2020 annual report and audited financial statements … · 2020. 8. 11. · mr. joseph linhares...

Russell Investments Multi-Asset 35 FundRussell Investments Multi-Asset 50 FundRussell Investments Multi-Asset 70 FundRussell Investments Multi-Asset 90 FundRussell Investments Multi-Asset Defensive FundRussell Investments Global Selective Equity Opportunities Fund

2021 ANNUAL REPORT AND AUDITED FINANCIAL STATEMENTS

Russell Investment Company V plcan umbrella fund with segregated liability between sub-funds

31 March 2021

Administration of the Company ..................................................................................................................... 2

Background to the Company......................................................................................................................... 4

Directors’ Report.......................................................................................................................................... 5

Depositary’s Report ..................................................................................................................................... 8

Independent Auditors’ Report........................................................................................................................ 9

Combined Financial Statements.................................................................................................................... 12

Russell Investments Multi-Asset 35 Fund ....................................................................................................... 15




Russell Investments Multi-Asset Defensive Fund ............................................................................................ 62

Russell Investments Global Selective Equity Opportunities Fund ..................................................................... 72

Notes to the Financial Statements ................................................................................................................. 96

Appendix I - Remuneration (unaudited).......................................................................................................... 127

Appendix II - ESMA guidance disclosures regarding benchmarks (unaudited) .................................................. 128

Russell Investment Company V plc

Contents

Contents

Board of Directors of the Company*Mr. James Firn (Chairman)Mr. Peter GonellaMr. Neil JenkinsMr. Joseph LinharesMr. John McMurrayMr. Tom MurrayMr. William PearceMr. William RobertsMr. David Shubotham

Members of the Manager’s Audit CommitteeMr. David Shubotham (Chairman)Mr. Tom MurrayMr. William Roberts

Registered Office78 Sir John Rogerson’s QuayDublin 2Ireland

ManagerRussell Investments Ireland Limited78 Sir John Rogerson’s QuayDublin 2Ireland

Independent AuditorsPricewaterhouseCoopersChartered Accountants and Statutory Audit FirmOne Spencer DockNorth Wall QuayDublin 1Ireland

Legal AdvisersMaples and Calder (Ireland) LLP75 St. Stephen’s GreenDublin 2Ireland

AdministratorState Street Fund Services (Ireland) Limited78 Sir John Rogerson’s QuayDublin 2Ireland

DepositaryState Street Custodial Services (Ireland) Limited78 Sir John Rogerson’s QuayDublin 2Ireland

Global Sub-CustodianState Street Bank and Trust CompanyCopley Place100 Huntington AvenueBoston, MA 02116United States of America

Company SecretaryMFD Secretaries Limited32 Molesworth StreetDublin 2Ireland

Adviser, Investment Manager and UK Facilities AgentRussell Investments LimitedRex House10 Regent Street, St James’sLondon, SW1Y 4PEEngland

Money Managers for Russell Investments Global SelectiveEquity Opportunities FundBrandywine Global Investment Management, LLC1735 Market StreetSuite 1800Philadelphia, PA 19103United States of America

Fiera Capital Corp1501 McGill College AvenueSuite 800Montréal, QC H3A 3M8Canada

Kopernik Global Investors LLCTwo Harbour Place302 Knights Run AvenueSuite 1225Tampa, FL 33602United States of America

Maple-Brown Abbott LimitedLevel 31259 George StreetSydney, NSW 2000Australia

Mar Vista Investment Partners LLC11150 Santa MonicaBoulevardSuite 320Los Angeles, CA 90025United States of America

Morgan Stanley Investment Management Limited25 Cabot SquareCanary WharfLondon E14 4QAUnited Kingdom

NWQ Investment Management Company, LLC2049 Century Park EastSuite 1600Los Angeles, CA 90067United States of America

* As of 31 March 2021.


Administration of the Company

2 Administration of the Company

Pzena Investment Management, LLC320 Park Avenue8th FloorNew York, NY 10022United States of America

Sompo Asset Management Co. Ltd2-2-16 Nihonbashi Chuo-kuTokyo, 103-0027Japan

S.W. Mitchell Cap LLP38 Jermyn StreetPrinces HouseLondon SW1Y 6DNEngland

Paying Agent in Switzerland*Banque Cantonale de Genève17, quai de l’Ile1204 GenevaSwitzerland

Representative in Switzerland*Carnegie Fund Services S.A.11, rue du Général-Dufour1204 GenevaSwitzerland

*The Company’s Memorandum and Articles of Association, the Prospectus, the Key Investor Information Documents, the unaudited semian-nual reports, as well as the audited annual reports can be obtained free of charge from the representative in Switzerland. Subscription and re-demption prices of the shares of each Fund of the Company are published jointly and daily in Switzerland on “www.fundinfo.com” for informa-tion purposes only and do not constitute an invitation to subscribe for or repurchase the Company’s shares at those prices.

Each time performance data is published, it should be noted that the past performance is no indication of current or future performance, and thatit does not take account of the commissions and costs incurred on the issue and redemption of shares.

The list of the purchases and sales and further information can be obtained free of charge from the representative in Switzerland. For the sharesof the Fund distributed to non-qualified investors in and from Switzerland and for the shares of the Fund distributed to qualified investors inSwitzerland, the place of jurisdiction is Geneva.


Administration of the Company - continued

Administration of the Company 3

Russell Investment Company V plc (the “Company”), was incorporated in Ireland as a public limited company on 15 August2002. The Company operates under the Companies Act, 2014 (the �Companies Act�) and is authorised by the Central Bank ofIreland (the “Central Bank”) under registration number C41901, incorporated in Ireland with registration number 360216.

The Company is an open-ended investment company with variable capital and is authorised by the Central Bank under theEuropean Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011 (as amended) (the“UCITS Regulations”) and under the Central Bank (Supervision & Enforcement) Act 2013 (Section 48(1) (Undertakings forCollective Investment in Transferable Securities)) Regulations 2019 (the “Central Bank UCITS Regulations”).

The Company is organised in the form of an umbrella fund with segregated liability between sub-funds and as at 31 March2021 had six funds available for investment, namely: Russell Investments Multi-Asset 35 Fund, Russell Investments Multi-Asset50 Fund, Russell Investments Multi-Asset 70 Fund, Russell Investments Multi-Asset 90 Fund, Russell Investments Multi-AssetDefensive Fund and Russell Investments Global Selective Equity Opportunities Fund (each a “Fund” collectively the “Funds”).Russell Investments Multi-Asset Strategy GBP Defensive has terminated and is no longer available for investment. Anapplication for withdrawal of approval will be made to the Central Bank in due course.

Russell Investment Limited, (the “Adviser”), Russell Investments Ireland Limited (�the Manager�) and their affiliated groupcompanies are referred to collectively as “Russell Investments” in these financial statements.

The net assets under management for the Funds as at 31 March 2021 amounted to USD 1,535,120,862 (as at 31 March2020: USD 1,227,149,585) and are broken down as follows:

FundFunded during

the financial year endedFunctionalcurrency

Net Assets31 March 2021

’000

Net Assets31 March 2020

’000

Russell Investments Multi-Asset 35 Fund 31 March 2005 USD 54,246 76,362Russell Investments Multi-Asset 50 Fund 31 March 2005 USD 130,740 138,705Russell Investments Multi-Asset 70 Fund 31 March 2005 USD 167,112 116,745Russell Investments Multi-Asset 90 Fund 31 March 2005 USD 139,604 104,263Russell Investments Multi-Asset Defensive Fund 31 March 2007 USD 118,442 147,604Russell Investments Global Selective Equity Opportunities Fund 31 March 2017 USD 1,017,874 710,995

All share classes are Roll-up Class Shares unless otherwise indicated in the name of the share class.

All references to “net assets” throughout this document refer to net assets attributable to holders of redeemable participatingshares unless otherwise stated.

U.K. Reporting Fund StatusThe Company conducts its affairs so as to enable U.K. reporting fund status to be obtained under the United Kingdom Incomeand Corporation Taxes Act, 1988 for the purposes of U.K. taxation for each applicable Fund.


Background to the Company

4 Background to the Company

The Directors submit their report together with the audited financial statements for the financial year ended 31 March 2021.

Directors’ responsibilitiesThe Directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable Irishlaw and Generally Accepted Accounting Practice in Ireland (“Irish GAAP”) including the accounting standards issued by theFinancial Reporting Council (“FRC”).

Irish company law requires the Directors to prepare financial statements for each financial year that gives a true and fair view ofthe assets, liabilities and financial position for Russell Investment Company V plc (the “Company”) and of the profit or loss ofthe Company for that financial year. In preparing the financial statements, the Directors are required to:

▪ select suitable accounting policies and then apply them consistently;▪ make judgements and estimates that are reasonable and prudent; and▪ prepare the financial statements on a going concern basis unless it is inappropriate to presume that the Company will

continue in business.

The Directors confirm that they believe that they have complied with the above requirements in preparing the financialstatements.

The Directors are responsible for the maintenance and integrity of the corporate and financial information relating to theCompany which may be included on the Adviser’s website. Legislation in the Republic of Ireland governing the preparation anddissemination of financial statements may differ from legislation in other jurisdictions.

In carrying out the above requirements, the Directors have appointed Russell Investments Ireland Limited as manager (the“Manager”) and the Manager has appointed State Street Fund Services (Ireland) Limited to act as administrator (the“Administrator”) of the Company.

Transactions involving DirectorsIn respect of the 2021 financial year, the Directors are not aware of any contracts or arrangements of any significance in relationto the business of the Company in which the Directors or their connected persons had any interest as defined by the CompaniesAct, other than those disclosed in Note 5, “Transactions with Related Parties”.

Accounting RecordsThe Directors are responsible for maintaining adequate accounting records which correctly explain and record the transactions ofthe Company, enable at any time the assets, liabilities, financial position and profit or loss of the Company to be determinedwith reasonable accuracy, enable them to ensure that the financial statements and Directors’ Report comply with the CompaniesAct and enable the financial statements to be audited. They are also responsible for ensuring that the financial statements areprepared in accordance with accounting standards generally accepted in Ireland and comply with the Companies Act and theEuropean Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011 (as amended) (the“UCITS Regulations”). The Directors are also responsible for safeguarding the assets of the Company. In this regard they haveappointed State Street Custodial Services (Ireland) Limited (the “Depositary”) as Depositary to the Company pursuant to theterms of a depositary agreement. The Directors have a responsibility for taking such steps as are reasonably open to them toprevent and detect fraud and other irregularities. The Directors believe that they have complied with the requirements of theCompanies Act, with regard to accounting records by employing an experienced administrator with appropriate expertise and byproviding adequate resources to the financial function. The accounting records of the Company are maintained by theAdministrator at 78 Sir John Rogerson’s Quay, Dublin 2, Ireland.

DistributionsPlease refer to Note 8 to the financial statements for details of the distribution policy of each of the Funds.

Connected Person’s TransactionsRegulation 43 of the Central Bank UCITS Regulations “Restrictions of transactions with connected persons” states that “Aresponsible person shall ensure that any transaction between a UCITS and a connected person is conducted a) at arm’s length;and b) in the best interest of the unit-holders of the UCITS”.

As required under the Central Bank UCITS Regulation 81(4), the Directors, as responsible persons are satisfied that there arearrangements in place, evidenced by written procedures, to ensure that the obligations that are prescribed by Central BankRegulation 43(1) are applied to all transactions with a connected person; and all transactions with a connected person that wereentered into during the period to which the report relates complied with the obligations that are prescribed by Central BankRegulation 43(1).


Directors’ Report

Directors’ Report 5

Review of performance of the business, principal activities and future developments of the businessAs of reporting date, the Directors have no reason to believe that the Company is not able to continue as a going concern.

A detailed performance review of the business and its principal activities is included in the Manager’s Report for each Fund.

Principal risks and uncertaintiesBeginning in January 2020, global financial markets have experienced and may continue to experience significant volatilityresulting from the spread of a novel coronavirus known as COVID-19. The outbreak of COVID-19 has resulted in travel andborder restrictions, quarantines, supply chain disruptions, lower consumer demand and general market uncertainty. COVID-19 has and may continue to adversely affect the global economy, the economies of certain nations and individual issuers, all ofwhich may negatively impact the Funds’ performance.

The Directors and the Company’s delegates are closely monitoring the developments and the advice relating to the spread of theCOVID-19. The Russell Investments Group has a robust global business continuity programme that includes incidentmanagement/crisis management, life safety and facilities. The business continuity programme contains over 65 individual plans,one for each key global or regional business unit. The Group has implemented and continues to implement measures to maintainthe ongoing safety and well-being of employees.

The United Kingdom (“UK”) left the European Union (“EU”) on 31 January 2020, with a transition period that ended on31 December 2020. During the transition period, the UK continued to comply with EU laws.

Russell Investments obtained legal advice from counsel in the jurisdictions in the EU27 where Russell Investments carried outregulated activity at the end of the Transition Period. Where possible, Russell Investments’UK FCA authorised firms continue toprovide services through national regimes. Where no national regime was available, contracts were novated to RussellInvestments Ireland Limited. Training was provided throughout the business to ensure Russell associates are aware of theregulatory framework and continue to operate within it.

A detailed analysis of the risks facing each Fund and the use of financial instruments is included in Note 11 and Note 12 of thefinancial statements.

Throughout the financial year, the Company maintained the aim of spreading investment risk in accordance with the CompaniesAct.

Results and dividendsThe results for the financial year are set out in the Profit and Loss Account for each Fund. Dividends were declared during thefinancial year as detailed in Note 8 of the financial statements.

Significant events during the financial yearSignificant events during the financial year are disclosed in Note 17 of the financial statements.

Significant events since the financial year endSignificant events since the financial year end are disclosed in Note 18 of the financial statements.

Voluntary adoption of the Corporate Governance CodeThe Irish Funds Industry Association (“Irish Funds”) in association with the Central Bank has published a corporate governancecode (the “Irish Funds Code”) that may be adopted on a voluntary basis by Irish authorised collective investment schemes. TheBoard of Directors voluntarily adopted the Irish Funds Code as the Company’s corporate governance code effective from31 December 2012. The Company has been in compliance with the Irish Funds Code since its adoption.

Directors

The name and nationality of persons who were Directors at any time during the financial year ended 31 March 2021 are set outbelow. All Directors are non-executive directors. Except where indicated all acted as Directors for the entire financial year.

Mr. James Firn (American and British) (Chairman)Mr. Peter Gonella (British)Mr. Neil Jenkins (British)Mr. Joseph Linhares (American)Mr. John McMurray (American)Mr. Tom Murray (Irish)Mr. William Pearce (British)Mr. William Roberts (British and Irish resident)Mr. David Shubotham (Irish)


Directors’ Report - continued

6 Directors’ Report

Directors’ and Secretary’s interestsNone of the Directors or the Company Secretary hold or held any beneficial interest in the shares of the Company during thefinancial year. Each of the Directors is employed by Russell Investments entities except for Mr. Tom Murray, Mr. WilliamRoberts, Mr. David Shubotham and Mr. James Firn. Mr. Firn is a former employee of Russell Investments who retired in June2014. He continues to act as a director of the Manager and the investment funds managed by the Manager.

No Director had, at any time during the financial year or at the financial year end, a material interest in any contract ofsignificance in relation to the business of the Company.

Compliance statementThe Directors acknowledge that they are responsible for securing the Company’s compliance with its relevant obligations. Theseinclude all requirements of the Company under Section 225 of Companies Act, and all tax law within the Republic of Ireland(the �relevant obligations�).

In keeping with this responsibility, the Directors have:▪ drawn up a compliance policy statement setting out the Company’s compliance with the relevant obligations;▪ appointed the Adviser, and relies on the Adviser’s risk and compliance departments to implement these procedures and

secure material compliance with the relevant obligations; and▪ performed a review of this policy statement, and its implementation by the Adviser.

Audit CommitteeThe Audit Committee of the Manager will oversee the Company’s audit related affairs according to the Terms of Reference ofthe Audit Committee of the Manager. The membership of the Audit committee is disclosed in the Administration of theCompany on page 2.

Relevant audit informationSo far as the Directors are aware. there is no relevant audit information of which the Company’s auditors are unaware and theDirectors have taken all the steps that should have been taken as Directors in order to make themselves aware of any relevantaudit information and to establish that the Company’s auditors are aware of that information.

Independent AuditorsThe Auditors, PricewaterhouseCoopers, will be re-appointed in accordance with section 383 of the Companies Act.

On behalf of the BoardDirector Director

8 July 2021


Directors’ Report - continued

Directors’ Report 7

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We have enquired into the conduct of Russell Investment Company V plc (the �Company�) for the financial year ended 31 March2021, in our capacity as depositary to the Company.

This report including the opinion has been prepared for and solely for the shareholders in the Company as a body, in accordancewith the Regulation 34(1), (3) and (4) in Part 5 of the European Communities (Undertakings for Collective Investment inTransferable Securities) Regulations 2011 as amended, (the �UCITS Regulations�) and for no other purpose. We do not, in givingthis opinion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown.

Responsibilities of the DepositaryOur duties and responsibilities are outlined in Regulation 34(1), (3) and (4) in Part 5 of the UCITS Regulations. One of thoseduties is to enquire into the conduct of the Company in each annual accounting period and report thereon to the shareholders.

Our report shall state whether, in our opinion, the Company has been managed in that financial year in accordance with theprovisions of the Company’s Memorandum and Articles of Association and the UCITS Regulations. It is the overallresponsibility of the Company to comply with these provisions. If the Company has not so complied, we. as the Depositary, muststate why this is the case and outline the steps which we have taken to rectify the situation.

Basis of Depositary OpinionThe Depositary conducts such reviews as it, in its reasonable opinion, considers necessary in order to comply with its duties asoutlined in Regulation 34(1), (3) and (4) in Part 5 of the UCITS Regulations and to ensure that, in all material respects, theCompany has been managed (i) in accordance with the limitations imposed on its investment and borrowing powers by theprovisions of its constitutional documentation and the UCITS Regulations and (ii) otherwise in accordance with the Company’sconstitutional documentation and the appropriate regulations.

Opinion

In our opinion, the Company has been managed during the financial year, in all material respects:

i) in accordance with the limitations imposed on the investment and borrowing powers of the Company by theMemorandum & Articles of Association , the UCITS Regulations and the Central Bank (Supervision andEnforcement) Act 2013 (Section 48(I)); (Undertakings for Collective Investment in Transferable Securities)Regulations 2019 (’the Central Bank UCITS Regulations’); and

ii) otherwise in accordance with the provisions of the Memorandum & Articles of Association, the UCITSRegulations and the Central Bank UCITS Regulations.

State Street Custodial Services (Ireland) Limited78 Sir John Rogerson’s QuayDublin 2Ireland

8 July 2021


Depositary’s Report

8 Depositary’s Report

Independent auditors’ report to the members of Russell Investment Company V plc

Report on the audit of the financial statements

Opinion

In our opinion, Russell Investment Company V plc’s financial statements:

• give a true and fair view of the Company’s and Funds’ assets, liabilities and financial position as at 31 March 2021 and of their results for the year then ended;

• have been properly prepared in accordance with Generally Accepted Accounting Practice in Ireland (accounting standards issued by the Financial Reporting Council of the UK, including Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” and Irish law); and

• have been properly prepared in accordance with the requirements of the Companies Act 2014 and the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011 (as amended).

We have audited the financial statements, included within the Annual Report and Audited Financial Statements, which comprise:

• the Balance Sheet of the Company and each of its Funds as at 31 March 2021;

• the Profit and Loss Account of the Company and each of its Funds for the year then ended;

• the Statement of Changes in Net Assets Attributable to Redeemable Participating Shareholders of the Company and each of its Funds for the year then ended;

• the Schedule of Investments for each of the Funds as at 31 March 2021; and

• the notes to the financial statements for the Company and for each of its Funds, which include a description of the significant accounting policies.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (Ireland) (“ISAs (Ireland)”) and applicable law.

Our responsibilities under ISAs (Ireland) are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remained independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in Ireland, which includes IAASA’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

Conclusions relating to going concern

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company’s and Funds’ ability to continue as a going concern for a period of at least twelve months from the date on which the financial statements are authorised for issue.

In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the Company’s and Funds’ ability to continue as a going concern.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Reporting on other information

The other information comprises all of the information in the Annual Report and Audited Financial Statements other than the financial statements and our auditors’ report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except to the extent otherwise explicitly stated in this report, any form of assurance thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify an apparent material inconsistency or material misstatement, we are required to perform procedures to conclude whether there is a material misstatement of the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report based on these responsibilities.

With respect to the Directors’ Report, we also considered whether the disclosures required by the Companies Act 2014 have been included.

Based on the responsibilities described above and our work undertaken in the course of the audit, ISAs (Ireland) and the Companies Act 2014 require us to also report certain opinions and matters as described below:

• In our opinion, based on the work undertaken in the course of the audit, the information given in the Directors’ Report for the year ended 31 March 2021 is consistent with the financial statements and has been prepared in accordance with applicable legal requirements.

• Based on our knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified any material misstatements in the Directors’ Report.

Responsibilities for the financial statements and the audit

Responsibilities of the directors for the financial statements

As explained more fully in the Directors’ Responsibilities set out on page 5, the directors are responsible for the preparation of the financial statements in accordance with the applicable framework and for being satisfied that they give a true and fair view.

The directors are also responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Company’s and Funds’ ability to continue as going concerns, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Auditors’ responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (Ireland) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Our audit testing might include testing complete populations of certain transactions and balances, possibly using data auditing techniques. However, it typically involves selecting a limited number of items for testing, rather than testing complete populations. We will often seek to target particular items for testing based on their size or risk characteristics. In other cases, we will use audit sampling to enable us to draw a conclusion about the population from which the sample is selected.

A further description of our responsibilities for the audit of the financial statements is located on the IAASA website at:

https://www.iaasa.ie/getmedia/b2389013-1cf6-458b-9b8f-a98202dc9c3a/Description_of_auditors_responsibilities_for_audit.pdf.

This description forms part of our auditors’ report.

https://www.iaasa.ie/getmedia/b2389013-1cf6-458b-9b8f-a98202dc9c3a/Description_of_auditors_responsibilities_for_audit.pdf

https://www.iaasa.ie/getmedia/b2389013-1cf6-458b-9b8f-a98202dc9c3a/Description_of_auditors_responsibilities_for_audit.pdf

Use of this report

This report, including the opinions, has been prepared for and only for the Company’s members as a body in accordance with section 391 of the Companies Act 2014 and for no other purpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

Other required reporting

Companies Act 2014 opinions on other matters

• We have obtained all the information and explanations which we consider necessary for the purposes of our audit.

• In our opinion the accounting records of the Company were sufficient to permit the financial statements to be readily and properly audited.

• The financial statements are in agreement with the accounting records.

Companies Act 2014 exception reporting

Directors’ remuneration and transactions

Under the Companies Act 2014 we are required to report to you if, in our opinion, the disclosures of directors’ remuneration and transactions specified by sections 305 to 312 of that Act have not been made. We have no exceptions to report arising from this responsibility.

Declan Murphy for and on behalf of PricewaterhouseCoopers Chartered Accountants and Statutory Audit Firm Dublin 8 July 2021

Total Total31 March 2021 31 March 2020

USD ‘000 USD ‘000

AssetsFinancial assets at fair value through profit or loss........................................................... 1,398,458 1,157,603

Cash at bank ...................................................................................................................... 109,149 43,299Cash held with brokers and counterparties for open financial derivative instruments ..... 31,249 32,367

Debtors:Receivable for investments sold .................................................................................... 3,100 503Receivable on fund shares issued .................................................................................. 993 1,083Dividends receivable...................................................................................................... 3,007 2,863Prepayments and other debtors...................................................................................... 954 1,035

1,546,910 1,238,753

LiabilitiesFinancial liabilities at fair value through profit or loss ..................................................... (5,334) (9,228)

Creditors – amounts falling due within one financial year:Cash due to brokers and counterparties for open financial derivative instruments....... (90) -Payable for investments purchased ................................................................................ (3,875) (176)Payable on fund shares redeemed.................................................................................. (1,094) (1,113)Management fees payable.............................................................................................. (1,038) (882)Depositary fees payable................................................................................................. (80) (54)Sub-custodian fees payable............................................................................................ (49) (31)Administration fees payable .......................................................................................... (133) (22)Audit fees payable ......................................................................................................... (96) (97)

(11,789) (11,603)

Net assets attributable to redeemable participating shareholders .............................. 1,535,121 1,227,150

On behalf of the BoardDirector Director

8 July 2021


Combined Balance Sheet

As at 31 March 2021

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

12 Combined Balance Sheet

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Total Total2021 2020

USD ‘000 USD ’000

IncomeDividends....................................................................................................................... 16,408 18,759Interest income .............................................................................................................. - 291

16,408 19,050

Net gain (loss) on investment activities ............................................................................. 527,215 (130,520)

Total investment income (expense) ................................................................................. 543,623 (111,470)

ExpensesManagement fees........................................................................................................... (11,372) (11,298)Less: Management fees reimbursement ........................................................................ 3,786 4,017Depositary fees .............................................................................................................. (209) (241)Sub-custodian fees......................................................................................................... (130) (151)Administration and transfer agency fees ....................................................................... (607) (579)Audit fees....................................................................................................................... (96) (97)Professional fees............................................................................................................ (72) (82)Other fees....................................................................................................................... (296) (229)

Total operating expenses ................................................................................................. (8,996) (8,660)

Net income (expense) ....................................................................................................... 534,627 (120,130)

Finance costsDistributions .................................................................................................................. (7,407) (11,519)

Profit (loss) for the financial year before taxation........................................................ 527,220 (131,649)

TaxationCapital gains tax ............................................................................................................ (14) (235)Withholding tax ............................................................................................................. (2,884) (2,447)

Net increase (decrease) in net assets attributable to redeemable participatingshareholders resulting from operations ......................................................................... 524,322 (134,331)

All amounts in respect of the financial year ended 31 March 2021 arose solely from continuing operations. There are no recognised gains orlosses other than those dealt with in the Profit and Loss Account.


Combined Profit and Loss Account

For the financial year ended 31 March 2021


Combined Profit and Loss Account 13

Total2021

USD ‘000

Total2020

USD ‘000


Share transactionsReinvestment of deemed distributions on accumulation shares .................................... 7,407 11,520Net increase (decrease) in net assets resulting from redeemable participating sharetransactions .................................................................................................................... (223,758) 14,679

Total net increase (decrease) in net assets attributable to redeemable participatingshareholders ..................................................................................................................... 307,971 (107,928)

Net assets attributable to redeemable participating shareholdersBeginning of financial year ........................................................................................... 1,227,150 1,335,078

End of financial year ..................................................................................................... 1,535,121 1,227,150


Combined Statement of Changes in Net Assets Attributable to Redeemable ParticipatingShareholders



14 Combined Statement of Changes in Net Assets Attributable to Redeemable Participating Shareholders

Investment Manager as at 31 March 2021Russell Investments Limited

Investment ObjectiveThe investment objective of Russell Investments Multi-Asset 35 Fund (the “Fund”) is to maintain capital value and to generatemodest levels of long-term capital appreciation while maintaining a high level of risk control. The Fund will seek to achieve thisobjective by investing predominantly in other regulated collective investment schemes that invest in equities, fixed incomesecurities and alternative asset classes (being asset classes other than equity and fixed income, including cash). Approximately35 per cent of the Fund’s net asset value will be invested in growth assets.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund returned 18.2 per cent on a gross-of-fee basis (15.8 per cent on a net-of-fee basis), while the benchmark* returned 15.1 per cent.

Market CommentGlobal equity markets surged higher and comfortably outperformed fixed income markets during the second quarter of 2020.Despite the painful economic fallout from coronavirus lockdowns, the severe “risk-off ” market environment in the first quarterlargely reversed over the second quarter. A divergence in economic fundamentals and financial market performance becamepronounced. The concerted support of monetary policy and a further opening of fiscal taps drove a rapid recovery in risk appetite,including a sharp tightening of credit spreads. Investors latched onto positive news regarding potential vaccines and treatmentsagainst Covid-19. However, economic fundamentals remain largely weak in the near-term horizon, including significant GDPcontractions. Some green shoots engendered from gradual geographic easing of lockdowns. Fears of a second wave ofcoronavirus infections, as well as escalating tensions between the US and China on trade, the origins of Covid-19 and China’s newsecurity law on Hong Kong, remained in investors’ thoughts. In the US, the S&P 500 index experienced the strongest quarterlyincrease since the final quarter of 1998. The Federal Reserve (Fed) continued to expand its support programmes. Over the quarter,the benchmark 10-year Treasury yield decreased by a single basis point to 0.66 per cent. The Bank of England (BoE) expandedquantitative easing by GBP 100 billion to a total of GBP 745 billion. UK 10-year gilt yields decreased by 19 basis points (bps) to0.17 per cent. Meanwhile, the European Central Bank (ECB) boosted its bond-buying stimulus to EUR 1.35 trillion and theEuropean Union (EU) proposed a record-breaking EUR 750 billion support package (which included risk-sharing across theeurozone through Eurobonds). The German 10-year bund yield increased two bps to -0.45 per cent in this environment. EmergingMarket equities marginally lagged global markets but recorded a strong quarter of performance.

Both global equity and fixed income markets increased over the third quarter of 2020. The period was generally positive for mostasset classes; however, this was mainly localized over July and August. Risk appetite built up as lockdown restrictions eased fromthe end of the second quarter. Investor confidence was further cemented by Covid-19 vaccine hopes and stabilizing oil prices,despite broadly weak corporate earnings and data confirming economic recessions. Sentiment reversed in September as risingcoronavirus cases pointed towards a second wave of infections. Brexit uncertainties and volatility in the run-up to November’s USpresidential election, further dampened investors’ mood. Central bank policies remained supportive. The US Federal Reserve(Fed) kept rates unchanged but revealed a shift in policy to an average target inflation rate. Fed chair Jay Powell confirmed bothinflation and employment could run above target and its maximum level respectively “without causing concern” – suggestingrates will remain low for some time. The benchmark 10- year Treasury yield increased two basis points (bps) to 0.68 per centwhile the US dollar weakened against a basket of currencies. The ECB also considered overshooting its inflation target for thefirst time. Borrowing costs for eurozone governments (e.g. Italy, Spain and Portugal) returned back to pre-coronavirus levels,indicating that the ECB’s unprecedented programme of asset purchases boosted confidence in the area. In the UK, the potentialuse of negative interest rates spooked investors.

Global equity markets rallied while fixed income markets edged higher in the fourth quarter 2020. Major Covid-19 vaccinebreakthroughs sent a wave of relief throughout markets, as investors began to believe that an end of the global pandemic wasfinally within reach. This development offset the negative effects on investor sentiment engendered by a new Covid-19 strain, asecond wave of rising coronavirus cases and newly imposed lockdown restrictions in several countries. Alongside the positivevaccine news, political uncertainty eased in the US, with Joe Biden winning the US presidential election, and in Europe, wherethe UK and the EU agreed upon a Brexit trade deal. In the US, the Federal Reserve maintained its accommodative monetarypolicy while Congress agreed to a USD 900 billion fiscal stimulus bill. The benchmark 10-year Treasury yield increased 23 basispoints (bps) to 0.91 per cent. Across the pond, UK equities enjoyed a strong quarter. Sterling rallied on the Brexit tradeagreement. The BoE added another GBP 150 billion to its bond-buying programme, pushing it to a total of GBP 875 billion. TheECB also expanded its emergency bond-buying programme, by EUR 500 billion – taking its total value to EUR 1.85 trillion. Thebenchmark 10-year bond yield decreased in the UK (-3 bps to 0.20 per cent) and in Germany (-5 bps to -0.57 per cent).

Russell Investment Company V plcRussell Investments Multi-Asset 35 Fund

Manager’s Report

Russell Investments Multi-Asset 35 Fund 15

Global equity markets recovered from a negative start to enjoy a positive quarter whereas global bonds sold-off in the first quarterof 2021. Sustained government and central bank support, alongside improved global growth prospects, engendered increasedinflation expectations. Consequently, government bond curves steepened, and yields climbed sharply higher. Stocks most closelytied to the economy, namely value and small capitalization equities, largely outperformed their growth and large cap peers,respectively. In the US, President Joe Biden’s Democratic Party secured control of Congress and launched a USD 1.9 trillionfiscal stimulus plan. The Federal Reserve upgraded its economic forecasts but continued to predict record-low interest rates untilat least the end of 2023. The benchmark 10-year US Treasury yield increased 83 basis points (bps) to 1.74 per cent, ending thequarter at its highest yield since January 2020. In the UK, the BoE pushed back on negative interest rates and projected GDPwould strongly recover in 2021 towards pre-Covid-19 levels. This came as the government revealed a “roadmap” out of thenational lockdown and the coronavirus vaccine programme continued. This environment pushed the benchmark 10-year gilt yieldup 65 basis points to 0.85 per cent. The successful rollout of coronavirus vaccines in the US and UK was a contrast to other areasof the world, including the eurozone. The ECB kept interest rates unchanged but pledged to increase the rate of bond purchases totackle the rise in eurozone bond yields and support the euro area economic recovery. This boosted demand for peripheralEuropean debt. Investors also indicated confidence in new Italian Prime Minister Mario Draghi. The benchmark German 10-yearbund yield increased 28 bps to -0.29 per cent.

General Comment on Managers/PerformanceThe Fund was positive for the second quarter of 2020. Further announcements of fiscal policy support such as the EuropeanUnion’s record-breaking EUR 750 billion quantitative easing program and the US’ USD 484 billion coronavirus relief billalongside the Federal Reserve’s new corporate bond buying program, helped US and EU investment grade credit spreads tightensharply. Government bonds also performed well despite the ‘risk on’ environment as additional quantitative easing measures wereannounced by global central banks. Meanwhile, US and EU high yield spreads tightened meaningfully, helped by a recovery in oilprices and the Federal Reserve’s announcement to include fallen angels within their corporate bond buying program. Positivereports regarding potential vaccines and treatments against Covid-19 also helped. Emerging Market Debt spreads also narrowedgiven the positive environment for risk assets.

The Fund recorded a positive return, with performance driven primarily driven by global equities and high yield bonds in the thirdquarter of 2020. Positive investor sentiment dominated July and August driven by Covid-19 vaccine hopes, stabilising oil pricesand robust corporate earnings, with equities rallying for five consecutive months. However, sentiment reversed in September asrising coronavirus cases pointed towards a second wave of infections. Fears stemming from Brexit and the upcoming USpresidential elections also drove market uncertainty. Meanwhile, EU leaders agreed to a historic EUR 750 billion stimulus planearly in the quarter. This was further boosted by France and Germany proposing a further EUR 500 billion to the EurozoneRecovery Fund. UK Chancellor Rishi Sunak also announced plans to replace the UK’s furlough scheme with a German stylewage subsidy plan. Over the quarter there was a modest tightening in US/EU IG credit spreads.

The Fund recorded a positive return in the last quarter of 2020. Covid-19 vaccines developments, Joe Biden’s US presidentialelection victory, a Brexit trade agreement and further monetary and fiscal stimulus supported investor risk sentiment. Theallocation to credit through high yield and investment grade bonds was a key positive driver, as spreads tightened to pre-coronavirus levels over the period. Exposure to global equities also drove returns with small and mid-cap companiesoutperforming, benefitting our active positioning. The Bank of England kept interest rates unchanged but increased its bondbuying programme by GBP 150bn. Meanwhile, the ECB expanded its pandemic purchase programme (PEPP) by EUR 500bn andextended it to at least the end of March 2022.

The Fund delivered a modest negative return in the first quarter of 2021. Expectations of higher economic growth and further USfiscal stimulus led to a rise in yields, which impacted the Fund’s defensive positioning in credit and government bonds. Exposureto gold also negatively impacted performance. In contrast, the allocation to high yield bonds benefitted performance given thelower interest rate sensitivity. Within equities, exposure to US equities added value, supported by additional stimulus from theBiden administration and continued success in Covid-19 vaccine rollouts. The allocation to Japanese and European equities wasalso positive. Emerging Markets equities were the only area of comparative weakness, underperforming global equities primarilydue to the decline in Chinese tech stocks, stemming from a combination of rising interest rates and increased regulatory scrutinyin China.

Past performance is no indication of current or future performance.* Benchmark Source: RIC V Global 35 Multi Manager Fund SAA Benchmark

Russell Investments Ireland LimitedMay 2021


Manager’s Report - continued

16 Russell Investments Multi-Asset 35 Fund

31 March 2021 31 March 2020USD ‘000 USD ‘000

AssetsFinancial assets at fair value through profit or loss (Note 2) ............................................ 46,747 75,084

Cash at bank (Note 3) ........................................................................................................ 7,498 1,277Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... 91 159

Debtors:Receivable for investments sold .................................................................................... 267 -Receivable on fund shares issued .................................................................................. 159 85Dividends receivable...................................................................................................... 20 -Prepayments and other debtors...................................................................................... 93 155

54,875 76,760

LiabilitiesFinancial liabilities at fair value through profit or loss (Note 2)....................................... (137) (130)

Creditors – amounts falling due within one financial year:Payable on fund shares redeemed.................................................................................. (420) (175)Management fees payable.............................................................................................. (51) (75)Depositary fees payable................................................................................................. (2) (3)Administration fees payable .......................................................................................... (5) (1)Audit fees payable ......................................................................................................... (14) (14)

(629) (398)

Net assets attributable to redeemable participating shareholders .............................. 54,246 76,362


Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000

IncomeDividends....................................................................................................................... 114 -

Net gain (loss) on investment activities (Note 4) .............................................................. 10,569 (2,207)


ExpensesManagement fees (Note 5) ............................................................................................ (671) (864)Less: Management fees reimbursement (Note 5) .......................................................... 448 560Depositary fees (Note 6)................................................................................................ (8) (13)Administration and transfer agency fees (Note 6)......................................................... (56) (61)Audit fees (Note 6) ........................................................................................................ (14) (14)Professional fees............................................................................................................ (6) (10)Other fees....................................................................................................................... (25) (21)

Total operating expenses ................................................................................................. (332) (423)


All amounts in respect of the financial year ended 31 March 2021 arose solely from continuing operations. There are no recognised gains or losses other thanthose dealt with in the Profit and Loss Account.


Profit and Loss Account




2021USD ‘000

2020USD ‘000


Share transactionsNet increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... (32,467) 7,674

Total net increase (decrease) in net assets attributable to redeemable participatingshareholders ..................................................................................................................... (22,116) 5,044

Net assets attributable to redeemable participating shareholdersBeginning of financial year ........................................................................................... 76,362 71,318

End of financial year ..................................................................................................... 54,246 76,362


Statement of Changes in Net Assets Attributable to Redeemable Participating Shareholders




Numberof Shares ’000

Fair ValueUSD ’000

Fund%

Investment Funds (86.15%) (2020: 98.27%)Ireland (83.85%)GO UCITS ETF (0.02%)

1 L&G Longer Dated AllCommodities UCITSETF................................ 8 0.02

iShares PM (3.63%)59 iShares Physical Gold

ETC ............................... 1,971 3.63

Multi-Style, Multi-Manager Funds plc(1.32%)

1 The Global Real EstateSecurities Fund Class BRoll-Up Shares .............. 717 1.32

OpenWorld plc (1.34%)- Russell Investments

Global ListedInfrastructure Class AUSD AccumulatedShares ............................ 727 1.34

Russell Investment Company II plc(17.78%)

1 Russell InvestmentsEmerging Market DebtLocal Currency FundClass I USDAccumulated Shares ...... 551 1.02

450 Russell InvestmentsGlobal Bond (EuroHedged) FundClass DH-BAccumulated Shares ...... 9,092 16.76

9,643 17.78

Russell Investment Company III plc(1.21%)

1 Russell InvestmentsU.S. Dollar Cash FundII - Class R Roll-UpShares ............................ 655 1.21

Russell Investment Company plc (42.56%)25 Russell Investments

Emerging MarketsEquity Fund Class BAccumulated Shares ...... 753 1.39

536 Russell InvestmentsGlobal Bond FundClass DH-BAccumulated Shares ...... 10,447 19.26



Fund%

2 Russell InvestmentsGlobal Credit FundClass USD H-A IncomeShares ............................ 2,550 4.70

1 Russell InvestmentsGlobal High Yield FundClass DH-B Roll-UpShares ............................ 1,721 3.17

5 Russell InvestmentsUnconstrained BondFund Class I USDShares ............................ 5,063 9.33

80 Russell InvestmentsWorld Equity Fund IIClass A AccumulatedShares ............................ 1,949 3.59

2 Russell InvestmentsWorld Equity Fund IIClass USDH-NAccumulated Shares ...... 606 1.12

23,089 42.56

Russell Investment Company V plc(15.99%)

5 Russell InvestmentsGlobal Selective EquityOpportunities FundClass C AccumulatedShares ............................ 8,673 15.99

Total Ireland................. 45,483 83.85

Luxembourg (2.30%)Amundi Funds (0.04%)

- Absolute VolatilityWorld EquitiesClass USDAccumulated Shares ...... 25 0.04

BlueBay Funds Management Company(2.26%)

9 BlueBay GlobalConvertible Bond Fund- Class B USDAccumulated Shares ...... 1,225 2.26

Total Luxembourg ....... 1,250 2.30

Total Investmentsexcluding FinancialDerivativeInstruments .................. 46,733 86.15


Schedule of Investments

31 March 2021



Financial Derivative Instruments ((0.23)%) (2020: (0.11)%)

Open Futures Contracts ((0.14)%)

NotionalAmount

USD ‘000

AverageCost Price

USD

UnrealisedGain (Loss)USD ‘000

Fund%

220 2,198.50 2 of MSCI EAFE Index FuturesLong Futures ContractsExpiring June 2021................................................ (1) 0.00

203 1,350.00 3 of MSCI Emerging Markets Index FuturesLong Futures ContractsExpiring June 2021................................................ (4) (0.01)

591 3,941.26 3 of S&P 500 E Mini Index FuturesLong Futures ContractsExpiring June 2021................................................ 4 0.01

2,954 134.28 22 of U.S. 10 Years Note FuturesLong Futures ContractsExpiring June 2021................................................ (73) (0.14)

Unrealised gain on open futures contracts............................................................................ 4 0.01Unrealised loss on open futures contracts ............................................................................ (78) (0.15)

Net unrealised gain (loss) on open futures contracts ....................................................... (74) (0.14)

Open Forward Foreign Currency Exchange Contracts ((0.09)%)

SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 EUR 543 USD 647 (9) (0.02)16/06/2021 EUR 542 USD 646 (7) (0.01)16/06/2021 GBP 200 USD 278 (2) 0.0016/06/2021 JPY 128,015 USD 1,180 (20) (0.04)16/06/2021 JPY 128,015 USD 1,178 (19) (0.04)16/06/2021 USD 128 CAD 161 (1) 0.0016/06/2021 USD 128 CAD 161 (1) 0.0016/06/2021 USD 562 JPY 61,000 10 0.02

Unrealised gain on open forward foreign currency exchange contracts .................................. 10 0.02Unrealised loss on open forward foreign currency exchange contracts................................... (59) (0.11)

Net unrealised gain (loss) on open forward foreign currency exchange contracts ........... (49) (0.09)

Total Financial Derivative Instruments ............................................................................... (123) (0.23)

Fair ValueUSD ‘000

Fund%

Total Financial Assets at Fair Value through Profit or Loss(86.18%)......................................................................................... 46,747 86.18


Schedule of Investments - continued

31 March 2021




Fund%

Total Financial Liabilities at Fair Value through Profit orLoss ((0.26)%) ............................................................................... (137) (0.26)

Net Financial Assets at Fair Value through Profit or Loss(85.92%) ........................................................................................ 46,610 85.92Other Net Assets (14.08%) ........................................................... 7,636 14.08

Net Assets ....................................................................................... 54,246 100.00

Analysis of gross assets – (unaudited)% of

gross assets

Investment funds (UCITS) .................................................................................................................................. 85.16Exchange traded financial derivative instruments .............................................................................................. 0.01Over the counter financial derivative instruments .............................................................................................. 0.02Other assets ......................................................................................................................................................... 14.81

100.00

Counterparty exposure risk (Note 12 e))

The following tables analyse the brokers/counterparties for the open financial derivative positions and the respective unrealisedgains and losses and fair value.

As at 31 March 2021

Open FuturesContracts

Open ForwardForeign Currency

ExchangeContracts Total

Broker/counterparty USD ‘000 USD ‘000 USD ’000

Unrealised Unrealised Fair ValueGains Losses Gains Losses Assets Liabilities

Morgan Stanley .................................................................................. 4 (78) - - 4 (78)Royal Bank of Canada ....................................................................... - - - (30) - (30)UBS AG ............................................................................................. - - 10 (29) 10 (29)

Total financial derivatives positions ............................................... 4 (78) 10 (59) 14 (137)

As at 31 March 2020






Citibank.............................................................................................. - - 4 (50) 4 (50)Morgan Stanley .................................................................................. 32 (21) - - 32 (21)Royal Bank of Canada ....................................................................... - - 4 (59) 4 (59)

Total financial derivative positions ................................................. 32 (21) 8 (109) 40 (130)



31 March 2021



Fair Value Hierarchy (Note 12 b) i))

The following tables analyse within the fair value hierarchy the Fund’s financial assets and liabilities (by investment type)measured at fair value at 31 March 2021 and 31 March 2020.

As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000

AssetsFinancial assets at fair value through profit or loss:

Investments at fair value:Investment funds ..................................................................... 1,979 44,754 - 46,733

Unrealised gain on open futures contracts ................................. 4 - - 4Unrealised gain on open forward foreign currency exchangecontracts...................................................................................... - 10 - 10

Total assets.................................................................................... 1,983 44,764 - 46,747

LiabilitiesFinancial liabilities at fair value through profit or loss:

Unrealised loss on open futures contracts .................................. (78) - - (78)Unrealised loss on open forward foreign currency exchangecontracts...................................................................................... - (59) - (59)

Total liabilities .............................................................................. (78) (59) - (137)

As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 1,785 73,299 - 75,084


Unrealised loss on open futures contracts .................................. (21) - - (21)Unrealised loss on open forward foreign currency exchangecontracts...................................................................................... - (109) - (109)




31 March 2021



Portfolio SecuritiesAcquisition Cost

USD ‘000

Russell Investment Company plcRussell Investments Global Credit FundClass USDH-A Income Shares 4,750

Russell Investment Company II plcRussell Investments Global Bond (Euro Hedged) FundClass DH-B Shares 1,200

Russell Investment Company plcRussell Investments Global Bond FundClass DH-B Shares 1,200

Lyxor Core US TIPS DR UCITS ETF 1,106Russell Investment Company plc

Russell Investments World Equity Fund IIClass USDH-N Shares 850

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares 600

Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass C Accumulation Shares 550

iShares Physical Gold ETC 402Russell Investment Company II plc

Russell Investments Emerging Market Debt LocalCurrency FundClass I USD Shares 350

Russell Investment Company plcRussell Investments Global High Yield FundClass DH-B Roll Up Shares 350

BlueBay Funds Management CompanyBlueBay Global Convertible Bond FundClass B USD Accumulated Shares 5

Portfolio SecuritiesDisposal Proceeds

USD ‘000

Russell Investments Company III plcRussell Investments U.S. Dollar Cash Fund IIClass R Roll-Up Shares (11,400)

Russell Investment Company plcRussell Investments Unconstrained Bond FundClass I Shares (11,175)

Russell Investment Company II plcRussell Investments Global Bond (Euro Hedged) FundClass DH-B Shares (5,250)

Russell Investment Company plcRussell Investments Global Bond FundClass DH-B Shares (5,025)

Russell Investment Company plcRussell Investments World Equity Fund IIClass A Shares (5,020)

Russell Investment Company plcRussell Investments Global High Yield FundClass DH-B Roll Up Shares (3,570)

Russell Investment Company plcRussell Investments Global Credit FundClass USDH-A Income Shares (2,400)

Russell Investment Company plcRussell Investments World Equity Fund IIClass USDH-N Shares (1,585)

Lyxor Core US TIPS DR UCITS ETF (1,153)BlueBay Funds Management Company

BlueBay Global Convertible Bond FundClass B USD Accumulated Shares (950)

Russell Investment Company II plcRussell Investments Emerging Market Debt LocalCurrency FundClass I USD Shares (600)

Multi-Style Multi-Manager Funds PlcGlobal Real Estate Securities Fund (600)

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares (550)

Openworld plcRussell Investments Global Listed InfrastructureClass A USD Shares (300)

iShares Physical Gold ETC (267)


Statement of Changes in Composition of Portfolio* (unaudited)


* Significant portfolio changes are defined as the value of purchases exceeding 1% of total cost of purchases, and sales exceeding1% of total proceeds. At a minimum the twenty largest purchases and twenty largest sales must be shown. Should there have beenless than that amount of transactions, all such transactions have been disclosed. Securities held to maturity, which matured during thereporting period, have been excluded from the Statement of Changes in Composition of Portfolio.

A copy of the list of changes in the portfolio during the reference period may be obtained free of charge from the Company’sAdministrator or from the paying agent or paying and information agents in each country of distribution.



Investment ObjectiveThe investment objective of Russell Investments Multi-Asset 50 Fund (the “Fund”) is to generate long-term capital appreciationwhile maintaining high level of risk control. The Fund will seek to achieve this objective by investing predominantly in otherregulated collective investment schemes that invest in equities, fixed income securities and alternative asset classes (being assetclasses other than equity and fixed income, including cash). Approximately 50 per cent of the Fund’s net asset value will beinvested in growth assets.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund returned 28.9 per cent on a gross-of-fee basis (26.1 per cent on a net-of-fee basis), while the benchmark* returned 26 per cent.





Manager’s Report



General Comment on Managers/PerformanceThe Fund was positive for the second quarter of 2020, as optimism surrounding a global economic recovery took hold followingthe easing of lockdown measures. The exposure to equities was the biggest driver of performance, with all regions generatingpositive returns led by the US. The allocation to high yield bonds also added value as spreads tightened meaningfully, helped by arecovery in oil prices and the Federal Reserve’s announcement to include fallen angels within their corporate bond buyingprogram. Positive reports regarding potential vaccines and treatments against Covid-19 were also supportive. Government bondsalso held up well despite the ‘risk on’ environment as additional monetary and fiscal support was announced such as the EuropeanUnion’s record-breaking EUR 750 billion quantitative easing program and the US’ USD 484 billion coronavirus relief bill.

The Fund recorded a positive return in the third quarter of 2021. Positive investor sentiment dominated July and August driven byCovid-19 vaccine hopes, stabilising oil prices and robust corporate earnings, with equities rallying for five consecutive months.The exposure to global equities was the primary driver of performance. Additionally, the allocation to convertible bonds and highyield bonds also added value. However, sentiment reversed in September as rising coronavirus cases pointed towards a secondwave of infections. Fears stemming from Brexit and the upcoming US presidential elections also drove market uncertainty.Meanwhile, EU leaders agreed to a historic EUR 750 billion stimulus plan early in the quarter. This was further boosted by Franceand Germany proposing a further EUR 500 billion to the Eurozone Recovery Fund. UK Chancellor Rishi Sunak also announcedplans to replace the UK’s furlough scheme with a German style wage subsidy plan. Over the quarter there was a modesttightening in US/EU IG credit spreads.

The Fund recorded a strong positive return in the last quarter of 2020. Covid-19 vaccines developments, Joe Biden’s USpresidential election victory, a Brexit trade agreement and further monetary and fiscal stimulus supported investor risk sentimentdespite surging coronavirus cases. Exposure to global equities primarily drove returns with small and mid-cap companiesoutperforming, benefitting our active positioning. The allocation to credit through high yield and investment grade bonds alsocontributed positively in a period where spreads tightened to pre-coronavirus levels. Further supporting positive sentiment overthe quarter, US Congress agreed to a USD 900 billion (bn) coronavirus relief bill. The UK and European Union finally agreed toa Brexit trade deal, bringing an end to years of political uncertainty. Meanwhile, the Bank of England increased its bond buyingprogramme by GBP 150bn, whilst the European Central Bank expanded its pandemic purchase programme (PEPP) by EUR500bn.

The Fund delivered a positive return in the first quarter of 2021. Global markets rallied over the quarter on the back ofgovernment and central bank support, as well as success in Covid-19 vaccine rollouts. In particular, exposure to US equitiesbenefitted performance, supported by additional stimulus from the Biden administration and continued success in Covid-19 vaccine rollouts. The allocation to Japanese and European equities was also positive. Emerging Markets equities were the onlyarea of comparative weakness, underperforming global equities primarily due to the decline in Chinese tech stocks, stemmingfrom a combination of rising interest rates and increased regulatory scrutiny in China. Exposure to high yield bonds benefittedperformance given the lower interest rate sensitivity. In contrast, the allocation to core fixed income through credit andgovernment bonds was negative, given the significant rise in yields.








Cash at bank (Note 3) ........................................................................................................ 13,204 1,705Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... 187 1,293

Debtors:Receivable on fund shares issued .................................................................................. 297 171Dividends receivable...................................................................................................... 57 26Prepayments and other debtors...................................................................................... 225 285

131,390 140,812

LiabilitiesFinancial liabilities at fair value through profit or loss (Note 2)....................................... (376) (1,673)

Creditors – amounts falling due within one financial year:Cash due to brokers and counterparties for open financial derivativeinstruments (Note 3) ...................................................................................................... (1) -Payable on fund shares redeemed.................................................................................. (85) (254)Management fees payable.............................................................................................. (158) (159)Depositary fees payable................................................................................................. (5) (5)Administration fees payable .......................................................................................... (11) (2)Audit fees payable ......................................................................................................... (14) (14)

(650) (2,107)



Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000

IncomeDividends....................................................................................................................... 269 91Interest income .............................................................................................................. - 20

269 111



ExpensesManagement fees (Note 5) ............................................................................................ (1,824) (2,024)Less: Management fees reimbursement (Note 5) .......................................................... 948 1,128Depositary fees (Note 6)................................................................................................ (17) (25)Administration and transfer agency fees (Note 6)......................................................... (86) (93)Audit fees (Note 6) ........................................................................................................ (14) (14)Professional fees............................................................................................................ (8) (11)Other fees....................................................................................................................... (34) (29)









2021USD ‘000

2020USD ‘000


Share transactionsNet increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... (40,138) (3,509)

Total net increase (decrease) in net assets attributable to redeemable participatingshareholders ..................................................................................................................... (7,965) (10,924)










Fund%




ETC ............................... 4,654 3.56


3 The Global Real EstateSecurities FundClass DH-B IncomeShares ............................ 3,604 2.76

OpenWorld plc (2.30%)1 Russell Investments

Global ListedInfrastructure Class AUSD AccumulatedShares ............................ 3,014 2.30

Russell Investment Company II plc (4.86%)- Russell Investments

Emerging Market DebtLocal Currency FundClass I USDAccumulated Shares ...... 83 0.06


6,352 4.86


- Russell InvestmentsU.S. Dollar Cash FundII - Class R Roll-UpShares ............................ 428 0.33


Emerging MarketsEquity Fund Class BAccumulated Shares ...... 4,410 3.37

1,065 Russell InvestmentsGlobal Bond FundClass DH-BAccumulated Shares ...... 20,752 15.87




Fund%




29 Russell InvestmentsWorld Equity Fund IIClass USDH-NAccumulated Shares ...... 7,836 5.99

70,452 53.89



8 Russell InvestmentsGlobal Selective EquityOpportunities FundClass USD-HAccumulated Shares ...... 13,898 10.63

25,305 19.35

Total Ireland................. 113,822 87.06









31 March 2021



Financial Derivative Instruments (0.23%) (2020: 0.37%)


NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

660 2,198.50 6 of MSCI EAFE Index FuturesLong Futures ContractsExpiring June 2021................................................ (2) 0.00

270 1,350.00 4 of MSCI Emerging Markets Index FuturesLong Futures ContractsExpiring June 2021................................................ (5) 0.00

1,381 3,947.26 7 of S&P 500 E Mini Index FuturesLong Futures ContractsExpiring June 2021................................................ 7 0.00





SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 AUD 326 USD 251 (3) 0.0016/06/2021 AUD 326 USD 251 (3) 0.0016/06/2021 AUD 325 USD 251 (3) 0.0016/06/2021 CAD 150 USD 119 - 0.0016/06/2021 CAD 150 USD 119 1 0.0016/06/2021 CAD 150 USD 119 1 0.0016/06/2021 EUR 1,020 USD 1,217 (16) (0.01)16/06/2021 EUR 1,020 USD 1,215 (14) (0.01)16/06/2021 EUR 1,850 USD 2,204 (27) (0.02)16/06/2021 GBP 801 USD 1,114 (9) (0.01)16/06/2021 GBP 801 USD 1,113 (8) (0.01)16/06/2021 GBP 801 USD 1,113 (8) (0.01)16/06/2021 JPY 167,467 USD 1,543 (26) (0.02)16/06/2021 JPY 167,467 USD 1,541 (24) (0.02)16/06/2021 JPY 167,467 USD 1,541 (24) (0.02)





31 March 2021



Index Options Purchased (0.51%)

NotionalAmount

USD ‘000Fair ValueUSD ‘000

Fund%

United Kingdom (0.36%)- Call at 6,200.00 of FTSE 100 Index

Expiring December 2021 .................................................................... 478 0.36

United States (0.15%)2 Put at 3,850.00 of S&P 500 Index

Expiring July 2021 .............................................................................. 197 0.15

Total index options purchased at fair value (Premium paid USD 751,711) .................... 675 0.51

Index Options Written ((0.06)%)

NotionalAmount


Fund%

United States ((0.06)%)(2) Put at 3,470.00 of S&P 500 Index

Expiring July 2021 .............................................................................. (83) (0.06)

Total index options written at fair value (Premium received USD (225,900))................. (83) (0.06)

Total Financial Derivative Instruments ............................................................................ 308 0.23


Fund%

Total Financial Assets at Fair Value through Profit or Loss(89.80%)......................................................................................... 117,420 89.80Total Financial Liabilities at Fair Value through Profit orLoss ((0.28)%) ............................................................................... (376) (0.28)


Net Assets ....................................................................................... 130,740 100.00


gross assets


100.00



31 March 2021





As at 31 March 2021



ExchangeContracts

IndexOptions

PurchasedBroker/counterparty USD ‘000 USD ‘000 USD ’000

Unrealised Unrealised Fair ValueGains Losses Gains Losses Positive Negative

Goldman Sachs .................................................................................. - - - - 478 -Morgan Stanley .................................................................................. 7 (128) - - - -Royal Bank of Canada ....................................................................... - - - (55) - -Standard Chartered Bank ................................................................... - - 1 (49) - -UBS AG ............................................................................................. - - 1 (61) 197 -

Total financial derivatives positions ............................................... 7 (128) 2 (165) 675 -

IndexOptionsWritten Total

Broker/counterparty USD ‘000 USD ‘000

Fair Value Fair ValuePositive Negative Assets Liabilities

Goldman Sachs .................................................................................. - - 478 -Morgan Stanley .................................................................................. - - 7 (128)Royal Bank of Canada ....................................................................... - - - (55)Standard Chartered Bank ................................................................... - - 1 (49)UBS AG ............................................................................................. - (83) 198 (144)

Total financial derivatives positions ............................................... (83) 684 (376)

As at 31 March 2020



ExchangeContracts

IndexOptions



Bank of New York.............................................................................. - - 72 (161) -Citibank.............................................................................................. - - 66 (142) - -Morgan Stanley .................................................................................. 186 (469) - - - -Royal Bank of Canada ....................................................................... - - 73 (161) - -Standard Chartered Bank ................................................................... - - 72 (161) - -USB AG ............................................................................................. - - - - 1,720 -

Total financial derivative positions ................................................. 186 (469) 283 (625) 1,720 -



31 March 2021





Fair Value Fair ValuePositive Negative Positive Negative

Bank of New York.............................................................................. - - 72 (161)Citibank.............................................................................................. - - 66 (142)Morgan Stanley .................................................................................. - - 186 (469)Royal Bank of Canada ....................................................................... - - 73 (161)Standard Chartered Bank ................................................................... - - 72 (161)UBS AG ............................................................................................. - (579) 1,720 (579)

Total financial derivative positions ................................................. - (579) 2,189 (1,673)



As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000



Unrealised gain on open futures contracts ................................. 7 - - 7Unrealised gain on open forward foreign currency exchangecontracts...................................................................................... - 2 - 2Index options purchased at fair value......................................... 675 - - 675

Total assets.................................................................................... 5,349 112,071 - 117,420


Unrealised loss on open futures contracts .................................. (128) - - (128)Unrealised loss on open forward foreign currency exchangecontracts...................................................................................... - (165) - (165)Index options written at fair value.............................................. (83) - - (83)




31 March 2021



As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000



Unrealised gain on open futures contracts ................................. 186 - - 186Unrealised gain on open forward foreign currency exchangecontracts...................................................................................... - 283 - 283Index options purchased at fair value......................................... 1,720 - - 1,720

Total assets.................................................................................... 4,949 132,383 - 137,332



Total liabilities .............................................................................. (1,048) (625) - (1,673)



31 March 2021




USD ‘000



Lyxor Core US TIPS DR UCITS ETF 2,060Russell Investment Company plc

Russell Investments World Equity Fund IIClass A Shares 2,000

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares 2,000

Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass USD-H Accumulation Shares 1,600

iShares Physical Gold ETC 1,553Multi-Style, Multi-Manager Funds plc

The Global Real Estate Securities Fund 1,400Russell Investment Company plc

Russell Investments Unconstrained Bond FundClass I Shares 1,000

Openworld plcRussell Investments Global Listed InfrastructureClass A USD Shares 600

BlueBay Funds Management CompanyBlueBay Global Convertible Bond FundClass B USD Accumulated Shares 9


USD ‘000






Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass C Accumulation Shares (4,850)




Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass USD-H Accumulation Shares (2,800)

Lyxor Core US TIPS DR UCITS ETF (2,145)Russell Investment Company II plc

Russell Investments Pan European Equity FundClass B Shares (1,921)

Russell Investment Company II plcRussell Investments Emerging Market DebtLocal Currency FundClass I USD Shares (1,300)

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares (1,150)

Multi-Style, Multi-Manager Funds plcThe Global Real Estate Securities Fund (1,100)

BlueBay Funds Management CompanyBlueBay Global Convertible Bond FundClass B USD Accumulated Shares (1,000)








USD ‘000



Statement of Changes in Composition of Portfolio* (unaudited) - continued






Investment ObjectiveThe investment objective of Russell Investments Multi-Asset 70 Fund (the “Fund”) is to generate long-term capital appreciationwhile maintaining a moderate level of risk control. The Fund will seek to achieve this objective by investing predominantly inother regulated collective investment schemes that invest in equities, fixed income securities and alternative asset classes (beingasset classes other than equity and fixed income, including cash). Approximately 70 per cent of the Fund’s net asset value will beinvested in growth assets.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund returned 39 per cent on a gross-of-fee basis (35.7 per cent on a net-of-fee basis), while the benchmark* returned 36.2 per cent.





Manager’s Report



General Comment on Managers/PerformanceThe Fund was positive for the second quarter of 2020, as optimism surrounding a global economic recovery took hold followingthe easing of lockdown measures. The exposure to equities was the biggest driver of performance, with all regions generatingpositive returns led by the US. The allocation to high yield bonds also added value as spreads tightened meaningfully, helped by arecovery in oil prices and the Federal Reserve’s announcement to include fallen angels within their corporate bond buyingprogram. Positive reports regarding potential vaccines and treatments against Covid-19 were also supportive. Government bondsalso held up well despite the ‘risk on’ environment as additional monetary and fiscal support was announced such as the EuropeanUnion’s record-breaking EUR 750 billion quantitative easing program and the US’ USD 484 billion coronavirus relief bill.











Cash at bank (Note 3) ........................................................................................................ 16,298 2,596Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... 936 2,240


168,006 118,743



(894) (1,998)



Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000

IncomeDividends....................................................................................................................... 204 100



ExpensesManagement fees (Note 5) ............................................................................................ (2,510) (2,428)Less: Management fees reimbursement (Note 5) .......................................................... 990 875Depositary fees (Note 6)................................................................................................ (18) (22)Administration and transfer agency fees (Note 6)......................................................... (88) (87)Audit fees (Note 6) ........................................................................................................ (14) (14)Professional fees............................................................................................................ (8) (11)Other fees....................................................................................................................... (33) (29)









2021USD ‘000

2020USD ‘000


Share transactionsNet increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... 7,482 (10,049)











Fund%




ETC ............................... 5,364 3.21






- Russell InvestmentsEmerging Market DebtLocal Currency FundClass I USDAccumulated Shares ...... 33 0.02


472 Russell InvestmentsWorld Equity FundClass B AccumulatedShares ............................ 19,412 11.62

24,472 14.65


4 Russell InvestmentsEuro Liquidity Fund -Class R Roll-Up Shares. 4,411 2.64

3 Russell InvestmentsU.S. Dollar Cash FundII - Class R Roll-UpShares ............................ 3,124 1.87

7,535 4.51





Fund%

572 Russell InvestmentsGlobal Bond FundClass DH-BAccumulated Shares ...... 11,143 6.67






68,355 40.90




32,169 19.25

Total Ireland................. 146,321 87.56








31 March 2021





Fund%




NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

3,958 2,198.50 36 of MSCI EAFE Index FuturesLong Futures ContractsExpiring June 2021................................................ (12) (0.01)

2,080 1,342.13 31 of MSCI Emerging Markets Index FuturesLong Futures ContractsExpiring June 2021................................................ (30) (0.02)






SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 AUD 188 USD 145 (2) 0.0016/06/2021 AUD 188 USD 145 (1) 0.0016/06/2021 AUD 188 USD 145 (2) 0.0016/06/2021 CAD 430 USD 341 1 0.0016/06/2021 CAD 430 USD 340 3 0.0016/06/2021 CAD 430 USD 340 2 0.0016/06/2021 EUR 923 USD 1,101 (15) (0.01)16/06/2021 EUR 923 USD 1,099 (13) (0.01)16/06/2021 EUR 923 USD 1,099 (13) (0.01)16/06/2021 GBP 1,413 USD 1,966 (16) (0.01)16/06/2021 GBP 1,413 USD 1,963 (14) (0.01)16/06/2021 GBP 1,413 USD 1,963 (14) (0.01)16/06/2021 JPY 203,231 USD 1,873 (32) (0.02)



31 March 2021



SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 JPY 203,231 USD 1,870 (29) (0.01)16/06/2021 JPY 203,231 USD 1,870 (29) (0.01)




NotionalAmount


Fund%

United Kingdom (0.26%)1 Call at 6,200.00 of FTSE 100 Index



Expiring July 2021 .............................................................................. 230 0.14



NotionalAmount


Fund%


Expiring July 2021 .............................................................................. (97) (0.06)




Fund%



Net Assets ....................................................................................... 167,112 100.00



31 March 2021




gross assets


100.00



As at 31 March 2021



ExchangeContracts

IndexOptions



Goldman Sachs .................................................................................. - - - - 443 -Morgan Stanley .................................................................................. 57 (139) - - - -Royal Bank of Canada ....................................................................... - - 1 (65) - -Standard Chartered Bank ................................................................... - - 3 (58) - -UBS AG ............................................................................................. - - 2 (57) 230 -




Unrealised Fair ValueGains Losses Assets Liabilities

Goldman Sachs .................................................................................. - - 443 -Morgan Stanley .................................................................................. - - 57 (139)Royal Bank of Canada ....................................................................... - - 1 (65)Standard Chartered Bank ................................................................... - - 3 (58)UBS AG ............................................................................................. - (97) 232 (154)




31 March 2021



As at 31 March 2020



ExchangeContracts

IndexOptions



Bank of New York.............................................................................. - - 67 (142) -Citibank.............................................................................................. - - 61 (127) - -Morgan Stanley .................................................................................. 396 (667) - - - -Royal Bank of Canada ....................................................................... - - 67 (144) - -Standard Chartered Bank ................................................................... - - 67 (142) - -UBS AG ............................................................................................. - - - - 1,576 -




Fair Value Fair ValuePositive Negative Asset Liabilities

Bank of New York.............................................................................. - - 67 (142)Citibank.............................................................................................. - - 61 (127)Morgan Stanley .................................................................................. - - 396 (667)Royal Bank of Canada ....................................................................... - - 67 (144)Standard Chartered Bank ................................................................... - - 67 (142)UBS AG ............................................................................................. - (497) 1,576 (497)




31 March 2021





As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 6,115 144,181 - 150,296




As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 4,497 109,111 - 113,608






31 March 2021




USD ‘000

Russell Investment Company plcRussell Investments Unconstrained Bond FundClass I Shares 5,400


Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass C Accumulation Shares 4,900

Russell Investment Company plcRussell Investments World Equity Fund IIClass USDH-N Shares 4,400

Russell Investment Company II plcRussell Investments World Equity FundClass B Shares 3,800

Russell Investment Company plcRussell Investments Global High Yield FundClass DH-B Roll Up Shares 3,500


iShares Physical Gold ETC 2,919Russell Investment Company plc

Russell Investments Emerging Markets Equity FundClass B Shares 2,750

Lyxor Core US TIPS DR UCITS ETF 2,207Multi-Style, Multi-Manager Funds plc

The Global Real Estate Securities Fund 1,420BlueBay Funds Management Company

BlueBay Global Convertible Bond FundClass B USD Accumulated Shares 1,207



USD ‘000


Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass C Accumulation Shares (5,150)






Lyxor Core US TIPS DR UCITS ETF (2,289)Russell Investment Company V plc

Russell Investments Global Selective EquityOpportunities FundClass USD-H Accumulation Shares (1,800)


Multi-Style, Multi-Manager Funds plcThe Global Real Estate Securities Fund (1,700)


BlueBay Funds Management CompanyBlueBay Global Convertible Bond FundClass B USD Accumulated Shares (1,502)

Russell Investment Company II plcRussell Investments World Equity FundClass B Shares (1,320)

Russell Investment Company II plcRussell Investments Pan European Equity FundClass B Shares (887)

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares (650)








Investment ObjectiveThe investment objective of Investments Multi-Asset 90 Fund (the “Fund”) is to maximise long-term capital appreciation, whilemaintaining a level of moderate risk control. The Fund will seek to achieve this objective by investing predominantly in otherregulated collective investment schemes that invest in equities, fixed income securities and alternative asset classes (being assetclasses other than equity and fixed income, including cash). Approximately 90 per cent of the Fund’s net asset value will beinvested in growth assets.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund returned 52.9 per cent on a gross-of-fee basis (49 per cent on a net-of-fee basis), while the benchmark* returned 50.2 per cent.





Manager’s Report



General Comment on Managers/PerformanceThe Fund was positive for the second quarter of 2020, as optimism surrounding a global economic recovery took hold followingthe easing of lockdown measures. The exposure to equities was the biggest driver of performance, with all regions generatingpositive returns led by the US. The allocation to high yield bonds also added value as spreads tightened meaningfully, helped by arecovery in oil prices and the Federal Reserve’s announcement to include fallen angels within their corporate bond buyingprogram. Positive reports regarding potential vaccines and treatments against Covid-19 were also supportive. Government bondsalso held up well despite the ‘risk on’ environment as additional monetary and fiscal support was announced such as the EuropeanUnion’s record-breaking EUR 750 billion quantitative easing program and the USD 484 billion coronavirus relief bill.











Cash at bank (Note 3) ........................................................................................................ 20,184 4,240Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... 2,598 4,105


140,170 106,692



(566) (2,429)



Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000


29 76












2021USD ‘000

2020USD ‘000


Share transactionsNet increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... (12,363) (18,231)











Fund%




ETC ............................... 3,778 2.71






664 Russell InvestmentsWorld Equity FundClass B AccumulatedShares ............................ 27,288 19.55




20,310 14.55





Fund%

- Russell InvestmentsGlobal High Yield FundClass DH-B Roll-UpShares ............................ 65 0.05



34,350 24.60



Total Ireland................. 115,815 82.96




1 BlueBay GlobalConvertible Bond Fund- Class B USDAccumulated Shares ...... 135 0.09

Total Luxembourg ....... 146 0.10




31 March 2021




Open Futures Contracts (0.04%)

NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

11,435 2,198.98 104 of MSCI EAFE Index FuturesLong Futures ContractsExpiring June 2021................................................ (36) (0.02)

5,830 1,340.36 87 of MSCI Emerging Markets Index FuturesLong Futures ContractsExpiring June 2021................................................ (78) (0.06)


(557) (9,285.38) 6 of FTSE 100 Index FuturesShort Futures ContractsExpiring June 2021................................................ 4 0.00


Net unrealised gain (loss) on open futures contracts ....................................................... 59 0.04


SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 CAD 433 USD 343 2 0.0016/06/2021 CAD 433 USD 342 2 0.0016/06/2021 CAD 433 USD 342 2 0.0016/06/2021 GBP 997 USD 1,389 (12) (0.01)16/06/2021 GBP 998 USD 1,387 (10) 0.0016/06/2021 GBP 998 USD 1,387 (10) (0.01)16/06/2021 JPY 179,821 USD 1,657 (28) (0.02)16/06/2021 JPY 179,821 USD 1,654 (26) (0.02)16/06/2021 JPY 179,821 USD 1,654 (26) (0.02)16/06/2021 USD 177 CHF 164 2 0.0016/06/2021 USD 177 CHF 164 2 0.0016/06/2021 USD 177 CHF 164 2 0.0016/06/2021 USD 1,906 EUR 1,598 26 0.0216/06/2021 USD 1,902 EUR 1,598 22 0.0216/06/2021 USD 1,902 EUR 1,598 22 0.02





31 March 2021




NotionalAmount


Fund%

United Kingdom (0.29%)1 Call at 6,200.00 of FTSE 100 Index



Expiring July 2021 .............................................................................. 197 0.14



NotionalAmount


Fund%


Expiring July 2021 .............................................................................. (83) (0.06)




Fund%



Net Assets ....................................................................................... 139,604 100.00


gross assets


100.00



31 March 2021





As at 31 March 2021



ExchangeContracts

IndexOptions



Goldman Sachs .................................................................................. - - - - 400 -Morgan Stanley .................................................................................. 173 (114) - - - -Royal Bank of Canada ....................................................................... - - 29 (40) - -Standard Chartered Bank ................................................................... - - 27 (36) - -UBS AG ............................................................................................. - - 26 (36) 196 -




Fair Value Fair ValuePositive Negative Assets Liabilities

Goldman Sachs .................................................................................. - - 400 -Morgan Stanley .................................................................................. - - 173 (114)Royal Bank of Canada ....................................................................... - - 29 (40)Standard Chartered Bank ................................................................... - - 27 (36)UBS AG ............................................................................................. - (83) 222 (119)


As at 31 March 2020



ExchangeContracts

IndexOptions



Bank of New York.............................................................................. - - 124 (152) -Morgan Stanley .................................................................................. 760 (987) - - - -Royal Bank of Canada ....................................................................... - - 124 (159) - -Standard Chartered Bank ................................................................... - - 122 (154) - -USB AG ............................................................................................. - - - - 1,505 -Other* ................................................................................................ - - 108 (240) - -




31 March 2021





Fair Value Fair ValueGains Losses Gains Losses

Bank of New York.............................................................................. - - 124 (152)Morgan Stanley .................................................................................. - - 760 (987)Royal Bank of Canada ....................................................................... - - 124 (159)Standard Chartered Bank ................................................................... - - 122 (154)UBS AG ............................................................................................. - (434) 1,505 (434)Other* ................................................................................................ - - 108 (240)


* The brokers/counterparties included here are Bank of Montreal, Citibank and State Street Bank and Trust Company for openforward foreign currency exchange contracts.



As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 4,595 112,217 - 116,812






31 March 2021



As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 5,046 92,730 - 97,776






31 March 2021




USD ‘000

Russell Investment Company plcRussell Investments World Equity Fund IIClass A Shares 6,050

Russell Investment Company II plcRussell Investments World Equity FundClass B Shares 5,100

Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass USD-H Accumulation Shares 5,000

Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares 4,100

Russell Investment Company plcRussell Investments World Equity Fund IIClass USDH-N Shares 2,000

iShares Physical Gold ETC 1,705Russell Investment Company plc

Russell Investments Global High Yield FundClass DH-B Roll Up Shares 1,000



USD ‘000


Russell Investment Company V plcRussell Investments Global Selective EquityOpportunities FundClass USD-H Accumulation Shares (8,630)

Russell Investment Company II plcRussell Investments World Equity FundClass B Shares (7,935)


Russell Investment Company plcRussell Investments Emerging Markets Equity FundClass B Shares (1,750)

Russell Investment Company II plcRussell Investments Pan European Equity FundClass B Shares (1,656)


Openworld plcRussell Investments Global Listed InfrastructureClass A USD Shares (1,000)

Multi-Style, Multi-Manager Funds plcThe Global Real Estate Securities Fund (900)

iShares Physical Gold ETC (701)








Investment ObjectiveThe investment objective of Russell Investments Multi-Asset Defensive Fund (the “Fund”) is to achieve capital appreciation withlimited net asset value volatility. The Fund will seek to achieve investment returns in excess of one month U.S. Dollar LIBORover the medium term, although in the short-term returns may be more volatile. The Fund will seek to achieve this objective byinvesting predominantly in other regulated collective investment schemes that invest in cash-based strategies, global fixedstrategies and global equities, as well as alternative asset classes (being investments other than fixed income and/or equitysecurities which may be cash based or not). The allocation is intended to be such that the Fund’s allocation to risky assets isrestricted.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund (Class A) returned 10.9 per cent on a gross-of-fee basis (9.3 per cent ona net-of-fee basis), while the benchmark* returned 0.2 per cent.


Both global equity and fixed income markets increased over the third quarter of 2020. The period was generally positive for mostasset classes; however, this was mainly localized over July and August. Risk appetite built up as lockdown restrictions eased fromthe end of the second quarter. Investor confidence was further cemented by Covid-19 vaccine hopes and stabilizing oil prices,despite broadly weak corporate earnings and data confirming economic recessions. Sentiment reversed in September as risingcoronavirus cases pointed towards a second wave of infections. Brexit uncertainties and volatility in the run-up to November’s USpresidential election, further dampened investors’ mood. Central bank policies remained supportive. The US Federal Reserve(Fed) kept rates unchanged but revealed a shift in policy to an average target inflation rate. Fed chair Jay Powell confirmed bothinflation and employment could run above target and its maximum level respectively “without causing concern” – suggestingrates will remain low for some time. The benchmark 10-year Treasury yield increased two bps to 0.68 per cent while the US dollarweakened against a basket of currencies. The ECB also considered overshooting its inflation target for the first time. Borrowingcosts for eurozone governments (e.g. Italy, Spain and Portugal) returned back to pre-coronavirus levels, indicating that the ECB’sunprecedented programme of asset purchases boosted confidence in the area. In the UK, the potential use of negative interestrates spooked investors.

Global equity markets rallied while fixed income markets edged higher in the fourth quarter 2020. Major Covid-19 vaccinebreakthroughs sent a wave of relief throughout markets, as investors began to believe that an end of the global pandemic wasfinally within reach. This development offset the negative effects on investor sentiment engendered by a new Covid-19 strain, asecond wave of rising coronavirus cases and newly imposed lockdown restrictions in several countries. Alongside the positivevaccine news, political uncertainty eased in the US, with Joe Biden winning the US presidential election, and in Europe, wherethe UK and the EU agreed upon a Brexit trade deal. In the US, the Federal Reserve maintained its accommodative monetarypolicy while Congress agreed to a USD 900 billion fiscal stimulus bill. The benchmark 10-year Treasury yield increased 23 bps to0.91 per cent. Across the pond, UK equities enjoyed a strong quarter. Sterling rallied on the Brexit trade agreement. The BoEadded another GBP 150 billion to its bond-buying programme, pushing it to a total of GBP 875 billion. The ECB also expandedits emergency bond-buying programme, by EUR 500 billion – taking its total value to EUR 1.85 trillion. The benchmark 10-yearbond yield decreased in the UK (-3 bps to 0.20 per cent) and in Germany (-5 bps to -0.57 per cent).

Russell Investment Company V plcRussell Investments Multi-Asset Defensive Fund

Manager’s Report

62 Russell Investments Multi-Asset Defensive Fund

Global equity markets recovered from a negative start to enjoy a positive quarter whereas global bonds sold-off in the first quarterof 2021. Sustained government and central bank support, alongside improved global growth prospects, engendered increasedinflation expectations. Consequently, government bond curves steepened, and yields climbed sharply higher. Stocks most closelytied to the economy, namely value and small capitalization equities, largely outperformed their growth and large cap peers,respectively. In the US, President Joe Biden’s Democratic Party secured control of Congress and launched a USD 1.9 trillionfiscal stimulus plan. The Federal Reserve upgraded its economic forecasts but continued to predict record-low interest rates untilat least the end of 2023. The benchmark 10-year US Treasury yield increased 83 bps to 1.74 per cent, ending the quarter at itshighest yield since January 2020. In the UK, the BoE pushed back on negative interest rates and projected GDP would stronglyrecover in 2021 towards pre-Covid-19 levels. This came as the government revealed a “roadmap” out of the national lockdownand the coronavirus vaccine programme continued. This environment pushed the benchmark 10-year gilt yield up 65 bps to0.85 per cent. The successful rollout of coronavirus vaccines in the US and UK was a contrast to other areas of the world,including the eurozone. The ECB kept interest rates unchanged but pledged to increase the rate of bond purchases to tackle therise in eurozone bond yields and support the euro area economic recovery. This boosted demand for peripheral European debt.Investors also indicated confidence in new Italian Prime Minister Mario Draghi. The benchmark German 10-year bund yieldincreased 28 bps to -0.29 per cent.

General Comment on Manager’s PerformanceThe Fund was positive for the second quarter of 2020. Further announcements of fiscal policy support such as the EuropeanUnion’s record-breaking EUR 750 billion quantitative easing program and the US’ USD 484 billion coronavirus relief billalongside the Federal Reserve’s new corporate bond buying program, helped US and EU investment grade credit spreads tightensharply. Government bonds also performed well despite the ‘risk on’ environment as additional quantitative easing measures wereannounced by global central banks. Meanwhile, US and EU high yield spreads tightened meaningfully, helped by a recovery in oilprices and the Federal Reserve’s announcement to include fallen angels within their corporate bond buying program. Positivereports regarding potential vaccines and treatments against Covid-19 also helped. Emerging Market Debt spreads also narrowedgiven the positive environment for risk assets.

The Fund recorded a positive return in the third quarter of 2020. Positive investor sentiment dominated July and August driven byCovid-19 vaccine hopes, stabilising oil prices and robust corporate earnings, with equities rallying for five consecutive months.As such, the allocation to corporate bonds added value. Sentiment reversed in September as rising coronavirus cases pointedtowards a second wave of infections. Uncertainty stemming from Brexit and the upcoming US presidential election alsodampened the appetite for risk assets. Meanwhile, EU leaders agreed to a historic EUR 750 billion stimulus plan early in thequarter. This was further boosted by France and Germany proposing a further EUR 500 billion to the Eurozone Recovery Fund.UK Chancellor Rishi Sunak also announced plans to replace the UK’s furlough scheme with a German style wage subsidy plan.Over the quarter there was a modest tightening in US/EU IG credit spreads.

The Fund recorded a positive return in the final quarter of 2020. Covid-19 vaccines developments, Joe Biden’s US presidentialelection victory, a Brexit trade agreement and further monetary and fiscal stimulus supported investor risk sentiment. Theallocation to sub-investment grade credit, primarily high yield and convertible bonds primarily drove returns over the quarter asspreads tightened to pre-coronavirus levels. Further supporting positive sentiment over the quarter, the Bank of England keptinterest rates unchanged but increased its bond buying programme by GBP 150 billion. Across the pond, the European CentralBank expanded its pandemic purchase programme (PEPP) by EUR 500 billion and extended it to at least the end of March 2022.

The Fund recorded a modest positive return in the first quarter of 2021. Expectations of higher economic growth and further USfiscal stimulus, led to a rise in yields, which impacted the Fund’s defensive positioning in credit and government bonds. Incontrast, high yield bond exposure, given its lower interest rate sensitivity and more cyclical issuer profile, delivered positivereturns. The small exposure to equities also contributed positively to performance. Global markets rallied over the quarter on theback of government and central bank support, as well as success in Covid-19 vaccine rollouts. In particular, exposure to USequities benefitted performance, supported by additional stimulus from the Biden administration and continued success in Covid-19 vaccine rollouts.

Past performance is no indication of current or future performance.* Benchmark Source: USD 1M Libor




Russell Investments Multi-Asset Defensive Fund 63



Cash at bank (Note 3) ........................................................................................................ 4,093 5,445Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... - 68

Debtors:Receivable on fund shares issued .................................................................................. - 141Dividends receivable...................................................................................................... 170 205Prepayments and other debtors...................................................................................... 180 192

118,943 148,155

Liabilities


(501) (551)



Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000


731 852












2021USD ‘000

2020USD ‘000


Share transactionsNet increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... (42,427) 9,553

Total net increase (decrease) in net assets attributable to redeemable participatingshareholders ..................................................................................................................... (29,162) 7,376










Fund%

Investment Funds (96.08%) (2020: 95.64%)Ireland (92.22%)iShares PM (3.82%)

136 iShares Physical GoldETC ............................... 4,526 3.82


- The Global Real EstateSecurities FundClass DH-B IncomeShares ............................ 60 0.05

OpenWorld plc (0.04%)- Russell Investments

Global ListedInfrastructure Class AUSD AccumulatedShares ............................ 48 0.04

Russell Investment Company II plc (0.08%)- Russell Investments

Emerging Market DebtLocal Currency FundClass I USDAccumulated Shares ...... 94 0.08




25,531 21.56

Russell Investment Company plc (66.67%)1,182 Russell Investments

Global Bond FundClass DH-BAccumulated Shares ...... 23,029 19.44



Fund%





78,972 66.67

Total Ireland................. 109,231 92.22









31 March 2021




Open Futures Contracts (0.34%)

NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

(5,639) (201.42) 28 of Euro-Bund FuturesShort Futures ContractsExpiring June 2021................................................ 3 0.00

(16,379) (134.25) 122 of U.S. 10 Years Note FuturesShort Futures ContractsExpiring June 2021................................................ 405 0.34

Net unrealised gain (loss) on open futures contracts ....................................................... 408 0.34

Open Forward Foreign Currency Exchange Contracts (0.25%)

SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 USD 6,169 EUR 5,171 83 0.0716/06/2021 USD 6,158 EUR 5,171 71 0.0616/06/2021 USD 6,158 EUR 5,171 72 0.0616/06/2021 USD 6,158 EUR 5,171 71 0.06

Net unrealised gain (loss) on open forward foreign currency exchange contracts ........... 297 0.25

Total Financial Derivative Instruments ............................................................................... 705 0.59


Fund%

Total Financial Assets at Fair Value through Profit or Loss(96.67%)......................................................................................... 114,500 96.67Other Net Assets (3.33%) ............................................................. 3,942 3.33

Net Assets ....................................................................................... 118,442 100.00


gross assets


100.00



31 March 2021





As at 31 March 2021






Morgan Stanley .................................................................................. 408 - - - 408 -Royal Bank of Canada ....................................................................... - - 83 - 83 -Standard Chartered Bank ................................................................... - - 71 - 71 -Toronto Dominion Bank .................................................................... - - 72 - 72 -UBS AG ............................................................................................. - - 71 - 71 -

Total financial derivatives positions ............................................... 408 - 297 - 705 -

As at 31 March 2020






Bank of New York.............................................................................. - - 235 - 235Citibank.............................................................................................. - - 195 - 195 -Morgan Stanley .................................................................................. 35 - - - 35 -Royal Bank of Canada ....................................................................... - - 239 - 239 -Standard Chartered Bank ................................................................... - - 234 - 234 -

Total financial derivative positions ................................................. 35 - 903 - 938 -



As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 4,934 109,566 - 114,500



31 March 2021



As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000




Total assets.................................................................................... 3,622 138,482 - 142,104



31 March 2021




USD ‘000



Russell Investment Company plcRussell Investments Global High Yield FundClass DH-B Roll Up Shares 5,100

BlueBay Global Convertible Bond FundClass B USD Accumulated Shares 1,014

iShares Physical Gold ETC 754Russell Investment Company plc

Russell Investments World Equity Fund IIClass USDH-N Shares 700

Russell Investment Company plcRussell Investments Unconstrained Bond FundClass I Shares 400


USD ‘000

Russell Investment Company plcRussell Investments Global Credit FundClass USDH-A DURH (25,055)



Russell Investments Company III plcRussell Investments Euro Liquidity FundClass R Roll-Up Shares (7,612)




BlueBay Global Convertible Bond FundClass B USD Accumulated Shares (2,500)

Russell Investment Company II plcRussell Investments Emerging Market Debt LocalCurrency FundClass I USD Shares (1,400)

Multi-Style, Multi-Manager Funds plcThe Global Real Estate Securities Fund (800)









Money Managers as at 31 March 2021Brandywine Global Investment Management, LLCFiera Capital CorpKopernik Global Investors LLCMaple-Brown Abbott LimitedMar Vista Investment Partners LLCMorgan Stanley Investment Management LimitedNWQ Investment Management Company, LLCPzena Investment Management, LLCSompo Asset Management Co. LtdSW Mitchell Cap LLP

Investment ObjectiveThe Russell Investments Global Selective Equity Opportunities Fund (the “Fund”) will seek to achieve capital appreciation. TheFund will seek to achieve its objective by investing predominantly in equity securities, including common stock, convertibles andwarrants, listed, traded or dealt in on any Regulated Market.

Fund PerformanceDuring the financial year ended 31 March 2021, the Fund returned 60.4 per cent on a gross-of-fee basis (59.5 per cent on a net-of-fee basis), while the benchmark* returned 54 per cent.

Market CommentThe benchmark surged 19.2 per cent in the second quarter of 2020. Despite the painful economic fallout from the lockdowns, thesevere “risk-off ” market environment in the first quarter largely reversed over the second quarter. A divergence in economicfundamentals and financial market performance became pronounced. The concerted support of monetary policy and a furtheropening of fiscal taps drove a rapid recovery in risk appetite. For example, the S&P 500 index experienced the largest rise sincethe final quarter of 1998. The market also latched onto positive news regarding potential vaccines and treatments against Covid-19. Additionally, after a record collapse in oil demand, oil prices crawled upwards over the period, largely helped by agreedproduction cuts. However, economic fundamentals remain largely weak in the near-term horizon, despite some green shootsengendered by some gradual geographic easing of lockdowns. Fears of a second wave of coronavirus infections, as well asescalating tensions between the US and China on trade, the origins of Covid-19 and China’s new security law on Hong Kong,remained in investors’ thoughts.

The benchmark increased 7.9 per cent in aggregate during the third quarter of 2020. With lockdown restrictions easing from theend of the second quarter, risk appetite built up strongly in July and August. This was further cemented by Covid-19 vaccinehopes and stabilising oil prices. However, this “risk-on” sentiment reversed in September, as rising coronavirus cases pointedtowards a second wave of infections. Brexit uncertainties and volatility to the run-up to US presidential elections, furtherdampened investors’ mood. G4 central banks remained accommodative during this period whilst governments were tasked withfiguring out new policies to support their respective nations. Over the period, oil prices edged slightly higher whilst the US dollarweakened. The US Federal Reserve (Fed) kept rates unchanged on the back of this encouraging economic data set. Furthermore,Fed chair Jay Powell explained that the Fed adopted a monetary policy that “will likely aim to achieve inflation moderately above2 per cent (this is now an average target rate) for some time”. Additionally, “employment can run at or above real-time estimatesof its maximum level without causing concern”. This shift in policy suggested that rates will remain low for some time. Acrossthe pond, the Bank of England (BoE) kept its monetary policy unchanged and reassured markets that the central bank will remainin its emergency policy mode until the effects of the coronavirus on the economy had truly passed. Early in the quarter, BoEgovernor Andrew Bailey advised that negative interest rates were “in the toolbox” but ruled out the use of negative interest rates inthe near future. This comes as UK Chancellor Rishi Sunak announced plans to replace the UK’s furlough scheme with a Germanstyle wage subsidy plan, in order to support the jobs market. Meanwhile, the European Central Bank (ECB) considered for thefirst time, similarly to the Fed, to overshoot its inflation target. ECB president Christine Lagarde explained that “such a strategycan strengthen the capacity of monetary policy to stabilise the economy when faced with the lower bound”. EU leaders alsoagreed on the framework to a historic EUR 750 billion stimulus plan early in the quarter. This was further boosted by France andGermany proposing an additional EUR 500 billion to the Eurozone Recovery Fund.

The benchmark surged 14.7 per cent in the fourth quarter of 2020, a stark contrast to the sharp decline of 21.1 per cent in the firstquarter of the year. Major Covid-19 vaccine breakthroughs by several prominent companies sent a wave of relief throughoutmarkets, as investors began to believe that an end of the global pandemic was finally within reach. This development offset the

Russell Investment Company V plcRussell Investments Global Selective Equity Opportunities Fund

Manager’s Report

72 Russell Investments Global Selective Equity Opportunities Fund

negative effects on investor sentiment engendered by a new Covid-19 strain, a second wave of rising coronavirus cases and newlyimposed lockdown restrictions in several countries. Alongside the positive vaccine news, political uncertainty eased in the US,with Joe Biden winning the US presidential election and in Europe, where the UK and the European Union (EU) agreed upon aBrexit trade deal. Over the period, oil prices rose meaningfully whilst the US dollar weakened. The Fed kept its monetary policyheld throughout the quarter but urged for more fiscal support. Fortunately, the US Congress agreed to a USD 900 billion fiscalstimulus bill in December. Additionally, news that Joe Biden won the US presidential election was welcomed as it offered morepolitical stability. Across the pond and after a protracted affair, the UK and the EU finally agreed upon a Brexit trade deal in thelatter stages of December. Meanwhile, the BoE kept its interest rate unchanged but added another GBP 150 billion to its bond-buying programme, pushing it to a total of GBP 875 billion. The ECB also expanded its emergency bond-buying programme byEUR 500 billion in December - taking its total value to EUR 1.85 trillion and extended it to at least the end of March 2022.

The benchmark increased 4.6 per cent in the first quarter of 2021. In January, Joe Biden was inaugurated as the new US president,with his Democratic Party securing control of Congress. He also launched a USD 1.9 trillion fiscal stimulus plan. As the quarterprogressed, the Covid-19 vaccine rollout continued in earnest in different parts of the world, lifting hopes of an end to thepandemic. This hope boosted global economic growth prospects and in turn, also increased inflation expectations. Higherinflation will open the door for higher interest rates which heightened some investor concerns. Nevertheless, with higher growthprospects and substantial monetary and fiscal support, equity markets rose over the period. The US dollar strengthened over thethree months and commodity prices were robust. The winding down of several Fed lending programmes was effectively replacedby Joe Biden’s USD 1.9 trillion fiscal stimulus plan which aims to prop up economic activity and unlock pent-up demand. Thiscan be achieved for example, with the plan to send cheques of USD 1,400 to all US citizens. Across the pond, the BoE kept itsmonetary policy unchanged. Whilst the bank said that the outlook for the UK economy “remains unusually uncertain” – itprojected that UK GDP would recover towards pre-Covid-19 levels in 2021 and that inflation would rise towards the BoE’s 2.0 percent target in the spring. Meanwhile, UK chancellor Rishi Sunak delivered his budget and extended coronavirus supportmeasures. The ECB kept its interest rate unchanged but stepped up its weekly emergency bond-buying programme (above theEUR 18.0 billion weekly average since the programme started last year), to contain adverse effects of recent market volatility.

General Comment on Managers/PerformanceThe Fund outperformed the benchmark for the second quarter of 2020. In factor performance, a tilt toward high volatility stockswas rewarded. In sectors, stock selection within the materials (Centerra Gold) and energy (Range Resources) sectors droveoutperformance. Underweight allocations to the consumer staples and real estate sectors also contributed to excess returns.However, further gains were held back by negative stock selection within the technology (Apple), consumer discretionary (Tesla)and health care (Tokai) sectors. From a regional perspective, North America and Europe were the strongest areas, with Canadaand France key contributors. Stock selection in Japan was a headwind.

The Fund underperformed, with the tilt toward small caps unrewarded in the third quarter of 2020. Stock selection within thecommunication services sector drove underperformance, particularly through Japanese names (Nippon Telegraph and Telephoneand SoftBank Group). An overweight to financials (Credit Saison) and stock selection within the consumer discretionary sector(zero weight in Tesla) also weighed on performance. This was moderated however, by positive stock selection within thetechnology (Zoom Video Communications) and health care (Varian Medical Systems) sectors. From a regional perspective, stockselection in Japan was a key detractor. However, stock selection in France, Denmark, Hong Kong and Taiwan was rewarded.

The Fund outperformed the benchmark in the final quarter of 2020. In factor performance, the tilt towards small cap and deepvalue stocks suited the market environment. In sectors, stock selection and positioning within the health care (underweight) andenergy (overweight) sectors generated solid returns. An overweight to financials (HDFC Bank) and stock selection within theindustrials (Uber Technologies) sector also contributed. This was partially offset, however, by negative stock selection within thetechnology sector (SAP and Zoom Video Communications). From a regional perspective, stock selection in the US, UK andCanada was rewarded. However, stock selection in Japan detracted.

The Fund outperformed the benchmark over the first quarter of 2020. In factor performance, the tilt towards small cap and deepvalue stocks suited the market environment. A preference for higher volatility stocks was also rewarded. In sectors, positioning(underweight) and stock selection within the health care and consumer staples sectors generated solid returns. Holdings within theenergy (Southwestern Energy) and financials (Wells Fargo & Company) sectors and stock selection within the consumerdiscretionary sector (Volkswagen) also contributed. From a regional perspective, stock selection in the US and Japan added value.Selection in Germany and France also proved beneficial.

Past performance is no indication of current or future performance.* Benchmark Source: MSCI AC World Net Index




Russell Investments Global Selective Equity Opportunities Fund 73



Cash at bank (Note 3) ........................................................................................................ 47,872 28,036Cash held with brokers and counterparties for open financial derivativeinstruments (Note 3) .......................................................................................................... 27,437 24,502

Debtors:Receivable for investments sold .................................................................................... 2,833 503Receivable on fund shares issued .................................................................................. - 268Dividends receivable...................................................................................................... 2,701 2,583

1,026,423 715,115

LiabilitiesFinancial liabilities at fair value through profit or loss (Note 2)....................................... (4,096) (3,580)

Creditors – amounts falling due within one financial year:Payable for investments purchased ................................................................................ (3,875) (176)Management fees payable.............................................................................................. (361) (259)Depositary fees payable................................................................................................. (56) (34)Sub-custodian fees payable............................................................................................ (49) (31)Administration fees payable .......................................................................................... (86) (13)Audit fees payable ......................................................................................................... (26) (27)

(8,549) (4,120)

Net assets attributable to redeemable participating shareholders .............................. 1,017,874 710,995


Balance Sheet

As at 31 March 2021



2021USD ‘000

2020USD ‘000

IncomeDividends....................................................................................................................... 15,061 17,695Interest income .............................................................................................................. - 216

15,061 17,911



ExpensesManagement fees (Note 5) ............................................................................................ (3,895) (3,291)Depositary fees (Note 6)................................................................................................ (136) (139)Sub-custodian fees (Note 6) .......................................................................................... (130) (151)Administration and transfer agency fees (Note 6)......................................................... (223) (187)Audit fees (Note 6) ........................................................................................................ (26) (27)Professional fees............................................................................................................ (35) (28)Other fees....................................................................................................................... (145) (95)


Net income (expense) ....................................................................................................... 421,744 (89,583)

Finance costsDistributions (Note 8).................................................................................................... (7,407) (11,519)

Profit (loss) for the financial year before taxation........................................................ 414,337 (101,102)

Taxation (Note 9)Capital gains tax ............................................................................................................ (14) (235)Withholding tax ............................................................................................................ (2,884) (2,447)








2021USD ‘000

2020USD ‘000


Share transactionsReinvestment of deemed distributions on accumulation shares (Note 8)...................... 7,407 11,724Net increase (decrease) in net assets resulting from redeemable participating sharetransactions (Note 10).................................................................................................... (111,967) 22,167



End of financial year ..................................................................................................... 1,017,874 710,995








Fund%

Transferable Securities (82.59%)(2020: 82.05%)Common Stock (81.43%) (2020: 81.22%)Australia (1.89%)Banks

48 Australia & NewZealand Banking GroupLtd ................................. 1,030 0.10

16 Commonwealth Bank ofAustralia ........................ 1,037 0.10

152 Link AdministrationHoldings Ltd.................. 595 0.06

51 National Australia BankLtd ................................. 1,005 0.10

75 Westpac Banking Corp.. 1,401 0.14

Chemicals316 Incitec Pivot Ltd ............ 700 0.07

Commercial Services and Supplies136 Brambles Ltd ................. 1,097 0.11

Construction and Engineering6 CIMIC Group Ltd.......... 81 0.01

Diversified Financials6 ASX Ltd ........................ 299 0.03

29 McMillan ShakespeareLtd ................................. 244 0.02

Electric Utilities15 AGL Energy Ltd............ 112 0.01

175 Origin Energy Ltd ......... 624 0.06368 Spark Infrastructure

Group............................. 609 0.06

Health Care Providers and Services135 Healius Ltd .................... 420 0.04

Insurance60 Medibank Pvt Ltd.......... 129 0.0179 QBE Insurance Group

Ltd ................................. 578 0.0687 Suncorp Group Ltd........ 653 0.06

Metals and Mining563 Alumina Ltd .................. 746 0.07

60 BHP Group Ltd ............. 2,084 0.21129 Newcrest Mining Ltd..... 2,401 0.24

Oil and Gas35 Woodside Petroleum

Ltd ................................. 636 0.06

Real Estate Investment Trust46 Dexus............................. 341 0.03

310 Scentre Group................ 666 0.07

Retail Trade26 Wesfarmers Ltd ............. 1,044 0.10



Fund%

Telecommunications255 Telstra Corp Ltd............. 659 0.07

19,191 1.89

Austria (0.19%)Machinery

42 Andritz AG .................... 1,899 0.19

Belgium (0.12%)Banks

17 KBC Group NV............. 1,268 0.12

Bermuda (0.64%)Automobiles

314 Brilliance ChinaAutomotive HoldingsLtd ................................. 295 0.03

Computers and Peripherals112 PAX Global Technology

Ltd ................................. 120 0.01

Food Products878 First Pacific Co Ltd ....... 289 0.03

Holding Companies - DiversifiedOperations

7 Jardine MathesonHoldings Ltd.................. 431 0.04

Insurance16 Essent Group Ltd........... 758 0.07

1 Everest Re Group Ltd.... 272 0.03

Semiconductor Equipment and Products19 Marvell Technology

Group Ltd ...................... 921 0.09

Transport327 Golden Ocean Group

Ltd ................................. 2,267 0.22143 Kerry Logistics

Network Ltd................... 429 0.0437 Stolt-Nielsen Ltd ........... 555 0.0617 Tsakos Energy

Navigation Ltd............... 159 0.02

6,496 0.64

Brazil (0.11%)Aerospace and Defence

20 Embraer SA ADR.......... 202 0.02

Electric Utilities151 Centrais Eletricas

Brasileiras SA................ 914 0.09

1,116 0.11

Canada (2.60%)Auto Components

13 Magna InternationalInc.................................. 1,162 0.11



31 March 2021





Fund%

Banks15 Toronto-Dominion

Bank............................... 979 0.10

Diversified Financials21 Sprott Inc ....................... 797 0.08

Environmental Control184 Denison Mines Corp...... 200 0.02

Insurance7 Great-West Lifeco Inc ... 195 0.023 iA Financial Corp Inc .... 182 0.023 Intact Financial Corp ..... 393 0.04

17 Sun Life Financial Inc ... 831 0.08

Internet Software and Services1 Shopify Inc (Canada

listed) ............................. 558 0.063 Shopify Inc (US listed).. 3,565 0.35

Media6 Thomson Reuters Corp.. 506 0.05

Metals and Mining126 Cameco Corp................. 2,089 0.20180 Centerra Gold Inc .......... 1,591 0.16

53 Equinox Gold Corp ....... 425 0.04553 Fission Uranium Corp ... 229 0.02

97 IAMGOLD Corp ........... 290 0.03246 International Tower Hill

Mines Ltd ...................... 263 0.02176 Ivanhoe Mines Ltd......... 907 0.09177 New Gold Inc ................ 272 0.03300 NexGen Energy Ltd....... 1,083 0.11590 Northern Dynasty

Minerals Ltd .................. 374 0.0450 Novagold Resources

Inc.................................. 435 0.0410 Pan American Silver

Corp............................... 313 0.0365 Seabridge Gold Inc

(Canada listed)............... 1,050 0.1012 Seabridge Gold Inc (US

listed) ............................. 197 0.02127 Turquoise Hill

Resources Ltd ................ 2,037 0.2021 Wheaton Precious

Metals Corp (US listed). 786 0.08

Oil and Gas48 Canadian Natural

Resources Ltd ................ 1,485 0.15114 Cenovus Energy Inc....... 852 0.08

65 Crescent Point EnergyCorp............................... 271 0.03

167 MEG Energy Corp ........ 867 0.08

Other Finance35 Dundee Corp ................. 40 0.00



Fund%

280 Uranium ParticipationCorp............................... 1,215 0.12

26,439 2.60

Cayman Islands (1.50%)Commercial Services and Supplies

66 TAL Education GroupADR............................... 3,574 0.35

Electrical Equipment1,124 NVC International

Holdings Ltd.................. 27 0.00

Food Products128 Health & Happiness

H&H InternationalHoldings Ltd.................. 488 0.05

Gas Utilities321 Towngas China Co Ltd .. 160 0.02

Holding Companies - DiversifiedOperations

147 CK Hutchison HoldingsLtd ................................. 1,171 0.12

Internet Software and Services4 Alibaba Group Holding

Ltd ADR ........................ 991 0.101 Baidu Inc ADR .............. 209 0.02

28 Farfetch Ltd ................... 1,480 0.1496 Meituan Dianping.......... 3,679 0.3612 Tencent Holdings Ltd .... 902 0.0946 Trip.com Group Ltd

ADR............................... 1,828 0.18

Real Estate118 CK Asset Holdings Ltd.. 713 0.07

15,222 1.50

China (0.30%)Commercial Services and Supplies

115 TravelSky TechnologyLtd ................................. 269 0.03

Construction and Engineering348 Beijing Capital

International Airport CoLtd ................................. 271 0.03

Food Products35 Foshan Haitian

Flavouring & Food CoLtd ................................. 864 0.08

Insurance68 China Life Insurance Co

Ltd (Hong Kong listed) . 140 0.01157 China Shenhua Energy

Co Ltd............................ 322 0.03



31 March 2021





Fund%

371 PICC Property &Casualty Co Ltd............. 322 0.03

23 Ping An InsuranceGroup Co of China Ltd(Class H)........................ 274 0.03

Oil and Gas516 China Petroleum &

Chemical Corp............... 275 0.03

Transport1,820 Guangshen Railway Co

Ltd ................................. 361 0.03

3,098 0.30

Cyprus (0.16%)Agriculture

132 MHP SE GDR ............... 725 0.07

Real Estate318 Etalon Group Plc GDR.. 513 0.05

Retail Trade126 Lenta Plc GDR .............. 408 0.04

1,646 0.16

Czech Republic (0.20%)Electric Utilities

82 CEZ AS.......................... 2,029 0.20

Denmark (1.58%)Banks

81 Danske Bank A/S........... 1,528 0.15

Biotechnology4 H Lundbeck A/S ............ 144 0.01

Energy Equipment and Services15 Vestas Wind Systems

A/S................................. 3,158 0.31

Oil and Gas49 Maersk Drilling A/S ...... 1,947 0.19

Transport2 AP Moller - Maersk A/S

(Class B) ........................ 4,722 0.4724 DSV Panalpina A/S ....... 4,616 0.45

16,115 1.58

Finland (0.39%)Auto Components

5 Nokian Renkaat OYJ ..... 175 0.02

Insurance12 Sampo OYJ.................... 546 0.05

Oil and Gas11 Neste OYJ...................... 599 0.06

Paper and Forest Products16 UPM-Kymmene OYJ..... 592 0.06

Pharmaceuticals4 Orion OYJ (Class B)...... 150 0.01



Fund%

Telecommunications5 Elisa OYJ ....................... 275 0.03

414 Nokia OYJ ..................... 1,658 0.16

3,995 0.39

France (4.37%)Advertising

15 Publicis Groupe SA ....... 907 0.09

Auto Components24 Cie Generale des

Etablissements MichelinSCA ............................... 3,669 0.36

Banks43 BNP Paribas SA ............ 2,635 0.2671 Credit Agricole SA ........ 1,021 0.10

Commercial Services and Supplies42 Edenred.......................... 2,178 0.21

Distributors255 Rexel SA........................ 5,062 0.50

Diversified Financials23 Amundi SA.................... 1,844 0.18

Electric Utilities97 Electricite de France

SA.................................. 1,305 0.13

Electrical Equipment33 Legrand SA.................... 3,116 0.31

Food Products41 Danone SA .................... 2,804 0.28

Health Care Equipment and Supplies18 EssilorLuxottica SA ...... 3,019 0.30

Insurance40 SCOR SE....................... 1,353 0.13

Oil and Gas72 TOTAL SE..................... 3,384 0.33

Semiconductor Equipment and Products19 SOITEC......................... 3,913 0.38

Software1 Dassault Systemes SE ... 203 0.02

Textile and Apparel2 Hermes International ..... 2,602 0.255 Kering SA...................... 3,158 0.313 LVMH Moet Hennessy

Louis Vuitton SE ........... 2,306 0.23

44,479 4.37

Germany (2.27%)Banks

435 Commerzbank AG ......... 2,669 0.26306 Deutsche Bank AG ........ 3,667 0.36



31 March 2021





Fund%

Chemicals36 BASF SE ....................... 3,026 0.3037 Covestro AG .................. 2,471 0.24

Electric Utilities5 Uniper SE ...................... 163 0.02

Insurance2 Hannover Rueck SE....... 351 0.043 Muenchener

Rueckversicherungs-Gesellschaft AG inMuenchen ...................... 1,052 0.10

Internet Software and Services18 Delivery Hero SE .......... 2,351 0.23

Iron and Steel85 Salzgitter AG ................. 2,668 0.26

Software20 SAP SE.......................... 2,467 0.2418 SAP SE ADR................. 2,253 0.22

23,138 2.27

Hong Kong (0.33%)Banks

173 BOC Hong KongHoldings Ltd.................. 604 0.06

6 Hang Seng Bank Ltd ..... 128 0.01

Electric Utilities99 CLP Holdings Ltd ......... 966 0.0935 Power Assets Holdings

Ltd ................................. 204 0.02

Insurance55 AIA Group Ltd .............. 667 0.07

Real Estate33 Henderson Land

Development Co Ltd ..... 147 0.0168 Hysan Development Co

Ltd ................................. 266 0.03

Real Estate Investment Trust17 Link REIT...................... 154 0.02

Transport37 MTR Corp Ltd............... 209 0.02

3,345 0.33

India (0.87%)Banks

87 HDFC Bank Ltd ADR ... 6,799 0.6688 ICICI Bank Ltd ADR .... 1,407 0.14

8 State Bank of IndiaGDR............................... 395 0.04

Oil and Gas5 Reliance Industries Ltd

GDR............................... 272 0.03

8,873 0.87



Fund%

Ireland (0.56%)Chemicals

8 Linde Plc (US listed) ..... 2,186 0.21

Computers and Peripherals3 Accenture Plc ................ 795 0.08

Health Care Equipment and Supplies14 Medtronic Plc ................ 1,708 0.17

Pharmaceuticals6 Jazz Pharmaceuticals

Plc.................................. 1,019 0.10

5,708 0.56

Italy (0.70%)Banks

12 FinecoBank BancaFineco SpA .................... 205 0.02

1,194 Intesa Sanpaolo SpA ..... 3,242 0.3237 UniCredit SpA............... 390 0.04

Electric Utilities70 Enel SpA........................ 702 0.07

Machinery9 Danieli & C Officine

Meccaniche SpA............ 213 0.02

Retail Trade41 Moncler SpA ................. 2,356 0.23

7,108 0.70

Japan (14.54%)Advertising

96 Hakuhodo DY HoldingsInc.................................. 1,603 0.16

Airlines65 Japan Airlines Co Ltd .... 1,457 0.14

Auto Components30 Aisin Seiki Co Ltd......... 1,148 0.1113 Bridgestone Corp........... 522 0.0523 NOK Corp ..................... 308 0.03

159 Sumitomo ElectricIndustries Ltd................. 2,380 0.24

25 Sumitomo RubberIndustries Ltd................. 299 0.03

7 Tachi-S Co Ltd .............. 76 0.01

Automobiles95 Honda Motor Co Ltd ..... 2,844 0.2835 Isuzu Motors Ltd ........... 377 0.0481 Nissan Motor Co Ltd..... 451 0.04

126 Subaru Corp .................. 2,525 0.25

Banks40 Hachijuni Bank Ltd ....... 147 0.0150 Hirogin Holdings Inc..... 308 0.03

237 Mitsubishi UFJFinancial Group Inc....... 1,270 0.13



31 March 2021





Fund%

30 Nishi-Nippon FinancialHoldings Inc .................. 218 0.02

107 North Pacific Bank Ltd . 309 0.03454 Resona Holdings Inc ..... 1,909 0.19

85 Sumitomo MitsuiFinancial Group Inc....... 3,075 0.30

128 Sumitomo Mitsui TrustHoldings Inc .................. 4,449 0.44

Building Products20 AGC Inc......................... 846 0.08

5 Daikin Industries Ltd..... 909 0.09

Chemicals25 Kuraray Co Ltd.............. 289 0.03

106 Toagosei Co Ltd ............ 1,243 0.12122 Toray Industries Inc ....... 785 0.08

Commercial Services and Supplies52 Dai Nippon Printing Co

Ltd ................................. 1,091 0.1118 Park24 Co Ltd ............... 333 0.0317 Secom Co Ltd................ 1,450 0.14

Computers and Peripherals69 Zuken Inc....................... 1,754 0.17

Construction and Engineering20 COMSYS Holdings

Corp............................... 614 0.063 Fukuda Corp.................. 129 0.01

129 JGC Holdings Corp ....... 1,588 0.16101 Kajima Corp .................. 1,442 0.14

3 Meitec Corp................... 182 0.0261 Obayashi Corp............... 559 0.05

Distributors87 Mitsubishi Corp............. 2,453 0.24

145 Mitsui & Co Ltd ............ 3,025 0.30

Diversified Financials219 Credit Saison Co Ltd ..... 2,633 0.26

9 Japan Exchange GroupInc.................................. 202 0.02

57 Mitsubishi UFJ Lease &Finance Co Ltd .............. 348 0.03

127 Nomura Holdings Inc .... 670 0.07

Electrical Equipment14 Cosel Co Ltd.................. 141 0.0227 Kyocera Corp................. 1,710 0.1733 Mabuchi Motor Co Ltd.. 1,453 0.1429 Taiyo Yuden Co Ltd....... 1,360 0.13

Food Products109 Ajinomoto Co Inc.......... 2,241 0.22

93 Nisshin Seifun GroupInc.................................. 1,550 0.15

Gas Utilities118 Osaka Gas Co Ltd.......... 2,309 0.23147 Tokyo Gas Co Ltd.......... 3,263 0.32



Fund%

Hand and Machine Tools80 DMG Mori Co Ltd ........ 1,318 0.1321 Makita Corp................... 876 0.09

Health Care Equipment and Supplies62 Japan Lifeline Co Ltd .... 784 0.08

Health Care Providers and Services20 Miraca Holdings Inc...... 679 0.0713 Tsukui Corp................... 107 0.01

Home Builders87 Sekisui House Ltd ......... 1,861 0.18

Home Furnishings10 Eizo Corp....................... 382 0.04

131 Panasonic Corp.............. 1,682 0.16

Household Products26 Duskin Co Ltd ............... 655 0.06

Insurance112 Dai-ichi Life Holdings

Inc.................................. 1,926 0.1926 MS&AD Insurance

Group Holdings Inc ....... 765 0.0849 Sompo Holdings Inc...... 1,881 0.1813 Tokio Marine Holdings

Inc.................................. 629 0.06

Internet Software and Services218 Yahoo Japan Corp.......... 1,086 0.11

Iron and Steel5 Aichi Steel Corp ............ 168 0.027 Japan Steel Works Ltd ... 181 0.02

127 JFE Holdings Inc ........... 1,564 0.15178 Nippon Steel Corp......... 3,040 0.30

Machinery3 FANUC Corp................. 782 0.08

12 Keyence Corp ................ 5,368 0.5392 Komatsu Ltd .................. 2,840 0.28

6 Organo Corp .................. 343 0.0315 Sumitomo Heavy

Industries Ltd................. 420 0.0469 Tadano Ltd..................... 746 0.07

Metals and Mining121 NSK Ltd ........................ 1,245 0.12

Miscellaneous Manufacturers21 Okamoto Industries Inc . 803 0.08

Office Electronics16 Canon Inc ...................... 358 0.0337 FUJIFILM Holdings

Corp............................... 2,218 0.22119 Seiko Epson Corp.......... 1,943 0.19

Oil and Gas91 Inpex Corp..................... 626 0.06

8 Japan PetroleumExploration Co Ltd........ 145 0.02



31 March 2021





Fund%

Paper and Forest Products81 Hokuetsu Corp............... 380 0.04

Personal Products21 Kao Corp ....................... 1,370 0.13

Pharmaceuticals52 Astellas Pharma Inc....... 799 0.0859 KYORIN Holdings Inc .. 1,033 0.10

6 Medipal Holdings Corp. 121 0.0122 Otsuka Holdings Co

Ltd ................................. 908 0.0931 Sawai Pharmaceutical

Co Ltd............................ 1,483 0.156 Suzuken Co Ltd ............. 239 0.02

132 Takeda PharmaceuticalCo Ltd............................ 4,757 0.47

30 Toho Holdings Co Ltd ... 557 0.05

Real Estate31 Daibiru Corp.................. 405 0.04

155 Mitsubishi Estate CoLtd ................................. 2,714 0.27

61 Nomura Real EstateHoldings Inc .................. 1,462 0.14

Real Estate Investment Trust- United Urban

Investment Corp ............ 116 0.01

Retail Trade24 ABC-Mart Inc ............... 1,367 0.1331 Aoyama Trading Co

Ltd ................................. 231 0.02198 Citizen Watch Co Ltd .... 677 0.07

86 J Front Retailing CoLtd ................................. 823 0.08

34 Komeri Co Ltd............... 960 0.0923 K’s Holdings Corp ........ 314 0.0314 Shimamura Co Ltd ........ 1,618 0.1676 Takashimaya Co Ltd...... 815 0.0819 United Arrows Ltd......... 366 0.0426 Xebio Holdings Co Ltd . 218 0.02

353 Yamada Denki Co Ltd ... 1,905 0.19

Semiconductor Equipment and Products15 Rohm Co Ltd ................. 1,477 0.14

5 Tokyo Electron Ltd........ 1,990 0.20

Software23 Fuji Soft Inc................... 1,182 0.1114 Square Enix Holdings

Co Ltd............................ 785 0.08

Telecommunications131 KDDI Corp.................... 4,028 0.40204 Nippon Telegraph &

Telephone Corp ............. 5,236 0.51

Textile and Apparel51 Tokai Corp..................... 1,113 0.1117 Wacoal Holdings Corp .. 384 0.04



Fund%

Toys, Games and Hobbies2 Nintendo Co Ltd............ 839 0.08

Transport49 East Japan Railway Co .. 3,469 0.34

102 Kamigumi Co Ltd.......... 1,937 0.194 West Japan Railway Co . 250 0.03

147,996 14.54

Jersey, Channel Islands (0.06%)Distributors

5 Ferguson Plc .................. 577 0.06

Kazakhstan (0.12%)Metals and Mining

50 NAC KazatompromJSC GDR ....................... 1,237 0.12

Korea, Republic of (0.67%)Auto Components

1 Hyundai Mobis Co Ltd.. 380 0.04

Computers and Peripherals3 LG Corp......................... 227 0.02

Electric Utilities19 Korea Electric Power

Corp............................... 394 0.0442 Korea Electric Power

Corp ADR...................... 427 0.04

Food Products3 GS Holdings Corp ......... 95 0.01

Insurance6 Korean Reinsurance Co. 43 0.00

Internet Software and Services4 NAVER Corp................. 1,287 0.13

Other Finance17 Hankook Technology

Group Co Ltd................. 276 0.03

Semiconductor Equipment and Products- Samsung Electronics Co

Ltd GDR........................ 412 0.04

Telecommunications2 KT Corp......................... 61 0.01

171 KT Corp ADR ............... 2,130 0.2198 LG Uplus Corp .............. 1,055 0.10

6,787 0.67

Lebanon (0.00%)Real Estate

7 Solidere ADR ................ 26 0.00

Luxembourg (1.13%)Agriculture

51 Kernel Holding SA........ 692 0.07

Computers and Peripherals2 Globant SA.................... 370 0.04



31 March 2021





Fund%

Health Care Providers and Services34 Eurofins Scientific SE... 3,267 0.32

Internet Software and Services9 Spotify Technology SA.. 2,470 0.24

Iron and Steel76 ArcelorMittal ................. 2,184 0.22

Metals and Mining18 Tenaris SA ..................... 201 0.02

Oil and Gas Services221 Subsea 7 SA................... 2,224 0.22

Telecommunications1 Millicom International

Cellular SA SDR ........... 45 0.00

11,453 1.13

Marshall Islands (0.01%)Transport

44 Diana Shipping Inc........ 132 0.01

Mauritius (0.14%)Agriculture

9,213 Golden Agri-ResourcesLtd ................................. 1,440 0.14

Netherlands (1.12%)Banks

182 ING Groep NV .............. 2,228 0.22

Commercial Services and Supplies1 Adyen NV...................... 2,237 0.22

25 Randstad NV ................. 1,788 0.18

Construction and Engineering37 Technip Energies NV

ADR............................... 557 0.05

Diversified Financials20 AerCap Holdings NV .... 1,169 0.11

Food Products28 Astarta Holding NV ...... 281 0.03

Semiconductor Equipment and Products83 STMicroelectronics NV

(France listed)................ 3,177 0.31

11,437 1.12

New Zealand (0.00%)Media

303 SKY NetworkTelevision Ltd ................ 38 0.00

Norway (0.29%)Chemicals

51 Yara International ASA . 2,659 0.26

Food Products10 Mowi ASA..................... 238 0.03

2,897 0.29



Fund%

Philippines (0.04%)Telecommunications

11 Globe Telecom Inc......... 418 0.04

Puerto Rico (0.11%)Banks

16 Popular Inc..................... 1,118 0.11

Russia (0.76%)Banks

242 Sberbank of RussiaPJSC .............................. 935 0.09

288,540 VTB Bank PJSC............ 163 0.02

Diversified Financials123 Moscow Exchange

MICEX-RTS PJSC........ 283 0.03

Electric Utilities490,781 Federal Grid Co Unified

Energy System PJSC ..... 1,410 0.14151,131 RusHydro PJSC............. 1,627 0.16

Metals and Mining9 Polyus PJSC GDR ......... 830 0.08

Oil and Gas716 Gazprom PJSC .............. 2,157 0.21

Real Estate30 LSR Group PJSC........... 324 0.03

7,729 0.76

Singapore (0.37%)Agriculture

388 First Resources Ltd........ 402 0.04

Banks35 DBS Group Holdings

Ltd ................................. 746 0.0719 United Overseas Bank

Ltd ................................. 375 0.04

Distributors26 Jardine Cycle &

Carriage Ltd................... 442 0.05

Diversified Financials57 Singapore Exchange

Ltd ................................. 424 0.04

Electrical Equipment16 Venture Corp Ltd........... 234 0.02

Real Estate140 CapitaLand Ltd.............. 390 0.04

Telecommunications400 Singapore

TelecommunicationsLtd ................................. 726 0.07

3,739 0.37



31 March 2021





Fund%

South Africa (0.09%)Metals and Mining

79 Gold Fields Ltd.............. 734 0.0711 Impala Platinum

Holdings Ltd.................. 202 0.02

936 0.09

Spain (0.41%)Banks

345 Banco Santander SAADR............................... 1,182 0.12

469 CaixaBank SA ............... 1,456 0.14

Commercial Services and Supplies22 Amadeus IT Group SA.. 1,520 0.15

4,158 0.41

Sri Lanka (0.02%)Holding Companies - DiversifiedOperations

456 Hemas Holdings Plc ...... 188 0.02

Sweden (0.08%)Metals and Mining

9 Boliden AB.................... 356 0.04

Other Finance9 Kinnevik AB.................. 418 0.04

774 0.08

Switzerland (2.24%)Banks

121 Credit Suisse GroupAG ................................. 1,275 0.13

136 UBS Group AG.............. 2,121 0.21

Building Products4 Geberit AG..................... 2,476 0.24

Chemicals- EMS-Chemie Holding

AG ................................. 231 0.02

Commercial Services and Supplies- SGS SA.......................... 433 0.04

Diversified Financials19 Julius Baer Group Ltd ... 1,253 0.12

1 Partners Group HoldingAG ................................. 660 0.07

Electrical Equipment3 Garmin Ltd .................... 341 0.03

Food Products34 Nestle SA....................... 3,852 0.38

Hand and Machine Tools7 Schindler Holding AG

(Non-voting rights)........ 1,947 0.19

Insurance6 Chubb Ltd...................... 906 0.09



Fund%

3 Swiss Re AG.................. 325 0.032 Zurich Insurance Group

AG ................................. 1,041 0.10

Pharmaceuticals11 Novartis AG................... 971 0.0915 Roche Holding AG ........ 4,653 0.46

Telecommunications1 Swisscom AG ................ 350 0.04

22,835 2.24

Taiwan (0.50%)Semiconductor Equipment and Products

43 Taiwan SemiconductorManufacturing Co LtdADR............................... 5,092 0.50

Thailand (0.04%)Banks

30 Kasikornbank PCL ........ 139 0.0178 Siam Commercial Bank

PCL................................ 277 0.03

416 0.04

Turkey (0.03%)Banks

356 Turkiye Halk BankasiAS.................................. 186 0.02

Real Estate400 Emlak Konut

Gayrimenkul YatirimOrtakligi AS................... 92 0.01

278 0.03

United Kingdom (5.74%)Banks

763 Barclays Plc ................... 1,956 0.19366 HSBC Holdings Plc

(UK listed)..................... 2,135 0.214,128 Lloyds Banking Group

Plc.................................. 2,423 0.24713 Natwest Group Plc......... 1,930 0.19105 Standard Chartered Plc

(Hong Kong listed) ........ 722 0.07228 Standard Chartered Plc

(UK listed)..................... 1,575 0.16

Beverages15 Fevertree Drinks Plc ...... 446 0.04

Commercial Services and Supplies23 Intertek Group Plc ......... 1,746 0.17

Construction and Engineering856 Balfour Beatty Plc ......... 3,488 0.34

Distributors104 Inchcape Plc .................. 1,083 0.11127 Travis Perkins Plc .......... 2,703 0.26



31 March 2021





Fund%

Diversified Financials3 Schroders Plc (Voting

rights)............................. 171 0.0211 St James’s Place Plc ...... 189 0.02

Food Products133 Compass Group Plc ....... 2,678 0.26810 J Sainsbury Plc .............. 2,710 0.27640 Tesco Plc........................ 2,023 0.20

Gas Utilities1,136 Centrica Plc ................... 848 0.08

Home Builders3 Berkeley Group

Holdings Plc .................. 199 0.0210 Persimmon Plc............... 383 0.0490 Taylor Wimpey Plc ........ 224 0.02

Household Products7 Reckitt Benckiser

Group Plc....................... 633 0.06

Insurance340 Aviva Plc........................ 1,917 0.19

23 RSA Insurance GroupPlc.................................. 216 0.02

Lodging27 InterContinental Hotels

Group Plc....................... 1,867 0.18

Machinery10 Spirax-Sarco

Engineering Plc ............. 1,549 0.15

Metals and Mining119 BHP Group Plc.............. 3,433 0.34

45 Fresnillo Plc................... 537 0.053 Rio Tinto Plc.................. 246 0.02

Oil and Gas799 BP Plc ............................ 3,250 0.32

54 BP Plc ADR................... 1,309 0.13108 Royal Dutch Shell Plc

(Class A) ........................ 2,128 0.21

Oil and Gas Services725 John Wood Group Plc.... 2,704 0.27186 TechnipFMC Plc............ 1,437 0.14

Other Finance32 3i Group Plc................... 507 0.05

Personal Products35 Unilever Plc

(Netherlands listed) ....... 1,949 0.1940 Unilever Plc ADR.......... 2,253 0.22

Pharmaceuticals16 AstraZeneca Plc ADR ... 786 0.0825 GlaxoSmithKline Plc

ADR............................... 910 0.09



Fund%

Telecommunications655 Vodafone Group Plc ...... 1,191 0.12

58,454 5.74

United States (34.14%)Advertising

18 Omnicom Group Inc...... 1,303 0.13

Aerospace and Defence2 Boeing Co...................... 440 0.046 Raytheon Technologies

Corp............................... 448 0.042 TransDigm Group Inc.... 1,579 0.16

Automobiles5 Cummins Inc ................. 1,184 0.11

56 General Motors Co ........ 3,229 0.32

Banks58 Bank of America Corp... 2,248 0.2253 Citigroup Inc ................. 3,841 0.3840 Citizens Financial

Group Inc....................... 1,792 0.1816 Comerica Inc ................. 1,177 0.1231 First Republic Bank....... 5,142 0.5013 JPMorgan Chase & Co .. 1,987 0.1917 Morgan Stanley ............. 1,328 0.1335 US Bancorp ................... 1,924 0.1998 Wells Fargo & Co .......... 3,817 0.37

Beverages4 Coca-Cola Co ................ 230 0.02

40 PepsiCo Inc.................... 5,638 0.56

Biotechnology1 Amgen Inc ..................... 217 0.02

33 Corteva Inc .................... 1,563 0.15

Building Products58 Carrier Global Corp....... 2,435 0.24

1 Martin MariettaMaterials Inc.................. 471 0.05

Chemicals16 Air Products &

Chemicals Inc ................ 4,566 0.4524 DuPont de Nemours

Inc.................................. 1,834 0.186 Eastman Chemical Co ... 639 0.067 Ecolab Inc...................... 1,589 0.16

50 Huntsman Corp ............. 1,439 0.144 Sherwin-Williams Co .... 2,987 0.29

Commercial Services and Supplies3 Automatic Data

Processing Inc................ 615 0.0630 Moody’s Corp ............... 8,915 0.8813 Square Inc...................... 2,863 0.28

Computers and Peripherals43 Apple Inc ....................... 5,299 0.52



31 March 2021





Fund%

9 Cognizant TechnologySolutions Corp............... 695 0.07

7 EPAM Systems Inc........ 2,692 0.2711 HP Inc............................ 330 0.03

Containers and Packaging9 Crown Holdings Inc ...... 873 0.09

Diversified Financials2 BlackRock Inc ............... 1,413 0.14

55 Charles Schwab Corp .... 3,568 0.3515 CME Group Inc ............. 3,141 0.3110 Franklin Resources Inc .. 285 0.0331 Mastercard Inc............... 11,139 1.0945 SLM Corp...................... 803 0.08

7 T Rowe Price GroupInc.................................. 1,185 0.11

35 Visa Inc.......................... 7,528 0.74

Electric Utilities9 Alliant Energy Corp ...... 478 0.059 Ameren Corp ................. 747 0.072 Dominion Energy Inc .... 145 0.018 Eversource Energy......... 694 0.07

37 FirstEnergy Corp ........... 1,270 0.1316 NextEra Energy Inc ....... 1,236 0.12

9 OGE Energy Corp ......... 306 0.034 Pinnacle West Capital

Corp............................... 324 0.0335 PPL Corp ....................... 1,001 0.1015 Public Service

Enterprise Group Inc ..... 924 0.0910 WEC Energy Group

Inc.................................. 913 0.0913 Xcel Energy Inc............. 876 0.09

Electrical Equipment32 Amphenol Corp ............. 2,117 0.21

2 Emerson Electric Co...... 218 0.0235 Fortive Corp................... 2,472 0.2422 Honeywell International

Inc.................................. 4,687 0.464 Mettler-Toledo

International Inc ............ 4,819 0.475 Roper Technologies Inc . 2,082 0.21

72 Vontier Corp .................. 2,168 0.21

Entertainment1 Vail Resorts Inc ............. 174 0.02

Environmental Control5 Waste Management Inc . 611 0.06

Food Products4 Hershey Co .................... 550 0.05

19 Ingredion Inc ................. 1,661 0.1650 Kroger Co ...................... 1,803 0.1813 Mondelez International

Inc.................................. 771 0.089 Sysco Corp .................... 733 0.07



Fund%

24 TreeHouse Foods Inc..... 1,264 0.1225 Tyson Foods Inc............. 1,884 0.19

Gas Utilities43 NiSource Inc.................. 1,041 0.1019 UGI Corp....................... 786 0.08

Health Care Equipment and Supplies2 Intuitive Surgical Inc ..... 1,203 0.129 Teleflex Inc .................... 3,765 0.374 Zimmer Biomet

Holdings Inc .................. 688 0.07

Health Care Providers and Services1 Agilon Health Inc .......... 589 0.063 HCA Healthcare Inc ...... 616 0.063 Quest Diagnostics Inc.... 387 0.045 UnitedHealth Group

Inc.................................. 1,948 0.19

Home Builders6 DR Horton Inc............... 526 0.05

29 PulteGroup Inc .............. 1,526 0.157 Thor Industries Inc ........ 876 0.09

Household Products1 Clorox Co ...................... 273 0.03

Insurance15 Aflac Inc ........................ 760 0.07

2 American FinancialGroup Inc....................... 188 0.02

5 Arthur J Gallagher &Co .................................. 589 0.06

28 Berkshire Hathaway Inc(Class B) ........................ 7,078 0.70

4 Cincinnati FinancialCorp............................... 378 0.04

3 Fidelity NationalFinancial Inc .................. 125 0.01

9 Hartford FinancialServices Group Inc ........ 643 0.06

3 Markel Corp .................. 4,055 0.407 Progressive Corp ........... 727 0.076 Travelers Cos Inc........... 898 0.09

Internet Software and Services2 Alphabet Inc (Class A) .. 4,701 0.464 Alphabet Inc (Class C) .. 9,013 0.894 Amazon.com Inc ........... 11,281 1.117 DoorDash Inc ................ 864 0.08

25 Facebook Inc.................. 7,369 0.72116 Uber Technologies Inc ... 6,344 0.62

6 Zillow Group Inc(Class A) ........................ 784 0.08

Machinery4 Chart Industries Inc ....... 501 0.05

27 Graco Inc ....................... 1,962 0.19



31 March 2021





Fund%

27 Otis Worldwide Corp..... 1,819 0.182 Rockwell Automation

Inc.................................. 558 0.06

Media44 Comcast Corp................ 2,377 0.2320 Walt Disney Co.............. 3,668 0.36

Metals and Mining21 Alcoa Corp .................... 670 0.0738 Newmont Corp (US

Listed)............................ 2,284 0.224 Royal Gold Inc .............. 448 0.04

Miscellaneous Manufacturers4 3M Co............................ 837 0.081 Illinois Tool Works Inc .. 230 0.02

17 Textron Inc..................... 953 0.10

Oil and Gas19 Chevron Corp ................ 1,936 0.1910 ConocoPhillips .............. 514 0.0516 Exxon Mobil Corp......... 915 0.09

117 Range Resources Corp .. 1,207 0.12252 Southwestern Energy

Co .................................. 1,173 0.11

Other Finance22 KKR & Co Inc............... 1,052 0.10

Personal Products12 Colgate-Palmolive Co.... 950 0.0911 Procter & Gamble Co .... 1,468 0.15

Pharmaceuticals8 AbbVie Inc .................... 877 0.09

10 Becton Dickinson andCo .................................. 2,516 0.25

18 Bristol-Myers SquibbCo .................................. 1,130 0.11

30 CVS Health Corp .......... 2,288 0.223 Eli Lilly & Co................ 497 0.05

66 Johnson & Johnson........ 10,793 1.069 Merck & Co Inc............. 677 0.07

49 Pfizer Inc ....................... 1,764 0.1784 Viatris Inc ...................... 1,182 0.11

Real Estate Investment Trust16 American Tower Corp ... 3,795 0.37

146 Annaly CapitalManagement Inc ............ 1,254 0.12

1 AvalonBayCommunities Inc ........... 233 0.02

3 Crown CastleInternational Corp ......... 521 0.05

21 Equity Commonwealth.. 598 0.061 Federal Realty

Investment Trust ............ 125 0.012 Prologis Inc.................... 212 0.021 Public Storage................ 148 0.02



Fund%

13 Ryman HospitalityProperties Inc................. 1,015 0.10

203 Two Harbors InvestmentCorp............................... 1,486 0.15

Retail Trade2 AutoZone Inc................. 2,814 0.288 Best Buy Co Inc ............ 895 0.094 Darden Restaurants Inc . 515 0.055 Home Depot Inc ............ 1,611 0.161 McDonald’s Corp.......... 162 0.013 O’Reilly Automotive

Inc.................................. 1,592 0.1613 Starbucks Corp .............. 1,375 0.1335 TJX Cos Inc................... 2,293 0.22

2 Ulta Salon Cosmetics &Fragrance Inc................. 714 0.07

4 Walmart Inc ................... 602 0.06

Semiconductor Equipment and Products22 Intel Corp....................... 1,419 0.14

1 Lam Research Corp....... 397 0.049 Maxim Integrated

Products Inc................... 800 0.0832 Microchip Technology

Inc.................................. 4,966 0.4920 Micron Technology Inc.. 1,755 0.17

1 Skyworks Solutions Inc . 290 0.039 Texas Instruments Inc.... 1,671 0.162 Xilinx Inc....................... 292 0.03

Software15 Adobe Inc ...................... 7,092 0.7013 Intuit Inc ........................ 4,965 0.4939 Microsoft Corp .............. 9,306 0.91

7 MSCI Inc ....................... 2,866 0.2834 Oracle Corp ................... 2,391 0.2322 salesforce.com Inc ......... 4,647 0.46

9 ServiceNow Inc ............. 4,575 0.452 Snowflake Inc ................ 436 0.043 Zoom Video

Communications Inc...... 983 0.10

Telecommunications5 Arista Networks Inc....... 1,504 0.15

31 AT&T Inc ...................... 929 0.0923 Cisco Systems Inc ......... 1,198 0.1245 Juniper Networks Inc..... 1,132 0.1111 T-Mobile US Inc ............ 1,403 0.1428 Verizon

Communications Inc...... 1,645 0.16

Textile and Apparel39 NIKE Inc ....................... 5,146 0.51

8 VF Corp......................... 626 0.06

Transport4 CH Robinson

Worldwide Inc ............... 343 0.033 FedEx Corp.................... 966 0.10



31 March 2021





Fund%

5 Union Pacific Corp........ 1,195 0.12

347,484 34.14

Total Common Stock ... 828,804 81.43

Preferred Stock (1.15%) (2020: 0.82%)Germany (0.79%)Automobiles

28 Volkswagen AG ............. 7,769 0.76

Health Care Equipment and Supplies4 Draegerwerk AG & Co

KGaA............................. 304 0.03

8,073 0.79

Italy (0.13%)Machinery

86 Danieli & C OfficineMeccaniche SpA............ 1,324 0.13

Japan (0.17%)Beverages

71 Ito En Ltd....................... 1,671 0.17

Korea, Republic of (0.06%)Automobiles

7 Hyundai Motor Co......... 622 0.06

Total Preferred Stock .. 11,690 1.15

Rights (0.01%) (2020: 0.01%)Canada (0.01%)

123 Pan American SilverCorp............................... 107 0.01

Total Rights .................. 107 0.01

Total TransferableSecurities ...................... 840,601 82.59



Fund%

Investment Funds (9.68%) (2020: 9.44%)Ireland (9.68%)Arrowstreet Common Contractual Fund(8.93%)

548 Arrowstreet GlobalEquity GBP CCF........... 90,896 8.93




7,610 0.75

Total Ireland................. 98,506 9.68

Total InvestmentFunds ............................ 98,506 9.68




NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

21,542 4,441.71 485 of Euro Stoxx 50 Index FuturesLong Futures ContractsExpiring June 2021................................................ 495 0.05

210,244 3,929.79 1,070 of S&P 500 E Mini Index FuturesLong Futures ContractsExpiring June 2021................................................ 2,013 0.20

20,541 885.39 116 of S&P/TSX 60 Index FuturesLong Futures ContractsExpiring June 2021................................................ (32) (0.01)

5,692 5,174.77 44 of SPI 200 Index FuturesLong Futures ContractsExpiring June 2021................................................ (24) 0.00



31 March 2021



NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

114 11,419.01 1 of Swiss Market Index FuturesLong Futures ContractsExpiring June 2021................................................ 2 0.00

3,090 17.17 18 of Topix Index FuturesLong Futures ContractsExpiring June 2021................................................ 93 0.01

(1,600) (800.24) 10 of Amsterdam Index FuturesShort Futures ContractsExpiring April 2021............................................... (43) (0.01)

(4,541) (7,095.85) 64 of CAC 40 Index FuturesShort Futures ContractsExpiring April 2021............................................... (21) 0.00

(3,857) (17,141.84) 9 of DAX Index FuturesShort Futures ContractsExpiring June 2021................................................ (117) (0.01)

(11,090) (4,453.91) 249 of Euro Stoxx 50 Index FuturesShort Futures ContractsExpiring June 2021................................................ (224) (0.02)

(13,068) (9,268.36) 141 of FTSE 100 Index FuturesShort Futures ContractsExpiring June 2021................................................ 74 0.01

(1,407) (28,137.26) 10 of FTSE MIB Index FuturesShort Futures ContractsExpiring June 2021................................................ (27) 0.00

(1,634) (3,630.18) 9 of Hang Seng Index FuturesShort Futures ContractsExpiring April 2021............................................... (5) 0.00

(1,220) (10,169.10) 12 of IBEX 35 Index FuturesShort Futures ContractsExpiring April 2021............................................... 9 0.00

(48,262) (1,340.61) 720 of MSCI Emerging Markets Index FuturesShort Futures ContractsExpiring June 2021................................................ 652 0.06

(558) (265.48) 21 of MSCI Singapore Index FuturesShort Futures ContractsExpiring April 2021............................................... (2) 0.00

(2,328) (247.70) 94 of OMXS30 Index FuturesShort Futures ContractsExpiring April 2021............................................... (30) 0.00

(5,096) (3,919.78) 26 of S&P 500 E Mini Index FuturesShort Futures ContractsExpiring June 2021................................................ (62) (0.01)

(11,159) (885.66) 63 of S&P/TSX 60 Index FuturesShort Futures ContractsExpiring June 2021................................................ 20 0.00

(2,979) (5,181.50) 23 of SPI 200 Index FuturesShort Futures ContractsExpiring June 2021................................................ 16 0.00



31 March 2021



NotionalAmount

USD ‘000

AverageCost Price

USD


Fund%

(5,935) (11,412.62) 52 of Swiss Market Index FuturesShort Futures ContractsExpiring June 2021................................................ (103) (0.01)

(82,741) (17.09) 484 of Topix Index FuturesShort Futures ContractsExpiring June 2021................................................ (2,846) (0.28)

Unrealised gain on open futures contracts............................................................................ 3,374 0.33Unrealised loss on open futures contracts ............................................................................ (3,536) (0.35)


Open Forward Foreign Currency Exchange Contracts (0.25%)

SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

07/04/2021 AUD 22 USD 17 - 0.0007/04/2021 AUD 823 USD 626 1 0.0007/04/2021 AUD 823 USD 626 1 0.0016/06/2021 AUD 2,640 USD 2,033 (21) 0.0016/06/2021 AUD 2,640 USD 2,037 (26) 0.0016/06/2021 AUD 2,640 USD 2,033 (21) 0.0016/06/2021 AUD 2,640 USD 2,033 (22) 0.0016/06/2021 AUD 4,630 USD 3,575 (48) (0.01)07/04/2021 CAD 28 USD 23 - 0.0007/04/2021 CAD 1,123 USD 889 4 0.0007/04/2021 CAD 1,123 USD 889 5 0.0016/06/2021 CAD 4,446 USD 3,516 21 0.0016/06/2021 CAD 4,446 USD 3,523 14 0.0016/06/2021 CAD 4,446 USD 3,516 21 0.0016/06/2021 CAD 4,446 USD 3,515 23 0.0016/06/2021 CAD 4,446 USD 3,516 21 0.0016/06/2021 CAD 3,840 USD 3,066 (10) 0.0007/04/2021 CHF 18 USD 20 - 0.0007/04/2021 CHF 707 USD 750 1 0.0007/04/2021 CHF 707 USD 750 1 0.0016/06/2021 CHF 20 USD 22 - 0.0007/04/2021 EUR 63 USD 75 (1) 0.0007/04/2021 EUR 2,424 USD 2,840 9 0.0007/04/2021 EUR 2,424 USD 2,841 8 0.0016/06/2021 EUR 130 USD 155 (2) 0.0016/06/2021 EUR 3,340 USD 3,993 (62) (0.01)07/04/2021 GBP 23 USD 32 - 0.0007/04/2021 GBP 877 USD 1,204 6 0.0007/04/2021 GBP 877 USD 1,203 6 0.0007/04/2021 JPY 6,304 USD 58 (1) 0.0007/04/2021 JPY 242,328 USD 2,196 (3) 0.0007/04/2021 JPY 242,328 USD 2,195 (2) 0.0016/06/2021 JPY 309,754 USD 2,850 (46) 0.0016/06/2021 JPY 309,754 USD 2,855 (50) (0.01)16/06/2021 JPY 309,754 USD 2,850 (46) 0.00



31 March 2021



SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 JPY 309,754 USD 2,854 (49) (0.01)16/06/2021 JPY 476,234 USD 4,383 (70) (0.01)07/04/2021 SEK 76 USD 9 - 0.0007/04/2021 SEK 2,921 USD 334 1 0.0007/04/2021 SEK 2,921 USD 334 1 0.0007/04/2021 USD 636 AUD 797 29 0.0007/04/2021 USD 694 AUD 871 31 0.0011/05/2021 USD 626 AUD 823 (1) 0.0011/05/2021 USD 626 AUD 823 (1) 0.0016/06/2021 USD 7,066 AUD 9,200 57 0.0116/06/2021 USD 92 AUD 120 1 0.0016/06/2021 USD 2,899 AUD 3,740 49 0.0107/04/2021 USD 858 CAD 1,070 6 0.0007/04/2021 USD 858 CAD 1,070 7 0.0007/04/2021 USD 106 CAD 134 (1) 0.0011/05/2021 USD 889 CAD 1,123 (4) 0.0011/05/2021 USD 889 CAD 1,123 (5) 0.0016/06/2021 USD 1,219 CAD 1,541 (7) 0.0016/06/2021 USD 1,221 CAD 1,541 (5) 0.0016/06/2021 USD 1,219 CAD 1,541 (7) 0.0016/06/2021 USD 1,218 CAD 1,541 (8) 0.0016/06/2021 USD 1,219 CAD 1,541 (7) 0.0016/06/2021 USD 2,547 CAD 3,190 8 0.0007/04/2021 USD 784 CHF 710 30 0.0007/04/2021 USD 799 CHF 723 31 0.0011/05/2021 USD 751 CHF 707 (1) 0.0011/05/2021 USD 751 CHF 707 (1) 0.0016/06/2021 USD 2,642 CHF 2,452 32 0.0016/06/2021 USD 2,644 CHF 2,452 33 0.0016/06/2021 USD 2,642 CHF 2,452 32 0.0016/06/2021 USD 5,839 CHF 5,419 71 0.0116/06/2021 USD 2,644 CHF 2,452 34 0.0016/06/2021 USD 2,642 CHF 2,452 32 0.0007/04/2021 USD 2,863 EUR 2,340 113 0.0107/04/2021 USD 3,145 EUR 2,571 123 0.0111/05/2021 USD 2,842 EUR 2,424 (9) 0.0011/05/2021 USD 2,843 EUR 2,424 (8) 0.0016/06/2021 USD 4,370 EUR 3,669 51 0.0116/06/2021 USD 4,377 EUR 3,669 58 0.0116/06/2021 USD 4,370 EUR 3,669 51 0.0116/06/2021 USD 4,370 EUR 3,669 51 0.0116/06/2021 USD 6,701 EUR 5,619 87 0.0107/04/2021 USD 1,211 GBP 856 29 0.0007/04/2021 USD 1,301 GBP 920 31 0.0011/05/2021 USD 1,204 GBP 877 (6) 0.0011/05/2021 USD 1,203 GBP 877 (6) 0.0016/06/2021 USD 2,990 GBP 2,152 21 0.0016/06/2021 USD 2,995 GBP 2,152 25 0.0016/06/2021 USD 2,990 GBP 2,152 21 0.0016/06/2021 USD 2,992 GBP 2,152 21 0.00



31 March 2021



SettlementDate

AmountBought ’000

AmountSold ’000


Fund%

16/06/2021 USD 3,781 GBP 2,722 24 0.0016/06/2021 USD 251 HKD 1,950 - 0.0016/06/2021 USD 1,426 HKD 11,070 1 0.0007/04/2021 USD 2,158 JPY 228,914 86 0.0107/04/2021 USD 2,471 JPY 262,047 99 0.0111/05/2021 USD 2,197 JPY 242,328 3 0.0011/05/2021 USD 2,196 JPY 242,328 2 0.0016/06/2021 USD 4,245 JPY 460,000 79 0.0116/06/2021 USD 12,691 JPY 1,379,250 201 0.0216/06/2021 USD 12,711 JPY 1,379,250 221 0.0316/06/2021 USD 12,690 JPY 1,379,250 200 0.0216/06/2021 USD 12,706 JPY 1,379,250 216 0.0316/06/2021 USD 33,260 JPY 3,613,090 540 0.0616/06/2021 USD 685 NOK 5,817 4 0.0016/06/2021 USD 688 NOK 5,817 6 0.0016/06/2021 USD 685 NOK 5,817 4 0.0016/06/2021 USD 685 NOK 5,817 4 0.0016/06/2021 USD 685 NOK 5,817 4 0.0007/04/2021 USD 338 SEK 2,780 19 0.0007/04/2021 USD 381 SEK 3,140 21 0.0011/05/2021 USD 334 SEK 2,921 (1) 0.0011/05/2021 USD 334 SEK 2,921 (2) 0.0016/06/2021 USD 2,126 SEK 18,088 49 0.0116/06/2021 USD 272 SEK 2,310 6 0.0016/06/2021 USD 45 SGD 60 - 0.0016/06/2021 USD 507 SGD 680 1 0.00

Unrealised gain on open forward foreign currency exchange contracts .................................. 3,099 0.30Unrealised loss on open forward foreign currency exchange contracts................................... (560) (0.05)

Net unrealised gain (loss) on open forward foreign currency exchange contracts ........... 2,539 0.25

Total Financial Derivative Instruments ............................................................................... 2,377 0.23


Fund%

Total Financial Assets at Fair Value through Profit or Loss(92.90%)......................................................................................... 945,580 92.90Total Financial Liabilities at Fair Value through Profit orLoss ((0.40)%) ............................................................................... (4,096) (0.40)

Net Financial Assets at Fair Value through Profit or Loss(92.50%) ........................................................................................ 941,484 92.50Other Net Assets (7.50%) ............................................................. 76,390 7.50

Net Assets ....................................................................................... 1,017,874 100.00

Abbreviation used:

ADR - American Depository ReceiptGDR - Global Depository ReceiptREIT - Real Estate Investment TrustSDR - Swedish Depository Receipt



31 March 2021




gross assets

Transferable securities admitted to an official stock exchange listing................................................................ 81.25Other transferable securities of the type referred to in Regulation 68(1)(a), (b) and (c) .................................... 0.64Investment funds (UCITS) .................................................................................................................................. 9.60Exchange traded financial derivative instruments .............................................................................................. 0.33Over the counter financial derivative instruments .............................................................................................. 0.30Other assets ......................................................................................................................................................... 7.88

100.00



As at 31 March 2021






Morgan Stanley .................................................................................. - - 329 (74) 329 (74)Royal Bank of Canada ....................................................................... - - 782 (106) 782 (106)Standard Chartered Bank ................................................................... - - 328 (74) 328 (74)Toronto Dominion Bank .................................................................... - - 348 (78) 348 (78)UBS AG ............................................................................................. 3,374 (3,536) 774 (197) 4,148 (3,733)Other* ................................................................................................ - - 538 (31) 538 (31)

Total financial derivatives positions ............................................... 3,374 (3,536) 3,099 (560) 6,473 (4,096)

As at 31 March 2020






Bank of New York.............................................................................. - - 1,243 (275) 1,243 (275)Citibank.............................................................................................. - - 1,299 (236) 1,299 (236)Royal Bank of Canada ....................................................................... - - 1,904 (336) 1,904 (336)Standard Chartered Bank ................................................................... - - 1,118 (304) 1,118 (304)UBS AG ............................................................................................. 962 (2,002) 671 (103) 1,633 (2,105)Other** .............................................................................................. - - 1,541 (324) 1,541 (324)

Total financial derivative positions ................................................. 962 (2,002) 7,776 (1,578) 8,738 (3,580)

* The brokers/counterparties included here are Bank of America Merrill Lynch, Bank of New York, JP Morgan and State StreetBank and Trust Company.** The brokers/counterparties included here are Bank of Montreal, Brown Brothers Harriman, State Street Bank and TrustCompany and Westpac Banking Corp for open forward foreign currency exchange contracts.



31 March 2021





As at 31 March 2021

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000


Investments at fair value:Transferable securities............................................................. 839,879 - 722 840,601Investment funds ..................................................................... - 98,506 - 98,506

Unrealised gain on open futures contracts ................................. 3,374 - - 3,374Unrealised gain on open forward foreign currency exchangecontracts...................................................................................... - 3,099 - 3,099

Total assets.................................................................................... 843,253 101,605 722 945,580


Unrealised loss on open futures contracts .................................. (3,536) - - (3,536)Unrealised loss on open forward foreign currency exchangecontracts...................................................................................... - (560) - (560)


As at 31 March 2020

Level 1USD ‘000

Level 2USD ‘000

Level 3USD ‘000

TotalUSD ‘000


Investments at fair value:Transferable securities............................................................. 583,118 - 230 583,348Investment funds ..................................................................... - 67,137 - 67,137

Unrealised gain on open futures contracts ................................. 962 - - 962Unrealised gain on open forward foreign currency exchangecontracts...................................................................................... - 7,776 - 7,776

Total assets.................................................................................... 584,080 74,913 230 659,223


Unrealised loss on open futures contracts .................................. (2,002) - - (2,002)Unrealised loss on open forward foreign currency exchangecontracts...................................................................................... - (1,578) - (1,578)

Total liabilities .............................................................................. (2,002) (1,578) - (3,580)



31 March 2021




USD ‘000

Russell Investments Company III plcRussell Investments U.S. Dollar Cash Fund IIClass R Roll-Up Shares 130,931

Russell Investments Company III plcRussell Investments Euro Liquidity FundClass R Roll-Up Shares 24,305

Takeda Pharmaceutical Co Ltd 6,072Microsoft Corp 4,844Air Products & Chemicals Inc 3,937BHP Group Plc 3,816TOTAL SE 3,139Danone SA 2,714BNP Paribas SA 2,697Nippon Telegraph & Telephone Corp 2,675Vestas Wind Systems A/S 2,659Newmont Corp 2,591Adyen NV 2,573Wells Fargo & Co 2,565Osaka Gas Co Ltd 2,367Compass Group Plc 2,204KDDI Corp 2,067Omnicom Group Inc 2,004BP Plc 1,936Visa Inc 1,875


USD ‘000


Russell Investments Company III plcRussell Investments Euro Liquidity FundClass R Roll-Up Shares (22,306)

Arrowstreet Common Contractual FundArrowstreet Global Equity GBP CCF (20,500)Zoom Video Communications Inc (4,661)FANUC Corp (3,526)Mastercard Inc (3,219)BHP Group Ltd (3,143)Adobe Inc (2,831)TechnipFMC Plc (2,820)Alphabet Inc (Class C) (2,738)Facebook Inc (2,619)Siltronic AG (2,594)Keyence Corp (2,526)Amazon.com Inc (2,462)Takeda Pharmaceutical Co Ltd (2,461)SOITEC (2,446)Yamato Holdings Co Ltd (2,375)Apple Inc (2,348)Varian Medical Systems Inc (2,348)Rentokil Initial Plc (2,337)







1. Basis of Preparation

a) Statement of ComplianceThe Company’s financial statements are prepared in accordance with accounting standards generally accepted in Irelandincluding Financial Reporting Standard (“FRS”) 102, the financial reporting standard applicable in the UK and Republic ofIreland, Irish statute comprising the Companies Act and the provisions of the European Communities (Undertakings forCollective Investment in Transferable Securities) Regulations, 2011 (as amended) (the “UCITS Regulations”). Irish GAAP,in preparing financial statements which present a true and fair view, are those issued by the Financial Reporting Council(“FRC”). The Companies Act prescribed formats for financial statements have been adapted to make them more applicableto investment funds.

The financial statements are prepared on a going concern basis for all Funds.

The Company has availed of the exemption available to open ended investment funds that hold a substantial proportion ofhighly liquid and fair valued investments under Section 7 of FRS 102 and is not presenting cash flow statements. Theinformation required by FRS 102 to be included in a statement of comprehensive income, is, in the opinion of the Directors,contained in the Profit and Loss Account of each Fund.

Investments on each individual Schedule of Investments less than 500 in value in the presentation currency of the respectiveFund are rounded to zero. The transferable securities listed on each Fund’s Schedule of Investments are listed in the order ofcountry of incorporation of the respective security and the number of shares and in respect of equities held have beenrounded to the nearest thousand (number of shares are rounded to zero where less than 500 shares are held).

b) Combined Financial StatementsThe combined financial statements of the Company are measured using U.S. Dollars, being the currency of the primaryenvironment in which it operates and the functional currency of all the Funds in the Company. The Company has alsoadopted the U.S. Dollar as the presentation currency.

c) Cross InvestmentsDuring the financial year and prior year, a number of the Funds invested in other Funds in the Company (the “CrossInvestments”). The fair value of these investments as of 31 March 2021 is disclosed within each relevant Fund’s Schedule ofInvestments. For the purposes of producing the combined financial statements these Cross Investments must be eliminatedin order to prevent double counting.

The total amount of the adjustment made to the combined financial statements in respect of the Cross Investments isdisclosed in the Cross Investment section of Note 5.

d) Estimates and judgementsThe preparation of financial statements in conformity with Irish GAAP requires the use of certain critical accountingestimates. It also requires the Board of Directors, based on the advice of the Manager, to exercise its judgement in theprocess of applying the Company’s accounting policies. Management also makes estimates and assumptions concerning thefuture. The resulting accounting estimates will, by definition, seldom equal the related actual results. The areas involving ahigher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financialstatements are determining fair values of certain financial instruments, as discussed in section a) of Note 2 to the financialstatements and determining the functional currency of the Company and individual Funds as discussed in section d) ofNote 2 to the financial statements.

2. Accounting Policies

The significant accounting policies adopted by the Company for the financial year ended 31 March 2021 are as follows:

a) Financial Instruments at Fair Value through Profit or LossThis category has two sub-categories: financial assets and liabilities held for trading, and those designated by Directors atfair value through profit and loss at inception. All instruments on each Fund’s Schedule of Investments are classified at fairvalue through profit or loss. Subsequent to initial recognition, all instruments classified at fair value through profit or lossare measured at fair value with changes in their fair value recognised in the Profit and Loss Account.


Notes to the Financial Statements

31 March 2021

96 Notes to the Financial Statements

2. Accounting Policies - continued

i) InvestmentsSecurities listed on a recognised stock exchange or traded on any other regulated market are valued at the current lasttraded market price on the stock exchange or market which constitutes the principal market for such securities. Whenapplicable, the Manager or a delegate of the Manager i.e. Russell Investments Securities Valuation Committee EMEAwill assess unlisted and suspended securities for their net realisable value or the last traded price from broker-dealersfor non-exchange-trade purposes. In some cases, fair value techniques may be adopted. Such techniques involve sig-nificant estimations and assumptions which means that the value from the technique may differ from the value when itis eventually realised.

The same committee will review any sales price securities and may consider adjustments should the stale price bedeemed not the fair value of the security based on market information provided.

Investments in open-ended investment funds are valued at fair value at the latest available unaudited net asset value forthe shares or units obtained from the relevant administrator. The changes in the daily net asset value of these shares arerecognised as net gain (loss) on investment activities in the Profit and Loss Account.

ii) Forward and Spot Foreign Currency Exchange ContractsThe fair value of open forward foreign currency exchange contracts and open foreign currency exchange spot con-tracts, is calculated as the difference between the contracted rate and the current forward rate that would close out thecontract on the balance sheet date. For each relevant Fund, gains or losses on open foreign currency exchange spotcontracts are included in cash at bank in the Balance Sheet and gains or losses on open forward foreign currency ex-change contracts are included in financial assets or liabilities at fair value through profit or loss, as appropriate, on theBalance Sheet and Schedule of Investments.

iii) Futures ContractsInitial margin deposits are made upon entering into futures contracts and are generally made in cash or cash equiva-lents. The fair value of futures contracts is based upon their current quoted daily settlement prices on the relevant ex-change as of the balance sheet date. Changes in the value of open futures contracts are recognised as unrealised gainsor losses on futures contracts until the contracts are terminated, at which time realised gains and losses are recognised.For each relevant Fund, gains or losses on open futures contracts are shown in the Schedule of Investments of eachrelevant Fund and as appropriate, on the Balance Sheet as financial assets or liabilities at fair value through profit orloss.

iv) OptionsEach Fund may purchase and sell (write) call and put options on securities, securities indices and foreign currenciestraded on a national securities exchange or in an over-the-counter market.

When a Fund writes a call or a put option, a premium is received by the Fund. The premium is subsequently marked tomarket to reflect the fair value of the option written, which is reported within financial assets or liabilities at fair valuethrough profit or loss on the Balance Sheet for each relevant Fund. The difference between the premium amount andthe fair value reported on the Balance Sheet gives rise to an unrealised gain (loss).

When a Fund purchases a call or a put option, a premium is paid by the Fund. The premium on purchased put optionsexercised is subtracted from the proceeds of the sale of the underlying security or foreign currency in determining therealised gain or loss. The premium on purchased call options exercised is included in determining initial fair value ofthe securities or foreign currency purchased. Premiums paid on the purchase of options which expire unexercised aretreated as realised losses. The option is subsequently marked to market to reflect the fair value of the option purchased,which is reported within financial assets at fair value through profit or loss on the Balance Sheet for each relevantFund.

The over-the-counter options are valued at close of business on the dealing day at the settlement price as provided bythe counterparty/broker and the values are independently valued, at a minimum, weekly. The fair value of exchangetraded options are based upon their quoted daily settlement prices on the relevant exchange. In the event of it beingimpossible or incorrect to carry out a valuation of a specific investment in accordance with the valuation rules, or ifsuch valuation is not representative of a security’s fair market value, the Directors are entitled to use other generallyrecognised valuation methods in order to reach a proper valuation of that specific instrument, provided that suchmethod of valuation has been approved by the Depositary.


Notes to the Financial Statements - continued

31 March 2021

Notes to the Financial Statements 97


If an option which a Fund has written either expires on its stipulated expiration date or a Fund enters into a closingpurchase transaction, a Fund realises a gain (or loss, if the cost of a closing purchase transaction exceeds the premiumreceived when the option was sold) without regard to any unrealised gain or loss on the underlying security, and theliability related to such option is extinguished. If a call option which a Fund has written is exercised, a Fund realises acapital gain or loss from the sale of the underlying security, and the proceeds from such sales are increased by the pre-mium originally received. When a put option which a Fund has written is exercised, the amount of the premium origi-nally received will reduce the cost of the security which a Fund purchases upon exercise of the option.

b) Net Gain (Loss) on Investment ActivitiesIn respect of each instrument type classified as financial instruments at fair value through profit or loss, the movement inunrealised gains (losses) since the prior financial year end and realised gains (losses) are recognised within net gain (loss)on investment activities in the Profit and Loss Account for each relevant Fund.

See Note 4 for details of realised gains (losses) and movement in unrealised gains (losses) since the prior financial year end.Gains and losses on options, swaps and swaptions are included in the investments figure for each relevant Fund. Gains andlosses on foreign currency exchange contracts are included in foreign currency exchange gains (losses).

c) Accounting for Investment Transactions, Income and ExpensesPurchases and sales of investments are recognised on trade date, the date on which the Fund commits to purchase or sell theasset, provided the trade instructions have been received by the Depositary prior to the calculation of the Fund’s net assetvalue, being 2.30pm (Irish time) on each dealing day (the “Valuation Point”). Any trade instructions received by theDepositary after the Valuation Point will be recognised on the next dealing day. Investments are initially recognised at fairvalue and transaction costs for all financial assets and financial liabilities carried at fair value through profit or loss areexpensed as incurred.

Investments are recognised when the rights to receive cash flows from the investments are transferred to the Fund or theFund has exposure to substantially all risks and rewards of ownership. Investments are derecognised when the rights toreceive cash flows from the investments have expired or the Fund has transferred substantially all risks and rewards ofownership.

Realised gains and losses on investment transactions are calculated using the average cost method. Interest income isrecognised in the Profit and Loss Account for all relevant instruments using the effective interest method. Gains and lossesrealised on the sale of all financial assets and financial liabilities carried at fair value through profit or loss are recognisedin the Profit and Loss Account.

Dividends are credited to the Profit and Loss Account on the dates on which the relevant securities are listed as “exdividend”. Income is accounted for gross of any non-reclaimable/irrecoverable withholding taxes and net of any tax credits.The withholding tax is shown separately in the Profit and Loss Account.

The Funds may be subject to taxes imposed by certain countries on capital gains on the sale of investments. Taxes may beimposed by countries including Brazil, India, Indonesia, Bangladesh and Colombia. Capital gains taxes are accounted foron an accruals basis for these countries and are shown as a separate item under taxation in the Profit and Loss Account.

Each Fund pays all of its expenses and such proportion of the Company’s expenses as is allocated to that Fund, other thanthose expressly assumed by the Manager. The costs and gains (losses) of any hedging transactions will be attributable to therelevant Share Class. To the extent that expenses are attributable to a specific Share Class of a Fund, that Share Class bearssuch expenses. All expenses, as disclosed in the Profit and Loss Account, with the exception of Professional and Other fees,are accrued on a daily basis. Professional fees and Other fees recognised in the Profit and Loss Account are generallycharged and paid when billed to the Funds.



31 March 2021



d) Foreign Currency TransactionsIn accordance with Section 30 of FRS 102, items included in the individual Fund’s financial statements are measured usingthe currency of the primary economic environment in which it operates (functional currency). The Directors’ selection ofthe functional currency is attributable to the functional currency being: (a) the major component of the Fund’s benchmarks;or (b) the common currency of monies received on subscriptions and paid out on redemptions of shares for most clients inthe Funds’ varied client base or (c) the common currency of the majority of the investments held on the Fund. Thefunctional currency assessment is done on a Fund by Fund basis. The functional currency of the Company is theU.S. Dollar.

Each individual Fund has also adopted its functional currency as the presentation currency. Foreign currency transactionsare translated to the functional currency of the relevant Fund at the rate of exchange ruling on the date of the transaction.

For each relevant Fund:

i) Currency gains and losses can arise where there is a difference between the amounts of foreign dividends and interestrecorded on the Fund’s books and the Fund’s functional currency equivalent to the amounts actually received or paid.These gains or losses are included where appropriate in the dividend and interest income figure in the relevant Fund’sProfit and Loss Account;

ii) Currency gains and losses realised on securities purchase and sales transactions are included in net gain (loss) on in-vestment activities in the relevant Fund’s Profit and Loss Account;

iii) Unrealised currency gains and losses on securities held at financial year end are included in net gain (loss) on invest-ment activities in the relevant Fund’s Profit and Loss Account;

iv) Monetary assets and liabilities denominated in currencies other than the Fund’s functional currency are translated atthe rate of exchange ruling at the close of business on the relevant reporting date and exchange differences are in-cluded in net gain (loss) on investment activities in the relevant Fund’s Profit and Loss Account; and

v) Share transactions which are settled in a currency other than the functional currency of a Fund are settled using theapplicable foreign currency exchange rate as of the trade date. As a result, there is no foreign currency impact on theFunds for such transactions.

e) Redeemable Participating SharesRedeemable participating shares are redeemable at the shareholder’s option and are classified as financial liabilities. Theredeemable shares can be repurchased by the Company at any time for cash equal to a proportionate share of the Company’snet asset value. The redeemable share is carried at the redemption amount that is payable at the balance sheet date if ashareholder exercised his or her right to have the Company repurchase his or her share. In accordance with the Prospectus,for the relevant Funds, the Company is contractually obliged to redeem shares at dealing prices and the liability toredeemable participating shareholders has been adjusted to reflect this. Monetary value share transactions during thefinancial year are recognised in the Statement of Changes in Net Assets Attributable to Redeemable ParticipatingShareholders of the relevant Fund.

f) DistributionsDistributions on Share Classes with an ex date during the financial year are included as a finance cost in the Profit and LossAccount. The reinvestment of the deemed distribution on the Accumulation Share Classes are included as a sharetransaction in the Statement of Changes in Net Assets Attributable to Redeemable Participating Shareholders. Roll-UpShare Classes do not declare or distribute net income and the net asset value therefore reflects net income.

g) Swing Pricing/Dilution AdjustmentsSwing pricing (also known as dilution adjustment) is applied to a Fund once net subscriptions or redemptions for a Fundrelating to a Fund’s net asset value for a given dealing day is determined by the Administrator to exceed certainpredetermined percentage thresholds. In calculating the swing pricing, the net asset value of a Fund is swung by a “swingfactor” on the following basis:

Net subscriptions - the price used to process all transactions is adjusted upwards by the swing factor to a notional offerprice.

Net redemptions - the price used to process all transactions is adjusted downwards by the swing factor to a notional bidprice.



31 March 2021



If the net asset value of a Fund is swung on a specific dealing day the official price for a Fund will be the derived swingprice. In addition, all dealing activity for this dealing day will be dealt at the swing price. Swing pricing applied to a Fundduring the financial year is recognised within the share transactions figure on the Statement of Changes in Net AssetsAttributable to Redeemable Shareholders. The swing factor rates, as discussed in Note 10, are reviewed by the Adviser on aquarterly basis.

h) Collateral

i) Counterparty Owned CollateralCounterparty cash received by a Fund as collateral for financial derivative instruments (“FDIs”) transactions is re-corded as an asset on the Balance Sheet within ‘Cash held with brokers and counterparties for open financial deriva-tive instruments’ and a related liability to repay the collateral is disclosed within creditors less than one year within‘Cash due to brokers and counterparties for open financial derivative instruments’.

Non cash collateral received by the Funds does not form part of the Net Asset Value of the Fund and is recorded at thebase of each relevant Schedule of Investments for reference purposes only.

ii) Collateral Pledged by FundsA Fund’s assets may be deposited by or on behalf of the Fund for collateral purposes with brokers, for options andfutures contracts, and counterparties, in respect of over-the-counter financial derivative instruments (“OTC FDIs”) andTBA positions, held on the Funds. Such assets remain in the ownership of the relevant Fund and are recorded as anasset on the Balance Sheet. Cash pledged by the Funds as collateral is recognised on the Balance Sheet within ‘Cashheld with brokers and counterparties for open financial derivative instruments’. Investments pledged by the Funds ascollateral are recognised at fair value in the relevant Fund’s Schedule of Investments and such investments are refer-enced accordingly at the base of the Schedule of Investments.

See Note 3 for details of cash collateral received and pledged by the Funds to and from counterparties for FDIs.

iii) Impairment of CollateralThe Adviser has considered the recoverability of collateral due from relevant brokers and counterparties at financialyear end/prior financial year end and has considered the need to write-down the value of such collateral. The Adviseris satisfied that the full value of the collateral is recoverable from all brokers and counterparties at the respective fi-nancial year end dates.

i) Transaction CostsTransaction costs are defined as the incremental costs that are directly attributable to the acquisition, issue or disposal of afinancial asset or financial liability. An incremental cost is one that would not have been incurred if the entity had notacquired, issued or disposed of the financial instrument. When a financial asset or financial liability is recognised initially,an entity shall measure it at its fair value through profit or loss plus, transaction costs that are directly attributable to theacquisition or issue of the financial asset or financial liability.

Transaction costs relating to the brokers commission on the purchase and sale of a financial asset or financial liability, areincluded in its purchase and sale price. Transaction costs of the Depositary or sub-custodian as the case may be areembedded in the relevant fees in the Profit and Loss Account.

3. Cash at Bank and Cash Held with/due to Brokers and Counterparties

a) Cash at BankCash at bank balances are comprised of cash balances held within State Street Bank and Trust Company’s (“State Street”)custodian network*, unrestricted margin accounts held by brokers for exchange traded derivative instruments held by theFunds and net unrealised gains and losses on open spot foreign currency exchange contracts. The names of brokers used byeach individual Fund can be found at the base of each relevant Fund’s Schedule of Investments.

* Certain cash balances may be held by sub-custodians, as approved and appointed by State Street, in markets where State Street does not op-erate as a depositary. Such cash and all cash held within the State Street custodian network is included within the State Street Bank and TrustCompany figures in the tables contained within this note.



31 March 2021


3. Cash at Bank and Cash Held with/due to Brokers and Counterparties - continued

The tables in this section of the notes to the financial statements details all such cash held on the Funds, including relevantbroker and location of broker, as of 31 March 2021 and 31 March 2020. For Funds where all cash is held in State Street’scustodian network, the Funds are not listed below.

Cash held in U.S. Dollar bank accounts with State Street automatically transfer into the demand deposit account at StateStreet Bank and Trust New York in the name of State Street Bank and Trust Company - London.

As at 31 March 2021

RussellInvestmentsMulti-Asset

35 Fund


50 Fund


70 Fund

RussellInvestments

GlobalSelectiveEquity

OpportunitiesFund Total

Broker Location USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000

State Street Bank and Trust Company ..... Multiple 7,431 13,097 16,213 47,412 84,153Morgan Stanley & Co. LLC..................... New York, U.S.A. 67 107 85 - 259

UBS AG ...................................................London, UnitedKingdom - - - 460 460

7,498 13,204 16,298 47,872 84,872

As at 31 March 2020


35 Fund


50 Fund


70 Fund TotalBroker Location USD ‘000 USD ‘000 USD ‘000 USD ‘000

State Street Bank and Trust Company ..... Multiple 1,254 1,372 2,510 5,136Morgan Stanley & Co. LLC..................... New York, U.S.A. 23 333 86 442

1,277 1,705 2,596 5,578

b) Cash held with brokers and counterparties for open financial derivative instrumentsCash may also be deposited by or on behalf of the Funds for initial margin purposes with brokers for options and futurescontracts and as collateral with counterparties in respect of OTC FDIs held on the Funds. As this amount is the minimumdeemed by the brokers and counterparties for collateral requirements the cash is as such restricted and is reported separatelyto the unrestricted cash on the Funds’ Balance Sheets. Cash collateral pledged by counterparties and held by the Fundsremains in the ownership of the relevant counterparty and a related liability to repay the cash is recognised as “Cash due tobrokers and counterparties for financial derivative instruments” on the relevant Fund’s Balance Sheet. See section c) of thisnote for further details of same.

All such cash held on the Funds, including relevant broker and location of broker, as of 31 March 2021 and 31 March2020 are detailed in the tables below.

As at 31 March 2021


35 Fund


50 Fund


70 Fund


90 Fund

RussellInvestments



Broker Location USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000

Morgan Stanley & Co LLC...................... New York, U.S.A. 91 187 936 2,598 - 3,812

UBS AG ...................................................London, UnitedKingdom - - - - 27,437 27,437

91 187 936 2,598 27,437 31,249



31 March 2021


3. Cash at Bank and Cash Held with/due to Brokers and Counterparties - continued

As at 31 March 2020


35 Fund


50 Fund


70 Fund


90 Fund

RussellInvestmentsMulti-AssetDefensive

Fund

RussellInvestments

Global SelectiveEquity


Broker Location USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000

Morgan Stanley ........................................ New York, U.S.A. 159 1,293 2,240 4,105 68 - 7,865UBS Securities LLC ................................ New York, U.S.A. - - - - - 24,502 24,502

159 1,293 2,240 4,105 68 24,502 32,367

c) Cash due to brokers and counterparties for open financial derivative instrumentsCash amounts may be pledged as collateral by counterparties to the Funds for OTC FDIs and this cash is held by therelevant Funds and is payable back to the relevant counterparty. Margin cash amounts may also be owed by the Funds tobrokers for exchange traded FDIs transactions at each balance sheet date. These amounts are recognized within “Cash dueto brokers and counterparties for open financial derivative instruments” on the respective Balance Sheets. The cash amountspledged as collateral by counterparties form part of the net assets of the respective Funds and a related asset is includedwithin “Cash held with brokers and counterparties for open financial derivative instruments” on the Balance Sheet andsection b) of this note.

As at 31 March 2021


50 Fund


70 Fund


90 Fund


Fund TotalCounterparty Location USD ‘000 USD ‘000 USD ‘000 USD ‘000 USD ‘000

Goldman Sachs & Co. LLC..................... New York, U.S.A. (1) (1) (1) - (3)Morgan Stanley & Co. LLC..................... New York, U.S.A. - - - (87) (87)

(1) (1) (1) (87) (90)

There were no cash amounts pledged as collateral by counterparties for OTC FDI’s or cash amounts owed to brokers forexchange traded FDI transactions at 31 March 2020.

4. Net Gain (Loss) on Investment Activities

All gains and losses on investments other than futures contracts and forward foreign currency exchange contracts areincluded within the investments figure in the tables below.

a) Financial year ended 31 March 2021

i) Net realised gain (loss)


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Investments ........................................ 4,156 10,756 6,042 3,948 3,382 68,855Futures contracts ................................ 570 1,028 5,413 14,831 552 29,605Foreign currency exchange ................ (76) 335 335 (357) (1,142) 535

4,650 12,119 11,790 18,422 2,792 98,995



31 March 2021


4. Net Gain (Loss) on Investment Activities - continued

ii) Net change in unrealised gain (loss) on:


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Investments ........................................ 5,949 20,554 32,343 29,841 10,405 314,929Futures contracts ................................ (85) 162 189 284 372 878Foreign currency exchange ................ 55 104 40 100 (649) (3,529)

5,919 20,820 32,572 30,225 10,128 312,278

iii) Net gain (loss) on investment activities


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Net realised gain (loss) oninvestments......................................... 4,650 12,119 11,790 18,422 2,792 98,995Net change in unrealised gain (loss)on investments.................................... 5,919 20,820 32,572 30,225 10,128 312,278

Net gain (loss) on investmentactivities ............................................. 10,569 32,939 44,362 48,647 12,920 411,273

b) Financial year ended 31 March 2020

i) Net realised gain (loss)


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Investments ........................................ 1,444 2,876 2,841 2,889 1,704 19,947Futures contracts ................................ (144) 182 655 (2,880) 604 4,303Foreign currency exchange ................ 75 172 391 494 700 1,366

1,375 3,230 3,887 503 3,008 25,616



31 March 2021


4. Net Gain (Loss) on Investment Activities - continued

ii) Net change in unrealised gain (loss) on:


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Investments ........................................ (3,371) (8,971) (11,785) (11,669) (6,150) (131,077)Futures contracts ................................ (75) (419) (848) (950) (47) (4,159)Foreign currency exchange ................ (136) (298) (302) (284) 710 6,044

(3,582) (9,688) (12,935) (12,903) (5,487) (129,192)

iii) Net gain (loss) on investment activities


35 FundUSD ‘000


50 FundUSD ‘000


70 FundUSD ‘000


90 FundUSD ‘000


FundUSD ‘000

RussellInvestments


OpportunitiesFund

USD ‘000

Net realised gain (loss) oninvestments......................................... 1,375 3,230 3,887 503 3,008 25,616Net change in unrealised gain (loss)on investments.................................... (3,582) (9,688) (12,935) (12,903) (5,487) (129,192)

Net gain (loss) on investmentactivities ............................................. (2,207) (6,458) (9,048) (12,400) (2,479) (103,576)

5. Transactions with Related Parties

a) Related Parties

Parties are considered to be related if one party has the ability to control the other party or is able to exercise significantinfluence over the other party, in making financial or operational decisions. The following entities were related parties to theCompany during the financial year ended 31 March 2021 and the financial year ended 31 March 2020.

Relation to the Company Name of entity

Detailsdisclosed insection ofthis note

Manager....................................................................... Russell Investments Ireland Limited............................................................................. b), i)Adviser ........................................................................ Russell Investments Limited ......................................................................................... b), ii)Investment Managers................................................... Russell Investments Limited ......................................................................................... b), iii)Affiliated Broker ......................................................... Russell Investments Implementation Services.............................................................. b), iv)Directors of the Company ........................................... As listed in the Administration of the Company page .................................................. b), v)Related Party Investees................................................ Affiliated Russell Investments entities and Russell Investments managed Irish

domiciled funds............................................................................................................. b), vi)

b) Related Party Transactions

i) Manager and Management FeeThe Company has appointed the Manager to act as manager of the Company. The Manager is a wholly owned subsid-iary of Russell Investments Ireland Holdco Limited, which is in turn indirectly owned by Russell Investments Group,Ltd. Russell Investments Group, Ltd. is majority owned by funds managed by TA Associates with minority stakes be-ing held by funds managed by Reverence Capital Partners and Russell Investments’ management. The Manager pro-



31 March 2021


5. Transactions with Related Parties - continued

vides investment management and administrative services to the Company. The Manager has appointed the Adviser to,amongst other things, advise it on the investment programmes and strategies of the Funds. The Adviser also acts asdistributor for the Funds. The Manager has appointed the Administrator to act as administrator of the Company.

a) Management Fee

For services rendered under the management agreement, the Company pays the Manager a fee, accrued daily andpaid quarterly in arrears, at the following annual rates based on the respective average daily net asset values ofeach class of shares.

Russell Investments Multi-Asset 35 Fund

Class A 1.80%Class B 1.60%Class C Income 1.50%Class E 1.00%Class W 2.60%


Class A 1.99%Class B 1.70%Class E 1.00%Class W 2.70%





Russell InvestmentsMulti-Asset Defensive Fund

Class A 1.25%Class E 0.75%

Russell Investments Global SelectiveEquity Opportunities Fund

Class AAccumulation

0.43%

Class BAccumulation

0.90%

Class CAccumulation

0.00%

Class USD-HAccumulation

0.00%

Rates for classes of shares not yet funded as at 31 March 2021 are not listed.

Each relevant Fund will receive a rebate of the management fees after applying the weighted average of the man-agement fees paid to the Manager in respect of any underlying regulated investment funds managed by the sameManager. The maximum level of the weighted average of management fees are disclosed in the Prospectus. Dur-ing the financial year, the total management fee rebate amounted to USD 3,785,771 (financial year ended31 March 2020: USD 4,017,438) of which USD 942,335 was receivable at financial year end (as at 31 March2020: USD 1,021,238) and is recognised within the management fees in the Combined Profit and Loss Account.Management fee rebate receivable as at financial year end is recognised within Prepayments and other debtors inthe Combined Balance Sheet.

ii) AdviserThe Manager discharges all fees payable to the Adviser out of its management fee. The Adviser does not receive a feein its capacity as UK Facilities Agent to the Company.

iii) Investment Managers and Money ManagersRussell Investments Limited, Russell Investment Management Limited and Russell Investment Management, LLC, areaffiliated group companies to the Manager. Russell Investments group companies can be appointed as InvestmentManagers to the Funds.

The appointment of Russell Investments group companies as Investment Manager’s to the Funds is subject to the sameprocedures as appointing an external Money Manager or Investment Adviser and an intercompany agreement and in-vestment guidelines are put in place.



31 March 2021


5. Transactions with Related Parties - continued

The Investment Manager may appoint one or more Investment Advisers who have expertise in a particular sectorand/or asset class. The optimal stock views from the Investments Advisers are aggregated by the Investment Managerand the trades are effected by the Investment Manager (or its affiliate) on a periodic basis with a view to improvingtrading efficiency, managing portfolio risk better and reducing potential transactions costs in respect of the respectiveFund’s investments.

The Manager shall discharge out of its own fee all fees payable to any Investment Manager or Money Manager.

The Adviser, Russell Investments Limited, has been appointed Investment Manager to the Funds. Please refer to theAdministration of the Company section for the list of Money Managers.

iv) Affiliated BrokerThe Funds effect certain transactions through RIIS (Russell Investments Implementation Services, LLC and RussellInvestments Implementation Services Limited, collectively called RIIS) and its global network of unaffiliated corre-spondent brokers. Trades placed through RIIS and its correspondents are made (i) to manage trading associated withchanges in Money Managers, rebalancing across existing Money Managers, cash flows and other portfolio transitionsor (ii) to execute portfolio securities transactions for each Fund’s assets.

RIIS may also be engaged by the Company to carry out foreign currency implementation trading for which a fee of0.02 per cent per trade is included in individual transactions.

For the financial year ended 31 March 2021, the total commission earned by RIIS, encompassing the range of servicesprovided, amounted to USD 124,825 (financial year ended 31 March 2020: USD 160,688).

v) Directors and Directors’ FeesThe Articles of Association provide that the Directors are entitled to a fee by way of remuneration at a rate to be deter-mined from time to time by the Directors. Directors’ fees are paid to non-executive Directors not employed by RussellInvestments group companies. Directors’ fees shall not exceed the limits contained in the Prospectus and the Directorsare entitled to certain additional expenses as listed in the Prospectus. Directors’ fees charged during the financial yearended 31 March 2021 were USD 16,608 (financial year ended 31 March 2020: USD 13,112), these amounts are in-cluded in other fees in the Combined Profit and Loss Account.

All of the Directors of the Company are also directors of the underlying Russell Investments managed Funds dis-cussed in Note 16 to the financial statements.

All of the Directors of the Company are also directors of the Manager. The following Directors of the Company areemployed by Russell Investments group companies: Mr. Peter Gonella, Mr. Neil Jenkins, Mr. John McMurray, Mr.Joseph Linhares and Mr. William Pearce.

The Adviser operates a defined contribution pension plan for its employees which invests in Russell Investments man-aged funds including the Funds. The pension fund is subject to a management fee rebate. The Directors who are em-ployed by Russell Investments group companies may be indirectly exposed to the Company through the pensionscheme.

vi) Related Party Investees

a) Investment in other Russell Investment FundsSee Note 16 to the financial statements for details of Russell Investments managed funds invested in by the Fundsduring the financial period under review and prior financial period.

b) Cross InvestmentsDuring the financial year and the prior financial year, a number of Funds invested in other Funds within the Company.The accumulated value of the Cross Investment as of 31 March 2021 was USD 92,897,658 (as at 31 March2020: USD 67,524,349).



31 March 2021


6. Significant Agreements

(i) Depositary

State Street Custodial Services (Ireland) Limited is the Company’s depositary (the �Depositary�). The Depositary hasappointed its parent, State Street Bank and Trust Company, as its global sub-custodian who in turn has appointed a networkof local sub-custodial agents. The sub-custodian fees are paid at annual rates based on the total assets held in eachindividual country in which the Funds invest plus applicable transaction charges. In line with the UCITS V Regulations, theDepositary also provides depositary services.

Depositary fees accrue daily and are paid monthly in arrears.

(ii) Administrator and Transfer Agency

State Street Fund Services (Ireland) Limited is the Company’s administrator (the �Administrator�). The Administrator isresponsible for the daily determination of net asset value, maintaining the books and records of the Funds in respect of theCompany and other administrative services. The Manager has also appointed the Administrator as the Company’s transferagent.

Such fees accrue daily and are paid monthly in arrears. The Manager shall discharge reasonable out of pocket expensespayable to the Administrator out of the Funds’ assets.

The Administrator is also entitled to unitholder services fees as disclosed in the Administration Agreement and reportingservices fees of USD 7,000 per Fund per annum.

Transfer agency fees are charged based on the number of Funds in the umbrella structure, the number of shareholders,number of statements issued, number of share classes and volume of shareholder transactions in a period and are subject toadequate thresholds. Transfer agency fees charged are paid on a daily basis and are recognised within administration andtransfer agency fees in the Profit and Loss Account for each Fund.

The aggregate depositary fees and administration fees will not exceed 0.30% per annum of the Net Asset Value of RussellInvestments Global Selective Equity Opportunities Fund. For all other Funds the aggregate Depositary fees andAdministration fees will not exceed 0.10% per annum of the Net Asset Value.

(iii) Transaction Costs

Transaction costs relating to the broker commission on the purchase and sale of equities and equities and exchange tradedFDIs and OTC FDIs, are included in the purchase and sale price of the investment.

Transaction costs on the purchase and sale of OTC FDIs are embedded in the cost of the investment and cannot be sepa-rately verified or disclosed. Transaction costs on purchases and sales of equities and exchange traded FDIs are readily iden-tifiable. Investments are initially recognised at fair value and transaction costs for all financial assets and financial liabilitiescarried at fair value through profit or loss are expensed as incurred.

Total transaction costs, incorporating broker commissions and transaction costs of the Depositary and sub-custodians are asfollows:

FundFunctionalCurrency

Year ended31 March 2021

‘000


‘000

Russell Investments Multi-Asset 35 Fund .......................................... USD 3 5Russell Investments Multi-Asset 50 Fund .......................................... USD 9 14Russell Investments Multi-Asset 70 Fund .......................................... USD 12 18Russell Investments Multi-Asset 90 Fund .......................................... USD 13 20Russell Investments Multi-Asset Defensive Fund .............................. USD 3 6Russell Investments Global Selective Equity Opportunities Fund ..... USD 827 662



31 March 2021


6. Significant Agreements - continued

(iv) Auditors’ Remuneration

The remuneration for all work carried out by the statutory audit firm in respect of the financial year under review and priorfinancial year is as follows:

2021 2020USD ‘000 USD ‘000

Statutory audit of accounts* ........ 80 77Tax advisory services**............... 35 24

Total ............................................. 115 101

* The fees for statutory audit of the accounts disclosed in the table above are exclusive of VAT. The audit fees recognised in the Profit and LossAccount are inclusive of VAT.

** Exclusive of VAT.

There were no fees for other assurance services or other non-audit services during the financial year ended 31 March2021 (financial year ended 31 March 2020: Nil).

7. Soft Commissions, Directed Brokerage Services and Commission Recapture

As disclosed in the Prospectus for the Company, each of the Money Managers and/or the Investment Managers may enterinto transactions on a soft commission basis, i.e. utilise the services and expertise of brokers in return for the execution oftrades through such brokers.

Where appropriate, any such arrangements will comply with the requirements of Article 11 of the MiFID II DelegatedDirective and any such transaction must be entered into on the principle of best execution and be in the best interests ofShareholders and must provide benefits that will assist in the provision of investment services to the Company.

During the financial years ended 31 March 2021 and 31 March 2020, the Investment Managers and/or the Money Managersmay have effected transactions through brokers with whom it had arrangements whereby each broker agreed to use aproportion of the commission earned on such transactions to discharge the broker’s own costs or the costs of third partiesproviding certain services to the Investment Managers and/or relevant Money Managers, as the case may be. The serviceswhich were paid for under such arrangements were those permitted under regulatory rules applicable to the relevantInvestment Manager and/or Money Manager, namely those that relate to the execution of transactions on behalf ofcustomers or the provision of investment research to the relevant Investment Manager and/or Money Manager.

The Money Managers may participate in the Russell Investments’ soft commission and commission recapture programme(the “Programme”) by executing a portion of their securities transactions through certain brokers (the “CorrespondentBroker Networks”). Any such participation in the Programme is not mandatory and the appropriate participation percentagetarget is determined on a Money Manager by Money Manager basis, based upon asset class, investment mandate, tradinghabits, and tolerance for participation and is always subject to a Money Manager’s ability to obtain best execution. TheProgramme, including the Correspondent Broker Network, is administered by Recapture Services, a division of BNYConvergEx Execution Solutions LLC (“BNY”) and State Street Global Markets (“SSGM”). A portion of the commissionearned by the Correspondent Broker Network as a result of this trading activity is set aside in the Programme as “credits”.These credits are then earmarked for purchase of third party research (“Soft Commission Credits”) or commission recapture(“Commission Credits”). All soft commission use through the Programme is overseen by Russell Investments’ softcommission committee (the “Committee”) which is made up of senior level investment personnel. The Committee, with theguidance of Russell Investments’ investment strategy committee, establishes an annual soft commission research budget forthe use of the Soft Commission Credits. Soft Commission Credits are used to purchase third party research that will aidRussell Investments in its investment decision-making process. Research purchased through the Programme is obtainedfrom unaffiliated third parties at market rates. Once the soft commission research budget has been met the Committee willinstruct BNY and SSGM to recapture the Commission Credits which are then rebated directly back to the relevant Fundfrom which the commission was generated. Russell Investments does not receive any revenue (directly or indirectly fromBNY or any broker) from the commission recapture component of the Programme.



31 March 2021


7. Soft Commissions, Directed Brokerage Services and Commission Recapture - continued

The Investment Committee of the Manager oversees any directed brokerage services or similar arrangements and associatedcosts to the Fund on an annual basis. There were no fees for directed brokerage services during the financial period ended31 March 2021 (financial period ended 31 March 2020: Nil).

8. Distributions

With the exception of Roll-Up Class Shares, the distribution policy of each Fund is to distribute out of net income. Roll-UpClass Shares do not declare or distribute net income and their net asset value reflects net income. Distributions declared byIncome Class Shares are paid in cash unless the shareholder chooses to reinvest part or all of the amount in the capital of therelevant Share Class. Accumulation Class Shares declare a distribution which is then reinvested in the capital of the relevantshare class. All share classes in issue during the financial year and prior financial year were accumulation share classes.

Net income includes all interest, dividends and other amounts deemed by the Administrator to be in the nature of incomeless the estimated expenses of that Fund applicable to that dividend period.

The distributions of the Funds are calculated on a calendar quarterly basis (i.e. quarterly periods ended 31 March, 30 June,30 September and 31 December). Due to insufficient available net income, none of the Funds, with the exception of RussellInvestments Global Selective Equity Opportunities Fund which declared a distribution during the period, declared adistribution during the year or prior year.

9. Taxation

Under current law and practice the Company qualifies as an investment undertaking as defined in Section 739B of theTaxes Consolidation Act, 1997, as amended (the “TCA”). On that basis, it is not chargeable to Irish tax on its income orgains.

However, Irish tax may arise on the occurrence of a “chargeable event”. A chargeable event includes any distributionpayments to shareholders or any encashment, redemption, transfer or cancellation of shares and any deemed disposal ofshares for Irish tax purposes arising as a result of holding shares in the Company for a period of eight years or more.

No Irish tax will arise in respect of chargeable events in respect of a shareholder who is an Exempt Irish Investor (as definedin Section 739D of the TCA) or who is neither Irish resident nor ordinarily resident in Ireland for tax purposes at the time ofthe chargeable event, provided, in each case, that an appropriate valid declaration in accordance with Schedule 2B of theTCA is held by the Company and the Company is not in possession of any information which would reasonably suggest thatthe information contained therein is no longer materially correct or where the Company has been authorised by IrishRevenue to make gross payments in absence of appropriate declarations.

Distributions, interest and capital gains (if any) received on investments made by the Company may be subject towithholding taxes imposed by the country of origin and such taxes may not be recoverable by the Company or itsshareholders.

10. Number of Shares in Issue and Net Assets Attributable to Redeemable Participating Shareholders

a) Authorised Share CapitalThe authorised share capital of the Company shall not be less than EUR 2.00 represented by two shares of no par value andthe maximum issued share capital shall not be more than 500 billion participating shares of no par value. The Company hasissued two subscriber shares.

Holders of subscriber shares are not entitled to dividends or any surplus of assets over liabilities upon the winding up of theCompany. They are thus described in the financial statements by way of this note only. The subscriber shares are held byRussell Investments.



31 March 2021


10. Number of Shares in Issue and Net Assets Attributable to Redeemable Participating Shareholders - continued

b) Redeemable Participating SharesEach of the shares entitles the holder to participate equally on a pro rata basis in the profits and dividends of the relevantFund attributable to such shares and to attend and vote at meetings of the Company and of the Fund represented by thoseshares. No class of shares confers on the holder thereof any preferential or pre-emptive rights or any rights to participate inthe profits and dividends of any other class of shares or any voting rights in relation to matters relating solely to any otherclass of shares.

Each share represents an individual beneficial interest in the Company. The shares are not debt obligations or guaranteed bythe Company or the Manager. The return on an investment in the Company will depend solely upon the investmentperformance of the assets in the Company and the increase or decrease (as the case may be) in the net asset value of theshares. The amount payable to a shareholder in respect of each share upon liquidation of the Company will equal the netasset value per share. However, in a relatively illiquid market, a Fund may not be able to dispose of its investments quicklyand as such a Fund may experience adverse price movements upon liquidation of its investments. Settlement of transactionsmay be subject to delay and administrative uncertainties and the price repaid to the shareholders in such circumstances willnot equal the final published net asset value per share.

Net assets attributable to shareholders represent a liability on the Balance Sheet, carried at the redemption amount thatwould be payable at the balance sheet date if the shareholder exercised the right to redeem the shares in the Company.

Participating Share TransactionsNet asset value per share may not recalculate due to rounding of fractional shares.


Number of Shares in issue

Financial year ended 31 March 2020 Financial year ended 31 March 2021

Share ClassBeginning

of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class A ............. 35,552 - (4,068) 31,484 31,484 3 (8,715) 22,772Class B ............. 20,258 5,965 (16,107) 10,116 10,116 3,563 (3,203) 10,476Class CIncome.............. 10 - - 10 10 - - 10Class E ............. 4,002,463 2,144,283 (1,550,348) 4,596,398 4,596,398 1,787,489 (3,689,488) 2,694,399Class V ............. 6,514 320 (6,834) - - - - -Class W ............ 10 488 (10) 488 488 3,488 (319) 3,657

Value of Share Transactions


Share ClassSubscriptions

USD ‘000Redemptions

USD ‘000Subscriptions


USD ‘000

Class A ............. - (700) 1 (1,558)Class B ............. 1,010 (2,628) 631 (571)Class CIncome.............. - - - -Class E ............. 34,310 (24,318) 30,087 (61,438)Class V ............. 3 (56) - -Class W ............ 54 (1) 419 (38)





of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class A ............. 211,365 7,510 (44,106) 174,769 174,769 8,872 (35,537) 148,104Class B ............. 43,069 5,091 (12,583) 35,577 35,577 4,815 (6,174) 34,218



31 March 2021





of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class E ............. 6,090,256 2,198,203 (2,080,288) 6,208,171 6,208,171 1,947,719 (4,059,412) 4,096,478Class V ............. 32,357 1,591 (33,948) - - - - -Class W ............ 31,792 22,526 (686) 53,632 53,632 26,441 (5,650) 74,423







USD ‘000

Class A ............. 1,383 (8,288) 1,814 (7,236)Class B ............. 943 (2,273) 940 (1,188)Class E ............. 37,470 (35,007) 35,779 (72,765)Class V ............. 13 (288) - -Class W ............ 2,618 (80) 3,258 (740)





of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class A ............. 387,611 2,171 (29,034) 360,748 360,748 4,415 (22,423) 342,740Class B ............. 54,559 7,871 (14,300) 48,130 48,130 6,697 (9,412) 45,415Class E ............. 2,973,427 442,438 (828,881) 2,586,984 2,586,984 2,057,558 (1,506,569) 3,137,973Class V ............. 48,142 2,666 (50,808) - - - - -Class W ............ 20,681 33,098 (3,101) 50,678 50,678 18,716 (10,471) 58,923







USD ‘000

Class A ............. 434 (5,860) 945 (4,825)Class B ............. 1,554 (2,754) 1,423 (1,982)Class E ............. 7,617 (14,301) 39,192 (28,348)Class V ............. 23 (444) - -Class W ............ 4,047 (365) 2,454 (1,377)





of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class A ............. 16,809 229 (781) 16,257 16,257 434 (4,351) 12,340Class B ............. 34,284 7,610 (8,757) 33,137 33,137 5,689 (9,617) 29,209Class E ............. 7,280,257 1,980,702 (3,039,127) 6,221,832 6,221,832 3,254,492 (4,128,103) 5,348,221Class V ............. 71,227 11,313 (82,540) - - - - -Class W ............ 11,663 16,471 (1,813) 26,321 26,321 27,867 (2,583) 51,605



31 March 2021









USD ‘000

Class A ............. 45 (151) 93 (916)Class B ............. 1,516 (1,793) 1,248 (2,207)Class E ............. 34,317 (53,384) 62,341 (76,412)Class V ............. 99 (745) - -Class W ............ 2,102 (237) 3,863 (373)

Russell Investments Multi-Asset Defensive Fund




of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class A ............. 104,808 - - 104,808 104,808 - - 104,808Class E ............. 1,018,242 348,959 (275,176) 1,092,025 1,092,025 234,050 (554,721) 771,354







USD ‘000

Class A ............. - - - -Class E ............. 44,623 (35,070) 30,917 (73,344)

Russell Investments Global Selective Equity Opportunities Fund




of yearSharesIssued

SharesRedeemed

Endof year

Beginningof year

SharesIssued

SharesRedeemed

Endof year

Class AAccumulation... 494,277 190 - 494,467 494,467 206 (52,182) 442,491Class BAccumulation... 15,329 32,768 (9,883) 38,214 38,214 4,880 (5,418) 37,676Class CAccumulation... 25,425 - (952) 24,473 24,473 4,006 (6,881) 21,598Class USD-HAccumulation... 44,563 - (5,223) 39,340 39,340 4,749 (9,680) 34,409







USD ‘000

Class AAccumulation... 280 - 333 (100,000)Class BAccumulation... 41,276 (11,714) 6,444 (7,564)Class CAccumulation... - (1,183) 5,450 (10,000)Class USD-HAccumulation... - (6,492) 6,600 (13,230)



31 March 2021



c) Swing Pricing/Dilution AdjustmentsSwing pricing (also known as dilution adjustment) is applied to a Fund once net subscriptions or redemptions for a Fund fora given dealing day is determined by the Administrator to exceed certain predetermined percentage thresholds relating to aFund’s net asset value. In calculating the swing pricing, the net asset value of a Fund is swung by a “swing factor”. Swingprices will be calculated, and reviewed by the Securities Valuation Committee for the EMEA’s fixed income funds, on aweekly basis to best reflect and compensate the cost of trading.

The swing factors applied during the financial year ended 31 March 2021 ranged to 0.20% on subscriptions and from noswing factor to 0.15% on redemptions.

The swing factors applied during the financial year ended 31 March 2020 ranged to 0.25% on subscriptions and from noswing factor to 0.20% on redemptions.

d) Significant ShareholdersThe following table details the number of shareholders with significant holdings of at least 20 per cent of the relevantFund’s net asset value, the aggregate monetary value and percentage (of that Fund’s net asset value) of that holding as at31 March 2021.

Fund

Number ofSignificant

Shareholders

Value ofHolding

‘000

AggregateShareholding

as a % of the Fund

Russell Investments Multi-Asset 35 Fund ............................................... 1 USD 45,073 83.09Russell Investments Multi-Asset 50 Fund ............................................... 1 USD 73,882 56.51Russell Investments Multi-Asset 70 Fund ............................................... 1 USD 68,648 41.08Russell Investments Multi-Asset 90 Fund ............................................... 2 USD 120,361 86.21Russell Investments Multi-Asset Defensive Fund ................................... 1 USD 104,987 88.64Russell Investments Global Selective Equity Opportunities Fund .......... 1 USD 864,123 84.89

The following table details the number of shareholders with significant holdings of at least 20 per cent of the relevantFund’s net asset value, the aggregate monetary value and percentage (of that Fund’s net asset value) of that holding as at31 March 2020.

Fund

Number ofSignificant

Shareholders

Value ofHolding

‘000

AggregateShareholding

as a % of the Fund

Russell Investments Multi-Asset 35 Fund ............................................... 1 USD 69,291 90.74%Russell Investments Multi-Asset 50 Fund ............................................... 1 USD 96,932 69.88%Russell Investments Multi-Asset 70 Fund ............................................... 2 USD 80,550 69.00%Russell Investments Multi-Asset 90 Fund ............................................... 1 USD 92,759 88.97%Russell Investments Multi-Asset Defensive Fund ................................... 1 USD 135,167 91.57%Russell Investments Global Selective Equity Opportunities Fund .......... 1 USD 605,346 85.14%

11. Efficient Portfolio ManagementThe Company may enter into securities lending arrangements and repurchase agreements (together “Efficient PortfolioManagement Techniques”) and may invest in OTC FDIs, subject to the restrictions set forth in the Prospectus and to theextent consistent with the Fund’s investment objective and policies.

The use of techniques and instruments relating to transferable securities, money market instruments and/or other financialinstruments in which the Funds invest for efficient portfolio management purposes will generally be made for one or moreof the following reasons:

i) the reduction of risk;ii) the reduction of cost; oriii) the generation of additional capital or income for the relevant Fund with an appropriate level of risk, taking into ac-

count the risk profile of the Fund and the risk diversification rules set out in the UCITS Regulations issued by theCentral Bank.



31 March 2021


11. Efficient Portfolio Management - continued

All the revenues arising from Efficient Portfolio Management Techniques employed shall be returned to the relevant Fundfollowing the deduction of any direct and indirect operational costs and fees arising. Such direct and indirect operationalcosts and fees, (which are all fully transparent) which shall not include hidden revenue, shall include fees and expensespayable to repurchase/reverse repurchase agreements counterparties and/or securities lending agents engaged by theCompany from time to time.

Please see each relevant Fund’s Schedule of Investments for details of FDIs open on the Funds as at period end. None of theFunds entered into securities lending arrangements or repurchase agreements during the financial year ended 31 March2021 or financial year ended 31 March 2020.

Please refer to Note 2 a) Financial Instruments at Fair Value through Profit or Loss for a range of FDIs that the Companymay employ for the purpose of efficient portfolio management.

12. Financial Risks

The activities of each Fund expose them to various financial risks such as market risk (including market price risk, interestrate risk, and currency risk), credit risk and liquidity risk. The portfolio management process seeks to manage risk in amanner consistent with each Funds objectives.

The Funds (except for Russell Investments Global Selective Equity Opportunities Fund) invest principally in regulatedinvestment funds (the “Underlying Funds”) with varied investment styles to achieve returns in a broad range of marketconditions and to manage exposure to risk through diversification. The risk management process operates at a number oflevels.

The Underlying Russell Funds delegate some of the management of its portfolio to external Money Managers.

The Adviser primarily monitors and manages market risk (including market price risk, interest rate risk, and currency risk),credit risk and liquidity risk of the Funds and Underlying Russell Funds by the following techniques:

▪ The Adviser monitors each Underlying Russell Fund’s characteristics in detail with the Money Manager(s) and Invest-ment Manager at least quarterly and in some cases monthly.

▪ The Adviser also reviews the portfolio characteristics of each Fund and Underlying Russell Fund in its entirety.▪ This review may include as appropriate a review of country allocations, country weights, capitalisation, distribution, in-

dustry sector weights, price/book levels, currency exposure, portfolio maturity, portfolio duration, sector exposure andquality exposure and other key risk measures.

▪ In addition to monitoring investment activity and exposure by a Money Manager and/or Investment Manager, the Adviseralso receives daily exposure reporting from the Administrator and Money Manager and/or Investment Manager, withwhich they can review various event exposures on the Underlying Russell Funds.

▪ The Adviser also oversees and monitors the overall level of risk in a Fund and Underlying Russell Fund.

a) Global ExposureThe Funds will use advanced risk measurement methodology, namely Value at Risk (“VaR”) as a risk measurementtechnique, in addition to other techniques, to measure, monitor and manage market risk. The absolute or relative VaRapproach will be executed in accordance with the CESR(Committee of European Securities Regulators) 10/788 guidelines.VaR quantifies the estimate of the maximum potential loss due to market risk at a given confidence level over a specifiedtime period under the prevailing market conditions.

VaR is a model-based estimate. As with any model-derived figure, it is subject to imprecision due to such factors as dataand measurement errors and model risk. The calculation of VaR is based on daily unaudited accounting book of recordposition data. In addition, VaR assumes that future asset return distributions and correlations remain stable and consistentwith the prevailing market conditions. The Funds utilise additional measures such as stress testing analysis and exposuremeasurement to provide a holistic view to the Funds’ market risk that includes tail risk and derivative exposurequantification. Furthermore, accuracy of the VaR models is regularly checked via out-of-time/out-of-sample back testing.

For calculation of global exposure under the advanced risk measurement approach, Monte Carlo VaR using granularmodeling aproach based on 1000 simulations is used. The approach estimates VaR by simulating random scenarios for eachrelevant pricing inputs (e.g., specific equity, commodity prices, foreign exchange and interest rates, implied volatility, etc.)used in valuing securities held in the portfolio and revaluing the positions for each of the paths generated for pricing inputs.



31 March 2021


12. Financial Risks - continued

For Funds using the absolute VaR approach, the VaR of the Fund shall not exceed 3.16 per cent of the Net Asset Value of theFund, based on a 1 day holding period and a “one-tailed” 95 per cent confidence interval using observation period of atleast 1 financial year. For Funds using the relative VaR approach, the VaR of the Fund shall not exceed twice that of the VaRof the reference portfolio based on a 1 day holding period and a “one-tailed” 95 per cent confidence interval using historicalobservation period of at least 1 financial year. A Fund VaR of 1 per cent means that there is a 5per cent chance that the Fundwill lose more than 1 per cent of its value over any given day, assuming that the prevailing market conditions continue intothe future.

The below table details the VaR expressed as a percentage of the NAV at financial year end 31 March 2021 and financialyear end 31 March 2020, VaR approach for each Fund and for those Funds utilising the relative VaR methodology, thereference portfolio is also listed.

Global Exposure Calculation Methodology and VaR as at the year end

Fund Name Approach Reference PortfolioVaR as at

31 March 2021VaR as at

31 March 2020

Russell Investments Multi-Asset 35 Fund............. Absolute N/A 0.92% 1.35%Russell Investments Multi-Asset 50 Fund............. Absolute N/A 1.28% 1.79%Russell Investments Multi-Asset 70 Fund............. Relative RMMF Global 70 Blended Benchmark* 1.60% 2.23%Russell Investments Multi-Asset 90 Fund............. Relative RMMF Global 90 Blended Benchmark** 1.92% 2.83%Russell Investments Multi-Asset Defensive Fund. Absolute N/A 0.63% 0.86%Russell Investments Global Selective EquityOpportunities Fund................................................ Relative MSCI World Index USD 1.90% 2.70%

* Holds 30% of Barclays Capital Global Aggregate and 70% of Russell Gobal LC Index** Holds 10% of Barclays Capital Global Aggregate and 90% of Russell Global LC Index

VaR utilisation measures the Fund’s VaR relative to the Fund’s VaR limit. The below table details the minimum, maximumand average daily VaR utilisation that occurred during the one financial year ending 31 March 2021 and the one financialyear ending 31 March 2020.

Daily VaR Utilisation*

31 March 2021 31 March 2020Fund Name Minimum Maximum Average Minimum Maximum Average

Russell Investments Multi-Asset 35 Fund........... 28.9% 48.4% 40.5% 11.4% 42.7% 14.8%Russell Investments Multi-Asset 50 Fund........... 40.4% 63.3% 52.7% 17.9% 58.6% 23.4%Russell Investments Multi-Asset 70 Fund........... 5.7% 22.4% 14.8% <0% 26.7% 11.7%Russell Investments Multi-Asset 90 Fund........... 4.1% 22.1% 13.4% 1.9% 28.7% 16.3%Russell Investments Multi-Asset DefensiveFund..................................................................... 19.7% 32.6% 26.6% 5.2% 27.9% 8.6%Russell Investments Global Selective EquityOpportunities Fund.............................................. <0% 5.3% 0.0% <0% 9.9% 2.6%

* Absolute VaR Limit Utilisation = VaR(95% CI, 1 day) / 3.16%Relative VaR Limit Utilisation = [Fund VaR / Benchmark VaR] - 1Utilisation >100% equates to breaking the limitThe Daily VaR Utilisation calculation excludes VaR values occurring during Fund opening or closing due to accounting andtiming issues.

The below table details the Fund’s VaR relative to the Fund’s VaR limit at the financial year end 31 March 2021 and31 March 2020.

VaR Utilisation

Fund Name


Level


Level

Russell Investments Multi-Asset 35 Fund ............................................... 29.0% 42.6%Russell Investments Multi-Asset 50 Fund ............................................... 40.4% 56.6%Russell Investments Multi-Asset 70 Fund ............................................... 14.1% 8.3%Russell Investments Multi-Asset 90 Fund ............................................... 9.8% 12.7%



31 March 2021



VaR Utilisation

Fund Name


Level


Level

Russell Investments Multi-Asset Defensive Fund ................................... 19.8% 27%Russell Investments Global Selective Equity Opportunities Fund .......... <0% <0%

The average level of leverage figures provided below are calculated as the sum of the absolute value of notionals of thederivatives used as is required by the UCITS Regulations. This figure does not take into account any netting and hedgingarrangements that the Funds may have in place at any time even though these netting and hedging arrangements are used forrisk reduction purposes. As these netting and hedging arrangements, if taken into account, may reduce the level of leverage,this calculation may not provide an accurate measure of the Funds’ actual leverage position. Below is the daily average levelof leverage for each Fund during the one financial year ending 31 March 2021 and 31 March 2020.

Level of Leverage*

Fund NameYear ended

31 March 2021Year ended

31 March 2020

Russell Investments Multi-Asset 35 Fund .................................................. 23.7% 25.1%Russell Investments Multi-Asset 50 Fund .................................................. 36.9% 43.2%Russell Investments Multi-Asset 70 Fund .................................................. 48.3% 68%Russell Investments Multi-Asset 90 Fund .................................................. 72.0% 78.6%Russell Investments Multi-Asset Defensive Fund ...................................... 28.3% 36.2%Russell Investments Global Selective Equity Opportunities Fund ............. 73.4% 74%

* The Daily Average Leverage calculation excludes distorted daily leverage values occurring during Fund opening orclosing due to accounting and timing issues.

b) Market Price RiskMarket price risk is defined in FRS 102 as the risk that the fair value of a financial instrument or its future cash flows willfluctuate because of changes in market prices other than those caused by interest rate risk or currency risk.

All investments present a risk of loss of capital. The Funds invest primarily in sub-funds of the Underlying Russell Fundsand selected third party funds (collectively the “Underlying Funds”). The Underlying Funds are exposed to market riskarising from uncertainties about future prices of the instruments held by the respective Underlying Funds. Except forderivatives, maximum risk resulting from financial instruments is determined by fair value of the financial instruments.Possible losses from certain derivatives can be unlimited. The Underlying Funds minimise market risk by investing in adiversified portfolio of securities as described in the Prospectus of the relevant Underlying Fund. The Underlying RussellFunds’ Money Managers monitor their portfolio holdings on a daily basis.

The market prices of a Fund’s securities may go up or down, sometimes rapidly or unpredictably, due to general marketconditions, such as overall economic trends or events, government actions or interventions, market disruptions caused bytrade disputes or other factors, political factors or adverse investor sentiment. Such events include the recent pandemicspread of the novel corona virus known as COVID-19, the duration and full effects of which are still uncertain. The marketprices of securities also may go down due to events or conditions that affect particular sectors, industries or issuers. Adversemarket conditions may be prolonged and may not have the same impact on all types of securities. If the market prices of thesecurities owned by the Fund fall, the value of an investment will go down. A Fund may experience a substantial orcomplete loss on any individual security.

i) Fair valuation hierarchyFRS 102 Section 11.27 on “Fair Value: Disclosure” requires the Company to classify fair value measurements using afair value hierarchy that reflects the significance of the inputs used in making the measurements.

The fair value hierarchy of inputs is summarised in the three broad levels listed below.

▪ Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.▪ Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either

directly (that is, as prices) or indirectly (that is, derived from prices).



31 March 2021



▪ Level 3: Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs).

The level in the fair value hierarchy within which the fair value measurement is categorised in its entirety is deter-mined on the basis of the lowest level input that is significant to the fair value measurement in its entirety. For thispurpose, the significance of an input is assessed against the fair value measurement in its entirety. If a fair value mea-surement uses observable inputs that require significant adjustment based on unobservable inputs, that measurement isa Level 3 measurement. Assessing the significance of a particular input to the fair value measurement in its entiretyrequires judgement, considering factors specific to the asset or liability.

No significant transfers occurred between the levels during the financial year and prior financial year under review.

The determination of what constitutes ‘observable’ requires significant judgement by the Directors. The Directors con-sider observable data to be that market data that is readily available, regularly distributed or updated, reliable and veri-fiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.

Investments whose values are based on quoted market prices in active markets, and therefore classified within Level 1,include active listed equities, exchange traded investment funds and exchange traded derivatives. The Funds do notadjust the quoted price for these instruments.

Financial instruments that trade in markets that are not considered to be active but are valued based on quoted marketprices, dealer quotations or alternative pricing sources supported by observable inputs are classified within Level 2.These include investment funds.

Investments classified within Level 3 have significant unobservable inputs, as they trade infrequently. Level 3 securi-ties are securities that may be priced by a single pricing vendor or may have prolonged stale prices or may have novalid market information (indications or comparable security types) available. As at 31 March 2021 and 31 March2020, there are no securities classified within Level 3.

Please refer to the base of each Fund’s Schedule of Investments for analysis, within the fair value hierarchy, of eachFund’s financial assets and liabilities (by investment type) measured at fair value at 31 March 2021 and 31 March2020.

c) Interest Rate RiskThe majority of the Funds’ assets comprise mainly of investments in the Underlying Funds which neither bear interest norhave a maturity date. Therefore, there is no direct interest rate exposure where the value of these securities may fluctuate asa result of a change in interest rates. There is an indirect exposure resulting from the underlying investments held by theUnderlying Funds. As a result, Funds are not subject to significant amounts of interest rate risk.

d) Currency RiskForeign exchange risk exists where assets and liabilities are denominated in currencies other than the functional currency ofthe Fund with the effect that the Balance Sheet and Profit and Loss Account may be affected by currency movements.Investments which comprise the majority of net assets of each Fund are denominated in the currency of the UnderlyingFund on the Schedule of Investments for the relevant Fund, unless otherwise indicated. The Funds have an indirect exposureresulting from the investments held by the Underlying Funds.

The following tables detail Funds with material currency exposures at the balance sheet date. For presentation purposes thethree foreign currencies with the greatest exposure, on each respective Fund, as of the balance sheet date are disclosedseparately and all other foreign currencies held on that Fund have been amalgamated. Funds not listed below do not havematerial currency exposures as of the balance sheet date.

The sensitivity analysis in the tables details the approximate increase or decrease in net assets attributable to redeemableparticipating shareholders if the exchange rate between the base currency of the relevant Fund and the relevant foreigncurrency increased by 5%.

The foreign currency exposure for the monetary assets held by the Funds as at 31 March 2021 is as follows:



31 March 2021




Foreign Currency Exposure

Monetary NetAssets/(Liabilities)

USD ‘000

Non-MonetaryNet AssetsUSD ‘000

Net FinancialAssets/(Liabilities)

USD ‘000

SensitivityAnalysisUSD ‘000

Japanese Yen ...................................................................................... 4,550 - 4,550 228Euro.................................................................................................... 4,427 - 4,427 221British Pound...................................................................................... 3,432 - 3,432 172All other foreign currencies ............................................................... 1,103 - 1,103 55

13,512 - 13,512 676




USD ‘000



USD ‘000


Euro.................................................................................................... 3,183 4,411 7,594 380British Pound...................................................................................... 5,947 - 5,947 297Japanese Yen ...................................................................................... 5,522 - 5,522 276All other foreign currencies ............................................................... 1,463 - 1,463 73

16,115 4,411 20,526 1,026




USD ‘000



USD ‘000


Euro.................................................................................................... (4,652) 12,214 7,562 378Japanese Yen ...................................................................................... 4,885 - 4,885 244British Pound...................................................................................... 4,171 - 4,171 209All other foreign currencies ............................................................... 510 - 510 26

4,914 12,214 17,128 857




USD ‘000



USD ‘000


Euro.................................................................................................... (24,827) 113,595 88,768 4,438Japanese Yen ...................................................................................... (71,086) 149,667 78,581 3,929British Pound...................................................................................... (17,916) 47,538 29,622 1,481All other foreign currencies ............................................................... (17,746) 117,392 99,646 4,982

(131,575) 428,192 296,617 14,830

The foreign currency exposure for the monetary assets held by the Funds as at 31 March 2020 is as follows:




USD ‘000



USD ‘000


Euro.................................................................................................... 1,248 4,783 6,031 302Japanese Yen ...................................................................................... 6,025 - 6,025 301British Pound...................................................................................... 4,423 - 4,423 221All other foreign currencies ............................................................... (1,783) - (1,783) (89)

9,913 4,783 14,696 735



31 March 2021






USD ‘000



USD ‘000


Japanese Yen ...................................................................................... 5,463 - 5,463 273Euro.................................................................................................... (8,048) 12,746 4,698 235British Pound...................................................................................... 3,234 - 3,234 162All other foreign currencies ............................................................... 1,259 - 1,259 63

1,908 12,746 14,654 733




USD ‘000



USD ‘000


Euro.................................................................................................... (3,538) 64,591 61,053 3,053Japanese Yen ...................................................................................... (61,938) 115,089 53,151 2,658British Pound...................................................................................... (1,672) 26,463 24,791 1,240All other foreign currencies ............................................................... (40,639) 89,240 48,601 2,430

(107,787) 295,383 187,596 9,381

e) Credit RiskThe Funds and Underlying Funds take on credit risk which is the risk that a counterparty or issuer will be unable to payamounts in full when due. Impairment provisions are provided for losses that have been incurred by the balance sheet date,if any.

The Company’s and Underlying Funds’ main credit risk concentrations arise from trading equity and debt securities,investment funds and FDIs in addition to cash balances held at the Depositary.

The Company and Underlying Funds are exposed to credit risk on the counterparties with which it trades in relation toderivatives that are not traded on a recognised exchange derivatives. Such instruments are not afforded the same protectionsas may apply to participants trading on organised exchanges, such as the performance guarantee of an exchange clearinghouse. Concentrations of credit risk are minimised by undertaking transactions with a large number of counterparties.

The Money Managers and Adviser of the Funds and the principal money manager/adviser of the Underlying Russell Fundsemploy a credit research team that performs robust quantitative and qualitative analysis on banks, insurance companies, andother counterparties. The credit research analyst assigned to a particular counterparty performs full credit analysis andwrites a credit research report and subsequently sets investment parameters on over-the-counter counterparty ratings andexposures where appropriate. The credit research team only reviews counterparties in respect of those assets directlymanaged by Russell entities. The individual Money Managers appointed to the Underlying Russell Funds have their ownresearch process for the assets under their management. Each Underlying Russell Fund’s Money Managers monitor eachcredit position on a daily basis.

OTC FDIs create an exposure to counterparty risk such that the counterparty may become insolvent or otherwise incapableof meeting its obligations under an FDI contract. This includes the legal risk arising from a contract being unenforceable. At31 March 2021 and 31 March 2020, none of the Funds were exposed to direct significant concentrations of credit risk.

The names of brokers and counterparties for the open financial derivative positions held by each individual Fund can befound at the base of each relevant Fund’s Schedule of Investments. The total unrealised gains and losses exposure byinvestment type for each of the brokers and counterparties can also be found at the base of each relevant Fund’s Schedule ofInvestments. Where there are more than five brokers and counterparties used by each of the relevant Fund’s, the top 5 hasbeen disclosed with the remaining amounts included in other.

Collateral may be pledged by the Funds, generally by way of cash or cash equivalents, and held by the counterparties.Amounts of cash collateral held at year-end by counterparties are disclosed on the Balance Sheet of the Funds. See Note 3to the financial statements for full details of cash collateral pledged to or by the relevant Funds as at 31 March 2021 and31 March 2020.



31 March 2021



All securities, cash at bank balances and cash or non-cash collaterals received by these funds are held by the Depositarythrough its affiliate, State Street or through a sub-custodian within the State Street custodial network. All OTC FDIs,investment funds, term deposits margin or other similar investments/monies deposited by or entered into on behalf of theCompany and each Underlying Russell Fund with a counterparty, options exchange, clearing broker or other parties are notheld within the State Street custodial network. The Depositary are therefore not be liable in any way for the default of anycounterparty with whom the Company and Underlying Russell Funds trade.

Bankruptcy or insolvency of the Depositary or a State Street affiliate company may cause the Company’s and UnderlyingRussell Funds’ rights with respect to cash and securities held by State Street to be delayed or limited and the Company andUnderlying Russell Funds’ would be treated as a general creditor of that entity in respect of its cash balances. Periodicmonitoring and an annual credit review are performed on the Depositary by the Adviser. This review may include asappropriate an assessment of the Depositary’s liquidity position, income streams, asset quality and credit ratings. The longterm credit rating of State Street as of 31 March 2021 was Aa2 (31 March 2020: Aa2), as rated by Moody’s rating agency.

f) Liquidity RiskThe liquidity risks associated with the need to meet shareholders’ requests for redemptions are mitigated by maintaining apool of cash to satisfy usual levels of demand. Generally, the Funds’ assets comprise publicly traded securities with variousdegree of liquidity. In highly volatile market conditions, the Funds may not easily liquidate assets needed for redemption orsettlement. In such conditions, the Manager may adopt a number of liquidity management tools, as detailed in theCompany’s prospectus, such as restrictions on redemptions, borrowing arrangements on a temporary basis, in-specieredemption, temporary suspension of valuation, issue and repurchase of shares and review of the Funds’ swing pricingpolicy. Swing prices will be calculated, and reviewed by the Securities Valuation Committee for the EMEA’s fixed incomefunds, on a weekly basis to best reflect and compensate the cost of trading.

The Manager, in consultation with the Adviser, employs an appropriate liquidity management system and has adoptedprocedures which enable it to monitor the liquidity risk of the Company and each Fund. The liquidity management systemensures that each Fund maintains a level of liquidity appropriate to its underlying obligations based on an assessment of therelative liquidity of the Fund’s assets in the market, taking account of the time required for liquidation and the price or valueat which those assets can be liquidated and their sensitivity to other market risks or factors. The Manager, in consultationwith the Adviser, monitors the liquidity profile of the portfolio of assets having regard to the profile of the investor base ofthe Fund, the relative size of investments and the repurchase terms to which these investments are subject. The Manager, inconsultation with the Adviser (and affiliates), implements and maintains appropriate liquidity measurement arrangementsand procedures to assess the quantitative and qualitative risks of positions and intended investments which have a materialimpact on the liquidity profile of the Fund’s portfolio of assets. This enables effects on the overall liquidity profile to beappropriately measured and to put into effect the tools and arrangements necessary to manage the liquidity of the Company.

The risk management guidelines adopted by the Adviser require that coverage be composed of cash reserves or physicalsecurities.

The Adviser monitors the Funds’ liquidity positions on a daily basis and monitors the Underlying Russell Fund’s portfoliocharacteristics in detail with the Money Managers at least quarterly and in some cases monthly. The Adviser also reviewseach Fund’s portfolio characteristics in its entirety.

As of 31 March 2021 and 31 March 2020, all of the Funds liabilities, including net assets attributable to redeemableparticipating shareholders are payable within three months.

The tables below analyse each Fund’s forward foreign currency exchange contracts that will be settled on a gross basis intorelevant maturity groupings based on the remaining period at the Balance Sheet to the contractual maturity date.

Year ended 31 March 2021

Fund Name Currency

Less than3 months

’000

3 months to1 year‘000

1 year to5 years

‘000

Russell Investments Multi-Asset 35 FundInflows .............................................................................................................. USD 4,697 - -Outlfows............................................................................................................ USD (4,746) - -



31 March 2021



Fund Name Currency

Less than3 months

’000


1 year to5 years

‘000




Russell Investments Multi-Asset Defensive FundInflows .............................................................................................................. USD 24,940 - -Outlfows............................................................................................................ USD (24,643) - -

Russell Investments Global Selective Equity Opportunities FundInflows .............................................................................................................. USD 283,105 - -Outlfows............................................................................................................ USD (280,566) - -

Year ended 31 March 2020

Fund Name Currency

Less than3 months

’000


1 year to5 years

‘000





Russell Investments Multi-Asset Defensive FundInflows .............................................................................................................. USD 28,727 - -Outlfows............................................................................................................ USD (27,824) - -

Russell Investments Global Selective Equity Opportunities FundInflows .............................................................................................................. USD 315,295 - -Outlfows............................................................................................................ USD (309,097) - -

13. Exchange Rates

Where applicable, the Administrator used the exchange rates listed below to translate foreign currency amounts, fair valueof investments and other assets and liabilities into U.S. Dollars at the following rates for each USD 1.

31 March 2021 31 March 2021

Australian Dollar AUD 1.3129 Philippine Peso PHP 48.5375Brazilian Real BRL 5.6430 Polish Zloty PLN 3.9460British Pound GBP 0.7248 Russian Ruble RUB 75.5188Canadian Dollar CAD 1.2569 Singapore Dollar SGD 1.3436Chinese Yuan Renminbi CNY 6.5550 South African Rand ZAR 14.7663Czech Republic Koruna CZK 22.2242 South Korean Won KRW 1131.7500Danish Krone DKK 6.3280 Sri Lanka Rupee LKR 199.5000Euro EUR 0.8508 Swedish Krona SEK 8.7163Hong Kong Dollar HKD 7.7745 Swiss Franc CHF 0.9412Japanese Yen JPY 110.5000 Thailand Baht THB 31.2500New Zealand Dollar NZD 1.4279 Turkish Lira TRY 8.2763Norwegian Krone NOK 8.5364



31 March 2021


13. Exchange Rates - continued

31 March 2020 31 March 2020

Australian Dollar AUD 1.6339 Polish Zloty PLN 4.1535Brazilian Real BRL 5.1866 Singapore Dollar SGD 1.4239British Pound GBP 0.8065 South African Rand ZAR 17.8600Canadian Dollar CAD 1.4234 South Korean Won KRW 1,217.3500Chinese Yuan Renminbi CNY 7.0931 Sri Lankan Rupee LKR 189.2500Czech Republic Koruna CZK 24.9684 Swedish Krona SEK 9.9077Danish Krone DKK 6.8008 Swiss Franc CHF 0.9676Euro EUR 0.9114 Thai Baht THB 32.8175Hong Kong Dollar HKD 7.7509 Turkish Lira TRY 6.5903Japanese Yen JPY 107.9550New Zealand Dollar NZD 1.6868Norwegian Krone NOK 10.5010

14. Comparative Dealing Net Assets

The net asset value per share may include a swing factor if the price had been swung at the financial year end.


Class AUSD ‘000

Class BUSD ‘000

Class CIncome

USD ‘000Class E

USD ‘000Class V

SGD ‘000Class W

USD ‘000

Total net asset value ...................31 March 2021 ......................... 4,232 1,935 1 47,642 - 43631 March 2020 ......................... 5,054 1,611 1 69,645 - 5131 March 2019 ......................... 5,887 3,321 1 62,057 70 1

Class AUSD

Class BUSD

Class CIncome

USDClass E

USDClass V

SGDClass W

USD

Net asset value per share ............31 March 2021 ......................... 185.83 184.71 115.19 17.68 - 119.1531 March 2020 ......................... 160.53 159.23 99.19 15.15 - 103.7531 March 2019 ......................... 165.59 163.93 101.94 15.50 10.67 107.87


Class AUSD ‘000

Class BUSD ‘000

Class EUSD ‘000

Class VSGD ‘000

Class WUSD ‘000

Total net asset value ...................31 March 2021 ......................... 31,803 7,272 81,704 - 9,96131 March 2020 ......................... 29,763 5,979 97,230 - 5,73331 March 2019 ......................... 38,110 7,641 99,989 358 3,624

Class AUSD

Class BUSD

Class EUSD

Class VSGD

Class WUSD

Net asset value per share ............31 March 2021 ......................... 214.74 212.53 19.94 - 133.8431 March 2020 ......................... 170.30 168.06 15.66 - 106.9031 March 2019 ......................... 180.31 177.41 16.42 11.07 113.98



31 March 2021


14. Comparative Dealing Net Assets - continued


Class AUSD ‘000

Class BUSD ‘000

Class EUSD ‘000

Class VSGD ‘000

Class WUSD ‘000


Class AUSD

Class BUSD

Class EUSD

Class VSGD

Class WUSD



Class AUSD ‘000

Class BUSD ‘000

Class EUSD ‘000

Class VSGD ‘000

Class WUSD ‘000


Class AUSD

Class BUSD

Class EUSD

Class VSGD

Class WUSD


Russell Investments Multi-Asset Defensive Fund

Class AUSD ‘000

Class EUSD ‘000

Total net asset value ...................31 March 2021 ......................... 13,393 105,04931 March 2020 ......................... 12,251 135,35331 March 2019 ......................... 12,464 127,764

Class AUSD

Class EUSD

Net asset value per share ............31 March 2021 ......................... 127.79 136.1931 March 2020 ......................... 116.89 123.9531 March 2019 ......................... 118.92 125.48



31 March 2021


14. Comparative Dealing Net Assets - continued


Class AAccumulation

USD ‘000

Class BAccumulation

USD ‘000

Class CAccumulation

USD ‘000


USD ‘000

Total net asset value ...................31 March 2021 ......................... 864,124 60,805 35,588 57,35731 March 2020 ......................... 605,347 38,845 25,172 41,63131 March 2019 ......................... 681,967 17,644 29,345 51,932

Class AAccumulation

USD

Class BAccumulation

USD

Class CAccumulation

USD


USD

Net asset value per share ............31 March 2021 ......................... 1,952.86 1,613.92 1,647.75 1,666.9031 March 2020 ......................... 1,224.24 1,016.51 1,028.55 1,058.2531 March 2019 ......................... 1,379.73 1,151.02 1,154.19 1,165.36

15. Segregated Liability

Each Fund will be responsible for paying its fees and expenses regardless of the level of its profitability. The Company hasavailed of the segregated liability provisions of the Companies Act. The adoption of segregated liability ensures that liabilityincurred on behalf of a Fund will generally be discharged solely out of the assets of that Fund and there can generally be norecourse to other Funds to satisfy these liabilities. Notwithstanding the foregoing there can be no guarantee that should anaction be brought against the Company in the court of another jurisdiction that the segregated nature of the Funds wouldnecessarily be upheld.

16. Underlying Funds - Additional Information

This table shows the sub-fund, share class, manager and management fee rate of the Underlying Funds as of 31 March2021 and 31 March 2020. None of the Underlying Funds charged a performance fee. The domicile of each UnderlyingRussell Investments Fund, Arrowstreet Common Contractual Fund and Salar Funds plc is Ireland. Amundi Funds andBlueBay Funds Management Company are domiciled in Luxembourg.

This information has been sourced from the Prospectuses of the Underlying Funds.

Amundi Funds

Sub-Fund Share Class ManagerManagementFee Charged

Absolute Volatility World Equities ................... Class USD Accumulated Amundi Luxembourg S.A. 1.20%

Arrowstreet Common Contractual Fund


Arrowstreet Global Equity GBP CCF .............. Class E USD Arrowstreet Capital, Limited Partnership 0.39%

OpenWorld plc


Russell Investments Global ListedInfrastructure .................................................... Class A USD Accumulated Russell Investments Ireland Limited 1.60%

BlueBay Funds Management Company


BlueBay Global Convertible Bond Fund.......... Class B USD Accumulated BlueBay Asset Management LLP 0.60%



31 March 2021


16. Underlying Funds - Additional Information - continued

Multi-Style,Multi-Manager Funds plc


The Global Real Estate Securities Fund........... Class B Roll-Up Russell Investments Ireland Limited 0.90%The Global Real Estate Securities Fund........... DH-B Income Russell Investments Ireland Limited 0.95%

Russell Investment Company plc


Russell Investments Emerging Markets EquityFund.................................................................. Class B Accumulated Russell Investments Ireland Limited 2.04%Russell Investments Global Bond Fund ........... DH-B Accumulated Russell Investments Ireland Limited 1.08%Russell Investments Global Credit Fund .......... Class USDH-A Income Russell Investments Ireland Limited 0.65%Russell Investments Global High Yield Fund .. Class DH-B Roll-Up Russell Investments Ireland Limited 1.50%Russell Investments Unconstrained BondFund.................................................................. Class I USD Russell Investments Ireland Limited 0.85%Russell InvestmentsWorld Equity Fund II........ Class A Accumulated Russell Investments Ireland Limited 0.90%Russell InvestmentsWorld Equity Fund II........ Class USD H-N Accumulated Russell Investments Ireland Limited 1.15%

Russell Investment Company II plc


Russell Investments Emerging Market DebtLocal Currency Fund........................................ Class I USD Accumulated Russell Investments Ireland Limited 1.00%Russell Investments Global Bond (EuroHedged) Fund ................................................... Class DH-B Accumulated Russell Investments Ireland Limited 0.90%Russell Investments Pan European EquityFund.................................................................. Class B Accumulated Russell Investments Ireland Limited 1.00%Russell InvestmentsWorld Equity Fund ........... Class B Accumulated Russell Investments Ireland Limited 0.90%

Russell Investment Company III plc


Russell Investments Euro Liquidity Fund ........ Class R Roll-Up Russell Investments Ireland Limited 0.05%Russell Investments U.S. Dollar Cash Fund II . Class R Roll-Up Russell Investments Ireland Limited 0.05%

17. Significant Events During the Financial Year

COVID-19 continues to create market volatility across global financial markets. Given the successful suppression effortsand increased health care capacity within several countries and regions, government officials are beginning to outline plansfor a gradual reopening of local economies.

The SVC continues to monitor the potential impact of COVID-19 across the EMEA Funds including the new process forcalculating swing factors for the fixed income funds. Liquidity in some fixed income sectors has improved, with bid-askspreads and transaction costs on a downward trend. As a result, swing factors for the EMEA fixed income funds have beendecreasing.

The United Kingdom (“UK”) left the European Union (“EU”) on 31 January 2020, with a transition period that ended on31 December 2020. During the transition period, the UK continued to comply with EU laws.

Russell Investments obtained legal advice from counsel in the jurisdictions in the EU27 where Russell Investments carriedout regulated activity at the end of the Transition Period. Where possible, Russell Investments’ UK FCA authorised firmscontinue to provide services through national regimes. Where no national regime was available, contracts were novated toRussell Investments Ireland Limited. Training was provided throughout the business to ensure Russell associates are awareof the regulatory framework and continue to operate within it.

The boards of the collective investment schemes which the Manager, Russell Investments Ireland Limited, provides fundmanagement services to have approved a change of management company on 29 March 2021. As a result, it is expected thatthe Manager will cease providing fund management services to these collective investment schemes in the foreseeablefuture.



31 March 2021


17. Significant Events During the Financial Year - continued

There have been no other significant events affecting the Company during the financial year end however the followingprospectus updates were made.

The RIC V Prospectus noted on 20 May 2020 incorporated the following amendments:

i) To remove reference to certain Funds as they are closed for investment;ii) To incorporate reference to the respective reference benchmarks for each of the Funds and how they are used;iii) To correct the dealing deadline for the Company in line with the dealing memorandum and subscription forms;iv) To note that fund performance data will be shown in the base currency of the relevant Fund (as applicable);v) To more closely reflect the requirements of the Central Bank’s latest investment restrictions template;vi) To incorporate revised soft commission disclosure;vii) To reflect the change in composition of the Board, namely, the resignation of Mr. James Beveridge and the appoint-

ment of Mr. William Pearce; andviii) Minor ancillary updates to reflect the passage of time.

The Prospectus noted on 21 December 2021 incorporated the following amendments:

i) To provide for the implementation of the use of a securities lending programme – please note that shareholders shallbe informed in advance. Disclosure has been added to the section titled, ’Securities Financing Transactions’ and alsoan enhanced risk factor;

ii) To include additional risk factors relevant to the Company;iii) To remove reference to the payment of performance fees – please note that there are currently no sub-funds of the

Company that are charging a performance fee; andiv) Minor ancillary updates to reflect the passage of time.

The Adviser has confirmed that the amendments made to the Funds’ investment policies in the prospectus dated 12 June2020 were only for additional disclosure in relation to indexes to comply with ESMA guidance. The amendments have notchanged the way in which the funds are managed. Please see appendix II and the Fund’s prospectus for further details inrelation to how indices are used.

The following memorandum and articles of association of the Company (the �M&A�) updates were made. Changes to theM&A were tabled and approved by shareholders at the annual general meeting of the Company held on 2 October 2020.These changes comprised;

i) Update to the M&A in relation to the residency of the members of any committees that the Directors may delegate anyof their powers to; and

ii) Addition of wording to provide flexibility to the Directors to execute agreements on behalf of the Company by elec-tronic signature.

The Prospectus noted on 1 February 2021 incorporated the following amendments:

i) Updates as per the requirements of Regulation (EU) 2019/2088 on sustainability-related disclosures in the financialservices (�SFDR�) to include (i) classification of each sub-fund, (ii) relevant risk factors, and (iii) section titled �TheManager’s Sustainability Risks Policy�.

18. Significant Events Since the Financial Year End

There have been no significant events affecting the Company since year end.

19. Approval of the Financial Statements

The financial statements were approved by the Directors on 8 July 2021.



31 March 2021


Remuneration of the Company’s DirectorsRegulation 89(3A) of the UCITS Regulations (as introduced pursuant to the UCITS V Regulations on 21 March 2016) requiresthat the annual report of the Company contains certain disclosures on remuneration paid by the Manager to its staff during thefinancial year and details of any material changes to the Manager’s remuneration policy made during the period, and thisrequirement applied as of 18 March 2016. In this regard, the following points are to be noted:

− The Manager has prepared a remuneration policy outlining how it adheres to the remuneration requirements set out inthe UCITS Regulations.

− The Company has a Board of Directors, five of whom are employees of Russell Investments and receive noremuneration from the Company. The remaining four directors, each of whom is independent, receive a fixed fee only(for the year ended 31 March 2021: EUR 14,255) and do not receive variable remuneration. These fees are set at a levelthat reflects the qualifications and contribution required taking into account the Company’s size, internal organisationand the nature, scope and complexity of its activities.


Appendix I Remuneration (unaudited)


Appendix I 127

Details of the indexes used by the Investment Managers, Investment Advisers and Money Managers appointed for RussellInvestments Global Selective Equity Opportunities Fund are set out below:

Manager/Entity name Benchmark NameReturnType Currency

Brandywine Global Investment Management, LLC Russell 1000 Value Index Net Return USDFiera Capital Corporation MSCI World Index Net Return USDKopernik Global Investors LLC MSCI AC World Index Net Return USDMaple-Brown Abbott Limited MSCI Pacific ex Japan Net Return USDMar Vista Investment Partners, LLC Russell 1000 Growth Index Net Return USDMorgan Stanley Investment Management Limited MSCI AC World Index Net Return USDNWQ Investment Management Company, LLC TOPIX Net Return USDPzena Investment Management, LLC MSCI Europe Index Net Return USDRussell Investments Limited MSCI World Index Net Return USDS.W. Mitchell Cap LLP MSCI Europe Index Net Return USDSompo Asset Management Co. Ltd TOPIX Net Return USD


Appendix II - ESMA guidance disclosures regarding benchmarks (unaudited)

31 March 2021

128 Appendix II

Russell Investments Rex House10 Regent Street, St James’sLondon, SW1Y 4PE

tel +44 (0) 20 7024 6000fax +44 (0) 20 7024 6001www.russellinvestments.com