt toward segments that benefit most from rising interest rates and inflation. Equities in Europe picked up momentum towards the end of the period amidst an improving economic outlook for many of the region’s largest countries as vaccinations ramped up.

For the 12-month period May 1, 2020 to April 30, 2021, certain stock market indices performed as follows:

 

    S&P 500® Index8    Russel  2000®
Index9 		  MSCI EAFE (Net)
Index10 		  MSCI Emerging    
Markets (Net)    
Index11     
45.98%    74.91%   39.88%   48.71%

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Although we have begun a new fiscal year, we will never forget the daunting damage that the pandemic has wrought on multiple levels. Still, there is much in the world that is positive, hopeful, and strong. I am referring to our trusted partnership with our clients, our desire to stay close to what’s important to them, and our fervent dedication to helping them achieve their long-term investment objectives. On that—as well as our fiduciary, clients-first mindset—you can always count.

Sincerely,

 

LOGO

Dominick J. D’Eramo, CFA

President

May 14, 2021

 

April 30, 2021 (unaudited) / PRESIDENT’S MESSAGE

  iii

 

Must be preceded or accompanied by a prospectus.

Past performance is no guarantee of future results. The index performance quoted is for illustrative purposes only and is not representative of any specific investment. Diversification does not ensure a profit nor protect against loss.

All investments involve risk, including the possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. International investments are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility. These risks are magnified in emerging markets.

High-yield, lower-rated securities generally entail greater market, credit, and liquidity risks than investment grade securities and may include higher volatility and higher risk of default.

 

1.

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

 

2.

Bond prices are sensitive to changes in interest rates and a rise in interest rates can cause decline in their prices.

 

3.

Bloomberg Barclays U.S. Treasury Bond Index is a market capitalization weighted index that includes all publicly issued U.S. Treasury securities that have a remaining maturity of at least one year, are rated investment-grade, and have $250 million or more of outstanding face value. The index is unmanaged and investments cannot be made directly in an index.

 

4.

Bloomberg Barclays U.S. Aggregate Bond Index is a widely used benchmark index for the domestic investment-grade bond market composed of securities from the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index. The index typically includes fixed income securities with overall intermediate- to long-term average maturities. The index is unmanaged and investments cannot be made directly in an index.

 

5.

Bloomberg Barclays U.S. Credit Bond Index tracks the performance of domestic investment-grade corporate bonds and is composed of all publicly issued, fixed-rate, nonconvertible, investment-grade corporate debt. The index is unmanaged and investments cannot be made directly in an index.

 

6.

Bloomberg Barclays Municipal Bond Index tracks the performance of the long-term, tax-exempt, investment-grade bond market. To be included in the index, bonds must have an outstanding par balance of at least $7 million and be issued as part of a transaction of at least $75 million. The index is unmanaged and investments cannot be made directly in an index.

 

7.

Bloomberg Barclays U.S. Corporate High Yield Bond Index measures the USD-denominated, high yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody’s, Fitch, and S&P is Ba1/BB+/BB+ or below. Bonds from issuers with an emerging markets country of risk, based on the Bloomberg Barclays EM country definition, are excluded. The U.S. Corporate High Yield Bond Index is a component of the U.S. Universal and Global High Yield Indices. An investment cannot be made directly in an index.

 

8.

The S&P 500® Index is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index is unmanaged and investments cannot be made directly in an index.

 

9.

The Russell 2000® Index measures the performance of the 2,000 smallest companies in the Russell 3000® Index, which represents approximately 8% of the total market capitalization of the Russell 3000® Index. As of its latest reconstitution, the index had a total market capitalization range of $152.3 million to $5 billion. The index is unmanaged and investments cannot be made directly in an index.

 

10.

MSCI EAFE (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of developed markets, excluding the U.S. & Canada. The MSCI EAFE (Net) Index is an equity index which captures large and mid-cap representation across 21 Developed Markets countries: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the United Kingdom. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

11.

MSCI Emerging Markets (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of emerging markets. The MSCI Emerging Markets (Net) Index captures large and mid-cap representation across 27 Emerging Markets countries: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

1

 

WILMINGTON LARGE-CAP STRATEGY FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Large-Cap Strategy Fund (the “Fund”) had a total return of 49.12%* for Class I Shares, versus its benchmark, the Russell 1000 Index**, which had a total return of 49.48%.

The Fund underperformed by approximately 10 basis points versus the Russell 1000 gross of fees. The Fund has generally had a neutral view of the market last year, transitioning to an over-weighted cyclical position emphasizing financials, industrials, energy, and materials early in 2021. The slight underperformance was attributable to frictional cash and trading costs.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

**

The Russell 1000 Index measures the performance of the large-cap segment of the U.S. equity universe. It is subset of the Russell 3000 Index and includes approximately 1,000 of the largest securities based on a combination of their market cap and current index membership. The Index represents approximately 92% of the U.S. market and is constructed to provide a comprehensive and unbiased barometer for the large-cap segment and is completely reconstituted annually to ensure new and growing equities are reflected. The Russell 3000 Index measures the performance of the largest 3,000 U.S. companies representing approximately 98% of the investable U.S. equity market. Russell 1000 Growth Index measures the performance of those Russell 1000 companies with higher price-to-book ratios and higher forecasted growth values. Russell 1000 Value Index measures the performance of those Russell 1000 companies with lower price-to-book ratios and lower forecasted growth values.

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

2

 

WILMINGTON LARGE-CAP STRATEGY FUND

The graph below illustrates the hypothetical investment of $1,000,0001 in the Class I Shares of the Wilmington Large-Cap Strategy Fund from April 30, 2011 to April 30, 2021, compared to the Russell 1000® Index.2

 

LOGO

Performance data quoted represents past performance which is no guarantee of future results. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Mutual Funds are not obligations of or guaranteed by any bank and are not federally insured. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For current to the most recent month end performance, visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

 
         Average Annual Total Returns for the Periods Ended  4/30/21    
 
     1 Year       5 Years           10 Years    
   

        Class I^

    49.12%   17.79%   14.13%
   

        Russell 1000® Index2

    49.48%   17.76%   14.23%
^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 0.61% and 0.25%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

1 

Represents a hypothetical investment of $1,000,000 in Class I and assumes the reinvestment of all dividends and distributions.

2 

The Russell 1000® Index measures the performance of the 1,000 largest companies in the Russell 3000® Index, which represents approximately 92% of the total market capitalization of the Russell 3000® Index. Please note that an investor cannot invest directly in an index.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

3

 

SHAREHOLDER EXPENSE EXAMPLE (unaudited)

 

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; and redemption fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This Example is intended to help you to understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. It is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from November 1, 2020 to April 30, 2021.

Actual Expenses

This section of the following table provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred 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 result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses attributable to your investment during this period.

Hypothetical Example for Comparison Purposes

This section of the following table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratios and assumed rates of return of 5% per year before expenses, which are not the Fund’s actual returns. Thus, you should not use the hypothetical account values and expenses to estimate the actual ending account balance or your expenses for the period. Rather, these figures are required to be provided to enable you to compare the ongoing costs of investing in the Fund with other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the Annualized Net Expense Ratio section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

The Annualized Net Expense Ratios may be different from the net expense ratios in the Financial Highlights which are for the fiscal year ended April 30, 2021.

 

 

    

Beginning

Account Value

11/01/20

  

    

    

    

   

Ending

Account Value

4/30/21

  

    

    

    

   

Expenses Paid

During Period(1)

  

    

    

   

Annualized Net

Expense Ratio(2)

 

WILMINGTON LARGE-CAP STRATEGY FUND

                  

    Actual

                  

    Class I

    $1,000.00      $1,299.60      $1.43      0.25%

    Hypothetical (assuming a 5% return before expense)

                  

    Class I

    $1,000.00      $1,023.55      $1.25      0.25%

 

(1) 

Expenses are equal to the Fund’s annualized net expense ratios, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the most recent one-half year period).

 

(2) 

Expense ratio does not reflect the indirect expenses of the underlying funds in which the Fund invests.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

4

 

PORTFOLIO OF INVESTMENTS SUMMARY TABLE

Wilmington Large-Cap Strategy Fund

At April 30, 2021, the Fund’s sector classifications were as follows (unaudited):

 

    

Percentage of

Total Net Assets

  

Common Stocks

   

Information Technology

      26.5 % 

Health Care

      12.9 % 

Financials

      12.5 % 

Consumer Discretionary

      12.3 % 

Communication Services

      10.7 % 

Industrials

      9.7 % 

Consumer Staples

      4.6 % 

Materials

      3.0 % 

Energy

      2.7 % 

Real Estate

      2.7 % 

Utilities

      2.1 % 

Investment Companies

      0.3 % 

Warrants

      0.0 %(1) 

Rights

      0.0 %(1) 

Cash Collateral Invested for Securities on Loan(2)

     0.3 % 

Other Assets and Liabilities - Net(3)

     (0.3 )% 
  

 

 

  

TOTAL

      100.0 % 
  

 

 

  

 

(1) 

Represents less than 0.05%.

 

(2) 

Cash Collateral Invested for Securities on Loan include investments in repurchase agreements.

 

(3) 

Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

PORTFOLIO OF INVESTMENTS

April 30, 2021

 

  Description   

    Number of

Shares

                       Value  

COMMON STOCKS – 99.7%

      

COMMUNICATION SERVICES – 10.7%

      

DIVERSIFIED TELECOMMUNICATION SERVICES – 1.2%

 

   

AT&T, Inc.

      112,952      $ 3,547,822  

Lumen Technologies, Inc.

      16,385        210,220  

Verizon Communications, Inc.

      65,650        3,793,913  
     

 

 

  
      $ 7,551,955  

ENTERTAINMENT – 2.0%

      

Activision Blizzard, Inc.

      12,020        1,096,104  

Electronic Arts, Inc.

      4,510        640,781  

Liberty Media Corp. – Liberty Formula One, Class A*

      55        2,278  

Liberty Media Corp. – Liberty Formula One, Class C*

      3,085        144,810  

Lions Gate Entertainment Corp., Class A*,#

      1,000        14,470  

Lions Gate Entertainment Corp., Class B*

      2,400        30,240  

Live Nation Entertainment, Inc.*

      2,170        177,680  

Madison Square Garden Entertainment Corp.*

      329        29,811  

Madison Square Garden Sports Corp.*

      29        5,360  

Netflix, Inc.*

      6,700        3,440,249  

Roku, Inc.*

      1,700        583,049  
  Description   

    Number of

Shares

                      Value  

Spotify Technology SA*

      2,100      $ 529,452  

Take-Two Interactive Software, Inc.*

      1,750        306,915  

Walt Disney Co. (The)*

      28,433        5,289,107  

World Wrestling Entertainment, Inc., Class A#

     650        35,821  

Zynga, Inc., Class A*

      14,000        151,480  
     

 

 

  
      $ 12,477,607  

INTERACTIVE MEDIA & SERVICES – 5.9%

 

   

Alphabet, Inc., Class A*

      4,745        11,167,358  

Alphabet, Inc., Class C*

      4,579        11,035,939  

Facebook, Inc., Class A*

      37,780        12,281,522  

IAC/InterActiveCorp*

      1,150        291,491  

Match Group, Inc.*

      3,492        543,460  

Pinterest, Inc., Class A*

      6,293        417,666  

TripAdvisor, Inc.*

      1,600        75,408  

Twitter, Inc.*

      12,160        671,475  

Zillow Group, Inc., Class A*

      850        113,348  

Zillow Group, Inc., Class C*

      2,295        298,625  
     

 

 

  
      $ 36,896,292  

MEDIA – 1.4%

      

Altice USA, Inc., Class A*

      4,150        150,687  
 

 

ANNUAL REPORT / April 30, 2021

5    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Cable One, Inc.

      90      $ 161,100  

Charter Communications, Inc., Class A*

      2,252        1,516,609  

Comcast Corp., Class A

      71,800        4,031,570  

Discovery, Inc., Class A*,#

     2,200        82,852  

Discovery, Inc., Class C*

      4,900        158,319  

DISH Network Corp., Class A*

      3,946        176,741  

Fox Corp., Class A

      5,476        204,912  

Fox Corp., Class B

      2,300        83,674  

Interpublic Group of Cos., Inc. (The)

      6,218        197,421  

John Wiley & Sons, Inc., Class A

      200        11,388  

Liberty Broadband Corp., Class A*

      335        52,819  

Liberty Broadband Corp., Class C*

      2,468        401,593  

Liberty Media Corp. - Liberty SiriusXM, Class A*

      1,043        47,133  

Liberty Media Corp. - Liberty SiriusXM,

      

Class C*

      2,486        112,442  

New York Times Co. (The), Class A

      2,550        115,796  

News Corp., Class A

      5,907        154,734  

News Corp., Class B

      1,448        35,201  

Nexstar Media Group, Inc., Class A

      650        95,817  

Omnicom Group, Inc.

      3,240        266,522  

Sirius XM Holdings, Inc.#

     16,940        103,334  

ViacomCBS, Inc., Class B

      8,596        352,608  
     

 

 

  
      $ 8,513,272  

WIRELESS TELECOMMUNICATION SERVICES – 0.2%

 

   

Telephone & Data Systems, Inc.

      1,550        35,619  

T-Mobile US, Inc.*

      8,669        1,145,435  
     

 

 

  
      $ 1,181,054  
     

 

 

  

TOTAL COMMUNICATION SERVICES

       $ 66,620,180  

CONSUMER DISCRETIONARY – 12.3%

      

AUTO COMPONENTS – 0.2%

      

Aptiv PLC*

      4,250        611,533  

BorgWarner, Inc.

      3,680        178,774  

Gentex Corp.

      3,580        125,944  

Lear Corp.

      1,000        183,840  
     

 

 

  
      $ 1,100,091  

AUTOMOBILES – 1.7%

      

Ford Motor Co.*

      61,250        706,825  

General Motors Co.*

      19,750        1,130,095  

Harley-Davidson, Inc.

      2,270        109,800  

Tesla, Inc.*

      12,140        8,612,602  

Thor Industries, Inc.

      750        106,192  
     

 

 

  
      $ 10,665,514  

DISTRIBUTORS – 0.1%

      

Genuine Parts Co.

      2,120        264,936  

LKQ Corp.*

      4,618        215,707  

Pool Corp.

      600        253,512  
     

 

 

  
      $ 734,155  

DIVERSIFIED CONSUMER SERVICES – 0.1%

 

   

Bright Horizons Family Solutions, Inc.*

      883        127,885  

Chegg, Inc.*

      1,976        178,492  

frontdoor, Inc.*

      1,100        58,883  

Graham Holdings Co., Class B

      40        25,424  

Grand Canyon Education, Inc.*

      600        64,974  
  Description   

    Number of

Shares

                      Value  

H&R Block, Inc.

      2,500      $ 55,650  

Service Corp. International

      2,420        129,325  

Terminix Global Holdings, Inc.*

      2,318        117,963  
     

 

 

  
      $ 758,596  

HOTELS, RESTAURANTS & LEISURE – 2.1%

 

   

Aramark

      3,333        129,554  

Booking Holdings, Inc.*

      680        1,676,934  

Carnival Corp.*

      16,250        454,350  

Chipotle Mexican Grill, Inc.*

      450        671,413  

Choice Hotels International, Inc.*

      610        69,418  

Darden Restaurants, Inc.

      2,100        308,112  

Domino’s Pizza, Inc.

      600        253,404  

Expedia Group, Inc.*

      2,152        379,247  

Extended Stay America, Inc.

      2,600        51,714  

Hilton Worldwide Holdings, Inc.*

      4,403        566,666  

Hyatt Hotels Corp., Class A*

      550        45,282  

Las Vegas Sands Corp.*

      5,070        310,588  

Marriott International, Inc., Class A*

      4,186        621,705  

McDonald’s Corp.

      11,849        2,797,312  

MGM Resorts International

      7,310        297,663  

Norwegian Cruise Line Holdings Ltd.*,#

     5,250        163,013  

Planet Fitness, Inc., Class A*

      1,178        98,940  

Restaurant Brands International LP

      47        3,289  

Royal Caribbean Cruises Ltd.*

      3,030        263,458  

Six Flags Entertainment Corp.*

      1,100        51,678  

Starbucks Corp.

      18,590        2,128,369  

Travel + Leisure Co.

      1,160        74,855  

Vail Resorts, Inc.*

      628        204,200  

Wendy’s Co. (The)

      2,515        56,764  

Wyndham Hotels & Resorts, Inc.

      1,560        114,052  

Wynn Resorts Ltd.*

      1,568        201,331  

Yum China Holdings, Inc.

      6,300        396,396  

Yum! Brands, Inc.

      4,700        561,744  
     

 

 

  
      $ 12,951,451  

HOUSEHOLD DURABLES – 0.4%

      

DR Horton, Inc.

      5,220        513,074  

Garmin Ltd.

      2,290        314,279  

Leggett & Platt, Inc.

      2,070        102,817  

Lennar Corp., Class A

      4,410        456,876  

Lennar Corp., Class B

      26        2,095  

Mohawk Industries, Inc.*

      855        175,702  

Newell Brands, Inc.

      5,769        155,532  

NVR, Inc.*

      50        250,905  

PulteGroup, Inc.

      3,940        232,933  

Tempur Sealy International, Inc.

      2,900        110,606  

Toll Brothers, Inc.

      1,600        100,320  

Whirlpool Corp.

      935        221,081  
     

 

 

  
      $ 2,636,220  

INTERNET & DIRECT MARKETING RETAIL – 4.0%

 

   

Amazon.com, Inc.*

      6,710        23,266,388  

eBay, Inc.

      10,390        579,658  

Etsy, Inc.*

      1,850        367,762  

Grubhub, Inc.*

      1,410        95,936  

Qurate Retail, Inc., Class A

      5,900        70,210  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    6

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Wayfair, Inc., Class A*,#

     1,098      $ 324,536  
     

 

 

  
      $ 24,704,490  

LEISURE PRODUCTS – 0.2%

      

Brunswick Corp.

      1,100        117,843  

Hasbro, Inc.

      1,990        197,906  

Mattel, Inc.*

      5,050        108,373  

Peloton Interactive, Inc., Class A*

      4,000        393,400  

Polaris, Inc.

      900        126,027  
     

 

 

  
      $ 943,549  

MULTILINE RETAIL – 0.5%

      

Dollar General Corp.

      3,950        848,262  

Dollar Tree, Inc.*

      3,662        420,764  

Kohl’s Corp.

      2,410        141,371  

Nordstrom, Inc.*

      1,780        65,290  

Ollie’s Bargain Outlet Holdings, Inc.*

      873        80,552  

Target Corp.

      7,910        1,639,427  
     

 

 

  
      $ 3,195,666  

SPECIALTY RETAIL – 2.3%

      

Advance Auto Parts, Inc.

      1,050        210,168  

AutoNation, Inc.*

      830        85,058  

AutoZone, Inc.*

      360        527,083  

Best Buy Co., Inc.

      3,680        427,874  

Burlington Stores, Inc.*

      1,000        326,330  

CarMax, Inc.*

      2,600        346,424  

Carvana Co.*

      900        256,734  

Dick’s Sporting Goods, Inc.

      800        66,064  

Five Below, Inc.*

      878        176,715  

Floor & Decor Holdings, Inc., Class A*

      1,510        167,489  

Foot Locker, Inc.

      1,610        94,958  

Gap, Inc. (The)

      2,900        95,990  

Home Depot, Inc. (The)

      17,100        5,534,757  

L Brands, Inc.*

      3,610        237,899  

Leslie’s, Inc.*

      600        17,052  

Lowe’s Cos., Inc.

      11,800        2,315,750  

O’Reilly Automotive, Inc.*

      1,150        635,812  

Penske Automotive Group, Inc.

      400        35,076  

Ross Stores, Inc.

      5,490        718,861  

TJX Cos., Inc. (The)

      18,930        1,344,030  

Tractor Supply Co.

      1,750        330,050  

Ulta Beauty, Inc.*

      850        279,947  

Vroom, Inc.*,#

     1,350        62,465  

Williams-Sonoma, Inc.

      1,210        206,607  
     

 

 

  
      $ 14,499,193  

TEXTILES, APPAREL & LUXURY GOODS – 0.7%

 

   

Capri Holdings Ltd.*

      2,000        110,160  

Carter’s, Inc.*

      550        59,835  

Columbia Sportswear Co.

      318        34,665  

Hanesbrands, Inc.

      5,200        109,512  

Lululemon Athletica, Inc.*

      1,800        603,486  

NIKE, Inc., Class B

      19,540        2,591,395  

PVH Corp.*

      1,070        121,103  

Ralph Lauren Corp.*

      735        97,968  

Skechers USA, Inc., Class A*

      1,843        89,367  

Tapestry, Inc.*

      4,330        207,190  

Under Armour, Inc., Class A*

      2,428        59,025  
  Description   

    Number of

Shares

                      Value  

Under Armour, Inc., Class C*

      4,050      $ 80,635  

VF Corp.

      5,200        455,832  
     

 

 

  
      $ 4,620,173  
     

 

 

  

TOTAL CONSUMER DISCRETIONARY

       $ 76,809,098  

CONSUMER STAPLES – 4.6%

      

BEVERAGES – 1.1%

      

Boston Beer Co., Inc. (The), Class A*

      150        182,474  

Brown-Forman Corp., Class A

      700        49,945  

Brown-Forman Corp., Class B

      2,325        177,351  

Coca-Cola Co. (The)

      50,350        2,717,893  

Constellation Brands, Inc., Class A

      2,050        492,656  

Keurig Dr. Pepper, Inc.

      8,650        310,102  

Molson Coors Beverage Co., Class B*

      2,300        126,385  

Monster Beverage Corp.*

      4,800        465,840  

PepsiCo., Inc.

      18,050        2,602,088  
     

 

 

  
      $ 7,124,734  

FOOD & STAPLES RETAILING – 1.0%

      

Casey’s General Stores, Inc.

      535        118,872  

Costco Wholesale Corp.

      5,750        2,139,517  

Grocery Outlet Holding Corp.*

      1,100        44,429  

Kroger Co. (The)

      10,050        367,227  

Sprouts Farmers Market, Inc.*

      1,800        46,098  

Sysco Corp.

      6,300        533,799  

U.S. Foods Holding Corp.*

      2,850        118,161  

Walgreens Boots Alliance, Inc.

      9,400        499,140  

Walmart, Inc.

      18,000        2,518,380  
     

 

 

  
      $ 6,385,623  

FOOD PRODUCTS – 0.8%

      

Archer-Daniels-Midland Co.

      7,150        451,379  

Beyond Meat, Inc.*,#

     700        92,176  

Bunge Ltd.

      2,095        176,860  

Campbell Soup Co.

      2,500        119,375  

Conagra Brands, Inc.

      6,300        233,667  

Flowers Foods, Inc.

      2,800        67,088  

General Mills, Inc.

      7,850        477,751  

Hain Celestial Group, Inc. (The)*

      1,200        49,212  

Hershey Co. (The)

      1,900        312,170  

Hormel Foods Corp.

      3,600        166,320  

Ingredion, Inc.

      850        79,399  

J.M. Smucker Co. (The)

      1,400        183,386  

Kellogg Co.

      3,250        202,865  

Kraft Heinz Co. (The)

      8,350        344,771  

Lamb Weston Holdings, Inc.

      1,850        148,925  

McCormick & Co., Inc.

      3,200        289,152  

Mondelez International, Inc., Class A

      18,250        1,109,782  

Pilgrim’s Pride Corp.*

      550        13,178  

Post Holdings, Inc.*

      838        95,348  

TreeHouse Foods, Inc.*

      600        28,560  

Tyson Foods, Inc., Class A

      3,550        274,948  
     

 

 

  
      $ 4,916,312  

HOUSEHOLD PRODUCTS – 1.0%

      

Church & Dwight Co., Inc.

      3,200        274,368  

Clorox Co. (The)

      1,600        292,000  

Colgate-Palmolive Co.

      10,950        883,665  
 

 

ANNUAL REPORT / April 30, 2021

7    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Energizer Holdings, Inc.

      800      $ 39,440  

Kimberly-Clark Corp.

      4,400        586,608  

Procter & Gamble Co. (The)

      31,550        4,209,401  

Reynolds Consumer Products, Inc.

      500        14,660  

Spectrum Brands Holdings, Inc.

      500        44,070  
     

 

 

  
      $ 6,344,212  

PERSONAL PRODUCTS – 0.2%

      

Coty, Inc., Class A*

      3,140        31,431  

Estee Lauder Cos., Inc. (The), Class A

      2,950        925,710  

Herbalife Nutrition Ltd.*

      1,550        70,944  

Nu Skin Enterprises, Inc., Class A

      650        34,359  
     

 

 

  
      $ 1,062,444  

TOBACCO – 0.5%

      

Altria Group, Inc.

      24,100        1,150,775  

Philip Morris International, Inc.

      20,150        1,914,250  
     

 

 

  
      $ 3,065,025  
     

 

 

  

TOTAL CONSUMER STAPLES

       $ 28,898,350  

ENERGY – 2.7%

      

ENERGY EQUIPMENT & SERVICES – 0.2%

      

Baker Hughes Co.

      11,100        222,888  

ChampionX Corp.*

      80        1,681  

Halliburton Co.

      14,913        291,698  

Helmerich & Payne, Inc.

      1,710        43,827  

NOV, Inc.*

      6,398        95,650  

Schlumberger NV

      23,496        635,567  
     

 

 

  
      $ 1,291,311  

OIL, GAS & CONSUMABLE FUELS – 2.5%

      

Antero Midstream Corp.#

     4,200        36,288  

APA Corp.

      5,740        114,800  

Cabot Oil & Gas Corp.

      6,700        111,689  

Cheniere Energy, Inc.*

      3,930        304,654  

Chevron Corp.

      32,964        3,397,599  

Cimarex Energy Co.

      1,650        109,230  

ConocoPhillips

      23,078        1,180,209  

Continental Resources, Inc.*

      1,115        30,373  

Devon Energy Corp.

      9,386        219,445  

Diamondback Energy, Inc.

      2,647        216,339  

EOG Resources, Inc.

      9,880        727,563  

EQT Corp.*

      4,300        82,130  

Equitrans Midstream Corp.

      5,650        46,104  

Exxon Mobil Corp.

      72,143        4,129,465  

Hess Corp.

      4,640        345,726  

HollyFrontier Corp.

      2,190        76,650  

Kinder Morgan, Inc.

      32,905        561,030  

Marathon Oil Corp.

      12,850        144,691  

Marathon Petroleum Corp.

      10,850        603,803  

Murphy Oil Corp.

      1,550        26,242  

Occidental Petroleum Corp.

      14,110        357,830  

ONEOK, Inc.

      7,460        390,456  

Phillips 66

      7,390        597,925  

Pioneer Natural Resources Co.

      3,376        519,330  

Targa Resources Corp.

      3,800        131,822  

Valero Energy Corp.

      6,870        508,105  
  Description   

    Number of

Shares

                      Value  

Williams Cos., Inc. (The)

      20,520      $ 499,867  
     

 

 

  
      $ 15,469,365  
     

 

 

  

TOTAL ENERGY

       $ 16,760,676  

FINANCIALS – 12.5%

      

BANKS – 1.4%

      

Associated Banc-Corp

      3,085        67,531  

Bank of Hawaii Corp.

      670        60,896  

Bank OZK

      2,050        84,030  

BOK Financial Corp.

      620        54,523  

Citizens Financial Group, Inc.

      7,000        323,960  

Comerica, Inc.

      2,480        186,397  

Commerce Bancshares, Inc.

      1,950        151,729  

Cullen/Frost Bankers, Inc.

      990        118,859  

East West Bancorp, Inc.

      2,473        188,319  

Fifth Third Bancorp

      12,000        486,480  

First Citizens BancShares, Inc., Class A#

     100        86,746  

First Hawaiian, Inc.

      2,200        60,412  

First Horizon Corp.

      9,484        173,462  

First Republic Bank

      3,050        558,882  

FNB Corp.

      6,200        79,918  

Huntington Bancshares, Inc.

      16,541        253,408  

KeyCorp.

      16,594        361,085  

M&T Bank Corp.§

     1,610        253,881  

PacWest Bancorp

      2,039        88,513  

People’s United Financial, Inc.

      7,750        140,508  

Pinnacle Financial Partners, Inc.

      1,150        100,786  

PNC Financial Services Group, Inc. (The)

      7,310        1,366,604  

Popular, Inc.

      1,488        110,052  

Prosperity Bancshares, Inc.

      1,523        111,727  

Regions Financial Corp.

      16,456        358,741  

Signature Bank

      900        226,359  

Sterling Bancorp

      3,050        76,647  

SVB Financial Group*

      850        486,055  

Synovus Financial Corp.

      2,244        105,154  

TCF Financial Corp.

      2,433        110,750  

Truist Financial Corp.

      23,157        1,373,442  

Umpqua Holdings Corp.

      4,150        77,356  

Webster Financial Corp.

      1,550        82,011  

Western Alliance Bancorp

      1,695        178,094  

Wintrust Financial Corp.

      850        65,535  

Zions Bancorp NA

      2,840        158,472  
     

 

 

  
      $ 8,767,324  

CAPITAL MARKETS – 3.1%

      

Affiliated Managers Group, Inc.

      870        140,218  

Ameriprise Financial, Inc.

      2,040        527,136  

Apollo Global Management, Inc.

      3,012        166,774  

Ares Management Corp., Class A

      1,750        91,910  

Bank of New York Mellon Corp. (The)

      13,770        686,848  

BlackRock, Inc.

      2,560        2,097,408  

Carlyle Group, Inc. (The)

      2,050        87,453  

Cboe Global Markets, Inc.

      1,800        187,866  

Charles Schwab Corp. (The)

      23,655        1,665,312  

CME Group, Inc.

      6,050        1,222,039  

Evercore, Inc., Class A

      700        98,091  

FactSet Research Systems, Inc.

      590        198,370  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    8

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Franklin Resources, Inc.

      4,670      $ 140,100  

Goldman Sachs Group, Inc. (The)

      5,690        1,982,680  

Interactive Brokers Group, Inc., Class A

      1,248        89,257  

Intercontinental Exchange, Inc.

      9,490        1,117,068  

Invesco Ltd.

      6,820        184,140  

KKR & Co., Inc.

      9,284        525,289  

Lazard Ltd., Class A

      1,600        71,984  

LPL Financial Holdings, Inc.

      1,400        219,380  

MarketAxess Holdings, Inc.

      650        317,499  

Moody’s Corp.

      2,740        895,185  

Morgan Stanley

      24,026        1,983,346  

Morningstar, Inc.

      350        92,754  

MSCI, Inc.

      1,370        665,505  

Nasdaq, Inc.

      1,930        311,772  

Northern Trust Corp.

      3,280        373,264  

Raymond James Financial, Inc.

      2,110        275,946  

S&P Global, Inc.

      4,090        1,596,695  

SEI Investments Co.

      1,840        113,050  

State Street Corp.

      5,970        501,182  

T Rowe Price Group, Inc.

      3,880        695,296  

Tradeweb Markets, Inc., Class A

      1,400        113,792  

Virtu Financial, Inc., Class A

      900        26,667  
     

 

 

  
      $ 19,461,276  

CONSUMER FINANCE – 0.8%

      

Ally Financial, Inc.

      6,513        335,094  

American Express Co.

      11,240        1,723,654  

Capital One Financial Corp.

      7,800        1,162,824  

Credit Acceptance Corp.*,#

     200        78,958  

Discover Financial Services

      5,280        601,920  

LendingTree, Inc.*,#

     150        30,973  

OneMain Holdings, Inc.

      1,300        73,931  

Santander Consumer USA Holdings, Inc.

      1,250        42,425  

SLM Corp.

      6,710        131,919  

Synchrony Financial

      9,900        433,026  

Upstart Holdings, Inc.*,#

     200        21,804  
     

 

 

  
      $ 4,636,528  

DIVERSIFIED FINANCIAL SERVICES – 4.7%

 

   

Bank of America Corp.

      132,250        5,360,092  

Berkshire Hathaway, Inc., Class B*

      32,196        8,852,290  

Citigroup, Inc.

      35,982        2,563,358  

Equitable Holdings, Inc.

      6,943        237,659  

Jefferies Financial Group, Inc.

      3,748        121,847  

JPMorgan Chase & Co.

      51,870        7,978,125  

U.S. Bancorp

      23,470        1,392,944  

Voya Financial, Inc.

      2,080        141,066  

Wells Fargo & Co.

      64,675        2,913,609  
     

 

 

  
      $ 29,560,990  

INSURANCE – 2.4%

      

Aflac, Inc.

      11,850        636,700  

Alleghany Corp.*

      226        153,447  

Allstate Corp. (The)

      5,080        644,144  

American Financial Group, Inc.

      1,250        153,575  

American International Group, Inc.

      14,730        713,668  

American National Group, Inc.

      150        17,003  

Aon PLC, Class A

      3,950        993,188  
  Description   

    Number of

Shares

                      Value  

Arch Capital Group Ltd.*

      6,520      $ 258,909  

Arthur J. Gallagher & Co.

      3,280        475,436  

Assurant, Inc.

      980        152,488  

Assured Guaranty Ltd.

      1,550        78,818  

Athene Holding Ltd., Class A*

      1,660        99,052  

Axis Capital Holdings Ltd.

      1,280        71,424  

Brighthouse Financial, Inc.*

      1,550        72,525  

Brown & Brown, Inc.

      4,040        214,847  

Chubb Ltd.

      7,947        1,363,626  

Cincinnati Financial Corp.

      2,556        288,010  

CNA Financial Corp.

      500        23,465  

Erie Indemnity Co., Class A

      420        89,888  

Everest Re Group Ltd.

      620        171,709  

Fidelity National Financial, Inc.

      4,641        211,722  

First American Financial Corp.

      1,828        117,906  

Globe Life, Inc.

      1,943        199,138  

GoHealth, Inc., Class A*

      750        8,948  

Hanover Insurance Group, Inc. (The)

      600        82,986  

Hartford Financial Services Group, Inc. (The)

      6,240        411,590  

Kemper Corp.

      1,028        80,246  

Lemonade, Inc.*,#

     550        49,720  

Lincoln National Corp.

      3,458        221,762  

Loews Corp.

      4,450        248,087  

Markel Corp.*

      230        270,577  

Marsh & McLennan Cos., Inc.

      8,590        1,165,663  

Mercury General Corp.

      300        18,681  

MetLife, Inc.

      13,001        827,254  

Old Republic International Corp.

      4,518        111,233  

Primerica, Inc.

      623        99,537  

Principal Financial Group, Inc.

      4,540        289,970  

Progressive Corp. (The)

      9,880        995,311  

Prudential Financial, Inc.

      6,830        685,459  

Reinsurance Group of America, Inc.

      1,140        148,804  

RenaissanceRe Holdings Ltd.

      778        131,334  

Travelers Cos., Inc. (The)

      4,230        654,212  

Unum Group

      4,310        121,801  

W.R. Berkley Corp.

      2,370        188,936  

White Mountains Insurance Group Ltd.

      60        69,926  

Willis Towers Watson PLC

      2,250        582,435  
     

 

 

  
      $ 14,665,160  

MORTGAGE REAL ESTATE INVESTMENT TRUSTS (REITS) – 0.1%

 

   

AGNC Investment Corp.

      9,335        167,377  

Annaly Capital Management, Inc.

      24,030        218,192  

New Residential Investment Corp.

      7,050        75,576  

Starwood Property Trust, Inc.

      4,768        123,110  
     

 

 

  
      $ 584,255  

THRIFTS & MORTGAGE FINANCE – 0.0%**

     

MGIC Investment Corp.

      5,100        77,724  

New York Community Bancorp, Inc.

      7,783        93,084  

Rocket Cos., Inc., Class A

      1,900        42,655  

TFS Financial Corp.

      955        18,680  
     

 

 

  
      $ 232,143  
     

 

 

  

TOTAL FINANCIALS

       $ 77,907,676  
 

 

ANNUAL REPORT / April 30, 2021

9    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

HEALTH CARE – 12.9%

      

BIOTECHNOLOGY – 2.0%

      

AbbVie, Inc.

      27,711      $ 3,089,776  

ACADIA Pharmaceuticals, Inc.*

      1,650        33,924  

Acceleron Pharma, Inc.*

      800        99,976  

Agios Pharmaceuticals, Inc.*

      1,050        58,590  

Alexion Pharmaceuticals, Inc.*

      3,390        571,825  

Alkermes PLC*

      2,650        58,313  

Alnylam Pharmaceuticals, Inc.*

      1,850        260,184  

Amgen, Inc.

      9,164        2,196,061  

Biogen, Inc.*

      2,400        641,592  

BioMarin Pharmaceutical, Inc.*

      2,900        225,968  

Bluebird Bio, Inc.*

      1,100        33,000  

Exact Sciences Corp.*

      2,350        309,777  

Exelixis, Inc.*

      4,700        115,714  

Gilead Sciences, Inc.

      19,594        1,243,631  

Global Blood Therapeutics, Inc.*

      900        36,702  

Incyte Corp.*

      2,810        239,918  

Ionis Pharmaceuticals, Inc.*

      2,050        87,781  

Iovance Biotherapeutics, Inc.*

      2,050        64,452  

Moderna, Inc.*

      4,400        786,808  

Neurocrine Biosciences, Inc.*

      1,500        141,735  

Regeneron Pharmaceuticals, Inc.*

      1,500        721,950  

Sage Therapeutics, Inc.*

      800        63,008  

Sarepta Therapeutics, Inc.*

      1,115        78,987  

Seagen, Inc.*

      1,900        273,144  

United Therapeutics Corp.*

      640        128,998  

Vertex Pharmaceuticals, Inc.*

      4,043        882,183  
     

 

 

  
      $ 12,443,997  

HEALTH CARE EQUIPMENT & SUPPLIES – 3.5%

 

   

Abbott Laboratories

      27,145        3,259,572  

ABIOMED, Inc.*

      700        224,511  

Align Technology, Inc.*

      1,210        720,591  

Baxter International, Inc.

      7,880        675,237  

Becton Dickinson & Co.

      4,484        1,115,664  

Boston Scientific Corp.*

      22,500        981,000  

Cooper Cos., Inc. (The)

      750        308,167  

Danaher Corp.

      9,830        2,496,230  

DENTSPLY SIRONA, Inc.

      3,479        234,867  

DexCom, Inc.*

      1,450        559,845  

Edwards Lifesciences Corp.*

      9,766        932,848  

Envista Holdings Corp.*

      2,500        108,200  

Globus Medical, Inc., Class A*

      1,050        75,359  

Haemonetics Corp.*

      750        50,445  

Hill-Rom Holdings, Inc.

      1,110        122,344  

Hologic, Inc.*

      4,040        264,822  

ICU Medical, Inc.*

      300        62,481  

IDEXX Laboratories, Inc.*

      1,330        730,157  

Insulet Corp.*

      1,050        309,981  

Integra LifeSciences Holdings Corp.*

      1,048        77,636  

Intuitive Surgical, Inc.*

      1,850        1,600,250  

Masimo Corp.*

      800        186,136  

Medtronic PLC

      21,076        2,759,270  

Novocure Ltd.*,#

     1,600        326,560  

Penumbra, Inc.*

      500        152,995  

Quidel Corp.*

      568        59,521  
  Description   

    Number of

Shares

                      Value  

ResMed, Inc.

      2,270      $ 426,692  

STERIS PLC

      1,400        295,428  

Stryker Corp.

      5,500        1,444,465  

Tandem Diabetes Care, Inc.*

      900        82,710  

Teleflex, Inc.

      710        299,961  

West Pharmaceutical Services, Inc.

      1,150        377,798  

Zimmer Biomet Holdings, Inc.

      3,310        586,400  
     

 

 

  
      $ 21,908,143  

HEALTH CARE PROVIDERS & SERVICES – 2.6%

 

   

Acadia Healthcare Co., Inc.*

      1,250        76,150  

Amedisys, Inc.*

      500        134,925  

American Well Corp., Class A*,#

     600        9,234  

AmerisourceBergen Corp.

      2,370        286,296  

Anthem, Inc.

      3,910        1,483,415  

Cardinal Health, Inc.

      4,820        290,839  

Centene Corp.*

      8,930        551,338  

Chemed Corp.

      250        119,152  

Cigna Corp.

      5,592        1,392,464  

CVS Health Corp.

      20,571        1,571,624  

DaVita, Inc.*

      1,188        138,438  

Encompass Health Corp.

      1,480        125,593  

Guardant Health, Inc.*

      1,285        204,289  

HCA Healthcare, Inc.

      4,250        854,505  

Henry Schein, Inc.*

      2,270        164,575  

Humana, Inc.

      2,080        926,099  

Laboratory Corp. of America Holdings*

      1,557        413,960  

McKesson Corp.

      2,550        478,278  

Molina Healthcare, Inc.*

      900        229,590  

Premier, Inc., Class A

      1,700        60,095  

Quest Diagnostics, Inc.

      2,100        276,948  

UnitedHealth Group, Inc.

      14,870        5,930,156  

Universal Health Services, Inc., Class B

      1,180        175,124  
     

 

 

  
      $ 15,893,087  

HEALTH CARE TECHNOLOGY – 0.2%

      

Cerner Corp.

      4,940        370,747  

Change Healthcare, Inc.*

      3,600        82,620  

Teladoc Health, Inc.*

      1,677        289,031  

Veeva Systems, Inc., Class A*

      2,120        598,794  
     

 

 

  
      $ 1,341,192  

LIFE SCIENCES TOOLS & SERVICES – 1.3%

 

   

10X Genomics, Inc., Class A*

      900        178,020  

Adaptive Biotechnologies Corp.*

      1,150        47,840  

Agilent Technologies, Inc.

      4,890        653,500  

Avantor, Inc.*

      7,595        243,344  

Berkeley Lights, Inc.*

      150        7,367  

Bio-Rad Laboratories, Inc., Class A*

      340        214,244  

Bio-Techne Corp.

      600        256,494  

Bruker Corp.

      1,600        109,632  

Charles River Laboratories International, Inc.*

      820        272,609  

Illumina, Inc.*

      2,290        899,604  

IQVIA Holdings, Inc.*

      2,980        699,376  

Mettler-Toledo International, Inc.*

      370        485,928  

PerkinElmer, Inc.

      1,770        229,445  

PPD, Inc.*

      2,443        112,867  

PRA Health Sciences, Inc.*

      975        162,718  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    10

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

QIAGEN NV*

      3,250      $ 156,422  

Repligen Corp.*

      800        169,368  

Syneos Health, Inc.*

      1,150        97,577  

Thermo Fisher Scientific, Inc.

      6,220        2,924,831  

Waters Corp.*

      960        287,875  
     

 

 

  
      $ 8,209,061  

PHARMACEUTICALS – 3.3%

      

Bristol-Myers Squibb Co.

      35,526        2,217,533  

Catalent, Inc.*

      2,550        286,799  

Elanco Animal Health, Inc.*

      7,150        226,727  

Eli Lilly & Co.

      13,230        2,418,047  

Horizon Therapeutics PLC*

      3,200        302,784  

Jazz Pharmaceuticals PLC*

      860        141,384  

Johnson & Johnson

      41,550        6,761,431  

Merck & Co., Inc.

      39,666        2,955,117  

Nektar Therapeutics*

      2,900        56,869  

Perrigo Co. PLC

      1,808        75,267  

Pfizer, Inc.

      87,353        3,376,193  

Reata Pharmaceuticals, Inc., Class A*

      400        40,560  

Royalty Pharma PLC, Class A

      4,950        217,800  

Viatris, Inc.*

      18,255        242,792  

Zoetis, Inc.

      7,481        1,294,437  
     

 

 

  
      $ 20,613,740  
     

 

 

  

TOTAL HEALTH CARE

       $ 80,409,220  

INDUSTRIALS – 9.7%

      

AEROSPACE & DEFENSE – 1.7%

      

Axon Enterprise, Inc.*

      1,000        151,610  

Boeing Co. (The)*

      8,790        2,059,585  

BWX Technologies, Inc.

      1,505        100,715  

Curtiss-Wright Corp.

      715        91,448  

General Dynamics Corp.

      4,230        804,673  

HEICO Corp.

      750        105,600  

HEICO Corp., Class A

      1,302        164,417  

Hexcel Corp.*

      1,350        76,153  

Howmet Aerospace, Inc.*

      6,316        201,859  

Huntington Ingalls Industries, Inc.

      645        136,946  

L3Harris Technologies, Inc.

      3,482        728,539  

Lockheed Martin Corp.

      4,150        1,579,324  

Mercury Systems, Inc.*

      850        63,954  

Northrop Grumman Corp.

      2,620        928,633  

Raytheon Technologies Corp.

      23,904        1,989,769  

Spirit AeroSystems Holdings, Inc., Class A

      1,690        77,216  

Teledyne Technologies, Inc.*

      600        268,650  

Textron, Inc.

      3,653        234,669  

TransDigm Group, Inc.*

      890        546,229  

Virgin Galactic Holdings, Inc.*,#

     1,150        25,472  
     

 

 

  
      $ 10,335,461  

AIR FREIGHT & LOGISTICS – 0.7%

      

C.H. Robinson Worldwide, Inc.

      2,184        212,023  

Expeditors International of Washington, Inc.

      2,730        299,918  

FedEx Corp.

      4,060        1,178,658  

United Parcel Service, Inc., Class B

      12,030        2,452,436  

XPO Logistics, Inc.*

      1,450        201,724  
     

 

 

  
      $ 4,344,759  
  Description   

    Number of

Shares

                      Value  

AIRLINES – 0.3%

      

Alaska Air Group, Inc.*

      1,875      $ 129,638  

American Airlines Group, Inc.*,#

     9,643        209,446  

Copa Holdings SA, Class A*

      400        34,600  

Delta Air Lines, Inc.*

      10,490        492,191  

JetBlue Airways Corp.*

      4,850        98,746  

Southwest Airlines Co.*

      9,730        610,849  

United Airlines Holdings, Inc.*

      4,883        265,635  
     

 

 

  
      $ 1,841,105  

BUILDING PRODUCTS – 0.6%

      

A.O. Smith Corp.

      2,100        142,275  

Allegion PLC

      1,433        192,567  

Armstrong World Industries, Inc.

      778        80,640  

AZEK Co., Inc. (The)*

      1,150        55,522  

Carrier Global Corp.

      14,550        634,089  

Fortune Brands Home & Security, Inc.

      2,260        237,255  

Johnson Controls International PLC

      12,031        750,012  

Lennox International, Inc.

      600        201,204  

Masco Corp.

      4,630        295,764  

Owens Corning

      1,648        159,543  

Trane Technologies PLC

      3,950        686,628  

Trex Co., Inc.*

      1,894        204,533  
     

 

 

  
      $ 3,640,032  

COMMERCIAL SERVICES & SUPPLIES – 0.4%

 

   

ADT, Inc.

      2,560        23,552  

Cintas Corp.

      1,420        490,099  

Clean Harbors, Inc.*

      850        75,616  

Copart, Inc.*

      3,300        410,883  

IAA, Inc.*

      2,268        142,453  

MSA Safety, Inc.

      550        88,418  

Republic Services, Inc.

      3,390        360,357  

Rollins, Inc.

      3,450        128,616  

Stericycle, Inc.*

      1,485        113,276  

Waste Management, Inc.

      7,040        971,308  
     

 

 

  
      $ 2,804,578  

CONSTRUCTION & ENGINEERING – 0.1%

      

AECOM*

      2,525        167,736  

Quanta Services, Inc.

      2,238        216,280  

Valmont Industries, Inc.

      310        76,524  
     

 

 

  
      $ 460,540  

ELECTRICAL EQUIPMENT – 0.6%

      

Acuity Brands, Inc.

      650        120,588  

AMETEK, Inc.

      3,710        500,590  

Array Technologies, Inc.*

      1,500        42,240  

Eaton Corp. PLC

      6,628        947,340  

Emerson Electric Co.

      9,890        894,946  

Generac Holdings, Inc.*

      997        322,978  

GrafTech International Ltd.

      1,950        24,804  

Hubbell, Inc.

      890        170,889  

nVent Electric PLC

      3,266        99,450  

Regal Beloit Corp.

      600        86,658  

Rockwell Automation, Inc.

      1,870        494,166  

Sensata Technologies Holding PLC*

      2,398        138,461  
 

 

ANNUAL REPORT / April 30, 2021

11    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Vertiv Holdings Co.

      3,750      $ 85,125  
     

 

 

  
      $ 3,928,235  

INDUSTRIAL CONGLOMERATES – 1.2%

      

3M Co.

      9,460        1,864,944  

Carlisle Cos., Inc.

      890        170,569  

General Electric Co.

      143,770        1,886,262  

Honeywell International, Inc.

      11,820        2,636,333  

Roper Technologies, Inc.

      1,700        758,948  
     

 

 

  
      $ 7,317,056  

MACHINERY – 1.9%

      

AGCO Corp.

      995        145,190  

Allison Transmission Holdings, Inc.

      1,850        76,720  

Caterpillar, Inc.

      9,050        2,064,395  

Colfax Corp.*

      1,650        74,564  

Crane Co.

      900        84,654  

Cummins, Inc.

      2,430        612,457  

Deere & Co.

      4,640        1,720,744  

Donaldson Co., Inc.

      2,260        142,109  

Dover Corp.

      2,360        352,088  

Flowserve Corp.

      2,148        85,147  

Fortive Corp.

      4,940        349,851  

Gates Industrial Corp. PLC*

      1,200        20,700  

Graco, Inc.

      2,720        208,896  

IDEX Corp.

      1,220        273,524  

Illinois Tool Works, Inc.

      5,250        1,209,915  

Ingersoll Rand, Inc.*

      5,644        278,870  

ITT, Inc.

      1,485        140,050  

Lincoln Electric Holdings, Inc.

      900        115,245  

Middleby Corp. (The)*

      850        154,122  

Nordson Corp.

      950        200,839  

Oshkosh Corp.

      1,090        135,629  

Otis Worldwide Corp.

      6,675        519,782  

PACCAR, Inc.

      5,590        502,429  

Parker-Hannifin Corp.

      2,160        677,830  

Pentair PLC

      2,564        165,404  

Snap-on, Inc.

      880        209,088  

Stanley Black & Decker, Inc.

      2,520        521,060  

Timken Co. (The)

      1,000        83,870  

Toro Co. (The)

      1,730        198,258  

Trinity Industries, Inc.

      1,600        44,224  

Westinghouse Air Brake Technologies Corp.

      3,065        251,545  

Woodward, Inc.

      875        109,384  

Xylem, Inc.

      2,910        321,991  
     

 

 

  
      $ 12,050,574  

MARINE – 0.0%**

     

Kirby Corp.*

      1,000        63,700  

PROFESSIONAL SERVICES – 0.6%

      

Booz Allen Hamilton Holding Corp.

      2,050        170,048  

CACI International, Inc., Class A*

      353        89,966  

CoreLogic, Inc.

      1,300        103,610  

CoStar Group, Inc.*

      650        555,379  

Dun & Bradstreet Holdings, Inc.*

      1,600        38,016  

Equifax, Inc.

      1,960        449,291  

FTI Consulting, Inc.*

      500        69,425  

IHS Markit Ltd.

      6,587        708,629  
  Description   

    Number of

Shares

                      Value  

Jacobs Engineering Group, Inc.

      2,000      $ 267,220  

Leidos Holdings, Inc.

      2,200        222,816  

ManpowerGroup, Inc.

      1,010        122,099  

Nielsen Holdings PLC

      5,600        143,640  

Robert Half International, Inc.

      1,848        161,903  

Science Applications International Corp.

      800        71,536  

TransUnion

      3,100        324,229  

Verisk Analytics, Inc.

      2,550        479,910  
     

 

 

  
      $ 3,977,717  

ROAD & RAIL – 1.3%

      

AMERCO

      163        97,251  

CSX Corp.

      12,750        1,284,562  

JB Hunt Transport Services, Inc.

      1,430        244,115  

Kansas City Southern

      1,480        432,471  

Knight-Swift Transportation Holdings, Inc.

      2,085        98,245  

Landstar System, Inc.

      590        101,645  

Lyft, Inc., Class A*

      4,050        225,423  

Norfolk Southern Corp.

      4,260        1,189,562  

Old Dominion Freight Line, Inc.

      1,550        399,606  

Ryder System, Inc.

      1,090        87,026  

Schneider National, Inc., Class B

      923        22,364  

Uber Technologies, Inc.*

      22,650        1,240,541  

Union Pacific Corp.

      11,220        2,491,850  
     

 

 

  
      $ 7,914,661  

TRADING COMPANIES & DISTRIBUTORS – 0.3%

 

   

Air Lease Corp.

      1,700        79,407  

Fastenal Co.

      9,340        488,295  

MSC Industrial Direct Co., Inc., Class A

      940        84,750  

United Rentals, Inc.*

      1,170        374,342  

Univar Solutions, Inc.*

      2,700        63,045  

Watsco, Inc.

      550        161,073  

WW Grainger, Inc.

      740        320,820  
     

 

 

  
      $ 1,571,732  

TRANSPORTATION INFRASTRUCTURE – 0.0%**

 

   

Macquarie Infrastructure Corp.

      1,400        46,634  
     

 

 

  

TOTAL INDUSTRIALS

       $ 60,296,784  

INFORMATION TECHNOLOGY – 26.5%

      

COMMUNICATIONS EQUIPMENT – 0.8%

      

Arista Networks, Inc.*

      900        283,653  

Ciena Corp.*

      2,423        122,289  

Cisco Systems, Inc.

      66,850        3,403,333  

CommScope Holding Co., Inc.*

      3,000        49,350  

EchoStar Corp., Class A*

      170        4,156  

F5 Networks, Inc.*

      963        179,850  

Juniper Networks, Inc.

      4,640        117,810  

Lumentum Holdings, Inc.*

      1,200        102,060  

Motorola Solutions, Inc.

      2,630        495,229  

Ubiquiti, Inc.

      100        28,533  

Viasat, Inc.*,#

     800        41,432  
     

 

 

  
      $ 4,827,695  

ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS – 0.6%

 

Amphenol Corp., Class A

      9,400        632,996  

Arrow Electronics, Inc.*

      1,085        123,766  

Avnet, Inc.

      1,400        61,488  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    12

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

CDW Corp.

      2,290      $ 408,376  

Cognex Corp.

      2,700        232,524  

Coherent, Inc.*

      350        90,997  

Corning, Inc.

      11,920        526,983  

Dolby Laboratories, Inc., Class A

      990        100,455  

FLIR Systems, Inc.

      2,000        119,940  

IPG Photonics Corp.*

      550        119,411  

Jabil, Inc.

      2,158        113,122  

Keysight Technologies, Inc.*

      2,900        418,615  

Littelfuse, Inc.

      393        104,239  

National Instruments Corp.

      2,020        83,648  

SYNNEX Corp.

      543        65,812  

Trimble, Inc.*

      3,980        326,360  

Vontier Corp.*

      2,056        64,435  

Zebra Technologies Corp., Class A*

      800        390,192  
     

 

 

  
      $ 3,983,359  

IT SERVICES – 5.5%

      

Accenture PLC, Class A

      10,100        2,928,697  

Akamai Technologies, Inc.*

      2,500        271,750  

Alliance Data Systems Corp.

      590        69,532  

Amdocs Ltd.

      1,920        147,341  

Automatic Data Processing, Inc.

      6,730        1,258,443  

BigCommerce Holdings, Inc.*

      450        26,973  

Black Knight, Inc.*

      2,337        169,246  

Broadridge Financial Solutions, Inc.

      1,830        290,293  

Cognizant Technology Solutions Corp., Class A

      8,410        676,164  

Concentrix Corp.*

      693        107,678  

DXC Technology Co.*

      3,526        116,041  

EPAM Systems, Inc.*

      850        389,087  

Euronet Worldwide, Inc.*

      765        109,724  

Fastly, Inc., Class A*,#

     1,200        76,644  

Fidelity National Information Services, Inc.

      9,700        1,483,130  

Fiserv, Inc.*

      8,960        1,076,275  

FleetCor Technologies, Inc.*

      1,300        374,036  

Gartner, Inc.*

      1,400        274,232  

Genpact Ltd.

      2,645        125,717  

Global Payments, Inc.

      4,663        1,000,820  

Globant SA*

      700        160,426  

GoDaddy, Inc., Class A*

      2,650        230,073  

International Business Machines Corp.

      13,960        1,980,645  

Jack Henry & Associates, Inc.

      1,150        187,255  

Mastercard, Inc., Class A

      13,970        5,337,378  

MongoDB, Inc.*

      815        242,430  

Okta, Inc.*

      1,800        485,460  

Paychex, Inc.

      4,920        479,651  

PayPal Holdings, Inc.*

      18,615        4,882,528  

Sabre Corp.*,#

     4,050        60,669  

Square, Inc., Class A*

      5,800        1,419,956  

StoneCo Ltd., Class A*

      3,000        193,920  

Switch, Inc., Class A

      800        14,856  

Twilio, Inc., Class A*

      2,250        827,550  

VeriSign, Inc.*

      1,550        339,093  

Visa, Inc., Class A

      26,620        6,217,367  

Western Union Co. (The)

      5,840        150,438  

WEX, Inc.*

      715        146,725  
     

 

 

  
      $ 34,328,243  
  Description   

    Number of

Shares

                      Value  

SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT – 4.9%

 

Advanced Micro Devices, Inc.*

      18,750      $ 1,530,375  

Allegro MicroSystems, Inc.*

      350        8,638  

Analog Devices, Inc.

      5,752        880,976  

Applied Materials, Inc.

      14,430        1,915,005  

Broadcom, Inc.

      6,233        2,843,495  

Cirrus Logic, Inc.*

      850        63,249  

Cree, Inc.*

      1,775        176,471  

Enphase Energy, Inc.*

      1,650        229,763  

Entegris, Inc.

      2,100        236,418  

First Solar, Inc.*

      1,350        103,316  

Intel Corp.

      64,670        3,720,465  

KLA Corp.

      2,450        772,607  

Lam Research Corp.

      2,280        1,414,626  

Marvell Technology, Inc.

      12,811        579,185  

Maxim Integrated Products, Inc.

      4,270        401,380  

Microchip Technology, Inc.

      3,889        584,478  

Micron Technology, Inc.*

      17,550        1,510,528  

MKS Instruments, Inc.

      883        158,154  

Monolithic Power Systems, Inc.

      680        245,738  

NVIDIA Corp.

      9,330        5,601,545  

ON Semiconductor Corp.*

      6,378        248,742  

Qorvo, Inc.*

      1,750        329,298  

QUALCOMM, Inc.

      17,680        2,453,984  

Skyworks Solutions, Inc.

      2,650        480,524  

SolarEdge Technologies, Inc.*

      775        204,244  

Teradyne, Inc.

      2,650        331,462  

Texas Instruments, Inc.

      14,450        2,608,369  

Universal Display Corp.

      700        156,583  

Xilinx, Inc.

      3,850        492,646  
     

 

 

  
      $ 30,282,264  

SOFTWARE – 9.1%

      

2U, Inc.*,#

     1,000        39,250  

Adobe, Inc.*

      7,610        3,868,467  

Alteryx, Inc., Class A*

      850        69,488  

Anaplan, Inc.*

      2,068        123,356  

ANSYS, Inc.*

      1,330        486,328  

Aspen Technology, Inc.*

      1,093        143,008  

Atlassian Corp. PLC, Class A*

      2,000        475,120  

Autodesk, Inc.*

      3,430        1,001,251  

Avalara, Inc.*

      1,333        188,899  

Bill.com Holdings, Inc.*

      1,150        177,825  

Cadence Design Systems, Inc.*

      4,360        574,517  

CDK Global, Inc.

      1,926        103,214  

Ceridian HCM Holding, Inc.*

      1,775        167,702  

Citrix Systems, Inc.

      1,890        234,076  

Cloudflare, Inc., Class A*

      1,650        139,821  

Coupa Software, Inc.*

      1,100        295,944  

Crowdstrike Holdings, Inc., Class A*

      2,369        493,960  

Datadog, Inc., Class A*

      2,348        201,388  

DocuSign, Inc.*

      2,850        635,379  

Dropbox, Inc., Class A*

      3,600        92,520  

Duck Creek Technologies, Inc.*,#

     850        35,343  

Dynatrace, Inc.*

      2,773        144,307  

Elastic NV*

      1,050        126,651  

Everbridge, Inc.*

      550        72,991  

Fair Isaac Corp.*

      500        260,705  
 

 

ANNUAL REPORT / April 30, 2021

13    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

FireEye, Inc.*

      3,450      $ 68,569  

Five9, Inc.*

      943        177,256  

Fortinet, Inc.*

      2,100        428,883  

Guidewire Software, Inc.*

      1,300        137,163  

HubSpot, Inc.*

      653        343,772  

Intuit, Inc.

      3,950        1,628,032  

Jamf Holding Corp.*

      350        12,782  

Manhattan Associates, Inc.*

      973        133,535  

Medallia, Inc.*

      1,400        41,286  

Microsoft Corp.

      117,049        29,517,417  

nCino, Inc.*

      550        35,965  

New Relic, Inc.*

      800        51,440  

NortonLifeLock, Inc.

      7,970        172,232  

Nuance Communications, Inc.*

      4,355        231,555  

Nutanix, Inc., Class A*

      2,950        79,768  

Oracle Corp.

      29,610        2,244,142  

PagerDuty, Inc.*

      1,050        44,583  

Palo Alto Networks, Inc.*

      1,490        526,551  

Paycom Software, Inc.*

      750        288,307  

Paylocity Holding Corp.*

      575        111,113  

Pegasystems, Inc.

      620        78,703  

Proofpoint, Inc.*

      853        146,810  

PTC, Inc.*

      1,700        222,598  

RingCentral, Inc., Class A*

      1,250        398,687  

salesforce.com, Inc.*

      13,834        3,186,247  

ServiceNow, Inc.*

      3,050        1,544,428  

Slack Technologies, Inc., Class A*

      7,506        318,254  

Smartsheet, Inc., Class A*

      1,705        101,107  

SolarWinds Corp.*

      873        14,719  

Splunk, Inc.*

      2,550        322,371  

SS&C Technologies Holdings, Inc.

      3,500        259,770  

Synopsys, Inc.*

      2,400        592,944  

Teradata Corp.*

      1,320        65,300  

Trade Desk, Inc. (The), Class A*

      650        474,051  

Tyler Technologies, Inc.*

      600        254,916  

Unity Software, Inc.*,#

     400        40,632  

VMware, Inc., Class A*,#

     1,310        210,687  

Workday, Inc., Class A*

      2,800        691,600  

Zendesk, Inc.*

      1,865        272,570  

Zoom Video Communications, Inc., Class A*

      2,738        874,983  

Zscaler, Inc.*

      1,150        215,786  
     

 

 

  
      $ 56,713,024  

TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS – 5.6%

 

   

Apple, Inc.

      248,290        32,640,203  

Dell Technologies, Inc., Class C*

      4,069        400,105  

Hewlett Packard Enterprise Co.

      19,390        310,628  

HP, Inc.

      21,490        733,024  

NCR Corp.*

      1,870        85,552  

NetApp, Inc.

      3,553        265,374  

Pure Storage, Inc., Class A*

      3,845        77,746  

Western Digital Corp.*

      4,633        327,229  

Xerox Holdings Corp.

      2,350        56,729  
     

 

 

  
      $ 34,896,590  
     

 

 

  

TOTAL INFORMATION TECHNOLOGY

       $ 165,031,175  
  Description   

    Number of

Shares

                      Value  

MATERIALS – 3.0%

      

CHEMICALS – 2.0%

      

Air Products & Chemicals, Inc.

      3,750      $ 1,081,800  

Albemarle Corp.

      1,950        327,931  

Ashland Global Holdings, Inc.

      1,000        86,210  

Axalta Coating Systems Ltd.*

      3,310        105,556  

Cabot Corp.

      950        52,136  

Celanese Corp.

      2,000        313,300  

CF Industries Holdings, Inc.

      3,550        172,636  

Chemours Co. (The)

      2,900        87,580  

Corteva, Inc.

      12,562        612,523  

Dow, Inc.

      12,379        773,687  

DuPont de Nemours, Inc.

      9,162        706,482  

Eastman Chemical Co.

      2,300        265,397  

Ecolab, Inc.

      4,300        963,716  

Element Solutions, Inc.

      3,700        80,956  

FMC Corp.

      2,200        260,128  

Huntsman Corp.

      3,350        96,045  

International Flavors & Fragrances, Inc.

      4,350        618,439  

Linde PLC

      8,900        2,543,976  

LyondellBasell Industries NV, Class A

      4,450        461,643  

Mosaic Co. (The)

      5,665        199,295  

NewMarket Corp.

      100        34,659  

Olin Corp.

      2,550        109,727  

PPG Industries, Inc.

      4,100        702,084  

RPM International, Inc.

      2,100        199,164  

Scotts Miracle-Gro Co. (The)

      695        160,656  

Sherwin-Williams Co. (The)

      4,200        1,150,254  

Valvoline, Inc.

      3,050        95,770  

W.R. Grace & Co.

      1,050        72,167  

Westlake Chemical Corp.

      550        51,640  
     

 

 

  
      $ 12,385,557  

CONSTRUCTION MATERIALS – 0.1%

      

Eagle Materials, Inc.*

      750        103,605  

Martin Marietta Materials, Inc.

      1,100        388,432  

Vulcan Materials Co.

      2,300        409,952  
     

 

 

  
      $ 901,989  

CONTAINERS & PACKAGING – 0.5%

      

Amcor PLC

      28,951        340,174  

AptarGroup, Inc.

      1,065        160,613  

Avery Dennison Corp.

      1,400        299,838  

Ball Corp.

      5,500        515,020  

Berry Global Group, Inc.*

      2,243        142,700  

Crown Holdings, Inc.

      2,218        243,536  

Graphic Packaging Holding Co.

      4,555        84,495  

International Paper Co.

      6,700        388,600  

Packaging Corp. of America

      1,600        236,240  

Sealed Air Corp.

      2,700        133,380  

Silgan Holdings, Inc.

      1,305        55,032  

Sonoco Products Co.

      1,580        103,427  

Westrock Co.

      4,250        236,937  
     

 

 

  
      $ 2,939,992  

METALS & MINING – 0.4%

      

Freeport-McMoRan, Inc.

      24,300        916,353  

Newmont Corp.

      13,450        839,414  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    14

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Nucor Corp.

      5,150      $ 423,639  

Reliance Steel & Aluminum Co.

      1,050        168,326  

Royal Gold, Inc.

      1,058        118,348  

Southern Copper Corp.

      1,350        93,704  

Steel Dynamics, Inc.

      3,300        178,926  
     

 

 

  
      $ 2,738,710  
     

 

 

  

TOTAL MATERIALS

       $ 18,966,248  

REAL ESTATE – 2.7%

      

REAL ESTATE INVESTMENT TRUSTS – 2.6%

 

   

Alexandria Real Estate Equities, Inc.

      1,765        319,641  

American Campus Communities, Inc.

      1,850        83,638  

American Homes 4 Rent, Class A

      3,990        147,790  

American Tower Corp.

      6,010        1,531,168  

Americold Realty Trust

      2,740        110,669  

Apartment Income REIT Corp.

      2,854        128,858  

Apartment Investment & Management Co., Class A

      2,854        19,807  

Apple Hospitality REIT, Inc.

      2,950        46,787  

AvalonBay Communities, Inc.

      1,872        359,424  

Boston Properties, Inc.

      2,050        224,167  

Brandywine Realty Trust

      2,150        29,090  

Brixmor Property Group, Inc.

      3,750        83,775  

Brookfield Property REIT, Inc., Class A

      6,100        109,708  

Camden Property Trust

      1,270        153,010  

CoreSite Realty Corp.

      550        66,820  

Corporate Office Properties Trust

      1,400        39,256  

Cousins Properties, Inc.

      1,833        67,216  

Crown Castle International Corp.

      5,690        1,075,751  

CubeSmart

      2,583        109,364  

CyrusOne, Inc.

      1,598        116,382  

Digital Realty Trust, Inc.

      3,710        572,490  

Douglas Emmett, Inc.

      2,210        74,123  

Duke Realty Corp.

      4,960        230,739  

Empire State Realty Trust, Inc., Class A

      1,550        17,655  

EPR Properties*

      800        38,168  

Equinix, Inc.

      1,181        851,218  

Equity Commonwealth

      1,692        48,730  

Equity LifeStyle Properties, Inc.

      2,350        163,090  

Equity Residential

      4,900        363,727  

Essex Property Trust, Inc.

      873        253,624  

Extra Space Storage, Inc.

      1,700        252,773  

Federal Realty Investment Trust

      998        112,614  

First Industrial Realty Trust, Inc.

      1,400        69,678  

Gaming and Leisure Properties, Inc.

      2,959        137,564  

Healthcare Trust of America, Inc., Class A

      2,930        86,054  

Healthpeak Properties, Inc.

      7,230        248,278  

Highwoods Properties, Inc.

      1,490        66,737  

Host Hotels & Resorts, Inc.*

      9,780        177,605  

Hudson Pacific Properties, Inc.

      2,053        57,710  

Invitation Homes, Inc.

      7,650        268,209  

Iron Mountain, Inc.

      4,106        164,733  

JBG SMITH Properties

      1,721        56,122  

Kilroy Realty Corp.

      1,525        104,523  

Kimco Realty Corp.

      5,480        115,080  

Lamar Advertising Co., Class A

      1,250        123,800  

Life Storage, Inc.

      975        93,658  
  Description   

    Number of

Shares

                      Value  

Medical Properties Trust, Inc.

      7,100      $ 156,555  

Mid-America Apartment Communities, Inc.

      1,521        239,299  

National Retail Properties, Inc.

      2,315        107,462  

Omega Healthcare Investors, Inc.

      3,000        114,000  

Outfront Media, Inc.*

      1,700        41,429  

Paramount Group, Inc.

      1,850        19,629  

Park Hotels & Resorts, Inc.*

      3,150        70,277  

Prologis, Inc.

      9,867        1,149,802  

Public Storage

      2,010        565,132  

Rayonier, Inc.

      1,915        69,476  

Realty Income Corp.

      4,860        336,069  

Regency Centers Corp.

      2,233        142,153  

Rexford Industrial Realty, Inc.

      1,450        80,547  

SBA Communications Corp.

      1,450        434,594  

Simon Property Group, Inc.

      4,293        522,630  

SL Green Realty Corp.

      957        70,828  

Spirit Realty Capital, Inc.

      1,450        68,933  

STORE Capital Corp.

      3,355        120,075  

Sun Communities, Inc.

      1,400        233,562  

UDR, Inc.

      3,930        182,548  

Ventas, Inc.

      4,986        276,524  

VEREIT, Inc.

      3,306        158,159  

VICI Properties, Inc.

      7,238        229,445  

Vornado Realty Trust

      2,326        106,414  

Weingarten Realty Investors

      1,510        48,833  

Welltower, Inc.

      5,570        417,917  

Weyerhaeuser Co.

      10,342        400,959  

WP Carey, Inc.

      2,300        172,247  
     

 

 

  
      $ 16,106,521  

REAL ESTATE MANAGEMENT & DEVELOPMENT – 0.1%

 

   

CBRE Group, Inc., Class A*

      4,460        379,992  

Howard Hughes Corp. (The)*

      558        60,231  

Jones Lang LaSalle, Inc.*

      728        136,798  
     

 

 

  
      $ 577,021  
     

 

 

  

TOTAL REAL ESTATE

       $ 16,683,542  

UTILITIES – 2.1%

      

ELECTRIC UTILITIES – 1.3%

      

Alliant Energy Corp.

      3,300        185,361  

American Electric Power Co., Inc.

      6,600        585,486  

Avangrid, Inc.

      700        35,630  

Duke Energy Corp.

      9,650        971,658  

Edison International

      4,750        282,388  

Entergy Corp.

      2,650        289,618  

Evergy, Inc.

      2,950        188,712  

Eversource Energy

      4,550        392,301  

Exelon Corp.

      12,950        581,973  

FirstEnergy Corp.

      7,200        273,024  

Hawaiian Electric Industries, Inc.

      1,500        64,590  

IDACORP, Inc.

      600        61,488  

NextEra Energy, Inc.

      25,950        2,011,384  

NRG Energy, Inc.

      3,250        116,415  

OGE Energy Corp.

      2,613        87,692  

PG&E Corp.*

      17,750        200,930  

Pinnacle West Capital Corp.

      1,450        122,743  

PPL Corp.

      10,200        297,126  
 

 

ANNUAL REPORT / April 30, 2021

15    PORTFOLIO OF INVESTMENTS

Wilmington Large-Cap Strategy Fund (continued)

 

  Description   

    Number of

Shares

                       Value  

Southern Co. (The)

      13,900      $ 919,763  

Xcel Energy, Inc.

      7,000        499,100  
     

 

 

  
      $ 8,167,382  

GAS UTILITIES – 0.1%

      

Atmos Energy Corp.

      1,750        181,282  

National Fuel Gas Co.

      1,400        69,524  

UGI Corp.

      3,100        135,501  
     

 

 

  
      $ 386,307  

INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS – 0.0%**

 

AES Corp. (The)

      8,900        247,598  

Vistra Corp.

      6,450        108,812  
     

 

 

  
      $ 356,410  

MULTI-UTILITIES – 0.6%

      

Ameren Corp.

      3,250        275,730  

CenterPoint Energy, Inc.

      6,700        164,083  

CMS Energy Corp.

      3,800        244,682  

Consolidated Edison, Inc.

      4,400        340,604  

Dominion Energy, Inc.

      10,693        854,371  

DTE Energy Co.

      2,550        357,051  

MDU Resources Group, Inc.

      2,800        93,688  

NiSource, Inc.

      5,050        131,401  

Public Service Enterprise Group, Inc.

      6,700        423,172  

Sempra Energy

      3,800        522,766  

WEC Energy Group, Inc.

      4,200        408,114  
     

 

 

  
      $ 3,815,662  

WATER UTILITIES – 0.1%

      

American Water Works Co., Inc.

      2,450        382,175  

Essential Utilities, Inc.

      3,100        146,103  
     

 

 

  
      $ 528,278  
     

 

 

  

TOTAL UTILITIES

       $      13,254,039  
     

 

 

  

TOTAL COMMON STOCKS

(COST $195,472,429)

       $ 621,636,988  

RIGHTS – 0.0%**

     

Bristol-Myers Squibb Co. CVR, Expire 12/31/30*

      89        19  
     

 

 

  

TOTAL RIGHTS

(COST $0)

       $ 19  

WARRANTS – 0.0%**

     

Occidental Petroleum Corp. CW27, Expire 08/03/27*

      1,645        17,733  
     

 

 

  

TOTAL WARRANTS

(COST $0)

       $ 17,733  

INVESTMENT COMPANIES – 0.3%

      

EQUITY FUNDS – 0.3%

      

iShares Russell 1000 ETF

      3,400        801,652  

iShares Russell 1000 Growth ETF

      1,560        405,195  

iShares Russell 1000 Value ETF

      2,600        409,630  
     

 

 

  

TOTAL EQUITY FUNDS

       $ 1,616,477  
     

 

 

  

TOTAL INVESTMENT COMPANIES

(COST $1,562,568)

       $ 1,616,477  
  Description   

    Number of

Shares

                      Value  

MONEY MARKET FUND – 0.0%

      

Dreyfus Government Cash Management Fund, Institutional Shares, 0.03%^

      125,502      $ 125,502  
     

 

 

  

TOTAL MONEY MARKET FUND

(COST $125,502)

       $ 125,502  
     
    

Par Value

 

         

CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN – 0.3%

 

   

REPURCHASE AGREEMENTS – 0.3%

      

Bank of America Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $416,338
collateralized by U.S. Government Agency Securities, 1.00% to 5.50%, maturing 11/01/28 to 5/01/51; total market value of $424,665.

      $416,338        416,338  

BNP Paribas SA, 0.00%, dated 4/30/21, due 5/03/21, repurchase price $416,338 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.13%, maturing 5/15/21 to 2/01/56; total market value of $424,665.

      416,338        416,338  

Daiwa Capital Markets America, 0.01%, dated 4/30/21, due 5/03/21, repurchase price $416,338 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 8.00%, maturing 6/30/21 to 5/01/51; total market value of $424,665.

      416,338        416,338  

Deutsche Bank Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $416,338 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 4.00%, maturing 6/22/21 to 4/01/51; total market value of $424,665.

      416,338        416,338  

Morgan Stanley & Co. 0.01%, dated 4/30/21, due 5/03/21, repurchase price $165,749 collateralized by U.S. Government Agency Securities, 2.00% to 4.00%, maturing 4/01/36 to 5/01/51; total market value of $169,064.

      165,749        165,749  

RBC Dominion Securities, Inc., 0.01%, dated 4/30/21, due 5/03/21, repurchase price $416,338 collateralized by U.S. Government Agency & Treasury Securities, 0.00% to 6.50%, maturing 6/01/21 to 12/15/60; total market value of $424,665.

      416,338        416,338  
     

 

 

  

TOTAL REPURCHASE AGREEMENTS
(COST $2,247,439)

       $ 2,247,439  
     

 

 

  

TOTAL CASH COLLATERAL INVESTED FOR SECURITIES ON LOAN

 

   
(COST $2,247,439)       $ 2,247,439  
     

 

 

  

TOTAL INVESTMENTS – 100.3%

(COST $199,407,938)

       $   625,644,158  

COLLATERAL FOR SECURITIES ON LOAN – (0.3%)

         (2,247,439 ) 

OTHER ASSETS LESS LIABILITIES – 0.0%**

         141,702  
     

 

 

  

TOTAL NET ASSETS – 100.0%

       $ 623,538,421  
     

 

 

  
 

 

April 30, 2021 / ANNUAL REPORT

PORTFOLIO OF INVESTMENTS    16

Wilmington Large-Cap Strategy Fund (concluded)

Various inputs are used in determining the value of the 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)

The following is a summary of the inputs used as of April 30, 2021 in valuing the Fund’s assets carried at fair value:

 

     Level 1      Level 2      Level 3      Total  

    Investments in Securities

            

    Common Stocks

    $ 621,636,988      $ —      $  —      $ 621,636,988  

    Rights

      19        —        —        19  

    Warrants

      17,733        —        —        17,733  

    Investment Companies

      1,616,477        —        —        1,616,477  

    Money Market Fund

      125,502        —        —        125,502  

    Repurchase Agreements

      —        2,247,439        —        2,247,439  
  

 

 

     

 

 

     

 

 

     

 

 

  

    Total

    $ 623,396,719      $ 2,247,439      $ —      $ 625,644,158  
  

 

 

     

 

 

     

 

 

     

 

 

  

 

*

Non-income producing security.

 

#

Security, or a portion thereof, is on loan. See Note 2 in Notes to Financial Statements.

 

§

Affiliated company. See Note 4 in Notes to Financial Statements.

 

**

Represents less than 0.05%.

 

^

7-Day net yield.

The following acronyms are used throughout this Fund:

 

CVR

    Contingent Value Rights

ETF

    Exchange-Traded Fund

LP

    Limited Partnership

NA

    National Association

PLC

    Public Limited Company

REIT

    Real Estate Investment Trust

See Notes which are an integral part of the Financial Statements

 

 

 

ANNUAL REPORT / April 30, 2021

17   STATEMENT OF ASSETS AND LIABILITIES

 

 

  April 30, 2021

                  Wilmington
Large-Cap Strategy
Fund		  

ASSETS:

         

Investments, at identified cost

          $ 199,407,938 (a) 
        

 

 

  

Investments in securities, at value

          $ 625,644,158 (b),(c) 

Income receivable

            402,144  

Receivable for shares sold

            236,211  

Prepaid assets

            18,946  
        

 

 

  

TOTAL ASSETS

            626,301,459  
        

 

 

  

LIABILITIES:

         

Collateral for securities on loan

            2,247,439  

Payable for shares redeemed

            269,504  

Payable for Trustees’ fees

            9,264  

Payable for administration fees

            15,193  

Payable for investment advisory fees

            79,234  

Other accrued expenses

            142,404  
        

 

 

  

TOTAL LIABILITIES

            2,763,038  
        

 

 

  

NET ASSETS

          $  623,538,421  
        

 

 

  

NET ASSETS CONSIST OF:

         

Paid-in capital

          $ 191,318,097  

Distributable earnings (loss)

            432,220,324  
        

 

 

  

TOTAL NET ASSETS

          $ 623,538,421  
        

 

 

  

COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE:

         

    Class I

         

    Net Assets

          $ 623,538,421  
        

 

 

  

    Shares outstanding (unlimited shares authorized)

            20,730,623  
        

 

 

  

    Net Asset Value and Offering Price per share

          $ 30.08  
        

 

 

  

(a) Includes $127,293 of investments in affiliated issuers.

(b) Includes $253,881 of investments in affiliated issuers.

(c) Including $2,175,737 of securities on loan (Note 2).

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

STATEMENT OF OPERATIONS   18

 

 
Year Ended April 30, 2021                  Wilmington
Large-Cap Strategy
Fund		  

INVESTMENT INCOME:

           

Dividends

            $ 8,502,488 (a),(b) 

Securities lending income, net

              30,435  
          

 

 

  

TOTAL INVESTMENT INCOME

              8,532,923  
          

 

 

  

EXPENSES:

           

Investment advisory fees

              2,692,715  

Administration fees

              162,732  

Portfolio accounting and administration fees

              126,123  

Custodian fees

              35,552  

Transfer and dividend disbursing agent fees and expenses

              81,312  

Trustees’ fees

              56,884  

Professional fees

              94,482  

Shareholder services fee—Class I

              985,348  

Share registration costs

              31,534  

Printing and postage

              19,316  

Miscellaneous

              19,873  
          

 

 

  

TOTAL EXPENSES

              4,305,871  
          

 

 

  

WAIVERS AND REIMBURSEMENTS:

           

Waiver/reimbursement by investment advisor

              (1,979,941 ) 

Waiver of shareholder services fee—Class I

              (985,348 ) 
          

 

 

  

TOTAL WAIVERS AND REIMBURSEMENTS

              (2,965,289 ) 
          

 

 

  

Net expenses

              1,340,582  
          

 

 

  

Net investment income

              7,192,341  
          

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS):

           

Net realized gain (loss) on investments

              39,471,050  

Net change in unrealized appreciation (depreciation) on unaffiliated investments

              167,827,765  

Net change in unrealized appreciation (depreciation) of affiliated investments

              73,432  
          

 

 

  

Net change in unrealized appreciation (depreciation)

              167,901,197  
          

 

 

  

Net realized and unrealized gain (loss)

              207,372,247  
          

 

 

  

    Change in net assets resulting from operations

            $ 214,564,588  
          

 

 

  

(a) Includes $5,313 received from affiliated issuers.

(b) Net of foreign withholding taxes of $339.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

19   STATEMENTS OF CHANGES IN NET ASSETS

 

 
           

Wilmington

Large-Cap

Strategy Fund

  
   
           

Year Ended
April 30,

2021

                  

Year Ended
April 30,

2020

  

OPERATIONS:

              

Net investment income

       $ 7,192,341           $ 8,656,304  

Net realized gain (loss)

         39,471,050             33,390,032  

Net change in unrealized appreciation (depreciation)

         167,901,197             (37,881,410 ) 
     

 

 

          

 

 

  

Change in net assets resulting from operations

         214,564,588             4,164,926  
     

 

 

          

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS:

              

Class I

         (48,612,170 )            (29,545,889 ) 
     

 

 

          

 

 

  

Total distributions to shareholders

         (48,612,170 )            (29,545,889 ) 
     

 

 

          

 

 

  

SHARE TRANSACTIONS:

              

Proceeds from sale of shares

              

Class I

         45,492,298             54,361,316  

Distributions reinvested

              

Class I

         35,222,149             18,763,388  

Cost of shares redeemed

              

Class I

         (90,520,711 )            (108,169,702 ) 
     

 

 

          

 

 

  

Change in net assets resulting from share transactions

         (9,806,264 )            (35,044,998 ) 
     

 

 

          

 

 

  

Change in net assets

         156,146,154             (60,425,961 ) 

NET ASSETS:

              

Beginning of year

         467,392,267             527,818,228  
     

 

 

          

 

 

  

End of year

       $ 623,538,421           $ 467,392,267  
     

 

 

          

 

 

  

SHARES OF BENEFICIAL INTEREST:

              

Shares sold

              

Class I

         1,709,202             2,532,501  

Distributions reinvested

              

Class I

         1,334,155             795,091  

Shares redeemed

              

Class I

         (3,476,828 )            (4,756,535 ) 
     

 

 

          

 

 

  

Net change resulting from share transactions

         (433,471 )            (1,428,943 ) 
     

 

 

          

 

 

  

See Notes which are an integral part of the Financial Statements

 

April 30, 2021 / ANNUAL REPORT

FINANCIAL HIGHLIGHTS   20

 

For a share outstanding throughout each year ended April 30, unless otherwise noted:

 

WILMINGTON LARGE-CAP STRATEGY FUND  

    

 

CLASS I    Year Ended
      April 30, 2021      		     Year Ended
      April 30, 2020      		     Year Ended
      April 30, 2019      		     Year Ended
      April 30, 2018      		     Year Ended
      April 30, 2017      		  

Net Asset Value, Beginning of Year

    $ 22.08     $ 23.36     $ 21.98     $ 19.65     $ 16.91  

Income (Loss) From Operations:

           

Net Investment Income(a)

     0.35       0.39       0.37       0.34       0.32  

Net Realized and Unrealized Gain (Loss)

      10.11       (0.32 )      2.32       2.34       2.75  
                                        

Total Income (Loss) From Operations

      10.46       0.07       2.69       2.68       3.07  
                                        

Less Distributions From:

           

Net Investment Income

      (0.37 )      (0.41 )      (0.38 )      (0.35 )      (0.33 ) 

Net Realized Gains

      (2.09 )      (0.94 )      (0.93 )      —       —  
                                        

Total Distributions

      (2.46 )      (1.35 )      (1.31 )      (0.35 )      (0.33 ) 
                                        

Net Asset Value, End of Year

    $ 30.08     $ 22.08     $ 23.36     $ 21.98     $ 19.65  
                                        

Total Return

      49.12 %      0.09 %      12.93 %      13.71 %      18.32 % 

Net Assets, End of Year (000’s)

    $ 623,538     $ 467,392     $ 527,818     $ 504,014     $ 554,810  

Ratios to Average Net Assets

           

Gross Expense(b)

     0.80 %      0.86 %      0.89 %      0.90 %      0.90 % 

Net Expense(b),(c)

     0.25 %      0.25 %      0.25 %      0.25 %      0.25 % 

Net Investment Income

      1.34 %      1.69 %      1.65 %      1.62 %      1.75 % 

Portfolio Turnover Rate

      14 %      26 %      13 %      15 %      18 % 

 

(a)

Per share amounts have been calculated using the average shares method.

(b)

The Fund invests in other underlying funds and indirectly bears its proportionate share of fees and expenses incurred by the underlying funds. This ratio does not include these indirect fees and expenses.

(c)

The investment advisor and other service providers waived or reimbursed a portion of their fees.

See Notes which are an integral part of the Financial Statements

 

ANNUAL REPORT / April 30, 2021

21   NOTES TO FINANCIAL STATEMENTS

 

Wilmington Funds

April 30, 2021

 

1.

ORGANIZATION

Wilmington Funds (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Trust consists of 12 funds, 1 of which is presented herein (referred to as the “Fund”). The remaining 11 funds are presented in separate reports.

 

    Fund    Investment Goal

Wilmington Large-Cap Strategy Fund (“Large-Cap Strategy Fund”)(d)

   The Fund seeks to achieve long-term capital appreciation.

(d) Diversified

The Trust offers 6 classes of shares: Class A, Service Class, Select Class, Administrative Class, Class I and Institutional Class. Class A, Service Class, Select Class, Administrative Class and Institutional Class are not available for the Fund. All shares of the Trust have equal rights with respect to voting, except on class-specific matters.

The assets of each fund are segregated and a shareholder’s interest is limited to the fund in which shares are held.

 

2.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with U.S. generally accepted accounting principles (“GAAP”). The Trust is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 946, “Financial Services - Investment Companies.” The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated and the differences could be material.

Computation of Net Asset Value – The net asset value (‘‘NAV’’) per share for each class of the Fund is computed by dividing the total current value of the assets of the Fund, less its liabilities, attributable to the class by the total number of shares outstanding of the class at the time of such computation. The NAV per share for each class of the Fund is computed as of 4:00 p.m. (Eastern Time) on days when the New York Stock Exchange (“NYSE”) is open for regular trading.

Investment Valuation – The Fund utilizes a fair value approach. The fair value of the Fund’s portfolio securities are determined as follows:

 

  •

for equity securities, according to the last sale price or official closing price reported in the market in which they are primarily traded (either a national securities exchange or the over-the-counter market), if available;

 

  •

in the absence of recorded sales for equity securities, according to the mean between the last closing bid and asked prices;

 

  •

investments in open-end regulated investment companies are valued at NAV;

 

  •

for fixed income securities, according to prices as furnished by an independent pricing service, except that fixed income securities with remaining maturities of less than 60 days at the time of purchase are valued at amortized cost, provided such amount approximates fair value; and

 

  •

for all other securities, at fair value as determined in accordance with procedures established by and under the general supervision of the Board of Trustees (“Trustees”).

Trading in foreign securities may be completed at times which vary from the closing of the NYSE. In computing its NAV, the Fund values foreign securities using the latest closing price on the primary exchange on which they are traded immediately prior to the closing of the NYSE. Certain foreign currency exchange rates are generally determined at the latest rate prior to the closing of the NYSE. Foreign securities quoted in foreign currencies are translated into U.S. dollars at current rates. Events that affect these values and exchange rates may occur between the times at which they are determined and the closing of the NYSE. If such events materially affect the value of portfolio securities, these securities may be valued at their fair value as determined in good faith by the Trustees, although the actual calculation may be done by others. An event is considered material if there is both an affirmative expectation that the security’s value will change in response to the event and a reasonable basis for quantifying the resulting change in value. In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures or suspension of trading in a security. The Fund may use fair value pricing more frequently for securities traded primarily in non-US markets because, among other things, most foreign markets close well before the Fund values its securities, generally as of 4:00 p.m. Eastern time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, government actions or pronouncements, aftermarket trading, or news events may have occurred in the interim. Whenever such a significant event occurs, the Fund may value foreign securities using fair value prices based on third-party vendor modeling tools (Systematic International Fair Value Pricing (“SIFVP”)).

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS    (continued)   22

 

The Trust follows the authoritative guidance (GAAP) for fair value measurements. The guidance establishes a framework for measuring fair value and a hierarchy for inputs and techniques used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs and techniques by requiring that the most observable inputs be used when available. The guidance establishes three tiers of inputs that may be used to measure fair value. The three tiers of inputs are summarized at the end of the Fund’s Portfolio of Investments. The inputs or techniques used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

Pursuant to the Fund’s fair value procedures noted previously, equity securities (including exchange traded securities and other open-end regulated investment companies) and exchange traded derivatives are generally categorized as Level 1 securities in the fair value hierarchy. The Fund may utilize SIFVP which could result in certain equity securities being categorized as Level 2. Fixed income securities, non-exchange traded derivatives and money market instruments are generally categorized as Level 2 securities in the fair value hierarchy.

Investments for which there are no such quotations, or for which quotations do not appear reliable, are valued at fair value as determined in accordance with procedures established by and under the general supervision of the Trustees. These valuations are typically categorized as Level 2 or Level 3 securities in the fair value hierarchy.

Repurchase Agreements – Repurchase agreements are transactions in which the Fund buys a security from a dealer or bank and agrees to sell the security back at a mutually agreed upon time and price. The repurchase price exceeds the sale price, reflecting the Fund’s return on the transaction. It is the Fund’s policy to require the counterparty to a repurchase agreement to transfer to the Fund’s custodian or sub-custodian eligible securities or cash with a market value (after transaction costs) at least equal to the repurchase price to be paid under the repurchase agreement. The eligible securities are transferred to accounts with the custodian or sub-custodian in which the Fund holds a “securities entitlement” and exercise “control” as those terms are defined in the Uniform Commercial Code. The Fund has established procedures for monitoring the market value of the transferred securities and requiring the transfer of additional eligible securities, if necessary, to equal at least the repurchase price. These procedures also allow the counterparty to require securities to be transferred from the account to the extent that their market value exceeds the repurchase price or in exchange for other eligible securities of equivalent market value.

The insolvency of the counterparty or other failure to repurchase the securities may delay the disposition of the underlying securities or cause the Fund to receive less than the full repurchase price.

Repurchase agreements are entered into by the Fund under Master Repurchase Agreements (“MRA”) which permit the Fund, under certain circumstances including an event of default (such as bankruptcy or insolvency), to offset payables and/or receivables under the MRA with collateral held and/or posted to the counterparty and create one single net payment due to or from the Fund.

At April 30, 2021, the open repurchase agreements by counterparty which are subject to a MRA on a net payment basis are as follows:

 

         
        Fund/Counterparty           Repurchase
Agreements		                    Fair Value of
Non-Cash
Collateral
Received(1) 		                   Cash Collateral
Received(1)		                    Net Exposure(2)  

    Large-Cap Strategy Fund

                             $ —              $ —  

    Bank of America Securities, Inc.

       $ 416,338              $ 416,338                —                —  

    BNP Paribas SA

         416,338                416,338                —                —  

    Daiwa Capital Markets America

         416,338                416,338                —                —  

    Deutsche Bank Securities, Inc.

         416,338                416,338                —                —  

    Morgan Stanley & Co.

         165,749                165,749                —                —  

    RBC Dominion Securities, Inc.

         416,338                416,338                —                —  
     

 

 

             

 

 

             

 

 

             

 

 

  
      $       2,247,439              $           2,247,439              $                     —              $                     —  
     

 

 

             

 

 

             

 

 

             

 

 

  

 

  (1)

The amount of collateral reflected in the table does not include any over-collateralization received by the Fund.

 

  (2)

Net exposure represents the receivable (payable) due from (to) the counterparty in the event of default.

Investment Income, Gains and Losses, Expenses and Distributions – Interest income and expenses are accrued daily. Dividends and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. Foreign dividends are recorded on the ex-dividend date or when the Fund is informed of the ex-dividend date. Investment transactions are accounted for on a trade date basis for financial reporting purposes. Realized gains and losses from investment transactions are recorded on an identified cost basis and includes proceeds from litigation, if any. Withholding taxes and, where appropriate, deferred withholding taxes on foreign interest, dividends and capital gains have been provided for in accordance with the applicable country’s tax rules and rates.

Expenses of the Trust, which are directly identifiable to a specific fund, are applied to that fund. Expenses which are not identifiable to a specific fund are allocated in such a manner as deemed equitable, taking into consideration the nature and type of expense.

Distributions from net realized gains, if any, are declared and paid to shareholders annually. Distributions from net investment income, if any, are declared and paid quarterly.

Real Estate Investment Trusts – The Fund may invest in real estate investment trusts (“REITs”) that involve risks not associated with investing in stocks. Risks include declines in the value of real estate, general and economic conditions, changes in the value of the underlying property and defaults by borrowers. The value of assets in the real estate industry may go through cycles of relative underperformance and outperformance in comparison to equity securities markets in general. Dividend income is recorded using management’s estimate of the income included in distributions received from REIT investments. The actual amounts of income, return of capital and capital gains are only

 

ANNUAL REPORT / April 30, 2021

23   NOTES TO FINANCIAL STATEMENTS    (continued)

 

determined by each REIT after its fiscal year-end and may differ from the estimated amount. Estimates of income are adjusted to the actual amounts when the amounts are determined.

Warrants and Rights – The Fund may hold warrants and rights acquired either through a direct purchase, including as part of private placement, or pursuant to corporate actions. Warrants and rights entitle the holder to buy a proportionate amount of common stock at a specific price and time through the expiration dates. Such warrants and rights are held as long positions by the Fund until exercised, sold or expired. Warrants and rights are valued at fair value in accordance with the Trustees’ approved fair value procedures.

Lending of Portfolio Securities – The Trust has entered into an agreement with its custodian whereby the custodian may lend securities owned by the Fund to brokers, dealers and other financial organizations. Any increase or decrease in the fair value of securities loaned and any interest or dividends earned on those securities during the term of the loan would be for the account of the Fund. In exchange for lending securities under the terms of the agreement with its custodian, the Fund receives a lender’s fee. Fees earned by the Fund on securities lending are recorded as income. Loans of securities by the Fund are collateralized by cash, U.S. government securities or money market instruments that are maintained at all times in an amount at least equal to the current market value of the loaned securities plus a margin which varies depending on the type of securities owned. The custodian establishes and maintains the collateral in a segregated account. The Fund has the right under the lending agreement to recover the securities from the borrower on demand. The market value of the loaned securities is deter- mined at the close of business of the Fund and any additional required collateral is delivered to the Fund on the next business day.

Under the terms of the agreement, cash collateral received is invested in one or more approved investments. Investments purchased with cash collateral are presented on the Portfolio of Investments under the caption “Cash Collateral Invested for Securities on Loan.”

The Fund maintains the risk of any loss on the securities on loan as well as the potential loss on investments purchased with cash collateral received from securities lending.

Securities lending transactions are entered into by the Fund under Master Securities Lending Agreements (“MSLA”) which permit the Fund, under certain circumstances including an event of default (such as bankruptcy or insolvency), to offset amounts payable by the Fund to the same counterparty against amounts to be received and create one single net payment due to or from the Fund.

At April 30, 2021, the securities loaned which are subject to a MSLA on a net payment basis are as follows:

 

     
        Fund           Value of
Securities
on Loan		                    Cash
Collateral
Received(1)
                    Net
Exposure(2)

Large-Cap Strategy Fund

       $ 2,175,737            $ 2,175,737            $—

 

  (1) 

Collateral with a value of $2,247,439 has been received in connection with securities lending transactions. The amount of collateral reflected in the table does not include any over-collateralization received by the Fund.

 

  (2) 

Net exposure represents the receivable (payable) due from (to) the counterparty in the event of default.

 

3.

FEDERAL TAX INFORMATION

No provision for federal income taxes has been made, as it is the Fund’s policy to comply with the Subchapter M provision of the Internal Revenue Code of 1986, as amended, and to distribute to shareholders each year all of its taxable income and realized gains.

The Fund files U.S. federal, state, and local tax returns as required. The Fund’s tax returns are subject to examination by the relevant tax authorities until expiration of the applicable statute of limitations, which is generally three years after the tax returns are filed. The Fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense on the Statement of Operations. The Fund does not have any unrecognized tax benefits or uncertain tax positions that would require a provision for income tax. Accordingly, the Fund did not incur any interest or penalties for the year ended April 30, 2021.

The timing and character of income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to losses deferred due to wash sales. For financial reporting purposes, any permanent differences resulting from different book and tax treatment are reclassified between distributable earnings and paid-in capital in the period that the differences arise. Results of operations and net assets are not affected by these reclassifications. As of April 30, 2021, there were no such reclassifications.

The tax character of distributions for the corresponding fiscal year ends were as follows:

 

 
            2021             2020  
       
        Fund           Ordinary
Income*		                    Long-Term
Capital
Gains		                    Ordinary
Income*		                    Long-Term
Capital
Gains		  

Large-Cap Strategy Fund

       $ 7,821,252              $ 40,790,918            $ 9,083,834              $ 20,462,055  

*  For tax purposes, short-term capital gain distributions are considered ordinary income distributions.

   

 

 

April 30, 2021/ ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS    (continued)   24

 

As of April 30, 2021, the cost of investments for U.S. federal income tax purposes, the aggregate gross unrealized appreciation for all investments for which there was an excess of value over tax cost and the aggregate gross unrealized depreciation for all investments for which there was an excess of tax cost over value, were as follows:

 

       
    Fund    Tax Cost            Tax      
Unrealized      
Appreciation       		      Tax      
Unrealized      
Depreciation       		     Net Tax      
Unrealized      
Appreciation/      
(Depreciation)      		  

Large-Cap Strategy Fund

    $ 210,490,944      $ 416,117,474      $ (964,260 )    $ 415,153,214  

As of April 30, 2021, the components of distributable earnings on a tax basis were as follows:

 

             
    Fund    Undistributed      
Ordinary Income      		    Undistributed      
Long-Term      
Capital Gains      		    Other      
Timing      
Differences       		    Unrealized    
Appreciation/    
(Depreciation)     		   Capital Loss    
Carryforwards    		    Late Year Loss    
Deferrals    		    Distributable    
Earnings    

Large-Cap Strategy Fund

    $1,332,209    $15,734,901    $—    $415,153,214    $—    $—    $432,220,324

 

4.

ADVISORY FEES, SERVICING FEES, AND OTHER SERVICE PROVIDERS

Investment Advisor – Wilmington Funds Management Corporation (“WFMC” or the “Advisor”) serves as the Investment Advisor to the Fund. Wilmington Trust Investment Advisors, Inc. (“WTIA”) provides sub-advisory services to the Fund. WFMC and WTIA are wholly-owned subsidiaries of M&T Bank Corporation. For its services, the Fund pays WFMC an annual investment advisory fee, accrued daily and paid monthly, based on a percentage of the Fund’s average daily net assets as described below. WFMC, not the Fund, pays WTIA for its services.

 

 
    Fund    Advisory Fee
Annual Rate		  

Large-Cap Strategy Fund

      0.50 % 

WFMC and the Fund’s distributor and shareholder service provider have contractually agreed to waive their fees and/or reimburse expenses through January 31, 2022 so that total annual fund operating expenses paid by the Fund (not including the effects of dividends or interest on short positions, acquired fund fees and expenses, taxes, or other extraordinary expenses expressed as an annualized percentage of average daily net assets), will not exceed 0.25% for the Fund’s Class I Shares. Neither WFMC nor the Fund’s distributor and shareholder service provider will recoup previously waived fees/expenses in subsequent years.

Administrative Fees – The Bank of New York Mellon (“BNYM”) provides the Trust with fund administration services. The fees as described in the table below are a component of “Portfolio accounting and administration fees” as disclosed in the Statement of Operations. WFMC, in its role as Co-Administrator, provides the Fund with certain administrative personnel and services necessary to operate the Fund. The fees as described in the table below are accrued daily and paid monthly, and are disclosed on the Statement of Operations as “Administration fees.”

 

   
    Administrator    Maximum
Fee		     Average Aggregate Daily Net
Assets of the Trust

WFMC

      0.040 %        on the first $5 billion
     0.030 %        on the next $2 billion
     0.025 %        on the next $3 billion
     0.018 %        on assets in excess of $10 billion

BNYM

      0.0175 %        on the first $15 billion
     0.0150 %        on the next $10 billion
     0.0125 %        on assets in excess of $25 billion

WFMC and BNYM may voluntarily choose to waive any portion of their fee and can add, modify or terminate a voluntary wavier at any time at their sole discretion. Neither WFMC nor BNYM will recoup previously waived fees/expenses in subsequent years. For the year ended April 30, 2021, neither WFMC nor BNYM waived any administrative fees.

Shareholder Services Fee – Pursuant to a Shareholder Services Plan adopted by the Fund and administered by ALPS Distributors, Inc. (“ALPS”), prior to January 31, 2021, the Fund could pay up to 0.25% of the average daily net assets of the Fund’s Class I shares to financial intermediaries (including ALPS, the Advisor or their affiliates) for providing shareholder services and maintaining shareholder accounts. M&T Securities, Inc., Manufacturers and Traders Trust and Company, and Wilmington Trust, NA (together “M&T”) has entered into a Shareholders Services Agreement with ALPS, under which it is entitled to receive up to 0.25% of the average daily net assets of the Fund’s shares for whom M&T provides shareholder services. The Fund may reduce the maximum amount of shareholder service fees it pays from time to time at its sole discretion. In addition, a financial intermediary (including M&T) may waive or reduce any fees to which they are entitled.

 

ANNUAL REPORT / April 30, 2021

25   NOTES TO FINANCIAL STATEMENTS    (continued)

 

Effective January 31, 2021, the Class I Shares of the Fund were removed from the Shareholder Services Plan. Accordingly, the 0.25% shareholder servicing fee was no longer charged to Class I shares after that date. For the year ended April 30, 2021, no affiliates of the Advisor received these fees.

Other Service Providers – Foreside Management Services, LLC (“FMS”) provides a Principal Executive Officer and Principal Financial Officer to the Trust. FMS has no role in determining the investment policies or which securities are to be sold or purchased by the Trust or its funds.

BNYM provides custody services to the Trust.

BNY Mellon Investment Servicing (U.S.) Inc. provides fund accounting and transfer agency services to the Trust.

General – Certain Trustees and Officers of the Trust are also Officers or employees of the above companies that provide services to the Fund, and during their terms of office, receive no compensation from the Fund. The Trust’s Statement of Additional Information includes additional information about the Trustees.

Other Affiliated Parties and Transactions – Affiliated holdings are securities and mutual funds which are managed by the Advisor or an affiliate of the Advisor or which are distributed by an affiliate of the Fund’s distributor. Transactions with affiliated companies during the year ended April 30, 2021 are as follows:

 

                 

    / Affiliated

    Investment Name

    Value
4/30/20		      Purchases      Sales      Net
Realized
Gain/
(Loss)		      Net Change
in Unrealized
Appreciation/
Depreciation		      Value
4/30/21		      Number of
Shares
4/30/21		      Dividend
Income		     

Capital

Gain
Distributions

  

Large-Cap Strategy Fund

                           
                 

Common Stock -0.0%*

                           

M&T Bank Corp.

    $ 180,449      $ —      $ —      $ —      $ 73,432      $ 253,881        1,610      $ 5,313      $ —  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

  *

As a percentage of Net Assets as of April 30, 2021.

The Fund may execute trades for security purchase and sale transactions through brokers that are affiliates of the Advisor or sub-advisors. Commissions paid on those trades for the year ended April 30, 2021 were as follows:

 

 
    Fund    Commissions  

Large-Cap Strategy Fund

    $ 23,721  

 

5.

INVESTMENT TRANSACTIONS

Purchases and sales of securities for the Fund (excluding U.S. Government and agency securities and short-term securities) during the year ended April 30, 2021 were $72,791,796 and $123,946,423, respectively.

 

6.

MARKET RISK IN GENERAL

Market risk is the risk that one or more markets in which a Fund invests will go down in value, including the possibility that the markets will go down sharply and unpredictably. The value of a security or other asset may decline due to changes in general market conditions, economic trends or events that are not specifically related to the issuer of the security or other asset, or factors that affect a particular issuer or issuers, exchange, country, group of countries, region, market, industry, group of industries, sector or asset class. Local, regional or global events such as war, acts of terrorism, the spread of infectious illnesses or other public health issues, recessions, natural disasters or other events could have a significant impact on the Fund and its investments.

Recently, the global pandemic outbreak of an infectious respiratory illness caused by a novel coronavirus known as COVID-19 has resulted in substantial market volatility and global business disruption, impacting the global economy and the financial health of individual companies in significant and unforeseen ways. The duration and future impact of COVID-19 are currently unknown, which may exacerbate other types of risks that apply to the Fund and negatively impact Fund performance.

 

7.

CONTRACTUAL OBLIGATIONS

In the normal course of business, the Fund may enter into contracts that provide general indemnifications. The Fund’s maximum exposure under these arrangements is dependent on claims that may be made against the Fund in the future, and, therefore, cannot be estimated; however, based on experience, the risk of material loss from such claims is considered remote.

 

April 30, 2021 / ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS    (continued)   26

 

8.

LINE OF CREDIT

The Trust participates in a $10,000,000 unsecured, committed revolving line of credit (“LOC”) agreement with BNYM, which was renewed effective April 1, 2021. The LOC is available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate of 1.25% per annum over the greater of the Federal Funds Rate or the one month London Interbank Offered Rate (“LIBOR”). The LOC includes a commitment fee of 0.20% per annum on the daily unused portion. Prior to April 1, 2021, the commitment fee was of 0.15% per annum on the daily unused portion. The LOC expires on March 31, 2022.

The Trust did not utilize the LOC during the year ended April 30, 2021.

 

9.

RECENT ACCOUNTING PRONOUNCEMENTS

In August 2018, FASB issued an Accounting Standards Update 2018-13 (“ASU 2018-13”), which changes certain fair value measurement disclosure requirements. ASU 2018-13, in addition to other modifications and additions, removes the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, the policy for the timing of transfers between levels and the valuation process for Level fair value measurements. ASU 2018-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. As of April 30, 2021, ASU 2018-13 has been fully adopted and the implementation did not have a material impact on the Fund’s financial statements.

 

10.

SUBSEQUENT EVENTS

Management has evaluated events and transactions for potential recognition or disclosure in the financial statements through the date the financial statements were issued. Management has determined that there are no material events that would require recognition or disclosure in the Fund’s financial statements through this date.

 

ANNUAL REPORT / April 30, 2021

27  

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of Wilmington Funds and Shareholders of Wilmington Large-Cap Strategy Fund

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities, including the portfolio of investments, of Wilmington Large-Cap Strategy Fund (one of the funds constituting Wilmington Funds, referred to hereafter as the “Fund”) as of April 30, 2021, the related statement of operations for the year ended April 30, 2021, the statements of changes in net assets for each of the two years in the period ended April 30, 2021, including the related notes, and the financial highlights for each of the two years in the period ended April 30, 2021 (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 April 30, 2021, 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 April 30, 2021 and the financial highlights for each of the two years in the period ended April 30, 2021 in conformity with accounting principles generally accepted in the United States of America.

The financial statements of the Fund as of and for the year ended April 30, 2019 and the financial highlights for each of the periods ended on or prior to April 30, 2019 (not presented herein, other than the financial highlights) were audited by other auditors whose report dated June 27, 2019 expressed an unqualified opinion on those financial statements and financial highlights.

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 April 30, 2021 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

/s/ PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 24, 2021

We have served as the auditor of one or more investment companies in Wilmington Funds since 2019.

 

April 30, 2021 / ANNUAL REPORT

  28

 

FEDERAL TAX INFORMATION (UNAUDITED)

Complete information regarding the tax status of distributions will be reported on Forms 1099.

Of the ordinary income (including short-term capital gain) distributions made by the Fund during the fiscal year ended April 30, 2021, the Fund designates the following percentage, or such greater percentage that constitute the maximum amount allowable pursuant to Code Sections Section 243 and 854(b)(2), as qualifying for the corporate dividends received deduction:

 

 
    Fund       

Large-Cap Strategy Fund

      93.12 % 

For the fiscal year ended April 30, 2021, the Fund designates the following percentage of the ordinary income dividends, or such greater percentage that constitute the maximum amount allowable pursuant to Code Sections 1(h)(11) and 854(b)(2), as qualified dividend income which may be subject to a maximum rate of federal income tax of 20%:

 

 
    Fund       

Large-Cap Strategy Fund

      100.00 % 

If the Fund meets the requirements of Section 853 of the Code, the Fund will pass through to shareholders credits of foreign taxes paid.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

29  

 

BOARD OF TRUSTEES AND TRUST OFFICERS

The following tables give information about each Trustee and the senior officers of the Trust. The tables separately list Trustee members who are “interested persons” of the Fund (i.e., “Interested” Trustees) and those who are not (i.e., “Independent” Trustees). The Trust is comprised of 12 funds. Unless otherwise noted, the business address of each Trustee and senior officer is 1100 North Market Street, 9th Floor, Wilmington, DE 19890. Each Trustee oversees all portfolios of the Trust and serves for an indefinite term. The Trust’s Statement of Additional Information includes additional information about the Trustees and is available, without charge and upon request, by calling 1-800-836-2211.

INTERESTED TRUSTEES BACKGROUND

 

    Name

    Birth Year

    Position with Trust

    Date Service Began

    Principal Occupations and Other Directorships Held for Past Five Years

    Dominick J. D’Eramo*

    Birth year: 1964

    TRUSTEE

    Began serving: November 2018

    PRESIDENT

    Began serving: June 2018

   

Principal Occupations: Senior Vice President, Wilmington Trust Investment Advisors, Inc. and Head of Fixed Income.

 

Previous Positions: Group Vice President, Wilmington Trust Investment Advisor, Inc. (WTIA) (2014-2017); Administrative Vice President, WTIA (2012-2014).

 

*

Dominick J. D’Eramo is “interested” due to his employment with WTIA and his position with WFMC, investment Advisors to the Funds.

INDEPENDENT TRUSTEES BACKGROUND

 

    Name

    Birth Year

    Position with Trust

    Date Service Began

    Principal Occupations and Other Directorships Held for Past Five Years

    Nicholas A. Giordano

    Birth year: 1943

    CHAIRMAN and TRUSTEE

    Began serving: March 2012

   

Principal Occupations: Consultant, financial services organizations (1997 to present).

 

Other Directorships Held: The RBB Fund Inc. (34 portfolios) (registered investment companies); Independence Blue Cross; IntriCon Corporation (body-worn products).

 

Previous Positions: Director, Kalmar Pooled Investment Trust (through 6/17).

    Robert H. Arnold

    Birth year: 1944

    TRUSTEE

    Began serving: March 2012

   

Principal Occupations: Managing Director, R.H. Arnold & Co, Inc. (financial management consulting) (6/89 to present).

 

Other Directorships Held: None.

 

Previous Positions: Trustee, First Potomac Realty Trust (real estate investment trust) (5/03 to 12/17); Director, Treasury Strategies, Inc. (private treasury consulting services) (6/01 to 6/16).

    Gregory P. Chandler

    Birth year: 1966

    TRUSTEE

    Began serving: July 2017

   

Principal Occupations: Chief Financial Officer, Avocado Systems, Inc. (cybersecurity software) (3/20 to present); President, GCVC Consulting (financial and corporate governance advisory) (2008 to present).

 

Other Directorships Held: Trustee, RBB Fund Series Trust (34 portfolios) (registered investment companies) (2012 to present); Trustee, FS Energy Partners (business development company) (2009 to present); Director, Emtec, Inc. (2005 to 2019); Director, FS Investment Corporation (business development company) (2007 to 2019);

 

Previous Positions: Chief Financial Officer, Emtec, Inc. (information technology services) (2009 to 2020); Managing Director, Janney Montgomery Scott LLC (investment banking) (1999 to 2009); Consulting Manager, PwC (1997 to 1999); Manager, Business Assurance, Coopers & Lybrand (audit services) (1995 – 1997)

 

April 30, 2021 (unaudited) / ANNUAL REPORT

BOARD OF TRUSTEES AND TRUST OFFICERS   30

 

    Name

    Birth Year

    Position with Trust

    Date Service Began

    Principal Occupations and Other Directorships Held for Past Five Years

    Donald E. Foley

    Birth year: 1951

    TRUSTEE

    Began serving: December 2015

   

Principal Occupations: Director, BioSig Technologies (2015 to present); Trustee, AXA Premier VIP Trust (2017 to present); Trustee, EQ Advisors Trust (2014 to present); Trustee, 1290 Funds (retail funds) (2014 to present); Chairman and Director, Burke Rehabilitation Hospital Foundation (private hospital, research institute) (2005 to present); Trustee and Chairman of the President’s Council, Union College (private college) (2011 to present); Chairman and Trustee, New Beginning Family Academy (elementary charter school) (2016 to present).

 

Other Directorships Held: Director, M&T Bank Corporation (commercial bank) (2011 to 2012); Chairman and Director, Wilmington Trust Corporation (commercial and trust bank) (2007 to 2011).

 

Previous Positions: Advisory Member, Trust and Investment Committee, M&T Bank, Wilmington Trust, National Association, and Wilmington Trust Company (through 2016); Chairman and Chief Executive Officer of Wilmington Trust Corporation (2010 to 2011).

    Valerie J. Sill

    Birth year: 1962

    TRUSTEE

    Began serving: April 2020

   

Principal Occupations: President, Chief Executive Officer and Chief Investment Officer, DuPont Capital Management (asset management) (2004 to present).

 

Other Directorships Held: Trustee, Longwood Gardens (2005 to present); Trustee of the Christiana Care Health System (2012 to present); and Advisory Counsel, Federal Reserve Bank of Philadelphia’s Economic Advisory Council (2010 to 2013).

 

Previous Positions: Executive Vice President at The Boston Company (1994 to 2004).

OFFICERS

 

    Name

    Birth Year

    Positions with Trust

    Principal Occupations for Past Five Years and Previous Positions

    John C. McDonnell

    Birth year: 1966

    CHIEF OPERATIONS OFFICER

    Began serving: June 2017

    VICE PRESIDENT

    Began serving: June 2012

   

Principal Occupations: Chief Operations Officer, Wilmington Funds; Administrative Vice President, Wilmington Funds Management Corporation (2005 to present); Administrative Vice President, Wilmington Trust Investment Advisors, Inc. (2012 to present).

 

Previous Positions: Vice President, Wilmington Trust Investment Management, LLC (2005 to 2012).

    Lisa Druelinger

    Birth year: 1978

    CHIEF COMPLIANCE OFFICER and AML     COMPLIANCE OFFICER.

    Began serving: November 2017

   

Principal Occupations: Chief Compliance Officer and Anti-Money Laundering Officer, Wilmington Funds; Administrative Vice President, M&T Bank.

 

Previous Positions: Vice President and Senior Compliance Officer, Wilmington Trust Investment Advisors, Inc. (2015-2017); Wilmington Funds Product Manager, Wilmington Trust Investment Advisors, Inc. (2013-2015); Institutional and Retirement Services Product Manager, Wilmington Trust (2011-2013); Trust Compliance and Risk Management at M&T Bank (2006-2011).

    John J. Kelley

    Birth year: 1959

    VICE PRESIDENT

    Began serving: December 2016

   

Principal Occupations: President of Wilmington Funds Management Corporation; Group Vice President and Chief Administrative Officer, Wilmington Trust Investment Advisors, Inc.

 

Previous Positions: Vice President, BNY Mellon Investment Servicing (formerly, PNC Global Investment Servicing) from (1/05 to 7/05); Vice President of Administration, 1838 Investment Advisors, LP (1999 to 2005); Chief Compliance Officer, 1838 Investment Advisors, LP (2004 to 2005).

 

ANNUAL REPORT / April 30, 2021 (unaudited)

31   BOARD OF TRUSTEES AND TRUST OFFICERS

 

    Name

    Birth Year

    Positions with Trust

    Principal Occupations for Past Five Years and Previous Positions

    Robert L. Tuleya

    Birth year: 1974

    VICE PRESIDENT and ASSISTANT     SECRETARY

    Began serving: September 2018

   

Principal Occupations: Vice President and Assistant Secretary, Wilmington Funds; Vice President and Assistant Secretary, Wilmington Funds Management Corporation (2018 to present); Vice President and Assistant Secretary, Wilmington Trust Investment Advisors, Inc. (2018 to present); Vice President and Assistant Secretary, Wilmington Trust Investment Management, LLC (2018 to present); Vice President and Assistant General Counsel, M&T Bank (2018 to present).

 

Previous Positions: Vice President and Counsel, M&T Bank (2017 to 2018); Senior Counsel, PNC Bank (2014 to 2017).

    Christopher W. Roleke

    10 High Street, Suite 302

    Boston, MA 02110

    Birth year: 1972

    CHIEF EXECUTIVE OFFICER

    Began serving: October 2020

   

Principal Occupation: Managing Director and Fund Principal Financial Officer, Foreside Management Services, LLC (2011 to present).

 

Previous Positions: Assistant Vice President, JP Morgan Investor Services Co. (2006 to 2011).

    Arthur W. Jasion

    Three Canal Plaza, Suite 100

    Portland, ME 04101

    Birth year: 1965

    CHIEF FINANCIAL OFFICER AND TREASURER

    Began serving: October 2020

   

Principal Occupation: Senior Director and Fund Principal Financial Officer, Foreside Management Services, LLC (2020 to present).

 

Previous Positions: Partner, Ernst &Young LLP (2012 to 2020).

    Lisa R. Grosswirth

    240 Greenwich Street, 22nd Floor

    New York, NY 10286

    Birth year: 1963

    SECRETARY

    Began serving: September 2007

   

Principal Occupation: Vice President, BNY Mellon Asset Servicing (2004 to present).

 

Previous Positions: Supervisory Paralegal, The Dreyfus Corporation (1998 to 2004).

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  32

 

Board Approval of Liquidity Risk Management Program

To promote effective liquidity risk management throughout the fund industry and to enhance disclosure regarding fund liquidity and redemption practices, the Securities and Exchange Commission (the “Commission”) adopted Rule 22e-4 under the Investment Company Act of 1940, as amended. The rule requires every registered open-end management company to establish a liquidity risk management program that, among other things, provides for the assessment, management and review of liquidity risk, the classification of a fund’s portfolio investments into one of four liquidity buckets based upon the number of days that such investments may reasonably be expected to be converted into cash or otherwise disposed of without significantly impacting their price, the establishment of a highly liquid investment minimum where required, and the establishment of a 15% limitation on illiquid investments. Additionally, the Commission adopted Rule 30b1-10 and Form N-LIQUID, which generally requires a fund to notify the Commission when certain liquidity-related events occur.

The Wilmington Funds Board of Trustees (the “Board”) approved the appointment of the Funds’ Liquidity Risk Management Committee (“Liquidity Committee”) as the administrator of the liquidity risk management program (the “LRMP”) for the Funds on September 6, 2018 and the Funds’ final LRMP on March 5, 2019. At the regular meeting of the Board on March 10, 2021, the Trust’s Chief Operations Officer, as a member of the Liquidity Committee, provided a report to the Board on the operation and effectiveness of the LRMP for the year of operation ending December 31, 2020. The Liquidity Committee managed liquidity risks associated with the Funds’ investments by monitoring cash and cash equivalents, the use of derivatives, the concentration of investments and the appropriateness of portfolio strategies for open-end funds, and by classifying each investment of a Fund as either highly liquid, moderately liquid, less liquid or illiquid on at least a monthly basis. To assist with the classification of each Fund’s investments, the Liquidity Committee utilized a third party provider of liquidity monitoring services. The Liquidity Committee supplied portfolio-level data and certain assumptions to the provider which then used the information to determine the liquidity classification of each security position held by the Funds. The liquidity classifications as of each month end were reviewed by the Liquidity Committee on at least a quarterly basis and would be reviewed more often if market conditions warranted. For assets managed by a third party sub-adviser the Liquidity Committee would take sub-adviser input into account where appropriate in determining the liquidity classifications.

The LRMP effectively managed the Funds’ liquidity risks for the twelve month period ended April 30, 2021. During this period, each Fund held more than 50% of its total net assets in highly liquid investments and due to the fact that each Fund is deemed to consist primarily of highly liquid investments, no highly liquid investment minimum was required to be established for any Fund. All Funds holding assets deemed to be illiquid were well under the illiquid investment limitation. Additionally, no events occurred that required the filing of Form N-LIQUID.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

33  

 

 

Shares of the Wilmington Funds are not FDIC insured or otherwise protected by the U.S. government, are not deposits or other obligations of, or guaranteed by, Manufacturers and Traders Trust Company, and are subject to investment risks, including possible loss of the principal amount invested.

VOTING PROXIES ON FUND PORTFOLIO SECURITIES

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-836-2211. A report on how the Funds voted any such proxies during the most recent 12-month period ended June 30 is available through Wilmington Funds’ website. Go to www.wilmingtonfunds.com select “Proxy Voting Record” to access the link. This information is also available from the Edgar database on the SEC’s website at www.sec.gov.

QUARTERLY PORTFOLIO SCHEDULE

The Fund files a complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Form N-PORT is available on the SEC’s website at www.sec.gov.

Important information about the access and delivery of shareholder reports

Beginning on June 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of your Fund’s shareholder reports will no longer be sent to you by mail, unless you specifically request them. You will be notified by mail each time a report is posted on the Funds’ website and you will be provided with a link to access the report.

If you have already elected to receive shareholder reports electronically, you will not be affected by this change and you do not need to take any action. You may elect to receive other communications electronically from the Fund by contacting your financial intermediary or, if you hold shares directly with the Fund, by calling 1-800-836-2211.

You may elect to receive paper copies of all future shareholder reports free of charge. If you own these shares through a financial intermediary, you may contact your financial intermediary to elect to receive paper copies of your shareholder reports. If you are a direct investor you can inform the Wilmington Funds that you wish to continue receiving paper copies of your shareholder reports by contacting us at 1-800-836-2211. Your election to receive paper reports will apply to all funds held directly with Wilmington Funds and may apply to all funds held with your financial intermediary.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  34

 

PRIVACY POLICY AND NOTICE

OF THE FUNDS AND THEIR DISTRIBUTOR

June 8, 2012

The Wilmington Funds, their distributor and their agents (referred to as “the Funds”, “we” or “us”) recognize that consumers (referred to as “you” or “your”) expect us to protect both your assets and financial information. We respect your right to privacy and your expectation that all personal information about you or your account will be maintained in a secure manner. We are committed to maintaining the confidentiality, security and integrity of client and shareholder information. We want you to understand the Funds’ policy that governs the handling of your information, how the Funds gather information, how that information is used and how it is kept secure.

Information The Funds Collect:

The Funds collect nonpublic personal information about you from the following sources:

 

  •

We may receive information from you, or from your financial representative, on account applications, other forms or electronically (such as through the Funds’ website or other electronic trading mechanisms). Examples of this information include your name, address, social security number, assets and income.

 

  •

We may receive information from you, or from your financial representative, through transactions with us or others, correspondence and other communications. Examples of this information include specific investments and your account balances.

 

  •

We may obtain other personal information from you in connection with providing you a financial product or service. Examples of this information include depository, debit or credit account numbers.

Information Sharing Policy:

The Funds may share nonpublic personal information about you, as described above, with financial or non-financial companies or other entities, including companies that may be affiliated with the Funds and other nonaffiliated third parties, for the following purposes:

 

  •

We may share information when it is necessary and required to process a transaction or to service a customer relationship. For example, information may be shared with a company that provides account record keeping services or a company that provides proxy services to shareholders.

 

  •

We may share information when it is required or permitted by law. For example, information may be shared in response to a subpoena or to protect you against fraud or with someone who has established a legal beneficial interest, such as a power of attorney.

 

  •

We may disclose some or all of the information described above to companies that perform marketing or other services on our behalf. For example, we may share information about you with the financial intermediary (bank, investment bank or broker-dealer) through whom you purchased the Funds’ products or services, or with providers of marketing, legal, accounting or other professional services. The Funds will not, however, disclose a consumer’s account number or similar form of access number or access code for credit card, deposit or transaction accounts to any nonaffiliated third party for use in telemarketing, direct mail or other marketing purposes.

Except as described above, the Funds do not share customer information. We will not rent, sell, trade, or otherwise release or disclose any personal information about you. Any information you provide to us is for the Funds’ use only. If you decide to close your account(s) or become an inactive customer, we will adhere to the privacy policies and practices as described in this notice.

Information Security:

When the Funds share nonpublic customer information with third parties hired to facilitate the delivery of certain products or services to our customers, such information is made available for limited purposes and under controlled circumstances designed to protect our customers’ privacy. We require third parties to comply with our standards regarding security and confidentiality of such information. We do not permit them to use that information for their own or any other purposes, or rent, sell, trade or otherwise release or disclose the information to any other party. These requirements are reflected in written agreements between the Funds and the third party service providers.

The Funds protect your personal information in several ways. We maintain physical, electronic, and procedural safeguards to guard your nonpublic personal information. In addition, the Funds’ Transfer Agent and Shareholder Servicing Agent have procedures in place for the appropriate disposal of nonpublic personal information when they are no longer required to maintain the information.

Each of the following sections explains an aspect of the Funds’ commitment to protecting your personal information and respecting your privacy.

Employee Access to Information:

Our Code of Ethics, which applies to all employees, restricts the use of customer information and requires that it be held in the strictest of confidence. Employee access to customer information is authorized for business purposes only, and the degree of access is based on the sensitivity of the information and on an employee’s or agent’s need to know the information in order to service a customer’s account or comply with legal requirements.

Visiting The Funds’ Website:

The Funds’ website gathers and maintains statistics about the number of visitors as well as what information is viewed most frequently. This information is used to improve the content and level of service we provide to our clients and shareholders.

 

  •

Information or data entered into a website will be retained.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

35  

 

  •

Where registration to a website or re-entering personal information on a website is required, “cookies” are used to improve your online experience. A cookie is a way for websites to recognize whether or not you have visited the site before. It is a small file that is stored on your computer that identifies you each time you re-visit our site so you don’t have to resubmit personal information. Cookies provide faster access into the website.

  •

We may also collect non-personally identifiable Internet Protocol (“IP”) addresses for all other visitors to monitor the number of visitors to the site. These non-personally identifiable IP addresses are never shared with any third party.

E-mail:

If you have opted to receive marketing information from the Funds by e-mail, it is our policy to include instructions in all marketing messages on how to unsubscribe from subsequent e-mail programs. Some products or services from the Funds are intended to be delivered and serviced electronically. E-mail communication may be utilized in such cases. If you participate in an employer-sponsored retirement plan administered by the Funds, we may, at your employer’s request, send you e-mail on matters pertaining to the retirement plan.

Please do not provide any account or personal information such as social security numbers, account numbers, or account balances within your e-mail correspondence to us. We cannot use e-mail to execute transaction instructions, provide personal account information, or change account registration. We can, however, use e-mail to provide you with the necessary forms or you may contact customer service toll-free at 1-800-836-2211.

Surveys/Aggregate Data:

Periodically, the Funds may conduct surveys about financial products and services or review elements of customer information in an effort to forecast future business needs. The Funds then generate reports that include aggregate data regarding its customers. Aggregate data classifies customer information in various ways but that does not identify individual customers. These reports may also include information on website traffic patterns and related information. These reports are used for the Funds’ planning, statistical and other corporate purposes. Aggregate data may also be shared with external parties, such as marketing organizations. However, no information is shared by which any individual customer could be identified.

Changes to Our Privacy Statement:

The effective date of this policy is June 8, 2012. We reserve the right to modify this policy at any time. When it is revised or materially changed, we will update the effective date. You can determine whether there have been changes since the last time you reviewed by simply checking the effective date.

Notice will be provided to you in advance of any changes that would affect your rights under this policy statement.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

[This Page Intentionally Left Blank]

LOGO

LOGO

WILMINGTON
FUNDS
April 30, 2021
PRESIDENT’S MESSAGE AND
Annual Report
WILMINGTON FUNDS
Fixed Income Funds
Wilmington Broad Market Bond Fund
Wilmington Intermediate-Term Bond Fund
Wilmington Short-Term Bond Fund
Wilmington Municipal Bond Fund
Wilmington New York Municipal Bond Fund

LOGO

 

Wilmington Broad Market Bond Fund (“Broad Market Bond Fund”)

Wilmington Intermediate-Term Bond Fund (“Intermediate-Term Bond Fund”)

Wilmington Short-Term Bond Fund (“Short-Term Bond Fund”)

Wilmington Municipal Bond Fund (“Municipal Bond Fund”)

Wilmington New York Municipal Bond Fund (“New York Municipal Bond Fund”)

 

LOGO

 

PRESIDENT’S MESSAGE

         

President’s Message

      i  

WILMINGTON FUNDS ANNUAL REPORT

         

Management’s Discussion of Fund Performance

      1  

Shareholder Expense Example

      15  

Portfolios of Investments

      17  

Statements of Assets and Liabilities

      50  

Statements of Operations

      52  

Statements of Changes in Net Assets

      54  

Financial Highlights

      57  

Notes to Financial Statements

      62  

Report of Independent Registered Public Accounting Firm

      70  

Board of Trustees and Trust Officers

      71  

Liquidity Risk Management Disclosure

      74  

 

 

 

 

[This Page Intentionally Left Blank]

 

 

 

 

 

  i

 

PRESIDENT’S MESSAGE (unaudited)

Esteemed Shareholder:

I am pleased to present the Annual Report of the Wilmington Funds (the “Trust”), covering the Trust’s annual fiscal year of May 1, 2020, through April 30, 2021. Inside you will find a comprehensive review of the Trust’s holdings and financial statements.

The economy and financial markets in review

Wilmington Funds Management Corporation and Wilmington Trust Investment Advisors, Inc. (the Trust’s investment advisor and subadvisor, respectively), have provided the following review of the economy, bond markets, and stock markets for the Trust’s annual fiscal year.

The economy

The last year was one for the history books and captured both the worst of the COVID-19 pandemic’s impact on global output, as well as the early stages of recovery as vaccines and unprecedented volumes of fiscal and monetary stimulus helped the global economy get back on its feet. The U.S. began the period with one of the steepest quarterly declines on record in Q2 2020 as strict lockdown measures imposed to contain the virus abruptly brought in-person activity to a near halt.

The pace and magnitude of the economic rebound that followed was comparably profound as the approval and distribution of highly effective vaccines and rising COVID-19 vaccination rates across the world in 2021 provided investors with a much-needed light at the end of the tunnel. The federal government’s provision of direct checks to many Americans and extended unemployment benefits padded consumer savings, more than offsetting wages lost by low income consumers, and helped to fuel a robust rebound in spending on goods. Spending on services, which depends more on in person interaction, has still yet to recover to pre-pandemic levels but showed signs of picking up in 1Q 2021 as a growing number of states peeled back virus restrictions. The labor market recovered considerably in the period, as the unemployment rate dropped from 14.7% in April 2020, the highest observed since the Great Depression, to 6.1% one year later. The Federal Reserve (the “Fed”) upgraded its outlook for economic activity and inflation, but still guided for rates to remain near zero for years to come and for monthly purchases of treasuries and mortgage-backed securities to continue for the time being.

Economic activity outside the U.S. varied between regions depending on the success of virus containment and vaccination efforts. The eurozone was bogged down by weakness in the services sector for much of the period. Gross Domestic Product (“GDP”) growth contracted in the region for a second consecutive quarter in 1Q 2021 as many of the largest economies kept tight mobility restrictions in place in response to a resurgence of infections and the looming threat of new virus variants. However, notable strength on the industrial side of the economy provided some offset as manufacturing activity benefitted from strength in global goods demand. After a rocky start, vaccination efforts in many European countries began to accelerate in March and April of 2021 paving the way for renewed reopening efforts.

The virus remained a persistent threat for many developing economies, where vaccination campaigns broadly lagged the developed world by a substantial margin. Brazil and India in particular, emerged as virus epicenters in early 2021 after witnessing sharp spikes in infection rates, providing a grim reminder of the need for vaccination efforts to broaden in the emerging world. China was first in and first out of the COVID-19 pandemic after controlling infection rates more effectively and far earlier than most countries and was the only major economy to record positive GDP growth in 2020. Chinese manufacturing activity expanded at a feverish pace for much of the period, benefitting from goods exports and government investment. The services side of the economy lagged but began to narrow the gap later in the period as a brief rise in virus cases was brought under control.

Bond markets

Fixed income performance was mixed over the past year as spreads compressed materially across taxable and tax-exempt credit from extreme levels recorded in early 2020. However, rising long-term rates served as a headwind later in the period. The U.S. 10-year Treasury yield surged over 80 basis points1 in 1Q 2021 for its largest quarterly rise since 2016, buttressed by an improving growth outlook and expectations for higher inflation later in the year. Upward rate pressure weighed heavily on investment grade taxable bonds, as the Bloomberg Barclays U.S. Aggregate Bond Index suffered its worst quarter in several decades in 1Q, more than offsetting gains booked in much of 2020. In investment grade, tax-exempt held up better than taxable peers as strong demand for yield offset more muted new supply, helping to overshadow the rise in rates. Municipals also benefitted from the American Recovery Plan passed by the federal government in March 2021, which included $350 billion of funding for state and local governments. High-yield credit outperformed investment grade in both the taxable and tax-exempt spaces substantially as spreads continued to normalize from more elevated levels, and investors embraced riskier assets.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

ii  

 

For the 12-month period May 1, 2020 to April 30, 2021, certain Bloomberg Barclays indices performed as follows:2

 

Bloomberg

Barclays U.S.

Treasury Bond

Index3

  

Bloomberg
Barclays U.S.

Aggregate Bond

Index4

 

Bloomberg
Barclays U.S.

Credit Bond

Index5

 

Bloomberg
Barclays

Municipal Bond

Index6

  Bloomberg      
Barclays U.S.      
Corporate High  Yield      
Bond Index7       

 

-4.32%

   

 

-0.27%

  

 

4.25%

  

 

7.75%

  

 

19.67%      

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Equity markets

Global equities recorded historically strong performance over the past 12-months as concerns over the initial spread of COVID-19 gave way to optimism over the pace of subsequent recovery. After suffering a -33% market rout in February and March of 2020, the S&P 500 reclaimed its pre-pandemic peak by August of that year, marking the fastest bear market recovery on record. U.S. large cap outperformed from April through November as mega-cap growth stocks that benefitted most from the “stay- at- home” environment prevailed.

November brought an immense shift in leadership, as positive vaccine developments and growing optimism for a swifter return to normal fueled a powerful rotation into economically sensitive areas of the market. U.S. small-cap and value stocks, which carry a heavier weighting toward cyclical sectors, were notable beneficiaries of this trend.

Emerging market equities recorded solid gains in the reflationary environment but saw some weakness in February as certain regions struggled with new outbreaks of COVID-19. In addition, Chinese equities, which comprise a significant share of the MSCI Emerging Markets Index, were weighed down by a mix of regulatory headwinds and concerns over policy tightening. International developed equities also performed well and benefitted from a tilt toward segments that benefit most from rising interest rates and inflation. Equities in Europe picked up momentum towards the end of the period amidst an improving economic outlook for many of the region’s largest countries as vaccinations ramped up.

For the 12-month period May 1, 2020 to April 30, 2021, certain stock market indices performed as follows:

 

S&P 500®

Index8

  

Russel

2000®

Index9

 

MSCI EAFE

(Net) Index10

  

 

MSCI Emerging                 

Markets (Net)                

Index11                 

 

45.98%

   

 

74.91%

  

 

39.88%

  

 

48.71%                

Past performance is no guarantee of future results. Short-term performance may not be indicative of long-term results.

Source: Lipper. You cannot invest directly in an index.

Although we have begun a new fiscal year, we will never forget the daunting damage that the pandemic has wrought on multiple levels. Still, there is much in the world that is positive, hopeful, and strong. I am referring to our trusted partnership with our clients, our desire to stay close to what’s important to them, and our fervent dedication to helping them achieve their long-term investment objectives. On that—as well as our fiduciary, clients-first mindset—you can always count.

Sincerely,

 

LOGO

Dominick J. D’Eramo, CFA

President

May 14, 2021

 

April 30, 2021 (unaudited) / PRESIDENT’S MESSAGE

  iii

 

Must be preceded or accompanied by a prospectus.

Past performance is no guarantee of future results. The index performance quoted is for illustrative purposes only and is not representative of any specific investment. Diversification does not ensure a profit nor protect against loss.

All investments involve risk, including the possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. International investments are subject to special risks, including currency fluctuations, social, economic, and political uncertainties, which could increase volatility. These risks are magnified in emerging markets.

High-yield, lower-rated securities generally entail greater market, credit, and liquidity risks than investment grade securities and may include higher volatility and higher risk of default.

 

1.    

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

 

2.    

Bond prices are sensitive to changes in interest rates and a rise in interest rates can cause decline in their prices.

 

3.    

Bloomberg Barclays U.S. Treasury Bond Index is a market capitalization weighted index that includes all publicly issued U.S. Treasury securities that have a remaining maturity of at least one year, are rated investment-grade, and have $250 million or more of outstanding face value. The index is unmanaged and investments cannot be made directly in an index.

 

4.    

Bloomberg Barclays U.S. Aggregate Bond Index is a widely used benchmark index for the domestic investment-grade bond market composed of securities from the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index. The index typically includes fixed income securities with overall intermediate- to long-term average maturities. The index is unmanaged and investments cannot be made directly in an index.

 

5.    

Bloomberg Barclays U.S. Credit Bond Index tracks the performance of domestic investment-grade corporate bonds and is composed of all publicly issued, fixed-rate, nonconvertible, investment-grade corporate debt. The index is unmanaged and investments cannot be made directly in an index.

 

6.    

Bloomberg Barclays Municipal Bond Index tracks the performance of the long-term, tax-exempt, investment-grade bond market. To be included in the index, bonds must have an outstanding par balance of at least $7 million and be issued as part of a transaction of at least $75 million. The index is unmanaged and investments cannot be made directly in an index.

 

7.    

Bloomberg Barclays U.S. Corporate High Yield Bond Index measures the USD-denominated, high yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody’s, Fitch, and S&P is Ba1/BB+/BB+ or below. Bonds from issuers with an emerging markets country of risk, based on the Bloomberg Barclays EM country definition, are excluded. The U.S. Corporate High Yield Bond Index is a component of the U.S. Universal and Global High Yield Indices. An investment cannot be made directly in an index.

 

8.    

The S&P 500® Index is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index is unmanaged and investments cannot be made directly in an index.

 

9.    

The Russell 2000® Index measures the performance of the 2,000 smallest companies in the Russell 3000® Index, which represents approximately 8% of the total market capitalization of the Russell 3000® Index. As of its latest reconstitution, the index had a total market capitalization range of $152.3 million to $5 billion. The index is unmanaged and investments cannot be made directly in an index.

 

10.  

MSCI EAFE (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of developed markets, excluding the U.S. & Canada. The MSCI EAFE (Net) Index is an equity index which captures large and mid-cap representation across 21 Developed Markets countries: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the United Kingdom. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

11.  

MSCI Emerging Markets (Net) Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of emerging markets. The MSCI Emerging Markets (Net) Index captures large and mid-cap representation across 27 Emerging Markets countries: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. The index is unmanaged and investments cannot be made directly in an index. The performance of this index is reduced by the taxes on dividends paid by the international securities issuers in the index.

 

PRESIDENT’S MESSAGE / April 30, 2021 (unaudited)

1  

 

WILMINGTON BROAD MARKET BOND FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Broad Market Bond Fund (the “Fund”) had a total return of 0.51%* for Class A Shares and 0.83%* for Class I Shares, versus its benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index**, which had a total return of -0.27%, and its peer group, the Lipper Corporate A-Rated Debt Funds Average***, which had a total return of 3.47%.

Thankfully, the economy is reopening as the vaccination rollout has been very successful. We are certainly in a much better place than we were a year ago. Your fixed income team continues to meet “virtually” daily to review current events and set strategy. We continue to utilize our disciplined relative value investment process. We emphasize our guiding philosophies of maintaining well diversified and liquid portfolios. We conduct our own independent credit analysis. Most importantly in these uncertain times, we draw upon our experienced team. As always, our disciplined risk management efforts guide our investment decisions.

We feel the economy is in a much better place than it was a year ago. The unemployment rate has fallen from 14.7% to 6.1%, although still above the pre-pandemic level of 3.5%. Economic growth as measured by Gross Domestic Product (“GDP”) has fully rebounded to pre-pandemic levels. 1st quarter GDP was up a robust 6.4%, the 2nd strongest quarterly growth rate since 2003. The catalysts for the economic rebound have been the various significant stimulus programs and extremely accommodative monetary policy. The Federal Reserve (the “Fed”) expects to maintain the zero interest rate policy through 2023 and will allow inflation to run moderately above 2%. The latest inflation data was concerning with the core Consumer Price Index (“CPI”) rising by 0.9% its largest increase since 1982. The price increases were driven by some of the sectors of the economy that are reopening. For example, airfares rose by 10.2%, hotel prices were up by 8.8%. The Fed has communicated that they expect the rise in inflation to be “transitory” and therefore will not look to react by raising interest rates unless inflation moves higher for a longer period.

Longer-term interest rates have moved higher on the better than expected economic growth and the expectations for higher inflation. The 10-year Treasury yield at fiscal year-end was 1.63%, up 1% over the past year. The total return for the 10-year Treasury for the fiscal year was -7.69% given the rise in interest rates. Short-term interest rates have been unchanged over the past year as they are anchored by the Fed’s expectation to maintain the very low interest rate policy. The 2-year Treasury had a yield of 0.16% on April 30, 2021.

The Corporate sector rebounded and outperformed for the fiscal year. For the fiscal year, the sector produced 10.19% of excess return. The average risk premium for the Bloomberg Barclays U.S. Investment Grade Corporate Index**** tightened from 202 basis points on April 30, 2020 to 88 basis points on April 30, 2021. The outperformance can be attributed to the global search for yield, the higher valuations to start the fiscal year and optimism on the economy rebounding. In particular, the energy sector dramatically outperformed as oil prices rebounded back to pre-pandemic levels.

The Fund’s outperformance versus the Bloomberg Barclays Aggregate Bond Index can be attributed to our Fund maintaining a shorter duration than the index, especially as interest rates have moved higher. Our

yield curve strategy of reducing our allocation to the longer end of the yield curve aided performance as this portion of the yield curve underperformed as the yield curve steepened. Our overweight allocation to the corporate sector also aided performance versus the index, as the corporate sector outperformed.

Looking forward, the expectation is for the Fed to maintain a zero interest rate policy until the economy recovers from the pandemic. The market is anticipating no change in the Fed Funds target before 2022. Longer-term interest rates will be determined by inflation expectations and anticipated Fed policy. The corporate sector should continue to benefit from the reopening of the economy. However, risk premiums are historically tight which will most likely lead to less outperformance in the upcoming fiscal year.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -4.01%, adjusted for the Fund’s maximum sales charge of 4.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

The Bloomberg Barclays U.S. Aggregate Bond Index is an index measuring both the capital price changes and income provided by the underlying universe of securities, comprised of U.S. Treasury obligations, U.S. investment grade corporate debt and mortgage-backed obligations. The index is unmanaged and it is not possible to invest directly in an index.

 

***

Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective category indicated. These figures do not reflect sales charges.

 

****

The Bloomberg Barclays U.S. Investment Grade Corporate Index measures the investment grade, fixed-rate, taxable corporate bond market. The index is unmanaged and it is not possible to invest directly in an index.

Bond prices are sensitive to changes in interest rates and a rise in short-term interest rates could cause a decline in bond prices.

Excess Return is a security or sector’s return minus the return from a U.S. Treasury of similar maturity or duration.

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  2

 

WILMINGTON BROAD MARKET BOND FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Broad Market Bond Fund; from April 30, 2011 to April 30, 2021, compared to the Bloomberg Barclays U.S. Aggregate Bond Index.2

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -4.01%, adjusted for the Fund’s maximum sales charge of 4.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

                1 Year                            5 Years                            10 Years             
   

Class A^

 

   -4.01%

 

   1.73%

 

   2.47%

 

   

Class I^

 

   0.83%

 

   3.02%

 

   3.29%

 

   

Bloomberg Barclays U.S. Aggregate Bond Index2

 

   -0.27%

 

   3.19%

 

   3.39%

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.07% and 0.78%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 0.57% and 0.43%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 4.50% ($10,000 investment minus $450 sales charge = $9,550) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

 

2

The performance for the Bloomberg Barclays U.S. Aggregate Bond Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index, and the represented index is unmanaged.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

3  

 

WILMINGTON INTERMEDIATE-TERM BOND FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Intermediate-Term Bond Fund (the “Fund”) had a total return of 1.98%* for Class A Shares and 2.32%* for Class I Shares, versus its benchmark, the Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index**, which had a total return of 1.09% and its peer group, the Lipper Short-Intermediate Investment Grade Debt Funds Average***, which had a total return of 3.56%.

Thankfully, the economy is reopening as the vaccination rollout has been very successful. We are certainly in a much better place than we were a year ago. Your fixed income team continues to meet “virtually” daily to review current events and set strategy. We continue to utilize our disciplined relative value investment process. We emphasize our guiding philosophies of maintaining well diversified and liquid portfolios. We conduct our own independent credit analysis. Most importantly in these uncertain times, we draw upon our experienced team. As always, our disciplined risk management efforts guide our investment decisions.

We feel the economy is in a much better place than it was a year ago. The unemployment rate has fallen from 14.7% to 6.1%, although still above the pre-pandemic level of 3.5%. Economic growth as measured by Gross Domestic Product (“GDP”) has fully rebounded to pre-pandemic levels. 1st quarter GDP was up a robust 6.4%, the 2nd strongest quarterly growth rate since 2003. The catalysts for the economic rebound have been the various significant stimulus programs and extremely accommodative monetary policy. The Federal Reserve (the “Fed”) expects to maintain the zero interest rate policy through 2023 and will allow inflation to run moderately above 2%. The latest inflation data was concerning with the core Consumer Price Index (“CPI”) rising by 0.9% its largest increase since 1982. The price increases were driven by some of the sectors of the economy that are reopening. For example, airfares rose by 10.2%, hotel prices were up by 8.8%. The Fed has communicated that they expect the rise in inflation to be “transitory” and therefore will not look to react by raising interest rates unless inflation moves higher for a longer period.

Longer-term interest rates have moved higher on the better than expected economic growth and the expectations for higher inflation. The 10-year Treasury yield at fiscal year-end was 1.63%, up 1% over the past year. The total return for the 10-year Treasury for the fiscal year was -7.69% given the rise in interest rates. Short-term interest rates have been unchanged over the past year as they are anchored by the Fed’s expectation to maintain the very low interest rate policy. The 2-year Treasury had a yield of 0.16% on April 30, 2021.

The Corporate sector rebounded and outperformed for the fiscal year. For the fiscal year, the sector produced 10.19% of excess return. The average risk premium for the Bloomberg Barclays U.S. Investment Grade Corporate Index**** tightened from 202 basis points on April 30, 2020 to 88 basis points on April 30, 2021. The outperformance can be attributed to the global search for yield, the higher valuations to start the fiscal year and optimism on the economy rebounding. In particular, the energy sector dramatically outperformed as oil prices rebounded back to pre-pandemic levels.

The Fund’s outperformance versus the Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index can be attributed primarily to our Fund maintaining an overweight allocation to the corporate sector versus the index, as the corporate sector outperformed.

Looking forward, the expectation is for the Fed to maintain a zero interest rate policy until the economy recovers from the pandemic. The market is anticipating no change in the Fed Funds target before 2022. Longer-term interest rates will be determined by inflation expectations and anticipated Fed policy. The corporate sector should continue to benefit from the reopening of the economy. However, risk premiums are historically tight which will most likely lead to less outperformance in the upcoming fiscal year.

The Fund maintains an overweight to corporate bonds. Yield curve positioning is neutral and the Fund maintains a duration that is shorter than the benchmark. We anticipate modestly higher rates as the economic activity drives higher inflation.

At a meeting of the Board of Trustees (the “Board”) of the Wilmington Funds held on June 3, 2021, management proposed and the Board approved a plan of reorganization for the Fund. The plan of reorganization stated the Fund will merge with the Wilmington Broad Market Bond Fund with a proposed closing date in August 2021. A notice of the merger was provided to shareholders in June 2021 and an information statement providing further details about the merger will be mailed to shareholder in July 2021.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -2.61%, adjusted for the Fund’s maximum sales charge of 4.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

The Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index is a widely recognized, market value weighted index of U.S. Treasury securities, U.S. government agency obligations, corporate debt securities, Yankee bonds and non-convertible corporate debt securities issued by or guaranteed by foreign governments and agencies. The index is unmanaged and it is not possible to invest directly in an index.

 

***

Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective category indicated. These figures do not reflect sales charges.

 

****

The Bloomberg Barclays U.S. Investment Grade Corporate Index measures the investment grade, fixed-rate, taxable corporate bond market. The index is unmanaged and it is not possible to invest directly in an index.

Bond prices are sensitive to changes in interest rates and a rise in short-term interest rates could cause a decline in bond prices.

Excess Return is a security or sector’s return minus the return from a U.S. Treasury of similar maturity or duration.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  4

 

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.

Yield curve is a line that plots interest rates of bonds having equal credit quality but differing maturity dates.

 

 

ANNUAL REPORT / April 30, 2021 (unaudited)

5  

 

WILMINGTON INTERMEDIATE-TERM BOND FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Intermediate-Term Bond Fund from April 30, 2011 to April 30, 2021 compared to the Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index.2

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -2.61%, adjusted for the Fund’s maximum sales charge of 4.50%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

                1 Year                            5 Years                            10 Years             
   

Class A^

 

   -2.61%

 

   1.42%

 

   1.82%

 

   

Class I^

 

   2.32%

 

   2.68%

 

   2.62%

 

   

Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index2

 

   1.09%

 

   2.80%

 

   2.81%

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.40% and 0.84%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 0.90% and 0.49%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 4.50% ($10,000 investment minus $450 sales charge = $9,550) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

 

2

The performance for the Bloomberg Barclays Intermediate U.S. Government/Credit Bond Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index and the represented index is unmanaged.

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  6

 

WILMINGTON SHORT-TERM BOND FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Short-Term Bond Fund (the “Fund”) had a total return of 1.34%* for Class A Shares and 1.59%* for Class I Shares, versus its benchmark, the Bloomberg Barclays 1-3 Year U.S. Government/Credit Bond Index**, which had a total return of 1.02%, and its peer group, the Lipper Short Investment Grade Debt Funds Average***, which had a total return of 4.83%.

Thankfully, the economy is reopening as the vaccination rollout has been very successful. We are certainly in a much better place than we were a year ago. Your fixed income team continues to meet “virtually” daily to review current events and set strategy. We continue to utilize our disciplined relative value investment process. We emphasize our guiding philosophies of maintaining well diversified and liquid portfolios. We conduct our own independent credit analysis. Most importantly in these uncertain times, we draw upon our experienced team. As always, our disciplined risk management efforts guide our investment decisions.

We feel the economy is in a much better place than it was a year ago. The unemployment rate has fallen from 14.7% to 6.1%, although still above the pre-pandemic level of 3.5%. Economic growth as measured by Gross Domestic Product (“GDP”) has fully rebounded to pre-pandemic levels. 1st quarter GDP was up a robust 6.4%, the 2nd strongest quarterly growth rate since 2003. The catalysts for the economic rebound have been the various significant stimulus programs and extremely accommodative monetary policy. The Federal Reserve (the “Fed”) expects to maintain the zero interest rate policy through 2023 and will allow inflation to run moderately above 2%. The latest inflation data was concerning with the core Consumer Price Index (“CPI”) rising by 0.9% its largest increase since 1982. The price increases were driven by some of the sectors of the economy that are reopening. For example, airfares rose by 10.2%, hotel prices were up by 8.8%. The Fed has communicated that they expect the rise in inflation to be “transitory” and therefore will not look to react by raising interest rates unless inflation moves higher for a longer period.

Longer-term interest rates have moved higher on the better than expected economic growth and the expectations for higher inflation. The 10-year Treasury yield at fiscal year-end was 1.63%, up 1% over the past year. The total return for the 10-year Treasury for the fiscal year was -7.69% given the rise in interest rates. Short-term interest rates have been unchanged over the past year as they are anchored by the Fed’s expectation to maintain the very low interest rate policy. The 2-year Treasury had a yield of 0.16% on April 30, 2021.

The Corporate sector rebounded and outperformed for the fiscal year. For the fiscal year, the sector produced 10.19% of excess return. The average risk premium for the Bloomberg Barclays U.S. Investment Grade Corporate Index**** tightened from 202 basis points on April 30, 2020 to 88 basis points on April 30, 2021. The outperformance can be attributed to the global search for yield, the higher valuations to start the fiscal year and optimism on the economy rebounding. In particular, the energy sector dramatically outperformed as oil prices rebounded back to pre-pandemic levels.

The Fed’s historic response to the negative effects of the pandemic and its repeated commitment to maintaining that accommodation for a significant period benefitted the corporate sector. With interest rates around the world at extremely low levels, investors searched for yield

and found it in the US corporate market. The Fund’s significant overweight to the credit sector was the primary reason for its outperformance to the index over the fiscal year. The Fund was overweight the credit sector on both a market value and contribution to duration basis. The Fund continued to be invested in more liquid and generally higher rated portions of both the credit and securitized sectors versus its peer group. This contributed to the Fund’s underperformance versus its peer group as those sectors dramatically outperformed investment grade corporate debt.

Looking forward, the expectation is for the Fed to maintain a zero interest rate policy until the economy recovers from the pandemic. The market is anticipating no change in the Fed Funds target before 2022. Longer-term interest rates will be determined by inflation expectations and anticipated Fed policy. The corporate sector should continue to benefit from the reopening of the economy. However, risk premiums are historically tight which will most likely lead to less outperformance in the upcoming fiscal year.

At a meeting of the Board of Trustees (the “Board”) of the Wilmington Funds held on June 3, 2021, management proposed and the Board approved a plan of liquidation for the Fund. The plan of liquidation stated the Fund will liquidate on July 22, 2021 and a notice of the liquidation was provided in June 2021 to shareholders.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -0.43%, adjusted for the Fund’s maximum sales charge of 1.75%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

**

The Bloomberg Barclays 1-3 Year U.S. Government/Credit Bond Index is a market value-weighted of government fixed-rate debt securities and investment grade U.S. and foreign fixed-rate debt securities with average maturities of 1 to 3 years. The index is unmanaged and it is not possible to invest directly in an index.

 

***

Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective category indicated. These figures do not reflect sales charges.

 

****

The Bloomberg Barclays U.S. Investment Grade Corporate Index measures the investment grade, fixed-rate, taxable corporate bond market. The index is unmanaged and it is not possible to invest directly in an index.

Bond prices are sensitive to changes in interest rates and a rise in short-term interest rates could cause a decline in bond prices.

Excess Return is a security or sector’s return minus the return from a U.S. Treasury of similar maturity or duration.

 

 

ANNUAL REPORT / April 30, 2021 (unaudited)

7  

 

Basis Points (“BPS”) is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument. The basis point is commonly used for calculating changes in interest rates, equity indices and the yield of a fixed-income security.

Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.

 

 

April 30, 2021 (unaudited) / ANNUAL REPORT

  8

 

WILMINGTON SHORT-TERM BOND FUND

The graphs below illustrate the hypothetical investment of $10,0001 in the Class A Shares and $1,000,0001 in the Class I Shares of the Wilmington Short-Term Bond Fund from April 30, 2011 to April 30, 2021 compared to the Bloomberg Barclays 1-3 Year U.S. Government/Credit Bond Index.2

 

LOGO

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was -0.43%, adjusted for the Fund’s maximum sales charge of 1.75%. Mutual fund performance changes over time and current performance may be lower or higher than what is stated. For the most recent month-end performance, please visit www.wilmingtonfunds.com or call 1-800-836-2211.

 

   

 

    Average Annual Total Returns for the Periods Ended 4/30/21    

                1 Year                            5 Years                            10 Years             
   

Class A^

 

   -0.43%

 

   1.29%

 

   1.17%

 

   

Class I^

 

   1.59%

 

   1.90%

 

   1.60%

 

   

Bloomberg Barclays 1-3 Year U.S. Government/Credit Bond Index2

 

   1.02%

 

   1.99%

 

   1.53%

 

 

^

Expense Ratios Before Waivers and Expense Ratios After Waivers for Class A are 1.43% and 0.73%, respectively. Expense Ratios Before Waivers and Expense Ratios After Waivers for Class I are 0.93% and 0.48%, respectively. Expense Ratios Before Waiver represent the operating costs borne by the Fund, expressed as a percentage of the Fund’s average net assets, as shown in the Fees and Expenses table in the Fund’s current prospectus (under “Total Annual Fund Operating Expenses”). Current information regarding the Fund’s Operating Expenses can be found in the Fund’s Financial Highlights.

 

1 

Represents a hypothetical investment of $10,000 in Class A of the Fund after deducting the maximum sales charge of 1.75% ($10,000 investment minus $175 sales charge = $9,825) and $1,000,000 in Class I of the Fund and assumes the reinvestment of all dividends and distributions.

 

2 

The performance for the Bloomberg Barclays 1-3 Year U.S. Government/Credit Bond Index assumes the reinvestment of all dividends and distributions but does not reflect the deduction of a sales charge required for the Fund’s performance by the Securities and Exchange Commission. It is not possible to invest directly in an index and the represented index is unmanaged.

 

ANNUAL REPORT / April 30, 2021 (unaudited)

9  

 

WILMINGTON MUNICIPAL BOND FUND

Management’s Discussion of Fund Performance (Unaudited)

 

For the fiscal year ended April 30, 2021, Wilmington Municipal Bond Fund (the “Fund”) had a total return of 7.05%* for Class A Shares and 7.32%* for Class I Shares, versus its benchmark, the S&P Municipal Bond Intermediate Index** and the S&P Municipal Bond Investment Grade Intermediate Index***, which had a total return of 6.65%, and 6.39%, respectively, and its peer group, the Lipper Intermediate Municipal Debt Funds Average****, which had a total return of 8.15%.

The fiscal year ended April 30, 2021 was probably the most volatile in municipal history as the global pandemic and market fears led to a market wide sell-off and over $50 Billion in fund outflows – causing yields to spike drastically upward – to yields that through the end of the fiscal year are close to record lows. A 5-year AAA rated generic municipal bond yielded 1.09% at the end April 2020 while the same 5-year AAA rated municipal bond yielded 0.36% at the end of April 2021 (Thomson, Municipal Market Data). The standard municipal market valuations reached 14 times the normal standard deviation (a measurement of tail risk) when the same valuation measures were 4 times the normal standard deviation during the height of the global financial crisis in 2008.

The yield compression was driven by increased fund inflows, particularly since the November Presidential election was over, and improving credit fundamentals as tax revenues proved to be quite resilient and less impacted by the economic consequences of the pandemic than earlier feared by municipal investors and the rating agencies. Fund flows year to date are close to $40 Billion and are at pace to break all time record inflows of $96 Billion set in 2019. The lack of supply in tax-exempt municipals has reached critical levels as a tax change in 2016 limited the ability of municipals to refund older debt with new tax-exempt bonds (called advance refundings). Municipalities are now using taxable municipal debt to refund older tax-exempt debt as interest continue to stay low. The result is that there is less tax-exempt debt available for traditional municipal investors at a time when record inflows continue. This supply demand imbalance is called a net negative supply situation and results in further yield compression.

As we discussed in our last shareholder letter, one market-wide measure of valuation is to compare the yield on AAA-rated municipals to the yield available on a Treasury maturing in the same timeframe. Generally, tax-exempt municipal yields trade at a discount to U.S. Treasuries due to the preferential tax treatment. Due to the rise in municipal yields relative to U.S. Treasury yields, the ratio was over 290% at the end of April 2020. At the end of April 2021, the same 5-year ratio is down to 50% as Treasury yields are higher due to inflation fears and municipal yields are much lower due to strong demand.

The Fund outperformed the S&P Municipal Intermediate indices due to an overweight in the A-rated category and the Fund’s security selection in the credit sectors such as higher education, healthcare and appropriation (General Obligation debt that has a pledged revenue source). Those sectors were particularly affected by COVID-19 and the global pandemic and credit spreads and returns improved as the U.S. economy improved and vaccine rates increased. The Fund underperformed the Lipper average during the fiscal year due to the reduction in the Fund’s risk profile – particularly in BBB-rated sectors and duration neutral approach to the year – as the pandemic reached its peak in the spring of 2020. The Fund also does not currently hold

non-investment grade (municipal high yield) credits, which performed the best during the last fiscal year. Managers that held a percentage of high yield credits performed above the Lipper average.

 

*

Performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The total return shown assumes the reinvestment of all distributions and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of shares. The total return for Class A Shares was 2.23%, adjusted for the Fund’s maximum sales charge of 4.50%. Mutual fund performance changes over time and current performance may be lower or higher t