Frost Family of Funds N-CSRCertified annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act File Number 811-23410

FROST FAMILY OF FUNDS

(Exact name of registrant as specified in charter)

One Freedom Valley Drive

Oaks, PA 19456

(Address of Principal Executive Offices, Zip code)

Michael Beattie

c/o SEI Investments

One Freedom Valley Drive

Oaks, PA 19456

(Name and Address of Agent for Service)

Registrant’s telephone number, including area code: 1-877-713-7678

Date of fiscal year end: July 31, 2020

Date of reporting period: July 31, 2020

A copy of the report transmitted to stockholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended (the “Act”) (17 CFR § 270.30e-1), is attached hereto.

The Funds file their complete schedule of investments of portfolio holdings with the Securities and Exchange Commission (“Commission”) for the first and third quarters of each fiscal year on Form N-PORT within sixty days after period end. The Funds’ Forms N-PORT are available on the Commission’s website at http://www.sec.gov, and may be reviewed and copied at the Commission’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, as well as information relating to how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, is available (i) without charge, upon request, by calling 1-877-71-FROST; and (ii) on the Commission’s website at http://www.sec.gov.

Dear Shareholders:

The rollercoaster that has impacted the markets, both fixed income and equity, over these past several months has proven to be quite a challenge, both during the downturn and the subsequent recovery. Just reflecting back on the number of “100-year” events that have roiled our lives, the world economies and the markets over this short time span is daunting. Add in the year-to-date jobless numbers, the on-again off-again quarantines and the daily reports of the COVID-19 caseload and deaths, and the past several months have blunted our perspective when it comes to analyzing today’s headlines.

As a new normal has evolved, most companies were caught off guard, especially those tied to “brick and mortar” storefronts. Commerce continued but reflected a change from commuting downtown and shopping at the mall to living, vacationing, shopping and working from home. Air travel was grounded, as was dining out and quick trips to the store, while people accelerated or began home deliveries, web-based meetings and live streaming. This sudden social transition wasn’t immediately understood by investors until after the March 23 lows, but early into the second quarter the equity markets began rallying around the companies that were the beneficiaries of a new industrial revolution—the newly decentralized workforce. These trends were and continue to be the primary drivers providing underlying support for the markets to date.

Whether these trends continue over the balance of the year remains to be seen, creating uncertainty which adds to investor stress and market volatility. The primary unknown, with a global impact, is the potential for and timing of a successful vaccine, which could allow some normalcy to return to lives, economies and markets. There are daily headlines on vaccine trials amid growing case counts, with the latter adding to concerns of another shutdown. Overseas there are similar virus spikes, but economies in Asia and Europe are slowly showing evidence of a recovery. At home, the “green shoots” that are providing some reassurance today now include a bounce-back in housing, auto manufacturing, on-line retail sales and technology-centric corporate earnings.

Over the next several months, we expect to gain more clarity in terms of the economic recovery, the longer term impact of changes in behavior and the advent of what appears to be a low interest rate environment here and across the developed economies of the world. As economic data stabilize and policy changes take root, we will also be weighing the impact of the rapidly approaching elections. The political narrative will most likely heat up, as will the opinions on which administration should be leading the country out of the economic shutdown As I’ve mentioned in past shareholder letters, Frost Investment Advisors will continue to provide a steady hand during these periods of uncertainty, with the knowledge that opportunity is presented at times like these.

We appreciate your continued support and confidence in our team.

Tom Stringfellow

President, Frost Investment Advisors

Past performance does not guarantee future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. Investment performance reflects voluntary fee waivers in effect. Absent these waivers, total return and yield would be reduced. There can be no assurance that Frost Investment Advisors, LLC will continue to waive fees. For performance data current to the most recent month end, please call 877.713.7678.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in an account’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent an account’s entire portfolio and in the aggregate may represent only a small percentage of an account’s portfolio holdings.

Mutual fund investing involves risk including possible loss of principal. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from social, economic or political instability in other nations. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. REIT investments are subject to changes in economic conditions, credit risk and interest rate fluctuations. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume. Derivatives are often more volatile than other investments and may magnify the Fund’s gains or losses. The primary risk of derivative instruments is that changes in the market value of securities held by the fund and of the derivative instruments relating to those securities may not be proportionate. Derivatives are also subject to illiquidity and counter party risk. Diversification does not protect against market loss.

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The Bloomberg Barclays U.S. Aggregate Bond Index represents securities that are SEC-registered, taxable and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities and asset-backed securities.

The S&P 500 Index is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the Index proportionate to its market value.

2

Market Review

Equity markets completed a volatile twelve month period with surprisingly solid overall gains underpinned by accommodative monetary and fiscal policy initiatives which helped to partially offset the economic disruption caused by Covid-19. Growth stocks significantly outperformed value stocks, as many companies in the growth index have seen strengthening business trends as a result of the pandemic. For example, within the Fund, Amazon and Netflix are the two most obvious beneficiaries. But also companies like PayPal, Home Depot, Costco, and Electronic Arts have all seen underlying growth rates accelerate over the past several months.

Turning to the Fiscal Year 2020 period, the Frost Growth Equity Fund (Institutional share class) returned 27.91%. The Fund did well relatively to its large cap growth peers but underperformed its benchmark, the Russell 1000 Growth Index, which returned 29.84% over the same time period. Most actively managed, diversified growth funds underperformed the Russell 1000 Growth Index given how concentrated the benchmark has become with its top holdings, amid rules that prevent diversified mutual funds from holding a similarly concentrated portfolio.

The relative underperformance during the fiscal year was primarily driven by stock selection in the Technology sector, as well as the drag from cash holdings in the Fund. During such a strong absolute return period even modest amounts of cash can be a significant detractor to relative performance. The underperformance in the Technology sector was largely the result of our underweight to Apple, which increased 101.9% during our fiscal year period. More specifically, the underweight in Apple represented a 281 basis point headwind to the Fund’s return relative to the benchmark’s return. Apple’s weighting in the Russell Growth Index at the end of July was 11.1%, whereas the weighting in the Fund was 6.3%. We admire Apple a great deal, having held the stock for 14+ years in the Fund, and have the name as one of our top 5 holdings. But we have don’t think the growth profile of the company relative to the valuation on the stock justifies carrying the position at 11% in order to match the benchmark.

Positive contributors to performance during the fiscal year were an underweight allocation to the poorly performing Industrials and Consumer Staples sectors, an overweight allocation to the Consumer Discretionary sector, and strong stock selection in the Communication Services, Consumer Staples, and Real Estate sectors.

Looking forward, we believe the pandemic is likely to have a lasting impact on business and consumer behavior going forward. Many of these trends were already in place, but have accelerated and/or been pulled forward as a result of Covid-19. Many growth companies entered this environment already advantaged, and have only become more so. We think the next expansion will be profoundly impacted by the role of technology in a post-pandemic world. Our focus on structurally attractive, competitively differentiated businesses led by strong management teams should serve us well in this time of change and uncertainty.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

Mutual fund investing involves risk including possible loss of principal. There can be no assurance that the Fund will achieve its stated objective.

REIT investments are subject to changes in economic conditions, credit risk and interest rate fluctuations.

Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index.

The Russell 1000 Growth Index measures the performance of those Russell 1000 companies with higher price-book ratios and higher forecasted growth values.

The S&P 500 Index is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the Index proportionate to its market value. The S&P 500 Growth Index contains those securities of the S&P 500 Index with growth characteristics.

3

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Please note that one cannot invest directly in an unmanaged index.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

4

The investment objective of the Frost Value Equity Fund (the “Fund”) is to deliver a total return above that of its benchmark, and secondarily to outperform other actively managed large cap value funds in the Fund’s peer group. The Fund attempts to achieve these objectives by identifying and investing in high-quality companies which offer underappreciated earnings and free cash flow growth. Over time we expect other investors will recognize the long-term potential of the portfolio’s individual investments which will result in enhanced return for the Fund.

Market Overview:

Fiscal 2020 proved to be an epic year for investors in terms of return volatility. The year began with the Russell 1000 Value index rising approximately 10% to reach an all-time high in January, followed by a near 40% retreat in 2 months – one of the most intense bear markets in history. The fear of the economic fallout from the Covid-19 pandemic caused sector after sector to implode, until the market bottomed on March 23, 2020. From the March bottom through July 31, 2020 the market recovered 35%, as global central banks and politicians around the world unleashed a tsunami of monetary and fiscal policies in an effort to calm financial markets and provide economic stimulus.

The technology, financial services, industrials and utilities sectors outdistanced the Russell 1000 Value benchmark during the first six months of the fiscal year. Improving macroeconomic data and declining 10-year Treasury yields were the key factors driving this outperformance. All of the index sectors retreated during the panic sell off in March, with energy experiencing the most severe deterioration. There was a change in sector leadership in the four months following the March bottom. Healthcare, technology, materials and consumer staples were the best performing sectors during this time period. Not surprising, the Covid and work-from-home related sectors were the largest beneficiaries, as pharmaceutical and medical equipment companies accelerated their efforts to develop a vaccine, and consumers migrated to online versus in-person shopping to restock their pantries. Value stocks underperformed growth stocks as investors shunned economically sensitive stocks like banks and energy companies, in favor of mega cap technology and hyper growth stocks. Additionally, the largest market cap stocks garnered an increasing percentage of ETF inflows creating a virtuous feedback loop. While the underperformance of value stocks at times feels eternal, we continue to believe that valuation will matter to investors again at some point.

Performance and Highlights:

For the one-year period ending July 31, 2020, the Frost Value Equity Fund (Institutional Share Class) saw a performance decline of 8.36% versus the Russell 1000 Value benchmark return of -6.01%. The communication services, technology and real estate sectors were positive contributors to the Fund’s total return. This was more than offset by weak performance within the remaining sectors. While the Fund continued to broaden sector exposure, stock selection proved challenging as several portfolio holdings were unduly punished as a result of company specific issues.

To reduce portfolio concentration, the Fund expanded its holdings to 57 positions. This past year we added 19 new companies and eliminated 14. The new additions included Activision Blizzard, Applied Materials, Berkshire Hathaway, Bristol-Myers Squibb, Constellation Brands, CVS, Elanco, Entergy, Evergy, Expedia, Healthpeak Properties, L3Harris, Philip Morris, P&G, Progressive, Qualcomm, State Street, Sysco, and Union Pacific. The 14 positions eliminated from the portfolio were the result of the stock either achieving our targeted valuation or experiencing an investment thesis impairment.

Over the past year the contribution from new portfolio holdings was additive to the Fund’s total return. On average, the 19 new portfolio holdings outperformed the fund’s benchmark by roughly 8%. We are encouraged by these results. As usual, we remain vigilant to any thesis degradation, and will adjust our positions when prudent.

The fund begins fiscal 2021 with securities offering what we believe is the potential for attractive future returns. We understand that market volatility can result in periods of relative underperformance, yet, we are optimistic about the long-term potential of our current holdings. Our process systematically invests in businesses with improving earnings and cash flow at levels not reflected by current market valuations. We concentrate our holdings into those companies we expect will increase in value as other investors recognize their enhanced earnings power.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

5

It should not be assumed that any of the securities transactions or holdings discussed were or will prove to be profitable, or that the investment recommendations or decisions we make in the future will be profitable or will equal the investment performance of the securities discussed herein.

The views expressed by the portfolio managers reflect their professional opinions and should not be considered buy or sell recommendations. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets.

Mutual fund investing involves risk including possible loss of principal. There can be no assurance that the Fund will achieve its stated objectives.

Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index.

The Russell 1000 Value Index measures the performance of those Russell 1000 companies with lower price-book ratios and lower forecasted growth values.

The S&P 500 Index is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the Index proportionate to its market value. The S&P 500 Value Index contains those securities of the S&P 500 Index with value characteristics.

6

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Please note that one cannot invest directly in an unmanaged index.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

7

Market Review

US Bond Market

The US bond market turned in one of its best overall total return performances in some time over the past year. While market volatility spiked early in 2020 during the onset of the Covid-19 pandemic, the bond market recovered quickly and subsequently generated significant returns as a result of a material decline in yields and relatively stable credit spreads. The Bloomberg Barclays US Universal Bond Index generated a return of 9.45% for the year, with the smaller but better known Bloomberg Barclays US Aggregate Bond Index generating an even better 10.12%. Volatility in the credit markets spiked as the US economy entered recession in the first quarter and into the second, but both the rates and credit sectors delivered positive returns. It did, however, require rather unprecedented levels of monetary action by the major central banks, including the US Federal Reserve, to support the credit markets. But, while returns were clearly not a straight line up, this past year has delivered large, and largely unexpected, gains.

US Treasury Securities

The US Treasury market produced one of its best twelve-month periods in many years over the 2019 fiscal year. With yields across the intermediate and long-end of the yield curve beginning this fiscal year at close to record lows, the year began with poor prospects for expected returns in the Treasury sector for 2020. With this as a starting point it should be of little surprise that during the first few months of the year (from approximately August through December of 2019) the US Treasury market saw yields rise across the yield curve, and as a result the sector produced the worst performance across the entire US bond market. However, as the Covid-19 pandemic began to take hold and the global recession followed, US Treasury yields quickly plummeted and returns reversed course in a positive direction. When it all was said and done, at year-end the overall US Treasury sector produced returns of approximately 12% over the Fund’s fiscal year, and the long-end of the yield curve saw returns in excess of 30%. The year finished with the ten-year US Treasury Note yield at an unprecedented, and all-time low, level of 0.50%.

US Agency Unsecured Securities

For the twelve-month period of the Fund’s fiscal year, the US Agency sector underperformed both the US Treasury and the US Aggregate Bond Index with a return of approximately 5.82%. The US Agency sector underperformed due primarily to the callable portion of the market which underperformed, as overall market volatility spiked and the level of interest rates fell to a point where the entire callable market had moved into callable territory.

Residential Mortgage-Backed Securities (“RMBS”)

The RMBS sector underperformed the US Aggregate Bond index over the fiscal year, proving to be one of the worst performing sectors, even though overall returns were solidly in positive territory. The Bloomberg Barclays RMBS index produced a return of 5.45% for the period, a level that is quite respectable considering the overall interest rate environment, but nonetheless a return which fell below that of the other large US bond market sectors. Within the US Agency RMBS space generally higher coupon pools underperformed as a result of prepayment concerns, as mortgage rates finished at all-time low levels. In the Non-Agency RMBS space returns were very dispersed across sector types and credit tiers, but generally were lower than the returns in the US Agency sector. Overall, RMBS underperformed due to the poor convexity profile of the sector due to loan prepayment increases, as mortgage rates declined materially over the year in correlation with Treasury yields falling.

Asset-Backed Securities (“ABS”)

The Bloomberg Barclays US ABS Sub-Index returned 5.13%, generally outperforming US government securities on a duration adjusted basis for the twelve-month period ending on July 31, 2020. The sector continued to benefit from a steady, but manageable, new issuance supply and solid credit fundamentals. The sector continues to demonstrate meaningfully lower volatility when compared to the larger IG Corporate sector, even though the sector did see outsized levels of volatility, consistent generally with all other risk assets, during the March/April period of the Covid-19 crisis. The primary reason for the sector’s relatively low total return results over the past year is the much lower interest rate risk character, as the sector is almost exclusively a 1 to 6 year maturity profile sector.

8

Commercial Mortgage-Backed Securities (“CMBS”)

CMBS turned in a mixed performance over the twelve-month period ending July 31, 2020 on , driven by the meaningfully decline in Treasury yields and the credit fundamentals across the CRE industry. The higher quality end of CMBS delivered returns of between 7% and 8%, depending on the collateral type. However, the lower quality end of CMBS produced much lower returns, and in some cases nominally negative returns for the year, in correlation with the general risk off moves brought on by the pandemic and rising macroeconomic uncertainty.

Collateralized Loan Obligation (“CLO”)

The CLO sector delivered positive total returns for the twelve-month period ending July 31, 2020, but generally underperformed every other major sector of the US bond market. The sector saw poor returns relative to the US Aggregate Index, primarily due to meaningfully weaker investor demand for floating rate coupon securities as macroeconomic concerns increased over the period and expectations grew that the Federal Reserve would modify monetary policy from a raising rates environment to a decreasing rates scenario. Broadly speaking, spreads over LIBOR increased across the entire credit sector during the year, with the lower rated areas of “BBB” and “BB” widening the most. The CLO sector did outperform the highly correlated syndicated loan market, as the loan sector was negatively affected by the same factors as CLOs, and then on top of that saw significant outflows from ETF investors, which can often be a very volatile investor type.

Investment Grade Corporate Securities (“IG”)

The Bloomberg Barclays US IG Index saw an astonishing 12.44% total return, including a return of 19.41% in the longer maturity portion of the index, for the twelve-month period ending July 31, 2020. IG was the best performing asset sector across the entire US bond market over the period, as it benefited from both the rally in the US Treasury market, and steady credit spreads. The IG sector did come under significant stress during the March/April timeframe in conjunction with all other risk assets, however, the sector quickly began a rather impressive turnaround on the heels of Federal Reserve actions, and a subsequent overall market rally in risk assets. When the year came to an end the IG sector turned in the best sector performance, even better than US Treasuries.

High Yield Corporate Securities (“HY”)

The Bloomberg Barclays US HY index returned just over 4% over the twelve-months ending July 31, 2019. The sector underperformed materially in the March to April timeframe, as market stresses played out as the Covid-19 pandemic developed. Unlike the IG sector, the HY market did see a sizable performance differential based on the degree of credit risk, with the higher risk assets underperforming, along with issuers that are generally associated with high correlations to the current macroeconomic circumstances. For example, HY companies in the travel, commercial real estate and consumer cyclicals like gaming and leisure each underperformed. The higher end of HY such as the “BB” rating area delivered sizable outperformance, with returns of close to 10%. The “CCC” rated segment however, delivered returns of approximately -7%, with some of the deep cyclical industries such as energy producing negative returns for the year.

Money Market Securities

Money markets had a rather entertaining year. The Federal Reserve reduced the federal funds rate target from approximately 2% at the start of the year, to back down to near zero in reaction to poor market functioning in the REPO, US T-Bill and other related cash sectors, and then later in the year due to the onset of the Covd-19 pandemic and economic recession. As the fiscal-year came to an end, money market rates across every sector finished at or close to their all-time lows, which were previously set in the 2014 period.

9

Fund Results

For the twelve-month period ending July 31, 2020, the Fund produced a return of 0.60% for the institutional share class, which lagged the benchmark for the fund, the Bloomberg Barclays US Aggregate Bond Index, which returned 10.12% over the same time period. This result was due to a combination of factors, with the most important being an underweight to interest rate risk, some sector allocation underperformance and generally poor individual security selection. The Fund’s overall duration position was meaningfully less than the benchmark, maintaining its effective duration in a range of 2.75% to 3.50% over the fiscal year, which was lower than the benchmark’s duration which spent the year ran closer to 6.0%. This allocation position detracted from performance relative to the benchmark, as interest rates materially declined over the year. This attribution represented a little over half of the Fund’s relative underperformance. The Fund also lost relative performance due to the following allocations decisions: an overweight position to the high yield (HY) corporate sector, an overweight to the Collateralized Loan Obligation (CLO) sector, and to a lesser extent an overweight to both the Asset Backed Securities (ABS) and Collateralized Mortgage Backed Securities (CMBS) sector. The Fund as of its July 31, 2020 fiscal year-end finished with an allocation of approximately 20% allocation to the HY Corporates, a 17% CLO allocation, a 17% ABS allocation and an 11% CMBS allocation. Finally, the Fund felt the effects of poor security selection, in particular with its energy corporate exposure, as several of the Fund’s off-shore oil drilling holdings became impaired with the stress that industry has seen of late, and one additional holding in the telecommunication industry.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

The Bloomberg Barclays U.S. Aggregate Bond Index represents securities that are SEC-registered, taxable and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities and asset-backed securities.

Mutual fund investing involves risk including possible loss of principal. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. Mortgage-backed securities are subject to prepayment and extension risk and therefore react differently to changes in interest rates than other bonds. Small movements in interest rates may quickly and significantly reduce the value of certain mortgage-backed securities. There can be no assurance that the Fund will achieve its stated objectives.

10

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Please note that one cannot invest directly in an unmanaged index.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

11

Bond Credit Quality as of July 31, 2020

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Fund Results

For the twelve-month period ending July 31, 2020, the Fund underperformed its benchmark, a 50/50 weight of the Bloomberg Barclays US Credit and US High Yield indexes, due to both a defensive interest rate allocation and asset sector allocation decisions. The Fund maintained its effective duration between 2% to 2.50% for the fiscal year, which proved to be meaningfully lower than its benchmark. This represented the majority of the Fund’s relative underperformance to its benchmark for the year. In terms of asset sector allocations, the Fund was overweight the CLO sector which delivered negative returns of approximately -3.75% but which were significantly less than the returns of other sectors; most notably Corporates and ABS, which produced year over year returns of approximately 7.50% and 5% respectively. The Fund held on average a 30% allocation to CLO’s over the fiscal year. The Fund’s best performing sector for the year was its Corporate allocation, which ranged from a weight of between 30% to 38% over the year, finished the year at a weight of 33%.

Diversification does not ensure a profit or guarantee against a loss.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

Mutual fund investing involves risk including possible loss of principal. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. Mortgage-backed securities are subject to prepayment risk and extension risk and therefore react differently to changes in interest rates than other bonds. Small movements in interest rates quickly and significantly reduce the value of certain mortgage-backed securities. There can be no assurance that the Fund will achieve its stated objective. Ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest).

Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index.

CLO – Collateralized Loan Obligations are a type of asset-backed securities whereby payments from multiple middle market sized business loans pooled together and passed on to bond holders as security collateral. The actual loans used as collateral in a CLO are generally multi-million dollar loans called syndicated loans and are typically originally lent by a bank or other financial institution.

The Bloomberg Barclays U.S. Credit Index is designed to track the performance of a hypothetical buy write strategy on the S&P 500 Index.

The Bloomberg Barclays U.S. Corporate High Yield Bond Index is a market value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the Index proportionate to its market value.

13

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Please note that one cannot invest directly in an unmanaged index.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

14

Bond Credit Quality as of July 31, 2020

15

Fund Results

For the twelve-month period, the Fund underperformed its benchmark, the Bloomberg Barclays 1 to 5 year US Government Credit Bond Index, due primarily to its duration position, as well as the Fund’s relatively defensive allocation to interest rate risk throughout the year. The Fund maintained its effective duration in a range of 1.0% to 1.75% during the fiscal year, which was lower than the benchmark which spent the year with a duration closer to 2.75%. This allocation position detracted from performance relative to the benchmark, as interest rates generally declined significantly during the year. As an example, the yield on the three-year maturity US Treasury Note fell over the year from approximately 1.50% to an astonishing 0.15%.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

Mutual fund investing involves risk including possible loss of principal. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. Mortgage-backed securities are subject to prepayment risk and extension risk and therefore react differently to changes in interest rates than other bonds. Small movements in interest rates quickly and significantly reduce the value of certain mortgage-backed securities. There can be no assurance that the Fund will achieve its stated objective.

Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index.

The Bloomberg Barclays U.S. 1-5 Year Government/Credit Index is comprised of Treasuries, Government related issues, U.S. dollar corporate securities, and specified foreign debentures and secured notes that have remaining maturities of more than one year but less than five years.

16

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

Please note that one cannot invest directly in an unmanaged index.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

17

Bond Credit Quality as of July 31, 2020

18

Fund Results

For the twelve-month period, the Fund underperformed its benchmark, the Bloomberg Barclays Municipal Bond Index, due primarily to duration position and the Fund’s relatively defensive allocation to interest rate risk throughout the year. The Fund maintained its effective duration in a range of 3.25% to 3.75% for the year, which was lower than the benchmark, which spent the year closer to a range of 5% to 5.5%. This allocation position detracted from performance relative to the benchmark, as interest rates declined materially over the year. As an example, the yield on the ten-year maturity tax-exempt “AAA” rated national municipal bond yield curve declined over the year from approximately 1.50% to less than 0.75%.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. These views are subject to change and are not intended to predict or guarantee the future performance of any individual security or the markets in general. There is no assurance that any securities discussed herein will remain in the Fund’s portfolio at the time you receive this report or that securities sold have not been repurchased. The securities discussed do not represent the Fund’s entire portfolio and in the aggregate may represent only a small percentage of the Fund’s portfolio holdings.

Performance data quoted represents past performance and does not guarantee similar future results. The investment performance and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost, and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 877.713.7678.

Investment performance reflects voluntary fee waivers in effect. Absent these waivers, total return and yield would be reduced. There can be no assurance that the Adviser will continue to waive fees.

Mutual fund investing involves risk including possible loss of principal. Bond and bond funds are subject to interest rate risk and will decline in value as interest rates rise. Mortgage-backed securities are subject to prepayment risk and extension risk and therefore react differently to changes in interest rates than other bonds. Small movements in interest rates quickly and significantly reduce the value of certain mortgage-backed securities. There can be no assurance that the Fund will achieve its stated objective.

Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index.

The Bloomberg Barclays Municipal Bond Index is a rules-based, market value weighted index engineered for the long-term tax-exempt bond market. To be included, bonds must have minimum credit rating of Baa and must have an outstanding par value of at least $5 million. Bonds must be at least one year from their maturity date.

19

Growth of a $1,000,000 Investment

The performance data quoted herein represents past performance and the return and value of an investment in the Fund will fluctuate so that, when redeemed, may be worth less than its original cost. Past performance is no guarantee of future performance and should not be considered as a representation of the future results of the Fund. The Fund’s performance assumes the reinvestment of dividends and capital gains. Index returns assume reinvestment of dividends and, unlike a fund’s returns, do not reflect any fees or expenses. If such fees and expenses were included in the index returns, the performance would have been lower.

The performance of the Fund would have been lower had the Adviser not waived a portion of its fees.

Please note that one cannot invest directly in an unmanaged index.

Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

There are no assurances that the Fund will meet its stated objectives. The Fund’s holdings and allocations are subject to change because it is actively managed and should not be considered recommendations to buy individual securities.

20

Bond Credit Quality as of July 31, 2020

21

The accompanying notes are an integral part of the financial statements.

22

The accompanying notes are an integral part of the financial statements.

23

The accompanying notes are an integral part of the financial statements.

24

The accompanying notes are an integral part of the financial statements.

25

The accompanying notes are an integral part of the financial statements.

26

The accompanying notes are an integral part of the financial statements.

27