N-CSR 1 acibf103122n-csr.htm N-CSR Document

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number811-06441
AMERICAN CENTURY INTERNATIONAL BOND FUNDS
(Exact name of registrant as specified in charter)
4500 MAIN STREET, KANSAS CITY, MISSOURI64111
(Address of principal executive offices)(Zip Code)
JOHN PAK
4500 MAIN STREET, KANSAS CITY, MISSOURI 64111
(Name and address of agent for service)
Registrant’s telephone number, including area code:816-531-5575
Date of fiscal year end:10-31
Date of reporting period:10-31-2022






ITEM 1. REPORTS TO STOCKHOLDERS.

(a) Provided under separate cover.






    


acihorizblkd48a.jpg
Annual Report
October 31, 2022
Emerging Markets Debt Fund
Investor Class (AEDVX)
I Class (AEHDX)
Y Class (AEYDX)
A Class (AEDQX)
C Class (AEDHX)
R Class (AEDWX)
R5 Class (AEDJX)
R6 Class (AEXDX)
G Class (AEDGX)


















Table of Contents
 
President’s Letter
Performance
Portfolio Commentary
Fund Characteristics
Shareholder Fee Example
Schedule of Investments
Statement of Assets and Liabilities
Statement of Operations
Statement of Changes in Net Assets
Notes to Financial Statements
Financial Highlights
Report of Independent Registered Public Accounting Firm
Management
Approval of Management Agreement
Additional Information
 


















Any opinions expressed in this report reflect those of the author as of the date of the report, and do not necessarily represent the opinions of American Century Investments® or any other person in the American Century Investments organization. Any such opinions are subject to change at any time based upon market or other conditions and American Century Investments disclaims any responsibility to update such opinions. These opinions may not be relied upon as investment advice and, because investment decisions made by American Century Investments funds are based on numerous factors, may not be relied upon as an indication of trading intent on behalf of any American Century Investments fund. Security examples are used for representational purposes only and are not intended as recommendations to purchase or sell securities. Performance information for comparative indices and securities is provided to American Century Investments by third party vendors. To the best of American Century Investments’ knowledge, such information is accurate at the time of printing.



President’s Letter
image10.jpg Jonathan Thomas

Dear Investor:

Thank you for reviewing this annual report for the period ending October 31, 2022. Annual reports help convey important information about fund returns, including market factors that affected performance. For additional investment insights, please visit americancentury.com.

High Inflation, Rising Rates, Volatility Challenged Investors

The broad economic and investment backdrops grew knottier as the fiscal year progressed. Challenges began to surface early in the period, as the Federal Reserve (Fed) and other central banks finally admitted inflation was entrenched rather than transitory. Investors grew more cautious amid growing expectations for less accommodative monetary policy in the new year.

By early 2022, inflation soared to levels last seen in the early 1980s. Massive fiscal and monetary support unleashed during the pandemic was partly to blame. In addition, escalating energy prices, supply chain breakdowns, labor market shortages and Russia’s invasion of Ukraine further aggravated the inflation backdrop.

The Fed responded to surging inflation with a rate hike in March, three months after the Bank of England (BofE) launched its tightening campaign. Through October, the Fed lifted rates a total of 3 percentage points, while the BofE hiked 2.9 percentage points. The European Central Bank (ECB) waited until July to start tightening. Facing record-high inflation, the ECB raised rates 2 percentage points through October.

In addition to fostering recession risk, the combination of elevated inflation and hawkish central banks helped push bond yields sharply higher and stock prices significantly lower. Amid persistent market unrest, most stock, bond and real estate indices ended the 12-month period with steep losses. While U.S. stock returns were broadly negative, growth stocks significantly underperformed their value stock peers.

Staying Disciplined in Uncertain Times

We expect market volatility to linger as investors navigate a complex environment of high inflation, rising interest rates and economic uncertainty. In addition, Russia’s invasion of Ukraine complicates an increasingly tense geopolitical backdrop and threatens global energy markets. We will continue to monitor this evolving situation and what it broadly means for investors across asset classes.

We appreciate your confidence in us during these extraordinary times. Our firm has a long history of helping clients weather unpredictable markets, and we’re confident we will continue to meet today’s challenges.

Sincerely,
image7.jpg
Jonathan Thomas
President and Chief Executive Officer
American Century Investments
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Performance
Total Returns as of October 31, 2022
Average Annual Returns
 Ticker Symbol1 year5 yearsSince InceptionInception Date
Investor ClassAEDVX-19.89%-1.34%1.10%7/29/14
JP Morgan EMBI Global Diversified Index-24.19%-2.66%0.54%
JP Morgan GBI-EM Global Diversified Index-20.27%-3.54%-3.13%
50% JP Morgan EMBI Global Diversified Index, 50% JP Morgan GBI-EM Global Diversified Index-22.23%-3.05%-1.25%
JPMorgan Corporate Emerging Market Bond (CEMBI) Broad Diversified Index-18.06%-0.20%1.88%
I ClassAEHDX-19.74%-1.26%-0.56%4/10/17
Y ClassAEYDX-19.67%-1.17%-0.47%4/10/17
A ClassAEDQX7/29/14
No sales charge-20.09%-1.61%0.84%
With sales charge-23.66%-2.51%0.28%
C ClassAEDHX-20.67%-2.33%0.09%7/29/14
R ClassAEDWX-20.29%-1.85%0.59%7/29/14
R5 ClassAEDJX-19.75%-1.14%1.30%7/29/14
R6 ClassAEXDX-19.71%-1.12%1.35%7/29/14
G ClassAEDGX-19.02%-0.34%11/14/17
G Class returns would have been lower if a portion of the fees had not been waived.

C Class shares will automatically convert to A Class shares after being held for approximately eight years. C Class average annual returns do not reflect this conversion.

Effective December 1, 2021, the fund’s investment advisor selected a different index for comparison purposes. The advisor believes 50% JP Morgan EMBI Global Diversified Index, 50% JP Morgan GBI-EM Global Diversified Index is more reflective of the fund’s strategy.

Sales charges include initial sales charges and contingent deferred sales charges (CDSCs), as applicable. A Class shares have a 4.50% maximum initial sales charge and may be subject to a maximum CDSC of 1.00%. C Class shares redeemed within 12 months of purchase are subject to a maximum CDSC of 1.00%. The SEC requires that mutual funds provide performance information net of maximum sales charges in all cases where charges could be applied.



Data presented reflect past performance. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance shown. Total returns for periods less than one year are not annualized. Investment return and principal value will fluctuate, and redemption value may be more or less than original cost. Data assumes reinvestment of dividends and capital gains, and none of the charts reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. To obtain performance data current to the most recent month end, please call 1-800-345-2021 or visit americancentury.com. For additional information about the fund, please consult the prospectus.
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Growth of $10,000 Over Life of Class
$10,000 investment made July 29, 2014
Performance for other share classes will vary due to differences in fee structure.
chart-a4b9d18144d54ade883a.jpg
Value on October 31, 2022
Investor Class — $10,944
JP Morgan EMBI Global Diversified Index — $10,457
JP Morgan GBI-EM Global Diversified Index — $7,689
50% JP Morgan EMBI Global Diversified Index, 50% JP Morgan GBI-EM Global Diversified Index — $9,012
JPMorgan Corporate Emerging Market Bond (CEMBI) Broad Diversified Index — $11,660

Total Annual Fund Operating Expenses
Investor ClassI ClassY ClassA ClassC ClassR ClassR5 ClassR6 ClassG Class
0.97%0.87%0.77%1.22%1.97%1.47%0.77%0.72%0.72%
The total annual fund operating expenses shown is as stated in the fund’s prospectus current as of the date of this report. The prospectus may vary from the expense ratio shown elsewhere in this report because it is based on a different time period, includes acquired fund fees and expenses, and, if applicable, does not include fee waivers or expense reimbursements.








Data presented reflect past performance. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance shown. Total returns for periods less than one year are not annualized. Investment return and principal value will fluctuate, and redemption value may be more or less than original cost. Data assumes reinvestment of dividends and capital gains, and none of the charts reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. To obtain performance data current to the most recent month end, please call 1-800-345-2021 or visit americancentury.com. For additional information about the fund, please consult the prospectus.
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Portfolio Commentary

Portfolio Managers: John Lovito and Thomas Youn

Alessandra Alecci left the fund’s portfolio management team May 13, 2022.

Performance Summary

Emerging Markets Debt returned -19.89%* for the fiscal year ended October 31, 2022. By comparison, the fund’s benchmark, 50% JP Morgan EMBI Global Diversified Index, 50% JP Morgan GBI-EM Global Diversified Index, returned -22.23% for the same time period. Fund returns reflect operating expenses, while index returns do not.

Market Review

A stronger U.S. dollar, tighter global financial conditions, high inflation and geopolitical unrest weighed on emerging markets debt returns for the 12-month period. Market conditions began deteriorating in early 2022. Inflation, which had been steadily rising through 2021, soared to multiyear highs. The Federal Reserve (Fed), which had labeled the inflation backdrop transitory, pivoted in early 2022 and embarked on an increasingly aggressive rate-hike campaign. Facing similar inflation problems, other developed markets central banks also tightened monetary policy. These efforts sent lending rates and bond yields on a steep upward trajectory through period-end.
Additionally, Russia’s invasion of Ukraine in February exacerbated matters. Oil and other commodity prices surged from already high prices. In addition to fueling record-high inflation in Europe, the ongoing war threatened the region’s energy supply and triggered concerns about a broader conflict.
Meanwhile, China’s zero-COVID-19 policy led to lockdowns in key manufacturing hubs and persistent global supply chain challenges. Additionally, continued weakness in China’s property market added to the nation’s economic headwinds, despite government policy support. Furthermore, worries about potential Chinese aggression in Taiwan weighed on broad market sentiment.

This challenging backdrop rattled the financial markets, drove interest rates sharply higher and fueled recession worries. Amid the period’s relentless market volatility, emerging markets bonds logged steep losses but fared modestly better than global bonds. Overall, external emerging markets bonds outperformed local securities, and corporates generally outperformed sovereigns.

Performance Review

Our position in external Russian bonds, along with security selection in the country, aided relative results early in the period. In January, we hedged our Russian exposure with credit default swaps, leaving the fund with an underweight position in Russia versus the index. This strategy helped curb losses in the wake of Russia’s invasion of Ukraine in February. We subsequently exited our positions in Russia.

While our strategy in Russia contributed to performance on a relative basis, positions in Russia-linked external bonds detracted for the reporting period. For example, a small position in Belarus and a corporate position in Ukraine weighed on results. However, our position in Ukraine sovereigns aided relative performance.





*All fund returns referenced in this commentary are for Investor Class shares. Performance for other share classes will vary due to differences in fee structure; when Investor Class performance exceeds that of the fund’s index, other share classes may not. See page 3 for returns for all share classes.
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Tightening from the Fed and other developed markets central banks led to challenging financial conditions for smaller frontier countries. Accordingly, underweight positions to external bonds in Sri Lanka, Pakistan and Ghana aided performance. Elsewhere, a small weighting to China’s real estate sector hampered performance early in the period. We exited those positions in early 2022.

Overall, our underweight positions versus the benchmark in foreign currencies and in local duration aided fund performance. Specifically, underweights in the Hungarian forint, Polish zloty and Thai baht contributed, as these countries suffered huge current account deficits in an environment of tightening financial conditions. Conversely, positions in the Mexican peso and Brazilian real weighed on results, as high carry and better trade balances helped these currencies outperform the U.S. dollar.

Local bond positions in Mexico and an underweight in local bonds in central Eastern Europe aided relative performance. Central banks in that region of Europe remained behind the curve, causing the economies to suffer from negative real rates and high inflation. Meanwhile, local exposure in Russia hampered results following Russia’s invasion of Ukraine, even though we quickly exited those positions. Local bonds in Brazil also detracted, largely due to our exposure to the front end of the yield curve, where yields rose amid persistent inflation and a hawkish central bank.

Positioning for the Future

Our outlook for emerging markets remains challenging amid elevated inflation and persistent supply/demand imbalances. China’s economic recovery has yet to gain traction, and several developing economies are suffering from a food and energy crisis and tighter financial conditions. We believe remaining selective and somewhat cautious is prudent in this environment.

We believe improving conditions in emerging markets largely depend on the economic climate in the U.S. In particular, steadying rates and stabilizing inflation likely would subdue market volatility and aid the backdrop for emerging markets debt. While China has taken steps to spark lending and bolster its troubled property market, we are more concerned about its commitment to a zero-COVID-19 policy.

With recession risk escalating throughout the world, we continue to reduce exposure to commodity-related sectors and countries. Additionally, because food and energy comprise a bigger portion of inflation in developing markets, we prefer an underweight to emerging markets rates. We favor countries with steep yield curves, such as Indonesia, South Africa and Malaysia. We are avoiding European countries where geopolitics and high inflation offer inverted yield curves and negative real yields.

Our macroeconomic outlook remains cautious. Accordingly, we plan to keep the portfolio’s beta at the lower end of our target range. Additionally, we plan to shift exposure to higher-rated countries and corporate positions.


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Fund Characteristics
OCTOBER 31, 2022
Types of Investments in Portfolio% of net assets
Sovereign Governments and Agencies51.3%
Corporate Bonds32.5%
U.S. Treasury Securities2.4%
Preferred Stocks0.2%
Short-Term Investments14.1%
Other Assets and Liabilities(0.5)%

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Shareholder Fee Example

Fund shareholders may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption/exchange fees; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in your fund and to compare these costs with the ongoing cost of investing in other mutual funds.

The example is based on an investment of $1,000 made at the beginning of the period and held for the entire period from May 1, 2022 to October 31, 2022.

Actual Expenses

The table provides information about actual account values and actual expenses for each class. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. First, identify the share class you own. Then simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

If you hold Investor Class shares of any American Century Investments mutual fund, or I Class shares of the American Century Diversified Bond Fund, in an American Century Investments account (i.e., not through a financial intermediary or employer-sponsored retirement plan account), American Century Investments may charge you a $25 annual account maintenance fee if the value of those shares is less than $10,000. We will redeem shares automatically in one of your accounts to pay the $25 fee. In determining your total eligible investment amount, we will include your investments in all personal accounts (including American Century Investments brokerage accounts) registered under your Social Security number. Personal accounts include individual accounts, joint accounts, UGMA/UTMA accounts, personal trusts, Coverdell Education Savings Accounts and IRAs (including traditional, Roth, Rollover, SEP-, SARSEP- and SIMPLE-IRAs), and certain other retirement accounts. If you have only business, business retirement, employer-sponsored or American Century Investments brokerage accounts, you are currently not subject to this fee. If you are subject to the account maintenance fee, your account value could be reduced by the fee amount.

Hypothetical Example for Comparison Purposes

The table also provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio of each class of your fund and an assumed rate of return of 5% per year before expenses, which is not the actual return of a fund’s share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your 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 sales charges (loads) or redemption/exchange fees. Therefore, the table is 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.

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Beginning
Account Value
5/1/22
Ending
Account Value
10/31/22
Expenses Paid
During Period(1)
5/1/22 - 10/31/22
Annualized
Expense Ratio(1)
Actual
Investor Class$1,000$916.60$4.831.00%
I Class$1,000$917.00$4.350.90%
Y Class$1,000$916.50$3.860.80%
A Class$1,000$915.30$6.031.25%
C Class$1,000$911.70$9.642.00%
R Class$1,000$913.10$7.231.50%
R5 Class$1,000$916.50$3.860.80%
R6 Class$1,000$916.70$3.620.75%
G Class$1,000$921.10$0.190.04%
Hypothetical
Investor Class$1,000$1,020.16$5.091.00%
I Class$1,000$1,020.67$4.580.90%
Y Class$1,000$1,021.17$4.080.80%
A Class$1,000$1,018.90$6.361.25%
C Class$1,000$1,015.12$10.162.00%
R Class$1,000$1,017.64$7.631.50%
R5 Class$1,000$1,021.17$4.080.80%
R6 Class$1,000$1,021.43$3.820.75%
G Class$1,000$1,025.00$0.200.04%
(1)Expenses are equal to the class's annualized expense ratio listed in the table above, multiplied by the average account value over the period, multiplied by 184, the number of days in the most recent fiscal half-year, divided by 365, to reflect the one-half year period. Annualized expense ratio reflects actual expenses, including any applicable fee waivers or expense reimbursements and excluding any acquired fund fees and expenses.
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Schedule of Investments

OCTOBER 31, 2022
Principal Amount/SharesValue
SOVEREIGN GOVERNMENTS AND AGENCIES — 51.3%


Argentina — 0.2%
Argentine Republic Government International Bond, 1.50%, 7/9/35$6,200,000 $1,238,277 
Azerbaijan — 0.2%
Republic of Azerbaijan International Bond, 3.50%, 9/1/321,400,000 1,128,470 
Bahrain — 0.6%
Bahrain Government International Bond, 7.50%, 9/20/474,100,000 3,286,977 
Brazil — 1.2%
Brazilian Government International Bond, 2.625%, 1/5/235,000,000 4,984,800 
Brazilian Government International Bond, 4.75%, 1/14/502,000,000 1,343,567 
6,328,367 
Cameroon — 0.5%
Republic of Cameroon International Bond, 9.50%, 11/19/252,600,000 2,534,906 
Chile — 2.5%
Bonos de la Tesoreria de la Republica en pesos, 4.70%, 9/1/30(1)
CLP6,100,000,000 5,801,241 
Chile Government International Bond, 3.125%, 1/21/26$3,400,000 3,178,306 
Chile Government International Bond, 2.75%, 1/31/274,000,000 3,595,475 
Chile Government International Bond, 4.00%, 1/31/521,200,000 848,524 
13,423,546 
China — 2.2%
China Government Bond, 2.18%, 6/25/24CNY88,500,000 12,137,713 
Colombia — 1.7%
Colombia Government International Bond, 2.625%, 3/15/23$2,000,000 1,969,752 
Colombia Government International Bond, 3.875%, 4/25/27125,000 104,443 
Colombia Government International Bond, 3.125%, 4/15/31500,000 342,315 
Colombia Government International Bond, 6.125%, 1/18/414,500,000 3,215,199 
Colombian TES, 7.00%, 6/30/32COP26,510,000,000 3,468,642 
9,100,351 
Costa Rica — 0.2%
Costa Rica Government International Bond, 7.16%, 3/12/45$1,400,000 1,213,818 
Czech Republic — 3.4%
Czech Republic Government Bond, 0.25%, 2/10/27CZK584,000,000 18,471,384 
Dominican Republic — 1.6%
Dominican Republic International Bond, 5.95%, 1/25/27$5,500,000 5,157,603 
Dominican Republic International Bond, 4.50%, 1/30/30(1)
1,000,000 805,206 
Dominican Republic International Bond, 4.875%, 9/23/322,000,000 1,548,511 
Dominican Republic International Bond, 5.30%, 1/21/411,400,000 969,537 
8,480,857 
Ecuador — 0.7%
Ecuador Government International Bond, 0.00%, 7/31/30(1)(2)
6,000,000 1,894,994 
Ecuador Government International Bond, 5.50%, 7/31/302,000,000 1,071,914 
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Principal Amount/SharesValue
Ecuador Government International Bond, 2.50%, 7/31/35(1)
$2,000,000 $740,991 
3,707,899 
Egypt — 1.5%
Egypt Government International Bond, 5.58%, 2/21/23(1)
1,000,000 996,000 
Egypt Government International Bond, 5.80%, 9/30/272,000,000 1,466,209 
Egypt Government International Bond, 8.50%, 1/31/47(1)
2,700,000 1,601,381 
Egypt Government International Bond, 8.50%, 1/31/476,600,000 3,928,320 
7,991,910 
El Salvador — 0.4%
El Salvador Government International Bond, 7.75%, 1/24/232,510,000 2,290,284 
Ghana — 0.2%
Ghana Government International Bond, 8.125%, 1/18/263,200,000 1,187,856 
Guatemala — 0.6%
Guatemala Government International Bond, 5.25%, 8/10/29(1)
300,000 277,226 
Guatemala Government International Bond, 4.65%, 10/7/41(1)
1,500,000 1,110,048 
Guatemala Government International Bond, 6.125%, 6/1/50(1)
2,000,000 1,723,664 
3,110,938 
Indonesia — 3.8%
Indonesia Government International Bond, 4.65%, 9/20/321,640,000 1,521,331 
Indonesia Treasury Bond, 6.50%, 2/15/31IDR156,000,000,000 9,358,320 
Indonesia Treasury Bond, 8.375%, 4/15/39IDR128,000,000,000 8,686,110 
Perusahaan Penerbit SBSN Indonesia III, 4.70%, 6/6/32(1)
$1,500,000 1,404,311 
20,970,072 
Iraq — 0.1%
Iraq International Bond, 5.80%, 1/15/28550,000 469,425 
Ivory Coast — 0.3%
Ivory Coast Government International Bond, 6.125%, 6/15/332,400,000 1,883,724 
Jordan — 0.9%
Jordan Government International Bond, 7.75%, 1/15/28(1)
3,231,000 3,131,647 
Jordan Government International Bond, 7.375%, 10/10/472,069,000 1,555,600 
4,687,247 
Malaysia — 2.0%
Malaysia Government Bond, 4.70%, 10/15/42MYR7,500,000 1,561,228 
Malaysia Government Bond, 4.07%, 6/15/50MYR49,500,000 9,081,844 
10,643,072 
Mexico — 9.5%
Mexican Bonos, 8.00%, 12/7/23MXN389,000,000 19,103,467 
Mexican Bonos, 10.00%, 11/20/36MXN279,200,000 14,174,078 
Mexico Cetes, 0.00%, 12/8/22(2)
MXN1,650,000,000 8,243,879 
Mexico Cetes, 0.00%, 2/23/23(2)
MXN1,700,000,000 8,200,121 
Mexico Government International Bond, 2.66%, 5/24/31$1,400,000 1,087,297 
Mexico Government International Bond, 3.50%, 2/12/341,000,000 765,455 
51,574,297 
Morocco — 0.2%
Morocco Government International Bond, 3.00%, 12/15/321,500,000 1,086,877 
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Principal Amount/SharesValue
Morocco Government International Bond, 4.00%, 12/15/50(1)
$100,000 $59,498 
1,146,375 
Nigeria — 0.5%
Nigeria Government International Bond, 6.50%, 11/28/273,500,000 2,497,112 
Oman — 0.9%
Oman Government International Bond, 6.00%, 8/1/292,600,000 2,476,162 
Oman Sovereign Sukuk Co., 4.875%, 6/15/30(1)
2,800,000 2,669,464 
5,145,626 
Panama — 1.2%
Panama Government International Bond, 4.00%, 9/22/242,000,000 1,939,214 
Panama Government International Bond, 4.50%, 4/16/504,500,000 3,063,966 
Panama Government International Bond, 4.50%, 4/1/562,100,000 1,384,537 
6,387,717 
Paraguay — 0.2%
Paraguay Government International Bond, 5.40%, 3/30/501,600,000 1,232,751 
Peru — 2.7%
Peru Government Bond, 6.15%, 8/12/32PEN39,824,000 8,526,186 
Peruvian Government International Bond, 2.39%, 1/23/26$3,000,000 2,710,906 
Peruvian Government International Bond, 4.125%, 8/25/273,600,000 3,397,007 
14,634,099 
Philippines — 0.7%
Philippine Government International Bond, 5.95%, 10/13/474,001,000 3,939,920 
Poland — 2.1%
Republic of Poland Government Bond, 2.50%, 7/25/27PLN49,000,000 7,920,188 
Republic of Poland Government Bond, 1.75%, 4/25/32PLN30,000,000 3,646,866 
11,567,054 
Qatar — 0.1%
SoQ Sukuk A QSC, 3.24%, 1/18/23$800,000 798,462 
Saudi Arabia — 0.5%
Saudi Government International Bond, 5.50%, 10/25/32(1)
2,870,000 2,911,256 
South Africa — 4.3%
Republic of South Africa Government Bond, 8.50%, 1/31/37ZAR427,700,000 17,928,134 
Republic of South Africa Government International Bond, 4.875%, 4/14/26$125,000 117,657 
Republic of South Africa Government International Bond, 5.875%, 4/20/321,450,000 1,244,694 
Republic of South Africa Government International Bond, 5.75%, 9/30/496,000,000 4,007,568 
23,298,053 
Thailand — 1.1%
Thailand Government Bond, 1.59%, 12/17/35THB300,000,000 6,219,383 
Trinidad and Tobago — 0.4%
Trinidad & Tobago Government International Bond, 4.50%, 8/4/26$2,000,000 1,941,831 
Turkey — 1.3%
Turkey Government International Bond, 5.60%, 11/14/241,600,000 1,533,968 
Turkey Government International Bond, 4.875%, 10/9/262,000,000 1,708,074 
Turkey Government International Bond, 5.125%, 2/17/281,000,000 811,416 
Turkey Government International Bond, 6.875%, 3/17/364,000,000 3,021,808 
7,075,266 
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Principal Amount/SharesValue
Ukraine — 0.1%
Ukraine Government International Bond, 7.25%, 3/15/35(7)(8)
$4,400,000 $698,450 
Ukraine Government International Bond, 7.25%, 3/15/35(1)(7)(8)
750,000 119,232 
817,682 
United Arab Emirates — 0.5%
UAE International Government Bond, 4.95%, 7/7/52(1)
3,300,000 3,007,125 
Uzbekistan — 0.2%
Republic of Uzbekistan International Bond, 4.75%, 2/20/241,000,000 954,638 
TOTAL SOVEREIGN GOVERNMENTS AND AGENCIES
(Cost $318,897,750)

279,435,740 
CORPORATE BONDS — 32.5%


Azerbaijan — 0.2%
State Oil Co. of the Azerbaijan Republic, 4.75%, 3/13/231,000,000 991,487 
Brazil — 5.3%
Azul Investments LLP, 7.25%, 6/15/26(1)(3)
2,000,000 1,269,428 
B2W Digital Lux Sarl, 4.375%, 12/20/30(1)
2,800,000 1,928,603 
Banco Bradesco SA, 2.85%, 1/27/234,000,000 3,979,832 
Banco BTG Pactual SA, 5.50%, 1/31/232,400,000 2,403,420 
Banco do Brasil SA, 5.875%, 1/19/234,000,000 4,002,626 
CSN Resources SA, 7.625%, 4/17/26585,000 560,893 
CSN Resources SA, 4.625%, 6/10/31(1)
1,000,000 669,700 
Embraer Netherlands Finance BV, 6.95%, 1/17/28(1)
4,000,000 3,782,800 
Guara Norte Sarl, 5.20%, 6/15/34(1)
5,289,248 4,158,644 
GUSAP III LP, 4.25%, 1/21/30(1)
2,000,000 1,732,570 
Itau Unibanco Holding SA, 2.90%, 1/24/233,000,000 2,989,110 
MC Brazil Downstream Trading SARL, 7.25%, 6/30/31(1)
1,871,000 1,432,700 
28,910,326 
Chile — 1.6%
Celulosa Arauco y Constitucion SA, 4.25%, 4/30/292,000,000 1,730,641 
Empresa Nacional de Telecomunicaciones SA, 4.75%, 8/1/262,000,000 1,871,635 
Falabella SA, 3.375%, 1/15/32(1)
1,800,000 1,289,008 
Kenbourne Invest SA, 6.875%, 11/26/24(1)
854,000 761,524 
Kenbourne Invest SA, 4.70%, 1/22/28(1)
1,599,000 1,172,540 
VTR Finance NV, 6.375%, 7/15/28(1)
4,000,000 2,127,468 
8,952,816 
China — 0.5%
Alibaba Group Holding Ltd., 4.00%, 12/6/374,380,000 2,994,161 
Colombia — 3.3%
Ecopetrol SA, 5.875%, 9/18/235,435,000 5,354,290 
Ecopetrol SA, 6.875%, 4/29/303,000,000 2,474,100 
Ecopetrol SA, 4.625%, 11/2/311,060,000 732,728 
Geopark Ltd., 5.50%, 1/17/27(1)
3,918,000 3,199,727 
Millicom International Cellular SA, 4.50%, 4/27/31(1)(3)
2,200,000 1,654,651 
Oleoducto Central SA, 4.00%, 7/14/27(1)
3,800,000 3,101,067 
Promigas SA ESP / Gases del Pacifico SAC, 3.75%, 10/16/29(1)
1,800,000 1,343,161 
17,859,724 
Dominican Republic — 0.2%
Banco de Reservas de la Republica Dominicana, 7.00%, 2/1/231,000,000 1,002,615 
13


Principal Amount/SharesValue
Ghana — 0.3%
Kosmos Energy Ltd., 7.125%, 4/4/26(1)
$2,092,000 $1,752,050 
Guatemala — 0.3%
CT Trust, 5.125%, 2/3/32(1)
1,800,000 1,442,112 
India — 1.5%
Adani Ports & Special Economic Zone Ltd., 3.375%, 7/24/24(1)
2,000,000 1,844,300 
Adani Ports & Special Economic Zone Ltd., 4.00%, 7/30/27800,000 640,057 
Greenko Dutch BV, 3.85%, 3/29/262,101,000 1,649,285 
Greenko Mauritius Ltd., 6.25%, 2/21/23(1)
2,642,000 2,599,067 
Reliance Industries Ltd., 2.875%, 1/12/32(1)
2,000,000 1,509,180 
8,241,889 
Indonesia — 1.9%
Cikarang Listrindo Tbk PT, 4.95%, 9/14/261,000,000 866,532 
Indika Energy Capital IV Pte. Ltd., 8.25%, 10/22/25(1)
2,000,000 1,889,565 
Indonesia Asahan Aluminium Persero PT, 5.45%, 5/15/30(1)
1,000,000 877,991 
Indonesia Asahan Aluminium Persero PT, 5.80%, 5/15/50(1)
2,250,000 1,628,899 
Medco Bell Pte Ltd., 6.375%, 1/30/27(1)
1,668,000 1,338,384 
Pertamina (Persero) PT, 6.50%, 5/27/412,300,000 2,093,347 
Perusahaan Perseroan (Persero) PT Perusahaan Listrik Negara, 3.00%, 6/30/302,000,000 1,510,800 
10,205,518 
Israel — 0.9%
Altice Financing SA, 5.00%, 1/15/281,000,000 793,334 
Energean Israel Finance Ltd., 4.50%, 3/30/24(1)
1,857,000 1,778,041 
Israel Electric Corp. Ltd., 6.875%, 6/21/232,203,000 2,220,311 
4,791,686 
Kazakhstan — 0.3%
Development Bank of Kazakhstan JSC, 4.125%, 12/10/22309,000 308,942 
KazMunayGas National Co. JSC, 4.75%, 4/19/27500,000 434,358 
KazMunayGas National Co. JSC, 5.75%, 4/19/471,500,000 1,039,308 
1,782,608 
Luxembourg — 0.5%
EIG Pearl Holdings Sarl, 3.55%, 8/31/36(1)
500,000 385,625 
Petrorio Luxembourg Trading Sarl, 6.125%, 6/9/26(1)
2,500,000 2,267,964 
2,653,589 
Mexico — 5.3%
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand, 5.375%, 4/17/251,000,000 971,350 
BBVA Bancomer SA, VRN, 5.125%, 1/18/33(1)
2,000,000 1,622,465 
Braskem Idesa SAPI, 6.99%, 2/20/32(1)
3,200,000 2,148,144 
Cometa Energia SA de CV, 6.375%, 4/24/35(1)
2,785,250 2,417,402 
FEL Energy VI Sarl, 5.75%, 12/1/40(1)
7,120,676 4,781,320 
Industrias Penoles SAB de CV, 4.75%, 8/6/50(1)(3)
1,750,000 1,257,692 
Infraestructura Energetica Nova SAPI de CV, 4.75%, 1/15/51(1)
4,300,000 2,900,435 
Minera Mexico SA de CV, 4.50%, 1/26/50(1)
1,753,000 1,171,800 
Petroleos Mexicanos, 3.50%, 1/30/231,272,000 1,262,912 
Petroleos Mexicanos, 6.875%, 8/4/265,000,000 4,634,445 
Petroleos Mexicanos, 6.50%, 3/13/272,475,000 2,174,994 
Petroleos Mexicanos, 5.35%, 2/12/28(3)
2,000,000 1,597,454 
14


Principal Amount/SharesValue
Petroleos Mexicanos, 5.95%, 1/28/31$2,000,000 $1,444,949 
Petroleos Mexicanos, 6.70%, 2/16/32472,000 357,734 
28,743,096 
Nigeria — 0.9%
IHS Netherlands Holdco BV, 8.00%, 9/18/27(1)
4,000,000 3,126,760 
SEPLAT Energy PLC, 7.75%, 4/1/26(1)
2,000,000 1,575,100 
4,701,860 
Panama — 0.5%
C&W Senior Financing DAC, 6.875%, 9/15/27(1)
3,095,000 2,691,557 
Peru — 1.0%
Inkia Energy Ltd., 5.875%, 11/9/273,233,000 2,885,106 
Petroleos del Peru SA, 4.75%, 6/19/321,000,000 739,003 
Petroleos del Peru SA, 5.625%, 6/19/47(1)
2,900,000 1,865,324 
5,489,433 
Qatar — 0.7%
Ooredoo International Finance Ltd., 5.00%, 10/19/25300,000 297,856 
Ooredoo International Finance Ltd., 2.625%, 4/8/31(1)
400,000 330,417 
Ooredoo International Finance Ltd., 4.50%, 1/31/43(1)
2,000,000 1,783,330 
Ras Laffan Liquefied Natural Gas Co. Ltd., 6.33%, 9/30/271,646,000 1,657,298 
4,068,901 
Saudi Arabia — 3.7%
Dar Al-Arkan Sukuk Co. Ltd., 6.875%, 3/21/237,400,000 7,346,924 
Dar Al-Arkan Sukuk Co. Ltd., 6.875%, 2/26/271,000,000 923,850 
SA Global Sukuk Ltd., 2.69%, 6/17/31(1)
1,290,000 1,058,126 
SABIC Capital II BV, 4.00%, 10/10/236,041,000 5,976,252 
Saudi Arabian Oil Co., 3.25%, 11/24/508,000,000 5,041,463 
20,346,615 
South Africa — 0.5%
Eskom Holdings SOC Ltd., 6.75%, 8/6/23(1)
800,000 785,188 
Eskom Holdings SOC Ltd., 6.35%, 8/10/28(1)
2,000,000 1,801,920 
2,587,108 
South Korea — 0.6%
Woori Bank, VRN, 5.31%, (3-month LIBOR plus 0.87%), 2/1/233,000,000 3,002,685 
Spain — 0.6%
EnfraGen Energia Sur SA / EnfraGen Spain SA / Prime Energia SpA, 5.375%, 12/30/30(1)
6,860,000 3,515,373 
United Arab Emirates — 0.8%
DP World Crescent Ltd., 3.91%, 5/31/233,000,000 2,972,403 
DP World Crescent Ltd., 4.85%, 9/26/28800,000 759,060 
Galaxy Pipeline Assets Bidco Ltd., 2.94%, 9/30/40(1)
1,111,510 837,204 
4,568,667 
United States — 0.6%
SierraCol Energy Andina LLC, 6.00%, 6/15/28(1)
5,000,000 3,359,350 
Zambia — 0.5%
First Quantum Minerals Ltd., 6.50%, 3/1/24(1)
1,600,000 1,572,508 
First Quantum Minerals Ltd., 6.875%, 10/15/27(1)
1,000,000 931,688 
2,504,196 
TOTAL CORPORATE BONDS
(Cost $211,779,419)
177,159,422 
15


Principal Amount/SharesValue
U.S. TREASURY SECURITIES — 2.4%


U.S. Treasury Bonds, 2.00%, 8/15/51$2,000,000 $1,260,703 
U.S. Treasury Notes, 2.875%, 8/15/28(4)
3,885,000 3,609,256 
U.S. Treasury Notes, 1.25%, 8/15/313,000,000 2,384,883 
U.S. Treasury Notes, 1.875%, 2/15/32(4)
6,700,000 5,572,516 
TOTAL U.S. TREASURY SECURITIES
(Cost $16,055,849)
12,827,358 
PREFERRED STOCKS — 0.2%


India — 0.1%
Network i2i Ltd.,3.98%1,000,000 794,405 
Mexico — 0.1%
Banco Mercantil del Norte SA, 8.375%(1)
600,000 522,639 
TOTAL PREFERRED STOCKS
(Cost $1,401,313)

1,317,044 
SHORT-TERM INVESTMENTS — 14.1%


Money Market Funds — 0.6%
State Street Navigator Securities Lending Government Money Market Portfolio(5)
3,031,468 3,031,468 
Repurchase Agreements — 11.2%
BMO Capital Markets Corp., (collateralized by various U.S. Treasury obligations, 0.125% - 3.125%, 8/15/23 - 8/15/42, valued at $11,843,543), in a joint trading account at 2.95%, dated 10/31/22, due 11/1/22 (Delivery value $11,614,754)11,613,802 
Fixed Income Clearing Corp., (collateralized by various U.S. Treasury obligations, 1.625% - 3.625%, 8/15/43 - 11/15/50, valued at $50,794,034), at 3.00%, dated 10/31/22, due 11/1/22 (Delivery value $49,802,150)49,798,000 
61,411,802 
Treasury Bills(6) — 2.3%
U.S. Treasury Bills, 4.26%, 2/21/23$2,000,000 1,974,353 
Malaysia Islamic Treasury Bill, 2.74%, 2/23/23MYR50,000,000 10,487,008 
12,461,361 
TOTAL SHORT-TERM INVESTMENTS
(Cost $77,540,818)
76,904,631 
TOTAL INVESTMENT SECURITIES — 100.5%
(Cost $625,675,149)

547,644,195 
OTHER ASSETS AND LIABILITIES — (0.5)%

(2,625,865)
TOTAL NET ASSETS — 100.0%

$545,018,330 

FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
Currency PurchasedCurrency SoldCounterpartySettlement Date
Unrealized Appreciation
(Depreciation)
BRL126,205,493 USD23,493,642 Goldman Sachs & Co.12/15/22$721,055 
BRL59,072,555 USD11,238,429 Goldman Sachs & Co.12/15/2295,657 
BRL30,295,489 USD5,765,441 Goldman Sachs & Co.12/15/2247,270 
BRL25,051,772 USD4,809,999 Goldman Sachs & Co.12/15/22(3,385)
BRL30,615,948 USD5,808,122 Goldman Sachs & Co.12/15/2266,074 
BRL28,015,487 USD5,267,812 Goldman Sachs & Co.12/15/22107,442 
USD5,587,996 BRL29,845,489 Goldman Sachs & Co.12/15/22(138,374)
USD5,655,217 BRL30,403,014 Goldman Sachs & Co.12/15/22(178,124)
USD5,566,138 BRL30,640,474 Goldman Sachs & Co.12/15/22(312,765)
USD5,293,756 BRL29,118,303 Goldman Sachs & Co.12/15/22(293,092)
USD8,126,497 BRL43,808,481 Goldman Sachs & Co.12/15/22(278,914)
16


FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
Currency PurchasedCurrency SoldCounterpartySettlement Date
Unrealized Appreciation
(Depreciation)
USD5,277,821 BRL28,494,008 Goldman Sachs & Co.12/15/22$(189,244)
CLP5,446,564,890 USD5,478,339 Bank of America N.A.12/15/22252,807 
CLP5,405,555,552 USD5,509,127 Bank of America N.A.12/15/22178,867 
CLP5,118,599,979 USD5,335,209 Bank of America N.A.12/15/2250,835 
CLP5,120,233,173 USD5,075,568 Morgan Stanley12/15/22312,195 
USD6,005,377 CLP5,732,432,256 Bank of America N.A.12/15/22(26,573)
USD5,362,016 CLP5,349,951,182 Bank of America N.A.12/15/22(267,469)
USD5,570,024 CLP5,273,420,579 Bank of America N.A.12/15/2221,069 
USD5,663,035 CLP5,120,233,173 Morgan Stanley12/15/22275,272 
CNY60,025,242 USD8,447,478 Morgan Stanley12/15/22(184,375)
USD4,271,410 CNY29,576,521 Morgan Stanley12/15/22199,892 
USD2,993,458 CNY21,738,790 Morgan Stanley12/15/22886 
COP25,722,971,857 USD5,573,775 Morgan Stanley12/15/22(404,741)
COP20,291,806,518 USD4,405,516 Morgan Stanley12/15/22(327,875)
COP52,191,497,320 USD11,064,248 Morgan Stanley12/15/22(576,361)
COP27,212,015,525 USD5,442,512 Morgan Stanley12/15/2225,746 
COP26,950,665,988 USD5,407,437 Morgan Stanley12/15/228,302 
USD2,627,911 COP11,807,203,116 Morgan Stanley12/15/22255,252 
USD4,207,619 COP19,058,409,278 Morgan Stanley12/15/22377,829 
USD5,468,722 COP25,749,478,391 Morgan Stanley12/15/22294,361 
USD1,557,210 COP7,310,476,483 Morgan Stanley12/15/2288,169 
USD5,273,691 COP26,131,141,327 Morgan Stanley12/15/2222,636 
USD5,117,926 COP25,343,970,382 Morgan Stanley12/15/2225,052 
CZK375,000,000 USD15,349,703 UBS AG12/15/22(253,650)
USD13,191,891 CZK326,398,392 UBS AG12/15/2252,351 
USD2,186,587 CZK54,100,543 UBS AG12/15/228,708 
USD3,239,858 CZK79,977,829 UBS AG12/15/2220,259 
USD5,098,859 CZK129,075,575 UBS AG12/15/22(97,226)
HUF6,854,833,261 USD16,979,644 UBS AG12/15/22(634,508)
HUF4,536,744,748 USD10,801,516 UBS AG12/15/2216,210 
HUF4,724,062,878 USD11,016,424 UBS AG12/15/22247,956 
HUF2,302,040,886 USD5,317,965 UBS AG12/15/22171,179 
HUF4,043,698,834 USD9,249,082 UBS AG12/15/22392,991 
HUF3,176,489,150 USD7,106,240 UBS AG12/15/22467,999 
HUF4,153,899,410 USD9,247,327 UBS AG12/15/22657,516 
HUF3,374,013,725 USD8,194,326 UBS AG12/15/22(149,096)
USD16,974,972 HUF6,854,833,261 UBS AG12/15/22629,837 
USD10,749,052 HUF4,536,744,748 UBS AG12/15/22(68,674)
USD6,675,662 HUF2,972,405,377 UBS AG12/15/22(411,945)
USD9,283,633 HUF4,053,698,387 UBS AG12/15/22(382,284)
USD9,143,468 HUF4,043,698,834 UBS AG12/15/22(498,605)
USD9,029,972 HUF3,880,179,167 UBS AG12/15/22(222,193)
USD8,178,371 HUF3,450,209,393 UBS AG12/15/22(48,545)
IDR51,046,198,243 USD3,406,714 Goldman Sachs & Co.12/15/22(144,175)
IDR35,845,999,854 USD2,326,152 Goldman Sachs & Co.12/15/22(35,110)
USD2,139,784 IDR33,402,025,629 Goldman Sachs & Co.12/15/224,945 
ILS39,431,693 USD11,303,338 UBS AG12/15/22(109,166)
ILS19,473,472 USD5,547,208 UBS AG12/15/22(18,929)
USD11,593,025 ILS39,431,693 UBS AG12/15/22398,854 
USD5,526,741 ILS19,473,472 UBS AG12/15/22(1,538)
17


FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
Currency PurchasedCurrency SoldCounterpartySettlement Date
Unrealized Appreciation
(Depreciation)
INR458,130,061 USD5,601,297 Goldman Sachs & Co.12/15/22$(95,513)
INR453,327,827 USD5,442,111 Goldman Sachs & Co.12/15/225,960 
INR922,164,264 USD11,462,719 Morgan Stanley12/15/22(380,196)
USD5,563,882 INR458,130,061 Goldman Sachs & Co.12/15/2258,099 
USD5,530,411 INR453,327,826 Goldman Sachs & Co.12/15/2282,341 
USD5,456,048 INR451,979,052 Goldman Sachs & Co.12/15/2224,187 
USD11,310,735 INR922,164,264 Morgan Stanley12/15/22228,213 
USD22,058,959 MXN446,470,653 Goldman Sachs & Co.12/15/22(306,326)
USD6,418,717 MXN128,525,181 Goldman Sachs & Co.12/15/22(19,561)
MYR9,242,686 USD2,057,588 Goldman Sachs & Co.12/15/22(102,038)
USD8,680,874 MYR39,580,447 Goldman Sachs & Co.12/15/22306,517 
USD1,254,229 MYR5,950,064 Goldman Sachs & Co.12/15/22(4,674)
PEN22,519,452 USD5,795,767 Goldman Sachs & Co.12/15/22(171,158)
USD5,105,225 PEN20,111,525 Goldman Sachs & Co.12/15/2282,036 
PHP490,202,584 USD8,260,913 Goldman Sachs & Co.12/15/22148,807 
USD8,301,483 PHP490,202,584 Goldman Sachs & Co.12/15/22(108,237)
PLN53,817,798 USD11,016,949 UBS AG12/15/22181,048 
PLN54,540,446 USD10,962,463 UBS AG12/15/22385,897 
PLN55,076,986 USD11,101,993 UBS AG12/15/22358,007 
PLN56,239,848 USD11,223,950 UBS AG12/15/22478,009 
PLN37,975,000 USD7,695,956 UBS AG12/15/22205,593 
PLN52,960,369 USD10,931,610 UBS AG12/15/2287,980 
USD10,989,279 PLN53,817,798 UBS AG12/15/22(208,718)
USD4,458,112 PLN22,121,640 UBS AG12/15/22(144,791)
USD4,624,489 PLN22,851,911 UBS AG12/15/22(130,363)
USD10,589,203 PLN53,478,651 UBS AG12/15/22(538,227)
USD7,128,209 PLN35,698,500 UBS AG12/15/22(299,663)
USD11,397,863 PLN56,903,830 UBS AG12/15/22(442,253)
USD5,117,857 PLN25,061,120 UBS AG12/15/22(96,670)
USD5,417,120 PLN26,600,228 UBS AG12/15/22(117,652)
USD3,621,387 PLN17,739,000 UBS AG12/15/22(69,609)
USD5,807,152 PLN27,755,285 UBS AG12/15/2232,044 
SGD16,122,227 USD11,452,886 Goldman Sachs & Co.12/15/22(60,966)
USD11,212,342 SGD16,122,227 Goldman Sachs & Co.12/15/22(179,578)
THB424,354,187 USD11,661,286 Goldman Sachs & Co.12/15/22(469,900)
THB387,551,484 USD10,392,907 Goldman Sachs & Co.12/15/22(172,109)
THB410,058,967 USD10,965,609 Goldman Sachs & Co.12/15/22(151,228)
THB211,127,600 USD5,574,326 Goldman Sachs & Co.12/15/22(6,311)
THB204,048,350 USD5,382,441 Goldman Sachs & Co.12/15/22(1,126)
USD6,962,664 THB253,761,270 Goldman Sachs & Co.12/15/22270,282 
USD4,460,529 THB170,592,917 Goldman Sachs & Co.12/15/22(38,475)
USD16,191,964 THB619,666,474 Goldman Sachs & Co.12/15/22(150,343)
USD5,572,889 THB211,535,738 Goldman Sachs & Co.12/15/22(5,889)
ZAR213,015,574 USD11,955,749 Goldman Sachs & Co.12/15/22(397,744)
ZAR47,649,966 USD2,647,956 Goldman Sachs & Co.12/15/22(62,518)
ZAR108,608,778 USD5,959,297 Goldman Sachs & Co.12/15/22(66,297)
ZAR153,523,373 USD8,531,209 Goldman Sachs & Co.12/15/22(201,190)
ZAR45,065,571 USD2,495,947 Goldman Sachs & Co.12/15/22(50,736)
ZAR100,909,339 USD5,618,941 Goldman Sachs & Co.12/15/22(143,704)
ZAR157,406,520 USD8,479,630 Goldman Sachs & Co.12/15/2261,085 
18


FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
Currency PurchasedCurrency SoldCounterpartySettlement Date
Unrealized Appreciation
(Depreciation)
ZAR148,039,920 USD8,184,880 Goldman Sachs & Co.12/15/22$(152,387)
ZAR50,068,838 USD2,710,321 Goldman Sachs & Co.12/15/226,363 
ZAR147,506,622 USD8,202,817 Goldman Sachs & Co.12/15/22(199,261)
USD6,560,750 ZAR114,339,962 Goldman Sachs & Co.12/15/22356,782 
USD6,281,497 ZAR110,120,325 Goldman Sachs & Co.12/15/22306,482 
USD11,277,673 ZAR201,375,260 Goldman Sachs & Co.12/15/22351,260 
USD5,604,669 ZAR100,856,014 Goldman Sachs & Co.12/15/22132,326 
USD3,025,408 ZAR54,332,643 Goldman Sachs & Co.12/15/2277,375 
USD13,342,478 ZAR248,343,535 Goldman Sachs & Co.12/15/22(132,385)
USD11,023,373 ZAR201,341,911 Goldman Sachs & Co.12/15/2298,770 
USD7,804,450 ZAR140,867,205 Goldman Sachs & Co.12/15/22161,142 
$(1,152,654)

FUTURES CONTRACTS PURCHASED
Reference EntityContractsExpiration DateNotional
Amount
Unrealized
Appreciation
(Depreciation)^
U.S. Treasury 2-Year Notes147December 2022$30,044,273 $(603,216)
U.S. Treasury 5-Year Notes60December 20226,395,625 (260,996)
U.S. Treasury Long Bonds1December 2022120,500 (15,878)
$36,560,398 $(880,090)
^Amount represents value and unrealized appreciation (depreciation).

FUTURES CONTRACTS SOLD
Reference EntityContractsExpiration DateNotional
Amount
Unrealized
Appreciation
(Depreciation)^
U.S. Treasury 10-Year Ultra Notes365December 2022$42,334,297 $3,535,202 
U.S. Treasury Ultra Bonds25December 20223,191,406 553,143 
$45,525,703 $4,088,345 
^Amount represents value and unrealized appreciation (depreciation).

19


CENTRALLY CLEARED CREDIT DEFAULT SWAP AGREEMENTS
Reference EntityType
Fixed Rate
Received
(Paid)
Quarterly
Termination
Date
Notional
Amount
Premiums
Paid
(Received)
Unrealized
Appreciation
(Depreciation)
Value^
Brazil Government International BondBuy(1.00)%12/20/27$33,530,000 $2,360,195 $145,346 $2,505,541 
Chile Government International BondBuy(1.00)%12/20/27$7,500,000 162,122 4,386 166,508 
Indonesia Government International BondBuy(1.00)%12/20/27$7,500,000 91,143 26,960 118,103 
Malaysia Government International BondBuy(1.00)%12/20/27$6,800,000 (36,453)51,367 14,914 
Mexico Government International BondBuy(1.00)%12/20/27$52,050,000 1,623,832 (240,901)1,382,931 
Republic of South Africa Government International BondsBuy(1.00)%12/20/27$7,300,000 612,116 9,081 621,197 
$4,812,955 $(3,761)$4,809,194 
^The value for credit default swap agreements serves as an indicator of the current status of the payment/performance risk and represent the likelihood of an expected liability or profit at the period end. Increasing values in absolute terms when compared to the notional amount of the credit default swap agreement represent a deterioration of the referenced entity's credit soundness and an increased likelihood or risk of a credit event occurring as defined in the agreement.

INTEREST RATE SWAP AGREEMENTS
CounterpartyFloating
Rate Index
Pay/Receive
Floating Rate
Index
At Termination
Fixed RateTermination
Date
Notional
Amount
Value*
Bank of America N.A.BZDIOVRAPay12.85 %1/2/24BRL110,801,612 $(24,116)
Bank of America N.A.BZDIOVRAPay11.59 %1/2/24BRL88,768,541 (351,055)
Morgan StanleyBZDIOVRAPay11.03 %1/2/24BRL105,566,396 (596,855)
$(972,026)
*Amount represents value and unrealized appreciation (depreciation).
20


NOTES TO SCHEDULE OF INVESTMENTS
BRL-Brazilian Real
BZDIOVRA-Brazil Interbank Deposit Rate
CLP-Chilean Peso
CNY-Chinese Yuan
COP-Colombian Peso
CZK-Czech Koruna
HUF-Hungarian Forint
IDR-Indonesian Rupiah
ILS-Israeli Shekel
INR-Indian Rupee
LIBOR-London Interbank Offered Rate
MXN-Mexican Peso
MYR-Malaysian Ringgit
PEN-Peruvian Sol
PHP-Philippine Peso
PLN-Polish Zloty
SGD-Singapore Dollar
THB-Thai Baht
USD-United States Dollar
VRN-Variable Rate Note. The rate adjusts periodically based upon the terms set forth in the security’s offering documents. The rate shown is effective at the period end and the reference rate and spread, if any, is indicated. The security's effective maturity date may be shorter than the final maturity date shown.
ZAR-South African Rand
(1)Security was purchased pursuant to Rule 144A or Section 4(2) under the Securities Act of 1933 and may be sold in transactions exempt from registration, normally to qualified institutional investors. The aggregate value of these securities at the period end was $119,245,795, which represented 21.9% of total net assets.
(2)Security is a zero-coupon bond. Zero-coupon securities may be issued at a substantial discount from their value at maturity.
(3)Security, or a portion thereof, is on loan. At the period end, the aggregate value of securities on loan was $2,914,151. The amount of securities on loan indicated may not correspond with the securities on loan identified because securities with pending sales are in the process of recall from the brokers.
(4)Security, or a portion thereof, has been pledged at the custodian bank or with a broker for collateral requirements on forward foreign currency exchange contracts, futures contracts and/or swap agreements. At the period end, the aggregate value of securities pledged was $6,303,834.
(5)Investment of cash collateral from securities on loan. At the period end, the aggregate value of the collateral held by the fund was $3,031,468.
(6)The rate indicated is the yield to maturity at purchase for non-interest bearing securities. For interest bearing securities, the stated coupon rate is shown.
(7)Non-income producing.
(8)Security is in default.


See Notes to Financial Statements.
21


Statement of Assets and Liabilities
OCTOBER 31, 2022
Assets
Investment securities, at value (cost of $561,231,879) — including $2,914,151 of securities on loan$483,200,925 
Repurchase agreements, at value (cost of $61,411,802)61,411,802 
Investment made with cash collateral received for securities on loan, at value
(cost of $3,031,468)
3,031,468 
Total investment securities, at value (cost of $625,675,149)547,644,195 
Cash104,881 
Foreign currency holdings, at value (cost of $1,370,112)844 
Receivable for investments sold3,120,750 
Receivable for capital shares sold107,859 
Receivable for variation margin on futures contracts113,148 
Receivable for variation margin on swap agreements14,248 
Unrealized appreciation on forward foreign currency exchange contracts10,982,078 
Interest and dividends receivable7,468,096 
Securities lending receivable5,505 
569,561,604 
Liabilities
Payable for collateral received for securities on loan3,031,468 
Payable for investments purchased8,293,907 
Payable for capital shares redeemed22,050 
Unrealized depreciation on forward foreign currency exchange contracts12,134,732 
Swap agreements, at value972,026 
Accrued management fees88,970 
Distribution and service fees payable121 
24,543,274 
Net Assets$545,018,330 
Net Assets Consist of:
Capital paid in$696,364,197 
Distributable earnings(151,345,867)
$545,018,330 

Net AssetsShares OutstandingNet Asset Value Per Share*
Investor Class$85,455,88910,397,741$8.22
I Class$4,887,120594,474$8.22
Y Class$21,007,8372,555,721$8.22
A Class$202,98524,729$8.21
C Class$16,5232,020$8.18
R Class$148,29718,077$8.20
R5 Class$6,966847$8.22
R6 Class$267,36132,518$8.22
G Class$433,025,35252,635,320$8.23
*Maximum offering price per share was equal to the net asset value per share for all share classes, except Class A, for which the maximum offering price per share was $8.60 (net asset value divided by 0.955). A contingent deferred sales charge may be imposed on redemptions of Class A and Class C.

See Notes to Financial Statements.
22


Statement of Operations
YEAR ENDED OCTOBER 31, 2022
Investment Income (Loss)
Income:
Interest (net of foreign taxes withheld of $152,584)$35,210,921 
Securities lending, net70,133 
Dividends11,120 
35,292,174 
Expenses:
Management fees4,682,835 
Distribution and service fees:
A Class614 
C Class283 
R Class736 
Trustees' fees and expenses40,045 
Other expenses99,903 
4,824,416 
Fees waived - G Class(3,481,581)
1,342,835 
Net investment income (loss)33,949,339 
Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investment transactions(84,160,428)
Forward foreign currency exchange contract transactions(4,656,514)
Futures contract transactions9,922,809 
Swap agreement transactions2,329,369 
Foreign currency translation transactions(665,596)
(77,230,360)
Change in net unrealized appreciation (depreciation) on:
Investments(87,354,148)
Forward foreign currency exchange contracts(1,152,654)
Futures contracts1,853,658 
Swap agreements(1,473,978)
Translation of assets and liabilities in foreign currencies(1,385,221)
(89,512,343)
Net realized and unrealized gain (loss)(166,742,703)
Net Increase (Decrease) in Net Assets Resulting from Operations$(132,793,364)


See Notes to Financial Statements.
23


Statement of Changes in Net Assets
YEARS ENDED OCTOBER 31, 2022 AND OCTOBER 31, 2021
Increase (Decrease) in Net AssetsOctober 31, 2022October 31, 2021
Operations
Net investment income (loss)$33,949,339 $30,326,860 
Net realized gain (loss)(77,230,360)4,856,521 
Change in net unrealized appreciation (depreciation)(89,512,343)(40,074)
Net increase (decrease) in net assets resulting from operations(132,793,364)35,143,307 
Distributions to Shareholders
From earnings:
Investor Class(2,113,494)(3,602,033)
I Class(247,125)(261,282)
Y Class(578,115)(900,693)
A Class(4,959)(12,117)
C Class(445)(1,048)
R Class(2,525)(4,869)
R5 Class(180)(307)
R6 Class(7,445)(56,731)
G Class(15,053,370)(24,414,299)
Decrease in net assets from distributions(18,007,658)(29,253,379)
Capital Share Transactions
Net increase (decrease) in net assets from capital share transactions (Note 5)(25,855,182)167,932,843 
Net increase (decrease) in net assets(176,656,204)173,822,771 
Net Assets
Beginning of period721,674,534 547,851,763 
End of period$545,018,330 $721,674,534 


See Notes to Financial Statements.
24


Notes to Financial Statements

OCTOBER 31, 2022

1. Organization

American Century International Bond Funds (the trust) is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company and is organized as a Massachusetts business trust. Emerging Markets Debt Fund (the fund) is one fund in a series issued by the trust. The fund’s investment objective is to seek total return.

The fund offers the Investor Class, I Class, Y Class, A Class, C Class, R Class, R5 Class, R6 Class and G Class. The A Class may incur an initial sales charge. The A Class and C Class may be subject to a contingent deferred sales charge.

2. Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the fund in preparation of its financial statements. The fund is an investment company and follows accounting and reporting guidance in accordance with accounting principles generally accepted in the United States of America. This may require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from these estimates. Management evaluated the impact of events or transactions occurring through the date the financial statements were issued that would merit recognition or disclosure.

Investment Valuations — The fund determines the fair value of its investments and computes its net asset value (NAV) per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. The value of investments of the fund is determined by American Century Investment Management, Inc. (ACIM) (the investment advisor), as the valuation designee, pursuant to its valuation policies and procedures. The Board of Trustees oversees the valuation designee and reviews its valuation policies and procedures at least annually.

Fixed income securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Corporate bonds, U.S. Treasury and Government Agency securities, and sovereign governments and agencies are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information. Fixed income securities initially expressed in local currencies are translated into U.S. dollars at the mean of the appropriate currency exchange rate at the close of the NYSE as provided by an independent pricing service.

Equity securities that are listed or traded on a domestic securities exchange are valued at the last reported sales price or at the official closing price as provided by the exchange. Equity securities traded on foreign securities exchanges are generally valued at the closing price of such securities on the exchange where primarily traded or at the close of the NYSE, if that is earlier. If no last sales price is reported, or if local convention or regulation so provides, the mean of the latest bid and asked prices may be used. Securities traded over-the-counter are valued at the mean of the latest bid and asked prices, the last sales price, or the official closing price.

Hybrid securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Preferred stocks and convertible preferred stocks with perpetual maturities are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.

25


Open-end management investment companies are valued at the reported NAV per share. Repurchase agreements are valued at cost, which approximates fair value. Exchange-traded futures contracts are valued at the settlement price as provided by the appropriate exchange. Swap agreements are valued at an evaluated mean as provided by independent pricing services or independent brokers. Forward foreign currency exchange contracts are valued at the mean of the appropriate forward exchange rate at the close of the NYSE as provided by an independent pricing service. Investments initially expressed in local currencies are translated into U.S. dollars at the mean of the appropriate currency exchange rate at the close of the NYSE as provided by an independent pricing service.

If the valuation designee determines that the market price for a portfolio security is not readily available or is believed by the valuation designee to be unreliable, such security is valued at fair value as determined in good faith by the valuation designee, in accordance with its policies and procedures. Circumstances that may cause the fund to determine that market quotations are not available or reliable include, but are not limited to: when there is a significant event subsequent to the market quotation; trading in a security has been halted during the trading day; or trading in a security is insufficient or did not take place due to a closure or holiday.

The valuation designee monitors for significant events occurring after the close of an investment’s primary exchange but before the fund’s NAV per share is determined. Significant events may include, but are not limited to: corporate announcements and transactions; regulatory news, governmental action and political unrest that could impact a specific investment or an investment sector; or armed conflicts, natural disasters and similar events that could affect investments in a specific country or region. The valuation designee also monitors for significant fluctuations between domestic and foreign markets, as evidenced by the U.S. market or such other indicators that it deems appropriate. The valuation designee may apply a model-derived factor to the closing price of equity securities traded on foreign securities exchanges. The factor is based on observable market data as provided by an independent pricing service.

Security Transactions — Security transactions are accounted for as of the trade date. Net realized gains and losses are determined on the identified cost basis, which is also used for federal income tax purposes.

Investment Income — Interest income less foreign taxes withheld, if any, is recorded on the accrual basis and includes paydown gain (loss) and accretion of discounts and amortization of premiums. Inflation adjustments related to inflation-linked debt securities are reflected as interest income. Dividend income less foreign taxes withheld, if any, is recorded as of the ex-dividend date. Distributions received on securities that represent a return of capital or long-term capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The fund may estimate the components of distributions received that may be considered nontaxable distributions or long-term capital gain distributions for income tax purposes. Securities lending income is net of fees and rebates earned by the lending agent for its services.

Foreign Currency Translations — All assets and liabilities initially expressed in foreign currencies are translated into U.S. dollars at prevailing exchange rates at period end. The fund may enter into spot foreign currency exchange contracts to facilitate transactions denominated in a foreign currency. Purchases and sales of investment securities, dividend and interest income, spot foreign currency exchange contracts, and expenses are translated at the rates of exchange prevailing on the respective dates of such transactions. Net realized and unrealized foreign currency exchange gains or losses related to investment securities are a component of net realized gain (loss) on investment transactions and change in net unrealized appreciation (depreciation) on investments, respectively.

Repurchase Agreements — The fund may enter into repurchase agreements with institutions that ACIM has determined are creditworthy pursuant to criteria adopted by the Board of Trustees. The fund requires that the collateral, represented by securities, received in a repurchase transaction be transferred to the custodian in a manner sufficient to enable the fund to obtain those securities in the event of a default under the repurchase agreement. ACIM monitors, on a daily basis, the securities transferred to ensure the value, including accrued interest, of the securities under each repurchase agreement is equal to or greater than amounts owed to the fund under each repurchase agreement.

Joint Trading Account — Pursuant to an Exemptive Order issued by the Securities and Exchange Commission, the fund, along with certain other funds in the American Century Investments family of funds, may transfer uninvested cash balances into a joint trading account. These balances are invested in one or more repurchase agreements that are collateralized by U.S. Treasury or Agency obligations.

26


Segregated Assets — In accordance with the 1940 Act, the fund segregates assets on its books and records to cover certain types of investment securities and other financial instruments. ACIM monitors, on a daily basis, the securities segregated to ensure the fund designates a sufficient amount of liquid assets, marked-to-market daily. The fund may also receive assets or be required to pledge assets at the custodian bank or with a broker for collateral requirements.

Income Tax Status — It is the fund’s policy to distribute substantially all net investment income and net realized gains to shareholders and to otherwise qualify as a regulated investment company under provisions of the Internal Revenue Code. Accordingly, no provision has been made for income taxes. The fund files U.S. federal, state, local and non-U.S. tax returns as applicable. The fund's tax returns are subject to examination by the relevant taxing authority until expiration of the applicable statute of limitations, which is generally three years from the date of filing but can be longer in certain jurisdictions. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Multiple Class — All shares of the fund represent an equal pro rata interest in the net assets of the class to which such shares belong, and have identical voting, dividend, liquidation and other rights and the same terms and conditions, except for class specific expenses and exclusive rights to vote on matters affecting only individual classes. Income, non-class specific expenses, and realized and unrealized capital gains and losses of the fund are allocated to each class of shares based on their relative net assets.

Distributions to Shareholders — Distributions from net investment income, if any, are generally declared and paid quarterly, but may be paid less frequently. Prior to March 1, 2022, distributions from net investment income were declared daily and paid monthly. Distributions from net realized gains, if any, are generally declared and paid annually.

Indemnifications — Under the trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the fund. In addition, in the normal course of business, the fund enters into contracts that provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against a fund. The risk of material loss from such claims is considered by management to be remote.

Securities Lending — Securities are lent to qualified financial institutions and brokers. State Street Bank & Trust Co. serves as securities lending agent to the fund pursuant to a Securities Lending Agreement. The lending of securities exposes the fund to risks such as: the borrowers may fail to return the loaned securities, the borrowers may not be able to provide additional collateral, the fund may experience delays in recovery of the loaned securities or delays in access to collateral, or the fund may experience losses related to the investment collateral. To minimize certain risks, loan counterparties pledge collateral in the form of cash and/or securities. The lending agent has agreed to indemnify the fund in the case of default of any securities borrowed. Cash collateral received is invested in the State Street Navigator Securities Lending Government Money Market Portfolio, a money market mutual fund registered under the 1940 Act. The loans may also be secured by U.S. government securities in an amount at least equal to the market value of the securities loaned, plus accrued interest and dividends, determined on a daily basis and adjusted accordingly. By lending securities, the fund seeks to increase its net investment income through the receipt of interest and fees. Such income is reflected separately within the Statement of Operations. The value of loaned securities and related collateral outstanding at period end, if any, are shown on a gross basis within the Schedule of Investments and Statement of Assets and Liabilities.

The following table reflects a breakdown of transactions accounted for as secured borrowings, the gross obligation by the type of collateral pledged, and the remaining contractual maturity of those transactions as of October 31, 2022.
Remaining Contractual Maturity of Agreements
Overnight and
Continuous
<30 days
Between
30 & 90 days
>90 daysTotal
Securities Lending Transactions(1)
Corporate Bonds$3,031,468 — — — $3,031,468 
Gross amount of recognized liabilities for securities lending transactions$3,031,468 
(1)Amount represents the payable for cash collateral received for securities on loan. This will generally be in the Overnight and Continuous column as the securities are typically callable on demand.

27


3. Fees and Transactions with Related Parties

Certain officers and trustees of the trust are also officers and/or directors of American Century Companies, Inc. (ACC). The trust's investment advisor, ACIM, the trust's distributor, American Century Investment Services, Inc. (ACIS), and the trust's transfer agent, American Century Services, LLC, are wholly owned, directly or indirectly, by ACC. Various funds issued by American Century Asset Allocation Portfolios, Inc. own, in aggregate, 54% of the shares of the fund. Related parties do not invest in the fund for the purpose of exercising management or control.

Management Fees — The trust has entered into a management agreement with ACIM, under which ACIM provides the fund with investment advisory and management services in exchange for a single, unified management fee (the fee) per class. The agreement provides that ACIM will pay all expenses of managing and operating the fund, except brokerage expenses, taxes, interest, fees and expenses of the independent trustees (including legal counsel fees), extraordinary expenses, and expenses incurred in connection with the provision of shareholder services and distribution services under a plan adopted pursuant to Rule 12b-1 under the 1940 Act. The fee is computed and accrued daily based on each class's daily net assets and paid monthly in arrears. The difference in the fee among the classes is a result of their separate arrangements for non-Rule 12b-1 shareholder services. It is not the result of any difference in advisory or custodial fees or other expenses related to the management of the fund’s assets, which do not vary by class. The investment advisor agreed to waive the G Class's management fee in its entirety. The investment advisor expects this waiver to remain in effect permanently and cannot terminate it without the approval of the Board of Trustees.

The annual management fee for each class is as follows:
Investor ClassI ClassY ClassA ClassC ClassR ClassR5 ClassR6 ClassG Class
0.96%0.86%0.76%0.96%0.96%0.96%0.76%0.71%
0.00%(1)
(1)Annual management fee before waiver was 0.71%.

Distribution and Service Fees — The Board of Trustees has adopted a separate Master Distribution and Individual Shareholder Services Plan for each of the A Class, C Class and R Class (collectively the plans), pursuant to Rule 12b-1 of the 1940 Act. The plans provide that the A Class will pay ACIS an annual distribution and service fee of 0.25%. The plans provide that the C Class will pay ACIS an annual distribution and service fee of 1.00%, of which 0.25% is paid for individual shareholder services and 0.75% is paid for distribution services. The plans provide that the R Class will pay ACIS an annual distribution and service fee of 0.50%. The fees are computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fees are used to pay financial intermediaries for distribution and individual shareholder services. Fees incurred under the plans during the period ended October 31, 2022 are detailed in the Statement of Operations.

Trustees’ Fees and Expenses — The Board of Trustees is responsible for overseeing the investment advisor’s management and operations of the fund. The trustees receive detailed information about the fund and its investment advisor regularly throughout the year, and meet at least quarterly with management of the investment advisor to review reports about fund operations. The fund’s officers do not receive compensation from the fund.

Interfund Transactions — The fund may enter into security transactions with other American Century Investments funds and other client accounts of the investment advisor, in accordance with the 1940 Act rules and procedures adopted by the Board of Trustees. The rules and procedures require, among other things, that these transactions be effected at the independent current market price of the security. There were no interfund transactions during the period.

4. Investment Transactions

Purchases of investment securities, excluding short-term investments, for the period ended October 31, 2022 totaled $614,277,032, of which $6,784,535 represented U.S. Treasury and Government Agency obligations.

Sales of investment securities, excluding short-term investments, for the period ended October 31, 2022 totaled $717,652,201, none of which were U.S. Treasury and Government Agency obligations.

28


5. Capital Share Transactions

Transactions in shares of the fund were as follows (unlimited number of shares authorized):
Year ended
October 31, 2022
Year ended
October 31, 2021
SharesAmountSharesAmount
Investor Class
Sold798,617 $7,874,076 1,580,485 $16,761,176 
Issued in reinvestment of distributions219,029 2,107,590 337,339 3,587,451 
Redeemed(512,418)(4,757,455)(701,297)(7,442,116)
505,228 5,224,211 1,216,527 12,906,511 
I Class
Sold792,201 7,336,400 1,212,272 12,908,117 
Issued in reinvestment of distributions25,605 247,035 24,645 261,265 
Redeemed(1,403,134)(12,232,755)(239,991)(2,552,321)
(585,328)(4,649,320)996,926 10,617,061 
Y Class
Sold460,721 4,400,910 823,073 8,761,698 
Issued in reinvestment of distributions60,272 578,104 84,742 900,693 
Redeemed(498,935)(4,553,356)(164,975)(1,753,520)
22,058 425,658 742,840 7,908,871 
A Class
Sold2,036 20,745 6,350 67,960 
Issued in reinvestment of distributions512 4,959 1,140 12,117 
Redeemed(3,704)(33,583)(16,816)(177,342)
(1,156)(7,879)(9,326)(97,265)
C Class
Issued in reinvestment of distributions45 445 99 1,048 
Redeemed(1,501)(13,239)(587)(6,245)
(1,456)(12,794)(488)(5,197)
R Class
Sold5,773 51,870 5,285 56,103 
Issued in reinvestment of distributions257 2,499 436 4,629 
Redeemed(3,383)(31,593)(3,819)(40,719)
2,647 22,776 1,902 20,013 
R5 Class
Sold83 761 14 157 
Issued in reinvestment of distributions19 180 29 307 
Redeemed(43)(368)— — 
59 573 43 464 
R6 Class
Sold2,556 24,474 4,227 44,826 
Issued in reinvestment of distributions777 7,445 4,806 51,264 
Redeemed(4,254)(39,696)(165,343)(1,762,393)
(921)(7,777)(156,310)(1,666,303)
G Class
Sold3,028,065 28,025,562 12,229,586 130,092,657 
Issued in reinvestment of distributions1,583,182 15,053,370 2,296,537 24,414,299 
Redeemed(7,189,977)(69,929,562)(1,524,902)(16,258,268)
(2,578,730)(26,850,630)13,001,221 138,248,688 
Net increase (decrease)(2,637,599)$(25,855,182)15,793,335 $167,932,843 

29


6. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.

Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments.

The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
Level 1Level 2Level 3
Assets
Investment Securities
Sovereign Governments and Agencies— $279,435,740 — 
Corporate Bonds— 177,159,422 — 
U.S. Treasury Securities— 12,827,358 — 
Preferred Stocks— 1,317,044 — 
Short-Term Investments$3,031,468 73,873,163 — 
$3,031,468 $544,612,727 — 
Other Financial Instruments
Futures Contracts$4,088,345 — — 
Swap Agreements— $4,809,194 — 
Forward Foreign Currency Exchange Contracts— 10,982,078 — 
$4,088,345 $15,791,272 — 
Liabilities
Other Financial Instruments
Futures Contracts$880,090 — — 
Swap Agreements— $972,026 — 
Forward Foreign Currency Exchange Contracts— 12,134,732 — 
$880,090 $13,106,758 — 

30


7. Derivative Instruments

Credit Risk — The fund is subject to credit risk in the normal course of pursuing its investment objectives. The value of a bond generally declines as the credit quality of its issuer declines. Credit default swap agreements enable a fund to buy/sell protection against a credit event of a specific issuer or index. A fund may attempt to enhance returns by selling protection or attempt to mitigate credit risk by buying protection. The buyer/seller of credit protection against a security or basket of securities may pay/receive an up-front or periodic payment to compensate for/against potential default events. Changes in value, including the periodic amounts of interest to be paid or received on swap agreements, are recorded as unrealized appreciation (depreciation) on swap agreements. Upon entering into a centrally cleared swap, a fund is required to deposit cash or securities (initial margin) with a financial intermediary in an amount equal to a certain percentage of the notional amount. Subsequent payments (variation margin) are made or received daily, in cash, by a fund. The variation margin is equal to the daily change in the value and is a component of unrealized gains and losses. Realized gain or loss is recorded upon receipt or payment of a periodic settlement or termination of swap agreements. Net realized and unrealized gains or losses occurring during the holding period of swap agreements are a component of net realized gain (loss) on swap agreement transactions and change in net unrealized appreciation (depreciation) on swap agreements, respectively. The risks of entering into swap agreements include the possible lack of liquidity, failure of the counterparty to meet its obligations, and that there may be unfavorable changes in the underlying investments or instruments. The fund's average notional amount held during the period was $138,747,333.

Foreign Currency Risk — The fund is subject to foreign currency exchange rate risk in the normal course of pursuing its investment objectives. The value of foreign investments held by a fund may be significantly affected by changes in foreign currency exchange rates. The dollar value of a foreign security generally decreases when the value of the dollar rises against the foreign currency in which the security is denominated and tends to increase when the value of the dollar declines against such foreign currency. A fund may enter into forward foreign currency exchange contracts to reduce a fund's exposure to foreign currency exchange rate fluctuations or to gain exposure to the fluctuations in the value of foreign currencies. The net U.S. dollar value of foreign currency underlying all contractual commitments held by a fund and the resulting unrealized appreciation or depreciation are determined daily. Realized gain or loss is recorded upon settlement of the contract. Net realized and unrealized gains or losses occurring during the holding period of forward foreign currency exchange contracts are a component of net realized gain (loss) on forward foreign currency exchange contract transactions and change in net unrealized appreciation (depreciation) on forward foreign currency exchange contracts, respectively. A fund bears the risk of an unfavorable change in the foreign currency exchange rate underlying the forward contract. Additionally, losses, up to the fair value, may arise if the counterparties do not perform under the contract terms. The fund's average U.S. dollar exposure to foreign currency risk derivative instruments held during the period was $520,797,169.

Interest Rate Risk — The fund is subject to interest rate risk in the normal course of pursuing its investment objectives. A fund may enter into futures contracts or interest rate swap agreements in order to manage its exposure to changes in market conditions. The value of bonds generally declines as interest rates rise. The risks of entering into interest rate risk derivative instruments include the possible lack of liquidity, failure of the counterparty to meet its obligations, and that there may be unfavorable changes in the underlying investments or instruments.

A fund may enter into futures contracts based on a bond index or a specific underlying security. A fund may purchase futures contracts to gain exposure to increases in market value or sell futures contracts to protect against a decline in market value. Upon entering into a futures contract, a fund will segregate cash, cash equivalents or other appropriate liquid securities on its records in amounts sufficient to meet requirements. Subsequent payments (variation margin) are made or received daily, in cash, by a fund. The variation margin is equal to the daily change in the contract value and is recorded as unrealized gains and losses. A fund recognizes a realized gain or loss when the futures contract is closed or expires. Net realized and unrealized gains or losses occurring during the holding period of futures contracts are a component of net realized gain (loss) on futures contract transactions and change in net unrealized appreciation (depreciation) on futures contracts, respectively. The fund's average notional exposure to these interest rate risk derivative instruments held during the period was $55,274,457 futures contracts purchased and $83,385,027 futures contracts sold.

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A fund may enter into interest rate swap agreements to gain exposure to declines in interest rates, to protect against increases in interest rates, or to maintain its ability to generate income at prevailing interest rates. A fund will segregate cash, cash equivalents or other appropriate liquid securities on its records in amounts sufficient to meet requirements. Changes in value, including the periodic amounts of interest to be paid or received on swap agreements, are recorded as unrealized appreciation (depreciation) on swap agreements. Upon entering into a centrally cleared swap, a fund is required to deposit cash or securities (initial margin) with a financial intermediary in an amount equal to a certain percentage of the notional amount. Subsequent payments (variation margin) are made or received daily, in cash, by a fund. The variation margin is equal to the daily change in the value and is a component of unrealized gains and losses. Realized gain or loss is recorded upon receipt or payment of a periodic settlement or termination of swap agreements. Net realized and unrealized gains or losses occurring during the holding period of swap agreements are a component of net realized gain (loss) on swap agreement transactions and change in net unrealized appreciation (depreciation) on swap agreements, respectively. The fund's average notional amount on interest rate swap agreements held during the period was $54,386,455.

Value of Derivative Instruments as of October 31, 2022
Asset DerivativesLiability Derivatives
Type of Risk ExposureLocation on Statement of Assets and LiabilitiesValueLocation on Statement of Assets and LiabilitiesValue
Credit RiskReceivable for variation margin on swap agreements*$14,248 Payable for variation margin on swap agreements*— 
Foreign Currency RiskUnrealized appreciation on forward foreign currency exchange contracts10,982,078 Unrealized depreciation on forward foreign currency exchange contracts$12,134,732 
Interest Rate RiskReceivable for variation margin on futures contracts*113,148 Payable for variation margin on futures contracts*— 
Interest Rate RiskSwap agreements— Swap agreements972,026 
$11,109,474 $13,106,758 
*Included in the unrealized appreciation (depreciation) on futures contracts or centrally cleared swap agreements, as applicable, as reported in the Schedule of Investments.

Effect of Derivative Instruments on the Statement of Operations for the Year Ended October 31, 2022
Net Realized Gain (Loss)Change in Net Unrealized Appreciation (Depreciation)
Type of Risk ExposureLocation on Statement of OperationsValueLocation on Statement of OperationsValue
Credit RiskNet realized gain (loss) on swap agreement transactions$3,003,682 Change in net unrealized appreciation (depreciation) on swap agreements$(501,952)
Foreign Currency RiskNet realized gain (loss) on forward foreign currency exchange contract transactions(4,656,514)Change in net unrealized appreciation (depreciation) on forward foreign currency exchange contracts(1,152,654)
Interest Rate RiskNet realized gain (loss) on futures contract transactions9,922,809 Change in net unrealized appreciation (depreciation) on futures contracts1,853,658 
Interest Rate RiskNet realized gain (loss) on swap agreement transactions(674,313)Change in net unrealized appreciation (depreciation) on swap agreements(972,026)
$7,595,664 $(772,974)

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Counterparty Risk — The fund is subject to counterparty risk, or the risk that an institution will fail to perform its obligations to the fund. The investment advisor attempts to minimize counterparty risk prior to entering into transactions by performing extensive reviews of the creditworthiness of all potential counterparties. The fund may also enter into agreements that provide provisions for legally enforceable master netting arrangements to manage the credit risk between counterparties related to forward foreign currency exchange contracts and/or over-the-counter swap agreements. A master netting arrangement provides for the net settlement of multiple contracts with a single counterparty through a single payment in the event of default or termination of any one contract. To mitigate counterparty risk, the fund may receive assets or be required to pledge assets at the custodian bank or with a broker as designated under prescribed collateral provisions.

The fund does not offset assets and liabilities subject to master netting arrangements on the Statement of Assets and Liabilities for financial reporting purposes. The fund’s asset derivatives and liability derivatives that are subject to legally enforceable offsetting arrangements as of period end were as follows:
CounterpartyGross Amount
on Statement
of Assets
and Liabilities
Amount
Eligible
for Offset
CollateralNet
Exposure*
Assets
Bank of America N.A.$503,578 $(503,578)— — 
Goldman Sachs & Co.3,572,257 (3,572,257)— — 
Morgan Stanley2,113,805 (2,113,805)— — 
UBS AG4,792,438 (4,792,438)— — 
$10,982,078 $(10,982,078)— — 
Liabilities
Bank of America N.A.$669,213 $(503,578)$(3,493)$162,142 
Goldman Sachs & Co.5,022,837 (3,572,257)(999,726)450,854 
Morgan Stanley2,470,403 (2,113,805)— 356,598 
UBS AG4,944,305 (4,792,438)— 151,867 
$13,106,758 $(10,982,078)$(1,003,219)$1,121,461 
*The net exposure represents the amount receivable from the counterparty or amount payable to the counterparty in the event of default or termination.

8. Risk Factors

The value of the fund’s shares will go up and down, sometimes rapidly or unpredictably, based on the performance of the securities owned by the fund and other factors generally affecting the securities market. Market risks, including political, regulatory, economic and social developments, can affect the value of the fund’s investments. Natural disasters, public health emergencies, war, terrorism and other unforeseeable events may lead to increased market volatility and may have adverse long-term effects on world economies and markets generally.

There are certain risks involved in investing in foreign securities. These risks include those resulting from political events (such as civil unrest, national elections and imposition of exchange controls), social and economic events (such as labor strikes and rising inflation), and natural disasters. Securities of foreign issuers may be less liquid and more volatile. Investing in emerging markets or a significant portion of assets in one country or region may accentuate these risks.

The fund may invest in lower-rated debt securities, which are subject to substantial risks including liquidity risk and credit risk.

The majority of the fund is owned by a relatively small number of shareholders. To the extent that a large shareholder (including a fund of funds) invests in the fund, the fund may experience relatively large redemptions as such shareholder reallocates its assets. In the event of a large shareholder redemption, the ongoing operations of the fund may be at risk.

The fund’s investment process may result in high portfolio turnover, which could mean high transaction costs, affecting both performance and capital gains tax liabilities to investors.

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9. Federal Tax Information

The tax character of distributions paid during the years ended October 31, 2022 and October 31, 2021 were as follows:
20222021
Distributions Paid From
Ordinary income$18,007,658 $29,253,379 
Long-term capital gains— — 

The book-basis character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. These differences reflect the differing character of certain income items and net realized gains and losses for financial statement and tax purposes, and may result in reclassification among certain capital accounts on the financial statements.

As of period end, the federal tax cost of investments and the components of distributable earnings on a tax-basis were as follows:

Federal tax cost of investments$630,771,294 
Gross tax appreciation of investments$513,695 
Gross tax depreciation of investments(83,640,794)
Net tax appreciation (depreciation) of investments(83,127,099)
Net tax appreciation (depreciation) on derivatives and translation of assets and
liabilities in foreign currencies
(3,348,258)
Net tax appreciation (depreciation)$(86,475,357)
Other book-to-tax adjustments$(144,191)
Undistributed ordinary income$5,207,242 
Accumulated short-term capital losses$(57,887,868)
Accumulated long-term capital losses$(12,045,693)

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales. Other book-to tax adjustments are attributable primarily to the tax deferral of losses on straddle positions.

Accumulated capital losses represent net capital loss carryovers that may be used to offset future realized capital gains for federal income tax purposes. The capital loss carryovers may be carried forward for an unlimited period. Future capital loss carryover utilization in any given year may be subject to Internal Revenue Code limitations.
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Financial Highlights
For a Share Outstanding Throughout the Years Ended October 31 (except as noted)
Per-Share DataRatios and Supplemental Data
Income From Investment Operations:Distributions From:Ratio to Average Net Assets of:
Net Asset
Value,
Beginning
of Period
Net
Investment
Income
(Loss)(1)
Net
Realized
and
Unrealized
Gain (Loss)
Total From
Investment
Operations
Net
Investment
Income
Net
Realized
Gains
Total
Distributions
Net Asset
Value,
End
of Period
Total
Return(2)
Operating
Expenses
Operating
Expenses
(before
expense
waiver)
Net
Investment
Income
(Loss)
Net
Investment
Income
(Loss)
(before
expense
waiver)
Portfolio
Turnover
Rate
Net
Assets,
End of
Period
(in thousands)
Investor Class
2022$10.480.43(2.49)(2.06)(0.20)(0.20)$8.22(19.89)%0.98%0.98%4.70%4.70%125%$85,456 
2021$10.320.400.150.55(0.39)(0.39)$10.485.29%0.97%0.97%3.77%3.77%51%$103,626 
2020$10.460.39(0.16)0.23(0.37)(0.37)$10.322.34%0.97%0.97%3.83%3.83%68%$89,509 
2019$9.790.430.661.09(0.42)(0.42)$10.4611.35%0.97%0.97%4.24%4.24%75%$92,647 
2018$10.430.35(0.64)(0.29)(0.33)(0.02)(0.35)$9.79(2.76)%0.97%0.97%3.52%3.52%85%$90,831 
I Class
2022$10.470.44(2.48)(2.04)(0.21)(0.21)$8.22(19.74)%0.88%0.88%4.80%4.80%125%$4,887 
2021$10.320.410.140.55(0.40)(0.40)$10.475.30%0.87%0.87%3.87%3.87%51%$12,356 
2020$10.460.40(0.16)0.24(0.38)(0.38)$10.322.44%0.87%0.87%3.93%3.93%68%$1,887 
2019$9.790.440.661.10(0.43)(0.43)$10.4611.47%0.87%0.87%4.34%4.34%75%$1,932 
2018$10.440.34(0.63)(0.29)(0.34)(0.02)(0.36)$9.79(2.76)%0.87%0.87%3.62%3.62%85%$6 



For a Share Outstanding Throughout the Years Ended October 31 (except as noted)
Per-Share DataRatios and Supplemental Data
Income From Investment Operations:Distributions From:Ratio to Average Net Assets of:
Net Asset
Value,
Beginning
of Period
Net
Investment
Income
(Loss)(1)
Net
Realized
and
Unrealized
Gain (Loss)
Total From
Investment
Operations
Net
Investment
Income
Net
Realized
Gains
Total
Distributions
Net Asset
Value,
End
of Period
Total
Return(2)
Operating
Expenses
Operating
Expenses
(before
expense
waiver)
Net
Investment
Income
(Loss)
Net
Investment
Income
(Loss)
(before
expense
waiver)
Portfolio
Turnover
Rate
Net
Assets,
End of
Period
(in thousands)