N-CSRS 1 d125212dncsrs.htm N-CSRS N-CSRS

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM N-CSRS

 

 

CERTIFIED SHAREHOLDER REPORT OF

REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-06200

 

 

Schwab Investments – Schwab Taxable Bond Funds and Schwab Municipal Bond Funds

(Exact name of registrant as specified in charter)

 

 

211 Main Street, San Francisco, California 94105

(Address of principal executive offices)     (Zip code)

 

 

Jonathan de St. Paer

Schwab Investments

211 Main Street, San Francisco, California 94105

(Name and address of agent for service)

 

 

Registrant’s telephone number, including area code: (415) 636-7000

Date of fiscal year end: August 31

Date of reporting period: February 28, 2021

Item 1: Report(s) to Shareholders.

 

 

 

Semiannual Report  |  February 28, 2021
Schwab Taxable Bond Funds
Schwab Treasury Inflation
Protected Securities Index Fund
Schwab U.S. Aggregate
Bond Index Fund
Schwab Short-Term
Bond Index Fund

 

         
This page is intentionally left blank.

 

Fund investment adviser: Charles Schwab Investment Management, Inc. (CSIM)
Distributor: Charles Schwab & Co., Inc. (Schwab)
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Schwab Taxable Bond Funds  |  Semiannual Report

 

Schwab Taxable Bond Funds
Performance at a Glance
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.
Total Returns for the 6 Months Ended February 28, 2021
Schwab Treasury Inflation Protected Securities Index Fund (Ticker Symbol: SWRSX) -0.06%
Bloomberg Barclays US Treasury Inflation-Linked Bond Index (Series-L)SM -0.06%
Fund Category: Morningstar Inflation Protected Bond1 0.64%
Performance Details page 6
Schwab U.S. Aggregate Bond Index Fund (Ticker Symbol: SWAGX) -1.70%
Bloomberg Barclays US Aggregate Bond Index -1.55%
Fund Category: Morningstar Intermediate Core Bond1 -0.99%
Performance Details page 7
Schwab Short-Term Bond Index Fund (Ticker Symbol: SWSBX) -0.07%
Bloomberg Barclays US Government/Credit 1-5 Year Index -0.02%
Fund Category: Morningstar Short-Term Bond1 1.15%
Performance Details page 8
All total return figures on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
For index definitions, please see the Glossary.
Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
Index ownership — Bloomberg Index Services Limited and its affiliates (collectively, Bloomberg) and Bloomberg’s licensors, including Barclays’, own all proprietary rights in the Bloomberg Barclays Indices. The funds are not sponsored, endorsed, sold or promoted by Bloomberg or Barclays. Neither Bloomberg nor Barclays endorses or recommends the funds. Neither Bloomberg nor Barclays guarantees the timeliness, accurateness or completeness of any data or information relating to the Bloomberg Barclays Indices, and neither shall be liable in any way in respect of the use or accuracy of the Bloomberg Barclays Indices.
1 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
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Schwab Taxable Bond Funds
The Investment Environment
For the six-month reporting period ended February 28, 2021, U.S. fixed-income markets were mixed as the U.S. economy struggled with the continuing fallout from the COVID-19 pandemic. Despite persisting COVID-19 pandemic-driven stresses to the global economy—including widespread business disruptions, high unemployment, and prolonged stay-at-home orders—and a resurgence of COVID-19 cases in the fall and into the winter, markets were buoyed by the extensive emergency rescue and fiscal stimulus measures passed by governments and central banks around the world beginning in March 2020, as well as the initial distribution of COVID-19 vaccines in December 2020 and the expanded rollout in 2021. While bond yields remained relatively flat for the first four months of the reporting period, in the final two months demand waned and yields rose. For the reporting period, the Bloomberg Barclays US Aggregate Bond Index, representing the broad U.S. bond market, returned -1.55%, while the Bloomberg Barclays US Government/Credit 1-5 Year Index returned -0.02%. The Bloomberg Barclays US Treasury Inflation-Linked Bond Index (Series-L)SM returned -0.06% for the reporting period.
Bolstered by the extensive emergency rescue and fiscal stimulus measures passed by the U.S. Federal Reserve (Fed) and U.S. Congress, the U.S. economy has held up relatively well, especially given the intensity of the COVID-19 pandemic’s economic impact. After falling by an annualized rate of 31.4% in the second quarter of 2020, U.S. gross domestic product (GDP) jumped by an annualized rate of 33.4% for the third quarter of 2020, reflecting pent-up consumer demand and government support. GDP grew at an annualized rate of 4.3% for the fourth quarter of 2020. For the full year of 2020, GDP decreased by 3.5%. Unemployment skyrocketed in April 2020, but fell in subsequent months. Inflation remained well below the Fed’s traditional target of 2%, although inflation concerns rose toward the end of the reporting period when the yield on the 10-year U.S. Treasury spiked.
Central banks around the world, including the Fed, maintained the low—and for some international central banks, negative—interest rates instituted prior to, and in response to, the COVID-19 pandemic. In the U.S., the federal funds rate remained in a range of 0.00% to 0.25% throughout the reporting period. In addition, other Fed-driven emergency measures remained in effect, including large purchases of U.S. Treasuries and other securities to support smooth market function, facilitating the flow of credit to municipalities, financing for employers, consumers, and businesses, and the establishment of facilities to support credit to businesses and consumers alike. In August, the Fed announced that it was shifting its interest rate policy approach to allow inflation to rise above its previous 2% target for periods of time, even in times of rising employment.
Yields of U.S. Treasury Securities: Effective Yields of Three-Month, Two-Year and Ten-Year Treasuries    
 
Index figures assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized. Past performance is not an indication of future results.
For index definitions, please see the Glossary.
Data source: Bloomberg L.P.
Nothing in this report represents a recommendation of a security by the investment adviser.
Management views may have changed since the report date.
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Schwab Taxable Bond Funds
The Investment Environment (continued)
Outside the U.S., the European Central Bank held its policy rate at 0.00%, unchanged since March 2016, and maintained its asset purchase program to help counter the impact of the COVID-19 pandemic. The Bank of Japan upheld its short-term interest rate target of -0.1%, also unchanged since 2016. The Bank of England maintained its key official bank rate at 0.10% and also reiterated its commitment to its bond-buying program.
For much of the reporting period, bond yields remained historically low as demand for U.S. Treasuries remained strong. However, over the last two months of the period, as the likelihood of another stimulus package rose, bonds sold off, driving yields higher. (Bond yields and bond prices typically move in opposite directions.) The yield on the 10-year U.S. Treasury, which began the period at 0.72%, rose gradually over most of the period and spiked at the end of February 2021 to end the reporting period at 1.44%, its highest rate in more than a year. Short-term rates declined, with the three-month U.S. Treasury yield falling from 0.11% to 0.04% over the reporting period. Outside the U.S., bond yields remained low.
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Schwab Taxable Bond Funds
Fund Management
Matthew Hastings, CFA, Vice President and Head of Taxable Bond Strategies, leads the portfolio management team for Schwab’s taxable bond funds and fixed-income ETFs. He also has overall responsibility for all aspects of the management of the funds. Prior to joining CSIM in 1999, Mr. Hastings was in fixed-income sales and trading at Lehman Brothers. He has worked in the fixed-income securities industry since 1996.
    
Steven Hung, Senior Portfolio Manager, is responsible for the day-to-day co-management of each of the funds, except for the Schwab Treasury Inflation Protected Securities Index Fund. His primary focus is on corporate bonds. Prior to joining CSIM in 1999, Mr. Hung was an associate in Schwab’s management training program for nine months. In that role, he worked as a clerk on the options trading floor of the Pacific Coast Stock Exchange.
    
Mark McKissick, CFA, Senior Portfolio Manager, is responsible for the day-to-day co-management of the funds. Prior to joining CSIM in 2016, Mr. McKissick worked at Denver Investments for 17 years, most recently as a director of fixed income and portfolio manager. In this role he co-managed multiple bond strategies, as well as oversaw the firm’s fixed-income business including the investment process, client service and other administrative functions.
    
Alfonso Portillo, Jr., Senior Portfolio Manager, is responsible for the day-to-day co-management of the Schwab U.S. Aggregate Bond Index Fund. His primary focus is securitized products. Prior to joining CSIM in 2007, Mr. Portillo worked for ten years at Pacific Investment Management Company, most recently as a vice president and member of the mortgage- and asset-backed portfolio management team. He has worked in fixed-income asset management since 1996.
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Schwab Treasury Inflation Protected Securities Index Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1
Fund and Inception Date 6 months 1 Year 5 Years 10 Years
Fund: Schwab Treasury Inflation Protected Securities Index Fund (3/31/06) -0.06% 5.78% 4.17% 3.37%
Bloomberg Barclays US Treasury Inflation-Linked Bond Index (Series-L)SM -0.06% 5.85% 4.27% 3.57%
Fund Category: Morningstar Inflation Protected Bond2 0.64% 6.11% 3.97% 2.97%
Fund Expense Ratio3: 0.05%
 
Yields1
30-Day SEC Yield 0.86%
12-Month Distribution Yield 1.27%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type4
Weighted Average Maturity6 8.1 Yrs
Weighted Average Duration6 7.6 Yrs
By Credit Quality7
    
Portfolio holdings may have changed since the report date.
U.S. Treasury Inflation-Protected Securities (TIPS) generally have lower yields than conventional fixed rate bonds and will likely decline in price during periods of deflation, which could result in losses.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
For index definitions, please see the Glossary.
Index ownership — Bloomberg Index Services Limited and its affiliates (collectively, Bloomberg) and Bloomberg’s licensors, including Barclays’, own all proprietary rights in the Bloomberg Barclays Indices. The Schwab Treasury Inflation Protected Securities Index Fund is not sponsored, endorsed, sold or promoted by Bloomberg or Barclays. Neither Bloomberg nor Barclays endorses or recommends the fund. Neither Bloomberg nor Barclays guarantees the timeliness, accurateness or completeness of any data or information relating to the Bloomberg Barclays Indices, and neither shall be liable in any way in respect of the use or accuracy of the Bloomberg Barclays Indices.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
3 As stated in the prospectus.
4 The percentage may differ from the Portfolio Holdings because the above calculation is based on a percentage of total investments, whereas the calculation in the Portfolio Holdings is based on a percentage of net assets.
5 Includes the fund’s position in money market mutual funds registered under the Investment Company Act of 1940, as amended.
6 See Glossary for definitions of maturity and duration.
7 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
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Schwab U.S. Aggregate Bond Index Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1
Fund and Inception Date 6 months 1 Year Since Inception
Fund: Schwab U.S. Aggregate Bond Index Fund (2/23/17) -1.70% 1.15% 4.00%
Bloomberg Barclays US Aggregate Bond Index -1.55% 1.38% 4.17%
Fund Category: Morningstar Intermediate Core Bond2 -0.99% 1.99% N/A
Fund Expense Ratio3: 0.04%
 
Yields1
30-Day SEC Yield 1.15%
12-Month Distribution Yield 2.32%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type4
Weighted Average Maturity7 8.1 Yrs
Weighted Average Duration7 6.4 Yrs
By Credit Quality8
    
Portfolio holdings may have changed since the report date.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
For index definitions, please see the Glossary.
Index ownership — Bloomberg Index Services Limited and its affiliates (collectively, Bloomberg) and Bloomberg’s licensors, including Barclays’, own all proprietary rights in the Bloomberg Barclays Indices. The Schwab U.S. Aggregate Bond Index Fund is not sponsored, endorsed, sold or promoted by Bloomberg or Barclays. Neither Bloomberg nor Barclays endorses or recommends the fund. Neither Bloomberg nor Barclays guarantees the timeliness, accurateness or completeness of any data or information relating to the Bloomberg Barclays Indices, and neither shall be liable in any way in respect of the use or accuracy of the Bloomberg Barclays Indices.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
3 As stated in the prospectus.
4 The percentage may differ from the Portfolio Holdings because the above calculation is based on a percentage of total investments, whereas the calculation in the Portfolio Holdings is based on a percentage of net assets.
5 The fund may seek to obtain exposure to U.S. agency mortgage pass-through securities, in part or in full, through the use of “to-be-announced” or “TBA” transactions, which are standardized contracts for future delivery of mortgage pass-through securities in which the exact mortgage pools to be delivered are not specified until a few days prior to settlement. These transactions represented approximately 1.3% of net assets on February 28, 2021.
6 Includes the fund’s position in money market mutual funds registered under the Investment Company Act of 1940, as amended.
7 See Glossary for definitions of maturity and duration.
8 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
9 Less than 0.05%.
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Schwab Short-Term Bond Index Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1
Fund and Inception Date 6 months 1 Year Since Inception
Fund: Schwab Short-Term Bond Index Fund (2/23/17) -0.07% 2.14% 2.74%
Bloomberg Barclays US Government/Credit 1-5 Year Index -0.02% 2.33% 2.87%
Fund Category: Morningstar Short-Term Bond2 1.15% 2.62% N/A
Fund Expense Ratio3: 0.06%
 
Yields1
30-Day SEC Yield 0.30%
12-Month Distribution Yield 1.36%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type4
Weighted Average Maturity6 2.9 Yrs
Weighted Average Duration6 2.8 Yrs
By Credit Quality7
    
Portfolio holdings may have changed since the report date.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
For index definitions, please see the Glossary.
Index ownership — Bloomberg Index Services Limited and its affiliates (collectively, Bloomberg) and Bloomberg’s licensors, including Barclays’, own all proprietary rights in the Bloomberg Barclays Indices. The Schwab Short-Term Bond Index Fund is not sponsored, endorsed, sold or promoted by Bloomberg or Barclays. Neither Bloomberg nor Barclays endorses or recommends the fund. Neither Bloomberg nor Barclays guarantees the timeliness, accurateness or completeness of any data or information relating to the Bloomberg Barclays Indices, and neither shall be liable in any way in respect of the use or accuracy of the Bloomberg Barclays Indices.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
3 As stated in the prospectus.
4 The percentage may differ from the Portfolio Holdings because the above calculation is based on a percentage of total investments, whereas the calculation in the Portfolio Holdings is based on a percentage of net assets.
5 Includes the fund’s position in money market mutual funds registered under the Investment Company Act of 1940, as amended.
6 See Glossary for definitions of maturity and duration.
7 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
8 Less than 0.05%.
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Schwab Taxable Bond Funds  |  Semiannual Report

 

Schwab Taxable Bond Funds
Fund Expenses (Unaudited)
Examples for a $1,000 Investment
As a fund shareholder, you may incur two types of costs: (1) transaction costs; and (2) ongoing costs, including management fees.
The expense examples below are intended to help you understand your ongoing cost (in dollars) of investing in a fund and to compare this cost with the ongoing cost of investing in other mutual funds. These examples are based on an investment of $1,000 invested for six months beginning September 1, 2020 and held through February 28, 2021.
Actual Return lines in the table below provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value ÷ $1,000 = 8.6), then multiply the result by the number given for your fund under the heading entitled “Expenses Paid During Period.”
Hypothetical Return lines in the table below provide information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and an assumed return of 5% per year before expenses. Because the return used is not an actual return, it may not be used to estimate the actual ending account value or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in a fund and 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, and do not reflect any transactional costs. Therefore, the hypothetical return lines of the table are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
 
  Expense Ratio
(Annualized)1 		Beginning
Account Value
at 9/1/20 		Ending
Account Value
(Net of Expenses)
at 2/28/21 		Expenses Paid
During Period
9/1/20-2/28/212
Schwab Treasury Inflation Protected Securities Index Fund        
Actual Return 0.05% $1,000.00 $ 999.40 $0.25
Hypothetical 5% Return 0.05% $1,000.00 $1,024.55 $0.25
Schwab U.S. Aggregate Bond Index Fund        
Actual Return 0.04% $1,000.00 $ 983.00 $0.20
Hypothetical 5% Return 0.04% $1,000.00 $1,024.60 $0.20
Schwab Short-Term Bond Index Fund        
Actual Return 0.06% $1,000.00 $ 999.30 $0.30
Hypothetical 5% Return 0.06% $1,000.00 $1,024.50 $0.30
    
1 Based on the most recent six-month expense ratio.
2 Expenses for each fund are equal to its annualized expense ratio, multiplied by the average account value over the period, multiplied by 181 days of the period, and divided by 365 days of the fiscal year.
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Schwab Treasury Inflation Protected Securities Index Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		9/1/19–
8/31/20 		9/1/18–
8/31/19 		9/1/17–
8/31/18 		9/1/16–
8/31/17 		9/1/15–
8/31/16
Per-Share Data
Net asset value at beginning of period $12.33 $11.50 $10.97 $11.18 $11.39 $10.94
Income (loss) from investment operations:            
Net investment income (loss)1 0.11 0.12 0.25 0.36 0.23 0.17
Net realized and unrealized gains (losses) (0.12) 0.88 0.55 (0.28) (0.20) 0.39
Total from investment operations (0.01) 1.00 0.80 0.08 0.03 0.56
Less distributions:            
Distributions from net investment income (0.15) (0.17) (0.27) (0.29) (0.24) (0.08)
Distributions from net realized gains (0.01) — — — — (0.03)
Total distributions (0.16) (0.17) (0.27) (0.29) (0.24) (0.11)
Net asset value at end of period $12.16 $12.33 $11.50 $10.97 $11.18 $11.39
Total return (0.06%) 2 8.88% 7.42% 0.71% 0.35% 5.22%
Ratios/Supplemental Data
Ratios to average net assets:            
Total expenses 0.05% 3 0.05% 0.05% 0.05% 0.28% 4 0.61%
Net operating expenses N/A N/A N/A N/A 5 0.11% 4 0.19%
Net investment income (loss) 1.79% 3 1.05% 2.27% 3.29% 2.07% 1.54%
Portfolio turnover rate 11% 2 29% 25% 18% 17% 24%
Net assets, end of period (x 1,000,000) $1,861 $1,429 $923 $746 $565 $309
 
* Unaudited.
1
Calculated based on the average shares outstanding during the period.
2
Not annualized.
3
Annualized.
4
Effective March 1, 2017 the annual operating expense ratio was reduced. The ratio presented for the period ended 8/31/17 is a blended ratio.
5
Effective March 1, 2017, the fund instituted a new fee structure and the contractual expense limitation was terminated.
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See financial notes

 

Schwab Treasury Inflation Protected Securities Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity. Inflation-protected securities are fixed-income securities whose principal value is periodically adjusted to the rate of inflation. The interest rate on these instruments is generally fixed at issuance at a rate lower than typical bonds or notes. Over the life of an inflation-indexed instrument interest will be paid based on a principal value, which is adjusted for any inflation or deflation.    
 
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Treasuries 99.9% of net assets
U.S. Treasury Inflation Protected Securities
0.13%, 04/15/22 58,141,497 59,782,231
0.13%, 07/15/22 57,149,956 59,453,717
0.13%, 01/15/23 68,000,964 71,231,389
0.63%, 04/15/23 56,740,920 60,323,015
0.38%, 07/15/23 66,328,261 70,939,659
0.63%, 01/15/24 63,658,563 68,929,816
0.50%, 04/15/24 36,222,464 39,183,446
0.13%, 07/15/24 59,482,505 64,296,485
0.13%, 10/15/24 48,700,468 52,651,850
0.25%, 01/15/25 60,475,457 65,690,689
2.38%, 01/15/25 37,177,742 43,616,030
0.13%, 04/15/25 40,883,606 44,256,548
0.38%, 07/15/25 58,036,397 64,002,455
0.13%, 10/15/25 48,564,277 53,037,820
0.63%, 01/15/26 49,897,460 55,702,109
2.00%, 01/15/26 26,618,313 31,598,259
0.13%, 07/15/26 47,359,241 52,023,137
0.38%, 01/15/27 47,286,240 52,487,214
2.38%, 01/15/27 21,842,427 26,943,490
0.38%, 07/15/27 48,525,009 54,224,102
0.50%, 01/15/28 50,681,006 56,919,257
1.75%, 01/15/28 21,946,308 26,641,348
3.63%, 04/15/28 20,846,015 28,292,855
0.75%, 07/15/28 44,331,082 50,955,735
0.88%, 01/15/29 36,794,931 42,629,346
2.50%, 01/15/29 19,640,455 25,407,613
3.88%, 04/15/29 25,271,183 35,832,602
0.25%, 07/15/29 44,265,090 49,114,866
0.13%, 01/15/30 51,200,210 55,964,920
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.13%, 07/15/30 56,218,423 61,659,191
0.13%, 01/15/31 22,690,828 24,757,841
3.38%, 04/15/32 8,752,368 12,951,372
2.13%, 02/15/40 11,385,476 16,651,358
2.13%, 02/15/41 16,204,012 23,970,242
0.75%, 02/15/42 27,793,556 33,080,281
0.63%, 02/15/43 20,705,335 24,062,211
1.38%, 02/15/44 28,830,580 38,707,114
0.75%, 02/15/45 31,603,380 37,897,923
1.00%, 02/15/46 16,622,504 20,983,429
0.88%, 02/15/47 20,082,534 24,866,386
1.00%, 02/15/48 16,050,161 20,551,533
1.00%, 02/15/49 16,060,030 20,685,853
0.25%, 02/15/50 21,056,142 22,693,308
0.13%, 02/15/51 13,616,397 14,126,301
Total Treasuries
(Cost $1,742,834,810)   1,859,776,346
Security Number
of Shares 		Value ($)
Other Investment Company 0.1% of net assets
 
Money Market Fund 0.1%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.03% (a) 1,034,039 1,034,039
Total Other Investment Company
(Cost $1,034,039)   1,034,039
(a) The rate shown is the 7-day yield.
 
11
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Schwab Treasury Inflation Protected Securities Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Treasuries $— $1,859,776,346 $— $1,859,776,346  
Other Investment Company1 1,034,039 — — 1,034,039  
Total $1,034,039 $1,859,776,346 $— $1,860,810,385  
1 As categorized in Portfolio Holdings.
Fund investments in mutual funds are classified as Level 1, without consideration to the classification level of the underlying securities held by the mutual funds, which could be Level 1, Level 2 or Level 3.
12
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Schwab Treasury Inflation Protected Securities Index Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in unaffiliated issuers, at value (cost $1,743,868,849)   $1,860,810,385
Receivables:    
Investments sold   11,546,909
Fund shares sold   8,116,572
Interest   1,888,452
Dividends + 37
Total assets   1,882,362,355
Liabilities
Payables:    
Investments bought   16,936,910
Investment adviser fees   69,978
Fund shares redeemed + 4,600,722
Total liabilities   21,607,610
Net Assets
Total assets   1,882,362,355
Total liabilities – 21,607,610
Net assets   $1,860,754,745
Net Assets by Source    
Capital received from investors   1,750,457,478
Total distributable earnings   110,297,267
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$1,860,754,745   153,006,682   $12.16
         
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Schwab Treasury Inflation Protected Securities Index Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income (Loss)
Interest   $14,611,065
Dividends + 176
Total investment income   14,611,241
Expenses
Investment adviser fees   397,170
Total expenses – 397,170
Net investment income   14,214,071
Realized and Unrealized Gains (Losses)
Net realized gains on investments   421,522
Net change in unrealized appreciation (depreciation) on investments + (18,209,670)
Net realized and unrealized losses   (17,788,148)
Decrease in net assets resulting from operations   ($3,574,077)
14
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Schwab Treasury Inflation Protected Securities Index Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations  
  9/1/20-2/28/21 9/1/19-8/31/20
Net investment income   $14,214,071 $11,518,578
Net realized gains   421,522 1,278,452
Net change in unrealized appreciation (depreciation) + (18,209,670) 89,469,313
Increase (decrease) in net assets from operations   (3,574,077) 102,266,343
Distributions to Shareholders  
Total distributions   ($20,816,053) ($14,928,816)
    
Transactions in Fund Shares      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES VALUE SHARES VALUE
Shares sold   52,697,917 $646,815,523 64,991,716 $758,806,135
Shares reinvested   1,311,819 16,065,906 1,092,527 12,302,672
Shares redeemed + (16,868,984) (206,772,523) (30,488,166) (352,832,230)
Net transactions in fund shares   37,140,752 $456,108,906 35,596,077 $418,276,577
Shares Outstanding and Net Assets      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   115,865,930 $1,429,035,969 80,269,853 $923,421,865
Total increase + 37,140,752 431,718,776 35,596,077 505,614,104
End of period   153,006,682 $1,860,754,745 115,865,930 $1,429,035,969
15
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Schwab U.S. Aggregate Bond Index Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		9/1/19–
8/31/20 		9/1/18–
8/31/19 		9/1/17–
8/31/18 		2/23/17 1–
8/31/17 		 
Per-Share Data
Net asset value at beginning of period $10.84 $10.46 $9.78 $10.16 $10.00  
Income (loss) from investment operations:            
Net investment income (loss)2 0.09 0.25 0.28 0.25 0.12  
Net realized and unrealized gains (losses) (0.27) 0.40 0.69 (0.37) 0.17  
Total from investment operations (0.18) 0.65 0.97 (0.12) 0.29  
Less distributions:            
Distributions from net investment income (0.12) (0.27) (0.29) (0.26) (0.13)  
Distributions from net realized gains (0.01) — — — —  
Total distributions (0.13) (0.27) (0.29) (0.26) (0.13)  
Net asset value at end of period $10.53 $10.84 $10.46 $9.78 $10.16  
Total return (1.70%) 3 6.33% 10.15% (1.17%) 2.88% 3  
Ratios/Supplemental Data
Ratios to average net assets:            
Total expenses 0.04% 4 0.04% 0.04% 0.04% 0.04% 4  
Net investment income (loss) 1.71% 4 2.32% 2.86% 2.52% 2.32% 4  
Portfolio turnover rate5 31% 3 81% 91% 97% 39% 3,6  
Net assets, end of period (x 1,000,000) $5,149 $4,697 $2,971 $2,006 $1,445  
 
* Unaudited.
1
Commencement of operations.
2
Calculated based on the average shares outstanding during the period.
3
Not annualized.
4
Annualized.
5
Includes to-be-announced (TBA) transactions (if any). See financial note 2.
6
Portfolio turnover rate excludes in-kind transactions.
16
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity.    
 
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Corporates 26.7% of net assets
 
Financial Institutions 8.1%
Banking 5.6%
Ally Financial, Inc.
3.05%, 06/05/23 (a) 200,000 210,206
1.45%, 10/02/23 (a) 750,000 762,615
3.88%, 05/21/24 (a) 200,000 217,816
5.13%, 09/30/24 150,000 171,072
5.80%, 05/01/25 (a) 150,000 175,710
8.00%, 11/01/31 450,000 640,593
American Express Co.
2.75%, 05/20/22 (a) 350,000 359,765
2.50%, 08/01/22 (a) 250,000 257,458
2.65%, 12/02/22 200,000 208,096
3.40%, 02/27/23 (a) 450,000 476,050
3.70%, 08/03/23 (a) 500,000 538,520
3.40%, 02/22/24 (a) 200,000 216,624
2.50%, 07/30/24 (a) 350,000 371,367
3.00%, 10/30/24 (a) 250,000 270,493
4.20%, 11/06/25 (a) 150,000 171,749
3.13%, 05/20/26 (a) 150,000 164,922
4.05%, 12/03/42 150,000 177,144
American Express Credit Corp.
2.70%, 03/03/22 (a) 400,000 409,152
3.30%, 05/03/27 (a) 450,000 501,331
Australia & New Zealand Banking Group Ltd.
2.63%, 05/19/22 250,000 257,278
2.05%, 11/21/22 250,000 257,688
Banco Bilbao Vizcaya Argentaria S.A.
0.88%, 09/18/23 200,000 201,728
1.13%, 09/18/25 200,000 198,584
Banco Santander S.A.
3.50%, 04/11/22 200,000 206,664
3.13%, 02/23/23 200,000 210,162
3.85%, 04/12/23 200,000 213,914
2.71%, 06/27/24 200,000 212,286
2.75%, 05/28/25 200,000 211,684
5.18%, 11/19/25 400,000 461,444
4.25%, 04/11/27 200,000 227,598
3.80%, 02/23/28 200,000 221,120
4.38%, 04/12/28 200,000 229,244
3.31%, 06/27/29 200,000 218,086
3.49%, 05/28/30 200,000 217,058
2.75%, 12/03/30 400,000 394,928
Bancolombia S.A.
3.00%, 01/29/25 (a) 200,000 207,844
BancorpSouth Bank
4.13%, 11/20/29 (a)(b) 50,000 51,595
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Bank of America Corp.
2.50%, 10/21/22 (a) 500,000 506,920
3.30%, 01/11/23 800,000 844,352
2.88%, 04/24/23 (a)(b) 450,000 462,780
2.82%, 07/21/23 (a)(b) 500,000 516,570
4.10%, 07/24/23 500,000 544,195
3.00%, 12/20/23 (a)(b) 1,150,000 1,202,359
4.13%, 01/22/24 500,000 551,990
3.55%, 03/05/24 (a)(b) 650,000 689,851
4.00%, 04/01/24 250,000 275,265
1.49%, 05/19/24 (a)(b) 200,000 204,466
3.86%, 07/23/24 (a)(b) 450,000 485,140
4.20%, 08/26/24 650,000 722,065
0.81%, 10/24/24 (a)(b) 700,000 705,957
4.00%, 01/22/25 350,000 387,677
3.46%, 03/15/25 (a)(b) 450,000 486,112
3.95%, 04/21/25 450,000 498,348
3.88%, 08/01/25 450,000 503,811
0.98%, 09/25/25 (a)(b) 750,000 754,897
3.09%, 10/01/25 (a)(b) 250,000 269,813
2.46%, 10/22/25 (a)(b) 350,000 370,583
3.37%, 01/23/26 (a)(b) 450,000 489,397
2.02%, 02/13/26 (a)(b) 250,000 258,625
4.45%, 03/03/26 600,000 687,810
3.50%, 04/19/26 500,000 557,190
1.32%, 06/19/26 (a)(b) 600,000 604,428
4.25%, 10/22/26 250,000 286,592
1.20%, 10/24/26 (a)(b) 700,000 699,216
3.56%, 04/23/27 (a)(b) 750,000 831,210
3.25%, 10/21/27 (a) 400,000 438,804
4.18%, 11/25/27 (a) 350,000 396,998
3.82%, 01/20/28 (a)(b) 400,000 450,104
3.71%, 04/24/28 (a)(b) 500,000 559,850
3.59%, 07/21/28 (a)(b) 400,000 446,032
3.42%, 12/20/28 (a)(b) 1,200,000 1,325,292
3.97%, 03/05/29 (a)(b) 500,000 567,610
4.27%, 07/23/29 (a)(b) 550,000 638,346
3.97%, 02/07/30 (a)(b) 500,000 569,670
3.19%, 07/23/30 (a)(b) 400,000 432,872
2.88%, 10/22/30 (a)(b) 350,000 370,342
2.50%, 02/13/31 (a)(b) 800,000 821,128
2.59%, 04/29/31 (a)(b) 750,000 772,380
1.90%, 07/23/31 (a)(b) 600,000 582,168
1.92%, 10/24/31 (a)(b) 500,000 486,905
6.11%, 01/29/37 400,000 554,800
4.24%, 04/24/38 (a)(b) 450,000 531,135
7.75%, 05/14/38 320,000 517,514
4.08%, 04/23/40 (a)(b) 450,000 521,230
2.68%, 06/19/41 (a)(b) 1,050,000 1,017,733
5.88%, 02/07/42 300,000 427,242
5.00%, 01/21/44 450,000 589,027
4.88%, 04/01/44 100,000 129,411
4.75%, 04/21/45 100,000 128,778
 
17
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.44%, 01/20/48 (a)(b) 350,000 430,048
3.95%, 01/23/49 (a)(b) 200,000 230,924
4.33%, 03/15/50 (a)(b) 550,000 655,990
4.08%, 03/20/51 (a)(b) 1,200,000 1,395,624
2.83%, 10/24/51 (a)(b) 250,000 238,543
Bank of America NA
6.00%, 10/15/36 418,000 597,661
Bank of Montreal
2.90%, 03/26/22 400,000 411,456
2.35%, 09/11/22 250,000 258,165
2.55%, 11/06/22 (a) 250,000 259,173
0.45%, 12/08/23 100,000 100,239
3.30%, 02/05/24 250,000 269,765
2.50%, 06/28/24 200,000 212,378
1.85%, 05/01/25 350,000 361,805
0.95%, 01/22/27 (a)(b) 350,000 344,669
4.34%, 10/05/28 (a)(b) 250,000 272,273
3.80%, 12/15/32 (a)(b) 200,000 223,628
BankUnited, Inc.
4.88%, 11/17/25 (a) 100,000 113,923
5.13%, 06/11/30 (a) 100,000 115,861
Barclays Bank PLC
1.70%, 05/12/22 (a) 250,000 253,885
Barclays PLC
3.20%, 08/10/21 200,000 202,532
3.68%, 01/10/23 (a) 250,000 256,683
4.34%, 05/16/24 (a)(b) 200,000 215,548
4.38%, 09/11/24 200,000 220,138
1.01%, 12/10/24 (a)(b) 250,000 251,505
3.65%, 03/16/25 350,000 381,125
3.93%, 05/07/25 (a)(b) 600,000 653,742
4.38%, 01/12/26 500,000 565,530
2.85%, 05/07/26 (a)(b) 350,000 369,600
5.20%, 05/12/26 500,000 571,905
4.34%, 01/10/28 (a) 200,000 226,406
4.84%, 05/09/28 (a) 450,000 511,789
4.97%, 05/16/29 (a)(b) 250,000 294,442
5.09%, 06/20/30 (a)(b) 300,000 347,265
2.65%, 06/24/31 (a)(b) 300,000 302,898
3.56%, 09/23/35 (a)(b) 350,000 357,381
5.25%, 08/17/45 200,000 261,180
4.95%, 01/10/47 400,000 505,936
BBVA USA
2.88%, 06/29/22 (a) 250,000 258,005
3.88%, 04/10/25 (a) 250,000 277,318
BNP Paribas S.A.
3.25%, 03/03/23 95,000 100,749
4.25%, 10/15/24 200,000 224,166
BPCE S.A.
2.75%, 12/02/21 250,000 254,648
4.00%, 04/15/24 250,000 275,700
Canadian Imperial Bank of Commerce
0.95%, 06/23/23 250,000 252,968
2.61%, 07/22/23 (a)(b) 150,000 154,611
3.50%, 09/13/23 350,000 378,045
0.50%, 12/14/23 200,000 200,280
3.10%, 04/02/24 200,000 214,772
2.25%, 01/28/25 200,000 209,152
0.95%, 10/23/25 200,000 199,146
Capital One Bank USA NA
3.38%, 02/15/23 250,000 264,055
2.28%, 01/28/26 (a)(b) 350,000 362,372
Capital One Financial Corp.
3.20%, 01/30/23 (a) 250,000 262,755
2.60%, 05/11/23 (a) 250,000 261,160
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.50%, 06/15/23 250,000 267,170
3.90%, 01/29/24 (a) 150,000 163,197
3.75%, 04/24/24 (a) 400,000 435,916
3.30%, 10/30/24 (a) 500,000 542,700
3.20%, 02/05/25 (a) 250,000 269,228
4.20%, 10/29/25 (a) 250,000 281,063
3.75%, 07/28/26 (a) 250,000 275,813
3.75%, 03/09/27 (a) 400,000 449,024
3.65%, 05/11/27 (a) 250,000 278,960
3.80%, 01/31/28 (a) 200,000 225,010
Citibank NA
3.65%, 01/23/24 (a) 250,000 271,903
Citigroup, Inc.
4.50%, 01/14/22 500,000 518,425
2.75%, 04/25/22 (a) 350,000 359,128
4.05%, 07/30/22 150,000 157,581
2.70%, 10/27/22 (a) 150,000 155,541
3.50%, 05/15/23 350,000 372,480
2.88%, 07/24/23 (a)(b) 500,000 516,720
3.88%, 10/25/23 150,000 163,509
1.68%, 05/15/24 (a)(b) 250,000 256,308
4.04%, 06/01/24 (a)(b) 150,000 161,927
3.75%, 06/16/24 100,000 110,108
4.00%, 08/05/24 150,000 165,438
0.78%, 10/30/24 (a)(b) 500,000 502,945
3.88%, 03/26/25 150,000 164,966
3.35%, 04/24/25 (a)(b) 450,000 485,838
3.30%, 04/27/25 300,000 328,179
4.40%, 06/10/25 650,000 730,886
5.50%, 09/13/25 524,000 619,242
3.70%, 01/12/26 500,000 558,390
4.60%, 03/09/26 345,000 396,360
3.11%, 04/08/26 (a)(b) 800,000 861,056
3.40%, 05/01/26 250,000 276,223
3.20%, 10/21/26 (a) 850,000 927,273
4.30%, 11/20/26 150,000 171,339
1.12%, 01/28/27 (a)(b) 500,000 493,865
4.45%, 09/29/27 680,000 783,537
3.89%, 01/10/28 (a)(b) 650,000 730,457
3.67%, 07/24/28 (a)(b) 550,000 612,612
4.13%, 07/25/28 450,000 510,142
3.52%, 10/27/28 (a)(b) 700,000 774,263
4.08%, 04/23/29 (a)(b) 250,000 284,840
3.98%, 03/20/30 (a)(b) 550,000 622,952
2.98%, 11/05/30 (a)(b) 300,000 317,766
2.67%, 01/29/31 (a)(b) 600,000 620,502
4.41%, 03/31/31 (a)(b) 800,000 931,208
2.57%, 06/03/31 (a)(b) 800,000 820,792
6.63%, 06/15/32 200,000 273,280
5.88%, 02/22/33 100,000 130,958
6.00%, 10/31/33 150,000 200,040
6.13%, 08/25/36 100,000 137,680
3.88%, 01/24/39 (a)(b) 200,000 225,114
8.13%, 07/15/39 270,000 457,153
5.32%, 03/26/41 (a)(b) 450,000 599,256
5.88%, 01/30/42 130,000 186,125
6.68%, 09/13/43 200,000 306,592
5.30%, 05/06/44 200,000 262,716
4.65%, 07/30/45 180,000 226,391
4.75%, 05/18/46 430,000 532,693
4.28%, 04/24/48 (a)(b) 150,000 181,455
4.65%, 07/23/48 (a) 600,000 766,872
Citizens Bank NA
3.70%, 03/29/23 (a) 500,000 532,625
 
18
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Citizens Financial Group, Inc.
2.85%, 07/27/26 (a) 150,000 162,183
3.25%, 04/30/30 (a) 250,000 272,423
2.64%, 09/30/32 (a)(c) 200,000 201,364
Comerica, Inc.
3.70%, 07/31/23 (a) 200,000 215,092
4.00%, 02/01/29 (a) 250,000 288,297
Cooperatieve Rabobank UA
3.95%, 11/09/22 250,000 264,248
2.75%, 01/10/23 250,000 261,348
4.63%, 12/01/23 491,000 544,386
0.38%, 01/12/24 250,000 249,653
3.38%, 05/21/25 250,000 275,153
4.38%, 08/04/25 241,000 272,229
3.75%, 07/21/26 550,000 612,144
5.25%, 05/24/41 300,000 410,220
5.75%, 12/01/43 250,000 350,387
5.25%, 08/04/45 250,000 334,922
Credit Suisse AG
2.80%, 04/08/22 250,000 256,970
1.00%, 05/05/23 250,000 253,425
0.50%, 02/02/24 250,000 249,895
3.63%, 09/09/24 550,000 604,906
2.95%, 04/09/25 400,000 432,528
Credit Suisse Group AG
4.55%, 04/17/26 500,000 576,740
4.88%, 05/15/45 500,000 645,540
Credit Suisse Group Funding Guernsey Ltd.
3.80%, 09/15/22 500,000 525,420
3.80%, 06/09/23 500,000 536,435
3.75%, 03/26/25 500,000 548,940
Credit Suisse USA, Inc.
7.13%, 07/15/32 150,000 223,698
Deutsche Bank AG
3.30%, 11/16/22 250,000 260,880
3.95%, 02/27/23 400,000 424,448
3.70%, 05/30/24 300,000 323,876
3.96%, 11/26/25 (a)(b) 350,000 382,595
4.10%, 01/13/26 250,000 274,849
2.13%, 11/24/26 (a)(b) 500,000 505,790
Deutsche Bank AG/New York NY
3.55%, 09/18/31 (a)(b) 350,000 369,939
Discover Bank
3.35%, 02/06/23 (a) 500,000 526,670
2.45%, 09/12/24 (a) 250,000 263,833
4.65%, 09/13/28 (a) 500,000 584,770
Discover Financial Services
3.85%, 11/21/22 400,000 423,008
3.75%, 03/04/25 (a) 150,000 164,096
4.10%, 02/09/27 (a) 150,000 169,535
Fifth Third Bancorp
3.50%, 03/15/22 (a) 150,000 154,614
2.60%, 06/15/22 (a) 150,000 154,142
1.63%, 05/05/23 (a) 175,000 179,529
3.65%, 01/25/24 (a) 250,000 271,355
2.38%, 01/28/25 (a) 250,000 262,438
2.55%, 05/05/27 (a) 200,000 213,108
3.95%, 03/14/28 (a) 250,000 291,900
8.25%, 03/01/38 250,000 414,712
Fifth Third Bank
3.85%, 03/15/26 (a) 200,000 223,818
2.25%, 02/01/27 (a) 250,000 263,275
First Horizon Bank
5.75%, 05/01/30 (a) 250,000 308,330
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
First Horizon Corp.
3.55%, 05/26/23 (a) 200,000 211,956
4.00%, 05/26/25 (a) 150,000 166,641
First Republic Bank
4.63%, 02/13/47 (a) 250,000 311,110
Goldman Sachs Capital l
6.35%, 02/15/34 150,000 208,898
HSBC Bank USA NA
5.88%, 11/01/34 250,000 336,892
7.00%, 01/15/39 250,000 377,240
HSBC Holdings PLC
4.00%, 03/30/22 200,000 208,034
3.26%, 03/13/23 (a)(b) 600,000 617,520
3.60%, 05/25/23 400,000 427,904
3.03%, 11/22/23 (a)(b) 200,000 208,808
4.25%, 03/14/24 500,000 547,385
3.95%, 05/18/24 (a)(b) 400,000 429,516
3.80%, 03/11/25 (a)(b) 450,000 489,069
4.25%, 08/18/25 200,000 223,454
2.63%, 11/07/25 (a)(b) 400,000 423,320
4.30%, 03/08/26 600,000 681,840
1.65%, 04/18/26 (a)(b) 625,000 632,456
3.90%, 05/25/26 650,000 728,162
2.10%, 06/04/26 (a)(b) 300,000 309,096
4.29%, 09/12/26 (a)(b) 400,000 448,460
4.38%, 11/23/26 309,000 350,459
1.59%, 05/24/27 (a)(b) 550,000 550,363
4.04%, 03/13/28 (a)(b) 400,000 448,420
2.01%, 09/22/28 (a)(b) 350,000 351,820
4.58%, 06/19/29 (a)(b) 600,000 691,740
4.95%, 03/31/30 400,000 481,420
3.97%, 05/22/30 (a)(b) 450,000 503,136
2.85%, 06/04/31 (a)(b) 250,000 258,150
2.36%, 08/18/31 (a)(b) 450,000 448,519
7.63%, 05/17/32 200,000 286,152
6.50%, 05/02/36 200,000 276,096
6.50%, 09/15/37 505,000 708,641
6.80%, 06/01/38 400,000 579,896
6.10%, 01/14/42 200,000 289,854
5.25%, 03/14/44 400,000 518,988
HSBC USA, Inc.
3.50%, 06/23/24 150,000 163,746
Huntington Bancshares, Inc.
2.30%, 01/14/22 (a) 150,000 152,406
2.63%, 08/06/24 (a) 200,000 212,614
2.55%, 02/04/30 (a) 200,000 206,826
ING Groep N.V.
3.15%, 03/29/22 250,000 257,728
4.10%, 10/02/23 300,000 327,570
3.55%, 04/09/24 200,000 217,402
3.95%, 03/29/27 200,000 226,692
4.55%, 10/02/28 300,000 353,592
4.05%, 04/09/29 200,000 230,114
JPMorgan Chase & Co.
3.25%, 09/23/22 580,000 606,790
2.97%, 01/15/23 (a) 750,000 767,272
3.20%, 01/25/23 563,000 593,830
3.21%, 04/01/23 (a)(b) 450,000 463,810
2.78%, 04/25/23 (a)(b) 500,000 513,620
3.38%, 05/01/23 450,000 478,777
2.70%, 05/18/23 (a) 300,000 314,472
3.88%, 02/01/24 250,000 274,188
3.56%, 04/23/24 (a)(b) 250,000 266,465
3.63%, 05/13/24 250,000 274,305
1.51%, 06/01/24 (a)(b) 400,000 409,548
3.80%, 07/23/24 (a)(b) 450,000 485,064
 
19
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.88%, 09/10/24 700,000 774,599
0.65%, 09/16/24 (a)(b) 400,000 402,592
4.02%, 12/05/24 (a)(b) 450,000 492,421
3.13%, 01/23/25 (a) 745,000 804,555
0.56%, 02/16/25 (a)(b) 300,000 299,199
3.22%, 03/01/25 (a)(b) 250,000 268,695
3.90%, 07/15/25 (a) 450,000 501,570
2.30%, 10/15/25 (a)(b) 600,000 631,356
2.01%, 03/13/26 (a)(b) 500,000 518,180
3.30%, 04/01/26 (a) 635,000 698,614
2.08%, 04/22/26 (a)(b) 700,000 726,943
3.20%, 06/15/26 (a) 250,000 273,683
2.95%, 10/01/26 (a) 550,000 598,631
1.05%, 11/19/26 (a)(b) 700,000 693,553
4.13%, 12/15/26 450,000 516,357
3.96%, 01/29/27 (a)(b) 500,000 562,960
1.04%, 02/04/27 (a)(b) 650,000 641,387
8.00%, 04/29/27 150,000 207,126
4.25%, 10/01/27 250,000 290,357
3.63%, 12/01/27 (a) 150,000 166,946
3.78%, 02/01/28 (a)(b) 500,000 563,205
3.54%, 05/01/28 (a)(b) 450,000 501,363
2.18%, 06/01/28 (a)(b) 300,000 310,017
3.51%, 01/23/29 (a)(b) 350,000 386,967
4.01%, 04/23/29 (a)(b) 300,000 342,234
4.20%, 07/23/29 (a)(b) 650,000 750,698
4.45%, 12/05/29 (a)(b) 450,000 529,627
3.70%, 05/06/30 (a)(b) 450,000 505,575
8.75%, 09/01/30 50,000 74,865
2.74%, 10/15/30 (a)(b) 750,000 788,902
4.49%, 03/24/31 (a)(b) 650,000 772,427
2.52%, 04/22/31 (a)(b) 750,000 771,285
2.96%, 05/13/31 (a)(b) 700,000 731,976
1.76%, 11/19/31 (a)(b) 250,000 239,143
1.95%, 02/04/32 (a)(b) 750,000 731,880
6.40%, 05/15/38 650,000 963,508
3.88%, 07/24/38 (a)(b) 400,000 458,644
5.50%, 10/15/40 230,000 317,915
3.11%, 04/22/41 (a)(b) 250,000 261,773
5.60%, 07/15/41 350,000 493,482
2.53%, 11/19/41 (a)(b) 500,000 479,220
5.40%, 01/06/42 300,000 417,888
5.63%, 08/16/43 250,000 354,225
4.85%, 02/01/44 100,000 132,288
4.95%, 06/01/45 450,000 595,426
4.26%, 02/22/48 (a)(b) 350,000 426,356
4.03%, 07/24/48 (a)(b) 250,000 292,017
3.96%, 11/15/48 (a)(b) 800,000 930,168
3.90%, 01/23/49 (a)(b) 400,000 462,132
3.11%, 04/22/51 (a)(b) 400,000 408,072
KeyBank NA
2.30%, 09/14/22 250,000 257,830
3.38%, 03/07/23 250,000 265,308
1.25%, 03/10/23 250,000 254,805
0.42%, 01/03/24 (a)(b) 250,000 250,540
3.40%, 05/20/26 250,000 275,723
3.90%, 04/13/29 250,000 284,345
KeyCorp
4.15%, 10/29/25 150,000 170,939
4.10%, 04/30/28 150,000 174,743
2.55%, 10/01/29 150,000 157,299
Lloyds Bank PLC
3.50%, 05/14/25 200,000 219,680
Lloyds Banking Group PLC
2.86%, 03/17/23 (a)(b) 400,000 409,932
1.33%, 06/15/23 (a)(b) 200,000 202,094
4.05%, 08/16/23 400,000 434,148
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.91%, 11/07/23 (a)(b) 450,000 467,604
3.90%, 03/12/24 250,000 273,898
4.50%, 11/04/24 200,000 223,526
4.45%, 05/08/25 200,000 226,168
3.87%, 07/09/25 (a)(b) 400,000 438,992
4.58%, 12/10/25 200,000 226,554
2.44%, 02/05/26 (a)(b) 200,000 208,908
4.65%, 03/24/26 524,000 595,086
3.75%, 01/11/27 400,000 446,344
4.38%, 03/22/28 300,000 346,068
4.55%, 08/16/28 200,000 234,336
3.57%, 11/07/28 (a)(b) 200,000 220,132
5.30%, 12/01/45 200,000 261,172
4.34%, 01/09/48 300,000 348,432
Manufacturers & Traders Trust Co.
2.50%, 05/18/22 (a) 250,000 256,340
2.90%, 02/06/25 (a) 250,000 269,613
Mitsubishi UFJ Financial Group, Inc.
3.22%, 03/07/22 250,000 257,413
2.62%, 07/18/22 250,000 257,885
2.67%, 07/25/22 550,000 567,616
3.46%, 03/02/23 250,000 264,968
3.76%, 07/26/23 250,000 269,383
3.41%, 03/07/24 550,000 594,319
2.80%, 07/18/24 200,000 213,748
0.85%, 09/15/24 (a)(b) 750,000 756,105
2.19%, 02/25/25 650,000 676,539
1.41%, 07/17/25 350,000 353,416
3.85%, 03/01/26 200,000 224,892
2.76%, 09/13/26 200,000 214,764
3.68%, 02/22/27 200,000 226,280
3.29%, 07/25/27 250,000 278,380
3.96%, 03/02/28 250,000 285,357
4.05%, 09/11/28 250,000 287,932
3.74%, 03/07/29 300,000 338,757
3.20%, 07/18/29 200,000 217,414
2.56%, 02/25/30 200,000 207,454
2.05%, 07/17/30 450,000 448,231
4.15%, 03/07/39 300,000 353,916
3.75%, 07/18/39 200,000 225,532
Mizuho Financial Group, Inc.
2.27%, 09/13/21 200,000 202,106
2.95%, 02/28/22 500,000 513,175
2.60%, 09/11/22 250,000 258,660
2.72%, 07/16/23 (a)(b) 200,000 206,308
1.24%, 07/10/24 (a)(b) 250,000 253,868
0.85%, 09/08/24 (a)(b) 375,000 377,344
2.56%, 09/13/25 (a)(b) 200,000 211,078
2.23%, 05/25/26 (a)(b) 200,000 208,002
3.66%, 02/28/27 200,000 224,934
1.23%, 05/22/27 (a)(b) 250,000 247,390
3.17%, 09/11/27 300,000 330,156
4.02%, 03/05/28 200,000 227,904
3.15%, 07/16/30 (a)(b) 200,000 214,734
2.87%, 09/13/30 (a)(b) 200,000 210,752
2.20%, 07/10/31 (a)(b) 250,000 249,310
1.98%, 09/08/31 (a)(b) 250,000 244,570
Morgan Stanley
2.75%, 05/19/22 500,000 515,205
4.88%, 11/01/22 250,000 268,113
3.13%, 01/23/23 350,000 368,014
3.75%, 02/25/23 500,000 532,980
4.10%, 05/22/23 600,000 646,260
0.56%, 11/10/23 (a)(b) 300,000 300,507
0.53%, 01/25/24 (a)(b) 750,000 750,480
3.74%, 04/24/24 (a)(b) 800,000 854,616
3.88%, 04/29/24 750,000 824,850
 
20
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.70%, 10/23/24 500,000 552,375
2.72%, 07/22/25 (a)(b) 350,000 372,382
4.00%, 07/23/25 524,000 589,579
0.86%, 10/21/25 (a)(b) 1,000,000 1,002,250
5.00%, 11/24/25 324,000 378,886
3.88%, 01/27/26 500,000 563,285
2.19%, 04/28/26 (a)(b) 700,000 727,293
3.13%, 07/27/26 500,000 547,180
6.25%, 08/09/26 412,000 516,953
4.35%, 09/08/26 300,000 345,717
0.99%, 12/10/26 (a)(b) 500,000 494,155
3.63%, 01/20/27 450,000 505,314
3.95%, 04/23/27 500,000 565,050
3.59%, 07/22/28 (a)(b) 650,000 726,680
3.77%, 01/24/29 (a)(b) 650,000 729,592
4.43%, 01/23/30 (a)(b) 600,000 703,206
2.70%, 01/22/31 (a)(b) 750,000 780,142
3.62%, 04/01/31 (a)(b) 500,000 557,970
1.79%, 02/13/32 (a)(b) 350,000 334,519
7.25%, 04/01/32 330,000 481,671
1.93%, 04/28/32 (a)(b) 500,000 486,075
3.97%, 07/22/38 (a)(b) 450,000 522,378
4.46%, 04/22/39 (a)(b) 250,000 306,187
6.38%, 07/24/42 500,000 761,910
4.30%, 01/27/45 555,000 681,817
4.38%, 01/22/47 250,000 311,182
5.60%, 03/24/51 (a)(b) 550,000 797,912
2.80%, 01/25/52 (a)(b) 250,000 239,098
MUFG Union Bank NA
3.15%, 04/01/22 (a) 250,000 257,183
National Australia Bank Ltd.
2.50%, 05/22/22 850,000 873,630
2.88%, 04/12/23 250,000 263,570
2.50%, 07/12/26 250,000 268,345
National Bank of Canada
2.10%, 02/01/23 250,000 258,150
0.90%, 08/15/23 (a)(b) 250,000 251,655
Natwest Group PLC
6.13%, 12/15/22 400,000 436,180
3.50%, 05/15/23 (a)(b) 800,000 828,064
6.10%, 06/10/23 150,000 166,787
3.88%, 09/12/23 400,000 431,904
6.00%, 12/19/23 550,000 623,980
2.36%, 05/22/24 (a)(b) 200,000 207,164
5.13%, 05/28/24 350,000 391,832
4.52%, 06/25/24 (a)(b) 200,000 217,346
4.27%, 03/22/25 (a)(b) 200,000 219,502
3.07%, 05/22/28 (a)(b) 400,000 426,368
4.89%, 05/18/29 (a)(b) 500,000 585,345
3.75%, 11/01/29 (a)(b) 200,000 211,680
5.08%, 01/27/30 (a)(b) 200,000 237,540
4.45%, 05/08/30 (a)(b) 200,000 229,678
3.03%, 11/28/35 (a)(b) 250,000 245,013
Northern Trust Corp.
3.95%, 10/30/25 250,000 283,565
3.65%, 08/03/28 (a) 100,000 113,433
3.15%, 05/03/29 (a) 100,000 110,239
1.95%, 05/01/30 (a) 200,000 200,764
People's United Bank NA
4.00%, 07/15/24 (a) 250,000 270,995
PNC Bank NA
2.63%, 02/17/22 (a) 250,000 255,395
2.70%, 11/01/22 (a) 250,000 259,425
2.95%, 01/30/23 (a) 400,000 419,020
2.95%, 02/23/25 (a) 500,000 539,000
3.25%, 06/01/25 (a) 250,000 274,123
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.25%, 01/22/28 (a) 250,000 276,890
4.05%, 07/26/28 250,000 288,697
2.70%, 10/22/29 250,000 262,408
Regions Financial Corp.
3.80%, 08/14/23 (a) 250,000 269,280
2.25%, 05/18/25 (a) 200,000 209,484
7.38%, 12/10/37 100,000 148,768
Royal Bank of Canada
2.80%, 04/29/22 200,000 205,918
1.95%, 01/17/23 200,000 206,182
3.70%, 10/05/23 350,000 379,795
0.50%, 10/26/23 500,000 501,790
0.43%, 01/19/24 500,000 498,770
2.55%, 07/16/24 150,000 159,675
2.25%, 11/01/24 200,000 211,294
1.15%, 06/10/25 350,000 352,156
0.88%, 01/20/26 400,000 396,020
4.65%, 01/27/26 150,000 174,191
Santander Holdings USA, Inc.
3.70%, 03/28/22 (a) 430,000 443,231
3.40%, 01/18/23 (a) 200,000 209,398
3.50%, 06/07/24 (a) 200,000 215,178
3.45%, 06/02/25 (a) 200,000 215,606
4.50%, 07/17/25 (a) 100,000 111,554
3.24%, 10/05/26 (a)(c) 150,000 160,737
4.40%, 07/13/27 (a) 150,000 168,711
Santander UK Group Holdings PLC
2.88%, 08/05/21 200,000 202,184
3.37%, 01/05/24 (a)(b) 300,000 315,015
4.80%, 11/15/24 (a)(b) 200,000 221,616
1.53%, 08/21/26 (a)(b) 400,000 401,140
3.82%, 11/03/28 (a)(b) 250,000 278,303
Santander UK PLC
3.40%, 06/01/21 200,000 201,546
2.88%, 06/18/24 200,000 214,520
State Street Corp.
2.83%, 03/30/23 (a)(b) 150,000 154,146
2.65%, 05/15/23 (a)(b) 150,000 154,230
3.10%, 05/15/23 200,000 212,164
3.78%, 12/03/24 (a)(b) 200,000 218,302
3.30%, 12/16/24 300,000 330,708
2.35%, 11/01/25 (a)(b) 200,000 212,466
2.90%, 03/30/26 (a)(b) 200,000 215,314
2.65%, 05/19/26 250,000 271,118
4.14%, 12/03/29 (a)(b) 250,000 293,205
2.40%, 01/24/30 100,000 105,132
2.20%, 03/03/31 200,000 199,412
3.15%, 03/30/31 (a)(b) 100,000 109,637
Sumitomo Mitsui Banking Corp.
3.95%, 01/10/24 250,000 274,083
Sumitomo Mitsui Financial Group, Inc.
2.44%, 10/19/21 200,000 202,712
2.78%, 07/12/22 400,000 413,304
2.78%, 10/18/22 250,000 259,800
3.10%, 01/17/23 750,000 788,250
3.75%, 07/19/23 200,000 215,756
0.51%, 01/12/24 200,000 199,972
2.70%, 07/16/24 450,000 479,331
2.45%, 09/27/24 200,000 211,722
2.35%, 01/15/25 200,000 209,464
1.47%, 07/08/25 500,000 507,100
3.78%, 03/09/26 600,000 671,802
2.63%, 07/14/26 400,000 426,076
3.01%, 10/19/26 250,000 272,263
3.45%, 01/11/27 200,000 221,902
3.36%, 07/12/27 200,000 221,188
 
21
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.94%, 07/19/28 250,000 284,853
4.31%, 10/16/28 250,000 291,652
3.04%, 07/16/29 600,000 644,502
3.20%, 09/17/29 100,000 106,217
2.72%, 09/27/29 200,000 209,778
2.75%, 01/15/30 200,000 210,264
2.13%, 07/08/30 300,000 301,152
2.14%, 09/23/30 250,000 244,445
1.71%, 01/12/31 200,000 193,014
SVB Financial Group
3.13%, 06/05/30 (a) 200,000 215,602
Svenska Handelsbanken AB
3.90%, 11/20/23 250,000 273,703
Synchrony Bank
3.00%, 06/15/22 (a) 250,000 257,440
Synchrony Financial
2.85%, 07/25/22 (a) 200,000 206,096
4.38%, 03/19/24 (a) 150,000 164,642
4.50%, 07/23/25 (a) 250,000 279,293
3.95%, 12/01/27 (a) 200,000 220,364
5.15%, 03/19/29 (a) 150,000 177,861
Synovus Financial Corp.
3.13%, 11/01/22 (a) 50,000 51,792
The Bank of New York Mellon Corp.
1.95%, 08/23/22 200,000 205,140
2.95%, 01/29/23 (a) 250,000 262,233
3.50%, 04/28/23 200,000 213,772
2.66%, 05/16/23 (a)(b) 300,000 308,496
2.20%, 08/16/23 (a) 250,000 260,855
0.35%, 12/07/23 (a) 200,000 200,352
3.65%, 02/04/24 (a) 500,000 545,390
3.25%, 09/11/24 (a) 200,000 218,598
2.10%, 10/24/24 200,000 211,208
1.60%, 04/24/25 (a) 250,000 257,523
0.75%, 01/28/26 (a) 500,000 494,645
2.80%, 05/04/26 (a) 200,000 216,664
2.45%, 08/17/26 (a) 150,000 159,944
3.25%, 05/16/27 (a) 250,000 277,955
3.44%, 02/07/28 (a)(b) 150,000 168,390
3.85%, 04/28/28 600,000 694,698
3.00%, 10/30/28 (a) 150,000 163,083
The Bank of Nova Scotia
2.70%, 03/07/22 100,000 102,547
2.45%, 09/19/22 200,000 206,816
2.00%, 11/15/22 200,000 205,894
1.95%, 02/01/23 200,000 206,134
1.63%, 05/01/23 500,000 513,705
0.55%, 09/15/23 350,000 351,634
3.40%, 02/11/24 150,000 162,390
2.20%, 02/03/25 200,000 209,132
1.30%, 06/11/25 400,000 404,036
4.50%, 12/16/25 150,000 172,218
1.05%, 03/02/26 (d) 200,000 198,932
2.70%, 08/03/26 200,000 215,360
The Goldman Sachs Group, Inc.
3.00%, 04/26/22 (a) 500,000 501,980
3.63%, 01/22/23 400,000 424,044
0.48%, 01/27/23 (a) 500,000 500,140
3.20%, 02/23/23 (a) 350,000 368,217
2.91%, 06/05/23 (a)(b) 550,000 566,951
2.91%, 07/24/23 (a)(b) 250,000 258,433
0.63%, 11/17/23 (a)(b) 750,000 752,497
3.63%, 02/20/24 (a) 350,000 380,443
4.00%, 03/03/24 500,000 550,060
3.85%, 07/08/24 (a) 724,000 793,381
3.50%, 01/23/25 (a) 450,000 489,969
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.50%, 04/01/25 (a) 600,000 657,198
3.75%, 05/22/25 (a) 550,000 607,469
3.27%, 09/29/25 (a)(b) 450,000 488,178
4.25%, 10/21/25 500,000 562,915
0.86%, 02/12/26 (a)(b) 250,000 248,028
3.75%, 02/25/26 (a) 400,000 446,716
3.50%, 11/16/26 (a) 550,000 606,028
1.09%, 12/09/26 (a)(b) 500,000 495,940
5.95%, 01/15/27 157,000 194,162
3.85%, 01/26/27 (a) 600,000 670,038
3.69%, 06/05/28 (a)(b) 650,000 729,976
3.81%, 04/23/29 (a)(b) 450,000 506,560
4.22%, 05/01/29 (a)(b) 700,000 807,422
2.60%, 02/07/30 (a) 350,000 365,508
3.80%, 03/15/30 (a) 600,000 681,984
1.99%, 01/27/32 (a)(b) 500,000 489,000
6.13%, 02/15/33 150,000 206,384
6.45%, 05/01/36 100,000 140,827
6.75%, 10/01/37 1,200,000 1,755,000
4.02%, 10/31/38 (a)(b) 650,000 752,089
4.41%, 04/23/39 (a)(b) 300,000 361,578
6.25%, 02/01/41 500,000 735,910
4.80%, 07/08/44 (a) 350,000 454,695
5.15%, 05/22/45 500,000 661,490
4.75%, 10/21/45 (a) 300,000 388,005
The Huntington National Bank
2.50%, 08/07/22 (a) 250,000 257,418
3.55%, 10/06/23 (a) 250,000 269,993
The PNC Financial Services Group, Inc.
3.30%, 03/08/22 (a) 150,000 154,296
3.90%, 04/29/24 (a) 500,000 550,035
2.20%, 11/01/24 (a) 250,000 264,665
2.60%, 07/23/26 (a) 100,000 107,406
3.45%, 04/23/29 (a) 350,000 393,571
2.55%, 01/22/30 (a) 300,000 315,306
The Toronto-Dominion Bank
1.90%, 12/01/22 250,000 257,183
0.25%, 01/06/23 200,000 199,882
0.75%, 06/12/23 400,000 403,740
3.50%, 07/19/23 250,000 269,060
0.45%, 09/11/23 400,000 401,072
3.25%, 03/11/24 200,000 216,072
2.65%, 06/12/24 200,000 213,550
1.15%, 06/12/25 250,000 251,698
0.75%, 09/11/25 400,000 395,240
0.75%, 01/06/26 200,000 196,818
3.63%, 09/15/31 (a)(b) 300,000 333,942
Truist Bank
2.45%, 08/01/22 (a) 250,000 257,313
3.69%, 08/02/24 (a)(b) 500,000 536,760
2.15%, 12/06/24 (a) 250,000 263,520
1.50%, 03/10/25 (a) 300,000 307,053
3.63%, 09/16/25 (a) 491,000 545,329
4.05%, 11/03/25 (a) 400,000 454,036
2.25%, 03/11/30 (a) 250,000 252,810
Truist Financial Corp.
3.95%, 03/22/22 (a) 274,000 283,593
2.75%, 04/01/22 (a) 250,000 256,213
3.05%, 06/20/22 (a) 250,000 258,493
2.20%, 03/16/23 (a) 250,000 259,125
3.75%, 12/06/23 (a) 100,000 108,910
2.50%, 08/01/24 (a) 300,000 318,018
2.85%, 10/26/24 (a) 300,000 322,812
4.00%, 05/01/25 (a) 200,000 223,496
1.20%, 08/05/25 (a) 200,000 202,068
1.27%, 03/02/27 (a)(b) 200,000 201,072
1.13%, 08/03/27 (a) 500,000 492,650
 
22
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.88%, 03/19/29 (a) 100,000 114,155
1.95%, 06/05/30 (a) 200,000 201,150
US Bancorp
2.95%, 07/15/22 (a) 200,000 206,812
3.70%, 01/30/24 (a) 500,000 545,650
3.38%, 02/05/24 (a) 300,000 324,666
2.40%, 07/30/24 (a) 200,000 212,178
1.45%, 05/12/25 (a) 300,000 306,729
2.38%, 07/22/26 (a) 100,000 106,113
3.15%, 04/27/27 (a) 600,000 663,804
3.00%, 07/30/29 (a) 150,000 161,928
1.38%, 07/22/30 (a) 400,000 383,020
US Bank NA
2.65%, 05/23/22 (a) 250,000 256,935
2.85%, 01/23/23 (a) 250,000 261,698
2.80%, 01/27/25 (a) 250,000 267,953
US Bank NA/Cincinnati OH
1.80%, 01/21/22 (a) 250,000 253,253
3.40%, 07/24/23 (a) 250,000 267,738
2.05%, 01/21/25 (a) 250,000 261,103
Wachovia Corp.
5.50%, 08/01/35 330,000 425,697
Webster Financial Corp.
4.10%, 03/25/29 (a) 50,000 54,946
Wells Fargo & Co.
3.50%, 03/08/22 450,000 464,976
2.63%, 07/22/22 500,000 516,075
3.07%, 01/24/23 (a) 700,000 716,961
3.45%, 02/13/23 443,000 469,212
4.13%, 08/15/23 250,000 271,970
4.48%, 01/16/24 150,000 166,542
3.75%, 01/24/24 (a) 850,000 924,018
1.65%, 06/02/24 (a)(b) 500,000 512,755
3.30%, 09/09/24 424,000 462,135
3.00%, 02/19/25 400,000 430,144
3.55%, 09/29/25 600,000 663,414
2.41%, 10/30/25 (a)(b) 650,000 685,841
2.16%, 02/11/26 (a)(b) 650,000 676,526
3.00%, 04/22/26 850,000 920,456
2.19%, 04/30/26 (a)(b) 500,000 520,870
4.10%, 06/03/26 550,000 623,661
3.00%, 10/23/26 600,000 650,502
3.20%, 06/17/27 (a)(b) 400,000 435,732
4.30%, 07/22/27 480,000 554,347
3.58%, 05/22/28 (a)(b) 500,000 555,175
2.39%, 06/02/28 (a)(b) 550,000 571,747
4.15%, 01/24/29 (a) 300,000 346,095
2.88%, 10/30/30 (a)(b) 500,000 529,765
2.57%, 02/11/31 (a)(b) 450,000 466,015
4.48%, 04/04/31 (a)(b) 600,000 709,146
5.95%, 12/15/36 200,000 273,332
3.07%, 04/30/41 (a)(b) 1,000,000 1,026,630
5.38%, 11/02/43 400,000 521,288
5.61%, 01/15/44 600,000 803,346
4.65%, 11/04/44 250,000 299,677
3.90%, 05/01/45 580,000 674,325
4.90%, 11/17/45 350,000 435,662
4.40%, 06/14/46 450,000 529,303
4.75%, 12/07/46 550,000 678,271
5.01%, 04/04/51 (a)(b) 1,100,000 1,470,436
Wells Fargo Bank NA
3.63%, 10/22/21 (a) 300,000 305,622
3.55%, 08/14/23 (a) 500,000 538,415
5.85%, 02/01/37 250,000 343,250
6.60%, 01/15/38 250,000 365,705
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Westpac Banking Corp.
2.50%, 06/28/22 250,000 257,458
2.75%, 01/11/23 250,000 261,535
3.65%, 05/15/23 500,000 536,370
3.30%, 02/26/24 200,000 216,560
2.35%, 02/19/25 250,000 263,838
2.85%, 05/13/26 200,000 217,158
3.35%, 03/08/27 150,000 168,179
3.40%, 01/25/28 250,000 279,865
2.65%, 01/16/30 100,000 107,705
2.89%, 02/04/30 (a)(b) 200,000 207,890
4.32%, 11/23/31 (a)(b) 450,000 504,216
4.11%, 07/24/34 (a)(b) 250,000 274,668
2.67%, 11/15/35 (a)(b) 300,000 293,856
4.42%, 07/24/39 350,000 415,537
2.96%, 11/16/40 200,000 196,784
    287,447,892
Brokerage/Asset Managers/Exchanges 0.3%
Affiliated Managers Group, Inc.
4.25%, 02/15/24 100,000 110,189
3.30%, 06/15/30 (a) 150,000 159,164
Ameriprise Financial, Inc.
3.00%, 03/22/22 150,000 154,373
4.00%, 10/15/23 250,000 273,477
3.00%, 04/02/25 (a) 100,000 107,607
BGC Partners, Inc.
5.38%, 07/24/23 100,000 109,182
3.75%, 10/01/24 (a) 100,000 105,024
BlackRock, Inc.
3.38%, 06/01/22 150,000 155,889
3.50%, 03/18/24 424,000 464,327
3.25%, 04/30/29 (a) 150,000 167,135
2.40%, 04/30/30 (a) 200,000 208,974
1.90%, 01/28/31 (a) 250,000 248,677
Brookfield Asset Management, Inc.
4.00%, 01/15/25 (a) 150,000 165,096
Brookfield Finance, Inc.
4.00%, 04/01/24 (a) 100,000 109,387
4.25%, 06/02/26 (a) 100,000 114,253
3.90%, 01/25/28 (a) 150,000 169,065
4.85%, 03/29/29 (a) 400,000 476,356
4.35%, 04/15/30 (a) 150,000 174,303
4.70%, 09/20/47 (a) 100,000 119,169
3.45%, 04/15/50 (a) 100,000 100,242
3.50%, 03/30/51 (a) 250,000 252,577
Cboe Global Markets, Inc.
3.65%, 01/12/27 (a) 100,000 112,644
CI Financial Corp.
3.20%, 12/17/30 (a) 200,000 202,128
CME Group, Inc.
3.00%, 03/15/25 (a) 400,000 431,900
5.30%, 09/15/43 (a) 200,000 283,818
E*TRADE Financial Corp.
2.95%, 08/24/22 (a) 100,000 103,566
3.80%, 08/24/27 (a) 150,000 169,419
4.50%, 06/20/28 (a) 100,000 116,774
Eaton Vance Corp.
3.63%, 06/15/23 100,000 107,046
3.50%, 04/06/27 (a) 200,000 220,288
Franklin Resources, Inc.
2.85%, 03/30/25 100,000 107,405
1.60%, 10/30/30 (a) 150,000 142,973
 
23
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Intercontinental Exchange, Inc.
2.35%, 09/15/22 (a) 200,000 205,774
0.70%, 06/15/23 200,000 201,252
3.45%, 09/21/23 (a) 100,000 107,433
3.75%, 12/01/25 (a) 250,000 278,017
3.10%, 09/15/27 (a) 100,000 110,696
3.75%, 09/21/28 (a) 400,000 450,008
2.10%, 06/15/30 (a) 250,000 249,270
1.85%, 09/15/32 (a) 250,000 237,525
2.65%, 09/15/40 (a) 250,000 239,060
4.25%, 09/21/48 (a) 150,000 177,558
3.00%, 06/15/50 (a) 400,000 386,984
3.00%, 09/15/60 (a) 250,000 237,745
Invesco Finance PLC
3.75%, 01/15/26 230,000 256,215
5.38%, 11/30/43 100,000 127,512
Jefferies Group LLC
5.13%, 01/20/23 150,000 162,624
6.45%, 06/08/27 100,000 126,950
6.25%, 01/15/36 100,000 132,629
Jefferies Group LLC/Jefferies Group Capital Finance, Inc.
4.85%, 01/15/27 500,000 586,010
4.15%, 01/23/30 200,000 226,588
Lazard Group LLC
4.50%, 09/19/28 (a) 150,000 174,897
4.38%, 03/11/29 (a) 200,000 229,080
Legg Mason, Inc.
4.75%, 03/15/26 150,000 175,091
5.63%, 01/15/44 75,000 103,043
Nasdaq, Inc.
0.45%, 12/21/22 (a) 250,000 250,117
3.85%, 06/30/26 (a) 150,000 168,671
2.50%, 12/21/40 (a) 250,000 230,597
3.25%, 04/28/50 (a) 100,000 99,386
Nomura Holdings, Inc.
2.65%, 01/16/25 200,000 210,558
1.85%, 07/16/25 400,000 408,780
3.10%, 01/16/30 400,000 420,492
2.68%, 07/16/30 300,000 306,606
Raymond James Financial, Inc.
3.63%, 09/15/26 200,000 226,536
4.65%, 04/01/30 (a) 100,000 120,215
4.95%, 07/15/46 150,000 190,510
Stifel Financial Corp.
4.25%, 07/18/24 100,000 111,467
TD Ameritrade Holding Corp.
2.95%, 04/01/22 (a)(e) 150,000 153,689
3.75%, 04/01/24 (a)(e) 100,000 109,370
3.63%, 04/01/25 (a)(e) 150,000 165,179
2.75%, 10/01/29 (a)(e) 100,000 106,530
The Charles Schwab Corp.
2.65%, 01/25/23 (a)(e) 150,000 156,396
3.55%, 02/01/24 (a)(e) 100,000 108,884
4.20%, 03/24/25 (a)(e) 250,000 281,540
3.85%, 05/21/25 (a)(e) 150,000 167,783
0.90%, 03/11/26 (a)(e) 250,000 248,552
3.20%, 03/02/27 (a)(e) 100,000 110,833
3.20%, 01/25/28 (a)(e) 150,000 166,044
4.00%, 02/01/29 (a)(e) 150,000 173,787
3.25%, 05/22/29 (a)(e) 200,000 221,578
4.63%, 03/22/30 (a)(e) 100,000 121,513
1.65%, 03/11/31 (a)(e) 100,000 96,313
    16,256,314
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Finance Companies 0.3%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust
4.63%, 07/01/22 150,000 157,562
3.30%, 01/23/23 (a) 150,000 156,098
4.13%, 07/03/23 (a) 150,000 159,411
4.50%, 09/15/23 (a) 250,000 270,225
4.88%, 01/16/24 (a) 300,000 327,216
3.15%, 02/15/24 (a) 300,000 314,580
3.50%, 01/15/25 (a) 150,000 158,133
6.50%, 07/15/25 (a) 300,000 351,348
4.45%, 10/01/25 (a) 150,000 164,316
4.45%, 04/03/26 (a) 150,000 165,582
3.65%, 07/21/27 (a) 250,000 264,815
4.63%, 10/15/27 (a) 350,000 390,729
Air Lease Corp.
3.75%, 02/01/22 (a) 150,000 153,567
2.25%, 01/15/23 200,000 205,418
2.75%, 01/15/23 (a) 100,000 103,533
3.00%, 09/15/23 (a) 300,000 314,736
0.70%, 02/15/24 (a) 250,000 247,708
4.25%, 09/15/24 (a) 150,000 164,586
2.30%, 02/01/25 (a) 100,000 102,409
3.38%, 07/01/25 (a) 125,000 132,989
2.88%, 01/15/26 (a) 400,000 416,892
3.75%, 06/01/26 (a) 150,000 162,264
3.63%, 04/01/27 (a) 150,000 161,694
3.63%, 12/01/27 (a) 250,000 267,487
4.63%, 10/01/28 (a) 100,000 112,638
3.25%, 10/01/29 (a) 100,000 103,141
3.00%, 02/01/30 (a) 100,000 99,876
3.13%, 12/01/30 (a) 150,000 150,837
Aircastle Ltd.
4.40%, 09/25/23 (a) 150,000 159,690
4.13%, 05/01/24 (a) 100,000 105,730
4.25%, 06/15/26 (a) 300,000 318,762
Ares Capital Corp.
4.20%, 06/10/24 (a) 250,000 271,957
4.25%, 03/01/25 (a) 100,000 108,288
3.25%, 07/15/25 (a) 150,000 157,169
3.88%, 01/15/26 (a) 450,000 481,567
FS KKR Capital Corp.
4.75%, 05/15/22 (a) 100,000 104,048
4.63%, 07/15/24 (a) 100,000 107,229
4.13%, 02/01/25 (a) 100,000 103,770
3.40%, 01/15/26 (a) 200,000 200,126
GATX Corp.
3.25%, 09/15/26 (a) 200,000 219,014
3.85%, 03/30/27 (a) 150,000 168,242
3.50%, 03/15/28 (a) 150,000 165,282
4.70%, 04/01/29 (a) 150,000 177,402
3.10%, 06/01/51 (a) 100,000 96,072
GE Capital Funding LLC
3.45%, 05/15/25 (a)(c) 350,000 380,387
4.05%, 05/15/27 (a)(c) 200,000 224,858
4.40%, 05/15/30 (a)(c) 500,000 572,310
4.55%, 05/15/32 (a)(c) 250,000 289,342
GE Capital International Funding Co.
3.37%, 11/15/25 300,000 327,693
4.42%, 11/15/35 2,305,000 2,640,078
Goldman Sachs BDC, Inc.
3.75%, 02/10/25 (a) 50,000 53,241
2.88%, 01/15/26 (a) 150,000 153,492
Golub Capital BDC, Inc.
2.50%, 08/24/26 (a) 250,000 248,885
 
24
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Main Street Capital Corp.
5.20%, 05/01/24 50,000 54,220
Oaktree Specialty Lending Corp.
3.50%, 02/25/25 (a) 50,000 51,731
Owl Rock Capital Corp.
5.25%, 04/15/24 (a) 100,000 109,731
3.75%, 07/22/25 (a) 100,000 104,497
4.25%, 01/15/26 (a) 250,000 266,572
3.40%, 07/15/26 (a) 200,000 206,146
    14,407,321
Financial Other 0.0%
Blackstone Secured Lending Fund
3.65%, 07/14/23 (c) 300,000 313,485
ORIX Corp.
4.05%, 01/16/24 100,000 109,297
3.25%, 12/04/24 200,000 217,436
3.70%, 07/18/27 100,000 112,765
The Andrew W Mellon Foundation
0.95%, 08/01/27 (a) 250,000 246,727
    999,710
Insurance 1.2%
Aegon NV
5.50%, 04/11/48 (a)(b) 200,000 227,696
Aetna, Inc.
2.75%, 11/15/22 (a) 100,000 103,438
2.80%, 06/15/23 (a) 450,000 471,838
3.50%, 11/15/24 (a) 100,000 109,589
6.63%, 06/15/36 100,000 145,165
6.75%, 12/15/37 150,000 220,538
4.13%, 11/15/42 (a) 100,000 112,173
4.75%, 03/15/44 (a) 150,000 180,890
3.88%, 08/15/47 (a) 250,000 272,210
Aflac, Inc.
3.63%, 06/15/23 200,000 214,816
3.63%, 11/15/24 100,000 110,878
2.88%, 10/15/26 (a) 100,000 108,536
3.60%, 04/01/30 (a) 150,000 169,206
4.75%, 01/15/49 (a) 200,000 259,250
Alleghany Corp.
3.63%, 05/15/30 (a) 200,000 223,510
Allied World Assurance Co., Holdings Ltd.
4.35%, 10/29/25 (a) 100,000 108,531
American Equity Investment Life Holding Co.
5.00%, 06/15/27 (a) 90,000 101,507
American Financial Group, Inc.
3.50%, 08/15/26 (a) 150,000 164,777
4.50%, 06/15/47 (a) 100,000 118,484
American International Group, Inc.
4.88%, 06/01/22 250,000 263,930
4.13%, 02/15/24 200,000 220,902
2.50%, 06/30/25 (a) 350,000 370,184
3.75%, 07/10/25 (a) 200,000 220,846
3.90%, 04/01/26 (a) 350,000 392,518
4.20%, 04/01/28 (a) 150,000 173,196
4.25%, 03/15/29 (a) 100,000 116,439
3.40%, 06/30/30 (a) 250,000 274,435
3.88%, 01/15/35 (a) 228,000 260,932
6.25%, 05/01/36 280,000 392,347
4.50%, 07/16/44 (a) 545,000 654,158
4.80%, 07/10/45 (a) 100,000 124,069
4.75%, 04/01/48 (a) 200,000 249,386
5.75%, 04/01/48 (a)(b) 100,000 113,680
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.38%, 06/30/50 (a) 200,000 240,154
4.38%, 01/15/55 (a) 250,000 297,177
8.18%, 05/15/58 (a)(b) 100,000 145,468
Anthem, Inc.
3.70%, 08/15/21 (a) 150,000 151,082
3.13%, 05/15/22 150,000 155,037
3.30%, 01/15/23 330,000 347,510
3.50%, 08/15/24 (a) 195,000 212,665
3.35%, 12/01/24 (a) 100,000 109,262
2.38%, 01/15/25 (a) 175,000 184,203
3.65%, 12/01/27 (a) 250,000 282,550
4.10%, 03/01/28 (a) 150,000 173,088
2.88%, 09/15/29 (a) 250,000 266,760
2.25%, 05/15/30 (a) 200,000 201,600
6.38%, 06/15/37 250,000 353,942
4.63%, 05/15/42 200,000 247,866
4.65%, 01/15/43 150,000 184,859
5.10%, 01/15/44 150,000 193,631
4.65%, 08/15/44 (a) 300,000 367,908
4.38%, 12/01/47 (a) 250,000 298,920
4.55%, 03/01/48 (a) 150,000 184,109
3.70%, 09/15/49 (a) 200,000 217,798
3.13%, 05/15/50 (a) 200,000 198,566
Aon Corp.
4.50%, 12/15/28 (a) 150,000 176,709
3.75%, 05/02/29 (a) 150,000 169,755
2.80%, 05/15/30 (a) 200,000 211,572
Aon PLC
3.50%, 06/14/24 (a) 500,000 541,590
3.88%, 12/15/25 (a) 200,000 223,856
4.60%, 06/14/44 (a) 150,000 185,792
4.75%, 05/15/45 (a) 100,000 126,599
Arch Capital Finance LLC
4.01%, 12/15/26 (a) 150,000 171,390
5.03%, 12/15/46 (a) 100,000 127,062
Arch Capital Group Ltd.
3.64%, 06/30/50 (a) 250,000 264,217
Arch Capital Group US, Inc.
5.14%, 11/01/43 185,000 235,984
Assurant, Inc.
4.20%, 09/27/23 (a) 150,000 163,218
3.70%, 02/22/30 (a) 100,000 110,511
Athene Holding Ltd.
4.13%, 01/12/28 (a) 150,000 166,097
6.15%, 04/03/30 (a) 100,000 123,660
3.50%, 01/15/31 (a) 250,000 261,237
AXA S.A.
8.60%, 12/15/30 250,000 388,870
AXIS Specialty Finance LLC
3.90%, 07/15/29 (a) 100,000 111,386
4.90%, 01/15/40 (a)(b) 50,000 51,668
Berkshire Hathaway Finance Corp.
3.00%, 05/15/22 100,000 103,337
1.85%, 03/12/30 (a) 100,000 101,007
1.45%, 10/15/30 (a) 150,000 146,189
5.75%, 01/15/40 250,000 361,037
4.30%, 05/15/43 300,000 370,092
4.20%, 08/15/48 (a) 600,000 724,932
4.25%, 01/15/49 (a) 350,000 425,453
2.85%, 10/15/50 (a) 300,000 292,884
2.50%, 01/15/51 (a) 100,000 91,102
Berkshire Hathaway, Inc.
2.75%, 03/15/23 (a) 430,000 449,647
3.13%, 03/15/26 (a) 550,000 605,044
4.50%, 02/11/43 100,000 126,497
 
25
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Brighthouse Financial, Inc.
3.70%, 06/22/27 (a) 250,000 271,845
5.63%, 05/15/30 (a) 150,000 181,683
4.70%, 06/22/47 (a) 250,000 263,075
Brown & Brown, Inc.
4.20%, 09/15/24 (a) 100,000 111,537
2.38%, 03/15/31 (a) 250,000 250,263
Chubb INA Holdings, Inc.
2.70%, 03/13/23 300,000 314,544
3.15%, 03/15/25 150,000 162,894
3.35%, 05/03/26 (a) 400,000 442,184
1.38%, 09/15/30 (a) 400,000 380,820
4.15%, 03/13/43 400,000 488,444
4.35%, 11/03/45 (a) 250,000 315,245
Cincinnati Financial Corp.
6.13%, 11/01/34 250,000 340,732
CNA Financial Corp.
3.95%, 05/15/24 (a) 100,000 109,520
4.50%, 03/01/26 (a) 150,000 172,538
3.45%, 08/15/27 (a) 150,000 166,964
3.90%, 05/01/29 (a) 100,000 114,325
2.05%, 08/15/30 (a) 150,000 147,510
CNO Financial Group, Inc.
5.25%, 05/30/29 (a) 150,000 177,764
Enstar Group Ltd.
4.95%, 06/01/29 (a) 100,000 114,735
Equitable Holdings, Inc.
3.90%, 04/20/23 (a) 97,000 103,821
4.35%, 04/20/28 (a) 350,000 400,088
5.00%, 04/20/48 (a) 350,000 441,738
Everest Reinsurance Holdings, Inc.
4.87%, 06/01/44 100,000 124,727
3.50%, 10/15/50 (a) 250,000 260,147
Fairfax Financial Holdings Ltd.
4.85%, 04/17/28 (a) 100,000 111,841
4.63%, 04/29/30 (a) 200,000 221,130
Fidelity National Financial, Inc.
3.40%, 06/15/30 (a) 250,000 269,397
2.45%, 03/15/31 (a) 250,000 249,325
First American Financial Corp.
4.00%, 05/15/30 (a) 100,000 112,836
Globe Life, Inc.
4.55%, 09/15/28 (a) 100,000 117,737
2.15%, 08/15/30 (a) 250,000 247,810
Humana, Inc.
3.85%, 10/01/24 (a) 156,000 171,628
4.50%, 04/01/25 (a) 200,000 226,576
3.95%, 03/15/27 (a) 300,000 341,121
3.13%, 08/15/29 (a) 150,000 160,700
4.88%, 04/01/30 (a) 100,000 120,816
4.95%, 10/01/44 (a) 100,000 125,716
4.80%, 03/15/47 (a) 100,000 124,620
3.95%, 08/15/49 (a) 250,000 281,500
Kemper Corp.
4.35%, 02/15/25 (a) 100,000 110,235
2.40%, 09/30/30 (a) 150,000 148,533
Lincoln National Corp.
4.20%, 03/15/22 250,000 259,877
3.63%, 12/12/26 (a) 150,000 168,144
3.80%, 03/01/28 (a) 250,000 283,655
3.05%, 01/15/30 (a) 100,000 107,358
3.40%, 01/15/31 (a) 250,000 276,340
7.00%, 06/15/40 100,000 149,877
4.38%, 06/15/50 (a)(f) 200,000 239,214
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Loews Corp.
2.63%, 05/15/23 (a) 200,000 208,740
3.20%, 05/15/30 (a) 100,000 110,072
4.13%, 05/15/43 (a) 100,000 113,779
Manulife Financial Corp.
4.15%, 03/04/26 200,000 228,828
2.48%, 05/19/27 (a) 200,000 210,834
4.06%, 02/24/32 (a)(b) 500,000 549,330
Markel Corp.
3.50%, 11/01/27 (a) 150,000 166,320
3.35%, 09/17/29 (a) 100,000 108,838
5.00%, 04/05/46 200,000 257,188
4.30%, 11/01/47 (a) 150,000 178,605
4.15%, 09/17/50 (a) 100,000 116,726
Marsh & McLennan Cos., Inc.
3.88%, 03/15/24 (a) 300,000 328,926
3.50%, 06/03/24 (a) 250,000 271,160
3.50%, 03/10/25 (a) 200,000 219,342
3.75%, 03/14/26 (a) 150,000 167,987
4.38%, 03/15/29 (a) 250,000 293,702
2.25%, 11/15/30 (a) 190,000 193,006
5.88%, 08/01/33 100,000 136,634
4.75%, 03/15/39 (a) 150,000 190,190
4.35%, 01/30/47 (a) 100,000 123,006
4.90%, 03/15/49 (a) 250,000 331,970
Mercury General Corp.
4.40%, 03/15/27 (a) 100,000 112,350
MetLife, Inc.
4.37%, 09/15/23 250,000 274,882
3.60%, 04/10/24 250,000 273,547
3.60%, 11/13/25 (a) 550,000 613,200
4.55%, 03/23/30 (a) 200,000 240,974
5.70%, 06/15/35 250,000 351,317
6.40%, 12/15/36 (a) 230,000 293,248
10.75%, 08/01/39 (a)(b) 75,000 126,707
5.88%, 02/06/41 150,000 216,419
4.13%, 08/13/42 200,000 238,828
4.88%, 11/13/43 150,000 197,765
4.72%, 12/15/44 100,000 129,073
4.05%, 03/01/45 350,000 416,615
4.60%, 05/13/46 (a) 100,000 128,284
Nationwide Financial Services, Inc.
6.75%, 05/15/37 (b) 40,000 48,331
Old Republic International Corp.
3.88%, 08/26/26 (a) 150,000 169,371
PartnerRe Finance B LLC
3.70%, 07/02/29 (a) 100,000 112,137
Principal Financial Group, Inc.
3.10%, 11/15/26 (a) 250,000 274,387
2.13%, 06/15/30 (a) 250,000 248,923
4.30%, 11/15/46 (a) 237,000 282,326
Prudential Financial, Inc.
3.50%, 05/15/24 200,000 219,146
2.10%, 03/10/30 (a) 200,000 205,274
6.63%, 12/01/37 350,000 506,201
3.00%, 03/10/40 (a) 250,000 257,427
5.88%, 09/15/42 (a)(b) 150,000 158,190
5.63%, 06/15/43 (a)(b) 330,000 354,176
5.20%, 03/15/44 (a)(b) 100,000 106,620
4.60%, 05/15/44 300,000 371,778
5.38%, 05/15/45 (a)(b) 150,000 166,046
4.50%, 09/15/47 (a)(b) 100,000 108,501
3.91%, 12/07/47 (a) 350,000 395,895
5.70%, 09/15/48 (a)(b) 150,000 171,066
3.94%, 12/07/49 (a) 100,000 114,725
4.35%, 02/25/50 (a) 150,000 181,457
 
26
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.70%, 10/01/50 (a)(b) 200,000 205,212
3.70%, 03/13/51 (a) 200,000 221,870
Prudential PLC
3.13%, 04/14/30 100,000 109,227
Reinsurance Group of America, Inc.
3.90%, 05/15/29 (a) 200,000 223,674
3.15%, 06/15/30 (a) 200,000 213,094
RenaissanceRe Holdings Ltd.
3.60%, 04/15/29 (a) 150,000 166,353
The Allstate Corp.
3.15%, 06/15/23 100,000 106,394
0.75%, 12/15/25 (a) 150,000 148,566
3.28%, 12/15/26 (a) 150,000 167,819
5.35%, 06/01/33 250,000 331,097
5.55%, 05/09/35 150,000 211,757
4.50%, 06/15/43 200,000 253,082
4.20%, 12/15/46 (a) 100,000 122,781
3.85%, 08/10/49 (a) 100,000 117,437
5.75%, 08/15/53 (a)(b) 290,000 310,303
The Chubb Corp.
6.50%, 05/15/38 100,000 153,194
The Hanover Insurance Group, Inc.
2.50%, 09/01/30 (a) 200,000 203,364
The Hartford Financial Services Group, Inc.
2.80%, 08/19/29 (a) 150,000 159,122
6.10%, 10/01/41 230,000 326,989
4.40%, 03/15/48 (a) 100,000 122,558
3.60%, 08/19/49 (a) 100,000 108,723
The Progressive Corp.
2.45%, 01/15/27 250,000 268,535
4.00%, 03/01/29 (a) 150,000 175,062
3.20%, 03/26/30 (a) 100,000 111,310
6.25%, 12/01/32 150,000 210,768
3.70%, 01/26/45 200,000 228,442
4.20%, 03/15/48 (a) 250,000 309,747
3.95%, 03/26/50 (a) 100,000 120,927
The Travelers Cos., Inc.
6.75%, 06/20/36 150,000 228,335
5.35%, 11/01/40 100,000 137,680
4.60%, 08/01/43 200,000 256,924
4.00%, 05/30/47 (a) 300,000 358,116
4.10%, 03/04/49 (a) 100,000 122,336
2.55%, 04/27/50 (a) 400,000 376,732
Transatlantic Holdings, Inc.
8.00%, 11/30/39 100,000 155,214
UnitedHealth Group, Inc.
2.88%, 03/15/22 (a) 200,000 204,132
3.35%, 07/15/22 550,000 572,858
2.38%, 10/15/22 150,000 155,046
2.75%, 02/15/23 (a) 195,000 203,139
3.50%, 02/15/24 150,000 162,953
3.75%, 07/15/25 480,000 536,458
1.25%, 01/15/26 150,000 151,451
3.38%, 04/15/27 250,000 279,715
2.95%, 10/15/27 500,000 546,385
3.85%, 06/15/28 250,000 285,982
3.88%, 12/15/28 150,000 172,307
2.88%, 08/15/29 200,000 216,840
2.00%, 05/15/30 250,000 250,820
4.63%, 07/15/35 200,000 250,986
5.80%, 03/15/36 393,000 545,193
6.63%, 11/15/37 250,000 376,430
6.88%, 02/15/38 250,000 385,880
3.50%, 08/15/39 (a) 250,000 276,592
2.75%, 05/15/40 (a) 300,000 301,560
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
5.70%, 10/15/40 (a) 100,000 142,766
3.95%, 10/15/42 (a) 100,000 118,422
4.25%, 03/15/43 (a) 100,000 120,992
4.75%, 07/15/45 350,000 446,239
4.20%, 01/15/47 (a) 150,000 177,186
4.25%, 04/15/47 (a) 100,000 120,109
3.75%, 10/15/47 (a) 200,000 222,720
4.25%, 06/15/48 (a) 250,000 303,225
4.45%, 12/15/48 (a) 425,000 531,547
3.70%, 08/15/49 (a) 300,000 337,674
2.90%, 05/15/50 (a) 250,000 246,758
3.88%, 08/15/59 (a) 250,000 286,177
3.13%, 05/15/60 (a) 150,000 149,514
Unum Group
4.50%, 03/15/25 (a) 175,000 196,590
4.00%, 06/15/29 (a) 150,000 166,208
5.75%, 08/15/42 100,000 120,497
4.50%, 12/15/49 (a) 100,000 102,922
Voya Financial, Inc.
3.65%, 06/15/26 150,000 168,891
5.70%, 07/15/43 150,000 199,623
4.70%, 01/23/48 (a)(b) 100,000 103,312
5.65%, 05/15/53 (a)(b) 100,000 106,840
Willis North America, Inc.
3.60%, 05/15/24 (a) 200,000 217,392
4.50%, 09/15/28 (a) 250,000 291,170
2.95%, 09/15/29 (a) 200,000 212,782
3.88%, 09/15/49 (a) 150,000 168,939
WR Berkley Corp.
4.00%, 05/12/50 (a) 150,000 170,525
XLIT Ltd.
4.45%, 03/31/25 150,000 169,602
5.25%, 12/15/43 130,000 177,043
    61,619,237
REITs 0.7%
Agree LP
2.90%, 10/01/30 (a) 150,000 155,688
Alexandria Real Estate Equities, Inc.
3.45%, 04/30/25 (a) 150,000 163,986
4.50%, 07/30/29 (a) 150,000 177,310
2.75%, 12/15/29 (a) 150,000 157,518
4.70%, 07/01/30 (a) 200,000 240,438
3.38%, 08/15/31 (a) 250,000 275,587
2.00%, 05/18/32 (a) 200,000 194,888
1.88%, 02/01/33 (a) 250,000 236,355
4.85%, 04/15/49 (a) 100,000 127,635
4.00%, 02/01/50 (a) 100,000 112,949
3.00%, 05/18/51 (a) 200,000 191,728
American Campus Communities Operating Partnership LP
4.13%, 07/01/24 (a) 150,000 164,688
3.30%, 07/15/26 (a) 100,000 109,332
2.85%, 02/01/30 (a) 100,000 103,435
3.88%, 01/30/31 (a) 125,000 139,093
American Homes 4 Rent LP
4.25%, 02/15/28 (a) 100,000 112,229
4.90%, 02/15/29 (a) 100,000 117,281
AvalonBay Communities, Inc.
3.50%, 11/15/24 (a) 250,000 274,582
2.95%, 05/11/26 (a) 100,000 108,781
2.90%, 10/15/26 (a) 250,000 271,997
3.30%, 06/01/29 (a) 200,000 219,766
2.30%, 03/01/30 (a) 100,000 102,457
2.45%, 01/15/31 (a) 150,000 154,950
3.90%, 10/15/46 (a) 150,000 171,494
 
27
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Boston Properties LP
3.85%, 02/01/23 (a) 500,000 528,250
3.13%, 09/01/23 (a) 250,000 264,465
3.80%, 02/01/24 (a) 195,000 211,142
3.65%, 02/01/26 (a) 150,000 166,868
2.75%, 10/01/26 (a) 100,000 107,144
4.50%, 12/01/28 (a) 150,000 175,027
2.90%, 03/15/30 (a) 200,000 208,488
3.25%, 01/30/31 (a) 200,000 212,228
Brandywine Operating Partnership LP
4.10%, 10/01/24 (a) 150,000 161,624
4.55%, 10/01/29 (a) 100,000 108,828
Brixmor Operating Partnership LP
3.85%, 02/01/25 (a) 150,000 163,515
4.13%, 06/15/26 (a) 150,000 168,597
4.13%, 05/15/29 (a) 150,000 167,633
4.05%, 07/01/30 (a) 450,000 498,582
Camden Property Trust
4.10%, 10/15/28 (a) 200,000 229,916
3.15%, 07/01/29 (a) 150,000 162,473
3.35%, 11/01/49 (a) 50,000 53,351
Columbia Property Trust Operating Partnership LP
4.15%, 04/01/25 (a) 100,000 106,461
Corporate Office Properties LP
2.25%, 03/15/26 (a) 250,000 256,710
CubeSmart LP
3.13%, 09/01/26 (a) 150,000 162,036
4.38%, 02/15/29 (a) 100,000 115,208
2.00%, 02/15/31 (a) 250,000 241,482
CyrusOne LP/CyrusOne Finance Corp.
2.90%, 11/15/24 (a) 100,000 106,690
3.45%, 11/15/29 (a) 100,000 105,423
2.15%, 11/01/30 (a) 150,000 141,926
Digital Realty Trust LP
4.75%, 10/01/25 (a) 200,000 230,172
3.70%, 08/15/27 (a) 150,000 168,858
4.45%, 07/15/28 (a) 150,000 174,812
3.60%, 07/01/29 (a) 150,000 166,461
Duke Realty LP
3.75%, 12/01/24 (a) 150,000 165,191
3.25%, 06/30/26 (a) 230,000 252,919
2.88%, 11/15/29 (a) 50,000 53,341
1.75%, 07/01/30 (a) 150,000 145,979
3.05%, 03/01/50 (a) 50,000 49,146
ERP Operating LP
3.38%, 06/01/25 (a) 100,000 108,753
2.85%, 11/01/26 (a) 150,000 161,835
3.00%, 07/01/29 (a) 100,000 107,546
2.50%, 02/15/30 (a) 200,000 207,452
4.50%, 07/01/44 (a) 150,000 186,574
4.50%, 06/01/45 (a) 100,000 122,584
4.00%, 08/01/47 (a) 100,000 115,031
Essex Portfolio LP
3.50%, 04/01/25 (a) 330,000 359,766
4.00%, 03/01/29 (a) 150,000 169,790
3.00%, 01/15/30 (a) 200,000 212,854
1.65%, 01/15/31 (a) 150,000 141,873
2.65%, 03/15/32 (a) 150,000 153,309
2.65%, 09/01/50 (a) 250,000 218,677
Federal Realty Investment Trust
3.95%, 01/15/24 (a) 175,000 190,066
1.25%, 02/15/26 (a) 150,000 150,287
3.25%, 07/15/27 (a) 100,000 107,904
3.50%, 06/01/30 (a) 100,000 108,967
4.50%, 12/01/44 (a) 100,000 115,946
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Healthcare Realty Trust, Inc.
2.05%, 03/15/31 (a) 250,000 242,335
Healthcare Trust of America Holdings LP
3.50%, 08/01/26 (a) 200,000 221,434
3.10%, 02/15/30 (a) 200,000 211,728
2.00%, 03/15/31 (a) 250,000 240,820
Healthpeak Properties, Inc.
3.40%, 02/01/25 (a) 200,000 217,200
3.25%, 07/15/26 (a) 250,000 275,485
3.50%, 07/15/29 (a) 150,000 165,513
3.00%, 01/15/30 (a) 100,000 106,485
2.88%, 01/15/31 (a) 250,000 262,470
Highwoods Realty LP
4.20%, 04/15/29 (a) 100,000 111,308
3.05%, 02/15/30 (a) 150,000 154,212
2.60%, 02/01/31 (a) 150,000 148,964
Host Hotels & Resorts LP
3.88%, 04/01/24 (a) 100,000 106,161
4.00%, 06/15/25 (a) 180,000 193,183
3.38%, 12/15/29 (a) 150,000 151,146
3.50%, 09/15/30 (a) 225,000 228,980
Hudson Pacific Properties LP
4.65%, 04/01/29 (a) 100,000 113,943
3.25%, 01/15/30 (a) 250,000 258,255
Kilroy Realty LP
4.75%, 12/15/28 (a) 100,000 115,664
4.25%, 08/15/29 (a) 195,000 220,126
3.05%, 02/15/30 (a) 150,000 155,805
2.50%, 11/15/32 (a) 150,000 145,773
Kimco Realty Corp.
3.40%, 11/01/22 (a) 245,000 255,785
3.30%, 02/01/25 (a) 250,000 270,587
1.90%, 03/01/28 (a) 200,000 200,250
2.70%, 10/01/30 (a) 200,000 206,152
4.25%, 04/01/45 (a) 250,000 282,025
4.13%, 12/01/46 (a) 100,000 110,174
Lexington Realty Trust
2.70%, 09/15/30 (a) 200,000 201,440
Life Storage LP
3.88%, 12/15/27 (a) 150,000 169,799
4.00%, 06/15/29 (a) 100,000 112,789
2.20%, 10/15/30 (a) 150,000 147,797
Mid-America Apartments LP
4.00%, 11/15/25 (a) 100,000 111,983
3.60%, 06/01/27 (a) 150,000 166,947
4.20%, 06/15/28 (a) 150,000 172,404
3.95%, 03/15/29 (a) 50,000 56,866
2.75%, 03/15/30 (a) 100,000 104,882
1.70%, 02/15/31 (a) 150,000 144,141
National Retail Properties, Inc.
4.30%, 10/15/28 (a) 250,000 285,755
2.50%, 04/15/30 (a) 100,000 101,524
4.80%, 10/15/48 (a) 100,000 122,538
Office Properties Income Trust
4.00%, 07/15/22 (a) 150,000 153,738
4.25%, 05/15/24 (a) 150,000 158,718
4.50%, 02/01/25 (a) 225,000 239,998
Omega Healthcare Investors, Inc.
4.95%, 04/01/24 (a) 496,000 544,940
4.75%, 01/15/28 (a) 100,000 111,813
3.63%, 10/01/29 (a) 150,000 157,209
3.38%, 02/01/31 (a) 250,000 256,277
Physicians Realty LP
4.30%, 03/15/27 (a) 100,000 112,447
 
28
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Piedmont Operating Partnership LP
3.40%, 06/01/23 (a) 100,000 104,863
3.15%, 08/15/30 (a) 200,000 199,806
Prologis LP
2.13%, 04/15/27 (a) 150,000 156,251
4.38%, 02/01/29 (a) 150,000 178,084
2.25%, 04/15/30 (a) 250,000 256,147
1.25%, 10/15/30 (a) 250,000 235,867
1.63%, 03/15/31 (a) 100,000 96,738
3.00%, 04/15/50 (a) 150,000 150,723
2.13%, 10/15/50 (a) 200,000 169,404
Public Storage
0.88%, 02/15/26 (a) 125,000 123,661
3.09%, 09/15/27 (a) 150,000 166,212
3.39%, 05/01/29 (a) 150,000 167,711
Realty Income Corp.
4.65%, 08/01/23 (a) 300,000 326,988
3.88%, 04/15/25 (a) 150,000 166,740
0.75%, 03/15/26 (a) 250,000 244,992
4.13%, 10/15/26 (a) 100,000 115,089
3.00%, 01/15/27 (a) 330,000 358,363
3.25%, 01/15/31 (a) 200,000 218,056
4.65%, 03/15/47 (a) 150,000 192,804
Regency Centers LP
4.13%, 03/15/28 (a) 150,000 168,062
3.70%, 06/15/30 (a) 100,000 110,324
4.40%, 02/01/47 (a) 100,000 111,509
4.65%, 03/15/49 (a) 200,000 232,460
Retail Properties of America, Inc.
4.75%, 09/15/30 (a) 200,000 217,064
Sabra Health Care LP/Sabra Capital Corp.
3.90%, 10/15/29 (a) 150,000 155,835
Simon Property Group LP
2.35%, 01/30/22 (a) 250,000 253,320
2.75%, 02/01/23 (a) 200,000 207,958
2.00%, 09/13/24 (a) 250,000 260,327
3.38%, 10/01/24 (a) 400,000 433,880
3.50%, 09/01/25 (a) 250,000 272,782
3.30%, 01/15/26 (a) 250,000 271,717
3.25%, 11/30/26 (a) 250,000 273,705
3.38%, 12/01/27 (a) 100,000 110,135
2.45%, 09/13/29 (a) 250,000 254,562
2.65%, 07/15/30 (a) 250,000 254,755
6.75%, 02/01/40 (a) 250,000 363,227
4.25%, 11/30/46 (a) 150,000 168,366
3.25%, 09/13/49 (a) 150,000 143,885
3.80%, 07/15/50 (a) 250,000 261,750
SITE Centers Corp.
3.63%, 02/01/25 (a) 150,000 156,654
4.70%, 06/01/27 (a) 100,000 110,987
SL Green Operating Partnership LP
3.25%, 10/15/22 (a) 100,000 103,765
Spirit Realty LP
4.45%, 09/15/26 (a) 100,000 112,570
3.40%, 01/15/30 (a) 150,000 159,294
3.20%, 02/15/31 (a) 150,000 155,799
STORE Capital Corp.
4.50%, 03/15/28 (a) 100,000 112,762
Tanger Properties LP
3.88%, 07/15/27 (a) 100,000 106,188
UDR, Inc.
2.95%, 09/01/26 (a) 150,000 162,063
3.50%, 01/15/28 (a) 250,000 274,777
3.20%, 01/15/30 (a) 150,000 161,472
2.10%, 08/01/32 (a) 150,000 145,571
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Ventas Realty LP
3.50%, 04/15/24 (a) 100,000 108,385
2.65%, 01/15/25 (a) 300,000 317,574
3.50%, 02/01/25 (a) 150,000 163,407
3.25%, 10/15/26 (a) 100,000 108,764
3.85%, 04/01/27 (a) 250,000 278,805
4.40%, 01/15/29 (a) 250,000 286,035
4.75%, 11/15/30 (a) 100,000 118,508
5.70%, 09/30/43 (a) 100,000 126,324
4.38%, 02/01/45 (a) 200,000 215,440
VEREIT Operating Partnership LP
4.60%, 02/06/24 (a) 200,000 220,286
3.95%, 08/15/27 (a) 150,000 168,407
3.40%, 01/15/28 (a) 200,000 216,330
2.20%, 06/15/28 (a) 200,000 200,312
3.10%, 12/15/29 (a) 100,000 104,662
Vornado Realty LP
3.50%, 01/15/25 (a) 150,000 159,629
Welltower, Inc.
3.75%, 03/15/23 (a) 150,000 158,841
4.50%, 01/15/24 (a) 200,000 220,130
3.63%, 03/15/24 (a) 300,000 324,972
4.00%, 06/01/25 (a) 300,000 333,111
4.25%, 04/01/26 (a) 350,000 399,483
4.13%, 03/15/29 (a) 150,000 170,076
2.75%, 01/15/31 (a) 250,000 257,497
4.95%, 09/01/48 (a) 100,000 123,679
WP Carey, Inc.
4.00%, 02/01/25 (a) 100,000 109,905
4.25%, 10/01/26 (a) 150,000 170,784
2.40%, 02/01/31 (a) 200,000 201,024
2.25%, 04/01/33 (a) 100,000 97,372
    37,536,061
    418,266,535
 
Industrial 16.5%
Basic Industry 0.8%
Air Products & Chemicals, Inc.
1.50%, 10/15/25 (a) 250,000 255,950
2.05%, 05/15/30 (a) 200,000 203,448
2.70%, 05/15/40 (a) 200,000 200,940
2.80%, 05/15/50 (a) 200,000 196,096
Albemarle Corp.
5.45%, 12/01/44 (a) 50,000 58,761
Barrick Gold Corp.
5.25%, 04/01/42 300,000 390,555
Barrick North America Finance LLC
5.70%, 05/30/41 100,000 136,676
5.75%, 05/01/43 150,000 209,859
Barrick PD Australia Finance Pty Ltd.
5.95%, 10/15/39 250,000 342,785
BHP Billiton Finance (USA) Ltd.
2.88%, 02/24/22 150,000 153,950
3.85%, 09/30/23 200,000 217,864
6.42%, 03/01/26 150,000 187,947
4.13%, 02/24/42 95,000 114,521
5.00%, 09/30/43 600,000 816,660
Cabot Corp.
4.00%, 07/01/29 (a) 150,000 161,130
Celanese US Holdings LLC
4.63%, 11/15/22 100,000 106,739
3.50%, 05/08/24 (a) 100,000 107,666
 
29
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Celulosa Arauco y Constitucion S.A.
4.50%, 08/01/24 (a) 200,000 218,442
3.88%, 11/02/27 (a) 200,000 217,434
Domtar Corp.
4.40%, 04/01/22 (a) 150,000 154,602
DuPont de Nemours, Inc.
2.17%, 05/01/23 500,000 502,715
4.21%, 11/15/23 (a) 400,000 438,492
4.49%, 11/15/25 (a) 400,000 458,460
4.73%, 11/15/28 (a) 400,000 476,120
5.32%, 11/15/38 (a) 350,000 454,209
5.42%, 11/15/48 (a) 400,000 534,272
Eastman Chemical Co.
3.60%, 08/15/22 (a) 200,000 207,692
3.80%, 03/15/25 (a) 150,000 164,531
4.50%, 12/01/28 (a) 250,000 295,202
4.80%, 09/01/42 (a) 250,000 308,245
Ecolab, Inc.
2.38%, 08/10/22 (a) 150,000 154,193
2.70%, 11/01/26 (a) 150,000 162,312
3.25%, 12/01/27 (a) 150,000 166,692
4.80%, 03/24/30 (a) 200,000 245,146
1.30%, 01/30/31 (a) 200,000 188,744
5.50%, 12/08/41 150,000 204,123
2.13%, 08/15/50 (a) 250,000 213,355
EI du Pont de Nemours & Co.
1.70%, 07/15/25 (a) 200,000 205,222
Fibria Overseas Finance Ltd.
5.25%, 05/12/24 100,000 111,138
5.50%, 01/17/27 100,000 115,845
FMC Corp.
3.20%, 10/01/26 (a) 100,000 109,453
3.45%, 10/01/29 (a) 100,000 109,374
4.50%, 10/01/49 (a) 100,000 119,176
Georgia-Pacific LLC
7.75%, 11/15/29 150,000 215,928
8.88%, 05/15/31 100,000 158,915
Huntsman International LLC
5.13%, 11/15/22 (a) 150,000 158,975
4.50%, 05/01/29 (a) 100,000 112,836
International Flavors & Fragrances, Inc.
4.45%, 09/26/28 (a) 100,000 115,833
4.38%, 06/01/47 (a) 200,000 232,256
5.00%, 09/26/48 (a) 150,000 191,629
International Paper Co.
3.80%, 01/15/26 (a) 150,000 167,828
5.00%, 09/15/35 (a) 250,000 316,167
7.30%, 11/15/39 100,000 156,120
6.00%, 11/15/41 (a) 200,000 281,962
4.80%, 06/15/44 (a) 100,000 124,621
4.40%, 08/15/47 (a) 400,000 483,040
4.35%, 08/15/48 (a) 100,000 121,645
Kinross Gold Corp.
5.13%, 09/01/21 (a) 150,000 151,719
4.50%, 07/15/27 (a) 100,000 114,554
Linde, Inc.
3.20%, 01/30/26 (a) 150,000 165,198
1.10%, 08/10/30 (a) 200,000 187,202
2.00%, 08/10/50 (a) 250,000 207,672
LYB International Finance BV
4.00%, 07/15/23 150,000 162,293
5.25%, 07/15/43 150,000 188,722
4.88%, 03/15/44 (a) 150,000 180,170
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
LYB International Finance II BV
3.50%, 03/02/27 (a) 250,000 275,657
LYB International Finance III LLC
2.88%, 05/01/25 (a) 100,000 106,667
1.25%, 10/01/25 (a) 200,000 200,242
3.38%, 05/01/30 (a) 300,000 325,272
2.25%, 10/01/30 (a) 250,000 248,517
3.38%, 10/01/40 (a) 250,000 255,310
4.20%, 10/15/49 (a) 100,000 110,319
4.20%, 05/01/50 (a) 250,000 276,417
3.63%, 04/01/51 (a) 250,000 253,927
3.80%, 10/01/60 (a) 250,000 253,810
LyondellBasell Industries N.V.
4.63%, 02/26/55 (a) 100,000 116,783
Newmont Corp.
3.50%, 03/15/22 (a) 200,000 204,462
3.70%, 03/15/23 (a) 27,000 28,472
2.80%, 10/01/29 (a) 100,000 104,950
2.25%, 10/01/30 (a) 100,000 99,820
5.88%, 04/01/35 100,000 137,080
4.88%, 03/15/42 (a) 330,000 422,278
5.45%, 06/09/44 (a) 100,000 134,743
Nucor Corp.
2.00%, 06/01/25 (a) 250,000 259,625
3.95%, 05/01/28 (a) 250,000 286,342
2.70%, 06/01/30 (a) 250,000 263,032
2.98%, 12/15/55 (a)(c) 300,000 289,953
Nutrien Ltd.
3.15%, 10/01/22 (a) 195,000 201,971
1.90%, 05/13/23 200,000 206,322
3.63%, 03/15/24 (a) 200,000 216,560
3.38%, 03/15/25 (a) 180,000 195,196
4.20%, 04/01/29 (a) 100,000 116,092
5.88%, 12/01/36 200,000 271,178
6.13%, 01/15/41 (a) 145,000 203,750
4.90%, 06/01/43 (a) 250,000 311,815
5.25%, 01/15/45 (a) 150,000 196,467
5.00%, 04/01/49 (a) 100,000 130,630
3.95%, 05/13/50 (a) 200,000 227,168
Packaging Corp. of America
4.50%, 11/01/23 (a) 300,000 328,926
3.40%, 12/15/27 (a) 100,000 111,458
3.00%, 12/15/29 (a) 150,000 161,225
4.05%, 12/15/49 (a) 100,000 116,784
PPG Industries, Inc.
3.20%, 03/15/23 (a) 100,000 105,264
2.40%, 08/15/24 (a) 100,000 105,449
2.80%, 08/15/29 (a) 100,000 106,848
2.55%, 06/15/30 (a) 200,000 208,536
Praxair, Inc.
2.45%, 02/15/22 (a) 150,000 152,348
2.65%, 02/05/25 (a) 250,000 265,907
Reliance Steel & Aluminum Co.
2.15%, 08/15/30 (a) 200,000 197,214
Rio Tinto Alcan, Inc.
7.25%, 03/15/31 100,000 143,506
Rio Tinto Finance (USA) Ltd.
3.75%, 06/15/25 (a) 150,000 166,542
7.13%, 07/15/28 100,000 137,878
5.20%, 11/02/40 250,000 338,782
Rio Tinto Finance (USA) PLC
4.75%, 03/22/42 (a) 200,000 260,138
4.13%, 08/21/42 (a) 200,000 242,456
Rohm & Haas Co.
7.85%, 07/15/29 250,000 344,410
 
30
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
RPM International, Inc.
4.55%, 03/01/29 (a) 100,000 114,898
4.25%, 01/15/48 (a) 100,000 107,320
Southern Copper Corp.
3.88%, 04/23/25 250,000 276,487
7.50%, 07/27/35 300,000 438,450
6.75%, 04/16/40 100,000 141,345
5.25%, 11/08/42 250,000 314,480
5.88%, 04/23/45 250,000 340,355
Steel Dynamics, Inc.
2.80%, 12/15/24 (a) 100,000 107,139
2.40%, 06/15/25 (a) 150,000 157,670
5.00%, 12/15/26 (a) 200,000 211,354
1.65%, 10/15/27 (a) 250,000 251,970
3.45%, 04/15/30 (a) 100,000 109,181
3.25%, 10/15/50 (a) 250,000 243,362
Suzano Austria GmbH
6.00%, 01/15/29 (a) 400,000 479,428
5.00%, 01/15/30 (a) 200,000 226,394
3.75%, 01/15/31 (a) 250,000 265,967
Teck Resources Ltd.
3.90%, 07/15/30 (a) 200,000 217,636
6.13%, 10/01/35 75,000 95,486
6.00%, 08/15/40 (a) 100,000 126,973
6.25%, 07/15/41 (a) 100,000 130,199
5.20%, 03/01/42 (a) 150,000 173,549
5.40%, 02/01/43 (a) 100,000 117,716
The Dow Chemical Co.
3.50%, 10/01/24 (a) 150,000 163,061
3.63%, 05/15/26 (a) 150,000 166,881
7.38%, 11/01/29 174,000 242,967
2.10%, 11/15/30 (a) 250,000 247,010
4.25%, 10/01/34 (a) 150,000 173,559
9.40%, 05/15/39 100,000 173,920
5.25%, 11/15/41 (a) 100,000 125,966
4.38%, 11/15/42 (a) 250,000 294,380
4.63%, 10/01/44 (a) 100,000 120,186
5.55%, 11/30/48 (a) 150,000 205,309
4.80%, 05/15/49 (a) 300,000 376,638
3.60%, 11/15/50 (a) 250,000 258,957
The Mosaic Co.
3.25%, 11/15/22 (a) 300,000 312,948
4.05%, 11/15/27 (a) 250,000 282,707
4.88%, 11/15/41 (a) 100,000 113,770
5.63%, 11/15/43 (a) 100,000 129,912
The Sherwin-Williams Co.
3.13%, 06/01/24 (a) 100,000 107,548
3.45%, 08/01/25 (a) 200,000 218,324
3.45%, 06/01/27 (a) 250,000 275,505
2.95%, 08/15/29 (a) 200,000 212,984
2.30%, 05/15/30 (a) 100,000 101,242
4.00%, 12/15/42 (a) 100,000 112,472
4.50%, 06/01/47 (a) 350,000 425,411
3.80%, 08/15/49 (a) 100,000 110,806
3.30%, 05/15/50 (a) 100,000 102,381
Vale Overseas Ltd.
6.25%, 08/10/26 450,000 547,074
3.75%, 07/08/30 (a) 400,000 428,192
8.25%, 01/17/34 100,000 146,058
6.88%, 11/21/36 350,000 481,558
6.88%, 11/10/39 200,000 276,710
Vale S.A.
5.63%, 09/11/42 100,000 126,071
Westlake Chemical Corp.
3.60%, 08/15/26 (a) 100,000 109,903
3.38%, 06/15/30 (a) 250,000 268,215
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
5.00%, 08/15/46 (a) 100,000 119,888
4.38%, 11/15/47 (a) 100,000 112,970
WestRock MWV LLC
7.95%, 02/15/31 150,000 211,141
WestRock RKT LLC
4.90%, 03/01/22 100,000 104,584
Weyerhaeuser Co.
4.00%, 11/15/29 (a) 150,000 171,125
4.00%, 04/15/30 (a) 150,000 170,967
7.38%, 03/15/32 250,000 362,830
WRKCo, Inc.
3.75%, 03/15/25 (a) 300,000 330,546
4.65%, 03/15/26 (a) 150,000 172,806
4.00%, 03/15/28 (a) 150,000 169,781
3.90%, 06/01/28 (a) 100,000 112,914
4.90%, 03/15/29 (a) 100,000 120,285
3.00%, 06/15/33 (a) 250,000 264,720
    39,527,060
Capital Goods 1.6%
3M Co.
2.00%, 06/26/22 263,000 269,259
2.25%, 03/15/23 (a) 250,000 259,950
3.25%, 02/14/24 (a) 250,000 270,145
2.00%, 02/14/25 (a) 150,000 156,995
2.65%, 04/15/25 (a) 150,000 160,584
3.00%, 08/07/25 100,000 109,126
2.88%, 10/15/27 (a) 250,000 274,267
3.63%, 09/14/28 (a) 150,000 170,607
3.38%, 03/01/29 (a) 350,000 391,104
3.05%, 04/15/30 (a) 200,000 218,924
3.88%, 06/15/44 100,000 116,155
3.13%, 09/19/46 (a) 100,000 104,019
4.00%, 09/14/48 (a) 250,000 298,605
3.25%, 08/26/49 (a) 200,000 213,048
3.70%, 04/15/50 (a) 100,000 114,172
ABB Finance USA, Inc.
2.88%, 05/08/22 250,000 257,500
Acuity Brands Lighting, Inc.
2.15%, 12/15/30 (a) 100,000 98,215
Allegion PLC
3.50%, 10/01/29 (a) 100,000 108,006
Allegion US Holding Co., Inc.
3.20%, 10/01/24 (a) 250,000 266,805
Amcor Finance USA, Inc.
4.50%, 05/15/28 (a) 100,000 116,685
Amphenol Corp.
3.20%, 04/01/24 (a) 100,000 107,026
2.05%, 03/01/25 (a) 100,000 104,027
2.80%, 02/15/30 (a) 150,000 158,063
Avery Dennison Corp.
2.65%, 04/30/30 (a) 100,000 103,908
Bemis Co., Inc.
2.63%, 06/19/30 (a) 250,000 258,955
Berry Global, Inc.
1.57%, 01/15/26 (a)(c)(d) 350,000 349,107
Carlisle Cos., Inc.
3.75%, 12/01/27 (a) 150,000 169,232
2.75%, 03/01/30 (a) 150,000 155,276
Carrier Global Corp.
2.24%, 02/15/25 (a) 425,000 443,793
2.49%, 02/15/27 (a) 350,000 368,371
2.72%, 02/15/30 (a) 400,000 413,712
2.70%, 02/15/31 (a)(c) 250,000 257,932
 
31
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.38%, 04/05/40 (a) 450,000 468,724
3.58%, 04/05/50 (a)(c) 325,000 335,195
Caterpillar Financial Services Corp.
2.95%, 02/26/22 150,000 154,046
0.95%, 05/13/22 200,000 201,650
1.90%, 09/06/22 150,000 153,707
1.95%, 11/18/22 150,000 154,275
2.63%, 03/01/23 100,000 104,653
0.65%, 07/07/23 400,000 403,168
0.45%, 09/14/23 250,000 250,477
2.85%, 05/17/24 100,000 107,392
3.30%, 06/09/24 200,000 217,622
2.15%, 11/08/24 150,000 158,444
3.25%, 12/01/24 100,000 109,768
1.45%, 05/15/25 300,000 306,144
0.80%, 11/13/25 200,000 198,560
2.40%, 08/09/26 362,000 385,056
1.10%, 09/14/27 250,000 246,295
Caterpillar, Inc.
2.60%, 06/26/22 (a) 200,000 204,830
3.40%, 05/15/24 (a) 135,000 146,435
2.60%, 09/19/29 (a) 100,000 106,227
2.60%, 04/09/30 (a) 200,000 211,852
5.20%, 05/27/41 150,000 203,448
3.80%, 08/15/42 350,000 410,081
4.30%, 05/15/44 (a) 100,000 124,617
3.25%, 09/19/49 (a) 100,000 107,207
3.25%, 04/09/50 (a) 400,000 428,136
4.75%, 05/15/64 (a) 100,000 136,929
CNH Industrial Capital LLC
1.95%, 07/02/23 250,000 257,930
4.20%, 01/15/24 200,000 219,364
1.88%, 01/15/26 (a) 250,000 257,517
CNH Industrial N.V.
4.50%, 08/15/23 100,000 109,290
3.85%, 11/15/27 (a) 100,000 113,158
Crane Co.
4.45%, 12/15/23 (a) 100,000 109,376
Deere & Co.
2.75%, 04/15/25 (a) 150,000 161,349
5.38%, 10/16/29 362,000 463,860
3.10%, 04/15/30 (a) 150,000 165,000
3.90%, 06/09/42 (a) 100,000 119,045
2.88%, 09/07/49 (a) 100,000 101,751
3.75%, 04/15/50 (a) 300,000 354,465
Dover Corp.
3.15%, 11/15/25 (a) 150,000 163,094
5.38%, 03/01/41 (a) 100,000 126,614
Eaton Corp.
2.75%, 11/02/22 350,000 364,140
3.10%, 09/15/27 (a) 150,000 166,053
4.00%, 11/02/32 196,000 230,333
4.15%, 11/02/42 150,000 178,251
3.92%, 09/15/47 (a) 100,000 114,592
Emerson Electric Co.
0.88%, 10/15/26 (a) 250,000 246,582
1.80%, 10/15/27 (a) 150,000 154,104
5.25%, 11/15/39 100,000 135,348
2.75%, 10/15/50 (a) 200,000 194,636
Flowserve Corp.
3.50%, 10/01/30 (a) 250,000 264,850
Fortive Corp.
4.30%, 06/15/46 (a) 180,000 212,258
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Fortune Brands Home & Security, Inc.
4.00%, 09/21/23 (a) 150,000 162,848
3.25%, 09/15/29 (a) 200,000 214,856
General Dynamics Corp.
2.25%, 11/15/22 (a) 300,000 308,634
3.38%, 05/15/23 (a) 100,000 106,577
1.88%, 08/15/23 (a) 250,000 259,112
2.38%, 11/15/24 (a) 250,000 265,525
3.25%, 04/01/25 (a) 100,000 108,902
3.50%, 04/01/27 (a) 100,000 112,301
3.75%, 05/15/28 (a) 400,000 455,588
3.63%, 04/01/30 (a) 150,000 171,111
4.25%, 04/01/40 (a) 200,000 245,254
4.25%, 04/01/50 (a) 200,000 249,810
General Electric Co.
2.70%, 10/09/22 200,000 207,498
3.10%, 01/09/23 350,000 367,878
3.38%, 03/11/24 200,000 216,352
3.45%, 05/15/24 (a) 74,000 79,894
5.55%, 01/05/26 100,000 119,206
3.45%, 05/01/27 (a) 350,000 384,566
3.63%, 05/01/30 (a) 200,000 218,338
6.75%, 03/15/32 650,000 879,300
6.15%, 08/07/37 200,000 267,678
5.88%, 01/14/38 670,000 880,728
6.88%, 01/10/39 350,000 499,492
4.25%, 05/01/40 (a) 450,000 502,236
4.13%, 10/09/42 134,000 148,041
4.50%, 03/11/44 225,000 258,599
4.35%, 05/01/50 (a) 650,000 724,581
Honeywell International, Inc.
1.85%, 11/01/21 (a) 330,000 333,247
0.48%, 08/19/22 (a) 350,000 350,434
2.30%, 08/15/24 (a) 200,000 212,324
1.35%, 06/01/25 (a) 300,000 306,447
2.50%, 11/01/26 (a) 300,000 323,937
2.70%, 08/15/29 (a) 150,000 161,160
1.95%, 06/01/30 (a) 200,000 202,238
5.70%, 03/15/37 100,000 136,928
3.81%, 11/21/47 (a) 350,000 410,105
2.80%, 06/01/50 (a) 150,000 150,045
Hubbell, Inc.
3.50%, 02/15/28 (a) 100,000 108,344
Huntington Ingalls Industries, Inc.
3.48%, 12/01/27 (a) 100,000 110,536
4.20%, 05/01/30 (a) 100,000 115,027
IDEX Corp.
3.00%, 05/01/30 (a) 200,000 212,486
Illinois Tool Works, Inc.
3.50%, 03/01/24 (a) 150,000 162,858
2.65%, 11/15/26 (a) 200,000 216,514
3.90%, 09/01/42 (a) 300,000 362,307
John Deere Capital Corp.
2.75%, 03/15/22 250,000 256,545
2.95%, 04/01/22 100,000 102,965
0.55%, 07/05/22 250,000 251,020
2.15%, 09/08/22 500,000 514,405
2.80%, 03/06/23 200,000 210,192
0.40%, 10/10/23 500,000 501,930
3.45%, 01/10/24 150,000 163,175
2.60%, 03/07/24 150,000 159,897
3.35%, 06/12/24 100,000 109,097
2.05%, 01/09/25 100,000 104,751
0.70%, 01/15/26 100,000 98,587
2.65%, 06/10/26 200,000 216,032
1.75%, 03/09/27 200,000 205,096
 
32
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.05%, 01/06/28 250,000 273,647
3.45%, 03/07/29 100,000 113,000
2.80%, 07/18/29 150,000 161,910
2.45%, 01/09/30 100,000 105,898
1.45%, 01/15/31 200,000 192,316
Johnson Controls International PLC
3.63%, 07/02/24 (a) 195,000 211,649
6.00%, 01/15/36 200,000 274,318
4.63%, 07/02/44 (a) 195,000 241,082
5.13%, 09/14/45 (a) 169,000 222,353
4.95%, 07/02/64 (a) 100,000 127,670
Johnson Controls International plc / Tyco Fire & Security Finance SCA
1.75%, 09/15/30 (a) 150,000 146,544
Kennametal, Inc.
4.63%, 06/15/28 (a) 100,000 113,923
L3Harris Technologies, Inc.
3.85%, 06/15/23 (a) 100,000 107,483
3.83%, 04/27/25 (a) 150,000 166,247
4.40%, 06/15/28 (a) 450,000 524,646
2.90%, 12/15/29 (a) 150,000 160,392
1.80%, 01/15/31 (a) 200,000 194,710
6.15%, 12/15/40 95,000 136,901
5.05%, 04/27/45 (a) 100,000 130,579
Leggett & Platt, Inc.
3.80%, 11/15/24 (a) 100,000 108,410
3.50%, 11/15/27 (a) 100,000 108,209
4.40%, 03/15/29 (a) 100,000 113,936
Lennox International, Inc.
1.35%, 08/01/25 (a) 200,000 201,102
1.70%, 08/01/27 (a) 150,000 151,055
Lockheed Martin Corp.
3.35%, 09/15/21 83,000 84,361
3.10%, 01/15/23 (a) 250,000 261,725
2.90%, 03/01/25 (a) 150,000 161,123
3.55%, 01/15/26 (a) 450,000 501,592
3.60%, 03/01/35 (a) 100,000 114,970
4.50%, 05/15/36 (a) 150,000 187,481
4.07%, 12/15/42 200,000 239,174
3.80%, 03/01/45 (a) 150,000 171,825
4.70%, 05/15/46 (a) 250,000 321,375
2.80%, 06/15/50 (a) 250,000 242,872
4.09%, 09/15/52 (a) 538,000 647,515
Martin Marietta Materials, Inc.
4.25%, 07/02/24 (a) 100,000 110,521
3.45%, 06/01/27 (a) 50,000 55,431
2.50%, 03/15/30 (a) 100,000 103,587
4.25%, 12/15/47 (a) 100,000 116,631
Masco Corp.
5.95%, 03/15/22 100,000 105,225
4.45%, 04/01/25 (a) 200,000 225,880
2.00%, 10/01/30 (a) 250,000 245,752
4.50%, 05/15/47 (a) 300,000 360,633
Mohawk Industries, Inc.
3.85%, 02/01/23 (a) 100,000 105,495
3.63%, 05/15/30 (a) 160,000 176,456
Northrop Grumman Corp.
2.55%, 10/15/22 (a) 400,000 413,568
2.93%, 01/15/25 (a) 250,000 267,497
3.20%, 02/01/27 (a) 100,000 109,909
3.25%, 01/15/28 (a) 500,000 544,910
4.40%, 05/01/30 (a) 150,000 177,555
5.15%, 05/01/40 (a) 100,000 130,557
5.05%, 11/15/40 400,000 520,984
4.75%, 06/01/43 150,000 188,911
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.03%, 10/15/47 (a) 500,000 573,540
5.25%, 05/01/50 (a) 100,000 136,648
nVent Finance Sarl
4.55%, 04/15/28 (a) 150,000 159,762
Oshkosh Corp.
3.10%, 03/01/30 (a) 100,000 105,988
Otis Worldwide Corp.
2.06%, 04/05/25 (a) 200,000 208,596
2.29%, 04/05/27 (a) 100,000 104,605
2.57%, 02/15/30 (a) 250,000 257,895
3.11%, 02/15/40 (a) 225,000 232,360
3.36%, 02/15/50 (a) 125,000 129,736
Owens Corning
4.20%, 12/01/24 (a) 150,000 167,151
3.95%, 08/15/29 (a) 300,000 338,163
3.88%, 06/01/30 (a) 100,000 112,229
4.30%, 07/15/47 (a) 100,000 112,541
Parker-Hannifin Corp.
2.70%, 06/14/24 (a) 150,000 160,035
3.30%, 11/21/24 (a) 250,000 272,562
3.25%, 03/01/27 (a) 150,000 165,165
3.25%, 06/14/29 (a) 150,000 163,793
6.25%, 05/15/38 150,000 212,511
4.45%, 11/21/44 (a) 100,000 123,560
4.10%, 03/01/47 (a) 100,000 118,685
4.00%, 06/14/49 (a) 100,000 117,662
Pentair Finance Sarl
4.50%, 07/01/29 (a) 75,000 86,837
Precision Castparts Corp.
2.50%, 01/15/23 (a) 250,000 258,887
3.25%, 06/15/25 (a) 100,000 109,266
4.38%, 06/15/45 (a) 100,000 118,709
Raytheon Technologies Corp.
2.80%, 03/15/22 (a) 150,000 153,618
2.50%, 12/15/22 (a)(c) 150,000 154,916
3.70%, 12/15/23 (a) 100,000 108,278
3.20%, 03/15/24 (a) 200,000 214,894
3.95%, 08/16/25 (a) 350,000 392,868
2.65%, 11/01/26 (a) 150,000 162,269
3.50%, 03/15/27 (a) 350,000 390,012
3.13%, 05/04/27 (a) 200,000 219,440
4.13%, 11/16/28 (a) 450,000 519,052
7.50%, 09/15/29 100,000 140,986
2.25%, 07/01/30 (a) 250,000 253,415
6.05%, 06/01/36 500,000 700,475
6.13%, 07/15/38 450,000 634,594
4.45%, 11/16/38 (a) 200,000 240,952
4.88%, 10/15/40 (c) 150,000 191,170
4.70%, 12/15/41 100,000 124,544
4.50%, 06/01/42 650,000 798,479
4.80%, 12/15/43 (a) 100,000 124,426
4.15%, 05/15/45 (a) 100,000 116,084
3.75%, 11/01/46 (a) 150,000 164,798
4.35%, 04/15/47 (a) 150,000 179,612
4.05%, 05/04/47 (a) 100,000 114,946
4.63%, 11/16/48 (a) 450,000 558,414
3.13%, 07/01/50 (a) 200,000 200,576
Republic Services, Inc.
4.75%, 05/15/23 (a) 82,000 88,871
2.50%, 08/15/24 (a) 300,000 318,186
0.88%, 11/15/25 (a) 200,000 197,714
2.90%, 07/01/26 (a) 200,000 216,010
3.38%, 11/15/27 (a) 150,000 167,297
3.95%, 05/15/28 (a) 100,000 114,227
2.30%, 03/01/30 (a) 300,000 306,462
 
33
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.45%, 02/15/31 (a) 250,000 235,467
3.05%, 03/01/50 (a) 100,000 100,977
Rockwell Automation, Inc.
3.50%, 03/01/29 (a) 100,000 113,116
4.20%, 03/01/49 (a) 100,000 124,036
Roper Technologies, Inc.
0.45%, 08/15/22 250,000 250,645
3.13%, 11/15/22 (a) 150,000 155,963
3.65%, 09/15/23 (a) 100,000 107,893
1.00%, 09/15/25 (a) 250,000 248,682
3.85%, 12/15/25 (a) 250,000 279,827
3.80%, 12/15/26 (a) 150,000 169,911
1.40%, 09/15/27 (a) 250,000 248,360
2.95%, 09/15/29 (a) 100,000 106,791
2.00%, 06/30/30 (a) 250,000 246,415
1.75%, 02/15/31 (a) 250,000 239,695
Snap-on, Inc.
4.10%, 03/01/48 (a) 100,000 120,623
3.10%, 05/01/50 (a) 200,000 207,654
Sonoco Products Co.
3.13%, 05/01/30 (a) 400,000 425,456
5.75%, 11/01/40 (a) 150,000 193,962
Stanley Black & Decker, Inc.
4.25%, 11/15/28 (a) 250,000 293,702
2.30%, 03/15/30 (a) 200,000 206,288
5.20%, 09/01/40 100,000 131,773
4.85%, 11/15/48 (a) 150,000 198,192
4.00%, 03/15/60 (a)(b) 100,000 105,495
Textron, Inc.
4.00%, 03/15/26 (a) 100,000 111,364
3.38%, 03/01/28 (a) 200,000 214,984
3.00%, 06/01/30 (a) 100,000 104,159
2.45%, 03/15/31 (a) 250,000 247,120
The Boeing Co.
2.30%, 08/01/21 150,000 151,028
2.13%, 03/01/22 (a) 150,000 151,962
1.17%, 02/04/23 (a) 250,000 250,975
2.80%, 03/01/23 (a) 250,000 259,260
4.51%, 05/01/23 (a) 820,000 879,917
1.95%, 02/01/24 275,000 282,219
1.43%, 02/04/24 (a) 500,000 500,970
4.88%, 05/01/25 (a) 600,000 671,394
2.60%, 10/30/25 (a) 50,000 51,620
2.75%, 02/01/26 (a) 250,000 258,995
2.20%, 02/04/26 (a) 750,000 751,500
3.10%, 05/01/26 (a) 100,000 105,061
2.25%, 06/15/26 (a) 50,000 50,531
2.80%, 03/01/27 (a) 300,000 309,909
5.04%, 05/01/27 (a) 450,000 519,156
3.25%, 02/01/28 (a) 250,000 262,555
3.45%, 11/01/28 (a) 150,000 157,398
3.20%, 03/01/29 (a) 150,000 154,937
2.95%, 02/01/30 (a) 150,000 151,446
5.15%, 05/01/30 (a) 800,000 933,528
3.63%, 02/01/31 (a) 350,000 370,527
3.60%, 05/01/34 (a) 100,000 102,676
3.25%, 02/01/35 (a) 150,000 148,311
6.63%, 02/15/38 200,000 260,024
3.55%, 03/01/38 (a) 200,000 197,896
3.50%, 03/01/39 (a) 150,000 146,909
6.88%, 03/15/39 230,000 313,205
5.88%, 02/15/40 100,000 123,384
5.71%, 05/01/40 (a) 600,000 756,624
3.65%, 03/01/47 (a) 150,000 144,383
3.63%, 03/01/48 (a) 50,000 47,821
3.85%, 11/01/48 (a) 100,000 98,421
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.90%, 05/01/49 (a) 100,000 99,751
3.75%, 02/01/50 (a) 175,000 171,682
5.81%, 05/01/50 (a) 1,000,000 1,291,040
3.83%, 03/01/59 (a) 150,000 144,188
3.95%, 08/01/59 (a) 150,000 148,190
5.93%, 05/01/60 (a) 800,000 1,053,504
The Timken Co.
4.50%, 12/15/28 (a) 100,000 109,702
Trane Technologies Global Holding Co., Ltd.
4.25%, 06/15/23 150,000 162,614
3.75%, 08/21/28 (a) 100,000 112,754
5.75%, 06/15/43 100,000 141,459
4.30%, 02/21/48 (a) 150,000 179,258
Trane Technologies Luxembourg Finance S.A.
3.55%, 11/01/24 (a) 150,000 164,102
3.50%, 03/21/26 (a) 200,000 220,906
3.80%, 03/21/29 (a) 100,000 113,741
Valmont Industries, Inc.
5.00%, 10/01/44 (a) 100,000 114,214
Vulcan Materials Co.
3.90%, 04/01/27 (a) 100,000 115,302
3.50%, 06/01/30 (a) 200,000 221,690
4.50%, 06/15/47 (a) 150,000 180,387
4.70%, 03/01/48 (a) 100,000 122,370
Waste Connections, Inc.
4.25%, 12/01/28 (a) 100,000 116,316
3.50%, 05/01/29 (a) 100,000 111,570
2.60%, 02/01/30 (a) 150,000 156,635
Waste Management, Inc.
2.90%, 09/15/22 (a) 150,000 154,974
3.13%, 03/01/25 (a) 500,000 540,735
0.75%, 11/15/25 (a) 200,000 197,372
3.15%, 11/15/27 (a) 200,000 221,072
1.15%, 03/15/28 (a) 200,000 193,806
3.90%, 03/01/35 (a) 100,000 116,768
4.10%, 03/01/45 (a) 262,000 308,015
4.15%, 07/15/49 (a) 100,000 119,863
2.50%, 11/15/50 (a) 250,000 226,012
Westinghouse Air Brake Technologies Corp.
4.40%, 03/15/24 (a)(g)(h) 100,000 109,293
3.20%, 06/15/25 (a) 200,000 212,904
4.95%, 09/15/28 (a)(g)(h) 250,000 292,685
WW Grainger, Inc.
1.85%, 02/15/25 (a) 250,000 259,720
4.60%, 06/15/45 (a) 100,000 125,462
4.20%, 05/15/47 (a) 200,000 237,778
Xylem, Inc.
3.25%, 11/01/26 (a) 200,000 221,118
1.95%, 01/30/28 (a) 200,000 204,764
2.25%, 01/30/31 (a) 250,000 253,452
    81,061,231
Communications 2.5%
Activision Blizzard, Inc.
3.40%, 09/15/26 (a) 150,000 167,073
1.35%, 09/15/30 (a) 250,000 234,073
4.50%, 06/15/47 (a) 100,000 123,862
2.50%, 09/15/50 (a) 250,000 220,318
America Movil, S.A.B. de CV
3.13%, 07/16/22 400,000 414,376
3.63%, 04/22/29 (a) 200,000 220,874
2.88%, 05/07/30 (a) 200,000 210,544
6.38%, 03/01/35 200,000 287,330
6.13%, 03/30/40 430,000 601,914
 
34
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.38%, 07/16/42 200,000 234,472
4.38%, 04/22/49 (a) 200,000 238,104
American Tower Corp.
4.70%, 03/15/22 200,000 208,740
3.50%, 01/31/23 100,000 105,730
3.00%, 06/15/23 150,000 158,493
0.60%, 01/15/24 250,000 250,025
5.00%, 02/15/24 350,000 392,878
3.38%, 05/15/24 (a) 100,000 107,893
2.95%, 01/15/25 (a) 150,000 160,235
2.40%, 03/15/25 (a) 250,000 262,168
4.00%, 06/01/25 (a) 150,000 166,478
3.38%, 10/15/26 (a) 150,000 164,352
2.75%, 01/15/27 (a) 150,000 158,333
3.13%, 01/15/27 (a) 130,000 141,012
3.55%, 07/15/27 (a) 200,000 221,054
3.60%, 01/15/28 (a) 100,000 110,722
1.50%, 01/31/28 (a) 250,000 244,873
3.95%, 03/15/29 (a) 100,000 112,196
3.80%, 08/15/29 (a) 250,000 279,372
2.90%, 01/15/30 (a) 150,000 157,838
1.88%, 10/15/30 (a) 250,000 240,080
3.70%, 10/15/49 (a) 100,000 104,870
3.10%, 06/15/50 (a) 500,000 474,805
2.95%, 01/15/51 (a) 250,000 230,750
AT&T, Inc.
3.00%, 06/30/22 (a) 600,000 618,702
2.63%, 12/01/22 (a) 250,000 258,380
4.05%, 12/15/23 200,000 219,992
4.45%, 04/01/24 (a) 150,000 165,986
3.95%, 01/15/25 (a) 300,000 332,007
3.40%, 05/15/25 (a) 480,000 524,299
3.60%, 07/15/25 (a) 200,000 220,634
4.13%, 02/17/26 (a) 550,000 622,424
2.95%, 07/15/26 (a) 100,000 108,337
3.80%, 02/15/27 (a) 150,000 168,519
4.25%, 03/01/27 (a) 200,000 228,886
2.30%, 06/01/27 (a) 500,000 518,270
1.65%, 02/01/28 (a) 300,000 295,491
4.10%, 02/15/28 (a) 327,000 373,320
4.35%, 03/01/29 (a) 600,000 692,592
4.30%, 02/15/30 (a) 547,000 627,305
2.75%, 06/01/31 (a) 500,000 508,365
2.25%, 02/01/32 (a) 550,000 528,077
2.55%, 12/01/33 (a)(c) 457,000 442,198
6.15%, 09/15/34 200,000 258,372
4.50%, 05/15/35 (a) 550,000 634,469
5.25%, 03/01/37 (a) 500,000 619,700
4.90%, 08/15/37 (a) 250,000 299,405
4.85%, 03/01/39 (a) 350,000 413,640
6.00%, 08/15/40 (a) 250,000 328,690
5.35%, 09/01/40 250,000 316,012
3.50%, 06/01/41 (a) 550,000 553,723
5.15%, 03/15/42 200,000 244,904
4.90%, 06/15/42 150,000 177,885
4.30%, 12/15/42 (a) 400,000 442,100
3.10%, 02/01/43 (a) 350,000 329,738
4.65%, 06/01/44 (a) 150,000 171,026
4.80%, 06/15/44 (a) 200,000 232,396
4.35%, 06/15/45 (a) 300,000 328,692
4.75%, 05/15/46 (a) 500,000 579,280
5.15%, 11/15/46 (a) 250,000 303,240
5.65%, 02/15/47 (a) 150,000 193,476
5.45%, 03/01/47 (a) 350,000 434,518
4.50%, 03/09/48 (a) 600,000 659,868
4.55%, 03/09/49 (a) 400,000 448,324
5.15%, 02/15/50 (a) 300,000 361,935
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.65%, 06/01/51 (a) 500,000 483,785
3.30%, 02/01/52 (a) 550,000 497,860
3.50%, 09/15/53 (a)(c) 1,285,000 1,183,948
3.55%, 09/15/55 (a)(c) 1,473,000 1,355,086
3.80%, 12/01/57 (a)(c) 911,000 869,704
3.65%, 09/15/59 (a)(c) 1,274,000 1,179,176
3.85%, 06/01/60 (a) 300,000 289,089
3.50%, 02/01/61 (a) 350,000 315,959
Bell Canada
4.46%, 04/01/48 (a) 150,000 182,811
4.30%, 07/29/49 (a) 100,000 118,464
British Telecommunications PLC
4.50%, 12/04/23 (a) 200,000 220,854
5.13%, 12/04/28 (a) 250,000 301,802
9.63%, 12/15/30 (g)(h) 400,000 634,820
CC Holdings GS V LLC/Crown Castle GS III Corp.
3.85%, 04/15/23 200,000 213,710
Charter Communications Operating LLC/Charter Communications Operating Capital
4.46%, 07/23/22 (a) 500,000 523,310
4.50%, 02/01/24 (a) 250,000 275,355
4.91%, 07/23/25 (a) 1,000,000 1,140,550
3.75%, 02/15/28 (a) 300,000 329,115
4.20%, 03/15/28 (a) 200,000 224,918
5.05%, 03/30/29 (a) 200,000 234,982
2.80%, 04/01/31 (a) 350,000 353,619
2.30%, 02/01/32 (a) 200,000 190,802
6.38%, 10/23/35 (a) 480,000 638,309
5.38%, 04/01/38 (a) 150,000 180,398
3.50%, 06/01/41 (a)(d) 300,000 288,621
6.48%, 10/23/45 (a) 850,000 1,138,311
5.38%, 05/01/47 (a) 450,000 526,392
5.75%, 04/01/48 (a) 500,000 617,375
5.13%, 07/01/49 (a) 200,000 227,454
4.80%, 03/01/50 (a) 400,000 435,796
3.70%, 04/01/51 (a) 600,000 566,208
3.90%, 06/01/52 (a)(d) 200,000 194,772
6.83%, 10/23/55 (a) 100,000 140,726
3.85%, 04/01/61 (a) 250,000 229,653
Comcast Cable Communications Holdings, Inc.
9.46%, 11/15/22 200,000 231,286
Comcast Corp.
3.00%, 02/01/24 (a) 300,000 321,378
3.60%, 03/01/24 100,000 109,285
3.70%, 04/15/24 (a) 400,000 438,824
3.38%, 02/15/25 (a) 200,000 218,024
3.10%, 04/01/25 (a) 100,000 108,378
3.38%, 08/15/25 (a) 150,000 164,735
3.95%, 10/15/25 (a) 650,000 732,433
3.15%, 03/01/26 (a) 550,000 601,535
2.35%, 01/15/27 (a) 500,000 527,175
3.30%, 02/01/27 (a) 300,000 331,500
3.30%, 04/01/27 (a) 200,000 221,432
3.15%, 02/15/28 (a) 350,000 383,456
3.55%, 05/01/28 (a) 200,000 224,186
4.15%, 10/15/28 (a) 950,000 1,106,921
2.65%, 02/01/30 (a) 300,000 314,697
3.40%, 04/01/30 (a) 250,000 276,502
4.25%, 10/15/30 (a) 350,000 413,189
1.95%, 01/15/31 (a) 300,000 295,503
1.50%, 02/15/31 (a) 400,000 379,028
4.25%, 01/15/33 250,000 299,255
7.05%, 03/15/33 350,000 515,861
4.20%, 08/15/34 (a) 250,000 295,705
5.65%, 06/15/35 100,000 134,552
4.40%, 08/15/35 (a) 150,000 181,428
 
35
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
6.50%, 11/15/35 295,000 428,812
3.20%, 07/15/36 (a) 100,000 107,316
6.45%, 03/15/37 100,000 145,971
6.95%, 08/15/37 150,000 230,640
3.90%, 03/01/38 (a) 250,000 288,287
6.40%, 05/15/38 100,000 147,694
4.60%, 10/15/38 (a) 500,000 623,245
6.55%, 07/01/39 100,000 148,190
3.25%, 11/01/39 (a) 200,000 213,226
6.40%, 03/01/40 150,000 223,410
3.75%, 04/01/40 (a) 500,000 565,590
4.65%, 07/15/42 250,000 314,565
4.50%, 01/15/43 100,000 123,575
4.75%, 03/01/44 300,000 383,190
4.60%, 08/15/45 (a) 300,000 376,545
3.40%, 07/15/46 (a) 200,000 211,232
4.00%, 08/15/47 (a) 100,000 115,259
3.97%, 11/01/47 (a) 500,000 573,160
4.00%, 03/01/48 (a) 200,000 229,484
4.70%, 10/15/48 (a) 1,010,000 1,284,306
4.00%, 11/01/49 (a) 400,000 461,500
3.45%, 02/01/50 (a) 400,000 424,808
2.80%, 01/15/51 (a) 400,000 376,796
2.45%, 08/15/52 (a) 400,000 351,448
4.05%, 11/01/52 (a) 250,000 290,925
4.95%, 10/15/58 (a) 350,000 477,851
2.65%, 08/15/62 (a) 400,000 354,228
Crown Castle International Corp.
5.25%, 01/15/23 350,000 379,456
3.15%, 07/15/23 (a) 150,000 158,805
1.35%, 07/15/25 (a) 200,000 201,404
4.45%, 02/15/26 (a) 195,000 221,715
3.70%, 06/15/26 (a) 100,000 110,971
1.05%, 07/15/26 (a) 150,000 146,924
3.65%, 09/01/27 (a) 200,000 222,258
3.80%, 02/15/28 (a) 150,000 166,794
4.30%, 02/15/29 (a) 100,000 114,586
3.10%, 11/15/29 (a) 200,000 211,988
3.30%, 07/01/30 (a) 200,000 215,366
2.25%, 01/15/31 (a) 200,000 196,678
2.10%, 04/01/31 (a) 200,000 193,340
2.90%, 04/01/41 (a) 250,000 236,388
4.75%, 05/15/47 (a) 200,000 239,214
5.20%, 02/15/49 (a) 150,000 192,555
4.15%, 07/01/50 (a) 150,000 166,566
3.25%, 01/15/51 (a) 200,000 192,346
Deutsche Telekom International Finance BV
8.75%, 06/15/30 (g)(h) 750,000 1,140,030
9.25%, 06/01/32 150,000 247,686
Discovery Communications LLC
3.80%, 03/13/24 (a) 250,000 271,423
3.95%, 06/15/25 (a) 250,000 276,802
4.90%, 03/11/26 (a) 100,000 115,532
3.95%, 03/20/28 (a) 250,000 279,570
4.13%, 05/15/29 (a) 300,000 340,695
3.63%, 05/15/30 (a) 250,000 275,732
5.00%, 09/20/37 (a) 150,000 182,018
4.88%, 04/01/43 150,000 180,666
5.20%, 09/20/47 (a) 260,000 321,116
5.30%, 05/15/49 (a) 150,000 187,703
4.65%, 05/15/50 (a) 200,000 232,518
4.00%, 09/15/55 (a)(c) 457,000 469,599
Electronic Arts, Inc.
2.95%, 02/15/51 (a) 250,000 240,888
Fox Corp.
4.03%, 01/25/24 (a) 250,000 273,480
3.05%, 04/07/25 (a) 100,000 107,627
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.71%, 01/25/29 (a) 300,000 352,317
3.50%, 04/08/30 (a) 200,000 218,094
5.48%, 01/25/39 (a) 300,000 386,100
5.58%, 01/25/49 (a) 250,000 330,630
Grupo Televisa S.A.B.
6.63%, 03/18/25 200,000 240,264
6.63%, 01/15/40 200,000 266,674
5.00%, 05/13/45 (a) 300,000 343,248
5.25%, 05/24/49 (a) 200,000 240,238
Koninklijke KPN N.V.
8.38%, 10/01/30 100,000 142,706
Moody's Corp.
4.50%, 09/01/22 (a) 150,000 157,655
2.63%, 01/15/23 (a) 150,000 155,867
3.75%, 03/24/25 (a) 200,000 221,148
4.25%, 02/01/29 (a) 150,000 175,404
4.88%, 12/17/48 (a) 150,000 190,743
2.55%, 08/18/60 (a) 250,000 213,750
NBCUniversal Media LLC
6.40%, 04/30/40 100,000 148,102
5.95%, 04/01/41 100,000 143,602
4.45%, 01/15/43 230,000 282,198
Omnicom Group, Inc.
2.45%, 04/30/30 (a) 200,000 203,962
4.20%, 06/01/30 (a) 100,000 115,822
Omnicom Group, Inc./Omnicom Capital, Inc.
3.63%, 05/01/22 250,000 259,233
3.65%, 11/01/24 (a) 130,000 142,336
3.60%, 04/15/26 (a) 250,000 277,985
Orange S.A.
9.00%, 03/01/31 400,000 637,256
5.38%, 01/13/42 150,000 201,879
5.50%, 02/06/44 (a) 150,000 206,799
RELX Capital, Inc.
3.50%, 03/16/23 (a) 100,000 105,869
4.00%, 03/18/29 (a) 150,000 170,621
3.00%, 05/22/30 (a) 250,000 267,588
Rogers Communications, Inc.
3.00%, 03/15/23 (a) 150,000 156,930
4.10%, 10/01/23 (a) 150,000 162,704
3.63%, 12/15/25 (a) 100,000 110,959
2.90%, 11/15/26 (a) 150,000 162,693
4.50%, 03/15/43 (a) 100,000 118,304
5.45%, 10/01/43 (a) 200,000 267,998
5.00%, 03/15/44 (a) 330,000 421,199
4.30%, 02/15/48 (a) 100,000 117,646
4.35%, 05/01/49 (a) 150,000 178,136
3.70%, 11/15/49 (a) 150,000 161,790
S&P Global, Inc.
4.00%, 06/15/25 (a) 200,000 223,914
2.50%, 12/01/29 (a) 100,000 104,939
1.25%, 08/15/30 (a) 250,000 235,933
3.25%, 12/01/49 (a) 100,000 104,512
2.30%, 08/15/60 (a) 250,000 210,763
T-Mobile USA, Inc.
3.50%, 04/15/25 (a)(c) 500,000 543,130
1.50%, 02/15/26 (a) 250,000 250,160
3.75%, 04/15/27 (a)(c) 750,000 829,065
2.05%, 02/15/28 (a) 550,000 549,461
3.88%, 04/15/30 (a)(c) 1,300,000 1,436,435
2.55%, 02/15/31 (a)(c) 650,000 650,195
2.25%, 11/15/31 (a)(c) 250,000 243,025
4.38%, 04/15/40 (a)(c) 550,000 623,848
3.00%, 02/15/41 (a) 550,000 523,374
4.50%, 04/15/50 (a)(c) 500,000 563,500
 
36
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.30%, 02/15/51 (a)(c) 550,000 516,136
3.60%, 11/15/60 (a)(c) 200,000 192,300
TCI Communications, Inc.
7.13%, 02/15/28 230,000 308,770
Telefonica Emisiones S.A.
4.57%, 04/27/23 300,000 325,923
4.10%, 03/08/27 450,000 509,206
7.05%, 06/20/36 365,000 523,012
4.67%, 03/06/38 150,000 171,666
5.21%, 03/08/47 500,000 602,860
4.90%, 03/06/48 300,000 347,316
5.52%, 03/01/49 (a) 300,000 378,918
Telefonica Europe BV
8.25%, 09/15/30 100,000 145,719
TELUS Corp.
3.70%, 09/15/27 (a) 350,000 397,712
4.30%, 06/15/49 (a) 150,000 175,791
The Interpublic Group of Cos., Inc.
4.20%, 04/15/24 350,000 387,289
4.75%, 03/30/30 (a) 150,000 178,917
5.40%, 10/01/48 (a) 100,000 129,890
The Walt Disney Co.
1.65%, 09/01/22 200,000 204,232
3.00%, 09/15/22 150,000 156,155
1.75%, 08/30/24 (a) 150,000 155,793
3.70%, 09/15/24 (a) 300,000 330,027
3.35%, 03/24/25 250,000 273,475
3.70%, 10/15/25 (a) 200,000 222,598
1.75%, 01/13/26 550,000 566,692
3.70%, 03/23/27 250,000 284,345
2.20%, 01/13/28 200,000 207,614
2.00%, 09/01/29 (a) 350,000 354,525
3.80%, 03/22/30 200,000 229,026
2.65%, 01/13/31 500,000 524,895
6.55%, 03/15/33 300,000 426,858
6.20%, 12/15/34 150,000 214,235
6.40%, 12/15/35 230,000 338,084
6.15%, 03/01/37 150,000 210,705
4.63%, 03/23/40 (a) 350,000 437,937
3.50%, 05/13/40 (a) 500,000 547,500
4.13%, 12/01/41 150,000 176,175
4.75%, 09/15/44 (a) 150,000 191,411
4.95%, 10/15/45 (a) 200,000 261,718
4.75%, 11/15/46 (a) 100,000 127,456
2.75%, 09/01/49 (a) 350,000 330,288
4.70%, 03/23/50 (a) 300,000 385,299
3.60%, 01/13/51 (a) 750,000 820,177
3.80%, 05/13/60 (a) 300,000 339,288
Thomson Reuters Corp.
4.30%, 11/23/23 (a) 150,000 163,722
5.65%, 11/23/43 (a) 150,000 193,947
Time Warner Cable LLC
6.55%, 05/01/37 200,000 268,234
7.30%, 07/01/38 300,000 425,211
6.75%, 06/15/39 250,000 342,150
5.88%, 11/15/40 (a) 324,000 405,386
5.50%, 09/01/41 (a) 250,000 306,532
4.50%, 09/15/42 (a) 300,000 328,227
Time Warner Entertainment Co. LP
8.38%, 03/15/23 357,000 413,663
8.38%, 07/15/33 200,000 297,636
TWDC Enterprises 18 Corp.
2.35%, 12/01/22 200,000 207,028
3.00%, 02/13/26 350,000 381,251
1.85%, 07/30/26 150,000 155,352
2.95%, 06/15/27 (f) 200,000 219,310
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.13%, 06/01/44 250,000 293,452
3.00%, 07/30/46 100,000 99,588
Verizon Communications, Inc.
2.95%, 03/15/22 150,000 154,206
2.45%, 11/01/22 (a) 100,000 103,029
5.15%, 09/15/23 530,000 591,665
4.15%, 03/15/24 (a) 100,000 109,675
3.50%, 11/01/24 (a) 330,000 360,713
3.38%, 02/15/25 500,000 546,345
0.85%, 11/20/25 (a) 700,000 690,599
2.63%, 08/15/26 450,000 480,888
4.13%, 03/16/27 650,000 750,386
3.00%, 03/22/27 (a) 150,000 162,840
4.33%, 09/21/28 800,000 931,752
3.88%, 02/08/29 (a) 200,000 227,526
4.02%, 12/03/29 (a) 800,000 917,728
3.15%, 03/22/30 (a) 250,000 268,628
1.50%, 09/18/30 (a) 450,000 425,016
1.68%, 10/30/30 (a)(c) 517,000 492,427
7.75%, 12/01/30 52,000 76,238
1.75%, 01/20/31 (a) 500,000 477,145
4.50%, 08/10/33 650,000 777,049
4.40%, 11/01/34 (a) 630,000 749,051
4.27%, 01/15/36 505,000 589,345
5.25%, 03/16/37 400,000 515,636
4.81%, 03/15/39 350,000 432,806
2.65%, 11/20/40 (a) 500,000 468,375
4.75%, 11/01/41 274,000 336,305
3.85%, 11/01/42 (a) 200,000 221,216
6.55%, 09/15/43 100,000 152,469
4.13%, 08/15/46 200,000 226,544
4.86%, 08/21/46 800,000 989,928
5.50%, 03/16/47 100,000 134,801
4.52%, 09/15/48 850,000 1,009,621
5.01%, 04/15/49 225,000 286,713
4.00%, 03/22/50 (a) 150,000 165,273
2.88%, 11/20/50 (a) 500,000 455,815
5.01%, 08/21/54 250,000 321,497
4.67%, 03/15/55 500,000 611,495
2.99%, 10/30/56 (a) 546,000 495,621
3.00%, 11/20/60 (a) 750,000 676,065
ViacomCBS, Inc.
3.38%, 03/01/22 (a) 150,000 153,282
4.25%, 09/01/23 (a) 263,000 284,432
3.88%, 04/01/24 (a) 150,000 163,154
3.70%, 08/15/24 (a) 250,000 272,927
3.50%, 01/15/25 (a) 330,000 357,393
4.75%, 05/15/25 (a) 200,000 228,732
2.90%, 01/15/27 (a) 150,000 159,183
3.38%, 02/15/28 (a) 250,000 271,870
4.20%, 06/01/29 (a) 150,000 172,034
7.88%, 07/30/30 50,000 71,248
4.95%, 01/15/31 (a) 200,000 241,136
4.20%, 05/19/32 (a) 300,000 346,020
6.88%, 04/30/36 250,000 355,662
4.38%, 03/15/43 250,000 283,722
5.85%, 09/01/43 (a) 450,000 599,040
5.25%, 04/01/44 (a) 100,000 124,747
4.90%, 08/15/44 (a) 195,000 232,454
4.60%, 01/15/45 (a) 130,000 150,567
4.95%, 05/19/50 (a) 200,000 242,356
Vodafone Group PLC
2.50%, 09/26/22 250,000 258,173
3.75%, 01/16/24 450,000 490,621
4.13%, 05/30/25 250,000 281,282
4.38%, 05/30/28 750,000 879,307
7.88%, 02/15/30 150,000 215,936
 
37
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
6.15%, 02/27/37 400,000 550,308
5.00%, 05/30/38 250,000 311,625
4.38%, 02/19/43 350,000 406,567
5.25%, 05/30/48 600,000 776,220
4.88%, 06/19/49 350,000 430,857
4.25%, 09/17/50 250,000 282,497
5.13%, 06/19/59 100,000 128,553
Weibo Corp.
3.50%, 07/05/24 (a) 200,000 211,502
3.38%, 07/08/30 (a) 200,000 203,166
WPP Finance 2010
3.63%, 09/07/22 100,000 104,658
3.75%, 09/19/24 100,000 110,082
    128,093,777
Consumer Cyclical 1.8%
Advance Auto Parts, Inc.
1.75%, 10/01/27 (a) 200,000 200,558
3.90%, 04/15/30 (a) 100,000 111,796
Alibaba Group Holding Ltd.
3.13%, 11/28/21 (a) 200,000 202,910
2.80%, 06/06/23 (a) 150,000 157,268
3.60%, 11/28/24 (a) 400,000 438,128
3.40%, 12/06/27 (a) 500,000 547,585
2.13%, 02/09/31 (a) 400,000 390,576
4.50%, 11/28/34 (a) 250,000 296,572
4.00%, 12/06/37 (a) 200,000 226,516
2.70%, 02/09/41 (a) 250,000 237,700
4.20%, 12/06/47 (a) 200,000 229,078
3.15%, 02/09/51 (a) 300,000 288,396
4.40%, 12/06/57 (a) 200,000 238,996
3.25%, 02/09/61 (a) 200,000 192,248
Amazon.com, Inc.
2.50%, 11/29/22 (a) 230,000 237,779
2.40%, 02/22/23 (a) 200,000 208,120
0.40%, 06/03/23 250,000 250,827
2.80%, 08/22/24 (a) 450,000 484,290
3.80%, 12/05/24 (a) 195,000 217,008
0.80%, 06/03/25 (a) 150,000 149,964
5.20%, 12/03/25 (a) 100,000 118,938
1.20%, 06/03/27 (a) 300,000 298,644
3.15%, 08/22/27 (a) 900,000 998,883
1.50%, 06/03/30 (a) 450,000 439,110
4.80%, 12/05/34 (a) 150,000 194,766
3.88%, 08/22/37 (a) 600,000 706,740
4.95%, 12/05/44 (a) 330,000 445,104
4.05%, 08/22/47 (a) 750,000 896,280
2.50%, 06/03/50 (a) 550,000 509,641
4.25%, 08/22/57 (a) 400,000 501,260
2.70%, 06/03/60 (a) 400,000 370,416
American Honda Finance Corp.
1.70%, 09/09/21 150,000 151,152
2.20%, 06/27/22 200,000 205,058
2.05%, 01/10/23 150,000 154,742
1.95%, 05/10/23 200,000 206,822
0.88%, 07/07/23 250,000 252,887
0.65%, 09/08/23 250,000 251,505
2.90%, 02/16/24 390,000 416,898
2.40%, 06/27/24 300,000 317,451
1.20%, 07/08/25 250,000 252,100
1.00%, 09/10/25 250,000 249,205
2.30%, 09/09/26 300,000 318,369
2.35%, 01/08/27 50,000 52,997
3.50%, 02/15/28 100,000 112,519
Aptiv Corp.
4.15%, 03/15/24 (a) 100,000 109,649
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Aptiv PLC
4.35%, 03/15/29 (a) 150,000 172,770
5.40%, 03/15/49 (a) 100,000 126,718
AutoNation, Inc.
3.50%, 11/15/24 (a) 250,000 270,665
4.75%, 06/01/30 (a) 250,000 294,817
AutoZone, Inc.
2.88%, 01/15/23 (a) 250,000 260,180
3.13%, 07/15/23 (a) 100,000 105,678
3.25%, 04/15/25 (a) 200,000 216,286
3.75%, 04/18/29 (a) 150,000 166,661
4.00%, 04/15/30 (a) 150,000 171,305
1.65%, 01/15/31 (a) 250,000 237,862
Best Buy Co., Inc.
4.45%, 10/01/28 (a) 100,000 116,173
1.95%, 10/01/30 (a) 250,000 242,030
Block Financial LLC
5.25%, 10/01/25 (a) 100,000 113,101
3.88%, 08/15/30 (a) 250,000 262,797
Booking Holdings, Inc.
2.75%, 03/15/23 (a) 250,000 261,112
4.10%, 04/13/25 (a) 200,000 222,984
3.60%, 06/01/26 (a) 150,000 166,208
4.50%, 04/13/27 (a) 200,000 233,782
4.63%, 04/13/30 (a) 450,000 537,619
BorgWarner, Inc.
3.38%, 03/15/25 (a) 100,000 108,984
2.65%, 07/01/27 (a) 250,000 265,002
4.38%, 03/15/45 (a) 100,000 111,214
Choice Hotels International, Inc.
3.70%, 12/01/29 (a) 100,000 106,988
3.70%, 01/15/31 (a) 250,000 266,947
Costco Wholesale Corp.
2.75%, 05/18/24 (a) 200,000 214,014
3.00%, 05/18/27 (a) 400,000 440,252
1.38%, 06/20/27 (a) 250,000 252,027
1.60%, 04/20/30 (a) 100,000 97,926
1.75%, 04/20/32 (a) 400,000 392,456
Cummins, Inc.
0.75%, 09/01/25 (a) 250,000 248,565
1.50%, 09/01/30 (a) 250,000 239,600
4.88%, 10/01/43 (a) 150,000 194,294
2.60%, 09/01/50 (a) 250,000 233,365
D.R. Horton, Inc.
5.75%, 08/15/23 (a) 250,000 277,987
2.60%, 10/15/25 (a) 175,000 185,612
1.40%, 10/15/27 (a) 250,000 247,335
Daimler Finance North America LLC
8.50%, 01/18/31 200,000 306,116
Darden Restaurants, Inc.
3.85%, 05/01/27 (a) 200,000 218,350
Dollar General Corp.
3.25%, 04/15/23 (a) 100,000 105,266
3.88%, 04/15/27 (a) 200,000 226,650
4.13%, 05/01/28 (a) 100,000 115,004
3.50%, 04/03/30 (a) 200,000 220,642
4.13%, 04/03/50 (a) 100,000 115,985
Dollar Tree, Inc.
3.70%, 05/15/23 (a) 100,000 106,574
4.00%, 05/15/25 (a) 300,000 333,909
4.20%, 05/15/28 (a) 250,000 287,335
eBay, Inc.
3.80%, 03/09/22 (a) 100,000 103,272
2.60%, 07/15/22 (a) 195,000 199,789
 
38
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.75%, 01/30/23 (a) 300,000 312,993
3.45%, 08/01/24 (a) 200,000 217,014
1.90%, 03/11/25 (a) 250,000 258,255
3.60%, 06/05/27 (a) 150,000 167,729
2.70%, 03/11/30 (a) 100,000 103,965
4.00%, 07/15/42 (a) 150,000 167,832
Expedia Group, Inc.
3.60%, 12/15/23 (a) 200,000 213,366
4.50%, 08/15/24 (a) 150,000 165,059
5.00%, 02/15/26 (a) 200,000 226,370
4.63%, 08/01/27 (a) 200,000 222,958
3.80%, 02/15/28 (a) 200,000 214,756
3.25%, 02/15/30 (a) 200,000 205,006
General Motors Co.
4.88%, 10/02/23 462,000 508,976
5.40%, 10/02/23 250,000 278,987
6.13%, 10/01/25 (a) 450,000 536,130
4.20%, 10/01/27 (a) 300,000 336,147
5.00%, 10/01/28 (a) 250,000 292,320
5.00%, 04/01/35 200,000 238,500
6.60%, 04/01/36 (a) 300,000 407,661
5.15%, 04/01/38 (a) 250,000 297,227
6.25%, 10/02/43 350,000 471,751
5.20%, 04/01/45 250,000 294,445
6.75%, 04/01/46 (a) 100,000 137,429
5.40%, 04/01/48 (a) 75,000 90,731
5.95%, 04/01/49 (a) 200,000 262,866
General Motors Financial Co., Inc.
4.20%, 11/06/21 150,000 153,882
3.45%, 04/10/22 (a) 500,000 513,775
3.55%, 07/08/22 350,000 363,555
3.25%, 01/05/23 (a) 250,000 261,372
5.20%, 03/20/23 450,000 490,837
3.70%, 05/09/23 (a) 312,000 330,442
1.70%, 08/18/23 350,000 358,120
5.10%, 01/17/24 (a) 200,000 222,670
3.95%, 04/13/24 (a) 150,000 163,014
3.50%, 11/07/24 (a) 150,000 162,521
4.00%, 01/15/25 (a) 100,000 109,132
2.90%, 02/26/25 (a) 200,000 211,692
4.35%, 04/09/25 (a) 150,000 166,545
4.30%, 07/13/25 (a) 200,000 221,422
1.25%, 01/08/26 (a) 200,000 197,830
5.25%, 03/01/26 (a) 450,000 520,150
4.35%, 01/17/27 (a) 200,000 225,688
2.70%, 08/20/27 (a) 350,000 363,919
3.85%, 01/05/28 (a) 150,000 164,586
5.65%, 01/17/29 (a) 100,000 122,176
3.60%, 06/21/30 (a) 500,000 540,735
Genuine Parts Co.
1.88%, 11/01/30 (a) 125,000 119,186
GLP Capital LP/GLP Financing II, Inc.
5.38%, 11/01/23 (a) 250,000 274,370
5.25%, 06/01/25 (a) 100,000 113,370
5.38%, 04/15/26 (a) 150,000 172,568
5.75%, 06/01/28 (a) 100,000 117,671
5.30%, 01/15/29 (a) 100,000 114,755
4.00%, 01/15/30 (a) 100,000 106,978
4.00%, 01/15/31 (a) 400,000 427,396
Harley-Davidson, Inc.
3.50%, 07/28/25 (a) 100,000 107,538
Harman International Industries, Inc.
4.15%, 05/15/25 (a) 75,000 83,191
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Hyatt Hotels Corp.
3.38%, 07/15/23 (a) 200,000 209,710
5.38%, 04/23/25 (a) 100,000 112,743
4.38%, 09/15/28 (a) 150,000 163,652
IHS Markit Ltd.
4.13%, 08/01/23 (a) 100,000 108,025
4.75%, 08/01/28 (a) 150,000 177,665
4.25%, 05/01/29 (a) 175,000 202,400
JD.com, Inc.
3.88%, 04/29/26 200,000 220,312
3.38%, 01/14/30 (a) 200,000 213,574
4.13%, 01/14/50 200,000 210,892
Kohl's Corp.
9.50%, 05/15/25 (a) 100,000 128,942
4.25%, 07/17/25 (a) 250,000 272,530
Las Vegas Sands Corp.
3.20%, 08/08/24 (a) 250,000 262,710
2.90%, 06/25/25 (a) 400,000 415,036
3.50%, 08/18/26 (a) 150,000 158,984
3.90%, 08/08/29 (a) 150,000 159,863
Lear Corp.
3.80%, 09/15/27 (a) 50,000 55,304
4.25%, 05/15/29 (a) 50,000 56,116
3.50%, 05/30/30 (a) 150,000 160,109
5.25%, 05/15/49 (a) 100,000 122,029
Lennar Corp.
4.75%, 11/15/22 (a) 350,000 369,456
4.75%, 05/30/25 (a) 350,000 394,835
4.75%, 11/29/27 (a) 250,000 290,612
Lowe's Cos., Inc.
3.12%, 04/15/22 (a) 150,000 153,704
3.88%, 09/15/23 (a) 100,000 107,973
3.13%, 09/15/24 (a) 100,000 108,256
3.38%, 09/15/25 (a) 474,000 521,026
2.50%, 04/15/26 (a) 200,000 212,730
3.10%, 05/03/27 (a) 250,000 275,492
1.30%, 04/15/28 (a) 250,000 242,470
3.65%, 04/05/29 (a) 400,000 449,336
4.50%, 04/15/30 (a) 200,000 238,296
1.70%, 10/15/30 (a) 250,000 240,802
5.00%, 04/15/40 (a) 100,000 127,973
4.65%, 04/15/42 (a) 195,000 241,135
4.38%, 09/15/45 (a) 100,000 119,066
3.70%, 04/15/46 (a) 150,000 162,791
4.05%, 05/03/47 (a) 250,000 285,285
4.55%, 04/05/49 (a) 300,000 370,281
5.13%, 04/15/50 (a) 250,000 340,347
3.00%, 10/15/50 (a) 250,000 239,812
Magna International, Inc.
3.63%, 06/15/24 (a) 200,000 217,600
2.45%, 06/15/30 (a) 200,000 205,738
Marriott International, Inc.
3.75%, 03/15/25 (a) 330,000 353,727
5.75%, 05/01/25 (a) 300,000 346,686
3.13%, 06/15/26 (a) 150,000 157,833
4.00%, 04/15/28 (a) 100,000 108,701
4.63%, 06/15/30 (a) 200,000 227,932
3.50%, 10/15/32 (a) 350,000 370,660
McDonald's Corp.
3.35%, 04/01/23 (a) 150,000 158,834
3.38%, 05/26/25 (a) 150,000 164,000
3.30%, 07/01/25 (a) 100,000 109,360
1.45%, 09/01/25 (a) 150,000 152,907
3.70%, 01/30/26 (a) 430,000 480,860
3.50%, 03/01/27 (a) 200,000 222,596
3.50%, 07/01/27 (a) 200,000 223,622
 
39
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.80%, 04/01/28 (a) 350,000 396,620
2.63%, 09/01/29 (a) 100,000 104,815
2.13%, 03/01/30 (a) 250,000 251,770
3.60%, 07/01/30 (a) 150,000 168,168
4.70%, 12/09/35 (a) 250,000 307,722
6.30%, 03/01/38 250,000 358,325
5.70%, 02/01/39 150,000 204,179
4.88%, 07/15/40 100,000 127,278
3.70%, 02/15/42 200,000 220,762
4.60%, 05/26/45 (a) 100,000 122,283
4.88%, 12/09/45 (a) 420,000 531,628
4.45%, 03/01/47 (a) 100,000 120,270
4.45%, 09/01/48 (a) 250,000 302,500
3.63%, 09/01/49 (a) 300,000 323,700
4.20%, 04/01/50 (a) 100,000 117,744
NIKE, Inc.
2.25%, 05/01/23 (a) 100,000 103,833
2.40%, 03/27/25 (a) 150,000 159,243
2.38%, 11/01/26 (a) 100,000 106,352
2.75%, 03/27/27 (a) 350,000 378,994
2.85%, 03/27/30 (a) 350,000 379,232
3.25%, 03/27/40 (a) 300,000 327,285
3.38%, 11/01/46 (a) 350,000 382,539
3.38%, 03/27/50 (a) 200,000 219,798
NVR, Inc.
3.95%, 09/15/22 (a) 100,000 104,499
3.00%, 05/15/30 (a) 200,000 212,474
O'Reilly Automotive, Inc.
3.80%, 09/01/22 (a) 150,000 156,180
3.60%, 09/01/27 (a) 150,000 168,006
4.35%, 06/01/28 (a) 200,000 232,084
4.20%, 04/01/30 (a) 100,000 115,621
1.75%, 03/15/31 (a) 250,000 239,230
PACCAR Financial Corp.
3.15%, 08/09/21 150,000 151,889
2.65%, 05/10/22 150,000 154,269
2.00%, 09/26/22 100,000 102,727
2.65%, 04/06/23 150,000 157,619
0.35%, 08/11/23 150,000 150,075
0.35%, 02/02/24 100,000 99,886
1.80%, 02/06/25 200,000 206,538
PulteGroup, Inc.
5.50%, 03/01/26 (a) 250,000 294,210
7.88%, 06/15/32 200,000 287,956
PVH Corp.
4.63%, 07/10/25 (a)(c) 250,000 276,107
Ralph Lauren Corp.
1.70%, 06/15/22 150,000 152,562
2.95%, 06/15/30 (a) 150,000 159,329
Ross Stores, Inc.
0.88%, 04/15/26 (a) 250,000 245,752
4.70%, 04/15/27 (a) 19,000 21,966
5.45%, 04/15/50 (a) 100,000 128,800
Sands China Ltd.
4.60%, 08/08/23 (a) 500,000 535,995
5.13%, 08/08/25 (a) 200,000 225,254
5.40%, 08/08/28 (a) 400,000 463,684
4.38%, 06/18/30 (a) 200,000 219,938
Starbucks Corp.
1.30%, 05/07/22 150,000 151,725
2.70%, 06/15/22 (a) 150,000 153,957
3.10%, 03/01/23 (a) 100,000 105,195
3.85%, 10/01/23 (a) 245,000 264,421
3.80%, 08/15/25 (a) 300,000 335,265
2.00%, 03/12/27 (a) 200,000 207,282
4.00%, 11/15/28 (a) 150,000 172,839
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.55%, 08/15/29 (a) 200,000 224,156
2.25%, 03/12/30 (a) 100,000 101,780
2.55%, 11/15/30 (a) 195,000 202,369
3.75%, 12/01/47 (a) 250,000 271,085
4.50%, 11/15/48 (a) 300,000 359,118
4.45%, 08/15/49 (a) 150,000 181,862
3.35%, 03/12/50 (a) 100,000 101,957
3.50%, 11/15/50 (a) 200,000 209,460
Stellantis N.V.
5.25%, 04/15/23 250,000 271,882
Tapestry, Inc.
4.25%, 04/01/25 (a) 150,000 163,188
4.13%, 07/15/27 (a) 100,000 109,884
Target Corp.
2.90%, 01/15/22 150,000 153,560
3.50%, 07/01/24 263,000 289,042
2.25%, 04/15/25 (a) 300,000 316,275
2.50%, 04/15/26 200,000 215,168
3.38%, 04/15/29 (a) 150,000 168,644
2.35%, 02/15/30 (a) 150,000 156,668
2.65%, 09/15/30 (a) 350,000 374,111
4.00%, 07/01/42 75,000 93,120
3.90%, 11/15/47 (a) 400,000 482,308
The Home Depot, Inc.
3.25%, 03/01/22 250,000 257,620
2.63%, 06/01/22 (a) 250,000 256,860
2.70%, 04/01/23 (a) 150,000 156,644
3.75%, 02/15/24 (a) 195,000 212,412
3.35%, 09/15/25 (a) 400,000 441,636
3.00%, 04/01/26 (a) 150,000 163,446
2.13%, 09/15/26 (a) 200,000 210,788
2.50%, 04/15/27 (a) 200,000 214,018
2.80%, 09/14/27 (a) 150,000 163,511
3.90%, 12/06/28 (a) 300,000 348,096
2.95%, 06/15/29 (a) 350,000 380,642
2.70%, 04/15/30 (a) 200,000 213,502
1.38%, 03/15/31 (a) 250,000 237,490
5.88%, 12/16/36 755,000 1,082,036
3.30%, 04/15/40 (a) 450,000 491,094
5.40%, 09/15/40 (a) 100,000 136,163
4.20%, 04/01/43 (a) 230,000 276,299
4.88%, 02/15/44 (a) 195,000 254,649
4.40%, 03/15/45 (a) 150,000 184,581
4.25%, 04/01/46 (a) 350,000 424,854
3.90%, 06/15/47 (a) 300,000 347,700
4.50%, 12/06/48 (a) 350,000 443,502
3.13%, 12/15/49 (a) 200,000 205,392
3.35%, 04/15/50 (a) 400,000 427,192
2.38%, 03/15/51 (a) 250,000 223,380
3.50%, 09/15/56 (a) 150,000 164,613
The Rockefeller Foundation
2.49%, 10/01/50 (a) 250,000 241,525
The TJX Cos., Inc.
2.50%, 05/15/23 (a) 250,000 260,492
3.50%, 04/15/25 (a) 200,000 219,496
2.25%, 09/15/26 (a) 200,000 211,476
3.75%, 04/15/27 (a) 100,000 113,376
1.15%, 05/15/28 (a) 150,000 145,598
3.88%, 04/15/30 (a) 250,000 287,455
Toyota Motor Corp.
3.42%, 07/20/23 200,000 214,564
3.67%, 07/20/28 150,000 170,870
Toyota Motor Credit Corp.
2.60%, 01/11/22 150,000 153,029
3.30%, 01/12/22 250,000 256,472
1.15%, 05/26/22 500,000 505,430
 
40
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.45%, 07/22/22 250,000 250,682
2.15%, 09/08/22 500,000 514,365
2.63%, 01/10/23 100,000 104,309
2.90%, 03/30/23 200,000 210,650
0.50%, 08/14/23 450,000 451,692
1.35%, 08/25/23 200,000 204,744
3.45%, 09/20/23 100,000 107,727
3.35%, 01/08/24 150,000 162,429
0.45%, 01/11/24 250,000 250,207
2.90%, 04/17/24 200,000 214,356
2.00%, 10/07/24 100,000 105,031
1.80%, 02/13/25 400,000 414,064
3.00%, 04/01/25 300,000 324,216
0.80%, 01/09/26 150,000 148,598
3.20%, 01/11/27 150,000 166,044
1.15%, 08/13/27 450,000 443,394
3.65%, 01/08/29 150,000 171,335
2.15%, 02/13/30 100,000 102,872
3.38%, 04/01/30 200,000 222,648
Tractor Supply Co.
1.75%, 11/01/30 (a) 125,000 120,015
TWDC Enterprises 18 Corp.
4.38%, 08/16/41 100,000 122,547
VF Corp.
2.40%, 04/23/25 (a) 350,000 368,280
2.95%, 04/23/30 (a) 200,000 214,186
Walgreen Co.
3.10%, 09/15/22 150,000 156,128
4.40%, 09/15/42 400,000 441,968
Walgreens Boots Alliance, Inc.
3.80%, 11/18/24 (a) 580,000 639,050
3.45%, 06/01/26 (a) 300,000 330,576
3.20%, 04/15/30 (a) 150,000 161,189
4.80%, 11/18/44 (a) 300,000 343,260
4.65%, 06/01/46 (a) 100,000 112,529
4.10%, 04/15/50 (a) 150,000 158,289
Walmart, Inc.
2.35%, 12/15/22 (a) 250,000 259,002
2.55%, 04/11/23 (a) 500,000 521,485
3.40%, 06/26/23 (a) 600,000 641,646
3.30%, 04/22/24 (a) 250,000 270,422
2.85%, 07/08/24 (a) 400,000 430,764
2.65%, 12/15/24 (a) 200,000 215,096
3.55%, 06/26/25 (a) 250,000 278,025
3.05%, 07/08/26 (a) 150,000 165,246
3.70%, 06/26/28 (a) 500,000 573,565
3.25%, 07/08/29 (a) 150,000 167,783
2.38%, 09/24/29 (a) 100,000 105,405
5.25%, 09/01/35 450,000 618,372
6.50%, 08/15/37 150,000 228,551
3.95%, 06/28/38 (a) 250,000 298,927
5.63%, 04/01/40 100,000 143,475
5.00%, 10/25/40 150,000 204,035
5.63%, 04/15/41 200,000 288,310
4.30%, 04/22/44 (a) 500,000 630,935
3.63%, 12/15/47 (a) 150,000 172,419
4.05%, 06/29/48 (a) 700,000 859,369
2.95%, 09/24/49 (a) 150,000 155,016
    93,247,690
Consumer Non-Cyclical 4.3%
Abbott Laboratories
3.40%, 11/30/23 (a) 200,000 215,398
2.95%, 03/15/25 (a) 350,000 377,356
3.75%, 11/30/26 (a) 400,000 454,932
1.15%, 01/30/28 (a) 250,000 244,897
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.40%, 06/30/30 (a) 200,000 192,952
4.75%, 11/30/36 (a) 500,000 644,905
5.30%, 05/27/40 100,000 139,779
4.75%, 04/15/43 (a) 150,000 198,678
4.90%, 11/30/46 (a) 726,000 986,750
AbbVie, Inc.
3.38%, 11/14/21 150,000 153,225
2.15%, 11/19/21 250,000 253,277
3.45%, 03/15/22 (a) 750,000 769,807
3.25%, 10/01/22 (a) 300,000 311,244
2.90%, 11/06/22 400,000 416,552
3.20%, 11/06/22 (a) 200,000 208,356
2.30%, 11/21/22 500,000 516,285
2.85%, 05/14/23 (a) 300,000 314,301
3.75%, 11/14/23 (a) 300,000 324,861
3.85%, 06/15/24 (a) 450,000 492,480
2.60%, 11/21/24 (a) 575,000 611,104
3.80%, 03/15/25 (a) 750,000 825,750
3.60%, 05/14/25 (a) 800,000 878,312
3.20%, 05/14/26 (a) 350,000 382,112
2.95%, 11/21/26 (a) 600,000 649,368
4.25%, 11/14/28 (a) 300,000 349,062
3.20%, 11/21/29 (a) 900,000 973,206
4.55%, 03/15/35 (a) 350,000 421,939
4.50%, 05/14/35 (a) 400,000 481,164
4.30%, 05/14/36 (a) 450,000 530,482
4.05%, 11/21/39 (a) 700,000 802,837
4.63%, 10/01/42 (a) 100,000 122,199
4.40%, 11/06/42 450,000 531,405
4.85%, 06/15/44 (a) 150,000 186,735
4.75%, 03/15/45 (a) 111,000 135,934
4.70%, 05/14/45 (a) 700,000 851,746
4.45%, 05/14/46 (a) 400,000 473,692
4.88%, 11/14/48 (a) 300,000 378,537
4.25%, 11/21/49 (a) 1,350,000 1,568,200
Adventist Health System
3.63%, 03/01/49 (a) 100,000 108,104
Advocate Health & Hospitals Corp.
3.83%, 08/15/28 (a) 50,000 56,215
4.27%, 08/15/48 (a) 150,000 186,122
3.39%, 10/15/49 (a) 100,000 106,857
Agilent Technologies, Inc.
2.75%, 09/15/29 (a) 150,000 158,106
2.10%, 06/04/30 (a) 150,000 150,545
Ahold Finance USA LLC
6.88%, 05/01/29 75,000 101,184
Allina Health System
3.89%, 04/15/49 100,000 113,766
Altria Group, Inc.
2.85%, 08/09/22 150,000 155,055
4.00%, 01/31/24 200,000 218,764
3.80%, 02/14/24 (a) 250,000 271,817
2.35%, 05/06/25 (a) 170,000 177,988
4.40%, 02/14/26 (a) 350,000 398,464
2.63%, 09/16/26 (a) 100,000 105,823
4.80%, 02/14/29 (a) 450,000 528,471
3.40%, 05/06/30 (a) 200,000 214,426
5.80%, 02/14/39 (a) 300,000 374,346
3.40%, 02/04/41 (a) 300,000 282,741
4.25%, 08/09/42 200,000 209,124
4.50%, 05/02/43 100,000 108,564
5.38%, 01/31/44 445,000 537,587
3.88%, 09/16/46 (a) 200,000 195,300
5.95%, 02/14/49 (a) 400,000 511,224
4.45%, 05/06/50 (a) 200,000 212,272
3.70%, 02/04/51 (a) 250,000 234,957
 
41
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
6.20%, 02/14/59 (a) 150,000 195,722
4.00%, 02/04/61 (a) 200,000 188,228
AmerisourceBergen Corp.
3.40%, 05/15/24 (a) 200,000 216,010
3.25%, 03/01/25 (a) 100,000 108,426
3.45%, 12/15/27 (a) 100,000 111,164
2.80%, 05/15/30 (a) 150,000 157,575
4.25%, 03/01/45 (a) 50,000 56,809
4.30%, 12/15/47 (a) 100,000 114,883
Amgen, Inc.
2.70%, 05/01/22 (a) 100,000 102,381
2.65%, 05/11/22 (a) 300,000 307,683
3.63%, 05/15/22 (a) 250,000 257,792
2.25%, 08/19/23 (a) 200,000 208,428
3.63%, 05/22/24 (a) 250,000 272,450
1.90%, 02/21/25 (a) 100,000 103,601
3.13%, 05/01/25 (a) 250,000 270,277
2.60%, 08/19/26 (a) 330,000 352,334
2.20%, 02/21/27 (a) 300,000 312,855
3.20%, 11/02/27 (a) 150,000 165,242
2.45%, 02/21/30 (a) 200,000 206,208
2.30%, 02/25/31 (a) 225,000 228,098
3.15%, 02/21/40 (a) 400,000 413,996
4.95%, 10/01/41 300,000 381,012
5.15%, 11/15/41 (a) 200,000 261,502
4.40%, 05/01/45 (a) 600,000 713,934
4.56%, 06/15/48 (a) 300,000 369,090
3.38%, 02/21/50 (a) 400,000 412,168
4.66%, 06/15/51 (a) 725,000 915,291
2.77%, 09/01/53 (a)(c) 269,000 248,895
Anheuser-Busch Cos., LLC/Anheuser-Busch InBev Worldwide, Inc.
3.65%, 02/01/26 (a) 750,000 832,725
4.70%, 02/01/36 (a) 1,055,000 1,267,952
4.90%, 02/01/46 (a) 2,000,000 2,412,540
Anheuser-Busch InBev Finance, Inc.
3.65%, 02/01/26 (a) 350,000 388,024
4.70%, 02/01/36 (a) 150,000 181,115
4.00%, 01/17/43 100,000 109,411
4.63%, 02/01/44 400,000 466,488
4.90%, 02/01/46 (a) 200,000 239,710
Anheuser-Busch InBev Worldwide, Inc.
4.15%, 01/23/25 (a) 800,000 893,912
4.00%, 04/13/28 (a) 450,000 511,650
4.75%, 01/23/29 (a) 800,000 947,256
3.50%, 06/01/30 (a) 300,000 331,980
4.90%, 01/23/31 (a) 250,000 306,082
4.38%, 04/15/38 (a) 250,000 291,355
8.20%, 01/15/39 250,000 410,040
5.45%, 01/23/39 (a) 300,000 386,508
8.00%, 11/15/39 150,000 244,416
4.35%, 06/01/40 (a) 450,000 525,046
4.95%, 01/15/42 200,000 248,658
3.75%, 07/15/42 100,000 106,319
4.60%, 04/15/48 (a) 600,000 698,538
4.44%, 10/06/48 (a) 400,000 455,692
5.55%, 01/23/49 (a) 800,000 1,044,096
4.50%, 06/01/50 (a) 400,000 463,628
4.75%, 04/15/58 (a) 150,000 179,054
5.80%, 01/23/59 (a) 300,000 415,095
4.60%, 06/01/60 (a) 400,000 462,560
Archer-Daniels-Midland Co.
2.75%, 03/27/25 (a) 200,000 214,604
2.50%, 08/11/26 (a) 200,000 213,936
3.25%, 03/27/30 (a) 200,000 222,370
4.54%, 03/26/42 100,000 127,601
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.75%, 09/15/47 (a) 200,000 233,748
4.50%, 03/15/49 (a) 100,000 131,795
Ascension Health
3.11%, 11/15/39 (a) 100,000 108,852
3.95%, 11/15/46 250,000 295,525
4.85%, 11/15/53 750,000 1,024,462
AstraZeneca PLC
2.38%, 06/12/22 (a) 100,000 102,416
3.50%, 08/17/23 (a) 100,000 107,186
3.38%, 11/16/25 450,000 495,549
0.70%, 04/08/26 (a) 300,000 292,011
3.13%, 06/12/27 (a) 250,000 274,405
4.00%, 01/17/29 (a) 250,000 287,515
1.38%, 08/06/30 (a) 250,000 235,605
6.45%, 09/15/37 430,000 634,013
4.00%, 09/18/42 250,000 288,912
4.38%, 11/16/45 100,000 122,031
4.38%, 08/17/48 (a) 150,000 182,856
2.13%, 08/06/50 (a) 250,000 211,548
Banner Health
2.34%, 01/01/30 (a) 150,000 154,559
1.90%, 01/01/31 (a) 100,000 99,133
Baptist Healthcare System Obligated Group
3.54%, 08/15/50 (a) 200,000 212,336
BAT Capital Corp.
2.76%, 08/15/22 (a) 200,000 206,188
3.22%, 08/15/24 (a) 400,000 429,896
2.79%, 09/06/24 (a) 150,000 159,662
3.22%, 09/06/26 (a) 300,000 322,449
4.70%, 04/02/27 (a) 150,000 171,950
3.56%, 08/15/27 (a) 800,000 869,632
2.26%, 03/25/28 (a) 350,000 350,164
3.46%, 09/06/29 (a) 100,000 106,867
4.91%, 04/02/30 (a) 225,000 261,288
2.73%, 03/25/31 (a) 250,000 247,580
4.39%, 08/15/37 (a) 250,000 267,422
3.73%, 09/25/40 (a) 350,000 340,487
4.54%, 08/15/47 (a) 500,000 513,780
4.76%, 09/06/49 (a) 150,000 157,992
5.28%, 04/02/50 (a) 100,000 113,343
3.98%, 09/25/50 (a) 350,000 333,326
BAT International Finance PLC
1.67%, 03/25/26 (a) 350,000 351,141
Baxalta, Inc.
4.00%, 06/23/25 (a) 150,000 167,025
5.25%, 06/23/45 (a) 99,000 129,542
Baxter International, Inc.
2.60%, 08/15/26 (a) 129,000 138,647
3.95%, 04/01/30 (a)(c) 125,000 144,001
1.73%, 04/01/31 (a)(c) 150,000 144,614
3.50%, 08/15/46 (a) 85,000 91,889
BayCare Health System, Inc.
3.83%, 11/15/50 (a) 100,000 118,012
Baylor Scott & White Holdings
1.78%, 11/15/30 (a) 100,000 98,804
4.19%, 11/15/45 (a) 100,000 120,212
2.84%, 11/15/50 (a) 200,000 192,462
Becton Dickinson & Co.
2.89%, 06/06/22 (a) 298,000 306,642
3.36%, 06/06/24 (a) 500,000 539,405
3.73%, 12/15/24 (a) 252,000 277,306
3.70%, 06/06/27 (a) 298,000 333,441
2.82%, 05/20/30 (a) 200,000 211,562
1.96%, 02/11/31 (a) 200,000 195,944
4.69%, 12/15/44 (a) 250,000 308,007
 
42
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.67%, 06/06/47 (a) 200,000 248,976
3.79%, 05/20/50 (a) 200,000 222,580
Biogen, Inc.
3.63%, 09/15/22 150,000 157,445
4.05%, 09/15/25 (a) 500,000 563,620
2.25%, 05/01/30 (a) 300,000 300,711
3.15%, 05/01/50 (a) 300,000 286,680
3.25%, 02/15/51 (a) 392,000 382,757
Bon Secours Mercy Health, Inc.
2.10%, 06/01/31 (a) 100,000 100,369
3.21%, 06/01/50 (a) 100,000 102,779
Boston Scientific Corp.
3.85%, 05/15/25 275,000 305,159
1.90%, 06/01/25 (a) 300,000 311,430
3.75%, 03/01/26 (a) 250,000 279,115
4.00%, 03/01/28 (a) 150,000 172,455
4.00%, 03/01/29 (a) 300,000 340,644
4.55%, 03/01/39 (a) 150,000 182,724
4.70%, 03/01/49 (a) 300,000 379,869
Bristol-Myers Squibb Co.
2.25%, 08/15/21 150,000 151,397
2.60%, 05/16/22 150,000 154,241
2.00%, 08/01/22 200,000 204,862
3.25%, 08/15/22 200,000 208,582
3.55%, 08/15/22 200,000 209,352
2.75%, 02/15/23 (a) 200,000 209,190
3.25%, 02/20/23 (a) 150,000 158,307
0.54%, 11/13/23 (a) 500,000 500,685
2.90%, 07/26/24 (a) 500,000 539,370
3.88%, 08/15/25 (a) 400,000 449,456
0.75%, 11/13/25 (a) 250,000 249,560
3.20%, 06/15/26 (a) 250,000 275,647
3.25%, 02/27/27 150,000 166,847
1.13%, 11/13/27 (a) 250,000 246,020
3.45%, 11/15/27 (a) 250,000 281,800
3.90%, 02/20/28 (a) 300,000 345,585
3.40%, 07/26/29 (a) 600,000 673,278
1.45%, 11/13/30 (a) 150,000 144,432
4.13%, 06/15/39 (a) 400,000 483,332
2.35%, 11/13/40 (a) 300,000 288,105
3.25%, 08/01/42 200,000 214,616
4.63%, 05/15/44 (a) 400,000 512,524
5.00%, 08/15/45 (a) 450,000 601,384
4.35%, 11/15/47 (a) 100,000 122,584
4.55%, 02/20/48 (a) 150,000 189,864
4.25%, 10/26/49 (a) 600,000 732,648
2.55%, 11/13/50 (a) 300,000 277,725
Brown-Forman Corp.
4.00%, 04/15/38 (a) 150,000 178,031
Bunge Ltd. Finance Corp.
3.00%, 09/25/22 (a) 100,000 103,542
1.63%, 08/17/25 (a) 200,000 202,540
3.25%, 08/15/26 (a) 250,000 271,095
3.75%, 09/25/27 (a) 250,000 280,350
Campbell Soup Co.
3.65%, 03/15/23 (a) 150,000 159,381
3.95%, 03/15/25 (a) 100,000 110,899
3.30%, 03/19/25 (a) 150,000 162,194
4.15%, 03/15/28 (a) 250,000 287,545
4.80%, 03/15/48 (a) 100,000 123,419
3.13%, 04/24/50 (a) 200,000 192,598
Cardinal Health, Inc.
2.62%, 06/15/22 (a) 300,000 307,842
3.20%, 03/15/23 150,000 158,048
3.08%, 06/15/24 (a) 350,000 374,031
3.75%, 09/15/25 (a) 130,000 144,031
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.41%, 06/15/27 (a) 250,000 275,002
4.50%, 11/15/44 (a) 100,000 110,955
4.90%, 09/15/45 (a) 180,000 209,464
4.37%, 06/15/47 (a) 100,000 110,825
Catholic Health Services of Long Island Obligated Group
3.37%, 07/01/50 (a) 150,000 144,042
Children's Health System of Texas
2.51%, 08/15/50 (a) 250,000 230,235
Children's Hospital
2.93%, 07/15/50 (a) 100,000 95,427
Children's Hospital Medical Center
4.27%, 05/15/44 100,000 121,274
Church & Dwight Co., Inc.
3.15%, 08/01/27 (a) 100,000 109,976
3.95%, 08/01/47 (a) 100,000 115,251
Cigna Corp.
3.05%, 11/30/22 (a) 200,000 208,686
3.00%, 07/15/23 (a) 150,000 158,460
3.75%, 07/15/23 (a) 500,000 538,135
3.50%, 06/15/24 (a) 145,000 157,366
3.25%, 04/15/25 (a) 200,000 216,794
4.13%, 11/15/25 (a) 450,000 506,893
4.50%, 02/25/26 (a) 194,000 223,185
3.40%, 03/01/27 (a) 142,000 157,161
3.05%, 10/15/27 (a) 145,000 158,468
4.38%, 10/15/28 (a) 760,000 887,353
2.40%, 03/15/30 (a) 400,000 406,912
4.80%, 08/15/38 (a) 380,000 472,158
3.20%, 03/15/40 (a) 250,000 259,212
6.13%, 11/15/41 100,000 142,331
4.80%, 07/15/46 (a) 320,000 400,838
3.88%, 10/15/47 (a) 145,000 159,471
4.90%, 12/15/48 (a) 700,000 886,536
3.40%, 03/15/50 (a) 250,000 255,680
City of Hope
5.62%, 11/15/43 100,000 141,356
Coca-Cola Consolidated, Inc.
3.80%, 11/25/25 (a) 100,000 110,568
Coca-Cola Femsa S.A.B. de CV
2.75%, 01/22/30 (a) 200,000 206,236
1.85%, 09/01/32 (a) 250,000 240,850
5.25%, 11/26/43 150,000 198,278
Colgate-Palmolive Co.
2.25%, 11/15/22 100,000 103,451
1.95%, 02/01/23 100,000 103,261
2.10%, 05/01/23 150,000 155,993
3.25%, 03/15/24 100,000 108,755
4.00%, 08/15/45 100,000 124,679
3.70%, 08/01/47 (a) 100,000 120,465
CommonSpirit Health
2.95%, 11/01/22 100,000 104,093
2.76%, 10/01/24 (a) 100,000 106,559
1.55%, 10/01/25 (a) 325,000 329,462
3.35%, 10/01/29 (a) 150,000 162,656
4.35%, 11/01/42 150,000 169,962
4.19%, 10/01/49 (a) 350,000 389,326
Community Health Network, Inc.
3.10%, 05/01/50 (a) 150,000 147,809
Conagra Brands, Inc.
3.20%, 01/25/23 (a) 104,000 108,785
4.30%, 05/01/24 (a) 300,000 332,364
4.60%, 11/01/25 (a) 150,000 172,212
1.38%, 11/01/27 (a) 250,000 244,982
4.85%, 11/01/28 (a) 250,000 299,090
 
43
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
5.30%, 11/01/38 (a) 400,000 511,260
5.40%, 11/01/48 (a) 250,000 330,900
Constellation Brands, Inc.
3.20%, 02/15/23 (a) 400,000 419,740
4.40%, 11/15/25 (a) 100,000 114,380
4.75%, 12/01/25 100,000 116,157
3.70%, 12/06/26 (a) 250,000 280,212
3.50%, 05/09/27 (a) 100,000 111,241
3.15%, 08/01/29 (a) 50,000 53,672
2.88%, 05/01/30 (a) 400,000 421,528
4.50%, 05/09/47 (a) 150,000 178,730
5.25%, 11/15/48 (a) 150,000 198,920
3.75%, 05/01/50 (a) 200,000 218,226
Cottage Health Obligated Group
3.30%, 11/01/49 (a) 100,000 102,714
CVS Health Corp.
3.50%, 07/20/22 (a) 300,000 311,424
2.75%, 12/01/22 (a) 250,000 258,970
3.70%, 03/09/23 (a) 550,000 585,216
3.38%, 08/12/24 (a) 380,000 411,768
2.63%, 08/15/24 (a) 150,000 159,492
4.10%, 03/25/25 (a) 300,000 335,253
3.88%, 07/20/25 (a) 500,000 556,690
2.88%, 06/01/26 (a) 200,000 215,382
3.00%, 08/15/26 (a) 200,000 217,024
3.63%, 04/01/27 (a) 150,000 166,949
1.30%, 08/21/27 (a) 400,000 391,668
4.30%, 03/25/28 (a) 1,750,000 2,017,137
3.25%, 08/15/29 (a) 300,000 325,992
3.75%, 04/01/30 (a) 300,000 336,096
1.75%, 08/21/30 (a) 400,000 384,064
4.88%, 07/20/35 (a) 350,000 432,026
4.78%, 03/25/38 (a) 1,000,000 1,222,200
4.13%, 04/01/40 (a) 300,000 342,036
2.70%, 08/21/40 (a) 400,000 380,868
5.30%, 12/05/43 (a) 250,000 322,477
5.13%, 07/20/45 (a) 600,000 760,158
5.05%, 03/25/48 (a) 1,550,000 1,963,617
4.25%, 04/01/50 (a) 200,000 232,852
Danaher Corp.
3.35%, 09/15/25 (a) 50,000 55,034
4.38%, 09/15/45 (a) 100,000 119,705
2.60%, 10/01/50 (a) 250,000 230,077
DENTSPLY SIRONA, Inc.
3.25%, 06/01/30 (a) 250,000 267,790
DH Europe Finance II Sarl
2.05%, 11/15/22 100,000 102,910
2.20%, 11/15/24 (a) 100,000 105,435
2.60%, 11/15/29 (a) 100,000 104,638
3.25%, 11/15/39 (a) 250,000 262,055
3.40%, 11/15/49 (a) 250,000 260,062
Diageo Capital PLC
2.63%, 04/29/23 (a) 50,000 52,182
1.38%, 09/29/25 (a) 400,000 406,996
3.88%, 05/18/28 (a) 200,000 229,726
2.38%, 10/24/29 (a) 200,000 208,366
2.00%, 04/29/30 (a) 250,000 251,577
2.13%, 04/29/32 (a) 200,000 201,774
3.88%, 04/29/43 (a) 100,000 117,080
Diageo Investment Corp.
2.88%, 05/11/22 250,000 257,685
8.00%, 09/15/22 150,000 167,462
4.25%, 05/11/42 150,000 182,088
Dignity Health
4.50%, 11/01/42 50,000 54,748
5.27%, 11/01/64 100,000 127,785
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Duke University Health System, Inc.
3.92%, 06/01/47 (a) 100,000 118,241
Edwards Lifesciences Corp.
4.30%, 06/15/28 (a) 100,000 114,970
Eli Lilly & Co.
2.35%, 05/15/22 100,000 102,559
2.75%, 06/01/25 (a) 100,000 107,394
3.10%, 05/15/27 (a) 100,000 110,674
3.38%, 03/15/29 (a) 350,000 392,315
3.88%, 03/15/39 (a) 100,000 118,591
3.70%, 03/01/45 (a) 100,000 113,421
3.95%, 05/15/47 (a) 100,000 117,946
3.95%, 03/15/49 (a) 200,000 237,580
2.25%, 05/15/50 (a) 350,000 308,892
4.15%, 03/15/59 (a) 200,000 247,950
2.50%, 09/15/60 (a) 250,000 223,287
Fomento Economico Mexicano S.A.B. de CV
4.38%, 05/10/43 200,000 237,084
3.50%, 01/16/50 (a) 500,000 516,210
General Mills, Inc.
2.60%, 10/12/22 (a) 500,000 517,050
4.00%, 04/17/25 (a) 300,000 334,410
4.20%, 04/17/28 (a) 375,000 434,602
2.88%, 04/15/30 (a) 150,000 159,005
3.00%, 02/01/51 (a)(c) 300,000 293,739
Gilead Sciences, Inc.
1.95%, 03/01/22 (a) 100,000 101,676
3.25%, 09/01/22 (a) 400,000 415,332
2.50%, 09/01/23 (a) 200,000 209,630
0.75%, 09/29/23 (a) 500,000 500,975
3.50%, 02/01/25 (a) 500,000 545,180
3.65%, 03/01/26 (a) 450,000 499,959
2.95%, 03/01/27 (a) 200,000 217,082
4.60%, 09/01/35 (a) 500,000 612,400
4.00%, 09/01/36 (a) 100,000 115,614
5.65%, 12/01/41 (a) 674,000 925,894
4.80%, 04/01/44 (a) 300,000 373,146
4.50%, 02/01/45 (a) 350,000 418,719
4.75%, 03/01/46 (a) 470,000 581,014
4.15%, 03/01/47 (a) 150,000 171,866
2.80%, 10/01/50 (a) 250,000 231,217
GlaxoSmithKline Capital PLC
2.85%, 05/08/22 150,000 154,605
2.88%, 06/01/22 (a) 300,000 309,162
0.53%, 10/01/23 (a) 650,000 652,060
3.00%, 06/01/24 (a) 300,000 322,206
3.38%, 06/01/29 (a) 300,000 337,401
GlaxoSmithKline Capital, Inc.
2.80%, 03/18/23 250,000 262,470
3.38%, 05/15/23 200,000 213,292
3.63%, 05/15/25 300,000 332,982
3.88%, 05/15/28 400,000 463,284
6.38%, 05/15/38 413,000 626,587
4.20%, 03/18/43 100,000 122,830
Hackensack Meridian Health, Inc.
2.68%, 09/01/41 (a) 250,000 246,955
2.88%, 09/01/50 (a) 100,000 98,094
4.50%, 07/01/57 (a) 50,000 63,941
Hartford HealthCare Corp.
3.45%, 07/01/54 75,000 76,535
Hasbro, Inc.
2.60%, 11/19/22 150,000 155,249
3.00%, 11/19/24 (a) 100,000 107,367
3.55%, 11/19/26 (a) 150,000 164,300
3.90%, 11/19/29 (a) 100,000 110,220
 
44
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
6.35%, 03/15/40 200,000 262,710
5.10%, 05/15/44 (a) 150,000 172,733
HCA, Inc.
4.75%, 05/01/23 150,000 162,707
5.00%, 03/15/24 600,000 672,456
5.25%, 04/15/25 300,000 346,185
5.25%, 06/15/26 (a) 350,000 410,042
4.50%, 02/15/27 (a) 200,000 228,666
4.13%, 06/15/29 (a) 350,000 395,685
5.13%, 06/15/39 (a) 150,000 186,078
5.50%, 06/15/47 (a) 450,000 577,498
5.25%, 06/15/49 (a) 350,000 440,496
Indiana University Health, Inc. Obligated Group
3.97%, 11/01/48 (a) 55,000 64,169
Ingredion, Inc.
2.90%, 06/01/30 (a) 250,000 263,787
3.90%, 06/01/50 (a) 100,000 111,501
Integris Baptist Medical Center, Inc.
3.88%, 08/15/50 (a) 150,000 167,552
Johnson & Johnson
2.25%, 03/03/22 (a) 150,000 152,849
2.05%, 03/01/23 (a) 300,000 310,272
3.38%, 12/05/23 400,000 434,924
2.63%, 01/15/25 (a) 100,000 106,825
0.55%, 09/01/25 (a) 500,000 494,885
2.45%, 03/01/26 (a) 100,000 107,334
2.95%, 03/03/27 (a) 100,000 110,434
0.95%, 09/01/27 (a) 400,000 394,180
2.90%, 01/15/28 (a) 200,000 219,970
1.30%, 09/01/30 (a) 400,000 384,764
4.38%, 12/05/33 (a) 150,000 187,565
3.55%, 03/01/36 (a) 100,000 117,054
3.63%, 03/03/37 (a) 950,000 1,111,585
3.40%, 01/15/38 (a) 150,000 168,971
2.10%, 09/01/40 (a) 350,000 329,042
4.50%, 09/01/40 150,000 191,591
3.70%, 03/01/46 (a) 530,000 615,378
3.75%, 03/03/47 (a) 200,000 234,582
3.50%, 01/15/48 (a) 150,000 169,983
2.25%, 09/01/50 (a) 350,000 318,699
2.45%, 09/01/60 (a) 250,000 227,957
Kaiser Foundation Hospitals
3.15%, 05/01/27 (a) 400,000 443,980
4.15%, 05/01/47 (a) 250,000 308,232
3.27%, 11/01/49 (a) 150,000 160,877
Kellogg Co.
2.65%, 12/01/23 300,000 317,718
3.40%, 11/15/27 (a) 100,000 111,742
4.30%, 05/15/28 (a) 100,000 116,201
2.10%, 06/01/30 (a) 250,000 250,630
7.45%, 04/01/31 100,000 147,043
4.50%, 04/01/46 100,000 121,928
Keurig Dr Pepper, Inc.
4.06%, 05/25/23 (a) 350,000 376,876
3.13%, 12/15/23 (a) 250,000 267,260
4.42%, 05/25/25 (a) 250,000 283,232
2.55%, 09/15/26 (a) 100,000 106,714
4.60%, 05/25/28 (a) 550,000 649,555
4.99%, 05/25/38 (a) 200,000 255,694
4.50%, 11/15/45 (a) 250,000 298,897
3.80%, 05/01/50 (a) 150,000 164,525
Kimberly-Clark Corp.
2.75%, 02/15/26 150,000 162,831
1.05%, 09/15/27 (a) 250,000 246,607
3.95%, 11/01/28 (a) 200,000 232,376
3.20%, 04/25/29 (a) 100,000 110,623
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.10%, 03/26/30 (a) 250,000 275,412
3.20%, 07/30/46 (a) 200,000 215,844
3.90%, 05/04/47 (a) 200,000 240,284
2.88%, 02/07/50 (a) 100,000 102,141
Koninklijke Ahold Delhaize N.V.
5.70%, 10/01/40 38,000 51,971
Koninklijke Philips N.V.
5.00%, 03/15/42 195,000 254,625
Laboratory Corp. of America Holdings
4.00%, 11/01/23 (a) 200,000 216,656
3.25%, 09/01/24 (a) 100,000 108,257
2.30%, 12/01/24 (a) 100,000 105,715
3.60%, 02/01/25 (a) 150,000 163,898
3.60%, 09/01/27 (a) 150,000 168,636
2.95%, 12/01/29 (a) 100,000 107,287
4.70%, 02/01/45 (a) 150,000 184,622
Mass General Brigham, Inc.
3.77%, 07/01/48 (a) 100,000 113,815
4.12%, 07/01/55 100,000 119,194
3.34%, 07/01/60 (a) 100,000 103,573
Mayo Clinic
4.00%, 11/15/47 150,000 179,984
McCormick & Co., Inc.
3.15%, 08/15/24 (a) 150,000 161,915
0.90%, 02/15/26 (a) 200,000 196,870
3.40%, 08/15/27 (a) 150,000 166,872
1.85%, 02/15/31 (a) 100,000 97,321
4.20%, 08/15/47 (a) 150,000 178,230
McKesson Corp.
2.70%, 12/15/22 (a) 100,000 103,522
2.85%, 03/15/23 (a) 100,000 104,261
3.80%, 03/15/24 (a) 100,000 108,867
0.90%, 12/03/25 (a) 200,000 197,060
3.95%, 02/16/28 (a) 100,000 113,885
4.75%, 05/30/29 (a) 100,000 118,992
4.88%, 03/15/44 (a) 100,000 122,089
McLaren Health Care Corp.
4.39%, 05/15/48 (a) 100,000 122,147
Mead Johnson Nutrition Co.
4.13%, 11/15/25 (a) 150,000 169,529
5.90%, 11/01/39 150,000 212,280
Medtronic Global Holdings SCA
3.35%, 04/01/27 (a) 150,000 167,921
Medtronic, Inc.
3.50%, 03/15/25 350,000 385,679
4.38%, 03/15/35 400,000 502,724
4.63%, 03/15/45 475,000 624,074
Memorial Sloan-Kettering Cancer Center
5.00%, 07/01/42 100,000 133,582
4.20%, 07/01/55 100,000 126,885
Merck & Co., Inc.
2.35%, 02/10/22 450,000 459,126
2.40%, 09/15/22 (a) 150,000 154,173
2.80%, 05/18/23 250,000 263,877
2.90%, 03/07/24 (a) 150,000 160,706
2.75%, 02/10/25 (a) 480,000 514,258
0.75%, 02/24/26 (a) 250,000 247,547
3.40%, 03/07/29 (a) 250,000 280,952
1.45%, 06/24/30 (a) 250,000 241,980
3.90%, 03/07/39 (a) 450,000 531,270
2.35%, 06/24/40 (a) 250,000 240,200
3.60%, 09/15/42 (a) 100,000 113,634
4.15%, 05/18/43 200,000 243,490
3.70%, 02/10/45 (a) 550,000 623,221
 
45
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.00%, 03/07/49 (a) 300,000 358,503
2.45%, 06/24/50 (a) 250,000 228,475
Molson Coors Beverage Co.
2.10%, 07/15/21 (a) 168,000 168,832
3.50%, 05/01/22 195,000 201,819
3.00%, 07/15/26 (a) 350,000 377,422
5.00%, 05/01/42 250,000 299,802
4.20%, 07/15/46 (a) 330,000 354,674
Mondelez International, Inc.
0.63%, 07/01/22 200,000 200,834
2.13%, 04/13/23 (a) 100,000 103,478
1.50%, 05/04/25 (a) 175,000 178,733
3.63%, 02/13/26 (a) 200,000 223,470
2.75%, 04/13/30 (a) 300,000 314,805
1.50%, 02/04/31 (a) 250,000 235,150
1.88%, 10/15/32 (a) 250,000 240,682
2.63%, 09/04/50 (a) 400,000 360,868
Montefiore Obligated Group
4.29%, 09/01/50 100,000 106,754
Mount Sinai Hospitals Group, Inc.
3.74%, 07/01/49 (a) 100,000 107,917
3.39%, 07/01/50 (a) 250,000 251,985
MultiCare Health System
2.80%, 08/15/50 (a) 100,000 95,850
Mylan, Inc.
4.20%, 11/29/23 (a) 230,000 250,031
4.55%, 04/15/28 (a) 400,000 462,452
5.40%, 11/29/43 (a) 100,000 124,693
5.20%, 04/15/48 (a) 100,000 119,253
Northwell Healthcare, Inc.
3.98%, 11/01/46 (a) 45,000 49,181
4.26%, 11/01/47 (a) 150,000 171,305
3.81%, 11/01/49 (a) 100,000 107,424
Novartis Capital Corp.
2.40%, 09/21/22 200,000 206,666
3.40%, 05/06/24 350,000 381,892
1.75%, 02/14/25 (a) 650,000 673,166
3.00%, 11/20/25 (a) 250,000 272,385
2.00%, 02/14/27 (a) 200,000 208,840
3.10%, 05/17/27 (a) 550,000 607,722
2.20%, 08/14/30 (a) 250,000 258,365
3.70%, 09/21/42 100,000 115,989
4.40%, 05/06/44 350,000 443,761
4.00%, 11/20/45 (a) 300,000 361,518
2.75%, 08/14/50 (a) 200,000 198,342
NY Society for Relief of Ruptured & Crippled Maintaining Hosp Special Surgery
2.67%, 10/01/50 (a) 150,000 141,500
NYU Langone Hospitals
4.78%, 07/01/44 100,000 123,901
4.37%, 07/01/47 (a) 100,000 117,504
3.38%, 07/01/55 (a) 150,000 151,524
Orlando Health Obligated Group
4.09%, 10/01/48 (a) 50,000 58,705
3.33%, 10/01/50 (a) 100,000 103,700
PeaceHealth Obligated Group
1.38%, 11/15/25 (a) 200,000 202,254
4.79%, 11/15/48 (a) 100,000 130,617
3.22%, 11/15/50 (a) 150,000 151,919
PepsiCo, Inc.
2.75%, 03/05/22 250,000 256,415
2.75%, 03/01/23 200,000 210,090
0.75%, 05/01/23 150,000 151,638
0.40%, 10/07/23 250,000 251,057
3.60%, 03/01/24 (a) 300,000 327,177
2.25%, 03/19/25 (a) 500,000 527,950
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.75%, 04/30/25 (a) 150,000 161,193
3.50%, 07/17/25 (a) 150,000 165,948
2.85%, 02/24/26 (a) 250,000 271,382
2.38%, 10/06/26 (a) 250,000 266,752
2.63%, 03/19/27 (a) 150,000 161,964
3.00%, 10/15/27 (a) 250,000 275,297
2.63%, 07/29/29 (a) 350,000 373,537
2.75%, 03/19/30 (a) 350,000 375,116
1.63%, 05/01/30 (a) 200,000 196,494
1.40%, 02/25/31 (a) 300,000 287,550
3.50%, 03/19/40 (a) 350,000 393,956
3.60%, 08/13/42 150,000 169,530
4.60%, 07/17/45 (a) 300,000 384,897
4.45%, 04/14/46 (a) 300,000 379,176
3.45%, 10/06/46 (a) 300,000 330,177
4.00%, 05/02/47 (a) 100,000 119,282
3.38%, 07/29/49 (a) 150,000 162,872
2.88%, 10/15/49 (a) 150,000 150,071
3.63%, 03/19/50 (a) 300,000 340,653
3.88%, 03/19/60 (a) 200,000 239,566
PerkinElmer, Inc.
3.30%, 09/15/29 (a) 150,000 161,595
Perrigo Finance Unlimited Co.
3.90%, 12/15/24 (a) 91,000 99,680
4.38%, 03/15/26 (a) 200,000 225,124
3.15%, 06/15/30 (a) 250,000 257,592
Pfizer, Inc.
2.80%, 03/11/22 100,000 102,719
3.00%, 06/15/23 500,000 530,440
3.20%, 09/15/23 (a) 200,000 213,978
2.95%, 03/15/24 (a) 350,000 375,539
0.80%, 05/28/25 (a) 250,000 250,217
2.75%, 06/03/26 200,000 217,142
3.00%, 12/15/26 450,000 499,185
3.60%, 09/15/28 (a) 200,000 227,146
3.45%, 03/15/29 (a) 300,000 337,068
2.63%, 04/01/30 (a) 300,000 318,711
1.70%, 05/28/30 (a) 200,000 197,544
4.00%, 12/15/36 150,000 178,773
4.10%, 09/15/38 (a) 150,000 180,249
3.90%, 03/15/39 (a) 200,000 235,414
7.20%, 03/15/39 460,000 743,015
2.55%, 05/28/40 (a) 200,000 198,226
4.30%, 06/15/43 200,000 243,734
4.40%, 05/15/44 180,000 224,284
4.13%, 12/15/46 250,000 300,180
4.20%, 09/15/48 (a) 250,000 306,117
4.00%, 03/15/49 (a) 350,000 415,149
2.70%, 05/28/50 (a) 250,000 239,105
Philip Morris International, Inc.
2.38%, 08/17/22 (a) 250,000 257,142
2.50%, 08/22/22 400,000 413,012
1.13%, 05/01/23 200,000 203,404
2.13%, 05/10/23 (a) 150,000 155,375
3.60%, 11/15/23 100,000 108,644
2.88%, 05/01/24 (a) 150,000 160,340
3.25%, 11/10/24 230,000 250,987
1.50%, 05/01/25 (a) 175,000 178,778
3.38%, 08/11/25 (a) 330,000 361,710
0.88%, 05/01/26 (a) 250,000 246,370
3.13%, 03/02/28 (a) 150,000 164,121
3.38%, 08/15/29 (a) 150,000 165,669
2.10%, 05/01/30 (a) 200,000 199,666
6.38%, 05/16/38 100,000 143,803
4.38%, 11/15/41 200,000 234,894
4.50%, 03/20/42 250,000 296,805
3.88%, 08/21/42 100,000 109,441
 
46
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.13%, 03/04/43 350,000 395,356
4.88%, 11/15/43 100,000 124,807
4.25%, 11/10/44 200,000 230,732
Providence St Joseph Health Obligated Group
2.53%, 10/01/29 (a) 200,000 209,206
3.93%, 10/01/48 (a) 100,000 112,787
Quest Diagnostics, Inc.
3.50%, 03/30/25 (a) 150,000 164,355
3.45%, 06/01/26 (a) 150,000 165,603
4.20%, 06/30/29 (a) 100,000 116,970
2.95%, 06/30/30 (a) 150,000 160,289
2.80%, 06/30/31 (a) 200,000 210,874
Regeneron Pharmaceuticals, Inc.
1.75%, 09/15/30 (a) 300,000 285,054
2.80%, 09/15/50 (a) 250,000 224,480
Reynolds American, Inc.
4.85%, 09/15/23 150,000 166,040
4.45%, 06/12/25 (a) 495,000 553,039
5.70%, 08/15/35 (a) 150,000 181,911
7.25%, 06/15/37 250,000 331,697
6.15%, 09/15/43 100,000 124,933
5.85%, 08/15/45 (a) 350,000 418,362
Royalty Pharma PLC
0.75%, 09/02/23 (c) 350,000 351,232
1.20%, 09/02/25 (a)(c) 350,000 348,607
1.75%, 09/02/27 (a)(c) 300,000 300,777
2.20%, 09/02/30 (a)(c) 300,000 295,947
3.30%, 09/02/40 (a)(c) 300,000 303,570
3.55%, 09/02/50 (a)(c) 300,000 295,947
Rush Obligated Group
3.92%, 11/15/29 (a) 100,000 114,747
RWJ Barnabas Health, Inc.
3.95%, 07/01/46 (a) 40,000 44,857
Sanofi
3.38%, 06/19/23 (a) 150,000 160,214
3.63%, 06/19/28 (a) 250,000 283,095
Sharp HealthCare
2.68%, 08/01/50 (a) 150,000 142,293
Shire Acquisitions Investments Ireland DAC
2.88%, 09/23/23 (a) 525,000 554,321
3.20%, 09/23/26 (a) 635,000 693,122
Smith & Nephew PLC
2.03%, 10/14/30 (a) 250,000 244,137
Spectrum Health System Obligated Group
3.49%, 07/15/49 (a) 50,000 53,562
Stanford Health Care
3.31%, 08/15/30 (a) 100,000 112,052
3.80%, 11/15/48 (a) 100,000 117,493
Stryker Corp.
0.60%, 12/01/23 (a) 200,000 200,488
1.15%, 06/15/25 (a) 200,000 200,942
3.38%, 11/01/25 (a) 150,000 164,573
3.50%, 03/15/26 (a) 150,000 166,397
3.65%, 03/07/28 (a) 150,000 169,221
1.95%, 06/15/30 (a) 250,000 247,655
4.38%, 05/15/44 (a) 100,000 122,030
4.63%, 03/15/46 (a) 250,000 316,740
2.90%, 06/15/50 (a) 200,000 196,518
Sutter Health
1.32%, 08/15/25 (a) 300,000 302,898
2.29%, 08/15/30 (a) 100,000 101,774
3.16%, 08/15/40 (a) 100,000 103,425
4.09%, 08/15/48 (a) 65,000 76,415
3.36%, 08/15/50 (a) 200,000 207,690
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Sysco Corp.
2.50%, 07/15/21 (a) 150,000 150,957
2.60%, 06/12/22 100,000 102,786
3.55%, 03/15/25 (a) 100,000 109,334
5.65%, 04/01/25 (a) 100,000 117,487
3.75%, 10/01/25 (a) 100,000 110,604
3.30%, 07/15/26 (a) 150,000 164,192
3.25%, 07/15/27 (a) 150,000 164,651
2.40%, 02/15/30 (a) 200,000 203,584
5.95%, 04/01/30 (a) 300,000 386,178
6.60%, 04/01/40 (a) 150,000 214,713
4.85%, 10/01/45 (a) 100,000 120,355
4.50%, 04/01/46 (a) 150,000 173,082
4.45%, 03/15/48 (a) 100,000 115,274
3.30%, 02/15/50 (a) 100,000 98,454
6.60%, 04/01/50 (a) 250,000 371,410
Takeda Pharmaceutical Co., Ltd.
4.40%, 11/26/23 (a) 200,000 220,424
5.00%, 11/26/28 (a) 250,000 302,785
2.05%, 03/31/30 (a) 500,000 492,695
3.03%, 07/09/40 (a) 200,000 201,654
3.18%, 07/09/50 (a) 450,000 440,334
3.38%, 07/09/60 (a) 200,000 200,556
Texas Health Resources
2.33%, 11/15/50 (a) 250,000 220,278
The Children's Hospital Corp.
4.12%, 01/01/47 (a) 100,000 122,155
2.59%, 02/01/50 (a) 80,000 76,010
The Children's Hospital of Philadelphia
2.70%, 07/01/50 (a) 250,000 241,322
The Cleveland Clinic Foundation
4.86%, 01/01/14 100,000 131,303
The Clorox Co.
3.50%, 12/15/24 (a) 250,000 275,625
3.10%, 10/01/27 (a) 150,000 165,590
3.90%, 05/15/28 (a) 100,000 114,336
The Coca-Cola Co.
3.20%, 11/01/23 250,000 269,445
1.75%, 09/06/24 200,000 208,760
2.95%, 03/25/25 150,000 162,491
2.88%, 10/27/25 350,000 381,528
2.25%, 09/01/26 562,000 598,721
3.38%, 03/25/27 300,000 336,003
1.45%, 06/01/27 200,000 201,386
1.00%, 03/15/28 350,000 338,390
2.13%, 09/06/29 150,000 153,938
3.45%, 03/25/30 200,000 225,858
1.65%, 06/01/30 300,000 294,657
1.38%, 03/15/31 350,000 333,889
2.50%, 06/01/40 200,000 195,424
4.20%, 03/25/50 150,000 186,617
2.60%, 06/01/50 350,000 332,104
2.50%, 03/15/51 300,000 277,782
2.75%, 06/01/60 200,000 191,478
The Estee Lauder Cos., Inc.
2.00%, 12/01/24 (a) 200,000 210,344
2.38%, 12/01/29 (a) 100,000 104,394
2.60%, 04/15/30 (a) 150,000 159,203
6.00%, 05/15/37 90,000 126,799
4.15%, 03/15/47 (a) 100,000 122,333
3.13%, 12/01/49 (a) 150,000 158,606
The Hershey Co.
3.38%, 05/15/23 (a) 100,000 106,501
2.05%, 11/15/24 (a) 100,000 105,445
0.90%, 06/01/25 (a) 150,000 150,273
2.45%, 11/15/29 (a) 100,000 104,876
 
47
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.13%, 11/15/49 (a) 100,000 104,953
2.65%, 06/01/50 (a) 200,000 191,584
The JM Smucker Co.
3.50%, 03/15/25 487,000 533,241
2.38%, 03/15/30 (a) 100,000 101,975
4.38%, 03/15/45 100,000 117,554
3.55%, 03/15/50 (a) 100,000 105,128
The Johns Hopkins Health System Corp.
3.84%, 05/15/46 150,000 177,657
The Kroger Co.
2.95%, 11/01/21 (a) 250,000 253,885
2.80%, 08/01/22 (a) 150,000 154,817
2.65%, 10/15/26 (a) 150,000 160,767
4.50%, 01/15/29 (a) 200,000 237,904
2.20%, 05/01/30 (a) 400,000 404,612
1.70%, 01/15/31 (a) 100,000 96,319
5.40%, 07/15/40 (a) 200,000 259,044
5.00%, 04/15/42 (a) 100,000 126,308
3.88%, 10/15/46 (a) 100,000 109,378
4.45%, 02/01/47 (a) 350,000 412,688
4.65%, 01/15/48 (a) 150,000 182,097
3.95%, 01/15/50 (a) 150,000 167,328
The Methodist Hospital
2.71%, 12/01/50 (a) 250,000 239,870
The New York & Presbyterian Hospital
2.26%, 08/01/40 (a) 250,000 234,920
4.02%, 08/01/45 150,000 178,689
2.61%, 08/01/60 (a) 100,000 90,661
3.95%, 08/01/19 (a) 100,000 109,787
The Procter & Gamble Co.
2.15%, 08/11/22 150,000 154,221
3.10%, 08/15/23 150,000 160,668
0.55%, 10/29/25 325,000 321,899
2.70%, 02/02/26 150,000 162,795
2.45%, 11/03/26 241,000 258,444
2.80%, 03/25/27 200,000 218,156
2.85%, 08/11/27 150,000 165,162
3.00%, 03/25/30 200,000 220,348
1.20%, 10/29/30 150,000 143,147
3.55%, 03/25/40 300,000 346,608
3.50%, 10/25/47 200,000 236,720
3.60%, 03/25/50 175,000 212,069
The Toledo Hospital
5.33%, 11/15/28 150,000 177,645
6.02%, 11/15/48 50,000 63,761
Thermo Fisher Scientific, Inc.
4.13%, 03/25/25 (a) 150,000 168,011
2.95%, 09/19/26 (a) 400,000 433,568
3.20%, 08/15/27 (a) 100,000 110,022
2.60%, 10/01/29 (a) 150,000 157,766
4.50%, 03/25/30 (a) 250,000 298,070
5.30%, 02/01/44 (a) 145,000 201,508
4.10%, 08/15/47 (a) 150,000 179,390
Trinity Health Corp.
4.13%, 12/01/45 100,000 117,780
Tyson Foods, Inc.
4.50%, 06/15/22 (a) 250,000 260,490
3.90%, 09/28/23 (a) 150,000 162,906
3.95%, 08/15/24 (a) 300,000 330,882
4.00%, 03/01/26 (a) 100,000 112,564
3.55%, 06/02/27 (a) 350,000 387,705
4.35%, 03/01/29 (a) 150,000 175,526
4.88%, 08/15/34 (a) 150,000 188,421
5.15%, 08/15/44 (a) 150,000 194,561
4.55%, 06/02/47 (a) 100,000 122,247
5.10%, 09/28/48 (a) 200,000 263,444
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Unilever Capital Corp.
3.00%, 03/07/22 250,000 257,055
2.20%, 05/05/22 (a) 200,000 204,322
0.38%, 09/14/23 250,000 251,177
2.60%, 05/05/24 (a) 200,000 212,724
3.38%, 03/22/25 (a) 100,000 109,656
2.00%, 07/28/26 500,000 523,130
2.90%, 05/05/27 (a) 250,000 272,655
3.50%, 03/22/28 (a) 250,000 282,540
2.13%, 09/06/29 (a) 150,000 154,499
1.38%, 09/14/30 (a) 250,000 241,272
Universal Health Services, Inc.
2.65%, 10/15/30 (a)(c) 225,000 223,828
Upjohn, Inc.
1.65%, 06/22/25 (a)(c) 150,000 152,465
Utah Acquisition Sub, Inc.
3.95%, 06/15/26 (a) 300,000 335,463
5.25%, 06/15/46 (a) 200,000 241,770
Viatris, Inc.
2.30%, 06/22/27 (a)(c) 250,000 257,515
2.70%, 06/22/30 (a)(c) 300,000 304,440
3.85%, 06/22/40 (a)(c) 300,000 318,351
4.00%, 06/22/50 (a)(c) 400,000 416,848
West Virginia United Health System Obligated Group
3.13%, 06/01/50 (a) 100,000 97,677
Whirlpool Corp.
4.85%, 06/15/21 150,000 151,923
3.70%, 05/01/25 100,000 110,370
4.75%, 02/26/29 (a) 100,000 118,637
4.50%, 06/01/46 (a) 100,000 116,923
4.60%, 05/15/50 (a) 100,000 119,955
Wyeth LLC
6.50%, 02/01/34 150,000 220,990
6.00%, 02/15/36 100,000 142,663
5.95%, 04/01/37 500,000 715,905
Yale-New Haven Health Services Corp.
2.50%, 07/01/50 (a) 150,000 135,752
Zimmer Biomet Holdings, Inc.
3.70%, 03/19/23 (a) 250,000 265,300
3.55%, 04/01/25 (a) 350,000 381,857
3.05%, 01/15/26 (a) 100,000 108,482
3.55%, 03/20/30 (a) 100,000 110,019
4.45%, 08/15/45 (a) 150,000 170,075
Zoetis, Inc.
3.25%, 02/01/23 (a) 70,000 73,271
3.00%, 09/12/27 (a) 200,000 218,512
3.90%, 08/20/28 (a) 200,000 226,972
2.00%, 05/15/30 (a) 250,000 247,092
4.70%, 02/01/43 (a) 195,000 247,369
4.45%, 08/20/48 (a) 100,000 122,819
3.00%, 05/15/50 (a) 200,000 199,430
    223,016,279
Energy 2.2%
Baker Hughes a GE Co., LLC/Baker Hughes Co-Obligor, Inc.
2.77%, 12/15/22 (a) 200,000 208,334
3.34%, 12/15/27 (a) 200,000 220,696
3.14%, 11/07/29 (a) 100,000 108,078
4.49%, 05/01/30 (a) 200,000 235,702
4.08%, 12/15/47 (a) 300,000 329,958
Baker Hughes Holdings LLC
5.13%, 09/15/40 350,000 443,835
 
48
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Boardwalk Pipelines LP
4.95%, 12/15/24 (a) 350,000 393,288
4.80%, 05/03/29 (a) 100,000 114,018
3.40%, 02/15/31 (a) 250,000 258,495
BP Capital Markets America, Inc.
2.11%, 09/16/21 (a) 500,000 504,045
2.52%, 09/19/22 (a) 150,000 154,842
2.94%, 04/06/23 200,000 210,696
2.75%, 05/10/23 300,000 315,141
3.22%, 11/28/23 (a) 250,000 267,540
3.79%, 02/06/24 (a) 150,000 163,359
3.19%, 04/06/25 (a) 250,000 270,500
3.80%, 09/21/25 (a) 300,000 333,621
3.41%, 02/11/26 (a) 150,000 165,050
3.12%, 05/04/26 (a) 200,000 217,220
3.02%, 01/16/27 (a) 100,000 107,785
3.59%, 04/14/27 (a) 200,000 223,352
3.94%, 09/21/28 (a) 150,000 170,679
4.23%, 11/06/28 (a) 250,000 290,385
3.63%, 04/06/30 (a) 300,000 335,682
1.75%, 08/10/30 (a) 350,000 338,201
3.00%, 02/24/50 (a) 400,000 372,980
2.77%, 11/10/50 (a) 500,000 444,135
2.94%, 06/04/51 (a) 100,000 91,648
3.38%, 02/08/61 (a) 250,000 241,187
BP Capital Markets PLC
2.50%, 11/06/22 150,000 155,408
3.81%, 02/10/24 250,000 273,000
3.54%, 11/04/24 200,000 220,136
3.51%, 03/17/25 100,000 109,815
3.28%, 09/19/27 (a) 650,000 715,084
3.72%, 11/28/28 (a) 150,000 169,319
Burlington Resources LLC
5.95%, 10/15/36 100,000 139,121
Canadian Natural Resources Ltd.
2.95%, 01/15/23 (a) 250,000 260,402
3.80%, 04/15/24 (a) 100,000 107,807
3.90%, 02/01/25 (a) 130,000 141,198
2.05%, 07/15/25 (a) 250,000 256,165
3.85%, 06/01/27 (a) 250,000 276,537
6.45%, 06/30/33 295,000 381,954
6.25%, 03/15/38 330,000 429,317
6.75%, 02/01/39 150,000 202,538
4.95%, 06/01/47 (a) 100,000 121,042
Cenovus Energy, Inc.
5.38%, 07/15/25 (a) 250,000 283,447
4.25%, 04/15/27 (a) 300,000 329,412
6.75%, 11/15/39 400,000 520,636
5.40%, 06/15/47 (a) 200,000 231,460
Cheniere Corpus Christi Holdings LLC
7.00%, 06/30/24 (a) 200,000 232,128
5.88%, 03/31/25 (a) 300,000 345,486
5.13%, 06/30/27 (a) 400,000 467,276
3.70%, 11/15/29 (a) 200,000 216,464
Chevron Corp.
2.41%, 03/03/22 (a) 150,000 152,798
2.36%, 12/05/22 (a) 600,000 618,858
1.14%, 05/11/23 250,000 254,517
3.19%, 06/24/23 (a) 750,000 794,572
1.55%, 05/11/25 (a) 450,000 460,629
2.95%, 05/16/26 (a) 500,000 542,775
2.00%, 05/11/27 (a) 200,000 207,608
2.24%, 05/11/30 (a) 200,000 204,754
2.98%, 05/11/40 (a) 200,000 206,952
3.08%, 05/11/50 (a) 200,000 200,810
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Chevron USA, Inc.
0.33%, 08/12/22 200,000 200,306
0.43%, 08/11/23 200,000 200,386
3.90%, 11/15/24 (a) 200,000 222,074
0.69%, 08/12/25 (a) 100,000 98,794
1.02%, 08/12/27 (a) 250,000 244,735
3.85%, 01/15/28 (a) 200,000 228,608
3.25%, 10/15/29 (a) 100,000 110,676
6.00%, 03/01/41 (a) 150,000 214,769
5.25%, 11/15/43 (a) 100,000 135,330
5.05%, 11/15/44 (a) 150,000 198,083
4.95%, 08/15/47 (a) 100,000 130,590
4.20%, 10/15/49 (a) 100,000 118,388
2.34%, 08/12/50 (a) 250,000 218,885
Cimarex Energy Co.
4.38%, 06/01/24 (a) 180,000 196,555
4.38%, 03/15/29 (a) 100,000 112,096
Columbia Pipeline Group, Inc.
4.50%, 06/01/25 (a) 200,000 226,204
5.80%, 06/01/45 (a) 100,000 127,338
Conoco Funding Co.
7.25%, 10/15/31 150,000 220,280
ConocoPhillips
3.75%, 10/01/27 (a) 150,000 169,275
4.30%, 08/15/28 (a)(c) 200,000 232,696
2.40%, 02/15/31 (a)(c) 250,000 254,062
4.88%, 10/01/47 (a)(c) 100,000 126,419
4.85%, 08/15/48 (a)(c) 100,000 127,492
ConocoPhillips Co.
3.35%, 11/15/24 (a) 100,000 108,947
4.95%, 03/15/26 (a) 450,000 528,417
6.95%, 04/15/29 400,000 546,040
6.50%, 02/01/39 800,000 1,176,480
4.30%, 11/15/44 (a) 150,000 178,865
5.95%, 03/15/46 (a) 100,000 144,391
Devon Energy Corp.
5.85%, 12/15/25 (a) 150,000 175,215
7.95%, 04/15/32 100,000 139,153
5.60%, 07/15/41 (a) 400,000 482,180
4.75%, 05/15/42 (a) 100,000 111,699
5.00%, 06/15/45 (a) 100,000 114,678
Diamondback Energy, Inc.
2.88%, 12/01/24 (a) 300,000 317,628
4.75%, 05/31/25 (a) 150,000 168,720
5.38%, 05/31/25 (a) 150,000 155,505
3.25%, 12/01/26 (a) 200,000 211,868
3.50%, 12/01/29 (a) 150,000 157,206
Dominion Energy Gas Holdings LLC
2.50%, 11/15/24 (a) 100,000 106,120
Eastern Energy Gas Holdings LLC
3.55%, 11/01/23 (a) 200,000 214,712
3.00%, 11/15/29 (a) 200,000 213,386
4.80%, 11/01/43 (a) 100,000 120,811
3.90%, 11/15/49 (a) 100,000 108,021
Enable Midstream Partners LP
3.90%, 05/15/24 (a) 150,000 160,721
4.95%, 05/15/28 (a) 300,000 336,894
4.15%, 09/15/29 (a) 150,000 159,662
5.00%, 05/15/44 (a) 75,000 74,727
Enbridge Energy Partners LP
5.50%, 09/15/40 (a) 180,000 220,433
7.38%, 10/15/45 (a) 100,000 146,611
Enbridge, Inc.
4.00%, 10/01/23 (a) 250,000 269,762
3.70%, 07/15/27 (a) 550,000 614,229
 
49
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.13%, 11/15/29 (a) 250,000 267,150
4.50%, 06/10/44 (a) 200,000 222,962
5.50%, 12/01/46 (a) 200,000 255,704
4.00%, 11/15/49 (a) 100,000 105,800
Energy Transfer Operating LP
4.65%, 06/01/21 (a) 250,000 250,090
5.20%, 02/01/22 (a) 200,000 206,068
3.60%, 02/01/23 (a) 150,000 156,740
4.25%, 03/15/23 (a) 250,000 264,937
5.88%, 01/15/24 (a) 250,000 280,327
4.05%, 03/15/25 (a) 150,000 163,175
2.90%, 05/15/25 (a) 250,000 262,365
4.75%, 01/15/26 (a) 150,000 167,783
4.20%, 04/15/27 (a) 100,000 110,218
5.50%, 06/01/27 (a) 150,000 175,650
4.95%, 06/15/28 (a) 150,000 171,233
5.25%, 04/15/29 (a) 150,000 174,107
3.75%, 05/15/30 (a) 300,000 317,283
4.90%, 03/15/35 (a) 230,000 249,932
5.80%, 06/15/38 (a) 150,000 172,389
7.50%, 07/01/38 150,000 203,016
6.05%, 06/01/41 (a) 100,000 117,471
6.50%, 02/01/42 (a) 425,000 518,262
5.95%, 10/01/43 (a) 200,000 228,680
5.15%, 03/15/45 (a) 250,000 266,550
6.13%, 12/15/45 (a) 265,000 307,734
5.30%, 04/15/47 (a) 100,000 108,384
6.00%, 06/15/48 (a) 150,000 175,220
6.25%, 04/15/49 (a) 250,000 300,507
5.00%, 05/15/50 (a) 350,000 370,930
Energy Transfer Partners LP/Regency Energy Finance Corp.
5.88%, 03/01/22 (a) 200,000 207,680
5.00%, 10/01/22 (a) 100,000 105,515
4.50%, 11/01/23 (a) 150,000 162,666
Enterprise Products Operating LLC
3.35%, 03/15/23 (a) 400,000 420,620
3.90%, 02/15/24 (a) 195,000 212,070
3.75%, 02/15/25 (a) 230,000 252,788
3.70%, 02/15/26 (a) 250,000 277,590
3.95%, 02/15/27 (a) 150,000 170,234
4.15%, 10/16/28 (a) 250,000 287,977
3.13%, 07/31/29 (a) 200,000 215,030
2.80%, 01/31/30 (a) 350,000 368,284
7.55%, 04/15/38 100,000 150,108
6.13%, 10/15/39 350,000 477,032
5.95%, 02/01/41 100,000 132,812
4.85%, 08/15/42 (a) 100,000 119,084
4.45%, 02/15/43 (a) 200,000 229,070
4.85%, 03/15/44 (a) 300,000 353,031
5.10%, 02/15/45 (a) 300,000 366,480
4.90%, 05/15/46 (a) 500,000 592,340
4.25%, 02/15/48 (a) 400,000 437,752
4.80%, 02/01/49 (a) 150,000 176,924
4.20%, 01/31/50 (a) 250,000 272,585
3.70%, 01/31/51 (a) 200,000 203,566
3.20%, 02/15/52 (a) 250,000 233,497
3.95%, 01/31/60 (a) 150,000 154,544
4.88%, 08/16/77 (a)(b) 100,000 95,164
5.25%, 08/16/77 (a)(b) 100,000 99,857
5.38%, 02/15/78 (a)(b) 100,000 99,288
EOG Resources, Inc.
2.63%, 03/15/23 (a) 260,000 270,696
3.15%, 04/01/25 (a) 100,000 107,953
4.15%, 01/15/26 (a) 100,000 113,597
4.38%, 04/15/30 (a) 150,000 176,360
3.90%, 04/01/35 (a) 174,000 195,005
4.95%, 04/15/50 (a) 150,000 190,389
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Equinor A.S.A.
1.75%, 01/22/26 (a) 300,000 308,958
Exxon Mobil Corp.
2.40%, 03/06/22 (a) 150,000 152,795
1.90%, 08/16/22 150,000 153,696
2.73%, 03/01/23 (a) 350,000 365,634
1.57%, 04/15/23 600,000 615,612
2.02%, 08/16/24 (a) 250,000 261,937
2.71%, 03/06/25 (a) 300,000 319,764
2.99%, 03/19/25 (a) 700,000 755,517
3.04%, 03/01/26 (a) 500,000 543,600
2.28%, 08/16/26 (a) 150,000 157,935
3.29%, 03/19/27 (a) 150,000 166,710
2.44%, 08/16/29 (a) 200,000 208,880
3.48%, 03/19/30 (a) 600,000 668,178
2.61%, 10/15/30 (a) 200,000 209,274
3.00%, 08/16/39 (a) 150,000 151,242
4.23%, 03/19/40 (a) 450,000 519,237
3.57%, 03/06/45 (a) 230,000 243,135
4.11%, 03/01/46 (a) 550,000 624,893
3.10%, 08/16/49 (a) 300,000 291,819
4.33%, 03/19/50 (a) 500,000 590,270
3.45%, 04/15/51 (a) 700,000 720,993
Halliburton Co.
3.50%, 08/01/23 (a) 200,000 212,480
3.80%, 11/15/25 (a) 250,000 278,477
2.92%, 03/01/30 (a) 250,000 257,255
4.85%, 11/15/35 (a) 150,000 172,826
6.70%, 09/15/38 100,000 132,262
7.45%, 09/15/39 200,000 285,304
4.50%, 11/15/41 (a) 300,000 325,263
4.75%, 08/01/43 (a) 200,000 223,286
5.00%, 11/15/45 (a) 230,000 268,097
Helmerich & Payne, Inc.
4.65%, 03/15/25 (a) 180,000 199,258
Hess Corp.
4.30%, 04/01/27 (a) 250,000 277,867
7.88%, 10/01/29 100,000 133,943
7.30%, 08/15/31 100,000 130,570
6.00%, 01/15/40 100,000 124,224
5.60%, 02/15/41 100,000 118,840
5.80%, 04/01/47 (a) 450,000 558,562
HollyFrontier Corp.
2.63%, 10/01/23 200,000 205,960
5.88%, 04/01/26 (a) 150,000 170,853
4.50%, 10/01/30 (a) 200,000 211,048
Husky Energy, Inc.
4.00%, 04/15/24 (a) 200,000 214,470
4.40%, 04/15/29 (a) 200,000 220,836
Kinder Morgan Energy Partners LP
5.00%, 10/01/21 (a) 100,000 101,506
3.95%, 09/01/22 (a) 450,000 469,489
4.15%, 02/01/24 (a) 100,000 108,960
4.30%, 05/01/24 (a) 296,000 325,707
7.30%, 08/15/33 200,000 278,206
5.80%, 03/15/35 150,000 189,594
6.95%, 01/15/38 330,000 448,876
6.55%, 09/15/40 150,000 197,969
7.50%, 11/15/40 100,000 140,536
5.00%, 08/15/42 (a) 100,000 113,873
4.70%, 11/01/42 (a) 195,000 214,826
5.00%, 03/01/43 (a) 200,000 229,722
5.50%, 03/01/44 (a) 200,000 240,702
5.40%, 09/01/44 (a) 195,000 232,896
 
50
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Kinder Morgan, Inc.
3.15%, 01/15/23 (a) 150,000 157,166
4.30%, 06/01/25 (a) 395,000 443,135
4.30%, 03/01/28 (a) 200,000 228,510
2.00%, 02/15/31 (a) 250,000 238,545
7.75%, 01/15/32 150,000 215,918
5.30%, 12/01/34 (a) 250,000 299,405
5.55%, 06/01/45 (a) 330,000 405,705
5.05%, 02/15/46 (a) 200,000 231,346
5.20%, 03/01/48 (a) 100,000 118,873
3.25%, 08/01/50 (a) 250,000 228,362
Magellan Midstream Partners LP
3.25%, 06/01/30 (a) 200,000 215,210
5.15%, 10/15/43 (a) 250,000 300,767
4.85%, 02/01/49 (a) 150,000 172,523
3.95%, 03/01/50 (a) 150,000 153,801
Marathon Oil Corp.
2.80%, 11/01/22 (a) 100,000 102,810
3.85%, 06/01/25 (a) 200,000 216,484
4.40%, 07/15/27 (a) 300,000 339,804
6.80%, 03/15/32 100,000 128,424
6.60%, 10/01/37 150,000 195,246
5.20%, 06/01/45 (a) 200,000 232,836
Marathon Petroleum Corp.
4.50%, 05/01/23 (a) 200,000 215,824
4.75%, 12/15/23 (a) 150,000 165,752
3.63%, 09/15/24 (a) 230,000 250,688
4.70%, 05/01/25 (a) 200,000 227,464
5.13%, 12/15/26 (a) 100,000 118,413
3.80%, 04/01/28 (a) 100,000 110,294
6.50%, 03/01/41 (a) 100,000 135,029
4.75%, 09/15/44 (a) 150,000 170,196
4.50%, 04/01/48 (a) 150,000 163,970
5.00%, 09/15/54 (a) 250,000 283,202
MPLX LP
3.50%, 12/01/22 (a) 150,000 157,287
4.50%, 07/15/23 (a) 200,000 215,984
4.88%, 12/01/24 (a) 300,000 339,159
4.00%, 02/15/25 (a) 100,000 109,851
4.88%, 06/01/25 (a) 300,000 340,317
1.75%, 03/01/26 (a) 250,000 252,090
4.13%, 03/01/27 (a) 200,000 224,280
4.25%, 12/01/27 (a) 350,000 397,523
4.00%, 03/15/28 (a) 150,000 167,676
4.80%, 02/15/29 (a) 150,000 174,813
2.65%, 08/15/30 (a) 250,000 249,385
4.50%, 04/15/38 (a) 350,000 386,267
5.20%, 03/01/47 (a) 250,000 291,205
5.20%, 12/01/47 (a) 100,000 114,194
4.70%, 04/15/48 (a) 300,000 330,153
5.50%, 02/15/49 (a) 250,000 304,630
4.90%, 04/15/58 (a) 100,000 109,914
National Fuel Gas Co.
5.20%, 07/15/25 (a) 100,000 113,386
5.50%, 01/15/26 (a) 100,000 115,646
3.95%, 09/15/27 (a) 100,000 107,665
4.75%, 09/01/28 (a) 100,000 112,973
Northwest Pipeline LLC
4.00%, 04/01/27 (a) 200,000 224,900
NOV, Inc.
3.60%, 12/01/29 (a) 100,000 104,400
3.95%, 12/01/42 (a) 150,000 146,916
ONEOK Partners LP
3.38%, 10/01/22 (a) 100,000 103,596
5.00%, 09/15/23 (a) 150,000 164,031
4.90%, 03/15/25 (a) 150,000 168,216
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
6.65%, 10/01/36 250,000 316,905
6.13%, 02/01/41 (a) 150,000 180,342
ONEOK, Inc.
4.25%, 02/01/22 (a) 150,000 153,711
7.50%, 09/01/23 (a) 150,000 172,086
2.75%, 09/01/24 (a) 150,000 157,974
2.20%, 09/15/25 (a) 50,000 51,446
5.85%, 01/15/26 (a) 155,000 183,667
4.55%, 07/15/28 (a) 150,000 168,693
3.40%, 09/01/29 (a) 150,000 156,930
3.10%, 03/15/30 (a) 200,000 205,014
6.35%, 01/15/31 (a) 220,000 278,685
5.20%, 07/15/48 (a) 250,000 279,252
4.45%, 09/01/49 (a) 150,000 150,731
4.50%, 03/15/50 (a) 200,000 202,940
7.15%, 01/15/51 (a) 200,000 271,294
Phillips 66
4.30%, 04/01/22 300,000 312,663
3.85%, 04/09/25 (a) 500,000 551,880
1.30%, 02/15/26 (a) 150,000 149,984
3.90%, 03/15/28 (a) 150,000 169,421
2.15%, 12/15/30 (a) 250,000 243,950
4.65%, 11/15/34 (a) 150,000 177,248
5.88%, 05/01/42 100,000 135,348
4.88%, 11/15/44 (a) 350,000 428,403
Phillips 66 Partners LP
2.45%, 12/15/24 (a) 150,000 157,289
3.61%, 02/15/25 (a) 230,000 247,919
3.55%, 10/01/26 (a) 150,000 162,122
3.75%, 03/01/28 (a) 100,000 107,465
3.15%, 12/15/29 (a) 100,000 101,751
4.68%, 02/15/45 (a) 100,000 107,872
4.90%, 10/01/46 (a) 100,000 110,656
Pioneer Natural Resources Co.
0.75%, 01/15/24 (a) 200,000 200,144
1.13%, 01/15/26 (a) 200,000 198,190
4.45%, 01/15/26 (a) 250,000 284,652
1.90%, 08/15/30 (a) 200,000 192,300
Plains All American Pipeline LP/PAA Finance Corp.
3.65%, 06/01/22 (a) 150,000 154,010
2.85%, 01/31/23 (a) 250,000 258,207
4.50%, 12/15/26 (a) 230,000 255,061
3.55%, 12/15/29 (a) 150,000 154,007
3.80%, 09/15/30 (a) 250,000 258,897
6.65%, 01/15/37 250,000 298,602
5.15%, 06/01/42 (a) 100,000 101,237
4.30%, 01/31/43 (a) 100,000 94,144
4.70%, 06/15/44 (a) 100,000 95,820
4.90%, 02/15/45 (a) 100,000 100,419
Sabine Pass Liquefaction LLC
6.25%, 03/15/22 (a) 200,000 208,838
5.63%, 04/15/23 (a) 300,000 326,943
5.75%, 05/15/24 (a) 380,000 432,227
5.63%, 03/01/25 (a) 550,000 633,996
5.88%, 06/30/26 (a) 200,000 238,736
5.00%, 03/15/27 (a) 400,000 465,644
4.20%, 03/15/28 (a) 350,000 392,854
4.50%, 05/15/30 (a) 375,000 429,703
Schlumberger Finance Canada Ltd
1.40%, 09/17/25 (a) 250,000 252,462
Schlumberger Investment S.A.
3.65%, 12/01/23 (a) 200,000 215,894
2.65%, 06/26/30 (a) 450,000 466,488
Shell International Finance BV
1.75%, 09/12/21 250,000 252,085
2.38%, 08/21/22 150,000 154,632
 
51
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.40%, 08/12/23 150,000 161,196
3.50%, 11/13/23 (a) 250,000 270,522
2.00%, 11/07/24 (a) 200,000 209,256
2.38%, 04/06/25 (a) 300,000 316,860
3.25%, 05/11/25 430,000 468,997
2.88%, 05/10/26 400,000 433,344
2.50%, 09/12/26 250,000 266,587
3.88%, 11/13/28 (a) 450,000 515,020
2.38%, 11/07/29 (a) 400,000 412,008
2.75%, 04/06/30 (a) 500,000 528,715
4.13%, 05/11/35 400,000 469,620
6.38%, 12/15/38 500,000 729,580
5.50%, 03/25/40 250,000 342,422
3.63%, 08/21/42 230,000 250,217
4.55%, 08/12/43 150,000 182,589
4.38%, 05/11/45 430,000 515,329
4.00%, 05/10/46 430,000 489,598
3.75%, 09/12/46 200,000 220,104
3.13%, 11/07/49 (a) 300,000 299,001
3.25%, 04/06/50 (a) 500,000 507,875
Spectra Energy Partners LP
4.75%, 03/15/24 (a) 300,000 332,817
3.50%, 03/15/25 (a) 200,000 216,750
4.50%, 03/15/45 (a) 150,000 167,312
Suncor Energy, Inc.
2.80%, 05/15/23 300,000 315,042
3.60%, 12/01/24 (a) 200,000 219,008
3.10%, 05/15/25 (a) 100,000 107,486
5.35%, 07/15/33 100,000 120,658
6.80%, 05/15/38 100,000 139,474
6.50%, 06/15/38 500,000 682,130
6.85%, 06/01/39 200,000 280,120
4.00%, 11/15/47 (a) 100,000 107,727
Sunoco Logistics Partners Operations LP
3.45%, 01/15/23 (a) 150,000 156,266
4.25%, 04/01/24 (a) 350,000 379,190
3.90%, 07/15/26 (a) 100,000 108,902
4.00%, 10/01/27 (a) 200,000 218,406
6.10%, 02/15/42 100,000 114,541
5.30%, 04/01/44 (a) 200,000 216,998
5.35%, 05/15/45 (a) 100,000 108,293
5.40%, 10/01/47 (a) 350,000 384,111
TC PipeLines LP
4.38%, 03/13/25 (a) 150,000 167,204
Tennessee Gas Pipeline Co., LLC
7.00%, 10/15/28 200,000 259,738
The Williams Cos., Inc.
3.60%, 03/15/22 (a) 295,000 303,062
3.70%, 01/15/23 (a) 150,000 157,655
4.50%, 11/15/23 (a) 150,000 164,156
4.30%, 03/04/24 (a) 850,000 930,325
4.55%, 06/24/24 (a) 100,000 111,118
3.90%, 01/15/25 (a) 100,000 109,185
3.75%, 06/15/27 (a) 200,000 222,414
7.50%, 01/15/31 150,000 204,176
8.75%, 03/15/32 250,000 375,745
6.30%, 04/15/40 300,000 393,063
5.80%, 11/15/43 (a) 222,000 278,426
5.40%, 03/04/44 (a) 100,000 120,295
5.75%, 06/24/44 (a) 100,000 125,631
4.90%, 01/15/45 (a) 200,000 228,734
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
5.10%, 09/15/45 (a) 100,000 118,688
4.85%, 03/01/48 (a) 150,000 174,357
Total Capital Canada Ltd.
2.75%, 07/15/23 150,000 158,510
Total Capital International S.A.
2.75%, 06/19/21 250,000 251,900
2.88%, 02/17/22 250,000 256,475
3.70%, 01/15/24 200,000 218,350
3.75%, 04/10/24 400,000 439,828
2.43%, 01/10/25 (a) 150,000 158,280
3.46%, 02/19/29 (a) 300,000 334,932
2.83%, 01/10/30 (a) 200,000 213,446
2.99%, 06/29/41 (a) 200,000 202,498
3.46%, 07/12/49 (a) 200,000 208,500
3.13%, 05/29/50 (a) 450,000 441,067
3.39%, 06/29/60 (a) 200,000 202,848
Total Capital S.A.
4.25%, 12/15/21 200,000 206,332
3.88%, 10/11/28 150,000 172,970
TransCanada PipeLines Ltd.
2.50%, 08/01/22 250,000 257,517
3.75%, 10/16/23 (a) 100,000 107,625
4.88%, 01/15/26 (a) 200,000 231,954
4.25%, 05/15/28 (a) 450,000 517,891
4.10%, 04/15/30 (a) 200,000 228,234
4.63%, 03/01/34 (a) 350,000 407,897
5.60%, 03/31/34 100,000 125,772
5.85%, 03/15/36 100,000 131,500
6.20%, 10/15/37 300,000 401,121
4.75%, 05/15/38 (a) 100,000 117,420
6.10%, 06/01/40 150,000 199,097
5.00%, 10/16/43 (a) 200,000 239,234
4.88%, 05/15/48 (a) 250,000 300,177
5.10%, 03/15/49 (a) 250,000 311,350
Transcontinental Gas Pipe Line Co. LLC
3.25%, 05/15/30 (a) 200,000 215,240
5.40%, 08/15/41 (a) 100,000 123,158
4.60%, 03/15/48 (a) 100,000 115,900
3.95%, 05/15/50 (a) 100,000 107,459
Valero Energy Corp.
1.20%, 03/15/24 200,000 201,738
2.85%, 04/15/25 (a) 550,000 580,734
3.40%, 09/15/26 (a) 400,000 430,028
2.15%, 09/15/27 (a) 250,000 250,670
4.00%, 04/01/29 (a) 150,000 165,714
7.50%, 04/15/32 150,000 208,232
6.63%, 06/15/37 200,000 265,454
4.90%, 03/15/45 230,000 265,298
Valero Energy Partners LP
4.50%, 03/15/28 (a) 150,000 169,677
WPX Energy, Inc.
5.25%, 10/15/27 (a) 200,000 214,278
5.88%, 06/15/28 (a) 200,000 218,862
4.50%, 01/15/30 (a) 200,000 213,498
    112,278,576
Industrial Other 0.1%
Brown University in Providence in the State of Rhode Island and Providence Plant
2.92%, 09/01/50 (a) 100,000 106,142
California Institute of Technology
3.65%, 09/01/19 (a) 200,000 214,202
CBRE Services, Inc.
4.88%, 03/01/26 (a) 100,000 116,524
 
52
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Cintas Corp. No. 2
3.25%, 06/01/22 (a) 100,000 102,833
3.70%, 04/01/27 (a) 300,000 338,946
Duke University
2.68%, 10/01/44 100,000 101,257
2.83%, 10/01/55 100,000 102,400
Emory University
2.97%, 09/01/50 (a) 250,000 261,842
Johns Hopkins University
4.08%, 07/01/53 100,000 125,444
Massachusetts Institute of Technology
2.99%, 07/01/50 (a) 100,000 107,794
2.29%, 07/01/51 (a) 100,000 93,297
5.60%, 07/01/11 150,000 242,763
4.68%, 07/01/14 100,000 138,185
Northeastern University
2.89%, 10/01/50 150,000 149,379
Northwestern University
4.64%, 12/01/44 100,000 131,191
2.64%, 12/01/50 (a) 100,000 98,084
President & Fellows of Harvard College
3.15%, 07/15/46 (a) 100,000 109,532
2.52%, 10/15/50 (a) 100,000 99,332
3.30%, 07/15/56 (a) 100,000 113,540
Princeton University
5.70%, 03/01/39 200,000 292,072
Quanta Services, Inc.
2.90%, 10/01/30 (a) 250,000 260,697
Steelcase, Inc.
5.13%, 01/18/29 (a) 100,000 118,881
The American University
3.67%, 04/01/49 100,000 113,429
The George Washington University
4.30%, 09/15/44 100,000 121,630
4.87%, 09/15/45 50,000 66,547
4.13%, 09/15/48 (a) 150,000 179,968
The Georgetown University
4.32%, 04/01/49 (a) 50,000 61,201
2.94%, 04/01/50 100,000 97,744
5.22%, 10/01/18 (a) 50,000 67,226
The Leland Stanford Junior University
1.29%, 06/01/27 (a) 200,000 202,948
3.65%, 05/01/48 (a) 100,000 120,020
The Trustees of the University of Pennsylvania
2.40%, 10/01/50 (a) 150,000 145,173
4.67%, 09/01/12 50,000 66,827
The Trustees of the University of Princeton
2.52%, 07/01/50 (a) 100,000 96,631
The University of Chicago
2.55%, 04/01/50 (a) 100,000 94,773
Trustees of Boston College
3.13%, 07/01/52 150,000 157,179
University of Notre Dame du Lac
3.39%, 02/15/48 (a) 100,000 115,046
University of Southern California
3.03%, 10/01/39 350,000 369,922
3.84%, 10/01/47 (a) 150,000 180,621
3.23%, 10/01/20 (a) 100,000 95,249
William Marsh Rice University
3.57%, 05/15/45 200,000 233,350
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Yale University
0.87%, 04/15/25 (a) 100,000 100,793
1.48%, 04/15/30 (a) 200,000 196,948
2.40%, 04/15/50 (a) 100,000 95,786
    6,403,348
Technology 2.5%
Adobe, Inc.
1.70%, 02/01/23 150,000 154,122
3.25%, 02/01/25 (a) 150,000 163,311
2.15%, 02/01/27 (a) 200,000 210,164
2.30%, 02/01/30 (a) 200,000 206,878
Agilent Technologies, Inc.
3.88%, 07/15/23 (a) 150,000 160,715
Alphabet, Inc.
3.38%, 02/25/24 345,000 375,498
0.45%, 08/15/25 (a) 150,000 147,966
2.00%, 08/15/26 (a) 200,000 210,564
0.80%, 08/15/27 (a) 250,000 243,243
1.10%, 08/15/30 (a) 250,000 236,695
1.90%, 08/15/40 (a) 500,000 450,670
2.05%, 08/15/50 (a) 500,000 432,005
2.25%, 08/15/60 (a) 500,000 425,150
Amdocs Ltd.
2.54%, 06/15/30 (a) 250,000 252,895
Analog Devices, Inc.
3.13%, 12/05/23 (a) 150,000 160,389
2.95%, 04/01/25 (a) 150,000 161,537
3.90%, 12/15/25 (a) 150,000 168,434
3.50%, 12/05/26 (a) 100,000 111,511
5.30%, 12/15/45 (a) 100,000 129,403
Apple Inc.
2.15%, 02/09/22 250,000 254,645
2.50%, 02/09/22 (a) 200,000 204,010
2.30%, 05/11/22 (a) 150,000 153,453
2.70%, 05/13/22 450,000 463,288
1.70%, 09/11/22 200,000 204,512
2.10%, 09/12/22 (a) 200,000 205,354
2.40%, 01/13/23 (a) 250,000 259,648
2.85%, 02/23/23 (a) 150,000 157,001
2.40%, 05/03/23 1,080,000 1,129,259
0.75%, 05/11/23 350,000 353,619
3.00%, 02/09/24 (a) 250,000 267,900
3.45%, 05/06/24 400,000 437,836
2.85%, 05/11/24 (a) 300,000 321,390
1.80%, 09/11/24 (a) 100,000 104,477
2.75%, 01/13/25 (a) 200,000 214,244
2.50%, 02/09/25 539,000 573,329
1.13%, 05/11/25 (a) 400,000 404,888
3.20%, 05/13/25 450,000 492,633
0.55%, 08/20/25 (a) 350,000 345,929
0.70%, 02/08/26 (a) 350,000 346,195
3.25%, 02/23/26 (a) 680,000 748,673
2.45%, 08/04/26 (a) 350,000 373,128
2.05%, 09/11/26 (a) 450,000 471,285
3.35%, 02/09/27 (a) 300,000 334,038
3.20%, 05/11/27 (a) 350,000 387,537
3.00%, 06/20/27 (a) 300,000 330,834
2.90%, 09/12/27 (a) 500,000 545,710
3.00%, 11/13/27 (a) 350,000 385,350
1.20%, 02/08/28 (a) 500,000 490,230
2.20%, 09/11/29 (a) 200,000 206,538
1.65%, 05/11/30 (a) 400,000 392,544
1.25%, 08/20/30 (a) 500,000 474,755
1.65%, 02/08/31 (a) 500,000 488,785
4.50%, 02/23/36 (a) 200,000 252,718
 
53
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.38%, 02/08/41 (a) 500,000 475,205
3.85%, 05/04/43 480,000 562,406
4.45%, 05/06/44 150,000 190,118
3.45%, 02/09/45 400,000 439,216
4.38%, 05/13/45 300,000 374,067
4.65%, 02/23/46 (a) 850,000 1,092,836
3.85%, 08/04/46 (a) 400,000 461,580
4.25%, 02/09/47 (a) 195,000 238,978
3.75%, 09/12/47 (a) 250,000 285,255
3.75%, 11/13/47 (a) 350,000 399,297
2.95%, 09/11/49 (a) 500,000 499,130
2.65%, 05/11/50 (a) 400,000 377,328
2.40%, 08/20/50 (a) 500,000 451,935
2.65%, 02/08/51 (a) 500,000 469,820
2.55%, 08/20/60 (a) 500,000 444,240
2.80%, 02/08/61 (a) 250,000 233,780
Applied Materials, Inc.
3.90%, 10/01/25 (a) 250,000 281,017
3.30%, 04/01/27 (a) 150,000 166,913
1.75%, 06/01/30 (a) 250,000 246,678
5.10%, 10/01/35 (a) 150,000 198,903
4.35%, 04/01/47 (a) 150,000 188,849
2.75%, 06/01/50 (a) 200,000 195,376
Arrow Electronics, Inc.
4.50%, 03/01/23 (a) 100,000 106,787
3.25%, 09/08/24 (a) 250,000 268,947
Autodesk, Inc.
4.38%, 06/15/25 (a) 200,000 225,698
2.85%, 01/15/30 (a) 100,000 105,981
Automatic Data Processing, Inc.
3.38%, 09/15/25 (a) 200,000 222,190
1.25%, 09/01/30 (a) 300,000 284,814
Avnet, Inc.
4.88%, 12/01/22 100,000 106,900
4.63%, 04/15/26 (a) 200,000 223,818
Baidu, Inc.
3.50%, 11/28/22 200,000 208,858
3.88%, 09/29/23 (a) 200,000 214,548
4.13%, 06/30/25 500,000 553,550
1.72%, 04/09/26 (a) 200,000 200,814
4.88%, 11/14/28 (a) 200,000 235,820
2.38%, 10/09/30 (a) 200,000 199,108
Broadcom Corp./Broadcom Cayman Finance Ltd.
3.63%, 01/15/24 (a) 300,000 323,175
3.13%, 01/15/25 (a) 300,000 320,841
3.88%, 01/15/27 (a) 1,000,000 1,097,300
3.50%, 01/15/28 (a) 250,000 268,960
Broadcom, Inc.
3.63%, 10/15/24 (a) 200,000 218,166
4.70%, 04/15/25 (a) 450,000 508,621
3.15%, 11/15/25 (a) 400,000 430,600
4.25%, 04/15/26 (a) 600,000 672,732
3.46%, 09/15/26 (a) 356,000 386,623
1.95%, 02/15/28 (a)(c) 250,000 246,533
4.11%, 09/15/28 (a) 413,000 458,356
4.75%, 04/15/29 (a) 700,000 802,599
5.00%, 04/15/30 (a) 400,000 466,328
4.15%, 11/15/30 (a) 450,000 497,475
2.45%, 02/15/31 (a)(c) 450,000 437,841
4.30%, 11/15/32 (a) 350,000 394,271
2.60%, 02/15/33 (a)(c) 400,000 384,872
3.50%, 02/15/41 (a)(c) 650,000 645,866
3.75%, 02/15/51 (a)(c) 450,000 444,645
Broadridge Financial Solutions, Inc.
3.40%, 06/27/26 (a) 100,000 110,215
2.90%, 12/01/29 (a) 150,000 158,231
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Cisco Systems, Inc.
3.00%, 06/15/22 200,000 207,088
2.20%, 09/20/23 (a) 150,000 157,119
3.50%, 06/15/25 512,000 569,830
2.95%, 02/28/26 200,000 218,350
2.50%, 09/20/26 (a) 100,000 107,449
5.90%, 02/15/39 100,000 145,815
5.50%, 01/15/40 650,000 918,203
Citrix Systems, Inc.
1.25%, 03/01/26 (a) 250,000 249,158
4.50%, 12/01/27 (a) 100,000 116,051
3.30%, 03/01/30 (a) 125,000 132,086
Corning, Inc.
2.90%, 05/15/22 (a) 200,000 204,982
4.75%, 03/15/42 100,000 121,046
5.35%, 11/15/48 (a) 200,000 262,716
3.90%, 11/15/49 (a) 100,000 112,652
4.38%, 11/15/57 (a) 100,000 114,537
5.85%, 11/15/68 (a) 100,000 138,831
5.45%, 11/15/79 (a) 190,000 244,692
Dell International LLC/EMC Corp.
5.45%, 06/15/23 (a)(c) 850,000 932,603
4.00%, 07/15/24 (a)(c) 150,000 164,304
5.85%, 07/15/25 (a)(c) 200,000 235,594
6.02%, 06/15/26 (a)(c) 980,000 1,171,992
4.90%, 10/01/26 (a)(c) 350,000 404,715
6.10%, 07/15/27 (a)(c) 100,000 122,613
5.30%, 10/01/29 (a)(c) 300,000 354,960
6.20%, 07/15/30 (a)(c) 200,000 254,162
8.10%, 07/15/36 (a)(c) 250,000 368,552
8.35%, 07/15/46 (a)(c) 570,000 874,163
DXC Technology Co.
4.25%, 04/15/24 (a) 100,000 108,869
4.13%, 04/15/25 (a) 200,000 218,772
4.75%, 04/15/27 (a) 100,000 113,779
Equifax, Inc.
2.60%, 12/01/24 (a) 300,000 319,320
2.60%, 12/15/25 (a) 200,000 212,332
3.10%, 05/15/30 (a) 200,000 213,892
Equinix, Inc.
2.63%, 11/18/24 (a) 150,000 159,138
1.25%, 07/15/25 (a) 250,000 250,238
1.00%, 09/15/25 (a) 200,000 197,828
2.90%, 11/18/26 (a) 100,000 107,481
5.38%, 05/15/27 (a) 150,000 162,081
1.55%, 03/15/28 (a) 250,000 245,545
3.20%, 11/18/29 (a) 200,000 212,996
3.00%, 07/15/50 (a) 250,000 231,465
2.95%, 09/15/51 (a) 250,000 228,018
Fidelity National Information Services, Inc.
0.38%, 03/01/23 (d) 200,000 199,954
3.50%, 04/15/23 (a) 150,000 158,537
1.15%, 03/01/26 (a) 250,000 248,978
3.00%, 08/15/26 (a) 200,000 219,488
1.65%, 03/01/28 (a) 200,000 198,338
4.25%, 05/15/28 (a) 250,000 288,330
3.75%, 05/21/29 (a) 250,000 281,947
2.25%, 03/01/31 (a)(d) 200,000 199,124
3.10%, 03/01/41 (a) 200,000 203,052
Fiserv, Inc.
4.75%, 06/15/21 150,000 151,907
3.80%, 10/01/23 (a) 150,000 162,308
2.75%, 07/01/24 (a) 450,000 478,732
3.85%, 06/01/25 (a) 100,000 110,677
3.20%, 07/01/26 (a) 450,000 490,500
2.25%, 06/01/27 (a) 250,000 260,165
 
54
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.20%, 10/01/28 (a) 150,000 172,292
3.50%, 07/01/29 (a) 500,000 551,015
2.65%, 06/01/30 (a) 250,000 258,950
4.40%, 07/01/49 (a) 475,000 568,380
Flex Ltd.
4.75%, 06/15/25 (a) 200,000 225,396
3.75%, 02/01/26 (a) 400,000 436,688
4.88%, 06/15/29 (a) 100,000 115,721
4.88%, 05/12/30 (a) 200,000 233,470
FLIR Systems, Inc.
2.50%, 08/01/30 (a) 250,000 257,968
Fortinet, Inc.
1.00%, 03/15/26 (a)(d) 150,000 148,640
Genpact Luxembourg Sarl
3.70%, 04/01/22 (a)(g)(h) 100,000 103,231
Global Payments, Inc.
3.75%, 06/01/23 (a) 200,000 212,928
4.00%, 06/01/23 (a) 100,000 107,431
2.65%, 02/15/25 (a) 250,000 264,550
1.20%, 03/01/26 (a) 200,000 198,564
4.45%, 06/01/28 (a) 100,000 116,798
3.20%, 08/15/29 (a) 200,000 213,986
2.90%, 05/15/30 (a) 225,000 235,312
4.15%, 08/15/49 (a) 200,000 223,702
Hewlett Packard Enterprise Co.
4.40%, 10/15/22 (a) 250,000 264,157
2.25%, 04/01/23 (a) 150,000 155,097
1.45%, 04/01/24 (a) 500,000 511,495
4.65%, 10/01/24 (a) 300,000 337,911
4.90%, 10/15/25 (a) 350,000 402,580
1.75%, 04/01/26 (a) 400,000 407,328
6.20%, 10/15/35 (a) 150,000 197,279
6.35%, 10/15/45 (a) 262,000 344,158
HP, Inc.
4.05%, 09/15/22 150,000 158,369
2.20%, 06/17/25 (a) 150,000 156,666
3.00%, 06/17/27 (a) 300,000 325,110
3.40%, 06/17/30 (a) 200,000 216,170
6.00%, 09/15/41 250,000 321,362
IBM Credit LLC
3.00%, 02/06/23 100,000 105,073
Intel Corp.
3.30%, 10/01/21 263,000 267,618
2.35%, 05/11/22 (a) 150,000 153,483
3.10%, 07/29/22 200,000 207,956
2.70%, 12/15/22 350,000 365,239
2.88%, 05/11/24 (a) 300,000 321,651
3.40%, 03/25/25 (a) 350,000 383,400
3.70%, 07/29/25 (a) 450,000 500,382
2.60%, 05/19/26 (a) 150,000 160,851
3.75%, 03/25/27 (a) 250,000 283,885
2.45%, 11/15/29 (a) 450,000 472,797
3.90%, 03/25/30 (a) 300,000 348,924
4.00%, 12/15/32 150,000 178,202
4.60%, 03/25/40 (a) 350,000 441,210
4.80%, 10/01/41 295,000 381,810
4.25%, 12/15/42 100,000 120,512
4.10%, 05/19/46 (a) 550,000 650,655
4.10%, 05/11/47 (a) 100,000 118,181
3.73%, 12/08/47 (a) 350,000 391,961
3.25%, 11/15/49 (a) 300,000 312,105
4.75%, 03/25/50 (a) 400,000 519,680
3.10%, 02/15/60 (a) 160,000 159,477
4.95%, 03/25/60 (a) 300,000 413,166
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
International Business Machines Corp.
2.50%, 01/27/22 150,000 153,107
2.85%, 05/13/22 550,000 567,248
1.88%, 08/01/22 200,000 204,538
2.88%, 11/09/22 400,000 417,584
3.38%, 08/01/23 350,000 375,994
3.63%, 02/12/24 400,000 436,904
3.00%, 05/15/24 650,000 699,543
3.45%, 02/19/26 300,000 332,394
3.30%, 05/15/26 550,000 606,738
3.30%, 01/27/27 250,000 276,390
1.70%, 05/15/27 (a) 300,000 303,816
6.22%, 08/01/27 230,000 298,050
3.50%, 05/15/29 550,000 610,362
1.95%, 05/15/30 (a) 200,000 198,188
4.15%, 05/15/39 450,000 531,148
5.60%, 11/30/39 150,000 206,579
2.85%, 05/15/40 (a) 400,000 402,120
4.70%, 02/19/46 150,000 192,135
4.25%, 05/15/49 650,000 772,063
2.95%, 05/15/50 (a) 200,000 194,394
Intuit, Inc.
0.65%, 07/15/23 250,000 251,868
0.95%, 07/15/25 (a) 200,000 200,818
1.35%, 07/15/27 (a) 250,000 249,940
Jabil, Inc.
4.70%, 09/15/22 200,000 212,428
3.60%, 01/15/30 (a) 100,000 107,516
3.00%, 01/15/31 (a) 200,000 204,600
Juniper Networks, Inc.
1.20%, 12/10/25 (a) 250,000 250,000
3.75%, 08/15/29 (a) 150,000 165,597
5.95%, 03/15/41 100,000 126,155
Keysight Technologies, Inc.
4.60%, 04/06/27 (a) 150,000 175,893
3.00%, 10/30/29 (a) 100,000 106,952
KLA Corp.
4.65%, 11/01/24 (a) 230,000 259,403
4.10%, 03/15/29 (a) 100,000 115,739
5.00%, 03/15/49 (a) 100,000 130,745
3.30%, 03/01/50 (a) 200,000 202,094
Lam Research Corp.
2.80%, 06/15/21 (a) 100,000 100,517
3.80%, 03/15/25 (a) 230,000 254,122
4.00%, 03/15/29 (a) 150,000 173,805
1.90%, 06/15/30 (a) 200,000 200,176
4.88%, 03/15/49 (a) 100,000 135,113
2.88%, 06/15/50 (a) 200,000 197,272
Leidos, Inc.
3.63%, 05/15/25 (a)(c) 150,000 164,784
4.38%, 05/15/30 (a)(c) 150,000 171,480
2.30%, 02/15/31 (a)(c) 250,000 245,060
Marvell Technology Group Ltd.
4.88%, 06/22/28 (a) 100,000 117,536
Mastercard, Inc.
2.00%, 11/21/21 (a) 250,000 253,198
2.00%, 03/03/25 (a) 150,000 156,936
2.95%, 11/21/26 (a) 250,000 273,695
3.30%, 03/26/27 (a) 150,000 167,093
3.50%, 02/26/28 (a) 100,000 112,684
2.95%, 06/01/29 (a) 150,000 163,632
3.35%, 03/26/30 (a) 200,000 224,690
3.80%, 11/21/46 (a) 200,000 232,612
3.95%, 02/26/48 (a) 150,000 177,885
3.65%, 06/01/49 (a) 250,000 284,332
3.85%, 03/26/50 (a) 200,000 235,074
 
55
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Maxim Integrated Products, Inc.
3.45%, 06/15/27 (a) 100,000 111,576
Microchip Technology, Inc.
4.33%, 06/01/23 (a) 200,000 216,036
Micron Technology, Inc.
2.50%, 04/24/23 200,000 208,398
4.98%, 02/06/26 (a) 250,000 290,052
4.19%, 02/15/27 (a) 150,000 171,072
5.33%, 02/06/29 (a) 200,000 241,572
4.66%, 02/15/30 (a) 150,000 175,926
Microsoft Corp.
2.40%, 02/06/22 (a) 250,000 254,755
2.65%, 11/03/22 (a) 150,000 155,474
2.38%, 05/01/23 (a) 300,000 312,402
2.00%, 08/08/23 (a) 400,000 416,132
3.63%, 12/15/23 (a) 350,000 379,869
2.88%, 02/06/24 (a) 450,000 481,414
2.70%, 02/12/25 (a) 450,000 481,567
3.13%, 11/03/25 (a) 530,000 582,857
2.40%, 08/08/26 (a) 800,000 856,288
3.30%, 02/06/27 (a) 750,000 837,375
3.50%, 02/12/35 (a) 250,000 292,927
4.20%, 11/03/35 (a) 250,000 312,617
3.45%, 08/08/36 (a) 350,000 405,324
4.10%, 02/06/37 (a) 450,000 558,751
4.50%, 10/01/40 550,000 726,643
3.50%, 11/15/42 100,000 115,375
3.75%, 02/12/45 (a) 350,000 414,813
4.45%, 11/03/45 (a) 250,000 328,922
3.70%, 08/08/46 (a) 1,024,000 1,209,989
4.25%, 02/06/47 (a) 450,000 576,400
2.53%, 06/01/50 (a) 1,050,000 990,601
4.00%, 02/12/55 (a) 100,000 124,798
3.95%, 08/08/56 (a) 450,000 560,371
4.50%, 02/06/57 (a) 300,000 410,655
2.68%, 06/01/60 (a) 529,000 498,096
Motorola Solutions, Inc.
3.50%, 03/01/23 180,000 189,443
4.00%, 09/01/24 200,000 221,526
4.60%, 02/23/28 (a) 150,000 175,046
4.60%, 05/23/29 (a) 150,000 174,977
2.30%, 11/15/30 (a) 250,000 245,865
5.50%, 09/01/44 100,000 123,443
NetApp, Inc.
1.88%, 06/22/25 (a) 250,000 257,768
2.38%, 06/22/27 (a) 150,000 156,626
NVIDIA Corp.
3.20%, 09/16/26 (a) 100,000 110,361
2.85%, 04/01/30 (a) 250,000 269,025
3.50%, 04/01/40 (a) 250,000 276,860
3.50%, 04/01/50 (a) 450,000 489,582
3.70%, 04/01/60 (a) 100,000 112,147
NXP BV/NXP Funding LLC
4.88%, 03/01/24 (a)(c) 200,000 223,220
5.35%, 03/01/26 (a)(c) 250,000 294,180
5.55%, 12/01/28 (a)(c) 200,000 244,746
NXP BV/NXP Funding LLC/NXP USA, Inc.
2.70%, 05/01/25 (a)(c) 175,000 185,052
4.30%, 06/18/29 (a)(c) 150,000 172,217
3.40%, 05/01/30 (a)(c) 200,000 217,852
Oracle Corp.
2.50%, 05/15/22 (a) 350,000 358,155
2.50%, 10/15/22 450,000 466,461
2.63%, 02/15/23 (a) 400,000 417,804
3.63%, 07/15/23 212,000 228,449
2.40%, 09/15/23 (a) 500,000 524,395
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.40%, 07/08/24 (a) 250,000 271,580
2.95%, 11/15/24 (a) 450,000 485,914
2.50%, 04/01/25 (a) 600,000 635,796
2.95%, 05/15/25 (a) 601,000 647,559
2.65%, 07/15/26 (a) 600,000 642,732
2.80%, 04/01/27 (a) 400,000 430,528
3.25%, 11/15/27 (a) 400,000 442,276
2.95%, 04/01/30 (a) 700,000 749,749
3.25%, 05/15/30 (a) 200,000 219,328
4.30%, 07/08/34 (a) 300,000 358,254
3.90%, 05/15/35 (a) 250,000 289,210
3.85%, 07/15/36 (a) 150,000 171,731
3.80%, 11/15/37 (a) 400,000 450,740
6.50%, 04/15/38 200,000 296,402
6.13%, 07/08/39 250,000 357,975
3.60%, 04/01/40 (a) 800,000 866,160
5.38%, 07/15/40 600,000 792,108
4.50%, 07/08/44 (a) 230,000 276,692
4.13%, 05/15/45 (a) 450,000 515,128
4.00%, 07/15/46 (a) 470,000 521,465
4.00%, 11/15/47 (a) 500,000 557,900
3.60%, 04/01/50 (a) 850,000 892,372
4.38%, 05/15/55 (a) 350,000 417,333
3.85%, 04/01/60 (a) 650,000 704,184
PayPal Holdings, Inc.
2.20%, 09/26/22 150,000 154,337
1.35%, 06/01/23 200,000 204,132
2.40%, 10/01/24 (a) 150,000 159,084
1.65%, 06/01/25 (a) 250,000 256,893
2.65%, 10/01/26 (a) 250,000 268,845
2.85%, 10/01/29 (a) 300,000 321,429
2.30%, 06/01/30 (a) 200,000 205,138
3.25%, 06/01/50 (a) 250,000 263,927
QUALCOMM, Inc.
3.00%, 05/20/22 150,000 155,003
2.60%, 01/30/23 (a) 150,000 156,269
2.90%, 05/20/24 (a) 150,000 160,691
3.45%, 05/20/25 (a) 350,000 384,737
3.25%, 05/20/27 (a) 350,000 388,132
1.30%, 05/20/28 (a) 367,000 358,317
2.15%, 05/20/30 (a) 200,000 203,172
1.65%, 05/20/32 (a) 283,000 270,551
4.65%, 05/20/35 (a) 300,000 378,468
4.80%, 05/20/45 (a) 350,000 451,612
4.30%, 05/20/47 (a) 200,000 246,644
3.25%, 05/20/50 (a) 225,000 236,198
salesforce.com, Inc.
3.25%, 04/11/23 (a) 250,000 264,877
3.70%, 04/11/28 (a) 300,000 342,015
ServiceNow, Inc.
1.40%, 09/01/30 (a) 500,000 465,910
Telefonaktiebolaget LM Ericsson
4.13%, 05/15/22 200,000 207,508
Tencent Music Entertainment Group
1.38%, 09/03/25 (a) 200,000 198,018
Texas Instruments, Inc.
1.85%, 05/15/22 (a) 151,000 153,797
1.38%, 03/12/25 (a) 150,000 153,713
2.90%, 11/03/27 (a) 75,000 82,280
2.25%, 09/04/29 (a) 100,000 103,231
1.75%, 05/04/30 (a) 200,000 197,820
3.88%, 03/15/39 (a) 150,000 176,775
4.15%, 05/15/48 (a) 350,000 428,792
The Western Union Co.
4.25%, 06/09/23 (a) 100,000 107,802
2.85%, 01/10/25 (a) 100,000 105,844
 
56
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.35%, 03/15/26 (a)(d) 200,000 198,566
6.20%, 11/17/36 100,000 126,535
Trimble, Inc.
4.15%, 06/15/23 (a) 150,000 161,334
4.90%, 06/15/28 (a) 100,000 118,129
Tyco Electronics Group S.A.
3.50%, 02/03/22 (a) 100,000 102,146
3.45%, 08/01/24 (a) 100,000 108,674
3.70%, 02/15/26 (a) 100,000 110,975
3.13%, 08/15/27 (a) 100,000 110,875
Verisk Analytics, Inc.
4.00%, 06/15/25 (a) 150,000 167,087
4.13%, 03/15/29 (a) 150,000 170,739
5.50%, 06/15/45 (a) 50,000 65,730
3.63%, 05/15/50 (a) 100,000 103,520
Visa, Inc.
2.15%, 09/15/22 (a) 200,000 205,610
2.80%, 12/14/22 (a) 400,000 416,668
3.15%, 12/14/25 (a) 800,000 880,328
1.90%, 04/15/27 (a) 300,000 311,451
0.75%, 08/15/27 (a) 350,000 341,204
2.05%, 04/15/30 (a) 300,000 307,023
1.10%, 02/15/31 (a) 350,000 328,300
4.15%, 12/14/35 (a) 330,000 405,200
2.70%, 04/15/40 (a) 250,000 254,955
4.30%, 12/14/45 (a) 745,000 938,976
3.65%, 09/15/47 (a) 100,000 114,584
2.00%, 08/15/50 (a) 250,000 213,405
VMware, Inc.
2.95%, 08/21/22 (a) 300,000 310,530
4.50%, 05/15/25 (a) 150,000 168,972
4.65%, 05/15/27 (a) 150,000 172,007
3.90%, 08/21/27 (a) 200,000 222,060
4.70%, 05/15/30 (a) 150,000 175,469
Xilinx, Inc.
2.95%, 06/01/24 (a) 100,000 106,760
2.38%, 06/01/30 (a) 200,000 203,454
    131,362,200
Transportation 0.7%
American Airlines 2015-2 Class AA Pass-Through Trust
3.60%, 09/22/27 157,372 159,257
American Airlines 2016-1 Class AA Pass-Through Trust
3.58%, 01/15/28 157,124 158,529
American Airlines 2016-2 Class AA Pass-Through Trust
3.20%, 06/15/28 157,853 157,791
American Airlines 2017-1 Class AA Pass-Through Trust
3.65%, 02/15/29 120,750 122,079
American Airlines 2019-1 Class AA Pass-Through Trust
3.15%, 02/15/32 113,503 113,058
Burlington Northern Santa Fe LLC
3.45%, 09/15/21 (a) 150,000 151,374
3.05%, 03/15/22 (a) 300,000 306,567
3.00%, 03/15/23 (a) 150,000 157,202
3.85%, 09/01/23 (a) 150,000 161,714
3.75%, 04/01/24 (a) 200,000 217,820
3.40%, 09/01/24 (a) 200,000 218,132
6.20%, 08/15/36 150,000 215,515
5.75%, 05/01/40 (a) 100,000 140,306
5.05%, 03/01/41 (a) 100,000 130,481
5.40%, 06/01/41 (a) 100,000 136,236
4.95%, 09/15/41 (a) 200,000 259,400
4.38%, 09/01/42 (a) 250,000 305,047
5.15%, 09/01/43 (a) 100,000 134,160
4.90%, 04/01/44 (a) 100,000 131,029
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.55%, 09/01/44 (a) 90,000 113,298
4.15%, 04/01/45 (a) 250,000 296,882
4.70%, 09/01/45 (a) 100,000 129,092
3.90%, 08/01/46 (a) 250,000 289,340
4.05%, 06/15/48 (a) 400,000 473,132
4.15%, 12/15/48 (a) 500,000 602,370
3.55%, 02/15/50 (a) 100,000 110,701
3.05%, 02/15/51 (a) 100,000 101,957
Canadian National Railway Co.
2.75%, 03/01/26 (a) 300,000 322,464
6.90%, 07/15/28 150,000 202,042
3.20%, 08/02/46 (a) 150,000 159,606
3.65%, 02/03/48 (a) 100,000 114,162
4.45%, 01/20/49 (a) 150,000 193,410
2.45%, 05/01/50 (a) 200,000 184,770
Canadian Pacific Railway Co.
2.90%, 02/01/25 (a) 200,000 214,242
4.00%, 06/01/28 (a) 150,000 171,602
2.05%, 03/05/30 (a) 100,000 100,684
4.80%, 09/15/35 (a) 300,000 377,913
5.95%, 05/15/37 200,000 282,268
4.80%, 08/01/45 (a) 100,000 129,075
6.13%, 09/15/15 (a) 100,000 156,810
Continental Airlines 2012-1 Class A Pass-Through Trust
4.15%, 04/11/24 94,629 97,276
CSX Corp.
3.40%, 08/01/24 (a) 150,000 163,320
3.35%, 11/01/25 (a) 100,000 110,179
2.60%, 11/01/26 (a) 100,000 107,465
3.25%, 06/01/27 (a) 150,000 165,929
3.80%, 03/01/28 (a) 200,000 226,166
4.25%, 03/15/29 (a) 150,000 175,475
2.40%, 02/15/30 (a) 150,000 156,095
6.22%, 04/30/40 500,000 727,030
4.75%, 05/30/42 (a) 100,000 125,858
4.10%, 03/15/44 (a) 200,000 230,374
3.80%, 11/01/46 (a) 100,000 111,241
4.30%, 03/01/48 (a) 200,000 239,116
4.75%, 11/15/48 (a) 100,000 123,997
4.50%, 03/15/49 (a) 150,000 181,651
3.35%, 09/15/49 (a) 100,000 104,150
3.80%, 04/15/50 (a) 100,000 112,391
3.95%, 05/01/50 (a) 200,000 227,404
2.50%, 05/15/51 (a) 250,000 222,782
4.50%, 08/01/54 (a) 100,000 122,828
4.65%, 03/01/68 (a) 50,000 63,560
Delta Air Lines 2019-1 Class AA Pass-Through Trust
3.20%, 04/25/24 200,000 208,160
Delta Air Lines 2020-1 Class AA Pass-Through Trust
2.00%, 06/10/28 97,010 98,911
FedEx Corp.
2.63%, 08/01/22 150,000 154,841
4.00%, 01/15/24 200,000 219,422
3.20%, 02/01/25 100,000 108,171
3.80%, 05/15/25 (a) 300,000 332,328
3.25%, 04/01/26 (a) 250,000 273,242
3.30%, 03/15/27 (a) 150,000 164,939
3.40%, 02/15/28 (a) 150,000 165,683
3.10%, 08/05/29 (a) 200,000 215,370
4.90%, 01/15/34 150,000 186,100
1.88%, 02/20/34 243,316 239,019
3.90%, 02/01/35 200,000 227,788
3.88%, 08/01/42 150,000 163,581
4.10%, 04/15/43 100,000 111,235
5.10%, 01/15/44 75,000 93,969
4.10%, 02/01/45 400,000 441,416
 
57
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.75%, 11/15/45 (a) 300,000 362,094
4.40%, 01/15/47 (a) 100,000 115,444
4.05%, 02/15/48 (a) 100,000 110,149
4.95%, 10/17/48 (a) 150,000 186,232
5.25%, 05/15/50 (a) 300,000 388,257
JB Hunt Transport Services, Inc.
3.88%, 03/01/26 (a) 150,000 168,987
JetBlue 2019-1 Class AA Pass-Through Trust
2.75%, 05/15/32 96,342 96,780
JetBlue 2020-1 Class A Pass Through Trust
4.00%, 11/15/32 250,000 272,822
Kansas City Southern
2.88%, 11/15/29 (a) 150,000 156,678
4.95%, 08/15/45 (a) 100,000 122,319
4.70%, 05/01/48 (a) 150,000 177,615
3.50%, 05/01/50 (a) 100,000 104,035
4.20%, 11/15/69 (a) 100,000 109,270
Kirby Corp.
4.20%, 03/01/28 (a) 100,000 109,822
Norfolk Southern Corp.
2.90%, 02/15/23 (a) 150,000 156,434
3.65%, 08/01/25 (a) 100,000 110,685
2.90%, 06/15/26 (a) 300,000 325,569
3.15%, 06/01/27 (a) 200,000 219,748
3.80%, 08/01/28 (a) 150,000 170,898
2.55%, 11/01/29 (a) 100,000 104,826
3.95%, 10/01/42 (a) 330,000 380,480
4.65%, 01/15/46 (a) 150,000 182,775
3.94%, 11/01/47 (a) 200,000 226,858
4.15%, 02/28/48 (a) 100,000 117,227
4.10%, 05/15/49 (a) 100,000 116,766
3.40%, 11/01/49 (a) 100,000 104,736
3.05%, 05/15/50 (a) 200,000 198,334
4.05%, 08/15/52 (a) 150,000 173,199
3.16%, 05/15/55 (a) 150,000 148,053
Ryder System, Inc.
3.45%, 11/15/21 (a) 150,000 152,822
2.88%, 06/01/22 (a) 100,000 102,874
3.75%, 06/09/23 (a) 150,000 160,739
3.88%, 12/01/23 (a) 150,000 163,017
3.65%, 03/18/24 (a) 100,000 108,854
4.63%, 06/01/25 (a) 150,000 170,837
3.35%, 09/01/25 (a) 150,000 163,977
2.90%, 12/01/26 (a) 100,000 108,260
Southwest Airlines Co.
4.75%, 05/04/23 225,000 244,816
5.25%, 05/04/25 (a) 320,000 367,331
3.00%, 11/15/26 (a) 145,000 154,348
5.13%, 06/15/27 (a) 400,000 468,948
3.45%, 11/16/27 (a) 100,000 107,897
2.63%, 02/10/30 (a) 150,000 150,068
Union Pacific Corp.
4.16%, 07/15/22 (a) 362,000 377,617
3.65%, 02/15/24 (a) 500,000 542,125
3.15%, 03/01/24 (a) 200,000 215,194
3.25%, 01/15/25 (a) 100,000 108,266
3.75%, 07/15/25 (a) 150,000 167,025
2.75%, 03/01/26 (a) 150,000 161,130
3.00%, 04/15/27 (a) 200,000 217,926
3.95%, 09/10/28 (a) 250,000 286,857
3.70%, 03/01/29 (a) 150,000 169,514
2.40%, 02/05/30 (a) 200,000 206,804
3.60%, 09/15/37 (a) 350,000 385,210
4.38%, 09/10/38 (a) 150,000 180,648
3.55%, 08/15/39 (a) 100,000 110,010
4.05%, 11/15/45 (a) 450,000 516,510
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.05%, 03/01/46 (a) 150,000 172,121
4.30%, 03/01/49 (a) 100,000 120,076
3.25%, 02/05/50 (a) 450,000 465,925
3.80%, 10/01/51 (a) 150,000 169,298
3.88%, 02/01/55 (a) 50,000 54,926
3.95%, 08/15/59 (a) 100,000 114,078
3.84%, 03/20/60 (a) 450,000 506,947
2.97%, 09/16/62 (a)(c) 150,000 142,091
4.38%, 11/15/65 (a) 150,000 181,815
3.75%, 02/05/70 (a) 200,000 213,004
United Airlines 2014-1 Class A Pass-Through Trust
4.00%, 04/11/26 278,655 289,693
United Airlines 2014-2 Class A Pass-Through Trust
3.75%, 09/03/26 107,715 111,357
United Airlines 2016-1 Class AA Pass-Through Trust
3.10%, 07/07/28 122,298 125,454
United Airlines 2016-2 Class AA Pass-Through Trust
2.88%, 10/07/28 84,141 85,720
United Airlines 2018-1 Class AA Pass-Through Trust
3.50%, 03/01/30 136,237 139,186
United Airlines 2019-1 Class AA Pass-Through Trust
4.15%, 08/25/31 84,258 89,170
United Airlines 2019-2 Class AA Pass-Through Trust
2.70%, 05/01/32 98,523 97,320
United Airlines 2020-1 Class A Pass-Through Trust
5.88%, 10/15/27 585,495 654,665
United Parcel Service, Inc.
2.35%, 05/16/22 (a) 250,000 255,922
2.45%, 10/01/22 350,000 362,162
2.50%, 04/01/23 (a) 250,000 260,872
2.20%, 09/01/24 (a) 100,000 105,540
3.90%, 04/01/25 (a) 150,000 167,345
3.05%, 11/15/27 (a) 250,000 277,247
3.40%, 03/15/29 (a) 100,000 111,610
4.45%, 04/01/30 (a) 250,000 301,452
6.20%, 01/15/38 295,000 424,006
5.20%, 04/01/40 (a) 100,000 133,444
4.88%, 11/15/40 (a) 250,000 322,397
3.40%, 11/15/46 (a) 100,000 109,384
3.75%, 11/15/47 (a) 350,000 390,789
4.25%, 03/15/49 (a) 100,000 119,750
3.40%, 09/01/49 (a) 100,000 107,031
5.30%, 04/01/50 (a) 300,000 417,270
    34,385,762
    849,375,923
 
Utility 2.1%
Electric 1.9%
AEP Texas, Inc.
3.95%, 06/01/28 (a) 250,000 284,437
2.10%, 07/01/30 (a) 175,000 176,642
4.15%, 05/01/49 (a) 100,000 116,703
AEP Transmission Co. LLC
3.75%, 12/01/47 (a) 150,000 169,244
3.80%, 06/15/49 (a) 100,000 113,365
3.65%, 04/01/50 (a) 200,000 222,234
Alabama Power Co.
1.45%, 09/15/30 (a) 250,000 239,210
6.00%, 03/01/39 100,000 140,842
3.85%, 12/01/42 150,000 171,683
4.15%, 08/15/44 (a) 150,000 176,794
3.70%, 12/01/47 (a) 350,000 392,294
 
58
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.30%, 07/15/48 (a) 150,000 183,765
3.45%, 10/01/49 (a) 100,000 107,903
Ameren Corp.
2.50%, 09/15/24 (a) 100,000 106,002
3.50%, 01/15/31 (a) 200,000 221,620
Ameren Illinois Co.
2.70%, 09/01/22 (a) 263,000 270,935
4.15%, 03/15/46 (a) 150,000 179,775
3.70%, 12/01/47 (a) 350,000 393,746
4.50%, 03/15/49 (a) 100,000 126,632
American Electric Power Co., Inc.
3.65%, 12/01/21 150,000 153,774
3.20%, 11/13/27 (a) 150,000 164,954
4.30%, 12/01/28 (a) 100,000 115,596
2.30%, 03/01/30 (a) 150,000 151,389
3.25%, 03/01/50 (a) 150,000 147,189
Appalachian Power Co.
3.30%, 06/01/27 (a) 100,000 109,519
7.00%, 04/01/38 100,000 148,277
4.50%, 03/01/49 (a) 100,000 121,299
3.70%, 05/01/50 (a) 200,000 216,408
Arizona Public Service Co.
2.60%, 08/15/29 (a) 100,000 106,527
4.50%, 04/01/42 (a) 300,000 364,248
4.25%, 03/01/49 (a) 100,000 120,308
3.35%, 05/15/50 (a) 250,000 264,400
2.65%, 09/15/50 (a) 250,000 236,985
Atlantic City Electric Co.
4.00%, 10/15/28 (a) 100,000 114,684
Avangrid, Inc.
3.15%, 12/01/24 (a) 350,000 379,655
3.20%, 04/15/25 (a) 150,000 162,350
3.80%, 06/01/29 (a) 100,000 113,077
Avista Corp.
4.35%, 06/01/48 (a) 100,000 121,638
Baltimore Gas & Electric Co.
3.35%, 07/01/23 (a) 100,000 106,152
6.35%, 10/01/36 100,000 145,369
3.50%, 08/15/46 (a) 150,000 162,675
3.75%, 08/15/47 (a) 150,000 168,497
Berkshire Hathaway Energy Co.
2.80%, 01/15/23 (a) 600,000 626,574
3.75%, 11/15/23 (a) 200,000 216,460
4.05%, 04/15/25 (a)(c) 400,000 446,824
3.25%, 04/15/28 (a) 350,000 387,933
3.70%, 07/15/30 (a)(c) 350,000 398,293
6.13%, 04/01/36 298,000 417,206
5.15%, 11/15/43 (a) 100,000 130,375
4.50%, 02/01/45 (a) 250,000 300,312
3.80%, 07/15/48 (a) 150,000 166,586
4.45%, 01/15/49 (a) 300,000 367,680
4.25%, 10/15/50 (a)(c) 100,000 119,894
2.85%, 05/15/51 (a)(c) 250,000 236,197
Black Hills Corp.
3.15%, 01/15/27 (a) 350,000 379,393
2.50%, 06/15/30 (a) 250,000 255,417
4.35%, 05/01/33 (a) 150,000 174,891
3.88%, 10/15/49 (a) 100,000 106,322
CenterPoint Energy Houston Electric LLC
2.40%, 09/01/26 (a) 257,000 273,790
3.00%, 02/01/27 (a) 150,000 163,343
4.50%, 04/01/44 (a) 250,000 312,712
4.25%, 02/01/49 (a) 100,000 122,322
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
CenterPoint Energy, Inc.
2.50%, 09/01/24 (a) 250,000 264,370
4.25%, 11/01/28 (a) 150,000 172,986
2.95%, 03/01/30 (a) 100,000 106,107
3.70%, 09/01/49 (a) 100,000 106,387
Cleco Corporate Holdings LLC
3.74%, 05/01/26 (a) 150,000 165,167
CMS Energy Corp.
3.45%, 08/15/27 (a) 100,000 112,313
4.88%, 03/01/44 (a) 100,000 123,729
4.75%, 06/01/50 (a)(b) 100,000 109,387
Commonwealth Edison Co.
2.55%, 06/15/26 (a) 200,000 214,990
2.95%, 08/15/27 (a) 150,000 164,174
2.20%, 03/01/30 (a) 100,000 103,191
3.80%, 10/01/42 (a) 150,000 170,199
4.60%, 08/15/43 (a) 100,000 124,641
3.70%, 03/01/45 (a) 100,000 111,429
4.35%, 11/15/45 (a) 100,000 121,607
3.65%, 06/15/46 (a) 100,000 110,909
3.75%, 08/15/47 (a) 250,000 282,730
4.00%, 03/01/48 (a) 150,000 175,739
4.00%, 03/01/49 (a) 150,000 177,558
3.20%, 11/15/49 (a) 100,000 103,238
3.00%, 03/01/50 (a) 150,000 150,195
Consolidated Edison Co. of New York, Inc.
4.00%, 12/01/28 (a) 50,000 57,274
3.35%, 04/01/30 (a) 200,000 221,228
5.30%, 03/01/35 230,000 295,216
5.85%, 03/15/36 150,000 204,328
4.20%, 03/15/42 450,000 524,736
4.45%, 03/15/44 (a) 230,000 274,070
4.50%, 12/01/45 (a) 150,000 181,438
3.85%, 06/15/46 (a) 200,000 222,904
3.88%, 06/15/47 (a) 150,000 165,785
4.65%, 12/01/48 (a) 100,000 124,786
4.13%, 05/15/49 (a) 100,000 115,812
3.95%, 04/01/50 (a) 250,000 284,145
4.63%, 12/01/54 (a) 100,000 124,258
4.00%, 11/15/57 (a) 100,000 112,719
4.50%, 05/15/58 (a) 100,000 122,213
3.70%, 11/15/59 (a) 100,000 108,366
3.00%, 12/01/60 (a) 200,000 185,758
Consolidated Edison, Inc.
0.65%, 12/01/23 (a) 250,000 250,145
Consumers Energy Co.
3.38%, 08/15/23 (a) 330,000 352,107
3.95%, 05/15/43 (a) 330,000 385,057
4.05%, 05/15/48 (a) 100,000 120,498
4.35%, 04/15/49 (a) 100,000 125,711
3.50%, 08/01/51 (a) 200,000 223,250
2.50%, 05/01/60 (a) 200,000 178,426
Delmarva Power & Light Co.
3.50%, 11/15/23 (a) 200,000 215,960
Dominion Energy South Carolina, Inc.
6.05%, 01/15/38 100,000 141,118
5.45%, 02/01/41 (a) 100,000 135,657
5.10%, 06/01/65 (a) 100,000 142,411
Dominion Energy, Inc.
3.90%, 10/01/25 (a) 150,000 167,660
2.85%, 08/15/26 (a) 550,000 594,033
4.25%, 06/01/28 (a) 150,000 175,211
3.38%, 04/01/30 (a) 200,000 218,826
5.25%, 08/01/33 180,000 229,378
5.95%, 06/15/35 100,000 137,928
7.00%, 06/15/38 100,000 148,387
 
59
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.90%, 08/01/41 (a) 100,000 124,838
4.05%, 09/15/42 (a) 100,000 112,387
4.70%, 12/01/44 (a) 150,000 184,561
4.60%, 03/15/49 (a) 100,000 124,174
5.75%, 10/01/54 (a)(b) 150,000 164,708
DTE Electric Co.
2.25%, 03/01/30 (a) 150,000 154,938
2.63%, 03/01/31 (a) 300,000 317,664
3.70%, 03/15/45 (a) 250,000 282,357
3.75%, 08/15/47 (a) 150,000 170,937
4.05%, 05/15/48 (a) 100,000 120,451
3.95%, 03/01/49 (a) 150,000 179,188
2.95%, 03/01/50 (a) 100,000 101,455
DTE Energy Co.
0.55%, 11/01/22 200,000 200,586
2.25%, 11/01/22 250,000 257,740
3.70%, 08/01/23 (a) 150,000 161,207
3.50%, 06/01/24 (a) 200,000 216,424
2.53%, 10/01/24 100,000 106,136
1.05%, 06/01/25 (a) 200,000 199,454
2.85%, 10/01/26 (a) 300,000 323,100
3.40%, 06/15/29 (a) 100,000 110,099
2.95%, 03/01/30 (a) 100,000 106,369
Duke Energy Carolinas LLC
3.95%, 11/15/28 (a) 150,000 174,152
2.45%, 08/15/29 (a) 150,000 157,452
2.45%, 02/01/30 (a) 100,000 104,055
6.45%, 10/15/32 230,000 320,878
6.05%, 04/15/38 150,000 212,562
5.30%, 02/15/40 150,000 200,530
4.25%, 12/15/41 (a) 155,000 184,907
3.75%, 06/01/45 (a) 150,000 167,345
3.88%, 03/15/46 (a) 100,000 113,583
3.70%, 12/01/47 (a) 150,000 166,775
3.95%, 03/15/48 (a) 100,000 115,200
3.20%, 08/15/49 (a) 150,000 155,466
Duke Energy Corp.
3.05%, 08/15/22 (a) 200,000 206,430
3.75%, 04/15/24 (a) 455,000 495,063
0.90%, 09/15/25 (a) 200,000 198,206
2.65%, 09/01/26 (a) 450,000 478,773
3.15%, 08/15/27 (a) 200,000 218,752
3.40%, 06/15/29 (a) 200,000 220,030
2.45%, 06/01/30 (a) 250,000 254,572
3.75%, 09/01/46 (a) 250,000 265,750
3.95%, 08/15/47 (a) 100,000 109,572
4.20%, 06/15/49 (a) 100,000 113,872
Duke Energy Florida LLC
3.20%, 01/15/27 (a) 555,000 612,803
3.80%, 07/15/28 (a) 150,000 171,054
1.75%, 06/15/30 (a) 250,000 246,410
6.35%, 09/15/37 150,000 216,144
3.40%, 10/01/46 (a) 350,000 372,365
4.20%, 07/15/48 (a) 150,000 180,316
Duke Energy Indiana LLC
6.35%, 08/15/38 200,000 289,652
4.90%, 07/15/43 (a) 100,000 127,322
3.25%, 10/01/49 (a) 150,000 154,032
2.75%, 04/01/50 (a) 100,000 93,745
Duke Energy Ohio, Inc.
2.13%, 06/01/30 (a) 150,000 151,992
4.30%, 02/01/49 (a) 150,000 179,326
Duke Energy Progress LLC
3.70%, 09/01/28 (a) 200,000 226,798
4.10%, 05/15/42 (a) 100,000 116,903
4.10%, 03/15/43 (a) 150,000 175,875
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.15%, 12/01/44 (a) 278,000 330,011
4.20%, 08/15/45 (a) 200,000 237,910
3.70%, 10/15/46 (a) 250,000 278,192
2.50%, 08/15/50 (a) 250,000 227,070
Edison International
2.40%, 09/15/22 (a) 100,000 102,464
3.55%, 11/15/24 (a) 100,000 107,965
4.95%, 04/15/25 (a) 350,000 394,093
5.75%, 06/15/27 (a) 100,000 118,108
4.13%, 03/15/28 (a) 100,000 108,887
El Paso Electric Co.
6.00%, 05/15/35 44,000 59,930
Emera US Finance LP
3.55%, 06/15/26 (a) 150,000 164,885
4.75%, 06/15/46 (a) 150,000 176,736
Enel Americas S.A.
4.00%, 10/25/26 (a) 100,000 111,143
Enel Chile S.A.
4.88%, 06/12/28 (a) 100,000 117,518
Enel Generacion Chile S.A.
4.25%, 04/15/24 (a) 100,000 108,169
Entergy Arkansas LLC
3.70%, 06/01/24 (a) 200,000 218,614
4.20%, 04/01/49 (a) 150,000 181,177
2.65%, 06/15/51 (a) 250,000 232,880
Entergy Corp.
0.90%, 09/15/25 (a) 250,000 246,650
2.95%, 09/01/26 (a) 150,000 161,237
2.80%, 06/15/30 (a) 250,000 261,402
Entergy Louisiana LLC
4.05%, 09/01/23 (a) 100,000 108,116
2.40%, 10/01/26 (a) 400,000 426,420
3.25%, 04/01/28 (a) 250,000 274,417
4.00%, 03/15/33 (a) 100,000 118,989
4.20%, 09/01/48 (a) 100,000 120,036
4.20%, 04/01/50 (a) 150,000 179,943
Entergy Mississippi LLC
3.85%, 06/01/49 (a) 100,000 112,325
Entergy Texas, Inc.
1.75%, 03/15/31 (a) 250,000 242,405
4.50%, 03/30/39 (a) 250,000 299,762
3.55%, 09/30/49 (a) 100,000 106,124
Evergy Kansas Central, Inc.
3.10%, 04/01/27 (a) 200,000 216,940
4.13%, 03/01/42 (a) 100,000 115,867
4.25%, 12/01/45 (a) 100,000 118,063
3.45%, 04/15/50 (a) 150,000 160,581
Evergy Metro, Inc.
4.20%, 03/15/48 (a) 300,000 355,764
Evergy, Inc.
2.45%, 09/15/24 (a) 200,000 211,108
2.90%, 09/15/29 (a) 250,000 264,802
Eversource Energy
2.75%, 03/15/22 (a) 200,000 204,620
3.80%, 12/01/23 (a) 150,000 163,205
3.15%, 01/15/25 (a) 330,000 355,859
0.80%, 08/15/25 (a) 200,000 197,330
3.30%, 01/15/28 (a) 100,000 110,188
1.65%, 08/15/30 (a) 250,000 240,345
3.45%, 01/15/50 (a) 250,000 266,277
Exelon Corp.
3.95%, 06/15/25 (a) 250,000 277,860
4.05%, 04/15/30 (a) 300,000 344,001
4.95%, 06/15/35 (a)(c) 230,000 282,514
 
60
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
5.63%, 06/15/35 500,000 655,200
4.45%, 04/15/46 (a) 200,000 237,364
4.70%, 04/15/50 (a) 100,000 124,909
Exelon Generation Co., LLC
3.40%, 03/15/22 (a) 400,000 411,252
4.25%, 06/15/22 (a) 150,000 155,547
3.25%, 06/01/25 (a) 250,000 268,517
6.25%, 10/01/39 262,000 313,328
5.75%, 10/01/41 (a) 100,000 114,497
Florida Power & Light Co.
2.85%, 04/01/25 (a) 150,000 161,264
5.63%, 04/01/34 150,000 205,993
5.65%, 02/01/37 100,000 135,677
5.96%, 04/01/39 200,000 287,654
5.69%, 03/01/40 300,000 423,021
5.25%, 02/01/41 (a) 250,000 338,920
4.05%, 06/01/42 (a) 250,000 296,640
3.70%, 12/01/47 (a) 100,000 114,816
3.95%, 03/01/48 (a) 100,000 118,890
4.13%, 06/01/48 (a) 250,000 305,075
3.99%, 03/01/49 (a) 250,000 302,145
3.15%, 10/01/49 (a) 100,000 105,679
Fortis, Inc.
3.06%, 10/04/26 (a) 155,000 168,353
Georgia Power Co.
2.85%, 05/15/22 150,000 154,440
2.10%, 07/30/23 200,000 207,792
2.65%, 09/15/29 (a) 150,000 157,730
4.75%, 09/01/40 150,000 184,818
4.30%, 03/15/42 150,000 176,403
4.30%, 03/15/43 100,000 118,046
3.70%, 01/30/50 (a) 100,000 108,486
Gulf Power Co.
3.30%, 05/30/27 (a) 450,000 500,260
Iberdrola International BV
6.75%, 07/15/36 100,000 149,731
Indiana Michigan Power Co.
4.55%, 03/15/46 (a) 200,000 246,538
3.75%, 07/01/47 (a) 100,000 111,042
4.25%, 08/15/48 (a) 100,000 119,519
Interstate Power & Light Co.
3.25%, 12/01/24 (a) 100,000 108,826
2.30%, 06/01/30 (a) 200,000 204,998
6.25%, 07/15/39 150,000 212,556
3.50%, 09/30/49 (a) 100,000 106,245
ITC Holdings Corp.
2.70%, 11/15/22 (a) 200,000 207,432
3.25%, 06/30/26 (a) 100,000 109,437
5.30%, 07/01/43 (a) 100,000 126,910
Kentucky Utilities Co.
5.13%, 11/01/40 (a) 100,000 128,937
4.38%, 10/01/45 (a) 100,000 120,569
3.30%, 06/01/50 (a) 250,000 255,467
Louisville Gas & Electric Co.
4.25%, 04/01/49 (a) 150,000 177,019
McCormick & Co., Inc.
2.90%, 03/01/50 (a) 150,000 150,395
MidAmerican Energy Co.
6.75%, 12/30/31 100,000 143,468
4.80%, 09/15/43 (a) 100,000 128,535
4.40%, 10/15/44 (a) 100,000 122,154
4.25%, 05/01/46 (a) 100,000 120,440
3.95%, 08/01/47 (a) 150,000 175,520
3.65%, 08/01/48 (a) 150,000 168,974
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.25%, 07/15/49 (a) 150,000 184,720
3.15%, 04/15/50 (a) 100,000 104,448
Mississippi Power Co.
4.25%, 03/15/42 100,000 115,006
National Rural Utilities Cooperative Finance Corp.
2.40%, 04/25/22 (a) 850,000 869,286
3.40%, 02/07/28 (a) 200,000 222,776
2.40%, 03/15/30 (a) 150,000 156,056
1.35%, 03/15/31 (a) 250,000 236,377
4.02%, 11/01/32 (a) 150,000 179,307
4.75%, 04/30/43 (a)(b) 100,000 104,230
4.40%, 11/01/48 (a) 150,000 188,800
4.30%, 03/15/49 (a) 100,000 123,554
Nevada Power Co.
3.70%, 05/01/29 (a) 250,000 284,815
6.75%, 07/01/37 100,000 144,109
3.13%, 08/01/50 (a) 100,000 101,491
NextEra Energy Capital Holdings, Inc.
2.90%, 04/01/22 250,000 257,015
3.15%, 04/01/24 (a) 250,000 268,615
2.75%, 05/01/25 (a) 400,000 426,648
3.25%, 04/01/26 (a) 100,000 109,793
3.55%, 05/01/27 (a) 250,000 280,787
3.50%, 04/01/29 (a) 150,000 165,992
2.75%, 11/01/29 (a) 150,000 158,138
2.25%, 06/01/30 (a) 300,000 303,423
4.80%, 12/01/77 (a)(b) 200,000 216,208
Northern States Power Co.
5.30%, 06/01/42 (a) 37,000 50,345
4.00%, 08/15/45 (a) 150,000 179,256
3.60%, 05/15/46 (a) 200,000 223,724
3.60%, 09/15/47 (a) 350,000 394,086
NSTAR Electric Co.
5.50%, 03/15/40 300,000 412,227
Oglethorpe Power Corp.
5.95%, 11/01/39 100,000 129,542
5.38%, 11/01/40 200,000 241,650
3.75%, 08/01/50 (a) 250,000 255,535
Ohio Edison Co.
6.88%, 07/15/36 100,000 135,099
Ohio Power Co.
2.60%, 04/01/30 (a) 200,000 211,628
4.00%, 06/01/49 (a) 50,000 58,301
Oklahoma Gas & Electric Co.
3.80%, 08/15/28 (a) 250,000 282,570
3.30%, 03/15/30 (a) 100,000 110,775
3.25%, 04/01/30 (a) 250,000 276,955
Oncor Electric Delivery Co., LLC
2.75%, 06/01/24 (a) 250,000 267,415
2.95%, 04/01/25 (a) 100,000 108,076
0.55%, 10/01/25 (a)(c) 250,000 245,735
3.70%, 11/15/28 (a) 100,000 113,995
4.55%, 12/01/41 (a) 480,000 598,680
3.80%, 06/01/49 (a) 100,000 115,628
3.10%, 09/15/49 (a) 150,000 155,039
3.70%, 05/15/50 (a) 100,000 114,153
5.35%, 10/01/52 (a)(c) 178,000 254,387
Pacific Gas & Electric Co.
1.75%, 06/16/22 (a) 500,000 501,455
4.25%, 08/01/23 (a) 500,000 537,735
3.40%, 08/15/24 (a) 200,000 213,942
3.15%, 01/01/26 750,000 797,190
2.10%, 08/01/27 (a) 250,000 249,907
4.55%, 07/01/30 (a) 750,000 837,442
2.50%, 02/01/31 (a) 450,000 438,727
 
61
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.50%, 07/01/40 (a) 750,000 801,412
3.30%, 08/01/40 (a) 250,000 238,490
4.30%, 03/15/45 (a) 350,000 357,416
3.95%, 12/01/47 (a) 200,000 195,372
4.95%, 07/01/50 (a) 750,000 814,365
3.50%, 08/01/50 (a) 350,000 321,216
PacifiCorp
3.50%, 06/15/29 (a) 150,000 167,855
2.70%, 09/15/30 (a) 200,000 212,344
6.25%, 10/15/37 100,000 141,914
6.00%, 01/15/39 330,000 462,762
4.13%, 01/15/49 (a) 150,000 176,621
4.15%, 02/15/50 (a) 300,000 356,919
3.30%, 03/15/51 (a) 100,000 104,191
PECO Energy Co.
4.15%, 10/01/44 (a) 100,000 119,541
3.90%, 03/01/48 (a) 150,000 175,202
3.00%, 09/15/49 (a) 100,000 101,049
2.80%, 06/15/50 (a) 100,000 97,174
Pinnacle West Capital Corp.
1.30%, 06/15/25 (a) 175,000 176,353
Potomac Electric Power Co.
3.60%, 03/15/24 (a) 150,000 162,224
4.15%, 03/15/43 (a) 100,000 119,409
PPL Capital Funding, Inc.
3.40%, 06/01/23 (a) 374,000 395,774
3.10%, 05/15/26 (a) 250,000 271,760
4.13%, 04/15/30 (a) 200,000 231,048
5.00%, 03/15/44 (a) 200,000 245,762
4.00%, 09/15/47 (a) 100,000 109,144
PPL Electric Utilities Corp.
4.75%, 07/15/43 (a) 50,000 62,961
4.13%, 06/15/44 (a) 100,000 117,545
3.95%, 06/01/47 (a) 150,000 173,376
4.15%, 06/15/48 (a) 100,000 120,613
Progress Energy, Inc.
3.15%, 04/01/22 (a) 250,000 255,742
7.75%, 03/01/31 150,000 216,916
6.00%, 12/01/39 250,000 339,735
Public Service Co. of Colorado
3.70%, 06/15/28 (a) 200,000 226,504
1.90%, 01/15/31 (a) 150,000 150,761
6.25%, 09/01/37 100,000 144,588
3.60%, 09/15/42 (a) 100,000 111,444
4.30%, 03/15/44 (a) 40,000 48,742
3.80%, 06/15/47 (a) 200,000 229,846
4.05%, 09/15/49 (a) 200,000 238,994
3.20%, 03/01/50 (a) 100,000 105,479
Public Service Co. of New Hampshire
3.50%, 11/01/23 (a) 200,000 215,458
3.60%, 07/01/49 (a) 150,000 169,553
Public Service Electric & Gas Co.
3.20%, 05/15/29 (a) 300,000 330,846
3.95%, 05/01/42 (a) 150,000 174,393
3.80%, 03/01/46 (a) 150,000 173,039
3.60%, 12/01/47 (a) 100,000 112,597
3.85%, 05/01/49 (a) 150,000 175,929
3.15%, 01/01/50 (a) 100,000 105,149
2.70%, 05/01/50 (a) 250,000 241,470
2.05%, 08/01/50 (a) 200,000 168,894
Public Service Enterprise Group, Inc.
2.00%, 11/15/21 (a) 200,000 202,120
2.88%, 06/15/24 (a) 100,000 106,842
0.80%, 08/15/25 (a) 250,000 246,702
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.60%, 08/15/30 (a) 200,000 188,978
8.63%, 04/15/31 (a)(c) 180,000 274,630
Puget Energy, Inc.
4.10%, 06/15/30 (a) 250,000 278,685
Puget Sound Energy, Inc.
6.27%, 03/15/37 362,000 505,240
4.22%, 06/15/48 (a) 100,000 120,056
3.25%, 09/15/49 (a) 100,000 102,338
San Diego Gas & Electric Co.
2.50%, 05/15/26 (a) 150,000 159,738
1.70%, 10/01/30 (a) 200,000 193,892
6.00%, 06/01/39 250,000 351,010
4.50%, 08/15/40 100,000 121,239
4.15%, 05/15/48 (a) 100,000 119,044
4.10%, 06/15/49 (a) 100,000 117,280
3.32%, 04/15/50 (a) 100,000 105,248
Sempra Energy
3.55%, 06/15/24 (a) 150,000 162,854
Southern California Edison Co.
3.40%, 06/01/23 (a) 100,000 106,372
3.50%, 10/01/23 (a) 300,000 321,093
3.70%, 08/01/25 (a) 200,000 220,126
1.20%, 02/01/26 (a) 250,000 249,480
3.65%, 03/01/28 (a) 250,000 276,697
4.20%, 03/01/29 (a) 100,000 114,768
2.85%, 08/01/29 (a) 100,000 105,669
2.25%, 06/01/30 (a) 150,000 150,728
5.55%, 01/15/37 150,000 188,146
5.95%, 02/01/38 100,000 131,780
5.50%, 03/15/40 100,000 128,089
4.50%, 09/01/40 (a) 150,000 172,632
4.05%, 03/15/42 (a) 100,000 109,172
3.90%, 03/15/43 (a) 150,000 160,331
4.65%, 10/01/43 (a) 150,000 177,115
3.60%, 02/01/45 (a) 100,000 102,466
4.00%, 04/01/47 (a) 400,000 430,972
4.13%, 03/01/48 (a) 250,000 276,717
4.88%, 03/01/49 (a) 100,000 122,659
3.65%, 02/01/50 (a) 200,000 206,318
2.95%, 02/01/51 (a) 200,000 184,306
Southern Power Co.
4.15%, 12/01/25 (a) 100,000 112,899
0.90%, 01/15/26 (a) 250,000 246,785
5.25%, 07/15/43 50,000 60,638
4.95%, 12/15/46 (a) 100,000 116,527
Southwestern Electric Power Co.
2.75%, 10/01/26 (a) 150,000 159,908
3.90%, 04/01/45 (a) 200,000 216,072
3.85%, 02/01/48 (a) 150,000 161,639
Southwestern Public Service Co.
4.50%, 08/15/41 (a) 150,000 182,208
3.40%, 08/15/46 (a) 150,000 157,451
3.70%, 08/15/47 (a) 100,000 110,518
3.15%, 05/01/50 (a) 250,000 255,542
Tampa Electric Co.
4.30%, 06/15/48 (a) 250,000 300,710
The AES Corp.
1.38%, 01/15/26 (a)(c) 150,000 148,158
2.45%, 01/15/31 (a)(c) 250,000 245,550
The Connecticut Light and Power Co
4.00%, 04/01/48 (a) 200,000 241,284
The Dayton Power & Light Co
3.95%, 06/15/49 (a) 100,000 109,714
 
62
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
The Southern Co.
2.95%, 07/01/23 (a) 250,000 263,337
3.25%, 07/01/26 (a) 300,000 326,823
3.70%, 04/30/30 (a) 250,000 278,885
4.25%, 07/01/36 (a) 150,000 174,821
4.40%, 07/01/46 (a) 450,000 520,416
4.00%, 01/15/51 (a)(b) 250,000 260,237
5.50%, 03/15/57 (a)(b) 100,000 102,719
The Toledo Edison Co.
6.15%, 05/15/37 100,000 132,776
Tucson Electric Power Co.
1.50%, 08/01/30 (a) 200,000 192,524
4.85%, 12/01/48 (a) 50,000 63,031
4.00%, 06/15/50 (a) 100,000 114,333
Union Electric Co.
3.50%, 03/15/29 (a) 150,000 168,399
2.95%, 03/15/30 (a) 200,000 216,704
3.90%, 09/15/42 (a) 40,000 45,938
4.00%, 04/01/48 (a) 250,000 293,797
2.63%, 03/15/51 (a) 250,000 239,302
Virginia Electric & Power Co.
3.45%, 09/01/22 (a) 350,000 363,328
2.75%, 03/15/23 (a) 100,000 104,278
3.50%, 03/15/27 (a) 250,000 279,700
3.80%, 04/01/28 (a) 150,000 169,703
2.88%, 07/15/29 (a) 250,000 270,680
6.00%, 05/15/37 300,000 416,616
8.88%, 11/15/38 150,000 267,120
4.00%, 01/15/43 (a) 100,000 117,099
4.45%, 02/15/44 (a) 100,000 123,273
4.20%, 05/15/45 (a) 100,000 119,500
3.80%, 09/15/47 (a) 150,000 171,161
4.60%, 12/01/48 (a) 150,000 192,130
3.30%, 12/01/49 (a) 350,000 369,012
WEC Energy Group, Inc.
0.55%, 09/15/23 200,000 200,752
1.38%, 10/15/27 (a) 200,000 197,454
1.80%, 10/15/30 (a) 250,000 241,905
Wisconsin Electric Power Co.
4.30%, 10/15/48 (a) 100,000 123,548
Wisconsin Power & Light Co.
3.00%, 07/01/29 (a) 100,000 109,415
3.65%, 04/01/50 (a) 100,000 111,551
Wisconsin Public Service Corp.
3.35%, 11/21/21 100,000 102,235
3.67%, 12/01/42 250,000 280,060
Xcel Energy, Inc.
0.50%, 10/15/23 (a) 450,000 451,084
4.00%, 06/15/28 (a) 250,000 284,835
2.60%, 12/01/29 (a) 100,000 104,424
3.40%, 06/01/30 (a) 100,000 110,059
3.50%, 12/01/49 (a) 100,000 105,673
    99,039,386
Natural Gas 0.2%
Atmos Energy Corp.
2.63%, 09/15/29 (a) 125,000 131,630
1.50%, 01/15/31 (a) 250,000 235,100
4.13%, 10/15/44 (a) 300,000 348,225
4.30%, 10/01/48 (a) 100,000 119,994
4.13%, 03/15/49 (a) 100,000 117,857
3.38%, 09/15/49 (a) 100,000 104,688
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
CenterPoint Energy Resources Corp.
4.00%, 04/01/28 (a) 100,000 113,669
1.75%, 10/01/30 (a) 250,000 241,132
5.85%, 01/15/41 (a) 100,000 136,021
NiSource, Inc.
0.95%, 08/15/25 (a) 350,000 346,346
3.49%, 05/15/27 (a) 250,000 277,367
2.95%, 09/01/29 (a) 100,000 106,383
3.60%, 05/01/30 (a) 200,000 222,774
1.70%, 02/15/31 (a) 250,000 239,055
5.25%, 02/15/43 (a) 195,000 247,999
4.80%, 02/15/44 (a) 409,000 500,448
3.95%, 03/30/48 (a) 100,000 110,671
ONE Gas, Inc.
2.00%, 05/15/30 (a) 200,000 198,310
4.66%, 02/01/44 (a) 100,000 120,685
4.50%, 11/01/48 (a) 100,000 122,803
Piedmont Natural Gas Co., Inc.
3.50%, 06/01/29 (a) 150,000 166,880
3.64%, 11/01/46 (a) 100,000 107,001
3.35%, 06/01/50 (a) 100,000 102,905
Sempra Energy
2.90%, 02/01/23 (a) 250,000 261,310
3.75%, 11/15/25 (a) 150,000 166,644
3.25%, 06/15/27 (a) 200,000 219,898
3.40%, 02/01/28 (a) 200,000 220,376
3.80%, 02/01/38 (a) 150,000 166,508
6.00%, 10/15/39 150,000 204,374
4.00%, 02/01/48 (a) 150,000 165,597
Southern California Gas Co.
3.15%, 09/15/24 (a) 50,000 54,162
2.60%, 06/15/26 (a) 130,000 139,023
2.55%, 02/01/30 (a) 100,000 104,532
3.75%, 09/15/42 (a) 150,000 167,495
4.30%, 01/15/49 (a) 350,000 431,259
3.95%, 02/15/50 (a) 100,000 117,330
Southern Co. Gas Capital Corp.
2.45%, 10/01/23 (a) 150,000 157,218
1.75%, 01/15/31 (a) 250,000 240,850
5.88%, 03/15/41 (a) 150,000 207,043
4.40%, 06/01/43 (a) 75,000 86,357
3.95%, 10/01/46 (a) 150,000 164,120
Southwest Gas Corp.
2.20%, 06/15/30 (a) 250,000 253,390
4.15%, 06/01/49 (a) 100,000 114,820
Washington Gas Light Co.
3.80%, 09/15/46 (a) 100,000 112,635
    8,172,884
Utility Other 0.0%
American Water Capital Corp.
3.40%, 03/01/25 (a) 150,000 163,479
3.75%, 09/01/28 (a) 240,000 272,796
3.45%, 06/01/29 (a) 300,000 335,229
2.80%, 05/01/30 (a) 200,000 212,726
3.75%, 09/01/47 (a) 600,000 679,518
4.15%, 06/01/49 (a) 150,000 180,660
3.45%, 05/01/50 (a) 100,000 108,662
Essential Utilities, Inc.
3.57%, 05/01/29 (a) 100,000 111,105
2.70%, 04/15/30 (a) 100,000 104,361
 
63
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.28%, 05/01/49 (a) 100,000 117,924
3.35%, 04/15/50 (a) 100,000 102,632
    2,389,092
    109,601,362
Total Corporates
(Cost $1,306,335,177)   1,377,243,820

Treasuries 37.1% of net assets
Bonds
7.25%, 08/15/22 1,000,000 1,102,988
7.63%, 11/15/22 327,600 369,683
7.13%, 02/15/23 1,000,000 1,137,168
6.25%, 08/15/23 1,375,000 1,580,444
7.50%, 11/15/24 300,000 378,516
7.63%, 02/15/25 550,000 704,666
6.88%, 08/15/25 500,000 637,734
6.00%, 02/15/26 1,310,800 1,650,277
6.75%, 08/15/26 250,000 329,648
6.50%, 11/15/26 655,300 861,720
6.63%, 02/15/27 1,196,400 1,597,521
0.38%, 07/31/27 10,100,000 9,701,918
6.38%, 08/15/27 743,300 995,964
0.50%, 08/31/27 9,100,000 8,795,719
6.13%, 11/15/27 1,509,500 2,011,173
5.50%, 08/15/28 1,780,000 2,337,919
5.25%, 11/15/28 1,188,100 1,547,964
5.25%, 02/15/29 1,795,300 2,351,703
6.13%, 08/15/29 600,000 838,078
6.25%, 05/15/30 1,450,000 2,079,730
0.63%, 08/15/30 22,200,000 20,751,797
5.38%, 02/15/31 1,760,000 2,425,363
4.50%, 02/15/36 3,158,700 4,345,680
4.75%, 02/15/37 3,430,000 4,882,123
5.00%, 05/15/37 3,120,000 4,563,000
4.38%, 02/15/38 2,377,600 3,284,060
4.50%, 05/15/38 2,810,000 3,936,854
3.50%, 02/15/39 1,755,300 2,200,845
4.25%, 05/15/39 2,129,500 2,923,404
4.50%, 08/15/39 2,523,300 3,566,921
4.38%, 11/15/39 2,175,900 3,036,060
4.63%, 02/15/40 2,348,600 3,382,534
1.13%, 05/15/40 10,200,000 8,780,766
4.38%, 05/15/40 2,677,000 3,751,565
1.13%, 08/15/40 9,400,000 8,059,031
3.88%, 08/15/40 3,109,100 4,104,255
1.38%, 11/15/40 15,500,000 13,894,297
4.25%, 11/15/40 2,573,600 3,560,013
1.88%, 02/15/41 6,000,000 5,876,579
4.75%, 02/15/41 2,900,000 4,267,758
4.38%, 05/15/41 3,113,700 4,388,128
3.75%, 08/15/41 2,503,600 3,263,286
3.13%, 11/15/41 2,581,600 3,086,626
3.13%, 02/15/42 2,930,900 3,506,547
3.00%, 05/15/42 2,305,300 2,704,045
2.75%, 08/15/42 3,368,100 3,800,427
2.75%, 11/15/42 4,610,800 5,196,516
3.13%, 02/15/43 4,232,900 5,064,268
2.88%, 05/15/43 6,872,800 7,911,237
3.63%, 08/15/43 4,692,900 6,052,008
3.75%, 11/15/43 5,802,900 7,621,746
3.63%, 02/15/44 6,562,900 8,475,370
3.38%, 05/15/44 5,993,600 7,459,223
3.13%, 08/15/44 6,838,200 8,189,813
3.00%, 11/15/44 6,253,600 7,344,072
2.50%, 02/15/45 7,307,000 7,876,718
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.00%, 05/15/45 3,968,600 4,669,926
2.88%, 08/15/45 5,488,200 6,324,722
3.00%, 11/15/45 3,018,600 3,555,816
2.50%, 02/15/46 6,957,900 7,506,378
2.50%, 05/15/46 6,667,800 7,187,680
2.25%, 08/15/46 7,795,800 8,012,621
2.88%, 11/15/46 6,148,900 7,101,019
3.00%, 02/15/47 5,836,600 6,904,971
3.00%, 05/15/47 5,119,000 6,060,416
2.75%, 08/15/47 6,875,000 7,784,326
2.75%, 11/15/47 7,450,000 8,438,289
3.00%, 02/15/48 8,250,000 9,791,719
3.13%, 05/15/48 6,900,000 8,379,727
3.00%, 08/15/48 9,050,000 10,761,016
3.38%, 11/15/48 8,600,000 10,938,125
3.00%, 02/15/49 9,750,000 11,620,781
2.88%, 05/15/49 9,750,000 11,367,891
2.25%, 08/15/49 9,700,000 9,991,000
2.38%, 11/15/49 8,450,000 8,938,516
2.00%, 02/15/50 10,820,000 10,554,572
1.25%, 05/15/50 12,450,000 10,062,129
1.38%, 08/15/50 14,100,000 11,779,008
1.63%, 11/15/50 (i) 15,500,000 13,805,899
1.88%, 02/15/51 6,000,000 5,686,406
Notes
2.25%, 04/15/22 2,500,000 2,560,205
0.13%, 04/30/22 9,500,000 9,503,154
1.75%, 04/30/22 10,385,300 10,584,690
1.88%, 04/30/22 7,550,000 7,706,014
1.75%, 05/15/22 8,319,100 8,484,832
2.13%, 05/15/22 8,500,000 8,708,018
0.13%, 05/31/22 12,300,000 12,305,525
1.75%, 05/31/22 8,810,000 8,992,050
1.88%, 05/31/22 5,393,600 5,513,481
1.75%, 06/15/22 9,000,000 9,192,656
0.13%, 06/30/22 8,400,000 8,402,953
1.75%, 06/30/22 6,000,000 6,131,836
2.13%, 06/30/22 6,000,000 6,161,484
1.75%, 07/15/22 5,000,000 5,112,793
0.13%, 07/31/22 8,700,000 8,702,889
1.88%, 07/31/22 7,800,000 7,994,848
2.00%, 07/31/22 4,538,200 4,659,721
1.50%, 08/15/22 8,200,000 8,366,562
1.63%, 08/15/22 3,819,100 3,903,538
0.13%, 08/31/22 9,400,000 9,402,570
1.63%, 08/31/22 6,127,000 6,265,456
1.88%, 08/31/22 4,470,000 4,587,599
1.50%, 09/15/22 6,700,000 6,842,898
0.13%, 09/30/22 9,200,000 9,202,336
1.75%, 09/30/22 6,298,900 6,461,294
1.88%, 09/30/22 5,500,000 5,652,647
1.38%, 10/15/22 5,600,000 5,714,078
0.13%, 10/31/22 9,600,000 9,601,313
1.88%, 10/31/22 3,466,200 3,567,546
2.00%, 10/31/22 6,000,000 6,187,734
1.63%, 11/15/22 7,954,400 8,158,853
0.13%, 11/30/22 12,000,000 12,000,938
2.00%, 11/30/22 10,471,600 10,814,790
1.63%, 12/15/22 6,100,000 6,264,176
0.13%, 12/31/22 11,000,000 10,999,785
2.13%, 12/31/22 10,660,800 11,050,377
1.50%, 01/15/23 5,000,000 5,128,027
0.13%, 01/31/23 13,000,000 12,999,492
1.75%, 01/31/23 4,910,800 5,063,112
2.38%, 01/31/23 5,500,000 5,736,543
1.38%, 02/15/23 3,400,000 3,482,543
2.00%, 02/15/23 9,414,600 9,758,637
0.13%, 02/28/23 13,000,000 12,999,839
 
64
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.50%, 02/28/23 4,393,600 4,513,137
2.63%, 02/28/23 5,500,000 5,772,852
0.50%, 03/15/23 6,300,000 6,346,020
1.50%, 03/31/23 6,600,000 6,786,141
2.50%, 03/31/23 5,500,000 5,770,488
0.25%, 04/15/23 8,000,000 8,016,250
1.63%, 04/30/23 5,260,800 5,427,461
2.75%, 04/30/23 5,200,000 5,490,875
0.13%, 05/15/23 8,200,000 8,193,273
1.75%, 05/15/23 9,184,400 9,504,778
1.63%, 05/31/23 4,329,900 4,470,960
2.75%, 05/31/23 5,600,000 5,924,625
0.25%, 06/15/23 10,200,000 10,218,328
1.38%, 06/30/23 4,913,000 5,049,643
2.63%, 06/30/23 5,500,000 5,815,820
0.13%, 07/15/23 8,500,000 8,489,043
1.25%, 07/31/23 6,500,000 6,667,832
2.75%, 07/31/23 4,800,000 5,097,000
0.13%, 08/15/23 9,700,000 9,684,086
2.50%, 08/15/23 8,402,200 8,879,419
1.38%, 08/31/23 5,500,000 5,662,637
2.75%, 08/31/23 4,800,000 5,105,625
0.13%, 09/15/23 8,500,000 8,483,398
1.38%, 09/30/23 4,574,500 4,712,986
2.88%, 09/30/23 5,200,000 5,557,906
0.13%, 10/15/23 11,300,000 11,273,957
1.63%, 10/31/23 5,450,000 5,654,375
2.88%, 10/31/23 5,600,000 5,995,500
0.25%, 11/15/23 12,000,000 12,007,031
2.75%, 11/15/23 8,438,200 9,013,712
2.13%, 11/30/23 3,700,000 3,892,660
2.88%, 11/30/23 2,200,000 2,359,414
0.13%, 12/15/23 8,400,000 8,372,437
2.25%, 12/31/23 4,575,200 4,834,342
2.63%, 12/31/23 5,750,000 6,136,553
0.13%, 01/15/24 13,000,000 12,950,234
2.25%, 01/31/24 5,724,500 6,055,671
2.50%, 01/31/24 6,000,000 6,390,469
0.13%, 02/15/24 12,000,000 11,949,844
2.75%, 02/15/24 9,450,000 10,142,508
2.13%, 02/29/24 5,464,100 5,765,693
2.38%, 02/29/24 5,000,000 5,312,695
2.13%, 03/31/24 11,254,400 11,884,822
2.00%, 04/30/24 5,500,000 5,792,832
2.25%, 04/30/24 8,750,000 9,283,203
2.50%, 05/15/24 10,757,600 11,513,153
2.00%, 05/31/24 9,100,000 9,590,902
1.75%, 06/30/24 9,100,000 9,521,586
2.00%, 06/30/24 4,750,000 5,010,322
1.75%, 07/31/24 7,600,000 7,956,547
2.13%, 07/31/24 5,000,000 5,298,633
2.38%, 08/15/24 12,426,900 13,284,647
1.25%, 08/31/24 7,600,000 7,826,812
1.88%, 08/31/24 5,665,000 5,957,987
1.50%, 09/30/24 6,300,000 6,545,355
2.13%, 09/30/24 4,750,000 5,041,680
1.50%, 10/31/24 7,300,000 7,584,301
2.25%, 10/31/24 5,400,000 5,761,125
2.25%, 11/15/24 11,426,900 12,192,413
1.50%, 11/30/24 8,710,000 9,050,234
2.13%, 11/30/24 5,500,000 5,844,180
1.75%, 12/31/24 7,200,000 7,551,281
2.25%, 12/31/24 4,600,000 4,913,734
1.38%, 01/31/25 7,100,000 7,344,340
2.50%, 01/31/25 4,500,000 4,854,023
2.00%, 02/15/25 12,298,900 13,029,628
1.13%, 02/28/25 8,950,000 9,169,904
2.75%, 02/28/25 5,250,000 5,719,219
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.50%, 03/31/25 9,600,000 9,591,375
2.63%, 03/31/25 3,700,000 4,014,645
0.38%, 04/30/25 8,000,000 7,944,062
2.88%, 04/30/25 5,300,000 5,811,988
2.13%, 05/15/25 9,921,600 10,578,131
0.25%, 05/31/25 8,900,000 8,782,492
2.88%, 05/31/25 4,600,000 5,049,398
0.25%, 06/30/25 9,000,000 8,872,383
2.75%, 06/30/25 3,850,000 4,209,283
0.25%, 07/31/25 10,100,000 9,946,527
2.88%, 07/31/25 4,500,000 4,949,121
2.00%, 08/15/25 11,607,400 12,326,061
0.25%, 08/31/25 9,400,000 9,246,516
2.75%, 08/31/25 4,400,000 4,818,000
0.25%, 09/30/25 10,900,000 10,709,676
3.00%, 09/30/25 3,900,000 4,318,488
0.25%, 10/31/25 10,400,000 10,209,469
3.00%, 10/31/25 3,100,000 3,436,156
2.25%, 11/15/25 12,080,200 12,978,665
0.38%, 11/30/25 11,000,000 10,849,180
2.88%, 11/30/25 2,200,000 2,428,078
0.38%, 12/31/25 11,300,000 11,132,707
2.63%, 12/31/25 4,400,000 4,807,859
0.38%, 01/31/26 (i) 12,400,000 12,203,828
2.63%, 01/31/26 4,400,000 4,811,641
1.63%, 02/15/26 10,545,800 11,021,185
0.50%, 02/28/26 14,000,000 13,856,560
2.50%, 02/28/26 6,000,000 6,528,984
2.25%, 03/31/26 6,100,000 6,563,934
2.38%, 04/30/26 4,200,000 4,546,992
1.63%, 05/15/26 11,424,500 11,931,462
2.13%, 05/31/26 5,200,000 5,564,203
1.88%, 06/30/26 4,950,000 5,232,885
1.88%, 07/31/26 5,500,000 5,813,672
1.50%, 08/15/26 12,571,600 13,031,740
1.38%, 08/31/26 5,600,000 5,766,031
1.63%, 09/30/26 4,400,000 4,588,547
1.63%, 10/31/26 4,800,000 5,002,875
2.00%, 11/15/26 10,473,900 11,135,065
1.63%, 11/30/26 4,900,000 5,105,762
1.75%, 12/31/26 5,000,000 5,245,703
1.50%, 01/31/27 4,700,000 4,860,828
2.25%, 02/15/27 9,442,600 10,176,246
1.13%, 02/28/27 2,500,000 2,529,297
0.63%, 03/31/27 5,850,000 5,738,941
0.50%, 04/30/27 7,600,000 7,389,813
2.38%, 05/15/27 11,500,000 12,486,035
0.50%, 05/31/27 7,800,000 7,572,703
0.50%, 06/30/27 7,600,000 7,369,328
2.25%, 08/15/27 10,942,000 11,794,707
0.38%, 09/30/27 10,800,000 10,340,156
0.50%, 10/31/27 10,700,000 10,315,469
2.25%, 11/15/27 10,000,000 10,775,000
0.63%, 11/30/27 10,600,000 10,290,281
0.63%, 12/31/27 12,600,000 12,219,047
0.75%, 01/31/28 10,200,000 9,965,719
2.75%, 02/15/28 12,850,000 14,281,570
1.13%, 02/29/28 13,000,000 13,016,759
2.88%, 05/15/28 (i) 13,350,000 14,973,902
2.88%, 08/15/28 12,950,000 14,545,481
3.13%, 11/15/28 13,050,000 14,915,742
2.63%, 02/15/29 13,000,000 14,401,562
2.38%, 05/15/29 10,750,000 11,708,262
1.63%, 08/15/29 8,600,000 8,856,656
1.75%, 11/15/29 6,000,000 6,237,188
1.50%, 02/15/30 13,000,000 13,214,297
0.63%, 05/15/30 (i) 17,905,000 16,792,932
 
65
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.88%, 11/15/30 24,300,000 23,200,805
1.13%, 02/15/31 9,000,000 8,782,734
Total Treasuries
(Cost $1,871,838,983)   1,907,679,583

Government Related 6.1% of net assets
 
Agency 2.5%
Foreign 0.9%
Austria 0.0%
Oesterreichische Kontrollbank AG
2.38%, 10/01/21 450,000 455,746
2.63%, 01/31/22 250,000 255,488
1.63%, 09/17/22 200,000 204,406
2.88%, 03/13/23 250,000 263,440
1.50%, 02/12/25 350,000 363,443
0.38%, 09/17/25 500,000 490,685
0.50%, 02/02/26 500,000 491,785
    2,524,993
Canada 0.0%
Export Development Canada
1.38%, 10/21/21 250,000 251,890
2.00%, 05/17/22 150,000 153,305
1.75%, 07/18/22 400,000 408,672
2.50%, 01/24/23 150,000 156,537
1.38%, 02/24/23 350,000 358,246
2.75%, 03/15/23 200,000 210,276
2.63%, 02/21/24 250,000 266,665
    1,805,591
China 0.0%
Industrial & Commercial Bank of China Ltd.
2.45%, 10/20/21 250,000 252,590
Colombia 0.1%
Ecopetrol S.A.
5.88%, 09/18/23 496,000 550,927
4.13%, 01/16/25 250,000 268,440
5.38%, 06/26/26 (a) 450,000 508,019
6.88%, 04/29/30 (a) 350,000 429,856
7.38%, 09/18/43 425,000 535,160
5.88%, 05/28/45 450,000 490,968
    2,783,370
Germany 0.4%
FMS Wertmanagement
1.38%, 06/08/21 (j) 350,000 351,166
2.00%, 08/01/22 (j) 450,000 461,457
2.75%, 03/06/23 (j) 200,000 210,080
Kreditanstalt Fuer Wiederaufbau
2.38%, 08/25/21 (j) 374,000 378,009
1.75%, 09/15/21 (j) 150,000 151,293
2.00%, 11/30/21 (j) 450,000 456,161
3.13%, 12/15/21 (j) 650,000 665,132
2.63%, 01/25/22 (j) 500,000 511,085
2.50%, 02/15/22 (j) 775,000 792,213
2.13%, 03/07/22 (j) 500,000 509,935
2.13%, 06/15/22 (j) 650,000 666,399
1.75%, 08/22/22 (j) 200,000 204,662
2.00%, 09/29/22 (j) 1,000,000 1,028,880
2.00%, 10/04/22 (j) 100,000 102,888
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.38%, 12/29/22 (j) 650,000 675,902
2.13%, 01/17/23 (j) 1,250,000 1,295,150
1.63%, 02/15/23 (j) 750,000 770,805
0.25%, 10/19/23 (j) 1,000,000 998,670
2.63%, 02/28/24 (j) 950,000 1,014,011
0.25%, 03/08/24 (d)(j) 500,000 498,085
1.38%, 08/05/24 (j) 550,000 567,231
2.50%, 11/20/24 (j) 1,030,000 1,105,200
2.00%, 05/02/25 (j) 450,000 475,713
0.38%, 07/18/25 (j) 1,250,000 1,231,562
0.63%, 01/22/26 (j) 1,000,000 990,170
2.88%, 04/03/28 (j) 750,000 834,630
1.75%, 09/14/29 (j) 400,000 411,776
0.75%, 09/30/30 (j) 250,000 233,750
0.0, 06/29/37 (j)(k) 250,000 181,223
Landwirtschaftliche Rentenbank
1.75%, 09/24/21 (j) 150,000 151,326
2.25%, 10/01/21 (j) 250,000 252,990
2.00%, 12/06/21 (j) 250,000 253,458
2.00%, 01/13/25 (j) 300,000 316,572
0.50%, 05/27/25 (j) 300,000 298,305
2.38%, 06/10/25 (j) 750,000 804,765
1.75%, 07/27/26 (j) 250,000 261,035
0.88%, 09/03/30 (j) 500,000 471,830
    20,583,519
Japan 0.1%
Japan Bank for International Cooperation
3.13%, 07/20/21 250,000 252,763
1.50%, 07/21/21 500,000 502,430
2.50%, 06/01/22 200,000 205,548
2.38%, 07/21/22 400,000 411,564
2.38%, 11/16/22 250,000 258,848
1.75%, 01/23/23 350,000 359,600
0.63%, 05/22/23 600,000 604,020
3.25%, 07/20/23 400,000 426,972
0.38%, 09/15/23 500,000 499,590
3.38%, 10/31/23 500,000 538,685
2.50%, 05/23/24 750,000 797,497
3.00%, 05/29/24 200,000 216,022
1.75%, 10/17/24 200,000 208,150
2.50%, 05/28/25 250,000 268,653
2.75%, 01/21/26 200,000 216,954
2.38%, 04/20/26 500,000 533,955
1.88%, 07/21/26 200,000 208,674
2.25%, 11/04/26 300,000 319,311
2.88%, 06/01/27 200,000 220,344
2.88%, 07/21/27 200,000 219,684
2.75%, 11/16/27 200,000 218,320
3.25%, 07/20/28 200,000 225,978
3.50%, 10/31/28 200,000 230,300
2.00%, 10/17/29 200,000 207,828
1.25%, 01/21/31 250,000 242,225
Japan International Cooperation Agency
2.13%, 10/20/26 200,000 211,802
2.75%, 04/27/27 200,000 217,922
1.00%, 07/22/30 380,000 360,274
    9,183,913
Norway 0.1%
Equinor A.S.A.
2.75%, 11/10/21 150,000 152,573
3.15%, 01/23/22 200,000 205,154
2.45%, 01/17/23 100,000 103,981
2.65%, 01/15/24 150,000 159,002
3.70%, 03/01/24 393,000 430,516
 
66
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.88%, 04/06/25 (a) 350,000 375,956
3.00%, 04/06/27 (a) 200,000 218,162
3.63%, 09/10/28 (a) 400,000 451,336
3.13%, 04/06/30 (a) 250,000 272,002
3.63%, 04/06/40 (a) 100,000 110,281
5.10%, 08/17/40 114,000 149,773
4.25%, 11/23/41 100,000 118,898
3.95%, 05/15/43 150,000 169,732
4.80%, 11/08/43 100,000 126,126
3.25%, 11/18/49 (a) 300,000 305,820
3.70%, 04/06/50 (a) 250,000 274,802
    3,624,114
Republic of Korea 0.1%
Export-Import Bank of Korea
2.75%, 01/25/22 350,000 357,465
4.00%, 01/14/24 500,000 550,525
2.38%, 06/25/24 200,000 212,292
2.88%, 01/21/25 400,000 428,700
0.75%, 09/21/25 500,000 494,215
3.25%, 11/10/25 750,000 826,575
1.25%, 09/21/30 500,000 477,095
The Korea Development Bank
3.00%, 09/14/22 488,000 507,535
2.13%, 10/01/24 250,000 264,873
3.00%, 01/13/26 200,000 218,692
    4,337,967
Sweden 0.1%
Svensk Exportkredit AB
2.38%, 03/09/22 500,000 510,915
1.63%, 11/14/22 200,000 204,738
2.88%, 03/14/23 750,000 789,187
0.25%, 09/29/23 200,000 199,436
1.75%, 12/12/23 500,000 518,915
0.38%, 07/30/24 400,000 398,860
0.63%, 05/14/25 275,000 274,412
0.50%, 08/26/25 350,000 344,753
    3,241,216
    48,337,273
U.S. 1.6%
Fannie Mae
2.25%, 04/12/22 3,500,000 3,583,615
1.38%, 09/06/22 500,000 509,500
2.38%, 01/19/23 2,100,000 2,189,145
0.25%, 05/22/23 3,000,000 3,006,900
2.50%, 02/05/24 1,300,000 1,384,006
2.63%, 09/06/24 1,830,000 1,974,973
1.63%, 01/07/25 3,500,000 3,653,055
2.13%, 04/24/26 1,000,000 1,068,750
1.88%, 09/24/26 1,000,000 1,055,000
6.03%, 10/08/27 164,000 215,094
6.63%, 11/15/30 2,180,000 3,187,683
5.63%, 07/15/37 500,000 760,550
Federal Farm Credit Banks Funding Corp.
0.13%, 02/03/23 600,000 600,054
0.25%, 02/26/24 800,000 799,080
Federal Home Loan Bank
0.25%, 06/03/22 5,000,000 5,008,350
1.88%, 12/09/22 3,640,000 3,752,476
1.38%, 02/17/23 1,000,000 1,024,570
2.50%, 02/13/24 1,300,000 1,384,864
1.50%, 08/15/24 4,000,000 4,157,840
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.25%, 11/16/28 2,850,000 3,269,776
5.50%, 07/15/36 330,000 493,324
Federal Home Loan Mortgage Corp.
0.13%, 07/25/22 1,000,000 1,000,200
0.38%, 05/05/23 2,000,000 2,010,120
0.13%, 10/16/23 2,500,000 2,492,425
0.25%, 11/06/23 3,500,000 3,500,350
0.25%, 12/04/23 1,000,000 999,860
0.38%, 09/23/25 2,000,000 1,971,760
Federal National Mortgage Association
0.25%, 07/10/23 3,000,000 3,002,640
0.25%, 11/27/23 1,000,000 999,970
0.38%, 08/25/25 1,500,000 1,481,610
0.50%, 11/07/25 2,000,000 1,982,080
0.75%, 10/08/27 500,000 488,350
0.88%, 08/05/30 1,000,000 947,940
Freddie Mac
2.75%, 06/19/23 500,000 529,655
0.25%, 06/26/23 4,000,000 4,007,640
0.25%, 08/24/23 5,000,000 5,007,650
1.50%, 02/12/25 4,000,000 4,160,640
6.75%, 03/15/31 200,000 297,890
6.25%, 07/15/32 1,100,000 1,636,118
Tennessee Valley Authority
2.88%, 09/15/24 500,000 542,640
4.65%, 06/15/35 655,000 866,899
4.63%, 09/15/60 150,000 214,935
    81,219,977
    129,557,250
 
Local Authority 1.0%
Foreign 0.3%
Canada 0.3%
Hydro-Quebec
8.05%, 07/07/24 350,000 435,099
8.50%, 12/01/29 100,000 152,445
Province of Alberta
3.35%, 11/01/23 359,000 386,747
2.95%, 01/23/24 250,000 267,885
1.88%, 11/13/24 350,000 365,725
1.00%, 05/20/25 400,000 404,408
3.30%, 03/15/28 500,000 560,565
1.35%, 05/28/30 250,000 244,755
1.30%, 07/22/30 650,000 622,004
Province of British Columbia
2.65%, 09/22/21 100,000 101,370
2.00%, 10/23/22 350,000 360,311
1.75%, 09/27/24 400,000 417,964
2.25%, 06/02/26 150,000 160,242
1.30%, 01/29/31 500,000 485,480
Province of Manitoba
3.05%, 05/14/24 324,000 349,573
2.13%, 06/22/26 330,000 348,444
Province of New Brunswick
3.63%, 02/24/28 150,000 171,623
Province of Ontario
2.50%, 09/10/21 200,000 202,392
2.40%, 02/08/22 250,000 255,015
2.55%, 04/25/22 600,000 615,954
2.25%, 05/18/22 400,000 409,712
2.45%, 06/29/22 200,000 205,784
2.20%, 10/03/22 400,000 412,332
1.75%, 01/24/23 600,000 616,746
 
67
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.40%, 10/17/23 450,000 485,235
3.05%, 01/29/24 500,000 537,770
3.20%, 05/16/24 200,000 217,280
0.63%, 01/21/26 250,000 246,405
2.50%, 04/27/26 200,000 215,450
2.30%, 06/15/26 200,000 213,534
1.05%, 05/21/27 250,000 248,008
2.00%, 10/02/29 200,000 206,702
1.13%, 10/07/30 500,000 474,740
1.60%, 02/25/31 250,000 246,938
Province of Quebec
2.75%, 08/25/21 100,000 101,238
2.38%, 01/31/22 700,000 713,797
2.63%, 02/13/23 250,000 261,517
2.50%, 04/09/24 150,000 159,458
2.88%, 10/16/24 300,000 324,951
1.50%, 02/11/25 350,000 361,627
0.60%, 07/23/25 1,200,000 1,188,840
2.50%, 04/20/26 250,000 269,627
2.75%, 04/12/27 200,000 219,370
7.50%, 09/15/29 421,000 612,568
    15,857,630
U.S. 0.7%
American Municipal Power, Inc.
RB (Build America Bonds) Series 2010    
6.27%, 02/15/50 100,000 137,962
8.08%, 02/15/50 250,000 436,400
Bay Area Toll Authority
2.57%, 04/01/31 200,000 210,450
San Francisco Bay Area Toll Bridge RB (Build America Bonds) Series 2009F2    
6.26%, 04/01/49 400,000 638,916
San Francisco Bay Area Toll Bridge RB (Build America Bonds) Series 2010S3    
6.91%, 10/01/50 230,000 396,936
Board of Regents of the University of Texas System
3.35%, 08/15/47 (a) 250,000 278,142
California
GO (Build America Bonds) Series 2009    
7.50%, 04/01/34 900,000 1,433,479
7.55%, 04/01/39 400,000 661,006
7.30%, 10/01/39 500,000 782,147
7.35%, 11/01/39 200,000 315,744
California State University
Series 2017B    
3.90%, 11/01/47 (a) 50,000 58,214
Chicago O'Hare International Airport
RB (Build America Bonds) Series 2010    
6.40%, 01/01/40 100,000 150,823
RB Series 2018C    
4.47%, 01/01/49 150,000 191,734
Chicago Transit Authority Sales & Transfer Tax Receipts Revenue
RB Bonds (Pension Funding) Series 2008    
6.90%, 12/01/40 750,000 1,050,859
City of Atlanta GA Water & Wastewater Revenue
Wstwtr Revenu Atlutl 11/35 Fixed 2.257    
2.26%, 11/01/35 (a) 125,000 126,778
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
City of Houston TX
GO Bonds (Pension Funding) Series 2017    
3.96%, 03/01/47 120,000 141,506
City of San Antonio TX Electric & Gas Systems
RB (Build America Bonds) Series 2009    
5.99%, 02/01/39 190,000 268,038
City of San Antonio TX Electric & Gas Systems Revenue
2.91%, 02/01/48 (a) 125,000 126,921
City of San Francisco CA Public Utilities Commission
Cnty P Sfowtr 11/41 Fixed 2.825    
2.83%, 11/01/41 (a) 100,000 102,833
RB Series 2020A    
3.30%, 11/01/39 (a) 150,000 161,632
Commonwealth of Massachusetts
GO (Build America Bonds) Series 2009    
5.46%, 12/01/39 100,000 140,766
GO Series 2019D    
2.66%, 09/01/39 145,000 155,056
2.81%, 09/01/43 100,000 106,690
GO Series 2019H    
2.90%, 09/01/49 100,000 102,109
GO Series 2020C    
2.51%, 07/01/41 (a) 185,000 186,651
Commonwealth of Massachusetts Transportation Fund
RB (Build America Bonds) Series 2010    
5.73%, 06/01/40 100,000 135,007
Commonwealth of Pennsylvania Financing Authority
RB Series 2016A    
4.14%, 06/01/38 200,000 234,644
Connecticut
GO (Teachers' Retirement Fund) Series 2008A    
5.85%, 03/15/32 250,000 337,280
County of Clark Department of Aviation
RB (Build America Bonds) Series 2010C    
6.82%, 07/01/45 150,000 229,480
County of Miami-Dade FL Water & Sewer System
RB Series 2019C    
3.49%, 10/01/42 (a) 100,000 105,308
Dallas Area Rapid Transit
RB (Build America Bonds) Series 2009B    
6.00%, 12/01/44 140,000 207,203
Dallas County Hospital District
GO (Build America Bonds) Series 2009C    
5.62%, 08/15/44 100,000 136,207
Dallas/Fort Worth International Airport
RB Series 2019A    
2.99%, 11/01/38 100,000 104,488
RB Series 2020C    
3.09%, 11/01/40 (a) 250,000 254,570
2.92%, 11/01/50 250,000 246,269
East Bay Municipal Utility District Water System
Water System RB (Build America Bonds) Series 2010    
5.87%, 06/01/40 330,000 465,003
 
68
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Foothill-Eastern Transportation Corridor Agency
RB Series 2019A    
3.92%, 01/15/53 (a) 100,000 105,344
Grand Parkway Transportation Corp.
RB Series 2013E    
5.18%, 10/01/42 100,000 135,235
Illinois
GO Bonds (Pension Funding) Series 2003    
5.10%, 06/01/33 1,537,000 1,712,610
GO Bonds (Pension Funding) Series 2010    
6.73%, 04/01/35 110,000 131,815
Illinois State Toll Highway Authority
6.18%, 01/01/34 100,000 137,697
JobsOhio Beverage System
4.53%, 01/01/35 300,000 373,162
Statewide Senior Lien Liquor Profits RB Series 2013B    
3.99%, 01/01/29 490,000 556,340
Kansas Development Finance Authority
4.93%, 04/15/45 100,000 127,170
Los Angeles Community College District/CA
1.61%, 08/01/28 275,000 276,576
2.11%, 08/01/32 (a) 250,000 252,889
Los Angeles Department of Water & Power Power System
5.72%, 07/01/39 100,000 141,623
RB (Build America Bonds) Series 2010    
6.57%, 07/01/45 200,000 319,958
Los Angeles Unified School District
GO (Build America Bonds) Series 2009    
5.75%, 07/01/34 250,000 340,385
GO (Build America Bonds) Series 2010    
6.76%, 07/01/34 500,000 725,905
Maryland Health & Higher Educational Facilities Authority
RB Series 2020D    
3.05%, 07/01/40 (a) 150,000 151,117
3.20%, 07/01/50 150,000 151,305
Massachusetts School Building Authority
RB Series 2020B    
1.75%, 08/15/30 500,000 501,289
Metropolitan Government Nashville & Davidson County Health & Educational Facs Board
RB (Build America Bonds) Series 2016B    
4.05%, 07/01/26 (a) 130,000 146,033
Metropolitan Transportation Authority
RB (Build America Bonds) Series 2009    
7.34%, 11/15/39 200,000 317,889
RB (Build America Bonds) Series 2010E    
6.81%, 11/15/40 330,000 451,529
Michigan Finance Authority
RB Series 2019T    
3.38%, 12/01/40 200,000 213,529
Michigan State Building Authority
2.71%, 10/15/40 (a) 250,000 250,031
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Municipal Electric Authority of Georgia
RB (Build America Bonds) Series 2010    
6.64%, 04/01/57 148,000 214,207
RB (Build America Bonds) Series 2010    
6.66%, 04/01/57 148,000 214,726
New Jersey Economic Development Authority
RB Bonds (Pension Funding) Series 1997A    
7.43%, 02/15/29 250,000 324,822
New Jersey Transportation Trust Fund Authority
RB (Build America Bonds) Series 2010C    
5.75%, 12/15/28 330,000 385,579
RB Series 2019B    
4.13%, 06/15/42 200,000 215,568
New Jersey Turnpike Authority
RB (Build America Bonds) Series 2009F    
7.41%, 01/01/40 350,000 574,329
RB (Build America Bonds) Series 2010A    
7.10%, 01/01/41 350,000 556,169
New York City Transitional Finance Authority
RB (Build America Bonds) Series 2010    
5.57%, 11/01/38 200,000 264,420
New York City Water & Sewer System
RB (Build America Bonds) Series 2010    
5.72%, 06/15/42 125,000 180,184
New York City Water & Sewer System
Water System RB (Build America Bonds) Series 2010    
6.01%, 06/15/42 250,000 369,745
New York State Dormitory Authority
RB (Build America Bonds) Series 2010    
5.60%, 03/15/40 50,000 68,079
RB Series 2009F    
5.63%, 03/15/39 100,000 129,676
RB Series 2019B    
3.14%, 07/01/43 220,000 218,764
New York State Urban Development Corp.
RB (Build America Bonds) Series 2009    
5.77%, 03/15/39 100,000 124,487
North Texas Tollway Authority
RB (Build America Bonds) Series 2009    
6.72%, 01/01/49 150,000 243,370
Oregon
GO Bonds (Pension Funding) Series 2003    
5.89%, 06/01/27 430,000 533,004
Oregon School Boards Association
GO Bonds (Pension Funding) Series 2002B    
5.55%, 06/30/28 240,000 286,151
Port Authority of New York & New Jersey
Consolidated Bonds 164th Series    
5.65%, 11/01/40 150,000 205,887
 
69
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Consolidated Bonds 165th Series    
5.65%, 11/01/40 100,000 138,000
Consolidated Bonds 168th Series    
4.93%, 10/01/51 200,000 269,225
Consolidated Bonds 181th Series    
4.96%, 08/01/46 100,000 132,813
Consolidated Bonds 192th Series    
4.81%, 10/15/65 170,000 227,717
Consolidated Bonds AAA Series    
1.09%, 07/01/23 400,000 406,822
RB (Build America Bonds) Series 2012    
4.46%, 10/01/62 450,000 572,526
Regents of the University of California Medical Center Pooled Revenue
6.55%, 05/15/48 100,000 150,029
6.58%, 05/15/49 75,000 113,974
Regional Transportation District Sales Tax Revenue
RB (Build America Bonds) Series 2010B    
5.84%, 11/01/50 50,000 78,665
Rutgers The State University of New Jersey
GO Series 2019P    
3.92%, 05/01/19 (a) 100,000 107,063
Sales Tax Securitization Corp.
3.59%, 01/01/43 15,000 15,554
RB Series 2018B    
3.82%, 01/01/48 150,000 158,974
San Diego County Regional Transportation Commission
RB Series 2019A    
3.25%, 04/01/48 (a) 150,000 155,353
San Diego County Water Authority., Class B
6.14%, 05/01/49 100,000 151,142
San Jose Redevelopment Agency Successor Agency
Tax Allocation Series 2017A-T    
3.38%, 08/01/34 (a) 100,000 108,350
Santa Clara Valley Transportation Authority
RB (Build America Bonds) Series 2010    
5.88%, 04/01/32 100,000 125,630
State Board of Administration Finance Corp.
1.26%, 07/01/25 300,000 302,958
1.71%, 07/01/27 400,000 405,634
2.15%, 07/01/30 600,000 610,392
State of California
2.38%, 10/01/26 175,000 187,038
7.63%, 03/01/40 300,000 492,232
GO Bonds    
7.60%, 11/01/40 300,000 511,468
State of Illinois
GO (Build America Bonds) Series 2010    
7.35%, 07/01/35 100,000 122,271
State of Washington
5.14%, 08/01/40 100,000 143,083
Texas
GO (Build America Bonds) Series 2009A    
5.52%, 04/01/39 580,000 831,990
Texas Private Activity Bond Surface Transportation Corp.
RB Series 2019B    
3.92%, 12/31/49 150,000 162,917
Texas Transportation Commission
GO Bonds Series 2020    
2.47%, 10/01/44 (a) 400,000 404,424
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
The Ohio State University
RB (Build America Bonds) Series 2010    
4.91%, 06/01/40 300,000 396,348
RB Series 2016A    
3.80%, 12/01/46 100,000 115,996
University of California
0.88%, 05/15/25 (a) 500,000 505,255
4.60%, 05/15/31 100,000 118,122
RB (Build America Bonds) Series 2009    
5.77%, 05/15/43 500,000 700,885
RB Series 2012AD    
4.86%, 05/15/12 100,000 133,678
RB Series 2015AQ    
4.77%, 05/15/15 150,000 195,851
RB Series 2020BG    
1.32%, 05/15/27 (a) 195,000 194,585
1.61%, 05/15/30 (a) 250,000 246,094
University of Michigan
2.44%, 04/01/40 (a) 250,000 248,137
University of Pittsburgh-of the Commonwealth System of Higher Education
GO Bonds Series 2019A    
3.56%, 09/15/19 (a) 100,000 101,334
University of Virginia
RB Series 2017C    
4.18%, 09/01/17 (a) 100,000 121,265
RB Series 2020    
2.26%, 09/01/50 (a) 400,000 368,548
Westchester County Local Development Corp.
RB Series 2020    
3.85%, 11/01/50 (a) 250,000 261,802
    34,239,993
    50,097,623
 
Sovereign 1.1%
Canada 0.0%
Canada Government International Bond
2.63%, 01/25/22 550,000 562,133
2.00%, 11/15/22 300,000 309,336
1.63%, 01/22/25 650,000 677,690
    1,549,159
Chile 0.1%
Chile Government International Bond
3.13%, 01/21/26 200,000 217,930
3.24%, 02/06/28 (a) 450,000 495,261
2.45%, 01/31/31 (a) 300,000 306,231
2.55%, 01/27/32 (a) 400,000 408,240
3.63%, 10/30/42 150,000 159,072
3.86%, 06/21/47 200,000 216,656
3.50%, 01/25/50 (a) 500,000 507,800
3.10%, 01/22/61 (a) 250,000 231,930
    2,543,120
Colombia 0.1%
Colombia Government International Bond
4.38%, 07/12/21 200,000 202,628
2.63%, 03/15/23 (a) 200,000 205,362
4.00%, 02/26/24 (a) 300,000 319,818
8.13%, 05/21/24 250,000 300,350
4.50%, 01/28/26 (a) 300,000 332,520
3.88%, 04/25/27 (a) 500,000 540,325
 
70
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.50%, 03/15/29 (a) 550,000 609,708
3.00%, 01/30/30 (a) 500,000 498,455
3.13%, 04/15/31 (a) 450,000 449,154
7.38%, 09/18/37 362,000 484,331
6.13%, 01/18/41 350,000 423,566
5.63%, 02/26/44 (a) 450,000 522,247
5.00%, 06/15/45 (a) 900,000 978,849
5.20%, 05/15/49 (a) 400,000 449,048
4.13%, 05/15/51 (a) 500,000 483,520
3.88%, 02/15/61 (a) 250,000 227,278
    7,027,159
Hungary 0.0%
Hungary Government International Bond
5.38%, 02/21/23 500,000 547,790
5.75%, 11/22/23 300,000 341,073
5.38%, 03/25/24 300,000 341,586
7.63%, 03/29/41 350,000 589,659
    1,820,108
Indonesia 0.1%
Indonesia Government International Bond
2.95%, 01/11/23 150,000 155,888
3.50%, 01/11/28 200,000 216,610
4.10%, 04/24/28 250,000 280,987
4.75%, 02/11/29 200,000 233,774
3.40%, 09/18/29 200,000 214,810
2.85%, 02/14/30 1,000,000 1,031,590
3.85%, 10/15/30 300,000 333,195
4.35%, 01/11/48 400,000 440,820
5.35%, 02/11/49 200,000 252,990
3.70%, 10/30/49 300,000 304,890
3.50%, 02/14/50 200,000 199,874
4.20%, 10/15/50 250,000 275,552
4.45%, 04/15/70 200,000 224,140
    4,165,120
Israel 0.1%
Israel Government International Bond
4.00%, 06/30/22 200,000 209,778
3.15%, 06/30/23 500,000 530,725
2.88%, 03/16/26 200,000 218,378
3.25%, 01/17/28 200,000 224,950
2.75%, 07/03/30 350,000 375,445
4.50%, 01/30/43 500,000 623,625
4.13%, 01/17/48 200,000 240,270
3.88%, 07/03/50 300,000 334,344
4.50%, 04/03/20 200,000 247,962
State of Israel
2.50%, 01/15/30 200,000 210,712
3.38%, 01/15/50 350,000 358,446
    3,574,635
Italy 0.1%
Republic of Italy Government International Bond
6.88%, 09/27/23 730,000 842,829
2.38%, 10/17/24 550,000 577,186
1.25%, 02/17/26 500,000 492,880
2.88%, 10/17/29 675,000 691,571
5.38%, 06/15/33 250,000 312,060
4.00%, 10/17/49 550,000 572,809
    3,489,335
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Mexico 0.2%
Mexico Government International Bond
8.00%, 09/24/22 150,000 167,511
4.00%, 10/02/23 550,000 598,191
3.60%, 01/30/25 750,000 826,792
3.90%, 04/27/25 (a) 200,000 222,250
4.13%, 01/21/26 288,000 323,050
4.15%, 03/28/27 500,000 559,930
3.75%, 01/11/28 400,000 433,512
4.50%, 04/22/29 600,000 675,072
3.25%, 04/16/30 (a) 900,000 919,845
2.66%, 05/24/31 (a) 400,000 383,572
8.30%, 08/15/31 150,000 226,151
4.75%, 04/27/32 (a) 500,000 563,875
6.75%, 09/27/34 362,000 476,526
6.05%, 01/11/40 900,000 1,102,446
4.75%, 03/08/44 950,000 1,007,997
5.55%, 01/21/45 750,000 880,320
4.60%, 01/23/46 450,000 464,369
4.35%, 01/15/47 300,000 300,864
4.60%, 02/10/48 400,000 412,064
4.50%, 01/31/50 (a) 475,000 484,776
5.00%, 04/27/51 (a) 450,000 491,701
3.77%, 05/24/61 (a) 600,000 533,454
5.75%, 10/12/10 420,000 478,829
    12,533,097
Panama 0.1%
Panama Government International Bond
4.00%, 09/22/24 (a) 200,000 218,216
3.75%, 03/16/25 (a) 300,000 326,895
8.88%, 09/30/27 250,000 348,390
3.88%, 03/17/28 (a) 600,000 660,720
9.38%, 04/01/29 100,000 148,022
3.16%, 01/23/30 (a) 200,000 209,398
2.25%, 09/29/32 (a) 1,000,000 961,320
6.70%, 01/26/36 131,000 177,479
4.50%, 05/15/47 250,000 281,325
4.50%, 04/16/50 (a) 400,000 449,384
4.30%, 04/29/53 200,000 218,624
4.50%, 04/01/56 (a) 350,000 387,429
3.87%, 07/23/60 (a) 850,000 845,903
    5,233,105
Peru 0.1%
Peruvian Government International Bond
7.35%, 07/21/25 250,000 314,117
2.39%, 01/23/26 (a) 200,000 208,596
4.13%, 08/25/27 450,000 511,344
2.84%, 06/20/30 150,000 156,005
2.78%, 01/23/31 (a) 400,000 412,616
1.86%, 12/01/32 (a) 250,000 234,990
8.75%, 11/21/33 450,000 713,178
6.55%, 03/14/37 300,000 417,423
5.63%, 11/18/50 395,000 547,217
2.78%, 12/01/60 (a) 250,000 213,420
3.23%, 07/28/21 (a) 250,000 212,483
    3,941,389
Philippines 0.1%
Philippine Government International Bond
4.20%, 01/21/24 400,000 441,252
10.63%, 03/16/25 300,000 417,177
5.50%, 03/30/26 600,000 735,564
3.00%, 02/01/28 400,000 431,576
 
71
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.75%, 01/14/29 400,000 451,020
9.50%, 02/02/30 250,000 399,510
2.46%, 05/05/30 200,000 204,880
7.75%, 01/14/31 350,000 521,045
6.38%, 01/15/32 300,000 412,977
6.38%, 10/23/34 600,000 840,450
3.95%, 01/20/40 600,000 664,962
3.70%, 03/01/41 750,000 802,177
3.70%, 02/02/42 400,000 428,624
2.95%, 05/05/45 200,000 193,108
    6,944,322
Poland 0.0%
Republic of Poland Government International Bond
5.00%, 03/23/22 500,000 525,730
3.00%, 03/17/23 400,000 421,472
4.00%, 01/22/24 450,000 496,067
3.25%, 04/06/26 450,000 504,810
    1,948,079
Republic of Korea 0.0%
Korea International Bond
3.88%, 09/11/23 200,000 217,660
2.00%, 06/19/24 200,000 210,444
5.63%, 11/03/25 232,000 281,527
2.75%, 01/19/27 250,000 272,898
2.50%, 06/19/29 200,000 214,356
4.13%, 06/10/44 200,000 253,570
    1,450,455
Uruguay 0.1%
Uruguay Government International Bond
8.00%, 11/18/22 100,000 108,947
4.50%, 08/14/24 113,000 123,363
4.38%, 10/27/27 500,000 571,580
4.38%, 01/23/31 (a) 350,000 405,689
7.63%, 03/21/36 150,000 233,478
4.13%, 11/20/45 150,000 170,073
5.10%, 06/18/50 750,000 933,667
4.98%, 04/20/55 600,000 739,368
    3,286,165
    59,505,248
 
Supranational* 1.5%
African Development Bank
1.63%, 09/16/22 500,000 511,060
2.13%, 11/16/22 800,000 826,240
0.75%, 04/03/23 500,000 505,585
3.00%, 09/20/23 250,000 267,060
Asian Development Bank
1.88%, 02/18/22 250,000 254,078
0.63%, 04/07/22 750,000 753,885
1.88%, 07/19/22 650,000 665,333
1.88%, 08/10/22 600,000 614,664
1.75%, 09/13/22 500,000 512,025
1.63%, 01/24/23 450,000 462,154
2.75%, 03/17/23 600,000 631,194
0.25%, 07/14/23 750,000 749,512
0.25%, 10/06/23 1,000,000 998,690
2.63%, 01/30/24 450,000 479,758
1.50%, 10/18/24 400,000 414,336
2.00%, 01/22/25 851,000 898,205
0.63%, 04/29/25 400,000 400,220
0.38%, 09/03/25 1,000,000 983,560
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.50%, 02/04/26 750,000 738,000
2.00%, 04/24/26 500,000 528,915
2.63%, 01/12/27 500,000 546,555
2.50%, 11/02/27 500,000 542,315
2.75%, 01/19/28 200,000 220,318
5.82%, 06/16/28 250,000 327,068
1.75%, 09/19/29 250,000 257,060
1.88%, 01/24/30 400,000 414,556
0.75%, 10/08/30 750,000 699,180
Corp. Andina de Fomento
4.38%, 06/15/22 362,000 379,325
2.75%, 01/06/23 250,000 259,733
2.38%, 05/12/23 350,000 362,135
1.63%, 09/23/25 300,000 302,676
Council of Europe Development Bank
1.75%, 09/26/22 350,000 358,551
2.63%, 02/13/23 250,000 261,738
0.25%, 06/10/23 150,000 150,048
0.25%, 10/20/23 350,000 349,398
1.38%, 02/27/25 150,000 154,755
European Bank for Reconstruction & Development
1.50%, 11/02/21 200,000 201,788
2.13%, 03/07/22 500,000 509,855
2.75%, 03/07/23 350,000 367,878
0.25%, 07/10/23 250,000 249,830
1.63%, 09/27/24 250,000 260,135
0.50%, 05/19/25 350,000 348,285
0.50%, 11/25/25 500,000 493,565
0.50%, 01/28/26 500,000 492,515
European Investment Bank
1.38%, 09/15/21 400,000 402,644
2.13%, 10/15/21 450,000 455,508
2.88%, 12/15/21 475,000 485,174
2.25%, 03/15/22 500,000 510,775
2.63%, 05/20/22 650,000 669,493
2.38%, 06/15/22 600,000 617,010
2.25%, 08/15/22 750,000 772,635
1.38%, 09/06/22 400,000 407,280
2.00%, 12/15/22 250,000 258,118
2.50%, 03/15/23 850,000 889,873
1.38%, 05/15/23 500,000 512,795
2.88%, 08/15/23 650,000 691,203
0.25%, 09/15/23 250,000 249,755
3.13%, 12/14/23 250,000 269,485
3.25%, 01/29/24 1,000,000 1,084,000
2.63%, 03/15/24 500,000 534,190
2.25%, 06/24/24 500,000 529,990
2.50%, 10/15/24 400,000 428,844
1.88%, 02/10/25 450,000 472,878
1.63%, 03/14/25 700,000 729,232
0.63%, 07/25/25 1,000,000 996,190
0.38%, 12/15/25 2,000,000 1,961,640
2.13%, 04/13/26 500,000 532,670
2.38%, 05/24/27 450,000 486,661
1.63%, 10/09/29 350,000 355,975
0.88%, 05/17/30 170,000 161,650
0.75%, 09/23/30 750,000 701,565
1.25%, 02/14/31 500,000 485,890
Inter-American Development Bank
1.25%, 09/14/21 250,000 251,490
2.13%, 01/18/22 1,100,000 1,118,854
1.75%, 09/14/22 500,000 512,075
2.50%, 01/18/23 600,000 626,088
0.50%, 05/24/23 1,050,000 1,056,877
3.00%, 10/04/23 200,000 213,930
0.25%, 11/15/23 1,500,000 1,497,630
2.63%, 01/16/24 500,000 532,535
 
72
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.00%, 02/21/24 250,000 269,503
2.13%, 01/15/25 1,000,000 1,060,160
1.75%, 03/14/25 500,000 523,035
0.88%, 04/03/25 300,000 303,657
0.63%, 07/15/25 400,000 398,236
2.00%, 06/02/26 524,000 553,889
2.00%, 07/23/26 300,000 317,160
2.38%, 07/07/27 350,000 376,162
0.63%, 09/16/27 1,000,000 965,630
3.13%, 09/18/28 650,000 735,397
2.25%, 06/18/29 700,000 746,081
1.13%, 01/13/31 250,000 240,225
4.38%, 01/24/44 100,000 135,956
International Bank for Reconstruction & Development
2.25%, 06/24/21 900,000 905,904
2.75%, 07/23/21 800,000 808,144
1.38%, 09/20/21 500,000 503,350
2.00%, 01/26/22 750,000 762,345
1.63%, 02/10/22 705,000 714,588
2.13%, 07/01/22 600,000 615,624
1.88%, 10/07/22 200,000 205,438
2.13%, 02/13/23 505,000 523,973
1.88%, 06/19/23 250,000 259,283
3.00%, 09/27/23 1,250,000 1,336,525
2.50%, 03/19/24 1,150,000 1,224,416
1.50%, 08/28/24 500,000 518,320
2.50%, 11/25/24 600,000 644,172
1.63%, 01/15/25 750,000 780,885
0.75%, 03/11/25 350,000 352,692
0.63%, 04/22/25 1,500,000 1,501,140
0.38%, 07/28/25 1,250,000 1,231,625
2.50%, 07/29/25 1,150,000 1,238,446
0.50%, 10/28/25 500,000 494,040
1.88%, 10/27/26 200,000 210,292
2.50%, 11/22/27 350,000 379,701
0.75%, 11/24/27 500,000 485,805
1.75%, 10/23/29 450,000 462,942
0.88%, 05/14/30 500,000 475,045
0.75%, 08/26/30 750,000 700,852
1.25%, 02/10/31 750,000 729,645
4.75%, 02/15/35 330,000 442,629
International Finance Corp.
2.00%, 10/24/22 200,000 205,990
0.50%, 03/20/23 200,000 201,062
2.88%, 07/31/23 550,000 584,045
1.38%, 10/16/24 350,000 361,176
0.38%, 07/16/25 450,000 443,286
2.13%, 04/07/26 200,000 212,994
0.75%, 08/27/30 500,000 467,685
Nordic Investment Bank
2.25%, 09/30/21 200,000 202,426
2.13%, 02/01/22 250,000 254,438
0.38%, 05/19/23 200,000 200,714
2.88%, 07/19/23 250,000 265,230
2.25%, 05/21/24 250,000 264,735
0.38%, 09/11/25 450,000 442,512
0.50%, 01/21/26 250,000 246,258
The Asian Infrastructure Investment Bank
0.25%, 09/29/23 1,000,000 998,100
2.25%, 05/16/24 400,000 423,408
0.50%, 05/28/25 500,000 497,125
0.50%, 01/27/26 750,000 737,497
    75,307,931
Total Government Related
(Cost $305,616,291)   314,468,052

Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Securitized 29.8% of net assets
 
Asset-Backed Securities 0.3%
Automobile 0.1%
Ally Auto Receivables Trust
Series 2018-3 Class A4    
3.12%, 07/17/23 (a) 695,000 710,816
Ally Master Owner Trust
Series 2018-2A    
3.29%, 05/15/23 (a) 200,000 201,231
Series 2018-4A    
3.30%, 07/17/23 (a) 250,000 252,839
Ford Credit Auto Owner Trust
Series 2018-A Class A4    
3.16%, 10/15/23 (a) 1,615,000 1,651,026
Ford Credit Floorplan Master Owner Trust A
Series 2013-5 Class A2    
3.06%, 04/15/26 (a) 172,000 184,916
Nissan Auto Receivables Owner Trust
Series 2017-C Class A4    
2.28%, 02/15/24 (a) 650,000 656,924
Toyota Auto Receivables Owner Trust
Series 2019-B Class A3    
2.57%, 08/15/23 (a) 620,000 629,745
Series 2018-C Class A4    
3.13%, 02/15/24 (a) 150,000 155,169
1.68%, 05/15/25 (a) 1,030,000 1,061,248
    5,503,914
Credit Card 0.2%
American Express Credit Account Master Trust
Series 2018-2A    
3.01%, 10/15/25 (a) 1,800,000 1,899,866
Discover Card Execution Note Trust
Series 2018-A1 Class A1    
3.03%, 08/15/25 (a) 300,000 315,940
Capital One Multi-Asset Execution Trust
Series 2019-A3 Class A3    
2.06%, 08/15/28 (a) 1,000,000 1,051,112
American Express Credit Account Master Trust
Series 2018-8A    
3.18%, 04/15/24 (a) 1,100,000 1,117,478
Citibank Credit Card Issuance Trust
Series 2018-A6 Class A6    
3.21%, 12/07/24 (a) 600,000 631,356
Discover Card Execution Note Trust
Series 2018-A5 Class A5    
3.32%, 03/15/24 (a) 500,000 508,394
American Express Credit Account Master Trust
Series 2019-1A    
2.87%, 10/15/24 (a) 1,200,000 1,233,303
2.00%, 04/15/25 (a) 1,000,000 1,027,309
Capital One Multi-Asset Execution Trust
Series 2017-A6 Class A6    
2.29%, 07/15/25 (a) 450,000 464,368
    8,249,126
    13,753,040
 
 
73
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Commercial Mortgage-Backed Securities 2.2%
Banc of America Commercial Mortgage Trust
Series 2016-UB10 Class A3    
2.90%, 07/15/49 (a) 350,000 372,585
BANK
Series 2017-BNK8 Class A4    
3.49%, 11/15/50 (a) 1,190,000 1,328,561
Series 2017-BNK9 Class A4    
3.54%, 11/15/54 (a) 950,000 1,063,507
Series 2017-BNK7 Class A5    
3.44%, 09/15/60 (a) 150,000 166,626
Series 2019-BN19 Class A3    
3.18%, 08/15/61 (a) 600,000 656,037
2.40%, 03/15/63 (a) 300,000 310,373
BBCMS Mortgage Trust
Series 2017-C1 Class A2    
3.19%, 02/15/50 (a) 175,975 179,240
Series 2018-C2 Class A4    
4.05%, 12/15/51 (a) 449,000 515,124
Benchmark Mortgage Trust
Series 2019-B9 Class A5    
4.02%, 03/15/52 (a) 100,000 114,899
Series 2019-B12 Class A5    
3.12%, 08/15/52 (a) 700,000 761,829
2.73%, 02/15/53 (a) 1,000,000 1,061,622
2.95%, 08/15/57 (a) 2,000,000 2,156,120
3.72%, 03/15/62 (a) 5,090,000 5,748,265
CD Mortgage Trust
Series 2016-CD1 Class A2    
2.45%, 08/10/49 (a) 32,320 32,441
Series 2016-CD2 Class A4    
3.53%, 11/10/49 (a) 240,000 267,073
CFCRE Commercial Mortgage Trust
Series 2016-C3 Class A3    
3.87%, 01/10/48 (a) 402,000 449,186
Series 2016-C7 Class A3    
3.84%, 12/10/54 (a) 2,200,000 2,468,365
Series 2016-C4 Class A4    
3.28%, 05/10/58 (a) 430,000 467,956
Citigroup Commercial Mortgage Trust
Series 2012-GC8 Class A4    
3.02%, 09/10/45 (a) 112,375 115,960
Series 2014-GC25 Class A4    
3.64%, 10/10/47 (a) 253,748 277,400
Series 2016-GC36 Class A5    
3.62%, 02/10/49 (a) 2,260,000 2,502,823
Series 2016-GC37 Class A4    
3.31%, 04/10/49 (a) 100,000 109,454
Series 2017-C4 Class A4    
3.47%, 10/12/50 (a) 5,700,000 6,351,189
COMM Mortgage Trust
Series 2012-LC4 Class A4    
3.29%, 12/10/44 (a) 68,868 69,866
Series 2013-CCRE6 Class A4    
3.10%, 03/10/46 (a) 300,000 313,580
Series 2014-CCRE15 Class A4    
4.07%, 02/10/47 (a)(g)(l) 1,200,000 1,311,036
Series 2014-LC15 Class A4    
4.01%, 04/10/47 (a) 250,000 272,928
Series 2014-CR18 Class A4    
3.55%, 07/15/47 (a) 475,648 511,911
Series 2014-UBS4 Class A5    
3.69%, 08/10/47 (a) 1,120,000 1,221,364
Series 2014-LC17 Class A5    
3.92%, 10/10/47 (a) 45,000 49,654
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Series 2014-CR20 Class A3    
3.33%, 11/10/47 (a) 654,000 700,813
Series 2015-DC1 Class A5    
3.35%, 02/10/48 (a) 500,000 542,977
Series 2015-CR24 Class A5    
3.70%, 08/10/48 (a) 1,148,000 1,266,106
Series 2015-LC23 Class A4    
3.77%, 10/10/48 (a) 330,000 366,389
Series 2016-CR28 Class A4    
3.76%, 02/10/49 (a) 602,000 671,119
Series 2016-DC2 Class A5    
3.77%, 02/10/49 (a) 300,000 333,726
Series 2015-PC1 Class ASB    
3.61%, 07/10/50 (a) 860,699 913,560
Series 2013-CCRE11 Class A4    
4.26%, 08/10/50 (a) 2,350,000 2,555,101
CSAIL Commercial Mortgage Trust
Series 2015-C1 Class A4    
3.51%, 04/15/50 (a) 1,405,000 1,536,498
3.02%, 09/15/52 (a) 2,500,000 2,689,602
CSMC Trust
Series 2016 Class A4    
3.79%, 12/15/49 (a) 2,000,000 2,237,093
Fannie Mae-ACES
Series 2014-M2 Class A2    
3.51%, 12/25/23 (a) 91,990 99,054
Series 2015-M13 Class A2    
2.71%, 06/25/25 (a)(g)(m) 199,501 213,042
Series 2016-M11 Class A2    
2.37%, 07/25/26 (a)(g)(m) 785,000 830,732
Freddie Mac Multifamily Structured Pass-Through Certificates
Series K021 Class A2    
2.40%, 06/25/22 (a) 128,000 129,894
Series K024 Class A2    
2.57%, 09/25/22 (a) 531,000 542,908
Series K027 Class A2    
2.64%, 01/25/23 (a) 1,805,000 1,858,511
Series K029 Class A2    
3.32%, 02/25/23 (a)(g)(n) 923,000 965,305
Series K030 Class A2    
3.25%, 04/25/23 (a)(g)(n) 200,000 209,296
Series K033 Class A2    
3.06%, 07/25/23 (a) 381,000 402,071
Series K034 Class A2    
3.53%, 07/25/23 (a) 100,000 106,920
Series K035 Class A2    
3.46%, 08/25/23 (a)(g)(n) 983,000 1,049,787
Series K725 Class A2    
3.00%, 01/25/24 (a) 1,000,000 1,065,619
Series K037 Class A2    
3.49%, 01/25/24 (a) 750,000 807,925
Series K727 Class A2    
2.95%, 07/25/24 (a) 100,000 106,428
Series K728 Class A2    
3.06%, 08/25/24 (a)(g)(n) 400,000 429,031
Series K040 Class A2    
3.24%, 09/25/24 (a) 100,000 108,296
Series K042 Class A2    
2.67%, 12/25/24 (a) 400,000 425,501
Series K043 Class A2    
3.06%, 12/25/24 (a) 200,000 216,140
Series K044 Class A2    
2.81%, 01/25/25 (a) 645,000 691,553
Series K045 Class A2    
3.02%, 01/25/25 (a) 500,000 540,203
Series KS03 Class A4    
3.16%, 05/25/25 (a)(g)(n) 150,000 162,204
 
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Series K047 Class A2    
3.33%, 05/25/25 (a)(g)(n) 400,000 438,645
Series K048 Class A2    
3.28%, 06/25/25 (a)(g)(n) 1,150,000 1,267,075
Series K733 Class A2    
3.75%, 08/25/25 (a)(g)(n) 1,400,000 1,553,481
Series K052 Class A2    
3.15%, 11/25/25 (a) 100,000 109,082
Series K054 Class A2    
2.75%, 01/25/26 (a) 10,000 10,858
Series K735 Class A2    
2.86%, 05/25/26 (a) 830,000 907,245
Series K058 Class A2    
2.65%, 08/25/26 (a) 600,000 644,703
Series K061 Class A2    
3.35%, 11/25/26 (a)(g)(n) 2,500,000 2,789,065
Series K062 Class A2    
3.41%, 12/25/26 (a) 300,000 336,368
Series K067 Class A1    
2.90%, 03/25/27 (a) 1,809,884 1,931,478
Series K064 Class A2    
3.22%, 03/25/27 (a) 750,000 839,839
Series K066 Class A2    
3.12%, 06/25/27 (a) 1,200,000 1,333,322
Series K074 Class A1    
3.60%, 09/25/27 (a) 142,506 157,156
Series K071 Class A2    
3.29%, 11/25/27 (a) 2,000,000 2,259,978
Series K070 Class A2    
3.30%, 11/25/27 (a)(g)(n) 500,000 565,517
Series K072 Class A2    
3.44%, 12/25/27 (a) 900,000 1,023,595
Series K074 Class A2    
3.60%, 01/25/28 (a) 3,500,000 4,029,356
Series K078 Class A2    
3.85%, 06/25/28 (a) 1,182,367 1,384,133
Series K083 Class A2    
4.05%, 09/25/28 (a)(g)(n) 250,000 297,168
Series K085 Class A2    
4.06%, 10/25/28 (a)(g)(n) 700,000 831,322
Series K087 Class A2    
3.77%, 12/25/28 (a) 100,000 117,012
Series K099 Class A2    
2.60%, 09/25/29 (a) 2,210,000 2,392,301
Series K-1512 Class A2    
2.99%, 05/25/31 (a) 2,500,000 2,755,187
Series K154 Class A2    
3.42%, 04/25/32 (a) 700,000 807,514
Series K157 Class A2    
3.99%, 05/25/33 (a) 360,000 431,124
GS Mortgage Securities Trust
Series 2012-GCJ7 Class A4    
3.38%, 05/10/45 (a) 508,275 512,713
Series 2014-GC20 Class A5    
4.00%, 04/10/47 (a) 225,000 243,446
JPMBB Commercial Mortgage Securities Trust
Series 2013-C17 Class A4    
4.20%, 01/15/47 (a) 200,000 218,347
Series 2015-C33 Class A3    
3.50%, 12/15/48 (a) 782,456 851,936
Series 2015-C33 Class A4    
3.77%, 12/15/48 (a) 2,550,000 2,842,511
JPMDB Commercial Mortgage Securities Trust
Series 2015-C32 Class A5    
3.60%, 11/15/48 (a) 1,000,000 1,100,362
Series 2018-C8 Class A3    
3.94%, 06/15/51 (a) 300,000 341,307
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Morgan Stanley Bank of America Merrill Lynch Trust
Series 2013-C11 Class A4    
4.15%, 08/15/46 (a)(g)(n) 350,000 370,797
Series 2013-C13 Class A4    
4.04%, 11/15/46 (a) 360,000 390,661
Series 2013-C8 Class AS    
3.38%, 12/15/48 (a) 100,000 104,117
Series 2016-C28 Class A4    
3.54%, 01/15/49 (a) 1,300,000 1,428,534
Morgan Stanley Capital I Trust
Series 2015-A4 Class A4    
3.78%, 05/15/48 (a) 50,000 55,081
Series 2015-UBS8 Class A4    
3.81%, 12/15/48 (a) 400,000 443,443
Series 2011-C3 Class A4    
4.12%, 07/15/49 (a) 160,238 161,407
Morgan Stanley Capital I Trust 2017-H1
3.26%, 06/15/50 (a) 250,000 272,702
Morgan Stanley Capital I Trust 2020-HR8
2.04%, 07/15/53 (a) 1,000,000 1,003,374
UBS Commercial Mortgage Trust
Series 2017-C3 Class A4    
3.43%, 08/15/50 (a) 200,000 220,754
Series 2017-C6 Class A5    
3.58%, 12/15/50 (a) 600,000 668,984
UBS-Barclays Commercial Mortgage Trust
Series 2013-C5 Class A4    
3.18%, 03/10/46 (a) 250,000 260,692
Wells Fargo Commercial Mortgage Trust
Series 2013-LC12 Class A4    
4.22%, 07/15/46 (a)(g)(l) 1,409,000 1,510,905
Series 2015-C28 Class A3    
3.29%, 05/15/48 (a) 265,138 283,457
3.72%, 12/15/48 (a) 2,100,000 2,333,881
Series 2016-NXS6 Class ASB    
2.83%, 11/15/49 (a) 350,000 369,376
3.58%, 10/15/50 (a) 1,020,000 1,138,075
Series 2017-C41 Class A4    
3.47%, 11/15/50 (a) 300,000 332,144
Series 2017-C42 Class A4    
3.59%, 12/15/50 (a) 1,400,000 1,567,486
Series 2018-C44 Class A5    
4.21%, 05/15/51 (a) 950,000 1,099,629
Series 2019-C50 Class A5    
3.73%, 05/15/52 (a) 675,000 760,148
3.04%, 10/15/52 (a) 500,000 541,627
2.73%, 02/15/53 (a) 1,950,000 2,061,004
Series 2015-C30 Class A4    
3.66%, 09/15/58 (a) 200,000 221,726
Series 2016-NXS5 Class A4    
3.37%, 01/15/59 (a) 700,000 759,879
Series 2016-C32 Class A4    
3.56%, 01/15/59 (a) 1,200,000 1,322,060
Series 2016-NXS5 Class A6    
3.64%, 01/15/59 (a) 1,330,400 1,476,020
Series 2013-C33 Class A3    
3.16%, 03/15/59 (a) 136,948 147,546
WFRBS Commercial Mortgage Trust
Series 2013-C15 Class A4    
4.15%, 08/15/46 (a)(g)(n) 710,000 766,038
3.90%, 12/15/46 (a) 441,531 470,423
Series 2014-C20 Class ASB    
3.64%, 05/15/47 (a) 650,836 681,383
    114,546,877
 
 
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Mortgage-Backed Securities Pass-Through 27.3%
Fannie Mae
4.00%, 04/01/24 to 08/01/50 (a) 76,424,269 83,472,412
4.50%, 12/01/24 to 05/01/50 (a) 30,712,856 34,076,887
3.50%, 10/01/25 to 08/01/50 (a) 111,355,017 119,745,530
3.00%, 10/01/26 to 09/01/50 (a) 132,611,365 140,314,814
2.50%, 07/01/27 to 03/01/51 (a) 99,512,921 103,404,868
2.00%, 12/01/27 to 03/01/51 (a) 103,332,957 105,014,257
5.50%, 12/01/32 to 11/01/48 (a) 4,431,508 5,105,210
5.00%, 11/01/33 to 01/01/50 (a) 9,028,323 10,203,499
6.50%, 08/01/34 to 05/01/40 (a) 198,366 235,283
6.00%, 04/01/35 to 07/01/41 (a) 1,822,948 2,119,582
1.50%, 08/01/35 to 02/01/51 (a) 19,564,125 19,500,063
Federal Home Loan Bank
2.00%, 12/01/35 (a) 2,349,579 2,430,927
1.50%, 03/01/36 to 12/01/50 (a) 4,553,915 4,503,769
2.50%, 01/01/43 (a) 252,302 264,090
Federal National Mortgage Association
1.00%, 03/01/36 (a) 200,000 198,706
Freddie Mac
2.00%, 08/01/23 to 03/01/51 (a) 87,392,459 88,687,751
4.00%, 03/01/24 to 07/01/50 (a) 33,782,408 36,789,264
3.50%, 01/01/26 to 06/01/50 (a) 52,105,057 55,973,797
3.00%, 08/01/26 to 09/01/50 (a) 82,124,931 86,758,225
2.50%, 04/01/27 to 02/01/51 (a) 63,544,586 66,015,064
6.00%, 05/01/32 to 07/01/40 (a) 1,090,869 1,271,046
5.50%, 06/01/33 to 08/01/41 (a) 2,352,053 2,710,165
5.00%, 11/01/33 to 12/01/49 (a) 5,578,322 6,331,164
4.50%, 05/01/34 to 08/01/49 (a) 16,812,824 18,706,737
1.50%, 08/01/35 to 03/01/51 (a) 22,398,383 22,206,480
6.50%, 02/01/36 (a) 118,286 139,840
Ginnie Mae
3.00%, 04/20/27 to 08/20/50 (a) 76,409,526 80,290,677
2.50%, 08/20/27 to 02/20/51 (a) 57,161,322 59,346,178
3.50%, 09/20/32 to 09/20/50 (a) 76,000,004 81,523,655
5.00%, 02/20/33 to 07/20/49 (a) 7,392,489 8,228,621
5.50%, 04/15/33 to 03/20/49 (a) 1,089,120 1,229,227
4.00%, 06/15/39 to 04/20/50 (a) 36,600,954 39,778,254
4.50%, 07/15/39 to 02/20/50 (a) 15,432,728 17,006,306
6.00%, 04/20/44 (a) 213,818 251,217
2.00%, 07/20/50 to 02/20/51 (a) 31,567,608 32,058,733
Ginnie Mae TBA
2.50%, 03/18/51 (a)(d) 1,000,000 1,037,291
3.00%, 03/18/51 (a)(d) 9,000,000 9,368,803
UMBS TBA
2.00%, 03/16/36 (a)(d) 3,500,000 3,619,632
2.50%, 03/16/36 to 03/11/51 (a)(d) 27,500,000 28,569,257
3.00%, 03/16/36 to 03/11/51 (a)(d) 1,500,000 1,578,899
1.50%, 03/11/51 (a)(d) 1,500,000 1,470,554
2.00%, 03/11/51 (a)(d) 23,500,000 23,730,063
    1,405,266,797
Total Securitized
(Cost $1,514,133,372)   1,533,566,714
Security Number
of Shares 		Value ($)
Other Investment Companies 2.6% of net assets
 
Money Market Fund 2.6%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.03% (o) 134,929,924 134,929,924
 
Security Number
of Shares 		Value ($)
Securities Lending Collateral 0.0%
Wells Fargo Government Money Market Fund, Select Class 0.03% (o) 262,585 262,585
Total Other Investment Companies
(Cost $135,192,509)   135,192,509
* Supranational bonds represent the debt of international organizations or institutions such as the World Bank, the International Monetary Fund, regional multilateral development banks and others.
(a) The effective maturity may be shorter than the final maturity shown because of the possibility of interim principal payments and prepayments or as the result of embedded demand features (puts or calls).
(b) Security converts to floating rate after the fixed-rate coupon period.
(c) Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $32,484,359 or 0.6% of net assets.
(d) Security or a portion of the security purchased on a delayed-delivery or when-issued basis.
(e) Issuer is affiliated with the fund’s investment adviser.
(f) All or a portion of this security is on loan. Securities on loan were valued at $257,292.
(g) Variable-rate security.
(h) Interest rate is subject to adjustments from time to time if a nationally recognized statistical rating organization downgrades (or subsequently upgrades) the debt rating assigned to the bond.
(i) All or a portion of this security is designated as collateral for delayed-delivery securities.
(j) Guaranteed by the Republic of Germany.
(k) Zero Coupon Bond.
(l) Security is a type of structured MBS that involves tranching (i.e. dividing) the underlying MBS pools’ cash flows into securities that have varying coupon and principal payback profiles. Tranches pay an investor an interest rate, which is determined by a formula set forth in the security’s offering documents. The floating interest rate may reset once a year and is generally tied to LIBOR, CMT, or COFI. A variable interest rate can also be affected by the current WAC.
(m) Variable rate is determined by formula set forth in the security’s offering documents and is affected by the MBS pass-through rate, which is the rate earned from a securitized asset pool once management fees and guarantee fees have been paid to the securitizing corporation.
(n) Variable rate is determined by formula set forth in the security’s offering documents and is affected by the current WAC.
(o) The rate shown is the 7-day yield.
   
ACES — Alternate Credit Enhancement Securities
CMT — Constant Maturity Treasury is an index published by the Federal Reserve Board based on the monthly average yield of a range of Treasury securities maturing at different periods, adjusted to the equivalent of a one-year maturity.
COFI — Cost of Funds Index is a regional index of the average interest expenses paid by financial institutions on money market accounts, passbooks, CDs, and other liabilities.
GO — General obligation
LIBOR — London Interbank Offered Rate is the interest rate banks charge each other for short-term loans.
MBS — Mortgage-Backed Security
RB — Revenue bond
REIT — Real Estate Investment Trust
TBA — To-be-announced
UMBS — Uniform Mortgage-Backed Securities are single-class securities backed by mortgage loans purchased by either Freddie Mac or Fannie Mae.
WAC — Weighted Average Coupon, which is the weighted average gross interest rate of the securitized asset pool and is determined by the different speeds at which the underlying mortgages are paid down.
 
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
The fund owns corporate bonds of affiliates, The Charles Schwab Corp. and TD Ameritrade Holding Corp., since those corporate bonds are included in its index. Below is a summary of investment activities involving The Charles Schwab Corp. and TD Ameritrade Holding Corp. notes owned by the fund during the period ended February 28, 2021:
 
Value at
08/31/20 		Gross
Purchases* 		Gross
Sales 		Realized
Gains (Losses) 		Net Change
in Unrealized
Appreciation
(depreciation)
Value at
02/28/21 		Face
Amount at
02/28/21 		Interest Income
Earned
TD Ameritrade Holding Corp., 2.95%, 04/01/22 $155,666 $220 $— $— ($2,197) $153,689 150,000 $2,213
TD Ameritrade Holding Corp., 3.75%, 04/01/24 110,929 39 — — (1,598) 109,370 100,000 1,875
TD Ameritrade Holding Corp., 3.63%, 04/01/25 168,864 (559) — — (3,126) 165,179 150,000 2,719
TD Ameritrade Holding Corp., 2.75%, 10/01/29 111,923 (348) — — (5,045) 106,530 100,000 1,375
The Charles Schwab Corp., 2.65%, 01/25/23 158,122 (1,585) — — (141) 156,396 150,000 1,987
The Charles Schwab Corp., 3.55%, 02/01/24 — 108,911 — — (27) 108,884 100,000 276
The Charles Schwab Corp., 4.20%, 03/24/25 174,274 112,604 — — (5,338) 281,540 250,000 3,570
The Charles Schwab Corp., 3.85%, 05/21/25 171,406 (1,131) — — (2,492) 167,783 150,000 2,888
The Charles Schwab Corp., 0.90%, 03/11/26 — 251,977 — — (3,425) 248,552 250,000 225
The Charles Schwab Corp., 3.20%, 03/02/27 — 112,435 — — (1,602) 110,833 100,000 249
The Charles Schwab Corp., 3.20%, 01/25/28 171,118 (474) — — (4,600) 166,044 150,000 2,400
The Charles Schwab Corp., 4.00%, 02/01/29 180,172 (1,107) — — (5,278) 173,787 150,000 3,000
The Charles Schwab Corp., 3.25%, 05/22/29 231,464 (770) — — (9,116) 221,578 200,000 3,250
The Charles Schwab Corp., 4.63%, 03/22/30 127,599 (494) — — (5,592) 121,513 100,000 2,312
The Charles Schwab Corp., 1.65%, 03/11/31 — 99,155 — — (2,842) 96,313 100,000 165
Total $1,761,537 $678,873 $— $— ($52,419) $2,387,991   $28,504
* Amount includes amortization of premiums and/or accretion of discounts.
 
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Schwab U.S. Aggregate Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Corporates 1 $— $1,377,243,820 $— $1,377,243,820  
Treasuries — 1,907,679,583 — 1,907,679,583  
Government Related1 — 314,468,052 — 314,468,052  
Securitized 1 — 1,533,566,714 — 1,533,566,714  
Other Investment Companies1 135,192,509 — — 135,192,509  
Total $135,192,509 $5,132,958,169 $— $5,268,150,678  
1 As categorized in Portfolio Holdings.
Fund investments in mutual funds are classified as Level 1, without consideration to the classification level of the underlying securities held by the mutual funds, which could be Level 1, Level 2 or Level 3.
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Schwab U.S. Aggregate Bond Index Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in affiliated issuers, at value (cost $2,319,828)   $2,387,991
Investments in unaffiliated issuers, at value (cost $5,130,533,919) including securities on loan of $257,292   5,265,500,102
Collateral invested for securities on loan, at value (cost $262,585)   262,585
Deposits with brokers for TBA margin   1,010,000
Receivables:    
Investments sold   87,164,915
Fund shares sold   47,788,759
Interest   24,400,665
Dividends   2,212
Income from securities on loan + 742
Total assets   5,428,517,971
Liabilities
Collateral held for securities on loan   262,585
Payables:    
Investments bought   177,318,632
Investments bought — delayed-delivery   92,915,580
Investment adviser fees   158,100
Fund shares redeemed   6,895,275
Distributions to shareholders + 1,704,973
Total liabilities   279,255,145
Net Assets
Total assets   5,428,517,971
Total liabilities – 279,255,145
Net assets   $5,149,262,826
Net Assets by Source    
Capital received from investors   5,025,274,311
Total distributable earnings   123,988,515
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$5,149,262,826   488,910,698   $10.53
         
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Schwab U.S. Aggregate Bond Index Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income
Interest received from affiliated issuers   $28,504
Interest received from unaffiliated issuers   42,719,211
Dividends received from unaffiliated issuers   17,686
Securities on loan, net + 2,372
Total investment income   42,767,773
Expenses
Investment adviser fees   977,164
Total expenses – 977,164
Net investment income   41,790,609
Realized and Unrealized Gains (Losses)
Net realized gains on unaffiliated issuers   2,867,836
Net change in unrealized appreciation (depreciation) on affiliated issuers   (52,419)
Net change in unrealized appreciation (depreciation) on unaffiliated issuers + (130,902,280)
Net change in unrealized appreciation (depreciation) + (130,954,699)
Net realized and unrealized losses   (128,086,863)
Decrease in net assets resulting from operations   ($86,296,254)
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Schwab U.S. Aggregate Bond Index Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations  
  9/1/20-2/28/21 9/1/19-8/31/20
Net investment income   $41,790,609 $84,805,970
Net realized gains   2,867,836 27,475,771
Net change in unrealized appreciation (depreciation) + (130,954,699) 116,887,984
Increase (decrease) in net assets from operations   (86,296,254) 229,169,725
Distributions to Shareholders  
Total distributions   ($58,442,806) ($93,281,965)
    
Transactions in Fund Shares      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES VALUE SHARES VALUE
Shares sold   119,547,532 $1,285,629,500 244,861,715 $2,598,835,807
Shares reinvested   4,453,211 47,837,070 7,326,953 77,716,227
Shares redeemed + (68,586,260) (736,551,859) (102,784,206) (1,086,743,664)
Net transactions in fund shares   55,414,483 $596,914,711 149,404,462 $1,589,808,370
Shares Outstanding and Net Assets      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   433,496,215 $4,697,087,175 284,091,753 $2,971,391,045
Total increase + 55,414,483 452,175,651 149,404,462 1,725,696,130
End of period   488,910,698 $5,149,262,826 433,496,215 $4,697,087,175
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Schwab Short-Term Bond Index Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		9/1/19–
8/31/20 		9/1/18–
8/31/19 		9/1/17–
8/31/18 		2/23/17 1–
8/31/17 		 
Per-Share Data
Net asset value at beginning of period $10.39 $10.13 $9.80 $10.04 $10.00  
Income (loss) from investment operations:            
Net investment income (loss)2 0.05 0.19 0.24 0.19 0.08  
Net realized and unrealized gains (losses) (0.06) 0.27 0.33 (0.24) 0.04  
Total from investment operations (0.01) 0.46 0.57 (0.05) 0.12  
Less distributions:            
Distributions from net investment income (0.05) (0.20) (0.24) (0.19) (0.08)  
Distributions from net realized gains (0.03) — — — —  
Total distributions (0.08) (0.20) (0.24) (0.19) (0.08)  
Net asset value at end of period $10.30 $10.39 $10.13 $9.80 $10.04  
Total return (0.07%) 3 4.59% 5.89% (0.51%) 1.25% 3  
Ratios/Supplemental Data
Ratios to average net assets:            
Total expenses 0.06% 4 0.06% 0.06% 0.06% 0.06% 4  
Net investment income (loss) 1.06% 4 1.89% 2.43% 1.92% 1.64% 4  
Portfolio turnover rate 33% 3 65% 46% 61% 49% 3,5  
Net assets, end of period (x 1,000,000) $2,052 $1,694 $877 $522 $381  
 
* Unaudited.
1
Commencement of operations.
2
Calculated based on the average shares outstanding during the period.
3
Not annualized.
4
Annualized.
5
Portfolio turnover rate excludes in-kind transactions.
82
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity.    
 
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Corporates 26.3% of net assets
 
Financial Institutions 10.9%
Banking 8.5%
Ally Financial, Inc.
4.13%, 02/13/22 100,000 103,491
4.63%, 05/19/22 150,000 157,290
3.05%, 06/05/23 (a) 200,000 210,206
1.45%, 10/02/23 (a) 500,000 508,410
3.88%, 05/21/24 (a) 100,000 108,908
5.13%, 09/30/24 100,000 114,048
4.63%, 03/30/25 100,000 112,545
5.80%, 05/01/25 (a) 200,000 234,280
American Express Co.
2.75%, 05/20/22 (a) 150,000 154,185
2.50%, 08/01/22 (a) 400,000 411,932
2.65%, 12/02/22 500,000 520,240
3.40%, 02/27/23 (a) 500,000 528,945
3.70%, 08/03/23 (a) 500,000 538,520
3.40%, 02/22/24 (a) 150,000 162,468
2.50%, 07/30/24 (a) 400,000 424,420
3.00%, 10/30/24 (a) 450,000 486,886
3.63%, 12/05/24 (a) 100,000 110,650
American Express Credit Corp.
2.70%, 03/03/22 (a) 450,000 460,296
Australia & New Zealand Banking Group Ltd.
2.63%, 11/09/22 250,000 260,018
Banco Bilbao Vizcaya Argentaria S.A.
0.88%, 09/18/23 200,000 201,728
1.13%, 09/18/25 200,000 198,584
Banco Santander S.A.
3.50%, 04/11/22 200,000 206,664
3.13%, 02/23/23 200,000 210,162
3.85%, 04/12/23 200,000 213,914
2.71%, 06/27/24 400,000 424,572
2.75%, 05/28/25 400,000 423,368
5.18%, 11/19/25 400,000 461,444
Bancolombia S.A.
3.00%, 01/29/25 (a) 200,000 207,844
BancorpSouth Bank
4.13%, 11/20/29 (a)(b) 50,000 51,595
Bank of America Corp.
2.50%, 10/21/22 (a) 400,000 405,536
3.30%, 01/11/23 750,000 791,580
2.88%, 04/24/23 (a)(b) 150,000 154,260
2.82%, 07/21/23 (a)(b) 650,000 671,541
4.10%, 07/24/23 750,000 816,292
3.00%, 12/20/23 (a)(b) 1,450,000 1,516,018
4.13%, 01/22/24 500,000 551,990
3.55%, 03/05/24 (a)(b) 650,000 689,851
4.00%, 04/01/24 550,000 605,583
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.49%, 05/19/24 (a)(b) 150,000 153,350
3.86%, 07/23/24 (a)(b) 500,000 539,045
4.20%, 08/26/24 800,000 888,696
0.81%, 10/24/24 (a)(b) 750,000 756,382
4.00%, 01/22/25 550,000 609,207
3.46%, 03/15/25 (a)(b) 400,000 432,100
3.95%, 04/21/25 650,000 719,836
3.88%, 08/01/25 350,000 391,853
0.98%, 09/25/25 (a)(b) 750,000 754,897
3.09%, 10/01/25 (a)(b) 300,000 323,775
2.46%, 10/22/25 (a)(b) 750,000 794,107
3.37%, 01/23/26 (a)(b) 600,000 652,530
2.02%, 02/13/26 (a)(b) 200,000 206,900
1.32%, 06/19/26 (a)(b) 750,000 755,535
1.20%, 10/24/26 (a)(b) 750,000 749,160
Bank of Montreal
2.90%, 03/26/22 850,000 874,344
2.35%, 09/11/22 150,000 154,899
2.55%, 11/06/22 (a) 150,000 155,504
0.45%, 12/08/23 150,000 150,359
3.30%, 02/05/24 300,000 323,718
2.50%, 06/28/24 200,000 212,378
1.85%, 05/01/25 350,000 361,805
0.95%, 01/22/27 (a)(b) 350,000 344,669
4.34%, 10/05/28 (a)(b) 300,000 326,727
BankUnited, Inc.
4.88%, 11/17/25 (a) 200,000 227,846
Barclays Bank PLC
1.70%, 05/12/22 (a) 550,000 558,547
Barclays PLC
3.68%, 01/10/23 (a) 400,000 410,692
4.34%, 05/16/24 (a)(b) 400,000 431,096
4.38%, 09/11/24 400,000 440,276
1.01%, 12/10/24 (a)(b) 500,000 503,010
3.65%, 03/16/25 425,000 462,795
3.93%, 05/07/25 (a)(b) 400,000 435,828
4.38%, 01/12/26 650,000 735,189
2.85%, 05/07/26 (a)(b) 400,000 422,400
BBVA USA
2.88%, 06/29/22 (a) 250,000 258,005
2.50%, 08/27/24 (a) 250,000 264,313
3.88%, 04/10/25 (a) 250,000 277,317
BNP Paribas S.A.
3.25%, 03/03/23 500,000 530,260
4.25%, 10/15/24 200,000 224,166
BPCE S.A.
4.00%, 04/15/24 250,000 275,700
Canadian Imperial Bank of Commerce
2.55%, 06/16/22 250,000 257,560
0.95%, 06/23/23 500,000 505,935
2.61%, 07/22/23 (a)(b) 150,000 154,611
3.50%, 09/13/23 150,000 162,020
 
83
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.50%, 12/14/23 250,000 250,350
3.10%, 04/02/24 150,000 161,079
2.25%, 01/28/25 150,000 156,864
0.95%, 10/23/25 250,000 248,933
Capital One Bank USA NA
3.38%, 02/15/23 250,000 264,055
Capital One Financial Corp.
3.05%, 03/09/22 (a) 150,000 153,912
3.20%, 01/30/23 (a) 150,000 157,653
2.60%, 05/11/23 (a) 150,000 156,696
3.50%, 06/15/23 500,000 534,340
3.90%, 01/29/24 (a) 150,000 163,197
3.75%, 04/24/24 (a) 100,000 108,979
3.30%, 10/30/24 (a) 700,000 759,780
3.20%, 02/05/25 (a) 350,000 376,918
4.25%, 04/30/25 (a) 300,000 336,696
4.20%, 10/29/25 (a) 500,000 562,125
CIT Bank NA
2.97%, 09/27/25 (a)(b) 250,000 266,933
Citibank NA
3.65%, 01/23/24 (a) 500,000 543,805
Citigroup, Inc.
2.75%, 04/25/22 (a) 400,000 410,432
4.05%, 07/30/22 300,000 315,162
2.70%, 10/27/22 (a) 400,000 414,776
3.50%, 05/15/23 200,000 212,846
2.88%, 07/24/23 (a)(b) 600,000 620,064
3.88%, 10/25/23 400,000 436,024
1.68%, 05/15/24 (a)(b) 250,000 256,308
4.04%, 06/01/24 (a)(b) 350,000 377,828
3.75%, 06/16/24 100,000 110,108
4.00%, 08/05/24 300,000 330,876
0.78%, 10/30/24 (a)(b) 500,000 502,945
3.88%, 03/26/25 200,000 219,954
3.35%, 04/24/25 (a)(b) 650,000 701,766
3.30%, 04/27/25 500,000 546,965
4.40%, 06/10/25 700,000 787,108
5.50%, 09/13/25 400,000 472,704
3.70%, 01/12/26 500,000 558,390
3.11%, 04/08/26 (a)(b) 750,000 807,240
1.12%, 01/28/27 (a)(b) 500,000 493,865
Citizens Bank NA
2.65%, 05/26/22 (a) 250,000 256,615
3.70%, 03/29/23 (a) 250,000 266,313
2.25%, 04/28/25 (a) 250,000 262,125
Citizens Financial Group, Inc.
4.30%, 12/03/25 (a) 200,000 225,902
Comerica, Inc.
3.70%, 07/31/23 (a) 200,000 215,092
Cooperatieve Rabobank UA
3.95%, 11/09/22 250,000 264,248
2.75%, 01/10/23 500,000 522,695
4.63%, 12/01/23 750,000 831,547
3.38%, 05/21/25 250,000 275,153
4.38%, 08/04/25 250,000 282,395
Credit Suisse AG
2.10%, 11/12/21 250,000 253,250
2.80%, 04/08/22 300,000 308,364
1.00%, 05/05/23 550,000 557,535
0.50%, 02/02/24 500,000 499,790
3.63%, 09/09/24 650,000 714,889
2.95%, 04/09/25 300,000 324,396
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Credit Suisse Group Funding Guernsey Ltd.
3.80%, 09/15/22 500,000 525,420
3.80%, 06/09/23 500,000 536,435
3.75%, 03/26/25 500,000 548,940
Deutsche Bank AG
3.30%, 11/16/22 200,000 208,704
3.95%, 02/27/23 500,000 530,560
3.70%, 05/30/24 300,000 323,900
2.22%, 09/18/24 (a)(b) 450,000 463,351
3.96%, 11/26/25 (a)(b) 600,000 655,878
2.13%, 11/24/26 (a)(b) 500,000 505,790
Discover Bank
4.20%, 08/08/23 250,000 271,853
2.45%, 09/12/24 (a) 250,000 263,833
Discover Financial Services
3.95%, 11/06/24 (a) 250,000 275,562
3.75%, 03/04/25 (a) 200,000 218,794
4.50%, 01/30/26 (a) 250,000 284,882
Fifth Third Bancorp
1.63%, 05/05/23 (a) 100,000 102,588
3.65%, 01/25/24 (a) 400,000 434,168
2.38%, 01/28/25 (a) 100,000 104,975
Fifth Third Bank
1.80%, 01/30/23 (a) 250,000 257,038
3.95%, 07/28/25 (a) 250,000 281,770
First Citizens BancShares, Inc.
3.38%, 03/15/30 (a)(b) 50,000 51,090
First Horizon Corp.
3.55%, 05/26/23 (a) 200,000 211,956
4.00%, 05/26/25 (a) 100,000 111,094
First Republic Bank/CA
1.91%, 02/12/24 (a)(b) 250,000 256,873
FNB Corp/PA
2.20%, 02/24/23 (a) 50,000 50,996
HSBC Holdings PLC
3.26%, 03/13/23 (a)(b) 600,000 617,520
3.60%, 05/25/23 400,000 427,904
3.03%, 11/22/23 (a)(b) 350,000 365,414
4.25%, 03/14/24 450,000 492,646
3.95%, 05/18/24 (a)(b) 600,000 644,274
3.80%, 03/11/25 (a)(b) 600,000 652,092
4.25%, 08/18/25 350,000 391,044
2.63%, 11/07/25 (a)(b) 800,000 846,640
1.65%, 04/18/26 (a)(b) 625,000 632,456
2.10%, 06/04/26 (a)(b) 350,000 360,612
4.29%, 09/12/26 (a)(b) 600,000 672,690
HSBC USA, Inc.
3.50%, 06/23/24 100,000 109,164
Huntington Bancshares, Inc.
2.30%, 01/14/22 (a) 250,000 254,010
2.63%, 08/06/24 (a) 350,000 372,074
ING Groep N.V.
3.15%, 03/29/22 250,000 257,728
4.10%, 10/02/23 200,000 218,380
3.55%, 04/09/24 450,000 489,154
JPMorgan Chase & Co.
3.25%, 09/23/22 850,000 889,261
2.97%, 01/15/23 (a) 500,000 511,515
3.20%, 01/25/23 550,000 580,118
3.21%, 04/01/23 (a)(b) 600,000 618,414
2.78%, 04/25/23 (a)(b) 250,000 256,810
3.38%, 05/01/23 600,000 638,370
2.70%, 05/18/23 (a) 500,000 524,120
3.88%, 02/01/24 250,000 274,188
3.56%, 04/23/24 (a)(b) 450,000 479,637
 
84
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.63%, 05/13/24 450,000 493,749
1.51%, 06/01/24 (a)(b) 400,000 409,548
3.80%, 07/23/24 (a)(b) 650,000 700,648
3.88%, 09/10/24 800,000 885,256
0.65%, 09/16/24 (a)(b) 400,000 402,592
4.02%, 12/05/24 (a)(b) 550,000 601,848
3.13%, 01/23/25 (a) 550,000 593,967
0.56%, 02/16/25 (a)(b) 250,000 249,333
3.22%, 03/01/25 (a)(b) 550,000 591,129
3.90%, 07/15/25 (a) 600,000 668,760
7.75%, 07/15/25 100,000 128,016
2.30%, 10/15/25 (a)(b) 750,000 789,195
2.01%, 03/13/26 (a)(b) 550,000 569,998
2.08%, 04/22/26 (a)(b) 850,000 882,716
1.05%, 11/19/26 (a)(b) 600,000 594,474
3.96%, 01/29/27 (a)(b) 500,000 562,960
1.04%, 02/04/27 (a)(b) 500,000 493,375
KeyBank NA
2.30%, 09/14/22 250,000 257,830
3.38%, 03/07/23 250,000 265,308
1.25%, 03/10/23 250,000 254,805
0.42%, 01/03/24 (a)(b) 250,000 250,540
KeyCorp
4.15%, 10/29/25 250,000 284,897
Lloyds Banking Group PLC
2.86%, 03/17/23 (a)(b) 200,000 204,966
1.33%, 06/15/23 (a)(b) 400,000 404,188
4.05%, 08/16/23 400,000 434,148
2.91%, 11/07/23 (a)(b) 500,000 519,560
3.90%, 03/12/24 200,000 219,118
4.50%, 11/04/24 200,000 223,526
4.45%, 05/08/25 450,000 508,878
3.87%, 07/09/25 (a)(b) 500,000 548,740
4.58%, 12/10/25 450,000 509,746
2.44%, 02/05/26 (a)(b) 400,000 417,816
M&T Bank Corp.
3.55%, 07/26/23 (a) 250,000 268,765
Manufacturers & Traders Trust Co.
2.90%, 02/06/25 (a) 250,000 269,613
Mitsubishi UFJ Financial Group, Inc.
3.00%, 02/22/22 250,000 256,653
3.22%, 03/07/22 200,000 205,930
2.62%, 07/18/22 250,000 257,885
2.67%, 07/25/22 500,000 516,015
3.46%, 03/02/23 150,000 158,981
3.76%, 07/26/23 450,000 484,888
3.41%, 03/07/24 650,000 702,377
2.80%, 07/18/24 200,000 213,748
0.85%, 09/15/24 (a)(b) 1,000,000 1,008,140
2.19%, 02/25/25 550,000 572,456
3.78%, 03/02/25 250,000 275,468
1.41%, 07/17/25 400,000 403,904
Mizuho Financial Group, Inc.
2.60%, 09/11/22 200,000 206,928
3.55%, 03/05/23 300,000 318,687
2.72%, 07/16/23 (a)(b) 200,000 206,308
1.24%, 07/10/24 (a)(b) 250,000 253,868
0.85%, 09/08/24 (a)(b) 375,000 377,344
3.92%, 09/11/24 (a)(b) 200,000 216,606
2.84%, 07/16/25 (a)(b) 200,000 212,586
2.56%, 09/13/25 (a)(b) 200,000 211,078
2.23%, 05/25/26 (a)(b) 250,000 260,003
Morgan Stanley
2.75%, 05/19/22 850,000 875,848
4.88%, 11/01/22 400,000 428,980
3.13%, 01/23/23 500,000 525,735
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.75%, 02/25/23 500,000 532,980
4.10%, 05/22/23 500,000 538,550
0.56%, 11/10/23 (a)(b) 400,000 400,676
0.53%, 01/25/24 (a)(b) 750,000 750,480
3.74%, 04/24/24 (a)(b) 700,000 747,789
3.88%, 04/29/24 750,000 824,850
3.70%, 10/23/24 650,000 718,087
2.72%, 07/22/25 (a)(b) 500,000 531,975
4.00%, 07/23/25 750,000 843,862
0.86%, 10/21/25 (a)(b) 500,000 501,125
5.00%, 11/24/25 600,000 701,640
3.88%, 01/27/26 750,000 844,927
2.19%, 04/28/26 (a)(b) 750,000 779,242
0.99%, 12/10/26 (a)(b) 750,000 741,232
MUFG Americas Holdings Corp.
3.50%, 06/18/22 100,000 104,117
MUFG Union Bank NA
3.15%, 04/01/22 (a) 250,000 257,183
National Australia Bank Ltd.
2.50%, 05/22/22 250,000 256,950
2.88%, 04/12/23 300,000 316,284
3.63%, 06/20/23 250,000 268,960
National Bank of Canada
2.10%, 02/01/23 250,000 258,150
0.90%, 08/15/23 (a)(b) 250,000 251,655
Natwest Group PLC
6.13%, 12/15/22 400,000 436,180
3.50%, 05/15/23 (a)(b) 400,000 414,032
6.10%, 06/10/23 350,000 389,168
3.88%, 09/12/23 400,000 431,904
6.00%, 12/19/23 400,000 453,804
2.36%, 05/22/24 (a)(b) 200,000 207,164
5.13%, 05/28/24 600,000 671,712
4.52%, 06/25/24 (a)(b) 200,000 217,346
4.27%, 03/22/25 (a)(b) 600,000 658,506
3.75%, 11/01/29 (a)(b) 200,000 211,680
People's United Financial, Inc.
3.65%, 12/06/22 (a) 100,000 104,729
PNC Bank NA
2.45%, 07/28/22 (a) 250,000 257,313
2.70%, 11/01/22 (a) 250,000 259,425
2.95%, 01/30/23 (a) 250,000 261,888
3.50%, 06/08/23 (a) 250,000 267,355
3.80%, 07/25/23 (a) 250,000 269,688
2.95%, 02/23/25 (a) 250,000 269,500
3.25%, 06/01/25 (a) 250,000 274,123
Regions Financial Corp.
3.80%, 08/14/23 (a) 150,000 161,568
2.25%, 05/18/25 (a) 200,000 209,484
Royal Bank of Canada
2.80%, 04/29/22 250,000 257,398
1.95%, 01/17/23 200,000 206,182
1.60%, 04/17/23 300,000 307,863
3.70%, 10/05/23 325,000 352,667
0.50%, 10/26/23 750,000 752,685
0.43%, 01/19/24 250,000 249,385
2.55%, 07/16/24 250,000 266,125
2.25%, 11/01/24 200,000 211,294
1.15%, 06/10/25 300,000 301,848
0.88%, 01/20/26 500,000 495,025
4.65%, 01/27/26 300,000 348,381
Santander Holdings USA, Inc.
3.70%, 03/28/22 (a) 261,000 269,031
3.40%, 01/18/23 (a) 100,000 104,699
3.50%, 06/07/24 (a) 100,000 107,589
 
85
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.45%, 06/02/25 (a) 300,000 323,409
4.50%, 07/17/25 (a) 500,000 557,770
Santander UK Group Holdings PLC
3.57%, 01/10/23 (a) 200,000 205,276
3.37%, 01/05/24 (a)(b) 250,000 262,513
4.80%, 11/15/24 (a)(b) 200,000 221,616
1.53%, 08/21/26 (a)(b) 400,000 401,140
Santander UK PLC
2.10%, 01/13/23 400,000 412,760
4.00%, 03/13/24 200,000 219,868
2.88%, 06/18/24 200,000 214,520
Signature Bank
4.00%, 10/15/30 (a)(b) 100,000 103,682
State Street Corp.
3.10%, 05/15/23 250,000 265,205
3.70%, 11/20/23 350,000 382,396
3.78%, 12/03/24 (a)(b) 100,000 109,151
3.30%, 12/16/24 200,000 220,472
3.55%, 08/18/25 400,000 445,404
2.35%, 11/01/25 (a)(b) 450,000 478,048
2.90%, 03/30/26 (a)(b) 150,000 161,486
Sumitomo Mitsui Banking Corp.
3.95%, 07/19/23 250,000 271,170
3.95%, 01/10/24 250,000 274,083
3.40%, 07/11/24 250,000 272,755
Sumitomo Mitsui Financial Group, Inc.
2.78%, 07/12/22 450,000 464,967
2.78%, 10/18/22 150,000 155,880
3.10%, 01/17/23 250,000 262,750
3.75%, 07/19/23 200,000 215,756
3.94%, 10/16/23 400,000 436,212
0.51%, 01/12/24 200,000 199,972
2.70%, 07/16/24 400,000 426,072
2.45%, 09/27/24 200,000 211,722
2.35%, 01/15/25 400,000 418,928
1.47%, 07/08/25 700,000 709,940
0.95%, 01/12/26 250,000 246,473
SVB Financial Group
3.50%, 01/29/25 100,000 109,434
Svenska Handelsbanken AB
3.90%, 11/20/23 500,000 547,405
Synchrony Bank
3.00%, 06/15/22 (a) 250,000 257,440
Synchrony Financial
2.85%, 07/25/22 (a) 600,000 618,288
4.38%, 03/19/24 (a) 75,000 82,321
4.25%, 08/15/24 (a) 150,000 164,781
4.50%, 07/23/25 (a) 250,000 279,292
The Bank of New York Mellon Corp.
1.95%, 08/23/22 200,000 205,140
1.85%, 01/27/23 (a) 100,000 102,905
2.95%, 01/29/23 (a) 150,000 157,340
3.50%, 04/28/23 150,000 160,329
2.66%, 05/16/23 (a)(b) 200,000 205,664
3.45%, 08/11/23 250,000 269,093
2.20%, 08/16/23 (a) 350,000 365,197
0.35%, 12/07/23 (a) 250,000 250,440
3.65%, 02/04/24 (a) 150,000 163,617
3.25%, 09/11/24 (a) 100,000 109,299
2.10%, 10/24/24 400,000 422,416
3.00%, 02/24/25 (a) 200,000 216,312
1.60%, 04/24/25 (a) 200,000 206,018
3.95%, 11/18/25 (a) 250,000 284,045
0.75%, 01/28/26 (a) 500,000 494,645
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
The Bank of Nova Scotia
2.70%, 03/07/22 500,000 512,735
2.38%, 01/18/23 150,000 155,748
1.95%, 02/01/23 300,000 309,201
1.63%, 05/01/23 300,000 308,223
0.55%, 09/15/23 650,000 653,035
3.40%, 02/11/24 250,000 270,650
2.20%, 02/03/25 200,000 209,132
1.30%, 06/11/25 200,000 202,018
4.50%, 12/16/25 250,000 287,030
1.05%, 03/02/26 (c) 200,000 198,932
The Goldman Sachs Group, Inc.
5.75%, 01/24/22 250,000 262,180
3.00%, 04/26/22 (a) 650,000 652,574
3.63%, 01/22/23 750,000 795,082
0.48%, 01/27/23 (a) 500,000 500,140
3.20%, 02/23/23 (a) 250,000 263,013
2.91%, 06/05/23 (a)(b) 300,000 309,246
2.91%, 07/24/23 (a)(b) 600,000 620,238
0.63%, 11/17/23 (a)(b) 750,000 752,497
3.63%, 02/20/24 (a) 350,000 380,443
4.00%, 03/03/24 600,000 660,072
3.85%, 07/08/24 (a) 700,000 767,081
3.50%, 01/23/25 (a) 625,000 680,512
3.50%, 04/01/25 (a) 850,000 931,030
3.75%, 05/22/25 (a) 500,000 552,245
3.27%, 09/29/25 (a)(b) 550,000 596,662
4.25%, 10/21/25 500,000 562,915
0.86%, 02/12/26 (a)(b) 250,000 248,028
3.75%, 02/25/26 (a) 500,000 558,395
1.09%, 12/09/26 (a)(b) 550,000 545,534
The Huntington National Bank
2.50%, 08/07/22 (a) 250,000 257,418
3.55%, 10/06/23 (a) 250,000 269,993
The PNC Financial Services Group, Inc.
3.30%, 03/08/22 (a) 200,000 205,728
2.85%, 11/09/22 250,000 260,905
3.50%, 01/23/24 (a) 200,000 217,168
3.90%, 04/29/24 (a) 100,000 110,007
2.20%, 11/01/24 (a) 200,000 211,732
The Toronto-Dominion Bank
1.90%, 12/01/22 250,000 257,183
0.25%, 01/06/23 250,000 249,853
0.75%, 06/12/23 350,000 353,272
3.50%, 07/19/23 400,000 430,496
0.45%, 09/11/23 400,000 401,072
3.25%, 03/11/24 150,000 162,054
2.65%, 06/12/24 300,000 320,325
1.15%, 06/12/25 250,000 251,698
0.75%, 09/11/25 400,000 395,240
0.75%, 01/06/26 250,000 246,023
Truist Bank
2.63%, 01/15/22 (a) 200,000 203,812
2.80%, 05/17/22 (a) 200,000 205,726
1.25%, 03/09/23 (a) 400,000 407,280
3.20%, 04/01/24 (a) 200,000 215,916
3.69%, 08/02/24 (a)(b) 100,000 107,352
2.15%, 12/06/24 (a) 250,000 263,520
1.50%, 03/10/25 (a) 750,000 767,632
3.63%, 09/16/25 (a) 300,000 333,195
2.64%, 09/17/29 (a)(b) 250,000 263,688
Truist Financial Corp.
3.95%, 03/22/22 (a) 350,000 362,253
3.05%, 06/20/22 (a) 400,000 413,588
2.20%, 03/16/23 (a) 350,000 362,775
3.75%, 12/06/23 (a) 450,000 490,095
 
86
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.50%, 08/01/24 (a) 200,000 212,012
2.85%, 10/26/24 (a) 150,000 161,406
4.00%, 05/01/25 (a) 500,000 558,740
1.20%, 08/05/25 (a) 250,000 252,585
1.27%, 03/02/27 (a)(b) 200,000 201,072
US Bancorp
2.63%, 01/24/22 (a) 150,000 152,936
3.00%, 03/15/22 (a) 150,000 154,098
2.95%, 07/15/22 (a) 350,000 361,921
3.70%, 01/30/24 (a) 400,000 436,520
3.38%, 02/05/24 (a) 250,000 270,555
2.40%, 07/30/24 (a) 350,000 371,311
3.60%, 09/11/24 (a) 300,000 330,030
1.45%, 05/12/25 (a) 400,000 408,972
3.95%, 11/17/25 (a) 250,000 283,190
US Bank NA
2.80%, 01/27/25 (a) 250,000 267,953
US Bank NA/Cincinnati OH
1.95%, 01/09/23 (a) 250,000 257,500
3.40%, 07/24/23 (a) 500,000 535,475
2.05%, 01/21/25 (a) 250,000 261,103
Wells Fargo & Co.
3.50%, 03/08/22 400,000 413,312
2.63%, 07/22/22 900,000 928,935
3.07%, 01/24/23 (a) 750,000 768,172
3.45%, 02/13/23 500,000 529,585
4.13%, 08/15/23 400,000 435,152
4.48%, 01/16/24 100,000 111,028
3.75%, 01/24/24 (a) 750,000 815,310
1.65%, 06/02/24 (a)(b) 600,000 615,306
3.30%, 09/09/24 300,000 326,982
3.00%, 02/19/25 850,000 914,056
3.55%, 09/29/25 750,000 829,267
2.41%, 10/30/25 (a)(b) 700,000 738,598
2.16%, 02/11/26 (a)(b) 650,000 676,526
2.19%, 04/30/26 (a)(b) 950,000 989,653
Wells Fargo Bank NA
3.55%, 08/14/23 (a) 550,000 592,256
Westpac Banking Corp.
2.50%, 06/28/22 200,000 205,966
2.75%, 01/11/23 500,000 523,070
2.00%, 01/13/23 150,000 154,796
3.65%, 05/15/23 500,000 536,370
3.30%, 02/26/24 150,000 162,420
2.35%, 02/19/25 200,000 211,070
2.89%, 02/04/30 (a)(b) 400,000 415,780
    175,243,551
Brokerage/Asset Managers/Exchanges 0.3%
Affiliated Managers Group, Inc.
4.25%, 02/15/24 100,000 110,189
3.50%, 08/01/25 200,000 219,138
Ameriprise Financial, Inc.
3.00%, 03/22/22 100,000 102,915
4.00%, 10/15/23 150,000 164,087
3.70%, 10/15/24 250,000 276,642
3.00%, 04/02/25 (a) 200,000 215,214
BGC Partners, Inc.
3.75%, 10/01/24 (a) 100,000 105,024
BlackRock, Inc.
3.38%, 06/01/22 250,000 259,815
3.50%, 03/18/24 250,000 273,777
Brookfield Asset Management, Inc.
4.00%, 01/15/25 (a) 100,000 110,064
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Brookfield Finance, Inc.
4.00%, 04/01/24 (a) 300,000 328,161
CME Group, Inc.
3.00%, 03/15/25 (a) 400,000 431,900
E*TRADE Financial Corp.
2.95%, 08/24/22 (a) 300,000 310,698
Eaton Vance Corp.
3.63%, 06/15/23 100,000 107,046
Franklin Resources, Inc.
2.85%, 03/30/25 100,000 107,405
Intercontinental Exchange, Inc.
2.35%, 09/15/22 (a) 100,000 102,887
0.70%, 06/15/23 300,000 301,878
3.45%, 09/21/23 (a) 200,000 214,866
4.00%, 10/15/23 100,000 109,086
3.75%, 12/01/25 (a) 500,000 556,035
Invesco Finance PLC
3.13%, 11/30/22 100,000 104,779
4.00%, 01/30/24 100,000 109,878
Jefferies Financial Group, Inc.
5.50%, 10/18/23 (a) 100,000 109,101
Jefferies Group LLC
5.13%, 01/20/23 100,000 108,416
Lazard Group LLC
3.75%, 02/13/25 100,000 109,197
Nasdaq, Inc.
0.45%, 12/21/22 (a) 250,000 250,117
4.25%, 06/01/24 (a) 50,000 55,149
Nomura Holdings, Inc.
2.65%, 01/16/25 400,000 421,116
1.85%, 07/16/25 400,000 408,780
Stifel Financial Corp.
4.25%, 07/18/24 200,000 222,934
TD Ameritrade Holding Corp.
2.95%, 04/01/22 (a)(d) 100,000 102,459
3.63%, 04/01/25 (a)(d) 150,000 165,179
The Charles Schwab Corp.
2.65%, 01/25/23 (a)(d) 75,000 78,198
3.55%, 02/01/24 (a)(d) 100,000 108,884
3.00%, 03/10/25 (a)(d) 100,000 107,683
4.20%, 03/24/25 (a)(d) 200,000 225,232
3.85%, 05/21/25 (a)(d) 150,000 167,783
    7,261,712
Finance Companies 0.5%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust
3.30%, 01/23/23 (a) 150,000 156,098
4.13%, 07/03/23 (a) 200,000 212,548
4.50%, 09/15/23 (a) 250,000 270,225
4.88%, 01/16/24 (a) 300,000 327,216
3.15%, 02/15/24 (a) 300,000 314,580
2.88%, 08/14/24 (a) 150,000 156,140
3.50%, 01/15/25 (a) 150,000 158,133
6.50%, 07/15/25 (a) 350,000 409,906
4.45%, 10/01/25 (a) 150,000 164,316
1.75%, 01/30/26 (a) 250,000 243,973
Air Lease Corp.
2.63%, 07/01/22 (a) 155,000 158,861
2.25%, 01/15/23 100,000 102,709
2.75%, 01/15/23 (a) 350,000 362,365
3.88%, 07/03/23 (a) 150,000 160,079
3.00%, 09/15/23 (a) 100,000 104,912
4.25%, 02/01/24 (a) 300,000 326,820
0.70%, 02/15/24 (a) 250,000 247,707
 
87
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.25%, 09/15/24 (a) 100,000 109,724
2.30%, 02/01/25 (a) 200,000 204,818
3.25%, 03/01/25 (a) 200,000 211,640
3.38%, 07/01/25 (a) 125,000 132,989
2.88%, 01/15/26 (a) 400,000 416,892
Aircastle Ltd.
4.40%, 09/25/23 (a) 150,000 159,690
4.13%, 05/01/24 (a) 300,000 317,190
Ares Capital Corp.
3.50%, 02/10/23 (a) 75,000 78,753
4.20%, 06/10/24 (a) 400,000 435,132
4.25%, 03/01/25 (a) 100,000 108,288
3.25%, 07/15/25 (a) 300,000 314,337
3.88%, 01/15/26 (a) 250,000 267,537
FS KKR Capital Corp.
4.75%, 05/15/22 (a) 100,000 104,048
4.63%, 07/15/24 (a) 100,000 107,229
4.13%, 02/01/25 (a) 50,000 51,885
3.40%, 01/15/26 (a) 250,000 250,157
GATX Corp.
4.35%, 02/15/24 (a) 100,000 109,977
GE Capital Funding LLC
3.45%, 05/15/25 (a)(e) 400,000 434,728
GE Capital International Funding Co.
3.37%, 11/15/25 500,000 546,155
Goldman Sachs BDC, Inc.
3.75%, 02/10/25 (a) 50,000 53,241
2.88%, 01/15/26 (a) 300,000 306,984
International Lease Finance Corp.
5.88%, 08/15/22 240,000 257,424
Main Street Capital Corp.
5.20%, 05/01/24 50,000 54,220
Oaktree Specialty Lending Corp.
3.50%, 02/25/25 (a) 50,000 51,731
Owl Rock Capital Corp.
5.25%, 04/15/24 (a) 250,000 274,327
4.00%, 03/30/25 (a) 50,000 52,894
3.75%, 07/22/25 (a) 250,000 261,242
    9,549,820
Financial Other 0.1%
Blackstone Secured Lending Fund
3.65%, 07/14/23 (e) 200,000 208,990
3.63%, 01/15/26 (a)(e) 200,000 207,594
CME Group, Inc.
3.00%, 09/15/22 250,000 260,400
ORIX Corp.
2.90%, 07/18/22 280,000 289,215
4.05%, 01/16/24 150,000 163,945
    1,130,144
Insurance 0.8%
Aetna, Inc.
2.75%, 11/15/22 (a) 300,000 310,314
2.80%, 06/15/23 (a) 300,000 314,559
3.50%, 11/15/24 (a) 300,000 328,767
Aflac, Inc.
3.63%, 06/15/23 350,000 375,928
3.63%, 11/15/24 250,000 277,195
Allied World Assurance Co., Holdings Ltd.
4.35%, 10/29/25 (a) 150,000 162,797
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
American International Group, Inc.
4.88%, 06/01/22 200,000 211,144
4.13%, 02/15/24 400,000 441,804
2.50%, 06/30/25 (a) 250,000 264,417
3.75%, 07/10/25 (a) 500,000 552,115
Anthem, Inc.
3.13%, 05/15/22 300,000 310,074
3.30%, 01/15/23 200,000 210,612
3.50%, 08/15/24 (a) 100,000 109,059
3.35%, 12/01/24 (a) 200,000 218,524
2.38%, 01/15/25 (a) 300,000 315,777
Aon Corp.
2.20%, 11/15/22 200,000 206,322
Aon PLC
4.00%, 11/27/23 (a) 100,000 108,649
3.50%, 06/14/24 (a) 250,000 270,795
3.88%, 12/15/25 (a) 200,000 223,856
Aspen Insurance Holdings Ltd.
4.65%, 11/15/23 100,000 109,729
Assurant, Inc.
4.20%, 09/27/23 (a) 100,000 108,812
Assured Guaranty US Holdings, Inc.
5.00%, 07/01/24 300,000 340,815
Berkshire Hathaway Finance Corp.
3.00%, 05/15/22 350,000 361,679
Berkshire Hathaway, Inc.
3.00%, 02/11/23 100,000 105,290
2.75%, 03/15/23 (a) 350,000 365,991
Brown & Brown, Inc.
4.20%, 09/15/24 (a) 100,000 111,537
Chubb INA Holdings, Inc.
2.88%, 11/03/22 (a) 100,000 103,897
2.70%, 03/13/23 150,000 157,272
3.35%, 05/15/24 100,000 108,901
3.15%, 03/15/25 650,000 705,874
CNA Financial Corp.
3.95%, 05/15/24 (a) 100,000 109,520
CNO Financial Group, Inc.
5.25%, 05/30/25 (a) 200,000 229,980
Equitable Holdings, Inc.
3.90%, 04/20/23 (a) 65,000 69,571
Fidelity National Financial, Inc.
5.50%, 09/01/22 100,000 107,226
Globe Life, Inc.
3.80%, 09/15/22 100,000 105,142
Humana, Inc.
3.15%, 12/01/22 (a) 200,000 208,026
2.90%, 12/15/22 (a) 50,000 52,076
3.85%, 10/01/24 (a) 100,000 110,018
4.50%, 04/01/25 (a) 250,000 283,220
Lincoln National Corp.
4.00%, 09/01/23 150,000 163,211
Loews Corp.
2.63%, 05/15/23 (a) 150,000 156,555
Markel Corp.
4.90%, 07/01/22 100,000 105,858
Marsh & McLennan Cos., Inc.
3.30%, 03/14/23 (a) 100,000 105,415
3.88%, 03/15/24 (a) 250,000 274,105
3.50%, 06/03/24 (a) 100,000 108,464
3.50%, 03/10/25 (a) 150,000 164,506
 
88
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
MetLife, Inc.
3.05%, 12/15/22 150,000 157,550
4.37%, 09/15/23 300,000 329,859
3.60%, 04/10/24 150,000 164,129
3.60%, 11/13/25 (a) 250,000 278,727
Old Republic International Corp.
4.88%, 10/01/24 (a) 100,000 113,379
Principal Financial Group, Inc.
3.30%, 09/15/22 100,000 104,484
Prudential Financial, Inc.
3.50%, 05/15/24 250,000 273,932
5.88%, 09/15/42 (a)(b) 250,000 263,650
5.63%, 06/15/43 (a)(b) 350,000 375,641
5.20%, 03/15/44 (a)(b) 200,000 213,240
5.38%, 05/15/45 (a)(b) 200,000 221,394
Reinsurance Group of America, Inc.
4.70%, 09/15/23 100,000 110,330
The Allstate Corp.
3.15%, 06/15/23 250,000 265,985
0.75%, 12/15/25 (a) 150,000 148,566
5.75%, 08/15/53 (a)(b) 175,000 187,252
UnitedHealth Group, Inc.
2.88%, 12/15/21 150,000 153,153
3.35%, 07/15/22 300,000 312,468
2.38%, 10/15/22 250,000 258,410
2.75%, 02/15/23 (a) 250,000 260,435
2.88%, 03/15/23 300,000 315,321
3.50%, 06/15/23 100,000 107,202
3.50%, 02/15/24 297,000 322,646
2.38%, 08/15/24 100,000 106,195
3.75%, 07/15/25 500,000 558,810
Unum Group
4.00%, 03/15/24 70,000 76,532
4.50%, 03/15/25 (a) 150,000 168,505
Voya Financial, Inc.
3.13%, 07/15/24 (a) 100,000 107,697
5.65%, 05/15/53 (a)(b) 300,000 320,520
W R Berkley Corp.
4.63%, 03/15/22 100,000 104,301
Willis North America, Inc.
3.60%, 05/15/24 (a) 100,000 108,696
XLIT Ltd.
4.45%, 03/31/25 100,000 113,068
    16,747,475
REITs 0.7%
Alexandria Real Estate Equities, Inc.
3.45%, 04/30/25 (a) 200,000 218,648
American Campus Communities Operating Partnership LP
3.75%, 04/15/23 (a) 100,000 106,013
4.13%, 07/01/24 (a) 150,000 164,688
AvalonBay Communities, Inc.
2.95%, 09/15/22 (a) 100,000 103,413
3.50%, 11/15/24 (a) 100,000 109,833
3.45%, 06/01/25 (a) 200,000 219,126
3.50%, 11/15/25 (a) 200,000 221,180
Boston Properties LP
3.85%, 02/01/23 (a) 250,000 264,125
3.13%, 09/01/23 (a) 200,000 211,572
3.80%, 02/01/24 (a) 150,000 162,417
3.20%, 01/15/25 (a) 200,000 215,392
3.65%, 02/01/26 (a) 300,000 333,735
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Brixmor Operating Partnership LP
3.25%, 09/15/23 (a) 100,000 105,848
3.65%, 06/15/24 (a) 100,000 108,256
3.85%, 02/01/25 (a) 100,000 109,010
Corporate Office Properties LP
3.60%, 05/15/23 (a) 200,000 210,386
CyrusOne LP/CyrusOne Finance Corp.
2.90%, 11/15/24 (a) 100,000 106,690
Digital Realty Trust LP
4.75%, 10/01/25 (a) 200,000 230,172
ERP Operating LP
3.00%, 04/15/23 (a) 150,000 157,221
Essex Portfolio LP
3.25%, 05/01/23 (a) 100,000 105,150
3.88%, 05/01/24 (a) 100,000 109,025
3.50%, 04/01/25 (a) 150,000 163,530
Federal Realty Investment Trust
3.95%, 01/15/24 (a) 75,000 81,457
1.25%, 02/15/26 (a) 200,000 200,382
Healthpeak Properties, Inc.
3.40%, 02/01/25 (a) 100,000 108,600
4.00%, 06/01/25 (a) 200,000 223,386
Host Hotels & Resorts LP
3.75%, 10/15/23 (a) 150,000 159,290
3.88%, 04/01/24 (a) 100,000 106,161
4.50%, 02/01/26 (a) 100,000 109,537
Kilroy Realty LP
3.80%, 01/15/23 (a) 200,000 209,194
3.45%, 12/15/24 (a) 100,000 107,972
Kimco Realty Corp.
3.40%, 11/01/22 (a) 175,000 182,704
2.70%, 03/01/24 (a) 200,000 211,162
3.30%, 02/01/25 (a) 200,000 216,470
Mid-America Apartments LP
4.30%, 10/15/23 (a) 100,000 108,692
4.00%, 11/15/25 (a) 250,000 279,957
National Retail Properties, Inc.
3.90%, 06/15/24 (a) 100,000 109,274
4.00%, 11/15/25 (a) 200,000 222,338
Office Properties Income Trust
4.00%, 07/15/22 (a) 175,000 179,361
4.25%, 05/15/24 (a) 100,000 105,812
4.50%, 02/01/25 (a) 250,000 266,665
Omega Healthcare Investors, Inc.
4.38%, 08/01/23 (a) 200,000 216,106
4.50%, 01/15/25 (a) 100,000 109,164
5.25%, 01/15/26 (a) 250,000 284,555
Piedmont Operating Partnership LP
3.40%, 06/01/23 (a) 100,000 104,863
4.45%, 03/15/24 (a) 100,000 108,534
ProLogis LP
3.75%, 11/01/25 (a) 200,000 223,632
Public Storage
2.37%, 09/15/22 (a) 100,000 103,041
0.88%, 02/15/26 (a) 150,000 148,394
Realty Income Corp.
4.65%, 08/01/23 (a) 350,000 381,486
3.88%, 04/15/25 (a) 250,000 277,900
Sabra Health Care LP
4.80%, 06/01/24 (a) 100,000 109,595
Simon Property Group LP
2.75%, 02/01/23 (a) 100,000 103,979
2.75%, 06/01/23 (a) 250,000 261,908
 
89
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.75%, 02/01/24 (a) 100,000 108,102
2.00%, 09/13/24 (a) 300,000 312,393
3.38%, 10/01/24 (a) 300,000 325,410
3.50%, 09/01/25 (a) 550,000 600,121
SITE Centers Corp.
3.63%, 02/01/25 (a) 50,000 52,218
SL Green Operating Partnership LP
3.25%, 10/15/22 (a) 200,000 207,530
Ventas Realty LP
3.13%, 06/15/23 (a) 150,000 157,851
3.50%, 04/15/24 (a) 100,000 108,385
3.75%, 05/01/24 (a) 100,000 108,607
2.65%, 01/15/25 (a) 100,000 105,858
3.50%, 02/01/25 (a) 100,000 108,938
4.13%, 01/15/26 (a) 200,000 226,744
VEREIT Operating Partnership LP
4.60%, 02/06/24 (a) 100,000 110,143
4.63%, 11/01/25 (a) 250,000 285,857
Vornado Realty LP
3.50%, 01/15/25 (a) 100,000 106,419
Welltower, Inc.
3.95%, 09/01/23 (a) 150,000 162,480
4.50%, 01/15/24 (a) 300,000 330,195
3.63%, 03/15/24 (a) 250,000 270,810
4.00%, 06/01/25 (a) 300,000 333,111
WP Carey, Inc.
4.00%, 02/01/25 (a) 250,000 274,762
    13,652,935
    223,585,637
 
Industrial 14.1%
Basic Industry 0.5%
Air Products & Chemicals, Inc.
2.75%, 02/03/23 79,000 82,632
3.35%, 07/31/24 (a) 100,000 108,825
1.50%, 10/15/25 (a) 200,000 204,760
Albemarle Corp.
4.15%, 12/01/24 (a) 100,000 111,519
BHP Billiton Finance (USA) Ltd.
3.85%, 09/30/23 200,000 217,864
Celanese US Holdings LLC
3.50%, 05/08/24 (a) 100,000 107,666
Celulosa Arauco y Constitucion S.A.
4.50%, 08/01/24 (a) 200,000 218,442
Domtar Corp.
4.40%, 04/01/22 (a) 250,000 257,670
DuPont de Nemours, Inc.
2.17%, 05/01/23 650,000 653,529
4.21%, 11/15/23 (a) 500,000 548,115
4.49%, 11/15/25 (a) 500,000 573,075
Eastman Chemical Co.
3.80%, 03/15/25 (a) 200,000 219,374
Ecolab, Inc.
2.38%, 08/10/22 (a) 100,000 102,795
3.25%, 01/14/23 (a) 100,000 104,893
EI du Pont de Nemours & Co.
1.70%, 07/15/25 (a) 100,000 102,611
Fibria Overseas Finance Ltd.
5.25%, 05/12/24 200,000 222,276
FMC Corp.
4.10%, 02/01/24 (a) 100,000 108,675
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Huntsman International LLC
5.13%, 11/15/22 (a) 200,000 211,966
Kinross Gold Corp.
5.95%, 03/15/24 (a) 350,000 397,393
LYB International Finance BV
4.00%, 07/15/23 450,000 486,877
LYB International Finance III LLC
1.25%, 10/01/25 (a) 250,000 250,303
LyondellBasell Industries N.V.
5.75%, 04/15/24 (a) 250,000 284,100
Newmont Corp.
3.50%, 03/15/22 (a) 150,000 153,347
3.70%, 03/15/23 (a) 27,000 28,472
Nucor Corp.
4.13%, 09/15/22 (a) 50,000 52,383
4.00%, 08/01/23 (a) 100,000 107,714
2.00%, 06/01/25 (a) 200,000 207,700
Nutrien Ltd.
3.15%, 10/01/22 (a) 200,000 207,150
1.90%, 05/13/23 200,000 206,322
3.50%, 06/01/23 (a) 250,000 264,670
3.38%, 03/15/25 (a) 300,000 325,326
3.00%, 04/01/25 (a) 100,000 107,385
Packaging Corp. of America
4.50%, 11/01/23 (a) 300,000 328,926
3.65%, 09/15/24 (a) 100,000 109,428
PPG Industries, Inc.
2.40%, 08/15/24 (a) 100,000 105,449
Praxair, Inc.
2.20%, 08/15/22 (a) 100,000 102,361
2.70%, 02/21/23 (a) 100,000 104,008
2.65%, 02/05/25 (a) 200,000 212,726
Rayonier, Inc.
3.75%, 04/01/22 (a) 200,000 205,626
Reliance Steel & Aluminum Co.
1.30%, 08/15/25 (a) 100,000 100,182
Rio Tinto Finance (USA) Ltd.
3.75%, 06/15/25 (a) 250,000 277,570
RPM International, Inc.
3.45%, 11/15/22 (a) 100,000 103,873
Southern Copper Corp.
3.88%, 04/23/25 250,000 276,488
Steel Dynamics, Inc.
2.80%, 12/15/24 (a) 150,000 160,709
2.40%, 06/15/25 (a) 100,000 105,113
The Dow Chemical Co.
3.50%, 10/01/24 (a) 200,000 217,414
The Mosaic Co.
3.75%, 11/15/21 (a) 100,000 101,512
3.25%, 11/15/22 (a) 250,000 260,790
4.25%, 11/15/23 (a) 200,000 217,488
The Sherwin-Williams Co.
3.13%, 06/01/24 (a) 100,000 107,548
WRKCo, Inc.
3.00%, 09/15/24 (a) 100,000 107,400
3.75%, 03/15/25 (a) 350,000 385,637
    10,826,077
Capital Goods 1.6%
3M Co.
2.75%, 03/01/22 (a) 200,000 204,446
1.75%, 02/14/23 (a) 100,000 102,889
2.25%, 03/15/23 (a) 150,000 155,970
 
90
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.25%, 02/14/24 (a) 350,000 378,203
2.00%, 02/14/25 (a) 100,000 104,663
2.65%, 04/15/25 (a) 350,000 374,696
ABB Finance USA, Inc.
2.88%, 05/08/22 300,000 309,000
Allegion US Holding Co., Inc.
3.20%, 10/01/24 (a) 100,000 106,722
Amphenol Corp.
3.20%, 04/01/24 (a) 100,000 107,026
Berry Global, Inc.
0.95%, 02/15/24 (a)(e) 500,000 501,340
1.57%, 01/15/26 (a)(c)(e) 250,000 249,362
Carlisle Cos., Inc.
3.50%, 12/01/24 (a) 100,000 108,971
Carrier Global Corp.
2.24%, 02/15/25 (a) 700,000 730,954
Caterpillar Financial Services Corp.
0.95%, 05/13/22 300,000 302,475
2.40%, 06/06/22 100,000 102,727
1.90%, 09/06/22 300,000 307,413
2.55%, 11/29/22 125,000 129,969
2.63%, 03/01/23 100,000 104,653
3.45%, 05/15/23 150,000 160,353
0.65%, 07/07/23 450,000 453,564
0.45%, 09/14/23 400,000 400,764
3.75%, 11/24/23 100,000 109,190
3.65%, 12/07/23 100,000 109,005
2.85%, 05/17/24 100,000 107,392
3.30%, 06/09/24 100,000 108,811
2.15%, 11/08/24 200,000 211,258
3.25%, 12/01/24 100,000 109,768
1.45%, 05/15/25 200,000 204,096
0.80%, 11/13/25 400,000 397,120
Caterpillar, Inc.
3.40%, 05/15/24 (a) 100,000 108,470
CNH Industrial Capital LLC
4.38%, 04/05/22 100,000 104,105
1.95%, 07/02/23 250,000 257,930
4.20%, 01/15/24 50,000 54,841
1.88%, 01/15/26 (a) 200,000 206,014
CNH Industrial N.V.
4.50%, 08/15/23 100,000 109,290
Deere & Co.
2.60%, 06/08/22 (a) 200,000 204,832
2.75%, 04/15/25 (a) 250,000 268,915
Dover Corp.
3.15%, 11/15/25 (a) 200,000 217,458
Eaton Corp.
2.75%, 11/02/22 450,000 468,180
Emerson Electric Co.
2.63%, 02/15/23 (a) 200,000 208,040
Flowserve Corp.
3.50%, 09/15/22 (a) 100,000 103,471
Fortune Brands Home & Security, Inc.
4.00%, 09/21/23 (a) 350,000 379,977
General Dynamics Corp.
2.25%, 11/15/22 (a) 200,000 205,756
3.38%, 05/15/23 (a) 300,000 319,731
1.88%, 08/15/23 (a) 200,000 207,290
3.25%, 04/01/25 (a) 325,000 353,931
General Electric Co.
3.15%, 09/07/22 300,000 312,687
3.10%, 01/09/23 150,000 157,662
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.45%, 05/15/24 (a) 450,000 485,842
5.55%, 01/05/26 250,000 298,015
Honeywell International, Inc.
2.15%, 08/08/22 (a) 100,000 102,570
0.48%, 08/19/22 (a) 800,000 800,992
3.35%, 12/01/23 50,000 54,140
2.30%, 08/15/24 (a) 150,000 159,243
1.35%, 06/01/25 (a) 300,000 306,447
Illinois Tool Works, Inc.
3.50%, 03/01/24 (a) 150,000 162,858
John Deere Capital Corp.
2.75%, 03/15/22 100,000 102,618
0.55%, 07/05/22 250,000 251,020
2.15%, 09/08/22 250,000 257,202
2.70%, 01/06/23 250,000 261,215
2.80%, 03/06/23 150,000 157,644
1.20%, 04/06/23 100,000 101,919
3.45%, 06/07/23 350,000 374,755
0.40%, 10/10/23 250,000 250,965
3.65%, 10/12/23 100,000 108,843
2.60%, 03/07/24 150,000 159,897
2.65%, 06/24/24 100,000 106,866
2.05%, 01/09/25 100,000 104,751
3.45%, 03/13/25 400,000 441,000
0.70%, 01/15/26 150,000 147,881
Johnson Controls International PLC
3.63%, 07/02/24 (a) 100,000 108,538
L3Harris Technologies, Inc.
3.85%, 06/15/23 (a) 100,000 107,483
3.83%, 04/27/25 (a) 400,000 443,324
Lennox International, Inc.
1.35%, 08/01/25 (a) 250,000 251,377
Lockheed Martin Corp.
3.10%, 01/15/23 (a) 200,000 209,380
2.90%, 03/01/25 (a) 100,000 107,415
3.55%, 01/15/26 (a) 500,000 557,325
Martin Marietta Materials, Inc.
4.25%, 07/02/24 (a) 150,000 165,782
Masco Corp.
5.95%, 03/15/22 100,000 105,225
4.45%, 04/01/25 (a) 150,000 169,410
Mohawk Industries, Inc.
3.85%, 02/01/23 (a) 200,000 210,990
Northrop Grumman Corp.
2.55%, 10/15/22 (a) 400,000 413,568
3.25%, 08/01/23 150,000 160,320
2.93%, 01/15/25 (a) 500,000 534,995
Otis Worldwide Corp.
2.06%, 04/05/25 (a) 450,000 469,341
Parker-Hannifin Corp.
3.50%, 09/15/22 50,000 52,379
2.70%, 06/14/24 (a) 250,000 266,725
3.30%, 11/21/24 (a) 50,000 54,513
Precision Castparts Corp.
2.50%, 01/15/23 (a) 100,000 103,555
3.25%, 06/15/25 (a) 250,000 273,165
Raytheon Technologies Corp.
2.80%, 03/15/22 (a) 350,000 358,442
2.50%, 12/15/22 (a)(e) 200,000 206,554
3.70%, 12/15/23 (a) 150,000 162,417
3.20%, 03/15/24 (a) 100,000 107,447
3.95%, 08/16/25 (a) 350,000 392,868
 
91
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Republic Services, Inc.
4.75%, 05/15/23 (a) 109,000 118,133
2.50%, 08/15/24 (a) 400,000 424,248
3.20%, 03/15/25 (a) 100,000 108,034
0.88%, 11/15/25 (a) 250,000 247,143
Rockwell Automation, Inc.
2.88%, 03/01/25 (a) 100,000 107,025
Roper Technologies, Inc.
0.45%, 08/15/22 250,000 250,645
3.65%, 09/15/23 (a) 300,000 323,679
2.35%, 09/15/24 (a) 100,000 105,551
1.00%, 09/15/25 (a) 250,000 248,683
Stanley Black & Decker, Inc.
4.00%, 03/15/60 (a)(b) 325,000 342,859
Textron, Inc.
4.30%, 03/01/24 (a) 350,000 382,676
The Boeing Co.
2.13%, 03/01/22 (a) 50,000 50,654
1.17%, 02/04/23 (a) 250,000 250,975
2.80%, 03/01/23 (a) 50,000 51,852
4.51%, 05/01/23 (a) 630,000 676,034
1.88%, 06/15/23 (a) 100,000 102,070
1.95%, 02/01/24 400,000 410,500
1.43%, 02/04/24 (a) 750,000 751,455
2.80%, 03/01/24 (a) 600,000 629,040
4.88%, 05/01/25 (a) 900,000 1,007,091
2.75%, 02/01/26 (a) 350,000 362,593
2.20%, 02/04/26 (a) 1,250,000 1,252,500
The Timken Co.
3.88%, 09/01/24 (a) 150,000 160,749
Trane Technologies Global Holding Co., Ltd.
4.25%, 06/15/23 200,000 216,818
Trane Technologies Luxembourg Finance S.A.
3.55%, 11/01/24 (a) 100,000 109,401
Vulcan Materials Co.
4.50%, 04/01/25 (a) 100,000 112,672
Waste Management, Inc.
2.90%, 09/15/22 (a) 150,000 154,974
2.40%, 05/15/23 (a) 100,000 104,009
3.50%, 05/15/24 (a) 50,000 54,213
3.13%, 03/01/25 (a) 100,000 108,147
0.75%, 11/15/25 (a) 200,000 197,372
Westinghouse Air Brake Technologies Corp.
4.40%, 03/15/24 (a)(f)(g) 200,000 218,586
3.20%, 06/15/25 (a) 100,000 106,452
WW Grainger, Inc.
1.85%, 02/15/25 (a) 100,000 103,888
    32,041,322
Communications 1.4%
America Movil, S.A.B. de CV
3.13%, 07/16/22 450,000 466,173
American Tower Corp.
3.50%, 01/31/23 300,000 317,190
3.00%, 06/15/23 400,000 422,648
0.60%, 01/15/24 250,000 250,025
5.00%, 02/15/24 100,000 112,251
3.38%, 05/15/24 (a) 100,000 107,893
2.95%, 01/15/25 (a) 100,000 106,823
2.40%, 03/15/25 (a) 600,000 629,202
AT&T, Inc.
3.00%, 06/30/22 (a) 300,000 309,351
2.63%, 12/01/22 (a) 250,000 258,380
4.05%, 12/15/23 100,000 109,996
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.90%, 03/11/24 (a) 100,000 109,031
4.45%, 04/01/24 (a) 100,000 110,657
3.95%, 01/15/25 (a) 150,000 166,004
3.40%, 05/15/25 (a) 1,250,000 1,365,362
3.60%, 07/15/25 (a) 300,000 330,951
British Telecommunications PLC
4.50%, 12/04/23 (a) 200,000 220,854
CC Holdings GS V LLC/Crown Castle GS III Corp.
3.85%, 04/15/23 150,000 160,283
Charter Communications Operating LLC/Charter Communications Operating Capital
4.46%, 07/23/22 (a) 750,000 784,965
4.50%, 02/01/24 (a) 250,000 275,355
4.91%, 07/23/25 (a) 1,250,000 1,425,687
Comcast Cable Communications Holdings, Inc.
9.46%, 11/15/22 250,000 289,107
Comcast Corp.
3.00%, 02/01/24 (a) 350,000 374,941
3.60%, 03/01/24 400,000 437,140
3.70%, 04/15/24 (a) 650,000 713,089
3.38%, 02/15/25 (a) 150,000 163,518
3.10%, 04/01/25 (a) 300,000 325,134
3.38%, 08/15/25 (a) 500,000 549,115
3.95%, 10/15/25 (a) 750,000 845,115
Crown Castle International Corp.
5.25%, 01/15/23 500,000 542,080
3.15%, 07/15/23 (a) 300,000 317,610
3.20%, 09/01/24 (a) 100,000 108,092
1.35%, 07/15/25 (a) 200,000 201,404
4.45%, 02/15/26 (a) 250,000 284,250
Discovery Communications LLC
2.95%, 03/20/23 (a) 229,000 240,182
3.80%, 03/13/24 (a) 200,000 217,138
3.90%, 11/15/24 (a) 100,000 110,323
3.45%, 03/15/25 (a) 50,000 54,066
Fox Corp.
4.03%, 01/25/24 (a) 300,000 328,176
3.05%, 04/07/25 (a) 350,000 376,694
Grupo Televisa S.A.B.
6.63%, 03/18/25 100,000 120,132
4.63%, 01/30/26 (a) 200,000 225,250
Moody's Corp.
2.63%, 01/15/23 (a) 150,000 155,867
4.88%, 02/15/24 (a) 250,000 278,188
3.75%, 03/24/25 (a) 50,000 55,287
Omnicom Group, Inc./Omnicom Capital, Inc.
3.63%, 05/01/22 400,000 414,772
3.65%, 11/01/24 (a) 200,000 218,978
RELX Capital, Inc.
3.50%, 03/16/23 (a) 200,000 211,738
Rogers Communications, Inc.
3.00%, 03/15/23 (a) 225,000 235,395
4.10%, 10/01/23 (a) 250,000 271,173
S&P Global, Inc.
4.00%, 06/15/25 (a) 200,000 223,914
T-Mobile USA, Inc.
3.50%, 04/15/25 (a)(e) 800,000 869,008
1.50%, 02/15/26 (a) 250,000 250,160
Telefonica Emisiones S.A.
4.57%, 04/27/23 150,000 162,962
The Interpublic Group of Cos., Inc.
4.20%, 04/15/24 100,000 110,654
 
92
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
The Walt Disney Co.
1.65%, 09/01/22 150,000 153,174
3.00%, 09/15/22 200,000 208,206
1.75%, 08/30/24 (a) 550,000 571,241
3.70%, 09/15/24 (a) 100,000 110,009
3.35%, 03/24/25 575,000 628,992
3.15%, 09/17/25 200,000 218,510
1.75%, 01/13/26 500,000 515,175
Thomson Reuters Corp.
4.30%, 11/23/23 (a) 200,000 218,296
Time Warner Entertainment Co. LP
8.38%, 03/15/23 150,000 173,808
TWDC Enterprises 18 Corp.
2.45%, 03/04/22 100,000 102,220
2.35%, 12/01/22 200,000 207,028
Verizon Communications, Inc.
2.95%, 03/15/22 150,000 154,206
2.45%, 11/01/22 (a) 100,000 103,029
5.15%, 09/15/23 850,000 948,897
4.15%, 03/15/24 (a) 100,000 109,675
3.50%, 11/01/24 (a) 350,000 382,574
3.38%, 02/15/25 800,000 874,152
0.85%, 11/20/25 (a) 500,000 493,285
ViacomCBS, Inc.
4.25%, 09/01/23 (a) 400,000 432,596
3.88%, 04/01/24 (a) 100,000 108,769
3.70%, 08/15/24 (a) 200,000 218,342
4.75%, 05/15/25 (a) 600,000 686,196
Vodafone Group PLC
2.50%, 09/26/22 200,000 206,538
2.95%, 02/19/23 250,000 262,165
3.75%, 01/16/24 800,000 872,216
4.13%, 05/30/25 250,000 281,283
Weibo Corp.
3.50%, 07/05/24 (a) 200,000 211,502
WPP Finance 2010
3.63%, 09/07/22 100,000 104,658
3.75%, 09/19/24 100,000 110,082
    27,986,557
Consumer Cyclical 2.1%
Alibaba Group Holding Ltd.
2.80%, 06/06/23 (a) 200,000 209,690
3.60%, 11/28/24 (a) 600,000 657,192
Amazon.com, Inc.
2.50%, 11/29/22 (a) 100,000 103,382
2.40%, 02/22/23 (a) 250,000 260,150
0.40%, 06/03/23 500,000 501,655
2.80%, 08/22/24 (a) 550,000 591,910
3.80%, 12/05/24 (a) 200,000 222,572
0.80%, 06/03/25 (a) 200,000 199,952
5.20%, 12/03/25 (a) 500,000 594,690
American Honda Finance Corp.
1.95%, 05/20/22 250,000 255,043
2.60%, 11/16/22 350,000 363,555
2.05%, 01/10/23 250,000 257,903
1.95%, 05/10/23 150,000 155,117
0.88%, 07/07/23 250,000 252,888
0.65%, 09/08/23 250,000 251,505
3.63%, 10/10/23 100,000 108,289
3.55%, 01/12/24 150,000 162,717
2.90%, 02/16/24 250,000 267,242
2.40%, 06/27/24 200,000 211,634
0.55%, 07/12/24 100,000 99,845
2.15%, 09/10/24 100,000 105,148
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.20%, 07/08/25 250,000 252,100
1.00%, 09/10/25 250,000 249,205
Aptiv Corp.
4.15%, 03/15/24 (a) 100,000 109,649
AutoNation, Inc.
3.50%, 11/15/24 (a) 100,000 108,266
AutoZone, Inc.
3.13%, 07/15/23 (a) 250,000 264,195
3.63%, 04/15/25 (a) 300,000 329,940
Block Financial LLC
5.50%, 11/01/22 (a) 300,000 316,734
5.25%, 10/01/25 (a) 100,000 113,101
Booking Holdings, Inc.
2.75%, 03/15/23 (a) 100,000 104,445
4.10%, 04/13/25 (a) 400,000 445,968
BorgWarner, Inc.
3.38%, 03/15/25 (a) 50,000 54,492
Costco Wholesale Corp.
2.30%, 05/18/22 (a) 100,000 102,357
2.75%, 05/18/24 (a) 350,000 374,524
Cummins, Inc.
0.75%, 09/01/25 (a) 300,000 298,278
D.R. Horton, Inc.
4.38%, 09/15/22 (a) 100,000 104,943
4.75%, 02/15/23 (a) 50,000 53,557
2.50%, 10/15/24 (a) 300,000 317,874
2.60%, 10/15/25 (a) 50,000 53,032
Dollar General Corp.
3.25%, 04/15/23 (a) 350,000 368,431
Dollar Tree, Inc.
3.70%, 05/15/23 (a) 200,000 213,148
4.00%, 05/15/25 (a) 200,000 222,606
eBay, Inc.
3.80%, 03/09/22 (a) 400,000 413,088
2.75%, 01/30/23 (a) 150,000 156,497
3.45%, 08/01/24 (a) 150,000 162,761
1.90%, 03/11/25 (a) 250,000 258,255
Expedia Group, Inc.
3.60%, 12/15/23 (a) 250,000 266,707
4.50%, 08/15/24 (a) 50,000 55,020
5.00%, 02/15/26 (a) 200,000 226,370
General Motors Co.
4.88%, 10/02/23 200,000 220,336
5.40%, 10/02/23 450,000 502,177
6.13%, 10/01/25 (a) 500,000 595,700
General Motors Financial Co., Inc.
4.38%, 09/25/21 100,000 102,233
3.45%, 04/10/22 (a) 150,000 154,133
3.15%, 06/30/22 (a) 200,000 206,364
3.55%, 07/08/22 600,000 623,238
3.25%, 01/05/23 (a) 250,000 261,373
5.20%, 03/20/23 200,000 218,150
3.70%, 05/09/23 (a) 350,000 370,688
4.25%, 05/15/23 200,000 214,932
4.15%, 06/19/23 (a) 100,000 107,410
1.70%, 08/18/23 350,000 358,120
5.10%, 01/17/24 (a) 400,000 445,340
3.95%, 04/13/24 (a) 250,000 271,690
3.50%, 11/07/24 (a) 350,000 379,214
4.00%, 01/15/25 (a) 200,000 218,264
2.90%, 02/26/25 (a) 400,000 423,384
4.35%, 04/09/25 (a) 250,000 277,575
2.75%, 06/20/25 (a) 250,000 263,325
 
93
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
4.30%, 07/13/25 (a) 400,000 442,844
1.25%, 01/08/26 (a) 350,000 346,202
GLP Capital LP/GLP Financing II, Inc.
5.38%, 11/01/23 (a) 100,000 109,748
3.35%, 09/01/24 (a) 100,000 106,318
5.25%, 06/01/25 (a) 150,000 170,055
Hyatt Hotels Corp.
3.38%, 07/15/23 (a) 100,000 104,855
5.38%, 04/23/25 (a) 100,000 112,743
IHS Markit Ltd.
4.13%, 08/01/23 (a) 250,000 270,062
3.63%, 05/01/24 (a) 100,000 108,266
Kohl's Corp.
3.25%, 02/01/23 (a) 50,000 51,852
9.50%, 05/15/25 (a) 250,000 322,355
Las Vegas Sands Corp.
3.20%, 08/08/24 (a) 400,000 420,336
2.90%, 06/25/25 (a) 200,000 207,518
Lennar Corp.
4.13%, 01/15/22 (a) 250,000 255,188
4.88%, 12/15/23 (a) 350,000 384,422
4.75%, 05/30/25 (a) 200,000 225,620
Lowe's Cos., Inc.
3.12%, 04/15/22 (a) 150,000 153,704
3.88%, 09/15/23 (a) 300,000 323,919
3.13%, 09/15/24 (a) 200,000 216,512
4.00%, 04/15/25 (a) 175,000 195,351
Magna International, Inc.
3.63%, 06/15/24 (a) 100,000 108,800
4.15%, 10/01/25 (a) 250,000 281,937
Marriott International, Inc.
2.30%, 01/15/22 (a) 200,000 202,206
4.15%, 12/01/23 (a) 200,000 216,020
3.60%, 04/15/24 (a) 250,000 267,470
5.75%, 05/01/25 (a) 350,000 404,467
McDonald's Corp.
3.35%, 04/01/23 (a) 300,000 317,667
3.25%, 06/10/24 100,000 108,443
3.38%, 05/26/25 (a) 150,000 164,000
3.30%, 07/01/25 (a) 200,000 218,720
1.45%, 09/01/25 (a) 250,000 254,845
3.70%, 01/30/26 (a) 500,000 559,140
NIKE, Inc.
2.25%, 05/01/23 (a) 100,000 103,833
2.40%, 03/27/25 (a) 150,000 159,243
NVR, Inc.
3.95%, 09/15/22 (a) 100,000 104,499
O'Reilly Automotive, Inc.
4.63%, 09/15/21 (a) 200,000 202,342
PACCAR Financial Corp.
2.65%, 05/10/22 100,000 102,846
2.30%, 08/10/22 100,000 102,941
1.90%, 02/07/23 150,000 154,670
2.65%, 04/06/23 100,000 105,079
0.35%, 08/11/23 200,000 200,100
0.35%, 02/02/24 100,000 99,886
2.15%, 08/15/24 100,000 105,353
1.80%, 02/06/25 200,000 206,538
PVH Corp.
4.63%, 07/10/25 (a)(e) 250,000 276,107
Ralph Lauren Corp.
1.70%, 06/15/22 200,000 203,416
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Ross Stores, Inc.
4.60%, 04/15/25 (a) 200,000 227,354
0.88%, 04/15/26 (a) 250,000 245,753
Sands China Ltd.
4.60%, 08/08/23 (a) 200,000 214,398
5.13%, 08/08/25 (a) 500,000 563,135
3.80%, 01/08/26 (a) 400,000 426,700
Starbucks Corp.
1.30%, 05/07/22 350,000 354,025
2.70%, 06/15/22 (a) 100,000 102,638
3.10%, 03/01/23 (a) 100,000 105,195
3.85%, 10/01/23 (a) 100,000 107,927
3.80%, 08/15/25 (a) 300,000 335,265
Stellantis N.V.
5.25%, 04/15/23 500,000 543,765
Tapestry, Inc.
4.25%, 04/01/25 (a) 200,000 217,584
Target Corp.
2.90%, 01/15/22 100,000 102,373
3.50%, 07/01/24 200,000 219,804
2.25%, 04/15/25 (a) 300,000 316,275
The Home Depot, Inc.
3.25%, 03/01/22 100,000 103,048
2.63%, 06/01/22 (a) 400,000 410,976
2.70%, 04/01/23 (a) 225,000 234,965
3.75%, 02/15/24 (a) 100,000 108,929
3.35%, 09/15/25 (a) 400,000 441,636
The TJX Cos., Inc.
2.50%, 05/15/23 (a) 100,000 104,197
3.50%, 04/15/25 (a) 400,000 438,992
Toyota Motor Corp.
2.36%, 07/02/24 100,000 105,860
Toyota Motor Credit Corp.
1.15%, 05/26/22 500,000 505,430
0.45%, 07/22/22 250,000 250,683
2.15%, 09/08/22 150,000 154,310
0.35%, 10/14/22 300,000 300,471
2.63%, 01/10/23 300,000 312,927
2.70%, 01/11/23 500,000 522,475
2.90%, 03/30/23 300,000 315,975
0.50%, 08/14/23 450,000 451,692
1.35%, 08/25/23 200,000 204,744
3.45%, 09/20/23 350,000 377,044
2.25%, 10/18/23 100,000 105,000
0.45%, 01/11/24 100,000 100,083
2.90%, 04/17/24 100,000 107,178
2.00%, 10/07/24 200,000 210,062
1.80%, 02/13/25 300,000 310,548
3.00%, 04/01/25 350,000 378,252
3.40%, 04/14/25 150,000 164,918
0.80%, 10/16/25 350,000 346,860
0.80%, 01/09/26 100,000 99,065
VF Corp.
2.05%, 04/23/22 350,000 356,828
2.40%, 04/23/25 (a) 150,000 157,835
Walgreen Co.
3.10%, 09/15/22 350,000 364,297
Walgreens Boots Alliance, Inc.
3.80%, 11/18/24 (a) 550,000 605,995
Walmart, Inc.
2.35%, 12/15/22 (a) 250,000 259,003
2.55%, 04/11/23 (a) 300,000 312,891
3.40%, 06/26/23 (a) 500,000 534,705
3.30%, 04/22/24 (a) 350,000 378,591
2.85%, 07/08/24 (a) 450,000 484,609
 
94
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.65%, 12/15/24 (a) 400,000 430,192
3.55%, 06/26/25 (a) 300,000 333,630
    43,266,793
Consumer Non-Cyclical 3.4%
Abbott Laboratories
2.55%, 03/15/22 150,000 153,549
3.40%, 11/30/23 (a) 450,000 484,645
2.95%, 03/15/25 (a) 95,000 102,425
AbbVie, Inc.
3.45%, 03/15/22 (a) 750,000 769,807
3.25%, 10/01/22 (a) 400,000 414,992
2.90%, 11/06/22 850,000 885,173
3.20%, 11/06/22 (a) 180,000 187,520
2.30%, 11/21/22 700,000 722,799
2.85%, 05/14/23 (a) 150,000 157,151
3.75%, 11/14/23 (a) 400,000 433,148
3.85%, 06/15/24 (a) 350,000 383,040
2.60%, 11/21/24 (a) 600,000 637,674
3.80%, 03/15/25 (a) 550,000 605,550
3.60%, 05/14/25 (a) 1,000,000 1,097,890
Altria Group, Inc.
2.85%, 08/09/22 450,000 465,165
4.00%, 01/31/24 450,000 492,219
3.80%, 02/14/24 (a) 250,000 271,817
2.35%, 05/06/25 (a) 200,000 209,398
AmerisourceBergen Corp.
3.40%, 05/15/24 (a) 100,000 108,005
3.25%, 03/01/25 (a) 97,000 105,173
Amgen, Inc.
2.65%, 05/11/22 (a) 500,000 512,805
3.63%, 05/15/22 (a) 100,000 103,117
2.25%, 08/19/23 (a) 250,000 260,535
3.63%, 05/22/24 (a) 150,000 163,470
1.90%, 02/21/25 (a) 300,000 310,803
3.13%, 05/01/25 (a) 200,000 216,222
Anheuser-Busch Cos., LLC/Anheuser-Busch InBev Worldwide, Inc.
3.65%, 02/01/26 (a) 700,000 777,210
Anheuser-Busch InBev Finance, Inc.
3.65%, 02/01/26 (a) 500,000 554,320
Anheuser-Busch InBev Worldwide, Inc.
4.15%, 01/23/25 (a) 700,000 782,173
Archer-Daniels-Midland Co.
2.75%, 03/27/25 (a) 100,000 107,302
AstraZeneca PLC
2.38%, 06/12/22 (a) 400,000 409,664
3.50%, 08/17/23 (a) 100,000 107,186
3.38%, 11/16/25 500,000 550,610
BAT Capital Corp.
2.76%, 08/15/22 (a) 450,000 463,923
3.22%, 08/15/24 (a) 550,000 591,107
2.79%, 09/06/24 (a) 150,000 159,662
Baxalta, Inc.
4.00%, 06/23/25 (a) 200,000 222,700
Beam Suntory, Inc.
3.25%, 05/15/22 (a) 100,000 102,664
Becton Dickinson & Co.
2.89%, 06/06/22 (a) 384,000 395,136
3.36%, 06/06/24 (a) 500,000 539,405
3.73%, 12/15/24 (a) 200,000 220,084
Biogen, Inc.
3.63%, 09/15/22 150,000 157,445
4.05%, 09/15/25 (a) 500,000 563,620
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Boston Scientific Corp.
3.45%, 03/01/24 (a) 200,000 215,428
1.90%, 06/01/25 (a) 200,000 207,620
Bristol-Myers Squibb Co.
2.60%, 05/16/22 450,000 462,721
2.00%, 08/01/22 150,000 153,647
3.25%, 08/15/22 350,000 365,018
3.55%, 08/15/22 150,000 157,014
2.75%, 02/15/23 (a) 350,000 366,082
3.25%, 02/20/23 (a) 350,000 369,383
0.54%, 11/13/23 (a) 400,000 400,548
2.90%, 07/26/24 (a) 800,000 862,992
3.88%, 08/15/25 (a) 550,000 618,002
0.75%, 11/13/25 (a) 200,000 199,648
Bunge Ltd. Finance Corp.
3.00%, 09/25/22 (a) 100,000 103,542
4.35%, 03/15/24 (a) 100,000 110,263
1.63%, 08/17/25 (a) 250,000 253,175
Campbell Soup Co.
3.65%, 03/15/23 (a) 150,000 159,381
3.95%, 03/15/25 (a) 150,000 166,349
3.30%, 03/19/25 (a) 100,000 108,129
Cardinal Health, Inc.
2.62%, 06/15/22 (a) 200,000 205,228
3.20%, 03/15/23 200,000 210,730
3.08%, 06/15/24 (a) 150,000 160,299
3.75%, 09/15/25 (a) 150,000 166,190
Church & Dwight Co., Inc.
2.45%, 08/01/22 (a) 150,000 154,167
Cigna Corp.
3.05%, 11/30/22 (a) 100,000 104,343
3.00%, 07/15/23 (a) 400,000 422,560
3.75%, 07/15/23 (a) 550,000 591,948
3.50%, 06/15/24 (a) 97,000 105,272
3.25%, 04/15/25 (a) 100,000 108,397
4.13%, 11/15/25 (a) 500,000 563,215
4.50%, 02/25/26 (a) 300,000 345,132
Colgate-Palmolive Co.
2.25%, 11/15/22 100,000 103,451
2.10%, 05/01/23 100,000 103,995
3.25%, 03/15/24 300,000 326,265
CommonSpirit Health
2.95%, 11/01/22 100,000 104,093
2.76%, 10/01/24 (a) 150,000 159,839
1.55%, 10/01/25 (a) 300,000 304,119
Conagra Brands, Inc.
3.20%, 01/25/23 (a) 78,000 81,589
4.30%, 05/01/24 (a) 200,000 221,576
4.60%, 11/01/25 (a) 300,000 344,424
Constellation Brands, Inc.
2.70%, 05/09/22 (a) 150,000 153,890
2.65%, 11/07/22 (a) 100,000 103,505
3.20%, 02/15/23 (a) 150,000 157,403
4.25%, 05/01/23 350,000 377,496
4.75%, 11/15/24 150,000 171,456
4.40%, 11/15/25 (a) 150,000 171,570
CVS Health Corp.
3.50%, 07/20/22 (a) 400,000 415,232
2.75%, 12/01/22 (a) 450,000 466,146
3.70%, 03/09/23 (a) 600,000 638,418
3.38%, 08/12/24 (a) 100,000 108,360
2.63%, 08/15/24 (a) 100,000 106,328
4.10%, 03/25/25 (a) 600,000 670,506
3.88%, 07/20/25 (a) 700,000 779,366
 
95
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
DH Europe Finance II Sarl
2.05%, 11/15/22 200,000 205,820
2.20%, 11/15/24 (a) 300,000 316,305
Diageo Capital PLC
2.63%, 04/29/23 (a) 350,000 365,270
3.50%, 09/18/23 (a) 200,000 215,088
2.13%, 10/24/24 (a) 200,000 210,220
1.38%, 09/29/25 (a) 200,000 203,498
Diageo Investment Corp.
2.88%, 05/11/22 100,000 103,074
8.00%, 09/15/22 50,000 55,821
Eli Lilly & Co.
2.35%, 05/15/22 100,000 102,559
General Mills, Inc.
2.60%, 10/12/22 (a) 200,000 206,820
3.70%, 10/17/23 (a) 250,000 270,620
3.65%, 02/15/24 (a) 150,000 163,520
4.00%, 04/17/25 (a) 100,000 111,470
Gilead Sciences, Inc.
1.95%, 03/01/22 (a) 250,000 254,190
3.25%, 09/01/22 (a) 200,000 207,666
2.50%, 09/01/23 (a) 200,000 209,630
0.75%, 09/29/23 (a) 500,000 500,975
3.70%, 04/01/24 (a) 250,000 271,282
3.50%, 02/01/25 (a) 500,000 545,180
GlaxoSmithKline Capital PLC
2.85%, 05/08/22 400,000 412,280
2.88%, 06/01/22 (a) 450,000 463,743
0.53%, 10/01/23 (a) 500,000 501,585
3.00%, 06/01/24 (a) 200,000 214,804
GlaxoSmithKline Capital, Inc.
2.80%, 03/18/23 200,000 209,976
3.38%, 05/15/23 400,000 426,584
3.63%, 05/15/25 250,000 277,485
Hasbro, Inc.
2.60%, 11/19/22 300,000 310,497
3.00%, 11/19/24 (a) 100,000 107,367
HCA, Inc.
4.75%, 05/01/23 400,000 433,884
5.00%, 03/15/24 450,000 504,342
5.25%, 04/15/25 300,000 346,185
Johnson & Johnson
2.25%, 03/03/22 (a) 200,000 203,798
2.05%, 03/01/23 (a) 300,000 310,272
2.63%, 01/15/25 (a) 100,000 106,825
0.55%, 09/01/25 (a) 500,000 494,885
Kellogg Co.
2.65%, 12/01/23 150,000 158,859
Keurig Dr Pepper, Inc.
4.06%, 05/25/23 (a) 500,000 538,395
3.13%, 12/15/23 (a) 100,000 106,904
4.42%, 05/25/25 (a) 450,000 509,818
Kimberly-Clark Corp.
3.05%, 08/15/25 150,000 164,009
Laboratory Corp. of America Holdings
3.75%, 08/23/22 (a) 200,000 208,132
4.00%, 11/01/23 (a) 55,000 59,580
3.25%, 09/01/24 (a) 250,000 270,642
2.30%, 12/01/24 (a) 100,000 105,715
3.60%, 02/01/25 (a) 150,000 163,898
McCormick & Co., Inc.
2.70%, 08/15/22 (a) 100,000 103,167
3.15%, 08/15/24 (a) 350,000 377,800
0.90%, 02/15/26 (a) 200,000 196,870
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
McKesson Corp.
2.70%, 12/15/22 (a) 200,000 207,044
2.85%, 03/15/23 (a) 150,000 156,392
3.80%, 03/15/24 (a) 150,000 163,301
0.90%, 12/03/25 (a) 200,000 197,060
Mead Johnson Nutrition Co.
4.13%, 11/15/25 (a) 200,000 226,038
Medtronic, Inc.
3.50%, 03/15/25 420,000 462,815
Merck & Co., Inc.
2.40%, 09/15/22 (a) 250,000 256,955
2.80%, 05/18/23 500,000 527,755
2.90%, 03/07/24 (a) 100,000 107,137
2.75%, 02/10/25 (a) 600,000 642,822
0.75%, 02/24/26 (a) 250,000 247,548
Mondelez International, Inc.
0.63%, 07/01/22 300,000 301,251
2.13%, 04/13/23 (a) 400,000 413,912
1.50%, 05/04/25 (a) 100,000 102,133
Mylan, Inc.
4.20%, 11/29/23 (a) 150,000 163,064
Novartis Capital Corp.
2.40%, 09/21/22 350,000 361,665
3.40%, 05/06/24 600,000 654,672
1.75%, 02/14/25 (a) 300,000 310,692
3.00%, 11/20/25 (a) 650,000 708,201
PeaceHealth Obligated Group
1.38%, 11/15/25 (a) 250,000 252,817
PepsiCo, Inc.
2.75%, 03/05/22 400,000 410,264
3.10%, 07/17/22 (a) 200,000 206,928
2.75%, 03/01/23 150,000 157,568
0.75%, 05/01/23 250,000 252,730
0.40%, 10/07/23 500,000 502,115
3.60%, 03/01/24 (a) 350,000 381,706
2.25%, 03/19/25 (a) 400,000 422,360
2.75%, 04/30/25 (a) 150,000 161,193
3.50%, 07/17/25 (a) 200,000 221,264
2.85%, 02/24/26 (a) 200,000 217,106
Perrigo Finance Unlimited Co.
3.90%, 12/15/24 (a) 200,000 219,076
Pfizer, Inc.
3.00%, 06/15/23 250,000 265,220
3.20%, 09/15/23 (a) 300,000 320,967
2.95%, 03/15/24 (a) 150,000 160,946
3.40%, 05/15/24 150,000 163,850
0.80%, 05/28/25 (a) 250,000 250,218
Philip Morris International, Inc.
2.38%, 08/17/22 (a) 150,000 154,286
2.50%, 08/22/22 300,000 309,759
2.50%, 11/02/22 (a) 150,000 155,243
2.63%, 03/06/23 250,000 261,540
1.13%, 05/01/23 250,000 254,255
2.13%, 05/10/23 (a) 300,000 310,749
2.88%, 05/01/24 (a) 200,000 213,786
3.25%, 11/10/24 200,000 218,250
1.50%, 05/01/25 (a) 250,000 255,397
3.38%, 08/11/25 (a) 200,000 219,218
Quest Diagnostics, Inc.
3.50%, 03/30/25 (a) 150,000 164,355
Reynolds American, Inc.
4.85%, 09/15/23 100,000 110,693
4.45%, 06/12/25 (a) 700,000 782,075
 
96
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Royalty Pharma PLC
0.75%, 09/02/23 (e) 350,000 351,232
1.20%, 09/02/25 (a)(e) 350,000 348,607
Sanofi
3.38%, 06/19/23 (a) 150,000 160,214
Shire Acquisitions Investments Ireland DAC
2.88%, 09/23/23 (a) 650,000 686,302
Stryker Corp.
0.60%, 12/01/23 (a) 200,000 200,488
3.38%, 05/15/24 (a) 100,000 108,017
1.15%, 06/15/25 (a) 250,000 251,177
3.38%, 11/01/25 (a) 200,000 219,430
Sutter Health
1.32%, 08/15/25 (a) 250,000 252,415
Sysco Corp.
2.60%, 06/12/22 100,000 102,786
3.55%, 03/15/25 (a) 100,000 109,334
5.65%, 04/01/25 (a) 350,000 411,204
3.75%, 10/01/25 (a) 200,000 221,208
Takeda Pharmaceutical Co., Ltd.
4.40%, 11/26/23 (a) 400,000 440,848
The Clorox Co.
3.05%, 09/15/22 (a) 200,000 206,976
3.50%, 12/15/24 (a) 200,000 220,500
The Coca-Cola Co.
2.50%, 04/01/23 100,000 104,708
3.20%, 11/01/23 500,000 538,890
1.75%, 09/06/24 150,000 156,570
2.95%, 03/25/25 350,000 379,144
2.88%, 10/27/25 450,000 490,536
The Estee Lauder Cos., Inc.
2.00%, 12/01/24 (a) 150,000 157,758
The Hershey Co.
3.38%, 05/15/23 (a) 150,000 159,752
0.90%, 06/01/25 (a) 100,000 100,182
The JM Smucker Co.
3.00%, 03/15/22 150,000 154,103
3.50%, 03/15/25 100,000 109,495
The Kroger Co.
2.80%, 08/01/22 (a) 250,000 258,027
4.00%, 02/01/24 (a) 200,000 218,480
3.50%, 02/01/26 (a) 200,000 220,908
The Procter & Gamble Co.
2.15%, 08/11/22 450,000 462,663
0.55%, 10/29/25 350,000 346,661
Thermo Fisher Scientific, Inc.
4.13%, 03/25/25 (a) 200,000 224,014
Tyson Foods, Inc.
4.50%, 06/15/22 (a) 100,000 104,196
3.90%, 09/28/23 (a) 100,000 108,604
3.95%, 08/15/24 (a) 300,000 330,882
Unilever Capital Corp.
3.00%, 03/07/22 350,000 359,877
0.38%, 09/14/23 250,000 251,177
3.25%, 03/07/24 (a) 150,000 162,272
2.60%, 05/05/24 (a) 100,000 106,362
3.10%, 07/30/25 200,000 218,412
Upjohn, Inc.
1.13%, 06/22/22 (e) 300,000 302,493
1.65%, 06/22/25 (a)(e) 250,000 254,107
Whirlpool Corp.
4.00%, 03/01/24 100,000 109,775
Wyeth LLC
6.45%, 02/01/24 100,000 117,083
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Zimmer Biomet Holdings, Inc.
3.15%, 04/01/22 (a) 100,000 102,492
3.70%, 03/19/23 (a) 100,000 106,120
3.55%, 04/01/25 (a) 450,000 490,959
3.05%, 01/15/26 (a) 200,000 216,964
Zoetis, Inc.
3.25%, 02/01/23 (a) 300,000 314,019
4.50%, 11/13/25 (a) 250,000 286,682
    70,752,558
Energy 2.1%
Baker Hughes a GE Co., LLC/Baker Hughes Co-Obligor, Inc.
2.77%, 12/15/22 (a) 400,000 416,668
Boardwalk Pipelines LP
4.95%, 12/15/24 (a) 100,000 112,368
BP Capital Markets America, Inc.
3.25%, 05/06/22 350,000 361,994
2.52%, 09/19/22 (a) 100,000 103,228
2.94%, 04/06/23 400,000 421,392
2.75%, 05/10/23 450,000 472,711
3.22%, 11/28/23 (a) 100,000 107,016
3.79%, 02/06/24 (a) 200,000 217,812
3.22%, 04/14/24 (a) 100,000 107,408
3.19%, 04/06/25 (a) 350,000 378,700
3.80%, 09/21/25 (a) 500,000 556,035
3.41%, 02/11/26 (a) 100,000 110,033
BP Capital Markets PLC
3.25%, 05/06/22 100,000 103,419
3.81%, 02/10/24 250,000 273,000
3.54%, 11/04/24 100,000 110,068
3.51%, 03/17/25 300,000 329,445
Canadian Natural Resources Ltd.
2.95%, 01/15/23 (a) 250,000 260,403
3.80%, 04/15/24 (a) 100,000 107,807
3.90%, 02/01/25 (a) 200,000 217,228
2.05%, 07/15/25 (a) 250,000 256,165
Cenovus Energy, Inc.
5.38%, 07/15/25 (a) 500,000 566,895
Cheniere Corpus Christi Holdings LLC
7.00%, 06/30/24 (a) 300,000 348,192
5.88%, 03/31/25 (a) 500,000 575,810
Chevron Corp.
2.50%, 03/03/22 (a) 250,000 255,368
2.36%, 12/05/22 (a) 300,000 309,429
1.14%, 05/11/23 250,000 254,518
2.57%, 05/16/23 (a) 150,000 156,882
3.19%, 06/24/23 (a) 250,000 264,857
2.90%, 03/03/24 (a) 150,000 160,178
1.55%, 05/11/25 (a) 700,000 716,534
3.33%, 11/17/25 (a) 300,000 329,853
Chevron USA, Inc.
0.33%, 08/12/22 300,000 300,459
0.43%, 08/11/23 300,000 300,579
3.90%, 11/15/24 (a) 100,000 111,037
0.69%, 08/12/25 (a) 300,000 296,382
Cimarex Energy Co.
4.38%, 06/01/24 (a) 200,000 218,394
Columbia Pipeline Group, Inc.
4.50%, 06/01/25 (a) 300,000 339,306
ConocoPhillips Co.
3.35%, 11/15/24 (a) 100,000 108,947
Devon Energy Corp.
5.85%, 12/15/25 (a) 200,000 233,620
 
97
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Diamondback Energy, Inc.
2.88%, 12/01/24 (a) 150,000 158,814
4.75%, 05/31/25 (a) 150,000 168,720
5.38%, 05/31/25 (a) 250,000 259,175
Dominion Energy Gas Holdings LLC
2.50%, 11/15/24 (a) 200,000 212,240
3.60%, 12/15/24 (a) 100,000 109,681
Enable Midstream Partners LP
3.90%, 05/15/24 (a) 100,000 107,147
Enbridge, Inc.
2.90%, 07/15/22 (a) 250,000 257,795
4.00%, 10/01/23 (a) 200,000 215,810
3.50%, 06/10/24 (a) 100,000 108,012
Energy Transfer Operating LP
4.65%, 06/01/21 (a) 200,000 200,072
3.60%, 02/01/23 (a) 200,000 208,986
4.25%, 03/15/23 (a) 250,000 264,937
4.20%, 09/15/23 (a) 150,000 161,553
5.88%, 01/15/24 (a) 150,000 168,197
4.90%, 02/01/24 (a) 100,000 109,541
4.50%, 04/15/24 (a) 200,000 219,476
4.05%, 03/15/25 (a) 350,000 380,740
2.90%, 05/15/25 (a) 500,000 524,730
5.88%, 10/15/25 (a) 200,000 238,370
4.75%, 01/15/26 (a) 250,000 279,637
Energy Transfer Partners LP/Regency Energy Finance Corp.
5.00%, 10/01/22 (a) 100,000 105,515
4.50%, 11/01/23 (a) 100,000 108,444
Enterprise Products Operating LLC
3.35%, 03/15/23 (a) 400,000 420,620
3.90%, 02/15/24 (a) 300,000 326,262
3.75%, 02/15/25 (a) 400,000 439,632
3.70%, 02/15/26 (a) 250,000 277,590
4.88%, 08/16/77 (a)(b) 160,000 152,262
EOG Resources, Inc.
2.63%, 03/15/23 (a) 350,000 364,399
3.15%, 04/01/25 (a) 100,000 107,953
Equinor A.S.A.
1.75%, 01/22/26 (a) 250,000 257,656
Exxon Mobil Corp.
2.40%, 03/06/22 (a) 200,000 203,726
1.90%, 08/16/22 100,000 102,464
2.73%, 03/01/23 (a) 400,000 417,868
1.57%, 04/15/23 600,000 615,612
3.18%, 03/15/24 (a) 100,000 107,441
2.02%, 08/16/24 (a) 450,000 471,487
2.71%, 03/06/25 (a) 600,000 639,528
2.99%, 03/19/25 (a) 650,000 701,551
Halliburton Co.
3.50%, 08/01/23 (a) 150,000 159,360
3.80%, 11/15/25 (a) 350,000 389,868
HollyFrontier Corp.
2.63%, 10/01/23 250,000 257,450
Husky Energy, Inc.
3.95%, 04/15/22 (a) 100,000 102,632
4.00%, 04/15/24 (a) 100,000 107,235
Kinder Morgan Energy Partners LP
4.15%, 03/01/22 150,000 155,520
3.50%, 09/01/23 (a) 100,000 106,565
4.15%, 02/01/24 (a) 300,000 326,880
4.30%, 05/01/24 (a) 400,000 440,144
Kinder Morgan, Inc.
3.15%, 01/15/23 (a) 400,000 419,108
4.30%, 06/01/25 (a) 400,000 448,744
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Marathon Oil Corp.
2.80%, 11/01/22 (a) 450,000 462,645
3.85%, 06/01/25 (a) 200,000 216,484
Marathon Petroleum Corp.
4.50%, 05/01/23 (a) 200,000 215,824
4.75%, 12/15/23 (a) 100,000 110,501
3.63%, 09/15/24 (a) 100,000 108,995
4.70%, 05/01/25 (a) 400,000 454,928
MPLX LP
3.50%, 12/01/22 (a) 100,000 104,858
3.38%, 03/15/23 (a) 100,000 105,342
4.50%, 07/15/23 (a) 400,000 431,968
4.88%, 12/01/24 (a) 200,000 226,106
4.00%, 02/15/25 (a) 250,000 274,627
4.88%, 06/01/25 (a) 250,000 283,597
National Fuel Gas Co.
4.90%, 12/01/21 (a) 150,000 153,107
5.20%, 07/15/25 (a) 250,000 283,465
ONEOK Partners LP
3.38%, 10/01/22 (a) 100,000 103,596
5.00%, 09/15/23 (a) 400,000 437,416
4.90%, 03/15/25 (a) 100,000 112,144
ONEOK, Inc.
7.50%, 09/01/23 (a) 150,000 172,086
2.75%, 09/01/24 (a) 100,000 105,316
5.85%, 01/15/26 (a) 275,000 325,861
Phillips 66
4.30%, 04/01/22 250,000 260,553
3.70%, 04/06/23 100,000 106,600
0.90%, 02/15/24 (a) 250,000 250,355
3.85%, 04/09/25 (a) 250,000 275,940
1.30%, 02/15/26 (a) 100,000 99,989
Phillips 66 Partners LP
2.45%, 12/15/24 (a) 100,000 104,859
Pioneer Natural Resources Co.
0.75%, 01/15/24 (a) 250,000 250,180
1.13%, 01/15/26 (a) 150,000 148,643
Plains All American Pipeline LP/PAA Finance Corp.
3.65%, 06/01/22 (a) 100,000 102,673
2.85%, 01/31/23 (a) 100,000 103,283
3.85%, 10/15/23 (a) 100,000 106,555
3.60%, 11/01/24 (a) 300,000 321,147
4.65%, 10/15/25 (a) 250,000 277,350
Sabine Pass Liquefaction LLC
6.25%, 03/15/22 (a) 250,000 261,047
5.63%, 04/15/23 (a) 400,000 435,924
5.75%, 05/15/24 (a) 500,000 568,720
5.63%, 03/01/25 (a) 500,000 576,360
Schlumberger Finance Canada Ltd
1.40%, 09/17/25 (a) 250,000 252,463
Schlumberger Investment S.A.
3.65%, 12/01/23 (a) 250,000 269,867
Shell International Finance BV
2.38%, 08/21/22 150,000 154,632
2.25%, 01/06/23 150,000 155,420
3.40%, 08/12/23 391,000 420,184
0.38%, 09/15/23 250,000 250,208
3.50%, 11/13/23 (a) 250,000 270,522
2.00%, 11/07/24 (a) 200,000 209,256
2.38%, 04/06/25 (a) 450,000 475,290
3.25%, 05/11/25 700,000 763,483
Spectra Energy Partners LP
4.75%, 03/15/24 (a) 200,000 221,878
3.50%, 03/15/25 (a) 150,000 162,563
 
98
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Suncor Energy, Inc.
2.80%, 05/15/23 200,000 210,028
3.60%, 12/01/24 (a) 150,000 164,256
3.10%, 05/15/25 (a) 250,000 268,715
Sunoco Logistics Partners Operations LP
3.45%, 01/15/23 (a) 150,000 156,266
4.25%, 04/01/24 (a) 100,000 108,340
TC PipeLines LP
4.65%, 06/15/21 (a) 50,000 50,078
4.38%, 03/13/25 (a) 200,000 222,938
The Williams Cos., Inc.
3.60%, 03/15/22 (a) 500,000 513,665
3.35%, 08/15/22 (a) 200,000 206,816
3.70%, 01/15/23 (a) 200,000 210,206
4.50%, 11/15/23 (a) 150,000 164,156
4.30%, 03/04/24 (a) 200,000 218,900
4.55%, 06/24/24 (a) 400,000 444,472
3.90%, 01/15/25 (a) 250,000 272,962
Total Capital Canada Ltd.
2.75%, 07/15/23 450,000 475,528
Total Capital International S.A.
2.70%, 01/25/23 100,000 104,572
3.70%, 01/15/24 150,000 163,763
3.75%, 04/10/24 150,000 164,936
2.43%, 01/10/25 (a) 300,000 316,560
Total Capital S.A.
4.25%, 12/15/21 100,000 103,166
TransCanada PipeLines Ltd.
2.50%, 08/01/22 300,000 309,021
3.75%, 10/16/23 (a) 200,000 215,250
Transcontinental Gas Pipe Line Co. LLC
7.85%, 02/01/26 (a) 250,000 321,747
Valero Energy Corp.
2.70%, 04/15/23 100,000 104,303
1.20%, 03/15/24 250,000 252,173
3.65%, 03/15/25 250,000 271,045
2.85%, 04/15/25 (a) 350,000 369,558
    42,885,519
Industrial Other 0.0%
Cintas Corp. No 2
2.90%, 04/01/22 (a) 150,000 153,917
Technology 2.5%
Adobe, Inc.
1.70%, 02/01/23 350,000 359,618
1.90%, 02/01/25 (a) 100,000 104,083
3.25%, 02/01/25 (a) 100,000 108,874
Agilent Technologies, Inc.
3.88%, 07/15/23 (a) 275,000 294,643
Alphabet, Inc.
3.38%, 02/25/24 400,000 435,360
0.45%, 08/15/25 (a) 250,000 246,610
Altera Corp.
4.10%, 11/15/23 150,000 165,278
Analog Devices, Inc.
3.13%, 12/05/23 (a) 200,000 213,852
2.95%, 04/01/25 (a) 350,000 376,918
Apple Inc.
2.15%, 02/09/22 200,000 203,716
2.30%, 05/11/22 (a) 150,000 153,453
2.70%, 05/13/22 100,000 102,953
1.70%, 09/11/22 251,000 256,663
2.10%, 09/12/22 (a) 100,000 102,677
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.40%, 01/13/23 (a) 100,000 103,859
2.85%, 02/23/23 (a) 400,000 418,668
2.40%, 05/03/23 1,300,000 1,359,293
0.75%, 05/11/23 600,000 606,204
3.00%, 02/09/24 (a) 300,000 321,480
3.45%, 05/06/24 425,000 465,201
2.85%, 05/11/24 (a) 500,000 535,650
1.80%, 09/11/24 (a) 100,000 104,477
2.75%, 01/13/25 (a) 450,000 482,049
2.50%, 02/09/25 250,000 265,922
1.13%, 05/11/25 (a) 650,000 657,943
3.20%, 05/13/25 1,000,000 1,094,740
0.55%, 08/20/25 (a) 550,000 543,603
0.70%, 02/08/26 (a) 300,000 296,739
3.25%, 02/23/26 (a) 750,000 825,742
Applied Materials, Inc.
3.90%, 10/01/25 (a) 200,000 224,814
Arrow Electronics, Inc.
3.50%, 04/01/22 (a) 100,000 102,624
4.50%, 03/01/23 (a) 100,000 106,787
3.25%, 09/08/24 (a) 100,000 107,579
Autodesk, Inc.
3.60%, 12/15/22 (a) 100,000 104,681
Automatic Data Processing, Inc.
3.38%, 09/15/25 (a) 250,000 277,737
Avnet, Inc.
4.88%, 12/01/22 100,000 106,900
Baidu, Inc.
2.88%, 07/06/22 200,000 205,386
3.50%, 11/28/22 100,000 104,429
4.38%, 05/14/24 (a) 450,000 495,778
3.08%, 04/07/25 (a) 250,000 265,402
1.72%, 04/09/26 (a) 200,000 200,814
Broadcom Corp./Broadcom Cayman Finance Ltd.
3.63%, 01/15/24 (a) 350,000 377,037
3.13%, 01/15/25 (a) 200,000 213,894
Broadcom, Inc.
3.63%, 10/15/24 (a) 350,000 381,790
4.70%, 04/15/25 (a) 350,000 395,594
3.15%, 11/15/25 (a) 750,000 807,375
Cadence Design Systems, Inc.
4.38%, 10/15/24 (a) 100,000 111,481
Cisco Systems, Inc.
3.00%, 06/15/22 100,000 103,544
2.60%, 02/28/23 150,000 157,194
2.20%, 09/20/23 (a) 250,000 261,865
3.63%, 03/04/24 150,000 164,546
3.50%, 06/15/25 250,000 278,237
Citrix Systems, Inc.
1.25%, 03/01/26 (a) 200,000 199,326
Corning, Inc.
2.90%, 05/15/22 (a) 100,000 102,491
Dell International LLC/EMC Corp.
5.45%, 06/15/23 (a)(e) 950,000 1,042,321
4.00%, 07/15/24 (a)(e) 350,000 383,376
5.85%, 07/15/25 (a)(e) 250,000 294,492
DXC Technology Co.
4.00%, 04/15/23 100,000 106,456
4.25%, 04/15/24 (a) 100,000 108,869
4.13%, 04/15/25 (a) 300,000 328,158
Equifax, Inc.
3.30%, 12/15/22 (a) 400,000 417,360
2.60%, 12/01/24 (a) 100,000 106,440
 
99
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Equinix, Inc.
2.63%, 11/18/24 (a) 350,000 371,322
1.25%, 07/15/25 (a) 250,000 250,238
1.00%, 09/15/25 (a) 250,000 247,285
Fidelity National Information Services, Inc.
0.38%, 03/01/23 (c) 200,000 199,954
3.50%, 04/15/23 (a) 100,000 105,691
0.60%, 03/01/24 200,000 199,834
1.15%, 03/01/26 (a) 200,000 199,182
Fiserv, Inc.
3.50%, 10/01/22 (a) 150,000 156,260
3.80%, 10/01/23 (a) 200,000 216,410
2.75%, 07/01/24 (a) 450,000 478,732
3.85%, 06/01/25 (a) 250,000 276,692
Flex Ltd.
5.00%, 02/15/23 100,000 107,918
3.75%, 02/01/26 (a) 300,000 327,516
Fortinet, Inc.
1.00%, 03/15/26 (a)(c) 150,000 148,640
Genpact Luxembourg Sarl
3.70%, 04/01/22 (a)(f)(g) 100,000 103,231
Global Payments, Inc.
3.75%, 06/01/23 (a) 150,000 159,696
4.00%, 06/01/23 (a) 100,000 107,431
2.65%, 02/15/25 (a) 250,000 264,550
1.20%, 03/01/26 (a) 200,000 198,564
Hewlett Packard Enterprise Co.
4.40%, 10/15/22 (a) 150,000 158,495
2.25%, 04/01/23 (a) 300,000 310,194
4.45%, 10/02/23 (a) 300,000 328,170
1.45%, 04/01/24 (a) 500,000 511,495
4.65%, 10/01/24 (a) 350,000 394,229
4.90%, 10/15/25 (a) 600,000 690,138
HP, Inc.
4.05%, 09/15/22 350,000 369,526
2.20%, 06/17/25 (a) 150,000 156,666
IBM Credit LLC
2.20%, 09/08/22 100,000 102,792
3.00%, 02/06/23 100,000 105,073
Intel Corp.
2.35%, 05/11/22 (a) 100,000 102,322
3.10%, 07/29/22 300,000 311,934
2.70%, 12/15/22 300,000 313,062
2.88%, 05/11/24 (a) 450,000 482,476
3.40%, 03/25/25 (a) 200,000 219,086
3.70%, 07/29/25 (a) 550,000 611,578
International Business Machines Corp.
2.85%, 05/13/22 650,000 670,384
1.88%, 08/01/22 150,000 153,404
2.88%, 11/09/22 150,000 156,594
3.38%, 08/01/23 450,000 483,421
3.63%, 02/12/24 700,000 764,582
3.00%, 05/15/24 900,000 968,598
Intuit, Inc.
0.65%, 07/15/23 250,000 251,868
0.95%, 07/15/25 (a) 150,000 150,614
Jabil, Inc.
4.70%, 09/15/22 100,000 106,214
Juniper Networks, Inc.
1.20%, 12/10/25 (a) 200,000 200,000
Keysight Technologies, Inc.
4.55%, 10/30/24 (a) 100,000 112,584
KLA Corp.
4.65%, 11/01/24 (a) 300,000 338,352
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Lam Research Corp.
2.80%, 06/15/21 (a) 100,000 100,517
3.80%, 03/15/25 (a) 200,000 220,976
Leidos, Inc.
3.63%, 05/15/25 (a)(e) 200,000 219,712
Marvell Technology Group Ltd.
4.20%, 06/22/23 (a) 100,000 107,704
Mastercard, Inc.
3.38%, 04/01/24 350,000 381,087
2.00%, 03/03/25 (a) 100,000 104,624
Microchip Technology, Inc.
3.92%, 06/01/21 100,000 100,884
4.33%, 06/01/23 (a) 200,000 216,036
Micron Technology, Inc.
2.50%, 04/24/23 400,000 416,796
4.64%, 02/06/24 (a) 150,000 165,816
4.98%, 02/06/26 (a) 200,000 232,042
Microsoft Corp.
2.40%, 02/06/22 (a) 250,000 254,755
2.65%, 11/03/22 (a) 150,000 155,474
2.38%, 05/01/23 (a) 150,000 156,201
2.00%, 08/08/23 (a) 250,000 260,083
3.63%, 12/15/23 (a) 450,000 488,403
2.88%, 02/06/24 (a) 850,000 909,338
2.70%, 02/12/25 (a) 500,000 535,075
3.13%, 11/03/25 (a) 800,000 879,784
Motorola Solutions, Inc.
3.50%, 03/01/23 100,000 105,246
4.00%, 09/01/24 100,000 110,763
NetApp, Inc.
1.88%, 06/22/25 (a) 250,000 257,768
NXP BV/NXP Funding LLC
4.88%, 03/01/24 (a)(e) 250,000 279,025
NXP BV/NXP Funding LLC/NXP USA, Inc.
2.70%, 05/01/25 (a)(e) 100,000 105,744
Oracle Corp.
1.90%, 09/15/21 (a) 150,000 151,139
2.50%, 05/15/22 (a) 600,000 613,980
2.50%, 10/15/22 600,000 621,948
2.63%, 02/15/23 (a) 150,000 156,677
3.63%, 07/15/23 150,000 161,639
2.40%, 09/15/23 (a) 650,000 681,713
3.40%, 07/08/24 (a) 500,000 543,160
2.95%, 11/15/24 (a) 600,000 647,886
2.50%, 04/01/25 (a) 800,000 847,728
2.95%, 05/15/25 (a) 650,000 700,355
PayPal Holdings, Inc.
2.20%, 09/26/22 150,000 154,337
1.35%, 06/01/23 350,000 357,231
2.40%, 10/01/24 (a) 250,000 265,140
1.65%, 06/01/25 (a) 250,000 256,893
QUALCOMM, Inc.
3.00%, 05/20/22 500,000 516,675
2.60%, 01/30/23 (a) 250,000 260,448
2.90%, 05/20/24 (a) 200,000 214,254
3.45%, 05/20/25 (a) 400,000 439,700
salesforce.com, Inc.
3.25%, 04/11/23 (a) 250,000 264,877
Telefonaktiebolaget LM Ericsson
4.13%, 05/15/22 300,000 311,262
Texas Instruments, Inc.
1.85%, 05/15/22 (a) 250,000 254,630
1.38%, 03/12/25 (a) 225,000 230,569
 
100
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
The Western Union Co.
1.35%, 03/15/26 (a)(c) 250,000 248,208
Trimble, Inc.
4.15%, 06/15/23 (a) 100,000 107,556
Tyco Electronics Group S.A.
3.45%, 08/01/24 (a) 100,000 108,674
Verisk Analytics, Inc.
4.13%, 09/12/22 100,000 105,453
4.00%, 06/15/25 (a) 200,000 222,782
Visa, Inc.
2.15%, 09/15/22 (a) 250,000 257,013
2.80%, 12/14/22 (a) 500,000 520,835
3.15%, 12/14/25 (a) 1,000,000 1,100,410
VMware, Inc.
2.95%, 08/21/22 (a) 200,000 207,020
4.50%, 05/15/25 (a) 250,000 281,620
Xilinx, Inc.
2.95%, 06/01/24 (a) 150,000 160,140
    52,229,847
Transportation 0.5%
Burlington Northern Santa Fe LLC
3.05%, 09/01/22 (a) 400,000 414,068
3.85%, 09/01/23 (a) 300,000 323,427
3.75%, 04/01/24 (a) 100,000 108,910
3.40%, 09/01/24 (a) 100,000 109,066
3.00%, 04/01/25 (a) 500,000 539,865
Canadian National Railway Co.
2.95%, 11/21/24 (a) 100,000 107,977
Canadian Pacific Railway Co.
4.45%, 03/15/23 (a) 100,000 107,132
2.90%, 02/01/25 (a) 100,000 107,121
Continental Airlines 2007-1 Class A Pass Through Trust
5.98%, 04/19/22 77,816 79,489
Continental Airlines 2012-1 Class A Pass-Through Trust
4.15%, 04/11/24 31,543 32,425
Continental Airlines 2012-2 Class A Pass Through Trust
4.00%, 10/29/24 65,033 66,991
CSX Corp.
3.40%, 08/01/24 (a) 150,000 163,320
3.35%, 11/01/25 (a) 250,000 275,447
Delta Air Lines 2019-1 Class AA Pass-Through Trust
3.20%, 04/25/24 200,000 208,160
FedEx Corp.
3.40%, 01/14/22 150,000 154,100
4.00%, 01/15/24 100,000 109,711
3.20%, 02/01/25 100,000 108,171
3.80%, 05/15/25 (a) 450,000 498,492
JB Hunt Transport Services, Inc.
3.30%, 08/15/22 (a) 100,000 103,667
Norfolk Southern Corp.
3.00%, 04/01/22 (a) 250,000 255,753
3.85%, 01/15/24 (a) 100,000 108,562
3.65%, 08/01/25 (a) 200,000 221,370
Ryder System, Inc.
2.80%, 03/01/22 (a) 200,000 204,406
3.40%, 03/01/23 (a) 350,000 369,316
3.75%, 06/09/23 (a) 150,000 160,739
3.88%, 12/01/23 (a) 100,000 108,678
4.63%, 06/01/25 (a) 250,000 284,727
3.35%, 09/01/25 (a) 75,000 81,989
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Southwest Airlines Co.
2.75%, 11/16/22 (a) 50,000 51,529
4.75%, 05/04/23 225,000 244,816
5.25%, 05/04/25 (a) 600,000 688,746
Union Pacific Corp.
2.95%, 03/01/22 300,000 308,079
4.16%, 07/15/22 (a) 350,000 365,099
3.50%, 06/08/23 (a) 150,000 160,113
3.65%, 02/15/24 (a) 100,000 108,425
3.15%, 03/01/24 (a) 100,000 107,597
3.75%, 03/15/24 (a) 250,000 272,030
3.25%, 01/15/25 (a) 300,000 324,798
United Airlines 2013-1 Class A Pass Through Trust
4.30%, 08/15/25 67,788 71,186
United Airlines 2020-1 Class B Pass Through Trust
4.88%, 07/15/27 200,000 207,278
United Parcel Service, Inc.
2.35%, 05/16/22 (a) 100,000 102,369
2.45%, 10/01/22 200,000 206,950
2.50%, 04/01/23 (a) 250,000 260,872
2.20%, 09/01/24 (a) 250,000 263,850
2.80%, 11/15/24 (a) 75,000 81,030
3.90%, 04/01/25 (a) 200,000 223,126
    9,460,972
    289,603,562
 
Utility 1.3%
Electric 1.2%
Alabama Power Co.
3.55%, 12/01/23 150,000 162,674
Ameren Corp.
2.50%, 09/15/24 (a) 100,000 106,002
3.65%, 02/15/26 (a) 250,000 277,452
Ameren Illinois Co.
2.70%, 09/01/22 (a) 100,000 103,017
American Electric Power Co., Inc.
1.00%, 11/01/25 (a) 250,000 248,160
Avangrid, Inc.
3.15%, 12/01/24 (a) 250,000 271,182
3.20%, 04/15/25 (a) 100,000 108,233
Berkshire Hathaway Energy Co.
2.80%, 01/15/23 (a) 250,000 261,072
3.75%, 11/15/23 (a) 300,000 324,690
3.50%, 02/01/25 (a) 100,000 108,897
4.05%, 04/15/25 (a)(e) 450,000 502,677
Black Hills Corp.
4.25%, 11/30/23 (a) 250,000 272,920
CenterPoint Energy, Inc.
2.50%, 09/01/22 (a) 150,000 154,488
2.50%, 09/01/24 (a) 100,000 105,748
Consumers Energy Co.
3.38%, 08/15/23 (a) 100,000 106,699
Dominion Energy, Inc.
3.07%, 08/15/24 300,000 323,148
3.30%, 03/15/25 (a) 100,000 108,496
3.90%, 10/01/25 (a) 250,000 279,432
5.75%, 10/01/54 (a)(b) 22,000 24,157
DTE Electric Co.
3.65%, 03/15/24 (a) 100,000 108,171
DTE Energy Co.
2.60%, 06/15/22 100,000 102,772
3.30%, 06/15/22 (a) 100,000 103,202
0.55%, 11/01/22 250,000 250,733
 
101
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.70%, 08/01/23 (a) 100,000 107,471
3.50%, 06/01/24 (a) 350,000 378,742
2.53%, 10/01/24 100,000 106,136
1.05%, 06/01/25 (a) 200,000 199,454
Duke Energy Carolinas LLC
3.35%, 05/15/22 250,000 259,235
Duke Energy Corp.
3.05%, 08/15/22 (a) 300,000 309,645
3.75%, 04/15/24 (a) 300,000 326,415
0.90%, 09/15/25 (a) 300,000 297,309
Duke Energy Ohio, Inc.
3.80%, 09/01/23 (a) 200,000 215,042
Duke Energy Progress LLC
3.25%, 08/15/25 (a) 250,000 273,705
Edison International
2.40%, 09/15/22 (a) 100,000 102,464
3.13%, 11/15/22 (a) 250,000 259,705
3.55%, 11/15/24 (a) 100,000 107,965
4.95%, 04/15/25 (a) 150,000 168,897
Enel Generacion Chile S.A.
4.25%, 04/15/24 (a) 100,000 108,169
Entergy Arkansas LLC
3.70%, 06/01/24 (a) 100,000 109,307
Entergy Corp.
4.00%, 07/15/22 (a) 400,000 417,004
0.90%, 09/15/25 (a) 250,000 246,650
Entergy Louisiana LLC
5.40%, 11/01/24 100,000 116,986
Evergy, Inc.
2.45%, 09/15/24 (a) 250,000 263,885
Eversource Energy
2.75%, 03/15/22 (a) 150,000 153,465
2.80%, 05/01/23 (a) 600,000 627,522
2.90%, 10/01/24 (a) 200,000 214,894
0.80%, 08/15/25 (a) 200,000 197,330
Exelon Corp.
3.50%, 06/01/22 (a) 500,000 517,735
3.95%, 06/15/25 (a) 250,000 277,860
Exelon Generation Co., LLC
4.25%, 06/15/22 (a) 250,000 259,245
3.25%, 06/01/25 (a) 450,000 483,331
Florida Power & Light Co.
2.85%, 04/01/25 (a) 250,000 268,772
Georgia Power Co.
2.85%, 05/15/22 100,000 102,960
2.10%, 07/30/23 100,000 103,896
IPALCO Enterprises, Inc.
3.70%, 09/01/24 (a) 50,000 54,386
ITC Holdings Corp.
2.70%, 11/15/22 (a) 100,000 103,716
3.65%, 06/15/24 (a) 100,000 108,673
MidAmerican Energy Co.
3.50%, 10/15/24 (a) 100,000 109,874
National Rural Utilities Cooperative Finance Corp.
2.40%, 04/25/22 (a) 50,000 51,135
2.30%, 09/15/22 (a) 100,000 102,950
3.40%, 11/15/23 (a) 150,000 161,216
2.95%, 02/07/24 (a) 150,000 160,106
0.35%, 02/08/24 150,000 149,898
2.85%, 01/27/25 (a) 100,000 107,110
4.75%, 04/30/43 (a)(b) 250,000 260,575
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
NextEra Energy Capital Holdings, Inc.
4.50%, 06/01/21 (a) 300,000 300,000
2.90%, 04/01/22 100,000 102,806
1.95%, 09/01/22 100,000 102,449
2.80%, 01/15/23 (a) 500,000 522,035
3.15%, 04/01/24 (a) 145,000 155,797
2.75%, 05/01/25 (a) 350,000 373,317
Northern States Power Co.
2.60%, 05/15/23 (a) 150,000 155,925
Oncor Electric Delivery Co., LLC
2.75%, 06/01/24 (a) 100,000 106,966
2.95%, 04/01/25 (a) 200,000 216,152
0.55%, 10/01/25 (a)(e) 250,000 245,735
Pacific Gas & Electric Co.
1.75%, 06/16/22 (a) 500,000 501,455
3.25%, 06/15/23 (a) 200,000 209,550
4.25%, 08/01/23 (a) 200,000 215,094
3.40%, 08/15/24 (a) 200,000 213,942
3.45%, 07/01/25 400,000 430,368
3.15%, 01/01/26 500,000 531,460
PacifiCorp
2.95%, 06/01/23 (a) 250,000 262,967
Pinnacle West Capital Corp.
1.30%, 06/15/25 (a) 425,000 428,285
Potomac Electric Power Co.
3.60%, 03/15/24 (a) 100,000 108,149
PPL Capital Funding, Inc.
4.20%, 06/15/22 (a) 200,000 207,774
3.50%, 12/01/22 (a) 200,000 209,094
3.40%, 06/01/23 (a) 200,000 211,644
3.95%, 03/15/24 (a) 100,000 108,937
Progress Energy, Inc.
3.15%, 04/01/22 (a) 250,000 255,743
PSEG Power LLC
3.85%, 06/01/23 (a) 150,000 160,941
Public Service Electric & Gas Co.
2.38%, 05/15/23 (a) 100,000 104,165
3.25%, 09/01/23 (a) 150,000 160,488
Public Service Enterprise Group, Inc.
2.65%, 11/15/22 (a) 250,000 259,265
2.88%, 06/15/24 (a) 200,000 213,684
0.80%, 08/15/25 (a) 250,000 246,703
San Diego Gas & Electric Co.
3.60%, 09/01/23 (a) 150,000 160,739
Sempra Energy
3.55%, 06/15/24 (a) 350,000 379,991
Southern California Edison Co.
3.40%, 06/01/23 (a) 100,000 106,372
3.50%, 10/01/23 (a) 150,000 160,547
3.70%, 08/01/25 (a) 250,000 275,157
Southern Power Co.
4.15%, 12/01/25 (a) 250,000 282,247
0.90%, 01/15/26 (a) 200,000 197,428
Southwestern Public Service Co.
3.30%, 06/15/24 (a) 100,000 107,423
The AES Corp.
1.38%, 01/15/26 (a)(e) 300,000 296,316
The Southern Co.
2.95%, 07/01/23 (a) 500,000 526,675
4.00%, 01/15/51 (a)(b) 250,000 260,238
5.50%, 03/15/57 (a)(b) 75,000 77,039
Virginia Electric & Power Co.
2.75%, 03/15/23 (a) 150,000 156,417
3.45%, 02/15/24 (a) 200,000 215,710
 
102
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
3.10%, 05/15/25 (a) 100,000 107,933
3.15%, 01/15/26 (a) 200,000 218,628
WEC Energy Group, Inc.
0.55%, 09/15/23 450,000 451,692
Xcel Energy, Inc.
0.50%, 10/15/23 (a) 500,000 501,205
    25,167,504
Natural Gas 0.1%
CenterPoint Energy Resources Corp.
3.55%, 04/01/23 (a) 100,000 106,151
NiSource, Inc.
0.95%, 08/15/25 (a) 350,000 346,346
Sempra Energy
2.88%, 10/01/22 (a) 250,000 258,125
2.90%, 02/01/23 (a) 150,000 156,786
4.05%, 12/01/23 (a) 100,000 108,760
Southern California Gas Co.
3.15%, 09/15/24 (a) 50,000 54,162
Southern Co. Gas Capital Corp.
2.45%, 10/01/23 (a) 100,000 104,812
    1,135,142
Utility Other 0.0%
American Water Capital Corp.
3.40%, 03/01/25 (a) 150,000 163,479
    26,466,125
Total Corporates
(Cost $527,896,578)   539,655,324

Treasuries 62.7% of net assets
Bonds
7.25%, 08/15/22 400,000 441,195
7.63%, 11/15/22 226,000 255,031
7.13%, 02/15/23 1,200,000 1,364,602
6.25%, 08/15/23 1,500,000 1,724,121
7.50%, 11/15/24 600,000 757,031
7.63%, 02/15/25 500,000 640,605
6.88%, 08/15/25 1,000,000 1,275,469
6.00%, 02/15/26 2,000,000 2,517,968
Notes
2.25%, 04/15/22 12,900,000 13,210,658
0.13%, 04/30/22 25,400,000 25,408,434
1.75%, 04/30/22 9,700,000 9,886,232
1.88%, 04/30/22 8,070,000 8,236,759
1.75%, 05/15/22 8,200,000 8,363,359
2.13%, 05/15/22 8,900,000 9,117,807
0.13%, 05/31/22 14,500,000 14,506,514
1.75%, 05/31/22 8,700,000 8,879,777
1.88%, 05/31/22 7,200,000 7,360,031
1.75%, 06/15/22 14,841,200 15,158,894
0.13%, 06/30/22 16,300,000 16,305,730
1.75%, 06/30/22 6,200,000 6,336,230
2.13%, 06/30/22 5,200,000 5,339,953
1.75%, 07/15/22 7,700,000 7,873,701
0.13%, 07/31/22 10,500,000 10,503,486
1.88%, 07/31/22 6,100,000 6,252,381
2.00%, 07/31/22 6,100,000 6,263,342
1.50%, 08/15/22 9,150,000 9,335,859
1.63%, 08/15/22 4,300,000 4,395,070
0.13%, 08/31/22 12,600,000 12,603,445
1.63%, 08/31/22 6,950,000 7,107,054
1.88%, 08/31/22 6,200,000 6,363,113
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.50%, 09/15/22 8,600,000 8,783,422
0.13%, 09/30/22 11,600,000 11,602,945
1.75%, 09/30/22 5,450,000 5,590,508
1.88%, 09/30/22 6,100,000 6,269,299
1.38%, 10/15/22 4,600,000 4,693,707
0.13%, 10/31/22 5,619,400 5,620,168
1.88%, 10/31/22 6,400,000 6,587,125
2.00%, 10/31/22 6,000,000 6,187,734
1.63%, 11/15/22 5,600,000 5,743,938
0.13%, 11/30/22 16,800,000 16,801,313
2.00%, 11/30/22 10,650,000 10,999,037
1.63%, 12/15/22 6,600,000 6,777,633
0.13%, 12/31/22 13,039,400 13,039,145
2.13%, 12/31/22 12,100,000 12,542,170
1.50%, 01/15/23 5,900,000 6,051,072
0.13%, 01/31/23 10,110,800 10,110,405
1.75%, 01/31/23 5,605,000 5,778,843
2.38%, 01/31/23 6,125,000 6,388,423
1.38%, 02/15/23 6,500,000 6,657,803
2.00%, 02/15/23 8,200,000 8,499,652
0.13%, 02/28/23 15,000,000 14,999,814
1.50%, 02/28/23 4,350,000 4,468,351
2.63%, 02/28/23 5,650,000 5,930,293
0.50%, 03/15/23 7,400,000 7,454,055
1.50%, 03/31/23 6,500,000 6,683,320
2.50%, 03/31/23 3,735,000 3,918,686
0.25%, 04/15/23 10,300,000 10,320,922
1.63%, 04/30/23 5,400,000 5,571,070
2.75%, 04/30/23 6,900,000 7,285,969
0.13%, 05/15/23 10,400,000 10,391,469
1.75%, 05/15/23 11,270,000 11,663,129
1.63%, 05/31/23 6,050,000 6,247,098
2.75%, 05/31/23 6,100,000 6,453,609
0.25%, 06/15/23 8,830,400 8,846,267
1.38%, 06/30/23 6,600,000 6,783,563
2.63%, 06/30/23 6,700,000 7,084,727
0.13%, 07/15/23 11,700,000 11,684,918
1.25%, 07/31/23 6,500,000 6,667,832
2.75%, 07/31/23 6,100,000 6,477,438
0.13%, 08/15/23 14,900,000 14,875,555
2.50%, 08/15/23 9,800,000 10,356,609
1.38%, 08/31/23 6,300,000 6,486,293
2.75%, 08/31/23 5,000,000 5,318,359
0.13%, 09/15/23 13,200,000 13,174,219
1.38%, 09/30/23 9,000,000 9,272,461
2.88%, 09/30/23 6,600,000 7,054,266
0.13%, 10/15/23 11,700,000 11,673,035
1.63%, 10/31/23 7,900,000 8,196,250
2.88%, 10/31/23 6,850,000 7,333,781
0.25%, 11/15/23 11,500,000 11,506,738
2.75%, 11/15/23 13,150,000 14,046,871
2.13%, 11/30/23 4,800,000 5,049,937
2.88%, 11/30/23 6,900,000 7,399,980
0.13%, 12/15/23 13,376,000 13,332,110
2.25%, 12/31/23 6,400,000 6,762,500
2.63%, 12/31/23 6,800,000 7,257,141
0.13%, 01/15/24 14,146,000 14,091,847
2.25%, 01/31/24 4,300,000 4,548,762
2.50%, 01/31/24 7,750,000 8,254,356
0.13%, 02/15/24 15,000,000 14,937,305
2.75%, 02/15/24 11,000,000 11,806,094
2.13%, 02/29/24 6,500,000 6,858,770
2.38%, 02/29/24 6,000,000 6,375,234
2.13%, 03/31/24 12,450,000 13,147,395
2.00%, 04/30/24 5,300,000 5,582,184
2.25%, 04/30/24 7,950,000 8,434,453
2.50%, 05/15/24 12,300,000 13,163,883
2.00%, 05/31/24 11,550,000 12,173,068
 
103
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
1.75%, 06/30/24 10,400,000 10,881,813
2.00%, 06/30/24 4,000,000 4,219,219
1.75%, 07/31/24 9,200,000 9,631,609
2.13%, 07/31/24 6,500,000 6,888,223
2.38%, 08/15/24 13,200,000 14,111,109
1.25%, 08/31/24 8,000,000 8,238,750
1.88%, 08/31/24 7,900,000 8,308,578
1.50%, 09/30/24 8,300,000 8,623,246
2.13%, 09/30/24 5,310,000 5,636,067
1.50%, 10/31/24 8,350,000 8,675,193
2.25%, 10/31/24 5,800,000 6,187,875
2.25%, 11/15/24 14,000,000 14,937,891
1.50%, 11/30/24 10,650,000 11,066,016
2.13%, 11/30/24 6,100,000 6,481,727
1.75%, 12/31/24 7,600,000 7,970,797
2.25%, 12/31/24 5,800,000 6,195,578
1.38%, 01/31/25 7,750,000 8,016,709
2.50%, 01/31/25 6,300,000 6,795,633
2.00%, 02/15/25 13,500,000 14,302,090
1.13%, 02/28/25 9,500,000 9,733,418
2.75%, 02/28/25 5,800,000 6,318,375
0.50%, 03/31/25 9,988,600 9,979,626
2.63%, 03/31/25 4,200,000 4,557,164
0.38%, 04/30/25 10,400,000 10,327,281
2.88%, 04/30/25 5,250,000 5,757,158
2.13%, 05/15/25 12,800,000 13,647,000
0.25%, 05/31/25 12,000,000 11,841,563
2.88%, 05/31/25 4,800,000 5,268,937
0.25%, 06/30/25 12,700,000 12,519,918
2.75%, 06/30/25 4,900,000 5,357,270
0.25%, 07/31/25 13,200,000 12,999,422
2.88%, 07/31/25 4,700,000 5,169,082
2.00%, 08/15/25 14,300,000 15,185,371
0.25%, 08/31/25 13,100,000 12,886,102
2.75%, 08/31/25 5,000,000 5,475,000
0.25%, 09/30/25 15,900,000 15,622,371
3.00%, 09/30/25 4,800,000 5,315,063
0.25%, 10/31/25 16,200,000 15,903,211
3.00%, 10/31/25 4,700,000 5,209,656
2.25%, 11/15/25 12,700,000 13,644,563
0.38%, 11/30/25 12,141,600 11,975,127
2.88%, 11/30/25 6,000,000 6,622,031
0.38%, 12/31/25 15,530,000 15,300,083
2.63%, 12/31/25 2,800,000 3,059,547
0.38%, 01/31/26 (h) 16,540,600 16,278,923
2.63%, 01/31/26 6,773,000 7,406,646
1.63%, 02/15/26 13,000,000 13,586,014
0.50%, 02/28/26 15,300,000 15,143,240
2.50%, 02/28/26 7,000,000 7,617,148
Total Treasuries
(Cost $1,276,418,223)   1,286,784,612

Government Related 10.5% of net assets
 
Agency 5.6%
Foreign 2.1%
Austria 0.1%
Oesterreichische Kontrollbank AG
2.88%, 09/07/21 250,000 253,440
2.63%, 01/31/22 200,000 204,390
1.63%, 09/17/22 200,000 204,406
2.88%, 03/13/23 350,000 368,816
3.13%, 11/07/23 550,000 590,744
1.50%, 02/12/25 200,000 207,682
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.38%, 09/17/25 500,000 490,685
0.50%, 02/02/26 500,000 491,785
    2,811,948
Canada 0.1%
Export Development Canada
2.00%, 05/17/22 450,000 459,914
1.75%, 07/18/22 400,000 408,672
2.50%, 01/24/23 500,000 521,790
1.38%, 02/24/23 750,000 767,670
2.75%, 03/15/23 150,000 157,707
2.63%, 02/21/24 250,000 266,665
    2,582,418
China 0.0%
Industrial & Commercial Bank of China Ltd.
2.45%, 10/20/21 100,000 101,036
Colombia 0.1%
Ecopetrol S.A.
5.88%, 09/18/23 1,250,000 1,388,425
4.13%, 01/16/25 300,000 322,128
    1,710,553
Germany 0.9%
FMS Wertmanagement
1.38%, 06/08/21 (i) 200,000 200,666
2.00%, 08/01/22 (i) 200,000 205,092
2.75%, 03/06/23 (i) 500,000 525,200
2.75%, 01/30/24 (i) 250,000 267,208
Kreditanstalt Fuer Wiederaufbau
2.38%, 08/25/21 (i) 239,000 241,562
1.75%, 09/15/21 (i) 150,000 151,293
2.00%, 11/30/21 (i) 200,000 202,738
2.63%, 01/25/22 (i) 605,000 618,413
2.50%, 02/15/22 (i) 650,000 664,436
2.13%, 03/07/22 (i) 300,000 305,961
2.13%, 06/15/22 (i) 700,000 717,661
1.75%, 08/22/22 (i) 1,000,000 1,023,310
2.00%, 09/29/22 (i) 300,000 308,664
2.00%, 10/04/22 (i) 600,000 617,328
2.38%, 12/29/22 (i) 500,000 519,925
2.13%, 01/17/23 (i) 2,000,000 2,072,240
1.63%, 02/15/23 (i) 650,000 668,031
0.25%, 10/19/23 (i) 1,000,000 998,670
2.63%, 02/28/24 (i) 950,000 1,014,011
0.25%, 03/08/24 (c)(i) 500,000 498,085
1.38%, 08/05/24 (i) 350,000 360,966
2.50%, 11/20/24 (i) 1,100,000 1,180,311
0.38%, 07/18/25 (i) 2,250,000 2,216,812
0.63%, 01/22/26 (i) 1,250,000 1,237,712
Landwirtschaftliche Rentenbank
1.75%, 09/24/21 (i) 100,000 100,884
2.25%, 10/01/21 (i) 100,000 101,196
3.13%, 11/14/23 (i) 200,000 215,016
2.00%, 01/13/25 (i) 250,000 263,810
0.50%, 05/27/25 (i) 300,000 298,305
2.38%, 06/10/25 (i) 750,000 804,765
    18,600,271
Japan 0.4%
Japan Bank for International Cooperation
1.50%, 07/21/21 600,000 602,916
2.50%, 06/01/22 200,000 205,548
 
104
Schwab Taxable Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.38%, 07/21/22 750,000 771,682
2.38%, 11/16/22 300,000 310,617
1.75%, 01/23/23 300,000 308,229
0.63%, 05/22/23 750,000 755,025
3.25%, 07/20/23 750,000 800,572
3.38%, 07/31/23 200,000 214,212
0.38%, 09/15/23 500,000 499,590
3.38%, 10/31/23 450,000 484,817
2.50%, 05/23/24 450,000 478,499
3.00%, 05/29/24 200,000 216,022
1.75%, 10/17/24 200,000 208,150
2.13%, 02/10/25 200,000 211,134
2.50%, 05/28/25 1,000,000 1,074,610
2.75%, 01/21/26 250,000 271,393
    7,413,016
Norway 0.1%
Equinor A.S.A.
3.15%, 01/23/22 250,000 256,442
2.45%, 01/17/23 150,000 155,972
2.65%, 01/15/24 193,000 204,582
3.70%, 03/01/24 200,000 219,092
3.25%, 11/10/24 100,000 109,239
2.88%, 04/06/25 (a) 250,000 268,540
    1,213,867
Republic of Korea 0.2%
Export-Import Bank of Korea
2.50%, 05/10/21 17,000 17,069
2.75%, 01/25/22 400,000 408,532
2.38%, 06/25/24 200,000 212,292
2.88%, 01/21/25 200,000 214,350
0.75%, 09/21/25 500,000 494,215
3.25%, 11/10/25 500,000 551,458
The Korea Development Bank
4.63%, 11/16/21 200,000 206,010
3.00%, 03/19/22 200,000 205,492
3.00%, 09/14/22 200,000 208,006
2.75%, 03/19/23 200,000 209,564
3.75%, 01/22/24 900,000 985,266
0.40%, 06/19/24 500,000 499,495
    4,211,749
Sweden 0.2%
Svensk Exportkredit AB
1.63%, 09/12/21 200,000 201,514
2.38%, 03/09/22 300,000 306,549
1.63%, 11/14/22 200,000 204,738
2.88%, 03/14/23 250,000 263,063
0.25%, 09/29/23 500,000 498,590
1.75%, 12/12/23 550,000 570,806
0.38%, 07/30/24 500,000 498,575
0.63%, 05/14/25 225,000 224,519
0.50%, 08/26/25 350,000 344,753
    3,113,107
    41,757,965
U.S. 3.5%
Fannie Mae
1.88%, 04/05/22 500,000 509,640
2.25%, 04/12/22 2,500,000 2,559,725
1.38%, 09/06/22 3,000,000 3,057,000
2.38%, 01/19/23 1,250,000 1,303,062
0.25%, 05/22/23 3,000,000 3,006,900
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.88%, 09/12/23 800,000 853,320
1.75%, 07/02/24 500,000 523,715
1.63%, 01/07/25 500,000 521,865
0.63%, 04/22/25 1,000,000 1,002,390
0.50%, 06/17/25 1,500,000 1,493,850
Federal Farm Credit Banks Funding Corp.
0.38%, 04/08/22 1,225,000 1,228,651
0.25%, 05/06/22 500,000 500,870
0.13%, 11/23/22 1,000,000 999,860
0.13%, 02/03/23 400,000 400,036
0.20%, 10/02/23 1,500,000 1,496,310
0.25%, 02/26/24 400,000 399,540
Federal Home Loan Bank
0.13%, 08/12/22 2,000,000 1,999,880
0.13%, 10/21/22 2,000,000 2,000,120
1.88%, 12/09/22 3,000,000 3,092,700
1.38%, 02/17/23 3,000,000 3,073,710
2.50%, 02/13/24 1,800,000 1,917,504
1.50%, 08/15/24 200,000 207,892
0.50%, 04/14/25 3,000,000 2,997,870
0.50%, 06/13/25 500,000 496,410
Federal Home Loan Mortgage Corp.
0.13%, 07/25/22 2,600,000 2,600,520
0.38%, 04/20/23 3,000,000 3,015,840
0.13%, 10/16/23 5,000,000 4,984,850
0.25%, 12/04/23 3,000,000 2,999,580
0.38%, 09/23/25 1,000,000 985,880
Federal National Mortgage Association
0.25%, 07/10/23 3,000,000 3,002,640
0.25%, 11/27/23 1,000,000 999,970
0.38%, 08/25/25 2,000,000 1,975,480
0.50%, 11/07/25 3,000,000 2,973,120
Freddie Mac
0.25%, 06/08/22 1,500,000 1,502,925
2.75%, 06/19/23 2,100,000 2,224,551
0.25%, 06/26/23 3,000,000 3,005,730
0.25%, 08/24/23 5,000,000 5,007,650
1.50%, 02/12/25 200,000 208,032
0.38%, 07/21/25 1,000,000 989,870
    72,119,458
    113,877,423
 
Local Authority 0.7%
Foreign 0.6%
Canada 0.6%
Hydro-Quebec
8.40%, 01/15/22 100,000 106,967
Province of Alberta
2.20%, 07/26/22 250,000 256,780
3.35%, 11/01/23 323,000 347,965
2.95%, 01/23/24 600,000 642,924
1.88%, 11/13/24 1,000,000 1,044,930
1.00%, 05/20/25 400,000 404,408
Province of British Columbia
2.00%, 10/23/22 350,000 360,311
1.75%, 09/27/24 150,000 156,737
Province of Manitoba
2.13%, 05/04/22 100,000 102,203
2.10%, 09/06/22 100,000 102,689
2.60%, 04/16/24 250,000 266,332
3.05%, 05/14/24 300,000 323,679
Province of New Brunswick
2.50%, 12/12/22 100,000 103,599
 
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Province of Ontario
2.55%, 04/25/22 300,000 307,977
2.25%, 05/18/22 250,000 256,070
2.45%, 06/29/22 250,000 257,230
2.20%, 10/03/22 250,000 257,708
1.75%, 01/24/23 900,000 925,119
3.40%, 10/17/23 1,000,000 1,078,300
3.05%, 01/29/24 700,000 752,878
7.13%, 02/09/24 100,000 118,997
3.20%, 05/16/24 200,000 217,280
0.63%, 01/21/26 1,000,000 985,620
Province of Quebec
2.75%, 08/25/21 300,000 303,714
2.38%, 01/31/22 400,000 407,884
2.63%, 02/13/23 250,000 261,518
2.50%, 04/09/24 250,000 265,762
2.88%, 10/16/24 1,000,000 1,083,170
1.50%, 02/11/25 350,000 361,627
0.60%, 07/23/25 750,000 743,025
Province of Saskatchewan
8.50%, 07/15/22 25,000 27,750
    12,831,153
U.S. 0.1%
Illinois
4.95%, 06/01/23 88,637 91,836
Port Authority of New York & New Jersey
1.09%, 07/01/23 300,000 305,116
State Board of Administration Finance Corp.
2.64%, 07/01/21 250,000 251,927
1.26%, 07/01/25 350,000 353,451
State of California
5.70%, 11/01/21 85,000 88,008
University of California
0.88%, 05/15/25 (a) 250,000 252,895
    1,343,233
    14,174,386
 
Sovereign 0.8%
Canada 0.1%
Canada Government International Bond
2.00%, 11/15/22 650,000 670,228
1.63%, 01/22/25 900,000 938,340
    1,608,568
Chile 0.0%
Chile Government International Bond
2.25%, 10/30/22 150,000 154,557
3.13%, 01/21/26 250,000 272,413
    426,970
Colombia 0.1%
Colombia Government International Bond
4.38%, 07/12/21 200,000 202,628
2.63%, 03/15/23 (a) 400,000 410,724
4.00%, 02/26/24 (a) 400,000 426,424
4.50%, 01/28/26 (a) 400,000 443,688
    1,483,464
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Hungary 0.1%
Hungary Government International Bond
5.38%, 02/21/23 500,000 547,790
5.75%, 11/22/23 210,000 238,751
5.38%, 03/25/24 700,000 797,034
    1,583,575
Indonesia 0.0%
Indonesia Government International Bond
2.95%, 01/11/23 200,000 207,850
4.45%, 02/11/24 200,000 219,702
    427,552
Israel 0.0%
Israel Government International Bond
4.00%, 06/30/22 250,000 262,223
3.15%, 06/30/23 500,000 530,725
    792,948
Italy 0.1%
Republic of Italy Government International Bond
6.88%, 09/27/23 750,000 865,920
2.38%, 10/17/24 750,000 787,072
1.25%, 02/17/26 750,000 739,320
    2,392,312
Mexico 0.1%
Mexico Government International Bond
8.00%, 09/24/22 250,000 279,185
4.00%, 10/02/23 750,000 815,715
3.60%, 01/30/25 750,000 826,792
3.90%, 04/27/25 (a) 200,000 222,250
4.13%, 01/21/26 500,000 560,850
    2,704,792
Panama 0.1%
Panama Government International Bond
4.00%, 09/22/24 (a) 200,000 218,216
3.75%, 03/16/25 (a) 200,000 217,930
7.13%, 01/29/26 350,000 436,642
    872,788
Peru 0.0%
Peruvian Government International Bond
7.35%, 07/21/25 350,000 439,765
2.39%, 01/23/26 (a) 300,000 312,894
    752,659
Philippines 0.1%
Philippine Government International Bond
4.20%, 01/21/24 600,000 661,878
10.63%, 03/16/25 500,000 695,295
    1,357,173
Poland 0.1%
Republic of Poland Government International Bond
5.00%, 03/23/22 600,000 630,876
3.00%, 03/17/23 500,000 526,840
4.00%, 01/22/24 400,000 440,948
    1,598,664
 
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
Republic of Korea 0.0%
Korea International Bond
3.88%, 09/11/23 200,000 217,660
2.00%, 06/19/24 200,000 210,444
    428,104
Uruguay 0.0%
Uruguay Government International Bond
8.00%, 11/18/22 34,000 37,042
4.50%, 08/14/24 400,000 436,684
    473,726
    16,903,295
 
Supranational* 3.4%
African Development Bank
1.25%, 07/26/21 164,000 164,718
1.63%, 09/16/22 250,000 255,530
2.13%, 11/16/22 450,000 464,760
0.75%, 04/03/23 875,000 884,774
3.00%, 09/20/23 850,000 908,004
Asian Development Bank
2.13%, 11/24/21 500,000 507,170
1.88%, 02/18/22 100,000 101,631
0.63%, 04/07/22 1,100,000 1,105,698
1.88%, 07/19/22 1,000,000 1,023,590
1.88%, 08/10/22 100,000 102,444
1.75%, 09/13/22 600,000 614,430
1.63%, 01/24/23 800,000 821,608
2.75%, 03/17/23 550,000 578,594
0.25%, 07/14/23 750,000 749,512
0.25%, 10/06/23 1,250,000 1,248,362
2.63%, 01/30/24 600,000 639,678
1.50%, 10/18/24 900,000 932,256
2.00%, 01/22/25 200,000 211,094
0.63%, 04/29/25 1,250,000 1,250,687
0.38%, 09/03/25 1,000,000 983,560
0.50%, 02/04/26 1,000,000 984,000
Corp. Andina de Fomento
4.38%, 06/15/22 500,000 523,930
2.75%, 01/06/23 100,000 103,893
2.38%, 05/12/23 300,000 310,401
3.75%, 11/23/23 150,000 161,498
1.63%, 09/23/25 400,000 403,568
Council of Europe Development Bank
1.75%, 09/26/22 200,000 204,886
2.63%, 02/13/23 250,000 261,738
0.25%, 06/10/23 150,000 150,048
0.25%, 10/20/23 400,000 399,312
2.50%, 02/27/24 150,000 159,518
1.38%, 02/27/25 150,000 154,755
European Bank for Reconstruction & Development
1.88%, 07/15/21 200,000 201,274
2.75%, 03/07/23 150,000 157,662
0.25%, 07/10/23 500,000 499,660
1.63%, 09/27/24 150,000 156,081
1.50%, 02/13/25 150,000 155,514
0.50%, 05/19/25 600,000 597,060
0.50%, 11/25/25 300,000 296,139
0.50%, 01/28/26 1,000,000 985,030
European Investment Bank
1.38%, 09/15/21 550,000 553,635
2.13%, 10/15/21 805,000 814,853
2.25%, 03/15/22 850,000 868,317
2.63%, 05/20/22 450,000 463,496
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
2.38%, 06/15/22 800,000 822,680
1.38%, 09/06/22 500,000 509,100
2.00%, 12/15/22 750,000 774,352
2.50%, 03/15/23 1,400,000 1,465,674
1.38%, 05/15/23 250,000 256,398
2.88%, 08/15/23 1,200,000 1,276,068
0.25%, 09/15/23 650,000 649,363
3.13%, 12/14/23 1,000,000 1,077,940
3.25%, 01/29/24 2,150,000 2,330,600
2.63%, 03/15/24 700,000 747,866
2.25%, 06/24/24 1,250,000 1,324,975
2.50%, 10/15/24 200,000 214,422
1.88%, 02/10/25 450,000 472,878
1.63%, 03/14/25 650,000 677,144
0.63%, 07/25/25 1,000,000 996,190
0.38%, 12/15/25 1,000,000 980,820
Inter-American Development Bank
1.88%, 07/23/21 200,000 201,362
2.13%, 01/18/22 300,000 305,142
1.75%, 04/14/22 550,000 559,828
1.75%, 09/14/22 100,000 102,415
2.50%, 01/18/23 750,000 782,610
0.50%, 05/24/23 1,250,000 1,258,187
3.00%, 10/04/23 950,000 1,016,167
0.25%, 11/15/23 1,000,000 998,420
2.63%, 01/16/24 1,100,000 1,171,577
3.00%, 02/21/24 600,000 646,806
2.13%, 01/15/25 1,600,000 1,696,256
1.75%, 03/14/25 400,000 418,428
0.88%, 04/03/25 150,000 151,829
0.63%, 07/15/25 1,100,000 1,095,149
International Bank for Reconstruction & Development
1.63%, 02/10/22 600,000 608,160
2.13%, 07/01/22 500,000 513,020
1.88%, 10/07/22 450,000 462,236
2.13%, 02/13/23 150,000 155,636
1.75%, 04/19/23 250,000 258,225
1.88%, 06/19/23 200,000 207,426
3.00%, 09/27/23 1,500,000 1,603,830
0.25%, 11/24/23 1,000,000 998,330
2.50%, 03/19/24 1,050,000 1,117,945
1.50%, 08/28/24 550,000 570,152
2.50%, 11/25/24 700,000 751,534
1.63%, 01/15/25 1,500,000 1,561,770
2.13%, 03/03/25 100,000 106,174
0.75%, 03/11/25 450,000 453,461
0.63%, 04/22/25 2,000,000 2,001,520
0.38%, 07/28/25 1,250,000 1,231,625
2.50%, 07/29/25 1,500,000 1,615,365
0.50%, 10/28/25 1,500,000 1,482,120
International Finance Corp.
1.13%, 07/20/21 175,000 175,662
2.00%, 10/24/22 200,000 205,990
2.88%, 07/31/23 400,000 424,760
1.38%, 10/16/24 350,000 361,176
0.38%, 07/16/25 750,000 738,810
Nordic Investment Bank
1.25%, 08/02/21 300,000 301,335
2.25%, 09/30/21 200,000 202,426
0.38%, 05/19/23 200,000 200,714
2.25%, 05/21/24 400,000 423,576
0.38%, 09/11/25 400,000 393,344
0.50%, 01/21/26 250,000 246,258
The Asian Infrastructure Investment Bank
0.25%, 09/29/23 1,000,000 998,100
2.25%, 05/16/24 400,000 423,408
 
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Security
Rate, Maturity Date 		Face
Amount ($) 		Value ($)
0.50%, 05/28/25 500,000 497,125
0.50%, 01/27/26 1,000,000 983,330
    70,369,557
Total Government Related
(Cost $213,208,032)   215,324,661
Security Number
of Shares 		Value ($)
Other Investment Company 0.1% of net assets
 
Money Market Fund 0.1%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.03% (j) 1,924,917 1,924,917
Total Other Investment Company
(Cost $1,924,917)   1,924,917
* Supranational bonds represent the debt of international organizations or institutions such as the World Bank, the International Monetary Fund, regional multilateral development banks and others.
(a) The effective maturity may be shorter than the final maturity shown because of the possibility of interim principal payments and prepayments or as the result of embedded demand features (puts or calls).
(b) Security converts to floating rate after the fixed-rate coupon period.
(c) Security or a portion of the security purchased on a delayed-delivery or when-issued basis.
(d) Issuer is affiliated with the fund’s investment adviser.
(e) Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $7,579,520 or 0.4% of net assets.
(f) Variable-rate security.
(g) Interest rate is subject to adjustments from time to time if a nationally recognized statistical rating organization downgrades (or subsequently upgrades) the debt rating assigned to the bond.
(h) All or a portion of this security is designated as collateral for delayed-delivery securities.
(i) Guaranteed by the Republic of Germany.
(j) The rate shown is the 7-day yield.
   
REIT — Real Estate Investment Trust
The fund owns corporate bonds of affiliates, The Charles Schwab Corp. and TD Ameritrade Holding Corp., since those corporate bonds are included in its index. Below is a summary of investment activities involving The Charles Schwab Corp. and TD Ameritrade Holding Corp. notes owned by the fund during the period ended February 28, 2021:
 
Value at
08/31/20 		Gross
Purchases* 		Gross
Sales 		Realized
Gains (Losses) 		Net Change
in Unrealized
Appreciation
(depreciation)
Value at
02/28/21 		Face
Amount at
02/28/21 		Interest Income
Earned
TD Ameritrade Holding Corp., 2.95%, 04/01/22 $103,778 $106 $— $— ($1,425) $102,459 100,000 $1,475
TD Ameritrade Holding Corp., 3.63%, 04/01/25 168,864 (1,280) — — (2,405) 165,179 150,000 2,719
The Charles Schwab Corp., 2.65%, 01/25/23 79,061 (270) — — (593) 78,198 75,000 994
The Charles Schwab Corp., 3.55%, 02/01/24 109,804 (1,193) — — 273 108,884 100,000 1,775
The Charles Schwab Corp., 3.00%, 03/10/25 — 108,841 — — (1,158) 107,683 100,000 1,217
The Charles Schwab Corp., 4.20%, 03/24/25 232,365 (2,262) — — (4,871) 225,232 200,000 4,200
The Charles Schwab Corp., 3.85%, 05/21/25 171,406 (2,107) — — (1,516) 167,783 150,000 2,887
Total $865,278 $101,835 $— $— ($11,695) $955,418   $15,267
* Amount includes amortization of premiums and/or accretion of discounts.
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Schwab Short-Term Bond Index Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Corporates 1 $— $539,655,324 $— $539,655,324  
Treasuries — 1,286,784,612 — 1,286,784,612  
Government Related1 — 215,324,661 — 215,324,661  
Other Investment Company1 1,924,917 — — 1,924,917  
Total $1,924,917 $2,041,764,597 $— $2,043,689,514  
1 As categorized in Portfolio Holdings.
Fund investments in mutual funds are classified as Level 1, without consideration to the classification level of the underlying securities held by the mutual funds, which could be Level 1, Level 2 or Level 3.
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Schwab Short-Term Bond Index Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in affiliated issuers, at value (cost $938,252)   $955,418
Investments in unaffiliated issuers, at value (cost $2,018,509,498)   2,042,734,096
Cash   384,402
Receivables:    
Investments sold   112,841,107
Interest   9,379,976
Fund shares sold   5,306,568
Income from securities on loan   276
Dividends + 48
Total assets   2,171,601,891
Liabilities
Payables:    
Investments bought   112,121,972
Investments bought — delayed-delivery   1,545,553
Investment adviser fees   95,338
Fund shares redeemed   5,088,418
Distributions to shareholders + 526,726
Total liabilities   119,378,007
Net Assets
Total assets   2,171,601,891
Total liabilities – 119,378,007
Net assets   $2,052,223,884
Net Assets by Source    
Capital received from investors   2,025,246,064
Total distributable earnings   26,977,820
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$2,052,223,884   199,252,092   $10.30
         
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Schwab Short-Term Bond Index Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income
Interest received from affiliated issuers   $15,267
Interest received from unaffiliated issuers   10,630,393
Dividends received from unaffiliated issuers   1,213
Securities on loan, net + 1,685
Total investment income   10,648,558
Expenses
Investment adviser fees   572,284
Total expenses – 572,284
Net investment income   10,076,274
Realized and Unrealized Gains (Losses)
Net realized gains on unaffiliated issuers   4,032,658
Net change in unrealized appreciation (depreciation) on affiliated issuers   (11,695)
Net change in unrealized appreciation (depreciation) on unaffiliated issuers + (15,733,501)
Net change in unrealized appreciation (depreciation) + (15,745,196)
Net realized and unrealized losses   (11,712,538)
Decrease in net assets resulting from operations   ($1,636,264)
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Schwab Short-Term Bond Index Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations  
  9/1/20-2/28/21 9/1/19-8/31/20
Net investment income   $10,076,274 $21,005,690
Net realized gains   4,032,658 7,072,187
Net change in unrealized appreciation (depreciation) + (15,745,196) 20,990,527
Increase (decrease) in net assets from operations   (1,636,264) 49,068,404
Distributions to Shareholders  
Total distributions   ($15,453,089) ($21,004,922)
    
Transactions in Fund Shares      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES VALUE SHARES VALUE
Shares sold   80,777,565 $836,666,650 120,290,629 $1,236,682,012
Shares reinvested   1,029,481 10,655,297 1,412,346 14,453,769
Shares redeemed + (45,631,295) (472,347,349) (45,172,807) (461,824,744)
Net transactions in fund shares   36,175,751 $374,974,598 76,530,168 $789,311,037
Shares Outstanding and Net Assets      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   163,076,341 $1,694,338,639 86,546,173 $876,964,120
Total increase + 36,175,751 357,885,245 76,530,168 817,374,519
End of period   199,252,092 $2,052,223,884 163,076,341 $1,694,338,639
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Schwab Taxable Bond Funds  |  Semiannual Report
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Schwab Taxable Bond Funds
Financial Notes, unaudited
1. Business Structure of the Funds:
Each of the funds in this report is a series of Schwab Investments (the trust), a no-load, open-end management investment company. The trust is organized as a Massachusetts business trust and is registered under the Investment Company Act of 1940, as amended (the 1940 Act). The list below shows all the funds in the trust as of the end of the period, including the funds discussed in this report, which are highlighted:
SCHWAB INVESTMENTS (ORGANIZED OCTOBER 26, 1990)
Schwab Treasury Inflation Protected Securities Index Fund Schwab California Tax-Free Bond Fund
Schwab U.S. Aggregate Bond Index Fund Schwab High Yield Municipal Bond Fund
Schwab Short-Term Bond Index Fund Schwab 1000 Index® Fund
Schwab Tax-Free Bond Fund Schwab Global Real Estate Fund
Each fund in this report offers one share class. Shares are bought and sold at closing net asset value per share (NAV), which is the price for all outstanding shares of a fund. Each share has a par value of 1/1,000 of a cent, and the funds’ Board of Trustees (the Board) may authorize the issuance of as many shares as necessary.
Each fund maintains its own account for purposes of holding assets and accounting, and is considered a separate entity for tax purposes. Within its account, each fund may also keep certain assets in segregated accounts, as required by securities law.
    
2. Significant Accounting Policies:
The following is a summary of the significant accounting policies the funds use in their preparation of financial statements. The funds follow the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 Financial Services — Investment Companies. The accounting policies are in conformity with accounting principles generally accepted in the United States of America (GAAP).
The funds invest in certain mutual funds and exchange-traded funds (ETFs) referred to as “underlying funds”. For more information about the underlying funds’ operations and policies, please refer to those funds’ semiannual and annual reports, which are filed with the U.S. Securities and Exchange Commission (SEC) and are available on the SEC’s website at www.sec.gov.
(a) Security Valuation:
Under procedures approved by the Board, the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair value. Among other things, these procedures allow the funds to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
The funds value the securities in their portfolios every business day. The funds use the following policies to value various types of securities:
•   Bonds and notes: Fixed income investments are generally valued using an evaluated price at the mid-point of the bid/ask spread provided by an approved, independent pricing service (mid-price). To determine the evaluated mid-price, a pricing service may use a variety of techniques and inputs. Techniques may include, but are not limited to, spread models that calculate an investment-specific price relative to a benchmark or yield curve models that establish a price based on yields of comparable bonds along a range of maturities. Inputs differ by valuation approach and technique, as appropriate, and examples of inputs may include, but are not limited to, interest rates, market conditions, comparable bonds, market trades, projected cash flows, credit reviews and issuer news.
•   Securities for which no quoted value is available: The Board has adopted procedures to fair value each fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. Each fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee
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Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the funds pursuant to the valuation procedures.
•   Short-term securities (60 days or less to maturity): Securities with remaining maturities of 60 days or less are generally valued at an evaluated price; however, such securities may be valued at their amortized cost if it approximates the security’s fair value.
•   Mutual funds: Mutual funds are valued at their respective NAVs.
In accordance with the authoritative guidance on fair value measurements and disclosures under GAAP, the funds disclose the fair value of their investments in a hierarchy that prioritizes the significant inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the funds determine that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
The three levels of the fair value hierarchy are as follows:
•   Level 1—quoted prices in active markets for identical securities—Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and mutual funds. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices, without consideration to the classification level of the underlying securities held by an underlying fund.
•   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)—Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations.
•   Level 3—significant unobservable inputs (including the funds’ own assumptions in determining the fair value of investments)—Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the funds use one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the funds in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the funds in the absence of market information. Assumptions used by the funds due to the lack of observable inputs may significantly impact the resulting fair value and therefore the funds’ results of operations.
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The levels associated with valuing the funds’ investments as of February 28, 2021 are disclosed in the Portfolio Holdings.
(b) Accounting Policies for certain Portfolio Investments (if held):
Inflation-Protected Securities: The Schwab Treasury Inflation Protected Securities Index Fund invests in inflation-protected securities. Inflation-protected securities are fixed-income securities whose principal value is periodically adjusted to the rate of inflation. The interest rate on these instruments is generally fixed at issuance at a rate lower than typical bonds or notes. Over the life of an inflation-indexed instrument, however, interest will be paid based on a principal value, which is adjusted for any inflation or deflation. Any increase or decrease in the principal amount of an inflation-protected security will be included as an addition or reduction to interest income on the Statement of Operations, even though investors do not receive their principal until maturity.
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Schwab Taxable Bond Funds
Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
TBA Commitments: The funds may enter into “TBA” (to-be-announced) commitments to purchase or sell securities for a fixed price at a future date. Payments or proceeds of TBA commitments are not delivered until the contractual settlement date. Unsettled TBA commitments are valued at the current fair value generally according to the procedures described above in the Security Valuation section. The funds’ use of TBA commitments may cause the funds to experience higher portfolio turnover and higher transaction costs.
Agency MBS and TBA Transactions: The Treasury Market Practices Group (TMPG) of the Federal Reserve Bank of New York recommended the margining of certain forward-settling Agency MBS transactions to reduce counterparty credit risk. The TMPG recommended market participants exchange two-way variation margin on a regular basis. The Schwab U.S. Aggregate Bond Index Fund posts and receives variation margin with certain counterparties in instances where the unrealized gain/loss on such transactions exceeds certain pre-determined thresholds. The variation margin, if any, is disclosed on the Statement of Assets and Liabilities.
Delayed Delivery Transactions and When-Issued Securities: During the period, certain funds transacted in securities on a delayed delivery or when-issued basis. Payment and delivery may take place after the customary settlement period for that security. The price of the underlying securities and the date when the securities will be delivered and paid for are fixed at the time the transaction is negotiated. The securities purchased on a delayed delivery or when-issued basis are identified as such in the funds’ Portfolio Holdings. The funds may receive compensation for interest forgone in the purchase of a delayed delivery or when-issued security. With respect to purchase commitments, the funds identify securities as segregated in their records with a value at least equal to the amount of the commitment. Losses may arise due to changes in the value of the underlying securities or if the counterparty does not perform under the contract’s terms, or if the issuer does not issue the securities due to political, economic, or other factors.
Securities Lending: Under the trust’s Securities Lending Program, a fund (lender) may make short-term loans of its securities to another party (borrower) to generate additional revenue for the fund. The borrower pledges collateral in the form of cash, securities issued or fully guaranteed by the U.S. government or foreign governments, or letters of credit issued by a bank. Collateral at the individual loan level is required to be maintained on a daily marked-to-market basis in an amount at least equal to the current value of the securities loaned. The lending agent provides a fund with indemnification against borrower default (the borrower fails to return the security on loan) reducing the risk of loss as a result of default. The cash collateral of securities loaned is currently invested in money market portfolios operating pursuant to Rule 2a-7 under the 1940 Act. Each fund bears the risk of loss with respect to the investment of cash collateral. The terms of the securities lending agreement allow the funds or the lending agent to terminate any loan at any given time and the securities must be returned within the earlier of the standard trade settlement period or the specified time period under the relevant securities lending agreement. Securities lending income, as disclosed in each fund’s Statement of Operations, if applicable, represents the income earned from the investment of the cash collateral plus any fees paid by borrowers, less the fees paid to the lending agent and broker rebates which are subject to adjustments pursuant to the securities lending agreement. On loans not collateralized by cash, a fee is received from the borrower, and is allocated between a fund and the lending agent. The aggregate fair value of securities loaned will not at any time exceed one-third of the total assets of a fund, including collateral received from the loan. Securities lending fees paid to the unaffiliated lending agents start at 10% of gross lending revenue, with subsequent breakpoints to a low of 7.5%. In this context, the gross lending revenue equals the income received from the investment of cash collateral and fees paid by borrowers less any rebates paid to the borrowers. Any expenses charged by the cash collateral fund are in addition to these fees. All remaining revenue is retained by the fund, as applicable. No portion of lending revenue is paid to or retained by Charles Schwab Investment Management, Inc. (CSIM or the investment adviser) or any affiliate of CSIM.
As of February 28, 2021, the Schwab U.S. Aggregate Bond Index Fund had securities on loan, all of which were classified as corporate bonds. The value of the securities on loan and the related collateral as of February 28, 2021, are disclosed in the fund’s Portfolio Holdings and Statement of Assets and Liabilities.
(c) Security Transactions:
Security transactions are recorded as of the date the order to buy or sell the security is executed. Realized gains and losses from security transactions are based on the identified costs of the securities involved. Gains and losses from paydowns on mortgage and asset backed securities are recorded as adjustments to interest income.
(d) Investment Income:
Interest income is recorded as it accrues. If a fund buys a debt security at a discount (less than face value) or a premium (more than face value), it amortizes premiums and accretes discounts from the purchase settlement date up to maturity. The fund then increases (in the case of discounts) or reduces (in the case of premiums) the income it records from the security. Certain securities
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Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
may be callable (meaning that the issuer has the option to pay it off before its maturity date). The fund amortizes the premium and accretes the discount on each callable security to the security’s maturity date, except when the purchase price is higher than the call price at the security’s call date (in which case the premium is amortized to the call date). Any increase or decrease in the principal amount of an inflation-protected security is included as an addition or reduction to interest income on the Statement of Operations; such adjustments may have a significant impact on a fund’s distributions. Dividends from underlying funds are recorded on the date they are effective (the ex-dividend date). Any distributions from underlying funds are recorded in accordance with the character of the distributions as designated by the underlying funds.
(e) Expenses:
Pursuant to an Amended and Restated Investment Advisory Agreement between CSIM and the Schwab Treasury Inflation Protected Securities Index Fund and an Investment Advisory Agreement between CSIM and the Schwab U.S. Aggregate Bond Index Fund and Schwab Short-Term Bond Index Fund, CSIM pays the operating expenses of the funds, excluding acquired fund fees and expenses, taxes, any brokerage expenses, and extraordinary or non-routine expenses. Taxes, any brokerage expenses and extraordinary or non-routine expenses that are specific to a fund are charged directly to the fund.
(f) Agency Mortgage-Backed Securities Charges:
Due to market conditions or other reasons, delivery of U.S. Treasury securities, agency debt and agency mortgage-backed securities may not occur on a timely basis. In these instances, a fund may fail to receive a security purchased causing the fund to be unable to deliver a security sold. The TMPG recommends voluntary fail charges when securities are not delivered as agreed by the parties. These fails charges are included in net realized gains (losses) on each fund’s Statement of Operations, if any.
(g) Distributions to Shareholders:
The funds, except for the Schwab Treasury Inflation Protected Securities Index Fund, declare distributions from net investment income, if any, every day they are open for business. These distributions, which are substantially equal to a fund’s net investment income for that day, are paid out to shareholders once a month. The Schwab Treasury Inflation Protected Securities Index Fund declares and pays distributions from net investment income, if any, quarterly. All the funds make distributions from net realized capital gains, if any, once a year.
(h) Accounting Estimates:
The accounting policies described in this report conform to GAAP. Notwithstanding this, shareholders should understand that in order to follow these principles, fund management has to make estimates and assumptions that affect the information reported in the financial statements. It’s possible that once the results are known, they may turn out to be different from these estimates and these differences may be material.
(i) Federal Income Taxes:
The funds intend to meet federal income and excise tax requirements for regulated investment companies under subchapter M of the Internal Revenue Code, as amended. Accordingly, the funds distribute substantially all of their net investment income and net realized capital gains, if any, to their respective shareholders each year. As long as a fund meets the tax requirements, it is not required to pay federal income tax.
(j) Indemnification:
Under the funds’ organizational documents, the officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the funds. In addition, in the normal course of business the funds enter into contracts with their vendors and others that provide general indemnifications. The funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the funds. However, based on experience, the funds expect the risk of loss attributable to these arrangements to be remote.
(k) Recent Accounting Standards:
In March 2020, the FASB issued Accounting Standards Update “Facilitation of the Effects of Reference Rate Reform on Financial Reporting (Topic 848)” (ASU 2020-04), which provides optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the London Interbank Offered Rate (LIBOR) and other interbank offered
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Schwab Taxable Bond Funds
Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
based reference rates at the end of 2021. The temporary relief provided is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2022. At this time, management believes the adoption of ASU 2020-04 will not have a material impact to the financial statements.
    
3. Risk Factors:
The funds invest mainly in corporate bonds, mortgage-backed and asset-backed securities, government or municipal obligations, and other debt securities. These investments may involve certain risks, as discussed in the funds’ prospectus, including, but not limited to, those described below:
Market Risk. Financial markets rise and fall in response to a variety of factors, sometimes rapidly and unpredictably. Markets may be impacted by economic, political, regulatory and other conditions, including economic sanctions and other government actions. In addition, the occurrence of global events, such as war, terrorism, environmental disasters, natural disasters and epidemics may also negatively affect the financial markets. As with any investment whose performance is tied to these markets, the value of an investment in a fund will fluctuate, which means that an investor could lose money over short or long periods.
Investment Style Risk. The funds are index funds. Therefore, they follow the securities included in their respective index during upturns as well as downturns. Because of their indexing strategies, the funds do not take steps to reduce market exposure or to lessen the effects of a declining market. In addition, because of a fund’s expenses, the fund’s performance may be below that of its index. Errors relating to the index may occur from time to time and may not be identified by the index provider for a period of time. In addition, market disruptions could cause delays in the index’s rebalancing schedule. Such errors and/or market disruptions may result in losses for the fund.
Interest Rate Risk. Interest rates rise and fall over time. As with any investment whose yield reflects current interest rates, a fund’s yield will change over time. During periods when interest rates are low, a fund’s yield (and total return) also may be low. Changes in interest rates also may affect a fund’s share price: a rise in interest rates generally causes a fund’s share price to fall. The longer a fund’s portfolio duration, the more sensitive to interest rate movements its share price is likely to be. Also, a change in a central bank’s monetary policy or economic conditions, among other things, may result in a change in interest rates, which could have sudden and unpredictable effects on the markets and significantly impact the value of fixed-income securities in which a fund invests.
Sampling Index Tracking Risk. An index fund may not fully replicate its respective index and may hold securities not included in the respective index. As a result, the fund is subject to the risk that the investment adviser’s investment management strategy, the implementation of which is subject to a number of constraints, may not produce the intended results. If the fund utilizes a sampling approach it may not track the return of the index as well as it would if the fund purchased all of the securities in the index.
Tracking Error Risk. As index funds, each fund seeks to track the performance of its respective index, although it may not be successful in doing so. The divergence between the performance of a fund and the index, positive or negative, is called “tracking error.” Tracking error can be caused by many factors and it may be significant.
Credit Risk. A decline in the credit quality of an issuer or guarantor or liquidity provider of a portfolio investment or a counterparty could cause the funds to lose money or underperform. The funds could lose money if, due to a decline in credit quality, the issuer or guarantor or liquidity provider of a portfolio investment or a counterparty fails to make, or is perceived as being unable or unwilling to make, timely principal or interest payments or otherwise honor its obligations.
Liquidity Risk. The funds may be unable to sell certain securities, such as illiquid securities, readily at a favorable time or price, or the funds may have to sell them at a loss.
Concentration Risk. To the extent that a fund’s or the index’s portfolio is concentrated in the securities of issuers in a particular market, industry, group of industries, sector or asset class, the fund may be adversely affected by the performance of those securities, may be subject to increased price volatility and may be more vulnerable to adverse economic, market, political or regulatory occurrences affecting that market, industry, group of industries, sector or asset class.
Prepayment and Extension Risk. Certain fixed-income securities are subject to the risk that the securities may be paid off earlier or later than expected, especially during periods of falling or rising interest rates, respectively. Prepayments of obligations could cause the fund to forgo future interest income on the portion of the security’s principal repaid early and force the fund to reinvest that money at the lower prevailing interest rates. Extensions of obligations could cause the fund to exhibit additional volatility and hold securities paying lower-than-market rates of interest. Either case could hurt the fund’s performance.
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Financial Notes, unaudited (continued)
3. Risk Factors (continued):
Non-U.S. Issuer Risk. Certain funds may invest in U.S.-registered, dollar-denominated bonds of non-U.S. corporations, governments, agencies and supra-national entities. A fund’s investments in bonds of non-U.S. issuers may involve certain risks that are greater than those associated with investments in securities of U.S. issuers. These include risks of adverse changes in foreign economic, political, regulatory and other conditions; the imposition of economic sanctions or other government restrictions; differing accounting, auditing, financial reporting and legal standards and practices; differing securities market structures; and higher transaction costs. These risks may be heightened in connection with bonds issued by non-U.S. corporations and entities in emerging markets.
Mortgage-Backed and Mortgage Pass-Through Securities Risk. Mortgage-backed securities tend to increase in value less than other debt securities when interest rates decline, but are subject to similar or greater risk of decline in market value during periods of rising interest rates. Certain of the mortgage-backed securities in which the fund may invest are issued or guaranteed by agencies or instrumentalities of the U.S. government but are not backed by the full faith and credit of the U.S. government. There can be no assurance that the U.S. government would provide financial support to its agencies or instrumentalities where it was not obligated to do so which can cause the fund to lose money or underperform. The risks of investing in mortgage-backed securities include, among others, interest rate risk, credit risk, prepayment risk and extension risk. Transactions in mortgage pass-through securities often occur through TBA transactions. The fund could lose money or underperform if a TBA counterparty defaults or goes bankrupt.
Mortgage Dollar Rolls Risk. Mortgage dollar rolls are transactions in which a fund sells mortgage-backed securities to a dealer and simultaneously agrees to repurchase similar securities in the future at a predetermined price. A fund’s mortgage dollar rolls could lose money if the price of the mortgage-backed securities sold falls below the agreed upon repurchase price, or if the counterparty is unable to honor the agreement.
Derivatives Risk. Certain funds may invest in derivative instruments. The principal types of derivatives used by the funds are futures contracts. A futures contract is an agreement to buy or sell a financial instrument at a specific price on a specific day. A fund’s use of derivatives that are subject to regulation by the Commodity Futures Trading Commission (CFTC) could cause a fund to become a commodity pool, which would require the fund to comply with certain CFTC rules.
A fund’s use of derivative instruments involves risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments. Certain of these risks, such as market risk, credit risk, liquidity risk and leverage risk, are discussed elsewhere in this section. A fund’s use of derivatives is also subject to lack of availability risk, valuation risk, correlation risk and tax risk. Lack of availability risk is the risk that suitable derivative transactions may not be available in all circumstances for risk management or other purposes. Valuation risk is the risk that a particular derivative may be valued incorrectly. Correlation risk is the risk that changes in the value of the derivative may not correlate perfectly with the underlying asset, rate or index. Tax risk is the risk that the use of derivatives may cause a fund to realize higher amounts of short-term capital gains. A fund’s use of derivatives could reduce the fund’s performance, increase the fund’s volatility, and cause the fund to lose more than the initial amount invested.
Securities Lending Risk. Securities lending involves the risk of loss of rights in, or delay in recovery of, the loaned securities if the borrower fails to return the security loaned or becomes insolvent.
Inflation-Protected Security Risk. The value of inflation-protected securities, including TIPS, generally will fluctuate in response to changes in “real” interest rates, generally decreasing when real interest rates rise and increasing when real interest rates fall. Real interest rates represent nominal (or stated) interest rates reduced by the expected impact of inflation. In addition, interest payments on inflation-indexed securities will generally vary up or down along with the rate of inflation.
Leverage Risk. Certain fund transactions, such as derivatives transactions, TBA transactions and mortgage dollar rolls, may give rise to a form of leverage and may expose the funds to greater risk. Leverage tends to magnify the effect of any decrease or increase in the value of a fund’s portfolio securities. The use of leverage may cause a fund to liquidate portfolio positions when it would not be advantageous to do so in order to satisfy its obligations.
Money Market Fund Risk. The funds may invest in underlying money market funds that either seek to maintain a stable $1.00 net asset value (“stable share price money market funds”) or that have a share price that fluctuates (“variable share price money market funds”). Although an underlying stable share price money market fund seeks to maintain a stable $1.00 net asset value, it is possible to lose money by investing in such a money market fund. Because the share price of an underlying variable share price money market fund will fluctuate, when a fund sells the shares it owns they may be worth more or less than what the fund originally paid for them. In addition, neither type of money market fund is designed to offer capital appreciation. Certain underlying money market funds may impose a fee upon the sale of shares or may temporarily suspend the ability to sell shares if such fund’s liquidity falls below required minimums.
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Financial Notes, unaudited (continued)
3. Risk Factors (continued):
Portfolio Turnover Risk (Schwab U.S. Aggregate Bond Index Fund only). A fund may engage in frequent trading of its portfolio securities in connection with its tracking of the index, primarily due to the fund rolling over its positions in TBAs as it tracks the portion of the index represented by mortgage-backed securities. A higher portfolio turnover rate may result in increased transaction costs, which may lower a fund’s performance. A higher portfolio turnover rate can also result in an increase in taxable capital gains distributions to a fund’s shareholders.
Please refer to the funds’ prospectuses for a more complete description of the principal risks of investing in the funds.
    
4. Affiliates and Affiliated Transactions:
Investment Adviser
CSIM, a wholly owned subsidiary of The Charles Schwab Corporation, serves as each fund’s investment adviser and administrator pursuant to an Advisory Agreement between it and the trust.
For its advisory and administrative services to the funds, CSIM is entitled to receive an annual fee, payable monthly, based on each fund’s average daily net assets as follows:
Schwab
Treasury Inflation
Protected Securities
Index Fund 		Schwab
U.S. Aggregate Bond
Index Fund 		Schwab
Short-Term Bond
Index Fund
0.05% 0.04% 0.06%
Investments from Affiliates
Certain funds in the Fund Complex (for definition refer to Trustees and Officers section) may own shares of other funds in the Fund Complex. The table below reflects the percentage of shares of each fund in this report that are owned by other funds in the Fund Complex as of February 28, 2021, as applicable:
  Underlying Funds
  Schwab
Treasury Inflation
Protected Securities
Index Fund 		Schwab
U.S. Aggregate Bond
Index Fund 		Schwab
Short-Term Bond
Index Fund 		     
Schwab MarketTrack Growth Portfolio —% 2.7% —%      
Schwab MarketTrack Balanced Portfolio —% 4.0% 0.3%      
Schwab MarketTrack Conservative Portfolio —% 3.2% 0.1%      
Schwab Target 2010 Fund 0.2% 0.3% 0.3%      
Schwab Target 2015 Fund 0.3% 0.4% 0.4%      
Schwab Target 2020 Fund 1.8% 2.5% 2.3%      
Schwab Target 2025 Fund 0.9% 2.1% 1.9%      
Schwab Target 2030 Fund 0.5% 2.6% 2.3%      
Schwab Target 2035 Fund —% 0.9% 0.8%      
Schwab Target 2040 Fund —% 1.3% 1.2%      
Schwab Target 2045 Fund —% 0.2% 0.1%      
Schwab Target 2050 Fund —% 0.1% 0.1%      
Schwab Target 2055 Fund —% 0.0%* 0.0%*      
Schwab Target 2060 Fund —% 0.0%* 0.0%*      
Schwab Target 2065 Fund —% 0.0%* 0.0%*      
Schwab Monthly Income Fund — Moderate Payout —% 0.4% —%      
Schwab Monthly Income Fund — Enhanced Payout —% 1.2% —%      
Schwab Monthly Income Fund — Maximum Payout —% 1.8% —%      
Schwab Balanced Fund —% 4.8% —%      
* Less than 0.05%.
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Financial Notes, unaudited (continued)
4. Affiliates and Affiliated Transactions (continued):
Interfund Borrowing and Lending
Pursuant to an exemptive order issued by the SEC, the funds may enter into interfund borrowing and lending transactions with other funds in the Fund Complex. All loans are for temporary or emergency purposes and the interest rate to be charged will be the average of the overnight repurchase agreement rate and the short-term bank loan rate. All loans are subject to numerous conditions designed to ensure fair and equitable treatment of all participating funds. The interfund lending facility is subject to the oversight and periodic review by the Board. The funds had no interfund borrowing or lending activity during the period.
    
5. Board of Trustees:
The Board may include people who are officers and/or directors of CSIM or its affiliates. Federal securities law limits the percentage of such “interested persons” who may serve on a trust’s board, and the trust was in compliance with these limitations throughout the report period. The trust did not pay any of these interested persons for their services as trustees. The independent trustees are paid by CSIM. For more information regarding the trustees, please refer to the Trustees and Officers table at the end of this report.
    
6. Borrowing from Banks:
During the period, the funds were participants with other funds in the Fund Complex in a joint, syndicated, committed $750 million line of credit (the Syndicated Credit Facility), which matured on October 1, 2020. On October 1, 2020, the Syndicated Credit Facility was amended to run for a new 364 day period with a line of credit of $850 million, maturing on September 30, 2021. Under the terms of the Syndicated Credit Facility, in addition to CSIM paying the interest charged on any borrowings by a fund, CSIM paid a commitment fee of 0.15% per annum on the funds’ proportionate share of the unused portion of the Syndicated Credit Facility.
During the period, the funds were participants with other funds in the Fund Complex in a joint, unsecured, uncommitted $500 million line of credit (the Uncommitted Credit Facility), with State Street Bank and Trust Company, which was scheduled to mature on November 27, 2020. However, on October 1, 2020, the Uncommitted Credit Facility was amended to run for a new 364 day period with a line of credit of $400 million, maturing on September 30, 2021. Under the terms of the Uncommitted Credit Facility, CSIM pays interest on the amount a fund borrows. There were no borrowings from either line of credit during the period.
All of the funds also have access to custodian overdraft facilities. The funds may have utilized the overdraft facility and incurred an interest expense, which is paid by CSIM. The interest expense is determined based on a negotiated rate above the current Federal Funds Rate.
    
7. Purchases and Sales/Maturities of Investment Securities:
For the period ended February 28, 2021, purchases and sales/maturities of securities (excluding short-term obligations) were as follows:
  Purchases of Long-Term
U.S. Government
Securities* 		Purchases of Other
Long-Term Securities 		Total Purchases of
Long-Term Securities
Schwab Treasury Inflation Protected Securities Index Fund $612,853,347 $— $612,853,347
Schwab U.S. Aggregate Bond Index Fund 1,875,161,703 244,117,337 2,119,279,040
Schwab Short-Term Bond Index Fund 803,632,332 195,767,765 999,400,097
  Sales/Maturities of
Long-Term U.S. Government
Securities* 		Sales/Maturities of
Other Long-Term Securities 		Total Sales/Maturities of
Long-Term Securities
Schwab Treasury Inflation Protected Securities Index Fund $172,213,629 $— $172,213,629
Schwab U.S. Aggregate Bond Index Fund 1,438,567,180 74,458,924 1,513,026,104
Schwab Short-Term Bond Index Fund 548,228,228 75,722,817 623,951,045
* Includes securities guaranteed by U.S. Government Agencies.
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Financial Notes, unaudited (continued)
8. Federal Income Taxes:
As of February 28, 2021, the tax basis cost of the funds’ investments and gross unrealized appreciation and depreciation were as follows:
  Schwab
Treasury Inflation
Protected Securities
Index Fund 		  Schwab
U.S. Aggregate
Bond Index Fund 		  Schwab
Short-Term Bond
Index Fund
Tax cost $1,751,581,421   $5,139,208,604   $2,019,673,810
Gross unrealized appreciation $111,659,805   $167,232,454   $28,263,543
Gross unrealized depreciation (2,430,841)   (38,290,380)   (4,247,839)
Net unrealized appreciation (depreciation) $109,228,964   $128,942,074   $24,015,704
Capital loss carryforwards may be used to offset future realized capital gains for federal income tax purposes. As of August 31, 2020, the funds had no capital loss carryforwards available to offset future net capital gains.
For the fiscal year ended August 31, 2020, the funds had capital loss carryforwards utilized as follows:
  Schwab
Treasury Inflation
Protected Securities
Index Fund 		Schwab
U.S. Aggregate
Bond Index Fund 		Schwab
Short-Term Bond
Index Fund
Capital loss carryforwards utilized $1,025,834 $13,995,864 $2,772,420
The tax-basis components of distributions and components of distributable earnings on a tax basis are finalized at fiscal year-end; accordingly, tax basis balances have not been determined as of February 28, 2021. The tax-basis components of distributions paid during the fiscal year ended August 31, 2020, were as follows:
  Schwab
Treasury Inflation
Protected Securities
Index Fund
 Schwab U.S.
Aggregate
Bond Index
Fund
 Schwab
Short-Term Bond
Index Fund
Ordinary income $14,928,816 $93,281,965 $21,004,922
As of August 31, 2020, management has reviewed the tax positions for open periods (for federal purposes, three years from the date of filing and for state purposes, four years from the date of filing) as applicable to the funds, and has determined that no provision for income tax is required in the funds’ financial statements. The funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the fiscal year ended August 31, 2020, the funds did not incur any interest or penalties.
    
9. Subsequent Events:
Management has determined there are no subsequent events or transactions through the date the financial statements were issued that would have materially impacted the financial statements as presented.
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Liquidity Risk Management Program  (Unaudited)
The Funds have adopted and implemented a liquidity risk management program (the “program”) as required by Rule 22e-4 under the Investment Company Act of 1940, as amended. The Funds’ Board of Trustees (the “Board”) has designated the Funds’ investment adviser, Charles Schwab Investment Management, Inc. (“CSIM”) as the administrator of the program. Personnel of CSIM or its affiliates conduct the day-to-day operation of the program.
Under the program, CSIM manages a Fund’s liquidity risk, which is the risk that the Fund could not meet shareholder redemption requests without significant dilution of remaining shareholders’ interests in the Fund. The program is reasonably designed to assess and manage a Fund’s liquidity risk, taking into consideration the Fund’s investment strategy and the liquidity of its portfolio investments during normal and reasonably foreseeable stressed conditions; its historical redemption history and shareholder concentrations; and its cash holdings and access to other funding sources, including the custodian overdraft facility and lines of credit. CSIM’s process of determining the degree of liquidity of each Fund’s investments is supported by third-party liquidity assessment vendors.
The Funds’ Board reviewed a report at its meeting held on September 22, 2020 prepared by CSIM regarding the operation and effectiveness of the program for the period June 1, 2019, through May 31, 2020. No significant liquidity events impacting any of the Funds were noted in the report. In addition, CSIM provided its assessment that the program had been operating effectively in managing each Fund’s liquidity risk.
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Trustees and Officers
The tables below give information about the trustees and officers of Schwab Investments, which includes the funds covered in this report. The “Fund Complex” includes The Charles Schwab Family of Funds, Schwab Capital Trust, Schwab Investments, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust. The Fund Complex includes 103 funds.
The address for all trustees and officers is 211 Main Street, San Francisco, CA 94105. You can find more information about the trustees and officers in the funds’ Statement of Additional Information, which is available free by calling 1-877-824-5615.
Independent Trustees
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Robert W. Burns
1959
Trustee
(Trustee of Schwab Strategic Trust since 2009; The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2016) 		Retired/Private Investor (Jan. 2009 – present). Formerly, Managing Director, Pacific Investment Management Company, LLC (PIMCO) (investment management firm) and President, PIMCO Funds. 103 None
John F. Cogan
1947
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust and Schwab Annuity Portfolios since 2008; Laudus Trust since 2010; Schwab Strategic Trust since 2016) 		Senior Fellow (Oct. 1979 – present), The Hoover Institution at Stanford University (public policy think tank); Senior Fellow (2000 – present), Stanford Institute for Economic Policy Research; Professor of Public Policy (1994 – 2015), Stanford University. 103 Director (2005 – 2020), Gilead Sciences, Inc.
Nancy F. Heller
1956
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2018) 		Retired. President and Chairman (2014 – 2016), TIAA Charitable (financial services); Senior Managing Director (2003 – 2016), TIAA (financial services). 103 None
David L. Mahoney
1954
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2011; Schwab Strategic Trust since 2016) 		Private Investor. 103 Director (2004 – present), Corcept Therapeutics Incorporated
Director (2009 – present), Adamas Pharmaceuticals, Inc.
Director (2003 – 2019), Symantec Corporation
Jane P. Moncreiff
1961
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2019) 		Consultant (2018 – present), Fulham Advisers LLC (management consulting); Chief Investment Officer (2009 – 2017), CareGroup Healthcare System, Inc. (healthcare). 103 None
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Independent Trustees (continued)
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Kiran M. Patel
1948
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2011; Schwab Strategic Trust since 2016) 		Retired. Executive Vice President and General Manager of Small Business Group (Dec. 2008 – Sept. 2013), Intuit, Inc. (financial software and services firm for consumers and small businesses). 103 Director (2008 – present), KLA-Tencor Corporation
Kimberly S. Patmore
1956
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2016) 		Consultant (2008 – present), Patmore Management Consulting (management consulting). 103 None
    
Interested Trustees
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Walter W. Bettinger II2
1960
Chairman and Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust and Schwab Annuity Portfolios since 2008; Schwab Strategic Trust since 2009; Laudus Trust since 2010) 		Director, President and Chief Executive Officer (Oct. 2008 – present), The Charles Schwab Corporation; President and Chief Executive Officer (Oct. 2008 – present) and Director (May 2008 – present), Charles Schwab & Co., Inc.; Director (Apr. 2006 – present), Charles Schwab Bank, SSB; Director (Nov. 2017 – present), Charles Schwab Premier Bank, SSB; Director (July 2019 – present), Charles Schwab Trust Bank; Director (May 2008 – present) and President and Chief Executive Officer (Aug. 2017 – present), Schwab Holdings, Inc.; Director (Oct. 2020 – present), TD Ameritrade Holding Corporation; Director (July 2016 – present), Charles Schwab Investment Management, Inc. 103 Director (2008 – present), The Charles Schwab Corporation
Joseph R. Martinetto2
1962
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2016) 		Chief Operating Officer (Feb. 2018 – present) and Senior Executive Vice President (July 2015 – Feb. 2018), The Charles Schwab Corporation; Senior Executive Vice President (July 2015 – present), Charles Schwab & Co., Inc.; Chief Financial Officer (July 2015 – Aug. 2017) and Executive Vice President and Chief Financial Officer (May 2007 – July 2015), The Charles Schwab Corporation and Charles Schwab & Co., Inc.; Director (May 2007 – present), Charles Schwab & Co., Inc.; Director (Apr. 2010 – present) and Chief Executive Officer (July 2013 – Apr. 2015), Charles Schwab Bank, SSB; Director (Nov. 2017 – present), Charles Schwab Premier Bank, SSB; Director (May 2007 – present), Chief Financial Officer (May 2007 – Aug. 2017), Senior Executive Vice President (Feb. 2016 – present), and Executive Vice President (May 2007 – Feb. 2016), Schwab Holdings, Inc.; Director (Oct. 2020 – present), TD Ameritrade Holding Corporation. 103 None
    
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Officers of the Trust
Name, Year of Birth, and Position(s) with the trust
(Terms of office, and length of Time Served3) 		Principal Occupations During the Past Five Years
Jonathan de St. Paer
1973
President and Chief Executive Officer
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2018) 		Director (Apr. 2019 – present), President (Oct. 2018 – present), Chief Operating Officer (Jan. 2020 – present), and Chief Executive Officer (Apr. 2019 – Nov. 2019), Charles Schwab Investment Management, Inc.; Senior Vice President (June 2020 – present) and Chief Operating Officer (Jan. 2020 – present), Charles Schwab Investment Advisory, Inc.; Chief Executive Officer (Apr. 2019 – present), President (Nov. 2018 – present) and Trustee (Apr. 2019 – Dec. 2020), Schwab Funds, Laudus Funds and Schwab ETFs; Director (Apr. 2019 – present), Charles Schwab Worldwide Funds plc and Charles Schwab Asset Management (Ireland) Limited; Senior Vice President (Apr. 2019 – present), Senior Vice President – Strategy and Product Development (CSIM) (Jan. 2014 – Mar. 2019), and Vice President (Jan. 2009 – Dec. 2013), Charles Schwab & Co., Inc.
Mark Fischer
1970
Treasurer, Chief Financial Officer and Chief Operating Officer
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2013) 		Treasurer and Chief Financial Officer (Jan. 2016 – present) and Chief Operating Officer (Dec. 2020 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Assistant Treasurer (Dec. 2013 – Dec. 2015), Schwab Funds and Laudus Funds; Assistant Treasurer (Nov. 2013 – Dec. 2015), Schwab ETFs; Chief Financial Officer (Mar. 2020 – present) and Vice President (Oct. 2013 – present), Charles Schwab Investment Management, Inc.; Executive Director (Apr. 2011 – Sept. 2013), J.P. Morgan Investor Services; Assistant Treasurer (May 2005 – Mar. 2011), Massachusetts Financial Service Investment Management.
Omar Aguilar
1970
Senior Vice President and Chief Investment Officer – Equities and Multi-Asset Strategies
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President and Chief Investment Officer (Apr. 2011 – present), Charles Schwab Investment Management, Inc.; Senior Vice President and Chief Investment Officer – Equities and Multi-Asset Strategies (June 2011 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Head of the Portfolio Management Group and Vice President of Portfolio Management (May 2009 – Apr. 2011), Financial Engines, Inc. (investment management firm); Head of Quantitative Equity (July 2004 – Jan. 2009), ING Investment Management.
Brett Wander
1961
Senior Vice President and Chief Investment Officer – Fixed Income
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President and Chief Investment Officer (Apr. 2011 – present), Charles Schwab Investment Management, Inc.; Senior Vice President and Chief Investment Officer – Fixed Income (June 2011 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Senior Managing Director and Global Head of Active Fixed-Income Strategies (Jan. 2008 – Oct. 2010), State Street Global Advisors; Director of Alpha Strategies (Apr. 2006 – Jan. 2008), Loomis, Sayles & Company (investment management firm).
David Lekich
1964
Chief Legal Officer and Secretary, Schwab Funds and Schwab ETFs
Vice President and Assistant Clerk, Laudus Funds
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President (Sept. 2011 – present) and Vice President (Mar. 2004 – Sept. 2011), Charles Schwab & Co., Inc.; Senior Vice President and Chief Counsel (Sept. 2011 – present) and Vice President (Jan. 2011 – Sept. 2011), Charles Schwab Investment Management, Inc.; Secretary (Apr. 2011 – present) and Chief Legal Officer (Dec. 2011 – present), Schwab Funds; Vice President and Assistant Clerk (Apr. 2011 – present), Laudus Funds; Secretary (May 2011 – present) and Chief Legal Officer (Nov. 2011 – present), Schwab ETFs.
Catherine MacGregor
1964
Vice President and Assistant Secretary, Schwab Funds and Schwab ETFs
Chief Legal Officer, Vice President and Clerk, Laudus Funds
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2005; Schwab Strategic Trust since 2009) 		Vice President (July 2005 – present), Charles Schwab & Co., Inc.; Vice President (Sept. 2005 – present), Charles Schwab Investment Management, Inc.; Vice President (Dec. 2005 – present) and Chief Legal Officer and Clerk (Mar. 2007 – present), Laudus Funds; Vice President (Nov. 2005 – present) and Assistant Secretary (June 2007 – present), Schwab Funds; Vice President and Assistant Secretary (Oct. 2009 – present), Schwab ETFs.
1 Each Trustee shall hold office until the election and qualification of his or her successor, or until he or she dies, resigns or is removed. The retirement policy requires that each independent trustee retire by December 31 of the year in which the Trustee turns 74 or the Trustee’s twentieth year of service as an independent trustee on any trust in the Fund Complex, whichever occurs first.
2 Mr. Bettinger and Mr. Martinetto are Interested Trustees. Mr. Bettinger is an Interested Trustee because he owns stock of The Charles Schwab Corporation (CSC), the parent company of Charles Schwab Investment Management, Inc. (CSIM), the investment adviser for the trusts in the Fund Complex, is an employee and director of Charles Schwab & Co., Inc. (CS&Co), the principal underwriter for The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust, and is a director of CSIM. Mr. Martinetto is an Interested Trustee because he owns stock of CSC and is an employee and director of CS&Co.
3 The President, Treasurer and Secretary/Clerk hold office until their respective successors are chosen and qualified or until he or she sooner dies, resigns, is removed or becomes disqualified. Each of the other officers serves at the pleasure of the Board.
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Glossary
agency discount notes  Notes issued by federal agencies—known as Government Sponsored Enterprises, or GSEs—at a discount to their value at maturity. An agency discount note is a short-term investment offering a high degree of credit quality.
Alternative Minimum Tax (AMT)  A federal income tax designed to limit the extent to which high-income taxpayers (including individuals, estates, trusts and corporations) can benefit from certain deductions and exemptions. For example, some types of income that are exempt from regular federal income tax are not exempt from the AMT.
asset allocation  The practice of dividing a portfolio among different asset classes, with each asset class assigned a particular percentage.
asset-backed securities  Bond or other debt securities that represent ownership in a pool of assets such as credit card debt.
asset class  A group of securities with similar structure and basic characteristics. Stocks, bonds and cash are the three main examples of asset classes.
average rate  The average rate of interest paid annually by the fixed-income securities in a fund or portfolio.
Bloomberg Barclays US Aggregate Bond Index An index that is a broad-based benchmark measuring the performance of the U.S. investment grade, taxable bond market, including U.S. Treasuries, government-related and corporate bonds, mortgage pass-through securities, commercial mortgage-backed securities, and asset-backed securities that are publicly available for sale in the United States. To be eligible for inclusion in the index, securities must be fixed rate, non-convertible, U.S. dollar-denominated with at least $300 million or more of outstanding face value and have one or more years remaining to maturity. The index excludes certain types of securities, including tax-exempt state and local government series bonds, structured notes embedded with swaps or other special features, private placements, floating rate securities, inflation-linked bonds and Eurobonds. The index is market capitalization weighted and the securities in the index are updated on the last business day of each month.
Bloomberg Barclays US Government/Credit 1–5 Year Index An index that is a broad-based benchmark measuring the performance of U.S. dollar-denominated U.S. Treasury bonds, government related bonds (i.e., U.S. and non-U.S. agencies, sovereign, quasi-sovereign, supranational and local authority debt) and investment grade U.S. corporate bonds that have a remaining maturity of greater than or equal to one year and less than five years. To be eligible for inclusion in the index, securities must be fixed rate, non-convertible, U.S. dollar-denominated with at least $300 million or more of outstanding face value and have a remaining maturity greater than or equal to one year and less than five years. The index excludes certain types of securities, including, bonds with equity type features (e.g., warrants, convertibles and preferreds), tax-exempt municipal securities, inflation-linked bonds, floating rate issues, strips, private placements, U.S. dollar-denominated 25 and 50 par retail bonds, structured notes and pass-through certificates. The index is market capitalization weighted and the securities in the index are updated on the last business day of each month.
Bloomberg Barclays US Treasury Inflation-Linked Bond Index (Series-L) An index which includes all publicly-issued U.S. Treasury Inflation-Protected Securities (TIPS) that have at least one year remaining to maturity, are rated investment grade and have $500 million or more of outstanding face value. The TIPS in the index must be denominated in U.S. dollars and must be fixed-rate and non-convertible. The index is market capitalization weighted and the
TIPS in the index are updated on the last business day of each month. TIPS are publicly issued, dollar denominated U.S. Government securities issued by the U.S. Treasury that have principal and interest payments linked to an official inflation measure (as measured by the Consumer Price Index, or CPI) and their payments are supported by the full faith and credit of the United States.
bond  A security representing a loan from the investor to the issuer. A bond typically pays interest at a fixed rate (the coupon rate) until a specified date (the maturity date), at which time the issuer returns the money borrowed (principal or face value) to the bondholder. Because of their structure, bonds are sometimes called “fixed income securities” or “debt securities.”
An individual bond is subject to the credit risk of the issuer. Changes in interest rates can affect a bond’s market value prior to call or maturity. There is no guarantee that a bond’s yield to call or maturity will provide a positive return over the rate of inflation.
bond fund  A bond fund is subject to the same credit, interest rate, and inflation risks as bonds. In addition, a bond fund incurs ongoing fees and expenses. A bond fund’s net asset value will fluctuate with the price of the underlying bonds and the portfolio turnover activity; return of principal is not guaranteed.
call  An early repayment of a bond’s principal by the issuer, usually done because the issuer is able to refinance its bond debt at a lower rate.
call protection  A term used in reference to a bond that cannot be called by the issuer before maturity, or at least for many years from the present date. A bond that offers call protection can more reliably be expected to provide a given yield over a given number of years than a bond that could be called (assuming both bonds are of the same credit quality).
capital gain, capital loss  The difference between the amount paid for an investment and its value at a later time. If the investment has been sold, the capital gain or loss is considered a realized gain or loss. If the investment is still held, the gain or loss is still “on paper” and is considered unrealized.
certificate of participation  A municipal bond that is repaid from an annual budget appropriation rather than being backed by the full faith and credit of the issuer.
commercial mortgage-backed securities  Bond or other debt securities that represent ownership in a pool of commercial mortgage loans.
coupon, coupon rate  The annual rate of interest paid until maturity by the issuer of a debt security.
credit-enhanced securities  Securities that are backed by the credit of an entity other than the issuer (such as a financial institution). Credit enhancements, which can equal up to 100% of the security’s value, are designed to help lower the risk of default on a security and may also make the security more liquid.
credit quality  The capacity of an issuer to make its interest and principal payments; an assessment typically rendered by an independent third-party organization.
credit risk  The risk that a bond issuer may be unable to pay interest or principal to its bondholders.
 
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discount rate  The implied rate on a debt security that does not pay interest but is bought at a discount and redeemed at face value when it matures.
duration  A measure of an individual bond’s sensitivity to interest rates, expressed in years. Calculations of duration generally take into account the bond’s yield, interest payments, maturity date and call features.
weighted average duration  A measure of the duration of all bonds in a fund’s portfolio, also expressed in years, based on the market value weighted average duration of each bond in the portfolio.
expense ratio  The amount that is taken from a mutual fund’s assets each year to cover the fund’s operating expenses. An expense ratio of 0.50% means that a fund’s expenses amount to half of one percent of its average net assets a year.
general obligation bonds  Municipal bonds that are secured by the issuer’s full faith and credit, which typically is backed by the power of the issuer to levy taxes.
interest  Payments to bondholders (usually made twice a year) as compensation for loaning the bond principal to the issuer.
interest rate risk  The risk that a bond’s value will fluctuate if market interest rates change or are expected to change. Bond prices tend to move in the opposite direction of interest rates: when interest rates rise, bond prices tend to fall.
liquidity-enhanced security  A security that when tendered is paid from funds advanced by an entity other than the issuer (such as a large financial institution). Liquidity enhancements are often used on variable-rate securities where the portfolio manager has an option to tender the securities prior to their final maturity.
market risk  Those elements of risk that are common to all securities in an asset class, and therefore cannot be significantly reduced by diversification within the asset class. Also known as “systemic risk.”
maturity  The maturity of a bond will generally be determined using a portfolio security’s final maturity date (date on which the final principal payment of a bond is scheduled to be paid); however, for securitized products, such as mortgage-backed securities and certain other asset-backed securities, maturity will be determined on an average life basis (weighted average time to receipt of all principal payments) by the investment adviser. Because pre-payment rates of individual mortgage pools vary widely, the average life of a particular pool cannot be predicted precisely. For securities with embedded demand features, such as puts or calls, either the demand date or the final maturity date will be used depending on interest rates, yields and other market conditions. The weighted average maturity (WAM) of a fund is dollar-weighted based upon the market value of a fund’s securities at the time of the calculation.
mortgage-backed securities  Bond or other debt securities that represent ownership in a pool of mortgage loans.
muni, municipal bonds, municipal securities  Debt securities issued by a state, its counties, municipalities, authorities and other subdivisions, or the territories and possessions of the United States and the District of Columbia, including their subdivisions, agencies and instrumentalities and corporations. These securities may be issued to
obtain money for various public purposes, including the construction of a wide range of public facilities such as airports, bridges, highways, housing, hospitals, mass transportation, public utilities, schools, streets, and water and sewer works.
net asset value (NAV)  The value of one share of a mutual fund. NAV is calculated by taking the fund’s total assets, subtracting liabilities, and dividing by the number of shares outstanding.
outstanding shares, shares outstanding  When speaking of a company or mutual fund, indicates all shares currently held by investors.
prepayment risk  The risk that a mortgage-backed security may be paid off early, typically because interest rates have fallen and the homeowners who hold the underlying mortgages have refinanced those mortgages at lower rates. In this type of situation, the investor who held the mortgage-backed security will usually have to settle for a lower rate when reinvesting the principal.
refunded bond  A bond for which the principal and interest payments are secured or guaranteed by cash or U.S. government securities held in an escrow account.
restricted securities  Securities that are subject to contractual restrictions on resale. These securities are often purchased in private placement transactions.
revenue bonds  Municipal bonds that are issued to finance public works projects and are secured by revenue generated by the project (such as water and sewer fees) rather than the full faith and credit of the issuer.
S&P 500 Index  An index that is designed to measure the performance of 500 leading publicly traded companies from a broad range of industries.
section 4(2)/144A securities  Securities exempt from registration under Section 4(2) of the Securities Act of 1933. These securities may be sold only to qualified institutional buyers under Securities Act Rule 144A.
taxable equivalent yield  The yield an investor would need to get from a taxable investment in order to match the yield paid by a given tax-exempt investment, once the effect of all applicable taxes is taken into account. For example, if your tax rate were 25%, a tax-exempt investment paying 4.5% would have a taxable equivalent yield for you of 6.0% (4.5% ÷ [1 – 0.25%] = 6.0%).
total return  The percentage that an investor would have earned or lost on an investment in the fund assuming dividends and distributions were reinvested.
weighted average  For mutual funds, an average that gives the same weight to each security as the security represents in the fund’s portfolio.
yield  The income paid out by an investment, expressed as a percentage of the investment’s market value.
yield to maturity  The annualized rate of return a bondholder could expect if the bond were held to maturity. In addition to interest payments, yield to maturity also factors in any difference between a bond’s current price and its principal amount, or face value.
 
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Charles Schwab Investment Management
With a straightforward lineup of core products and solutions for building the foundation of a portfolio, Charles Schwab Investment Management advocates for investors of all sizes with a steadfast focus on lowering costs and reducing unnecessary complexity. The list below shows all currently available Schwab Funds®.
Investors should carefully consider information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges and expenses before investing. Please call 1-877-824-5615 for a prospectus for any Schwab Fund. Please read the prospectus carefully before you invest. This report must be preceded or accompanied by a current prospectus.
Proxy Voting Policies, Procedures and Results
A description of the proxy voting policies and procedures used to determine how to vote proxies on behalf of the funds is available without charge, upon request, by visiting the Schwab Funds’ website at www.schwabfunds.com/schwabfunds_prospectus, the SEC’s website at www.sec.gov, or by contacting Schwab Funds at 1-877-824-5615.
Information regarding how a fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 is available, without charge, by visiting the fund’s website at www.schwabfunds.com/schwabfunds_prospectus or the SEC’s website at www.sec.gov.
    
    
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Investment Adviser
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¹ State, local, and the Federal Alternative Minimum Tax may apply. Capital gains are not exempt from Federal Taxation.
² You could lose money by investing in the Schwab Money Funds. All Schwab Money Funds with the exception of Schwab Variable Share Price Money Fund seek to preserve the value of your investment at $1.00 per share, but cannot guarantee they will do so. Because the share price of Schwab Variable Share Price Money Fund will fluctuate, when you sell your shares they may be worth more or less than what you originally paid for them. All Schwab Money Funds with the exception of Schwab Government Money Fund, Schwab Retirement Government Money Fund, Schwab U.S. Treasury Money Fund, Schwab Treasury Obligations Money Fund and Schwab Government Money Market Portfolio may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Schwab Money Funds is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Schwab Money Funds’ sponsor has no legal obligation to provide financial support to the Funds, and you should not expect that the sponsor will provide financial support to the Funds at any time.

 

         
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MFR13480-25
00258629

Semiannual Report  |  February 28, 2021
Schwab Municipal Bond Funds
Schwab Tax-Free Bond Fund
Schwab California Tax-Free Bond Fund
Schwab High Yield Municipal Bond Fund

 

         
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Fund investment adviser: Charles Schwab Investment Management, Inc. (CSIM)
Distributor: Charles Schwab & Co., Inc. (Schwab)
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
Performance at a Glance
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.
Total Returns for the 6 Months Ended February 28, 2021
Schwab Tax-Free Bond Fund (Ticker Symbol: SWNTX) 0.78%
Bloomberg Barclays Municipal 3-15 Year Blend Index 0.59%
Fund Category: Morningstar Municipal National Intermediate Bond* 1.13%
Performance Details page 7
Schwab California Tax-Free Bond Fund (Ticker Symbol: SWCAX) 0.29%
Bloomberg Barclays California Municipal 3-15 Year Blend Index -0.05%
S&P California AMT-Free Municipal Bond Index -0.01%
Fund Category: Morningstar Municipal California Intermediate/Short Bond* 0.75%
Performance Details page 8
Schwab High Yield Municipal Bond Fund (Ticker Symbol: SWHYX) 2.05% 1
Bloomberg Barclays High Yield Municipal Index 5.67%
Bloomberg Barclays Municipal Bond Index 0.86%
Fund Category: Morningstar High Yield Muni* 4.20%
Performance Details page 9
All total return figures on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized. For Schwab High Yield Municipal Bond Fund, performance data quoted does not reflect the non-recurring redemption fee of 1% that may be charged if shares are sold or exchanged within 60 days of the purchase date. If these fees were reflected, the performance quoted would be lower.
The first index listed for each fund is the fund’s primary benchmark, as shown in the prospectus. Additional indices shown are provided for comparative purposes.
For index definitions, please see the Glossary.
Expenses may have been partially absorbed by CSIM and its affiliates. Without these reductions, a fund’s total return would have been lower. Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
* Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
1 Total return for the report period presented in the table differs from the return in the Financial Highlights. The total return presented in the above table is calculated based on the NAV at which shareholder transactions were processed. The total return presented in the Financial Highlights section of the report is calculated in the same manner, but also takes into account certain adjustments that are necessary under generally accepted accounting principles required in the annual and semiannual reports.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
The Investment Environment
For the six-month reporting period ended February 28, 2021, U.S. fixed-income markets were mixed as the U.S. economy struggled with the continuing fallout from the COVID-19 pandemic. Despite persisting COVID-19 pandemic-driven stresses to the global economy—including widespread business disruptions, high unemployment, and prolonged stay-at-home orders—and the resurgence of COVID-19 cases in the fall and into the winter, markets were buoyed by the extensive emergency rescue and fiscal stimulus measures passed by governments and central banks around the world beginning in March 2020, as well as the initial distribution of COVID-19 vaccines in December 2020 and the expanded rollout in 2021. While bond yields remained relatively flat for the first four months of the reporting period, in the final two months demand waned and yields rose. For the reporting period, the Bloomberg Barclays Municipal 3-15 Year Blend Index returned 0.59% and the Bloomberg Barclays California Municipal 3-15 Year Blend Index returned -0.05%, while the Bloomberg Barclays High Yield Municipal Index returned 5.67%. For comparison to taxable bonds, the Bloomberg Barclays US Aggregate Bond Index, representing the broad U.S. bond market, returned -1.55% for the reporting period.
Bolstered by the extensive emergency rescue and fiscal stimulus measures passed by the U.S. Federal Reserve (Fed) and U.S. Congress, the U.S. economy has held up relatively well, especially given the intensity of the COVID-19 pandemic’s economic impact. After falling by an annualized rate of 31.4% in the second quarter of 2020, U.S. gross domestic product (GDP) jumped by an annualized rate of 33.4% for the third quarter of 2020, reflecting pent-up consumer demand and government support. GDP grew at an annualized rate of 4.3% for the fourth quarter of 2020. For the full year of 2020, GDP decreased by 3.5%. Unemployment skyrocketed in April 2020, but fell in subsequent months. Inflation remained well below the Fed’s traditional target of 2%, although inflation concerns rose toward the end of the reporting period when the yield on the 10-year U.S. Treasury spiked.
Central banks around the world, including the Fed, maintained the low—and for some international central banks, negative—interest rates instituted prior to, and in response to, the COVID-19 pandemic. In the U.S., the federal funds rate remained in a range of 0.00% to 0.25% throughout the reporting period. In addition, other Fed-driven emergency measures remained in effect, including large purchases of U.S. Treasuries and other securities to support smooth market function, facilitating the flow of credit to municipalities, financing for employers, consumers, and businesses, and the establishment of facilities to support credit to businesses and consumers alike. In August, the Fed announced that it was shifting its interest rate policy approach to allow inflation to rise above its previous 2% target for periods of time, even in times of rising employment.
Yield Advantage of Munis over Treasuries: For Five-Year bonds; Tax Brackets Shown are the Highest Applicable    
 
Index figures assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized. Past performance is not an indication of future results.
For index definitions, please see the Glossary.
Data source: Bloomberg L.P.
Nothing in this report represents a recommendation of a security by the investment adviser.
Management views may have changed since the report date.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
The Investment Environment (continued)
Outside the U.S., the European Central Bank held its policy rate at 0.00%, unchanged since March 2016, and maintained its asset purchase program to help counter the impact of the COVID-19 pandemic. The Bank of Japan upheld its short-term interest rate target of -0.1%, also unchanged since 2016. The Bank of England maintained its key official bank rate at 0.10% and also reiterated its commitment to its bond-buying program.
As of the beginning of the reporting period, the municipal (muni) bond market had recovered to pre-pandemic levels following plummeting demand in March 2020, demonstrating resilience. Demand rose slowly but steadily throughout most of the reporting period as investors sought yield in the extraordinarily low interest-rate environment. (Bond yields and bond prices typically move in opposite directions.) Muni bond issuers took advantage of the low interest rates to increase issuance as demand rose. However, in the final two weeks of the reporting period, as the likelihood of another stimulus package rose, demand fell and yields rose, following the movement of the 10-year U.S. Treasury, which ended the reporting period at its highest yield in more than a year.
4
Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
California State Investment Environment
California’s financial position remains strong despite record unemployment and temporary business closures throughout most of 2020 aimed at limiting the spread of the COVID-19 virus.
The state’s enacted fiscal 2021 budget (ending June 30, 2021) reflected expectations that tax revenues would sharply decline in tandem with the economy. However, updated projections reflect unanticipated tax revenue strength. Governor Newsom’s proposed budget for fiscal 2022 builds upon that strength, reversing cuts to education while replenishing reserves to almost pre-pandemic levels.
Based upon a revised budget forecast, California is estimated to generate revenues of $158 billion in the fiscal year ending June 30, 2021, an amount 22% higher than the original budget approved last June and 13% higher than revenues generated in fiscal 2020. The increase in the revenue forecast is driven by the strength of the stock market and associated capital gains, lower than anticipated unemployment among higher income taxpayers, and steady spending by consumers despite the economic impact of the recession. State personal income and sales and use taxes are the state’s leading revenues and are projected to increase 7% and 6%, respectively, over fiscal 2020 receipts. The revised budget forecast was formed before the federal Coronavirus Response and Relief Supplemental Appropriations Act (CRRSA Act) was approved in December 2020 and the federal American Rescue Plan Act was approved in March 2021, and thus does not reflect the additional stimulus aid available to the state. The budget does, however, rely on $10 billion of already received federal funds to offset spending for healthcare and other costs.
Governor Newsom has proposed a record $165 billion budget for fiscal 2022. The budget projects revenues to increase a modest 2% in fiscal 2022 and proposes increased spending for fiscal 2021 and fiscal 2022 based on revised current year revenue estimates. Key spending proposals for fiscal 2022 and the remainder of fiscal 2021 include repaying $9 billion of deferred state aid to schools and community colleges, providing over $2 billion of one-time supplemental funds to schools, and increasing aid for individuals and businesses disproportionately impacted by the COVID-19 pandemic. Whereas the enacted fiscal 2021 budget anticipated drawing down reserves by nearly $8 billion, the increase in forecasted revenue is expected to enable the state to increase reserves by $6 billion over fiscal 2020 levels. The state projects it will end fiscal 2022 with reserves of $25 billion, nearly comparable to its pre-pandemic peak.
The favorable revenue picture is in stark contrast to the state’s high level of unemployment. California’s unemployment rate jumped from 3.9% in February 2020 to 16.4% in April following the imposition of statewide shelter-in-place orders and the temporary closure of many businesses. The unemployment rate was 9.0% as of January 2021, well above the national average of 6.3%. Areas that are highly dependent on tourism and entertainment have been the hardest hit, as many businesses that cater to tourists were closed or severely capacity constrained throughout most of 2020 in an effort to limit the spread of the COVID-19 virus.
Local governments in California are expected to be impacted differently based on their sources of revenue. California counties are highly dependent on property taxes, which are not as economically sensitive as many other types of revenues. California cities generally derive their revenues from property taxes and a wide variety of taxes and fees, such as sales and use taxes and hotel taxes that are more economically sensitive. California school districts and community college districts receive their revenue from a combination of property taxes and state aid. School districts and community college districts are expected to benefit in the near term from higher state aid as well as federal stimulus funds targeted for education.
California’s credit quality remains strong. At the end of the reporting period, the state’s general obligation ratings were Aa2 by Moody’s Investors Service, AA- from S&P Global Ratings, and AA from Fitch Ratings. All three rating agencies maintained stable outlooks on their ratings.
    
Management views may have changed since the report date.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
Fund Management
Kenneth Salinger, CFA, Vice President and Head of Tax-Exempt Bond Strategies, leads the portfolio management team for Schwab’s tax-free bond funds. He also has overall responsibility for all aspects of the management of the funds. Prior to joining CSIM in 2008, Mr. Salinger was a senior portfolio manager at Wells Capital Management, working on a team that managed municipal bond assets. He worked at American Century Investments from 1992 to 2006, where he was a vice president and senior portfolio manager, responsible for daily management of a number of national and state-specific municipal bond funds. Mr. Salinger has worked in fixed-income asset management since 1994.
    
James Cortez, CFA, Portfolio Manager, is responsible for the day-to-day co-management of the Schwab Tax-Free Bond Fund and Schwab California Tax-Free Bond Fund. Previous to this role, Mr. Cortez was a director on CSIM’s municipal research team, responsible for conducting credit research for CSIM’s municipal fixed-income funds and money market funds with a focus on healthcare and higher education credits. Prior to joining CSIM in 2006, Mr. Cortez was an associate director in Standard & Poor’s healthcare group.
    
(Photo of Jason D. Diefenthaler) Jason D. Diefenthaler, Senior Portfolio Manager and Head of Wasmer Municipal Bond Strategies supporting the Wasmer Schroeder Strategies, is responsible for the day-to-day co-management of the Schwab High Yield Municipal Bond Fund. Prior to joining CSIM in 2020, Mr. Diefenthaler was the director of tax-exempt portfolio management at Wasmer, Schroeder & Company, LLC and was responsible for the day-to-day co-management of the predecessor fund since its inception in 2014. Previous to that role, he was a credit analyst for taxable and tax-exempt strategies at Wasmer, Schroeder & Company, LLC
    
John Khodarahmi, Senior Portfolio Manager, is responsible for the day-to-day co-management of the Schwab Tax-Free Bond Fund and Schwab California Tax-Free Bond Fund. Prior to joining CSIM in 2015, Mr. Khodarahmi was a vice president and senior municipal trader at Eaton Vance Management for the firm’s tax-free bond funds since 2002. Previous to Eaton Vance, he was a vice president at both Banc of America Montgomery Securities and Thomas Weisel Partners, and also spent time as a corporate cash and high net worth portfolio manager/trader at Thomas Weisel. Prior to those roles, Mr. Khodarahmi was a municipal trader and underwriter for Fleet Securities, Inc. (now part of Bank of America).
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Tax-Free Bond Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1,2
Fund and Inception Date 6 months 1 Year 5 Years 10 Years
Fund: Schwab Tax-Free Bond Fund (9/11/92) 0.78% 0.75% 2.71% 3.64%
Bloomberg Barclays Municipal 3-15 Year Blend Index 0.59% 1.42% 3.13% 3.99%
Fund Category: Morningstar Municipal National Intermediate Bond3 1.13% 0.88% 2.84% 3.74%
Fund Expense Ratios4: Net 0.49%; Gross 0.55%
 
Yields
30-Day SEC Yield1,2 0.67%
30-Day SEC Yield-No Waiver1,5 0.62%
Taxable Equivalent Yield6 1.14%
12-Month Distribution Yield1,2 1.94%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type
Weighted Average Maturity7 5.4 Yrs
Weighted Average Duration7 5.3 Yrs
By Credit Quality8
    
Portfolio holdings may have changed since the report date.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
The first index listed for the fund is the fund’s primary benchmark, as shown in the prospectus. Additional indices shown are provided for comparative purposes.
For index definitions, please see the Glossary.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Fund expenses may have been partially absorbed by the investment adviser and its affiliates. Without these reductions, the total return/yield may have been lower.
3 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
4 As stated in the prospectus. Net Expense: Expenses reduced by a contractual fee waiver in effect for so long as CSIM serves as adviser to the fund. Gross Expense: Does not reflect the effect of contractual fee waivers. For actual expense ratios during the period, refer to the Financial Highlights section of the financial statements.
5 Yield if fund expenses had not been partially absorbed by the investment adviser and its affiliates.
6 Taxable equivalent yield assumes a federal regular income tax rate of 40.80%, which includes a Medicare surcharge rate of 3.8%. Your tax rate may be different.
7 See Glossary for definitions of maturity and duration.
8 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab California Tax-Free Bond Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1,2
Fund and Inception Date 6 months 1 Year 5 Years 10 Years
Fund: Schwab California Tax-Free Bond Fund (2/24/92) 0.29% 0.59% 2.54% 3.75%
Bloomberg Barclays California Municipal 3-15 Year Blend Index3 -0.05% 1.10% N/A 4 N/A 4
S&P California AMT-Free Municipal Bond Index -0.01% 0.61% 3.15% 4.68%
Fund Category: Morningstar Municipal California Intermediate/Short Bond5 0.75% 0.35% 2.43% 3.72%
Fund Expense Ratios6: Net 0.49%; Gross 0.58%
 
Yields
30-Day SEC Yield1,2 0.45%
30-Day SEC Yield-No Waiver1,7 0.35%
Taxable Equivalent Yield8 0.97%
12-Month Distribution Yield1,2 1.81%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type
Weighted Average Maturity9 5.2 Yrs
Weighted Average Duration9 5.3 Yrs
By Credit Quality10
    
Portfolio holdings may have changed since the report date.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized.
The first index listed for the fund is the fund’s primary benchmark, as shown in the prospectus. Additional indices shown are provided for comparative purposes.
For index definitions, please see the Glossary.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Fund expenses may have been partially absorbed by the investment adviser and its affiliates. Without these reductions, the total return/yield may have been lower.
3 The Bloomberg Barclays California Municipal 3-15 Year Blend Index was established effective January 1, 2020. Performance shown prior to January 1, 2020 is based on a subset of securities included in the Bloomberg Barclays Municipal 3-15 Year Blend Index.
4 Information not available to the fund.
5 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
6 As stated in the prospectus. Net Expense: Expenses reduced by a contractual fee waiver in effect for so long as CSIM serves as adviser to the fund. Gross Expense: Does not reflect the effect of contractual fee waivers. For actual expense ratios during the period, refer to the Financial Highlights section of the financial statements.
7 Yield if fund expenses had not been partially absorbed by the investment adviser and its affiliates.
8 Taxable equivalent yield assumes a federal regular income tax rate of 40.80%, which includes a Medicare surcharge rate of 3.8%, and effective California state personal income tax rate of 13.30%. Your tax rate may be different.
9 See Glossary for definitions of maturity and duration.
10 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab High Yield Municipal Bond Fund as of February 28, 2021
The performance data quoted represents past performance. Past performance does not guarantee future results. Investment returns and principal value of an investment will fluctuate so that an investor’s shares may be worth more or less than their original cost. Current performance may be lower or higher than performance data quoted. To obtain performance information current to the most recent month end, please visit www.schwabfunds.com/schwabfunds_prospectus.    
 
Average Annual Returns1,2,3
Fund and Inception Date 6 months 1 Year 5 Years Since Inception
Fund: Schwab High Yield Municipal Bond Fund4 (3/31/14) 2.05% 5 -3.53% 3.53% 5.09%
Bloomberg Barclays High Yield Municipal Index 5.67% 1.27% 6.42% 6.23%
Bloomberg Barclays Municipal Bond Index 0.86% 1.06% 3.43% 3.96%
Fund Category: Morningstar High Yield Muni6 4.20% 0.12% 4.41% N/A
Fund Expense Ratios7: Net 0.60%; Gross 0.73%
 
Yields
30-Day SEC Yield1,2 2.11%
30-Day SEC Yield-No Waiver1,8 1.99%
Taxable Equivalent Yield9 3.56%
12-Month Distribution Yield1,2 3.08%
Portfolio Composition % of investments
These charts show two different views of the fund’s portfolio: by type of security and credit quality of the security.
    

By Security Type
Weighted Average Maturity10 5.8 Yrs
Weighted Average Duration10 7.1 Yrs
By Credit Quality11
    
Portfolio holdings may have changed since the report date.
All total returns on this page assume dividends and distributions were reinvested. Index figures do not include trading and management costs, which would lower performance. Indices are unmanaged and cannot be invested in directly. Performance results less than one year are not annualized. Performance data quoted does not reflect the non-recurring redemption fee of 1% that may be charged if shares are sold or exchanged within 60 days of the purchase date. If these fees were reflected, the performance quoted would be lower.
The first index listed for the fund is the fund’s primary benchmark, as shown in the prospectus. Additional indices shown are provided for comparative purposes.
For index definitions, please see the Glossary.
1 Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption of fund shares.
2 Fund expenses may have been partially absorbed by the investment adviser and its affiliates. Without these reductions, the total return/yield may have been lower.
3 Effective August 10, 2020, the Wasmer Schroeder High Yield Municipal Fund (the predecessor fund) was reorganized into the Schwab High Yield Municipal Bond Fund. The performance and financial history prior to August 10, 2020 are that of the predecessor fund.
4 Inception date is that of the predecessor fund.
5 Total return for the report period presented in the table differs from the return in the Financial Highlights. The total return presented in the above table is calculated based on the NAV at which shareholder transactions were processed. The total return presented in the Financial Highlights section of the report is calculated in the same manner, but also takes into account certain adjustments that are necessary under generally accepted accounting principles required in the annual and semiannual reports.
6 Source for category information: Morningstar, Inc. The Morningstar Category return represents all active and index mutual funds within the category as of the report date.
7 As stated in the prospectus. Net Expense: Expenses reduced by a contractual fee waiver in effect for so long as CSIM serves as adviser to the fund. Gross Expense: Does not reflect the effect of contractual fee waivers. For actual expense ratios during the period, refer to the Financial Highlights section of the financial statements.
8 Yield if fund expenses had not been partially absorbed by the investment adviser and its affiliates.
9 Taxable equivalent yield assumes a federal regular income tax rate of 40.80%, which includes a Medicare surcharge rate of 3.8%. Your tax rate may be different.
10 See Glossary for definitions of maturity and duration.
11 Bloomberg Barclays Index Rating: Based on the middle rating of Moody’s, S&P and Fitch; when a rating from only two agencies is available, the lower is used; when only one agency rates a bond, that rating is used. In cases where explicit bond level ratings may not be available, other sources may be used to classify securities by credit quality. Source: Bloomberg Index Service Ltd.
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Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Municipal Bond Funds
Fund Expenses (Unaudited)
Examples for a $1,000 Investment
As a fund shareholder, you may incur two types of costs: (1) transaction costs, such as redemption fees; and (2) ongoing costs, including management fees, transfer agent fees, and other fund expenses.
The expense examples below are intended to help you understand your ongoing cost (in dollars) of investing in a fund and to compare this cost with the ongoing cost of investing in other mutual funds. These examples are based on an investment of $1,000 invested for six months beginning September 1, 2020 and held through February 28, 2021.
Actual Return lines in the table below provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value ÷ $1,000 = 8.6), then multiply the result by the number given for your fund under the heading entitled “Expenses Paid During Period.”
Hypothetical Return lines in the table below provide information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and an assumed return of 5% per year before expenses. Because the return used is not an actual return, it may not be used to estimate the actual ending account value or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing in a fund and 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, and do not reflect any transactional costs, such as redemption fees. Therefore, the hypothetical return lines of the table are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
 
  Expense Ratio
(Annualized)1 		Beginning
Account Value
at 9/1/20 		Ending
Account Value
(Net of Expenses)
at 2/28/21 		Expenses Paid
During Period
9/1/20-2/28/212
Schwab Tax-Free Bond Fund        
Actual Return 0.49% $1,000.00 $1,007.80 $2.44
Hypothetical 5% Return 0.49% $1,000.00 $1,022.37 $2.46
Schwab California Tax-Free Bond Fund        
Actual Return 0.49% $1,000.00 $1,002.90 $2.43
Hypothetical 5% Return 0.49% $1,000.00 $1,022.37 $2.46
Schwab High Yield Municipal Bond Fund        
Actual Return 0.60% $1,000.00 $1,021.50 $3.01
Hypothetical 5% Return 0.60% $1,000.00 $1,021.82 $3.01
    
1 Based on the most recent six-month expense ratio.
2 Expenses for each fund are equal to its annualized expense ratio, multiplied by the average account value over the period, multiplied by 181 days of the period, and divided by 365 days of the fiscal year.
10
Schwab Municipal Bond Funds  |  Semiannual Report

 

Schwab Tax-Free Bond Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		9/1/19–
8/31/20 		9/1/18–
8/31/19 		9/1/17–
8/31/18 		9/1/16–
8/31/17 		9/1/15–
8/31/16
Per-Share Data
Net asset value at beginning of period $12.13 $12.12 $11.52 $11.82 $12.13 $11.82
Income (loss) from investment operations:            
Net investment income (loss)1 0.11 0.26 0.28 0.27 0.27 0.26
Net realized and unrealized gains (losses) (0.01) 0.04 2 0.60 (0.30) (0.21) 0.37
Total from investment operations 0.10 0.30 0.88 (0.03) 0.06 0.63
Less distributions:            
Distributions from net investment income (0.11) (0.26) (0.28) (0.27) (0.27) (0.26)
Distributions from net realized gains (0.07) (0.03) — — (0.10) (0.06)
Total distributions (0.18) (0.29) (0.28) (0.27) (0.37) (0.32)
Net asset value at end of period $12.05 $12.13 $12.12 $11.52 $11.82 $12.13
Total return 0.78% 3 2.52% 7.77% (0.22%) 0.63% 5.37%
Ratios/Supplemental Data
Ratios to average net assets:            
Net operating expenses 0.49% 4 0.49% 0.49% 0.49% 0.49% 0.49%
Gross operating expenses 0.55% 4 0.55% 0.56% 0.57% 0.56% 0.57%
Net investment income (loss) 1.82% 4 2.14% 2.41% 2.35% 2.32% 2.16%
Portfolio turnover rate 30% 3 99% 129% 82% 83% 54% 5
Net assets, end of period (x 1,000,000) $800 $758 $751 $650 $667 $708
 
* Unaudited.
1
Calculated based on the average shares outstanding during the period.
2
The per share amount does not accord with the change in aggregate gains and losses in securities during the period because of the timing of sales and repurchases of fund shares in relation to fluctuating market values.
3
Not annualized
4
Annualized.
5
Historically low yields led to large unrealized gains in existing positions. To limit taxable gains, Fund Management decreased sale activity and thereby decreased portfolio turnover.
11
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity.
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Fixed-Rate Obligations 83.2% of net assets
ALABAMA 0.7%
Pell Special Care Facilities Financing Auth
RB (Noland Health Services) Series 2016A 5.00%   12/01/31  (a) 2,000,000 2,055,840
Univ of Montevallo      
RB Series 2017 5.00%   05/01/26 200,000 241,782
RB Series 2017 5.00%   05/01/27 250,000 309,970
RB Series 2017 5.00%   05/01/42  (a) 2,150,000 2,543,257
          5,150,849
ALASKA 0.5%
Anchorage
GO Bonds Series 2020A 4.00%   04/01/37  (a) 1,000,000 1,188,500
North Slope Borough      
Water & Wastewater Facilities RB (Service Area 10) Series 2014 5.00%   06/30/22  (a)(b) 1,130,000 1,143,334
Water & Wastewater Facilities RB (Service Area 10) Series 2014 5.00%   06/30/23  (a)(b) 1,790,000 1,811,122
          4,142,956
ARIZONA 0.5%
Arizona Health Facilities Auth
RB (Phoenix Childrens Hospital) Series 2013B 5.00%   02/01/43  (a) 1,000,000 1,062,460
Phoenix Civic Improvement Corp
Jr lien Airport RB Series 2019A 4.00%   07/01/44  (a) 1,000,000 1,122,640
Tucson      
Refunding COP Series 2014 4.00%   07/01/22 700,000 734,461
Refunding COP Series 2014 4.00%   07/01/23 700,000 756,000
          3,675,561
ARKANSAS 1.4%
Bella Vista
Sales & Use Tax Bonds Series 2020 1.13%   10/01/45  (a) 2,750,000 2,744,390
Fayetteville
Sales Tax RB Series 2019A 1.60%   11/01/35  (a) 905,000 902,792
Little Rock      
Sewer Refunding RB Series 2015 3.00%   04/01/23 735,000 772,309
Sewer Refunding RB Series 2015 3.00%   04/01/24 560,000 598,898
12
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Marion
Sales & Use Tax RB Series 2017 2.90%   09/01/47  (a) 405,000 410,204
Rogers
Sales & Use Tax Bonds Series 2018B 3.25%   11/01/43  (a) 2,965,000 3,089,411
Sherwood
Sales & Use Tax Bonds Series 2018 3.05%   12/01/43  (a) 535,000 553,174
Springdale
Sales & Use Tax Refunding & Improvement Bonds Series 2018 3.00%   04/01/43  (a) 1,800,000 1,822,698
          10,893,876
CALIFORNIA 6.6%
Anaheim Housing & Public Improvement Auth
Electric System Refunding RB Series 2016 5.00%   10/01/41  (a)(b) 640,000 657,811
California      
GO Bonds 5.00%   08/01/24 1,000,000 1,155,100
GO Bonds 3.00%   03/01/26 5,000,000 5,578,000
GO Bonds 5.00%   03/01/27  (a) 2,600,000 3,056,274
GO Refunding Bonds Series 2017 5.00%   08/01/32  (a) 590,000 715,245
California Statewide Communities Development Auth      
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/23 455,000 490,859
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/24 600,000 670,986
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/25 1,000,000 1,154,290
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/26 1,050,000 1,246,560
RB (Loma Linda Univ Medical Center) Series 2016A 5.00%   12/01/36  (a) 1,500,000 1,698,255
RB (Loma Linda Univ Medical Center) Series 2018A 5.25%   12/01/43  (a) 1,065,000 1,245,219
Hastings Campus Housing Financing Auth
Campus Housing RB Series 2020A 5.00%   07/01/45  (a) 3,700,000 4,223,772
Jurupa Public Finance Auth      
Special Tax RB Series 2014A 5.00%   09/01/21 450,000 460,548
Special Tax RB Series 2014A 5.00%   09/01/22 60,000 64,069
Los Angeles Dept of Airports
Sub RB Series 2019F 5.00%   05/15/28 2,115,000 2,666,380
New Haven USD
GO Refunding Bonds Series 2014B 5.00%   08/01/21 1,000,000 1,020,100
Oakland USD      
GO Bonds Series 2015A 5.00%   08/01/27  (a) 1,295,000 1,522,739
GO Bonds Series 2015A 5.00%   08/01/28  (a) 1,000,000 1,173,510
Oroville
RB (Oroville Hospital) Series 2019 5.25%   04/01/49  (a) 2,700,000 3,050,406
Pasadena
Refunding COP Series 2015A 5.00%   02/01/29  (a) 585,000 684,561
Pasadena Public Financing Auth
Lease RB Series 2010A 5.00%   03/01/22  (a)(b) 360,000 360,000
Pleasant Valley SD
GO Refunding Bonds Series 2002A 5.85%   08/01/31 3,000,000 3,805,350
Rancho Cucamonga Successor Redevelopment Agency
Tax Allocation Refunding Bonds Series 2014 5.00%   09/01/26  (a) 755,000 865,389
San Bruno Public Finance Auth      
Lease RB Series 2019 5.00%   05/01/30  (a) 460,000 597,094
Lease RB Series 2019 5.00%   05/01/31  (a) 485,000 624,399
13
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
San Diego USD      
GO Bonds Series 2010C 0.00%   07/01/31  (c) 1,250,000 1,052,412
GO Bonds Series 2010C 0.00%   07/01/32  (c) 1,500,000 1,228,530
GO Bonds Series 2010C 0.00%   07/01/33  (c) 1,000,000 795,970
GO Bonds Series 2010C 0.00%   07/01/35  (c) 1,300,000 976,183
San Francisco Airport Commission
RB 2nd Series 2019E 5.00%   05/01/40  (a) 2,875,000 3,504,999
San Francisco Public Utilities Commission
Water RB Series 2017A 5.00%   11/01/36  (a) 2,685,000 3,076,473
Santa Cruz Cnty Successor Redevelopment Agency      
Tax Allocation Refunding Bonds 2014 5.00%   09/01/22 605,000 646,406
Tax Allocation Refunding Bonds 2014 5.00%   09/01/23 375,000 416,734
Tax Allocation Refunding Bonds 2014 5.00%   09/01/24 1,060,000 1,219,975
Stockton Public Financing Auth      
Water Refunding RB Series 2018A 5.00%   10/01/23 300,000 334,581
Water Refunding RB Series 2018A 5.00%   10/01/24 300,000 346,215
Water Refunding RB Series 2018A 5.00%   10/01/25 500,000 595,425
          52,980,819
COLORADO 0.9%
Boulder Cnty      
COP Series 2015 5.00%   12/01/24  (a) 375,000 376,328
COP Series 2015 5.00%   12/01/25  (a) 500,000 501,765
Centennial Water & Sanitation District      
Water & Wastewater RB Series 2019 5.00%   12/01/34  (a) 420,000 529,456
Water & Wastewater RB Series 2019 5.00%   12/01/35  (a) 500,000 628,375
Colorado Health Facilities Auth      
RB (CommonSpirit Health) Series 2019A1 4.00%   08/01/37  (a) 1,250,000 1,426,112
Refunding RB (Evangelical Lutheran Good Samaritan Society) Series 2017 5.00%   06/01/31  (a)(b) 1,250,000 1,558,912
Colorado Regional Transportation District      
RB (Denver Transit Partners) Series 2020A 5.00%   07/15/30 300,000 384,912
RB (Denver Transit Partners) Series 2020A 5.00%   01/15/31 500,000 646,685
RB (Denver Transit Partners) Series 2020A 4.00%   07/15/34  (a) 1,000,000 1,181,220
Denver
Dedicated Tax RB Series 2018A-2 0.00%   08/01/31  (a)(c) 380,000 288,599
          7,522,364
CONNECTICUT 2.0%
Connecticut      
GO Bonds Series 2020C 4.00%   06/01/33  (a) 650,000 774,079
GO Bonds Series 2020C 4.00%   06/01/34  (a) 1,000,000 1,184,190
GO Bonds Series 2020C 4.00%   06/01/35  (a) 250,000 294,675
GO Bonds Series 2020C 4.00%   06/01/36  (a) 1,250,000 1,467,575
GO Bonds Series 2021A 4.00%   01/15/31 2,000,000 2,450,860
GO Refunding Bonds Series 2016B 5.00%   05/15/27  (a) 2,095,000 2,533,525
Special Tax Obligation Bonds Series 2020A 5.00%   05/01/25 850,000 1,001,206
Special Tax Obligation Bonds Series 2020A 5.00%   05/01/26 1,200,000 1,456,776
14
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Univ of Connecticut      
GO Bonds Series 2019A 5.00%   11/01/34  (a)(d) 2,000,000 2,483,600
GO Bonds Series 2019A 5.00%   11/01/35  (a)(d) 1,000,000 1,238,140
GO Bonds Series 2019A 5.00%   11/01/36  (a)(d) 1,000,000 1,234,060
          16,118,686
DELAWARE 0.0%
Delaware State Housing Auth
S/F Mortgage Sr RB Series 2011A2 4.25%   07/01/29  (a) 280,000 282,582
FLORIDA 3.2%
Florida Higher Educational Facilities Financing Auth      
Educational Facilities RB (Florida Institute of Technology) Series 2019 5.00%   10/01/24 375,000 423,383
Educational Facilities RB (Florida Institute of Technology) Series 2019 5.00%   10/01/25 450,000 521,410
Educational Facilities RB (Florida Institute of Technology) Series 2019 5.00%   10/01/26 765,000 906,464
Educational Facilities RB (Florida Institute of Technology) Series 2019 5.00%   10/01/27 685,000 826,583
Florida Ports Financing Commission
Transportation Trust Fund Refunding RB Series 2011A 5.00%   10/01/28  (a) 1,500,000 1,540,860
Greater Orlando Aviation Auth
Airport Facilities RB Series 2019A 5.00%   10/01/26 5,000,000 6,102,300
Hollywood Community Redevelopment Agency
Refunding RB Series 2015 5.00%   03/01/24 3,000,000 3,382,410
Jacksonville
Health Care Facilities Refunding RB (Baptist Health) Series 2017 5.00%   08/15/34  (a) 910,000 1,085,230
Miami Beach Health Facilities Auth      
Hospital Refunding & RB (Mt Sinai Medical Center) Series 2014 5.00%   11/15/21 100,000 102,987
Hospital Refunding & RB (Mt Sinai Medical Center) Series 2014 5.00%   11/15/22 150,000 161,025
Hospital Refunding & RB (Mt Sinai Medical Center) Series 2014 5.00%   11/15/24 400,000 459,948
Hospital Refunding & RB (Mt Sinai Medical Center) Series 2014 5.00%   11/15/25  (a) 250,000 286,398
Miami-Dade Cnty Expressway Auth      
Toll System RB Series 2014A 5.00%   07/01/22 550,000 583,918
Toll System RB Series 2014A 4.00%   07/01/23 1,730,000 1,862,120
Toll System RB Series 2014A 5.00%   07/01/24 625,000 714,237
Palm Beach Cnty Health Facilities Auth
Hospital Refunding RB (Boca Raton Regional Hospital) Series 2014 5.00%   12/01/22  (b) 800,000 866,056
Port St. Lucie      
Utility System Refunding RB Series 2014 5.00%   09/01/21 175,000 179,083
Utility System Refunding RB Series 2014 5.00%   09/01/22 485,000 518,877
Utility System Refunding RB Series 2014 5.00%   09/01/23 350,000 389,137
Tallahassee
Consolidated Utility Systems RB Series 2018 5.00%   10/01/35  (a) 1,495,000 1,769,198
Tampa      
Tax Allocation RBs (Moffitt Cancer Center) Series 2020A 0.00%   09/01/35  (a)(c) 1,550,000 1,027,696
Tax Allocation RBs (Moffitt Cancer Center) Series 2020A 0.00%   09/01/36  (a)(c) 800,000 507,376
Tax Allocation RBs (Moffitt Cancer Center) Series 2020A 0.00%   09/01/37  (a)(c) 855,000 517,976
Tax Allocation RBs (Moffitt Cancer Center) Series 2020A 0.00%   09/01/38  (a)(c) 1,000,000 577,640
Tax Allocation RBs (Moffitt Cancer Center) Series 2020A 0.00%   09/01/49  (a)(c) 1,200,000 417,684
          25,729,996
15
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
GEORGIA 1.0%
Atlanta Hartsfield-Jackson Airport      
Airport Refunding RB Series 2020B 5.00%   07/01/27 2,500,000 3,095,825
Airport Refunding RB Series 2020B 5.00%   07/01/28 2,400,000 3,025,752
Brookhaven Development Auth
RB (Children’s Healthcare of Atlanta) Series 2019A 5.00%   07/01/27 1,500,000 1,883,595
          8,005,172
HAWAII 0.2%
Hawaii      
Harbor System RB Series 2020A 4.00%   07/01/34  (a) 750,000 879,255
Harbor System RB Series 2020A 4.00%   07/01/35  (a) 500,000 584,300
Hawaii State Housing Finance & Development Corp
S/F Mortgage Purchase RB Series 2011B 4.50%   01/01/26  (a) 55,000 55,664
          1,519,219
IDAHO 0.4%
Canyon Cnty SD #139      
GO Bonds Series 2019A 5.00%   09/15/26  (d) 450,000 554,589
GO Bonds Series 2019A 5.00%   09/15/27  (d) 400,000 505,560
GO Bonds Series 2019A 5.00%   09/15/28  (d) 425,000 549,215
GO Bonds Series 2019A 5.00%   09/15/29  (a)(d) 400,000 519,912
Nampa SD #131
GO Refunding Bonds Series 2011B 4.00%   08/15/22  (d) 695,000 733,711
          2,862,987
ILLINOIS 6.7%
Bellwood Village      
GO Refunding Bonds Series 2014 4.00%   12/01/21 500,000 513,300
GO Refunding Bonds Series 2014 5.00%   12/01/32  (a) 1,705,000 1,967,263
GO Refunding Bonds Series 2016B 5.00%   12/01/28  (a) 1,855,000 2,275,807
Chicago      
GO Bonds Series 2019A 5.50%   01/01/35  (a) 1,450,000 1,736,868
OHare General Airport Sr Lien RB Series 2016C 5.00%   01/01/29  (a) 400,000 472,912
OHare General Airport Sr Lien Refunding RB Series 2012A 5.00%   01/01/25  (a)(b) 290,000 301,246
OHare General Airport Sr Lien Refunding RB Series 2012A 5.00%   01/01/33  (a) 400,000 464,992
OHare General Airport Sr Lien Refunding RB Series 2015B 5.00%   01/01/28  (a) 1,750,000 2,034,375
OHare General Airport Sr Lien Refunding RB Series 2015B 5.00%   01/01/29  (a) 1,100,000 1,277,397
OHare General Airport Sr Lien Refunding RB Series 2016C 5.00%   01/01/31  (a) 1,000,000 1,174,850
Refunding GO Bonds Series 2014A 5.00%   01/01/35  (a) 750,000 802,785
Chicago Housing Auth      
GO Bonds Series 2018A 5.00%   01/01/27 1,000,000 1,198,000
GO Bonds Series 2018A 5.00%   01/01/28 1,000,000 1,220,430
Community Unit SD #300
GO Refunding Bonds Series 2013 5.25%   01/01/31  (a) 4,840,000 5,262,000
Dupage Cnty HSD #88
GO Refunding Bonds Series 2016 5.00%   01/15/26 2,500,000 2,997,475
16
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Illinois      
GO Bonds Series 2018 5.00%   05/01/31  (a) 1,000,000 1,164,540
GO Bonds Series 2020 5.38%   05/01/23 500,000 544,310
GO Bonds Series 2020 5.50%   05/01/24 1,000,000 1,124,300
GO Bonds Series 2020 5.50%   05/01/25 1,500,000 1,727,520
GO Refunding Bonds Series 2016 5.00%   02/01/28  (a) 1,500,000 1,739,145
GO Refunding Bonds Series 2018B 5.00%   10/01/33  (a) 1,500,000 1,740,375
Illinois Finance Auth      
Facilities RB (Univ of Illinois) Series 2019A 5.00%   10/01/44  (a) 500,000 599,420
Facilities RB (Univ of Illinois) Series 2019A 5.00%   10/01/51  (a) 600,000 713,994
RB (Rosalind Franklin Univ) Series 2017A 5.00%   08/01/30  (a) 900,000 1,062,378
RB (Rosalind Franklin Univ) Series 2017A 5.00%   08/01/33  (a) 960,000 1,117,834
RB (Rosalind Franklin Univ) Series 2017A 5.00%   08/01/34  (a) 1,330,000 1,541,962
Refunding RB (Southern Illinois Healthcare Enterprises) Series 2017C 5.00%   03/01/26 700,000 842,387
Refunding RB (Southern Illinois Healthcare Enterprises) Series 2017C 5.00%   03/01/30  (a) 400,000 482,520
Illinois Sports Facilities Auth      
State Tax Supported Refunding RB Series 2019 5.00%   06/15/28 1,000,000 1,167,760
State Tax Supported Refunding RB Series 2019 5.00%   06/15/29 1,075,000 1,266,973
State Tax Supported Refunding RB Series 2019 5.00%   06/15/30  (a) 1,000,000 1,169,620
Illinois Toll Highway Auth      
Toll Highway Sr RB Series 2019A 5.00%   01/01/44  (a) 2,500,000 3,028,250
Toll Highway Sr Refunding RB Series 2019C 5.00%   01/01/29 2,000,000 2,567,500
Toll Highway Sr Refunding RB Series 2019C 5.00%   01/01/30 1,000,000 1,305,700
Kankakee River Metropolitan Agency
Sr Lien Sewage Treatment Facility Refunding RB Series 2016 5.00%   05/01/26 1,305,000 1,565,922
Northern Illinois Univ      
Auxiliary Facilities Refunding RB Series 2020B 5.00%   04/01/29 400,000 503,252
Auxiliary Facilities Refunding RB Series 2020B 5.00%   04/01/30 450,000 574,155
Auxiliary Facilities Refunding RB Series 2020B 5.00%   04/01/31  (a) 500,000 634,690
Auxiliary Facilities Refunding RB Series 2020B 4.00%   04/01/35  (a) 1,050,000 1,193,976
Auxiliary Facilities Refunding RB Series 2020B 4.00%   04/01/37  (a) 600,000 677,058
          53,755,241
INDIANA 0.2%
Indiana Finance Auth
Educational Facilities Refunding RB (Butler Univ) Series 2012A 5.00%   02/01/24  (a) 1,790,000 1,856,874
KANSAS 0.9%
Crawford Cnty USD #250      
GO Bonds Series 2017 5.00%   09/01/26 250,000 307,025
GO Bonds Series 2017 5.00%   09/01/27 450,000 566,635
Hutchinson      
Hospital Facilities RB (Hutchinson Regional Medical Center) Series 2016 5.00%   12/01/27  (a) 375,000 430,931
Hospital Facilities RB (Hutchinson Regional Medical Center) Series 2016 5.00%   12/01/28  (a) 400,000 456,348
Hospital Facilities RB (Hutchinson Regional Medical Center) Series 2016 5.00%   12/01/29  (a) 440,000 498,278
Hospital Facilities RB (Hutchinson Regional Medical Center) Series 2016 5.00%   12/01/30  (a) 445,000 499,588
Hospital Facilities RB (Hutchinson Regional Medical Center) Series 2016 5.00%   12/01/31  (a) 200,000 223,290
17
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Johnson & Miami County USD No. 230      
GO Bonds Series 2018A 5.00%   09/01/26 250,000 306,573
GO Bonds Series 2018A 5.00%   09/01/27 800,000 1,004,472
GO Bonds Series 2018A 5.00%   09/01/31  (a) 2,575,000 3,189,524
          7,482,664
KENTUCKY 0.1%
Kentucky      
COP 2015 4.00%   06/15/24 400,000 443,312
COP 2015 5.00%   06/15/25 400,000 471,308
          914,620
LOUISIANA 0.3%
Louisiana Public Facilities Auth      
Refunding RB (Ochsner Clinic Fdn) Series 2015 5.00%   05/15/21 800,000 807,400
Refunding RB (Ochsner Clinic Fdn) Series 2017 5.00%   05/15/27 500,000 613,390
New Orleans      
Sewerage Service RB Series 2020B 5.00%   06/01/33  (a) 500,000 632,100
Sewerage Service Refunding RB Series 2014 5.00%   06/01/21  (b) 400,000 404,772
Sewerage Service Refunding RB Series 2014 5.00%   06/01/22 250,000 263,743
          2,721,405
MAINE 0.7%
Maine Health & Educational Facilites Auth      
RB (MaineHealth) Series 2020A 5.00%   07/01/30 800,000 1,052,392
RB (MaineHealth) Series 2020A 4.00%   07/01/36  (a) 400,000 471,164
RB (MaineHealth) Series 2020A 4.00%   07/01/37  (a) 1,000,000 1,173,520
Portland      
General Airport Refunding RB Series 2019 5.00%   01/01/28 500,000 612,390
General Airport Refunding RB Series 2019 5.00%   01/01/32  (a) 560,000 694,439
General Airport Refunding RB Series 2019 5.00%   01/01/33  (a) 695,000 857,915
General Airport Refunding RB Series 2019 5.00%   01/01/34  (a) 620,000 762,092
          5,623,912
MARYLAND 1.5%
Maryland
GO Bonds First Series 2017A 5.00%   03/15/26 5,080,000 6,195,568
Maryland Health & Higher Educational Facilities Auth      
RB (Frederick Health System) Series 2020 4.00%   07/01/45  (a) 600,000 673,806
RB (Meritus Medical Center) Series 2015 5.00%   07/01/23 1,000,000 1,097,490
Washington Cnty      
RB (Diakon Lutheran Social Ministries) Series 2019B 5.00%   01/01/24 320,000 351,760
RB (Diakon Lutheran Social Ministries) Series 2019B 5.00%   01/01/25 550,000 622,045
RB (Diakon Lutheran Social Ministries) Series 2019B 5.00%   01/01/27 645,000 765,815
RB (Diakon Lutheran Social Ministries) Series 2019B 5.00%   01/01/28 1,405,000 1,710,868
RB (Diakon Lutheran Social Ministries) Series 2019B 5.00%   01/01/29 505,000 624,185
          12,041,537
18
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
MASSACHUSETTS 2.1%
Massachusetts Development Finance Agency      
RB (Beth Israel Lahey Health) Series 2019K 5.00%   07/01/29 500,000 645,325
RB (Beth Israel Lahey Health) Series 2019K 5.00%   07/01/31  (a) 1,120,000 1,416,621
RB (Beth Israel Lahey Health) Series 2019K 5.00%   07/01/32  (a) 500,000 629,425
RB (Boston Medical Center) Series 2016E 5.00%   07/01/31  (a) 2,815,000 3,295,436
RB (Boston Medical Center) Series 2017F 5.00%   07/01/28  (a) 290,000 352,747
RB (Lahey Health System) Series 2015F 5.00%   08/15/28  (a) 950,000 1,119,224
RB (Lesley Univ) Series 2019A 5.00%   07/01/35  (a) 1,065,000 1,294,518
RB (Lesley Univ) Series 2019A 5.00%   07/01/39  (a) 1,065,000 1,278,937
RB (Wellforce) Series 2019A 5.00%   07/01/24 1,200,000 1,364,088
RB (Wellforce) Series 2020C 3.00%   10/01/45  (a) 1,250,000 1,274,412
RB (Wellforce) Series 2020C 4.00%   10/01/45  (a) 750,000 846,923
Massachusetts HFA      
S/F Housing RB Series 183 3.50%   12/01/46  (a) 1,315,000 1,385,694
S/F Housing RB Series 203 4.50%   12/01/48  (a) 1,655,000 1,837,017
          16,740,367
MICHIGAN 1.1%
Grand Rapids      
Sanitary Sewer System Refunding RB Series 2010 5.00%   01/01/25 600,000 700,728
Sanitary Sewer System Refunding RB Series 2010 5.00%   01/01/27 1,145,000 1,417,934
Karegnondi Water Auth      
RB Series 2014A 5.00%   11/01/24  (a) 1,645,000 1,840,261
RB Series 2014A 5.00%   11/01/25  (a) 1,100,000 1,230,262
Michigan Finance Auth
Tobacco Settlement Asset-Backed Bonds Series 2020B1 Class 2 1.25%   06/01/30 1,000,000 1,001,320
Michigan Housing Development Auth
S/F Mortgage RB Series 2015A 4.00%   06/01/46  (a) 1,270,000 1,342,961
Wayne Cnty Airport Auth      
Airport RB Series 2014B 5.00%   12/01/32  (a) 550,000 632,401
Airport RB Series 2014B 5.00%   12/01/33  (a) 625,000 718,388
          8,884,255
MINNESOTA 1.1%
Center City      
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/26 315,000 362,811
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/27 250,000 292,833
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/28  (a) 330,000 389,852
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/29  (a) 265,000 311,195
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/30  (a) 250,000 292,183
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/31  (a) 245,000 284,327
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/34  (a) 300,000 342,465
Health Care Facilities Refunding RB (Hazelden Betty Ford Fdn) Series 2019 4.00%   11/01/41  (a) 220,000 247,251
Duluth ISD #709      
Refunding COP Series 2019C 5.00%   02/01/24  (d) 400,000 447,236
Refunding COP Series 2019C 5.00%   02/01/25  (d) 375,000 432,206
Refunding COP Series 2019C 5.00%   02/01/26  (d) 400,000 474,064
19
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Maple Grove
Health Care Facilities Refunding RB (North Memorial Health) Series 2015 4.00%   09/01/21 400,000 405,976
Minneapolis
Health Care System RB (Fairview Health Services) Series 2018A 5.00%   11/15/36  (a) 2,500,000 3,045,200
Minnesota Higher Educational Facilities Auth      
RB (Univ of St. Thomas) Series 2019 5.00%   10/01/33  (a) 400,000 500,132
RB (Univ of St. Thomas) Series 2019 5.00%   10/01/34  (a) 250,000 311,592
RB (Univ of St. Thomas) Series 2019 5.00%   10/01/35  (a) 350,000 434,854
          8,574,177
MISSISSIPPI 0.3%
Mississippi Development Bank      
Special Obligation (Jackson Public SD) RB Series 2018 5.00%   10/01/25 1,000,000 1,190,850
Special Obligation (Jackson Public SD) RB Series 2018 5.00%   10/01/26 590,000 722,590
Special Obligation (Jackson Public SD) Refunding RB Series 2012A 5.00%   04/01/28  (a) 630,000 682,914
Mississippi Home Corp
Homeownership Mortgage RB Series 2011A 4.50%   06/01/25  (a) 30,000 30,294
          2,626,648
MISSOURI 2.5%
Jackson Cnty SD #4      
School Building GO Bonds Series 2018A 5.50%   03/01/36  (a)(d) 5,000,000 6,518,500
School Building GO Bonds Series 2018A 6.00%   03/01/38  (a)(d) 2,440,000 3,270,430
Kansas City      
Sewer System Refunding RB Series 2018B 5.00%   01/01/32  (a) 350,000 435,981
Sewer System Refunding RB Series 2018B 5.00%   01/01/34  (a) 350,000 433,395
Missouri Health & Educational Facilities Auth      
Educational Facilities RB (Kansas City Univ of Medicine) Series 2017A 5.00%   06/01/35  (a) 1,000,000 1,220,970
Educational Facilities RB (Kansas City Univ of Medicine) Series 2017A 5.00%   06/01/36  (a) 1,050,000 1,279,204
Hospital Facilities RB (CoxHealth) Series 2019A 5.00%   11/15/31  (a) 2,490,000 3,095,244
Missouri Housing Development Commission      
S/F Mortgage RB Series 2017D 4.00%   05/01/47  (a) 1,065,000 1,155,866
S/F Mortgage RB Series 2018A 4.25%   05/01/49  (a) 2,010,000 2,221,351
          19,630,941
MONTANA 0.2%
Montana Board of Housing
S/F Housing RB Series 2018A 4.00%   06/01/49  (a) 1,440,000 1,565,294
NEBRASKA 0.7%
Boys Town Village
RB (Father Flanagan Boys Home) Series 2017 3.00%   09/01/28 3,365,000 3,776,472
Nebraska Investment Finance Auth
S/F Housing RB Series 2016A 3.50%   03/01/46  (a) 625,000 635,225
Papio-Missouri River Natural Resource District      
Flood Protection & Water Quality Enhancement Refunding Bonds Series 2017 4.00%   12/15/27  (a)(b) 250,000 262,428
Flood Protection & Water Quality Enhancement Refunding Bonds Series 2017 4.00%   12/15/28  (a)(b) 275,000 288,670
Flood Protection & Water Quality Enhancement Refunding Bonds Series 2017 4.00%   12/15/30  (a)(b) 500,000 524,855
          5,487,650
20
Schwab Municipal Bond Funds  |  Semiannual Report
See financial notes

 

Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
NEVADA 0.2%
Carson City      
Hospital Refunding RB (Carson Tahoe Regional Healthcare) Series 2017 5.00%   09/01/25 600,000 704,274
Hospital Refunding RB (Carson Tahoe Regional Healthcare) Series 2017 5.00%   09/01/27 605,000 743,357
          1,447,631
NEW HAMPSHIRE 0.0%
New Hampshire HFA
S/F Mortgage Acquisition RB Series 2011E 4.50%   01/01/28  (a) 65,000 66,180
NEW JERSEY 3.2%
Atlantic City      
Tax Appeal Refunding Bonds Series 2017A 5.00%   03/01/24 200,000 224,414
Tax Appeal Refunding Bonds Series 2017A 5.00%   03/01/25 300,000 346,974
Tax Appeal Refunding Bonds Series 2017A 5.00%   03/01/27 250,000 304,543
Flemington-Raritan Regional SD
GO Refunding Bonds Series 2014 4.00%   06/15/22 635,000 666,401
New Jersey Economic Development Auth      
School Facilities Construction Bonds 2014 Series UU 5.00%   06/15/29  (a) 1,045,000 1,164,903
School Facilities Construction Bonds Series 2018EEE 5.00%   06/15/43  (a) 2,000,000 2,337,220
School Facilities Construction Refunding Bonds Series 2019LLL 5.00%   06/15/34  (a) 750,000 913,492
School Facilities Construction Refunding Bonds Series 2019MMM 5.00%   06/15/33  (a) 500,000 611,585
New Jersey Educational Facilities Auth
RBs (Princeton Univ) Series 2016A 5.00%   07/01/25 4,555,000 5,438,852
New Jersey Housing & Mortgage Finance Agency
S/F Housing RB Series 2020E 3.50%   04/01/51  (a) 3,000,000 3,303,090
New Jersey Transportation Trust Fund Auth      
Transportation Program Notes Series 2014 BB-1 5.00%   06/15/33  (a) 4,500,000 5,416,155
Transportation System RB Series 2019AA 5.00%   06/15/31  (a) 1,250,000 1,517,725
Transportation System RB Series 2019BB 5.00%   06/15/44  (a) 3,000,000 3,497,790
          25,743,144
NEW MEXICO 0.2%
New Mexico Mortgage Finance Auth
S/F Mortgage RB Series 2018B 4.00%   01/01/49  (a) 1,600,000 1,754,336
NEW YORK 13.4%
Build NYC Resource Corp      
RB (YMCA of Greater New York) Series 2015 5.00%   08/01/25 250,000 285,090
RB (YMCA of Greater New York) Series 2015 5.00%   08/01/27  (a) 300,000 339,402
Metropolitan Transportation Auth
Transportation RB Series 2015A2 5.00%   11/15/45  (a) 2,845,000 3,514,628
Nassau Cnty Local Economic Assistance Corp      
RB (Catholic Health Services Long Island) Series 2014 5.00%   07/01/21 500,000 507,535
RB (Catholic Health Services Long Island) Series 2014 5.00%   07/01/25  (a) 500,000 567,315
RB (Catholic Health Services Long Island) Series 2014 5.00%   07/01/26  (a) 250,000 282,797
New York City      
GO Bonds Fiscal 2013 Series E 5.00%   08/01/25  (a) 3,360,000 3,661,325
GO Bonds Fiscal 2014 Series B 5.00%   08/01/22 1,050,000 1,121,127
21
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
GO Bonds Fiscal 2014 Series I1 5.00%   03/01/23  (b) 315,000 344,525
GO Bonds Fiscal 2014 Series I1 5.00%   03/01/23 805,000 880,791
GO Bonds Fiscal 2021 Series A-1 5.00%   08/01/32  (a) 1,500,000 1,929,690
GO Bonds Fiscal 2021 Series A-1 5.00%   08/01/33  (a) 1,500,000 1,926,795
GO Bonds Fiscal Series 2018A 5.00%   08/01/28  (a) 3,165,000 3,939,729
GO Bonds Fiscal Series 2018E-1 5.25%   03/01/34  (a) 2,000,000 2,477,380
GO Bonds Fiscal Series 2019E 5.00%   08/01/32  (a) 1,000,000 1,252,210
New York City Transitional Finance Auth      
Building Aid RB Fiscal 2019 Series S3A 5.00%   07/15/35  (a) 2,000,000 2,461,360
Building Aid RB Fiscal 2019 Series S3A 5.00%   07/15/36  (a) 1,500,000 1,850,685
Future Tax Secured Sub RB Fiscal 2011 Series D1 5.00%   02/01/35  (a) 5,535,000 5,553,763
Future Tax Secured Sub RB Fiscal 2014 Series B1 5.00%   11/01/23 2,200,000 2,471,766
Future Tax Secured Sub RB Fiscal 2017 Series E1 5.00%   02/01/30  (a) 3,000,000 3,671,640
New York City Trust for Cultural Resources      
Refunding RB (Juilliard School) Series 2018A 5.00%   01/01/34  (a) 1,000,000 1,256,150
Refunding RB (Juilliard School) Series 2018A 5.00%   01/01/37  (a) 1,750,000 2,165,257
Refunding RB (Juilliard School) Series 2018A 5.00%   01/01/38  (a) 1,000,000 1,232,200
Refunding RB (Lincoln Ctr for the Performing Arts) Series 2020A 5.00%   12/01/32  (a) 2,000,000 2,589,440
Refunding RB (Lincoln Ctr for the Performing Arts) Series 2020A 4.00%   12/01/34  (a) 1,000,000 1,183,730
Refunding RB (Lincoln Ctr for the Performing Arts) Series 2020A 4.00%   12/01/35  (a) 1,000,000 1,177,290
Refunding RB (Whitney Museum of American Art) Series 2021 5.00%   07/01/31 2,500,000 3,376,375
New York Health & Hospital Corp
Health System RB Series 2020A 5.00%   02/15/30 2,500,000 3,272,750
New York State Dormitory Auth      
RB (Catholic Health System) Series 2019A 5.00%   07/01/34  (a) 150,000 184,773
RB (Catholic Health System) Series 2019A 4.00%   07/01/38  (a) 925,000 1,032,698
RB (Montefiore Health) Series 2018A 5.00%   08/01/28 1,700,000 2,101,982
RB (Rockefeller Univ) Series 2019C 4.00%   07/01/49  (a) 1,000,000 1,144,250
State Personal Income Tax RANs Series 2020B 5.00%   03/31/21 5,000,000 5,020,450
State Personal Income Tax RB Series 2019A 5.00%   03/15/38  (a) 3,850,000 4,724,412
State Personal Income Tax Refunding RB Series 2012A 5.00%   12/15/24  (a) 1,300,000 1,408,069
State Sales Tax RB Series 2014A 5.00%   03/15/26  (a) 3,700,000 4,204,606
State Sales Tax RB Series 2018 5.00%   03/15/34  (a) 5,000,000 6,153,700
New York State Mortgage Agency
Homeowner Mortgage RB Series 226 3.50%   10/01/50  (a) 3,475,000 3,788,445
New York State Urban Development Corp
State Personal Income Tax RB Series 2020C 5.00%   03/15/33  (a) 1,500,000 1,942,860
New York Transportation Development Corp      
Special Facility RB (JFK Airport) Series 2020A 5.00%   12/01/28 1,000,000 1,225,260
Special Facility RB (JFK Airport) Series 2020A 5.00%   12/01/31  (a) 500,000 622,600
Special Facility RB (JFK Airport) Series 2020C 5.00%   12/01/33  (a) 2,500,000 3,110,250
Port Auth of New York & New Jersey      
Consolidated Bonds 221st Series 5.00%   07/15/35  (a) 2,835,000 3,555,260
Consolidated Bonds 221st Series 4.00%   07/15/36  (a) 2,000,000 2,312,220
Consolidated Bonds 221st Series 4.00%   07/15/45  (a) 3,000,000 3,362,280
Sales Tax Asset Receivable Corp
RB Fiscal 2015 Series A 5.00%   10/15/31  (a) 5,330,000 6,152,579
          107,339,439
22
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
NORTH CAROLINA 2.6%
North Carolina Capital Facilities Finance Agency      
Educational Facilities Refunding RB (Meredith College) Series 2018 5.00%   06/01/25 500,000 577,315
Educational Facilities Refunding RB (Meredith College) Series 2018 5.00%   06/01/26 1,735,000 2,049,347
Educational Facilities Refunding RB (Meredith College) Series 2018 5.00%   06/01/30  (a) 1,000,000 1,150,410
Educational Facilities Refunding RB (Meredith College) Series 2018 5.00%   06/01/31  (a) 1,305,000 1,493,703
Educational Facilities Refunding RB (Meredith College) Series 2018 5.00%   06/01/32  (a) 1,255,000 1,430,562
North Carolina Medical Care Commission      
Health Care Facilities RB (Presbyterian Homes) Series 2020A 4.00%   10/01/27 420,000 491,005
Health Care Facilities RB (Presbyterian Homes) Series 2020A 4.00%   10/01/35  (a) 450,000 519,197
Health Care Facilities RB (Presbyterian Homes) Series 2020A 5.00%   10/01/40  (a) 1,000,000 1,204,880
Health Care Facilities Refunding RB (WakeMed) Series 2012A 5.00%   10/01/21 5,000,000 5,133,800
North Carolina Turnpike Auth      
RB (Triangle Expressway) Series 2019 5.00%   01/01/49  (a) 500,000 612,885
Triangle Expressway Appropriation RB Series 2019 0.00%   01/01/45  (a)(c) 1,700,000 844,186
Triangle Expressway Appropriation RB Series 2019 0.00%   01/01/46  (a)(c) 1,750,000 839,107
Raleigh-Durham Airport Auth      
Refunding RB Series 2020A 5.00%   05/01/31  (a) 435,000 563,573
Refunding RB Series 2020A 5.00%   05/01/33  (a) 1,000,000 1,282,850
Winston-Salem
Water & Sewer System Refunding RB Series 2020A 5.00%   06/01/30 2,000,000 2,684,360
          20,877,180
NORTH DAKOTA 0.5%
West Fargo      
Refunding Bonds Series 2019B 4.00%   05/01/25 400,000 449,488
Refunding Bonds Series 2019B 4.00%   05/01/26 465,000 532,118
Refunding Bonds Series 2019B 4.00%   05/01/27  (a) 425,000 484,640
Williston      
Public Safety Sales Tax RB Series 2018A 5.00%   07/15/21 250,000 253,910
Public Safety Sales Tax RB Series 2018A 5.00%   07/15/22 500,000 526,990
Public Safety Sales Tax RB Series 2018A 4.00%   07/15/23  (a) 1,650,000 1,722,782
          3,969,928
OHIO 2.8%
Buckeye Tobacco Settlement Financing Auth
Tobacco Settlement Refunding Bonds Series 2020A-2 5.00%   06/01/34  (a) 5,000,000 6,313,550
Butler Cnty
Hospital Facilities Refunding RB (UC Health) Series 2017 5.00%   11/15/30  (a) 850,000 1,039,074
Cleveland      
Airport System RB Series 2019B 5.00%   01/01/26 1,045,000 1,226,600
Water RB Series 2020FF 5.00%   01/01/26 1,180,000 1,427,552
Water RB Series 2020FF 5.00%   01/01/28 800,000 1,017,888
Columbus
ULT GO Bonds Series 2021A 5.00%   04/01/34  (a) 5,500,000 7,234,755
Hamilton Cnty
Hospital Facilities RB (UC Health) Series 2014 5.00%   02/01/24 55,000 61,885
23
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Northeast Ohio Medical Univ      
General Refunding RB Series 2021A 5.00%   12/01/25 200,000 232,354
General Refunding RB Series 2021A 4.00%   12/01/35  (a) 300,000 339,543
General Refunding RB Series 2021A 3.00%   12/01/40  (a) 475,000 475,717
General Refunding RB Series 2021A 4.00%   12/01/45  (a) 225,000 246,098
Ohio Higher Educational Facility Commission      
Higher Educational Facility RB (Univ of Dayton) Series 2020 5.00%   02/01/35  (a) 700,000 882,434
Higher Educational Facility RB (Univ of Dayton) Series 2020 4.00%   02/01/36  (a) 555,000 643,340
HIgher Educational Facility RB (Univ of Daytron) Series 2020 5.00%   02/01/34  (a) 700,000 884,842
          22,025,632
OKLAHOMA 1.0%
Norman Regional Hospital Auth
Hospital RB Series 2019 5.00%   09/01/45  (a) 1,050,000 1,250,277
Oklahoma Development Finance Auth      
Lease RB Series 2014A 4.00%   06/01/27  (a) 735,000 805,237
Limited Obligation RB (Gilcrease Expressway West) Series 2020 1.63%   07/06/23  (a) 4,500,000 4,508,370
Tulsa Cnty Industrial Auth
Educational Facilities Lease RB (Tulsa Cnty ISD #11) Series 2018 5.00%   09/01/23 1,000,000 1,110,500
          7,674,384
OREGON 3.3%
Beaverton SD #48J
GO Bonds Series 2017D 5.00%   06/15/36  (a)(d) 2,920,000 3,548,997
Forest Grove      
Campus Refunding & RB (Pacific Univ) Series 2014A 5.25%   05/01/34  (a) 1,075,000 1,117,205
Campus Refunding & RB (Pacific Univ) Series 2015A 5.00%   05/01/24 250,000 277,698
Campus Refunding & RB (Pacific Univ) Series 2015A 5.00%   05/01/25 145,000 164,895
Gresham-Barlow SD #10Jt      
GO Bonds Series 2019 0.00%   06/15/34  (a)(c)(d) 300,000 217,926
GO Bonds Series 2019 0.00%   06/15/35  (a)(c)(d) 400,000 278,632
GO Bonds Series 2019 0.00%   06/15/36  (a)(c)(d) 500,000 333,370
GO Bonds Series 2019 0.00%   06/15/37  (a)(c)(d) 500,000 318,840
Hermiston SD #8R      
Refunding GO Bonds Series 2020A 0.00%   06/15/28  (c)(d) 1,700,000 1,546,898
Refunding GO Bonds Series 2020A 0.00%   06/15/35  (a)(c)(d) 1,400,000 993,916
Lane Cnty SD #52      
GO Bonds Series 2021A 0.00%   06/15/41  (a)(c)(d) 1,000,000 599,740
GO Bonds Series 2021A 0.00%   06/15/42  (a)(c)(d) 1,000,000 578,200
GO Bonds Series 2021A 0.00%   06/15/43  (a)(c)(d) 1,000,000 558,440
GO Bonds Series 2021A 0.00%   06/15/45  (a)(c)(d) 1,000,000 523,620
Medford Hospital Facilities Auth
Hospital Facilities RB (Asante) Series 2020A 4.00%   08/15/39  (a) 1,000,000 1,164,360
North Marion SD #15
GO Bonds Series 2018B 5.00%   06/15/32  (a)(d) 350,000 439,261
Oregon Facilities Auth
Refunding RB (Legacy Health) Series 2011A 5.25%   05/01/21 2,000,000 2,016,100
Phoenix-Talent SD #4
GO Bonds Series 2018 0.00%   06/15/32  (a)(c)(d) 500,000 377,515
24
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Port Morrow      
GO Obligations Series 2016 5.00%   12/01/30  (a) 330,000 360,868
GO Obligations Series 2016 5.00%   12/01/31  (a) 375,000 409,991
GO Obligations Series 2016 5.00%   12/01/36  (a) 1,155,000 1,257,079
Port of Portland      
Airport Refunding RB Series 26C 5.00%   07/01/21 1,760,000 1,786,646
Airport Refunding RB Series 26C 5.00%   07/01/22 1,100,000 1,166,616
Salem Hospital Facility Auth
RB (Salem Health) Series 2019A 5.00%   05/15/26 2,180,000 2,643,119
Seaside
Transient Lodging Tax RB Series 2018 5.00%   12/15/37  (a) 1,875,000 2,293,763
West Linn-Wilsonville SD #3Jt      
GO Bonds Series 2020A 0.00%   06/15/35  (a)(c)(d) 1,130,000 831,352
GO Bonds Series 2020A 0.00%   06/15/40  (a)(c)(d) 640,000 395,053
          26,200,100
PENNSYLVANIA 1.1%
Beaver Cnty      
GO Bonds Series 2017 4.00%   04/15/28  (b)(d) 510,000 618,788
GO Bonds Series 2017 4.00%   04/15/28 1,625,000 1,887,632
Delaware Cnty Auth      
RB (Cabrini Univ) Series 2017 5.00%   07/01/24 370,000 407,973
RB (Cabrini Univ) Series 2017 5.00%   07/01/27 735,000 855,974
RB (Cabrini Univ) Series 2017 5.00%   07/01/31  (a) 805,000 917,072
Philadelphia      
GO Refunding Bonds Series 2019A 5.00%   08/01/25 745,000 883,756
GO Refunding Bonds Series 2019A 5.00%   08/01/26 1,000,000 1,221,150
GO Refunding Bonds Series 2019A 5.00%   08/01/27 500,000 624,490
GO Refunding Bonds Series 2019A 5.00%   08/01/28 300,000 381,507
GO Refunding Bonds Series 2019A 5.00%   08/01/29 245,000 316,415
GO Refunding Bonds Series 2019A 5.00%   08/01/30 285,000 374,328
GO Refunding Bonds Series 2019A 5.00%   08/01/31 300,000 400,935
          8,890,020
RHODE ISLAND 0.1%
Rhode Island Housing & Mortgage Finance Corp
Homeownership Opportunity RB Series 67B 3.50%   10/01/46  (a) 485,000 499,560
SOUTH CAROLINA 1.1%
Kershaw Cnty Public Schools Foundation
Installment Purchase Refunding RB Series 2015 5.00%   12/01/22 800,000 864,592
South Carolina Public Service Auth      
Revenue & Refunding Bonds Series 2020A 4.00%   12/01/37  (a) 1,750,000 2,049,565
Revenue & Refunding Bonds Series 2020A 4.00%   12/01/39  (a) 4,000,000 4,657,200
Univ of South Carolina
Higher Education RB Series 2015 5.00%   05/01/24 1,000,000 1,137,450
          8,708,807
25
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
SOUTH DAKOTA 0.1%
Sioux Falls SD #49-5      
LT Capital Outlay Refunding Certificates Series 2017A 3.00%   08/01/28  (a) 200,000 223,414
LT Capital Outlay Refunding Certificates Series 2017B 3.00%   08/01/28  (a) 425,000 474,755
LT Capital Outlay Refunding Certificates Series 2017C 5.00%   08/01/22 150,000 160,050
          858,219
TENNESSEE 1.0%
Chattanooga-Hamilton Cnty Hospital Auth      
Hospital Refunding & RB (Erlanger Health) Series 2014A 5.00%   10/01/23 450,000 494,303
Hospital Refunding & RB (Erlanger Health) Series 2014A 5.00%   10/01/24 600,000 678,744
Hospital Refunding & RB (Erlanger Health) Series 2014A 5.00%   10/01/25  (a) 950,000 1,068,902
Tennessee Housing Development Agency
Residential RB Series 2020-4 3.00%   01/01/51  (a) 5,000,000 5,438,500
          7,680,449
TEXAS 7.8%
Alamo Heights ISD      
ULT Refunding GO Bonds Series 2020a 5.00%   02/01/25  (d) 1,265,000 1,478,140
ULT Refunding GO Bonds Series 2020A 5.00%   02/01/26  (d) 530,000 637,426
ULT Refunding GO Bonds Series 2020A 5.00%   02/01/27  (d) 425,000 525,232
ULT Refunding RB Series 2020A 5.00%   02/01/24  (d) 1,260,000 1,425,161
ULT Refunding RB Series 2020A 5.00%   02/01/28  (d) 325,000 409,805
Arlington Higher Education Finance Corp
Education RB (Uplift Education) Series 2018A 5.00%   12/01/28  (a)(d) 200,000 241,070
Atlanta ISD      
ULT Refunding GO Bonds Series 2020 4.00%   08/15/26  (d) 310,000 362,269
ULT Refunding GO Bonds Series 2020 4.00%   08/15/27  (d) 325,000 386,224
ULT Refunding GO Bonds Series 2020 4.00%   08/15/28  (d) 340,000 409,853
ULT Refunding GO Series 2020 4.00%   08/15/25  (d) 300,000 342,750
Brady ISD
ULT GO Refunding Bonds Series 2015 5.00%   08/15/24  (d) 170,000 196,063
Central Texas Regional Mobility Auth      
Sr Lien RB Series 2015A 5.00%   01/01/27  (a) 1,100,000 1,290,795
Sr Lien RB Series 2015A 5.00%   01/01/30  (a) 1,520,000 1,762,258
Corpus Christi      
Utility System Jr Lien Refunding & RB Series 2020A 5.00%   07/15/27 300,000 376,002
Utility System Jr Lien Refunding & RB Series 2020A 5.00%   07/15/28 565,000 723,821
Utility System Jr Lien Refunding & RB Series 2020A 5.00%   07/15/29 1,000,000 1,304,360
Dallas-Fort Worth International Airport      
Airport RB Series 2013B 5.00%   11/01/38  (a) 2,300,000 2,462,541
Jt Refunding RB Series 2020A 5.00%   11/01/29 2,500,000 3,246,250
Jt Refunding RB Series 2020A 4.00%   11/01/34  (a) 1,000,000 1,199,170
Donna ISD      
ULT Refunding Bonds Series 2019 5.00%   02/15/27  (d) 775,000 968,347
ULT Refunding Bonds Series 2019 5.00%   02/15/28  (d) 425,000 543,843
ULT Refunding Bonds Series 2019 5.00%   02/15/29  (d) 575,000 752,014
Falls City ISD
ULT GO Bonds Series 2014 5.00%   08/15/30  (a)(d) 930,000 949,372
26
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Forney ISD
ULT GO Refunding Bonds Series 2015 5.00%   08/15/32  (a)(d) 400,000 471,220
Houston
Airport System Sub Lien Refunding RB Series 2020A 4.00%   07/01/47  (a) 1,750,000 1,942,395
Lewisville ISD
ULT Refunding GO Bonds Series 2020 5.00%   08/15/23  (d) 2,500,000 2,787,275
North Texas Tollway Auth
System RB Series 2011A 5.00%   09/01/21  (b) 500,000 512,000
Pearland
GO Refunding Bonds Series 2015 5.00%   03/01/24 1,650,000 1,874,037
Seguin ISD
ULT GO Refunding Bonds Series 2016 5.00%   08/15/28  (a)(d) 445,000 526,368
Spring Branch ISD
ULT GO Bonds Series 2019 5.00%   02/01/28  (d) 620,000 790,791
Spring ISD      
ULT GO Refunding Bonds Series 2020 5.00%   08/15/21  (d) 800,000 817,664
ULT Refunding GO Bonds Series 2020 5.00%   08/15/22  (d) 750,000 802,882
ULT Refunding GO Bonds Series 2020 5.00%   08/15/23  (d) 625,000 696,819
ULT Refunding GO Bonds Series 2020 5.00%   08/15/24  (d) 1,000,000 1,157,780
ULT Refunding GO Bonds Series 2020 5.00%   08/15/25  (d) 1,000,000 1,195,930
ULT Refunding GO Bonds Series 2020 5.00%   08/15/26  (d) 1,000,000 1,230,810
Texas
TRAN 2020 4.00%   08/26/21 15,000,000 15,283,500
Texas Dept of Housing & Community Affairs      
Residential Mortgage RB Series 2019A 4.75%   01/01/49  (a) 1,830,000 2,056,737
S/F Mortgage RB Series 2018A 4.75%   03/01/49  (a) 1,325,000 1,484,808
Texas Municipal Gas Corp III      
Gas Supply Refunding RB Series 2021 5.00%   12/15/31 1,000,000 1,306,150
Gas Supply Refunding RB Series 2021 5.00%   12/15/32 1,250,000 1,654,712
Texas State Affordable Housing Corp      
S/F Mortgage RB Series 2011B 4.45%   09/01/28  (a) 95,000 96,775
S/F Mortgage RB Series 2019A 4.25%   03/01/49  (a) 1,780,000 1,979,182
Texas Transportation Corp
Sr Lien Refunding RB (LBJ Infrastructure) Series 2020A 4.00%   12/31/30 500,000 595,345
Texas Water Dev Brd      
State Revolving Fund RB Series 2020 5.00%   08/01/23 500,000 557,120
State Revolving Fund RB Series 2020 5.00%   08/01/24 750,000 867,435
          62,680,501
UTAH 0.1%
Utah Board of Regents      
Student Building Fee RB Series 2018 5.00%   03/01/27  (a) 360,000 422,709
Student Building Fee RB Series 2018 5.00%   03/01/28  (a) 425,000 498,478
          921,187
VERMONT 0.9%
Vermont HFA      
Mortgage RB Series 2011A 4.50%   02/01/26  (a)(b) 140,000 142,507
Multiple Purpose Bonds Series 2017D 4.00%   05/01/48  (a) 860,000 920,622
27
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Multiple Purpose Bonds Series 2018A 4.00%   11/01/48  (a) 4,015,000 4,356,315
Multiple Purpose Bonds Series 2018C 4.75%   11/01/48  (a) 1,866,000 2,076,261
          7,495,705
VIRGINIA 1.5%
Chesapeake Bay Bridge & Tunnel District
BAN 2019 5.00%   11/01/23 4,250,000 4,729,315
Fairfax Cnty
GO Bonds Series 2020A 5.00%   10/01/33  (a) 5,000,000 6,582,850
Prince William Cnty IDA
RB (George Mason Univ) Series 2011AA 5.50%   09/01/34  (a)(b) 220,000 225,881
Richmond Metropolitan Auth
Expressway Refunding & RB Series 1998 5.25%   07/15/22  (b) 600,000 624,786
          12,162,832
WASHINGTON 4.1%
Energy Northwest      
Electric Refunding RBs Series 2020A 5.00%   07/01/27 1,000,000 1,259,240
Electric Refunding RBs Series 2020A 5.00%   07/01/28 3,585,000 4,615,293
King Cnty Public Hospital District #2      
LT GO Refunding Bonds (EvergreenHealth) Series 2015 5.00%   12/01/22 1,755,000 1,901,525
LT GO Refunding Bonds (EvergreenHealth) Series 2015 5.00%   12/01/24 690,000 800,579
Lake Washington SD #414
ULT Refunding GO Bonds Series 2020 4.00%   12/01/28  (d) 10,000,000 12,236,300
Mason Cnty Public Hospital District #1
Hospital RB Series 2018 5.00%   12/01/48  (a) 1,065,000 1,247,754
Moses Lake SD #161      
ULT GO Bonds Series 2018 5.00%   12/01/33  (a)(d) 1,000,000 1,255,630
ULT GO Bonds Series 2018 5.00%   12/01/34  (a)(d) 1,000,000 1,254,030
ULT GO Bonds Series 2018 5.00%   12/01/35  (a)(d) 1,250,000 1,565,938
Ocosta SD #172
ULT GO Bonds 2013 5.00%   12/01/23  (d) 340,000 382,714
Port of Bellingham      
Refunding RB 2019 5.00%   12/01/27 500,000 612,580
Refunding RB 2019 5.00%   12/01/28 460,000 571,113
Refunding RB 2019 5.00%   12/01/29  (a) 500,000 621,240
Refunding RB 2019 5.00%   12/01/30  (a) 625,000 772,131
Tukwila SD #406
ULT GO Series 2018 5.00%   12/01/37  (a)(d) 2,880,000 3,575,751
          32,671,818
WEST VIRGINIA 0.2%
West Virginia Hospital Finance Auth
Hospital Refunding RB (Cabell Huntington Hospital) Series 2018A 5.00%   01/01/36  (a) 1,400,000 1,699,152
WISCONSIN 1.7%
Wisconsin Center District      
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/30  (c) 460,000 377,329
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/31  (a)(c) 750,000 591,180
28
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/32  (a)(c) 1,250,000 949,862
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/33  (a)(c) 2,000,000 1,458,960
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/34  (a)(c) 1,820,000 1,275,056
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/35  (a)(c) 2,900,000 1,947,466
Jr Dedicated Tax RB Series 2020D 0.00%   12/15/36  (a)(c) 3,000,000 1,930,440
Wisconsin Health & Educational Facilities Auth      
RB (Franciscan Sisters of Christian Charity) Series 2017A 5.00%   09/01/31  (a) 1,000,000 1,155,280
RB (Franciscan Sisters of Christian Charity) Series 2017A 5.00%   09/01/32  (a) 1,025,000 1,178,463
RB (Thedacare) Series 2015 5.00%   12/15/21 200,000 207,326
RB (Thedacare) Series 2015 5.00%   12/15/22 1,045,000 1,131,244
RB (UnityPoint Health) Series 2014A 5.00%   12/01/24  (a) 1,000,000 1,156,340
          13,358,946
WYOMING 0.5%
Laramie Cnty      
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 4.00%   05/01/28 440,000 522,839
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 4.00%   05/01/30 500,000 602,245
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 4.00%   05/01/34  (a) 495,000 588,995
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 4.00%   05/01/36  (a) 400,000 472,408
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 4.00%   05/01/38  (a) 400,000 468,040
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 3.00%   05/01/42  (a) 1,000,000 1,041,280
          3,695,807
Total Fixed-Rate Obligations
(Cost $633,310,111)         665,211,609

Variable-Rate Obligations 14.8% of net assets
ALASKA 0.3%
Valdez      
Refunding RB (Exxon Pipeline) Series 1993A 0.01%   12/01/33  (a)(e) 500,000 500,000
Refunding RB (ExxonMobil) Series 1993B 0.01%   12/01/33  (a)(e) 1,875,000 1,875,000
          2,375,000
ARIZONA 0.4%
Arizona Health Facilities Auth
Refunding RB (Phoenix Childrens Hospital) Series 2013A3          
(SIFMA Municipal Swap Index + 1.85%) 1.88%   02/01/48  (a) 3,000,000 3,048,120
CALIFORNIA 1.9%
Bay Area Toll Auth      
Toll Bridge RB Series 2017H 2.13%   04/01/53  (a)(f) 3,000,000 3,143,160
Toll Bridge RB Series 2018A 2.63%   04/01/45  (a)(f) 3,000,000 3,248,100
California Health Facilities Financing Auth
RB (Adventist Health System) Series 2011A 3.00%   03/01/41  (a)(f) 2,815,000 2,971,458
California Infrastructure & Economic Development Bank
RB (Brightline West Passenger Rail) Series 2020A 0.45%   01/01/50  (a)(d)(f) 6,000,000 6,000,600
          15,363,318
29
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
COLORADO 1.5%
Colorado Health Facilities Auth
Hospital RB (AdventHealth) Series 2019B 5.00%   11/15/49  (a)(f) 4,000,000 4,953,480
Denver
Airport System RB Series 2019D 5.00%   11/15/31  (a)(f) 1,750,000 1,888,968
Univ of Colorado
Refunding RB Series 2019C 2.00%   06/01/54  (a)(f) 5,000,000 5,262,000
          12,104,448
DISTRICT OF COLUMBIA 0.4%
District of Columbia Water & Sewer Auth
Public Utility Sub Lien RB Series 2019C 1.75%   10/01/54  (a)(f) 3,000,000 3,116,760
FLORIDA 0.4%
Hillsborough Cnty IDA
Health System RB (Baycare Health) Series 2020B 0.03%   11/01/38  (a)(d)(e) 3,000,000 3,000,000
GEORGIA 0.6%
Main St Natural Gas Inc
Gas Supply RB Series 2018E          
(SIFMA Municipal Swap Index + 0.57%) 0.60%   08/01/48  (a) 5,000,000 5,012,150
INDIANA 0.1%
Indiana Housing & Community Development Agency
S/F Mortgage RB Series 2017B-3 0.03%   07/01/47  (a)(d)(e) 500,000 500,000
IOWA 0.7%
Public Energy Financing Auth
Gas Project RB Series 2019 5.00%   09/01/49  (a)(d)(f) 5,000,000 6,039,000
KENTUCKY 0.2%
Louisville & Jefferson Cnty Metro Government
RB (Norton Healthcare) Series 2011B 0.01%   10/01/39  (a)(d)(e) 1,415,000 1,415,000
MONTANA 0.8%
Montana Facility Finance Auth
RB (Billings Clinic) Series 2018C          
(SIFMA Municipal Swap Index + 0.55%) 0.58%   08/15/37  (a) 3,100,000 3,105,983
Montana State Board of Regents
Educational Facilities Refunding RB (Montana State Univ) Series 2012A          
(SIFMA Municipal Swap Index + 0.45%) 0.48%   11/15/35  (a) 3,090,000 3,106,779
          6,212,762
NEW YORK 3.1%
Metropolitan Transportation Auth
Dedicated Tax Fund Refunding Bonds Series 2008A-1 0.03%   11/01/31  (a)(d)(e) 6,700,000 6,700,000
New York City
GO Bonds Fiscal 2017 Series A5 0.02%   08/01/44  (a)(d)(e) 1,800,000 1,800,000
30
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
New York City Municipal Water Finance Auth      
Water & Sewer System 2nd Resolution RB Fiscal 2014 Series AA 0.03%   06/15/48  (a)(d)(e) 2,100,000 2,100,000
Water & Sewer System RB Fiscal 2011 Series DD1 0.03%   06/15/43  (a)(d)(e) 6,665,000 6,665,000
New York City Transitional Finance Auth
Future Tax Secured Sub Bonds Fiscal 2014 Series D3 0.03%   02/01/44  (a)(d)(e) 2,875,000 2,875,000
New York Liberty Development Corp
RB (Goldman Sachs Headquarters) Series 2005 0.38%   10/01/35  (a)(d)(g)(h) 3,750,000 3,750,000
New York State Mortgage Agency
Homeowner Mortgage RB Series 142 0.03%   10/01/37  (a)(d)(e) 800,000 800,000
          24,690,000
OREGON 1.1%
Marion & Polk Cnty SD
GO Bonds Series 2020B 0.00%   06/15/34  (a)(d)(i) 1,000,000 1,281,340
Oregon Business Development Commission
Recovery Zone Facility Bonds (Intel Corp) Series 232 2.40%   12/01/40  (a)(f) 3,000,000 3,139,050
St. Helens SD #502
GO Bonds Series 2020B 0.00%   06/15/45  (a)(d)(i) 1,665,000 1,972,975
Umatilla SD #6R      
GO Bonds Series 2017 0.00%   06/15/29  (a)(d)(i) 340,000 377,284
GO Bonds Series 2017 0.00%   06/15/30  (a)(d)(i) 300,000 331,710
GO Bonds Series 2017 0.00%   06/15/31  (a)(d)(i) 300,000 330,363
GO Bonds Series 2017 0.00%   06/15/32  (a)(d)(i) 350,000 383,873
GO Bonds Series 2017 0.00%   06/15/33  (a)(d)(i) 520,000 568,313
GO Bonds Series 2017 0.00%   06/15/34  (a)(d)(i) 350,000 381,374
GO Bonds Series 2017 0.00%   06/15/35  (a)(d)(i) 410,000 445,703
          9,211,985
SOUTH CAROLINA 0.2%
South Carolina Educational Facilities Auth      
Educational Facilities RB (Wofford College) Series 2007B 2.38%   04/01/27  (a)(b)(e) 295,000 294,923
Educational Facilities RB (Wofford College) Series 2007B 2.38%   04/01/27  (a)(f) 1,515,000 1,545,058
          1,839,981
TEXAS 2.5%
Denton ISD
ULT GO Series 2014B 2.00%   08/01/44  (a)(d)(f) 2,000,000 2,102,160
Fort Bend ISD
ULT GO Refunding Bonds Series 2020B 0.88%   08/01/50  (a)(d)(f) 3,000,000 2,999,790
Lower Neches Valley Auth Industrial Development Corp
RB (ExxonMobil) Series 2010 0.02%   11/01/38  (a)(e) 1,475,000 1,475,000
Northside ISD      
ULT GO Refunding Bonds Series Series 2020 0.70%   06/01/50  (a)(d)(f) 5,000,000 4,980,400
ULT GO Series 2019 1.60%   08/01/49  (a)(d)(f) 2,980,000 3,068,327
San Antonio
Water System Jr Lien RB Series 2019A 2.63%   05/01/49  (a)(f) 5,000,000 5,327,100
          19,952,777
31
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
WASHINGTON 0.4%
King Cnty
Sewer Jr Lien RB Series 2012 2.60%   01/01/43  (a)(f) 3,000,000 3,000,000
WISCONSIN 0.2%
Wisconsin Health & Educational Facilities Auth
RB (Advocate Aurora Health) Series 2018C4          
(SIFMA Municipal Swap Index + 0.65%) 0.68%   08/15/54  (a) 1,700,000 1,707,820
Total Variable-Rate Obligations
(Cost $116,223,881)         118,589,121
(a) The effective maturity may be shorter than the final maturity shown because the security is subject to a put, demand or call feature.
(b) Refunded bond.
(c) Zero coupon bond.
(d) Credit-enhanced or liquidity-enhanced.
(e) VRDN is a municipal security which allows holders to sell their security through a put or tender feature, at par value plus accrued interest. The interest rate resets on a periodic basis, the majority of which are weekly but may be daily or monthly. Unless a reference rate and spread is shown parenthetically, the Remarketing Agent, generally a dealer, determines the interest rate for the security at each interest rate reset date. The rate is typically based on the SIFMA Municipal Swap Index.
(f) Bond currently pays a fixed coupon rate and will be remarketed at a to be determined rate at the end of the current fixed rate term.
(g) Securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $3,750,000 or 0.5% of net assets.
(h) TOB is a synthetically created VRDN where the owner of a long-term bond places the bond in a trust in combination with a liquidity facility. The trust then sells certificates which mirror the VRDN sold directly by a municipal issuer. VRDN is a municipal security which allows holders to sell their security through a put or tender feature, at par value plus accrued interest. The interest rate resets on a periodic basis, the majority of which are weekly but may be daily or monthly. Unless a reference rate and spread is shown parenthetically, the Remarketing Agent, generally a dealer, determines the interest rate for the security at each interest rate reset date. The rate is typically based on the SIFMA Municipal Swap Index.
(i) Step up bond that pays an initial coupon rate for a set period and increased coupon rates at one or more preset intervals. Rate shown is as of period end.
   
BAN — Bond anticipation note
COP — Certificate of participation
GO — General obligation
HFA — Housing finance agency/authority
HSD — High school district
IDA — Industrial development agency/authority
ISD — Independent school district
LT — Limited tax
RB — Revenue bond
SD — School district
S/F — Single-family
SIFMA — Securities Industry and Financial Markets Association. The SIFMA Municipal Swap Index is a market index comprised of high-grade 7-day tax-exempt Variable Rate Demand Obligations with certain characteristics.
TOB — Tender option bond
TRAN — Tax and revenue anticipation note
ULT — Unlimited tax
USD — Unified school district
VRDN — Variable rate demand note
    
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Fixed-Rate Obligations1 $— $665,211,609 $— $665,211,609  
Variable-Rate Obligations1 — 118,589,121 — 118,589,121  
Total $— $783,800,730 $— $783,800,730  
1 As categorized in Portfolio Holdings.
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Schwab Tax-Free Bond Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in unaffiliated issuers, at value (cost $749,533,992)   $783,800,730
Cash   1,590
Receivables:    
Investments sold   9,015,478
Interest   7,569,890
Fund shares sold   700,109
Prepaid expenses + 25,757
Total assets   801,113,554
Liabilities
Payables:    
Investment adviser and administrator fees   132,701
Shareholder service fees   149,509
Independent trustees’ fees   953
Fund shares redeemed   597,541
Distributions to shareholders   523,799
Accrued expenses + 135,002
Total liabilities   1,539,505
Net Assets
Total assets   801,113,554
Total liabilities – 1,539,505
Net assets   $799,574,049
Net Assets by Source    
Capital received from investors   763,611,386
Total distributable earnings   35,962,663
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$799,574,049   66,341,143   $12.05
         
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Schwab Tax-Free Bond Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income
Interest   $9,027,697
Expenses
Investment adviser and administrator fees   1,057,405
Shareholder service fees   938,473
Portfolio accounting fees   54,478
Registration fees   24,406
Professional fees   21,643
Shareholder reports   19,495
Independent trustees’ fees   8,571
Custodian fees   6,927
Transfer agent fees   5,050
Other expenses + 5,964
Total expenses   2,142,412
Expense reduction by CSIM and its affiliates – 228,489
Net expenses – 1,913,923
Net investment income   7,113,774
Realized and Unrealized Gains (Losses)
Net realized gains on investments   4,012,547
Net change in unrealized appreciation (depreciation) on investments + (5,180,709)
Net realized and unrealized losses   (1,168,162)
Increase in net assets resulting from operations   $5,945,612
34
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab Tax-Free Bond Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations  
  9/1/20-2/28/21 9/1/19-8/31/20
Net investment income   $7,113,774 $15,983,456
Net realized gains   4,012,547 2,034,233
Net change in unrealized appreciation (depreciation) + (5,180,709) (2,763,710)
Increase in net assets from operations   5,945,612 15,253,979
Distributions to Shareholders  
Total distributions   ($11,332,699) ($18,059,870)
    
Transactions in Fund Shares      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES VALUE SHARES VALUE
Shares sold   10,234,608 $124,560,859 22,312,965 $266,887,982
Shares reinvested   543,170 6,607,640 839,847 10,070,852
Shares redeemed + (6,914,071) (84,051,313) (22,653,985) (267,662,212)
Net transactions in fund shares   3,863,707 $47,117,186 498,827 $9,296,622
Shares Outstanding and Net Assets      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   62,477,436 $757,843,950 61,978,609 $751,353,219
Total increase + 3,863,707 41,730,099 498,827 6,490,731
End of period   66,341,143 $799,574,049 62,477,436 $757,843,950
35
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		9/1/19–
8/31/20 		9/1/18–
8/31/19 		9/1/17–
8/31/18 		9/1/16–
8/31/17 		9/1/15–
8/31/16
Per-Share Data
Net asset value at beginning of period $12.26 $12.23 $11.69 $11.96 $12.30 $11.97
Income (loss) from investment operations:            
Net investment income (loss)1 0.11 0.24 0.29 0.28 0.28 0.27
Net realized and unrealized gains (losses) (0.07) 0.07 0.54 (0.27) (0.25) 0.40
Total from investment operations 0.04 0.31 0.83 0.01 0.03 0.67
Less distributions:            
Distributions from net investment income (0.11) (0.24) (0.29) (0.28) (0.28) (0.27)
Distributions from net realized gains (0.09) (0.04) — — (0.09) (0.07)
Total distributions (0.20) (0.28) (0.29) (0.28) (0.37) (0.34)
Net asset value at end of period $12.10 $12.26 $12.23 $11.69 $11.96 $12.30
Total return 0.29% 2 2.54% 7.19% 0.14% 0.36% 5.64%
Ratios/Supplemental Data
Ratios to average net assets:            
Net operating expenses 0.49% 3 0.49% 0.49% 0.49% 0.49% 0.49%
Gross operating expenses 0.58% 3 0.58% 0.60% 0.60% 0.59% 0.60%
Net investment income (loss) 1.73% 3 1.97% 2.42% 2.42% 2.38% 2.23%
Portfolio turnover rate 27% 2 78% 75% 59% 64% 38% 4
Net assets, end of period (x 1,000,000) $497 $488 $488 $395 $427 $466
 
* Unaudited.
1
Calculated based on the average shares outstanding during the period.
2
Not annualized
3
Annualized.
4
Historically low yields led to large unrealized gains in existing positions. To limit taxable gains, Fund Management decreased sale activity and thereby decreased portfolio turnover.
36
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity.
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Fixed-Rate Obligations 87.0% of net assets
CALIFORNIA 87.0%
Alameda City USD      
GO Bonds Series C 4.00%   08/01/28  (a) 400,000 481,140
GO Bonds Series C 4.00%   08/01/30  (a) 450,000 533,682
GO Bonds Series C 4.00%   08/01/31  (a) 260,000 306,774
GO Bonds Series C 4.00%   08/01/32  (a) 250,000 293,173
GO Bonds Series C 4.00%   08/01/33  (a) 250,000 290,838
Alameda Corridor Transportation Auth
Sr Lien Refunding RB Series 2013A 5.00%   10/01/28  (a) 2,060,000 2,284,231
American Canyon Finance Auth      
Refunding RB Series 2015 5.00%   09/02/22 345,000 370,171
Refunding RB Series 2015 5.00%   09/02/23 575,000 641,493
Refunding RB Series 2015 5.00%   09/02/25 690,000 824,405
Banning Financing Auth
Electric System Refunding RB Series 2015 5.00%   06/01/27  (a) 650,000 758,095
Beverly Hills USD      
GO Bonds Series 2009 0.00%   08/01/26  (b) 555,000 529,065
GO Bonds Series 2017 0.00%   08/01/34  (a)(b) 7,705,000 5,223,065
California      
GO Bonds 5.00%   09/01/25  (a) 1,815,000 2,022,763
GO Bonds 5.00%   09/01/42  (a) 1,500,000 1,601,325
GO Bonds Series 2010 4.00%   11/01/34  (a) 1,000,000 1,216,020
GO Bonds Series CQ 4.00%   12/01/47  (a) 3,665,000 3,975,425
GO Refunding Bonds 5.00%   08/01/27 2,730,000 3,440,674
GO Refunding Bonds 5.25%   10/01/32  (a) 1,960,000 2,017,742
GO Refunding Bonds Series 2016 5.00%   09/01/29  (a) 1,290,000 1,574,135
GO Refunding Bonds Series 2017 5.00%   08/01/32  (a) 2,000,000 2,424,560
California Cnty Tobacco Securitization Agency      
Tobacco Settlement (Gold Country) Sr Refunding Bonds Series 2020A 4.00%   06/01/37  (a) 1,095,000 1,311,514
Tobacco Settlement (Gold Country) Sub Refunding Bonds Series 2020B1 1.10%   06/01/30 200,000 200,094
Tobacco Settlement (Gold Country) Sub Refunding Bonds Series 2020B1 4.00%   06/01/49  (a) 325,000 351,709
Tobacco Settlement (Los Angeles Cnty Securitization) RB Series 2020A 4.00%   06/01/36  (a) 1,510,000 1,798,168
Tobacco Settlement (Los Angeles Cnty Securitization) RB Series 2020A 4.00%   06/01/37  (a) 310,000 367,759
Tobacco Settlement (Los Angeles Cnty Securitization) RB Series 2020A 4.00%   06/01/38  (a) 340,000 402,067
Tobacco Settlement (Los Angeles Cnty Securitization) Series 2020B-1 1.75%   06/01/30 250,000 251,125
Tobacco Settlement (Los Angeles Cnty Securitization) Sr RB Series 2020A 4.00%   06/01/49  (a) 1,530,000 1,745,516
37
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Series 2020A 5.00%   06/01/24 210,000 239,841
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Series 2020A 5.00%   06/01/25 175,000 206,376
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Series 2020A 5.00%   06/01/26 225,000 273,157
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Series 2020A 5.00%   06/01/27 250,000 311,098
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Series 2020A 5.00%   06/01/28 150,000 190,479
Tobacco Settlement RB (Sonoma Cnty Securitization Corp) Sub Series 2020B1 1.38%   06/01/30 150,000 150,554
California Educational Facilities Auth      
RB (Art Center College of Design) Series 2018A 5.00%   12/01/35  (a) 1,250,000 1,510,087
RB (Art Center College of Design) Series 2018A 5.00%   12/01/44  (a) 1,000,000 1,180,020
California Health Facilities Financing Auth      
Insured RB (Northern CA Presbyterian Home & Services) Series 2015 5.00%   07/01/23  (c) 175,000 193,650
RB (Childrens Hospital of Orange Cnty) Series 2019A 4.00%   11/01/29 500,000 616,290
RB (Childrens Hospital of Orange Cnty) Series 2019A 5.00%   11/01/30  (a) 500,000 653,200
RB (Childrens Hospital of Orange Cnty) Series 2019A 5.00%   11/01/31  (a) 965,000 1,254,249
RB (CommonSpirit Health) Series 2020A 4.00%   04/01/36  (a) 2,500,000 2,936,750
RB (On Lok Sr Health Services) Series 2020 5.00%   08/01/40  (a) 650,000 796,633
RB (On Lok Sr Health Services) Series 2020 5.00%   08/01/50  (a) 1,000,000 1,204,370
Refunding RB (Marshall Medical Center) Series 2015 5.00%   11/01/22  (c) 275,000 296,387
Refunding RB (Marshall Medical Center) Series 2015 5.00%   11/01/25  (a)(c) 200,000 230,962
Refunding RB (Marshall Medical Center) Series 2015 5.00%   11/01/28  (a)(c) 800,000 919,080
California Infrastructure & Economic Development Bank      
Lease RB (California State Retirement System) Series 2019 5.00%   08/01/49  (a) 1,150,000 1,403,563
RB (Academy of Motion Picture Arts & Sciences) Series 2015A 5.00%   11/01/24  (a) 1,635,000 1,834,650
Refunding RB ( Los Angeles Cnty Museum) Series 2021A 1.20%   12/01/50  (a) 3,000,000 2,949,660
Refunding RB (Cal ISO Corp) Series 2013 5.00%   02/01/30  (a)(d) 4,130,000 4,507,647
Refunding RB (Los Angeles Cnty Museum of Natural History) Series 2020 4.00%   07/01/50  (a) 2,500,000 2,833,800
Refunding RB (Performing Arts Center of Los Angeles Cnty) Series 2020 4.00%   12/01/36  (a) 430,000 496,328
Refunding RB (Performing Arts Center of Los Angeles Cnty) Series 2020 4.00%   12/01/37  (a) 475,000 546,350
Refunding RB (Performing Arts Center of Los Angeles Cnty) Series 2020 5.00%   12/01/39  (a) 1,000,000 1,244,940
Refunding RB (Performing Arts Center of Los Angeles Cnty) Series 2020 5.00%   12/01/41  (a) 995,000 1,230,397
Refunding RB (Walt Disney Family Museum) Series 2016 5.00%   02/01/29  (a) 250,000 291,258
Refunding RB (Walt Disney Family Museum) Series 2016 5.00%   02/01/30  (a) 330,000 382,282
Refunding RB (Walt Disney Family Museum) Series 2016 5.00%   02/01/31  (a) 350,000 404,170
Refunding RBs (Academy of Motion Picture Arts & Sciences) Series 2020B 5.00%   11/01/29  (a) 1,500,000 1,946,610
California Municipal Finance Auth      
Insured Refunding RB (Channing House) Series 2017A 5.00%   05/15/26  (c) 360,000 436,273
Insured Refunding RB (Channing House) Series 2017A 5.00%   05/15/27  (c) 350,000 434,098
Insured Refunding RB (Channing House) Series 2017A 5.00%   05/15/34  (a)(c) 1,040,000 1,265,503
RB (Clinicas del Camino Real) Series 2020 4.00%   03/01/28 1,455,000 1,658,918
RB (Clinicas del Camino Real) Series 2020 4.00%   03/01/29 1,515,000 1,737,523
RB (Clinicas del Camino Real) Series 2020 4.00%   03/01/30 790,000 908,184
RB (Inland Christian Home) Series 2020 4.00%   12/01/39  (a)(c) 1,240,000 1,459,257
RB (National Univ) Series 2019A 5.00%   04/01/26 650,000 780,065
RB (National Univ) Series 2019A 5.00%   04/01/27 1,100,000 1,353,220
RB (Univ of La Verne) Series 2017A 5.00%   06/01/29  (a) 1,000,000 1,218,920
Refunding RB (Biola Univ) Series 2017 5.00%   10/01/25 155,000 182,209
Refunding RB (Eisenhower Medical Center) Series 2017B 5.00%   07/01/27 600,000 733,950
Refunding RB (Eisenhower Medical Center) Series 2017B 5.00%   07/01/30  (a) 1,350,000 1,620,418
Refunding RB (HumanGood California) Series 2019A 4.00%   10/01/29  (a) 645,000 736,951
Refunding RB (HumanGood California) Series 2019A 4.00%   10/01/30  (a) 750,000 854,317
38
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Refunding RB (HumanGood California) Series 2019A 4.00%   10/01/31  (a) 500,000 567,820
Refunding RB (Institute of Aging) Series 2017 5.00%   08/15/29  (a)(c) 250,000 310,005
Refunding RB (Institute of Aging) Series 2017 5.00%   08/15/31  (a)(c) 575,000 709,027
Refunding RB (Institute of Aging) Series 2017 5.00%   08/15/32  (a)(c) 250,000 307,643
Refunding RB (Institute of Aging) Series 2017 5.00%   08/15/33  (a)(c) 250,000 306,790
California Public Finance Auth      
RB (Henry Mayo Newhall Hospital) Series 2017 5.00%   10/15/21 410,000 420,795
RB (Henry Mayo Newhall Hospital) Series 2017 5.00%   10/15/33  (a) 425,000 492,788
RB (Henry Mayo Newhall Hospital) Series 2017 5.00%   10/15/47  (a) 1,000,000 1,128,470
California Public Works Board      
Lease RB Series 2011C 5.75%   10/01/31  (a) 1,000,000 1,032,180
Lease RB Series 2011D 5.00%   12/01/22  (a) 500,000 517,910
Lease RB Series 2012A 5.00%   04/01/23  (a) 1,850,000 1,945,645
Lease RB Series 2014B 5.00%   10/01/24 1,000,000 1,160,220
California School Finance Auth      
School Facility RB (Kipp LA) Series 2017A 4.00%   07/01/21 280,000 282,920
School Facility RB (Kipp LA) Series 2017A 4.00%   07/01/22 300,000 311,253
School Facility RB (Kipp LA) Series 2017A 4.00%   07/01/23 200,000 215,128
School Facility RB (Kipp LA) Series 2017A 5.00%   07/01/24 165,000 187,270
School Facility RB (Kipp LA) Series 2017A 5.00%   07/01/37  (a) 590,000 694,890
California Statewide Communities Development Auth      
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/24 870,000 972,930
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/31  (a) 1,700,000 2,058,156
Hospital Refunding RB (Methodist Hospital of Southern California) Series 2018 5.00%   01/01/33  (a) 1,600,000 1,917,408
Insured Health Facility Refunding RB (Los Angeles Jewish Home for the Aging) Series 2019A 5.00%   11/15/34  (a)(c) 750,000 940,312
Insured Health Facility Refunding RB (Los Angeles Jewish Home for the Aging) Series 2019A 5.00%   11/15/37  (a)(c) 735,000 912,208
RB (Adventist Health System West) Series 2018A 5.00%   03/01/48  (a) 2,765,000 3,257,889
RB (Loma Linda Univ Medical Center) Series 2018A 5.25%   12/01/43  (a) 2,500,000 2,923,050
RB (Redlands Community Hospital) Series 2016 5.00%   10/01/30  (a) 800,000 953,568
RB (Redlands Community Hospital) Series 2016 5.00%   10/01/32  (a) 700,000 828,828
RB (Viamonte Sr Living 1) Series 2018A 5.00%   07/01/29  (a)(c) 300,000 376,980
RB (Viamonte Sr Living 1) Series 2018A 5.00%   07/01/30  (a)(c) 235,000 292,928
RB (Viamonte Sr Living 1) Series 2018A 5.00%   07/01/32  (a)(c) 900,000 1,112,265
RB (Viamonte Sr Living 1) Series 2018A 4.00%   07/01/35  (a)(c) 275,000 316,591
RB (Viamonte Sr Living 1) Series 2018A 4.00%   07/01/36  (a)(c) 425,000 487,705
RBs (Emanate Health) Series 2020A 4.00%   04/01/36  (a) 2,025,000 2,360,401
RBs (Emanate Health) Series 2020A 4.00%   04/01/45  (a) 1,750,000 1,985,060
Refunding RB (CHF-Irvine) Series 2016 5.00%   05/15/30  (a) 500,000 582,900
Refunding RB (CHF-Irvine) Series 2016 5.00%   05/15/32  (a) 1,250,000 1,446,437
Refunding RB (Episcopal Communities & Services) Series 2012 5.00%   05/15/21 300,000 302,574
Refunding RB (Episcopal Communities & Services) Series 2012 5.00%   05/15/24  (a) 440,000 460,266
Refunding RB (Huntington Memorial Hospital) Series 2014B 5.00%   07/01/21 550,000 558,289
Refunding RB (Huntington Memorial Hospital) Series 2014B 5.00%   07/01/22 400,000 424,116
Salinas Transportation Revenue COPs Series 2018B 5.00%   12/01/33  (a) 1,075,000 1,330,302
Salinas Transportation Revenue COPs Series 2018B 5.00%   12/01/36  (a) 1,475,000 1,808,851
Carpinteria Valley Water District      
Refunding RB Series 2020A 5.00%   07/01/29 125,000 163,399
Refunding RB Series 2020A 5.00%   07/01/30 150,000 199,332
Refunding RB Series 2020A 5.00%   07/01/31  (a) 145,000 191,660
39
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Refunding RB Series 2020A 5.00%   07/01/32  (a) 100,000 131,488
Refunding RB Series 2020A 5.00%   07/01/33  (a) 200,000 261,764
Refunding RB Series 2020A 5.00%   07/01/34  (a) 250,000 324,683
Refunding RB Series 2020A 5.00%   07/01/35  (a) 350,000 452,438
Cathedral City Successor Redevelopment Agency      
Sub Tax Allocation Refunding RB Series 2021C 4.00%   08/01/24 650,000 717,145
Sub Tax Allocation Refunding RB Series 2021C 4.00%   08/01/26 575,000 659,278
Sub Tax Allocation Refunding RB Series 2021C 4.00%   08/01/28 250,000 293,615
Sub Tax Allocation Refunding RB Series 2021C 4.00%   08/01/29 250,000 296,470
Sub Tax Allocation Refunding RB Series 2021C 4.00%   08/01/30 570,000 679,252
Tax Allocation Refunding RB Series 2021A 4.00%   08/01/31  (a) 375,000 447,994
Tax Allocation Refunding RB Series 2021A 4.00%   08/01/32  (a) 525,000 625,359
Tax Allocation Refunding RB Series 2021A 4.00%   08/01/33  (a) 750,000 890,572
Tax Allocation Refunding RB Series 2021A 4.00%   08/01/34  (a) 1,000,000 1,184,790
Centinela Valley UHSD
GO Bonds Series 2013B 6.00%   08/01/36  (a)(d) 1,300,000 1,476,735
Ceres Successor Redevelopment Agency      
Sub Tax Allocation Refunding Bonds Series 2020 4.00%   12/15/34  (a) 500,000 591,915
Sub Tax Allocation Refunding Bonds Series 2020 4.00%   12/15/35  (a) 500,000 589,825
Ceres Water
Water System RB Series 2020 0.50%   06/01/50  (a) 1,375,000 1,375,550
Chaffey Joint UHSD      
GO Bonds Series D 0.00%   08/01/34  (a)(b) 450,000 319,725
GO Bonds Series D 0.00%   08/01/35  (a)(b) 550,000 375,920
Chico      
Sewer Refunding RB Series 2020 5.00%   12/01/22 625,000 677,644
Sewer Refunding RB Series 2020 5.00%   12/01/23 780,000 879,824
Sewer Refunding RB Series 2020 5.00%   12/01/24 770,000 899,637
Sewer Refunding RB Series 2020 5.00%   12/01/25 400,000 482,664
Sewer Refunding RB Series 2020 5.00%   12/01/26 320,000 397,248
Sewer Refunding RB Series 2020 5.00%   12/01/27 425,000 538,161
Sewer Refunding RB Series 2020 5.00%   12/01/28 450,000 581,391
Sewer Refunding RB Series 2020 5.00%   12/01/29 450,000 590,274
Clovis
Wastewater Refunding RB Series 2015 5.25%   08/01/30  (a) 1,060,000 1,262,301
Compton USD      
GO Refunding Bonds Series 2016F 5.50%   06/01/28  (a) 250,000 308,148
GO Refunding Bonds Series 2016F 5.50%   06/01/30  (a) 500,000 613,705
GO Refunding Bonds Series 2016F 5.50%   06/01/31  (a) 750,000 918,840
Contra Costa CCD
GO Refunding Bonds Series 2011 5.00%   08/01/22  (a)(d) 975,000 994,763
Cordova Recreation & Park District
COP Series 2018 5.00%   03/01/43  (a) 1,130,000 1,307,794
Cotati-Rohnert Park USD
GO Refunding Bonds Series 2014B 5.00%   08/01/23 735,000 818,400
Desert CCD      
GO Bonds Series 2018 5.00%   08/01/37  (a)(d) 415,000 462,945
GO Bonds Series 2018 5.00%   08/01/38  (a)(d) 500,000 557,765
40
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Diablo Water District      
Water Revenue COP Series 2019 4.00%   01/01/23 400,000 427,528
Water Revenue COP Series 2019 4.00%   01/01/27 470,000 560,343
Water Revenue COP Series 2019 4.00%   01/01/28 490,000 594,306
Water Revenue COP Series 2019 4.00%   01/01/29  (a) 505,000 606,505
Water Revenue COP Series 2019 4.00%   01/01/30  (a) 480,000 566,131
Discovery Bay Public Financing Auth      
Water & Wastewater RB Series 2017 5.00%   12/01/25 225,000 272,792
Water & Wastewater RB Series 2017 5.00%   12/01/26 240,000 299,777
Water & Wastewater RB Series 2017 5.00%   12/01/27 250,000 320,330
East Bay Municipal Utility District
Water System Refunding Bonds Series 2015A 5.00%   06/01/35  (a) 475,000 558,144
East Side UHSD      
Refunding GO Bonds Series 2020 5.00%   08/01/22 1,230,000 1,314,046
Refunding GO Bonds Series 2020 5.00%   08/01/24 1,000,000 1,155,100
Refunding GO Bonds Series 2020 5.00%   08/01/26 1,200,000 1,476,096
Refunding GO Bonds Series 2020 5.00%   08/01/27 1,150,000 1,452,657
El Camino Hospital District
GO Bonds Series 2006 0.00%   08/01/29  (b) 1,250,000 1,091,600
Elk Grove Finance Auth      
Special Tax RB Series 2015 5.00%   09/01/22 450,000 481,361
Special Tax RB Series 2015 5.00%   09/01/23 775,000 857,165
Franklin-McKinley SD
GO Bonds Series C 0.00%   08/01/40  (a)(b)(d) 1,000,000 342,940
Fresno Jt Power Finance Auth      
Lease Refunding RB Series 2017A 5.00%   04/01/26 850,000 1,013,098
Lease Refunding RB Series 2017A 5.00%   04/01/28  (a) 1,415,000 1,714,145
Fresno USD      
GO Bonds Series 2016A 0.00%   08/01/33  (a)(b) 1,120,000 770,000
GO Bonds Series 2016A 0.00%   08/01/34  (a)(b) 1,900,000 1,242,752
Glendale Successor Redevelopment Agency
Sub Tax Allocation Refunding Bonds Series 2013 5.00%   12/01/21 1,250,000 1,294,200
Golden West Schools Financing Auth
GO RB (Rowland USD) Series 2005 5.25%   09/01/24 1,675,000 1,961,308
Goleta Water District
Refunding COP Series 2014A 5.00%   12/01/24  (a) 900,000 1,015,452
Greenfield Redevelopment Agency      
Tax Allocation Refunding Bonds Series 2016 4.00%   02/01/25 790,000 889,026
Tax Allocation Refunding Bonds Series 2016 5.00%   02/01/29  (a) 730,000 856,516
Hastings Campus Housing Financing Auth
Campus Housing RB Series 2020A 5.00%   07/01/45  (a) 2,800,000 3,196,368
Hastings College of the Law      
Refunding Bonds Series 2017 5.00%   04/01/25 400,000 465,856
Refunding Bonds Series 2017 5.00%   04/01/27 175,000 214,939
Refunding Bonds Series 2017 5.00%   04/01/28  (a) 180,000 220,054
Refunding Bonds Series 2017 5.00%   04/01/32  (a) 1,100,000 1,320,473
Refunding Bonds Series 2017 5.00%   04/01/34  (a) 1,115,000 1,330,240
Healdsburg
Wastewater Refunding RB Series 2015A 4.00%   10/01/22 1,095,000 1,161,883
41
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Healdsburg Redevelopment Agency
Tax Allocation Refunding Bonds (Sotoyome) Series 2017 4.00%   08/01/22 695,000 728,318
Imperial USD
GO Bonds Series A 5.25%   08/01/43  (a) 1,430,000 1,757,184
Independent Cities Finance Auth      
Mobile Home Park Refunding RB (Union City Tropics) Series 2019 4.25%   05/15/25 780,000 886,291
Mobile Home Park Refunding RB (Union City Tropics) Series 2019 4.25%   05/15/26 810,000 938,199
Mobile Home Park Refunding RB (Union City Tropics) Series 2019 5.00%   05/15/48  (a) 2,000,000 2,383,900
Indian Wells Successor Redevelopment Agency      
Consolidated Whitewater Redevelopment Sub Tax Allocation Refunding Bonds Series 2015A 5.00%   09/01/23 1,075,000 1,194,637
Consolidated Whitewater Redevelopment Sub Tax Allocation Refunding Bonds Series 2015A 5.00%   09/01/27  (a) 1,250,000 1,470,187
Inglewood Successor Redevelopment Agency      
Sub Lien Tax Allocation RB Series 2017A 5.00%   05/01/26 500,000 605,580
Sub Lien Tax Allocation RB Series 2017A 5.00%   05/01/27 500,000 619,600
Inglewood USD      
GO Bonds Series A 6.25%   08/01/37  (a) 685,000 768,974
GO Bonds Series B 5.00%   08/01/31  (a) 200,000 240,700
GO Bonds Series B 5.00%   08/01/32  (a) 200,000 239,652
GO Bonds Series B 5.00%   08/01/33  (a) 125,000 149,275
GO Bonds Series B 5.00%   08/01/35  (a) 200,000 237,688
GO Bonds Series B 5.00%   08/01/37  (a) 720,000 851,962
Kern CCD
GO BANs 2020 0.00%   08/01/23  (b) 4,200,000 4,137,714
Kern Cnty
Refunding COP Series 2016A 5.00%   11/01/23 3,020,000 3,378,474
Kern Cnty Water Agency Improvement District #4
Refunding RB Series 2016A 5.00%   05/01/30  (a) 1,500,000 1,811,670
Kern High School District
GO Bonds Series 2016A 3.00%   08/01/29  (a) 1,000,000 1,102,530
Lake Tahoe USD      
GO Refunding Bonds Series 2019 4.00%   08/01/26 550,000 641,608
GO Refunding Bonds Series 2019 4.00%   08/01/28 630,000 759,522
GO Refunding Bonds Series 2019 4.00%   08/01/29 605,000 738,723
Lancaster Redevelopment Agency      
Tax Allocation Refunding Bonds Series 2017 4.00%   08/01/26 1,360,000 1,583,380
Tax Allocation Refunding Bonds Series 2017 5.00%   08/01/29  (a) 820,000 973,061
Livermore Valley Joint USD      
GO Bonds Series 2019 4.00%   08/01/30  (a) 430,000 493,425
GO Bonds Series 2019 4.00%   08/01/31  (a) 325,000 371,673
GO Bonds Series 2019 4.00%   08/01/32  (a) 335,000 382,232
GO Bonds Series 2019 4.00%   08/01/33  (a) 370,000 421,352
Long Beach CCD
GO Refunding Bonds Series 2015F 5.00%   06/01/25 925,000 1,103,155
Long Beach Cnty Redevelopment Agency      
Tax Allocation Refunding Bonds Series 2021 4.00%   08/01/28 220,000 267,498
Tax Allocation Refunding Bonds Series 2021 4.00%   08/01/29 285,000 351,579
Tax Allocation Refunding Bonds Series 2021 4.00%   08/01/38  (a) 345,000 407,845
Tax Allocation Refunding Bonds Series 2021 4.00%   08/01/39  (a) 300,000 353,364
42
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Long Beach Harbor Dept      
Refunding RB Series 2020B 5.00%   05/15/23 1,430,000 1,566,908
Refunding RB Series 2020B 5.00%   05/15/24 6,260,000 7,093,456
Los Angeles Cnty
TRAN Series 2020-2021A 4.00%   06/30/21 3,500,000 3,545,220
Los Angeles Cnty Public Works Financing Auth
Lease RB Series 2019 E1 5.00%   12/01/30  (a) 600,000 786,924
Los Angeles Cnty Redevelopment Refunding Auth
Tax Allocation Refunding RB (South Gate) Series 2014A 5.00%   09/01/24 1,390,000 1,596,651
Los Angeles Cnty Sanitation Districts Financing Auth
Sub RB (District #14) Series 2015A 5.00%   10/01/31  (a) 3,880,000 4,620,498
Los Angeles Community Facilities District #4      
Special Tax Refunding Bonds Series 2014 5.00%   09/01/22 735,000 788,405
Special Tax Refunding Bonds Series 2014 5.00%   09/01/23 980,000 1,089,584
Los Angeles Dept of Airports      
Sr Ref RB Series 2018B 5.00%   05/15/33  (a) 3,325,000 4,116,117
Sr Refunding RB Series 2018B 5.00%   05/15/32  (a) 1,675,000 2,081,271
Sub RB Series 2018D 5.00%   05/15/31  (a) 1,510,000 1,898,734
Sub RB Series 2019F 5.00%   05/15/28 1,310,000 1,651,517
Sub Refunding RB Series 2021A 5.00%   05/15/27 1,230,000 1,523,047
Sub Refunding RB Series 2021A 5.00%   05/15/28 1,250,000 1,575,875
Sub Refunding RB Series 2021A 5.00%   05/15/29 1,410,000 1,804,560
Los Angeles Dept of Water & Power
Power System RB Series 2015A 5.00%   07/01/30  (a) 3,015,000 3,509,912
Los Angeles Harbor Dept      
RB Series 2014C 5.00%   08/01/31  (a) 1,450,000 1,641,646
Refunding RB Series 2011B 5.00%   08/01/24  (a) 1,000,000 1,018,710
Refunding RB Series 2015A 5.00%   08/01/26  (a) 850,000 1,005,499
Los Angeles Municipal Improvement Corp
Lease RB Series 2014A 5.00%   05/01/31  (a) 1,050,000 1,185,492
Los Osos Community Facilities Wastewater Assessment District #1      
Limited Obligation Refunding Bonds Series 2019 5.00%   09/02/24 675,000 773,138
Limited Obligation Refunding Bonds Series 2019 5.00%   09/02/26 740,000 891,130
Madera Irrigation District
Water Refunding RB Series 2015 5.00%   09/01/28  (a) 2,205,000 2,636,474
Merced UHSD
GO Bonds Series F 0.00%   08/01/38  (a)(b) 1,420,000 929,305
Mono Cnty
COP Series 2018A 5.00%   10/01/48  (a) 1,690,000 2,021,037
Monte Vista Wtr Dist
Revenue COP Series 2020A 5.00%   10/01/44  (a) 2,495,000 3,086,964
Moreno Valley Public Financing Auth
Lease Refunding RB Series 2013 5.00%   11/01/22 810,000 873,982
Mountain View Shoreline Regional Park Community      
RB Series 2011A 5.00%   08/01/21 550,000 560,890
RB Series 2011A 5.75%   08/01/40  (a) 700,000 710,836
Nothern California Energy Auth
Commodity Suppply RB Series 2018 5.00%   07/01/24  (c) 3,000,000 3,439,050
43
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Novato      
Special Tax Refunding Bonds Series 2020 4.00%   09/01/24 100,000 111,527
Special Tax Refunding Bonds Series 2020 4.00%   09/01/25 150,000 171,056
Special Tax Refunding Bonds Series 2020 4.00%   09/01/26 150,000 174,221
Special Tax Refunding Bonds Series 2020 4.00%   09/01/27 250,000 294,378
Special Tax Refunding Bonds Series 2020 4.00%   09/01/28  (a) 200,000 237,920
Special Tax Refunding Bonds Series 2020 4.00%   09/01/30  (a) 140,000 164,585
Special Tax Refunding Bonds Series 2020 4.00%   09/01/31  (a) 285,000 332,738
Special Tax Refunding Bonds Series 2020 4.00%   09/01/32  (a) 150,000 174,459
Novato Successor Redevelopment Agency
Tax Allocation Bonds (Hamilton Field) Series 2011 6.75%   09/01/40  (a)(d) 1,000,000 1,032,640
Oakland
GO Refunding Bonds Series 2015A 5.00%   01/15/31  (a) 620,000 733,869
Oakland USD      
GO Bonds Series 2015A 5.00%   08/01/22 500,000 532,760
GO Bonds Series 2015A 5.00%   08/01/23 700,000 774,585
GO Bonds Series 2015A 5.00%   08/01/24 600,000 687,114
GO Bonds Series 2019A 5.00%   08/01/29  (a) 1,500,000 1,849,080
GO Bonds Series 2019A 5.00%   08/01/31  (a) 500,000 613,545
GO Refunding Bonds Series 2017C 5.00%   08/01/34  (a) 2,000,000 2,404,560
Oakley Successor Redevelopment Agency      
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/29  (a) 250,000 313,080
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/30  (a) 500,000 622,250
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/31  (a) 660,000 815,093
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/32  (a) 350,000 430,430
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/33  (a) 725,000 885,392
Tax Allocation Refunding Bonds Series 2018 5.00%   09/01/34  (a) 525,000 639,261
Oceanside Successor Redevelopment Agency      
Tax Allocation Refunding Bonds Series 2015A 5.00%   09/01/24 600,000 690,552
Tax Allocation Refunding Bonds Series 2015A 5.00%   09/01/25 225,000 267,266
Oroville
RB (Oroville Hospital) Series 2019 5.25%   04/01/49  (a) 1,800,000 2,033,604
Oxnard      
Lease Refunding RB Series 2018 5.00%   06/01/33  (a) 1,250,000 1,550,850
Lease Refunding RB Series 2018 5.00%   06/01/34  (a) 1,235,000 1,527,324
Lease Refunding RB Series 2018 5.00%   06/01/35  (a) 770,000 949,941
Oxnard Financing Auth      
Wastewater Refunding RB Series 2014 5.00%   06/01/23 500,000 552,215
Wastewater Refunding RB Series 2014 5.00%   06/01/24 1,750,000 2,005,307
Oxnard SD      
GO Bonds Series D 5.00%   08/01/31  (a)(d) 1,365,000 1,630,179
GO Bonds Series D 5.00%   08/01/32  (a)(d) 1,490,000 1,779,462
GO Bonds Series D 5.00%   08/01/33  (a)(d) 1,685,000 2,012,345
Pacifica
Wastewater RB Series 2017 5.00%   10/01/32  (a) 1,030,000 1,275,099
Palmdale SD
GO Bonds Series 2017B 5.25%   08/01/42  (a) 2,500,000 3,068,775
Palo Alto
COP Series 2019A 5.00%   11/01/44  (a) 2,000,000 2,458,900
44
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Palomar CCD
GO Bonds Series 2006D 5.00%   08/01/29  (a) 450,000 563,553
Paramount USD
GO Bonds Series 2019B 0.00%   08/01/35  (a)(b) 1,425,000 978,619
Pasadena
Refunding COP Series 2015A 5.00%   02/01/26  (a) 600,000 705,426
Pico Rivera Public Financing Auth      
Lease Refunding RB Series 2016 5.50%   09/01/29  (a) 350,000 438,813
Lease Refunding RB Series 2016 5.25%   09/01/33  (a) 800,000 976,344
Piner-Olivet Union Elementary SD      
GO Bonds Series 2021 0.00%   08/01/40  (a)(b) 600,000 370,908
GO Bonds Series 2021 0.00%   08/01/42  (a)(b) 500,000 287,800
GO Bonds Series 2021 0.00%   08/01/44  (a)(b) 500,000 268,690
Pleasant Hill Recreation & Park District
Refunding GO Bonds Series 2017 5.00%   08/01/30  (a) 770,000 945,860
Pleasant Valley SD
GO Refunding Bonds Series 2002A 5.85%   08/01/31 2,000,000 2,536,900
Pomona
S/F Mortgage Refunding RB Series 1990B 7.50%   08/01/23  (d) 270,000 296,282
Port of Oakland
Refunding RB Series 2017D 5.00%   11/01/27 4,895,000 6,061,870
Reedley
Water Refunding RB Series 2017 5.00%   09/01/25 540,000 648,599
Richmond California Redevelopment Agency      
Refunding RB Series 2021A 4.00%   09/01/22 200,000 210,582
Refunding RB Series 2021A 4.00%   09/01/24 300,000 333,369
Refunding RB Series 2021A 4.00%   09/01/25 535,000 609,081
Refunding RB Series 2021A 4.00%   09/01/26 400,000 463,892
Refunding RB Series 2021A 4.00%   09/01/27 1,150,000 1,352,561
Richmond Jt Powers Financing Auth      
Refunding RB Series 2019B 4.00%   05/01/22 1,250,000 1,299,662
Refunding RB Series 2019B 5.00%   05/01/23 1,000,000 1,095,080
Refunding RB Series 2019B 5.00%   05/01/24 650,000 737,152
Rio Elementary SD      
GO Bonds Series 2018C 0.00%   08/01/31  (a)(b) 100,000 79,227
GO Bonds Series 2018C 0.00%   08/01/32  (a)(b) 115,000 86,838
GO Bonds Series 2018C 0.00%   08/01/38  (a)(b) 420,000 241,130
GO Bonds Series 2018C 5.00%   08/01/47  (a) 850,000 1,030,650
Riverside Cnty      
2020 Series A Teeter Obligation Notes 0.50%   10/21/21 5,500,000 5,511,935
TRAN Series 2020 4.00%   06/30/21 5,000,000 5,063,900
Riverside Cnty Transportation Commission
Sales Tax RB Series 2013A 5.25%   06/01/24  (a)(d) 710,000 790,521
Riverside County Public Finance Auth
Lease Refunding RB Series 2015A 5.00%   11/01/25 1,200,000 1,426,524
Rosedale-Rio Bravo Water Storage District      
Refunding RB Series 2020A 5.00%   01/01/23 810,000 878,356
Refunding RB Series 2020A 5.00%   01/01/24 500,000 563,210
Refunding RB Series 2020A 5.00%   01/01/25 545,000 634,015
Refunding RB Series 2020A 5.00%   01/01/26 825,000 987,195
45
Schwab Municipal Bond Funds  |  Semiannual Report
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Refunding RB Series 2020A 5.00%   01/01/27 865,000 1,057,938
Refunding RB Series 2020A 5.00%   01/01/28 810,000 1,008,126
Refunding RB Series 2020A 5.00%   01/01/29 855,000 1,081,541
Refunding RB Series 2020A 5.00%   01/01/30 890,000 1,140,722
Ross Valley Public Financing Auth      
RB (Marin Cnty Sanitary District #1) Series 2013 5.00%   10/01/27  (a) 200,000 223,712
RB (Marin Cnty Sanitary District #1) Series 2013 5.00%   10/01/43  (a) 1,000,000 1,110,350
Ross Valley SD
GO Bonds Series A 5.00%   08/01/31  (a)(d) 1,000,000 1,019,170
Sacramento Cnty      
Airport System Sr Refunding RB Series 2018C 5.00%   07/01/39  (a) 1,000,000 1,193,620
Airport System SR Refunding RB Series 2020 5.00%   07/01/34  (a) 1,650,000 2,109,937
San Diego Assoc of Governments      
Capital Grant Receipts RB (Mid Coast Corridor Transit) Series 2019A 5.00%   11/15/25  (a) 2,500,000 2,913,475
Capital Grant Receipts RB (Mid Coast Corridor Transit) Series 2019B 1.80%   11/15/27  (a) 2,500,000 2,581,750
San Diego Cnty      
RB (Sanford Burnham Institute) Series 2015A 4.00%   11/01/23 745,000 816,036
RB (Sanford Burnham Institute) Series 2015A 5.00%   11/01/24 550,000 638,610
RB (Sanford Burnham Institute) Series 2015A 5.00%   11/01/25 350,000 419,262
RB (Sanford Burnham Institute) Series 2015A 5.00%   11/01/26  (a) 1,000,000 1,194,840
San Diego Cnty Regional Airport Auth      
RB Series 2017B 5.00%   07/01/31  (a) 1,360,000 1,644,362
Sub Refunding & RB Series 2019A 4.00%   07/01/37  (a) 1,000,000 1,162,230
San Diego Unified Port District      
Refunding RB Series 2013A 5.00%   09/01/22 300,000 320,346
Refunding RB Series 2013A 5.00%   09/01/23 550,000 610,626
Refunding RB Series 2013A 5.00%   09/01/25  (a) 245,000 270,166
San Francisco Airport Commission      
RB 2nd Series 2019E 5.00%   05/01/40  (a) 2,875,000 3,504,999
RB 2nd Series 2019H 5.00%   05/01/21  (d) 2,000,000 2,015,220
Refunding RB Series 2011B 5.50%   05/01/21  (d) 450,000 453,866
Refunding RB Series 2012A 5.00%   05/01/26  (a) 290,000 305,988
San Francisco Bay Area Rapid Transit District
GO Bonds Series 2019 F1 5.00%   08/01/28 1,995,000 2,596,253
San Francisco Public Utilities Commission
Water RB Series 2017A 5.00%   11/01/36  (a) 2,000,000 2,291,600
San Francisco Successor Redevelopment Agency      
Subordinate Tax Allocation Refunding Bonds Series 2014C 5.00%   08/01/23 265,000 294,797
Subordinate Tax Allocation Refunding Bonds Series 2014C 5.00%   08/01/25  (a) 150,000 172,563
Subordinate Tax Allocation Refunding Bonds Series 2014C 5.00%   08/01/26  (a) 165,000 189,219
Subordinate Tax Allocation Refunding Bonds Series 2014C 5.00%   08/01/28  (a) 305,000 347,785
Subordinate Tax Allocation Refunding Bonds Series 2014C 5.00%   08/01/29  (a) 430,000 489,340
San Jacinto USD      
GO Bonds Series 2017 5.00%   08/01/34  (a) 1,205,000 1,461,002
GO Bonds Series 2017 5.00%   08/01/36  (a) 925,000 1,116,392
San Joaquin Cnty      
Solid Waste System Refunding Revenue COP 2014 5.00%   04/01/21 350,000 351,306
Solid Waste System Refunding Revenue COP 2014 5.00%   04/01/22 350,000 367,458
San Lorenzo Valley USD
GO Bonds Series 2004 0.00%   08/01/28  (b) 990,000 884,595
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
San Mateo Cnty CCD      
Go Refunding Bonds Series 2018 5.00%   09/01/39  (a) 1,045,000 1,334,120
GO Refunding Bonds Series 2018 5.00%   09/01/40  (a) 1,150,000 1,464,536
San Mateo Foster City PFA
Wastewater RB Series 2019 5.00%   08/01/29 1,310,000 1,728,493
San Mateo Foster City Public Finance Auth      
RB Series 2020A 5.00%   05/01/33  (a) 190,000 240,018
RB Series 2020A 5.00%   05/01/36  (a) 500,000 626,120
RB Series 2020A 5.00%   05/01/37  (a) 250,000 312,115
Sanger Public Financing Auth      
Lease RB Series 2020A 4.00%   02/01/40  (a) 1,250,000 1,420,412
Lease RB Series 2020A 4.00%   02/01/45  (a) 1,510,000 1,690,702
Santa Cruz Cnty Capital Financing Auth      
Lease RB Series 2014 3.00%   08/01/24 175,000 189,361
Lease RB Series 2014 5.00%   08/01/25  (a) 175,000 202,337
Lease RB Series 2014 5.00%   08/01/26  (a) 165,000 190,592
Lease RB Series 2014 5.00%   08/01/27  (a) 320,000 369,277
Santa Monica Public Financing Auth      
Lease RB Series 2011A 5.00%   06/01/30  (a) 820,000 829,061
Lease RB Series 2018 5.00%   07/01/35  (a) 575,000 696,135
Lease RB Series 2018 5.00%   07/01/38  (a) 175,000 209,909
Santa Rosa HSD      
GO Bonds Series 2018C 5.00%   08/01/34  (a) 250,000 301,605
GO Bonds Series 2018C 5.00%   08/01/35  (a) 300,000 360,873
GO Bonds Series 2018C 5.00%   08/01/36  (a) 850,000 1,020,000
Shasta UHSD
GO Bonds Series 2018 5.25%   08/01/43  (a) 1,000,000 1,226,050
Sierra View Healthcare District      
RB Series 2019 5.00%   07/01/24 915,000 1,034,307
RB Series 2019 4.00%   07/01/25 1,270,000 1,419,708
Refunding RB Series 2020 4.00%   07/01/26 300,000 341,154
Refunding RB Series 2020 5.00%   07/01/27 630,000 768,505
Refunding RB Series 2020 5.00%   07/01/30 645,000 826,393
South Bay USD
GO BAN Series 2019 0.00%   08/01/22  (b) 2,000,000 1,985,640
South Placer Wasterwater Auth
Wastewater Refunding RB Series 2020 5.00%   11/01/34 1,000,000 1,374,310
Southern California Metropolitan Water District      
Water Refunding RB Series 1993A 5.75%   07/01/21 425,000 432,918
Water Refunding RB Series 2016A 5.00%   07/01/34  (a) 390,000 464,837
Southern California Public Power Auth      
Refunding RB (Canyon Power) Series 2020A 5.00%   07/01/35  (a) 3,000,000 3,503,370
Refunding RB Series 2020-1 5.00%   07/01/30  (a) 3,000,000 3,368,430
Susanville Natural Gas      
Natural Gas Refunding RB Series 2019 2.00%   06/01/22 455,000 462,103
Natural Gas Refunding RB Series 2019 3.00%   06/01/25 575,000 619,959
Natural Gas Refunding RB Series 2019 4.00%   06/01/28  (a) 615,000 720,602
Natural Gas Refunding RB Series 2019 4.00%   06/01/30  (a) 680,000 786,386
Natural Gas Refunding RB Series 2019 4.00%   06/01/33  (a) 580,000 663,410
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Tobacco Securitization Auth of Northern California      
Sr Refunding Bonds (Sacramento Cnty Tobacco Corp) Series 2021A1 4.00%   06/01/49  (a) 1,000,000 1,147,660
Sr Refunding Bonds (Sacramento Cnty Tobacco Corp) Series 2021B1 0.45%   06/01/30 250,000 244,375
Sr Refunding Bonds (Sacramento Cnty Tobacco Corp) Series 2021B1 4.00%   06/01/49  (a) 250,000 281,760
Truckee Donner Public Utility District      
Water System Refunding RB Series 2015 4.00%   11/15/22 630,000 671,007
Water System Refunding RB Series 2015 4.00%   11/15/23 655,000 719,576
Water System Refunding RB Series 2015 4.00%   11/15/24 680,000 768,080
Water System Refunding RB Series 2015 4.00%   11/15/25 710,000 822,634
Tustin USD
GO Bonds Series B 6.00%   08/01/36  (a)(d) 950,000 973,104
Univ of California
Limited Project RB Series 2012G 5.00%   05/15/42  (a) 3,000,000 3,159,570
Upland
COP (San Antonio Regional Hospital) Series 2017 5.00%   01/01/24 1,200,000 1,333,392
West Hills CCD      
GO Refunding Bonds Series 2016B 5.00%   08/01/25 320,000 377,917
GO Refunding Bonds Series 2016B 5.00%   08/01/26 450,000 545,265
GO Refunding Bonds Series 2016B 5.00%   08/01/30  (a) 595,000 715,041
GO Refunding Bonds Series 2016B 5.00%   08/01/31  (a) 635,000 762,743
Total Fixed-Rate Obligations
(Cost $412,916,417)         432,345,448

Variable-Rate Obligations 12.1% of net assets
CALIFORNIA 12.1%
Bay Area Toll Auth      
Toll Bridge RB Series 2006C1          
(SIFMA Municipal Swap Index + 0.90%) 0.93%   04/01/45  (a) 5,000,000 5,039,500
Toll Bridge RB Series 2014E 2.00%   04/01/34  (a)(e) 500,000 500,680
Toll Bridge RB Series 2017H 2.13%   04/01/53  (a)(e) 3,000,000 3,143,160
Toll Bridge RB Series 2018A 2.63%   04/01/45  (a)(e) 3,000,000 3,248,100
California      
GO Bonds Series 2003A1 0.01%   05/01/33  (a)(c)(f) 1,400,000 1,400,000
GO Bonds Series 2003A3 0.02%   05/01/33  (a)(c)(f) 855,000 855,000
GO Bonds Series 2004A3 0.01%   05/01/34  (a)(c)(f) 500,000 500,000
GO Bonds Series 2004B5 0.02%   05/01/34  (a)(c)(f) 600,000 600,000
GO Bonds Series 2005B5 0.02%   05/01/40  (a)(c)(f) 250,000 250,000
California Health Facilities Financing Auth      
RB (Adventist Health System) Series 2011A 3.00%   03/01/41  (a)(e) 2,815,000 2,971,458
RB (Kaiser Permanente) Series 2006C 5.00%   06/01/41  (a)(e) 5,000,000 6,568,900
RB (Providence St Joseph Health) Series 2019B 5.00%   10/01/39  (a)(e) 3,400,000 4,259,690
RB (Providence St Joseph Health) Series 2019C 5.00%   10/01/39  (a)(e) 5,000,000 5,974,150
Refunding RB (St. Joseph Health) Series 2009C 5.00%   07/01/34  (a)(e) 1,200,000 1,290,696
California Infrastructure & Economic Development Bank
RB (Brightline West Passenger Rail) Series 2020A 0.45%   01/01/50  (a)(c)(e) 4,000,000 4,000,400
California Public Finance Auth      
RB (Sharp Healthcare) Series 2017B 0.01%   08/01/52  (a)(c)(f) 500,000 500,000
RB (Sharp Healthcare) Series 2017C 0.01%   08/01/52  (a)(c)(f) 3,600,000 3,600,000
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Schwab California Tax-Free Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
California Statewide Communities Development Auth
RB (Adventist Health System) Series 2007A 5.00%   03/01/37  (a)(e) 1,715,000 2,059,080
Eastern Municipal Water District
Water & Wastewater Refunding RB Series 2018C          
(SIFMA Municipal Swap Index + 0.25%) 0.28%   07/01/46  (a) 2,450,000 2,450,270
Los Angeles Dept of Water & Power      
Power System RB Series 2002A6 0.01%   07/01/35  (a)(c)(f) 1,300,000 1,300,000
Water System RB Series 2001B2 0.01%   07/01/35  (a)(c)(f) 2,300,000 2,300,000
Water System RB Series 2001B4 0.02%   07/01/35  (a)(c)(f) 1,800,000 1,800,000
Southern California Metropolitan Water District      
Sub Water Refunding RB Series 2017D          
(SIFMA Municipal Swap Index + 0.25%) 0.28%   07/01/37  (a) 3,130,000 3,130,000
Water RB Series 2017A 0.02%   07/01/47  (a)(c)(f) 2,300,000 2,300,000
Total Variable-Rate Obligations
(Cost $59,517,000)         60,041,084
(a) The effective maturity may be shorter than the final maturity shown because the security is subject to a put, demand or call feature.
(b) Zero coupon bond.
(c) Credit-enhanced or liquidity-enhanced.
(d) Refunded bond.
(e) Bond currently pays a fixed coupon rate and will be remarketed at a to be determined rate at the end of the current fixed rate term.
(f) VRDN is a municipal security which allows holders to sell their security through a put or tender feature, at par value plus accrued interest. The interest rate resets on a periodic basis, the majority of which are weekly but may be daily or monthly. Unless a reference rate and spread is shown parenthetically, the Remarketing Agent, generally a dealer, determines the interest rate for the security at each interest rate reset date. The rate is typically based on the SIFMA Municipal Swap Index.
   
BAN — Bond anticipation note
CCD — Community college district
COP — Certificate of participation
GO — General obligation
HSD — High school district
RB — Revenue bond
SD — School district
S/F — Single-family
SIFMA — Securities Industry and Financial Markets Association. The SIFMA Municipal Swap Index is a market index comprised of high-grade 7-day tax-exempt Variable Rate Demand Obligations with certain characteristics.
TRAN — Tax and revenue anticipation note
UHSD — Union high school district
USD — Unified school district
VRDN — Variable rate demand note
    
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Fixed-Rate Obligations1 $— $432,345,448 $— $432,345,448  
Variable-Rate Obligations1 — 60,041,084 — 60,041,084  
Total $— $492,386,532 $— $492,386,532  
1 As categorized in Portfolio Holdings.
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Schwab California Tax-Free Bond Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in unaffiliated issuers, at value (cost $472,433,417)   $492,386,532
Cash   1,800
Receivables:    
Investments sold   1,507,735
Interest   4,751,651
Fund shares sold   71,757
Prepaid expenses + 13,159
Total assets   498,732,634
Liabilities
Payables:    
Investment adviser and administrator fees   81,301
Shareholder service fees   93,596
Independent trustees’ fees   843
Fund shares redeemed   1,521,398
Distributions to shareholders   265,684
Accrued expenses + 102,867
Total liabilities   2,065,689
Net Assets
Total assets   498,732,634
Total liabilities – 2,065,689
Net assets   $496,666,945
Net Assets by Source    
Capital received from investors   475,228,468
Total distributable earnings   21,438,477
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$496,666,945   41,031,215   $12.10
         
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Schwab California Tax-Free Bond Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income
Interest   $5,458,770
Expenses
Investment adviser and administrator fees   737,635
Shareholder service fees   587,291
Portfolio accounting fees   47,963
Professional fees   19,848
Registration fees   12,908
Shareholder reports   8,166
Independent trustees’ fees   7,816
Custodian fees   3,729
Transfer agent fees   3,013
Other expenses + 4,044
Total expenses   1,432,413
Expense reduction by CSIM and its affiliates – 227,325
Net expenses – 1,205,088
Net investment income   4,253,682
Realized and Unrealized Gains (Losses)
Net realized gains on investments   2,339,814
Net change in unrealized appreciation (depreciation) on investments + (5,067,780)
Net realized and unrealized losses   (2,727,966)
Increase in net assets resulting from operations   $1,525,716
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Schwab California Tax-Free Bond Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations  
  9/1/20-2/28/21 9/1/19-8/31/20
Net investment income   $4,253,682 $9,330,349
Net realized gains   2,339,814 3,706,315
Net change in unrealized appreciation (depreciation) + (5,067,780) (2,479,671)
Increase in net assets from operations   1,525,716 10,556,993
Distributions to Shareholders  
Total distributions   ($7,964,095) ($10,732,869)
    
Transactions in Fund Shares      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES VALUE SHARES VALUE
Shares sold   4,982,825 $61,096,123 13,056,152 $158,302,131
Shares reinvested   423,329 5,180,360 545,637 6,611,595
Shares redeemed + (4,217,460) (51,628,989) (13,632,904) (163,782,365)
Net transactions in fund shares   1,188,694 $14,647,494 (31,115) $1,131,361
Shares Outstanding and Net Assets      
    9/1/20-2/28/21 9/1/19-8/31/20
    SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   39,842,521 $488,457,830 39,873,636 $487,502,345
Total increase (decrease) + 1,188,694 8,209,115 (31,115) 955,485
End of period   41,031,215 $496,666,945 39,842,521 $488,457,830
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Schwab High Yield Municipal Bond Fund
Financial Statements
Financial Highlights
  9/1/20–
2/28/21* 		3/1/20–
8/31/201 		3/1/19–
2/29/20 		3/1/18–
2/28/19 		3/1/17–
2/28/18 		3/1/16–
2/28/17 		3/1/15–
2/29/16
Per-Share Data
Net asset value at beginning of period $10.42 $11.25 $10.61 $10.63 $10.44 $10.76 $10.78
Income (loss) from investment operations:              
Net investment income (loss)2 0.17 0.20 0.38 0.40 0.36 0.40 0.51
Net realized and unrealized gains (losses) 0.05 (0.83) 0.73 0.01 0.20 (0.22) (0.02)
Total from investment operations 0.22 (0.63) 1.11 0.41 0.56 0.18 0.49
Less distributions:              
Distributions from net investment income (0.12) (0.20) (0.38) (0.41) (0.35) (0.40) (0.51)
Distributions from net realized gains (0.07) — (0.09) (0.02) (0.02) (0.10) —
Total distributions (0.19) (0.20) (0.47) (0.43) (0.37) (0.50) (0.51)
Redemption fees2 – 0.00 3 0.00 3 0.00 3 0.00 3 0.00 3 0.00 3
Net asset value at end of period $10.45 $10.42 $11.25 $10.61 $10.63 $10.44 $10.76
Total return 2.15% 4 (5.56%) 4 10.71% 3.93% 5.42% 1.65% 4.67%
Ratios/Supplemental Data
Ratios to average net assets:              
Net operating expenses 0.60% 5 0.73% 5,6 0.75% 0.75% 0.92% 0.97% 1.00%
Gross operating expenses 0.70% 5 0.90% 5 0.78% 0.76% 0.88% 0.95% 1.01%
Net investment income (loss) 3.21% 5 3.81% 5 3.48% 3.80% 3.30% 3.74% 4.78%
Portfolio turnover rate 32% 4 36% 4 27% 18% 11% 32% 27%
Net assets, end of period (x 1,000,000) $61 $66 $83 $77 $118 $99 $102
 
* Unaudited.
1
Effective August 10, 2020, the Wasmer Schroeder High Yield Municipal Fund was reorganized into the Schwab High Yield Municipal Bond Fund, which commenced operations on that day. The Financial Highlights above present the shares of the Wasmer Schroeder High Yield Municipal Fund prior to the acquisition date of August 10, 2020 and Schwab High Yield Municipal Bond Fund subsequent to that date. (Note that the Wasmer Schroeder High Yield Municipal Fund had a fiscal year ending the last day of February whereas the Schwab High Yield Municipal Bond Fund has a fiscal year ending August 31). Certain prior numbers have been restated to meet current year presentation.
2
Calculated based on the average shares outstanding during the period.
3
Amount is less than $0.01 per share.
4
Not annualized
5
Annualized.
6
Effective August 10, 2020, the net operating expense limitation was lowered from 0.75% to 0.60%. The ratio presented for the period ended August 31, 2020 is a blended ratio.
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited)
This section shows all the securities in the fund’s portfolio and their values as of the report date.
The fund files its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-PORT Part F. The fund’s Form N-PORT Part F is available on the SEC’s website at www.sec.gov. You can also obtain this information at no cost on the fund’s website at www.schwabfunds.com/schwabfunds_prospectus, by calling 1-866-414-6349, or by sending an email request to orders@mysummaryprospectus.com. The fund also makes available its complete schedule of portfolio holdings 15 to 20 days after the end of the month on the fund’s website.
For fixed-rate obligations, the rate shown is the interest rate (the rate established when the obligation was issued). For variable-rate obligations, the rate shown is the rate as of the report date based on each security’s rate reset date. The reference rate and spread used is shown parenthetically in the security description, if available; if not, the reference rate is described in a footnote. The maturity date shown for all the securities is the final legal maturity.
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Fixed-Rate Obligations 97.8% of net assets
ALABAMA 0.9%
Jefferson Cnty Sales Tax
Limited Obligation Refunding RB Series 2017 4.00%   09/15/36  (a) 500,000 563,575
ARIZONA 2.8%
La Paz Cnty Industrial Development Auth
Education Facility Lease RB (Harmony Public Schools) Series 2018A 5.00%   02/15/38  (a) 700,000 810,005
Phoenix Civic Improvement Corp
Jr Lien Airport RB Series 2019B 4.00%   07/01/39  (a) 800,000 897,240
          1,707,245
CALIFORNIA 3.2%
Los Angeles USD
GO Bonds Series 2020 RYQ 4.00%   07/01/44  (a) 665,000 772,225
Palomar Health
Refunding RB Series 2016 5.00%   11/01/28  (a) 1,000,000 1,170,160
          1,942,385
COLORADO 3.8%
Colorado Health Facilities Auth
RB (CommonSpirit Health) Series 2019A2 4.00%   08/01/49  (a) 500,000 552,415
Denver Convention Center Hotel Auth
Convention Ctr Hotel Sr Refunding RB Series 2016 5.00%   12/01/33  (a) 750,000 860,445
Park Creek Metropolitan Dist
Sr LT RB Series 2019A 4.00%   12/01/34  (a)(b) 745,000 891,504
          2,304,364
CONNECTICUT 0.7%
Connecticut
GO Refunding Bonds Series 2018B 5.00%   04/15/28 315,000 399,644
FLORIDA 8.0%
Broward Cnty SD
COP Series 2020A 5.00%   07/01/30 500,000 659,795
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
Florida Gulf Coast Univ
Improvement Refunding RB Series 2017A 5.00%   08/01/26 435,000 527,855
Florida Higher Educational Facilities Financing Auth
Educational Facilities Refunding RB (Nova Southeastern Univ) Series 2016 5.00%   04/01/30  (a) 750,000 864,555
Halifax Hospital Medical Center
Hospital Revenue & Refunding Bonds Series 2016 5.00%   06/01/36  (a) 500,000 569,675
Lee Cnty Industrial Development Auth
Healthcare Facilities Improvement RB (Shell Point Alliance) Series 2019 5.00%   11/15/49  (a) 1,000,000 1,152,290
Miami-Dade Cnty Educational Facilities Auth
Revenue & Refunding Bonds (Univ of Miami) Series 2015A 5.00%   04/01/30  (a) 500,000 566,740
Tampa
Revenue & Refunding Bonds (Univ of Tampa) Series 2020A 4.00%   04/01/50  (a) 500,000 544,325
          4,885,235
GEORGIA 0.7%
Cobb Cnty-Kennestone Hospital Auth
Revenue Anticipation Refunding Certificates Series 2012 5.00%   04/01/28  (a) 415,000 448,959
GUAM 1.3%
Guam Power Auth
RB Series 2012A 5.00%   10/01/34  (a) 250,000 260,383
Guam Waterworks Auth
Water & Wastewater System Refunding RB Series 2014A 5.00%   07/01/35  (a) 500,000 547,930
          808,313
ILLINOIS 6.9%
Chicago      
2nd Lien Water RB Series 2014 5.00%   11/01/44  (a) 500,000 564,380
Refunding GO Bonds Series 2003B 5.50%   01/01/39  (a) 1,025,000 1,135,392
Chicago Board of Education
ULT GO Bonds Series 2018D 5.00%   12/01/46  (a) 500,000 576,120
Illinois
GO Bonds Series 2013 5.00%   02/01/39  (a) 1,000,000 1,065,080
Illinois Regional Transportation Auth
GO Bonds Series 2018B 5.00%   06/01/24 250,000 283,608
Illinois Toll Highway Auth
Toll Highway Sr RB Series 2017A 5.00%   01/01/42  (a) 450,000 543,010
          4,167,590
LOUISIANA 4.7%
Louisiana Local Government Environmental Facilities & Community Development Auth
Refunding RB (Westlake Chemical Corp) Series 2017 3.50%   11/01/32  (a) 1,000,000 1,100,340
Louisiana Public Facilities Auth      
Refunding RB (Tulane Univ) Series 2020A 4.00%   04/01/50  (a) 500,000 560,875
Revenue & Refunding Bonds (Oschsner Clinic) Series 2017 5.00%   05/15/42  (a) 500,000 585,560
New Orleans
Sewerage Service RB Series 2020B 5.00%   06/01/34  (a) 500,000 629,610
          2,876,385
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
MAINE 1.1%
Maine Health & Educational Facilites Auth
RB (Eastern Maine Medical Center) Series 2013 5.00%   07/01/24  (a) 630,000 680,022
MARYLAND 1.9%
Maryland Economic Development Corp
Refunding RB (Transportation Facilities) Series 2017A 5.00%   06/01/35  (a) 1,000,000 1,143,010
MASSACHUSETTS 2.8%
Massachusetts Development Finance Agency      
RB (Boston Medical Center) Series 2015D 5.00%   07/01/44  (a) 500,000 561,500
RB (Merrimack College) Series 2014 5.13%   07/01/44  (a) 500,000 548,565
RB (Southcoast Health System) Series 2021G 4.00%   07/01/46  (a) 200,000 228,558
RB (Southcoast Health System) Series 2021G 5.00%   07/01/50  (a) 300,000 372,711
          1,711,334
MICHIGAN 3.2%
Detroit SD
ULT Refunding RB Series 2020A 5.00%   05/01/39  (a)(b) 500,000 630,865
Great Lakes Water Auth
2nd Lien Water System Refunding RB Series 2016D 5.00%   07/01/30  (a) 500,000 601,665
Michigan Finance Auth
Local Gov’t Loan Program RB (Detroit Public Lighting Auth) Series 2014B 5.00%   07/01/44  (a) 700,000 746,123
          1,978,653
MINNESOTA 8.6%
South Central Minnesota Multi-Cnty Hsg & Redevelopment Auth      
Pooled Housing Development RB Series 1993 4.87%   02/01/00  (c) 15,000 7,800
Pooled Housing Development RB Series 1993 5.26%   02/01/02  (c) 30,000 15,600
Pooled Housing Development RB Series 1993 5.49%   02/01/05  (c) 20,000 10,400
Pooled Housing Development RB Series 1993 5.53%   02/01/06  (c) 20,000 10,400
Pooled Housing Development RB Series 1993 5.61%   02/01/07  (c) 65,000 33,800
Pooled Housing Development RB Series 1993 5.65%   02/01/08  (c) 10,000 5,200
Pooled Housing Development RB Series 1993 5.84%   02/01/17  (c) 450,000 234,000
Pooled Housing Development RB Series 1993 6.23%   02/01/25  (c) 9,500,000 4,940,000
          5,257,200
MISSOURI 0.9%
St Louis
Airport Revenue & Refunding Bonds (St Louis Lambert) Series 2019C 5.00%   07/01/32  (a) 425,000 529,771
NEVADA 1.2%
Clark Cnty SD
Refunding GO Bonds Series 2017C 5.00%   06/15/31  (a) 580,000 708,847
NEW JERSEY 6.9%
New Jersey Economic Development Auth
School Facilities Construction Bonds 2014 Series UU 5.00%   06/15/34  (a) 1,000,000 1,101,460
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
New Jersey Transportation Trust Fund Auth
Transportation RB Series 2015AA 4.63%   06/15/30  (a) 1,000,000 1,114,630
South Jersey Transportation Auth
Transportation System Refunding RB Series 2014A 5.00%   11/01/39  (a) 1,000,000 1,112,490
Tobacco Settlement Financing Corp
Tobacco Settlement Bonds Series 2018A 5.25%   06/01/46  (a) 750,000 892,477
          4,221,057
NEW YORK 8.4%
Metropolitan Transportation Auth
Transportation RB Series 2020C1 5.25%   11/15/55  (a) 500,000 600,550
Nassau Cnty
GO Bonds Series 2017B 5.00%   04/01/31  (a) 450,000 541,935
New York City
GO Bonds Fiscal 2020 Series C1 5.00%   08/01/30 695,000 915,704
New York City Transitional Finance Auth
Future Tax Secured Sub Bonds Fiscal 2017 Series E1 5.00%   02/01/43  (a) 500,000 595,260
New York Liberty Development Corp
RB (Goldman Sachs Headquarters) Series 2005 5.25%   10/01/35 500,000 700,645
New York State Dormitory Auth
RB (NYU Langone Hospitals) Series 2020A 4.00%   07/01/53  (a) 500,000 565,135
New York Transportation Development Corp
Special Facility RB (JFK Airport) Series 2020A 5.00%   12/01/31  (a) 500,000 622,600
Port Auth of New York & New Jersey
Consolidated Bonds 223rd Series 4.00%   07/15/61  (a) 500,000 553,790
          5,095,619
NORTH CAROLINA 0.6%
North Carolina Medical Care Commission
Health Care Facilities RB (Presbyterian Homes) Series 2020A 4.00%   10/01/40  (a) 300,000 338,124
OHIO 1.4%
Butler Cnty
Hospital Facilities Refunding RB (UC Health) Series 2017 5.00%   11/15/30  (a) 500,000 611,220
Northeast Ohio Medical Univ      
General Refunding RB Series 2021A 3.00%   12/01/21 100,000 101,537
General Refunding RB Series 2021A 5.00%   12/01/29 115,000 142,140
          854,897
OKLAHOMA 1.0%
Oklahoma Development Finance Auth
Health System RB (OU Medicine) Series 2018B 5.50%   08/15/57  (a) 500,000 589,595
OREGON 1.8%
Clackamas Cnty Hospital Facility Auth
Sr Living RB (Willamette View) Series 2017A 5.00%   11/15/52  (a) 500,000 534,190
Lane Cnty SD #52
GO Bonds Series 2021A 0.00%   06/15/44  (a)(b)(d) 1,000,000 540,840
          1,075,030
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
PENNSYLVANIA 6.4%
Commonwealth Financing Auth
Tobacco Settlement RB Series 2018 5.00%   06/01/35  (a) 500,000 608,435
Lancaster Cnty Hospital Auth
RB (St Anne’s Retirement Community) Series 2020 5.00%   03/01/40  (a) 500,000 541,855
Pennsylvania Economic Development Financing Auth
Sewage Sludge Disposal Refunding RB (Philadelphia Biosolids) Series 2020 4.00%   01/01/30 1,300,000 1,507,116
Pennsylvania State Turnpike Commission
Sub RB Series 2017B1 5.25%   06/01/47  (a) 250,000 303,030
Philadelphia
Water & Wastewater RB Series 2019B 5.00%   11/01/54  (a) 500,000 614,115
Philadelphia SD
GO Bonds Series 2018A 5.00%   09/01/31  (a)(b) 250,000 312,345
          3,886,896
PUERTO RICO 1.7%
Puerto Rico Highway & Transportation Auth
Transportation RB Series A 4.75%   07/01/38  (a)(b) 500,000 506,000
Puerto Rico Pwr Auth      
Power Refunding RB Series PP 5.00%   07/01/22  (a)(b) 305,000 307,272
Power Refunding RB Series UU 5.00%   07/01/24  (a)(b) 200,000 206,738
          1,020,010
SOUTH CAROLINA 1.0%
South Carolina Public Service Auth
Revenue & Refunding Bonds Series 2016B 5.00%   12/01/56  (a) 500,000 593,965
TENNESSEE 1.9%
Chattanooga Health Educational & Housing Facilities Board
Student Housing Refunding RB (CDFI Univ of Tennessee at Chattanooga) Series 2015 5.00%   10/01/29  (a) 500,000 548,550
Memphis
GO Refunding Bonds Series 2020 4.00%   05/01/34  (a) 500,000 590,815
          1,139,365
TEXAS 6.1%
Central Texas Regional Mobility Auth
Senior Lien Refunding RB Series 2016 5.00%   01/01/46  (a) 750,000 849,758
New Hope Cultural Educational Facilities Corp
Education RB (Beta Academy) Series 2019A 5.00%   08/15/49  (a) 500,000 519,865
North Texas Tollway Auth
1st Tier System Revenue & Refunding Bonds Series 2017A 5.00%   01/01/43  (a) 500,000 601,075
Texas Transportation Commission
Central Texas Turnpike System 2nd Tier Refunding RB Series 2015C 5.00%   08/15/34  (a) 750,000 841,688
Texas Transportation Corp
Sr Lien Refunding RB (LBJ Infrastructure) Series 2020A 4.00%   06/30/35  (a) 750,000 868,807
          3,681,193
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
Issuer
Type of Security, Series 		Rate   Maturity Face
Amount ($) 		Value ($)
WASHINGTON 2.9%
Greater Wenatchee Regional Events Center Public Facilities Dist      
Limited Sales Tax RB Series 2012A 4.50%   09/01/22 190,000 194,676
Limited Sales Tax RB Series 2012A 5.25%   09/01/32  (a) 500,000 512,505
Skagit Cnty Hospital Dist      
Refunding RB (Skagit Valley Hospital) Series 2013A 4.00%   12/01/26 500,000 557,295
Refunding RB (Skagit Valley Hospital) Series 2013A 5.00%   12/01/37  (a) 500,000 531,830
          1,796,306
WEST VIRGINIA 1.2%
Marshall Univ
Improvement Refunding RB Series 2020A 4.00%   05/01/50  (a)(b) 635,000 716,248
WISCONSIN 2.9%
Wisconsin Health & Educational Facilities Auth      
RB (Hmong American Peace Academy) Series 2020 5.00%   03/15/50  (a) 1,075,000 1,262,373
RB (Woodland Hill Sr Housing) Series 2014 5.25%   12/01/49  (a) 500,000 520,435
          1,782,808
WYOMING 0.9%
Laramie Cnty
Hospital Refunding RB (Cheyenne Regional Medical Center) Series 2021 3.00%   05/01/42  (a) 500,000 520,640
Total Fixed-Rate Obligations
(Cost $56,166,020)         59,424,285

Variable-Rate Obligations 1.4% of net assets
TEXAS 1.4%
Gulf Coast IDA
RB (ExxonMobil) Series 2012 0.01%   11/01/41  (a)(e) 850,000 850,000
Total Variable-Rate Obligations
(Cost $850,000)         850,000
(a) The effective maturity may be shorter than the final maturity shown because the security is subject to a put, demand or call feature.
(b) Credit-enhanced or liquidity-enhanced.
(c) The securities are in default and are not making full payments of interest and principal when due. The securities are making semiannual distributions of variable amounts of cash flow. These amounts are determined by factors including, but not limited to, property occupancy levels, per unit rental rates and capital reinvestment expenses. The coupon accrual rate utilized by the Fund is reviewed at least semiannually and will generally be based on interest payments received historically along with any known changes in the previously mentioned factors.
(d) Zero coupon bond.
(e) VRDN is a municipal security which allows holders to sell their security through a put or tender feature, at par value plus accrued interest. The interest rate resets on a periodic basis, the majority of which are weekly but may be daily or monthly. Unless a reference rate and spread is shown parenthetically, the Remarketing Agent, generally a dealer, determines the interest rate for the security at each interest rate reset date. The rate is typically based on the SIFMA Municipal Swap Index.
   
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Schwab High Yield Municipal Bond Fund
Portfolio Holdings as of February 28, 2021 (Unaudited) (continued)
COP — Certificate of participation
GO — General obligation
IDA — Industrial development agency/authority
LT — Limited tax
RB — Revenue bond
SD — School district
SIFMA — Securities Industry and Financial Markets Association. The SIFMA Municipal Swap Index is a market index comprised of high-grade 7-day tax-exempt Variable Rate Demand Obligations with certain characteristics.
ULT — Unlimited tax
USD — Unified school district
VRDN — Variable rate demand note
The following is a summary of the inputs used to value the fund’s investments as of February 28, 2021 (see financial note 2(a) for additional information):
Description Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 		Other Significant
Observable Inputs
(Level 2) 		Significant
Unobservable Inputs
(Level 3) 		Total  
Assets          
Fixed-Rate Obligations1 $— $59,424,285 $— $59,424,285  
Variable-Rate Obligations1 — 850,000 — 850,000  
Total $— $60,274,285 $— $60,274,285  
1 As categorized in Portfolio Holdings.
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Schwab High Yield Municipal Bond Fund
Statement of Assets and Liabilities
As of February 28, 2021; unaudited
Assets
Investments in unaffiliated issuers, at value (cost $57,016,020)   $60,274,285
Cash   86,620
Receivables:    
Interest   602,524
Fund shares sold   105,601
Prepaid expenses + 2,839
Total assets   61,071,869
Liabilities
Payables:    
Investment adviser and administrator fees   18,276
Independent trustees’ fees   486
Fund shares redeemed   165,053
Distributions to shareholders   70,207
Accrued expenses + 44,735
Total liabilities   298,757
Net Assets
Total assets   61,071,869
Total liabilities – 298,757
Net assets   $60,773,112
Net Assets by Source    
Capital received from investors   59,274,376
Total distributable earnings   1,498,736
    
Net Asset Value (NAV)
Net Assets ÷ Shares
Outstanding 		= NAV
$60,773,112   5,817,447   $10.45
         
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Schwab High Yield Municipal Bond Fund
Statement of Operations
For the period September 1, 2020 through February 28, 2021; unaudited
Investment Income
Interest   $1,150,551
Expenses
Investment adviser and administrator fees   151,075
Portfolio accounting fees   27,241
Professional fees   14,315
Independent trustees’ fees   6,461
Shareholder reports   5,959
Transfer agent fees   1,947
Custodian fees   1,434
Registration fees   930
Other expenses + 2,663
Total expenses   212,025
Expense reduction by CSIM and its affiliates – 30,736
Net expenses – 181,289
Net investment income   969,262
Realized and Unrealized Gains (Losses)
Net realized gains on investments   (651,887)
Net change in unrealized appreciation (depreciation) on investments + 838,801
Net realized and unrealized gains   186,914
Increase in net assets resulting from operations   $1,156,176
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Schwab High Yield Municipal Bond Fund
Statement of Changes in Net Assets
For the current and prior report periods
Figures for the current period are unaudited
Operations    
  9/1/20-2/28/21 3/1/20-8/31/20* 3/1/19-2/29/20*
Net investment income   $969,262 $1,323,212 $2,795,785
Net realized gains (losses)   (651,887) (1,391,261) 1,094,859
Net change in unrealized appreciation (depreciation) + 838,801 (4,700,465) 4,387,184
Increase (decrease) in net assets from operations   1,156,176 (4,768,514) 8,277,828
Distributions to Shareholders    
Total distributions   ($1,099,743) ($1,323,194) ($3,474,037)
    
Transactions in Fund Shares          
    9/1/20-2/28/21 3/1/20-8/31/20 3/1/19-2/29/20
    SHARES VALUE SHARES VALUE SHARES VALUE
Shares sold   1,087,720 $11,490,106 446,549 $4,447,398 2,501,038 $27,367,682
Shares reinvested   42,137 443,217 49,033 500,310 133,301 1,463,537
Shares redeemed1 + (1,671,321) (17,507,141) (1,508,684) (15,534,493) (2,521,340) (27,695,273)
Net transactions in fund shares   (541,464) ($5,573,818) (1,013,102) ($10,586,785) 112,999 $1,135,946
Shares Outstanding and Net Assets          
    9/1/20-2/28/21 3/1/20-8/31/20 3/1/19-2/29/20
    SHARES NET ASSETS SHARES NET ASSETS SHARES NET ASSETS
Beginning of period   6,358,911 $66,290,497 7,372,013 $82,968,990 7,259,014 $77,029,253
Total increase (decrease) + (541,464) (5,517,385) (1,013,102) (16,678,493) 112,999 5,939,737
End of period   5,817,447 $60,773,112 6,358,911 $66,290,497 7,372,013 $82,968,990
* Effective August 10, 2020, the Wasmer Schroeder High Yield Municipal Fund was reorganized into the Schwab High Yield Municipal Bond Fund, which commenced operations on that day. The Statement of Changes above presents the fiscal year ended February 29, 2020 of the Wasmer Schroeder High Yield Municipal Fund (see financial note 1 for additional information).
1 Net of redemption fees amounting to $-, $21,209 and $2,945, respectively, are included in the periods ended February 28, 2021, August 31, 2020 and February 29, 2020, respectively (see financial note 6 for additional information).
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Schwab Municipal Bond Funds
Financial Notes, unaudited
1. Business Structure of the Funds:
Each of the funds in this report is a series of Schwab Investments (the trust), a no-load, open-end management investment company. The trust is organized as a Massachusetts business trust and is registered under the Investment Company Act of 1940, as amended (the 1940 Act). The list below shows all the funds in the trust as of the end of the period, including the funds discussed in this report, which are highlighted:
SCHWAB INVESTMENTS (ORGANIZED OCTOBER 26, 1990)
Schwab Tax-Free Bond Fund Schwab U.S. Aggregate Bond Index Fund
Schwab California Tax-Free Bond Fund Schwab Short-Term Bond Index Fund
Schwab High Yield Municipal Bond Fund Schwab 1000 Index® Fund
Schwab Treasury Inflation Protected Securities Index Fund Schwab Global Real Estate Fund
Effective August 10, 2020, the Wasmer Schroder High Yield Municipal Fund (Predecessor Fund) was reorganized into the Schwab High Yield Municipal Bond Fund. Shareholders of the Predecessor Fund received equivalent shares of the Schwab High Yield Municipal Bond Fund. Although the Schwab High Yield Municipal Bond Fund commenced its operations on August 10, 2020, it inherited the performance history of the Predecessor Fund. Effective August 31, 2020, the fund changed its fiscal year end from the last day in February to August 31st.
Each fund in this report offers one share class. Shares are bought and sold at closing net asset value per share (NAV), which is the price for all outstanding shares of a fund. Each share has a par value of 1/1,000 of a cent, and the funds’ Board of Trustees (the Board) may authorize the issuance of as many shares as necessary.
Each fund maintains its own account for purposes of holding assets and accounting, and is considered a separate entity for tax purposes. Within its account, each fund may also keep certain assets in segregated accounts, as required by securities law.
    
2. Significant Accounting Policies:
The following is a summary of the significant accounting policies the funds use in their preparation of financial statements. The funds follow the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 Financial Services — Investment Companies. The accounting policies are in conformity with accounting principles generally accepted in the United States of America (GAAP).
(a) Security Valuation:
Under procedures approved by the Board, the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair value. Among other things, these procedures allow the funds to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
The funds value the securities in their portfolios every business day. The funds use the following policies to value various types of securities:
•   Bonds and notes: Fixed income investments are generally valued using an evaluated price at the mid-point of the bid/ask spread provided by an approved, independent pricing service (mid-price). To determine the evaluated mid-price, a pricing service may use a variety of techniques and inputs. Techniques may include, but are not limited to, spread models that calculate an investment-specific price relative to a benchmark or yield curve models that establish a price based on yields of comparable bonds along a range of maturities. Inputs differ by valuation approach and technique, as appropriate, and examples of inputs may include, but are not limited to, interest rates, market conditions, comparable bonds, market trades, projected cash flows, credit reviews and issuer news.
•   Securities for which no quoted value is available: The Board has adopted procedures to fair value each fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. Each fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee
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Schwab Municipal Bond Funds
Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the funds pursuant to the valuation procedures.
•   Short-term securities (60 days or less to maturity): Securities with remaining maturities of 60 days or less are generally valued at an evaluated price; however, such securities may be valued at their amortized cost if it approximates the security’s fair value.
In accordance with the authoritative guidance on fair value measurements and disclosures under GAAP, the funds disclose the fair value of their investments in a hierarchy that prioritizes the significant inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the funds determine that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
The three levels of the fair value hierarchy are as follows:
•   Level 1—quoted prices in active markets for identical securities—Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities.
•   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)—Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations.
•   Level 3—significant unobservable inputs (including the funds’ own assumptions in determining the fair value of investments)—Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the funds use one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the funds in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the funds in the absence of market information. Assumptions used by the funds due to the lack of observable inputs may significantly impact the resulting fair value and therefore the funds’ results of operations.
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The levels associated with valuing the funds’ investments as of February 28, 2021 are disclosed in the Portfolio Holdings.
(b) Accounting Policies for certain Portfolio Investments (if held):
Futures Contracts: Futures contracts are instruments that represent an agreement between two parties that obligates one party to buy, and the other party to sell, specific instruments at an agreed upon price on a stipulated future date. A fund must give the broker a deposit of cash and/or securities (initial margin) whenever it enters into a futures contract. The amount of the deposit may vary from one contract to another. Subsequent payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contract and are accounted for as unrealized appreciation or depreciation until the contract is closed, at which time the gains or losses are realized. Futures contracts are traded publicly on exchanges, and their fair value may change daily.
Delayed Delivery Transactions and When-Issued Securities: During the period, certain funds transacted in securities on a delayed delivery or when-issued basis. Payment and delivery may take place after the customary settlement period for that security. The price of the underlying securities and the date when the securities will be delivered and paid for are fixed at the time the transaction is negotiated. The securities purchased on a delayed delivery or when-issued basis are identified as such in the funds’ Portfolio
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Schwab Municipal Bond Funds
Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
Holdings. The funds may receive compensation for interest forgone in the purchase of a delayed delivery or when-issued security. With respect to purchase commitments, the funds identify securities as segregated in their records with a value at least equal to the amount of the commitment. Losses may arise due to changes in the value of the underlying securities or if the counterparty does not perform under the contract’s terms, or if the issuer does not issue the securities due to political, economic, or other factors.
(c) Security Transactions:
Security transactions are recorded as of the date the order to buy or sell the security is executed. Realized gains and losses from security transactions are based on the identified costs of the securities involved.
When a fund closes out a futures contract position, it calculates the difference between the value of the position at the beginning and at the end of the contract, and records a realized gain or loss accordingly.
(d) Investment Income:
Interest income is recorded as it accrues. If a fund buys a debt security at a discount (less than face value) or a premium (more than face value), it amortizes premiums and accretes discounts from the purchase settlement date up to maturity. The fund then increases (in the case of discounts) or reduces (in the case of premiums) the income it records from the security. Certain securities may be callable (meaning that the issuer has the option to pay it off before its maturity date). The fund amortizes the premium and accretes the discount on each callable security to the security’s maturity date, except when the purchase price is higher than the call price at the security’s call date (in which case the premium is amortized to the call date).
(e) Expenses:
Expenses that are specific to a fund are charged directly to the fund. Expenses that are common to more than one fund in the trusts generally are allocated among those funds in proportion to their average daily net assets.
(f) Distributions to Shareholders:
The funds declare distributions from net investment income, if any, every day they are open for business. These distributions, which are substantially equal to a fund’s net investment income for that day, are paid out to shareholders once a month. The funds make distributions from net realized capital gains, if any, once a year.
(g) Accounting Estimates:
The accounting policies described in this report conform to GAAP. Notwithstanding this, shareholders should understand that in order to follow these principles, fund management has to make estimates and assumptions that affect the information reported in the financial statements. It’s possible that once the results are known, they may turn out to be different from these estimates and these differences may be material.
(h) Federal Income Taxes:
The funds intend to meet federal income and excise tax requirements for regulated investment companies under subchapter M of the Internal Revenue Code, as amended. Accordingly, the funds distribute substantially all of their net investment income and net realized capital gains, if any, to their respective shareholders each year. As long as a fund meets the tax requirements, it is not required to pay federal income tax.
(i) Indemnification:
Under the funds’ organizational documents, the officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the funds. In addition, in the normal course of business the funds enter into contracts with their vendors and others that provide general indemnifications. The funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the funds. However, based on experience, the funds expect the risk of loss attributable to these arrangements to be remote.
(j) Recent Accounting Standards:
In March 2020, the FASB issued Accounting Standards Update “Facilitation of the Effects of Reference Rate Reform on Financial Reporting (Topic 848)” (ASU 2020-04), which provides optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the London Interbank Offered Rate (LIBOR) and other interbank offered
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Schwab Municipal Bond Funds
Financial Notes, unaudited (continued)
2. Significant Accounting Policies (continued):
based reference rates at the end of 2021. The temporary relief provided is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2022. At this time, management believes the adoption of ASU 2020-04 will not have a material impact to the financial statements.
    
3. Risk Factors:
The funds invest primarily in investment-grade municipal bond securities. These investments may involve certain risks, as discussed in the funds’ prospectus, including, but not limited to, those described below:
Market Risk. Financial markets rise and fall in response to a variety of factors, sometimes rapidly and unpredictably. Markets may be impacted by economic, political, regulatory and other conditions, including economic sanctions and other government actions. In addition, the occurrence of global events, such as war, terrorism, environmental disasters, natural disasters and epidemics may also negatively affect the financial markets. As with any investment whose performance is tied to these markets, the value of an investment in a fund will fluctuate, which means that an investor could lose money over short or long periods.
Management Risk. As actively managed mutual funds, the funds are subject to the risk that their investment adviser will select investments or allocate assets in a manner that could cause a fund to underperform or otherwise not meet its investment objective. The funds’ investment adviser applies its own investment techniques and risk analyses in making investment decisions for each fund, but there can be no guarantee that they will produce the desired results.
Investment Style Risk. The funds are not designed to offer substantial capital appreciation. In exchange for its goal of capital preservation, a fund may offer lower long-term performance than stock investments or certain other types of bond investments. A fund’s emphasis on quality and preservation of capital also could cause it to underperform certain other types of bond investments, particularly those that take greater maturity and credit risks. At the same time, some of the funds’ investments may have greater risks than investments in some taxable bonds.
Interest Rate Risk. Interest rates rise and fall over time. As with any investment whose yield reflects current interest rates, a fund’s yield will change over time. During periods when interest rates are low, a fund’s yield (and total return) also may be low. Changes in interest rates also may affect a fund’s share price: a rise in interest rates generally causes a fund’s share price to fall. The longer a fund’s portfolio duration, the more sensitive to interest rate movements its share price is likely to be. Also, a change in a central bank’s monetary policy or economic conditions, among other things, may result in a change in interest rates, which could have sudden and unpredictable effects on the markets and significantly impact the value of fixed-income securities in which a fund invests.
Credit Risk. A decline in the credit quality of an issuer or guarantor or liquidity provider of a portfolio investment or a counterparty could cause the funds to lose money or underperform. The funds could lose money if, due to a decline in credit quality, the issuer or guarantor or liquidity provider of a portfolio investment or a counterparty fails to make, or is perceived as being unable or unwilling to make, timely principal or interest payments or otherwise honor its obligations.
Liquidity Risk. The funds may be unable to sell certain securities, such as illiquid securities, readily at a favorable time or price, or the funds may have to sell them at a loss.
High-Yield Risk. High-yield securities and unrated securities of similar credit quality (junk bonds) are subject to greater levels of credit and liquidity risks, and may be more volatile than higher-rated securities. High-yield securities are considered predominately speculative with respect to the issuer’s continuing ability to make principal and interest payments.
Prepayment and Extension Risk. Certain fixed-income securities are subject to the risk that the securities may be paid off earlier or later than expected, especially during periods of falling or rising interest rates, respectively. Prepayments of obligations could cause the fund to forgo future interest income on the portion of the security’s principal repaid early and force the fund to reinvest that money at the lower prevailing interest rates. Extensions of obligations could cause the fund to exhibit additional volatility and hold securities paying lower-than-market rates of interest. Either case could hurt the fund’s performance.
Municipal Securities Risk. The funds primarily invest in municipal securities whose interest, in the opinion of the issuers’ counsel, is exempt from federal income tax and from the AMT. Neither the investment adviser nor the funds guarantee that this opinion is correct, and there is no assurance that the Internal Revenue Service (IRS) will agree with such counsel’s opinion. If certain types of investments a fund buys as tax-exempt are later ruled to be taxable, a portion of the fund’s income could be taxable. To the extent that a fund invests in municipal securities from a given state or geographic region, its share price and performance could be affected by local, state and regional factors, including erosion of the tax base and changes in the economic climate. In addition, many municipal securities are issued to finance specific projects (especially those relating to education, health care, transportation and
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Financial Notes, unaudited (continued)
3. Risk Factors (continued):
utilities) and conditions in those sectors can affect the overall municipal market. National governmental actions, such as the elimination of tax-exempt status, or the reduction of financial support to municipalities, also could affect performance. Municipalities continue to experience difficulties in the current economic and political environment.
Derivatives Risk. Currently, the only type of derivatives the funds invest in is futures. A future is an agreement to buy or sell a financial instrument at a specific price on a specific day. A fund’s use of futures involves risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments. Certain of these risks, such as liquidity risk, credit risk, leverage risk, market risk and management risk, are discussed elsewhere in this section. A fund’s use of futures is also subject to lack of availability risk, valuation risk, correlation risk and tax risk. Lack of availability risk is the risk that suitable futures transactions may not be available in all circumstances for risk management or other purposes. Valuation risk is the risk that a particular future may be valued incorrectly. Correlation risk is the risk that changes in the value of the future may not correlate perfectly with the underlying asset, rate or index. Tax risk is the risk that the use of futures may cause a fund to realize higher amounts of short-term capital gains. A fund’s use of derivatives could reduce the fund’s performance, increase the fund’s volatility, and cause the fund to lose more than the initial amount invested. However, these risks are less severe when a fund uses derivatives for hedging rather than to enhance the fund’s returns or as a substitute for a position or security. The use of derivatives that are subject to regulation by the Commodity Futures Trading Commission (CFTC) could cause a fund to become a commodity pool, which would require the fund to comply with certain CFTC rules.
Distressed or Defaulted Securities Risk. Investments in defaulted securities and obligations of distressed issuers, including securities that are, or may be, involved in reorganizations or other financial restructurings, either out of court or in bankruptcy, involve substantial risks in addition to the risks of investing in high-yield debt securities. A fund’s share price may decline if the reorganization or restructuring is not completed as anticipated. A fund will generally not receive interest payments on the distressed securities and may incur costs to protect its investment. Repayment of defaulted securities and obligations of distressed issuers is subject to significant uncertainties. A fund could lose its entire investment in such securities.
Rule 144A Securities Risk. The market for Rule 144A securities typically is less active than the market for publicly-traded securities. Rule 144A securities carry the risk that the liquidity of these securities may become impaired, making it more difficult for a fund to sell these bonds.
Zero Coupon Securities Risk. While interest payments are not made on such securities, holders of such securities are deemed to have received income annually, notwithstanding that cash may not be received currently. Some of these securities may be subject to substantially greater price fluctuations during periods of changing market interest rates than are comparable securities that pay interest currently. Longer term zero coupon bonds are more exposed to interest rate risk than shorter term zero coupon bonds.
California State-Specific Risk. Because the Schwab California Tax-Free Bond Fund concentrates its investments in California municipal securities, the fund may be affected significantly by economic, regulatory, social or political developments affecting the ability of California issuers to pay interest or repay principal.
Taxable Investments Risk. A fund may invest a portion of its assets in securities that generate income that is not exempt from federal income tax and in securities whose interest is subject to the AMT. These investments could generate taxable income for shareholders.
Please refer to the funds’ prospectus for a more complete description of the principal risks of investing in the funds.
    
4. Affiliates and Affiliated Transactions:
Investment Adviser
Charles Schwab Investment Management, Inc. (CSIM or the investment adviser), a wholly owned subsidiary of The Charles Schwab Corporation, serves as each fund’s investment adviser and administrator pursuant to an Investment Advisory and Administration Agreement between it and the trust.
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Financial Notes, unaudited (continued)
4. Affiliates and Affiliated Transactions (continued):
For its advisory and administrative services to the Schwab Tax-Free Bond Fund and Schwab California Tax-Free Bond Fund, CSIM is entitled to receive an annual fee, payable monthly, based on each fund’s average daily net assets as follows:
% of Average Daily Net Assets Schwab
Tax-Free
Bond Fund 		Schwab
California Tax-Free
Bond Fund
First $500 million 0.30% 0.30%
Over $500 million 0.22% 0.22%
For its advisory and administrative services to the Schwab High Yield Municipal Bond Fund, CSIM is entitled to receive an annual fee, payable monthly, equal to 0.50% of the fund’s average daily net assets.
For the period ended February 28, 2021, the aggregate advisory fees paid to CSIM by the funds, as a percentage of each fund’s average daily net assets were as follows:
Schwab Tax-Free Bond Fund 0.27%
Schwab California Tax-Free Bond Fund 0.30%
Schwab High Yield Municipal Bond Fund 0.50%
Shareholder Servicing
The Board has adopted a Shareholder Servicing Plan (the Plan) on behalf of the funds, except the Schwab High Yield Municipal Bond Fund. The Plan enables each fund to bear expenses relating to the provision by financial intermediaries, including Charles Schwab & Co., Inc. (a broker-dealer affiliate of CSIM, Schwab) (together, service providers), of certain account maintenance, customer liaison and shareholder services to the current shareholders of the funds.
Pursuant to the Plan, each fund’s shares, excluding the Schwab High Yield Municipal Bond Fund, are subject to an annual shareholder servicing fee up to 0.25%. The shareholder servicing fee paid to a particular service provider is made pursuant to its written agreement with Schwab, as distributor of the funds (or, in the case of payments made to Schwab acting as a service provider, pursuant to Schwab’s written agreement with the funds), and a fund will pay no more than 0.25% of the average annual daily net asset value of the fund shares owned by shareholders holding shares through such service provider. Payments under the Plan are made as described above without regard to whether the fee is more or less than the service provider’s actual cost of providing the services, and if more, such excess may be retained as profit by the service provider.
Expense Limitation
Although these agreements specify certain fees for these services, CSIM and its affiliates have made an additional agreement with the funds, for so long as CSIM serves as the investment adviser to the funds, which may only be amended or terminated with the approval of the Board, to limit the total annual fund operating expenses charged, excluding interest, taxes and certain non-routine expenses (expense limitation) to 0.49% for Schwab Tax-Free Bond Fund and Schwab California Tax-Free Bond Fund, and 0.60% for the Schwab High Yield Municipal Bond Fund.
Interfund Borrowing and Lending
Pursuant to an exemptive order issued by the SEC, the funds may enter into interfund borrowing and lending transactions with other funds in the Fund Complex. All loans are for temporary or emergency purposes and the interest rate to be charged will be the average of the overnight repurchase agreement rate and the short-term bank loan rate. All loans are subject to numerous conditions designed to ensure fair and equitable treatment of all participating funds. The interfund lending facility is subject to the oversight and periodic review by the Board. The funds had no interfund borrowing or lending activity during the period.
    
5. Board of Trustees:
The Board may include people who are officers and/or directors of CSIM or its affiliates. Federal securities law limits the percentage of such “interested persons” who may serve on a trust’s board, and the trust was in compliance with these limitations throughout the report period. The trust did not pay any of these interested persons for their services as trustees, but it did pay non-interested persons (independent trustees), as noted on each fund’s Statement of Operations. For information regarding the trustees, please refer to the Trustees and Officers table at the end of this report.
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Financial Notes, unaudited (continued)
6. Redemption Fees:
The Schwab High Yield Municipal Bond Fund charges a 1.00% redemption fee on shares sold or exchanged within 60 days of the original purchase date. Such amounts are netted against the redemption proceeds on the Statement of Changes in Net Assets. The redemption fee was suspended from April 13, 2020 through August 10, 2020. Amounts prior to August 10, 2020 were charged by the Predecessor Fund. The fees charged during the current and prior periods were:
  Current Period
(9/1/20-2/28/21) 		Prior Period
(3/1/20-8/31/20) 		Prior Period
(3/1/19-2/29/20)
Schwab High Yield Municipal Bond Fund $— $21,209 $2,945
    
7. Borrowing from Banks:
During the period, the funds were participants with other funds in the Fund Complex in a joint, syndicated, committed $750 million line of credit (the Syndicated Credit Facility), which matured on October 1, 2020. On October 1, 2020, the Syndicated Credit Facility was amended to run for a new 364 day period with a line of credit of $850 million, maturing on September 30, 2021. Under the terms of the Syndicated Credit Facility, in addition to the interest charged on any borrowings by a fund, each fund paid a commitment fee of 0.15% per annum on its proportionate share of the unused portion of the Syndicated Credit Facility.
During the period, the funds were participants with other funds in the Fund Complex in a joint, unsecured, uncommitted $500 million line of credit (the Uncommitted Credit Facility), with State Street Bank and Trust Company, which was scheduled to mature on November 27, 2020. However, on October 1, 2020, the Uncommitted Credit Facility was amended to run for a new 364 day period with a line of credit of $400 million, maturing on September 30, 2021. Under the terms of the Uncommitted Credit Facility, each fund pays interest on the amount it borrows. There were no borrowings from either line of credit during the period.
The funds also have access to custodian overdraft facilities. A fund may have utilized the overdraft facility and incurred an interest expense, which is disclosed on each fund’s Statement of Operations, if any. The interest expense is determined based on a negotiated rate above the current Federal Funds Rate.
    
8. Purchases and Sales/Maturities of Investment Securities:
For the period ended February 28, 2021, purchases and sales/maturities of securities (excluding short-term obligations) were as follows:
  Purchases
of Securities 		Sales/Maturities
of Securities
Schwab Tax-Free Bond Fund $263,475,640 $234,046,298
Schwab California Tax-Free Bond Fund 134,373,959 131,899,404
Schwab High Yield Municipal Bond Fund 19,635,816 24,823,900
    
9. Federal Income Taxes:
As of February 28, 2021, the tax basis cost of the funds’ investments and gross unrealized appreciation and depreciation were as follows:
  Schwab
Tax-Free
Bond Fund 		  Schwab
California Tax-Free
Bond Fund 		  Schwab
High Yield
Municipal Bond Fund
Tax cost $749,533,992   $472,470,469   $57,016,020
Gross unrealized appreciation $35,598,519   $20,923,818   $3,433,726
Gross unrealized depreciation (1,331,781)   (1,007,755)   (175,461)
Net unrealized appreciation (depreciation) $34,266,738   $19,916,063   $3,258,265
Capital loss carryforwards may be used to offset future realized capital gains for federal income tax purposes. As of August 31, 2020, the Schwab High Yield Municipal Bond Fund had capital loss carryforwards of $1,391,261 with no expiration available to offset future net capital gains. The Schwab Tax-Free Bond Fund and Schwab California Tax-Free Bond Fund had no capital loss carryforwards available to offset future net capital gains.
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Financial Notes, unaudited (continued)
9. Federal Income Taxes (continued):
The tax-basis components of distributions and components of distributable earnings on a tax basis are finalized at fiscal year-end; accordingly, tax basis balances have not been determined as of February 28, 2021. The tax-basis components of distributions paid during the fiscal year ended August 31, 2020, were as follows:
  Schwab
Tax-Free Bond
Fund 		Schwab California
Tax-Free
Bond Fund 		Schwab
High Yield
Municipal Bond Fund
Tax-exempt income $15,978,747 $9,329,822 $1,323,194
Ordinary income 920,038 120,150 —
Long-term capital gains 1,161,085 1,282,897 —
Year ended February 29, 2020 distributions*      
Tax-exempt income — — 2,788,936
Ordinary income — — 83,594
Long-term capital gains — — 601,506
* These distributions represent those of the Predecessor Fund.
As of August 31, 2020, management has reviewed the tax positions for open periods (for federal purposes, three years from the date of filing and for state purposes, four years from the date of filing) as applicable to the funds, and has determined that no provision for income tax is required in the funds’ financial statements. The funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the fiscal year ended August 31, 2020, the funds did not incur any interest or penalties.
    
10. Subsequent Events:
At a meeting held on February 24, 2021, the Board of Trustees of the Trust approved changing the name of the Schwab High Yield Municipal Bond Fund to Schwab Opportunistic Municipal Bond Fund and making corresponding changes to the fund’s investment strategy effective July 1, 2021. In addition, the Board of Trustees of the Trust approved reductions of the fund’s management fees, a new expense limitation, the removal of the fund’s contingent redemption fee, and changing to the fund’s primary benchmark index to Bloomberg Barclays Municipal Bond Index, all effective on July 1, 2021. For more information please visit www.schwabfunds.com/schwabfunds_prospectus.
Other than the planned changes for Schwab High Yield Municipal Bond Fund as discussed above, management has determined there are no subsequent events or transactions through the date the financial statements were issued that would have materially impacted the financial statements as presented.
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Liquidity Risk Management Program  (Unaudited)
The Funds have adopted and implemented a liquidity risk management program (the “program”) as required by Rule 22e-4 under the Investment Company Act of 1940, as amended. The Funds’ Board of Trustees (the “Board”) has designated the Funds’ investment adviser, Charles Schwab Investment Management, Inc. (“CSIM”) as the administrator of the program. Personnel of CSIM or its affiliates conduct the day-to-day operation of the program.
Under the program, CSIM manages a Fund’s liquidity risk, which is the risk that the Fund could not meet shareholder redemption requests without significant dilution of remaining shareholders’ interests in the Fund. The program is reasonably designed to assess and manage a Fund’s liquidity risk, taking into consideration the Fund’s investment strategy and the liquidity of its portfolio investments during normal and reasonably foreseeable stressed conditions; its historical redemption history and shareholder concentrations; and its cash holdings and access to other funding sources, including the custodian overdraft facility and lines of credit. CSIM’s process of determining the degree of liquidity of each Fund’s investments is supported by third-party liquidity assessment vendors.
The Funds’ Board reviewed a report at its meeting held on September 22, 2020 prepared by CSIM regarding the operation and effectiveness of the program for the period June 1, 2019, through May 31, 2020. No significant liquidity events impacting the Schwab Tax-Free Bond Fund or Schwab California Tax-Free Bond Fund were noted in the report. In addition, CSIM provided its assessment that the program had been operating effectively in managing each of the Schwab Tax-Free Bond Fund’s and Schwab California Tax-Free Bond Fund’s liquidity risk. The Schwab High Yield Municipal Bond Fund commenced operations on August 10, 2020.
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Trustees and Officers
The tables below give information about the trustees and officers of Schwab Investments, which includes the funds covered in this report. The “Fund Complex” includes The Charles Schwab Family of Funds, Schwab Capital Trust, Schwab Investments, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust. The Fund Complex includes 103 funds.
The address for all trustees and officers is 211 Main Street, San Francisco, CA 94105. You can find more information about the trustees and officers in the funds’ Statement of Additional Information, which is available free by calling 1-877-824-5615.
Independent Trustees
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Robert W. Burns
1959
Trustee
(Trustee of Schwab Strategic Trust since 2009; The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2016) 		Retired/Private Investor (Jan. 2009 – present). Formerly, Managing Director, Pacific Investment Management Company, LLC (PIMCO) (investment management firm) and President, PIMCO Funds. 103 None
John F. Cogan
1947
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust and Schwab Annuity Portfolios since 2008; Laudus Trust since 2010; Schwab Strategic Trust since 2016) 		Senior Fellow (Oct. 1979 – present), The Hoover Institution at Stanford University (public policy think tank); Senior Fellow (2000 – present), Stanford Institute for Economic Policy Research; Professor of Public Policy (1994 – 2015), Stanford University. 103 Director (2005 – 2020), Gilead Sciences, Inc.
Nancy F. Heller
1956
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2018) 		Retired. President and Chairman (2014 – 2016), TIAA Charitable (financial services); Senior Managing Director (2003 – 2016), TIAA (financial services). 103 None
David L. Mahoney
1954
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2011; Schwab Strategic Trust since 2016) 		Private Investor. 103 Director (2004 – present), Corcept Therapeutics Incorporated
Director (2009 – present), Adamas Pharmaceuticals, Inc.
Director (2003 – 2019), Symantec Corporation
Jane P. Moncreiff
1961
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2019) 		Consultant (2018 – present), Fulham Advisers LLC (management consulting); Chief Investment Officer (2009 – 2017), CareGroup Healthcare System, Inc. (healthcare). 103 None
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Independent Trustees (continued)
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Kiran M. Patel
1948
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2011; Schwab Strategic Trust since 2016) 		Retired. Executive Vice President and General Manager of Small Business Group (Dec. 2008 – Sept. 2013), Intuit, Inc. (financial software and services firm for consumers and small businesses). 103 Director (2008 – present), KLA-Tencor Corporation
Kimberly S. Patmore
1956
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2016) 		Consultant (2008 – present), Patmore Management Consulting (management consulting). 103 None
    
Interested Trustees
Name, Year of Birth, and
Position(s) with the trust
(Terms of office, and
length of Time Served1) 		Principal Occupations
During the Past Five Years 		Number of
Portfolios in
Fund Complex
Overseen by
the Trustee 		Other Directorships
Walter W. Bettinger II2
1960
Chairman and Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust and Schwab Annuity Portfolios since 2008; Schwab Strategic Trust since 2009; Laudus Trust since 2010) 		Director, President and Chief Executive Officer (Oct. 2008 – present), The Charles Schwab Corporation; President and Chief Executive Officer (Oct. 2008 – present) and Director (May 2008 – present), Charles Schwab & Co., Inc.; Director (Apr. 2006 – present), Charles Schwab Bank, SSB; Director (Nov. 2017 – present), Charles Schwab Premier Bank, SSB; Director (July 2019 – present), Charles Schwab Trust Bank; Director (May 2008 – present) and President and Chief Executive Officer (Aug. 2017 – present), Schwab Holdings, Inc.; Director (Oct. 2020 – present), TD Ameritrade Holding Corporation; Director (July 2016 – present), Charles Schwab Investment Management, Inc. 103 Director (2008 – present), The Charles Schwab Corporation
Joseph R. Martinetto2
1962
Trustee
(Trustee of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2016) 		Chief Operating Officer (Feb. 2018 – present) and Senior Executive Vice President (July 2015 – Feb. 2018), The Charles Schwab Corporation; Senior Executive Vice President (July 2015 – present), Charles Schwab & Co., Inc.; Chief Financial Officer (July 2015 – Aug. 2017) and Executive Vice President and Chief Financial Officer (May 2007 – July 2015), The Charles Schwab Corporation and Charles Schwab & Co., Inc.; Director (May 2007 – present), Charles Schwab & Co., Inc.; Director (Apr. 2010 – present) and Chief Executive Officer (July 2013 – Apr. 2015), Charles Schwab Bank, SSB; Director (Nov. 2017 – present), Charles Schwab Premier Bank, SSB; Director (May 2007 – present), Chief Financial Officer (May 2007 – Aug. 2017), Senior Executive Vice President (Feb. 2016 – present), and Executive Vice President (May 2007 – Feb. 2016), Schwab Holdings, Inc.; Director (Oct. 2020 – present), TD Ameritrade Holding Corporation. 103 None
    
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Officers of the Trust
Name, Year of Birth, and Position(s) with the trust
(Terms of office, and length of Time Served3) 		Principal Occupations During the Past Five Years
Jonathan de St. Paer
1973
President and Chief Executive Officer
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2018) 		Director (Apr. 2019 – present), President (Oct. 2018 – present), Chief Operating Officer (Jan. 2020 – present), and Chief Executive Officer (Apr. 2019 – Nov. 2019), Charles Schwab Investment Management, Inc.; Senior Vice President (June 2020 – present) and Chief Operating Officer (Jan. 2020 – present), Charles Schwab Investment Advisory, Inc.; Chief Executive Officer (Apr. 2019 – present), President (Nov. 2018 – present) and Trustee (Apr. 2019 – Dec. 2020), Schwab Funds, Laudus Funds and Schwab ETFs; Director (Apr. 2019 – present), Charles Schwab Worldwide Funds plc and Charles Schwab Asset Management (Ireland) Limited; Senior Vice President (Apr. 2019 – present), Senior Vice President – Strategy and Product Development (CSIM) (Jan. 2014 – Mar. 2019), and Vice President (Jan. 2009 – Dec. 2013), Charles Schwab & Co., Inc.
Mark Fischer
1970
Treasurer, Chief Financial Officer and Chief Operating Officer
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2013) 		Treasurer and Chief Financial Officer (Jan. 2016 – present) and Chief Operating Officer (Dec. 2020 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Assistant Treasurer (Dec. 2013 – Dec. 2015), Schwab Funds and Laudus Funds; Assistant Treasurer (Nov. 2013 – Dec. 2015), Schwab ETFs; Chief Financial Officer (Mar. 2020 – present) and Vice President (Oct. 2013 – present), Charles Schwab Investment Management, Inc.; Executive Director (Apr. 2011 – Sept. 2013), J.P. Morgan Investor Services; Assistant Treasurer (May 2005 – Mar. 2011), Massachusetts Financial Service Investment Management.
Omar Aguilar
1970
Senior Vice President and Chief Investment Officer – Equities and Multi-Asset Strategies
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President and Chief Investment Officer (Apr. 2011 – present), Charles Schwab Investment Management, Inc.; Senior Vice President and Chief Investment Officer – Equities and Multi-Asset Strategies (June 2011 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Head of the Portfolio Management Group and Vice President of Portfolio Management (May 2009 – Apr. 2011), Financial Engines, Inc. (investment management firm); Head of Quantitative Equity (July 2004 – Jan. 2009), ING Investment Management.
Brett Wander
1961
Senior Vice President and Chief Investment Officer – Fixed Income
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President and Chief Investment Officer (Apr. 2011 – present), Charles Schwab Investment Management, Inc.; Senior Vice President and Chief Investment Officer – Fixed Income (June 2011 – present), Schwab Funds, Laudus Funds and Schwab ETFs; Senior Managing Director and Global Head of Active Fixed-Income Strategies (Jan. 2008 – Oct. 2010), State Street Global Advisors; Director of Alpha Strategies (Apr. 2006 – Jan. 2008), Loomis, Sayles & Company (investment management firm).
David Lekich
1964
Chief Legal Officer and Secretary, Schwab Funds and Schwab ETFs
Vice President and Assistant Clerk, Laudus Funds
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios, Schwab Strategic Trust and Laudus Trust since 2011) 		Senior Vice President (Sept. 2011 – present) and Vice President (Mar. 2004 – Sept. 2011), Charles Schwab & Co., Inc.; Senior Vice President and Chief Counsel (Sept. 2011 – present) and Vice President (Jan. 2011 – Sept. 2011), Charles Schwab Investment Management, Inc.; Secretary (Apr. 2011 – present) and Chief Legal Officer (Dec. 2011 – present), Schwab Funds; Vice President and Assistant Clerk (Apr. 2011 – present), Laudus Funds; Secretary (May 2011 – present) and Chief Legal Officer (Nov. 2011 – present), Schwab ETFs.
Catherine MacGregor
1964
Vice President and Assistant Secretary, Schwab Funds and Schwab ETFs
Chief Legal Officer, Vice President and Clerk, Laudus Funds
(Officer of The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust since 2005; Schwab Strategic Trust since 2009) 		Vice President (July 2005 – present), Charles Schwab & Co., Inc.; Vice President (Sept. 2005 – present), Charles Schwab Investment Management, Inc.; Vice President (Dec. 2005 – present) and Chief Legal Officer and Clerk (Mar. 2007 – present), Laudus Funds; Vice President (Nov. 2005 – present) and Assistant Secretary (June 2007 – present), Schwab Funds; Vice President and Assistant Secretary (Oct. 2009 – present), Schwab ETFs.
1 Each Trustee shall hold office until the election and qualification of his or her successor, or until he or she dies, resigns or is removed. The retirement policy requires that each independent trustee retire by December 31 of the year in which the Trustee turns 74 or the Trustee’s twentieth year of service as an independent trustee on any trust in the Fund Complex, whichever occurs first.
2 Mr. Bettinger and Mr. Martinetto are Interested Trustees. Mr. Bettinger is an Interested Trustee because he owns stock of The Charles Schwab Corporation (CSC), the parent company of Charles Schwab Investment Management, Inc. (CSIM), the investment adviser for the trusts in the Fund Complex, is an employee and director of Charles Schwab & Co., Inc. (CS&Co), the principal underwriter for The Charles Schwab Family of Funds, Schwab Investments, Schwab Capital Trust, Schwab Annuity Portfolios and Laudus Trust, and is a director of CSIM. Mr. Martinetto is an Interested Trustee because he owns stock of CSC and is an employee and director of CS&Co.
3 The President, Treasurer and Secretary/Clerk hold office until their respective successors are chosen and qualified or until he or she sooner dies, resigns, is removed or becomes disqualified. Each of the other officers serves at the pleasure of the Board.
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Glossary
agency discount notes  Notes issued by federal agencies—known as Government Sponsored Enterprises, or GSEs—at a discount to their value at maturity. An agency discount note is a short-term investment offering a high degree of credit quality.
Alternative Minimum Tax (AMT)  A federal income tax designed to limit the extent to which high-income taxpayers (including individuals, estates, trusts and corporations) can benefit from certain deductions and exemptions. For example, some types of income that are exempt from regular federal income tax are not exempt from the AMT.
asset allocation  The practice of dividing a portfolio among different asset classes, with each asset class assigned a particular percentage.
asset-backed securities  Bond or other debt securities that represent ownership in a pool of assets such as credit card debt.
asset class  A group of securities with similar structure and basic characteristics. Stocks, bonds and cash are the three main examples of asset classes.
average rate  The average rate of interest paid annually by the fixed-income securities in a fund or portfolio.
Bloomberg Barclays California Municipal 3-15 Year Blend Index  An index that measures the performance of U.S. tax exempt bonds issued in the State of California with maturities greater than or equal to three years and less than fifteen years that have par value of at least $7 million. The securities in the index must be denominated in U.S. dollars and must be fixed-rate. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds, and prerefunded bonds. The securities in the index must be rated investment grade. The index is rebalanced at each month-end. At each rebalancing, cash is effectively reinvested into the return universe for the following month.
Bloomberg Barclays Municipal 3-15 Year Blend Index  An index that measures the performance of U.S. tax exempt bonds with maturities greater than or equal to three years and less than fifteen years that have par value of at least $7 million. The securities in the index must be denominated in U.S. dollars and must be fixed-rate. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds, and prerefunded bonds. The securities in the index must be rated investment grade. The index is rebalanced at each month-end. At each rebalancing, cash is effectively reinvested into the return universe for the following month.
Bloomberg Barclays High Yield Municipal Index  An index that measures the performance of the non-investment grade and non-rated tax exempt bond market. Included in the index are securities from all 50 U.S. states and four other qualifying regions (Washington DC, Puerto Rico, Guam, and the Virgin Islands) that have par value of at least $3 million. The securities in the index must be denominated in U.S. dollars and must be fixed-rate. The index includes state and local general obligation bonds and revenue bonds. Both high yield (Ba1/BB+/BB+ or below) and non-rated securities are eligible to be included in the index. The index is rebalanced at each month-end. At each rebalancing, cash is effectively reinvested into the return universe for the following month.
Bloomberg Barclays Municipal Bond Index  An index that measures the performance of U.S. tax exempt bonds that have par value of at least $7 million. The securities in the index must be denominated in U.S. dollars and must be fixed-rate. The index has four main sectors: state and local general obligation bonds, revenue bonds,
insured bonds, and prerefunded bonds. The securities in the index must be rated investment grade. The index is rebalanced at each month-end. At each rebalancing, cash is effectively reinvested into the return universe for the following month.
Bloomberg Barclays US Aggregate Bond Index An index that is a broad-based benchmark measuring the performance of the U.S. investment grade, taxable bond market, including U.S. Treasuries, government-related and corporate bonds, mortgage pass-through securities, commercial mortgage-backed securities, and asset-backed securities that are publicly available for sale in the United States. To be eligible for inclusion in the index, securities must be fixed rate, non-convertible, U.S. dollar-denominated with at least $300 million or more of outstanding face value and have one or more years remaining to maturity. The index excludes certain types of securities, including tax-exempt state and local government series bonds, structured notes embedded with swaps or other special features, private placements, floating rate securities, inflation-linked bonds and Eurobonds. The index is market capitalization weighted and the securities in the index are updated on the last business day of each month.
bond  A security representing a loan from the investor to the issuer. A bond typically pays interest at a fixed rate (the coupon rate) until a specified date (the maturity date), at which time the issuer returns the money borrowed (principal or face value) to the bondholder. Because of their structure, bonds are sometimes called “fixed income securities” or “debt securities.”
An individual bond is subject to the credit risk of the issuer. Changes in interest rates can affect a bond’s market value prior to call or maturity. There is no guarantee that a bond’s yield to call or maturity will provide a positive return over the rate of inflation.
bond fund  A bond fund is subject to the same credit, interest rate, and inflation risks as bonds. In addition, a bond fund incurs ongoing fees and expenses. A bond fund’s net asset value will fluctuate with the price of the underlying bonds and the portfolio turnover activity; return of principal is not guaranteed.
call  An early repayment of a bond’s principal by the issuer, usually done because the issuer is able to refinance its bond debt at a lower rate.
call protection  A term used in reference to a bond that cannot be called by the issuer before maturity, or at least for many years from the present date. A bond that offers call protection can more reliably be expected to provide a given yield over a given number of years than a bond that could be called (assuming both bonds are of the same credit quality).
capital gain, capital loss  The difference between the amount paid for an investment and its value at a later time. If the investment has been sold, the capital gain or loss is considered a realized gain or loss. If the investment is still held, the gain or loss is still “on paper” and is considered unrealized.
certificate of participation  A municipal bond that is repaid from an annual budget appropriation rather than being backed by the full faith and credit of the issuer.
coupon, coupon rate  The annual rate of interest paid until maturity by the issuer of a debt security.
credit-enhanced securities  Securities that are backed by the credit of an entity other than the issuer (such as a financial institution). Credit enhancements, which can equal up to 100% of the security’s value, are designed to help lower the risk of default on a security and may also make the security more liquid.
 
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Credit Ratings
Most major bond issuers arrange with a recognized independent rating organization, such as Standard & Poor’s (S&P) or Moody’s Investors Service, to rate the creditworthiness of their bonds. The spectrum of these ratings is divided into two major categories: investment grade and below investment grade (sometimes called “junk bonds”). Bonds rated below investment grade range from those that are considered to have some vulnerability to default to those that appear on the brink of default or are in default.
credit quality  The capacity of an issuer to make its interest and principal payments. See chart below.
credit risk  The risk that a bond issuer may be unable to pay interest or principal to its bondholders.
discount rate  The implied rate on a debt security that does not pay interest but is bought at a discount and redeemed at face value when it matures.
duration  A measure of an individual bond’s sensitivity to interest rates, expressed in years. Calculations of duration generally take into account the bond’s yield, interest payments, maturity date and call features.
weighted average duration  A measure of the duration of all bonds in a fund’s portfolio, also expressed in years, based on the market value weighted average duration of each bond in the portfolio.
expense ratio  The amount that is taken from a mutual fund’s assets each year to cover the fund’s operating expenses. An expense ratio of 0.50% means that a fund’s expenses amount to half of one percent of its average net assets a year.
general obligation bonds  Municipal bonds that are secured by the issuer’s full faith and credit, which typically is backed by the power of the issuer to levy taxes.
interest  Payments to bondholders (usually made twice a year) as compensation for loaning the bond principal to the issuer.
interest rate risk  The risk that a bond’s value will fluctuate if market interest rates change or are expected to change. Bond prices tend to move in the opposite direction of interest rates: when interest rates rise, bond prices tend to fall.
liquidity-enhanced security  A security that when tendered is paid from funds advanced by an entity other than the issuer (such as a large financial institution). Liquidity enhancements are often used on variable-rate securities where the portfolio manager has an option to tender the securities prior to their final maturity.
market risk  Those elements of risk that are common to all securities in an asset class, and therefore cannot be significantly reduced by diversification within the asset class. Also known as “systemic risk.”
maturity  The maturity of a bond will generally be determined using a portfolio security’s final maturity date (date on which the final principal payment of a bond is scheduled to be paid); however, for securitized products, such as mortgage-backed securities and certain other asset-backed securities, maturity will be determined on an average life basis (weighted average time to receipt of all principal payments) by the investment adviser. Because pre-payment rates of individual mortgage pools vary widely, the average life of a particular pool cannot be predicted precisely. For securities with embedded demand features, such as puts or calls, either the demand date or the final maturity date will be used depending on interest rates, yields and other market conditions. The weighted average maturity (WAM) of a fund is dollar-weighted based upon the market value of a fund’s securities at the time of the calculation.
mortgage-backed securities  Bond or other debt securities that represent ownership in a pool of mortgage loans.
muni, municipal bonds, municipal securities  Debt securities issued by a state, its counties, municipalities, authorities and other subdivisions, or the territories and possessions of the United States and the District of Columbia, including their subdivisions, agencies and instrumentalities and corporations. These securities may be issued to obtain money for various public purposes, including the construction of a wide range of public facilities such as airports, bridges, highways, housing, hospitals, mass transportation, public utilities, schools, streets, and water and sewer works.
net asset value (NAV)  The value of one share of a mutual fund. NAV is calculated by taking the fund’s total assets, subtracting liabilities, and dividing by the number of shares outstanding.
outstanding shares, shares outstanding  When speaking of a company or mutual fund, indicates all shares currently held by investors.
prepayment risk  The risk that a mortgage-backed security may be paid off early, typically because interest rates have fallen and the homeowners who hold the underlying mortgages have refinanced those mortgages at lower rates. In this type of situation, the investor who held the mortgage-backed security will usually have to settle for a lower rate when reinvesting the principal.
refunded bond  A bond for which the principal and interest payments are secured or guaranteed by cash or U.S. government securities held in an escrow account.
restricted securities  Securities that are subject to contractual restrictions on resale. These securities are often purchased in private placement transactions.
revenue bonds  Municipal bonds that are issued to finance public works projects and are secured by revenue generated by the project (such as water and sewer fees) rather than the full faith and credit of the issuer.
S&P California AMT-Free Municipal Bond Index  A broad, comprehensive market value-weighted index designed to measure the performance of investment-grade tax-exempt bonds issues within California.
section 4(2)/144A securities  Securities exempt from registration under Section 4(2) of the Securities Act of 1933. These securities may be sold only to qualified institutional buyers under Securities Act Rule 144A.
 
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taxable equivalent yield  The yield an investor would need to get from a taxable investment in order to match the yield paid by a given tax-exempt investment, once the effect of all applicable taxes is taken into account. For example, if your tax rate were 25%, a tax-exempt investment paying 4.5% would have a taxable equivalent yield for you of 6.0% (4.5% ÷ [1 – 0.25%] = 6.0%).
total return  The percentage that an investor would have earned or lost on an investment in the fund assuming dividends and distributions were reinvested.
weighted average  For mutual funds, an average that gives the same weight to each security as the security represents in the fund’s portfolio.
yield  The income paid out by an investment, expressed as a percentage of the investment’s market value.
yield to maturity  The annualized rate of return a bondholder could expect if the bond were held to maturity. In addition to interest payments, yield to maturity also factors in any difference between a bond’s current price and its principal amount, or face value.
 
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Notes
         

 

Schwab Municipal Bond Funds
Charles Schwab Investment Management
With a straightforward lineup of core products and solutions for building the foundation of a portfolio, Charles Schwab Investment Management advocates for investors of all sizes with a steadfast focus on lowering costs and reducing unnecessary complexity. The list below shows all currently available Schwab Funds®.
Investors should carefully consider information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges and expenses before investing. Please call 1-877-824-5615 for a prospectus for any Schwab Fund. Please read the prospectus carefully before you invest. This report must be preceded or accompanied by a current prospectus.
Proxy Voting Policies, Procedures and Results
A description of the proxy voting policies and procedures used to determine how to vote proxies on behalf of the funds is available without charge, upon request, by visiting the Schwab Funds’ website at www.schwabfunds.com/schwabfunds_prospectus, the SEC’s website at www.sec.gov, or by contacting Schwab Funds at 1-877-824-5615.
Information regarding how a fund voted proxies relating to portfolio securities during the most recent twelve-month period ended June 30 is available, without charge, by visiting the fund’s website at www.schwabfunds.com/schwabfunds_prospectus or the SEC’s website at www.sec.gov.
    
    
Schwab Funds
Equity Funds
Schwab Core Equity Fund
Schwab Dividend Equity Fund
Schwab Large-Cap Growth Fund
Schwab Small-Cap Equity Fund
Schwab Hedged Equity Fund
Schwab Health Care Fund
Schwab International Core Equity Fund
Schwab Fundamental US Large Company Index Fund
Schwab Fundamental US Small Company Index Fund
Schwab Fundamental International Large Company Index Fund
Schwab Fundamental International Small Company Index Fund
Schwab Fundamental Emerging Markets Large Company Index Fund
Schwab Fundamental Global Real Estate Index Fund
Schwab Global Real Estate Fund
Schwab S&P 500 Index Fund
Schwab 1000 Index® Fund
Schwab Small-Cap Index Fund®
Schwab Total Stock Market Index Fund®
Schwab U.S. Large-Cap Growth Index Fund
Schwab U.S. Large-Cap Value Index Fund
Schwab U.S. Mid-Cap Index Fund
Schwab International Index Fund®
Asset Allocation Funds
Schwab Balanced Fund
Schwab MarketTrack Portfolios®
Schwab Target Funds
Schwab Target Index Funds
Schwab Monthly Income Funds
Bond Funds
Schwab Treasury Inflation Protected Securities Index Fund
Schwab U.S. Aggregate Bond Index Fund
Schwab Short-Term Bond Index Fund
Schwab Tax-Free Bond Fund1
Schwab California Tax-Free Bond Fund1
Schwab High Yield Municipal Bond Fund
Schwab Money Funds2
Schwab provides a broad choice of taxable and tax-exempt money market funds for both retail and institutional client types.    
 
    
    
 
 
 
 
 
Investment Adviser
Charles Schwab Investment Management, Inc.
211 Main Street, San Francisco, CA 94105
Funds
Schwab Funds
1-877-824-5615
© 2021 Charles Schwab & Co., Inc. All rights reserved.
Member SIPC®
Printed on recycled paper.
    
¹ State, local, and the Federal Alternative Minimum Tax may apply. Capital gains are not exempt from Federal Taxation.
² You could lose money by investing in the Schwab Money Funds. All Schwab Money Funds with the exception of Schwab Variable Share Price Money Fund seek to preserve the value of your investment at $1.00 per share, but cannot guarantee they will do so. Because the share price of Schwab Variable Share Price Money Fund will fluctuate, when you sell your shares they may be worth more or less than what you originally paid for them. All Schwab Money Funds with the exception of Schwab Government Money Fund, Schwab Retirement Government Money Fund, Schwab U.S. Treasury Money Fund, Schwab Treasury Obligations Money Fund and Schwab Government Money Market Portfolio may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Schwab Money Funds is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Schwab Money Funds’ sponsor has no legal obligation to provide financial support to the Funds, and you should not expect that the sponsor will provide financial support to the Funds at any time.

 

         
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MFR13481-24
00258630

Item 2: Code of Ethics.

Not applicable to this semi-annual report.

Item 3: Audit Committee Financial Expert.

Not applicable to this semi-annual report.

Item 4: Principal Accountant Fees and Services.

Not applicable to this semi-annual report.

Item 5: Audit Committee of Listed Registrants.

Not applicable to this semi-annual report.

Item 6: Schedule of Investments.

The schedules of investments are included as part of the report to shareholders filed under Item 1 of this Form.

Item 7: Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8: Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9: Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10: Submission of Matters to a Vote of Security Holders.

Not applicable.

Item 11: Controls and Procedures.

 

(a)

Based on their evaluation of Registrant’s disclosure controls and procedures, as of a date within 90 days of the filing date, Registrant’s Chief Executive Officer, Jonathan de St. Paer and Registrant’s Chief Financial Officer, Mark Fischer, have concluded that Registrant’s disclosure controls and procedures are: (i) reasonably designed to ensure that information required to be disclosed in this report is appropriately communicated to Registrant’s officers to allow timely decisions regarding disclosures required in this report; (ii) reasonably designed to ensure that information required to be disclosed in this report is recorded, processed, summarized and reported in a timely manner; and (iii) are effective in achieving the goals described in (i) and (ii) above.

 

(b)

During the period covered by this report, there have been no changes in Registrant’s internal control over financial reporting that the above officers believe to have materially affected, or to be reasonably likely to materially affect, Registrant’s internal control over financial reporting.

Item 12: Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13: Exhibits.

(a) (1) Code of ethics – not applicable to this semi-annual report.

 

  (2)

Separate certifications for Registrant’s principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended (the “1940 Act”), are attached.

 

  (3)

Not applicable.

 

(b)

A certification for Registrant’s principal executive officer and principal financial officer, as required by Rule 30a-2(b) under the 1940 Act, is attached. This certification is being furnished to the Securities and Exchange Commission solely pursuant to 18 U.S.C. section 1350 and is not being filed as part of the Form N-CSRS with the Commission.

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

(Registrant) Schwab Investments – Schwab Taxable Bond Funds and Schwab Municipal Bond Funds

 

By:   /s/ Jonathan de St. Paer
  Jonathan de St. Paer
  Chief Executive Officer
Date:   April 16, 2021                    

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

 

By:   /s/ Jonathan de St. Paer
  Jonathan de St. Paer
  Chief Executive Officer
Date:   April 16, 2021                    
By:   /s/ Mark Fischer
  Mark Fischer
  Chief Financial Officer
Date:   April 16, 2021