Quarterly Schedule of Portfolio Holdings of Registered Management Investment Company (n-q)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.3%

NET ASSETS – 100.0%

2,777,709

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number: 811-6569

Ivy Funds

(Exact name of registrant as specified in charter)

6300 Lamar Avenue, Overland Park, Kansas 66202

(Address of principal executive offices) (Zip code)

Mara D. Herrington

6300 Lamar Avenue

Overland Park, Kansas 66202

(Name and address of agent for service)

Registrant’s telephone number, including area code: 913-236-2000

Date of fiscal year end: March 31

Date of reporting period: December 31, 2012

ITEM 1. SCHEDULE OF INVESTMENTS.

SCHEDULE OF INVESTMENTS

Ivy Asset Strategy Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Apparel, Accessories & Luxury Goods – 3.4%
Compagnie Financiere Richemont S.A. (A)(B)(C)		6,131	$	481,235
Prada S.p.A. (A)(B)		41,803		406,188

				887,423


Application Software – 1.1%
Intuit Inc.		4,848		288,450


Asset Management & Custody Banks – 3.5%
Apollo Global Management, LLC		11,988		208,104
Blackstone Group L.P. (The)		17,991		280,472
Carlyle Group L.P. (The) (A)		8,822		229,624
KKR & Co. L.P.		12,023		183,116

				901,316


Automobile Manufacturers – 5.1%
Bayerische Motoren Werke AG (B)		7,076		688,568
Hyundai Motor Company (A)(B)		3,118		642,840

				1,331,408


Broadcasting – 2.5%
CBS Corporation, Class B (C)		17,398		661,982


Casinos & Gaming – 14.0%
Galaxy Entertainment Group Limited, ADR (A)(B)(D)		246,979		990,332
Sands China Ltd. (B)		296,232		1,324,354
Wynn Macau, Limited (A)(B)		61,186		168,488
Wynn Resorts, Limited (C)(D)		10,049		1,130,383

				3,613,557


Computer Hardware – 2.6%
Apple Inc. (A)(E)		1,260		671,405


Construction & Farm Machinery & Heavy Trucks – 3.1%
Caterpillar Inc. (C)		4,505		403,522
Cummins Inc. (C)		3,618		391,978

				795,500


Diversified Banks – 2.5%
China Minsheng Banking Corp., Ltd., H Shares (A)(B)		312,696		367,329
Wells Fargo & Company		7,939		271,352

				638,681


Fertilizers & Agricultural Chemicals – 0.1%
Mosaic Company (A)		475		26,922


Hotels, Resorts & Cruise Lines – 1.7%
Starwood Hotels & Resorts Worldwide, Inc. (C)		7,690		441,098


Integrated Oil & Gas – 5.3%
Exxon Mobil Corporation	2,703		233,971
Occidental Petroleum Corporation (C)	3,997		306,187
Royal Dutch Shell plc, Class A (B)	7,893		271,688
StatoilHydro ASA (B)	9,815		247,373
Total S.A. (B)	6,294		327,472

			1,386,691


Internet Retail – 0.4%
Amazon.com, Inc. (A)	453		113,842


Internet Software & Services – 6.0%
Baidu.com, Inc., ADR (A)	6,049		606,623
Google Inc., Class A (A)	609		431,652
Tencent Holdings Limited (B)	15,927		522,340

			1,560,615


IT Consulting & Other Services – 1.8%
Cognizant Technology Solutions Corporation, Class A (A)(C)	6,428		476,026


Life & Health Insurance – 3.8%
AIA Group Limited (A)(B)	239,123		948,444
Ping An Insurance (Group) Company of China, Ltd., A Shares (B)	6,887		50,367

			998,811


Managed Health Care – 0.2%
UnitedHealth Group Incorporated	1,175		63,732


Movies & Entertainment – 4.6%
Delta Topco Limited (A)(D)(F)	718,555		561,401
Legend Pictures LLC, Ltd. (A)(F)(G)	190		352,761
News Corporation Limited, Class A (A)	10,610		270,985

			1,185,147


Multi-Line Insurance – 1.0%
American International Group, Inc. (A)	7,697		271,686


Oil & Gas Drilling – 0.3%
Seadrill Limited (B)	2,004		73,837


Oil & Gas Exploration & Production – 3.1%
ConocoPhillips (C)	13,822		801,566


Oil & Gas Refining & Marketing – 1.6%
Phillips 66 (C)	7,971		423,286


Pharmaceuticals – 5.4%
GlaxoSmithKline plc (B)	15,687		341,553
Pfizer Inc.	25,019		627,483
Sanofi-Aventis (B)	4,558		432,275

			1,401,311


Semiconductor Equipment – 1.7%
ASML Holding N.V., Ordinary Shares (A)(B)	6,717		430,784


Semiconductors – 1.0%
Intel Corporation	12,059		248,781


Tobacco – 2.0%
Philip Morris International Inc.	6,166		515,724


TOTAL COMMON STOCKS – 77.8%		$	20,209,581
(Cost: $14,593,049)

PREFERRED STOCKS
Automobile Manufacturers – 4.7%
Volkswagen AG, 2.260% (A)(B)(C)	5,329		1,222,634


TOTAL PREFERRED STOCKS – 4.7%		$	1,222,634
(Cost: $462,130)


PURCHASED OPTIONS	Number of Contracts (Unrounded)
American International Group, Inc.:
Call $39.00, Expires 1–22–13, OTC (Ctrpty: Morgan Stanley & Co., Inc.)		35,738	232
Call $37.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		5,453	161
Apple Inc.:
Call $560.00, Expires 1–19–13		1,194	854
Call $525.00, Expires 3–18–13		1,188	4,514
Bank of America Corporation:
Call $10.00, Expires 2–19–13		27,803	4,893
Call $11.00, Expires 2–19–13		7,000	693
Call $11.00, Expires 2–19–13, OTC (Ctrpty: UBS AG)		99,179	9,819
Caterpillar Inc.,
Call $97.50, Expires 1–19–13, OTC (Ctrpty: Deutsche Bank AG)		4,001	46
CBS Corporation, Class B,
Call $35.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		15,917	5,173
Compagnie Financiere Richemont S.A.,
Call CHF66.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)(H)		2,388	1,562
Freeport-McMoRan Copper & Gold Inc., Class B,
Call $35.00, Expires 2–19–13, OTC (Ctrpty: Morgan Stanley & Co., Inc.)		7,948	842
Goldman Sachs Group, Inc. (The):
Call $130.00, Expires 1–22–13, OTC (Ctrpty: Morgan Stanley & Co., Inc.)		2,154	619
Call $130.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		2,026	582
Call $135.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		8,471	1,059
Google Inc., Class A:
Call $770.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		368	75
Call $800.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		879	48
Home Depot, Inc. (The),
Call $65.00, Expires 1–22–13, OTC (Ctrpty: UBS AG)		4,230	106
International Business Machines Corporation,
Call $215.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		4,395	18
JPMorgan Chase & Co.:
Call $44.00, Expires 1–22–13, OTC (Ctrpty: Goldman Sachs International)		4,595	517
Call $45.00, Expires 1–22–13, OTC (Ctrpty: Citibank N.A.)		21,584	1,500
Call $45.00, Expires 1–22–13, OTC (Ctrpty: Goldman Sachs International)		5,986	416
Call $45.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)		2,395	166
Nikkei 225 Index,
Call JPY10,000.00, Expires 4–12–13, OTC (Ctrpty: Citibank N.A.)(H)		5,564	47,879
Oracle Corporation,
Call $35.00, Expires 1–22–13, OTC (Ctrpty: JPMorgan Chase Bank N.A.)		27,172	272


Phillips 66,
Call $47.00, Expires 1–22–13, OTC (Ctrpty: Citibank N.A.)		7,959			4,935
QUALCOMM Incorporated:
Call $67.50, Expires 1–22–13, OTC (Ctrpty: Deutsche Bank AG)		9,775			93
Call $70.00, Expires 1–22–13, OTC (Ctrpty: Deutsche Bank AG)		4,619			18
Union Pacific Corporation:
Call $130.00, Expires 1–22–13, OTC (Ctrpty: UBS AG)		2,157			148
Call $135.00, Expires 1–22–13, OTC (Ctrpty: UBS AG)		5,067			41
Volkswagen AG,
Call EUR155.00, Expires 1–22–13, OTC (Ctrpty: Goldman Sachs International)(H)		6,369			16,322
Wells Fargo & Company:
Call $36.00, Expires 1–22–13		7,367			140
Call $37.00, Expires 1–22–13		7,422			48
Call $39.00, Expires 1–22–13		2,875			3
Call $39.00, Expires 1–22–13, OTC (Ctrpty: Deutsche Bank AG)		24,781			25
Wynn Resorts, Limited,
Call $115.00, Expires 1–22–13, OTC (Ctrpty: Deutsche Bank AG)		5,570			1,000


TOTAL PURCHASED OPTIONS – 0.4%				$	104,819
(Cost: $63,227)

CORPORATE DEBT SECURITIES	Principal
Automobile Manufacturers – 0.0%
Toyota Motor Credit Corporation,
3.660%, 1–18–15 (I)	$	325			328


Food Distributors – 0.3%
U.S. Foodservice, Inc.,
8.500%, 6–30–19 (J)	$	79,124			80,706


Homebuilding – 0.0%
Desarrolladora Homex, S.A. de C.V.,
7.500%, 9–28–15		470			476


Independent Power Producers & Energy Traders – 0.0%
CESP – Companhia Energetica de Sao Paulo,
9.750%, 1–15–15 (H)(J)		BRL11,900			8,505


Movies & Entertainment – 2.2%
Delta Topco Limited,
10.000%, 11–24–60 (F)(K)		552,482			552,483


TOTAL CORPORATE DEBT SECURITIES – 2.5%				$	642,498
(Cost: $645,898)

SENIOR LOANS
Food Distributors – 0.0%
U.S. Foodservice, Inc.,
5.750%, 5–11–17 (I)		10,500			10,507


Movies & Entertainment – 1.9%
Circuit of the Americas LLC,
6.000%, 6–30–17 (I)		12,750			12,750
Formula One Holdings Ltd. and Alpha Topco Limited:
6.000%, 4–27–19 (I)		297,867			301,840
9.250%, 10–16–19 (I)		176,800			180,115

					494,705


TOTAL SENIOR LOANS – 1.9%				$	505,212
(Cost: $489,822)

UNITED STATES GOVERNMENT AGENCY OBLIGATIONS
Mortgage-Backed Obligations – 0.0%
Federal Home Loan Mortgage Corporation Agency REMIC/CMO:
4.500%, 8–15–17 (L)		—	*		—	*
5.500%, 9–15–17 (L)		663			33
5.000%, 11–15–17 (L)		195			4
5.000%, 5–15–18 (L)		977			73
5.000%, 4–15–19 (L)		57			1
5.500%, 3–15–23 (L)		731			73


5.000%, 6–15–23 (L)		109		1
5.000%, 8–15–23(L)		16		—	*
5.500%, 10–15–25(L)		1,107		140
5.500%, 10–15–32(L)		461		12
5.500%, 1–15–33(L)		561		67
5.500%, 5–15–33(L)		1,013		150
6.000%, 11–15–35(L)		911		146
Federal National Mortgage Association Agency REMIC/CMO:
5.500%, 6–25–23(L)		942		113
5.000%, 8–25–23(L)		94		1
5.000%, 11–25–23(L)		340		11
5.000%, 8–15–31(L)		426		5
5.500%, 8–25–33(L)		1,901		219
5.500%, 12–25–33(L)		1,320		103
5.500%, 4–25–34(L)		2,019		234
5.500%, 8–25–35(L)		1,573		308
5.500%, 11–25–36(L)		3,855		481
Government National Mortgage Association Agency REMIC/CMO:
5.000%, 6–20–31(L)		31		—	*
5.500%, 3–20–32(L)		736		50
5.000%, 10–20–32(L)		1,296		88
7.000%, 5–20–33(L)		2,783		782
5.500%, 7–16–33(L)		1,401		317
5.000%, 7–20–33(L)		32		2
5.500%, 11–20–33(L)		208		12
5.500%, 6–20–35(L)		2,291		331
5.500%, 7–20–35(L)		1,117		154
5.500%, 10–16–35(L)		2,244		348

				4,259


TOTAL UNITED STATES GOVERNMENT AGENCY OBLIGATIONS – 0.0%			$	4,259
(Cost: $11,410)

BULLION – 10.1%	Troy Ounces
Gold		1,566	$	2,619,693

(Cost: $1,827,780)

SHORT-TERM SECURITIES	Principal
Certificate Of Deposit – 0.3%
Banco del Estado de Chile:
0.260%, 1–17–13	$	15,000		15,000
0.220%, 1–28–13		17,000		17,000
0.280%, 2–14–13		12,000		12,000
0.270%, 3–5–13		29,300		29,300
0.270%, 3–6–13		5,000		5,000

				78,300


Commercial Paper – 1.6%
Bank of Nova Scotia:
0.020%, 1–2–13(M)		13,000		13,000
0.110%, 1–14–13(M)		13,000		12,999
Bemis Company, Inc.,
0.310%, 1–22–13(M)		9,000		8,998
Campbell Soup Company,
0.240%, 2–1–13(M)		10,489		10,487
Colgate–Palmolive Company,
0.080%, 1–7–13(M)		4,100		4,100
Corporacion Andina de Fomento:
0.190%, 2–4–13(M)		22,000		21,996
0.260%, 2–19–13(M)		6,800		6,798
CVS Caremark Corporation,
0.280%, 1–2–13(M)		13,400		13,400


Emerson Electric Co.,
0.370%, 1–24–13(M)	5,000		4,999
Fannie Mae Discount Notes,
0.040%, 2–25–13(M)	100,000		99,994
Freddie Mac Discount Notes,
0.130%, 7–1–13(M)	4,615		4,612
International Business Machines Corporation,
0.060%, 1–10–13(M)	100,000		99,999
John Deere Financial Limited (GTD by John Deere Capital Corporation),
0.170%, 2–13–13(M)	10,000		9,998
PACCAR Financial Corp. (GTD by PACCAR Inc.),
0.130%, 2–5–13(M)	2,900		2,900
Peninsula Ports Auth of VA, Coal Terminal Rev Rfdg Bonds (Dominion Terminal Assoc Proj), Ser 1987-A (GTD by U.S. Bank, N.A.),
0.190%, 2–5–13(M)	3,000		3,000
Prudential Funding LLC (GTD by Prudential Financial Inc.),
0.100%, 1–2–13(M)	3,245		3,245
River Fuel Company #2, Inc. (GTD by Bank of Nova Scotia),
0.200%, 2–28–13(M)	5,752		5,749
Sonoco Products Co.,
0.000%, 1–2–13(M)	33,860		33,860
St. Jude Medical, Inc.:
0.440%, 1–15–13(M)	13,000		12,999
0.190%, 1–18–13(M)	479		479
Straight-A Funding, LLC (GTD by Federal FinancingBank):
0.170%, 1–17–13(M)	2,000		2,000
0.170%, 1–28–13(M)	5,900		5,899
Toyota Motor Credit Corporation,
0.170%, 1–24–13(M)	6,000		5,999
Walt Disney Company (The):
0.310%, 2–11–13(M)	11,050		11,048
0.160%, 2–19–13(M)	14,000		13,997

			412,555


Master Note – 0.0%
Toyota Motor Credit Corporation,
0.142%, 6–28–13(N)	733		733


Municipal Obligations-Taxable – 0.2%
CA Pollutn Ctl Fin Auth, Pollutn Ctl Rfdg Rev Bonds (Pacific Gas and Elec Co), Ser C (GTD by JPMorgan Chase Bank, N.A.),
0.100%, 1–2–13(N)	—	*	—	*
CA Statewide Cmnty Dev Auth, Multifam Hsng Rev Bonds (1030 Post Street Apts), Ser 2005 Y,
0.130%, 1–3–13(N)	5,300		5,300
CA Statewide Cmnty Dev Auth, Multifam Hsng Rev Bonds (Wyndover Apts), Ser 2004 LL (GTD by United States Government),
0.120%, 1–3–13(N)	2,000		2,000
City of Whittier, Hlth Fac Rev Bonds (Presbyterian Intercmnty Hosp), Ser 2009 (GTD by U.S. Bank, N.A.),
0.130%, 1–2–13(N)	4,400		4,400
FL Muni Power Agy, All-Requirements Power Supply Proj Var Rate Demand Rfdg Rev Bonds, Ser 2008C (Bank of America, N.A.),
0.130%, 1–2–13(N)	5,060		5,060
Hosp Fac Auth of Clackamas Cnty, OR, Rev Bonds (Legacy Hlth Sys), Ser 2008B (GTD by U.S. Bank, N.A.),
0.120%, 1–2–13(N)	1,905		1,905
Los Angeles, CA, Wastewater Sys Sub Rev Bonds, Var Rate Rfdg, Ser 2008-A (GTD by Bank of America, N.A.),
0.130%, 1–3–13(N)	2,837		2,837
MA Hlth and Edu Fac Auth, Var Rate Rev Bonds, Dana-Farber Cancer Institute Issue, Ser 2008L-1 (GTD by JPMorgan Chase Bank, N.A.),
0.110%, 1–3–13(N)	3,500		3,500


MS Business Fin Corp, Gulf Opp Zone Indl Dev Var Rev Bonds (Chevron U.S.A. Inc. Proj), Ser E (GTD by Chevron Corporation), 0.100%, 1–2–13 (N)	2,822		2,822
NY Hsng Fin Agy, Clinton Park Phase II Hsng Rev Bonds, Ser 2011 A-1 (GTD by Wells Fargo Bank, N.A.), 0.130%, 1–2–13 (N)	4,084		4,084
NYC GO Bonds, Fiscal 2006 Ser E (GTD by Bank of America, N.A.), 0.160%, 1–3–13 (N)	12,657		12,657
NYC Hsng Dev Corp, Multi-Fam Mtg Rev Bonds (Target V Apt), Ser 2006 A (GTD by Citibank, N.A.), 0.140%, 1–2–13 (N)	6,300		6,300
Taxable Cert of Part, Denver Pub Sch, Var Rate Rfdg Ser 2011A-3, 0.180%, 1–2–13 (N)	862		862
Uinta Cnty, WY, Pollutn Ctl Rfdg Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 1992 (GTD by Chevron Corporation), 0.100%, 1–2–13 (N)	2,250		2,250

			53,977


Treasury Bills – 0.3%
United States Treasury Bills, 0.010%, 2–14–13	75,401		75,400


United States Government Agency Obligations – 0.1%
Overseas Private Investment Corporation (GTD by United States Government):
0.170%, 1–2–13 (N)	16,674		16,674
0.170%, 1–2–13 (N)	5,679		5,679
0.170%, 1–2–13 (N)	3,000		3,000

			25,353


TOTAL SHORT-TERM SECURITIES – 2.5%		$	646,318
(Cost: $646,318)

TOTAL INVESTMENT SECURITIES – 99.9%		$	25,955,014
(Cost: $18,739,634)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.1%			20,700

NET ASSETS – 100.0%		$	25,975,714

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Listed on an exchange outside the United States.

(C)	All or a portion of the security position is held in collateralized accounts for OTC derivatives collateral as governed by International Swaps and Derivatives Association, Inc. Master Agreements.

(D)	Deemed to be an affiliate due to the Fund owning at least 5% of the voting securities.

(E)	All or a portion of the security position is held in collateralized accounts to cover potential obligations with respect to outstanding written options.

(F)	Restricted securities. At December 31, 2012, the Fund owned the following restricted securities:


Security	Acquisition Date(s)		Shares		Cost		Market Value
Delta Topco Limited		1-23-12 to 5-1-12		718,555	$	485,830	$	561,401
Legend Pictures LLC, Ltd.		12-18-12		190		352,761		352,761
			Principal
Delta Topco Limited, 10.000%, 11-24-60		1-23-12 to 6-18-12		$552,482		559,215		552,483
					$	1,397,806	$	1,466,645

The total value of these securities represented 5.6% of net assets at December 31, 2012.

(G)	Investment is owned by an entity that is treated as a corporation for U.S. tax purposes which is owned by the Fund.

(H)	Principal amount and exercise prices are denominated in the indicated foreign currency, where applicable (BRL - Brazilian Real, CHF - Swiss Franc, EUR - Euro and JPY - Japanese Yen).

(I)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(J)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $89,211 or 0.3% of net assets.

(K)	Payment-in-kind bonds.

(L)	Interest-only security. Amount shown as principal represents notional amount for computation of interest.

(M)	Rate shown is the yield to maturity at December 31, 2012.

(N)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	Euro	Morgan Stanley International		242,920		1-14-13	$	—	$	6,531
Sell	Euro	Deutsche Bank AG		170,575		1-14-13		—		4,378
Sell	Euro	Goldman Sachs International		608,750		1-14-13		—		15,750
							$	—	$	26,659

The following written options were outstanding at December 31, 2012 (contracts and exercise prices unrounded):


Underlying Security	Counterparty, if OTC	Type	Number of Contracts		Expiration Month		Exercise Price		Premium Received		Market Value
American International Group, Inc.	Morgan Stanley & Co., Inc.	Put		35,738		January 2013	$	32.00	$	2,748	$	(518	)
Apple Inc.	N/A	Call		2,388		January 2013		595.00		2,858		(476	)
	N/A	Put		1,188		March 2013		460.00		2,470		(1,209	)
	N/A	Call		1,188		March 2013		595.00		1,499		(1,518	)
Bank of America Corporation	UBS AG	Put		99,179		February 2013		8.00		2,387		(248	)
	N/A	Put		34,803		February 2013		8.00		1,292		(87	)
Caterpillar Inc.	Deutsche Bank AG	Put		4,001		January 2013		80.00		1,135		(96	)
CBS Corporation, Class B	Barclays Bank plc	Call		31,834		January 2013		37.00		1,273		(5,014	)
Compagnie Financiere Richemont S.A.	Barclays Bank plc	Call		2,388		January 2013		CHF68.00		491		(1,090	)
	Barclays Bank plc	Call		2,388		January 2013		70.00		316		(690	)
Freeport-McMoRan Copper & Gold Inc., Class B	Morgan Stanley & Co., Inc.	Put		7,948		February 2013	$	30.00		778		(322	)
	Morgan Stanley & Co., Inc.	Call		7,948		February 2013		40.00		153		(87	)
Goldman Sachs Group, Inc. (The)	Morgan Stanley & Co., Inc.	Put		2,154		January 2013		105.00		605		(67	)
	Barclays Bank plc	Put		10,497		January 2013		110.00		3,363		(457	)
Google Inc., Class A	Barclays Bank plc	Put		368		January 2013		630.00		398		(65	)
Home Depot, Inc. (The)	UBS AG	Put		4,230		January 2013		55.00		516		(47	)
Intel Corporation	N/A	Put		38,360		January 2013		21.00		5,908		(2,762	)
International Business Machines Corporation	Barclays Bank plc	Put		4,395		January 2013		185.00		1,346		(479	)
JPMorgan Chase & Co.	Citibank N.A.	Put		21,584		January 2013		37.00		2,374		(270	)
	Barclays Bank plc	Put		2,395		January 2013		37.00		180		(30	)
	Goldman Sachs International	Put		5,986		January 2013		37.00		479		(75	)
Microsoft Corporation	N/A	Put		28,770		January 2013		28.00		3,482		(4,027	)
Oracle Corporation	JPMorgan Chase Bank N.A.	Put		27,172		January 2013		29.00		2,144		(68	)
Phillips 66	Citibank N.A.	Call		15,918		January 2013		50.00		1,942		(5,730	)
QUALCOMM Incorporated	Deutsche Bank AG	Put		9,775		January 2013		57.50		1,955		(332	)
	Deutsche Bank AG	Put		4,619		January 2013		60.00		882		(351	)
Union Pacific Corporation	UBS AG	Put		7,224		January 2013		110.00		1,913		(108	)
Volkswagen AG	Goldman Sachs International	Call		12,738		January 2013		EUR165.00		4,691		(16,986	)
Wells Fargo & Company	N/A	Put		7,367		January 2013	$	31.00		497		(99	)


	N/A	Put	7,422	January 2013	32.00		571		(171	)
	Deutsche Bank AG	Put	24,781	January 2013	33.00		1,870		(1,004	)
	N/A	Put	2,875	January 2013	33.00		188		(116	)
Wynn Resorts, Limited	Deutsche Bank AG	Call	11,140	January 2013	120.00		947		(613	)
						$	53,651	$	(45,212	)

Each Fund’s investments are reported at fair value. Fair value is defined as the price that each Fund would receive upon selling an asset or would pay upon satisfying a liability in an orderly transaction between market participants at the measurement date.

Accounting standards establish a framework for measuring fair value and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the factors that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances.

Reoccurring fair value measurements of Level 3 securities shall include a reconciliation of the beginning to ending balances for reported fair market values. A fair value hierarchy and Level 3 reconciliation, if applicable, have been included in the Notes to Schedule of Investments for each respective Fund.

An individual investment’s fair value measurement is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized as follows:

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

Level 2 – Significant other observable inputs, which may include, but are not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs.

Level 3 – Significant unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, which may include assumptions made by the Board or persons acting at their direction that are used in determining the fair market value of investments.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	2,618,290	$	4,702,005	$	914,163
Consumer Staples		515,724		—		—
Energy		1,765,011		920,369		—
Financials		1,444,354		1,366,141		—
Health Care		691,216		773,827		—
Industrials		795,500		—		—
Information Technology		2,722,935		953,124		—
Materials		26,922		—		—
Total Common Stocks	$	10,579,952	$	8,715,466	$	914,163
Preferred Stocks		—		1,222,634		—
Purchased Options		11,145		93,674		—
Corporate Debt Securities		—		90,016		552,482
Senior Loans		—		312,347		192,865
United States Government Agency Obligations		—		4,259		—
Bullion		2,619,693		—		—
Short-Term Securities		—		646,318		—
Total	$	13,210,790	$	11,084,714	$	1,659,510
Liabilities
Forward Foreign Currency Contracts	$	—	$	26,659	$	—
Written Options	$	10,465	$	34,747	$	—

During the period ended December 31, 2012, securities totaling $8,715,466 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Common Stocks		Corporate Debt Securities			Senior Loans
Beginning Balance 4-1-12	$	26,811	$	712,767		$	—
Net realized gain (loss)		—		(1,828	)		—
Net change in unrealized appreciation (depreciation)		20,856		(6,441	)		5,967
Purchases		866,496		1,050,086			186,898
Sales		—		(1,202,100	)		—
Transfers into Level 3 during the period		—		—			—
Transfers out of Level 3 during the period		—		—			—
Ending Balance 12-31-12	$	914,163	$	552,482		$	192,865
Net change in unrealized appreciation (depreciation) for all Level 3 investments still held as of 12-31-12	$	20,856	$	(6,733	)	$	5,967

Quantitative Information about Level 3 fair value measurements:

Fair Value at

12-31-12

Valuation Technique(s)

Unobservable Input(s)

Assets

Common Stocks

352,761

Purchase price

561,402

See below

⁽¹⁾

Corporate Debt Securities

552,483

See below

⁽¹⁾

Senior Loans

192,865

Third-party vendor pricing service

Vendor quotes

⁽¹⁾ At December 31, 2012, Ivy Asset Strategy Fund held (minority stake) investments in private-placement common stock and corporate debt securities. Because of the unique nature of these securities, the Fund determined the enterprise value after considering the results of multiple valuation methodologies, including both a comparison to market comparable companies and a discounted cash flow model. The total enterprise value was then allocated to the common stock and corporate debt securities held by the Fund.

Under the market comparable companies’ model, the most significant input was the price-earnings ratio, for which a range of 19 to 22 was considered to be the range that market participants would take into account when pricing the issuer.

Using a discounted cash flows model, the most significant inputs (and related range of assumptions anticipated to be used by market participants) were the long-term growth rate (1.5% – 3.5%), the weighted average cost of capital (8.0% – 9.0%), the anticipated future tax rate (4.6% – 23%), and the future gross profit percentage (2.5% – 11.4%).

The Fund also applied an illiquidity discount of 5-10% for purposes of this valuation.

Significant changes in any of these inputs would result in a significantly lower or higher fair value measurement.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipt

CMO = Collateralized Mortgage Obligation

GTD = Guaranteed

OTC = Over the Counter

REMIC = Real Estate Mortgage Investment Conduit

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	18,739,634
Gross unrealized appreciation		7,471,295
Gross unrealized depreciation		(255,915	)
Net unrealized appreciation	$	7,215,380

SCHEDULE OF INVESTMENTS

Ivy Asset Strategy New Opportunities Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Advertising – 4.3%
Focus Media Holding Limited, ADR		493	$	12,663


Agricultural Products – 0.3%
Cosan S.A. Industria e Comercio, Class A		51		890


Air Freight & Logistics – 5.2%
GLOVIS Co., Ltd. (A)(B)		73		15,184


Airlines – 6.5%
Copa Holdings, S.A., Class A		191		19,021


Automobile Manufacturers – 8.9%
Ford Otomotiv Sanayi A.S. (B)		1,000		12,032
Kia Motors Corporation (A)(B)		259		13,781

				25,813


Broadcasting – 3.2%
Astro Malaysia Holdings Berhad (B)(C)		5,750		5,641
PT Media Nusantara Citra Tbk (A)(B)		11,058		2,873
PT Media Nusantara Citra Tbk (A)(B)(C)		3,000		779

				9,293


Coal & Consumable Fuels – 1.2%
Alpha Natural Resources, Inc. (A)		347		3,384


Commodity Chemicals – 0.6%
Mexichem, S.A.B. de C.V. (A)(B)		333		1,848


Construction & Engineering – 4.4%
Chicago Bridge & Iron Company N.V., NY Shares		262		12,134
Empresas ICA, S.A.B. de C.V. (A)(B)		224		559

				12,693


Construction & Farm Machinery & Heavy Trucks – 0.5%
PT United Tractors Tbk (B)		687		1,416


Construction Materials – 1.7%
PT Semen Gresik (Persero) Tbk (B)		3,009		4,971


Consumer Finance – 0.3%
Shriram Transport Finance Company Limited (B)		63		870


Department Stores – 1.8%
InRetail Peru Corp. (A)(B)(C)		250		5,238


Diversified Banks – 4.9%
Axis Bank Limited (B)		70		1,764
Bangkok Bank Public Company Limited (B)		181		1,243
Siam Commercial Bank Public Company Limited (A)(B)		205		1,223
Turkiye Is Bankasi A.S. (B)		1,090		3,802
Yapi ve Kredi Bankasi A.S. (B)		1,453		4,262
YES BANK Limited (B)		208		1,773

				14,067

Diversified Metals & Mining – 1.2%
Walter Industries, Inc.		95		3,412


Diversified Support Services – 3.6%
Aggreko plc (A)(B)	371	10,599


Education Services – 1.3%
Anhanguera Educacional Participacoes S.A. (A)(B)	219	3,699


Food Distributors – 1.1%
Olam International Limited (A)(B)	2,469	3,172


Food Retail – 6.0%
BIM Birlesik Magazalar Anonim Sirketi (B)	222	10,890
C.P. Seven Eleven Public Company Limited (A)(B)	4,498	6,763

		17,653


Health Care Facilities – 1.1%
IHH Healthcare Berhad (A)(B)(C)	2,790	3,091


Highways & Railtracks – 0.3%
PT Jasa Marga (Persero) Tbk. (B)	1,530	866


Homebuilding – 1.4%
MRV Engenharia e Participacoes S.A. (B)	690	4,037


Household Appliances – 1.6%
Arcelik Anonim Sirketi, ADR (B)	478	3,145
TTK Prestige Limited (B)	24	1,481

		4,626


Industrial Conglomerates – 0.6%
Jaiprakash Associates Limited (B)	930	1,681


Industrial Machinery – 0.9%
Cummins India Limited (B)	265	2,522


Internet Software & Services – 7.7%
MercadoLibre, Inc.	158	12,404
SINA Corporation (A)	202	10,134

		22,538


Movies & Entertainment – 0.5%
Major Cineplex Group Public Company Limited (B)	2,331	1,455


Multi-Sector Holdings – 2.5%
GT Capital Holdings Incorporated (B)(C)	490	7,411


Oil & Gas Drilling – 1.2%
North Atlantic Drilling Ltd. (B)(C)	334	3,529


Oil & Gas Equipment & Services – 1.5%
Technip-Coflexip (B)	38	4,359


Oil & Gas Exploration & Production – 2.7%
Cairn Energy plc (B)	629	2,747
Kosmos Energy Ltd. (A)	432	5,329

		8,076


Packaged Foods & Meats – 3.2%
BRF-Brasil Foods S.A. (B)	449	9,254


Real Estate Development – 2.4%
UEM Land Holdings Berhad (A)(B)	10,263	7,112


Real Estate Management & Development – 2.0%
BR Properties S.A. (A)(B)		458		5,703


Real Estate Operating Companies – 1.9%
BRMalls Participacoes S.A. (B)		416		5,495


Soft Drinks – 0.2%
Coca-Cola Icecek A.S. (B)		29		611


TOTAL COMMON STOCKS – 88.7%			$	258,252
(Cost: $235,327)

BULLION – 9.6%	Troy Ounces
Gold		17	$	28,016

(Cost: $28,879)

SHORT-TERM SECURITIES	Principal
Master Note – 0.3%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (D)	$	869		869


TOTAL SHORT-TERM SECURITIES – 0.3%			$	869
(Cost: $869)

TOTAL INVESTMENT SECURITIES – 98.6%			$	287,137
(Cost: $265,075)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.4%				4,128

NET ASSETS – 100.0%			$	291,265

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Listed on an exchange outside the United States.

(C)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $25,689 or 8.8% of net assets.

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	31,278	$	35,547	$	—
Consumer Staples		10,144		21,436		—
Energy		12,241		7,107		—
Financials		11,198		29,460		—
Health Care		—		3,091		—
Industrials		31,713		32,269		—
Information Technology		22,538		—		—
Materials		5,260		4,970		—
Total Common Stocks	$	124,372	$	133,880	$	—
Bullion		28,016		—		—
Short-Term Securities		—		869		—
Total	$	152,388	$	134,749	$	—

During the period ended December 31, 2012, securities totaling $133,880 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipt

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	265,075
Gross unrealized appreciation		49,559
Gross unrealized depreciation		(27,497	)
Net unrealized appreciation	$	22,062

SCHEDULE OF INVESTMENTS

Ivy Balanced Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 3.2%
General Dynamics Corporation		71	$	4,884
Honeywell International Inc.		126		8,016
Precision Castparts Corp.		45		8,448

				21,348


Apparel Retail – 2.3%
Limited Brands, Inc.		316		14,891


Application Software – 1.1%
Intuit Inc.		127		7,539


Asset Management & Custody Banks – 1.2%
Northern Trust Corporation		165		8,266


Brewers – 2.4%
Anheuser-Busch InBev S.A., ADR (A)		184		16,048


Broadcasting – 1.6%
CBS Corporation, Class B		283		10,753


Communications Equipment – 1.0%
QUALCOMM Incorporated		111		6,890


Computer Hardware – 2.5%
Apple Inc. (A)		33		17,377


Construction & Farm Machinery & Heavy Trucks – 1.2%
Cummins Inc.		75		8,126


Distillers & Vintners – 1.6%
Brown-Forman Corporation, Class B		172		10,887


Diversified Chemicals – 1.1%
Dow Chemical Company (The)		227		7,324


Electric Utilities – 1.1%
PPL Corporation		266		7,604


Fertilizers & Agricultural Chemicals – 1.3%
Monsanto Company		91		8,641


Food Retail – 1.2%
Whole Foods Market, Inc.		86		7,873


Footwear – 1.0%
NIKE, Inc., Class B		125		6,471


Health Care Distributors – 1.0%
Henry Schein, Inc. (A)		84		6,791


Health Care Equipment – 1.2%
Covidien plc (A)		143		8,274


Home Improvement Retail – 1.4%
Home Depot, Inc. (The)		150		9,290


Hotels, Resorts & Cruise Lines – 1.4%
Hyatt Hotels Corporation, Class A (A)	252	9,720


Household Products – 1.2%
Colgate-Palmolive Company	78	8,175


Industrial Machinery – 3.7%
Pall Corporation	140	8,454
Parker Hannifin Corporation	84	7,179
Pentair, Inc. (A)	192	9,447

		25,080


Integrated Oil & Gas – 1.0%
Exxon Mobil Corporation	75	6,491


Internet Retail – 1.5%
Amazon.com, Inc. (A)	41	10,221


Internet Software & Services – 1.2%
Google Inc., Class A (A)	11	8,087


IT Consulting & Other Services – 1.3%
Cognizant Technology Solutions Corporation, Class A (A)	116	8,560


Motorcycle Manufacturers – 1.7%
Harley-Davidson, Inc.	225	10,979


Movies & Entertainment – 1.2%
News Corporation Limited, Class B	305	8,006


Multi-Line Insurance – 0.9%
American International Group, Inc. (A)	172	6,068


Oil & Gas Equipment & Services – 2.8%
National Oilwell Varco, Inc.	166	11,373
Schlumberger Limited	112	7,733

		19,106


Oil & Gas Exploration & Production – 2.9%
Cabot Oil & Gas Corporation	158	7,844
ConocoPhillips	200	11,598

		19,442


Oil & Gas Refining & Marketing – 1.4%
Phillips 66	171	9,077


Oil & Gas Storage & Transportation – 0.6%
Regency Energy Partners LP	193	4,176


Other Diversified Financial Services – 1.8%
JPMorgan Chase & Co.	274	12,030


Packaged Foods & Meats – 2.4%
Mead Johnson Nutrition Company	129	8,474
Mondelez Intl, Inc. Class A	293	7,465

		15,939


Personal Products – 1.4%
Estee Lauder Companies, Inc. (The), Class A	160	9,566


Pharmaceuticals – 4.4%
Allergan, Inc.	105	9,613
GlaxoSmithKline plc, ADR	210	9,129
Johnson & Johnson	153	10,711

		29,453



Property & Casualty Insurance – 2.7%
Berkshire Hathaway Inc., Class B (A)		122		10,970
Travelers Companies, Inc. (The)		100		7,211

				18,181


Railroads – 2.7%
Kansas City Southern		93		7,739
Union Pacific Corporation		83		10,460

				18,199


Regional Banks – 1.8%
PNC Financial Services Group, Inc. (The)		205		11,948


Restaurants – 1.2%
Starbucks Corporation		153		8,182


Semiconductor Equipment – 0.9%
KLA-Tencor Corporation		123		5,865


Semiconductors – 1.2%
Microchip Technology Incorporated		238		7,769


Tobacco – 1.5%
Philip Morris International Inc.		121		10,079


TOTAL COMMON STOCKS – 72.2%			$	484,792
(Cost: $407,329)

CORPORATE DEBT SECURITIES	Principal
Aerospace & Defense – 0.3%
General Dynamics Corporation, 1.000%, 11–15–17	$	1,500		1,491
United Technologies Corporation, 1.200%, 6–1–15		500		507

				1,998


Apparel Retail – 0.7%
Limited Brands, Inc.: 6.900%, 7–15–17		750		860
6.625%, 4–1–21		2,915		3,337

				4,197


Apparel, Accessories & Luxury Goods – 0.3%
LVMH Moet Hennessy – Louis Vuitton, 1.625%, 6–29–17 (B)		2,000		2,032


Auto Parts & Equipment – 0.2%
BorgWarner Inc., 4.625%, 9–15–20		1,000		1,099


Automobile Manufacturers – 0.6%
Ford Motor Company, Convertible, 4.250%, 11–15–16		1,000		1,585
Toyota Motor Credit Corporation, 2.050%, 1–12–17		2,000		2,067

				3,652


Banking – 0.2%
Commonwealth Bank of Australia New York, 1.950%, 3–16–15		1,050		1,077


Biotechnology – 0.3%
Amgen Inc., 2.125%, 5–15–17		2,000		2,071


Brewers – 0.6%
Anheuser-Busch InBev Worldwide Inc.: 5.375%, 11–15–14		1,000		1,086
1.375%, 7–15–17		1,000		1,010
Heineken N.V., 1.400%, 10–1–17 (B)		2,000		1,992
SABMiller Holdings Inc., 3.750%, 1–15–22 (B)		500		539

				4,627



Broadcasting – 0.5%
CBS Corporation: 8.875%, 5–15–19	500	674
4.300%, 2–15–21	1,000	1,102
Discovery Communications, LLC: 4.375%, 6–15–21	750	837
3.300%, 5–15–22	900	923

		3,536


Cable & Satellite – 0.5%
DIRECTV Holdings LLC, 2.400%, 3–15–17	500	512
DIRECTV Holdings LLC and DIRECTV Financing Co., Inc., 3.500%, 3–1–16	1,000	1,059
News American Incorporated, 3.000%, 9–15–22 (B)	2,000	2,007

		3,578


Construction & Farm Machinery & Heavy Trucks – 0.2%
Caterpillar Inc., 1.375%, 5–27–14	1,000	1,012


Consumer Finance – 1.1%
American Express Credit Corporation, 5.125%, 8–25–14	200	214
Capital One Financial Corporation: 2.125%, 7–15–14	1,750	1,782
1.000%, 11–6–15	1,500	1,496
Caterpillar Financial Services Corporation, 1.550%, 12–20–13	1,000	1,011
Ford Motor Credit Company LLC, 3.875%, 1–15–15	1,000	1,043
Penske Truck Leasing Co., LP and PTL Finance Corp., 2.500%, 7–11–14 (B)	1,000	1,010
USAA Capital Corporation, 1.050%, 9–30–14 (B)	1,000	1,004

		7,560


Data Processing & Outsourced Services – 0.2%
Fidelity National Financial, Inc., 6.600%, 5–15–17	900	1,014


Department Stores – 0.2%
Macy’s Retail Holdings, Inc., 3.875%, 1–15–22	1,000	1,065


Distillers & Vintners – 0.6%
Beam Inc., 1.875%, 5–15–17	800	817
Brown-Forman Corporation, 1.000%, 1–15–18	3,000	2,981

		3,798


Diversified Banks – 1.0%
Bank of Montreal, 1.300%, 10–31–14 (B)	1,000	1,016
Bank of New York Mellon Corporation (The): 1.500%, 1–31–14	1,250	1,265
0.700%, 10–23–15	1,000	996
Barclays Bank plc, 2.375%, 1–13–14	600	610
U.S. Bancorp, 4.200%, 5–15–14	1,000	1,050
Wells Fargo & Company: 3.676%, 6–15–16 (C)	500	540
1.500%, 1–16–18	1,000	1,001

		6,478


Diversified Capital Markets – 0.1%
Deutsche Bank AG, 3.450%, 3–30–15	500	527


Diversified Metals & Mining – 0.1%
Rio Tinto Finance (USA) Limited, 8.950%, 5–1–14	500	553


Drug Retail – 0.1%
CVS Caremark Corporation, 3.250%, 5–18–15	550	583



Electric Utilities – 0.1%
Hydro-Quebec, 8.000%, 2–1–13	500	503


Fertilizers & Agricultural Chemicals – 0.2%
Monsanto Company, 2.750%, 4–15–16	1,000	1,057


Food Distributors – 0.3%
Campbell Soup Company, 2.500%, 8–2–22	1,400	1,386
Cargill, Inc., 4.307%, 5–14–21 (B)	424	467

		1,853


General Merchandise Stores – 0.2%
Target Corporation, 1.125%, 7–18–14	1,000	1,010


Health Care Equipment – 0.2%
Stryker Corporation, 2.000%, 9–30–16	1,500	1,561


Health Care Services – 0.3%
Quest Diagnostics Incorporated, 3.200%, 4–1–16	2,000	2,110


Health Care Supplies – 0.2%
DENTSPLY International Inc., 2.750%, 8–15–16	1,000	1,037


Home Improvement Retail – 0.0%
Home Depot, Inc. (The), 4.400%, 4–1–21	250	295


Household Products – 0.1%
Church & Dwight Co., Inc., 2.875%, 10–1–22	500	501
Colgate-Palmolive Company, 1.250%, 5–1–14	500	505

		1,006


Hypermarkets & Super Centers – 0.4%
Costco Wholesale Corporation, 0.650%, 12–7–15	1,000	1,000
Wal-Mart Stores, Inc.: 0.750%, 10–25–13	1,500	1,505
2.875%, 4–1–15	250	263

		2,768


Industrial Conglomerates – 0.1%
General Electric Company, 0.850%, 10–9–15	1,000	1,003


Industrial Gases – 0.2%
Praxair, Inc.: 4.375%, 3–31–14	1,000	1,047
3.000%, 9–1–21	1,000	1,047

		2,094


Industrial Machinery – 0.3%
Eaton Corporation, 0.638%, 6–16–14 (C)	750	749
Illinois Tool Works Inc., 5.150%, 4–1–14	1,000	1,057

		1,806


Integrated Oil & Gas – 0.0%
Cenovus Energy Inc., 4.500%, 9–15–14	250	265


Internet Retail – 0.3%
Amazon.com, Inc., 0.650%, 11–27–15	2,000	1,999


Investment Banking & Brokerage – 0.2%
Goldman Sachs Group, Inc., (The), 1.600%, 11–23–15	1,500	1,510


IT Consulting & Other Services – 0.3%
International Business Machines Corporation, 1.250%, 5–12–14	2,000	2,024



Leisure Products – 0.1%
Mattel, Inc., 2.500%, 11–1–16	750	780


Life & Health Insurance – 0.7%
Metropolitan Life Global Funding I: 2.000%, 1–10–14 (B)	1,200	1,217
2.500%, 9–29–15 (B)	2,500	2,608
Prudential Financial, Inc., 4.750%, 9–17–15	500	548

		4,373


Managed Health Care – 0.2%
WellPoint, Inc., 1.875%, 1–15–18	1,500	1,518


Movies & Entertainment – 0.2%
Viacom Inc., 4.375%, 9–15–14	500	530
Walt Disney Company (The), 0.450%, 12–1–15	1,000	995

		1,525


Oil & Gas Drilling – 0.3%
Transocean Inc., 2.500%, 10–15–17	2,000	2,020


Oil & Gas Equipment & Services – 0.3%
National Oilwell Varco, Inc., 1.350%, 12–1–17	500	503
Schlumberger Investment S.A., 1.250%, 8–1–17 (B)	1,000	997
Schlumberger S.A. (GTD by Schlumberger Limited), 2.650%, 1–15–16 (B)	500	523

		2,023


Oil & Gas Exploration & Production – 0.4%
ConocoPhillips, 4.750%, 2–1–14	254	266
EOG Resources, Inc., 2.500%, 2–1–16	1,000	1,046
Southwestern Energy Company, 4.100%, 3–15–22 (B)	1,050	1,128

		2,440


Other Diversified Financial Services – 1.0%
JPMorgan Chase & Co.: 4.650%, 6–1–14	1,000	1,054
1.100%, 10–15–15	2,000	2,000
3.450%, 3–1–16	2,000	2,124
3.150%, 7–5–16	750	794
7.900%, 4–29–49 (C)	500	567

		6,539


Other Non-Agency REMIC/CMO – 0.0%
Banco Hipotecario Nacional: 7.916%, 7–25–09 (B)(D)	7	—	*
8.000%, 3–31–11 (B)(D)	1	—

		—	*


Packaged Foods & Meats – 0.2%
Kellogg Company, 4.450%, 5–30–16	500	553
Unilever Capital Corporation, 2.750%, 2–10–16	1,000	1,059

		1,612


Personal Products – 0.2%
Estee Lauder Companies, Inc. (The), 2.350%, 8–15–22	1,200	1,187


Pharmaceuticals – 0.1%
Roche Holdings Ltd, 5.000%, 3–1–14 (B)	636	668


Railroads – 0.1%
Burlington Northern Santa Fe, LLC, 3.050%, 3–15–22	700	722


Regional Banks – 0.1%
Canadian Imperial Bank of Commerce, 0.900%, 10–1–15	1,000	1,004



Restaurants – 0.0%
YUM! Brands, Inc., 4.250%, 9–15–15	250		270


Retail Stores – 0.1%
Dollar General Corporation, 4.125%, 7–15–17	450		473
Fifth & Pacific Companies, Inc., 10.500%, 4–15–19 (B)	400		443

			916


Semiconductors – 0.2%
Broadcom Corporation, 2.700%, 11–1–18	1,000		1,072
Texas Instruments Incorporated, 0.490%, 5–15–13 (C)	1,000		1,001

			2,073


Soft Drinks – 0.5%
PepsiCo, Inc.: 3.750%, 3–1–14	500		519
0.700%, 8–13–15	2,500		2,503

			3,022


Specialty Chemicals – 0.3%
RPM International Inc., 3.450%, 11–15–22	1,000		979
Sherwin-Williams Company (The), 1.350%, 12–15–17	750		748

			1,727


Systems Software – 0.1%
Microsoft Corporation, 2.950%, 6–1–14	500		518


Tobacco – 0.1%
Philip Morris International Inc., 4.500%, 3–26–20	500		582


Wireless – 0.0%
Virgin Media Finance plc, 4.875%, 2–15–22	284		290


Wireless Telecommunication Service – 0.7%
America Movil, S.A.B. de C.V., 3.625%, 3–30–15	1,200		1,273
American Tower Corporation: 4.625%, 4–1–15	500		531
4.700%, 3–15–22	1,400		1,548
Crown Castle International Corp, 5.250%, 1–15–23 (B)	1,046		1,119

			4,471


TOTAL CORPORATE DEBT SECURITIES – 17.1%		$	114,638
(Cost: $110,110)

OTHER GOVERNMENT SECURITIES
Israel – 0.2%
State of Israel, 4.000%, 6–30–22	1,250		1,359


Qatar – 0.2%
State of Qatar: 4.000%, 1–20–15 (B)	750		789
3.125%, 1–20–17	1,000		1,054

			1,843


Supranational – 0.1%
International Bank for Reconstruction and Development, 2.375%, 5–26–15	450		472


TOTAL OTHER GOVERNMENT SECURITIES – 0.5%		$	3,674
(Cost: $3,432)



UNITED STATES GOVERNMENT AGENCY OBLIGATIONS
Mortgage-Backed Obligations – 0.2%
Federal National Mortgage Association Fixed Rate Pass-Through Certificates: 6.000%, 9–1–17	104		112
5.000%, 1–1–18	71		77
5.500%, 4–1–18	38		41
6.500%, 10–1–28	83		96
6.500%, 2–1–29	12		14
7.000%, 11–1–31	76		90
6.500%, 2–1–32	66		75
7.000%, 2–1–32	104		121
7.000%, 3–1–32	47		55
7.000%, 7–1–32	65		75
6.000%, 9–1–32	270		302
6.500%, 9–1–32	60		68
5.500%, 5–1–33	117		129
5.500%, 6–1–33	70		77

			1,332


TOTAL UNITED STATES GOVERNMENT AGENCY OBLIGATIONS – 0.2%		$	1,332
(Cost: $1,208)

UNITED STATES GOVERNMENT OBLIGATIONS
Treasury Obligations – 2.6%
United States Treasury Bonds, 7.500%, 11–15–16	500		634
United States Treasury Notes: 3.875%, 2–15–13	1,250		1,256
3.625%, 5–15–13	750		760
4.250%, 8–15–13	900		923
4.250%, 8–15–15	3,000		3,305
1.375%, 11–30–18	10,000		10,258

			17,136


TOTAL UNITED STATES GOVERNMENT OBLIGATIONS – 2.6%		$	17,136
(Cost: $16,434)

SHORT-TERM SECURITIES
Commercial Paper – 5.6%
Air Products and Chemicals, Inc., 0.150%, 1–3–13 (E)	6,000		6,000
Campbell Soup Company, 0.240%, 2–1–13 (E)	8,638		8,635
Kroger Co. (The), 0.400%, 1–3–13 (E)	4,000		4,000
Prudential Funding LLC (GTD by Prudential Financial Inc.), 0.100%, 1–2–13 (E)	6,489		6,489
River Fuel Company #2, Inc. (GTD by Bank of Nova Scotia), 0.260%, 1–31–13 (E)	5,664		5,664
St. Jude Medical, Inc., 0.200%, 1–4–13 (E)	5,000		5,000
Total Capital Canada Ltd. (GTD by Total S.A.), 0.110%, 1–11–13 (E)	2,000		2,000

			37,788


Municipal Obligations – Taxable – 1.4%
LA Pub Fac Auth, Rev Bonds (Air Products and Chemicals Proj), Ser 2008A (GTD by Air Products and Chemicals, Inc.), 0.110%, 1–2–13 (F)	2,000		2,000
MA Hlth and Edu Fac Auth, Var Rate Rev Bonds, Dana-Farber Cancer Institute Issue, Ser 2008L-1 (GTD by JPMorgan Chase Bank, N.A.), 0.110%, 1–3–13 (F)	1,400		1,400


MS Business Fin Corp, Gulf Opp Zone Indl Dev Var Rev Bonds (Chevron U.S.A. Inc. Proj), Ser E (GTD by Chevron Corporation), 0.100%, 1–2–13 (F)	3,812		3,812
NYC GO Bonds, Fiscal 2006 Ser E (GTD by Bank of America, N.A.), 0.160%, 1–3–13 (F)	1,887		1,887

			9,099


TOTAL SHORT-TERM SECURITIES – 7.0%		$	46,887
(Cost: $46,887)

TOTAL INVESTMENT SECURITIES – 99.6%		$	668,459
(Cost: $585,400)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.4%			2,897

NET ASSETS – 100.0%		$	671,356

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $19,559 or 2.9% of net assets.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(D)	Non-income producing as the issuer has either missed its most recent interest payment or declared bankruptcy.

(E)	Rate shown is the yield to maturity at December 31, 2012.

(F)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	484,792	$	—	$	—
Corporate Debt Securities		—		114,638		—	*
Other Government Securities		—		3,674		—
United States Government Agency Obligations		—		1,332		—
United States Government Obligations		—		17,136		—
Short-Term Securities		—		46,887		—
Total	$	484,792	$	183,667	$	—	*

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

CMO = Collateralized Mortgage Obligation

GTD = Guaranteed

REMIC = Real Estate Mortgage Investment Conduit

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	585,400
Gross unrealized appreciation		85,308
Gross unrealized depreciation		(2,249	)
Net unrealized appreciation	$	83,059

SCHEDULE OF INVESTMENTS

Ivy Bond Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


ASSET-BACKED SECURITIES	Principal		Value
Ally Auto Receivable Trust 2010–1B,
3.290%, 3–15–15 (A)	$	4,000	$	4,110
America West Airlines, Inc., Pass Through Certificates, Series 1999–1,
7.930%, 1–2–19		1,079		1,158
America West Airlines, Inc., Pass Through Certificates, Series 2000–1,
8.057%, 7–2–20		1,551		1,664
AmeriCredit Automobile Receivables Trust 2010–4, Series E,
4.200%, 11–8–16		2,000		2,101
AmeriCredit Automobile Receivables Trust 2011–1, Series C,
2.850%, 8–8–16		1,380		1,414
AmeriCredit Automobile Receivables Trust 2012–4, Series C,
1.930%, 8–8–18		510		517
Chrysler Financial Auto Securitization Trust 2010–A,
1.650%, 11–8–13		709		709
Continental Airlines 2001–1 A–1,
8.048%, 11–1–20		1,061		1,202
Continental Airlines Pass Through Certificates, Series 2006–1,
0.661%, 6–2–13 (B)		925		906
Continental Airlines Pass Through Certificates, Series 2009–2,
7.250%, 11–10–19		666		769
Continental Airlines Pass Through Certificates, Series 2010–1B,
6.000%, 1–12–19		888		908
Continental Airlines, Inc. Class B Pass Through Certificates, Series 2012–1B,
6.250%, 4–11–20		1,000		1,060
Continental Airlines, Inc., Ser 2012–2 Class A,
4.000%, 10–29–24		1,290		1,358
CountryPlace Manufactured Housing Contract Trust 2005–1:
4.800%, 12–15–35 (A)(B)		795		823
5.200%, 12–15–35 (A)(B)		300		331
CVS Caremark Corporation Pass-Through Trust:
6.036%, 12–10–28		4,221		4,935
6.943%, 1–10–30		577		726
Green Tree Financial Corporation, Manufactured Housing Contract, Pass- Through Certificates, Series 1993–3 A7,
6.400%, 10–15–18		43		45
Green Tree Financial Corporation, Manufactured Housing Contract, Pass- Through Certificates, Series 1994–5 A5,
8.300%, 11–15–19		78		79
Green Tree Financial Corporation, Manufactured Housing Contract, Pass- Through Certificates, Series 1996–4 A6,
7.400%, 6–15–27		615		643
Nordstrom Credit Card Master Note Trust II, Series 2011–1A,
2.280%, 11–15–19 (A)		2,880		2,991
Origen Manufactured Housing Contract Trust 2004–A,
5.700%, 1–15–35		623		660
Origen Manufactured Housing Contract Trust 2004–B:
4.750%, 8–15–21		181		182
5.730%, 11–15–35 (B)		735		781


Origen Manufactured Housing Contract Trust 2005–A,
5.860%, 6–15–36 (B)	79		85
Origen Manufactured Housing Contract Trust 2005–B,
5.910%, 1–15–37	700		732
Santander Drive Auto Receivables Trust 2010–B,
2.100%, 9–15–14 (A)	1,346		1,350
Santander Drive Auto Receivables Trust 2011–4,
1.370%, 3–16–15	628		630
Santander Drive Auto Receivables Trust 2012–3, Class C,
3.010%, 4–16–18	1,560		1,609
US Airways, Inc. Class A Pass-Through Certificates, Series 2012–1,
5.900%, 10–1–24	1,010		1,101
Wells Fargo Commerical Mortgage Trust, Ser 2012–LC5 A3,
2.918%, 10–15–45	3,173		3,285
World Financial Network Credit Card Master Note Trust, Ser 2006–A,
0.339%, 2–15–17 (A)(B)	4,800		4,799


TOTAL ASSET-BACKED SECURITIES – 7.1%		$	43,663
(Cost: $42,285)
CORPORATE DEBT SECURITIES

Aerospace & Defense – 0.2%
Textron Inc.,
5.600%, 12–1–17	1,000		1,132


Airlines – 1.2%
American Airlines, Inc. Class Pass Through Certificates, Series 2011–1,
5.250%, 1–31–21	2,586		2,719
United Air Lines, Inc.,
10.400%, 11–1–16	725		834
US Airways Group, Inc. Class A,
6.250%, 4–22–23	1,219		1,320
US Airways Group, Inc. Class B,
8.500%, 4–22–17	819		856
US Airways, Inc., Series 2012–2, Class A,
6.750%, 6–3–21	2,250		2,306

			8,035


Application Software – 0.3%
Intuit Inc.,
5.750%, 3–15–17	1,780		2,053


Auto Parts & Equipment – 0.8%
Dana Holding Corporation:
6.500%, 2–15–19	1,500		1,601
6.750%, 2–15–21	1,500		1,612
Delphi Corporation,
6.125%, 5–15–21	300		333
Tenneco Inc.,
6.875%, 12–15–20	850		925

			4,471


Automobile Manufacturers – 0.6%
Hyundai Capital America,
1.625%, 10–2–15 (A)	1,600		1,609
Hyundai Capital Services, Inc.,
4.375%, 7–27–16 (A)	2,000		2,151

			3,760


Cable & Satellite – 0.7%
DISH DBS Corporation,
4.625%, 7–15–17	1,725		1,798
EchoStar DBS Corporation,
7.750%, 5–31–15	1,890		2,115

			3,913



CMBS Other – 0.6%
GS Mortgage Securities Corporation Trust Commercial Mortgage Pass-Through Certificates Series 2012–BWTR,
3.328%, 11–5–22 (A)	1,000	992
WFRBS Commercial Mortgage Trust 2012–C9, Class A–3,
2.875%, 12–15–45	2,517	2,595

		3,587


Computer Hardware – 0.4%
Hewlett-Packard Company,
3.000%, 9–15–16	2,600	2,616


Consumer Finance – 3.6%
American Express Centurion Bank,
0.760%, 11–13–15 (B)	3,775	3,770
American Express Credit Account Master Trust Series 2012–2,
0.990%, 3–15–18	1,855	1,859
AmeriGas Partners, L.P. and AmeriGas Finance Corp.,
6.500%, 5–20–21	477	518
Capital One Bank USA NA,
8.800%, 7–15–19	2,330	3,153
Discover Bank,
8.700%, 11–18–19	458	596
Discover Financial Services:
6.450%, 6–12–17	660	772
3.850%, 11–21–22 (A)	3,317	3,419
Ford Motor Credit Company LLC:
5.625%, 9–15–15	1,500	1,642
3.000%, 6–12–17	1,375	1,412
General Motors Financial Company, Inc.,
4.750%, 8–15–17 (A)	4,100	4,310
Union 13 Leasing LLC,
1.870%, 6–28–24	1,109	1,125

		22,576


Data Processing & Outsourced Services – 0.6%
Western Union Company (The):
2.375%, 12–10–15	970	974
2.875%, 12–10–17	2,555	2,531

		3,505


Distillers & Vintners – 0.7%
Constellation Brands, Inc.,
4.625%, 3–1–23	1,175	1,228
Pernod Ricard S.A.,
5.750%, 4–7–21 (A)	2,700	3,226

		4,454


Diversified Banks – 1.0%
Bank of America Corporation,
5.750%, 12–1–17	2,405	2,802
Bank of America, N.A.,
5.300%, 3–15–17	2,039	2,293
Wells Fargo Bank, N.A.,
4.750%, 2–9–15	785	843

		5,938


Electric Utilities – 1.2%
Narragansett Electric Company (The),
4.170%, 12–10–42 (A)	4,450	4,395
Southwestern Electric Power Company,
5.550%, 1–15–17	2,395	2,701

		7,096


Electrical Components & Equipment – 0.6%
Actuant Corporation,
5.625%, 6–15–22	1,195	1,237
Roper Industries, Inc.,
1.850%, 11–15–17	2,465	2,462

		3,699


Food Retail – 0.3%
Tesco plc,
2.000%, 12–5–14 (A)	1,550	1,584


Health Care Facilities – 0.3%
NYU Hospitals Center,
4.428%, 7–1–42	2,210	2,145



Health Care Services – 1.0%
Aristotle Holding, Inc.,
3.500%, 11–15–16 (A)	3,200	3,421
Medco Health Solutions, Inc.,
7.125%, 3–15–18	1,030	1,283
Quest Diagnostics Incorporated,
5.750%, 1–30–40	1,000	1,143

		5,847


Health Care Supplies – 1.1%
Bio-Rad Laboratories, Inc.,
4.875%, 12–15–20	4,300	4,543
Sinai Health System,
3.034%, 1–20–36	2,000	1,978

		6,521


Integrated Telecommunication Services – 0.9%
CenturyLink, Inc.:
6.150%, 9–15–19	1,000	1,097
6.450%, 6–15–21	2,830	3,124
Qwest Communications International Inc.,
7.125%, 4–1–18	1,500	1,565

		5,786


Investment Banking & Brokerage – 1.5%
Goldman Sachs Group, Inc. (The):
6.250%, 9–1–17	970	1,144
6.150%, 4–1–18	2,211	2,596
Morgan Stanley:
6.250%, 8–28–17	2,200	2,517
5.500%, 1–26–20	1,552	1,740
5.500%, 7–28–21	1,090	1,236

		9,233


Life & Health Insurance – 0.3%
Symetra Financial Corporation,
6.125%, 4–1–16 (A)	1,450	1,569


Managed Health Care – 0.2%
Coventry Health Care, Inc.,
6.125%, 1–15–15	415	453
UnitedHealth Group Incorporated,
3.950%, 10–15–42	1,055	1,047

		1,500


Metal & Glass Containers – 0.6%
Ball Corporation:
7.375%, 9–1–19	500	556
6.750%, 9–15–20	2,720	2,999

		3,555


Movies & Entertainment – 0.0%
AMC Networks Inc.,
4.750%, 12–15–22	300	302


Multi-Utilities – 1.1%
CMS Energy Corporation:
2.750%, 5–15–14	600	608
8.750%, 6–15–19	1,825	2,373
Duke Energy Carolinas, LLC,
4.000%, 9–30–42	4,270	4,290

		7,271


Oil & Gas Drilling – 0.6%
Rowan Companies, Inc.,
5.400%, 12–1–42	3,690	3,726


Oil & Gas Equipment & Services – 0.6%
Oil States International, Inc.,
5.125%, 1–15–23 (A)	1,000	1,014
Weatherford International Ltd.,
5.125%, 9–15–20	2,350	2,587

		3,601


Oil & Gas Exploration & Production – 1.8%
Concho Resources Inc.,
5.500%, 10–1–22	2,500	2,638
Plains Exploration & Production Company:
6.500%, 11–15–20	3,000	3,322
6.750%, 2–1–22	2,000	2,245
Tesoro Corporation,
4.250%, 10–1–17	2,645	2,738

		10,943



Oil & Gas Refining & Marketing – 0.7%
NuStar Logistics, L.P.,
7.900%, 4–15–18	4,000	4,520


Oil & Gas Storage & Transportation – 5.1%
Access Midstream Partners, L.P.,
4.875%, 5–15–23	1,000	1,015
DCP Midstream Operating, LP (GTD by DCP MidstreamPartners, LP),
2.500%, 12–1–17	2,700	2,685
El Paso Natural Gas Company,
7.500%, 11–15–26	3,290	4,355
El Paso Pipeline Partners Operating Company, LLC:
6.500%, 4–1–20	375	457
5.000%, 10–1–21	690	781
Energy Transfer Partners, L.P.,
9.000%, 4–15–19	2,770	3,650
Enterprise Products Operating L.P.,
5.750%, 3–1–35	1,400	1,592
Kinder Morgan Finance Company, ULC,
6.000%, 1–15–18 (A)	1,215	1,335
Regency Energy Partners LP and Regency Energy Finance Corp.,
6.500%, 7–15–21	3,000	3,285
Sunoco Logistics Partners Operations L.P.,
6.850%, 2–15–40	1,265	1,522
Western Gas Partners, LP:
5.375%, 6–1–21	1,890	2,161
4.000%, 7–1–22	3,350	3,526
Williams Companies, Inc. (The),
3.700%, 1–15–23	3,820	3,849
Williams Partners L.P.,
7.250%, 2–1–17	770	935

		31,148


Other Diversified Financial Services – 1.8%
Citigroup Inc.,
6.010%, 1–15–15	1,080	1,180
Daimler Finance North America LLC,
1.300%, 7–31–15	5,200	5,230
JPMorgan Chase Bank N.A.:
5.875%, 6–13–16	1,170	1,334
6.000%, 7–5–17	215	252
6.000%, 10–1–17	2,368	2,802

		10,798


Paper Packaging – 0.4%
Rock-Tenn Company,
4.450%, 3–1–19 (A)	2,160	2,329


Pharmaceuticals – 0.9%
AbbVie Inc.:
1.750%, 11–6–17 (A)	2,175	2,198
2.000%, 11–6–18 (A)	1,760	1,782
Mylan Inc.,
6.000%, 11–15–18 (A)	1,500	1,656

		5,636


Property & Casualty Insurance – 2.2%
Liberty Mutual Group, Inc.:
7.300%, 6–15–14 (A)	1,000	1,074
5.000%, 6–1–21 (A)	5,280	5,669
Swiss Reinsurance Company Ltd.,
4.250%, 12–6–42 (A)	1,750	1,729
XL Capital Ltd.,
6.250%, 5–15–27	4,125	4,892

		13,364


Railroads – 0.6%
BNSF Funding Trust I,
6.613%, 12–15–55	2,985	3,384


Real Estate Operating Companies – 0.6%
Colonial Realty Limited Partnership,
5.500%, 10–1–15	1,830	1,990
Helios Leasing I LLC,
2.018%, 5–29–24	1,372	1,404

		3,394



Regional Banks – 2.0%
AmSouth Bancorporation,
5.200%, 4–1–15	1,000		1,045
HSBC Bank USA, N.A.,
6.000%, 8–9–17	4,235		4,946
PNC Bank, N.A.,
6.875%, 4–1–18	1,045		1,305
Santander Holdings USA, Inc.,
3.000%, 9–24–15	865		881
SunTrust Bank,
0.602%, 8–24–15 (B)	4,225		4,105

			12,282


REITs – 0.7%
Realty Income Corporation,
3.250%, 10–15–22	4,180		4,087


Residential REIT’s – 0.3%
Post Apartment Homes, L.P.,
3.375%, 12–1–22	2,050		2,037


Retail REITs – 0.1%
Westfield Group,
7.500%, 6–2–14 (A)	600		653


Retail Stores – 0.2%
Dollar General Corporation,
4.125%, 7–15–17	1,395		1,465


Specialized Finance – 0.2%
International Lease Finance Corporation,
6.500%, 9–1–14 (A)	1,300		1,388


Specialized REIT’s – 2.7%
HCP, Inc.:
3.750%, 2–1–19	1,660		1,751
2.625%, 2–1–20	2,425		2,413
Health Care REIT, Inc.:
4.125%, 4–1–19	2,830		3,042
3.750%, 3–15–23	4,750		4,754
Healthcare Realty Trust Incorporated,
5.125%, 4–1–14	824		862
Nationwide Health Properties, Inc.:
6.250%, 2–1–13	600		602
6.000%, 5–20–15	1,000		1,111
Ventas Realty, LP and Ventas Capital Corp.,
4.000%, 4–30–19	1,850		1,987

			16,522


Tobacco – 0.2%
Reynolds American Inc.,
4.750%, 11–1–42	1,200		1,207


Trading Companies & Distributors – 0.3%
AmeriGas Finance Corp. and AmeriGas Finance LLC,
6.750%, 5–20–20	1,500		1,646


Transportation – Other – 0.3%
ERAC USA Finance LLC,
3.300%, 10–15–22 (A)	2,100		2,124


Trucking – 0.2%
Tagua Leasing, LLC,
1.900%, 7–12–24	1,266		1,287


Wireless – 0.1%
Virgin Media Finance plc,
5.250%, 2–15–22	350		371


Wireless Telecommunication Service – 0.2%
Crown Castle International Corp.,
6.113%, 1–15–20 (A)	850		1,023


TOTAL CORPORATE DEBT SECURITIES – 42.6%		$	261,083
(Cost: $249,782)


MORTGAGE-BACKED SECURITIES
Commercial Mortgage-Backed Securities – 4.7%
7 WTC Depositor, LLC Trust 2012–WTC Commercial Mortgage Pass-Through Certificates, Series 2012–7WTC,
4.082%, 3–13–31 (A)	2,560		2,703
BB-UBS Trust 2012–SHOW, Commercial Mortgage Pass-Through Certificates, Series 2012 Class A,
3.430%, 11–5–36 (A)	2,850		2,923
BB-UBS Trust 2012–SHOW, Commercial Mortgage Pass-Through Certificates, Series 2012 Class D,
4.026%, 11–5–36 (A)	1,425		1,366
Bear Stearns Commercial Mortgage Securities Trust 2004–PWR4,
5.468%, 6–11–41 (B)	1,361		1,431
Commercial Mortgage Asset Trust:
6.975%, 1–17–32	931		935
7.800%, 11–17–32 (B)	1,000		1,038
Hometown Commercial Capital, LLC Hometown Commercial Mortgage Pass- Through Notes 2006–1,
5.506%, 11–11–38 (A)	1,297		980
Hometown Commercial Trust 2007–1, Commercial Mortgage-Backed Notes, Series 2007–1,
6.057%, 6–11–39 (A)	263		163
J.P. Morgan Chase Commercial Mortgage Securities Trust 2009–IWST, Commercial Mortgage Pass-Through Certificates, Series 2009–IWST:
1.972%, 12–5–27 (A)(B)	6,024		701
7.445%, 12–5–27 (A)(B)	2,600		3,192
LB-UBS Commercial Mortgage Trust 2003–C7,
5.169%, 7–15–37 (A)(B)	1,000		993
Morgan Stanley Capital I Trust 2012–C4,
3.773%, 3–15–45	945		1,008
Multi Security Asset Trust LP, Commercial Mortgage-Backed Securities Pass- Through Certificates, Series 2005–RR4:
5.000%, 11–28–35 (A)	985		992
5.880%, 11–28–35 (A)(B)	1,280		855
Nomura Asset Securities Corporation, Commercial Mortgage Pass-Through Certificates, Series 1998–D6,
6.000%, 3–15–30 (A)	500		506
Prudential Securities Secured Financing Corporation, Commercial Mortgage Pass-Through Certficates, Series 2003 –PWR1,
4.775%, 2–11–36 (A)	1,516		1,516
UBS-Barclays Commerical Mortgage Trust, Ser 2012–C3 A4,
3.091%, 8–10–49	2,885		3,011
Vornado DP LLC Trust 2010, Commercial Mortgage Pass-Through Certificates, Series 2010–VNO,
5.280%, 9–13–28 (A)	1,200		1,360
WFRBS Commercial Mortgage Trust 2001–C2 A–2,
3.791%, 2–15–44 (A)	1,485		1,608
WFRBS Commercial Mortgage Trust 2011–C5,
3.667%, 11–15–44 (B)	1,135		1,252

			28,533


Non-Agency REMIC/CMO – 0.0%
Banco Hipotecario Nacional:
7.916%, 7–25–09 (A)(C)	31		—
1.660%, 3–25–12 (A)(C)	10		—
7.540%, 5–31–17 (A)(C)	—	*	—
Bear Stearns Mortgage Securities Inc.,
8.000%, 11–25–29	196		180
Mellon Residential Funding,
6.750%, 6–25–28	7		8

			188


Other – 0.5%
WFRBS Commercial Mortgage Trust 2012–C10, Class A–3,
2.870%, 11–15–45	3,539	3,645


Other Mortgage-Backed Securities – 2.2%
Aames Mortgage Trust 2001–4,
7.150%, 1–25–32 (B)	386	259
ABFS Mortgage Loan Trust 2001–2,
7.490%, 12–25–31 (B)	565	420
Asset Securitization Corporation:
8.621%, 8–13–29 (B)(D)	224	7
7.442%, 2–14–43 (B)	100	101
Banc of America Alternative Loan Trust 2003–05,
5.500%, 7–25–33	702	20
Banc of America Alternative Loan Trust 2005–06,
6.000%, 7–25–35	526	77
Banc of America Mortgage Trust 2003–09,
5.500%, 12–25–33	517	181
Banc of America Mortgage Trust 2004–03,
4.875%, 4–25–19	143	130
Bank of America Mortgage Securities, Inc., Mortgage Pass-Through Certificates, Series 2003–3,
5.500%, 5–25–33	944	974
C-Bass 2006–MH1 Trust:
5.970%, 10–25–36 (A)(B)	1,026	1,051
6.240%, 10–25–36 (A)(B)	88	93
CHL Mortgage Pass-Through Trust 2004–J4,
5.250%, 5–25–34	264	251
Collateralized Mortgage Obligation Trust,
5.000%, 7–1–18	11	12
CWHEQ Home Equity Loan Trust, Series 2007–S2,
5.934%, 5–25–37 (B)	341	222
First Horizon Mortgage Pass-Through Trust 2003–8,
5.140%, 10–25–33 (B)	175	73
First Horizon Mortgage Pass-Through Trust 2007–4,
5.500%, 8–25–22	162	153
Global Mortgage Securitization Ltd. and Global Mortgage Securitization, LLC:
5.250%, 11–25–32 (A)	1,031	813
GMACM Home Equity Loan Trust 2006–HE3,
6.088%, 10–25–36 (B)	245	222
GMACM Home Equity Loan Trust 2007–HE1,
5.952%, 8–25–37 (B)	570	450
Impac CMB Trust Series 2003–2F,
7.000%, 1–25–33 (B)	311	248
J.P. Morgan Mortgage Trust 2004–A3,
3.044%, 7–25–34 (B)	274	270
J.P. Morgan Mortgage Trust 2006–A2,
2.950%, 8–25–34 (B)	1,841	1,137
Merrill Lynch Mortgage Investors, Inc. Mortgage Pass-Through Certificates Series 1997–C2,
6.250%, 12–10–29	960	960
Morgan Stanley Capital I Trust 2004–TOP15,
5.030%, 6–13–41	206	209
Morgan Stanley Capital I Trust 2012–STAR Class A–2,
3.201%, 8–5–34 (A)	1,350	1,414
Morgan Stanley Capital I Trust 2012–STAR Class B,
3.451%, 8–5–34 (A)	930	954
Prudential Home Mortgage Securities:
6.730%, 4–28–24 (A)(B)	1	1
7.892%, 9–28–24 (A)(B)	3	2
RASC Series 2003–KS10 Trust,
6.410%, 12–25–33	212	56
RFMSI Series 2004–S5 Trust:
4.500%, 5–25–19	177	151


Salomon Brothers Mortgage Securities VII, Inc., Mortgage Pass-Through Certificates, Series 1997-HUD1,
7.750%, 12–25–30(B)	710		423
Structured Adjustable Rate Mortgage Loan Trust, Series 2005-21,
5.400%, 11–25–35(B)	1,575		105
Structured Asset Mortgage Investments, Inc.,
2.690%, 5–2–30(B)	7		2
Structured Asset Securities Corporation,
5.250%, 8–25–33	201		154
TimberStar Trust I,
6.208%, 10–15–36(A)	1,560		1,665

			13,260


TOTAL MORTGAGE-BACKED SECURITIES – 7.4%		$	45,626
(Cost: $52,279)

MUNICIPAL BONDS – TAXABLE
Florida – 0.1%
Sarasota Cnty, FL, Cap Impvt Rev Bonds, Ser 2010A,
7.016%, 10–1–40	520		618


New Jersey – 0.1%
NJ Trans Trust Fund Auth, Trans Sys Bonds, Ser 2010C,
5.754%, 12–15–28	760		916


New York – 1.2%
Port Auth of NY & NJ Consolidated Bonds, Ser 174,
4.458%, 10–1–62	3,110		3,070
Port Auth of NY and NJ Consolidated Bonds, 168th Ser,
4.926%, 10–1–51	3,550		3,885

			6,955


Washington – 0.2%
Pub Util Dist No. 1, Douglas Cnty, WA, Wells Hydroelec Bonds, Ser 2010A,
5.450%, 9–1–40	1,205		1,297


TOTAL MUNICIPAL BONDS – TAXABLE – 1.6%		$	9,786
(Cost: $9,027)

UNITED STATES GOVERNMENT AGENCY OBLIGATIONS
Agency Obligations – 0.0%
Federal National Mortgage Association,
5.500%, 2–1–35	247		271


Mortgage-Backed Obligations – 28.3%
Federal Home Loan Mortgage Corporation Fixed Rate Participation Certificates:
5.500%, 12–1–17	173		186
5.500%, 9–1–19	230		250
5.000%, 4–1–23	809		875
3.500%, 8–1–26	1,513		1,606
5.000%, 5–1–29	144		155
6.500%, 9–1–32	86		98
5.300%, 1–15–33	205		225
6.000%, 11–1–33	156		178
5.500%, 5-1-34	1,059		1,194
6.500%, 5–1–34	279		319
5.500%, 6–1–34	416		452
5.000%, 9–1–34	6		6
5.500%, 9–1–34	20		21
5.500%, 10–1–34	470		524
5.500%, 7–1–35	186		205
5.000%, 8–1–35	240		259
5.500%, 10–1–35	166		186
5.000%, 11–1–35	514		555
5.000%, 12–1–35	158		171
6.500%, 7–1–36	186		210
7.000%, 12–1–37	311		359
4.000%, 1–1–39 TBA	1,400		1,495


5.500%, 2–1–39	1,222	1,333
5.000%, 11–1–39	316	354
5.000%, 1–1–40	1,907	2,124
5.000%, 3–1–40	2,712	3,035
5.000%, 4–1–40	784	863
5.000%, 8–1–40	702	780
4.000%, 10–1–40	1,603	1,790
4.000%, 11–1–40	1,348	1,501
4.500%, 1–1–41	1,707	1,890
4.000%, 2–1–41	2,674	2,929
4.000%, 3–1–41	853	947
4.500%, 3–1–41	834	913
4.500%, 4–1–41	3,892	4,348
4.000%, 6–1–41	887	985
4.000%, 11–1–41	7,222	7,847
3.500%, 1–1–42	2,850	3,097
3.500%, 3–1–42	2,882	3,103
3.000%, 8–1–42	1,912	2,009
3.500%, 8–1–42	4,914	5,248
Federal National Mortgage Association Fixed Rate Pass-Through Certificates:
6.000%, 9–1–17	27	29
6.000%, 1–1–18	102	110
5.500%, 2–1–18	99	107
5.500%, 3–1–18	20	22
5.000%, 5–1–18	357	384
5.000%, 6–1–18	87	95
5.000%, 7–1–18	38	42
5.000%, 10–1–18	270	293
5.500%, 9–1–19	81	87
3.000%, 9–1–22	1,917	2,025
5.000%, 7–1–23	398	438
6.000%, 8–1–23	404	444
5.500%, 2–1–24	145	159
3.500%, 1–1–25 TBA	125	133
4.500%, 4–1–25	799	862
3.500%, 11–1–25	792	858
3.500%, 6–1–26	1,516	1,622
3.000%, 1–1–28	2,410	2,544
6.000%, 8–1–29	126	140
7.500%, 5–1–31	37	45
4.000%, 8–20–31	990	1,075
7.000%, 9–1–31	16	19
7.000%, 11–1–31	148	174
6.500%, 12–1–31	18	21
6.500%, 2–1–32	184	209
7.000%, 2–1–32	137	161
7.000%, 3–1–32	212	248
6.500%, 4–1–32	38	43
3.500%, 5–1–32	2,116	2,269
6.500%, 5–1–32	90	102
6.500%, 7–1–32	27	30
6.500%, 8–1–32	39	45
6.000%, 9–1–32	50	57
6.500%, 9–1–32	93	106
6.000%, 10–1–32	835	954
6.500%, 10–1–32	89	100
6.000%, 11–1–32	587	670
3.500%, 12–1–32	2,990	3,197
6.000%, 3–1–33	949	1,077
5.500%, 4–1–33	690	784
6.000%, 4–1–33	73	82
5.500%, 5–1–33	121	133
6.000%, 6–1–33	418	465
6.500%, 8–1–33	24	27
6.000%, 10–1–33	70	79
6.000%, 12–1–33	163	183
5.500%, 1–1–34	233	256
5.500%, 1–1–34	214	236
6.000%, 1–1–34	139	156
5.000%, 3–1–34	843	918
5.000%, 3–1–34	104	113
5.500%, 3–1–34	82	94
5.500%, 4–1–34	189	210
5.000%, 5–1–34	56	61
6.000%, 8–1–34	220	245
5.500%, 9–1–34	471	536
6.000%, 9–1–34	255	284


6.500%, 9–1–34	316	358
5.500%, 11–1–34	862	947
6.000%, 11–1–34	312	346
6.500%, 11–1–34	22	26
5.000%, 12–1–34	1,395	1,520
4.500%, 1–1–35 TBA	2,145	2,317
5.500%, 1–1–35	669	753
5.500%, 1–1–35	146	166
5.500%, 2–1–35	1,330	1,510
6.500%, 3–1–35	401	460
5.000%, 4–1–35	265	288
5.500%, 4–1–35	417	461
4.500%, 5–1–35	771	837
5.500%, 6–1–35	26	28
4.500%, 7–1–35	653	709
5.000%, 7–1–35	1,616	1,759
5.000%, 7–1–35	348	378
5.500%, 7–1–35	230	254
5.500%, 8–1–35	30	33
5.500%, 10–1–35	791	907
5.500%, 11–1–35	595	650
5.500%, 12–1–35	606	667
5.000%, 2–1–36	162	176
5.500%, 2–1–36	588	631
6.500%, 2–1–36	221	249
6.500%, 6–1–36	383	433
5.500%, 9–1–36	679	743
5.500%, 11–1–36	353	384
6.000%, 11–1–36	220	241
6.500%, 11–1–36	656	736
6.000%, 1–1–37	157	173
6.000%, 5–1–37	334	375
5.500%, 6–1–37	130	149
6.000%, 8–1–37	288	318
6.000%, 9–1–37	209	234
7.000%, 10–1–37	18	21
5.500%, 3–1–38	494	558
5.000%, 4–1–38	607	687
5.500%, 5–1–38	518	563
6.000%, 10–1–38	959	1,058
6.000%, 12–1–38	443	493
4.000%, 1–1–39 TBA	3,150	3,375
4.500%, 6–1–39	348	386
5.000%, 12–1–39	731	827
5.500%, 12–1–39	728	806
5.000%, 3–1–40	2,002	2,222
6.000%, 6–1–40	612	670
4.500%, 10–1–40	1,617	1,752
4.000%, 12–1–40	2,362	2,579
4.000%, 1–15–41	1,577	1,740
3.500%, 4–1–41	2,779	2,997
4.000%, 4–1–41	1,896	2,092
4.500%, 4–1–41	2,271	2,516
5.000%, 4–1–41	444	500
4.500%, 7–1–41	2,403	2,632
4.000%, 8–1–41	2,002	2,149
4.000%, 9–1–41	2,584	2,840
4.000%, 10–1–41	2,551	2,804
3.500%, 11–1–41	5,092	5,511
3.500%, 1–1–42 TBA	5,440	5,799
3.500%, 1–1–42	1,386	1,495
3.000%, 3–1–42	1,854	1,944
3.000%, 8–1–42	991	1,040
3.000%, 9–1–42	2,975	3,130
3.000%, 1–1–43	2,365	2,478
Federal National Mortgage Association Non-Agency REMIC/CMO,
4.500%, 7–25–24	1,875	2,039
Government National Mortgage Association Agency REMIC/CMO:
0.488%, 3–16–34 (B)(D)	2,505	23
0.643%, 7–16–40 (B)(D)	793	16
0.000%, 3–16–42 (B)(D)(E)	755	—	*
0.820%, 6–17–45 (B)(D)	8,068	147
Government National Mortgage Association Fixed Rate Pass-Through Certificates:
6.250%, 7–15–24	91	104
5.000%, 7–15–33	387	427


5.000%, 7–15–34	317		349
5.500%, 12–15–34	447		493
5.000%, 1–15–35	513		562
5.000%, 12–15–35	726		799
4.000%, 6–20–36	1,319		1,445
5.500%, 7–15–38	437		483
5.500%, 10–15–38	384		437
5.500%, 2–15–39	287		317
5.000%, 12–15–39	240		270
5.000%, 1–15–40	2,136		2,374
4.500%, 6–15–40	878		979
5.000%, 7–15–40	700		770
4.000%, 12–20–40	875		971
4.000%, 8–1–41	873		949
4.000%, 10–15–41	897		997
United States Department of Veterans Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, 1995–1 Class 1,
7.223%, 2–15–25(B)	112		131
United States Department of Veterans Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, 1995–1 Class 2,
7.793%, 2–15–25	36		42

			173,487


TOTAL UNITED STATES GOVERNMENT AGENCY OBLIGATIONS – 28.3%		$	173,758
(Cost: $168,883)

UNITED STATES GOVERNMENT OBLIGATIONS
Treasury Inflation Protected Obligations – 0.2%
United States Treasury Notes,
1.875%, 7–15–13 (F)(G)	1,385		1,408


Treasury Obligations – 7.6%
United States Treasury Bonds:
5.375%, 2–15–31(G)	1,775		2,528
2.750%, 8–15–42	12,845		12,357
United States Treasury Notes:
0.250%, 11–30–14	2,215		2,215
0.375%, 11–15–15	6,085		6,090
0.625%, 11–30–17	1,414		1,409
0.750%, 12–31–17	15,000		15,018
1.000%, 11–30–19	4,808		4,757
1.625%, 11–15–22	1,909		1,886

			46,260


TOTAL UNITED STATES GOVERNMENT OBLIGATIONS – 7.8%		$	47,668
(Cost: $47,432)

SHORT-TERM SECURITIES
Commercial Paper – 6.0%
Air Products and Chemicals, Inc.,
0.150%, 1–9–13(H)	15,196		15,195
BHP Billiton Finance (USA) Limited (GTD by BHP Billiton Limited),
0.130%, 1–11–13(H)	3,000		3,000
Campbell Soup Company,
0.240%, 2–11–13(H)	2,804		2,803
CVS Caremark Corporation,
0.280%, 1–2–13(H)	388		388
General Mills, Inc.,
0.330%, 1–8–13(H)	3,000		3,000
Harley-Davidson Funding Corp. (GTD by Harley-Davidson, Inc.),
0.360%, 1–10–13(H)	6,000		5,999
Kellogg Co.,
0.190%, 1–10–13(H)	3,000		3,000
St. Jude Medical, Inc.,
0.440%, 1–15–13(H)	3,500		3,500

			36,885



Master Note – 0.1%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (I)	478		478


Municipal Obligations – Taxable – 1.7%
MS Business Fin Corp, Gulf Opp Zone Indl Dev Var Rev Bonds (Chevron U.S.A. Inc. Proj), Ser E (GTD by Chevron Corporation), 0.100%, 1–2–13 (I)	10,434		10,434


United States Government Agency Obligations – 0.0%
Overseas Private Investment Corporation (GTD by United States Government), 0.170%, 1–2–13 (I)	55		55


TOTAL SHORT-TERM SECURITIES – 7.8%		$	47,852
(Cost: $47,852)

TOTAL INVESTMENT SECURITIES – 102.6%		$	629,436
(Cost: $617,540)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (2.6%)			(15,958	)

NET ASSETS – 100.0%		$	613,478

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $90,905 or 14.8% of net assets.

(B)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(C)	Non-income producing as the issuer has either missed its most recent interest payment or declared bankruptcy.

(D)	Interest-only security. Amount shown as principal represents notional amount for computation of interest.

(E)	Zero coupon bond.

(F)	The interest rate for this security is a stated rate, but the interest payments are determined by multiplying the inflation-adjusted principal by one half of the stated rate for each semiannual interest payment date.

(G)	All or a portion of the security position has been pledged as collateral on open futures contracts.

(H)	Rate shown is the yield to maturity at December 31, 2012.

(I)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following futures contracts were outstanding at December 31, 2012 (contracts unrounded):


Description	Type		Expiration Date		Number of Contracts		Market Value			Unrealized Appreciation (Depreciation)
U.S. 10 Year Treasury Note		Short		3-28-13		141	$	(18,722	)	$	37
U.S. 30 Year Treasury Bond		Short		3-28-13		65		(9,588	)		114
U.S. 5 Year Treasury Note		Long		4-3-13		133		16,547			(1	)
							$	(11,763	)	$	150

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Asset-Backed Securities	$	—	$	33,537	$	10,126
Corporate Debt Securities		—		248,052		13,031
Mortgage-Backed Securities		—		43,616		2,010
Municipal Bonds		—		9,786		—
United States Government Agency Obligations		—		173,758		—
United States Government Obligations		—		47,668		—
Short-Term Securities		—		47,852		—
Total	$	—	$	604,269	$	25,167
Futures Contracts	$	150	$	—	$	—

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Asset-Backed Securities			Corporate Debt Securities			Mortgage-Backed Securities
Beginning Balance 4-1-12	$	8,414		$	6,368		$	5,196
Net realized gain (loss)		(36	)		—			(573	)
Net unrealized appreciation (depreciation)		425			457			778
Purchases		2,300			4,967			—
Sales		(977	)		(358	)		(593	)
Transfers into Level 3 during the period		—			1,597			208
Transfers out of Level 3 during the period		—			—			(3,006	)
Ending Balance 12-31-12	$	10,126		$	13,031		$	2,010
Net change in unrealized appreciation (depreciation) for all Level 3 investments still held as of 12-31-12	$	384		$	178		$	55

There were no transfers between any levels during the period ended December 31, 2012.

Quantitative Information about Level 3 fair value measurements:


	Fair Value at 12-31-12		Valuation Technique(s)	Unobservable Input(s)
Assets
Asset-Backed Securities	$	10,126	Third-party vendor pricing service		Vendor quotes
Corporate Debt Securities		13,031	Third-party vendor pricing service		Vendor quotes
Mortgage-Backed Securities		2,010	Third-party vendor pricing service		Vendor quotes

The following acronyms are used throughout this schedule:

CMO = Collateralized Mortgage Obligation

GTD = Guaranteed

REIT = Real Estate Investment Trust

REMIC = Real Estate Mortgage Investment Conduit

TBA = To Be Announced

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	617,540
Gross unrealized appreciation		24,042
Gross unrealized depreciation		(12,146	)
Net unrealized appreciation	$	11,896


SCHEDULE OF INVESTMENTS
Ivy Core Equity Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 2.7%
Precision Castparts Corp.		56	$	10,589


Apparel, Accessories & Luxury Goods – 2.8%
Polo Ralph Lauren Corporation		41		6,102
Under Armour, Inc., Class A (A)		98		4,770

				10,872


Application Software – 1.4%
Intuit Inc.		94		5,563


Asset Management & Custody Banks – 0.9%
Northern Trust Corporation		73		3,637


Biotechnology – 1.0%
Alexion Pharmaceuticals, Inc. (A)		40		3,724


Brewers – 3.0%
Anheuser-Busch InBev S.A., ADR (A)		136		11,862


Broadcasting – 5.2%
CBS Corporation, Class B		372		14,163
Discovery Holding Company, Class A (A)		104		6,595

				20,758


Cable & Satellite – 4.3%
Charter Communications, Inc., Class A (A)		70		5,306
Time Warner Cable Inc.		118		11,430

				16,736


Computer Hardware – 4.1%
Apple Inc. (A)		30		15,777


Construction & Farm Machinery & Heavy Trucks – 1.0%
Cummins Inc.		36		3,922


Consumer Finance – 4.7%
Capital One Financial Corporation		315		18,260


Data Processing & Outsourced Services – 2.6%
MasterCard Incorporated, Class A		21		10,317


Distillers & Vintners – 1.8%
Beam Inc.		118		7,233


Diversified Chemicals – 2.5%
Dow Chemical Company (The)		298		9,622


Fertilizers & Agricultural Chemicals – 2.7%
Monsanto Company		113		10,666


Food Retail – 1.1%
Whole Foods Market, Inc.		47		4,311


Health Care Equipment – 1.4%
Covidien plc (A)		96		5,549


Home Improvement Retail – 1.9%
Home Depot, Inc. (The)		122		7,521


Hypermarkets & Super Centers – 1.3%
Costco Wholesale Corporation	52	5,156


Industrial Machinery – 5.7%
Pall Corporation	189	11,413
Pentair, Inc. (A)	221	10,867

		22,280


Internet Retail – 1.5%
Amazon.com, Inc. (A)	23	5,877


Internet Software & Services – 1.1%
Facebook, Inc., Class A (A)	168	4,461


Leisure Products – 0.7%
Polaris Industries Inc.	33	2,777


Motorcycle Manufacturers – 3.3%
Harley-Davidson, Inc.	262	12,820


Movies & Entertainment – 1.8%
News Corporation Limited, Class B	269	7,059


Multi-Line Insurance – 1.0%
American International Group, Inc. (A)	111	3,904


Oil & Gas Equipment & Services – 2.3%
National Oilwell Varco, Inc.	50	3,431
Schlumberger Limited	83	5,758

		9,189


Oil & Gas Exploration & Production – 3.0%
ConocoPhillips	67	3,874
Noble Energy, Inc.	73	7,397

		11,271


Oil & Gas Refining & Marketing – 1.2%
Phillips 66	92	4,882


Other Diversified Financial Services – 3.6%
JPMorgan Chase & Co.	316	13,902


Packaged Foods & Meats – 3.7%
Mead Johnson Nutrition Company	140	9,243
Mondelez Intl, Inc. Class A	214	5,448

		14,691


Personal Products – 1.8%
Estee Lauder Companies, Inc. (The), Class A	115	6,857


Pharmaceuticals – 3.9%
Allergan, Inc.	52	4,764
Pfizer Inc.	417	10,450

		15,214


Railroads – 5.0%
Kansas City Southern	83	6,962
Union Pacific Corporation	100	12,576

		19,538


Regional Banks – 1.2%
SunTrust Banks, Inc.	168	4,751


Semiconductors – 3.1%
Altera Corporation	238	8,186
Texas Instruments Incorporated	126	3,902

		12,088


Specialty Chemicals – 1.8%
LyondellBasell Industries N.V., Class A		35		1,992
Sherwin-Williams Company (The)		33		5,123

				7,115


Tobacco – 2.7%
Philip Morris International Inc.		125		10,461


Wireless Telecommunication Service – 0.8%
SBA Communications Corporation (A)		42		2,983


TOTAL COMMON STOCKS – 95.6%			$	374,195
(Cost: $295,299)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 4.4%
Campbell Soup Company, 0.240%, 2-1-13 (B)	$	10,093		10,091
CVS Caremark Corporation, 0.280%, 1-2-13 (B)		1,516		1,516
Kroger Co. (The), 0.400%, 1-3-13 (B)		3,000		3,000
Sonoco Products Co., 0.000%, 1-2-13 (B)		2,328		2,328

				16,935


Master Note – 0.3%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (C)		1,315		1,315


TOTAL SHORT-TERM SECURITIES – 4.7%			$	18,250
(Cost: $18,250)

TOTAL INVESTMENT SECURITIES – 100.3%			$	392,445
(Cost: $313,549)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (0.3%)				(1,256	)

NET ASSETS – 100.0%			$	391,189

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Rate shown is the yield to maturity at December 31, 2012.

(C) Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	84,420	$	—	$	—
Consumer Staples		60,571		—		—
Energy		25,342		—		—
Financials		44,454		—		—
Health Care		24,487		—		—
Industrials		56,329		—		—
Information Technology		48,206		—		—
Materials		27,403		—		—
Telecommunication Services		2,983		—		—
Total Common Stocks	$	374,195	$	—	$	—
Short-Term Securities		—		18,250		—
Total	$	374,195	$	18,250	$	—

There were no reoccurring transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	313,549
Gross unrealized appreciation		80,719
Gross unrealized depreciation		(1,823	)
Net unrealized appreciation	$	78,896


SCHEDULE OF INVESTMENTS
Ivy Cundill Global Value Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares			Value

Australia – 0.9%
Primary Health Care Limited		466		$	1,946


Belgium – 3.4%
ageas N.V. (A)		251			7,422


Brazil – 0.3%
HRT Participacoes Em Petroleo S.A. (A)		284			656


Canada – 2.7%
EnCana Corporation		243			4,792
Fairfax Financial Holdings Limited		3			1,012

					5,804


Finland – 1.9%
Nokia OYJ		1,045			4,130


France – 5.4%
Carrefour S.A.		327			8,430
Renault SA		61			3,307

					11,737


Germany – 8.5%
Deutsche Lufthansa AG		508			9,612
Munchener Ruckversicherungs-Gesellschaft AG, Registered Shares		48			8,710

					18,322


Greece – 0.7%
Intralot S.A. Integrated Lottery Systems and Services		626			1,597


Hong Kong – 4.4%
First Pacific Company Limited		6,587			7,274
Henderson Land Development Company Limited		305			2,184

					9,458


Italy – 2.9%
EXOR S.p.A.		251			6,326


Japan – 12.0%
Canon Inc.		47			1,810
Honda Motor Co., Ltd.		332			12,284
SANKYO Co., Ltd.		107			4,258
Sega Sammy Holdings Inc.		454			7,658

					26,010


Netherlands – 2.8%
TNT N.V. (A)		1,529			5,967


United Kingdom – 2.4%
BP plc, ADR		125			5,204


United States – 36.3%
American International Group, Inc. (A)		405			14,279
Bank of America Corporation		1,407			16,325
Berkshire Hathaway Inc., Class A (A)		—	*		4,156
Citigroup Inc.		383			15,155
Dell Inc.		425			4,301
FedEx Corporation		21			1,902


GameStop Corp, Class A		434		10,897
Hewlett-Packard Company		203		2,899
Liberty Ventures Group, Series A (A)		69		4,697
Microsoft Corporation		159		4,263

				78,874


TOTAL COMMON STOCKS – 84.6%			$	183,453
(Cost: $163,180)

PREFERRED STOCKS
United States – 3.8%
Chesapeake Energy Corporation, 5.750% Cumulative (B)		9		8,149


TOTAL PREFERRED STOCKS – 3.8%			$	8,149
(Cost: $9,176)

WARRANTS
United States – 1.5%
JPMorgan Chase & Co., Expires 10-28-18 (C)		266		3,150


TOTAL WARRANTS – 1.5%			$	3,150
(Cost: $3,209)

OTHER GOVERNMENT SECURITIES	Principal
Greece – 0.1%
Hellenic Republic:
2.000%, 2–24–23 (D)		EUR18		13
2.000%, 2–24–24 (D)		18		11
2.000%, 2–24–25 (D)		18		11
2.000%, 2–24–26 (D)		18		10
2.000%, 2–24–27 (D)		18		10
2.000%, 2–24–28 (D)		19		11
2.000%, 2–24–29 (D)		19		10
2.000%, 2–24–30 (D)		19		10
2.000%, 2–24–31 (D)		19		10
2.000%, 2–24–32 (D)		19		10
2.000%, 2–24–33 (D)		19		10
2.000%, 2–24–34 (D)		19		10
2.000%, 2–24–35 (D)		19		9
2.000%, 2–24–36 (D)		19		9
2.000%, 2–24–37 (D)		19		9
2.000%, 2–24–38 (D)		19		9
2.000%, 2–24–39 (D)		19		9
2.000%, 2–24–40 (D)		19		9
2.000%, 2–24–41 (D)		19		9
2.000%, 2–24–42 (D)		19		9
0.000%, 10–15–42 (D)(E)		378		3

				201


TOTAL OTHER GOVERNMENT SECURITIES – 0.1%			$	201
(Cost: $83)

SHORT-TERM SECURITIES
Commercial Paper – 7.5%
Straight-A Funding, LLC (GTD by Federal Financing Bank):
0.180%, 1–8–13 (F)	$	4,400		4,399
0.150%, 1–24–13 (F)		3,300		3,300
0.170%, 1–28–13 (F)		500		500
0.540%, 1–30–13 (F)		2,169		2,169
0.180%, 2–19–13 (F)		2,000		2,000
0.190%, 3–5–13 (F)		4,000		3,998

				16,366


United States Government Agency Obligations – 1.4%
Overseas Private Investment Corporation (GTD by United States Government),
0.170%, 1-2-13 (G)	3,000		3,000


TOTAL SHORT-TERM SECURITIES – 8.9%		$	19,366
(Cost: $19,366)

TOTAL INVESTMENT SECURITIES – 98.9%		$	214,319
(Cost: $195,014)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.1%			2,390

NET ASSETS – 100.0%		$	216,709

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $8,149 or 3.8% of net assets.

(C)	Warrants entitle the Fund to purchase a predetermined number of shares of common stock and are non-income producing. The purchase price and number of shares are subject to adjustment under certain conditions until the expiration date, if any.

(D)	Principal amounts are denominated in the indicated foreign currency, where applicable (EUR – Euro).

(E)	Zero coupon bond.

(F)	Rate shown is the yield to maturity at December 31, 2012.

(G)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	Japanese Yen	Royal Bank of Canada		606,300		2–6–13	$	786	$	—
Sell	Japanese Yen	Canadian Imperial Bank of Commerce		759,300		4–10–13		614		—
Sell	Japanese Yen	Toronto-Dominion Bank (The)		624,000		5–15–13		403		—
							$	1,803	$	—

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	15,595	$	29,104	$	—
Consumer Staples		—		8,430		—
Energy		10,651		—		—
Financials		50,927		31,916		—
Health Care		—		1,946		—
Industrials		1,902		15,579		—
Information Technology		11,463		5,940		—
Total Common Stocks	$	90,538	$	92,915	$	—
Preferred Stocks		—		8,149		—
Warrants		3,150		—		—
Other Government Securities		—		201		—
Short-Term Securities		—		19,366		—
Total	$	93,688	$	120,631	$	—
Forward Foreign Currency Contracts	$	—	$	1,803	$	—

During the period ended December 31, 2012, securities totaling $92,915 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	195,014
Gross unrealized appreciation		33,547
Gross unrealized depreciation		(14,242	)
Net unrealized appreciation	$	19,305


SCHEDULE OF INVESTMENTS
Ivy Dividend Opportunities Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 4.2%
Boeing Company (The)		112	$	8,466
Honeywell International Inc.		90		5,734

				14,200


Apparel, Accessories & Luxury Goods – 1.8%
V.F. Corporation		39		5,948


Brewers – 3.0%
Anheuser-Busch InBev S.A., ADR (A)		116		10,166


Broadcasting – 0.7%
CBS Corporation, Class B		62		2,344


Casinos & Gaming – 2.1%
Las Vegas Sands, Inc.		78		3,580
Wynn Resorts, Limited		33		3,710

				7,290


Computer Hardware – 3.2%
Apple Inc. (A)		20		10,900


Construction & Farm Machinery & Heavy Trucks – 3.5%
Caterpillar Inc.		40		3,601
Deere & Company		94		8,137

				11,738


Consumer Finance – 1.8%
Capital One Financial Corporation		104		5,996


Data Processing & Outsourced Services – 3.6%
Paychex, Inc.		103		3,212
Visa Inc., Class A		60		9,065

				12,277


Department Stores – 0.5%
Macy’s Inc.		46		1,787


Distillers & Vintners – 2.2%
Diageo plc, ADR		65		7,537


Diversified Banks – 2.1%
Wells Fargo & Company		207		7,058


Diversified Chemicals – 1.1%
Dow Chemical Company (The)		116		3,752


Diversified Metals & Mining – 1.3%
Rio Tinto plc, ADR		75		4,368


Fertilizers & Agricultural Chemicals – 2.6%
Monsanto Company		39		3,729
Mosaic Company (A)		88		4,965

				8,694


General Merchandise Stores – 0.8%
Target Corporation		45		2,674


Home Improvement Retail – 3.2%
Home Depot, Inc. (The)		173		10,716



Homebuilding – 2.9%
D.R. Horton, Inc.	308	6,099
M.D.C. Holdings, Inc.	106	3,891

		9,990


Household Products – 1.3%
Colgate-Palmolive Company	43	4,464


Industrial Conglomerates – 2.5%
General Electric Company	398	8,349


Industrial Machinery – 2.0%
Eaton Corporation (A)	65	3,518
Pentair, Inc. (A)	70	3,416

		6,934


Integrated Oil & Gas – 3.8%
Chevron Corporation	25	2,747
Exxon Mobil Corporation	96	8,318
Royal Dutch Petroleum Company, New York Shares	25	1,751

		12,816


Integrated Telecommunication Services – 0.8%
CenturyLink, Inc.	73	2,871


Investment Banking & Brokerage – 2.9%
Goldman Sachs Group, Inc. (The)	78	9,937


Multi-Utilities – 1.0%
PG&E Corporation	83	3,323


Oil & Gas Drilling – 1.9%
Seadrill Limited	174	6,396


Oil & Gas Equipment & Services – 6.8%
Halliburton Company	108	3,733
National Oilwell Varco, Inc.	107	7,303
Schlumberger Limited	172	11,893

		22,929


Oil & Gas Storage & Transportation – 1.4%
MarkWest Energy Partners, L.P.	96	4,889


Other Diversified Financial Services – 4.2%
JPMorgan Chase & Co.	328	14,435


Packaged Foods & Meats – 0.5%
Mondelez Intl, Inc. Class A	66	1,675


Pharmaceuticals – 9.1%
Bristol-Myers Squibb Company	123	4,000
Eli Lilly and Company	73	3,603
GlaxoSmithKline plc, ADR	94	4,071
Johnson & Johnson	98	6,887
Merck & Co., Inc.	89	3,623
Pfizer Inc.	352	8,818

		31,002


Property & Casualty Insurance – 1.3%
ACE Limited	55	4,421


Railroads – 5.1%
Kansas City Southern	67	5,589
Union Pacific Corporation	94	11,836

		17,425


Regional Banks – 0.5%
SunTrust Banks, Inc.		61		1,732


Restaurants – 1.5%
McDonald’s Corporation		20		1,720
Starbucks Corporation		63		3,354

				5,074


Semiconductors – 3.4%
Microchip Technology Incorporated		354		11,542


Soft Drinks – 0.5%
Coca-Cola Company (The)		47		1,706


Tobacco – 4.4%
Altria Group, Inc.		108		3,396
Philip Morris International Inc.		138		11,575

				14,971


TOTAL COMMON STOCKS – 95.5%			$	324,326
(Cost: $252,411)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 4.2%
Harley-Davidson Funding Corp. (GTD by Harley-Davidson, Inc.), 0.310%, 1–18–13 (B)	$	5,000		4,999
McCormick & Co. Inc.: 0.220%, 1–2–13 (B)		3,166		3,166
0.230%, 1–11–13 (B)		3,000		3,000
Total Capital Canada Ltd. (GTD by Total S.A.),
0.110%, 1–11–13 (B)		3,000		3,000

				14,165


Master Note – 0.2%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (C)		789		789


TOTAL SHORT-TERM SECURITIES – 4.4%			$	14,954
(Cost: $14,954)

TOTAL INVESTMENT SECURITIES – 99.9%			$	339,280
(Cost: $267,365)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.1%				171

NET ASSETS – 100.0%			$	339,451

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Rate shown is the yield to maturity at December 31, 2012.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	324,326	$	—	$	—
Short-Term Securities		—		14,954		—
Total	$	324,326	$	14,954	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	267,365
Gross unrealized appreciation		74,088
Gross unrealized depreciation		(2,173	)
Net unrealized appreciation	$	71,915

SCHEDULE OF INVESTMENTS

Ivy Energy Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Coal & Consumable Fuels – 2.1%
Cameco Corporation		52	$	1,032
Peabody Energy Corporation		46		1,216

				2,248


Construction & Engineering – 2.8%
Fluor Corporation		50		2,916


Diversified Metals & Mining – 1.8%
BHP Billiton Limited, ADR		24		1,886


Integrated Oil & Gas – 8.1%
Chevron Corporation		5		519
Exxon Mobil Corporation		44		3,782
Occidental Petroleum Corporation		37		2,829
Suncor Energy Inc.		43		1,415

				8,545


Oil & Gas Drilling – 7.9%
Ensco plc (A)		19		1,137
Helmerich & Payne, Inc.		50		2,808
Nabors Industries Ltd. (A)		87		1,254
Seadrill Limited		40		1,465
Transocean Inc.		38		1,685

				8,349


Oil & Gas Equipment & Services – 31.2%
Basic Energy Services, Inc. (A)		98		1,120
Cameron International Corporation (A)		72		4,076
Core Laboratories N.V.		31		3,356
Dresser-Rand Group Inc. (A)		38		2,105
Dril-Quip, Inc. (A)		30		2,166
FMC Technologies, Inc. (A)		45		1,910
Forum Energy Technologies, Inc. (A)		87		2,162
Halliburton Company		84		2,926
National Oilwell Varco, Inc.		76		5,199
Schlumberger Limited		65		4,518
Superior Energy Services, Inc. (A)		72		1,489
Tenaris S.A., ADR		21		887
Weatherford International Ltd. (A)		85		956

				32,870


Oil & Gas Exploration & Production – 29.5%
Anadarko Petroleum Corporation		51		3,803
Apache Corporation		12		958
Bonanza Creek Energy, Inc. (A)		21		582
Cabot Oil & Gas Corporation		61		3,034
CNOOC Limited, ADR		7		1,507
Cobalt International Energy, Inc. (A)		55		1,342
Concho Resources Inc. (A)		12		926
Continental Resources, Inc. (A)		60		4,384
EOG Resources, Inc.		30		3,630
Gulfport Energy Corporation (A)		23		862
Laredo Petroleum Holdings, Inc. (A)		26		470
Marathon Oil Corporation		17		527
Noble Energy, Inc.		27		2,704
Oasis Petroleum LLC (A)		37		1,170
Petroleum Development Corporation (A)		15		500
Pioneer Natural Resources Company		12		1,263
Southwestern Energy Company (A)		103		3,435

				31,097


Oil & Gas Refining & Marketing – 2.9%
Clean Energy Fuels Corp. (A)		56		692
Marathon Petroleum Corporation (A)		31		979
Marathon Petroleum Corporation		22		1,367

				3,038


Oil & Gas Storage & Transportation – 11.0%
El Paso Pipeline Partners, L.P.		49		1,816
Enbridge Inc.		26		1,135
Kinder Morgan Management, LLC (A)		19		1,403
Kinder Morgan, Inc.		56		1,973
MarkWest Energy Partners, L.P.		29		1,474
Regency Energy Partners LP		48		1,035
Targa Resources Corp.		24		1,281
Williams Companies, Inc. (The)		44		1,437

				11,554


TOTAL COMMON STOCKS – 97.3%			$	102,503
(Cost: $74,936)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.9%
Becton Dickinson & Co., 0.280%, 1-30-13 (B)	$	1,000		1,000


Master Note – 2.0%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (C)		2,059		2,059


TOTAL SHORT-TERM SECURITIES – 2.9%			$	3,059
(Cost: $3,059)

TOTAL INVESTMENT SECURITIES – 100.2%			$	105,562
(Cost: $77,995)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (0.2%)				(219	)

NET ASSETS – 100.0%			$	105,343

Notes to Schedule of Investments

(A) No dividends were paid during the preceding 12 months.

(B) Rate shown is the yield to maturity at December 31, 2012.

(C) Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1– Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	102,503	$	—	$	—
Short-Term Securities		—		3,059		—
Total	$	102,503	$	3,059	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	77,995
Gross unrealized appreciation		30,092
Gross unrealized depreciation		(2,525	)
Net unrealized appreciation	$	27,567


SCHEDULE OF INVESTMENTS
Ivy European Opportunities Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Austria – 1.9%
Andritz AG		64	$	4,143


Bermuda – 0.1%
Lancashire Holdings Limited		20		255


France – 16.7%
Alstom		60		2,417
Altran Technologies S.A. (A)		200		1,543
Axa S.A.		150		2,693
BNP Paribas		60		3,416
Gemalto N.V.		75		6,769
Iliad S.A.		7		1,202
Ingenico S.A.		100		5,689
LVMH Moet Hennessy – Louis Vuitton		8		1,476
Rubis Group		20		1,371
Sanofi-Aventis		50		4,742
Vinci		100		4,815

				36,133


Germany – 19.2%
Bayer AG		60		5,722
Brenntag AG (B)		22		2,898
Dialog Semiconductor plc (A)		180		3,189
Duerr AG		15		1,344
Fresenius SE & Co. KGaA (A)		30		3,452
Linde AG		33		5,773
Linde AG (A)(B)		7		1,225
Munchener Ruckversicherungs-Gesellschaft AG, Registered Shares		25		4,513
NORMA Group AG (B)		100		2,774
TOM TAILOR Holding AG		60		1,280
United Internet AG		50		1,081
Wirecard AG (A)		300		7,406
Wirecard AG (A)(B)		30		741

				41,398


Ireland – 2.4%
Glanbia plc		100		1,102
Paddy Power plc		50		4,146

				5,248


Italy – 3.6%
Brunello Cucinelli S.p.A. (A)(B)		150		2,646
Eni S.p.A.		80		1,960
Saipem S.p.A.		80		3,116

				7,722


Luxembourg – 1.3%
Acergy S.A.		113		2,717


Netherlands – 2.8%
ING Groep N.V., Certicaaten Van Aandelen (A)		500		4,749
Zesko B.V. (B)		40		1,307

				6,056


Norway – 1.1%
StatoilHydro ASA		91		2,285


Portugal – 1.4%
Galp Energia, SGPS, S.A., Class B		200		3,116



Russia – 1.4%
Sberbank (Savings Bank of the Russian Federation) (A)		1,000		3,117


Spain – 1.5%
Industria de Diseno Textil, S.A.		15		2,108
Tecnicas Reunidas, S.A.		25		1,171

				3,279


Sweden – 1.1%
Elekta AB (publ), B Shares		150		2,339


Switzerland – 14.7%
ARYZTA AG		66		3,434
BELIMO Holding AG, Registered Shares		1		1,307
Credit Suisse Group AG, Registered Shares		50		1,220
Dufry AG (A)(B)		10		1,322
Holcim Ltd, Registered Shares		50		3,683
Nestle S.A., Registered Shares		80		5,219
Roche Holdings AG, Genusscheine		23		4,650
Swatch Group Ltd (The), Bearer Shares		5		2,282
Swiss Re Ltd		50		3,625
Syngenta AG		8		3,232
Unaxis Holding AG, Registered Shares		150		1,708

				31,682


United Kingdom – 24.3%
ASOS plc (A)		50		2,205
Aurora Russia Limited (A)		1,557		762
Babcock International Group plc		200		3,157
Barclays plc		500		2,172
BG Group plc		100		1,668
British American Tobacco plc		80		4,067
Compass Group plc		400		4,748
Diageo plc		90		2,621
Experian plc		230		3,707
Filtrona plc		125		1,124
GlaxoSmithKline plc		100		2,177
HSBC Holdings plc		201		2,129
IMI plc		100		1,810
Imperial Tobacco Group plc		170		6,594
Prudential plc		300		4,280
Rio Tinto plc		40		2,333
Telecity Group plc		100		1,291
Vodafone Group plc		2,300		5,790

				52,635


United States – 0.8%
InBev NV		20		1,742


TOTAL COMMON STOCKS – 94.3%			$	203,867
(Cost: $160,042)

PREFERRED STOCKS
Germany – 3.2%
Volkswagen AG, 2.260% (A)		30		6,884


TOTAL PREFERRED STOCKS – 3.2%			$	6,884
(Cost: $3,394)

SHORT-TERM SECURITIES	Principal
Master Note – 1.9%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (C)	$	4,079		4,079



TOTAL SHORT-TERM SECURITIES – 1.9%	$	4,079
(Cost: $4,079)

TOTAL INVESTMENT SECURITIES – 99.4%	$	214,830
(Cost: $167,515)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.6%		1,345

NET ASSETS – 100.0%	$	216,175

Notes to Schedule of Investments

(A) No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $12,913 or 6.0% of net assets.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	4,146	$	18,067	$	—
Consumer Staples		1,102		23,675		—
Energy		—		16,033		—
Financials		762		32,170		—
Health Care		2,339		20,743		—
Industrials		—		30,080		—
Information Technology		—		27,710		—
Materials		—		17,370		—
Telecommunication Services		2,509		5,790		—
Utilities		—		1,371		—
Total Common Stocks	$	10,858	$	193,009	$	—
Preferred Stocks		—		6,884		—
Short-Term Securities		—		4,079		—
Total	$	10,858	$	203,972	$	—

During the period ended December 31, 2012, securities totaling $193,009 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	167,515
Gross unrealized appreciation		51,247
Gross unrealized depreciation		(3,932	)
Net unrealized appreciation	$	47,315


SCHEDULE OF INVESTMENTS
Ivy Global Bond Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Consumer Finance – 0.7%
Banco Latinoamericano de Comercio Exterior, S.A.		87	$	1,865


Diversified Chemicals – 0.5%
Dow Chemical Company (The)		42		1,364


Electric Utilities – 1.3%
PPL Corporation		64		1,832
Transmissora Alianca de Energia Eletrica S.A. (A)(B)		117		1,249

				3,081


Oil & Gas Drilling – 0.4%
Seadrill Partners LLC (A)		44		1,131


Pharmaceuticals – 1.5%
Bristol-Myers Squibb Company		38		1,225
GlaxoSmithKline plc (B)		111		2,421

				3,646


Semiconductors – 0.5%
Intel Corporation		56		1,145


Water Utilities – 0.3%
Aguas Andinas S.A. (B)		1,051		746


TOTAL COMMON STOCKS – 5.2%			$	12,978
(Cost: $12,765)

CORPORATE DEBT SECURITIES	Principal

Aerospace & Defense – 1.3%
Bombardier Inc.,
7.500%, 3–15–18 (C)	$	1,200		1,337
Embraer Overseas Limited,
6.375%, 1–24–17		1,700		1,912

				3,249


Agricultural Products – 2.5%
CCL Finance Limited:
9.500%, 8–15–14		1,650		1,832
9.500%, 8–15–14 (C)		500		555
Corporacion Pesquera Inca S.A.C.,
9.000%, 2–10–17		2,022		2,152
Virgolino de Oliveira Finance Limited,
10.500%, 1–28–18 (C)		1,825		1,862

				6,401


Air Freight & Logistics – 0.2%
FedEx Corporation,
7.375%, 1–15–14		500		534


Airlines – 1.5%
Aeropuertos Argentina 2000 S.A.,
10.750%, 12–1–20 (C)		1,281		1,133
GOL Finance,
9.250%, 7–20–20		2,375		2,079
TAM Capital 2 Inc.,
9.500%, 1–29–20		525		584

				3,796


Alternative Carriers – 0.3%
PCCW-HKT Capital No. 2 Limited,
6.000%, 7–15–13		750		767


Asset Management & Custody Banks – 0.9%
Bhira Investments Limited,
8.500%, 4–27–71		2,100		2,160


Auto Parts & Equipment – 0.3%
Schaeffler Finance B.V.,
7.750%, 2–15–17 (C)		750	833


Brewers – 0.2%
Miller Brewing Company,
5.500%, 8–15–13		500	514


Broadcasting –1.6%
Globo Comunicacoe e Participacoes S.A.:
5.307%, 5–11–17 (D)		850	927
6.250%, 12–20–49 (D)		2,820	3,059

			3,986


Coal & Consumable Fuels – 2.2%
Indo Energy Finance B.V.,
7.000%, 5–7–18 (C)		1,800	1,881
Indo Integrated Energy II B.V., 9.750%, 11–5–16		550	600
PT Adaro Indonesia:
7.625%, 10–22–19		1,845	2,047
7.625%, 10–22–19 (C)		1,000	1,110

			5,638


Construction & Engineering – 1.1%
Larsen & Toubro Limited, Convertible,
3.500%, 10–22–14		2,100	2,228
Odebrecht Drilling Norbe VII/IX Ltd.,
6.350%, 6–30–21 (C)		499	560

			2,788


Construction Materials – 0.7%
Cemex SAB de CV,
9.000%, 1–11–18 (C)		1,200	1,299
Rearden G Holdings EINS GmbH,
7.875%, 3–30–20		365	405

			1,704


Consumer Finance – 2.1%
Banco BMG S.A.,
9.150%, 1–15–16		792	776
Banco Latinoamericano de Comercio Exterior, S.A.,
3.750%, 4–4–17 (C)		3,700	3,787
VEB Finance Limited,
5.375%, 2–13–17 (C)		600	657

			5,220


Distillers & Vintners – 0.2%
Diageo Capital plc,
7.375%, 1–15–14		250	268
Diageo Finance B.V.,
5.500%, 4–1–13		250	253

			521


Diversified Banks – 7.8%
Banco Bradesco S.A.,
4.125%, 5–16–16 (C)		1,850	1,951
Banco Cruzeiro do Sul S.A.,
8.500%, 2–20–15 (C)(E)		1,500	310
Banco de Bogota S.A.,
5.000%, 1–15–17 (C)		400	431
Banco de Credito del Peru,
4.750%, 3–16–16 (C)		2,300	2,426
Banco Santander Brasil, S.A.,
4.500%, 4–6–15 (C)		750	776
Banco Santander Chile, S.A.,
6.500%, 9–22–20 (F)		CLP1,297,000	2,708
Bancolombia S.A.,
4.250%, 1–12–16	$	1,700	1,777
ICICI Bank Limited,
4.750%, 11–25–16 (C)		1,250	1,310
SB Capital S.A.,


5.499%, 7–7–15		550	595
Sberbank Rossii OAO,
6.480%, 5–15–13		1,000	1,012
State Bank of India,
4.500%, 10–23–14		1,000	1,039
VTB Capital S.A.,
6.000%, 4–12–17 (C)		4,710	5,091

			19,426


Diversified Chemicals – 0.2%
Dow Chemical Company (The),
7.600%, 5–15–14		406	443


Diversified Metals & Mining – 2.2%
Anglo American Capital plc,
9.375%, 4–8–14		500	550
Glencore Funding LLC,
6.000%, 4–15–14 (C)		1,640	1,733
Rio Tinto Finance (USA) Limited,
8.950%, 5–1–14		750	829
Southern Peru Copper Corporation,
6.375%, 7–27–15 (C)		275	305
Suzano Trading Ltd,
5.875%, 1–23–21 (C)		1,400	1,456
Vedanta Resources plc,
8.750%, 1–15–14		800	840

			5,713


Electric Utilities – 5.1%
Compania de Transporte de Energia Electrica en Alta Tension TRANSENER S.A.,
9.750%, 8–15–21 (C)		1,450	522
Emgesa S.A. E.S.P.,
8.750%, 1–25–21 (F)		COP745,000	494
Empresa Distribuidora y Comercializadora Norte S.A.,
9.750%, 10–25–22 (C)	$	955	420
ENEL Finance International S.A.,
3.875%, 10–7–14 (C)		500	515
Listrindo Capital B.V.,
6.950%, 2–21–19 (C)		2,550	2,844
Majapahit Holding B.V.,
7.750%, 10–17–16		1,200	1,419
Monongahela Power Company,
7.950%, 12–15–13 (C)		1,000	1,066
PPL Energy Supply, LLC,
6.300%, 7–15–13		500	515
Rural Electrification Corporation Limited,
4.250%, 1–25–16		1,675	1,724
RusHydro Finance Limited,
7.875%, 10–28–15 (F)		RUB90,000	2,936
Tata Electric Companies,
8.500%, 8–19–17	$	250	273

			12,728


Food Distributors – 1.4%
Olam International Limited:
5.750%, 9–20–17		1,150	1,072
7.500%, 8–12–20		2,500	2,362

			3,434


Gas Utilities – 0.3%
Transportadora de Gas del Sur S.A.,
7.875%, 5–14–17		997	828


Homebuilding – 1.6%
Desarrolladora Homex, S.A. de C.V.,
7.500%, 9–28–15		2,470	2,501
URBI, Desarrollos Urbanos, S.A. de C.V.,
8.500%, 4–19–16		1,000	985
URBI, Desarrollos Urbanos, S.A.B. de C.V.,
9.750%, 2–3–22 (C)		600	569

			4,055


Household Appliances – 0.9%
Controladora Mabe, S.A. de C.V.,
6.500%, 12–15–15		2,150	2,279


Independent Power Producers & Energy Traders – 2.1%


China Resources Power Holdings Company Limited,
3.750%, 8–3–15		2,500	2,599
Empresa Nacional de Electricidad S.A.,
8.350%, 8–1–13		1,500	1,558
TransAlta Corporation,
5.750%, 12–15–13		1,000	1,041

			5,198


Industrial Machinery – 0.1%
Ingersoll-Rand Global Holding Company Limited,
6.000%, 8–15–13		250	258


Integrated Oil & Gas – 0.7%
Cenovus Energy Inc.,
4.500%, 9–15–14		500	530
Gazprom International S.A.,
7.201%, 2–1–20		496	556
Gazstream S.A.,
5.625%, 7–22–13		86	87
Petro-Canada,
4.000%, 7–15–13		500	508

			1,681


Investment Banking & Brokerage – 0.4%
Morgan Stanley,
0.750%, 2–11–16 (D)(F)		CNY7,600	1,128


IT Consulting & Other Services – 0.5% iGATE Corporation,
9.000%, 5–1–16	$	1,200	1,301


Marine – 1.9%
PB Issuer (No. 2) Limited, Convertible,
1.750%, 4–12–16		2,620	2,565
SCF Capital Limited:
5.375%, 10–27–17		1,150	1,177
5.375%, 10–27–17 (C)		1,000	1,024

			4,766


Multi-Utilities – 1.1%
Abu Dhabi National Energy Company PJSC,
6.600%, 8–1–13		1,000	1,032
Black Hills Corporation,
9.000%, 5–15–14		1,400	1,541
Veolia Environment,
5.250%, 6–3–13		250	254

			2,827


Oil & Gas Drilling – 2.8%
Lancer Finance Company (SPV) Limited,
5.850%, 12–12–16 (C)		1,062	1,107
Noble Group Limited:
8.500%, 5–30–13		1,300	1,329
4.875%, 8–5–15		1,400	1,444
QGOG Atlantic/Alaskan Rigs Ltd.:
5.250%, 7–30–18 (C)		1,399	1,473
5.250%, 7–30–18		288	303
Schahin II Finance Company (SPV) Limited,
5.875%, 9–25–22 (C)		1,230	1,313

			6,969


Oil & Gas Exploration & Production – 4.0%
Anadarko Petroleum Corporation,
5.750%, 6–15–14		500	532
Essar Energy Investment Limited, Convertible,
4.250%, 2–1–16		3,700	2,665
Novatek Finance Limited,
5.326%, 2–3–16 (C)		2,200	2,357
Pacific Rubiales Energy Corp.,
8.750%, 11–10–16 (C)		2,000	2,215
Pan American Energy LLC:
7.875%, 5–7–21 (C)		1,000	863
7.875%, 5–7–21		500	431
Ras Laffan Liquefied Natural Gas Co. Ltd.,
5.832%, 9–30–16		646	712

			9,775



Oil & Gas Storage & Transportation – 2.9%
DCP Midstream, LLC,
9.700%, 12–1–13 (C)		500	539
Empresas Publicas de Medellin E.S.P.,
8.375%, 2–1–21 (F)		COP3,150,000	2,059
Maritimes & Northeast Pipeline, L.L.C.:
7.500%, 5–31–14	$	858	902
7.500%, 5–31–14 (C)		429	451
Midcontinent Express Pipeline LLC,
5.450%, 9–15–14		560	587
Sunoco Logistics Partners Operations L.P.,
8.750%, 2–15–14		500	537
TransCapital Limited:
7.700%, 8–7–13		500	521
5.670%, 3–5–14 (C)		1,700	1,777

			7,373


Packaged Foods & Meats – 2.7%
BFF International Limited,
7.250%, 1–28–20 (C)		2,000	2,381
Bunge Limited Finance Corp.,
5.350%, 4–15–14		925	973
Cadbury Schweppes US Finance LLC,
5.125%, 10–1–13 (C)		1,000	1,029
Cosan Finance Limited,
7.000%, 2–1–17		128	146
JBS Finance II Ltd.,
8.250%, 1–29–18 (C)		1,300	1,378
JBS USA LLC and JBS USA Finance, Inc.,
11.625%, 5–1–14		450	503
Kraft Foods Inc.,
6.000%, 2–11–13		250	251

			6,661


Paper Products – 1.8%
Fibria Overseas Finance Ltd.:
7.500%, 5–4–20 (C)		1,196	1,328
6.750%, 3–3–21 (C)		160	177
International Paper Company,
7.400%, 6–15–14		400	433
Inversiones CMPC S.A.,
4.750%, 1–19–18 (C)		1,925	2,028
IRSA Inversiones y Representaciones S.A.,
8.500%, 2–2–17		625	558

			4,524


Pharmaceuticals – 0.2%
Novartis Capital Corporation,
4.125%, 2–10–14		500	520


Precious Metals & Minerals – 0.4%
ALROSA Finance S.A.,
8.875%, 11–17–14		850	939


Publishing – 0.1%
Pearson Dollar Finance Two plc,
5.500%, 5–6–13		350	355


Restaurants – 1.1%
Arcos Dorados B.V.,
7.500%, 10–1–19 (C)		525	572
Arcos Dorados Holdings, Inc.,
10.250%, 7–13–16 (F)		BRL4,070	2,113

			2,685


Steel – 2.1%
ArcelorMittal:
5.375%, 6–1–13	$	855	864
9.500%, 2–15–15		500	556
4.250%, 2–25–15		500	505
Evraz Group S.A.,
8.875%, 4–24–13		1,800	1,835
Steel Capital S.A.,
6.250%, 7–26–16 (C)		1,500	1,599

			5,359


Tobacco – 0.2%
B.A.T. International Finance plc,
8.125%, 11–15–13		500	530



Trading Companies & Distributors – 0.6%
CITIC Resources Finance (2007) Limited,
6.750%, 5–15–14 (C)		700		735
CITIC Resources Holdings Limited:
6.750%, 5–15–14		700		735

				1,470


Wireless Telecommunication Service – 1.6%
America Movil, S.A.B. de C.V.:
5.500%, 3–1–14		500		527
3.625%, 3–30–15		800		848
Indosat Palapa Company B.V.,
7.375%, 7–29–20 (C)		250		283
Vimpel-Communications,
6.493%, 2–2–16 (C)		1,775		1,912
VIP Finance Ireland Limited,
8.375%, 4–30–13		550		561

				4,131


TOTAL CORPORATE DEBT SECURITIES – 61.9%			$	155,467
(Cost: $151,803)

OTHER GOVERNMENT SECURITIES

Argentina – 1.1%
Aeropuertos Argentina 2000 S.A.,
10.750%, 12–1–20		92		81
Compania Latinoamericana de Infraestructura & Servicios S.A.,
9.500%, 12–15–16		815		505
Province of Buenos Aires (The),
11.750%, 10–5–15		2,600		2,230

				2,816


Brazil – 1.0%
OI S.A.,
9.750%, 9–15–16 (F)		BRL4,800		2,462


Ireland – 0.3%
Russian Railways via RZD Capital Ltd,
8.300%, 4–2–19 (F)		RUB19,000		645


Supranational – 0.7%
Central American Bank for Economic Integration:
5.375%, 9–24–14	$	1,000		1,067
3.875%, 2–9–17 (C)		800		850

				1,917


Venezuela – 1.5%
Corporacion Andina de Fomento,
3.750%, 1–15–16		3,625		3,824


TOTAL OTHER GOVERNMENT SECURITIES – 4.6%			$	11,664
(Cost: $12,014)

UNITED STATES GOVERNMENT AGENCY OBLIGATIONS

Mortgage-Backed Obligations – 0.7%
Federal Home Loan Mortgage Corporation Adjustable Rate Participation Certificates,
4.000%, 5–15–24		201		213
Federal Home Loan Mortgage Corporation Agency REMIC/CMO,
5.500%, 1–15–38 (G)		1,083		134
Federal Home Loan Mortgage Corporation Fixed Rate Participation Certificates,
4.000%, 11–15–36		235		246
Federal National Mortgage Association Agency REMIC/CMO:
4.000%, 1–25–19		165		172
5.000%, 6–25–22 (G)		205		8
4.000%, 7–15–23 (G)		2,168		89
4.000%, 12–15–23 (G)		572		28
4.000%, 2–15–24 (G)		740		36
4.000%, 4–15–24 (G)		611		35
4.000%, 9–25–24		172		180


5.000%, 2–25–35	25		25
3.500%, 9–25–39	184		194
Federal National Mortgage Association Fixed Rate Pass-Through Certificates:
5.000%, 3–1–22	141		153
5.000%, 8–1–23	66		71
Government National Mortgage Association Agency REMIC/CMO,
4.500%, 11–20–36 (G)	1,617		74
Government National Mortgage Association Fixed Rate Pass-Through Certificates,
4.500%, 6–15–23	131		143

			1,801


TOTAL UNITED STATES GOVERNMENT AGENCY OBLIGATIONS – 0.7%		$	1,801
(Cost: $3,305)

UNITED STATES GOVERNMENT OBLIGATIONS
Treasury Obligations – 20.7%
United States Treasury Notes:
1.375%, 2–15–13	13,000		13,020
0.750%, 8–15–13	1,850		1,857
1.750%, 7–31–15	17,980		18,636
2.375%, 7–31–17	1,980		2,135
3.500%, 5–15–20	1,980		2,297
2.625%, 11–15–20	4,500		4,934
2.125%, 8–15–21	3,500		3,676
1.750%, 5–15–22	5,475		5,516

			52,071

TOTAL UNITED STATES GOVERNMENT OBLIGATIONS – 20.7%		$	52,071
(Cost: $50,672)

SHORT-TERM SECURITIES
Commercial Paper – 2.5%
BHP Billiton Finance (USA) Limited (GTD by BHP Billiton Limited),
0.130%, 1–11–13 (H)	4,800		4,800
GlaxoSmithKline Finance plc (GTD by GlaxoSmithKline plc),
0.140%, 1–17–13 (H)	1,500		1,500

			6,300

Master Note – 2.7%
Toyota Motor Credit Corporation,
0.142%, 6–28–13 (I)	6,889		6,889


TOTAL SHORT-TERM SECURITIES – 5.2%		$	13,189
(Cost: $13,189)

TOTAL INVESTMENT SECURITIES – 98.3%		$	247,170
(Cost: $243,748)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.7%			4,172
NET ASSETS – 100.0%		$	251,342

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Listed on an exchange outside the United States.

(C)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $64,130 or 25.5% of net assets.

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(E)	Non-income producing as the issuer has either missed its most recent interest payment or declared bankruptcy.

(F)	Principal amounts are denominated in the indicated foreign currency, where applicable (BRL–Brazilian Real, CLP–Chilean Peso, CNY–Chinese Yuan Renminbi, COP–Columbian Peso and RUB–Russian Ruble).

(G)	Interest-only security. Amount shown as principal represents notional amount for computation of interest.

(H)	Rate shown is the yield to maturity at December 31, 2012.

(I)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:

Type

Currency

Counterparty

Principal Amount of
Contract
(Denominated in
Indicated Currency)

Settlement Date

Unrealized
Appreciation

Unrealized
Depreciation

Sell

British Pound

Barclays Capital, Inc.

1,547

9-12-13

—

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	9,811	$	3,167	$	—
Corporate Debt Securities		—		153,232		2,235
Other Government Securities		—		11,664		—
United States Government Agency Obligations		—		1,801		—
United States Government Obligations		—		52,071		—
Short-Term Securities		—		13,189		—
Total	$	9,811	$	235,124	$	2,235
Liabilities
Forward Foreign Currency Contracts	$	—	$	43	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

CMO = Collateralized Mortgage Obligation

GTD = Guaranteed

REMIC = Real Estate Mortgage Investment Conduit

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	243,748
Gross unrealized appreciation		9,827
Gross unrealized depreciation		(6,405	)
Net unrealized appreciation	$	3,422


SCHEDULE OF INVESTMENTS
Ivy Global Equity Income Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares			Value

Australia – 6.5%
APA Group (A)		88		$	505
Australia and New Zealand Banking Group Limited		28			728
Telstra Corporation Limited		319			1,454
Wesfarmers Limited		15			575

					3,262


Bermuda – 1.5%
Catlin Group Limited		93			763


Brazil – 1.0%
Telefonica Brasil S.A.		20			486


Canada – 6.0%
Bank of Nova Scotia Berhad (The)		12			707
Canadian Imperial Bank of Commerce		7			587
Crescent Point Energy Corp.		12			437
Crescent Point Energy Corp. (A)(B)		6			234
Shaw Communications Inc., Class B		21			487
TransCanada Corporation		12			563

					3,015


China – 2.1%
Bosideng International Holdings Limited		1,796			541
China Minsheng Banking Corp., Ltd., H Shares (A)		456			535

					1,076


Denmark – 1.8%
TDC A/S		127			902


France – 7.6%
Christian Dior		2			339
Gaz de France		24			493
Pinault-Printemps-Redoute S.A.		2			338
Sanofi-Aventis		16			1,511
Total S.A.		22			1,143

					3,824


Germany – 3.4%
DaimlerChrysler AG, Registered Shares		12			643
Deutsche Boerse AG		8			497
Telefonica Deutschland Holding AG (A)		43			328
Telefónica Deutschland Holding AG (A)(B)		35			267

					1,735


Israel – 2.9%
Bezeq – Israel Telecommunication Corp., Ltd. (The)		544			631
Israel Chemicals Ltd.		70			846

					1,477


Italy – 3.4%
Eni S.p.A.		29			716
Snam Rete Gas S.p.A.		109			508
Terna S.p.A.		127			506

					1,730


Japan – 3.3%
Fuji Media Holdings, Inc.		—	*		499
ITOCHU Corporation		55			582
Nissan Motor Co., Ltd.		61			576

					1,657


Netherlands – 1.0%
Fugro N.V.		8		481


Norway – 3.1%
Orkla ASA		67		591
Seadrill Limited		26		961

				1,552


Singapore – 2.0%
CapitaCommercial Trust		424		588
Singapore Telecommunications Limited		161		438

				1,026


Switzerland – 1.5%
Nestle S.A., Registered Shares		11		735


United Kingdom – 24.3%
AstraZeneca plc		19		881
BAE Systems plc (A)		174		969
BHP Billiton plc		29		1,026
British American Tobacco plc		12		599
GlaxoSmithKline plc		56		1,218
HSBC Holdings plc		68		723
Imperial Tobacco Group plc		19		730
National Grid plc		43		492
Prudential plc		49		695
Rio Tinto plc		11		630
Royal Dutch Shell plc, Class A		33		1,131
RSA Insurance Group plc		413		852
Standard Chartered plc		29		758
Unilever plc		17		657
Vodafone Group plc		335		844

				12,205


United States – 23.3%
Altria Group, Inc.		21		658
American Capital Agency Corp.		33		963
AT&T Inc.		28		940
CenturyLink, Inc.		17		656
ConocoPhillips		16		903
Dow Chemical Company (The)		20		661
Eaton Corporation (A)		9		489
Eli Lilly and Company		10		469
Johnson & Johnson		20		1,397
JPMorgan Chase & Co.		21		941
Microchip Technology Incorporated		23		740
PepsiCo, Inc.		8		578
Pfizer Inc.		32		814
PPL Corporation		23		652
Wynn Resorts, Limited		8		876

				11,737


TOTAL COMMON STOCKS – 94.7%			$	47,663
(Cost: $44,248)

SHORT-TERM SECURITIES	Principal
Master Note – 6.5%
Toyota Motor Credit Corporation,
0.142%, 6-28-13 (C)	$	3,279		3,279


TOTAL SHORT-TERM SECURITIES – 6.5%			$	3,279
(Cost: $3,279)



TOTAL INVESTMENT SECURITIES – 101.2%	$	50,942
(Cost: $47,527)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (1.2%)		(612	)

NET ASSETS – 100.0%	$	50,330

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $501 or 1.0% of net assets.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:

Type

Currency

Counterparty

Principal Amount of
Contract
(Denominated in
Indicated Currency)

Settlement Date

Unrealized
Appreciation

Unrealized
Depreciation

Sell

Japanese Yen

Barclays Capital, Inc.

81,000

1-15-13

—

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	1,363	$	2,936	$	—
Consumer Staples		1,236		3,296		—
Energy		3,098		3,471		—
Financials		3,199		6,141		—
Health Care		2,679		3,610		—
Industrials		489		2,142		—
Information Technology		740		—		—


Materials		661		2,502		—
Telecommunication Services		2,676		4,267		—
Utilities		652		2,505		—
Total Common Stocks	$	16,793	$	30,870	$	—
Short-Term Securities		—		3,279		—
Total	$	16,793	$	34,149	$	—
Forward Foreign Currency Contracts	$	—	$	29	$	—

During the period ended December 31, 2012, securities totaling $30,871 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	47,527
Gross unrealized appreciation		3,860
Gross unrealized depreciation		(445	)
Net unrealized appreciation	$	3,415


SCHEDULE OF INVESTMENTS
Ivy Global Income Allocation Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Australia – 5.1%
APA Group (A)(B)		550	$	3,175
Australia and New Zealand Banking Group Limited		122		3,210
Telstra Corporation Limited		1,667		7,597
Wesfarmers Limited		69		2,667

				16,649


Bermuda – 1.0%
Catlin Group Limited		396		3,258


Brazil – 0.7%
Vivo Participacoes S.A., ADR (B)		99		2,376


Canada – 4.6%
Bank of Nova Scotia Berhad (The)		65		3,763
Canadian Imperial Bank of Commerce		31		2,516
Crescent Point Energy Corp.		54		2,039
Crescent Point Energy Corp. (A)(B)		31		1,184
Shaw Communications Inc., Class B		111		2,544
TransCanada Corporation		64		3,044

				15,090


China – 1.4%
Bosideng International Holdings Limited		6,484		1,952
China Minsheng Banking Corp., Ltd., H Shares (B)		2,166		2,544

				4,496


Denmark – 1.3%
TDC A/S		606		4,294


France – 5.3%
Christian Dior		10		1,646
Gaz de France		96		1,982
Pinault-Printemps-Redoute S.A.		9		1,638
Sanofi-Aventis		76		7,196
Total S.A.		92		4,792

				17,254


Germany – 2.4%
DaimlerChrysler AG, Registered Shares		52		2,876
Deutsche Boerse AG		40		2,449
Telefonica Deutschland Holding AG (B)		164		1,253
Telefónica Deutschland Holding AG (A)(B)		165		1,258

				7,836


Israel – 1.9%
Bezeq – Israel Telecommunication Corp., Ltd. (The)		2,904		3,363
Israel Chemicals Ltd.		239		2,873

				6,236


Italy – 2.5%
Eni S.p.A.		136		3,336
Snam Rete Gas S.p.A.		518		2,417
Terna S.p.A.		602		2,408

				8,161


Japan – 2.1%
Fuji Media Holdings, Inc.		1		2,207
ITOCHU Corporation		207		2,191
Nissan Motor Co., Ltd.		272		2,576

				6,974


Netherlands – 0.7%
Fugro N.V.		36		2,152


Norway – 2.2%
Orkla ASA		277		2,427
Seadrill Limited		127		4,670

				7,097


Singapore – 1.4%
CapitaCommercial Trust		1,693		2,349
Singapore Telecommunications Limited		789		2,147

				4,496


Switzerland – 0.6%
Nestle S.A., Registered Shares		30		1,937


United Kingdom – 15.0%
AstraZeneca plc		75		3,573
BAE Systems plc (B)		777		4,317
BHP Billiton plc		111		3,916
British American Tobacco plc		40		2,013
GlaxoSmithKline plc		276		6,002
HSBC Holdings plc		212		2,251
Imperial Tobacco Group plc		88		3,403
National Grid plc		192		2,207
Prudential plc		199		2,834
Rio Tinto plc		43		2,484
Royal Dutch Shell plc, Class A		106		3,659
RSA Insurance Group plc		1,827		3,772
Standard Chartered plc		93		2,407
Unilever plc		81		3,146
Vodafone Group plc		1,413		3,556

				49,540


United States – 15.7%
Altria Group, Inc.		99		3,112
American Capital Agency Corp.		154		4,453
AT&T Inc.		145		4,876
CenturyLink, Inc.		77		3,008
ConocoPhillips		77		4,494
Dow Chemical Company (The)		82		2,650
Eaton Corporation (B)		43		2,344
Eli Lilly and Company		46		2,250
Johnson & Johnson		96		6,698
JPMorgan Chase & Co.		77		3,397
Microchip Technology Incorporated		102		3,329
PepsiCo, Inc.		28		1,906
Pfizer Inc.		88		2,198
PPL Corporation		107		3,071
Wynn Resorts, Limited		35		3,918

				51,704


TOTAL COMMON STOCKS – 63.9%			$209,550
(Cost: $192,262)

CORPORATE DEBT SECURITIES	Principal
Argentina – 0.8%
Arcos Dorados Holdings, Inc.,
10.250%, 7–13–16 (A)(C)		BRL5,000		2,596


Australia – 0.5%
FMG Resources Pty Ltd.,
6.875%, 4–1–22 (A)	$	1,750		1,789


Brazil – 3.8%
AmBev International Finance Co. Ltd.,
9.500%, 7–24–17 (C)		BRL7,500		4,184


Cosan Overseas Ltd,
8.250%, 11–29–49	$	500	549
Fibria Overseas Finance Ltd.,
6.750%, 3–3–21 (A)		500	554
Globo Comunicacoe e Participacoes S.A.,
6.250%, 12–20–49 (D)		2,000	2,169
GOL Finance,
9.250%, 7–20–20		500	438
Odebrecht Drilling Norbe VII/IX Ltd.,
6.350%, 6–30–21 (A)		950	1,066
QGOG Constellation S.A.,
6.250%, 11–9–19 (A)		1,000	1,043
Suzano Trading Ltd,
5.875%, 1–23–21 (A)		500	520
U.S.J. Acucar E Alcool S.A.,
9.875%, 11–9–19 (A)		1,000	1,065
Virgolino de Oliveira Finance Limited,
10.500%, 1–28–18 (A)		500	510

			12,098


Canada – 0.3%
Bombardier Inc.,
5.750%, 3–15–22 (A)		1,000	1,028


Cayman Islands – 0.2%
Odebrecht Finance Ltd.,
7.500%, 9–29–49		500	546


Chile – 1.6%
Automotores Gildemeister S.A.,
8.250%, 5–24–21		500	549
Banco Santander Chile, S.A.,
6.500%, 9–22–20 (C)		CLP1,682,000	3,512
Cencosud S.A.,
4.875%, 1–20–23 (A)	$	500	511
GeoPark Holdings Limited,
7.750%, 12–15–15		600	605

			5,177


Columbia – 0.8%
Empresas Publicas de Medellin E.S.P.,
8.375%, 2–1–21 (C)		COP3,888,000	2,542


Denmark – 1.0%
Carlsberg Finans A/S,
7.000%, 2–26–13 (C)		GBP2,000	3,274


Germany – 0.9%
Schaeffler Finance B.V.,
8.750%, 2–15–19 (A)(C)		EUR2,000	3,041


Hong Kong – 0.3%
Noble Group Limited:
6.750%, 1–29–20 (A)	$	500	527
8.500%, 11–29–49		500	490

			1,017


India – 0.3%
Bhira Investments Limited,
8.500%, 4–27–71		895	921


Indonesia – 0.8%
Indo Energy Finance B.V.,
7.000%, 5–7–18 (A)		600	627
PT Adaro Indonesia,
7.625%, 10–22–19 (A)		1,000	1,110
Theta Capital Ptd. Ltd.,
7.000%, 5–16–19		1,000	1,043

			2,780



Luxembourg – 1.4%
Aguila 3 S.A.,
7.875%, 1–31–18 (A)		1,000		1,060
ArcelorMittal,
6.000%, 3–1–21		1,750		1,743
VTB Capital S.A.,
6.551%, 10–13–20		1,000		1,113
Wind Acquisition Finance S.A.,
11.750%, 7–15–17 (A)		750		786

				4,702


Mexico – 1.7%
Alpek, S.A.B. de C.V.,
4.500%, 11–20–22 (A)		1,000		1,043
America Movil, S.A.B. de C.V.,
6.450%, 12–5–22 (C)		MXN2,000		159
BBVA Bancomer S.A.,
6.750%, 9–30–22 (A)	$	1,500		1,687
Servicios Corporativos Javer S.A.P.I. de C.V.:
9.875%, 4–6–21 (A)		500		535
9.875%, 4–6–21		200		214
URBI, Desarrollos Urbanos, S.A.B. de C.V.,
9.750%, 2–3–22 (A)		2,200		2,084

				5,722


Netherlands – 0.9%
Aerospace Satellite Corporation Holding B.V.,
12.750%, 11–16–15		1,000		1,103
Listrindo Capital B.V.,
6.950%, 2–21–19 (A)		750		836
Marfrig Holdings (Europe) BV,
8.375%, 5–9–18 (A)		500		426
OSX 3 Leasing B.V.,
9.250%, 3–20–15		500		516

				2,881


Norway – 0.4%
Corporacion Pesquera Inca S.A.C.,
9.000%, 2–10–17 (A)		1,150		1,225


Russia – 0.2%
SCF Capital Limited,
5.375%, 10–27–17		750		768


Singapore – 0.5%
Olam International Limited:
4.070%, 2–12–13 (C)		SGD2,000		1,627
6.000%, 8–10–18	$	250		174

				1,801


Turkey – 0.5%
Turkiye Garanti Bankasi A.S.,
6.250%, 4–20–21 (A)		500		573
Türkiye Is Bankasi A.S.,
6.000%, 10–24–22 (A)		1,000		1,054

				1,627


United Kingdom – 0.9%
Vedanta Resources Jersey Limited, Convertible,
5.500%, 7–13–16		800		822
Vodafone Group plc,
6.750%, 1–10–13 (C)		AUD2,000		2,078

				2,900


United States – 0.8%
Air Lease Corporation,
5.625%, 4–1–17	$	1,000		1,060
JBS USA LLC and JBS USA Finance, Inc.,
8.250%, 2–1–20 (A)		1,500		1,590

				2,650


TOTAL CORPORATE DEBT SECURITIES – 18.6%			$	61,085
(Cost: $58,094)

OTHER GOVERNMENT SECURITIES
Australia – 1.4%
New South Wales Treasury Corporation,
5.500%, 3–1–17 (C)		AUD4,000		4,520


Canada – 1.3%
City of Toronto,
3.500%, 12–6–21 (C)		CAD2,000		2,083
Regional Municipality of York,
4.000%, 6–30–21 (C)		2,000		2,171

				4,254



Germany – 2.5%
KfW, Frankfurt/Main, Federal Republic of Germany:
3.250%, 5–5–14 (C)		SEK22,000		3,473
2.875%, 10–12–16 (C)		NOK26,000		4,824

				8,297


India – 0.2%
ICICI Bank Limited,
5.750%, 11–16–20 (A)	$	500		539


Ireland – 0.5%
Russian Railways via RZD Capital Ltd,
8.300%, 4–2–19 (C)		RUB50,000		1,698


Malaysia – 2.4%
Malaysian Government Bonds:
3.461%, 7–31–13 (C)		MYR20,935		6,862
3.314%, 10–31–17	$	3,000		984

				7,846


Mexico – 2.1%
Mexican Fixed Rate Bonds,
8.000%, 12–17–15 (C)		MXN15,000		1,258
United Mexican States Government Bonds,
8.000%, 12–19–13 (C)		69,000		5,509

				6,767


Poland – 1.0%
Poland Government Bonds,
6.250%, 10–24–15 (C)		PLN9,550		3,342


South Korea – 0.3%
South Korea Treasury Bonds,
5.000%, 9–10–14 (C)		KRW1,100,000		1,064


United Kingdom – 0.8%
United Kingdom Treasury Bonds:
4.000%, 3–7–22 (C)		GBP300		584
4.500%, 12–7–42	$	1,000		2,071

				2,655


TOTAL OTHER GOVERNMENT SECURITIES – 12.5%			$	40,982
(Cost: $40,108)

UNITED STATES GOVERNMENT OBLIGATIONS
United States – 1.6%
United States Treasury Bonds:
3.000%, 5–15–42		2,900		2,943
2.750%, 11–15–42		500		480
United States Treasury Notes,
1.750%, 5–15–22		1,700		1,713

				5,136


TOTAL UNITED STATES GOVERNMENT OBLIGATIONS – 1.6%			$	5,136
(Cost: $5,282)

SHORT-TERM SECURITIES
Commercial Paper – 1.2%
Prudential Funding LLC (GTD by Prudential Financial Inc.),
0.100%, 1–2–13 (E)		4,095		4,095


Master Note – 1.1%
Toyota Motor Credit Corporation,
0.142%, 6–28–13 (F)		3,574		3,574


TOTAL SHORT-TERM SECURITIES – 2.3%			$	7,669
(Cost: $7,669)



TOTAL INVESTMENT SECURITIES – 98.9%			$324,422
(Cost: $303,415)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.1%			3,698

NET ASSETS – 100.0%			$328,120

Notes to Schedule of Investments

(A)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $35,042 or 10.7% of net assets.

(B)	No dividends were paid during the preceding 12 months.

(C)

Principal amounts are denominated in the indicated foreign currency, where applicable (AUD – Australian Dollar, BRL – Brazilian Real, CAD – Canadian Dollar, CLP – Chilean Peso, COP – Columbian Peso, EUR – Euro, GBP – British Pound, KRW – South Korean Won, MXN – Mexican Peso, MYR – Malaysian Ringgit, NOK – Norwegian Krone, PLN – Polish Zloty, RUB – Russian Ruble, SEK – Swedish Krona and SGD – Singapore Dollar).

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(E)	Rate shown is the yield to maturity at December 31, 2012.

(F)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The	following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	6,462	$	12,895	$	—
Consumer Staples		5,018		13,166		—
Energy		15,431		13,939		—
Financials		14,129		25,075		—
Health Care		11,145		16,771		—
Industrials		2,344		8,936		—
Information Technology		3,329		—		—
Materials		2,650		9,272		—
Telecommunication Services		12,771		20,957		—
Utilities		3,071		12,189		—
Total Common Stocks	$	76,350	$	133,200	$	—
Corporate Debt Securities		—		61,085		—
Other Government Securities		—		40,982		—
United States Government Obligations		—		5,136		—
Short-Term Securities		—		7,669		—
Total	$	76,350	$	248,072	$	—

During the period ended December 31, 2012, securities totaling $133,200 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	303,415
Gross unrealized appreciation		26,086
Gross unrealized depreciation		(5,079)
Net unrealized appreciation	$	21,007

SCHEDULE OF INVESTMENTS

Ivy Global Natural Resources Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Australia – 0.5%
Perseus Mining Limited (A)		459	$	1,015
Perseus Mining Limited (A)		5,700		12,607

				13,622


Brazil – 0.1%
Suzano Bahia Sul Papel E Celulose S.A. (A)		1,098		3,763


Canada – 11.7%
Detour Gold Corporation (A)		1,738		43,482
First Quantum Minerals Ltd.		5,150		113,438
Goldcorp Inc.		1,400		51,470
Osisko Mining Corporation (A)		1,350		10,858
Potash Corporation of Saskatchewan Inc.		1,000		40,690
Southern Pacific Resource Corp. (A)		4,000		5,187
Suncor Energy Inc. (A)		650		21,375
Tahoe Resources Inc. (A)		750		13,723
Uranium One Inc. (A)		3,113		7,354
Western Forest Products, Inc. (A)		2,455		3,233

				310,810


Cayman Islands – 0.1%
Vinda International Holdings Limited		2,000		2,771


China – 2.4%
China Metal Recycling (Holdings) Limited (A)		30,000		31,482
China Shenhua Energy Company Limited, H Shares		100		448
GCL-Poly Energy Holdings Limited		150,000		31,052
Sino-Forest Corporation, Class A (A)(B)		15,000		—	*

				62,982


Cyprus – 1.6%
Buried Hill Energy (Cyprus) Public Company Limited (A)(C)		3,630		9,620
Ocean Rig UDW Inc. (A)		2,250		33,682

				43,302


Germany – 0.5%
Lanxess AG		140		12,345


Netherlands – 1.5%
Chicago Bridge & Iron Company N.V., NY Shares		300		13,905
LyondellBasell Industries N.V., Class A		475		27,118

				41,023


Norway – 0.4%
Aker Solutions ASA		500		10,354


Russia – 0.5%
Mechel OAO, ADR		430		833
OJSC Oil Company Rosneft, GDR		1,500		13,592

				14,425


South Korea – 2.3%
LG Chem, Ltd. (A)		200		62,510


Switzerland – 5.7%
Noble Corporation		3,500		121,870


Weatherford International Ltd. (A)	2,750		30,773

			152,643


Thailand – 0.3%
Banpu Public Company Limited	500		6,786


United Kingdom – 10.6%
BG Group plc	900		15,012
Ensco plc (A)	1,750		103,740
Randgold Resources Limited, ADR	225		22,331
Rio Tinto plc	2,400		139,982

			281,065


United States – 56.1%
Allegheny Technologies Incorporated	250		7,590
Anadarko Petroleum Corporation	350		26,009
Atwood Oceanics, Inc. (A)	400		18,316
Berry Plastics Group, Inc. (A)	2,000		32,160
Boise Inc.	2,000		15,900
Cabot Oil & Gas Corporation	2,700		134,297
Cameron International Corporation (A)	1,750		98,804
Celanese Corporation, Series A	1,400		62,342
Crown Holdings, Inc. (A)	605		22,270
Denbury Resources Inc. (A)	1,000		16,200
Domtar Corporation (A)	10		835
Eastman Chemical Company	200		13,610
FMC Technologies, Inc. (A)	50		2,142
Freeport-McMoRan Copper & Gold Inc., Class B	2,750		94,050
Georgia Gulf Corporation	120		4,954
Gulfport Energy Corporation (A)	850		32,487
Halliburton Company	1,675		58,106
KBR, Inc.	1,900		56,848
Laredo Petroleum Holdings, Inc. (A)	395		7,177
Marathon Oil Corporation	800		24,528
Marathon Petroleum Corporation	560		35,280
McDermott International, Inc. (A)	1,000		11,020
Monsanto Company	25		2,366
Mosaic Company (A)	800		45,304
National Oilwell Varco, Inc.	775		52,971
Noble Energy, Inc.	400		40,696
Occidental Petroleum Corporation	625		47,881
Oceaneering International, Inc.	50		2,690
Oil States International, Inc. (A)	1,350		96,579
Parker Hannifin Corporation	25		2,127
Pioneer Natural Resources Company	1,000		106,590
Plains Exploration & Production Company (A)	2,000		93,880
Reliance Steel & Aluminum Co.:	50		3,105
Schlumberger Limited (D)	1,300		90,077
Southwestern Energy Company (A)	225		7,517
Stillwater Mining Company (A)	25		320
Valero Energy Corporation	2,730		93,148
WPX Energy, Inc. (A)	2,000		29,760

			1,489,936


TOTAL COMMON STOCKS – 94.3%		$	2,508,337
(Cost: $2,425,948)

PREFERRED STOCKS
Russia – 0.1%
Mechel OAO	796		3,185


United States – 0.0%
Konarka Technologies, Inc., 8.000% Cumulative (A)(C)	3,500		—	*


TOTAL PREFERRED STOCKS – 0.1%		$	3,185
(Cost: $23,984)


PURCHASED OPTIONS	Number of Contracts (Unrounded)
Barrick Gold Corporation, Call $30.00, Expires 1–22–13		30,000		15,300
CMX Gold Future, Call $1400.00, Expires 5–28–13		200		5,630
Goldcorp Inc., Call $25.00, Expires 1–22–13		20,000		23,400
National Oilwell Varco, Inc., Call $55.00, Expires 1–22–13		11,000		14,795
Occidental Petroleum Corporation, Call $55.00, Expires 5–20–13		15,000		33,038
Potash Corporation of Saskatchewan Inc., Call $25.00, Expires 1–22–13		15,000		23,550
Schlumberger Limited, Call $50.00, Expires 5–20–13		10,000		19,775


TOTAL PURCHASED OPTIONS – 5.1%			$	135,488
(Cost: $141,590)

SHORT-TERM SECURITIES	Principal
Certificate Of Deposit – 0.2%
Banco del Estado de Chile, 0.260%, 1–17–13	$	5,000		5,000


Commercial Paper – 0.1%
Bank of Nova Scotia, 0.020%, 1–2–13 (E)		4,623		4,623


United States Government Agency Obligations – 0.2%
Overseas Private Investment Corporation (GTD by United States Government), 0.170%, 1–2–13 (F)		5,000		5,000


TOTAL SHORT-TERM SECURITIES – 0.5%			$	14,623
(Cost: $14,623)

TOTAL INVESTMENT SECURITIES – 100.0%			$	2,661,633
(Cost: $2,606,145)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.0%				975

NET ASSETS – 100.0%			$	2,662,608

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Deemed to be an affiliate due to the Fund owning at least 5% of the voting securities.

(C)	Restricted securities. At December 31, 2012, the Fund owned the following restricted securities:


Security	Acquisition Date(s)		Shares		Cost		Market Value
Buried Hill Energy (Cyprus) Public Company Limited		5–1–07 to 4–17–08		3,630	$	6,183	$	9,620
Konarka Technologies, Inc., 8.000% Cumulative		8–31–07		3,500		10,850		—
					$	17,033	$	9,620

The total value of these securities represented 0.4% of net assets at December 31, 2012.

(D)	All or a portion of the security position has been pledged as collateral on open futures contracts.

(E)	Rate shown is the yield to maturity at December 31, 2012.

(F)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	British Pound	Canadian Imperial Bank of Commerce		22,537		1-18-13	$	—	$	436
Sell	British Pound	Bank of New York Mellon (The)		13,353		2-1-13		—		191
Sell	British Pound	Royal Bank of Canada		25,400		2-8-13		—		678
Sell	British Pound	Toronto-Dominion Bank (The)		6,402		3-1-13		—		176
Sell	British Pound	State Street Global Markets		22,845		3-15-13		—		278
Sell	Canadian Dollar	State Street Global Markets		35,300		1-11-13		252		—
Sell	Canadian Dollar	Royal Bank of Canada		14,332		1-18-13		145		—
Sell	Canadian Dollar	Toronto-Dominion Bank (The)		43,216		1-18-13		273		—
Sell	Canadian Dollar	Bank of New York Mellon (The)		39,858		2-1-13		35		—
Sell	Canadian Dollar	Royal Bank of Canada		43,152		2-8-13		—		106
Sell	Canadian Dollar	Bank of New York Mellon (The)		33,790		2-15-13		131		—
Sell	Canadian Dollar	Bank of New York Mellon (The)		30,670		3-1-13		347		—
Sell	Canadian Dollar	Canadian Imperial Bank of Commerce		30,064		3-15-13		285		—
Sell	Euro	Royal Bank of Canada		4,730		1-18-13		—		35
Sell	Euro	Toronto-Dominion Bank (The)		4,200		2-8-13		—		183
Sell	South Korean Won	Canadian Imperial Bank of Commerce		13,200,000		2-1-13		—		313
Sell	South Korean Won	Bank of New York Mellon (The)		6,660,000		3-6-13		—		129
Sell	South Korean Won	Royal Bank of Canada		10,190,000		3-15-13		—		118
							$	1,468	$	2,643

The following futures contracts were outstanding at December 31, 2012 (contracts unrounded):


Description	Type		Expiration Date		Number of Contracts		Market Value			Unrealized Appreciation
S&P 500 E-mini		Short		3-15-13		999	$	(70,934	)	$	45

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Staples	$	—	$	2,771	$	—
Energy		1,463,728		32,600		9,620
Industrials		72,880		—		—
Information Technology		—		31,052		—
Materials		648,352		247,334		—	^*
Total Common Stocks	$	2,184,960	$	313,757	$	9,620
Preferred Stocks		—		3,185		—
Purchased Options		44,480		91,008		—
Short-Term Securities		—		14,623		—
Total	$	2,229,440	$	422,573	$	9,620
Forward Foreign Currency Contracts	$	—	$	1,468	$	—
Futures Contracts	$	45	$	—	$	—
Liabilities
Forward Foreign Currency Contracts	$	—	$	2,643	$	—

During the period ended December 31, 2012, securities totaling $313,757 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipt

GDR = Global Depositary Receipt

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	2,606,145
Gross unrealized appreciation		469,771
Gross unrealized depreciation		(414,283	)
Net unrealized appreciation	$	55,488

SCHEDULE OF INVESTMENTS

Ivy High Income Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Food Retail – 0.1%
Roundy’s Supermarkets, Inc.		954	$	4,247


Housewares & Specialties – 0.0%
Provo Craft & Novelty, Inc. (A)		4		—


TOTAL COMMON STOCKS – 0.1%			$	4,247
(Cost: $8,113)

PREFERRED STOCKS
Other Mortgage-Backed Securities – 0.2%
Ally Financial Inc., 7.000% (B)		13		12,746


TOTAL PREFERRED STOCKS – 0.2%			$	12,746
(Cost: $12,066)

WARRANTS
Agricultural Products – 0.0%
ASG Consolidated LLC, Expires 5–15–18 (C)		13		387


Apparel Retail – 0.0%
St. John Knits International, Incorporated, Expires 12–31–29 (C)		48		1,006


TOTAL WARRANTS – 0.0%			$	1,393
(Cost: $798)

CORPORATE DEBT SECURITIES	Principal

Advertising – 0.0%
Checkout Holding Corp., 0.000%, 11–15–15 (B)(D)	$	3,409		2,386


Aerospace & Defense – 0.3%
Ducommun Incorporated, 9.750%, 7–15–18		8,656		9,305
Sequa Corporation, 7.000%, 12–15–17 (B)		3,944		3,969
Silver II Borrower SCA and Silver II US Holdings, 7.750%, 12–15–20 (B)		10,982		11,366

				24,640


Agricultural Products – 0.5%
American Seafoods Group LLC, 10.750%, 5–15–16 (B)		14,876		15,248
ASG Consolidated LLC, 15.000%, 5–15–17 (B)(E)		23,833		21,688

				36,936


Airlines – 1.0%
Air Lease Corporation, 5.625%, 4–1–17		66,062		70,026


Alternative Carriers – 1.4%
Level 3 Communications, Inc.: 11.875%, 2–1–19		25,558		29,457
8.875%, 6–1–19 (B)		10,899		11,607
Level 3 Communications, Inc. and Level 3 Financing, Inc., 7.000%, 6–1–20 (B)		24,986		26,110
Level 3 Financing, Inc.: 8.125%, 7–1–19		20,767		22,636
8.625%, 7–15–20		4,591		5,096

				94,906


Apparel Retail – 0.4%
J. Crew Group, Inc., 8.125%, 3–1–19		18,190	19,236
Wolverine Worldwide, 6.125%, 10–15–20 (B)		8,379	8,798

			28,034


Auto Parts & Equipment – 3.0%
IDQ Acquisition Corp., 14.000%, 10–1–17 (B)(E)		29,483	29,778
IDQ Holdings, Inc., 11.500%, 4–1–17 (B)		52,733	56,820
Schaeffler Finance B.V.: 7.750%, 2–15–17 (B)(F)		EUR34,000	49,905
7.750%, 2–15–17 (B)	$	29,302	32,525
8.500%, 2–15–19 (B)		25,678	29,016
8.750%, 2–15–19 (B)(F)		EUR12,000	18,247

			216,291


Automotive Manufacturers – 0.2%
Chrysler Group LLC and CG: 8.000%, 6–15–19	$	4,000	4,360
8.250%, 6–15–21		6,286	6,915

			11,275


Automotive Retail – 1.0%
Asbury Automotive Group, Inc.: 7.625%, 3–15–17		6,755	6,975
8.375%, 11–15–20		25,593	28,408
Sonic Automotive, Inc.: 9.000%, 3–15–18		6,430	7,057
7.000%, 7–15–22 (B)		27,940	30,594

			73,034


Biotechnology – 0.8%
VWR Funding, Inc., 7.250%, 9–15–17 (B)		52,486	55,110


Broadcasting – 2.3%
Clear Channel Outdoor Holdings, Inc.: 6.500%, 11–15–22 (B)		101,619	105,189
Cumulus Media Inc., 7.750%, 5–1–19		23,282	22,875
Harron Communications, L.P. and Harron Finance Corporation, 9.125%, 4–1–20 (B)		12,023	13,165
LIN Television Corporation, 6.375%, 1–15–21 (B)		21,714	22,800

			164,029


Building Products – 2.6%
HD Supply, Inc.: 11.000%, 4–15–20 (B)		35,358	41,723
11.500%, 7–15–20 (B)		59,278	66,763
Isabelle Acquisition Sub Inc., 10.000%, 11–15–18 (B)(E)		37,274	40,442
Nortek, Inc., 8.500%, 4–15–21		3,272	3,632
Ply Gem Holdings, Inc., 8.250%, 2–15–18		1,023	1,105
Ply Gem Industries, Inc., 8.250%, 2–15–18 (B)		27,085	28,168

			181,833


Cable & Satellite – 1.5%
Cablevision Systems Corporation, 5.875%, 9–15–22		27,203	27,237
Cequel Communications Holdings I, LLC and Cequel Capital Corporation, 6.375%, 9–15–20 (B)		9,591	9,987
WaveDivision Escrow LLC and WaveDivision Escrow Corp., 8.125%, 9–1–20 (B)		11,032	11,418


WideOpenWest Finance LLC and WideOpenWest CapitalCorp.:
10.250%, 7–15–19 (B)		30,415	32,316
13.375%, 10–15–19 (B)		24,730	26,152

			107,110


Casinos & Gaming – 1.1%
Codere Finance (Luxembourg) S.A., 9.250%, 2–15–19 (B)		33,829	25,710
MGM Resorts International, 6.625%, 12–15–21		10,987	10,987
ROC Finance LLC and ROC Finance 1 Corp., 12.125%, 9–1–18 (B)		24,627	28,443
Scientific Games Corporation: 8.125%, 9–15–18		975	1,073
9.250%, 6–15–19		8,725	9,707

			75,920


Coal & Consumable Fuels – 0.1%
Arch Coal, Inc., 9.875%, 6–15–19 (B)		9,507	9,887


Construction & Engineering – 0.2%
J.M. Huber Corporation, 9.875%, 11–1–19 (B)		12,535	13,914
USG Corporation, 9.750%, 1–15–18		1,481	1,677

			15,591


Construction Materials – 0.5%
Headwaters Incorporated, 7.625%, 4–1–19		12,470	13,249
Headwaters Incorporated, Convertible, 8.750%, 2–1–16		7,250	7,468
Hillman Group, Inc. (The), 10.875%, 6–1–18		11,777	12,660

			33,377


Consumer Finance – 3.3%
Bankrate, Inc., 11.750%, 7–15–15		24,713	27,277
Speedy Cash Intermediate Holdings Corp., 10.750%, 5–15–18 (B)		28,635	30,496
TMX Finance Holdings Inc., 11.000%, 10–15–15 (B)(E)		33,670	33,670
TMX Finance LLC and TitleMax Finance Corporation: 13.250%, 7–15–15		67,926	75,397
TransUnion Holding Company, Inc., 8.125%, 6–15–18 (B)(E)		41,348	42,692
TransUnion LLC and TransUnion Financing Corporation, 9.625%, 6–15–18		34,952	36,962

			246,494


Data Processing & Outsourced Services – 2.3%
Alliance Data Systems Corporation: 5.250%, 12–1–17 (B)		58,665	59,545
6.375%, 4–1–20 (B)		39,854	42,445
CoreLogic, Inc., 7.250%, 6–1–21		57,112	62,109

			164,099


Diversified Chemicals – 0.2%
Kinove German Bondco GmbH, 10.000%, 6–15–18 (B)(F)		EUR8,822	12,867


Diversified Metals & Mining – 1.6%
American Gilsonite Holding Company, 11.500%, 9–1–17 (B)	$	20,241	20,848
FMG Resources Pty Ltd.: 6.000%, 4–1–17 (B)		9,871	10,068
8.250%, 11–1–19 (B)		32,382	34,487
6.875%, 4–1–22 (B)		12,835	13,124
Inmet Mining Corporation, 7.500%, 6–1–21 (B)		4,858	5,040
Taseko Mines Limited, 7.750%, 4–15–19		15,941	15,343
Walter Energy Inc., 9.875%, 12–15–20 (B)		18,318	20,425

			119,335


Diversified Support Services – 0.4%
Nexeo Solutions, LLC, 8.375%, 3–1–18	28,849	27,262


Diversified Telecom – 0.5%
Consolidated Communications Finance Co., 10.875%, 6–1–20 (B)	34,590	38,049


Education Services – 4.7%
Laureate Education, Inc.: 12.750%, 8–15–17 (B)	86,430	91,616
9.250%, 9–1–19 (B)	235,189	245,773

		337,389


Electric Utilities – 0.2%
Alliant Holdings, 7.875%, 12–15–20 (B)	10,987	10,987


Electronic Equipment & Instruments – 0.4%
CDW LLC and CDW Finance Corporation: 12.535%, 10–12–17	5,799	6,198
8.500%, 4–1–19	21,544	23,321

		29,519


Electronic Manufacturing Services – 0.4%
Jabil Circuit, Inc.: 7.750%, 7–15–16	2,046	2,404
8.250%, 3–15–18	8,884	10,794
KEMET Corporation, 10.500%, 5–1–18	16,772	16,541

		29,739


Environmental & Facilities Services – 0.2%
Heckmann Corporation: 9.875%, 4–15–18	12,390	12,792
9.875%, 4–15–18 (B)	4,950	5,074

		17,866


Food Distributors – 2.2%
Michael Foods Holding, Inc., 8.500%, 7–15–18 (B)(E)	47,245	48,190
U.S. Foodservice, Inc., 8.500%, 6–30–19 (B)	109,799	111,995

		160,185


Food Retail – 0.1%
Beverages & More, Inc., 9.625%, 10–1–14 (B)	4,875	4,991


General Merchandise Stores – 0.1%
Pantry, Inc., (The), 8.375%, 8–1–20 (B)	7,308	7,637


Health Care Equipment – 0.5%
Immucor, Inc., 11.125%, 8–15–19	34,809	39,160


Health Care Facilities – 1.8%
Alere Inc., 7.250%, 7–1–18 (B)	9,857	9,882
Chiron Merger Sub, Inc., 12.500%, 11–1–19 (B)	5,000	4,756
HCA Holdings, Inc., 6.250%, 2–15–21	21,961	22,510
Hologic, Inc., 6.250%, 8–1–20 (B)	6,544	7,051
IASIS Healthcare LLC and IASIS Capital Corporation, 8.375%, 5–15–19	15,338	14,494
Physio-Control International, Inc., 9.875%, 1–15–19 (B)	16,998	18,655
Tenet Healthcare Corporation, 6.875%, 11–15–31	33,933	30,540
Truven Health Analytics, 10.625%, 6–1–20 (B)	23,101	24,603

		132,491


Health Care Services – 0.3%
MedImpact Holdings, Inc., 10.500%, 2–1–18 (B)	19,608	21,740


Health Care Technology – 1.0%
MedAssets, Inc., 8.000%, 11–15–18	65,759	71,349



Home Furnishings – 0.2%
Empire Today, LLC and Empire Today Finance Corp., 11.375%, 2–1–17 (B)	6,846	7,273
Tempur-Pedic International, Inc., 6.875%, 12–15–20 (B)	5,133	5,281

		12,554


Independent Power Producers & Energy Traders – 0.3%
NRG Energy, Inc., 7.625%, 5–15–19	24,650	26,376
Texas Competitive Electric Holdings Company, LLC and TCEH Finance, Inc., 11.500%, 10–1–20 (B)	2,150	1,682

		28,058


Industrial Machinery – 0.1%
Dematic S.A. and DH Services Luxembourg S.a.r.l., 7.750%, 12–15–20 (B)	7,336	7,336


Integrated Telecommunication Services – 0.2%
CyrusOne LP and CyrusOne Finance Corp., 6.375%, 11–15–22 (B)	17,032	17,756


Investment Banking & Brokerage – 0.6%
E*TRADE Financial Corporation, 6.750%, 6–1–16	18,500	19,471
GFI Group Inc., 8.625%, 7–19–18	24,863	21,818

		41,289


IT Consulting & Other Services – 0.9%
iGATE Corporation, 9.000%, 5–1–16	39,598	42,914
SRA International, Inc. and Sterling Merger, Inc., 11.000%, 10–1–19	18,725	19,100

		62,014


Leasing – 0.2%
Aircastle Limited, 6.250%, 12–1–19 (B)	14,597	15,217


Leisure – 0.1%
Royal Caribbean Cruises Ltd., 5.250%, 11–15–22	5,188	5,486


Leisure Facilities – 0.4%
Palace Entertainment Holdings, LLC, 8.875%, 4–15–17 (B)	16,302	17,158
Viking Cruises, Ltd., 8.500%, 10–15–22 (B)	12,089	13,056

		30,214


Life & Health Insurance – 0.1%
ILFC E-Capital Trust I, 4.540%, 12–21–65 (B)(G)	7,300	5,539


Marine – 0.5%
TRAC Intermodal LLC and TRAC Intermodal Corp., 11.000%, 8–15–19 (B)	34,640	36,026


Metal & Glass Containers – 0.8%
Consolidated Container Company LLC and Consolidated Container Capital, Inc., 10.125%, 7–15–20 (B)	54,537	58,354
Pretium Packaging, L.L.C. and Pretium Finance, Inc., 11.500%, 4–1–16	3,867	3,988

		62,342


Movies & Entertainment – 0.4%
AMC Networks Inc., 4.750%, 12–15–22	9,859	9,908
Carmike Cinemas, Inc., 7.375%, 5–15–19	14,175	15,309

		25,217



Office Services & Supplies – 0.1%
American Reprographics Company, 10.500%, 12–15–16		8,386	8,239


Oil & Gas Drilling – 0.5%
RDS Ultra-Deepwater Ltd, 11.875%, 3–15–17 (B)		31,690	35,651


Oil & Gas Equipment & Services – 0.5%
Global Geophysical Services, Inc., 10.500%, 5–1–17		40,811	35,917


Oil & Gas Exploration & Production – 0.2%
Chesapeake Midstream Partners, L.P. and CHKM Finance Corp.: 5.875%, 4–15–21		4,948	5,256
6.125%, 7–15–22		3,839	4,137
Plains Exploration & Production Company: 6.500%, 11–15–20		2,481	2,748
6.875%, 2–15–23		2,481	2,835

			14,976


Oil & Gas Refining & Marketing – 2.3%
Energy Partners Ltd., 8.250%, 2–15–18		12,043	12,404
EP Energy, 9.375%, 5–1–20		14,033	15,822
EP Energy LLC and Everest Acquisition Finance Inc., 7.750%, 9–1–22		5,514	5,845
Everest Acquisition, LLC and Everest Acquisition Finance, Inc., 6.875%, 5–1–19		3,263	3,540
Offshore Group Investment Limited: 11.500%, 8–1–15		39,892	43,483
7.500%, 11–1–19 (B)		33,650	33,987
Samson Investment Company, 9.750%, 2–15–20 (B)		31,564	33,379
Shelf Drilling Holdings, Ltd., 8.625%, 11–1–18 (B)		17,525	17,963

			166,423


Oil Services – 1.2%
Drill Rigs Holdings, Inc., 6.500%, 10–1–17 (B)		2,974	2,959
EPL Oil & Gas, Inc., 8.250%, 2–15–18 (B)		19,471	20,006
SESI, LLC, 7.125%, 12–15–21		45,000	50,063
Sidewinder Drilling Inc, 9.750%, 11–15–19 (B)		11,149	11,205

			84,233


Packaged Foods & Meats – 1.1%
Bumble Bee Foods, LLC: 9.000%, 12–15–17 (B)		50,075	53,830
9.625%, 3–15–18 (B)(E)		22,038	21,818

			75,648


Paper Packaging – 0.1%
AOT Bedding Super Holdings, 8.125%, 10–1–20 (B)		6,776	6,776


Pharmaceuticals – 2.0%
Capsugel FinanceCo S.C.A., 9.875%, 8–1–19 (B)(F)		EUR18,575	27,583
Jaguar Holding Co I, 9.375%, 10–15–17 (B)(E)	$	74,033	77,735
Jaguar Holding Company II and Jaguar Merger Sub Inc., 9.500%, 12–1–19 (B)		28,813	32,703

			138,021


Precious Metals & Minerals – 0.4%
Prince Mineral Holding Corp, 11.500%, 12–15–19 (B)		28,016	28,997


Publishing – 0.0%
Cambium Learning Group, Inc., 9.750%, 2–15–17		2,425	2,013


Restaurants – 1.5%
Alphabet Holding Company, Inc., 7.750%, 11–1–17 (B)(E)		14,808	15,252
Carrols Restaurant Group, Inc., 11.250%, 5–15–18 (B)		12,808	14,025
CKE Holdings, Inc., 10.500%, 3–14–16 (B)(E)		22,742	24,106
Dave & Buster’s, Inc.: 0.000%, 2–15–16 (B)		27,855	20,682
11.000%, 6–1–18		7,213	8,079
NPC International, Inc., 10.500%, 1–15–20		17,518	20,321
Shearer’s Foods LLC, and Chip Finance Corporation, 9.000%, 11–1–19		7,433	7,805

			110,270


Retail Stores – 2.1%
Fifth & Pacific Companies, Inc., 10.500%, 4–15–19 (B)		8,882	9,837
Jo-Ann Stores Holdings, Inc., 9.750%, 10–15–19 (B)(E)		56,997	57,496
PETCO Holdings Inc, 8.500%, 10–15–17 (B)(E)		69,453	71,362
Radio Systems Corp, 8.375%, 11–1–19 (B)		9,379	9,778
RadioShack Corporation, 6.750%, 5–15–19		8,625	5,434

			153,907


Security & Alarm Services – 0.3%
Monitronics International, Inc., 9.125%, 4–1–20		20,879	21,505


Semiconductors – 0.6%
Freescale Semiconductor, Inc.: 10.125%, 3–15–18 (B)		3,453	3,816
8.050%, 2–1–20		29,667	29,518
10.750%, 8–1–20		8,352	8,958

			42,292


Service – Other – 0.7%
B-Corp Merger Sub, Inc., 8.250%, 6–1–19		29,936	29,936
ServiceMaster Company (The), 8.000%, 2–15–20		22,770	23,738

			53,674


Specialized Consumer Services – 0.8%
Carlson Wagonlit B.V.: 6.875%, 6–15–19 (B)		33,185	35,011
7.500%, 6–15–19 (B)(F)		EUR16,253	22,901

			57,912


Specialized Finance – 0.4%
CNG Holdings, Inc., 9.375%, 5–15–20 (B)	$	9,928	10,077
WM Finance Corp., 11.500%, 10–1–18		10,332	11,933
WM Holdings Finance Corp., 13.750%, 10–1–19		4,877	5,706

			27,716


Specialized REITs – 1.0%
CNL Lifestyles Properties, Inc., 7.250%, 4–15–19		74,508	71,155


Specialty Chemicals – 0.8%
PQ Corporation, 8.750%, 5–1–18 (B)		15,347	16,114
Taminco Acquisition Corporation, 9.125%, 12–15–17 (B)(E)		39,395	38,903

			55,017


Specialty Stores – 0.3%
New Academy Finance Co LLC, 8.000%, 6–15–18 (B)(E)		22,961	23,248


Technology – 2.0%
Atlantis Merger Sub, Inc. and SoftBrands, Inc., 11.500%, 7–15–18		42,400	49,608
Epicor Software Corporation, 8.625%, 5–1–19		27,397	28,767
J2 Global, Inc., 8.000%, 8–1–20		46,682	48,549


Lawson Software, Inc., 9.375%, 4–1–19		13,886		15,587
Viasystems, Inc., 7.875%, 5–1–19 (B)		2,506		2,456

				144,967


Technology Distributors – 0.7%
Sophia, L.P. and Sophia Finance, Inc., 9.750%, 1–15–19 (B)		48,442		52,196


Thrifts & Mortgage Finance – 0.2%
Provident Funding Associates, L.P. and PFG Finance Corp., 10.125%, 2–15–19 (B)		10,379		10,950


Wireless Telecommunication Service – 0.3%
Crown Castle International Corp, 5.250%, 1–15–23 (B)		10,208		10,922
Wind Acquisition Finance S.A., 11.750%, 7–15–17 (B)		9,320		9,763

				20,685


TOTAL CORPORATE DEBT SECURITIES – 62.0%			$	4,462,980
(Cost: $4,240,999)

MUNICIPAL BONDS
Arizona – 0.2%
AZ Hlth Fac Auth, Rev Bonds (Banner Hlth), Ser 2007B,
1.016%, 1–1–37 (G)		14,625		12,694


TOTAL MUNICIPAL BONDS – 0.2%			$	12,694
(Cost: $9,602)

MUNICIPAL BONDS – TAXABLE
New York – 0.0%
NYC Indl Dev Agy, Rental Rev Bonds (Yankee Stadium Proj), Ser 2009,
11.000%, 3–1–29 (B)		1,875		2,525


TOTAL MUNICIPAL BONDS – TAXABLE – 0.0%			$	2,525
(Cost: $1,875)

SENIOR LOANS
Aerospace & Defense – 0.1%
Sequa Corporation:
3.460%, 12–3–14 (G)		90		90
3.470%, 12–3–14 (G)		106		106
3.610%, 12–3–14 (G)		2,936		2,938
6.250%, 12–3–14 (G)		4,663		4,658
0.000%, 6–18–17 (G)		2,204		2,216

				10,008


Auto Parts & Equipment – 0.3%
Schaeffler AG, 6.000%, 2–27–17 (G)		21,848		21,875


Broadcasting – 1.3%
Cumulus Media Holdings, Inc., 7.500%, 9–16–19 (G)		3,000		3,086
Granite Broadcasting Corporation, 8.500%, 5–23–19 (G)		14,925		14,888
PAW LUXCO II S.A.R.L., 5.113%, 7–29–17 (F)(G)		EUR58,675		72,124

				90,098


Building Products – 0.3%
CPG International, Inc., 5.750%, 9–4–19 (G)	$	11,943		11,995
HD Supply, Inc., 7.250%, 10–12–17 (G)		11,928		12,231

				24,226


Cable & Satellite – 1.3%
WideOpenWest Finance, LLC, 6.250%, 7–17–18 (G)		50,854		51,374
Wilton Brands LLC, 7.500%, 8–7–19 (G)		41,969		42,284

				93,658


Casinos & Gaming – 0.8%
Cannery Casino Resorts LLC: 6.000%, 10–5–18 (G)	10,366	10,375
10.000%, 10–5–19 (G)	11,134	10,568
CKX Entertainment, Inc., 9.000%, 1–1–17 (G)	4,000	3,410
MGM Resorts International, 0.000%, 12–13–19 (G)	30,000	30,292

		54,645


Commodity Chemicals – 0.6%
Univar, Inc.: 5.000%, 6–30–17 (G)	44,714	44,526


Communications Equipment – 0.3%
Mitel Networks Corporation, 7.312%, 8–16–15 (G)	17,259	17,087


Construction & Farm Machinery & Heavy Trucks – 0.4%
Wabash National Corporation, 6.000%, 4–17–19 (G)	26,007	26,289


Diversified Capital Markets – 1.0%
Intrawest U.S. Holdings, Inc.: 7.000%, 12–3–17 (G)	28,000	28,035
10.750%, 12–3–18 (G)	43,000	42,678

		70,713


Diversified Metals & Mining – 3.4%
FMG Resources Pty Ltd, 5.250%, 10–12–17 (G)	243,485	245,311


Diversified Real Estate Activities – 2.7%
HLT Property Acquisition, LLC: 0.001%, 11–12–15 (G)	45,000	42,919
3.581%, 11–12–15 (G)	15,000	14,456
3.709%, 11–12–15 (G)	70,000	67,112
3.959%, 11–12–15 (G)	70,000	66,937

		191,424


Diversified Support Services – 0.7%
Advantage Sales & Marketing, Inc.: 9.250%, 6–18–18 (G)	35,494	35,582
13.000%, 12–30–18 (G)	12,900	12,965

		48,547


Education Services – 0.2%
Education Management LLC, 8.250%, 3–30–18 (G)	8,932	7,391
Laureate Education, Inc., 5.250%, 6–16–18 (G)	9,708	9,612

		17,003


Electric Utilities – 0.3%
Dynegy Power, LLC, 9.250%, 8–5–16 (G)	25,918	27,052


Electrical Components & Equipment – 0.1%
WireCo WorldGroup, Inc., 6.000%, 4–13–17 (G)	9,975	10,150


Environmental & Facilities Services – 0.1%
K2 Pure Solutions Nocal, L.P., 10.000%, 9–10–15 (G)	7,816	7,738


Food Distributors – 3.1%
U.S. Foodservice, Inc.: 0.000%, 5–11–17 (G)	1,990	1,991
5.750%, 5–11–17 (G)	12,200	12,208
5.750%, 6–6–17 (G)	210,240	210,042

		224,241


Food Retail – 0.8%
Focus Brands, Inc.: 6.250%, 2–22–18 (G)	20,332	20,434
7.250%, 2–22–18 (G)	491	494
10.250%, 8–21–18 (G)	36,399	37,126

		58,054


Health Care Facilities – 0.1%
Hologic, Inc.,
4.500%, 4–29–19 (G)	3,990	4,034


National Surgical Hospitals, Inc., 8.250%, 2–3–17 (G)		4,055	3,933

			7,967


Health Care Services – 0.6%
Air Medical Group Holdings, Inc., 6.500%, 5–29–18 (G)		10,000	10,075
Genesis Healthcare LLC: 10.000%, 7–26–17 (G)		11,366	10,854
10.750%, 7–26–17 (G)		129	123
U.S. Renal Care, Inc.: 6.250%, 6–11–19 (G)		14,963	15,150
10.250%, 6–11–19 (G)		10,000	10,150

			46,352


Health Care Supplies – 0.5%
Sage Products Holdings III, LLC: 5.250%, 12–13–19 (G)		11,119	11,175
0.000%, 6–13–20 (G)		2,225	2,225
9.250%, 6–13–20 (G)		19,086	19,086

			32,486


Home Furnishings – 0.2%
Spring Windows Fashions, LLC, 11.250%, 5–31–18 (G)		15,000	14,775


Hotels, Resorts & Cruise Lines – 0.1%
Seven Sea Crusies S. DE R.L., 6.250%, 2–16–19 (G)		8,888	8,999


Housewares & Specialties – 0.0%
Provo Craft & Novelty, Inc.: 8.500%, 3–2–16 (G)		9,940	1,557


Hypermarkets & Super Centers – 0.6%
BJ’s Wholesale Club, Inc.: 5.750%, 9–6–19 (G)		22,265	22,528
9.750%, 3–6–20 (G)		22,265	22,794

			45,322


Independent Power Producers & Energy Traders – 0.1%
Texas Competitive Electric Holdings Company, LLC: 4.713%, 10–10–17 (G)		3,912	2,598
4.810%, 10–10–17 (G)		2,002	1,330

			3,928


Industrial Machinery – 0.9%
Northern Tool & Equipment Company, Inc., 0.000%, 11–13–19 (G)		30,000	30,000
United Central Industrial Supply Company, LLC, 7.500%, 10–12–18 (G)		29,200	28,032

			58,032


IT Consulting & Other Services – 0.2%
Infor Global Solutions European Finance, S.a.R.L., 13.090%, 4–5–17 (E)(G)		7,080	7,421
SRA International, Inc., 6.500%, 7–20–18 (G)		5,720	5,391

			12,812


Leisure Facilities – 0.2%
Northfield Park Associates LLC: 0.000%, 11–9–18 (G)		4,980	4,980
9.000%, 11–9–18 (G)		7,469	7,469

			12,449


Leisure Products – 0.7%
SRAM, LLC, 8.500%, 12–7–18 (G)		48,000	48,600


Metal & Glass Containers – 0.4%
Evergreen Tank Solution, Inc., 9.500%, 9–11–18 (G)		29,716	29,567


Movies & Entertainment – 4.7%
AB Acquisitions UK Topco 2 Limited, 3.490%, 7–5–15 (F)(G)		GBP18,000	28,522
Formula One Holdings Ltd. and Alpha Topco Limited: 6.000%, 4–27–19 (G)	$	148,877	150,863
9.250%, 10–16–19 (G)		160,000	163,000

			342,385


Oil & Gas Refining & Marketing – 0.3%
Samson Investment Company, 6.000%, 9–25–18 (G)	18,548		18,710


Other Diversified Financial Services – 2.1%
Fairway Group Acquisition Company, 8.250%, 8–17–18 (G)	10,378		10,443
Misys plc and Magic Newco, LLC, 12.000%, 6–12–19 (G)	140,000		143,850

			154,293


Paper Packaging – 0.4%
FPC Holdings, Inc., 9.250%, 5–16–20 (G)	27,397		26,832


Paper Products – 0.5%
NewPage Corporation, 0.000%, 11–16–18 (G)	34,850		35,199


Pharmaceuticals – 0.7%
Par Pharmaceutical Companies, Inc., 5.000%, 9–28–19 (G)	4,859		4,850
Pharmaceutical Product Development, Inc., 6.250%, 12–5–18 (G)	1,965		1,994
Quintiles Transnational Corp., 7.500%, 2–28–17 (E)(G)	40,000		40,350

			47,194


Photographic Equipment – 0.1%
Getty Images, Inc., 4.750%, 9–17–19 (G)	9,962		9,962


Real Estate Operating Companies – 0.3%
Primedia Inc., 7.500%, 1–13–18 (G)	19,836		18,845


Research & Consulting Services – 0.5%
AlixPartners, LLP, 10.750%, 6–29–19 (G)	32,500		32,825


Restaurants – 0.9%
Brasa Holdings, Inc.: 7.500%, 6–18–19 (G)	31,985		32,145
11.000%, 12–18–19 (G)	30,000		30,150

			62,295


Semiconductor Equipment – 0.0%
Crown Castle Operating Company, 4.000%, 1–31–19 (G)	968		972


Semiconductors – 0.2%
Freescale Semiconductor, Inc., 6.000%, 2–28–19 (G)	14,813		14,676


Specialized Finance – 0.1%
WMG Acquisition Corp., 5.250%, 10–25–18 (G)	10,000		10,106


Specialty Stores – 0.6%
Candy Intermediate Holdings, Inc.: 7.500%, 5–23–18 (G)	9,882		9,973
8.500%, 5–23–18 (G)	68		68
Guitar Center, Inc., 5.560%, 4–9–17 (G)	20,000		19,260
Party City Holdings, Inc.: 5.750%, 7–10–19 (G)	16,137		16,300

			45,601


Technology Distributors – 0.0%
Sophia, L.P., 6.250%, 7–19–18 (G)	2,908		2,939


TOTAL SENIOR LOANS – 33.8%		$	2,428,325
(Cost: $2,373,048)


SHORT-TERM SECURITIES
Commercial Paper – 3.2%
Bemis Company, Inc.: 0.340%, 1–4–13 (H)	5,650		5,650
0.320%, 1–14–13 (H)	2,000		2,000
Campbell Soup Company, 0.310%, 1–4–13 (H)	6,970		6,970
Ecolab Inc., 0.320%, 1–23–13 (H)	11,887		11,885
General Mills, Inc.: 0.250%, 1–15–13 (H)	12,000		11,999
0.260%, 1–16–13 (H)	5,000		4,999
0.250%, 1–18–13 (H)	20,000		19,998
Harley-Davidson Funding Corp. (GTD by Harley-Davidson, Inc.): 0.390%, 1–9–13 (H)	10,000		9,999
0.260%, 1–16–13 (H)	7,000		6,999
0.290%, 1–23–13 (H)	15,000		14,997
0.290%, 1–24–13 (H)	5,000		4,999
Heinz (H.J.) Finance Co. (GTD by Heinz (H.J.) Co.): 0.250%, 1–18–13 (H)	12,975		12,973
0.270%, 1–23–13 (H)	33,000		32,995
Hewlett-Packard Company: 0.460%, 1–8–13 (H)	7,800		7,799
0.400%, 1–10–13 (H)	14,425		14,423
John Deere Canada ULC (GTD by Deere & Company), 0.140%, 2–6–13 (H)	2,253		2,253
Kroger Co. (The), 0.400%, 1–3–13 (H)	10,000		10,000
McCormick & Co. Inc.: 0.220%, 1–2–13 (H)	12,000		12,000
0.230%, 1–11–13 (H)	4,000		4,000
PACCAR Financial Corp. (GTD by PACCAR Inc.), 0.140%, 2–4–13 (H)	11,789		11,787
Prudential Funding LLC (GTD by Prudential Financial Inc.), 0.100%, 1–2–13 (H)	4,678		4,678
St. Jude Medical, Inc., 0.200%, 1–4–13 (H)	5,000		5,000
Walt Disney Company (The), 0.310%, 2–11–13 (H)	15,000		14,997

			233,400


Master Note – 0.0%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (I)	1,179		1,179


Municipal Obligations – Taxable – 0.2%
NJ Hlth Care Fac Fin Auth, Rev Bonds, AHS Hosp Corp Issue, Ser 2008C (GTD by JPMorgan Chase & Co.), 0.120%, 1–3–13 (I)	500		500
Santa Clara Cnty Fin Auth, Var Rate Rev Bonds, El Camino Hosp, Ser 2009A (GTD by Wells Fargo Bank, N.A.), 0.120%, 1–2–13 (I)	10,800		10,800

			11,300


United States Government Agency Obligations – 0.3%
Overseas Private Investment Corporation (GTD by United States Government): 0.170%, 1–2–13	15,000		15,000
0.170%, 1–2–13 (I)	5,619		5,619

			20,619


TOTAL SHORT-TERM SECURITIES – 3.7%		$	266,498
(Cost: $266,498)

TOTAL INVESTMENT SECURITIES – 100.0%		$	7,191,408
(Cost: $6,912,999)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.0%			3,491

NET ASSETS – 100.0%		$	7,194,899

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $2,919,386 or 40.6% of net assets.

(C)	Warrants entitle the Fund to purchase a predetermined number of shares of common stock and are non-income producing. The purchase price and number of shares are subject to adjustment under certain conditions until the expiration date, if any.

(D)	Zero coupon bond.

(E)	Payment-in-kind bonds.

(F)	Principal amounts are denominated in the indicated foreign currency, where applicable (EUR—Euro and GBP—British Pound).

(G)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(H)	Rate shown is the yield to maturity at December 31, 2012.

(I)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	British Pound	Morgan Stanley International		17,400		1-14-13	$	—	$	303
Sell	Euro	Morgan Stanley International		66,000		1-14-13		—		1,775
Sell	Euro	Deutsche Bank AG		5,000		1-30-13		—		36
Sell	Euro	Deutsche Bank AG		932		2-1-13		89		—
Sell	Euro	Morgan Stanley International		720		5-15-13		67		—
Sell	Euro	Deutsche Bank AG		676		6-17-13		50		—
Sell	Euro	Deutsche Bank AG		932		8-1-13		81		—
Sell	Euro	Morgan Stanley International		720		11-15-13		61		—
Sell	Euro	Deutsche Bank AG		676		12-16-13		45		—
Sell	Euro	Deutsche Bank AG		932		2-3-14		73		—
Sell	Euro	Morgan Stanley International		720		5-15-14		55		—
Sell	Euro	Deutsche Bank AG		676		6-16-14		40		—
Sell	Euro	Deutsche Bank AG		932		8-1-14		68		—
Sell	Euro	Morgan Stanley International		720		11-14-14		52		—
Sell	Euro	Deutsche Bank AG		676		12-15-14		37		—
Sell	Euro	Deutsche Bank AG		932		2-2-15		62		—
Sell	Euro	Morgan Stanley International		729		5-15-15		—		15
Sell	Euro	Deutsche Bank AG		676		6-15-15		35		—
Sell	Euro	Deutsche Bank AG		932		8-3-15		57		—
Sell	Euro	Morgan Stanley International		729		11-16-15		—		17
Sell	Euro	Deutsche Bank AG		676		12-15-15		34		—
Sell	Euro	Deutsche Bank AG		932		2-1-16		55		—
Sell	Euro	Morgan Stanley International		5,980		5-16-16		—		179
Sell	Euro	Deutsche Bank AG		676		6-15-16		32		—
Sell	Euro	Deutsche Bank AG		932		8-1-16		52		—
Sell	Euro	Deutsche Bank AG		676		12-15-16		32		—
Sell	Euro	Deutsche Bank AG		932		2-1-17		50		—
Sell	Euro	Deutsche Bank AG		676		6-15-17		32		—
Sell	Euro	Morgan Stanley International		58,615		7-31-17		—		2,756
Sell	Euro	Deutsche Bank AG		932		8-1-17		49		—
Sell	Euro	Deutsche Bank AG		676		12-15-17		32		—
Sell	Euro	Deutsche Bank AG		932		2-1-18		50		—
Sell	Euro	Deutsche Bank AG		11,234		6-15-18		547		—
Sell	Euro	Deutsche Bank AG		932		8-1-18		51		—


Sell	Euro	Deutsche Bank AG	932	2-1-19		51		—
Sell	Euro	Deutsche Bank AG	19,799	8-1-19		1,058		—
Sell	Euro	Deutsche Bank AG	2,000	1-31-20		—		121
					$	2,997	$	5,202

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	4,247	$	—	$	—
Preferred Stocks		—		12,746		—
Warrants		—		—		1,393
Corporate Debt Securities		—		4,462,980		—
Municipal Bonds		—		15,219		—
Senior Loans		—		1,921,525		506,800
Short-Term Securities		—		266,498		—
Total	$	4,247	$	6,678,968	$	508,193
Forward Foreign Currency Contracts	$	—	$	2,997	$	—
Liabilities
Forward Foreign Currency Contracts	$	—	$	5,202	$	—

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Warrants			Senior Loans
Beginning Balance 4-1-12	$	2,483		$	133,694
Net realized gain (loss)		—			509
Net unrealized appreciation (depreciation)		(1,090	)		11,955
Purchases		—			495,982
Sales		—			(145,099	)
Transfers into Level 3 during the period		—			33,798
Transfers out of Level 3 during the period		—			(24,039	)
Ending Balance 12-31-12	$	1,393		$	506,800
Net change in unrealized appreciation (depreciation) for all Level 3 investments still held as of 12-31-12	$	(1,090	)	$	12,586

Transfers from Level 2 to Level 3 occurred generally due to the lack of observable market data due to decreased market activity or information for these securities. Transfers from Level 3 to Level 2 occurred generally due to the increased availability of observable market data due to increased market activity or information. As shown above, transfers in and out of Level 3 represent the value at the later of the beginning of the fiscal period or the purchase date of the security. There were no transfers between Levels 1 and 2 during the period ended December 31, 2012.

Quantitative Information about Level 3 fair value measurements:


	Fair Value at 12-31-12		Valuation Technique(s)	Unobservable Input(s)
Assets
Warrants	$	1,393	Third-party vendor pricing service		Vendor quotes
Senior Loans	$	506,800	Third-party vendor pricing service		Vendor quotes

The following acronyms are used throughout this schedule:

GTD = Guaranteed

REIT = Real Estate Investment Trust

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	6,912,999
Gross unrealized appreciation		313,349
Gross unrealized depreciation		(34,940	)
Net unrealized appreciation	$	278,409

SCHEDULE OF INVESTMENTS

Ivy International Core Equity Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Australia – 3.7%
Asciano Limited		3,390	$	16,585
Telstra Corporation Limited		4,748		21,637
Toll Holdings Limited		3,184		15,259

				53,481


China – 4.5%
Baidu.com, Inc., ADR (A)		171		17,150
China Pacific Insurance (Group) Co., Ltd., H Shares		6,198		23,369
China Unicom Limited		13,192		21,449
SINA Corporation (A)		82		4,118

				66,086


France – 9.0%
Cap Gemini S.A.		545		23,835
Danone		246		16,247
European Aeronautic Defence and Space Company		61		2,401
European Aeronautic Defence and Space Company (A)(B)		356		14,034
Sanofi-Aventis		266		25,246
Total S.A.		959		49,914

				131,677


Germany – 6.9%
Bayer AG		315		30,036
DaimlerChrysler AG, Registered Shares		493		27,146
Deutsche Boerse AG		258		15,807
Dialog Semiconductor plc (A)		782		13,853
Fresenius SE & Co. KGaA (A)		12		1,428
Fresenius SE & Co. KGaA (A)(B)		115		13,221

				101,491


Hong Kong – 3.4%
Cheung Kong (Holdings) Limited		2,108		32,799
Sun Hung Kai Properties Limited		1,151		17,461

				50,260


Israel – 2.1%
Teva Pharmaceutical Industries Limited, ADR		837		31,248


Italy – 1.0%
Saipem S.p.A.		383		14,933


Japan – 17.1%
Asahi Breweries, Ltd.		711		15,135
Bridgestone Corporation		645		16,788
Fuji Heavy Industries Ltd.		270		3,405
Fuji Media Holdings, Inc.		6		8,449
Hoya Corporation		1,134		22,334
Japan Tobacco Inc.		154		4,345
KONAMI Corporation		732		16,493
Mitsubishi Electric Corporation		1,799		15,317
Mitsui & Co., Ltd.		1,806		27,074
Mitsui Fudosan Co., Ltd.		725		17,736
Mitsui Trust Holdings, Inc.		3,028		10,669
Nissin Kogyo Co., Ltd.		1,559		24,138
Secom Co., Ltd.		67		3,376
Sega Sammy Holdings Inc.		551		9,295
Softbank Corp.		480		17,580
Sumitomo Corporation		1,513		19,406
Yahoo Japan Corporation		55		17,924

				249,464


Netherlands – 5.6%
Fugro N.V.		395		23,461
ING Groep N.V., Certicaaten Van Aandelen (A)		2,705		25,689
Koninklijke Ahold N.V.		2,410		32,321

				81,471


Singapore – 2.8%
Singapore Telecommunications Limited		7,222		19,651
United Overseas Bank Limited		1,335		21,900

				41,551


South Korea – 1.4%
Hyundai Mobis (A)		76		20,661


Sweden – 3.5%
Investor AB, B Shares		904		23,761
Securitas AB, Class B		1,246		10,925
TeliaSonera AB		2,326		15,790

				50,476


Switzerland – 3.8%
Nestle S.A., Registered Shares		239		15,565
Novartis AG, Registered Shares		314		19,832
Swiss Re Ltd		271		19,681

				55,078


Taiwan – 0.6%
Advanced Semiconductor Engineering, Inc.		10,440		9,089


United Kingdom – 24.3%
AMEC plc		954		15,767
BAE Systems plc (A)		2,695		14,981
BG Group plc		948		15,813
GlaxoSmithKline plc		1,620		35,270
Imperial Tobacco Group plc		772		29,938
Invensys plc, ADR		4,862		26,019
Prudential plc		1,761		25,125
Reckitt Benckiser Group plc		316		20,067
Rio Tinto plc		634		36,994
Royal Dutch Shell plc, Class A		1,429		49,182
Unilever plc		1,105		42,934
Vodafone Group plc		8,657		21,791
WPP Group plc (A)		1,424		20,809

				354,690


United States – 4.4%
Cognizant Technology Solutions Corporation, Class A (A)		333		24,670
InBev NV		182		15,829
Yahoo! Inc. (A)		1,204		23,955

				64,454


TOTAL COMMON STOCKS – 94.1%			$	1,376,110
(Cost: $1,262,863)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.7%
Bank of Nova Scotia, 0.020%, 1–2–13 (C)	$	5,066		5,066
Coca-Cola Company (The), 0.060%, 1–17–13 (C)		5,000		5,000

				10,066


Master Note – 0.4%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (D)		6,488		6,488


United States Government Agency Obligations – 0.7%
Overseas Private Investment Corporation (GTD by United States Government), 0.170%, 1–2–13 (D)	10,000		10,000


TOTAL SHORT-TERM SECURITIES – 1.8%		$	26,554
(Cost: $26,554)

TOTAL INVESTMENT SECURITIES – 95.9%		$	1,402,664
(Cost: $1,289,417)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 4.1%			60,081

NET ASSETS – 100.0%		$	1,462,745

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $27,255 or 1.9% of net assets.

(C)	Rate shown is the yield to maturity at December 31, 2012.

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	Australian Dollar	Barclays Capital, Inc.		55,700		1–14–13	$	474	$	—
Sell	Japanese Yen	Barclays Capital, Inc.		5,809,000		1–15–13		3,481		—
							$	3,955	$	—

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	—	$	130,691	$	—
Consumer Staples		—		192,381		—
Energy		—		169,072		—
Financials		—		233,995		—
Health Care		31,248		125,033		—
Industrials		—		165,376		—
Information Technology		69,892		103,529		—
Materials		—		36,994		—
Telecommunication Services		—		117,899		—
Total Common Stocks	$	101,140	$	1,274,970	$	—
Short-Term Securities		—		26,554		—
Total	$	101,140	$	1,301,524	$	—
Forward Foreign Currency Contracts	$	—	$	3,955	$	—

During the period ended December 31, 2012, securities totaling $1,274,970 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR	= American Depositary Receipts

GTD	= Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	1,289,417
Gross unrealized appreciation		141,598
Gross unrealized depreciation		(28,351	)
Net unrealized appreciation	$	113,247


SCHEDULE OF INVESTMENTS Ivy International Growth Fund (in thousands)		DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Australia – 4.4%
Coca-Cola Amatil Limited		213	$	2,996
David Jones Limited		971		2,391
Telstra Corporation Limited		1,232		5,616

				11,003


Canada – 1.9%
Agrium Inc.		25		2,472
Canadian Natural Resources Limited		78		2,254

				4,726


China – 2.7%
Baidu.com, Inc., ADR (A)		26		2,591
Ping An Insurance (Group) Company of China, Ltd., A Shares		310		2,270
Tingyi Holding Corp.		652		1,834

				6,695


Finland – 0.5%
Stora Enso Oyj, Class R		182		1,275


France – 13.4%
Alstom		64		2,584
Cap Gemini S.A.		82		3,581
Compagnie Generale des Etablissements Michelin, Class B		39		3,754
European Aeronautic Defence and Space Company		35		1,398
LVMH Moet Hennessy – Louis Vuitton		22		3,983
Pinault-Printemps-Redoute S.A.		13		2,513
Safran		131		5,653
Sanofi-Aventis		48		4,595
Vinci		123		5,922

				33,983


Germany – 10.8%
adidas AG		28		2,493
Bayer AG		58		5,523
Deutsche Lufthansa AG		145		2,741
Fresenius SE & Co. KGaA (A)		62		7,182
Fresenius SE & Co. KGaA (A)(B)		7		862
Linde AG		14		2,472
MTU Aero Engines Holding AG		47		4,312
SAP AG		18		1,419

				27,004


Hong Kong – 3.4%
Galaxy Entertainment Group Limited, ADR (A)		1,157		4,639
Yue Yuen Industrial (Holdings) Limited		1,141		3,859

				8,498


India – 4.6%
Housing Development Finance Corporation Limited (A)		36		550
Housing Development Finance Corporation Limited (A)(B)		228		3,487
NMDC Limited (A)		1,008		3,063
State Bank of India		102		4,498

				11,598


Ireland – 0.9%
Smurfit Kappa Group plc	191	2,239


Israel – 1.3%
Teva Pharmaceutical Industries Limited, ADR	87	3,244


Italy – 2.6%
Eni S.p.A.	107	2,618
Saipem S.p.A.	100	3,912

		6,530


Japan – 12.9%
Bridgestone Corporation	148	3,850
Canon Inc.	59	2,283
JGC Corporation	112	3,490
KONAMI Corporation	81	1,813
Mitsubishi Corporation	187	3,597
Mitsubishi Electric Corporation	262	2,231
Mitsui & Co., Ltd.	126	1,889
Mizuho Financial Group, Inc.	1,435	2,631
Nexon Co., Ltd. (A)	24	240
Nexon Co., Ltd. (A)(B)	102	1,030
Nissin Kogyo Co., Ltd.	197	3,052
ORIX Corporation	34	3,842
Sumitomo Corporation	194	2,483

		32,431


Luxembourg – 1.6%
Tenaris S.A.	193	4,026


Netherlands – 1.2%
ASML Holding N.V., Ordinary Shares (A)	45	2,899


Norway – 3.0%
Seadrill Limited	101	3,708
Yara International ASA	75	3,724

		7,432


South Korea – 1.0%
Samsung Electronics Co., Ltd.	2	2,586


Sweden – 2.6%
AB Volvo, Class B (A)	271	3,732
Telefonaktiebolaget LM Ericsson, B Shares	277	2,795

		6,527


Switzerland – 3.7%
Credit Suisse Group AG, Registered Shares	115	2,796
Novartis AG, Registered Shares	61	3,849
Swatch Group Ltd (The), Bearer Shares	5	2,596

		9,241


Taiwan – 1.0%
MediaTek Incorporation	229	2,562


United Kingdom – 12.7%
ARM Holdings plc, ADR	66	2,481
BHP Billiton plc	89	3,148
British American Tobacco plc	57	2,875
Capita Group plc (The)	115	1,419
Diageo plc	206	6,006
Experian plc	240	3,862
GlaxoSmithKline plc	214	4,667
Pearson plc	128	2,493
Petrofac Limited	46	1,233
Prudential plc	257	3,667

		31,851


United States – 7.6%
Apple Inc. (A)	5	2,479
Cognizant Technology Solutions Corporation, Class A (A)	60	4,409
InBev NV	65	5,633


QUALCOMM Incorporated		60		3,697
Schlumberger Limited		40		2,788

				19,006


TOTAL COMMON STOCKS – 93.8%			$	235,356
(Cost: $213,142)

PREFERRED STOCKS
Germany – 2.5%
Volkswagen AG, 2.260% (A)		27		6,264


TOTAL PREFERRED STOCKS – 2.5%			$	6,264
(Cost: $5,173)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 2.4%
Bank of Nova Scotia, 0.020%, 1–2–13 (C)	$	2,977		2,977
River Fuel Company #2, Inc. (GTD by Bank of Nova Scotia), 0.200%, 2–28–13 (C)		3,118		3,117

				6,094


TOTAL SHORT-TERM SECURITIES – 2.4%			$	6,094
(Cost: $6,094)

TOTAL INVESTMENT SECURITIES – 98.7%			$	247,714
(Cost: $224,409)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.3%				3,363

NET ASSETS – 100.0%			$	251,077

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $5,379 or 2.1% of net assets.

(C)	Rate shown is the yield to maturity at December 31, 2012.

The following forward foreign currency contracts were outstanding at December 31, 2012:


Type	Currency	Counterparty	Principal Amount of Contract (Denominated in Indicated Currency)		Settlement Date		Unrealized Appreciation		Unrealized Depreciation
Sell	Euro	Citibank, N.A.		9,250		1-14-13	$	—	$	237
Sell	Japanese Yen	Goldman Sachs International		777,500		2-7-13		1,227		—
							$	1,227	$	237

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	—	$	35,623	$	—
Consumer Staples		—		19,345		—
Energy		5,042		15,497		—
Financials		—		23,741		—
Health Care		3,244		26,677		—
Industrials		—		45,313		—
Information Technology		15,657		21,208		—
Materials		2,472		15,921		—
Telecommunication Services		—		5,616		—
Total Common Stocks	$	26,415	$	208,941	$	—
Preferred Stocks		—		6,264		—
Short-Term Securities		—		6,094		—
Total	$	26,415	$	221,299	$	—
Forward Foreign Currency Contracts	$	—	$	1,227	$	—
Liabilities
Forward Foreign Currency Contracts	$	—	$	237	$	—

During the period ended December 31, 2012, securities totaling $208,941 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	224,409
Gross unrealized appreciation		31,161
Gross unrealized depreciation		(7,856	)
Net unrealized appreciation	$	23,305

SCHEDULE OF INVESTMENTS

Ivy Large Cap Growth Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 2.5%
Boeing Company (The)		4	$	294
Precision Castparts Corp.		175		33,186

				33,480


Apparel Retail – 0.8%
Limited Brands, Inc.		234		11,003


Apparel, Accessories & Luxury Goods – 1.7%
Under Armour, Inc., Class A (A)		475		23,071


Application Software – 1.7%
Intuit Inc.		383		22,812


Asset Management & Custody Banks – 1.9%
T. Rowe Price Group, Inc.		398		25,920


Automotive Retail – 1.9%
AutoZone, Inc. (A)		64		22,826
O’Reilly Automotive, Inc. (A)		30		2,709

				25,535


Biotechnology – 6.5%
Biogen Idec Inc. (A)		269		39,383
Gilead Sciences, Inc. (A)		657		48,286

				87,669


Brewers – 2.0%
Anheuser-Busch InBev S.A., ADR (A)		309		27,027


Broadcasting – 4.1%
CBS Corporation, Class B		1,457		55,435


Cable & Satellite – 3.1%
Time Warner Cable Inc.		429		41,674


Casinos & Gaming – 5.2%
Las Vegas Sands, Inc.		715		33,023
Wynn Resorts, Limited		332		37,324

				70,347


Communications Equipment – 2.8%
QUALCOMM Incorporated		615		38,167


Computer Hardware – 7.0%
Apple Inc. (A)		179		95,306


Data Processing & Outsourced Services – 8.9%
MasterCard Incorporated, Class A		122		59,789
Visa Inc., Class A		408		61,768

				121,557


Distillers & Vintners – 0.8%
Beam Inc.		172		10,483


Fertilizers & Agricultural Chemicals – 4.4%
Monsanto Company		630		59,611


Footwear – 0.1%
NIKE, Inc., Class B		28		1,434


Home Improvement Retail – 1.3%
Home Depot, Inc. (The)		282		17,436


Hotels, Resorts & Cruise Lines – 0.0%
Starwood Hotels & Resorts Worldwide, Inc.	3	149


Household Products – 0.9%
Colgate-Palmolive Company	118	12,336


Industrial Conglomerates – 0.0%
Danaher Corporation	3	145


Industrial Machinery – 1.1%
Pentair, Inc. (A)	306	15,045


Internet Retail – 3.0%
Amazon.com, Inc. (A)	163	40,835


Internet Software & Services – 5.3%
eBay Inc. (A)	578	29,495
Facebook, Inc., Class A (A)	252	6,703
Google Inc., Class A (A)	49	34,971

		71,169


IT Consulting & Other Services – 1.9%
Cognizant Technology Solutions Corporation, Class A (A)	352	26,066


Motorcycle Manufacturers – 2.3%
Harley-Davidson, Inc.	642	31,346


Oil & Gas Equipment & Services – 5.2%
National Oilwell Varco, Inc.	471	32,193
Schlumberger Limited	547	37,888

		70,081


Packaged Foods & Meats – 0.9%
Mead Johnson Nutrition Company	183	12,073


Personal Products – 0.6%
Estee Lauder Companies, Inc. (The), Class A	126	7,566


Pharmaceuticals – 2.0%
Allergan, Inc.	301	27,647


Railroads – 4.4%
Kansas City Southern	301	25,111
Union Pacific Corporation	272	34,146

		59,257


Restaurants – 3.5%
McDonald’s Corporation	74	6,554
Starbucks Corporation	749	40,134
YUM! Brands, Inc.	10	671

		47,359


Semiconductor Equipment – 0.9%
ASML Holding N.V., NY Registry Shares (A)	179	11,546


Semiconductors – 1.6%
Altera Corporation	599	20,640
Microchip Technology Incorporated	38	1,225

		21,865


Systems Software – 1.8%
Oracle Corporation	300	9,986
VMware, Inc., Class A (A)	147	13,876

		23,862



Tobacco – 2.5%
Philip Morris International Inc.	423		35,397


Wireless Telecommunication Service – 4.0%
American Tower Corporation, Class A (A)	314		24,278
Crown Castle International Corp. (A)	414		29,882

			54,160


TOTAL COMMON STOCKS – 98.6%		$	1,335,871
(Cost: $1,016,422)


SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.8%
St. Jude Medical, Inc.:
0.200%, 1-16-13 (B)	$	1,800		1,800
0.190%, 1-18-13 (B)		8,881		8,880

				10,680


Master Note – 0.0%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (C)		119		119


TOTAL SHORT-TERM SECURITIES – 0.8%			$	10,799
(Cost: $10,799)

TOTAL INVESTMENT SECURITIES – 99.4%			$	1,346,670
(Cost: $1,027,221)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.6%				8,630

NET ASSETS - 100.0%			$	1,355,300

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Rate shown is the yield to maturity at December 31, 2012.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	1,335,871	$	—	$	—
Short-Term Securities		—		10,799		—
Total	$	1,335,871	$	10,799	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	1,027,221
Gross unrealized appreciation		323,380
Gross unrealized depreciation		(3,931	)
Net unrealized appreciation	$	319,449

SCHEDULE OF INVESTMENTS

Ivy Limited-Term Bond Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


CORPORATE DEBT SECURITIES	Principal		Value

Aerospace & Defense – 0.9%
Bombardier Inc., 7.500%, 3–15–18 (A)	$	12,875	$	14,340


Apparel Retail – 1.0%
Limited Brands, Inc., 8.500%, 6–15–19		13,000		15,860


Apparel, Accessories & Luxury Goods – 1.2%
LVMH Moet Hennessy – Louis Vuitton, 1.625%, 6–29–17 (A)		15,000		15,242
V.F. Corporation, 1.062%, 8–23–13 (B)		4,000		4,019

				19,261


Automobile Manufacturers – 1.9%
Nissan Motor Acceptance Corporation, 1.950%, 9–12–17 (A)		15,000		15,199
Volkswagen International Finance N.V.: 1.625%, 3–22–15 (A)		10,606		10,751
2.375%, 3–22–17 (A)		5,500		5,663

				31,613


Banking – 0.3%
Commonwealth Bank of Australia New York, 1.950%, 3–16–15		5,000		5,131


Biotechnology – 1.0%
Amgen Inc., 2.125%, 5–15–17		15,500		16,052


Brewers – 1.8%
Anheuser-Busch InBev Worldwide Inc., 1.375%, 7–15–17		16,692		16,862
SABMiller Holdings Inc., 2.450%, 1–15–17 (A)		12,000		12,505

				29,367


Broadcasting – 0.8%
NBC Universal, Inc., 3.650%, 4–30–15		12,375		13,164


Cable & Satellite – 1.6%
Comcast Corporation, 4.950%, 6–15–16		3,500		3,944
DIRECTV Holdings LLC, 2.400%, 3–15–17		6,000		6,144
Time Warner Cable Inc., 6.750%, 7–1–18		13,664		17,063

				27,151


Coal & Consumable Fuels – 1.0%
Joy Global Inc., 6.000%, 11–15–16		14,900		17,098


Computer & Electronics Retail – 0.7%
Best Buy Co., Inc., 7.250%, 7–15–13		11,030		11,168



Consumer Finance – 4.2%
American Express Company, 7.250%, 5–20–14	4,000	4,353
American Express Credit Corporation, 2.750%, 9–15–15	11,000	11,531
American Honda Finance Corp., 1.500%, 9–11–17 (A)	6,000	5,996
Capital One Financial Corporation: 7.375%, 5–23–14	2,000	2,176
2.125%, 7–15–14	6,500	6,617
1.000%, 11–6–15	7,000	6,976
Ford Motor Credit Company LLC, 3.875%, 1–15–15	14,000	14,598
Penske Truck Leasing Co., LP and PTL Finance Corp., 3.750%, 5–11–17 (A)	10,350	10,826
USAA Capital Corporation, 1.050%, 9–30–14 (A)	4,000	4,018

		67,091


Data Processing & Outsourced Services – 1.8%
Fidelity National Financial, Inc., 6.600%, 5–15–17	12,215	13,765
Western Union Company (The), 6.500%, 2–26–14	15,800	16,770

		30,535


Distillers & Vintners – 1.0%
Diageo Capital plc, 5.750%, 10–23–17	13,500	16,259


Diversified Banks – 3.7%
Bank of America Corporation: 6.500%, 8–1–16	5,000	5,772
5.650%, 5–1–18	6,000	6,978
Bank of New York Mellon Corporation (The), 1.500%, 1–31–14	10,475	10,598
Barclays Bank plc: 2.500%, 1–23–13	5,000	5,006
2.375%, 1–13–14	4,000	4,068
HSBC Bank plc, 3.100%, 5–24–16 (A)	6,000	6,342
U.S. Bancorp, 2.200%, 11–15–16	10,000	10,416
Wells Fargo & Company, 3.676%, 6–15–16 (B)	11,000	11,888

		61,068


Diversified Chemicals – 1.7%
Dow Chemical Company (The), 5.900%, 2–15–15	14,025	15,471
E.I. du Pont de Nemours and Company, 2.750%, 4–1–16	11,500	12,136

		27,607


Diversified Metals & Mining – 2.1%
BHP Billiton Finance (USA) Limited, 7.250%, 3–1–16	6,000	7,103
BHP Billiton plc and BHP Billiton Limited, 5.250%, 12–15–15	8,023	9,061
Rio Tinto Finance (USA) Limited: 8.950%, 5–1–14	5,000	5,529
2.250%, 9–20–16	12,500	12,964

		34,657


Drug Retail – 1.4%
CVS Caremark Corporation, 3.250%, 5–18–15	10,225	10,839
Walgreen Co.: 4.875%, 8–1–13	6,000	6,148
1.800%, 9–15–17	6,500	6,534

		23,521


Electric Utilities – 0.8%
Great Plains Energy Incorporated, 2.750%, 8–15–13	12,605	12,736


Electronic Manufacturing Services – 0.8%
Jabil Circuit, Inc., 7.750%, 7–15–16	11,290	13,266


Environmental & Facilities Services – 2.1%
Republic Services, Inc., 3.800%, 5–15–18	13,690	15,044
Waste Management, Inc.:


6.375%, 3–11–15	1,505	1,683
2.600%, 9–1–16	5,000	5,236
6.100%, 3–15–18	11,275	13,600

		35,563


Health Care Equipment – 0.7%
Stryker Corporation,
2.000%, 9–30–16	11,575	12,049


Health Care Services – 1.8%
Medco Health Solutions, Inc.,
2.750%, 9–15–15	15,000	15,634
Quest Diagnostics Incorporated, 3.200%, 4–1–16	14,000	14,763

		30,397


Health Care Supplies – 0.3%
DENTSPLY International Inc.,
2.750%, 8–15–16	4,000	4,149


Independent Finance – 0.9%
John Deere Capital Corporation,
1.200%, 10–10–17	15,000	15,018


Industrial Conglomerates – 1.2%
General Electric Capital Corporation:
1.000%, 12–11–15	7,000	7,028
2.950%, 5–9–16	12,000	12,637

		19,665


Integrated Oil & Gas – 0.6%
Petro-Canada,
4.000%, 7–15–13	9,500	9,655


Integrated Telecommunication Services – 1.7%
AT&T Inc.:
2.400%, 8–15–16	5,500	5,738
1.400%, 12–1–17	6,000	5,999
Verizon Communications Inc.,
3.000%, 4–1–16	16,000	17,033

		28,770


Internet Software & Services – 0.4%
British Telecommunications plc,
5.150%, 1–15–13	1,000	1,001
eBay Inc.,
1.350%, 7–15–17	5,000	5,057

		6,058


Investment Banking & Brokerage – 1.4%
Goldman Sachs Group, Inc. (The):
3.700%, 8–1–15	7,000	7,387
3.625%, 2–7–16	3,000	3,175
Morgan Stanley,
4.100%, 1–26–15	12,000	12,506

		23,068


Leisure Products – 0.2%
Mattel, Inc.,
2.500%, 11–1–16	2,500	2,600


Life & Health Insurance – 1.0%
Metropolitan Life Global Funding I:
1.700%, 6–29–15 (A)	8,480	8,656
2.500%, 9–29–15 (A)	8,000	8,345

		17,001


Movies & Entertainment – 0.6%
Viacom Inc.,
4.375%, 9–15–14	9,495	10,060


Multi-Utilities – 0.9%
Dominion Resources, Inc., Ser A,
1.400%, 9–15–17	14,850	14,847


Office Electronics – 1.0%
Xerox Corporation,
6.350%, 5–15–18	14,000	16,140


Oil & Gas Equipment & Services – 0.7%
Schlumberger Investment S.A.,
1.250%, 8–1–17 (A)	5,000	4,985
Schlumberger Norge A.S. (GTD by Schlumberger Limited),
1.950%, 9–14–16 (A)	3,000	3,078
Schlumberger S.A. (GTD by Schlumberger Limited),
1.950%, 9–14–16 (A)	3,000	3,078

		11,141


Oil & Gas Exploration & Production – 1.8%
ConocoPhillips,
4.600%, 1–15–15	5,500	5,943
EOG Resources, Inc.,
2.500%, 2–1–16	6,000	6,274
Petrohawk Energy Corporation,
7.250%, 8–15–18	16,000	18,057

		30,274


Oil & Gas Storage & Transportation – 1.0%
DCP Midstream Operating, LP (GTD by DCP Midstream Partners, LP),
3.250%, 10–1–15	5,500	5,659
DCP Midstream, LLC,
9.700%, 12–1–13 (A)	4,500	4,848
Maritimes & Northeast Pipeline, L.L.C.,
7.500%, 5–31–14 (A)	5,148	5,414

		15,921


Other Diversified Financial Services – 2.0%
ING Bank N.V.,
2.375%, 6–9–14 (A)	12,500	12,663
JPMorgan Chase & Co.:
1.100%, 10–15–15	10,000	9,999
3.150%, 7–5–16	10,000	10,592

		33,254


Packaged Foods & Meats – 1.0%
H.J. Heinz Company,
2.000%, 9–12–16	3,000	3,095
Kraft Foods Inc.,
4.125%, 2–9-16	12,000	13,071

		16,166


Pharmaceuticals – 1.4%
Eli Lilly and Company,
4.200%, 3–6–14	5,775	6,025
GlaxoSmithKline Capital Inc.,
5.650%, 5–15–18	6,500	7,914
Merck & Co., Inc.:
4.000%, 6–30–15	2,000	2,171
1.100%, 1–31–18	4,925	4,919
Novartis Capital Corporation,
4.125%, 2–10–14	2,000	2,080

		23,109


Property & Casualty Insurance – 0.4%
Berkshire Hathaway Inc.:
2.200%, 8–15–16	2,650	2,764
1.900%, 1–31–17	4,000	4,134

		6,898


Regional Banks – 0.8%
PNC Funding Corp,
4.250%, 9–21–15	11,775	12,833


Restaurants – 1.0%
YUM! Brands, Inc.:
4.250%, 9–15–15	7,425	8,018
6.250%, 3–15–18	7,500	9,114

		17,132


Retail Stores – 0.5%
Dollar General Corporation,
4.125%, 7–15–17	8,500	8,925


Semiconductors – 0.6%
Broadcom Corporation,
2.700%, 11–1–18	9,000	9,640


Soft Drinks – 1.0%
Coca-Cola Enterprises Inc.,
4.250%, 3–1–15	3,000	3,223
PepsiCo, Inc.:
0.800%, 8–25–14	5,650	5,679
0.700%, 8–13–15	8,000	8,010

		16,912


Specialty Chemicals – 0.7%
Lubrizol Corporation (The),
5.500%, 10–1–14	10,566		11,453


Systems Software – 1.3%
CA, Inc.,
6.125%, 12–1–14	15,267		16,637
Oracle Corporation,
1.200%, 10–15–17	5,400		5,414

			22,051


Telecommunications – 0.1%
CC Holdings GS V LLC,
2.381%, 12–15–17 (A)	2,000		2,009


Wireless Telecommunication Service – 2.4%
America Movil, S.A.B. de C.V.:
3.625%, 3–30–15	13,478		14,290
2.375%, 9–8–16	4,000		4,156
American Tower Corporation:
4.625%, 4–1–15	5,280		5,612
5.900%, 11–1–21	9,500		11,330
Crown Castle International Corp,
5.250%, 1–15–23 (A)	2,745		2,937

			38,325


TOTAL CORPORATE DEBT SECURITIES – 61.2%		$	1,008,028
(Cost: $975,005)

MUNICIPAL BONDS – TAXABLE
Hawaii – 0.3%
Cnty of Kauai, Taxable GO Bonds, Ser 2010A:
1.955%, 8–1–13	515		518
2.498%, 8–1–14	1,240		1,267
3.335%, 8–1–16	3,100		3,309

			5,094


Nebraska – 0.4%
NE Pub Power Dist, Gen Rev Bonds, Ser 2008A,
5.140%, 1–1–14	6,150		6,427


Rhode Island – 0.3%
Providence Hlth & Svc Oblig Group, Direct Oblig Notes, Ser 2009A,
5.050%, 10–1–14	5,185		5,566


TOTAL MUNICIPAL BONDS – TAXABLE – 1.0%		$	17,087
(Cost: $16,238)

UNITED STATES GOVERNMENT AGENCY OBLIGATIONS
Agency Obligations – 3.2%
Federal Home Loan Bank,
3.500%, 3–22–16	11,000		11,079
Federal National Mortgage Association:
2.000%, 12–30–15	10,000		10,473
3.000%, 11–14–18	15,000		15,337
2.700%, 3–28–22	15,000		15,072

			51,961


Mortgage-Backed Obligations – 9.9%
Federal Home Loan Mortgage Corporation Adjustable Rate Participation Certificates:
4.000%, 2–15–23	1,501		1,528
5.000%, 9–15–34	1,670		1,733
Federal Home Loan Mortgage Corporation Agency REMIC/CMO,
2.500%, 12–15–41	15,665		16,222


Federal Home Loan Mortgage Corporation Fixed Rate Participation Certificates:
5.500%, 4–1–20		1,512		1,641
4.500%, 10–1–20		1,405		1,497
4.500%, 6–15–27		2,569		2,644
4.500%, 5–15–32		6,330		6,544
6.000%, 11–1–36		598		651
Federal National Mortgage Association Agency REMIC/CMO:
4.780%, 1–25–17		2,003		2,141
5.000%, 11–25–17		3,662		3,904
5.500%, 12–25–17		4,406		4,747
5.000%, 12–15–34		2,602		2,787
4.500%, 3–25–37		1,996		2,043
5.500%, 4–25–37		3,192		3,490
4.000%, 3–25–39		1,680		1,750
2.000%, 4–25–39		14,728		14,942
4.000%, 5–25–39		5,680		6,092
3.000%, 11–25–39		6,041		6,220
4.500%, 6–25–40		5,153		5,566
2.500%, 9–20–40		12,415		12,890
Federal National Mortgage Association Fixed Rate Pass-Through Certificates:
5.500%, 9–1–17		4,423		4,750
5.000%, 5–1–19		1,968		2,139
4.500%, 9–1–19		3,568		3,839
5.500%, 10–1–21		6,083		6,590
5.500%, 2–1–22		3,286		3,560
6.000%, 6–1–22		2,288		2,514
5.000%, 10–1–24		4,135		4,477
5.000%, 4–1–25		3,547		3,841
3.500%, 8–1–26		11,925		12,859
5.000%, 6–25–32		364		367
6.000%, 7–1–38		1,508		1,647
Government National Mortgage Association Agency REMIC/CMO:
5.000%, 4–16–39		1,895		2,051
2.000%, 3–16–42		15,692		15,944

				163,610


TOTAL UNITED STATES GOVERNMENT AGENCY OBLIGATIONS – 13.1%			$	215,571
(Cost: $211,857)

UNITED STATES GOVERNMENT OBLIGATIONS
Agency Obligations – 2.8%
Federal Home Loan Bank:
2.000%, 9–14–18		15,000		15,812
1.375%, 9–13–19		15,000		15,096
Federal National Mortgage Association,
0.875%, 10–26–17		15,000		15,061

				45,969


Treasury Obligations – 14.0%
United States Treasury Notes:
2.375%, 8–31–14		10,000		10,354
2.375%, 2–28–15		10,000		10,449
2.500%, 4–30–15		35,000		36,783
2.125%, 5–31–15		12,500		13,042
1.750%, 5–31–16		13,000		13,577
1.500%, 7–31–16		15,000		15,550
1.500%, 8–31–18		65,000		67,264
2.000%, 11–15–21		30,000		31,104
1.750%, 5–15–22		32,000		32,240

				230,363


TOTAL UNITED STATES GOVERNMENT OBLIGATIONS – 16.8%			$	276,332
(Cost: $272,079)

SHORT-TERM SECURITIES
Commercial Paper – 5.1%
Air Products and Chemicals, Inc.,
0.150%, 1–3–13 (C)	$	6,100		6,100
BHP Billiton Finance (USA) Limited (GTD by BHP Billiton Limited),
0.130%, 1–11–13 (C)		1,000		1,000
Campbell Soup Company,
0.240%, 2–1–13 (C)		7,783		7,781
CVS Caremark Corporation,
0.280%, 1–2–13 (C)		5,205		5,205
General Mills, Inc.,
0.250%, 1–22–13 (C)		2,000		2,000


GlaxoSmithKline Finance plc (GTD by GlaxoSmithKline plc),
0.140%, 1–17–13 (C)	2,000		2,000
Harley-Davidson Funding Corp. (GTD by Harley-Davidson, Inc.):
0.360%, 1–10–13 (C)	3,000		3,000
0.310%, 1–18–13 (C)	5,000		4,999
John Deere Canada ULC (GTD by Deere & Company),
0.140%, 2–6–13 (C)	4,481		4,480
John Deere Financial Limited (GTD by John Deere Capital Corporation),
0.170%, 2–13–13 (C)	5,000		4,999
Kroger Co. (The),
0.400%, 1–3–13 (C)	8,000		8,000
PACCAR Financial Corp. (GTD by PACCAR Inc.),
0.140%, 2–4–13 (C)	5,211		5,210
River Fuel Trust #1 (GTD by Bank of Nova Scotia),
0.200%, 1–31–13 (C)	13,445		13,442
Sonoco Products Co.,
0.000%, 1–2–13 (C)	5,701		5,701
St. Jude Medical, Inc.,
0.200%, 1–4–13 (C)	5,000		5,000
Wisconsin Electric Power Co.,
0.210%, 1–10–13 (C)	4,224		4,224

			83,141


Master Note – 0.6%
Toyota Motor Credit Corporation,
0.142%, 6–28–13 (D)	9,679		9,679


Municipal Obligations – Taxable – 1.4%
CA Pollutn Ctl Fin Auth, Pollutn Ctl Rfdg Rev Bonds (Pacific Gas and Elec Co), Ser C (GTD by JPMorgan Chase Bank, N.A.),
0.100%, 1–2–13 (D)	8,000		8,000
NY Hsng Fin Agy, Related West 30th Street Hsng Rev Bonds, Ser 2012 A-1 (GTD by Wells Fargo Bank, N.A.),
0.130%, 1–2–13 (D)	15,984		15,984

			23,984


TOTAL SHORT-TERM SECURITIES – 7.1%		$	116,804
(Cost: $116,804)

TOTAL INVESTMENT SECURITIES – 99.2%		$	1,633,822
(Cost: $1,591,983)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.8%			12,938

NET ASSETS – 100.0%		$	1,646,760

Notes to Schedule of Investments

(A)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $156,895 or 9.5% of net assets.

(B)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(C)	Rate shown is the yield to maturity at December 31, 2012.

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Corporate Debt Securities	$	—	$	1,008,028	$	—
Municipal Bonds		—		17,087		—
United States Government Agency Obligations		—		215,571		—
United States Government Obligations		—		276,332		—
Short-Term Securities		—		116,804		—
Total	$	—	$	1,633,822	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

CMO = Collateralized Mortgage Obligation

GTD = Guaranteed

REMIC = Real Estate Mortgage Investment Conduit

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	1,591,983
Gross unrealized appreciation		43,554
Gross unrealized depreciation		(1,715	)
Net unrealized appreciation	$	41,839


SCHEDULE OF INVESTMENTS Ivy Managed European/Pacific Fund (in thousands)				DECEMBER 31, 2012 (UNAUDITED)


AFFILIATED MUTUAL FUNDS	Shares		Value
Ivy European Opportunities Fund, Class I		636	$	15,353
Ivy Pacific Opportunities Fund, Class I		4,506		66,020


TOTAL AFFILIATED MUTUAL FUNDS – 99.6%			$	81,373
(Cost: $65,886)

SHORT-TERM SECURITIES – 0.3%	Principal
Master Note
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (A)	$	266	$	266

(Cost: $266)

TOTAL INVESTMENT SECURITIES – 99.9%			$81,639
(Cost: $66,152)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.1%				27

NET ASSETS – 100.0%			$81,666

Notes to Schedule of Investments

(A)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Affiliated Mutual Funds	$	81,373	$	—	$	—
Short-Term Securities		—		266		—
Total	$	81,373	$	266	$	—

There were no transfers between any levels during the period ended December 31, 2012.

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	66,152
Gross unrealized appreciation		15,487
Gross unrealized depreciation		—
Net unrealized appreciation	$	15,487

SCHEDULE OF INVESTMENTS

Ivy Managed International Opportunities Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


AFFILIATED MUTUAL FUNDS	Shares		Value
Ivy European Opportunities Fund, Class I		771	$	18,610
Ivy Global Income Allocation Fund, Class I		1,277		18,461
Ivy International Core Equity Fund, Class I		2,428		37,591
Ivy International Growth Fund, Class I		1,071		37,482
Ivy Pacific Opportunities Fund, Class I		5,463		80,039


TOTAL AFFILIATED MUTUAL FUNDS – 99.8%			$	192,183
(Cost: $165,566)

SHORT-TERM SECURITIES – 0.2%	Principal
Master Note
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (A)	$	397	$	397

(Cost: $397)

TOTAL INVESTMENT SECURITIES – 100.0%			$	192,580
(Cost: $165,963)

LIABILITIES, NET OF CASH AND OTHER ASSETS – 0.0%				(72	)

NET ASSETS – 100.0%			$	192,508

Notes to Schedule of Investments

(A)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Affiliated Mutual Funds	$	192,183	$	—	$	—
Short-Term Securities		—		397		—
Total	$	192,183	$	397	$	—

There were no transfers between any levels during the period ended December 31, 2012.

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	165,963
Gross unrealized appreciation		26,617
Gross unrealized depreciation		—
Net unrealized appreciation	$	26,617

SCHEDULE OF INVESTMENTS

Ivy Micro Cap Growth Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Advertising – 0.5%
Acquity Group Ltd, ADR (A)		48	$	369


Aerospace & Defense – 0.5%
KEYW Holding Corporation (A)		32		402


Air Freight & Logistics – 0.6%
Pacer International, Inc. (A)		121		471


Alternative Carriers – 0.7%
inContact, Inc. (A)		106		549


Apparel, Accessories & Luxury Goods – 1.6%
Movado Group, Inc.		39		1,181


Application Software – 2.9%
Callidus Software Inc. (A)		174		788
Exa Corporation (A)		33		325
NetQin Mobile Inc., ADR (A)		40		240
Tangoe, Inc. (A)		66		777

				2,130


Asset Management & Custody Banks – 0.8%
Internet Capital Group, Inc. (A)		55		624


Auto Parts & Equipment – 1.0%
Amerigon Incorporated (A)		56		747


Automotive Retail – 0.7%
America’s Car-Mart, Inc. (A)		14		555


Biotechnology – 3.8%
Achillion Pharmaceuticals, Inc. (A)		112		900
Clovis Oncology, Inc. (A)		47		749
NewLink Genetics Corporation (A)		40		494
Synergy Pharmaceuticals Inc. (A)		131		687

				2,830


Building Products – 2.2%
American Woodmark Corporation (A)		24		662
Builders FirstSource, Inc. (A)		179		1,001

				1,663


Casinos & Gaming – 1.3%
Multimedia Games Holding Company, Inc. (A)		67		991


Commercial Printing – 2.0%
InnerWorkings, Inc. (A)		107		1,476


Communications Equipment – 3.9%
Ixia (A)		59		993
Procera Networks, Inc. (A)		67		1,234
Ruckus Wireless, Inc (A)		31		696

				2,923


Computer Storage & Peripherals – 0.8%
Datalink Corporation (A)		66		561


Construction & Farm Machinery & Heavy Trucks – 2.7%
Commercial Vehicle Group, Inc. (A)		45		369
Greenbrier Companies, Inc. (The) (A)		44		703
Wabash National Corporation (A)		101		909

				1,981


Consumer Finance – 2.3%
NetSpend Holdings, Inc. (A)	67	795
Regional Management Corp. (A)	52	853

		1,648


Data Processing & Outsourced Services – 1.0%
Global Cash Access, Inc. (A)	92	720


Electronic Manufacturing Services – 0.5%
Fabrinet (A)	31	402


Food Distributors – 0.8%
Chefs’ Warehouse Holdings, LLC (The) (A)	36	574


Food Retail – 0.9%
Natural Grocers by Vitamin Cottage, Inc. (A)	36	691


General Merchandise Stores – 1.0%
Gordmans Stores, Inc. (A)	49	730


Health Care Equipment – 2.6%
Cynosure, Inc., Class A (A)	46	1,104
Rockwell Medical, Inc. (A)	65	525
Syneron Medical Ltd. (A)	37	317

		1,946


Health Care Supplies – 5.7%
Quidel Corporation (A)	81	1,510
Spectranetics Corporation (The) (A)	147	2,175
Synergetics USA, Inc. (A)	93	447

		4,132


Health Care Technology – 3.7%
Greenway Medical Technologies, Inc. (A)	25	381
HealthStream, Inc. (A)	41	992
Streamline Health Solutions, Inc. (A)	66	374
Vocera Communications, Inc. (A)	41	1,024

		2,771


Homebuilding – 1.8%
M/I Homes, Inc. (A)	51	1,342


Homefurnishing Retail – 0.7%
Kirkland’s, Inc. (A)	46	491


Human Resource & Employment Services – 3.1%
On Assignment, Inc. (A)	75	1,529
WageWorks, Inc. (A)	44	783

		2,312


Insurance Brokers – 1.1%
eHealth, Inc. (A)	30	811


Internet Software & Services – 8.3%
Boingo Wireless, Inc. (A)	59	442
Brightcove Inc. (A)	43	391
Envestnet, Inc. (A)	53	745
Liquidity Services, Inc. (A)	10	396
Millennial Media Inc. (A)	44	556
Move, Inc. (A)	14	102
SciQuest, Inc. (A)	41	647
SPS Commerce, Inc. (A)	46	1,719
Vocus, Inc. (A)	33	575
Web.com Group, Inc. (A)	37	546

		6,119



IT Consulting & Other Services – 1.9%
InterXion Holding N.V. (A)	36	865
Virtusa Corporation (A)	32	521

		1,386


Leisure Facilities – 0.6%
Town Sports International Holdings, Inc.	45	480


Leisure Products – 1.6%
Arctic Cat Inc. (A)	23	781
Black Diamond, Inc. (A)	53	433

		1,214


Managed Health Care – 0.9%
Molina Healthcare, Inc. (A)	25	668


Movies & Entertainment – 1.4%
Rentrak Corporation (A)	53	1,033


Oil & Gas Drilling – 0.9%
Pioneer Drilling Company (A)	87	635


Oil & Gas Equipment & Services – 2.0%
Basic Energy Services, Inc. (A)	51	577
RigNet, Inc. (A)	44	891

		1,468


Oil & Gas Exploration & Production – 1.5%
Callon Petroleum Company (A)	157	740
Triangle Petroleum Corporation (A)	66	395

		1,135


Packaged Foods & Meats – 0.6%
Inventure Foods, Inc. (A)	53	345
WhiteWave Foods Company (The), Class A (A)	7	104

		449


Pharmaceuticals – 4.1%
NuPathe Inc. (A)	60	201
Obagi Medical Products, Inc. (A)	78	1,058
Omeros Corporation (A)	76	393
Pacira Pharmaceuticals, Inc. (A)	80	1,395

		3,047


Research & Consulting Services – 0.7%
Mistras Group, Inc. (A)	22	541


Restaurants – 4.6%
Bravo Brio Restaurant Group, Inc. (A)	26	353
Caribou Coffee Company, Inc. (A)	45	729
Chuy’s Holdings, Inc. (A)	37	820
Fiesta Restaurant Group, Inc. (A)	43	653
Red Robin Gourmet Burgers, Inc. (A)	21	752

		3,307


Semiconductor Equipment – 1.4%
CVD Equipment Corporation (A)	35	334
Nanometrics Incorporated (A)	47	671

		1,005


Semiconductors – 3.8%
Ambarella, Inc. (A)	55	617
BCD Semiconductor Manufacturing Limited, ADR (A)	50	377
ChipMOS TECHNOLOGIES (Bermuda) LTD.	27	311
Exar Corporation (A)	19	169
MagnaChip Semiconductor Corporation (A)	55	867
RDA Microelectronics, Inc., ADR	46	498

		2,839


Steel – 0.8%
Universal Stainless & Alloy Products, Inc. (A)	16	574



Systems Software – 3.3%
Allot Communications Ltd. (A)		31		551
Imperva, Inc. (A)		19		602
Infolox Inc. (A)		39		698
Proofpoint, Inc. (A)		48		595

				2,446


Trading Companies & Distributors – 2.1%
DXP Enterprises, Inc. (A)		31		1,526


Trucking – 4.4%
Celadon Group, Inc.		72		1,294
Marten Transport, Ltd.		43		782
Roadrunner Transportation Systems, Inc. (A)		48		863
Vitran Corporation Inc., Class A (A)		53		257

				3,196


TOTAL COMMON STOCKS – 96.1%			$	71,091
(Cost: $58,101)

INVESTMENT FUNDS
Registered Investment Companies – 0.3%
iShares Russell 2000 Growth Index Fund		2		219


TOTAL INVESTMENT FUNDS – 0.3%			$	219
(Cost: $216)

SHORT-TERM SECURITIES	Principal
Master Note – 4.2%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (B)	$	3,143		3,143


TOTAL SHORT-TERM SECURITIES – 4.2%			$	3,143
(Cost: $3,143)

TOTAL INVESTMENT SECURITIES – 100.6%			$	74,453
(Cost: $61,460)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (0.6%)				(420	)

NET ASSETS – 100.0%			$	74,033

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	71,091	$	—	$	—
Investment Funds		219		—		—
Short-Term Securities		—		3,143		—
Total	$	71,310	$	3,143	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	61,460
Gross unrealized appreciation		16,854
Gross unrealized depreciation		(3,861	)
Net unrealized appreciation	$	12,993

SCHEDULE OF INVESTMENTS

Ivy Mid Cap Growth Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Air Freight & Logistics – 1.8%
Expeditors International of Washington, Inc.		1,242	$	49,113


Apparel, Accessories & Luxury Goods – 5.0%
Burberry Group plc (A)		1,481		29,768
Michael Kors Holdings Limited (B)		556		28,390
Under Armour, Inc., Class A (B)(C)		1,006		48,843
V.F. Corporation		232		35,010

				142,011


Application Software – 3.9%
ANSYS, Inc. (B)		614		41,323
Solera Holdings, Inc.		906		48,461
Ultimate Software Group, Inc. (The) (B)		192		18,112

				107,896


Asset Management & Custody Banks – 2.9%
Northern Trust Corporation		1,255		62,937
Oaktree Capital Group, LLC		356		16,215

				79,152


Automotive Retail – 3.5%
CarMax, Inc. (B)		2,582		96,941


Brewers – 1.4%
Boston Beer Company, Inc. (The), Class A (B)		269		36,205


Broadcasting – 1.1%
Discovery Holding Company, Class A (B)		464		29,460


Building Products – 1.8%
Fortune Brands Home & Security, Inc. (B)		1,690		49,392


Communications Equipment – 3.0%
Aruba Networks, Inc. (B)		2,047		42,468
F5 Networks, Inc. (B)		371		36,064
Ubiquiti Networks, Inc.		450		5,467

				83,999


Computer Storage & Peripherals – 1.3%
Fusion-io, Inc. (B)		1,565		35,879


Construction Materials – 2.2%
Martin Marietta Materials, Inc.		645		60,810


Consumer Electronics – 2.1%
Harman International Industries, Incorporated		1,084		48,410
Skullcandy, Inc. (B)		1,198		9,330

				57,740


Data Processing & Outsourced Services – 4.0%
Fiserv, Inc. (B)		695		54,898
Vantiv, Inc., Class A (B)		2,704		55,219

				110,117


Department Stores – 1.4%
Nordstrom, Inc.		742		39,697


Distillers & Vintners – 0.8%
Brown-Forman Corporation, Class B		355		22,440


Distributors – 1.7%
LKQ Corporation (B)		2,189		46,190


Electrical Components & Equipment – 3.6%
Polypore International, Inc. (B)	1,405	65,313
Roper Industries, Inc.	313	34,860

		100,173


Electronic Manufacturing Services – 2.1%
Trimble Navigation Limited (B)	982	58,731


Environmental & Facilities Services – 1.5%
Stericycle, Inc. (B)	433	40,377


Fertilizers & Agricultural Chemicals – 0.7%
Scotts Miracle-Gro Company (The)	453	19,935


Food Retail – 1.1%
Whole Foods Market, Inc.	335	30,577


Health Care Distributors – 2.0%
Henry Schein, Inc. (B)	699	56,217


Health Care Equipment – 7.1%
IDEXX Laboratories, Inc. (B)	197	18,242
Intuitive Surgical, Inc. (B)	52	25,646
St. Jude Medical, Inc.	875	31,633
Varian Medical Systems, Inc. (B)	1,124	78,954
Zimmer Holdings, Inc.	618	41,215

		195,690


Homefurnishing Retail – 1.1%
Williams-Sonoma, Inc.	691	30,251


Household Products – 1.0%
Church & Dwight Co., Inc.	543	29,075


Industrial Machinery – 5.0%
Graco Inc.	308	15,851
IDEX Corporation	1,215	56,540
Pall Corporation	1,140	68,694

		141,085


Internet Software & Services – 1.1%
OpenTable, Inc. (B)	308	15,041
Zillow, Inc. (B)	583	16,183

		31,224


Investment Banking & Brokerage – 1.6%
Greenhill & Co., Inc.	881	45,778


IT Consulting & Other Services – 1.4%
Teradata Corporation (B)	634	39,241


Life Sciences Tools & Services – 3.0%
Agilent Technologies, Inc.	994	40,694
Mettler-Toledo International Inc. (B)	227	43,908

		84,602


Oil & Gas Drilling – 1.4%
Patterson-UTI Energy, Inc.	2,022	37,676


Oil & Gas Equipment & Services – 2.6%
Dresser-Rand Group Inc. (B)	717	40,241
Dril-Quip, Inc. (B)	436	31,824

		72,065


Oil & Gas Exploration & Production – 3.8%
Cabot Oil & Gas Corporation		628		31,216
Continental Resources, Inc. (B)		462		33,967
Southwestern Energy Company (B)		510		17,026
Ultra Petroleum Corp. (B)		1,298		23,527

				105,736


Packaged Foods & Meats – 1.1%
Mead Johnson Nutrition Company		460		30,329


Real Estate Services – 1.3%
CB Richard Ellis Group, Inc. (B)		1,851		36,829


Regional Banks – 4.9%
First Republic Bank		1,558		51,080
Signature Bank (B)		808		57,629
UMB Financial Corporation		588		25,784

				134,493


Restaurants – 1.8%
Dunkin’ Brands Group, Inc.		1,526		50,633


Semiconductor Equipment – 1.6%
Lam Research Corporation (B)		1,229		44,409


Semiconductors – 5.1%
ARM Holdings plc, ADR		1,026		38,806
Cavium Inc. (B)		1,028		32,096
Microchip Technology Incorporated		2,189		71,328

				142,230


Specialty Stores – 2.0%
Ulta Salon, Cosmetics & Fragrance, Inc.		570		55,962


Systems Software – 0.5%
ServiceNow, Inc. (B)		484		14,533


Trading Companies & Distributors – 2.4%
Fastenal Company		1,423		66,424


TOTAL COMMON STOCKS – 98.7%			$	2,741,317
(Cost: $2,465,955)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.7%
Becton Dickinson & Co.,
0.280%, 1–30–13 (D)	$	2,000		2,000
General Mills, Inc.,
0.250%, 1–22–13 (D)		3,000		3,000
GlaxoSmithKline Finance plc (GTD by GlaxoSmithKline plc),
0.140%, 1–17–13 (D)		2,000		2,000
McCormick & Co. Inc.,
0.220%, 1–2–13 (D)		1,146		1,146
Nestle Finance International Ltd. (GTD by Nestle S.A.),
0.150%, 1–22–13 (D)		5,000		4,999
Sonoco Products Co.,
0.000%, 1–2–13 (D)		1,651		1,651
Total Capital Canada Ltd. (GTD by Total S.A.),
0.110%, 1–11–13 (D)		4,000		3,999

				18,795


United States Government Agency Obligations – 0.3%
Overseas Private Investment Corporation (GTD by United States Government):
0.170%, 1–2–13 (E)		5,000		5,000
0.170%, 1–2–13 (E)		4,000		4,000

				9,000


TOTAL SHORT-TERM SECURITIES – 1.0%			$	27,795
(Cost: $27,795)

TOTAL INVESTMENT SECURITIES – 99.7%			$	2,769,112
(Cost: $2,493,750)

Notes to Schedule of Investments

(A)	Listed on an exchange outside the United States.

(B)	No dividends were paid during the preceding 12 months.

(C)	All or a portion of the security position is held in collateralized accounts for OTC derivatives collateral as governed by International Swaps and Derivatives Association, Inc. Master Agreements.

(D)	Rate shown is the yield to maturity at December 31, 2012.

(E)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The	following written options were outstanding at December 31, 2012 (contracts and exercise prices unrounded):


Underlying Security	Counterparty, if OTC	Type	Number of Contracts		Expiration Month		Exercise Price		Premium Received		Market Value
Cavium Inc.	Deutsche Bank AG	Put		2,171		February 2013	$	30.00	$	260	$	(342	)
Graco Inc.	Deutsche Bank AG	Put		911		January 2013		50.00		67		(52	)
	Deutsche Bank AG	Put		911		February 2013		50.00		128		(118	)
Michael Kors Holdings Limited	Bank of America N.A.	Put		1,409		January 2013		47.00		194		(144	)
Under Armour, Inc., Class A	N/A	Put		1,617		April 2013		42.50		343		(299	)
									$	992	$	(955	)

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	2,711,549	$	29,768	$	—
Short-Term Securities		—		27,795		—
Total	$	2,711,549	$	57,563	$	—
Liabilities
Written Options	$	299	$	656	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

OTC = Over the Counter

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	2,493,750
Gross unrealized appreciation		344,718
Gross unrealized depreciation		(69,356	)
Net unrealized appreciation	$	275,362

SCHEDULE OF INVESTMENTS

Ivy Money Market Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


CORPORATE OBLIGATIONS	Principal		Value

Certificate Of Deposit
Banco del Estado de Chile: 0.220%, 1–28–13	$	1,000	$	1,000
0.980%, 7–19–13		4,500		4,500
0.800%, 9–10–13		1,365		1,365


Total Certificate Of Deposit – 3.4%				6,865

Commercial Paper
Bank of Nova Scotia: 0.190%, 1–16–13 (A)		1,050		1,050
0.210%, 2–1–13 (A)		2,700		2,699
BHP Billiton Finance (USA) Limited (GTD by BHP Billiton Limited),
0.160%, 1–28–13 (A)		2,500		2,500
Chicago Midway Intl Arpt, 2003 Program, Ser C (GTD by JPMorgan Chase & Co.):
0.190%, 1–9–13 (A)		1,700		1,700
0.230%, 2–12–13 (A)		2,284		2,284
Coca–Cola Company (The): 0.180%, 1–10–13 (A)		1,200		1,200
0.240%, 3–1–13 (A)		2,000		1,999
0.250%, 4–2–13 (A)		1,250		1,249
Corporacion Andina de Fomento: 0.260%, 2–19–13 (A)		1,600		1,600
0.220%, 3–11–13 (A)		2,000		1,999
0.500%, 4–2–13 (A)		1,750		1,748
0.800%, 5–28–13 (A)		4,825		4,809
John Deere Canada ULC (GTD by Deere & Company),
0.140%, 2–6–13 (A)		3,000		2,999
John Deere Financial Limited (GTD by John Deere Capital Corporation):
0.210%, 2–12–13 (A)		2,300		2,299
0.170%, 2–13–13 (A)		1,300		1,300
Kroger Co. (The), 0.400%, 1–3–13 (A)		950		950
McCormick & Co. Inc., 0.220%, 1–2–13 (A)		363		363
Muni Elec Auth GA, Gen Resolution Proj Bond Anticipation Notes, Ser B (Taxable), (GTD by Wells Fargo Bank, N.A.),
0.180%, 1–15–13 (A)		6,000		6,000
Muni Impvt Corp of Los Angeles, Lease Rev (GTD by JPMorgan Chase & Co.),
0.200%, 1–14–13 (A)		1,000		1,000
Nestle Finance International Ltd. (GTD by Nestle S.A.),
0.150%, 1–22–13 (A)		1,325		1,325
Peninsula Ports Auth of VA, Coal Terminal Rev Rfdg Bonds (Dominion Terminal Assoc Proj), Ser 1987-A (GTD by U.S. Bank, N.A.),
0.190%, 2–5–13 (A)		2,100		2,100
River Fuel Company #2, Inc. (GTD by Bank of Nova Scotia):
0.260%, 1–31–13 (A)		3,459		3,458
0.200%, 2–28–13 (A)		4,000		3,999
River Fuel Funding Company #3, Inc. (GTD by Bank of Nova Scotia),
0.260%, 2–15–13 (A)		1,411		1,411
River Fuel Trust #1 (GTD by Bank of Nova Scotia),
0.200%, 1–31–13 (A)		935		935


Sonoco Products Co., 0.000%, 1–2–13 (A)	950	950
St. Jude Medical, Inc.: 0.200%, 1–4–13 (A)	2,800	2,800
0.200%, 1–16–13 (A)	3,200	3,200
0.190%, 1–18–13 (A)	3,891	3,890
Straight-A Funding, LLC (GTD by Federal Financing Bank):
0.180%, 1–8–13 (A)	2,000	2,000
0.190%, 3–5–13 (A)	1,000	1,000
0.250%, 3–5–13 (A)	2,300	2,299
0.190%, 3–19–13 (A)	1,000	999
Toronto-Dominion Holdings USA Inc.: 0.170%, 1–23–13 (A)	4,211	4,210
0.200%, 2–11–13 (A)	1,000	1,000
Unilever Capital Corporation, 0.420%, 1–17–13 (A)	1,600	1,600
Wisconsin Electric Power Co., 0.210%, 1–10–13 (A)	5,049	5,049


Total Commercial Paper – 40.2%		81,973
Notes
American Honda Finance Corp. (GTD by Honda Motor Co.):
0.390%, 2–2–13 (B)	1,200	1,200
0.330%, 2–8–13 (B)	4,600	4,600
0.330%, 3–5–13 (B)	4,050	4,050
Banco del Estado de Chile, 0.930%, 3–22–13 (B)	3,000	3,000
Bank of Nova Scotia,
0.570%, 1–22–13 (B)	2,800	2,803
BellSouth Corporation (GTD by AT&T Inc.),
3.980%, 4–26–13 (B)	7,000	7,071
General Electric Capital Corporation: 2.800%, 1–8–13	750	751
5.450%, 1–15–13	1,100	1,102
4.800%, 5–1–13	2,000	2,030
2.100%, 1–7–14	3,000	3,051
General Electric Company, 5.000%, 2–1–13	1,500	1,506
IBM International Group Capital LLC (GTD by International Business Machines Corporation),
0.610%, 2–26–13 (B)	1,500	1,500
John Deere Capital Corporation,
5.100%, 1–15–13	500	501
Kimberly–Clark Corporation,
4.215%, 12–19–13	3,200	3,322
Novartis Capital Corp. (GTD by Novartis AG),
1.900%, 4–24–13	1,650	1,658
The Academy of the New Church, Var Rate Demand Bonds, Ser 2008 (GTD by Wachovia Bank, N.A.),
0.210%, 1–3–13 (B)	1,985	1,985
Toyota Motor Credit Corporation, 0.520%, 1–24–13 (B)	1,300	1,300
Trap Rock Industries, Inc., Var Demand Bonds, Ser 2005 (GTD by Wachovia Bank, N.A.),
0.210%, 1–3–13 (B)	1,345	1,345
Wachovia Corporation, 5.500%, 5–1–13	3,000	3,050
WMC Finance USA (GTD by BHP Billiton Ltd.),
5.125%, 5–15–13	300	305


Total Notes – 22.7%		46,130



TOTAL CORPORATE OBLIGATIONS – 66.3%		$	134,968
(Cost: $134,968)

MUNICIPAL OBLIGATIONS
California – 2.7%
CA Muni Fin Auth, Recovery Zone Fac Bonds (Chevron U.S.A. Inc. Proj), Ser 2010C (GTD by Chevron Corporation), 0.090%, 1–2–13 (B)	1,300		1,300
CA Statewide Cmnty Dev Auth, Multifam Hsng Rev Bonds (Wyndover Apts), Ser 2004 LL (GTD by United States Government), 0.120%, 1–3–13 (B)	3,165		3,165
Irvine Unif Sch Dist, Cmnty Fac Dist No. 09-1, Adj Rate Spl Tax Bonds, Ser 2012 A (GTD by U.S. Bank,N.A.), 0.070%, 1–2–13 (B)	1,000		1,000

			5,465


Colorado – 5.0%
Castle Rock, CO, Cert of Part, Ser 2008 (GTD by Wells Fargo Bank, N.A.), 0.170%, 1–2–13 (B)	5,415		5,415
CO Hsng and Fin Auth, Multifam Hsng Rev Bonds (Greentree Vlg Apts Proj), Ser 2007 (GTD by U.S. Bank, N.A.), 0.140%, 1–3–13 (B)	3,970		3,970
Exempla Gen Impvt Dist of Lafayette, CO, Spl Impvt Dist No. 02-01, Spl Assmt Rev Rfdg and Impvt Bonds, Ser 2002 (GTD by Wells Fargo Bank, N.A.), 0.150%, 1–3–13 (B)	475		475
Sheridan Redev Agy CO Tax, Var Rfdg S Santa Fe Dr Corridor Redev PJ-Ser A-1 (GTD by JPMorgan Chase & Co.), 0.420%, 1–3–13 (B)	250		250

			10,110


Georgia – 1.5%
Dev Auth of Monroe Cty, Pollutn Ctl Rev Bonds (GA Power Co Plant Scherer Proj), First Ser 2008 (GTD by Georgia Power Company), 0.160%, 1–2–13 (B)	3,083		3,083


Illinois – 0.7%
IL Fin Auth, Var Rate Demand Rev Bonds (Provena Health), Ser 2009B (GTD by JPMorgan Chase & Co.), 0.130%, 1–2–13 (B)	1,000		1,000
IL Fin Auth, Var Rate Demand Rev Bonds (The Univ of Chicago Med Ctr), Ser D (GTD by JPMorgan Chase & Co.),
0.130%, 1–2–13 (B)	310		310

			1,310


Indiana – 2.1%
IN Fin Auth, Hlth Sys Rev Bonds (Sisters of St. Francis Hlth Svcs, Inc. Oblig Group), Ser 2009H (GTD by JPMorgan Chase Bank, N.A.),
0.140%, 1–2–13 (B)	4,335		4,335


Louisiana – 1.7%
LA Pub Fac Auth, Rev Bonds (Air Products and Chemicals Proj), Ser 2008A (GTD by Air Products and Chemicals, Inc.),
0.110%, 1–2–13 (B)	2,411		2,411


Parish of St. Bernard, LA, Exempt Fac Rev Bonds (Mobil Oil Corp Proj), Ser 1996 (GTD by Exxon Mobil Corporation),
0.120%, 1–2–13 (B)	1,000	1,000

		3,411


Maryland – 0.9%
MD Hlth and Higher Edu Fac Auth Rev Bonds, Anne Arundel Hlth Sys Issue, Ser 2009A (GTD by Toronto Dominion Bank),
0.180%, 1–2–13 (B)	1,915	1,915


Minnesota – 0.3%
Minneapolis, MN, Var Rate Demand Rev Bonds (People Serving People Proj), Ser 2000A,
0.140%, 1–2–13 (B)	690	690


Mississippi – 3.9%
MS Business Fin Corp, Adj Mode Indl Dev Rev Bonds (Belk, Inc. Proj), Ser 2005 (GTD by Wachovia Bank, N.A.),
0.210%, 1–3–13 (B)	4,925	4,925
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2007D (GTD by Chevron Corporation),
0.100%, 1–2–13 (B)	1,700	1,700
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2010J (GTD by Chevron Corporation),
0.100%, 1–2–13 (B)	1,400	1,400

		8,025


Missouri – 0.5%
Kansas City, MO, Var Rate Demand Taxable Spl Oblig Rfdg Bonds (President Hotel Redev Proj), Ser 2009B (GTD by JPMorgan Chase & Co.),
0.240%, 1–2–13 (B)	950	950


New York – 1.0%
NY Hsng Fin Agy, Related-Caroline Apt Hsng Rev Bonds, Ser 2008A (GTD by Federal Home Loan Mortgage Corporation),
0.140%, 1–2–13 (B)	2,000	2,000


Texas – 5.9%
Harris Cnty Hosp Dist, Sr Lien Rfdg Rev Bonds, Ser 2010 (GTD by JPMorgan Chase & Co.),
0.130%, 1–3–13 (B)	6,760	6,760
Port Arthur Navigation Dist Indl Dev Corp, Exempt Fac Var Rate Rev Bonds (Air Products Proj), Ser 2005 (GTD by Air Products and Chemicals, Inc.),
0.110%, 1–2–13 (B)	2,925	2,925
Port Arthur Navigation Dist Indl Dev Corp, Exempt Fac Var Rate Rev Bonds (Air Products Proj), Ser 2006 (GTD by Air Products and Chemicals, Inc.),
0.110%, 1–2–13 (B)	2,300	2,300

		11,985


Wisconsin – 2.0%
Ladysmith, WI, Var Rate Demand Indl Dev Rev Bonds (Indeck Ladysmith, LLC Proj), Ser 2009A (GTD by Wells Fargo Bank, N.A.),
0.260%, 1–3–13 (B)	2,280	2,280


WI Hlth and Edu Fac Auth, Var Rate Demand Rev Bonds (Wausau Hosp, Inc.), Ser 1998B (GTD by JPMorgan Chase Bank, N.A.),
0.130%, 1–2–13 (B)	770		770
WI Hlth and Edu Fac Auth, Wheaton Franciscan Svc, Inc., Sys Var Rate Rev Bonds, Ser 2003B (GTD by U.S. Bank, N.A.),
0.120%, 1–2–13 (B)	1,100		1,100

			4,150

Wyoming – 3.8%
Uinta Cnty, WY, Pollutn Ctl Rfdg Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 1992 (GTD by Chevron Corporation),
0.100%, 1–2–13 (B)	7,783		7,783


TOTAL MUNICIPAL OBLIGATIONS – 32.0%		$	65,212
(Cost: $65,212)
UNITED STATES GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS
United States Government Agency Obligations
Overseas Private Investment Corporation (GTD by United States Government): 0.170%, 1–2–13 (B)	1,579		1,579
0.170%, 1–2–13 (B)	667		667
Totem Ocean Trailer Express, Inc. (GTD by United States Government), 0.560%, 1–15–13 (B)	1,014		1,013


Total United States Government Agency Obligations – 1.6%			3,259

TOTAL UNITED STATES GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS – 1.6%		$	3,259
(Cost: $3,259)

TOTAL INVESTMENT SECURITIES – 99.9%		$	203,439
(Cost: $203,439)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.1%			272

NET ASSETS – 100.0%		$	203,711

Notes to Schedule of Investments

(A)	Rate shown is the yield to maturity at December 31, 2012.

(B)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets or the next demand date.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Corporate Obligations	$	—	$	134,968	$	—
Municipal Obligations		—		65,212		—
United States Government Agency Obligations		—		3,259		—
Total	$	—	$	203,439	$	—

There were no reoccurring transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

GTD	= Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	203,439
Gross unrealized appreciation		—
Gross unrealized depreciation		—
Net unrealized appreciation	$	—

SCHEDULE OF INVESTMENTS

Ivy Municipal Bond Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


MUNICIPAL BONDS	Principal		Value

Alabama – 1.4%
The Pub Edu Bldg Auth of Tuscaloosa, Student Hsng Rev Bonds (Univ of AL Ridgecrest Residential Proj), Ser 2008,
6.750%, 7–1–33	$	500	$	606
The Spl Care Fac Fin Auth of Birmingham – Children’s Hosp, Hlth Care Fac Rev Bonds, Children’s Hosp, Ser 2009,
6.000%, 6–1–39		750		875
Water Works Board of Birmingham, AL, Water Rev Bonds, Ser 2009-A,
5.125%, 1–1–34		750		827

				2,308


Arizona – 1.5%
AZ Cert of Part, Ser 2010A (Insured by AGM),
5.250%, 10–1–26		1,000		1,164
Bullhead City, AZ, Bullhead Prkwy Impvt Dist, Impvt Bonds,
6.100%, 1–1–13		175		175
Rio Nuevo Multipurp Fac Dist (Tucson, AZ), Sub Lien Excise Tax Rev Bonds, Ser 2008,
6.625%, 7–15–25		500		626
Univ Med Ctr Corp (Tucson, AZ), Hosp Rev Bonds, Ser 2009,
6.500%, 7–1–39		500		579

				2,544


California – 11.5%
Bay Area Toll Auth, San Francisco Bay Area Toll Bridge Rev Bonds, 2008 Ser D-1 Index Rate Bonds,
1.006%, 4–1–45 (A)		1,000		1,001
Bay Area Toll Auth, San Francisco Bay Area Toll Bridge Rev Bonds, Ser 2008 G-1,
1.200%, 4–1–45 (A)		1,500		1,499
CA Hlth Fac Fin Auth, Rev Bonds (Adventist Hlth Sys/West), Ser 2009A,
5.750%, 9–1–39		750		865
CA Muni Fin Auth, Cmnty Hosp of Cent CA Oblig Group Cert of Part,
5.500%, 2–1–39		460		497
CA Pollutn Ctl Fin Auth, Solid Waste Disp Rev Bonds (Republic Svc, Inc. Proj) Ser 2002B,
5.250%, 6–1–23		415		471
CA Statewide Cmnty Dev Auth, Insd Rev Bonds (Henry Mayo Newhall Mem Hosp), Ser 2007A,
5.000%, 10–1–37		500		525
CA Statewide Cmnty Dev Auth, Student Hsng Rev Bonds (Univ of CA, Irvine East Campus Apt, Phase I Rfdg-CHF-Irvine, L.L.C.), Ser 2011,
5.000%, 5–15–21		1,195		1,375
CA Various Purp GO Bonds:
5.000%, 2–1–22		495		518
5.250%, 9–1–26		1,500		1,795
5.250%, 10–1–29		500		583
6.500%, 4–1–33		1,000		1,247
6.000%, 11–1–39		500		600


Cnty of Sacramento, Arpt Sys Sub and PFC/Grant Rev Bonds, Ser 2009,
5.125%, 7–1–25	500	565
Contra Costa Trans Auth, Sales Tax Rev Bonds (LtdTax Bonds), Ltd Tax Rfdg Bonds, Ser 2012A,
0.510%, 3–1–34 (A)	1,000	1,000
Golden State Tob Securitization Corp, Tob Stlmt Asset-Bkd Bonds, Ser 2003B,
5.000%, 6–1–43	1,000	1,020
Golden State Tob Securitization Corp, Tob Stlmt Asset-Bkd Bonds, Ser 2003A-1,
6.750%, 6–1–39	200	205
Los Angeles Unif Sch Dist (Cnty of Los Angeles, CA), GO Bonds, Election of 2005, Ser 2009F,
5.000%, 1–1–34	500	568
Mountain View Shoreline Reg Park Comnty (Santa Clara Cnty, CA), Rev Bonds, Ser 2011A,
5.000%, 8–1–21	250	286
Palomar Pomerado Hlth, San Diego Cnty, CA, Cert of Part,
6.750%, 11–1–39	250	283
Redev Agy for Riverside, Interstate 215 Corridor Redev Proj Area, 2010 Tax Alloc Bonds, Ser E,
5.250%, 10–1–20	570	616
Redev Agy for Riverside, Interstate 215 Corridor Redev Proj Area, Ser 2010 E,
6.000%, 10–1–25	445	493
Riverside Cmnty College Dist, Riverside Cnty, CA,Election of 2004, GO Bonds, Ser 2004A (Insured by NPFGC),
5.500%, 8–1–29	200	217
San Jose, CA Arpt Rev Bonds, Ser 2011A-1,
5.250%, 3–1–21	500	597
Southn CA Pub Power Auth, Transmission Proj Rev Bonds (Southn Transmission Proj), Ser 2008B,
6.000%, 7–1–27	500	599
State Pub Works Board of CA, Lease Rev Bonds (Various Cap Proj), Ser 2011A:
5.250%, 10–1–24	500	588
5.000%, 12–1–24	500	579
Upland Unif Sch Dist (San Bernardino Cnty, CA), Election of 2008 GO Bonds, Ser A,
0.000%, 8–1–31 (B)	150	63
Vernon Elec Sys Rev Bonds, Ser 2012A,
5.500%, 8–1–41	315	350

		19,005


Colorado – 3.2%
Adams 12 Five Star Sch, Adams and Broomfield Cnty, CO Cert of Part, Ser 2008,
5.000%, 12–1–25	500	588
City and Cnty of Broomfield, CO, Rfdg Cert of Part, Ser 2010,
5.000%, 12–1–23	500	591
CO Edu and Cultural Fac Auth, Independent Sch Rev Rfdg Bonds (Vail Mountain Sch Proj), Ser 2010,
6.125%, 5–1–40	475	514
CO Hsng and Fin Auth, Sngl Fam Mtg Class I Bonds,Ser 2009A (Insured by FHA/VA),
5.500%, 11–1–29	365	379
CO Hsng and Fin Auth, Sngl Fam Prog Sr and Sub Bonds, Ser 2001A-2,
6.500%, 8–1–31	240	242
Denver Hlth and Hosp Auth, Hlthcare Recovery Zone, Fac Rev Bds, Ser 2010,
5.625%, 12–1–40	500	548


Joint Sch Dist No. 28J, Adams and Arapahoe Cnty, CO, GO Bonds, Ser 2008,
6.000%, 12–1–28	500	647
Lincoln Park Metro Dist, Douglas Cnty, CO, GO Rfdg and Impvt Bonds, Ser 2008,
6.125%, 12–1–30	500	538
Platte Vly Fire Protection Dist, Weld Cnty, CO, Cert of Part, Ser 2012,
5.000%, 12–1–36	300	322
Rgnl Trans Dist, Private Activity Bonds (Denver Transit Partn Eagle P3 Proj), Ser 2010,
6.500%, 1–15–30	750	914

		5,283


Connecticut – 0.9%
Cap City Econ Dev Auth, Prkg and Enrg Fee Rev Bonds, Ser 2008D,
5.000%, 6–15–22	370	434
CT GO Bonds, Series D,
1.020%, 9–15–19 (A)	1,000	1,005

		1,439


District Of Columbia – 1.6%
DC GO Rfdg Bonds, Ser 2008F (Insured by BHAC),
5.000%, 6–1–19	1,000	1,196
DC Hosp Rev Bonds (Sibley Mem Hosp Issue), Ser 2009,
6.375%, 10–1–39	750	873
Metro Washington Arpt Auth, Dulles Toll Road, Second Sr Lien Rev Bonds, Ser 2009C,
0.000%, 10–1–41 (B)	500	497

		2,566


Florida – 6.8%
Brevard Cnty Hlth Fac Auth, Hlth Rev Bonds (Hlth First, Inc. Proj), Ser 2009B,
7.000%, 4–1–39	500	618
Brevard Cnty, FL, Indl Dev Rev Bonds (TUFF FL Tech Proj), Ser 2009,
6.750%, 11–1–39	500	559
Citizens Ppty Ins Corp, Sr Secured Bonds, Ser 2012A-1,
1.350%, 6–1–15 (A)	1,000	1,008
Citizens Ppty Ins Corp, Sr Secured Rev Bonds, Ser 2010A-1,
5.250%, 6–1–17	400	463
Hillsborough Cnty Indl Dev Auth, Indl Dev Rev Bonds, Hlth Fac Proj (Univ Cmnty Hosp), Ser 2008A,
5.625%, 8–15–29	555	687
Hillsborough Cnty Indl Dev Auth, Indl Dev Rev Bonds, Hlth Fac Proj (Univ Cmnty Hosp), Ser 2008B,
8.000%, 8–15–32	600	853
Jacksonville, FL Better Jacksonville Sales Tax Rev Bonds, Ser 2003 (Insured by NPFGC),
5.250%, 10–1–19	250	259
Miami-Dade Cnty, FL, Aviation Rev Bonds, Miami Intl Arpt (Hub of the Americas), Ser 2009A,
5.500%, 10–1–36	500	574
Miami-Dade Cnty, FL, Aviation Rev Bonds, Ser 2010A,
5.500%, 10–1–41	385	443
Miami-Dade Cnty, FL, Aviation Rev Bonds, Ser 2010B,
5.000%, 10–1–23	500	591
Miami-Dade Cnty, FL, GO Bonds (Bldg Better Cmnty Prog), Ser 2008B,
6.250%, 7–1–26	500	615
Miami-Dade Cnty, FL, Water and Sewer Sys Rev Rfdg Bonds, Ser 2008B (Insured by AGM),
5.250%, 10–1–22	500	622


Miami-Dade Cnty, FL, Water and Sewer Sys Rev RfdgBonds, Ser 2008C (Insured by BHAC),
5.000%, 10–1–17	500	591
Mid-Bay Bridge Auth, Springing Lien Rev Bonds, Ser 2011A,
7.250%, 10–1–34	500	644
Pinellas Cnty Edu Fac Auth, Rev Rfdg Prog Bonds (Barry Univ Proj), Ser 2012,
5.250%, 10–1–30	750	838
Port St. Lucie, FL, Spl Assmt Rfdg Bonds (City Ctr Spl Assmt Dist), Ser 2008A,
5.750%, 7–1–20	500	591
St. Johns Cnty Indl Dev Auth, Rev Bonds (Presbyterian Ret Cmnty Proj), Ser 2010A,
5.875%, 8–1–40	500	559
Volusia Cnty Edu Fac Auth, Edu Fac Rev Rfdg Bonds (Embry-Riddle Aeronautical Univ, Inc. Proj.) Ser 2011,
5.250%, 10–15–22	500	586

		11,101


Georgia – 0.8%
Atlanta, GA, Water and Wastewater Rev Bonds, Ser 2009B,
5.375%, 11–1–39	500	571
Dev Auth of Alpharetta, GA, Edu Fac Rev Bonds (Fulton Science Academy Proj), Ser 2011A,
6.250%, 7–1–31	130	74
Muni Elec Auth of GA, Proj One Sub Bonds, Ser 2008D,
5.750%, 1–1–20	500	609

		1,254


Hawaii – 0.7%
HI Arpt Sys Rev Bond, Rfdg Ser 2011,
5.000%, 7–1–21	1,000	1,187


Illinois – 2.7%
Belleville, IL, Tax Incr Rfdg Rev Bonds (Frank Scott Pkwy Redev Proj), Ser 2007A:
5.000%, 5–1–26	200	197
5.700%, 5–1–36	250	252
Build IL Sales Tax Rev Bonds, Ser 2011,
5.000%, 6–15–27	500	594
Chicago GO Bonds, Proj and Rfdg, Ser 2004A (Insured by AGM):
5.250%, 1–1–14	175	184
5.250%, 1–1–21	75	78
Chicago GO Bonds, Proj Ser 2011A,
5.250%, 1–1–35	200	223
IL Fin Auth, Rev and Rfdg Bonds (Roosevelt Univ Proj), Ser 2009,
6.500%, 4–1–39	500	570
IL Fin Auth, Rev Bonds, The Univ of Chicago, Ser 2008B,
5.500%, 7–1–19	500	614
IL Fin Auth, Student Hsng Rev Bonds (CHF-DeKalb, L.L.C. – Northn IL Univ Proj), Ser 2011,
5.750%, 10–1–21	395	445
IL GO Bonds, Ser 2012A,
4.000%, 1–1–23	1,250	1,343

		4,500


Indiana – 1.3%
East Chicago Elem Sch Bldg Corp (Lake Cnty, IN), First Mtg Bonds, Ser 1993A,
5.500%, 1–15–16	155	156
Hammond IN, Redev Dist Rev Bonds (Marina Area Proj), Ser 2008,
6.000%, 1–15–17	500	520
IN Fin Auth, Fac Rev Rfdg Bonds (Miami Correctional Fac – Phase II), Ser 2008C,
5.000%, 7–1–17	500	585


IN Hlth and Edu Fac Fin Auth, Hosp Rev Bonds (Cmnty Fndtn of NW IN Oblig Group), Ser 2007,
5.500%, 3–1–37	250	271
Mt. Vernon Sch Bldg Corp of Hancock Cnty, IN, First Mtg Bonds, Ser 2007 (Insured by AGM):
5.250%, 1–15–18	130	158
5.250%, 1–15–32	370	406

		2,096


Iowa – 0.7%
Altoona, IA, Annual Appropriation Urban Renewal Tax Incr Rev Bonds, Ser 2008,
6.000%, 6–1–34	1,000	1,092


Kansas – 1.2%
Arkansas City, KS Pub Bldg Comsn, Rev Bonds (South Cent KS Rgnl Med Ctr), Ser 2009,
7.000%, 9–1–38	500	607
Sedgwick Cnty, KS and Shawnee Cnty, KS, Sngl Fam Mtg Rev Bonds (Mtg-Bkd Sec Prog), Ser 2003A-2 (Insured by GNMA/FNMA),
5.650%, 6–1–35	90	95
Shawnee Cnty, KS Cert of Part (First Responders Comm Proj), Ser 2012,
5.000%, 9–1–24	1,050	1,204

		1,906


Kentucky – 1.8%
Cmnwlth of KY, State Ppty and Bldg Comsn, Rev and Rev Rfdg Bonds, Proj No. 90,
5.750%, 11–1–19	500	622
KY Econ Dev Fin Auth, Hosp Rev Bonds, Ser 2010A:
5.500%, 6–1–21	500	582
6.500%, 3–1–45	675	804
Louisville Rgnl Arpt Auth, Arpt Sys Rev Bonds, Ser 2008A,
5.250%, 7–1–28	500	548
Tpk Auth of KY, Econ Dev Road Rev Bonds (Revitalization Proj), Ser 2008A,
5.000%, 7–1–16	330	379

		2,935


Louisiana – 3.0%
LA Citizens Prop Ins Corp, Assmt Rev Rfdg Bonds, Ser 2012,
5.000%, 6–1–24	500	573
LA Local Govt Envirnmt Fac and Cmnty Dev Auth, Hosp Rev Bonds (Women’s Hosp Fndtn Gulf Opp Zone Proj), Ser 2010B,
6.000%, 10–1–44	750	860
New Orleans Aviation Board, Rev Rfdg Bonds (Restructuring GARBs), Ser 2009A-1,
6.000%, 1–1–23	500	598
New Orleans, LA, GO Rfdg Bonds, Ser 2012 (Insured by AGM),
5.000%, 12–1–26	1,500	1,745
Rgnl Transit Auth, New Orleans, LA, Sales Tax RevBonds, Ser 2010 (Insured by AGM),
5.000%, 12–1–22	1,000	1,189

		4,965


Maryland – 1.9%
Mayor and City Council of Baltimore, GO Bonds, Consolidated Pub Impvt Bonds, Ser 2003B (Insured by AGM),
0.228%, 10–15–22 (A)	1,550	1,449
MD Econ Dev Corp, Pollutn Ctl Rev Rfdg Bonds (Potomac Elec Proj), Ser 2006,
6.200%, 9–1–22	500	613


MD Hlth and Higher Edu Fac Auth Rev Bonds, Johns Hopkins Hlth Sys Oblig Group Issue, Ser 2012D,
0.970%, 5–15–38 (A)	1,000	1,005

		3,067


Massachusetts – 1.0%
MA Dev Fin Agy, Rev Bonds, Foxborough Rgnl Charter Sch Issue, Ser 2010,
6.375%, 7–1–30	500	572
MA Edu Fin Auth, Edu Loan Rev Bonds, Issue I, Ser 2009,
6.000%, 1–1–28	390	454
MA Port Auth, PFC Rev Rfdg Bonds, Ser 2010-E,
5.000%, 7–1–15	500	546

		1,572


Michigan – 2.6%
Detroit, MI, Water Supply Sys Rev, Sr Lien Bonds, Ser 2011-A,
5.750%, 7–1–37	500	562
Kalamazoo Hosp Fin Auth, Hosp Rev Rfdg Bonds (Bronson Methodist Hosp), Ser 2003A,
5.000%, 5–15–26	500	553
MI Fin Auth Rev Bonds (Detroit Sch Dist), Ser 2011,
5.500%, 6–1–21	1,000	1,179
MI State Hosp Fin Auth, Hosp Rev and Rfdg Bonds (Henry Ford Hlth Sys), Ser 2009,
5.750%, 11–15–39	750	857
State Bldg Auth, MI, 2006 Rev Rfdg Bonds (Fac Prog), Ser IA (Insured by FGIC),
0.000%, 10–15–22 (B)	1,000	683
State Bldg Auth, MI, 2008 Rev Rfdg Bonds (Fac Prog), Ser I,
5.000%, 10–15–18	305	361

		4,195


Minnesota – 0.4%
Minneapolis-St. Paul Metro Arpt Comsn, Sub Arpt Rev Rfdg Bonds, Ser 2010D,
5.000%, 1–1–20	500	588


Mississippi – 0.5%
The Univ of Southn MS, S.M. Edu Bldg Corp, Rev Bonds (Campus Fac Impvt Proj), Ser 2009,
5.375%, 9–1–36	750	854


Missouri – 3.6%
Belton, MO, Tax Incr Rev Bonds (Belton Town Centre Proj), Ser 2004,
6.250%, 3–1–24	200	201
Broadway-Fairview Trans Dev Dist (Columbia, MO), Trans Sales Tax Rev Bonds, Ser 2006A,
6.125%, 12–1–36	175	146
Hlth and Edu Fac Auth, Hlth Fac Rev Bonds (The Children’s Mercy Hosp), Ser 2009,
5.625%, 5–15–39	750	833
Indl Dev Auth of Joplin, MO, Hlth Fac Rev Bonds (Freeman Hlth Sys), Ser 2011,
5.500%, 2–15–31	750	834
Indl Dev Auth of Kansas City, MO, Rev Bonds (Plaza Library Proj), Ser 2004,
5.900%, 3–1–24	200	203
MO Dev Fin Board, Infra Fac Rev Bonds (Branson Landing Proj), Ser 2004A,
5.250%, 6–1–14	65	69
MO Dev Fin Board, Infra Fac Rev Bonds (Independence, MO – Events Ctr Proj), Ser 2009A,
6.625%, 4–1–14	580	625


Platte Cnty R–III Sch Dist Bldg Corp, Leasehold Rfdg and Impvt Rev Bonds, Ser 2008, 5.000%, 3–1–28	340	376
Pub Water Supply Dist No. 1 of Lincoln Cnty, MO, Cert of Part, Ser 2009, 6.750%, 6–15–35	500	541
St. Louis Cnty, MO Indl Dev Auth, Sr Living Fac Rev Bonds (Friendship Vlg Sunset Hills), Ser 2012, 5.000%, 9–1–32	1,120	1,201
The Indl Dev Auth of Moberly, MO, Annual Appropriation Recovery Zone Fac Bonds (Proj Sugar), Ser 2010-C, 6.000%, 9–1–24 (C)	500	30
The Indl Dev Auth of Platte Cnty, MO, Trans Rev Bonds (Zona Rosa Phase II Retail Proj), Ser 2007, 6.850%, 4–1–29	250	266
The Indl Dev Auth of St. Joseph, MO, Spl Oblig Rev Bonds (St. Joseph Sewage Sys Impvt Proj), Ser 2007, 4.375%, 4–1–18	100	109
The Indl Dev Auth of St. Louis, MO, Sr Living Fac Rev Bonds (Friendship Vlg of West Cnty), Ser 2007A, 5.500%, 9–1–28	500	520

		5,954


Nevada – 0.8%
Las Vegas Redev Agy, NV, Tax Incr Rev Bonds, Ser 2009A, 8.000%, 6–15–30	500	572
Overton Power Dist No. 5 (NV), Spl Oblig Rev Bonds, Ser 2008:
6.000%, 12–1–16	75	86
6.250%, 12–1–17	270	320
6.500%, 12–1–18	290	355

		1,333


New Hampshire – 0.9%
NH Hlth and Edu Fac Auth, Rev Bonds, Rivermead Issue, Ser 2011A, 6.875%, 7–1–41	150	170
NH Hlth and Edu Fac Auth, FHA Insd Mtg Rev Bonds, LRGHlthcare Issue, Ser 2009 (Insured by FHA), 7.000%, 4–1–38	500	621
NH Hlth and Edu Fac Auth, Hosp Rev Bonds, Catholic Med Ctr Issue, Ser 2002A, 6.125%, 7–1–32	245	248
NH Hsng Fin Auth, Sngl Fam Mtg Acquisition Rev Bonds, Ser 2008, 6.000%, 7–1–38	400	428

		1,467


New Jersey – 5.7%
Casino Reinvestment Dev Auth, Hotel Room Fee Rev Bonds, Ser 2004 (Insured by AMBAC), 5.250%, 1–1–19	640	687
Newark, NJ, Tax Appeal Rfdg Notes, Ser 2012E, 2.000%, 12–11–13	1,477	1,486
NJ Econ Dev Auth, Rev Bonds (Provident Group-Montclair Ppty L.L.C. – Montclair St Univ Student Hsng Proj), Ser 2010A, 5.750%, 6–1–31	850	965
NJ Econ Dev Auth, Sch Fac Constr Bonds, Ser 2005O, 5.125%, 3–1–30	250	266
NJ Econ Dev Auth, Sch Fac Constr Notes, Ser 2012 H, 1.030%, 2–1–17 (A)	2,000	2,005
NJ Econ Dev Auth, Sch Fac Constr Rfdg Bonds, Ser 2011EE, 5.250%, 9–1–24	500	597


NJ Higher Edu Student Assistance Auth, Student Loan Rev Bonds, Ser 2011-1, 5.000%, 12–1–19	500	570
NJ Hlth Care Fac Fin Auth, Rev and Rfdg Bonds, Barnabas Hlth Issue, Ser 2011A, 5.625%, 7–1–37	500	564
NJ Hlth Care Fac Fin Auth, Rev Bonds, Virtua Hlth Issue, Ser 2009A, 5.500%, 7–1–38	500	558
NJ Trans Trust Fund Auth, Trans Sys Bonds, Ser 2006A (Insured by AGM/CR), 5.500%, 12–15–22	500	635
NJ Trans Trust Fund Auth, Trans Sys Bonds, Ser 2003B-2, 5.000%, 12–15–16	500	577
Passaic Vly Sewerage Commissioners (NJ), Sewer Sys Bonds, Ser G, 5.750%, 12–1–21	435	538

		9,448


New Mexico – 0.1%
NM Mtg Fin Auth, Sngl Fam Mtg Prog Class I Bonds, Ser 2006D (Insured by GNMA/FNMA/FHLMC), 6.000%, 1–1–37	60	65
NM Mtg Fin Auth, Sngl Fam Mtg Prog Class I Bonds,Ser 2008D-2 (Insured by GNMA/FNMA/FHLMC), 5.250%, 7–1–30	110	113

		178


New York – 2.1%
NY Enrg Research and Dev Auth, Pollutn Ctl Rev Bonds (Niagara Mohowak Power Corp Proj), Ser 1985 A (Insured by AMBAC), 0.519%, 12–1–23 (A)	1,380	1,333
NYC Indl Dev Agy, Pilot Rev Bonds (Yankee Stadium Proj), Ser 2009A:
0.000%, 3–1–25 (B)	500	332
0.000%, 3–1–26 (B)	500	316
0.000%, 3–1–27 (B)	500	301
Port Auth of NY and NJ, Consolidated Bonds, One Hundred Fifty-Second Ser (Insured by BHAC), 5.750%, 11–1–30	500	587
Suffolk Cnty Indl Dev Agy, Civic Fac Rev Bonds (The Southampton Hosp Assoc Civic Fac), Ser 1999A, 7.250%, 1–1–20	95	95
Suffolk Cnty Indl Dev Agy, Civic Fac Rev Bonds (The Southampton Hosp Assoc Civic Fac), Ser 1999B, 7.625%, 1–1–30	475	476

		3,440


North Carolina – 1.0%
NC Eastn Muni Power Agy, Power Sys Rev Bonds, Ser 2008C, 6.000%, 1–1–19	250	284
NC Med Care Comsn, Hlth Care Fac Rev Rfdg Bonds (Univ Hlth Sys of Eastn Carolina), Ser 2008E-2, 6.000%, 12–1–36	500	542
NC Tpk Auth, Triangle Expressway Sys Rev Bonds, Ser 2009A, 0.000%, 1–1–37 (B)	500	174
Oak Island, NC, Enterprise Sys Rev Bonds, Ser 2009, 6.000%, 6–1–34	500	581

		1,581


Ohio – 0.9%
OH Air Quality Dev Auth, Envirnmt Impvt Rev Bonds (Buckeye Power, Inc. Proj), Ser 2010, 5.750%, 12–1–30	500	572


OH Major New State Infra Proj Rev Bonds, Ser 2008-I,
6.000%, 6–15–17	395	481
Toledo-Lucas Cnty Port Auth, Dev Rev Bonds (NW OH Bond Fund), (Midwest Terminals Proj) Ser 2007C,
6.000%, 11–15–27	435	451

		1,504


Oklahoma – 1.0%
Cleveland Cnty Justice Auth, Sales Tax Rev Bonds (Cleveland Cnty Detention Fac Proj), Ser 2009B,
5.750%, 3–1–29	335	365
Grand River Dam Auth, Rev Bonds, Ser 2008A (Insured by BHAC),
5.000%, 6–1–18	905	1,089
Tulsa Pub Fac Auth, Assembly Ctr Lease Payment Rev Bonds, Rfdg Ser 1985,
6.600%, 7–1–14	125	132

		1,586


Oregon – 0.2%
Hosp Fac Auth of Clackamas Cnty, OR, Rev Bonds (Legacy Hlth Sys), Ser 2009A,
5.500%, 7–15–35	250	276


Pennsylvania – 3.8%
Allegheny Cnty Arpt Auth, Arpt Rev Rfdg Bonds (Pittsburg Intl Arpt), Ser 2010A,
5.000%, 1–1–17	250	283
Cumberland Cnty Muni Auth, Rfdg Rev Bonds (AsburyPA Oblig Group), Ser 2012,
3.000%, 1–1–17	895	891
Dauphin Cnty Gen Auth, Hlth Sys Rev Bonds (Pinnacle Hlth Sys Proj), Ser 2009A,
6.000%, 6–1–36	600	679
Lycoming Cnty Auth, Hlth Sys Rev Bonds (Susquehanna Hlth Sys Proj), Ser 2009A,
5.750%, 7–1–39	500	553
PA Higher Edu Fac Auth, Rev Bonds (Shippensburg Univ Student Svc, Inc. Student Hsng Proj at Shippensburg Univ of PA), Ser 2011,
6.000%, 10–1–26	500	589
PA Tpk Comsn, Tpk Sub Rev Bonds, Ser 2009D,
5.500%, 12–1–41	750	840
PA Tpk Comsn, Tpk Sub Rev Bonds, Ser 2010B-2,
0.000%, 12–1–28 (B)	1,500	1,489
Philadelphia Auth Indl Dev Rev Bonds (Mariana Bracetti Academy Charter Sch Proj), Ser 2011,
7.250%, 12–15–31	400	466
Philadelphia, PA, GO Rfdg Bonds, Ser 2008A (Insured by AGM),
5.250%, 12–15–24	445	502

		6,292


Puerto Rico – 3.9%
Cmnwlth of PR, Pub Impvt Rfdg Bonds (GO Bonds), Ser 2007A,
5.500%, 7–1–21	500	527
Cmnwlth of PR, Pub Impvt Rfdg GO Bonds, Ser 2012A,
5.500%, 7–1–39	1,250	1,244
PR Aqueduct and Sewer Auth, Rev Bonds, Ser A,
6.000%, 7–1–44	700	701
PR Aqueduct and Sewer Auth, Rev Bonds, Ser A (Sr Lien),
6.000%, 7–1–38	500	502
PR Elec Power Auth, Power Rev Bonds, Ser 2010XX,
5.750%, 7–1–36	750	773


PR Elec Power Auth, Power Rev Bonds, Ser ZZ,
5.250%, 7–1–24	1,000	1,032
PR Elec Power Auth, Power Rev Rfdg Bonds, Ser DDD,
5.000%, 7–1–21	1,000	1,038
PR Pub Fin Corp (Cmnwlth Approp Bonds), 2011 Ser B,
5.500%, 8–1–31	250	253
PR Sales Tax Fin Corp, Sales Tax Rev Bonds, First Sub Ser 2010A,
0.000%, 8–1–33 (B)	500	419

		6,489


Rhode Island – 0.5%
RI Student Loan Auth, Student Loan Prog Rev Bonds, Sr Ser 2008A,
5.250%, 12–1–18	600	668
RI Student Loan Auth, Student Loan Prog Rev Bonds, Sr Ser 2009A,
6.250%, 12–1–27	185	213

		881


Tennessee – 0.4%
The Hlth, Edu and Hsng Fac Board of Shelby, TN, Rev Bonds (Methodist Le Bonheur Hlthcare), Ser 2008C,
5.250%, 6–1–18	500	586


Texas – 9.8%
Arlington, TX, Spl Tax Rev Bonds, Ser 2008 (Insured by BHAC),
5.000%, 8–15–18	300	354
Bexar Cnty Hlth Fac Dev Corp, Rev Bonds (Army Ret Residence Fndtn Proj), Ser 2010,
6.200%, 7–1–45	250	280
Board of Regents, TX State Univ Sys, Rev Fin Sys Rev Bonds, Ser 2008,
5.250%, 3–15–19	355	429
Cass Cnty Indl Dev Corp, Envirnmt Impvt Rev Rfdg Bonds, Ser 2009A,
9.250%, 3–1–24	500	657
Clifton Higher Edu Fin Corp, Edu Rev Bonds (IDEA Pub Sch), Ser 2011,
5.750%, 8–15–41	500	553
El Paso, TX (El Paso Cnty), Water and Sewer Rev Rfdg Bonds, Ser 2008C,
5.000%, 3–1–17	500	582
Harris Cnty Cultural Edu Fac Fin Corp, Med Fac Rev Rfdg Bonds (Baylor College of Medicine), Ser 2008D,
5.000%, 11–15–16	200	226
Hopkins Cnty Hosp Dist, Hosp Rev Bonds, Ser 2008,
6.000%, 2–15–33	500	518
Houston Higher Edu Fin Corp, Edu Rev Bonds (Cosmos Fndtn, Inc.), Ser 2011A,
6.500%, 5–15–31	1,000	1,250
Houston, TX Arpt Sys, Sub Lien Rev Rfdg Bonds, Ser 2012A,
5.000%, 7–1–32	500	563
Houston, TX, Combined Util Sys, First Lien Rev Rfdg Bonds (SIFMA Index Floating Rate Bonds), Ser 2012C,
0.700%, 5–15–34 (A)	500	506
Howard Cnty, TX GO Bonds, Ser 2008,
4.650%, 2–15–24	505	542
Lower Colorado River Auth, Rfdg Rev Bonds, Ser 2008A,
5.750%, 5–15–23	500	605
Lufkin Hlth Fac Dev Corp, Rev Rfdg and Impvt Bonds (Mem Hlth Sys of East TX), Ser 2009,
6.250%, 2–15–37	500	550


Mission Econ Dev Corp, Solid Waste Disp Rev Bonds (Dallas Clean Enrg McCommas Bluff, LLC Proj), Ser 2011,
5.625%, 12–1–17	505	543
North TX Twy Auth, Sys Rev Rfdg Bonds, Ser 2008A,
6.000%, 1–1–25	500	589
North TX Twy Auth, Sys Rev Rfdg Bonds, Ser 2008D,
0.000%, 1–1–30 (B)	1,000	487
Prosper, TX (Collin Cnty), Combination Tax and Rev Cert of Oblig, Ser 2008,
5.500%, 2–15–20	500	592
Tarrant Cnty Cultural Edu Fac Fin Corp, Ret Fac Rev Bonds (NW Sr Hsng Corp – Edgemere Proj), Ser 2006A,
6.000%, 11–15–36	500	532
Tarrant Cnty Cultural Edu Fac Fin Corp, Ret Fac Rev Bonds (Buckingham Sr Living Cmnty, Inc. Proj), Ser 2007,
5.625%, 11–15–27	250	262
Trinity River Auth of TX (Tarrant Cnty Water Proj), Impvt Rev Bonds, Ser 2008,
5.750%, 2–1–26	325	388
TX Muni Gas Acquisition and Supply Corp III, Gas Supply Rev Bonds, Ser 2012,
5.000%, 12–15–16	1,000	1,104
TX Private Activity Bond Surface Trans Corp, Sr Lien Rev Bonds (North Tarrant Express Managed Lanes Proj), Ser 2009,
6.875%, 12–31–39	500	599
TX Private Activity Bond Surface Trans Corp, Sr Lien Rev Bonds (LBJ Infra Group LLC IH–635 Managed Lanes Proj), Ser 2010,
7.500%, 6–30–33	750	950
TX Trans Comsn Cent TX Tpk Sys, First Tier Rev Rfdg Bonds, Ser 2012-B,
1.250%, 8-15–42	2,500	2,505

		16,166


Utah – 0.4%
Midvale, UT Muni Bldg Auth Lease Rev Bonds (City Hall Proj), Ser 2012:
2.000%, 10–15–16	195	200
2.000%, 10–15–17	465	475

		675


Vermont – 0.0%
VT Hsng Fin Agy, Sngl Fam Hsng Bonds, Ser 27 (Insured by AGM),
5.500%, 11–1–37	55	58


Virgin Islands – 1.0%
VI Pub Fin Auth, Sub Rev Bonds (VI Matching Fund Loan Note – Cruzan Proj), Ser 2009A,
6.000%, 10–1–39	500	551
VI Pub Fin Auth, Sub Rev Bonds (VI Matching Fund Loan Note – Diageo Proj), Ser 2009A,
5.000%, 10–1–25	1,000	1,098

		1,649


Virginia – 0.9%
Indl Dev Auth of Washington Cnty, VA, Hosp Rev Bonds (Mountain States Hlth Alliance), Ser 2009C,
7.500%, 7–1–29	500	616
VA Hsng Dev Auth, Cmnwlth Mtg Bonds, Ser 2008E,
5.500%, 7–1–20	475	514
VA Pub Bldg Auth, Pub Fac Rev Bonds, Ser 2008B,
5.250%, 8–1–22	250	299

		1,429


Washington – 1.2%
Pub Util Dist No. 1, Pend Oreille Cnty, WA, Box Canyon Production Sys Rev Bonds, Ser 2010,
5.750%, 1–1–41	750		853
WA Hlth Care Fac Auth, Rev Bonds (Swedish Hlth Svc), Ser 2009A,
6.500%, 11–15–14	500		557
WA Hlth Care Fac Auth, Rev Bonds (Virginia Mason Med Ctr), Ser 2007C,
5.500%, 8–15–36	500		531

			1,941


West Virginia – 0.5%
Brooke Cnty, WV, Rev Bonds (Bethany College), Ser 2011A,
6.500%, 10–1–31	300		347
WV Hosp Fin Auth, Hosp Rev Rfdg and Impvt Bonds (WV Utd Hlth Sys Oblig Group), Ser 2009C,
5.500%, 6–1–39	500		553

			900


Wisconsin – 1.1%
Milwaukee Cnty, WI, Arpt Rev Rfdg Bonds, Ser 2010B,
5.000%, 12–1–19	1,000		1,177
WI Hlth and Edu Fac Auth, Rev Bonds (Pro Hlth Care, Inc. Oblig Group), Ser 2009,
6.625%, 2–15–39	500		588

			1,765


Wyoming – 0.5%
Hsng Auth of Cheyenne, Hsng Rev Bonds (Foxcrest II Proj), Ser 2004,
5.750%, 6–1–34	300		303
WY Muni Power Agy, Power Supply Sys Rev Bonds, Ser 2008A,
5.250%, 1–1–23	500		585

			888


TOTAL MUNICIPAL BONDS – 85.8%		$	140,943
(Cost: $127,907)

SHORT-TERM SECURITIES
Master Note – 0.2%
Toyota Motor Credit Corporation,
0.142%, 6–28–13 (D)	317		317


Municipal Obligations – 13.5%
Bartow, GA Dev Auth Pollutn Ctl Rev Bonds (GA Power Co Plant Proj), First Ser 1997,
0.160%, 1–2–13 (D)	2,000		2,000
CA Hlth Fac Fin Auth, Var Rate Hosp Rev Bonds (Adventist Hlth Sys/West), Ser 1998B (GTD by Bank of America, N.A.),
0.070%, 1–2–13 (D)	2,500		2,500
Fremont (Alameda Cnty, CA), Fremont Public Fin Auth (U.S. Bank, N.A.),
0.120%, 1–3–13 (D)	3,950		3,950
Irvine Unif Sch Dist, Cmnty Fac Dist No. 09-1, Adj Rate Spl Tax Bonds, Ser 2012 A (GTD by U.S. Bank,N.A.),
0.070%, 1–2–13 (D)	4,900		4,900
Los Angeles, CA, Wastewater Sys Sub Rev Bonds, Var Rate Rfdg, Ser 2008-A (GTD by Bank of America, N.A.),
0.130%, 1–3–13 (D)	518		518
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2007B (GTD by Chevron Corporation),
0.100%, 1–2–13 (D)	8,288		8,288

			22,156


TOTAL SHORT-TERM SECURITIES – 13.7%	$	22,473
(Cost: $22,473)

TOTAL INVESTMENT SECURITIES – 99.5%	$	163,416
(Cost: $150,380)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.5%		948

NET ASSETS – 100.0%	$	164,364

Notes to Schedule of Investments

(A)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(B)	Zero coupon bond.

(C)	Non-income producing as the issuer has either missed its most recent interest payment or declared bankruptcy.

(D)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Municipal Bonds	$	—	$	138,161	$	2,782
Short-Term Securities		—		22,473		—
Total	$	—	$	160,634	$	2,782

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Municipal Bonds
Beginning Balance 4-1-12	$	175
Net realized gain (loss)		—
Net unrealized appreciation (depreciation)		64
Purchases		2,718
Sales		—
Transfers into Level 3 during the period		—
Transfers out of Level 3 during the period		(175	)
Ending Balance 12-31-12	$	2,782
Net change in unrealized appreciation (depreciation) for all Level 3 investments still held as of 12-31-12	$	64

Transfers from Level 2 to Level 3 occurred generally due to the lack of observable market data due to decreased market activity or information for these securities. As shown above, transfers into Level 3 represent the value at the later of the beginning of the fiscal period or the purchase date of the security. There were no transfers between Levels 1 and 2 during the period ended December 31, 2012.

Quantitative Information about Level 3 fair value measurements:

Fair Value at

12-31-12

Valuation Technique(s)

Unobservable Input(s)

Assets

Municipal Bonds

2,782

Third-party vendor pricing service

Vendor quotes

The following acronyms are used throughout this schedule:

AGM = Assured Guaranty Municipal

AMBAC = American Municipal Bond Assurance Corp.

BHAC = Berkshire Hathaway Assurance Corporation

CR = Custodial Receipts

FGIC = Financial Guaranty Insurance Co.

FHA = Federal Housing Administration

FHLMC = Federal Home Loan Mortgage Corp.

FNMA = Federal National Mortgage Association

GNMA = Government National Mortgage Association

GTD = Guaranteed

NPFGC = National Public Finance Guarantee Corp.

VA = Department of Veterans Affairs

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	150,380
Gross unrealized appreciation		13,814
Gross unrealized depreciation		(778	)
Net unrealized appreciation	$	13,036

SCHEDULE OF INVESTMENTS

Ivy Municipal High Income Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


MUNICIPAL BONDS	Principal		Value

Alabama – 1.1%
AL 21st Century Auth, Tob Stlmt Rev Bonds, Ser 2012-A,
5.000%, 6–1–21	$	1,000	$	1,210
Fairfield, AL GO Warrants, Ser 2012,
6.000%, 6–1–37		8,485		9,087
Indl Dev Board of Selma, AL, Gulf Opp Zone Bonds (Intl Paper Co Proj), Ser 2011A,
5.375%, 12–1–35		5,750		6,342

				16,639


Arizona – 3.1%
AZ Hlth Fac Auth, Rev Bonds (Banner Hlth), Ser 2007B,
1.016%, 1–1–37 (A)		30,000		26,039
Indl Dev Auth of Mohave Cnty, Correctional Fac Contract Rev Bonds (Mohave Prison, LLC Expansion Proj), Ser 2008:
7.500%, 5–1–19		1,825		2,215
8.000%, 5–1–25		7,500		9,241
Indl Dev Auth of Pima, Edu Rev Bonds (Noah Webster Basic Sch Proj), Ser 2004A,
6.125%, 12–15–34		1,315		1,338
Indl Dev Auth of Tempe, AZ, Rev Rfdg Bonds (Friendship Vlg of Tempe), Ser 2012A:
6.000%, 12–1–27		2,390		2,628
6.250%, 12–1–42		2,150		2,336
6.250%, 12–1–46		1,000		1,083
Indl Dev Auth of Tucson, Edu Rev Bonds (Agribusiness and Equine Ctr Proj), Ser 2004A,
6.125%, 9–1–34		500		507
Indl Dev Auth of Yavapai, Edu Rev Bonds (AZ Agribusiness and Equine Ctr, Inc. Proj), Ser 2011,
7.875%, 3–1–42		3,500		4,109

				49,496


Arkansas – 0.0%
Pub Fac Board of Benton Cnty, AR, Charter Sch Lease Rev Bonds (BCCSO Proj), Ser 2010A,
6.000%, 6–1–40		500		571


California – 10.5%
Adelanto Pub Auth, Fixed Rate Rfdg Rev Bonds (Util Sys Proj), Ser 2009A,
6.750%, 7–1–39		4,000		4,410
Anaheim Cmnty Facs Dist No. 08-1 (Platinum Triangle), Spl Tax Bonds, Ser 2010,
6.250%, 9–1–40		5,275		5,442
Arpt Comsn of San Francisco, San Francisco Intl Arpt, Second Ser Rev Rfdg Bonds, Ser 2012A:
5.000%, 5–1–28		2,500		2,968
5.000%, 5–1–29		1,750		2,070
Bay Area Toll Auth, San Francisco Bay Area Toll Bridge Rev Bonds, Ser 2001 A,
0.000%, 4–1–36 (A)		20,000		20,004
CA Muni Fin Auth, Edu Fac Rev Bonds (Literacy First Proj), Ser 2010B,
6.000%, 9–1–30		1,085		1,156
CA Muni Fin Auth, Edu Fac Rev Bonds (American Heritage Edu Fndtn Proj), Ser 2006A,
5.250%, 6–1–36		1,150		1,072


CA Muni Fin Auth, Edu Fac Rev Bonds (King/Chavez Academies Proj), Ser 2009A,
8.750%, 10–1–39	1,505	1,798
CA Muni Fin Auth, Edu Fac Rev Bonds (King/Chavez Academies Proj), Taxable Ser 2009B,
8.000%, 10–1–22	400	463
CA Statewide Cmnty Dev Auth Sr Living Rev Bonds (Southn CA Presbyterian Homes), Ser 2009,
6.625%, 11–15–24	2,490	2,850
CA Statewide Cmnty Dev Auth, Rev Bonds (Thomas Jefferson Sch of Law), Ser 2008 A:
7.250%, 10–1–32	3,400	3,423
7.250%, 10–1–38	5,000	5,033
CA Statewide Cmnty Dev Auth, Sch Fac Rev Bonds (Aspire Pub Sch), Ser 2010:
6.000%, 7–1–40	7,375	7,596
6.350%, 7–1–46	250	261
CA Statewide Cmnty Dev Auth, Sr Living Rev Bonds (Southrn CA Presbyterian Homes), Ser 2009,
7.000%, 11–15–29	2,000	2,299
CA Statewide Cmnty Dev Auth, Sr Living Rev Bonds (Southn CA Presbyterian Homes), Ser 2009,
7.250%, 11–15–41	6,000	6,861
CA Various Purp GO Bonds:
6.000%, 4–1–35	500	596
6.000%, 4–1–38	5,225	6,198
6.000%, 11–1–39	4,445	5,338
Cert of Part, Oro Grande Elem Sch Dist, Ser 2010,
6.125%, 9–15–40	1,500	1,706
Cmnty Redev Agy of Hawthorne, Cmnty Fac Dist No. 1999–1 (Gateway Ctr), 2010 Spl Tax Rfdg Bonds,
6.125%, 10–1–25	2,200	2,280
Golden State Tob Securitization Corp, Tob Stlmt Asset-Bkd Bonds, Ser 2007A-1,
5.125%, 6–1–47	1,000	865
Inland Empire Tob Securitization Auth, Tob Stlmt Asset-Bkd Bonds (Inland Empire Tob Securitization Corp), Ser 2007,
4.625%, 6–1–21	4,880	4,601
Lompoc Redev Agy (Santa Barbara Cnty, CA), Old Town Lompoc Redev Proj, Tax Alloc Bonds, Ser 2010:
5.750%, 9–1–29	225	243
5.750%, 9–1–31	365	393
6.000%, 9–1–39	1,000	1,080
Palomar Pomerado Hlth, San Diego Cnty, CA, Cert of Part:
6.750%, 11–1–39	4,935	5,580
6.000%, 11–1–41	3,000	3,238
Redev Agy for Riverside, Interstate 215 Corridor Redev Proj Area, 2010 Tax Alloc Bonds, Ser E,
6.500%, 10–1–40	2,705	3,042
Redev Agy of Hollister, Cmnty Dev Proj Tax Alloc Bonds (Cnty of San Benito, CA), Ser 2009:
6.750%, 10–1–29	75	87
7.000%, 10–1–32	510	600
Redev Agy of San Buenaventura, Merged San Buenaventura Redev Proj, 2008 Tax Alloc Bonds,
8.000%, 8–1–38	100	115


San Buenaventura Rev Bonds (Cmnty Mem Hlth Sys), Ser 2011:
7.000%, 12–1–26	5,000	6,107
8.000%, 12–1–26	1,400	1,819
8.000%, 12–1–31	9,400	12,050
7.500%, 12–1–41	5,700	7,034
San Diego Cnty Rgnl Arpt Auth, Sub Arpt Rev Bonds, Ser 2010A,
5.000%, 7–1–21	2,000	2,425
San Jose, CA Arpt Rev Bonds, Ser 2011A–1,
5.250%, 3–1–34	2,500	2,817
San Mateo Cmnty Fac Dist No. 2008–1 (Bay Meadows), Spl Tax Bonds, Ser 2012,
6.000%, 9–1–42	8,000	8,767
Southn CA Pub Power Auth, Gas Proj Rev Bonds (Proj No. 1), Ser 2007A,
1.680%, 11–1–38 (A)	7,000	5,398
State Pub Works Board of CA, Lease Rev Bonds (Var Cap Proj), 2012 Ser G,
5.000%, 11–1–37	8,000	8,805
Tob Securitization Auth of Southn CA, Tob Stlmt Asset–Bkd Bonds (San Diego Cnty Tob Asset Securitization Corp.), Ser 2006A,
4.750%, 6–1–25	7,630	7,644

		166,534


Colorado – 3.7%
Arkansas River Power Auth, CO, Power Rev Impvt Bonds, Ser 2008,
6.000%, 10–1–40	9,005	9,558
Arkansas River Power Auth, CO, Power Rev Impvt Bonds, Ser 2010,
6.125%, 10–1–40	5,000	5,433
Church Ranch Metro Dist, Westminster, CO, GO Ltd Tax Bonds, Ser 2003,
6.000%, 12–1–33	1,160	1,094
CO Edu and Cultural Fac Auth, Charter Sch Rev Bonds (The Classical Academy Proj), Ser 2008A,
7.400%, 12–1–38	85	101
CO Edu and Cultural Fac Auth, Charter Sch Rev Bonds (Twin Peaks Charter Academy Proj), Ser 2008,
7.000%, 11–15–38	230	267
CO Edu and Cultural Fac Auth, Independent Sch Rev Rfdg Bonds (Vail Mountain Sch Proj), Ser 2010,
6.125%, 5–1–40	1,000	1,082
CO Hlth Fac Auth Rev Bonds (CO Sr Residences Proj), Ser 2012:
6.750%, 6–1–32	2,610	2,796
7.125%, 6–1–47	3,000	3,253
CO Hlth Fac Auth, Rev Bonds (Christian Living Cmnty – Clermont Park Proj), Ser 2006A,
5.750%, 1–1–37	1,460	1,513
CO Hlth Fac Auth, Rev Bonds (Christian Living Cmnty – Clermont Park Proj), Ser 2009A:
7.250%, 1–1–14	100	108
9.000%, 1–1–14	30	33
CO Hlth Fac Auth, Rev Bonds (Total Longterm Care Natl Oblig Group Proj), Ser 2010A,
6.250%, 11–15–40	1,250	1,404
Denver Hlth and Hosp Auth, Hlthcare Rev Bonds, Ser 2009A,
6.250%, 12–1–33	740	844
Kremmling Mem Hosp Dist Proj, Ser 2010,
7.125%, 12–1–45	4,345	4,853
Lincoln Park Metro Dist, Douglas Cnty, CO, GO Rfdg and Impvt Bonds, Ser 2008,
6.200%, 12–1–37	3,500	3,731
North Range Metro Dist No. 2, Adams Cnty, CO, Ltd Tax GO Bonds, Ser 2007,
5.500%, 12–15–27	4,660	4,688


Rgnl Trans Dist, Private Activity Bonds (Denver Transit Partn Eagle P3 Proj), Ser 2010:
6.500%, 1–15–30	3,000	3,653
6.000%, 1–15–41	2,990	3,489
Sorrel Ranch Metro Dist, Arapahoe Cnty, CO, GO Ltd Tax Bonds, Ser 2006,
5.750%, 12–1–36	4,269	4,295
Tallgrass Metro Dist, Arapahoe Cnty, CO, GO Ltd Tax Rfdg and Impvt Bonds, Ser 2007,
5.250%, 12–1–37	3,774	3,697
Tallyn’s Reach Metro Dist No. 3 (Aurora, CO), GO Bonds, Ser 2004,
6.625%, 12–1–13	500	529
Wildgrass Metro Dist, Broomfield Cnty, CO, GO Ltd Tax Rfdg Bonds, Ser 2007,
6.200%, 12–1–34	2,524	2,586

		59,007


Connecticut – 0.7%
CT GO Bonds, Series D:
0.870%, 9–15–18 (A)	2,000	2,009
1.020%, 9–15–19 (A)	2,000	2,011
Eastn CT Res Recovery Auth, Solid Waste Rev Bonds (Wheelabrator Lisbon Proj), Ser 1993A,
5.500%, 1–1–14	75	75
Harbor Point Infra Impvt Dist (Harbor Point Proj), Spl Oblig Rev Bonds, Ser 2010A,
7.875%, 4–1–39	2,000	2,286
Stamford, CT Spl Oblig Rev Bonds (Mill River Corridor Proj), Ser 2011A,
7.000%, 4–1–41	5,000	5,358

		11,739


Delaware – 0.8%
DE Econ Dev Auth, Exempt Fac Rev Bonds (Indian River Power LLC Proj), Ser 2010,
5.375%, 10–1–45	7,000	7,577
Sussex Cnty, DE, Recovery Zone Fac Bonds (Indian River Power LLC Proj), Ser 2010,
6.000%, 10–1–40	4,500	5,081

		12,658


District Of Columbia – 0.1%
Metro WA Arpts Auth, Dulles Toll Road, Second Sr Lien Rev Bonds, Ser 2010B,
0.000%, 10–1–44 (B)	1,000	881


Florida – 4.5%
Brevard Cnty, FL, Indl Dev Rev Bonds (TUFF FL Tech Proj), Ser 2009:
6.500%, 11–1–29	710	789
6.750%, 11–1–39	1,490	1,665
Cap Trust Agy, Rev Bonds (Million Air One LLC Gen Aviation Fac Proj), Ser 2011,
7.750%, 1–1–41	5,685	6,422
Citizens Ppty Ins Corp, Sr Secured Bonds, Ser 2012A–1,
1.350%, 6–1–15 (A)	20,000	20,145
FL Dev Fin Corp, Edu Fac Rev Bonds (Renaissance Charter Sch, Inc. Proj), Ser 2010A:
6.000%, 9–15–30	5,000	5,507
6.000%, 9–15–40	2,000	2,172
FL Dev Fin Corp, Edu Fac Rev Bonds (Renaissance Charter Sch, Inc. Proj), Ser 2012A,
6.125%, 6–15–43	5,500	5,429
FL Dev Fin Corp, Taxable Edu Fac Rev Bonds (Renaissance Charter Sch, Inc. Proj), Ser 2012B,
7.500%, 6–15–18	1,800	1,792
FL Hurricane Catastrophe Fund Fin Corp, Rev Bonds, Ser 2010A,
5.000%, 7–1–15	1,000	1,104


Hillsborough Cnty Indl Dev Auth, Indl Dev Rev Bonds, Hlth Fac Proj (Univ Cmnty Hosp), Ser 2008B,
8.000%, 8–15–32	350	497
Lee Cnty Indl Dev Auth, Hlthcare Fac Rfdg Rev Bonds (Cypress Cove at HealthPark FL, Inc. Proj), Ser2012,
6.500%, 10–1–47	6,000	6,382
Miami–Dade Cnty, FL, Aviation Rev Bonds, Ser 2010B,
5.000%, 10–1–25	1,000	1,168
Mid–Bay Bridge Auth, Springing Lien Rev Bonds, Ser 2011A:
7.250%, 10–1–34	5,200	6,698
7.250%, 10–1–40	4,800	6,144
St. Johns Cnty Indl Dev Auth, Rev Bonds (Presbyterian Ret Cmnty Proj), Ser 2010A,
6.000%, 8–1–45	4,220	4,751

		70,665


Georgia – 0.8%
DeKalb Cnty, GA, Hosp Auth, Rev Anticipation Cert (DeKalb Med Ctr, Inc. Proj), Ser 2010,
6.125%, 9–1–40	2,500	2,935
Dev Auth of Alpharetta, GA, Edu Fac Rev Bonds (Fulton Science Academy Proj), Ser 2011A,
6.500%, 7–1–41	3,400	1,938
Dev Auth of Clayton Cnty, GA, Spl Fac Rev Bonds (Delta Air Lines, Inc. Proj), Ser 2009A,
8.750%, 6–1–29	4,700	5,921
Savannah Econ Dev Auth, First Mtg Rev Bonds (The Marshes of Skidaway Island Proj), Ser 2003A:
7.400%, 1–1–24	250	258
7.400%, 1–1–34	815	836

		11,888


Guam – 0.8%
Cert of Part (JFK High Sch Proj), Dept of Edu, GU,
6.625%, 12–1–30	1,400	1,535
Cert of Part (JFK High Sch Proj), Dept of Edu, GU, Ser 2010A,
6.875%, 12–1–40	3,500	3,864
Govt of GU, GO Bonds, Ser 2009A:
5.750%, 11–15–14	65	68
7.000%, 11–15–39	7,000	7,898

		13,365


Hawaii – 0.6%
Dept of Budget and Fin of HI, Spl Purp Sr Living Rev Bonds (15 Craigside Proj), Ser 2009A:
8.750%, 11–15–29	1,450	1,751
9.000%, 11–15–44	4,200	5,074
Kaua’I Cmnty Fac Dist No. 2008–1 (Kukul’ula Dev Proj), Spl Tax Rev Bonds, Ser 2012,
5.750%, 5–15–42	2,000	2,079

		8,904


Idaho – 0.1%
ID Hsng and Fin Assoc (Compass Pub Charter Sch, Inc. Proj), Ser 2010A:
6.250%, 7–1–40	1,000	1,078
6.250%, 7–1–45	550	589

		1,667


Illinois – 8.7%
Belleville, IL, Tax Incr Rfdg Rev Bonds (Frank Scott Pkwy Redev Proj), Ser 2007A:
5.000%, 5–1–26	1,275	1,259
5.700%, 5–1–36	4,160	4,191
Cert of Part, Metra Market of Chicago, L.L.C. Redev Proj, Ser A,
6.870%, 2–15–24	1,500	1,581


Chicago Midway Arpt, Second Lien Rev Bonds, Ser 2010B,
5.000%, 1–1–34	1,500	1,605
Chicago O’Hare Intl Arpt, Gen Arpt Third Lien Rev Bonds, Ser 2011A,
5.750%, 1–1–39	1,000	1,179
Chicago Recovery Zone Fac Rev Bonds (Asphalt Operating Svc of Chicago Proj), Ser 2010,
6.125%, 12–1–18	2,500	2,677
Cook Cnty, IL Recovery Zone Fac Rev Bonds (Navistar Intl Corp Proj), Ser 2010,
6.500%, 10–15–40	11,000	11,681
Fairview Heights, IL, Tax Incr Rfdg Rev Bonds (Shoppes at St. Clair Square Redev Proj), Ser 2009A,
8.000%, 12–1–28	405	439
IL Fin Auth, Rev Bonds (Greenfields of Geneva Proj), Ser 2010C–3,
6.250%, 2–15–16	1,995	1,996
IL Fin Auth Rev Bonds (Lutheran Home and Svs Oblig Group), Ser 2012,
5.625%, 5–15–42	4,500	4,592
IL Fin Auth, Rev Bonds (Navistar Intl Corp Proj), Ser 2010,
6.500%, 10–15–40	9,000	9,557
IL Fin Auth, Rev and Rfdg Bonds (Roosevelt Univ Proj), Ser 2009,
6.500%, 4–1–44	10,000	11,370
IL Fin Auth, Rev Bonds (Admiral at the Lake Proj), Ser 2010A,
8.000%, 5–15–40	15,000	17,920
IL Fin Auth, Rev Bonds (Admiral at the Lake Proj),Ser 2010A,
8.000%, 5–15–46	5,000	5,973
IL Fin Auth, Rev Bonds (Admiral at the Lake Proj), Ser 2010D–3,
6.000%, 5–15–17	3,625	3,629
IL Fin Auth, Rev Bonds (Silver Cross Hosp and Med Ctrs), Ser 2009,
7.000%, 8–15–44	11,985	14,317
IL Fin Auth, Rev Bonds (Three Crowns Park Proj), Ser 2006A:
5.875%, 2–15–26	1,000	1,040
5.875%, 2–15–38	2,450	2,521
Springfield, Sangamon Cnty, IL, Spl Svc Area (Legacy Pointe), Tax Bonds, Ser 2009,
7.875%, 3–1–32	500	540
Springfield, Sangamon Cnty, IL, Spl Svc Area (Legacy Pointe), Tax Bonds, Ser 2010,
7.500%, 3–1–32	1,500	1,600
SW IL Dev Auth, Local Govt Prog Rev Bonds (City of Belleville–Carlyle/Green Mount Redev Proj), Ser 2011A,
7.000%, 7–1–41	6,000	6,332
SW IL Dev Auth, Local Govt Prog Rev Bonds (Granite City Proj), Ser 2008,
7.000%, 12–1–18	1,805	2,302
SW IL Dev Auth, Local Govt Prog Rev Bonds (Granite City Proj), Ser 2009,
8.000%, 1–15–22	575	626
SW IL Dev Auth, Local Govt Prog Rev Rfdg Bonds (Granite City Proj), Ser 2012,
5.250%, 3–1–23	6,000	6,142
Upper IL River Vly Dev Auth (Pleasant View Luther Home Proj), Rev Bonds, Ser 2010:
7.250%, 11–15–40	1,100	1,194
7.375%, 11–15–45	1,500	1,636
Upper IL River Vly Dev Auth Multi–Fam Hsng Rev Bonds (Deer Park of Huntley Proj), Ser 2012,
6.500%, 12–1–32	4,935	5,054
Vlg of East Dundee, Kane and Cook Cnty, IL, Ltd Oblig Tax Incr Rev Bonds (Route 25 South Redev Proj), Ser 2012,
5.625%, 12–1–31	1,525	1,518


Vlg of Matteson, Cook Cnty, IL, GO Cap Apprec Debt Cert, Ser 2010, 0.000%, 12–1–29(B)	1,840	1,442
Vlg of Riverdale, Cook Cnty, IL, Unlimited Tax GO Bonds, Ser 2011, 8.000%, 10–1–36	10,255	11,471

		137,384


Indiana – 2.4%
City of Carmel, IN, Rev Bonds, Ser 2012A:
7.000%, 11–15–27	1,550	1,725
7.000%, 11–15–32	2,000	2,160
7.125%, 11–15–42	7,500	8,098
Hammond IN, Redev Dist Rev Bonds (Marina Area Proj), Ser 2008, 6.000%, 1–15–17	10	10
Hendricks Cnty Redev Dist, Tax Incr Rev Rfdg Bonds, Ser 2010B, 6.450%, 1–1–23	220	232
IN Fin Auth, Rev Bonds (Irvington Cmnty Sch Proj), Ser 2009A, 9.000%, 7–1–39	1,075	1,321
IN Fin Auth, Midwestrn Disaster Relief Rev Bonds (OH Vly Elec Corp Proj), Ser 2012A, 5.000%, 6–1–39	7,000	7,244
Lake Station 2008 Bldg Corp, Lake Station, IN, First Mtg Bonds, Ser 2010, 6.000%, 7–15–27	3,170	3,638
Rockport, IN, Pollutn Ctrl Rev Rfdg Bonds (IN MI Power Co Proj), Ser 2009A, 6.250%, 6–1–25	1,000	1,065
Terre Haute, IN Rev Bonds (Westminister Vlg Proj), Ser 2012, 6.000%, 8–1–39	4,000	4,040
Whitestown, IN, Econ Dev Tax Incr Rev Bonds (Perry Indl Park and Whitestown Crossing Proj), Ser 2010A, 7.000%, 2–1–30	1,880	2,072
Whiting, IN, Redev Dist Tax Incr Rev Bonds (Standard Avenue Proj), Ser 2006, 5.350%, 1–15–27	4,005	4,047
Whiting, IN, Redev Dist Tax Incr Rev Bonds (Lakefront Dev Proj), Ser 2010, 6.750%, 1–15–32	1,400	1,515

		37,167


Iowa – 0.2%
IA Fin Auth, Ret Cmnty Rev Bonds (Edgewater LLC Proj), Ser 2007A,
6.750%, 11–15–37	3,000	3,184


Kansas – 0.8%
Arkansas City, KS Pub Bldg Comsn, Rev Bonds (South Cent KS Rgnl Med Ctr), Ser 2009,
7.000%, 9–1–38	500	607
Atchison, KS, Hosp Rev Bonds (Atchison Hosp Assoc), Ser 2009,
6.000%, 9–1–30(A)	1,000	1,021
Lawrence, KS (The Bowersock Mills & Power Co Hydroelec Proj) Indl Rev Bonds (Recovery Zone Fac Bonds), Ser 2010A,
7.625%, 8–1–37	4,000	4,144
Olathe, KS, Spl Oblig Tax Incr Rev Bonds (West Vlg Ctr Proj), Ser 2007:
5.450%, 9–1–22	500	352
5.500%, 9–1–26	500	326
Olathe, KS, Sr Living Fac Rev Bonds (Catholic Care Campus, Inc.), Ser 2006A,
6.000%, 11–15–38	5,000	5,145
Unif Govt of Wyandotte Cnty/Kansas City, KS, Sales Tax Spl Oblig (Redev Proj Area B – Major Multi-Sport Athletic Complex Proj), Ser 2010B,
0.000%, 6–1–21(B)	1,050	684

		12,279



Kentucky – 1.5%
KY Econ Dev Fin Auth, Hosp Rev Bonds, Ser 2010A:
6.375%, 6–1–40	12,000	14,232
6.500%, 3–1–45	6,000	7,147
Murray, KY, Hosp Fac Rev Bonds (Murray-Calloway Cnty Pub Hosp Corp Proj), Ser 2010,
6.375%, 8–1–40	2,000	2,249

		23,628


Louisiana – 0.6%
LA Local Govt Envirnmt, Fac and Comm Dev Auth, Rev Bonds (Westlake Chemical Corp Projs) (Ike Zone), Ser 2010A-2,
6.500%, 11–1–35	7,475	8,720
New Orleans Aviation Board, Gulf Opp Zone CFC Rev Bonds (Consolidated Rental Car Proj), Ser 2009A,
6.500%, 1–1–40	745	841

		9,561


Maine – 0.0%
Portland, ME, Gen Arpt Rev Bonds, Ser 2010,
5.000%, 1–1–30	500	564


Maryland – 0.3%
MD Econ Dev Corp, Econ Dev Rev Bonds (Terminal Proj), Ser B,
5.750%, 6–1–35	500	570
MD Econ Dev Corp, Port Fac Rfdg Rev Bonds (CNX Marine Terminals Inc. Port of Baltimore Fac), Ser 2010,
5.750%, 9–1–25	4,350	4,851

		5,421


Massachusetts – 1.8%
MA Dev Fin Agy, Sr Living Fac Rev Bonds (The Groves in Lincoln Issue), Ser 2009A,
7.875%, 6–1–44	200	94
MA Dev Fin Agy, Sr Living Fac Rev Bonds (The Groves in Lincoln Issue), Ser 2009C-2,
6.250%, 6–1–14	55	28
MA GO Bonds Consolidated Loan of 2000 (Auction Rate Sec), Ser 2000F, (Insured by FGIC),
0.210%, 12–1–30 (A)	10,000	8,700
MA Port Auth, Spl Fac Rev Bonds (Delta Air Lines,Inc., Proj), Ser 2001B (Auction Rate Sec) (Insured By AMBAC),
0.424%, 1–1–31 (A)	25,000	19,125

		27,947


Michigan – 6.0%
Detroit, MI Sewage Disp Sys, Sr Lien Rev Rfdg Bonds (Modal Fixed Rate), Ser 2001(C-1),
7.000%, 7–1–27	6,000	7,434
Detroit, MI Sewage Disp Sys, Sr Lien Rev Rfdg Bonds (Modal Fixed Rate), Ser 2003 (B),
7.500%, 7–1–33	5,500	6,887
Detroit, MI Water and Sewage Dept, Sewage Disp Sys Rev and Rev Rfdg Sr Lien Bonds, Ser 2012 A,
5.250%, 7–1–39	5,000	5,406
Detroit, MI, GO Bonds, Ser 2004-A(1) (Insured by AMBAC),
5.250%, 4–1–23	1,420	1,219
Econ Dev Corp of Oakland Cnty, Ltd Oblig Rev Rfdg Bonds (The Roman Catholic Archdiocese of Detroit), Ser 2011,
6.500%, 12–1–20	6,425	6,548


Flint Hosp Bldg Auth, Bldg Auth Rev Rental Bonds (Hurley Med Ctr), Ser 2010:
7.375%, 7–1–35	1,600	1,879
7.500%, 7–1–39	2,500	2,945
Flint Hosp Bldg Auth, Rev Rfdg Bonds (Hurley Med Ctr), Ser 2003,
6.000%, 7–1–20	4,115	4,166
Kent Hosp Fin Auth Rev Bonds (Metro Hosp Proj), Ser 2005A:
6.000%, 7–1–35	2,785	2,895
6.250%, 7–1–40	15,500	16,131
MI Fin Auth, Pub Sch Academy Ltd Oblig Rev and Rev Rfdg Bonds (MI Technical Academy Proj), Ser 2012:
7.100%, 10–1–31	1,000	1,060
7.450%, 10–1–41	2,000	2,123
MI Fin Auth, Pub Sch Academy Ltd Oblig Rev Bonds (Hanley Intl Academy, Inc. Proj), Ser 2010A,
6.125%, 9–1–40	4,535	4,690
MI Fin Auth, Rev Bonds (Sch Dist of Detroit), Ser 2012,
5.000%, 6–1–20	1,425	1,647
MI Fin Auth, Sr Edu Fac Rev Bonds (St. Catherine of Siena Academy Proj), Ser 2010A,
8.500%, 10–1–45	13,000	14,819
MI Fin Auth, State Aid Rev Notes (Sch Dist of Detroit), Ser 2001A-1,
8.000%, 10–1–30	2,480	2,784
MI Tob Stlmt Fin Auth, Tob Stlmt Asset-Backed Bonds, Ser 2008A,
6.875%, 6–1–42	5,000	5,185
Royal Oak Hosp Fin Auth, Hosp Rev and Rfdg Bonds (William Beaumont Hosp Oblig Group), Ser 2009V:
8.000%, 9–1–29	55	70
8.250%, 9–1–39	4,750	6,082
Royal Oak Hosp Fin Auth, Hosp Rev and Rfdg Bonds (William Beaumont Hosp Oblig Group), Ser 2009W,
6.000%, 8–1–39	150	171

		94,141


Minnesota – 0.3%
Minneapolis Hlth Care Sys Rev Bonds (Fairview Hlth Svc), Ser 2008B,
6.500%, 11–15–38	4,350	5,317


Missouri – 4.2%
Arnold, MO, Real Ppty Tax Incr Rev Bonds (Arnold Triangle Redev Proj), Ser 2009A,
7.750%, 5–1–28	575	641
Belton, MO Tax Incr Rev Bonds (Belton Marketplace Redev Proj), Ser 2012,
6.375%, 12–1–29	2,115	2,143
Belton, MO, Tax Incr Rev Bonds (Belton Town Centre Proj), Ser 2004:
6.000%, 3–1–19	2,610	2,640
6.250%, 3–1–24	1,100	1,107
Belton, MO, Tax Incr Rev Bonds (Belton Town Centre Proj), Ser 2006,
5.625%, 3–1–25	520	513
Broadway-Fairview Trans Dev Dist (Columbia, MO), Trans Sales Tax Rev Bonds, Ser 2006A,
6.125%, 12–1–36	200	167
Grindstone Plaza Trans Dev Dist (Columbia, MO), Trans Sales Tax Rev Bonds, Ser 2006A:
5.250%, 10–1–21	250	221
5.400%, 10–1–26	385	320
5.500%, 10–1–31	425	335
5.550%, 10–1–36	325	244
Hanley/Eager Road Trans Dev Dist, Rfdg Rev Bonds, Ser 2012A,
6.000%, 3–1–42	1,500	1,536


Hlth and Edu Fac Auth of MO, Edu Fac Rfdg Rev Bonds, Rockhurst Univ, Ser 2011A:
6.500%, 10–1–30	1,000	1,160
6.500%, 10–1–35	1,000	1,145
Indl Dev Auth of Kansas City, MO, Sales Tax Rev Bonds (Ward Prkwy Ctr Cmnty Impvt Dist Proj), Ser 2011,
6.750%, 10–1–41	2,400	2,519
Indl Dev Auth of Kirkwood, MO, Ret Cmnty Rev Bonds (Aberdeen Heights Proj), Ser 2010A,
8.250%, 5–15–45	1,000	1,198
Jennings, MO, Tax Incr and Cmnty Impvt Rfdg Rev Bonds (Northland Redev Area Proj), Ser 2006,
5.000%, 11–1–23	2,360	2,368
Lakeside 370 Levee Dist (St. Charles Cnty, MO), Levee Dist Impvt Bonds, Ser 2008:
6.000%, 4–1–18 (C)	1,170	879
7.000%, 4–1–28 (C)	535	379
Land Clearance for Redev Auth of St. Louis, Recovery Zone Fac Bonds (Kiel Opera House Proj), Ser 2010B,
7.000%, 9–1–35	1,000	1,044
Lee’s Summit, MO, Tax Incr Rev Bonds (Summit Fair Proj) Ser 2011,
7.250%, 4–1–30	5,000	5,270
Liberty, MO, Tax Incr Rev Bonds (Liberty Triangle Proj), Ser 2007,
5.500%, 10–1–22	205	208
Manchester, MO, Tax Increment and Trans Rfdg Rev Bonds (Hwy 141/Manchester Road Proj), Ser 2010,
6.875%, 11–1–39	5,090	5,508
Meadows Trans Dev Dist (Lake Saint Louis, MO), Ser 2010,
5.400%, 5–1–35	1,310	1,418
MO Dev Fin Board, Research Fac Rev Bonds (Midwest Research Institute Proj), Ser 2007,
4.500%, 11–1–27	225	233
St. Louis Cnty, MO, Rev Notes (Lambert Arpt Eastn Perimeter Redev Proj-RPA1), Sr Ser B,
9.000%, 11–1–31	8,975	9,451
St. Louis Muni Fin Corp, Compound Int Leasehold Rev Bonds (Convention Ctr Cap Impvt Proj), Ser 2010A (Insured by AGM):
0.000%, 7–15–36 (B)	750	241
0.000%, 7–15–37 (B)	1,500	456
Tax Incr Fin Comsn of Kansas City, MO, Tax Incr Rev Bonds (Brywood Ctr Proj), Ser 2010A,
8.000%, 4–1–33 (C)	3,950	3,377
The Elm Point Commons Cmnty Impvt Dist (St. Charles, MO), Spl Assmt Bonds, Ser 2007,
5.750%, 3–1–27	105	104
The Indl Dev Auth of Bridgeton, MO, Sales Tax Rev Bonds (Hilltop Cmnty Impvt Dist Proj), Ser 2008A,
5.875%, 11–1–35	250	209
The Indl Dev Auth of Kansas City, MO, Hlth Care Fac First Mtg Rev Bonds (The Bishop Spencer Place Proj), Ser 1994:
6.250%, 1–1–24	1,425	1,460
6.500%, 1–1–35	7,000	7,151
The Indl Dev Auth of Lee’s Summit, MO, Infra Fac Rev Bonds (Kensington Farms Impvt Proj), Ser 2007,
5.750%, 3–1–29	1,000	963
The Indl Dev Auth of Moberly, MO, Annual Appropriation Recovery Zone Fac Bonds (Proj Sugar), Ser 2010-C,
6.000%, 9–1–24 (C)	2,000	120


The Indl Dev Auth of Platte Cnty, MO, Trans Rev Bonds (Zona Rosa Phase II Retail Proj), Ser 2007, 6.850%, 4–1–29	220	234
The Indl Dev Auth of St. Joseph, MO, Hlthcare Rev Bonds (Living Cmnty of St. Joseph Proj), Ser 2002, 7.000%, 8–15–32	7,000	7,097
The Indl Dev Auth of St. Louis, MO, Tax Incr and Cmnty Impvt Dist Rfdg Rev Bonds (Loughborough Commons Redev Proj), Ser 2007, 5.750%, 11–1–27	940	953
Univ Place Trans Dev Dist (St. Louis Cnty, MO), Sub Trans Sales Tax and Spl Assmt Rev Bonds, Ser 2009, 7.500%, 4–1–32	1,150	1,239

		66,251


Nebraska – 1.2%
Cent Plains Enrg Proj, Gas Proj Rev Bonds (Proj No. 3), Ser 2012:
5.250%, 9–1–37	14,000	15,189
5.000%, 9–1–42	3,000	3,183

		18,372


Nevada – 0.3%
Las Vegas Redev Agy, NV, Tax Incr Rev Bonds, Ser 2009A:
6.000%, 6–15–15	2,100	2,236
8.000%, 6–15–30	1,500	1,715
Overton Power Dist No. 5 (NV), Spl Oblig Rev Bonds, Ser 2008, 8.000%, 12–1–38	265	331

		4,282


New Hampshire – 0.3%
NH Hlth and Edu Fac Auth, Rev Bonds, Rivermead Issue, Ser 2011A, 6.875%, 7–1–41	2,300	2,611
Strafford Cnty, NH, GO Rev Anticipation Notes, 2012, 5.000%, 2–19–13	2,700	2,713

		5,324


New Jersey – 1.0%
Newark NJ, Tax Anticipation Notes, Ser 2012A, 2.400%, 2–20–13	4,735	4,737
NJ Econ Dev Auth, Cigarette Tax Rev Rfdg Bonds, Ser 2012:
5.000%, 6–15–26	1,000	1,139
5.000%, 6–15–28	1,000	1,133
5.000%, 6–15–29	500	564
NJ Econ Dev Auth, Spl Fac Rev Bonds (Continental Airlines, Inc. Proj), Ser 1999, 5.250%, 9–15–29	5,000	5,021
NJ Econ Dev Auth, Spl Fac Rev Bonds (Continental Airlines, Inc. Proj), Ser 2000, 7.000%, 11–15–30	2,000	2,008
NJ Edu Fac Auth, Rev Rfdg Bonds, Univ of Medicine and Dentistry of NJ Issue, Ser 2009B:
7.125%, 12–1–23	850	1,091
7.500%, 12–1–32	450	566

		16,259


New York – 5.7%
Battery Park City Auth, Jr Rev Bonds (Auction Rate Sec) Ser 2003C-2 (Insured by AMBAC), 0.422%, 11–1–31 (A)	9,675	8,901
Battery Park City Auth, Jr Rev Bonds (Auction Rate Sec) Ser 2003C-4 (Insured by AMBAC), 0.416%, 11–1–31 (A)	11,700	10,764


Cnty of Rockland, NY, GO Rev Anticipation Notes, Ser 2012 B, 3.750%, 6–28–13	4,000	4,019
Dormitory Auth, Sch Dist Rev Bond Fin Prog, Ser 2010A (Insured by AGM), 5.000%, 10–1–22	1,000	1,178
Hudson Yards Infra Corp, Hudson Yards Sr Rev Bonds, Ser 2012A, 5.750%, 2–15–47	5,000	5,942
Nassau Cnty Indl Dev Agy, Continuing Care Ret Cmnty Rev Bonds (Amsterdam at Harborside Proj), Ser 2007A:
6.500%, 1–1–27	6,750	4,468
6.700%, 1–1–43	13,000	8,452
NY Enrg Research and Dev Auth, Fac Rev Bonds (Consolidated Edison Co of NY, Inc. Proj) Ser 2004B (Insured by SGI), 0.228%, 5–1–32 (A)	4,525	3,733
NY Enrg Research and Dev Auth, Fac Rev Bonds (Consolidated Edison Co of NY, Inc. Proj), Sub Ser 2004B-2 (Insured by SGI), 0.280%, 10–1–35 (A)	7,150	5,792
NY Enrg Research and Dev Auth, Pollutn Ctl Rev Bonds (Niagara Mohawk Power Corp Proj), Ser B (Insured by AMBAC), 0.522%, 12–1–25 (A)	18,180	16,997
NYC Indl Dev Agy, Spl Fac Rev Bonds (American Airlines, Inc. JFK Intl Arpt Proj), Ser 2005:
7.500%, 8–1–16 (C)	3,825	4,055
7.750%, 8–1–31 (C)	5,295	5,913
Rockland, NY, Rev Anticipation Notes, Ser 2012C, 2.500%, 9–24–13	6,570	6,595
Suffolk Cnty Indl Dev Agy, Civic Fac Rev Bonds (The Southampton Hosp Assoc Civic Fac), Ser 1999A:
7.250%, 1–1–20	310	310
7.250%, 1–1–30	1,940	1,942
Suffolk Cnty Indl Dev Agy, Civic Fac Rev Bonds (The Southampton Hosp Assoc Civic Fac), Ser 1999B, 7.625%, 1–1–30	700	701

		89,762


North Carolina – 1.4%
NC Med Care Comsn, Ret Fac First Mtg Rev Bonds (Galloway Ridge Proj), Ser 2010A, 6.000%, 1–1–39	1,520	1,617
Wake Cnty Indl Fac and Pollutn Ctl Fin Auth, Pollutn Ctl Rev Rfdg Bonds (Carolina Power & Light Co Proj), Ser 1994A (Insured by AMBAC), 0.228%, 5–1–24 (A)	23,800	20,885

		22,502


Ohio – 2.2%
Cleveland-Cuyahoga Cnty Port Auth, Dev Rev Bonds (Garfield Heights Proj), Ser 2004D, 5.250%, 5–15–23	1,230	1,231
Cleveland-Cuyahoga Cnty Port Auth, Dev Rev Bonds (Flats East Dev Proj), Ser 2010B, 7.000%, 5–15–40	2,600	2,947
Columbus-Franklin Cnty Fin Auth, Dev Rev Bonds (Cent OH Rgnl Bond Fund), (One Neighborhood Proj), Ser 2010A, 6.500%, 11–15–39	1,225	1,264
Greene Cnty Port Auth, Adult Svc Fac Rev Bonds (Greene, Inc. Proj), Ser 2009, 7.500%, 12–1–33	500	602
OH Air Quality Dev Auth, Air Quality Rev Bonds (OH Vly Elec Corp Proj), Ser 2009E, 5.625%, 10–1–19	11,090	13,070


OH Higher Edu Fac Rev Bonds (Ashland Univ 2010 Proj), 6.250%, 9–1–24	945	1,013
OH Hosp Fac Rev Bonds (Summa Hlth Sys 2010 Proj), 5.750%, 11–15–40	500	566
SE OH Port Auth, Hosp Fac Rev Rfdg and Impvt Bonds (Mem Hlth Sys of OH), 6.000%, 12–1–42	3,750	4,080
Toledo-Lucas Cnty Port Auth, Dev Rev Bonds (Toledo Sch for the Arts Proj), Ser 2007B, 5.500%, 5–15–28	865	871
Toledo-Lucas Cnty Port Auth, Dev Rev Bonds (Toledo Express Arpt Proj), Ser 2004C, 6.375%, 11–15–32	310	323
Toledo-Lucas Cnty Port Auth, Spl Assmt Rev Bonds (Crocker Park Pub Impvt Proj), Ser 2003, 5.375%, 12–1–35	9,000	9,235

		35,202


Oklahoma – 0.6%
OK Cnty Fin Auth, Ret Fac Rev Bonds (Concordia Life Care Cmnty), Ser 2005: 6.125%, 11–15–25	2,000	2,066
6.000%, 11–15–38	7,495	7,620

		9,686


Oregon – 1.0%
Hosp Fac Auth of Deschutes Cnty, OR, Hosp Rev Rfdg Bonds (Cascade Hlthcare Cmnty, Inc.), Ser 2008, 8.250%, 1–1–38	1,240	1,598
Hosp Fac Auth of Salem, OR, Rev Rfdg Bonds (Cap Manor, Inc.), Ser 2012: 6.000%, 5–15–42	2,900	3,131
6.000%, 5–15–47	1,600	1,727
OR Fac Auth, Rev Bonds (Concordia Univ Proj), Ser 2010A: 6.125%, 9–1–30	1,135	1,237
6.375%, 9–1–40	1,750	1,926
Port of Portland, OR, Portland Intl Arpt, Passenger Fac Charge Rev Bonds, Ser 2011A, 5.500%, 7–1–30	5,180	6,190

		15,809


Pennsylvania – 3.3%
Butler Cnty Hosp Auth, Hosp Rev Bonds (Butler Hlth Sys Proj), Ser 2009B, 7.250%, 7–1–39	200	247
Cumberland Cnty Muni Auth, Rfdg Rev Bonds (Asbury PA Oblig Group), Ser 2010, 6.125%, 1–1–45	5,000	5,489
Delaware Cnty Indl Dev Auth, Charter Sch Rev Bonds (Chester Cmnty Charter Sch Proj), Ser 2010A, 6.125%, 8–15–40	18,500	15,989
Hosp and Higher Edu Fac Auth of Philadelphia, Hosp Rev Bonds (Temple Univ Hlth Sys Oblig Grp), Ser 2012A, 5.625%, 7–1–42	5,500	5,952
PA Econ Dev Fin Auth, Solid Waste Disp Rev Bonds (Waste Mgmt, Inc. Proj), Ser 2004A, 4.700%, 11–1–21	675	722
PA Higher Edu Fac Auth, Rev Bonds (Edinboro Univ Fndtn Student Hsng Proj at Edinboro Univ of PA), Ser 2010, 6.000%, 7–1–43	2,530	2,864
PA Higher Edu Fac Auth, Student Hsng Rev Bonds (Univ Ppty, Inc. Student Hsng Proj at East Stroudsburg Univ of PA), Ser 2010, 6.000%, 7–1–21	1,000	1,167


Philadelphia Auth Indl Dev, Rev Bonds (Global Leadership Academy Charter Sch Proj), Ser 2010, 6.375%, 11–15–40	1,000	1,087
Philadelphia Auth Indl Dev, Rev Bonds (Mariana Bracetti Academy Charter Sch Proj), Ser 2011: 7.150%, 12–15–36	6,000	6,829
7.625%, 12–15–41	6,925	8,091
Philadelphia Auth Indl Dev, Rev Bonds (New Foundations Charter Sch Proj), Ser 2012, 6.625%, 12–15–41	2,000	2,200
Philadelphia, PA, Gas Works Rev Bonds (1998 Gen Ordinace), Ninth Ser, 5.250%, 8–1–40	1,250	1,345
The Borough of Langhorne Manor, Higher Edu and Hlth Auth (Bucks Cnty, PA), Hosp Rev Bonds (Lower Bucks Hosp), Ser 1992, 7.300%, 7–1–12 (C)	70	20

		52,002


Puerto Rico – 2.8%
Cmnwlth of PR, Pub Impvt Rfdg Bonds (GO Bonds), Ser 2011 C, 6.500%, 7–1–40	3,000	3,200
Cmnwlth of PR, Pub Impvt Rfdg GO Bonds, Ser 2012A: 5.750%, 7–1–28	3,000	3,140
5.500%, 7–1–39	5,000	4,975
PR Aqueduct and Sewer Auth, Rev Bonds, Ser A, 6.000%, 7–1–47	5,000	5,009
PR Elec Power Auth, Power Rev Bonds, Ser 2010XX: 5.750%, 7–1–36	2,415	2,488
5.250%, 7–1–40	5,270	5,229
PR Elec Power Auth, Power Rev Bonds, Ser 2012A, 5.000%, 7–1–42	5,000	4,760
PR Pub Fin Corp (Cmnwlth Approp Bonds), 2011 Ser B: 6.000%, 8–1–25	3,900	4,208
6.000%, 8–1–26	1,000	1,076
PR Sales Tax Fin Corp, Sales Tax Rev Bonds, First Sub Ser 2009A, 6.375%, 8–1–39	8,000	8,811
PR Sales Tax Fin Corp, Sales Tax Rev Bonds, First Sub Ser 2010C, 6.500%, 8–1–35	1,000	1,130

		44,026


Rhode Island – 0.4%
Tob Stlmt Fin Corp, Tob Stlmt Asset-Bkd Bonds, Ser 2002A, 6.250%, 6–1–42	6,390	6,476


South Carolina – 0.3%
Piedmont Muni Power Agy, SC, Elec Rev Rfdg Bonds, Ser 2008C, 5.750%, 1–1–34	1,550	1,850
SC Jobs – Econ Dev Auth, Student Hsng Rev Bonds (Coastal Hsng Fndtn, LLC Proj), Ser 2009A: 6.000%, 4–1–30	1,510	1,726
6.500%, 4–1–42	750	858

		4,434


Tennessee – 0.6%
The Hlth and Edu Fac Board of Johnson City, TN, Hosp Rfdg Rev Bonds (Mountain States Hlth Alliance), Ser 2006A, 5.500%, 7–1–36	8,515	9,047
The Hlth and Edu Fac Board of Johnson City, TN, Hosp Rfdg Rev Bonds (Mountain States Hlth Alliance), Ser 2010A,
6.500%, 7–1–38	500	602

		9,649


Texas – 13.4%
Bexar Cnty Hlth Fac Dev Corp, Rev Bonds (Army Ret Residence Fndtn Proj), Ser 2010, 6.200%, 7–1–45	3,250	3,641
Cass Cnty Indl Dev Corp, Envirnmt Impvt Rev Bonds, Ser 2009A, 9.500%, 3–1–33	500	657
Cent TX Rgnl Mobility Auth, Sr Lien Rev Bonds, Ser 2010: 0.000%, 1–1–36 (B)	500	145
0.000%, 1–1–40 (B)	500	114
Cent TX Rgnl Mobility Auth, Sr Lien Rev Bonds, Ser 2011, 6.250%, 1–1–46	3,000	3,558
Dallas and Fort Worth, TX, Dallas/Fort Worth Intl Arpt, Joint Rev Rfdg Bonds, Ser 2012B, 5.000%, 11–1–32	5,000	5,673
Hackberry, TX, Combination Spl Assmt and Contract Rev Road Bonds (Hackberry Hidden Cove Pub Impvt Dist No. 2 Proj), Ser 2009A: 8.625%, 9–1–29	125	135
9.000%, 9–1–38	1,250	1,354
Harris Cnty Cultural Edu Fac Fin Corp, Rev Rfdg Bonds (Space Ctr Houston Proj), Sr Ser 2009, 7.000%, 8–15–28	500	553
Harris Cnty Indl Dev Corp, Arpt Fac Rev Rfdg Bonds (Continental Airlines, Inc. Proj), Ser 1998, 5.375%, 7–1–19	4,500	4,500
Harris Cnty, TX, Toll Road Sr Lien, Rev Rfdg Bonds (SIFMA Index Bonds), Ser 2012A: 0.730%, 8–15–17 (A)	2,110	2,110
0.880%, 8–15–18 (A)	2,000	2,001
Hopkins Cnty Hosp Dist, Hosp Rev Bonds, Ser 2008, 6.000%, 2–15–38	250	258
Houston Higher Edu Fin Corp, Edu Rev Bonds (Cosmos Fndtn, Inc.), Ser 2011A, 6.875%, 5–15–41	2,800	3,558
Houston, TX Arpt Sys, Sub Lien Rev Rfdg Bonds, Ser 2011B: 5.000%, 7–1–25	1,000	1,175
5.000%, 7–1–26	2,680	3,131
La Vernia Higher Edu Fin Corp (KIPP, Inc.), Ser 2009A, 6.375%, 8–15–44	2,000	2,341
La Vernia Higher Edu Fin Corp (Winfree Academy Charter Sch), Edu Rev Bonds, Ser 2009, 9.000%, 8–15–38	2,560	3,149
Love Field Arpt Modernization Corp, Spl Fac Rev Bonds (SW Airlines Co. – Love Field Modernization Prog Proj), Ser 2012, 5.000%, 11–1–28	4,000	4,391
Lubbock Hlth Fac Dev Corp, First Mtg Rev and Rfdg Bonds (Carillon Sr LifeCare Cmnty Proj), Ser 2005A: 6.500%, 7–1–26	1,500	1,587
6.625%, 7–1–36	7,000	7,340
Lufkin Hlth Fac Dev Corp, Rev Rfdg and Impvt Bonds (Mem Hlth Sys of East TX), Ser 2007, 5.500%, 2–15–37	6,025	6,281
Lufkin Hlth Fac Dev Corp, Rev Rfdg and Impvt Bonds (Mem Hlth Sys of East TX), Ser 2009, 6.250%, 2–15–37	5,000	5,503
Mission Econ Dev Corp, Solid Waste Disp Rev Bonds (Dallas Clean Enrg McCommas Bluff, LLC Proj), Ser 2011, 6.875%, 12–1–24	2,540	2,730


North TX Twy Auth, Spl Proj Sys Rev Bonds Convertible Cap Apprec Bonds, Ser 2011C, 0.000%, 9–1–43 (B)	8,500	6,472
Pharr, TX Higher Edu Fin Auth, Edu Rev Bonds (Idea Pub Sch), Ser 2009A: 6.250%, 8–15–29	350	395
6.500%, 8–15–39	200	227
Red River Hlth Fac Dev Corp, First Mtg Rev Bonds (Eden Home, Inc. Proj), Ser 2012: 7.000%, 12–15–32	6,200	6,694
7.250%, 12–15–42	3,800	4,104
Tarrant Cnty Cultural Edu Fac Fin Corp, Charter Sch Rev Bonds (Trinity Basin Preparatory Proj), Ser 2009A, 7.750%, 6–1–39	155	180
Tarrant Cnty Cultural Edu Fac Fin Corp, Ret Fac Rev Bonds (NW Sr Hsng Corp – Edgemere Proj), Ser 2006A: 6.000%, 11–15–26	2,035	2,178
6.000%, 11–15–36	6,615	7,043
Tarrant Cnty Cultural Edu Fac Fin Corp, Ret Fac Rev Bonds (Buckingham Sr Living Cmnty, Inc. Proj), Ser 2007: 5.500%, 11–15–22	3,000	3,181
5.625%, 11–15–27	250	262
5.750%, 11–15–37	11,840	12,292
Tarrant Cnty Cultural Edu Fac Fin Corp, Ret Fac Rev Bonds (Mirador Proj), Ser 2010A: 8.000%, 11–15–29	2,500	2,805
8.125%, 11–15–39	5,000	5,603
Travis Cnty Hlth Fac Dev Corp, Ret Fac Rev Bonds (Querencia at Barton Creek Proj), Ser 2005A, 5.100%, 11–15–15	400	420
TX Muni Gas Acquisition and Supply Corp I, Gas Supply Rev Bonds, Ser 2008D, 6.250%, 12–15–26	13,775	17,710
TX Muni Gas Acquisition and Supply Corp III, Gas Supply Rev Bonds, Ser 2012, 5.000%, 12–15–32	3,000	3,210
TX Private Activity Bond Surface Trans Corp, Sr Lien Rev Bonds (North Tarrant Express Managed Lanes Proj), Ser 2009, 6.875%, 12–31–39	12,975	15,548
TX Private Activity Bond Surface Trans Corp, Sr Lien Rev Bonds (LBJ Infra Group LLC IH-635 Managed Lanes Proj), Ser 2010: 7.500%, 6–30–32	2,000	2,540
7.500%, 6–30–33	2,700	3,419
7.000%, 6–30–40	16,930	20,654
TX Pub Fin Auth Charter Sch Fin Corp, Edu Rev Bonds (Cosmos Fndtn, Inc.), Ser 2010A, 6.200%, 2–15–40	10,000	11,874
TX Pub Fin Auth Charter Sch Fin Corp, Edu Rev Bonds (Odyssey Academy, Inc.), Ser 2010A, 7.125%, 2–15–40	2,000	2,270
TX Trans Comsn Cent TX Tpk Sys, First Tier Rev Rfdg Bonds, Ser 2012-A, 5.000%, 8–15–41	10,000	10,879
Wise Cnty, TX, Lease Rev Bonds (Parker Cnty Jr College Dist Proj), Ser 2011, 8.000%, 8–15–34	5,000	5,679

		211,524


Utah – 0.4%
Muni Bldg Auth of Uintah Cnty, UT, Lease Rev Bonds, Ser 2008A, 5.300%, 6–1–28	350	390
UT State Charter Sch Fin Auth, Charter Sch Rev Bonds (Paradigm High Sch), Ser 2010, 6.375%, 7–15–40	2,160	2,320


UT State Charter Sch Fin Auth, Charter Sch Rev Bonds (North Davis Preparatory Academy), Ser 2010, 6.250%, 7–15–30	1,015	1,106
UT State Charter Sch Fin Auth, Charter Sch Rev Bonds (North Star Academy Proj), Ser 2010B, 7.000%, 7–15–45	2,100	2,398

		6,214


Virgin Islands – 0.1%
VI Pub Fin Auth, Sub Rev Bonds (VI Matching Fund Loan Note – Diageo Proj), Ser 2009A, 6.625%, 10–1–29	935	1,096


Virginia – 2.4%
Econ Dev Auth of James City Cnty, VA, Residential Care Fac Rev Bonds (VA Utd Methodist Homes of Williamsburg, Inc.), Ser 2007A: 5.150%, 7–1–17	715	694
5.400%, 7–1–27	1,580	1,452
5.500%, 7–1–37	2,600	2,266
Indl Dev Auth of Smyth Cnty, VA, Hosp Rev Bonds (Mountain States Hlth Alliance), Ser 2009A, 8.000%, 7–1–38	470	577
Indl Dev Auth of Washington Cnty, VA, Hosp Rev Bonds (Mountain States Hlth Alliance), Ser 2009C: 7.250%, 7–1–19	860	974
7.500%, 7–1–29	25	31
Mosaic Dist Cmnty Dev Auth, Fairfax Cnty, VA, Rev Bonds Ser 2011A, 6.875%, 3–1–36	4,300	4,897
Norfolk Redev and Hsng Auth, First Mtg Rev Bonds (Fort Norfolk Ret Cmnty, Inc. – Harbor’s Edge Proj), Ser 2004A, 6.125%, 1–1–35	1,000	1,004
Norfolk Redev and Hsng Auth, Multifam Rental Hsng Fac Rev Bonds (1016 Ltd Partnership – Sussex Apt Proj), Ser 1996, 8.000%, 9–1–26	455	448
VA Small Business Fin Auth Sr Lien Rev Bonds (95 Express Lanes LLC Proj), Ser 2012, 5.000%, 7–1–34	3,000	3,083
VA Small Business Fin Auth, Sr Lien Rev Bonds (Elizabeth River Crossing Opco, LLC Proj), Ser 2012: 6.000%, 1–1–37	12,500	14,153
5.500%, 1–1–42	7,500	8,141

		37,720


Washington – 1.2%
Indl Dev Corp of the Port of Seattle, spl Fac Rev Rfdg Bonds (Delta Air Lines, Inc. Proj), Ser 2012, 5.000%, 4–1–30	4,000	4,049
Port of Seattle, Intermediate Lien Rev Rfdg Bonds, Ser 2012A, 5.000%, 8–1–33	1,635	1,914
Port of Sunnyside, Yakima Cnty, WA, Rev Bonds (Indl Wastewater Treatment Sys), Ser 2008, 6.625%, 12–1–21	2,250	2,614
Pub Hosp Dist No. 1, Skagit Cnty, WA (Skagit Vly Hosp), Hosp Rev Bonds, Ser 2005, 5.375%, 12–1–22	500	539
Pub Hosp Dist No. 1, Skagit Cnty, WA (Skagit Vly Hosp), Hosp Rev Bonds, Ser 2007, 5.625%, 12–1–25	500	535
WA Hlth Care Fac Auth, Rev Bonds (Cent WA Hlth Svcs Assoc), Ser 2009: 6.250%, 7–1–24	795	909
7.000%, 7–1–31	1,680	1,972
7.000%, 7–1–39	2,000	2,318


WA Hlth Care Fac Auth, Rev Bonds (Seattle Cancer Care Alliance), Ser 2008, 7.375%, 3–1–38	250		304
WA Hsng Fin Comsn, Nonprofit Hsng Rev And Rfdg Rev Bonds (Mirabella Proj), Ser 2012 C, 5.000%, 10–1–17	4,500		4,515

			19,669


West Virginia – 0.3%
Brooke Cnty, WV, Rev Bonds (Bethany College), Ser 2011A, 6.750%, 10–1–37	4,000		4,674


Wisconsin – 0.9%
Pub Fin Auth Sr Arpt Fac Rev and Rfdg Bonds (TrIps Oblig Group), Ser 2012B, 5.000%, 7–1–42	2,500		2,545
WI Hlth and Edu Fac Auth, Rev Bonds (Beaver Dam Cmnty Hosp, Inc. Proj), Ser 2004A, 6.750%, 8–15–34	1,000		1,028
WI Hlth and Edu Fac Auth, Rev Bonds (Beloit College), Ser 2010A: 6.125%, 6–1–35	1,220		1,395
6.125%, 6–1–39	250		285
WI Hlth and Edu Fac Auth, Rev Bonds (Saint John’s Cmnty, Inc.), Ser 2009: 7.250%, 9–15–29	2,180		2,519
7.625%, 9–15–39	5,500		6,411

			14,183


TOTAL MUNICIPAL BONDS – 93.4%		$	1,475,723
(Cost: $1,382,322)

SHORT-TERM SECURITIES
Commercial Paper – 1.1%
Campbell Soup Company, 0.230%, 2–4–13 (D)	8,497		8,495
Kellogg Co., 0.220%, 1–4–13 (D)	478		478
McCormick & Co. Inc., 0.230%, 1–11–13 (D)	5,000		5,000
Sonoco Products Co., 0.000%, 1–2–13 (D)	2,934		2,934

			16,907


Municipal Obligations – 5.5%
CA Hlth Fac Fin Auth, Var Rate Hosp Rev Bonds (Adventist Hlth Sys/West), Ser 1998B (GTD by Bank of America, N.A.), 0.070%, 1–2–13 (E)	5,400		5,400
IL Fin Auth, Var Rate Demand Rev Bonds (The Carle Fndtn), Ser 2009 (GTD by JPMorgan Chase Bank, N.A.), 0.130%, 1–3–13 (E)	3,000		3,000
IL Fin Auth, Var Rate Demand Rev Bonds (The Univ of Chicago Med Ctr), Ser D (GTD by JPMorgan Chase & Co.), 0.130%, 1–2–13 (E)	3,000		3,000
Irvine Unif Sch Dist, Cmnty Fac Dist No. 09-1, Adj Rate Spl Tax Bonds, Ser 2012 A (GTD by U.S. Bank,N.A.), 0.070%, 1–2–13 (E)	7,000		7,000
LA Pub Fac Auth, Rev Bonds (Air Products and Chemicals Proj), Ser 2008A (GTD by Air Products and Chemicals, Inc.), 0.110%, 1–2–13 (E)	7,000		7,000
MI Strategic Fund, Var Rate Demand Ltd Oblig Rev Bonds (Air Products and Chemicals, Inc. Proj), Ser 2007 (GTD by Bank of New York (The)), 0.110%, 1–2–13 (E)	13,170		13,170


MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2007B (GTD by Chevron Corporation), 0.100%, 1–2–13 (E)	11,479		11,479
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2007D (GTD by Chevron Corporation), 0.100%, 1–2–13 (E)	2,000		2,000
MS Business Fin Corp, Gulf Opp Zone Indl Dev Var Rev Bonds (Chevron U.S.A. Inc. Proj), Ser E (GTD by Chevron Corporation), 0.100%, 1–2–13 (E)	19,256		19,256
NY Hsng Fin Agy, Riverside Ctr 2 Hsng Rev Bonds, Ser 2012 A, 0.160%, 1–2–13 (E)	4,000		4,000
NYC GO Bonds, Fiscal 2008 Series L-4, 0.100%, 1–2–13 (E)	6,000		6,000
Port Arthur Navigation Dist Indl Dev Corp, Exempt Fac Var Rate Rev Bonds (Air Products Proj), Ser 2005 (GTD by Air Products and Chemicals, Inc.), 0.110%, 1–2–13 (E)	1,500		1,500
Univ of KS Hosp Auth, Var Rate Demand Hlth Fac Rev Bonds (KU Hlth Sys), Ser 2004, 0.140%, 1–2–13 (E)	3,870		3,870

			86,675


TOTAL SHORT-TERM SECURITIES – 6.6%		$	103,582
(Cost: $103,582)

TOTAL INVESTMENT SECURITIES – 100.0%		$	1,579,305
(Cost: $1,485,904)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.0%			373

NET ASSETS – 100.0%		$	1,579,678

Notes to Schedule of Investments

(A)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012.

(B)	Zero coupon bond.

(C)	Non-income producing as the issuer has either missed its most recent interest payment or declared bankruptcy.

(D)	Rate shown is the yield to maturity at December 31, 2012.

(E)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Municipal Bonds	$	—	$	1,380,826	$	94,897
Short-Term Securities		—		103,582		—
Total	$	—	$	1,484,408	$	94,897

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Municipal Bonds
Beginning Balance 4-1-12	$	724
Net realized gain (loss)		19
Net unrealized appreciation (depreciation)		1,902
Purchases		93,201
Sales		(225	)
Transfers into Level 3 during the period		—
Transfers out of Level 3 during the period		(724	)
Ending Balance 12-31-12	$	94,897
Net change in unrealized appreciation (depreciation) for all Level 3 investments still held as of 12-31-12	$	1,902

Quantitative Information about Level 3 fair value measurements:


	Fair Value at 12-31-12		Valuation Technique(s)	Unobservable Input(s)
Assets
Municipal Bonds	$	94,897	Third-party vendor pricing service	Vendor quotes

The following acronyms are used throughout this schedule:

AGM = Assured Guaranty Municipal

AMBAC = American Municipal Bond Assurance Corp.

FGIC = Financial Guaranty Insurance Co.

GTD = Guaranteed

SGI = Syncora Guarantee, Inc.

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	1,485,904
Gross unrealized appreciation		104,554
Gross unrealized depreciation		(11,153	)
Net unrealized appreciation	$	93,401

SCHEDULE OF INVESTMENTS

Ivy Pacific Opportunities Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

China – 28.3%
ANTA Sports Products Limited		7,906	$	7,114
Bona Film Group Limited, ADR (A)		601		2,872
Brilliance China Automotive Holdings Limited (A)		3,202		4,024
China Communications Construction Company Limited, H Shares		13,764		13,553
China Communications Services Corporation Limited, H Shares		23,364		13,653
China Minsheng Banking Corp., Ltd., H Shares (A)		12,317		14,469
China Mobile Limited (A)		590		6,937
China Pacific Insurance (Group) Co., Ltd.		3,150		11,447
China Petroleum & Chemical Corporation, H Shares		9,488		10,923
China Resources Power Holdings Company Limited		4,418		11,383
China Shanshui Cement Group Limited		11,003		8,234
China Zenix Auto International Limited, ADR		600		1,794
CITIC Securities Company Limited, H Shares (A)		7,823		20,127
CNOOC Limited		3,061		6,743
Industrial and Commercial Bank of China Limited, H Shares (A)		29,069		20,982
Longtop Financial Technologies Limited, ADR (A)		195		—	*
PetroChina Company Limited, H Shares		13,168		18,997
Tencent Holdings Limited		403		13,217
Xueda Education Group, ADR		238		583
YY Inc., ADR (A)		168		2,400
Zoomlion Heavy Industry Science & Technology Development Co., Ltd.		4,728		7,119

				196,571


Hong Kong – 13.0%
AIA Group Limited (A)		4,314		17,109
Cheung Kong (Holdings) Limited		678		10,549
China Modern Dairy Holdings Ltd., H Shares (A)		22,464		6,250
China Overseas Land & Investment Limited		5,322		16,181
Galaxy Entertainment Group Limited, ADR (A)		5,937		23,806
Sun Hung Kai Properties Limited		969		14,700
Tsui Wah Holdings Limited (A)(B)		6,030		1,961

				90,556


India – 10.0%
Bank of Baroda		222		3,542
Coal India Limited		1,426		9,294
Federal Bank Limited (The)		480		4,741
Grasim Industries Limited		169		9,816
Hexaware Technologies Limited		1,764		2,773
Hindalco Industries Limited		2,458		5,942
ICICI Bank Limited		564		11,802
Jaiprakash Associates Limited		2,000		3,615
Lupin Limited		530		5,986
State Bank of India		277		12,229

				69,740


Indonesia – 2.4%
PT Bumi Serpong Damai Tbk		50,975		5,896
PT Indocement Tunggal Prakarsa Tbk.		4,738		11,067

				16,963


Malaysia – 3.5%
Astro Malaysia Holdings Berhad (B)	12,250			12,018
Telekom Malaysia Berhad	6,308			12,459

				24,477


Philippines – 1.5%
GT Capital Holdings Incorporated (B)	451			6,818
Megaworld Corporation	55,451			3,753

				10,571


Singapore – 8.3%
Golden Agri-Resources Ltd.	10,191			5,484
Keppel Corporation Limited	1,621			14,801
Keppel Land Limited	2,298			7,697
SembCorp Industries Ltd	3,447			15,031
StarHub Ltd	4,777			14,963

				57,976


South Korea – 15.1%
Dongbu Insurance Co., Ltd.	70			3,032
GLOVIS Co., Ltd. (A)	50			10,492
Hyundai Mobis (A)	38			10,217
Hyundai Motor Company (A)	63			12,995
LG Chem, Ltd. (A)	57			17,719
Samsung Electronics Co., Ltd.	18			26,366
Shinhan Financial Group Co Ltd (A)	285			10,430
SK Energy Co., Ltd. (A)	86			14,284

				105,535


Taiwan – 8.8%
Delta Electronics, Inc.	1,772			6,531
Hon Hai Precision Ind. Co., Ltd.	2,272			7,033
MediaTek Incorporation	942			10,538
Novatek Microelectronics Corp.	1,895			7,743
Synnex Technology International Corp.	2,940			5,443
Taiwan Mobile Co., Ltd.	3,869			14,298
Taiwan Semiconductor Manufacturing Company Ltd.	1,989			6,653
Uni-President Enterprises Corp.	1,882			3,467

				61,706


Thailand – 6.1%
Bangkok Bank Public Company Limited	1,881			12,907
BEC World Public Company Limited	3,489			8,131
PTT Public Company Limited	1,157			12,643
Thai Union Frozen Products Public Company Limited	3,848			9,080

				42,761


TOTAL COMMON STOCKS – 97.0%			$	676,856
(Cost: $575,462)

PURCHASED OPTIONS	Number of Contracts (Unrounded	)
Focus Media Holding Limited, ADR:
Call $25.00, Expires 1–22–13, OTC (Ctrpty: Barclays Bank plc)	702			65
Call $25.00, Expires 4–22–13, OTC (Ctrpty: Morgan Stanley & Co., Inc.)	675			105


TOTAL PURCHASED OPTIONS – 0.0%			$	170
(Cost: $222)


CORPORATE DEBT SECURITIES	Principal
India – 0.0%
Dr. Reddy’s Laboratories Ltd., 9.250%, 3–24–14 (C)		INR1,480		143


TOTAL CORPORATE DEBT SECURITIES – 0.0%			$	143
(Cost: $–)

SHORT-TERM SECURITIES
Commercial Paper – 1.6%
Bank of Nova Scotia, 0.020%, 1–2–13 (D)	$	3,544		3,544
GlaxoSmithKline Finance plc (GTD by GlaxoSmithKline plc), 0.170%, 1–31–13 (D)		5,000		4,999
River Fuel Company #2, Inc. (GTD by Bank of Nova Scotia):
0.260%, 1–31–13 (D)		1,499		1,499
0.200%, 2–28–13 (D)		1,248		1,248

				11,290


Master Note – 0.2%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (E)		1,068		1,068


TOTAL SHORT-TERM SECURITIES – 1.8%			$	12,358
(Cost: $12,358)

TOTAL INVESTMENT SECURITIES – 98.8%			$	689,527
(Cost: $588,042)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 1.2%				8,429

NET ASSETS – 100.0%			$	697,956

Notes to Schedule of Investments

*	Not shown due to rounding.

(A)	No dividends were paid during the preceding 12 months.

(B)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $20,797 or 3.0% of net assets.

(C)	Principal amount and exercise prices are denominated in the indicated foreign currency, where applicable (INR – Indian Rupee).

(D)	Rate shown is the yield to maturity at December 31, 2012.

(E)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date the variable rate resets.

The following total return swap agreements were outstanding at December 31, 2012:

Counterparty

Notional Amount

Underlying Security

Termination Date

Financing Fee ^#

Unrealized
Appreciation

UBS AG, London

5,632

China Vanke Company Ltd.

6–19–13

USD LIBOR + 0.700

1,079

# The Fund pays the financing fee multiplied by the notional amount each month. On the termination date of the swap contracts, the Fund will pay/receive the return of the underlying security.

The following written options were outstanding at December 31, 2012 (contracts and exercise prices unrounded):


Underlying Security	Counterparty, if OTC	Type	Number of Contracts	Expiration Month		Exercise Price		Premium Received		Market Value
Baidu.com, Inc., ADR	N/A	Put	348		January 2013	$	80.00	$	42	$	(7	)
	N/A	Put	350		June 2013		85.00		237		(184	)
Focus Media Holding Limited, ADR	Barclays Bank Plc	Put	702		January 2013		22.00		112		(7	)
	Morgan Stanley & Co., Inc.	Put	675		April 2013		22.00		112		(32	)
SINA Corporation	N/A	Put	345		January 2013		40.00		34		(9	)
	N/A	Put	330		January 2013		42.50		38		(14	)
								$	575	$	(253	)

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	19,227	$	66,287	$	—
Consumer Staples		—		24,281		—
Energy		—		72,885		—
Financials		—		208,409		—
Health Care		—		5,986		—
Industrials		—		64,612		—
Information Technology		2,400		86,297		—	^*
Materials		—		52,778		—
Telecommunication Services		12,460		49,851		—
Utilities		—		11,383		—
Total Common Stocks	$	34,087	$	642,769	$	—	^*
Purchased Options		—		170		—
Corporate Debt Securities		—		143		—
Short-Term Securities		—		12,358		—
Total	$	34,087	$	655,440	$	—	^*
Swap Agreements	$	—	$	1,079	$	—
Liabilities
Written Options	$	214	$	39	$	—

During the period ended December 31, 2012, securities totaling $642,769 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipt

GTD = Guaranteed

OTC = Over the Counter

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	588,042
Gross unrealized appreciation		114,317
Gross unrealized depreciation		(12,832	)
Net unrealized appreciation	$	101,485

SCHEDULE OF INVESTMENTS

Ivy Real Estate Securities Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Diversified REITs – 2.8%
Liberty Property Trust		85	$	3,048
Vornado Realty Trust		134		10,723

				13,771


Hotels, Resorts & Cruise Lines – 0.5%
Starwood Hotels & Resorts Worldwide, Inc. (A)		46		2,621


Industrial REITs – 4.9%
EastGroup Properties, Inc.		51		2,739
ProLogis		575		20,998

				23,737


Mortgage REITs – 0.6%
Colony Financial, Inc.		159		3,104


Office REITs – 15.4%
Alexandria Real Estate Equities, Inc.		61		4,208
BioMed Realty Trust, Inc.		222		4,299
Boston Properties, Inc.		185		19,521
Brandywine Realty Trust		462		5,633
Digital Realty Trust, Inc.		152		10,333
Duke Realty Corporation		517		7,176
Hudson Pacific Properties, Inc.		163		3,433
Kilroy Realty Corporation		169		7,982
Mack-Cali Realty Corporation		132		3,439
SL Green Realty Corp.		124		9,512

				75,536


Real Estate Operating Companies – 0.6%
Forest City Enterprises, Inc., Class A (B)		182		2,946


Residential REITs – 19.2%
American Campus Communities, Inc.		140		6,444
AvalonBay Communities, Inc.		163		22,033
BRE Properties, Inc., Class A		86		4,371
Camden Property Trust		133		9,092
Campus Crest Communities, Inc.		236		2,895
Equity Residential		405		22,969
Essex Property Trust, Inc.		72		10,599
Mid-America Apartment Communities, Inc.		110		7,145
Post Properties		168		8,398

				93,946


Retail REITs – 27.1%
Acadia Realty Trust		198		4,959
Agree Realty Corporation		201		5,392
AmREIT, Inc., Class B		84		1,439
CBL & Associates Properties, Inc.		295		6,260
DDR Corp.		614		9,614
General Growth Properties, Inc. (A)(B)		523		10,386
Kimco Realty Corporation		524		10,120
Kite Realty Group Trust		548		3,063
Macerich Company (The)		200		11,650
Primaris Retail Real Estate Investment Trust (C)		108		2,929
RioCan Real Estate Investment Trust (C)		139		3,854
Simon Property Group, Inc.		311		49,131
Tanger Factory Outlet Centers, Inc.		191		6,532
Taubman Centers, Inc.		45		3,550
Weingarten Realty Investors		124		3,309

				132,188


Specialized REITs – 24.8%
Chesapeake Lodging Trust		80		1,670
CubeSmart		384		5,592
Entertainment Properties Trust (B)		56		2,564
HCP, Inc.		345		15,587
Health Care REIT, Inc.		320		19,594
Hersha Hospitality Trust		164		819
Host Hotels & Resorts, Inc.		578		9,064
LaSalle Hotel Properties		317		8,054
LTC Properties, Inc.		61		2,140
Pebblebrook Hotel Trust		113		2,610
Public Storage, Inc.		178		25,760
Summit Hotel Properties, Inc.		351		3,336
Sunstone Hotel Investors, Inc. (B)		270		2,895
Ventas, Inc.		332		21,480

				121,165


Wireless Telecommunication Service – 1.3%
American Tower Corporation, Class A (B)		63		4,876
Crown Castle International Corp. (B)		20		1,436

				6,312


TOTAL COMMON STOCKS – 97.2%			$	475,326
(Cost: $341,749)

PREFERRED STOCKS
Office REITs – 0.7%
Digital Realty Trust, Inc., 7.000%		125		3,342


Specialized REITs – 0.5%
Pebblebrook Hotel Trust, Series B, 8.000%		98		2,547


TOTAL PREFERRED STOCKS – 1.2%			$	5,889
(Cost: $5,574)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.6%
BHP Billiton Finance (USA) Limited (GTD by BHP Billiton Limited), 0.130%, 1–11–13 (D)	$	3,000		3,000


Master Note – 0.5%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (E)		2,493		2,493


TOTAL SHORT-TERM SECURITIES – 1.1%			$	5,493
(Cost: $5,493)

TOTAL INVESTMENT SECURITIES – 99.5%			$	486,708
(Cost: $352,816)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.5%				2,282

NET ASSETS – 100.0%			$	488,990

Notes to Schedule of Investments

(A)	All or a portion of the security position is held in collateralized accounts to cover potential obligations with respect to outstanding written options.

(B)	No dividends were paid during the preceding 12 months.

(C)	Listed on an exchange outside the United States.

(D)	Rate shown is the yield to maturity at December 31, 2012.

(E)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following written options were outstanding at December 31, 2012 (contracts and exercise prices unrounded):


Underlying Security	Counterparty, if OTC	Type	Number of Contracts		Expiration Month		Exercise Price		Premium Received		Market Value
General Growth Properties, Inc.	N/A	Call		1,744		January 2013	$	21.00	$	45	$	(17	)
Starwood Hotels & Resorts Worldwide, Inc.	N/A	Call		419		January 2013		62.50		59		(4	)
									$	104	$	(21	)

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	475,326	$	—	$	—
Preferred Stocks		5,889		—		—
Short-Term Securities		—		5,493		—
Total	$	481,215	$	5,493	$	—
Liabilities
Written Options	$	17	$	4	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

GTD = Guaranteed

OTC = Over the Counter

REIT = Real Estate Investment Trust

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	352,816
Gross unrealized appreciation		133,958
Gross unrealized depreciation		(66	)
Net unrealized appreciation	$	133,892

SCHEDULE OF INVESTMENTS

Ivy Science and Technology Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Agricultural Products – 0.6%
Darling International Inc. (A)		542	$	8,689


Application Software – 12.8%
ACI Worldwide, Inc. (A)(B)		1,652		72,159
Aspen Technology, Inc. (A)		4,359		120,483
Nuance Communications, Inc. (A)		350		7,808

				200,450


Biotechnology – 3.6%
Ironwood Pharmaceuticals, Inc., Class A (A)		740		8,207
Isis Pharmaceuticals, Inc. (A)		969		10,140
Vertex Pharmaceuticals Incorporated (A)		901		37,779

				56,126


Computer Hardware – 6.5%
Apple Inc. (A)		168		89,762
Dell Inc.		1,171		11,858

				101,620


Computer Storage & Peripherals – 0.8%
Fusion-io, Inc. (A)		519		11,891


Construction & Engineering – 0.9%
Abengoa, S.A. (C)		341		1,090
Abengoa, S.A. – B Shares (A)(C)		1,365		4,215
Aegion Corporation (A)		383		8,505

				13,810


Consumer Finance – 0.8%
NetSpend Holdings, Inc. (A)		1,040		12,287


Data Processing & Outsourced Services – 10.7%
Alliance Data Systems Corporation (A)		634		91,764
Euronet Worldwide, Inc. (A)		1,658		39,139
VeriFone Holdings, Inc. (A)		733		21,767
WNS (Holdings) Limited, ADR (A)		1,469		15,302

				167,972


Electronic Components – 0.8%
Power-One, Inc. (A)		1,192		4,898
Universal Display Corporation (A)		318		8,150

				13,048


Electronic Manufacturing Services – 0.5%
Plexus Corp. (A)		310		7,998


Fertilizers & Agricultural Chemicals – 1.6%
Monsanto Company		271		25,622


Health Care Equipment – 1.4%
Boston Scientific Corporation (A)		2,572		14,737
Volcano Corporation (A)		302		7,118

				21,855


Health Care Facilities – 3.6%
Tenet Healthcare Corporation (A)		1,751		56,845


Health Care Services – 0.7%
Fleury S.A. (A)(C)		566		6,373
Fleury S.A. (A)(C)(D)		422		4,745

				11,118


Health Care Technology – 2.1%
Cerner Corporation (A)		419		32,547


Industrial Machinery – 5.3%
ESCO Technologies Inc.		1,103		41,248
Pentair, Inc. (A)		861		42,318

				83,566


Integrated Telecommunication Services – 3.4%
CenturyLink, Inc.		585		22,893
China Unicom Limited (C)		12,300		19,999
Windstream Corporation		1,335		11,057

				53,949


Internet Software & Services – 4.5%
21Vianet Group, Inc., ADR (A)		843		8,099
Facebook, Inc., Class A (A)		282		7,502
Google Inc., Class A (A)		77		54,480

				70,081


IT Consulting & Other Services – 3.7%
Acxiom Corporation (A)		2,461		42,976
iGATE Corporation (A)		969		15,286

				58,262


Managed Health Care – 3.8%
Odontoprev S.A. (C)		1,434		7,517
UnitedHealth Group Incorporated		968		52,499

				60,016


Movies & Entertainment – 0.5%
News Corporation Limited, Class A (A)		313		7,991


Oil & Gas Equipment & Services – 0.6%
Forum Energy Technologies, Inc. (A)		350		8,650


Research & Consulting Services – 1.0%
Qualicorp S.A. (A)(C)		363		3,755
Qualicorp S.A. (A)(C)(D)		1,144		11,853

				15,608


Semiconductor Equipment – 1.3%
Nanometrics Incorporated (A)		631		9,093
Photronics, Inc. (A)		1,983		11,821

				20,914


Semiconductors – 16.1%
Cree, Inc. (A)		2,066		70,208
Intel Corporation		808		16,659
Micron Technology, Inc. (A)		9,974		63,336
Samsung Electronics Co., Ltd. (C)		55		78,594
Spansion Inc. (A)		597		8,297
Spreadtrum Communications, Inc., ADR		882		15,523

				252,617


Systems Software – 0.5%
Allot Communications Ltd. (A)		426		7,590


Wireless Telecommunication Service – 4.0%
Softbank Corp. (C)		406		14,884
Sprint Nextel Corporation (A)		8,206		46,528

				61,412


TOTAL COMMON STOCKS – 92.1%			$	1,442,534
(Cost: $1,057,893)

CORPORATE DEBT SECURITIES		Principal
Health Care Equipment – 0.5%
Volcano Corporation, Convertible, 1.750%, 12–1–17	$	7,242		7,297


Semiconductors – 0.2%
JinkoSolar Holding Co., Ltd., Convertible, 4.000%, 5–15–16 (D)		9,230		3,882


TOTAL CORPORATE DEBT SECURITIES – 0.7%		$	11,179
(Cost: $16,437)

SHORT-TERM SECURITIES
Certificate Of Deposit – 0.3%
Banco del Estado de Chile, 0.220%, 1–28–13	5,000		5,000


Commercial Paper – 4.6%
Air Products and Chemicals, Inc., 0.150%, 1–9–13 (E)	11,688		11,687
CVS Caremark Corporation, 0.280%, 1–2–13 (E)	15,000		14,999
General Mills, Inc., 0.330%, 1–8–13 (E)	9,000		8,999
Harley-Davidson Funding Corp. (GTD by Harley-Davidson, Inc.): 0.390%, 1–9–13 (E)	5,000		5,000
0.360%, 1–10–13 (E)	3,000		3,000
Heinz (H.J.) Finance Co. (GTD by Heinz (H.J.) Co.), 0.250%, 1–22–13 (E)	3,125		3,125
L’Air Liquide S.A., 0.150%, 1–18–13 (E)	10,000		9,999
McCormick & Co. Inc., 0.220%, 1–2–13 (E)	2,825		2,825
Nestle Finance International Ltd. (GTD by Nestle S.A.), 0.150%, 1–22–13 (E)	4,000		4,000
Straight-A Funding, LLC (GTD by Federal FinancingBank): 0.180%, 1–7–13 (E)	6,500		6,500
0.170%, 1–17–13 (E)	1,600		1,600

			71,734


Master Note – 0.3%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (F)	4,954		4,954


Municipal Obligations – Taxable – 1.8%
CA Hlth Fac Fin Auth, Var Rate Hosp Rev Bonds (Adventist Hlth Sys/West), Ser 1998B (GTD by Bank of America, N.A.), 0.070%, 1–2–13 (F)	7,100		7,100
CA Pollutn Ctl Fin Auth, Pollutn Ctl Rfdg Rev Bonds (Pacific Gas and Elec Co), Ser C (GTD by JPMorgan Chase Bank, N.A.), 0.100%, 1–2–13 (F)	1,570		1,570
City of Whittier, Hlth Fac Rev Bonds (Presbyterian Intercmnty Hosp), Ser 2009 (GTD by U.S. Bank, N.A.), 0.130%, 1–2–13 (F)	5,000		5,000
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2010J (GTD by Chevron Corporation), 0.100%, 1–2–13 (F)	7,500		7,500
MS Business Fin Corp, Gulf Opp Zone Indl Dev Var Rev Bonds (Chevron U.S.A. Inc. Proj), Ser E (GTD by Chevron Corporation), 0.100%, 1–2–13 (F)	1,415		1,415
NY Hsng Fin Agy, Clinton Park Phase II Hsng Rev Bonds, Ser 2011 A-1 (GTD by Wells Fargo Bank, N.A.), 0.130%, 1–2–13 (F)	916		916
NYC GO Bonds, Fiscal 2008 Series L-4, 0.100%, 1–2–13 (F)	5,000		5,000

			28,501


United States Government Agency Obligations – 0.1%
Overseas Private Investment Corporation (GTD by United States Government), 0.170%, 1–2–13 (F)	1,000		1,000


TOTAL SHORT-TERM SECURITIES – 7.1%	$	111,189
(Cost: $111,189)

TOTAL INVESTMENT SECURITIES – 99.9%	$	1,564,902
(Cost: $1,185,519)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.1%		1,967

NET ASSETS – 100.0%	$	1,566,869

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	All or a portion of the security position is held in collateralized accounts for OTC derivatives collateral as governed by International Swaps and Derivatives Association, Inc. Master Agreements.

(C)	Listed on an exchange outside the United States.

(D)	Securities were purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2012, the total value of these securities amounted to $20,480 or 1.3% of net assets.

(E)	Rate shown is the yield to maturity at December 31, 2012.

(F)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following forward foreign currency contracts were outstanding at December 31, 2012:

Type

Currency

Counterparty

Principal Amount of
Contract
(Denominated in
Indicated Currency)

Settlement Date

Unrealized
Appreciation

Unrealized
Depreciation

Sell

Japanese Yen

Deutsche Bank AG

1,209,000

5-13-13

1,032

—

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks
Consumer Discretionary	$	7,991	$	—	$	—
Consumer Staples		8,689		—		—
Energy		8,650		—		—
Financials		12,287		—		—
Health Care		238,507		—		—
Industrials		111,895		1,090		—
Information Technology		833,849		78,592		—
Materials		25,622		—		—
Telecommunication Services		80,479		34,883		—
Total Common Stocks	$	1,327,969	$	114,565	$	—
Corporate Debt Securities		—		11,179		—
Short-Term Securities		—		111,189		—
Total	$	1,327,969	$	236,933	$	—
Forward Foreign Currency Contracts	$	—	$	1,032	$	—

During the period ended December 31, 2012, securities totaling $114,565 were transferred from Level 1 to Level 2. These transfers were the result of fair value procedures applied to international securities due to significant market movement of the S&P 500 on December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	1,185,519
Gross unrealized appreciation		428,335
Gross unrealized depreciation		(48,952	)
Net unrealized appreciation	$	379,383

SCHEDULE OF INVESTMENTS

Ivy Small Cap Growth Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Advertising – 0.3%
Acquity Group Ltd, ADR (A)		349	$	2,687


Air Freight & Logistics – 1.9%
Hub Group, Inc. (A)		426		14,304


Apparel Retail – 1.4%
Zumiez Inc. (A)		535		10,384


Apparel, Accessories & Luxury Goods – 2.0%
Quiksilver, Inc. (A)		687		2,919
Under Armour, Inc., Class A (A)		254		12,333

				15,252


Application Software – 8.6%
ACI Worldwide, Inc. (A)		379		16,557
Qlik Technologies Inc. (A)		371		8,065
SS&C Technologies Holdings, Inc. (A)		329		7,616
Synchronoss Technologies, Inc. (A)		148		3,115
Tyler Technologies, Inc. (A)		109		5,280
Ultimate Software Group, Inc. (The) (A)		269		25,420

				66,053


Asset Management & Custody Banks – 3.7%
Affiliated Managers Group, Inc. (A)		192		24,937
Safeguard Scientifics, Inc. (A)		262		3,857

				28,794


Automotive Retail – 3.0%
Asbury Automotive Group, Inc. (A)		332		10,631
Lithia Motors, Inc.		341		12,752

				23,383


Biotechnology – 2.8%
Cepheid (A)		165		5,590
Incyte Corporation (A)		788		13,086
Ironwood Pharmaceuticals, Inc., Class A (A)		270		2,993

				21,669


Brewers – 1.1%
Boston Beer Company, Inc. (The), Class A (A)		65		8,753


Communications Equipment – 4.8%
Aruba Networks, Inc. (A)		680		14,118
Finisar Corporation (A)		574		9,359
JDS Uniphase Corporation (A)		625		8,468
Procera Networks, Inc. (A)		286		5,302

				37,247


Construction & Farm Machinery & Heavy Trucks – 3.3%
Wabash National Corporation (A)		288		2,579
Westinghouse Air Brake Technologies Corporation		257		22,489

				25,068


Consumer Finance – 2.1%
First Cash Financial Services, Inc. (A)		318		15,766


Data Processing & Outsourced Services – 2.1%
Jack Henry & Associates, Inc.		418		16,391


Distributors – 1.4%
Pool Corporation		249		10,525


Diversified Support Services – 3.0%
Portfolio Recovery Associates, Inc. (A)		213		22,781


Electrical Components & Equipment – 0.9%
II-VI Incorporated (A)	361	6,595


Electronic Equipment & Instruments – 2.3%
OSI Systems, Inc. (A)	272	17,428


Electronic Manufacturing Services – 1.8%
IPG Photonics Corporation	211	14,030


Environmental & Facilities Services – 4.1%
Team, Inc. (A)	384	14,604
Waste Connections, Inc.	526	17,781

		32,385


Fertilizers & Agricultural Chemicals – 0.5%
American Vanguard Corporation	127	3,946


Food Distributors – 1.6%
United Natural Foods, Inc. (A)	221	11,821


Health Care Equipment – 4.8%
DexCom, Inc. (A)	607	8,261
Heartware International, Inc. (A)	83	6,951
Thoratec Corporation (A)	165	6,195
Volcano Corporation (A)	643	15,183

		36,590


Health Care Facilities – 1.4%
Community Health Systems, Inc.	352	10,805


Health Care Supplies – 1.1%
Endologix, Inc. (A)	597	8,501


Human Resource & Employment Services – 1.1%
Kforce Inc.	583	8,347


Internet Software & Services – 1.2%
Demandware, Inc. (A)	184	5,021
ExactTarget, Inc. (A)	215	4,296

		9,317


Leisure Facilities – 2.1%
Vail Resorts, Inc.	302	16,341


Office Services & Supplies – 0.8%
United Stationers Inc.	203	6,291


Oil & Gas Equipment & Services – 1.9%
Dril-Quip, Inc. (A)	143	10,461
Matrix Service Company (A)	374	4,301

		14,762


Oil & Gas Exploration & Production – 4.6%
Bonanza Creek Energy, Inc. (A)	200	5,561
Gulfport Energy Corporation (A)	282	10,767
Laredo Petroleum Holdings, Inc. (A)	365	6,619
Oasis Petroleum LLC (A)	257	8,179
Rosetta Resources Inc. (A)	94	4,277

		35,403


Regional Banks – 8.1%
Bank of the Ozarks, Inc.	376	12,595
Signature Bank (A)	247	17,585
SVB Financial Group (A)	440	24,621
UMB Financial Corporation	167	7,334

		62,135


Restaurants – 2.8%
Panera Bread Company, Class A (A)		138		21,839


Semiconductors – 4.8%
Cavium Inc. (A)		233		7,272
Microsemi Corporation (A)		237		4,986
Power Integrations, Inc.		214		7,203
Semtech Corporation (A)		594		17,196

				36,657


Specialty Stores – 0.8%
Cabela’s Incorporated, Class A (A)		142		5,908


Systems Software – 3.5%
Eloqua, Inc. (A)		74		1,743
MICROS Systems, Inc. (A)		226		9,570
NetSuite Inc. (A)		228		15,326

				26,639

Trading Companies & Distributors – 4.0%
Beacon Roofing Supply, Inc. (A)		247		8,223
Rush Enterprises, Inc. (A)		308		6,375
Watsco, Inc.		213		15,961

				30,559

Trucking – 2.3%
Landstar System, Inc.		340		17,852


TOTAL COMMON STOCKS – 98.0%			$	753,208
(Cost: $583,280)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 0.9%
CVS Caremark Corporation, 0.280%, 1–2–13 (B)	$	4,359		4,359
Nestle Finance International Ltd. (GTD by Nestle S.A.), 0.150%, 1–22–13 (B)		3,000		3,000

				7,359


Master Note – 0.8%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (C)		5,647		5,647


Municipal Obligations – Taxable – 0.1%
Irvine Unif Sch Dist, Cmnty Fac Dist No. 09-1, Adj Rate Spl Tax Bonds, Ser 2012 A (GTD by U.S. Bank,N.A.), 0.070%, 1–2–13 (C)		1,000		1,000


TOTAL SHORT-TERM SECURITIES – 1.8%			$	14,006
(Cost: $14,006)

TOTAL INVESTMENT SECURITIES – 99.8%			$	767,214
(Cost: $597,286)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.2%				1,210

NET ASSETS – 100.0%			$	768,424

Notes to Schedule of Investments

(A) No dividends were paid during the preceding 12 months.

(B) Rate shown is the yield to maturity at December 31, 2012.

(C) Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following total return swap agreements were outstanding at December 31, 2012:

Counterparty

Notional Amount

Underlying Security

Termination Date

Financing Fee ^#

Unrealized
Appreciation

JPMorgan

7,136

Biotech Custom Index

10-1-13

1M LIBOR less 30 bps

126

# The Fund pays the financing fee multiplied by the notional amount each quarter. On the termination date of the swap contracts, the Fund will pay/receive the return of the underlying security.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	753,208	$	—	$	—
Short-Term Securities		—		14,006		—
Total	$	753,208	$	14,006	$	—
Swap Agreements		—	$	126		—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

GTD = Guaranteed

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	597,286
Gross unrealized appreciation		183,372
Gross unrealized depreciation		(13,444	)
Net unrealized appreciation	$	169,928

SCHEDULE OF INVESTMENTS

Ivy Small Cap Value Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 3.3%
Triumph Group, Inc.		120	$	7,849


Apparel Retail – 0.5%
AnnTaylor Stores Corporation (A)		36		1,211


Apparel, Accessories & Luxury Goods – 3.1%
Hanesbrands Inc. (A)		125		4,485
Jones Apparel Group, Inc.		274		3,029

				7,514


Application Software – 1.3%
Synchronoss Technologies, Inc. (A)		150		3,172


Auto Parts & Equipment – 5.4%
Dana Holding Corporation		390		6,081
Visteon Corporation (A)		125		6,700

				12,781


Broadcasting – 3.5%
Belo Corp., Class A		577		4,423
Entercom Communications Corp. (A)		571		3,988

				8,411


Construction & Farm Machinery & Heavy Trucks – 1.8%
Manitowoc Company, Inc. (The)		277		4,337


Data Processing & Outsourced Services – 1.9%
CoreLogic Inc. (A)		169		4,560


Electric Utilities – 2.2%
Great Plains Energy Incorporated		255		5,181


Forest Products – 0.5%
Louisiana-Pacific Corporation (A)		66		1,265


Gas Utilities – 2.0%
Southwest Gas Corporation		115		4,863


Health Care Facilities – 4.2%
Community Health Systems, Inc.		201		6,185
HealthSouth Corporation (A)		186		3,929

				10,114


Health Care Services – 0.5%
Team Health Holdings, Inc. (A)		44		1,277


Homebuilding – 1.6%
M.D.C. Holdings, Inc.		105		3,849


Metal & Glass Containers – 1.0%
Owens-Illinois, Inc. (A)		116		2,467


Movies & Entertainment – 2.8%
Cinemark Holdings, Inc.		261		6,786


Office REITs – 2.4%
Lexington Corporation Properties Trust		544		5,680


Oil & Gas Equipment & Services – 5.8%
GulfMark Offshore, Inc.		181		6,246
McDermott International, Inc. (A)		708		7,807

				14,053


Oil & Gas Exploration & Production – 4.9%
EV Energy Partners, L.P.	46	2,624
LinnCo LLC	133	4,792
Oasis Petroleum LLC (A)	68	2,156
Petroleum Development Corporation (A)	66	2,192

		11,764


Oil & Gas Refining & Marketing – 0.3%
Marathon Petroleum Corporation (A)	23	714


Oil & Gas Storage & Transportation – 2.5%
Atlas Pipeline Partners, L.P.	82	2,590
EQT Midstream Partners, LP	58	1,800
MarkWest Energy Partners, L.P.	34	1,734

		6,124


Paper Packaging – 2.1%
Boise Inc.	631	5,019


Personal Products – 0.7%
Inter Parfums, Inc.	91	1,775


Property & Casualty Insurance – 2.2%
Argo Group International Holdings, Ltd.	155	5,206


Publishing – 3.2%
E. W. Scripps Company (The) (A)	373	4,035
Valassis Communications, Inc.	141	3,630

		7,665


Regional Banks – 8.0%
Bank of Marin Bancorp	64	2,400
First Horizon National Corporation	641	6,352
First Niagara Financial Group, Inc.	564	4,473
Wintrust Financial Corporation	48	1,754
Zions Bancorporation	199	4,263

		19,242


Reinsurance – 4.2%
Endurance Specialty Holdings Ltd.	134	5,318
Reinsurance Group of America, Incorporated	92	4,924

		10,242


Restaurants – 0.7%
Bloomin’ Brands, Inc. (A)	110	1,713


Semiconductor Equipment – 2.3%
Teradyne, Inc. (A)	323	5,449


Semiconductors – 3.6%
Freescale Semiconductor, Inc. (A)	413	4,545
Spansion Inc. (A)	290	4,038

		8,583


Specialized REITs – 1.8%
Strategic Hotels & Resorts, Inc. (A)	690	4,418


Specialty Chemicals – 4.8%
Ashland Inc.	66	5,292
Cytec Industries Inc.	54	3,696
RPM International Inc.	88	2,578

		11,566


Technology Distributors – 1.2%
Insight Enterprises, Inc. (A)	173	3,007


Thrifts & Mortgage Finance – 1.8%
Capitol Federal Financial	380	4,442


Trucking – 1.8%
Marten Transport, Ltd.		178		3,269
Werner Enterprises, Inc.		54		1,175

				4,444


TOTAL COMMON STOCKS – 89.9%			$	216,743
(Cost: $184,316)

INVESTMENT FUNDS
Asset Management & Custody Banks – 1.5%
THL Credit, Inc.		245		3,624


TOTAL INVESTMENT FUNDS – 1.5%			$	3,624
(Cost: $3,150)

SHORT-TERM SECURITIES	Principal
Commercial Paper – 1.4%
Kellogg Co., 0.220%, 1–4–13 (B)	$	3,528		3,528

Master Note – 1.8%
Toyota Motor Credit Corporation, 0.142%, 6–28–13 (C)		4,362		4,362

Municipal Obligations – Taxable – 5.4%
MI Strategic Fund, Var Rate Demand Ltd Oblig Rev Bonds (Air Products and Chemicals, Inc. Proj), Ser 2007 (GTD by Bank of New York (The)), 0.110%, 1–2–13 (C)		3,100		3,100
MS Business Fin Corp, Gulf Opp Zone Indl Dev Rev Bonds (Chevron U.S.A. Inc. Proj), Ser 2007B (GTD by Chevron Corporation), 0.100%, 1–2–13 (C)		9,783		9,783

				12,883


TOTAL SHORT-TERM SECURITIES – 8.6%			$	20,773
(Cost: $20,773)

TOTAL INVESTMENT SECURITIES – 100.0%			$	241,140
(Cost: $208,239)

CASH AND OTHER ASSETS, NET OF LIABILITIES – 0.0%				42

NET ASSETS – 100.0%			$	241,182

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Rate shown is the yield to maturity at December 31, 2012.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	216,743	$	—	$	—
Investment Funds		3,624		—		—
Short-Term Securities		—		20,773		—
Total	$	220,367	$	20,773	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

GTD = Guaranteed

REIT = Real Estate Investment Trust

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	208,239
Gross unrealized appreciation		37,159
Gross unrealized depreciation		(4,258	)
Net unrealized appreciation	$	32,901

SCHEDULE OF INVESTMENTS

Ivy Tax-Managed Equity Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Aerospace & Defense – 3.5%
Boeing Company (The)		4	$	335
Precision Castparts Corp.		2		467

				802


Apparel, Accessories & Luxury Goods – 1.2%
Under Armour, Inc., Class A (A)		5		263


Application Software – 1.9%
Intuit Inc.		7		437


Asset Management & Custody Banks – 2.0%
T. Rowe Price Group, Inc.		7		456


Auto Parts & Equipment – 1.3%
BorgWarner Inc. (A)		4		305


Automotive Retail – 1.3%
AutoZone, Inc. (A)		1		294


Biotechnology – 2.1%
Gilead Sciences, Inc. (A)		7		492


Brewers – 1.0%
Anheuser-Busch InBev S.A., ADR (A)		3		220


Broadcasting – 4.0%
CBS Corporation, Class B		16		600
Discovery Holding Company, Class A (A)		5		309

				909


Casinos & Gaming – 3.5%
Las Vegas Sands, Inc.		13		594
Wynn Resorts, Limited		2		209

				803


Communications Equipment – 1.9%
QUALCOMM Incorporated		7		434


Computer Hardware – 7.1%
Apple Inc. (A)		3		1,614


Consumer Finance – 1.7%
American Express Company		7		390


Data Processing & Outsourced Services – 7.0%
MasterCard Incorporated, Class A		2		894
Visa Inc., Class A		5		709

				1,603


Distillers & Vintners – 1.0%
Beam Inc.		4		236


Diversified Chemicals – 1.5%
PPG Industries, Inc.		3		352


Fertilizers & Agricultural Chemicals – 3.1%
Monsanto Company		7		706


Footwear – 2.3%
NIKE, Inc., Class B		10		514



Hotels, Resorts & Cruise Lines – 1.2%
Starwood Hotels & Resorts Worldwide, Inc.	5	271


Household Products – 1.0%
Colgate-Palmolive Company	2	232


Hypermarkets & Super Centers – 1.3%
Costco Wholesale Corporation	3	302


Industrial Machinery – 3.7%
Pall Corporation	8	481
Pentair, Inc. (A)	8	373

		854


Internet Retail – 2.1%
Amazon.com, Inc. (A)	2	477


Internet Software & Services – 3.3%
Facebook, Inc., Class A (A)	7	180
Google Inc., Class A (A)	1	567

		747


IT Consulting & Other Services – 3.0%
Cognizant Technology Solutions Corporation, Class A (A)	9	673


Managed Health Care – 1.6%
UnitedHealth Group Incorporated	7	364


Movies & Entertainment – 1.6%
Walt Disney Company (The)	7	365


Oil & Gas Equipment & Services – 7.1%
Core Laboratories N.V.	3	339
Halliburton Company	8	280
National Oilwell Varco, Inc.	7	445
Schlumberger Limited	8	562

		1,626


Packaged Foods & Meats – 1.6%
Mead Johnson Nutrition Company	6	369


Personal Products – 1.6%
Estee Lauder Companies, Inc. (The), Class A	6	359


Pharmaceuticals – 1.4%
Allergan, Inc.	3	313


Railroads – 3.1%
Kansas City Southern	5	426
Union Pacific Corporation	2	273

		699


Restaurants – 2.5%
Starbucks Corporation	7	367
YUM! Brands, Inc.	3	208

		575


Semiconductor Equipment – 1.5%
ASML Holding N.V., NY Registry Shares (A)	2	110
Lam Research Corporation (A)	6	223

		333


Semiconductors – 1.4%
Altera Corporation	10	329


Specialty Chemicals – 1.3%
Sherwin-Williams Company (The)		2		289


Systems Software – 2.4%
Oracle Corporation		11		378
VMware, Inc., Class A (A)		2		162

				540


Tobacco – 2.6%
Philip Morris International Inc.		7		576


Wireless Telecommunication Service – 2.5%
Crown Castle International Corp. (A)		4		284
SBA Communications Corporation (A)		4		284

				568


TOTAL COMMON STOCKS – 95.2%			$	21,691
(Cost: $18,216)

SHORT-TERM SECURITIES	Principal
Master Note – 4.5%
Toyota Motor Credit Corporation, 0.142%, 6-28-13 (B)	$	1,036		1,036

TOTAL SHORT-TERM SECURITIES – 4.5%			$	1,036
(Cost: $1,036)

TOTAL INVESTMENT SECURITIES – 99.7%			$	22,727
(Cost: $19,252)

CASH AND OTHER ASSETS, NET OF LIABILITIES –0.3%				61

NET ASSETS – 100.0%			$	22,788

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	21,691	$	—	$	—
Short-Term Securities		—		1,036		—
Total	$	21,691	$	1,036	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronym is used throughout this schedule:

ADR = American Depositary Receipts

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	19,252
Gross unrealized appreciation		3,674
Gross unrealized depreciation		(199	)
Net unrealized appreciation	$	3,475

SCHEDULE OF INVESTMENTS

Ivy Value Fund (in thousands)

DECEMBER 31, 2012 (UNAUDITED)


COMMON STOCKS	Shares		Value

Biotechnology – 2.0%
Amgen Inc.		30	$	2,564


Cable & Satellite – 3.0%
Time Warner Cable Inc.		40		3,917


Computer Storage & Peripherals – 0.5%
EMC Corporation (A)		27		676


Consumer Finance – 3.8%
Capital One Financial Corporation		84		4,855


Department Stores – 1.7%
Macy’s Inc.		55		2,134


Diversified Chemicals – 1.3%
Dow Chemical Company (The)		53		1,697


Drug Retail – 2.7%
CVS Corporation		71		3,433


Fertilizers & Agricultural Chemicals – 1.6%
Mosaic Company (A)		35		1,982


General Merchandise Stores – 2.3%
Target Corporation		50		2,970


Health Care Distributors – 2.0%
McKesson Corporation		26		2,502


Health Care Facilities – 2.2%
HCA Holdings, Inc.		94		2,848


Home Improvement Retail – 1.9%
Lowe’s Companies, Inc.		68		2,412


Industrial Machinery – 2.1%
Parker Hannifin Corporation		31		2,654


Integrated Telecommunication Services – 3.5%
AT&T Inc.		133		4,494


Investment Banking & Brokerage – 2.7%
Goldman Sachs Group, Inc. (The)		28		3,521


Life & Health Insurance – 2.2%
MetLife, Inc.		86		2,839


Managed Health Care – 8.3%
Aetna Inc.		91		4,232
UnitedHealth Group Incorporated		61		3,298
WellPoint, Inc.		52		3,137

				10,667


Multi-Utilities – 1.9%
PG&E Corporation		62		2,479


Office Electronics – 2.1%
Xerox Corporation (B)		395		2,695


Oil & Gas Exploration & Production – 6.4%
LinnCo LLC		106		3,838
Marathon Oil Corporation		137		4,204
QR Energy LP		12		202

				8,244


Oil & Gas Refining & Marketing – 5.1%
Marathon Petroleum Corporation		61		3,859
Phillips 66 (B)		50		2,676

				6,535


Oil & Gas Storage & Transportation – 13.2%
Access Midstream Partners, L.P. (B)		79		2,640
Kinder Morgan Management, LLC (A)		34		2,601
Magellan Midstream Partners, L.P.		41		1,758
MarkWest Energy Partners, L.P.		61		3,117
Plains All American Pipeline, L.P.		85		3,849
Regency Energy Partners LP		137		2,961

				16,926


Other Diversified Financial Services – 8.7%
Citigroup Inc.		118		4,664
JPMorgan Chase & Co.		150		6,591

				11,255


Pharmaceuticals – 2.9%
Teva Pharmaceutical Industries Limited, ADR		99		3,685


Property & Casualty Insurance – 3.4%
ACE Limited		54		4,301


Regional Banks – 1.4%
SunTrust Banks, Inc.		64		1,817


Reinsurance – 4.3%
RenaissanceRe Holdings Ltd.		35		2,827
Validus Holdings, Ltd.		77		2,670

				5,497


Semiconductor Equipment – 2.1%
Lam Research Corporation (A)		73		2,654


Systems Software – 1.9%
Oracle Corporation		73		2,426


TOTAL COMMON STOCKS – 97.2%			$	124,679
(Cost: $104,499)

SHORT-TERM SECURITIES	Principal
Master Note – 3.6%
Toyota Motor Credit Corporation,
0.142%, 6–28–13 (C)	$	4,678		4,678


TOTAL SHORT-TERM SECURITIES – 3.6%			$	4,678
(Cost: $4,678)

TOTAL INVESTMENT SECURITIES – 100.8%			$	129,357
(Cost: $109,177)

LIABILITIES, NET OF CASH AND OTHER ASSETS – (0.8%)				(1,060	)

NET ASSETS – 100.0%			$	128,297

Notes to Schedule of Investments

(A)	No dividends were paid during the preceding 12 months.

(B)	All or a portion of the security position is held in collateralized accounts to cover potential obligations with respect to outstanding written options.

(C)	Variable rate security. Interest rate disclosed is that which is in effect at December 31, 2012. Date shown represents the date that the variable rate resets.

The following written options were outstanding at December 31, 2012 (contracts and exercise prices unrounded):


Underlying Security	Counterparty, if OTC	Type		Number of Contracts		Expiration Month		Exercise Price		Premium Received		Market Value
Access Midstream Partners, L.P.	N/A		Call		55		January 2013	$	35.00	$	2	$	(1	)
Apple Inc.	N/A		Put		18		January 2013		595.00		56		(116	)
	N/A		Put		18		February 2013		520.00		29		(44	)
	N/A		Put		18		March 2013		585.00		108		(126	)
Mosaic Company	N/A		Put		62		January 2013		47.50		3		(1	)
Phillips 66	N/A		Call		87		January 2013		55.00		4		(8	)
Target Corporation	N/A		Put		53		April 2013		57.50		7		(11	)
Xerox Corporation	N/A		Call		436		January 2013		7.50		12		(1	)
										$	221	$	(308	)

Level 1 – Observable input such as quoted prices, available in active markets, for identical assets or liabilities.

The following tables summarize the valuation of the Fund’s investments by the above fair value hierarchy levels as of December 31, 2012:


	Level 1		Level 2		Level 3
Assets
Investments in Securities
Common Stocks	$	124,679	$	—	$	—
Short-Term Securities		—		4,678		—
Total	$	124,679	$	4,678	$	—
Liabilities
Written Options	$	299	$	9	$	—

There were no transfers between any levels during the period ended December 31, 2012.

The following acronyms are used throughout this schedule:

ADR = American Depositary Receipts

OTC = Over the Counter

For Federal income tax purposes, cost of investments owned at December 31, 2012 and the related unrealized appreciation (depreciation) were as follows:


Cost	$	109,177
Gross unrealized appreciation		21,582
Gross unrealized depreciation		(1,402	)
Net unrealized appreciation	$	20,180

ITEM 2. CONTROLS AND PROCEDURES.

(a)

The Registrant’s Principal Executive Officer and Principal Financial Officer, or persons performing similar functions, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, have concluded that such controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective and adequately designed to ensure that information required to be disclosed by the Registrant in its reports that it files or submits is accumulated and communicated to the Registrant’s management, including the Principal Executive Officer and Principal Financial Officer, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure.

(b)

There were no significant changes in the registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940, as amended) that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 3. EXHIBITS.

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)).

Attached hereto as Exhibit 99.CERT.

SIGNATURES

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


Ivy Funds
(Registrant)

By		/s/ Mara D. Herrington
		Mara D. Herrington, Vice President and Secretary

Date: February 28, 2013

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


By		/s/ Henry J. Herrmann
		Henry J. Herrmann, Principal Executive Officer

Date: February 28, 2013


By		/s/ Joseph W. Kauten
		Joseph W. Kauten, Principal Financial Officer

Date: February 28, 2013