Invesco Zodiac Funds A mutual investment umbrella fund organised under the laws of the Grand Duchy of Luxembourg (Specialised Investment Fund) AUDITED ANNUAL REPORT For the year ended 31 December 2013 Invesco Management S.A. (R.C.S. Luxembourg B38049)
Table of Contents
Directors and Administration
1
Audit Report
2
Investment Adviser's Report
4
Schedule of Investments Invesco US Senior Loan Fund
15
Invesco European Senior Loan Fund
26
Invesco Global Senior Loan Fund
29
Financial Statements Statement of Net Assets
30
Comparative Net Asset Value for the year ended 31 December 2013
31
Statement of Operations
34
Statement of Changes in Net Assets
35
Notes to the Financial Statements
36
Other Information
50
No subscriptions can be received on the basis of financial reports. Subscriptions are only valid if made on the basis of the current prospectus accompanied by the latest annual report. Past performance is not necessarily an indication of future performance. The annual Report is available at the offices of the Management Company, the Custodian and any paying agent.
Invesco Zodiac Funds DIRECTORS AND ADMINISTRATION Management Company
Investment Advisor
Auditor of the Trust
Invesco Management S.A.
Invesco Senior Secured Management Inc.
PricewaterhouseCoopers, Société coopérative
19, rue de Bitbourg
1166 Avenue of the Americas
400, Route d'Esch
L-1273 Luxembourg
27th Floor
B.P. 1443
Grand Duchy of Luxembourg
New York
L-1014 Luxembourg
NY 10036
Grand Duchy of Luxembourg
Effective May 21, 2013 the registered office changed to: 37A, avenue J.-F. Kennedy
United States of America
L-1855 Luxembourg
Custodian, Registrar and Transfer Agent, Administrative Agent, Paying Agent and Corporate Agent
Elvinger, Hoss & Prussen
State Street Bank Luxembourg S.A.
L-2014 Luxembourg
49, avenue J.-F. Kennedy
Grand Duchy of Luxembourg
Grand Duchy of Luxembourg
Board of Directors of the Management Company
Legal Advisor
2, Place Winston Churchill B.P. 425
Leslie Schmidt (American)
L-1855 Luxembourg
Chairperson,
Grand Duchy of Luxembourg
Swiss Representative*
President of Invesco National Trust Company Invesco United States of America
Address of the Trust
Invesco Asset Management (Schweiz) AG
Cormac O'Sullivan (Irish)
Invesco Management S.A.
CH-8002 Zürich
Head of Office
19, rue de Bitbourg
Switzerland
Invesco Ireland
L-1273 Luxembourg
Stockerstraße 14
Grand Duchy of Luxembourg Carsten Majer (German)
Swiss Paying Agent* BNP Paribas Securities Services,
Chief Marketing Officer CE
Effective May 21, 2013 the registered office changed to:
Paris,
Invesco Germany
37A, avenue J.-F. Kennedy
succursale de Zurich
Oliver Carroll (Irish)
L-1855 Luxembourg
Selnaustraße 16
Grand Duchy of Luxembourg
CH-8022 Zürich
Global Head of Finance Operations
Switzerland
Invesco Ireland Marie-Hélène Boulanger (French) Head of Risk Governance Invesco Luxembourg Douglas J. Sharp (Canadian) Head of Cross-Border Retail and EMEA Strategy, Invesco United Kingdom Benjamin Fulton (American) (Resigned on April 30, 2013) Managing Director of Invesco PowerShares Capital Management LLC Invesco United States of America Karen Dunn Kelley (American) (Resigned on June 7, 2013) Chief Executive Officer of Invesco, Fixed Income Invesco United States of America Brian Collins (Irish) (Resigned on June 7, 2013) Independent Director Ireland John Rowland (British) (Resigned on June 7, 2013) Global Head of Investment Operations Invesco United Kingdom
* List of changes in portfolio is available at the registered office of the representative.
1
Audit report To the Unitholders of Invesco Zodiac Funds
We have audited the accompanying financial statements of Invesco Zodiac Funds and of each of its sub-funds, which comprise the Statement of Net Assets and the Schedule of Investments as at 31 December 2013 and the Statement of Operations and the Statement of Changes in Net Assets for the year then ended, and a summary of significant accounting policies and other explanatory notes to the financial statements. Responsibility of the Board of Directors of the Management Company for the financial statements The Board of Directors of the Management Company is responsible for the preparation and fair presentation of these financial statements in accordance with Luxembourg legal and regulatory requirements relating to the preparation of the financial statements and for such internal control as the Board of Directors of the Management Company determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Responsibility of the “Réviseur d’entreprises agréé” Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing as adopted for Luxembourg by the “Commission de Surveillance du Secteur Financier”. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the judgment of the “Réviseur d’entreprises agréé”, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the “Réviseur d’entreprises agréé” considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the Board of Directors of the Management Company, as well as evaluating the overall presentation of the financial statements.
PricewaterhouseCoopers, Société coopérative, 400 Route d’Esch, B.P. 1443, L-1014 Luxembourg T: +352 494848 1, F:+352 494848 2900, www.pwc.lu Cabinet de révision agréé. Expert-comptable (autorisation gouvernementale n°10028256) R.C.S. Luxembourg B 65 477 - TVA LU25482518
2
_3%
we
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion
ln our opinion, the financial statements give a true and fair view of the financial position of Invesco Zodiac Funds and of each of its sub-funds as of 31 December 2013, and of the results of their operations and changes in their net assets for the year then ended in accordance with Luxembourg legal and regulatory requirements relating to the preparation of the financial statements.
Other mafters Supplementary information included in the annual report has been reviewed in the context of our mandate but has not been subject to specific audit procedures carried out in accordance with the standards described above. Consequently, we express no opinion on such information. However, we have no observation to make concerning such information in the context of the financial statements taken as a whole.
PricewaterhouseCoopers, Soci6t6 Represented by
Anne Laurent
coop6rative
Luxembourg,24 June2014
Invesco Zodiac Funds Invesco US Senior Loan Fund Investment Adviser’s Report 31 December 2013 Two thousand and thirteen was another strong year for the Senior Loan market and one in which the asset class reminded investors of its virtues. Loans provided strong absolute returns coupled with low volatility, resulting in a higher Sharpe ratio than asset classes perceived as “safer” like investment grade bonds and Treasuries, as well as the more comparable high yield (HY) bond market. In total, returns for the asset class were 6.15% [Credit Suisse Leveraged Loan Index (CS LLI)] in 2013 and most notably loans provided investors with strong absolute returns and price protection during the taper talk filled months of May and June. Looking at the monthly return numbers, 2013 was really a tale of three cities. The first was the pre taper period of January to April when loans continued the trend of strong positive returns that had been the hallmark of the asset class in 2012. The second was the post taper period of September through year end, marked by price and return stability amid technically strong market conditions. The third of course was the “taper period” of May through August in which volatility returned to US markets and, as shown in the table below, all fixed income assets posted negative returns, EXCEPT senior loans. While the Federal Reserve’s (Fed) decision to taper Quantitative Easing was decoupled from its interest rate policy, rate risk continued to be the primary concern for investors as broader macroeconomic fears have subsided. The yield on the benchmark 10-year Treasury note ended the year above 3%, up ~130bps from the start of 2013 as indications of an improving economy supported positive sentiment and benefited riskier asset classes.
As a result of the strong technical demand for the loan asset class and the stable fundamental environment, spreads finished the year 67bps tighter at L + 488bps as prices rose 1.94pts to finish the year at 98.54, according to the Credit Suisse Leveraged Loan Index.
Credit Quality, Fundamentals and Defaults While interest rate risk remained at the forefront of investor allocation decisions, stable fundamentals provided support for risk based assets. Underlying corporate earnings remained strong, with borrowers continuing to report single digit growth rates at both the revenue line and EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) lines.
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
4
Invesco Zodiac Funds Invesco US Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013 Year over year growth rates ticked up steadily as the year progressed, from 2% to 4% for revenues and 3% to 6% for EBITDA. As was the case in 2012, issuers successfully accessed the capital markets in 2013 to further improve their balance sheets and strengthen cash reserves. This provided the underpinnings for low defaults and stable corporate performance during 2013. During the last quarter of the year, we began to see an increase in issuer friendly transactions and as a result, leverage ratios expanded slightly as shown in the table below. While increasing leverage multiples are a trend to watch, we remain comfortable with current leverage levels. As debt levels have increased, equity multiples have expanded as well and as a result, debt as a percentage of enterprise value has remained stable. Increasing leverage has historically been a predictor of market peaks and the top of the cycle of economic expansion. However, given the current economic environment, we believe the economy is still in the middle of its recovery, rather than at the peak, and as a result, conditions will allow issuers to deleverage and generate sufficient cash flows to remain appropriately valued. Average Debt Multiples of Leveraged Loans:
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
5
Invesco Zodiac Funds Invesco US Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013 Loan market technicals The robust demand for floating rate assets remained a key theme throughout 2013. Unlike the past several years which were dominated by a single investor type (albeit a type that differed from year to year), demand in 2013 was extremely well balanced across investment type from start to finish. While retail flows of almost $70 billion (up from just $9 billion in 2012) captured the headlines all year, institutional demand, in the form of Collateralised Loan Obligations (CLO) issuance ($82 billion, up from $54 billion in 2012) and segregated accounts, were actually the larger drivers of growth in the market. While the overall loan market had a strong new issuance year and grew by $130bn, this supply was not sufficient to keep pace with investor appetite. However, as shown in the chart below, there were periods during the year (the July – October period in particular) in which strong supply balanced demand and helped to stabilize spreads. This is the most likely scenario going forward into 2014 - periods of technical strength interspersed with others that will provide a buying opportunity. 1
Sources of Inflows CLO Issuance
$81.81bn
Retail Inflows
$69.95bn
Institutional Inflows
$37.80bn*
Total Inflows
$189.56bn
Net New Issue Supply Inflows Net of Available Supply
$-129.09bn $60.47bn
*Preliminary year-end numbers. 1
Source: S&P’s LCD 12/31/2013
Positioning As outlined above, loan investors continued to pursue the risk-on trade in 2013, resulting in the lower rated (B2 and below) segment of the market significantly outperforming the broad index. CCC/split CCC rated credits returned 10.97% in 2013 vs. 6.15% for the broad CS Leveraged Loan Index while B rated credits returned 7.09% and BB rated credits returned just 4.17%. Distressed (CC and below) rated credits have performed best of all, returning 13.21%.
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
6
Invesco Zodiac Funds Invesco US Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013 Invesco Zodiac’s proactive risk positioning which sets up a continued balance between long term fundamental positioning and shorter term influences has borne fruit in this volatile environment. We continued to favor strong ‘B’ risk which offers the most compelling risk adjusted return and have not chased yield by investing indiscriminately in lower quality credits or industries. Consistent with where we see value with respect to repositioning in B1 and better assets as outlined above, we have kept B2 and below risk in the portfolio essentially flat during the year despite the fact that overall new issue credit quality in the market declined. Despite being underweight the best performing (but lowest quality) portion of the risk spectrum in the quarter, risk positioning was actually accretive to portfolio performance year to date, contributing approx. 1% of the sub-fund’s 75bps of outperformance for the year. The main driver of outperformance continues to be, as was the case in 2012, individual credit selection which contributed 48% of outperformance vs. the benchmark vs. 59% in 2012. Asset selection (41%) and trade execution (9%) and sector migration (1%) along the risk positioning mentioned above, made up the difference. As a result, gross return for the H Unit Class of the sub-fund was 1.96% vs. 1.82% for the CS Leveraged Loan Index for the quarter and 6.92% vs. 6.15% for the index for the year, as credit selection and asset selection offset the drag of our quality bias. As before, concentrations in the Portfolio by both industry and borrower are below Portfolio limits, reflecting our belief that, after credit selection, diversification is the best way to guard against defaults. We continue to focus on bottom up fundamental credit analysis when making our buy and sell decisions within the portfolio. The Portfolio remains well diversified with no outsized industry weights and the largest Portfolio position (Asurion) at 2.58% and no other name north of 2%. The 20 largest issuers are 24% of the Portfolio and the top 100 62% of the Portfolio, while the 100 smallest are just 2.4% of the Portfolio. At the same time, we are not merely buying the largest names in the investable universe.
Outlook With the markets seeming to have digested the latest round of tapering news, focus now turns to fundamentals and loan market technicals. Heading into 2014, many of the themes that dominated the last months of 2013 remain in place. Demand drivers in the form of rate concerns and the search for yield and price stability remain intact and with additional visibility on fundamentals, we expect returns to be largely in the form of coupon. The current market yield is L +482bps and with 71.28% of the market trading at or above par, the ability to create capital appreciation will be challenging. As a result, excess return will be generated by superior credit selection, risk mitigation and access to new issue opportunities priced below par. As we expect the current benign (2-2.5%) default environment will continue in 2014, one or two misses on the credit front can have a material impact on full year performance. Investors remain focused on interest rate risk as much as credit risk and as a result, we do not foresee any material change in the technical bid for loan assets. Our forecast for 2014 calls for returns in the 4.25-4.75% context. Although we expect general stability throughout the year, we do not believe returns will necessarily be linear. While return expectations are clearly lower when compared to those of the past several years, so is volatility. As discussed above, the loan asset class produced an attractive risk adjusted return (a Sharpe Ratio of 3.25) during 2013 and we expect similar results during 2014.
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
7
Invesco Zodiac Funds Invesco US Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013 Finally, we continue to believe that the U.S. economy has entered a more stable period, which should ultimately result in solid underlying growth for corporate America. Against this backdrop, we expect continuing strong demand for credit assets, in particular higher yielding and floating rate issues. With demand strong, we expect a more balanced new issue calendar that better reflects an expanding M&A environment. This should provide for a good opportunity to further refine existing portfolios and build attractive new portfolios for investors.
17 February 2014
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
8
Invesco Zodiac Funds Invesco European Senior Loan Fund Investment Adviser’s Report 31 December 2013 The European Senior Secured loan (SSL) market continued to be a primary beneficiary of investors’ concerns over duration. The market’s relatively high yield also helped it attract attention from adjacent geographies (e.g. US loan investors) and other parts of the credit spectrum (e.g. investment grade and high yield). In the fourth quarter of 2013 the Credit Suisse Western European Loan Index (CS WELLI) total return was 2.06%, of which 96bps was principal (average loan price increased from €0.9511 to €0.9579) and 110bps was interest income.1 The SSL asset class had an extremely fruitful 12 months. The total return for European SSLs was 8.73% in 2013, outpacing, as shown in Figure 1, both US SSLs and US high yield (HY) bonds and returned only marginally less than European HY bonds (an inherently more volatile asset class). The European SSL market has outperformed the US SSL market over the last 1, 3 and 5 years and marginally underperformed over 10 years.1
Over the year, the weighted average bid of the CS WELLI increased by €0.0552 or 6.1% to €0.9579. The indiscriminate search for yield resulted in the lower end of the credit spectrum outperforming over the year, with loans priced below €0.60 returning on average 28.7%, while higher quality loans priced over €0.90, returned 6.9% on average.1 Volatility was low, with all monthly returns positive except in June when the market trended lower (albeit modestly) as a result of the US Federal Reserve (Fed) Chairman, Ben Bernanke’s first reference to central stimulus reduction the month before. Despite the June decline, the CS WELLI returned 1.19% in the second quarter as shown in Figure 2, while the HY bond market returned -0.08%. In the month of June the performance difference was even starker SSLs returned -0.58% versus HY bonds which returned -2.10%. Obviously, the fixed coupon element of bonds as opposed to the floating interest rate nature of loans is a key driver of this variance. Volatility though does tend to be naturally lower in the loan space due to the reduced amount of ’fast’ retail money present in the market. European SSLs are not deemed ’eligible securities’ for UCITS purposes; as a result we estimate the retail investors only account for around 9% of the European loan market compared to 25-30% of the European HY market and 18-20% of the US SSL market.2
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
9
Invesco Zodiac Funds Invesco European Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013
Credit quality and defaults Investments in the European Senior Secured loans strategy continue to perform well and are able to meet their financial obligations as they become payable. We expect this to be true even if the consensus view of modest Eurozone GDP growth in 2014 does not eventuate. However, our base case remains a slow, sustained uptick in GDP rather than galloping growth, due to continued headwinds of fiscal tightening and financial deleveraging. As mentioned in previous quarters, this European economic resurgence should provide good opportunities for investment in the coming calendar quarters. Over 2013 there has been material decline in European default rates from 6.6% in 2012 to 2.9% at the end of December, a convergence to the rate seen in the US of 2.1% over the same period.1 A number of factors contributed to lowering the default rate. Firstly, corporates actively managed their financial obligations via covenant amendments and waivers as well as so called, ‘amend and extend’, transactions to push out maturities. Secondly, the yield starved HY bond market was eager to step into the shoes of lenders at the lower end of the risk spectrum and take out loans. Lastly, a number of large workouts, especially in the directories space, finally came to a conclusion. In December, Credit Suisse re-affirmed its European loan default rate outlook for 2014 of 2% to 4% - a range that we also support.3
Strategy positioning The strategy’s total return in the fourth quarter of 2013 amounted to 2.61%, 55bps ahead of the CS WELLI.2 The return was generated from the generic price increases led from the demand drivers mentioned previously as well as the high running coupon on new issuance. This performance brings the strategy’s year-to-date total return to 9.61%, 88bps ahead of the CS WELLI.2 The positive sentiment towards the asset class fuelled a rejuvenated primary issuance market. Primary issuance in the fourth quarter reached €12.3 billion - lower than the €14.98 billion seen in the previous quarter (due to the seasonal Christmas slowdown), but still 1.6 times the level of issuance in the same quarter last year.4 Our decline rate of these new deals was above 50%. Still, we were allocated €42 million over 19 companies (35% of the total portfolio size). We sold 45% of these allocations in the secondary market with a weighted average gain of 98bps.4
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
10
Invesco Zodiac Funds Invesco European Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013 For 2013 as a whole, total primary issuance of €37.3 billion (over 189 deals) was the most since 2007.4 This new deal flow offered lenders the unusual opportunity to have the ’best of both worlds’ in terms of risk and reward as borrowers had to offer an illiquidity premium in order to successfully negotiate significant structural changes in the buyer landscape. Specifically, the two largest traditional investors in Senior Secured loans, banks and collateralised loan obligations (CLOs), scaled back purchases in 2013 or became outright sellers due to the well documented regulatory pressures and the end of CLO reinvestment periods. We should note that we did see some demand from CLOs 2.0 (i.e. CLO’s which meet new regulations) towards the end of the year as asset managers found ways to meet the new ’skin in the game’ requirements where they are required to retain at least 5% of a CLO’s liability and/ or equity, and began issuing new deals. As the pre-cycle 2006 and 2007 vintage CLOs ended their six year reinvestment periods, their share of the primary institutional market fell to 49%, well below 2007 levels of 63%4 as shown in Figure 3.
In the face of the uncertainty shrouding the depth of capital markets, arrangers were left with little choice but to conservatively structure and price deals. As shown in Figure 4, Leveraged Buyout (LBO) senior and total leverage ended the year at 3.9 times and 4.7 times respectively, modestly above 2012 levels but well below pre-crisis levels.5 The same theme applied to LBO institutional margins which, at LIBOR/EURIBOR + 4.4%, were lower than 2012 but still 1.7 times higher than 2007 levels.5
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
11
Invesco Zodiac Funds Invesco European Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013
For the aforementioned reasons, the strategy’s focus remained invested, in our view, in high quality primary issuance. The weighted average market price of €101.17 at the end of December was €5.38 higher than the broader market. At the end of December, the strategy had a weighted average spread of EURIBOR + 4.83%, considerably higher than the index of EURIBOR +3.82%.2 We also remained active in the secondary market – albeit at a lower level. The strategy’s traded value in the fourth quarter decreased from €40.0 million over 33 trades (57% of portfolio) to €29.1 million over 20 trades (29% of portfolio). Sales outpaced buys at a ratio of 3.5:1 as we capitalised on the hot secondary market to harvest capital gains.
Outlook We expect 2014 to be another good year for European loans. Plentiful private equity cash is available for acquisitions. Along with refinancing of existing deals, this should provide a healthy stock of new issuance. Transitioning capital markets and the lack of a meaningful retail investor base should curtail the exuberant demand seen in other fixed income markets, helping to provide some balance between borrowers and lenders in terms of credit metrics and pricing. From a secondary perspective, we expect the market to remain well supported from institutional fund flows, particularly as more investors look to move into floating instruments, as well as from modest issuance in the CLO 2.0 market. Market prices are expected to remain range-bound and possibly move up on the back of this strong demand. 1
Credit Suisse as of 31 December 2013 Invesco as of 31 December 2013 3 Credit Suisse 2014 Outlook for Western European High Yield and Leveraged Loans as of 31 December 2013 4 S&P LCD European Leverage Lending Review as of 31 December 2013 5 S&P LCD European Leverage Buyout Review as of 31 December 2013 2
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
12
Invesco Zodiac Funds Invesco European Senior Loan Fund Investment Adviser’s Report (continued) 31 December 2013
17 February 2014
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
13
Invesco Zodiac Funds Invesco Global Senior Loan Fund Investment Adviser’s Report 31 December 2013 The Invesco Global Senior Loan Fund was launched on 29 November 2013. At 31 December 2013, the performance of the Class G units were +0.51% since its inception. The sub-fund’s investment objective is to provide a high level of current income, consistent with the preservation of capital, by investing directly in adjustable rate senior loans worldwide (including Asia Pacific) and/or indirectly through Underlying Portfolios as defined hereinafter with exposure to the Senior Loans markets worldwide. The indirect investments are obtained through an active allocation of the sub-fund’s assets between the other subfunds of the Trust and/or other Undertakings for Collective Investment initiated by the Invesco Group exposed to Senior Loans (the “Underlying Portfolios”). The sub-fund invests (directly and indirectly) primarily in senior, secured loans to non-investment grade corporations with interest rates that float at a spread above LIBOR or EURIBOR, resets about every 60 days. The sub-fund’s team seeks loans to companies which, in the judgment of the analyst team, have excellent management teams, consistent and dependable sources of cash flow and reliable collateral packages providing a second source of repayment. To manage risk, the team keeps indirectly the portfolio of the sub-fund broadly diversified and generally avoids industries they believe to be fundamentally flawed or speculative.
17 February 2014
Note: Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such statements are based on management’s beliefs as well as assumptions made by and information currently available to management.
14
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
NET ASSETS %
TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR DEALT IN ON ANOTHER REGULATED MARKET COMMON STOCKS 0.00% CANADA Mega Brands, Inc.
USD
4,993
Total Common Stocks
71,493
0.00
71,493
0.00
CORPORATE BONDS 6.51% CANADA Tervita Corp.
USD
1,949,000
8.00
15/11/2018
2,022,087
0.06
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
1,912,000 200,000 314,000 1,800,000 2,810,000 3,277,500 4,135,004 5,000,000 355,000 4,130,000 105,000 3,000,000 1,326,000 5,598,000 1,649,000 3,997,000 1,625,000 562,000 685,000 3,810,000 2,230,000 2,995,454 1,044,234 84,000 28,000 1,757,000 578,000 584,000 133,000 1,306,000 2,452,000 5,142,400 3,426,000 778,000 3,325,000 3,031,000 1,102,286 2,761,000 1,245,000 5,598,000 591,000 559,000 1,458,000 942,000 2,194,000 4,330,000 2,150,000 463,000 499,000 1,400,000
4.99 3.84 4.51 6.49 6.49 5.52 6.74 5.00 3.25 4.78 9.18 5.24 3.50 4.74 6.49 5.74 4.41 3.84 3.84 5.26 6.24 5.01 5.01 2.09 2.09 5.74 3.84 3.75 4.45 6.09 6.02 2.24 4.74 4.74 5.75 5.02 3.85 6.01 4.87 5.49 3.99 4.00 5.76 5.99 5.25 5.52 5.15 3.74 6.63 7.25
21/12/2018 20/01/2019 14/05/2020 30/10/2022 30/10/2022 17/01/2023 15/07/2023 20/10/2025 11/10/2021 16/07/2025 08/06/2019 28/02/2024 18/01/2021 18/01/2025 20/07/2023 14/10/2024 11/03/2021 16/05/2019 16/05/2019 15/11/2025 17/07/2023 10/06/2021 10/06/2021 26/01/2020 26/01/2020 17/07/2023 24/04/2021 13/12/2020 14/06/2022 15/10/2022 15/10/2023 15/04/2024 18/01/2026 21/10/2024 15/12/2024 15/07/2025 22/03/2021 18/05/2023 25/10/2025 16/12/2024 15/08/2021 16/10/2020 17/08/2022 09/01/2023 16/04/2022 17/01/2025 15/10/2025 22/01/2021 01/07/2020 15/11/2021
1,898,242 189,974 300,967 1,819,423 2,840,321 3,139,304 4,134,131 4,583,154 347,292 3,767,978 106,701 2,829,806 1,211,482 5,016,200 1,652,019 3,876,547 1,465,092 531,924 648,341 3,547,927 2,216,110 2,872,908 1,001,514 81,479 27,160 1,713,235 529,837 537,582 124,826 1,300,772 2,422,105 4,849,420 3,074,938 699,921 3,190,767 2,786,543 1,059,184 2,720,290 1,127,515 5,290,726 536,288 511,412 1,421,626 931,311 2,082,612 4,149,233 2,006,931 436,104 532,682 1,526,000
0.06 0.01 0.01 0.05 0.08 0.09 0.12 0.13 0.01 0.11 0.00 0.08 0.04 0.15 0.05 0.11 0.04 0.02 0.02 0.10 0.06 0.08 0.03 0.00 0.00 0.05 0.02 0.02 0.00 0.04 0.07 0.14 0.09 0.02 0.09 0.08 0.03 0.08 0.03 0.15 0.02 0.01 0.04 0.03 0.06 0.12 0.06 0.01 0.02 0.04
95,667,856
2.77
CAYMAN ISLANDS Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Apidos CDO (a) Ares CLO Ltd. (a) Atrium CDO Corp. (a) Atrium CDO Corp. Atrium CDO Corp. (a) Babson CLO Ltd. (a) Babson CLO Ltd.(a) Carlyle Global Market Strategies (a) Carlyle Global Market Strategies (a) Cent CDO Ltd. (a) Columbus Nova CLO Ltd. (a) Columbus Nova CLO Ltd. (a) Dryden Senior Loan Fund (a) Dryden XXIII Senior Loan Fund (a) Flagship CLO (a) Flagship CLO (a) Four Corners CLO (a) Four Corners CLO (a) Gramercy Park CLO Ltd. (a) Halcyon Loan Investors CLO, Inc.(a) ING Investment Management Co.(a) ING Investment Management Co. (a) ING Investment Management Co. (a) ING Investment Management Co. (a) ING Investment Management Co. (a) ING Investment Management Co. (a) Keuka Park CLO Ltd. (a) KKR Financial CLO Ltd. (a) KKR Financial CLO Ltd. (a) Madison Park Funding Ltd. (a) Marine Park CLO Ltd.(a) Octagon Investment Partner (a) Octagon Investment Partner (a) Pacifica CDO Ltd. (a) Silverado CLO Ltd. (a) Slater Mill Loan Fund LP (a) Symphony CLO Ltd. (a) Symphony CLO Ltd. (a) Symphony CLO Ltd. (a) Symphony CLO Ltd. (a) Sierra CLO Ltd. (a) UPCB Finance III Ltd. UPCB Finance V Ltd. Total Cayman Islands GERMANY Ceramtec Group GmbH
EUR
1,125,000
8.25
15/08/2021
1,686,951
0.05
EUR
2,000,000
8.50
15/01/2018
2,937,118
0.09
FRANCE Labco SAS (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 15
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
NET ASSETS %
TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR DEALT IN ON ANOTHER REGULATED MARKET CORPORATE BONDS (continued) IRELAND Ardagh Packaging Finance PLC Ardagh Packaging Finance PLC
USD USD
3,000,000 792,000
7.38 7.00
15/10/2017 15/11/2020
Total Ireland
3,236,250 803,880
0.09 0.02
4,040,130
0.11
3,353,200 3,727,500 2,247,188 273,920
0.10 0.11 0.07 0.01
9,601,808
0.29
560,880 277,980 1,152,875
0.02 0.01 0.03
LUXEMBOURG Pacific Drilling S.A. Wind Acquisition Finance S.A. Wind Acquisition Finance S.A. Wind Acquisition Finance S.A.
USD USD USD USD
3,320,000 3,500,000 2,125,000 256,000
5.38 11.75 7.25 6.50
01/06/2020 15/07/2017 15/02/2018 30/04/2020
Total Luxembourg NETHERLANDS Schaeffler Finance B.V. Schaeffler Finance B.V. Schaeffler Finance B.V.
USD USD USD
492,000 246,000 1,150,000
7.75 8.50 4.75
15/02/2017 15/02/2019 15/05/2021
Total Netherlands
1,991,735
0.06
UNITED KINGDOM Ineos Finance PLC Ineos Finance PLC Odeon & Uci Finco PLC Virgin Media Finance PLC
USD USD GBP USD
107,000 107,000 3,000,000 1,000,000
7.50 8.38 9.00 6.38
01/05/2020 15/02/2019 01/08/2018 15/04/2023
Total United Kingdom
117,834 119,439 5,042,367 1,022,500 6,302,140
0.00 0.00 0.15 0.03 0.18
UNITED STATES Accellent, Inc. Accellent, Inc. ADT Corp. Avis Budget group, Inc. (a) Biomet, Inc. Blackboard, Inc. Caesars Entertainment Operating Caesars Entertainment Operating Calpine Corp. Calpine Corp. Calpine Corp. CCO Holdings LLC Chiquita Brands International, Inc. CHS / Community Health System, Inc. Claire's Stores, Inc. DJO Finance LLC First Data Corp. Freescale Semiconductor, Inc. Goodman Networks, Inc. Goodman Networks, Inc. Goodyear Tire & Rubber Co. Hexion US Finance Corp. Kinder Morgan, Inc. Kindred Healthcare, Inc. Kinetic Concepts, Inc. NGPL PipeCo. LLC NRG Energy, Inc. NRG Energy, Inc. Reynolds Group Issuer, Inc. Reynolds Group Issuer, Inc. Reynolds Group Issuer, Inc. Reynolds Group Issuer, Inc. Sinclair Television Group, Inc. Taminco Global Chemical Corp. Tenet Healthcare Corp. United Airlines, Inc. Univision Communications, Inc. Univision Communications, Inc. Verso Paper Holding LLC Western Refining, Inc. Windstream Corp. Windstream Corp.
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
706,000 2,504,000 2,583,000 2,000,000 309,000 5,287,000 615,000 1,353,000 1,017,000 391 1,183,582 363 379,000 4,940,000 1,464,000 643,000 4,287,000 707,000 4,266,000 5,425,000 1,289,000 8,238,000 2,698,000 4,552,000 1,913,000 315,000 523,000 1,503,000 1,687,000 233,000 417,000 19,353,000 1,405,000 257,000 2,130,000 2,250,000 2,000,000 2,539,000 742,000 190,000 759,000 16,000
10.00 8.38 6.25 1.00 6.50 7.75 8.50 9.00 6.00 7.88 7.50 7.00 7.88 5.13 9.00 8.75 6.75 6.00 12.13 13.13 6.50 6.63 5.00 8.25 10.50 9.63 6.63 7.63 9.88 6.88 7.88 5.75 6.38 9.75 6.00 6.75 6.88 6.75 11.75 6.25 7.50 6.38
01/11/2017 01/02/2017 15/10/2021 01/12/2017 01/08/2020 15/11/2019 15/02/2020 15/02/2020 15/01/2022 15/01/2023 15/02/2021 15/01/2019 01/02/2021 15/08/2018 15/03/2019 15/03/2018 01/11/2020 15/01/2022 01/07/2018 01/07/2018 01/03/2021 15/04/2020 15/02/2021 01/06/2019 01/11/2018 01/06/2019 15/03/2023 15/05/2019 15/08/2019 15/02/2021 15/08/2019 15/10/2020 01/11/2021 31/03/2020 01/10/2020 15/09/2015 15/05/2019 15/09/2022 15/01/2019 01/04/2021 01/06/2022 01/08/2023
Total United States Total Corporate Bonds (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 16
732,475 2,629,200 2,715,379 2,020,000 325,995 5,273,782 593,859 1,322,557 1,047,510 429 1,297,502 383 411,215 5,112,900 1,595,760 708,908 4,479,915 717,605 4,521,960 5,750,500 1,372,785 8,485,140 2,670,982 4,870,640 2,209,515 309,487 529,537 1,596,938 1,885,223 252,223 462,870 19,836,825 1,461,200 292,980 2,227,181 2,331,563 2,147,500 2,792,900 790,230 192,375 779,873 15,040
0.02 0.08 0.08 0.06 0.01 0.15 0.02 0.04 0.03 0.00 0.04 0.00 0.01 0.15 0.05 0.02 0.13 0.02 0.13 0.17 0.04 0.25 0.08 0.14 0.06 0.01 0.02 0.05 0.06 0.01 0.01 0.58 0.04 0.01 0.07 0.07 0.06 0.08 0.02 0.01 0.02 0.00
98,770,841
2.90
223,020,666
6.51
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
NET ASSETS %
TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR DEALT IN ON ANOTHER REGULATED MARKET MUTUAL FUNDS 0.09% UNITED STATES Apollo Senior Floating Rate Fund, Inc. Eaton Vance Senior Income Trust ING Prime Rate Trust LMP Corporate Loan Fund, Inc Nuveen Floating Rate Income Fund
USD USD USD USD USD
30,000 75,366 96,685 45,354 44,832
Total United States Total Mutual Funds
543,000 520,779 562,707 554,679 534,397
0.02 0.01 0.02 0.02 0.02
2,715,562
0.09
2,715,562
0.09
362,596
0.01
WARRANTS 0.01% UNITED STATES Tribune Co.
USD
4,771
Total warrants
362,596
0.01
OTHER TRANSFERABLE SECURITIES COMMON STOCKS 0.15% UNITED STATES BLB Worldwide Holdings, Inc. Building Materials Holding Co. Merrill Common Class A Metro-Goldwyn Mayer Studio Natural Products Group, Inc. RJO Lender JV A RJO Lender JV B RTS Investor Corp. Tribune Co.
USD USD USD USD USD USD USD USD USD
6,686 338,908 60,014 34,936 187 59 167 108 4,032
168,821 2,033,448 195,046 2,349,446 11,706 29 83 1,083 312,077
0.00 0.06 0.01 0.07 0.00 0.00 0.00 0.00 0.01
Total United States
5,071,739
0.15
Total Common Stocks
5,071,739
0.15
PREFERRED STOCKS 0.00% UNITED STATES RTS Investor Corp.
USD
32
2,563
Total Preferred Stocks
2,563
0.00
0.00
CORPORATE BONDS 0.03% UNITED KINGDOM TiZir Ltd.
USD
600,000
9.00
28/09/2017
USD
483,064
10.00
08/03/2023
625,500
0.02
UNITED STATES Merrill Communications LLC Total Corporate Bonds
449,250
0.01
1,074,750
0.03
TERM LOANS (a) 88.46% AUSTRALIA Nine Entertainment Group Pty Ltd.
USD
4,292,726
2.50
05/02/2020
4,287,360
0.13
USD USD USD USD USD USD USD
4,189,190 2,648,143 469,859 120,197 11,963,811 7,550,643 4,792,883
2.75 5.25 3.00 3.00 3.75 3.25 3.25
27/06/2020 28/12/2020 06/11/2020 08/11/2020 04/11/2020 29/06/2018 05/06/2020
4,208,838 2,720,967 471,988 120,741 12,169,026 7,613,759 4,840,812
0.12 0.08 0.01 0.00 0.36 0.22 0.14
CANADA Four Seasons Holdings, Inc. Four Seasons Holdings, Inc. Garda World Security Corp. Garda World Security Corp. Hudsons Bay Co. Husky Injection Molding Systems Ltd. WNA Holdings, Inc. (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 17
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
2.50 5.00 3.75 3.00
17/08/2020 15/05/2018 05/08/2020 11/12/2019
4,024,046 11,894,644 2,015,626 11,003,905
0.12 0.35 0.06 0.32
61,084,352.00
1.78
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) CANADA (continued) Quebecor Media, Inc. Tervita Corp. Valeant Pharmaceuticals International, Inc. Valeant Pharmaceuticals International, Inc.
USD USD USD USD
4,046,809 11,831,782 2,000,000 10,909,418
Total Canada DENMARK ISS Holdings A/S
USD
1,418,957
2.75
30/04/2018
1,425,609
0.04
USD
4,535,976
5.25
18/12/2020
4,558,656
0.13
USD USD EUR USD USD
2,004,993 6,591,806 2,666,667 4,254,660 6,589,051
3.25 3.25 4.50 3.00 3.25
28/08/2020 31/08/2020 30/09/2020 14/08/2020 27/01/2017
2,017,524 6,633,004 3,663,946 4,291,888 6,654,118
0.06 0.19 0.11 0.13 0.19
23,260,480
0.68
FRANCE FCI S.A. GERMANY Faenza Acquisition GmbH Faenza Acquisition GmbH GHD Manadis Mbh Minimax GmbH & Co. KG Schaeffler AG Total Germany ITALY Wind Telecomunicazioni SpA
EUR
4,000,000
4.25
27/11/2017
5,516,841
0.16
USD USD USD USD USD USD USD USD EUR USD USD EUR EUR
1,641,835 1,702,003 27,862,244 842,573 973,004 11,120,963 7,583,528 6,133,971 4,500,000 9,977,718 5,919,722 973,684 276,316
9.25 4.00 3.50 6.25 6.25 2.75 3.25 3.25 3.50 3.50 3.25 4.50 4.50
29/04/2019 27/04/2018 30/04/2019 31/12/2016 31/12/2016 30/06/2019 22/05/2020 28/06/2019 15/01/2020 04/06/2018 17/12/2020 12/08/2020 12/08/2020
1,686,985 1,719,023 28,173,214 843,539 974,119 11,232,173 7,652,257 6,163,365 6,239,287 10,098,278 5,944,390 1,359,589 385,829
0.05 0.05 0.82 0.02 0.03 0.33 0.22 0.18 0.18 0.30 0.18 0.04 0.01
82,472,048
2.41
5,196,274 4,448,096 1,346,199 5,508,878 20,790,257 9,117,713 718,138 1,206,687
0.15 0.13 0.04 0.16 0.61 0.27 0.02 0.04
48,332,242
1.42
19,191,106 5,925,306
0.56 0.17
25,116,412
0.73
LUXEMBOURG August LuxUK Holding Co. S.a r.l. August LuxUK Holding Co. S.a r.l. Delta 2 (Lux) S.a r.L. Flint Group S.A. Flint Group S.A. Intelsat Jackson Holdings S.A. ION Trading Technologies S.a r.l. Merlin Entertainment Group Luxembourg 2 S.a.r.l. OXEA Finance S.a.r.l. Pacific Drilling S.A. Santander Asset Management Finance Lux S.a r.l. Soppa Investments S.a.r.l. Soppa Investments S.a r.l. Total Luxembourg NETHERLANDS CDS Holdco III B.V. Intertrust Group Holding B.V. Intertrust Group Holding B.V. Oak Leaf B.V. UPC Financing Partnership UPC Financing Partnership UPC Financing Partnership UPC Broadband Holding B.V.
EUR EUR USD EUR EUR USD USD EUR
3,750,000 3,200,000 1,341,170 3,947,368 15,000,000 9,121,991 713,382 871,426
4.75 4.50 4.50 3.50 3.75 2.50 3.00 3.75
30/09/2020 02/04/2020 02/04/2020 24/09/2018 31/03/2021 30/06/2021 29/01/2021 31/12/2016
Total Netherlands NORWAY Drillships Financing Holding, Inc. Drillships Financing Holding, Inc.
USD USD
18,734,454 5,826,975
5.00 4.50
31/03/2021 15/07/2016
Total Norway SWEDEN Hilding Anders International AB
EUR
4,030,000
5.50
29/06/2018
5,405,467
0.16
EUR
10,000,000
5.00
28/06/2019
13,585,031
0.40
SWITZERLAND Infront Sports & Media AG (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 18
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
4.75 3.50 3.50 4.75 3.50 5.25 3.25 5.00 4.50 2.75
09/07/2018 10/07/2017 10/07/2017 09/07/2018 10/07/2017 28/02/2020 04/05/2018 19/06/2020 29/07/2020 08/06/2020
818,704 1,958,391 1,489,761 2,830,950 12,423,077 4,841,929 10,048,591 11,205,606 3,023,763 17,517,669
0.02 0.06 0.04 0.08 0.36 0.14 0.30 0.33 0.09 0.51
66,158,441
1.93
8,651,897 7,067,888 1,666,480 17,888,074 5,782,209 12,067,471 287,096 157,727 8,561,521 1,860,533 8,570,705 1,454,526 2,734,814 2,180,872 3,461,908 414,189 366,530 4,231,407 2,195,474 6,454,020 3,240,825 15,303,077 2,959,472 126,651 964,961 7,544,262 26,725,970 170,512 5,074,503 13,476,711 2,916,684 7,273,714 1,864,095 996,325 4,682,885 1,254,944 20,231,579 4,658,032 61,758,594 26,845,632 3,326,036 2,258,239 4,546,798 2,150,112 552,376 2,008,704 4,418,259 47,099,568 2,740,827 17,483,469 2,905,856 13,332,945 3,189,078 1,184,763 5,132,740 904,828 25,823,554 17,639,029 16,076,945 4,468,860 3,267,041 7,092,130 6,542,050 3,547,718 1,439,103 3,230,180 3,064,556 334,105 10,825,478 2,663,397 2,250,092
0.25 0.21 0.05 0.52 0.17 0.35 0.01 0.00 0.25 0.05 0.25 0.04 0.08 0.06 0.10 0.01 0.01 0.12 0.06 0.19 0.09 0.45 0.09 0.00 0.03 0.22 0.78 0.00 0.15 0.39 0.08 0.21 0.05 0.03 0.14 0.04 0.59 0.14 1.80 0.78 0.10 0.07 0.13 0.06 0.02 0.06 0.13 1.38 0.08 0.51 0.08 0.39 0.09 0.03 0.15 0.03 0.75 0.51 0.47 0.13 0.10 0.21 0.19 0.10 0.04 0.09 0.09 0.01 0.32 0.08 0.07
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED KINGDOM Alliance Boots Holdings Ltd. Alliance Boots Holdings Ltd. Alliance Boots Holdings Ltd. Alliance Boots Holdings Ltd. Alliance Boots Holdings Ltd. BCA Holdings Ltd. Ineos Finance PLC PAM Acquisition Co. Ltd. United Biscuits UK Ltd. Virgin Media Investment Holdings Ltd.
EUR EUR EUR GBP GBP GBP EUR GBP GBP USD
590,688 1,419,885 1,080,115 1,700,000 7,500,000 2,916,667 7,203,800 6,750,000 1,800,000 17,459,477
Total United Kingdom UNITED STATES 24 Hour Fitness Worldwide, Inc. ABC Supply Co., Inc. Academy Ltd. Activision Blizzard, Inc. ADS Waste Holdings, Inc. AdvancePierre Foods, Inc. AdvancePierre Foods, Inc. Advantage Sales & Marketing, Inc. Aeroflex, Inc. Affinion Group Intermediate Holdings, Inc. Air Distribution Tech, Inc. Alere, Inc. Alere, Inc. Alere, Inc. Allegion US Holding Company, Inc. Alliance Laundry Systems LLC Allnex USA, Inc. Allnex USA, Inc. Allnex USA, Inc. Alpha Natural Resource, Inc. AMC Entertainment, Inc. American Airlines, Inc. American Petroleum Tankers LLC Ameriforge Group, Inc. AMN Healthcare, Inc. Apex Tool Group LLC Apria Healthcare Group, Inc. Aramark Corp. Aramark Corp. Aramark Corp. Aramark Corp. Arch Coal, Inc. Ardagh Holdings USA, Inc. ARG IH Corp. Arris Group, Inc. Arysta LifeScience Corp. Arysta LifeScience Corp. Ascend Performance Materials LLC Asurion LLC Asurion LLC ATI Holdings, Inc. Atlantic Broadband Finance LLC Atlas Energy LP Audio Visual Services Group, Inc. August US Holding Company, Inc. August US Holding Company, Inc. Autoparts Holdings Ltd. Avaya, Inc. Avaya, Inc. Axalta Coating Systems US Holdings Inc. Azure Midstream Energy LLC Bally Technologies, Inc. BBB Industries LLC Belden Finance 2013 LP Berlin Packaging LLC Berlin Packaging LLC Berry Plastics Holding Corp. Biomet, Inc. Blackboard, Inc. Blue Coat Systems, Inc. BMC Software Finance, Inc. Booz Allen Hamilton, Inc. Boyd Gaming Corp. Brickman Group Ltd. LLC Brickman Group Ltd. LLC Bright Horizons Family Solutions, Inc. Britax US Holdings, Inc. Brock Holdings III, Inc. Bronco Midstream Funding LLC Buffalo Gulf Coast Terminals LLC Bway Holding Co., Inc.
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
8,548,605 7,044,226 1,652,665 17,750,261 5,741,707 12,197,065 295,975 155,492 8,477,660 1,837,564 8,517,471 1,442,580 2,713,613 2,162,289 3,448,974 408,320 354,563 4,186,921 2,172,392 6,553,136 3,231,592 15,165,631 2,947,191 125,656 963,756 7,491,351 26,593,005 170,140 5,063,425 13,429,145 2,899,193 7,360,196 1,850,218 989,829 4,691,682 1,232,240 20,076,826 4,814,504 61,708,857 27,297,737 3,307,415 2,261,065 4,425,108 2,134,106 537,592 1,988,816 4,444,182 48,163,155 2,701,986 17,336,593 2,878,867 13,222,864 3,173,212 1,179,440 5,094,531 881,684 25,896,375 17,477,953 15,883,358 4,446,627 3,245,546 7,062,116 6,498,723 3,530,068 1,404,430 3,208,621 3,053,106 332,236 10,639,290 2,637,027 2,233,803
4.00 2.75 3.00 2.50 3.00 4.50 8.25 7.25 3.50 3.50 3.25 3.25 3.25 3.25 2.25 8.25 7.00 3.25 3.25 2.75 2.75 3.00 3.50 3.75 3.00 3.25 5.50 0.15 3.50 3.50 3.00 5.00 3.25 4.00 2.75 7.00 3.50 5.50 3.25 2.75 4.00 2.50 5.50 5.50 9.25 4.00 5.00 4.50 6.75 3.50 5.50 3.25 4.25 2.50 3.50 7.50 2.50 3.50 3.75 3.50 4.00 3.00 3.00 3.00 6.75 3.00 3.50 4.50 4.00 4.00 3.25
22/04/2016 16/04/2020 03/08/2018 12/10/2020 09/10/2019 10/07/2017 10/10/2017 18/06/2018 11/11/2019 27/04/2020 09/11/2018 30/06/2017 30/06/2017 30/06/2017 30/09/2020 10/12/2019 03/04/2020 03/10/2019 03/10/2019 22/05/2020 30/04/2020 27/06/2019 02/10/2019 19/12/2019 05/04/2018 31/01/2020 05/04/2020 26/07/2016 26/07/2016 26/07/2016 09/09/2019 16/05/2018 17/12/2019 15/11/2020 17/04/2020 30/11/2020 29/05/2020 10/04/2018 24/05/2019 08/07/2020 20/12/2019 02/12/2019 31/07/2019 09/11/2018 29/04/2019 27/04/2018 28/07/2017 26/10/2017 30/03/2018 01/02/2020 15/11/2018 25/11/2020 27/03/2019 02/10/2020 02/04/2019 02/04/2020 07/02/2020 25/07/2017 04/10/2018 31/05/2019 10/09/2020 31/07/2019 14/08/2020 18/12/2020 17/12/2021 30/01/2020 15/10/2020 16/03/2017 17/08/2020 31/10/2017 07/08/2017
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 19
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
4.25 2.25 2.50 3.00 3.00 7.25 3.75 4.75 6.25 4.75 8.75 5.00 3.00 3.25 6.25 3.50 4.25 2.75 2.25 2.50 2.50 4.00 5.00 2.75 3.25 2.25 4.50 7.25 3.50 3.00 7.00 6.00 3.65 6.75 7.50 6.00 3.50 5.25 3.75 3.75 3.75 6.00 3.50 3.50 3.00 6.00 3.50 7.50 2.50 2.50 3.75 5.00 5.00 3.75 2.50 2.00 4.50 3.00 2.75 3.00 3.75 6.00 3.75 3.50 4.25 3.75 4.25 3.50 4.50 3.00 2.50 5.50 3.75 2.50 3.75 3.25 3.25 3.25
26/01/2018 03/05/2020 31/01/2022 30/10/2020 09/10/2019 30/11/2019 31/05/2019 20/02/2020 18/06/2018 02/10/2018 02/10/2019 30/04/2020 10/04/2019 21/01/2019 01/05/2019 15/09/2016 12/10/2020 29/03/2021 29/04/2020 06/03/2020 22/05/2020 20/02/2019 13/02/2017 14/02/2019 28/08/2020 01/07/2020 01/12/2017 30/05/2020 02/12/2019 18/12/2019 23/06/2017 24/06/2015 29/01/2016 30/01/2019 30/07/2019 09/10/2019 25/01/2017 13/07/2018 03/07/2019 16/04/2020 16/10/2020 19/06/2019 09/03/2020 10/10/2019 23/11/2020 22/11/2021 20/12/2019 21/12/2020 31/01/2019 17/04/2020 03/07/2020 02/11/2018 02/11/2018 11/10/2019 01/11/2017 21/04/2016 13/07/2017 08/03/2018 29/10/2018 18/10/2018 10/10/2018 26/07/2018 15/09/2017 01/11/2018 09/04/2020 04/05/2018 31/08/2020 23/04/2020 07/07/2016 23/04/2020 02/11/2018 18/05/2018 27/03/2020 29/05/2020 27/08/2020 31/01/2020 21/12/2018 31/12/2019
11,312,002 9,605,693 3,200,593 2,859,597 9,231,253 343,816 4,720,988 8,615,417 4,397,791 5,459,551 269,888 4,199,546 6,219,829 2,996,003 6,191,072 1,991,378 4,607,399 1,673,869 16,974,589 3,336,976 4,689,592 1,907,610 13,683,454 6,253,785 653,116 9,792,697 24,027,612 1,070,994 3,854,619 12,380,006 938,381 1,748,952 508,225 47,913,373 9,541,371 8,598,387 8,288,360 1,319,105 7,358,953 2,042,033 1,308,709 2,313,629 7,576,731 2,752,142 8,224,875 2,078,453 5,408,067 533,156 13,245,050 17,990,840 7,810,591 6,564,057 2,975,706 742,152 4,764,350 850,586 660,241 9,821,902 23,595,759 16,696,510 12,410,719 6,977,759 20,191,137 16,761,760 8,849,114 1,772,465 5,231,046 1,159,547 1,974,619 10,487,102 1,776,170 1,564,887 3,370,530 8,789,750 6,266,133 586,242 4,658,697 4,716,888
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) Caesars Entertainment Operating Co. Calpine Construction Finance Co. LP Calpine Construction Finance Co. LP Calpine Corp. Calpine Corp. Camp Systems International, Inc. Camp Systems International, Inc. Camping World, Inc. Candy Intermediate Holdings, Inc. Cannery Casino Resorts LLC Cannery Casino Resorts LLC Capital Automotive LP Capital Automotive LP Capital Safety North America holdings, Inc. Caraustar Industries, Inc. Catalent Pharma Solutions, Inc. Catalina Marketing Corp. CB Richard Ellis Services, Inc. CDW LLC Cedar Fair LP Cellular South, Inc. Centaur Acquisition LLC Cenveo Corp. Cequel Communications LLC CeramTec Acquisition Corp. Charter Communications Operating LLC Chesapeake Energy Corp. Chromaflo Technologies Corp. Chromaflo Technologies Corp. Cinemark USA, Inc. Citgo Petroleum Corp. Citgo Petroleum Corp. Clear Channel Communications, Inc. Clear Channel Communications, Inc. Clear Channel Communications, Inc. Collective Brands Finance, Inc. Community Health System, Inc. Connolly Holdings, Inc. Consolidated Container Company LLC Cooper Gay Swett & Crawford Ltd. Cooper Gay Swett & Crawford Ltd. Crestwood Holdings LLC Cricket Communications, Inc. Cricket Communications, Inc. Crosby US Acquisition Corp. Crosby US Acquisition Corp. Crossmark Holdings, Inc. Crossmark Holdings, Inc. Crown Castle International Corp. CSC Holdings LLC CSM Bakery Supplies LLC DAE Aviation Holdings, Inc. DAE Aviation Holdings, Inc. David's Bridal, Inc. Davita, Inc. Dealer Computer Services, Inc. DEI Sales, Inc. Del Monte Foods Co. Dell, Inc. Delta Air Lines, Inc. Deltek, Inc. Digital Generation, Inc. DJO Finance LLC Dole Food Co., Inc. Doncasters Finance US LLC Drumm Investors LLC DS Waters of America, Inc. Duff & Phelps Investment Management Co. Dyncorp Internstional LLC Dynegy Holdings, Inc. Emdeon Business Services, LLC Emerald Performance Materials LLC EMG Utica LLC Entravision Communications Corp. Epiq Systems, Inc. Equinox Holdings, Inc. Equipower Resources Holdings LLC Equipower Resources Holdings LLC
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
11,822,819 9,661,245 3,227,826 2,837,254 9,154,329 336,250 4,682,939 8,551,283 4,633,317 5,479,413 290,723 4,057,532 6,164,924 2,982,490 6,029,041 1,979,418 4,543,504 1,665,886 17,005,403 3,317,980 4,695,461 1,886,399 13,581,592 6,229,937 649,059 9,865,147 23,498,887 1,060,391 3,840,219 12,325,233 926,796 1,733,782 523,202 50,040,076 9,662,148 8,546,085 8,216,466 1,313,359 7,295,121 2,089,036 1,399,689 2,246,242 7,549,770 2,739,587 8,190,745 2,041,452 5,431,831 535,163 13,215,012 18,141,487 7,774,146 6,495,047 2,944,421 738,460 4,750,000 847,155 670,296 9,782,634 23,515,735 16,599,304 12,343,852 6,937,293 19,941,864 16,668,002 8,721,019 1,802,889 5,141,077 1,158,582 1,954,462 10,411,184 1,769,167 1,553,238 3,353,762 8,881,335 6,266,133 581,157 4,631,197 4,691,474
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 20
0.33 0.28 0.09 0.08 0.27 0.01 0.14 0.25 0.13 0.16 0.01 0.12 0.18 0.09 0.18 0.06 0.13 0.05 0.50 0.10 0.14 0.06 0.40 0.18 0.02 0.29 0.70 0.03 0.11 0.36 0.03 0.05 0.01 1.40 0.28 0.25 0.24 0.04 0.21 0.06 0.04 0.07 0.22 0.08 0.24 0.06 0.16 0.02 0.39 0.53 0.23 0.19 0.09 0.02 0.14 0.02 0.02 0.29 0.69 0.49 0.36 0.20 0.59 0.49 0.26 0.05 0.15 0.03 0.06 0.31 0.05 0.05 0.10 0.26 0.18 0.02 0.14 0.14
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
3.75 2.50 4.00 4.25 7.25 6.25 1.94 1.94 4.50 2.88 7.13 7.25 3.50 4.00 4.00 4.00 3.25 3.75 3.75 3.25 2.75 3.50 3.00 2.75 2.50 3.50 3.50 3.75 3.75 3.75 3.50 3.50 6.00 2.50 3.75 5.50 5.25 2.75 3.25 2.75 2.75 4.50 2.75 5.25 2.75 3.00 3.00 8.50 4.25 2.75 3.00 2.75 4.00 3.75 4.00 5.25 3.00 2.75 2.75 2.75 3.00 5.75 3.25 2.75 2.50 2.75 3.75 5.75
09/07/2019 26/11/2020 19/08/2019 08/05/2019 03/04/2018 14/02/2019 28/12/2015 29/12/2014 03/04/2019 28/09/2018 30/09/2020 21/11/2021 21/11/2020 24/03/2017 24/09/2018 23/03/2018 21/02/2018 28/02/2020 15/01/2021 30/07/2020 31/05/2020 13/11/2020 07/02/2020 30/08/2019 03/04/2020 18/10/2019 18/10/2017 22/05/2020 30/04/2019 15/10/2019 06/08/2020 02/05/2018 10/04/2017 05/06/2020 26/06/2019 11/07/2014 26/01/2018 31/03/2017 12/10/2017 16/11/2018 12/03/2018 18/06/2020 26/10/2020 03/01/2018 01/08/2019 20/12/2019 15/10/2020 31/12/2015 16/06/2016 01/09/2017 04/05/2018 03/06/2020 05/04/2018 30/09/2020 18/12/2020 08/05/2017 07/03/2018 30/09/2020 25/05/2018 18/09/2020 30/06/2017 11/07/2019 03/04/2017 19/05/2017 17/05/2021 10/06/2016 09/05/2018 15/08/2019
4,871,085 1,798,329 6,834,406 3,437,070 10,887,882 12,981,060 8,467,459 17,502,327 581,058 5,952,443 5,628,090 1,092,073 2,154,128 5,449,853 5,012,845 34,682,394 3,891,113 29,041,330 14,513,889 6,651,347 1,642,255 1,440,354 1,239,156 3,187,878 521,286 7,264,626 1,394,381 3,738,120 4,820,024 937,713 4,335,946 1,774,725 9,694,202 26,378,857 3,115,324 1,136,151 6,589,064 13,893,439 4,848,002 14,199,847 2,006,855 7,678,718 49,449,795 6,389,692 3,134,191 8,786,020 30,672,639 965,658 2,711,499 10,467,685 11,508,387 12,864,791 2,267,562 4,482,077 13,136,829 4,556,992 10,291,791 6,521,806 7,527,291 4,689,870 455,243 3,695,580 3,364,806 2,243,076 5,592,656 197,693 4,727,297 2,724,823
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) Evergreen Acqco 1 LP EW Scripps Co. Exco Resources, Inc. Exopack LLC Expert Global Solutions, Inc. Fairpoint Communications, Inc. Federal-Mogul Corp. Federal-Mogul Corp. Fender Musical Instruments Corp. Fieldwood Energy LLC Fieldwood Energy LLC Filtration Group Corp. Filtration Group Corp. First Data Corp. First Data Corp. First Data Corp. Focus Brands, Inc. Freescale Semiconductor, Inc. Freescale Semiconductor, Inc. Gardner Denver, Inc. Generac Power Systems, Inc. Genesys Telecom Holdings US, Inc. Genesys Telecom Holdings US, Inc. Genpact International, Inc. Geo Group, Inc. (The) Getty Images, Inc. Getty Images, Inc. Global Tel Link Corp. Goodyear Tire & Rubber Co. Gray Television, Inc. Great Wolf Resorts, Inc. Grede LLC Guitar Center, Inc. H. J. Heinz Co. Hargray Communications Group, Inc. Harlan Sprague Dawley, Inc. Harrah's Operating Co., Inc. HCA, Inc. HD Supply, Inc. Health Management Assocaites, Inc. Hertz Corp. HGIM Corp. Hilton Worldwide Finance LLC Hoffmaster Group, Inc. Hologic, Inc. Houghton International, Inc. Huntsman International LLC IAP Worldwide Services, Inc. IMG Worldwide, Inc. IMS Health, Inc. Ineos US Finance LLC Infor (US), Inc. Infor (US), Inc. Information Resources, Inc. ION Media Networks, Inc. iPayment, Inc. J Crew Group, Inc. Jarden Corp. JBS USA Holdings, Inc. JBS USA Holdings, Inc. JFB Firth Rixson, Inc. JHCI Acquisition, Inc. JMC Steel Group, Inc. KAR Auction Services, Inc. Kasima LLC Kenan Advantage Group, Inc. Key Safety Systems, Inc. Keystone Automotive Operation, Inc.
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
4,843,116 1,793,844 6,804,635 3,371,743 10,887,882 12,558,516 8,575,241 17,725,114 570,014 5,899,594 5,500,403 1,068,042 2,130,164 5,432,452 5,000,000 34,598,044 3,888,197 28,685,741 14,327,389 6,630,626 1,636,628 1,433,633 1,243,041 3,178,935 522,266 7,766,190 1,630,855 3,795,045 4,764,927 931,889 4,310,801 1,767,361 9,945,321 26,145,741 3,084,479 1,254,261 6,978,706 13,866,358 4,798,244 14,182,119 1,996,870 7,597,989 49,000,607 6,379,058 3,110,860 8,753,196 30,558,047 2,971,257 2,698,847 10,410,428 11,457,368 12,882,505 2,256,516 4,448,712 13,039,036 4,667,854 10,218,413 6,521,128 7,517,894 4,695,739 453,260 3,693,302 3,351,233 2,230,085 5,592,656 197,200 4,658,868 2,709,581
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 21
0.14 0.05 0.20 0.10 0.32 0.38 0.25 0.51 0.02 0.17 0.16 0.03 0.06 0.16 0.15 1.01 0.11 0.85 0.42 0.19 0.05 0.04 0.04 0.09 0.02 0.21 0.04 0.11 0.14 0.03 0.13 0.05 0.28 0.77 0.09 0.03 0.19 0.41 0.14 0.41 0.06 0.22 1.44 0.19 0.09 0.26 0.90 0.03 0.08 0.31 0.34 0.38 0.07 0.13 0.38 0.13 0.30 0.19 0.22 0.14 0.01 0.11 0.10 0.07 0.16 0.01 0.14 0.08
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
4.00 3.25 3.50 3.25 5.25 3.50 8.50 3.00 2.50 3.75 3.00 3.00 2.50 2.75 3.75 3.75 3.50 9.50 2.50 4.25 6.75 3.25 3.00 2.50 3.00 3.25 1.50 3.00 6.75 4.00 6.25 3.75 2.50 2.75 2.75 3.25 4.50 2.75 3.25 3.25 3.25 5.75 5.75 4.25 4.00 3.50 8.25 5.50 3.50 2.75 5.50 2.75 4.50 4.00 6.25 2.75 2.00 2.75 4.75 4.00 4.75 1.75 3.75 3.00 4.00 2.50 4.50 4.25 7.25 3.25 4.00 7.75 3.75 3.25 3.00 3.00
22/05/2015 01/06/2018 04/05/2018 14/04/2014 30/06/2014 30/10/2019 30/04/2020 24/04/2018 20/12/2020 15/06/2018 01/08/2019 15/01/2020 24/07/2017 17/08/2020 25/10/2019 25/10/2019 28/12/2018 02/09/2019 29/03/2019 28/06/2019 12/04/2021 13/04/2020 08/06/2020 29/01/2021 20/01/2020 31/07/2020 30/01/2015 23/10/2017 20/11/2018 16/06/2017 08/03/2018 18/12/2018 20/12/2019 19/02/2020 19/02/2020 30/03/2020 30/03/2018 01/10/2020 27/03/2020 29/06/2018 21/08/2020 05/06/2017 02/08/2018 27/06/2018 26/10/2020 22/01/2020 22/07/2020 09/04/2020 12/10/2016 01/10/2020 15/09/2017 02/05/2016 28/02/2019 26/04/2017 11/12/2018 10/03/2017 02/07/2018 11/12/2019 08/11/2019 15/05/2017 18/10/2019 02/11/2015 25/11/2020 31/05/2018 07/06/2019 25/10/2019 05/02/2020 29/04/2019 15/07/2020 15/01/2020 02/10/2018 02/04/2019 02/08/2019 20/11/2017 11/10/2018 24/11/2017
2,292,716 11,235,982 34,486,578 90,450 1,860,470 8,948,667 1,465,172 5,390,433 14,242,982 1,817,636 6,789,034 20,581,565 839,278 2,651,961 278,820 3,424,631 2,387,260 1,795,337 1,618,132 1,280,318 141,281 3,507,116 4,584,883 6,302,881 995,576 9,010,725 1,442,126 3,216,365 6,271,724 2,003,937 5,963,861 8,513,091 4,269,041 860,167 3,604,395 5,425,736 6,033,384 1,771,370 5,700,265 5,631,793 2,779,676 380,813 2,524,691 12,463,938 12,981,056 3,822,990 122,959 3,184,833 9,519,084 2,008,761 10,679,773 7,048,184 3,086,477 714,457 3,059,931 2,690,859 4,887,941 821,945 8,328,783 30,528,065 3,216,654 303,007 3,585,947 870,904 15,121,590 2,875,359 4,960,394 2,321,800 1,880,706 4,167,137 9,165,161 2,820,676 844,074 98,609 832,956 928,743
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) Kinder Morgan, Inc. Kindred Healthcare, Inc. Kinetic Concepts, Inc. Knowledgepoint360 Group LLC Koosharem Corp. Kronos, Inc. Kronos, Inc. Landry's, Inc. Las Vegas Sands LLC Laureate Education, Inc. Level 3 Financing, Inc. Level 3 Financing, Inc. Lifepoint Hospitals, Inc. Live Nation Entertainment, Inc. LM U.S. Corp. Acquisition, Inc. LM U.S. Corp. Acquisition, Inc. LMI Aerospace, Inc. Lonestar Intermediate Super Holdings LLC LPL Holdings, Inc. LSP Madison Funding LLC LTS Buyer LLC LTS Buyer LLC Macdermid, Inc. MCC Iowa LLC MCC Iowa LLC Media General, Inc. Mediacom Illinois LLC Mediacom Illinois LLC Medimedia USA, Inc. Medpace, Inc. Merrill Communications LLC Metaldyne LLC MGM Resorts International Microsemi Corp. Microsemi Corp. Milacron LLC Mirion Technologies, Inc. Mission Broadcasting, Inc. Moneygram International, Inc. MTL Publishing LLC Multi Packaging Solutions, Inc. Multicultural Radio Broadcasting, Inc. National Vision, Inc. Navios Partners Finance US, Inc. Neiman Marcus Group, Inc. NEP/NCP Holdco, Inc. NEP/NCP Holdco, Inc. New HB Acquisition LLC Newsday LLC Nexstar Broadcasting, Inc. NGPL PipeCo. LLC Nielsen Finance LLC Noranda Aluminum Acquisition Corp. Nortek, Inc. North American Breweries Holdings LLC Novelis, Inc. NRG Energy, Inc. NSG Holdings LLC NTELOS Inc. Nuveen Investments, Inc. Oberthur Technologies of America Corp. Obsidian Holdings LLC Omnitracs, Inc. Omnova Solutions, Inc. Onex Carestream Finance LP OSI Restaurant Partners LLC OSP Group, Inc. Otter Prods LLC OXEA Finance LLC OXEA Finance LLC Pacific Industrial Service US Finco LLC Pacific Industrial Service US Finco LLC Pantry, Inc. Peninsula Gaming LLC Pep Boys-Manny, Moe & Jack Petco Animal Supplies, Inc.
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
2,278,005 11,218,448 34,180,390 103,372 2,188,788 8,863,726 1,411,081 5,341,467 14,240,760 1,804,478 6,739,331 20,408,096 835,232 2,644,522 277,088 3,403,360 2,414,422 1,734,626 1,616,112 1,267,118 139,969 3,481,727 4,547,931 6,338,535 994,962 8,910,535 1,447,264 3,209,625 6,432,537 2,003,937 5,863,086 8,432,978 4,265,931 854,825 3,584,975 5,417,880 6,018,338 1,761,826 5,638,629 5,596,813 2,769,291 382,726 2,516,888 12,287,308 12,801,603 3,799,717 119,378 3,069,719 9,477,620 1,997,939 11,418,395 7,020,879 3,280,579 711,198 3,122,379 2,675,821 4,892,697 818,874 8,287,346 30,626,499 3,187,804 299,637 3,567,368 865,495 14,923,393 2,867,304 4,917,367 2,317,455 1,848,360 4,125,878 9,015,831 2,750,202 832,646 97,890 829,844 922,592
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 22
0.07 0.33 1.01 0.00 0.05 0.26 0.04 0.16 0.42 0.05 0.20 0.60 0.02 0.08 0.01 0.10 0.07 0.05 0.05 0.04 0.00 0.10 0.13 0.18 0.03 0.26 0.04 0.09 0.18 0.06 0.17 0.25 0.12 0.03 0.11 0.16 0.18 0.05 0.17 0.16 0.08 0.01 0.07 0.36 0.38 0.11 0.00 0.09 0.28 0.06 0.31 0.21 0.09 0.02 0.09 0.08 0.14 0.02 0.24 0.89 0.09 0.01 0.11 0.03 0.44 0.08 0.15 0.07 0.05 0.12 0.27 0.08 0.03 0.00 0.02 0.03
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
3.00 3.50 2.50 2.75 2.75 2.50 2.50 4.25 3.50 7.00 4.75 5.25 3.00 6.00 2.50 3.25 7.25 3.00 3.00 4.25 3.50 7.50 3.00 3.00 3.00 3.00 2.50 4.25 4.75 3.00 6.75 6.00 4.50 10.00 5.00 2.50 4.00 4.00 5.00 4.25 3.25 4.50 2.25 3.25 2.75 2.50 3.50 4.00 3.25 4.25 3.25 3.50 4.00 3.50 3.00 2.25 3.75 3.25 7.50 4.00 3.25 2.75 3.25 3.00 4.00 3.75 3.50 3.00 4.00 3.25
05/12/2018 13/02/2017 13/02/2020 15/08/2016 13/08/2020 29/04/2020 29/04/2020 19/12/2019 07/08/2017 11/01/2018 13/04/2018 09/05/2018 28/09/2020 26/03/2021 08/06/2018 23/04/2019 23/04/2020 31/05/2017 31/07/2020 10/10/2016 05/03/2020 17/02/2017 19/08/2019 20/11/2017 21/08/2020 01/12/2018 30/04/2014 18/10/2017 21/08/2020 21/02/2020 10/12/2015 10/12/2015 13/02/2019 20/12/2019 21/12/2018 27/03/2020 19/02/2019 25/09/2018 10/07/2018 15/02/2019 18/10/2020 30/06/2018 14/05/2020 12/06/2018 14/05/2020 12/05/2018 09/05/2017 19/06/2017 01/10/2019 31/01/2017 31/01/2017 30/11/2019 29/11/2019 29/11/2019 13/12/2019 09/04/2020 26/05/2017 19/07/2018 30/04/2019 30/04/2018 17/10/2019 04/09/2019 14/11/2019 10/04/2020 02/03/2020 28/02/2017 31/01/2020 09/03/2020 21/03/2019 29/06/2018
617,920 384,901 4,652,455 1,412,242 4,753,054 10,347,911 1,432,336 2,886,592 13,057,220 2,612,268 928,072 2,062,365 13,874,802 1,970,660 3,091,085 601,302 720,840 1,344,307 4,624,857 197,353 28,697,021 4,566,359 2,585,105 2,975,705 12,799,877 319,833 70,605 1,026,644 1,390,429 7,052,877 594,977 3,017 9,757,165 472,741 13,938,709 2,981,506 7,929,298 8,215,604 4,162,175 2,275,899 34,184,873 28,937,146 682,876 1,805,069 4,248,349 2,835,476 5,095,127 6,374,018 7,969,742 9,666,589 6,259,964 1,253,476 10,457,050 500,947 9,168,628 2,185,820 3,315,426 4,734,478 397,758 6,975,151 5,690,996 2,611,827 12,703,780 1,309,905 877,015 1,247,388 1,255,202 9,780,003 13,743,301 2,005,605
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
Pharmaceutical Product Development LLC Phillips Plastics Corp. Phillips-Van Heusen Corp. Pinnacle Entertainment, Inc. Pinnacle Entertainment, Inc. Pinnacle Foods Finance LLC Pinnacle Foods Finance LLC Polymer Group, Inc. PQ Corp. Premier Dental Services, Inc. ProQuest LLC PRV Aerospace LLC Quikrete Holdings, Inc. Quikrete Holdings, Inc. Quintiles Transnational Corp. Ranpak Corp. Ranpak Corp. Raycom TV Broadcasting, Inc. RE/MAX International, Inc. Realogy Corp. Realogy Corp. Restaurant Holding Company LLC Revlon Consumer Products Corp. Revlon Consumer Products Corp. Rexnord LLC Reynolds Group Holdings, Inc. RGIS Services LLC RGIS Services LLC Rite Aid Corp. Rite Aid Corp. RJO Holdings Corp. RJO Holdings Corp. Roundys Supermarkets, Inc. RP Crown Parent LLC RP Crown Parent LLC Ruby Western Pipeline Holding LLC Sabre, Inc. Samson Investment Co. Sapphire Powerr LLC Saxon Energy Services, Inc. Scientific Games International, Inc. Sears Holding Corp. SeaWorld Parks & Entertainment, Inc. Sedgwick CMS Holdings, Inc. Seminole Hard Rock Entertainment, Inc. Sensata Technologies Finance Co., LLC Sensus USA, Inc. Sequa Corp. Serta Simmons Holdings LLC ServiceMaster Co. ServiceMaster Co. Ship US Bidco, Inc. Ship US Bidco, Inc. Ship US Bidco, Inc. Silver II US Holdings LLC Sinclair Television Group, Inc. Skillsoft Corp. Sophia LP Sourcehov LLC Sourcehov LLC Southern Graphics, Inc. Spectrum Brands, Inc. Spin Holdco, Inc. SRAM LLC Station Casinos LLC SunGard Data Systems, Inc. SunGard Data Systems, Inc. SunGard Data Systems, Inc. Supervalu, Inc. Surgical Care Affiliates, Inc.
612,454 384,420 4,623,558 1,402,475 4,723,531 10,344,673 1,431,697 2,865,104 12,937,945 2,592,822 920,593 2,053,381 13,784,404 1,920,254 3,088,537 596,086 699,845 1,339,284 4,611,884 197,353 28,364,616 4,910,064 2,571,845 2,949,438 12,754,751 316,666 70,782 1,037,669 1,350,751 7,006,167 664,779 3,819 9,740,927 458,972 13,834,947 2,973,330 7,861,212 8,174,730 4,133,755 2,249,652 34,081,912 28,731,914 689,029 1,794,972 4,239,518 2,807,402 5,084,003 6,508,251 7,910,445 9,745,773 6,328,208 1,245,174 10,353,515 496,371 9,150,044 2,187,187 3,280,570 4,701,180 391,879 6,914,648 5,665,033 2,599,381 12,621,739 1,309,905 866,054 1,240,796 1,245,092 9,690,665 13,587,614 1,999,979
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 23
0.02 0.01 0.14 0.04 0.14 0.30 0.04 0.08 0.38 0.08 0.03 0.06 0.41 0.06 0.09 0.02 0.02 0.04 0.14 0.01 0.84 0.13 0.08 0.09 0.37 0.01 0.00 0.03 0.04 0.21 0.02 0.00 0.29 0.01 0.41 0.09 0.23 0.24 0.12 0.07 1.00 0.85 0.02 0.05 0.12 0.08 0.15 0.19 0.23 0.28 0.18 0.04 0.31 0.02 0.27 0.06 0.10 0.14 0.01 0.20 0.17 0.08 0.37 0.04 0.03 0.04 0.04 0.29 0.40 0.06
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
4.00 3.00 3.00 3.00 3.25 5.25 3.25 3.25 3.25 2.75 2.75 2.75 4.50 3.50 4.25 3.00 3.50 4.00 8.00 4.50 3.75 5.00 3.75 3.75 4.50 3.00 9.75 3.50 4.25 8.50 3.00 3.00 3.50 7.25 6.00 4.25 3.25 3.00 7.75 3.50 2.25 3.25 3.25 3.00 3.25 3.00 3.50 4.50 3.75 4.50 3.00 5.75 3.50 3.50 3.00 3.00 3.00 3.00 3.25 3.00 3.75 6.25 6.25 2.75 4.75
29/12/2017 21/12/2017 23/04/2019 23/04/2019 13/11/2018 19/05/2011 19/05/2011 15/02/2019 09/07/2019 07/08/2020 28/03/2019 28/04/2017 10/10/2017 10/10/2014 28/03/2019 17/04/2020 16/10/2020 14/02/2020 14/08/2020 27/11/2020 23/04/2020 21/08/2019 25/05/2018 25/05/2018 01/09/2016 28/02/2020 27/06/2018 27/12/2017 09/10/2018 09/10/2019 10/02/2019 03/05/2018 02/05/2018 28/03/2019 26/06/2020 09/11/2018 28/11/2018 01/04/2019 30/04/2018 30/06/2017 15/11/2016 02/03/2020 02/03/2020 02/03/2020 02/03/2020 29/05/2020 29/03/2019 23/02/2017 10/07/2020 13/06/2019 06/09/2019 02/04/2018 21/02/2019 29/06/2017 15/10/2019 23/03/2018 02/04/2020 12/12/2019 12/11/2020 17/07/2017 01/04/2019 13/12/2018 30/08/2018 23/01/2020 15/02/2017
892,718 712,643 1,133,641 8,532,244 10,121,500 14,000 20,685 5,546,567 1,759,543 2,012,442 1,628,207 615,343 5,900,235 11,040,904 11,589,904 2,899,132 3,376,568 1,160,393 92,153 4,077,776 13,649,289 16,482,268 1,564,467 222,721 630,436 20,620,781 3,124,698 8,403,611 3,201,085 1,885,301 4,201,016 2,146,482 7,352,050 3,299,061 2,579,194 9,401,082 638,802 2,001,320 9,399,007 2,338,697 370,756 2,066,134 10,024,327 3,726,385 601,792 3,734,380 23,774,151 4,082,746 4,601,122 1,617,124 2,975,574 6,675,384 4,013,509 3,358,689 1,933,093 825,080 23,297,261 3,548,120 3,633,860 5,108,159 10,495,079 6,440,261 1,820,357 1,875,402 764,232
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) Surgical Care Affiliates, Inc. Swift Transportation Co. LLC Syniverse Holdings, Inc. Syniverse Holdings, Inc. Tallgrass Operations LLC Tamarack Resorts LLC Tamarack Resorts LLC Taminco Global Chemical Corp. Tank Holding Corp. Tata Chemicals North America, Inc. Telesat LLC Terex Corp. Texas Competitive Electric Holdings Company, LLC Texas Competitive Electric Holdings Company, LLC TI Group Automotive Systems LLC Time Warner Telecom Holdings Inc. TMS International Corp. TNS, Inc. TNS, Inc. TNT Crane & Rigging, Inc. Tower Automotive Holdings USA LLC Toys R Us Property Co. I LLC Toys 'R' Us-Delaware, Inc. Toys 'R' Us-Delaware, Inc. Toys 'R' Us-Delaware, Inc. Transdigm, Inc. Transfirst Holdings, Inc. Transfirst Holdings, Inc. Transtar Holding Co. Transtar Holding Co. TransUnion LLC TricorBraun, Inc. TriZetto Group, Inc. TriZetto Group, Inc. TWCC Holding Corp. Twin River Worldwide Holdings, Inc. Unifrax Corp. United AirLines, Inc. United States Shipping, LLC Univar, Inc. Universal Health Services, Inc. Univision Communications, Inc. Univision Communications, Inc. Univision Communications, Inc. Univision Communications, Inc. US Finco LLC US Foods, Inc. US Telepacific Corp. USIC Holdings, Inc. ValleyCrest Co. LLC Verint Systems, Inc. Walter Energy, Inc. WASH Multifamily Laundry Systems, LLC Waupaca Foundry, Inc. WaveDivision Holdings, LLC WCA Waste Systems, Inc. Weight Watchers International, Inc. WESCO Distribution, Inc. Western Refining, Inc. WideOpenWest Finance LLC WideOpenWest Finance LLC Wildhorse Resources LLC Wilton Brands LLC Windstream Corp. WireCo WorldGroup, Inc.
USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD
892,183 706,812 1,128,001 8,514,508 10,054,466 800,000 1,182,000 5,505,278 1,766,166 2,006,173 1,619,435 609,250 8,541,781 15,601,571 11,500,054 2,899,132 3,359,769 1,150,150 90,978 4,095,695 13,551,878 17,169,029 1,845,978 262,025 696,614 20,539,485 3,082,316 8,375,695 3,249,833 1,963,856 4,170,778 2,136,690 7,432,567 3,472,695 2,504,072 9,273,570 635,722 1,982,748 9,136,338 2,358,596 368,682 2,051,845 9,949,704 3,707,517 597,630 3,721,585 23,559,664 4,068,506 4,570,649 1,613,593 2,956,172 6,791,401 4,003,500 3,350,313 1,925,089 822,510 26,018,337 3,523,893 3,594,173 5,089,602 10,430,483 6,440,261 1,904,472 1,869,569 757,134
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 24
0.03 0.02 0.03 0.25 0.30 0.00 0.00 0.16 0.05 0.06 0.05 0.02 0.17 0.32 0.34 0.08 0.10 0.03 0.00 0.12 0.40 0.48 0.05 0.01 0.02 0.60 0.09 0.25 0.09 0.06 0.12 0.06 0.21 0.10 0.08 0.28 0.02 0.06 0.27 0.07 0.01 0.06 0.29 0.11 0.02 0.11 0.69 0.12 0.13 0.05 0.09 0.20 0.12 0.10 0.06 0.02 0.68 0.10 0.11 0.15 0.31 0.19 0.05 0.06 0.02
Invesco Zodiac Funds Invesco US Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (USD)
7.25 3.25 4.50 3.50 4.75 3.25 7.50 3.00 3.50
07/12/2020 07/06/2020 17/05/2019 02/03/2020 31/07/2014 16/08/2019 14/08/2020 02/07/2019 25/02/2020
774,734 2,629,577 4,602,747 8,288,118 70,055 5,128,283 486,831 6,569,774 4,124,917
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) UNITED STATES (continued) WNA Holdings, Inc. WNA Holdings, Inc. Xerium Technologies, Inc. Yankee Cable Acquisition LLC Yell Group PLC Yonkers Racing Corp. Yonkers Racing Corp. Zayo Group LLC Zuffa LLC
USD USD USD USD USD USD USD USD USD
762,346 2,603,541 4,574,159 8,200,983 312,877 5,176,946 482,322 6,555,725 4,085,367
0.02 0.08 0.13 0.24 0.00 0.15 0.01 0.19 0.12
Total United States
2,686,875,528
78.49
Total Term Loans
3,028,078,467
88.46
Total Investments (Cost - USD 3,233,870,258)
3,260,397,836
95.25
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 25
Invesco Zodiac Funds Invesco European Senior Loan Fund Schedule of Investments as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (EUR)
NET ASSETS %
TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR DEALT IN ON ANOTHER REGULATED MARKET CORPORATE BONDS 16.78% LUXEMBOURG Matterhorn Mobile S.A. (a) Ontex IV S.A. (a) Sunrise Communications International S.A. (a) Wind Acquisition Finance S.A. (a) Wind Acquisition Finance S.A. Wind Acquisition Holding S.A.
CHF EUR EUR EUR EUR EUR
333,333 1,000,000 500,000 1,000,000 1,000,000 500,000
5.40 4.34 4.75 5.48 11.75 12.25
15/05/2019 15/04/2018 31/12/2017 30/04/2019 15/07/2017 15/07/2017
Total Luxembourg
275,697 1,005,000 510,000 1,025,080 1,065,120 527,500
0.28 1.01 0.51 1.03 1.07 0.53
4,408,397
4.43
542,450 340,779 410,320
0.55 0.34 0.41
1,293,549
1.30
NETHERLANDS Euro Galaxy CLO B.V. (a) Stampos B.V. (a) TMF Group Holding B.V. (a)
EUR EUR EUR
571,000 333,000 400,000
5.20 5.00 5.61
17/01/2027 15/05/2019 03/12/2018
Total Netherlands SWEDEN Unilabs Sub Holdings AB
EUR
500,000
8.50
15/07/2018
525,000
0.53
GBP GBP EUR EUR GBP GBP EUR GBP
750,000 1,500,000 300,000 2,667,000 500,000 1,000,000 1,167,000 500,000
6.38 5.64 5.40 6.53 8.75 9.00 5.48 6.50
15/11/2020 15/11/2019 15/12/2017 14/05/2018 14/05/2018 01/08/2018 15/07/2020 01/08/2018
909,106 1,820,378 304,345 2,713,672 638,420 1,221,771 1,193,257 622,622
0.92 1.84 0.31 2.74 0.64 1.23 1.20 0.63
9,423,571
9.51
UNITED KINGDOM Galaxy Bidco Ltd. Galaxy Bidco Ltd. (a) Hellrmntyn Finance PLC (a) New Look Bondco I PLC (a) New Look Bondco I PLC Odeon & UCI Finco PLC Vougeot Bidco PLC (a) Voyage Care Bondco PLC Total United Kingdom UNITED STATES Huntsman International LLC
EUR
1,000,000
5.13
15/04/2021
Total Corporate Bonds
1,006,250
1.01
16,656,767
16.78
552,172
0.56
OTHER TRANSFERABLE SECURITIES CORPORATE BONDS 1.48% CAYMAN ISLANDS Viridian Group Fundco II Ltd.
USD
689,000
11.13
01/04/2017
USD
1,200,000
9.00
28/09/2017
UNITED KINGDOM Tizir Ltd. Total Corporate Bonds
909,356
0.92
1,461,528
1.48
998,679 709,334 169,430
1.01 0.72 0.17
1,877,443
1.90
TERM LOANS (a) 74.92% FINLAND Paroc Group Holding OY Paroc Group Holding OY Paroc Group Holding OY
EUR EUR EUR
1,013,887 448,945 172,010
2.63 2.63 2.63
Total Finland (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 26
18/06/2015 18/06/2015 18/06/2015
Invesco Zodiac Funds Invesco European Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (EUR)
5.00 3.00 3.00 4.00
18/10/2019 29/01/2016 29/01/2016 25/07/2017
2,535,157 725,166 725,166 1,975,000
2.56 0.73 0.73 1.99
5,960,489
6.01
2,013,750 779,234 237,016 2,663,333 510,591 1,133,694 31,723 117,696 643,431
2.03 0.79 0.24 2.69 0.52 1.14 0.03 0.12 0.65
8,130,468
8.21
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) FRANCE Oberthur Technologies SAS Tyrol Acquisitions 2 SAS Tyrol Acquisitions 2 SAS Vitalia Holdco S.a r.l.
EUR EUR EUR EUR
2,500,000 744,169 744,169 2,000,000
Total France GERMANY Aenova Holding GmbH Faenza Acquisition GmbH Faenza Acquisition GmbH GHD Manadis MbH Ista International GmbH Ista International GmbH Ista International GmbH Ista International GmbH Schaeffler AG
EUR EUR EUR EUR EUR EUR EUR EUR EUR
2,000,000 766,774 233,226 2,666,667 506,057 1,123,629 31,441 116,651 638,641
5.00 3.75 3.75 4.50 3.50 3.50 3.50 3.50 3.75
27/09/2019 31/08/2020 28/08/2020 30/09/2020 30/04/2020 30/04/2020 30/04/2020 30/04/2020 27/01/2017
Total Germany JERSEY RedTop Acquisitions Ltd.
EUR
1,250,000
3.75
03/12/2020
1,258,750
1.27
EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR GBP GBP EUR EUR GBP EUR
1,542,250 111,559 8,019 6,287 56,751 59,879 72,712 54,504 3,443 3,308 4,675 17 88 48 2,347 24,608 13,233 6,756 15,128 12,995 64 342 186 390,346 151,364 1,333,333 1,500,000 1,500,000 276,316 973,684 750,000 3,000,000
3.50 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 6.25 3.50 4.00 4.50 4.50 4.50 4.50 3.75
04/10/2019 31/12/2016 30/12/2016 30/12/2016 31/12/2016 30/12/2016 31/12/2016 31/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 30/12/2016 31/12/2016 15/01/2020 17/12/2020 29/11/2019 12/08/2020 12/08/2020 02/08/2019 26/12/2018
1,548,033 111,755 8,033 6,298 56,851 59,984 72,840 54,600 3,450 3,314 4,683 17 89 48 2,351 24,652 13,256 6,768 15,154 13,017 64 343 186 391,034 151,631 1,343,809 1,805,572 1,822,500 280,461 988,289 912,097 3,032,499
1.56 0.11 0.01 0.01 0.06 0.06 0.07 0.06 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.02 0.01 0.01 0.02 0.01 0.00 0.00 0.00 0.39 0.15 1.36 1.82 1.84 0.28 1.00 0.92 3.06
12,733,678
12.83
LUXEMBOURG Allnex (Luxembourg) & Cy S.C.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. Flint Group S.A. OXEA Finance S.a.r.l. Santander Asset Management Finance Lux S.a r.l. Ship Luxco 3 S.a.r.l. Soppa Investments S.a.r.l. Soppa Investments S.a r.l. Wood Mackenzie Ltd. YPSO Holding S.a r.l. Total Luxembourg (a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 27
Invesco Zodiac Funds Invesco European Senior Loan Fund Schedule of Investments (continued) as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
INTEREST RATE %
MATURITY DATE
MARKET VALUE (EUR)
4.75 4.75 4.75 4.75 4.75 4.50 4.50 3.50 3.75
31/03/2017 31/03/2017 31/03/2017 31/03/2017 30/09/2020 02/04/2020 02/04/2020 24/09/2018 31/03/2021
427,892 46,967 127,073 989,750 1,510,875 842,057 2,627,084 1,681,856 503,750
0.43 0.05 0.13 1.00 1.52 0.85 2.65 1.70 0.51
8,757,304
8.84
NET ASSETS %
OTHER TRANSFERABLE SECURITIES TERM LOANS (a) (continued) NETHERLANDS Blue Waste B.V. Blue Waste B.V. Blue Waste B.V. Blue Waste B.V. CDS Holdco III B.V. Intertrust Group Holding B.V. Intertrust Group Holding B.V. Oak Leaf B.V. UPC Financing Partnership
EUR EUR EUR EUR EUR EUR EUR EUR EUR
432,323 47,453 128,389 1,000,000 1,500,000 833,333 2,600,000 1,657,895 500,000
Total Netherlands NORWAY GET AS
EUR
1,500,000
4.50
27/12/2018
1,518,750
1.53
EUR EUR
333,333 1,000,000
4.75 4.00
28/06/2019 30/06/2015
338,500 972,500
0.34 0.98
1,311,000
1.32
982,081 838,333
0.99 0.85
1,820,414
1.84
SWEDEN Ahlsell Investco AB (Cidron) Hilding Anders International AB Total Sweden SPAIN Mivisa Envases S.A. Mivisa Envases S.A.
EUR EUR
976,588 833,333
4.25 4.50
12/04/2018 25/03/2019
Total Spain SWITZERLAND Infront Sports & Media AG
EUR
1,500,000
5.00
28/06/2019
1,481,250
1.49
EUR GBP GBP GBP EUR GBP GBP GBP GBP GBP GBP
416,956 1,200,000 916,667 1,000,000 2,000,000 1,000,000 562,500 1,500,000 1,500,000 750,000 1,350,000
4.75 4.75 5.25 4.50 4.75 5.00 5.00 5.00 4.75 5.00 4.50
09/07/2018 09/07/2018 28/02/2020 08/03/2019 31/10/2017 24/03/2017 30/03/2019 19/06/2020 29/10/2019 16/10/2020 29/07/2020
420,083 1,452,583 1,106,164 1,218,009 2,018,214 1,215,322 683,353 1,810,086 1,827,295 905,326 1,648,487
0.42 1.47 1.12 1.23 2.04 1.23 0.69 1.83 1.84 0.91 1.66
14,304,922
14.44
1,509,375 1,007,181 125,389 2,828,859 4,040,000 364,616 1,156,952 748,069 498,388 1,665,469 497,633 662,424
1.52 1.02 0.13 2.85 4.08 0.37 1.17 0.75 0.50 1.68 0.50 0.67
Total United States
15,104,355
15.24
Total Term Loans
74,258,823
74.92
Total Investments (Cost - 90,694,113 EUR)
92,377,118
93.18
UNITED KINGDOM Alliance Boots Holdings Ltd. Alliance Boots Holdings Ltd. BCA Holdings Ltd. Iceland Foods Group Ltd. Iglo Foods Midco Ltd. KKR My Best Friend UK Holdco Ltd. KKR My Best Friend UK Holdco Ltd. PAM Acquisition Co. Ltd. RAC Finance (Holdings) Ltd. Tunstall Group Holdings Ltd. United Biscuits (UK) Ltd. Total United Kingdom UNITED STATES Ardagh Holdings USA, Inc. Axalta Coating Systems US Holdings, Inc. Britax US Holdings, Inc. Doncasters Finance US LLC Exopack, LLC First Data Corp. Genesys Telecom Holdings, U.S., Inc. Houghton International, Inc. Kinetic Concepts, Inc. Metaldyne Company LLC Ranpak Corp. Unifrax Corp.
EUR EUR EUR GBP EUR USD EUR EUR EUR EUR EUR EUR
1,500,000 992,500 124,688 2,321,667 4,000,000 500,000 1,157,917 742,500 493,759 1,650,000 493,316 655,866
3.25 4.00 3.75 4.75 4.75 4.00 3.75 3.50 3.75 5.25 3.50 4.00
(a) Floating Rate Securities - rate disclosed is as at 31 December 2013.
The accompanying notes form an integral part of these financial statements. 28
17/12/2019 03/02/2020 15/10/2020 09/04/2020 08/05/2019 24/03/2017 07/02/2020 20/12/2019 04/05/2018 18/12/2018 23/04/2019 28/11/2018
Invesco Zodiac Funds Invesco Global Senior Loan Fund Schedule of Investments as at 31 December 2013
DENOMINATION CURRENCY
ISSUE
HOLDING/ NOMINAL
MARKET VALUE (USD)
NET ASSETS %
TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL EXCHANGE LISTING OR DEALT IN ON ANOTHER REGULATED MARKET MUTUAL FUNDS 100.07% LUXEMBOURG USD USD
703,827 302,010
70.02 30.05
Total Luxembourg
1,005,837
100.07
Total Mutual Funds
1,005,837
100.07
Total Investments
1,005,837
100.07
Invesco Zodiac Funds-Invesco US Senior Loan Fund* Invesco Zodiac Funds-Invesco European Senior Loan Fund*
7,042 3,000
(Cost - 1,002,203 USD) * Cross-investment. See Note 1.
The accompanying notes form an integral part of these financial statements. 29
Invesco Zodiac Funds Statement of Net Assets as at 31 December 2013
Invesco US Senior Loan Fund
Invesco European Senior Loan Fund
Invesco Global Senior Loan Fund1
Invesco Zodiac Funds Combined
EUR
USD
USD
ASSETS
Notes
USD
Investments portfolio at market value Unfunded loan commitment at market value
2 2&7
3,260,397,836 13,557,666
92,377,118 1,201,115
1,005,837 -
3,388,486,816 15,210,039
292,474,200 20,330,028 12,359 47,098,370 32,373,202 3,851,340 -
5,224,829 780,056 7,276,249 1,866,186 181,703 3,371
5,903
299,661,994 21,403,151 12,359 57,108,301 34,940,513 4,101,309 10,540
3,670,095,001
108,910,627
1,011,740
3,820,935,022
230,607,901 9,625,929 665,975 5,941,965
9,354,009 165,909 249,633
6,603
243,476,205 9,625,929 894,216 6,291,988
Total liabilities
246,841,770
9,769,551
6,603
260,288,338
Total net assets
3,423,253,231
99,141,076
1,005,137
3,560,646,684
CURRENT ASSETS Cash at banks Interest receivable Dividend receivable Receivable for investments sold Receivable for fund units issued Unrealised gain on forward foreign exchange contracts Formation expenses
2&6
Total assets CURRENT LIABILITIES Payable for investments purchased Payable for fund units redeemed Unrealised loss on forward foreign exchange contracts Accrued expenses
1
2&6
Refer to note 1.
The accompanying notes form an integral part of these financial statements. 30
Invesco Zodiac Funds Comparative Net Asset Value for the year ended 31 December 2013
Invesco US Senior Loan Fund (USD) Class A Class H Class HX Class HH EUR Class AH GBP Class HH GBP Class G Class GH EUR Class HH CHF Class GX Class GHX EUR Class GH CHF1 Class HHX AUD2 Class KH EUR3 Class GH GBP4 Class NX5 Class KHX EUR6
Ccy
31 December 2013 Total NAV in Sub-Fund currency Total
Number of Units in issue
USD USD USD EUR GBP GBP USD EUR CHF USD EUR CHF AUD EUR GBP USD EUR
101,012,408 721,418,987 424,186,678 186,715,347 64,174,215 13,342,285 971,462,408 131,496,183 77,699,850 286,206,556 327,144,174 62,108,828 8,248,225 550,074 15,280,137 21,755,757 10,451,119
681,322 5,006,647 4,530,491 966,174 261,971 68,113 8,295,910 816,428 595,163 2,748,301 2,280,873 532,953 89,422 3,875 89,079 217,667 75,000
Nav per 31 December 2012 Unit in Total NAV fund in Sub-Fund currency currency Total 148.26 144.09 93.63 193.25 244.97 195.88 117.10 161.06 130.55 104.14 143.43 116.54 92.24 141.95 171.53 99.95 139.35
Number of Units in issue
142,737,392 1,023,276 130,815,250 961,125 37,429,990 407,593 85,326,819 485,524 58,558,451 259,247 1,154,346 6,368 116,302,319 1,053,170 54,123,850 370,400 34,851,282 288,383 120,306,277 1,173,966 62,175,906 458,717 -
1 launched on 22 February 2013 (Note 1) 2 launched on 11 March 2013 (Note 1) 3 launched on 20 March 2013 (Note 1) 4 launched on 25 March 2013 (Note 1) 5 launched on 17 July 2013 (Note 1) 6 launched on 18 October 2013 (Note 1)
The accompanying notes form an integral part of these financial statements. 31
Nav per 31 December 2011 Number Nav per Unit in Total NAV of Units Unit in fund in Sub-Fund in issue fund currency currency currency Total 139.49 136.11 91.83 175.74 225.88 181.28 110.34 146.12 120.85 102.48 135.54 -
71,600,938 87,604,805 17,759,659 31,751,768 69,134,709 187,227 17,541,682 68,332,883 213,438 -
572,312 714,806 203,605 203,818 357,181 1,200 177,000 528,177 2,000 -
125.11 122.56 87.23 155.78 193.56 156.02 99.11 129.37 106.72 -
Invesco Zodiac Funds Comparative Net Asset Value for the year ended 31 December 2013
Invesco European Senior Loan Fund (EUR) Class GX Class K Class GH GBP7 Class H8 Class NHX USD9
Ccy
31 December 2013 Total NAV in Sub-Fund currency Total
Number of Units in issue
EUR EUR GBP EUR USD
43,239,088 17,123,608 20,431,497 18,127,350 219,533
396,525 150,000 158,813 174,377 3,000
Nav per 31 December 2012 Unit in Total NAV fund in Sub-Fund currency currency Total 109.04 114.16 128.65 103.95 73.18
31,474,000 15,787,346 -
Number of Units in issue
299,366 150,000 -
7 launched on 20 March 2013 (Note 1) 8 launched on 29 July 2013 (Note 1) 9 launched on 29 November 2013 (Note 1)
The accompanying notes form an integral part of these financial statements. 32
Nav per 31 December 2011 Unit in Total NAV fund in Sub-Fund currency currency Total 105.14 105.25 -
-
Number of Units in issue
Nav per Unit in fund currency
-
-
Invesco Zodiac Funds Comparative Net Asset Value for the year ended 31 December 2013
Invesco Global Senior Loan Fund (USD) Class G10
Ccy
31 December 2013 Total NAV in Sub-Fund currency Total
Number of Units in issue
USD
1,005,137
10,000
Nav per 31 December 2012 Unit in Total NAV fund in Sub-Fund currency currency Total 100.51
Number of Units in issue
-
10 launched on 29 November 2013 (Note 1)
The accompanying notes form an integral part of these financial statements. 33
-
Nav per 31 December 2011 Unit in Total NAV fund in Sub-Fund currency currency Total -
-
Number of Units in issue
Nav per Unit in fund currency
-
-
Invesco Zodiac Funds Statement of Operations For the year ended 31 December 2013
Invesco Global Invesco US Invesco European Senior Loan Fund Senior Loan Fund Senior Loan Fund1 Income
Notes
Income from investments Total income
USD
EUR
USD
Invesco Zodiac Funds Combined USD
2
106,333,160 106,333,160
3,652,522 3,652,522
2,203 2,203
111,185,011 111,185,011
3 3 3 1 4
13,534,507 1,352,875 114,006 250,094 439,067 54,313 445,539 16,190,401 16,190,401
445,163 108,348 46,847 1,032 7,565 40,211 50,233 699,399 76,093 623,306
494 5,769 510 98 1,260 10,830 75 19,036 18,336 700
14,126,068 1,502,503 176,717 1,468 260,138 440,327 118,533 512,312 17,138,066 119,369 17,018,697
90,142,759
3,029,216
1,503
94,166,314
7,057,634 21,654,169 20,800,001
1,822,721 209,500 1,195,641
3,634
9,477,758 21,932,333 22,391,151
2,708,881 52,220,685
(138,514) 3,089,348
3,634
2,524,969 56,326,211
142,363,444
6,118,564
5,137
150,492,525
Expenses Management fees Administrative expenses Custodian fees Amortization of formation expenses Luxembourg Taxes Unitholder servicing fees Professional fees Other expenses Total expenses before expense waiver Fees waived Total expenses
3
Net investment income Net realised and unrealised gain/(loss) on investments Net realised gain on investments Net realised gain on forward foreign exchange contracts and foreign currency transactions Net change in unrealised appreciation on investments Net change in unrealised appreciation/(depreciation) on forward foreign exchange contracts and foreign currency transactions Total net realised and unrealised gain on investments
2 2&6
Net increase in net assets resulting from operations
1
Refer to note 1.
The accompanying notes form an integral part of these financial statements. 34
Invesco Zodiac Funds Statement of Changes in Net Assets For the year ended 31 December 2013
Invesco US Invesco European Senior Loan Fund Senior Loan Fund Notes
USD
EUR
Invesco Global Invesco Zodiac Funds Senior Loan Fund 1 Combined USD
USD
Total net assets at the beginning of the year/period
843,681,882
47,261,346
-
906,064,533
Net increase in net assets resulting from operations
142,363,444
6,118,564
5,137
150,492,525
Unit transactions: Proceeds received from issuance of units Amount paid on redemption of units Increase in net assets derived from unit transactions
2,997,142,176 (536,169,961) 2,460,972,215
47,358,978 (69,537) 47,289,441
(23,764,310)
(1,528,275)
Dividends paid in cash
2
2,579,571,349
Net increase in net assets Foreign exchange adjustment on translation
-
Total net assets at the end of the year/period
1
3,423,253,231
51,879,730 99,141,076
Refer to note 1.
The accompanying notes form an integral part of these financial statements. 35
1,000,000 1,000,000 1,005,137 1,005,137
3,061,023,212 (536,262,289) 2,524,760,923 (25,793,482) 2,649,459,966 5,122,185 3,560,646,684
Invesco Zodiac Funds Notes to the Financial Statements as at 31 December 2013 1.General Information Invesco Zodiac Funds (the “Trust”) was organised under the Luxembourg law of 19 July 1991 which has been replaced by the Law of 13 February 2007, as amended by the law of 26 March 2012 and effective as from 1 April 2012. The Trust commenced operations on 1 September 1999, and has been established for an undetermined period. The Trust may issue different classes of Units, the issue proceeds of which are separately invested pursuant to investment policies fixed by the Board of Directors of the Management Company for each sub-funds. For each of the sub-funds, different classes of Units may be issued with different characteristics. As at 31 December 2013, Invesco Zodiac Funds consists of Invesco US Senior Loan Fund, Invesco European Senior Loan Fund and Invesco Global Senior Loan Fund (the “sub-funds”). a) Sub-funds objectives Invesco US Senior Loan Fund’s investment objective is to provide a high level of current income, consistent with the preservation of capital, by investing primarily in adjustable rate senior loans (“Senior Loans”) whose interest rates float at a spread above LIBOR, collateralised loan obligations and second liens of non investment grade companies organised or located in the United States or Canada. Invesco European Senior Loan Fund’s investment objective is to provide a high level of current income, consistent with the preservation of capital, by investing primarily in adjustable rate senior loans (“Senior Loans”), collateralised loan obligations, second lien loans, mezzanine securities and credit derivatives relating to non-investment grade companies and denominated in Euro, Sterling and other European currencies (including, but not limited to, Norwegian Krone, Swedish Krona, Swiss Franc and Danish Krone). The Invesco Global Senior Loan Fund’s investment objective is to provide a high level of current income, consistent with the preservation of capital, by investing directly in adjustable rate senior loans worldwide (including Asia Pacific) and/or indirectly through Underlying Portfolios as defined hereinafter with exposure to the Senior Loans markets worldwide. The indirect investments are obtained through an active allocation of the sub-fund’s assets between the other sub-funds of the Trust and/or other Undertakings for Collective Investment (‘UCIs’) initiated by the Invesco Group exposed to Senior Loans ( the “Underlying Portfolios’’). b) Activity of the Trust Activity of the Trust since 1 January 2013 Invesco US Senior Loan Fund During the year, the following classes were launched on Invesco US Senior Loan Fund: - GH CHF Unit Class on 22 February 2013 - HHX AUD Unit Class on 11 March 2013 - KH EUR Unit Class on 20 March 2013 - GH GBP Unit Class on 25 March 2013 - NX Unit Class on 17 July 2013 - KHX EUR Unit Class on 18 October 2013 Invesco European Senior Loan Fund During the year, the following classes were launched on Invesco European Senior Loan Fund: - GH GBP Unit Class on 20 March 2013 - H Unit Class on 29 July 2013 - NHX USD Unit Class on 29 November 2013 As at 29 November 2013, the new sub-fund Invesco Global Senior Loan Fund was launched. Invesco Global Senior Loan Fund During the year, the following classes were launched on Invesco Global Senior Loan Fund: - G Unit Class on 29 November 2013 36
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
1.General Information (continued) b) Activity of the Trust (continued) A new prospectus for Invesco Zodiac Funds was issued on 15 February 2013, on 1 October 2013 and on 6 November 2013. c) Preliminary expenses The formation expenses of the sub-funds are capitalised and amortised over a period not exceeding five years. 2. Summary of Significant Accounting Policies Preparation of the financial statements The financial statements are prepared in accordance with the generally accepted accounting principles in Luxembourg. Valuation of Investments The assets of the sub-funds will be valued as follows: (a) securities listed on a stock exchange or traded on any other regulated market will be valued at the last available price on such exchange market on the basis prices of 4:00 p.m. New York Time. If a security is listed or traded on several stock exchanges or any other regulated market which constitutes the main market for such securities, this price will be used. In the event that the last available price does not truly reflect the fair market value of the relevant securities, the value of such securities, will be based on fair value as determined prudently and in good faith pursuant to procedures established by the Management Company; (b) securities not listed or traded on any stock exchange or dealt on any regulated market will be valued on the basis of reasonably foreseeable sales price as determined prudently and in good faith pursuant to procedures established by the Management Company; (c) cash and other liquid assets will be valued at their face value with interest accrued; (d) Senior Loans for which reliable market quotes are readily available are valued at the mean of such bid and ask quotes obtained by an independent pricing service approved by the Management Company. If such quotes are not available, the prices will be based upon pricing models developed, maintained and operated by the independent pricing service or will be valued by the Investment Adviser by considering a number of factors including, without limitation, considerations of market indicators, transactions in instruments which the Investment Adviser believes may be comparable (including, for example, comparable credit quality, interest rate, interest rate determination period and maturity), the credit worthiness of the Borrower, the current interest rate, the period until the next interest rate redetermination and the maturity of such Senior Loan interest. The procedures of the independent pricing service and its valuations are reviewed by the Investment Adviser under the general supervision of the Board of Directors of the Management Company. The Board of Directors of the Management Company has determined in good faith that the use of an independent pricing service is a fair method of determining the valuation of the Senior Loans. In all other circumstances and in the sole discretion of the Management Company, Senior Loans may be valued on the basis of the reasonably foreseeable sales price determined prudently and in good faith pursuant to procedures established by the Management Company;
37
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 2. Summary of Significant Accounting Policies (continued) Valuation of Investments (continued) (e) The liquidating value of futures or options contracts traded on exchanges or on other regulated markets shall be based upon the last available prices of these contracts on exchanges and regulated markets on which the particular futures or options contracts are traded by the sub-fund; provided that if a futures or options contract could not be liquidated on the day with respect to which net assets are being determined, the basis for determining the liquidating value of such contract shall be such value as the Management Company may deem fair and reasonable. The liquidating value of futures or options contracts not traded on exchanges or on other regulated markets shall be their net liquidating value determined, pursuant to the procedures established by the Management Company, on a basis consistently applied for each different type of contract; (f) values expressed in a currency other than the base currency of the relevant sub-fund shall be translated to such currency at the average of the last available buying and selling price for such currency applicable at such specific point in time as determined by the Management Company from time to time (which may be a different time to the Valuation Point of the securities and other assets) on the Dealing Day with regard to which the Net Asset Value is calculated. (g) the value of swaps shall be determined by applying a recognised and transparent valuation method on a consistent basis; and (h) all other securities and other assets will be valued at fair market value as determined in good faith pursuant to procedures established by the Management Company. (i) Investments in other funds are valued using the daily net asset value as calculated by the Administrator of such funds. In the event that extraordinary circumstances render such a valuation impracticable or inadequate, the Management Company is authorised, prudently and in good faith, to follow other rules in order to achieve a fair valuation of the assets of the sub-funds. The sub-funds may buy and sell forward foreign exchange contracts, which are agreements between two parties to buy and sell currencies at a set price on a future date. These contracts are used to protect against a decline in value relative to the sub-funds’ currency as compared to the currencies in which its portfolio securities are denominated or for other investment purposes. The value of forward foreign exchange contracts is determined using current forward currency exchange rates supplied by a quotation service. The market value of the contract will fluctuate with changes in currency exchange rates. The contracts are marked to market daily and the changes in market value are recorded as unrealised gains or losses. When a contract is closed, the sub-funds record a realised gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. The sub-funds could be exposed to risks if the value of the currency changes unfavourably, if the counterparties to the contracts are unable to meet the terms of their contracts or if the sub-funds are unable to enter into a closing position. Risks may exceed amounts recognised on the Statement of Net Assets. The outstanding forward foreign exchange contracts, if any, are listed in the notes to the Financial Statements. Swap Contracts The sub-funds may enter into credit default swap contracts to provide a measure of protection against risk of loss following a default, or other credit event in respect of issuers within an underlying index or a single issuer, or to gain credit exposure to an underlying index or issuer. In a credit default contract, the protection buyer typically makes an upfront payment and a periodic stream of payments to counterparty, the protection seller, in exchange for the right to receive a contingent payment upon the occurrence of a credit event on the reference obligation or all other equally ranked obligations of the reference entity. 38
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
2. Summary of Significant Accounting Policies (continued) Swap Contracts (continued) Credit events are contract specific but may include bankruptcy, failure to pay, restructuring and obligation acceleration. An upfront payment received by the sub-funds, as the protection seller, is recorded as a liability on the sub-fund’s books. An upfront payment made by the sub-funds, as a protection buyer, is recorded as an asset on the sub-fund’s books. Periodic payments received or paid by the sub-funds are recorded as realised gains or losses. The credit default contracts are marked to market daily based upon quotations from an independent pricing service or market makers and the change, if any, is recorded as an unrealised gain or loss. Upon the occurrence of a credit event, the difference between the par value and market value of the reference obligation, net of any proportional amount of the upfront payment, is recorded as a realised gain or loss. In addition to bearing the risk that the credit event will occur, the sub-funds could be exposed to market risk due to unfavourable changes in interest rates or in the price of the underlying security or index or the possibility that the sub-funds may be unable to close out its position at the same time or at the same price as if it had purchased the underlying reference obligations. In certain circumstances, the sub-funds may enter into off setting credit default contracts which would mitigate it’s risk of loss. Risks of loss may exceed amounts recognised on the Statement of Net Assets. The sub-funds’ maximum risk of loss from counterparty risk, either as the protection seller or as the protection buyer, is the fair value of the contract. This risk may be mitigated by having a master netting arrangement between the sub-funds and the counterparty. Where the sub-funds are a seller of protection, the maximum potential amount of the future payments the sub-funds may be required to make is equal to the notional amount of the relevant credit default contract. Credit default contracts outstanding, including their respective notional amounts at year end, if any, are listed in the notes to the Financial Statements. Net realised gain or loss on investments Security transactions are recorded on the trade date. Realised gains and losses are determined on the basis of the average cost of securities sold. Interest Interest income is recorded on an accrual basis. Interest income includes a full accretion of discount and amortisation of premium between the time of purchase and sale (or maturity) of fixed income securities. Combined financial statements The accounts of the Trust are expressed in USD and the accounts of the sub-funds are kept in the currency of each subfund. The Combined Statement of Net Assets, the Combined Statement of Operations and the Combined Statement of Changes in Net Assets are the sum of the Statement of Net Assets, the Statement of Operations and the Statement of Changes in Net Assets of each sub-fund converted with the exchange rate prevailing at year-end. Cross sub-funds investments were not eliminated from the combined figures. At 31 December 2013, the total Cross sub-funds investments amounts to USD 1,005,837 and therefore Total Combined Net Assets Value at year-end without Cross sub-funds investments would amount to USD 3,559,640,847. Foreign currency translation The Net Asset Value of the sub-funds are at any time equal to the total of each Class of Units of the sub-funds, converted where necessary, into the base currency of the sub-funds, at the last available rate of exchange prevailing at the valuation point of the relevant sub-fund.
39
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
2. Summary of Significant Accounting Policies (continued) Foreign currency translation (continued) The exchange rates used for translation as at 31 December 2013 are: Euro (EUR) Euro (EUR) Euro (EUR)
1.203715 = GBP 1 0.814868 = CHF 1 0.726903 = USD 1
The following average exchange rate was used to calculate the Combined Total in the Statement of Operations and in the Statement of Changes in Net Assets for the year ended 31 December 2013: Euro (EUR)
0.753152 = USD 1
Distributions Sub-funds Invesco US Senior Loan Fund
Distribution Class Units GX, GHX EUR, HX, HHX AUD, KHX EUR, NX
Invesco European Senior Loan Fund Invesco Global Senior Loan Fund
GX, NHX USD -
Accumulation Class Units A, AH GBP, G, GH GBP, GH EUR, GH CHF, H, HH EUR, HH GBP, HH CHF, KH EUR GH GBP, H, K G
The amount of the distributions will be equal to the amount of the net investment income attributable to such Class of Units. The distributions will be declared and distributed on the first Dealing Day (Dealing Day means every day which is a full bank business day in Luxembourg and the United States) of the following month in which the distributions relevant to the reinvestment were declared. The distribution amount will be automatically reinvested in additional Units of the relevant Class of Units free of any sales charge, unless the Unitholder has nominated on its application form to receive such distributions in cash each month. Invesco US Senior Loan Fund As at 31 December 2013, the distributions, from the Class GX Units of Invesco US Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 31 December 2012 31 January 2013 28 February 2013 28 March 2013 30 April 2013 31 May 2013 28 June 2013 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
2 January 2013 1 February 2013 1 March 2013 2 April 2013 2 May 2013 3 June 2013 1 July 2013 1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
4 January 2013 5 February 2013 5 March 2013 4 April 2013 6 May 2013 5 June 2013 3 July 2013 6 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013
40
Distribution (USD) 527,439 482,052 508,513 375,377 354,820 443,111 608,956 699,196 891,620 877,060 945,367 923,622 7,637,133
Distribution Rate (USD) 0.449280 0.409443 0.463704 0.387573 0.345144 0.315208 0.321132 0.344082 0.377069 0.354060 0.369506 0.352450
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
2. Summary of Significant Accounting Policies (continued) Distributions (continued) As at 31 December 2013, the distributions, from the Class GHX EUR Units of Invesco US Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 31 December 2012 31 January 2013 28 February 2013 28 March 2013 30 April 2013 31 May 2013 28 June 2013 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
2 January 2013 1 February 2013 1 March 2013 2 April 2013 2 May 2013 3 June 2013 1 July 2013 1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
4 January 2013 5 February 2013 5 March 2013 4 April 2013 6 May 2013 5 June 2013 3 July 2013 6 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013
Distribution (EUR) 197,421 181,931 302,691 411,003 428,107 498,665 503,182 488,256 691,828 658,415 672,901 741,613 5,776,013
Distribution Rate (EUR) 0.430376 0.396449 0.279094 0.382349 0.337371 0.368336 0.353425 0.342404 0.377633 0.349628 0.316425 0.345956
As at 31 December 2013, the distributions, from the Class HX Units of Invesco US Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 31 December 2012 31 January 2013 28 February 2013 28 March 2013 30 April 2013 31 May 2013 28 June 2013 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
2 January 2013 1 February 2013 1 March 2013 2 April 2013 2 May 2013 3 June 2013 1 July 2013 1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
4 January 2013 5 February 2013 5 March 2013 4 April 2013 6 May 2013 5 June 2013 3 July 2013 6 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013
41
Distribution (USD) 137,022 144,227 187,055 270,123 443,358 559,364 694,470 851,886 1,156,791 1,173,862 1,254,052 1,307,789 8,179,999
Distribution Rate (USD) 0.336173 0.322154 0.336791 0.224255 0.270316 0.272402 0.264065 0.268097 0.321458 0.293054 0.296554 0.294303
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
2. Summary of Significant Accounting Policies (continued) Distributions (continued) As at 31 December 2013, the distributions, from the Class HHX AUD Units of Invesco US Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 28 March 2013 30 April 2013 31 May 2013 28 June 2013 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
2 April 2013 2 May 2013 3 June 2013 1 July 2013 1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
4 April 2013 6 May 2013 5 June 2013 3 July 2013 5 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013
Distribution (AUD) 1,773 2,732 4,330 6,884 10,636 13,867 20,200 25,752 28,466 114,640
Distribution Rate (AUD) 0.212545 0.264892 0.308173 0.280084 0.316889 0.282613 0.268303 0.313482 0.328900
As at 31 December 2013, the distributions, from the Class NX Units of Invesco US Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
5 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013
Distribution (USD) 26,347 64,999 43,090 13,307 21,004 168,747
Distribution Rate (USD) 0.175649 0.432567 1.278800 0.389872 0.313804
Invesco European Senior Loan Fund As at 31 December 2013, the distributions, from the Class GX Units of Invesco European Senior Loan Fund, reflected in the Statement of Changes in Net Assets were the following: Record date 31 December 2012 31 January 2013 28 February 2013 28 March 2013 30 April 2013 31 May 2013 28 June 2013 31 July 2013 30 August 2013 30 September 2013 31 October 2013 2 December 2013 Total
Ex date
Payment date
2 January 2013 1 February 2013 1 March 2013 2 April 2013 2 May 2013 3 June 2013 1 July 2013 1 August 2013 2 September 2013 1 October 2013 4 November 2013 2 December 2013
4 January 2013 5 February 2013 5 March 2013 4 April 2013 6 May 2013 5 June 2013 3 July 2013 6 August 2013 5 September 2013 3 October 2013 6 November 2013 4 December 2013 42
Distribution (EUR) 140,883 115,519 137,479 131,749 98,268 86,754 150,476 119,132 138,114 154,941 138,618 116,342 1,528,275
Distribution Rate (EUR) 0.470605 0.385289 0.457962 0.438221 0.326396 0.287848 0.498813 0.394266 0.456505 0.511366 0.456735 0.293616
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
2. Summary of Significant Accounting Policies (continued) Hedged Classes Hedged unit classes are intended to reduce a Unitholder's currency exposure to those net assets attributable to the specific Hedged unit class that are not denominated in that specific hedge unit class currency. Sub-funds Invesco US Senior Loan Fund
Classes AH GBP, GH GBP, HH GBP
GH EUR, GHX EUR, HH EUR, KH EUR, KHX EUR
GH CHF, HH CHF
HHX AUD
Invesco European Senior Loan Fund
GH GBP
NHX USD
Hedging Strategy Up to 100% of the non-GBP net asset value attributable to these classes, as reasonably practicable, are hedged into GBP through the use of forward currency exchange contracts Up to 100% of the non-Euro net asset value attributable to these classes, as reasonably practicable, are hedged into Euro through the use of forward currency exchange contracts Up to 100% of the non-CHF net asset value attributable to these classes, as reasonably practicable, are hedged into CHF through the use of forward currency exchange contracts Up to 100% of the non-AUD net asset value attributable to these classes, as reasonably practicable, are hedged into AUD through the use of forward currency exchange contracts Up to 100% of the non-GBP net asset value attributable to these classes, as reasonably practicable, are hedged into GBP through the use of forward currency exchange contracts Up to 100% of the non-USD net asset value attributable to these classes, as reasonably practicable, are hedged into USD through the use of forward currency exchange contracts
Realised and unrealised currency gains and losses are solely attributable to each Hedged Unit Class and not to any other Class of Units of the sub-fund.
43
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013
3. Fees The Investment Manager of Invesco Zodiac Funds are entitled to receive an investment management fee. These fees are accrued into the NAV and payable at the end of each quarter. Sub-funds Invesco US Senior Loan Fund
Classes A, AH GBP G, GH CHF, GH EUR, GH GBP, GX, GHX EUR
Invesco European Senior Loan Fund
H, HH CHF, HH EUR, HH GBP, HHX AUD, HX, KH EUR, KHX EUR
0.80% per annum of the Net Asset Value
NX GH GBP, GX
None 0.60% per annum of the Net Asset Value 0.80% per annum of the Net Asset Value 0.60% per annum of the Net Asset Value
H, K Invesco Global Senior Loan Fund
Management Fee 0.40% per annum of the Net Asset Value 0.55% per annum of the Net Asset Value
G
Concerning the waiver from the investment management fee, the Investment Manager may choose to waive or rebate its entire fee or any portion thereof at its absolute discretion for an indefinite period. For example, the Investment Manager may choose to waive or rebate all or part of its fee in order to reduce the impact such fee may have on the performance of such sub-fund. The waiver fees as at 31 December 2013 are as follow: Sub-funds Invesco US Senior Loan Fund Invesco European Senior Loan Fund Invesco Global Senior Loan Fund
Currency USD EUR USD
Waiver Fees 76,093 18,336
The Administrative Agent of the Trust, State Street Bank Luxembourg S.A, is entitled to receive an asset based fee, as follows: First $ 50 million Next $ 50 million Next $ 50 million Thereafter
12 b.p. 10 b.p. 7 b.p. 5 b.p.
Additionally, a fixed fee will be charged depending on the nature of the unit class. The Custodian is entitled to receive a custodian fee from each sub-fund in accordance with usual practice in Luxembourg. Such a fee is a combination of an asset based fee and transaction fee.
44
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 3. Fees (continued) The Management Company is entitled to receive, per sub-fund, a management fee as specified in the relevant Appendix of the Prospectus payable quarterly out of the assets of the relevant sub-fund. The other expenses are mainly composed of Pricing fees and Legal fees. 4. Taxation The sub-funds are subject to Luxembourg law with respect to their tax status. Under legislation and regulations currently prevailing in Luxembourg, the sub-funds of the Trust are subject to an annual “taxe d’abonnement” on their net assets at an annual rate of 0.01% calculated and payable quarterly. Under present law, the Trust is not subject to any Luxembourg tax on income or capital gains nor to any estate tax. The sub-funds collect the income produced by the securities in their portfolios after deduction of any applicable withholding tax in the relevant countries. 5. Credit Default Swaps As at 31 December 2013, there are no swap contracts on Invesco US Senior Loan Fund, Invesco European Senior Loan Fund and Invesco Global Senior Loan Fund. 6. Forward Foreign Exchange Contracts As at 31 December 2013, unrealised gains and losses on outstanding forward foreign exchange contracts reflected in the Statement of Net Assets for Invesco US Senior Loan Fund consists of the following contracts: Sub-fund level : Details of Forward Foreign Exchange Contracts Sell 83,692,000 USD To buy 61,000,000 EUR Sell 37,653,990 USD To buy 23,000,000 GBP Total unrealised loss on open forward foreign exchange contracts
Counterparty State Street Bank State Street Bank
Class AH GBP Units : Details of Forward Foreign Exchange Contracts Sell 62,852,007 USD To buy 38,436,991 GBP Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class GH CHF Units : Details of Forward Foreign Exchange Contracts Sell 61,522,487 USD To buy 54,985,924 CHF Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class GH EUR Units : Details of Forward Foreign Exchange Contracts Sell 129,113,392 USD To buy 94,209,448 EUR Total unrealised gain on open forward foreign exchange contracts
45
Counterparty State Street Bank
Unrealised gain/(loss) (USD) (224,875) (427,812) (652,687)
Maturity Date 23/1/2014 23/1/2014
Unrealised gain/(loss) (USD) 785,921 785,921
Maturity Date
Unrealised gain/(loss) (USD) 130,290 130,290
Maturity Date
Unrealised gain/(loss) (USD) 488,784 488,784
Maturity Date
31/1/2014
31/1/2014
31/1/2014
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 6. Forward Foreign Exchange Contracts (continued) Class GH GBP Units : Details of Forward Foreign Exchange Contracts Sell 14,801,278 USD To buy 9,051,685 GBP Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class GHX EUR Units : Details of Forward Foreign Exchange Contracts Sell 319,442,247 USD To buy 233,086,227 EUR Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class HH CHF Units : Details of Forward Foreign Exchange Contracts Sell 76,099,103 USD To buy 68,013,823 CHF Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class HH EUR Units : Details of Forward Foreign Exchange Contracts Sell 186,002,421 USD To buy 135,695,082 EUR Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Class HH GBP Units : Details of Forward Foreign Exchange Contracts Buy 68,305 USD To sell 41,395 GBP Total unrealised loss on open forward foreign exchange contracts Sell 13,133,455 USD To buy 8,031,732 GBP Total unrealised gain on open forward foreign exchange contracts Total net unrealised gain on forward foreign exchange contracts
Counterparty State Street Bank
State Street Bank
Class HHX AUD Units : Details of Forward Foreign Exchange Contracts Buy 173,452 USD To sell 194,475 AUD Sell 8,409,385 USD To buy 9,436,275 AUD Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank State Street Bank
Class KH EUR Units : Details of Forward Foreign Exchange Contracts Sell 541,173 USD To buy 394,875 EUR Total unrealised gain on open forward foreign exchange contracts
46
Counterparty State Street Bank
Unrealised gain/(loss) (USD) 185,080 185,080
Maturity Date
Unrealised gain/(loss) (USD) 1,210,119 1,210,119
Maturity Date
Unrealised gain/(loss) (USD) 161,161 161,161
Maturity Date
Unrealised gain/(loss) (USD) 670,766 670,766
Maturity Date
Unrealised gain/(loss) (USD) (230) (230)
Maturity Date
164,225 164,225 163,995 Unrealised gain/(loss) (USD) 123 836 959 Unrealised gain/(loss) (USD) 2,050 2,050
31/1/2014
31/1/2014
31/1/2014
31/1/2014
31/1/2014
31/1/2014
Maturity Date 31/1/2014 31/1/2014
Maturity Date 31/1/2014
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 6. Forward Foreign Exchange Contracts (continued) Class KHX EUR Units: Details of Forward Foreign Exchange Contracts Sell 10,276,925 USD To buy 7,498,723 EUR Total unrealised gain on open forward foreign exchange contracts
Counterparty State Street Bank
Unrealised gain/(loss) (USD) 38,927 38,927
Maturity Date 31/1/2014
As at 31 December 2013, the total unrealised gain on outstanding forward foreign exchange contracts for Invesco US Senior Loan Fund is USD 3,185,365. As at 31 December 2013, unrealised gains and losses on outstanding forward foreign exchange contracts reflected in the Statement of Net Assets for Invesco European Senior Loan Fund consists of the following contracts: Sub-fund level : Details of Forward Foreign Exchange Contracts Sell 265,672 EUR To buy 325,000 CHF Sell 1,967,930 EUR To buy 2,700,000 USD Total unrealised gain on open forward foreign exchange contracts Sell 19,092,441 EUR To buy 16,000,000 GBP Total unrealised loss on open forward foreign exchange contracts
Counterparty State Street Bank State Street Bank
State Street Bank
Total net unrealised loss on forward foreign exchange contracts
Sell 20,277,470 EUR To buy 16,994,568 GBP Total unrealised gain on open forward foreign exchange contracts Total net unrealised gain on forward foreign exchange contracts
Counterparty State Street Bank
State Street Bank
Class NHX USD Units: Details of Forward Foreign Exchange Contracts Buy 1,927 EUR To sell 2,639 USD Total unrealised gain on open forward foreign exchange contracts Sell 220,824 EUR To buy 302,639 USD Total unrealised loss on open forward foreign exchange contracts Total net unrealised loss on forward foreign exchange contracts
47
(164,628) (164,628)
Maturity Date 23/1/2014 23/1/2014
23/1/2014
(158,553)
Class GH GBP Units : Details of Forward Foreign Exchange Contracts Buy 56,350 EUR To sell 47,195 GBP Total unrealised loss on open forward foreign exchange contracts
Unrealised gain/(loss) (EUR) 801 5,274 6,075
Counterparty State Street Bank
State Street Bank
Unrealised gain/(loss) (EUR) (450) (450) 175,620 175,620 175,170
Unrealised gain/(loss) (EUR) 8 8 (831) (831) (823)
Maturity Date 31/1/2014
31/1/2014
Maturity Date 31/1/2014
31/1/2014
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 6. Forward Foreign Exchange Contracts (continued) As at 31 December 2013, the total unrealised gain on outstanding forward foreign exchange contracts for Invesco European Senior Loan Fund is EUR 15,794. 7. Unfunded loan commitments Invesco US Senior Loan Fund, Invesco European Senior Loan Fund and Invesco Global Senior Loan Fund may enter into certain credit agreements, all or a portion of which may be unfunded. It is obliged to fund these loan commitments at the borrowers’ discretion. Funded portions of credit agreements are presented in the Schedule of Investments. As at 31 December 2013, unfunded loan commitments on Invesco US Senior Loan Fund were as follows:
Issue Denomination Currency
Maturity Date
GBP Tunstall Group Holdings Limited USD Genesys Telecom Holdings, U.S., Inc. USD Reynolds Group Holdings Inc. Net unrealised loss on unfunded loan commitments
22/09/2019 13/11/2020 01/12/2018
Unfunded commitments USD 8,283,000 2,867,266 2,418,397 13,568,663
Market Value USD 8,261,865 2,878,916 2,416,885 13,557,666
Unrealised gain/(loss) on unfunded loan commitments* USD (21,135) 11,650 (1,512) (10,997)
As at 31 December 2013, unfunded loan commitment on Invesco European Senior Loan Fund was as follows:
Issue Denomination Currency
Maturity Date
GBP Tunstall Group Holdings Limited Net unrealised loss on unfunded loan commitments
22/09/2019
Unfunded commitments USD 1,204,663 1,204,663
Market Value USD 1,201,115 1,201,115
Unrealised gain/(loss) on unfunded loan commitments* USD (3,548) (3,548)
As at 31 December 2013, there was no unfunded loan commitment on Invesco Global Senior Loan Fund. 8. Line of Credit The custodian has established a loan agreement for a maximum amount of USD 100,000,000 for Invesco US Senior Loan Fund for temporary purposes. Interest is calculated based on the market rates at the time of borrowing. A commitment fee of 0.12% per annum will be incurred on the unused portion of the line of credit, which is allocated to the sub-fund based on its net assets. There was no related debt outstanding under the credit agreement at 31 December 2013 for Invesco US Senior Loan Fund. There is no line of credit for Invesco European Senior Loan Fund and for Invesco Global Senior Loan Fund.
* The unrealised gain/loss on unfunded loan commitments represents the appreciation/depreciation of the unfunded commitments due to the difference between the current price and the price of the contracts. 48
Invesco Zodiac Funds Notes to the Financial Statements (continued) as at 31 December 2013 9. Subsequent Events The following events occurred after 31 December 2013: The following class was launched on Invesco US Senior Loan Fund: HHX SGD Unit Class on 16 January 2014 The following class was launched on Invesco European Senior Loan Fund: G Unit Class on 26 February 2014 HH USD Unit Class on 23 April 2014 The following class was launched on Invesco Global Senior Loan Fund: GH CHF Unit Class on 17 March 2014 MH CHF Unit Class on 15 April 2014 10. Information for Swiss Unitholders Total Expense Ratio “TER” The Total Expense Ratio is the ratio of the gross amount of expenses to the average net assets of the Fund. Sub-funds Invesco US Senior Loan Fund A AH GBP G GX GH GBP GH EUR GH CHF GHX EUR H HX HH EUR HH GBP HHX AUD HH CHF KH EUR KHX EUR NX Invesco European Senior Loan Fund GX GH GBP H K NHX USD
TER 31/12/2013 0.50% 0.57% 0.65% 0.66% n/a 0.72% n/a 0.71% 0.92% 0.90% 0.97% 0.96% n/a 0.97% n/a n/a n/a
0.85% n/a n/a 1.05% n/a
Invesco Global Senior Loan Fund G
n/a
The Total Expense Ratio (TER) has been calculated in accordance with the guidelines dated 16 May 2008 issued by the Swiss Funds and Asset Management Association (SFAMA). 11. Approval of Financial Statements The financial statements were approved by the Directors of the Management Company on 24 June 2014. 49
Invesco Zodiac Funds Other Information (unaudited) as at 31 December 2013 Portfolio Turnover Rate (“PTR”) Sub-funds
31/12/2013 92.68% 393.70% 0.23%
Invesco US Senior Loan fund Invesco European Senior Loan Fund Invesco Global Senior Loan Fund
The Portfolio Turnover Ratio (PTR) has been calculated in accordance with the guidelines dated 16 May 2008 issued by the Swiss Funds & Asset Management Association (SFAMA). Performance of the fund of the last three exercises Invesco US Senior Loan Fund
Class A USD NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 148.26 6.29% 18.50%
31/12/2012 139.49
31/12/2011 125.11
Class H USD NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 144.09 5.86% 17.57%
31/12/2012 136.11
31/12/2011 122.56
Class HX USD NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 93.63 1.96% 7.34%
31/12/2012 91.83
31/12/2011 87.23
Class HH EUR NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 193.25 9.96% 24.05%
31/12/2012 175.74
31/12/2011 155.78
Class AH GBP NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 244.97 8.45% 26.56%
31/12/2012 225.88
31/12/2011 193.56
Class HH GBP NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 195.88 8.05% 25.55%
31/12/2012 181.28
31/12/2011 156.02
50
Invesco Zodiac Funds Other Information (unaudited) as at 31 December 2013
Performance of the fund of the last three exercises (continued)
Class G USD NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 117.10 6.13% 18.15%
31/12/2012 110.34
31/12/2011 99.11
Class GH EUR NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 161.06 10.22% 24.50%
31/12/2012 146.12
31/12/2011 129.37
Class HH CHF NAV per unit Performance since 31/12/2012 Performance since 31/12/2011
31/12/2013 130.55 8.03% 22.33%
31/12/2012 120.85
31/12/2011 106.72
Class GX USD NAV per unit Performance since 31/12/2012 Performance since launch date
31/12/2013 104.14 1.62% 4.02%
31/12/2012 102.48
27/04/2012 100.12
Class GHX EUR NAV per unit Performance since 31/12/2012 Performance since launch date
31/12/2013 143.43 5.82% 14.07%
31/12/2012 135.54
22/05/2012 125.74
Class GH CHF NAV per unit Performance since launch date
31/12/2013 116.54 8.63%
22/02/2013 107.28
Class HHX AUD NAV per unit Performance since launch date
31/12/2013 92.24 -10.67%
11/03/2013 103.26
Class KH EUR NAV per unit Performance since launch date
31/12/2013 141.95 10.00%
20/03/2013 129.05
Class GH GBP NAV per unit Performance since launch date
31/12/2013 171.53 13.15%
25/03/2013 151.60
51
Invesco Zodiac Funds Other Information (unaudited) as at 31 December 2013
Performance of the fund of the last three exercises (continued)
Class NX USD NAV per unit Performance since launch date
31/12/2013 99.95 -0.14%
17/07/2013 100.09
Class KHX EUR NAV per unit Performance since launch date
31/12/2013 139.35 1.79%
18/10/2013 136.90
Class GX EUR NAV per unit Performance since 31/12/2012 Performance since launch date
31/12/2013 109.04 3.71% 8.96%
31/12/2012 105.14
31/05/2012 100.07
Class K EUR NAV per unit Performance since 31/12/2012 Performance since launch date
31/12/2013 114.16 8.47% 14.02%
31/12/2012 105.25
19/07/2012 100.12
Class GH GBP NAV per unit Performance since launch date
31/12/2013 128.65 9.59%
20/03/2013 117.39
Class H EUR NAV per unit Performance since launch date
31/12/2013 103.95 3.95%
29/07/2013 100.00
Class NHX USD NAV per unit Performance since launch date
31/12/2013 73.18 -0.96%
29/11/2013 73.89
31/12/2013 100.51 0.51%
29/11/2013 100.00
Invesco European Senior Loan Fund
Invesco Global Senior Loan Fund
Class G USD NAV per unit Performance since launch date
The information and returns relate to the past reporting period and are not indicative of future income.
52
