Idea Transcript
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY
Financial Statements December 31, 2012
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Table of Contents
Page Independent Auditor's Report
6
Financial Statements Mutual Funds FMT/Alger Spectra Fund FMT/American Beacon Large Cap Value Fund FMT/American Beacon Small Cap Value Fund FMT/American Century Mid Cap Value Fund FMT/American Funds Amcap Fund FMT/American Funds Bond Fund of America Fund FMT/American Funds Capital Income Builder Fund FMT/American Funds Europacific Fund FMT/American Funds Growth Fund of America Fund FMT/American Funds New Perspective Fund FMT/American Funds Small Cap World Fund FMT/American Funds Washington Mutual Fund FMT/Artisan International Fund FMT/BlackRock Global Allocation Fund FMT/Calvert Income A Fund FMT/Columbia Acorn Z Fund FMT/Delaware High Yield Opportunity Fund FMT/DFA 1 Year Fixed Income Fund FMT/DFA Commodity Strategy Portfolio Fund FMT/DFA Emerging Markets Core Equity Fund FMT/DFA Emerging Markets I Fund FMT/DFA Emerging Markets Small Cap Fund FMT/DFA Emerging Markets Value Fund FMT/DFA Five Year Global Fixed Income Fund FMT/DFA Global 60/40 Fund FMT/DFA Global Equity Fund FMT/DFA Intermediate-Term Extended Quality Porfolio Fund FMT/DFA International Core Equity Fund FMT/DFA International Real Estate Securities Fund FMT/DFA International Small Cap Value Fund FMT/DFA International Small Company Fund FMT/DFA International Value Fund FMT/DFA Real Estate Securities Fund FMT/DFA Short-Term Extended Quality Institutional Fund FMT/DFA Two Year Global Fixed Income Fund FMT/DFA U.S. Core Equity I Fund FMT/DFA U.S. Core Equity II Fund FMT/DFA U.S. Large Cap Value Fund FMT/DFA U.S. Large Cap Value III Fund
8-13 14-19 20-25 26-31 32-37 38-43 44-49 50-55 56-61 62-67 68-73 74-79 80-85 86-91 92-95 96-101 102-107 108-113 114-119 120-125 126-131 132-137 138-143 144-149 150-155 156-161 162-167 168-173 174-179 180-185 186-191 192-197 198-203 204-209 210-215 216-221 222-227 228-233 234-239
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Table of Contents (Continued)
Page Financial Statements (continued) Mutual Funds (continued) FMT/DFA U.S. Large Company Fund FMT/DFA U.S. Micro Cap Fund FMT/DFA U.S. Small Cap Portfolio Fund FMT/DFA U.S. Small Cap Value Fund FMT/DFA U.S. Targeted Value Fund FMT/DFA U.S. Vector Equity Fund FMT/Dodge & Cox Balanced Fund FMT/Dodge & Cox International Fund FMT/Dodge & Cox Stock Fund FMT/Domini Social Equity Fund FMT/Federated Kaufmann A Fund FMT/Fifth Third All Cap Value Fund FMT/Fifth Third Life Model Moderate Conservative Fund FMT/Fifth Third Small Cap Growth Fund FMT/First Eagle Gold Fund FMT/Forward Strategic Alternatives Fund FMT/Gateway Fund FMT/Harbor Capital Appreciation Fund FMT/Heartland Value Fund FMT/Ivy Global Natural Resources Fund FMT/Longleaf Partners Fund FMT/Longleaf Small Cap Fund FMT/Meridian Growth Fund FMT/Morgan Stanley Institutional Small Cap Growth Fund FMT/Mutual Global Discovery Fund FMT/Neuberger Berman Genesis Trust Fund FMT/Neuberger Berman REIT Fund FMT/Nuveen Real Estate Securities Fund FMT/Oppenheimer Developing Markets A Fund FMT/Oppenheimer Global Fund FMT/Oppenheimer Gold & Special Minerals Fund FMT/PIMCO All Asset All Authority Fund FMT/PIMCO High Yield Fund FMT/PIMCO Total Return Fund FMT/Royce Micro Cap Investment Fund FMT/Russell LifePoints Balanced Strategy Fund FMT/Russell LifePoints Conservative Strategy Fund FMT/Russell LifePoints Equity Growth Strategy Fund FMT/Russell LifePoints Growth Strategy Fund FMT/Russell LifePoints In Retirement Strategy Fund FMT/Russell LifePoints Moderate Strategy Fund FMT/Russell LifePoints 2020 Strategy Fund
240-245 246-251 252-257 258-263 264-269 270-275 276-281 282-287 288-293 294-299 300-303 304-307 308-311 312-315 316-321 322-327 328-333 334-339 340-345 346-351 352-357 358-363 364-369 370-375 376-381 382-387 388-392 393-398 399-402 403-406 407-410 411-416 417-422 423-428 429-434 435-440 441-446 447-452 453-458 459-464 465-470 471-476
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Table of Contents (Continued)
Page Financial Statements (continued) Mutual Funds (continued) FMT/Russell LifePoints 2030 Strategy Fund FMT/Russell LifePoints 2040 Strategy Fund FMT/Russell LifePoints 2050 Strategy Fund FMT/T. Rowe Price Financial Services Fund FMT/T. Rowe Price Health Sciences Fund FMT/T. Rowe Price International Bond Fund FMT/T. Rowe Price Midcap Growth Fund FMT/T. Rowe Price Value Fund FMT/Templeton International Bond Fund FMT/Third Avenue Value Fund FMT/Touchstone Balanced Allocation Fund FMT/Touchstone Conservative Allocation Fund FMT/Touchstone Core Bond Fund FMT/Touchstone Growth Allocation Fund FMT/Touchstone Growth Opportunities Fund FMT/Touchstone International Value Fund FMT/Touchstone Large Cap Growth Fund FMT/Touchstone Moderate Growth Allocation Fund FMT/Touchstone Ultra Short Duration Fixed Income Fund FMT/Touchstone Value Fund FMT/Vanguard 500 Index Fund FMT/Vanguard Balanced Index Fund FMT/Vanguard GNMA Fund FMT/Vanguard Growth Index Fund FMT/Vanguard Inflation Protected Securities Fund FMT/Vanguard Mid Cap Index Fund FMT/Vanguard Selected Value Fund FMT/Vanguard Small Cap Stock Index Fund FMT/Vanguard Target Retirement 2015 Fund FMT/Vanguard Target Retirement 2020 Fund FMT/Vanguard Target Retirement 2025 Fund FMT/Vanguard Target Retirement 2030 Fund FMT/Vanguard Target Retirement 2035 Fund FMT/Vanguard Target Retirement 2040 Fund FMT/Vanguard Target Retirement 2045 Fund FMT/Vanguard Target Retirement 2050 Fund FMT/Vanguard Target Retirement 2055 Fund FMT/Vanguard Target Retirement Income Fund FMT/Vanguard Total Bond Market Index Fund FMT/Vanguard Value Index Fund FMT/Vanguard Wellesley Income Fund FMT/Vanguard Windsor II Fund
477-482 483-488 489-494 495-500 501-506 507-512 513-518 519-524 525-530 531-536 537-542 543-548 549-554 555-560 561-566 567-572 573-578 579-584 585-590 591-596 597-602 603-608 609-614 615-620 621-626 627-632 633-638 639-644 645-650 651-656 657-662 663-668 669-674 675-680 681-686 687-692 693-698 699-704 705-710 711-716 717-722 723-728
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Table of Contents (Continued)
Page Financial Statements (continued) Mutual Funds (continued) FMT/Virtus Emerging Markets Opportunity Fund FMT/Wells Fargo Advantage Asset Allocation Fund FMT/Wells Fargo Advantage Discovery Fund FMT/Wells Fargo Diversified Equity Fund
729-734 735-740 741-746 747-752
Exchange Traded Funds FMT/iShares MSCI EAFE Index ETF FMT/iShares Russell 2000 Growth Index ETF FMT/iShares Russell 2000 Index ETF FMT/iShares Russell 2000 Value Index ETF FMT/iShares Russell 3000 Index ETF FMT/iShares Russell Mid-Cap Growth Index ETF FMT/iShares Russell Mid-Cap Value Index ETF FMT/SPDR Energy Sector ETF FMT/SPDR Gold ETF FMT/SPDR Health Care Sector ETF FMT/SPDR S and P 500 Index ETF FMT/SPDR Technology Sector ETF FMT/Vanguard Emerging Markets ETF
753-758 759-764 765-770 771-776 777-782 783-788 789-794 795-800 801-806 807-812 813-818 819-824 825-830
Collective Trust Funds FMT/FFTW U.S. TIPS Fund FMT/Fifth Third Equity Index Fund FMT/Invesco International Growth Equity Trust Fund FMT/Thornburg International Equity Fund
831-835 836-841 842-847 848-853
Money Market Funds FMT/SSgA Prime Money Market Fund FMT/SSgA U.S. Treasury Money Market Fund
854-859 860-865
Managed Funds FMT Aggressive International Growth (McKinely) Fund FMT Balanced Opportunities (Aristotle) Fund FMT Diversified International (Thomas White) Fund FMT Equity Income (CHOICE) Fund FMT Global Infrastructure (Miller/Howard) Fund FMT High Yield Bond (Federated) Fund FMT International Value Opportunities (Tradewinds) Fund FMT Large Cap Classic Value (C.S. McKee) Fund FMT Large Cap Concentrated Equity (Cornerstone) Fund FMT Large Cap Core Equity (Victory) Fund FMT Large Cap Cyclical Growth (CastleArk) Fund
866-874 875-883 884-894 895-902 903-910 911-920 921-929 930-937 938-945 946-953 954-961
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Table of Contents (Continued)
Page Financial Statements (continued) Managed Funds (continued) FMT Large Cap Focus Growth (Delaware) Fund FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap GARP (Argent) Fund FMT Large Cap Intrinsic Value (MetWest) Fund FMT Large Cap Opportunities (Smith Group) Fund FMT Large Cap Value Opportunities (NWQ) Fund FMT Mid Cap Growth (Disciplined Growth Investors) Fund FMT Mid Cap Value (RS Investments) Fund FMT Small Cap Aggressive Growth (CCI/Cupps) Fund FMT Small Cap Diversified Equity (Delaware) Fund FMT Small Cap Diversified Growth (Perimeter) Fund FMT Small Cap Intrinsic Value (MetWest) Fund FMT Small Cap Value (Opus) Fund FMT SMID Diversified Growth (Frontier/Geneva) Fund FMT SMID Value (Fisher Investments) Fund FMT Special Opportunities (CHOICE) Fund FMT U.S. Core Bond (Payden and Rygel) Fund FMT U.S. Government Securites (BlackRock) Fund FMT U.S. Growth Opportunities (Zevenbergen) Fund Zacks Investment Management Fund
962-969 970-978 979-986 987-994 995-1002 1003-1010 1011-1018 1019-1026 1027-1037 1038-1048 1049-1059 1060-1068 1069-1077 1078-1090 1091-1099 1100-1107 1108-1118 1119-1127 1128-1135 1136-1139
LifeStyle Funds FMT/Global Diversified Equity Fund FMT/Large Cap Diversified Equity Fund FMT/LifeStyle Aggressive Growth Fund FMT/LifeStyle Balanced Growth Fund FMT/LifeStyle Income and Conservative Growth Fund FMT/LifeStyle Moderately Aggressive Growth Fund FMT/LifeStyle Moderately Conservative Growth Fund FMT/LifeStyle Target Date 2010 Fund FMT/LifeStyle Target Date 2020 Fund FMT/LifeStyle Target Date 2030 Fund FMT/LifeStyle Target Date 2040 Fund FMT/LifeStyle Target Date 2050 Fund
1140-1147 1148-1154 1155-1162 1163-1170 1171-1178 1179-1186 1187-1194 1195-1202 1203-1210 1211-1218 1219-1226 1227-1234
Stable Value Funds FMT/FFTW Income Plus Fund FMT/Fifth Third Stable Value Fund FMT/Wells Fargo Stable Value Fund
1235-1241 1242-1248 1249-1255
Notes to Financial Statements
1256-1263
FMT/Alger Spectra Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 10,121,526
Liabilities 8,886
Fees payable
$ 10,112,640
Net assets Components of net assets
Class R1 Class R2 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 109,051 71,886 164,276 209,930 189,214 87,620 46,458
NAV per Unit $ 11.6327 $ 10.2048 $ 11.4220 $ 11.8868 $ 11.5219 $ 11.6179 $ 11.6377
Net Assets $ 1,268,551 733,583 1,876,358 2,495,410 2,180,115 1,017,959 540,664 $ 10,112,640
The accompanying notes are an integral part of these financial statements. -8-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
292,181
107,152 3,179 1,200 111,531
Net investment income
180,650
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,529,162 1,804,236
Net realized gain from investments sold
724,926
Change in net unrealized appreciation (depreciation) on investments
491,612
Net realized and unrealized gain on investments
1,216,538
Other operating credits (charges)
42,221
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -9-
1,439,409
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
180,650
Net realized gain from investments sold
724,926
Change in net unrealized appreciation (depreciation) on investments
491,612 42,221
Other operating credits (charges)
1,439,409
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
11,685,238 11,131,719 553,519
Increase in net assets from participant transactions Total increase in net assets
1,992,928
Net assets at beginning of year
8,119,712 $ 10,112,640
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -10-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Alger Spectra A Fund (Cost $7,567,948)
Shares
Fair Value
737,721
$ 10,121,526
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - All Cap Growth $ 10,121,526
$ 10,121,526
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,306,163 and $2,529,162, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -11-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class R1 Class R2 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 29,586 12,791 867,170 55,562 125,455 23,044 47,610 42,161 2,173 464 25,191 7,748 1,347,122 724,622 2,083,849 2,271,968 2,215,576 1,049,222 436,227 12,925 296,841 7,931 11,685,238
Redemptions (338,243) (733,842) (2,788,322) (1,925,196) (2,379,962) (384,329) (76,176) (171,779) (37,732) (39,348) (307,002) (83,200) (107,698) (27,198) (342,622) (168,310) (227,855) (238,777) (71,534) (156,297) (476,693) (49,604) $ (11,131,719)
$
Units
$
$
Net change (308,657) (721,051) (1,921,152) (1,869,634) (2,254,507) (361,285) (28,566) (129,618) (35,559) (38,884) (281,811) (75,452) 1,239,424 697,424 1,741,227 2,103,658 1,987,721 810,445 364,693 (143,372) (179,852) (41,673) 553,519
Purchases 1,485 983 42,051 2,646 6,013 1,167 4,270 3,585 212 30 1,883 703 118,648 74,687 194,872 208,726 210,285 99,373 40,803 980 23,147 736 1,037,285
Redemptions (16,797) (53,824) (136,874) (96,235) (117,866) (19,878) (6,975) (13,875) (3,585) (2,264) (22,435) (7,198) (9,597) (2,801) (30,596) (14,768) (21,071) (21,161) (6,222) (11,944) (36,636) (4,586) (657,188)
The accompanying notes are an integral part of these financial statements. -12-
Net change (15,312) (52,841) (94,823) (93,589) (111,853) (18,711) (2,705) (10,290) (3,373) (2,234) (20,552) (6,495) 109,051 71,886 164,276 193,958 189,214 78,212 34,581 (10,964) (13,489) (3,850) 380,097
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Alger Spectra Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (g) Class J (h) Class M (f) Class N (f) Class O (e) Class R1 (i) Class R2 (j) Class R4 (k) Class R5 Class R6 (l) Class R7 Class R8 Class S (m) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 18.4729 11.7918 18.9056 19.1493 18.7437 17.8214 9.5277 10.8052 9.1828 14.9935 11.9982 9.9174 10.0000 10.0000 10.0000 10.0737 10.0000 9.8791 9.9126 11.7441 11.1149 9.4086
Net Investment Income (Loss)(a) $ 0.0965 0.2326 0.4541 0.5312 0.5839 0.6260 0.3587 0.2943 0.4249 0.1440 0.1663 0.1886 0.0827 0.0892 0.2036 0.2587 0.2845 0.3319 0.3725 0.1357 0.2830 0.2705
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5400 1.8284 2.8161 2.6143 2.5867 2.3544 1.0266 1.2940 0.9845 2.2398 1.7162 1.4675 1.5500 0.1156 1.2184 1.5544 1.2374 1.4069 1.3526 1.2061 1.6294 1.1373
Total from Investment Activities $ 1.6365 2.0610 3.2702 3.1455 3.1706 2.9804 1.3853 1.5883 1.4094 2.3838 1.8825 1.6561 1.6327 0.2048 1.4220 1.8131 1.5219 1.7388 1.7251 1.3418 1.9124 1.4078
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.6327 10.2048 11.4220 11.8868 11.5219 11.6179 11.6377 -
Total Return 8.86 17.48 17.30 16.43 16.92 16.72 14.54 14.70 15.35 15.90 15.69 16.70 16.33 2.05 14.22 18.00 15.22 17.60 17.40 11.43 17.21 14.96
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through May 24, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through August 10, 2012
(h)
For the period from January 1, 2012 through December 10, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from March 29, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through July 2, 2012
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.25)% (0.91)% (1.11)% (1.28)% (1.44)% (1.62)% (1.76)% (1.27)% (2.15)% (0.45)% (0.64)% (0.88)% (0.38)% (0.44)% (0.95)% (1.18)% (1.32)% (1.55)% (1.73)% (0.55)% (1.17)% (1.34)%
The accompanying notes are an integral part of these financial statements. -13-
Net Investment Income (Loss) 0.50 % 1.81 % 2.21 % 2.56 % 2.87 % 3.24 % 3.51 % 2.54 % 4.30 % 0.89 % 1.29 % 1.76 % 0.76 % 0.88 % 1.90 % 2.36 % 2.64 % 3.09 % 3.46 % 1.09 % 2.34 % 2.67 %
FMT/American Beacon Large Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 19,703,775
Liabilities 12,853
Fees payable
$ 19,690,922
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 786,436 161,374 171,195 124,833 155,765 217,579 3,569 55,860
NAV per Unit $ 11.5446 $ 11.7893 $ 11.8298 $ 12.2758 $ 11.9421 $ 11.9201 $ 11.4493 $ 11.7631
Net Assets $ 9,079,119 1,902,499 2,025,202 1,532,420 1,860,154 2,593,575 40,864 657,089 $ 19,690,922
The accompanying notes are an integral part of these financial statements. -14-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
441,109
171,085 6,188 1,200 178,473
Net investment income
262,636
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,589,632 3,375,252
Net realized gain from investments sold
214,380
Change in net unrealized appreciation (depreciation) on investments
2,454,406
Net realized and unrealized gain on investments
2,668,786
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -15-
2,931,422
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
262,636 214,380
Change in net unrealized appreciation (depreciation) on investments
2,454,406
Net increase in net assets resulting from operations
2,931,422
Participant transactions Proceeds from units purchased Less payments for units redeemed
22,688,470 22,471,206 217,264
Increase in net assets from participant transactions Total increase in net assets
3,148,686 16,542,236
Net assets at beginning of year
$ 19,690,922
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -16-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Beacon Large Cap Value Institutional Fund (Cost $18,042,333)
Shares
Fair Value
910,526
$ 19,703,775
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Value
Total
Level 1
$ 19,703,775
$ 19,703,775
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,068,892 and $3,589,632, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -17-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U
$
$
Purchases 12,096 97,229 472,295 537,281 182,593 94,240 94,192 1,123 60,571 37,484 48,042 8,920,729 3,477,116 2,204,735 1,674,167 1,651,453 2,483,728 49,163 579,297 4,385 6,551 22,688,470
Redemptions (3,116,028) (1,059,222) (2,764,890) (4,752,984) (2,827,113) (542,283) (1,262,929) (15,985) (304,275) (460,952) (814,598) (435,501) (2,540,425) (462,760) (584,460) (74,388) (266,916) (13,607) (76,230) (79,076) (16,584) $ (22,471,206)
$
Units
$
$
Net change (3,103,932) (961,993) (2,292,595) (4,215,703) (2,644,520) (448,043) (1,168,737) (14,862) (243,704) (423,468) (766,556) 8,485,228 936,691 1,741,975 1,089,707 1,577,065 2,216,812 35,556 503,067 (74,691) (10,033) 217,264
Purchases 975 7,519 37,054 42,926 14,804 7,491 7,845 94 5,259 2,565 4,733 783,239 335,234 196,462 149,937 148,145 229,317 4,867 53,080 354 512 2,032,412
Redemptions (255,395) (81,257) (213,716) (371,704) (230,117) (43,282) (103,104) (1,342) (25,413) (29,856) (79,070) (38,345) (225,847) (40,640) (48,862) (6,430) (24,149) (1,298) (6,624) (6,563) (1,282) (1,834,296)
The accompanying notes are an integral part of these financial statements. -18-
Net change (254,420) (73,738) (176,662) (328,778) (215,313) (35,791) (95,259) (1,248) (20,154) (27,291) (74,337) 744,894 109,387 155,822 101,075 141,715 205,168 3,569 46,456 (6,209) (770) 198,116
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Large Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class N (f) Class O (e) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 (g) Class R8 Class S (h) Class U (f)
NAV per Unit, Beginning of Period $ 11.7945 11.6528 11.5095 11.3750 11.2387 11.1050 10.9703 10.7801 10.5952 13.5527 9.2147 9.7337 9.9618 10.0129 10.4079 10.1422 10.1407 10.0000 10.0410 11.2490 11.5417
Net Investment Income (Loss)(a) $ 0.1090 0.1379 0.1679 0.1976 0.2272 0.2531 0.2802 0.2898 0.3231 0.1361 0.1269 0.0615 0.0967 0.1274 0.1644 0.1890 0.2165 0.2309 0.2727 0.0953 0.2402
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.8942 1.8194 1.8111 1.7551 1.6156 1.5941 1.5414 1.0602 1.3191 1.7148 1.4247 1.7494 1.7308 1.6895 1.7035 1.6109 1.5629 1.2184 1.4494 0.9425 1.2532
Total from Investment Activities $ 2.0032 1.9573 1.9790 1.9527 1.8428 1.8472 1.8216 1.3500 1.6422 1.8509 1.5516 1.8109 1.8275 1.8169 1.8679 1.7999 1.7794 1.4493 1.7221 1.0378 1.4934
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.5446 11.7893 11.8298 12.2758 11.9421 11.9201 11.4493 11.7631 -
Total Return 16.98 16.80 17.19 17.17 16.40 16.63 16.60 12.52 15.50 13.66 16.84 18.60 18.35 18.15 17.95 17.75 17.55 14.49 17.15 9.23 12.94
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.74)% (0.91)% (1.09)% (1.27)% (1.43)% (1.60)% (1.72)% (1.92)% (0.64)% (0.86)% (0.39)% (0.60)% (0.79)% (0.98)% (1.16)% (1.33)% (1.46)% (1.70)% (0.55)% (1.33)%
Net Investment Income (Loss) 0.85 % 1.09 % 1.34 % 1.60 % 1.87 % 2.10 % 2.36 % 2.53 % 2.83 % 0.94 % 1.27 % 0.58 % 0.89 % 1.17 % 1.45 % 1.71 % 1.96 % 2.15 % 2.50 % 0.81 % 1.95 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 1, 2012 through July 2, 2012
The accompanying notes are an integral part of these financial statements. -19-
FMT/American Beacon Small Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,733,612
Liabilities 3,711
Fees payable $
Net assets
5,729,901
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 173,956 21,824 131,617 42,205 64,336 15,783 9,670 16,079
NAV per Unit $ 13.3495 $ 10.8426 $ 10.7795 $ 11.5841 $ 12.2288 $ 11.3624 $ 11.5337 $ 11.5524
$
$
The accompanying notes are an integral part of these financial statements. -20-
Net Assets 2,322,226 236,625 1,418,776 488,905 786,754 179,333 111,535 185,747 5,729,901
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
224,767
58,857 2,299 1,200 62,356
Net investment income
162,411
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,888,599 2,583,807
Net realized gain from investments sold
304,792
Change in net unrealized appreciation (depreciation) on investments
411,982
Net realized and unrealized gain on investments
716,774
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -21-
879,185
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
162,411
Net realized gain from investments sold
304,792
Change in net unrealized appreciation (depreciation) on investments
411,982
Net increase in net assets resulting from operations
879,185
Participant transactions Proceeds from units purchased Less payments for units redeemed
6,434,530 8,403,981 (1,969,451)
Decrease in net assets from participant transactions Total decrease in net assets
(1,090,266) 6,820,167
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -22-
5,729,901
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) American Beacon Small Cap Value Institutional Fund (Cost $4,984,014)
269,184
Fair Value
$
5,733,612
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Value
$
Level 1
5,733,612
$
5,733,612
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,079,840 and $2,888,599, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -23-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class M Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 55,851 18,563 48,454 77,801 216,421 55,846 20,078 28,082 813 10,427 75,359 197 2,176,277 253,267 1,473,872 527,055 663,753 408,387 125,575 173,660 16,613 8,179 6,434,530
Redemptions (661,628) (888,372) (1,139,108) (685,425) (1,312,477) (227,738) (396,873) (189,227) (6,599) (424) (250,014) (904,389) (74,475) (77) (262,425) (39,934) (107,115) (316,902) (61,247) (286,809) (131,330) (53,931) (387,287) (20,175) $ (8,403,981)
$
Units
$
$
Net change (605,777) (869,809) (1,090,654) (607,624) (1,096,056) (171,892) (376,795) (161,145) (5,786) (424) (239,587) (829,030) (74,278) (77) 1,913,852 213,333 1,366,757 210,153 602,506 121,578 (5,755) 119,729 (370,674) (11,996) (1,969,451)
Purchases 4,087 1,377 3,541 5,691 15,933 4,143 1,532 2,213 61 818 6,672 20 169,647 25,870 142,156 47,534 58,292 40,414 11,899 16,418 1,486 850 560,654
Redemptions (47,665) (62,270) (81,317) (50,818) (101,875) (18,278) (30,196) (14,623) (494) (34) (19,362) (80,094) (7,302) (6) (21,022) (4,046) (10,539) (28,734) (5,264) (26,787) (12,208) (4,737) (33,244) (1,975) (662,890)
The accompanying notes are an integral part of these financial statements. -24-
Net change (43,578) (60,893) (77,776) (45,127) (85,942) (14,135) (28,664) (12,410) (433) (34) (18,544) (73,422) (7,282) (6) 148,625 21,824 131,617 18,800 53,028 13,627 (309) 11,681 (31,758) (1,125) (102,236)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Beacon Small Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class M (f) Class N (g) Class O (h) Class Q (c) Class R1 Class R2 (i) Class R3 (j) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 12.9294 12.7845 12.6425 12.5009 12.3608 12.2228 12.0861 11.8745 12.0320 11.4021 11.7901 10.2620 9.5112 11.5247 11.5032 10.0000 10.0000 10.0376 10.6142 9.8791 10.0450 10.0782 10.4661 9.2115
Net Investment Income (Loss)(a) $ 0.2069 0.2710 0.3287 0.3804 0.4376 0.4931 0.5423 0.6377 0.7061 0.0474 0.1436 0.1799 0.0198 0.1234 0.1506 0.1896 0.2730 0.3440 0.3673 0.4250 0.4770 0.2934 0.3057
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4214 1.3138 1.3299 1.1846 1.0047 1.0459 0.9058 0.6880 0.6159 1.1046 1.0134 0.8439 0.6681 1.6219 1.7229 0.6920 0.5899 1.2735 1.2706 1.1160 1.0637 0.9972 0.9771 0.8368
Total from Investment Activities $ 1.6283 1.5848 1.6586 1.5650 1.4423 1.5390 1.4481 1.3257 1.3220 1.1520 1.1570 1.0238 0.6879 1.6219 1.8463 0.8426 0.7795 1.5465 1.6146 1.4833 1.4887 1.4742 1.2705 1.1425
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.3495 10.8426 10.7795 11.5841 12.2288 11.3624 11.5337 11.5524 -
Total Return 12.59 12.40 13.12 12.52 11.67 12.59 11.98 11.16 10.99 10.10 9.81 9.98 7.23 14.07 16.05 8.43 7.80 15.41 15.21 15.01 14.82 14.63 12.14 12.40
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.77)% (0.94)% (1.10)% (1.28)% (1.46)% (1.63)% (1.95)% (2.14)% (0.15)% (0.45)% (0.64)% (0.08)% % (0.38)% (0.55)% (0.70)% (0.97)% (1.16)% (1.33)% (1.51)% (1.69)% (1.01)% (1.20)%
Net Investment Income (Loss) 1.51 % 2.00 % 2.44 % 2.86 % 3.34 % 3.79 % 4.23 % 5.09 % 5.56 % 0.40 % 1.16 % 1.67 % 0.20 % % 0.99 % 1.45 % 1.82 % 2.53 % 3.01 % 3.46 % 3.94 % 4.41 % 2.64 % 3.12 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 26, 2012
(h)
For the period from January 1, 2012 through January 31, 2012
(i)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -25-
FMT/American Century Mid Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 16,639,934
Liabilities 11,107
Fees payable
$ 16,628,827
Net assets Components of net assets
Class R1 Class R5 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 12 3,708
NAV per Unit $ 10.0751 $ 10.2541
Net Assets $ 117 38,023 6,731,387 1,217,115 1,853,511 2,693,134 2,382,734 790,631 489,529 393,225 39,421 $ 16,628,827
The accompanying notes are an integral part of these financial statements. -26-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
673,357
131,406 4,553 1,200 137,159
Net investment income
536,198
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,878,208 2,602,862
Net realized gain from investments sold
275,346
Change in net unrealized appreciation (depreciation) on investments
1,040,644
Net realized and unrealized gain on investments
1,315,990
Other operating credits (charges)
36,758
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -27-
1,888,946
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
536,198 275,346
Change in net unrealized appreciation (depreciation) on investments
1,040,644 36,758
Other operating credits (charges)
1,888,946
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
19,923,726 17,215,486 2,708,240
Increase in net assets from participant transactions Total increase in net assets
4,597,186 12,031,641
Net assets at beginning of year
$ 16,628,827
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -28-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Century Mid Cap Value Fund (Cost $15,076,256)
Shares
Fair Value
1,277,048
$ 16,639,934
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Mid Cap Value
Total
Level 1
$ 16,639,934
$ 16,639,934
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $6,160,428 and $2,878,208, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -29-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class R1 Class R5 Class T Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 116 37,222 109 154,866 122,531 584,867 709,797 318,695 196,842 175,612 11,058 72,615 42,702 23,625 75,214 46,358 383,445 3,674 68,360 6,829,647 989,362 1,819,438 2,636,439 2,502,042 899,332 521,073 440,224 133,124 87,082 33,336 4,919 19,923,726
Units
Redemptions $
$
144 111 711,051 746,729 2,136,816 3,155,238 1,546,150 923,104 783,110 62,957 248,825 167,400 75,944 271,558 319,684 1,488,911 94,852 503,878 475,293 396,728 168,189 476,748 493,508 218,131 161,627 84,821 641,691 703,272 153,201 5,815 17,215,486
$
$
Net change 116 37,078 (2) (556,185) (624,198) (1,551,949) (2,445,441) (1,227,455) (726,262) (607,498) (51,899) (176,210) (124,698) (52,319) (196,344) (273,326) (1,105,466) (91,178) (435,518) 6,354,354 592,634 1,651,249 2,159,691 2,008,534 681,201 359,446 355,403 (508,567) (616,190) (119,865) (896) 2,708,240
Purchases 12 3,722 11 3,745
Redemptions 14 11 25
The accompanying notes are an integral part of these financial statements. -30-
Net change 12 3,708 3,720
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Century Mid Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class R1 (b) Class R5 (c) Class T (d)
(a)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 6.6309 0.4691
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0751 (6.3758) (0.2389)
Total from Investment Activities $ 0.0751 0.2551 0.2302
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0751 10.2541 -
Total Return 0.75 % 2.55 % 2.30 %
Net Expenses % (15.67)% (1.11)%
Net Investment Income (Loss) % 65.48 % 4.64 %
Per unit amounts are based on average daily units outstanding
(b) For the period from December 13, 2012 (commencement of this class) through December 31, 2012 (c)
For the period from October 3, 2012 (commencement of this class) through December 31, 2012
(d) For the period from November 27, 2012 (commencement of this class) through December 12, 2012
The accompanying notes are an integral part of these financial statements. -31-
FMT/American Funds Amcap Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 10,045,109
Liabilities 6,008
Fees payable
$ 10,039,101
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 356,238 271,904 84,292 32,604 86,850 12,894 20,204 24,847
NAV per Unit $ 11.1360 $ 11.4278 $ 11.3022 $ 11.5426 $ 11.5226 $ 10.7903 $ 11.2277 $ 10.8288
Net Assets $ 3,967,058 3,107,253 952,686 376,331 1,000,745 139,128 226,841 269,059 $ 10,039,101
The accompanying notes are an integral part of these financial statements. -32-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
73,734
86,390 3,485 1,200 91,075
Net investment loss
(17,341)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,207,284 2,863,508
Net realized gain from investments sold
343,776
Change in net unrealized appreciation (depreciation) on investments
1,066,838
Net realized and unrealized gain on investments
1,410,614
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -33-
1,393,273
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(17,341) 343,776
Change in net unrealized appreciation (depreciation) on investments
1,066,838
Net increase in net assets resulting from operations
1,393,273
Participant transactions Proceeds from units purchased Less payments for units redeemed
8,709,584 10,374,610 (1,665,026)
Decrease in net assets from participant transactions Total decrease in net assets
(271,753) 10,310,854
Net assets at beginning of year
$ 10,039,101
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -34-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Funds AMCAP R6 Fund (Cost $8,461,600)
Shares
Fair Value
461,420
$ 10,045,109
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - All Cap Growth $ 10,045,109
$ 10,045,109
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,523,194 and $3,207,284, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -35-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 100,644 90,995 34,475 120,006 129,827 21,263 86,145 2,183 20,085 50 32,305 4,260 1,556 3,903,354 1,558,662 967,508 269,329 671,443 181,019 214,090 258,976 11,555 5,748 24,106 8,709,584
Redemptions (1,352,525) (1,359,743) (648,074) (1,237,695) (827,895) (207,313) (813,953) (127,234) (114,909) (4,758) (1,752,568) (97,043) (72,012) (25,883) (714,146) (66,665) (41,624) (162,011) (50,536) (8,991) (4,822) (326,101) (256,340) (101,769) $ (10,374,610)
$
Units
$
$
Net change (1,251,881) (1,268,748) (613,599) (1,117,689) (698,068) (186,050) (727,808) (125,051) (94,824) (4,708) (1,720,263) (92,783) (70,456) 3,877,471 844,516 900,843 227,705 509,432 130,483 205,099 254,154 (314,546) (250,592) (77,663) (1,665,026)
Purchases 7,893 7,185 2,730 9,595 10,553 1,764 7,212 185 1,703 4 2,158 414 159 353,293 144,923 90,351 25,269 61,388 17,863 21,021 25,333 908 475 1,955 794,334
Redemptions (105,386) (106,144) (49,623) (96,109) (65,164) (16,534) (67,489) (10,706) (9,534) (445) (120,819) (9,479) (7,002) (2,345) (64,985) (6,059) (3,706) (14,668) (4,969) (817) (486) (24,723) (21,067) (8,319) (816,578)
The accompanying notes are an integral part of these financial statements. -36-
Net change (97,493) (98,959) (46,893) (86,514) (54,611) (14,770) (60,277) (10,521) (7,831) (441) (118,661) (9,065) (6,843) 350,948 79,938 84,292 21,563 46,720 12,894 20,204 24,847 (23,815) (20,592) (6,364) (22,244)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Amcap Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (g) Class O (e) Class P (h) Class R1 Class R2 Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 (i) Class R8 (k) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 11.7594 11.6330 11.5086 11.3851 11.2629 11.1408 11.0223 10.6873 10.7764 10.0980 13.8674 9.4842 9.3130 9.6276 9.9015 10.0000 10.0349 10.0345 10.0000 10.0000 10.0000 11.7951 11.1596 11.3413
Net Investment Income (Loss)(a) $ (0.0140) (0.0177) (0.0218) (0.0256) (0.0295) (0.0329) (0.0366) (0.0374) (0.0424) (0.0443) (0.0095) (0.0169) (0.0014) (0.0080) (0.0125) (0.0159) (0.0202) (0.0240) (0.0239) (0.0302) (0.0318) (0.0245) (0.0269) (0.0304)
Net Realized and Unrealized Gains from Investments(a) $ 1.7005 1.6650 1.7398 1.7222 1.6043 1.6348 1.6185 1.2344 1.4319 1.3379 0.8650 1.3840 0.9550 1.5164 1.5388 1.3181 1.5279 1.5121 0.8142 1.2579 0.8606 1.6618 1.6825 1.3480
Total from Investment Activities $ 1.6865 1.6473 1.7180 1.6966 1.5748 1.6019 1.5819 1.1970 1.3895 1.2936 0.8555 1.3671 0.9536 1.5084 1.5263 1.3022 1.5077 1.4881 0.7903 1.2277 0.8288 1.6373 1.6556 1.3176
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.1360 11.4278 11.3022 11.5426 11.5226 10.7903 11.2277 10.8288 -
Total Return 14.34 14.16 14.93 14.90 13.98 14.38 14.35 11.20 12.89 12.81 6.17 14.41 10.24 15.67 15.41 13.02 15.02 14.83 7.90 12.28 8.29 13.88 14.84 11.62
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.75)% (0.93)% (1.10)% (1.29)% (1.45)% (1.63)% (1.74)% (1.94)% (2.16)% (0.35)% (0.87)% (0.07)% (0.40)% (0.61)% (0.78)% (0.98)% (1.17)% (1.21)% (1.49)% (1.60)% (1.02)% (1.18)% (1.33)%
Net Investment Income (Loss) (0.11)% (0.14)% (0.18)% (0.21)% (0.24)% (0.28)% (0.31)% (0.33)% (0.37)% (0.41)% (0.07)% (0.17)% (0.01)% (0.08)% (0.12)% (0.15)% (0.19)% (0.22)% (0.23)% (0.28)% (0.30)% (0.19)% (0.22)% (0.25)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 22, 2012
(h)
For the period from January 1, 2012 through February 17, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -37-
FMT/American Funds Bond Fund of America Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$
5,044,983 757 5,045,740
Liabilities 2,835
Fees payable $
Net assets
5,042,905
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 195,109 121,447 50,850 55,535 26,458 3,683 157 13,916
NAV per Unit $ 11.2412 $ 10.5280 $ 10.5282 $ 10.3809 $ 10.3562 $ 10.4458 $ 10.2665 $ 10.4268
$
$
The accompanying notes are an integral part of these financial statements. -38-
Net Assets 2,193,258 1,278,597 535,361 576,504 274,000 38,470 1,612 145,103 5,042,905
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
158,222
46,153 1,996 1,200 49,349
Net investment income
108,873
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,871,742 2,721,516
Net realized gain from investments sold
150,226
Change in net unrealized appreciation (depreciation) on investments
31,944
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
182,170 $
The accompanying notes are an integral part of these financial statements. -39-
291,043
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
108,873 150,226 31,944
Change in net unrealized appreciation (depreciation) on investments
291,043
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
6,529,216 7,835,076 (1,305,860)
Decrease in net assets from participant transactions Total decrease in net assets
(1,014,817) 6,057,722
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -40-
5,042,905
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) American Funds Bond Fund of America R6 Fund (Cost $4,792,644)
389,574
Fair Value
$
5,044,983
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Core Bond
$
Level 1
5,044,983
$
5,044,983
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,676,456 and $2,871,742, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -41-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 77,347 256,345 157,751 124,978 16,470 72,039 67,571 3,911 2,567 15,230 20,707 2,172,350 1,688,934 531,436 785,431 269,996 107,715 1,572 143,259 1,481 12,126 6,529,216
Redemptions (2,391,336) (1,113,127) (813,532) (777,366) (168,164) (481,675) (885,302) (8,820) (29,471) (57,261) (222,149) (2,394) (477,848) (10,409) (220,668) (4,478) (70,709) (1,494) (19,455) (79,418) $ (7,835,076)
$
Units
$
$
Net change (2,313,989) (856,782) (655,781) (652,388) (151,694) (409,636) (817,731) (4,909) (26,904) (42,031) (201,442) 2,169,956 1,211,086 521,027 564,763 265,518 37,006 1,572 141,765 (17,974) (67,292) (1,305,860)
Purchases 6,081 20,251 12,732 10,121 1,367 5,979 5,667 330 223 1,484 1,774 193,650 167,648 51,845 77,038 26,892 10,583 157 14,060 142 1,087 609,111
Redemptions (188,510) (87,334) (65,304) (62,549) (13,790) (39,704) (74,511) (736) (2,594) (5,440) (18,653) (217) (46,201) (995) (21,503) (434) (6,900) (144) (1,856) (7,014) (644,389)
The accompanying notes are an integral part of these financial statements. -42-
Net change (182,429) (67,083) (52,572) (52,428) (12,423) (33,725) (68,844) (406) (2,371) (3,956) (16,879) 193,433 121,447 50,850 55,535 26,458 3,683 157 13,916 (1,714) (5,927) (35,278)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Bond Fund of America Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R3 (h) Class R4 (i) Class R5 (j) Class R6 (k) Class R7 (l) Class R8 (m) Class S (n) Class T (d)
NAV per Unit, Beginning of Period $ 12.3972 12.2641 12.1326 12.0023 11.8734 11.7460 11.6084 11.4712 11.2440 10.0290 11.4120 10.6285 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.3231 10.8653
Net Investment Income (Loss)(a) $ 0.1604 0.2068 0.2539 0.2977 0.3398 0.3812 0.4255 0.5070 0.5490 0.1439 0.2241 0.0947 0.1346 0.1779 0.2024 0.2373 0.2869 0.2267 0.3653 0.0696 0.2870
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.5480 0.4746 0.3909 0.3015 0.2248 0.1838 0.0955 (0.0044) (0.0734) 0.3980 0.3639 0.5180 0.3934 0.3503 0.1785 0.1189 0.1589 0.0398 0.0615 0.0929 0.2479
Total from Investment Activities $ 0.7084 0.6814 0.6448 0.5992 0.5646 0.5650 0.5210 0.5026 0.4756 0.5419 0.5880 0.6127 0.5280 0.5282 0.3809 0.3562 0.4458 0.2665 0.4268 0.1625 0.5349
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2412 10.5280 10.5282 10.3809 10.3562 10.4458 10.2665 10.4268 -
Total Return 5.71 5.56 5.31 4.99 4.76 4.81 4.49 4.38 4.23 5.40 5.15 5.76 5.28 5.28 3.81 3.56 4.46 2.67 4.27 1.57 4.92
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.10)% (1.27)% (1.44)% (1.62)% (1.96)% (2.17)% (0.63)% (0.87)% (0.39)% (0.59)% (0.79)% (0.90)% (1.06)% (1.27)% (1.01)% (1.62)% (0.30)% (1.17)%
Net Investment Income (Loss) 1.26 % 1.64 % 2.04 % 2.42 % 2.80 % 3.17 % 3.58 % 4.33 % 4.78 % 1.40 % 1.91 % 0.87 % 1.31 % 1.73 % 1.99 % 2.33 % 2.81 % 2.24 % 3.58 % 0.67 % 2.58 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period January 1, 2012 through December 10, 2012
(c)
For the period January 1, 2012 through December 11, 2012
(d)
For the period January 1, 2012 through December 12, 2012
(e)
For the period January 1, 2012 through December 13, 2012
(f)
For the period January 1, 2012 through November 27, 2012
(g)
For the period January 12, 2012 (commencement of this class) through December 31, 2012
(h)
For the period January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period February 1, 2012 (commencement of this class) through December 31, 2012
(j)
For the period February 3, 2012 (commencement of this class) through December 31, 2012
(k)
For the period January 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period May 1, 2012 (commencement of this class) through December 31, 2012
(m)
For the period January 24, 2012 (commencement of this class) through December 31, 2012
(n)
For the period January 1, 2012 through April 12, 2012
The accompanying notes are an integral part of these financial statements. -43-
FMT/American Funds Capital Income Builder Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,919,439
Liabilities 3,060
Fees payable $
Net assets
5,916,379
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R7 Class R8
Units of Participation 384,237 11,039 49,960 38,374 75,101 3,701 2,857
NAV per Unit $ 10.1666 $ 11.1169 $ 11.1841 $ 11.0786 $ 11.0600 $ 11.2053 $ 10.9455
$
$
The accompanying notes are an integral part of these financial statements. -44-
Net Assets 3,906,397 122,718 558,764 425,134 830,623 41,475 31,268 5,916,379
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
273,713
46,818 2,131 1,200 50,149
Net investment income
223,564
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,424,116 2,297,354
Net realized gain from investments sold
126,762
Change in net unrealized appreciation (depreciation) on investments
276,633
Net realized and unrealized gain on investments
403,395
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -45-
626,959
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
223,564
Net realized gain from investments sold
126,762
Change in net unrealized appreciation (depreciation) on investments
276,633
Net increase in net assets resulting from operations
626,959
Participant transactions Proceeds from units purchased Less payments for units redeemed
10,548,194 11,665,934 (1,117,740)
Decrease in net assets from participant transactions Total decrease in net assets
(490,781) 6,407,160
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -46-
5,916,379
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) American Funds Capital Income Builder R6 Fund (Cost $5,457,453)
112,174
Fair Value
$
5,919,439
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Moderate Balanced
$
Level 1
5,919,439
$
5,919,439
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,528,753 and $2,424,116, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -47-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 34,359 95 180,887 18,251 39,325 5,024 94,411 2,183 9,092 3,898,963 3,537,523 869,564 811,337 911,342 6,288 60,451 34,797 761 33,541 10,548,194
Redemptions (2,812,737) (573,314) (976,572) (1,178,230) (191,862) (44,836) (167,406) (21,834) (376,248) (10,908) (3,702,981) (391,377) (443,118) (148,277) (6,433) (54,235) (6,252) (116,680) (442,634) $ (11,665,934)
$
Units
$
$
Net change (2,778,378) (573,219) (795,685) (1,159,979) (152,537) (39,812) (72,995) (19,651) (367,156) 3,888,055 (165,458) 478,187 368,219 763,065 (145) 6,216 28,545 (115,919) (409,093) (1,117,740)
Purchases 3,429 9 16,137 1,836 3,822 469 7,682 189 642 385,309 350,672 86,041 80,650 89,525 629 5,708 3,458 68 2,713 1,038,988
Redemptions (206,880) (56,682) (91,221) (120,290) (18,525) (4,194) (13,058) (1,838) (26,711) (1,072) (339,633) (36,081) (42,276) (14,424) (629) (5,225) (601) (10,375) (34,589) (1,024,304)
The accompanying notes are an integral part of these financial statements. -48-
Net change (203,451) (56,673) (75,084) (118,454) (14,703) (3,725) (5,376) (1,649) (26,069) 384,237 11,039 49,960 38,374 75,101 483 2,857 (10,307) (31,876) 14,684
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Capital Income Builder Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class A (c) Class B (d) Class C (e) Class D (f) Class E (g) Class F (e) Class G (f) Class H (h) Class O (g) Class R1 (i) Class R2 (j) Class R3 (k) Class R4 (j) Class R5 (j) Class R6 (l) Class R7 Class R8 (m) Class S (n) Class T (f)
NAV per Unit, Beginning of Period $ 13.6178 10.0000 10.1612 10.3871 9.6562 9.5659 10.2910 11.7871 10.9492 13.4861 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.1356 10.0000 11.1754 11.8355
Net Investment Income (Loss)(a) $ 0.0140 0.0799 0.0079 0.4596 0.4947 0.5723 0.6957 0.9001 0.8796 0.5490 0.0159 0.2838 0.3692 0.4544 0.5403 0.0531 0.7446 0.7360 0.0321 0.6506
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0264) (0.1089) (0.0570) 0.6970 0.5838 0.4447 0.3955 0.3503 0.0523 0.9414 0.1507 0.8331 0.8149 0.6242 0.5197 0.1771 0.3251 0.2095 0.0386 0.6593
Total from Investment Activities $ (0.0124) (0.0290) (0.0491) 1.1566 1.0785 1.0170 1.0912 1.2504 0.9319 1.4904 0.1666 1.1169 1.1841 1.0786 1.0600 0.2302 1.0697 0.9455 0.0707 1.3099
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1666 11.1169 11.1841 11.0786 11.0600 11.2053 10.9455 -
Total Return (0.09)% (0.29)% (0.48)% 11.13 % 11.17 % 10.63 % 10.60 % 10.61 % 8.51 % 11.05 % 1.67 % 11.17 % 11.84 % 10.79 % 10.60 % 2.30 % 10.55 % 9.45 % 0.63 % 11.07 %
Net Expenses (0.02)% (0.18)% (0.02)% (0.94)% (1.09)% (1.27)% (1.44)% (1.63)% (1.73)% (0.87)% (0.04)% (0.60)% (0.78)% (0.97)% (1.15)% (0.12)% (1.57)% (1.58)% (0.06)% (1.17)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 11, 2012
(c)
For the period from March 1, 2012 (recommencement of this class) through June 15, 2012
(d)
For the period from January 1, 2012 through January 6, 2012
(e)
For the period from January 1, 2012 through December 11, 2012
(f)
For the period from January 1, 2012 through December 12, 2012
(g)
For the period from January 1, 2012 through December 13, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from November 28, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 12, 2012 (commencement of this class) through February 10, 2012
(m)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through January 20, 2012
The accompanying notes are an integral part of these financial statements. -49-
Net Investment Income (Loss) 0.10 % 0.80 % 0.08 % 4.19 % 4.85 % 5.68 % 6.42 % 7.25 % 7.71 % 3.86 % 0.16 % 2.69 % 3.49 % 4.31 % 5.13 % 0.52 % 6.98 % 7.03 % 0.29 % 5.21 %
FMT/American Funds Europacific Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 41,631,479
Liabilities 25,063
Fees payable
$ 41,606,416
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,071,478 187,323 836,449 239,283 246,670 144,436 130,528 66,845
NAV per Unit $ 18.3441 $ 12.1968 $ 11.7525 $ 11.5249 $ 12.1336 $ 11.8986 $ 11.9505 $ 12.0701
Net Assets $ 19,655,357 2,284,731 9,830,332 2,757,713 2,992,990 1,718,581 1,559,882 806,830 $ 41,606,416
The accompanying notes are an integral part of these financial statements. -50-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
834,044
322,172 12,755 1,200 336,127
Net investment income
497,917
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,987,448 4,835,323
Net realized gain from investments sold
152,125
Change in net unrealized appreciation (depreciation) on investments
5,664,446
Net realized and unrealized gain on investments
5,816,571
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -51-
6,314,488
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
497,917 152,125
Change in net unrealized appreciation (depreciation) on investments
5,664,446
Net increase in net assets resulting from operations
6,314,488
Participant transactions Proceeds from units purchased Less payments for units redeemed
45,451,598 43,465,229 1,986,369
Increase in net assets from participant transactions Total increase in net assets
8,300,857 33,305,559
Net assets at beginning of year
$ 41,606,416
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -52-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Funds EuroPacific Growth R6 Fund (Cost $38,207,449)
Shares
Fair Value
1,010,964
$ 41,631,479
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Core Equity
Total
Level 1
$ 41,631,479
$ 41,631,479
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,470,945 and $4,987,448, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -53-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 46,576 2,182,409 905,592 528,429 581,261 70,596 63,134 245 67,288 10,622 30,528 90,561 21,704 149,569 18,802,986 2,591,916 9,861,691 2,787,593 2,553,915 1,655,388 1,655,445 641,998 103,885 40,012 8,255 45,451,598
Redemptions (2,858,043) (10,787,398) (7,775,230) (4,582,308) (3,140,151) (1,458,596) (915,391) (25,338) (552,808) (77,815) (535,522) (1,867,204) (609,412) (1,920,362) (1,293,150) (654,961) (1,242,072) (364,240) (180,427) (187,971) (632,246) (82,616) (879,873) (648,106) (193,989) $ (43,465,229)
$
Units
$
$
Net change (2,811,467) (8,604,989) (6,869,638) (4,053,879) (2,558,890) (1,388,000) (852,257) (25,093) (485,520) (67,193) (504,994) (1,776,643) (587,708) (1,770,793) 17,509,836 1,936,955 8,619,619 2,423,353 2,373,488 1,467,417 1,023,199 559,382 (775,988) (608,094) (185,734) 1,986,369
Purchases 3,552 159,252 68,048 40,556 48,368 5,616 4,960 25 5,430 1,018 3,552 6,385 2,210 13,867 1,074,118 244,188 950,215 271,772 237,001 155,292 156,614 57,064 10,259 3,457 801 3,523,620
Redemptions (217,624) (830,225) (572,534) (343,739) (249,080) (118,792) (71,940) (2,691) (43,582) (7,290) (60,868) (126,379) (61,568) (189,339) (76,644) (56,965) (113,766) (33,186) (15,743) (17,165) (55,538) (7,313) (83,983) (55,189) (20,294) (3,431,437)
The accompanying notes are an integral part of these financial statements. -54-
Net change (214,072) (670,973) (504,486) (303,183) (200,712) (113,176) (66,980) (2,666) (38,152) (6,272) (57,316) (119,994) (59,358) (175,472) 997,474 187,223 836,449 238,586 221,258 138,127 101,076 49,751 (73,724) (51,732) (19,493) 92,183
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Europacific Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (i)
NAV per Unit, Beginning of Period $ 12.4350 12.3027 12.1707 12.0406 11.3860 11.7846 11.6594 9.0566 11.4113 9.6287 8.0175 13.1563 9.1963 9.8335 15.3921 10.2566 10.0000 9.7241 10.2550 10.0734 10.1345 10.2531 9.3947 10.6503 9.2630
Net Investment Income (Loss)(a) $ 0.1121 0.1439 0.1760 0.2071 0.2269 0.2650 0.2935 0.1242 0.3469 0.3195 0.0790 0.1794 0.0704 0.1257 0.0935 0.0989 0.1223 0.1514 0.1870 0.2142 0.2422 0.2757 0.1474 0.1955 0.0908
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.9752 1.8986 1.9075 1.8521 1.6829 1.6871 1.6352 0.2141 1.4001 1.1369 1.0533 2.0853 1.2426 1.5695 2.8585 1.8413 1.6302 1.6494 1.6916 1.6110 1.5738 1.5413 1.3854 1.6175 0.0058
Total from Investment Activities $ 2.0873 2.0425 2.0835 2.0592 1.9098 1.9521 1.9287 0.3383 1.7470 1.4564 1.1323 2.2647 1.3130 1.6952 2.9520 1.9402 1.7525 1.8008 1.8786 1.8252 1.8160 1.8170 1.5328 1.8130 0.0966
Ratios (to average unit value)
NAV per Unit, End of Period $ 18.3441 12.1968 11.7525 11.5249 12.1336 11.8986 11.9505 12.0701 -
Total Return 16.79 16.60 17.12 17.10 16.77 16.56 16.54 3.74 15.31 15.13 14.12 17.21 14.28 17.24 19.18 18.92 17.53 18.52 18.32 18.12 17.92 17.72 16.32 17.02 1.04
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.07)% (1.24)% (1.40)% (1.57)% (0.91)% (1.91)% (2.08)% (0.62)% (0.85)% (0.48)% (0.79)% (0.37)% (0.59)% (0.76)% (0.96)% (1.13)% (1.32)% (1.48)% (1.67)% (0.98)% (1.14)% (0.66)%
Net Investment Income (Loss) 0.83 % 1.08 % 1.33 % 1.58 % 1.84 % 2.08 % 2.32 % 1.35 % 2.82 % 3.09 % 0.92 % 1.26 % 0.71 % 1.18 % 0.55 % 0.88 % 1.12 % 1.42 % 1.67 % 1.95 % 2.19 % 2.47 % 1.45 % 1.69 % 0.98 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through June 20, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 1, 2012 through June 7, 2012
The accompanying notes are an integral part of these financial statements. -55-
FMT/American Funds Growth Fund of America Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 63,170,834
Liabilities 41,931
Fees payable
$ 63,128,903
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 2,746,213 226,014 704,123 344,839 600,622 322,319 185,524 120,394
NAV per Unit $ 12.2155 $ 11.8853 $ 11.7757 $ 11.7546 $ 11.8152 $ 11.7937 $ 11.7780 $ 12.1958
Net Assets $ 33,546,422 2,686,256 8,291,535 4,053,458 7,096,491 3,801,323 2,185,114 1,468,304 $ 63,128,903
The accompanying notes are an integral part of these financial statements. -56-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
751,567
727,280 26,868 1,200 755,348
Net investment loss
(3,781)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
32,624,693 27,838,628
Net realized gain from investments sold
4,786,065
Change in net unrealized appreciation (depreciation) on investments
8,698,321
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
13,484,386 $ 13,480,605
The accompanying notes are an integral part of these financial statements. -57-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(3,781)
Net realized gain from investments sold
4,786,065
Change in net unrealized appreciation (depreciation) on investments
8,698,321 13,480,605
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
78,302,363 107,988,959
Decrease in net assets from participant transactions Total decrease in net assets
(29,686,596) (16,205,991) 79,334,894
Net assets at beginning of year
$ 63,128,903
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -58-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Funds Growth Fund of America R6 Fund (Cost $50,810,475)
Shares
Fair Value
1,839,570
$ 63,170,834
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Growth
Total
Level 1
$ 63,170,834
$ 63,170,834
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,905,449 and $32,624,693, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -59-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 207,060 464,805 1,756,398 938,822 1,032,136 592,710 529,772 23,411 255,338 58,431 46,618 12,143 17,607 1,376,431 65,085 40,588 33,869,270 4,172,636 11,201,298 5,367,635 7,241,817 4,737,730 2,230,039 1,685,247 218,778 100,249 60,309 78,302,363
Redemptions (4,542,330) (9,456,140) (19,727,775) (14,045,494) (11,714,189) (6,340,919) (5,474,165) (106,762) (1,969,158) (329,024) (891,637) (285,284) (1,006,617) (10,516,260) (390,988) (1,008,174) (2,729,505) (2,311,270) (4,221,242) (2,360,075) (1,446,485) (1,620,216) (699,231) (376,560) (1,562,371) (1,981,438) (875,650) $ (107,988,959)
$
Units
$
$
Net change (4,335,270) (8,991,335) (17,971,377) (13,106,672) (10,682,053) (5,748,209) (4,944,393) (83,351) (1,713,820) (270,593) (845,019) (273,141) (989,010) (9,139,829) (325,903) (967,586) 31,139,765 1,861,366 6,980,056 3,007,560 5,795,332 3,117,514 1,530,808 1,308,687 (1,343,593) (1,881,189) (815,341) (29,686,596)
Purchases 16,888 37,227 143,635 77,292 85,377 49,304 44,883 2,088 22,584 5,571 4,401 1,198 1,787 135,074 5,266 3,243 2,807,129 394,504 1,044,054 504,507 677,648 443,287 209,007 149,760 18,345 8,228 4,975 6,897,262
Redemptions (365,327) (758,803) (1,570,376) (1,139,559) (957,592) (527,189) (450,986) (9,288) (166,977) (30,575) (83,654) (29,131) (99,557) (1,011,247) (32,847) (80,400) (235,602) (206,607) (381,110) (218,195) (131,132) (146,861) (62,570) (32,718) (128,137) (163,799) (70,935) (9,091,174)
The accompanying notes are an integral part of these financial statements. -60-
Net change (348,439) (721,576) (1,426,741) (1,062,267) (872,215) (477,885) (406,103) (7,200) (144,393) (25,004) (79,253) (27,933) (97,770) (876,173) (27,581) (77,157) 2,571,527 187,897 662,944 286,312 546,516 296,426 146,437 117,042 (109,792) (155,571) (65,960) (2,193,912)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Growth Fund of America Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (f) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 11.3095 11.1882 11.0684 10.9495 10.8321 10.7161 10.6014 10.4808 10.3753 9.4488 9.6494 9.0733 9.0760 9.3236 11.1671 11.3598 10.1359 9.8835 9.8090 9.8078 9.8751 9.8737 9.8772 10.2448 10.8390 11.0152 10.8478
Net Investment Income (Loss)(a) $ (0.0004) (0.0005) (0.0006) (0.0006) (0.0007) (0.0008) (0.0009) (0.0010) (0.0011) (0.0011) (0.0002) (0.0002) (0.0003) (0.0004) (0.0003) (0.0005) (0.0002) (0.0003) (0.0004) (0.0005) (0.0006) (0.0007) (0.0008) (0.0010) (0.0006) (0.0007) (0.0008)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.1173 2.0736 2.1339 2.1169 1.9993 2.0053 1.9893 1.6425 1.7875 1.6104 1.6490 1.5458 1.5268 1.7629 1.8964 2.2049 2.0798 2.0021 1.9671 1.9473 1.9407 1.9207 1.9016 1.9520 1.9778 2.1210 1.7460
Total from Investment Activities $ 2.1169 2.0731 2.1333 2.1163 1.9986 2.0045 1.9884 1.6415 1.7864 1.6093 1.6488 1.5456 1.5265 1.7625 1.8961 2.2044 2.0796 2.0018 1.9667 1.9468 1.9401 1.9200 1.9008 1.9510 1.9772 2.1203 1.7452
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.2155 11.8853 11.7757 11.7546 11.8152 11.7937 11.7780 12.1958 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
Total Return 18.72 18.53 19.27 19.33 18.45 18.71 18.76 15.66 17.22 17.03 17.09 17.03 16.82 18.90 16.98 19.41 20.52 20.25 20.05 19.85 19.65 19.45 19.24 19.04 18.24 19.25 16.09
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.08)% (1.26)% (1.42)% (1.59)% (1.70)% (1.93)% (2.11)% (0.38)% (0.43)% (0.62)% (0.84)% (0.48)% (0.79)% (0.39)% (0.60)% (0.79)% (0.97)% (1.15)% (1.33)% (1.52)% (1.69)% (1.00)% (1.15)% (1.31)%
The accompanying notes are an integral part of these financial statements. -61-
Net Investment Income (Loss) % % % (0.01)% (0.01)% (0.01)% (0.01)% (0.01)% (0.01)% (0.01)% % % % % % % % % % % (0.01)% (0.01)% (0.01)% (0.01)% % (0.01)% (0.01)%
FMT/American Funds New Perspective Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 17,135,941
Liabilities 10,106
Fees payable
$ 17,125,835
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 592,497 161,941 242,414 117,288 128,296 44,870 18,425 23,462
NAV per Unit $ 13.8926 $ 12.4868 $ 11.8908 $ 11.7854 $ 12.4217 $ 11.8320 $ 11.8126 $ 11.3132
Net Assets $ 8,231,304 2,022,130 2,882,494 1,382,279 1,593,657 530,899 217,647 265,425 $ 17,125,835
The accompanying notes are an integral part of these financial statements. -62-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
236,901
148,314 5,475 1,200 154,989
Net investment income
81,912
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,973,991 2,660,947
Net realized gain from investments sold
313,044
Change in net unrealized appreciation (depreciation) on investments
2,460,061
Net realized and unrealized gain on investments
2,773,105
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -63-
2,855,017
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
81,912 313,044
Change in net unrealized appreciation (depreciation) on investments
2,460,061
Net increase in net assets resulting from operations
2,855,017
Participant transactions Proceeds from units purchased Less payments for units redeemed
19,485,832 19,677,708 (191,876)
Decrease in net assets from participant transactions Total increase in net assets
2,663,141 14,462,694
Net assets at beginning of year
$ 17,125,835
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -64-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) American Funds New Perspective R6 Fund (Cost $14,479,168)
Shares
Fair Value
548,350
$ 17,135,941
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Global Core Equity
Total
Level 1
$ 17,135,941
$ 17,135,941
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,862,795 and $2,973,991, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -65-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Schedule of Participant Transactions December 31, 2012
Partcipant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 178,054 61,455 419,470 436,336 293,967 77,050 224,238 22,308 2,882 3,841 31,581 1,354,896 8,247,954 1,605,626 2,822,505 1,313,980 1,320,100 508,037 209,975 302,003 3,444 46,016 114 19,485,832
Redemptions (1,395,299) (1,643,941) (2,846,010) (3,536,458) (1,577,336) (802,455) (1,028,577) (38,608) (119,099) (62,902) (658,319) (3,617,312) (595,193) (252,395) (266,740) (100,865) (165,081) (41,310) (16,866) (64,845) (204,064) (620,368) (23,665) $ (19,677,708)
$
Units
$
$
Net change (1,217,245) (1,582,486) (2,426,540) (3,100,122) (1,283,369) (725,405) (804,339) (16,300) (116,217) (59,061) (626,738) (2,262,416) 7,652,761 1,353,231 2,555,765 1,213,115 1,155,019 466,727 193,109 237,158 (200,620) (574,352) (23,551) (191,876)
Purchases 12,460 4,366 30,259 31,499 21,115 5,638 17,459 2,174 220 330 3,110 115,170 604,911 147,770 265,948 126,483 114,666 48,494 19,949 29,571 353 3,943 10 1,605,898
Redemptions (102,932) (122,960) (201,156) (251,945) (113,787) (56,691) (74,983) (3,525) (8,721) (5,289) (62,254) (284,454) (46,726) (22,078) (23,534) (9,195) (14,163) (3,624) (1,524) (6,109) (20,388) (50,939) (2,224) (1,489,201)
The accompanying notes are an integral part of these financial statements. -66-
Net change (90,472) (118,594) (170,897) (220,446) (92,672) (51,053) (57,524) (1,351) (8,501) (4,959) (59,144) (169,284) 558,185 125,692 242,414 117,288 100,503 44,870 18,425 23,462 (20,035) (46,996) (2,214) 116,697
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds New Perspective Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 Class R3 (g) Class R4 (h) Class R5 Class R6 (g) Class R7 (g) Class R8 (i) Class S (j) Class T (d) Class U (k)
NAV per Unit, Beginning of Period $ 12.9514 12.8128 12.6755 12.5401 12.4040 12.2735 12.1419 9.5073 11.8833 10.7262 9.2274 11.1346 11.5081 10.3663 10.0000 10.0000 10.3645 10.0000 10.0000 10.0000 9.2377 10.6729 10.4775
Net Investment Income (Loss)(a) $ 0.0418 0.0541 0.0666 0.0785 0.0898 0.1007 0.1118 0.0932 0.1318 0.1288 0.0333 0.0552 0.0264 0.0366 0.0447 0.0545 0.0697 0.0750 0.0847 0.0875 0.0086 0.0711 0.0363
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3817 2.3193 2.3624 2.3246 2.2078 2.1815 2.1458 1.3562 1.9132 1.6971 1.4804 2.0623 2.3581 2.0839 1.8461 1.7309 1.9875 1.7570 1.7279 1.2257 1.0631 1.9658 0.1291
Total from Investment Activities $ 2.4235 2.3734 2.4290 2.4031 2.2976 2.2822 2.2576 1.4494 2.0450 1.8259 1.5137 2.1175 2.3845 2.1205 1.8908 1.7854 2.0572 1.8320 1.8126 1.3132 1.0717 2.0369 0.1654
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.8926 12.4868 11.8908 11.7854 12.4217 11.8320 11.8126 11.3132 -
Total Return 18.71 18.52 19.16 19.16 18.52 18.59 18.59 15.25 17.21 17.02 16.40 19.02 20.72 20.46 18.91 17.85 19.85 18.32 18.13 13.13 11.60 19.08 1.58
% % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.91)% (1.08)% (1.25)% (1.42)% (1.59)% (1.72)% (1.93)% (2.09)% (0.63)% (0.86)% (0.39)% (0.61)% (0.77)% (0.95)% (1.16)% (1.30)% (1.47)% (1.55)% (0.17)% (1.15)% (0.65)%
Net Investment Income (Loss) 0.30 % 0.39 % 0.48 % 0.57 % 0.66 % 0.75 % 0.84 % 0.91 % 1.02 % 1.11 % 0.33 % 0.45 % 0.21 % 0.32 % 0.41 % 0.50 % 0.61 % 0.69 % 0.78 % 0.82 % 0.09 % 0.61 % 0.34 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 1, 2012 through February 24, 2012
(k)
For the period from January 1, 2012 through June 4, 2012
The accompanying notes are an integral part of these financial statements. -67-
FMT/American Funds Small Cap World Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,805,176
Liabilities 3,686
Fees payable $
Net assets
5,801,490
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 361,924 68,939 3,781 3,788 34,222 964 55,788 3,134
NAV per Unit $ 10.4698 $ 11.8831 $ 12.0338 $ 12.1876 $ 11.4436 $ 11.9239 $ 11.8481 $ 11.8871
$
$
The accompanying notes are an integral part of these financial statements. -68-
Net Assets 3,789,267 819,210 45,503 46,162 391,618 11,499 660,982 37,249 5,801,490
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
101,414
61,797 2,130 1,200 65,127
Net investment income
36,287
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,221,862 1,982,151
Net realized gain from investments sold
239,711
Change in net unrealized appreciation (depreciation) on investments
899,298
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
1,139,009 $
The accompanying notes are an integral part of these financial statements. -69-
1,175,296
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
36,287
Net realized gain from investments sold
239,711
Change in net unrealized appreciation (depreciation) on investments
899,298 1,175,296
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
5,890,851 7,399,915 (1,509,064)
Decrease in net assets from participant transactions Total decrease in net assets
(333,768) 6,135,258
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -70-
5,801,490
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) American Funds Small Cap World R6 Fund (Cost $4,906,990)
145,639
Fair Value $
5,805,176
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Core Equity
$
Level 1
5,805,176
$
5,805,176
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $747,220 and $2,221,862, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -71-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 19,338 17,483 132,061 10,859 162,983 83,334 141,063 7,588 403 2,258 4,022,972 127,763 85,669 26,945 396,944 22,654 584,418 32,609 3,239 7,343 2,925 5,890,851
Redemptions (291,605) (413,732) (1,270,779) (462,383) (1,628,740) (1,041,739) (728,711) (93,013) (9,461) (12,871) (342,441) (495,720) (48,461) (4,993) (36,098) (14,174) (212,227) (66) (118,498) (149,721) (24,482) $ (7,399,915)
$
Units
$
$
Net change (272,267) (396,249) (1,138,718) (451,524) (1,465,757) (958,405) (587,648) (85,425) (9,058) (10,613) 3,680,531 (367,957) 37,208 21,952 360,846 8,480 372,191 32,543 (115,259) (142,378) (21,557) (1,509,064)
Purchases 1,392 1,252 9,488 835 12,060 6,281 10,531 677 37 125 395,035 11,597 8,056 2,366 37,640 2,229 56,385 3,140 275 595 253 560,249
Redemptions (19,986) (28,818) (86,925) (34,290) (115,615) (79,154) (53,342) (8,183) (876) (681) (35,214) (46,432) (4,275) (457) (3,418) (1,265) (18,926) (6) (10,547) (11,978) (2,277) (562,665)
The accompanying notes are an integral part of these financial statements. -72-
Net change (18,594) (27,566) (77,437) (33,455) (103,555) (72,873) (42,811) (7,506) (839) (556) 359,821 (34,835) 3,781 1,909 34,222 964 37,459 3,134 (10,272) (11,383) (2,024) (2,416)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Small Cap World Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class O (e) Class R1 Class R2 Class R3 (g) Class R4 Class R5 (h) Class R6 (i) Class R7 Class R8 (j) Class S (k) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.5844 12.4495 12.3165 12.1850 12.0546 11.9256 11.7981 10.1201 9.6180 15.9544 8.5826 9.7622 10.0000 10.0462 10.0000 10.0000 9.8159 10.0000 10.4152 10.8569 10.3052
Net Investment Income (Loss)(a) $ 0.0448 0.0577 0.0703 0.0822 0.0950 0.1061 0.1175 0.1204 0.0374 0.0858 0.0213 0.0370 0.0477 0.0610 0.0653 0.0811 0.0927 0.1034 0.0279 0.0784 0.0837
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3288 2.2669 2.2909 2.2242 2.0992 2.1126 2.0485 1.6363 1.5837 2.8894 1.8659 2.0839 1.9861 2.0804 1.3783 1.8428 1.9395 1.7837 0.7918 1.9681 1.5787
Total from Investment Activities $ 2.3736 2.3246 2.3612 2.3064 2.1942 2.2187 2.1660 1.7567 1.6211 2.9752 1.8872 2.1209 2.0338 2.1414 1.4436 1.9239 2.0322 1.8871 0.8197 2.0465 1.6624
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.4698 11.8831 12.0338 12.1876 11.4436 11.9239 11.8481 11.8871 -
Total Return 18.86 18.67 19.17 18.93 18.20 18.60 18.36 17.36 16.85 18.65 21.99 21.73 20.34 21.32 14.44 19.24 20.70 18.87 7.87 18.85 16.13
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.76)% (0.94)% (1.11)% (1.30)% (1.46)% (1.64)% (1.97)% (0.64)% (0.88)% (0.40)% (0.61)% (0.78)% (0.98)% (1.09)% (1.33)% (1.54)% (1.70)% (0.46)% (1.18)% (1.35)%
Net Investment Income (Loss) 0.33 % 0.42 % 0.52 % 0.62 % 0.72 % 0.81 % 0.91 % 1.10 % 0.36 % 0.49 % 0.22 % 0.34 % 0.43 % 0.55 % 0.61 % 0.74 % 0.86 % 0.94 % 0.26 % 0.66 % 0.75 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through May 25, 2012
The accompanying notes are an integral part of these financial statements. -73-
FMT/American Funds Washington Mutual Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,337,930
Liabilities 3,245
Fees payable $
Net assets
7,334,685
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 505,019 83,621 20,947 20,712 29,919 3,907 2,183 3,929
NAV per Unit $ 10.9126 $ 11.0523 $ 11.0654 $ 11.0153 $ 10.9967 $ 11.4210 $ 10.7594 $ 10.7795
$
$
The accompanying notes are an integral part of these financial statements. -74-
Net Assets 5,511,058 924,204 231,789 228,151 329,015 44,624 23,493 42,351 7,334,685
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
143,365
38,117 1,584 1,200 40,901
Net investment income
102,464
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
603,500 537,332
Net realized gain from investments sold
66,168
Change in net unrealized appreciation (depreciation) on investments
456,740
Net realized and unrealized gain on investments
522,908
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -75-
625,372
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
102,464 66,168
Change in net unrealized appreciation (depreciation) on investments
456,740
Net increase in net assets resulting from operations
625,372
Participant transactions Proceeds from units purchased Less payments for units redeemed
11,411,029 7,835,796 3,575,233
Increase in net assets from participant transactions Total increase in net assets
4,200,605
Net assets at beginning of year
3,134,080 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -76-
7,334,685
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) American Funds Washington Mutual R6 Fund (Cost $6,637,531)
235,115
Fair Value
$
7,337,930
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
7,337,930
$
7,337,930
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,282,362 and $603,500, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -77-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class L Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 8,114 68 110,298 46,771 27,501 3,049 151,597 269 147,406 5,257 64,685 5,558,157 4,381,797 268,099 219,083 320,874 25,440 24,473 40,965 6,781 345 11,411,029
Redemptions (1,413,178) (46,804) (1,176,833) (559,336) (33,121) (37,184) (195,869) (3,911) (156,858) (45,194) (66,408) (87,170) (3,776,516) (45,904) (1,522) (3,263) (23,205) (2,703) (1,118) (156,180) (3,519) $ (7,835,796)
$
Units
$
$
Net change (1,405,064) (46,736) (1,066,535) (512,565) (5,620) (34,135) (44,272) (3,642) (9,452) (39,937) (1,723) 5,470,987 605,281 222,195 217,561 317,611 2,235 21,770 39,847 (149,399) (3,174) 3,575,233
Purchases 809 6 9,119 3,791 2,624 259 12,792 23 14,488 485 6,441 512,982 430,139 25,365 20,851 30,215 2,377 2,431 4,034 583 32 1,079,846
Redemptions (117,612) (4,437) (93,596) (44,683) (2,931) (3,226) (16,123) (345) (14,488) (3,997) (6,441) (7,963) (346,518) (4,418) (139) (296) (2,134) (248) (105) (12,986) (335) (683,021)
The accompanying notes are an integral part of these financial statements. -78-
Net change (116,803) (4,431) (84,477) (40,892) (307) (2,967) (3,331) (322) (3,512) 505,019 83,621 20,947 20,712 29,919 243 2,183 3,929 (12,403) (303) 396,825
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/American Funds Washington Mutual Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class A (c) Class B (d) Class C (e) Class D (f) Class E (g) Class F (e) Class G (f) Class L (h) Class N (i) Class O (g) Class Q (j) Class R1 (k) Class R2 (l) Class R3 (m) Class R4 (l) Class R5 (l) Class R6 Class R7 (n) Class R8 (o) Class S (p) Class T (q)
NAV per Unit, Beginning of Period $ 11.7970 10.0000 10.4238 11.2973 11.4204 10.1733 11.1759 11.0591 11.0055 10.0000 10.1482 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.2528 10.0000 10.0000 10.9368 10.1618
Net Investment Income (Loss)(a) $ 0.0062 0.0455 0.0046 0.2801 0.3362 0.3471 0.4232 0.4794 0.0589 0.1634 0.2366 0.1319 0.0590 0.1632 0.2100 0.2621 0.3142 0.3691 0.3803 0.2536 0.2967 0.1439
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2533 (0.1198) 0.1185 1.0809 1.0316 0.7774 0.8706 0.7856 0.2665 0.6669 0.9277 0.1788 0.8536 0.8891 0.8554 0.7532 0.6825 0.7991 0.3791 0.5259 0.9448 0.1806
Total from Investment Activities $ 0.2595 (0.0743) 0.1231 1.3610 1.3678 1.1245 1.2938 1.2650 0.3254 0.8303 1.1643 0.3107 0.9126 1.0523 1.0654 1.0153 0.9967 1.1682 0.7594 0.7795 1.2415 0.3245
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 12, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.9126 11.0523 11.0654 11.0153 10.9967 11.4210 10.7594 10.7795 -
(c)
For the period from March 1, 2012 (recommencement of this class) through June 15, 2012
(d)
For the period from January 1, 2012 through January 6, 2012
(e)
For the period from January 1, 2012 through December 11, 2012
(f)
For the period from January 1, 2012 through December 12, 2012
(g)
For the period from January 1, 2012 through December 13, 2012
Total Return 2.20 % (0.74)% 1.18 % 12.05 % 11.98 % 11.05 % 11.58 % 11.44 % 2.96 % 8.30 % 11.47 % 3.11 % 9.13 % 10.52 % 10.65 % 10.15 % 9.97 % 11.39 % 7.59 % 7.80 % 11.35 % 3.19 %
(h)
For the period from January 1, 2012 through June 7, 2012
(i)
For the period from January 10, 2012 (commencement of this class) through November 27, 2012
(j)
For the period from May 2, 2012 (commencement of this class) through December 11, 2012
(k)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from January 1, 2012 through December 10, 2012
(q)
For the period from January 1, 2012 through June 8, 2012
Net Expenses (0.02)% (0.18)% (0.02)% (0.93)% (1.11)% (1.29)% (1.43)% (1.64)% (0.21)% (0.63)% (0.88)% (0.52)% (0.23)% (0.62)% (0.80)% (1.00)% (1.19)% (1.36)% (1.46)% (0.97)% (1.02)% (0.56)%
The accompanying notes are an integral part of these financial statements. -79-
Net Investment Income (Loss) 0.05 % 0.46 % 0.04 % 2.34 % 2.78 % 3.23 % 3.58 % 4.10 % 0.53 % 1.57 % 2.21 % 1.30 % 0.56 % 1.55 % 1.99 % 2.49 % 2.99 % 3.41 % 3.66 % 2.44 % 2.57 % 1.39 %
FMT/Artisan International Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 11,566,239
Liabilities 8,489
Fees payable
$ 11,557,750
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 366,486 54,221 26,453 148,359 99,447 184,048 52,498 10,810
NAV per Unit $ 12.1106 $ 13.0060 $ 12.2272 $ 12.2844 $ 12.5334 $ 12.1725 $ 12.4718 $ 11.7289
Net Assets $ 4,438,346 705,198 323,442 1,822,503 1,246,409 2,240,318 654,750 126,784 $ 11,557,750
The accompanying notes are an integral part of these financial statements. -80-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
128,370
120,721 4,049 1,200 125,970
Net investment income
2,400
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,358,530 4,345,509
Net realized gain from investments sold
13,021
Change in net unrealized appreciation (depreciation) on investments
2,410,952
Net realized and unrealized gain on investments
2,423,973
Other operating credits (charges)
38,527
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -81-
2,464,900
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
2,400 13,021
Change in net unrealized appreciation (depreciation) on investments
2,410,952 38,527
Other operating credits (charges)
2,464,900
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,848,128 15,118,544 (2,270,416)
Decrease in net assets from participant transactions Total increase in net assets
194,484 11,363,266
Net assets at beginning of year
$ 11,557,750
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -82-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Artisan International Investment Fund (Cost $10,442,549)
Shares
Fair Value
470,364
$ 11,566,239
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Growth
Total
Level 1
$ 11,566,239
$ 11,566,239
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,127,018 and $4,358,530, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -83-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 261,168 23,779 91,091 143,690 189,757 178,114 30,578 24,756 15,731 5,823 2,684 20,322 1,390 20,875 3,938 17,128 4,342,463 801,291 471,613 1,768,621 1,322,440 2,285,307 587,487 175,641 39,133 23,195 113 12,848,128
Redemptions (1,272,659) (315,665) (973,718) (2,527,001) (2,840,348) (2,159,196) (571,813) (289,983) (178,172) (66,110) (10,831) (306,547) (565,607) (370,549) (81,834) (197,222) (258,012) (299,701) (191,952) (329,323) (278,962) (403,384) (76,247) (75,298) (175,909) (301,952) (549) $ (15,118,544)
$
Units
$
$
Net change (1,011,491) (291,886) (882,627) (2,383,311) (2,650,591) (1,981,082) (541,235) (265,227) (162,441) (60,287) (8,147) (286,225) (564,217) (349,674) (77,896) (180,094) 4,084,451 501,590 279,661 1,439,298 1,043,478 1,881,923 511,240 100,343 (136,776) (278,757) (436) (2,270,416)
Purchases 13,361 1,501 4,906 6,578 10,018 9,942 1,752 2,304 1,092 565 250 1,865 126 2,511 410 1,401 369,241 70,925 43,001 169,672 122,987 216,536 55,513 17,508 3,593 2,067 11 1,129,636
Redemptions (63,254) (19,454) (49,749) (118,778) (147,918) (125,525) (31,277) (26,317) (11,792) (5,960) (925) (25,897) (50,292) (44,747) (8,190) (15,330) (22,408) (24,327) (16,548) (28,682) (23,730) (35,442) (6,696) (6,698) (15,959) (25,900) (51) (951,846)
The accompanying notes are an integral part of these financial statements. -84-
Net change (49,893) (17,953) (44,843) (112,200) (137,900) (115,583) (29,525) (24,013) (10,700) (5,395) (675) (24,032) (50,166) (42,236) (7,780) (13,929) 346,833 46,598 26,453 140,990 99,257 181,094 48,817 10,810 (12,366) (23,833) (40) 177,790
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Artisan International Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (g) Class O (e) Class P (f) Class Q (h) Class R1 Class R2 Class R3 (i) Class R4 Class R5) Class R6 Class R7 Class R8 (j) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 18.4698 14.0437 16.8448 19.8442 17.0167 16.1202 15.9488 9.6888 13.0944 9.1665 9.6863 9.8794 11.0005 7.6122 8.5958 10.7290 9.6639 10.4011 10.0000 9.8574 10.0739 9.8005 10.0582 10.0000 9.8636 10.0298 8.9843
Net Investment Income (Loss)(a) $ 0.0374 0.0369 0.0551 0.0770 0.0768 0.0814 0.0913 0.0582 0.0893 0.0690 0.0132 0.0154 0.0008 0.0234 0.0148 0.0236 0.0137 0.0231 0.0271 0.0347 0.0425 0.0476 0.0556 0.0547 0.0352 0.0415 0.0339
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 4.1739 3.1374 3.7957 4.4807 3.7637 3.5100 3.4777 1.8194 2.6933 1.8612 2.0067 2.0388 0.1688 1.7297 1.7679 2.1185 2.4330 2.5818 2.2001 2.3923 2.4170 2.3244 2.3580 1.6742 2.1664 2.2538 1.7729
Total from Investment Activities $ 4.2113 3.1743 3.8508 4.5577 3.8405 3.5914 3.5690 1.8776 2.7826 1.9302 2.0199 2.0542 0.1696 1.7531 1.7827 2.1421 2.4467 2.6049 2.2272 2.4270 2.4595 2.3720 2.4136 1.7289 2.2016 2.2953 1.8068
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.1106 13.0060 12.2272 12.2844 12.5334 12.1725 12.4718 11.7289 -
Total Return 22.80 22.60 22.86 22.97 22.57 22.28 22.38 19.38 21.25 21.06 20.85 20.79 1.54 23.03 20.74 19.97 25.32 25.04 22.27 24.62 24.41 24.20 24.00 17.29 22.32 22.88 20.11
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.07)% (1.25)% (1.40)% (1.59)% (1.68)% (1.90)% (2.10)% (0.38)% (0.43)% (0.02)% (0.85)% (0.48)% (0.61)% (0.39)% (0.61)% (0.75)% (0.96)% (1.16)% (1.33)% (1.52)% (1.55)% (0.99)% (1.14)% (1.06)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through January 11, 2012
(h)
For the period from January 1, 2012 through September 21, 2012
(i)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -85-
Net Investment Income (Loss) 0.18 % 0.24 % 0.29 % 0.35 % 0.41 % 0.45 % 0.51 % 0.55 % 0.62 % 0.68 % 0.12 % 0.14 % 0.01 % 0.28 % 0.16 % 0.20 % 0.13 % 0.20 % 0.24 % 0.31 % 0.38 % 0.43 % 0.49 % 0.50 % 0.32 % 0.37 % 0.34 %
FMT/BlackRock Global Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 20,914,315
Liabilities 12,562
Fees payable
$ 20,901,753
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R8
Units of Participation 558,544 399,423 369,938 354,594 79,105 79,654 15,535
NAV per Unit $ 12.0248 $ 11.0481 $ 10.8005 $ 11.0851 $ 10.5236 $ 10.7338 $ 10.2209
Net Assets $ 6,716,400 4,412,885 3,995,530 3,930,701 832,471 854,983 158,783 $ 20,901,753
The accompanying notes are an integral part of these financial statements. -86-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
248,461
169,535 7,090 1,200 177,825
Net investment income
70,636
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,640,534 3,558,330
Net realized gain from investments sold
82,204
Change in net unrealized appreciation (depreciation) on investments
1,615,255
Net realized and unrealized gain on investments
1,697,459
Other operating credits (charges)
82,899
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -87-
1,850,994
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
70,636 82,204
Change in net unrealized appreciation (depreciation) on investments
1,615,255 82,899
Other operating credits (charges)
1,850,994
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
23,104,826 23,101,675 3,151
Increase in net assets from participant transactions Total increase in net assets
1,854,145 19,047,608
Net assets at beginning of year
$ 20,901,753
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -88-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Blackrock Global Allocation Investor Class A Fund (Cost $19,934,227)
Shares
Fair Value
1,059,489
$ 20,914,315
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Tactical Asset Allocation
Total
Level 1
$ 20,914,315
$ 20,914,315
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,796,323 and $3,640,534, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -89-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions for the year ended December 31, 2012, by class, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 201,766 36,763 261,125 163,184 27,372 717,448 90,110 116,606 120 10,539 13,694 211,817 317,807 41,580 10,309 6,656,485 4,466,170 5,526,817 2,285,295 815,652 848,192 36,967 171,734 22,817 52,116 2,341 23,104,826
Redemptions (3,502,951) (3,967,284) (2,815,828) (1,459,235) (245,719) (1,345,908) (498,121) (271,756) (3,537) (97,064) (77,800) (1,807,835) (2,323,348) (166,001) (451,532) (336,488) (308,477) (1,825,735) (879,242) (8,262) (34,044) (34,975) (15,175) (347,715) (231,856) (45,787) $ (23,101,675)
$
Units
$
$
Net change (3,301,185) (3,930,521) (2,554,703) (1,296,051) (218,347) (628,460) (408,011) (155,150) (3,417) (86,525) (64,106) (1,596,018) (2,005,541) (124,421) (441,223) 6,319,997 4,157,693 3,701,082 1,406,053 807,390 814,148 1,992 156,559 (324,898) (179,740) (43,446) 3,151
Purchases 19,585 3,505 21,869 13,173 2,482 58,133 8,680 10,557 12 957 1,366 17,783 29,447 4,249 987 561,735 424,671 542,014 217,446 79,924 81,615 3,697 17,086 1,972 4,825 229 2,127,999
Redemptions (332,455) (377,257) (237,374) (115,647) (22,298) (106,057) (47,319) (24,131) (348) (8,678) (7,543) (153,542) (208,530) (16,802) (42,411) (29,205) (28,575) (172,076) (81,604) (819) (3,287) (3,697) (1,551) (29,884) (20,552) (4,372) (2,076,014)
The accompanying notes are an integral part of these financial statements. -90-
Net change (312,870) (373,752) (215,505) (102,474) (19,816) (47,924) (38,639) (13,574) (336) (7,721) (6,177) (135,759) (179,083) (12,553) (41,424) 532,530 396,096 369,938 135,842 79,105 78,328 15,535 (27,912) (15,727) (4,143) 51,985
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/BlackRock Global Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 (h) Class R6 Class R7 (i) Class R8 (j) Class S (b) Class T (d) Class U (k)
NAV per Unit, Beginning of Period $ 9.9647 10.2311 11.2940 11.9378 10.4896 11.8352 9.8451 10.5209 9.5448 10.4009 9.7151 11.3756 10.4738 9.2394 9.9540 10.9290 10.0634 10.0000 10.1312 10.0000 9.8436 10.0000 10.0000 10.9535 10.4471 10.0553
Net Investment Income (Loss)(a) $ 0.0516 0.0693 0.0927 0.1165 0.1198 0.1520 0.1417 0.1816 0.1776 0.0361 0.0376 0.0636 0.0809 0.0401 0.0713 0.0380 0.0551 0.0691 0.0884 0.0948 0.1172 0.0393 0.1251 0.0976 0.1087 0.0079
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8023 0.7898 0.8733 0.9032 0.7236 0.7988 0.6482 0.5749 0.4942 0.7479 0.6901 0.7661 0.8039 0.6473 0.7913 1.0578 0.9296 0.7314 0.8655 0.4288 0.7730 (0.5782) 0.0958 0.7929 0.7765 0.4094
Total from Investment Activities $ 0.8539 0.8591 0.9660 1.0197 0.8434 0.9508 0.7899 0.7565 0.6718 0.7840 0.7277 0.8297 0.8848 0.6874 0.8626 1.0958 0.9847 0.8005 0.9539 0.5236 0.8902 (0.5389) 0.2209 0.8905 0.8852 0.4173
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.0248 11.0481 10.8005 11.0851 10.5236 10.7338 10.2209 -
Total Return 8.57 % 8.40 % 8.55 % 8.54 % 8.04 % 8.03 % 8.02 % 7.19 % 7.04 % 7.54 % 7.49 % 7.29 % 8.45 % 7.44 % 8.67 % 10.03 % 9.78 % 8.01 % 9.42 % 5.24 % 9.04 % (5.39)% 2.21 % 8.13 % 8.47 % 4.15 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 16, 2012 (commencement of this class) through June 7, 2012
(j)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through January 23, 2012
Net Expenses (0.57)% (0.75)% (0.91)% (1.08)% (1.27)% (1.43)% (1.60)% (1.93)% (2.08)% (0.39)% (0.43)% (0.62)% (0.86)% (0.48)% (0.80)% (0.38)% (0.60)% (0.77)% (0.97)% (1.07)% (1.32)% (0.47)% (1.43)% (0.99)% (1.16)% (0.09)%
The accompanying notes are an integral part of these financial statements. -91-
Net Investment Income (Loss) 0.50 % 0.65 % 0.79 % 0.94 % 1.10 % 1.23 % 1.38 % 1.67 % 1.80 % 0.33 % 0.37 % 0.54 % 0.74 % 0.42 % 0.69 % 0.33 % 0.52 % 0.66 % 0.83 % 0.92 % 1.14 % 0.40 % 1.24 % 0.86 % 1.00 % 0.08 %
FMT/Calvert Income A Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Calvert Income A Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
35,810
18,356 932 300 19,588
Net investment income
16,222
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
7,096,851 7,214,426
Net realized loss from investments sold
(117,575)
Change in net unrealized appreciation (depreciation) on investments
146,563
Net realized and unrealized gain on investments
28,988
Other operating credits (charges)
3,041
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -92-
48,251
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Calvert Income A Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
16,222 (117,575)
Change in net unrealized appreciation (depreciation) on investments
146,563 3,041
Other operating credits (charges)
48,251
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,109,044 9,090,129 (6,981,085)
Decrease in net assets from participant transactions Total decrease in net assets
(6,932,834) 6,932,834
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -93-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Calvert Income A Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class R3 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 9,595 4,272 10,964 9,440 32,343 30,376 997 41,532 6,105 27 1,457,161 208,858 185,563 711 28,259 82,632 209 2,109,044
Redemptions (1,449,027) (586,084) (1,281,241) (615,112) (835,031) (912,680) (26,343) (909,839) (102,174) (270) (47,718) (1,471,610) (207,703) (187,262) (718) (28,358) (383,619) (45,340) $ (9,090,129)
$
Units
$
$
Net change (1,439,432) (581,812) (1,270,277) (605,672) (802,688) (882,304) (25,346) (868,307) (96,069) (243) (47,718) (14,449) 1,155 (1,699) (7) (99) (300,987) (45,131) (6,981,085)
Purchases 744 327 872 715 2,524 2,411 93 3,589 545 3 145,483 20,955 18,553 71 2,826 7,680 19 207,410
Redemptions (113,683) (44,813) (101,618) (46,747) (65,082) (72,801) (2,457) (78,545) (9,122) (27) (4,483) (145,483) (20,955) (18,553) (71) (2,826) (35,683) (4,304) (767,253)
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -94-
Net change (112,939) (44,486) (100,746) (46,032) (62,558) (70,390) (2,364) (74,956) (8,577) (24) (4,483) (28,003) (4,285) (559,843)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Calvert Income A Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (b) Class D (b) Class E (b) Class F (b) Class G (b) Class H (b) Class I (b) Class J (b) Class N (b) Class O (b) Class R3 (c) Class R5 (d) Class R6 (e) Class R7 (f) Class R8 (g) Class S (b) Class T (b)
NAV per Unit, Beginning of Period $ 12.7844 12.9987 12.4418 13.1174 12.7484 12.4839 10.6724 11.5335 11.1558 9.8611 10.5709 10.0000 10.0000 10.0000 10.0000 10.0000 10.6869 10.4689
Net Investment Income (Loss)(a) $ 0.0232 0.0281 0.0321 0.0392 0.0430 0.0472 0.0444 0.0527 0.0554 0.0096 0.0213 0.0165 0.0114 0.0211 0.0308 0.0037 0.0253 0.0285
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0669 0.0590 0.0466 0.0388 0.0279 0.0175 0.0068 (0.0018) (0.0104) 0.0666 0.0509 0.1002 (0.0995) 0.0723 0.0532 0.0314 0.0442 0.0360
Total from Investment Activities $ 0.0901 0.0871 0.0787 0.0780 0.0709 0.0647 0.0512 0.0509 0.0450 0.0762 0.0722 0.1167 (0.0881) 0.0934 0.0840 0.0351 0.0695 0.0645
Ratios (to average unit value)
NAV per Unit, End of Period $ -
Total Return 0.70 % 0.67 % 0.63 % 0.59 % 0.56 % 0.52 % 0.48 % 0.44 % 0.40 % 0.77 % 0.68 % 1.17 % (0.88)% 0.93 % 0.84 % 0.35 % 0.65 % 0.62 %
Net Expenses (0.18)% (0.22)% (0.26)% (0.30)% (0.34)% (0.38)% (0.42)% (0.46)% (0.50)% (0.10)% (0.20)% (0.17)% (0.12)% (0.21)% (0.31)% (0.04)% (0.24)% (0.28)%
Net Investment Income (Loss) 0.18 % 0.22 % 0.26 % 0.30 % 0.34 % 0.38 % 0.42 % 0.46 % 0.50 % 0.10 % 0.20 % 0.16 % 0.11 % 0.21 % 0.31 % 0.04 % 0.24 % 0.27 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through March 22, 2012
(c)
For the period from January 6, 2012 (commencement of this class) through March 22, 2012
(d)
For the period from February 15, 2012 (commencement of this class) through March 22, 2012
(e)
For the period from January 25, 2012 (commencement of this class) through March 22, 2012
(f)
For the period from January 10, 2012 (commencement of this class) through March 22, 2012
(g)
For the period from March 15, 2012 (commencement of this class) through March 22, 2012
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -95-
FMT/Columbia Acorn Z Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 23,144,952
Liabilities 15,027
Fees payable
$ 23,129,925
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 712,883 43,052 555,713 119,493 184,878 112,188 60,917 38,098
$ $ $ $ $ $ $ $
NAV per Unit 14.3418 12.0874 11.5107 11.4502 11.4695 12.0918 11.5511 11.5481
$
$
The accompanying notes are an integral part of these financial statements. -96-
Net Assets 10,224,046 520,391 6,396,648 1,368,216 2,120,459 1,356,556 703,656 439,953 23,129,925
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,438,974
230,534 8,335 1,200 240,069
Net investment income
1,198,905
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
5,591,648 4,932,617
Net realized gain from investments sold
659,031
Change in net unrealized appreciation (depreciation) on investments
1,690,665
Net realized and unrealized gain on investments
2,349,696
Other operating credits (charges)
79,444
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -97-
3,628,045
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
1,198,905 659,031
Change in net unrealized appreciation (depreciation) on investments
1,690,665 79,444
Other operating credits (charges)
3,628,045
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
26,348,561 29,044,832 (2,696,271)
Decrease in net assets from participant transactions Total increase in net assets
931,774 22,198,151
Net assets at beginning of year
$ 23,129,925
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -98-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Columbia Acorn Z Fund (Cost $20,564,083)
Shares
Fair Value
760,097
$ 23,144,952
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Mid Cap Growth
Total
Level 1
$ 23,144,952
$ 23,144,952
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,169,830 and $5,591,648, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -99-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 248,245 205,071 655,659 219,342 186,789 287,113 178,530 130 140,164 15,575 54,769 3,242 21,367 23,662 154,344 10,105,258 735,651 6,553,093 1,336,671 2,130,369 1,370,004 989,894 516,259 159,156 42,851 15,353 26,348,561
Redemptions (2,142,705) (3,278,055) (6,735,824) (2,310,372) (2,480,987) (2,033,585) (1,521,031) (9,067) (1,031,115) (145,762) (955,152) (43,455) (487,311) (649,881) (21,227) (1,196,670) (193,422) (554,388) (809,416) (393,250) (233,460) (222,776) (409,517) (113,406) (469,265) (423,051) (180,682) $ (29,044,832)
$
Units
$
$
Net change (1,894,460) (3,072,984) (6,080,165) (2,091,030) (2,294,198) (1,746,472) (1,342,501) (8,937) (890,951) (130,187) (900,383) (40,213) (465,944) (626,219) (21,227) (1,042,326) 9,911,836 181,263 5,743,677 943,421 1,896,909 1,147,228 580,377 402,853 (310,109) (380,200) (165,329) (2,696,271)
Purchases 12,822 9,045 28,951 8,274 8,454 14,806 7,701 10 9,605 1,290 2,873 245 1,282 1,924 11,910 720,148 65,014 611,866 127,416 195,374 121,684 93,946 48,371 11,381 3,086 1,216 2,118,694
Redemptions (107,947) (142,695) (295,310) (86,519) (111,631) (106,546) (65,632) (697) (69,487) (12,093) (51,577) (3,305) (28,457) (53,769) (1,949) (100,340) (13,673) (47,712) (73,644) (35,794) (21,217) (19,506) (37,432) (10,273) (33,166) (31,382) (13,896) (1,575,649)
The accompanying notes are an integral part of these financial statements. -100-
Net change (95,125) (133,650) (266,359) (78,245) (103,177) (91,740) (57,931) (687) (59,882) (10,803) (48,704) (3,060) (27,175) (51,845) (1,949) (88,430) 706,475 17,302 538,222 91,622 174,157 102,178 56,514 38,098 (21,785) (28,296) (12,680) 543,045
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Columbia Acorn Z Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (g) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 17.5424 20.4921 20.3859 23.8734 19.8180 17.6057 20.7103 12.0026 13.2011 10.9585 17.0457 11.9091 15.2476 11.2714 9.6059 11.5305 12.1677 10.2774 9.8037 9.7686 9.8016 10.3508 9.9049 10.0000 12.5031 12.4376 11.7719
Net Investment Income (Loss)(a) $ 0.5788 0.8780 1.0804 1.5028 1.4444 1.4520 1.9138 0.6059 1.4688 1.3244 0.3783 0.2996 0.5500 0.5599 0.2683 0.5409 0.2832 0.3608 0.4467 0.5481 0.6553 0.7969 0.8628 0.9596 0.7228 0.8336 0.8830
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.0298 2.1319 2.0263 2.0828 1.3736 1.1341 1.0823 0.3964 0.3023 0.1261 1.9171 1.2970 1.4631 1.0919 1.0145 1.5156 1.8909 1.4492 1.2603 1.1335 1.0126 0.9441 0.7834 0.5885 1.0787 1.0283 0.5872
Total from Investment Activities $ 2.6086 3.0099 3.1067 3.5856 2.8180 2.5861 2.9961 1.0023 1.7711 1.4505 2.2954 1.5966 2.0131 1.6518 1.2828 2.0565 2.1741 1.8100 1.7070 1.6816 1.6679 1.7410 1.6462 1.5481 1.8015 1.8619 1.4702
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.3418 12.0874 11.5107 11.4502 11.4695 12.0918 11.5511 11.5481 -
Total Return 14.87 14.69 15.24 15.02 14.22 14.69 14.47 8.35 13.42 13.24 13.47 13.41 13.20 14.65 13.35 17.84 17.87 17.61 17.41 17.21 17.02 16.82 16.62 15.48 14.41 14.97 12.49
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.75)% (0.92)% (1.10)% (1.28)% (1.44)% (1.62)% (0.91)% (1.96)% (2.13)% (0.39)% (0.44)% (0.64)% (0.87)% (0.49)% (0.81)% (0.40)% (0.61)% (0.79)% (0.97)% (1.16)% (1.33)% (1.51)% (1.67)% (1.01)% (1.17)% (1.33)%
Net Investment Income (Loss) 3.07 % 3.99 % 4.92 % 5.86 % 6.80 % 7.68 % 8.62 % 4.85 % 10.43 % 11.34 % 2.08 % 2.36 % 3.38 % 4.63 % 2.62 % 4.31 % 2.14 % 3.23 % 4.19 % 5.17 % 6.16 % 7.10 % 8.04 % 8.91 % 5.39 % 6.24 % 7.06 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through June 30, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -101-
FMT/Delaware High Yield Opportunity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$
5,367,957 5,451 5,373,408
Liabilities 2,699
Fees payable $
Net assets
5,370,709
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 290,346 8,608 28,444 24,614 26,535 11,255 3,420 1,900
NAV per Unit $ 14.3540 $ 11.5532 $ 11.2526 $ 11.4078 $ 11.7890 $ 11.4327 $ 11.7717 $ 11.0472
$
$
The accompanying notes are an integral part of these financial statements. -102-
Net Assets 4,167,640 99,451 320,072 280,796 312,823 128,674 40,260 20,993 5,370,709
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
326,234
44,843 1,496 1,200 47,539
Net investment income
278,695
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,133,411 1,094,066
Net realized gain from investments sold
39,345
Change in net unrealized appreciation (depreciation) on investments
344,801
Net realized and unrealized gain on investments
384,146
Other operating credits (charges)
13,291
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -103-
676,132
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
278,695 39,345
Change in net unrealized appreciation (depreciation) on investments
344,801 13,291
Other operating credits (charges)
676,132
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
6,804,110 5,656,906 1,147,204
Increase in net assets from participant transactions Total increase in net assets
1,823,336
Net assets at beginning of year
3,547,373 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -104-
5,370,709
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (99.9%) Delaware High Yield Opportunities A Fund (Cost $5,060,207)
1,260,084
Fair Value $
5,367,957
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - High Yield Bond
$
Level 1
5,367,957
$
5,367,957
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,573,613 and $1,133,411, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -105-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U
$
$
Purchases 57,780 79,321 34,095 425,773 105,739 665,005 35,390 11 32,541 455 935 18,308 14,853 8,658 4,051,923 109,299 380,574 337,966 263,684 123,027 1,996 20,248 18,934 17,595 6,804,110
Redemptions (136,330) (364,201) (379,507) (1,323,394) (588,679) (1,008,497) (156,508) (1,760) (258,891) (5,374) (112,380) (398,320) (121,981) (27,616) (232,575) (20,298) (82,400) (76,784) (5,785) (435) (4,492) (649) (218,629) (131,421) $ (5,656,906)
$
Units
$
$
Net change (78,550) (284,880) (345,412) (897,621) (482,940) (343,492) (121,118) (1,749) (226,350) (4,919) (111,445) (380,012) (107,128) (18,958) 3,819,348 89,001 298,174 261,182 257,899 122,592 (2,496) 19,599 (199,695) (113,826) 1,147,204
Purchases 3,776 5,275 2,163 27,486 6,952 44,665 2,484 1 2,286 34 64 1,727 1,295 837 288,253 10,519 36,425 31,682 24,868 11,294 182 1,960 1,483 1,614 507,325
Redemptions (8,779) (23,037) (24,136) (83,524) (36,901) (64,887) (10,545) (151) (17,166) (373) (7,088) (34,694) (11,414) (2,437) (16,485) (1,911) (7,981) (7,068) (524) (39) (395) (60) (16,222) (11,218) (387,035)
The accompanying notes are an integral part of these financial statements. -106-
Net change (5,003) (17,762) (21,973) (56,038) (29,949) (20,222) (8,061) (150) (14,880) (339) (7,024) (32,967) (10,119) (1,600) 271,768 8,608 28,444 24,614 24,344 11,255 (213) 1,900 (14,739) (9,604) 120,290
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Delaware High Yield Opportunity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (c) Class J (c) Class M (g) Class N (g) Class O (h) Class Q (d) Class R1 Class R2 (i) Class R3 (j) Class R4 (k) Class R5 Class R6 (l) Class R7 Class R8 (m) Class S (n) Class U (g)
NAV per Unit, Beginning of Period $ 14.8591 14.0811 14.1943 14.1376 13.9718 13.8032 13.3494 10.2694 13.2968 12.5600 13.8111 10.0485 10.1606 9.7429 12.2485 10.0000 10.0000 10.0000 10.1330 10.0000 10.1523 10.0000 12.0619 10.2928
Net Investment Income (Loss)(a) $ 0.5412 0.6938 0.8519 1.0260 1.1738 1.3210 1.4180 1.1758 1.7007 1.7563 0.3990 0.4187 0.5686 0.5227 0.3174 0.3939 0.4707 0.6232 0.7803 0.8651 1.0209 0.9695 0.7370 0.8894
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7268 1.5712 1.4466 1.2396 1.0423 0.8377 0.6470 0.2010 0.2670 0.0784 1.6439 1.0468 0.9613 1.0667 1.7881 1.1593 0.7819 0.7846 0.8757 0.5676 0.5985 0.0777 0.8558 0.5376
Total from Investment Activities $ 2.2680 2.2650 2.2985 2.2656 2.2161 2.1587 2.0650 1.3768 1.9677 1.8347 2.0429 1.4655 1.5299 1.5894 2.1055 1.5532 1.2526 1.4078 1.6560 1.4327 1.6194 1.0472 1.5928 1.4270
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.3540 11.5532 11.2526 11.4078 11.7890 11.4327 11.7717 11.0472 -
Total Return 15.26 16.09 16.19 16.03 15.86 15.64 15.47 13.41 14.80 14.61 14.79 14.58 15.06 16.31 17.19 15.53 12.53 14.08 16.34 14.33 15.95 10.47 13.21 13.86
% % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through November 30, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 1, 2012 through December 4, 2012
(i)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 14, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through November 15, 2012
Net Expenses (0.55)% (0.74)% (0.90)% (1.09)% (1.27)% (1.45)% (1.61)% (1.75)% (1.94)% (2.12)% (0.44)% (0.63)% (0.85)% (0.81)% (0.39)% (0.60)% (0.72)% (0.95)% (1.16)% (1.31)% (1.52)% (1.50)% (0.93)% (1.32)%
The accompanying notes are an integral part of these financial statements. -107-
Net Investment Income (Loss) 3.38 % 4.56 % 5.55 % 6.72 % 7.78 % 8.88 % 9.86 % 10.73 % 11.91 % 13.03 % 2.69 % 3.88 % 5.20 % 4.96 % 2.39 % 3.66 % 4.43 % 5.82 % 7.12 % 8.07 % 9.31 % 9.21 % 5.73 % 8.08 %
FMT/DFA 1 Year Fixed Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 58,919,198
Liabilities 37,691
Fees payable
$ 58,881,507
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 1,385,922 142,479 350,425 97,717 341,952 128,485 120,256 130,605
NAV per Unit $ 10.0594 $ 10.0309 $ 10.0121 $ 10.0029 $ 9.9791 $ 9.9626 $ 9.9394 $ 9.9232
Net Assets $ 13,941,498 1,429,201 3,508,485 977,451 3,412,382 1,280,049 1,195,278 1,296,027 13,268,650 2,738,546 4,028,805 5,383,960 2,661,317 1,222,324 1,030,481 512,579 994,474 $ 58,881,507
The accompanying notes are an integral part of these financial statements. -108-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
307,605
294,841 8,758 1,200 304,799
Net investment income
2,806
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,270,768 4,269,190
Net realized gain from investments sold
1,578
Change in net unrealized appreciation (depreciation) on investments
(67,874)
Net realized and unrealized loss on investments
(66,296)
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -109-
(63,490)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
2,806 1,578
Change in net unrealized appreciation (depreciation) on investments
(67,874)
Net decrease in net assets resulting from operations
(63,490)
Participant transactions Proceeds from units purchased Less payments for units redeemed
80,146,220 41,204,774 38,941,446
Increase in net assets from participant transactions Total increase in net assets
38,877,956
Net assets at beginning of year
20,003,551 $ 58,881,507
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -110-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA One-Year Fixed-Income Portfolio Fund (Cost $59,028,023)
Shares
Fair Value
5,709,225
$ 58,919,198
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Short Duration Bond
Total
Level 1
$ 58,919,198
$ 58,919,198
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $43,234,979 and $4,270,768, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -111-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 1,123,081 191,810 444,188 179,462 298,679 226,633 25,437 45,694 3,916 178,588 193,664 14,617,826 1,459,352 3,399,468 1,030,515 4,407,702 1,547,102 1,292,615 1,579,818 196,209 879,060 210,044 128,966 541,683 1,013,864 2,392,634 1,054,029 658,211 575,809 28,160 411,401 325,807 49,924 103,577 273,563 3,246,425 118 789,356 13,743,408 3,146,106 4,115,640 5,791,161 2,920,821 1,461,688 1,237,867 538,912 551,057 344,576 142,893 1,027,701 80,146,220
Redemptions (1,156,434) (3,043,480) (3,203,758) (1,793,144) (2,332,751) (1,069,590) (600,222) (111,427) (1,094,115) (1,367,247) (3,268,587) (685,213) (45,518) (85,300) (52,409) (989,365) (263,459) (213,302) (278,341) (1,080,875) (2,872,334) (874,191) (128,740) (541,896) (1,012,488) (2,385,070) (1,043,304) (657,010) (574,674) (27,778) (409,003) (323,441) (49,936) (102,383) (270,816) (3,240,770) (82) (788,902) (479,287) (407,537) (85,353) (402,852) (256,194) (237,212) (205,123) (25,068) (548,579) (344,573) (142,840) (32,801) $ (41,204,774)
$
Units
$
$
Net change (33,353) (2,851,670) (2,759,570) (1,613,682) (2,034,072) (842,957) (574,785) (65,733) (1,090,199) (1,188,659) (3,074,923) 13,932,613 1,413,834 3,314,168 978,106 3,418,337 1,283,643 1,079,313 1,301,477 (884,666) (1,993,274) (664,147) 226 (213) 1,376 7,564 10,725 1,201 1,135 382 2,398 2,366 (12) 1,194 2,747 5,655 36 454 13,264,121 2,738,569 4,030,287 5,388,309 2,664,627 1,224,476 1,032,744 513,844 2,478 3 53 994,900 38,941,446
Purchases 110,696 16,716 39,185 16,146 27,024 20,992 2,379 4,575 391 17,885 19,404 1,454,081 145,622 339,388 102,952 440,868 154,853 129,672 158,279 19,696 88,623 21,223 3,330,650
Redemptions (113,980) (265,302) (282,909) (161,583) (211,122) (99,199) (56,080) (11,246) (109,048) (137,025) (327,625) (68,159) (4,542) (8,520) (5,235) (98,916) (26,368) (21,431) (27,912) (108,665) (290,163) (88,572) (2,523,602)
The accompanying notes are an integral part of these financial statements. -112-
Net change (3,284) (248,586) (243,724) (145,437) (184,098) (78,207) (53,701) (6,671) (108,657) (119,140) (308,221) 1,385,922 141,080 330,868 97,717 341,952 128,485 108,241 130,367 (88,969) (201,540) (67,349) 807,048
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA 1 Year Fixed Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (g) Class O (e) Class Q (c) Class R1 (h) Class R2 Class R3 Class R4 (i) Class R5 (j) Class R6 (j) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 10.1217 11.4514 11.3203 11.1037 11.0563 10.7920 10.7044 9.9037 10.0266 9.9680 9.9642 10.0000 9.9931 9.9919 10.0000 10.0000 10.0000 9.9870 9.9877 9.9505 9.9118 9.8962
Net Investment Income (Loss)(a) $ 0.0005 0.0008 0.0009 0.0011 0.0013 0.0014 0.0016 0.0015 0.0013 0.0008 0.0007 0.0003 0.0005 0.0007 0.0009 0.0010 0.0012 0.0014 0.0015 0.0009 0.0010 0.0012
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0342 0.0198 0.0012 (0.0150) (0.0334) (0.0513) (0.0665) 0.0837 (0.0523) 0.0081 0.0115 0.0591 0.0373 0.0195 0.0020 (0.0219) (0.0386) (0.0490) (0.0660) (0.0074) (0.0199) (0.0354)
Total from Investment Activities $ 0.0347 0.0206 0.0021 (0.0139) (0.0321) (0.0499) (0.0649) 0.0852 (0.0510) 0.0089 0.0122 0.0594 0.0378 0.0202 0.0029 (0.0209) (0.0374) (0.0476) (0.0645) (0.0065) (0.0189) (0.0342)
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0594 10.0309 10.0121 10.0029 9.9791 9.9626 9.9394 9.9232 -
Total Return 0.34 % 0.18 % 0.02 % (0.13)% (0.29)% (0.46)% (0.61)% 0.86 % (0.51)% 0.09 % 0.12 % 0.59 % 0.38 % 0.20 % 0.03 % (0.21)% (0.37)% (0.48)% (0.65)% (0.07)% (0.19)% (0.35)%
Net Expenses (0.55)% (0.73)% (0.90)% (1.07)% (1.25)% (1.41)% (1.61)% (1.66)% (1.39)% (0.84)% (0.79)% (0.37)% (0.60)% (0.77)% (0.95)% (1.10)% (1.28)% (1.49)% (1.66)% (0.98)% (1.14)% (1.28)%
Net Investment Income (Loss) 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % 0.02 % 0.01 % 0.01 % 0.01 % % 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % 0.02 % 0.01 % 0.01 % 0.01 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through August 10, 2012
(h)
For the period from January 1, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -113-
FMT/DFA Commodity Strategy Portfolio Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 29,270,561
Liabilities 19,307
Fees payable
$ 29,251,254
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 143,088 17,057 58,173 20,579 5,003 18,684 2,438 825
NAV per Unit $ 9.7546 $ 9.7015 $ 9.6236 $ 10.0268 $ 9.8607 $ 9.8406 $ 9.9014 $ 9.4157
Net Assets $ 1,395,770 165,473 559,834 206,340 49,337 183,864 24,140 7,768 11,024,982 2,031,802 3,036,411 4,346,919 3,484,545 1,205,673 761,976 578,763 187,657 $ 29,251,254
The accompanying notes are an integral part of these financial statements. -114-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
124,371
84,090 1,557 1,200 86,847
Net investment income
37,524
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,669,044 1,740,211
Net realized loss from investments sold
(71,167)
Change in net unrealized appreciation (depreciation) on investments
(1,604,550)
Net realized and unrealized loss on investments
(1,675,717)
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -115-
(1,638,193)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
37,524 (71,167)
Change in net unrealized appreciation (depreciation) on investments
(1,604,550)
Net decrease in net assets resulting from operations
(1,638,193)
Participant transactions Proceeds from units purchased Less payments for units redeemed
44,022,178 15,250,742 28,771,436
Increase in net assets from participant transactions Total increase in net assets
27,133,243 2,118,011
Net assets at beginning of year
$ 29,251,254
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -116-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA Commodity Strategy Portfolio Fund (Cost $31,119,082)
Shares
Fair Value
3,185,045
$ 29,270,561
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - Sector Specific $ 29,270,561 - Derivatives and fixed income
$ 29,270,561
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $30,495,652 and $1,669,044, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -117-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class J Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class T Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 3,511 168,865 17,189 175,194 282 1,146 42,214 789 38,998 8,300 321 1,433,396 56,999 657,527 66,371 65,891 214,438 30,787 7,324 3,741 564,069 482,773 1,010,323 2,190,802 1,041,583 598,012 576,347 37,358 251,547 211,976 100,330 411,605 162,535 1,828,862 692 449,154 11,821,215 2,608,310 3,331,701 4,933,470 4,086,094 1,528,835 947,853 654,589 525,399 346,783 121,138 205,540 44,022,178
Redemptions (17,199) (398,934) (427,012) (729,778) (150,667) (5,418) (112,395) (3,912) (221,894) (33,030) (52,824) (28,554) (2,036) (85,915) (47,875) (43,466) (137,402) (31,584) (1) (13,333) (545,189) (464,013) (964,542) (2,091,901) (985,219) (569,674) (547,872) (36,425) (241,445) (201,869) (97,104) (401,228) (159,208) (1,751,943) (592) (431,271) (571,610) (443,618) (126,905) (316,069) (380,838) (245,629) (135,685) (39,448) (500,804) (333,237) (117,694) (6,481) $ (15,250,742)
$
Units
$
$
Net change (13,688) (230,069) (409,823) (554,584) (150,385) (4,272) (70,181) (3,123) (182,896) (24,730) (52,503) 1,404,842 54,963 571,612 18,496 22,425 77,036 (797) 7,323 (9,592) 18,880 18,760 45,781 98,901 56,364 28,338 28,475 933 10,102 10,107 3,226 10,377 3,327 76,919 100 17,883 11,249,605 2,164,692 3,204,796 4,617,401 3,705,256 1,283,206 812,168 615,141 24,595 13,546 3,444 199,059 28,771,436
Purchases 391 20,301 2,019 21,466 33 135 5,085 81 4,983 840 38 146,006 5,982 66,800 6,597 6,451 21,759 3,015 825 396 313,203
Redemptions (2,066) (47,491) (49,598) (87,366) (18,028) (700) (13,562) (402) (26,757) (3,417) (5,991) (2,918) (211) (8,627) (4,739) (4,246) (13,210) (3,055) (1,400) (293,784)
The accompanying notes are an integral part of these financial statements. -118-
Net change (1,675) (27,190) (47,579) (65,900) (17,995) (565) (8,477) (321) (21,774) (2,577) (5,953) 143,088 5,771 58,173 1,858 2,205 8,549 (40) 825 (1,004) 19,419
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Commodity Strategy Portfolio Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (f) Class F (g) Class G (h) Class I (i) Class J (i) Class O (e) Class P (j) Class Q (k) Class R1 (l) Class R2 Class R3 (m) Class R4 Class R5 Class R6 Class R7 Class R8 (n) Class T (d)
NAV per Unit, Beginning of Period $ 8.7602 8.2594 8.3031 8.2930 8.2822 10.0000 8.4195 8.1966 9.6264 8.2296 9.3129 8.4849 10.0000 9.6297 10.0000 9.9864 9.8376 9.8344 9.9117 10.0000 9.7582
Net Investment Income (Loss)(a) $ 0.0145 0.0344 0.0428 0.0478 0.0030 0.0278 0.0718 0.0916 0.0323 0.0205 0.0215 0.0017 0.0267 0.0309 0.0440 0.0512 0.0592 0.0676 0.0621 0.0514
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.5915) 0.0910 0.0771 (0.0189) 0.0721 0.0427 (0.7105) 0.0001 (0.0224) 0.0278 0.3337 0.3113 (0.2471) 0.0451 (0.4073) (0.0036) (0.0281) (0.0530) (0.0779) (0.6464) 0.0821
Total from Investment Activities $ (0.5770) 0.1254 0.1199 0.0289 0.0751 0.0427 (0.6827) 0.0719 0.0692 0.0601 0.3542 0.3328 (0.2454) 0.0718 (0.3764) 0.0404 0.0231 0.0062 (0.0103) (0.5843) 0.1335
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.7546 9.7015 9.6236 10.0268 9.8607 9.8406 9.9014 9.4157 -
Total Return (6.59)% 1.52 % 1.44 % 0.35 % 0.91 % 0.43 % (8.11)% 0.88 % 0.72 % 0.73 % 3.80 % 3.92 % (2.45)% 0.75 % (3.76)% 0.40 % 0.23 % 0.06 % (0.10)% (5.84)% 1.37 %
Net Expenses (0.40)% (0.96)% (1.18)% (1.33)% (0.08)% % (0.80)% (2.02)% (2.19)% (0.90)% (0.50)% (0.58)% (0.04)% (0.64)% (0.73)% (1.02)% (1.20)% (1.39)% (1.58)% (1.48)% (1.21)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through June 19, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through January 19, 2012
(g)
For the period November 19, 2012 (recommencement of class) through December 11, 2012
(h)
For the period from January 1, 2012 through June 6, 2012
(i)
For the period from January 1, 2012 through December 10, 2012
(j)
For the period from January 1, 2012 through November 27, 2012
(k)
For the period from January 1, 2012 through August 29, 2012
(l)
For the period from November 27, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 8, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from February 24, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -119-
Net Investment Income (Loss) 0.17 % 0.41 % 0.51 % 0.57 % 0.04 % % 0.34 % 0.87 % 0.95 % 0.39 % 0.22 % 0.25 % 0.02 % 0.28 % 0.31 % 0.44 % 0.52 % 0.60 % 0.68 % 0.64 % 0.52 %
FMT/DFA Emerging Markets Core Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 16,106,035
Liabilities 9,866
Fees payable
$ 16,096,169
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 668,410 81,509 312,190 136,583 52,021 68,466 28,236 27,251
NAV per Unit $ 12.0127 $ 11.4825 $ 11.4246 $ 11.4040 $ 12.3665 $ 10.9421 $ 11.8713 $ 10.2354
Net Assets $ 8,029,395 935,924 3,566,649 1,557,591 643,323 749,162 335,198 278,927 $ 16,096,169
The accompanying notes are an integral part of these financial statements. -120-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
274,089
132,012 4,142 1,200 137,354
Net investment income
136,735
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
3,221,119 3,329,114
Net realized loss from investments sold
(107,995)
Change in net unrealized appreciation (depreciation) on investments
1,402,004
Net realized and unrealized gain on investments
1,294,009
Other operating credits (charges)
13,515
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -121-
1,444,259
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
136,735 (107,995)
Change in net unrealized appreciation (depreciation) on investments
1,402,004 13,515
Other operating credits (charges)
1,444,259
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
26,755,136 17,491,545 9,263,591
Increase in net assets from participant transactions Total increase in net assets
10,707,850 5,388,319
Net assets at beginning of year
$ 16,096,169
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -122-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA Emerging Markets Core Equity I Fund (Cost $15,455,275)
Shares
Fair Value
789,512
$ 16,106,035
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Emerging Markets - Equity
Total
Level 1
$ 16,106,035
$ 16,106,035
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $12,640,188 and $3,221,119, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -123-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 883,108 2,022,282 2,342,369 484,176 822,419 1,637,111 504,752 10,448 344,600 56,355 282 212,343 31,114 396,870 254,826 8,420,883 562,971 3,335,988 1,547,136 510,605 827,380 363,334 266,906 602,571 128,827 185,480 26,755,136
Redemptions (856,841) (2,232,144) (3,599,421) (1,038,568) (1,821,563) (2,266,727) (509,060) (41,604) (461,098) (125,385) (288) (206,880) (29,098) (935,028) (320,787) (724,675) (106,493) (331,200) (223,189) (118,801) (162,697) (51,429) (9,330) (857,172) (243,345) (218,722) $ (17,491,545)
$
Units
$
$
Net change 26,267 (209,862) (1,257,052) (554,392) (999,144) (629,616) (4,308) (31,156) (116,498) (69,030) (6) 5,463 2,016 (538,158) (65,961) 7,696,208 456,478 3,004,788 1,323,947 391,804 664,683 311,905 257,576 (254,601) (114,518) (33,242) 9,263,591
Purchases 90,222 186,369 203,566 35,391 48,434 159,530 58,746 955 32,363 5,310 30 21,294 3,124 43,488 28,527 732,007 53,556 320,895 153,817 45,645 84,479 32,848 28,230 56,694 14,221 21,130 2,460,871
Redemptions (90,222) (219,957) (321,822) (77,155) (107,839) (221,615) (59,684) (3,834) (44,974) (11,543) (30) (21,294) (3,124) (100,692) (36,297) (63,597) (10,070) (31,498) (20,942) (10,703) (16,013) (4,659) (979) (83,836) (27,132) (25,190) (1,614,701)
The accompanying notes are an integral part of these financial statements. -124-
Net change (33,588) (118,256) (41,764) (59,405) (62,085) (938) (2,879) (12,611) (6,233) (57,204) (7,770) 668,410 43,486 289,397 132,875 34,942 68,466 28,189 27,251 (27,142) (12,911) (4,060) 846,170
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Core Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (c) Class J (c) Class L (h) Class M (i) Class N (i) Class O (f) Class Q (d) Class R1 (j) Class R2 Class R3 Class R4 Class R5 Class R6 (k) Class R7 Class R8 (l) Class S (c) Class T (e) Class U (g)
NAV per Unit, Beginning of Period $ 10.0000 9.4337 10.0721 12.0930 14.9801 9.0843 7.5748 9.7880 9.3744 9.5087 10.0000 10.0000 10.0000 8.0839 7.8404 10.0000 9.5797 9.5475 9.5464 10.3695 10.0000 9.9875 10.0000 9.3572 8.0856 7.9295
Net Investment Income (Loss)(a) $ 0.0485 0.0819 0.1077 0.1534 0.2211 0.1503 0.1404 0.1932 0.2078 0.2336 0.0119 0.0330 0.0476 0.0810 0.0733 0.0472 0.0684 0.0880 0.1082 0.1396 0.1358 0.1752 0.1497 0.1089 0.1096 0.1197
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.2372) 1.3712 1.4837 1.8030 2.1393 1.2348 1.0428 0.7941 1.1158 1.0915 (0.4979) (0.3178) (0.3456) 1.2284 1.1750 1.9655 1.8344 1.7891 1.7494 1.8574 0.8063 1.7086 0.0857 1.3057 1.1922 0.7124
Total from Investment Activities $ (0.1887) 1.4531 1.5914 1.9564 2.3604 1.3851 1.1832 0.9873 1.3236 1.3251 (0.4860) (0.2848) (0.2980) 1.3094 1.2483 2.0127 1.9028 1.8771 1.8576 1.9970 0.9421 1.8838 0.2354 1.4146 1.3018 0.8321
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.0127 11.4825 11.4246 11.4040 12.3665 10.9421 11.8713 10.2354 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 9, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from February 17, 2012 (commencement of this class) through November 27, 2012
(i)
For the period from March 23, 2012 (commencement of this class) through November 27, 2012
(j)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
Total Return (1.89)% 15.40 % 15.80 % 16.18 % 15.76 % 15.25 % 15.62 % 10.09 % 14.12 % 13.94 % (4.86)% (2.85)% (2.98)% 16.20 % 15.92 % 20.13 % 19.86 % 19.66 % 19.46 % 19.26 % 9.42 % 18.86 % 2.35 % 15.12 % 16.10 % 10.49 %
Net Expenses (0.45)% (0.74)% (0.91)% (1.07)% (1.25)% (1.41)% (1.57)% (1.72)% (1.89)% (2.10)% (0.11)% (0.31)% (0.44)% (0.85)% (0.79)% (0.39)% (0.59)% (0.77)% (0.94)% (1.12)% (1.19)% (1.47)% (1.35)% (0.99)% (1.15)% (1.31)%
The accompanying notes are an integral part of these financial statements. -125-
Net Investment Income (Loss) 0.49 % 0.81 % 0.99 % 1.17 % 1.37 % 1.54 % 1.72 % 1.88 % 2.07 % 2.30 % 0.12 % 0.34 % 0.48 % 0.93 % 0.87 % 0.43 % 0.65 % 0.84 % 1.03 % 1.23 % 1.30 % 1.60 % 1.48 % 1.08 % 1.25 % 1.43 %
FMT/DFA Emerging Markets I Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,736,668
Liabilities 3,046
Fees payable $
Net assets
3,733,622
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 63,310 8,601 57,679 18,047 83,982 21,465 17,815 53,679
NAV per Unit $ 11.8231 $ 12.0408 $ 11.4057 $ 10.6656 $ 11.5789 $ 11.2506 $ 11.2517 $ 11.4912
$
$
The accompanying notes are an integral part of these financial statements. -126-
Net Assets 748,515 103,566 657,872 192,481 972,417 241,493 200,446 616,832 3,733,622
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
97,274
35,914 1,200 1,085 38,199
Net investment income
59,075
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
970,478 995,769
Net realized loss from investments sold
(25,291)
Change in net unrealized appreciation (depreciation) on investments
437,882
Net realized and unrealized gain on investments
412,591
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -127-
471,666
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
59,075
Net realized loss from investments sold
(25,291)
Change in net unrealized appreciation (depreciation) on investments
437,882
Net increase in net assets resulting from operations
471,666
Participant transactions Proceeds from units purchased Less payments for units redeemed
5,195,633 4,028,894 1,166,739
Increase in net assets from participant transactions Total increase in net assets
1,638,405
Net assets at beginning of year
2,095,217 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -128-
3,733,622
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Emerging Markets I Fund (Cost $3,535,432)
135,681
Fair Value $
3,736,668
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Emerging Markets
$
Level 1
3,736,668
$
3,736,668
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,197,256 and $970,478, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -129-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 40,316 517,690 14,767 296,611 7,850 239,711 14,058 28,488 2,825 6,955 6,373 5,178 10,654 563 21,688 4,191 696,380 125,947 776,751 188,793 996,361 235,386 157,930 787,525 12,339 303 5,195,633
Redemptions (71,694) (626,281) (211,545) (628,471) (425,511) (393,659) (257,482) (41,609) (277,735) (24,491) (80,815) (25,806) (101,031) (5,864) (76,764) (41,146) (6,651) (51,695) (205,098) (11,980) (111,811) (23,085) (21,768) (224,471) (136) (66,619) (15,676) $ (4,028,894)
$
Units
$
$
Net change (31,378) (108,591) (196,778) (331,860) (417,661) (153,948) (243,424) (13,121) (274,910) (17,536) (74,442) (20,628) (90,377) (5,301) (55,076) (36,955) 689,729 74,252 571,653 176,813 884,550 212,301 136,162 563,054 (136) (54,280) (15,373) 1,166,739
Purchases 1,930 25,868 724 15,981 395 15,257 970 3,144 149 565 728 610 975 61 2,401 356 63,886 11,709 77,043 19,217 94,335 23,281 15,810 75,285 1,434 35 452,149
Redemptions (3,253) (31,357) (10,233) (35,622) (21,592) (27,422) (17,380) (4,519) (15,039) (1,907) (8,759) (2,959) (9,710) (691) (8,561) (3,537) (576) (4,643) (19,364) (1,170) (10,353) (2,304) (1,991) (21,606) (15) (8,160) (1,697) (274,420)
The accompanying notes are an integral part of these financial statements. -130-
Net change (1,323) (5,489) (9,509) (19,641) (21,197) (12,165) (16,410) (1,375) (14,890) (1,342) (8,031) (2,349) (8,735) (630) (6,160) (3,181) 63,310 7,066 57,679 18,047 83,982 20,977 13,819 53,679 (15) (6,726) (1,662) 177,729
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets I Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (h) Class J (b) Class L (g) Class M (i) Class N (j) Class O (k) Class P (g) Class Q (l) Class R1 (m) Class R2 Class R3 (n) Class R4 (o) Class R5 (p) Class R6 Class R7 Class R8 (q) Class S (r) Class T (e) Class U (s)
(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) (q) (r) (s)
NAV per Unit, Beginning of Period $ 19.3019 19.2959 19.0467 16.1726 18.6071 13.7876 13.5942 8.4262 17.8751 11.3792 8.2702 8.2655 9.9542 8.2256 8.1114 10.7749 10.0000 10.1691 10.0000 10.0000 10.0000 9.5666 9.5835 10.0000 8.0224 7.7875 8.1106
Net Investment Income (Loss)(a) $ 0.1838 0.1171 0.2920 0.3038 0.4006 0.3334 0.3681 0.2395 0.4186 0.3995 0.0538 0.0434 0.0544 0.0199 0.0655 0.1341 0.0359 0.1045 0.1241 0.1361 0.1846 0.2128 0.2424 0.2737 0.0112 0.1517 0.0195
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.6279 0.6897 2.5494 2.1589 2.3498 1.6476 1.6286 0.5439 0.3308 1.0721 0.8267 0.4727 0.3701 1.1815 0.7901 0.7230 1.7872 1.7672 1.2816 0.5295 1.3943 1.4712 1.4258 1.2175 1.2497 1.0292 1.1075
Total from Investment Activities $ 2.8117 0.8068 2.8414 2.4627 2.7504 1.9810 1.9967 0.7834 0.7494 1.4716 0.8805 0.5161 0.4245 1.2014 0.8556 0.8571 1.8231 1.8717 1.4057 0.6656 1.5789 1.6840 1.6682 1.4912 1.2609 1.1809 1.1270
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.8231 12.0408 11.4057 10.6656 11.5789 11.2506 11.2517 11.4912 -
Total Return 14.57 4.18 14.92 15.23 14.78 14.37 14.69 9.30 4.19 12.93 10.65 6.24 4.26 14.61 10.55 7.95 18.23 18.41 14.06 6.66 15.79 17.60 17.41 14.91 15.72 15.16 13.90
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.38)% (0.92)% (1.13)% (1.30)% (1.46)% (1.63)% (1.76)% (1.48)% (2.13)% (0.40)% (0.33)% (0.35)% (0.15)% (0.50)% (0.77)% (0.21)% (0.61)% (0.75)% (0.85)% (1.11)% (1.32)% (1.50)% (1.65)% (0.08)% (1.17)% (0.15)%
Per unit amounts are based on average daily units outstanding For the period from January 1, 2012 through December 10, 2012 For the period from January 1, 2012 through June 19, 2012 For the period from January 1, 2012 through December 11, 2012 For the period from January 1, 2012 through December 12, 2012 For the period from January 1, 2012 through December 13, 2012 For the period from January 1, 2012 through November 27, 2012 For the period from January 1, 2012 through September 4, 2012 For the period from January 1, 2012 through August 28, 2012 For the period from January 1, 2012 through June 20, 2012 For the period from January 1, 2012 through February 27, 2012 For the period from January 1, 2012 through November 15, 2012 For the period from June 8, 2012 (commencement of this class) through December 31, 2012 For the period from January 12, 2012 (commencement of this class) through December 31, 2012 For the period from February 1, 2012 (commencement of this class) through December 31, 2012 For the period from January 10, 2012 (commencement of this class) through December 31, 2012 For the period from January 6, 2012 (commencement of this class) through December 31, 2012 For the period from January 1, 2012 through February 24, 2012 For the period from January 1, 2012 through February 6, 2012
The accompanying notes are an integral part of these financial statements. -131-
Net Investment Income (Loss) 0.89 % 0.59 % 1.43 % 1.75 % 2.00 % 2.26 % 2.52 % 2.72 % 2.29 % 3.30 % 0.62 % 0.51 % 0.53 % 0.23 % 0.77 % 1.20 % 0.33 % 0.94 % 1.16 % 1.32 % 1.71 % 2.04 % 2.33 % 2.55 % 0.13 % 1.81 % 0.22 %
FMT/DFA Emerging Markets Small Cap Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,355,564
Liabilities 2,746
Fees payable $
Net assets
3,352,818
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 31,865 35,412 47,810 33,213 67,852 21,081 15,226 32,568
NAV per Unit $ 11.4515 $ 11.8936 $ 10.9252 $ 12.2771 $ 11.9694 $ 11.9478 $ 12.2665 $ 11.8476
$
$
The accompanying notes are an integral part of these financial statements. -132-
Net Assets 364,903 421,183 522,334 407,764 812,145 251,873 186,768 385,848 3,352,818
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
155,666
35,091 1,200 1,147 37,438
Net investment income
118,228
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
904,221 891,700
Net realized gain from investments sold
12,521
Change in net unrealized appreciation (depreciation) on investments
540,786
Net realized and unrealized gain on investments
553,307
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -133-
671,535
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
118,228 12,521
Change in net unrealized appreciation (depreciation) on investments
540,786
Net increase in net assets resulting from operations
671,535
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,242,371 3,471,015 (228,644)
Decrease in net assets from participant transactions Total increase in net assets
442,891 2,909,927
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -134-
3,352,818
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Emerging Markets Small Cap Portfolio Fund (Cost $3,183,769)
158,506
Fair Value
$
3,355,564
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Emerging Markets
$
Level 1
3,355,564
$
3,355,564
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $793,873 and $904,221, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -135-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 43,525 241 637 46,650 17,775 2,708 3,153 685 4,649 29,158 4,843 9,200 362,973 115,644 584,310 175,701 943,356 250,620 187,632 452,756 6,155 3,242,371
Redemptions (86,356) (84,451) (46,922) (1,071,084) (416,511) (116,121) (215,464) (177,690) (17,464) (60,670) (17,616) (50,327) (15,482) (9,643) (93,063) (73,723) (352,415) (182,835) (52,822) (125,263) (81,736) (123,357) $ (3,471,015)
$
Units
$
$
Net change (42,831) (84,210) (46,285) (1,024,434) (398,736) (113,413) (212,311) (177,005) (12,815) (31,512) (12,773) (41,127) 347,491 106,001 491,247 101,978 590,941 67,785 134,810 327,493 (81,736) (117,202) (228,644)
Purchases 1,944 16 44 2,306 893 141 174 72 360 3,111 435 851 33,249 10,536 56,817 16,754 91,560 24,030 17,303 44,082 591 305,269
Redemptions (3,672) (5,599) (3,338) (52,988) (20,945) (6,462) (11,125) (18,624) (1,268) (6,381) (1,601) (4,771) (1,384) (934) (9,007) (6,304) (32,164) (16,333) (4,546) (11,514) (8,098) (13,121) (240,179)
The accompanying notes are an integral part of these financial statements. -136-
Net change (1,728) (5,583) (3,294) (50,682) (20,052) (6,321) (10,951) (18,552) (908) (3,270) (1,166) (3,920) 31,865 9,602 47,810 10,450 59,396 7,697 12,757 32,568 (8,098) (12,530) 65,090
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Small Cap Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (g) Class G (h) Class I (i) Class J (b) Class L (j) Class N (j) Class P (j) Class R1 (k) Class R2 Class R3 (l) Class R4 Class R5 Class R6 Class R7 Class R8 (m) Class S (n) Class T (o)
NAV per Unit, Beginning of Period $ 19.7978 14.7110 12.9682 18.1222 18.2851 17.1711 17.7282 9.2322 11.7177 8.2437 9.6226 9.1682 10.0000 9.6183 10.0000 9.9620 9.7287 9.7278 10.0041 10.0000 9.9824 9.0981
Net Investment Income (Loss)(a) $ 0.3987 0.0369 0.2907 0.7105 0.8232 0.8759 0.2183 0.4433 0.8684 0.1119 0.2138 0.1566 0.1272 0.2075 0.2274 0.3427 0.3925 0.4554 0.5342 0.5649 0.1604 0.1723
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 3.4218 1.8765 0.8337 2.8063 2.6431 2.3058 3.3222 0.3680 1.1937 1.1379 1.2198 1.2238 1.3243 2.0678 0.6978 1.9724 1.8482 1.7646 1.7282 1.2827 (0.0492) 0.0794
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through February 1, 2012
(d)
For the period from January 1, 2012 through August 29, 2012
(e)
For the period from January 1, 2012 through December 12 ,2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 11, 2012
(h)
For the period from January 1, 2012 through March 15, 2012
(i)
For the period from January 1, 2012 through September 4,2012
(j)
For the period from January 1, 2012 through November 27, 2012
Total from Investment Activities $ 3.8205 1.9134 1.1244 3.5168 3.4663 3.1817 3.5405 0.8113 2.0621 1.2498 1.4336 1.3804 1.4515 2.2753 0.9252 2.3151 2.2407 2.2200 2.2624 1.8476 0.1112 0.2517
(k)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 2, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through June 1, 2012
(o)
For the period from January 1, 2012 through June 7, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.4515 11.8936 10.9252 12.2771 11.9694 11.9478 12.2665 11.8476 -
Total Return 19.30 13.01 8.67 19.41 18.96 18.53 19.97 8.79 17.60 15.16 14.90 15.06 14.52 23.66 9.25 23.24 23.03 22.82 22.61 18.48 1.11 2.77
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.07)% (0.68)% (1.13)% (1.30)% (1.48)% (0.35)% (1.46)% (2.16)% (0.40)% (0.65)% (0.50)% (0.38)% (0.61)% (0.69)% (0.98)% (1.15)% (1.33)% (1.52)% (1.64)% (0.51)% (0.59)%
The accompanying notes are an integral part of these financial statements. -137-
Net Investment Income (Loss) 1.84 % 0.24 % 2.15 % 3.57 % 4.11 % 4.67 % 1.12 % 4.60 % 6.81 % 1.26 % 2.07 % 1.59 % 1.19 % 1.93 % 2.17 % 3.08 % 3.62 % 4.20 % 4.80 % 5.17 % 1.60 % 1.87 %
FMT/DFA Emerging Markets Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,368,418
Liabilities 5,031
Fees payable $
Net assets
7,363,387
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 222,234 33,051 66,081 66,639 117,702 34,772 10,681 28,495
NAV per Unit $ 15.1843 $ 11.2775 $ 9.9553 $ 11.7461 $ 11.3924 $ 11.3719 $ 11.1785 $ 11.2246
$
$
The accompanying notes are an integral part of these financial statements. -138-
Net Assets 3,374,460 372,734 657,857 782,753 1,340,908 395,428 119,402 319,845 7,363,387
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
263,393
72,111 2,393 1,200 75,704
Net investment income
187,689
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,816,267 1,814,084
Net realized gain from investments sold
2,183
Change in net unrealized appreciation (depreciation) on investments
1,018,051
Net realized and unrealized gain on investments
1,020,234
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -139-
1,207,923
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
187,689 2,183
Change in net unrealized appreciation (depreciation) on investments
1,018,051
Net increase in net assets resulting from operations
1,207,923
Participant transactions Proceeds from units purchased Less payments for units redeemed
8,059,399 8,658,117 (598,718)
Decrease in net assets from participant transactions Total increase in net assets
609,205 6,754,182
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -140-
7,363,387
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Emerging Markets Value I Fund (Cost $7,134,429)
246,931
Fair Value $
7,368,418
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Emerging Markets
$
Level 1
7,368,418
$
7,368,418
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,404,008 and $1,816,267, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -141-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 40,648 14,305 65,601 60,262 115,998 66,622 26,922 9,422 33,077 44,600 74,416 20,214 6,956 8,859 3,304,076 374,639 748,798 498,036 1,329,743 420,171 120,028 426,113 217,854 26,062 5,977 8,059,399
Redemptions (72,483) (223,305) (647,774) (1,310,052) (1,387,156) (642,822) (378,949) (98) (353,416) (93,866) (205,886) (535,528) (352,482) (23,609) (75,515) (89,222) (49,429) (98,453) (110,319) (226,577) (255,610) (60,329) (142,372) (384,027) (614,589) (324,249) $ (8,658,117)
$
Units
$
$
Net change (31,835) (209,000) (582,173) (1,249,790) (1,271,158) (576,200) (352,027) (98) (343,994) (60,789) (161,286) (461,112) (332,268) (16,653) (66,656) 3,214,854 325,210 650,345 387,717 1,103,166 164,561 59,699 283,741 (166,173) (588,527) (318,272) (598,718)
Purchases 4,466 637 2,949 3,125 5,309 3,676 1,249 449 3,483 4,592 7,989 984 861 1,114 226,776 37,677 76,412 48,252 131,242 40,256 12,377 42,200 19,327 2,814 782 678,998
Redemptions (7,662) (10,031) (28,362) (68,358) (62,092) (34,917) (17,446) (11) (17,113) (9,505) (21,449) (57,568) (16,339) (2,924) (8,930) (6,074) (4,645) (10,331) (9,723) (21,597) (23,978) (5,659) (13,705) (38,896) (67,648) (40,114) (605,077)
The accompanying notes are an integral part of these financial statements. -142-
Net change (3,196) (9,394) (25,413) (65,233) (56,783) (31,241) (16,197) (11) (16,664) (6,022) (16,857) (49,579) (15,355) (2,063) (7,816) 220,702 33,032 66,081 38,529 109,645 16,278 6,718 28,495 (19,569) (64,834) (39,332) 73,921
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Emerging Markets Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 (i) Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 8.3372 20.4022 20.1391 17.1771 20.0539 16.6831 19.6140 8.4456 18.8940 8.7932 8.6604 8.7505 18.8504 7.3758 7.3929 12.7722 9.4957 10.0000 9.9355 9.6525 9.6516 9.5036 10.0000 9.5369 8.4825 7.2769
Net Investment Income (Loss)(a) $ 0.1256 0.4051 0.4918 0.5190 0.6781 0.6374 0.8488 0.0634 0.9945 0.4913 0.0892 0.1475 0.4323 0.0947 0.1586 0.1371 0.1536 0.1553 0.2555 0.2934 0.3397 0.3786 0.4200 0.2614 0.2653 0.2597
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0413 2.4134 2.3855 2.0033 2.1445 1.6551 1.9232 0.9277 1.3778 0.5960 0.6928 0.6212 2.3025 0.5641 0.9064 2.2750 1.6282 (0.2000) 1.5551 1.4465 1.3806 1.2963 0.8046 1.0297 0.9740 0.3302
Total from Investment Activities $ 1.1669 2.8185 2.8773 2.5223 2.8226 2.2925 2.7720 0.9911 2.3723 1.0873 0.7820 0.7687 2.7348 0.6588 1.0650 2.4121 1.7818 (0.0447) 1.8106 1.7399 1.7203 1.6749 1.2246 1.2911 1.2393 0.5899
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.1843 11.2775 9.9553 11.7461 11.3924 11.3719 11.1785 11.2246 -
Total Return 14.00 % 13.81 % 14.29 % 14.68 % 14.08 % 13.74 % 14.13 % 11.74 % 12.56 % 12.37 % 9.03 % 8.78 % 14.51 % 8.93 % 14.41 % 18.89 % 18.76 % (0.45)% 18.22 % 18.03 % 17.82 % 17.62 % 12.25 % 13.54 % 14.61 % 8.11 %
Net Expenses (0.57)% (0.75)% (0.92)% (1.14)% (1.27)% (1.44)% (1.63)% (0.29)% (2.00)% (2.12)% (0.40)% (0.65)% (0.86)% (0.50)% (0.81)% (0.40)% (0.60)% (0.63)% (0.95)% (1.12)% (1.30)% (1.48)% (1.60)% (1.04)% (1.18)% (1.38)%
Net Investment Income (Loss) 1.41 % 1.86 % 2.28 % 2.81 % 3.16 % 3.57 % 4.04 % 0.71 % 4.95 % 5.26 % 0.99 % 1.61 % 2.14 % 1.23 % 2.00 % 0.98 % 1.48 % 1.56 % 2.36 % 2.79 % 3.23 % 3.66 % 3.96 % 2.57 % 2.91 % 3.43 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through April 11, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -143-
FMT/DFA Five Year Global Fixed Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 18,973,695
Liabilities 11,627
Fees payable
$ 18,962,068
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,144,640 5,993 200,544 92,628 172,904 68,284 25,345 72,509
NAV per Unit $ 10.7827 $ 10.4697 $ 10.4140 $ 10.3808 $ 10.3565 $ 10.3576 $ 10.3570 $ 10.2967
Net Assets $ 12,342,260 62,745 2,088,466 961,554 1,790,679 707,259 262,499 746,606 $ 18,962,068
The accompanying notes are an integral part of these financial statements. -144-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
457,198
171,341 6,088 1,200 178,629
Net investment income
278,569
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,852,316 1,833,645
Net realized gain from investments sold
18,671
Change in net unrealized appreciation (depreciation) on investments
341,262
Net realized and unrealized gain on investments
359,933
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -145-
638,502
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
278,569 18,671
Change in net unrealized appreciation (depreciation) on investments
341,262
Net increase in net assets resulting from operations
638,502
Participant transactions Proceeds from units purchased Less payments for units redeemed
20,535,251 18,705,150 1,830,101
Increase in net assets from participant transactions Total increase in net assets
2,468,603 16,493,465
Net assets at beginning of year
$ 18,962,068
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -146-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Five-Year Global Fixed Income Portfolio Fund (Cost $18,731,111)
1,701,677
Fair Value
$ 18,973,695
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Global Bond
Total
Level 1
$ 18,973,695
$ 18,973,695
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,958,098 and $1,852,316, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -147-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class L Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 119,222 18,890 531,050 402,620 289,282 81,864 35,483 1,257 60,977 282 198,990 173,869 12,689,009 26,850 808,040 1,010,317 2,030,597 688,070 253,578 950,814 110,520 50,047 3,623 20,535,251
Redemptions (156,579) (499,117) (3,275,066) (3,047,184) (1,567,102) (968,373) (465,870) (14,599) (590,513) (285) (1,540,947) (3,102,824) (338,704) (1,704) (177,298) (71,991) (279,033) (47,204) (21,962) (225,542) (1,113,477) (1,185,769) (14,007) $ (18,705,150)
$
Units
$
$
Net change (37,357) (480,227) (2,744,016) (2,644,564) (1,277,820) (886,509) (430,387) (13,342) (529,536) (3) (1,341,957) (2,928,955) 12,350,305 25,146 630,742 938,326 1,751,564 640,866 231,616 725,272 (1,002,957) (1,135,722) (10,384) 1,830,101
Purchases 11,736 1,744 41,086 31,637 22,975 6,719 2,922 118 5,240 28 18,372 15,818 1,176,087 2,604 79,262 99,652 200,011 67,979 24,860 94,667 10,185 4,653 339 1,918,694
Redemptions (15,083) (46,249) (249,842) (237,699) (123,826) (79,683) (38,597) (1,353) (51,002) (28) (141,180) (279,216) (31,459) (167) (17,408) (7,024) (27,107) (4,615) (2,133) (22,158) (100,728) (109,664) (1,301) (1,587,522)
The accompanying notes are an integral part of these financial statements. -148-
Net change (3,347) (44,505) (208,756) (206,062) (100,851) (72,964) (35,675) (1,235) (45,762) (122,808) (263,398) 1,144,628 2,437 61,854 92,628 172,904 63,364 22,727 72,509 (90,543) (105,011) (962) 331,172
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Five Year Global Fixed Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class L (g) Class O (e) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 (h) Class R6 Class R7 Class R8 (i) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 9.9586 10.7276 12.6560 12.4307 12.3422 11.9581 11.9221 10.4862 11.5141 10.0000 10.5385 10.6928 10.3205 10.0514 10.0149 10.0000 10.0000 10.0116 10.0279 10.0000 10.6497 10.5845 10.4222
Net Investment Income (Loss)(a) $ 0.0893 0.1272 0.1810 0.2113 0.2438 0.2660 0.2998 0.2773 0.3499 0.0185 0.1417 0.1345 0.0644 0.0956 0.1234 0.1515 0.1767 0.2080 0.2383 0.2553 0.1669 0.1908 0.2122
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.3408 0.3150 0.3233 0.2606 0.1932 0.1509 0.0932 0.0320 (0.0049) 0.3526 0.2728 0.3032 0.3978 0.3227 0.2757 0.2293 0.1798 0.1380 0.0908 0.0414 0.2482 0.2037 0.1350
Total from Investment Activities $ 0.4301 0.4422 0.5043 0.4719 0.4370 0.4169 0.3930 0.3093 0.3450 0.3711 0.4145 0.4377 0.4622 0.4183 0.3991 0.3808 0.3565 0.3460 0.3291 0.2967 0.4151 0.3945 0.3472
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.7827 10.4697 10.4140 10.3808 10.3565 10.3576 10.3570 10.2967 -
Total Return 4.32 4.12 3.98 3.80 3.54 3.49 3.30 2.95 3.00 3.71 3.93 4.09 4.48 4.16 3.99 3.81 3.57 3.46 3.28 2.97 3.90 3.73 3.33
% % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.74)% (0.90)% (1.07)% (1.24)% (1.40)% (1.59)% (1.67)% (1.92)% (0.12)% (0.85)% (0.79)% (0.39)% (0.60)% (0.77)% (0.95)% (1.11)% (1.31)% (1.50)% (1.61)% (0.99)% (1.13)% (1.28)%
Net Investment Income (Loss) 0.88 % 1.16 % 1.40 % 1.67 % 1.94 % 2.19 % 2.47 % 2.61 % 2.99 % 0.18 % 1.32 % 1.23 % 0.61 % 0.93 % 1.21 % 1.49 % 1.74 % 2.04 % 2.34 % 2.52 % 1.54 % 1.77 % 2.00 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from February 17, 2012 (commencement of this class) through November 27, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -149-
FMT/DFA Global 60/40 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,435,532
Liabilities 2,670
Fees payable $
Net assets
3,432,862
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 86,702 1,145 10,315 15,699 49,580 49,973 43,914
NAV per Unit $ 18.4175 $ 11.1072 $ 11.0794 $ 10.6773 $ 10.6820 $ 10.9212 $ 10.6122
$
$
The accompanying notes are an integral part of these financial statements. -150-
Net Assets 1,596,838 12,720 114,281 167,619 529,613 545,761 466,030 3,432,862
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
70,217
34,418 1,200 1,085 36,703
Net investment income
33,514
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
697,987 679,134
Net realized gain from investments sold
18,853
Change in net unrealized appreciation (depreciation) on investments
300,198
Net realized and unrealized gain on investments
319,051
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -151-
352,565
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
33,514 18,853
Change in net unrealized appreciation (depreciation) on investments
300,198
Net increase in net assets resulting from operations
352,565
Participant transactions Proceeds from units purchased Less payments for units redeemed
4,252,770 3,803,973 448,797
Increase in net assets from participant transactions Total increase in net assets
801,362 2,631,500
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -152-
3,432,862
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Global Allocation 60/40 Portfolio Fund (Cost $3,249,421)
253,358
Fair Value $
3,435,532
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Moderate Balanced
$
Level 1
3,435,532
$
3,435,532
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,180,679 and $697,987, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -153-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class F Class G Class H Class J Class L Class O Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class T Class U
$
$
Purchases 39,494 72,750 47,615 620,014 3,307 22,344 316 5,853 55,731 1,423,701 4,736 173,176 269,731 529,463 547,589 432,988 3,878 84 4,252,770
Redemptions (275,835) (205,525) (505,863) (615,471) (111,637) (294,898) (1,187) (70,044) (234,181) (982,365) (57,436) (80) (73,627) (122,709) (46,847) (47,922) (6,114) (130,008) (22,224) $ (3,803,973)
$
Units
$
$
Net change (236,341) (132,775) (458,248) 4,543 (108,330) (272,554) (871) (64,191) (234,181) (926,634) 1,366,265 4,656 99,549 147,022 482,616 499,667 426,874 (126,130) (22,140) 448,797
Purchases 3,516 6,042 4,627 54,225 297 2,254 27 579 4,947 78,225 445 17,211 27,358 54,162 54,658 44,500 404 8 353,485
Redemptions (24,623) (17,191) (50,351) (54,385) (10,517) (30,780) (101) (6,725) (20,751) (82,869) (3,252) (7) (6,896) (11,659) (4,582) (4,685) (586) (13,939) (2,231) (346,130)
The accompanying notes are an integral part of these financial statements. -154-
Net change (21,107) (11,149) (45,724) (160) (10,220) (28,526) (74) (6,146) (20,751) (77,922) 74,973 438 10,315 15,699 49,580 49,973 43,914 (13,535) (2,223) 7,355
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global 60/40 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class F (e) Class G (f) Class H (g) Class J (h) Class L (i) Class O (j) Class Q (b) Class R1 Class R3 Class R4 (k) Class R5 (l) Class R6 (m) Class R7 (n) Class R8 (o) Class T (g) Class U (p)
NAV per Unit, Beginning of Period $ 10.6106 11.2841 9.8348 11.0750 10.4448 9.4257 10.7363 9.5188 10.5681 10.6770 16.3594 9.9039 10.0000 10.0000 10.0000 10.0000 10.0000 9.1617 9.5358
Net Investment Income (Loss)(a) $ 0.0947 0.1142 0.1203 0.0707 0.0734 0.0737 0.2179 0.0359 0.0148 0.0837 0.0612 0.0761 0.0921 0.0677 0.1150 0.0810 0.1473 0.0469 0.0109
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0640 0.9009 0.8980 0.1498 0.0952 0.0712 0.7898 0.8609 0.8307 1.0945 1.9969 1.1272 0.9873 0.6096 0.5670 0.8402 0.4649 0.1185 0.4129
Total from Investment Activities $ 1.1587 1.0151 1.0183 0.2205 0.1686 0.1449 1.0077 0.8968 0.8455 1.1782 2.0581 1.2033 1.0794 0.6773 0.6820 0.9212 0.6122 0.1654 0.4238
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 11, 2012
(c)
For the period from January 1, 2012 through November 26, 2012
(d)
For the period from January 1, 2012 through December 13, 2012
(e)
For the period from January 1, 2012 through June 8, 2012
(f)
For the period from January 1, 2012 through June 6, 2012
(g)
For the period from January 1, 2012 through June 7, 2012
(h)
For the period from January 1, 2012 through December 10, 2012
(i)
For the period from January 1, 2012 through November 27, 2012
(j)
For the period from January 1, 2012 through February 28, 2012
(k)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from May 14, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from January 1, 2012 through January 31, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 18.4175 11.1072 11.0794 10.6773 10.6820 10.9212 10.6122 -
Total Return 10.92 9.00 10.35 1.99 1.61 1.54 9.39 9.42 8.00 11.03 12.58 12.15 10.79 6.77 6.82 9.21 6.12 1.81 4.44
% % % % % % % % % % % % % % % % % % %
Net Expenses (0.93)% (1.06)% (1.27)% (0.69)% (0.76)% (0.85)% (2.12)% (0.39)% (0.15)% (0.81)% (0.39)% (0.79)% (0.96)% (0.72)% (1.22)% (0.85)% (1.57)% (0.56)% (0.12)%
The accompanying notes are an integral part of these financial statements. -155-
Net Investment Income (Loss) 0.85 % 0.97 % 1.16 % 0.63 % 0.70 % 0.78 % 1.94 % 0.36 % 0.13 % 0.74 % 0.35 % 0.72 % 0.87 % 0.66 % 1.11 % 0.77 % 1.43 % 0.51 % 0.11 %
FMT/DFA Global Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,128,131
Liabilities 514
Fees payable $
Net assets
1,127,617
Components of net assets
Class R1 Class R3 Class R4 Class R5
Units of Participation 72,234 31,821 2,087 1,450
NAV per Unit $ 10.4184 $ 10.5206 $ 11.1347 $ 11.7519
$
$
The accompanying notes are an integral part of these financial statements. -156-
Net Assets 752,567 334,776 23,234 17,040 1,127,617
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
20,588
6,471 1,200 275 7,946
Net investment income
12,642
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
549,256 581,191
Net realized loss from investments sold
(31,935)
Change in net unrealized appreciation (depreciation) on investments
97,165
Net realized and unrealized gain on investments
65,230
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -157-
77,872
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
12,642 (31,935)
Change in net unrealized appreciation (depreciation) on investments
97,165
Net increase in net assets resulting from operations
77,872
Participant transactions Proceeds from units purchased Less payments for units redeemed
1,979,015 1,516,591 462,424
Increase in net assets from participant transactions Total increase in net assets
540,296
Net assets at beginning of year
587,321 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -158-
1,127,617
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) DFA Global Equity Portfolio Fund (Cost $1,075,150)
79,670
Fair Value $
1,128,131
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Core
$
Level 1
1,128,131
$
1,128,131
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,024,472 and $549,256, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -159-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class F Class L Class O Class Q Class R1 Class R3 Class R4 Class R5
$
$
Purchases 276,477 37,312 276,286 263,392 29,782 8 734,023 325,756 21,476 14,503 1,979,015
Redemptions (300,353) (149,759) (277,059) (245,709) (253,377) (281,281) (8) (1,060) (7,839) (146) $ (1,516,591)
$
Units
$
$
Net change (23,876) (112,447) (773) 17,683 (223,595) (281,281) 732,963 317,917 21,330 14,503 462,424
Purchases 22,381 3,240 27,628 25,978 3,061 1 72,337 32,661 2,100 1,450 190,837
Redemptions (23,171) (12,668) (27,628) (25,978) (25,257) (32,541) (1) (103) (840) (13) (148,200)
The accompanying notes are an integral part of these financial statements. -160-
Net change (790) (9,428) (22,196) (32,541) 72,234 31,821 2,087 1,450 42,637
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Global Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class F (e) Class L (f) Class O (g) Class Q (h) Class R1 (i) Class R3 (j) Class R4 (k) Class R5 (l)
NAV per Unit, Beginning of Period $ 11.3503 10.4904 10.0000 10.0000 8.9281 8.6438 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.2055 0.2283 0.0027 0.2136 0.0690 0.0070 0.1228 0.1018 0.1335
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5130 1.3585 0.0253 0.0563 1.0330 0.1733 0.4114 0.3978 1.0329 1.6184
Total from Investment Activities $ 1.7185 1.5868 0.0280 0.2699 1.1020 0.1733 0.4184 0.5206 1.1347 1.7519
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.4184 10.5206 11.1347 11.7519
Total Return 15.14 15.13 0.28 2.70 12.34 1.73 4.18 5.21 11.35 17.52
% % % % % % % % % % %
Net Expenses (1.06)% (1.27)% (0.02)% (1.32)% (0.46)% % % (0.04)% (0.75)% (0.61)% (0.77)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 11, 2012
(c)
For the period from January 1, 2012 through December 12, 2012
(d)
For the period from February 17, 2012 (commencement of this class) through February 21, 2012
(e)
For the period from February 28, 2012 (commencement of this class) through December 11, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through January 3, 2012
(h)
For the period from December 5, 2012 (commencement of this class) through December 11, 2012
(i)
For the period from November 27, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 21, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -161-
Net Investment Income (Loss) 1.68 % 2.02 % 0.03 % 2.11 % 0.73 % % % 0.07 % 1.20 % 0.96 % 1.23 %
FMT/DFA Intermediate-Term Extended Quality Portfolio Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,313,418
Liabilities 2,811
Fees payable $
Net assets
4,310,607
Components of net assets
Class R1 Class R2 Class R4 Class R5 Class R6 Class R7
Units of Participation 254,003 10,059 103,660 10,938 44,251 138
NAV per Unit $ 9.9971 $ 10.9261 $ 10.3385 $ 10.6111 $ 10.6724 $ 10.0373
$
$
The accompanying notes are an integral part of these financial statements. -162-
Net Assets 2,539,300 109,904 1,071,690 116,065 472,260 1,388 4,310,607
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
107,352
36,481 1,200 1,137 38,818
Net investment income
68,534
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
374,209 354,619
Net realized gain from investments sold
19,590
Change in net unrealized appreciation (depreciation) on investments
140,910
Net realized and unrealized gain on investments
160,500
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -163-
229,034
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
68,534 19,590
Change in net unrealized appreciation (depreciation) on investments
140,910
Net increase in net assets resulting from operations
229,034
Participant transactions Proceeds from units purchased Less payments for units redeemed
5,831,597 4,090,888 1,740,709
Increase in net assets from participant transactions Total increase in net assets
1,969,743
Net assets at beginning of year
2,340,864 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -164-
4,310,607
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Intermediate Term Extended Quality Portfolio Fund (Cost $4,064,822)
392,486
Fair Value
$
4,313,418
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Bond
$
Level 1
4,313,418
$
4,313,418
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,183,998 and $374,209, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -165-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class O Class R1 Class R2 Class R4 Class R5 Class R6 Class R7
$
$
Purchases 148,246 217,247 701,042 187,294 12,072 63 105,991 88,958 2,677,065 44,347 1,047,071 128,531 472,284 1,386 5,831,597
Redemptions (156,813) (861,003) (714,459) (978,950) (400,027) (258) (163,044) (630,366) (138,778) (3,347) (17,946) (25,894) (3) $ (4,090,888)
$
Units
$
$
Net change (8,567) (643,756) (13,417) (791,656) (387,955) (195) (57,053) (541,408) 2,538,287 41,000 1,047,071 110,585 446,390 1,383 1,740,709
Purchases 14,825 19,631 70,104 16,795 1,116 6 9,705 7,753 267,913 4,183 103,660 12,651 46,741 138 575,221
Redemptions (14,825) (74,478) (70,104) (85,495) (37,108) (25) (14,268) (54,923) (13,910) (320) (1,713) (2,490) (369,659)
The accompanying notes are an integral part of these financial statements. -166-
Net change (54,847) (68,700) (35,992) (19) (4,563) (47,170) 254,003 3,863 103,660 10,938 44,251 138 205,562
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Intermediate-Term Extended Quality Portfolio Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (f) Class G (g) Class I (h) Class O (e) Class R1 (i) Class R2 Class R4 (j) Class R5 (k) Class R6 (l) Class R7 (m)
NAV per Unit, Beginning of Period $ 10.0000 10.8013 10.0000 10.7726 10.7588 10.2430 10.7197 10.7932 10.0000 10.1562 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.1085 0.1816 0.0535 0.2500 0.1190 0.0215 0.3799 0.1705 0.0068 0.1138 0.1005 0.1956 0.2319 0.0602
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.4710 0.6243 0.1384 0.4654 0.1824 (0.0038) 0.3412 0.5899 (0.0097) 0.6561 0.2380 0.4155 0.4405 (0.0229)
Total from Investment Activities $ 0.5795 0.8059 0.1919 0.7154 0.3014 0.0177 0.7211 0.7604 (0.0029) 0.7699 0.3385 0.6111 0.6724 0.0373
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.9971 10.9261 10.3385 10.6111 10.6724 10.0373
Total Return 5.79 % 7.46 % 1.92 % 6.64 % 2.80 % 0.17 % 6.73 % 7.05 % (0.03)% 7.58 % 3.39 % 6.11 % 6.72 % 0.37 %
Net Expenses (0.60)% (0.92)% (0.30)% (1.27)% (0.62)% (0.12)% (1.94)% (0.86)% (0.04)% (0.61)% (0.56)% (1.07)% (1.27)% (0.34)%
Net Investment Income (Loss) 1.05 % 1.62 % 0.53 % 2.25 % 1.09 % 0.21 % 3.43 % 1.53 % 0.07 % 1.08 % 0.99 % 1.90 % 2.24 % 0.60 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 8, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from March 2, 2012 (commencement of this class) through June 5, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through May 21, 2012
(g)
For the period from January 1, 2102 through January 25, 2012
(h)
For the period from January 1, 2012 through December 10, 2012
(i) For the period from November 27, 2012 (commencement of this class) through December 31, 2012 (j)
For the period from June 6, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 27, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from October 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -167-
FMT/DFA International Core Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 16,695,792
Liabilities 9,712
Fees payable
$ 16,686,080
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 699,163 198,360 245,833 142,243 41,401 59,912 30,998 10,645
NAV per Unit $ 11.8277 $ 11.5806 $ 11.4283 $ 11.7624 $ 12.1309 $ 11.1065 $ 11.3932 $ 10.9018
Net Assets $ 8,269,516 2,297,125 2,809,448 1,673,126 502,234 665,412 353,167 116,052 $ 16,686,080
The accompanying notes are an integral part of these financial statements. -168-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
446,554
135,642 4,780 1,200 141,622
Net investment income
304,932
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,890,614 1,923,201
Net realized loss from investments sold
(32,587)
Change in net unrealized appreciation (depreciation) on investments
2,103,687
Net realized and unrealized gain on investments
2,071,100
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -169-
2,376,032
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
304,932 (32,587)
Change in net unrealized appreciation (depreciation) on investments
2,103,687
Net increase in net assets resulting from operations
2,376,032
Participant transactions Proceeds from units purchased Less payments for units redeemed
18,193,200 15,625,524 2,567,676
Increase in net assets from participant transactions Total increase in net assets
4,943,708 11,742,372
Net assets at beginning of year
$ 16,686,080
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -170-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA International Core Equity Portfolio Fund (Cost $15,799,044)
Shares
Fair Value
1,566,209
$ 16,695,792
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Core
Total
Level 1
$ 16,695,792
$ 16,695,792
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,763,096 and $1,890,614, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -171-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 326,748 56,997 311,311 163,281 241,605 62,659 2,723 745 70,846 112,810 1,490 135,345 92,078 41,534 90,294 8,272,205 1,480,967 2,282,992 1,561,408 736,283 1,336,435 268,587 108,028 118,154 177,421 140,254 18,193,200
Redemptions (291,980) (522,866) (3,013,293) (2,238,535) (1,950,664) (804,217) (22,744) (9,601) (194,900) (470,686) (2,674) (394,061) (650,042) (549,523) (313,568) (420,272) (431,222) (151,826) (120,846) (309,077) (844,510) (12,268) (3,799) (811,180) (545,823) (545,347) $ (15,625,524)
$
Units
$
$
Net change 34,768 (465,869) (2,701,982) (2,075,254) (1,709,059) (741,558) (20,021) (8,856) (124,054) (357,876) (1,184) (258,716) (557,964) (507,989) (223,274) 7,851,933 1,049,745 2,131,166 1,440,562 427,206 491,925 256,319 104,229 (693,026) (368,402) (405,093) 2,567,676
Purchases 29,599 5,734 19,865 16,452 17,424 7,973 318 74 6,961 13,624 168 12,823 10,842 4,207 10,812 735,612 142,523 216,993 153,180 67,960 140,080 25,598 11,002 11,189 17,093 13,540 1,691,646
Redemptions (29,599) (55,617) (187,835) (223,413) (143,346) (99,673) (2,934) (938) (18,771) (54,281) (292) (37,327) (70,949) (52,776) (34,267) (36,449) (41,566) (13,962) (10,937) (28,754) (80,168) (1,128) (357) (71,853) (49,543) (49,696) (1,396,431)
The accompanying notes are an integral part of these financial statements. -172-
Net change (49,883) (167,970) (206,961) (125,922) (91,700) (2,616) (864) (11,810) (40,657) (124) (24,504) (60,107) (48,569) (23,455) 699,163 100,957 203,031 142,243 39,206 59,912 24,470 10,645 (60,664) (32,450) (36,156) 295,215
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Core Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class H (h) Class I (i) Class J (i) Class L (h) Class N (j) Class O (f) Class P (h) Class Q (d) Class R1 (k) Class R2 Class R3 Class R4 (k) Class R5 Class R6 (l) Class R7 Class R8 (m) Class S (i) Class T (e) Class U (h)
NAV per Unit, Beginning of Period $ 10.0000 9.2646 14.6958 9.3138 12.9138 7.4762 7.9009 9.3384 9.2407 7.7430 8.2412 10.3099 8.0131 9.2625 8.1648 10.0000 9.8123 9.6996 10.0000 10.3309 10.0000 9.7354 10.0000 10.0305 9.7636 9.9757
Net Investment Income (Loss)(a) $ 0.0581 0.1092 0.3046 0.2295 0.3704 0.2415 0.1303 0.3563 0.4016 0.3670 0.0657 0.0753 0.1559 0.1029 0.1492 0.0882 0.1355 0.1756 0.2203 0.2686 0.2696 0.3402 0.2617 0.2266 0.2557 0.2922
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.2304) 0.4950 1.7747 1.1337 1.4538 0.7757 (0.2901) 0.5617 0.7454 0.5802 0.8595 0.1313 1.0105 0.9247 1.0158 1.7395 1.6328 1.5531 1.5421 1.5314 0.8369 1.3176 0.6401 1.1170 1.1658 0.7291
Total from Investment Activities $ (0.1723) 0.6042 2.0793 1.3632 1.8242 1.0172 (0.1598) 0.9180 1.1470 0.9472 0.9252 0.2066 1.1664 1.0276 1.1650 1.8277 1.7683 1.7287 1.7624 1.8000 1.1065 1.6578 0.9018 1.3436 1.4215 1.0213
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 17, 2012 (commencement of this class) through June 21, 2012
(c)
For the period from January 1, 2012 through August 29, 2012
(d)
For the period from January 1,2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through June 6, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 1, 2012 through December 10, 2012
(j)
For the period from January 1, 2012 through June 20, 2012
(k)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from April 12, 2012 (commencement of this class) through December 31, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.8277 11.5806 11.4283 11.7624 12.1309 11.1065 11.3932 10.9018 -
Total Return (1.72)% 6.52 % 14.15 % 14.64 % 14.13 % 13.61 % (2.02)% 9.83 % 12.41 % 12.23 % 11.23 % 2.00 % 14.56 % 11.09 % 14.27 % 18.28 % 18.02 % 17.82 % 17.62 % 17.42 % 11.07 % 17.03 % 9.02 % 13.40 % 14.56 % 10.24 %
Net Expenses (0.27)% (0.53)% (0.90)% (1.07)% (1.24)% (1.40)% (0.77)% (1.69)% (1.90)% (2.07)% (0.35)% (0.34)% (0.84)% (0.49)% (0.79)% (0.38)% (0.59)% (0.77)% (0.94)% (1.11)% (1.19)% (1.50)% (1.16)% (0.98)% (1.13)% (1.29)%
The accompanying notes are an integral part of these financial statements. -173-
Net Investment Income (Loss) 0.59 % 1.14 % 1.94 % 2.30 % 2.68 % 3.02 % 1.67 % 3.64 % 4.09 % 4.47 % 0.75 % 0.72 % 1.81 % 1.05 % 1.71 % 0.81 % 1.27 % 1.66 % 2.02 % 2.39 % 2.55 % 3.22 % 2.50 % 2.12 % 2.44 % 2.79 %
FMT/DFA International Real Estate Securities Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
2,858,347
Liabilities 1,836
Fees payable $
Net assets
2,856,511
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 113,753 15,081 33,603 24,668 15,413 11,006 2,328 2,743
NAV per Unit $ 13.2845 $ 12.9167 $ 12.3184 $ 13.3573 $ 13.0198 $ 12.9919 $ 13.1130 $ 12.0038
$
$
The accompanying notes are an integral part of these financial statements. -174-
Net Assets 1,511,150 194,797 413,936 329,503 200,669 142,993 30,533 32,930 2,856,511
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
346,331
25,141 1,200 835 27,176
Net investment income
319,155
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
753,374 722,457
Net realized gain from investments sold
30,917
Change in net unrealized appreciation (depreciation) on investments
344,827
Net realized and unrealized gain on investments
375,744
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -175-
694,899
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
319,155 30,917
Change in net unrealized appreciation (depreciation) on investments
344,827
Net increase in net assets resulting from operations
694,899
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,378,212 3,250,042 128,170
Increase in net assets from participant transactions Total increase in net assets
823,069 2,033,442
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -176-
2,856,511
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA International Real Estate Securities Portfolio Fund (Cost $2,701,596)
552,872
Fair Value
$
2,858,347
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Sector Specific $ Real Estate
Level 1
2,858,347
$
2,858,347
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,200,897 and $753,374, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -177-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 98,254 3,428 49,350 44,728 43,836 15,192 422 29 18,189 2,170 169 39,759 3,000 2,581 1,623,019 126,956 418,247 372,607 231,988 142,615 30,024 30,188 15,093 32,182 34,186 3,378,212
Redemptions (99,429) (76,809) (599,403) (418,180) (352,654) (215,537) (4,364) (29) (56,041) (13,738) (182) (435,627) (32,660) (3,172) (145,637) (19,776) (71,414) (166,185) (105,040) (51,374) (16,165) (1,125) (138,201) (141,906) (85,394) $ (3,250,042)
$
Units
$
$
Net change (1,175) (73,381) (550,053) (373,452) (308,818) (200,345) (3,942) (37,852) (11,568) (13) (395,868) (29,660) (591) 1,477,382 107,180 346,833 206,422 126,948 91,241 13,859 29,063 (123,108) (109,724) (51,208) 128,170
Purchases 9,202 299 2,700 2,825 3,690 1,189 45 3 1,557 179 15 2,972 287 235 124,832 11,752 39,843 31,783 21,181 13,248 2,485 2,838 1,261 2,747 3,560 280,728
Redemptions (9,202) (6,011) (30,609) (25,790) (27,390) (16,347) (470) (3) (4,145) (1,032) (15) (30,187) (2,705) (257) (11,079) (1,649) (6,240) (12,895) (9,907) (4,255) (1,326) (95) (10,265) (10,569) (7,497) (229,940)
The accompanying notes are an integral part of these financial statements. -178-
Net change (5,712) (27,909) (22,965) (23,700) (15,158) (425) (2,588) (853) (27,215) (2,418) (22) 113,753 10,103 33,603 18,888 11,274 8,993 1,159 2,743 (9,004) (7,822) (3,937) 50,788
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Real Estate Securities Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class H (h) Class I (i) Class J (i) Class L (j) Class O (f) Class P (k) Class Q (d) Class R1 (l) Class R2 Class R3 (m) Class R4 Class R5 Class R6 Class R7 Class R8 (n) Class S (i) Class T (e) Class U (k)
NAV per Unit, Beginning of Period $ 10.0000 10.6048 16.2772 14.3390 10.5014 11.0609 8.5388 10.0000 10.5053 10.4372 10.0000 11.6141 9.4426 9.4163 10.0000 9.7443 10.0000 10.1105 9.8716 9.8670 9.9757 10.0000 10.5836 10.7051 9.0288
Net Investment Income (Loss)(a) $ 0.3383 0.7332 2.0334 2.1262 1.8226 2.1713 0.8091 2.8049 3.0243 0.0777 1.3754 0.6275 1.0845 0.5941 0.8458 0.9231 1.4115 1.5915 1.8374 2.1132 1.6505 1.4529 1.6986 1.6088
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.4636 1.5221 2.9355 2.1670 1.2521 1.1368 (0.0570) 0.4663 0.2490 (0.0117) 1.7270 2.0816 2.0044 1.8242 2.6904 2.3266 1.3953 1.8353 1.5567 1.2875 1.0241 0.3533 1.7424 1.4973 0.8200
Total from Investment Activities $ 0.8019 2.2553 4.9689 4.2932 3.0747 3.3081 0.7521 0.4663 3.0539 3.0126 1.8047 3.4570 2.6319 2.9087 3.2845 3.1724 2.3184 3.2468 3.1482 3.1249 3.1373 2.0038 3.1953 3.1959 2.4288
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.2845 12.9167 12.3184 13.3573 13.0198 12.9919 13.1130 12.0038 -
Total Return 8.02 21.27 30.53 29.94 29.28 29.91 8.81 4.66 29.07 28.86 18.05 29.77 27.87 30.89 32.85 32.56 23.18 32.11 31.89 31.67 31.45 20.04 30.19 29.85 26.90
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.28)% (0.53)% (0.92)% (1.10)% (1.29)% (1.45)% (0.77)% % (1.98)% (2.16)% (0.06)% (0.88)% (0.50)% (0.85)% (0.43)% (0.64)% (0.70)% (1.02)% (1.18)% (1.37)% (1.56)% (1.28)% (1.02)% (1.18)% (1.34)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 17, 2012 (commencement of this class) through June 21, 2012
(c)
For the period from January 1, 2012 through August 29, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through June 6, 2012
(h)
For the period from January 19, 2012 (commencement of this class) through June 7, 2012
(i)
For the period from January 1, 2012 through December 10, 2012
(j)
For the period from February 17, 2012 (commencement of this class) through November 27, 2012
(k)
For the period from January 1, 2012 through November 27, 2012
(l)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from April 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -179-
Net Investment Income (Loss) 3.25 % 6.25 % 10.84 % 12.90 % 15.14 % 17.08 % 9.08 % % 23.31 % 25.32 % 0.71 % 10.31 % 5.83 % 9.98 % 5.10 % 7.46 % 8.27 % 12.03 % 13.90 % 16.08 % 18.31 % 15.00 % 11.93 % 13.81 % 15.71 %
FMT/DFA International Small Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 13,748,975
Liabilities 8,287
Fees payable
$ 13,740,688
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 904,108 19,240 128,773 34,885 76,774 44,295 29,762 36,437
NAV per Unit $ 10.3523 $ 11.9312 $ 11.7863 $ 12.1020 $ 11.8526 $ 11.8315 $ 11.7423 $ 11.7493
Net Assets $ 9,359,557 229,556 1,517,768 422,181 909,977 524,075 349,469 428,105 $ 13,740,688
The accompanying notes are an integral part of these financial statements. -180-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
491,026
125,476 4,397 1,200 131,073
Net investment income
359,953
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
2,218,657 2,323,821
Net realized loss from investments sold
(105,164)
Change in net unrealized appreciation (depreciation) on investments
2,227,061
Net realized and unrealized gain on investments
2,121,897
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -181-
2,481,850
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
359,953 (105,164)
Change in net unrealized appreciation (depreciation) on investments
2,227,061
Net increase in net assets resulting from operations
2,481,850
Participant transactions Proceeds from units purchased Less payments for units redeemed
14,078,510 14,521,882 (443,372)
Decrease in net assets from participant transactions Total increase in net assets
2,038,478 11,702,210
Net assets at beginning of year
$ 13,740,688
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -182-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA International Small Cap Value Portfolio Fund (Cost $13,512,963)
Shares
Fair Value
860,386
$ 13,748,975
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Small Cap
Total
Level 1
$ 13,748,975
$ 13,748,975
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,133,652 and $2,218,657, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -183-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 145,808 39,146 282,812 109,836 214,763 44,983 40,194 219 34,071 52,461 14,176 30,506 146,539 19,441 47,114 9,208,297 146,136 730,272 261,542 1,037,218 508,132 275,433 451,982 80,371 117,595 39,463 14,078,510
Redemptions (188,467) (567,900) (2,111,346) (1,261,753) (2,131,143) (709,013) (427,189) (9,456) (251,911) (197,496) (91,187) (206,689) (1,576,370) (196,205) (1,080,685) (441,726) (166,942) (267,451) (38,209) (360,544) (116,604) (80,758) (76,490) (763,606) (1,124,116) (78,626) $ (14,521,882)
$
Units
$
$
Net change (42,659) (528,754) (1,828,534) (1,151,917) (1,916,380) (664,030) (386,995) (9,237) (217,840) (145,035) (77,011) (176,183) (1,429,831) (176,764) (1,033,571) 8,766,571 (20,806) 462,821 223,333 676,674 391,528 194,675 375,492 (683,235) (1,006,521) (39,163) (443,372)
Purchases 14,262 2,329 15,280 7,194 12,250 2,074 2,278 21 2,872 6,049 1,640 3,092 9,194 1,721 4,370 928,882 14,305 67,577 23,500 101,857 48,819 27,612 43,571 7,499 11,264 4,762 1,364,274
Redemptions (19,097) (32,872) (107,377) (79,728) (116,544) (32,581) (23,935) (894) (22,449) (21,728) (10,031) (19,959) (92,085) (16,863) (95,391) (43,965) (14,838) (24,556) (3,393) (33,712) (10,662) (7,236) (7,134) (68,885) (104,857) (8,850) (1,019,622)
The accompanying notes are an integral part of these financial statements. -184-
Net change (4,835) (30,543) (92,097) (72,534) (104,294) (30,507) (21,657) (873) (19,577) (15,679) (8,391) (16,867) (82,891) (15,142) (91,021) 884,917 (533) 43,021 20,107 68,145 38,157 20,376 36,437 (61,386) (93,593) (4,088) 344,652
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 9.0279 15.5221 17.2202 14.0013 16.1981 20.1740 16.0415 9.2533 10.4837 7.9457 8.0198 9.2757 14.6965 10.3577 9.7669 8.5008 9.8187 9.7158 9.9927 9.8034 9.8025 9.7449 10.0000 9.7278 9.6300 7.8977
Net Investment Income (Loss)(a) $ 0.1502 0.3380 0.4633 0.4486 0.6018 0.8478 0.7582 0.3561 0.5931 0.4893 0.0910 0.1706 0.3713 0.1468 0.2309 0.1031 0.1755 0.2262 0.2853 0.3308 0.3832 0.4329 0.4719 0.2863 0.3285 0.2999
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3131 2.1491 2.3790 1.9169 2.0566 2.3704 1.8623 0.9667 0.9532 0.6672 0.9737 1.0373 2.1054 1.2178 1.3929 1.7484 1.9370 1.8443 1.8240 1.7184 1.6458 1.5645 1.2774 1.2450 1.2910 0.6723
Total from Investment Activities $ 1.4633 2.4871 2.8423 2.3655 2.6584 3.2182 2.6205 1.3228 1.5463 1.1565 1.0647 1.2079 2.4767 1.3646 1.6238 1.8515 2.1125 2.0705 2.1093 2.0492 2.0290 1.9974 1.7493 1.5313 1.6195 0.9722
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3523 11.9312 11.7863 12.1020 11.8526 11.8315 11.7423 11.7493 -
Total Return 16.21 16.02 16.51 16.89 16.41 15.95 16.34 14.30 14.75 14.56 13.28 13.02 16.85 13.17 16.63 21.78 21.52 21.31 21.11 20.90 20.70 20.50 17.49 15.74 16.82 12.31
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.91)% (1.08)% (1.25)% (1.42)% (1.59)% (1.31)% (1.92)% (2.09)% (0.39)% (0.63)% (0.85)% (0.48)% (0.79)% (0.40)% (0.59)% (0.77)% (0.94)% (1.11)% (1.29)% (1.47)% (1.58)% (0.99)% (1.15)% (1.30)%
Net Investment Income (Loss) 1.54 % 2.02 % 2.49 % 2.95 % 3.43 % 3.89 % 4.37 % 3.59 % 5.27 % 5.74 % 1.06 % 1.73 % 2.33 % 1.33 % 2.18 % 1.09 % 1.61 % 2.10 % 2.58 % 3.06 % 3.54 % 4.03 % 4.34 % 2.73 % 3.15 % 3.58 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through September 14, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -185-
FMT/DFA International Small Company Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
2,848,242
Liabilities 2,111
Fees payable $
Net assets
2,846,131
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 57,891 2,491 16,121 9,850 58,898 12,605 16,825 23,850
NAV per Unit $ 21.3045 $ 11.5971 $ 10.5779 $ 12.1068 $ 11.5109 $ 11.4904 $ 11.7508 $ 11.4721
$
$
The accompanying notes are an integral part of these financial statements. -186-
Net Assets 1,233,342 28,884 170,529 119,255 677,966 144,839 197,710 273,606 2,846,131
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
86,373
29,856 1,200 956 32,012
Net investment income
54,361
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
676,454 687,545
Net realized loss from investments sold
(11,091)
Change in net unrealized appreciation (depreciation) on investments
384,679
Net realized and unrealized gain on investments
373,588
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -187-
427,949
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
54,361
Net realized loss from investments sold
(11,091)
Change in net unrealized appreciation (depreciation) on investments
384,679
Net increase in net assets resulting from operations
427,949
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,157,159 3,127,629 29,530
Increase in net assets from participant transactions Total increase in net assets
457,479 2,388,652
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -188-
2,846,131
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA International Small Company I Fund (Cost $2,735,554)
178,797
Fair Value $
2,848,242
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - International Small Cap
$
Level 1
2,848,242
$
2,848,242
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $759,955 and $676,454, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -189-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 59,127 20,376 2,059 73,100 15,581 38,399 42,299 3,440 1,159 5,200 14,883 30,139 3,000 1,091,342 30,671 173,290 116,559 754,243 156,881 205,601 300,681 5,709 8,894 4,526 3,157,159
Redemptions (106,472) (219,546) (55,138) (331,106) (349,505) (459,282) (188,033) (8,777) (223,722) (22,816) (127,263) (30,639) (27,216) (9,602) (109,615) (5,936) (24,395) (9,788) (274,876) (44,229) (28,876) (62,371) (15,550) (209,225) (183,651) $ (3,127,629)
$
Units
$
$
Net change (47,345) (199,170) (53,079) (258,006) (333,924) (420,883) (145,734) (5,337) (222,563) (17,616) (112,380) (500) (24,216) (9,602) 981,727 24,735 148,895 106,771 479,367 112,652 176,725 238,310 (9,841) (200,331) (179,125) 29,530
Purchases 4,526 1,482 154 5,793 1,211 3,808 3,300 377 135 490 1,432 3,007 278 54,083 3,020 18,558 10,436 76,151 15,028 19,162 29,753 464 818 413 253,879
Redemptions (7,814) (17,376) (4,029) (27,923) (27,023) (44,900) (14,937) (953) (26,181) (2,058) (12,437) (3,007) (2,602) (1,107) (5,458) (549) (2,437) (895) (25,795) (4,142) (2,520) (5,903) (1,251) (21,147) (16,724) (279,168)
The accompanying notes are an integral part of these financial statements. -190-
Net change (3,288) (15,894) (3,875) (22,130) (25,812) (41,092) (11,637) (576) (26,046) (1,568) (11,005) (2,324) (1,107) 48,625 2,471 16,121 9,541 50,356 10,886 16,642 23,850 (787) (20,329) (16,311) (25,289)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Small Company Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (g) Class J (b) Class L (f) Class N (h) Class P (f) Class Q (i) Class R1 Class R2 Class R3 (j) Class R4 Class R5 Class R6 Class R7 Class R8 (k) Class S (b) Class T (l) Class U (f)
NAV per Unit, Beginning of Period $ 12.0037 12.4119 12.2828 11.7187 12.0029 9.3517 11.7486 8.3713 8.1498 9.8893 9.4713 10.0000 9.3954 8.1392 18.0011 9.8078 10.0000 10.2865 9.7967 9.7958 10.0347 10.0000 10.9661 9.8171 10.1619
Net Investment Income (Loss)(a) $ 0.1261 0.1727 0.2138 0.2380 0.2818 0.2466 0.3478 0.2613 0.2178 0.3831 0.0677 0.0555 0.0836 0.0839 0.1273 0.1106 0.1161 0.1842 0.2074 0.2403 0.2789 0.2982 0.2040 0.0976 0.2430
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5360 1.5242 1.5099 1.4691 1.3979 1.0182 1.2966 0.5805 0.7095 0.8262 1.0131 0.0601 0.9792 0.4521 3.1761 1.6787 0.4618 1.6361 1.5068 1.4543 1.4372 1.1739 1.2643 (0.0506) 0.8202
Total from Investment Activities $ 1.6621 1.6969 1.7237 1.7071 1.6797 1.2648 1.6444 0.8418 0.9273 1.2093 1.0808 0.1156 1.0628 0.5360 3.3034 1.7893 0.5779 1.8203 1.7142 1.6946 1.7161 1.4721 1.4683 0.0470 1.0632
Ratios (to average unit value)
NAV per Unit, End of Period $ 21.3045 11.5971 10.5779 12.1068 11.5109 11.4904 11.7508 11.4721 -
Total Return 13.85 13.67 14.03 14.57 13.99 13.52 14.00 10.06 11.38 12.23 11.41 1.16 11.31 6.59 18.35 18.24 5.78 17.70 17.50 17.30 17.10 14.72 13.39 0.48 10.46
% % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 7, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through June 20, 2012
(i)
For the period from January 1, 2012 through August 29, 2012
(j)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through June 7, 2012
Net Expenses (0.58)% (0.77)% (0.96)% (1.12)% (1.29)% (1.45)% (1.63)% (1.75)% (1.49)% (2.15)% (0.40)% (0.32)% (0.50)% (0.59)% (0.38)% (0.61)% (0.66)% (0.97)% (1.15)% (1.33)% (1.51)% (1.64)% (1.03)% (0.58)% (1.34)%
The accompanying notes are an integral part of these financial statements. -191-
Net Investment Income (Loss) 0.98 % 1.30 % 1.63 % 1.89 % 2.19 % 2.47 % 2.77 % 2.97 % 2.53 % 3.65 % 0.68 % 0.55 % 0.84 % 1.00 % 0.65 % 1.03 % 1.13 % 1.65 % 1.95 % 2.26 % 2.56 % 2.78 % 1.74 % 0.99 % 2.27 %
FMT/DFA International Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 20,716,723
Liabilities 13,494
Fees payable
$ 20,703,229
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,296,094 29,855 211,333 170,215 205,594 89,221 62,177 74,983
NAV per Unit $ 8.7058 $ 11.3125 $ 11.1609 $ 11.1331 $ 11.1209 $ 11.1925 $ 11.1019 $ 11.3755
Net Assets $ 11,283,541 337,741 2,358,673 1,895,018 2,286,387 998,608 690,284 852,977 $ 20,703,229
The accompanying notes are an integral part of these financial statements. -192-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
662,939
199,452 6,904 1,200 207,556
Net investment income
455,383
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
3,632,435 3,993,678
Net realized loss from investments sold
(361,243)
Change in net unrealized appreciation (depreciation) on investments
2,822,333
Net realized and unrealized gain on investments
2,461,090
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -193-
2,916,473
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
455,383 (361,243)
Change in net unrealized appreciation (depreciation) on investments
2,822,333
Net increase in net assets resulting from operations
2,916,473
Participant transactions Proceeds from units purchased Less payments for units redeemed
20,540,208 21,935,294 (1,395,086)
Decrease in net assets from participant transactions Total increase in net assets
1,521,387 19,181,842
Net assets at beginning of year
$ 20,703,229
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -194-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA International Value Portfolio Fund (Cost $21,285,706)
Shares
Fair Value
1,247,995
$ 20,716,723
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Value
Total
Level 1
$ 20,716,723
$ 20,716,723
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,689,216 and $3,632,435, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -195-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 116,833 67,481 310,427 126,935 245,754 194,674 34,618 2,242 15,930 53,225 78,599 173,210 35,459 88,217 10,938,257 200,798 1,531,358 1,133,584 2,482,914 923,762 633,784 908,266 78,770 102,534 62,577 20,540,208
Redemptions (490,260) (960,844) (2,606,630) (2,436,153) (2,868,503) (2,038,678) (531,268) (48,346) (619,065) (234,521) (282,327) (1,923,266) (299,726) (1,040,311) (411,507) (486,790) (368,629) (218,081) (694,800) (285,012) (134,155) (144,914) (621,715) (1,455,930) (733,863) $ (21,935,294)
$
Units
$
$
Net change (373,427) (893,363) (2,296,203) (2,309,218) (2,622,749) (1,844,004) (496,650) (46,104) (603,135) (181,296) (203,728) (1,750,056) (264,267) (952,094) 10,526,750 (285,992) 1,162,729 915,503 1,788,114 638,750 499,629 763,352 (542,945) (1,353,396) (671,286) (1,395,086)
Purchases 9,421 4,671 19,157 9,378 16,710 11,313 2,333 246 1,505 6,922 9,351 11,108 3,258 9,229 1,307,169 20,076 150,757 112,540 255,657 92,236 65,984 88,915 8,035 10,737 6,618 2,233,326
Redemptions (40,255) (65,904) (153,528) (180,795) (187,550) (115,750) (34,714) (5,147) (58,972) (29,174) (32,385) (116,649) (27,257) (100,852) (48,746) (45,996) (36,019) (21,179) (68,498) (27,298) (12,929) (13,932) (61,667) (151,482) (75,405) (1,712,083)
The accompanying notes are an integral part of these financial statements. -196-
Net change (30,834) (61,233) (134,371) (171,417) (170,840) (104,437) (32,381) (4,901) (57,467) (22,252) (23,034) (105,541) (23,999) (91,623) 1,258,423 (25,920) 114,738 91,361 187,159 64,938 53,055 74,983 (53,632) (140,745) (68,787) 521,243
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA International Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (g) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 11.3100 13.6976 15.6013 12.7989 14.1318 16.6985 14.3147 8.7519 10.1477 7.3401 7.9807 15.0137 10.1750 9.2825 7.4948 9.7602 9.6458 9.6379 9.6436 9.7222 9.6599 10.0000 9.2454 9.1178 9.1652
Net Investment Income (Loss)(a) $ 0.1458 0.2294 0.3226 0.3176 0.4038 0.5377 0.5210 0.3331 0.4448 0.3469 0.0693 0.2912 0.1108 0.1685 0.0686 0.1335 0.1723 0.2108 0.2490 0.2914 0.3292 0.3735 0.2087 0.2403 0.2676
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1287 1.2898 1.4877 1.2597 1.2645 1.3111 1.6600 0.3049 0.5563 0.3638 0.6185 1.5450 0.7560 0.9193 1.1424 1.4188 1.3428 1.2844 1.2283 1.1789 1.1128 1.0020 0.7918 0.8767 0.4371
Total from Investment Activities $ 1.2745 1.5192 1.8103 1.5773 1.6683 1.8488 1.6870 0.6380 1.0011 0.7107 0.6878 1.8362 0.8668 1.0878 1.2110 1.5523 1.5151 1.4952 1.4773 1.4703 1.4420 1.3755 1.0005 1.1170 0.7047
Ratios (to average unit value)
NAV per Unit, End of Period $ 8.7058 11.3125 11.1609 11.1331 11.1209 11.1925 11.1019 11.3755 -
Total Return 11.27 11.09 11.60 12.32 11.81 11.07 11.79 7.29 9.87 9.68 8.62 12.23 8.52 11.72 16.16 15.90 15.71 15.51 15.32 15.12 14.93 13.76 10.82 12.25 7.69
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.72)% (0.89)% (1.07)% (1.23)% (1.39)% (1.57)% (1.67)% (1.90)% (2.05)% (0.38)% (0.83)% (0.48)% (0.78)% (0.39)% (0.58)% (0.75)% (0.93)% (1.09)% (1.27)% (1.45)% (1.59)% (0.98)% (1.13)% (1.28)%
Net Investment Income (Loss) 1.22 % 1.59 % 1.95 % 2.34 % 2.70 % 3.05 % 3.44 % 3.67 % 4.18 % 4.51 % 0.83 % 1.83 % 1.04 % 1.72 % 0.85 % 1.27 % 1.66 % 2.03 % 2.40 % 2.79 % 3.17 % 3.49 % 2.14 % 2.48 % 2.81 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -197-
FMT/DFA Real Estate Securities Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 13,935,076
Liabilities 9,364
Fees payable
$ 13,925,712
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 573,896 105,497 108,195 71,975 123,181 82,287 41,349 66,558
NAV per Unit $ 11.7027 $ 12.3237 $ 12.0842 $ 12.3584 $ 12.0802 $ 12.0190 $ 11.4777 $ 11.4312
Net Assets $ 6,716,155 1,300,118 1,307,452 889,501 1,488,044 989,004 474,594 760,844 $ 13,925,712
The accompanying notes are an integral part of these financial statements. -198-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
394,835
128,887 4,198 1,200 134,285
Net investment income
260,550
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,575,621 2,230,018
Net realized gain from investments sold
345,603
Change in net unrealized appreciation (depreciation) on investments
1,153,335
Net realized and unrealized gain on investments
1,498,938
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -199-
1,759,488
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
260,550 345,603
Change in net unrealized appreciation (depreciation) on investments
1,153,335
Net increase in net assets resulting from operations
1,759,488
Participant transactions Proceeds from units purchased Less payments for units redeemed
16,102,523 14,164,032 1,938,491
Increase in net assets from participant transactions Total increase in net assets
3,697,979 10,227,733
Net assets at beginning of year
$ 13,925,712
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -200-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA Real Estate Securities I Fund (Cost $11,868,462)
Shares
Fair Value
529,046
$ 13,935,076
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - Sector Specific $ 13,935,076
$ 13,935,076
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,474,841 and $2,575,621, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -201-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 550,778 99,336 170,241 199,197 136,976 152,564 122,712 3,629 22,085 10,927 7,720 99,251 125,024 19,347 33,733 6,717,989 1,168,707 1,234,613 756,179 1,937,231 919,723 511,389 847,228 61,663 148,516 45,765 16,102,523
Redemptions (909,469) (466,234) (1,695,374) (2,099,121) (2,078,523) (1,482,356) (457,674) (12,537) (463,909) (39,784) (114,707) (508,884) (757,196) (80,669) (53,408) (178,542) (167,610) (164,988) (101,402) (606,552) (187,886) (86,005) (153,607) (473,761) (647,374) (176,460) $ (14,164,032)
$
Units
$
$
Net change (358,691) (366,898) (1,525,133) (1,899,924) (1,941,547) (1,329,792) (334,962) (8,908) (441,824) (28,857) (106,987) (409,633) (632,172) (61,322) (19,675) 6,539,447 1,001,097 1,069,625 654,777 1,330,679 731,837 425,384 693,621 (412,098) (498,858) (130,695) 1,938,491
Purchases 40,884 7,142 11,381 16,038 9,999 14,457 8,909 282 1,728 947 671 7,661 5,097 1,817 2,758 589,646 98,594 108,499 65,159 175,388 83,180 47,520 80,371 4,675 12,617 4,195 1,399,615
Redemptions (64,490) (32,306) (111,069) (165,935) (154,812) (140,592) (33,578) (958) (37,250) (3,442) (10,003) (35,852) (30,462) (7,383) (4,473) (15,750) (13,731) (14,324) (8,496) (53,730) (16,288) (7,678) (13,813) (34,936) (53,250) (15,261) (1,079,862)
The accompanying notes are an integral part of these financial statements. -202-
Net change (23,606) (25,164) (99,688) (149,897) (144,813) (126,135) (24,669) (676) (35,522) (2,495) (9,332) (28,191) (25,365) (5,566) (1,715) 573,896 84,863 94,175 56,663 121,658 66,892 39,842 66,558 (30,261) (40,633) (11,066) 319,753
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Real Estate Securities Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (f) Class Q (c) Class R1 (i) Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.8451 13.1210 13.6163 11.5616 12.3991 9.6334 12.5908 11.8064 11.8589 10.2812 10.3964 12.7170 21.9927 9.7504 10.6497 10.0000 10.5536 10.3659 10.6191 10.3976 10.3625 9.9126 10.0000 12.0310 11.0058 10.3519
Net Investment Income (Loss)(a) $ 0.1531 0.2053 0.2619 0.2637 0.3303 0.2881 0.4217 0.4223 0.4804 0.4547 0.0836 0.0846 0.3992 0.0995 0.1836 0.0841 0.1380 0.1741 0.2195 0.2545 0.2917 0.3203 0.3447 0.2537 0.2666 0.2835
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7014 1.6650 1.6839 1.3353 1.2543 1.0361 1.2514 0.8644 1.0607 0.8622 1.1917 1.4065 2.5050 1.0866 1.3508 1.6186 1.6321 1.5442 1.5198 1.4281 1.3648 1.2448 1.0865 1.4278 1.2474 0.8872
Total from Investment Activities $ 1.8545 1.8703 1.9458 1.5990 1.5846 1.3242 1.6731 1.2867 1.5411 1.3169 1.2753 1.4911 2.9042 1.1861 1.5344 1.7027 1.7701 1.7183 1.7393 1.6826 1.6565 1.5651 1.4312 1.6815 1.5140 1.1707
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7027 12.3237 12.0842 12.3584 12.0802 12.0190 11.4777 11.4312 -
Total Return 14.44 14.25 14.29 13.83 12.78 13.75 13.29 10.90 13.00 12.81 12.27 11.73 13.21 12.16 14.41 17.03 16.77 16.58 16.38 16.18 15.99 15.79 14.31 13.98 13.76 11.31
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.93)% (1.10)% (1.29)% (1.44)% (1.62)% (1.75)% (1.96)% (2.14)% (0.39)% (0.32)% (0.88)% (0.50)% (0.83)% (0.40)% (0.62)% (0.80)% (0.98)% (1.17)% (1.34)% (1.54)% (1.66)% (1.02)% (1.17)% (1.34)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 20, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -203-
Net Investment Income (Loss) 1.11 % 1.46 % 1.80 % 2.13 % 2.50 % 2.80 % 3.14 % 3.39 % 3.80 % 4.16 % 0.76 % 0.63 % 1.70 % 0.96 % 1.61 % 0.78 % 1.21 % 1.55 % 1.91 % 2.26 % 2.61 % 3.00 % 3.22 % 1.97 % 2.27 % 2.59 %
FMT/DFA Short-Term Extended Quality Institutional Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,206,612
Liabilities 3,434
Fees payable $
Net assets
5,203,178
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 267,291 22,815 25,414 137,465 19,864 7,988 21,661
NAV per Unit $ 10.5298 $ 10.1744 $ 10.1600 $ 10.1694 $ 10.1168 $ 10.1021 $ 10.0973
$
$
The accompanying notes are an integral part of these financial statements. -204-
Net Assets 2,814,532 232,128 258,202 1,397,937 200,964 80,695 218,720 5,203,178
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
114,285
52,064 1,989 1,200 55,253
Net investment income
59,032
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,048,899 2,029,451
Net realized gain from investments sold
19,448
Change in net unrealized appreciation (depreciation) on investments
68,433
Net realized and unrealized gain on investments
87,881
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -205-
146,913
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
59,032
Net realized gain from investments sold
19,448
Change in net unrealized appreciation (depreciation) on investments
68,433 146,913
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
5,940,550 6,658,901 (718,351)
Decrease in net assets from participant transactions Total decrease in net assets
(571,438) 5,774,616
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -206-
5,203,178
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA Short-Term Extended Quality Portfolio Fund (Cost $5,165,304)
477,233
Fair Value
$
5,206,612
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Short Duration Bond
$
Level 1
5,206,612
$
5,206,612
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,388,434 and $2,048,899, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -207-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class L Class M Class O Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class T Class U
$
$
Purchases 106,309 13,816 55,461 67,775 5,438 58,589 62,068 145 282 6,395 43,763 69,202 2,701,149 232,385 277,304 1,684,645 198,812 96,646 218,810 24,885 16,671 5,940,550
Redemptions (160,451) (92,761) (621,047) (858,429) (173,994) (224,541) (198,916) (145) (284) (53,687) (452,338) (2,709,479) (14,089) (1,172) (22,567) (304,384) (16,548) (570) (677,087) (76,412) $ (6,658,901)
$
Units
$
$
Net change (54,142) (78,945) (565,586) (790,654) (168,556) (165,952) (136,848) (2) (47,292) (408,575) (2,640,277) 2,687,060 231,213 254,737 1,380,261 198,812 80,098 218,240 (652,202) (59,741) (718,351)
Purchases 10,307 1,295 5,180 6,382 515 5,578 6,030 14 28 618 4,125 6,677 256,454 22,930 27,640 167,485 19,864 9,623 21,718 2,443 1,640 576,546
Redemptions (15,341) (8,593) (57,869) (80,689) (16,425) (21,215) (19,318) (14) (28) (5,104) (42,275) (259,990) (1,340) (115) (2,226) (30,020) (1,635) (57) (66,330) (7,440) (636,024)
The accompanying notes are an integral part of these financial statements. -208-
Net change (5,034) (7,298) (52,689) (74,307) (15,910) (15,637) (13,288) (4,486) (38,150) (253,313) 255,114 22,815 25,414 137,465 19,864 7,988 21,661 (63,887) (5,800) (59,478)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Short-Term Extended Quality Institutional Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class L (g) Class M (h) Class O (e) Class Q (c) Class R1 Class R3 (i) Class R4 (j) Class R5 (k) Class R6 (l) Class R7 (m) Class R8 (l) Class T (n) Class U (h)
NAV per Unit, Beginning of Period $ 10.1441 10.5244 10.5240 10.4885 10.4206 10.3635 10.1256 10.0000 10.0000 10.2051 10.4352 10.1845 10.2023 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0840 10.0453
Net Investment Income (Loss)(a) $ 0.0630 0.0848 0.1046 0.1234 0.1425 0.1600 0.1737 0.0311 0.0128 0.0482 0.0973 0.0886 0.0428 0.0643 0.0936 0.1156 0.0814 0.0910 0.1052 0.0577 0.1415
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2558 0.2286 0.1814 0.1419 0.0942 0.0706 0.0063 0.0866 0.2370 0.2671 0.1802 0.1991 0.2847 0.1101 0.0664 0.0538 0.0354 0.0111 (0.0079) 0.0673 0.0849
Total from Investment Activities $ 0.3188 0.3134 0.2860 0.2653 0.2367 0.2306 0.1800 0.1177 0.2498 0.3153 0.2775 0.2877 0.3275 0.1744 0.1600 0.1694 0.1168 0.1021 0.0973 0.1250 0.2264
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5298 10.1744 10.1600 10.1694 10.1168 10.1021 10.0973 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 19, 2012 (commencement of this class) through June 7, 2012
(g)
For the period from February 17, 2012 (commencement of this class) through November 27, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from April 5, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 7, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 27, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 7, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through June 7, 2012
Total Return 3.14 2.98 2.72 2.53 2.27 2.23 1.78 1.18 2.50 3.09 2.66 2.82 3.21 1.74 1.60 1.69 1.17 1.02 0.97 1.24 2.25
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.09)% (1.27)% (1.43)% (1.59)% (0.29)% (0.12)% (0.44)% (0.86)% (0.80)% (0.39)% (0.60)% (0.87)% (1.07)% (0.76)% (0.85)% (0.98)% (0.53)% (1.30)%
The accompanying notes are an integral part of these financial statements. -209-
Net Investment Income (Loss) 0.61 % 0.79 % 0.98 % 1.16 % 1.35 % 1.53 % 1.70 % 0.31 % 0.13 % 0.46 % 0.92 % 0.86 % 0.41 % 0.64 % 0.93 % 1.15 % 0.81 % 0.90 % 1.05 % 0.57 % 1.39 %
FMT/DFA Two Year Global Fixed Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 15,007,664
Liabilities 10,978
Fees payable
$ 14,996,686
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 706,538 51,082 135,418 30,802 234,484 110,310 88,727 139,447
NAV per Unit $ 10.0638 $ 10.0390 $ 10.0182 $ 10.0075 $ 9.9834 $ 9.9671 $ 9.9486 $ 9.9347
Net Assets $ 7,110,472 512,817 1,356,645 308,247 2,340,944 1,099,480 882,711 1,385,370 $ 14,996,686
The accompanying notes are an integral part of these financial statements. -210-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
203,927
147,663 4,567 1,200 153,430
Net investment income
50,497
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
2,137,801 2,153,506
Net realized loss from investments sold
(15,705)
Change in net unrealized appreciation (depreciation) on investments
(52,836)
Net realized and unrealized loss on investments
(68,541)
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -211-
(18,044)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
50,497
Net realized loss from investments sold
(15,705)
Change in net unrealized appreciation (depreciation) on investments
(52,836)
Net decrease in net assets resulting from operations
(18,044)
Participant transactions Proceeds from units purchased Less payments for units redeemed
18,750,498 15,577,826 3,172,672
Increase in net assets from participant transactions Total increase in net assets
3,154,628 11,842,058
Net assets at beginning of year
$ 14,996,686
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -212-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA Two Year Global Fixed Income Portfolio Fund (Cost $15,190,892)
Shares
Fair Value
1,494,787
$ 15,007,664
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Global Bond
Total
Level 1
$ 15,007,664
$ 15,007,664
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,359,703 and $2,137,801, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -213-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 546,361 37,782 187,993 69,510 237,081 191,253 28,541 145 26,404 56,361 146,542 217,928 7,484,027 637,659 1,389,955 328,403 2,842,344 1,193,327 966,686 1,734,320 80,501 301,743 45,632 18,750,498
Redemptions (730,398) (862,544) (1,599,802) (819,853) (2,617,886) (2,194,834) (666,198) (145) (898,356) (179,341) (1,148,107) (22,832) (217,774) (374,631) (163,787) (33,487) (20,042) (498,491) (91,007) (150,345) (340,400) (375,726) (1,210,061) (361,779) $ (15,577,826)
$
Units
$
$
Net change (184,037) (824,762) (1,411,809) (750,343) (2,380,805) (2,003,581) (637,657) (871,952) (122,980) (1,001,565) (22,832) 154 7,109,396 473,872 1,356,468 308,361 2,343,853 1,102,320 816,341 1,393,920 (295,225) (908,318) (316,147) 3,172,672
Purchases 53,916 3,273 16,500 6,184 21,336 17,445 2,699 14 2,543 5,686 14,389 21,763 743,766 63,616 138,760 32,803 284,338 119,420 96,873 173,572 8,055 30,352 4,592 1,861,895
Redemptions (72,001) (74,732) (140,465) (72,986) (235,808) (200,301) (62,950) (14) (86,436) (18,170) (112,737) (2,277) (21,763) (37,228) (16,305) (3,342) (2,001) (49,854) (9,110) (15,096) (34,125) (37,617) (121,837) (36,442) (1,463,597)
The accompanying notes are an integral part of these financial statements. -214-
Net change (18,085) (71,459) (123,965) (66,802) (214,472) (182,856) (60,251) (83,893) (12,484) (98,348) (2,277) 706,538 47,311 135,418 30,802 234,484 110,310 81,777 139,447 (29,562) (91,485) (31,850) 398,298
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA Two Year Global Fixed Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (b) Class J (b) Class O (f) Class P (h) Class Q (i) Class R1 (j) Class R2 Class R3 (k) Class R4 (j) Class R5 (l) Class R6 (m) Class R7 Class R8 (n) Class S (b) Class T (e) Class U (h)
NAV per Unit, Beginning of Period $ 10.1152 11.5251 11.3765 11.2317 11.1127 10.9745 10.5860 10.0000 10.3986 9.9644 10.1648 9.9747 10.0000 10.0000 9.9973 10.0000 10.0000 10.0000 10.0000 9.9918 10.0000 9.9825 9.9362 9.9406
Net Investment Income (Loss)(a) $ 0.0185 0.0196 0.0335 0.0394 0.0453 0.0505 0.0556 0.0093 0.0655 0.0672 0.0281 0.0155 0.0122 0.0124 0.0195 0.0242 0.0311 0.0361 0.0415 0.0486 0.0526 0.0322 0.0370 0.0418
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0262 0.0131 (0.0198) (0.0424) (0.0665) (0.0900) (0.1096) 0.0144 (0.1527) (0.1663) (0.0089) 0.0373 (0.0077) 0.0514 0.0222 (0.0060) (0.0236) (0.0527) (0.0744) (0.0918) (0.1179) (0.0286) (0.0464) (0.0661)
Total from Investment Activities $ 0.0447 0.0327 0.0137 (0.0030) (0.0212) (0.0395) (0.0540) 0.0237 (0.0872) (0.0991) 0.0192 0.0528 0.0045 0.0638 0.0417 0.0182 0.0075 (0.0166) (0.0329) (0.0432) (0.0653) 0.0036 (0.0094) (0.0243)
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0638 10.0390 10.0182 10.0075 9.9834 9.9671 9.9486 9.9347 -
Total Return 0.44 % 0.28 % 0.12 % (0.03)% (0.19)% (0.36)% (0.51)% 0.24 % (0.84)% (0.99)% 0.19 % 0.53 % 0.05 % 0.64 % 0.42 % 0.18 % 0.08 % (0.17)% (0.33)% (0.43)% (0.65)% 0.04 % (0.09)% (0.24)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through August 29, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 19, 2012 (commencement of this class) through June 7, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from July 3, 2012 (commencement of this class) through December 11, 2012
(j)
For the period from January 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
Net Expenses (0.55)% (0.52)% (0.90)% (1.07)% (1.24)% (1.40)% (1.60)% (0.28)% (1.92)% (2.06)% (0.84)% (0.47)% (0.37)% (0.37)% (0.59)% (0.73)% (0.95)% (1.10)% (1.26)% (1.48)% (1.60)% (0.98)% (1.13)% (1.28)%
The accompanying notes are an integral part of these financial statements. -215-
Net Investment Income (Loss) 0.18 % 0.17 % 0.29 % 0.35 % 0.41 % 0.46 % 0.53 % 0.09 % 0.63 % 0.68 % 0.28 % 0.15 % 0.12 % 0.12 % 0.20 % 0.24 % 0.31 % 0.36 % 0.42 % 0.49 % 0.53 % 0.32 % 0.37 % 0.42 %
FMT/DFA U.S. Core Equity I Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 15,301,166
Liabilities 9,679
Fees payable
$ 15,291,487
Net assets Components of net assets
Class R1 Class R2 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,061,325 115,656 9,984 30,569 182,009 24,616 19,710
NAV per Unit $ 10.2725 $ 11.7114 $ 11.0498 $ 11.7103 $ 11.3039 $ 11.4675 $ 11.4918
Net Assets $ 10,902,504 1,354,498 110,321 357,978 2,057,401 282,280 226,505 $ 15,291,487
The accompanying notes are an integral part of these financial statements. -216-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
266,957
156,892 4,851 1,200 162,943
Net investment income
104,014
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,179,251 1,988,884
Net realized gain from investments sold
190,367
Change in net unrealized appreciation (depreciation) on investments
1,655,214
Net realized and unrealized gain on investments
1,845,581
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -217-
1,949,595
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
104,014 190,367
Change in net unrealized appreciation (depreciation) on investments
1,655,214
Net increase in net assets resulting from operations
1,949,595
Participant transactions Proceeds from units purchased Less payments for units redeemed
15,938,677 15,599,964 338,713
Increase in net assets from participant transactions Total increase in net assets
2,288,308 13,003,179
Net assets at beginning of year
$ 15,291,487
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -218-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Core Equity I Portfolio Fund (Cost $13,113,097)
Shares
Fair Value
1,238,961
$ 15,301,166
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - All Cap Value
Total
Level 1
$ 15,301,166
$ 15,301,166
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,618,936 and $2,179,251, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -219-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R4 Class R5 Class R6 Class R7 Class R8
$
$
Purchases 527,923 17,623 694,871 182,996 7,114 333,160 1,288 138,719 10,913,064 333,281 101,200 218,296 2,044,717 298,257 126,168 15,938,677
Redemptions (3,713,309) (1,006,358) (4,875,017) (3,017,213) (171,203) (968,270) (1,339) (38,981) (1,314,732) (123,564) (40,851) (1,368) (20,143) (173,929) (113,589) (20,098) $ (15,599,964)
$
Units
$
$
Net change (3,185,386) (988,735) (4,180,146) (2,834,217) (164,089) (635,110) (51) (38,981) (1,176,013) 10,789,500 292,430 99,832 198,153 1,870,788 184,668 106,070 338,713
Purchases 50,179 1,480 42,511 16,796 705 27,187 122 13,742 1,072,958 30,139 10,108 19,754 198,373 28,333 12,185 1,524,572
Redemptions (339,448) (88,717) (293,492) (278,122) (17,587) (76,193) (122) (3,832) (126,128) (11,633) (3,790) (124) (1,779) (16,364) (10,499) (1,797) (1,269,627)
The accompanying notes are an integral part of these financial statements. -220-
Net change (289,269) (87,237) (250,981) (261,326) (16,882) (49,006) (3,832) (112,386) 1,061,325 26,349 9,984 17,975 182,009 17,834 10,388 254,945
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity I Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class F (b) Class G (c) Class I (e) Class J (f) Class N (g) Class O (d) Class R1 (h) Class R1 (i) Class R2 Class R4 (j) Class R5 Class R6 (k) Class R7 Class R8
NAV per Unit, Beginning of Period $ 9.5941 10.8919 14.8043 9.9664 9.0943 11.2444 10.0000 9.7148 9.1440 10.0000 10.0000 10.0784 10.0000 10.1285 10.0000 9.9524 9.9902
Net Investment Income (Loss)(a) $ 0.0601 0.0809 0.1279 0.0971 0.0996 0.1480 0.1340 0.0021 0.0538 0.0160 0.0024 0.0420 0.0358 0.0801 0.0873 0.1035 0.1155
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4053 1.5581 1.9611 1.3703 1.2183 1.3630 0.8805 0.4551 1.2760 1.2296 0.2701 1.5910 1.0140 1.5017 1.2166 1.4116 1.3861
Total from Investment Activities $ 1.4654 1.6390 2.0890 1.4674 1.3179 1.5110 1.0145 0.4572 1.3298 1.2456 0.2725 1.6330 1.0498 1.5818 1.3039 1.5151 1.5016
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2725 11.7114 11.0498 11.7103 11.3039 11.4675 11.4918
Total Return 15.27 15.05 14.11 14.72 14.49 13.44 10.15 4.71 14.54 12.46 2.73 16.20 10.50 15.62 13.04 15.22 15.03
% % % % % % % % % % % % % % % % %
Net Expenses (0.91)% (1.08)% (1.26)% (1.42)% (1.60)% (1.93)% (2.00)% (0.03)% (0.86)% (0.24)% (0.04)% (0.60)% (0.53)% (1.15)% (1.28)% (1.51)% (1.68)%
Net Investment Income (Loss) 0.58 % 0.69 % 0.81 % 0.91 % 1.02 % 1.23 % 1.28 % 0.02 % 0.55 % 0.15 % 0.02 % 0.39 % 0.34 % 0.73 % 0.82 % 0.97 % 1.08 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 11, 2012
(c)
For the period from January 1, 2012 through December 12, 2012
(d)
For the period from January 1, 2012 through December 13, 2012
(e)
For the period from January 1, 2012 through December 10, 2012
(f)
For the period from January 17, 2012 (commencement of this class) through December 10, 2012
(g)
For the period from January 1, 2012 through January 18, 2012
(h)
For the period from January 19, 2012 (commencement of this class) through September 14, 2012
(i)
For the period from November 27, 2012 (recommencement of this class) through December 31, 2012
(j)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -221-
FMT/DFA U.S. Core Equity II Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 20,865,385
Liabilities 12,445
Fees payable
$ 20,852,940
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 857,510 58,986 428,425 286,103 58,451 57,616 21,203 21,419
NAV per Unit $ 11.7620 $ 11.1457 $ 11.6524 $ 11.6967 $ 11.2155 $ 11.2570 $ 11.1725 $ 10.7273
Net Assets $ 10,086,033 657,441 4,992,203 3,346,463 655,558 648,581 236,889 229,772 $ 20,852,940
The accompanying notes are an integral part of these financial statements. -222-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
519,065
165,906 5,890 1,200 172,996
Net investment income
346,069
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,152,379 1,944,150
Net realized gain from investments sold
208,229
Change in net unrealized appreciation (depreciation) on investments
2,125,858
Net realized and unrealized gain on investments
2,334,087
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -223-
2,680,156
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
346,069 208,229
Change in net unrealized appreciation (depreciation) on investments
2,125,858
Net increase in net assets resulting from operations
2,680,156
Participant transactions Proceeds from units purchased Less payments for units redeemed
22,642,682 17,408,609 5,234,073
Increase in net assets from participant transactions Total increase in net assets
7,914,229 12,938,711
Net assets at beginning of year
$ 20,852,940
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -224-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Core Equity II Portfolio Fund (Cost $18,578,446)
Shares
Fair Value
1,713,086
$ 20,865,385
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - All Cap Value
Total
Level 1
$ 20,865,385
$ 20,865,385
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,734,415 and $2,152,379, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -225-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class J Class L Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 604,986 81,245 372,361 216,911 59,462 29,537 4,319 503 105,413 4,879 126,247 136,140 10,294,227 620,919 3,753,714 3,167,367 1,145,659 629,443 236,535 220,543 219,851 356,353 256,068 22,642,682
Redemptions (580,229) (1,673,368) (4,850,370) (2,140,469) (575,676) (210,240) (30,117) (481) (496,004) (38,328) (899,837) (486,911) (494,648) (30,751) (347,154) (156,423) (556,816) (35,144) (8,017) (2,592) (1,856,262) (1,120,564) (818,208) $ (17,408,609)
$
Units
$
$
Net change 24,757 (1,592,123) (4,478,009) (1,923,558) (516,214) (180,703) (25,798) 22 (390,591) (33,449) (773,590) (350,771) 9,799,579 590,168 3,406,560 3,010,944 588,843 594,299 228,518 217,951 (1,636,411) (764,211) (562,140) 5,234,073
Purchases 60,901 7,908 34,336 11,557 5,484 2,759 439 49 9,718 478 12,291 13,510 899,864 61,773 346,574 299,925 114,035 60,874 21,934 21,662 17,907 31,140 25,771 2,060,889
Redemptions (60,901) (165,499) (444,177) (110,494) (54,259) (20,224) (3,228) (49) (44,438) (3,635) (84,702) (45,054) (42,354) (2,787) (30,735) (13,822) (55,584) (3,258) (731) (243) (143,266) (91,685) (77,401) (1,498,526)
The accompanying notes are an integral part of these financial statements. -226-
Net change (157,591) (409,841) (98,937) (48,775) (17,465) (2,789) (34,720) (3,157) (72,411) (31,544) 857,510 58,986 315,839 286,103 58,451 57,616 21,203 21,419 (125,359) (60,545) (51,630) 562,363
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Core Equity II Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class H (h) Class J (i) Class L (j) Class O (f) Class Q (d) Class R1 (k) Class R2 (l) Class R3 Class R4 (k) Class R5 (m) Class R6 (n) Class R7 (o) Class R8 (p) Class S (i) Class T (e) Class U (j)
NAV per Unit, Beginning of Period $ 10.0000 9.4934 9.9542 17.0242 9.9973 9.8666 9.0056 10.0000 9.8075 9.2979 9.2239 9.4071 10.0000 10.0000 9.9453 10.0000 10.0000 10.0000 10.0000 10.0000 11.2775 10.6023 9.3696
Net Investment Income (Loss)(a) $ 0.0375 0.1057 0.1956 0.3987 0.2697 0.3020 0.1389 0.1285 0.4427 0.0773 0.1709 0.1636 0.0843 0.0683 0.1705 0.2110 0.2303 0.2753 0.1889 0.2482 0.2428 0.2642 0.2615
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.5235) 1.0119 1.3928 2.2895 1.2154 1.2178 0.1698 (0.2964) 0.9317 1.1678 1.2391 1.3488 1.6777 1.0774 1.5366 1.4857 0.9852 0.9817 0.9836 0.4791 1.4709 1.4018 0.9024
Total from Investment Activities $ (0.4860) 1.1176 1.5884 2.6882 1.4851 1.5198 0.3087 (0.1679) 1.3744 1.2451 1.4100 1.5124 1.7620 1.1457 1.7071 1.6967 1.2155 1.2570 1.1725 0.7273 1.7137 1.6660 1.1639
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from February 21, 2012 through June 15, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7620 11.1457 11.6524 11.6967 11.2155 11.2570 11.1725 10.7273 -
(c)
For the period from January 1, 2012 through August 29, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
Total Return (4.86)% 11.77 % 15.96 % 15.79 % 14.86 % 15.40 % 3.43 % (1.68)% 14.01 % 13.39 % 15.29 % 16.08 % 17.62 % 11.46 % 17.16 % 16.97 % 12.16 % 12.57 % 11.73 % 7.27 % 15.20 % 15.71 % 12.42 %
Net Expenses (0.19)% (0.53)% (0.91)% (1.08)% (1.26)% (1.42)% (0.76)% (0.65)% (2.11)% (0.39)% (0.86)% (0.80)% (0.39)% (0.32)% (0.79)% (0.97)% (1.09)% (1.29)% (0.89)% (1.20)% (1.00)% (1.15)% (1.31)%
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through June 6, 2012
(h)
For the period from January 19, 2012 (commencement of this class) through June 7, 2012
(i)
For the period from January 1, 2012 through December 10, 2012
(j)
For the period from January 1, 2012 through November 27, 2012
(k)
For the period from January 3, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 18, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from April 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -227-
Net Investment Income (Loss) 0.38 % 1.05 % 1.82 % 2.17 % 2.51 % 2.84 % 1.52 % 1.30 % 4.22 % 0.78 % 1.72 % 1.61 % 0.77 % 0.65 % 1.58 % 1.95 % 2.17 % 2.59 % 1.78 % 2.40 % 2.00 % 2.31 % 2.63 %
FMT/DFA U.S. Large Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 27,514,923
Liabilities 17,782
Fees payable
$ 27,497,141
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,427,481 57,291 257,862 79,935 239,167 113,909 95,283 111,953
NAV per Unit $ 11.2315 $ 12.2085 $ 12.0363 $ 12.0264 $ 12.1196 $ 12.0981 $ 11.9557 $ 11.4694
Net Assets $ 16,032,786 699,437 3,103,708 961,328 2,898,604 1,378,081 1,139,170 1,284,027 $ 27,497,141
The accompanying notes are an integral part of these financial statements. -228-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
523,713
255,485 8,745 1,200 265,430
Net investment income
258,283
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,803,640 4,404,493
Net realized gain from investments sold
399,147
Change in net unrealized appreciation (depreciation) on investments
4,207,921
Net realized and unrealized gain on investments
4,607,068
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -229-
4,865,351
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
258,283 399,147
Change in net unrealized appreciation (depreciation) on investments
4,207,921
Net increase in net assets resulting from operations
4,865,351
Participant transactions Proceeds from units purchased Less payments for units redeemed
28,953,526 29,694,114 (740,588)
Decrease in net assets from participant transactions Total increase in net assets
4,124,763 23,372,378
Net assets at beginning of year
$ 27,497,141
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -230-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Large Cap Value Portfolio Fund (Cost $23,752,767)
Shares
Fair Value
1,201,525
$ 27,514,923
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Value
Total
Level 1
$ 27,514,923
$ 27,514,923
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,318,943 and $4,803,640, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -231-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 464,304 140,181 309,645 117,152 327,293 151,656 141,487 7,577 24,953 22,889 52,377 5,615 157,611 42,125 109,686 16,319,014 473,510 1,789,917 759,864 3,264,926 1,374,976 1,093,948 1,409,807 136,693 183,897 72,423 28,953,526
Redemptions (609,332) (2,098,094) (4,053,066) (2,182,821) (4,309,248) (2,537,407) (867,313) (70,215) (906,881) (105,418) (739,236) (143,652) (2,148,377) (436,148) (1,954,693) (785,518) (59,631) (365,059) (135,347) (905,216) (283,429) (181,606) (287,309) (1,341,330) (2,007,622) (180,146) $ (29,694,114)
$
Units
$
$
Net change (145,028) (1,957,913) (3,743,421) (2,065,669) (3,981,955) (2,385,751) (725,826) (62,638) (881,928) (82,529) (686,859) (138,037) (1,990,766) (394,023) (1,845,007) 15,533,496 413,879 1,424,858 624,517 2,359,710 1,091,547 912,342 1,122,498 (1,204,637) (1,823,725) (107,723) (740,588)
Purchases 41,248 10,085 20,068 8,947 20,670 9,979 10,010 613 2,494 2,288 5,263 456 8,206 3,406 8,624 1,485,551 43,959 163,665 68,666 310,036 128,473 101,663 138,501 10,728 14,514 7,468 2,625,581
Redemptions (52,248) (152,866) (247,850) (164,072) (262,865) (164,846) (60,906) (5,361) (90,945) (10,041) (72,528) (11,855) (105,637) (34,041) (142,248) (71,065) (5,065) (32,356) (11,751) (80,451) (24,869) (15,548) (26,548) (100,341) (156,438) (16,900) (2,119,641)
The accompanying notes are an integral part of these financial statements. -232-
Net change (11,000) (142,781) (227,782) (155,125) (242,195) (154,867) (50,896) (4,748) (88,451) (7,753) (67,265) (11,399) (97,431) (30,635) (133,624) 1,414,486 38,894 131,309 56,915 229,585 103,604 86,115 111,953 (89,613) (141,924) (9,432) 505,940
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 10.2990 12.3252 13.9757 12.0382 14.5809 13.8798 12.9461 11.3611 9.2401 8.9479 9.0223 11.3152 17.3849 11.0650 11.5743 9.2380 10.0636 9.9384 9.9470 10.0410 10.0400 9.9388 10.0000 11.5281 11.6284 9.1874
Net Investment Income (Loss)(a) $ 0.0615 0.0957 0.1346 0.1369 0.1941 0.2070 0.2176 0.2015 0.1873 0.1977 0.0366 0.0376 0.1575 0.0562 0.0981 0.0399 0.0656 0.0834 0.1025 0.1223 0.1412 0.1607 0.1658 0.1215 0.1412 0.1251
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.9278 2.2613 2.5701 2.2209 2.5466 2.4003 2.2436 1.4719 1.4576 1.3785 1.4203 0.7374 3.1886 1.7190 2.1562 1.9536 2.0793 2.0145 1.9769 1.9563 1.9169 1.8562 1.3036 2.0498 2.1272 1.2672
Total from Investment Activities $ 1.9893 2.3570 2.7047 2.3578 2.7407 2.6073 2.4612 1.6734 1.6449 1.5762 1.4569 0.7750 3.3461 1.7752 2.2543 1.9935 2.1449 2.0979 2.0794 2.0786 2.0581 2.0169 1.4694 2.1713 2.2684 1.3923
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2315 12.2085 12.0363 12.0264 12.1196 12.0981 11.9557 11.4694 -
Total Return 19.32 19.12 19.35 19.59 18.80 18.78 19.01 14.73 17.80 17.62 16.15 6.85 19.25 16.04 19.48 21.58 21.31 21.11 20.90 20.70 20.50 20.29 14.69 18.83 19.51 15.15
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.06)% (1.25)% (1.40)% (1.58)% (1.70)% (1.91)% (2.09)% (0.39)% (0.33)% (0.85)% (0.48)% (0.79)% (0.40)% (0.61)% (0.78)% (0.96)% (1.13)% (1.31)% (1.51)% (1.59)% (0.99)% (1.14)% (1.30)%
Net Investment Income (Loss) 0.54 % 0.71 % 0.88 % 1.04 % 1.22 % 1.36 % 1.54 % 1.65 % 1.86 % 2.03 % 0.37 % 0.32 % 0.83 % 0.47 % 0.77 % 0.39 % 0.59 % 0.76 % 0.93 % 1.10 % 1.28 % 1.47 % 1.54 % 0.96 % 1.11 % 1.27 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 20, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -233-
FMT/DFA U.S. Large Cap Value III Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
2,087,620
Liabilities 1,120
Fees payable Net assets
$
2,086,500
$
Net Assets 1,976,415 110,085 2,086,500
Components of net assets
Class R1 Class R4
Units of Participation 195,123 9,724
NAV per Unit $ 10.1291 $ 11.3209
$
The accompanying notes are an integral part of these financial statements. -234-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
42,648
18,811 1,200 658 20,669
Net investment income
21,979
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
208,910 208,397
Net realized gain from investments sold
513
Change in net unrealized appreciation (depreciation) on investments
336,837
Net realized and unrealized gain on investments
337,350
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -235-
359,329
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
21,979 513
Change in net unrealized appreciation (depreciation) on investments
336,837
Net increase in net assets resulting from operations
359,329
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,380,560 2,327,816 52,744
Increase in net assets from participant transactions Total increase in net assets
412,073 1,674,427
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -236-
2,086,500
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA U.S. Large Cap Value Portfolio III Fund (Cost $1,973,829)
119,156
Fair Value $
2,087,620
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
2,087,620
$
2,087,620
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $283,375 and $208,910, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -237-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class O Class R1 Class R4
$
$
Purchases 42,239 897 137,321 84,561 2,015,828 99,714 2,380,560
Redemptions (382,022) (15,733) (788,399) (1,071,450) (68,290) (1,922) $ (2,327,816)
$
Units
$
$
Net change (339,783) (14,836) (651,078) (986,889) 1,947,538 97,792 52,744
Purchases 3,641 115 14,280 8,757 201,880 9,896 238,569
Redemptions (31,791) (1,870) (77,139) (103,256) (6,757) (172) (220,985)
The accompanying notes are an integral part of these financial statements. -238-
Net change (28,150) (1,755) (62,859) (94,499) 195,123 9,724 17,584
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Cap Value III Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class O (d) Class R1 (e) Class R4 (f)
NAV per Unit, Beginning of Period $ 10.3824 7.0290 8.6633 8.7330 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.1152 0.0932 0.1332 0.0915 0.0024 0.0608
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.9041 1.2894 1.4989 1.5930 0.1267 1.2601
Total from Investment Activities $ 2.0193 1.3826 1.6321 1.6845 0.1291 1.3209
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1291 11.3209
Total Return 19.45 19.67 18.84 19.29 1.29 13.21
% % % % % %
Net Expenses (2.09)% (2.49)% (2.89)% (1.97)% (0.02)% (0.54)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 11, 2012
(c)
For the period from January 1, 2012 through December 12, 2012
(d)
For the period from January 1, 2012 through December 13, 2012
(e)
For the period from December 12, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -239-
Net Investment Income (Loss) 2.22 % 2.65 % 3.08 % 2.10 % 0.02 % 0.57 %
FMT/DFA U.S. Large Company Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 14,341,495
Liabilities 9,777
Fees payable
$ 14,331,718
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 386,225 40 105,813 17,618 200,700 47,566 59,433 82,743
NAV per Unit $ 22.0188 $ 11.6888 $ 11.4712 $ 11.6966 $ 11.2519 $ 11.6326 $ 11.4113 $ 11.0871
Net Assets $ 8,504,210 463 1,213,805 206,076 2,258,252 553,319 678,211 917,382 $ 14,331,718
The accompanying notes are an integral part of these financial statements. -240-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
309,243
145,778 4,951 1,200 151,929
Net investment income
157,314
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,848,157 2,517,003
Net realized gain from investments sold
331,154
Change in net unrealized appreciation (depreciation) on investments
1,429,797
Net realized and unrealized gain on investments
1,760,951
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -241-
1,918,265
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
157,314 331,154
Change in net unrealized appreciation (depreciation) on investments
1,429,797
Net increase in net assets resulting from operations
1,918,265
Participant transactions Proceeds from units purchased Less payments for units redeemed
14,821,161 16,376,643 (1,555,482)
Decrease in net assets from participant transactions Total increase in net assets
362,783 13,968,935
Net assets at beginning of year
$ 14,331,718
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -242-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Large Company Portfolio Fund (Cost $12,196,439)
Shares
Fair Value
1,278,208
$ 14,341,495
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Core
Total
Level 1
$ 14,341,495
$ 14,341,495
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,466,951 and $2,848,157, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -243-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 209,778 674 160,051 111,487 141,791 71,071 49,313 46,847 2,413 4,753 14,277 107,725 71,695 51,096 8,569,993 249 167,341 200,850 2,481,785 580,507 594,507 1,064,482 70,206 48,270 14,821,161
Redemptions (347,092) (334,684) (1,265,121) (1,770,917) (2,980,200) (1,313,954) (710,703) (169,604) (576,516) (13,625) (129,025) (1,685,225) (645,947) (1,500,067) (204,959) (52) (117,514) (14,329) (450,011) (78,887) (104,132) (240,352) (708,437) (1,015,290) $ (16,376,643)
$
Units
$
$
Net change (137,314) (334,010) (1,105,070) (1,659,430) (2,838,409) (1,242,883) (661,390) (122,757) (574,103) (8,872) (114,748) (1,577,500) (574,252) (1,448,971) 8,365,034 197 49,827 186,521 2,031,774 501,620 490,375 824,130 (638,231) (967,020) (1,555,482)
Purchases 18,084 58 10,877 8,497 10,349 5,241 3,620 3,590 230 380 1,314 6,117 5,536 3,986 390,816 22 15,201 18,392 242,070 54,259 56,637 105,101 5,509 3,807 969,693
Redemptions (28,751) (28,547) (83,655) (133,901) (221,165) (97,498) (53,156) (13,348) (55,044) (1,072) (11,639) (91,681) (49,832) (112,077) (9,386) (5) (10,498) (1,236) (41,370) (7,177) (9,213) (22,358) (54,545) (81,383) (1,218,537)
The accompanying notes are an integral part of these financial statements. -244-
Net change (10,667) (28,489) (72,778) (125,404) (210,816) (92,257) (49,536) (9,758) (54,814) (692) (10,325) (85,564) (44,296) (108,091) 381,430 17 4,703 17,156 200,700 47,082 47,424 82,743 (49,036) (77,576) (248,844)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Large Company Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (b) Class J (b) Class L (g) Class O (f) Class P (g) Class Q (d) Class R1 Class R2 Class R3 Class R4 Class R5 (h) Class R6 Class R7 Class R8 (i) Class S (b) Class T (e)
NAV per Unit, Beginning of Period $ 10.5652 11.5172 13.3030 12.1781 12.5122 12.4422 12.4359 11.4157 10.1330 11.2910 9.8171 16.1104 11.6807 11.6774 19.0859 10.1253 9.9818 10.1952 10.0000 10.1737 9.9970 10.0000 11.6307 11.5496
Net Investment Income (Loss)(a) $ 0.0677 0.0023 0.1358 0.1469 0.1771 0.1967 0.2222 0.2159 0.2163 0.2647 0.0424 0.1546 0.0630 0.1049 0.0865 0.0347 0.0880 0.1116 0.1243 0.1508 0.1696 0.1782 0.1302 0.1484
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4531 0.2049 1.8384 1.6447 1.5520 1.5818 1.5388 1.1065 1.1029 1.1765 1.2301 2.1412 1.4392 1.6419 2.8464 1.5288 1.4014 1.3898 1.1276 1.3081 1.2447 0.9089 1.4906 1.5419
Total from Investment Activities $ 1.5208 0.2072 1.9742 1.7916 1.7291 1.7785 1.7610 1.3224 1.3192 1.4412 1.2725 2.2958 1.5022 1.7468 2.9329 1.5635 1.4894 1.5014 1.2519 1.4589 1.4143 1.0871 1.6208 1.6903
Ratios (to average unit value)
NAV per Unit, End of Period $ 22.0188 11.6898 11.4712 11.6966 11.2519 11.6326 11.4113 11.0871 -
Total Return 14.39 1.80 14.84 14.71 13.82 14.29 14.16 11.58 13.02 12.76 12.96 14.25 12.86 14.96 15.37 15.44 14.92 14.73 12.52 14.34 14.15 10.87 13.94 14.64
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.02)% (0.92)% (1.09)% (1.28)% (1.42)% (1.61)% (1.73)% (1.94)% (2.13)% (0.39)% (0.87)% (0.49)% (0.81)% (0.41)% (0.31)% (0.79)% (0.98)% (1.13)% (1.34)% (1.53)% (1.63)% (1.01)% (1.02)%
Net Investment Income (Loss) 0.60 % 0.02 % 0.95 % 1.12 % 1.32 % 1.48 % 1.67 % 1.79 % 2.00 % 2.20 % 0.41 % 0.90 % 0.51 % 0.84 % 0.42 % 0.32 % 0.82 % 1.02 % 1.17 % 1.38 % 1.58 % 1.69 % 1.05 % 1.20 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through January 9, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -245-
FMT/DFA U.S. Micro Cap Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,135,254
Liabilities 2,691
Fees payable $
Net assets
4,132,563
Components of net assets
Class R1 Class R2 Class R4 Class R5 Class R6 Class R7
Units of Participation 195,258 45,220 38,278 35,331 23,876 18,989
NAV per Unit $ 11.5406 $ 11.8727 $ 12.0598 $ 11.5109 $ 11.0754 $ 11.0356
$
$
The accompanying notes are an integral part of these financial statements. -246-
Net Assets 2,253,389 536,881 461,620 406,685 264,438 209,550 4,132,563
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
270,390
40,555 1,382 1,200 43,137
Net investment income
227,253
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
734,082 691,536
Net realized gain from investments sold
42,546
Change in net unrealized appreciation (depreciation) on investments
334,311
Net realized and unrealized gain on investments
376,857
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -247-
604,110
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
227,253 42,546
Change in net unrealized appreciation (depreciation) on investments
334,311
Net increase in net assets resulting from operations
604,110
Participant transactions Proceeds from units purchased Less payments for units redeemed
4,085,025 4,247,624 (162,599)
Decrease in net assets from participant transactions Total increase in net assets
441,511 3,691,052
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -248-
4,132,563
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA U.S. Micro Cap Portfolio Fund (Cost $3,793,981)
283,237
Fair Value $
4,135,254
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Core
$
Level 1
4,135,254
$
4,135,254
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $798,130 and $734,082, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -249-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class L Class O Class P Class R1 Class R2 Class R4 Class R5 Class R6 Class R7
$
$
Purchases 137,711 10,228 22,023 41,010 62,961 106,597 24,027 715 3,047 35,867 2,252,379 121,749 274,756 481,160 266,202 244,593 4,085,025
Redemptions (281,276) (348,504) (290,636) (356,978) (819,521) (968,852) (147,528) (73,919) (34,609) (443,982) (17,720) (70,054) (133,560) (40,785) (130,313) (25,647) (63,740) $ (4,247,624)
$
Units
$
$
Net change (143,565) (338,276) (268,613) (315,968) (756,560) (862,255) (123,501) (73,204) (31,562) (408,115) (17,720) 2,182,325 (11,811) 233,971 350,847 240,555 180,853 (162,599)
Purchases 10,655 743 1,722 3,491 4,895 9,404 2,008 74 299 1,807 201,314 10,962 25,527 47,748 26,443 24,949 372,041
Redemptions (20,860) (25,620) (21,889) (30,931) (64,659) (83,658) (11,942) (7,716) (3,336) (21,548) (1,615) (6,204) (12,931) (3,653) (12,417) (2,567) (5,960) (337,506)
The accompanying notes are an integral part of these financial statements. -250-
Net change (10,205) (24,877) (20,167) (27,440) (59,764) (74,254) (9,934) (7,642) (3,037) (19,741) (1,615) 195,110 (1,969) 21,874 35,331 23,876 18,989 34,535
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Micro Cap Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (f) Class L (g) Class O (e) Class P (g) Class R1 Class R2 Class R4 Class R5 (h) Class R6 (i) Class R7 (j)
NAV per Unit, Beginning of Period $ 11.8969 12.7115 11.7301 10.8690 11.8375 10.5229 11.0122 8.9551 9.3053 18.2657 9.8602 9.7866 10.1043 10.2983 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.3910 0.5436 0.6166 0.6753 0.8627 0.8599 1.0111 0.7304 0.2059 0.9020 0.2731 0.2373 0.3535 0.5767 0.6350 0.6883 0.7792
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2204 1.1552 1.0711 0.7795 0.6333 0.5968 0.4027 1.4374 0.8546 1.4841 0.8408 1.5167 1.4149 1.1848 0.8759 0.3871 0.2564
Total from Investment Activities $ 1.6114 1.6988 1.6877 1.4548 1.4960 1.4567 1.4138 2.1678 1.0605 2.3861 1.1139 1.7540 1.7684 1.7615 1.5109 1.0754 1.0356
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.5406 11.8727 12.0598 11.5109 11.0754 11.0356
Total Return 13.54 13.36 14.39 13.38 12.64 13.84 12.84 24.21 11.40 13.06 11.30 17.92 17.50 17.10 15.11 10.75 10.36
% % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.76)% (0.93)% (1.11)% (1.30)% (1.45)% (1.64)% (1.38)% (0.40)% (0.88)% (0.50)% (0.42)% (0.61)% (0.98)% (1.12)% (1.24)% (1.41)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through September 7, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 10, 2012 (the commencement of this class) through December 31, 2012
(i)
For the period from January 20, 2012 (the commencement of this class) through December 31, 2012
(j)
For the period from January 24, 2012 (the commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -251-
Net Investment Income (Loss) 3.08 % 4.01 % 4.90 % 5.82 % 6.85 % 7.64 % 8.63 % 7.28 % 2.09 % 4.64 % 2.62 % 2.23 % 3.22 % 5.16 % 5.90 % 6.53 % 7.41 %
FMT/DFA U.S. Small Cap Portfolio Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 17,418,081
Liabilities 10,241
Fees payable
$ 17,407,840
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 824,689 9,322 319,106 74,040 111,218 26,507 24,992 55,675
NAV per Unit $ 12.4286 $ 11.2815 $ 11.6698 $ 11.0657 $ 11.5148 $ 11.8027 $ 11.5799 $ 11.2593
Net Assets $ 10,249,712 105,162 3,723,901 819,304 1,280,652 312,848 289,402 626,859 $ 17,407,840
The accompanying notes are an integral part of these financial statements. -252-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,146,400
157,402 5,766 1,200 164,368
Net investment income
982,032
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,335,595 1,856,876
Net realized gain from investments sold
478,719
Change in net unrealized appreciation (depreciation) on investments
1,172,578
Net realized and unrealized gain on investments
1,651,297
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -253-
2,633,329
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
982,032 478,719
Change in net unrealized appreciation (depreciation) on investments
1,172,578
Net increase in net assets resulting from operations
2,633,329
Participant transactions Proceeds from units purchased Less payments for units redeemed
18,190,164 18,942,283 (752,119)
Decrease in net assets from participant transactions Total increase in net assets
1,881,210 15,526,630
Net assets at beginning of year
$ 17,407,840
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -254-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Small Cap Portfolio Fund (Cost $14,027,365)
Shares
Fair Value
768,332
$ 17,418,081
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Small Cap Core
Total
Level 1
$ 17,418,081
$ 17,418,081
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,562,809 and $2,335,595, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -255-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 96,522 63,215 207,862 99,682 201,169 15,833 1,430 1,801 25,998 6,687 4,008 87,713 37,558 77,413 9,559,207 99,391 2,365,575 863,017 1,434,726 1,751,367 216,540 702,988 98,877 122,166 49,419 18,190,164
Redemptions (92,868) (737,789) (2,382,158) (1,683,191) (2,883,789) (374,617) (299,586) (56,471) (310,902) (19,866) (48,970) (1,568,534) (388,192) (2,112,622) (311,886) (6,219) (428,716) (116,750) (306,584) (1,632,045) (18,847) (142,696) (1,377,271) (1,552,188) (89,526) $ (18,942,283)
$
Units
$
$
Net change 3,654 (674,574) (2,174,296) (1,583,509) (2,682,620) (358,784) (298,156) (54,670) (284,904) (13,179) (44,962) (1,480,821) (350,634) (2,035,209) 9,247,321 93,172 1,936,859 746,267 1,128,142 119,322 197,693 560,292 (1,278,394) (1,430,022) (40,107) (752,119)
Purchases 9,952 4,162 12,094 6,718 12,921 1,015 96 129 2,592 474 400 6,815 2,960 5,536 789,521 9,881 212,475 84,962 139,812 165,730 20,800 69,047 7,110 8,730 5,011 1,578,943
Redemptions (9,952) (48,684) (133,698) (114,501) (187,834) (24,445) (19,762) (3,938) (27,517) (1,380) (4,732) (117,768) (30,091) (144,298) (25,777) (559) (38,455) (10,922) (28,594) (142,464) (1,716) (13,372) (97,227) (109,558) (8,537) (1,345,781)
The accompanying notes are an integral part of these financial statements. -256-
Net change (44,522) (121,604) (107,783) (174,913) (23,430) (19,666) (3,809) (24,925) (906) (4,332) (110,953) (27,131) (138,762) 763,744 9,322 174,020 74,040 111,218 23,266 19,084 55,675 (90,117) (100,828) (3,526) 233,162
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Portfolio Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class H (h) Class I (i) Class I (j) Class J (c) Class L (h) Class O (f) Class P (h) Class Q (d) Class R1 Class R2 (k) Class R3 Class R4 (l) Class R5 (m) Class R6 Class R7 Class R8 (n) Class S (c) Class T (e) Class U (h)
NAV per Unit, Beginning of Period $ 10.0000 13.7314 15.7107 13.6172 14.3323 14.3840 14.3813 12.8185 11.0258 10.0000 12.7883 9.2100 11.7461 11.5121 12.7320 10.5387 10.0000 9.9337 10.0000 10.0000 10.0978 9.9241 10.0000 12.6828 12.9137 9.3694
Net Investment Income (Loss)(a) $ 0.1105 0.6509 0.9220 0.9475 1.1610 1.3056 0.6951 1.3869 0.0406 0.9504 1.7207 0.2283 0.6479 0.3564 0.6572 0.2646 0.2048 0.5076 0.5598 0.7142 0.8584 0.9707 1.0179 0.8159 0.9597 0.7779
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.7999) 1.3185 1.4780 1.0158 0.7834 0.8136 (0.2743) 0.0115 0.3397 (0.7045) (0.0718) 0.9027 0.9959 1.0456 1.3030 1.6253 1.0767 1.2285 0.5059 0.8006 0.8465 0.6851 0.2414 0.9679 0.8923 0.2826
Total from Investment Activities $ (0.6894) 1.9694 2.4000 1.9633 1.9444 2.1192 0.4208 1.3984 0.3803 0.2459 1.6489 1.1310 1.6438 1.4020 1.9602 1.8899 1.2815 1.7361 1.0657 1.5148 1.7049 1.6558 1.2593 1.7838 1.8520 1.0605
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.4286 11.2815 11.6698 11.0657 11.5148 11.8027 11.5799 11.2593 -
Total Return (6.89)% 14.34 % 15.28 % 14.42 % 13.57 % 14.73 % 2.93 % 10.91 % 3.45 % 2.46 % 12.89 % 12.28 % 13.99 % 12.18 % 15.40 % 17.93 % 12.82 % 17.48 % 10.66 % 15.15 % 16.88 % 16.68 % 12.59 % 14.06 % 14.34 % 11.32 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from February 21, 2012 (commencement of this class) through June 15, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through June 6, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 1, 2012 through January 11, 2012
(j)
For the period from February 23, 2012 (recommencement of this class) through December 10, 2012
(k)
For the period from June 18, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 23, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
Net Expenses (0.19)% (0.74)% (0.91)% (1.09)% (1.27)% (1.41)% (0.80)% (1.72)% (0.06)% (1.57)% (2.12)% (0.39)% (0.86)% (0.49)% (0.80)% (0.39)% (0.32)% (0.79)% (0.89)% (1.11)% (1.31)% (1.51)% (1.60)% (1.01)% (1.16)% (1.32)%
The accompanying notes are an integral part of these financial statements. -257-
Net Investment Income (Loss) 1.14 % 4.42 % 5.45 % 6.49 % 7.59 % 8.45 % 4.76 % 10.26 % 0.36 % 9.39 % 12.64 % 2.34 % 5.16 % 2.92 % 4.79 % 2.30 % 1.93 % 4.70 % 5.32 % 6.64 % 7.84 % 9.03 % 9.58 % 6.01 % 6.93 % 7.86 %
FMT/DFA U.S. Small Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
6,930,786
Liabilities 4,435
Fees payable $
Net assets
6,926,351
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 371,878 39 3,757 90,690 64,450 34,802 40,894 5,465
NAV per Unit $ 10.9058 $ 12.2773 $ 11.2493 $ 12.4209 $ 11.8098 $ 11.9776 $ 11.2879 $ 11.3331
$
$
The accompanying notes are an integral part of these financial statements. -258-
Net Assets 4,055,627 475 42,261 1,126,448 761,147 416,843 461,610 61,940 6,926,351
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
455,336
62,972 2,070 1,200 66,242
Net investment income
389,094
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
815,535 779,884
Net realized gain from investments sold
35,651
Change in net unrealized appreciation (depreciation) on investments
689,494
Net realized and unrealized gain on investments
725,145
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -259-
1,114,239
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
389,094 35,651 689,494
Change in net unrealized appreciation (depreciation) on investments
1,114,239
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
7,480,123 6,975,492 504,631
Increase in net assets from participant transactions Total increase in net assets
1,618,870
Net assets at beginning of year
5,307,481 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -260-
6,926,351
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) DFA U.S. Small Cap Value I Fund (Cost $6,504,069)
264,433
Fair Value $
6,930,786
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Value
$
Level 1
6,930,786
$
6,930,786
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,708,917 and $815,535, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -261-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class L Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class T
$
$
Purchases 137,608 25,418 124,266 34,780 235,485 53,804 56,189 3,846 16,924 100,920 4,054,942 248 37,567 749,765 823,498 402,981 563,376 58,506 7,480,123
Redemptions (289,483) (405,013) (857,510) (394,685) (1,801,145) (853,229) (206,021) (104,977) (157,138) (1,112,396) (22,178) (162,159) (54) (61,574) (170,608) (39,779) (137,887) (1,433) (198,223) $ (6,975,492)
$
Units
$
$
Net change (151,875) (379,595) (733,244) (359,905) (1,565,660) (799,425) (149,832) (101,131) (140,214) (1,011,476) (22,178) 3,892,783 194 37,567 688,191 652,890 363,202 425,489 57,073 (198,223) 504,631
Purchases 10,556 1,847 10,004 2,870 18,361 4,922 5,198 296 1,746 4,980 384,325 22 3,757 65,794 80,212 37,884 54,419 5,596 692,789
Redemptions (20,771) (29,958) (65,189) (30,881) (137,757) (76,732) (18,708) (8,035) (16,169) (52,325) (1,984) (15,396) (5) (5,526) (15,762) (3,671) (13,525) (131) (20,937) (533,462)
The accompanying notes are an integral part of these financial statements. -262-
Net change (10,215) (28,111) (55,185) (28,011) (119,396) (71,810) (13,510) (7,739) (14,423) (47,345) (1,984) 368,929 17 3,757 60,268 64,450 34,213 40,894 5,465 (20,937) 159,327
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Small Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class L (f) Class O (e) Class P (f) Class R1 Class R2 Class R3 (g) Class R4 Class R5 (h) Class R6 Class R7 (i) Class R8 (j) Class T (k)
NAV per Unit, Beginning of Period $ 11.8951 12.2291 11.4790 11.4856 11.6203 10.0202 9.7684 12.0188 8.7512 18.3532 9.7829 8.9951 10.1196 10.0000 10.3022 10.0000 9.9681 10.0000 10.0000 9.2900
Net Investment Income (Loss)(a) $ 0.4366 0.5832 0.6723 0.8040 0.9418 0.9101 0.9995 1.4697 0.2160 1.0118 0.3024 0.2436 0.2031 0.4343 0.6446 0.7084 0.8521 0.8745 0.5600 0.0165
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6436 1.5326 1.4106 1.1698 0.9466 0.8518 0.6243 0.4508 1.0414 2.0514 1.0931 1.6671 1.9546 0.8150 1.4741 1.1014 1.1574 0.4134 0.7731 0.1613
Total from Investment Activities $ 2.0802 2.1158 2.0829 1.9738 1.8884 1.7619 1.6238 1.9205 1.2574 3.0632 1.3955 1.9107 2.1577 1.2493 2.1187 1.8098 2.0095 1.2879 1.3331 0.1778
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.9058 12.2773 11.2493 12.4209 11.8098 11.9776 11.2879 11.3331 -
Total Return 17.49 17.30 18.15 17.18 16.25 17.58 16.62 15.98 14.37 16.69 14.26 21.24 21.32 12.49 20.57 18.10 20.16 12.88 13.33 1.91
% % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.91)% (1.10)% (1.28)% (1.42)% (1.61)% (1.93)% (0.39)% (0.87)% (0.49)% (0.42)% (0.31)% (0.70)% (0.97)% (1.11)% (1.32)% (1.40)% (0.89)% (0.03)%
Net Investment Income (Loss) 3.38 % 4.39 % 5.37 % 6.45 % 7.50 % 8.35 % 9.45 % 11.32 % 2.30 % 5.09 % 2.89 % 2.45 % 1.81 % 4.09 % 5.67 % 6.50 % 7.77 % 8.22 % 5.25 % 0.18 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through January 9, 2012
The accompanying notes are an integral part of these financial statements. -263-
FMT/DFA U.S. Targeted Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 17,964,618
Liabilities 10,707
Fees payable
$ 17,953,911
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 832,902 57,315 213,688 23,013 90,641 79,311 18,371 53,103
NAV per Unit $ 13.8879 $ 11.9691 $ 11.7870 $ 11.7575 $ 11.8949 $ 12.5501 $ 11.7020 $ 11.7285
Net Assets $ 11,567,263 686,008 2,518,743 270,580 1,078,163 995,358 214,976 622,820 $ 17,953,911
The accompanying notes are an integral part of these financial statements. -264-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,241,052
159,999 5,721 1,200 166,920
Net investment income
1,074,132
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,633,931 2,329,297
Net realized gain from investments sold
304,634
Change in net unrealized appreciation (depreciation) on investments
1,375,257
Net realized and unrealized gain on investments
1,679,891
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -265-
2,754,023
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
1,074,132 304,634
Change in net unrealized appreciation (depreciation) on investments
1,375,257
Net increase in net assets resulting from operations
2,754,023
Participant transactions Proceeds from units purchased Less payments for units redeemed
17,693,904 17,636,686 57,218
Increase in net assets from participant transactions Total increase in net assets
2,811,241 15,142,670
Net assets at beginning of year
$ 17,953,911
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -266-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) DFA U.S. Targeted Value Portfolio Fund (Cost $15,769,640)
Shares
Fair Value
1,056,121
$ 17,964,618
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Small Mid Cap Value
Total
Level 1
$ 17,964,618
$ 17,964,618
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,763,323 and $2,633,931, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -267-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 189,097 65,582 329,840 74,928 147,171 73,491 58,817 20,782 111,252 20,732 126,635 121,503 37,215 99,762 11,468,226 301,501 971,612 260,974 1,241,509 849,261 125,693 630,750 112,436 178,566 76,569 17,693,904
Redemptions (177,396) (646,763) (3,251,861) (1,337,696) (2,015,002) (1,147,253) (294,130) (83,665) (562,502) (20,872) (353,515) (1,260,226) (433,168) (1,940,649) (474,883) (29,761) (296,101) (24,049) (350,467) (103,218) (52,570) (140,982) (1,060,533) (1,399,715) (179,709) $ (17,636,686)
$
Units
$
$
Net change 11,701 (581,181) (2,922,021) (1,262,768) (1,867,831) (1,073,762) (235,313) (62,883) (451,250) (140) (226,880) (1,138,723) (395,953) (1,840,887) 10,993,343 271,740 675,511 236,925 891,042 746,043 73,123 489,768 (948,097) (1,221,149) (103,140) 57,218
Purchases 19,443 4,266 18,280 5,040 7,201 3,903 5,826 1,548 9,774 2,073 13,137 12,797 3,086 7,618 849,604 28,491 89,889 24,439 118,436 75,592 11,590 59,767 8,512 13,414 8,113 1,401,839
Redemptions (19,443) (41,340) (172,214) (89,474) (96,613) (59,586) (20,440) (6,149) (49,126) (2,073) (35,324) (126,919) (35,207) (138,396) (34,936) (2,566) (26,991) (2,187) (32,272) (8,802) (4,627) (12,748) (77,990) (102,717) (17,753) (1,215,893)
The accompanying notes are an integral part of these financial statements. -268-
Net change (37,074) (153,934) (84,434) (89,412) (55,683) (14,614) (4,601) (39,352) (22,187) (114,122) (32,121) (130,778) 814,668 25,925 62,898 22,252 86,164 66,790 6,963 47,019 (69,478) (89,303) (9,640) 185,946
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Targeted Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class G (h) Class H (i) Class I (c) Class J (j) Class L (i) Class O (f) Class P (i) Class Q (d) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (c) Class T (e) Class U (i)
NAV per Unit, Beginning of Period $ 10.0000 14.0313 16.5877 13.7258 18.7842 17.4464 15.1557 10.0000 12.2144 10.5046 10.0000 8.8898 8.7667 11.0109 12.1565 11.6976 10.1034 9.9665 9.9585 10.0918 10.6657 9.9618 10.0014 12.1080 12.3694 9.0176
Net Investment Income (Loss)(a) $ 0.1177 0.7108 1.0409 1.0233 1.6276 1.7074 0.4227 0.6479 1.4183 1.3872 0.0424 0.2348 0.5170 0.3645 0.6711 0.3252 0.4240 0.5420 0.6688 0.7997 0.9760 1.0390 1.1600 0.8310 0.9827 0.8002
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (1.0177) 1.3986 1.5732 1.0528 1.0705 0.9456 1.6126 (0.1900) (0.0541) 0.0580 0.0250 0.8804 0.7803 1.0056 1.2592 1.8651 1.4417 1.2785 1.1302 1.0034 0.9084 0.7012 0.5671 0.9556 0.8789 0.2442
Total from Investment Activities $ (0.9000) 2.1094 2.6141 2.0761 2.6981 2.6530 2.0353 0.4579 1.3642 1.4452 0.0674 1.1152 1.2973 1.3701 1.9303 2.1903 1.8657 1.8205 1.7990 1.8031 1.8844 1.7402 1.7271 1.7866 1.8616 1.0444
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.8879 11.9691 11.7870 11.7575 11.8949 12.5501 11.7020 11.7285 -
Total Return (9.00)% 15.03 % 15.76 % 15.13 % 14.36 % 15.21 % 13.43 % 4.58 % 11.17 % 13.76 % 0.67 % 12.54 % 14.80 % 12.44 % 15.88 % 18.72 % 18.47 % 18.27 % 18.06 % 17.87 % 17.67 % 17.47 % 17.27 % 14.76 % 15.05 % 11.58 %
Net Expenses (0.19)% (0.73)% (0.90)% (1.08)% (1.26)% (1.41)% (0.41)% (0.98)% (1.71)% (1.92)% (0.07)% (0.39)% (0.85)% (0.48)% (0.79)% (0.39)% (0.60)% (0.77)% (0.96)% (1.13)% (1.31)% (1.49)% (1.66)% (0.99)% (1.15)% (1.30)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from February 21, 2012 (commencement of this class) through June 15, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through March 26, 2012
(h)
For the period May 2, 2012 (recommencement of class) through December 12, 2012
(i)
For the period from January 1, 2012 through November 27, 2012
(j)
For the period from November 30, 2012 (commencement of this class) through December 10, 2012
The accompanying notes are an integral part of these financial statements. -269-
Net Investment Income (Loss) 1.23 % 4.71 % 5.82 % 6.93 % 8.08 % 9.09 % 2.61 % 6.33 % 11.00 % 12.36 % 0.42 % 2.49 % 5.49 % 3.12 % 5.11 % 2.54 % 3.84 % 4.98 % 6.16 % 7.27 % 8.41 % 9.59 % 10.68 % 6.39 % 7.39 % 8.39 %
FMT/DFA U.S. Vector Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
818,738
Liabilities 406
Fees payable $
Net assets
818,332
Components of net assets
Class R1 Class R3 Class R5 Class R7
Units of Participation 37,461 27,172 5,598 90
NAV per Unit $ 11.6138 $ 11.7031 $ 11.4777 $ 11.4031
$
$
The accompanying notes are an integral part of these financial statements. -270-
Net Assets 435,059 317,999 64,252 1,022 818,332
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
13,180
4,568 1,200 199 5,967
Net investment income
7,213
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
133,147 122,340
Net realized gain from investments sold
10,807
Change in net unrealized appreciation (depreciation) on investments
95,396
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
106,203 $
The accompanying notes are an integral part of these financial statements. -271-
113,416
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
7,213
Net realized gain from investments sold
10,807
Change in net unrealized appreciation (depreciation) on investments
95,396 113,416
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
672,563 388,708 283,855
Increase in net assets from participant transactions Total increase in net assets
397,271
Net assets at beginning of year
421,061 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -272-
818,332
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) DFA U.S. Vector Equity Portfolio Fund (Cost $722,056)
68,342
Fair Value $
818,738
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - All Cap Value
$
Level 1
818,738 $
818,738 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $424,303 and $133,147, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -273-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class D Class F Class J Class Q Class R1 Class R3 Class R5 Class R7 Class T
$
$
Purchases 6,548 205 3,878 7,277 466,346 97,110 90,130 1,069 672,563
Redemptions (49,098) (2,187) (15,650) (127,268) (72,274) (26,069) (35,201) (178) (60,783) $ (388,708)
$
Units
$
$
Net change (42,550) (1,982) (11,772) (119,991) 394,072 71,041 54,929 891 (60,783) 283,855
Purchases 545 17 265 712 44,199 8,854 8,914 106 63,612
Redemptions (3,984) (183) (1,028) (12,274) (6,738) (2,326) (3,316) (16) (6,182) (36,047)
The accompanying notes are an integral part of these financial statements. -274-
Net change (3,439) (166) (763) (11,562) 37,461 6,528 5,598 90 (6,182) 27,565
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/DFA U.S. Vector Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class D (b) Class F (c) Class J (d) Class Q (e) Class R1 (f) Class R3 Class R5 (g) Class R7 (h) Class T (i)
NAV per Unit, Beginning of Period $ 11.1069 11.2185 13.3535 9.2006 10.0000 9.9336 10.0000 10.0000 9.6110
Net Investment Income (Loss)(a) $ 0.1960 0.1283 0.4549 0.1204 0.0596 0.1278 0.1787 0.1371 0.0044
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5411 0.1581 1.4098 1.3649 1.5542 1.6417 1.2990 1.2660 0.2170
Total from Investment Activities $ 1.7371 0.2864 1.8647 1.4853 1.6138 1.7695 1.4777 1.4031 0.2214
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.6138 11.7031 11.4777 11.4031 -
Total Return 15.64 2.55 13.96 16.14 16.14 17.81 14.78 14.03 2.30
% % % % % % % % %
Net Expenses (1.35)% (0.93)% (2.63)% (1.00)% (0.46)% (0.98)% (1.38)% (1.06)% (0.04)%
Net Investment Income (Loss) 1.64 % 1.13 % 3.18 % 1.21 % 0.55 % 1.18 % 1.66 % 1.28 % 0.04 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 12, 2012
(c)
For the period from January 1, 2012 through June 14, 2012
(d)
For the period from January 1, 2012 through December 10, 2012
(e)
For the period from January 1, 2012 through December 11, 2012
(f)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from June 15, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 1, 2012 through January 9, 2012
The accompanying notes are an integral part of these financial statements. -275-
FMT/Dodge & Cox Balanced Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 44,673,079
Liabilities 29,761
Fees payable
$ 44,643,318
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,701,286 297,240 727,315 391,360 293,354 336,468 70,379 43,930
NAV per Unit $ 11.2492 $ 12.0384 $ 11.5401 $ 11.7546 $ 11.9753 $ 12.2638 $ 11.4469 $ 11.1168
Net Assets $ 19,138,132 3,578,279 8,393,278 4,600,279 3,513,002 4,126,364 805,619 488,365 $ 44,643,318
The accompanying notes are an integral part of these financial statements. -276-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,016,785
446,080 16,477 1,200 463,757
Net investment income
553,028
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
13,775,318 13,653,396
Net realized gain from investments sold
121,922
Change in net unrealized appreciation (depreciation) on investments
6,758,485
Net realized and unrealized gain on investments
6,880,407
Other operating credits (charges)
39,413
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -277-
7,472,848
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
553,028
Net realized gain from investments sold
121,922
Change in net unrealized appreciation (depreciation) on investments
6,758,485 39,413
Other operating credits (charges)
7,472,848
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
53,014,453 63,613,510
Decrease in net assets from participant transactions
(10,599,057)
Total decrease in net assets
(3,126,209)
Net assets at beginning of year
47,769,527 $ 44,643,318
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -278-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Dodge and Cox Balanced Fund (Cost $41,821,612)
Shares
Fair Value
572,292
$ 44,673,079
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - U.S. Moderate Balanced
Total
Level 1
$ 44,673,079
$ 44,673,079
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,756,644 and $13,775,318, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -279-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 55,800 1,210,912 421,187 826,501 481,648 315,504 246,964 19,005 79,920 69,467 6,015 1,145,059 46,964 25,492 19,666,105 3,696,860 10,706,901 4,216,732 4,353,231 3,986,867 830,065 491,526 31,962 13,136 70,630 53,014,453
Redemptions (3,702,460) (12,752,133) (5,612,797) (9,708,062) (7,905,673) (3,716,763) (3,206,096) (163,154) (1,086,448) (208,911) (1,007) (37,057) (4,415,350) (516,692) (448,196) (970,793) (560,819) (3,235,983) (1,400,476) (1,626,146) (360,903) (98,629) (40,182) (993,083) (506,281) (339,416) $ (63,613,510)
$
Units
$
$
Net change (3,646,660) (11,541,221) (5,191,610) (8,881,561) (7,424,025) (3,401,259) (2,959,132) (144,149) (1,006,528) (139,444) (1,007) (31,042) (3,270,291) (469,728) (422,704) 18,695,312 3,136,041 7,470,918 2,816,256 2,727,085 3,625,964 731,436 451,344 (961,121) (493,145) (268,786) (10,599,057)
Purchases 3,637 80,374 25,160 47,936 30,054 22,467 16,397 1,686 6,636 6,481 501 111,064 3,717 2,123 1,788,942 336,117 1,024,963 399,996 399,027 359,822 79,653 47,582 2,720 1,101 5,743 4,803,899
Redemptions (231,256) (865,699) (325,641) (564,736) (495,498) (258,807) (205,821) (13,576) (86,288) (18,616) (78) (2,999) (405,887) (39,959) (36,936) (87,656) (49,462) (297,648) (126,410) (143,528) (30,888) (9,274) (3,652) (83,836) (42,804) (27,202) (4,454,157)
The accompanying notes are an integral part of these financial statements. -280-
Net change (227,619) (785,325) (300,481) (516,800) (465,444) (236,340) (189,424) (11,890) (79,652) (12,135) (78) (2,498) (294,823) (36,242) (34,813) 1,701,286 286,655 727,315 273,586 255,499 328,934 70,379 43,930 (81,116) (41,703) (21,459) 349,742
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Balanced Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class O (e) Class P (f) Class Q (g) Class R1 (h) Class R2 Class R3 (i) Class R4 Class R5 Class R6 Class R7 (j) Class R8 (k) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 14.8012 13.7224 15.4025 15.8794 14.7014 13.0639 13.7869 10.7428 11.1469 9.8640 11.3610 10.8968 9.9591 11.3588 11.0803 10.0000 10.2272 10.0000 10.0200 10.2254 10.4895 10.0000 10.0000 11.0055 11.1477 11.1201
Net Investment Income (Loss)(a) $ 0.1144 0.1386 0.1921 0.2351 0.2531 0.2531 0.3017 0.2478 0.2938 0.2832 0.0572 0.0650 0.1158 0.0751 0.0930 0.0290 0.0857 0.1055 0.1337 0.1629 0.1929 0.2013 0.2046 0.1490 0.1728 0.1967
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3257 2.0982 2.3822 2.3988 2.0968 1.8574 1.9079 1.1093 1.3793 1.1793 1.5374 1.4575 1.5197 1.5062 1.7360 1.2202 1.7255 1.4346 1.6009 1.5870 1.5814 1.2456 0.9122 1.6140 1.6980 1.2546
Total from Investment Activities $ 2.4401 2.2368 2.5743 2.6339 2.3499 2.1105 2.2096 1.3571 1.6731 1.4625 1.5946 1.5225 1.6355 1.5813 1.8290 1.2492 1.8112 1.5401 1.7346 1.7499 1.7743 1.4469 1.1168 1.7630 1.8708 1.4513
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2492 12.0384 11.5401 11.7546 11.9753 12.2638 11.4469 11.1168 -
Total Return 16.49 16.30 16.71 16.59 15.98 16.16 16.03 12.63 15.01 14.83 14.04 13.97 16.42 13.92 16.51 12.49 17.71 15.40 17.31 17.11 16.92 14.47 11.17 16.02 16.78 13.05
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.07)% (1.25)% (1.40)% (1.59)% (1.70)% (1.92)% (2.09)% (0.37)% (0.44)% (0.84)% (0.48)% (0.61)% (0.21)% (0.60)% (0.77)% (0.96)% (1.15)% (1.33)% (1.47)% (1.52)% (0.98)% (1.12)% (1.30)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 21, 2012
(h)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -281-
Net Investment Income (Loss) 0.71 % 0.93 % 1.15 % 1.37 % 1.59 % 1.79 % 2.03 % 2.17 % 2.45 % 2.67 % 0.47 % 0.56 % 1.07 % 0.62 % 0.78 % 0.27 % 0.77 % 0.98 % 1.23 % 1.47 % 1.70 % 1.88 % 1.94 % 1.25 % 1.43 % 1.66 %
FMT/Dodge & Cox International Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 38,555,897
Liabilities 24,821
Fees payable
$ 38,531,076
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman LifeStyle
Units of Participation 1,105,548 200,223 271,705 131,561 255,961 72,780 72,980 63,890
NAV per Unit $ 10.7613 $ 11.8073 $ 11.8727 $ 12.3927 $ 12.5223 $ 12.3022 $ 11.7007 $ 12.3065
Net Assets $ 11,897,091 2,364,098 3,225,877 1,630,393 3,205,206 895,352 853,918 786,262 5,557,370 993,296 1,505,621 2,203,492 1,956,944 652,932 430,049 341,407 31,768 $ 38,531,076
The accompanying notes are an integral part of these financial statements. -282-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
813,150
373,846 13,650 1,200 388,696
Net investment income
424,454
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
10,426,979 10,744,069
Net realized loss from investments sold
(317,090)
Change in net unrealized appreciation (depreciation) on investments
6,873,031
Net realized and unrealized gain on investments
6,555,941
Other operating credits (charges)
32,828
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -283-
7,013,223
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
424,454 (317,090)
Change in net unrealized appreciation (depreciation) on investments
6,873,031 32,828
Other operating credits (charges)
7,013,223
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
44,614,006 50,666,422 (6,052,416)
Decrease in net assets from participant transactions Total increase in net assets
960,807 37,570,269
Net assets at beginning of year
$ 38,531,076
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -284-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Dodge and Cox International Stock Fund (Cost $36,951,275)
Shares
Fair Value
1,113,046
$ 38,555,897
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Value
Total
Level 1
$ 38,555,897
$ 38,555,897
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,824,466 and $10,426,979, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -285-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 363,125 151,577 456,489 209,281 575,082 208,578 153,408 1,989 109,089 19,000 2,611 119,942 37,886 78,476 27,298 12,269,704 2,935,204 3,220,890 1,666,032 2,654,259 954,581 434,444 812,314 139,191 110,963 6,970 73,903 77,733 595,989 553,961 250,802 162,891 147,284 10,795 62,214 22,307 8,691 19,927 31,596 231,623 4,568 28,512 5,569,179 791,859 1,638,510 2,404,787 2,279,091 838,417 493,735 432,668 70,379 59,631 30,914 3,657 44,614,006
Redemptions (4,392,461) (1,580,204) (3,502,594) (3,066,374) (4,252,062) (1,584,289) (1,674,777) (34,191) (642,619) (256,404) (13,310) (1,338,737) (1,400,643) (428,912) (189,662) (950,507) (1,820,447) (400,742) (286,727) (692,347) (260,665) (141,405) (158,269) (499,302) (773,438) (58,911) (737,956) (813,734) (2,439,396) (3,437,350) (1,714,544) (1,051,941) (890,402) (71,521) (273,775) (170,938) (71,185) (252,789) (352,599) (1,544,474) (112,307) (545,372) (555,173) (615,285) (427,642) (921,862) (863,165) (352,666) (247,758) (149,734) (675,882) (785,317) (172,097) (19,559) $ (50,666,422)
$
Units
$
$
Net change (4,029,336) (1,428,627) (3,046,105) (2,857,093) (3,676,980) (1,375,711) (1,521,369) (32,202) (533,530) (237,404) (10,699) (1,218,795) (1,362,757) (350,436) (162,364) 11,319,197 1,114,757 2,820,148 1,379,305 1,961,912 693,916 293,039 654,045 (360,111) (662,475) (51,941) (664,053) (736,001) (1,843,407) (2,883,389) (1,463,742) (889,050) (743,118) (60,726) (211,561) (148,631) (62,494) (232,862) (321,003) (1,312,851) (107,739) (516,860) 5,014,006 176,574 1,210,868 1,482,925 1,415,926 485,751 245,977 282,934 (605,503) (725,686) (141,183) (15,902) (6,052,416)
Purchases 38,465 16,492 47,182 23,370 57,620 21,467 16,233 226 11,865 2,130 312 11,579 2,219 9,093 2,407 1,189,630 290,906 308,656 150,660 243,341 90,672 40,335 73,126 13,501 11,231 793 2,673,511
Redemptions (451,595) (166,398) (359,102) (339,268) (402,008) (160,871) (171,074) (3,648) (68,361) (27,376) (1,501) (127,803) (83,696) (47,893) (16,226) (97,447) (165,780) (36,951) (24,652) (60,303) (22,677) (12,838) (14,189) (47,924) (76,398) (6,323) (2,992,302)
The accompanying notes are an integral part of these financial statements. -286-
Net change (413,130) (149,906) (311,920) (315,898) (344,388) (139,404) (154,841) (3,422) (56,496) (25,246) (1,189) (116,224) (81,477) (38,800) (13,819) 1,092,183 125,126 271,705 126,008 183,038 67,995 27,497 58,937 (34,423) (65,167) (5,530) (318,791)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox International Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (g) Class N (h) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (i) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 9.0630 8.6676 8.9621 8.4047 9.3291 9.2302 8.7545 8.4115 8.6430 8.3691 8.3332 9.6880 15.8372 7.9691 10.5650 8.9148 9.8026 10.0000 10.3235 10.4490 10.2830 9.7965 10.3210 9.4911 9.1356 8.3332
Net Investment Income (Loss)(a) $ 0.0655 0.0819 0.1049 0.1160 0.1496 0.1664 0.1777 0.1798 0.2091 0.2237 0.0329 0.0764 0.1743 0.0485 0.1072 0.0451 0.0757 0.0965 0.1277 0.1532 0.1744 0.1881 0.2210 0.1209 0.1343 0.1369
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3863 1.2906 1.3676 1.2848 1.3767 1.2987 1.2322 0.7766 1.0483 0.9784 0.6304 1.1901 2.4864 0.9592 1.6420 1.8014 1.9290 1.7762 1.9415 1.9201 1.8448 1.7161 1.7645 1.3551 1.3809 0.8451
Total from Investment Activities $ 1.4518 1.3725 1.4725 1.4008 1.5263 1.4651 1.4099 0.9564 1.2574 1.2021 0.6633 1.2665 2.6607 1.0077 1.7492 1.8465 2.0047 1.8727 2.0692 2.0733 2.0192 1.9042 1.9855 1.4760 1.5152 0.9820
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.7613 11.8073 11.8727 12.3927 12.5223 12.3022 11.7007 12.3065 -
Total Return 16.02 15.83 16.43 16.67 16.36 15.87 16.10 11.37 14.55 14.36 7.96 13.07 16.80 12.65 16.56 20.71 20.45 18.73 20.04 19.84 19.64 19.44 19.24 15.55 16.59 11.78
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.08)% (1.26)% (1.42)% (1.60)% (1.72)% (1.92)% (2.12)% (0.32)% (0.63)% (0.86)% (0.49)% (0.80)% (0.39)% (0.60)% (0.75)% (0.96)% (1.13)% (1.31)% (1.49)% (1.66)% (1.00)% (1.15)% (1.32)%
Net Investment Income (Loss) 0.67 % 0.88 % 1.08 % 1.27 % 1.48 % 1.67 % 1.88 % 2.02 % 2.26 % 2.49 % 0.38 % 0.74 % 1.02 % 0.57 % 0.94 % 0.46 % 0.70 % 0.88 % 1.12 % 1.33 % 1.54 % 1.75 % 1.95 % 1.18 % 1.36 % 1.55 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through August 28, 2012
(h)
For the period from January 1, 2012 through November 26, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -287-
FMT/Dodge & Cox Stock Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 52,234,465
Liabilities 34,874
Fees payable
$ 52,199,591
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 2,040,681 165,423 912,076 427,921 399,943 324,429 221,482 47,887
NAV per Unit $ 10.6860 $ 11.8842 $ 11.8326 $ 12.4570 $ 12.3403 $ 12.8172 $ 12.0337 $ 11.3829
Net Assets $ 21,806,768 1,965,923 10,792,217 5,330,635 4,935,423 4,158,277 2,665,255 545,093 $ 52,199,591
The accompanying notes are an integral part of these financial statements. -288-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
942,685
519,817 19,612 1,200 540,629
Net investment income
402,056
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
19,408,672 20,774,091
Net realized loss from investments sold
(1,365,419)
Change in net unrealized appreciation (depreciation) on investments
11,181,610
Net realized and unrealized gain on investments
9,816,191
Other operating credits (charges)
47,242
Net increase in net assets resulting from operations
$ 10,265,489
The accompanying notes are an integral part of these financial statements. -289-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
402,056
Net realized loss from investments sold
(1,365,419)
Change in net unrealized appreciation (depreciation) on investments
11,181,610 47,242
Other operating credits (charges)
10,265,489
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
66,002,826 81,459,913
Decrease in net assets from participant transactions
(15,457,087)
Total decrease in net assets
(5,191,598)
Net assets at beginning of year
57,391,189 $ 52,199,591
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -290-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Dodge and Cox Stock Fund (Cost $50,850,512)
Shares
Fair Value
428,503
$ 52,234,465
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Value
Total
Level 1
$ 52,234,465
$ 52,234,465
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,387,939 and $19,408,672, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -291-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 409,918 440,285 544,255 591,065 622,094 712,134 296,077 3,252 58,056 16,582 16,342 15,564 20,225 181,773 85,305 16,432 21,264,591 8,286,399 13,441,844 6,832,763 5,559,650 3,930,971 1,919,128 616,204 59,726 20,770 41,421 66,002,826
Redemptions (8,362,440) (9,244,349) (10,682,844) (10,245,664) (5,941,624) (6,169,881) (3,877,932) (17,379) (659,454) (84,190) (290,636) (300,798) (427,041) (3,182,868) (1,720,675) (511,289) (1,260,470) (7,080,937) (3,897,017) (2,520,555) (1,383,880) (380,227) (546,873) (122,848) (1,440,511) (619,140) (488,391) $ (81,459,913)
$
Units
$
$
Net change (7,952,522) (8,804,064) (10,138,589) (9,654,599) (5,319,530) (5,457,747) (3,581,855) (14,127) (601,398) (67,608) (274,294) (285,234) (406,816) (3,001,095) (1,635,370) (494,857) 20,004,121 1,205,462 9,544,827 4,312,208 4,175,770 3,550,744 1,372,255 493,356 (1,380,785) (598,370) (446,970) (15,457,087)
Purchases 23,966 23,600 30,395 34,745 38,397 41,610 19,404 282 5,008 1,135 1,579 1,298 1,061 18,640 8,506 1,329 2,024,622 813,739 1,270,577 623,376 513,704 348,552 182,785 59,394 5,015 1,728 3,338 6,097,785
Redemptions (533,257) (511,945) (591,909) (604,872) (356,745) (376,025) (243,602) (1,418) (53,756) (5,509) (26,988) (24,247) (23,213) (323,941) (164,185) (40,727) (125,702) (648,316) (358,501) (221,263) (124,125) (31,291) (48,274) (11,507) (124,059) (51,021) (40,031) (5,666,429)
The accompanying notes are an integral part of these financial statements. -292-
Net change (509,291) (488,345) (561,514) (570,127) (318,348) (334,415) (224,198) (1,136) (48,748) (4,374) (25,409) (22,949) (22,152) (305,301) (155,679) (39,398) 1,898,920 165,423 912,076 402,113 389,579 317,261 134,511 47,887 (119,044) (49,293) (36,693) 431,356
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Dodge & Cox Stock Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 Class R6 Class R7 Class R8 (j) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 14.9102 16.5866 16.3361 15.4540 14.9886 14.9696 13.8487 10.6955 10.5487 13.0168 9.2556 10.7417 17.1174 8.9503 9.0244 11.0733 8.7844 10.0000 10.0000 10.2973 10.2181 10.6309 9.9979 10.0000 10.9080 10.9229 11.2790
Net Investment Income (Loss)(a) $ 0.0774 0.1101 0.1345 0.1510 0.1704 0.1912 0.2005 0.1602 0.1838 0.2474 0.0324 0.0422 0.0959 0.0687 0.0394 0.0617 0.0314 0.0529 0.0697 0.0912 0.1076 0.1302 0.1378 0.1349 0.0972 0.1139 0.1313
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.8713 3.1386 3.1728 2.9711 2.7373 2.7537 2.5176 1.4371 1.7424 2.1050 1.4813 1.7089 2.6587 1.7080 1.4270 2.1821 1.8702 1.8313 1.7629 2.0685 2.0146 2.0561 1.8980 1.2480 2.0079 2.0845 1.6014
Total from Investment Activities $ 2.9487 3.2487 3.3073 3.1221 2.9077 2.9449 2.7181 1.5973 1.9262 2.3524 1.5137 1.7511 2.7546 1.7767 1.4664 2.2438 1.9016 1.8842 1.8326 2.1597 2.1222 2.1863 2.0358 1.3829 2.1051 2.1984 1.7327
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6860 11.8842 11.8326 12.4570 12.3403 12.8172 12.0337 11.3829 -
Total Return 19.78 19.59 20.25 20.20 19.40 19.67 19.63 14.93 18.26 18.07 16.35 16.30 16.09 19.85 16.25 20.26 21.65 18.84 18.33 20.97 20.77 20.57 20.36 13.83 19.30 20.13 15.36
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.73)% (0.90)% (1.07)% (1.25)% (1.40)% (1.59)% (1.68)% (1.92)% (2.10)% (0.39)% (0.44)% (0.62)% (0.84)% (0.49)% (0.61)% (0.39)% (0.58)% (0.77)% (0.96)% (1.15)% (1.34)% (1.51)% (1.52)% (0.98)% (1.14)% (1.30)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 21, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -293-
Net Investment Income (Loss) 0.47 % 0.60 % 0.75 % 0.89 % 1.04 % 1.16 % 1.32 % 1.39 % 1.60 % 1.74 % 0.32 % 0.36 % 0.52 % 0.70 % 0.40 % 0.51 % 0.32 % 0.48 % 0.64 % 0.80 % 0.95 % 1.11 % 1.25 % 1.26 % 0.81 % 0.95 % 1.08 %
FMT/Domini Social Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets $
1,828,220
Liabilities 1,292
Fees payable $
Net assets
1,826,928
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 65,035 2,333 54,648 25,028 16,093 13,723 7 621
NAV per Unit $ 10.5269 $ 10.0167 $ 9.9008 $ 10.5095 $ 10.2865 $ 10.4302 $ 10.9521 $ 9.8367
$
$
The accompanying notes are an integral part of these financial statements. -294-
Net Assets 684,611 23,368 541,060 263,034 165,538 143,135 76 6,106 1,826,928
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
10,737
19,615 1,200 637 21,452
Net investment loss
(10,715)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
397,711 342,386
Net realized gain from investments sold
55,325
Change in net unrealized appreciation (depreciation) on investments
116,931
Net realized and unrealized gain on investments
172,256
Other operating credits (charges)
6,002
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -295-
167,543
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(10,715) 55,325
Change in net unrealized appreciation (depreciation) on investments
116,931 6,002
Other operating credits (charges)
167,543
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,505,991 2,507,360 (1,369)
Decrease in net assets from participant transactions Total increase in net assets
166,174 1,660,754
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -296-
1,826,928
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Domini Social Equity Investment Fund (Cost $1,593,158)
55,502
Fair Value $
1,828,220
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Core
$
Level 1
1,828,220
$
1,828,220
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $391,282 and $397,711, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -297-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 4,095 4,450 79,416 13,726 9,205 25,709 1,778 3,507 4,671 30,267 69 313,468 790,093 27,064 579,201 253,080 164,611 140,596 3,792 6,152 49,788 865 388 2,505,991
Redemptions (128,580) (32,829) (289,441) (612,596) (260,344) (192,728) (5,299) (22,969) (39,151) (186,717) (25,629) (460,947) (102,570) (3,714) (25,414) (99) (139) (540) (3,857) (93,584) (17,244) (2,969) $ (2,507,360)
$
Units
$
$
Net change (124,485) (28,379) (210,025) (598,870) (251,139) (167,019) (3,521) (19,462) (34,480) (156,450) (25,560) (147,479) 687,523 23,350 553,787 252,981 164,472 140,056 (65) 6,152 (43,796) (16,379) (2,581) (1,369)
Purchases 368 363 4,922 1,055 684 1,687 149 330 395 2,693 7 29,842 74,766 2,704 57,191 25,038 16,106 13,774 348 621 3,865 81 30 237,019
Redemptions (11,292) (2,709) (18,522) (48,583) (18,953) (12,675) (439) (2,187) (3,321) (16,641) (2,464) (40,450) (9,731) (371) (2,543) (10) (13) (51) (348) (7,490) (1,548) (230) (200,571)
The accompanying notes are an integral part of these financial statements. -298-
Net change (10,924) (2,346) (13,600) (47,528) (18,269) (10,988) (290) (1,857) (2,926) (13,948) (2,457) (10,608) 65,035 2,333 54,648 25,028 16,093 13,723 621 (3,625) (1,467) (200) 36,448
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Domini Social Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (d) Class F (c) Class G (d) Class H (e) Class I (b) Class J (b) Class N (f) Class O (g) Class R1 (h) Class R2 (i) Class R3 (j) Class R4 (k) Class R5 (l) Class R6 (h) Class R7 Class R8 (m) Class S (b) Class T (n) Class U (e)
NAV per Unit, Beginning of Period $ 10.2525 10.8481 14.2847 11.9214 12.3921 13.8663 10.8712 9.6162 10.7550 10.2489 9.3920 10.0749 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 9.9312 10.0000 11.4767 9.7231 11.7697
Net Investment Income (Loss)(a) $ (0.0147) (0.0201) (0.0326) (0.0326) (0.0390) (0.0494) (0.0431) (0.0407) (0.0518) (0.0536) (0.0020) (0.0217) (0.0085) (0.0121) (0.0152) (0.0218) (0.0247) (0.0295) (0.0372) (0.0330) (0.0289) (0.0077) (0.0386)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1487 1.2007 1.6686 1.3732 1.4099 1.5635 1.2084 0.9254 1.0899 1.0249 1.0121 1.0939 0.5354 0.0288 (0.0840) 0.5313 0.3112 0.4597 1.0581 (0.1303) 1.2471 1.4224 1.1678
Total from Investment Activities $ 1.1340 1.1806 1.6360 1.3406 1.3709 1.5141 1.1653 0.8847 1.0381 0.9713 1.0101 1.0722 0.5269 0.0167 (0.0992) 0.5095 0.2865 0.4302 1.0209 (0.1633) 1.2182 1.4147 1.1292
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5269 10.0167 9.9008 10.5095 10.2865 10.4302 10.9521 9.8367 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through November 27, 2012
(f)
For the period from January 1, 2012 through February 15, 2012
(g)
For the period from January 1, 2012 through December 13, 2012
(h)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 16, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 21, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 23, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 2, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 17, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through April 4, 2012
Total Return 11.06 % 10.88 % 11.45 % 11.25 % 11.06 % 10.92 % 10.72 % 9.20 % 9.65 % 9.48 % 10.75 % 10.64 % 5.27 % 0.17 % (0.99)% 5.09 % 2.87 % 4.30 % 10.28 % (1.63)% 10.61 % 14.55 % 9.59 %
Net Expenses (0.62)% (0.80)% (0.98)% (1.18)% (1.36)% (1.54)% (1.71)% (1.84)% (2.09)% (2.27)% (0.09)% (0.93)% (0.38)% (0.55)% (0.70)% (0.97)% (1.11)% (1.32)% (1.62)% (1.51)% (1.09)% (0.33)% (1.42)%
The accompanying notes are an integral part of these financial statements. -299-
Net Investment Income (Loss) (0.14)% (0.18)% (0.22)% (0.26)% (0.30)% (0.34)% (0.38)% (0.40)% (0.46)% (0.50)% (0.02)% (0.20)% (0.08)% (0.12)% (0.15)% (0.21)% (0.24)% (0.29)% (0.36)% (0.33)% (0.24)% (0.07)% (0.31)%
FMT/Federated Kaufmann A Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Federated Kaufmann A Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Audit fees Custody fees
$
Net investment loss
3,142 300 209 3,651 (3,651)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,736,263 1,793,979
Net realized loss from investments sold
(57,716)
Change in net unrealized appreciation (depreciation) on investments
299,519
Net realized and unrealized gain on investments
241,803
Other operating credits (charges)
744
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -300-
238,896
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Federated Kaufmann A Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(3,651)
Net realized loss from investments sold
(57,716)
Change in net unrealized appreciation (depreciation) on investments
299,519 744
Other operating credits (charges)
238,896
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
69,400 1,774,655 (1,705,255)
Decrease in net assets from participant transactions Total decrease in net assets
(1,466,359) 1,466,359
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -301-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Federated Kaufmann A Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class R5
$
$
Purchases 18,274 2,503 3,581 963 2,554 382 41,143 69,400
Redemptions (1,149,129) (51,534) (257,771) (83,645) (149,294) (39,824) (43,458) $ (1,774,655)
$
Units
$
$
Net change (1,130,855) (49,031) (254,190) (82,682) (146,740) (39,442) (2,315) (1,705,255)
Purchases 1,611 174 247 67 193 30 4,113 6,435
Redemptions (97,124) (3,367) (17,050) (5,578) (11,005) (2,948) (4,113) (141,185)
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -302-
Net change (95,513) (3,193) (16,803) (5,511) (10,813) (2,917) (134,750)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Federated Kaufmann A Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (b) Class D (b) Class E (b) Class F (b) Class G (b) Class R5 (c)
NAV per Unit, Beginning of Period $ 10.1665 13.1084 12.9648 13.2047 11.9328 11.5888 10.0000
Net Investment Income (Loss)(a) $ (0.0173) (0.0274) (0.0322) (0.0376) (0.0389) (0.0423) (0.0139)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7263 2.2252 2.2003 2.2401 2.0240 1.9651 0.5803
Total from Investment Activities $ 1.7090 2.1978 2.1681 2.2025 1.9851 1.9228 0.5664
Ratios (to average unit value)
NAV per Unit, End of Period $ -
Total Return 16.81 16.77 16.72 16.68 16.64 16.59 5.66
% % % % % % %
Net Expenses (0.20)% (0.24)% (0.29)% (0.33)% (0.38)% (0.42)% (0.17)%
Net Investment Income (Loss) (0.16)% (0.19)% (0.23)% (0.26)% (0.30)% (0.34)% (0.14)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through March 22, 2012
(c)
For the period from February 3, 2012 (commencement of this class) through March 22, 2012
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -303-
FMT/Fifth Third All Cap Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third All Cap Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
7,025
5,407 900 199 6,506
Net investment income
519
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,055,166 1,105,720
Net realized loss from investments sold
(50,554)
Change in net unrealized appreciation (depreciation) on investments
143,267
Net realized and unrealized gain on investments
92,713
Other operating credits (charges)
2,293
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -304-
95,525
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third All Cap Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
519
Net realized loss from investments sold
(50,554)
Change in net unrealized appreciation (depreciation) on investments
143,267 2,293
Other operating credits (charges)
95,525
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
169,873 1,140,454 (970,581)
Decrease in net assets from participant transactions Total decrease in net assets
(875,056) 875,056
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -305-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third All Cap Value Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class N Class O Class R4 Class S
$
$
3,563 12,187 25,023 9,911 440 9,280 594 73,727 35,148 169,873
Redemptions (15,773) (128,810) (232,084) (226,920) (128,065) (16,306) (1,944) (140,289) (12,944) (75,375) (161,944) $ (1,140,454)
$
Units
$
$
Net change (15,773) (125,247) (219,897) (201,897) (118,154) (15,866) (1,944) (131,009) (12,350) (1,648) (126,796) (970,581)
Purchases 210 789 1,500 709 29 761 49 7,373 3,011 14,431
Redemptions (1,022) (7,218) (14,563) (13,240) (8,807) (1,044) (115) (11,217) (1,011) (7,373) (13,484) (79,094)
*The Fund was closed September 7, 2012.
The accompanying notes are an integral part of these financial statements. -306-
Net change (1,022) (7,008) (13,774) (11,740) (8,098) (1,015) (115) (10,456) (962) (10,473) (64,663)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third All Cap Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (c) Class D (c) Class E (c) Class F (d) Class G (c) Class N (c) Class O (c) Class R4 (e) Class S (c)
NAV per Unit, Beginning of Period $ 13.9565 15.9241 14.5268 15.6212 13.1762 14.2082 15.1612 11.4172 11.4313 10.0000 10.7353
Net Investment Income (Loss)(a) $ 0.0116 0.0452 0.0506 0.0644 0.0632 0.0177 0.0922 0.0285 0.0373 0.0031 0.0412
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4631 1.8766 1.6837 1.7800 1.4753 1.3868 1.6390 1.3574 1.3326 0.2204 1.2330
Total from Investment Activities $ 1.4747 1.9218 1.7343 1.8444 1.5385 1.4045 1.7312 1.3859 1.3699 0.2235 1.2742
Ratios (to average unit value)
NAV per Unit, End of Period $ -
Total Return 10.57 12.07 11.94 11.81 11.68 9.89 11.42 12.14 11.98 2.24 11.87
% % % % % % % % % % %
Net Expenses (0.18)% (0.62)% (0.76)% (0.90)% (1.05)% (0.28)% (1.33)% (0.54)% (0.71)% (0.07)% (0.84)%
Net Investment Income (Loss) 0.08 % 0.27 % 0.33 % 0.39 % 0.45 % 0.12 % 0.58 % 0.24 % 0.31 % 0.03 % 0.36 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through April 4, 2012
(c)
For the period from January 1, 2012 through September 7, 2012
(d)
For the period from January 1, 2012 through February 27, 2012
(e)
For the period from August 17, 2012 (commencement of this class) through September 7, 2012
*The Fund was closed September 7, 2012.
The accompanying notes are an integral part of these financial statements. -307-
FMT/Fifth Third Life Model Moderate Conservative Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Life Model Moderate Conservative Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
52,212
26,272 900 889 28,061
Net investment income
24,151
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,392,414 4,281,822
Net realized gain from investments sold
110,592
Change in net unrealized appreciation (depreciation) on investments
136,346
Net realized and unrealized gain on investments
246,938
Other operating credits (charges)
10,151
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -308-
281,240
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Life Model Moderate Conservative Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
24,151
Net realized gain from investments sold
110,592
Change in net unrealized appreciation (depreciation) on investments
136,346 10,151
Other operating credits (charges)
281,240
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
501,545 4,445,917 (3,944,372)
Decrease in net assets from participant transactions Total decrease in net assets
(3,663,132) 3,663,132
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -309-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Life Model Moderate Conservative Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1 Class S Class U
$
$
89 8,384 128,520 136,805 77,640 3,068 58,611 7,788 28,117 1,625 38,781 2,666 9,451 501,545
Redemptions (90) (93,280) (1,532,162) (1,004,266) (471,150) (16,531) (313,648) (67,057) (43,952) (53,198) (598,421) (90,863) (161,299) $ (4,445,917)
$
Units Net change $
$
(1) (84,896) (1,403,642) (867,461) (393,510) (13,463) (255,037) (59,269) (15,835) (51,573) (559,640) (88,197) (151,848) (3,944,372)
Purchases 9 549 8,846 9,375 5,450 228 4,164 636 2,249 144 3,477 226 790 36,143
Redemptions (9) (5,947) (102,604) (66,747) (32,395) (1,219) (21,396) (5,327) (3,474) (4,633) (52,158) (7,450) (13,151) (316,510)
*The Fund was closed September 7, 2012.
The accompanying notes are an integral part of these financial statements. -310-
Net change (5,398) (93,758) (57,372) (26,945) (991) (17,232) (4,691) (1,225) (4,489) (48,681) (7,224) (12,361) (280,367)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Life Model Moderate Conservative Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (c) Class D (c) Class E (c) Class F (c) Class G (c) Class I (c) Class N (c) Class O (c) Class R1 (c) Class S (c) Class U (c)
NAV per Unit, Beginning of Period $ 10.0000 14.5995 13.9210 14.0143 13.6299 12.9626 13.7229 11.7737 11.7598 10.7954 10.6199 11.3753 11.4270
Net Investment Income (Loss)(a) $ 0.1016 0.1192 0.1424 0.1604 0.1726 0.2047 0.2132 0.0722 0.0865 0.0351 0.1069 0.1451
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.3145 1.0348 0.9468 0.9131 0.8490 0.7711 0.7772 0.5998 0.8510 0.7449 0.8223 0.7566 0.6928
Total from Investment Activities $ 0.3145 1.1364 1.0660 1.0555 1.0094 0.9437 0.9819 0.8130 0.9232 0.8314 0.8574 0.8635 0.8379
Ratios (to average unit value)
NAV per Unit, End of Period $ -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from July 27, 2012 through September 7, 2012
(c)
For the period from January 1, 2012 through September 7, 2012
Total Return 3.15 7.78 7.66 7.53 7.41 7.28 7.16 6.91 7.85 7.70 8.07 7.59 7.33
% % % % % % % % % % % % %
Net Expenses % (0.55)% (0.67)% (0.80)% (0.93)% (1.05)% (1.18)% (1.43)% (0.48)% (0.63)% (0.26)% (0.74)% (1.00)%
*The Fund was closed September 7, 2012.
The accompanying notes are an integral part of these financial statements. -311-
Net Investment Income (Loss) % 0.67 % 0.82 % 0.98 % 1.14 % 1.28 % 1.44 % 1.75 % 0.59 % 0.77 % 0.32 % 0.91 % 1.22 %
FMT/Fifth Third Small Cap Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Small Cap Growth Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Audit fees Custody fees
$
Net investment loss
5,298 700 233 6,231 (6,231)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,553,986 1,905,625
Net realized loss from investments sold
(351,639)
Change in net unrealized appreciation (depreciation) on investments
418,365
Net realized and unrealized gain on investments
66,726
Other operating credits (charges)
2,410
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -312-
62,905
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Small Cap Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(6,231) (351,639)
Change in net unrealized appreciation (depreciation) on investments
418,365 2,410
Other operating credits (charges)
62,905
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
33,203 1,552,239 (1,519,036)
Decrease in net assets from participant transactions Total decrease in net assets
(1,456,131) 1,456,131
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -313-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Small Cap Growth Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class A Class B Class C Class D Class E Class G Class I Class O
$
$
Purchases 5,119 8,187 6,766 3,824 7,183 1,798 326 33,203
Redemptions (450,680) (564,615) (239,057) (57,489) (192,162) (22,426) (1,008) (24,802) $ (1,552,239)
$
Units
$
$
Net change (445,561) (556,428) (232,291) (53,665) (184,979) (20,628) (1,008) (24,476) (1,519,036)
Purchases 347 564 458 240 519 115 20 2,263
Redemptions (31,376) (40,215) (15,609) (3,683) (14,189) (1,475) (84) (1,519) (108,150)
*The Fund was closed July 18, 2012.
The accompanying notes are an integral part of these financial statements. -314-
Net change (31,029) (39,651) (15,151) (3,443) (13,670) (1,360) (84) (1,499) (105,887)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Small Cap Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (b) Class D (b) Class E (b) Class G (b) Class I (b) Class O (b)
NAV per Unit, Beginning of Period $ 13.7738 13.7007 13.9298 15.1289 13.0050 14.6612 11.5515 15.7786
Net Investment Income (Loss)(a) $ (0.0330) (0.0425) (0.0544) (0.0686) (0.0681) (0.0975) (0.0931) (0.0565)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6238 0.6171 0.6249 0.6740 0.5760 0.6421 0.5007 0.7086
Total from Investment Activities $ 0.5908 0.5746 0.5705 0.6054 0.5079 0.5446 0.4076 0.6521
Ratios (to average unit value)
NAV per Unit, End of Period $ -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through July 18, 2012
Total Return 4.29 4.19 4.10 4.00 3.91 3.71 3.53 4.13
% % % % % % % %
Net Expenses (0.38)% (0.50)% (0.62)% (0.73)% (0.84)% (1.06)% (1.29)% (0.57)%
*The Fund was closed July 18, 2012.
The accompanying notes are an integral part of these financial statements. -315-
Net Investment Income (Loss) (0.23)% (0.30)% (0.38)% (0.44)% (0.51)% (0.65)% (0.79)% (0.35)%
FMT/First Eagle Gold Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 13,286,824
Liabilities 7,523
Fees payable
$ 13,279,301
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 590,988 20,709 103,431 199,409 185,158 57,490 20,140 8,369
NAV per Unit $ 13.4484 $ 9.3367 $ 9.0898 $ 8.4902 $ 9.3241 $ 9.0782 $ 8.9006 $ 9.2390
Net Assets $ 7,947,846 193,349 940,163 1,693,025 1,726,432 521,905 179,257 77,324 $ 13,279,301
The accompanying notes are an integral part of these financial statements. -316-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
38,962
108,183 4,632 1,200 114,015
Net investment loss
(75,053)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
3,551,418 3,572,566
Net realized loss from investments sold
(21,148)
Change in net unrealized appreciation (depreciation) on investments
(776,643)
Net realized and unrealized loss on investments
(797,791)
Other operating credits (charges)
45,308
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -317-
(827,536)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(75,053) (21,148)
Change in net unrealized appreciation (depreciation) on investments
(776,643) 45,308
Other operating credits (charges)
(827,536)
Net decrease in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
21,807,477 20,077,049 1,730,428
Increase in net assets from participant transactions Total increase in net assets
902,892 12,376,409
Net assets at beginning of year
$ 13,279,301
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -318-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) First Eagle Gold A Fund (Cost $13,528,026)
Shares
Fair Value
485,452
$ 13,286,824
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - Sector Specific $ 13,286,824
$ 13,286,824
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,250,234 and $3,551,418, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -319-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 220,847 286,103 1,106,542 620,989 603,289 240,447 301,147 13,419 39,075 93,440 634 51,851 60,037 169,540 2,034 16,248 9,031,356 2,503,309 1,275,910 1,729,459 1,871,555 819,793 192,454 121,625 176,291 197,925 62,158 21,807,477
Redemptions (2,287,694) (1,521,546) (2,817,250) (2,602,981) (1,408,555) (437,167) (471,218) (13,448) (68,589) (90,909) (30,287) (157,093) (671,133) (643,065) (1,255,429) (36,151) (1,164,401) (2,160,538) (340,359) (271,006) (302,542) (240,476) (18,688) (54,462) (472,872) (300,997) (238,193) $ (20,077,049)
$
Units
$
$
Net change (2,066,847) (1,235,443) (1,710,708) (1,981,992) (805,266) (196,720) (170,071) (29) (29,514) 2,531 (29,653) (105,242) (611,096) (473,525) (1,253,395) (19,903) 7,866,955 342,771 935,551 1,458,453 1,569,013 579,317 173,766 67,163 (296,581) (103,072) (176,035) 1,730,428
Purchases 8,344 11,224 41,703 23,232 25,273 9,106 11,252 1,344 2,808 6,665 49 3,729 4,503 10,941 163 1,831 654,300 246,653 139,643 199,869 202,962 84,611 22,117 12,994 16,978 17,987 6,884 1,767,165
Redemptions (85,430) (59,032) (109,565) (99,530) (59,178) (17,468) (17,962) (1,344) (4,960) (6,737) (2,434) (11,075) (47,866) (42,410) (100,307) (4,450) (86,788) (228,625) (36,212) (32,352) (31,365) (27,121) (1,977) (6,024) (47,710) (28,621) (24,573) (1,221,116)
The accompanying notes are an integral part of these financial statements. -320-
Net change (77,086) (47,808) (67,862) (76,298) (33,905) (8,362) (6,710) (2,152) (72) (2,385) (7,346) (43,363) (31,469) (100,144) (2,619) 567,512 18,028 103,431 167,517 171,597 57,490 20,140 6,970 (30,732) (10,634) (17,689) 546,049
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/First Eagle Gold Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (g) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 26.0398 26.3346 26.6535 27.8780 24.7206 27.1122 27.6389 10.0000 14.6729 15.0129 13.0227 14.6684 14.2123 15.9826 12.0235 8.5585 14.1852 9.8701 10.0000 9.0054 9.9069 10.0000 10.0000 9.8665 10.5661 11.4434 9.3585
Net Investment Income (Loss)(a) $ (0.0396) (0.0501) (0.0612) (0.0771) (0.0779) (0.0959) (0.1092) (0.0322) (0.0699) (0.0742) (0.0127) (0.0159) (0.0225) (0.0344) (0.0163) (0.0172) (0.0131) (0.0150) (0.0185) (0.0216) (0.0281) (0.0311) (0.0348) (0.0406) (0.0265) (0.0320) (0.0320)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (1.1337) (1.1770) (1.3048) (0.9730) (1.3566) (1.4142) (1.0599) 0.0257 (0.7698) (0.8055) (0.3222) (0.3690) (0.3755) (0.8359) (0.3032) (0.4130) (0.7237) (0.5184) (0.8917) (0.4936) (0.5547) (0.8907) (1.0646) (0.5869) (0.4907) (0.4056) (0.2864)
Total from Investment Activities $ (1.1733) (1.2271) (1.3660) (1.0501) (1.4345) (1.5101) (1.1691) (0.0065) (0.8397) (0.8797) (0.3349) (0.3849) (0.3980) (0.8703) (0.3195) (0.4302) (0.7368) (0.5334) (0.9102) (0.5152) (0.5828) (0.9218) (1.0994) (0.6275) (0.5172) (0.4376) (0.3184)
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.4484 9.3367 9.0898 8.4902 9.3241 9.0782 8.9006 9.2390 -
Total Return (4.51)% (4.66)% (5.13)% (3.77)% (5.80)% (5.57)% (4.23)% (0.07)% (5.72)% (5.86)% (2.57)% (2.62)% (2.80)% (5.45)% (2.66)% (5.03)% (5.19)% (5.40)% (9.10)% (5.72)% (5.88)% (9.22)% (10.99)% (6.36)% (4.89)% (3.82)% (3.40)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from March 23, 2012 (commencement of this class) through November 27, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
Net Expenses (0.60)% (0.75)% (0.90)% (1.08)% (1.24)% (1.39)% (1.55)% (1.23)% (1.88)% (1.95)% (0.38)% (0.42)% (0.61)% (0.85)% (0.53)% (0.79)% (0.36)% (0.60)% (0.74)% (0.95)% (1.12)% (1.25)% (1.41)% (1.63)% (0.98)% (1.09)% (1.33)%
The accompanying notes are an integral part of these financial statements. -321-
Net Investment Income (Loss) (0.16)% (0.19)% (0.24)% (0.28)% (0.32)% (0.36)% (0.40)% (0.32)% (0.49)% (0.51)% (0.10)% (0.11)% (0.16)% (0.22)% (0.14)% (0.21)% (0.10)% (0.16)% (0.19)% (0.25)% (0.29)% (0.33)% (0.37)% (0.42)% (0.26)% (0.29)% (0.35)%
FMT/Forward Strategic Alternatives Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
56,784
Liabilities 24
Fees payable $
Net assets
56,760
Components of net assets
Class R1 Class R2 Class R5 Class R6
Units of Participation 3,837 2,136 81 259
NAV per Unit $ 8.8301 $ 9.3078 $ 9.0596 $ 8.7617
$
$
The accompanying notes are an integral part of these financial statements. -322-
Net Assets 33,880 19,880 731 2,269 56,760
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
34
1,985 1,200 154 3,339
Net investment loss
(3,305)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
619,550 656,093
Net realized loss from investments sold
(36,543)
Change in net unrealized appreciation (depreciation) on investments
14,596
Net realized and unrealized loss on investments Net decrease in net assets resulting from operations
(21,947) $
The accompanying notes are an integral part of these financial statements. -323-
(25,252)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(3,305) (36,543) 14,596
Change in net unrealized appreciation (depreciation) on investments
(25,252)
Net decrease in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
585,244 1,055,736 (470,492)
Decrease in net assets from participant transactions Total decrease in net assets
(495,744) 552,504
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -324-
56,760
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Forward Strategic Alternatives Institutional Fund (Cost $59,661)
5,824
Fair Value
$
56,784
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Tactical Asset Allocation
$
Level 1
56,784 $
56,784 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $145,270 and $619,550, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -325-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class F Class I Class M Class N Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6
$
$
Purchases 1,903 1,141 8 3,250 1,243 4,325 11,019 363,493 28,292 30,580 30,226 14,574 95,190 585,244
Redemptions (51,376) (18,131) (2,765) (13,907) (10,876) (14,623) (18,381) (330,287) (321,362) (7,470) (31,163) (92,136) (52,410) (90,849) $ (1,055,736)
$
Units
$
$
Net change (49,473) (16,990) (2,757) (13,907) (7,626) (13,380) (14,056) (319,268) 42,131 20,822 (583) (61,910) (37,836) 4,341 (470,492)
Purchases 162 105 1 324 134 420 1,152 36,704 2,911 3,058 3,128 1,484 10,678 60,261
Redemptions (4,426) (1,759) (243) (1,286) (1,171) (1,715) (1,858) (33,914) (32,867) (775) (3,058) (10,005) (5,624) (10,419) (109,120)
The accompanying notes are an integral part of these financial statements. -326-
Net change (4,264) (1,654) (242) (1,286) (847) (1,581) (1,438) (32,762) 3,837 2,136 (6,877) (4,140) 259 (48,859)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Forward Strategic Alternatives Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class F (e) Class I (f) Class M (g) Class N (h) Class P (g) Class R1 (i) Class R2 (j) Class R3 (k) Class R4 (l) Class R5 Class R6 (m)
NAV per Unit, Beginning of Period $ 11.4793 10.7692 10.9723 10.7133 9.7956 9.6461 10.3009 9.7227 10.0000 10.0000 10.0000 10.0810 10.2207 10.0000
Net Investment Income (Loss)(a) $ (0.0602) (0.0910) (0.0777) (0.0125) (0.1252) (0.0628) (0.0527) (0.0781) (0.0549) (0.0480) (0.0499) (0.0991) (0.1781) (0.1822)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.3744 (0.3783) 0.5066 0.1131 (0.4292) (1.0575) (0.3951) (1.0547) (1.1150) (0.6442) (0.2663) (0.8029) (0.9830) (1.0561)
Total from Investment Activities $ 0.3142 (0.4693) 0.4289 0.1006 (0.5544) (1.1203) (0.4478) (1.1328) (1.1699) (0.6922) (0.3162) (0.9020) (1.1611) (1.2383)
Ratios (to average unit value)
NAV per Unit, End of Period $ 8.8301 9.3078 9.0596 8.7617
Total Return 2.74 % (4.36)% 3.91 % 0.94 % (5.66)% (11.61)% (4.35)% (11.65)% (11.70)% (6.92)% (3.16)% (8.95)% (11.36)% (12.38)%
Net Expenses (0.52)% (0.87)% (0.70)% (0.12)% (1.33)% (0.70)% (0.53)% (0.86)% (0.59)% (0.50)% (0.51)% (1.04)% (1.87)% (1.96)%
Net Investment Income (Loss) (0.52)% (0.86)% (0.69)% (0.12)% (1.32)% (0.69)% (0.52)% (0.85)% (0.58)% (0.50)% (0.51)% (1.03)% (1.85)% (1.94)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through May 1, 2012
(c)
For the period from January 1, 2012 through June 19, 2012
(d)
For the period from January 1, 2012 through April 26, 2012
(e)
For the period from January 1, 2012 through January 18, 2012
(f)
For the period from January 1, 2012 through May 23, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 1, 2012 through June 20, 2012
(i)
For the period from January 17, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from June 21, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 30, 2012 (commencement of this class) through June 27, 2012
(l)
For the period from January 1, 2012 through August 29, 2012
(m)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -327-
FMT/Gateway Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,825,454
Liabilities 1,107
Fees payable $
Net assets
1,824,347
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 92,588 29,492 45,836 418 709 4,174 5,001
NAV per Unit $ 10.1271 $ 10.1535 $ 10.5564 $ 10.2804 $ 10.0804 $ 9.9567 $ 10.0750
$
$
The accompanying notes are an integral part of these financial statements. -328-
Net Assets 937,649 299,442 483,859 4,298 7,151 41,559 50,389 1,824,347
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
26,825
14,034 1,200 490 15,724
Net investment income
11,101
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
154,521 146,415
Net realized gain from investments sold
8,106
Change in net unrealized appreciation (depreciation) on investments
31,483
Net realized and unrealized gain on investments
39,589
Other operating credits (charges)
5,549
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -329-
56,239
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
11,101 8,106
Change in net unrealized appreciation (depreciation) on investments
31,483 5,549
Other operating credits (charges)
56,239
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,013,758 1,399,661 614,097
Increase in net assets from participant transactions Total increase in net assets
670,336 1,154,011
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -330-
1,824,347
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Gateway A Fund (Cost $1,748,978)
67,310
Fair Value $
1,825,454
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Hedged Equity
$
Level 1
1,825,454
$
1,825,454
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $785,402 and $154,521, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -331-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class D Class E Class G Class I Class J Class O Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S
$
$
Purchases 93,000 34,641 22,942 1,943 703 1,631 93,914 4,643 940,447 296,933 393,814 4,335 11,892 41,734 65,154 6,032 2,013,758
Redemptions (490,810) (282,647) (32,843) (42,390) (24,002) (24,248) (348,368) (88,391) (3,849) (6) (4,376) (1) (4,993) (15,272) (37,465) $ (1,399,661)
$
Units
$
$
Net change (397,810) (248,006) (9,901) (40,447) (23,299) (22,617) (254,454) (83,748) 936,598 296,927 389,438 4,334 6,899 41,734 49,882 (31,433) 614,097
Purchases 8,134 2,966 2,017 172 69 151 8,255 431 92,968 29,492 38,093 418 1,199 4,174 6,514 542 195,595
Redemptions (43,074) (23,999) (2,858) (3,709) (2,330) (2,232) (29,954) (8,170) (380) (1) (418) (490) (1,513) (3,280) (122,408)
The accompanying notes are an integral part of these financial statements. -332-
Net change (34,940) (21,033) (841) (3,537) (2,261) (2,081) (21,699) (7,739) 92,588 29,492 37,675 418 709 4,174 5,001 (2,738) 73,188
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Gateway Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class D (c) Class E (d) Class G (c) Class I (e) Class J (f) Class O (d) Class Q (b) Class R1 (g) Class R3 (h) Class R4 Class R5 (i) Class R6 (j) Class R7 (k) Class R8 (l) Class S (m)
NAV per Unit, Beginning of Period $ 10.9978 11.3218 11.1273 11.0313 10.1094 10.6224 11.2711 10.4368 10.0000 10.0000 10.1654 10.0000 10.0000 10.0000 10.0000 10.9478
Net Investment Income (Loss)(a) $ 0.1155 0.1408 0.1588 0.2022 0.1102 0.0630 0.1107 0.0963 0.0218 0.0692 0.1140 0.0827 0.1106 0.0279 0.1455 0.0828
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2925 0.2994 0.2499 0.1714 0.0815 0.1768 0.3491 0.3020 0.1053 0.0843 0.2770 0.1977 (0.0302) (0.0712) (0.0705) 0.3905
Total from Investment Activities $ 0.4080 0.4402 0.4087 0.3736 0.1917 0.2398 0.4598 0.3983 0.1271 0.1535 0.3910 0.2804 0.0804 (0.0433) 0.0750 0.4733
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1271 10.1535 10.5564 10.2804 10.0804 9.9567 10.0750 -
Total Return 3.71 % 3.89 % 3.67 % 3.39 % 1.90 % 2.26 % 4.08 % 3.82 % 1.27 % 1.53 % 3.85 % 2.80 % 0.80 % (0.43)% 0.75 % 4.32 %
Net Expenses (0.97)% (1.15)% (1.32)% (1.70)% (1.02)% (0.55)% (0.91)% (0.85)% (0.20)% (0.65)% (1.04)% (0.77)% (1.04)% (0.26)% (1.37)% (0.70)%
Net Investment Income (Loss) 1.03 % 1.22 % 1.40 % 1.80 % 1.08 % 0.59 % 0.96 % 0.91 % 0.22 % 0.69 % 1.10 % 0.82 % 1.10 % 0.28 % 1.45 % 0.74 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 11, 2012
(c)
For the period from January 1, 2012 through December 12, 2012
(d)
For the period from January 1, 2012 through December 13, 2012
(e)
For the period from January 1, 2012 through June 20, 2012
(f)
For the period from January 1, 2012 through March 26, 2012
(g)
For the period from July 2, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from March 26, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from May 17, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from April 4, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from November 1, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from March 27, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through August 16, 2012
The accompanying notes are an integral part of these financial statements. -333-
FMT/Harbor Capital Appreciation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 28,428,653
Liabilities 17,371
Fees payable
$ 28,411,282
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 993,968 322,738 394,320 212,149 255,636 198,276 55,824 28,018
NAV per Unit $ 11.5892 $ 11.8362 $ 11.4165 $ 11.2951 $ 11.7015 $ 11.2575 $ 11.2015 $ 11.6088
Net Assets $ 11,519,296 3,820,002 4,501,765 2,396,244 2,991,319 2,232,090 625,310 325,256 $ 28,411,282
The accompanying notes are an integral part of these financial statements. -334-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Statement of Operations For the Year Ended December 31, 2012
Investment loss Dividends
$
Expenses Agency fees Custody fees Audit fees
113,524
209,377 7,034 1,200 217,611
Net investment loss
(104,087)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,777,131 3,311,230
Net realized gain from investments sold
465,901
Change in net unrealized appreciation (depreciation) on investments
1,885,923
Net realized and unrealized gain on investments
2,351,824
Other operating credits (charges)
15,121
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -335-
2,262,858
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(104,087) 465,901
Change in net unrealized appreciation (depreciation) on investments
1,885,923 15,121
Other operating credits (charges)
2,262,858
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
41,473,292 28,224,112 13,249,180
Increase in net assets from participant transactions Total increase in net assets
15,512,038
Net assets at beginning of year
12,899,244 $ 28,411,282
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -336-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Harbor Capital Appreciation Institutional Fund (Cost $25,044,994)
Shares
Fair Value
668,595
$ 28,428,653
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Growth
Total
Level 1
$ 28,428,653
$ 28,428,653
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $16,944,300 and $3,777,131, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -337-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 62,001 180,090 2,063,186 617,888 829,955 638,530 64,095 12,966 142,080 5,174 1,428,361 5,873,412 98,063 11,615,600 2,703,882 5,188,411 3,240,248 2,277,326 2,622,762 740,667 344,618 686,753 24,831 12,393 41,473,292
Redemptions (1,226,970) (1,305,253) (4,214,247) (2,262,022) (2,384,084) (2,229,861) (493,391) (125,511) (317,168) (44,856) (1,868,538) (6,017,245) (119,793) (384,422) (567,816) (1,004,133) (970,139) (616,299) (476,331) (146,736) (90,910) (984,787) (242,743) (130,857) $ (28,224,112)
$
Units
$
$
Net change (1,164,969) (1,125,163) (2,151,061) (1,644,134) (1,554,129) (1,591,331) (429,296) (112,545) (175,088) (39,682) (440,177) (143,833) (21,730) 11,231,178 2,136,066 4,184,278 2,270,109 1,661,027 2,146,431 593,931 253,708 (298,034) (217,912) (118,464) 13,249,180
Purchases 4,380 13,319 120,749 33,367 49,603 38,817 4,113 1,049 11,003 456 84,382 363,730 9,209 1,018,805 237,858 466,590 300,552 201,071 241,675 69,438 29,851 50,815 2,323 959 3,354,114
Redemptions (84,363) (104,212) (242,263) (126,461) (147,107) (141,625) (31,357) (10,164) (23,550) (3,961) (102,681) (370,869) (11,310) (33,949) (48,787) (89,319) (88,403) (54,441) (43,399) (13,614) (7,998) (75,312) (22,592) (10,345) (1,888,082)
The accompanying notes are an integral part of these financial statements. -338-
Net change (79,983) (90,893) (121,514) (93,094) (97,504) (102,808) (27,244) (9,115) (12,547) (3,505) (18,299) (7,139) (2,101) 984,856 189,071 377,271 212,149 146,630 198,276 55,824 21,853 (24,497) (20,269) (9,386) 1,466,032
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Harbor Capital Appreciation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (b) Class J (b) Class N (g) Class O (f) Class P (g) Class R1 Class R2 Class R3 Class R4 (h) Class R5 Class R6 (h) Class R7 (i) Class R8 Class S (b) Class T (e) Class U (g)
NAV per Unit, Beginning of Period $ 13.3122 11.6770 15.3132 16.2041 14.7441 14.4092 14.2057 11.0526 11.8500 10.1125 16.2600 14.3600 9.3969 10.0486 10.2857 9.9379 10.0000 10.2204 10.0000 10.0000 10.1910 11.5953 9.3140 11.4608
Net Investment Income (Loss)(a) $ (0.0341) (0.0183) (0.0631) (0.0794) (0.0837) (0.0926) (0.1023) (0.0839) (0.1018) (0.0951) (0.0455) (0.0582) (0.0204) (0.0172) (0.0281) (0.0352) (0.0425) (0.0527) (0.0582) (0.0652) (0.0772) (0.0522) (0.0487) (0.0669)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.8201 1.1022 2.2349 2.3217 1.9980 2.0576 1.9905 1.3614 1.5212 1.2883 2.1072 1.9853 1.2265 1.5578 1.5786 1.5138 1.3376 1.5338 1.3157 1.2667 1.4950 1.5549 2.1749 1.4390
Total from Investment Activities $ 1.7860 1.0839 2.1718 2.2423 1.9143 1.9650 1.8882 1.2775 1.4194 1.1932 2.0617 1.9271 1.2061 1.5406 1.5505 1.4786 1.2951 1.4811 1.2575 1.2015 1.4178 1.5027 2.1262 1.3721
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.5892 11.8362 11.4165 11.2951 11.7015 11.2575 11.2015 11.6088 -
Total Return 13.42 9.28 14.18 13.84 12.98 13.64 13.29 11.56 11.98 11.80 12.68 13.42 12.84 15.33 15.07 14.88 12.95 14.49 12.58 12.02 13.91 12.96 22.83 11.97
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.59)% (0.37)% (0.94)% (1.12)% (1.30)% (1.47)% (1.65)% (1.76)% (1.98)% (2.17)% (0.64)% (0.93)% (0.50)% (0.39)% (0.62)% (0.81)% (0.98)% (1.18)% (1.34)% (1.51)% (1.73)% (1.03)% (1.15)% (1.35)%
Net Investment Income (Loss) (0.24)% (0.15)% (0.39)% (0.46)% (0.53)% (0.60)% (0.67)% (0.72)% (0.81)% (0.89)% (0.26)% (0.38)% (0.20)% (0.16)% (0.25)% (0.33)% (0.40)% (0.48)% (0.55)% (0.62)% (0.71)% (0.42)% (0.47)% (0.55)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through June 8, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -339-
FMT/Heartland Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,503,331
Liabilities 2,079
Fees payable $
Net assets
3,501,252
Components of net assets
Class R1 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 232,453 53,431 2,343 4,087 15,644 2,158
NAV per Unit $ 11.2142 $ 11.7152 $ 11.1904 $ 10.9758 $ 11.1613 $ 10.5875
$
$
The accompanying notes are an integral part of these financial statements. -340-
Net Assets 2,606,775 625,953 26,219 44,855 174,602 22,848 3,501,252
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
234,833
40,085 1,387 1,200 42,672
Net investment income
192,161
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,818,849 1,830,418
Net realized loss from investments sold
(11,569)
Change in net unrealized appreciation (depreciation) on investments
281,146
Net realized and unrealized gain on investments
269,577
Other operating credits (charges)
13,527
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -341-
475,265
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
192,161
Net realized loss from investments sold
(11,569)
Change in net unrealized appreciation (depreciation) on investments
281,146 13,527
Other operating credits (charges)
475,265
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
4,192,441 5,423,811 (1,231,370)
Decrease in net assets from participant transactions Total decrease in net assets
(756,105) 4,257,357
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -342-
3,501,252
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Heartland Value Fund (Cost $3,538,169)
86,162
Fair Value $
3,503,331
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Value
$
Level 1
3,503,331
$
3,503,331
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $791,306 and $1,818,849, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -343-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class R1 Class R4 Class R5 Class R6 Class R7 Class R8 Class S
$
$
Purchases 26,915 30,151 96,680 136,347 126,552 64,694 12,678 17,040 13,051 2,770,407 777,139 23,454 40,922 29,534 21,985 4,892 4,192,441
Redemptions (168,735) (397,165) (983,410) (1,165,193) (833,576) (154,973) (417,478) (125,749) (79,464) (225,616) (217,784) (26) (13,558) (143) (640,941) $ (5,423,811)
$
Units
$
$
Net change (141,820) (367,014) (886,730) (1,028,846) (707,024) (90,279) (404,800) (108,709) (66,413) 2,544,791 559,355 23,428 40,922 15,976 21,842 (636,049) (1,231,370)
Purchases 2,138 1,924 7,439 8,376 7,828 3,865 957 1,318 1,017 255,252 72,185 2,345 4,087 2,900 2,172 542 374,345
Redemptions (12,615) (25,232) (75,631) (69,194) (50,115) (9,335) (30,863) (9,582) (6,210) (22,799) (19,045) (2) (1,263) (14) (71,207) (403,107)
The accompanying notes are an integral part of these financial statements. -344-
Net change (10,477) (23,308) (68,192) (60,818) (42,287) (5,470) (29,906) (8,264) (5,193) 232,453 53,140 2,343 4,087 1,637 2,158 (70,665) (28,762)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Heartland Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class R1 (g) Class R4 Class R5 (h) Class R6 (i) Class R7 Class R8 (g) Class S (j)
NAV per Unit, Beginning of Period $ 12.1850 14.7395 12.1945 15.4466 15.2265 16.0478 12.4353 12.1997 12.0199 10.0000 10.3551 10.0000 10.0000 9.9155 10.0000 8.5749
Net Investment Income (Loss)(a) $ 0.3581 0.5564 0.5712 0.8618 0.9877 1.1700 1.0209 1.2075 0.3876 0.1835 0.5157 0.3551 0.3573 0.7694 0.7491 0.2025
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8471 0.8756 0.7571 0.8014 0.5314 0.4926 0.2518 (0.1710) 0.4536 1.0307 0.8444 0.8353 0.6185 0.4764 (0.1616) (0.3728)
Total from Investment Activities $ 1.2052 1.4320 1.3283 1.6632 1.5191 1.6626 1.2727 1.0365 0.8412 1.2142 1.3601 1.1904 0.9758 1.2458 0.5875 (0.1703)
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2142 11.7152 11.1904 10.9758 11.1613 10.5875 -
Total Return 9.89 % 9.72 % 10.89 % 10.77 % 9.98 % 10.36 % 10.23 % 8.50 % 7.00 % 12.14 % 13.13 % 11.90 % 9.76 % 12.56 % 5.88 % (1.99)%
Net Expenses (0.58)% (0.75)% (0.92)% (1.10)% (1.28)% (1.44)% (1.62)% (1.97)% (0.65)% (0.36)% (0.97)% (0.70)% (0.71)% (1.51)% (1.51)% (0.49)%
Net Investment Income (Loss) 2.80 % 3.60 % 4.44 % 5.29 % 6.18 % 6.93 % 7.81 % 9.49 % 3.12 % 1.73 % 4.67 % 3.35 % 3.41 % 7.30 % 7.28 % 2.38 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from February 1, 2012 ( commencement of this class) through December 31, 2012
(h)
For the period from May 24, 2012 ( commencement of this class) through December 31, 2012
(i)
For the period from June 20, 2012 ( commencement of this class) through December 31, 2012
(j)
For the period from January 1, 2012 through June 4, 2012
The accompanying notes are an integral part of these financial statements. -345-
FMT/Ivy Global Natural Resources Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 12,648,376
Liabilities 8,285
Fees payable
$ 12,640,091
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 869,007 3,575 168,147 136,729 153,806 50,718 30,937 68,119
NAV per Unit $ 7.4511 $ 10.6777 $ 9.4955 $ 10.5737 $ 10.4707 $ 9.5734 $ 9.3201 $ 10.2788
Net Assets $ 6,475,040 38,168 1,596,638 1,445,728 1,610,459 485,544 288,334 700,180 $ 12,640,091
The accompanying notes are an integral part of these financial statements. -346-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Statement of Operations For the Year Ended December 31, 2012
Investment loss Dividends
$
Expenses Agency fees Custody fees Audit fees
53,353
131,380 4,762 1,200 137,342
Net investment loss
(83,989)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
2,931,112 3,433,997
Net realized loss from investments sold
(502,885)
Change in net unrealized appreciation (depreciation) on investments
468,610
Net realized and unrealized loss on investments
(34,275)
Other operating credits (charges)
56,908
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -347-
(61,356)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(83,989) (502,885)
Change in net unrealized appreciation (depreciation) on investments
468,610 56,908
Other operating credits (charges)
(61,356)
Net decrease in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
17,014,914 17,790,634 (775,720)
Decrease in net assets from participant transactions Total decrease in net assets
(837,076) 13,477,167
Net assets at beginning of year
$ 12,640,091
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -348-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) IVY Global Natural Resources Y Fund (Cost $14,538,179)
Shares
Fair Value
734,943
$ 12,648,376
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - Sector Specific $ 12,648,376
$ 12,648,376
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,124,547 and $2,931,112, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -349-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 139,588 147,598 293,283 368,823 244,651 140,733 169,606 28,453 77,356 12,759 7,225 70,197 55,627 3,620 14,192 6,438,871 829,608 2,289,333 1,615,970 1,992,376 662,556 189,670 858,124 231,653 119,480 13,562 17,014,914
Redemptions (997,726) (1,480,058) (2,719,080) (2,814,535) (1,305,847) (561,274) (1,467,525) (254,071) (343,096) (123,864) (17,393) (445,820) (625,572) (247,181) (207,983) (433,125) (735,937) (681,825) (248,609) (469,372) (149,107) (71,602) (203,293) (675,222) (287,418) (224,099) $ (17,790,634)
$
Units
$
$
Net change (858,138) (1,332,460) (2,425,797) (2,445,712) (1,061,196) (420,541) (1,297,919) (225,618) (265,740) (111,105) (10,168) (375,623) (569,945) (243,561) (193,791) 6,005,746 93,671 1,607,508 1,367,361 1,523,004 513,449 118,068 654,831 (443,569) (167,938) (210,537) (775,720)
Purchases 11,032 9,913 21,796 26,501 16,900 9,506 12,297 2,180 8,668 1,734 708 13,181 8,831 324 1,377 887,002 74,690 241,661 151,525 188,300 67,027 20,839 82,455 22,286 13,349 1,418 1,895,500
Redemptions (76,473) (103,809) (206,563) (212,751) (93,175) (38,782) (110,542) (20,051) (39,087) (18,524) (1,827) (89,535) (102,347) (24,217) (20,820) (58,618) (71,578) (73,514) (24,919) (46,007) (16,309) (7,449) (20,422) (73,631) (31,375) (22,601) (1,604,926)
The accompanying notes are an integral part of these financial statements. -350-
Net change (65,441) (93,896) (184,767) (186,250) (76,275) (29,276) (98,245) (17,871) (30,419) (16,790) (1,119) (76,354) (93,516) (23,893) (19,443) 828,384 3,112 168,147 126,606 142,293 50,718 13,390 62,033 (51,345) (18,026) (21,183) 290,574
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Ivy Global Natural Resources Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 Class R6 (h) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.6842 14.3083 12.9558 13.1858 14.0582 14.8554 13.1554 12.7178 9.0035 7.1433 9.9638 5.1415 6.2224 9.9245 9.8889 7.4127 10.6460 10.0000 10.5783 10.4931 10.0000 9.3720 10.3537 9.4621 9.2358 9.6523
Net Investment Income (Loss)(a) $ (0.0143) (0.0210) (0.0238) (0.0287) (0.0348) (0.0411) (0.0415) (0.0475) (0.0367) (0.0054) (0.0084) (0.0063) (0.0104) (0.0097) (0.0155) (0.0053) (0.0124) (0.0136) (0.0195) (0.0227) (0.0239) (0.0271) (0.0331) (0.0184) (0.0206) (0.0248)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.3073) (0.3644) (0.2928) (0.2232) (0.4246) (0.3922) (0.2722) (0.4335) (0.3180) (0.3090) (0.4343) (0.2312) (0.1699) (0.4353) (0.2161) 0.0437 0.0441 (0.4909) 0.0149 0.0003 (0.4027) (0.0248) (0.0418) (0.2596) (0.1617) (0.4795)
Total from Investment Activities $ (0.3216) (0.3854) (0.3166) (0.2519) (0.4594) (0.4333) (0.3137) (0.4810) (0.3547) (0.3144) (0.4427) (0.2375) (0.1803) (0.4450) (0.2316) 0.0384 0.0317 (0.5045) (0.0046) (0.0224) (0.4266) (0.0519) (0.0749) (0.2780) (0.1823) (0.5043)
Ratios (to average unit value)
NAV per Unit, End of Period $ 7.4511 10.6777 9.4955 10.5737 10.4707 9.5734 9.3201 10.2788 -
Total Return (2.54)% (2.69)% (2.44)% (1.91)% (3.27)% (2.92)% (2.38)% (3.78)% (3.94)% (4.40)% (4.44)% (4.62)% (2.90)% (4.48)% (2.34)% 0.52 % 0.30 % (5.05)% (0.04)% (0.21)% (4.27)% (0.55)% (0.72)% (2.94)% (1.97)% (5.22)%
Net Expenses (0.58)% (0.75)% (0.94)% (1.11)% (1.28)% (1.42)% (1.62)% (1.93)% (2.11)% (0.39)% (0.44)% (0.63)% (0.86)% (0.51)% (0.80)% (0.36)% (0.59)% (0.71)% (0.93)% (1.10)% (1.24)% (1.47)% (1.63)% (1.00)% (1.14)% (1.34)%
Net Investment Income (Loss) (0.11)% (0.15)% (0.19)% (0.22)% (0.25)% (0.28)% (0.32)% (0.38)% (0.42)% (0.08)% (0.09)% (0.12)% (0.17)% (0.10)% (0.16)% (0.07)% (0.12)% (0.14)% (0.18)% (0.22)% (0.24)% (0.29)% (0.32)% (0.20)% (0.23)% (0.26)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -351-
FMT/Longleaf Partners Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
8,383,495
Liabilities 5,767
Fees payable $
Net assets
8,377,728
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 274,897 2,439 241,002 78,089 56,038 80,038 27,060 4,499
NAV per Unit $ 10.6652 $ 11.5005 $ 10.9866 $ 11.2979 $ 11.0748 $ 11.3178 $ 11.3857 $ 11.8360
$
$
The accompanying notes are an integral part of these financial statements. -352-
Net Assets 2,931,829 28,050 2,647,796 882,240 620,614 905,858 308,093 53,248 8,377,728
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,258,828
86,894 3,133 1,200 91,227
Net investment income
1,167,601
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,897,874 2,871,628
Net realized gain from investments sold
26,246
Change in net unrealized appreciation (depreciation) on investments
74,006
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
100,252 $
The accompanying notes are an integral part of these financial statements. -353-
1,267,853
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,167,601
Net realized gain from investments sold
26,246
Change in net unrealized appreciation (depreciation) on investments
74,006 1,267,853
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
9,038,238 11,017,644 (1,979,406)
Decrease in net assets from participant transactions Total decrease in net assets
(711,553) 9,089,281
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -354-
8,377,728
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Longleaf Partners Fund (Cost $8,896,182)
317,716
Fair Value $
8,383,495
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - All Cap Value
$
Level 1
8,383,495
$
8,383,495
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,084,000 and $2,897,874, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -355-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 9,696 69,234 152,923 140,299 48,173 58,549 16,034 1,790 46,350 238,147 5,950 6,935 2,720,235 24,390 2,700,548 808,957 725,391 850,340 349,998 60,555 1,170 1,325 1,249 9,038,238
Redemptions (367,173) (1,429,274) (1,491,229) (2,497,869) (756,242) (1,034,656) (203,828) (94,478) (362,422) (486) (1,272,333) (107,412) (47,716) (305,224) (73) (219,085) (40,677) (171,341) (48,115) (114,150) (16,096) (173,769) (81,830) (182,166) $ (11,017,644)
$
Units
$
$
Net change (357,477) (1,360,040) (1,338,306) (2,357,570) (708,069) (976,107) (187,794) (92,688) (316,072) (486) (1,034,186) (101,462) (40,781) 2,415,011 24,317 2,481,463 768,280 554,050 802,225 235,848 44,459 (172,599) (80,505) (180,917) (1,979,406)
Purchases 609 5,288 9,508 8,275 3,355 3,976 1,190 142 4,321 27,626 632 540 256,042 2,445 261,561 81,799 72,948 84,111 35,127 5,868 95 105 100 865,663
Redemptions (23,085) (106,263) (90,817) (151,310) (54,487) (73,529) (14,962) (7,394) (32,567) (39) (140,032) (10,865) (3,550) (29,389) (6) (20,559) (3,710) (16,910) (4,384) (10,329) (1,369) (13,815) (6,683) (13,875) (829,929)
The accompanying notes are an integral part of these financial statements. -356-
Net change (22,476) (100,975) (81,309) (143,035) (51,132) (69,553) (13,772) (7,252) (28,246) (39) (112,406) (10,233) (3,010) 226,653 2,439 241,002 78,089 56,038 79,727 24,798 4,499 (13,720) (6,578) (13,775) 35,734
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Partners Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class L (f) Class O (g) Class P (f) Class Q (h) Class R1 Class R2 (i) Class R3 (j) Class R4 (k) Class R5 (l) Class R6 Class R7 Class R8 (m) Class S (b) Class T (n) Class U (f)
NAV per Unit, Beginning of Period $ 14.9691 12.4395 14.5177 15.4913 13.2724 13.6108 12.5131 11.4748 9.9595 11.0375 8.3936 8.8988 11.8074 9.1901 10.0000 10.0000 10.0000 10.0000 10.0753 9.9162 10.0000 11.4661 11.7459 11.9429
Net Investment Income (Loss)(a) $ 1.1767 1.2581 1.8338 2.3112 2.3039 2.6547 2.7557 2.6703 2.6402 0.2000 0.8682 0.5923 0.9969 0.4849 0.5083 0.9576 1.2807 1.4736 1.8005 2.0828 1.3987 1.5838 0.9140 2.1344
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0900 0.6032 0.4184 0.0568 (0.3398) (0.6179) (0.9122) (1.3674) (1.2775) 1.2358 0.3188 0.5317 0.6699 0.9902 0.9922 0.0290 0.0172 (0.3988) (0.5580) (0.6133) 0.4373 0.0992 (0.4630) (0.7287)
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
Total from Investment Activities $ 2.2667 1.8613 2.2522 2.3680 1.9641 2.0368 1.8435 1.3029 1.3627 1.4358 1.1870 1.1240 1.6668 1.4751 1.5005 0.9866 1.2979 1.0748 1.2425 1.4695 1.8360 1.6830 0.4510 1.4057
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 2, 2012
(h)
For the period from January 1, 2012 through September 21, 2012
(i)
For the period from May 25, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from June 5, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through June 20, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6652 11.5005 10.9866 11.2979 11.0748 11.3178 11.3857 11.8360 -
Total Return 15.14 14.96 15.51 15.29 14.80 14.96 14.73 11.35 13.68 13.01 14.14 12.63 14.12 16.05 15.01 9.87 12.98 10.75 12.33 14.82 18.36 14.68 3.84 11.77
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.08)% (1.26)% (1.42)% (1.60)% (1.72)% (1.94)% (0.13)% (0.75)% (0.49)% (0.62)% (0.38)% (0.37)% (0.71)% (0.94)% (1.09)% (1.32)% (1.53)% (1.00)% (1.01)% (0.60)% (1.32)%
The accompanying notes are an integral part of these financial statements. -357-
Net Investment Income (Loss) 7.31 % 9.41 % 11.72 % 13.86 % 16.16 % 18.15 % 20.51 % 22.02 % 24.81 % 1.70 % 9.66 % 6.26 % 7.89 % 4.88 % 4.73 % 9.13 % 12.03 % 13.98 % 16.83 % 19.56 % 12.81 % 12.87 % 7.63 % 16.88 %
FMT/Longleaf Small Cap Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
697,078
Liabilities 612
Fees payable $
Net assets
696,466
Components of net assets
Class R1 Class R3 Class R6 Class R8
Units of Participation 1,652 30,066 22,899 4,555
NAV per Unit $ 10.1026 $ 12.0710 $ 11.5379 $ 11.5575
$
$
The accompanying notes are an integral part of these financial statements. -358-
Net Assets 16,693 362,922 264,207 52,644 696,466
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
50,237
7,227 1,200 234 8,661
Net investment income
41,576
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
221,730 203,777
Net realized gain from investments sold
17,953
Change in net unrealized appreciation (depreciation) on investments
73,412
Net realized and unrealized gain on investments
91,365
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -359-
132,941
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
41,576
Net realized gain from investments sold
17,953
Change in net unrealized appreciation (depreciation) on investments
73,412 132,941
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
711,664 810,924 (99,260)
Decrease in net assets from participant transactions Total increase in net assets
33,681 662,785
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -360-
696,466
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Longleaf Partners Small Cap Fund (Cost $611,701)
24,137
Fair Value $
697,078
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Value
$
Level 1
697,078 $
697,078 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $164,006 and $221,730, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -361-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class F Class O Class R1 Class R3 Class R6 Class R7 Class R8 Class U
$
$
Purchases 15,619 556 17,180 304,028 310,957 1,207 52,031 10,086 711,664
Redemptions (17,496) (287,784) (666) (2,145) (75,642) (71,615) (63,520) (292,056) $ (810,924)
$
Units
$
$
Net change (1,877) (287,228) 16,514 301,883 235,315 (70,408) (11,489) (281,970) (99,260)
Purchases 1,469 55 1,718 30,250 29,519 117 5,127 722 68,977
Redemptions (1,469) (28,300) (66) (184) (6,620) (7,025) (5,901) (20,285) (69,850)
The accompanying notes are an integral part of these financial statements. -362-
Net change (28,245) 1,652 30,066 22,899 (6,908) (774) (19,563) (873)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Longleaf Small Cap Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class F (b) Class O (c) Class R1 (d) Class R3 (e) Class R6 (f) Class R7 (g) Class R8 Class U (h)
NAV per Unit, Beginning of Period $ 10.0000 10.0797 10.0000 10.0000 10.0000 9.9465 10.0997 13.0673
Net Investment Income (Loss)(a) $ 0.8226 0.0424 0.0110 0.4349 0.7097 0.2453 0.9593 0.7260
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1111 0.0468 0.0916 1.6361 0.8282 0.1906 0.4985 1.0037
Total from Investment Activities $ 1.9337 0.0892 0.1026 2.0710 1.5379 0.4359 1.4578 1.7297
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1026 12.0710 11.5379 11.5574 -
Total Return 19.34 0.88 1.03 20.71 15.38 4.38 14.43 13.24
% % % % % % % %
Net Expenses (1.56)% (0.09)% (0.02)% (0.82)% (1.37)% (1.03)% (1.85)% (1.09)%
Net Investment Income (Loss) 7.50 % 0.42 % 0.11 % 3.94 % 6.59 % 4.93 % 8.86 % 5.21 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 18, 2012 (commencement of this class) through December 11, 2012
(c)
For the period from January 1, 2012 through January 31, 2012
(d) For the period from December 12, 2012 (commencement of this class) through December 31, 2012 (e)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from February 8, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 1, 2012 through April 10, 2012
(h)
For the period from January 1, 2012 through August 30, 2012
The accompanying notes are an integral part of these financial statements. -363-
FMT/Meridian Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 19,855,583
Liabilities 12,884
Fees payable
$ 19,842,699
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 616,326 131,286 210,964 231,028 286,538 40,864 30,664 11,578
NAV per Unit $ 15.2864 $ 11.3950 $ 11.0141 $ 10.9235 $ 11.0053 $ 11.0848 $ 11.1249 $ 11.2756
Net Assets $ 9,421,412 1,495,999 2,323,581 2,523,632 3,153,421 452,965 341,140 130,549 $ 19,842,699
The accompanying notes are an integral part of these financial statements. -364-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
3,014,816
202,676 7,453 1,200 211,329
Net investment income
2,803,487
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
5,566,760 4,732,247
Net realized gain from investments sold
834,513
Change in net unrealized appreciation (depreciation) on investments
(1,436,495)
Net realized and unrealized loss on investments Net increase in net assets resulting from operations
(601,982) $
The accompanying notes are an integral part of these financial statements. -365-
2,201,505
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
2,803,487 834,513 (1,436,495)
Change in net unrealized appreciation (depreciation) on investments
2,201,505
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
21,306,874 24,126,632 (2,819,758)
Decrease in net assets from participant transactions Total decrease in net assets
(618,253) 20,460,952
Net assets at beginning of year
$ 19,842,699
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -366-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Meridian Growth Fund (Cost $19,298,610)
Shares
Fair Value
499,135
$ 19,855,583
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Mid Cap Growth
Total
Level 1
$ 19,855,583
$ 19,855,583
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,545,886 and $5,566,760, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -367-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 81,791 215,382 274,441 659,665 361,723 62,227 112,737 11 57,609 79,075 11,601 34,924 37,010 2,316 8,810,274 434,769 2,648,098 2,814,433 2,651,266 744,423 707,641 190,861 21,575 248,010 45,012 21,306,874
Redemptions (836,729) (1,587,609) (3,821,062) (4,682,094) (3,184,986) (1,086,157) (1,358,285) (2,223) (311,119) (187,965) (266,868) (431,711) (475,199) (28,623) (131,714) (699,591) (351,323) (414,121) (711,397) (719,783) (341,828) (374,475) (61,705) (1,287,895) (610,645) (161,525) $ (24,126,632)
$
Units
$
$
Net change (754,938) (1,372,227) (3,546,621) (4,022,429) (2,823,263) (1,023,930) (1,245,548) (2,212) (253,510) (108,890) (255,267) (396,787) (438,189) (28,623) (129,398) 8,110,683 83,446 2,233,977 2,103,036 1,931,483 402,595 333,166 129,156 (1,266,320) (362,635) (116,513) (2,819,758)
Purchases 4,754 12,391 16,223 39,816 22,138 3,865 6,971 1 3,851 5,154 820 2,304 2,147 228 582,599 39,813 249,726 268,978 250,866 69,268 64,369 16,738 1,549 17,121 3,040 1,684,730
Redemptions (47,813) (93,821) (223,923) (280,945) (191,193) (65,786) (83,405) (185) (20,480) (12,225) (18,660) (27,768) (27,454) (2,647) (12,792) (47,783) (31,355) (38,762) (66,286) (67,995) (31,484) (34,831) (5,648) (95,100) (40,635) (11,081) (1,580,057)
The accompanying notes are an integral part of these financial statements. -368-
Net change (43,059) (81,430) (207,700) (241,129) (169,055) (61,921) (76,434) (184) (16,629) (7,071) (17,840) (25,464) (25,307) (2,647) (12,564) 534,816 8,458 210,964 202,692 182,871 37,784 29,538 11,090 (93,551) (23,514) (8,041) 104,673
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Meridian Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 16.0743 15.8689 15.6612 15.4707 15.2753 15.0832 14.8929 11.0791 13.8557 14.2283 13.0434 14.2825 16.1791 9.8559 9.5807 13.6687 10.2115 10.0000 9.8222 9.9125 10.0011 10.0544 10.2078 12.8658 13.6328 13.4019
Net Investment Income (Loss)(a) $ 1.2918 1.6641 2.0190 2.3714 2.7149 3.0280 3.3596 2.6147 3.7530 4.1916 0.7978 1.2609 1.9645 0.6697 0.2064 0.7342 0.8736 1.0827 1.3393 1.6018 1.8628 2.1216 2.4104 1.8253 2.2242 2.4479
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.4860 0.0629 (0.2604) (0.7098) (1.2134) (1.4147) (1.8393) (1.6746) (2.4159) (2.8432) 0.4763 0.1059 (0.3067) 0.2882 0.5466 0.8835 0.3099 (0.0686) (0.2380) (0.5090) (0.7791) (1.0511) (1.3426) (0.4590) (0.7702) (1.2581)
Total from Investment Activities $ 1.7778 1.7270 1.7586 1.6616 1.5015 1.6133 1.5203 0.9401 1.3371 1.3484 1.2741 1.3668 1.6578 0.9579 0.7530 1.6177 1.1835 1.0141 1.1013 1.0928 1.0837 1.0705 1.0678 1.3663 1.4540 1.1898
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.2864 11.3950 11.0141 10.9235 11.0053 11.0848 11.1249 11.2756 -
Total Return 11.06 10.88 11.23 10.74 9.83 10.70 10.21 8.49 9.65 9.48 9.77 9.57 10.25 9.72 7.86 11.84 11.59 10.14 11.21 11.02 10.84 10.65 10.46 10.62 10.67 8.88
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.92)% (1.10)% (1.28)% (1.44)% (1.62)% (1.71)% (1.95)% (2.12)% (0.44)% (0.64)% (0.87)% (0.49)% (0.16)% (0.38)% (0.61)% (0.78)% (0.97)% (1.15)% (1.33)% (1.51)% (1.69)% (1.02)% (1.17)% (1.32)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through March 7, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -369-
Net Investment Income (Loss) 7.62 % 9.95 % 12.21 % 14.55 % 16.94 % 19.06 % 21.46 % 22.64 % 25.84 % 28.13 % 5.83 % 8.42 % 11.55 % 6.48 % 2.07 % 5.07 % 8.09 % 10.30 % 12.91 % 15.31 % 17.67 % 20.03 % 22.44 % 13.47 % 15.49 % 17.49 %
FMT/Morgan Stanley Institutional Small Cap Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,852,977
Liabilities 1,097
Fees payable $
Net assets
1,851,880
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R8
Units of Participation 90,679 11 60,539 13,428 6,326 3,431 1,390
NAV per Unit $ 10.3935 $ 11.0196 $ 10.4611 $ 11.2924 $ 11.2142 $ 11.3336 $ 10.4396
$
$
The accompanying notes are an integral part of these financial statements. -370-
Net Assets 942,472 124 633,309 151,633 70,940 38,889 14,513 1,851,880
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
79,719
18,656 1,200 711 20,567
Net investment income
59,152
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
849,902 763,044
Net realized gain from investments sold
86,858
Change in net unrealized appreciation (depreciation) on investments
145,850
Net realized and unrealized gain on investments
232,708
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -371-
291,860
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
59,152 86,858
Change in net unrealized appreciation (depreciation) on investments
145,850
Net increase in net assets resulting from operations
291,860
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,619,503 3,224,392 (604,889)
Decrease in net assets from participant transactions Total decrease in net assets
(313,029) 2,164,909
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -372-
1,851,880
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Morgan Stanley Institutional Small Company Growth I Fund (Cost $1,630,418)
130,860
Fair Value
$
1,852,977
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Growth
$
Level 1
1,852,977
$
1,852,977
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $303,308 and $849,902, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -373-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R8 Class S Class U
$
$
63 7,871 45,939 26,394 29,380 17,388 3,735 530,134 927,084 35,621 651,708 264,447 5,657 44,184 29,130 538 230 2,619,503
Redemptions (75,801) (122,958) (583,404) (953,162) (355,831) (153,150) (51,181) (597,432) (7,240) (35,633) (46,393) (127,250) (8,685) (15,502) (81,184) (9,586) $ (3,224,392)
$
Units
$
$
Net change (75,738) (115,087) (537,465) (926,768) (326,451) (135,762) (47,446) (67,298) 919,844 (12) 605,315 137,197 5,657 35,499 13,628 (80,646) (9,356) (604,889)
Purchases 5 577 3,361 1,944 2,190 1,317 286 56,387 91,382 3,562 65,266 25,637 525 4,252 2,914 43 19 259,667
Redemptions (5,608) (8,488) (42,119) (73,654) (27,022) (11,409) (3,855) (57,718) (703) (3,551) (4,727) (12,209) (821) (1,524) (6,392) (745) (260,545)
The accompanying notes are an integral part of these financial statements. -374-
Net change (5,603) (7,911) (38,758) (71,710) (24,832) (10,092) (3,569) (1,331) 90,679 11 60,539 13,428 525 3,431 1,390 (6,349) (726) (878)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Morgan Stanley Institutional Small Cap Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class O (f) Class R1 (g) Class R2 (h) Class R3 (i) Class R4 (j) Class R5 Class R6 (k) Class R8 (l) Class S (c) Class U (m)
NAV per Unit, Beginning of Period $ 12.6422 12.6804 12.5304 12.3825 12.2321 12.0852 11.9415 9.3194 10.0000 10.0000 10.0000 10.0000 9.6895 10.0000 10.0000 11.7748 11.6394
Net Investment Income (Loss)(a) $ 0.1080 0.3064 0.3743 0.4422 0.5041 0.5608 0.6235 0.2603 0.0069 0.0899 0.1557 0.2993 0.3640 0.4153 0.4374 0.3849 0.0741
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6441 1.1842 1.2831 1.1742 1.1184 0.9723 0.8701 1.0148 0.3866 0.9297 0.3054 0.9931 1.1607 0.9183 0.0022 0.9689 1.1532
Total from Investment Activities $ 0.7521 1.4906 1.6574 1.6164 1.6225 1.5331 1.4936 1.2751 0.3935 1.0196 0.4611 1.2924 1.5247 1.3336 0.4396 1.3538 1.2273
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3935 11.0196 10.4611 11.2924 11.2142 11.3336 10.4396 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through June 7, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
Total Return 5.95 11.76 13.23 13.05 13.26 12.69 12.51 13.68 3.94 10.20 4.61 12.92 15.74 13.34 4.40 11.50 10.54
% % % % % % % % % % % % % % % % %
Net Expenses (0.29)% (0.79)% (0.97)% (1.17)% (1.34)% (1.52)% (1.71)% (0.91)% (0.02)% (0.30)% (0.53)% (0.98)% (1.21)% (1.35)% (1.49)% (1.07)% (0.21)%
Net Investment Income (Loss) 0.83 % 2.28 % 2.80 % 3.35 % 3.87 % 4.36 % 4.91 % 2.61 % 0.07 % 0.86 % 1.52 % 2.81 % 3.48 % 3.89 % 4.28 % 3.09 % 0.60 %
(g) For the period from December 11, 2012 (commencement of this class) through December 31, 2012 (h)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through February 17, 2012
The accompanying notes are an integral part of these financial statements. -375-
FMT/Mutual Global Discovery Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
2,924,854
Liabilities 1,825
Fees payable $
Net assets
2,923,029
Components of net assets
Class R1 Class R3 Class R4 Class R5
Units of Participation 43,577 213,990 43 8,324
NAV per Unit $ 10.3685 $ 11.1330 $ 11.1975 $ 10.6166
$
$
The accompanying notes are an integral part of these financial statements. -376-
Net Assets 451,825 2,382,342 486 88,376 2,923,029
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
239,537
24,064 1,200 930 26,194
Net investment income
213,343
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
794,416 754,821
Net realized gain from investments sold
39,595
Change in net unrealized appreciation (depreciation) on investments
63,942
Net realized and unrealized gain on investments
103,537
Other operating credits (charges)
4,339
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -377-
321,219
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
213,343
Net realized gain from investments sold
39,595
Change in net unrealized appreciation (depreciation) on investments
63,942 4,339
Other operating credits (charges)
321,219
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
4,663,031 3,612,546 1,050,485
Increase in net assets from participant transactions Total increase in net assets
1,371,704
Net assets at beginning of year
1,551,325 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -378-
2,923,029
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Mutual Global Discovery A Fund (Cost $2,866,080)
103,461
Fair Value $
2,924,854
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Value
$
Level 1
2,924,854
$
2,924,854
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,063,222 and $794,416, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -379-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Schedule of Net Change in Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class O Class P Class R1 Class R3 Class R4 Class R5 Class R8 Class S Class U
$
$
Purchases 1,270,596 16,186 1,889 93,254 166,337 1,522 768 600 489 449,639 2,570,441 434 84,094 5,773 284 725 4,663,031
Redemptions (2,256,232) (116,589) (80,279) (332,895) (289,515) (41,230) (8,289) (64,582) (2,244) (27) (407,860) (551) (6,167) (4,723) (1,363) $ (3,612,546)
$
Units
$
$
Net change (985,636) (100,403) (78,390) (239,641) (123,178) (39,708) (7,521) (63,982) (1,755) 449,612 2,162,581 434 83,543 (394) (4,439) (638) 1,050,485
Purchases 75,846 1,016 197 5,623 15,560 106 63 58 45 43,580 252,305 43 8,378 577 28 65 403,490
Redemptions (133,003) (7,274) (8,312) (19,980) (25,727) (2,809) (671) (6,480) (200) (3) (38,315) (54) (577) (446) (118) (243,969)
The accompanying notes are an integral part of these financial statements. -380-
Net change (57,157) (6,258) (8,115) (14,357) (10,167) (2,703) (608) (6,422) (155) 43,577 213,990 43 8,324 (418) (53) 159,521
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Mutual Global Discovery Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (f) Class I (g) Class O (e) Class P (h) Class R1 (i) Class R3 (j) Class R4 (k) Class R5 (l) Class R8 (m) Class S (n) Class U (h)
NAV per Unit, Beginning of Period $ 16.5443 14.9272 9.0884 15.5632 10.0882 13.7622 11.6122 9.6775 10.2061 10.0000 10.0000 10.0000 10.0000 10.0000 9.5080 10.6429
Net Investment Income (Loss)(a) $ 0.5027 1.2135 0.8918 1.7719 1.3018 0.5749 0.5160 0.7639 0.4842 0.1144 0.6983 0.4275 0.8849 0.6542 0.8545 1.2958
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.4567) 0.5949 0.2104 0.0455 (0.1338) 0.0064 0.2227 0.4095 0.4974 0.2541 0.4347 0.7700 (0.2683) 0.0361 0.2262 (0.3638)
Total from Investment Activities $ 0.0460 1.8084 1.1022 1.8174 1.1680 0.5813 0.7387 1.1734 0.9816 0.3685 1.1330 1.1975 0.6166 0.6903 1.0807 0.9320
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3685 11.1330 11.1975 10.6166 -
Total Return 0.28 12.11 12.13 11.68 11.58 4.22 6.36 12.13 9.62 3.69 11.33 11.98 6.17 6.90 11.37 8.76
% % % % % % % % % % % % % % % %
Net Expenses (0.37)% (0.92)% (1.11)% (1.29)% (1.47)% (0.49)% (0.52)% (0.90)% (0.54)% (0.14)% (0.80)% (0.49)% (1.03)% (0.76)% (1.02)% (1.40)%
Net Investment Income (Loss) 3.03 % 7.67 % 9.25 % 10.76 % 12.20 % 4.09 % 4.31 % 7.44 % 4.53 % 1.12 % 6.61 % 4.03 % 8.58 % 6.32 % 8.50 % 11.66 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through June 7, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through April 11, 2012
(g)
For the period from January 1, 2012 through March 29, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from August 30, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 9, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from April 12, 2012 (commencement of this class) through September 21, 2012
(n)
For the period from January 1, 2012 through December 10, 2012
The accompanying notes are an integral part of these financial statements. -381-
FMT/Neuberger Berman Genesis Trust Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 18,045,397
Liabilities 12,726
Fees payable
$ 18,032,671
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 408,572 165,790 267,817 121,836 241,213 171,105 79,651 26,927
NAV per Unit $ 15.8121 $ 10.9472 $ 10.8309 $ 10.7070 $ 10.6885 $ 10.7423 $ 10.7873 $ 10.2748
Net Assets $ 6,460,386 1,814,933 2,900,706 1,304,492 2,578,200 1,838,066 859,217 276,671 $ 18,032,671
The accompanying notes are an integral part of these financial statements. -382-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
761,666
187,222 6,537 1,200 194,959
Net investment income
566,707
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,669,779 3,983,478
Net realized gain from investments sold
686,301
Change in net unrealized appreciation (depreciation) on investments
293,867
Net realized and unrealized gain on investments
980,168
Other operating credits (charges)
62,636
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -383-
1,609,511
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
566,707
Net realized gain from investments sold
686,301
Change in net unrealized appreciation (depreciation) on investments
293,867 62,636
Other operating credits (charges)
1,609,511
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
19,746,679 22,572,314 (2,825,635)
Decrease in net assets from participant transactions Total decrease in net assets
(1,216,124)
Net assets at beginning of year
19,248,795 $ 18,032,671
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -384-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Neuberger Berman Genesis Trust Fund (Cost $15,576,529)
Shares
Fair Value
356,065
$ 18,045,397
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Small Cap Core
Total
Level 1
$ 18,045,397
$ 18,045,397
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,468,882 and $4,669,779, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -385-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 55,928 92,469 186,501 221,283 123,866 230,092 97,050 24,662 7,898 4,727 2,365 6,759 39,816 56,381 7,538 7,814 6,411,310 1,772,240 2,983,190 1,450,203 2,548,268 1,970,979 825,608 296,050 288,297 28,161 7,224 19,746,679
Redemptions (1,169,323) (1,861,039) (1,883,965) (3,034,157) (2,567,672) (3,394,377) (1,059,057) (328,760) (153,941) (34,617) (47,120) (66,369) (1,187,587) (1,818,966) (157,720) (279,262) (63,922) (224,524) (225,360) (243,448) (264,778) (262,314) (71,733) (31,609) (1,494,395) (597,813) (48,486) $ (22,572,314)
$
Units
$
$
Net change (1,113,395) (1,768,570) (1,697,464) (2,812,874) (2,443,806) (3,164,285) (962,007) (304,098) (146,043) (29,890) (44,755) (59,610) (1,147,771) (1,762,585) (150,182) (271,448) 6,347,388 1,547,716 2,757,830 1,206,755 2,283,490 1,708,665 753,875 264,441 (1,206,098) (569,652) (41,262) (2,825,635)
Purchases 2,286 3,645 6,931 8,943 5,012 10,629 4,613 1,844 455 365 214 410 3,066 5,174 760 595 407,883 168,049 289,376 145,162 252,813 195,301 82,014 30,130 20,788 2,057 600 1,649,115
Redemptions (46,709) (72,591) (68,720) (123,370) (104,415) (156,973) (49,913) (24,263) (8,647) (2,584) (4,380) (3,906) (90,768) (169,699) (15,549) (21,298) (4,109) (21,365) (21,559) (23,326) (25,856) (25,071) (6,884) (3,203) (108,946) (43,305) (3,924) (1,251,333)
The accompanying notes are an integral part of these financial statements. -386-
Net change (44,423) (68,946) (61,789) (114,427) (99,403) (146,344) (45,300) (22,419) (8,192) (2,219) (4,166) (3,496) (87,702) (164,525) (14,789) (20,703) 403,774 146,684 267,817 121,836 226,957 170,230 75,130 26,927 (88,158) (41,248) (3,324) 397,782
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman Genesis Trust Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 (i) Class R5 Class R6 Class R7 Class R8 (j) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 23.6054 24.3143 25.7278 23.6176 23.6347 20.8407 20.0225 12.8057 16.6273 12.4661 10.6477 15.7478 12.3523 10.3976 9.5664 12.6380 14.4057 9.9955 10.0000 10.0000 9.8090 9.8749 9.9333 10.0000 12.9741 13.1449 11.5461
Net Investment Income (Loss)(a) $ 0.4485 0.5972 0.7796 0.8539 0.9923 0.9834 1.0618 0.7140 1.0601 0.8643 0.0649 0.2265 0.2562 0.2979 0.1530 0.3376 0.1872 0.2013 0.2550 0.3063 0.3733 0.4356 0.4959 0.4084 0.4314 0.5043 0.4967
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7046 1.5779 1.5889 1.1968 0.8776 0.8261 0.5721 0.1341 0.2263 0.0787 0.0455 1.0167 0.6949 0.5674 0.5976 0.8427 1.2192 0.7504 0.5759 0.4007 0.5062 0.4318 0.3581 (0.1336) 0.6950 0.6276 0.3138
Total from Investment Activities $ 2.1531 2.1751 2.3685 2.0507 1.8699 1.8095 1.6339 0.8481 1.2864 0.9430 0.1104 1.2432 0.9511 0.8653 0.7506 1.1803 1.4064 0.9517 0.8309 0.7070 0.8795 0.8674 0.8540 0.2748 1.1264 1.1319 0.8105
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.8121 10.9472 10.8309 10.7070 10.6885 10.7423 10.7873 10.2748 -
Total Return 9.12 8.95 9.21 8.68 7.91 8.68 8.16 6.62 7.74 7.56 1.04 7.89 7.70 8.32 7.85 9.34 9.76 9.52 8.31 7.07 8.97 8.78 8.60 2.75 8.68 8.61 7.02
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.07)% (1.25)% (1.40)% (1.58)% (1.67)% (1.90)% (2.07)% (0.19)% (0.43)% (0.62)% (0.85)% (0.48)% (0.79)% (0.38)% (0.60)% (0.76)% (0.92)% (1.13)% (1.31)% (1.48)% (1.25)% (0.99)% (1.14)% (1.29)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 7, 2012
(h)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from March 26, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -387-
Net Investment Income (Loss) 1.82 % 2.35 % 2.90 % 3.46 % 4.04 % 4.52 % 5.10 % 5.40 % 6.14 % 6.68 % 0.61 % 1.38 % 2.00 % 2.75 % 1.54 % 2.55 % 1.24 % 1.92 % 2.45 % 2.96 % 3.64 % 4.23 % 4.79 % 4.03 % 3.19 % 3.68 % 4.16 %
FMT/Neuberger Berman REIT Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman REIT Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,143,417
Liabilities 4,661
Fees payable $
Net assets
7,138,756
Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
$
$
Net Assets 2,889,013 553,189 822,249 1,182,828 948,571 327,303 207,099 157,401 51,103 7,138,756
The Fund had no direct plan/participant investors during the period. All investors in this Fund are "funds of funds".
The accompanying notes are an integral part of these financial statements. -388-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman REIT Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
170,141
15,162 200 195 15,557
Net investment income
154,584
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
356,038 359,295
Net realized loss from investments sold
(3,257)
Change in net unrealized appreciation (depreciation) on investments
20,329
Net realized and unrealized gain on investments
17,072
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -389-
171,656
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman REIT Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
154,584
Net realized loss from investments sold
(3,257)
Change in net unrealized appreciation (depreciation) on investments
20,329 171,656
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
10,257,223 3,290,123 6,967,100
Increase in net assets from participant transactions Total increase in net assets
7,138,756 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -390-
7,138,756
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman REIT Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Neuberger Berman Real Estate Fund (Cost $7,123,088)
528,750
Fair Value $
7,143,417
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Sector Specific $ Real Estate
Level 1
7,143,417
$
7,143,417
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,482,383 and $356,038, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -391-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Neuberger Berman REIT Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
Purchases 141,017 120,693 252,580 547,700 260,396 149,503 144,087 9,340 62,887 52,994 25,082 102,901 40,634 457,216 173 112,289 2,955,303 652,077 832,925 1,233,368 1,021,524 382,209 236,963 163,647 131,350 86,696 30,284 51,385 $ 10,257,223
$
Redemptions Net change $ (140,016) $ 1,001 (119,876) 817 (251,678) 902 (545,255) 2,445 (257,527) 2,869 (148,657) 846 (143,213) 874 (9,171) 169 (61,671) 1,216 (52,730) 264 (24,855) 227 (101,042) 1,859 (40,070) 564 (453,841) 3,375 (148) 25 (111,706) 583 (146,585) 2,808,718 (113,147) 538,930 (32,405) 800,520 (81,513) 1,151,855 (98,005) 923,519 (62,775) 319,434 (34,705) 202,258 (10,094) 153,553 (131,866) (516) (86,121) 575 (29,797) 487 (1,654) 49,731 $ (3,290,123) $ 6,967,100
The Fund had no direct plan/participant investors during the period. All investors in this Fund are "funds of funds".
The accompanying notes are an integral part of these financial statements. -392-
FMT/Nuveen Real Estate Securities Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 36,505,465
Liabilities 23,933
Fees payable
$ 36,481,532
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,106,889 221,494 477,709 259,404 332,212 162,186 103,395 99,759
$ $ $ $ $ $ $ $
NAV per Unit 14.9736 12.2107 11.7305 12.1512 12.2698 11.6720 12.3057 12.0833
$
$
The accompanying notes are an integral part of these financial statements. -393-
Net Assets 16,574,121 2,704,597 5,603,772 3,152,060 4,076,180 1,893,043 1,272,346 1,205,413 36,481,532
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,865,272
359,679 12,424 1,200 373,303
Net investment income
1,491,969
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
6,589,314 5,770,520
Net realized gain from investments sold
818,794
Change in net unrealized appreciation (depreciation) on investments
3,143,361
Net realized and unrealized gain on investments
3,962,155
Other operating credits (charges)
137,780
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -394-
5,591,904
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
1,491,969 818,794
Change in net unrealized appreciation (depreciation) on investments
3,143,361 137,780
Other operating credits (charges)
5,591,904
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
40,775,314 42,926,439 (2,151,125)
Decrease in net assets from participant transactions Total increase in net assets
3,440,779 33,040,753
Net assets at beginning of year
$ 36,481,532
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -395-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Nuveen Real Estate Securities A Fund (Cost $32,068,399)
Shares
Fair Value
1,736,772
$ 36,505,465
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Mutual fund - Sector Specific $ 36,505,465 Real Estate
$ 36,505,465
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $6,252,854 and $6,589,314, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -396-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 240,560 451,669 537,596 663,680 405,007 381,784 392,173 3,750 114,658 13,055 36,778 1,652 372,190 86,876 74,802 30,287 15,672,531 2,739,799 6,277,096 3,686,110 3,914,484 1,986,530 1,383,452 1,054,738 142,315 49,779 61,963 40,775,314
Redemptions (3,120,893) (4,731,882) (5,372,906) (6,113,452) (4,259,959) (3,542,387) (4,331,866) (37,032) (754,770) (186,513) (139,023) (8,337) (1,360,564) (1,266,133) (243,426) (151,704) (581,293) (1,054,214) (1,082,025) (1,000,142) (720,190) (256,625) (364,218) (164,938) (1,022,210) (762,046) (297,691) $ (42,926,439)
$
Units
$
$
Net change (2,880,333) (4,280,213) (4,835,310) (5,449,772) (3,854,952) (3,160,603) (3,939,693) (33,282) (640,112) (173,458) (102,245) (6,685) (988,374) (1,179,257) (168,624) (121,417) 15,091,238 1,685,585 5,195,071 2,685,968 3,194,294 1,729,905 1,019,234 889,800 (879,895) (712,267) (235,728) (2,151,125)
Purchases 10,978 21,038 25,303 32,118 19,643 18,350 19,186 236 5,809 864 2,812 145 30,251 7,685 4,300 1,740 1,074,510 249,440 574,880 329,690 341,314 184,666 120,626 93,378 8,408 2,933 3,798 3,184,101
Redemptions (147,134) (220,699) (250,408) (291,105) (205,391) (172,254) (211,494) (2,333) (37,700) (12,285) (10,212) (709) (111,653) (108,718) (14,100) (8,697) (40,512) (90,469) (97,171) (85,874) (60,789) (22,480) (30,633) (14,152) (60,370) (44,662) (17,837) (2,369,841)
The accompanying notes are an integral part of these financial statements. -397-
Net change (136,156) (199,661) (225,105) (258,987) (185,748) (153,904) (192,308) (2,097) (31,891) (11,421) (7,400) (564) (81,402) (101,033) (9,800) (6,957) 1,033,998 158,971 477,709 243,816 280,525 162,186 89,993 79,226 (51,962) (41,729) (14,039) 814,260
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Nuveen Real Estate Securities Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (g) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 (h) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 19.7379 19.4890 19.2304 19.0003 18.7585 18.5315 18.2916 14.5722 17.8360 13.4390 11.9829 10.1322 10.8833 10.5576 15.6486 15.6152 12.6830 10.3654 10.0000 10.3497 10.4684 10.0000 10.5346 10.3616 15.3810 15.6854 15.2342
Net Investment Income (Loss)(a) $ 0.5337 0.6775 0.8291 0.9725 1.1168 1.2466 1.3871 1.1391 1.6181 1.3373 0.2205 0.1519 0.3239 0.4249 0.3615 0.5958 0.2331 0.3007 0.3746 0.4819 0.5780 0.6289 0.7646 0.8398 0.7202 0.8538 0.9381
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.5286 2.3102 2.1149 1.8399 1.4541 1.4885 1.2199 0.6314 0.8888 0.5272 1.3958 1.5619 1.1163 1.0674 1.7334 1.8135 2.0575 1.5446 1.3559 1.3196 1.2234 1.0431 1.0065 0.8819 1.5948 1.4562 0.9695
Total from Investment Activities $ 3.0623 2.9877 2.9440 2.8124 2.5709 2.7351 2.6070 1.7705 2.5069 1.8645 1.6163 1.7138 1.4402 1.4923 2.0949 2.4093 2.2906 1.8453 1.7305 1.8015 1.8014 1.6720 1.7711 1.7217 2.3150 2.3100 1.9076
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.9736 12.2107 11.7305 12.1512 12.2698 11.6720 12.3057 12.0833 -
Total Return 15.51 15.33 15.31 14.80 13.71 14.76 14.25 12.15 14.06 13.87 13.49 16.91 13.23 14.13 13.39 15.43 18.06 17.80 17.31 17.41 17.21 16.72 16.81 16.62 15.05 14.73 12.52
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.09)% (1.28)% (1.43)% (1.62)% (1.69)% (1.94)% (2.13)% (0.39)% (0.32)% (0.64)% (0.86)% (0.50)% (0.81)% (0.39)% (0.61)% (0.79)% (0.98)% (1.16)% (1.33)% (1.53)% (1.71)% (1.00)% (1.16)% (1.33)%
Net Investment Income (Loss) 2.51 % 3.23 % 4.00 % 4.77 % 5.57 % 6.26 % 7.08 % 7.37 % 8.48 % 9.31 % 1.72 % 1.38 % 2.79 % 3.76 % 2.16 % 3.54 % 1.69 % 2.66 % 3.45 % 4.28 % 5.08 % 5.80 % 6.69 % 7.48 % 4.35 % 5.07 % 5.80 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through August 28, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -398-
FMT/Oppenheimer Developing Markets A Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Developing Markets A Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
15,142 1,566 300 17,008 (17,008)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
13,714,707 13,198,876
Net realized gain from investments sold
515,831
Change in net unrealized appreciation (depreciation) on investments
946,555
Net realized and unrealized gain on investments
1,462,386
Other operating credits (charges)
11,266
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -399-
1,456,644
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Developing Markets A Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(17,008)
Net realized gain from investments sold
515,831
Change in net unrealized appreciation (depreciation) on investments
946,555 11,266
Other operating credits (charges)
1,456,644
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
647,903 14,059,474 (13,411,571)
Decrease in net assets from participant transactions Total decrease in net assets
(11,954,927) 11,954,927
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -400-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Developing Markets A Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class Q Class R1 Class S Class T Class U
$
$
Purchases 46,108 179,407 88,349 19,268 36,390 65,238 44,943 123 34,419 2,847 19,677 2,351 9,766 8,981 65,069 17,452 2,921 4,594 647,903
Redemptions (760,311) (3,752,054) (2,270,524) (1,252,512) (744,464) (2,137,177) (452,612) (18,465) (245,479) (34,176) (193,603) (26,914) (332,481) (416,225) (686,527) (533,072) (59,720) (143,158) $ (14,059,474)
$
Units
$
$
Net change (714,203) (3,572,647) (2,182,175) (1,233,244) (708,074) (2,071,939) (407,669) (18,342) (211,060) (31,329) (173,926) (24,563) (322,715) (407,244) (621,458) (515,620) (56,799) (138,564) (13,411,571)
Purchases 1,775 10,400 5,042 1,213 2,249 3,761 2,844 12 2,377 193 1,410 211 650 778 4,478 1,478 313 408 39,592
Redemptions (27,156) (216,269) (129,190) (76,624) (45,569) (120,827) (28,395) (1,887) (17,116) (2,304) (12,454) (2,327) (21,616) (35,446) (46,328) (44,611) (6,292) (12,047) (846,458)
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -401-
Net change (25,381) (205,869) (124,148) (75,411) (43,320) (117,066) (25,551) (1,875) (14,739) (2,111) (11,044) (2,116) (20,966) (34,668) (41,850) (43,133) (5,979) (11,639) (806,866)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Developing Markets A Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (b) Class D (b) Class E (b) Class F (b) Class G (b) Class H (c) Class I (b) Class J (b) Class M (b) Class N (b) Class O (b) Class Q (b) Class R1 (b) Class S (b) Class T (b) Class U (b)
NAV per Unit, Beginning of Period $ 25.0365 15.6218 15.5352 14.4167 14.4502 15.9447 14.1675 9.6986 12.7121 13.1524 13.7339 10.2611 13.5991 10.4034 13.1474 10.5713 8.3986 10.6649
Net Investment Income (Loss)(a) $ (0.0052) (0.0058) (0.0082) (0.0100) (0.0122) (0.0161) (0.0165) (0.0012) (0.0188) (0.0216) (0.0013) (0.0029) (0.0064) (0.0044) (0.0064) (0.0063) (0.0101)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 3.2991 2.0545 2.0389 1.8884 1.8889 2.0803 1.8445 0.0875 1.6483 1.7019 1.8124 1.3509 1.7860 1.3672 1.7370 1.3859 1.0991 1.3925
Total from Investment Activities $ 3.2939 2.0487 2.0307 1.8784 1.8767 2.0642 1.8280 0.0863 1.6295 1.6803 1.8111 1.3480 1.7796 1.3628 1.7370 1.3795 1.0928 1.3824
Ratios (to average unit value)
NAV per Unit, End of Period $ -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through March 22, 2012
(c)
For the period from January 1, 2012 through January 6, 2012
Total Return 13.16 13.11 13.07 13.03 12.99 12.95 12.90 0.89 12.82 12.78 13.19 13.14 13.09 13.10 13.21 13.05 13.01 12.96
% % % % % % % % % % % % % % % % % %
Net Expenses (0.06)% (0.10)% (0.15)% (0.19)% (0.23)% (0.28)% (0.32)% (0.04)% (0.41)% (0.46)% (0.03)% (0.08)% (0.13)% (0.12)% % (0.17)% (0.21)% (0.26)%
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -402-
Net Investment Income (Loss) (0.02)% (0.03)% (0.05)% (0.06)% (0.08)% (0.09)% (0.11)% (0.01)% (0.14)% (0.15)% (0.01)% (0.03)% (0.04)% (0.04)% % (0.06)% (0.07)% (0.09)%
FMT/Oppenheimer Global Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Global Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
13,805 1,104 300 15,209 (15,209)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
9,438,759 9,298,500
Net realized gain from investments sold
140,259
Change in net unrealized appreciation (depreciation) on investments
681,846
Net realized and unrealized gain on investments
822,105
Other operating credits (charges)
7,997
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -403-
814,893
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Global Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(15,209)
Net realized gain from investments sold
140,259
Change in net unrealized appreciation (depreciation) on investments
681,846 7,997
Other operating credits (charges)
814,893
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
187,778 9,524,851 (9,337,073)
Decrease in net assets from participant transactions Total decrease in net assets
(8,522,180) 8,522,180
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -404-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Global Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class Q Class R1 Class S Class T Class U
$
$
Purchases 174 4,331 20,825 35,009 37,887 17,884 23,774 3,416 10,226 1,022 34 6,219 362 1,963 8,688 5,624 10,340 187,778
Redemptions (195,369) (1,438,576) (1,337,031) (1,551,616) (1,499,698) (788,800) (1,111,431) (107,190) (442,465) (58,559) (35) (74,858) (36,779) (228,137) (68,766) (303,299) (282,242) $ (9,524,851)
$
Units
$
$
Net change (195,195) (1,434,245) (1,316,206) (1,516,607) (1,461,811) (770,916) (1,087,657) (103,774) (432,239) (57,537) (1) (68,639) (36,417) (226,174) (60,078) (297,675) (271,902) (9,337,073)
Purchases 13 307 1,537 2,651 2,642 1,345 1,791 303 834 102 3 581 32 178 822 492 868 14,501
Redemptions (13,482) (101,906) (96,276) (112,127) (99,992) (56,800) (84,003) (9,174) (34,801) (5,660) (3) (6,600) (3,142) (19,606) (6,352) (25,611) (23,041) (698,576)
*The Fund was closed March 22, 2012
The accompanying notes are an integral part of these financial statements. -405-
Net change (13,469) (101,599) (94,739) (109,476) (97,350) (55,455) (82,212) (8,871) (33,967) (5,558) (6,019) (3,110) (19,428) (5,530) (25,119) (22,173) (684,075)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Global Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (b) Class D (b) Class E (b) Class F (b) Class G (b) Class H (b) Class I (b) Class J (b) Class N (d) Class O (b) Class Q (b) Class R1 (b) Class S (b) Class T (b) Class U (b)
NAV per Unit, Beginning of Period $ 12.9245 13.7743 12.6178 12.4657 13.5073 12.4654 12.0246 10.4627 11.3900 9.4723 10.0000 10.1364 10.8491 10.3898 9.7354 10.6636 10.9651
Net Investment Income (Loss)(a) $ (0.0036) (0.0061) (0.0089) (0.0115) (0.0152) (0.0168) (0.0188) (0.0185) (0.0226) (0.0209) (0.0064) (0.0062) (0.0080) (0.0108) (0.0138)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5500 1.4368 1.5080 1.4872 1.6085 1.4820 1.4272 1.2395 1.3470 1.1184 0.9918 1.2121 1.2981 1.2487 1.1624 1.2714 1.3045
Total from Investment Activities $ 1.5464 1.4307 1.4991 1.4757 1.5933 1.4652 1.4084 1.2210 1.3244 1.0975 0.9918 1.2057 1.2919 1.2487 1.1544 1.2606 1.2907
Ratios (to average unit value)
NAV per Unit, End of Period $ -
Total Return 11.96 10.39 11.88 11.84 11.80 11.75 11.71 11.67 11.63 11.59 9.92 11.89 11.91 12.02 11.86 11.82 11.77
% % % % % % % % % % % % % % % % %
Net Expenses (0.06)% (0.09)% (0.14)% (0.18)% (0.22)% (0.27)% (0.31)% (0.35)% (0.40)% (0.44)% % (0.13)% (0.11)% % (0.16)% (0.20)% (0.25)%
Net Investment Income (Loss) (0.03)% (0.04)% (0.07)% (0.09)% (0.11)% (0.13)% (0.15)% (0.17)% (0.19)% (0.21)% % (0.06)% (0.05)% % (0.08)% (0.10)% (0.12)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through March 22, 2012
(c)
For the period from January 1, 2012 through March 8, 2012
(d)
For the period from January 11, 2012 (commencement of this class) through March 22, 2012
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -406-
FMT/Oppenheimer Gold & Special Minerals Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Gold & Special Minerals Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
5,104 555 300 5,959 (5,959)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
4,461,982 5,237,854
Net realized loss from investments sold
(775,872)
Change in net unrealized appreciation (depreciation) on investments
799,849
Net realized and unrealized gain on investments
23,977
Other operating credits (charges)
4,622
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -407-
22,640
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Gold & Special Minerals Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(5,959) (775,872)
Change in net unrealized appreciation (depreciation) on investments
799,849 4,622
Other operating credits (charges)
22,640
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
386,776 4,562,278 (4,175,502)
Decrease in net assets from participant transactions Total decrease in net assets
(4,152,862) 4,152,862
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -408-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Gold & Special Minerals Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class P Class Q Class R1 Class S Class T Class U
$
$
Purchases 145,595 6,861 55,002 36,021 31,337 8,073 59,883 1,121 536 2,515 8,851 3,039 886 1,254 3,810 12,905 9,087 386,776
Redemptions (365,880) (341,305) (822,818) (399,714) (464,576) (918,515) (258,815) (12,701) (55,347) (42,492) (35,410) (267,228) (97,092) (13,569) (3,451) (29,677) (123,985) (260,714) (48,989) $ (4,562,278)
$
Units
$
$
Net change (220,285) (334,444) (767,816) (363,693) (433,239) (910,442) (198,932) (11,580) (54,811) (39,977) (35,410) (258,377) (94,053) (12,683) (3,451) (28,423) (120,175) (247,809) (39,902) (4,175,502)
Purchases 13,285 614 4,578 3,153 2,905 655 5,764 108 44 234 413 158 98 150 281 1,113 837 34,390
Redemptions (33,625) (33,329) (71,318) (37,885) (45,481) (76,335) (27,272) (1,292) (4,836) (4,279) (4,707) (12,201) (5,718) (1,489) (322) (3,649) (9,982) (25,205) (4,932) (403,857)
*The Fund was closed March 22, 2012
The accompanying notes are an integral part of these financial statements. -409-
Net change (20,340) (32,715) (66,740) (34,732) (42,576) (75,680) (21,508) (1,184) (4,792) (4,045) (4,707) (11,788) (5,560) (1,391) (322) (3,499) (9,701) (24,092) (4,095) (369,467)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Oppenheimer Gold & Special Minerals Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (b) Class D (b) Class E (b) Class F (b) Class G (b) Class H (b) Class I (b) Class J (b) Class M (b) Class N (b) Class O (b) Class P (c) Class Q (b) Class R1 (b) Class S (b) Class T (b) Class U (b)
NAV per Unit, Beginning of Period $ 10.4514 10.5224 11.3697 10.7539 10.3121 11.6136 9.8052 10.2532 11.3738 9.8754 7.8238 19.6451 17.5965 8.2443 11.1411 7.6060 12.7667 10.5475 10.3505
Net Investment Income (Loss)(a) $ (0.0015) (0.0026) (0.0040) (0.0050) (0.0059) (0.0084) (0.0076) (0.0091) (0.0116) (0.0110) (0.0005) (0.0038) (0.0055) (0.0006) (0.0032) (0.0052) (0.0053) (0.0065)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.4027) (0.4082) (0.4440) (0.4227) (0.4080) (0.4608) (0.3932) (0.4137) (0.4613) (0.4030) (0.3000) (0.7549) (0.6856) 0.7847 (0.4333) (0.2903) (0.5003) (0.4159) (0.4112)
Total from Investment Activities $ (0.4042) (0.4108) (0.4480) (0.4277) (0.4139) (0.4692) (0.4008) (0.4228) (0.4729) (0.4140) (0.3005) (0.7587) (0.6911) 0.7841 (0.4365) (0.2903) (0.5055) (0.4212) (0.4177)
Ratios (to average unit value)
NAV per Unit, End of Period $ -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through March 22, 2012
(c)
For the period from January 1, 2012 through March 2, 2012
Total Return (3.87)% (3.90)% (3.94)% (3.98)% (4.01)% (4.04)% (4.09)% (4.12)% (4.16)% (4.19)% (3.84)% (3.86)% (3.93)% 9.51 % (3.92)% (3.82)% (3.96)% (3.99)% (4.04)%
Net Expenses (0.06)% (0.11)% (0.16)% (0.21)% (0.26)% (0.33)% (0.35)% (0.40)% (0.47)% (0.51)% (0.03)% (0.09)% (0.14)% (0.03)% (0.13)% % (0.19)% (0.23)% (0.29)%
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -410-
Net Investment Income (Loss) (0.01)% (0.03)% (0.04)% (0.05)% (0.06)% (0.07)% (0.08)% (0.09)% (0.10)% (0.11)% (0.01)% (0.02)% (0.03)% (0.01)% (0.03)% % (0.04)% (0.05)% (0.06)%
FMT/PIMCO All Asset All Authority Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$ 10,649,532 87,155 10,736,687
Liabilities 6,213
Fees payable
$ 10,730,474
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 442,201 5,262 166,474 100,732 123,002 61,489 20,065 11,374
NAV per Unit $ 11.8740 $ 11.5921 $ 10.9525 $ 11.0760 $ 11.8593 $ 10.8043 $ 11.6313 $ 10.8451
Net Assets $ 5,250,677 60,998 1,823,302 1,115,702 1,458,713 664,349 233,378 123,355 $ 10,730,474
The accompanying notes are an integral part of these financial statements. -411-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
586,330
67,215 2,506 1,200 70,921
Net investment income
515,409
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,351,083 1,308,069
Net realized gain from investments sold
43,014
Change in net unrealized appreciation (depreciation) on investments
630,185
Net realized and unrealized gain on investments
673,199
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -412-
1,188,608
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
515,409 43,014 630,185
Change in net unrealized appreciation (depreciation) on investments
1,188,608
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,329,588 8,553,873 3,775,715
Increase in net assets from participant transactions Total increase in net assets
4,964,323
Net assets at beginning of year
5,766,151 $ 10,730,474
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -413-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (99.2%) PIMCO All Asset All Authority Institutional Fund (Cost $10,386,284)
Shares
Fair Value
960,282
$ 10,649,532
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Tactical Asset Allocation
Total
Level 1
$ 10,649,532
$ 10,649,532
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,557,012 and $1,351,083, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -414-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
51,145 456,853 179,191 284,941 651,076 69,874 2,936 2,673 184,676 81,480 8,709 4,699,021 60,252 1,854,761 1,343,872 1,432,254 621,929 181,990 119,131 11,704 31,120 12,329,588
Redemptions (14,533) (1,560,758) (1,829,999) (1,538,884) (421,489) (837,187) (122,455) (48,989) (58,399) (505,722) (115,965) (547,530) (126,057) (3,009) (199,191) (318,743) (85,651) (2,239) (1,515) (5,270) (65,672) (144,616) $ (8,553,873)
$
Units
$
$
Net change (14,533) (1,509,613) (1,373,146) (1,359,693) (136,548) (186,111) (52,581) (46,053) (55,726) (321,046) (34,485) (538,821) 4,572,964 57,243 1,655,570 1,025,129 1,346,603 619,690 180,475 113,861 (53,968) (113,496) 3,775,715
Purchases 4,698 41,873 15,833 26,228 59,821 6,622 269 261 17,296 7,714 782 409,291 5,538 185,747 130,003 130,896 61,702 17,008 11,876 1,065 2,991 1,137,514
Redemptions (1,400) (145,501) (161,150) (138,470) (38,534) (73,023) (11,210) (4,455) (5,776) (44,798) (10,367) (48,409) (11,436) (276) (19,273) (29,271) (7,905) (213) (134) (502) (5,770) (13,210) (771,083)
The accompanying notes are an integral part of these financial statements. -415-
Net change (1,400) (140,803) (119,277) (122,637) (12,306) (13,202) (4,588) (4,186) (5,515) (27,502) (2,653) (47,627) 397,855 5,262 166,474 100,732 122,991 61,489 16,874 11,374 (4,705) (10,219) 366,431
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO All Asset All Authority Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class J (g) Class L (h) Class O (f) Class P (i) Class Q (d) Class R1 Class R2 (j) Class R3 (k) Class R4 (l) Class R5 Class R6 (m) Class R7 Class R8 (n) Class S (o) Class T (e)
NAV per Unit, Beginning of Period $ 10.2915 10.3227 10.1505 10.2205 10.1889 10.2087 9.9852 10.3143 9.7279 10.3033 9.7616 10.3393 10.1313 10.0000 10.0000 10.0000 10.1887 10.0000 10.0303 10.0000 10.3804 9.7296
Net Investment Income (Loss)(a) $ 0.0112 0.2645 0.7267 0.8654 0.9944 1.1562 1.2347 0.4105 0.1368 0.6825 0.3710 0.6391 0.3025 0.4744 0.5315 0.6834 0.9231 0.8043 1.1873 0.9663 0.5270 0.8809
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0797 (0.0081) 0.8667 0.7408 0.5778 0.3913 0.2793 0.2722 0.2458 0.9521 1.0585 0.9963 1.4402 1.1177 0.4210 0.3926 0.7475 0.4137 (0.1212) 0.4750 0.6407
Total from Investment Activities $ 0.0909 0.2564 1.5934 1.6062 1.5722 1.5475 1.5140 0.6827 0.3826 1.6346 1.4295 1.6354 1.7427 1.5921 0.9525 1.0760 1.6706 0.8043 1.6010 0.8451 1.0020 1.5216
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.8740 11.5921 10.9525 11.0760 11.8593 10.8043 11.6313 10.8451 -
Total Return 0.88 2.48 15.70 15.72 15.43 15.16 15.16 6.62 3.93 15.86 14.64 15.82 17.20 15.92 9.53 10.76 16.40 8.04 15.96 8.45 9.65 15.64
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 9, 2012
(c)
For the period from January 1, 2012 through June 4, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through March 26, 2012
(h)
For the period from January 1, 2012 through June 7, 2012
(i)
For the period from January 1, 2012 through November 27, 2012
(j)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 8, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from March 12, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from March 27, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from January 1, 2012 through August 16, 2012
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.01)% (0.35)% (0.91)% (1.08)% (1.25)% (1.45)% (1.58)% (0.53)% (0.19)% (0.84)% (0.49)% (0.79)% (0.38)% (0.60)% (0.70)% (0.89)% (1.15)% (1.06)% (1.51)% (1.28)% (0.67)% (1.16)%
The accompanying notes are an integral part of these financial statements. -416-
Net Investment Income (Loss) 0.11 % 2.53 % 6.64 % 7.85 % 9.06 % 10.53 % 11.49 % 3.85 % 1.38 % 6.14 % 3.54 % 5.73 % 2.75 % 4.39 % 5.07 % 6.48 % 8.37 % 7.73 % 10.96 % 9.27 % 4.84 % 8.40 %
FMT/PIMCO High Yield Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$ 14,534,154 78,670 14,612,824
Liabilities 9,569
Fees payable
$ 14,603,255
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 424,382 116,857 164,625 67,571 99,971 55,385 70,255 17,973
NAV per Unit $ 18.4276 $ 11.5751 $ 11.2866 $ 11.6945 $ 11.4441 $ 11.3939 $ 11.4684 $ 11.1927
$
Net Assets 7,820,330 1,352,635 1,858,058 790,212 1,144,084 631,049 805,715 201,172
$ 14,603,255
The accompanying notes are an integral part of these financial statements. -417-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
2,333,875
350,916 14,165 1,200 366,281
Net investment income
1,967,594
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
36,748,285 35,119,048
Net realized gain from investments sold
1,629,237
Change in net unrealized appreciation (depreciation) on investments
1,138,118
Net realized and unrealized gain on investments
2,767,355
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -418-
4,734,949
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,967,594
Net realized gain from investments sold
1,629,237
Change in net unrealized appreciation (depreciation) on investments
1,138,118
Net increase in net assets resulting from operations
4,734,949
Participant transactions Proceeds from units purchased Less payments for units redeemed
41,079,900 70,301,483
Decrease in net assets from participant transactions Total decrease in net assets
(29,221,583) (24,486,634) 39,089,889
Net assets at beginning of year
$ 14,603,255
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -419-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (99.5%) PIMCO High Yield Institutional Fund (Cost $13,785,767)
Shares
Fair Value
1,507,692
$ 14,534,154
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - High Yield Bond
Total
Level 1
$ 14,534,154
$ 14,534,154
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $9,621,876 and $36,748,285, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -420-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 178,978 303,623 401,463 257,732 707,072 382,680 212,489 5,398 32,205 167,158 9,313 259,196 57,199 8,307 3,555 7,996,348 2,277,651 2,696,818 1,257,416 1,873,503 634,295 625,776 195,169 146,899 20,926 33,627 86,822 167,204 1,106,573 879,390 398,273 200,583 171,025 5,733 84,991 33,364 5,747 28,244 54,883 565,835 10,590 45,268 1,001,230 1,372,523 3,100,996 4,645,648 3,239,927 1,317,949 853,467 652,307 150,591 102,485 23,002 30,454 41,079,900
Redemptions (1,912,358) (3,295,856) (1,765,808) (1,835,962) (2,753,862) (1,013,105) (895,354) (21,676) (214,469) (244,479) (141,679) (435,190) (349,288) (26,524) (158,177) (536,575) (1,181,541) (1,047,456) (552,210) (858,594) (128,651) (61,880) (9,646) (688,258) (170,301) (200,667) (885,010) (1,526,675) (4,791,166) (5,269,238) (2,816,741) (1,721,541) (1,263,191) (93,764) (482,953) (305,072) (89,269) (401,063) (716,371) (3,607,425) (201,206) (1,181,836) (1,683,144) (3,006,837) (3,411,659) (5,931,862) (3,902,183) (1,541,238) (1,112,242) (727,247) (1,351,145) (1,046,425) (279,014) (456,400) $ (70,301,483)
$
Units
$
$
Net change (1,733,380) (2,992,233) (1,364,345) (1,578,230) (2,046,790) (630,425) (682,865) (16,278) (182,264) (77,321) (132,366) (175,994) (292,089) (18,217) (154,622) 7,459,773 1,096,110 1,649,362 705,206 1,014,909 505,644 563,896 185,523 (541,359) (149,375) (167,040) (798,188) (1,359,471) (3,684,593) (4,389,848) (2,418,468) (1,520,958) (1,092,166) (88,031) (397,962) (271,708) (83,522) (372,819) (661,488) (3,041,590) (190,616) (1,136,568) (681,914) (1,634,314) (310,663) (1,286,214) (662,256) (223,289) (258,775) (74,940) (1,200,554) (943,940) (256,012) (425,946) (29,221,583)
Purchases 11,607 18,213 24,632 16,070 43,682 23,709 13,720 439 2,132 12,265 765 22,676 3,357 794 300 436,496 215,055 259,956 115,164 176,266 59,058 58,967 18,862 11,703 1,744 2,693 1,550,325
Redemptions (124,030) (194,974) (104,060) (111,493) (165,658) (62,237) (55,889) (1,705) (13,846) (17,710) (11,185) (36,779) (19,456) (2,378) (13,238) (29,428) (106,163) (95,331) (47,791) (76,605) (11,637) (5,443) (889) (53,998) (13,371) (15,190) (1,390,484)
The accompanying notes are an integral part of these financial statements. -421-
Net change (112,423) (176,761) (79,428) (95,423) (121,976) (38,528) (42,169) (1,266) (11,714) (5,445) (10,420) (14,103) (16,099) (1,584) (12,938) 407,068 108,892 164,625 67,373 99,661 47,421 53,524 17,973 (42,295) (11,627) (12,497) 159,841
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO High Yield Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations:
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 14.6701 15.8488 15.4233 15.3278 15.2053 14.9782 14.6801 11.7393 14.3597 12.7850 11.4705 11.2096 15.8815 10.0315 11.2103 16.1436 10.1627 10.0000 10.3024 10.0988 10.0715 10.1545 10.0000 11.8767 11.2632 11.9314
Net Investment Income (Loss)(a) $ 0.5054 0.7028 0.8473 0.9946 1.1507 1.2846 1.4063 1.1821 1.6569 1.6230 0.2650 0.2124 0.8210 0.2912 0.5331 0.3849 0.3726 0.4667 0.6056 0.7015 0.8089 0.9309 1.0026 0.7080 0.7838 0.9276
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4708 1.4035 1.1955 1.0286 0.8319 0.6182 0.4516 0.0710 0.0710 (0.1056) 1.1163 0.4116 1.3178 0.9065 0.9649 1.8991 1.0398 0.8199 0.7865 0.6438 0.5135 0.3831 0.1901 0.8377 0.6944 0.3950
Total from Investment Activities $ 1.9762 2.1063 2.0428 2.0232 1.9826 1.9028 1.8579 1.2531 1.7279 1.5174 1.3813 0.6240 2.1388 1.1977 1.4980 2.2840 1.4124 1.2866 1.3921 1.3453 1.3224 1.3140 1.1927 1.5457 1.4782 1.3226
Ratios (to average unit value)
NAV per Unit, End of Period $ 18.4276 11.5751 11.2866 11.6945 11.4441 11.3939 11.4684 11.1927 -
Total Return 13.47 13.29 13.24 13.20 13.04 12.70 12.66 10.67 12.03 11.87 12.04 5.57 13.47 11.94 13.36 14.15 13.90 12.87 13.51 13.32 13.13 12.94 11.93 13.01 13.12 11.09
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.60)% (0.77)% (0.96)% (1.13)% (1.32)% (1.50)% (1.68)% (1.78)% (2.03)% (2.23)% (0.41)% (0.34)% (0.90)% (0.51)% (0.83)% (0.41)% (0.64)% (0.82)% (1.03)% (1.21)% (1.40)% (1.60)% (1.76)% (1.04)% (1.22)% (1.37)%
Net Investment Income (Loss) 3.23 % 4.16 % 5.15 % 6.09 % 7.10 % 8.06 % 9.01 % 9.56 % 10.88 % 11.98 % 2.18 % 1.84 % 4.84 % 2.74 % 4.46 % 2.23 % 3.43 % 4.39 % 5.51 % 6.51 % 7.54 % 8.61 % 9.46 % 5.60 % 6.53 % 7.37 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 20, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -422-
FMT/PIMCO Total Return Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$ 280,999,127 598,842 281,597,969
Liabilities 177,755
Fees payable
$ 281,420,214
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 5,730,281 1,044,176 3,316,713 1,909,889 1,899,105 1,014,398 472,118 376,612
$ $ $ $ $ $ $ $
NAV per Unit 16.5655 11.1048 11.0738 11.1407 11.1209 11.0682 10.9833 10.9606
$
$
The accompanying notes are an integral part of these financial statements. -423-
Net Assets 94,924,857 11,595,359 36,728,631 21,277,477 21,119,854 11,227,594 5,185,397 4,127,906 30,327,152 6,281,100 8,950,119 12,815,680 8,897,671 3,257,885 2,180,752 1,560,243 962,537 281,420,214
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$ 17,720,023
Expenses Agency fees Custody fees Audit fees
2,428,522 90,045 1,200 2,519,767
Net investment income
15,200,256
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
30,455,236 29,385,971
Net realized gain from investments sold
1,069,265
Change in net unrealized appreciation (depreciation) on investments
6,859,398
Net realized and unrealized gain on investments
7,928,663
Other operating credits (charges)
10,483
Net increase in net assets resulting from operations
$ 23,139,402
The accompanying notes are an integral part of these financial statements. -424-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$ 15,200,256
Net realized gain from investments sold
1,069,265
Change in net unrealized appreciation (depreciation) on investments
6,859,398 10,483
Other operating credits (charges)
23,139,402
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
339,095,257 321,462,346 17,632,911
Increase in net assets from participant transactions Total increase in net assets
40,772,313 240,647,901
Net assets at beginning of year
$ 281,420,214
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -425-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (99.9%) Pimco Total Return Institutional Fund (Cost $274,806,241)
Fair Value
24,999,922
$280,999,127
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Core Bond
Total
Level 1
$280,999,127
$280,999,127
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $63,350,099 and $30,455,236, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -426-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 2,049,850 2,130,481 4,270,475 4,613,372 3,350,271 4,028,756 2,356,594 113,962 1,390,104 227,319 353,587 16,969 482,243 4,535,854 227,711 180,472 95,411,301 16,700,348 37,619,973 23,074,538 22,432,173 13,615,067 5,680,831 4,348,979 756,437 1,059,839 224,438 358,545 614,097 2,994,190 2,860,687 1,351,377 662,553 593,475 23,309 332,702 145,709 42,640 266,365 231,539 2,148,193 24,711 265,464 30,679,896 4,339,385 9,025,560 12,614,180 9,135,128 3,715,672 2,423,312 1,750,456 579,190 417,234 92,127 155,617 339,095,257
Redemptions (13,592,673) (28,405,721) (37,524,895) (30,813,787) (22,294,024) (15,629,786) (10,387,377) (505,799) (3,778,284) (831,668) (920,583) (145,820) (6,238,984) (16,326,200) (9,103,194) (3,436,712) (5,481,548) (9,551,665) (4,389,134) (4,310,106) (4,149,677) (4,081,298) (1,298,495) (775,617) (3,949,178) (3,897,024) (962,568) (2,161,901) (3,633,704) (11,233,787) (12,692,557) (6,778,705) (4,064,984) (3,040,529) (219,371) (1,222,906) (753,823) (228,453) (1,092,579) (1,701,436) (8,942,876) (452,029) (2,783,535) (1,930,720) (1,792,356) (791,283) (2,717,352) (1,740,327) (946,256) (818,497) (353,159) (3,263,120) (2,521,324) (661,875) (141,085) $ (321,462,346)
$
Units
$
$
Net change (11,542,823) (26,275,240) (33,254,420) (26,200,415) (18,943,753) (11,601,030) (8,030,783) (391,837) (2,388,180) (604,349) (566,996) (128,851) (5,756,741) (11,790,346) (8,875,483) (3,256,240) 89,929,753 7,148,683 33,230,839 18,764,432 18,282,496 9,533,769 4,382,336 3,573,362 (3,192,741) (2,837,185) (738,130) (1,803,356) (3,019,607) (8,239,597) (9,831,870) (5,427,328) (3,402,431) (2,447,054) (196,062) (890,204) (608,114) (185,813) (826,214) (1,469,897) (6,794,683) (427,318) (2,518,071) 28,749,176 2,547,029 8,234,277 9,896,828 7,394,801 2,769,416 1,604,815 1,397,297 (2,683,930) (2,104,090) (569,748) 14,532 17,632,911
Purchases 121,140 128,595 258,147 285,490 211,015 256,731 157,856 10,023 95,016 16,060 25,689 1,370 35,830 346,616 19,215 15,443 5,828,119 1,612,951 3,565,232 2,166,758 2,109,507 1,289,056 536,681 416,239 65,773 91,982 19,693 19,686,227
Redemptions (830,452) (1,700,071) (2,233,417) (1,897,207) (1,380,182) (969,755) (683,397) (43,258) (248,724) (56,631) (63,863) (11,264) (456,179) (1,210,805) (784,792) (294,130) (340,038) (867,042) (409,282) (396,088) (383,378) (371,601) (120,951) (71,600) (332,817) (333,655) (81,892) (16,572,471)
The accompanying notes are an integral part of these financial statements. -427-
Net change (709,312) (1,571,476) (1,975,270) (1,611,717) (1,169,167) (713,024) (525,541) (33,235) (153,708) (40,571) (38,174) (9,894) (420,349) (864,189) (765,577) (278,687) 5,488,081 745,909 3,155,950 1,770,670 1,726,129 917,455 415,730 344,639 (267,044) (241,673) (62,199) 3,113,756
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/PIMCO Total Return Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 15.9185 16.0116 15.8608 15.4835 15.3084 15.2286 14.4278 10.9710 14.2208 13.6873 13.1921 11.8804 12.8126 12.6918 11.2760 11.1975 15.0725 10.1262 10.1150 10.1933 10.1925 10.1614 10.1004 10.0967 11.1694 11.0884 11.0652
Net Investment Income (Loss)(a) $ 0.5738 0.7396 0.9073 1.0538 1.2107 1.3538 1.4434 1.1632 1.7199 1.8019 0.3206 0.3237 0.5042 0.6854 0.3438 0.5651 0.3613 0.3877 0.5058 0.6283 0.7429 0.8542 0.9671 1.0774 0.6986 0.8014 0.8986
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.9931 0.8083 0.5845 0.3579 0.1438 (0.0013) (0.2036) (0.2727) (0.5182) (0.6689) 0.9262 0.7933 0.6751 0.4900 0.7108 0.5006 1.1317 0.5909 0.4530 0.3191 0.1855 0.0526 (0.0842) (0.2135) 0.3514 0.2016 0.0439
Total from Investment Activities $ 1.5669 1.5479 1.4918 1.4117 1.3545 1.3525 1.2398 0.8905 1.2017 1.1330 1.2468 1.1170 1.1793 1.1754 1.0546 1.0657 1.4930 0.9786 0.9588 0.9474 0.9284 0.9068 0.8829 0.8639 1.0500 1.0030 0.9425
Ratios (to average unit value)
NAV per Unit, End of Period $ 16.5655 11.1048 11.0738 11.1407 11.1209 11.0682 10.9833 10.9606 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
Total Return 9.84 9.67 9.41 9.12 8.85 8.88 8.59 8.12 8.45 8.28 9.45 9.40 9.20 9.26 9.35 9.52 9.91 9.66 9.48 9.29 9.11 8.92 8.74 8.56 9.40 9.05 8.52
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.73)% (0.91)% (1.08)% (1.25)% (1.41)% (1.59)% (1.69)% (1.92)% (2.09)% (0.38)% (0.43)% (0.62)% (0.86)% (0.48)% (0.80)% (0.38)% (0.61)% (0.79)% (0.98)% (1.15)% (1.33)% (1.52)% (1.70)% (0.99)% (1.15)% (1.29)%
The accompanying notes are an integral part of these financial statements. -428-
Net Investment Income (Loss) 3.44 % 4.41 % 5.46 % 6.51 % 7.57 % 8.51 % 9.59 % 10.19 % 11.60 % 12.64 % 2.32 % 2.60 % 3.76 % 5.16 % 2.91 % 4.82 % 2.28 % 3.65 % 4.77 % 5.89 % 6.97 % 8.05 % 9.17 % 10.23 % 5.97 % 6.91 % 7.79 %
FMT/Royce Micro Cap Investment Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
8,804,867
Liabilities 5,310
Fees payable $
Net assets
8,799,557
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 422,311 66,664 36,776 54,706 112,379 48,389 25,829 6,438
NAV per Unit $ 12.2625 $ 10.2766 $ 9.8056 $ 10.6019 $ 10.4666 $ 10.4491 $ 9.6771 $ 9.8629
$
$
The accompanying notes are an integral part of these financial statements. -429-
Net Assets 5,178,595 685,080 360,611 579,983 1,176,221 505,618 249,952 63,497 8,799,557
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
497,007
107,319 3,821 1,200 112,340
Net investment income
384,667
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,151,464 3,996,510
Net realized gain from investments sold
154,954
Change in net unrealized appreciation (depreciation) on investments
95,861
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
250,815 $
The accompanying notes are an integral part of these financial statements. -430-
635,482
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
384,667 154,954 95,861
Change in net unrealized appreciation (depreciation) on investments
635,482
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
13,226,844 15,905,718 (2,678,874)
Decrease in net assets from participant transactions Total decrease in net assets
(2,043,392)
Net assets at beginning of year
10,842,949 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -431-
8,799,557
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Royce Micro-Cap Investment Fund (Cost $8,707,237)
595,754
Fair Value $
8,804,867
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Small Cap Value
$
Level 1
8,804,867
$
8,804,867
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,852,828 and $4,151,464, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -432-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 110,699 44,237 82,474 197,666 135,791 25,836 85,524 65,215 6,878 106,203 157,630 74,158 4,784,844 763,822 1,759,368 790,799 1,279,248 2,294,048 240,152 104,820 3,403 101,341 12,688 13,226,844
Redemptions (846,203) (1,196,250) (1,115,532) (2,002,389) (2,273,002) (690,082) (1,005,382) (352,605) (12,392) (511,142) (321,594) (441,548) (210,168) (123,485) (1,396,326) (212,279) (103,233) (1,818,448) (383) (39,197) (315,269) (348,255) (570,554) $ (15,905,718)
$
Units
$
$
Net change (735,504) (1,152,013) (1,033,058) (1,804,723) (2,137,211) (664,246) (919,858) (287,390) (5,514) (404,939) (163,964) (367,390) 4,574,676 640,337 363,042 578,520 1,176,015 475,600 239,769 65,623 (311,866) (246,914) (557,866) (2,678,874)
Purchases 6,572 2,602 3,668 7,457 5,833 1,415 4,083 4,122 640 9,206 12,768 6,279 405,544 79,237 184,773 74,755 122,430 229,743 25,870 10,553 266 8,373 1,098 1,207,287
Redemptions (53,217) (70,877) (50,046) (76,244) (103,212) (39,026) (48,297) (22,724) (1,169) (46,308) (26,555) (39,655) (17,338) (12,573) (147,997) (21,024) (10,051) (181,354) (41) (4,115) (25,975) (28,639) (49,638) (1,076,075)
The accompanying notes are an integral part of these financial statements. -433-
Net change (46,645) (68,275) (46,378) (68,787) (97,379) (37,611) (44,214) (18,602) (529) (37,102) (13,787) (33,376) 388,206 66,664 36,776 53,731 112,379 48,389 25,829 6,438 (25,709) (20,266) (48,540) 131,212
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Royce Micro Cap Investment Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 (i) Class R6 (i) Class R7 (j) Class R8 (k) Class S (b) Class T (d) Class U (l)
NAV per Unit, Beginning of Period $ 15.7449 16.1459 21.0872 25.0532 21.6069 17.2238 20.0478 15.2188 10.4402 10.8465 11.1917 10.8389 11.3989 10.0000 10.0000 9.9104 10.0000 10.0000 10.0000 10.0000 11.7638 11.8279 10.6905
Net Investment Income (Loss)(a) $ 0.3249 0.4236 0.6885 0.9713 0.9925 0.8783 1.1359 1.0334 0.7698 0.2403 0.3427 0.1848 0.1530 0.1966 0.2294 0.3341 0.3851 0.4393 0.4417 0.3783 0.4258 0.4842 0.4839
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1739 0.0612 0.0780 (0.1206) (0.4013) (0.3378) (0.5549) (0.7506) (0.5931) (0.0788) 0.0064 (0.0085) 0.7106 0.0800 (0.4238) 0.3574 0.0815 0.0098 (0.7646) (0.5154) (0.1021) (0.0906) (0.2976)
Total from Investment Activities $ 0.4988 0.4848 0.7665 0.8507 0.5912 0.5405 0.5810 0.2828 0.1767 0.1615 0.3491 0.1763 0.8636 0.2766 (0.1944) 0.6915 0.4666 0.4491 (0.3229) (0.1371) 0.3237 0.3936 0.1863
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.2625 10.2766 9.8056 10.6019 10.4666 10.4491 9.6771 9.8629 -
Total Return 3.17 % 3.00 % 3.63 % 3.40 % 2.74 % 3.14 % 2.90 % 1.86 % 1.69 % 1.49 % 3.12 % 1.63 % 7.58 % 2.77 % (1.94)% 6.98 % 4.67 % 4.49 % (3.23)% (1.37)% 2.75 % 3.33 % 1.74 %
Net Expenses (0.59)% (0.75)% (0.94)% (1.11)% (1.32)% (1.47)% (1.63)% (1.96)% (2.14)% (0.64)% (0.88)% (0.49)% (0.38)% (0.57)% (0.68)% (0.95)% (1.10)% (1.25)% (1.31)% (1.11)% (1.04)% (1.18)% (1.31)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from April 19, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through November 7, 2012
The accompanying notes are an integral part of these financial statements. -434-
Net Investment Income (Loss) 2.03 % 2.58 % 3.21 % 3.81 % 4.53 % 5.02 % 5.59 % 6.73 % 7.31 % 2.20 % 3.01 % 1.69 % 1.29 % 1.94 % 2.32 % 3.26 % 3.76 % 4.30 % 4.49 % 3.81 % 3.57 % 4.03 % 4.49 %
FMT/Russell LifePoints Balanced Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 29,747,381
Liabilities 15,292
Fees payable
$ 29,732,089
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,943,658 316,114 145,474 115,820 75,284 47,459 1,344 29,707
NAV per Unit $ 11.1833 $ 10.9431 $ 10.4502 $ 11.2312 $ 11.2117 $ 11.0568 $ 10.3497 $ 11.1942
Net Assets $ 21,736,538 3,459,268 1,520,228 1,300,797 844,062 524,745 13,907 332,544 $ 29,732,089
The accompanying notes are an integral part of these financial statements. -435-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
847,950
269,427 11,847 1,200 282,474
Net investment income
565,476
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
13,471,373 13,163,909
Net realized gain from investments sold
307,464
Change in net unrealized appreciation (depreciation) on investments
2,879,742
Net realized and unrealized gain on investments
3,187,206
Other operating credits (charges)
57,105
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -436-
3,809,787
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
565,476 307,464
Change in net unrealized appreciation (depreciation) on investments
2,879,742 57,105
Other operating credits (charges)
3,809,787
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
35,462,617 44,620,149 (9,157,532)
Decrease in net assets from participant transactions Total decrease in net assets
(5,347,745)
Net assets at beginning of year
35,079,834 $ 29,732,089
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -437-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell LifePoints Balanced Strategy R1 Fund (Cost $28,435,224)
Fair Value
2,719,139
$ 29,747,381
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Moderate
Total
Level 1
$ 29,747,381
$ 29,747,381
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,925,354 and $13,471,373, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -438-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 959,862 377,452 213,290 160,882 718,576 658,378 260,681 28,119 55,341 8,130 37,522 22,543,047 4,082,617 1,509,397 1,589,064 970,026 615,480 48,319 340,307 183,660 84,606 17,861 35,462,617
Redemptions (9,747,787) (7,492,584) (3,885,416) (4,221,118) (6,918,001) (1,230,752) (1,604,604) (228,606) (212,559) (573,819) (631,088) (3,372,375) (950,550) (80,639) (973,539) (195,036) (114,572) (34,945) (52,078) (856,167) (1,065,478) (178,436) $ (44,620,149)
$
Units
$
$
Net change (8,787,925) (7,115,132) (3,672,126) (4,060,236) (6,199,425) (572,374) (1,343,923) (200,487) (157,218) (565,689) (593,566) 19,170,672 3,132,067 1,428,758 615,525 774,990 500,908 13,374 288,229 (672,507) (980,872) (160,575) (9,157,532)
Purchases 78,645 29,384 17,459 12,866 57,697 52,192 21,649 2,301 5,389 678 3,884 2,052,029 405,778 153,677 150,689 91,498 58,420 5,022 32,015 16,214 8,302 1,498 3,257,286
Redemptions (793,875) (567,634) (312,008) (328,931) (540,110) (93,556) (128,966) (18,074) (20,096) (47,577) (67,564) (321,243) (89,664) (8,203) (89,384) (17,810) (10,961) (3,678) (4,881) (73,441) (100,420) (14,591) (3,652,667)
The accompanying notes are an integral part of these financial statements. -439-
Net change (715,230) (538,250) (294,549) (316,065) (482,413) (41,364) (107,317) (15,773) (14,707) (46,899) (63,680) 1,730,786 316,114 145,474 61,305 73,688 47,459 1,344 27,134 (57,227) (92,118) (13,093) (395,381)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Balanced Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 11.4424 12.0690 11.5142 11.9561 11.8605 12.0262 11.4028 11.5694 9.7107 11.3561 9.0927 9.9479 10.0000 10.0000 10.0463 10.0458 10.0000 10.0000 10.0812 10.6576 9.6210 11.1630
Net Investment Income (Loss)(a) $ 0.1508 0.2076 0.2432 0.3016 0.3464 0.3977 0.4222 0.5156 0.4711 0.1652 0.1809 0.0872 0.0774 0.1271 0.2264 0.2679 0.2997 0.2197 0.3997 0.2470 0.2580 0.3339
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1154 1.1066 1.0254 0.9944 0.8828 0.8636 0.7532 0.6018 0.4499 0.9360 0.7995 1.1482 0.8657 0.3231 0.9585 0.8980 0.7571 0.1300 0.7133 0.8847 0.7777 0.6714
Total from Investment Activities $ 1.2662 1.3142 1.2686 1.2960 1.2292 1.2613 1.1754 1.1174 0.9210 1.1012 0.9804 1.2354 0.9431 0.4502 1.1849 1.1659 1.0568 0.3497 1.1130 1.1317 1.0357 1.0053
Ratios (to average net assets)
NAV per Unit, End of Period $ 11.1833 10.9431 10.4502 11.2312 11.2117 11.0568 10.3497 11.1942 -
Total Return 11.07 10.89 11.02 10.84 10.36 10.49 10.31 9.66 9.48 9.70 10.78 12.42 9.43 4.50 11.79 11.61 10.57 3.50 11.04 10.62 10.76 9.01
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.09)% (1.26)% (1.43)% (1.60)% (1.93)% (2.10)% (0.63)% (0.86)% (0.37)% (0.34)% (0.56)% (0.97)% (1.14)% (1.29)% (0.98)% (1.70)% (1.00)% (1.15)% (1.30)%
Net Investment Income (Loss) 1.25 % 1.63 % 2.00 % 2.39 % 2.78 % 3.14 % 3.52 % 4.25 % 4.63 % 1.39 % 1.89 % 0.83 % 0.74 % 1.24 % 2.13 % 2.52 % 2.85 % 2.16 % 3.76 % 2.20 % 2.54 % 2.86 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from April 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from May 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -440-
FMT/Russell LifePoints Conservative Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,956,526
Liabilities 4,747
Fees payable $
Net assets
7,951,779
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 373,079 17,098 87,372 110,403 54,486 25,494 7,028 2,681
NAV per Unit $ 12.5686 $ 10.5283 $ 10.7325 $ 10.7996 $ 10.6973 $ 10.5651 $ 10.3614 $ 10.3069
$
$
The accompanying notes are an integral part of these financial statements. -441-
Net Assets 4,689,093 180,013 937,728 1,192,302 582,848 269,344 72,819 27,632 7,951,779
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
278,832
74,797 2,693 1,200 78,690
Net investment income
200,142
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,457,596 3,407,391
Net realized gain from investments sold
50,205
Change in net unrealized appreciation (depreciation) on investments
325,602
Net realized and unrealized gain on investments
375,807
Other operating credits (charges)
12,615
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -442-
588,564
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
200,142 50,205
Change in net unrealized appreciation (depreciation) on investments
325,602 12,615
Other operating credits (charges)
588,564
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
10,317,955 10,172,580 145,375
Increase in net assets from participant transactions Total increase in net assets
733,939 7,217,840
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -443-
7,951,779
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell LifePoints Conservative Strategy R1 Fund (Cost $7,803,041)
726,623
Fair Value
$
7,956,526
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Conservative
$
Level 1
7,956,526
$
7,956,526
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,814,065 and $3,457,596, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -444-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 80,549 113,487 298,296 59,353 700,960 47,193 26,036 35,656 19,413 11,345 5,051,921 201,869 1,237,354 1,075,771 820,240 262,313 78,186 86,811 73,782 37,420 10,317,955
Redemptions (986,805) (925,718) (1,445,338) (774,991) (2,559,223) (887,257) (158,259) (256,968) (58,528) (271,034) (184,591) (434,446) (31,714) (342,359) (56,710) (268,067) (2,289) (8,397) (60,417) (335,109) (124,360) $ (10,172,580)
$
Units
$
$
Net change (906,256) (812,231) (1,147,042) (715,638) (1,858,263) (840,064) (132,223) (221,312) (39,115) (271,034) (173,246) 4,617,475 170,155 894,995 1,019,061 552,173 260,024 69,789 26,394 (261,327) (86,940) 145,375
Purchases 6,614 8,927 23,479 4,748 55,791 3,783 2,130 2,966 1,722 1,117 404,945 20,143 120,285 104,529 80,345 25,719 7,863 8,678 6,538 3,613 893,935
Redemptions (79,750) (70,097) (111,441) (61,870) (201,152) (69,159) (12,666) (21,043) (5,111) (22,383) (17,450) (35,218) (3,045) (32,913) (5,441) (25,859) (225) (835) (5,997) (28,826) (11,843) (822,324)
The accompanying notes are an integral part of these financial statements. -445-
Net change (73,136) (61,170) (87,962) (57,122) (145,361) (65,376) (10,536) (18,077) (3,389) (22,383) (16,333) 369,727 17,098 87,372 99,088 54,486 25,494 7,028 2,681 (22,288) (8,230) 71,611
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Conservative Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 (h) Class R6 (i) Class R7 (j) Class R8 (k) Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 11.5862 12.4432 12.1997 12.2151 12.2020 12.0524 11.8336 11.6724 10.8702 11.9520 9.8499 11.5900 10.0000 10.0000 10.0144 10.0000 10.0000 10.0000 10.0000 10.8232 10.0310
Net Investment Income (Loss)(a) $ 0.1850 0.2581 0.3115 0.3709 0.4281 0.4789 0.5279 0.6190 0.6353 0.2134 0.2366 0.1254 0.0934 0.2137 0.2738 0.3121 0.3451 0.3058 0.3354 0.3034 0.3231
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7404 0.7143 0.6212 0.5424 0.4511 0.3804 0.2958 0.1538 0.0655 0.6655 0.5132 0.8532 0.4349 0.5188 0.5114 0.3852 0.2200 0.0556 (0.0285) 0.5140 0.4195
Total from Investment Activities $ 0.9254 0.9724 0.9327 0.9133 0.8792 0.8593 0.8237 0.7728 0.7008 0.8789 0.7498 0.9786 0.5283 0.7325 0.7852 0.6973 0.5651 0.3614 0.3069 0.8174 0.7426
Ratios (to average net assets)
NAV per Unit, End of Period $ 12.5686 10.5283 10.7325 10.7996 10.6973 10.5651 10.3614 10.3069 -
Total Return 7.99 7.81 7.65 7.48 7.21 7.13 6.96 6.62 6.45 7.35 7.61 8.44 5.28 7.33 7.84 6.97 5.65 3.61 3.07 7.55 7.40
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.08)% (1.25)% (1.42)% (1.59)% (1.90)% (2.09)% (0.64)% (0.86)% (0.38)% (0.34)% (0.76)% (0.97)% (1.12)% (1.24)% (1.11)% (1.22)% (1.00)% (1.15)%
Net Investment Income (Loss) 1.54 % 2.00 % 2.46 % 2.93 % 3.39 % 3.84 % 4.31 % 5.13 % 5.66 % 1.72 % 2.31 % 1.04 % 0.91 % 2.06 % 2.63 % 3.02 % 3.36 % 3.00 % 3.30 % 2.70 % 3.11 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from April 4, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from April 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -446-
FMT/Russell LifePoints Equity Growth Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 15,956,632
Liabilities 6,527
Fees payable
$ 15,950,105
Net assets Components of net assets
Class R1 Class R2 Class R4 Class R5 Class R6 Class R7
Units of Participation 1,588,796 21,233 41,480 17,674 46,021 1
NAV per Unit $ 9.1621 $ 11.2826 $ 11.4787 $ 11.1360 $ 10.4478 $ 10.4007
Net Assets $ 14,556,748 239,569 476,142 196,814 480,824 8 $ 15,950,105
The accompanying notes are an integral part of these financial statements. -447-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
253,360
110,815 6,334 1,200 118,349
Net investment income
135,011
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
8,284,488 7,982,704
Net realized gain from investments sold
301,784
Change in net unrealized appreciation (depreciation) on investments
2,142,498
Net realized and unrealized gain on investments
2,444,282
Other operating credits (charges)
30,724
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -448-
2,610,017
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
135,011 301,784
Change in net unrealized appreciation (depreciation) on investments
2,142,498 30,724
Other operating credits (charges)
2,610,017
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
15,747,362 22,766,747 (7,019,385)
Decrease in net assets from participant transactions Total decrease in net assets
(4,409,368)
Net assets at beginning of year
20,359,473 $ 15,950,105
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -449-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.0%) Russell LifePoints Equity Growth Strategy R1 Fund (Cost $14,758,769)
Shares
Fair Value
1,633,227
$ 15,956,632
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Aggressive
Total
Level 1
$ 15,956,632
$ 15,956,632
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,424,974 and $8,284,488, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -450-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R4 Class R5 Class R6 Class R7 Class S Class T Class U
$
$
Purchases 734,181 83,141 64,840 29,284 231,523 3,532 16,684 21,859 6,587 9,430 15,174 12,770,003 220,742 470,286 580,788 462,662 2,681 12,603 8,226 3,136 15,747,362
Redemptions (11,619,709) (1,267,759) (885,529) (1,381,216) (3,149,222) (69,243) (76,723) (132,359) (26,425) (492,139) (130,557) (1,823,864) (7,662) (1,147,525) (393,379) (2,920) (2,544) (92,799) (44,339) (20,834) $ (22,766,747)
$
Units
$
$
Net change (10,885,528) (1,184,618) (820,689) (1,351,932) (2,917,699) (65,711) (60,039) (110,500) (19,838) (482,709) (115,383) 10,946,139 213,080 (677,239) 187,409 459,742 137 (80,196) (36,113) (17,698) (7,019,385)
Purchases 69,664 8,145 6,033 2,669 22,778 302 1,538 1,982 765 885 1,646 1,422,975 21,957 45,234 55,114 46,331 272 1,128 835 329 1,710,582
Redemptions (1,059,536) (120,842) (81,575) (123,769) (299,716) (5,687) (6,827) (11,648) (2,981) (46,796) (13,254) (213,063) (724) (103,708) (37,440) (310) (271) (8,187) (4,508) (2,126) (2,142,968)
The accompanying notes are an integral part of these financial statements. -451-
Net change (989,872) (112,697) (75,542) (121,100) (276,938) (5,385) (5,289) (9,666) (2,216) (45,911) (11,608) 1,209,912 21,233 (58,474) 17,674 46,021 1 (7,059) (3,673) (1,797) (432,386)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Equity Growth Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R4 Class R5 (h) Class R6 (i) Class R7 (j) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 9.8014 9.4847 9.9345 10.3876 9.5421 10.8310 10.1022 10.3185 8.0374 10.0722 8.7623 7.9667 10.0000 10.0368 10.0000 10.0000 10.0000 10.3008 9.1427 8.8967
Net Investment Income (Loss)(a) $ 0.0850 0.1073 0.1381 0.1727 0.1834 0.2340 0.2448 0.3015 0.2547 0.0964 0.1143 0.0457 0.0512 0.1494 0.1666 0.1302 0.1682 0.1568 0.1617 0.1754
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1676 1.0878 1.1543 1.1717 1.0009 1.1164 1.0079 0.8697 0.6434 0.9977 0.0105 1.1497 1.2314 1.2925 0.9694 0.3176 0.2325 1.1128 1.0140 0.7288
Total from Investment Activities $ 1.2526 1.1951 1.2924 1.3444 1.1843 1.3504 1.2527 1.1712 0.8981 1.0941 1.1248 1.1954 1.2826 1.4419 1.1360 0.4478 0.4007 1.2696 1.1757 0.9042
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.1621 11.2826 11.4787 11.1360 10.4478 10.4007 -
Total Return 12.78 12.60 13.01 12.94 12.41 12.47 12.40 11.35 11.17 10.86 12.84 15.00 12.83 14.37 11.36 4.48 4.01 12.33 12.86 10.16
% % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.76)% (0.93)% (1.12)% (1.29)% (1.45)% (1.63)% (1.97)% (2.14)% (0.65)% (0.88)% (0.38)% (0.34)% (0.99)% (1.13)% (0.91)% (1.18)% (1.02)% (1.19)% (1.34)%
Net Investment Income (Loss) 0.82 % 1.06 % 1.30 % 1.56 % 1.81 % 2.03 % 2.28 % 2.77 % 3.00 % 0.91 % 1.23 % 0.53 % 0.48 % 1.39 % 1.58 % 1.27 % 1.65 % 1.43 % 1.66 % 1.88 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from April 19, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 27, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -452-
FMT/Russell LifePoints Growth Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 22,407,553
Liabilities 10,998
Fees payable
$ 22,396,555
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,776,299 158,376 63,442 42,494 7,922 85,650 15,962 28,116
NAV per Unit $ 10.1230 $ 11.1139 $ 11.0747 $ 11.6333 $ 11.3310 $ 10.4281 $ 11.3707 $ 10.4396
Net Assets $ 17,981,479 1,760,175 702,601 494,344 89,761 893,174 181,497 293,524 $ 22,396,555
The accompanying notes are an integral part of these financial statements. -453-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
506,986
210,737 9,926 1,200 221,863
Net investment income
285,123
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
15,390,160 15,123,767
Net realized gain from investments sold
266,393
Change in net unrealized appreciation (depreciation) on investments
2,828,718
Net realized and unrealized gain on investments
3,095,111
Other operating credits (charges)
48,847
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -454-
3,429,081
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
285,123
Net realized gain from investments sold
266,393
Change in net unrealized appreciation (depreciation) on investments
2,828,718 48,847
Other operating credits (charges)
3,429,081
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
25,529,613 38,287,106
Decrease in net assets from participant transactions
(12,757,493)
Total decrease in net assets
(9,328,412)
Net assets at beginning of year
31,724,967 $ 22,396,555
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -455-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.0%) Russell LifePoints Growth Strategy R1 Fund (Cost $21,207,714)
Shares
Fair Value
2,160,806
$ 22,407,553
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Moderately Aggressive
Total
Level 1
$ 22,407,553
$ 22,407,553
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,954,566 and $15,390,160, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -456-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 884,815 312,811 241,604 111,603 658,816 31,486 60,179 76,410 40,425 25,674 38,538 18,062,917 1,623,323 636,215 622,951 609,273 908,655 161,882 296,982 112,908 2,573 9,573 25,529,613
Redemptions (8,124,407) (5,870,039) (2,947,586) (2,798,378) (7,714,826) (375,759) (498,969) (500,032) (144,043) (1,270,649) (814,215) (4,299,826) (34,773) (2,295) (1,647,477) (539,079) (53,048) (1,343) (24,080) (550,653) (14,609) (61,020) $ (38,287,106)
$
Units
$
$
Net change (7,239,592) (5,557,228) (2,705,982) (2,686,775) (7,056,010) (344,273) (438,790) (423,622) (103,618) (1,244,975) (775,677) 13,763,091 1,588,550 633,920 (1,024,526) 70,194 855,607 160,539 272,902 (437,745) (12,036) (51,447) (12,757,493)
Purchases 76,771 25,706 21,186 9,306 54,934 2,585 5,289 6,589 4,294 2,232 4,023 1,825,358 161,677 63,661 58,610 56,575 91,012 16,087 30,470 9,899 232 987 2,527,483
Redemptions (698,626) (474,015) (253,346) (228,546) (624,917) (31,086) (42,924) (42,131) (14,891) (112,696) (84,593) (457,654) (3,301) (219) (148,042) (49,385) (5,362) (125) (2,354) (48,965) (1,333) (6,135) (3,330,646)
The accompanying notes are an integral part of these financial statements. -457-
Net change (621,855) (448,309) (232,160) (219,240) (569,983) (28,501) (37,635) (35,542) (10,597) (110,464) (80,570) 1,367,704 158,376 63,442 (89,432) 7,190 85,650 15,962 28,116 (39,066) (1,101) (5,148) (803,163)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Growth Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 (k) Class S (b) Class T (l) Class U (f)
NAV per Unit, Beginning of Period $ 10.6160 11.3126 10.7167 11.3432 11.3637 11.3974 10.7128 10.9511 8.8528 10.7203 9.0397 8.9155 10.0000 10.0000 10.3028 10.0522 10.0000 10.0000 10.0000 10.4627 10.3234 9.0838
Net Investment Income (Loss)(a) $ 0.0967 0.1343 0.1561 0.1975 0.2289 0.2593 0.2734 0.3366 0.2960 0.1079 0.1242 0.0537 0.0538 0.1208 0.1595 0.1842 0.1386 0.1412 0.2217 0.1676 0.0710 0.1885
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1617 1.1865 1.1111 1.1356 1.0496 1.0276 0.9282 0.8063 0.6124 0.9834 0.9310 1.1538 1.0601 0.9539 1.1710 1.0946 0.2895 1.2295 0.2179 1.0254 0.5442 0.6731
Total from Investment Activities $ 1.2584 1.3208 1.2672 1.3331 1.2785 1.2869 1.2016 1.1429 0.9084 1.0913 1.0552 1.2075 1.1139 1.0747 1.3305 1.2788 0.4281 1.3707 0.4396 1.1930 0.6152 0.8616
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1230 11.1139 11.0747 11.6333 11.3310 10.4281 11.3707 10.4396 -
Total Return 11.85 11.68 11.82 11.75 11.25 11.29 11.22 10.44 10.26 10.18 11.67 13.54 11.14 10.75 12.91 12.72 4.28 13.71 4.40 11.40 5.96 9.49
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.91)% (1.09)% (1.27)% (1.43)% (1.61)% (1.94)% (2.11)% (0.64)% (0.86)% (0.38)% (0.34)% (0.76)% (0.97)% (1.14)% (0.90)% (0.88)% (1.44)% (1.01)% (0.44)% (1.32)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period January 1, 2012 through December 10, 2012
(c)
For the period January 1, 2012 through December 11, 2012
(d)
For the period January 1, 2012 through December 12, 2012
(e)
For the period January 1, 2012 through December 13, 2012
(f)
For the period January 1, 2012 through November 27, 2012
(g)
For the period June 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period April 19, 2012 (commencement of this class) through December 31, 2012
(j)
For the period June 5, 2012 (commencement of this class) through December 31, 2012
(k)
For the period February 15, 2012 (commencement of this class) through December 31, 2012
(l)
For the period January 1, 2012 through May 8, 2012
The accompanying notes are an integral part of these financial statements. -458-
Net Investment Income (Loss) 0.86 % 1.12 % 1.38 % 1.64 % 1.91 % 2.15 % 2.42 % 2.92 % 3.18 % 0.96 % 1.30 % 0.56 % 0.51 % 1.15 % 1.45 % 1.72 % 1.36 % 1.32 % 2.17 % 1.52 % 0.67 % 1.98 %
FMT/Russell LifePoints In Retirement Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,349,714
Liabilities 1,922
Fees payable $
Net assets
3,347,792
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 143,874 22,479 127,690 8,045 13,829 1,728 380 1,151
NAV per Unit $ 10.0467 $ 10.7588 $ 10.9107 $ 10.9133 $ 10.4677 $ 10.4703 $ 10.7640 $ 10.9059
$
$
The accompanying notes are an integral part of these financial statements. -459-
Net Assets 1,445,460 241,844 1,393,194 87,801 144,754 18,097 4,087 12,555 3,347,792
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
122,486
24,193 1,200 987 26,380
Net investment income
96,106
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
676,042 667,096
Net realized gain from investments sold
8,946
Change in net unrealized appreciation (depreciation) on investments
149,748
Net realized and unrealized gain on investments
158,694
Other operating credits (charges)
4,566
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -460-
259,366
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
96,106 8,946
Change in net unrealized appreciation (depreciation) on investments
149,748 4,566
Other operating credits (charges)
259,366
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
4,243,430 3,667,129 576,301
Increase in net assets from participant transactions Total increase in net assets
835,667 2,512,125
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -461-
3,347,792
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell In Retirement R1 Fund (Cost $3,270,224)
319,324
Fair Value $
3,349,714
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Retirement Income
$
Level 1
3,349,714
$
3,349,714
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,353,199 and $676,042, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -462-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 114,428 57,387 14,037 129,635 98,046 24,525 1,293 7,845 148 12,678 1,441,454 280,159 1,743,678 29,100 169,226 17,284 61,744 3,864 30,661 6,238 4,243,430
Redemptions (831,309) (1,196,602) (43,427) (153,946) (258,078) (199,633) (21,817) (10,454) (153) (95,273) (2,268) (54,609) (431,604) (1,228) (31,653) (59,265) (38) (98,936) (176,836) $ (3,667,129)
$
Units
$
$
Net change (716,881) (1,139,215) (29,390) (24,311) (160,032) (175,108) (20,524) (2,609) (5) (82,595) 1,439,186 225,550 1,312,074 27,872 137,573 17,284 2,479 3,826 (68,275) (170,598) 576,301
Purchases 9,335 4,687 1,076 10,853 8,534 2,072 104 676 14 1,220 144,101 27,717 169,253 2,779 16,869 1,728 6,050 366 2,684 532 410,650
Redemptions (65,187) (97,168) (3,332) (12,619) (21,606) (16,724) (1,724) (889) (14) (8,866) (227) (5,238) (41,563) (113) (3,040) (5,670) (3) (8,378) (14,574) (306,935)
The accompanying notes are an integral part of these financial statements. -463-
Net change (55,852) (92,481) (2,256) (1,766) (13,072) (14,652) (1,620) (213) (7,646) 143,874 22,479 127,690 2,666 13,829 1,728 380 363 (5,694) (14,042) 103,715
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints In Retirement Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (f) Class O (e) Class R1 (g) Class R1 (h) Class R2 (i) Class R3 (j) Class R4 Class R5 (k) Class R6 (l) Class R7 (m) Class R8 Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 11.9384 12.0016 12.2509 11.2527 11.0490 11.2826 11.8205 10.9567 10.0000 9.8906 10.0000 10.0000 10.0000 10.0000 9.9900 10.0000 10.0000 10.0000 10.0510 10.9800 11.1702
Net Investment Income (Loss)(a) $ 0.2807 0.3689 0.4628 0.5165 0.5737 0.6633 0.7766 0.8779 0.7784 0.3501 0.0486 0.0086 0.2331 0.3203 0.3987 0.3915 0.4607 0.5871 0.6992 0.4523 0.5323
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8077 0.7046 0.6243 0.4621 0.3566 0.2788 0.1896 (0.0304) (0.1873) 0.5234 (0.0462) 0.0381 0.5257 0.5904 0.5246 0.0762 0.0096 0.1769 0.1557 0.5004 0.4310
Total from Investment Activities $ 1.0884 1.0735 1.0871 0.9786 0.9303 0.9421 0.9662 0.8475 0.5911 0.8735 0.0024 0.0467 0.7588 0.9107 0.9233 0.4677 0.4703 0.7640 0.8549 0.9527 0.9633
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0467 10.7588 10.9107 10.9133 10.4677 10.4703 10.7640 10.9059 -
Total Return 9.12 8.94 8.87 8.70 8.42 8.35 8.17 7.73 5.91 8.83 0.02 0.47 7.59 9.11 9.24 4.68 4.70 7.64 8.51 8.68 8.62
% % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 24, 2012 (commencement of this class) through December 10, 2012
(g)
For the period from March 26, 2012 (commencement of this class) through July 23, 2012
(h)
For the period from December 11, 2012 (recommencement of this class) through December 31, 2012
(i)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 23, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 17, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
Net Expenses (0.59)% (0.77)% (0.95)% (1.15)% (1.31)% (1.48)% (1.65)% (2.02)% (1.98)% (0.89)% (0.13)% (0.02)% (0.59)% (0.80)% (1.00)% (1.00)% (1.18)% (1.48)% (1.75)% (1.03)% (1.20)%
The accompanying notes are an integral part of these financial statements. -464-
Net Investment Income (Loss) 2.25 % 2.94 % 3.62 % 4.40 % 4.98 % 5.64 % 6.31 % 7.71 % 7.56 % 3.39 % 0.49 % 0.09 % 2.25 % 3.06 % 3.82 % 3.83 % 4.50 % 5.66 % 6.67 % 3.95 % 4.57 %
FMT/Russell LifePoints Moderate Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 10,659,936
Liabilities 6,242
Fees payable
$ 10,653,694
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 573,328 55,551 29,634 49,211 65,174 82,391 71,703 3,510
NAV per Unit $ 11.9118 $ 10.7257 $ 10.8846 $ 11.1726 $ 11.0258 $ 10.4337 $ 10.3378 $ 10.4407
Net Assets $ 6,829,354 595,828 322,549 549,817 718,597 859,643 741,254 36,652 $ 10,653,694
The accompanying notes are an integral part of these financial statements. -465-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
335,551
100,110 3,768 1,200 105,078
Net investment income
230,473
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,831,910 4,734,270
Net realized gain from investments sold
97,640
Change in net unrealized appreciation (depreciation) on investments
695,251
Net realized and unrealized gain on investments
792,891
Other operating credits (charges)
17,968
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -466-
1,041,332
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
230,473 97,640
Change in net unrealized appreciation (depreciation) on investments
695,251 17,968
Other operating credits (charges)
1,041,332
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,229,543 13,509,024 (1,279,481)
Decrease in net assets from participant transactions Total decrease in net assets
(238,149) 10,891,843
Net assets at beginning of year
$ 10,653,694
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -467-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Russell LifePoints Moderate Strategy R1 Fund (Cost $10,373,325)
Shares
Fair Value
962,957
$ 10,659,936
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Moderately Conservative
Total
Level 1
$ 10,659,936
$ 10,659,936
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,798,184 and $4,831,910, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -468-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 158,954 128,863 228,901 27,089 749,628 76,714 25,724 30,748 31,717 568 11,795 6,570,525 579,070 319,624 524,711 1,132,989 850,231 705,162 35,339 14,596 24,241 2,354 12,229,543
Redemptions (2,371,152) (1,705,784) (827,131) (495,012) (4,049,534) (854,809) (298,542) (244,664) (204,384) (53,317) (199,321) (595,100) (3,764) (21,567) (651,989) (622,144) (23,944) (14,280) (438) (169,031) (86,320) (16,797) $ (13,509,024)
$
Units
$
$
Net change (2,212,198) (1,576,921) (598,230) (467,923) (3,299,906) (778,095) (272,818) (213,916) (172,667) (52,749) (187,526) 5,975,425 575,306 298,057 (127,278) 510,845 826,287 690,882 34,901 (154,435) (62,079) (14,443) (1,279,481)
Purchases 12,638 10,185 18,658 2,149 59,525 6,236 2,104 2,533 2,936 48 1,172 560,090 55,917 31,723 48,756 107,176 84,805 73,122 3,552 1,285 2,347 226 1,087,183
Redemptions (185,256) (134,349) (63,995) (39,602) (313,516) (70,407) (23,784) (19,668) (18,383) (4,411) (19,259) (52,253) (366) (2,089) (60,631) (57,984) (2,414) (1,419) (42) (14,805) (8,304) (1,603) (1,094,540)
The accompanying notes are an integral part of these financial statements. -469-
Net change (172,618) (124,164) (45,337) (37,453) (253,991) (64,171) (21,680) (17,135) (15,447) (4,363) (18,087) 507,837 55,551 29,634 (11,875) 49,192 82,391 71,703 3,510 (13,520) (5,957) (1,377) (7,357)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints Moderate Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 (k) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 11.8942 11.8805 11.8628 12.1143 12.1081 11.7612 11.6521 11.6393 10.3108 11.7469 9.6021 10.7781 10.0000 10.0000 10.1660 10.0493 10.0000 10.0000 10.0000 10.7952 9.8855 9.7113
Net Investment Income (Loss)(a) $ 0.1662 0.2176 0.2669 0.3273 0.3762 0.4115 0.4584 0.5466 0.5321 0.1826 0.2025 0.1009 0.0827 0.1876 0.2444 0.2852 0.2736 0.2351 0.3519 0.2663 0.2808 0.3108
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.9798 0.9062 0.8579 0.8003 0.7057 0.6422 0.5649 0.4131 0.3002 0.8281 0.6952 1.0328 0.6430 0.6970 0.7622 0.6913 0.1601 0.1027 0.0888 0.7261 0.6314 0.4583
Total from Investment Activities $ 1.1460 1.1238 1.1248 1.1276 1.0819 1.0537 1.0233 0.9597 0.8323 1.0107 0.8977 1.1337 0.7257 0.8846 1.0066 0.9765 0.4337 0.3378 0.4407 0.9924 0.9122 0.7691
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.9118 10.7257 10.8846 11.1726 11.0258 10.4337 10.3378 10.4407 -
Total Return 9.63 9.46 9.48 9.31 8.94 8.96 8.78 8.25 8.07 8.60 9.35 10.52 7.26 8.85 9.90 9.72 4.34 3.38 4.41 9.19 9.23 7.92
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.74)% (0.91)% (1.09)% (1.26)% (1.42)% (1.59)% (1.91)% (2.10)% (0.63)% (0.85)% (0.38)% (0.34)% (0.76)% (0.97)% (1.14)% (1.13)% (0.98)% (1.46)% (1.00)% (1.15)% (1.30)%
Net Investment Income (Loss) 1.33 % 1.75 % 2.15 % 2.58 % 2.97 % 3.35 % 3.77 % 4.51 % 4.96 % 1.49 % 2.01 % 0.89 % 0.80 % 1.80 % 2.29 % 2.71 % 2.68 % 2.31 % 3.44 % 2.36 % 2.71 % 3.08 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 17, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from May 3, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -470-
FMT/Russell LifePoints 2020 Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 10,845,760
Liabilities 6,072
Fees payable
$ 10,839,688
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 481,062 209,917 165,414 86,977 20,765 12,256 7,510 1,208
NAV per Unit $ 11.0898 $ 10.8391 $ 11.0470 $ 11.0401 $ 10.4795 $ 10.5354 $ 10.8916 $ 11.0910
Net Assets $ 5,334,885 2,275,312 1,827,336 960,238 217,606 129,117 81,793 13,401 $ 10,839,688
The accompanying notes are an integral part of these financial statements. -471-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
338,857
93,750 3,732 1,200 98,682
Net investment income
240,175
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,456,497 4,362,868
Net realized gain from investments sold
93,629
Change in net unrealized appreciation (depreciation) on investments
721,916
Net realized and unrealized gain on investments
815,545
Other operating credits (charges)
17,735
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -472-
1,073,455
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
240,175 93,629
Change in net unrealized appreciation (depreciation) on investments
721,916 17,735
Other operating credits (charges)
1,073,455
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
15,435,854 15,869,991 (434,137)
Decrease in net assets from participant transactions Total increase in net assets
639,318 10,200,370
Net assets at beginning of year
$ 10,839,688
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -473-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Russell LifePoints 2020 Strategy R1 Fund (Cost $10,461,108)
Shares
Fair Value
970,104
$ 10,845,760
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Target date 2020
Total
Level 1
$ 10,845,760
$ 10,845,760
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,278,177 and $4,456,497, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -474-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 294,838 24,310 1,366,830 1,163,642 88,874 81,830 55,523 16,893 2,664 23,011 5,525,971 2,170,830 2,082,870 1,897,174 232,255 121,488 216,266 12,722 24,103 33,610 150 15,435,854
Redemptions (2,596,377) (1,472,925) (2,412,061) (5,495,127) (274,004) (501,862) (174,562) (95,419) (5,678) (356,768) (234,080) (62,640) (381,182) (1,010,778) (24,174) (143,048) (14) (240,291) (362,932) (26,069) $ (15,869,991)
$
Units
$
$
Net change (2,301,539) (1,448,615) (1,045,231) (4,331,485) (185,130) (420,032) (119,039) (78,526) (3,014) (333,757) 5,291,891 2,108,190 1,701,688 886,396 208,081 121,488 73,218 12,708 (216,188) (329,322) (25,919) (434,137)
Purchases 24,338 2,030 109,769 95,681 8,291 6,909 4,653 1,632 242 2,232 503,033 215,975 201,331 183,832 23,127 12,256 20,822 1,183 2,379 2,842 14 1,422,571
Redemptions (218,293) (124,204) (193,209) (444,977) (25,429) (42,131) (14,075) (8,980) (507) (33,812) (21,971) (6,058) (35,917) (98,585) (2,362) (13,312) (1) (23,749) (30,445) (2,360) (1,340,377)
The accompanying notes are an integral part of these financial statements. -475-
Net change (193,955) (122,174) (83,440) (349,296) (17,138) (35,222) (9,422) (7,348) (265) (31,580) 481,062 209,917 165,414 85,247 20,765 12,256 7,510 1,182 (21,370) (27,603) (2,346) 82,194
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2020 Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class O (e) Class R1 (f) Class R2 (g) Class R3 (h) Class R4 Class R5 (i) Class R6 (j) Class R7 (k) Class R8 Class S (b) Class T (d) Class U (l)
NAV per Unit, Beginning of Period $ 11.3768 11.5415 11.4458 11.4788 10.1293 11.1718 11.3341 9.8101 10.4897 9.7202 10.0000 10.0000 10.0000 9.9537 10.0000 10.0000 10.0000 10.0686 9.6638 11.4108 10.4440
Net Investment Income (Loss)(a) $ 0.1776 0.2364 0.2901 0.3414 0.3494 0.4386 0.4968 0.5144 0.6025 0.2294 0.1061 0.1546 0.2126 0.2658 0.2558 0.3165 0.3965 0.4765 0.2631 0.3599 0.0960
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0137 0.9518 0.8902 0.8224 0.6406 0.6545 0.5924 0.3754 0.3301 0.7610 0.9837 0.6845 0.8344 0.8206 0.2237 0.2189 0.4951 0.5459 0.7090 0.7885 0.6420
Total from Investment Activities $ 1.1913 1.1882 1.1803 1.1638 0.9900 1.0931 1.0892 0.8898 0.9326 0.9904 1.0898 0.8391 1.0470 1.0864 0.4795 0.5354 0.8916 1.0224 0.9721 1.1484 0.7380
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.0898 10.8391 11.0470 11.0401 10.4795 10.5354 10.8916 11.0910 -
Total Return 10.47 10.30 10.31 10.14 9.77 9.78 9.61 9.07 8.89 10.19 10.90 8.39 10.47 10.91 4.80 5.35 8.92 10.15 10.06 10.06 7.07
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.92)% (1.08)% (1.26)% (1.43)% (1.60)% (1.92)% (2.10)% (0.86)% (0.38)% (0.57)% (0.77)% (0.97)% (0.96)% (1.18)% (1.45)% (1.72)% (0.99)% (1.15)% (0.34)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 23, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 7, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through March 26, 2012
The accompanying notes are an integral part of these financial statements. -476-
Net Investment Income (Loss) 1.48 % 1.95 % 2.41 % 2.83 % 3.29 % 3.74 % 4.18 % 5.02 % 5.50 % 2.25 % 1.01 % 1.48 % 2.02 % 2.53 % 2.50 % 3.08 % 3.80 % 4.50 % 2.59 % 3.00 % 0.89 %
FMT/Russell LifePoints 2030 Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,288,105
Liabilities 4,319
Fees payable $
Net assets
7,283,786
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 364,436 88,027 62,495 100,092 13,133 9,244 10,063 3,702
NAV per Unit $ 11.2695 $ 10.8864 $ 11.2144 $ 11.1502 $ 11.5953 $ 10.4371 $ 11.0163 $ 11.3310
$
$
The accompanying notes are an integral part of these financial statements. -477-
Net Assets 4,107,028 958,300 700,848 1,116,042 152,281 96,482 110,855 41,950 7,283,786
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
165,850
67,910 2,374 1,200 71,484
Net investment income
94,366
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,062,158 1,037,356
Net realized gain from investments sold
24,802
Change in net unrealized appreciation (depreciation) on investments
685,470
Net realized and unrealized gain on investments
710,272
Other operating credits (charges)
11,141
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -478-
815,779
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
94,366 24,802
Change in net unrealized appreciation (depreciation) on investments
685,470 11,141
Other operating credits (charges)
815,779
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
8,657,954 7,978,086 679,868
Increase in net assets from participant transactions Total increase in net assets
1,495,647
Net assets at beginning of year
5,788,139 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -479-
7,283,786
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell LifePoints 2030 Strategy R1 Fund (Cost $6,879,213)
685,617
Fair Value $
7,288,105
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Target date 2030
$
Level 1
7,288,105
$
7,288,105
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,846,798 and $1,062,158, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -480-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 134,822 14,111 280,306 104,976 55,692 48,481 388,188 45,339 11,550 15,953 4,477,914 907,064 788,865 939,032 82,370 92,348 181,283 18,911 64,121 6,563 65 8,657,954
Redemptions (1,153,396) (783,050) (1,307,640) (1,089,496) (492,225) (412,429) (1,084,720) (203,236) (27,435) (166,731) (452,330) (36,305) (142,766) (4,129) (177) (85,590) (149) (374,527) (158,755) (3,000) $ (7,978,086)
$
Units
$
$
Net change (1,018,574) (768,939) (1,027,334) (984,520) (436,533) (363,948) (696,532) (157,897) (15,885) (150,778) 4,025,584 870,759 646,099 934,903 82,193 92,348 95,693 18,762 (310,406) (152,192) (2,935) 679,868
Purchases 12,563 1,454 25,821 9,851 5,285 4,603 35,925 5,290 1,195 1,573 408,751 91,547 75,608 92,604 7,426 9,244 17,928 1,731 5,357 546 6 814,308
Redemptions (107,191) (79,851) (118,007) (104,588) (44,624) (37,759) (97,159) (22,862) (2,752) (15,865) (44,315) (3,520) (13,113) (388) (16) (7,865) (14) (31,227) (12,723) (269) (744,108)
The accompanying notes are an integral part of these financial statements. -481-
Net change (94,628) (78,397) (92,186) (94,737) (39,339) (33,156) (61,234) (17,572) (1,557) (14,292) 364,436 88,027 62,495 92,216 7,410 9,244 10,063 1,717 (25,870) (12,177) (263) 70,200
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2030 Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class O (e) Class R1 (f) Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 Class S (b) Class T (d) Class U (k)
NAV per Unit, Beginning of Period $ 10.2146 9.2954 10.1737 9.9134 10.0140 9.9256 10.1058 8.0385 9.0663 9.4012 10.0000 10.0000 10.0000 9.8573 10.2681 10.0000 10.0000 10.0850 11.1405 11.2452 10.0952
Net Investment Income (Loss)(a) $ 0.0913 0.1088 0.1459 0.1687 0.1985 0.2214 0.2532 0.2428 0.2977 0.1263 0.0589 0.0868 0.1211 0.1507 0.1853 0.1691 0.2247 0.2678 0.1745 0.2033 0.0535
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1509 1.0049 1.0977 1.0255 0.9591 0.9387 0.9099 0.6204 0.6600 1.0001 1.2106 0.7996 1.0933 1.1422 1.1419 0.2680 0.7916 0.9782 1.1299 1.1431 1.0046
Total from Investment Activities $ 1.2422 1.1137 1.2436 1.1942 1.1576 1.1601 1.1631 0.8632 0.9577 1.1264 1.2695 0.8864 1.2144 1.2929 1.3272 0.4371 1.0163 1.2460 1.3044 1.3464 1.0581
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2695 10.8864 11.2144 11.1502 11.5953 10.4371 11.0163 11.3310 -
Total Return 12.16 11.98 12.22 12.05 11.56 11.69 11.51 10.74 10.56 11.98 12.70 8.86 12.14 13.12 12.93 4.37 10.16 12.35 11.71 11.97 10.48
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.92)% (1.09)% (1.27)% (1.43)% (1.60)% (1.94)% (2.11)% (0.86)% (0.38)% (0.56)% (0.77)% (0.97)% (1.15)% (1.12)% (1.45)% (1.69)% (1.00)% (1.16)% (0.34)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 17, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through March 26, 2012
The accompanying notes are an integral part of these financial statements. -482-
Net Investment Income (Loss) 0.84 % 1.10 % 1.35 % 1.61 % 1.87 % 2.11 % 2.37 % 2.87 % 3.12 % 1.27 % 0.55 % 0.83 % 1.14 % 1.43 % 1.69 % 1.66 % 2.14 % 2.50 % 1.48 % 1.71 % 0.50 %
FMT/Russell LifePoints 2040 Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,771,395
Liabilities 2,778
Fees payable $
Net assets
4,768,617
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R7 Class R8
Units of Participation 242,026 97,954 23,804 42,225 6,265 4,442 7,785
NAV per Unit $ 11.3524 $ 10.9134 $ 11.1597 $ 11.2374 $ 11.7349 $ 11.0866 $ 11.4497
$
$
The accompanying notes are an integral part of these financial statements. -483-
Net Assets 2,747,563 1,069,013 265,646 474,496 73,524 49,242 89,133 4,768,617
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
92,805
41,206 1,504 1,200 43,910
Net investment income
48,895
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
725,404 702,148
Net realized gain from investments sold
23,256
Change in net unrealized appreciation (depreciation) on investments
478,557
Net realized and unrealized gain on investments
501,813
Other operating credits (charges)
7,028
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -484-
557,736
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
48,895 23,256
Change in net unrealized appreciation (depreciation) on investments
478,557 7,028
Other operating credits (charges)
557,736
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
6,560,843 5,704,451 856,392
Increase in net assets from participant transactions Total increase in net assets
1,414,128
Net assets at beginning of year
3,354,489 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -485-
4,768,617
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell LifePoints 2040 Strategy R1 Fund (Cost $4,466,047)
442,205
Fair Value $
4,771,395
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Target date 2040
$
Level 1
4,771,395
$
4,771,395
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,637,771 and $725,404, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -486-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 84,361 41,077 171,474 80,015 167,789 118,540 272,031 22,160 11,261 76,425 3,471,043 1,040,958 297,420 463,407 64,448 109,790 35,483 20,452 7,671 5,038 6,560,843
Redemptions (1,081,575) (470,220) (820,557) (462,824) (352,212) (266,052) (620,367) (75,419) (52,971) (297,469) (794,501) (74,727) (45,155) (15,665) (11,777) (69,335) (244) (83,242) (103,437) (6,702) $ (5,704,451)
$
Units
$
$
Net change (997,214) (429,143) (649,083) (382,809) (184,423) (147,512) (348,336) (53,259) (41,710) (221,044) 2,676,542 966,231 252,265 447,742 52,671 40,455 35,239 (62,790) (95,766) (1,664) 856,392
Purchases 8,013 4,315 15,903 8,172 17,747 11,439 25,208 2,226 1,190 7,506 318,138 105,122 27,948 43,530 5,792 10,839 3,281 2,032 639 447 619,487
Redemptions (103,382) (47,816) (74,445) (45,090) (36,530) (24,882) (55,639) (7,493) (5,398) (28,259) (76,112) (7,168) (4,144) (1,485) (1,023) (6,397) (23) (8,322) (8,427) (580) (542,615)
The accompanying notes are an integral part of these financial statements. -487-
Net change (95,369) (43,501) (58,542) (36,918) (18,783) (13,443) (30,431) (5,267) (4,208) (20,753) 242,026 97,954 23,804 42,045 4,769 4,442 3,258 (6,290) (7,788) (133) 76,872
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2040 Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class O (e) Class R1 (f) Class R2 (g) Class R3 (h) Class R4 Class R5 Class R7 (h) Class R8 Class S (b) Class T (d) Class U (i)
NAV per Unit, Beginning of Period $ 10.0387 8.8896 9.9882 9.1756 8.6134 9.7789 10.0005 9.1269 8.8204 9.3419 10.0000 10.0000 10.0000 9.8416 10.2946 10.0000 10.0954 9.3932 11.1671 10.4689
Net Investment Income (Loss)(a) $ 0.0789 0.0911 0.1262 0.1375 0.1495 0.1921 0.2199 0.2423 0.2543 0.1105 0.0509 0.0757 0.1037 0.1314 0.1627 0.1962 0.2357 0.1290 0.1780 0.1889
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2133 1.0369 1.1755 1.0514 0.9156 1.0296 1.0217 0.8018 0.7390 1.0845 1.3015 0.8377 1.0560 1.2644 1.2776 0.8904 1.1186 1.0373 1.2605 0.8920
Total from Investment Activities $ 1.2922 1.1280 1.3017 1.1889 1.0651 1.2217 1.2416 1.0441 0.9933 1.1950 1.3524 0.9134 1.1597 1.3958 1.4403 1.0866 1.3543 1.1663 1.4385 1.0809
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.3524 10.9134 11.1597 11.2374 11.7349 11.0866 11.4497 -
Total Return 12.87 12.69 13.03 12.96 12.37 12.49 12.42 11.44 11.26 12.79 13.52 9.13 11.60 14.18 13.99 10.87 13.42 12.42 12.88 10.32
% % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.76)% (0.93)% (1.10)% (1.28)% (1.45)% (1.63)% (1.97)% (2.14)% (0.87)% (0.37)% (0.57)% (0.77)% (0.98)% (1.16)% (1.46)% (1.72)% (1.02)% (1.18)% (1.35)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 1, 2012 through November 27, 2012
The accompanying notes are an integral part of these financial statements. -488-
Net Investment Income (Loss) 0.74 % 0.96 % 1.19 % 1.41 % 1.63 % 1.85 % 2.07 % 2.51 % 2.73 % 1.11 % 0.48 % 0.72 % 0.98 % 1.25 % 1.48 % 1.86 % 2.19 % 1.29 % 1.50 % 1.72 %
FMT/Russell LifePoints 2050 Strategy Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,043,003
Liabilities 692
Fees payable $
Net assets
1,042,311
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 44,616 14,801 10,462 12,916 1,250 8,833 383 133
NAV per Unit $ 11.3568 $ 10.9229 $ 11.1582 $ 11.2368 $ 10.4461 $ 10.5575 $ 11.2523 $ 10.9974
$
$
The accompanying notes are an integral part of these financial statements. -489-
Net Assets 506,690 161,666 116,735 145,131 13,058 93,257 4,310 1,464 1,042,311
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
30,087
9,578 1,200 329 11,107
Net investment income
18,980
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
198,466 210,324
Net realized loss from investments sold
(11,858)
Change in net unrealized appreciation (depreciation) on investments
111,895
Net realized and unrealized gain on investments
100,037
Other operating credits (charges)
1,293
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -490-
120,310
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
18,980
Net realized loss from investments sold
(11,858)
Change in net unrealized appreciation (depreciation) on investments
111,895 1,293
Other operating credits (charges)
120,310
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,427,378 1,214,214 213,164
Increase in net assets from participant transactions Total increase in net assets
333,474
Net assets at beginning of year
708,837 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -491-
1,042,311
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Russell LifePoints 2050 Strategy R1 Fund (Cost $1,097,771)
131,692
Fair Value $
1,043,003
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Target date 2050
$
Level 1
1,043,003
$
1,043,003
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $432,018 and $198,466, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -492-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
11,964 53,853 9,944 89,899 4,744 54,077 3,132 10,420 585,142 150,695 160,995 135,491 63,115 84,553 3,925 1,413 45 3,971 1,427,378
Redemptions (91,852) (164,474) (254,348) (90,883) (98,891) (6,375) (166,193) (5,239) (46,665) (88,586) (53,655) (1,231) (55,677) (1) (8,645) (81,039) (460) $ (1,214,214)
$
Units
$
$
Net change (91,852) (152,510) (200,495) (80,939) (8,992) (1,631) (112,116) (2,107) (36,245) 496,556 150,695 107,340 134,260 7,438 84,553 3,925 1,412 (8,600) (77,068) (460) 213,164
Purchases 712 3,208 588 5,273 420 4,933 333 1,030 52,843 14,801 15,330 12,785 6,687 8,833 383 133 5 374 128,671
Redemptions (8,022) (9,546) (14,634) (5,464) (6,046) (538) (14,405) (536) (4,434) (8,227) (4,868) (118) (5,437) (863) (7,276) (46) (90,460)
The accompanying notes are an integral part of these financial statements. -493-
Net change (8,022) (8,834) (11,426) (4,876) (773) (118) (9,472) (203) (3,404) 44,616 14,801 10,462 12,667 1,250 8,833 383 133 (858) (6,902) (46) 38,211
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Russell LifePoints 2050 Strategy Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class J (c) Class O (f) Class R1 (g) Class R2 (h) Class R3 (i) Class R4 Class R5 (j) Class R6 (k) Class R7 (l) Class R8 (m) Class S (n) Class T (e) Class U (o)
NAV per Unit, Beginning of Period $ 10.9299 15.8921 15.7979 15.7223 15.6460 10.5443 10.2959 8.8767 9.3451 10.0000 10.0000 10.0000 9.8530 10.0000 10.0000 10.0000 10.0000 9.3711 9.8816 9.3372
Net Investment Income (Loss)(a) $ 0.0085 0.2527 0.3102 0.3656 0.4190 0.3228 0.3526 0.3986 0.1722 0.0819 0.1171 0.1616 0.2048 0.1912 0.2415 0.1908 0.1594 0.0480 0.2453 0.0232
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.5121 1.7467 1.7153 1.6442 1.4890 0.9720 0.9077 0.5932 1.0065 1.2749 0.8058 0.9966 1.1790 0.2549 0.3160 1.0615 0.8380 0.9870 1.0104 0.7035
Total from Investment Activities $ 0.5206 1.9994 2.0255 2.0098 1.9080 1.2948 1.2603 0.9918 1.1787 1.3568 0.9229 1.1582 1.3838 0.4461 0.5575 1.2523 0.9974 1.0350 1.2557 0.7267
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.3568 10.9229 11.1582 11.2368 10.4461 10.5575 11.2523 10.9974 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 23, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 23, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 7, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from May 31, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from July 24, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through March 20, 2012
(o)
For the period from January 1, 2012 through February 6, 2012
Total Return 4.76 12.58 12.82 12.78 12.19 12.28 12.24 11.17 12.61 13.57 9.23 11.58 14.04 4.46 5.57 12.52 9.97 11.04 12.71 7.78
% % % % % % % % % % % % % % % % % % % %
Net Expenses (0.04)% (0.82)% (1.01)% (1.20)% (1.38)% (1.58)% (1.77)% (2.33)% (0.95)% (0.42)% (0.61)% (0.84)% (1.06)% (1.02)% (1.29)% (0.98)% (0.83)% (0.27)% (1.28)% (0.13)%
The accompanying notes are an integral part of these financial statements. -494-
Net Investment Income (Loss) 0.08 % 1.50 % 1.85 % 2.19 % 2.52 % 2.88 % 3.23 % 4.25 % 1.73 % 0.77 % 1.12 % 1.53 % 1.94 % 1.87 % 2.35 % 1.80 % 1.52 % 0.49 % 2.33 % 0.24 %
FMT/T. Rowe Price Financial Services Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,093,002
Liabilities 1,377
Fees payable $
Net assets
1,091,625
Components of net assets
Class R1 Class R4 Class R5 Class R7 Class R8
Units of Participation 612 24 602 57,945 26,954
NAV per Unit $ 12.3834 $ 10.1205 $ 10.2511 $ 12.7000 $ 12.6785
$
$
The accompanying notes are an integral part of these financial statements. -495-
Net Assets 7,579 240 6,170 735,904 341,732 1,091,625
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
13,620
21,767 1,200 552 23,519
Net investment loss
(9,899)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,178,936 1,047,608
Net realized gain from investments sold
131,328
Change in net unrealized appreciation (depreciation) on investments
246,417
Net realized and unrealized gain on investments
377,745
Other operating credits (charges)
1,996
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -496-
369,842
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(9,899)
Net realized gain from investments sold
131,328
Change in net unrealized appreciation (depreciation) on investments
246,417 1,996
Other operating credits (charges)
369,842
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,369,571 2,119,232 (749,661)
Decrease in net assets from participant transactions Total decrease in net assets
(379,819) 1,471,444
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -497-
1,091,625
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) T. Rowe Price Financial Services Fund (Cost $955,015)
73,159
Fair Value $
1,093,002
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Sector Specific $ - Equity
Level 1
1,093,002
$
1,093,002
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $420,837 and $1,178,936, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -498-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class F Class I Class R1 Class R4 Class R5 Class R7 Class R8
$
$
Purchases 6,158 12,253 190,287 6,020 1,046,907 107,946 1,369,571
Redemptions (902,789) (43,654) (6,134) (200,172) (927,698) (38,785) $ (2,119,232)
$
Units
$
$
Net change (896,631) (43,654) 6,119 (9,885) 6,020 119,209 69,161 (749,661)
Purchases 657 1,225 18,933 602 96,991 9,587 127,995
Redemptions (94,143) (4,578) (613) (18,909) (75,659) (3,166) (197,068)
The accompanying notes are an integral part of these financial statements. -499-
Net change (93,486) (4,578) 612 24 602 21,332 6,421 (69,073)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Financial Services Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class F (b) Class I (c) Class R1 (d) Class R4 (e) Class R4 (f) Class R5 (g) Class R7 Class R8
NAV per Unit, Beginning of Period $ 9.1188 9.1006 10.0000 10.0000 10.0000 10.0000 10.1023 10.1021
Net Investment Income (Loss)(a) $ (0.0015) (0.0018) (0.0141) (0.0109) (0.0007) (0.0027) (0.0596) (0.0675)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.4893 0.4416 2.3975 0.5706 0.1212 0.2538 2.6573 2.6439
Total from Investment Activities $ 0.4878 0.4398 2.3834 0.5597 0.1205 0.2511 2.5977 2.5764
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.3834 10.1205 10.2511 12.7000 12.6785
Total Return 5.35 4.83 23.83 5.60 1.21 2.51 25.71 25.50
% % % % % % % %
Net Expenses (0.05)% (0.06)% (0.37)% (0.31)% (0.02)% (0.08)% (1.56)% (1.76)%
Net Investment Income (Loss) (0.02)% (0.02)% (0.13)% (0.11)% (0.01)% (0.03)% (0.52)% (0.59)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 11, 2012
(c)
For the period from January 1, 2012 through January 10, 2012
(d)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(e)
For the period from August 27, 2012 (commencement of this class) through December 14, 2012
(f)
For the period from December 18, 2012 (recommencement of this class) through December 31, 2012
(g)
For the period from December 7, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -500-
FMT/T. Rowe Price Health Sciences Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
739,093
Liabilities 942
Fees payable $
Net assets
738,151
Components of net assets
Class R4 Class R5 Class R7 Class R8
Units of Participation 473 3,275 36,261 17,098
NAV per Unit $ 10.2398 $ 9.6227 $ 13.1594 $ 13.1372
$
$
The accompanying notes are an integral part of these financial statements. -501-
Net Assets 4,847 31,515 477,174 224,615 738,151
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
31,201
14,977 1,200 379 16,556
Net investment income
14,645
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,060,760 866,331
Net realized gain from investments sold
194,429
Change in net unrealized appreciation (depreciation) on investments
92,105
Net realized and unrealized gain on investments
286,534
Other operating credits (charges)
1,361
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -502-
302,540
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
14,645 194,429
Change in net unrealized appreciation (depreciation) on investments
92,105 1,361
Other operating credits (charges)
302,540
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,130,256 1,688,569 (558,313)
Decrease in net assets from participant transactions Total decrease in net assets
(255,773) 993,924
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -503-
738,151
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) T. Rowe Price Health Sciences Fund (Cost $655,776)
17,930
Fair Value $
739,093
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Sector Funds Equity
$
Level 1
739,093 $
739,093 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $518,124 and $1,060,760, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -504-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class F Class I Class R4 Class R5 Class R7 Class R8
$
$
Purchases 4,116 311,068 32,431 711,115 71,526 1,130,256
Redemptions (613,285) (29,625) (310,365) (698,718) (36,576) $ (1,688,569)
$
Units
$
$
Net change (609,169) (29,625) 703 32,431 12,397 34,950 (558,313)
Purchases 405 30,830 3,275 64,931 6,132 105,573
Redemptions (57,940) (2,818) (30,357) (53,386) (2,948) (147,449)
The accompanying notes are an integral part of these financial statements. -505-
Net change (57,535) (2,818) 473 3,275 11,545 3,184 (41,876)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Health Sciences Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class F (b) Class I (c) Class R4 (d) Class R5 (e) Class R7 Class R8
NAV per Unit, Beginning of Period $ 9.9934 9.9732 10.0000 10.0000 10.1180 10.1179
Net Investment Income (Loss)(a) $ 0.0048 0.0058 0.0354 0.0272 0.1838 0.2086
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6133 0.5395 0.2044 (0.4045) 2.8576 2.8107
Total from Investment Activities $ 0.6181 0.5453 0.2398 (0.3773) 3.0414 3.0193
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2398 9.6227 13.1594 13.1372
Total Return 6.19 % 5.47 % 2.40 % (3.77)% 30.06 % 29.84 %
Net Expenses (0.05)% (0.06)% (0.36)% (0.29)% (1.63)% (1.86)%
Net Investment Income (Loss) 0.05 % 0.06 % 0.35 % 0.28 % 1.58 % 1.79 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 11, 2012
(c)
For the period from January 1, 2012 through January 10, 2012
(d)
For the period from August 27, 2012 (commencement of this class) through December 31, 2012
(e)
For the period from October 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -506-
FMT/T. Rowe Price International Bond Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$
8,955,070 15,999 8,971,069
Liabilities 5,311
Fees payable $
Net assets
8,965,758
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 495,118 20,280 112,258 54,914 44,551 33,161 21,185 4,855
NAV per Unit $ 11.8902 $ 10.4080 $ 10.6043 $ 10.6184 $ 10.5540 $ 10.5721 $ 10.5373 $ 10.3244
$
$
The accompanying notes are an integral part of these financial statements. -507-
Net Assets 5,887,048 211,076 1,190,416 583,093 470,190 350,583 223,229 50,123 8,965,758
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
219,123
92,464 3,391 1,200 97,055
Net investment income
122,068
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,532,557 2,508,205
Net realized gain from investments sold
24,352
Change in net unrealized appreciation (depreciation) on investments
316,099
Net realized and unrealized gain on investments
340,451
Other operating credits (charges)
12,210
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -508-
474,729
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
122,068 24,352
Change in net unrealized appreciation (depreciation) on investments
316,099 12,210
Other operating credits (charges)
474,729
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
11,178,564 12,156,846 (978,282)
Decrease in net assets from participant transactions Total decrease in net assets
(503,553) 9,469,311
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -509-
8,965,758
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (99.9%) T. Rowe Price International Bond Fund (Cost $8,734,125)
886,641
Fair Value $
8,955,070
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - International Bond
$
Level 1
8,955,070
$
8,955,070
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,689,692 and $2,532,557, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -510-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 122,679 376,167 106,346 140,919 452,013 52,134 435 10,048 23,671 7,655 15,764 129,361 4,705 3,000 5,400 6,017,331 255,426 1,661,778 475,368 474,502 479,613 258,580 63,725 27,725 14,182 37 11,178,564
Redemptions (1,898,589) (2,447,849) (1,364,209) (1,411,379) (1,176,512) (404,769) (33,507) (103,973) (144,349) (82,183) (102,142) (628,661) (81,624) (34,331) (79,817) (570,298) (54,798) (520,471) (175,340) (110,993) (143,778) (60,917) (15,618) (240,931) (268,186) (1,622) $ (12,156,846)
$
Units
$
$
Net change (1,775,910) (2,071,682) (1,257,863) (1,270,460) (724,499) (352,635) (33,072) (93,925) (120,678) (74,528) (86,378) (499,300) (76,919) (31,331) (74,417) 5,447,033 200,628 1,141,307 300,028 363,509 335,835 197,663 48,107 (213,206) (254,004) (1,585) (978,282)
Purchases 8,965 23,796 6,855 9,498 34,458 3,822 41 862 1,922 708 1,220 11,939 367 278 505 505,481 25,533 162,281 46,198 46,466 46,899 25,240 6,381 2,611 1,352 3 973,681
Redemptions (136,358) (152,044) (86,010) (93,420) (88,282) (29,243) (3,209) (8,775) (11,461) (7,397) (7,735) (57,005) (6,360) (3,113) (7,253) (49,455) (5,253) (50,023) (16,573) (10,748) (13,738) (5,802) (1,526) (22,664) (24,934) (152) (898,533)
The accompanying notes are an integral part of these financial statements. -511-
Net change (127,393) (128,248) (79,155) (83,922) (53,824) (25,421) (3,168) (7,913) (9,539) (6,689) (6,515) (45,066) (5,993) (2,835) (6,748) 456,026 20,280 112,258 29,625 35,718 33,161 19,438 4,855 (20,053) (23,582) (149) 75,148
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price International Bond Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 Class R8 (j) Class S (b) Class T (d) Class U (k)
NAV per Unit, Beginning of Period $ 13.4561 15.4693 15.2744 14.6391 12.9167 13.3831 10.2240 11.5160 12.1157 10.5591 12.6203 10.6426 12.5224 10.4852 10.4124 11.2359 10.0000 10.0000 10.0902 10.0460 10.0000 10.0641 10.0000 10.3681 10.2358 10.6147
Net Investment Income (Loss)(a) $ 0.1399 0.1978 0.2323 0.2588 0.2564 0.2986 0.2426 0.3097 0.3555 0.0571 0.0766 0.0932 0.1509 0.0708 0.1174 0.0621 0.0795 0.1100 0.1378 0.1621 0.1844 0.2135 0.1803 0.1439 0.1662 0.0924
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6048 0.6816 0.6117 0.4961 0.4128 0.3731 0.1662 0.1927 0.1528 0.5005 0.5838 0.4435 0.5449 0.4729 0.4859 0.5922 0.3285 0.4943 0.3904 0.3459 0.3877 0.2597 0.1441 0.4033 0.3922 (0.0548)
Total from Investment Activities $ 0.7447 0.8794 0.8440 0.7549 0.6692 0.6717 0.4088 0.5024 0.5083 0.5576 0.6604 0.5367 0.6958 0.5437 0.6033 0.6543 0.4080 0.6043 0.5282 0.5080 0.5721 0.4732 0.3244 0.5472 0.5584 0.0376
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.8902 10.4080 10.6043 10.6184 10.5540 10.5721 10.5373 10.3244 -
Total Return 5.53 5.68 5.53 5.16 5.18 5.02 4.00 4.36 4.20 5.28 5.23 5.04 5.56 5.19 5.79 5.82 4.08 6.04 5.23 5.06 5.72 4.70 3.24 5.28 5.46 0.35
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from March 26, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through June 4, 2012
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.73)% (0.90)% (1.07)% (1.25)% (1.40)% (1.57)% (1.68)% (1.90)% (2.08)% (0.38)% (0.43)% (0.62)% (0.85)% (0.48)% (0.79)% (0.39)% (0.56)% (0.77)% (0.96)% (1.14)% (1.30)% (1.50)% (1.28)% (0.98)% (1.14)% (0.63)%
The accompanying notes are an integral part of these financial statements. -512-
Net Investment Income (Loss) 1.01 % 1.24 % 1.48 % 1.72 % 1.93 % 2.18 % 2.33 % 2.63 % 2.87 % 0.53 % 0.59 % 0.85 % 1.17 % 0.66 % 1.10 % 0.54 % 0.78 % 1.07 % 1.33 % 1.57 % 1.79 % 2.07 % 1.77 % 1.35 % 1.58 % 0.87 %
FMT/T. Rowe Price Midcap Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
6,349,379
Liabilities 3,724
Fees payable $
Net assets
6,345,655
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 297,473 11,765 178,014 10,517 28,797 17,003 4,961 32,110
NAV per Unit $ 10.8418 $ 11.2381 $ 10.9130 $ 11.2002 $ 11.3618 $ 11.0525 $ 11.0921 $ 11.1395
$
$
The accompanying notes are an integral part of these financial statements. -513-
Net Assets 3,225,139 132,221 1,942,673 117,791 327,182 187,930 55,027 357,692 6,345,655
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
374,862
58,500 2,349 1,200 62,049
Net investment income
312,813
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,254,161 2,029,786
Net realized gain from investments sold
224,375
Change in net unrealized appreciation (depreciation) on investments
290,072
Net realized and unrealized gain on investments
514,447
Other operating credits (charges)
8,445
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -514-
835,705
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
312,813
Net realized gain from investments sold
224,375
Change in net unrealized appreciation (depreciation) on investments
290,072 8,445
Other operating credits (charges)
835,705
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
9,080,836 10,335,781 (1,254,945)
Decrease in net assets from participant transactions Total decrease in net assets
(419,240) 6,764,895
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -515-
6,345,655
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) T. Rowe Price Mid-Cap Growth Fund (Cost $5,886,116)
112,438
Fair Value $
6,349,379
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Mid-Cap Growth
$
Level 1
6,349,379
$
6,349,379
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,318,875 and $2,254,161, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -516-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 5,482 66,620 45,017 20,921 22,923 23,661 51,253 49,331 6,856 76,218 18,861 14,477 3,353,163 1,890,103 2,248,570 301,846 322,231 180,689 40,448 336,483 3,800 1,883 9,080,836
Redemptions (1,562,590) (2,060,728) (921,717) (463,311) (347,481) (215,363) (719,979) (163,877) (75,963) (91,540) (463,655) (185,215) (183,209) (1,911,305) (372,103) (210,897) (67,793) (3,599) (165,987) (67,141) (45,882) (14,931) (21,515) $ (10,335,781)
$
Units
$
$
Net change (1,557,108) (1,994,108) (876,700) (442,390) (324,558) (191,702) (668,726) (114,546) (69,107) (15,322) (444,794) (170,738) 3,169,954 (21,202) 1,876,467 90,949 254,438 177,090 (125,539) 269,342 (42,082) (14,931) (19,632) (1,254,945)
Purchases 325 3,577 2,409 1,176 1,390 1,340 2,899 4,876 408 5,398 1,576 1,063 314,510 185,338 213,030 29,818 30,222 17,336 3,965 30,782 277 161 851,876
Redemptions (98,669) (104,957) (49,514) (26,295) (21,119) (12,254) (39,868) (16,080) (4,455) (6,438) (39,360) (14,181) (17,037) (173,573) (35,016) (19,301) (6,109) (333) (15,419) (6,092) (3,396) (1,238) (1,730) (712,434)
The accompanying notes are an integral part of these financial statements. -517-
Net change (98,344) (101,380) (47,105) (25,119) (19,729) (10,914) (36,969) (11,204) (4,047) (1,040) (37,784) (13,118) 297,473 11,765 178,014 10,517 24,113 17,003 (11,454) 24,690 (3,119) (1,238) (1,569) 139,442
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Midcap Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class N (f) Class O (g) Class Q (h) Class R1 (i) Class R2 (j) Class R3 (k) Class R4 (j) Class R5 Class R6 (l) Class R7 Class R8 Class S (m) Class T (n) Class U (o)
NAV per Unit, Beginning of Period $ 15.5684 17.8527 17.2588 16.6120 15.2746 16.0495 16.3308 9.3578 15.6080 12.9541 11.0290 12.2296 10.0000 10.0000 10.0000 10.0000 10.0745 10.0000 9.8688 9.9276 12.5698 11.8357 11.4984
Net Investment Income (Loss)(a) $ 0.5157 0.7438 0.8887 1.0263 1.0959 1.2841 1.4705 0.8865 1.6837 0.4514 0.0960 0.5109 0.2002 0.3346 0.4138 0.5376 0.6499 0.7170 0.8379 0.9398 0.3755 0.0186 0.2204
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3238 1.3336 1.2054 0.9910 0.6165 0.5771 0.4243 (0.0481) (0.0613) 0.8519 1.1242 0.3134 0.6416 0.9035 0.4992 0.6626 0.6374 0.3355 0.3854 0.2721 0.5649 0.2025 1.3970
Total from Investment Activities $ 1.8395 2.0774 2.0941 2.0173 1.7124 1.8612 1.8948 0.8384 1.6224 1.3033 1.2202 0.8243 0.8418 1.2381 0.9130 1.2002 1.2873 1.0525 1.2233 1.2119 0.9404 0.2211 1.6174
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through March 2, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.8418 11.2381 10.9130 11.2002 11.3618 11.0525 11.0921 11.1395 -
Total Return 11.82 11.64 12.13 12.14 11.21 11.60 11.60 8.96 10.39 10.06 11.06 6.74 8.42 12.38 9.13 12.00 12.78 10.53 12.40 12.21 7.48 1.87 14.07
(h)
For the period from January 1, 2012 through November 15, 2012
(i)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through July 2, 2012
(n)
For the period from January 1, 2012 through January 9, 2012
(o)
For the period from January 1, 2012 through March 26, 2012
% % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.60)% (0.76)% (0.94)% (1.12)% (1.31)% (1.46)% (1.64)% (1.75)% (1.98)% (0.64)% (0.16)% (0.78)% (0.37)% (0.61)% (0.76)% (0.98)% (1.17)% (1.32)% (1.54)% (1.72)% (0.56)% (0.03)% (0.35)%
The accompanying notes are an integral part of these financial statements. -518-
Net Investment Income (Loss) 3.13 % 3.94 % 4.85 % 5.82 % 6.79 % 7.56 % 8.51 % 9.07 % 10.25 % 3.32 % 0.82 % 4.04 % 1.92 % 3.15 % 3.96 % 5.07 % 6.06 % 6.81 % 7.99 % 8.92 % 2.88 % 0.16 % 1.79 %
FMT/T. Rowe Price Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,695,915
Liabilities 2,966
Fees payable $
Net assets
5,692,949
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 306,634 21,831 71,461 16,867 27,117 1,671 40 1,748
NAV per Unit $ 13.1798 $ 12.0303 $ 11.4181 $ 12.2237 $ 12.1178 $ 11.4559 $ 10.6171 $ 10.6661
$
$
The accompanying notes are an integral part of these financial statements. -519-
Net Assets 4,041,376 262,638 815,946 206,172 328,605 19,140 428 18,644 5,692,949
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
114,212
46,946 1,870 1,200 50,016
Net investment income
64,196
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,227,710 1,112,516
Net realized gain from investments sold
115,194
Change in net unrealized appreciation (depreciation) on investments
718,075
Net realized and unrealized gain on investments
833,269
Other operating credits (charges)
6,637
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -520-
904,102
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
64,196
Net realized gain from investments sold
115,194
Change in net unrealized appreciation (depreciation) on investments
718,075 6,637
Other operating credits (charges)
904,102
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
6,003,578 6,205,209 (201,631)
Decrease in net assets from participant transactions Total increase in net assets
702,471 4,990,478
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -521-
5,692,949
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) FMT/T. Rowe Price Value Fund (Cost $4,915,473)
215,918
Fair Value $
5,695,915
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
5,695,915
$
5,695,915
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,096,103 and $1,227,710, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -522-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 72,392 13,600 142,676 67,796 234,829 30,597 9,741 4,534 53,437 8,945 45,277 1,407 3,804,527 86,440 958,624 121,617 248,701 17,376 1,464 19,364 12,187 48,047 6,003,578
Redemptions (683,673) (325,177) (986,875) (578,902) (479,123) (227,535) (104,020) (62,106) (422,372) (103,487) (695,840) (163,929) (363,374) (148,078) (257,758) (69,699) (67,180) (991) (1,183) (63,275) (400,632) $ (6,205,209)
$
Units
$
$
Net change (611,281) (311,577) (844,199) (511,106) (244,294) (196,938) (94,279) (57,572) (368,935) (94,542) (650,563) (162,522) 3,441,153 (61,638) 700,866 51,918 181,521 17,376 473 18,181 (51,088) (352,585) (201,631)
Purchases 4,487 844 8,801 4,221 15,082 2,031 858 427 4,541 811 3,734 122 294,978 8,229 95,783 10,910 22,510 1,671 146 1,860 1,065 4,190 487,301
Redemptions (45,400) (18,852) (58,349) (35,586) (28,902) (14,155) (8,612) (5,553) (33,989) (8,775) (54,816) (13,278) (30,422) (13,171) (24,322) (5,926) (6,262) (106) (112) (5,321) (33,389) (445,298)
The accompanying notes are an integral part of these financial statements. -523-
Net change (40,913) (18,008) (49,548) (31,365) (13,820) (12,124) (7,754) (5,126) (29,448) (7,964) (51,082) (13,156) 264,556 (4,942) 71,461 4,984 16,248 1,671 40 1,748 (4,256) (29,199) 42,003
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/T. Rowe Price Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 (j) Class R8 (k) Class S (l) Class T (d)
NAV per Unit, Beginning of Period $ 14.6912 14.9386 14.7275 14.4460 14.2529 13.7771 10.4113 9.7221 10.8705 10.0691 11.1037 11.5689 11.0639 10.1209 10.0000 10.3185 10.2463 10.0000 10.0000 10.0000 10.6296 10.5336
Net Investment Income (Loss)(a) $ 0.1680 0.2130 0.2500 0.2837 0.3160 0.3440 0.3130 0.3176 0.1062 0.1352 0.0835 0.0560 0.0666 0.0963 0.1162 0.1563 0.1857 0.1167 0.1222 0.1654 0.1588 0.1902
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3779 2.4652 2.3888 2.1704 2.1590 2.0467 1.3553 1.2222 1.4549 1.6199 1.5283 0.7522 2.0493 1.8131 1.3019 1.7489 1.6858 1.3392 0.4949 0.5007 1.3812 1.6888
Total from Investment Activities $ 2.5459 2.6782 2.6388 2.4541 2.4750 2.3907 1.6683 1.5398 1.5611 1.7551 1.6118 0.8082 2.1159 1.9094 1.4181 1.9052 1.8715 1.4559 0.6171 0.6661 1.5400 1.8790
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.1798 12.0303 11.4181 12.2237 12.1178 11.4559 10.6171 10.6661 -
Total Return 17.33 17.93 17.92 16.99 17.36 17.35 16.02 15.84 14.36 17.43 14.52 6.99 19.12 18.87 14.18 18.46 18.27 14.56 6.17 6.66 14.49 17.84
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.74)% (0.92)% (1.10)% (1.28)% (1.44)% (1.62)% (1.97)% (2.14)% (0.64)% (0.87)% (0.50)% (0.33)% (0.39)% (0.61)% (0.77)% (0.98)% (1.17)% (0.77)% (0.84)% (1.13)% (0.98)% (1.17)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 11, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from May 3, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through November 26, 2012
The accompanying notes are an integral part of these financial statements. -524-
Net Investment Income (Loss) 1.05 % 1.31 % 1.56 % 1.81 % 2.04 % 2.30 % 2.78 % 3.03 % 0.91 % 1.24 % 0.70 % 0.47 % 0.55 % 0.87 % 1.09 % 1.39 % 1.66 % 1.09 % 1.19 % 1.60 % 1.39 % 1.66 %
FMT/Templeton International Bond Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 26,251,537
Liabilities 16,968
Fees payable
$ 26,234,569
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 162,679 12,301 85,312 63,241 33,189 39,578 6,723 4,615
NAV per Unit $ 10.5631 $ 11.3557 $ 10.7137 $ 11.2671 $ 11.1675 $ 11.1476 $ 11.1694 $ 10.8882
Net Assets $ 1,718,391 139,691 914,007 712,539 370,644 441,202 75,090 50,247 8,745,758 1,827,178 2,602,504 3,732,084 2,589,542 947,010 634,538 454,271 279,873 $ 26,234,569
The accompanying notes are an integral part of these financial statements. -525-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,750,576
377,053 14,872 1,200 393,125
Net investment income
1,357,451
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
25,548,648 24,571,690
Net realized gain from investments sold
976,958
Change in net unrealized appreciation (depreciation) on investments
2,143,422
Net realized and unrealized gain on investments
3,120,380
Other operating credits (charges)
104,243
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -526-
4,582,074
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,357,451
Net realized gain from investments sold
976,958
Change in net unrealized appreciation (depreciation) on investments
2,143,422 104,243
Other operating credits (charges)
4,582,074
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
42,713,249 60,685,444
Decrease in net assets from participant transactions Total decrease in net assets
(17,972,195) (13,390,121) 39,624,690
Net assets at beginning of year
$ 26,234,569
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -527-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Templeton International Bond A Fund (Cost $25,126,414)
Shares
Fair Value
2,193,111
$ 26,251,537
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - International Bond
Total
Level 1
$ 26,251,537
$ 26,251,537
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $9,021,918 and $25,548,648, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -528-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 5,805 10,802 77,540 29,423 68,881 217,765 117,919 2,065 19,240 124 2,081 4,624 3,749 2,817 2,045,721 227,430 991,444 327,478 357,119 464,740 72,820 48,314 1,232 22,527 45,645 124,430 244,571 1,567,451 1,273,497 579,715 290,083 244,707 8,307 112,925 49,892 8,807 40,012 97,020 885,244 14,724 70,698 9,404,481 2,038,107 4,646,538 6,635,062 4,694,972 1,912,582 1,246,274 927,603 183,935 165,279 32,954 46,074 42,713,249
Redemptions (67,918) (268,886) (620,666) (599,815) (317,819) (316,586) (120,077) (5,878) (24,793) (2,255) (122,785) (86,693) (94,147) (8,253) (25,569) (428,682) (143,479) (148,330) (108,483) (180,570) (977,322) (3,252) (1,815) (211,856) (160,687) (70,525) (1,184,178) (2,056,192) (6,517,107) (7,131,000) (3,813,290) (2,312,652) (1,699,795) (126,175) (644,780) (415,049) (120,512) (540,535) (975,509) (4,965,483) (270,875) (1,590,979) (1,650,942) (2,488,974) (2,518,881) (4,702,132) (3,051,967) (1,293,955) (976,256) (583,699) (1,790,553) (1,428,457) (376,580) (341,796) $ (60,685,444)
$
Units
$
$
Net change (62,113) (258,084) (543,126) (570,392) (248,938) (98,821) (2,158) (3,813) (5,553) (2,131) (120,704) (82,069) (90,398) (5,436) (25,569) 1,617,039 83,951 843,114 218,995 176,549 (512,582) 69,568 46,499 (210,624) (138,160) (24,880) (1,059,748) (1,811,621) (4,949,656) (5,857,503) (3,233,575) (2,022,569) (1,455,088) (117,868) (531,855) (365,157) (111,705) (500,523) (878,489) (4,080,239) (256,151) (1,520,281) 7,753,539 (450,867) 2,127,657 1,932,930 1,643,005 618,627 270,018 343,904 (1,606,618) (1,263,178) (343,626) (295,722) (17,972,195)
Purchases 547 1,056 7,534 2,794 6,493 21,459 12,118 203 1,883 12 204 466 377 267 203,757 21,823 100,005 31,443 34,054 45,035 6,891 4,787 115 2,099 4,567 509,989
Redemptions (6,526) (27,250) (59,298) (56,137) (28,704) (31,825) (12,485) (551) (2,313) (204) (12,089) (8,338) (8,979) (743) (2,579) (43,944) (12,840) (14,693) (10,015) (16,799) (90,050) (300) (172) (19,979) (15,161) (6,787) (488,761)
The accompanying notes are an integral part of these financial statements. -529-
Net change (5,979) (26,194) (51,764) (53,343) (22,211) (10,366) (367) (348) (430) (192) (11,885) (7,872) (8,602) (476) (2,579) 159,813 8,983 85,312 21,428 17,255 (45,015) 6,591 4,615 (19,864) (13,062) (2,220) 21,228
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Templeton International Bond Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (g) Class H (h) Class I (i) Class J (i) Class L (j) Class N (h) Class O (f) Class P (h) Class Q (k) Class R1 Class R2 Class R3 (l) Class R4 Class R5 Class R6 Class R7 Class R8 (m) Class S (i) Class T (e) Class U (n) Class U (o)
NAV per Unit, Beginning of Period $ 9.8651 9.8722 9.7859 10.1518 10.1268 9.6835 9.2928 9.6992 9.7201 10.0858 9.8399 9.3723 9.4140 9.9813 9.2859 9.3481 10.0715 10.0000 10.0268 9.9550 9.9540 9.9904 10.0000 10.1620 10.2069 9.7085 10.0000
Net Investment Income (Loss)(a) $ 0.2791 0.1645 0.4522 0.5585 0.6469 0.6831 0.3589 0.8319 0.9474 1.0737 0.1314 0.2973 0.4102 0.2461 0.2608 0.1786 0.3121 0.3374 0.4939 0.5784 0.6641 0.7660 0.4543 0.5075 0.5956 0.0691 0.4886
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8780 (0.1723) 0.6767 0.6011 0.4799 0.3834 (0.1261) 0.1471 0.0533 (0.0539) 0.6190 0.7529 0.6770 0.8871 0.3691 1.0364 0.9721 0.3763 0.7464 0.6341 0.5295 0.4130 0.4339 0.6506 0.5622 0.4268 (0.0034)
Total from Investment Activities $ 1.1571 (0.0078) 1.1289 1.1596 1.1268 1.0665 0.2328 0.9790 1.0007 1.0198 0.7504 1.0502 1.0872 1.1332 0.6299 1.2150 1.2842 0.7137 1.2403 1.2125 1.1936 1.1790 0.8882 1.1581 1.1578 0.4959 0.4852
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through November 30, 2012
(c)
For the period from January 1, 2012 through June 4, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through June 19, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 1, 2012 through December 10, 2012
(j)
For the period from January 1, 2012 through August 16, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5631 11.3557 10.7137 11.2671 11.1675 11.1476 11.1694 10.8882 -
Total Return 11.73 % (0.08)% 11.54 % 11.42 % 11.13 % 11.01 % 2.51 % 10.09 % 10.30 % 10.11 % 7.63 % 11.21 % 11.55 % 11.35 % 6.78 % 13.00 % 12.75 % 7.14 % 12.37 % 12.18 % 11.99 % 11.80 % 8.88 % 11.40 % 11.34 % 5.11 % 4.85 %
(k)
For the period from January 1, 2012 through August 29, 2012
(l)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through February 6, 2012
(o)
For the period from February 23, 2012 (recommencement of this class) through November 7, 2012
Net Expenses (0.72)% (0.45)% (1.18)% (1.40)% (1.63)% (1.80)% (1.03)% (2.20)% (2.49)% (2.73)% (0.35)% (0.81)% (1.11)% (0.63)% (0.73)% (0.48)% (0.78)% (0.88)% (1.25)% (1.47)% (1.69)% (1.95)% (1.17)% (1.27)% (1.49)% (0.19)% (1.28)%
The accompanying notes are an integral part of these financial statements. -530-
Net Investment Income (Loss) 2.67 % 1.67 % 4.37 % 5.20 % 6.05 % 6.69 % 3.81 % 8.16 % 9.27 % 10.13 % 1.29 % 3.00 % 4.12 % 2.33 % 2.72 % 1.79 % 2.91 % 3.26 % 4.64 % 5.48 % 6.29 % 7.24 % 4.35 % 4.72 % 5.52 % 0.69 % 4.77 %
FMT/Third Avenue Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,072,230
Liabilities 2,187
Fees payable $
Net assets
3,070,043
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 151,709 20,940 10,445 49,771 3,107 5,726 19,696
NAV per Unit $ 11.3016 $ 12.0149 $ 13.0863 $ 12.3588 $ 12.3599 $ 12.4146 $ 12.3185
$
$
The accompanying notes are an integral part of these financial statements. -531-
Net Assets 1,714,553 251,586 136,684 615,111 38,403 71,083 242,623 3,070,043
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
82,533
40,734 1,250 1,200 43,184
Net investment income
39,349
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,937,241 2,098,998
Net realized loss from investments sold
(161,757)
Change in net unrealized appreciation (depreciation) on investments
883,231
Net realized and unrealized gain on investments
721,474
Other operating credits (charges)
10,563
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -532-
771,386
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
39,349 (161,757)
Change in net unrealized appreciation (depreciation) on investments
883,231 10,563
Other operating credits (charges)
771,386
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
4,382,773 5,564,664 (1,181,891)
Decrease in net assets from participant transactions Total decrease in net assets
(410,505) 3,480,548
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -533-
3,070,043
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Third Avenue Value Institutional Fund (Cost $3,001,906)
61,642
Fair Value $
3,072,230
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Global Value
$
Level 1
3,072,230
$
3,072,230
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $803,847 and $1,937,241, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -534-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 298,157 122,574 25,199 47,183 10,744 20,889 40,258 2,689 1,638 1,824,014 173,223 365,419 317,941 620,331 226,221 5,239 233,217 22,687 25,150 4,382,773
Redemptions (500,309) (195,483) (741,786) (567,951) (381,458) (505,225) (682,586) (31,355) (146,550) (42,532) (170,580) (173,870) (144,766) (298,445) (80,091) (194,437) (2,134) (29,598) (5,372) (263,468) (406,668) $ (5,564,664)
$
Units
$
$
Net change (202,152) (72,909) (716,587) (520,768) (370,714) (484,336) (642,328) (31,355) (143,861) (40,894) 1,653,434 (647) 220,653 19,496 540,240 31,784 3,105 203,619 (5,372) (240,781) (381,518) (1,181,891)
Purchases 32,384 7,648 1,894 2,840 882 1,564 2,414 273 194 166,909 17,322 35,028 28,098 56,678 19,673 469 22,430 2,155 2,384 401,239
Redemptions (51,426) (12,301) (54,826) (32,348) (30,381) (36,103) (38,736) (2,916) (16,111) (5,184) (15,200) (17,322) (14,088) (26,909) (6,907) (16,566) (187) (2,734) (470) (26,223) (36,761) (443,699)
The accompanying notes are an integral part of these financial statements. -535-
Net change (19,042) (4,653) (52,932) (29,508) (29,499) (34,539) (36,322) (2,916) (15,838) (4,990) 151,709 20,940 1,189 49,771 3,107 282 19,696 (470) (24,068) (34,377) (42,460)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Third Avenue Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class R1 (g) Class R2 (h) Class R3 (i) Class R3 (j) Class R4 Class R5 (k) Class R6 (l) Class R7 Class R8 (l) Class S (m) Class T (n) Class U (f)
NAV per Unit, Beginning of Period $ 8.6857 14.3935 12.0905 14.7481 10.9045 12.1099 14.6527 9.0069 8.7987 7.4051 10.0000 10.0000 10.0000 10.0000 10.3350 10.0000 10.0000 9.8544 10.0000 9.7947 9.3629 9.2806
Net Investment Income (Loss)(a) $ 0.0634 0.1386 0.1442 0.2088 0.1792 0.2265 0.3072 0.1994 0.2238 0.2075 0.0341 0.0184 0.0023 0.0573 0.1316 0.1493 0.1659 0.1961 0.2152 0.0291 0.0696 0.1581
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.9902 3.2357 2.6637 3.2603 2.3246 2.5144 3.0530 1.5438 1.7224 1.4144 1.2675 0.0189 (0.0838) 1.9576 2.6197 2.2095 2.1940 2.3641 2.1033 1.6056 0.8296 1.6791
Total from Investment Activities $ 2.0536 3.3743 2.8079 3.4691 2.5038 2.7409 3.3602 1.7432 1.9462 1.6219 1.3016 0.0373 (0.0815) 2.0149 2.7513 2.3588 2.3599 2.5602 2.3185 1.6347 0.8992 1.8372
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.3016 12.0149 13.0863 12.3588 12.3599 12.4146 12.3185 -
Total Return 23.64 % 23.44 % 23.22 % 23.52 % 22.96 % 22.63 % 22.93 % 19.35 % 22.12 % 21.90 % 13.02 % 0.37 % (0.82)% 20.15 % 26.62 % 23.59 % 23.60 % 25.98 % 23.19 % 16.69 % 9.60 % 19.80 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from April 19, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from August 17, 2012 (commencement of this class) through November 16, 2012
(i)
For the period from February 22, 2012 (commencement of this class) through March 1, 2012
(j)
For the period from June 8, 2012 (recommencement of this class) through December 31, 2012
(k)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through March 19, 2012
(n)
For the period from January 1, 2012 through June 20, 2012
Net Expenses (0.56)% (0.75)% (0.92)% (1.10)% (1.28)% (1.45)% (1.63)% (1.75)% (1.98)% (2.18)% (0.28)% (0.16)% (0.02)% (0.45)% (0.97)% (1.16)% (1.28)% (1.52)% (1.67)% (0.24)% (0.61)% (1.34)%
The accompanying notes are an integral part of these financial statements. -536-
Net Investment Income (Loss) 0.65 % 0.86 % 1.07 % 1.27 % 1.47 % 1.68 % 1.88 % 2.02 % 2.29 % 2.53 % 0.32 % 0.18 % 0.02 % 0.52 % 1.12 % 1.34 % 1.48 % 1.76 % 1.93 % 0.27 % 0.71 % 1.55 %
FMT/Touchstone Balanced Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
8,628,981
Liabilities 4,681
Fees payable Net assets
$
8,624,300
$
Net Assets 8,624,300
Components of net assets
Class R1
Units of Participation 848,370
NAV per Unit $ 10.1657
The accompanying notes are an integral part of these financial statements. -537-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
447,457
100,489 3,294 1,200 104,983
Net investment income
342,474
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
2,781,767 2,853,227
Net realized loss from investments sold
(71,460)
Change in net unrealized appreciation (depreciation) on investments
584,509
Net realized and unrealized gain on investments
513,049
Other operating credits (charges)
31,520
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -538-
887,043
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
342,474
Net realized loss from investments sold
(71,460)
Change in net unrealized appreciation (depreciation) on investments
584,509 31,520
Other operating credits (charges)
887,043
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
9,623,064 11,568,279 (1,945,215)
Decrease in net assets from participant transactions Total decrease in net assets
(1,058,172) 9,682,472
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -539-
8,624,300
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Balanced Allocation Fund (Cost $8,866,725)
775,361
Fair Value $
8,628,981
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Moderate Equity and fixed income
$
Level 1
8,628,981
$
8,628,981
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,297,546 and $2,781,767, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -540-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1
$
$
Purchases 24,828 37,314 202,343 212,354 216,268 48,905 148,286 50,630 53,148 20,060 8,608,928 9,623,064
Redemptions (983,798) (1,208,804) (2,133,100) (1,319,330) (2,739,513) (620,459) (1,935,403) (247,325) (256,352) (93,491) (30,704) $ (11,568,279)
$
Units
$
$
Net change (958,970) (1,171,490) (1,930,757) (1,106,976) (2,523,245) (571,554) (1,787,117) (196,695) (203,204) (73,431) 8,578,224 (1,945,215)
Purchases 1,680 2,422 13,306 13,835 14,659 3,608 11,007 4,133 4,253 1,835 851,403 922,141
Redemptions (64,955) (76,666) (136,375) (84,311) (181,292) (44,679) (139,712) (19,823) (20,278) (8,236) (3,033) (779,360)
The accompanying notes are an integral part of these financial statements. -541-
Net change (63,275) (74,244) (123,069) (70,476) (166,633) (41,071) (128,705) (15,690) (16,025) (6,401) 848,370 142,781
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Balanced Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class O (e) Class R1 (g)
NAV per Unit, Beginning of Period $ 13.8754 14.5411 14.3835 14.4321 13.9740 12.8547 12.7860 11.5149 11.7617 10.3678 10.0000
Net Investment Income (Loss)(a) $ 0.2943 0.4001 0.4877 0.5825 0.6545 0.6784 0.7570 0.8225 0.2733 0.3306 0.0213
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0689 1.0029 0.9040 0.8035 0.6233 0.4979 0.4036 0.1484 0.7165 0.6603 0.1444
Total from Investment Activities $ 1.3632 1.4030 1.3917 1.3860 1.2778 1.1763 1.1606 0.9709 0.9898 0.9909 0.1657
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1657
Total Return 9.82 9.65 9.68 9.60 9.14 9.15 9.08 8.43 8.42 9.56 1.66
% % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.08)% (1.26)% (1.42)% (1.59)% (1.92)% (0.63)% (0.85)% (0.06)%
Net Investment Income (Loss) 2.02 % 2.62 % 3.23 % 3.85 % 4.48 % 5.05 % 5.66 % 6.85 % 2.23 % 3.04 % 0.21 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from November 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -542-
FMT/Touchstone Conservative Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
6,280,512
Liabilities 2,999
Fees payable Net assets
$
6,277,513
$
Net Assets 6,273,958 3,555 6,277,513
Components of net assets
Class R1 Class R8
Units of Participation 533,071 337
NAV per Unit $ 11.7695 $ 10.5517
$
The accompanying notes are an integral part of these financial statements. -543-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
377,350
37,385 1,480 1,200 40,065
Net investment income
337,285
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,755,286 1,746,441
Net realized gain from investments sold
8,845
Change in net unrealized appreciation (depreciation) on investments
(152,878)
Net realized and unrealized loss on investments
(144,033)
Other operating credits (charges)
12,750
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -544-
206,002
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
337,285 8,845
Change in net unrealized appreciation (depreciation) on investments
(152,878) 12,750
Other operating credits (charges)
206,002
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
10,545,110 7,544,440 3,000,670
Increase in net assets from participant transactions Total increase in net assets
3,206,672
Net assets at beginning of year
3,070,841 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -545-
6,277,513
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Touchstone Conservative Allocation Fund (Cost $6,509,545)
598,164
Fair Value $
6,280,512
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Conservative Equity and fixed income
$
Level 1
6,280,512
$
6,280,512
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,203,429 and $1,755,286, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -546-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1 Class R8 Class S Class U
$
$
Purchases 349 88,982 1,472,087 1,119,920 397,926 16,378 404,187 82,908 40,774 41,773 6,645,717 3,476 67,547 163,086 10,545,110
Redemptions (501,073) (202,600) (2,461,100) (1,605,212) (801,874) (69,273) (808,949) (91,822) (40,701) (90,304) (551,350) (157,626) (162,556) $ (7,544,440)
$
Units
$
$
Net change (500,724) (113,618) (989,013) (485,292) (403,948) (52,895) (404,762) (8,914) 73 (48,531) 6,094,367 3,476 (90,079) 530 3,000,670
Purchases 25 6,415 103,645 81,627 29,166 1,286 30,477 6,843 4,077 3,603 565,394 337 5,646 16,309 854,850
Redemptions (35,517) (14,547) (172,805) (116,337) (58,699) (5,358) (60,758) (7,556) (4,077) (7,740) (47,133) (13,124) (16,309) (559,960)
The accompanying notes are an integral part of these financial statements. -547-
Net change (35,492) (8,132) (69,160) (34,710) (29,533) (4,072) (30,281) (713) (4,137) 518,261 337 (7,478) 294,890
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Conservative Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class O (e) Class R1 Class R8 (g) Class S (b) Class U (f)
NAV per Unit, Beginning of Period $ 13.2321 13.1168 13.4166 13.0026 12.9461 12.2098 12.6293 11.5384 10.0000 10.9573 10.9863 10.0000 11.3107 10.0000
Net Investment Income (Loss)(a) $ 0.6929 0.8951 1.1271 1.2993 1.5004 1.5938 1.8508 2.0563 0.1314 0.8641 0.3945 1.5150 1.0391 0.2726
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2114 (0.0210) (0.2417) (0.4626) (0.7141) (0.8504) (1.1027) (1.4243) (0.1492) (0.1546) 0.3887 (0.9633) (0.3148) (0.3055)
Total from Investment Activities $ 0.9043 0.8741 0.8854 0.8367 0.7863 0.7434 0.7481 0.6320 (0.0178) 0.7095 0.7832 0.5517 0.7243 (0.0329)
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7695 10.5517 -
Total Return 6.83 % 6.66 % 6.60 % 6.43 % 6.07 % 6.09 % 5.92 % 5.48 % (0.18)% 6.48 % 7.13 % 5.52 % 6.40 % (0.33)%
Net Expenses (0.58)% (0.76)% (0.93)% (1.11)% (1.29)% (1.45)% (1.63)% (1.99)% (0.15)% (0.87)% (0.40)% (1.69)% (1.02)% (0.31)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from September 10, 2012 (commencement of this class) through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -548-
Net Investment Income (Loss) 5.06 % 6.60 % 8.13 % 9.68 % 11.25 % 12.67 % 14.23 % 17.35 % 1.32 % 7.64 % 3.47 % 14.74 % 8.90 % 2.73 %
FMT/Touchstone Core Bond Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,437,904
Liabilities 802
Fees payable Net assets
$
1,437,102
$
Net Assets 1,437,102
Components of net assets
Class R1
Units of Participation 143,380
NAV per Unit $ 10.0230
The accompanying notes are an integral part of these financial statements. -549-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
85,136
18,256 1,200 599 20,055
Net investment income
65,081
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
976,844 949,186
Net realized gain from investments sold
27,658
Change in net unrealized appreciation (depreciation) on investments
3,195
Net realized and unrealized gain on investments
30,853
Other operating credits (charges)
5,891
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -550-
101,825
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
65,081 27,658
Change in net unrealized appreciation (depreciation) on investments
3,195
Other operating credits (charges)
5,891 101,825
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,033,614 2,440,060 (406,446)
Decrease in net assets from participant transactions Total decrease in net assets
(304,621) 1,741,723
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -551-
1,437,102
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Core Bond Class A Fund (Cost $1,416,485)
133,883
Fair Value $
1,437,904
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Core Bond
$
Level 1
1,437,904
$
1,437,904
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $640,518 and $976,844, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -552-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class O Class R1 Class S
$
$
Purchases 5,497 261,957 173,054 79,383 16,913 33,339 240 1,656 1,441,419 20,156 2,033,614
Redemptions (212,530) (518,616) (506,844) (645,695) (95,999) (203,444) (11,460) (38,356) (3,908) (203,208) $ (2,440,060)
$
Units
$
$
Net change (207,033) (256,659) (333,790) (566,312) (79,086) (170,105) (11,220) (36,700) 1,437,511 (183,052) (406,446)
Purchases 409 20,496 13,037 6,170 1,395 2,657 20 125 143,771 1,684 189,764
Redemptions (15,494) (39,754) (37,862) (49,279) (7,583) (15,915) (927) (2,823) (391) (16,446) (186,474)
The accompanying notes are an integral part of these financial statements. -553-
Net change (15,085) (19,258) (24,825) (43,109) (6,188) (13,258) (907) (2,698) 143,380 (14,762) 3,290
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Core Bond Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class O (e) Class R1 (f) Class S (b)
NAV per Unit, Beginning of Period $ 12.9675 12.5454 12.6670 12.4825 12.0167 12.1145 11.7254 12.8246 10.0000 11.6334
Net Investment Income (Loss)(a) $ 0.3628 0.4325 0.5215 0.5989 0.6456 0.7344 0.8563 0.4179 0.0222 0.4420
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.5030 0.3717 0.2565 0.1356 0.0634 (0.0522) (0.2125) 0.3883 0.0008 0.3043
Total from Investment Activities $ 0.8658 0.8042 0.7780 0.7345 0.7090 0.6822 0.6438 0.8062 0.0230 0.7463
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0230 -
Total Return 6.68 6.41 6.14 5.88 5.90 5.63 5.49 6.29 0.23 6.42
% % % % % % % % % %
Net Expenses (0.77)% (0.94)% (1.13)% (1.32)% (1.47)% (1.67)% (2.01)% (0.89)% (0.06)% (1.04)%
Net Investment Income (Loss) 2.71 % 3.34 % 3.99 % 4.66 % 5.22 % 5.90 % 7.11 % 3.16 % 0.22 % 3.68 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from November 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -554-
FMT/Touchstone Growth Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,412,647
Liabilities 3,003
Fees payable Net assets
$
5,409,644
$
Net Assets 5,377,058 32,586 5,409,644
Components of net assets
Class R1 Class R8
Units of Participation 537,176 2,901
NAV per Unit $ 10.0099 $ 11.2319
$
The accompanying notes are an integral part of these financial statements. -555-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
112,250
67,498 2,259 1,200 70,957
Net investment income
41,293
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
2,577,273 2,607,203
Net realized loss from investments sold
(29,930)
Change in net unrealized appreciation (depreciation) on investments
814,816
Net realized and unrealized gain on investments
784,886
Other operating credits (charges)
22,067
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -556-
848,246
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
41,293
Net realized loss from investments sold
(29,930)
Change in net unrealized appreciation (depreciation) on investments
814,816 22,067
Other operating credits (charges)
848,246
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
6,448,909 8,340,407 (1,891,498)
Decrease in net assets from participant transactions Total decrease in net assets
(1,043,252) 6,452,896
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -557-
5,409,644
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Growth Allocation Fund (Cost $5,231,701)
460,745
Fair Value $
5,412,647
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Aggressive Equity and fixed income
$
Level 1
5,412,647
$
5,412,647
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $809,247 and $2,577,273, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -558-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class O Class R1 Class R8 Class S Class U
$
$
Purchases 8,039 13,119 189,708 254,251 98,138 53,872 157,924 30,670 8,844 5,553,391 79,246 670 1,037 6,448,909
Redemptions (146,699) (343,697) (2,819,526) (1,946,571) (889,375) (493,672) (716,957) (374,092) (116,382) (363,077) (54,161) (9,321) (66,877) $ (8,340,407)
$
Units
$
$
Net change (138,660) (330,578) (2,629,818) (1,692,320) (791,237) (439,800) (559,033) (343,422) (107,538) 5,190,314 25,085 (8,651) (65,840) (1,891,498)
Purchases 530 782 11,325 15,862 6,147 3,785 9,899 2,539 877 560,696 7,874 55 82 620,453
Redemptions (9,243) (20,670) (162,405) (116,269) (53,253) (34,009) (43,589) (30,307) (11,017) (36,606) (4,973) (734) (5,136) (528,211)
The accompanying notes are an integral part of these financial statements. -559-
Net change (8,713) (19,888) (151,080) (100,407) (47,106) (30,224) (33,690) (27,768) (10,140) 524,090 2,901 (679) (5,054) 92,242
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class O (e) Class R1 Class R8 (f) Class S (b) Class U (g)
NAV per Unit, Beginning of Period $ 13.9709 15.5542 15.5547 14.8009 14.9290 13.2167 14.7637 11.2019 9.3169 8.6481 10.0000 11.3116 11.7160
Net Investment Income (Loss)(a) $ 0.0765 0.1104 0.1358 0.1542 0.1804 0.1794 0.2255 0.2065 0.0767 0.0335 0.1567 0.1074 0.1455
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.8708 2.0293 2.0360 1.9154 1.8240 1.5941 1.7582 1.1932 1.2142 1.3283 1.0752 1.4177 1.1600
Total from Investment Activities $ 1.9473 2.1397 2.1718 2.0696 2.0044 1.7735 1.9837 1.3997 1.2909 1.3618 1.2319 1.5251 1.3055
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0099 11.2319 -
Total Return 13.94 13.76 13.96 13.98 13.43 13.42 13.44 12.50 13.86 15.75 12.32 13.48 11.14
% % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.09)% (1.27)% (1.42)% (1.60)% (1.94)% (0.86)% (0.40)% (1.65)% (1.00)% (1.32)%
Net Investment Income (Loss) 0.51 % 0.66 % 0.82 % 0.97 % 1.13 % 1.27 % 1.43 % 1.74 % 0.77 % 0.36 % 1.48 % 0.89 % 1.18 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
The accompanying notes are an integral part of these financial statements. -560-
FMT/Touchstone Growth Opportunities Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,362,903
Liabilities 793
Fees payable Net assets
$
1,362,110
$
Net Assets 1,331,324 30,786 1,362,110
Components of net assets
Class R1 Class R8
Units of Participation 128,101 2,649
NAV per Unit $ 10.3928 $ 11.6214
$
The accompanying notes are an integral part of these financial statements. -561-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
111,586
23,721 1,200 816 25,737
Net investment income
85,849
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,922,831 1,764,231
Net realized gain from investments sold
158,600
Change in net unrealized appreciation (depreciation) on investments
142,138
Net realized and unrealized gain on investments
300,738
Other operating credits (charges)
7,973
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -562-
394,560
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
85,849
Net realized gain from investments sold
158,600
Change in net unrealized appreciation (depreciation) on investments
142,138 7,973
Other operating credits (charges)
394,560
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,927,637 3,428,522 (1,500,885)
Decrease in net assets from participant transactions Total decrease in net assets
(1,106,325) 2,468,435
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -563-
1,362,110
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Growth Opportunities A Fund (Cost $ 1,277,546)
55,948
Fair Value
$
1,362,903
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Mid Cap Growth
$
Level 1
1,362,903
$
1,362,903
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $514,206 and $1,922,831, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -564-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R8
$
$
Purchases 9,942 260,228 87,901 44,663 2,835 7,297 8,305 1,141 31,695 1,446,812 26,818 1,927,637
Redemptions (129,234) (1,019,085) (809,870) (881,653) (31,244) (95,691) (96,045) (13,826) (211,750) (140,124) $ (3,428,522)
$
Units
$
$
Net change (119,292) (758,857) (721,969) (836,990) (28,409) (88,394) (87,740) (12,685) (180,055) 1,306,688 26,818 (1,500,885)
Purchases 558 13,199 4,572 2,577 166 429 581 105 2,551 141,609 2,649 168,996
Redemptions (6,770) (50,933) (39,816) (49,986) (1,763) (5,435) (6,591) (1,227) (16,101) (13,508) (192,130)
The accompanying notes are an integral part of these financial statements. -565-
Net change (6,212) (37,734) (35,244) (47,409) (1,597) (5,006) (6,010) (1,122) (13,550) 128,101 2,649 (23,134)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Growth Opportunities Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class O (e) Class R1 (f) Class R8 (g)
NAV per Unit, Beginning of Period $ 16.2500 17.3336 17.9927 15.5579 15.3360 15.1878 12.9435 9.7053 11.2549 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.5030 0.6601 0.8077 0.8213 0.8957 1.0136 1.0397 0.8469 0.4036 0.0228 0.6816
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3568 2.5715 2.4615 1.8766 1.8767 1.6594 1.0696 0.7169 1.5980 0.3700 0.9398
Total from Investment Activities $ 2.8598 3.2316 3.2692 2.6979 2.7724 2.6730 2.1093 1.5638 2.0016 0.3928 1.6214
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3928 11.6214
Total Return 17.60 18.64 18.17 17.34 18.08 17.60 16.30 16.11 17.78 3.93 16.21
% % % % % % % % % % %
Net Expenses (0.78)% (0.96)% (1.13)% (1.33)% (1.47)% (1.68)% (2.04)% (2.22)% (0.90)% (0.06)% (1.73)%
Net Investment Income (Loss) 2.85 % 3.48 % 4.12 % 4.86 % 5.36 % 6.13 % 7.43 % 8.08 % 3.29 % 0.22 % 6.30 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period November 6, 2012 (commencement of this class) through December 31, 2012
(g)
For the period January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -566-
FMT/Touchstone International Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,320,290
Liabilities 667
Fees payable Net assets
$
1,319,621
$
Net Assets 1,319,621
Components of net assets
Class R1
Units of Participation 124,688
NAV per Unit $ 10.5834
The accompanying notes are an integral part of these financial statements. -567-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
37,871
18,129 1,200 662 19,991
Net investment income
17,880
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,098,239 1,419,519
Net realized loss from investments sold
(321,280)
Change in net unrealized appreciation (depreciation) on investments
489,192
Net realized and unrealized gain on investments
167,912
Other operating credits (charges)
6,557
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -568-
192,349
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
17,880 (321,280)
Change in net unrealized appreciation (depreciation) on investments
489,192 6,557
Other operating credits (charges)
192,349
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,455,802 2,406,697 (950,895)
Decrease in net assets from participant transactions Total decrease in net assets
(758,546) 2,078,167
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -569-
1,319,621
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone International Value Fund (Cost $1,608,659)
173,494
Fair Value $
1,320,290
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - International Core
$
Level 1
1,320,290
$
1,320,290
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $170,595 and $1,098,239, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -570-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class N Class O Class R1
$
$
Purchases 2,371 11,057 29,736 27,018 57,532 580 11,072 10,993 14,898 1,290,545 1,455,802
Redemptions (42,010) (175,204) (509,274) (412,743) (820,011) (6,305) (115,897) (138,761) (182,878) (3,614) $ (2,406,697)
$
Units
$
$
Net change (39,639) (164,147) (479,538) (385,725) (762,479) (5,725) (104,825) (127,768) (167,980) 1,286,931 (950,895)
Purchases 161 757 2,077 1,736 4,153 42 723 1,068 2,000 125,035 137,752
Redemptions (2,745) (11,493) (34,018) (26,083) (58,070) (437) (7,267) (13,219) (23,534) (347) (177,213)
The accompanying notes are an integral part of these financial statements. -571-
Net change (2,584) (10,736) (31,941) (24,347) (53,917) (395) (6,544) (12,151) (21,534) 124,688 (39,461)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone International Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class N (f) Class O (e) Class R1 (g)
NAV per Unit, Beginning of Period $ 14.0683 14.0628 13.6700 14.9292 13.2829 13.1850 14.7008 9.8318 7.0842 10.0000
Net Investment Income (Loss)(a) $ 0.1074 0.1387 0.1668 0.2151 0.2237 0.2495 0.3122 0.0820 0.0810 0.0080
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2846 1.2282 1.1971 1.3780 1.1896 0.9968 1.1783 0.6444 0.7024 0.5754
Total from Investment Activities $ 1.3920 1.3669 1.3639 1.5931 1.4133 1.2463 1.4905 0.7264 0.7834 0.5834
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5834
Total Return 9.89 9.72 9.98 10.67 10.64 9.45 10.14 7.39 11.06 5.83
% % % % % % % % % %
Net Expenses (0.60)% (0.77)% (0.95)% (1.12)% (1.31)% (1.48)% (1.65)% (0.66)% (0.89)% (0.06)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from November 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -572-
Net Investment Income (Loss) 0.73 % 0.94 % 1.16 % 1.37 % 1.60 % 1.81 % 2.02 % 0.80 % 1.08 % 0.08 %
FMT/Touchstone Large Cap Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
970,035
Liabilities 530
Fees payable Net assets
$
969,505
$
Net Assets 969,505
Components of net assets
Class R1
Units of Participation 96,834
NAV per Unit $ 10.0120
The accompanying notes are an integral part of these financial statements. -573-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
46,945
20,413 1,200 744 22,357
Net investment income
24,588
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,066,610 1,862,789
Net realized gain from investments sold
203,821
Change in net unrealized appreciation (depreciation) on investments
14,246
Net realized and unrealized gain on investments
218,067
Other operating credits (charges)
7,741
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -574-
250,396
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
24,588 203,821
Change in net unrealized appreciation (depreciation) on investments
14,246 7,741
Other operating credits (charges)
250,396
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,122,869 3,038,667 (1,915,798)
Decrease in net assets from participant transactions Total decrease in net assets
(1,665,402) 2,634,907
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -575-
969,505
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Large Cap Growth A Fund (Cost $908,766)
36,647
Fair Value
$
970,035
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Growth
$
Level 1
970,035 $
970,035 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $181,236 and $2,066,610, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -576-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class R1
$
$
Purchases 257 16,075 67,753 68,880 45 4,429 965,430 1,122,869
Redemptions (238,297) (559,288) (1,250,974) (919,450) (9,420) (59,858) (1,380) $ (3,038,667)
$
Units
$
$
Net change (238,040) (543,213) (1,183,221) (850,570) (9,375) (55,429) 964,050 (1,915,798)
Purchases 19 1,089 4,435 4,973 3 332 96,971 107,822
Redemptions (17,205) (35,857) (81,088) (68,088) (660) (4,458) (137) (207,493)
The accompanying notes are an integral part of these financial statements. -577-
Net change (17,186) (34,768) (76,653) (63,115) (657) (4,126) 96,834 (99,671)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Large Cap Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class R1 (f)
NAV per Unit, Beginning of Period $ 13.1621 13.8262 13.9581 12.6610 13.0719 12.2083 10.0000
Net Investment Income (Loss)(a) $ 0.0100 0.2076 0.2470 0.2623 0.3044 0.3191 0.0089
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6782 1.0825 1.0076 0.7562 0.8468 0.7143 0.0031
Total from Investment Activities $ 0.6882 1.2901 1.2546 1.0185 1.1512 1.0334 0.0120
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0120
Total Return 5.23 9.33 8.99 8.04 8.81 8.46 0.12
% % % % % % %
Net Expenses (0.05)% (0.99)% (1.17)% (1.38)% (1.54)% (1.73)% (0.06)%
Net Investment Income (Loss) 0.07 % 1.43 % 1.69 % 1.99 % 2.23 % 2.51 % 0.09 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 23, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from November 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -578-
FMT/Touchstone Moderate Growth Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,420,534
Liabilities 3,922
Fees payable Net assets
$
7,416,612
$
Net Assets 7,314,019 102,593 7,416,612
Components of net assets
Class R1 Class R8
Units of Participation 681,821 9,297
NAV per Unit $ 10.7272 $ 11.0349
$
The accompanying notes are an integral part of these financial statements. -579-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
300,480
88,888 3,199 1,200 93,287
Net investment income
207,193
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,518,691 3,508,752
Net realized gain from investments sold
9,939
Change in net unrealized appreciation (depreciation) on investments
784,645
Net realized and unrealized gain on investments
794,584
Other operating credits (charges)
31,079
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -580-
1,032,856
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
207,193 9,939
Change in net unrealized appreciation (depreciation) on investments
784,645 31,079
Other operating credits (charges)
1,032,856
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
7,313,487 10,052,316 (2,738,829)
Decrease in net assets from participant transactions Total decrease in net assets
(1,705,973) 9,122,585
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -581-
7,416,612
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Moderate Growth Allocation Fund (Cost $7,304,183)
656,782
Fair Value
$
7,420,534
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Moderately Aggressive - Equity and fixed income
$
Level 1
7,420,534
$
7,420,534
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,102,825 and $3,518,691, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -582-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1 Class R8 Class S Class U
$
$
Purchases 3,764 12,669 208,718 176,644 130,733 17,106 190,376 14,564 21,427 13,000 6,410,123 108,364 376 5,623 7,313,487
Redemptions (86,453) (165,584) (2,793,783) (1,648,047) (1,996,899) (240,555) (1,879,425) (186,423) (214,635) (35,779) (719,677) (15,641) (2,193) (67,222) $ (10,052,316)
$
Units
$
$
Net change (82,689) (152,915) (2,585,065) (1,471,403) (1,866,166) (223,449) (1,689,049) (171,859) (193,208) (22,779) 5,690,446 92,723 (1,817) (61,599) (2,738,829)
Purchases 249 781 13,648 11,335 8,401 1,219 12,391 1,179 1,685 1,257 602,450 10,742 31 508 665,876
Redemptions (5,501) (9,757) (177,111) (101,786) (125,268) (16,583) (118,568) (15,307) (16,607) (3,237) (68,041) (1,445) (174) (5,945) (665,330)
The accompanying notes are an integral part of these financial statements. -583-
Net change (5,252) (8,976) (163,463) (90,451) (116,867) (15,364) (106,177) (14,128) (14,922) (1,980) 534,409 9,297 (143) (5,437) 546
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Moderate Growth Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class O (e) Class R1 Class R8 (g) Class S (b) Class U (f)
NAV per Unit, Beginning of Period $ 14.0792 15.2123 14.3481 14.5520 14.5967 13.1651 14.4006 11.5216 11.8365 9.9299 9.4728 10.0000 11.2973 10.3383
Net Investment Income (Loss)(a) $ 0.2175 0.3051 0.3541 0.4278 0.4978 0.5058 0.6214 0.6005 0.2005 0.2314 0.0976 0.4445 0.3099 0.3626
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4565 1.4766 1.3433 1.2973 1.1507 0.9814 1.0084 0.6062 0.9958 0.9319 1.1568 0.5904 0.9808 0.6106
Total from Investment Activities $ 1.6740 1.7817 1.6974 1.7251 1.6485 1.4872 1.6298 1.2067 1.1963 1.1633 1.2544 1.0349 1.2907 0.9732
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.7272 11.0349 -
Total Return 11.89 11.71 11.83 11.85 11.29 11.30 11.32 10.47 10.11 11.72 13.24 10.35 11.42 9.41
% % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.09)% (1.26)% (1.42)% (1.60)% (1.94)% (0.63)% (0.86)% (0.38)% (1.65)% (1.02)% (1.31)%
Net Investment Income (Loss) 1.46 % 1.89 % 2.33 % 2.78 % 3.23 % 3.64 % 4.08 % 4.95 % 1.61 % 2.20 % 0.97 % 4.23 % 2.59 % 3.35 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -584-
FMT/Touchstone Ultra Short Duration Fixed Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$
883,878 1,428 885,306
Liabilities 507
Fees payable $
Net assets
884,799
Components of net assets
Class R1 Class R4 Class R6
Units of Participation 75,916 4,484 7,999
NAV per Unit $ 9.9979 $ 10.0826 $ 10.0745
$
$
The accompanying notes are an integral part of these financial statements. -585-
Net Assets 758,998 45,213 80,588 884,799
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
12,562
10,586 1,200 351 12,137
Net investment income
425
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
335,463 332,710
Net realized gain from investments sold
2,753
Change in net unrealized appreciation (depreciation) on investments
5,929
Net realized and unrealized gain on investments
8,682
Other operating credits (charges)
3,365
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -586-
12,472
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
425
Net realized gain from investments sold
2,753
Change in net unrealized appreciation (depreciation) on investments
5,929
Other operating credits (charges)
3,365 12,472
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
1,138,054 1,278,518 (140,464)
Decrease in net assets from participant transactions Total decrease in net assets
(127,992) 1,012,791
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -587-
884,799
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (99.9%) Touchstone Ultra Short Duration Fixed Income Fund (Cost $877,276)
92,650
Fair Value
$
883,878
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Short Duration Bond
$
Level 1
883,878 $
883,878 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $196,947 and $335,463, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -588-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class O Class R1 Class R4 Class R6
$
$
Purchases 2,454 13,200 18,623 21,694 10,833 25,528 19,072 60,467 782 761,348 44,887 159,166 1,138,054
Redemptions (87,067) (178,040) (266,451) (66,574) (136,034) (189,839) (193,158) (63,040) (17,136) (2,103) (79,076) $ (1,278,518)
$
Units
$
$
Net change (84,613) (164,840) (247,828) (44,880) (125,201) (164,311) (174,086) (2,573) (16,354) 759,245 44,887 80,090 (140,464)
Purchases 200 1,095 1,571 1,847 937 2,537 1,700 5,443 71 76,126 4,484 15,880 111,891
Redemptions (7,050) (14,638) (22,471) (5,634) (11,757) (18,826) (17,182) (5,674) (1,546) (210) (7,881) (112,869)
The accompanying notes are an integral part of these financial statements. -589-
Net change (6,850) (13,543) (20,900) (3,787) (10,820) (16,289) (15,482) (231) (1,475) 75,916 4,484 7,999 (978)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Ultra Short Duration Fixed Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A(b) Class B(b) Class C(c) Class D(d) Class E(e) Class F(c) Class G(d) Class I(b) Class O(e) Class R1(f) Class R4(g) Class R6(h)
NAV per Unit, Beginning of Period $ 12.1666 11.9660 11.7141 11.6610 11.4859 9.9910 11.1560 11.0428 10.9150 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.0237 0.0302 0.0364 0.0431 0.0495 0.0484 0.0607 0.0710 0.0320 0.0007 0.0261 0.0419
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1959 0.1663 0.1378 0.1132 0.0865 0.0516 0.0344 (0.0116) 0.1391 (0.0028) 0.0565 0.0326
Total from Investment Activities $ 0.2196 0.1965 0.1742 0.1563 0.1360 0.1000 0.0951 0.0594 0.1711 (0.0021) 0.0826 0.0745
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.9979 10.0826 10.0745
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
Total Return 1.80 % 1.64 % 1.49 % 1.34 % 1.18 % 1.00 % 0.85 % 0.54 % 1.57 % (0.02)% 0.83 % 0.75 %
Net Expenses (0.62)% (0.80)% (0.99)% (1.18)% (1.37)% (1.54)% (1.73)% (2.05)% (0.93)% (0.02)% (0.83)% (1.34)%
Net Investment Income (Loss) 0.19 % 0.25 % 0.31 % 0.37 % 0.43 % 0.48 % 0.54 % 0.64 % 0.29 % 0.01 % 0.26 % 0.42 %
(f) For the period from December 11, 2012 (commencement of this class) through December 31, 2012 (g)
For the period from March 16, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -590-
FMT/Touchstone Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,800,733
Liabilities 978
Fees payable $
Net assets
1,799,755
Components of net assets
Class R1 Class R4 Class R5
Units of Participation 155,819 7,418 10,758
NAV per Unit $ 10.3703 $ 10.0577 $ 10.1551
$
$
The accompanying notes are an integral part of these financial statements. -591-
Net Assets 1,615,897 74,613 109,245 1,799,755
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
80,979
15,988 1,200 568 17,756
Net investment income
63,223
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
983,477 1,009,608
Net realized loss from investments sold
(26,131)
Change in net unrealized appreciation (depreciation) on investments
154,654
Net realized and unrealized gain on investments
128,523
Other operating credits (charges)
5,192
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -592-
196,938
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
63,223
Net realized loss from investments sold
(26,131)
Change in net unrealized appreciation (depreciation) on investments
154,654 5,192
Other operating credits (charges)
196,938
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,801,339 2,707,870 93,469
Increase in net assets from participant transactions Total increase in net assets
290,407 1,509,348
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -593-
1,799,755
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Touchstone Value A Fund (Cost $1,846,778)
256,515
Fair Value $
1,800,733
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
1,800,733
$
1,800,733
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,144,932 and $983,477, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -594-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class N Class O Class R1 Class R4 Class R5 Class S Class T
$
$
Purchases 2,203 136,143 215,695 179,376 130,296 1,897 10,685 100,085 13,179 1,621,148 76,840 108,290 202,188 3,314 2,801,339
Redemptions (40,441) (168,842) (501,882) (822,880) (363,388) (55,861) (178,178) (98,657) (13,256) (9,153) (2,700) (1,074) (353,314) (98,244) $ (2,707,870)
$
Units
$
$
Net change (38,238) (32,699) (286,187) (643,504) (233,092) (53,964) (167,493) 1,428 (77) 1,611,995 74,140 107,216 (151,126) (94,930) 93,469
Purchases 136 8,708 13,861 10,378 8,713 138 749 10,007 1,318 156,242 7,683 10,863 16,304 295 245,395
Redemptions (2,567) (10,822) (32,324) (47,374) (24,246) (4,006) (12,445) (10,007) (1,318) (853) (265) (105) (28,306) (8,440) (183,078)
The accompanying notes are an integral part of these financial statements. -595-
Net change (2,431) (2,114) (18,463) (36,996) (15,533) (3,868) (11,696) 155,389 7,418 10,758 (12,002) (8,145) 62,317
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Touchstone Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class N (f) Class O (g) Class R1 (h) Class R1 (i) Class R4 (j) Class R5 (k) Class S (b) Class T (l)
NAV per Unit, Beginning of Period $ 13.9967 13.6882 13.6683 15.3538 13.2140 12.9454 12.9435 10.0000 10.0000 9.8968 10.0000 10.0000 10.0000 10.9135 10.3082
Net Investment Income (Loss)(a) $ 0.3523 0.4576 0.5562 0.7368 0.7394 0.8035 0.9109 0.0602 0.0950 0.0979 0.0550 0.1206 0.3542 0.4877 0.1180
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.8104 1.6329 1.5285 1.6022 1.1861 1.1020 0.9893 (0.2019) (0.0373) 0.9889 0.3153 (0.0629) (0.1991) 1.1481 1.2216
Total from Investment Activities $ 2.1627 2.0905 2.0847 2.3390 1.9255 1.9055 1.9002 (0.1417) 0.0577 1.0868 0.3703 0.0577 0.1551 1.6358 1.3396
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3703 10.0577 10.1551 -
Total Return 15.45 % 15.27 % 15.25 % 15.23 % 14.57 % 14.72 % 14.68 % (1.42)% 0.58 % 10.98 % 3.70 % 0.58 % 1.55 % 14.99 % 13.00 %
Net Expenses (0.61)% (0.81)% (0.98)% (1.16)% (1.35)% (1.50)% (1.70)% (0.16)% (0.25)% (0.24)% (0.14)% (0.31)% (0.91)% (1.08)% (0.28)%
Net Investment Income (Loss) 2.34 % 3.11 % 3.78 % 4.46 % 5.22 % 5.78 % 6.56 % 0.61 % 0.95 % 0.94 % 0.54 % 1.20 % 3.51 % 4.16 % 1.07 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from September 10, 2012 (commencement of this class) through November 27, 2012
(g)
For the period from September 10, 2012 (commencement of this class) through December 13, 2012
(h)
For the period from January 1, 2012 through August 14, 2012
(i)
For the period from August 29, 2012 (recommencement of this class) through December 31, 2012
(j)
For the period from September 10, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from March 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through March 19, 2012
The accompanying notes are an integral part of these financial statements. -596-
FMT/Vanguard 500 Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 100,604,194
Liabilities 63,573
Fees payable
$ 100,540,621
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 3,019,116 972,137 1,565,868 853,293 992,021 373,728 285,896 162,988
$ $ $ $ $ $ $ $
NAV per Unit 13.0484 11.8929 11.5121 11.5041 12.1089 12.0867 11.8258 11.2348
$
$
The accompanying notes are an integral part of these financial statements. -597-
Net Assets 39,394,755 11,561,492 18,026,423 9,816,410 12,012,297 4,517,154 3,380,955 1,831,135 100,540,621
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
2,168,029
906,629 33,126 1,200 940,955
Net investment income
1,227,074
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
15,802,666 15,129,466
Net realized gain from investments sold
673,200
Change in net unrealized appreciation (depreciation) on investments
11,082,013
Net realized and unrealized gain on investments
11,755,213
Net increase in net assets resulting from operations
$ 12,982,287
The accompanying notes are an integral part of these financial statements. -598-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,227,074
Net realized gain from investments sold
673,200
Change in net unrealized appreciation (depreciation) on investments
11,082,013
Net increase in net assets resulting from operations
12,982,287
Participant transactions Proceeds from units purchased Less payments for units redeemed
123,064,768 123,648,944 (584,176)
Decrease in net assets from participant transactions Total increase in net assets
12,398,111
Net assets at beginning of year
88,142,510 $ 100,540,621
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -599-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard 500 Index Signal Fund (Cost $93,555,591)
Shares
Fair Value
927,057
$100,604,194
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Core
Total
Level 1
$100,604,194
$100,604,194
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $16,434,802 and $15,802,666, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -600-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 832,378 524,319 1,197,841 1,640,968 1,235,924 1,455,586 460,536 43,120 243,677 97,393 49,613 41,631 278,378 3,183,321 134,050 173,806 39,149,850 18,077,505 18,504,937 10,986,395 11,351,824 6,696,993 4,013,572 1,998,849 247,694 259,509 185,099 123,064,768
Redemptions (10,670,276) (9,905,004) (13,218,167) (16,577,557) (10,066,390) (8,331,182) (5,032,943) (343,421) (2,244,340) (651,903) (507,453) (563,348) (3,284,650) (11,209,435) (631,291) (1,948,945) (1,480,467) (9,227,371) (1,865,960) (2,537,395) (2,214,784) (2,944,856) (988,175) (290,900) (2,178,729) (2,652,872) (2,081,130) $ (123,648,944)
$
Units
$
$
Net change (9,837,898) (9,380,685) (12,020,326) (14,936,589) (8,830,466) (6,875,596) (4,572,407) (300,301) (2,000,663) (554,510) (457,840) (521,717) (3,006,272) (8,026,114) (497,241) (1,775,139) 37,669,383 8,850,134 16,638,977 8,449,000 9,137,040 3,752,137 3,025,397 1,707,949 (1,931,035) (2,393,363) (1,896,031) (584,176)
Purchases 48,261 29,426 67,362 96,977 74,320 88,496 30,184 3,452 19,877 8,956 4,313 3,808 24,694 311,777 12,208 13,196 3,030,699 1,635,094 1,712,655 1,028,935 1,003,579 594,322 367,997 189,668 18,954 20,045 14,540 10,453,795
Redemptions (628,266) (552,405) (736,397) (982,568) (611,890) (518,451) (324,802) (27,152) (180,577) (58,763) (43,054) (51,011) (281,195) (1,039,231) (58,260) (150,776) (115,383) (789,884) (167,943) (229,927) (189,613) (247,357) (87,936) (26,680) (168,588) (203,013) (161,268) (8,632,390)
The accompanying notes are an integral part of these financial statements. -601-
Net change (580,005) (522,979) (669,035) (885,591) (537,570) (429,955) (294,618) (23,700) (160,700) (49,807) (38,741) (47,203) (256,501) (727,454) (46,052) (137,580) 2,915,316 845,210 1,544,712 799,008 813,966 346,965 280,061 162,988 (149,634) (182,968) (146,728) 1,821,405
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard 500 Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (g) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 16.2724 16.6664 16.4126 15.6026 15.2597 14.9614 14.0529 11.3905 11.2209 9.9299 10.4369 9.8078 10.4466 9.6809 9.6010 12.0981 11.2944 10.3167 10.0033 10.0133 10.5575 10.5560 10.3457 10.0000 11.8115 11.9717 11.8093
Net Investment Income (Loss)(a) $ 0.1298 0.1719 0.2087 0.2370 0.2674 0.2961 0.3141 0.2696 0.3021 0.2911 0.0564 0.0597 0.0912 0.1166 0.0650 0.1351 0.0614 0.0881 0.1114 0.1370 0.1711 0.1976 0.2200 0.2325 0.1652 0.1933 0.2144
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.2379 2.2227 2.2420 2.0770 1.8623 1.8559 1.6927 1.0571 1.1678 0.9918 1.3030 1.2128 1.2430 1.2763 1.1758 1.1920 1.6926 1.4881 1.3974 1.3538 1.3803 1.3331 1.2601 1.0023 1.4990 1.5731 1.2099
Total from Investment Activities $ 2.3677 2.3946 2.4507 2.3140 2.1297 2.1520 2.0068 1.3267 1.4699 1.2829 1.3594 1.2725 1.3342 1.3929 1.2408 1.3271 1.7540 1.5762 1.5088 1.4908 1.5514 1.5307 1.4801 1.2348 1.6642 1.7664 1.4243
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.0484 11.8929 11.5121 11.5041 12.1089 12.0867 11.8258 11.2348 -
Total Return 14.55 14.37 14.93 14.83 13.96 14.38 14.28 11.65 13.10 12.92 13.02 12.97 12.77 14.39 12.92 10.97 15.53 15.28 15.08 14.89 14.69 14.50 14.31 12.35 14.09 14.75 12.06
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.91)% (1.08)% (1.26)% (1.42)% (1.60)% (1.72)% (1.94)% (2.11)% (0.39)% (0.44)% (0.63)% (0.86)% (0.49)% (0.81)% (0.39)% (0.61)% (0.79)% (0.98)% (1.16)% (1.34)% (1.52)% (1.68)% (1.00)% (1.15)% (1.31)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -602-
Net Investment Income (Loss) 0.74 % 0.96 % 1.18 % 1.41 % 1.64 % 1.85 % 2.09 % 2.24 % 2.53 % 2.75 % 0.51 % 0.57 % 0.82 % 1.12 % 0.64 % 1.06 % 0.50 % 0.79 % 1.04 % 1.27 % 1.51 % 1.75 % 1.98 % 2.19 % 1.31 % 1.50 % 1.71 %
FMT/Vanguard Balanced Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 14,250,375
Liabilities 8,208
Fees payable
$ 14,242,167
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 579,819 273,422 225,985 45,040 53,039 48,360 44,415 46,549
NAV per Unit $ 10.3912 $ 11.3704 $ 10.9629 $ 11.2506 $ 11.1269 $ 11.0100 $ 11.0100 $ 11.0079
Net Assets $ 6,025,043 3,108,923 2,477,445 506,730 590,157 532,447 489,016 512,406 $ 14,242,167
The accompanying notes are an integral part of these financial statements. -603-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
312,636
121,351 4,909 1,200 127,460
Net investment income
185,176
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
5,156,698 4,935,220
Net realized gain from investments sold
221,478
Change in net unrealized appreciation (depreciation) on investments
1,021,571
Net realized and unrealized gain on investments
1,243,049
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -604-
1,428,225
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
185,176 221,478
Change in net unrealized appreciation (depreciation) on investments
1,021,571
Net increase in net assets resulting from operations
1,428,225
Participant transactions Proceeds from units purchased Less payments for units redeemed
15,136,728 16,043,179 (906,451)
Decrease in net assets from participant transactions Total increase in net assets
521,774 13,720,393
Net assets at beginning of year
$ 14,242,167
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -605-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Balanced Index Signal Fund (Cost $13,318,524)
Shares
Fair Value
606,141
$ 14,250,375
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - US Moderate Balanced
Total
Level 1
$ 14,250,375
$ 14,250,375
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,433,616 and $5,156,698, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -606-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 251,588 1,214,635 303,039 129,440 507,381 169,674 83,503 40,183 31,351 46,378 12,057 31,595 32,748 1,859 5,590 6,077,069 1,008,334 2,623,784 525,392 462,184 563,118 448,126 502,017 44,563 4,741 16,379 15,136,728
Redemptions (1,408,919) (4,776,819) (899,665) (670,070) (1,273,860) (881,683) (924,062) (346,088) (442,929) (179,347) (32,298) (1,317,526) (309,036) (46,323) (135,742) (213,491) (708,397) (267,348) (142,769) (40,270) (73,658) (18,942) (31,919) (702,745) (14,321) (184,952) $ (16,043,179)
$
Units
$
$
Net change (1,157,331) (3,562,184) (596,626) (540,630) (766,479) (712,009) (840,559) (305,905) (411,578) (132,969) (20,241) (1,285,931) (276,288) (44,464) (130,152) 5,863,578 299,937 2,356,436 382,623 421,914 489,460 429,184 470,098 (658,182) (9,580) (168,573) (906,451)
Purchases 19,643 91,609 20,422 8,679 33,768 11,115 5,811 3,329 2,328 3,959 811 2,565 2,775 171 479 600,807 94,338 251,374 48,171 43,055 54,982 42,927 48,357 3,628 375 1,386 1,396,864
Redemptions (107,618) (355,341) (59,426) (44,195) (83,730) (57,861) (64,109) (29,047) (32,775) (15,274) (2,118) (105,266) (26,266) (4,184) (11,383) (20,988) (64,788) (25,389) (13,003) (3,744) (6,918) (1,757) (2,962) (56,790) (1,101) (15,338) (1,211,371)
The accompanying notes are an integral part of these financial statements. -607-
Net change (87,975) (263,732) (39,004) (35,516) (49,962) (46,746) (58,298) (25,718) (30,447) (11,315) (1,307) (102,701) (23,491) (4,013) (10,904) 579,819 29,550 225,985 35,168 39,311 48,064 41,170 45,395 (53,162) (726) (13,952) 185,493
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Balanced Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (f) Class N (g) Class N (h) Class O (e) Class P (f) Class Q (i) Class R1 (j) Class R2 Class R3 (k) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.2976 12.7715 14.0121 14.0096 14.5200 14.3638 13.4869 11.3814 12.7498 11.0814 13.9442 11.9551 10.0000 10.9839 10.1266 11.5143 10.0000 10.2559 10.0000 10.1822 10.0874 9.9983 10.0153 10.0303 11.5812 11.8187 11.1120
Net Investment Income (Loss)(a) $ 0.1082 0.1443 0.1958 0.2317 0.2808 0.3121 0.3310 0.2924 0.3723 0.3554 0.0931 0.0464 0.0336 0.1435 0.0750 0.0098 0.0385 0.0956 0.1187 0.1536 0.1797 0.2031 0.2336 0.2597 0.1766 0.2104 0.2208
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1728 1.1639 1.2668 1.1926 1.1089 1.1115 0.9690 0.6293 0.7792 0.6247 1.2157 0.5182 0.1046 0.9534 0.8704 0.4004 0.3527 1.0189 0.8442 0.9148 0.8598 0.8086 0.7611 0.7179 0.9788 0.9827 0.7238
Total from Investment Activities $ 1.2810 1.3082 1.4626 1.4243 1.3897 1.4236 1.3000 0.9217 1.1515 0.9801 1.3088 0.5646 0.1382 1.0969 0.9454 0.4102 0.3912 1.1145 0.9629 1.0684 1.0395 1.0117 0.9947 0.9776 1.1554 1.1931 0.9446
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3912 11.3704 10.9629 11.2506 11.1269 11.0100 11.0100 11.0079 -
Total Return 10.42 10.24 10.44 10.17 9.57 9.91 9.64 8.10 9.03 8.84 9.39 4.72 1.38 9.99 9.34 3.56 3.91 10.87 9.63 10.49 10.30 10.12 9.93 9.75 9.98 10.10 8.50
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 15, 2012
(h)
For the period from July 31, 2012 (recommencement of this class) through November 27, 2012
(i)
For the period from January 1, 2012 through January 25, 2012
(j)
For the period from April 19, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.58)% (0.74)% (0.91)% (1.08)% (1.27)% (1.42)% (1.61)% (1.70)% (1.92)% (2.11)% (0.44)% (0.26)% (0.23)% (0.86)% (0.49)% (0.06)% (0.26)% (0.61)% (0.78)% (0.99)% (1.17)% (1.33)% (1.53)% (1.70)% (1.00)% (1.17)% (1.31)%
The accompanying notes are an integral part of these financial statements. -608-
Net Investment Income (Loss) 0.84 % 1.07 % 1.33 % 1.57 % 1.85 % 2.07 % 2.34 % 2.47 % 2.79 % 3.07 % 0.64 % 0.38 % 0.33 % 1.24 % 0.71 % 0.08 % 0.38 % 0.88 % 1.13 % 1.43 % 1.69 % 1.93 % 2.22 % 2.47 % 1.45 % 1.69 % 1.91 %
FMT/Vanguard GNMA Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$ 33,894,324 62,739 33,957,063
Liabilities 22,050
Fees payable
$ 33,935,013
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 845,385 567,080 585,636 342,100 354,329 158,206 87,379 91,366
$ $ $ $ $ $ $ $
NAV per Unit 13.8801 10.1793 10.1487 10.1780 10.1603 10.0900 10.1232 10.0937
$
$
The accompanying notes are an integral part of these financial statements. -609-
Net Assets 11,734,031 5,772,457 5,943,468 3,481,906 3,600,085 1,596,298 884,553 922,215 33,935,013
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,317,220
319,278 12,262 1,200 332,740
Net investment income
984,480
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
7,941,998 7,707,838
Net realized gain from investments sold
234,160
Change in net unrealized appreciation (depreciation) on investments
(735,750)
Net realized and unrealized loss on investments
(501,590)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -610-
482,890
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
984,480 234,160 (735,750)
Change in net unrealized appreciation (depreciation) on investments
482,890
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
44,089,960 44,591,859 (501,899)
Decrease in net assets from participant transactions Total decrease in net assets
(19,009) 33,954,022
Net assets at beginning of year
$ 33,935,013
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -611-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (99.9%) Vanguard GNMA Investor Class Fund (Cost $33,383,709)
Shares
Fair Value
3,106,721
$ 33,894,324
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Government Bond
Total
Level 1
$ 33,894,324
$ 33,894,324
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $8,445,965 and $7,941,998, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -612-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 225,077 380,979 1,151,544 549,702 704,574 808,753 326,916 35,699 123,899 33,840 98,972 13,750 281,471 1,282,581 8,805 12,547,365 6,352,477 6,885,209 3,834,937 3,082,626 3,235,447 970,679 1,006,995 75,992 63,145 8,526 44,089,960
Redemptions (5,341,462) (3,054,450) (6,560,373) (4,075,103) (4,032,876) (2,221,077) (1,994,660) (318,997) (533,207) (64,425) (409,212) (291,672) (2,562,588) (2,470,375) (48,122) (1,226,123) (2,277,128) (982,859) (503,128) (972,934) (1,647,672) (153,097) (240,323) (1,279,781) (917,399) (412,816) $ (44,591,859)
$
Units
$
$
Net change (5,116,385) (2,673,471) (5,408,829) (3,525,401) (3,328,302) (1,412,324) (1,667,744) (283,298) (409,308) (30,585) (310,240) (277,922) (2,281,117) (1,187,794) (39,317) 11,321,242 4,075,349 5,902,350 3,331,809 2,109,692 1,587,775 817,582 766,672 (1,203,789) (854,254) (404,290) (501,899)
Purchases 15,238 25,736 79,591 37,672 50,066 56,590 23,957 3,230 9,434 2,632 9,765 1,238 23,709 102,138 827 905,124 629,173 682,730 379,166 304,958 321,624 96,159 100,193 6,757 5,613 756 3,874,076
Redemptions (359,985) (205,981) (451,998) (279,401) (285,799) (155,555) (146,391) (28,929) (40,675) (5,017) (40,102) (26,137) (214,398) (195,718) (4,484) (88,464) (224,201) (97,094) (49,468) (95,893) (163,418) (15,090) (23,769) (113,284) (81,393) (36,716) (3,429,360)
The accompanying notes are an integral part of these financial statements. -613-
Net change (344,747) (180,245) (372,407) (241,729) (235,733) (98,965) (122,434) (25,699) (31,241) (2,385) (30,337) (24,899) (190,689) (93,580) (3,657) 816,660 404,972 585,636 329,698 209,065 158,206 81,069 76,424 (106,527) (75,780) (35,960) 444,716
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard GNMA Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 Class R6 (h) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 14.7049 14.7043 14.3819 14.4898 14.0078 14.1691 13.5656 10.9734 13.0646 12.8058 10.0743 10.9829 11.7945 12.5276 10.5655 13.6147 10.0065 10.0000 10.0394 10.0389 10.0000 10.0363 10.0240 11.1842 11.1808 11.1917
Net Investment Income (Loss)(a) $ 0.2469 0.3193 0.3856 0.4638 0.5198 0.5910 0.6355 0.5408 0.7386 0.7845 0.1143 0.1399 0.2170 0.3152 0.2489 0.1516 0.1779 0.2250 0.2848 0.3373 0.3786 0.4424 0.4942 0.3279 0.3796 0.4283
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0028 (0.0932) (0.1740) (0.2868) (0.3835) (0.4514) (0.5358) (0.4889) (0.6854) (0.7530) 0.0580 0.0428 (0.0425) (0.1452) (0.0823) 0.1138 (0.0051) (0.0763) (0.1462) (0.2159) (0.2886) (0.3555) (0.4245) (0.1835) (0.2505) (0.3345)
Total from Investment Activities $ 0.2497 0.2261 0.2116 0.1770 0.1363 0.1396 0.0997 0.0519 0.0532 0.0315 0.1723 0.1827 0.1745 0.1700 0.1666 0.2654 0.1728 0.1487 0.1386 0.1214 0.0900 0.0869 0.0697 0.1444 0.1291 0.0938
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.8801 10.1793 10.1487 10.1780 10.1603 10.0900 10.1232 10.0937 -
Total Return 1.70 1.54 1.47 1.22 0.97 0.99 0.73 0.47 0.41 0.25 1.71 1.66 1.48 1.36 1.58 1.95 1.73 1.49 1.38 1.21 0.90 0.87 0.70 1.29 1.15 0.84
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.08)% (1.25)% (1.40)% (1.58)% (1.66)% (1.91)% (2.07)% (0.38)% (0.43)% (0.62)% (0.84)% (0.79)% (0.37)% (0.60)% (0.75)% (0.95)% (1.13)% (1.27)% (1.48)% (1.66)% (0.98)% (1.14)% (1.29)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 to December 10, 2012
(c)
For the period from January 1, 2012 to December 11, 2012
(d)
For the period from January 1, 2012 to December 12, 2012
(e)
For the period from January 1, 2012 to December 13, 2012
(f)
For the period from January 1, 2012 to November 27, 2012
(g)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -614-
Net Investment Income (Loss) 1.66 % 2.15 % 2.66 % 3.18 % 3.69 % 4.15 % 4.67 % 4.92 % 5.64 % 6.12 % 1.12 % 1.26 % 1.83 % 2.50 % 2.34 % 1.10 % 1.76 % 2.23 % 2.82 % 3.34 % 3.77 % 4.39 % 4.91 % 2.91 % 3.38 % 3.81 %
FMT/Vanguard Growth Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 16,348,664
Liabilities 9,759
Fees payable
$ 16,338,905
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 417,291 176,305 291,955 247,273 48,808 56,968 14,948 25,367
NAV per Unit $ 15.4892 $ 11.5633 $ 11.2833 $ 11.4165 $ 11.9641 $ 11.9421 $ 11.4569 $ 11.1953
Net Assets $ 6,463,498 2,038,680 3,294,235 2,822,986 583,948 680,314 171,255 283,989 $ 16,338,905
The accompanying notes are an integral part of these financial statements. -615-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
237,350
133,364 5,039 1,200 139,603
Net investment income
97,747
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,564,242 2,401,342
Net realized gain from investments sold
162,900
Change in net unrealized appreciation (depreciation) on investments
1,809,488
Net realized and unrealized gain on investments
1,972,388
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -616-
2,070,135
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
97,747 162,900
Change in net unrealized appreciation (depreciation) on investments
1,809,488
Net increase in net assets resulting from operations
2,070,135
Participant transactions Proceeds from units purchased Less payments for units redeemed
19,945,572 18,146,412 1,799,160
Increase in net assets from participant transactions Total increase in net assets
3,869,295 12,469,610
Net assets at beginning of year
$ 16,338,905
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -617-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Growth Index Signal Fund (Cost $14,920,477)
Shares
Fair Value
481,835
$ 16,348,664
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Large Cap Growth
Total
Level 1
$ 16,348,664
$ 16,348,664
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,460,856 and $2,564,242, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -618-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 418,835 73,688 261,845 184,157 245,880 250,387 12,172 6,496 22,170 887 627,034 128,411 20,422 293,767 5,980,132 2,083,407 3,296,550 2,640,306 651,670 1,972,284 327,114 340,511 33,197 32,675 41,575 19,945,572
Redemptions (2,820,359) (1,194,305) (2,789,413) (795,989) (3,038,964) (830,827) (338,356) (113,966) (394,589) (8,719) (760,909) (171,779) (743,072) (345,593) (169,669) (447,179) (113,086) (522,542) (116,664) (1,596,999) (270,791) (74,266) (147,632) (273,015) (67,729) $ (18,146,412)
$
Units
$
$
Net change (2,401,524) (1,120,617) (2,527,568) (611,832) (2,793,084) (580,440) (326,184) (107,470) (372,419) (7,832) (133,875) (43,368) (722,650) (51,826) 5,810,463 1,636,228 3,183,464 2,117,764 535,006 375,285 56,323 266,245 (114,435) (240,340) (26,154) 1,799,160
Purchases 27,204 4,649 15,135 10,999 16,032 15,429 839 496 1,630 81 62,554 13,094 1,726 28,807 389,491 195,394 302,416 241,858 57,535 176,624 30,063 32,300 2,708 2,795 3,186 1,633,045
Redemptions (189,466) (73,775) (158,941) (47,531) (196,420) (51,011) (22,767) (8,964) (29,395) (800) (70,746) (17,087) (64,248) (30,983) (11,084) (39,183) (10,461) (48,045) (10,229) (133,768) (24,721) (6,933) (11,670) (22,419) (5,246) (1,285,893)
The accompanying notes are an integral part of these financial statements. -619-
Net change (162,262) (69,126) (143,806) (36,532) (180,388) (35,582) (21,928) (8,468) (27,765) (719) (8,192) (3,993) (62,522) (2,176) 378,407 156,211 291,955 193,813 47,306 42,856 5,342 25,367 (8,962) (19,624) (2,060) 347,152
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Growth Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class L (h) Class N (i) Class N (j) Class O (e) Class P (k) Class R1 Class R2 Class R3 (l) Class R4 Class R5 Class R6 Class R7 Class R8 (m) Class S (b) Class T (d) Class U (n)
NAV per Unit, Beginning of Period $ 13.6171 14.4668 15.7363 15.0601 14.0190 14.4198 13.5039 11.8388 12.3902 10.0065 10.6552 10.0000 11.8427 10.0000 10.7269 9.7188 13.2888 9.9424 10.0000 9.8493 10.3393 10.3377 9.9343 10.0000 11.1102 10.5589 11.8104
Net Investment Income (Loss)(a) $ 0.0598 0.0823 0.1101 0.1261 0.1358 0.1580 0.1652 0.0656 0.1827 0.1617 0.0149 0.0129 0.0014 0.0090 0.0711 0.0365 0.0393 0.0470 0.0586 0.0741 0.0926 0.1061 0.1152 0.1229 0.0857 0.0943 0.1111
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.0723 2.1562 2.4188 2.2458 1.9511 2.0798 1.8865 0.8092 1.5763 1.2407 0.7765 0.6531 0.2340 (0.4520) 1.5721 1.3985 2.1611 1.5739 1.2247 1.4931 1.5322 1.4983 1.4074 1.0724 1.6024 1.5605 1.3753
Total from Investment Activities $ 2.1321 2.2385 2.5289 2.3719 2.0869 2.2378 2.0517 0.8748 1.7590 1.4024 0.7914 0.6660 0.2354 (0.4430) 1.6432 1.4350 2.2004 1.6209 1.2833 1.5672 1.6248 1.6044 1.5226 1.1953 1.6881 1.6548 1.4864
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.4892 11.5633 11.2833 11.4165 11.9641 11.9421 11.4569 11.1953 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through May 22, 2012
(g)
For the period from January 1, 2012 through June 7, 2012
(h)
For the period from June 28, 2012 (recommencement of this class) through November 26, 2012
(i)
For the period from January 1, 2012 through January 9, 2012
(j)
For the period from September 18, 2012 (recommencement of this class) through November 27, 2012
(k)
For the period from January 1, 2012 through November 27, 2012
(l)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through November 7, 2012
Total Return 15.66 % 15.47 % 16.07 % 15.75 % 14.89 % 15.52 % 15.19 % 7.39 % 14.20 % 14.01 % 7.43 % 6.66 % 1.99 % (4.43)% 15.32 % 14.77 % 16.56 % 16.30 % 12.83 % 15.91 % 15.71 % 15.52 % 15.33 % 11.95 % 15.19 % 15.67 % 12.59 %
Net Expenses (0.58)% (0.75)% (0.93)% (1.11)% (1.29)% (1.45)% (1.62)% (0.76)% (1.97)% (2.16)% (0.19)% (0.18)% (0.02)% (0.13)% (0.88)% (0.50)% (0.39)% (0.62)% (0.79)% (1.00)% (1.19)% (1.36)% (1.54)% (1.66)% (1.02)% (1.18)% (1.26)%
The accompanying notes are an integral part of these financial statements. -620-
Net Investment Income (Loss) 0.41 % 0.53 % 0.65 % 0.78 % 0.90 % 1.02 % 1.14 % 0.53 % 1.38 % 1.51 % 0.13 % 0.13 % 0.01 % 0.09 % 0.62 % 0.35 % 0.27 % 0.44 % 0.55 % 0.70 % 0.83 % 0.95 % 1.08 % 1.16 % 0.72 % 0.83 % 0.88 %
FMT/Vanguard Inflation Protected Securities Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 35,534,359
Liabilities 19,821
Fees payable
$ 35,514,538
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,640,654 213,496 281,160 269,279 292,282 82,004 80,489 74,527
NAV per Unit $ 13.3282 $ 10.5839 $ 10.5588 $ 10.5587 $ 10.5562 $ 10.5268 $ 10.5181 $ 10.4756
Net Assets $ 21,867,035 2,259,627 2,968,705 2,843,235 3,085,401 863,233 846,587 780,715 $ 35,514,538
The accompanying notes are an integral part of these financial statements. -621-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,708,487
639,961 27,086 1,200 668,247
Net investment income
1,040,240
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
61,903,058 56,045,813
Net realized gain from investments sold
5,857,245
Change in net unrealized appreciation (depreciation) on investments
(1,928,005)
Net realized and unrealized gain on investments
3,929,240
Other operating credits (charges)
(36)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -622-
4,969,444
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,040,240
Net realized gain from investments sold
5,857,245
Change in net unrealized appreciation (depreciation) on investments
(1,928,005) (36)
Other operating credits (charges)
4,969,444
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
82,768,224 126,994,259
Decrease in net assets from participant transactions Total decrease in net assets
(44,226,035) (39,256,591) 74,771,129
Net assets at beginning of year
$ 35,514,538
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -623-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Inflation Protected Securities Investor Fund (Cost $33,343,901)
Shares
Fair Value
2,445,586
$ 35,534,359
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Treasury Inflation Protected Securities
Total
Level 1
$ 35,534,359
$ 35,534,359
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $18,678,340 and $61,903,058, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -624-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 733,205 304,045 1,204,066 774,539 816,466 208,852 491,383 91,936 94,325 6,347 14,463 23,508 95,837 276,775 21,560 245,404 22,438,337 3,346,954 3,167,930 3,513,881 3,763,814 892,242 859,970 1,118,800 208,626 474,755 44,335 160,287 308,633 2,042,804 1,623,433 734,835 370,308 315,724 10,584 155,200 61,596 10,610 52,035 101,322 1,044,615 19,551 83,573 1,848,422 2,533,888 5,724,925 8,576,581 5,981,395 2,433,137 1,575,631 1,204,258 274,699 189,203 42,465 56,155 82,768,224
Redemptions (2,634,753) (4,195,100) (5,456,463) (3,337,127) (2,479,102) (1,142,011) (1,662,654) (104,727) (243,528) (29,794) (200,866) (436,836) (793,547) (2,425,905) (2,982,949) (518,945) (1,221,935) (1,920,808) (244,820) (950,375) (1,220,554) (134,357) (140,259) (370,771) (1,534,203) (1,417,750) (332,694) (1,568,863) (2,696,377) (8,528,536) (9,329,824) (4,992,076) (3,056,034) (2,238,424) (166,510) (848,841) (535,256) (156,330) (698,913) (1,254,758) (6,348,883) (360,429) (2,063,486) (3,018,651) (5,391,475) (6,220,011) (10,721,345) (7,059,070) (2,773,557) (1,998,494) (1,313,109) (2,377,194) (1,856,212) (492,822) (795,946) $ (126,994,259)
$
Units
$
$
Net change (1,901,548) (3,891,055) (4,252,397) (2,562,588) (1,662,636) (933,159) (1,171,271) (12,791) (149,203) (23,447) (186,403) (413,328) (697,710) (2,149,130) (2,961,389) (273,541) 21,216,402 1,426,146 2,923,110 2,563,506 2,543,260 757,885 719,711 748,029 (1,325,577) (942,995) (288,359) (1,408,576) (2,387,744) (6,485,732) (7,706,391) (4,257,241) (2,685,726) (1,922,700) (155,926) (693,641) (473,660) (145,720) (646,878) (1,153,436) (5,304,268) (340,878) (1,979,913) (1,170,229) (2,857,587) (495,086) (2,144,764) (1,077,675) (340,420) (422,863) (108,851) (2,102,495) (1,667,009) (450,357) (739,791) (44,226,035)
Purchases 58,024 23,583 100,180 64,549 62,685 17,166 39,155 8,313 7,505 499 1,183 1,723 7,508 21,274 1,773 21,055 1,703,411 327,123 304,495 339,281 366,909 86,845 83,471 109,355 17,370 39,870 3,906 3,818,211
Redemptions (207,203) (323,467) (442,738) (273,905) (186,620) (94,095) (130,785) (9,372) (18,890) (2,289) (15,981) (30,869) (61,233) (187,060) (245,004) (44,702) (92,198) (183,141) (23,335) (90,282) (117,180) (13,120) (13,470) (35,692) (124,400) (117,547) (28,841) (3,113,419)
The accompanying notes are an integral part of these financial statements. -625-
Net change (149,179) (299,884) (342,558) (209,356) (123,935) (76,929) (91,630) (1,059) (11,385) (1,790) (14,798) (29,146) (53,725) (165,786) (243,231) (23,647) 1,611,213 143,982 281,160 248,999 249,729 73,725 70,001 73,663 (107,030) (77,677) (24,935) 704,792
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Inflation Protected Securities Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.4615 12.6456 11.7340 11.6855 12.6932 11.7291 12.3137 10.6531 12.3280 12.3643 11.8856 13.3007 12.3675 12.4825 12.0909 11.1420 12.5322 9.9736 10.0000 9.9836 9.9982 9.9872 9.9959 9.9724 11.6262 11.6772 11.0128
Net Investment Income (Loss)(a) $ 0.1195 0.1586 0.1803 0.2135 0.2697 0.2808 0.3298 0.3064 0.3979 0.4353 0.0769 0.0972 0.1296 0.1803 0.1112 0.1525 0.0793 0.1023 0.1307 0.1646 0.1942 0.2244 0.2563 0.2836 0.1960 0.2271 0.2406
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8295 0.7829 0.6397 0.5418 0.4930 0.4789 0.4032 0.2498 0.3727 0.3167 0.6982 0.7638 0.6472 0.6200 0.6652 0.6382 0.7167 0.5080 0.4281 0.4105 0.3638 0.3152 0.2659 0.2196 0.6390 0.5195 0.3773
Total from Investment Activities $ 0.9490 0.9415 0.8200 0.7553 0.7627 0.7597 0.7330 0.5562 0.7706 0.7520 0.7751 0.8610 0.7768 0.8003 0.7764 0.7907 0.7960 0.6103 0.5588 0.5751 0.5580 0.5396 0.5222 0.5032 0.8350 0.7466 0.6179
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.3282 10.5839 10.5588 10.5587 10.5562 10.5268 10.5181 10.4756 -
Total Return 7.62 7.45 6.99 6.46 6.01 6.48 5.95 5.22 6.25 6.08 6.52 6.47 6.28 6.41 6.42 7.10 6.35 6.12 5.59 5.76 5.58 5.40 5.22 5.05 7.18 6.39 5.61
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.59)% (0.78)% (0.95)% (1.14)% (1.33)% (1.49)% (1.67)% (1.80)% (2.01)% (2.20)% (0.40)% (0.45)% (0.65)% (0.90)% (0.57)% (0.85)% (0.39)% (0.64)% (0.82)% (1.03)% (1.21)% (1.41)% (1.61)% (1.78)% (1.05)% (1.21)% (1.37)%
Net Investment Income (Loss) 0.92 % 1.21 % 1.48 % 1.77 % 2.06 % 2.32 % 2.60 % 2.80 % 3.13 % 3.42 % 0.63 % 0.71 % 1.02 % 1.40 % 0.89 % 1.32 % 0.61 % 0.99 % 1.27 % 1.60 % 1.89 % 2.19 % 2.50 % 2.77 % 1.63 % 1.88 % 2.12 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -626-
FMT/Vanguard Mid Cap Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 22,275,905
Liabilities 14,166
Fees payable
$ 22,261,739
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 905,777 49,770 500,992 101,043 129,793 75,997 39,788 81,822
NAV per Unit $ 12.1290 $ 11.4255 $ 11.3808 $ 11.9598 $ 11.9829 $ 11.3433 $ 11.2990 $ 11.3641
Net Assets $ 10,986,198 568,651 5,701,696 1,208,448 1,555,291 862,057 449,559 929,839 $ 22,261,739
The accompanying notes are an integral part of these financial statements. -627-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
315,808
214,067 7,599 1,200 222,866
Net investment income
92,942
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,677,072 4,671,701
Net realized gain from investments sold
5,371
Change in net unrealized appreciation (depreciation) on investments
2,853,352
Net realized and unrealized gain on investments
2,858,723
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -628-
2,951,665
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
92,942 5,371
Change in net unrealized appreciation (depreciation) on investments
2,853,352
Net increase in net assets resulting from operations
2,951,665
Participant transactions Proceeds from units purchased Less payments for units redeemed
27,141,826 27,711,831 (570,005)
Decrease in net assets from participant transactions Total increase in net assets
2,381,660 19,880,079
Net assets at beginning of year
$ 22,261,739
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -629-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Mid Cap Index Signal Fund (Cost $21,511,320)
Shares
Fair Value
692,228
$ 22,275,905
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Mid Cap Core
Total
Level 1
$ 22,275,905
$ 22,275,905
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,196,807 and $4,677,072, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -630-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 76,852 250,829 640,283 451,523 591,203 392,384 168,600 2,803 97,510 24,460 32,583 99,698 126,606 77,679 11,063,275 850,148 5,790,060 1,360,245 1,558,999 1,961,375 452,143 997,070 45,871 23,071 6,556 27,141,826
Redemptions (1,320,688) (4,425,441) (3,600,631) (2,975,140) (4,143,875) (1,905,264) (1,454,954) (85,946) (783,476) (159,940) (514,666) (735,882) (139,124) (502,984) (1,041,468) (445,824) (348,470) (244,653) (338,776) (1,300,160) (78,444) (197,308) (626,503) (295,557) (46,657) $ (27,711,831)
$
Units
$
$
Net change (1,243,836) (4,174,612) (2,960,348) (2,523,617) (3,552,672) (1,512,880) (1,286,354) (83,143) (685,966) (135,480) (482,083) (636,184) (12,518) (425,305) 10,021,807 404,324 5,441,590 1,115,592 1,220,223 661,215 373,699 799,762 (580,632) (272,486) (40,101) (570,005)
Purchases 5,489 14,803 46,691 27,095 38,923 27,868 10,561 214 6,369 2,012 2,536 8,664 10,369 5,639 927,844 80,830 532,132 119,760 137,719 187,452 42,633 92,861 3,339 1,650 601 2,334,054
Redemptions (91,240) (256,615) (256,160) (175,425) (272,063) (133,636) (89,987) (6,542) (51,527) (12,992) (40,609) (61,553) (11,303) (35,529) (88,472) (40,285) (31,964) (21,043) (29,745) (118,718) (7,202) (18,329) (44,637) (20,572) (4,050) (1,920,198)
The accompanying notes are an integral part of these financial statements. -631-
Net change (85,751) (241,812) (209,469) (148,330) (233,140) (105,768) (79,426) (6,328) (45,158) (10,980) (38,073) (52,889) (934) (29,890) 839,372 40,545 500,168 98,717 107,974 68,734 35,431 74,532 (41,298) (18,922) (3,449) 413,856
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Mid Cap Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.1930 15.6017 12.6634 15.2010 13.9984 12.8602 14.5286 12.1880 14.0855 11.1923 11.9119 10.8728 11.0701 12.6065 10.4950 9.9080 9.8860 10.4065 10.4442 9.9036 9.8815 9.9553 12.6826 12.8334 10.5744
Net Investment Income (Loss)(a) $ 0.0336 0.0517 0.0518 0.0738 0.0789 0.0815 0.1035 0.0918 0.1206 0.1048 0.0332 0.0419 0.0238 0.0451 0.0180 0.0268 0.0349 0.0449 0.0535 0.0584 0.0668 0.0749 0.0569 0.0663 0.0619
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7588 2.0398 1.6988 2.0054 1.7174 1.6264 1.8045 1.1204 1.5904 1.2346 1.2834 1.3994 1.2165 1.7128 1.6160 1.4907 1.4599 1.5084 1.4852 1.3813 1.3507 1.3339 1.6081 1.6794 1.0325
Total from Investment Activities $ 1.7924 2.0915 1.7506 2.0792 1.7963 1.7079 1.9080 1.2122 1.7110 1.3394 1.3166 1.4413 1.2403 1.7579 1.6340 1.5175 1.4948 1.5533 1.5387 1.4397 1.4175 1.4088 1.6650 1.7457 1.0944
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.1290 11.4255 11.3808 11.9598 11.9829 11.3433 11.2990 11.3641 -
Total Return 13.59 13.41 13.82 13.68 12.83 13.28 13.13 9.95 12.15 11.97 11.05 13.26 11.20 13.94 15.57 15.32 15.12 14.93 14.73 14.54 14.34 14.15 13.13 13.60 10.35
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.92)% (1.09)% (1.27)% (1.43)% (1.60)% (1.72)% (1.94)% (2.12)% (0.63)% (0.87)% (0.49)% (0.80)% (0.38)% (0.60)% (0.79)% (0.96)% (1.14)% (1.32)% (1.51)% (1.69)% (1.01)% (1.16)% (1.33)%
The accompanying notes are an integral part of these financial statements. -632-
Net Investment Income (Loss) 0.24 % 0.31 % 0.38 % 0.45 % 0.53 % 0.59 % 0.67 % 0.72 % 0.81 % 0.88 % 0.26 % 0.36 % 0.20 % 0.33 % 0.16 % 0.25 % 0.33 % 0.40 % 0.48 % 0.55 % 0.63 % 0.70 % 0.42 % 0.48 % 0.56 %
FMT/Vanguard Selected Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 14,843,281
Liabilities 8,471
Fees payable
$ 14,834,810
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 664,558 129,680 179,369 108,488 146,239 51,691 14,610 24,642
NAV per Unit $ 11.0662 $ 11.8043 $ 10.9945 $ 11.8462 $ 11.5853 $ 10.8866 $ 11.4215 $ 10.9087
Net Assets $ 7,354,140 1,530,788 1,972,073 1,285,166 1,694,223 562,737 166,866 268,817 $ 14,834,810
The accompanying notes are an integral part of these financial statements. -633-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
302,266
116,612 4,672 1,200 122,484
Net investment income
179,782
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
3,015,927 2,574,316
Net realized gain from investments sold
441,611
Change in net unrealized appreciation (depreciation) on investments
1,170,752
Net realized and unrealized gain on investments
1,612,363
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -634-
1,792,145
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
179,782 441,611
Change in net unrealized appreciation (depreciation) on investments
1,170,752
Net increase in net assets resulting from operations
1,792,145
Participant transactions Proceeds from units purchased Less payments for units redeemed
19,489,291 17,697,300 1,791,991
Increase in net assets from participant transactions Total increase in net assets
3,584,136 11,250,674
Net assets at beginning of year
$ 14,834,810
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -635-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Selected Value Investment Fund (Cost $12,454,422)
Shares
Fair Value
707,497
$ 14,843,281
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Mid Cap Value
Total
Level 1
$ 14,843,281
$ 14,843,281
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,988,184 and $3,015,927, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -636-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 6,706 71,886 211,901 194,294 393,335 86,657 105,188 4,384 11,361 2,511 25,199 39,730 28,673 79,613 129,316 7,999,888 3,372,011 2,523,493 1,630,451 1,408,416 578,961 147,103 360,752 12,252 18,273 46,937 19,489,291
Redemptions (2,493,479) (669,541) (2,095,836) (2,091,724) (1,217,629) (474,241) (618,173) (19,028) (103,342) (11,993) (514,398) (551,317) (273,349) (206,878) (510,701) (808,551) (2,885,421) (766,518) (663,158) (280,529) (56,645) (6,622) (115,773) (128,327) (31,785) (102,342) $ (17,697,300)
$
Units
$
$
Net change (2,486,773) (597,655) (1,883,935) (1,897,430) (824,294) (387,584) (512,985) (14,644) (91,981) (9,482) (489,199) (511,587) (244,676) (127,265) (381,385) 7,191,337 486,590 1,756,975 967,293 1,127,887 522,316 140,481 244,979 (116,075) (13,512) (55,405) 1,791,991
Purchases 595 6,565 19,366 18,053 36,844 7,874 9,935 375 1,094 235 1,601 3,268 2,358 8,495 10,271 740,454 317,433 251,323 148,478 129,818 57,020 13,251 35,762 931 1,644 3,621 1,826,664
Redemptions (234,188) (59,499) (190,894) (189,923) (107,757) (43,675) (57,776) (1,590) (9,621) (1,095) (31,448) (45,270) (21,813) (19,899) (42,398) (77,866) (250,453) (71,954) (59,710) (25,673) (5,329) (631) (11,120) (9,422) (2,716) (7,614) (1,579,334)
The accompanying notes are an integral part of these financial statements. -637-
Net change (233,593) (52,934) (171,528) (171,870) (70,913) (35,801) (47,841) (1,215) (8,527) (860) (29,847) (42,002) (19,455) (11,404) (32,127) 662,588 66,980 179,369 88,768 104,145 51,691 12,620 24,642 (8,491) (1,072) (3,993) 247,330
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Selected Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 (i) Class R7 Class R8 (j) Class S (b) Class T (k) Class U (f)
NAV per Unit, Beginning of Period $ 10.4068 10.3305 10.2547 10.1793 10.1047 10.0303 9.9568 11.1110 9.8108 9.7364 14.7073 11.5088 11.4033 9.2648 11.6985 9.6396 10.3052 10.0000 10.3767 10.1654 10.0000 10.0556 10.0000 12.1844 10.7873 12.1343
Net Investment Income (Loss)(a) $ 0.0963 0.1197 0.1463 0.1729 0.1992 0.2229 0.2472 0.2922 0.2933 0.3187 0.0883 0.1111 0.1530 0.0699 0.1465 0.0582 0.0976 0.1147 0.1573 0.1829 0.1927 0.2389 0.2332 0.1913 0.0332 0.2447
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3859 1.3330 1.2934 1.2374 1.1286 1.1307 1.0780 0.9402 0.9622 0.9097 1.7918 1.2941 1.3943 1.0752 1.5114 1.3684 1.4015 0.8798 1.3122 1.2370 0.6939 1.1270 0.6755 1.4883 0.8838 1.1509
Total from Investment Activities $ 1.4822 1.4527 1.4397 1.4103 1.3278 1.3536 1.3252 1.2324 1.2555 1.2284 1.8801 1.4052 1.5473 1.1451 1.6579 1.4266 1.4991 0.9945 1.4695 1.4199 0.8866 1.3659 0.9087 1.6796 0.9170 1.3956
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.0662 11.8043 10.9945 11.8462 11.5853 10.8866 11.4215 10.9087 -
Total Return 14.24 14.06 14.04 13.85 13.14 13.50 13.31 11.09 12.80 12.62 12.78 12.21 13.57 12.36 14.17 14.80 14.55 9.95 14.16 13.97 8.87 13.58 9.09 13.78 8.50 11.50
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.59)% (0.74)% (0.91)% (1.08)% (1.26)% (1.42)% (1.59)% (1.70)% (1.91)% (2.10)% (0.38)% (0.62)% (0.86)% (0.48)% (0.80)% (0.38)% (0.60)% (0.74)% (0.96)% (1.15)% (1.26)% (1.52)% (1.52)% (1.00)% (0.20)% (1.30)%
Net Investment Income (Loss) 0.86 % 1.08 % 1.33 % 1.59 % 1.85 % 2.08 % 2.33 % 2.49 % 2.81 % 3.08 % 0.56 % 0.91 % 1.26 % 0.71 % 1.17 % 0.56 % 0.88 % 1.09 % 1.42 % 1.68 % 1.85 % 2.22 % 2.23 % 1.47 % 0.30 % 1.91 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 26, 2012
(h)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through March 1, 2012
The accompanying notes are an integral part of these financial statements. -638-
FMT/Vanguard Small Cap Stock Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 16,420,914
Liabilities 10,428
Fees payable
$ 16,410,486
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 232,005 123,178 427,027 115,146 143,268 84,233 13,054 17,940
NAV per Unit $ 24.6574 $ 12.3121 $ 11.3294 $ 11.5351 $ 11.7053 $ 11.4643 $ 11.4771 $ 11.9615
Net Assets $ 5,720,649 1,516,572 4,837,957 1,328,223 1,676,998 965,677 149,825 214,585 $ 16,410,486
The accompanying notes are an integral part of these financial statements. -639-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
299,826
150,562 5,707 1,200 157,469
Net investment income
142,357
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
4,873,472 4,932,909
Net realized loss from investments sold
(59,437)
Change in net unrealized appreciation (depreciation) on investments
2,447,514
Net realized and unrealized gain on investments
2,388,077
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -640-
2,530,434
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
142,357 (59,437)
Change in net unrealized appreciation (depreciation) on investments
2,447,514
Net increase in net assets resulting from operations
2,530,434
Participant transactions Proceeds from units purchased Less payments for units redeemed
18,956,697 20,422,032 (1,465,335)
Decrease in net assets from participant transactions Total increase in net assets
1,065,099 15,345,387
Net assets at beginning of year
$ 16,410,486
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -641-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Small Cap Index Signal Fund (Cost $15,717,020)
Shares
Fair Value
470,244
$ 16,420,914
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Small Cap Core
Total
Level 1
$ 16,420,914
$ 16,420,914
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,548,423 and $4,873,472, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -642-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 77,319 206,743 373,542 608,694 351,024 101,293 85,243 5,866 18,038 18,082 30,843 98,147 24,052 152,026 5,654,133 1,347,004 5,162,700 1,428,151 1,548,667 982,629 209,682 189,220 88,343 163,801 31,455 18,956,697
Redemptions (572,877) (3,940,619) (2,612,682) (3,057,296) (2,885,834) (1,025,083) (682,044) (129,620) (79,354) (93,798) (790,895) (316,768) (487,835) (753,568) (402,774) (535,808) (702,421) (196,538) (147,323) (98,357) (72,872) (26,689) (261,619) (459,373) (89,985) $ (20,422,032)
$
Units
$
$
Net change (495,558) (3,733,876) (2,239,140) (2,448,602) (2,534,810) (923,790) (596,801) (123,754) (61,316) (75,716) (760,052) (218,621) (463,783) (601,542) 5,251,359 811,196 4,460,279 1,231,613 1,401,344 884,272 136,810 162,531 (173,276) (295,572) (58,530) (1,465,335)
Purchases 5,803 10,201 22,268 32,849 19,096 5,286 5,131 436 1,215 1,497 2,410 7,331 1,774 11,362 237,204 117,787 493,108 132,925 141,482 93,275 19,749 17,223 6,223 11,360 2,595 1,399,590
Redemptions (43,718) (190,877) (154,629) (162,184) (151,614) (53,165) (40,359) (9,910) (5,348) (7,595) (63,809) (23,137) (34,833) (61,137) (17,325) (46,445) (66,081) (17,779) (13,207) (9,042) (6,695) (2,300) (17,977) (32,159) (7,573) (1,238,898)
The accompanying notes are an integral part of these financial statements. -643-
Net change (37,915) (180,676) (132,361) (129,335) (132,518) (47,879) (35,228) (9,474) (4,133) (6,098) (61,399) (15,806) (33,059) (49,775) 219,879 71,342 427,027 115,146 128,275 84,233 13,054 14,923 (11,754) (20,799) (4,978) 160,692
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Small Cap Stock Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 (h) Class R4 (i) Class R5 Class R6 (j) Class R7 (i) Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.2356 18.5600 15.4129 17.0666 17.0818 17.5737 15.0893 12.3445 13.7361 10.9933 11.6298 13.0655 12.7832 12.1646 20.9330 10.4752 10.0000 10.0000 10.0095 10.0000 10.0000 10.2805 12.8791 13.0020 11.0424
Net Investment Income (Loss)(a) $ 0.0681 0.1343 0.1379 0.1802 0.2104 0.2444 0.2350 0.2026 0.2549 0.2247 0.0708 0.1091 0.0604 0.0423 0.0787 0.0626 0.0724 0.0927 0.1128 0.1256 0.1447 0.1703 0.1261 0.1470 0.1390
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7382 2.5712 2.2282 2.3235 2.1466 2.3564 1.8957 1.1721 1.5735 1.2183 1.3543 1.7493 1.5124 0.0465 3.6457 1.7743 1.2570 1.4424 1.5830 1.3387 1.3324 1.5107 1.7154 1.7492 1.1365
Total from Investment Activities $ 1.8063 2.7055 2.3661 2.5037 2.3570 2.6008 2.1307 1.3747 1.8284 1.4430 1.4251 1.8584 1.5728 0.0888 3.7244 1.8369 1.3294 1.5351 1.6958 1.4643 1.4771 1.6810 1.8415 1.8962 1.2755
Ratios (to average unit value)
NAV per Unit, End of Period $ 24.6574 12.3121 11.3294 11.5351 11.7053 11.4643 11.4771 11.9615 -
Total Return 14.76 14.58 15.35 14.67 13.80 14.80 14.12 11.14 13.31 13.13 12.25 14.22 12.30 0.73 17.79 17.54 13.29 15.35 16.94 14.64 14.77 16.35 14.30 14.58 11.55
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.92)% (1.09)% (1.27)% (1.43)% (1.61)% (1.72)% (1.92)% (2.12)% (0.63)% (0.86)% (0.49)% (0.38)% (0.38)% (0.61)% (0.75)% (0.95)% (1.15)% (1.29)% (1.49)% (1.69)% (1.01)% (1.17)% (1.32)%
Net Investment Income (Loss) 0.52 % 0.67 % 0.83 % 0.98 % 1.15 % 1.30 % 1.45 % 1.55 % 1.74 % 1.92 % 0.57 % 0.78 % 0.45 % 0.35 % 0.35 % 0.55 % 0.68 % 0.86 % 1.04 % 1.17 % 1.35 % 1.53 % 0.91 % 1.05 % 1.19 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 1, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -644-
FMT/Vanguard Target Retirement 2015 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,457,846
Liabilities 1,349
Fees payable $
Net assets
4,456,497
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 418,800 4,261 4,618 3,096
NAV per Unit $ 10.3461 $ 10.2565 $ 10.5279 $ 10.0892
$
$
The accompanying notes are an integral part of these financial statements. -645-
Net Assets 4,332,943 43,700 48,614 31,240 4,456,497
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
102,631
5,949 700 256 6,905
Net investment income
95,726
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,631,264 2,601,734
Net realized gain from investments sold
29,530
Change in net unrealized appreciation (depreciation) on investments
(22,831)
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
6,699 $
The accompanying notes are an integral part of these financial statements. -646-
102,425
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
95,726 29,530
Change in net unrealized appreciation (depreciation) on investments
(22,831)
Net increase in net assets resulting from operations
102,425
Participant transactions Proceeds from units purchased Less payments for units redeemed
9,420,053 5,065,981 4,354,072
Increase in net assets from participant transactions Total increase in net assets
4,456,497 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -647-
4,456,497
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2015 Fund (Cost $4,480,678)
333,224
Fair Value
$
4,457,846
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2015 target retirement date
$
Level 1
4,457,846
$
4,457,846
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,082,411 and $2,631,264, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -648-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class D Class G Class R1 Class R4 Class R5 Class R6
$
$
Purchases 3,428,389 92,645 396,795 2,016 5,375,802 46,332 47,086 30,988 9,420,053
Redemptions (3,428,975) (94,229) (396,784) (2,076) (1,140,213) (3,702) (2) $ (5,065,981)
$
Units
$
$
Net change (586) (1,584) 11 (60) 4,235,589 42,630 47,086 30,986 4,354,072
Purchases 343,967 9,265 39,679 199 533,606 4,628 4,618 3,096 939,058
Redemptions (343,967) (9,265) (39,679) (199) (114,806) (367) (508,283)
The accompanying notes are an integral part of these financial statements. -649-
Net change 418,800 4,261 4,618 3,096 430,775
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2015 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (d) Class G (e) Class R1 (f) Class R4 (g) Class R5 (h) Class R6 (i)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.2104 0.1363 0.0095 1.5647 0.3836 0.5035 0.9701 0.1700
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.2392) 0.0346 (0.0098) (1.1118) (0.0375) (0.2470) (0.4422) (0.0808)
Total from Investment Activities $ (0.0288) 0.1709 (0.0003) 0.4529 0.3461 0.2565 0.5279 0.0892
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3461 10.2565 10.5279 10.0892
Total Return (0.29)% 1.71 % % 4.53 % 3.46 % 2.57 % 5.28 % 0.89 %
Net Expenses (0.15)% (0.10)% (0.01)% (1.10)% (0.27)% (0.36)% (0.68)% (0.12)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from September 18, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from November 8, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from June 20, 2012 (commencement of this class) through November 26, 2012
(e)
For the period from May 10, 2012 (commencement of this class) through December 12, 2012
(f)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from August 30, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from June 21, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from December 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -650-
Net Investment Income (Loss) 2.11 % 1.35 % 0.09 % 15.30 % 3.77 % 4.97 % 9.45 % 1.69 %
FMT/Vanguard Target Retirement 2020 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,536,721
Liabilities 1,354
Fees payable $
Net assets
3,535,367
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 318,609 9,574 643 7,331
NAV per Unit $ 10.5136 $ 10.8256 $ 10.0606 $ 10.3016
$
$
The accompanying notes are an integral part of these financial statements. -651-
Net Assets 3,349,737 103,646 6,468 75,516 3,535,367
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
77,510
7,364 700 276 8,340
Net investment income
69,170
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
346,282 343,434
Net realized gain from investments sold
2,848
Change in net unrealized appreciation (depreciation) on investments
55,981
Net realized and unrealized gain on investments
58,829
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -652-
127,999
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
69,170 2,848 55,981
Change in net unrealized appreciation (depreciation) on investments
127,999
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
5,986,186 2,578,818 3,407,368
Increase in net assets from participant transactions Total increase in net assets
3,535,367 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -653-
3,535,367
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2020 Fund (Cost $3,480,740)
148,442
Fair Value $
3,536,721
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2020 target retirement date
$
Level 1
3,536,721
$
3,536,721
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,824,174 and $346,282, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -654-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class E Class R1 Class R4 Class R5 Class R6 Class T
$
$
Purchases 1,234,317 305,093 6,002 3,881,970 202,107 6,429 74,557 275,711 5,986,186
Redemptions (1,231,716) (307,931) (5,981) (628,913) (107,912) (296,365) $ (2,578,818)
$
Units
$
$
Net change 2,601 (2,838) 21 3,253,057 94,195 6,429 74,557 (20,654) 3,407,368
Purchases 119,157 30,509 600 382,283 19,834 643 7,331 27,520 587,877
Redemptions (119,157) (30,509) (600) (63,674) (10,260) (27,520) (251,720)
The accompanying notes are an integral part of these financial statements. -655-
Net change 318,609 9,574 643 7,331 336,157
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2020 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class E (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h) Class T (i)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.3741 0.1418 0.0033 0.2212 0.5082 0.2448 0.9551 0.6265
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0372) (0.0488) (0.0377) 0.2924 0.3174 (0.1842) (0.6535) 0.1457
Total from Investment Activities $ 0.3369 0.0930 (0.0344) 0.5136 0.8256 0.0606 0.3016 0.7722
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5136 10.8256 10.0606 10.3016 -
Total Return 3.37 % 0.93 % (0.34)% 5.14 % 8.26 % 0.61 % 3.02 % 7.72 %
Net Expenses (0.44)% (0.17)% % (0.26)% (0.59)% (0.29)% (1.13)% (0.73)%
Net Investment Income (Loss) 3.68 % 1.41 % 0.03 % 2.16 % 4.88 % 2.44 % 9.41 % 6.03 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from April 18, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from October 12, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from March 20, 2012 (commencement of this class) through March 21, 2012
(e)
For the period from May 8, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from October 4, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from March 21, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from May 24, 2012 (commencement of this class) through December 12, 2012
The accompanying notes are an integral part of these financial statements. -656-
FMT/Vanguard Target Retirement 2025 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
6,146,922
Liabilities 2,103
Fees payable $
Net assets
6,144,819
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 553,438 2,910 11,531 -
NAV per Unit $ 10.8306 $ 10.1689 $ 10.5073 $ 10.0000
$
$
The accompanying notes are an integral part of these financial statements. -657-
Net Assets 5,994,067 29,592 121,160 6,144,819
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
133,976
9,918 700 468 11,086
Net investment income
122,890
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,174,167 1,160,509
Net realized gain from investments sold
13,658
Change in net unrealized appreciation (depreciation) on investments
93,149
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
106,807 $
The accompanying notes are an integral part of these financial statements. -658-
229,697
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
122,890
Net realized gain from investments sold
13,658
Change in net unrealized appreciation (depreciation) on investments
93,149 229,697
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
10,402,711 4,487,589 5,915,122
Increase in net assets from participant transactions Total increase in net assets
6,144,819 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -659-
6,144,819
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2025 Fund (Cost $6,053,774)
452,407
Fair Value $
6,146,922
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2025 target retirement date
$
Level 1
6,146,922
$
6,146,922
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,214,283 and $1,174,167, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -660-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class D Class G Class R1 Class R4 Class R5
$
$
Purchases 3,192,905 112,667 2,565 6,948,835 29,103 116,636 10,402,711
Redemptions (3,185,872) (115,892) (2,625) (1,183,198) (2) $ (4,487,589)
$
Units
$
$
Net change 7,033 (3,225) (60) 5,765,637 29,101 116,636 5,915,122
Purchases 308,736 11,317 252 669,433 2,910 11,531 1,004,179
Redemptions (308,736) (11,317) (252) (115,995) (436,300)
The accompanying notes are an integral part of these financial statements. -661-
Net change 553,438 2,910 11,531 567,879
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2025 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class D (c) Class G (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.5741 0.4009 1.1985 0.2871 0.2405 0.6217 -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.2539) (0.1604) (0.6624) 0.5435 (0.0716) (0.1144) -
Total from Investment Activities $ 0.3202 0.2405 0.5361 0.8306 0.1689 0.5073 -
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.8306 10.1689 10.5073 10.0000
Total Return 3.20 2.41 5.36 8.31 1.69 5.07 -
% % % % % % %
Net Expenses (0.51)% (0.36)% (1.05)% (0.25)% (0.22)% (0.55)% %
Net Investment Income (Loss) 5.65 % 3.96 % 11.67 % 2.76 % 2.39 % 6.06 % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 2, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from August 23, 2012 (commencement of this class) through December 12, 2012
(d)
For the period from May 10, 2012 (commencement of this class) through December 12, 2012
(e)
For the period from May 16, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from October 15, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from July 20, 2012 (commencement of this class) through December 31, 2012
(h) For the period from December 31, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -662-
FMT/Vanguard Target Retirement 2030 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,808,130
Liabilities 2,260
Fees payable $
Net assets
7,805,870
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 712,175 19,787 8,805 10,450
NAV per Unit $ 10.3747 $ 10.9673 $ 10.7037 $ 10.1439
$
$
The accompanying notes are an integral part of these financial statements. -663-
Net Assets 7,388,612 217,011 94,245 106,002 7,805,870
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
167,927
9,722 900 427 11,049
Net investment income
156,878
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
914,535 912,612
Net realized gain from investments sold
1,923
Change in net unrealized appreciation (depreciation) on investments
84,938
Net realized and unrealized gain on investments
86,861
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -664-
243,739
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
156,878 1,923 84,938
Change in net unrealized appreciation (depreciation) on investments
243,739
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,555,971 4,993,840 7,562,131
Increase in net assets from participant transactions Total increase in net assets
7,805,870 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -665-
7,805,870
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2030 Fund (Cost $7,723,191)
334,044
Fair Value $
7,808,130
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2030 target retirement date
$
Level 1
7,808,130
$
7,808,130
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $8,635,803 and $914,535, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -666-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class D Class R1 Class R4 Class R5 Class R6 Class T
$
$
Purchases 2,203,006 470,478 414,292 9,059,214 213,074 89,944 104,498 1,465 12,555,971
Redemptions (2,206,507) (482,113) (413,583) (1,886,908) (3,225) (1,504) $ (4,993,840)
$
Units
$
$
Net change (3,501) (11,635) 709 7,172,306 209,849 89,944 104,498 (39) 7,562,131
Purchases 214,241 47,047 41,429 909,621 20,090 8,805 10,450 140 1,251,823
Redemptions (214,241) (47,047) (41,429) (197,446) (303) (140) (500,606)
The accompanying notes are an integral part of these financial statements. -667-
Net change 712,175 19,787 8,805 10,450 751,217
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2030 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h) Class T (i)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.6872 1.0375 0.0095 0.3814 0.8923 0.9846 0.1720 0.7756
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.3880) (0.7899) (0.0269) (0.0067) 0.0750 (0.2809) (0.0281) (0.0043)
Total from Investment Activities $ 0.2992 0.2476 (0.0174) 0.3747 0.9673 0.7037 0.1439 0.7713
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3747 10.9673 10.7037 10.1439 -
Total Return 2.99 % 2.48 % (0.17)% 3.75 % 9.67 % 7.04 % 1.44 % 7.71 %
Net Expenses (0.48)% (0.72)% (0.01)% (0.26)% (0.60)% (0.67)% (0.12)% (0.53)%
Net Investment Income (Loss) 6.77 % 10.25 % 0.10 % 3.74 % 8.51 % 9.51 % 1.71 % 7.47 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 23, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from March 29, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from June 20, 2012 (commencement of this class) through November 26, 2012
(e)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from June 13, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from June 21, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from December 3, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from July 13, 2012 (commencement of this class) through December 12, 2012
The accompanying notes are an integral part of these financial statements. -668-
FMT/Vanguard Target Retirement 2035 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
3,930,048
Liabilities 1,595
Fees payable $
Net assets
3,928,453
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 296,060 66,344 1,050 3,531
NAV per Unit $ 10.6325 $ 11.0694 $ 9.9770 $ 10.1186
$
$
The accompanying notes are an integral part of these financial statements. -669-
Net Assets 3,147,859 734,382 10,480 35,732 3,928,453
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
84,609
8,437 700 353 9,490
Net investment income
75,119
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
217,842 209,295
Net realized gain from investments sold
8,547
Change in net unrealized appreciation (depreciation) on investments
137,820
Net realized and unrealized gain on investments
146,367
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -670-
221,486
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
75,119 8,547
Change in net unrealized appreciation (depreciation) on investments
137,820
Net increase in net assets resulting from operations
221,486
Participant transactions Proceeds from units purchased Less payments for units redeemed
5,331,118 1,624,151 3,706,967
Increase in net assets from participant transactions Total increase in net assets
3,928,453 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -671-
3,928,453
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2035 Fund (Cost $3,792,229)
278,998
Fair Value $
3,930,048
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2035 target retirement date
$
Level 1
3,930,048
$
3,930,048
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,001,524 and $217,842, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -672-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class D Class G Class R1 Class R4 Class R5 Class R6
$
$
Purchases 1,267,939 52,573 3,391 3,216,991 744,402 10,503 35,319 5,331,118
Redemptions (1,267,520) (52,971) (3,442) (235,679) (64,533) (6) $ (1,624,151)
$
Units
$
$
Net change 419 (398) (51) 2,981,312 679,869 10,503 35,313 3,706,967
Purchases 123,074 5,258 333 319,414 72,193 1,050 3,532 524,854
Redemptions (123,074) (5,258) (333) (23,354) (5,849) (1) (157,869)
The accompanying notes are an integral part of these financial statements. -673-
Net change 296,060 66,344 1,050 3,531 366,985
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2035 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class D (c) Class G (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.3813 0.2030 0.8801 0.2112 0.4919 0.0314 0.0031
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0783) (0.1282) (0.2701) 0.4213 0.5775 (0.0544) 0.1155
Total from Investment Activities $ 0.3030 0.0748 0.6100 0.6325 1.0694 (0.0230) 0.1186
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6325 11.0694 9.9770 10.1186
Total Return 3.03 % 0.75 % 6.10 % 6.33 % 10.69 % (0.23)% 1.19 %
Net Expenses (0.47)% (0.26)% (1.08)% (0.26)% (0.59)% (0.04)% %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 23, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from September 26, 2012 (commencement of this class) through December 12, 2012
(d)
For the period from May 10, 2012 (commencement of this class) through December 12, 2012
(e)
For the period from May 7, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from December 20, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from December 31, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -674-
Net Investment Income (Loss) 3.76 % 2.02 % 8.54 % 2.05 % 4.67 % 0.31 % 0.03 %
FMT/Vanguard Target Retirement 2040 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,649,606
Liabilities 555
Fees payable $
Net assets
1,649,051
Components of net assets
Class R1 Class R5 Class R6 Class R8
Units of Participation 151,748 891 2,662 56
NAV per Unit $ 10.6238 $ 10.0964 $ 10.2723 $ 10.0456
$
$
The accompanying notes are an integral part of these financial statements. -675-
Net Assets 1,612,143 8,999 27,346 563 1,649,051
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
35,014
3,064 700 150 3,914
Net investment income
31,100
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,782,925 1,798,773
Net realized loss from investments sold
(15,848)
Change in net unrealized appreciation (depreciation) on investments
51,168
Net realized and unrealized gain on investments
35,320
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -676-
66,420
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
31,100 (15,848)
Change in net unrealized appreciation (depreciation) on investments
51,168
Net increase in net assets resulting from operations
66,420
Participant transactions Proceeds from units purchased Less payments for units redeemed
4,315,552 2,732,921 1,582,631
Increase in net assets from participant transactions Total increase in net assets
1,649,051 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -677-
1,649,051
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2040 Fund (Cost $1,598,438)
71,185
Fair Value $
1,649,606
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2040 target retirement date
$
Level 1
1,649,606
$
1,649,606
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,397,211 and $1,782,925, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -678-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class E Class R1 Class R5 Class R6 Class R8 Class T
$
$
Purchases 615,306 10,202 32,886 3,585,106 8,912 34,359 560 28,221 4,315,552
Redemptions (615,020) (10,533) (32,723) (2,036,521) (7,165) (30,959) $ (2,732,921)
$
Units
$
$
Net change 286 (331) 163 1,548,585 8,912 27,194 560 (2,738) 1,582,631
Purchases 58,782 1,020 3,287 364,325 891 3,437 56 2,811 434,609
Redemptions (58,782) (1,020) (3,287) (212,577) (775) (2,811) (279,252)
The accompanying notes are an integral part of these financial statements. -679-
Net change 151,748 891 2,662 56 155,357
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2040 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class E (d) Class R1 (e) Class R5 (f) Class R6 (g) Class R8 (h) Class T (i)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.3894 0.7129 0.3841 0.2374 0.2639 0.9730 0.0169 0.6856
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0734 (0.3823) 0.1909 0.3864 (0.1675) (0.7007) 0.0287 0.3280
Total from Investment Activities $ 0.4628 0.3306 0.5750 0.6238 0.0964 0.2723 0.0456 1.0136
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6238 10.0964 10.2723 10.0456 -
Total Return 4.63 3.31 5.75 6.24 0.96 2.72 0.46 10.14
% % % % % % % %
Net Expenses (0.48)% (0.88)% (0.47)% (0.29)% (0.33)% (1.21)% (0.02)% (0.82)%
Net Investment Income (Loss) 3.81 % 7.01 % 3.73 % 2.30 % 2.63 % 9.60 % 0.17 % 6.53 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from April 25, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from March 2, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from March 20, 2012 (commencement of this class) through December 13, 2012
(e)
For the period from May 8, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from October 4, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from March 21, 2012 (commencement of this class) through December 31, 2012
(h) For the period from December 28, 2012 (commencement of this class) through December 31, 2012 (i)
For the period from May 24, 2012 (commencement of this class) through December 12, 2012
The accompanying notes are an integral part of these financial statements. -680-
FMT/Vanguard Target Retirement 2045 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,408,108
Liabilities 1,154
Fees payable $
Net assets
4,406,954
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 394,510 12 23,345 5,995
NAV per Unit $ 10.3780 $ 11.0798 $ 10.7797 $ 10.1679
$
$
The accompanying notes are an integral part of these financial statements. -681-
Net Assets 4,094,214 129 251,650 60,961 4,406,954
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
94,769
4,614 900 174 5,688
Net investment income
89,081
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
196,031 188,912
Net realized gain from investments sold
7,119
Change in net unrealized appreciation (depreciation) on investments
50,416
Net realized and unrealized gain on investments
57,535
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -682-
146,616
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
89,081 7,119 50,416
Change in net unrealized appreciation (depreciation) on investments
146,616
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
5,822,900 1,562,562 4,260,338
Increase in net assets from participant transactions Total increase in net assets
4,406,954 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -683-
4,406,954
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2045 Fund (Cost $4,357,692)
303,044
Fair Value $
4,408,108
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2045 target retirement date
$
Level 1
4,408,108
$
4,408,108
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,546,604 and $196,031, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -684-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class D Class R1 Class R4 Class R5 Class R6
$
$
Purchases 352,834 667,076 380,588 4,125,731 120 236,524 60,027 5,822,900
Redemptions (353,622) (685,484) (381,790) (141,663) (3) $ (1,562,562)
$
Units
$
$
Net change (788) (18,408) (1,202) 3,984,068 120 236,524 60,024 4,260,338
Purchases 35,084 66,711 37,795 408,909 12 23,345 5,995 577,851
Redemptions (35,084) (66,711) (37,795) (14,399) (153,989)
The accompanying notes are an integral part of these financial statements. -685-
Net change 394,510 12 23,345 5,995 423,862
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2045 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.7979 0.1637 0.6345 0.4575 0.4156 1.1639 0.2049
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.6765) 0.1131 (0.3512) (0.0795) 0.6642 (0.3842) (0.0370)
Total from Investment Activities $ 0.1214 0.2768 0.2833 0.3780 1.0798 0.7797 0.1679
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3780 11.0798 10.7797 10.1679
Total Return 1.21 2.77 2.83 3.78 10.80 7.80 1.68
% % % % % % %
Net Expenses (0.51)% (0.10)% (0.40)% (0.29)% (0.25)% (0.72)% (0.13)%
Net Investment Income (Loss) 7.93 % 1.62 % 6.26 % 4.49 % 3.94 % 11.20 % 2.03 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 20, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from November 8, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from June 20, 2012 (commencement of this class) through December 12, 2012
(e)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from June 13, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from June 21, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from December 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -686-
FMT/Vanguard Target Retirement 2050 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
757,583
Liabilities 385
Fees payable $
Net assets
757,198
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 35,526 29,251 5,568 716
NAV per Unit $ 10.3864 $ 11.0987 $ 10.0943 $ 10.2737
$
$
The accompanying notes are an integral part of these financial statements. -687-
Net Assets 368,987 324,653 56,202 7,356 757,198
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
15,867
2,058 700 79 2,837
Net investment income
13,030
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
310,399 307,836
Net realized gain from investments sold
2,563
Change in net unrealized appreciation (depreciation) on investments
33,280
Net realized and unrealized gain on investments
35,843
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -688-
48,873
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
13,030 2,563
Change in net unrealized appreciation (depreciation) on investments
33,280
Net increase in net assets resulting from operations
48,873
Participant transactions Proceeds from units purchased Less payments for units redeemed
1,139,818 431,493 708,325
Increase in net assets from participant transactions Total increase in net assets
757,198 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -689-
757,198
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Vanguard Target Retirement 2050 Fund (Cost $724,303)
32,819
Fair Value $
757,583
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2050 target retirement date
$
Level 1
757,583 $
757,583 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,032,139 and $310,399, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -690-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class E Class R1 Class R4 Class R5 Class R6
$
$
Purchases 19,458 15,322 635,921 396,638 55,677 16,802 1,139,818
Redemptions (20,042) (15,234) (294,384) (92,827) (9,006) $ (431,493)
$
Units
$
$
Net change (584) 88 341,537 303,811 55,677 7,796 708,325
Purchases 1,826 1,532 66,808 37,999 5,568 1,676 115,409
Redemptions (1,826) (1,532) (31,282) (8,748) (960) (44,348)
The accompanying notes are an integral part of these financial statements. -691-
Net change 35,526 29,251 5,568 716 71,061
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2050 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class E (c) Class R1 (d) Class R4 (e) Class R5 (f) Class R6 (g)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.2155 0.0021 0.1478 0.3492 0.1645 0.6038
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7619 (0.0594) 0.2386 0.7495 (0.0702) (0.3301)
Total from Investment Activities $ 0.9774 (0.0573) 0.3864 1.0987 0.0943 0.2737
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3864 11.0987 10.0943 10.2737
Total Return 9.77 % (0.57)% 3.86 % 10.99 % 0.94 % 2.74 %
Net Expenses (0.45)% % (0.32)% (0.72)% (0.36)% (1.30)%
Net Investment Income (Loss) 2.05 % 0.02 % 1.45 % 3.31 % 1.64 % 5.96 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from May 24, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from March 20, 2012 (commencement of this class) through March 21, 2012
(d)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(e)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from October 4, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from March 21, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -692-
FMT/Vanguard Target Retirement 2055 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
545,842
Liabilities 227
Fees payable Net assets
$
545,615
$
Net Assets 452,999 92,616 545,615
Components of net assets
Class R1 Class R4
Units of Participation 41,266 8,919
NAV per Unit $ 10.9776 $ 10.3840
$
The accompanying notes are an integral part of these financial statements. -693-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
9,940
1,750 800 76 2,626
Net investment income
7,314
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
60,855 57,486
Net realized gain from investments sold
3,369
Change in net unrealized appreciation (depreciation) on investments
20,328
Net realized and unrealized gain on investments
23,697
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -694-
31,011
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
7,314 3,369
Change in net unrealized appreciation (depreciation) on investments
20,328
Net increase in net assets resulting from operations
31,011
Participant transactions Proceeds from units purchased Less payments for units redeemed
971,088 456,484 514,604
Increase in net assets from participant transactions Total increase in net assets
545,615 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -695-
545,615
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement 2055 Fund (Cost $525,515)
22,015
Fair Value
$
545,842
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, 2055 target retirement date
$
Level 1
545,842 $
545,842 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $583,001 and $60,855, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -696-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class D Class R1 Class R4
$
$
Purchases 426,119 9,783 444,684 90,502 971,088
Redemptions (444,762) (10,386) (609) (727) $ (456,484)
$
Units
$
$
Net change (18,643) (603) 444,075 89,775 514,604
Purchases 43,177 950 41,323 8,990 94,440
Redemptions (43,177) (950) (57) (71) (44,255)
The accompanying notes are an integral part of these financial statements. -697-
Net change 41,266 8,919 50,185
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement 2055 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class D (c) Class R1 (d) Class R4 (e)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.1841 0.2660 0.1001 0.1318
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1025 0.7469 0.8775 0.2522
Total from Investment Activities $ 0.2866 1.0129 0.9776 0.3840
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.9776 10.3840
Total Return 2.87 10.13 9.78 3.84
% % % %
Net Expenses (0.65)% (0.91)% (0.34)% (0.46)%
Net Investment Income (Loss) 1.82 % 2.53 % 0.95 % 1.29 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 2, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from May 24, 2012 (commencement of this class) through December 12, 2012
(d)
For the period from May 16, 2012 (commencement of this class) through December 31, 2012
(e)
For the period from August 30, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -698-
FMT/Vanguard Target Retirement Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
1,367,704
Liabilities 545
Fees payable $
Net assets
1,367,159
Components of net assets
Class R1 Class R4 Class R5 Class R6
Units of Participation 119,507 8,863 2,935 1
NAV per Unit $ 10.4335 $ 10.1551 $ 10.3151 $ 10.0739
$
$
The accompanying notes are an integral part of these financial statements. -699-
Net Assets 1,246,870 90,003 30,279 7 1,367,159
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
16,764
2,053 700 61 2,814
Net investment income
13,950
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,691,766 1,686,491
Net realized gain from investments sold
5,275
Change in net unrealized appreciation (depreciation) on investments
(4,508)
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
767 $
The accompanying notes are an integral part of these financial statements. -700-
14,717
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
13,950 5,275
Change in net unrealized appreciation (depreciation) on investments
(4,508)
Net increase in net assets resulting from operations
14,717
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,982,471 2,630,029 1,352,442
Increase in net assets from participant transactions Total increase in net assets
1,367,159 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -701-
1,367,159
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.0%) Vanguard Target Retirement Income Fund (Cost $1,372,211)
112,202
Fair Value
$
1,367,704
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Asset allocation, target retirement Income
$
Level 1
1,367,704
$
1,367,704
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,058,702 and $1,691,766, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -702-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class D Class R1 Class R4 Class R5 Class R6
$
$
Purchases 2,270,266 294,927 28,346 1,269,088 89,790 30,047 7 3,982,471
Redemptions (2,271,339) (298,060) (28,358) (30,816) (1,134) (322) $ (2,630,029)
$
Units
$
$
Net change (1,073) (3,133) (12) 1,238,272 88,656 29,725 7 1,352,442
Purchases 227,028 29,493 2,835 122,482 8,976 2,966 1 393,781
Redemptions (227,028) (29,493) (2,835) (2,975) (113) (31) (262,475)
The accompanying notes are an integral part of these financial statements. -703-
Net change 119,507 8,863 2,935 1 131,306
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Target Retirement Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (d) Class R1 (e) Class R4 (f) Class R5 (g) Class R6 (h)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.0741 0.0575 0.0040 0.1566 0.2116 0.4036 -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0551) 0.0487 0.0039 0.2769 (0.0565) (0.0885) 0.0739
Total from Investment Activities $ 0.0190 0.1062 0.0079 0.4335 0.1551 0.3151 0.0739
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.4335 10.1551 10.3151 10.0739
Total Return 0.19 1.06 0.08 4.34 1.55 3.15 0.74
% % % % % % %
Net Expenses (0.15)% (0.12)% (0.01)% (0.31)% (0.42)% (0.80)% %
Net Investment Income (Loss) 0.74 % 0.57 % 0.04 % 1.53 % 2.10 % 3.97 % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from October 4, 2012 (commencement of this class) through December 10, 2012
(c)
For the period from November 8, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from June 20, 2012 (commencement of this class) through November 26, 2012
(e)
For the period from May 16, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from August 30, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from June 21, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from December 3, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -704-
FMT/Vanguard Total Bond Market Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$ 44,968,653 89,303 45,057,956
Liabilities 26,918
Fees payable
$ 45,031,038
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,768,292 382,983 824,640 380,126 346,379 168,036 65,797 96,776
NAV per Unit $ 12.1592 $ 10.4168 $ 10.3979 $ 10.3898 $ 10.4021 $ 10.3464 $ 10.3338 $ 10.2829
Net Assets $ 21,500,940 3,989,442 8,574,551 3,949,423 3,603,053 1,738,565 679,930 995,134 $ 45,031,038
The accompanying notes are an integral part of these financial statements. -705-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,411,492
379,166 14,898 1,200 395,264
Net investment income
1,016,228
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
7,308,872 7,034,905
Net realized gain from investments sold
273,967
Change in net unrealized appreciation (depreciation) on investments
55,873
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
329,840 $
The accompanying notes are an integral part of these financial statements. -706-
1,346,068
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
1,016,228 273,967 55,873
Change in net unrealized appreciation (depreciation) on investments
1,346,068
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
54,412,829 51,480,799 2,932,030
Increase in net assets from participant transactions Total increase in net assets
4,278,098 40,752,940
Net assets at beginning of year
$ 45,031,038
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -707-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (99.9%) Vanguard Total Bond Market Index Signal Fund (Cost $43,521,850)
Shares
Fair Value
4,054,883
$ 44,968,653
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - Core Bond
Total
Level 1
$ 44,968,653
$ 44,968,653
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $11,267,633 and $7,308,872, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -708-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 1,658,152 469,157 943,279 898,193 1,364,153 299,534 747,714 72,078 16,481 51,289 3,236 151,097 262,113 192,086 105,165 366,850 19,601,632 5,575,576 8,985,501 4,170,039 4,351,200 2,064,869 608,532 1,134,526 255,808 50,010 14,559 54,412,829
Redemptions (4,319,867) (3,509,161) (8,809,627) (6,319,160) (5,149,894) (1,882,437) (2,281,687) (182,412) (230,564) (416,989) (99,296) (622,457) (1,743,659) (1,323,888) (799,157) (4,411,549) (851,249) (2,155,001) (1,129,816) (862,290) (1,172,673) (383,728) (90,771) (154,463) (1,645,435) (729,919) (203,650) $ (51,480,799)
$
Units
$
$
Net change (2,661,715) (3,040,004) (7,866,348) (5,420,967) (3,785,741) (1,582,903) (1,533,973) (110,334) (214,083) (365,700) (96,060) (471,360) (1,481,546) (1,131,802) (693,992) (4,044,699) 18,750,383 3,420,575 7,855,685 3,307,749 3,178,527 1,681,141 517,761 980,063 (1,389,627) (679,909) (189,091) 2,932,030
Purchases 118,705 32,800 65,485 64,397 99,346 21,540 55,474 6,491 1,256 4,186 319 11,883 21,043 15,360 9,327 32,522 1,611,364 545,653 878,709 409,739 425,734 202,904 59,549 111,948 22,658 4,449 1,296 4,834,137
Redemptions (307,655) (242,843) (608,168) (448,385) (373,415) (133,875) (168,474) (16,368) (17,542) (33,896) (9,663) (48,886) (139,557) (105,290) (70,485) (384,220) (70,681) (207,022) (109,192) (84,006) (113,405) (37,165) (8,835) (15,172) (146,141) (64,629) (17,879) (3,982,849)
The accompanying notes are an integral part of these financial statements. -709-
Net change (188,950) (210,043) (542,683) (383,988) (274,069) (112,335) (113,000) (9,877) (16,286) (29,710) (9,344) (37,003) (118,514) (89,930) (61,158) (351,698) 1,540,683 338,631 769,517 325,733 312,329 165,739 50,714 96,776 (123,483) (60,180) (16,583) 851,288
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Total Bond Market Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.8062 14.1226 14.2895 13.8245 13.5761 13.7923 13.3512 10.8976 13.0149 12.1136 10.0768 12.2993 12.2742 12.3354 10.9737 11.1356 11.7197 10.0623 10.0612 10.0704 10.0994 10.0624 10.0672 10.0000 11.0717 11.1270 11.0920
Net Investment Income (Loss)(a) $ 0.2019 0.2692 0.3365 0.3863 0.4401 0.5030 0.5474 0.4735 0.6446 0.6527 0.0472 0.1376 0.1956 0.2726 0.1363 0.2300 0.1142 0.1575 0.2042 0.2501 0.2974 0.3434 0.3910 0.4295 0.2856 0.3318 0.3698
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.3264 0.2478 0.1507 0.0376 (0.0580) (0.1012) (0.2042) (0.1945) (0.3181) (0.3686) 0.1516 0.3275 0.2461 0.1228 0.2735 0.1616 0.3253 0.1970 0.1325 0.0693 0.0053 (0.0594) (0.1244) (0.1466) 0.0918 0.0018 (0.0437)
Total from Investment Activities $ 0.5283 0.5170 0.4872 0.4239 0.3821 0.4018 0.3432 0.2790 0.3265 0.2841 0.1988 0.4651 0.4417 0.3954 0.4098 0.3916 0.4395 0.3545 0.3367 0.3194 0.3027 0.2840 0.2666 0.2829 0.3774 0.3336 0.3261
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.1592 10.4168 10.3979 10.3898 10.4021 10.3464 10.3338 10.2829 -
Total Return 3.83 3.66 3.41 3.07 2.81 2.91 2.57 2.56 2.51 2.35 1.97 3.78 3.60 3.21 3.73 3.52 3.75 3.52 3.35 3.17 3.00 2.82 2.65 2.83 3.41 3.00 2.94
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.73)% (0.90)% (1.07)% (1.24)% (1.40)% (1.57)% (1.67)% (1.90)% (2.07)% (0.18)% (0.43)% (0.61)% (0.85)% (0.47)% (0.79)% (0.37)% (0.60)% (0.78)% (0.95)% (1.13)% (1.31)% (1.49)% (1.65)% (0.99)% (1.14)% (1.28)%
Net Investment Income (Loss) 1.43 % 1.87 % 2.32 % 2.75 % 3.20 % 3.59 % 4.05 % 4.29 % 4.89 % 5.33 % 0.46 % 1.10 % 1.57 % 2.17 % 1.22 % 2.03 % 0.96 % 1.54 % 2.00 % 2.45 % 2.90 % 3.37 % 3.83 % 4.23 % 2.54 % 2.94 % 3.29 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 7, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -710-
FMT/Vanguard Value Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
5,905,625
Liabilities 3,821
Fees payable $
Net assets
5,901,804
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 127,570 58,291 131,248 77,006 31,794 26,989 1,750 12,253
NAV per Unit $ 15.7114 $ 11.8669 $ 11.1058 $ 11.5696 $ 12.2469 $ 11.6303 $ 10.9942 $ 10.9951
$
$
The accompanying notes are an integral part of these financial statements. -711-
Net Assets 2,004,307 691,732 1,457,611 890,920 389,379 313,892 19,242 134,721 5,901,804
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
171,698
56,992 2,153 1,200 60,345
Net investment income
111,353
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,230,012 2,182,185
Net realized gain from investments sold
47,827
Change in net unrealized appreciation (depreciation) on investments
656,177
Net realized and unrealized gain on investments
704,004
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -712-
815,357
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
111,353 47,827
Change in net unrealized appreciation (depreciation) on investments
656,177
Net increase in net assets resulting from operations
815,357
Participant transactions Proceeds from units purchased Less payments for units redeemed
6,930,258 7,721,780 (791,522)
Decrease in net assets from participant transactions Total increase in net assets
23,835 5,877,969
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -713-
5,901,804
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Vanguard Value Index Signal Fund (Cost $5,625,619)
247,512
Fair Value $
5,905,625
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
5,905,625
$
5,905,625
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,548,735 and $2,230,012, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -714-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 42,984 77,483 230,701 58,658 213,678 57,284 21,677 13,959 3,751 819 1,952,450 722,071 1,763,228 890,159 353,584 246,686 83,590 146,848 49,184 662 802 6,930,258
Redemptions (697,620) (1,167,196) (1,416,750) (610,019) (1,604,984) (330,694) (146,125) (181,369) (25,954) (1,386) (311,124) (28,569) (182,673) (446,756) (280,623) (27,369) (28,087) (66,363) (21,153) (137,227) (8,678) (1,061) $ (7,721,780)
$
Units
$
$
Net change (654,636) (1,089,713) (1,186,049) (551,361) (1,391,306) (273,410) (124,448) (167,410) (22,203) (1,386) (310,305) 1,923,881 539,398 1,316,472 609,536 326,215 218,599 17,227 125,695 (88,043) (8,016) (259) (791,522)
Purchases 3,569 5,038 14,367 3,569 16,840 4,605 1,732 1,162 362 86 125,291 66,486 172,083 81,529 31,435 22,992 8,233 14,273 3,794 66 66 577,578
Redemptions (58,644) (74,342) (87,260) (37,083) (123,795) (26,334) (11,540) (14,822) (2,449) (126) (32,591) (1,865) (15,815) (40,835) (24,743) (2,340) (2,494) (6,483) (2,020) (10,654) (879) (84) (577,198)
The accompanying notes are an integral part of these financial statements. -715-
Net change (55,075) (69,304) (72,893) (33,514) (106,955) (21,729) (9,808) (13,660) (2,087) (126) (32,505) 123,426 50,671 131,248 56,786 29,095 20,498 1,750 12,253 (6,860) (813) (18) 380
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Value Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class N (g) Class O (h) Class R1 Class R2 Class R3 (i) Class R4 Class R5 Class R6 Class R7 (j) Class R8 (k) Class S (b) Class T (l) Class U (m)
NAV per Unit, Beginning of Period $ 11.3747 14.5586 15.1340 14.8701 11.9119 11.5509 11.6623 11.1395 9.6926 10.8027 9.3708 13.6964 10.3676 10.0000 10.1421 10.7540 10.2299 10.0000 10.0000 11.5472 9.3052 11.2052
Net Investment Income (Loss)(a) $ 0.1279 0.2144 0.2732 0.3226 0.2978 0.3273 0.3717 0.3749 0.3670 0.0031 0.0052 0.1081 0.1271 0.1502 0.1967 0.2478 0.2717 0.2823 0.3183 0.2322 0.0887 0.2754
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4160 1.7333 1.8246 1.7465 1.2591 1.2109 1.1873 0.7142 0.8087 0.2032 0.3002 1.9069 1.3722 0.9556 1.2308 1.2451 1.1287 0.7119 0.6768 1.2806 0.1694 0.9128
Total from Investment Activities $ 1.5439 1.9477 2.0978 2.0691 1.5569 1.5382 1.5590 1.0891 1.1757 0.2063 0.3054 2.0150 1.4993 1.1058 1.4275 1.4929 1.4004 0.9942 0.9951 1.5128 0.2581 1.1882
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.7114 11.8669 11.1058 11.5696 12.2469 11.6303 10.9942 10.9951 -
Total Return 13.57 13.38 13.86 13.91 13.07 13.32 13.37 9.78 12.13 1.91 3.26 14.71 14.46 11.06 14.07 13.88 13.69 9.94 9.95 13.10 2.77 10.60
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through January 9, 2012
(h)
For the period from January 1, 2012 through January 12, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through May 23, 2012
(m)
For the period from January 1, 2012 through November 7, 2012
% % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.91)% (1.10)% (1.27)% (1.44)% (1.62)% (1.74)% (1.93)% (0.02)% (0.03)% (0.40)% (0.62)% (0.77)% (0.98)% (1.17)% (1.35)% (1.46)% (1.64)% (1.02)% (0.51)% (1.26)%
The accompanying notes are an integral part of these financial statements. -716-
Net Investment Income (Loss) 1.05 % 1.38 % 1.69 % 2.03 % 2.35 % 2.66 % 2.99 % 3.21 % 3.57 % 0.03 % 0.05 % 0.74 % 1.14 % 1.42 % 1.81 % 2.15 % 2.49 % 2.69 % 3.03 % 1.89 % 0.94 % 2.33 %
FMT/Vanguard Wellesley Income Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 24,182,048
Liabilities 15,048
Fees payable
$ 24,167,000
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 865,109 51,204 694,436 287,018 228,502 80,270 21,106 3,620
NAV per Unit $ 10.6386 $ 11.0531 $ 10.9079 $ 11.1144 $ 10.9304 $ 10.7987 $ 10.8932 $ 10.5650
Net Assets $ 9,203,546 565,963 7,574,873 3,190,036 2,497,615 866,815 229,908 38,244 $ 24,167,000
The accompanying notes are an integral part of these financial statements. -717-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
1,028,551
196,633 6,922 1,200 204,755
Net investment income
823,796
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,423,763 2,203,340
Net realized gain from investments sold
220,423
Change in net unrealized appreciation (depreciation) on investments
709,480
Net realized and unrealized gain on investments
929,903
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -718-
1,753,699
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
823,796
Net realized gain from investments sold
220,423
Change in net unrealized appreciation (depreciation) on investments
709,480 1,753,699
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
30,404,276 24,394,104 6,010,172
Increase in net assets from participant transactions Total increase in net assets
7,763,871 16,403,129
Net assets at beginning of year
$ 24,167,000
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -719-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Mutual fund (100.1%) Vanguard Wellesley Income Investors Fund (Cost $22,245,678)
Shares
Fair Value
1,002,988
$ 24,182,048
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Mutual fund - U.S. Conservative Balanced
Total
Level 1
$ 24,182,048
$ 24,182,048
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $9,258,735 and $2,423,763, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -720-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 270,616 60,597 843,413 759,433 726,477 27,694 106,105 12,533 47,565 14,114 13,187 38,104 103,241 143,632 5,237 23,561 9,307,121 719,713 7,643,778 2,918,770 2,530,732 3,350,191 194,139 66,990 106,989 370,344 30,404,276
Redemptions (1,591,887) (230,581) (4,907,372) (3,060,530) (4,927,992) (492,460) (793,271) (32,295) (82,963) (54,182) (73,832) (341,031) (115,243) (1,664,590) (112,916) (578,495) (167,211) (261,938) (313,902) (339,123) (320,574) (2,655,867) (46,139) (31,424) (671,734) (526,552) $ (24,394,104)
$
Units
$
$
Net change (1,321,271) (169,984) (4,063,959) (2,301,097) (4,201,515) (464,766) (687,166) (19,762) (35,398) (40,068) (60,645) (302,927) (12,002) (1,520,958) (107,679) (554,934) 9,139,910 457,775 7,329,876 2,579,647 2,210,158 694,324 148,000 35,566 (564,745) (156,208) 6,010,172
Purchases 20,455 3,839 51,735 46,576 45,270 1,773 6,909 1,038 3,384 1,020 1,060 3,447 8,150 9,733 486 2,017 881,275 69,156 724,278 276,593 242,189 327,418 18,907 6,642 8,583 29,209 2,791,142
Redemptions (115,065) (14,556) (298,170) (182,631) (303,145) (30,797) (50,975) (2,669) (5,863) (3,811) (5,742) (29,564) (9,012) (110,135) (10,149) (47,898) (16,166) (24,419) (29,842) (30,727) (29,509) (247,148) (4,473) (3,022) (51,923) (41,038) (1,698,449)
The accompanying notes are an integral part of these financial statements. -721-
Net change (94,610) (10,717) (246,435) (136,055) (257,875) (29,024) (44,066) (1,631) (2,479) (2,791) (4,682) (26,117) (862) (100,402) (9,663) (45,881) 865,109 44,737 694,436 245,866 212,680 80,270 14,434 3,620 (43,340) (11,829) 1,092,693
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Wellesley Income Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (g) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 (h) Class R2 Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 Class R8 (k) Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 12.7585 15.0399 15.8774 15.9389 15.5779 15.1240 14.7055 11.6495 13.1088 13.1720 11.8571 10.6003 11.7711 14.2450 10.2288 11.3150 10.0000 10.1042 10.0000 10.1947 10.0429 10.0000 10.0426 10.0000 11.9839 11.8606
Net Investment Income (Loss)(a) $ 0.3024 0.4598 0.5940 0.7157 0.8097 0.8857 0.9718 0.4116 1.0523 1.1437 0.1891 0.1908 0.3140 0.5058 0.2043 0.3773 0.0885 0.2544 0.3249 0.4145 0.4821 0.5326 0.6298 0.6084 0.4939 0.5665
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.9254 0.9614 0.9067 0.7414 0.5529 0.4645 0.2955 0.0404 0.0271 (0.0817) 0.8638 0.7453 0.7024 0.7987 0.6939 0.7048 0.5501 0.6945 0.5830 0.5052 0.4054 0.2661 0.2208 (0.0434) 0.6065 0.5091
Total from Investment Activities $ 1.2278 1.4212 1.5007 1.4571 1.3626 1.3502 1.2673 0.4520 1.0794 1.0620 1.0529 0.9361 1.0164 1.3045 0.8982 1.0821 0.6386 0.9489 0.9079 0.9197 0.8875 0.7987 0.8506 0.5650 1.1004 1.0756
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6386 11.0531 10.9079 11.1144 10.9304 10.7987 10.8932 10.5650 -
Total Return 9.62 9.45 9.45 9.14 8.75 8.93 8.62 3.88 8.23 8.06 8.88 8.83 8.63 9.16 8.78 9.56 6.39 9.39 9.08 9.02 8.84 7.99 8.47 5.65 9.18 9.07
% % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through June 20, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from June 8, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
Net Expenses (0.56)% (0.73)% (0.89)% (1.07)% (1.24)% (1.39)% (1.57)% (0.86)% (1.92)% (2.07)% (0.38)% (0.43)% (0.64)% (0.84)% (0.48)% (0.79)% (0.21)% (0.60)% (0.77)% (0.97)% (1.14)% (1.27)% (1.50)% (1.47)% (0.98)% (1.14)%
The accompanying notes are an integral part of these financial statements. -722-
Net Investment Income (Loss) 2.26 % 2.92 % 3.57 % 4.29 % 4.98 % 5.61 % 6.34 % 3.47 % 7.71 % 8.35 % 1.53 % 1.72 % 2.56 % 3.39 % 1.91 % 3.18 % 0.86 % 2.40 % 3.11 % 3.89 % 4.60 % 5.12 % 6.02 % 5.92 % 3.94 % 4.57 %
FMT/Vanguard Windsor II Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
8,922,651
Liabilities 5,054
Fees payable $
Net assets
8,917,597
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 283,041 179,057 31,675 65,032 139,754 23,845 12,881 675
NAV per Unit $ 12.3673 $ 12.1489 $ 11.2177 $ 12.0284 $ 12.0062 $ 11.3222 $ 11.5456 $ 11.3146
$
$
The accompanying notes are an integral part of these financial statements. -723-
Net Assets 3,500,448 2,175,348 355,324 782,223 1,677,912 269,982 148,721 7,639 8,917,597
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
199,746
68,354 2,717 1,200 72,271
Net investment income
127,475
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,102,957 1,957,689
Net realized gain from investments sold
145,268
Change in net unrealized appreciation (depreciation) on investments
906,602
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
1,051,870 $
The accompanying notes are an integral part of these financial statements. -724-
1,179,345
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
127,475
Net realized gain from investments sold
145,268
Change in net unrealized appreciation (depreciation) on investments
906,602 1,179,345
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
8,452,472 8,139,435 313,037
Increase in net assets from participant transactions Total increase in net assets
1,492,382
Net assets at beginning of year
7,425,215 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -725-
8,917,597
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Vanguard Windsor II Fund Investor Shares (Cost $8,171,230)
303,698
Fair Value
$
8,922,651
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Value
$
Level 1
8,922,651
$
8,922,651
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,543,696 and $2,102,957, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -726-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars Purchases Class A Class B Class C Class D Class E Class F Class G Class H Class I Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U
$
$
97,803 60,385 92,996 66,866 87,278 8,624 50,416 26,266 917 17,575 3,351,158 2,070,169 393,147 801,742 748,972 269,232 291,464 7,366 4,638 5,458 8,452,472
Redemptions (1,179,726) (249,653) (583,690) (1,863,191) (525,553) (241,315) (75,341) (146,396) (257,102) (141,650) (11,710) (196,592) (17) (252,558) (1,630,401) (73,429) (114,887) (198,919) (237,716) (43,917) (115,672) $ (8,139,435)
$
Units
$
$
Net change (1,179,726) (151,850) (523,305) (1,770,195) (458,687) (154,037) (66,717) (95,980) (230,836) (141,650) (10,793) (179,017) (17) 3,098,600 439,768 319,718 686,855 550,053 269,232 53,748 7,366 (39,279) (110,214) 313,037
Purchases 5,154 3,858 5,700 4,589 7,018 681 3,980 2,162 60 1,458 278,360 187,531 38,826 73,038 66,673 23,845 25,610 675 364 435 730,017
Redemptions (110,342) (12,823) (37,807) (112,852) (35,230) (19,831) (5,710) (11,543) (20,626) (12,080) (726) (15,590) (1) (20,922) (137,451) (7,151) (10,452) (17,490) (20,838) (3,257) (9,093) (621,815)
The accompanying notes are an integral part of these financial statements. -727-
Net change (110,342) (7,669) (33,949) (107,152) (30,641) (12,813) (5,029) (7,563) (18,464) (12,080) (666) (14,132) (1) 257,438 50,080 31,675 62,586 49,183 23,845 4,772 675 (2,893) (8,658) 108,202
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Windsor II Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (c) Class N (h) Class O (f) Class P (g) Class Q (d) Class R1 Class R2 Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 Class R8 (k) Class S (c) Class U (g)
NAV per Unit, Beginning of Period $ 10.4705 17.5881 14.4734 15.2054 13.5466 10.9610 11.6421 11.3715 11.0811 11.3297 14.2419 11.1746 11.4551 10.6381 10.4731 10.0000 10.4043 10.4027 10.0000 10.0374 10.0000 11.7240 11.4681
Net Investment Income (Loss)(a) $ 0.0077 0.2473 0.2547 0.3155 0.3244 0.2978 0.3577 0.3709 0.4091 0.0069 0.2358 0.1037 0.0783 0.1227 0.1433 0.1947 0.2311 0.1569 0.2954 0.3229 0.2263 0.2864
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.4431 2.4425 1.9886 2.0363 1.6721 1.3408 1.3786 0.9445 1.1442 0.3893 1.9248 1.3316 1.8882 1.6509 1.5531 1.0744 1.4294 1.3724 1.1653 1.2128 0.9917 1.5340 1.0876
Total from Investment Activities $ 0.4508 2.6898 2.2433 2.3518 1.9965 1.6386 1.7363 1.3154 1.5533 0.3962 2.1606 1.4353 1.8882 1.7292 1.6758 1.2177 1.6241 1.6035 1.3222 1.5082 1.3146 1.7603 1.3740
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.3673 12.1489 11.2177 12.0284 12.0062 11.3222 11.5456 11.3146 -
Total Return 4.31 15.29 15.50 15.47 14.74 14.95 14.91 11.57 14.02 3.50 15.17 12.84 16.48 16.25 16.00 12.18 15.61 15.41 13.22 15.03 13.15 15.01 11.98
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through January 23, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 1, 2012 through January 18, 2012
(i)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from June 6, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
% % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.04)% (0.74)% (0.93)% (1.09)% (1.26)% (1.43)% (1.62)% (1.75)% (1.96)% (0.03)% (0.87)% (0.49)% % (0.39)% (0.62)% (0.77)% (0.98)% (1.17)% (0.83)% (1.55)% (1.72)% (1.02)% (1.34)%
The accompanying notes are an integral part of these financial statements. -728-
Net Investment Income (Loss) 0.07 % 1.31 % 1.63 % 1.93 % 2.23 % 2.53 % 2.86 % 3.08 % 3.45 % 0.06 % 1.54 % 0.87 % % 0.68 % 1.08 % 1.35 % 1.74 % 2.06 % 1.47 % 2.74 % 3.03 % 1.80 % 2.36 %
FMT/Virtus Emerging Markets Opportunity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
4,107,017
Liabilities 2,114
Fees payable $
Net assets
4,104,903
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7
Units of Participation 248,564 49,026 22,702 51,274 3,881 8,145
NAV per Unit $ 10.7119 $ 10.7012 $ 10.6865 $ 10.6718 $ 10.6129 $ 10.6424
$
$
The accompanying notes are an integral part of these financial statements. -729-
Net Assets 2,662,595 524,641 242,610 547,181 41,193 86,683 4,104,903
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
27,575
15,459 900 584 16,943
Net investment income
10,632
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
467,627 467,415
Net realized gain from investments sold
212
Change in net unrealized appreciation (depreciation) on investments
213,837
Net realized and unrealized gain on investments
214,049
Other operating credits (charges)
4,816
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -730-
229,497
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
10,632 212
Change in net unrealized appreciation (depreciation) on investments
213,837 4,816
Other operating credits (charges)
229,497
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
7,375,405 3,499,999 3,875,406
Increase in net assets from participant transactions Total increase in net assets
4,104,903 -
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -731-
4,104,903
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Virtus Emerging Markets Opportunity Fund (Cost $3,893,180)
410,702
Fair Value
$
4,107,017
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Emerging Markets
$
Level 1
4,107,017
$
4,107,017
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,360,595 and $467,627, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -732-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class N Class O Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7
$
$
Purchases 985,843 290,110 774,514 38,394 346,766 200 264,452 299,019 2,666,443 674,260 367,233 546,567 39,450 82,154 7,375,405
Redemptions (939,774) (295,534) (778,614) (38,554) (357,342) (205) (270,111) (304,731) (150,537) (182,461) (147,379) (34,009) (672) (76) $ (3,499,999)
$
Units
$
$
Net change 46,069 (5,424) (4,100) (160) (10,576) (5) (5,659) (5,712) 2,515,906 491,799 219,854 512,558 38,778 82,078 3,875,406
Purchases 96,425 28,956 77,357 3,839 33,851 20 26,249 29,902 263,587 66,937 36,825 54,758 3,945 8,152 730,803
Redemptions (96,425) (28,956) (77,357) (3,839) (33,851) (20) (26,249) (29,902) (15,023) (17,911) (14,123) (3,484) (64) (7) (347,211)
The accompanying notes are an integral part of these financial statements. -733-
Net change 248,564 49,026 22,702 51,274 3,881 8,145 383,592
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Virtus Emerging Markets Opportunity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class N (f) Class O (g) Class Q (c) Class R1 (h) Class R3 (i) Class R4 (i) Class R5 (i) Class R6 (j) Class R7 (i)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.0190 0.0071 0.0226 0.0010 0.0104 0.0021 0.0168 0.0033 0.0292 0.0602 0.0739 0.0876 0.1001 0.1160
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.5011) 0.2774 0.3248 0.0406 0.5951 0.4754 0.3255 0.2817 0.6827 0.6410 0.6126 0.5842 0.5128 0.5264
Total from Investment Activities $ (0.4821) 0.2845 0.3474 0.0416 0.6055 0.4775 0.3423 0.2850 0.7119 0.7012 0.6865 0.6718 0.6129 0.6424
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.7119 10.7012 10.6865 10.6718 10.6129 10.6424
Total Return (4.82)% 2.85 % 3.47 % 0.42 % 6.05 % 4.77 % 3.42 % 2.85 % 7.12 % 7.01 % 6.87 % 6.72 % 6.13 % 6.42 %
Net Expenses (0.21)% (0.08)% (0.24)% (0.01)% (0.11)% (0.02)% (0.18)% (0.04)% (0.31)% (0.64)% (0.78)% (0.93)% (1.06)% (1.23)%
Net Investment Income (Loss) 0.20 % 0.07 % 0.22 % 0.01 % 0.10 % 0.02 % 0.17 % 0.03 % 0.28 % 0.58 % 0.71 % 0.85 % 0.97 % 1.12 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 8, 2012 (commencement of this class) through June 8, 2012
(c)
For the period from March 8, 2012 (commencement of this class) through December 11, 2012
(d)
For the period from March 8, 2012 (commencement of this class) through December 12, 2012
(e)
For the period from March 9, 2012 (commencement of this class) through March 12, 2012
(f)
For the period from August 31, 2012 (commencement of this class) through November 27, 2012
(g)
For the period from March 9, 2012 (commencement of this class) through December 13, 2012
(h)
For the period from March 6, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from March 9, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from March 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -734-
FMT/Wells Fargo Advantage Asset Allocation Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Dividends Total assets
$
421,592 10,867 432,459
Liabilities 330
Fees payable $
Net assets
432,129
Components of net assets
Class R1 Class R4 Class R5
Units of Participation 123 38,929 687
NAV per Unit $ 10.2768 $ 10.8859 $ 10.3261
$
$
The accompanying notes are an integral part of these financial statements. -735-
Net Assets 1,262 423,776 7,091 432,129
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
10,867
3,481 1,200 129 4,810
Net investment income
6,057
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
5,456 5,295
Net realized gain from investments sold
161
Change in net unrealized appreciation (depreciation) on investments
26,789
Net realized and unrealized gain on investments
26,950
Other operating credits (charges)
1,638
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -736-
34,645
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
6,057 161
Change in net unrealized appreciation (depreciation) on investments
26,789 1,638
Other operating credits (charges)
34,645
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
64,178 10,141 54,037
Increase in net assets from participant transactions Total increase in net assets
88,682 343,447
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -737-
432,129
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (97.6%) Wells Fargo Advantage Asset Allocation A Fund (Cost $401,102)
32,886
Fair Value
$
421,592
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Tactical Asset Allocation
$
Level 1
421,592 $
421,592 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $62,926 and $5,456, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -738-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class C Class P Class R1 Class R4 Class R5
$
$
Purchases 223 449 1,229 55,756 6,521 64,178
Redemptions (6,847) (2,081) (1,213) $ (10,141)
$
Units
$
$
Net change (6,624) (1,632) 1,229 54,543 6,521 54,037
Purchases 21 43 123 5,309 687 6,183
Redemptions (651) (193) (119) (963)
The accompanying notes are an integral part of these financial statements. -739-
Net change (630) (150) 123 5,190 687 5,220
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Asset Allocation Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class C (b) Class P (c) Class R1 (d) Class R4 Class R5 (e)
NAV per Unit, Beginning of Period $ 10.0579 10.0418 10.0000 9.9472 10.0000
Net Investment Income (Loss)(a) $ 0.0623 0.1107 0.0069 0.2102 0.1887
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.3946 0.5846 0.2699 0.7285 0.1374
Total from Investment Activities $ 0.4569 0.6953 0.2768 0.9387 0.3261
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2768 10.8859 10.3261
Total Return 4.54 6.92 2.77 9.44 3.26
% % % % %
Net Expenses (0.38)% (0.67)% (0.04)% (1.26)% (1.16)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through April 18, 2012
(c)
For the period from January 1, 2012 through November 27, 2012
(d)
For the period from November 28, 2012 (commencement of this class) through December 31, 2012
(e)
For the period from March 20, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -740-
Net Investment Income (Loss) 0.61 % 1.07 % 0.07 % 2.02 % 1.86 %
FMT/Wells Fargo Advantage Discovery Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
190,253
Liabilities 193
Fees payable Net assets
$
190,060
$
Net Assets 190,060
Components of net assets
Class R5
Units of Participation 17,260
NAV per Unit $ 11.0118
The accompanying notes are an integral part of these financial statements. -741-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
10,144
97,614 4,159 1,200 102,973
Net investment loss
(92,829)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
14,708,063 12,404,658
Net realized gain from investments sold
2,303,405
Change in net unrealized appreciation (depreciation) on investments
(357,467)
Net realized and unrealized gain on investments
1,945,938
Other operating credits (charges)
36,926
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -742-
1,890,035
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(92,829)
Net realized gain from investments sold
2,303,405
Change in net unrealized appreciation (depreciation) on investments
(357,467) 36,926
Other operating credits (charges)
1,890,035
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
8,737,705 22,152,286 (13,414,581)
Decrease in net assets from participant transactions Total decrease in net assets
(11,524,546) 11,714,606
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -743-
190,060
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Wells Fargo Advantage Discovery Fund (Cost $176,083)
7,374
Fair Value $
190,253
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Mid Cap Growth
$
Level 1
190,253 $
190,253 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,227,717 and $14,708,063, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -744-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class R5 Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 177,946 53,195 53,558 424,535 368,730 147,256 101,953 82,715 4,740 35,980 13,347 6,460 14,939 22,893 151,395 3,558 19,670 445,509 578,482 1,141,294 1,823,982 1,700,433 599,107 345,664 315,361 53,655 34,151 14,619 2,578 8,737,705
Redemptions (5,385) (601,915) (681,346) (1,998,040) (2,824,445) (1,374,326) (830,734) (688,952) (56,752) (210,561) (135,165) (59,457) (213,738) (305,798) (1,265,510) (94,901) (457,786) (710,538) (1,183,595) (1,276,534) (2,283,553) (2,015,099) (686,257) (465,688) (342,957) (561,447) (645,869) (133,782) (42,156) $ (22,152,286)
$
Units
$
$
Net change 172,561 (548,720) (627,788) (1,573,505) (2,455,715) (1,227,070) (728,781) (606,237) (52,012) (174,581) (121,818) (52,997) (198,799) (282,905) (1,114,115) (91,343) (438,116) (265,029) (605,113) (135,240) (459,571) (314,666) (87,150) (120,024) (27,596) (507,792) (611,718) (119,163) (39,578) (13,414,581)
Purchases 17,795 17,795
Redemptions (535) (535)
The accompanying notes are an integral part of these financial statements. -745-
Net change 17,260 17,260
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Advantage Discovery Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class R5 (b)
NAV per Unit, Beginning of Period $ 10.0000
Net Investment Income (Loss)(a) $ (0.2020)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2138
Total from Investment Activities $ 1.0118
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.0118
Total Return 10.12 %
Net Expenses (3.54)%
Net Investment Income (Loss) (1.92)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from June 7, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -746-
FMT/Wells Fargo Diversified Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
780,121
Liabilities 593
Fees payable $
Net assets
779,528
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6
Units of Participation 560 14,010 5,321 39,798 4,981 4,911
NAV per Unit $ 10.0686 $ 10.9519 $ 11.1948 $ 11.3345 $ 10.9030 $ 11.2984
$
$
The accompanying notes are an integral part of these financial statements. -747-
Net Assets 5,643 153,436 59,564 451,088 54,307 55,490 779,528
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Audit fees Custody fees
55,419
7,903 1,200 331 9,434
Net investment income
45,985
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
306,172 328,069
Net realized loss from investments sold
(21,897)
Change in net unrealized appreciation (depreciation) on investments
94,106
Net realized and unrealized gain on investments
72,209
Other operating credits (charges)
2,752
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -748-
120,946
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
45,985 (21,897)
Change in net unrealized appreciation (depreciation) on investments
94,106 2,752
Other operating credits (charges)
120,946
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
542,384 699,578 (157,194)
Decrease in net assets from participant transactions Total decrease in net assets
(36,248)
Net assets at beginning of year
815,776 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -749-
779,528
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (100.1%) Wells Fargo Advantage Diversified Equity Fund (Cost $837,166)
28,808
Fair Value
$
780,121
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Mutual fund - Large Cap Core
$
Level 1
780,121 $
780,121 $
Level 2
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $197,647 and $306,172, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -750-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class D Class F Class G Class R1 Class R2 Class R3 Class R4 Class R5 Class R6
$
$
Purchases 6,850 43,502 34,258 336 790 5,607 247,983 70,025 22,092 110,680 261 542,384
Redemptions (222,322) (68,979) (98,330) (2,581) (27,851) (109,413) (16,225) (90,467) (57,001) (6,409) $ (699,578)
$
Units
$
$
Net change (215,472) (25,477) (64,072) (2,245) (27,061) 5,607 138,570 53,800 (68,375) 53,679 (6,148) (157,194)
Purchases 639 4,273 3,179 27 57 560 24,261 6,795 2,036 10,731 24 52,582
Redemptions (19,889) (6,498) (9,139) (204) (2,143) (10,251) (1,474) (8,061) (5,750) (565) (63,974)
The accompanying notes are an integral part of these financial statements. -751-
Net change (19,250) (2,225) (5,960) (177) (2,086) 560 14,010 5,321 (6,025) 4,981 (541) (11,392)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Diversified Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class D (d) Class F (e) Class G (f) Class R1 (g) Class R2 (h) Class R3 (i) Class R4 Class R5 (j) Class R6
NAV per Unit, Beginning of Period $ 10.4493 10.0112 9.9166 11.1247 12.6152 10.0000 10.0000 10.0000 9.8493 10.0000 9.8512
Net Investment Income (Loss)(a) $ 0.0489 0.0402 0.1238 0.9976 1.3207 0.0117 0.3470 0.4786 0.6094 0.6597 0.8355
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.9308 0.6429 0.9658 0.5379 0.4082 0.0569 0.6049 0.7162 0.8758 0.2433 0.6117
Total from Investment Activities $ 0.9797 0.6831 1.0896 1.5356 1.7289 0.0686 0.9519 1.1948 1.4852 0.9030 1.4472
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0686 10.9519 11.1948 11.3345 10.9030 11.2984
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through February 14, 2012
(c)
For the period from January 1, 2012 through February 1, 2012
(d)
For the period from January 1, 2012 through March 2, 2012
(e)
For the period from January 1, 2012 through December 11, 2012
(f)
For the period from January 1, 2012 through December 12, 2012
Total Return 9.38 6.82 10.99 13.80 13.70 0.69 9.52 11.95 15.08 9.03 14.69
% % % % % % % % % % %
Net Expenses (0.09)% (0.08)% (0.23)% (1.62)% (1.90)% (0.02)% (0.64)% (0.87)% (1.11)% (1.22)% (1.53)%
Net Investment Income (Loss) 0.45 % 0.39 % 1.18 % 8.39 % 9.80 % 0.12 % 3.31 % 4.52 % 5.75 % 6.31 % 7.90 %
(g) For the period from December 12, 2012 (commencement of this class) through December 31, 2012 (h)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -752-
FMT/iShares MSCI EAFE Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
7,952,016 332,556 16 8,284,588
Liabilities Investments purchased Fees payable Total liabilities
79,676 4,805 84,481 $
Net assets
8,200,107
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 559,135 11,726 84,337 84,845 52,765 39,463 34,072 7,100
NAV per Unit $ 8.1828 $ 11.4854 $ 11.4580 $ 11.8018 $ 11.4272 $ 11.3190 $ 11.4398 $ 11.6956
$
$
The accompanying notes are an integral part of these financial statements. -753-
Net Assets 4,575,318 134,677 966,337 1,001,328 602,955 446,678 389,772 83,042 8,200,107
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
209,609 253 209,862
58,451 3,329 1,200 62,980
Net investment income
146,882
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
1,180,699 1,214,865
Net realized loss from investments sold
(34,166)
Change in net unrealized appreciation (depreciation) on investments
1,089,357
Net realized and unrealized gain on investments
1,055,191
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -754-
1,202,073
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
146,882 (34,166)
Change in net unrealized appreciation (depreciation) on investments
1,089,357
Net increase in net assets resulting from operations
1,202,073
Participant transactions Proceeds from units purchased Less payments for units redeemed
10,916,328 8,636,859 2,279,469
Increase in net assets from participant transactions Total increase in net assets
3,481,542
Net assets at beginning of year
4,718,565 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -755-
8,200,107
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.0%) iShares MSCI EAFE Index ETF (Cost $7,696,985)
139,951
Fair Value $
7,952,016
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund International Core Equity
$
Level 1
7,952,016
$
7,952,016
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,496,148 and $1,180,699, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -756-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 182,751 16,756 233,286 44,327 30,300 85,622 23,287 25,215 8,677 2,629 27,914 5,947 4,508,251 1,817,519 849,740 975,744 1,065,312 402,671 290,402 103,155 44,085 65,749 106,989 10,916,328
Redemptions (726,345) (425,459) (996,567) (584,330) (482,599) (532,349) (288,988) (10,307) (34,054) (50,742) (144,233) (2,305) (170,107) (29,374) (347,540) (1,937,923) (99,902) (112,742) (531,771) (22,251) (15,982) (31,222) (635,857) (251,562) (172,348) $ (8,636,859)
$
Units
$
$
Net change (543,594) (408,703) (763,281) (540,003) (452,299) (446,727) (265,701) (10,307) (8,839) (42,065) (141,604) (2,305) (142,193) (23,427) 4,160,711 (120,404) 749,838 863,002 533,541 380,420 274,420 71,933 (591,772) (185,813) (65,359) 2,279,469
Purchases 16,335 1,559 22,246 4,217 2,854 8,357 2,305 2,665 858 341 2,252 550 572,920 187,315 84,000 91,553 102,865 39,385 29,272 9,946 4,578 6,875 10,036 1,203,284
Redemptions (64,462) (38,202) (93,854) (52,892) (44,952) (51,407) (28,996) (978) (3,504) (4,794) (18,995) (255) (12,497) (2,585) (44,260) (175,589) (9,413) (9,983) (50,100) (2,131) (1,480) (2,846) (64,811) (25,058) (15,796) (819,840)
The accompanying notes are an integral part of these financial statements. -757-
Net change (48,127) (36,643) (71,608) (48,675) (42,098) (43,050) (26,691) (978) (839) (3,936) (18,654) (255) (10,245) (2,035) 528,660 11,726 74,587 81,570 52,765 37,254 27,792 7,100 (60,233) (18,183) (5,760) 383,444
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares MSCI EAFE Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (g) Class N (h) Class O (e) Class Q (c) Class R1 Class R2 (i) Class R3 Class R4 Class R5 (i) Class R6 Class R7 Class R8 (j) Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 10.3222 10.3596 10.0433 9.9811 10.0682 9.7318 9.5982 9.5851 8.6921 9.4816 7.4363 9.0857 12.0946 10.0392 6.9669 10.0000 9.7933 10.1042 10.0000 9.7237 9.8440 10.0000 9.1490 9.1065 10.0599
Net Investment Income (Loss)(a) $ 0.1477 0.1918 0.2300 0.2732 0.3209 0.3475 0.3834 0.4036 0.4179 0.4964 0.0798 0.0038 0.2608 0.2022 0.0680 0.1495 0.1952 0.2464 0.2814 0.3306 0.3757 0.4190 0.2295 0.2638 0.3243
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2429 1.1851 1.1502 1.1155 1.0280 0.9369 0.9001 0.5610 0.6280 0.6277 0.7228 (0.0377) 1.4113 1.1890 1.1479 1.3359 1.4695 1.4512 1.1458 1.2647 1.2201 1.2766 0.9613 0.9963 0.6708
Total from Investment Activities $ 1.3906 1.3769 1.3802 1.3887 1.3489 1.2844 1.2835 0.9646 1.0459 1.1241 0.8026 (0.0339) 1.6721 1.3912 1.2159 1.4854 1.6647 1.6976 1.4272 1.5953 1.5958 1.6956 1.1908 1.2601 0.9951
Ratios (to average unit value)
NAV per Unit, End of Period $ 8.1828 11.4854 11.4580 11.8018 11.4272 11.3190 11.4398 11.6956 -
Total Return 13.47 % 13.29 % 13.74 % 13.91 % 13.40 % 13.20 % 13.37 % 10.06 % 12.03 % 11.86 % 10.79 % (0.37)% 13.83 % 13.86 % 17.45 % 14.85 % 17.00 % 16.80 % 14.27 % 16.41 % 16.21 % 16.96 % 13.02 % 13.84 % 9.89 %
Net Expenses (0.57)% (0.74)% (0.92)% (1.10)% (1.28)% (1.43)% (1.60)% (1.72)% (1.94)% (2.12)% (0.44)% (0.02)% (0.86)% (0.81)% (0.38)% (0.60)% (0.79)% (0.96)% (1.12)% (1.34)% (1.51)% (1.65)% (1.01)% (1.16)% (1.31)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 26, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 1, 2012 through January 9, 2012
(i)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -758-
Net Investment Income (Loss) 1.34 % 1.74 % 2.14 % 2.56 % 2.99 % 3.35 % 3.74 % 4.01 % 4.54 % 4.94 % 1.02 % 0.04 % 2.02 % 1.88 % 0.90 % 1.39 % 1.84 % 2.25 % 2.63 % 3.14 % 3.53 % 3.86 % 2.36 % 2.71 % 3.07 %
FMT/iShares Russell 2000 Growth Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
2,222,915 88,366 6 2,311,287
Liabilities Investments purchased Fees payable Total liabilities
18,901 1,776 20,677 $
Net assets
2,290,610
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 91,725 2,070 76 45,957 20,852 18,594 10,055 22,467
NAV per Unit $ 10.0339 $ 10.8595 $ 10.3584 $ 11.8954 $ 11.2802 $ 11.0884 $ 11.0291 $ 11.0385
$
$
The accompanying notes are an integral part of these financial statements. -759-
Net Assets 920,366 22,482 788 546,676 235,215 206,180 110,896 248,007 2,290,610
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
33,726 81 33,807
27,500 3,311 1,200 32,011
Net investment income
1,796
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
828,445 709,603
Net realized gain from investments sold
118,842
Change in net unrealized appreciation (depreciation) on investments
164,265
Net realized and unrealized gain on investments
283,107
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -760-
284,903
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,796
Net realized gain from investments sold
118,842
Change in net unrealized appreciation (depreciation) on investments
164,265
Net increase in net assets resulting from operations
284,903
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,778,954 3,108,147 (329,193)
Decrease in net assets from participant transactions Total decrease in net assets
(44,290) 2,334,900
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -761-
2,290,610
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.0%) iShares Russell 2000 Growth Index ETF (Cost $1,876,707)
23,323
Fair Value $
2,222,915
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Small Cap Growth
$
Level 1
2,222,915
$
2,222,915
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $501,456 and $828,445, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -762-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S
$
$
Purchases 41,128 31,616 108,314 17,703 66,301 15,060 21,598 8,043 4,321 7,356 944,990 20,767 768 702,430 201,636 276,008 102,064 186,165 22,686 2,778,954
$
$
Redemptions (97,193) (243,473) (698,670) (112,810) (573,195) (128,540) (336,156) (102,723) (38,996) (6,836) (28,348) (48,918) (181,028) (67,129) (93,306) (140,489) (69,916) (140,421) (3,108,147)
Units
$
$
Net change (56,065) (211,857) (590,356) (95,107) (506,894) (113,480) (314,558) (94,680) (38,996) (2,515) (20,992) 896,072 20,767 768 521,402 134,507 182,702 (38,425) 116,249 (117,735) (329,193)
Purchases 3,552 2,824 9,331 1,450 6,015 1,491 1,828 776 386 595 96,180 2,070 76 61,255 18,917 27,052 9,887 18,062 1,887 263,634
Redemptions (8,516) (22,267) (61,445) (9,135) (53,114) (12,957) (28,938) (9,930) (2,451) (596) (2,266) (4,455) (15,497) (6,240) (8,790) (12,931) (6,403) (11,676) (277,607)
The accompanying notes are an integral part of these financial statements. -763-
Net change (4,964) (19,443) (52,114) (7,685) (47,099) (11,466) (27,110) (9,154) (2,451) (210) (1,671) 91,725 2,070 76 45,758 12,677 18,262 (3,044) 11,659 (9,789) (13,973)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Growth Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (f) Class N (g) Class O (e) Class Q (c) Class R1 (h) Class R1 (i) Class R2 (j) Class R3 (k) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b)
NAV per Unit, Beginning of Period $ 10.6961 9.9253 10.4342 11.2853 10.2273 9.2540 10.8632 9.6532 15.1077 10.4175 11.3242 10.0000 10.0000 10.0000 10.0000 10.5249 9.9976 9.8443 9.8083 9.8331 11.0002
Net Investment Income (Loss)(a) $ 0.0041 0.0050 0.0065 0.0083 0.0088 0.0089 0.0117 0.0081 0.0003 0.0060 0.0062 0.0016 0.0006 0.0021 0.0020 0.0069 0.0077 0.0088 0.0100 0.0112 0.0074
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1331 1.0277 1.1850 1.1921 0.9913 0.9985 1.0859 0.7096 0.8038 1.0557 1.2999 1.0562 0.0333 0.8574 0.3564 1.3636 1.2749 1.2353 1.2108 1.1942 1.1084
Total from Investment Activities $ 1.1372 1.0327 1.1915 1.2004 1.0001 1.0074 1.0976 0.7177 0.8041 1.0617 1.3061 1.0578 0.0339 0.8595 0.3584 1.3705 1.2826 1.2441 1.2208 1.2054 1.1158
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0339 10.8595 10.3584 11.8954 11.2802 11.0884 11.0291 11.0385 -
Total Return 10.63 10.40 11.42 10.64 9.78 10.89 10.10 7.43 5.32 10.19 11.53 10.58 0.34 8.60 3.58 13.02 12.83 12.64 12.45 12.26 10.14
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.64)% (0.84)% (1.04)% (1.23)% (1.44)% (1.61)% (1.81)% (1.43)% (0.04)% (0.97)% (0.91)% (0.36)% (0.38)% (0.36)% (0.34)% (1.08)% (1.28)% (1.48)% (1.69)% (1.89)% (1.14)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from Janurary 1, 2012 through December 10, 2012
(c)
For the period from Janurary 1, 2012 through December 11, 2012
(d)
For the period from Janurary 1, 2012 through December 12, 2012
(e)
For the period from Janurary 1, 2012 through December 13, 2012
(f)
For the period from Janurary 1, 2012 through August 10, 2012
(g)
For the period from Janurary 1, 2012 through January 18, 2012
(h)
For the period from January 19, 2012 (commencement of this class) through September 14, 2012
(i)
For the period from October 4, 2012 (recommencement of this class) through December 31, 2012
(j)
For the period from June 18, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from August 23, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -764-
Net Investment Income (Loss) 0.04 % 0.05 % 0.06 % 0.07 % 0.08 % 0.09 % 0.10 % 0.08 % % 0.05 % 0.05 % 0.01 % 0.01 % 0.02 % 0.02 % 0.06 % 0.07 % 0.08 % 0.10 % 0.11 % 0.06 %
FMT/iShares Russell 2000 Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
4,718,639 195,815 11 4,914,465
Liabilities Investments purchased Fees payable Total liabilities
45,436 3,198 48,634 $
Net assets
4,865,831
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 165,896 76,360 49,602 18,752 53,428 26,494 24,130 11,651
NAV per Unit $ 11.3537 $ 11.4157 $ 10.7500 $ 12.1745 $ 11.9400 $ 11.3336 $ 11.5072 $ 11.4330
$
$
The accompanying notes are an integral part of these financial statements. -765-
Net Assets 1,883,523 871,708 533,219 228,296 637,933 300,278 277,668 133,206 4,865,831
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
101,083 166 101,249
47,264 3,398 1,200 51,862
Net investment income
49,387
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,306,057 1,972,685
Net realized gain from investments sold
333,372
Change in net unrealized appreciation (depreciation) on investments
340,751
Net realized and unrealized gain on investments
674,123
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -766-
723,510
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
49,387
Net realized gain from investments sold
333,372
Change in net unrealized appreciation (depreciation) on investments
340,751
Net increase in net assets resulting from operations
723,510
Participant transactions Proceeds from units purchased Less payments for units redeemed
5,336,005 6,200,865 (864,860)
Decrease in net assets from participant transactions Total decrease in net assets
(141,350) 5,007,181
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -767-
4,865,831
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.0%) iShares Russell 2000 Index ETF (Cost $3,929,876)
55,981
Fair Value $
4,718,639
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Small Cap Core
$
Level 1
4,718,639
$
4,718,639
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,472,368 and $2,306,057, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -768-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 199,669 81 18,724 50,226 244,318 9,578 55,514 2,928 13,444 7,575 25,602 2,893 35,276 1,788,703 508,505 823,833 220,529 584,690 409,690 172,879 158,347 2,086 889 26 5,336,005
Redemptions (946,503) (5,884) (163,339) (559,944) (826,343) (170,614) (539,063) (49,257) (164,939) (27,194) (143,979) (37,768) (345,438) (687,860) (238,805) (334,990) (12,660) (100,228) (178,840) (172,357) (82,438) (78,426) (329,607) (4,389) $ (6,200,865)
$
Units
$
$
Net change (746,834) (5,803) (144,615) (509,718) (582,025) (161,036) (483,549) (46,329) (151,495) (19,619) (118,377) (34,875) (310,162) 1,100,843 269,700 488,843 207,869 484,462 230,850 522 75,909 (76,340) (328,718) (4,363) (864,860)
Purchases 15,612 6 1,234 3,560 18,291 701 3,727 230 1,007 719 2,082 252 2,309 162,966 49,161 82,041 19,710 51,656 38,592 16,622 14,860 152 78 2 485,570
Redemptions (72,607) (416) (10,830) (39,587) (59,067) (12,890) (35,682) (4,106) (12,554) (2,538) (12,192) (3,280) (22,552) (64,289) (21,614) (32,439) (1,131) (8,902) (16,553) (16,062) (7,762) (5,619) (29,029) (384) (492,085)
The accompanying notes are an integral part of these financial statements. -769-
Net change (56,995) (410) (9,596) (36,027) (40,776) (12,189) (31,955) (3,876) (11,547) (1,819) (10,110) (3,028) (20,243) 98,677 27,547 49,602 18,579 42,754 22,039 560 7,098 (5,467) (28,951) (382) (6,515)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (g) Class N (g) Class O (e) Class R1 Class R2 Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (i) Class U (j)
NAV per Unit, Beginning of Period $ 12.1633 12.9410 14.0086 12.9667 12.8623 12.5979 13.7273 11.7129 12.3235 9.7496 10.7574 10.5406 14.1166 9.8296 9.9051 10.0000 10.5993 10.4126 9.9007 10.0692 10.0212 12.4687 10.4290 10.8044
Net Investment Income (Loss)(a) $ 0.0742 0.0999 0.1374 0.1512 0.1740 0.1913 0.2347 0.0912 0.2538 0.2184 0.0501 0.0707 0.1308 0.0396 0.0644 0.0724 0.1103 0.1280 0.1413 0.1632 0.1806 0.1344 0.0541 0.0099
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3868 1.5033 1.6511 1.4124 1.2633 1.3495 1.3469 0.1900 1.0515 0.7970 0.9948 0.9323 1.5063 1.4845 1.4462 0.6776 1.4649 1.3994 1.2916 1.2748 1.2312 1.3069 0.2913 0.6129
Total from Investment Activities $ 1.4610 1.6032 1.7885 1.5636 1.4373 1.5408 1.5816 0.2812 1.3053 1.0154 1.0449 1.0030 1.6371 1.5241 1.5106 0.7500 1.5752 1.5274 1.4329 1.4380 1.4118 1.4413 0.3454 0.6228
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.3537 11.4157 10.7500 12.1745 11.9400 11.3336 11.5072 11.4330 -
Total Return 12.01 12.39 12.77 12.06 11.17 12.23 11.52 2.40 10.59 10.41 9.71 9.52 11.60 15.51 15.25 7.50 14.86 14.67 14.47 14.28 14.09 11.56 3.31 5.76
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.60)% (0.76)% (0.96)% (1.15)% (1.34)% (1.50)% (1.69)% (0.80)% (2.04)% (2.23)% (0.46)% (0.67)% (0.92)% (0.39)% (0.63)% (0.73)% (1.01)% (1.20)% (1.39)% (1.58)% (1.76)% (1.07)% (0.53)% (0.09)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through May 22, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 1, 2012 through May 23, 2012
(j)
For the period from January 1, 2012 through January 23, 2012
The accompanying notes are an integral part of these financial statements. -770-
Net Investment Income (Loss) 0.58 % 0.73 % 0.92 % 1.10 % 1.28 % 1.43 % 1.62 % 0.77 % 1.96 % 2.13 % 0.44 % 0.64 % 0.88 % 0.37 % 0.60 % 0.70 % 0.97 % 1.15 % 1.33 % 1.51 % 1.68 % 1.02 % 0.51 % 0.09 %
FMT/iShares Russell 2000 Value Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
2,059,762 91,180 4 2,150,946
Liabilities Investments purchased Fees payable Total liabilities
23,088 1,304 24,392 $
Net assets
2,126,554
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 139,510 3,475 26,407 12,779 14,289 8,941 3,049
NAV per Unit $ 9.7588 $ 10.8823 $ 10.9070 $ 11.4317 $ 11.2231 $ 11.2833 $ 10.4745
$
$
The accompanying notes are an integral part of these financial statements. -771-
Net Assets 1,361,449 37,817 288,025 146,080 160,363 100,882 31,938 2,126,554
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
51,215 69 51,284
19,834 3,360 1,200 24,394
Net investment income
26,890
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
384,949 342,407
Net realized gain from investments sold
42,542
Change in net unrealized appreciation (depreciation) on investments
226,912
Net realized and unrealized gain on investments
269,454
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -772-
296,344
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
26,890 42,542
Change in net unrealized appreciation (depreciation) on investments
226,912
Net increase in net assets resulting from operations
296,344
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,081,247 2,060,616 20,631
Increase in net assets from participant transactions Total increase in net assets
316,975 1,809,579
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -773-
2,126,554
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (96.9%) iShares Russell 2000 Value Index ETF (Cost $1,776,427)
27,278
Fair Value $
2,059,762
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Small Cap Value
$
Level 1
2,059,762
$
2,059,762
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $418,599 and $384,949, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -774-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class H Class I Class J Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T
$
$
Purchases 2,104 93,901 34,600 33,164 3,205 25,964 8,257 6,485 120 50 1,063,644 35,395 315,781 143,716 155,911 96,289 55,562 7,099 2,081,247
Redemptions (209,543) (419,943) (119,154) (453,879) (45,309) (380,992) (33,774) (19,354) (3,346) (28,350) (93,269) (482) (57,015) (16,114) (9,745) (4,096) (28,854) (7,910) (129,487) $ (2,060,616)
$
Units
$
$
Net change (207,439) (326,042) (84,554) (420,715) (42,104) (355,028) (25,517) (12,869) (3,226) (28,300) 970,375 34,913 258,766 127,602 146,166 92,193 26,708 (811) (129,487) 20,631
Purchases 204 9,032 3,424 3,278 359 2,632 699 737 14 4 112,696 3,523 31,856 14,293 15,197 9,312 5,868 724 213,852
Redemptions (19,586) (40,226) (11,212) (44,594) (5,203) (37,688) (2,851) (2,114) (385) (2,291) (10,051) (48) (5,449) (1,514) (908) (371) (2,819) (798) (11,725) (199,833)
The accompanying notes are an integral part of these financial statements. -775-
Net change (19,382) (31,194) (7,788) (41,316) (4,844) (35,056) (2,152) (1,377) (371) (2,287) 102,645 3,475 26,407 12,779 14,289 8,941 3,049 (74) (11,725) 14,019
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 2000 Value Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (g) Class Q (h) Class R1 Class R3 (i) Class R4 (j) Class R5 (k) Class R6 (l) Class R7 (m) Class R8 (n) Class S (b) Class T (o)
NAV per Unit, Beginning of Period $ 9.4937 9.7052 9.4502 9.3534 8.0060 9.2148 10.8826 8.2155 7.9248 11.5821 8.3601 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 8.8126 10.8946
Net Investment Income (Loss)(a) $ 0.0974 0.1232 0.1421 0.1631 0.1586 0.2029 0.2543 0.2185 0.1599 0.0089 0.0440 0.0956 0.1157 0.1553 0.1756 0.1219 0.1821 0.1216 0.0019
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1294 1.2071 1.0873 0.9745 0.8951 0.9454 0.7002 0.7400 0.5035 0.7843 1.3547 0.7867 0.7913 1.2764 1.0475 1.1614 0.2924 0.9933 0.1476
Total from Investment Activities $ 1.2268 1.3303 1.2294 1.1376 1.0537 1.1483 0.9545 0.9585 0.6634 0.7932 1.3987 0.8823 0.9070 1.4317 1.2231 1.2833 0.4745 1.1149 0.1495
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.7588 10.8823 10.9070 11.4317 11.2231 11.2833 10.4745 -
Total Return 12.92 13.71 13.01 12.16 13.16 12.46 8.77 11.67 8.37 6.85 16.73 8.82 9.07 14.32 12.23 12.83 4.75 12.65 1.37
% % % % % % % % % % % % % % % % % % %
Net Expenses (0.87)% (1.08)% (1.28)% (1.49)% (1.69)% (1.88)% (2.03)% (2.28)% (1.76)% (0.07)% (0.44)% (0.83)% (1.00)% (1.31)% (1.50)% (1.04)% (1.61)% (1.18)% (0.02)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through August 27, 2012
(h)
For the period from January 1, 2012 through January 25, 2012
(i)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from May 31, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from February 24, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from January 1, 2012 through January 4, 2012
The accompanying notes are an integral part of these financial statements. -776-
Net Investment Income (Loss) 0.96 % 1.18 % 1.41 % 1.64 % 1.85 % 2.07 % 2.23 % 2.51 % 1.93 % 0.07 % 0.48 % 0.91 % 1.10 % 1.45 % 1.65 % 1.14 % 1.77 % 1.29 % 0.02 %
FMT/iShares Russell 3000 Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
3,047,887 445,505 9 3,493,401
Liabilities Investments purchased Fees payable Total liabilities
357,306 1,760 359,066 $
Net assets
3,134,335
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 209,506 26,243 1,226 5,473 22,457 5,730 14,075 10,332
NAV per Unit $ 10.3145 $ 11.4716 $ 11.1656 $ 11.5915 $ 11.2919 $ 11.5768 $ 11.7920 $ 10.5805
$
$
The accompanying notes are an integral part of these financial statements. -777-
Net Assets 2,160,947 301,049 13,688 63,445 253,582 66,333 165,972 109,319 3,134,335
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
54,116 105 54,221
27,553 3,336 1,200 32,089
Net investment income
22,132
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
339,811 294,584
Net realized gain from investments sold
45,227
Change in net unrealized appreciation (depreciation) on investments
276,698
Net realized and unrealized gain on investments
321,925
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -778-
344,057
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
22,132 45,227
Change in net unrealized appreciation (depreciation) on investments
276,698
Net increase in net assets resulting from operations
344,057
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,960,524 3,279,581 680,943
Increase in net assets from participant transactions Total increase in net assets
1,025,000
Net assets at beginning of year
2,109,335 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -779-
3,134,335
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.2%) iShares Russell 3000 Index ETF (Cost $2,654,083)
35,993
Fair Value $
3,047,887
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund - All Cap Core
$
Level 1
3,047,887
$
3,047,887
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,018,108 and $339,811, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -780-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class T
$
$
Purchases 244,826 4,718 246,676 58,456 11,785 41,664 126 6,437 45 20,162 2,206,477 422,806 18,597 102,743 264,445 60,724 144,982 104,393 462 3,960,524
Redemptions (664,333) (3,976) (28,877) (706,246) (253,135) (109,182) (508,957) (40,076) (85,014) (47) (181,257) (3,195) (101,697) (383,737) (6,017) (87,673) (25,554) (239) (8,228) (508) (81,633) $ (3,279,581)
$
Units
$
$
Net change (419,507) (3,976) (24,159) (459,570) (194,679) (97,397) (467,293) (39,950) (78,577) (2) (161,095) (3,195) 2,104,780 39,069 12,580 15,070 238,891 60,485 136,754 103,885 (81,171) 680,943
Purchases 22,411 361 19,083 4,476 911 3,135 10 10 4 1,937 215,954 40,050 1,782 9,653 24,715 5,438 13,527 10,380 40 373,877
Redemptions (58,926) (347) (2,154) (53,907) (18,919) (8,053) (38,108) (3,074) (139) (4) (17,056) (314) (9,824) (33,980) (557) (7,948) (2,258) (22) (730) (48) (7,230) (263,598)
The accompanying notes are an integral part of these financial statements. -781-
Net change (36,515) (347) (1,793) (34,824) (14,443) (7,142) (34,973) (3,064) (129) (15,119) (314) 206,130 6,070 1,226 1,705 22,457 5,416 12,797 10,332 (7,190) 110,280
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell 3000 Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class Q (g) Class R1 Class R2 Class R3 (h) Class R4 Class R5 (i) Class R6 Class R7 Class R8 (j) Class T (k)
NAV per Unit, Beginning of Period $ 10.3206 11.1382 11.9520 11.7961 11.9164 11.9752 12.1677 11.6718 551.4698 10.0000 9.4297 9.6375 8.9410 9.9661 10.0000 10.1040 10.0000 10.1254 10.3315 10.0000 10.4685
Net Investment Income (Loss)(a) $ 0.0487 0.0539 0.0908 0.1065 0.1242 0.1414 0.1608 0.1859 9.5425 0.0671 0.0044 0.0295 0.0504 0.0615 0.0813 0.0938 0.1127 0.1292 0.0705 0.0383
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3880 1.5841 1.6187 1.5575 1.4676 1.5059 1.4892 1.2704 58.2819 0.9518 1.2330 0.5411 1.3440 1.4551 1.1041 1.4062 1.1981 1.3387 1.3313 0.5100 0.7837
Total from Investment Activities $ 1.4367 1.6380 1.7095 1.6640 1.5918 1.6473 1.6500 1.4563 67.8244 0.9518 1.3001 0.5455 1.3735 1.5055 1.1656 1.4875 1.2919 1.4514 1.4605 0.5805 0.8220
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3145 11.4716 11.1656 11.5915 11.2919 11.5768 11.7920 10.5805 -
Total Return 13.92 14.71 14.30 14.11 13.36 13.76 13.56 12.48 12.30 9.52 13.79 5.66 15.36 15.11 11.66 14.72 12.92 14.33 14.14 5.81 7.85
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.64)% (0.65)% (1.03)% (1.22)% (1.42)% (1.60)% (1.79)% (2.17)% (2.36)% % (0.97)% (0.06)% (0.44)% (0.68)% (0.84)% (1.09)% (1.28)% (1.51)% (1.69)% (0.99)% (0.51)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 11, 2012 (commencement of this class) through November 27, 2012
(g)
For the period from January 1, 2012 through January 25, 2012
(h)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through May 11, 2012
The accompanying notes are an integral part of these financial statements. -782-
Net Investment Income (Loss) 0.44 % 0.45 % 0.71 % 0.84 % 0.97 % 1.10 % 1.23 % 1.49 % 1.62 % % 0.66 % 0.04 % 0.31 % 0.47 % 0.58 % 0.75 % 0.88 % 1.03 % 1.16 % 0.68 % 0.35 %
FMT/iShares Russell Mid-Cap Growth Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
4,644,814 167,113 12 4,811,939
Liabilities Investments purchased Fees payable Total liabilities
35,175 2,491 37,666 $
Net assets
4,774,273
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 98,806 152,397 31,448 5,724 3,417 10,823 14,951 12,903
NAV per Unit $ 23.1614 $ 10.6791 $ 11.0078 $ 11.2536 $ 10.9065 $ 10.2137 $ 10.9355 $ 10.5753
$
$
The accompanying notes are an integral part of these financial statements. -783-
Net Assets 2,288,478 1,627,455 346,170 64,411 37,271 110,539 163,493 136,456 4,774,273
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
61,664 159 61,823
36,852 3,330 1,200 41,382
Net investment income
20,441
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,088,198 887,696
Net realized gain from investments sold
200,502
Change in net unrealized appreciation (depreciation) on investments
372,026
Net realized and unrealized gain on investments
572,528
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -784-
592,969
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
20,441
Net realized gain from investments sold
200,502
Change in net unrealized appreciation (depreciation) on investments
372,026
Net increase in net assets resulting from operations
592,969
Participant transactions Proceeds from units purchased Less payments for units redeemed
6,123,159 6,198,744 (75,585)
Decrease in net assets from participant transactions Total increase in net assets
517,384 4,256,889
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -785-
4,774,273
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Schedule of Investments and Specific Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.3%) iShares Russell Mid-Cap Growth Index ETF (Cost $3,698,080)
73,962
Fair Value
$
4,644,814
Specific Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund - Mid Cap Growth
$
Level 1
4,644,814
$
4,644,814
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,024,742 and $1,088,198, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -786-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 90,853 10,512 320,197 10,955 80,287 79,884 31,630 6,881 3,649 9,846 193 55,599 21,042 2,572,604 1,615,841 501,771 62,883 49,371 106,337 239,547 169,632 36,325 8,614 38,706 6,123,159
Redemptions (1,541,478) (848,463) (977,690) (105,921) (254,497) (342,402) (292,253) (31,337) (50,576) (26,242) (11,424) (339,573) (90,222) (467,684) (161,581) (178,322) (13,650) (12,822) (85) (84,344) (41,799) (152,840) (94,774) (78,765) $ (6,198,744)
$
Units
$
$
Net change (1,450,625) (837,951) (657,493) (94,966) (174,210) (262,518) (260,623) (24,456) (46,927) (16,396) (11,231) (283,974) (69,180) 2,104,920 1,454,260 323,449 49,233 36,549 106,252 155,203 127,833 (116,515) (86,160) (40,059) (75,585)
Purchases 7,561 885 27,874 867 6,701 6,678 2,806 542 336 785 15 3,026 2,058 113,538 168,157 48,125 5,921 4,632 10,832 22,930 16,944 2,743 673 3,735 458,364
Redemptions (136,548) (70,579) (80,606) (8,226) (20,765) (28,686) (26,168) (2,450) (4,622) (2,051) (894) (18,422) (8,521) (21,444) (15,760) (16,677) (1,280) (1,215) (9) (7,979) (4,041) (11,416) (7,187) (7,630) (503,176)
The accompanying notes are an integral part of these financial statements. -787-
Net change (128,987) (69,694) (52,732) (7,359) (14,064) (22,008) (23,362) (1,908) (4,286) (1,266) (879) (15,396) (6,463) 92,094 152,397 31,448 4,641 3,417 10,823 14,951 12,903 (8,673) (6,514) (3,895) (44,812)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Growth Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class H (g) Class I (c) Class J (c) Class L (g) Class M (g) Class O (f) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 (j) Class R6 (k) Class R7 (i) Class R8 (l) Class S (c) Class T (e) Class U (g)
NAV per Unit, Beginning of Period $ 11.0316 10.9595 10.8799 11.5391 11.1039 10.8500 10.4877 11.6565 10.0268 11.5148 11.5212 16.6182 9.4733 20.2541 10.0000 10.0000 9.8959 10.0000 10.0000 10.0000 10.0000 12.1068 11.7134 9.4030
Net Investment Income (Loss)(a) $ 0.0162 0.0465 0.0566 0.0714 0.0798 0.0878 0.0955 0.1120 0.1097 0.1370 0.0256 0.0410 0.0462 0.0436 0.0194 0.0420 0.0544 0.0607 0.0563 0.0803 0.0825 0.0690 0.0771 0.0692
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2047 1.2974 1.3338 1.3886 1.2314 1.2403 1.1749 1.0034 0.9947 1.1109 1.2324 1.7660 1.1126 2.8637 0.6597 0.9658 1.3032 0.8458 0.1574 0.8552 0.4928 1.3826 1.3963 0.8688
Total from Investment Activities $ 0.2209 1.3439 1.3904 1.4600 1.3112 1.3281 1.2704 1.1154 1.1044 1.2479 1.2580 1.8070 1.1588 2.9073 0.6791 1.0078 1.3576 0.9065 0.2137 0.9355 0.5753 1.4516 1.4734 0.9380
Ratios (to average unit value)
NAV per Unit, End of Period $ 23.1614 10.6791 11.0078 11.2536 10.9065 10.2137 10.9355 10.5753 -
Total Return 2.00 12.26 12.78 12.65 11.81 12.24 12.11 9.57 11.01 10.84 10.92 10.87 12.23 14.35 6.79 10.08 13.72 9.06 2.14 9.35 5.75 11.99 12.58 9.98
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.30)% (0.81)% (0.99)% (1.18)% (1.38)% (1.55)% (1.74)% (1.86)% (2.11)% (2.29)% (0.43)% (0.48)% (0.93)% (0.41)% (0.38)% (0.81)% (1.05)% (1.18)% (1.13)% (1.56)% (1.63)% (1.09)% (1.26)% (1.42)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through June 4, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from May 25, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from March 9, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -788-
Net Investment Income (Loss) 0.15 % 0.40 % 0.49 % 0.58 % 0.68 % 0.76 % 0.86 % 0.92 % 1.04 % 1.13 % 0.21 % 0.23 % 0.46 % 0.20 % 0.19 % 0.40 % 0.51 % 0.58 % 0.56 % 0.77 % 0.80 % 0.54 % 0.62 % 0.70 %
FMT/iShares Russell Mid-Cap Value Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
7,842,112 242,981 18 8,085,111
Liabilities Investments purchased Fees payable Total liabilities
23,903 4,597 28,500 $
Net assets
8,056,611
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 498,739 49,222 88,465 47,025 15,029 34,741 19,543 2,938
$ $ $ $ $ $ $ $
NAV per Unit 10.3019 11.6781 11.0224 11.6759 11.1199 11.4605 11.2632 11.6757
$
$
The accompanying notes are an integral part of these financial statements. -789-
Net Assets 5,137,939 574,821 975,100 549,060 167,122 398,151 220,119 34,299 8,056,611
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
173,467 255 173,722
78,977 3,344 1,200 83,521
Net investment income
90,201
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,055,944 1,877,708
Net realized gain from investments sold
178,236
Change in net unrealized appreciation (depreciation) on investments
992,100
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
1,170,336 $
The accompanying notes are an integral part of these financial statements. -790-
1,260,537
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
90,201
Net realized gain from investments sold
178,236
Change in net unrealized appreciation (depreciation) on investments
992,100 1,260,537
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
8,534,274 10,132,959 (1,598,685)
Decrease in net assets from participant transactions Total decrease in net assets
(338,148) 8,394,759
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -791-
8,056,611
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (97.3%) iShares Russell Mid-Cap Value Index ETF (Cost $6,717,735)
156,093
Fair Value
$
7,842,112
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund - Mid Cap Value
$
Level 1
7,842,112
$
7,842,112
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $579,067 and $2,055,944, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -792-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 164,426 75,444 163,685 64,830 122,514 72,436 53,093 6,882 31,069 6,747 65 12,858 10,941 10,420 4,626,694 536,647 1,019,297 574,552 184,175 399,650 244,301 70,384 62,043 2,648 18,473 8,534,274
Redemptions (1,120,801) (924,562) (1,665,549) (560,082) (841,485) (947,559) (1,047,286) (19,414) (153,118) (31,672) (4,039) (210,644) (11,301) (272,805) (438,380) (40,064) (113,132) (104,822) (27,470) (45,682) (40,220) (42,486) (841,793) (21,704) (606,889) $ (10,132,959)
$
Units
$
$
Net change (956,375) (849,118) (1,501,864) (495,252) (718,971) (875,123) (994,193) (12,532) (122,049) (24,925) (3,974) (197,786) (360) (262,385) 4,188,314 496,583 906,165 469,730 156,705 353,968 204,081 27,898 (779,750) (19,056) (588,416) (1,598,685)
Purchases 13,798 6,676 14,305 5,542 10,568 7,351 4,656 664 2,856 644 5 1,128 1,094 857 458,757 52,859 99,439 55,014 17,686 38,810 23,376 6,455 4,615 215 1,359 828,729
Redemptions (93,867) (78,655) (142,714) (46,213) (70,052) (92,556) (89,091) (1,804) (13,654) (2,881) (305) (18,450) (1,094) (22,110) (45,472) (3,637) (10,974) (9,666) (2,657) (4,069) (3,833) (3,653) (62,372) (1,727) (43,494) (865,000)
The accompanying notes are an integral part of these financial statements. -793-
Net change (80,069) (71,979) (128,409) (40,671) (59,484) (85,205) (84,435) (1,140) (10,798) (2,237) (300) (17,322) (21,253) 413,285 49,222 88,465 45,348 15,029 34,741 19,543 2,802 (57,757) (1,512) (42,135) (36,271)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/iShares Russell Mid-Cap Value Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class O (e) Class P (g) Class Q (c) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 (j) Class R6 (k) Class R7 (l) Class R8 Class S (b) Class T (m) Class U (f)
NAV per Unit, Beginning of Period $ 11.1437 10.4039 10.7858 10.7260 10.6869 9.3089 10.4785 9.6553 10.1273 9.7263 11.7210 10.6082 10.0000 11.7025 8.7873 10.0000 10.0000 10.0150 10.0000 10.0000 10.0000 10.0830 12.5187 11.4227 12.6114
Net Investment Income (Loss)(a) $ 0.0740 0.0904 0.1155 0.1367 0.1577 0.1543 0.1958 0.1909 0.2268 0.2380 0.0576 0.1067 0.0432 0.1098 0.0393 0.0478 0.0820 0.1140 0.1227 0.1529 0.1675 0.1996 0.1463 0.0515 0.1909
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6563 1.5059 1.5535 1.5056 1.3853 1.2347 1.3506 0.9199 1.1974 1.1122 1.4480 1.4708 0.2861 1.7222 1.4753 1.6303 0.9404 1.5469 0.9972 1.3076 1.0957 1.3931 1.7393 1.1174 1.3121
Total from Investment Activities $ 1.7303 1.5963 1.6690 1.6423 1.5430 1.3890 1.5464 1.1108 1.4242 1.3502 1.5056 1.5775 0.3293 1.8320 1.5146 1.6781 1.0224 1.6609 1.1199 1.4605 1.2632 1.5927 1.8856 1.1689 1.5030
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3019 11.6781 11.0224 11.6759 11.1199 11.4605 11.2632 11.6757 -
Total Return 15.53 15.34 15.47 15.31 14.44 14.92 14.76 11.50 14.06 13.88 12.85 14.87 3.29 15.65 17.24 16.78 10.22 16.58 11.20 14.61 12.63 15.80 15.06 10.23 11.92
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.92)% (1.09)% (1.27)% (1.43)% (1.61)% (1.73)% (1.93)% (2.11)% (0.43)% (0.87)% (0.39)% (0.80)% (0.38)% (0.41)% (0.72)% (0.97)% (1.07)% (1.32)% (1.46)% (1.70)% (1.00)% (0.40)% (1.32)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from February 27, 2012 (commencement of this class) through November 27, 2012
(h)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through April 26, 2012
The accompanying notes are an integral part of these financial statements. -794-
Net Investment Income (Loss) 0.62 % 0.81 % 0.99 % 1.18 % 1.38 % 1.54 % 1.74 % 1.87 % 2.09 % 2.29 % 0.46 % 0.94 % 0.42 % 0.87 % 0.41 % 0.44 % 0.78 % 1.05 % 1.16 % 1.42 % 1.58 % 1.83 % 1.09 % 0.43 % 1.43 %
FMT/SPDR Energy Sector ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$
9,726,913 354,553 50,113 10,131,579
Liabilities Investments purchased Fees payable Total liabilities
49,412 6,180 55,592 $ 10,075,987
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 573,029 6,848 119,813 101,916 84,296 36,801 20,771 34,969
$ $ $ $ $ $ $ $
NAV per Unit 10.2045 10.1635 10.1189 10.9469 10.3108 10.1659 10.0980 10.8053
$
$
The accompanying notes are an integral part of these financial statements. -795-
Net Assets 5,847,483 69,595 1,212,384 1,115,660 869,152 374,113 209,746 377,854 10,075,987
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
185,668 358 186,026
107,000 3,348 1,200 111,548
Net investment income
74,478
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,609,223 2,381,828
Net realized gain from investments sold
227,395
Change in net unrealized appreciation (depreciation) on investments
24,722
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
252,117 $
The accompanying notes are an integral part of these financial statements. -796-
326,595
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
74,478 227,395 24,722
Change in net unrealized appreciation (depreciation) on investments
326,595
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
14,416,540 14,552,765 (136,225)
Decrease in net assets from participant transactions Total increase in net assets
190,370 9,885,617
Net assets at beginning of year
$ 10,075,987
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -797-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (96.5%) SPDR Energy Sector ETF (Cost $8,745,964)
136,155
Fair Value $
9,726,913
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Sector specific - natural resources
$
Level 1
9,726,913
$
9,726,913
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,482,484 and $2,609,223, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -798-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 72,111 13,673 350,405 325,835 177,357 34,603 147,843 61,460 33,806 5,574 162,470 93,732 6,636 6,084,184 1,023,538 1,552,784 1,318,169 1,712,491 435,059 306,343 353,266 120,803 17,370 7,028 14,416,540
Redemptions (923,383) (521,514) (2,824,985) (1,327,553) (1,241,435) (465,847) (1,508,325) (451,373) (186,697) (51,272) (737,187) (348,217) (56,895) (270,734) (945,260) (385,537) (244,565) (839,610) (66,698) (146,891) (24,377) (358,780) (272,166) (353,464) $ (14,552,765)
$
Units
$
$
Net change (851,272) (507,841) (2,474,580) (1,001,718) (1,064,078) (431,244) (1,360,482) (389,913) (152,891) (45,698) (574,717) (254,485) (50,259) 5,813,450 78,278 1,167,247 1,073,604 872,881 368,361 159,452 328,889 (237,977) (254,796) (346,436) (136,225)
Purchases 5,214 952 22,597 17,221 8,925 1,827 7,972 3,666 2,599 458 13,202 5,846 583 599,500 101,416 158,563 125,642 166,697 43,567 31,187 33,450 9,318 1,433 561 1,362,396
Redemptions (65,157) (37,141) (181,343) (72,082) (62,783) (24,465) (80,735) (26,751) (14,240) (4,208) (59,501) (21,423) (4,879) (26,471) (94,568) (38,750) (23,739) (84,058) (6,766) (14,461) (2,381) (29,686) (22,347) (27,951) (1,025,886)
The accompanying notes are an integral part of these financial statements. -799-
Net change (59,943) (36,189) (158,746) (54,861) (53,858) (22,638) (72,763) (23,085) (11,641) (3,750) (46,299) (15,577) (4,296) 573,029 6,848 119,813 101,903 82,639 36,801 16,726 31,069 (20,368) (20,914) (27,390) 336,510
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Energy Sector ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class Q (c) Class R1 (g) Class R2 (h) Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.6949 13.7294 15.0948 18.0762 19.3747 18.6217 18.6144 16.3965 12.7905 11.8624 12.0941 15.7639 11.1602 10.0000 10.0000 10.0000 10.5006 9.9089 10.0000 9.7376 10.4372 12.4157 11.8562 12.3271
Net Investment Income (Loss)(a) $ 0.0532 0.0701 0.0929 0.1317 0.1640 0.1772 0.1992 0.2128 0.1792 0.0307 0.0507 0.0905 0.0601 0.0243 0.0390 0.0495 0.0684 0.0756 0.0858 0.0987 0.1172 0.0830 0.0923 0.1071
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.5224 0.4843 0.5698 0.6979 0.5074 0.5468 0.5618 0.2590 0.1677 0.2919 0.2501 0.5178 0.4419 0.1802 0.1245 0.0694 0.3779 0.3263 0.0801 0.2617 0.2509 0.3866 0.4436 0.1195
Total from Investment Activities $ 0.5756 0.5544 0.6627 0.8296 0.6714 0.7240 0.7610 0.4718 0.3469 0.3226 0.3008 0.6083 0.5020 0.2045 0.1635 0.1189 0.4463 0.4019 0.1659 0.3604 0.3681 0.4696 0.5359 0.2266
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2045 10.1635 10.1189 10.9469 10.3108 10.1659 10.0980 10.8053 -
Total Return 4.20 4.04 4.39 4.59 3.47 3.89 4.09 2.88 2.71 2.72 2.49 3.86 4.50 2.04 1.64 1.19 4.25 4.06 1.66 3.70 3.53 3.78 4.52 1.84
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.75)% (0.90)% (1.07)% (1.25)% (1.40)% (1.57)% (1.91)% (2.07)% (0.38)% (0.62)% (0.84)% (0.79)% (0.36)% (0.58)% (0.74)% (0.95)% (1.12)% (1.27)% (1.49)% (1.65)% (0.98)% (1.14)% (1.29)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -800-
Net Investment Income (Loss) 0.38 % 0.50 % 0.60 % 0.71 % 0.83 % 0.93 % 1.05 % 1.28 % 1.38 % 0.26 % 0.41 % 0.56 % 0.53 % 0.24 % 0.39 % 0.49 % 0.64 % 0.75 % 0.85 % 0.99 % 1.10 % 0.66 % 0.76 % 0.86 %
FMT/SPDR Gold ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
3,616,873 146,086 14 3,762,973
Liabilities Investments purchased Fees payable Total liabilities
30,127 2,475 32,602 $
Net assets
3,730,371
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 145,814 29,371 34,775 29,842 22,191 6,962 70,163 25,078
NAV per Unit $ 10.1310 $ 10.2304 $ 10.0697 $ 10.5257 $ 10.1618 $ 9.4753 $ 10.4717 $ 10.4539
$
$
The accompanying notes are an integral part of these financial statements. -801-
Net Assets 1,477,248 300,480 350,174 314,104 225,500 65,971 734,725 262,169 3,730,371
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Custody fees Audit fees
140
28,950 7,182 1,200 37,332
Net investment loss
(37,192)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
872,551 830,765
Net realized gain from investments sold
41,786
Change in net unrealized appreciation (depreciation) on investments
38,233
Net realized and unrealized gain on investments
80,019
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -802-
42,827
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(37,192)
Net realized gain from investments sold
41,786
Change in net unrealized appreciation (depreciation) on investments
38,233
Net increase in net assets resulting from operations
42,827
Participant transactions Proceeds from units purchased Less payments for units redeemed
6,042,091 3,000,548 3,041,543
Increase in net assets from participant transactions Total increase in net assets
3,084,370 646,001
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -803-
3,730,371
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Mutual fund (97.0%) SPDR Gold ETF (Cost $3,593,149)
22,325
Fair Value $
3,616,873
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Sector Specific - Specialty Precious Metals
$
Level 1
3,616,873
$
3,616,873
Level 2
$
Level 3
- $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,784,725 and $872,551, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -804-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U
$
$
Purchases 315 68,402 53,092 94,881 34,390 824,718 35,666 56,437 285,798 200,925 8,000 1,504,200 326,292 488,478 301,478 353,737 59,144 1,051,753 113,164 6,000 175,221 6,042,091
Redemptions (303) (77,880) (57,218) (100,124) (52,459) (832,044) (81,751) (55,470) (268,782) (214,951) (7,680) (22,684) (35,556) (127,863) (10,653) (124,629) (825) (715,147) (20,647) (5,606) (188,276) $ (3,000,548)
$
Units Net change $
$
12 (9,478) (4,126) (5,243) (18,069) (7,326) (46,085) 967 17,016 (14,026) 320 1,481,516 290,736 360,615 290,825 229,108 58,319 336,606 92,517 394 (13,055) 3,041,543
Purchases 32 7,264 4,848 9,021 3,286 82,640 3,765 5,643 28,699 20,831 800 148,105 32,796 47,275 28,296 34,340 6,477 100,271 10,751 567 17,938 593,645
Redemptions (32) (8,055) (5,210) (9,454) (5,184) (82,640) (8,662) (5,643) (28,699) (22,063) (800) (2,291) (3,425) (12,500) (1,018) (12,149) (86) (65,306) (1,951) (567) (18,999) (294,734)
The accompanying notes are an integral part of these financial statements. -805-
Net change (791) (362) (433) (1,898) (4,897) (1,232) 145,814 29,371 34,775 27,278 22,191 6,391 34,965 8,800 (1,061) 298,911
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Gold ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class C (e) Class D (f) Class E (g) Class F (h) Class G (i) Class I (j) Class N (k) Class P (l) Class Q (m) Class R1 (n) Class R2 (o) Class R3 (p) Class R4 Class R5 (q) Class R6 Class R7 Class R8 Class S (r) Class U (l)
NAV per Unit, Beginning of Period $ 10.0000 8.8244 10.0727 10.0000 9.7817 9.7812 10.0000 8.8438 10.0000 10.0000 9.3166 10.0000 10.0000 10.0000 10.0000 10.0478 10.0000 9.0755 10.0474 10.0472 10.0000 9.1329
Net Investment Income (Loss)(a) $ (0.0117) (0.0087) (0.0367) (0.0459) (0.0322) (0.1066) (0.0015) (0.1805) (0.0927) (0.0241) (0.0582) (0.0193) (0.0439) (0.0408) (0.0932) (0.1249) (0.1391) (0.1526) (0.1906) (0.2148) (0.0536) (0.1497)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.3607) 0.9337 0.4123 1.1315 0.5855 0.4846 0.0901 0.7461 (0.3825) (0.6155) 0.9346 (0.3804) 0.1749 0.2712 0.1629 0.6028 0.3009 0.5524 0.6149 0.6215 0.0012 0.9266
Total from Investment Activities $ (0.3724) 0.9250 0.3756 1.0856 0.5533 0.3780 0.0886 0.5656 (0.4752) (0.6396) 0.8764 (0.3997) 0.1310 0.2304 0.0697 0.4779 0.1618 0.3998 0.4243 0.4067 (0.0524) 0.7769
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1310 10.2304 10.0697 10.5257 10.1618 9.4753 10.4717 10.4539 -
Total Return (3.72)% 10.48 % 3.73 % 10.86 % 5.66 % 3.86 % 0.89 % 6.40 % (4.75)% (6.40)% 9.41 % (4.00)% 1.31 % 2.30 % 0.70 % 4.76 % 1.62 % 4.41 % 4.22 % 4.05 % (0.52)% 8.51 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from March 1, 2012 (commencement of this class) through June 15, 2012
(c)
For the period from January 1, 2012 through February 7, 2012
(d)
For the period from January 1, 2012 through April 15, 2012
(e)
For the period from May 10, 2012 (recommencement of this class) through October 3, 2012
(f)
For the period from January 1, 2012 through August 30, 2012
(g)
For the period from January 1, 2012 through August 29, 2012
(h)
For the period from January 9, 2012 (commencement of this class) through January 11, 2012
(i)
For the period from January 1, 2012 through December 12, 2012
(j)
For the period from January 9, 2012 (commencement of this class) through May 23, 2012
(k)
For the period from March 2, 2012 (commencement of this class) through June 20, 2012
(l)
For the period from January 1, 2012 through November 27, 2012
(m)
For the period from October 2, 2012 (commencement of this class) through December 11, 2012
(n)
For the period from January 17, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from June 18, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(q)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(r)
For the period from January 5, 2012 (commencement of this class) through June 1, 2012
Net Expenses (0.12)% (0.09)% (0.36)% (0.44)% (0.32)% (1.07)% (0.01)% (1.98)% (0.95)% (0.25)% (0.60)% (0.20)% (0.44)% (0.41)% (0.93)% (1.22)% (1.38)% (1.65)% (1.86)% (2.10)% (0.54)% (1.58)%
The accompanying notes are an integral part of these financial statements. -806-
Net Investment Income (Loss) (0.12)% (0.09)% (0.36)% (0.44)% (0.32)% (1.07)% (0.01)% (1.98)% (0.95)% (0.25)% (0.60)% (0.20)% (0.44)% (0.40)% (0.93)% (1.21)% (1.38)% (1.65)% (1.86)% (2.10)% (0.54)% (1.57)%
FMT/SPDR Health Care Sector ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
2,174,758 84,236 11,840 2,270,834
Liabilities Investments purchased Fees payable Total liabilities
4,773 1,647 6,420 $
Net assets
2,264,414
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 98,678 9,803 19,211 1,991 33,471 14,352 10,120 12,362
NAV per Unit $ 11.1829 $ 11.5153 $ 11.3101 $ 11.2182 $ 11.6055 $ 11.8189 $ 11.2544 $ 11.0369
$
$
The accompanying notes are an integral part of these financial statements. -807-
Net Assets 1,103,503 112,887 217,284 22,340 388,447 169,620 113,899 136,434 2,264,414
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
43,506 76 43,582
22,999 3,377 1,200 27,576
Net investment income
16,006
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
601,858 502,912
Net realized gain from investments sold
98,946
Change in net unrealized appreciation (depreciation) on investments
179,035
Net realized and unrealized gain on investments
277,981
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -808-
293,987
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
16,006 98,946
Change in net unrealized appreciation (depreciation) on investments
179,035
Net increase in net assets resulting from operations
293,987
Participant transactions Proceeds from units purchased Less payments for units redeemed
3,275,649 3,085,223 190,426
Increase in net assets from participant transactions Total increase in net assets
484,413 1,780,001
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -809-
2,264,414
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (96.0%) Health Care Select Sector SPDR Fund (Cost $1,824,579)
54,437
Fair Value $
2,174,758
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Sector Specific - Health care
$
Level 1
2,174,758
$
2,174,758
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $769,928 and $601,858, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -810-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 65,666 31,460 32,796 76,154 71,943 38,026 76,099 8,647 10,181 1,901 42,613 3,035 1,162,602 329,746 323,934 181,348 331,535 189,026 108,225 171,205 14,998 4,509 3,275,649
Redemptions (411,151) (196,762) (186,680) (343,977) (191,186) (203,238) (437,360) (105,899) (24,133) (32,098) (113,772) (21,602) (30,517) (46,884) (254,416) (129,510) (156,762) (9,541) (32,861) (4,086) (46,548) (39,644) (39,170) (27,426) $ (3,085,223)
$
Units
$
$
Net change (345,485) (165,302) (153,884) (267,823) (119,243) (165,212) (361,261) (97,252) (13,952) (30,197) (71,159) (21,602) (27,482) 1,115,718 75,330 194,424 24,586 321,994 156,165 104,139 124,657 (24,646) (34,661) (27,426) 190,426
Purchases 5,525 2,408 2,752 6,410 5,465 3,247 5,844 741 930 174 2,769 221 102,806 32,398 30,785 15,814 30,945 17,025 10,498 16,676 1,085 399 294,917
Redemptions (36,993) (15,264) (15,243) (28,379) (13,730) (16,265) (32,435) (8,492) (2,143) (2,673) (6,850) (1,838) (2,236) (4,128) (22,595) (11,574) (13,823) (858) (2,927) (378) (4,314) (2,932) (3,311) (2,194) (251,575)
The accompanying notes are an integral part of these financial statements. -811-
Net change (31,468) (12,856) (12,491) (21,969) (8,265) (13,018) (26,591) (7,751) (1,213) (2,499) (4,081) (1,838) (2,015) 98,678 9,803 19,211 1,991 30,087 14,098 10,120 12,362 (1,847) (2,912) (2,194) 43,342
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Health Care Sector ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 (h) Class R2 (i) Class R3 (j) Class R4 (k) Class R5 Class R6 Class R7 (l) Class R8 (m) Class S (b) Class T (d) Class U (n)
NAV per Unit, Beginning of Period $ 10.5267 11.8343 11.1664 11.2066 12.2038 11.1758 12.1450 10.7665 9.8418 10.4899 14.4710 10.2534 12.2266 10.0000 10.0000 10.0000 10.0000 10.0512 10.2535 10.0000 10.0000 12.4276 10.7781 12.0826
Net Investment Income (Loss)(a) $ 0.0434 0.0612 0.0714 0.0860 0.1098 0.1125 0.1376 0.1482 0.1475 0.0469 0.0893 0.0353 0.0648 0.0240 0.0426 0.0542 0.0661 0.0844 0.0994 0.1042 0.1032 0.0886 0.0875 0.0281
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7969 1.9857 1.9692 1.9222 1.9352 1.8667 1.9704 1.5740 1.4087 1.4703 2.3992 1.4636 1.3584 1.1589 1.4727 1.2559 1.1521 1.4699 1.4660 1.1502 0.9337 2.0179 1.8352 0.8558
Total from Investment Activities $ 1.8403 2.0469 2.0406 2.0082 2.0450 1.9792 2.1080 1.7222 1.5562 1.5172 2.4885 1.4989 1.4232 1.1829 1.5153 1.3101 1.2182 1.5543 1.5654 1.2544 1.0369 2.1065 1.9227 0.8839
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.1829 11.5153 11.3101 11.2182 11.6055 11.8189 11.2544 11.0369 -
Total Return 17.48 17.30 18.27 17.92 16.76 17.71 17.36 16.00 15.81 14.46 17.20 14.62 11.64 11.83 15.15 13.10 12.18 15.46 15.27 12.54 10.37 16.95 17.84 7.32
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.65)% (0.82)% (1.01)% (1.21)% (1.43)% (1.59)% (1.80)% (2.19)% (2.39)% (0.72)% (0.98)% (0.55)% (0.86)% (0.39)% (0.68)% (0.88)% (1.07)% (1.34)% (1.55)% (1.69)% (1.69)% (1.13)% (1.28)% (0.39)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 15, 2012
(h)
For the period from March 1, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through March 26, 2012
The accompanying notes are an integral part of these financial statements. -812-
Net Investment Income (Loss) 0.38 % 0.48 % 0.59 % 0.70 % 0.83 % 0.93 % 1.04 % 1.27 % 1.39 % 0.42 % 0.57 % 0.32 % 0.50 % 0.23 % 0.40 % 0.51 % 0.62 % 0.78 % 0.90 % 0.98 % 0.98 % 0.66 % 0.75 % 0.22 %
FMT/SPDR S and P 500 Index ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$ 13,970,951 268,334 160,078 101,354 14,500,717
Liabilities 9,995
Fees payable
$ 14,490,722
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 391,354 118,259 197,157 126,322 88,806 79,648 63,792 54,750
NAV per Unit $ 15.7473 $ 11.4400 $ 11.1583 $ 11.6243 $ 11.7815 $ 11.3578 $ 11.1956 $ 11.7196
Net Assets $ 6,162,786 1,352,880 2,199,930 1,468,398 1,046,262 904,625 714,195 641,646 $ 14,490,722
The accompanying notes are an integral part of these financial statements. -813-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
321,481 484 321,965
149,285 3,521 1,200 154,006
Net investment income
167,959
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
4,171,281 3,534,207
Net realized gain from investments sold
637,074
Change in net unrealized appreciation (depreciation) on investments
1,290,703
Net realized and unrealized gain on investments
1,927,777
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -814-
2,095,736
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
167,959 637,074
Change in net unrealized appreciation (depreciation) on investments
1,290,703
Net increase in net assets resulting from operations
2,095,736
Participant transactions Proceeds from units purchased Less payments for units redeemed
16,538,391 18,874,949 (2,336,558)
Decrease in net assets from participant transactions Total decrease in net assets
(240,822) 14,731,544
Net assets at beginning of year
$ 14,490,722
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -815-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (96.4%) SPDR S&P 500 ETF (Cost $11,682,721)
98,028
Fair Value $ 13,970,951
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Exchange-traded fund Large Cap Core
Total
Level 1
$ 13,970,951
$ 13,970,951
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,978,989 and $4,171,281, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -816-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 171,772 103,753 312,045 109,836 474,812 25,873 228,172 72,182 42,609 3,943 61,813 26,053 21,374 6,454,902 727,321 3,198,615 1,691,852 741,882 528,252 703,898 773,198 37,077 27,157 16,538,391
Redemptions (965,643) (896,648) (3,815,210) (998,729) (2,651,348) (850,750) (1,897,306) (85,790) (538,561) (118,587) (12,341) (73,303) (271,675) (770,845) (80,497) (1,229,516) (484,488) (1,151,825) (421,429) (88,217) (113,237) (35,879) (250,222) (755,975) (312,800) (4,128) $ (18,874,949)
$
Units
$
$
Net change (793,871) (792,895) (3,503,165) (888,893) (2,176,536) (824,877) (1,669,134) (85,790) (466,379) (75,978) (12,341) (69,360) (209,862) (744,792) (59,123) 5,225,386 242,833 2,046,790 1,270,423 653,665 415,015 668,019 522,976 (718,898) (285,643) (4,128) (2,336,558)
Purchases 12,739 7,717 23,215 8,137 35,742 2,010 18,634 6,265 4,089 374 5,686 2,046 1,736 414,775 65,517 305,639 155,478 65,621 49,889 67,070 69,765 2,999 2,303 1,327,446
Redemptions (69,575) (65,139) (282,971) (73,490) (196,168) (65,958) (151,929) (6,832) (45,481) (10,945) (1,015) (6,639) (23,594) (58,048) (6,407) (81,522) (42,941) (108,482) (37,984) (7,603) (10,080) (3,278) (21,330) (59,507) (24,645) (316) (1,461,879)
The accompanying notes are an integral part of these financial statements. -817-
Net change (56,836) (57,422) (259,756) (65,353) (160,426) (63,948) (133,295) (6,832) (39,216) (6,856) (1,015) (6,265) (17,908) (56,002) (4,671) 333,253 22,576 197,157 117,494 58,018 39,809 63,792 48,435 (56,508) (22,342) (316) (134,433)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR S and P 500 Index ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (h) Class O (e) Class P (i) Class Q (c) Class R1 Class R2 Class R3 (j) Class R4 Class R5 Class R6 Class R7 (k) Class R8 Class S (b) Class T (d) Class U (l)
NAV per Unit, Beginning of Period $ 12.4704 12.4892 12.2839 12.2510 12.2115 11.9137 11.3799 11.2226 10.6216 9.6401 10.6805 9.8061 10.2181 12.1867 11.0287 13.6773 9.9580 10.0000 10.1527 10.3074 9.9536 10.0000 10.3055 11.6136 11.2713 11.6073
Net Investment Income (Loss)(a) $ 0.0824 0.1076 0.1306 0.1545 0.1788 0.1959 0.2107 0.2197 0.2358 0.2350 0.0362 0.0495 0.1021 0.0163 0.1033 0.0612 0.0704 0.0872 0.1148 0.1388 0.1547 0.1717 0.2034 0.1344 0.1504 0.0446
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6787 1.6336 1.6460 1.6062 1.4704 1.4617 1.3625 1.1146 1.1107 0.9697 1.5396 1.1861 1.3218 1.3957 1.5046 2.0088 1.4116 1.0711 1.3568 1.3353 1.2495 1.0239 1.2107 1.4530 1.4609 1.4035
Total from Investment Activities $ 1.7611 1.7412 1.7766 1.7607 1.6492 1.6576 1.5732 1.3343 1.3465 1.2047 1.5758 1.2356 1.4239 1.4120 1.6079 2.0700 1.4820 1.1583 1.4716 1.4741 1.4042 1.1956 1.4141 1.5874 1.6113 1.4481
Ratios (to average unit value)
NAV per Unit, End of Period $ 15.7473 11.4400 11.1583 11.6243 11.7815 11.3578 11.1956 11.7196 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 26, 2012
(g)
For the period from January 1, 2012 through September 6, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 1, 2012 through March 21, 2012
(j)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 1, 2012 through March 26, 2012
Total Return 14.12 13.94 14.46 14.37 13.51 13.91 13.82 11.89 12.68 12.50 14.75 12.60 13.94 11.59 14.58 15.13 14.88 11.58 14.49 14.30 14.11 11.96 13.72 13.67 14.30 12.48
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.56)% (0.74)% (0.91)% (1.08)% (1.25)% (1.41)% (1.58)% (1.69)% (1.91)% (2.10)% (0.29)% (0.43)% (0.85)% (0.12)% (0.80)% (0.38)% (0.60)% (0.75)% (0.96)% (1.15)% (1.33)% (1.48)% (1.69)% (0.99)% (1.14)% (0.33)%
The accompanying notes are an integral part of these financial statements. -818-
Net Investment Income (Loss) 0.62 % 0.81 % 0.99 % 1.18 % 1.37 % 1.54 % 1.73 % 1.85 % 2.09 % 2.29 % 0.32 % 0.48 % 0.93 % 0.13 % 0.87 % 0.42 % 0.66 % 0.82 % 1.05 % 1.26 % 1.45 % 1.62 % 1.85 % 1.08 % 1.25 % 0.36 %
FMT/SPDR Technology Sector ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$
3,955,062 123,786 22,885 4,101,733
Liabilities 2,536 1,658 4,194
Fees payable Investments purchased Total liabilities $
Net assets
4,097,539
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 268,252 8,508 15,687 10,542 22,004 19,884 23,310 7,014
NAV per Unit $ 10.8994 $ 11.6645 $ 11.1036 $ 10.0311 $ 11.2075 $ 11.1593 $ 11.0804 $ 9.6638
$
$
The accompanying notes are an integral part of these financial statements. -819-
Net Assets 2,923,790 99,244 174,188 105,749 246,615 221,894 258,279 67,780 4,097,539
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
73,699 154 73,853
48,071 3,511 1,200 52,782
Net investment income
21,071
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,801,408 1,353,330
Net realized gain from investments sold
448,078
Change in net unrealized appreciation (depreciation) on investments
114,169
Net realized and unrealized gain on investments
562,247
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -820-
583,318
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
21,071
Net realized gain from investments sold
448,078
Change in net unrealized appreciation (depreciation) on investments
114,169
Net increase in net assets resulting from operations
583,318
Participant transactions Proceeds from units purchased Less payments for units redeemed
6,935,540 7,397,824 (462,284)
Decrease in net assets from participant transactions Total increase in net assets
121,034 3,976,505
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -821-
4,097,539
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Exchange-traded fund (96.5%) SPDR Technology Sector ETF (Cost $3,142,575)
136,617
Fair Value $
3,955,062
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Exchange-traded fund Sector Specific Technology
$
Level 1
3,955,062
$
3,955,062
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $1,333,381 and $1,801,408, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -822-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 119,041 22,127 53,394 34,981 56,335 48,974 105,082 24,470 13,917 3,364 8,541 64,149 12,566 3,030,604 918,059 176,129 320,028 1,009,230 210,038 267,949 73,245 15,568 347,749 6,935,540
Redemptions (1,028,525) (356,520) (306,041) (172,599) (394,784) (1,034,230) (768,981) (238,995) (58,528) (17,361) (99,311) (160,946) (42,048) (25,517) (110,283) (972,166) (4,421) (217,465) (787,474) (9,242) (3,808) (117,543) (459,031) (12,005) $ (7,397,824)
$
Units
$
$
Net change (909,484) (334,393) (252,647) (137,618) (338,449) (985,256) (663,899) (214,525) (44,611) (13,997) (90,770) (96,797) (42,048) (12,951) 2,920,321 (54,107) 171,708 102,563 221,756 210,038 258,707 69,437 (101,975) (111,282) (12,005) (462,284)
Purchases 8,803 1,725 4,110 2,656 4,237 3,554 8,291 1,849 1,167 295 716 5,003 878 278,431 87,373 16,070 30,936 91,169 19,630 24,136 7,411 1,157 28,040 627,637
Redemptions (83,026) (26,509) (22,914) (13,294) (30,702) (74,024) (60,883) (17,747) (4,774) (1,436) (8,422) (12,954) (3,838) (1,923) (10,179) (83,461) (383) (20,394) (69,165) (826) (397) (8,643) (36,317) (965) (593,176)
The accompanying notes are an integral part of these financial statements. -823-
Net change (74,223) (24,784) (18,804) (10,638) (26,465) (70,470) (52,592) (15,898) (3,607) (1,141) (7,706) (7,951) (3,838) (1,045) 268,252 3,912 15,687 10,542 22,004 19,630 23,310 7,014 (7,486) (8,277) (965) 34,461
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SPDR Technology Sector ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class M (f) Class N (g) Class O (e) Class P (g) Class Q (c) Class R1 (h) Class R2 Class R3 (i) Class R4 (j) Class R5 (k) Class R6 Class R7 (l) Class R8 (m) Class S (b) Class T (d) Class U (n)
NAV per Unit, Beginning of Period $ 11.8865 11.6833 11.6613 11.6437 11.6677 12.2543 11.1744 11.9071 10.9476 10.2410 10.3977 11.1585 9.6480 11.9580 10.0000 10.1925 10.0000 10.0000 10.0000 9.8171 10.0000 10.0000 12.2158 11.0707 10.5953
Net Investment Income (Loss)(a) $ 0.0322 0.0406 0.0501 0.0594 0.0694 0.0820 0.0841 0.1076 0.1076 0.0151 0.0307 0.0452 0.0219 0.0454 0.0162 0.0290 0.0351 0.0340 0.0528 0.0615 0.0675 0.0526 0.0575 0.0590 0.0296
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.5665 1.5096 1.6459 1.5912 1.4698 1.6333 1.4391 1.3230 1.1881 2.0098 1.3639 1.4744 1.2869 1.7086 0.8832 1.4430 1.0685 (0.0029) 1.1547 1.2807 1.0129 (0.3888) 1.5298 1.5019 0.7147
Total from Investment Activities $ 1.5987 1.5502 1.6960 1.6506 1.5392 1.7153 1.5232 1.4306 1.2957 2.0249 1.3946 1.5196 1.3088 1.7540 0.8994 1.4720 1.1036 0.0311 1.2075 1.3422 1.0804 (0.3362) 1.5873 1.5609 0.7443
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.8994 11.6645 11.1036 10.0311 11.2075 11.1593 11.0804 9.6638 -
Total Return 13.45 % 13.27 % 14.54 % 14.18 % 13.19 % 14.00 % 13.63 % 12.01 % 11.84 % 19.77 % 13.41 % 13.62 % 13.57 % 14.67 % 8.99 % 14.44 % 11.04 % 0.31 % 12.08 % 13.67 % 10.80 % (3.36)% 12.99 % 14.10 % 7.02 %
Net Expenses (0.63)% (0.81)% (0.99)% (1.18)% (1.39)% (1.55)% (1.75)% (2.12)% (2.30)% (0.33)% (0.69)% (0.94)% (0.53)% (0.88)% (0.38)% (0.66)% (0.83)% (0.84)% (1.24)% (1.46)% (1.59)% (1.33)% (1.10)% (1.24)% (0.67)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through August 28, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from March 5, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from March 26, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 1, 2012 through June 4, 2012
The accompanying notes are an integral part of these financial statements. -824-
Net Investment Income (Loss) 0.25 % 0.33 % 0.40 % 0.48 % 0.56 % 0.63 % 0.70 % 0.85 % 0.93 % 0.13 % 0.28 % 0.38 % 0.21 % 0.35 % 0.15 % 0.27 % 0.33 % 0.34 % 0.50 % 0.59 % 0.64 % 0.53 % 0.44 % 0.50 % 0.27 %
FMT/Vanguard Emerging Markets ETF
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$ 14,691,337 479,930 32 15,171,299
Liabilities Investments purchased Fees payable Total liabilities
24,442 8,535 32,977 $ 15,138,322
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 714,952 58,971 90,069 101,770 109,423 37,554 39,784 25,636
NAV per Unit $ 13.5386 $ 11.7891 $ 11.5163 $ 12.0336 $ 12.0793 $ 10.8659 $ 11.8076 $ 11.7873
Net Assets $ 9,679,456 695,217 1,037,267 1,224,653 1,321,746 408,060 469,749 302,174 $ 15,138,322
The accompanying notes are an integral part of these financial statements. -825-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Custody fees Audit fees
324,257 496 324,753
130,072 3,329 1,200 134,601
Net investment income
190,152
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,584,735 2,503,880
Net realized gain from investments sold
80,855
Change in net unrealized appreciation (depreciation) on investments
1,897,807
Net realized and unrealized gain on investments
1,978,662
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -826-
2,168,814
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
190,152 80,855
Change in net unrealized appreciation (depreciation) on investments
1,897,807
Net increase in net assets resulting from operations
2,168,814
Participant transactions Proceeds from units purchased Less payments for units redeemed
19,857,845 19,466,267 391,578
Increase in net assets from participant transactions Total increase in net assets
2,560,392 12,577,930
Net assets at beginning of year
$ 15,138,322
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -827-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Exchange-traded fund (97.0%) Vanguard FTSE Emerging Markets ETF (Cost $13,070,663)
Shares
Fair Value
329,920
$ 14,691,337
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Exchange-traded fund Emerging Markets
Total
Level 1
$ 14,691,337
$ 14,691,337
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,076,898 and $2,584,735, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -828-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012, were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 385,106 385,603 416,261 673,212 318,718 370,239 124,122 18,465 6,402 26,295 1,786 6,638 87,113 158,607 52,226 6,101 9,476,893 1,430,071 1,491,045 1,320,388 1,467,046 569,257 569,436 382,232 15,057 17,031 82,495 19,857,845
Redemptions (1,791,354) (1,849,928) (2,395,776) (2,455,909) (1,991,539) (1,332,491) (1,178,592) (18,765) (121,099) (81,334) (35,458) (157,536) (443,317) (624,935) (97,474) (252,810) (1,118,910) (890,039) (529,263) (324,083) (300,974) (185,672) (217,557) (123,903) (286,468) (130,165) (530,916) $ (19,466,267)
$
Units
$
$
Net change (1,406,248) (1,464,325) (1,979,515) (1,782,697) (1,672,821) (962,252) (1,054,470) (300) (114,697) (55,039) (33,672) (150,898) (356,204) (466,328) (45,248) (246,709) 8,357,983 540,032 961,782 996,305 1,166,072 383,585 351,879 258,329 (271,411) (113,134) (448,421) 391,578
Purchases 30,847 31,805 34,597 55,183 26,300 30,765 10,305 2,014 542 2,270 177 363 9,058 12,773 4,616 568 732,470 139,833 139,535 119,861 133,417 56,261 53,696 36,463 1,587 1,688 8,176 1,675,170
Redemptions (150,442) (147,255) (191,369) (200,551) (161,234) (111,136) (98,357) (2,030) (10,615) (6,932) (3,799) (8,720) (45,460) (50,896) (8,804) (21,949) (90,654) (80,889) (49,466) (28,502) (27,412) (18,707) (20,377) (11,450) (28,549) (12,819) (53,131) (1,641,505)
The accompanying notes are an integral part of these financial statements. -829-
Net change (119,595) (115,450) (156,772) (145,368) (134,934) (80,371) (88,052) (16) (10,073) (4,662) (3,622) (8,357) (36,402) (38,123) (4,188) (21,381) 641,816 58,944 90,069 91,359 106,005 37,554 33,319 25,013 (26,962) (11,131) (44,955) 33,665
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Vanguard Emerging Markets ETF Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (h) Class N (h) Class O (e) Class P (h) Class Q (c) Class R1 Class R2 Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 Class R8 Class S (b) Class T (d) Class U (h)
NAV per Unit, Beginning of Period $ 11.3812 11.3183 11.2537 11.1895 11.1271 11.0645 11.0025 9.0837 10.8870 10.8176 9.2653 16.5715 8.9534 11.2769 10.1787 10.4190 11.4653 10.0059 10.0000 10.2477 10.3036 10.0000 10.1065 10.1063 8.9072 9.2638 9.1341
Net Investment Income (Loss)(a) $ 0.0975 0.1257 0.1534 0.1823 0.2085 0.2343 0.2615 0.0436 0.3136 0.3352 0.0257 0.1067 0.0836 0.1450 0.0730 0.1288 0.0645 0.0899 0.1125 0.1472 0.1744 0.1739 0.2253 0.2521 0.1360 0.1640 0.1768
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4497 1.3923 1.4099 1.3861 1.2686 1.2424 1.2204 0.8416 1.0095 0.9600 0.0415 1.4381 0.7333 1.4005 0.8708 1.3864 2.0088 1.6933 1.4038 1.6387 1.6013 0.6920 1.4758 1.4289 1.0338 1.1266 0.5937
Total from Investment Activities $ 1.5472 1.5180 1.5633 1.5684 1.4771 1.4767 1.4819 0.8852 1.3231 1.2952 0.0672 1.5448 0.8169 1.5455 0.9438 1.5152 2.0733 1.7832 1.5163 1.7859 1.7757 0.8659 1.7011 1.6810 1.1698 1.2906 0.7705
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.5386 11.7891 11.5163 12.0336 12.0793 10.8659 11.8076 11.7873 -
Total Return 13.59 13.41 13.89 14.02 13.27 13.35 13.47 9.74 12.15 11.97 0.73 9.32 9.12 13.71 9.27 14.54 18.08 17.82 15.16 17.43 17.23 8.66 16.83 16.63 13.13 13.93 8.44
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.57)% (0.74)% (0.90)% (1.08)% (1.24)% (1.41)% (1.58)% (0.32)% (1.92)% (2.07)% (0.20)% (0.44)% (0.63)% (0.85)% (0.49)% (0.82)% (0.37)% (0.58)% (0.74)% (0.93)% (1.10)% (1.18)% (1.46)% (1.63)% (1.01)% (1.17)% (1.31)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through April 11, 2012
(g)
For the period from January 1, 2012 through June 7, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -830-
Net Investment Income (Loss) 0.80 % 1.04 % 1.27 % 1.52 % 1.76 % 1.99 % 2.23 % 0.46 % 2.72 % 2.92 % 0.28 % 0.62 % 0.89 % 1.20 % 0.69 % 1.15 % 0.52 % 0.82 % 1.05 % 1.32 % 1.56 % 1.67 % 2.06 % 2.30 % 1.43 % 1.66 % 1.86 %
FMT/FFTW U.S. TIPS Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW U.S. TIPS Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Miscellaneous receivable Total assets
$ 42,715,240 8 42,715,248
Liabilities 28,090
Fees payable
$ 42,687,158
Net assets Components of net assets
Net Assets $ 17,199,679 3,561,737 5,081,508 7,276,233 5,051,048 1,846,304 1,237,929 885,549 547,171 $ 42,687,158
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
The Fund had no direct plan/participant investors during the period. All investors in this Fund are "funds of funds".
The accompanying notes are an integral part of these financial statements. -831-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW U.S. TIPS Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
92,108 1,127 200 93,435 (93,435)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,000,919 1,992,684
Net realized gain from investments sold
8,235
Change in net unrealized appreciation (depreciation) on investments
84,273
Net realized and unrealized gain on investments
92,508
Other operating credits (charges)
8
Net decrease in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -832-
(919)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW U.S. TIPS Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(93,435) 8,235
Change in net unrealized appreciation (depreciation) on investments
84,273 8
Other operating credits (charges)
(919)
Net decrease in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
62,767,027 20,078,950 42,688,077
Increase in net assets from participant transactions Total increase in net assets
42,687,158 -
Net assets at beginning of year
$ 42,687,158
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -833-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW U.S. TIPS Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Collective Trust Fund (100.1%) FFTW U.S. TIPS Fund (Cost $42,630,967)
Shares
Fair Value
4,262,998
$ 42,715,240
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Collective trust fund Treasury Inflation Protected Securities
Level 1
$ 42,715,240
$
Level 2 - $ 42,715,240
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $44,623,650 and $2,000,919, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -834-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW U.S. TIPS Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
Purchases 557,362 800,971 1,510,582 3,222,892 1,503,062 836,510 823,491 44,058 433,329 327,187 110,719 584,752 239,254 3,348,812 376 815,100 18,084,140 4,289,615 5,277,971 7,780,237 5,513,839 2,246,832 1,458,228 937,572 793,305 483,480 178,115 565,236 $ 62,767,027
$
Redemptions Net change $ (562,439) $ (5,077) (807,203) (6,232) (1,527,784) (17,202) (3,239,283) (16,391) (1,510,346) (7,284) (843,299) (6,789) (831,654) (8,163) (43,970) 88 (437,626) (4,297) (330,117) (2,930) (110,663) 56 (584,384) 368 (239,292) (38) (3,346,094) 2,718 (247) 129 (818,988) (3,888) (793,474) 17,290,666 (733,545) 3,556,070 (197,007) 5,080,964 (505,271) 7,274,966 (460,884) 5,052,955 (399,743) 1,847,089 (219,395) 1,238,833 (50,652) 886,920 (802,895) (9,590) (486,378) (2,898) (178,129) (14) (18,188) 547,048 $ (20,078,950) $ 42,688,077
The Fund had no direct plan/participant investors during the period. All investors in this Fund are "funds of funds".
The accompanying notes are an integral part of these financial statements. -835-
FMT/Fifth Third Equity Index Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
7,549,547
Liabilities 3,570
Agency fees Net assets
$
7,545,977
$
Net Assets 7,545,977
Components of net assets
Class R1
Units of Participation 752,915
NAV per Unit $ 10.0226
The accompanying notes are an integral part of these financial statements. -836-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends
$
Expenses Agency fees Custody fees Audit fees
53,973
67,685 1,878 1,200 70,763
Net investment loss
(16,790)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
9,135,460 7,909,357
Net realized gain from investments sold
1,226,103
Change in net unrealized appreciation (depreciation) on investments
(158,512)
Net realized and unrealized gain on investments
1,067,591
Other operating credits (charges)
22,415
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -837-
1,073,216
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(16,790) 1,226,103
Change in net unrealized appreciation (depreciation) on investments
(158,512) 22,415
Other operating credits (charges)
1,073,216
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
8,490,935 9,501,250 (1,010,315)
Decrease in net assets from participant transactions Total increase in net assets
62,901 7,483,076
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -838-
7,545,977
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Shares Collective Trust Fund (100.0%) Fifth Third Bank Equity Index Collective Fund (Cost $7,213,230)
232,580
Fair Value
$
7,549,547
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Collective trust fund - Large Cap Core
$
Level 1
7,549,547
$
Level 2 - $
7,549,547
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $8,128,507 and $9,135,460, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -839-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class N Class O Class R1 Class S
$
$
Purchases 19,655 290,926 201,019 209,747 89,727 47,882 16,943 5,195 22,318 27,802 7,545,530 14,191 8,490,935
Redemptions (878,049) (2,983,228) (1,854,637) (1,315,066) (971,172) (249,381) (294,585) (111,421) (93,156) (394,304) (26,996) (329,255) $ (9,501,250)
$
Units
$
$
Net change (858,394) (2,692,302) (1,653,618) (1,105,319) (881,445) (201,499) (277,642) (106,226) (70,838) (366,502) 7,518,534 (315,064) (1,010,315)
Purchases 1,270 18,532 11,794 12,487 5,537 3,363 1,124 413 1,642 2,530 755,620 1,082 815,394
Redemptions (54,491) (189,911) (105,266) (75,720) (58,045) (16,513) (18,990) (8,569) (6,593) (34,259) (2,705) (24,574) (595,636)
The accompanying notes are an integral part of these financial statements. -840-
Net change (53,221) (171,379) (93,472) (63,233) (52,508) (13,150) (17,866) (8,156) (4,951) (31,729) 752,915 (23,492) 219,758
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Equity Index Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class N (f) Class O (e) Class R1 (g) Class S (b)
NAV per Unit, Beginning of Period $ 14.1071 13.8730 15.4896 15.1546 14.7371 13.2129 13.8053 11.5116 12.5577 10.1180 10.0000 11.7927
Net Investment Income (Loss)(a) $ 0.0004 0.0006 0.0007 0.0009 0.0010 0.0011 0.0013 0.0015 0.0005 0.0007 0.0008
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.0428 1.9834 2.3082 2.2361 2.0490 1.8957 1.9606 1.4990 1.5971 1.4504 0.0226 1.6529
Total from Investment Activities $ 2.0432 1.9840 2.3089 2.2370 2.0500 1.8968 1.9619 1.5005 1.5976 1.4511 0.0226 1.6537
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0226 -
Total Return 14.48 14.30 14.91 14.76 13.91 14.36 14.21 13.03 12.72 14.34 0.23 14.02
% % % % % % % % % % % %
Net Expenses (0.58)% (0.75)% (0.92)% (1.10)% (1.28)% (1.44)% (1.62)% (1.96)% (0.04)% (0.79)% (0.94)% (1.01)%
Net Investment Income (Loss) % % % 0.01 % 0.01 % 0.01 % 0.01 % 0.01 % % 0.01 % % 0.01 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from November 7, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -841-
FMT/Invesco International Growth Equity Trust Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 43,005,622
Liabilities 28,226 24,210 52,436
Fees payable Sub-advisor fees Total liabilities
$ 42,953,186
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 536,570 385,162 103,967 113,117 205,946 50,875 38,182 18,341
NAV per Unit $ 10.6746 $ 11.9908 $ 11.2945 $ 11.6062 $ 11.7977 $ 11.7619 $ 11.4810 $ 11.4464
Net Assets $ 5,727,697 4,618,420 1,174,263 1,312,861 2,429,694 598,383 438,361 209,938 10,845,704 1,907,070 2,900,663 4,232,622 3,760,014 1,254,162 826,084 656,262 60,988 $ 42,953,186
The accompanying notes are an integral part of these financial statements. -842-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
$
Net investment loss
525,306 233,379 16,903 1,200 776,788 (776,788)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
15,358,564 13,907,956
Net realized gain from investments sold
1,450,608
Change in net unrealized appreciation (depreciation) on investments
5,806,614
Net realized and unrealized gain on investments
7,257,222
Other operating credits (charges)
1,663
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -843-
6,482,097
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(776,788)
Net realized gain from investments sold
1,450,608
Change in net unrealized appreciation (depreciation) on investments
5,806,614 1,663
Other operating credits (charges)
6,482,097
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
52,507,976 61,677,452 (9,169,476)
Decrease in net assets from participant transactions Total decrease in net assets
(2,687,379)
Net assets at beginning of year
45,640,565 $ 42,953,186
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -844-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Collective Trust Fund (100.1%) Invesco International Growth Equity Trust Fund (Cost $36,698,245)
Shares
Fair Value
3,978,318
$ 43,005,622
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Collective trust fund International Growth
Level 1
$ 43,005,622
$
Level 2 - $ 43,005,622
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,403,341 and $15,358,564, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -845-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 110,374 237,948 1,191,012 576,449 227,964 73,315 90,173 15,370 6,027 495,323 91,174 52,450 4,966 5,790,263 3,804,997 1,257,005 1,653,078 1,804,861 589,028 421,376 176,916 12,162 17,367 18,101 147,758 155,466 1,191,977 1,107,870 501,604 325,783 294,568 21,619 123,693 44,564 17,382 39,853 63,195 463,256 9,145 57,028 11,138,366 1,583,718 3,277,020 4,809,574 4,558,181 1,676,833 987,472 865,336 140,757 119,213 61,732 7,314 52,507,976
Redemptions (2,605,571) (2,070,297) (2,570,494) (3,359,358) (2,743,858) (1,088,378) (732,286) (181,200) (86,084) (42,550) (1,762,133) (985,853) (53,720) (146,019) (222,681) (635,649) (179,601) (505,788) (297,434) (151,227) (20,336) (28,364) (81,543) (104,045) (178,030) (1,492,395) (1,637,807) (4,947,504) (6,932,827) (3,445,269) (2,122,927) (1,793,996) (144,357) (551,591) (343,158) (142,995) (510,487) (711,900) (3,097,334) (225,944) (1,093,870) (1,123,358) (1,230,281) (855,003) (1,875,456) (1,726,720) (704,071) (492,513) (305,914) (1,357,699) (1,592,549) (346,529) (40,499) $ (61,677,452)
$
Units
$
$
Net change (2,495,197) (1,832,349) (1,379,482) (2,782,909) (2,515,894) (1,015,063) (642,113) (165,830) (80,057) (42,550) (1,266,810) (894,679) (1,270) (141,053) 5,567,582 3,169,348 1,077,404 1,147,290 1,507,427 437,801 401,040 148,552 (69,381) (86,678) (159,929) (1,344,637) (1,482,341) (3,755,527) (5,824,957) (2,943,665) (1,797,144) (1,499,428) (122,738) (427,898) (298,594) (125,613) (470,634) (648,705) (2,634,078) (216,799) (1,036,842) 10,015,008 353,437 2,422,017 2,934,118 2,831,461 972,762 494,959 559,422 (1,216,942) (1,473,336) (284,797) (33,185) (9,169,476)
Purchases 11,299 24,138 121,642 57,991 23,542 7,576 9,321 1,583 621 52,550 9,293 5,248 506 552,214 363,517 120,845 154,727 166,808 53,702 38,963 16,578 1,247 1,794 1,859 1,797,564
Redemptions (286,118) (206,614) (257,851) (338,509) (278,771) (108,989) (72,155) (17,870) (8,783) (4,229) (182,257) (99,323) (5,248) (14,499) (21,736) (55,700) (16,878) (45,101) (26,676) (13,319) (1,818) (2,615) (8,063) (11,069) (18,151) (2,102,342)
The accompanying notes are an integral part of these financial statements. -846-
Net change (274,819) (182,476) (136,209) (280,518) (255,229) (101,413) (62,834) (16,287) (8,162) (4,229) (129,707) (90,030) (13,993) 530,478 307,817 103,967 109,626 140,132 40,383 37,145 13,963 (6,816) (9,275) (16,292) (304,778)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Invesco International Growth Equity Trust Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (h) Class Q (i) Class R1 Class R2 Class R3 (j) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (g)
NAV per Unit, Beginning of Period $ 9.2122 9.1996 9.1871 9.1746 9.1621 9.1496 9.1371 9.1121 9.0997 9.2248 9.2063 9.1915 10.0000 9.1952 9.2286 10.3891 10.0000 10.0898 10.2736 10.2598 10.0314 10.0182 9.1805 9.1694 9.1547
Net Investment Income (Loss)(a) $ (0.1203) (0.1366) (0.1530) (0.1716) (0.1884) (0.2033) (0.2184) (0.2496) (0.2668) (0.0794) (0.1222) (0.1490) (0.0916) (0.1134) (0.1157) (0.1429) (0.1496) (0.1775) (0.2007) (0.2183) (0.2328) (0.2539) (0.1660) (0.1769) (0.1928)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3911 1.3882 1.4352 1.4525 1.4001 1.4303 1.4441 1.3745 1.3739 0.9908 1.1626 1.4042 0.3960 1.2766 1.5617 1.7446 1.4441 1.6939 1.7248 1.7204 1.6824 1.6821 1.3896 1.4520 1.1637
Total from Investment Activities $ 1.2708 1.2516 1.2822 1.2809 1.2117 1.2270 1.2257 1.1249 1.1071 0.9114 1.0404 1.2552 0.3044 1.1632 1.4460 1.6017 1.2945 1.5164 1.5241 1.5021 1.4496 1.4282 1.2236 1.2751 0.9709
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6746 11.9908 11.2945 11.6062 11.7977 11.7619 11.4810 11.4464 -
Total Return 13.79 13.60 13.96 13.96 13.23 13.41 13.41 12.35 12.17 9.88 11.30 13.66 3.04 12.65 15.67 15.42 12.95 15.03 14.84 14.64 14.45 14.26 13.33 13.91 10.61
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.22)% (1.39)% (1.56)% (1.75)% (1.93)% (2.09)% (2.24)% (2.59)% (2.77)% (0.82)% (1.26)% (1.52)% (0.90)% (1.16)% (1.16)% (1.28)% (1.41)% (1.64)% (1.82)% (1.99)% (2.17)% (2.37)% (1.70)% (1.81)% (2.00)%
Net Investment Income (Loss) (1.22)% (1.39)% (1.56)% (1.75)% (1.93)% (2.08)% (2.24)% (2.58)% (2.76)% (0.82)% (1.26)% (1.52)% (0.90)% (1.16)% (1.16)% (1.28)% (1.40)% (1.64)% (1.82)% (1.98)% (2.16)% (2.37)% (1.70)% (1.80)% (2.00)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through September 6, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from February 17, 2012 (commencement of this class) through November 27, 2012
(i)
For the period from January 1, 2012 through September 21, 2012
(j)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -847-
FMT/Thornburg International Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 55,623,096
Liabilities 35,000
Fees payable
$ 55,588,096
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 1,542,388 33,499 344,292 309,254 222,089 123,692 31,964 80,835
NAV per Unit $ 10.1972 $ 11.3978 $ 11.4253 $ 11.7093 $ 11.3747 $ 11.4414 $ 11.2180 $ 11.2943
Net Assets $ 15,728,083 381,808 3,933,649 3,621,144 2,526,201 1,415,211 358,571 912,969 10,867,908 1,935,393 2,943,166 4,301,731 3,820,563 1,273,511 839,294 666,860 62,034 $ 55,588,096
The accompanying notes are an integral part of these financial statements. -848-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
528,647 20,153 1,200 550,000 (550,000)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
12,622,931 12,252,855
Net realized gain from investments sold
370,076
Change in net unrealized appreciation (depreciation) on investments
8,183,340
Net realized and unrealized gain on investments
8,553,416
Other operating credits (charges)
703
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -849-
8,004,119
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(550,000) 370,076
Change in net unrealized appreciation (depreciation) on investments
8,183,340 703
Other operating credits (charges)
8,004,119
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
62,166,707 68,235,899 (6,069,192)
Decrease in net assets from participant transactions Total increase in net assets
1,934,927 53,653,169
Net assets at beginning of year
$ 55,588,096
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -850-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Collective Trust Fund (100.1%) Thornburg International Equity Fund (Cost $50,906,836)
Shares
Fair Value
5,070,474
$ 55,623,096
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Collective investment fund International Core - Equity
Level 1
$ 55,623,096
$
Level 2 - $ 55,623,096
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $5,996,700 and $12,622,931, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -851-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 49,492 22,325 206,241 637,037 115,986 364,680 387,877 880 40,329 13,375 43,521 44,616 605,692 212,168 77,100 26,570 11,000,120 464,673 4,297,811 3,794,130 2,181,255 1,937,654 596,422 991,594 77,741 147,614 20,455 147,760 155,641 1,193,658 1,109,479 503,117 327,349 297,164 21,635 126,703 44,660 17,382 39,853 63,435 463,273 9,185 57,029 11,138,286 1,584,340 3,277,263 4,810,646 4,559,357 1,677,181 988,344 865,490 142,135 119,562 62,108 7,314 62,166,707
Redemptions (504,469) (1,925,912) (4,883,768) (3,299,284) (2,040,403) (1,431,684) (2,092,595) (15,388) (331,677) (60,829) (1,120,457) (57,789) (1,736,410) (1,774,991) (591,416) (592,419) (861,349) (128,360) (755,991) (629,555) (237,581) (713,580) (405,519) (417,325) (471,922) (1,374,184) (121,019) (1,449,759) (1,596,355) (4,865,551) (6,771,369) (3,373,360) (2,072,956) (1,752,980) (141,034) (539,332) (333,981) (139,021) (492,491) (696,849) (3,025,216) (220,795) (1,057,552) (1,075,563) (1,192,032) (788,672) (1,756,909) (1,638,531) (673,197) (473,118) (288,824) (1,320,741) (1,549,114) (338,472) (36,249) $ (68,235,899)
$
Units
$
$
Net change (454,977) (1,903,587) (4,677,527) (2,662,247) (1,924,417) (1,067,004) (1,704,718) (14,508) (291,348) (47,454) (1,076,936) (13,173) (1,130,718) (1,562,823) (514,316) (565,849) 10,138,771 336,313 3,541,820 3,164,575 1,943,674 1,224,074 190,903 574,269 (394,181) (1,226,570) (100,564) (1,301,999) (1,440,714) (3,671,893) (5,661,890) (2,870,243) (1,745,607) (1,455,816) (119,399) (412,629) (289,321) (121,639) (452,638) (633,414) (2,561,943) (211,610) (1,000,523) 10,062,723 392,308 2,488,591 3,053,737 2,920,826 1,003,984 515,226 576,666 (1,178,606) (1,429,552) (276,364) (28,935) (6,069,192)
Purchases 5,644 1,449 14,897 39,720 7,336 21,014 23,545 86 2,466 1,222 3,967 4,827 58,443 22,249 6,693 2,302 1,108,913 45,486 415,215 349,614 209,363 189,247 59,346 96,293 6,885 13,974 1,985 2,712,181
Redemptions (57,266) (127,690) (348,092) (195,031) (128,401) (86,038) (126,635) (1,487) (19,480) (5,505) (101,816) (5,966) (155,115) (179,716) (49,190) (48,818) (89,003) (11,987) (70,923) (57,078) (22,143) (65,555) (37,686) (38,467) (41,553) (132,787) (11,567) (2,214,995)
The accompanying notes are an integral part of these financial statements. -852-
Net change (51,622) (126,241) (333,195) (155,311) (121,065) (65,024) (103,090) (1,401) (17,014) (4,283) (97,849) (1,139) (96,672) (157,467) (42,497) (46,516) 1,019,910 33,499 344,292 292,536 187,220 123,692 21,660 57,826 (34,668) (118,813) (9,582) 497,186
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Thornburg International Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 Class R6 (j) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 8.3670 14.6379 13.0368 15.3495 15.3327 15.6220 15.2343 9.5732 15.3682 10.3344 10.0338 8.7389 10.1085 9.0244 10.7646 10.8393 8.7888 10.0000 10.0000 10.1483 9.8751 10.0000 9.7722 9.8551 10.3931 9.8016 10.0034
Net Investment Income (Loss)(a) $ (0.0524) (0.1206) (0.1318) (0.1834) (0.2162) (0.2456) (0.2683) (0.1784) (0.3257) (0.2374) (0.0425) (0.0414) (0.0699) (0.0855) (0.0571) (0.0962) (0.0367) (0.0639) (0.0851) (0.1091) (0.1254) (0.1426) (0.1617) (0.1838) (0.1137) (0.1256) (0.1439)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2417 2.1747 1.9921 2.3597 2.3281 2.3890 2.3449 1.2045 2.2873 1.5380 1.2445 1.0931 1.2659 1.3670 1.3471 1.6555 1.4451 1.4617 1.5104 1.6701 1.6250 1.5840 1.6075 1.6230 1.5428 1.5802 1.2575
Total from Investment Activities $ 1.1893 2.0541 1.8603 2.1763 2.1119 2.1434 2.0766 1.0261 1.9616 1.3006 1.2020 1.0517 1.1960 1.2815 1.2900 1.5593 1.4084 1.3978 1.4253 1.5610 1.4996 1.4414 1.4458 1.4392 1.4291 1.3826 1.1136
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1972 11.3978 11.4253 11.7093 11.3747 11.4414 11.2180 11.2943 -
Total Return 14.21 14.03 14.27 14.18 13.77 13.72 13.63 10.72 12.76 12.59 11.98 12.03 11.83 14.20 11.98 14.39 16.02 13.98 14.25 15.38 15.19 14.41 14.80 14.60 13.75 14.11 11.13
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.59)% (0.77)% (0.94)% (1.12)% (1.32)% (1.47)% (1.65)% (1.77)% (1.99)% (2.16)% (0.40)% (0.45)% (0.65)% (0.89)% (0.50)% (0.83)% (0.39)% (0.60)% (0.80)% (1.00)% (1.18)% (1.33)% (1.54)% (1.74)% (1.02)% (1.20)% (1.36)%
Net Investment Income (Loss) (0.58)% (0.77)% (0.94)% (1.12)% (1.32)% (1.47)% (1.65)% (1.77)% (1.99)% (2.16)% (0.40)% (0.45)% (0.65)% (0.88)% (0.50)% (0.83)% (0.39)% (0.60)% (0.79)% (1.00)% (1.18)% (1.33)% (1.54)% (1.74)% (1.02)% (1.20)% (1.36)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 26, 2012
(h)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -853-
FMT/SSgA Prime Money Market Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Interest Total assets
$
7,233,079 648 7,233,727
Liabilities 4,394
Fees payable $
Net assets
7,229,333
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 490,174 10,135 56,650 51,000 33,892 34,625 25,659 23,197
NAV per Unit $ 9.9951 $ 9.9499 $ 9.9598 $ 9.9100 $ 9.9017 $ 9.8830 $ 9.8627 $ 9.8561
$
$
The accompanying notes are an integral part of these financial statements. -854-
Net Assets 4,899,363 100,845 564,223 505,416 335,590 342,193 253,071 228,632 7,229,333
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Custody fees Audit fees
25,038
193,139 9,794 1,200 204,133
Net investment loss
$
The accompanying notes are an integral part of these financial statements. -855-
(179,095)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(179,095)
Participant transactions Proceeds from units purchased Less payments for units redeemed
30,601,482 46,460,466 (15,858,984)
Decrease in net assets from participant transactions Total decrease in net assets
(16,038,079) 23,267,412
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -856-
7,229,333
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Schedule of Investments and Specific Disclosures December 31, 2012
Principal Amount or Shares
Investments Mutual Fund (100.1%) SSgA Prime Money Market Fund (Cost $7,233,079)
7,233,079
Fair Value $
7,233,079
Specific Disclosures The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value heirarchy, the Fund's investments measured at fair value. Total Money market fund
$
Level 1
7,233,079
$
7,233,079
Level 2 $
Level 3 - $
The accompanying notes are an integral part of these financial statements. -857-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 4,760,581 658,691 48,665 1,190,797 218,637 126,734 5,190 114,923 2,785 2,475 65,366 49,928 14 6,267,128 101,353 1,723,882 597,776 358,129 363,525 160,656 246,966 18,614 296,025 100,957 44,844 194,010 518,085 503,592 359,775 170,875 120,184 3,665 69,969 37,659 2,034 7,224 50,453 459,495 17,228 26,908 630,116 898,719 2,167,854 3,256,328 1,521,339 726,779 748,417 317,790 96,372 95,413 18,150 58,408 30,601,482
Redemptions (5,782,409) (790,151) (1,259,539) (2,616,642) (534,571) (403,559) (456,185) (190,168) (37,948) (78,058) (272,256) (373,395) (155,514) (1,365,991) (1,157,035) (168,351) (20,177) (18,518) (30,022) (16,065) (202,553) (549,104) (493,157) (268,218) (971,180) (3,006,737) (2,845,245) (1,540,277) (1,209,968) (653,027) (47,994) (314,424) (226,787) (42,607) (75,654) (503,917) (2,487,661) (137,896) (665,262) (1,165,404) (1,526,033) (2,183,457) (3,703,435) (1,672,055) (802,230) (827,625) (332,303) (791,367) (557,375) (159,206) (771,754) $ (46,460,466)
$
Units
$
$
Net change (1,021,828) (131,460) (1,210,874) (1,425,845) (315,934) (276,825) (450,995) (75,245) (35,163) (75,583) (206,890) (323,467) (155,500) 4,901,137 101,353 566,847 429,425 337,952 345,007 130,634 230,901 (183,939) (253,079) (392,200) (223,374) (777,170) (2,488,652) (2,341,653) (1,180,502) (1,039,093) (532,843) (44,329) (244,455) (189,128) (40,573) (68,430) (453,464) (2,028,166) (120,668) (638,354) (535,288) (627,314) (15,603) (447,107) (150,716) (75,451) (79,208) (14,513) (694,995) (461,962) (141,056) (713,346) (15,858,984)
Purchases 480,842 66,318 4,986 123,200 22,643 13,252 544 11,691 297 260 6,602 5,032 1 626,798 10,135 172,592 59,883 35,923 36,492 16,150 24,812 1,888 29,825 10,317 1,760,483
Redemptions (584,878) (79,586) (129,402) (270,717) (55,672) (42,079) (47,883) (19,470) (4,057) (8,261) (27,548) (37,723) (15,675) (136,624) (115,942) (16,920) (2,031) (1,867) (3,007) (1,615) (20,590) (55,498) (50,359) (1,727,404)
The accompanying notes are an integral part of these financial statements. -858-
Net change (104,036) (13,268) (124,416) (147,517) (33,029) (28,827) (47,339) (7,779) (3,760) (8,001) (20,946) (32,691) (15,674) 490,174 10,135 56,650 42,963 33,892 34,625 13,143 23,197 (18,702) (25,673) (40,042) 33,079
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA Prime Money Market Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class B (d) Class C (e) Class D (f) Class E (g) Class F (e) Class G (f) Class H (h) Class I (b) Class J (b) Class M (h) Class O (g) Class Q (i) Class R1 (j) Class R2 (k) Class R3 (l) Class R4 Class R5 (m) Class R6 (n) Class R7 Class R8 (o) Class S (b) Class T (f) Class U (h)
NAV per Unit, Beginning of Period $ 9.9140 9.9535 10.0000 9.7891 9.7275 9.6663 9.6130 9.5606 9.9180 9.4903 9.6099 9.9131 9.9493 9.9671 10.0000 10.0000 10.0000 9.9961 10.0000 10.0000 9.9993 10.0000 9.8987 9.9833 9.8075
Net Investment Income (Loss)(a) $ (0.0478) (0.0291) (0.0176) (0.0781) (0.0934) (0.1080) (0.1227) (0.1372) (0.1513) (0.1662) (0.1833) (0.0345) (0.0737) (0.0474) (0.0049) (0.0501) (0.0402) (0.0861) (0.0983) (0.1170) (0.1366) (0.1439) (0.0876) (0.1022) (0.1130)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ -
Total from Investment Activities $ (0.0478) (0.0291) (0.0176) (0.0781) (0.0934) (0.1080) (0.1227) (0.1372) (0.1513) (0.1662) (0.1833) (0.0345) (0.0737) (0.0474) (0.0049) (0.0501) (0.0402) (0.0861) (0.0983) (0.1170) (0.1366) (0.1439) (0.0876) (0.1022) (0.1130)
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.9951 9.9499 9.9598 9.9100 9.9017 9.8830 9.8627 9.8561 -
Total Return (0.48)% (0.29)% (0.18)% (0.80)% (0.96)% (1.12)% (1.28)% (1.44)% (1.53)% (1.75)% (1.91)% (0.35)% (0.74)% (0.48)% (0.05)% (0.50)% (0.40)% (0.86)% (0.98)% (1.17)% (1.37)% (1.44)% (0.88)% (1.02)% (1.15)%
Net Expenses (0.63)% (0.79)% (0.79)% (1.01)% (1.21)% (1.39)% (1.71)% (1.80)% (1.86)% (2.12)% (2.31)% (0.48)% (0.94)% (0.62)% (0.04)% (0.63)% (0.48)% (1.06)% (1.20)% (1.43)% (1.65)% (1.73)% (1.10)% (1.27)% (1.52)%
Net Investment Income (Loss) (0.48)% (0.29)% (0.18)% (0.80)% (0.96)% (1.12)% (1.28)% (1.45)% (1.54)% (1.77)% (1.93)% (0.35)% (0.74)% (0.48)% (0.05)% (0.50)% (0.40)% (0.87)% (0.99)% (1.18)% (1.38)% (1.45)% (0.89)% (1.03)% (1.16)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through June 8, 2012
(d)
For the period from June 11, 2012 through November 26, 2012
(e)
For the period from January 1, 2012 through December 11, 2012
(f)
For the period from January 1, 2012 through December 12, 2012
(g)
For the period from January 1, 2012 through December 13, 2012
(h)
For the period from January 1, 2012 through November 27, 2012
(i)
For the period from January 1, 2012 through August 29, 2012
(j)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 20, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -859-
FMT/SSgA U.S. Treasury Money Market Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Interest Total assets
$ 47,728,704 748 47,729,452
Liabilities 30,956
Fees payable
$ 47,698,496
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Lehman
Units of Participation 1,799,093 254,397 1,002,456 368,573 722,054 225,823 186,675 136,215 49
NAV per Unit $ 10.5817 $ 9.9374 $ 9.9195 $ 9.9015 $ 9.8811 $ 9.8616 $ 9.8475 $ 9.8317 $ 9.9274
Net Assets $ 19,037,516 2,528,055 9,943,855 3,649,408 7,134,713 2,226,968 1,838,269 1,339,225 487 $ 47,698,496
The accompanying notes are an integral part of these financial statements. -860-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Custody fees Audit fees
1,006
442,202 8,700 1,200 452,102
Net investment loss
$
The accompanying notes are an integral part of these financial statements. -861-
(451,096)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Participant transactions Proceeds from units purchased Less payments for units redeemed
(451,096)
70,827,848 78,577,523 (7,749,675)
Decrease in net assets from participant transactions Total decrease in net assets
(8,200,771)
Net assets at beginning of year
55,899,267 $ 47,698,496
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -862-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Schedule of Investments and Specific Disclosures December 31, 2012
Investments Shares Mutual Fund (100.1%) SSgA U.S. Treasury Money Market Fund (Cost $47,728,704)
47,728,704
Fair Value $ 47,728,704
Specific Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Money market fund
Total
Level 1
$ 47,728,704
$ 47,728,704
Level 2 $
Level 3 - $
The accompanying notes are an integral part of these financial statements. -863-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Lehman
$
$
Purchases 1,612,285 2,628,703 936,569 1,285,790 1,685,278 2,845,659 587,264 55,594 580,020 62,732 196,885 151,924 56,749 153,411 261,641 21,427,400 2,317,886 11,490,022 4,694,679 9,206,292 3,595,151 2,928,325 1,371,295 419,743 121,875 154,178 498 70,827,848
Redemptions (3,435,676) (15,695,156) (6,643,238) (8,832,606) (10,294,346) (5,120,280) (2,864,206) (537,171) (1,944,788) (320,136) (1,866,578) (1,119,697) (374,497) (871,994) (1,329,493) (5,123,307) (1,008,418) (1,770,198) (1,536,435) (2,619,665) (1,353,167) (1,591,697) (183,883) (1,013,770) (605,084) (522,029) (8) $ (78,577,523)
$
Units
$
$
Net change (1,823,391) (13,066,453) (5,706,669) (7,546,816) (8,609,068) (2,274,621) (2,276,942) (481,577) (1,364,768) (257,404) (1,669,693) (967,773) (317,748) (718,583) (1,067,852) 16,304,093 1,309,468 9,719,824 3,158,244 6,586,627 2,241,984 1,336,628 1,187,412 (594,027) (483,209) (367,851) 490 (7,749,675)
Purchases 141,697 233,498 83,804 116,009 153,355 260,517 54,337 5,840 55,151 7,127 19,943 15,570 4,752 15,563 26,654 2,023,969 232,530 1,152,239 471,672 926,669 362,663 295,594 138,430 43,122 12,536 15,957 50 6,869,248
Redemptions (302,418) (1,392,429) (594,751) (796,569) (938,119) (469,874) (265,347) (56,635) (184,870) (36,672) (189,013) (114,924) (31,427) (88,615) (135,762) (483,679) (101,120) (177,719) (154,653) (263,194) (136,947) (160,758) (18,528) (104,419) (62,371) (54,278) (1) (7,315,092)
The accompanying notes are an integral part of these financial statements. -864-
Net change (160,721) (1,158,931) (510,947) (680,560) (784,764) (209,357) (211,010) (50,795) (129,719) (29,545) (169,070) (99,354) (26,675) (73,052) (109,108) 1,540,290 131,410 974,520 317,019 663,475 225,716 134,836 119,902 (61,297) (49,835) (38,321) 49 (445,844)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/SSgA U.S. Treasury Money Market Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f) Lehman (h)
NAV per Unit, Beginning of Period $ 11.3804 11.3012 11.2200 11.1386 11.0517 10.9707 10.8871 9.6133 10.6754 8.8880 9.8893 9.7895 11.9921 9.8853 9.8355 10.6208 9.9961 9.9950 9.9939 9.9903 9.9875 9.9901 9.9912 9.7786 9.7512 9.7096 10.0000
Net Investment Income (Loss)(a) $ (0.0630) (0.0806) (0.0978) (0.1149) (0.1318) (0.1479) (0.1643) (0.1538) (0.1944) (0.1758) (0.0329) (0.0591) (0.0978) (0.0463) (0.0755) (0.0391) (0.0587) (0.0755) (0.0924) (0.1092) (0.1259) (0.1426) (0.1595) (0.0935) (0.1071) (0.1198) (0.0726)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ -
Total from Investment Activities $ (0.0630) (0.0806) (0.0978) (0.1149) (0.1318) (0.1479) (0.1643) (0.1538) (0.1944) (0.1758) (0.0329) (0.0591) (0.0978) (0.0463) (0.0755) (0.0391) (0.0587) (0.0755) (0.0924) (0.1092) (0.1259) (0.1426) (0.1595) (0.0935) (0.1071) (0.1198) (0.0726)
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.5817 9.9374 9.9195 9.9015 9.8811 9.8616 9.8475 9.8317 9.9274
Total Return (0.55)% (0.71)% (0.87)% (1.03)% (1.19)% (1.35)% (1.51)% (1.60)% (1.82)% (1.98)% (0.33)% (0.60)% (0.82)% (0.47)% (0.77)% (0.37)% (0.59)% (0.76)% (0.92)% (1.09)% (1.26)% (1.43)% (1.60)% (0.96)% (1.10)% (1.23)% (0.73)%
Net Expenses (0.55)% (0.72)% (0.88)% (1.05)% (1.22)% (1.38)% (1.55)% (1.63)% (1.86)% (2.02)% (0.32)% (0.60)% (0.83)% (0.46)% (0.78)% (0.36)% (0.58)% (0.75)% (0.93)% (1.11)% (1.28)% (1.45)% (1.63)% (0.96)% (1.12)% (1.25)% (0.68)%
Net Investment Income (Loss) (0.56)% (0.72)% (0.88)% (1.04)% (1.20)% (1.36)% (1.52)% (1.61)% (1.84)% (2.00)% (0.33)% (0.61)% (0.82)% (0.47)% (0.77)% (0.37)% (0.59)% (0.76)% (0.93)% (1.10)% (1.27)% (1.44)% (1.61)% (0.96)% (1.10)% (1.24)% (0.73)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through October 12, 2012
(h)
For the period from April 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -865-
FMT Aggressive International Growth (McKinley) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Foreign currencies Receivables Investments sold Dividend tax reclaim Dividends and interest Total assets
$ 14,452,344 26,979 151,535 22,716 17,058 14,670,632
Liabilities Cash overdraft Investments purchased Agency fees Sub-advisor fees Accrued foreign capital gains taxes Total liabilities
107,228 13,002 9,756 9,312 4,537 143,835 $ 14,526,797
Net assets Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 105,623 1,546 4,537 23,603 10,358 4,843 537
$ $ $ $ $ $ $
NAV per Unit 7.5265 10.2178 10.6497 10.4557 10.5617 10.2664 10.1182
$
$
The accompanying notes are an integral part of these financial statements. -866-
Net Assets 794,973 15,801 48,314 246,787 109,397 49,720 5,433 5,424,234 957,192 1,456,539 2,124,917 1,889,171 629,512 414,565 329,613 30,629 14,526,797
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $13,085) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
496,718 365 497,083 157,740 122,520 53,142 5,400 338,802
Net investment income
158,281
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
20,963,638 20,873,679
Net realized gain from investments sold
89,959
Change in net unrealized appreciation (depreciation) on investments
1,671,413
Net realized and unrealized gain on investments
1,761,372
Other operating credits (charges)
351
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -867-
1,920,004
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
158,281 89,959
Change in net unrealized appreciation (depreciation) on investments
1,671,413 351
Other operating credits (charges)
1,920,004
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
18,283,756 21,279,881 (2,996,125)
Decrease in net assets from participant transactions Total decrease in net assets
(1,076,121)
Net assets at beginning of year
15,602,918 $ 14,526,797
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -868-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (96.6%) Consumer Discretionary (14.2%) ABC MART INC BARRATT DEVELOPMENTS PLC CONTINENTAL AG DEBENHAMS PLC GKN PLC INTERCONTINENTAL HOTELS GROU LOTTOMATICA GROUP SPA NEXT PLC REED ELSEVIER PLC SILVER WHEATON CORP SJM HOLDINGS LTD TOYOTA MOTOR CORP WHITBREAD PLC
1,800 35,790 2,470 97,315 20,240 1 4,678 2,460 29,250 4,000 68,000 3,400 7,500
Fair Value
$
78,220 120,823 285,254 180,404 75,306 28 106,088 148,372 305,367 144,045 157,919 157,168 298,439 2,057,433
Consumer Staples (14.6%) AGRIUM INC W/D ALIMENTATION COUCHE TARD B ANHEUSER BUSCH INBEV NV BEIERSDORF AG COSAN LTD CLASS A SHARES DIAGEO PLC GLANBIA PLC LAWSON INC NESTLE SA REG SUEDZUCKER AG
1,500 4,365 1,650 2,820 13,040 12,360 11,210 1,800 5,958 4,100
149,865 214,480 143,019 230,080 225,723 359,173 123,416 121,953 387,809 167,527 2,123,045
Energy (3.6%) PETROFAC LTD ROYAL DUTCH SHELL PLC A SHS SEADRILL LTD
6,120 4,621 5,400
161,522 158,260 197,292 517,074
45,610 86,200 199,000
272,274 336,424 143,507
Financial (19.1%) ABERDEEN ASSET MGMT PLC AIA GROUP LTD BANK RAKYAT INDONESIA PERSER
The accompanying notes are an integral part of these financial statements. -869-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Financial (continued) CHINA OVERSEAS LAND + INVEST DBS GROUP HOLDINGS LTD GRUPO FINANCIERO BANORTE O HSBC HOLDINGS PLC KRUNG THAI BANK PUB CO FOREI MITSUBISHI ESTATE CO LTD SUN HUNG KAI PROPERTIES SWEDBANK AB A SHARES SWISS RE AG TURKIYE HALK BANKASI
74,000 15,000 36,200 11,200 309,000 12,000 15,000 7,870 2,555 24,260
Health Care (6.6%) ASPEN PHARMACARE HOLDINGS LT COLOPLAST B GRIFOLS SA ROCHE HOLDING AG GENUSSCHEIN
Fair Value
$
220,545 182,235 233,095 117,819 197,986 283,795 225,654 153,522 183,885 237,843 2,788,584
9,550 3,100 4,475 2,327
190,163 151,480 155,532 468,168 965,343
Industrial (11.5%) CANADIAN NATL RAILWAY CO EASYJET PLC JGC CORP KONINKLIJKE PHILIPS ELECTRON KUKA AG LARGAN PRECISION CO LTD OC OERLIKON CORP AG REG POSTNL NV SAMSUNG HEAVY INDUSTRIES VOPAK
1,500 15,280 7,000 9,790 2,250 5,000 17,585 37,882 5,700 1,550
136,066 190,208 216,205 256,807 82,086 133,958 198,771 145,746 205,250 108,948 1,674,045
Information Technology (10.7%) AAC TECHNOLOGIES HOLDINGS IN AMADEUS IT HOLDING SA A SHS NOVATEK MICROELECTRONICS COR SAMSUNG ELECTRONICS CO LTD SAP AG
57,000 6,140 54,000 320 4,732
198,560 154,221 218,499 454,933 378,653
The accompanying notes are an integral part of these financial statements. -870-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) TAIWAN SEMICONDUCTOR MANUFAC
43,000
Materials (8.3%) BHP BILLITON PLC KOREA ZINC CO LTD LANXESS AG NISSAN CHEMICAL INDUSTRIES RIO TINTO LTD RIO TINTO PLC SEMEN GRESIK (PERSERO) PT SYMRISE AG Telecommunication Services (6.7%) ADVANCED INFO SERVICE FOR RG AXIATA GROUP BERHAD KDDI CORP TELEKOMUNIKASI INDONESIA PER TELSTRA CORP LTD THAICOM PCL FOREIGN Utilities (1.3%) POWER ASSETS HOLDINGS LTD
Fair Value
$
143,634 1,548,500
6,829 368 1,420 12,800 1,440 3,395 50,500 4,880
236,481 139,215 124,075 150,102 98,785 193,862 83,053 174,498 1,200,071
21,300 34,100 3,900 227,500 35,080 143,700
145,528 73,486 274,134 213,632 159,317 108,515 974,612
22,000
188,187
Total common stocks (Cost $12,664,235)
14,036,894
Depository receipts (1.2%) Industrial (1.2%) CIA SANEAMENTO BASICO DE ADR (Cost $178,321) Real estate investment trust (1.7%) Financial (1.7%) LINK REIT (Cost $239,022)
2,010
167,976
49,500
247,474 $ 14,452,344
Total Investments (Cost $13,081,578)
The accompanying notes are an integral part of these financial statements. -871-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Real estate investment trust
Level 1
Level 2
Level 3
$ 14,036,894 $ 14,036,894 $ 167,976 167,976 247,474 247,474
- $ -
-
$ 14,452,344
- $
-
$ 14,452,344
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $18,642,813 and $20,963,638, respectively, for the year ended December 31, 2012. Proceeds from sales of investments Proceeds from sales of investments as reported in the accompanying statement of operations is net of foreign capital gains taxes of $ 16,580 and foreign currency losses of $8,325. Change in net unrealized appreciation (depreciation) on investments The change in net unrealized appreciation (depreciation) on investments in the accompanying statement of operations is net of a provision for foreign capital gains taxes of approximately $4,537.
The accompanying notes are an integral part of these financial statements. -872-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 22,090 5,905 19,409 16,258 6,505 8,159 1,875 20,307 3,893 560,553 755 117,352 45,646 292,051 151,734 78,817 10,874 3,193 2,704 73,902 78,049 597,720 554,996 252,258 165,128 150,760 10,818 65,368 22,467 8,691 19,926 31,716 231,655 4,582 28,515 5,569,179 792,332 1,638,723 2,405,527 2,279,993 838,746 494,403 432,759 72,987 59,768 31,051 3,657 18,283,756
Redemptions (185,213) (159,311) (837,001) (348,479) (176,285) (130,688) (73,273) (196,174) (36,653) (1,153) (4,066) (796) (100,479) (1,635) (65,135) (47,198) (31,424) (6,281) (35,410) (16,732) (678,163) (747,103) (2,301,654) (3,198,252) (1,591,330) (978,488) (826,110) (66,685) (258,684) (155,727) (65,157) (229,779) (325,936) (1,424,807) (103,791) (492,873) (518,113) (585,709) (384,440) (862,765) (802,571) (330,748) (232,727) (142,156) (619,394) (728,071) (160,112) (15,150) $ (21,279,881)
$
Units
$
$
Net change (163,123) (153,406) (817,592) (332,221) (169,780) (122,529) (71,398) (175,867) (32,760) (1,153) 556,487 (41) 16,873 44,011 226,916 104,536 47,393 4,593 (32,217) (14,028) (604,261) (669,054) (1,703,934) (2,643,256) (1,339,072) (813,360) (675,350) (55,867) (193,316) (133,260) (56,466) (209,853) (294,220) (1,193,152) (99,209) (464,358) 5,051,066 206,623 1,254,283 1,542,762 1,477,422 507,998 261,676 290,603 (546,407) (668,303) (129,061) (11,493) (2,996,125)
Purchases 2,984 961 2,615 2,256 980 1,139 283 2,917 560 75,745 75 11,738 4,709 30,073 14,905 7,943 1,163 306 284 161,636
Redemptions (24,396) (24,676) (113,599) (48,581) (25,863) (17,767) (10,584) (27,168) (5,063) (173) (549) (75) (10,192) (172) (6,470) (4,547) (3,100) (626) (3,533) (1,795) (328,929)
The accompanying notes are an integral part of these financial statements. -873-
Net change (21,412) (23,715) (110,984) (46,325) (24,883) (16,628) (10,301) (24,251) (4,503) (173) 75,196 1,546 4,537 23,603 10,358 4,843 537 (3,227) (1,511) (167,293)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Aggressive International Growth (McKinley) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class R1 Class R2 (g) Class R3 (h) Class R4 (i) Class R5 (j) Class R6 (k) Class R7 (l) Class R8 (m) Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 6.9004 5.8012 6.9514 6.7515 6.2471 6.7485 6.2636 6.5999 6.5575 6.2752 6.6065 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 9.6614 8.8166
Net Investment Income (Loss)(a) $ 0.1339 0.1286 0.1744 0.1851 0.1854 0.2171 0.2210 0.2598 0.2748 0.0633 0.1153 0.1793 0.1713 0.2251 0.2425 0.2732 0.2751 0.2729 0.2517 0.2469
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7013 0.5632 0.6833 0.6532 0.5565 0.5810 0.5225 0.4455 0.4143 0.3450 0.8047 0.3709 0.0465 0.4246 0.2132 0.2885 (0.0087) (0.1547) 0.8738 0.8401
Total from Investment Activities $ 0.8352 0.6918 0.8577 0.8383 0.7419 0.7981 0.7435 0.7053 0.6891 0.4083 0.9200 0.5502 0.2178 0.6497 0.4557 0.5617 0.2664 0.1182 1.1255 1.0870
Ratios (to average unit value)
NAV per Unit, End of Period $ 7.5265 10.2178 10.6497 10.4557 10.5617 10.2664 10.1182 -
Total Return 12.10 11.93 12.34 12.42 11.88 11.83 11.87 10.69 10.51 6.51 13.93 5.50 2.18 6.50 4.56 5.62 2.66 1.18 11.65 12.33
% % % % % % % % % % % % % % % % % % % %
Net Expenses (3.91)% (4.47)% (5.05)% (5.52)% (5.99)% (6.49)% (7.12)% (7.99)% (8.51)% (2.09)% (3.49)% (3.73)% (3.62)% (4.66)% (5.07)% (5.68)% (5.80)% (5.80)% (5.26)% (5.64)%
Net Investment Income (Loss) 1.83 % 2.09 % 2.36 % 2.58 % 2.80 % 3.04 % 3.33 % 3.74 % 3.98 % 0.98 % 1.63 % 1.74 % 1.69 % 2.18 % 2.37 % 2.66 % 2.72 % 2.71 % 2.46 % 2.64 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through August 20, 2012
(g)
For the period from January 10, 2012 (commencement of this class) through November 15, 2012
(h)
For the period from March 15, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 2, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 10, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from March 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -874-
FMT Balanced Opportunities (Aristotle) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 10,772,768 458,997 73,306 11,305,071
Liabilities Agency fees Sub-advisor fees Total liabilities
6,181 4,740 10,921 $ 11,294,150
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R8
Units of Participation 124,296 755,566 4,069 10,667 36,208 47,819 25,691
NAV per Unit $ 11.3102 $ 11.3248 $ 10.6381 $ 10.8878 $ 10.8096 $ 10.6986 $ 10.4809
Net Assets $ 1,405,820 8,556,660 43,283 116,136 391,389 511,600 269,262 $ 11,294,150
The accompanying notes are an integral part of these financial statements. -875-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest (net of amortization of bond discounts/premiums of $47,863) Dividends (net of foreign withholding taxes of $1,782)
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
150,017 135,377 285,394 74,944 51,882 8,554 5,400 140,780
Net investment income
144,614
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
1,972,251 1,609,637
Net realized gain from investments sold
362,614
Change in net unrealized appreciation (depreciation) on investments
804,475
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
1,167,089 $
The accompanying notes are an integral part of these financial statements. -876-
1,311,703
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
144,614
Net realized gain from investments sold
362,614
Change in net unrealized appreciation (depreciation) on investments
804,475 1,311,703
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,753,860 11,633,210 1,120,650
Increase in net assets from participant transactions Total increase in net assets
2,432,353
Net assets at beginning of year
8,861,797 $ 11,294,150
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -877-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (54.9%) Consumer Discretionary (6.7%) J.C. PENNEY CO INC LENNAR CORP A LOWE S COS INC TIME WARNER INC
5,400 6,400 5,850 4,000
Consumer Staples (6.5%) BUNGE LTD GENERAL MILLS INC HERSHEY CO/THE UNILEVER N V NY SHARES
2,160 3,560 2,985 5,700
157,010 143,860 215,577 218,310 734,757
Energy (6.0%) HALLIBURTON CO HESS CORP PHILLIPS 66 PIONEER NATURAL RESOURCES CO
5,600 2,100 4,100 1,500
194,264 111,216 217,710 159,885 683,075
15,905 4,000 4,800 1,600 4,235 6,800 6,100
184,498 131,120 211,056 157,552 89,358 97,648 172,935 1,044,167
Health Care (4.6%) ABBOTT LABORATORIES BAXTER INTERNATIONAL INC COVIDIEN PLC
2,135 2,800 3,330
139,842 186,648 192,274 518,764
Industrials (6.7%) DEERE + CO GENERAL DYNAMICS CORP GENERAL ELECTRIC CO
1,780 3,900 8,000
153,828 270,153 167,920
Financials (9.2%) BANK OF AMERICA CORP FIRST REPUBLIC BANK/CA JPMORGAN CHASE + CO M + T BANK CORP PROGRESSIVE CORP SCHWAB (CHARLES) CORP SUNTRUST BANKS INC
$
The accompanying notes are an integral part of these financial statements. -878-
106,434 247,488 207,792 191,320 753,034
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrials (Continued) SPX CORP
2,300
Fair Value
$
161,345 753,246
Information Technology (9.8%) EBAY INC EMC CORP/MA INTL BUSINESS MACHINES CORP ORACLE CORP TE CONNECTIVITY LTD TEXAS INSTRUMENTS INC
4,700 7,400 674 5,100 5,400 5,700
239,794 187,220 129,105 169,932 200,448 176,358 1,102,857
Materials (2.7%) DOW CHEMICAL CO/THE ECOLAB INC
4,000 2,500
129,280 179,750 309,030
14,400 7,600
154,080 150,176 304,256
Utilities (2.7%) AES CORP QUESTAR CORP Total common stocks (Cost $4,927,553)
6,203,186
Corporate bonds (36.1%) Financials (17.4%) BANK OF AMERICA CORP, 4.75%, 08/15/2013 CITIGROUP INC, 5.50%, 02/15/2017 GENERAL ELEC CAP CORP, 5.63%, 09/15/2017 GOLDMAN SACHS GROUP INC, 5.35%, 01/15/2016 ABBEY NATL TREASURY SERV, 4.00%, 04/27/2016 Industrials (18.7%) ALTRIA GROUP INC, 7.75%, 02/06/2014 DELL INC, 5.63%, 04/15/2014 PETROBRAS INTL FIN CO, 5.88%, 03/01/2018 TIME WARNER INC, 5.88%, 11/15/2016 UNION PACIFIC CORP, 4.88%, 01/15/2015
500,000 200,000 500,000 300,000 300,000
508,750 221,707 589,861 331,618 317,213 1,969,149
300,000 300,000 500,000 300,000 500,000
322,438 318,437 572,455 351,267 540,684
The accompanying notes are an integral part of these financial statements. -879-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Corporate bonds (Continued) $ Total corporate bonds (Cost $3,863,603)
2,105,281 4,074,430
Depository receipts (4.4%) Consumer Staples (1.1%) DIAGEO PLC SPONSORED ADR Financials (2.2%) BANCO SANTANDER SA SPON ADR MITSUBISHI UFJ FINL GRP ADR Telecommunication Services (1.1%) VODAFONE GROUP PLC SP ADR
1,100
128,238
14,605 24,000
119,323 130,080 249,403
4,665
117,511
Total depository reciepts (Cost $476,431)
495,152 $ 10,772,768
Total Investments (Cost $9,267,587)
The accompanying notes are an integral part of these financial statements. -880-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodologies used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Corporate bonds Depository receipts
$
6,203,186 $ 4,074,430 495,152
$ 10,772,768
$
Level 1
Level 2
6,203,186 $ 495,152
- $ 4,074,430 -
-
6,698,338
4,074,430
-
$
Level 3
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $3,023,631 and $1,972,251, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -881-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R8 Class T Class U
$
$
Purchases 1,185,544 27,278 1,319 46,679 34,185 90,858 19,664 3,561 50 323 3,954 1,615,879 8,333,747 44,179 162,710 448,183 471,700 261,919 1,994 134 12,753,860
Redemptions (7,424,093) (445,829) (158,771) (514,901) (419,457) (696,657) (520,355) (18,737) (246) (198,427) (43,165) (233,004) (742,100) (3,224) (58,970) (77,304) (7,531) (3,623) (62,287) (4,529) $ (11,633,210)
$
Units
$
$
Net change (6,238,549) (418,551) (157,452) (468,222) (385,272) (605,799) (500,691) (15,176) (196) (198,104) (39,211) 1,382,875 7,591,647 40,955 103,740 370,879 464,169 258,296 (60,293) (4,395) 1,120,650
Purchases 90,200 2,167 109 2,927 2,722 7,190 1,383 342 5 28 394 146,133 823,952 4,388 16,283 43,699 48,548 26,050 167 13 1,216,700
Redemptions (592,690) (33,884) (13,111) (31,762) (33,054) (54,707) (35,321) (1,758) (23) (16,593) (4,257) (21,837) (68,386) (319) (5,616) (7,491) (729) (359) (4,978) (425) (927,300)
The accompanying notes are an integral part of these financial statements. -882-
Net change (502,490) (31,717) (13,002) (28,835) (30,332) (47,517) (33,938) (1,416) (18) (16,565) (3,863) 124,296 755,566 4,069 10,667 36,208 47,819 25,691 (4,811) (412) 289,400
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Balanced Opportunities (Aristotle) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (g) Class G (e) Class I (h) Class J (c) Class L (i) Class Q (j) Class R1 (k) Class R2 (l) Class R3 (m) Class R4 (n) Class R5 (o) Class R6 (p) Class R8 (q) Class T (e) Class U (r)
NAV per Unit, Beginning of Period $ 12.4191 11.7922 11.6381 14.8564 11.7482 11.9147 13.3894 9.9225 9.7182 10.9509 9.5887 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 11.1992 10.0738
Net Investment Income (Loss)(a) $ 0.0683 0.1685 0.0828 0.2716 0.2378 0.2636 0.3226 0.0583 0.2694 0.1073 0.0295 0.1074 0.0760 0.1154 0.1518 0.1696 0.1843 0.1907 0.2136 0.0220
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0176 1.2949 0.2300 1.5717 1.1559 1.1625 1.2666 0.6986 0.8194 1.1616 0.6416 1.2028 1.2488 0.5227 0.7360 0.6400 0.5143 0.2902 1.1677 0.5682
Total from Investment Activities $ 0.0859 1.4634 0.3128 1.8433 1.3937 1.4261 1.5892 0.7569 1.0888 1.2689 0.6711 1.3102 1.3248 0.6381 0.8878 0.8096 0.6986 0.4809 1.3813 0.5902
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through June 4, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through May 30, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 11, 2012
(h)
For the period from January 1, 2012 through March 14, 2012
(i)
For the period from January 1, 2012 through November 27, 2012
(j)
For the period from January 1, 2012 through March 12, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.3102 11.3248 10.6381 10.8878 10.8096 10.6986 10.4809 -
Total Return 0.69 12.41 2.69 12.41 11.86 11.97 11.87 7.63 11.20 11.59 7.00 13.10 13.25 6.38 8.88 8.10 6.99 4.81 12.33 5.86
(k)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 5, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from March 13, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from February 2, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from February 7, 2012 (commencement of this class) through December 31, 2012
(q)
For the period from March 15, 2012 (commencement of this class) through December 31, 2012
(r)
For the period from January 1, 2012 through February 6, 2012
% % % % % % % % % % % % % % % % % % % %
Net Expenses (0.53)% (1.31)% (0.68)% (1.68)% (1.86)% (2.03)% (2.21)% (0.55)% (2.56)% (0.90)% (0.29)% (0.98)% (0.69)% (1.09)% (1.42)% (1.59)% (1.73)% (1.81)% (1.75)% (0.21)%
The accompanying notes are an integral part of these financial statements. -883-
Net Investment Income (Loss) 0.55 % 1.35 % 0.70 % 1.72 % 1.91 % 2.09 % 2.27 % 0.57 % 2.63 % 0.93 % 0.30 % 1.01 % 0.71 % 1.12 % 1.45 % 1.63 % 1.78 % 1.86 % 1.80 % 0.21 %
FMT Diversified International (Thomas White) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Dividend tax reclaim Total assets
$ 40,839,763 184,862 829,410 37,740 3,278 41,895,053
Liabilities Investments purchased Agency fees Accrued foreign capital gains taxes Sub-advisor fees Total liabilities
289,272 27,954 24,117 22,955 364,298 $ 41,530,755
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 277,384 7,245 136,987 116,693 120,546 44,520 19,553 1,159
$ $ $ $ $ $ $ $
NAV per Unit 11.7065 11.8459 11.1036 11.5406 10.5647 10.7320 11.3010 11.8410
$
$
The accompanying notes are an integral part of these financial statements. -884-
Net Assets 3,247,202 85,821 1,521,053 1,346,707 1,273,529 477,791 220,971 13,724 13,578,955 2,414,981 3,673,020 5,365,537 4,766,345 1,589,101 1,046,875 831,735 77,408 41,530,755
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $54,046) Interest
$
1,070,854 1,086 1,071,940
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
326,739 218,031 42,438 5,400 592,608
Net investment income
479,332
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
20,460,068 (21,003,406)
Net realized loss from investments sold
(543,338)
Change in net unrealized appreciation (depreciation) on investments
5,377,126
Net realized and unrealized gain on investments
4,833,788
Other operating credits (charges)
(3,725)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -885-
5,309,395
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
479,332 (543,338)
Change in net unrealized appreciation (depreciation) on investments
5,377,126 (3,725)
Other operating credits (charges)
5,309,395
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
50,221,078 42,335,926 7,885,152
Increase in net assets from participant transactions Total increase in net assets
13,194,547
Net assets at beginning of year
28,336,208 $ 41,530,755
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -886-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (92.6%) Consumer Discretionary (14.5%) ADIDAS AG BAYERISCHE MOTOREN WERKE AG CHRISTIAN DIOR COMPASS GROUP PLC HYUNDAI MOTOR CO JARDINE CYCLE + CARRIAGE LTD KIA MOTORS CORPORATION MICHELIN (CGDE) NOKIAN RENKAAT OYJ SEKISUI CHEMICAL CO LTD SJM HOLDINGS LTD SODEXO TECHTRONIC INDUSTRIES CO THE FOSCHINI GROUP LTD TOYOTA INDUSTRIES CORP VOLKSWAGEN AG WH SMITH PLC WHITBREAD PLC WILLIAM HILL PLC WOOLWORTHS HOLDINGS LTD
3,850 3,085 3,207 20,900 990 16,000 2,650 3,138 3,625 21,000 118,000 2,918 199,500 8,300 10,400 1,750 41,824 4,400 39,911 49,361
Consumer Staples (7.3%) ALIMENTATION COUCHE TARD B ASAHI GROUP HOLDINGS LTD BRITISH AMERICAN TOBACCO PLC COCA COLA AMATIL LTD IMPERIAL TOBACCO GROUP PLC JAPAN TOBACCO INC PHILIP MORRIS CR AS PHILIP MORRIS INTERNATIONAL SEVEN + I HOLDINGS CO LTD TIGER BRANDS LTD UNICHARM CORP
3,800 9,800 14,338 23,586 7,479 5,300 370 1,600 5,000 7,336 6,900
Fair Value
$
The accompanying notes are an integral part of these financial statements. -887-
341,782 296,648 542,296 246,403 202,055 630,700 139,855 296,200 143,865 181,544 274,036 245,155 374,249 137,646 327,821 375,525 455,681 175,084 225,922 412,931 6,025,398 186,718 207,786 727,685 329,683 288,604 149,261 208,036 133,824 140,640 281,133 357,981 3,011,351
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Energy (7.2%) BP PLC ENI SPA HUSKY ENERGY INC PACIFIC RUBIALES ENERGY CORP PTT EXPLORATION + PROD FOR SASOL LTD SEADRILL LTD STATOIL ASA TENARIS SA
59,186 12,650 8,100 6,300 84,063 3,059 9,621 30,300 9,550
Financial (25.1%) AMMB HOLDINGS BHD AUST AND NZ BANKING GROUP BANGKOK BANK PCL FOREIGN REG BANGKOK BANK PUBLIC CO LTD BANK MANDIRI PERSERO TBK PT BANK NEGARA INDONESIA PERSER CHEUNG KONG HOLDINGS LTD CHINA CITIC BANK CORP LTD H CHINA MINSHENG BANKING H CHINA OVERSEAS LAND + INVEST DAITO TRUST CONSTRUCT CO LTD GRUPO FINANCIERO BANORTE O HANNOVER RUECKVERSICHERU REG HSBC HOLDINGS PLC HYUNDAI MARINE + FIRE INS CO INSURANCE AUSTRALIA GROUP JARDINE STRATEGIC HLDGS LTD MIZUHO FINANCIAL GROUP INC MUENCHENER RUECKVER AG REG PICC PROPERTY + CASUALTY H POHJOLA BANK PLC A SHS PRUDENTIAL PLC ROYAL BANK OF CANADA SAMPO OYJ A SHS SIAM COMMERCIAL BANK FOREIGN
Fair Value
$
73,600 22,996 17,700 17,800 184,100 294,000 29,000 278,000 230,500 82,000 1,900 43,600 6,863 46,688 9,700 43,500 23,000 238,300 1,420 83,600 26,187 31,300 8,400 12,217 33,200
The accompanying notes are an integral part of these financial statements. -888-
408,850 305,893 239,145 146,207 450,681 130,762 351,508 756,894 196,178 2,986,118 163,663 598,660 120,932 113,759 154,730 112,872 445,244 164,989 266,163 244,388 178,728 280,745 533,521 491,138 301,716 212,023 816,960 431,822 254,629 117,136 389,125 440,527 505,113 392,071 196,986
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Financial (Continued) STANDARD CHARTERED PLC SVENSKA HANDELSBANKEN A SHS SWEDBANK AB A SHARES TOPDANMARK A/S UNITED OVERSEAS BANK LTD UOL GROUP LTD
21,117 10,400 28,850 1,895 29,000 38,900
Health Care (6.9%) ASPEN PHARMACARE HOLDINGS LT BAYER AG REG DAINIPPON SUMITOMO PHARMA CO FRESENIUS SE + CO KGAA LIFE HEALTHCARE GROUP HOLDIN MERCK KGAA MIRACA HOLDINGS INC SONIC HEALTHCARE LTD UCB SA Industrial (12.8%) ABB LTD REG ALFA S.A.B. A ATLAS COPCO AB A SHS BRENNTAG AG CANADIAN NATL RAILWAY CO CANADIAN PACIFIC RAILWAY LTD CIA SANEAMENTO MINAS GERAIS DAELIM INDUSTRIAL CO LTD. DSV A/S EAST JAPAN RAILWAY CO HACI OMER SABANCI HOLDING IMPERIAL HOLDINGS LTD ITOCHU CORP JGC CORP KEPPEL CORP LTD KOC HOLDING AS
Fair Value
$
13,266 4,175 16,100 4,800 46,500 4,210 5,100 14,000 5,400
264,157 395,735 192,330 551,238 186,281 554,145 204,553 193,945 307,722 2,850,106
8,500 141,300 9,123 1,700 4,700 1,800 9,200 1,350 5,200 2,100 24,676 9,582 36,700 8,000 15,000 47,250
174,057 299,539 249,851 222,867 426,342 182,386 196,581 109,707 133,894 135,249 135,476 224,422 384,198 247,091 135,080 245,118
The accompanying notes are an integral part of these financial statements. -889-
540,331 371,246 562,784 406,227 470,315 190,121 10,468,664
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (Continued) MEXICHEM SAB DE CV MITSUBISHI CORP REMGRO LTD SOCIETE BIC SA SUMITOMO CORP UNITED TRACTORS TBK PT
20,800 12,100 21,441 5,331 19,500 93,000
Fair Value
$
115,224 230,017 402,183 634,852 247,576 190,101 5,321,811
Information Technology (6.8%) ASML HOLDING NV LENOVO GROUP LTD SAMSUNG ELECTRONICS CO LTD SAP AG
5,159 396,000 1,080 7,443
326,503 358,151 1,535,811 595,587 2,816,052
Materials (4.5%) ANHUI CONCH CEMENT CO LTD H BASF SE BHP BILLITON PLC DONGYUE GROUP GRUPO MEXICO SAB DE CV SER B INDO TAMBANGRAYA MEGAH TBK P
58,500 5,590 20,757 161,000 51,586 30,000
212,843 524,405 718,792 106,561 185,563 129,339 1,877,503
Telecommunication Services (5.1%) ADVANCED INFO SERVICE FOR RG AXIATA GROUP BERHAD BCE INC MTN GROUP LTD NIPPON TELEGRAPH + TELEPHONE SINGAPORE TELECOM LTD TELENOR ASA TELSTRA CORP LTD
42,400 126,400 4,800 7,538 10,400 76,000 14,300 53,518
289,690 272,393 205,487 157,737 435,734 205,321 288,341 243,053 2,097,756
Utilities (2.4%) CHEUNG KONG INFRASTRUCTURE CIA SANEAMENTO BASICO DE SP OSAKA GAS CO LTD
25,000 13,600 70,000
153,210 577,012 253,693
The accompanying notes are an integral part of these financial statements. -890-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Utilities (Continued) $ Total common stocks (Cost $33,235,574)
983,915 38,438,674
Depository receipts (4.1%) Consumer Discretionary (0.7%) TATA MOTORS LTD SPON ADR Energy (2.4%) GAZPROM NEFT SPONSORED ADR LUKOIL OAO SPON ADR TATNEFT SPONSORED ADR Health Care (0.5%) TEVA PHARMACEUTICAL SP ADR Information Technology (0.5%) TAIWAN SEMICONDUCTOR SP ADR
9,900
284,328
5,600 6,620 10,033
129,808 437,913 437,138 1,004,859
5,500
205,370
11,800
202,488
Total depository receipts (Cost $1,524,105) Preferred Stocks (1.7%) Consumer Staples (1.3%) CIA DE BEBIDAS DAS AME PREF HENKEL AG + CO KGAA VORZUG Financial (0.4%) BANCO BRADESCO SA PREF
1,697,045
3,408 4,900
142,445 401,852
9,300
159,747
Total preferred stocks (Cost $ 665,143)
704,044 $ 40,839,763
Total Investments (Cost $35,424,821)
The accompanying notes are an integral part of these financial statements. -891-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Preferred stocks
Level 1
Level 2
$ 38,438,674 $ 38,438,674 $ 1,697,045 1,697,045 704,044 704,044 $ 40,839,763 $ 40,839,763 $
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $29,742,028 and $20,460,068, respectively, for the year ended December 31, 2012. Change in net unrealized appreciation (depreciation) on investments The change in net unrealized appreciation (depreciation) on investments in the accompanying statement of operations is net of a provision for foreign capital gains taxes of approximately $24,117.
The accompanying notes are an integral part of these financial statements. -892-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 15,898 93,820 27,772 219,470 635,568 87,449 105,541 16,347 9,704 408 3,602,855 73,277 1,637,979 1,289,701 1,491,574 419,016 190,345 11,594 3,880 13,379 1,030 321,929 253,773 1,283,114 1,554,622 753,701 469,319 467,487 29,163 179,896 94,155 47,740 155,572 95,672 777,274 7,675 142,878 13,754,975 1,937,548 3,533,368 5,154,435 4,910,455 1,770,751 1,079,838 902,541 279,199 208,533 96,126 12,732 50,221,078
Redemptions (164,115) (1,782,417) (455,187) (1,212,559) (1,086,322) (811,979) (868,002) (202,869) (106,452) (139,856) (537,651) (303) (238,431) (53,482) (257,960) (10,245) (1,153) (178,909) (131,573) (11,945) (1,382,450) (1,421,623) (4,254,116) (6,161,239) (3,093,008) (1,885,469) (1,653,296) (125,575) (519,614) (331,931) (147,142) (526,951) (602,715) (2,875,463) (177,510) (957,823) (945,069) (840,061) (331,165) (956,239) (1,014,002) (449,982) (325,034) (169,505) (1,240,891) (1,365,196) (320,663) (10,784) $ (42,335,926)
$
Units
$
$
Net change (148,217) (1,688,597) (427,415) (993,089) (450,754) (724,530) (762,461) (186,522) (96,748) (139,448) 3,065,204 72,974 1,399,548 1,236,219 1,233,614 408,771 189,192 11,594 (175,029) (118,194) (10,915) (1,060,521) (1,167,850) (2,971,002) (4,606,617) (2,339,307) (1,416,150) (1,185,809) (96,412) (339,718) (237,776) (99,402) (371,379) (507,043) (2,098,189) (169,835) (814,945) 12,809,906 1,097,487 3,202,203 4,198,196 3,896,453 1,320,769 754,804 733,036 (961,692) (1,156,663) (224,537) 1,948 7,885,152
Purchases 1,538 9,069 2,620 21,409 56,895 8,218 9,999 1,544 908 41 310,925 7,273 160,319 121,615 148,021 45,555 19,659 1,159 365 1,239 97 928,468
Redemptions (15,812) (163,048) (40,505) (110,818) (96,437) (77,369) (76,862) (18,069) (9,757) (13,322) (45,913) (28) (23,332) (4,922) (27,475) (1,035) (106) (15,987) (12,333) (1,111) (754,241)
The accompanying notes are an integral part of these financial statements. -893-
Net change (14,274) (153,979) (37,885) (89,409) (39,542) (69,151) (66,863) (16,525) (8,849) (13,281) 265,012 7,245 136,987 116,693 120,546 44,520 19,553 1,159 (15,622) (11,094) (1,014) 174,227
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Diversified International (Thomas White) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class I (c) Class J (c) Class O (g) Class R1 Class R2 (h) Class R3 (i) Class R4 (j) Class R5 (k) Class R6 (l) Class R7 (m) Class R8 (n) Class S (c) Class T (o) Class U (p)
NAV per Unit, Beginning of Period $ 9.8966 9.8955 9.8945 9.8934 9.8924 9.8913 9.8903 9.8882 9.8871 9.8948 9.8979 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 9.8939 9.8930 9.8918
Net Investment Income (Loss)(a) $ 0.0600 0.1631 0.1835 0.2040 0.2272 0.2423 0.2630 0.3008 0.3207 0.0151 0.1357 0.0942 0.1524 0.1912 0.1638 0.1922 0.2426 0.1643 0.1933 0.0893 0.2253
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0970) 1.4408 1.4448 1.4535 1.3923 1.3307 1.3387 1.1745 1.1366 0.5881 1.6729 1.7517 0.9512 1.3494 0.4009 0.5398 1.0584 1.6767 1.3822 (0.2012) 1.0480
Total from Investment Activities $ (0.0370) 1.6039 1.6283 1.6575 1.6195 1.5730 1.6017 1.4753 1.4573 0.6032 1.8086 1.8459 1.1036 1.5406 0.5647 0.7320 1.3010 1.8410 1.5755 (0.1119) 1.2733
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7065 11.8459 11.1036 11.5406 10.5647 10.7320 11.3010 11.8410 -
Total Return (0.37)% 16.21 % 16.46 % 16.75 % 16.37 % 15.90 % 16.19 % 14.92 % 14.74 % 6.10 % 18.27 % 18.46 % 11.04 % 15.41 % 5.65 % 7.32 % 13.01 % 18.41 % 15.92 % (1.13)% 12.87 %
Net Expenses (0.76)% (1.90)% (2.13)% (2.37)% (2.64)% (2.83)% (3.06)% (3.52)% (3.76)% (0.18)% (1.56)% (1.07)% (1.80)% (2.21)% (1.98)% (2.31)% (2.84)% (1.87)% (2.25)% (1.13)% (2.66)%
Net Investment Income (Loss) 0.61 % 1.52 % 1.71 % 1.90 % 2.12 % 2.27 % 2.46 % 2.83 % 3.02 % 0.15 % 1.26 % 0.86 % 1.44 % 1.78 % 1.59 % 1.85 % 2.28 % 1.50 % 1.81 % 0.91 % 2.14 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through May 24, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through January 31, 2012
(h)
For the period from May 25, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from March 2, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 21, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from June 7, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from January 1, 2012 through May 23, 2012
(p)
For the period from January 1, 2012 through November 27, 2012
The accompanying notes are an integral part of these financial statements. -894-
FMT Equity Income (CHOICE) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$
2,250,220 276,309 3,118 2,529,647
Liabilities Sub-advisor fees Agency fees Total liabilities
1,068 1,065 2,133
Net assets
$
2,527,514
$
Net Assets 2,527,514
Components of net assets
Class R1
Units of Participation 248,286
NAV per Unit $ 10.1799
The accompanying notes are an integral part of these financial statements. -895-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign taxes withheld of $880) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
78,578 293 78,871 22,290 12,822 9,307 5,400 49,819
Net investment income
29,052
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
974,171 783,738
Net realized gain from investments sold
190,433
Change in net unrealized appreciation (depreciation) on investments
22,128
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
212,561 $
The accompanying notes are an integral part of these financial statements. -896-
241,613
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
29,052 190,433 22,128
Change in net unrealized appreciation (depreciation) on investments
241,613
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
2,778,650 2,845,236 (66,586)
Decrease in net assets from participant transactions Total increase in net assets
175,027 2,352,487
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -897-
2,527,514
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (76.2%) Consumer Discretionary (10.1%) MCDONALD S CORP OMNICOM GROUP TARGET CORP
1,035 1,645 1,390
Fair Value
$
91,297 82,184 82,246 255,727
Consumer Staples (10.9%) ARCHER DANIELS MIDLAND CO GENERAL MILLS INC PEPSICO INC PHILIP MORRIS INTERNATIONAL
2,048 1,980 1,325 580
56,095 80,012 90,670 48,511 275,288
Energy (10.3%) CHEVRON CORP ENSCO PLC CL A OCCIDENTAL PETROLEUM CORP
830 1,427 1,109
89,756 84,593 84,961 259,310
Financial (10.7%) BLACKROCK INC METLIFE INC TRAVELERS COS INC/THE
460 2,300 1,385
95,087 75,762 99,471 270,320
Health Care (10.6%) ABBOTT LABORATORIES BAXTER INTERNATIONAL INC PFIZER INC
1,215 1,435 3,680
79,583 95,657 92,294 267,534
Industrial (6.0%) EMERSON ELECTRIC CO UNITED PARCEL SERVICE CL B
1,840 736
97,446 54,265 151,711
Information Technology (9.2%) INTEL CORP MICROSOFT CORP PAYCHEX INC
3,815 3,100 2,300
78,703 82,863 71,622 233,188
The accompanying notes are an integral part of these financial statements. -898-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Telecommunication Services (2.9%) ROGERS COMMUNICATIONS INC B
1,620
Utilities (5.5%) KINDER MORGAN MANAGEMENT LLC SOUTHERN CO/THE
Fair Value
$
1,249 1,035
73,742 94,250 44,308 138,558
Total common stocks (Cost $1,645,302)
1,925,378
Depository receipts (10.7%) Consumer Discretionary (2.6%) PEARSON PLC SPONSORED ADR Consumer Staples (4.3%) UNILEVER PLC SPONSORED ADR Health Care (3.9%) NOVARTIS AG ADR
3,361
65,674
2,785
107,827
1,540
97,482
Total depository receipts (Cost $215,168)
270,983
Limited partnership units (2.1%) NATURAL RESOURCE PARTNERS LP (Cost $74,487)
2,905
53,859 $
Total Investments (Cost $1,934,957)
The accompanying notes are an integral part of these financial statements. -899-
2,250,220
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Limited partnership units
$
$
Level 1
1,925,378 $ 270,983 53,859 2,250,220 $
1,925,378 $ 270,983 53,859 2,250,220 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $836,052 and $974,171, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -900-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class C Class E Class J Class O Class R1 Class U
$
$
Purchases 38,675 5,476 64,264 29,704 64,698 2,518,771 57,062 2,778,650
Redemptions (986,921) (56,646) (324,889) (80,538) (860,267) (36) (535,939) $ (2,845,236)
$
Units
$
$
Net change (948,246) (51,170) (260,625) (50,834) (795,569) 2,518,735 (478,877) (66,586)
Purchases 3,377 450 6,107 2,601 6,037 248,289 4,652 271,513
Redemptions (79,563) (4,475) (30,196) (6,974) (75,005) (3) (42,431) (238,647)
The accompanying notes are an integral part of these financial statements. -901-
Net change (76,186) (4,025) (24,089) (4,373) (68,968) 248,286 (37,779) 32,866
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Equity Income (CHOICE) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class E (d) Class J (b) Class O (d) Class R1 (e) Class U (f)
NAV per Unit, Beginning of Period $ 11.2450 11.4458 9.8818 10.6945 10.4349 10.0000 11.7853
Net Investment Income (Loss)(a) $ 0.1000 0.1344 0.1445 0.2297 0.1180 0.0069 0.1732
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0671 1.0797 0.8334 0.7121 0.9581 0.1730 0.7528
Total from Investment Activities $ 1.1671 1.2141 0.9779 0.9418 1.0761 0.1799 0.9260
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1799 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 13, 2012
Total Return 10.38 10.61 9.90 8.81 10.31 1.80 7.86
% % % % % % %
Net Expenses (1.45)% (1.91)% (2.39)% (3.53)% (1.84)% (0.12)% (2.43)%
Net Investment Income (Loss) 0.85 % 1.12 % 1.39 % 2.06 % 1.08 % 0.07 % 1.41 %
(e) For the period from November 28, 2012 (commencement of this class) through December 31, 2012 (f)
For the period from January 1, 2012 through November 27, 2012
The accompanying notes are an integral part of these financial statements. -902-
FMT Global Infrastructure (Miller/Howard) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at value Cash equivalents Receivables Dividends Dividend tax reclaim Total assets
$ 40,614,275 772,323 71,177 1,242 41,459,017
Liabilities Agency fees Sub-advisor fees Total liabilities
27,734 15,861 43,595 $ 41,415,422
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,286,954 138,370 284,692 531,675 866,242 266,448 153,164 71,319
NAV per Unit $ 13.4753 $ 10.4055 $ 10.2079 $ 10.6746 $ 10.3140 $ 10.5033 $ 10.2425 $ 10.5178
Net Assets $ 17,342,113 1,439,818 2,906,099 5,675,448 8,934,446 2,798,593 1,568,780 750,125 $ 41,415,422
The accompanying notes are an integral part of these financial statements. -903-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $27,243) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
1,397,190 851 1,398,041 406,627 201,502 14,213 5,400 627,742
Net investment income
770,299
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
18,310,958 18,205,534
Net realized gain from investments sold
105,424
Change in net unrealized appreciation (depreciation) on investments
20,306
Net realized and unrealized gain on investments
125,730
Other operating credits (charges)
764
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -904-
896,793
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
770,299 105,424
Change in net unrealized appreciation (depreciation) on investments
20,306 764
Other operating credits (charges)
896,793
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
46,790,649 53,610,503 (6,819,854)
Decrease in net assets from participant transactions Total decrease in net assets
(5,923,061)
Net assets at beginning of year
47,338,483 $ 41,415,422
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -905-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (73.1%) Energy (12.4%) ENSCO PLC CL A EQT CORP SPECTRA ENERGY CORP ULTRA PETROLEUM CORP WILLIAMS COS INC
20,429 22,356 38,621 10,406 41,165
Industrial (8.3%) FLUOR CORP GENERAL ELECTRIC CO Information Technology (4.1%) QUALCOMM INC Telecommunication Services (9.9%) AT+T INC TELEPHONE AND DATA SYSTEMS VERIZON COMMUNICATIONS INC Utilities (38.4%) AMERICAN WATER WORKS CO INC BLACK HILLS CORP ENERGEN CORP ITC HOLDINGS CORP MDU RESOURCES GROUP INC NATIONAL FUEL GAS CO NISOURCE INC NORTHEAST UTILITIES ONEOK INC QUESTAR CORP
Fair Value
$
1,211,031 1,318,557 1,057,443 188,661 1,347,742 5,123,434
31,298 76,241
1,838,444 1,600,299 3,438,743
27,134
1,682,851
50,878 64,214 22,587
1,715,097 1,421,698 977,340 4,114,135
47,718 40,086 15,033 22,819 71,075 32,531 141,842 14,338 23,897 99,675
1,771,769 1,456,725 677,838 1,755,009 1,509,633 1,648,996 3,530,424 560,329 1,021,597 1,969,578 15,901,898
Total common stocks (Cost $25,450,855)
30,261,061
Depository receipts (14.7%) Industrials (2.0%) ABB LTD SPON ADR
44,711
The accompanying notes are an integral part of these financial statements. -906-
929,542
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Depository receipts (Continued) Telecommunication Services (4.1%) TURKCELL ILETISIM HIZMET ADR VODAFONE GROUP PLC SP ADR
40,163 42,090
Utilities (8.3%) ENERSIS S.A. SPONS ADR NATIONAL GRID PLC SP ADR VEOLIA ENVIRONNEMENT ADR
Fair Value
$
55,504 28,908 62,055
648,231 1,060,247 1,708,478 1,011,283 1,660,475 759,553 3,431,311
Total depository receipts (Cost $6,587,046)
6,069,331
Limited partnerships (7.8%) Energy (4.3%) ENTERPRISE PRODUCTS PARTNERS
37,466
1,876,297
Utilities (3.5%) KINDER MORGAN ENERGY PRTNRS
16,959
1,353,159
Total limited partnerships (Cost $1,418,409) Real estate investment trust (2.5%) AMERICAN TOWER CORP (Cost $638,278)
3,229,456 13,646
1,054,427 $ 40,614,275
Total Investments (Cost $34,094,588)
The accompanying notes are an integral part of these financial statements. -907-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Selected Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Limited partnerships Real estate investment trust
Level 1
Level 2
Level 3
$ 30,261,061 $ 30,261,061 $ 6,069,331 6,069,331 3,229,456 3,229,456 1,054,427 1,054,427
- $ -
-
$ 40,614,275
- $
-
$ 40,614,275
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $12,131,648 and $18,310,958, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -908-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 101,748 679,289 374,796 735,677 251,827 259,425 119,290 444 27,445 60,076 2,864 103,023 47,617 91,025 239 14,943,166 1,407,576 4,667,621 6,089,867 10,065,582 3,667,375 1,834,086 652,040 33,753 9,604 565,194 46,790,649
Redemptions (563,392) (10,309,026) (6,647,442) (10,610,350) (3,819,978) (3,937,072) (1,155,291) (8,780) (589,537) (256,381) (613,214) (1,782,221) (599,127) (1,455,361) (900) (1,050,288) (278,461) (1,869,605) (890,520) (2,007,472) (948,579) (443,742) (103,150) (357,507) (1,609,863) (1,703,244) $ (53,610,503)
$
Units
$
$
Net change (461,644) (9,629,737) (6,272,646) (9,874,673) (3,568,151) (3,677,647) (1,036,001) (8,336) (562,092) (196,305) (610,350) (1,679,198) (551,510) (1,364,336) (661) 13,892,878 1,129,115 2,798,016 5,199,347 8,058,110 2,718,796 1,390,344 548,890 (323,754) (1,600,259) (1,138,050) (6,819,854)
Purchases 4,084 27,068 14,905 31,254 10,799 11,337 5,428 36 1,542 4,767 252 6,936 4,599 6,880 21 1,134,801 134,739 468,944 594,347 994,130 356,332 184,465 63,899 2,677 729 44,816 4,109,787
Redemptions (22,545) (423,486) (270,179) (457,037) (164,811) (173,592) (53,757) (710) (33,395) (20,615) (52,348) (119,940) (57,857) (111,845) (77) (78,664) (27,162) (184,252) (83,728) (198,251) (89,988) (43,805) (9,800) (28,404) (122,186) (136,309) (2,964,743)
The accompanying notes are an integral part of these financial statements. -909-
Net change (18,461) (396,418) (255,274) (425,783) (154,012) (162,255) (48,329) (674) (31,853) (15,848) (52,096) (113,004) (53,258) (104,965) (56) 1,056,137 107,577 284,692 510,619 795,879 266,344 140,660 54,099 (25,727) (121,457) (91,493) 1,145,044
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Infrastructure (Miller/Howard) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 24.6461 24.7112 24.7664 23.3303 23.1280 22.7122 21.6548 12.4383 17.5175 12.3121 11.3111 14.5416 10.2761 12.9899 11.4529 13.1278 10.1594 10.0000 10.4576 10.1215 10.3246 10.0855 10.3742 12.4820 13.0322 12.5404
Net Investment Income (Loss)(a) $ 0.3047 0.3575 0.4087 0.4364 0.4812 0.5160 0.5366 0.3191 0.5048 0.3773 0.1110 0.1877 0.1629 0.1462 0.1829 0.1358 0.1329 0.1504 0.1833 0.1987 0.2248 0.2412 0.2712 0.2191 0.2607 0.2618
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.2273 0.1454 0.1294 0.0022 (0.1876) (0.1339) (0.2359) (0.3918) (0.3543) (0.2913) (0.0376) (0.1267) 0.0071 (0.0740) 0.0699 0.2117 0.1132 0.0575 0.0337 (0.0062) (0.0461) (0.0842) (0.1276) (0.0011) (0.0249) (0.2887)
Total from Investment Activities $ 0.5320 0.5029 0.5381 0.4386 0.2936 0.3821 0.3007 (0.0727) 0.1505 0.0860 0.0734 0.0610 0.1700 0.0722 0.2528 0.3475 0.2461 0.2079 0.2170 0.1925 0.1787 0.1570 0.1436 0.2180 0.2358 (0.0269)
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.4753 10.4055 10.2079 10.6746 10.3140 10.5033 10.2425 10.5178 -
Total Return 2.16 % 2.04 % 2.17 % 1.88 % 1.27 % 1.68 % 1.39 % (0.58)% 0.86 % 0.70 % 0.65 % 0.42 % 1.65 % 0.56 % 2.21 % 2.65 % 2.42 % 2.08 % 2.08 % 1.90 % 1.73 % 1.56 % 1.38 % 1.75 % 1.81 % (0.21)%
Net Expenses (1.00)% (1.17)% (1.33)% (1.51)% (1.68)% (1.83)% (2.00)% (2.09)% (2.33)% (2.48)% (0.80)% (1.05)% (1.28)% (0.91)% (1.28)% (0.83)% (1.05)% (1.21)% (1.41)% (1.58)% (1.76)% (1.93)% (2.11)% (1.42)% (1.61)% (1.70)%
Net Investment Income (Loss) 1.22 % 1.43 % 1.63 % 1.85 % 2.07 % 2.25 % 2.46 % 2.57 % 2.87 % 3.05 % 0.98 % 1.29 % 1.57 % 1.12 % 1.58 % 1.02 % 1.29 % 1.49 % 1.74 % 1.95 % 2.16 % 2.37 % 2.60 % 1.74 % 1.98 % 2.09 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -910-
FMT High Yield Bond (Federated) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$ 32,420,670 1,430,526 573,925 34,425,121
Liabilities Payables Investments purchased Agency fees Sub-advisor fees Cash overdraft Total liabilities
173,619 21,963 10,597 9,625 215,804 $ 34,209,317
Net assets Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 31,613 57,922 23,123 56,512 5,761 5,265
NAV per Unit $ 10.1086 $ 10.0220 $ 10.0210 $ 10.0200 $ 10.0191 $ 9.9840
Net Assets $ 319,560 580,495 231,719 566,257 57,724 52,569 13,058,254 2,705,322 3,855,343 5,521,701 3,832,799 1,401,299 939,286 671,793 415,196 $ 34,209,317
The accompanying notes are an integral part of these financial statements. -911-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
310,906
69,762 29,051 2,740 900 102,453
Net investment income
208,453
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
133,480 135,031
Net realized loss from investments sold
(1,551)
Change in net unrealized appreciation (depreciation) on investments
190,439
Net realized and unrealized gain on investments
188,888
Other operating credits (charges)
6,252
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -912-
403,593
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized loss from investments sold
208,453 (1,551)
Change in net unrealized appreciation (depreciation) on investments
190,439 6,252
Other operating credits (charges)
403,593
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
48,928,898 15,123,174 33,805,724
Increase in net assets from participant transactions Total increase in net assets
34,209,317 -
Net assets at beginning of year
$ 34,209,317
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -913-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Corporate bonds (94.8%) Consumer Discretionary (2.9%) AMC NETWORKS INC, 4.75%, 12/15/2022 HERTZ CORP, 6.75%, 04/15/2019 LIBBEY GLASS INC, 6.875%, 05/15/2020 PVH CORP, 4.50%, 12/15/2022 ROYAL CARIBBEAN CRUISES, 5.25%, 11/15/2022
75,000 225,000 200,000 225,000 225,000
Fair Value
$
75,375 245,531 215,000 227,250 237,938 1,001,094
Energy (8.4%) ACCESS MIDSTREAM PARTNER, 4.875%, 05/15/2023 ACCESS MIDSTREAM PARTNER, 6.125%, 07/15/2022 BERRY PETROLEUM CO, 6.375%, 09/15/2022 CARRIZO OIL + GAS INC, 7.50%, 09/15/2020 CGG VERITAS, 6.50%, 06/01/2021 CHAPARRAL ENERGY INC, 9.875%, 10/01/2020 CHESAPEAKE ENERGY CORP, 6.775%, 03/15/2019 ENERGY FUTURE/EFIH FINAN, 10.00%, 12/01/2020 LINN ENERGY LLC/FIN CORP, 8.625%, 04/15/2020 NEWFIELD EXPLORATION CO, 5.625%, 07/01/2024 OASIS PETROLEUM INC, 6.50%, 11/01/2021 REGENCY ENERGY PARTNERS, 6.50%, 07/15/2021 TARGA RESOURCES PARTNERS, 6.875%, 02/01/2021 W + T OFFSHORE INC, 8.50%, 06/15/2019
175,000 150,000 175,000 200,000 225,000 150,000 325,000 125,000 225,000 300,000 150,000 200,000 150,000 150,000
177,625 161,625 182,000 205,500 240,750 170,625 325,406 140,937 245,250 324,000 159,375 219,000 164,250 161,250 2,877,593
Financial (12.0%) ALLY FINANCIAL INC, 6.25%, 12/01/2017 AMER CASINO + ENTERTAIN, 11.00%, 06/15/2014 ARAMARK CORP, 8.50%, 02/01/2015 CCO HLDGS LLC/CAP CORP, 5.125%, 02/15/2023 CCO HLDGS LLC/CAP CORP, 7.875%, 04/30/2018 CDW LLC/CDW FINANCE, 8.50%, 04/01/2019 CIT GROUP INC, 5.375%, 05/15/2020 CORELOGIC INC, 7.25%, 06/01/2021 CROWN AMER/CAP CORP III, 6.25%, 02/01/2021 EP ENERGY/EP FINANCE INC, 9.375%, 05/01/2020 NORCRAFT COS/FINANCE, 10.50%, 12/15/2015 PHI INC, 8.625%, 10/15/2018
675,000 125,000 400,000 100,000 300,000 225,000 475,000 225,000 175,000 225,000 150,000 175,000
747,371 128,437 402,004 99,750 322,875 243,562 518,937 244,687 191,844 253,687 151,125 187,250
The accompanying notes are an integral part of these financial statements. -914-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (continued) Financial (Continued) TRANSUNION HOLDING CO, 9.625%, 06/15/2018 UCI INTERNATIONAL INC, 8.625%, 02/15/2019 Industrial (65.9%) ADVANCED MICRO DEVICES, 7.75%, 08/01/2020 AFFINIA GROUP INC, 9.00%, 11/30/2014 AMC NETWORKS INC, 7.75%, 07/15/2021 AMERICAN AXLE + MFG INC, 6.625%, 10/15/2022 AMERISTAR CASINOS INC, 7.50%, 04/15/2021 ANIXTER INC, 5.625%, 05/01/2019 AUTONATION INC, 6.75%, 04/15/2018 B/E AEROSPACE INC, 5.25%, 04/01/2022 BALL CORP, 5.00%, 03/15/2022 BASIC ENERGY SERVICES, 7.75%, 02/15/2019 BERRY PLASTICS CORP, 9.50%, 05/15/2018 CAESARS ENTERTAINMENT OP, 11.25%, 06/01/2017 CELANESE US HOLDINGS LLC, 4.625%, 11/15/2022 CHESAPEAKE ENERGY CORP, 6.625%, 08/15/2020 CHOICE HOTELS INTL INC, 5.75%, 07/01/2022 CLEAR CHANNEL COMMUNICAT, 9.00%, 03/01/2021 CLEAR CHANNEL WORLDWIDE, 7.625%, 03/15/2020 CONCHO RESOURCES INC, 7.00%, 01/15/2021 CONSTELLATION BRANDS INC, 4.625%, 03/01/2023 COPANO ENERGY LLC/FIN CO, 7.125%, 04/01/2021 CROWN MEDIA HOLDINGS INC, 10.50%, 07/15/2019 CUMULUS MEDIA HOLDINGS, 7.75%, 05/01/2019 DAVITA HEALTHCARE PARTNE, 5.75%, 08/15/2022 DEAN FOODS CO, 7.00%, 06/01/2016 DEL MONTE CORP, 7.625%, 02/15/2019 DINEEQUITY INC, 9.50%, 10/30/2018 DISH DBS CORP, 5.875%, 07/15/2022 DJO FIN LLC/DJO FIN CORP, 7.75%, 04/15/2018 EL PASO LLC, 6.50%, 09/15/2020 EMDEON INC, 11.00%, 12/31/2019 EMERGENCY MEDICAL SERVIC, 8.125%, 06/01/2019 ENERGY TRANSFER EQUITY, 7.50%, 10/15/2020
275,000 325,000
Fair Value
$
175,000 200,000 150,000 300,000 150,000 275,000 225,000 275,000 150,000 100,000 100,000 150,000 325,000 150,000 150,000 225,000 225,000 175,000 325,000 225,000 225,000 175,000 350,000 175,000 250,000 225,000 250,000 325,000 250,000 175,000 300,000 350,000
The accompanying notes are an integral part of these financial statements. -915-
290,812 322,156 4,104,497 146,562 200,000 171,750 304,500 162,562 289,437 254,250 291,500 160,500 99,500 110,000 160,687 340,437 160,875 166,125 200,812 226,687 195,125 339,625 241,594 253,406 171,937 368,812 192,063 260,625 255,656 268,750 312,813 282,283 202,125 329,438 404,250
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (continued) Industrial (Continued) ENERGY XXI GULF COAST IN, 7.75%, 06/15/2019 ENTRAVISION COMMUNICATIO, 8.75%, 08/01/2017 EPICOR SOFTWARE CORP, 8.625%, 05/01/2019 EXIDE TECHNOLOGIES, 8.625%, 02/01/2018 FOREST OIL CORPORATION, 7.25%, 06/15/2019 GREIF INC, 7.75%, 08/01/2019 GYMBOREE CORP, 9.125%, 12/01/2018 HCA INC, 5.875%, 05/01/2023 HCA INC, 6.50%, 02/15/2020 HEXION US FIN/NOVA SCOTI, 8.875%, 02/01/2018 HILLMAN GROUP INC, 10.875%, 06/01/2018 HUNTSMAN INTL LLC, 5.50%, 06/30/2016 IASIS HEALTHCARE/CAP CRP, 8.375%, 05/15/2019 IGATE CORP, 9.00%, 05/01/2016 INFOR US INC, 9.375%, 04/01/2019 INTERACTIVE DATA CORP, 10.25%, 08/01/2018 INTERLINE BRANDS INC/NJ, 7.50%, 11/15/2018 INTL LEASE FINANCE CORP, 6.25%, 05/15/2019 IRON MOUNTAIN INC, 5.75%, 08/15/2024 JARDEN CORP, 7.50%, 05/01/2017 KEMET CORP, 10.50%, 05/01/2018 LAMAR MEDIA CORP, 5.875%, 02/01/2022 LENDER PROCESS SERVICES, 5.75%, 04/15/2023 LIMITED BRANDS INC, 5.625%, 02/15/2022 MAGNACHIP SEMICONDUCTOR, 10.50%, 04/15/2018 MARKWEST ENERGY PART/FIN, 6.75%, 11/01/2020 MGM RESORTS INTL, 7.75%, 03/15/2022 MICHAEL FOODS GROUP INC, 9.75%, 07/15/2018 MICHAELS STORES INC, 7.75%, 11/01/2018 MONITRONICS INTERNATIONA, 9.125%, 04/01/2020 MUELLER WATER PRODUCTS, 7.375%, 06/01/2017 NORTEK INC, 8.50%, 04/15/2021 NRG ENERGY INC, 7.625%, 01/15/2018 OMNICARE INC, 7.75%, 06/01/2020 OMNOVA SOLUTIONS INC, 7.875%, 11/01/2018 PINNACLE FOODS FINANCE L, 8.25%, 09/01/2017
150,000 134,000 225,000 150,000 200,000 175,000 100,000 625,000 300,000 175,000 175,000 58,000 175,000 150,000 375,000 250,000 325,000 450,000 175,000 150,000 175,000 175,000 300,000 225,000 150,000 250,000 225,000 300,000 225,000 100,000 225,000 300,000 300,000 325,000 125,000 175,000
Fair Value
$
The accompanying notes are an integral part of these financial statements. -916-
163,875 145,390 236,250 127,125 201,000 202,125 89,000 646,875 337,500 179,813 188,125 58,073 165,375 162,563 420,938 281,250 351,000 479,250 177,188 168,938 172,594 189,875 311,250 244,688 168,000 272,500 240,750 331,500 246,938 103,000 232,313 333,000 333,000 360,750 128,906 186,375
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (continued) Industrial (Continued) PLY GEM INDUSTRIES, 8.25%, 02/15/2018 PRESTIGE BRANDS INC, 8.125%, 02/01/2020 PSS WORLD MEDICAL INC, 6.375%, 03/01/2022 RBS GLOBAL + REXNORD COR, 8.50%, 05/01/2018 REGAL CINEMAS CORP, 8.625%, 07/15/2019 REYNOLDS GRP ISS/REYNOLD, 8.25%, 02/15/2021 ROCKWOOD SPECIALTIES GRO, 4.625%, 10/15/2020 SALLY HOLDINGS/SALLY CAP, 5.75%, 06/01/2022 SANDRIDGE ENERGY INC, 7.50%, 03/15/2021 SCOTTS MIRACLE GRO CO/TH, 6.625%, 12/15/2020 SEAGATE HDD CAYMAN, 7.00%, 11/01/2021 SERVICEMASTER COMPANY, 8.00%, 02/15/2020 SMITHFIELD FOODS INC, 6.625%, 08/15/2022 SPRINT CAPITAL CORP, 6.875%, 11/15/2028 SPRINT CAPITAL CORP, 6.90%, 05/01/2019 SPRINT NEXTEL CORP, 6.00%, 11/15/2022 SSI INVST II/CO ISSR LLC, 11.125%, 06/01/2018 SUNGARD DATA SYSTEMS INC, 7.625%, 11/15/2020 TRANSDIGM INC, 7.75%, 12/15/2018 UNITED RENTALS NORTH AM, 6.125%, 06/15/2023 UNITED SURGICAL PARTNERS, 9.00%, 04/01/2020 UNIVERSAL HOSPITAL SERVI, 3.90%, 06/01/2015 VANGUARD HLT HDG LLC/INC, 8.00%, 02/01/2018 VISANT CORP, 10.00%, 10/01/2017 WINDSTREAM CORP, 8.125%, 09/01/2018 YANKEE CANDLE CO, 9.75%, 02/15/2017 Information Technology (0.4%) SPANSION LLC, 7.875%, 11/15/2017 Private Placement (0.5%) CINEMARK USA INC, 7.375%, 06/15/2021 Telecommunication Services (4.7%) INTELSAT JACKSON HLDG, 7.50%, 04/01/2021 LEVEL 3 FINANCING INC, 8.625%, 07/15/2020 METROPCS WIRELESS INC, 6.625%, 11/15/2020
150,000 150,000 225,000 150,000 150,000 750,000 225,000 250,000 250,000 200,000 200,000 300,000 325,000 400,000 250,000 125,000 250,000 225,000 225,000 250,000 150,000 175,000 225,000 125,000 125,000 150,000
Fair Value
$
100,000
102,000
150,000
165,750
375,000 300,000 125,000
413,438 333,000 132,813
The accompanying notes are an integral part of these financial statements. -917-
162,000 166,875 265,500 162,563 165,750 761,250 232,875 271,250 267,500 219,500 214,500 312,750 359,125 416,000 272,500 128,438 276,563 245,813 248,906 263,750 166,500 174,234 232,875 112,188 136,563 156,189 22,553,735
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (continued) Telecommunication Services (Continued) SYNIVERSE HOLDINGS INC, 9.125%, 01/15/2019 VIRGIN MEDIA FINANCE PLC, 4.875%, 02/15/2022 VIRGIN MEDIA FINANCE PLC, 5.25%, 02/15/2022
300,000 200,000 200,000
Fair Value
$
320,250 204,500 212,000 1,616,001
$ 32,420,670
Total corporate bonds (Cost $32,230,230)
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Corporate bonds
Level 1
$ 32,420,670
$
Level 2 - $ 32,420,670
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $32,365,261 and $133,480, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -918-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
Purchases 316,600 629,855 231,256 565,648 57,615 52,653 418,022 600,728 1,132,936 2,417,169 1,127,296 627,383 617,618 33,044 324,997 245,390 83,039 438,564 179,441 2,511,609 282 611,325 13,563,105 3,217,211 3,958,479 5,835,178 4,135,379 1,685,124 1,093,671 703,179 594,978 362,610 133,587 423,927 $ 48,928,898
$
Redemptions (473) (50,463) (20) (422,356) (602,300) (1,144,180) (2,438,883) (1,148,860) (631,438) (622,228) (32,942) (327,640) (247,316) (82,523) (436,583) (179,075) (2,511,715) (192) (611,548) (599,753) (545,267) (148,091) (378,078) (347,603) (298,832) (163,547) (38,073) (601,966) (364,578) (132,928) (13,723) $ (15,123,174)
$
Units
$
$
Net change 316,127 579,392 231,236 565,648 57,615 52,653 (4,334) (1,572) (11,244) (21,714) (21,564) (4,055) (4,610) 102 (2,643) (1,926) 516 1,981 366 (106) 90 (223) 12,963,352 2,671,944 3,810,388 5,457,100 3,787,776 1,386,292 930,124 665,106 (6,988) (1,968) 659 410,204 33,805,724
Purchases 31,660 62,958 23,125 56,512 5,761 5,265 185,281
Redemptions (47) (5,036) (2) (5,085)
The accompanying notes are an integral part of these financial statements. -919-
Net change 31,613 57,922 23,123 56,512 5,761 5,265 180,196
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT High Yield Bond (Federated) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class R1 (b) Class R3 (c) Class R4 (c) Class R5 (c) Class R6 (c) Class R7 (d)
NAV per Unit, Beginning of Period $ 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.0453 0.0522 0.0600 0.0691 0.0759 0.0716
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0633 (0.0302) (0.0390) (0.0491) (0.0568) (0.0876)
Total from Investment Activities $ 0.1086 0.0220 0.0210 0.0200 0.0191 (0.0160)
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.1086 10.0220 10.0210 10.0200 10.0191 9.9840
Total Return 1.09 % 0.22 % 0.21 % 0.20 % 0.19 % (0.16)%
Net Expenses (0.22)% (0.26)% (0.29)% (0.34)% (0.37)% (0.35)%
Net Investment Income (Loss) 0.45 % 0.52 % 0.60 % 0.69 % 0.76 % 0.72 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from December 4, 2012 (commencement of this class) through December 31, 2012
(c) For the period from December 11, 2012 (commencement of this class) through December 31, 2012 (d) For the period from December 14, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -920-
FMT International Value Opportunities (Tradewinds) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents, including foreign currencies of $233 Receivables Investments sold Dividends Dividend tax reclaim Total assets
$ 88,560,730 1,892,929 591,931 200,650 95,875 91,342,115
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
240,540 57,932 49,776 348,248 $ 90,993,867
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 4,003,535 247,451 622,307 843,403 898,758 506,660 212,443 82,383
$ $ $ $ $ $ $ $
NAV per Unit 9.3732 9.8522 9.7778 9.7601 10.2292 9.7922 9.9730 9.8775
$
$
The accompanying notes are an integral part of these financial statements. -921-
Net Assets 37,526,115 2,437,931 6,084,784 8,231,718 9,193,544 4,961,327 2,118,689 813,742 8,156,823 1,400,810 2,137,475 3,111,899 2,764,256 920,384 606,880 482,701 44,789 90,993,867
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $262,976) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
3,599,046 3,251 3,602,297 1,064,497 718,131 81,271 5,400 1,869,299
Net investment income
1,732,998
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
61,417,172 65,316,637
Net realized loss from investments sold
(3,899,465)
Change in net unrealized appreciation (depreciation) on investments
3,465,798
Net realized and unrealized loss on investments
(433,667)
Other operating credits (charges)
5,796
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -922-
1,305,127
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,732,998
Net realized loss from investments sold
(3,899,465)
Change in net unrealized appreciation (depreciation) on investments
3,465,798 5,796
Other operating credits (charges)
1,305,127
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
124,074,201 160,969,367
Decrease in net assets from participant transactions
(36,895,166)
Total decrease in net assets
(35,590,039)
Net assets at beginning of year
126,583,906 $ 90,993,867
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -923-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (79.6%) Consumer Discretionary (9.1%) HOME RETAIL GROUP PANASONIC CORP SANKYO CO LTD SEKISUI HOUSE LTD VIVENDI WACOAL HOLDINGS CORP WOLTERS KLUWER
433,736 123,000 32,200 144,000 47,139 119,000 74,597
Consumer Staples (9.2%) CARREFOUR SA COCA COLA WEST CO LTD MARINE HARVEST SEVEN + I HOLDINGS CO LTD SHISEIDO CO LTD
Fair Value
$
893,641 741,066 1,272,911 1,565,651 1,053,489 1,230,656 1,522,061 8,279,475
91,136 115,000 1,145,525 49,200 128,700
2,324,549 1,769,333 1,054,028 1,383,892 1,807,801 8,339,603
Energy (4.2%) ERG SPA TALISMAN ENERGY INC WEATHERFORD INTL LTD
91,087 144,547 115,688
915,748 1,637,718 1,294,549 3,848,015
Financial (11.8%) AGEAS ALLIANZ SE REG AXIS CAPITAL HOLDINGS LTD MS+AD INSURANCE GROUP HOLDIN SUMITOMO MITSUI TRUST HOLDIN UBS AG REG
38,094 10,383 40,314 135,700 570,000 134,934
1,115,791 1,434,710 1,396,477 2,670,458 1,980,263 2,123,861 10,721,560
Health Care (6.1%) DAIICHI SANKYO CO LTD GLAXOSMITHKLINE PLC SANOFI
58,100 102,594 25,486
886,521 2,227,225 2,398,938 5,512,684
31,763
1,262,039
Industrial (11.9%) ALSTOM
The accompanying notes are an integral part of these financial statements. -924-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) AREVA DAI NIPPON PRINTING CO LTD JAPAN STEEL WORKS LTD MABUCHI MOTOR CO LTD MANPOWER INC ORKLA ASA SIEMENS AG REG THALES SA
51,241 176,000 152,000 40,600 25,751 76,023 13,937 40,652
Information Technology (4.8%) FUJIFILM HOLDINGS CORP NINTENDO CO LTD ROHM CO LTD Materials (15.2%) ALUMINA LTD BARRICK GOLD CORP CAMECO CORP GOLD FIELDS LTD IMPALA PLATINUM HOLDINGS LTD KINROSS GOLD CORP MOSAIC CO/THE NEWCREST MINING LTD POLYUS GOLD INTERNATIONAL LT Telecommunication Services (6.0%) BELGACOM SA TELECOM ITALIA RSP VODAFONE GROUP PLC Utilities (1.3%) EDF
Fair Value
$
866,135 1,367,128 978,947 1,712,754 1,092,872 662,620 1,510,502 1,406,722 10,859,719
72,900 13,400 46,000
1,449,754 1,418,260 1,486,080 4,354,094
913,677 88,407 119,813 144,880 30,934 242,325 8,732 78,421 132,235
854,586 3,093,380 2,362,712 1,771,055 611,230 2,355,399 494,493 1,807,649 440,282 13,790,786
53,547 2,681,357 725,559
1,567,710 2,112,382 1,822,307 5,502,399
66,434
Total common stocks (Cost $81,054,812)
1,224,553 72,432,888
The accompanying notes are an integral part of these financial statements. -925-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Depository receipts (17.7%) Consumer Discretionary (1.6%) TOYOTA MOTOR CORP SPON ADR Energy (1.7%) GAZPROM OAO SPON ADR Financial (2.6%) BANCO SANTANDER BRASIL ADS KB FINANCIAL GROUP INC ADR ING GROEP NV CVA
15,272
Fair Value
$
1,424,114
160,897
1,522,086
130,618 12,991 98,587
949,593 466,377 917,837 2,333,807
51,296
1,915,393
66,343
2,081,180
Telecommunication Services (7.0%) ERICSSON (LM) TEL SP ADR NIPPON TELEGRAPH + TELE ADR SK TELECOM CO LTD ADR
185,292 107,495 142,413
1,871,449 2,260,620 2,254,397 6,386,466
Utilities (0.5%) CENTRAIS ELEC BRAS ADR PREF CENTRAIS ELETRICAS BR SP ADR
74,950 28,621
375,499 89,297 464,796
Health Care (2.1%) TEVA PHARMACEUTICAL SP ADR Materials (2.3%) ANGLOGOLD ASHANTI SPON ADR
Total depository receipts (Cost $17,114,931)
16,127,842 $ 88,560,730
Total Investments (Cost $98,169,743)
The accompanying notes are an integral part of these financial statements. -926-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
Level 2
Level 3
$ 72,432,888 16,127,842
$ 72,432,888 $ 16,127,842
- $ -
-
$ 88,560,730
$ 88,560,730
- $
-
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $27,952,996 and $61,417,172, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -927-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 183,381 1,196,624 936,649 1,087,790 744,552 434,189 291,105 12,610 174,226 81,253 47,003 4,681 125,905 2,309,126 4,748 16,950 36,614,853 5,881,435 6,746,739 10,983,534 10,468,471 5,952,241 2,603,711 1,137,539 444,812 92,643 54,533 175,106 176,983 1,413,891 1,299,200 584,168 385,199 349,227 25,543 134,528 51,181 20,368 46,031 73,505 521,422 10,829 66,403 8,866,113 1,871,311 3,759,372 5,706,376 5,381,180 1,957,221 1,160,335 1,024,731 161,696 139,473 73,192 8,314 124,074,201
Redemptions (5,177,027) (13,672,001) (17,631,292) (18,183,630) (10,791,939) (6,363,739) (4,564,706) (188,626) (1,522,713) (572,264) (1,451,473) (64,275) (1,612,528) (7,374,233) (63,378) (428,451) (1,801,270) (3,436,521) (1,357,826) (4,318,877) (2,240,848) (1,220,225) (819,386) (327,633) (3,586,486) (1,552,010) (1,995,265) (1,522,002) (1,675,263) (5,228,715) (7,147,527) (3,563,340) (2,190,253) (1,854,582) (153,430) (560,063) (349,218) (143,707) (501,721) (724,992) (3,159,036) (248,254) (1,111,371) (1,427,379) (2,017,838) (1,982,845) (3,633,338) (3,300,753) (1,244,646) (848,051) (579,850) (1,380,357) (1,679,471) (367,339) (55,404) $ (160,969,367)
$
Units
$
$
Net change (4,993,646) (12,475,377) (16,694,643) (17,095,840) (10,047,387) (5,929,550) (4,273,601) (176,016) (1,348,487) (491,011) (1,404,470) (59,594) (1,486,623) (5,065,107) (58,630) (411,501) 34,813,583 2,444,914 5,388,913 6,664,657 8,227,623 4,732,016 1,784,325 809,906 (3,141,674) (1,459,367) (1,940,732) (1,346,896) (1,498,280) (3,814,824) (5,848,327) (2,979,172) (1,805,054) (1,505,355) (127,887) (425,535) (298,037) (123,339) (455,690) (651,487) (2,637,614) (237,425) (1,044,968) 7,438,734 (146,527) 1,776,527 2,073,038 2,080,427 712,575 312,284 444,881 (1,218,661) (1,539,998) (294,147) (47,090) (36,895,166)
Purchases 14,648 102,847 77,278 88,854 62,844 37,374 25,174 1,389 16,023 8,115 5,281 547 11,740 294,148 483 1,781 4,068,611 600,592 715,643 1,196,492 1,050,517 617,824 269,505 116,896 47,347 10,020 5,873 9,447,846
Redemptions (411,537) (1,241,924) (1,476,485) (1,510,799) (912,178) (557,610) (396,218) (20,668) (136,010) (57,410) (156,486) (8,101) (159,122) (945,726) (6,555) (44,319) (197,499) (376,755) (147,586) (461,590) (229,826) (130,989) (85,626) (34,513) (396,405) (166,908) (210,465) (10,479,310)
The accompanying notes are an integral part of these financial statements. -928-
Net change (396,889) (1,139,077) (1,399,207) (1,421,945) (849,334) (520,236) (371,044) (19,279) (119,987) (49,295) (151,205) (7,554) (147,382) (651,578) (6,072) (42,538) 3,871,112 223,837 568,057 734,902 820,691 486,835 183,879 82,383 (349,058) (156,888) (204,592) (1,031,464)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT International Value Opportunities (Tradewinds) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (h) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.3998 11.5430 12.1532 12.0714 11.8747 11.5730 11.5766 9.1671 11.3272 10.1123 9.1727 8.2345 10.5312 7.8754 9.8507 9.2191 9.1550 9.6435 9.5873 9.5861 10.0638 9.6504 9.8451 10.0000 9.2653 9.2748 9.4089
Net Investment Income (Loss)(a) $ 0.1442 0.1514 0.1779 0.1976 0.2135 0.2244 0.2431 0.1967 0.2708 0.2558 0.0859 0.0822 0.1249 0.1111 0.1010 0.0978 0.0907 0.1146 0.1298 0.1454 0.1693 0.1780 0.1975 0.2088 0.1428 0.1580 0.1704
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.1435) (0.1689) (0.1919) (0.1710) (0.2268) (0.2932) (0.2735) (0.4618) (0.4142) (0.3998) (0.2410) (0.2252) (0.3257) (0.0894) (0.2763) 0.2288 0.1275 0.0941 0.0607 0.0286 (0.0039) (0.0362) (0.0696) (0.3313) (0.1797) (0.1439) (0.4082)
Total from Investment Activities $ 0.0007 (0.0175) (0.0140) 0.0266 (0.0133) (0.0688) (0.0304) (0.2651) (0.1434) (0.1440) (0.1551) (0.1430) (0.2008) 0.0217 (0.1753) 0.3266 0.2182 0.2087 0.1905 0.1740 0.1654 0.1418 0.1279 (0.1225) (0.0369) 0.0141 (0.2378)
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.3732 9.8522 9.7778 9.7601 10.2292 9.7922 9.9730 9.8775 -
Total Return 0.01 % (0.15)% (0.12)% 0.22 % (0.11)% (0.59)% (0.26)% (2.89)% (1.27)% (1.42)% (1.69)% (1.74)% (1.91)% 0.28 % (1.78)% 3.54 % 2.38 % 2.16 % 1.99 % 1.82 % 1.64 % 1.47 % 1.30 % (1.23)% (0.40)% 0.15 % (2.53)%
Net Expenses (1.25)% (1.41)% (1.58)% (1.76)% (1.94)% (2.09)% (2.26)% (2.34)% (2.59)% (2.74)% (1.02)% (1.08)% (1.29)% (1.52)% (1.11)% (1.12)% (1.05)% (1.27)% (1.44)% (1.62)% (1.80)% (1.97)% (2.14)% (2.26)% (1.66)% (1.83)% (1.97)%
Net Investment Income (Loss) 1.16 % 1.31 % 1.46 % 1.64 % 1.80 % 1.94 % 2.10 % 2.18 % 2.41 % 2.55 % 0.94 % 1.01 % 1.20 % 1.41 % 1.03 % 1.04 % 0.98 % 1.18 % 1.34 % 1.50 % 1.67 % 1.83 % 1.99 % 2.10 % 1.54 % 1.70 % 1.83 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 21, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -929-
FMT Large Cap Classic Value (C.S. McKee) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Investments sold Dividends and interest Total assets
$ 19,041,855 402,976 21,905 19,466,736
Liabilities Cash overdraft Agency fees Sub-advisor fees Total liabilities
34,569 12,992 8,333 55,894 $ 19,410,842
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 797,789 26,266 159,718 88,651 199,030 103,626 35,751 51,670
NAV per Unit $ 14.7901 $ 11.1824 $ 11.1157 $ 11.5311 $ 11.7950 $ 11.3285 $ 11.3818 $ 11.4526
Net Assets $ 11,799,362 293,719 1,775,376 1,022,244 2,347,551 1,173,924 406,909 591,757 $ 19,410,842
The accompanying notes are an integral part of these financial statements. -930-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
379,363 903 380,266 213,463 82,177 10,419 5,400 311,459
Net investment income
68,807
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
21,388,606 15,953,826
Net realized gain from investments sold
5,434,780
Change in net unrealized appreciation (depreciation) on investments
(2,957,676)
Net realized and unrealized gain on investments
2,477,104
Other operating credits (charges)
194
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -931-
2,546,105
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
68,807 5,434,780
Change in net unrealized appreciation (depreciation) on investments
(2,957,676) 194
Other operating credits (charges)
2,546,105
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
22,969,206 25,700,191 (2,730,985)
Decrease in net assets from participant transactions Total decrease in net assets
(184,880) 19,595,722
Net assets at beginning of year
$ 19,410,842
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -932-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (98.1%) Consumer Discretionary (6.7%) BORGWARNER INC CBS CORP CLASS B NON VOTING KOHLS CORP TIME WARNER CABLE
4,459 8,367 5,285 4,489
Consumer Staples (8.4%) BEAM INC PHILIP MORRIS INTERNATIONAL PROCTER + GAMBLE CO/THE WAL MART STORES INC
5,101 4,184 5,377 8,979
311,620 349,950 365,045 612,637 1,639,252
Energy (14.9%) APACHE CORP CHEVRON CORP CONOCOPHILLIPS HALLIBURTON CO HESS CORP OCCIDENTAL PETROLEUM CORP
5,407 7,082 6,917 10,203 8,826 6,255
424,450 765,847 401,117 353,942 467,425 479,196 2,891,977
Financial (16.5%) ALLSTATE CORP AMERICAN EXPRESS CO BANK OF NEW YORK MELLON CORP GOLDMAN SACHS GROUP INC JPMORGAN CHASE + CO US BANCORP WELLS FARGO + CO
8,612 8,306 14,172 2,776 13,224 10,295 22,386
345,944 477,429 364,220 354,107 581,459 328,822 765,153 3,217,134
Health Care (14.1%) AGILENT TECHNOLOGIES INC AMERISOURCEBERGEN CORP BAXTER INTERNATIONAL INC EXPRESS SCRIPTS HOLDING CO LABORATORY CRP OF AMER HLDGS QUEST DIAGNOSTICS INC
7,694 13,040 8,581 6,968 3,419 3,480
314,992 563,067 572,009 376,272 296,154 202,780
$
The accompanying notes are an integral part of these financial statements. -933-
319,354 318,364 227,149 436,286 1,301,153
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Health Care (Continued) WATSON PHARMACEUTICALS INC
4,734
Industrial (14.1%) DEERE + CO DOVER CORP GENERAL ELECTRIC CO HONEYWELL INTERNATIONAL INC IRON MOUNTAIN INC UNITED TECHNOLOGIES CORP
5,224 8,183 39,824 6,998 816 5,377
451,458 537,705 835,905 444,163 25,337 440,968 2,735,536
Information Technology (11.4%) EMC CORP/MA EBAY INC INTEL CORP MICROSOFT CORP ORACLE CORP SANDISK CORP
14,906 9,530 15,610 12,520 10,968 7,510
377,122 486,220 322,034 334,660 365,454 327,136 2,212,626
Materials (4.2%) FREEPORT MCMORAN COPPER MOSAIC CO/THE
15,212 5,071
520,250 287,171 807,421
Telecommunication Services (3.4%) AT+T INC
19,498
657,278
Utilities (4.4%) NEXTERA ENERGY INC PUBLIC SERVICE ENTERPRISE GP
6,692 12,551
463,019 384,061 847,080
$
407,124 2,732,398
$ 19,041,855
Total common stocks (Cost $17,767,405)
The accompanying notes are an integral part of these financial statements. -934-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks
Total
Level 1
$ 19,041,855
$ 19,041,855
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $19,409,500 and $21,388,606, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -935-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 1,065,631 127,150 227,514 250,781 336,543 386,447 75,098 4,037 48,148 18,010 24 6,342 159,026 728 12,077,506 334,902 1,963,279 1,390,224 2,169,916 1,189,380 418,280 661,735 27,819 8,388 22,298 22,969,206
Redemptions (1,740,918) (2,674,801) (3,092,141) (3,888,513) (2,979,600) (3,733,253) (1,185,521) (62,992) (790,140) (131,494) (375,758) (165,960) (1,650,753) (93,879) (508,285) (56,516) (335,504) (470,797) (163,847) (118,517) (123,284) (94,123) (460,958) (263,851) (538,786) $ (25,700,191)
$
Units
$
$
Net change (675,287) (2,547,651) (2,864,627) (3,637,732) (2,643,057) (3,346,806) (1,110,423) (58,955) (741,992) (113,484) (375,734) (159,618) (1,491,727) (93,151) 11,569,221 278,386 1,627,775 919,427 2,006,069 1,070,863 294,996 567,612 (433,139) (255,463) (516,488) (2,730,985)
Purchases 74,894 9,953 14,480 16,440 22,241 31,092 5,061 327 4,227 1,880 2 384 16,411 63 824,922 31,541 191,305 128,902 194,709 109,624 38,996 60,089 2,236 691 1,798 1,782,268
Redemptions (117,860) (211,803) (194,719) (249,424) (191,579) (298,421) (78,637) (5,094) (68,717) (13,643) (34,588) (10,326) (166,705) (8,046) (34,509) (5,275) (31,587) (41,784) (14,271) (10,643) (10,771) (8,579) (36,698) (22,433) (43,311) (1,909,423)
The accompanying notes are an integral part of these financial statements. -936-
Net change (42,966) (201,850) (180,239) (232,984) (169,338) (267,329) (73,576) (4,767) (64,490) (11,763) (34,586) (9,942) (150,294) (7,983) 790,413 26,266 159,718 87,118 180,438 98,981 28,225 51,510 (34,462) (21,742) (41,513) (127,155)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Classic Value (C.S. McKee) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class Q (g) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.3090 11.6909 14.6527 14.2026 14.0840 11.3970 13.6160 11.2661 10.5263 8.7659 9.5855 15.0948 8.9515 10.7451 12.9505 10.0000 10.0000 10.1530 10.4032 10.0086 10.0728 10.1528 11.3432 11.1828 11.3159
Net Investment Income (Loss)(a) $ 0.0310 0.0320 0.0461 0.0506 0.0561 0.0498 0.0651 0.0558 0.0581 0.0523 0.0174 0.0365 0.0270 0.0052 0.0301 0.0241 0.0284 0.0343 0.0397 0.0425 0.0471 0.0521 0.0377 0.0420 0.0453
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6122 1.3904 1.8167 1.7633 1.6573 1.3376 1.6002 1.0450 1.0916 0.8896 1.0487 1.6055 1.1001 0.9173 1.8095 1.1583 1.0873 1.3438 1.3521 1.2774 1.2619 1.2477 1.3115 1.3774 1.1065
Total from Investment Activities $ 1.6432 1.4224 1.8628 1.8139 1.7134 1.3874 1.6653 1.1008 1.1497 0.9419 1.0661 1.6420 1.1271 0.9225 1.8396 1.1824 1.1157 1.3781 1.3918 1.3199 1.3090 1.2998 1.3492 1.4194 1.1518
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.7901 11.1824 11.1157 11.5311 11.7950 11.3285 11.3818 11.4526 -
Total Return 12.35 12.17 12.71 12.77 12.17 12.17 12.23 9.77 10.92 10.75 11.12 10.88 12.59 8.59 14.20 11.82 11.16 13.57 13.38 13.19 13.00 12.80 11.89 12.69 10.18
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.99)% (1.17)% (1.34)% (1.51)% (1.70)% (1.86)% (2.04)% (2.14)% (2.37)% (2.56)% (0.78)% (1.04)% (1.29)% (0.21)% (0.98)% (1.03)% (1.22)% (1.43)% (1.62)% (1.80)% (1.99)% (2.18)% (1.42)% (1.60)% (1.73)%
Net Investment Income (Loss) 0.22 % 0.26 % 0.30 % 0.33 % 0.38 % 0.41 % 0.45 % 0.47 % 0.52 % 0.57 % 0.17 % 0.23 % 0.28 % 0.05 % 0.22 % 0.23 % 0.27 % 0.32 % 0.36 % 0.40 % 0.44 % 0.48 % 0.31 % 0.35 % 0.38 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through February 29, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -937-
FMT Large Cap Concentrated Equity (Cornerstone) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$ 38,029,590 1,345,806 212,567 23,272 39,611,235
Liabilities Payables Agency fees Sub-advisor fees Total liabilities
24,825 14,415 39,240 $ 39,571,995
Net assets Components of net assets
Class R1 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 430,678
NAV per Unit $ 10.9535
Net Assets $ 4,717,444 14,401,101 2,309,866 3,640,023 5,526,481 5,346,524 1,658,738 1,115,555 781,602 74,661 $ 39,571,995
The accompanying notes are an integral part of these financial statements. -938-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
659,437 1,722 661,159 251,591 130,752 10,762 5,400 398,505
Net investment income
262,654
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
15,283,705 14,390,975
Net realized gain from investments sold
892,730
Change in net unrealized appreciation (depreciation) on investments
1,498,684
Net realized and unrealized gain on investments
2,391,414
Other operating credits (charges)
140
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -939-
2,654,208
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
262,654 892,730
Change in net unrealized appreciation (depreciation) on investments
1,498,684 140
Other operating credits (charges)
2,654,208
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
49,509,294 32,213,349 17,295,945
Increase in net assets from participant transactions Total increase in net assets
19,950,153
Net assets at beginning of year
19,621,842 $ 39,571,995
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -940-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (86.3%) Consumer Discretionary (6.1%) HASBRO INC MATTEL INC
26,125 40,675
Fair Value
$
937,887 1,489,519 2,427,406
Consumer Staples (3.5%) WAL MART STORES INC
20,125
1,373,129
Energy (9.6%) APACHE CORP CHEVRON CORP HESS CORP
11,450 13,650 26,575
898,825 1,476,111 1,407,412 3,782,348
Financial (20.5%) ACE LTD CAPITAL ONE FINANCIAL CORP CITIGROUP INC EATON CORP PLC MORGAN STANLEY STATE STREET CORP
15,950 19,825 49,225 28,200 72,825 17,475
1,272,810 1,148,462 1,947,341 1,528,440 1,392,414 821,500 8,110,967
Health Care (8.3%) JOHNSON + JOHNSON MERCK + CO. INC. STRYKER CORP
11,000 28,250 24,800
771,100 1,156,555 1,359,536 3,287,191
Industrial (8.9%) 3M CO GENERAL DYNAMICS CORP PARKER HANNIFIN CORP
12,775 18,125 12,775
1,186,159 1,255,519 1,086,641 3,528,319
Information Technology (29.4%) APPLE INC EBAY INC GOOGLE INC CL A INTEL CORP
3,083 21,150 2,225 47,800
1,643,332 1,079,073 1,578,348 986,114
The accompanying notes are an integral part of these financial statements. -941-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) INTL BUSINESS MACHINES CORP MICROSOFT CORP ORACLE CORP QUALCOMM INC WESTERN DIGITAL CORP
5,025 51,525 36,475 15,275 43,975
Fair Value
$
Total common stocks (Cost $31,776,359)
962,539 1,377,263 1,215,347 947,355 1,868,498 11,657,869 34,167,229
Depository Receipts (9.8%) Energy (3.1%) ROYAL DUTCH SHELL PLC ADR Health Care (6.7%) SANOFI ADR TEVA PHARMACEUTICAL SP ADR
17,650
1,216,967
27,600 35,825
1,307,688 1,337,706 2,645,394
Total depository receipts (Cost $3,659,322)
3,862,361 $ 38,029,590
Total Investments (Cost $35,435,681)
The accompanying notes are an integral part of these financial statements. -942-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
$ 34,167,229 $ 34,167,229 $ 3,862,361 3,862,361 $ 38,029,590 $ 38,029,590 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $31,898,265 and $15,283,705, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -943-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class R1 Class T Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
Purchases 4,725,301 171,780 427,506 320,793 1,269,766 1,971,014 805,565 599,793 505,411 35,024 180,745 137,553 66,056 227,695 112,418 981,306 5,815 203,609 14,729,275 2,135,795 3,717,528 5,646,504 5,779,276 1,925,429 1,222,825 871,751 354,857 264,611 88,769 25,524 $ 49,509,294
$
Redemptions (383,975) (181,788) (1,240,314) (1,290,766) (3,773,907) (6,190,538) (2,810,621) (1,957,067) (1,484,650) (119,202) (454,218) (334,646) (141,312) (507,397) (518,919) (2,634,873) (144,989) (867,023) (898,073) (706,388) (306,941) (814,921) (956,113) (398,376) (286,116) (141,205) (1,118,762) (1,223,867) (317,174) (9,208) $ (32,213,349)
$
Units
$
$
Net change 4,341,326 (10,008) (812,808) (969,973) (2,504,141) (4,219,524) (2,005,056) (1,357,274) (979,239) (84,178) (273,473) (197,093) (75,256) (279,702) (406,501) (1,653,567) (139,174) (663,414) 13,831,202 1,429,407 3,410,587 4,831,583 4,823,163 1,527,053 936,709 730,546 (763,905) (959,256) (228,405) 16,316 17,295,945
Purchases 467,583 17,112 484,695
Redemptions (36,905) (17,112) (54,017)
The accompanying notes are an integral part of these financial statements. -944-
Net change 430,678 430,678
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Concentrated Equity (Cornerstone) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class R1 (b) Class T (c)
NAV per Unit, Beginning of Period $ 10.0000 10.0000
Net Investment Income (Loss)(a) $ 0.0786 0.1395
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8749 0.5181
Total from Investment Activities $ 0.9535 0.6576
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.9535 -
Total Return 9.54 % 6.58 %
Net Expenses (1.14)% (2.05)%
Net Investment Income (Loss) 0.75 % 1.35 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(c)
For the period from January 27, 2012 (commencement of this class) through December 12, 2012
The accompanying notes are an integral part of these financial statements. -945-
FMT Large Cap Core Equity (Victory) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends Total assets
$ 11,695,449 258,438 10,589 9,971 11,974,447
Liabilities Agency fees Sub-advisor fees Total liabilities
8,593 4,279 12,872 $ 11,961,575
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 508,398 24,617 137,660 53,036 161,342 86,456 84,889 30,766
NAV per Unit $ 10.6197 $ 11.2904 $ 11.3226 $ 12.0309 $ 11.2852 $ 10.6643 $ 11.6352 $ 11.6158
Net Assets $ 5,399,059 277,939 1,558,668 638,066 1,820,771 921,999 987,704 357,369 $ 11,961,575
The accompanying notes are an integral part of these financial statements. -946-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $289) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
264,823 205 265,028 127,001 52,295 11,520 5,400 196,216
Net investment income
68,812
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
17,529,823 16,633,835
Net realized gain from investments sold
895,988
Change in net unrealized appreciation (depreciation) on investments
982,544
Net realized and unrealized gain on investments
1,878,532
Other operating credits (charges)
11,222
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -947-
1,958,566
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
68,812
Net realized gain from investments sold
895,988
Change in net unrealized appreciation (depreciation) on investments
982,544 11,222
Other operating credits (charges)
1,958,566
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,111,642 18,231,184 (6,119,542)
Decrease in net assets from participant transactions Total decrease in net assets
(4,160,976)
Net assets at beginning of year
16,122,551 $ 11,961,575
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -948-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (96%) Consumer Discretionary (17.0%) CARMAX INC CBS CORP CLASS B NON VOTING COMCAST CORP CLASS A GENERAL MOTORS CO LAS VEGAS SANDS CORP LOWE S COS INC STARBUCKS CORP TARGET CORP VIACOM INC CLASS B WALT DISNEY CO/THE
4,220 6,330 5,610 10,020 2,800 3,198 4,900 1,983 6,280 3,750
Consumer Staples (9.6%) COSTCO WHOLESALE CORP KRAFT FOODS GROUP INC MEAD JOHNSON NUTRITION CO PEPSICO INC PROCTER + GAMBLE CO/THE
2,030 3,796 2,750 2,230 6,460
200,503 172,604 181,198 152,599 438,569 1,145,473
Energy (8.5%) ANADARKO PETROLEUM CORP HALLIBURTON CO OCCIDENTAL PETROLEUM CORP SCHLUMBERGER LTD
3,484 6,980 3,120 3,975
258,896 242,136 239,023 275,428 1,015,483
8,900 1,320 9,440 8,300 1,600 10,800
352,084 168,379 415,077 273,402 93,296 369,144 1,671,382
3,240 2,430
132,645 161,984
Financial (14.0%) CITIGROUP INC GOLDMAN SACHS GROUP INC JPMORGAN CHASE + CO METLIFE INC PNC FINANCIAL SERVICES GROUP WELLS FARGO + CO Health Care (14.1%) AGILENT TECHNOLOGIES INC BAXTER INTERNATIONAL INC
$
The accompanying notes are an integral part of these financial statements. -949-
158,419 240,856 209,702 288,877 129,248 113,593 262,738 117,334 331,207 186,712 2,038,686
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (continued) EXPRESS SCRIPTS HOLDING CO JOHNSON + JOHNSON MEDTRONIC INC MERCK + CO. INC. PFIZER INC
6,480 4,530 3,550 5,100 14,770
Fair Value
$
349,920 317,553 145,621 208,794 370,432 1,686,949
Industrial (14.3%) BOEING CO/THE CUMMINS INC DANAHER CORP GENERAL DYNAMICS CORP HONEYWELL INTERNATIONAL INC NORFOLK SOUTHERN CORP PARKER HANNIFIN CORP UNITED PARCEL SERVICE CL B WW GRAINGER INC
4,870 1,840 4,030 2,510 2,000 2,390 2,210 1,653 770
367,003 199,364 225,277 173,868 126,940 147,798 187,983 121,876 155,825 1,705,934
Information Technology (16.1%) ALTERA CORP APPLE INC CITRIX SYSTEMS INC COGNIZANT TECH SOLUTIONS A EBAY INC GOOGLE INC CL A NETAPP INC TE CONNECTIVITY LTD VISA INC CLASS A SHARES
5,650 920 1,900 2,540 2,280 530 1,860 6,510 910
194,586 490,388 124,925 188,087 116,326 375,966 62,403 241,651 137,938 1,932,270
Materials (2.3%) DOW CHEMICAL CO/THE MONSANTO CO
4,810 1,296
155,459 122,666 278,125
Total common stocks (Cost $10,326,198)
11,474,302
The accompanying notes are an integral part of these financial statements. -950-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Depository receipts (1.8%) Consumer Staples ANHEUSER BUSCH INBEV SPN ADR (Cost $148,887)
2,530
Fair Value
$
221,147
$ 11,695,449
Total Investments (Cost $10,475,085)
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
Level 2
Level 3
$ 11,474,302 $ 11,474,302 $ 221,147 221,147
- $ -
-
$ 11,695,449
- $
-
$ 11,695,449
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $11,509,404 and $17,529,823, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -951-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 6,068 102,210 57,495 105,979 133,791 163,573 40,863 1,301 6,349 10,870 1,104 108,303 24,628 4,556,624 247,027 1,926,396 310,645 1,805,996 1,097,821 966,586 377,948 19,796 30,008 10,261 12,111,642
Redemptions (204,171) (1,834,280) (969,131) (1,571,448) (2,210,610) (2,140,771) (791,367) (20,253) (276,736) (92,383) (132,646) (435,289) (530,313) (4,516,009) (14) (572,297) (18,821) (127,683) (273,709) (129,943) (63,305) (262,665) (860,392) (196,948) $ (18,231,184)
$
Units
$
$
Net change (198,103) (1,732,070) (911,636) (1,465,469) (2,076,819) (1,977,198) (750,504) (18,952) (270,387) (81,513) (131,542) (326,986) (505,685) 40,615 247,013 1,354,099 291,824 1,678,313 824,112 836,643 314,643 (242,869) (830,384) (186,687) (6,119,542)
Purchases 579 9,079 5,506 10,472 13,168 15,312 3,918 116 644 1,059 95 7,615 1,931 434,806 24,618 190,938 27,864 173,056 112,464 89,762 35,371 1,727 2,552 923 1,163,575
Redemptions (19,584) (167,863) (93,861) (152,681) (212,703) (206,351) (74,815) (1,776) (28,008) (8,705) (11,927) (30,793) (39,873) (474,390) (1) (53,278) (1,591) (11,714) (26,008) (11,159) (5,632) (23,392) (74,506) (17,540) (1,748,151)
The accompanying notes are an integral part of these financial statements. -952-
Net change (19,005) (158,784) (88,355) (142,209) (199,535) (191,039) (70,897) (1,660) (27,364) (7,646) (11,832) (23,178) (37,942) (39,584) 24,617 137,660 26,273 161,342 86,456 78,603 29,739 (21,665) (71,954) (16,617) (584,576)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Core Equity (Victory) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (g) Class O (e) Class Q (c) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 (i) Class R6 (j) Class R7 Class R8 Class S (k) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 9.7730 10.3453 9.5264 9.2903 9.3436 9.6792 9.5808 10.2428 9.0891 9.3946 10.7909 13.1204 11.6522 9.1064 10.0000 10.0000 10.3741 10.0000 10.0000 10.0842 10.0840 10.4873 10.9348 10.3225
Net Investment Income (Loss)(a) $ 0.0381 0.0477 0.0503 0.0557 0.0625 0.0706 0.0767 0.0850 0.0843 0.0936 0.0182 0.0667 0.0565 0.0301 0.0256 0.0473 0.0588 0.0614 0.0587 0.0784 0.0857 0.0389 0.0686 0.0693
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4055 1.4625 1.3907 1.3375 1.2521 1.3404 1.3073 1.0753 1.1268 1.1404 0.3089 1.8361 1.7199 1.4832 1.2648 1.2753 1.5980 1.2238 0.6056 1.4726 1.4461 1.2725 1.5632 1.1451
Total from Investment Activities $ 1.4436 1.5102 1.4410 1.3932 1.3146 1.4110 1.3840 1.1603 1.2111 1.2340 0.3271 1.9028 1.7764 1.5133 1.2904 1.3226 1.6568 1.2852 0.6643 1.5510 1.5318 1.3114 1.6318 1.2144
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6197 11.2904 11.3226 12.0309 11.2852 10.6643 11.6352 11.6158 -
Total Return 14.77 14.60 15.13 15.00 14.07 14.58 14.45 11.33 13.32 13.14 3.03 14.50 15.25 16.62 12.90 13.23 15.97 12.85 6.64 15.38 15.19 12.50 14.92 11.76
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.03)% (1.22)% (1.40)% (1.59)% (1.78)% (1.93)% (2.12)% (2.23)% (2.47)% (2.66)% (0.47)% (1.35)% (1.28)% (0.87)% (0.68)% (1.26)% (1.49)% (1.64)% (1.62)% (2.05)% (2.25)% (0.99)% (1.66)% (1.80)%
Net Investment Income (Loss) 0.36 % 0.43 % 0.49 % 0.56 % 0.62 % 0.68 % 0.75 % 0.79 % 0.87 % 0.93 % 0.17 % 0.47 % 0.45 % 0.31 % 0.24 % 0.44 % 0.53 % 0.58 % 0.57 % 0.72 % 0.79 % 0.35 % 0.58 % 0.63 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 17, 2012
(h)
For the period from May 18, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 8, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 1, 2012 through August 16, 2012
The accompanying notes are an integral part of these financial statements. -953-
FMT Large Cap Cyclical Growth (CastleArk) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$ 20,281,171 939,918 194,331 74 21,415,494
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
38,639 14,113 8,193 60,945 $ 21,354,549
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 790,680 143,374 444,714 165,897 148,455 85,482 145,674 47,091
NAV per Unit $ 10.6966 $ 10.9434 $ 10.8039 $ 10.7842 $ 11.3362 $ 10.4494 $ 11.2000 $ 11.1810
Net Assets $ 8,457,622 1,569,007 4,804,618 1,789,075 1,682,904 893,238 1,631,555 526,530 $ 21,354,549
The accompanying notes are an integral part of these financial statements. -954-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
292,604 691 293,295 245,216 109,380 11,757 5,400 371,753
Net investment loss
(78,458)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
32,167,210 29,681,362
Net realized gain from investments sold
2,485,848
Change in net unrealized appreciation (depreciation) on investments
527,466
Net realized and unrealized gain on investments
3,013,314
Other operating credits (charges)
396
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -955-
2,935,252
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(78,458) 2,485,848
Change in net unrealized appreciation (depreciation) on investments
527,466 396
Other operating credits (charges)
2,935,252
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
29,495,712 36,938,406 (7,442,694)
Decrease in net assets from participant transactions Total decrease in net assets
(4,507,442)
Net assets at beginning of year
25,861,991 $ 21,354,549
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -956-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (95.0%) Consumer Discretionary (20.4%) AMAZON.COM INC BORGWARNER INC COACH INC DICK S SPORTING GOODS INC HOME DEPOT INC RALPH LAUREN CORP TARGET CORP TJX COMPANIES INC WABTEC CORP
2,200 7,500 4,000 15,200 13,600 2,400 2,500 13,000 5,100
Consumer Staples (3.8%) WHOLE FOODS MARKET INC
9,000
821,970
Energy (10.4%) ANADARKO PETROLEUM CORP EOG RESOURCES INC RANGE RESOURCES CORP SOUTHWESTERN ENERGY CO
7,500 4,800 6,400 20,000
557,325 579,792 402,112 668,200 2,207,429
Financial (5.6%) AMERICAN EXPRESS CO CITIGROUP INC
8,800 17,600
505,824 696,256 1,202,080
Health Care (9.5%) ALLERGAN INC EDWARDS LIFESCIENCES CORP GILEAD SCIENCES INC INTUITIVE SURGICAL INC UNITEDHEALTH GROUP INC
2,400 1,800 4,400 1,180 13,700
220,152 162,306 323,180 578,637 743,088 2,027,363
Industrial (11.3%) GENESEE + WYOMING INC CL A HUNT (JB) TRANSPRT SVCS INC KANSAS CITY SOUTHERN
2,000 11,600 5,800
152,160 692,636 484,184
$
The accompanying notes are an integral part of these financial statements. -957-
552,508 537,150 222,040 691,448 841,160 359,808 147,925 551,850 446,454 4,350,343
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) LINCOLN ELECTRIC HOLDINGS PACCAR INC PARKER HANNIFIN CORP TRANSDIGM GROUP INC
5,810 12,300 1,500 800
Fair Value
$
282,831 556,083 127,590 109,088 2,404,572
Information Technology (29.5%) ANSYS INC APPLE INC LINKEDIN CORP A MASTERCARD INC CLASS A ORACLE CORP PALO ALTO NETWORKS INC QUALCOMM INC SALESFORCE.COM INC TERADATA CORP TIBCO SOFTWARE INC
6,800 1,820 4,900 1,200 25,200 2,200 14,000 4,000 14,700 14,100
457,912 970,114 562,618 589,536 839,664 117,744 868,280 672,400 909,783 310,341 6,298,392
Materials (4.5%) MONSANTO CO SHERWIN WILLIAMS CO/THE
5,200 3,100
492,180 476,842 969,022 $ 20,281,171
Total common stocks (Cost $17,649,663)
The accompanying notes are an integral part of these financial statements. -958-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Common stocks
Total $ 20,281,171
Level 1 $ 20,281,171
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $24,458,810 and $32,167,210, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -959-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 by class were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 44,078 57,616 1,394,925 1,268,210 124,576 376,209 92,519 1,880 87,033 21,499 272,116 1,329,638 110,388 242 8,411,326 1,520,717 5,025,277 1,864,570 2,335,608 1,840,512 2,422,600 393,091 153,749 305,821 41,512 29,495,712
Redemptions (332,943) (2,092,163) (4,172,003) (7,016,098) (2,710,601) (3,509,278) (1,446,503) (36,854) (455,006) (182,517) (3,133,759) (1,964,270) (314,274) (222,444) (72,852) (197,630) (676,104) (1,062,026) (963,872) (1,007,557) (1,477,864) (132,263) (1,510,866) (599,276) (1,649,383) $ (36,938,406)
$
Units
$
$
Net change (288,865) (2,034,547) (2,777,078) (5,747,888) (2,586,025) (3,133,069) (1,353,984) (34,974) (367,973) (161,018) (2,861,643) (634,632) (203,886) (222,202) 8,338,474 1,323,087 4,349,173 802,544 1,371,736 832,955 944,736 260,828 (1,357,117) (293,455) (1,607,871) (7,442,694)
Purchases 3,038 4,208 94,993 88,636 9,125 29,383 6,932 144 6,602 1,699 26,600 82,727 10,832 23 791,906 143,856 479,138 178,630 210,380 184,125 227,129 37,336 11,527 22,238 3,037 2,654,244
Redemptions (23,280) (161,514) (296,475) (509,524) (193,890) (267,608) (109,769) (2,810) (35,137) (14,576) (302,908) (110,150) (30,582) (20,339) (6,613) (18,598) (63,141) (99,898) (85,965) (98,643) (130,844) (11,473) (115,274) (42,544) (122,498) (2,874,053)
The accompanying notes are an integral part of these financial statements. -960-
Net change (20,242) (157,306) (201,482) (420,888) (184,765) (238,225) (102,837) (2,666) (28,535) (12,877) (276,308) (27,423) (19,750) (20,316) 785,293 125,258 415,997 78,732 124,415 85,482 96,285 25,863 (103,747) (20,306) (119,461) (219,809)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Cyclical Growth (CastleArk) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 (h) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.1118 12.4002 12.8400 12.6462 12.4942 12.3443 12.1955 11.8638 11.9049 11.4253 9.3820 15.6141 9.2051 9.6747 9.6442 9.7496 9.6415 9.6403 10.1509 10.0000 10.0631 10.0629 12.1125 12.6379 12.5728
Net Investment Income (Loss)(a) $ (0.0307) (0.0338) (0.0402) (0.0446) (0.0491) (0.0531) (0.0571) (0.0575) (0.0645) (0.0663) (0.0227) (0.0469) (0.0193) (0.0206) (0.0146) (0.0244) (0.0279) (0.0319) (0.0378) (0.0357) (0.0454) (0.0497) (0.0402) (0.0465) (0.0497)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4848 1.3871 1.5334 1.4718 1.3137 1.4231 1.3684 1.3050 1.2170 1.1523 1.1131 1.6917 1.1037 1.3427 1.0670 1.2182 1.1903 1.1758 1.2231 0.4851 1.1823 1.1678 1.3292 1.4633 1.4235
Total from Investment Activities $ 1.4541 1.3533 1.4932 1.4272 1.2646 1.3700 1.3113 1.2475 1.1525 1.0860 1.0904 1.6448 1.0844 1.3221 1.0524 1.1938 1.1624 1.1439 1.1853 0.4494 1.1369 1.1181 1.2890 1.4168 1.3738
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6966 10.9434 10.8039 10.7842 11.3362 10.4494 11.2000 11.1810 -
Total Return 11.09 10.91 11.63 11.29 10.12 11.10 10.75 10.52 9.68 9.51 11.62 10.53 11.78 13.67 10.91 12.24 12.06 11.87 11.68 4.49 11.30 11.11 10.64 11.21 10.93
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.05)% (1.23)% (1.41)% (1.58)% (1.78)% (1.93)% (2.11)% (2.19)% (2.46)% (2.63)% (1.09)% (1.35)% (0.94)% (0.95)% (0.68)% (1.12)% (1.30)% (1.48)% (1.67)% (1.66)% (2.03)% (2.22)% (1.50)% (1.65)% (1.78)%
Net Investment Income (Loss) (0.22)% (0.26)% (0.30)% (0.33)% (0.37)% (0.41)% (0.44)% (0.46)% (0.52)% (0.55)% (0.23)% (0.29)% (0.20)% (0.20)% (0.14)% (0.24)% (0.27)% (0.31)% (0.35)% (0.35)% (0.43)% (0.47)% (0.31)% (0.35)% (0.37)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 10, 2012
(h)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -961-
FMT Large Cap Focus Growth (Delaware) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Investments sold Dividends and interest Total assets
$ 72,242,788 742,239 11 72,985,038
Liabilities Agency fees Sub-advisor fees Cash overdraft Total liabilities
45,942 21,582 8,658 76,182 $ 72,908,856
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 2,070,792 158,837 637,264 630,273 634,737 169,534 139,269 39,990
NAV per Unit $ 13.2401 $ 11.6660 $ 11.6084 $ 11.5874 $ 12.0493 $ 11.5486 $ 11.5254 $ 11.6985
Net Assets $ 27,417,497 1,852,983 7,397,609 7,303,203 7,648,160 1,957,878 1,605,129 467,820 7,152,376 1,140,206 1,798,985 2,730,144 2,641,778 820,414 551,505 386,297 36,872 $ 72,908,856
The accompanying notes are an integral part of these financial statements. -962-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
823,927 833 824,760 718,755 266,911 17,542 5,400 1,008,608
Net investment loss
(183,848)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
29,480,598 22,907,739
Net realized gain from investments sold
6,572,859
Change in net unrealized appreciation (depreciation) on investments
4,382,929
Net realized and unrealized gain on investments
10,955,788
Other operating credits (charges)
1,047
Net increase in net assets resulting from operations
$ 10,772,987
The accompanying notes are an integral part of these financial statements. -963-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(183,848)
Net realized gain from investments sold
6,572,859
Change in net unrealized appreciation (depreciation) on investments
4,382,929 1,047
Other operating credits (charges)
10,772,987
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
88,081,273 97,831,217 (9,749,944)
Decrease in net assets from participant transactions Total increase in net assets
1,023,043 71,885,813
Net assets at beginning of year
$ 72,908,856
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -964-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (92.7%) Consumer Discretionary (12.1%) LIBERTY INTERACTIVE CORP A NIKE INC CL B PRICELINE.COM INC SALLY BEAUTY HOLDINGS INC STAPLES INC
136,675 33,350 4,065 30,825 104,275
Fair Value
$
2,689,764 1,720,860 2,525,178 726,545 1,188,735 8,851,082
Consumer Staples (3.3%) WALGREEN CO
65,850
2,437,108
Energy (10.0%) EOG RESOURCES INC KINDER MORGAN INC
33,150 93,578
4,004,188 3,306,111 7,310,299
27,125 15,625 112,050
1,375,509 1,934,531 2,364,255 5,674,295
Health Care (8.2%) ALLERGAN INC CELGENE CORP PERRIGO CO
34,785 18,475 13,125
3,190,828 1,454,352 1,365,394 6,010,574
Industrial (1.5%) CATERPILLAR INC
12,125
1,086,157
Information Technology (44.4%) ADOBE SYSTEMS INC APPLE INC BMC SOFTWARE INC GOOGLE INC CL A INTUIT INC MASTERCARD INC CLASS A POLYCOM INC
75,025 9,315 69,875 3,725 47,000 7,275 71,475
2,826,942 4,965,174 2,771,243 2,642,403 2,796,500 3,574,062 747,629
Financial (7.8%) CME GROUP INC INTERCONTINENTALEXCHANGE INC PROGRESSIVE CORP
The accompanying notes are an integral part of these financial statements. -965-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (continued) QUALCOMM INC TERADATA CORP VERIFONE SYSTEMS INC VERISIGN INC VISA INC CLASS A SHARES
58,800 28,375 29,775 45,875 26,075
Telecommunication Services (5.3%) CROWN CASTLE INTL CORP
53,625
Fair Value
$
3,646,776 1,756,129 883,722 1,780,868 3,952,449 32,343,897 3,869,580
Total common stocks (Cost $48,728,769)
67,582,992
Depository receipts (6.2%) Health Care (3.3%) NOVO NORDISK A/S SPONS ADR
14,625
2,386,946
Materials (2.9%) SYNGENTA AG ADR
26,500
2,141,200
Total depository receipts (Cost $2,244,881) Rights/Warrants (0.2%) KINDER MORGAN INC WTS (Cost $66,347)
4,528,146 34,828
131,650 $ 72,242,788
Total Investments (Cost $51,039,997)
The accompanying notes are an integral part of these financial statements. -966-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Rights/Warrants
Level 1
Level 2
Level 3
$ 67,582,992 $ 67,582,992 $ 4,528,146 4,528,146 131,650 131,650
- $ -
-
$ 72,242,788
- $
-
$ 72,242,788
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $19,849,642 and $29,480,598, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -967-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 301,534 1,472,944 709,308 1,103,734 677,392 401,139 321,853 5,148 91,191 18,570 1,721 198,384 437,924 324,587 13,112 94,442 28,991,310 2,361,644 7,944,937 7,589,678 7,589,129 3,210,160 1,581,995 635,726 322,498 63,122 26,306 90,388 96,684 680,895 635,987 253,659 174,440 135,878 7,991 52,002 25,251 10,584 24,304 38,690 284,689 5,648 33,988 7,389,875 929,682 2,053,792 3,097,232 3,152,738 1,076,962 658,142 507,526 83,579 62,430 24,264 4,485 88,081,273
Redemptions (1,577,443) (11,856,819) (10,884,032) (12,583,918) (6,365,015) (4,887,188) (2,556,656) (176,841) (724,179) (273,967) (458,370) (214,187) (637,018) (3,336,931) (913,047) (2,285,836) (2,429,310) (805,049) (1,251,364) (1,692,038) (932,596) (1,444,163) (96,286) (176,196) (985,759) (521,755) (1,190,616) (922,759) (1,076,636) (3,200,563) (4,910,990) (2,289,390) (1,558,115) (1,131,708) (93,263) (330,463) (224,543) (89,532) (321,168) (457,710) (1,979,495) (141,176) (704,744) (694,817) (723,083) (478,803) (1,118,894) (1,090,926) (400,810) (299,966) (181,219) (859,439) (1,013,774) (254,013) (26,639) $ (97,831,217)
$
Units
$
$
Net change (1,275,909) (10,383,875) (10,174,724) (11,480,184) (5,687,623) (4,486,049) (2,234,803) (171,693) (632,988) (255,397) (456,649) (15,803) (199,094) (3,012,344) (899,935) (2,191,394) 26,562,000 1,556,595 6,693,573 5,897,640 6,656,533 1,765,997 1,485,709 459,530 (663,261) (458,633) (1,164,310) (832,371) (979,952) (2,519,668) (4,275,003) (2,035,731) (1,383,675) (995,830) (85,272) (278,461) (199,292) (78,948) (296,864) (419,020) (1,694,806) (135,528) (670,756) 6,695,058 206,599 1,574,989 1,978,338 2,061,812 676,152 358,176 326,307 (775,860) (951,344) (229,749) (22,154) (9,749,944)
Purchases 21,493 112,564 54,450 84,752 53,394 31,494 26,286 356 7,545 1,529 131 19,788 23,283 27,337 910 6,358 2,244,068 211,427 716,386 705,976 657,962 298,529 141,672 55,472 22,366 4,262 2,067 5,531,857
Redemptions (118,886) (899,015) (839,088) (982,345) (496,663) (380,695) (200,668) (12,029) (57,980) (21,996) (34,096) (19,788) (32,493) (276,233) (64,756) (159,175) (189,314) (71,350) (110,189) (149,870) (80,280) (129,174) (8,460) (15,585) (69,212) (34,716) (95,162) (5,549,218)
The accompanying notes are an integral part of these financial statements. -968-
Net change (97,393) (786,451) (784,638) (897,593) (443,269) (349,201) (174,382) (11,673) (50,435) (20,467) (33,965) (9,210) (248,896) (63,846) (152,817) 2,054,754 140,077 606,197 556,106 577,682 169,355 133,212 39,887 (46,846) (30,454) (93,095) (17,361)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Focus Growth (Delaware) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (g) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.0711 11.9416 11.8136 11.6865 11.5610 11.4367 11.3139 13.0297 11.0726 10.9584 11.5783 10.0000 17.1723 10.7659 13.6758 13.0939 11.4076 10.0733 10.0405 10.0393 10.4573 10.0398 10.0364 10.2046 13.1307 13.2578 11.9646
Net Investment Income (Loss)(a) $ (0.0218) (0.0255) (0.0292) (0.0329) (0.0364) (0.0397) (0.0432) (0.0517) (0.0492) (0.0524) (0.0161) (0.0083) (0.0328) (0.0255) (0.0225) (0.0297) (0.0171) (0.0197) (0.0230) (0.0266) (0.0315) (0.0335) (0.0373) (0.0414) (0.0347) (0.0390) (0.0377)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7953 1.7581 1.8075 1.7949 1.6541 1.6981 1.6864 1.7386 1.5148 1.4831 1.6764 0.8379 2.4514 1.5786 1.9708 2.0163 1.8496 1.6124 1.5909 1.5747 1.6235 1.5423 1.5263 1.5353 1.9034 2.0277 1.6371
Total from Investment Activities $ 1.7735 1.7326 1.7783 1.7620 1.6177 1.6584 1.6432 1.6869 1.4656 1.4307 1.6603 0.8296 2.4186 1.5531 1.9483 1.9866 1.8325 1.5927 1.5679 1.5481 1.5920 1.5088 1.4890 1.4939 1.8687 1.9887 1.5994
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.2401 11.6660 11.6084 11.5874 12.0493 11.5486 11.5254 11.6985 -
Total Return 14.69 14.51 15.05 15.08 13.99 14.50 14.52 12.95 13.24 13.06 14.34 8.30 14.08 14.43 14.25 15.17 16.06 15.81 15.62 15.42 15.22 15.03 14.84 14.64 14.23 15.00 13.37
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.93)% (1.10)% (1.27)% (1.44)% (1.63)% (1.79)% (1.97)% (2.06)% (2.30)% (2.48)% (0.72)% (0.44)% (0.98)% (1.22)% (0.85)% (1.16)% (0.76)% (1.00)% (1.17)% (1.36)% (1.54)% (1.71)% (1.91)% (2.09)% (1.36)% (1.51)% (1.63)%
Net Investment Income (Loss) (0.17)% (0.20)% (0.23)% (0.26)% (0.29)% (0.32)% (0.36)% (0.37)% (0.42)% (0.45)% (0.13)% (0.08)% (0.18)% (0.22)% (0.15)% (0.21)% (0.14)% (0.18)% (0.21)% (0.25)% (0.28)% (0.31)% (0.35)% (0.38)% (0.25)% (0.27)% (0.30)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from May 21, 2012 (commencement of this class) through November 27, 2012
The accompanying notes are an integral part of these financial statements. -969-
FMT Large Cap Fundamental Growth (BlackRock) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Investments sold Total assets
$ 43,787,699 26,762 13,687 9,377 43,837,525
Liabilities Agency fees Sub-advisor fees Total liabilities
29,634 18,637 48,271 $ 43,789,254
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 296,586 75,835 176,112 71,469 82,024 107,166 22,590 20,167
NAV per Unit $ 11.0907 $ 11.1513 $ 11.1059 $ 11.6344 $ 11.0954 $ 10.0803 $ 10.2321 $ 11.0399
Net Assets $ 3,289,340 845,654 1,955,883 831,496 910,088 1,080,269 231,144 222,639 14,263,931 2,275,828 3,588,541 5,445,076 5,268,318 1,637,047 1,100,189 770,399 73,412 $ 43,789,254
The accompanying notes are an integral part of these financial statements. -970-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
727,073 705 727,778 476,621 244,470 15,330 5,400 741,821
Net investment loss
(14,043)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
38,320,508 37,065,022
Net realized gain from investments sold
1,255,486
Change in net unrealized appreciation (depreciation) on investments
4,703,801
Net realized and unrealized gain on investments
5,959,287
Other operating credits (charges)
3,544
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -971-
5,948,788
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(14,043)
Net realized gain from investments sold
1,255,486
Change in net unrealized appreciation (depreciation) on investments
4,703,801 3,544
Other operating credits (charges)
5,948,788
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
55,026,443 62,234,402 (7,207,959)
Decrease in net assets from participant transactions Total decrease in net assets
(1,259,171)
Net assets at beginning of year
45,048,425 $ 43,789,254
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -972-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (98.8%) Consumer Discretionary (19.1%) ALLISON TRANSMISSION HOLDING AMAZON.COM INC CBS CORP CLASS B NON VOTING COMCAST CORP CLASS A HOME DEPOT INC LAS VEGAS SANDS CORP MCDONALD S CORP MICHAEL KORS HOLDINGS LTD NORDSTROM INC PRICELINE.COM INC STANLEY BLACK + DECKER INC STARBUCKS CORP TESLA MOTORS INC UNDER ARMOUR INC CLASS A
7,640 6,820 15,980 18,880 12,520 7,090 3,860 9,850 5,580 1,110 10,430 13,400 9,630 9,040
Consumer Staples (8.0%) COCA COLA CO/THE COSTCO WHOLESALE CORP HERBALIFE LTD PEPSICO INC WHOLE FOODS MARKET INC Energy (2.6%) ANADARKO PETROLEUM CORP NATIONAL OILWELL VARCO INC NOBLE ENERGY INC Financial (5.8%) AMERICAN EXPRESS CO EATON CORP PLC GOLDMAN SACHS GROUP INC JEFFERIES GROUP INC WELLS FARGO + CO
Fair Value
$
32,680 11,660 3,902 10,545 3,530
1,184,650 1,151,658 128,532 721,594 322,395 3,508,829
6,300 4,575 3,700
468,153 312,701 376,438 1,157,292
5,800 11,790 4,520 19,030 18,845
333,384 639,018 576,571 353,387 644,122 2,546,482
The accompanying notes are an integral part of these financial statements. -973-
156,009 1,712,775 608,039 705,734 774,362 327,274 340,491 502,646 298,530 689,532 771,507 718,508 326,168 438,711 8,370,286
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (13.6%) ALEXION PHARMACEUTICALS INC AMGEN INC ARIAD PHARMACEUTICALS INC BIOGEN IDEC INC ELI LILLY + CO EXPRESS SCRIPTS HOLDING CO GILEAD SCIENCES INC INTUITIVE SURGICAL INC MERCK + CO. INC. PFIZER INC REGENERON PHARMACEUTICALS VALEANT PHARMACEUTICALS INTE
4,300 5,600 8,900 1,850 13,550 18,137 11,560 1,170 7,000 23,280 1,200 7,700
Fair Value
$
403,383 483,392 170,702 271,340 668,286 979,398 849,082 573,733 286,580 583,862 205,284 460,229 5,935,271
Industrial (13.0%) BOEING CO/THE DANAHER CORP MASCO CORP PRECISION CASTPARTS CORP ROPER INDUSTRIES INC TEREX CORP UNITED PARCEL SERVICE CL B UNITED TECHNOLOGIES CORP
24,750 22,130 20,700 2,765 2,990 15,824 6,400 5,870
1,865,160 1,237,067 344,862 523,746 333,325 444,813 471,872 481,399 5,702,244
Information Technology (31.8%) APPLE INC AVAGO TECHNOLOGIES LTD EBAY INC EMC CORP/MA F5 NETWORKS INC FUSION IO INC GOOGLE INC CL A MICROSOFT CORP ON SEMICONDUCTOR CORPORATION ORACLE CORP QUALCOMM INC
6,345 3,100 14,690 18,120 4,260 7,827 2,306 47,200 25,400 18,900 21,750
3,382,075 98,146 749,484 458,436 413,859 179,473 1,635,807 1,261,656 179,070 629,748 1,348,935
The accompanying notes are an integral part of these financial statements. -974-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) RED HAT INC SALESFORCE.COM INC TEXAS INSTRUMENTS INC VISA INC CLASS A SHARES VMWARE INC CLASS A XILINX INC
9,280 3,790 19,000 4,720 6,160 15,900
Materials (2.4%) CELANESE CORP SERIES A MONSANTO CO Telecommunication Services (2.5%) CROWN CASTLE INTL CORP LEVEL 3 COMMUNICATIONS INC VERIZON COMMUNICATIONS INC
Fair Value
$
491,469 637,099 587,860 715,458 579,902 570,810 13,919,287
4,230 9,020
188,362 853,743 1,042,105
3,300 8,860 14,360
238,128 204,755 621,357 1,064,240
Total common stocks (Cost $38,300,234)
43,246,036
Real estate investment trust (1.2%) AMERICAN TOWER CORP (Cost $419,968)
7,010
541,663 $ 43,787,699
Total Investments (Cost $38,720,202)
The accompanying notes are an integral part of these financial statements. -975-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Real estate investment trust
Level 1
Level 2
Level 3
$ 43,246,036 $ 43,246,036 $ 541,663 541,663
- $ -
-
$ 43,787,699
- $
-
$ 43,787,699
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $32,264,832 and $38,320,508, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -976-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 7,437 167,359 226,350 172,668 124,203 27,763 64,883 11,105 65,965 5,027 523 62,263 37,973 4,375 7,568 3,282,266 1,586,294 2,029,897 1,003,456 1,212,672 999,525 254,824 376,777 43,027 14,539 180,936 194,184 1,368,172 1,290,521 509,172 357,241 276,522 16,484 110,326 51,736 21,168 48,607 77,225 569,380 11,028 67,965 14,780,004 1,859,364 4,107,583 6,194,464 6,305,476 2,153,925 1,316,284 1,015,053 170,432 126,760 48,723 8,969 55,026,443
Redemptions (640,162) (1,027,524) (1,577,994) (1,376,451) (1,943,674) (394,147) (606,672) (151,817) (329,179) (50,901) (1,299) (813,853) (392,028) (40,073) (233,633) (138,770) (788,331) (115,089) (193,923) (339,148) (6,556) (42,045) (147,562) (166,959) (169,239) (1,730,763) (2,038,099) (6,175,301) (9,314,690) (4,340,290) (2,946,696) (2,144,428) (177,246) (630,594) (425,134) (168,527) (596,685) (854,882) (3,748,080) (269,742) (1,325,529) (1,321,251) (1,385,455) (928,664) (2,141,879) (2,091,194) (781,278) (576,620) (346,483) (1,625,890) (1,933,763) (482,874) (45,336) $ (62,234,402)
$
Units
$
$
Net change (632,725) (860,165) (1,351,644) (1,203,783) (1,819,471) (366,384) (541,789) (140,712) (263,214) (45,874) (776) (751,590) (354,055) (35,698) (226,065) 3,143,496 797,963 1,914,808 809,533 873,524 992,969 212,779 229,215 (123,932) (154,700) (1,549,827) (1,843,915) (4,807,129) (8,024,169) (3,831,118) (2,589,455) (1,867,906) (160,762) (520,268) (373,398) (147,359) (548,078) (777,657) (3,178,700) (258,714) (1,257,564) 13,458,753 473,909 3,178,919 4,052,585 4,214,282 1,372,647 739,664 668,570 (1,455,458) (1,807,003) (434,151) (36,367) (7,207,959)
Purchases 706 15,348 20,796 16,225 11,705 2,561 5,933 1,017 6,279 467 46 5,616 3,655 427 698 297,032 146,880 186,526 88,000 113,093 107,829 26,775 34,037 4,080 1,342 1,097,073
Redemptions (62,630) (93,934) (142,807) (124,965) (186,855) (36,827) (54,157) (13,774) (29,986) (4,639) (116) (70,072) (34,702) (3,767) (21,657) (12,889) (71,045) (10,414) (16,988) (31,069) (663) (4,185) (13,870) (15,126) (15,320) (1,072,457)
The accompanying notes are an integral part of these financial statements. -977-
Net change (61,924) (78,586) (122,011) (108,740) (175,150) (34,266) (48,224) (12,757) (23,707) (4,172) (70) (64,456) (31,047) (3,340) (20,959) 284,143 75,835 176,112 71,012 82,024 107,166 22,590 20,167 (11,046) (13,978) 24,616
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Fundamental Growth (BlackRock) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class M (f) Class N (g) Class O (e) Class P (h) Class P (i) Class Q (j) Class Q (k) Class R1 Class R2 (l) Class R3 (m) Class R4 Class R5 (l) Class R6 (n) Class R7 (o) Class R8 (l) Class S (b) Class U (f)
NAV per Unit, Beginning of Period $ 9.9881 9.9254 9.8267 9.9849 9.7401 9.9828 9.9817 9.9806 9.9796 9.9785 9.9883 9.9876 9.9316 9.9885 10.0000 9.7877 10.5006 9.7645 10.0000 10.0000 10.3004 10.0000 10.0000 10.0000 10.0000 9.9854 9.9832
Net Investment Income (Loss)(a) $ (0.0018) (0.0020) (0.0023) (0.0026) (0.0028) (0.0032) (0.0035) (0.0036) (0.0039) (0.0043) (0.0015) (0.0005) (0.0022) (0.0001) (0.0013) (0.0019) (0.0015) (0.0018) (0.0021) (0.0026) (0.0027) (0.0022) (0.0027) (0.0036) (0.0025) (0.0029)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.2579 1.2312 1.3144 1.2982 1.1582 1.2820 1.2447 1.0325 1.1154 1.0980 1.1648 1.6291 1.2219 0.6684 0.2243 0.6148 1.9109 1.3277 1.1531 1.1080 1.3366 1.0981 0.0825 0.2348 1.0435 1.2118 1.0728
Total from Investment Activities $ 1.2561 1.2292 1.3121 1.2956 1.1554 1.2788 1.2412 1.0289 1.1115 1.0937 1.1633 1.6286 1.2197 0.6683 0.2230 0.6129 1.9109 1.3262 1.1513 1.1059 1.3340 1.0954 0.0803 0.2321 1.0399 1.2093 1.0699
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through March 26, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.0907 11.1513 11.1059 11.6344 11.0954 10.0803 10.2321 11.0399 -
Total Return 12.58 12.38 13.35 12.98 11.86 12.81 12.43 10.31 11.14 10.96 11.65 16.31 12.28 6.69 2.23 6.26 18.20 13.58 11.51 11.06 12.95 10.95 0.80 2.32 10.40 12.11 10.72
% % % % % % % % % % % % % % % % % % % % % % % % % % %
(h)
For the period from January 1, 2012 through February 1, 2012
(i)
For the period from February 9, 2012 (recommencement of this class) through November 27, 2012
(j)
For the period from January 1, 2012 through November 15, 2012
(k)
For the period from November 16, 2012 (recommencement of this class) through December 11, 2012
(l)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from March 12, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from February 10, 2012 (commencement of this class) through December 31, 2012
Net Expenses (1.24)% (1.39)% (1.58)% (1.77)% (1.98)% (2.15)% (2.35)% (2.45)% (2.70)% (2.92)% (0.99)% (0.31)% (1.53)% (0.10)% (0.91)% (1.39)% % (1.05)% (1.25)% (1.45)% (1.68)% (1.85)% (1.60)% (1.94)% (2.45)% (1.68)% (2.00)%
The accompanying notes are an integral part of these financial statements. -978-
Net Investment Income (Loss) (0.02)% (0.02)% (0.02)% (0.02)% (0.03)% (0.03)% (0.03)% (0.03)% (0.04)% (0.04)% (0.01)% % (0.02)% % (0.01)% (0.02)% % (0.01)% (0.02)% (0.02)% (0.02)% (0.03)% (0.02)% (0.03)% (0.03)% (0.02)% (0.03)%
FMT Large Cap GARP (Argent) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 30,830,142 958,136 6,808 31,795,086
Liabilities Agency fees Sub-advisor fees Total liabilities
15,827 13,449 29,276 $ 31,765,810
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,504,649 6,315 609,092 493,221 67,991 69,374 31,658 12,580
NAV per Unit $ 11.7995 $ 11.2517 $ 11.0591 $ 10.4685 $ 11.6891 $ 11.2074 $ 10.5312 $ 10.7796
Net Assets $ 17,754,171 71,052 6,736,032 5,163,289 794,758 777,505 333,398 135,605 $ 31,765,810
The accompanying notes are an integral part of these financial statements. -979-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
296,374 1,138 297,512 210,930 150,119 10,658 5,400 377,107
Net investment loss
(79,595)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
12,870,934 10,077,134
Net realized gain from investments sold
2,793,800
Change in net unrealized appreciation (depreciation) on investments
2,496,564
Net realized and unrealized gain on investments
5,290,364
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -980-
5,210,769
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(79,595)
Net realized gain from investments sold
2,793,800
Change in net unrealized appreciation (depreciation) on investments
2,496,564
Net increase in net assets resulting from operations
5,210,769
Participant transactions Proceeds from units purchased Less payments for units redeemed
33,837,537 34,432,252 (594,715)
Decrease in net assets from participant transactions Total increase in net assets
4,616,054 27,149,756
Net assets at beginning of year
$ 31,765,810
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -981-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (97.1%) Consumer Discretionary (15.9%) AMERICAN EAGLE OUTFITTERS CBS CORP CLASS B NON VOTING LOWE S COS INC URBAN OUTFITTERS INC WILLIAMS SONOMA INC
37,350 32,550 38,950 21,500 18,600
Fair Value
$
766,049 1,238,527 1,383,504 846,240 814,122 5,048,442
Consumer Staples (5.4%) POST HOLDINGS INC PROCTER + GAMBLE CO/THE
27,665 11,200
947,526 760,368 1,707,894
Energy (4.5%) CHEVRON CORP SCHLUMBERGER LTD
6,600 10,200
713,724 706,758 1,420,482
Financial (15.7%) ALLSTATE CORP EATON CORP PLC FRANKLIN RESOURCES INC JPMORGAN CHASE + CO SUNTRUST BANKS INC
29,700 17,000 7,150 16,300 43,800
1,193,049 921,400 898,755 716,711 1,241,730 4,971,645
Health Care (14.8%) ALLERGAN INC BIOGEN IDEC INC EXPRESS SCRIPTS HOLDING CO FOREST LABORATORIES INC GILEAD SCIENCES INC
8,160 5,300 18,750 31,600 14,280
748,517 777,351 1,012,500 1,116,112 1,048,866 4,703,346
Industrial (9.0%) DANAHER CORP JACOBS ENGINEERING GROUP INC QUANTA SERVICES INC
22,450 18,000 30,900
1,254,955 766,260 843,261 2,864,476
The accompanying notes are an integral part of these financial statements. -982-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (31.8%) APPLE INC CITRIX SYSTEMS INC EBAY INC EMC CORP/MA GOOGLE INC CL A INTEL CORP JABIL CIRCUIT INC MASTERCARD INC CLASS A ORACLE CORP QUALCOMM INC
1,620 10,550 22,750 37,550 2,325 35,500 47,050 2,150 26,650 19,550
Fair Value
$
863,509 693,662 1,160,705 950,015 1,649,285 732,365 907,595 1,056,252 887,978 1,212,491 10,113,857
$ 30,830,142
Total common stocks (Cost $25,016,916)
The accompanying notes are an integral part of these financial statements. -983-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks
Total
Level 1
$ 30,830,142
$ 30,830,142
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $13,166,113 and $12,870,934, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -984-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class L Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
$
$
Purchases 7,020 1,585,159 215,446 73,479 236,134 27,745 90,439 4,837 2,666 17,456,208 63,981 6,914,739 5,066,124 771,867 846,619 343,464 131,610 33,837,537
Redemptions (60,243) (21,975,496) (4,402,776) (2,290,201) (2,110,783) (336,306) (148,745) (116,033) (163,217) (1,329,221) (646) (855,058) (426,368) (57,374) (136,208) (19,753) (3,824) $ (34,432,252)
$
Units
$
$
Net change (53,223) (20,390,337) (4,187,330) (2,216,722) (1,874,649) (308,561) (58,306) (111,196) (160,551) 16,126,987 63,335 6,059,681 4,639,756 714,493 710,411 323,711 127,786 (594,715)
Purchases 648 122,413 14,469 5,299 18,151 2,271 8,492 409 266 1,619,753 6,374 688,931 536,198 73,016 81,820 33,555 12,956 3,225,021
Redemptions (5,454) (1,750,456) (307,220) (176,528) (155,176) (26,875) (13,602) (10,088) (15,833) (116,842) (59) (79,839) (42,977) (5,025) (12,446) (1,897) (376) (2,720,693)
The accompanying notes are an integral part of these financial statements. -985-
Net change (4,806) (1,628,043) (292,751) (171,229) (137,025) (24,604) (5,110) (9,679) (15,567) 1,502,911 6,315 609,092 493,221 67,991 69,374 31,658 12,580 504,328
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap GARP (Argent) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (g) Class G (h) Class L (i) Class Q (j) Class R1 Class R2 (k) Class R3 (l) Class R4 (m) Class R5 (n) Class R6 (k) Class R7 (o) Class R8 (p)
NAV per Unit, Beginning of Period $ 10.3626 11.5720 13.3008 12.5012 11.9503 11.0603 9.6984 10.6965 9.3806 9.8174 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ (0.0113) (0.0320) (0.0435) (0.0215) (0.0493) (0.0344) (0.0472) (0.0103) (0.0053) (0.0212) (0.0149) (0.0162) (0.0261) (0.0383) (0.0246) (0.0367) (0.0258)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.6942 2.1234 2.6434 1.0350 2.2190 1.6164 1.8430 0.8155 1.1362 2.0033 1.2666 1.0753 0.4946 1.7274 1.2320 0.5679 0.8054
Total from Investment Activities $ 0.6829 2.0914 2.5999 1.0135 2.1697 1.5820 1.7958 0.8052 1.1309 1.9821 1.2517 1.0591 0.4685 1.6891 1.2074 0.5312 0.7796
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through May 31, 2012
(c)
For the period from January 1, 2012 through November 26, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through June 8, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through August 30, 2012
(h)
For the period from January 1, 2012 through December 12, 2012
(i)
For the period from January 1, 2012 through June 7, 2012
(j)
For the period from January 1, 2012 through March 7, 2012
(k)
For the period from June 1, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from June 11, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from March 2, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(o)
For the period from March 1, 2012 (commencement of this class) through December 31, 2012
(p)
For the period from June 20, 2012 (commencement of this class) through December 31, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7995 11.2517 11.0591 10.4685 11.6891 11.2074 10.5312 10.7796
Total Return 6.59 18.07 19.55 8.11 18.16 14.30 18.52 7.53 12.06 20.19 12.52 10.59 4.69 16.89 12.07 5.31 7.80
% % % % % % % % % % % % % % % % %
Net Expenses (0.50)% (1.20)% (1.41)% (0.78)% (1.79)% (1.38)% (2.11)% (0.44)% (0.25)% (0.93)% (0.66)% (0.73)% (1.21)% (1.68)% (1.10)% (1.69)% (1.18)%
The accompanying notes are an integral part of these financial statements. -986-
Net Investment Income (Loss) (0.11)% (0.25)% (0.30)% (0.17)% (0.38)% (0.29)% (0.45)% (0.09)% (0.05)% (0.20)% (0.14)% (0.15)% (0.26)% (0.35)% (0.23)% (0.36)% (0.25)%
FMT Large Cap Intrinsic Value (MetWest) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 167,762,339 5,646,557 200,626 173,609,522
Liabilities Agency fees Sub-advisor fees Total liabilities
111,475 66,145 177,620 $ 173,431,902
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 4,299,280 773,988 2,012,068 969,939 1,144,200 732,805 355,554 215,165
NAV per Unit $ 12.8777 $ 12.0099 $ 11.8136 $ 11.7923 $ 12.3965 $ 11.9151 $ 11.9014 $ 11.9289
Net Assets $ 55,365,017 9,295,484 23,769,798 11,437,844 14,184,128 8,731,431 4,231,606 2,566,676 17,971,702 2,925,790 4,599,193 6,993,490 6,764,340 2,099,975 1,411,902 989,136 94,390 $ 173,431,902
The accompanying notes are an integral part of these financial statements. -987-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $4,561) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
3,481,038 10,491 3,491,529 1,590,747 766,504 25,837 5,400 2,388,488
Net investment income
1,103,041
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
47,647,549 36,225,923
Net realized gain from investments sold
11,421,626
Change in net unrealized appreciation (depreciation) on investments
15,906,113
Net realized and unrealized gain on investments
27,327,739
Other operating credits (charges)
43,042
Net increase in net assets resulting from operations
$ 28,473,822
The accompanying notes are an integral part of these financial statements. -988-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,103,041
Net realized gain from investments sold
11,421,626
Change in net unrealized appreciation (depreciation) on investments
15,906,113 43,042
Other operating credits (charges)
28,473,822
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
193,993,423 204,449,575
Decrease in net assets from participant transactions
(10,456,152)
Total increase in net assets
18,017,670 155,414,232
Net assets at beginning of year
$ 173,431,902
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -989-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (94.5%) Consumer Discretionary (12.2%) HOME DEPOT INC TIFFANY + CO TIME WARNER INC TRW AUTOMOTIVE HOLDINGS CORP WALT DISNEY CO/THE
86,500 27,000 115,900 80,000 89,000
Consumer Staples (10.1%) HJ HEINZ CO HERSHEY CO/THE PEPSICO INC UNILEVER N V NY SHARES Energy (8.6%) HESS CORP OCCIDENTAL PETROLEUM CORP QEP RESOURCES INC SCHLUMBERGER LTD Financial (17.3%) FRANKLIN RESOURCES INC JPMORGAN CHASE + CO M + T BANK CORP NORTHERN TRUST CORP SCHWAB (CHARLES) CORP SUNTRUST BANKS INC ZIONS BANCORPORATION Health Care (9.6%) ABBOTT LABORATORIES BAXTER INTERNATIONAL INC CIGNA CORP HOSPIRA INC
Fair Value
$
67,900 53,000 71,000 127,100
3,916,472 3,827,660 4,858,530 4,867,930 17,470,592
78,100 60,000 87,000 50,000
4,136,176 4,596,600 2,633,490 3,464,500 14,830,766
29,000 97,400 42,000 86,300 317,000 143,000 239,700
3,645,300 4,282,678 4,135,740 4,328,808 4,552,120 4,054,050 5,129,580 30,128,276
76,200 67,000 97,100 62,900
4,991,100 4,466,220 5,190,966 1,964,996 16,613,282
The accompanying notes are an integral part of these financial statements. -990-
5,350,025 1,548,180 5,543,497 4,288,800 4,431,310 21,161,812
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Industrial (12.2%) BOEING CO/THE DEERE + CO HUNTINGTON INGALLS INDUSTRIE NORTHROP GRUMMAN CORP SPX CORP UNITED PARCEL SERVICE CL B
54,000 44,000 38,900 64,300 46,200 55,500
Information Technology (18.5%) APPLE INC EMC CORP/MA EBAY INC INTL BUSINESS MACHINES CORP INTUIT INC ORACLE CORP QUALCOMM INC TEXAS INSTRUMENTS INC
8,000 176,000 58,000 22,900 73,900 139,000 64,200 104,000
4,264,240 4,452,800 2,959,160 4,386,495 4,397,050 4,631,480 3,981,684 3,217,760 32,290,669
Materials (1.9%) AIR PRODUCTS + CHEMICALS INC
37,330
3,136,467
Utilities (4.1%) NEXTERA ENERGY INC NORTHEAST UTILITIES
77,000 44,000
5,327,630 1,719,520 7,047,150
Total common stocks (Cost $130,823,024)
$
4,069,440 3,802,480 1,685,926 4,345,394 3,240,930 4,092,015 21,236,185
163,915,199
Depository receipts (2.2%) Consumer Staples DIAGEO PLC SPONSORED ADR (Cost $2,128,793)
33,000
3,847,140 $167,762,339
Total Investments (Cost $132,951,817)
The accompanying notes are an integral part of these financial statements. -991-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Selected Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
$163,915,199 $163,915,199 $ 3,847,140 3,847,140 $167,762,339 $167,762,339 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $38,594,811 and $47,647,549, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -992-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 264,789 1,004,706 3,026,417 2,374,135 1,088,963 499,614 542,573 3,344 187,193 92,711 416,552 1,793 438,273 2,927,382 100,969 182,974 55,265,376 8,150,304 25,124,628 11,154,958 13,242,128 10,643,863 4,105,063 2,580,523 459,313 403,412 164,974 223,799 219,938 1,473,967 1,513,790 592,236 437,143 334,308 21,750 144,816 70,149 28,262 60,901 88,204 637,983 11,319 81,194 18,189,139 2,026,135 4,490,498 6,670,507 6,931,755 2,328,077 1,450,359 1,086,447 211,512 155,605 57,400 9,300 193,993,423
Redemptions (5,014,875) (20,405,799) (24,487,919) (18,956,370) (15,195,076) (8,373,022) (5,316,934) (75,721) (2,110,322) (479,543) (693,049) (26,909) (7,188,935) (13,379,676) (1,764,386) (2,218,216) (3,278,973) (1,435,876) (3,704,804) (2,329,053) (2,038,244) (3,202,784) (1,442,729) (504,102) (3,517,525) (3,934,186) (1,956,477) (1,898,517) (2,197,317) (6,536,481) (10,121,109) (4,691,075) (3,213,835) (2,342,658) (193,854) (705,824) (477,690) (189,360) (663,468) (915,373) (4,062,173) (283,495) (1,433,143) (1,272,919) (1,063,029) (499,579) (1,399,941) (1,533,804) (590,572) (467,936) (247,847) (1,777,938) (2,081,312) (522,048) (35,773) $ (204,449,575)
$
Units
$
$
Net change (4,750,086) (19,401,093) (21,461,502) (16,582,235) (14,106,113) (7,873,408) (4,774,361) (72,377) (1,923,129) (386,832) (276,497) (25,116) (6,750,662) (10,452,294) (1,663,417) (2,035,242) 51,986,403 6,714,428 21,419,824 8,825,905 11,203,884 7,441,079 2,662,334 2,076,421 (3,058,212) (3,530,774) (1,791,503) (1,674,718) (1,977,379) (5,062,514) (8,607,319) (4,098,839) (2,776,692) (2,008,350) (172,104) (561,008) (407,541) (161,098) (602,567) (827,169) (3,424,190) (272,176) (1,351,949) 16,916,220 963,106 3,990,919 5,270,566 5,397,951 1,737,505 982,423 838,600 (1,566,426) (1,925,707) (464,648) (26,473) (10,456,152)
Purchases 12,276 34,375 116,199 91,251 46,504 18,791 24,734 266 11,524 6,819 35,849 160 39,980 269,900 7,993 13,543 4,444,022 748,313 2,286,527 1,041,955 1,171,989 996,553 377,340 231,897 35,258 31,136 13,022 12,108,176
Redemptions (233,063) (695,882) (931,039) (742,601) (640,946) (311,940) (232,206) (5,770) (124,085) (35,344) (55,260) (2,245) (638,780) (1,165,359) (143,477) (159,580) (265,479) (125,086) (328,696) (207,914) (174,814) (279,430) (124,122) (43,719) (266,688) (293,972) (155,618) (8,383,115)
The accompanying notes are an integral part of these financial statements. -993-
Net change (220,787) (661,507) (814,840) (651,350) (594,442) (293,149) (207,472) (5,504) (112,561) (28,525) (19,411) (2,085) (598,800) (895,459) (135,484) (146,037) 4,178,543 623,227 1,957,831 834,041 997,175 717,123 253,218 188,178 (231,430) (262,836) (142,596) 3,725,061
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Intrinsic Value (MetWest) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 19.6822 26.8160 23.4802 23.4499 21.6030 24.2296 20.3989 11.3927 15.0071 12.0720 10.8011 10.2758 10.1868 10.1116 11.4044 12.2430 10.7829 10.0782 9.9302 9.9290 10.4555 10.0665 10.0718 10.1121 11.9266 11.9572 11.6842
Net Investment Income (Loss)(a) $ 0.1018 0.1609 0.1630 0.1834 0.1882 0.2307 0.2125 0.1234 0.1814 0.1555 0.0456 0.0456 0.0544 0.0679 0.0538 0.0784 0.0485 0.0569 0.0651 0.0745 0.0878 0.0938 0.1027 0.1128 0.0877 0.0980 0.1023
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 3.4327 4.6061 4.0970 4.0317 3.5237 4.0287 3.3388 1.6132 2.2894 1.8097 1.8106 1.6614 1.6166 1.7145 1.8351 2.1580 2.0463 1.8748 1.8183 1.7888 1.8532 1.7548 1.7269 1.7040 1.9973 2.0420 1.7289
Total from Investment Activities $ 3.5345 4.7670 4.2600 4.2151 3.7119 4.2594 3.5513 1.7366 2.4708 1.9652 1.8562 1.7070 1.6710 1.7824 1.8889 2.2364 2.0948 1.9317 1.8834 1.8633 1.9410 1.8486 1.8296 1.8168 2.0850 2.1400 1.8312
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.8777 12.0099 11.8136 11.7923 12.3965 11.9151 11.9014 11.9289 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 26, 2012
Total Return 17.96 17.78 18.14 17.97 17.18 17.58 17.41 15.24 16.46 16.28 17.19 16.61 16.40 17.63 16.56 18.27 19.43 19.17 18.97 18.77 18.56 18.36 18.17 17.97 17.48 17.90 15.67
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.99)% (1.15)% (1.33)% (1.50)% (1.67)% (1.82)% (2.00)% (2.10)% (2.33)% (2.48)% (0.81)% (0.85)% (1.03)% (1.29)% (0.91)% (1.22)% (0.85)% (1.07)% (1.25)% (1.43)% (1.60)% (1.78)% (1.95)% (2.13)% (1.41)% (1.57)% (1.69)%
The accompanying notes are an integral part of these financial statements. -994-
Net Investment Income (Loss) 0.47 % 0.55 % 0.64 % 0.72 % 0.80 % 0.88 % 0.96 % 1.01 % 1.12 % 1.19 % 0.39 % 0.41 % 0.49 % 0.62 % 0.44 % 0.59 % 0.41 % 0.52 % 0.60 % 0.69 % 0.77 % 0.85 % 0.93 % 1.02 % 0.68 % 0.75 % 0.81 %
FMT Large Cap Opportunities (Smith Group) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$ 66,582,733 13,163 1,313,530 44,090 67,953,516
Liabilities Agency fees Sub-advisor fees Total liabilities
47,016 23,393 70,409 $ 67,883,107
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 963,465 128,797 376,162 225,265 291,246 182,703 11,467 95,944
NAV per Unit $ 10.2845 $ 11.3476 $ 11.0827 $ 10.8802 $ 10.7112 $ 10.9760 $ 11.5352 $ 11.4299
Net Assets $ 9,908,765 1,461,538 4,168,893 2,450,939 3,119,585 2,005,343 132,275 1,096,629 17,850,747 2,901,825 4,567,039 6,942,579 6,715,521 2,084,474 1,401,411 981,860 93,684 $ 67,883,107
The accompanying notes are an integral part of these financial statements. -995-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
1,128,906 1,160 1,130,066 704,575 292,518 15,911 5,400 1,018,404
Net investment income
111,662
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
58,246,767 51,975,923
Net realized gain from investments sold
6,270,844
Change in net unrealized appreciation (depreciation) on investments
1,558,981
Net realized and unrealized gain on investments
7,829,825
Other operating credits (charges)
5,716
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -996-
7,947,203
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
111,662
Net realized gain from investments sold
6,270,844
Change in net unrealized appreciation (depreciation) on investments
1,558,981 5,716
Other operating credits (charges)
7,947,203
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
84,659,718 94,032,005 (9,372,287)
Decrease in net assets from participant transactions Total decrease in net assets
(1,425,084)
Net assets at beginning of year
69,308,191 $ 67,883,107
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -997-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (98.1%) Consumer Discretionary (14.5%) BED BATH + BEYOND INC HOME DEPOT INC MATTEL INC ROSS STORES INC TUPPERWARE BRANDS CORP WABTEC CORP
29,200 26,400 45,600 27,700 26,400 19,300
Consumer Staples (12.3%) COSTCO WHOLESALE CORP INGREDION INC KIMBERLY CLARK CORP KROGER CO WHOLE FOODS MARKET INC
16,500 26,000 19,900 64,800 18,300
1,629,705 1,675,180 1,680,157 1,686,096 1,671,339 8,342,477
Energy (12.1%) CHEVRON CORP EXXON MOBIL CORP HELMERICH + PAYNE NATIONAL OILWELL VARCO INC OCCIDENTAL PETROLEUM CORP
15,600 19,400 30,800 22,000 21,200
1,686,984 1,679,070 1,725,108 1,503,700 1,624,132 8,218,994
Financial (12.5%) AMERICAN EXPRESS CO EAST WEST BANCORP INC JPMORGAN CHASE + CO TRAVELERS COS INC/THE US BANCORP
29,600 79,000 38,700 23,500 52,800
1,701,408 1,697,710 1,701,639 1,687,770 1,686,432 8,474,959
Health Care (14.8%) COOPER COS INC/THE JOHNSON + JOHNSON MCKESSON CORP OMNICARE INC RESMED INC WATSON PHARMACEUTICALS INC
18,100 24,000 17,400 46,900 40,800 18,700
1,673,888 1,682,400 1,687,104 1,693,090 1,696,056 1,608,200
$
The accompanying notes are an integral part of these financial statements. -998-
1,632,572 1,632,840 1,669,872 1,499,955 1,692,240 1,689,522 9,817,001
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Health Care (Continued) $ 10,040,738 Industrial (7.5%) ALASKA AIR GROUP INC AMETEK INC ROBERT HALF INTL INC Information Technology (19.6%) ACCENTURE PLC CL A BROCADE COMMUNICATIONS SYS CADENCE DESIGN SYS INC IAC/INTERACTIVECORP INTL BUSINESS MACHINES CORP MOTOROLA SOLUTIONS INC NUANCE COMMUNICATIONS INC ORACLE CORP Materials (2.4%) CF INDUSTRIES HOLDINGS INC Utilities (2.4%) CENTERPOINT ENERGY INC
39,000 45,000 53,300
1,680,510 1,690,650 1,696,006 5,067,166
25,200 299,100 125,100 36,100 8,700 30,800 73,400 50,600
1,675,800 1,594,203 1,690,101 1,707,530 1,666,485 1,714,944 1,638,288 1,685,992 13,373,343
8,000
1,625,280
84,300
1,622,775 $ 66,582,733
Total common stocks (Cost $56,790,580)
The accompanying notes are an integral part of these financial statements. -999-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks
Total
Level 1
$ 66,582,733
$ 66,582,733
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $49,069,676 and $58,246,767, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1000-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 193,413 135,110 425,281 622,483 605,940 239,042 911,127 21,919 325,804 33,714 57,630 5,056 28,892 48,171 87,335 291 10,095,351 5,176,342 4,513,216 2,600,691 3,341,653 2,220,251 162,050 1,491,400 102,873 317 264,184 242,768 1,524,148 1,641,250 652,737 479,738 371,683 24,185 153,369 79,944 34,504 85,241 90,636 678,979 11,418 91,703 18,270,027 2,167,654 4,647,361 6,953,683 7,199,848 2,416,804 1,508,199 1,127,830 244,155 179,775 63,243 9,300 84,659,718
Redemptions (5,443,326) (4,444,212) (4,258,147) (6,093,409) (4,758,870) (2,073,385) (2,992,979) (174,730) (1,363,891) (165,638) (1,527,925) (52,549) (1,201,050) (990,295) (765,791) (30,247) (206,160) (4,126,439) (490,141) (296,411) (353,676) (302,151) (39,928) (411,897) (370,783) (13,573) (1,886,733) (2,185,442) (6,545,723) (10,081,255) (4,674,204) (3,201,584) (2,336,053) (193,016) (701,774) (473,731) (187,472) (658,024) (911,600) (3,992,576) (287,007) (1,404,301) (1,255,093) (1,043,153) (489,715) (1,368,425) (1,510,718) (583,129) (456,000) (242,272) (1,772,681) (2,090,979) (520,878) (30,864) $ (94,032,005)
$
Units
$
$
Net change (5,249,913) (4,309,102) (3,832,866) (5,470,926) (4,152,930) (1,834,343) (2,081,852) (152,811) (1,038,087) (131,924) (1,470,295) (47,493) (1,172,158) (942,124) (678,456) (29,956) 9,889,191 1,049,903 4,023,075 2,304,280 2,987,977 1,918,100 122,122 1,079,503 (267,910) (13,256) (1,622,549) (1,942,674) (5,021,575) (8,440,005) (4,021,467) (2,721,846) (1,964,370) (168,831) (548,405) (393,787) (152,968) (572,783) (820,964) (3,313,597) (275,589) (1,312,598) 17,014,934 1,124,501 4,157,646 5,585,258 5,689,130 1,833,675 1,052,199 885,558 (1,528,526) (1,911,204) (457,635) (21,564) (9,372,287)
Purchases 13,300 9,378 29,667 32,403 39,296 15,783 60,851 1,662 25,274 3,169 5,441 442 1,879 5,154 6,354 27 983,734 496,661 421,275 253,034 325,623 210,125 14,802 131,778 7,660 24 3,094,796
Redemptions (388,089) (306,195) (296,750) (321,885) (309,533) (137,448) (205,106) (13,526) (107,241) (15,238) (143,224) (4,600) (79,621) (104,107) (55,075) (2,695) (20,269) (368,025) (45,113) (27,769) (34,377) (27,422) (3,571) (36,738) (26,956) (985) (3,081,558)
The accompanying notes are an integral part of these financial statements. -1001-
Net change (374,789) (296,817) (267,083) (289,482) (270,237) (121,665) (144,255) (11,864) (81,967) (12,069) (137,783) (4,158) (77,742) (98,953) (48,721) (2,668) 963,465 128,636 376,162 225,265 291,246 182,703 11,231 95,040 (19,296) (961) 13,238
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Opportunities (Smith Group) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (g) Class O (e) Class P (f) Class Q (h) Class R1 (i) Class R2 Class R3 (j) Class R4 (k) Class R5 (l) Class R6 (m) Class R7 Class R8 Class S (b) Class T (d)
NAV per Unit, Beginning of Period $ 13.5059 13.3377 13.1723 17.5513 14.0638 13.7885 13.3980 12.2654 11.5961 9.7724 9.6229 10.3308 14.1727 8.7065 12.5884 10.2914 10.0000 10.0593 10.0000 10.0000 10.0000 10.0000 10.3125 10.2358 12.5489 12.2545
Net Investment Income (Loss)(a) $ 0.0156 0.0180 0.0205 0.0309 0.0277 0.0298 0.0317 0.0301 0.0318 0.0288 0.0087 0.0100 0.0070 0.0130 0.0129 0.0024 0.0078 0.0122 0.0139 0.0155 0.0170 0.0199 0.0237 0.0256 0.0208 0.0226
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7173 1.6690 1.7108 2.1747 1.6074 1.7080 1.5795 1.1093 1.2900 1.0678 1.0148 1.0835 0.8845 1.0360 1.3132 1.0113 0.2767 1.2761 1.0688 0.8647 0.6942 0.9561 1.1990 1.1685 1.5321 1.5079
Total from Investment Activities $ 1.7329 1.6870 1.7313 2.2056 1.6351 1.7378 1.6112 1.1394 1.3218 1.0966 1.0235 1.0935 0.8915 1.0490 1.3261 1.0137 0.2845 1.2883 1.0827 0.8802 0.7112 0.9760 1.2227 1.1941 1.5529 1.5305
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2845 11.3476 11.0827 10.8802 10.7112 10.9760 11.5352 11.4299 -
Total Return 12.83 12.65 13.14 12.57 11.63 12.60 12.03 9.29 11.40 11.22 10.64 10.58 6.29 12.05 10.53 9.85 2.85 12.81 10.83 8.80 7.11 9.76 11.86 11.67 12.37 12.49
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.99)% (1.16)% (1.33)% (1.51)% (1.69)% (1.85)% (2.03)% (2.13)% (2.37)% (2.54)% (0.78)% (0.84)% (0.43)% (1.29)% (0.89)% (0.20)% (0.70)% (1.04)% (1.20)% (1.35)% (1.50)% (1.73)% (1.97)% (2.15)% (1.42)% (1.58)%
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 15, 2012
(h)
For the period from January 1, 2012 through February 24, 2012
(i)
For the period from February 27, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1002-
Net Investment Income (Loss) 0.11 % 0.13 % 0.15 % 0.17 % 0.19 % 0.20 % 0.22 % 0.23 % 0.26 % 0.28 % 0.09 % 0.09 % 0.05 % 0.14 % 0.10 % 0.02 % 0.08 % 0.11 % 0.13 % 0.15 % 0.16 % 0.19 % 0.22 % 0.24 % 0.16 % 0.17 %
FMT Large Cap Value Opportunities (NWQ) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Dividend tax reclaim Total assets
$ 33,615,555 158,995 279,775 42,994 3,937 34,101,256
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
83,729 22,889 13,033 119,651 $ 33,981,605
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,700,602 147,227 250,552 443,731 471,904 152,525 79,939 53,243
NAV per Unit $ 9.7942 $ 10.7763 $ 10.6533 $ 10.6343 $ 11.2439 $ 10.6612 $ 10.5458 $ 10.8159
Net Assets $ 16,656,067 1,586,563 2,669,198 4,718,762 5,306,019 1,626,107 843,014 575,875 $ 33,981,605
The accompanying notes are an integral part of these financial statements. -1003-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
1,501,225 1,209 1,502,434 703,070 315,512 16,634 5,400 1,040,616
Net investment income
461,818
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
66,589,767 64,512,639
Net realized gain from investments sold
2,077,128
Change in net unrealized appreciation (depreciation) on investments
4,447,846
Net realized and unrealized gain on investments
6,524,974
Other operating credits (charges)
280
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1004-
6,987,072
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
461,818
Net realized gain from investments sold
2,077,128
Change in net unrealized appreciation (depreciation) on investments
4,447,846 280
Other operating credits (charges)
6,987,072
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
67,577,970 123,417,095
Decrease in net assets from participant transactions Total decrease in net assets
(55,839,125) (48,852,053) 82,833,658
Net assets at beginning of year
$ 33,981,605
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1005-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (88.3%) Consumer Discretionary (9.3%) GENERAL MOTORS CO TIME WARNER INC VIACOM INC CLASS B
38,000 20,000 20,900
Consumer Staples (3.0%) CVS CAREMARK CORP PHILIP MORRIS INTERNATIONAL
Fair Value
$
1,095,540 956,600 1,102,266 3,154,406
14,600 3,900
705,910 326,196 1,032,106
16,500 41,678 16,900 3,700 5,600 114,700
1,295,250 1,203,244 586,261 376,438 429,016 1,299,551 5,189,760
Financial (32.1%) AMERICAN INTERNATIONAL GROUP AON PLC CAPITAL ONE FINANCIAL CORP CITIGROUP INC GOLDMAN SACHS GROUP INC HARTFORD FINANCIAL SVCS GRP JPMORGAN CHASE + CO LINCOLN NATIONAL CORP LOEWS CORP METLIFE INC UNUM GROUP WELLS FARGO + CO
34,700 14,050 10,400 31,680 7,150 59,700 15,900 13,400 17,500 31,815 55,800 24,600
1,224,910 781,180 602,472 1,253,261 912,054 1,339,668 699,123 347,060 713,125 1,047,986 1,161,756 840,828 10,923,423
Health Care (5.1%) MERCK + CO. INC. PFIZER INC
13,500 46,590
552,690 1,168,477 1,721,167
Energy (15.3%) APACHE CORP CANADIAN NATURAL RESOURCES HALLIBURTON CO NOBLE ENERGY INC OCCIDENTAL PETROLEUM CORP TALISMAN ENERGY INC
The accompanying notes are an integral part of these financial statements. -1006-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (6.9%) INGERSOLL RAND PLC PACCAR INC PITNEY BOWES INC RAYTHEON COMPANY UNION PACIFIC CORP
10,700 11,250 17,300 9,800 4,600
Fair Value
$
513,172 508,612 184,072 564,088 578,312 2,348,256
Information Technology (11.3%) APPLIED MATERIALS INC CA INC CISCO SYSTEMS INC MICROSOFT CORP
38,200 63,700 61,900 29,000
437,008 1,400,126 1,216,335 775,170 3,828,639
Materials (4.0%) BARRICK GOLD CORP MOSAIC CO/THE
21,400 10,600
749,214 600,278 1,349,492
Utilities (1.3%) NRG ENERGY INC
19,400
446,006
Total common stocks (Cost $28,793,426)
29,993,255
Depository receipts (10.7%) Health Care (7.2%) SANOFI ADR TEVA PHARMACEUTICAL SP ADR Materials (3.5%) ANGLOGOLD ASHANTI SPON ADR
34,200 22,000
1,620,336 821,480 2,441,816
37,631
1,180,484
Total depository receipts (Cost $3,619,197)
3,622,300 $ 33,615,555
Total Investments (Cost $32,412,623)
The accompanying notes are an integral part of these financial statements. -1007-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
$ 29,993,255 $ 29,993,255 $ 3,622,300 3,622,300 $ 33,615,555 $ 33,615,555 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $13,266,265 and $66,589,767, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1008-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 68,319 288,740 356,842 578,593 411,864 208,216 147,287 10,816 81,855 48,965 29,786 82,970 18,281 40,624 15,294,589 1,615,702 2,727,557 5,927,085 6,169,210 2,535,909 1,402,094 661,917 485,604 45,479 287,169 173,982 166,972 1,316,484 1,176,458 469,750 331,373 259,440 14,899 108,713 43,480 19,800 45,600 70,071 472,632 10,883 62,234 1,364,025 1,777,182 3,609,217 6,006,834 5,999,926 1,998,775 1,244,437 976,385 165,121 113,728 46,291 7,805 67,577,970
Redemptions (831,372) (3,081,249) (8,910,895) (11,092,285) (6,552,292) (3,757,353) (2,656,004) (114,662) (862,032) (353,838) (607,783) (1,775,892) (642,691) (3,405) (1,028,404) (767,125) (233,118) (744,412) (2,153,375) (1,411,907) (1,060,860) (638,974) (181,266) (1,717,519) (935,046) (948,606) (1,765,398) (2,059,042) (6,208,721) (9,423,552) (4,407,308) (2,982,649) (2,186,929) (183,985) (642,587) (432,899) (171,312) (614,044) (864,745) (3,734,445) (286,099) (1,355,530) (2,083,733) (3,515,437) (4,019,320) (7,284,204) (6,952,333) (2,243,356) (1,587,684) (1,061,368) (1,661,409) (2,000,289) (506,633) (119,719) $ (123,417,095)
$
Units
$
$
Net change (763,053) (2,792,509) (8,554,053) (10,513,692) (6,140,428) (3,549,137) (2,508,717) (103,846) (780,177) (304,873) (577,997) (1,692,922) (624,410) (3,405) (987,780) 14,527,464 1,382,584 1,983,145 3,773,710 4,757,303 1,475,049 763,120 480,651 (1,231,915) (889,567) (661,437) (1,591,416) (1,892,070) (4,892,237) (8,247,094) (3,937,558) (2,651,276) (1,927,489) (169,086) (533,874) (389,419) (151,512) (568,444) (794,674) (3,261,813) (275,216) (1,293,296) (719,708) (1,738,255) (410,103) (1,277,370) (952,407) (244,581) (343,247) (84,983) (1,496,288) (1,886,561) (460,342) (111,914) (55,839,125)
Purchases 6,048 25,462 31,879 52,301 37,461 19,498 13,889 1,002 7,958 5,419 2,902 5,361 1,993 3,360 1,581,187 145,796 271,990 592,101 563,663 243,849 136,794 64,770 40,697 3,920 24,735 3,884,035
Redemptions (72,346) (274,558) (807,449) (1,015,852) (604,716) (351,021) (251,389) (10,672) (83,871) (39,503) (62,277) (113,308) (71,577) (372) (93,330) (79,437) (21,999) (71,433) (212,643) (127,384) (102,701) (62,638) (17,181) (153,382) (81,331) (82,224) (4,864,594)
The accompanying notes are an integral part of these financial statements. -1009-
Net change (66,298) (249,096) (775,570) (963,551) (567,255) (331,523) (237,500) (9,670) (75,913) (34,084) (59,375) (107,947) (69,584) (372) (89,970) 1,501,750 123,797 200,557 379,458 436,279 141,148 74,156 47,589 (112,685) (77,411) (57,489) (980,559)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Value Opportunities (NWQ) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class P (f) Class Q (g) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 10.7496 10.6203 10.4934 10.3672 10.2426 10.1198 9.9985 10.3489 9.7598 8.5000 9.2706 14.0464 8.5291 8.7103 11.0357 8.9933 9.9165 9.8203 9.8192 10.3998 9.8777 9.7872 10.0549 10.8312 10.8923 10.8489
Net Investment Income (Loss)(a) $ 0.0506 0.0584 0.0663 0.0738 0.0815 0.0878 0.0950 0.1010 0.1065 0.0992 0.0349 0.0699 0.0520 0.3480 0.0502 0.0360 0.0490 0.0569 0.0650 0.0774 0.0812 0.0883 0.0989 0.0724 0.0806 0.0868
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7080 0.6729 0.7125 0.7018 0.5883 0.6111 0.6012 0.2884 0.4495 0.3706 0.4331 0.6054 0.5404 0.4009 1.2450 0.7649 0.8108 0.7761 0.7501 0.7667 0.7023 0.6703 0.6621 0.6453 0.7264 0.3634
Total from Investment Activities $ 0.7586 0.7313 0.7788 0.7756 0.6698 0.6989 0.6962 0.3894 0.5560 0.4698 0.4680 0.6753 0.5924 0.4357 1.2952 0.8009 0.8598 0.8330 0.8151 0.8441 0.7835 0.7586 0.7610 0.7177 0.8070 0.4502
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.7942 10.7763 10.6533 10.6343 11.2439 10.6612 10.5458 10.8159 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through September 21, 2012
Total Return 7.06 6.89 7.42 7.48 6.54 6.91 6.96 3.76 5.70 5.53 5.05 4.81 6.95 5.00 11.74 8.91 8.67 8.48 8.30 8.12 7.93 7.75 7.57 6.63 7.41 4.15
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.03)% (1.20)% (1.38)% (1.55)% (1.74)% (1.89)% (2.07)% (2.16)% (2.40)% (2.56)% (0.83)% (1.10)% (1.33)% (0.88)% (0.97)% (0.87)% (1.07)% (1.26)% (1.44)% (1.62)% (1.79)% (1.96)% (2.14)% (1.46)% (1.61)% (1.77)%
The accompanying notes are an integral part of these financial statements. -1010-
Net Investment Income (Loss) 0.45 % 0.53 % 0.61 % 0.69 % 0.77 % 0.84 % 0.92 % 0.96 % 1.06 % 1.14 % 0.37 % 0.49 % 0.59 % 0.39 % 0.43 % 0.38 % 0.47 % 0.56 % 0.64 % 0.72 % 0.79 % 0.87 % 0.95 % 0.65 % 0.71 % 0.78 %
FMT Mid Cap Growth (Disciplined Growth Investors) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 39,547,332 422,664 24 39,970,020
Liabilities Payables Agency fees Sub-advisor fees Total liabilities
24,667 20,184 44,851 $ 39,925,169
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 226,289 1,313,551 43,968 60,087 170,533 108,974 58,838 1,990
NAV per Unit $ 11.2171 $ 10.0811 $ 11.3735 $ 11.7849 $ 11.7653 $ 10.9809 $ 11.8655 $ 11.8454
Net Assets $ 2,538,297 13,242,103 500,072 708,118 2,006,361 1,196,628 698,143 23,572 7,808,908 1,379,690 2,110,352 3,058,069 2,706,047 900,850 556,673 446,528 44,758 $ 39,925,169
The accompanying notes are an integral part of these financial statements. -1011-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
647,203 397 647,600 341,168 243,091 12,337 5,400 601,996
Net investment income
45,604
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
8,397,281 5,512,186
Net realized gain from investments sold
2,885,095
Change in net unrealized appreciation (depreciation) on investments
3,803,396
Net realized and unrealized gain on investments
6,688,491
Other operating credits (charges)
137
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1012-
6,734,232
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
45,604
Net realized gain from investments sold
2,885,095
Change in net unrealized appreciation (depreciation) on investments
3,803,396 137
Other operating credits (charges)
6,734,232
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
46,621,090 51,022,188 (4,401,098)
Decrease in net assets from participant transactions Total increase in net assets
2,333,134 37,592,035
Net assets at beginning of year
$ 39,925,169
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1013-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (96.5%) Consumer Discretionary (29.1%) CABELA S INC CHEESECAKE FACTORY INC/THE DOLBY LABORATORIES INC CL A DREAMWORKS ANIMATION SKG A ETHAN ALLEN INTERIORS INC GARMIN LTD GENTEX CORP LIMITED BRANDS INC RALPH LAUREN CORP ROYAL CARIBBEAN CRUISES LTD SELECT COMFORT CORPORATION TJX COMPANIES INC
26,100 14,065 13,725 31,010 39,125 21,230 47,115 29,335 6,820 24,000 42,675 48,830
Fair Value
$
1,089,675 460,207 402,554 513,836 1,005,904 866,609 886,704 1,380,505 1,022,454 816,000 1,116,805 2,072,833 11,634,086
Energy (3.0%) NOBLE CORP ULTRA PETROLEUM CORP
23,615 20,000
822,274 362,600 1,184,874
Financial (6.0%) E TRADE FINANCIAL CORP EATON CORP PLC JANUS CAPITAL GROUP INC TCF FINANCIAL CORP
25,685 23,700 54,085 34,100
229,881 1,284,540 460,804 414,315 2,389,540
Health Care (10.5%) ALIGN TECHNOLOGY INC EDWARDS LIFESCIENCES CORP INTUITIVE SURGICAL INC VARIAN MEDICAL SYSTEMS INC
15,000 22,000 1,685 13,865
416,250 1,983,740 826,273 973,878 4,200,141
Industrial (12.5%) BRADY CORPORATION CL A CORPORATE EXECUTIVE BOARD CO FACTSET RESEARCH SYSTEMS INC GRACO INC
11,535 16,310 9,650 8,325
385,269 774,073 849,779 428,654
The accompanying notes are an integral part of these financial statements. -1014-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) JETBLUE AIRWAYS CORP LANDSTAR SYSTEM INC MIDDLEBY CORP
63,465 19,100 9,360
Fair Value
$
362,385 1,001,986 1,200,046 5,002,192
Information Technology (33.6%) AKAMAI TECHNOLOGIES INC APPLE INC AUTODESK INC AVIAT NETWORKS INC INTUIT INC MICROCHIP TECHNOLOGY INC OPEN TEXT CORP PAYCHEX INC PLANTRONICS INC PLEXUS CORP SEAGATE TECHNOLOGY TRIMBLE NAVIGATION LTD VIASAT INC YAHOO INC
29,090 550 35,380 38,020 31,080 18,695 24,210 13,895 24,950 49,275 46,983 23,165 8,325 48,740
1,190,072 293,166 1,250,683 125,086 1,849,260 609,270 1,352,613 432,690 919,906 1,271,295 1,432,042 1,384,804 323,843 969,926 13,404,656
Telecommunication Services (1.8%) TW TELECOM INC
27,685
705,137
Total common stocks (Cost $28,537,351)
38,520,626
Depository receipts (2.6%) Information Technology ARM HOLDINGS PLC SPONS ADR
27,140
1,026,706
Total depository receipts (Cost $333,634)
1,026,706 $ 39,547,332
Total Investments (Cost $28,870,985)
The accompanying notes are an integral part of these financial statements. -1015-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
Level 2
Level 3
$ 38,520,626 $ 38,520,626 $ 1,026,706 1,026,706
- $ -
-
$ 39,547,332
- $
-
$ 39,547,332
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,254,753 and $8,397,281, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1016-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 532 3,100 85,818 73,267 35,966 66,286 8,164 32,456 3,186 621,858 595,726 4,391 34,959 2,099 2,533,735 14,795,757 498,912 1,019,798 1,953,421 1,889,617 686,093 53,665 1,866 53,432 4,944 83,544 95,947 664,816 602,757 245,133 162,396 131,363 7,734 61,353 23,861 10,790 24,359 38,718 284,963 5,476 32,930 7,906,973 962,988 2,096,469 2,973,557 2,838,281 1,029,858 585,698 518,318 87,494 57,747 23,942 4,577 46,621,090
Redemptions (52,365) (129,513) (1,335,050) (1,161,741) (1,179,366) (1,168,750) (109,243) (193,298) (44,853) (1,198,513) (1,047,872) (79,193) (14,573,044) (6,139) (51,543) (1,559,208) (27,075) (404,401) (128,962) (786,436) (197,125) (48,386) (43,092) (849,102) (665,715) (946,684) (1,079,616) (3,106,742) (4,437,574) (2,159,716) (1,302,764) (1,077,152) (88,319) (335,830) (215,823) (92,801) (333,186) (477,213) (2,017,262) (148,119) (724,394) (620,771) (519,211) (228,997) (666,123) (655,876) (277,832) (221,705) (120,067) (882,992) (1,013,481) (209,091) (22,862) $ (51,022,188)
$
Units
$
$
Net change (51,833) (126,413) (1,249,232) (1,088,474) (1,143,400) (1,102,464) (101,079) (160,842) (41,667) (576,655) (452,146) (74,802) (14,538,085) (4,040) 2,482,192 13,236,549 471,837 615,397 1,824,459 1,103,181 488,968 5,279 (41,226) (795,670) (660,771) (863,140) (983,669) (2,441,926) (3,834,817) (1,914,583) (1,140,368) (945,789) (80,585) (274,477) (191,962) (82,011) (308,827) (438,495) (1,732,299) (142,643) (691,464) 7,286,202 443,777 1,867,472 2,307,434 2,182,405 752,026 363,993 398,251 (795,498) (955,734) (185,149) (18,285) (4,401,098)
Purchases 48 264 6,477 5,417 2,512 4,870 697 2,472 277 54,305 58,536 367 2,183 150 230,364 1,482,164 46,440 95,437 181,743 184,238 64,478 4,675 147 3,756 429 2,432,446
Redemptions (4,226) (11,377) (101,849) (86,230) (83,544) (87,378) (9,030) (14,261) (3,790) (96,210) (89,533) (6,860) (847,437) (416) (4,666) (168,613) (2,472) (35,350) (11,210) (75,264) (16,556) (4,059) (3,329) (63,031) (55,797) (1,882,488)
The accompanying notes are an integral part of these financial statements. -1017-
Net change (4,178) (11,113) (95,372) (80,813) (81,032) (82,508) (8,333) (11,789) (3,513) (41,905) (30,997) (6,493) (845,254) (266) 225,698 1,313,551 43,968 60,087 170,533 108,974 47,922 616 (3,182) (59,275) (55,368) 549,958
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Growth (Disciplined Growth Investors) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (g) Class N (h) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 (i) Class R3 (j) Class R4 (k) Class R5 (k) Class R6 (l) Class R7 Class R8 Class S (b) Class T (d) Class U (m)
NAV per Unit, Beginning of Period $ 10.5285 10.5081 11.8386 12.2992 12.9018 12.3886 10.4075 11.9182 10.3479 10.7162 12.3490 10.0000 10.6579 14.6114 12.4536 9.4164 10.0000 10.0000 10.0000 10.0000 10.0000 10.0674 10.0673 11.0264 12.5898 11.0810
Net Investment Income (Loss)(a) $ 0.0107 0.0122 0.0154 0.0179 0.0207 0.0216 0.0198 0.0256 0.0241 0.0090 0.0066 0.0047 0.0135 0.0132 0.0152 0.0087 0.0072 0.0115 0.0138 0.0153 0.0145 0.0187 0.0205 0.0153 0.0192 0.0086
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.8703 1.8455 2.1585 2.1238 2.1103 2.1852 1.7338 1.9248 1.6509 1.6429 1.2098 0.7502 1.7920 2.2163 2.2863 1.7920 0.0739 1.3620 1.7711 1.7500 0.9664 1.7794 1.7576 1.9023 2.1638 0.8010
Total from Investment Activities $ 1.8810 1.8577 2.1739 2.1417 2.1310 2.2068 1.7536 1.9504 1.6750 1.6519 1.2164 0.7549 1.8055 2.2295 2.3015 1.8007 0.0811 1.3735 1.7849 1.7653 0.9809 1.7981 1.7781 1.9176 2.1830 0.8096
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through June 20, 2012
(h)
For the period from June 25, 2012 (recommencement of this class) through November 27, 2012
(i)
For the period from March 22, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 13, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through June 8, 2012
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.2171 10.0811 11.3735 11.7849 11.7653 10.9809 11.8655 11.8454 -
Total Return 17.87 17.68 18.36 17.41 16.52 17.81 16.85 16.36 16.19 15.41 9.85 7.55 16.94 15.26 18.48 19.12 0.81 13.74 17.85 17.65 9.81 17.86 17.66 17.39 17.34 7.31
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.22)% (1.39)% (1.56)% (1.75)% (1.94)% (2.09)% (2.29)% (2.59)% (2.81)% (1.02)% (0.66)% (0.58)% (1.52)% (1.10)% (1.45)% (1.11)% (0.93)% (1.41)% (1.66)% (1.84)% (1.81)% (2.23)% (2.44)% (1.67)% (1.83)% (0.98)%
The accompanying notes are an integral part of these financial statements. -1018-
Net Investment Income (Loss) 0.09 % 0.11 % 0.12 % 0.13 % 0.15 % 0.16 % 0.18 % 0.20 % 0.22 % 0.08 % 0.05 % 0.04 % 0.12 % 0.08 % 0.11 % 0.08 % 0.07 % 0.11 % 0.13 % 0.14 % 0.14 % 0.17 % 0.19 % 0.13 % 0.14 % 0.07 %
FMT Mid Cap Value (RS Investments) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$
8,508,954 294,882 118,101 8,391 8,930,328
Liabilities Payables Investments purchased Agency fees Sub-advisor fees Total liabilities
18,925 6,126 4,521 29,572 $
Net assets
8,900,756
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 119,280 5,808 11,978 28,682 56,674 1,595 13,427 24,382
$ $ $ $ $ $ $ $
NAV per Unit 14.8844 11.4421 11.3277 10.7080 11.6020 10.2888 10.7379 10.5043
$
$
The accompanying notes are an integral part of these financial statements. -1019-
Net Assets 1,775,415 66,457 135,682 307,125 657,535 16,410 144,182 256,116 2,237,353 408,347 620,271 902,728 797,896 266,302 164,117 131,739 13,081 8,900,756
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
434,644 1,722 436,366 189,440 114,107 22,144 5,400 331,091
Net investment income
105,275
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
31,673,770 30,425,485
Net realized gain from investments sold
1,248,285
Change in net unrealized appreciation (depreciation) on investments
886,391
Net realized and unrealized gain on investments
2,134,676
Other operating credits (charges)
137
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1020-
2,240,088
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
105,275
Net realized gain from investments sold
1,248,285
Change in net unrealized appreciation (depreciation) on investments
886,391 137
Other operating credits (charges)
2,240,088
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
18,988,426 33,710,248 (14,721,822)
Decrease in net assets from participant transactions Total decrease in net assets
(12,481,734) 21,382,490
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1021-
8,900,756
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (95.6%) Consumer Discretionary (15.0%) DOLLAR TREE INC FAMILY DOLLAR STORES GAMESTOP CORP CLASS A HANESBRANDS INC INTERPUBLIC GROUP OF COS INC LIBERTY INTERACTIVE CORP A TRW AUTOMOTIVE HOLDINGS CORP
1,860 1,475 10,209 6,468 20,160 13,540 3,521
Fair Value
$
75,442 93,530 256,144 231,684 222,163 266,467 188,761 1,334,191
Energy (12.1%) ARC RESOURCES LTD CONCHO RESOURCES INC DENBURY RESOURCES INC SOUTHWESTERN ENERGY CO
8,009 3,742 12,314 11,307
196,565 301,455 199,487 377,766 1,075,273
Financials (17.5%) AMERIPRISE FINANCIAL INC CBRE GROUP INC A COMERICA INC FIRST HORIZON NATIONAL CORP H+R BLOCK INC KEYCORP RENAISSANCERE HOLDINGS LTD TD AMERITRADE HOLDING CORP WILLIS GROUP HOLDINGS PLC XL GROUP PLC
2,900 9,698 3,140 9,440 2,400 29,537 2,433 3,050 7,724 7,453
181,627 192,990 95,268 93,550 44,568 248,702 197,706 51,270 258,986 186,772 1,551,439
Health Care (7.3%) COVANCE INC LIFE TECHNOLOGIES CORP WARNER CHILCOTT PLC CLASS A
2,810 5,347 19,053
162,334 262,431 229,398 654,163
850 4,060 9,818
92,097 183,918 304,849
Industrial (12.1%) CUMMINS INC GLOBAL PAYMENTS INC IRON MOUNTAIN INC
The accompanying notes are an integral part of these financial statements. -1022-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (Continued) OWENS CORNING PALL CORP PARKER HANNIFIN CORP WASTE CONNECTIONS INC
1,500 2,139 1,180 6,278
Information Technology (12.1%) ACTIVISION BLIZZARD INC MOTOROLA SOLUTIONS INC SYMANTEC CORP WESTERN UNION CO YAHOO INC Materials (12.1%) AIRGAS INC CROWN HOLDINGS INC FMC CORP INTL FLAVORS + FRAGRANCES MARTIN MARIETTA MATERIALS Utilities (7.4%) CALPINE CORP QUESTAR CORP
Fair Value
$
28,536 3,810 17,207 3,930 9,400
303,052 212,141 323,664 53,487 187,060 1,079,404
1,210 6,989 3,522 4,158 2,392
110,461 257,265 206,107 276,673 225,518 1,076,024
22,830 12,490
413,908 246,802 660,710 $
Total common stocks (Cost $7,903,846)
The accompanying notes are an integral part of these financial statements. -1023-
55,485 128,896 100,371 212,134 1,077,750
8,508,954
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks
$
Level 1
8,508,954
$
8,508,954
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $18,237,186 and $31,673,770, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1024-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 61,434 81,307 22,197 115,260 151,422 33,870 35,660 2,711 12,316 838 31,940 2,569 3,012 1,751,480 63,490 172,838 279,959 535,653 15,696 184,077 264,717 15,335 230 80,845 84,427 642,086 565,770 222,452 155,587 125,822 7,288 41,842 21,109 9,924 22,187 35,576 243,628 5,377 30,485 2,734,075 881,752 1,793,575 2,767,003 2,591,599 924,740 530,133 479,474 74,452 52,893 22,303 4,011 18,988,426
Redemptions (399,352) (929,211) (511,154) (479,619) (379,934) (551,656) (374,271) (6,336) (69,758) (54,692) (92,780) (70,998) (52,191) (11,532) (13,830) (49,742) (2,493) (339,492) (43,202) (18,824) (221,702) (8,330) (865,001) (977,105) (2,852,728) (4,038,905) (1,967,534) (1,191,320) (991,137) (82,801) (291,378) (197,874) (85,523) (306,439) (431,798) (1,820,002) (139,684) (657,307) (890,345) (1,344,729) (1,403,591) (2,535,807) (2,247,933) (791,701) (538,085) (385,308) (798,723) (952,317) (196,591) (47,483) $ (33,710,248)
$
Units
$
$
Net change (337,918) (847,904) (488,957) (364,359) (228,512) (517,786) (338,611) (3,625) (57,442) (53,854) (60,840) (68,429) (49,179) 1,739,948 49,660 123,096 277,466 196,161 15,696 140,875 245,893 (206,367) (8,100) (784,156) (892,678) (2,210,642) (3,473,135) (1,745,082) (1,035,733) (865,315) (75,513) (249,536) (176,765) (75,599) (284,252) (396,222) (1,576,374) (134,307) (626,822) 1,843,730 (462,977) 389,984 231,196 343,666 133,039 (7,952) 94,166 (724,271) (899,424) (174,288) (43,472) (14,721,822)
Purchases 3,461 4,591 1,266 6,463 8,411 1,929 2,094 240 1,087 50 2,071 221 318 118,480 6,235 16,622 28,919 51,303 1,595 17,645 26,201 1,347 20 300,569
Redemptions (21,962) (50,755) (30,535) (27,438) (21,351) (30,721) (21,059) (531) (5,944) (3,469) (6,032) (6,635) (5,172) (784) (1,307) (4,644) (237) (30,273) (4,218) (1,819) (20,130) (710) (295,726)
The accompanying notes are an integral part of these financial statements. -1025-
Net change (18,501) (46,164) (29,269) (20,975) (12,940) (28,792) (18,965) (291) (4,857) (3,419) (3,961) (6,414) (4,854) 117,696 4,928 11,978 28,682 21,030 1,595 13,427 24,382 (18,783) (690) 4,843
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Mid Cap Value (RS Investments) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (g) Class O (h) Class P (i) Class Q (c) Class R1 Class R2 Class R3 (j) Class R4 (k) Class R5 Class R6 (l) Class R7 (m) Class R8 (n) Class S (b) Class U (i)
NAV per Unit, Beginning of Period $ 16.7744 16.6946 16.6153 16.5362 16.4583 16.3797 16.2249 10.8167 10.6038 15.8141 14.4862 10.8313 8.9726 13.1322 10.1172 10.0000 10.0000 10.3106 10.0000 10.0000 10.0000 10.6568 10.7998
Net Investment Income (Loss)(a) $ 0.1045 0.1178 0.1316 0.1442 0.1549 0.1688 0.1898 0.1349 0.0475 0.0371 0.0644 0.0252 0.0587 0.0664 0.0586 0.0418 0.0675 0.0858 0.0731 0.0908 0.0951 0.0795 0.0464
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.9255 1.9423 1.9274 1.6714 1.7872 1.7189 1.5721 1.0212 1.0855 (0.0836) 0.8592 (0.3708) 1.0590 1.6858 1.2663 1.2859 0.6405 1.2056 0.2157 0.6471 0.4092 1.1813 (0.4470)
Total from Investment Activities $ 2.0300 2.0601 2.0590 1.8156 1.9421 1.8877 1.7619 1.1561 1.1330 (0.0465) 0.9236 (0.3456) 1.1177 1.7522 1.3249 1.3277 0.7080 1.2914 0.2888 0.7379 0.5043 1.2608 (0.4006)
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.8844 11.4421 11.3277 10.7080 11.6020 10.2888 10.7379 10.5043 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 17, 2012
(h)
For the period from January 1, 2012 through August 17, 2012
(i)
For the period from January 1, 2012 through June 4, 2012
(j)
For the period from May 18, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 23, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 21, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
Total Return 12.10 % 12.34 % 12.39 % 10.98 % 11.80 % 11.52 % 10.86 % 10.69 % 10.68 % (0.29)% 6.38 % (3.19)% 12.46 % 13.34 % 13.10 % 13.28 % 7.08 % 12.52 % 2.89 % 7.38 % 5.04 % 11.83 % (3.71)%
Net Expenses (1.85)% (2.09)% (2.35)% (2.60)% (2.79)% (3.06)% (3.49)% (3.73)% (1.34)% (0.74)% (1.35)% (0.74)% (1.94)% (1.49)% (1.71)% (1.23)% (2.05)% (2.46)% (2.27)% (2.75)% (2.92)% (2.22)% (1.38)%
The accompanying notes are an integral part of these financial statements. -1026-
Net Investment Income (Loss) 0.59 % 0.66 % 0.75 % 0.83 % 0.89 % 0.97 % 1.11 % 1.18 % 0.42 % 0.24 % 0.43 % 0.24 % 0.62 % 0.47 % 0.54 % 0.39 % 0.65 % 0.78 % 0.72 % 0.88 % 0.93 % 0.70 % 0.44 %
FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Dividend tax reclaim Total assets
$ 95,608,134 480,874 418,476 5,602 440 96,513,526
Liabilities Payables Investments purchased Agency fees Sub-advisor fees Total liabilities
167,812 58,732 53,232 279,776 $ 96,233,750
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 2,190,372 423,631 332,090 532,008 936,611 311,395 211,739 154,491
$ $ $ $ $ $ $ $
NAV per Unit 18.7504 10.9864 10.9210 11.0874 10.9265 10.9136 10.7234 11.0082
$
$
The accompanying notes are an integral part of these financial statements. -1027-
Net Assets 41,070,265 4,654,163 3,626,762 5,898,573 10,233,842 3,398,441 2,270,569 1,700,666 9,806,645 1,670,150 2,561,828 3,701,857 3,280,870 1,090,235 674,250 540,651 53,983 96,233,750
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
382,154 2,766 384,920
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
853,916 568,189 24,898 5,400 1,452,403
Net investment loss
(1,067,483)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
175,024,894 165,564,856
Net realized gain from investments sold
9,460,038
Change in net unrealized appreciation (depreciation) on investments
129,836
Net realized and unrealized gain on investments
9,589,874
Other operating credits (charges)
1,468
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1028-
8,523,859
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(1,067,483)
Net realized gain from investments sold
9,460,038
Change in net unrealized appreciation (depreciation) on investments
129,836 1,468
Other operating credits (charges)
8,523,859
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
113,248,970 108,278,545 4,970,425
Increase in net assets from participant transactions Total increase in net assets
13,494,284
Net assets at beginning of year
82,739,466 $ 96,233,750
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1029-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (98.5%) Consumer Discretionary (20.7%) ABERCROMBIE + FITCH CO CL A ARCTIC CAT INC AVIS BUDGET GROUP INC BEAZER HOMES USA INC BRUNSWICK CORP CABELA S INC CARTER S INC CHICO S FAS INC CHUY S HOLDINGS INC DEL FRISCO S RESTAURANT GROU DOMINO S PIZZA INC DSW INC CLASS A FIVE BELOW FRANCESCAS HOLDINGS CORP G III APPAREL GROUP LTD GNC HOLDINGS INC CL A LITHIA MOTORS INC CL A LUMBER LIQUIDATORS HOLDINGS MERITAGE HOMES CORP MOVADO GROUP INC PAPA JOHN S INTL INC PIER 1 IMPORTS INC PULTEGROUP INC RYLAND GROUP INC/THE SELECT COMFORT CORPORATION SUSSER HOLDINGS CORP TESLA MOTORS INC THOR INDUSTRIES INC TUMI HOLDINGS INC VAIL RESORTS INC WESTPORT INNOVATIONS INC WILLIAMS SONOMA INC
17,100 900 42,400 25,920 18,635 11,500 8,400 86,000 6,619 12,343 32,201 10,781 6,810 22,500 2,580 23,630 14,160 21,565 26,935 9,025 2,880 71,601 61,000 48,800 20,155 10,000 16,015 4,415 15,960 5,395 3,047 19,600
Consumer Staples (8.1%) ANNIE S INC
Fair Value
$
3,790
The accompanying notes are an integral part of these financial statements. -1030-
820,287 30,051 840,368 437,789 542,092 480,125 467,460 1,587,560 147,869 192,427 1,402,354 708,204 218,192 584,100 88,313 786,407 529,867 1,139,279 1,006,022 276,887 158,227 1,432,020 1,107,760 1,781,200 527,456 344,900 542,428 165,254 332,766 291,816 81,385 857,892 19,908,757 126,700
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Consumer Staples (Continued) BOULDER BRANDS INC ELIZABETH ARDEN INC FRESH MARKET INC/THE HAIN CELESTIAL GROUP INC NATURAL GROCERS BY VITAMIN C SODASTREAM INTERNATIONAL LTD ULTA SALON COSMETICS + FRAGR UNITED NATURAL FOODS INC VITAMIN SHOPPE INC WHITEWAVE FOODS CO A
82,659 21,673 24,500 22,413 10,800 9,485 4,069 13,500 20,062 23,800
Fair Value
$
1,066,301 975,502 1,178,205 1,215,233 206,172 425,781 399,820 723,465 1,150,756 369,852 7,837,787
Energy (4.7%) APPROACH RESOURCES INC FLOTEK INDUSTRIES INC GULFPORT ENERGY CORP OASIS PETROLEUM INC PDC ENERGY INC REX ENERGY CORP
15,600 21,780 51,505 29,217 13,700 37,832
390,156 265,716 1,968,521 929,100 454,977 492,573 4,501,043
Financial (8.4%) BROWN + BROWN INC CORELOGIC INC DEMANDWARE INC EVERBANK FINANCIAL CORP FINANCIAL ENGINES INC PRIVATEBANCORP INC REALOGY HOLDINGS CORP SIGNATURE BANK STIFEL FINANCIAL CORP TEXAS CAPITAL BANCSHARES INC WALTER INVESTMENT MANAGEMENT
28,800 59,343 19,220 9,926 25,840 36,165 25,000 19,163 4,640 12,395 15,100
733,248 1,597,514 525,090 147,997 717,060 554,048 1,049,000 1,367,088 148,341 555,544 649,602 8,044,532
The accompanying notes are an integral part of these financial statements. -1031-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (9.7%) ACADIA HEALTHCARE CO INC ARENA PHARMACEUTICALS INC CEPHEID INC COOPER COS INC/THE COVANCE INC CYBERONICS INC DEXCOM INC EXACT SCIENCES CORP GENOMIC HEALTH INC HAEMONETICS CORP/MASS INFINITY PHARMACEUTICALS INC INSULET CORP MEDIDATA SOLUTIONS INC MEDIVATION INC NPS PHARMACEUTICALS INC POLYPORE INTERNATIONAL INC PROTO LABS INC QIAGEN N.V. SIRONA DENTAL SYSTEMS INC
4,821 54,340 5,510 12,899 8,900 21,965 22,105 13,145 11,930 3,680 6,200 17,130 8,490 28,400 9,377 10,925 15,120 26,900 11,400
Industrial (12.1%) ACUITY BRANDS INC ASTEC INDUSTRIES INC BALLY TECHNOLOGIES INC CHART INDUSTRIES INC CLEAN HARBORS INC COSTAR GROUP INC GENESEE + WYOMING INC CL A GEOSPACE TECHNOLOGIES CORP GRANITE CONSTRUCTION INC HEARTLAND PAYMENT SYSTEMS IN HURON CONSULTING GROUP INC IPG PHOTONICS CORP MANITOWOC COMPANY INC MASTEC INC MIDDLEBY CORP
Fair Value
$
7,179 1,265 11,900 7,380 6,500 11,860 8,474 6,210 10,600 18,882 12,712 11,775 32,645 25,400 2,160
The accompanying notes are an integral part of these financial statements. -1032-
112,474 490,147 186,293 1,192,900 514,153 1,153,821 300,849 139,206 325,212 150,291 217,000 363,499 332,723 1,452,944 85,331 508,012 596,030 488,235 734,844 9,343,964 486,234 42,162 532,049 492,025 357,565 1,059,928 644,702 551,883 356,372 557,019 428,267 784,804 511,874 633,222 276,933
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) NORDSON CORP SMITH (A.O.) CORP STEELCASE INC CL A SWIFT TRANSPORTATION CO TENNANT CO TRIUMPH GROUP INC UNITED RENTALS INC US AIRWAYS GROUP INC WABASH NATIONAL CORP
6,400 16,126 6,625 5,825 3,980 17,900 12,080 34,030 5,885
Information Technology (26.3%) ACI WORLDWIDE INC APPLIED MICRO CIRCUITS CORP ATHENAHEALTH INC CADENCE DESIGN SYS INC CAVIUM INC COGENT COMMUNICATIONS GROUP COMMVAULT SYSTEMS INC CREE INC ELLIE MAE INC EZCHIP SEMICONDUCTOR LTD FEI COMPANY FUSION IO INC GUIDEWIRE SOFTWARE INC IAC/INTERACTIVECORP INFOBLOX INC INNERWORKINGS INC INTERXION HOLDING NV LIVEPERSON INC MEDASSETS INC MELLANOX TECHNOLOGIES LTD MILLENNIAL MEDIA INC NETSUITE INC OSI SYSTEMS INC PERKINELMER INC RACKSPACE HOSTING INC
Fair Value
$
8,710 10,490 5,576 134,458 8,933 17,035 35,271 31,400 18,313 12,578 6,875 77,730 12,295 31,805 9,760 20,660 15,700 4,965 65,100 13,552 59,154 34,838 12,674 48,100 8,005
The accompanying notes are an integral part of these financial statements. -1033-
403,968 1,017,067 84,402 53,124 174,921 1,168,870 549,882 459,405 52,788 11,679,466 380,540 88,116 409,557 1,816,528 278,799 385,672 2,458,741 1,066,972 508,186 415,954 381,288 1,782,349 365,407 1,504,377 175,387 284,695 373,032 65,240 1,091,727 804,718 741,200 2,344,597 811,643 1,526,694 594,531
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) RUDOLPH TECHNOLOGIES INC SOLARWINDS INC STRATASYS LTD TANGOE INC/CT ULTIMATE SOFTWARE GROUP INC ULTRATECH INC VEECO INSTRUMENTS INC VOCERA COMMUNICATIONS INC YELP INC
4,040 6,865 7,745 25,634 9,400 35,709 5,800 20,865 22,780
Fair Value
$
54,338 360,069 620,762 304,276 887,454 1,331,946 171,216 523,711 429,403 25,339,125
Materials (8.0%) CYTEC INDUSTRIES INC EAGLE MATERIALS INC GEORGIA GULF CORP H.B. FULLER CO. LOUISIANA PACIFIC CORP MARTIN MARIETTA MATERIALS MUELLER WATER PRODUCTS INC A TEXAS INDUSTRIES INC US SILICA HOLDINGS INC
9,400 32,000 7,600 10,600 73,550 17,000 44,860 19,544 9,995
647,002 1,872,000 313,728 369,092 1,420,986 1,602,760 251,665 996,939 167,216 7,641,388
Telecommunication Services (0.5%) ALLOT COMMUNICATIONS LTD RUCKUS WIRELESS INC
19,083 7,559
340,059 170,304 510,363
Total common stocks (Cost $85,439,154)
94,806,425
Depository receipts (0.8%) Health Care ICON PLC SPONSORED ADR (Cost $787,345)
28,880
801,709 $ 95,608,134
Total Investments (Cost $86,226,499)
The accompanying notes are an integral part of these financial statements. -1034-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
Level 1
$ 94,806,425 $ 94,806,425 $ 801,709 801,709 $ 95,608,134 $ 95,608,134 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $180,671,694 and $175,024,894, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1035-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 527,639 1,593,606 769,171 1,438,760 746,279 284,582 404,265 21,102 81,942 17,426 1,670 221,787 2,038,141 44,196 90,199 42,360,017 3,820,774 4,089,015 5,701,148 10,057,960 4,121,739 1,959,729 1,829,762 427,403 121,153 59,735 304,148 226,499 877,241 1,225,275 563,505 343,546 318,322 20,598 125,048 86,844 48,326 165,666 84,585 721,962 4,791 146,751 10,060,686 1,574,304 2,693,417 3,908,186 3,690,663 1,321,705 771,945 636,182 248,924 170,040 62,332 18,279 113,248,970
Redemptions (2,364,682) (16,277,677) (8,798,294) (13,879,791) (7,980,364) (4,956,114) (3,828,311) (365,158) (814,382) (249,378) (452,618) (3,615,048) (8,148,753) (344,222) (1,386,007) (2,388,121) (833,357) (573,912) (670,546) (1,350,210) (828,806) (214,799) (269,020) (2,510,598) (1,911,706) (1,612,197) (896,750) (921,937) (2,612,128) (3,931,512) (1,917,169) (1,147,697) (983,104) (78,194) (313,880) (215,062) (103,888) (371,564) (395,323) (1,923,351) (110,914) (633,065) (659,471) (525,417) (214,368) (597,785) (640,594) (287,983) (207,288) (105,228) (801,323) (859,878) (192,579) (7,022) $ (108,278,545)
$
Units
$
$
Net change (1,837,043) (14,684,071) (8,029,123) (12,441,031) (7,234,085) (4,671,532) (3,424,046) (344,056) (732,440) (231,952) (450,948) (3,393,261) (6,110,612) (300,026) (1,295,808) 39,971,896 2,987,417 3,515,103 5,030,602 8,707,750 3,292,933 1,744,930 1,560,742 (2,083,195) (1,790,553) (1,552,462) (592,602) (695,438) (1,734,887) (2,706,237) (1,353,664) (804,151) (664,782) (57,596) (188,832) (128,218) (55,562) (205,898) (310,738) (1,201,389) (106,123) (486,314) 9,401,215 1,048,887 2,479,049 3,310,401 3,050,069 1,033,722 564,657 530,954 (552,399) (689,838) (130,247) 11,257 4,970,425
Purchases 29,590 88,440 43,151 81,781 42,811 16,194 23,284 1,387 4,939 1,091 139 15,839 147,759 2,991 5,415 2,313,942 349,242 384,655 533,603 946,169 388,563 188,104 168,943 25,857 7,818 3,708 5,815,415
Redemptions (129,878) (922,330) (493,930) (793,034) (459,810) (286,749) (224,789) (23,930) (48,839) (15,618) (36,146) (258,499) (590,019) (23,258) (81,641) (130,855) (76,879) (52,565) (60,922) (125,228) (77,267) (19,885) (24,647) (154,411) (125,890) (101,132) (5,338,151)
The accompanying notes are an integral part of these financial statements. -1036-
Net change (100,288) (833,890) (450,779) (711,253) (416,999) (270,555) (201,505) (22,543) (43,900) (14,527) (36,007) (242,660) (442,260) (20,267) (76,226) 2,183,087 272,363 332,090 472,681 820,941 311,296 168,219 144,296 (128,554) (118,072) (97,424) 477,264
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 (g) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 16.6279 16.4838 16.3441 16.2029 16.0637 15.9251 15.7890 13.9865 15.5185 14.5736 11.0753 12.6503 12.5938 13.5228 15.2817 16.8151 9.8738 10.0000 9.9984 9.8700 9.8754 9.7193 9.9942 15.0679 14.2092 14.8056
Net Investment Income (Loss)(a) $ (0.1540) (0.1735) (0.1940) (0.2145) (0.2351) (0.2522) (0.2719) (0.2481) (0.3055) (0.3069) (0.0824) (0.1196) (0.1455) (0.1131) (0.1687) (0.1384) (0.0974) (0.1094) (0.1270) (0.1390) (0.1523) (0.1638) (0.1821) (0.1893) (0.1965) (0.2168)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6371 1.6154 1.7632 1.7023 1.5805 1.6977 1.6390 1.3672 1.4758 1.3805 1.1161 1.2692 1.2520 1.3618 1.6532 2.0737 1.2100 1.0304 1.2160 1.1955 1.1905 1.1679 1.1961 1.4674 1.4911 1.4610
Total from Investment Activities $ 1.4831 1.4419 1.5692 1.4878 1.3454 1.4455 1.3671 1.1191 1.1703 1.0736 1.0337 1.1496 1.1065 1.2487 1.4845 1.9353 1.1126 0.9210 1.0890 1.0565 1.0382 1.0041 1.0140 1.2781 1.2946 1.2442
Ratios (to average unit value)
NAV per Unit, End of Period $ 18.7504 10.9864 10.9210 11.0874 10.9265 10.9136 10.7234 11.0082 -
Total Return 8.92 8.75 9.60 9.18 8.38 9.08 8.66 8.00 7.54 7.37 9.33 9.09 8.79 9.23 9.71 11.51 11.27 9.21 10.89 10.70 10.51 10.33 10.15 8.48 9.11 8.40
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.21)% (1.37)% (1.54)% (1.72)% (1.91)% (2.06)% (2.25)% (2.32)% (2.58)% (2.77)% (0.97)% (1.23)% (1.51)% (1.09)% (1.43)% (1.06)% (1.27)% (1.42)% (1.64)% (1.82)% (2.00)% (2.18)% (2.36)% (1.64)% (1.80)% (1.91)%
Net Investment Income (Loss) (0.89)% (1.01)% (1.13)% (1.27)% (1.40)% (1.51)% (1.65)% (1.71)% (1.90)% (2.03)% (0.71)% (0.90)% (1.11)% (0.80)% (1.05)% (0.78)% (0.93)% (1.05)% (1.20)% (1.34)% (1.47)% (1.60)% (1.73)% (1.20)% (1.32)% (1.41)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1037-
FMT Small Cap Diversified Equity (Delaware) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 18,867,257 458,285 12,944 19,338,486
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
37,802 13,017 8,030 58,849 $ 19,279,637
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 254,386 6,851 10,902 69,209 60,905 147,294 33,083 9,345
NAV per Unit $ 13.1047 $ 11.4973 $ 10.9762 $ 11.4578 $ 12.2021 $ 10.8830 $ 11.9963 $ 10.2984
Net Assets $ 3,333,651 78,769 119,664 792,989 743,165 1,602,998 396,873 96,235 4,984,703 878,526 1,341,735 1,946,777 1,723,988 572,696 354,502 284,003 28,363 $ 19,279,637
The accompanying notes are an integral part of these financial statements. -1038-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
278,113 527 278,640 183,831 92,535 12,800 5,400 294,566
Net investment loss
(15,926)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
6,284,855 5,186,796
Net realized gain from investments sold
1,098,059
Change in net unrealized appreciation (depreciation) on investments
1,461,675
Net realized and unrealized gain on investments
2,559,734
Other operating credits (charges)
46
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1039-
2,543,854
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(15,926)
Net realized gain from investments sold
1,098,059
Change in net unrealized appreciation (depreciation) on investments
1,461,675 46
Other operating credits (charges)
2,543,854
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
22,533,059 22,850,146 (317,087)
Decrease in net assets from participant transactions Total increase in net assets
2,226,767 17,052,870
Net assets at beginning of year
$ 19,279,637
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1040-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (90.3%) Consumer Discretionary (13.7%) AFC ENTERPRISES BUFFALO WILD WINGS INC CEC ENTERTAINMENT INC CHEESECAKE FACTORY INC/THE CINEMARK HOLDINGS INC COOPER TIRE + RUBBER DSW INC CLASS A EXPRESS INC G III APPAREL GROUP LTD JACK IN THE BOX INC JONES GROUP INC/THE JOS A BANK CLOTHIERS INC NATIONAL CINEMEDIA INC PERRY ELLIS INTERNATIONAL SHFL ENTERTAINMENT INC STEVEN MADDEN LTD SUSSER HOLDINGS CORP TENNECO INC TITAN MACHINERY INC
8,080 1,710 3,460 3,500 5,520 6,810 270 6,920 3,960 5,980 4,010 3,915 7,370 7,150 12,520 5,430 4,540 4,970 4,970
Fair Value
$
211,130 124,522 114,837 114,520 143,410 172,702 17,736 104,423 135,551 171,028 44,350 166,701 104,138 142,285 181,540 229,526 156,585 174,497 122,759 2,632,240
Consumer Staples (2.5%) CASEY S GENERAL STORES INC J + J SNACK FOODS CORP PRESTIGE BRANDS HOLDINGS INC
3,510 2,660 6,110
186,381 170,081 122,383 478,845
Energy (7.1%) BERRY PETROLEUM CO CLASS A BONANZA CREEK ENERGY INC BRISTOW GROUP INC C+J ENERGY SERVICES INC CARRIZO OIL + GAS INC DIAMONDBACK ENERGY INC KEY ENERGY SERVICES INC LUFKIN INDUSTRIES INC PIONEER ENERGY SERVICES CORP RIGNET INC
3,350 4,670 3,550 4,860 5,560 1,860 13,560 2,250 15,380 5,640
112,393 129,779 190,493 104,198 116,315 35,563 94,242 130,793 111,659 115,225
The accompanying notes are an integral part of these financial statements. -1041-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Energy (continued) ROSETTA RESOURCES INC SWIFT ENERGY CO
3,480 5,090
Fair Value
$
157,853 78,335 1,376,848
Financial (14.2%) ALTERRA CAPITAL HOLDINGS LTD AMERICAN EQUITY INVT LIFE HL AMERISAFE INC BBCN BANCORP INC CARDINAL FINANCIAL CORP CITY HOLDING CO DIME COMMUNITY BANCSHARES EXLSERVICE HOLDINGS INC FLUSHING FINANCIAL CORP HOME BANCSHARES INC INDEPENDENT BANK CORP/MA PARK NATIONAL CORP PIPER JAFFRAY COS PRIMERICA INC PROASSURANCE CORP PROSPERITY BANCSHARES INC SUSQUEHANNA BANCSHARES INC TEXAS CAPITAL BANCSHARES INC TRUSTMARK CORP WALTER INVESTMENT MANAGEMENT WEBSTER FINANCIAL CORP WESTERN ALLIANCE BANCORP
3,820 13,730 3,050 8,640 10,120 3,910 8,730 2,930 8,700 3,340 4,530 2,180 4,250 4,650 2,440 3,720 13,640 2,470 4,950 3,600 7,060 6,540
107,686 167,643 83,113 99,965 164,652 136,264 121,260 77,645 133,458 110,287 131,143 140,893 136,552 139,547 102,944 156,240 142,947 110,705 111,177 154,872 145,083 68,866 2,742,942
Health Care (11.3%) ACORDA THERAPEUTICS INC AIR METHODS CORP ALIGN TECHNOLOGY INC ALKERMES PLC CEPHEID INC CONMED CORP CROSS COUNTRY HEALTHCARE INC CRYOLIFE INC
4,940 5,340 6,140 10,350 1,960 4,950 12,370 12,350
122,808 196,993 170,385 191,682 66,268 138,353 59,376 76,940
The accompanying notes are an integral part of these financial statements. -1042-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (Continued) GREENWAY MEDICAL TECHNOLOGIE HAEMONETICS CORP/MASS INCYTE CORP INTERMUNE INC MERIT MEDICAL SYSTEMS INC QUIDEL CORP SPECTRUM PHARMACEUTICALS INC WELLCARE HEALTH PLANS INC WEST PHARMACEUTICAL SERVICES
3,590 4,400 6,410 8,570 10,597 8,450 12,580 2,610 2,940
Industrial (18.6%) AAON INC ACUITY BRANDS INC APPLIED INDUSTRIAL TECH INC BARNES GROUP INC CHART INDUSTRIES INC COLUMBUS MCKINNON CORP/NY ESCO TECHNOLOGIES INC ESTERLINE TECHNOLOGIES CORP FTI CONSULTING INC GENESEE + WYOMING INC CL A GRANITE CONSTRUCTION INC ICONIX BRAND GROUP INC KADANT INC KFORCE INC KOPPERS HOLDINGS INC LIQUIDITY SERVICES INC MCGRATH RENTCORP MYR GROUP INC/DELAWARE RPX CORP TELETECH HOLDINGS INC TETRA TECH INC TRIUMPH GROUP INC UNITED STATIONERS INC US ECOLOGY INC WAGEWORKS INC
Fair Value
$
6,805 2,590 5,430 6,290 2,500 7,260 3,480 3,210 3,560 1,790 4,260 9,390 5,390 10,970 2,940 2,620 3,430 6,770 5,150 8,050 4,770 710 5,580 6,880 3,370
The accompanying notes are an integral part of these financial statements. -1043-
55,142 179,696 106,470 83,043 147,298 157,762 140,770 127,081 160,965 2,181,032 142,020 175,421 228,114 141,273 166,675 119,935 130,187 204,188 117,480 136,183 143,221 209,585 142,889 157,200 112,161 107,053 99,539 150,633 46,556 143,290 126,167 46,363 172,924 161,955 59,986
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) XPO LOGISTICS INC
8,010
Fair Value
$
139,214 3,580,212
Information Technology (15.7%) AMKOR TECHNOLOGY INC ANIXTER INTERNATIONAL INC APPLIED MICRO CIRCUITS CORP BRIGHTCOVE CIRRUS LOGIC INC COMSCORE INC EPAM SYSTEMS INC EXACTTARGET INC FARO TECHNOLOGIES INC INTERXION HOLDING NV J2 GLOBAL INC KEYW HOLDING CORP/THE LOGMEIN INC NETGEAR INC OPENTABLE INC PLANTRONICS INC PROOFPOINT INC ROFIN SINAR TECHNOLOGIES INC SEMTECH CORP SHUTTERFLY INC SS+C TECHNOLOGIES HOLDINGS SYNAPTICS INC SYNTEL INC TRULIA INC VALUECLICK INC VIASAT INC VOCUS INC
19,050 2,360 17,600 10,210 3,290 4,610 3,780 5,000 4,200 5,240 5,610 9,290 5,620 3,380 2,040 3,230 4,820 4,740 6,610 3,660 4,640 4,650 1,720 1,110 7,540 2,590 7,180
80,963 150,993 147,840 92,298 95,311 63,526 68,418 100,000 149,856 124,502 171,554 117,890 125,944 133,240 99,552 119,090 59,334 102,763 191,360 109,324 107,277 139,361 92,175 18,026 146,351 100,751 124,788 3,032,487
Materials (4.5%) BOISE INC BUCKEYE TECHNOLOGIES INC COEUR D ALENE MINES CORP INNOPHOS HOLDINGS INC
15,070 4,650 4,970 2,520
119,807 133,501 122,262 117,180
The accompanying notes are an integral part of these financial statements. -1044-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Materials (Continued) KAISER ALUMINUM CORP MATERION CORP US SILICA HOLDINGS INC
1,640 4,650 9,130
Fair Value
$
101,172 119,877 152,745 866,544
Telecommunication Services (0.8%) ATLANTIC TELE NETWORK INC NTELOS HOLDINGS CORP
2,216 5,375
81,349 70,466 151,815
Utilities (1.9%) CLECO CORPORATION NORTHWESTERN CORP UIL HOLDINGS CORP
4,050 3,050 3,000
162,041 105,926 107,430 375,397
Total common stocks (Cost $14,614,939)
17,418,362
Depository receipts (1.3%) Financials (0.5%) WNS HOLDINGS LTD ADR Health Care (0.8%) ICON PLC SPONSORED ADR
8,500
88,570
5,730
159,065
Total depository receipts (Cost $203,238)
247,635
Real estate investment trusts (6.2%) DCT INDUSTRIAL TRUST INC DUPONT FABROS TECHNOLOGY EASTGROUP PROPERTIES INC EPR PROPERTIES LASALLE HOTEL PROPERTIES RAMCO GERSHENSON PROPERTIES SOVRAN SELF STORAGE INC
23,800 7,710 3,880 3,810 6,380 8,900 3,150
154,462 186,274 208,783 175,679 161,988 118,459 195,615
Total real estate investment trusts (Cost $998,698)
1,201,260 $ 18,867,257
Total Investments (Cost $15,816,875)
The accompanying notes are an integral part of these financial statements. -1045-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts Real estate investment trusts
Level 1
Level 2
$ 17,418,362 $ 17,418,362 $ 247,635 247,635 1,201,260
1,201,260
$ 18,867,257
$ 18,867,257
$
Level 3 - $ -
-
-
-
- $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $6,077,017 and $6,284,855, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1046-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 7,364 53,460 67,250 132,119 66,620 171,345 60,852 2,178 29,232 3,056 27,861 3,038,587 1,026,115 110,833 762,104 860,573 1,655,090 432,076 108,797 47,519 1,227 72,446 66,615 414,102 411,275 177,383 113,273 94,627 6,006 43,045 19,644 10,013 22,292 27,108 196,283 3,097 25,303 4,973,149 659,537 1,325,719 1,903,552 1,818,877 655,777 375,036 326,551 65,696 42,791 16,967 2,637 22,533,059
Redemptions (891,544) (217,148) (1,010,181) (964,644) (1,003,755) (2,074,661) (510,218) (16,157) (128,190) (8,098) (231,717) (59,206) (1,051,838) (23) (42,782) (224,715) (193,172) (85,074) (17,581) (205,772) (14,459) (556,381) (618,518) (1,779,837) (2,567,004) (1,256,371) (757,888) (631,695) (52,097) (196,884) (128,348) (55,770) (195,137) (274,419) (1,166,891) (84,710) (413,499) (366,149) (301,494) (132,389) (378,777) (386,036) (164,492) (126,522) (68,914) (516,358) (590,249) (122,716) (9,666) $ (22,850,146)
$
Units
$
$
Net change (884,180) (163,688) (942,931) (832,525) (937,135) (1,903,316) (449,366) (13,979) (98,958) (5,042) (203,856) 2,979,381 (25,723) 110,810 719,322 635,858 1,461,918 347,002 91,216 (158,253) (13,232) (483,935) (551,903) (1,365,735) (2,155,729) (1,078,988) (644,615) (537,068) (46,091) (153,839) (108,704) (45,757) (172,845) (247,311) (970,608) (81,613) (388,196) 4,607,000 358,043 1,193,330 1,524,775 1,432,841 491,285 248,514 257,637 (450,662) (547,458) (105,749) (7,029) (317,087)
Purchases 575 4,242 5,210 10,494 5,247 13,657 4,906 174 2,027 225 2,668 238,030 101,131 10,904 73,200 77,234 166,106 39,625 11,100 3,301 124 770,180
Redemptions (73,350) (16,728) (77,367) (77,473) (81,086) (167,800) (40,190) (1,285) (8,783) (594) (22,291) (4,686) (94,280) (2) (3,991) (19,392) (18,812) (7,443) (1,755) (14,423) (1,422) (733,153)
The accompanying notes are an integral part of these financial statements. -1047-
Net change (72,775) (12,486) (72,157) (66,979) (75,839) (154,143) (35,284) (1,111) (6,756) (369) (19,623) 233,344 6,851 10,902 69,209 57,842 147,294 32,182 9,345 (11,122) (1,298) 37,027
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Equity (Delaware) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (c) Class C (d) Class D (e) Class E (f) Class F (d) Class G (e) Class I (c) Class J (c) Class L (g) Class O (f) Class R1 Class R2 (h) Class R3 (i) Class R4 (h) Class R5 Class R6 (j) Class R7 Class R8 (k) Class S (c) Class T (e)
NAV per Unit, Beginning of Period $ 12.0080 11.9306 11.8524 11.7755 11.6978 11.6228 11.5472 11.3022 13.2317 12.2297 9.3315 11.2787 10.0000 10.0000 10.0000 10.5783 10.0000 10.4348 10.0000 13.0607 9.0872
Net Investment Income (Loss)(a) $ (0.0037) (0.0095) (0.0109) (0.0122) (0.0134) (0.0145) (0.0157) (0.0178) (0.0222) (0.0069) (0.0083) (0.0068) (0.0072) (0.0048) (0.0096) (0.0115) (0.0108) (0.0138) (0.0110) (0.0127) (0.0099)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7246 1.5038 1.6111 1.4983 1.3590 1.5210 1.4104 1.2921 1.4906 1.3964 1.1207 1.8328 1.5045 0.9810 1.4674 1.6353 0.8938 1.5753 0.3094 1.6123 1.1484
Total from Investment Activities $ 0.7209 1.4943 1.6002 1.4861 1.3456 1.5065 1.3947 1.2743 1.4684 1.3895 1.1124 1.8260 1.4973 0.9762 1.4578 1.6238 0.8830 1.5615 0.2984 1.5996 1.1385
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.1047 11.4973 10.9762 11.4578 12.2021 10.8830 11.9963 10.2984 -
Total Return 6.00 12.52 13.50 12.62 11.50 12.96 12.08 11.27 11.10 11.36 11.92 16.19 14.97 9.76 14.58 15.35 8.83 14.96 2.98 12.25 12.53
% % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.55)% (1.40)% (1.59)% (1.80)% (2.01)% (2.17)% (2.38)% (2.77)% (2.95)% (1.00)% (1.55)% (1.04)% (1.25)% (0.85)% (1.66)% (1.88)% (1.92)% (2.29)% (2.02)% (1.70)% (1.90)%
Net Investment Income (Loss) (0.03)% (0.08)% (0.09)% (0.10)% (0.11)% (0.12)% (0.13)% (0.15)% (0.16)% (0.05)% (0.08)% (0.06)% (0.07)% (0.05)% (0.09)% (0.10)% (0.10)% (0.12)% (0.11)% (0.09)% (0.10)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through May 24, 2012
(c)
For the period from January 1, 2012 through December 10, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
(h)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from June 1, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from February 27, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1048-
FMT Small Cap Diversified Growth (Perimeter) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends Total assets
$
6,759,971 320,295 21,799 2,096 7,104,161
Liabilities Investments purchased Sub-advisor fees Agency fees Total liabilities
16,514 4,762 3,999 25,275 $
Net assets
7,078,886
Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 391,202 166,963 27,030 16,645 47,194 28,375 8,804 2,486
NAV per Unit $ 9.8698 $ 10.9284 $ 10.9143 $ 10.4764 $ 10.8708 $ 10.3408 $ 10.5820 $ 9.7144
$
$
The accompanying notes are an integral part of these financial statements. -1049-
Net Assets 3,861,089 1,824,632 295,014 174,380 513,037 293,419 93,163 24,152 7,078,886
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $923) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
99,483 886 100,369 171,543 129,647 13,656 5,400 320,246
Net investment loss
(219,877)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
38,164,700 36,241,550
Net realized gain from investments sold
1,923,150
Change in net unrealized appreciation (depreciation) on investments
289,248
Net realized and unrealized gain on investments
2,212,398
Other operating credits (charges)
97
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1050-
1,992,618
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(219,877)
Net realized gain from investments sold
1,923,150
Change in net unrealized appreciation (depreciation) on investments
289,248 97
Other operating credits (charges)
1,992,618
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
17,109,056 32,424,847 (15,315,791)
Decrease in net assets from participant transactions Total decrease in net assets
(13,323,173) 20,402,059
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1051-
7,078,886
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (91.4%) Consumer Discretionary (12.6%) AFC ENTERPRISES ARCTIC CAT INC ASCENA RETAIL GROUP INC CARIBOU COFFEE CO INC CHEESECAKE FACTORY INC/THE CHICO S FAS INC CRACKER BARREL OLD COUNTRY FRANCESCAS HOLDINGS CORP GENESCO INC HSN INC MDC HOLDINGS INC PIER 1 IMPORTS INC POOL CORP RENT A CENTER INC SIX FLAGS ENTERTAINMENT CORP TENNECO INC TORO CO UNIFIRST CORP/MA
1,235 1,450 2,585 3,010 1,645 2,550 545 1,885 1,288 1,125 1,510 3,285 1,115 2,010 855 625 1,000 595
Fair Value
$
32,271 48,416 47,797 48,732 53,824 47,073 35,022 48,935 70,840 61,965 55,508 65,700 47,187 69,064 52,326 21,944 42,980 43,625 893,209
Consumer Staples (3.9%) CASEY S GENERAL STORES INC CASUAL MALE RETAIL GROUP INC DARLING INTERNATIONAL INC INTER PARFUMS INC NU SKIN ENTERPRISES INC A SPECTRUM BRANDS HOLDINGS INC VITAMIN SHOPPE INC
198 7,337 1,305 2,549 1,165 1,257 1,137
10,514 30,815 20,932 49,604 43,163 56,477 65,218 276,723
Energy (1.9%) FLOTEK INDUSTRIES INC HELIX ENERGY SOLUTIONS GROUP KODIAK OIL + GAS CORP
2,435 1,915 3,975
29,707 39,526 35,179
The accompanying notes are an integral part of these financial statements. -1052-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Energy (Continued) REX ENERGY CORP
2,439
Financial (12.9%) BOSTON PRIVATE FINL HOLDING CARDTRONICS INC CORELOGIC INC CORRECTIONS CORP OF AMERICA ENCORE CAPITAL GROUP INC ENDURANCE SPECIALTY HOLDINGS FIRST CASH FINL SVCS INC FIRST MIDWEST BANCORP INC/IL HORACE MANN EDUCATORS IBERIABANK CORP INFINITY PROPERTY + CASUALTY NATIONSTAR MORTGAGE HOLDINGS PINNACLE FINANCIAL PARTNERS PLATINUM UNDERWRITERS HLDGS PROASSURANCE CORP TEXAS CAPITAL BANCSHARES INC UMPQUA HOLDINGS CORP WALTER INVESTMENT MANAGEMENT WEX INC Health Care (15.4%) ARRAY BIOPHARMA INC ASTEX PHARMACEUTICALS BIO REFERENCE LABS INC CHARLES RIVER LABORATORIES CUBIST PHARMACEUTICALS INC DEPOMED INC DYNAVAX TECHNOLOGIES CORP HAEMONETICS CORP/MASS HEALTHSOUTH CORP
Fair Value
$
3,760 2,035 2,085 1,650 1,940 1,635 945 3,425 3,130 735 670 1,685 2,490 1,480 1,464 940 1,193 580 698
33,878 48,311 56,128 58,525 59,403 64,893 46,891 42,881 62,475 36,103 39,021 52,201 46,912 68,080 61,766 42,131 14,065 24,952 52,608 911,224
15,180 8,593 1,720 1,435 1,585 7,502 14,120 1,172 2,715
56,469 25,006 49,347 53,769 66,665 46,437 40,383 47,864 57,313
The accompanying notes are an integral part of these financial statements. -1053-
31,756 136,168
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (Continued) IMPAX LABORATORIES INC MASIMO CORPORATION MAXIMUS INC MYRIAD GENETICS INC NEOGEN CORP OMNICELL INC ORTHOFIX INTERNATIONAL NV QUESTCOR PHARMACEUTICALS SALIX PHARMACEUTICALS LTD SEATTLE GENETICS INC TEAM HEALTH HOLDINGS INC THORATEC CORP UNITED THERAPEUTICS CORP JAZZ PHARMACEUTICALS PLC
2,760 2,760 1,019 1,710 840 920 1,505 600 1,235 2,090 1,920 832 905 1,115
Industrial (19.6%) AZZ INC ALLEGIANT TRAVEL CO BELDEN INC CELADON GROUP INC CHART INDUSTRIES INC CHEMED CORP COINSTAR INC CORPORATE EXECUTIVE BOARD CO COSTAR GROUP INC COVANTA HOLDING CORP ENERGY XXI BERMUDA GEOSPACE TECHNOLOGIES CORP GULFMARK OFFSHORE INC CL A HMS HOLDINGS CORP HEARTLAND PAYMENT SYSTEMS IN HEXCEL CORP HURON CONSULTING GROUP INC
Fair Value
$
1,240 880 1,255 1,885 499 930 1,045 1,170 480 4,225 1,070 878 1,215 2,720 1,890 2,055 1,460
The accompanying notes are an integral part of these financial statements. -1054-
56,552 57,988 64,421 46,597 38,069 13,680 59,192 16,032 49,993 48,488 55,238 31,216 48,345 59,322 1,088,386 47,653 64,601 56,462 34,062 33,268 63,789 54,350 55,528 42,898 77,825 34,443 78,028 41,857 70,502 55,755 55,403 49,187
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (Continued) MIDDLEBY CORP OLD DOMINION FREIGHT LINE QUAD GRAPHICS INC REGAL BELOIT CORP ROLLINS INC SMITH (A.O.) CORP SPIRIT AIRLINES INC TETRA TECH INC TRIMAS CORP TRIUMPH GROUP INC
300 1,490 1,325 540 2,355 670 3,155 2,210 1,701 980
Information Technology (20.2%) ADTRAN INC ASPEN TECHNOLOGY INC CAVIUM INC CLICKSOFTWARE TECHNOLOGIES COMMVAULT SYSTEMS INC DIEBOLD INC DIGITALGLOBE INC DIODES INC EXPONENT INC GRAND CANYON EDUCATION INC HEALTHSTREAM INC INCONTACT INC INNERWORKINGS INC IXIA LIVEPERSON INC MEDASSETS INC MENTOR GRAPHICS CORP NETSCOUT SYSTEMS INC NIC INC NVE CORP OSI SYSTEMS INC
Fair Value
$
1,795 1,335 1,430 6,194 1,042 1,210 2,410 874 775 2,507 1,324 6,663 4,610 3,735 4,639 3,811 3,630 1,184 3,475 305 1,461
The accompanying notes are an integral part of these financial statements. -1055-
38,463 51,077 27,017 38,054 51,904 42,257 55,907 58,455 47,560 63,994 1,390,299 35,074 36,899 44,630 52,092 72,638 37,038 58,900 15,164 43,268 58,839 32,186 34,514 63,526 63,420 60,956 63,910 61,783 30,772 56,782 16,924 93,562
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Information Technology (Continued) RADWARE LTD ROVI CORP SHUTTERFLY INC SPS COMMERCE INC TANGOE INC/CT TYLER TECHNOLOGIES INC ULTIMATE SOFTWARE GROUP INC VOLTERRA SEMICONDUCTOR CORP ZIX CORP
1,632 2,770 2,220 921 4,059 1,158 424 2,070 7,450
Materials (4.2%) AMERICAN VANGUARD CORP BALCHEM CORP BUCKEYE TECHNOLOGIES INC KAPSTONE PAPER AND PACKAGING NEWMARKET CORP POLYONE CORPORATION SILGAN HOLDINGS INC
1,809 1,206 1,765 2,135 110 2,267 520
56,206 43,898 50,673 47,376 28,842 46,292 21,627 294,914
Telecommunication Services (0.7%) ALLOT COMMUNICATIONS LTD
2,787
49,664
$
Total common stocks (Cost $5,905,351)
53,856 42,741 66,311 34,326 48,180 56,094 40,030 35,542 20,860 1,430,817
6,471,404
Depository receipts (1.9%) Health Care (1.2%) ICON PLC SPONSORED ADR Information Technology (0.7%) NICE SYSTEMS LTD SPONS ADR
2,945
81,753
1,615
54,070
Total depository receipts (Cost $102,359)
135,823
The accompanying notes are an integral part of these financial statements. -1056-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Real estate investment trusts (2.2%) CAMPUS CREST COMMUNITIES INC CUBESMART EDUCATION REALTY TRUST INC
4,110 2,635 6,010
Fair Value $
50,389 38,392 63,946
Total real estate investment trusts (Cost $152,372)
152,727
Common stock warrants (0.0%) MAGNUM HUNTER RESOURCES WTS (Cost $0)
830
17 $
Total Investments (Cost $6,160,083)
6,759,971
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks Depository receipts Real estate investment trusts Common stock warrants
$
$
Total
Level 1
6,471,404 $ 135,823 152,727 17 6,759,971 $
6,471,404 $ 135,823 152,727 17 6,759,971 $
Level 2
Level 3 - $ - $
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $22,821,759 and $38,164,700, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1057-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 111,076 177,426 50,762 43,688 105,912 32,521 33,847 51,805 9,486 540 1,650 972 3,825,018 1,761,992 393,486 229,816 528,653 412,768 101,614 27,235 14,694 1,846 13,442 57,036 57,383 455,146 395,862 157,735 109,350 88,521 5,071 37,762 14,297 6,939 15,998 24,555 162,017 3,813 21,073 477,778 620,510 1,223,305 1,955,060 1,826,160 642,651 370,594 338,173 57,058 36,580 15,644 2,736 17,109,056
Redemptions (2,083,961) (1,513,967) (848,038) (1,289,809) (1,141,268) (273,941) (628,672) (446,688) (85,400) (4,289) (55,285) (23,224) (116,936) (175,652) (113,794) (55,883) (29,628) (133,936) (4,628) (2,608) (95,669) (77,840) (111,386) (623,303) (701,271) (2,065,156) (2,910,199) (1,418,941) (855,385) (712,919) (59,183) (217,155) (139,888) (61,221) (219,818) (311,274) (1,304,582) (100,295) (469,206) (743,815) (1,236,615) (1,374,083) (2,420,408) (2,140,170) (731,810) (492,743) (362,650) (577,772) (679,357) (140,258) (42,868) $ (32,424,847)
$
Units
$
$
Net change (1,972,885) (1,336,541) (797,276) (1,246,121) (1,035,356) (241,420) (594,825) (394,883) (75,914) (3,749) (53,635) (22,252) 3,708,082 1,586,340 279,692 173,933 499,025 278,832 96,986 24,627 (80,975) (75,994) (97,944) (566,267) (643,888) (1,610,010) (2,514,337) (1,261,206) (746,035) (624,398) (54,112) (179,393) (125,591) (54,282) (203,820) (286,719) (1,142,565) (96,482) (448,133) (266,037) (616,105) (150,778) (465,348) (314,010) (89,159) (122,149) (24,477) (520,714) (642,777) (124,614) (40,132) (15,315,791)
Purchases 11,515 18,593 5,337 4,604 11,126 3,447 3,561 5,601 1,020 56 160 102 394,952 180,525 38,026 22,396 49,924 41,369 9,242 2,756 1,495 193 1,417 807,417
Redemptions (234,068) (157,577) (90,023) (136,982) (122,187) (28,480) (66,479) (47,312) (9,069) (448) (5,340) (2,439) (11,900) (16,495) (10,996) (5,751) (2,730) (12,994) (438) (270) (10,023) (7,709) (11,800) (991,510)
The accompanying notes are an integral part of these financial statements. -1058-
Net change (222,553) (138,984) (84,686) (132,378) (111,061) (25,033) (62,918) (41,711) (8,049) (392) (5,180) (2,337) 383,052 164,030 27,030 16,645 47,194 28,375 8,804 2,486 (8,528) (7,516) (10,383) (184,093)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Diversified Growth (Perimeter) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class R1 Class R2 Class R3 (g) Class R4 (h) Class R5 (i) Class R6 (j) Class R7 (k) Class R8 (l) Class S (b) Class T (m) Class U (f)
NAV per Unit, Beginning of Period $ 8.9691 8.9569 8.9447 8.9325 8.9202 8.9084 8.8961 8.8717 8.8599 8.9840 9.7467 8.9489 8.9850 9.9704 10.0000 10.0000 10.0000 10.0000 10.0000 10.0000 8.9381 8.9274 8.9131
Net Investment Income (Loss)(a) $ (0.0927) (0.1047) (0.1168) (0.1287) (0.1408) (0.1521) (0.1641) (0.1864) (0.1980) (0.0796) (0.1027) (0.1129) (0.0895) (0.1103) (0.0788) (0.1273) (0.1514) (0.1484) (0.1705) (0.1425) (0.1228) (0.0306) (0.1411)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7652 0.7602 0.8490 0.7705 0.7002 0.8348 0.7574 0.7299 0.7257 0.6715 0.7240 0.7102 0.9743 1.0683 0.9931 0.6037 1.0222 0.4892 0.7525 (0.1431) 0.7534 1.2376 0.6495
Total from Investment Activities $ 0.6725 0.6555 0.7322 0.6418 0.5594 0.6827 0.5933 0.5435 0.5277 0.5919 0.6213 0.5973 0.8848 0.9580 0.9143 0.4764 0.8708 0.3408 0.5820 (0.2856) 0.6306 1.2070 0.5084
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.8698 10.9284 10.9143 10.4764 10.8708 10.3408 10.5820 9.7144 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from May 18, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 29, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through March 19, 2012
Total Return 7.50 % 7.32 % 8.19 % 7.18 % 6.27 % 7.66 % 6.67 % 6.13 % 5.96 % 6.59 % 6.37 % 6.67 % 9.85 % 9.61 % 9.14 % 4.76 % 8.71 % 3.41 % 5.82 % (2.86)% 7.06 % 13.52 % 5.70 %
Net Expenses (1.45)% (1.64)% (1.83)% (2.03)% (2.23)% (2.40)% (2.60)% (2.97)% (3.16)% (1.25)% (1.49)% (1.78)% (1.38)% (1.54)% (1.10)% (1.81)% (2.11)% (2.13)% (2.41)% (2.11)% (1.93)% (0.47)% (2.24)%
The accompanying notes are an integral part of these financial statements. -1059-
Net Investment Income (Loss) (1.00)% (1.13)% (1.25)% (1.39)% (1.53)% (1.64)% (1.78)% (2.04)% (2.17)% (0.86)% (1.02)% (1.22)% (0.95)% (1.06)% (0.75)% (1.24)% (1.45)% (1.46)% (1.66)% (1.45)% (1.33)% (0.32)% (1.54)%
FMT Small Cap Intrinsic Value (MetWest) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$ 53,776,750 2,315,045 490,050 13,560 56,595,405
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
167,874 30,925 23,752 222,551 $ 56,372,854
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 1,600,931 311,912 532,962 115,728 278,350 22,533 36,195 31,496
NAV per Unit $ 14.4842 $ 12.3483 $ 12.1040 $ 12.0825 $ 13.0404 $ 12.3285 $ 12.6247 $ 11.6649
Net Assets $ 23,188,211 3,851,588 6,450,986 1,398,282 3,629,785 277,800 456,948 367,398 6,727,221 1,235,889 1,879,239 2,739,925 2,426,775 804,658 498,586 399,616 39,947 $ 56,372,854
The accompanying notes are an integral part of these financial statements. -1060-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
737,023 3,497 740,520 434,674 263,471 14,053 5,400 717,598
Net investment income
22,922
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
25,658,103 21,833,634
Net realized gain from investments sold
3,824,469
Change in net unrealized appreciation (depreciation) on investments
6,598,485
Net realized and unrealized gain on investments
10,422,954
Other operating credits (charges)
107
Net increase in net assets resulting from operations
$ 10,445,983
The accompanying notes are an integral part of these financial statements. -1061-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
22,922
Net realized gain from investments sold
3,824,469
Change in net unrealized appreciation (depreciation) on investments
6,598,485 107
Other operating credits (charges)
10,445,983
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
58,982,356 63,257,028 (4,274,672)
Decrease in net assets from participant transactions Total increase in net assets
6,171,311 50,201,543
Net assets at beginning of year
$ 56,372,854
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1062-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (94.9%) Consumer Discretionary (20.7%) ABERCROMBIE + FITCH CO CL A ACCO BRANDS CORP AEROPOSTALE INC ASCENA RETAIL GROUP INC CARTER S INC DANA HOLDING CORP DSW INC CLASS A ETHAN ALLEN INTERIORS INC GROUP 1 AUTOMOTIVE INC JONES GROUP INC/THE JOS A BANK CLOTHIERS INC OFFICEMAX INC SCHOOL SPECIALTY INC SIX FLAGS ENTERTAINMENT CORP WABTEC CORP
25,000 57,500 72,500 33,150 15,000 57,000 13,000 14,000 9,000 127,000 18,750 105,000 64,500 11,300 11,500
Fair Value
$
1,199,250 422,050 943,225 612,944 834,750 889,770 853,970 359,940 557,910 1,404,620 798,375 1,024,800 61,275 691,560 1,006,710 11,661,149
Consumer Staples (4.7%) FLOWERS FOODS INC J + J SNACK FOODS CORP TREEHOUSE FOODS INC
47,000 8,500 19,000
1,093,690 543,490 990,470 2,627,650
Energy (4.1%) DRIL QUIP INC OASIS PETROLEUM INC OCEANEERING INTL INC TETRA TECHNOLOGIES INC
6,500 27,000 9,500 64,500
474,825 858,600 511,005 489,555 2,333,985
Financial (19.5%) ASSOCIATED BANC CORP CATHAY GENERAL BANCORP E TRADE FINANCIAL CORP EATON VANCE CORP GLACIER BANCORP INC HANCOCK HOLDING CO HORACE MANN EDUCATORS
78,500 43,500 83,000 28,000 57,500 35,000 28,000
1,029,920 848,250 742,850 891,800 845,825 1,110,900 558,880
The accompanying notes are an integral part of these financial statements. -1063-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Financial (Continued) JONES LANG LASALLE INC SOTHEBY S STANCORP FINANCIAL GROUP STIFEL FINANCIAL CORP ZIONS BANCORPORATION
14,000 13,250 29,500 27,000 66,500
Fair Value
$
1,175,160 445,465 1,081,765 863,190 1,423,100 11,017,105
Health Care (8.5%) AMN HEALTHCARE SERVICES INC BIO RAD LABORATORIES A CHARLES RIVER LABORATORIES COVANCE INC STERIS CORP WEBMD HEALTH CORP
90,500 7,250 16,500 9,500 36,000 38,500
1,045,275 761,613 618,255 548,815 1,250,280 552,090 4,776,328
Industrial (18.5%) EMCOR GROUP INC FORWARD AIR CORPORATION HERMAN MILLER INC IDEX CORP KAR AUCTION SERVICES INC KIRBY CORP KORN/FERRY INTERNATIONAL LANDSTAR SYSTEM INC RESOURCES CONNECTION INC TRINITY INDUSTRIES INC UNITED STATIONERS INC WATTS WATER TECHNOLOGIES A
25,500 10,000 17,900 26,500 106,500 15,700 43,000 13,500 71,000 20,000 27,000 15,750
882,555 350,100 383,418 1,233,045 2,155,560 971,673 681,980 708,210 847,740 716,400 836,730 677,092 10,444,503
Information Technology (13.4%) ATMI INC AVID TECHNOLOGY INC DST SYSTEMS INC ELECTRONICS FOR IMAGING INFORMATICA CORP INTL RECTIFIER CORP
25,500 106,500 13,500 65,500 28,500 34,000
532,440 807,270 818,100 1,243,845 864,120 602,820
The accompanying notes are an integral part of these financial statements. -1064-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) JABIL CIRCUIT INC PLANTRONICS INC SCHAWK INC
69,500 23,000 37,500
Fair Value
$
1,340,655 848,010 493,500 7,550,760
Materials (1.8%) TEXAS INDUSTRIES INC
19,500
994,695
Telecommunication Services (0.8%) GENERAL COMMUNICATION INC A
45,000
431,550
Utilities (2.9%) PIKE ELECTRIC CORP WESTAR ENERGY INC
87,500 28,000
835,625 801,360 1,636,985
Total common stocks (Cost $47,955,495)
53,474,710
Exchange-traded fund (0.5%) ISHARES RUSSELL 2000 VALUE IND (Cost $292,926)
4,000
302,040 $ 53,776,750
Total Investments (Cost $48,248,421)
The accompanying notes are an integral part of these financial statements. -1065-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Selected Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Exchange-traded fund
Level 1
Level 2
Level 3
$ 53,474,710 $ 53,474,710 $ 302,040 302,040
- $ -
-
$ 53,776,750
- $
-
$ 53,776,750
$
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $21,533,165 and $25,658,103, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1066-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 155,454 880,571 318,048 318,451 274,946 189,624 59,968 48,127 4,406 79,770 50,226 1,376,500 19,455 18,895 21,701,008 3,109,464 6,194,631 1,437,452 2,960,558 372,184 455,958 344,136 119,926 26,053 8,225 89,183 84,184 560,833 541,169 230,054 147,358 122,100 7,190 56,150 24,674 12,281 25,984 35,059 251,721 4,381 32,703 6,640,024 868,645 1,773,154 2,544,405 2,428,240 874,369 500,565 438,977 84,245 54,818 22,249 3,605 58,982,356
Redemptions (2,682,810) (12,661,406) (4,453,203) (3,485,396) (2,555,498) (994,870) (869,678) (206,970) (69,620) (1,040,286) (705,877) (6,898,531) (191,922) (579,472) (1,527,152) (1,349,351) (848,794) (428,890) (672,240) (139,567) (60,776) (26,656) (1,081,119) (385,563) (130,754) (766,103) (854,405) (2,462,300) (3,546,968) (1,737,518) (1,044,435) (869,617) (71,217) (271,495) (178,151) (77,798) (273,257) (377,644) (1,626,349) (117,545) (574,743) (497,857) (420,130) (181,997) (523,465) (531,403) (230,168) (175,655) (94,173) (707,859) (814,142) (170,255) (13,978) $ (63,257,028)
$
Units
$
$
Net change (2,527,356) (11,780,835) (4,135,155) (3,166,945) (2,280,552) (805,246) (809,710) (158,843) (65,214) (960,516) (655,651) (5,522,031) (172,467) (560,577) 20,173,856 1,760,113 5,345,837 1,008,562 2,288,318 232,617 395,182 317,480 (961,193) (359,510) (122,529) (676,920) (770,221) (1,901,467) (3,005,799) (1,507,464) (897,077) (747,517) (64,027) (215,345) (153,477) (65,517) (247,273) (342,585) (1,374,628) (113,164) (542,040) 6,142,167 448,515 1,591,157 2,020,940 1,896,837 644,201 324,910 344,804 (623,614) (759,324) (148,006) (10,373) (4,274,672)
Purchases 11,020 65,577 27,390 24,396 21,196 14,345 4,633 4,010 387 6,488 3,881 94,842 1,586 1,385 1,644,992 299,885 577,005 137,656 261,070 34,297 38,437 33,830 10,129 1,947 665 3,321,049
Redemptions (201,922) (988,497) (377,464) (269,169) (188,956) (74,203) (67,044) (15,900) (5,852) (80,717) (54,663) (454,477) (14,667) (40,955) (114,386) (117,163) (76,613) (38,119) (54,581) (12,574) (5,306) (2,334) (87,920) (29,695) (10,234) (3,383,411)
The accompanying notes are an integral part of these financial statements. -1067-
Net change (190,902) (922,920) (350,074) (244,773) (167,760) (59,858) (62,411) (11,890) (5,465) (74,229) (50,782) (359,635) (13,081) (39,570) 1,530,606 182,722 500,392 99,537 206,489 21,723 33,131 31,496 (77,791) (27,748) (9,569) (62,362)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Intrinsic Value (MetWest) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 (g) Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.9882 12.2515 10.7760 12.0216 11.9058 11.7927 11.6756 11.4618 10.2347 11.1263 11.9547 13.2661 11.2514 12.5672 11.8367 10.1133 9.9300 9.9290 10.7343 10.1654 10.4272 10.0000 10.9442 12.1957 11.7366
Net Investment Income (Loss)(a) $ 0.0048 0.0053 0.0053 0.0066 0.0073 0.0079 0.0085 0.0095 0.0093 0.0033 0.0046 0.0063 0.0038 0.0057 0.0038 0.0040 0.0046 0.0052 0.0063 0.0066 0.0074 0.0073 0.0057 0.0069 0.0072
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.3281 2.1763 2.0151 2.1472 2.0571 2.1361 2.0174 1.8765 1.6503 1.8561 1.9619 2.3544 1.8647 2.3658 2.6437 2.2310 2.1694 2.1483 2.2998 2.1565 2.1901 1.6576 1.9067 2.1681 1.8368
Total from Investment Activities $ 2.3329 2.1816 2.0204 2.1538 2.0644 2.1440 2.0259 1.8860 1.6596 1.8594 1.9665 2.3607 1.8685 2.3715 2.6475 2.2350 2.1740 2.1535 2.3061 2.1631 2.1975 1.6649 1.9124 2.1750 1.8440
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.4842 12.3483 12.1040 12.0825 13.0404 12.3285 12.6247 11.6649 -
Total Return 17.96 17.81 18.75 17.92 17.34 18.18 17.35 16.45 16.22 16.71 16.45 17.79 16.61 18.87 22.37 22.10 21.89 21.69 21.48 21.28 21.07 16.65 17.47 17.83 15.71
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.06)% (1.23)% (1.39)% (1.57)% (1.75)% (1.90)% (2.08)% (2.39)% (2.61)% (0.86)% (1.09)% (1.35)% (0.96)% (1.29)% (0.90)% (1.11)% (1.30)% (1.48)% (1.64)% (1.82)% (2.00)% (2.09)% (1.49)% (1.62)% (1.78)%
Net Investment Income (Loss) 0.03 % 0.04 % 0.04 % 0.05 % 0.06 % 0.06 % 0.07 % 0.08 % 0.08 % 0.03 % 0.04 % 0.04 % 0.03 % 0.04 % 0.03 % 0.04 % 0.04 % 0.05 % 0.05 % 0.06 % 0.06 % 0.07 % 0.05 % 0.05 % 0.06 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1068-
FMT Small Cap Value (Opus) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Dividends and interest Total assets
$
4,975,173 244,438 11,895 8,224 5,239,730
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
9,752 4,173 2,230 16,155 $
Net assets
5,223,575
Components of net assets
Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 105,881 59,190 114,440 148,825 54,643 9,509 2,746
NAV per Unit $ 9.8848 $ 10.1389 $ 11.2505 $ 10.4475 $ 11.0369 $ 10.8190 $ 10.3888
$
$
The accompanying notes are an integral part of these financial statements. -1069-
Net Assets 1,046,608 600,119 1,287,504 1,554,846 603,090 102,880 28,528 5,223,575
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
284,786 508 285,294 158,387 80,114 10,940 5,400 254,841
Net investment income
30,453
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
21,455,948 19,113,254
Net realized gain from investments sold
2,342,694
Change in net unrealized appreciation (depreciation) on investments
(969,192)
Net realized and unrealized gain on investments
1,373,502
Other operating credits (charges)
97
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1070-
1,404,052
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
30,453
Net realized gain from investments sold
2,342,694
Change in net unrealized appreciation (depreciation) on investments
(969,192) 97
Other operating credits (charges)
1,404,052
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
15,649,528 30,444,936 (14,795,408)
Decrease in net assets from participant transactions Total decrease in net assets
(13,391,356) 18,614,931
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1071-
5,223,575
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (88.8%) Consumer Discretionary (9.8%) AMERICA S CAR MART INC CATO CORP CLASS A DIGITAL GENERATION INC GUESS? INC HARMAN INTERNATIONAL RENT A CENTER INC TITAN MACHINERY INC WMS INDUSTRIES INC
3,200 850 5,350 2,700 900 1,350 2,750 4,700
Consumer Staples (0.8%) DARLING INTERNATIONAL INC
2,700
43,308
Energy (10.7%) ATWOOD OCEANICS INC BRISTOW GROUP INC CLOUD PEAK ENERGY INC EPL OIL + GAS INC KEY ENERGY SERVICES INC NEWPARK RESOURCES INC OIL STATES INTERNATIONAL INC PRECISION DRILLING CORP
1,050 850 4,400 2,400 7,100 14,950 650 13,950
48,080 45,611 85,052 54,120 49,345 117,357 46,501 115,506 561,572
Financials (27.0%) ARES CAPITAL CORP ASPEN INSURANCE HOLDINGS LTD BANK OF THE OZARKS CASH AMERICA INTL INC ENCORE CAPITAL GROUP INC ENDURANCE SPECIALTY HOLDINGS EZCORP INC CL A FIFTH STREET FINANCE CORP FIRST FINANCIAL BANCORP GREEN DOT CORP CLASS A HANCOCK HOLDING CO
6,950 4,600 4,100 2,050 2,150 3,500 6,600 10,150 4,800 6,850 2,050
121,625 147,568 137,227 81,323 65,833 138,915 131,076 105,763 70,176 83,570 65,067
$
The accompanying notes are an integral part of these financial statements. -1072-
129,664 23,316 58,101 66,258 40,176 46,386 67,925 82,250 514,076
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Financials (Continued) IBERIABANK CORP STANCORP FINANCIAL GROUP STATE BANK FINANCIAL CORP
2,250 1,400 6,250
Health Care (1.0%) ENDO HEALTH SOLUTIONS INC
2,000
52,540
Industrial (17.0%) ACETO CORP ALLEGIANT TRAVEL CO ATLAS AIR WORLDWIDE HOLDINGS CHEMED CORP CRANE CO CURTISS WRIGHT CORP DYCOM INDUSTRIES INC ENERSYS GREENBRIER COMPANIES INC KIRBY CORP MOOG INC CLASS A SPIRIT AIRLINES INC TRIUMPH GROUP INC
5,500 450 2,350 900 1,750 1,500 5,500 2,250 900 600 1,600 7,250 950
55,220 33,035 104,129 61,731 80,990 49,245 108,900 84,667 14,553 37,134 65,648 128,470 62,035 885,757
Information Technology (13.1%) EBIX INC ENTROPIC COMMUNICATIONS INC INTERDIGITAL INC ITRON INC KULICKE + SOFFA INDUSTRIES OMNIVISION TECHNOLOGIES INC SYNAPTICS INC SYNNEX CORP XYRATEX LTD
2,100 10,550 2,850 1,250 5,350 7,150 2,700 2,750 9,600
33,747 55,809 117,135 55,688 64,146 100,672 80,919 94,545 80,736 683,397
$
The accompanying notes are an integral part of these financial statements. -1073-
110,520 51,338 99,250 1,409,251
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Materials (9.0%) AURICO GOLD INC GRAFTECH INTERNATIONAL LTD MATERION CORP METHANEX CORP OLIN CORP US SILICA HOLDINGS INC
11,600 8,400 6,150 1,250 2,350 2,800
Utilities (0.4%) ATMOS ENERGY CORP
Fair Value
$
94,888 78,876 158,547 39,838 50,736 46,844 469,729 21,072
600
Total common stocks (Cost $4,288,749)
4,640,702
Real estate investment trusts (6.4%) CHESAPEAKE LODGING TRUST COLONY FINANCIAL INC LASALLE HOTEL PROPERTIES STARWOOD PROPERTY TRUST INC
5,100 4,300 2,150 3,900
106,488 83,850 54,589 89,544
Total real estate investment trusts (Cost $272,799)
334,471 $
Total Investments (Cost $4,561,548)
The accompanying notes are an integral part of these financial statements. -1074-
4,975,173
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Real estate investment trusts
$ $
4,640,702 $ 334,471 4,975,173 $
Level 1 4,640,702 $ 334,471 4,975,173 $
Level 2
Level 3 - $ - $
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $6,705,678 and $21,455,948, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1075-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions for the year ended December 31, 2012 were as follows: Dollars
Class B Class C Class D Class E Class F Class G Class I Class J Class L Class O Class Q Class R1 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 44,155 51,659 298,444 83,458 71,024 18,588 14,234 25,935 1,274 1,270 1,356 901,192 803,453 1,657,943 1,608,186 621,425 99,888 86,981 27,413 22,911 28,975 57,036 57,400 455,154 395,869 157,754 109,350 88,524 5,071 38,190 14,297 6,938 16,001 24,555 162,018 3,813 21,073 477,779 620,510 1,223,299 1,955,060 1,826,152 642,650 370,594 338,173 57,543 36,580 15,644 2,737 15,649,528
Redemptions (574,574) (1,343,525) (1,705,777) (514,660) (312,059) (298,026) (153,243) (80,497) (325,895) (24,446) (100,650) (111,164) (221,977) (482,399) (146,121) (89,479) (1,390) (63,999) (403,686) (161,466) (68,268) (638,408) (723,274) (2,105,590) (2,985,464) (1,451,929) (876,835) (731,263) (61,215) (222,265) (143,903) (61,878) (223,317) (316,920) (1,331,108) (106,193) (485,754) (736,056) (1,206,427) (1,351,060) (2,365,822) (2,094,479) (718,096) (481,362) (354,962) (594,481) (705,228) (144,809) (43,537) $ (30,444,936)
$
Units
$
$
Net change (530,419) (1,291,866) (1,407,333) (431,202) (241,035) (279,438) (139,009) (54,562) (324,621) (23,176) (99,294) 790,028 581,476 1,175,544 1,462,065 531,946 98,498 22,982 (376,273) (138,555) (39,293) (581,372) (665,874) (1,650,436) (2,589,595) (1,294,175) (767,485) (642,739) (56,144) (184,075) (129,606) (54,940) (207,316) (292,365) (1,169,090) (102,380) (464,681) (258,277) (585,917) (127,761) (410,762) (268,327) (75,446) (110,768) (16,789) (536,938) (668,648) (129,165) (40,800) (14,795,408)
Purchases 3,985 4,908 28,017 7,394 6,498 1,788 1,284 2,461 124 68 112 93,661 81,737 157,832 163,510 57,818 9,649 9,088 2,133 2,314 2,905 637,286
Redemptions (51,115) (129,131) (162,012) (45,841) (28,061) (29,358) (13,655) (8,034) (28,980) (1,285) (8,236) (12,402) (22,547) (44,340) (14,885) (8,368) (140) (6,342) (33,518) (17,350) (6,810) (672,410)
The accompanying notes are an integral part of these financial statements. -1076-
Net change (47,130) (124,223) (133,995) (38,447) (21,563) (27,570) (12,371) (5,573) (28,856) (1,217) (8,124) 81,259 59,190 113,492 148,625 49,450 9,509 2,746 (31,385) (15,036) (3,905) (35,124)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Small Cap Value (Opus) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class J (b) Class L (f) Class O (e) Class Q (g) Class R1 Class R3 (h) Class R4 Class R5 (i) Class R5 (j) Class R6 Class R7 (k) Class R8 (l) Class S (b) Class T (d) Class U (m) Class U (n)
NAV per Unit, Beginning of Period $ 10.3047 9.9877 10.0727 10.5939 10.2307 9.6368 10.5766 9.5609 10.3994 17.6495 11.3324 8.9051 10.0000 10.1921 10.2369 10.0000 10.0324 10.0000 10.0000 12.0372 9.3901 9.5033 10.0000
Net Investment Income (Loss)(a) $ 0.0186 0.0203 0.0230 0.0267 0.0281 0.0293 0.0364 0.0349 0.0127 0.0345 0.0042 0.0116 0.0151 0.0216 0.0011 0.0209 0.0263 0.0281 0.0275 0.0257 0.0224 0.0027 0.0181
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7133 0.7855 0.7229 0.6766 0.7395 0.6346 0.5939 0.5189 0.4874 1.2087 0.8841 0.9681 0.1238 1.0368 0.2986 0.4266 0.9782 0.7909 0.3613 0.8042 0.6807 0.9028 (0.5322)
Total from Investment Activities $ 0.7319 0.8058 0.7459 0.7033 0.7676 0.6639 0.6303 0.5538 0.5001 1.2432 0.8883 0.9797 0.1389 1.0584 0.2997 0.4475 1.0045 0.8190 0.3888 0.8299 0.7031 0.9055 (0.5141)
Ratios (to average unit value)
NAV per Unit, End of Period $ 9.8848 10.1389 11.2505 10.4475 11.0369 10.8190 10.3888 -
Total Return 7.10 % 8.07 % 7.41 % 6.64 % 7.50 % 6.89 % 5.96 % 5.79 % 4.81 % 7.04 % 7.84 % 11.00 % 1.39 % 10.38 % 2.93 % 4.48 % 10.01 % 8.19 % 3.89 % 6.89 % 7.49 % 9.53 % (5.14)%
Net Expenses (1.45)% (1.63)% (1.83)% (2.03)% (2.20)% (2.44)% (2.78)% (2.95)% (0.99)% (1.57)% (0.30)% (1.03)% (1.24)% (1.68)% (0.09)% (1.70)% (2.08)% (2.24)% (2.25)% (1.71)% (1.91)% (0.22)% (1.54)%
Net Investment Income (Loss) 0.17 % 0.20 % 0.22 % 0.24 % 0.27 % 0.29 % 0.33 % 0.35 % 0.12 % 0.19 % 0.04 % 0.12 % 0.15 % 0.20 % 0.01 % 0.20 % 0.25 % 0.27 % 0.27 % 0.21 % 0.23 % 0.03 % 0.19 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through March 8, 2012
(h)
For the period from February 15, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 1, 2012 through January 17, 2012
(j)
For the period from January 27, 2012 (recommencement of this class) through December 31, 2012
(k)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 24, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 1, 2012 through February 6, 2012
(n)
For the period from February 23, 2012 (recommencement of this class) through November 7, 2012
The accompanying notes are an integral part of these financial statements. -1077-
FMT SMID Diversified Growth (Frontier/Geneva) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Investments sold Dividend tax reclaim Total assets
$ 79,470,329 2,382,754 7,933 4,736 941 81,866,693
Liabilities Agency fees Sub-advisor fees Investments purchased Cash overdraft Total liabilities
53,932 37,990 1,806 229 93,957 $ 81,772,736
Net assets Components of net assets Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Lehman Lifestyle
Units of Participation 2,054,279 370,606 662,555 908,782 664,294 273,140 233,897 101,340
$ $ $ $ $ $ $ $
NAV per Unit 13.4912 11.6502 11.4552 11.4345 12.2400 11.7155 11.5147 11.7624
$
$
The accompanying notes are an integral part of these financial statements. -1078-
Net Assets 27,714,610 4,317,616 7,589,676 10,391,494 8,130,987 3,199,980 2,693,251 1,192,010 6,757,253 1,204,829 1,839,435 2,672,519 2,366,819 786,675 486,533 390,021 39,028 81,772,736
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $180) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
789,758 1,150 790,908 712,204 387,405 26,001 5,400 1,131,010
Net investment loss
(340,102)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
66,573,628 56,418,360
Net realized gain from investments sold
10,155,268
Change in net unrealized appreciation (depreciation) on investments
864,952
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
11,020,220 $ 10,680,118
The accompanying notes are an integral part of these financial statements. -1079-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(340,102) 10,155,268 864,952
Change in net unrealized appreciation (depreciation) on investments
10,680,118
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
99,330,280 98,933,722 396,558
Increase in net assets from participant transactions Total increase in net assets
11,076,676
Net assets at beginning of year
70,696,060 $ 81,772,736
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1080-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (97.2%) Consumer Discretionary (8.4%) AUTOLIV INC BJ S RESTAURANTS INC CHICO S FAS INC DOLLAR TREE INC HANESBRANDS INC HARMAN INTERNATIONAL HIBBETT SPORTS INC IMAX CORP JOS A BANK CLOTHIERS INC LIONS GATE ENTERTAINMENT COR LKQ CORP MONRO MUFFLER BRAKE INC PANERA BREAD COMPANY CLASS A RUE21 INC SELECT COMFORT CORPORATION TENNECO INC TIVO INC VERA BRADLEY INC WMS INDUSTRIES INC
6,700 9,434 27,919 6,240 9,360 8,500 10,898 17,260 8,645 40,590 19,109 10,006 2,945 6,390 12,750 3,320 42,490 5,180 7,940
Consumer Staples (2.5%) J + J SNACK FOODS CORP SENSIENT TECHNOLOGIES CORP TREEHOUSE FOODS INC ULTA SALON COSMETICS + FRAGR VITAMIN SHOPPE INC
5,769 10,292 6,627 4,193 10,317
368,870 365,984 345,466 412,004 591,783 2,084,107
Energy (7.9%) ABRAXAS PETROLEUM CORP CABOT OIL + GAS CORP CARRIZO OIL + GAS INC CONSOL ENERGY INC CONTINENTAL RESOURCES INC/OK CORE LABORATORIES N.V.
38,170 10,290 25,250 4,770 6,670 3,120
83,592 511,825 528,230 153,117 490,178 341,047
$
The accompanying notes are an integral part of these financial statements. -1081-
451,513 310,379 515,385 253,094 335,275 379,440 574,325 388,005 368,104 665,676 403,200 349,910 467,754 181,412 333,667 116,565 523,477 130,018 138,950 6,886,149
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Energy (Continued) DRIL QUIP INC GULFPORT ENERGY CORP INTEROIL CORP KIOR INC CL A KODIAK OIL + GAS CORP MAGNUM HUNTER RESOURCES CORP MCDERMOTT INTL INC REX ENERGY CORP ROSETTA RESOURCES INC SM ENERGY CO Financial (8.0%) AFFILIATED MANAGERS GROUP BANK OF THE OZARKS CAPITALSOURCE INC EVEREST RE GROUP LTD EXLSERVICE HOLDINGS INC FIDELITY NATIONAL FINL A GREEN DOT CORP CLASS A HCC INSURANCE HOLDINGS INC HIGHER ONE HOLDINGS INC JEFFERIES GROUP INC LPL FINANCIAL HOLDINGS INC MOODY S CORP POPULAR INC RAYMOND JAMES FINANCIAL INC SOTHEBY S TEXAS CAPITAL BANCSHARES INC WADDELL + REED FINANCIAL A WR BERKLEY CORP Health Care (14.1%) BIOMARIN PHARMACEUTICAL INC
15,172 18,495 10,800 23,200 19,290 81,890 28,290 25,310 7,381 5,882
Fair Value
$
2,227 14,103 115,050 4,430 12,916 14,340 15,040 8,030 4,680 22,600 6,200 4,990 18,861 11,660 3,080 13,540 5,410 16,620
289,844 472,027 872,079 487,078 342,274 337,707 183,488 298,796 49,327 419,682 174,592 251,097 392,120 449,260 103,550 606,863 188,376 627,239 6,545,399
2,610
128,542
The accompanying notes are an integral part of these financial statements. -1082-
1,108,315 706,879 599,724 148,712 170,716 326,741 311,756 329,536 334,802 307,099 6,452,269
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Health Care (Continued) CANTEL MEDICAL CORP CATAMARAN CORP COOPER COS INC/THE COVANCE INC DEXCOM INC HAEMONETICS CORP/MASS IDEXX LABORATORIES INC ILLUMINA INC INSULET CORP INTERMUNE INC IPC THE HOSPITALIST CO MAKO SURGICAL CORP MEDIDATA SOLUTIONS INC MEDNAX INC MWI VETERINARY SUPPLY INC MYRIAD GENETICS INC NANOSPHERE INC NEOGEN CORP PAREXEL INTERNATIONAL CORP PERRIGO CO QIAGEN N.V. SYMMETRY MEDICAL INC SYNERON MEDICAL LTD TECHNE CORP UNILIFE CORP WATSON PHARMACEUTICALS INC
21,076 15,248 12,950 400 56,540 10,915 3,811 6,860 45,540 18,930 7,831 30,950 17,715 6,040 5,856 5,560 57,960 7,874 18,798 3,250 12,950 26,600 37,320 5,509 40,190 3,830
Industrial (25.8%) ACUITY BRANDS INC ALASKA AIR GROUP INC ALLEGIANT TRAVEL CO APOGEE ENTERPRISES INC BARNES GROUP INC
Fair Value
$
8,446 6,990 7,536 15,370 13,288
The accompanying notes are an integral part of these financial statements. -1083-
626,589 718,333 1,197,616 23,108 769,509 445,769 353,661 381,347 966,359 183,432 310,969 398,326 694,251 480,301 644,160 151,510 166,925 356,850 556,233 338,098 235,042 279,832 323,564 376,485 91,231 329,380 11,527,422 572,048 301,199 553,218 368,419 298,448
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) BELDEN INC CARLISLE COS INC CHART INDUSTRIES INC CLEAN HARBORS INC DONALDSON CO INC ECHO GLOBAL LOGISTICS INC ENCORE WIRE CORP FACTSET RESEARCH SYSTEMS INC FLEXTRONICS INTL LTD FOSTER WHEELER AG GENESEE + WYOMING INC CL A GLOBAL PAYMENTS INC HARSCO CORP HEALTHCARE SERVICES GROUP HMS HOLDINGS CORP HUB GROUP INC CL A HUBBELL INC CL B JACOBS ENGINEERING GROUP INC JETBLUE AIRWAYS CORP KANSAS CITY SOUTHERN KAR AUCTION SERVICES INC KIRBY CORP LANDSTAR SYSTEM INC LENNOX INTERNATIONAL INC LIQUIDITY SERVICES INC MARTEN TRANSPORT LTD MERITOR INC MIDDLEBY CORP MONSTER WORLDWIDE INC MRC GLOBAL INC ORBITAL SCIENCES CORP OWENS CORNING PALL CORP
21,400 4,420 4,903 3,010 9,372 17,828 3,900 3,551 69,340 12,600 6,488 3,760 17,470 24,706 12,994 12,430 4,580 3,940 39,410 5,090 14,040 3,620 5,370 14,480 9,615 18,642 36,300 4,808 26,200 20,379 20,190 200 6,870
Fair Value
$
The accompanying notes are an integral part of these financial statements. -1084-
962,786 259,719 326,883 165,580 307,776 320,369 118,209 312,701 430,601 306,432 493,607 170,328 410,545 573,920 336,804 417,648 387,605 167,726 225,031 424,913 284,170 224,042 281,710 760,490 392,869 342,826 171,699 616,434 147,244 566,129 278,016 7,398 413,986
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) PENTAIR LTD REGISTERED PRIMORIS SERVICES CORP QUANTA SERVICES INC RBC BEARINGS INC RPX CORP TEAM INC TREX COMPANY INC UNITED CONTINENTAL HOLDINGS US AIRWAYS GROUP INC UTI WORLDWIDE INC WABASH NATIONAL CORP WABCO HOLDINGS INC WATSCO INC WORLD FUEL SERVICES CORP
2,950 12,500 22,650 11,123 43,950 12,405 5,820 87,810 13,340 24,330 75,930 5,640 7,350 15,170
Information Technology (21.4%) ADTRAN INC ADVENT SOFTWARE INC AKAMAI TECHNOLOGIES INC ALTERA CORP ARRIS GROUP INC BOTTOMLINE TECHNOLOGIES INC CABOT MICROELECTRONICS CORP COGENT COMMUNICATIONS GROUP COMSCORE INC CONCUR TECHNOLOGIES INC CONSTANT CONTACT INC CYMER INC CYPRESS SEMICONDUCTOR CORP DTS INC ELECTRONIC ARTS INC FAIRCHILD SEMICONDUCTOR INTE INTEGRATED DEVICE TECH INC
Fair Value
$
6,440 9,980 6,050 11,040 21,318 17,671 5,200 35,440 6,180 7,796 7,760 5,990 41,350 21,700 17,400 35,710 26,940
The accompanying notes are an integral part of these financial statements. -1085-
144,993 188,000 618,118 556,929 397,308 471,886 216,679 2,052,998 180,090 326,022 681,092 367,672 550,515 624,549 21,076,379 125,838 213,372 247,506 380,218 318,491 466,338 184,652 802,362 85,160 526,386 110,270 541,676 448,234 362,390 252,822 514,224 196,662
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (continued) INTERACTIVE INTELLIGENCE GRO INTL RECTIFIER CORP INTRALINKS HOLDINGS INC ITRON INC JABIL CIRCUIT INC K12 INC MARKETAXESS HOLDINGS INC MAXIM INTEGRATED PRODUCTS MEMC ELECTRONIC MATERIALS MICROSEMI CORP MONOLITHIC POWER SYSTEMS INC ON SEMICONDUCTOR CORPORATION QUINSTREET INC RESPONSYS INC RITCHIE BROS AUCTIONEERS RIVERBED TECHNOLOGY INC ROGERS CORP ROVI CORP SILICON LABORATORIES INC SKYWORKS SOLUTIONS INC SOURCEFIRE INC SYNAPTICS INC TESSERA TECHNOLOGIES INC TRIQUINT SEMICONDUCTOR INC TYLER TECHNOLOGIES INC ULTIMATE SOFTWARE GROUP INC ULTRATECH INC VERIFONE SYSTEMS INC VERISIGN INC WEB.COM GROUP INC WESTERN DIGITAL CORP
14,830 14,460 10,550 4,510 16,860 28,280 14,510 17,820 31,120 14,720 29,710 32,550 36,800 28,800 6,360 15,601 26,530 43,598 5,150 19,890 4,860 9,090 7,400 30,470 17,585 6,072 15,970 10,250 5,250 10,050 12,970
Fair Value
$
The accompanying notes are an integral part of these financial statements. -1086-
497,398 256,376 65,094 200,921 325,229 578,043 512,203 523,908 99,895 309,709 661,939 229,478 247,296 171,648 132,860 307,652 1,317,480 672,717 215,322 403,767 229,489 272,427 121,508 147,475 851,817 573,258 595,681 304,220 203,805 148,740 551,095 17,505,051
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Materials (6.8%) AGNICO EAGLE MINES LTD ALBEMARLE CORP ALLEGHENY TECHNOLOGIES INC BALCHEM CORP CABOT CORP CELANESE CORP SERIES A CROWN HOLDINGS INC EAGLE MATERIALS INC FMC CORP HORSEHEAD HOLDING CORP MARTIN MARIETTA MATERIALS PACKAGING CORP OF AMERICA
8,240 8,200 16,150 12,622 10,640 3,710 24,900 13,810 8,480 19,280 2,800 9,860
Telecommunication Services (2.3%) METROPCS COMMUNICATIONS INC NII HOLDINGS INC PREMIERE GLOBAL SERVICES INC SBA COMMUNICATIONS CORP CL A
Fair Value
$
17,000 76,200 50,890 9,050
432,270 509,384 490,314 459,441 423,366 165,206 916,569 807,885 496,250 196,849 263,984 379,314 5,540,832 168,980 543,306 497,704 642,731 1,852,721
$ 79,470,329
Total common stocks (Cost $65,549,243)
The accompanying notes are an integral part of these financial statements. -1087-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks
Total
Level 1
$ 79,470,329
$ 79,470,329
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $65,114,195 and $66,573,628, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1088-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A Lifestyle Class B Lifestyle Class C Lifestyle Class D Lifestyle Class E Lifestyle Class F Lifestyle Class G Lifestyle Class H Lifestyle Class I Lifestyle Class J Lifestyle Class L Lifestyle Class M Lifestyle Class N Lifestyle Class O Lifestyle Class P Lifestyle Class Q Lifestyle Class R1 Lifestyle Class R2 Lifestyle Class R3 Lifestyle Class R4 Lifestyle Class R5 Lifestyle Class R6 Lifestyle Class R7 Lifestyle Class R8 Lifestyle Class S Lifestyle Class T Lifestyle Class U Lifestyle Lehman Lifestyle
$
$
Purchases 77,587 287,077 1,410,408 1,486,612 476,251 426,121 229,510 28,735 86,046 41,021 52,986 162,618 1,628,665 25,245 10,157 26,371,581 6,500,075 8,173,369 10,367,775 9,417,274 3,625,936 2,901,117 1,194,802 222,425 83,684 40,547 404,007 268,233 613,195 1,314,343 642,092 375,562 374,725 24,630 133,284 119,712 68,586 259,968 92,095 903,350 556 223,563 6,921,602 1,455,344 1,881,384 2,809,637 2,589,166 917,909 557,103 409,867 310,974 215,547 76,655 39,567 99,330,280
Redemptions (3,173,283) (5,733,144) (13,946,795) (16,497,598) (9,307,075) (5,980,683) (3,860,081) (449,908) (1,841,440) (376,162) (1,214,395) (5,056,407) (8,549,030) (513,266) (657,152) (894,601) (2,548,330) (1,554,355) (2,365,776) (2,149,376) (650,230) (507,960) (138,005) (1,220,352) (1,513,832) (460,303) (401,351) (264,240) (609,629) (1,306,272) (633,350) (372,639) (370,665) (24,129) (131,401) (118,881) (66,811) (252,442) (90,456) (891,289) (493) (221,646) (369,392) (268,109) (77,483) (187,006) (267,253) (144,943) (78,197) (26,427) (310,193) (213,383) (74,787) (1,316) $ (98,933,722)
$
Units
$
$
Net change (3,095,696) (5,446,067) (12,536,387) (15,010,986) (8,830,824) (5,554,562) (3,630,571) (421,173) (1,755,394) (335,141) (1,161,409) (4,893,789) (6,920,365) (488,021) (646,995) 25,476,980 3,951,745 6,619,014 8,001,999 7,267,898 2,975,706 2,393,157 1,056,797 (997,927) (1,430,148) (419,756) 2,656 3,993 3,566 8,071 8,742 2,923 4,060 501 1,883 831 1,775 7,526 1,639 12,061 63 1,917 6,552,210 1,187,235 1,803,901 2,622,631 2,321,913 772,966 478,906 383,440 781 2,164 1,868 38,251 396,558
Purchases 3,320 9,472 48,674 48,549 17,349 15,918 8,814 2,202 5,090 3,398 3,963 14,172 136,089 1,846 710 2,020,319 586,253 774,063 987,414 822,436 326,913 272,799 106,563 16,228 5,954 2,880 6,241,388
Redemptions (137,070) (195,965) (494,326) (550,470) (334,805) (222,625) (148,199) (34,598) (108,035) (30,666) (90,099) (433,354) (708,713) (37,668) (45,391) (67,636) (229,314) (142,778) (218,742) (184,292) (57,541) (46,866) (12,423) (91,427) (106,054) (32,216) (4,761,273)
The accompanying notes are an integral part of these financial statements. -1089-
Net change (133,750) (186,493) (445,652) (501,921) (317,456) (206,707) (139,385) (32,396) (102,945) (27,268) (86,136) (419,182) (572,624) (35,822) (44,681) 1,952,683 356,939 631,285 768,672 638,144 269,372 225,933 94,140 (75,199) (100,100) (29,336) 1,480,115
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Diversified Growth (Frontier/Geneva) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 21.6247 27.4121 25.8426 27.5333 25.1345 24.5715 23.7138 12.0134 15.4768 11.0275 12.0415 10.3567 10.9075 12.6184 13.0038 11.5431 9.9895 9.8391 9.8379 10.5488 10.1138 9.9573 10.1887 12.2099 12.9110 12.8936
Net Investment Income (Loss)(a) $ (0.0755) (0.1092) (0.1176) (0.1406) (0.1425) (0.1518) (0.1596) (0.0834) (0.1198) (0.0914) (0.0339) (0.0344) (0.0482) (0.0397) (0.0547) (0.0359) (0.0371) (0.0426) (0.0482) (0.0575) (0.0610) (0.0654) (0.0729) (0.0589) (0.0690) (0.0736)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.9288 3.6780 3.6989 3.8283 3.3564 3.4231 3.2069 1.2572 1.9401 1.3687 1.3723 1.6790 1.4905 1.4312 1.8753 1.9840 1.6978 1.6587 1.6448 1.7487 1.6627 1.6228 1.6466 1.6146 1.7885 1.3857
Total from Investment Activities $ 2.8533 3.5688 3.5813 3.6877 3.2139 3.2713 3.0473 1.1738 1.8203 1.2773 1.3384 1.6446 1.4423 1.3915 1.8206 1.9481 1.6607 1.6161 1.5966 1.6912 1.6017 1.5574 1.5737 1.5557 1.7195 1.3121
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.4912 11.6502 11.4552 11.4345 12.2400 11.7155 11.5147 11.7624 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 5, 2012
Total Return 13.19 13.02 13.86 13.39 12.79 13.31 12.85 9.77 11.76 11.58 11.11 15.88 13.22 11.03 14.00 16.88 16.62 16.43 16.23 16.03 15.84 15.64 15.45 12.74 13.32 10.18
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.10)% (1.25)% (1.43)% (1.60)% (1.78)% (1.94)% (2.12)% (2.22)% (2.45)% (2.62)% (0.89)% (1.03)% (1.39)% (1.00)% (1.32)% (0.96)% (1.15)% (1.34)% (1.52)% (1.69)% (1.87)% (2.04)% (2.22)% (1.52)% (1.68)% (1.82)%
The accompanying notes are an integral part of these financial statements. -1090-
Net Investment Income (Loss) (0.33)% (0.37)% (0.43)% (0.48)% (0.53)% (0.58)% (0.63)% (0.66)% (0.73)% (0.78)% (0.27)% (0.31)% (0.41)% (0.30)% (0.39)% (0.29)% (0.34)% (0.40)% (0.45)% (0.50)% (0.56)% (0.61)% (0.66)% (0.45)% (0.50)% (0.54)%
FMT SMID Value (Fisher Investments) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Receivables Investments sold Dividends Total assets
$ 68,269,704 604,110 68,383 68,942,197
Liabilities Cash overdraft Fees payable Sub-advisor fees Total liabilities
312,673 46,611 42,362 401,646 $ 68,540,551
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 1,667,849 114,523 455,543 615,889 526,955 293,195 137,205 43,824
NAV per Unit $ 11.1682 $ 11.2128 $ 11.0508 $ 11.0326 $ 11.1520 $ 11.1588 $ 10.8564 $ 11.2636
Net Assets $ 18,626,798 1,284,132 5,034,120 6,794,869 5,876,599 3,271,694 1,489,544 493,622 10,496,366 1,869,450 2,853,971 4,142,312 3,669,290 1,218,746 753,900 604,598 60,540 $ 68,540,551
The accompanying notes are an integral part of these financial statements. -1091-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
1,181,534 1,314 1,182,848 525,995 308,917 17,064 5,400 857,376
Net investment income
325,472
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
72,816,658 63,148,667
Net realized gain from investments sold
9,667,991
Change in net unrealized appreciation (depreciation) on investments
(5,655,712)
Net realized and unrealized gain on investments
4,012,279
Other operating credits (charges)
(69)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1092-
4,337,682
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
325,472 9,667,991
Change in net unrealized appreciation (depreciation) on investments
(5,655,712) (69)
Other operating credits (charges)
4,337,682
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
88,477,497 75,047,279 13,430,218
Increase in net assets from participant transactions Total increase in net assets
17,767,900
Net assets at beginning of year
50,772,651 $ 68,540,551
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1093-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments
Fair Value
Common stocks (87.9%) Consumer Discretionary (19.7%) BORGWARNER INC CABELA S INC DISCOVERY COMMUNICATIONS A EXPEDIA INC HARLEY DAVIDSON INC KOHLS CORP MATTEL INC NORDSTROM INC OMNICOM GROUP POLARIS INDUSTRIES INC ROSS STORES INC SALLY BEAUTY HOLDINGS INC STARWOOD HOTELS + RESORTS TOLL BROTHERS INC
13,071 25,005 12,409 21,255 16,051 13,333 19,582 17,820 24,485 15,580 16,185 31,271 20,830 32,932
Consumer Staples (5.8%) AVON PRODUCTS INC CAMPBELL SOUP CO DR PEPPER SNAPPLE GROUP INC KROGER CO
65,299 28,212 22,955 39,000
937,693 984,317 1,014,152 1,014,780 3,950,942
Energy (4.3%) FMC TECHNOLOGIES INC HELMERICH + PAYNE OCEANEERING INTL INC VALERO ENERGY CORP
18,259 9,320 16,653 22,667
782,033 522,013 895,765 773,398 2,973,209
Financial (18.9%) AMERIPRISE FINANCIAL INC CINCINNATI FINANCIAL CORP CITY NATIONAL CORP EAST WEST BANCORP INC M + T BANK CORP NORTHERN TRUST CORP T ROWE PRICE GROUP INC
19,930 19,428 8,569 51,208 15,594 21,530 20,121
1,248,216 760,800 424,337 1,100,460 1,535,541 1,079,945 1,310,481
$
The accompanying notes are an integral part of these financial statements. -1094-
936,145 1,043,959 787,723 1,306,120 783,931 573,052 717,093 953,370 1,223,271 1,311,057 876,418 737,057 1,194,809 1,064,691 13,508,696
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares
Fair Value
Common stocks (continued) Financial (continued) PROGRESSIVE CORP RAYMOND JAMES FINANCIAL INC SVB FINANCIAL GROUP TORCHMARK CORP UNUM GROUP LAZARD LTD CL A
35,386 29,164 12,170 14,807 29,281 52,399
Health Care (9.5%) AMERISOURCEBERGEN CORP PAREXEL INTERNATIONAL CORP PERRIGO CO ST JUDE MEDICAL INC HENRY SCHEIN INC ZIMMER HOLDINGS INC
24,999 30,300 11,269 19,700 17,120 18,910
1,079,457 896,577 1,172,314 711,958 1,377,475 1,260,541 6,498,322
Industrial (8.6%) EQUIFAX INC JOY GLOBAL INC KANSAS CITY SOUTHERN LINCOLN ELECTRIC HOLDINGS MSC INDUSTRIAL DIRECT CO A ROCKWELL AUTOMATION INC TRIUMPH GROUP INC
13,688 10,044 13,190 15,641 10,173 14,315 11,024
740,795 640,606 1,101,101 761,404 766,841 1,202,317 719,867 5,932,931
27,661 65,013 49,713 18,465 133,739 61,805 36,415 101,390 24,393 15,900
607,989 936,187 977,855 881,888 946,872 1,051,921 927,854 528,242 1,062,559 984,051
Information Technology (16.3%) CA INC FAIRCHILD SEMICONDUCTOR INTE JUNIPER NETWORKS INC KLA TENCOR CORPORATION LSI CORP MENTOR GRAPHICS CORP NCR CORPORATION PMC SIERRA INC SANDISK CORP TERADATA CORP
$
The accompanying notes are an integral part of these financial statements. -1095-
746,645 1,123,689 681,155 765,078 609,630 1,563,586 12,949,563
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (Continued) TERADYNE INC VEECO INSTRUMENTS INC WESTERN UNION CO
65,835 20,574 39,994
Materials (4.8%) CF INDUSTRIES HOLDINGS INC CLIFFS NATURAL RESOURCES INC CYTEC INDUSTRIES INC NUCOR CORP SCOTTS MIRACLE GRO CO CL A SIGMA ALDRICH
Fair Value
$
2,717 11,524 8,386 13,706 13,760 6,982
1,111,953 607,345 544,318 11,169,034 551,986 444,365 577,208 591,825 606,128 513,736 3,285,248
Total common stocks (Cost $60,593,266)
60,267,945
Real estate investment trusts (11.7%) BIOMED REALTY TRUST INC DIGITAL REALTY TRUST INC ESSEX PROPERTY TRUST INC EXTRA SPACE STORAGE INC LIBERTY PROPERTY TRUST NATIONAL RETAIL PROPERTIES PROLOGIS INC SENIOR HOUSING PROP TRUST WEYERHAEUSER CO
44,786 10,500 6,938 36,940 19,500 29,029 27,447 32,819 24,475
865,713 712,845 1,017,458 1,344,247 697,515 905,705 1,001,541 775,841 680,894
Total real estate investment trusts (Cost $7,868,281)
8,001,759 $ 68,269,704
Total Investments (Cost $68,461,547)
The accompanying notes are an integral part of these financial statements. -1096-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Common stocks $ 60,267,945 $ 60,267,945 $ Contingent value rights Real estate investment trusts 8,001,759 8,001,759 $ 68,269,704 $ 68,269,704 $
Level 2
Level 3 - $ - $
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $88,217,024 and $72,816,658, respectively, for the year ended December 31, 2012. Contingent value rights The Fund has 5,480 Contingent Value Rights "CVRs" of CVR Energy Inc. These CVRs were received in May 2012 upon sale of the shares to a particular acquirer. Payments under these CVRs are contingent upon the execution of a definitive agreement for the sale of CVR Energy Inc. within nine months of the tender offer. Management believes fair value of the CVRs is $0 as of December 31, 2012 due to this contigency and has categorized the CVRs as Level 3 within the fair value heirarchy.
The accompanying notes are an integral part of these financial statements. -1097-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 131,665 318,123 423,857 539,558 640,366 605,645 216,972 6,529 85,382 66,647 30,726 1,052,538 6,692 18,315,885 2,813,162 5,350,526 7,443,703 6,353,105 3,591,092 1,947,223 615,184 136,460 26,946 17,478 635,341 421,887 964,170 2,066,526 1,009,716 590,840 589,358 38,752 209,532 188,253 107,853 408,392 144,908 1,420,104 876 351,414 10,882,979 2,287,999 2,957,937 4,417,787 4,073,022 1,443,276 876,103 644,401 488,845 339,016 120,570 62,176 88,477,497
Redemptions (2,902,531) (4,778,245) (8,306,037) (12,030,006) (8,842,944) (6,262,575) (3,418,024) (126,193) (1,106,899) (473,942) (1,383,432) (3,115,196) (410,886) (169,708) (981,847) (1,779,257) (882,766) (1,542,258) (1,063,392) (555,311) (523,703) (203,806) (1,183,926) (590,762) (244,337) (625,358) (415,551) (952,653) (2,047,029) (993,552) (582,198) (579,536) (37,662) (205,949) (185,449) (105,238) (399,937) (141,226) (1,390,944) (769) (346,157) (577,576) (419,423) (121,554) (293,306) (420,080) (227,701) (123,202) (41,515) (482,906) (333,613) (117,227) (1,985) $ (75,047,279)
$
Units
$
$
Net change (2,770,866) (4,460,122) (7,882,180) (11,490,448) (8,202,578) (5,656,930) (3,201,052) (119,664) (1,021,517) (407,295) (1,352,706) (2,062,658) (404,194) (169,708) 17,334,038 1,033,905 4,467,760 5,901,445 5,289,713 3,035,781 1,423,520 411,378 (1,047,466) (563,816) (226,859) 9,983 6,336 11,517 19,497 16,164 8,642 9,822 1,090 3,583 2,804 2,615 8,455 3,682 29,160 107 5,257 10,305,403 1,868,576 2,836,383 4,124,481 3,652,942 1,215,575 752,901 602,886 5,939 5,403 3,343 60,191 13,430,218
Purchases 6,041 14,269 18,719 26,607 31,054 29,938 11,097 521 6,856 6,404 2,753 99,911 506 1,670,035 266,506 508,656 722,121 592,204 339,104 187,023 56,522 10,040 1,980 1,382 4,610,249
Redemptions (135,298) (215,594) (371,053) (597,177) (433,327) (309,949) (173,402) (10,151) (88,767) (45,231) (126,644) (285,769) (31,346) (13,290) (90,829) (163,730) (84,306) (146,269) (98,364) (51,635) (49,913) (19,045) (90,681) (43,935) (19,835) (3,695,540)
The accompanying notes are an integral part of these financial statements. -1098-
Net change (129,257) (201,325) (352,334) (570,570) (402,273) (280,011) (162,305) (9,630) (81,911) (38,827) (123,891) (185,858) (30,840) (13,290) 1,579,206 102,776 424,350 575,852 493,840 287,469 137,110 37,477 (80,641) (41,955) (18,453) 914,709
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT SMID Value (Fisher Investments) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (g) Class O (e) Class P (f) Class Q (h) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 20.6079 21.0605 21.3073 19.2758 19.4266 19.1099 18.5442 11.9252 11.8333 9.8311 10.4279 10.2971 12.6436 11.6390 10.1155 10.1782 10.0482 10.0486 10.1747 10.1982 9.9385 10.3288 12.6325 12.8388 11.9506
Net Investment Income (Loss)(a) $ 0.0906 0.1061 0.1208 0.1225 0.1369 0.1471 0.1553 0.1030 0.1140 0.1017 0.0190 0.0557 0.0505 0.0443 0.0425 0.0480 0.0553 0.0628 0.0703 0.0777 0.0823 0.0925 0.0755 0.0850 0.0849
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6044 1.5898 1.6985 1.4829 1.3009 1.3851 1.2924 0.5338 0.6965 0.5549 0.0006 0.7484 0.7780 1.1430 1.0102 0.9866 0.9473 0.9212 0.9070 0.8829 0.8356 0.8423 0.9086 0.9749 0.6002
Total from Investment Activities $ 1.6950 1.6959 1.8193 1.6054 1.4378 1.5322 1.4477 0.6368 0.8105 0.6566 0.0196 0.8041 0.8285 1.1873 1.0527 1.0346 1.0026 0.9840 0.9773 0.9606 0.9179 0.9348 0.9841 1.0599 0.6851
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.1682 11.2128 11.0508 11.0326 11.1520 11.1588 10.8564 11.2636 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 17, 2012
(h)
For the period from January 1, 2012 through September 10, 2012
Total Return 8.23 8.05 8.54 8.33 7.40 8.02 7.81 5.34 6.85 6.68 0.19 7.81 6.55 10.20 10.41 10.16 9.98 9.79 9.61 9.42 9.24 9.05 7.79 8.26 5.73
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.11)% (1.27)% (1.43)% (1.61)% (1.79)% (1.95)% (2.12)% (2.21)% (2.45)% (2.63)% (0.48)% (1.37)% (1.02)% (0.95)% (1.05)% (1.18)% (1.38)% (1.57)% (1.73)% (1.91)% (2.08)% (2.25)% (1.51)% (1.67)% (1.82)%
The accompanying notes are an integral part of these financial statements. -1099-
Net Investment Income (Loss) 0.42 % 0.48 % 0.54 % 0.61 % 0.68 % 0.74 % 0.81 % 0.84 % 0.93 % 1.00 % 0.18 % 0.52 % 0.39 % 0.36 % 0.40 % 0.45 % 0.52 % 0.60 % 0.66 % 0.73 % 0.79 % 0.86 % 0.58 % 0.64 % 0.69 %
FMT Special Opportunities (CHOICE) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$
2,098,811 312,604 2,495 2,413,910
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
21,095 1,053 1,005 23,153
Net assets
$
2,390,757
$
Net Assets 2,276,392 114,365 2,390,757
Components of net assets
Class R1 Class R5
Units of Participation 221,920 11,480
NAV per Unit $ 10.2577 $ 9.9621
$
The accompanying notes are an integral part of these financial statements. -1100-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $574) Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
31,903 306 32,209 20,988 11,631 9,143 5,400 47,162
Net investment loss
(14,953)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
872,816 709,334
Net realized gain from investments sold
163,482
Change in net unrealized appreciation (depreciation) on investments
125,971
Net realized and unrealized gain on investments
289,453
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1101-
274,500
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(14,953)
Net realized gain from investments sold
163,482
Change in net unrealized appreciation (depreciation) on investments
125,971
Net increase in net assets resulting from operations
274,500
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,576,706 2,578,821 (2,115)
Decrease in net assets from participant transactions Total increase in net assets
272,385 2,118,372
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1102-
2,390,757
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (84.3%) Consumer Discretionary (14.5%) COMCAST CORP CLASS A DIRECTV FORD MOTOR CO YUM BRANDS INC
2,650 1,791 8,700 701
Fair Value
$
99,057 89,837 112,665 46,546 348,105
Consumer Staples (4.6%) DOLE FOOD CO INC MONDELEZ INTERNATIONAL INC A
3,305 2,805
37,909 71,443 109,352
Energy (10.7%) APACHE CORP EOG RESOURCES INC HALLIBURTON CO
935 753 2,605
73,398 90,955 90,367 254,720
Financial (5.2%) CME GROUP INC SCHWAB (CHARLES) CORP
795 5,855
40,314 84,078 124,392
Health Care (9.7%) AGILENT TECHNOLOGIES INC MERCK + CO. INC. UNITEDHEALTH GROUP INC
1,875 1,795 1,526
76,763 73,487 82,770 233,020
Industrial (8.2%) FEDEX CORP RYDER SYSTEM INC XYLEM INC
725 1,558 1,890
66,497 77,791 51,219 195,507
Information Technology (26.6%) ACTIVISION BLIZZARD INC BROADCOM CORP CL A CHECK POINT SOFTWARE TECH CISCO SYSTEMS INC DELL INC
6,850 2,415 2,080 5,225 5,830
72,747 80,202 99,091 102,671 59,058
The accompanying notes are an integral part of these financial statements. -1103-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Information Technology (continued) EBAY INC INTUIT INC NUANCE COMMUNICATIONS INC
1,675 1,285 2,705
Materials (4.8%) POTASH CORP OF SASKATCHEWAN YAMANA GOLD INC
Fair Value
$
1,160 3,880
85,458 76,458 60,376 636,061 47,200 66,775 113,975
Total common stocks (Cost $1,756,528)
2,015,132
Depository receipts (3.5%) Health Care TEVA PHARMACEUTICAL SP ADR (Cost $107,780)
2,241
83,679 $
Total Investments (Cost $1,864,308)
The accompanying notes are an integral part of these financial statements. -1104-
2,098,811
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Common stocks Depository receipts
$ $
Level 1
2,015,132 $ 83,679 2,098,811 $
2,015,132 $ 83,679 2,098,811 $
Level 2
Level 3 - $ - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $794,702 and $872,816, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1105-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class E Class J Class O Class R1 Class R5 Class T Class U
$
$
Purchases 29,328 32,103 35,938 38,114 2,256,088 113,903 7,845 63,387 2,576,706
Redemptions (847,024) (275,032) (119,882) (715,912) (35) (1,508) (92,359) (527,069) $ (2,578,821)
$
Units
$
$
Net change (817,696) (242,929) (83,944) (677,798) 2,256,053 112,395 (84,514) (463,682) (2,115)
Purchases 2,786 3,216 3,562 3,559 221,923 11,635 705 5,688 253,074
Redemptions (74,314) (27,102) (11,677) (64,155) (3) (155) (8,139) (46,278) (231,823)
The accompanying notes are an integral part of these financial statements. -1106-
Net change (71,528) (23,886) (8,115) (60,596) 221,920 11,480 (7,434) (40,590) 21,251
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Special Opportunities (CHOICE) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class E (c) Class J (b) Class O (c) Class R1 (d) Class R5 (e) Class T (f) Class U (g)
NAV per Unit, Beginning of Period $ 10.0602 9.2337 9.3434 9.9263 10.0000 10.0000 10.1345 10.4852
Net Investment Income (Loss)(a) $ (0.0503) (0.0760) (0.1130) (0.0631) (0.0038) (0.0545) (0.0219) (0.0867)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3883 1.2105 1.2050 1.3249 0.2615 0.0166 1.2034 1.1475
Total from Investment Activities $ 1.3380 1.1345 1.0920 1.2618 0.2577 (0.0379) 1.1815 1.0608
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.2577 9.9621 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 13, 2012
Total Return 13.30 % 12.29 % 11.69 % 12.71 % 2.58 % (0.38)% 11.66 % 10.12 %
Net Expenses (1.48)% (2.45)% (3.60)% (1.89)% (0.12)% (1.72)% (0.64)% (2.48)%
Net Investment Income (Loss) (0.47)% (0.78)% (1.14)% (0.60)% (0.04)% (0.55)% (0.20)% (0.79)%
(d) For the period from November 28, 2012 (commencement of this class) through December 31, 2012 (e)
For the period from March 19, 2012 (commencement of this class) through December 31, 2012
(f)
For the period from January 1, 2012 through April 4, 2012
(g)
For the period from January 1, 2012 through November 27, 2012
The accompanying notes are an integral part of these financial statements. -1107-
FMT U.S. Core Bond (Payden & Rygel) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Interest Total assets
$ 89,052,005 22,210,893 509,121 111,772,019
Liabilities Investments purchased Fees payable Sub-advisor fees Total liabilities
12,202,449 61,012 17,861 12,281,322 $ 99,490,697
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifesSyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 2,282,488 281,536 438,503 416,886 532,873 407,224 94,252 48,828
$ $ $ $ $ $ $ $
NAV per Unit 14.4827 10.6028 10.5828 10.6369 10.6397 10.6129 10.5228 10.5391
$
$
The accompanying notes are an integral part of these financial statements. -1108-
Net Assets 33,056,583 2,985,077 4,640,602 4,434,386 5,669,591 4,321,817 991,791 514,607 17,315,550 3,570,667 5,096,296 7,298,624 5,065,425 1,851,881 1,241,356 888,347 548,097 99,490,697
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest, net
$
2,389,172
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
859,984 195,016 18,388 5,400 1,078,788
Net investment income
1,310,384
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
345,076,044 341,664,995
Net realized gain from investments sold
3,411,049
Change in net unrealized appreciation (depreciation) on investments
236,691
Net realized and unrealized gain on investments
3,647,740
Other operating credits (charges)
(44)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1109-
4,958,080
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
1,310,384
Net realized gain from investments sold
3,411,049
Change in net unrealized appreciation (depreciation) on investments
236,691 (44)
Other operating credits (charges)
4,958,080
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
128,218,937 121,202,716 7,016,221
Increase in net assets from participant transactions Total increase in net assets
11,974,301
Net assets at beginning of year
87,516,396 $ 99,490,697
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1110-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Collateralized mortgage obligations (2.9%) NCUA GUARANTEED NOTES, 0.59%, 11/06/2017 NCUA GUARANTEED NOTES, 0.78%, 12/08/2020 NCUA GUARANTEED NOTES, 2.75%, 10/29/2020
770,757 1,013,631 1,057,857
Fair Value $
Total collateralized mortgage obligation (Cost $2,840,910) Corporate bonds (38.3%) Consumer Staples (0.3%) REYNOLDS AMERICAN INC, 3.25%, 11/01/2022
772,445 1,018,699 1,116,521 2,907,665
305,000
306,371
Energy (6.3%) CANADIAN NATL RESOURCES, 3.45%, 11/15/2021 CENOVUS ENERGY INC, 4.45%, 09/15/2042 CENOVUS ENERGY INC, 6.75%, 11/15/2039 DUKE ENERGY CORP, 3.05%, 08/15/2022 EL PASO PIPELINE PART OP, 4.70%, 11/01/2042 ENCANA CORP, 5.15%, 11/15/2041 ENCANA CORP, 6.50%, 08/15/2034 GAZPROM (GAZ CAPITAL SA), 6.51%, 03/07/2022 MIDAMERICAN ENERGY HLDGS, 6.13%, 04/01/2036 PETROBRAS INTL FIN CO, 5.38%, 01/27/2021 PETROLEOS MEXICANOS, 6.00%, 03/05/2020 PETRONAS CAPITAL LTD, 7.88%, 05/22/2022 SOUTHERN CO, 1.95%, 09/01/2016 TECK RESOURCES LIMITED, 5.40%, 02/01/2043 TRANS CANADA PIPELINES, 7.25%, 08/15/2038 VALERO ENERGY CORP, 6.63%, 06/15/2037 WILLIAMS COMPANIES INC, 3.70%, 01/15/2023 WILLIAMS PARTNERS LP, 4.00%, 11/15/2021
450,000 250,000 130,000 495,000 195,000 250,000 210,000 280,000 315,000 420,000 380,000 300,000 330,000 280,000 192,000 295,000 305,000 450,000
480,253 259,922 175,980 503,852 191,187 268,737 257,875 333,900 397,638 472,844 454,100 428,072 340,085 296,233 277,711 363,452 307,640 481,319 6,290,800
Financials (14.0%) AMERICAN INTL GROUP, 4.88%, 06/01/2022 BANCOLOMBIA SA, 5.13%, 09/11/2022 BEAR STEARNS COS LLC, 5.55%, 01/22/2017 BIOMED REALTY LP, 3.85%, 04/15/2016 BLOCK FINANCIAL LLC, 5.50%, 11/01/2022 CAPITAL ONE FINANCIAL CO, 3.15%, 07/15/2016
120,000 520,000 585,000 450,000 540,000 420,000
136,995 540,800 659,709 474,613 555,583 445,908
The accompanying notes are an integral part of these financial statements. -1111-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (Continued) Financials (Continued) CITIGROUP INC, 1.00%, 05/15/2018 CITIGROUP INC, 6.13%, 08/25/2036 DIGITAL REALTY TRUST LP, 5.88%, 02/01/2020 FORD MOTOR CREDIT CO LLC, 3.00%, 06/12/2017 GENERAL ELEC CAP CORP, 5.88%, 01/14/2038 GENERAL ELEC CAP CORP, 6.25%, 12/31/2049 GENERAL ELEC CAP CORP, 6.38%, 11/15/2067 GOLDMAN SACHS GROUP INC, 1.44%, 02/07/2014 GOLDMAN SACHS GROUP INC, 1.60%, 11/23/2015 HSBC USA INC, 5.00%, 09/27/2020 INVESCO FINANCE PLC, 3.13%, 11/30/2022 KAZMUNAIGAZ FINANCE SUB, 9.13%, 07/02/2018 KEYCORP, 6.50%, 05/14/2013 MERRILL LYNCH + CO, 6.88%, 04/25/2018 METLIFE INC, 10.75%, 08/01/2069 METLIFE INC, 6.40%, 12/15/2066 MORGAN STANLEY, 1.43%, 04/29/2013 MORGAN STANLEY, 4.75%, 03/22/2017 MORGAN STANLEY, 4.88%, 11/01/2022 OWENS CORNING INC, 4.20%, 12/15/2022 PEOPLE S UNITED FIN INC, 3.65%, 12/06/2022 PRUDENTIAL FINANCIAL INC, 5.63%, 06/15/2043 PRUDENTIAL FINANCIAL INC, 5.88%, 09/15/2042 RABOBANK NEDERLAND, 3.95%, 11/09/2022 ROYAL BK OF SCOTLAND PLC, 6.13%, 01/11/2021 VENTAS REALTY LP/CAP CRP, 3.25%, 08/15/2022 VORNADO REALTY LP, 4.25%, 04/01/2015 WESTPAC BANKING CORP, 4.88%, 11/19/2019 Health Care (1.5%) SANOFI, 2.63%, 03/29/2016 TEVA PHARM FIN III, 0.81%, 03/21/2014 TEVA PHARMACEUT FIN BV, 2.95%, 12/18/2022
95,000 210,000 485,000 545,000 200,000 300,000 625,000 550,000 350,000 445,000 120,000 340,000 390,000 245,000 75,000 235,000 300,000 700,000 180,000 200,000 250,000 595,000 500,000 285,000 650,000 530,000 515,000 380,000
Fair Value
$
375,000 610,000 515,000
The accompanying notes are an integral part of these financial statements. -1112-
95,741 228,874 554,164 559,947 241,250 326,694 659,375 551,607 352,459 485,888 121,211 449,650 398,371 295,336 113,250 251,268 300,680 763,673 186,371 203,397 251,300 616,598 525,000 291,850 785,315 519,660 544,362 443,329 13,930,228 394,696 612,442 520,952 1,528,090
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (Continued) Industrials (15.2%) AMGEN INC, 2.13%, 05/15/2017 BAIDU INC, 3.50%, 11/28/2022 CELGENE CORP, 3.25%, 08/15/2022 CHUBB CORP, 6.38%, 03/29/2067 CONAGRA FOODS INC, 3.25%, 09/15/2022 CVS CAREMARK CORP, 6.13%, 09/15/2039 DIGNITY HEALTH, 3.13%, 11/01/2022 DIRECTV HOLDINGS/FING, 2.40%, 03/15/2017 DOW CHEMICAL CO/THE, 9.40%, 05/15/2039 EMBRAER OVERSEAS LTD, 6.38%, 01/15/2020 EXPRESS SCRIPTS HOLDING, 3.13%, 05/15/2016 FREEPORT MCMORAN C + G, 3.55%, 03/01/2022 HEALTH CARE REIT INC, 4.13%, 04/01/2019 INTL PAPER CO, 4.75%, 02/15/2022 KAISER FOUNDATION HOSPIT, 3.50%, 04/01/2022 KENNAMETAL INC, 2.65%, 11/01/2019 KROGER CO/THE, 7.50%, 04/01/2031 LINCOLN NATIONAL CORP, 4.20%, 03/15/2022 LOCKHEED MARTIN CORP, 4.85%, 09/15/2041 MACYS RETAIL HLDGS INC, 5.90%, 12/01/2016 MCKESSON CORP, 2.70%, 12/15/2022 MONDELEZ INTERNATIONAL, 6.50%, 02/09/2040 NBCUNIVERSAL MEDIA LLC, 2.88%, 01/15/2023 NBCUNIVERSAL MEDIA LLC, 6.40%, 04/30/2040 NEWMONT MINING CORP, 4.88%, 03/15/2042 PACKAGING CORP OF AMERIC, 3.90%, 06/15/2022 PETRO CANADA, 9.25%, 10/15/2021 PHILLIPS 66, 2.95%, 05/01/2017 RIO TINTO FIN USA PLC, 3.50%, 03/22/2022 RYDER SYSTEM INC, 3.50%, 06/01/2017 SAFEWAY INC, 3.40%, 12/01/2016 SYMANTEC CORP, 4.20%, 09/15/2020 TIME WARNER CABLE INC, 4.50%, 09/15/2042 TIME WARNER INC, 4.90%, 06/15/2042 TYCO ELECTRONICS GROUP S, 3.50%, 02/03/2022 US AIRWAYS 2012 2A PTT, 4.63%, 12/03/2026
500,000 350,000 395,000 455,000 275,000 215,000 425,000 480,000 325,000 260,000 450,000 265,000 765,000 450,000 350,000 585,000 160,000 285,000 415,000 236,000 280,000 175,000 500,000 370,000 470,000 220,000 350,000 315,000 500,000 410,000 335,000 650,000 365,000 195,000 225,000 210,000
Fair Value
$
The accompanying notes are an integral part of these financial statements. -1113-
517,971 350,982 402,657 495,950 276,221 275,148 423,878 491,672 535,091 300,300 474,431 262,821 822,956 509,191 369,063 585,859 207,625 305,760 457,948 277,303 280,092 235,086 502,128 474,753 484,059 227,821 504,447 333,849 526,089 436,445 345,960 682,871 355,965 209,186 231,246 214,200
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Corporate bonds (Continued) Industrials (Continued) WELLPOINT INC, 2.38%, 02/15/2017 YUM BRANDS INC, 6.88%, 11/15/2037
430,000 230,000
Fair Value
$
445,207 314,054 15,146,285
Information Technology (0.5%) AUTODESK INC, 3.60%, 12/15/2022 NETAPP INC, 3.25%, 12/15/2022
190,000 260,000
190,838 255,949 446,787
Telecommunication Services (0.5%) AMERICA MOVIL SAB DE CV, 3.13%, 07/16/2022 TELECOM ITALIA CAPITAL, 5.25%, 11/15/2013
250,000 170,000
254,112 174,675 428,787
Total corporate bonds (Cost $36,426,753)
38,077,348
Foreign government issues (1.3%) REPUBLIC OF CHILE, 5.50%, 01/15/2013 REPUBLIC OF PERU, 8.38%, 05/03/2016 RUSSIA FOREIGN BOND, 7.50%, 03/31/2030 UNITED MEXICAN STATES, 6.75%, 09/27/2034
150,000 330,000 240,250 285,000
Total foreign government issues (Cost $1,066,264) Mortgage pass-throughs (28.4%) FED HM LN PC POOL Q12837, 3.00%, 11/01/2042 FNMA POOL 254766, 5.00%, 06/01/2033 FNMA POOL 725027, 5.00%, 11/01/2033 FNMA POOL 725424, 5.50%, 04/01/2034 FNMA POOL 725425, 5.50%, 04/01/2034 FNMA POOL 745418, 5.50%, 04/01/2036 FNMA POOL 995203, 5.00%, 07/01/2035 FNMA POOL AB6385, 3.00%, 10/01/2042 FNMA POOL AE0138, 4.50%, 03/01/2040 FNMA POOL AJ7689, 4.00%, 12/01/2041 FNMA POOL AL2221, 3.00%, 07/01/2027 FNMA POOL AL2521, 3.50%, 09/01/2042
1,275,192 1,327,960 1,057,677 319,994 1,596,935 180,750 1,007,048 789,954 835,556 652,619 1,121,261 1,625,939 992,566
The accompanying notes are an integral part of these financial statements. -1114-
150,150 406,065 308,577 410,400
1,389,674 1,150,451 348,632 1,755,078 198,915 1,100,481 862,274 881,290 722,635 1,203,529 1,731,168 1,061,233
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Mortgage pass-throughs (continued) FNMA POOL AO7975, 3.00%, 06/01/2027 FNMA TBA 30YR SINGLE FAMILY JA, 3.50%, 12/01/2099 FNMA TBA 3PCT JAN 30 SINGLE FA, 3.00%, 12/01/2099 FNMA TBA JAN 30 SINGLE FAM, 4.50%, 12/01/2099 FNMA TBA SINGLE FAMILY MORTGAG, 4.00%, 12/01/2099 GNMA POOL 711522, 4.50%, 07/15/2040 GNMA POOL 734089, 4.00%, 12/15/2040 GNMA POOL AA5452, 3.50%, 07/15/2042 GNMA II POOL 005140, 4.50%, 08/20/2041 GNMA II POOL 005175, 4.50%, 09/20/2041 GNMA II POOL 005259, 4.00%, 12/20/2041
1,023,719 300,000 4,130,000 660,000 3,780,000 654,916 842,133 1,407,540 578,916 569,388 817,305
Fair Value $
Total mortgage pass-throughs (Cost $27,839,796) Municipal bond (0.6%) CALIFORNIA ST, 7.55%, 04/01/2039 (Cost $410,355) U.S. government obligations (18.0%) US TREASURY N/B, 2.75%, 11/15/2042 US TREASURY N/B, 0.88%, 04/30/2017 US TREASURY N/B, 1.63%, 11/15/2022
1,091,892 319,840 4,327,466 712,929 4,051,687 723,711 931,911 1,530,730 638,641 628,131 890,456 28,252,754
405,000
583,929
3,350,000 10,250,000 4,400,000
3,227,517 10,375,727 4,351,873
Total U.S. government obligations (Cost $17,995,824)
17,955,117 $ 89,052,005
Total Investments (Cost $86,579,902)
The accompanying notes are an integral part of these financial statements. -1115-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total
Level 1
Collateralized mortgage obligations $ 2,907,665 $ Corporate bonds 38,077,348 Foreign government issues 1,275,192 Mortgage pass-throughs 28,252,754 Municipal bond 583,929 U.S. government obligations 17,955,117 $ 89,052,005 $
Level 2 - $ 2,907,665 $ 38,077,348 1,275,192 28,252,754 583,929 17,955,117 - $ 89,052,005 $
Level 3 -
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $347,384,755 and $345,076,044, respectively, for the year ended December 31, 2012. Interest income Interest income as reported in the accompanying statement of operations is net of amortization of bond discounts/premiums of $152,766 and mortgage-backed securities paydown losses of $253,196.
The accompanying notes are an integral part of these financial statements. -1116-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifesSyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 156,136 1,200,360 4,301,245 3,171,174 1,171,635 397,423 241,159 2,062 114,338 24,292 166,366 202,544 93,059 23,237 6,192 33,727,941 3,512,710 4,926,324 4,800,236 7,150,457 6,258,056 1,051,459 640,655 198,001 117,245 2,025,336 262,321 425,940 1,719,263 1,905,611 891,443 457,491 414,935 18,405 228,807 122,296 37,621 219,080 150,933 1,568,641 12,256 256,055 17,637,416 2,781,204 5,219,922 7,382,194 5,327,427 2,165,135 1,413,326 1,003,271 406,077 277,568 72,404 162,253 128,218,937
Redemptions (984,263) (15,126,313) (9,494,337) (17,036,675) (10,302,357) (3,018,460) (2,557,117) (35,697) (908,221) (326,309) (2,432,364) (2,052,942) (978,847) (179,986) (65,601) (1,430,178) (631,491) (470,232) (976,835) (2,144,423) (2,430,062) (89,314) (171,519) (1,269,783) (1,774,473) (2,944,481) (1,133,258) (1,907,372) (5,714,862) (6,660,874) (3,514,607) (2,115,957) (1,600,232) (114,756) (657,844) (413,594) (127,745) (618,222) (867,208) (4,838,631) (224,360) (1,482,693) (1,059,255) (987,701) (419,156) (1,411,033) (925,170) (524,853) (433,700) (180,727) (1,706,118) (1,308,347) (350,608) (71,553) $ (121,202,716)
$
Units
$
$
Net change (828,127) (13,925,953) (5,193,092) (13,865,501) (9,130,722) (2,621,037) (2,315,958) (33,635) (793,883) (302,017) (2,265,998) (1,850,398) (885,788) (156,749) (59,409) 32,297,763 2,881,219 4,456,092 3,823,401 5,006,034 3,827,994 962,145 469,136 (1,071,782) (1,657,228) (919,145) (870,937) (1,481,432) (3,995,599) (4,755,263) (2,623,164) (1,658,466) (1,185,297) (96,351) (429,037) (291,298) (90,124) (399,142) (716,275) (3,269,990) (212,104) (1,226,638) 16,578,161 1,793,503 4,800,766 5,971,161 4,402,257 1,640,282 979,626 822,544 (1,300,041) (1,030,779) (278,204) 90,700 7,016,221
Purchases 10,794 84,940 307,701 231,494 85,530 29,460 18,137 186 8,896 1,990 13,340 16,723 7,498 2,021 554 2,356,533 341,774 484,032 465,297 694,787 610,539 102,516 62,990 17,336 10,491 182,324 6,147,883
Redemptions (66,323) (1,058,269) (661,298) (1,226,399) (749,552) (220,653) (190,215) (3,145) (70,417) (26,130) (192,522) (168,059) (77,762) (15,250) (5,706) (99,518) (60,238) (45,529) (93,442) (204,672) (231,463) (8,616) (16,496) (109,905) (157,335) (262,425) (6,021,339)
The accompanying notes are an integral part of these financial statements. -1117-
Net change (55,529) (973,329) (353,597) (994,905) (664,022) (191,193) (172,078) (2,959) (61,521) (24,140) (179,182) (151,336) (70,264) (13,229) (5,152) 2,257,015 281,536 438,503 371,855 490,115 379,076 93,900 46,494 (92,569) (146,844) (80,101) 126,544
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Core Bond (Payden & Rygel) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (g) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 (h) Class R3 (i) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 14.2576 13.9805 13.8384 13.5250 13.4587 13.2761 13.0034 10.8556 12.5147 11.9442 12.0645 11.9028 12.0468 11.2021 10.9501 13.6338 10.0000 10.0000 10.0695 10.0892 10.0808 10.0121 10.0446 11.0551 10.8794 10.9166
Net Investment Income (Loss)(a) $ 0.1363 0.1611 0.1899 0.2144 0.2417 0.2642 0.2868 0.2508 0.3259 0.3359 0.0865 0.1183 0.1580 0.0938 0.1350 0.1014 0.1006 0.1214 0.1481 0.1696 0.1909 0.2134 0.2349 0.1631 0.1821 0.2010
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.7379 0.6744 0.5953 0.5094 0.4422 0.4219 0.3434 0.2695 0.2729 0.2157 0.6321 0.5768 0.5021 0.5776 0.4987 0.7475 0.5022 0.4614 0.4193 0.3809 0.3412 0.2973 0.2596 0.4674 0.3926 0.3646
Total from Investment Activities $ 0.8742 0.8355 0.7852 0.7238 0.6839 0.6861 0.6302 0.5203 0.5988 0.5516 0.7186 0.6951 0.6601 0.6714 0.6337 0.8489 0.6028 0.5828 0.5674 0.5505 0.5321 0.5107 0.4945 0.6305 0.5747 0.5656
Ratios (to average unit value)
NAV per Unit, End of Period $ 14.4827 10.6028 10.5828 10.6369 10.6397 10.6129 10.5228 10.5391 -
Total Return 6.13 5.98 5.67 5.35 5.08 5.17 4.85 4.79 4.78 4.62 5.96 5.84 5.48 5.99 5.79 6.23 6.03 5.83 5.63 5.46 5.28 5.10 4.92 5.70 5.28 5.18
% % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.76)% (0.92)% (1.10)% (1.27)% (1.44)% (1.60)% (1.77)% (1.86)% (2.09)% (2.26)% (0.57)% (0.80)% (1.05)% (0.67)% (0.99)% (0.59)% (0.80)% (0.97)% (1.18)% (1.35)% (1.52)% (1.71)% (1.88)% (1.18)% (1.34)% (1.48)%
Net Investment Income (Loss) 0.93 % 1.12 % 1.33 % 1.54 % 1.75 % 1.94 % 2.15 % 2.26 % 2.54 % 2.75 % 0.70 % 0.97 % 1.28 % 0.81 % 1.20 % 0.72 % 0.98 % 1.18 % 1.43 % 1.64 % 1.85 % 2.08 % 2.28 % 1.43 % 1.63 % 1.79 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through November 26, 2012
(h)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(i)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1118-
FMT U.S. Government Securities (BlackRock) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Investments sold Interest Total assets
$ 23,125,646 360,371 293,029 88,009 23,867,055
Liabilities Investments purchased Agency fees Sub-advisor fees Total liabilities
2,115,921 13,427 5,536 2,134,884 $ 21,732,171
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 929,624 100,643 256,171 215,173 252,724 84,966 29,826 25,040
NAV per Unit $ 12.8271 $ 10.2112 $ 10.1897 $ 10.1712 $ 10.1608 $ 10.1151 $ 10.1139 $ 10.0740
Net Assets $ 11,924,367 1,027,688 2,610,314 2,188,575 2,567,881 859,437 301,658 252,251 $ 21,732,171
The accompanying notes are an integral part of these financial statements. -1119-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest, net
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
580,956 237,257 70,128 10,755 5,400 323,540
Net investment income
257,416
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
71,048,292 70,350,797
Net realized gain from investments sold
697,495
Change in net unrealized appreciation (depreciation) on investments
(679,457)
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
18,038 $
The accompanying notes are an integral part of these financial statements. -1120-
275,454
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Net realized gain from investments sold
257,416 697,495 (679,457)
Change in net unrealized appreciation (depreciation) on investments
275,454
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
30,967,154 35,389,875 (4,422,721)
Decrease in net assets from participant transactions Total decrease in net assets
(4,147,267)
Net assets at beginning of year
25,879,438 $ 21,732,171
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1121-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Collateralized mortgage obligations (5.8%) BEAR STEARNS COMMERCIAL MORTGA, 5.69%, 06/11/2050 BEAR STEARNS COMMERCIAL MORTGA, 5.72%, 06/11/2040 FANNIE MAE, 7.00%, 06/25/2022 FANNIE MAE, 10.00%, 05/25/2019 FANNIE MAE, 9.00%, 03/25/2020 FANNIE MAE, 6.00%, 10/25/2032 FANNIEMAE GRANTOR TRUST, 9.50%, 12/25/2041 FANNIEMAE WHOLE LOAN, 3.30%, 05/25/2042 FANNIEMAE WHOLE LOAN, 3.38%, 08/25/2042 FHLMC STRUCTURED PASS THROUGH, 9.50%, 02/25/2042 FHLMC STRUCTURED PASS THROUGH, 3.40%, 07/25/2043 GS MORTGAGE SECURITIES TRUST, 5.79%, 08/10/2045 JP MORGAN CHASE COMMERCIAL MOR, 5.43%, 12/12/2043
75,000
Fair Value
$
180,000 2,869 14,682 12,656 348,362 56,230 46,158 25,631 38,162 86,930 120,000
213,217 3,170 16,949 14,434 382,765 66,972 49,522 27,707 48,609 90,550 138,349
100,000
114,118
Total collateralized mortgage obligations (Cost $1,167,037) Corporate bonds (0.9%) IBM CORP, 8.38%, 11/01/2019 JPMORGAN CHASE + CO, 3.15%, 07/05/2016
88,629
1,254,991 100,000 45,000
Total corporate bonds (Cost $147,695)
142,094 47,675 189,769
Government issues (77.7%) FANNIE MAE, 2.38%, 04/11/2016 FANNIE MAE, 1.25%, 01/30/2017 FANNIE MAE, 1.13%, 04/27/2017 FANNIE MAE, 1.00%, 08/14/2017 FANNIE MAE, 2.75%, 02/05/2014 FANNIE MAE, 3.00%, 09/16/2014 FEDERAL HOME LOAN BANK, 5.63%, 06/11/2021 FEDERAL HOME LOAN BANK, 3.63%, 10/18/2013 FREDDIE MAC, 3.00%, 07/28/2014 TSY INFL IX N/B, 0.75%, 02/15/2042 US TREASURY N/B, 0.25%, 11/30/2014 US TREASURY N/B, 3.13%, 02/15/2042
620,000 260,000 180,000 225,000 460,000 320,000 130,000 590,000 390,000 97,253 665,000 115,000
The accompanying notes are an integral part of these financial statements. -1122-
658,943 266,543 183,292 225,794 473,175 335,187 169,837 606,032 406,459 106,515 665,026 120,247
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Government issues (Continued) US TREASURY N/B, 2.75%, 11/15/2042 US TREASURY N/B, 4.00%, 02/15/2015 US TREASURY N/B, 2.00%, 11/30/2013 US TREASURY N/B, 3.63%, 08/15/2019 US TREASURY N/B, 3.38%, 11/15/2019 US TREASURY N/B, 2.63%, 12/31/2014 US TREASURY N/B, 2.13%, 05/31/2015 US TREASURY N/B, 1.25%, 09/30/2015 US TREASURY N/B, 1.38%, 11/30/2015 US TREASURY N/B, 0.25%, 11/30/2013 US TREASURY N/B, 0.88%, 01/31/2017 US TREASURY N/B, 0.88%, 02/28/2017 US TREASURY N/B, 1.63%, 08/15/2022 US TREASURY N/B, 0.63%, 08/31/2017 US TREASURY N/B, 1.00%, 08/31/2019 US TREASURY N/B, 0.25%, 09/30/2014 US TREASURY N/B, 1.63%, 11/15/2022 US TREASURY N/B, 0.63%, 11/30/2017
110,000 895,000 610,000 450,000 535,000 1,385,000 1,405,000 105,000 810,000 260,000 895,000 185,000 385,000 905,000 540,000 1,300,000 240,000 1,265,000
Fair Value $
Total government issues (Cost $16,341,773) Mortgage pass throughs (19.1%) FED HM LN PC POOL 1B0129, 3.03%, 09/01/2031 FED HM LN PC POOL 1B2694, 2.64%, 12/01/2034 FED HM LN PC POOL 783104, 2.38%, 04/01/2035 FED HM LN PC POOL 847473, 2.37%, 12/01/2035 FED HM LN PC POOL E89334, 6.50%, 04/01/2017 FED HM LN PC POOL G18056, 5.00%, 06/01/2020 FNMA TBA JAN 30 SINGLE FAM, 4.50%, 12/01/2099 FNMA POOL 100255, 8.33%, 07/15/2020 FNMA POOL 254548, 5.50%, 12/01/2032 FNMA POOL 545460, 2.37%, 11/01/2031 FNMA POOL 635726, 2.81%, 04/01/2032 FNMA POOL 675479, 3.53%, 01/01/2033 FNMA POOL 722951, 5.00%, 06/01/2018 FNMA POOL 725704, 6.00%, 08/01/2034 FNMA POOL 751927, 2.88%, 09/01/2033 FNMA POOL 773286, 2.13%, 03/01/2035
16,881,465 1,447 33,585 253,168 191,078 24,887 133,498 25,051 473,184 6,024 3,553 410 79,339 451,103 59,067 102,389 92,126
The accompanying notes are an integral part of these financial statements. -1123-
105,978 965,202 620,055 524,004 615,125 1,450,355 1,465,919 107,625 833,794 260,152 906,887 187,428 382,474 904,151 536,836 1,300,304 237,375 1,260,751
1,462 35,360 267,822 204,770 26,993 143,774 28,876 520,044 6,427 3,795 409 86,221 503,881 62,958 108,084 98,222
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Mortgage pass throughs (Continued) FNMA POOL 821179, 2.81%, 05/01/2035 FNMA POOL 835515, 2.83%, 08/01/2035 FNMA POOL 938469, 5.00%, 07/01/2022 FNMA TBA 3PCT JAN 30 SINGLE FA, 3.00%, 12/01/2099 FNMA TBA SINGLE FAMILY MORTGAG, 4.00%, 12/01/2099 GNMA II POOL 008678, 3.00%, 08/20/2020 GNMA POOL 560433, 7.00%, 06/15/2031
100,013 53,252 455,000 475,000 775,000 10,942 39,178
Fair Value $
Total mortgage pass throughs (Cost $4,019,081) Other asset backed bonds (3.0%) AMERICAN EXPRESS CREDIT ACCOUN, 0.59%, 05/15/2018 FORD CREDIT FLOORPLAN MASTER O, 1.92%, 01/15/2019 FPL RECOVERY FUNDING, 5.04%, 08/01/2015 GE CAPITAL CREDIT CARD MASTER, 3.80%, 11/15/2017 SANTANDER DRIVE AUTO RECEIVABL, 1.28%, 01/15/2015 SLM STUDENT LOAN TRUST, 1.42%, 10/25/2016
105,088 57,721 476,755 513,093 830,703 11,413 46,699 4,140,570
100,000 100,000 106,160 100,000 145,000 96,414
100,022 102,679 107,660 106,108 145,441 96,941
Total other asset backed bonds (Cost $662,909)
658,851 $ 23,125,646
Total Investments (Cost $22,338,495)
The accompanying notes are an integral part of these financial statements. -1124-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Collateralized mortgage obligations Corporate bonds Government issues Mortgage pass throughs Other asset backed bonds
$
Level 1
1,254,991 $
189,769 16,881,465 4,140,570 658,851 $ 23,125,646 $
Level 2 - $
Level 3
1,254,991 $
-
189,769 16,881,465 4,140,570 658,851 - $ 23,125,646 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $67,748,804 and $71,048,292, respectively, for the year ended December 31, 2012. Interest income Interest income as reported in the accompanying statement of operations is net of amortization of bond discounts/premiums of $64,652 and mortgage-backed securities paydown losses of $35,045.
The accompanying notes are an integral part of these financial statements. -1125-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class N Class O Class P Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 36,051 40,812 2,606,783 1,828,106 613,307 1,147,407 422,769 23,533 148,986 69,898 6,947 98,678 37,382 21,345 11,838,216 2,482,440 2,897,141 2,570,092 2,297,264 948,164 278,976 478,249 14,696 6,772 53,140 30,967,154
Redemptions (554,367) (1,605,012) (5,493,385) (7,308,308) (5,544,692) (2,486,540) (1,778,400) (153,991) (885,460) (230,977) (85,564) (1,706,019) (1,148,573) (545,541) (981,824) (1,651,409) (340,017) (1,613,098) (426,390) (94,809) (55,774) (231,457) (187,304) (42,585) (238,379) $ (35,389,875)
$
Units
$
$
Net change (518,316) (1,564,200) (2,886,602) (5,480,202) (4,931,385) (1,339,133) (1,355,631) (130,458) (736,474) (161,079) (78,617) (1,607,341) (1,111,191) (524,196) 10,856,392 831,031 2,557,124 956,994 1,870,874 853,355 223,202 246,792 (172,608) (35,813) (185,239) (4,422,721)
Purchases 2,772 3,179 206,641 147,026 49,370 93,282 35,000 2,210 12,625 5,986 602 9,072 3,405 2,108 922,192 246,451 286,811 254,490 227,120 94,397 27,772 47,876 1,361 629 4,925 2,687,302
Redemptions (42,275) (124,866) (430,083) (582,783) (447,600) (202,148) (146,976) (14,420) (74,829) (19,571) (7,439) (157,178) (104,203) (53,408) (76,819) (162,561) (33,530) (159,023) (41,989) (9,431) (5,511) (22,886) (17,320) (3,925) (22,015) (2,962,789)
The accompanying notes are an integral part of these financial statements. -1126-
Net change (39,503) (121,687) (223,442) (435,757) (398,230) (108,866) (111,976) (12,210) (62,204) (13,585) (6,837) (148,106) (100,798) (51,300) 845,373 83,890 253,281 95,467 185,131 84,966 22,261 24,990 (15,959) (3,296) (17,090) (275,487)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Government Securities (BlackRock) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class N (g) Class O (e) Class P (f) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 (h) Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.9629 12.8070 12.6531 12.5010 12.3507 12.2023 12.0555 10.6187 11.7676 11.7450 11.3940 10.8726 10.9710 10.0430 12.5977 10.0506 10.0465 10.0453 10.0521 10.0000 10.0397 10.0139 10.7213 10.7426 10.7306
Net Investment Income (Loss)(a) $ 0.0897 0.1062 0.1230 0.1386 0.1542 0.1680 0.1824 0.1674 0.2083 0.2232 0.0607 0.0334 0.1035 0.0618 0.0708 0.0742 0.0884 0.1027 0.1175 0.1235 0.1458 0.1591 0.1113 0.1248 0.1352
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1489 0.1089 0.0618 0.0138 (0.0343) (0.0492) (0.0941) (0.1020) (0.1440) (0.1778) 0.1519 0.0601 0.0452 0.1160 0.1586 0.0864 0.0548 0.0232 (0.0088) (0.0084) (0.0716) (0.0990) 0.0421 (0.0011) (0.0289)
Total from Investment Activities $ 0.2386 0.2151 0.1848 0.1524 0.1199 0.1188 0.0883 0.0654 0.0643 0.0454 0.2126 0.0935 0.1487 0.1778 0.2294 0.1606 0.1432 0.1259 0.1087 0.1151 0.0742 0.0601 0.1534 0.1237 0.1063
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.8271 10.2112 10.1897 10.1712 10.1608 10.1151 10.1139 10.0740 -
Total Return 1.84 1.68 1.46 1.22 0.97 0.97 0.73 0.62 0.55 0.39 1.87 0.86 1.36 1.77 1.82 1.60 1.43 1.25 1.08 1.15 0.74 0.60 1.43 1.15 0.99
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.86)% (1.03)% (1.21)% (1.38)% (1.56)% (1.72)% (1.89)% (1.97)% (2.21)% (2.38)% (0.66)% (0.38)% (1.17)% (0.76)% (0.70)% (0.92)% (1.10)% (1.27)% (1.46)% (1.54)% (1.81)% (1.98)% (1.29)% (1.45)% (1.57)%
Net Investment Income (Loss) 0.69 % 0.82 % 0.96 % 1.10 % 1.24 % 1.37 % 1.51 % 1.57 % 1.76 % 1.90 % 0.53 % 0.31 % 0.94 % 0.61 % 0.56 % 0.73 % 0.87 % 1.02 % 1.16 % 1.23 % 1.45 % 1.58 % 1.03 % 1.16 % 1.25 %
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 1, 2012 through May 17, 2012
(h)
For the period from January 25, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1127-
FMT U.S. Growth Opportunities (Zevenbergen) Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value Cash equivalents Receivables Dividends and interest Total assets
$ 35,350,638 232,966 1,773 35,585,377
Liabilities Agency fees Investments purchased Sub-advisor fees Total liabilities
22,937 16,525 14,972 54,434 $ 35,530,943
Net assets Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 1,266,314 112,106 467,841 327,896 474,198 135,761 205,414 65,343
NAV per Unit $ 13.1898 $ 10.4258 $ 10.4657 $ 11.0371 $ 10.3481 $ 10.6249 $ 10.2468 $ 10.5616
Net Assets $ 16,702,410 1,168,798 4,896,275 3,619,005 4,907,043 1,442,454 2,104,832 690,126 $ 35,530,943
The accompanying notes are an integral part of these financial statements. -1128-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends Interest
$
Expenses Agency fees Sub-advisor fees Custody fees Audit fees
83,483 340 83,823 368,961 191,189 12,755 5,400 578,305
Net investment loss
(494,482)
Net realized loss from investments sold Proceeds from sales of investments Cost of investments sold
16,529,013 17,489,235
Net realized loss from investments sold
(960,222)
Change in net unrealized appreciation (depreciation) on investments
3,827,323
Net realized and unrealized gain on investments
2,867,101
Other operating credits (charges)
2,235
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1129-
2,374,854
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized loss from investments sold
(494,482) (960,222)
Change in net unrealized appreciation (depreciation) on investments
3,827,323 2,235
Other operating credits (charges)
2,374,854
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
44,944,458 48,435,744 (3,491,286)
Decrease in net assets from participant transactions Total decrease in net assets
(1,116,432)
Net assets at beginning of year
36,647,375 $ 35,530,943
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1130-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Principal Amount or Shares
Investments Common stocks (99.5%) Consumer Discretionary (28.7%) AMAZON.COM INC CHIPOTLE MEXICAN GRILL INC DECKERS OUTDOOR CORP LULULEMON ATHLETICA INC MICHAEL KORS HOLDINGS LTD NETFLIX INC NORDSTROM INC PRICELINE.COM INC TESLA MOTORS INC VERA BRADLEY INC
7,500 4,450 13,900 14,400 10,500 10,000 12,800 2,600 32,800 18,400
Fair Value
$
1,883,550 1,323,697 559,753 1,097,712 535,815 927,800 684,800 1,615,120 1,110,936 461,840 10,201,023
Energy (4.0%) DRESSER RAND GROUP INC FMC TECHNOLOGIES INC PIONEER NATURAL RESOURCES CO
2,500 10,800 7,700
140,350 462,564 820,743 1,423,657
Financial (4.1%) FINANCIAL ENGINES INC PORTFOLIO RECOVERY ASSOCIATE
18,600 8,900
516,150 951,054 1,467,204
Health Care (13.5%) CATAMARAN CORP CELGENE CORP INTUITIVE SURGICAL INC IPC THE HOSPITALIST CO MAKO SURGICAL CORP POLYPORE INTERNATIONAL INC SALIX PHARMACEUTICALS LTD VERTEX PHARMACEUTICALS INC
33,100 9,100 1,700 6,100 17,500 9,200 13,600 6,000
1,559,341 716,352 833,629 242,231 225,225 427,800 550,528 251,640 4,806,746
Industrial (9.9%) B/E AEROSPACE INC ENERGY XXI BERMUDA HMS HOLDINGS CORP JOY GLOBAL INC
1,500 23,550 31,900 3,800
74,100 758,075 826,848 242,364
The accompanying notes are an integral part of these financial statements. -1131-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Principal Amount or Shares Common stocks (continued) Industrial (continued) PRECISION CASTPARTS CORP
8,500
Fair Value
$
1,610,070 3,511,457
Information Technology (38.1%) ALLIANCE DATA SYSTEMS CORP APPLE INC COGNIZANT TECH SOLUTIONS A EMC CORP/MA F5 NETWORKS INC FACEBOOK INC A GOOGLE INC CL A LINKEDIN CORP A MERCADOLIBRE INC MITEK SYSTEMS INC QUALCOMM INC SKYWORKS SOLUTIONS INC VERIFONE SYSTEMS INC
3,900 1,900 23,000 27,800 15,800 50,500 1,900 9,800 16,150 20,600 17,700 24,400 22,100
564,564 1,012,757 1,703,150 703,340 1,534,970 1,344,815 1,347,803 1,125,236 1,268,905 66,126 1,097,754 495,320 655,928 13,522,843
Telecommunication Services (1.2%) TW TELECOM INC
16,400
417,708 $ 35,350,638
Total common stocks (Cost $27,127,653)
The accompanying notes are an integral part of these financial statements. -1132-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value.
Common stocks
Total
Level 1
$ 35,350,638
$ 35,350,638
Level 2 $
Level 3 - $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $12,772,658 and $16,529,013, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1133-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 77,466 1,648,758 362,806 1,077,333 332,531 324,371 207,835 10,292 15,898 2,266 85,696 1,221,615 13,060 47,812 17,049,606 1,436,168 6,086,616 3,986,642 5,458,798 2,293,843 2,585,172 563,271 24,369 15,279 16,955 44,944,458
Redemptions (404,505) (10,366,874) (4,528,968) (8,202,914) (5,382,315) (4,315,864) (2,000,410) (224,851) (635,841) (45,843) (1,574,884) (2,721,165) (210,414) (313,195) (842,188) (150,743) (1,196,350) (726,183) (960,806) (833,654) (1,220,187) (45,403) (334,613) (1,075,812) (121,762) $ (48,435,744)
$
Units
$
$
Net change (327,039) (8,718,116) (4,166,162) (7,125,581) (5,049,784) (3,991,493) (1,792,575) (214,559) (619,943) (43,577) (1,489,188) (1,499,550) (197,354) (265,383) 16,207,418 1,285,425 4,890,266 3,260,459 4,497,992 1,460,189 1,364,985 517,868 (310,244) (1,060,533) (104,807) (3,491,286)
Purchases 5,823 120,435 27,570 84,243 25,865 25,139 16,560 831 1,326 192 7,584 70,331 1,025 3,567 1,322,074 126,634 583,564 368,703 529,873 215,784 258,051 53,644 1,943 1,201 1,411 3,853,373
Redemptions (31,919) (835,389) (357,941) (660,548) (433,807) (356,041) (164,596) (19,172) (54,245) (3,934) (135,783) (153,103) (16,687) (23,842) (64,927) (14,528) (115,723) (66,837) (93,494) (80,055) (119,186) (4,378) (27,809) (85,616) (10,758) (3,930,318)
The accompanying notes are an integral part of these financial statements. -1134-
Net change (26,096) (714,954) (330,371) (576,305) (407,942) (330,902) (148,036) (18,341) (52,919) (3,742) (128,199) (82,772) (15,662) (20,275) 1,257,147 112,106 467,841 301,866 436,379 135,729 138,865 49,266 (25,866) (84,415) (9,347) (76,945)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT U.S. Growth Opportunities (Zevenbergen) Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 (g) Class R3 (h) Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 12.0899 11.9740 11.8612 11.7479 11.6368 11.5259 11.4166 11.4493 11.2007 11.0940 10.0679 15.9716 12.0007 11.9063 12.2382 10.0000 10.0000 10.2979 9.6715 9.9462 9.6095 9.9214 11.5381 11.8154 10.9842
Net Investment Income (Loss)(a) $ (0.1163) (0.1364) (0.1514) (0.1694) (0.1870) (0.2016) (0.2149) (0.2222) (0.2461) (0.2563) (0.1019) (0.1985) (0.1056) (0.1395) (0.0973) (0.0950) (0.1112) (0.1357) (0.1427) (0.1622) (0.1730) (0.1938) (0.1558) (0.1795) (0.1755)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.8451 0.8381 0.9856 0.9546 0.8609 0.9532 0.9191 0.5151 0.7702 0.7567 0.4637 1.1874 0.5542 0.4540 1.0489 0.5208 0.5769 0.8749 0.8193 0.8409 0.8103 0.8340 0.8017 0.9613 0.4984
Total from Investment Activities $ 0.7288 0.7017 0.8342 0.7852 0.6739 0.7516 0.7042 0.2929 0.5241 0.5004 0.3618 0.9889 0.4486 0.3145 0.9516 0.4258 0.4657 0.7392 0.6766 0.6787 0.6373 0.6402 0.6459 0.7818 0.3229
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.1898 10.4258 10.4657 11.0371 10.3481 10.6249 10.2468 10.5616 -
Total Return 6.03 5.86 7.03 6.68 5.79 6.52 6.17 2.56 4.68 4.51 3.59 6.19 3.74 2.64 7.78 4.26 4.66 7.18 7.00 6.82 6.63 6.45 5.60 6.62 2.94
% % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (1.09)% (1.29)% (1.44)% (1.63)% (1.83)% (1.98)% (2.14)% (2.24)% (2.51)% (2.64)% (1.16)% (1.41)% (1.01)% (1.35)% (0.89)% (1.09)% (1.27)% (1.49)% (1.67)% (1.84)% (2.04)% (2.21)% (1.54)% (1.72)% (1.84)%
Net Investment Income (Loss) (0.93)% (1.11)% (1.23)% (1.40)% (1.56)% (1.69)% (1.83)% (1.92)% (2.15)% (2.26)% (0.99)% (1.21)% (0.86)% (1.16)% (0.76)% (0.93)% (1.09)% (1.27)% (1.43)% (1.58)% (1.74)% (1.89)% (1.31)% (1.47)% (1.57)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
(g)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(h)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1135-
Zacks Investment Management Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Zacks Investment Management Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Dividends (net of foreign withholding taxes of $32) Interest
$
Expenses Agency fees Custody fees Sub-advisor fees Audit fees
8,954 9 8,963 5,889 2,884 2,052 1,350 12,175
Net investment loss
(3,212)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
2,063,454 1,613,096
Net realized gain from investments sold
450,358
Change in net unrealized appreciation (depreciation) on investments
(267,609)
Net realized and unrealized gain on investments
182,749
Other operating credits (charges)
(2,569)
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1136-
176,968
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Zacks Investment Management Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Net realized gain from investments sold
(3,212) 450,358
Change in net unrealized appreciation (depreciation) on investments
(267,609) (2,569)
Other operating credits (charges)
176,968
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
795,771 2,659,427 (1,863,656)
Decrease in net assets from participant transactions Total decrease in net assets
(1,686,688) 1,686,688
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1137-
-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Zacks Investment Management Fund Schedule of Participant Transactions December 31, 2012
Participant unit transactions by class for the year ended December 31, 2012* were as follows: Dollars
Class A Class C Class D Class E Class F Class G Class I Class R2 Class R4 Class R5 Class R6 Class R8 Class U
$
$
Purchases 1,861 34,390 3,669 5,623 563 21,494 7,490 211,986 27,943 55,878 139,689 284,431 754 795,771
Redemptions (210,706) (110,686) (62,073) (202,507) (25,768) (879,168) (383,621) (218,020) (29,541) (57,544) (144,009) (287,854) (47,930) $ (2,659,427)
$
Units
$
$
Net change (208,845) (76,296) (58,404) (196,884) (25,205) (857,674) (376,131) (6,034) (1,598) (1,666) (4,320) (3,423) (47,176) (1,863,656)
Purchases 122 2,140 238 354 36 1,411 479 21,197 2,792 5,491 13,967 28,023 73 76,323
Redemptions (13,331) (6,826) (3,891) (12,424) (1,589) (54,879) (24,018) (21,197) (2,792) (5,491) (13,967) (28,023) (4,469) (192,897)
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -1138-
Net change (13,209) (4,686) (3,653) (12,070) (1,553) (53,468) (23,539) (4,396) (116,574)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Zacks Investment Management Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class C (c) Class D (c) Class E (c) Class F (c) Class G (c) Class I (c) Class R2 (d) Class R4 (e) Class R5 (f) Class R6 (g) Class R8 (h) Class U (i)
NAV per Unit, Beginning of Period $ 14.7064 14.9072 14.8371 14.7673 14.6976 14.6287 14.4916 10.0000 10.0000 10.0000 10.0000 10.0000 10.0201
Net Investment Income (Loss)(a) $ (0.0143) (0.0367) (0.0409) (0.0448) (0.0489) (0.0530) (0.0611) (0.0082) (0.0150) (0.0161) (0.0159) (0.0185) (0.0141)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.1133 1.5957 1.5867 1.5769 1.5676 1.5585 1.5405 0.2936 0.6392 0.4957 0.3264 0.2949 0.7196
Total from Investment Activities $ 1.0990 1.5590 1.5458 1.5321 1.5187 1.5055 1.4794 0.2854 0.6242 0.4796 0.3105 0.2764 0.7055
Ratios (to average unit value)
NAV per Unit, End of Period $ -
Total Return 7.47 10.46 10.42 10.37 10.33 10.29 10.21 2.85 6.24 4.80 3.11 2.76 7.04
% % % % % % % % % % % % %
Net Expenses (0.20)% (0.49)% (0.55)% (0.61)% (0.67)% (0.73)% (0.84)% (0.17)% (0.31)% (0.33)% (0.33)% (0.38)% (0.29)%
Net Investment Income (Loss) (0.09)% (0.23)% (0.26)% (0.29)% (0.32)% (0.34)% (0.40)% (0.08)% (0.15)% (0.16)% (0.16)% (0.18)% (0.14)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through February 13, 2012
(c)
For the period from January 1, 2012 through March 22, 2012
(d)
For the period from February 14, 2012 (commencement of this class) through March 22, 2012
(e)
For the period from February 1, 2012 (commencement of this class) through March 22, 2012
(f)
For the period from February 2, 2012 (commencement of this class) through March 22, 2012
(g)
For the period from February 7, 2012 (commencement of this class) through March 22, 2012
(h)
For the period from February 8, 2012 (commencement of this class) through March 22, 2012
(i)
For the period from January 1, 2012 through February 6, 2012
*The Fund was closed March 22, 2012.
The accompanying notes are an integral part of these financial statements. -1139-
FMT Global Diversifed Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
Liabilities
8,883,303 -
$
Net assets
8,883,303
Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 6,930 21,653 30,445 61,735 68,554 27,447 66,055 48,401
$ $ $ $ $ $ $ $
NAV per Unit 760.5684 11.1734 11.0962 10.8108 11.1474 10.5350 11.6188 11.2562
$
$
The accompanying notes are an integral part of these financial statements. -1140-
Net Assets 5,270,501 241,933 337,820 667,406 764,195 289,155 767,482 544,811 8,883,303
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 13,228,276 12,865,781
Net realized gain from investments sold
362,495
Change in net unrealized appreciation (depreciation) on investments
256,967
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1141-
619,462
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
362,495
Change in net unrealized appreciation (depreciation) on investments
256,967
Net increase in net assets resulting from operations
619,462
Participant transactions Proceeds from units purchased Less payments for units redeemed
17,394,771 13,228,276 4,166,495
Increase in net assets from participant transactions Total increase in net assets
4,785,957
Net assets at beginning of year
4,097,346 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1142-
8,883,303
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Foreign Large Blend Equity (15.1%) FMT Diversified International (Thomas White) Fund International Core Equity (12.1%) FMT/Thornburg International Equity Fund
$
1,271,165
Fair Value
$
1,341,671
1,016,932
1,075,081
1,016,932 508,466 1,525,398
1,067,796 534,609 1,602,405
762,699 508,466 1,271,165
797,634 549,827 1,347,461
Large Cap Core Equity (5.3%) FMT Large Cap Opportunities (Smith Group) Fund
459,314
472,715
Large Cap Core/Blend Equity (4.3%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
367,791
380,516
367,791 183,895 551,686
375,946 188,547 564,493
Large Cap Value Equity (5.4%) FMT Large Cap Intrinsic Value (MetWest) Fund
460,162
477,242
Mid Cap Growth Equity (2.6%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
219,488
227,324
188,132 62,711 250,843
197,187 65,568 262,755
International Growth Equity (18.0%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (15.2%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (6.3%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund
Mid Cap Value Equity (3.0%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
The accompanying notes are an integral part of these financial statements. -1143-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Small Cap Core Equity (1.6%) FMT Small Cap Diversified Equity (Delaware) Fund
$
138,133
Fair Value $
145,081
Small Cap Growth Equity (3.2%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
277,114
283,074
Small Cap Value Equity (2.2%) FMT Small Cap Intrinsic Value (MetWest) Fund
184,743
199,088
Smid Cap Growth Equity (2.2%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
186,438
197,024
Smid Cap Value Equity (3.5%) FMT SMID Value (Fisher Investments) Fund
294,063
307,373
$
Total Investments
8,474,435
$
The accompanying notes are an integral part of these financial statements. -1144-
8,883,303
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversifed Equity Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Foreign large blend equity International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Small cap core equity Small cap growth equity Small cap value equity SMID cap growth equity SMID cap value equity
$
Level 1
1,341,671 1,075,081 1,602,405 1,347,461 472,715
$
380,516 564,493 477,242 227,324 262,755 145,081 283,074 199,088 197,024 307,373 $
8,883,303 $
Level 2 - $ - $
1,341,671 1,075,081 1,602,405 1,347,461 472,715
Level 3 $
380,516 564,493 477,242 227,324 262,755 145,081 283,074 199,088 197,024 307,373 8,883,303
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $17,394,771 and $13,228,276, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1145-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversified Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class N LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 108,601 3,041 1,126,678 1,434,566 1,283,573 700,999 962,678 109,491 474,136 73,360 46 77,033 36,672 5,504,190 764,839 311,891 905,890 976,537 576,845 782,684 506,893 70,535 316,725 286,868 17,394,771
Redemptions (522,268) (104,092) (1,650,979) (1,859,520) (1,809,420) (1,679,015) (1,713,103) (100,029) (627,474) (129,486) (233) (74,134) (36,093) (295,319) (594,111) (6,775) (310,725) (437,080) (353,043) (100,246) (12,577) (212,824) (318,570) (281,160) $ (13,228,276)
$
Units
$
$
Net change (413,667) (101,051) (524,301) (424,954) (525,847) (978,016) (750,425) 9,462 (153,338) (56,126) (187) 2,899 579 5,208,871 170,728 305,116 595,165 539,457 223,802 682,438 494,316 (142,289) (1,845) 5,708 4,166,495
Purchases 8,301 238 88,216 113,565 103,099 57,124 79,384 10,955 40,065 7,727 3 6,278 3,009 29,949 76,708 31,092 93,382 93,633 61,436 74,899 49,089 6,284 2,312 177,181 1,213,929
Redemptions (43,229) (7,923) (132,394) (149,569) (148,854) (140,487) (143,994) (10,955) (54,851) (13,999) (19) (6,620) (3,009) (23,019) (55,055) (647) (31,647) (40,253) (33,989) (8,935) (1,150) (18,813) (2,312) (177,431) (1,249,154)
The accompanying notes are an integral part of these financial statements. -1146-
Net change (34,928) (7,685) (44,178) (36,004) (45,755) (83,363) (64,610) (14,786) (6,272) (16) (342) 6,930 21,653 30,445 61,735 53,380 27,447 65,964 47,939 (12,529) (250) (35,225)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Global Diversified Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (f) Class H LifeStyle (h) Class I LifeStyle (d) Class J LifeStyle (d) Class N LifeStyle (i) Class O LifeStyle (g) Class Q LifeStyle (j) Class Q LifeStyle (k) Class R1 LifeStyle (l) Class R1 LifeStyle (m) Class R2 LifeStyle (n) Class R3 LifeStyle (o) Class R4 LifeStyle (p) Class R5 LifeStyle Class R6 LifeStyle (q) Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (d) Class T LifeStyle (r) Class T LifeStyle (s) Class U LifeStyle (i)
NAV per Unit, Beginning of Period $ 11.8829 11.7990 11.5969 11.4886 11.3484 11.1718 11.0517 10.0000 10.7633 8.5869 10.8093 11.1171 7.5500 58.8001 10.0000 622.6735 10.0000 10.0000 10.0000 9.8464 10.0000 10.2911 9.9880 10.2692 64.7700 352.5799 1.4658
Net Investment Income (Loss)(a)(b) $ -
Ratios (to average unit value)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3545 1.4125 1.4278 1.4004 1.3165 1.3194 1.2943 (0.8689) 1.1443 0.9013 1.2097 1.3845 0.0534 (2.6787) (0.9257)
Total from Investment Activities $ 1.3545 1.4125 1.4278 1.4004 1.3165 1.3194 1.2943 (0.8689) 11.9076 9.4882 12.0190 12.5016 0.0534 (2.6787) (0.9257)
NAV per Unit, End of Period $ -
Total Return 11.40 % 11.97 % 12.31 % 12.19 % 11.60 % 11.81 % 11.71 % (8.69)% 10.63 % 10.50 % 11.19 % 12.45 % 0.71 % (4.56)% (9.26)%
137.8949 1.1734 1.0962 0.8108 1.3010 0.5350 1.3277 1.2682 1.1981 (1.3716) 6.4706 0.1401
137.8949 1.1734 1.0962 0.8108 1.3010 0.5350 1.3277 1.2682 1.1981 (1.3716) 6.4706 0.1401
760.5684 11.1734 11.0962 10.8108 11.1474 10.5350 11.6188 11.2562 -
22.15 % 11.73 % 10.96 % 8.11 % 13.21 % 5.35 % 12.90 % 12.70 % 11.67 % (2.12)% 1.84 % 9.56 %
Net Expenses(b) % % % % % % % % % % % % % % % -
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % %
% % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) (q) (r) (s)
For the period from January 1, 2012 through July 9, 2012 For the period from January 1, 2012 through December 11, 2012 For the period from January 1, 2012 through December 12, 2012 For the period from January 1, 2012 through December 13, 2012 For the period from January 1, 2012 through December 14, 2012 For the period from March 23, 2012 (commencement of this class) through May 23, 2012 For the period from January 1, 2012 through November 28, 2012 For the period from January 25, 2012 (commencement of this class) through January 26, 2012 For the period from March 23, 2012 (recommencement of this class) through May 14, 2012 For the period from March 23, 2012 (commencement of this class) through May 24, 2012 For the period from August 30, 2012 (recommencement of this class) through December 31, 2012 For the period from January 5, 2012 (commencement of this class) through December 31, 2012 For the period from January 11, 2012 (commencement of this class) through December 31, 2012 For the period from January 25, 2012 (commencement of this class) through December 31, 2012 For the period from February 3, 2012 (commencement of this class) through December 31, 2012 For the period from March 6, 2012 (commencement of this class) through March 7, 2012 For the period from March 23, 2012 (recommencement of this class) through December 13, 2012
The accompanying notes are an integral part of these financial statements. -1147-
-
% % % % % % % % % % % %
FMT Large Cap Diversified Equity Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 15,435,600
Liabilities
$ 15,435,600
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 594,244 3,205 54,131 195,983 367,412 74,191 83,094 16,206
$ $ $ $ $ $ $ $
NAV per Unit 11.1434 11.1532 11.0181 10.8079 11.3073 10.6428 11.2546 11.3622
Net Assets $ 6,621,881 35,743 596,421 2,118,166 4,154,455 789,603 935,194 184,137 $ 15,435,600
The accompanying notes are an integral part of these financial statements. -1148-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 18,601,905 15,485,927
Net realized gain from investments sold
3,115,978 (1,107,800)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1149-
2,008,178
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
3,115,978 (1,107,800)
Change in net unrealized appreciation (depreciation) on investments
2,008,178
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
16,535,324 18,601,905 (2,066,581)
Decrease in net assets from participant transactions Total decrease in net assets
(58,403) 15,494,003
Net assets at beginning of year
$ 15,435,600
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1150-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Large Cap Core Equity (25.0%) FMT Large Cap Opportunities (Smith Group) Fund Large Cap Core/Blend Equity (20.0%) FMT Large Cap Concentrated Equity (Cornerstone) Fund Large Cap Growth Equity (29.8%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (25.2%) FMT Large Cap Intrinsic Value (MetWest) Fund Total Investments
$
3,770,438
Fair Value
$
3,016,351
3,093,796
3,016,351 1,508,175 4,524,526
3,056,952 1,533,192 4,590,144
3,770,438
3,891,286
$ 15,081,753
$ 15,435,600
The accompanying notes are an integral part of these financial statements. -1151-
3,860,374
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity
$
Level 1
3,860,374
$
3,093,796 4,590,144 3,891,286 $ 15,435,600
$
Level 2 - $
3,860,374
-
3,093,796 4,590,144 3,891,286
- $ 15,435,600
Level 3 $
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $16,535,324 and $18,601,905, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1152-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 58,189 17,845 108,118 312,918 107,798 105,235 38,576 2,210 3,970 16,406 49,620 10,191 6,652,288 32,259 683,021 2,157,184 4,262,131 834,479 951,361 59,536 11,042 53,127 7,820 16,535,324
Redemptions (114,761) (466,016) (2,081,180) (6,356,456) (2,142,231) (2,975,107) (930,853) (82,801) (164,638) (191,742) (95) (384,999) (75) (173,451) (88,352) (112,137) (190,787) (845,462) (79,852) (61,851) (7,605) (193,772) (421,013) (536,669) $ (18,601,905)
$
Units
$
$
Net change (56,572) (448,171) (1,973,062) (6,043,538) (2,034,433) (2,869,872) (892,277) (80,591) (160,668) (175,336) (95) (335,379) (75) (163,260) 6,563,936 32,259 570,884 1,966,397 3,416,669 754,627 889,510 51,931 (182,730) (367,886) (528,849) (2,066,581)
Purchases 4,588 1,469 8,825 26,088 9,007 8,910 3,306 184 352 1,305 3,249 779 598,904 3,205 64,211 214,298 398,814 81,930 88,313 5,570 865 4,174 659 1,529,005
Redemptions (9,104) (36,999) (169,975) (525,209) (180,430) (248,908) (79,261) (6,741) (14,358) (14,788) (7) (24,491) (7) (12,936) (7,942) (10,080) (18,315) (77,229) (7,739) (5,578) (707) (15,064) (31,873) (44,270) (1,542,011)
The accompanying notes are an integral part of these financial statements. -1153-
Net change (4,516) (35,530) (161,150) (499,121) (171,423) (239,998) (75,955) (6,557) (14,006) (13,483) (7) (21,242) (7) (12,157) 590,962 3,205 54,131 195,983 321,585 74,191 82,735 4,863 (14,199) (27,699) (43,611) (13,006)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT Large Cap Diversified Equity Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class H LifeStyle (g) Class I LifeStyle (c) Class J LifeStyle (c) Class N LifeStyle (h) Class O LifeStyle (i) Class P LifeStyle (g) Class Q LifeStyle (j) Class R1 LifeStyle Class R2 LifeStyle (k) Class R3 LifeStyle (l) Class R4 LifeStyle (m) Class R5 LifeStyle Class R6 LifeStyle (n) Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (c) Class T LifeStyle (e) Class U LifeStyle (g)
NAV per Unit, Beginning of Period $ 11.4756 11.3385 11.2163 11.0858 10.9652 10.8373 10.7266 11.1341 10.4803 11.6364 11.5250 14.1667 9.2981 11.6742 9.7631 10.0000 10.0000 10.0000 9.9748 10.0000 9.9638 10.0764 11.5752 11.7443 11.1653
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.4977 1.4607 1.5112 1.4551 1.3391 1.4007 1.3496 1.1405 1.2186 1.3322 1.5251 1.6202 1.1830 1.7780 1.3803 1.1532 1.0181
-
0.8079 1.3325 0.6428 1.2908 1.2858 1.4589 1.5329 1.1890
Ratios (to average unit value)
Total from Investment Activities $ 1.4977 1.4607 1.5112 1.4551 1.3391 1.4007 1.3496 1.1405 1.2186 1.3322 1.5251 1.6202 1.1830 1.7780 1.3803 1.1532 1.0181
NAV per Unit, End of Period $ 11.1434 11.1532 11.0181
Total Return 13.05 12.88 13.47 13.13 12.21 12.92 12.58 10.24 11.63 11.45 13.23 11.44 12.72 15.23 14.14 11.53 10.18
% % % % % % % % % % % % % % % % %
0.8079 1.3325 0.6428 1.2908 1.2858 1.4589 1.5329 1.1890
10.8079 11.3073 10.6428 11.2546 11.3622 -
8.08 13.36 6.43 12.95 12.76 12.60 13.05 10.65
% % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % -
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % %
% % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through November 28, 2012
(h)
For the period from January 1, 2012 through November 6, 2012
(i)
For the period from January 1, 2012 through August 20, 2012
(j)
For the period from January 1, 2012 through September 24, 2012
(k)
For the period from January 10, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 11, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 23, 2012 (commencement of this class) through December 31, 2012
(n)
For the period from January 26, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1154-
-
% % % % % % % %
FMT LifeStyle Aggressive Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$133,143,477
Liabilities
$133,143,477
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 4,736,517 574,171 1,251,566 1,709,019 2,219,708 590,277 366,478 224,670
$ $ $ $ $ $ $ $
NAV per Unit 11.7453 11.1529 11.1467 11.0989 11.1082 11.6312 11.1452 11.4912
Net Assets $ 55,631,926 6,403,680 13,950,822 18,968,315 24,656,903 6,865,646 4,084,461 2,581,724 $133,143,477
The accompanying notes are an integral part of these financial statements. -1155-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$184,992,511 161,590,302
Net realized gain from investments sold
23,402,209
Change in net unrealized appreciation (depreciation) on investments
(6,055,713)
Net increase in net assets resulting from operations
$ 17,346,496
The accompanying notes are an integral part of these financial statements. -1156-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$ 23,402,209
Change in net unrealized appreciation (depreciation) on investments
(6,055,713)
Net increase in net assets resulting from operations
17,346,496
Participant transactions Proceeds from units purchased Less payments for units redeemed
156,593,725 184,992,511
Decrease in net assets from participant transactions
(28,398,786)
Total decrease in net assets
(11,052,290)
Net assets at beginning of year
144,195,767 $133,143,477
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1157-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (3.8%) FMT U.S. Core Bond (Payden and Rygel) Fund FMT/PIMCO Total Return Fund
$
1,847,617 3,233,330 5,080,947
Fair Value
$
1,853,851 3,250,703 5,104,554
Foreign Large Blend Equity (6.8%) FMT Diversified International (Thomas White) Fund
8,710,196
8,981,103
Government Bonds - TIPS (1.4%) FMT/FFTW U.S. TIPS Fund
1,847,617
1,844,700
High Yield Bonds (1.0%) FMT High Yield Bond (Federated) Fund
1,385,713
1,397,858
923,809
944,226
6,968,157
7,195,736
6,968,157 3,484,078 10,452,235
7,120,893 3,569,704 10,690,597
5,226,118 3,484,078 8,710,196
5,286,922 3,681,417 8,968,339
11,019,718
11,000,744
8,815,774
8,803,893
8,815,774 4,407,887 13,223,661
8,695,078 4,359,857 13,054,935
11,019,718
11,073,793
International Bonds (0.7%) FMT/Templeton International Bond Fund International Core Equity (5.4%) FMT/Thornburg International Equity Fund International Growth Equity (8.0%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (6.7%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund Large Cap Core Equity (8.3%) FMT Large Cap Opportunities (Smith Group) Fund Large Cap Core/Blend Equity (6.6%) FMT Large Cap Concentrated Equity (Cornerstone) Fund Large Cap Growth Equity (9.8%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (8.3%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1158-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (4.0%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund Mid Cap Value Equity (4.6%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
$
5,265,710
Fair Value $
5,265,176
4,513,465 1,504,489 6,017,954
4,591,965 1,532,150 6,124,115
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund
5,278,907
5,072,736
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
1,319,727
1,358,276
Small Cap Core Equity (2.5%) FMT Small Cap Diversified Equity (Delaware) Fund
3,325,711
3,375,071
Small Cap Growth Equity (4.9%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
6,651,423
6,506,883
Small Cap Value Equity (3.5%) FMT Small Cap Intrinsic Value (MetWest) Fund
4,434,282
4,662,094
SMID Cap Growth - Equity (3.5%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
4,473,874
4,588,141
SMID Cap Value - Equity (5.4%) FMT SMID Value (Fisher Investments) Fund
7,047,341
7,130,507
$ 131,972,670
$ 133,143,477
Total Investments
The accompanying notes are an integral part of these financial statements. -1159-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
5,104,554 8,981,103 1,844,700 1,397,858 944,226 7,195,736 10,690,597 8,968,339 11,000,744 8,803,893 13,054,935 11,073,793 5,265,176 6,124,115
$
5,072,736 1,358,276 3,375,071 6,506,883 4,662,094 4,588,141 7,130,507 $ 133,143,477
$
Level 2 -
$
5,104,554 8,981,103 1,844,700 1,397,858 944,226 7,195,736 10,690,597 8,968,339 11,000,744 8,803,893 13,054,935 11,073,793 5,265,176 6,124,115
-
5,072,736 1,358,276 3,375,071 6,506,883 4,662,094 4,588,141 7,130,507
-
$ 133,143,477
Level 3 $
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $156,593,725 and $184,992,511, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1160-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 909,287 653,679 1,650,704 3,895,256 1,196,246 2,011,940 734,914 75,138 219,335 251,444 221,770 50,609 452,291 1,455,077 108,296 187,013 57,955,276 6,293,939 13,580,476 20,685,861 27,549,570 7,589,521 4,532,456 3,374,618 490,714 262,232 206,063 156,593,725
Redemptions (8,868,065) (7,581,025) (20,331,405) (40,160,738) (15,856,670) (12,152,935) (9,306,640) (993,610) (1,901,300) (1,592,295) (933,728) (490,125) (4,262,773) (12,327,194) (1,072,224) (3,933,566) (5,459,366) (2,283,378) (1,692,226) (4,337,284) (6,528,727) (1,749,135) (1,454,704) (917,694) (5,720,133) (11,858,177) (1,227,394) $ (184,992,511)
$
Units
$
$
Net change (7,958,778) (6,927,346) (18,680,701) (36,265,482) (14,660,424) (10,140,995) (8,571,726) (918,472) (1,681,965) (1,340,851) (711,958) (439,516) (3,810,482) (10,872,117) (963,928) (3,746,553) 52,495,910 4,010,561 11,888,250 16,348,577 21,020,843 5,840,386 3,077,752 2,456,924 (5,229,419) (11,595,945) (1,021,331) (28,398,786)
Purchases 45,413 34,220 81,402 202,494 68,876 109,003 47,157 6,529 16,512 23,451 20,347 4,914 43,854 143,238 8,960 14,840 5,018,569 603,528 1,286,003 1,978,980 2,672,621 693,208 435,117 305,013 41,495 21,573 17,171 13,944,488
Redemptions (433,463) (400,101) (998,623) (2,085,304) (906,883) (643,101) (592,959) (84,609) (141,234) (146,206) (85,687) (45,950) (412,062) (1,189,582) (88,715) (304,580) (473,991) (212,015) (155,371) (408,644) (605,211) (154,710) (135,173) (83,022) (482,740) (1,007,697) (103,224) (12,380,857)
The accompanying notes are an integral part of these financial statements. -1161-
Net change (388,050) (365,881) (917,221) (1,882,810) (838,007) (534,098) (545,802) (78,080) (124,722) (122,755) (65,340) (41,036) (368,208) (1,046,344) (79,755) (289,740) 4,544,578 391,513 1,130,632 1,570,336 2,067,410 538,498 299,944 221,991 (441,245) (986,124) (86,053) 1,563,631
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Aggressive Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class H LifeStyle (g) Class I LifeStyle (c) Class J LifeStyle (c) Class L LifeStyle (g) Class M LifeStyle (g) Class N LifeStyle (g) Class O LifeStyle (f) Class P LifeStyle (g) Class Q LifeStyle (d) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (c) Class T LifeStyle (e) Class U LifeStyle (g)
NAV per Unit, Beginning of Period $ 18.9074 17.7755 18.7056 17.9514 16.2476 17.6405 14.6110 10.7876 12.3357 9.9497 9.8725 9.6634 9.5232 9.4693 11.4632 11.6532 10.3422 9.8436 9.8561 9.8296 9.8547 10.3360 9.9219 10.2477 11.0384 11.3121 11.0396
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.2650 2.0989 2.2865 2.1518 1.8288 2.0617 1.6737 0.9871 1.3026 1.0335 1.0372 1.0113 0.9769 1.1055 1.7095 1.4395 1.4031 1.3093 1.2906 1.2693 1.2535 1.2952 1.2233 1.2435 1.2734 1.3468 1.0562
Total from Investment Activities $ 2.2650 2.0989 2.2865 2.1518 1.8288 2.0617 1.6737 0.9871 1.3026 1.0335 1.0372 1.0113 0.9769 1.1055 1.7095 1.4395 1.4031 1.3093 1.2906 1.2693 1.2535 1.2952 1.2233 1.2435 1.2734 1.3468 1.0562
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.7453 11.1529 11.1467 11.0989 11.1082 11.6312 11.1452 11.4912 -
Total Return 11.98 11.81 12.22 11.99 11.26 11.69 11.46 9.15 10.56 10.39 10.51 10.47 10.26 11.67 14.91 12.35 13.57 13.30 13.09 12.91 12.72 12.53 12.33 12.13 11.54 11.91 9.57
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through November 28, 2012
The accompanying notes are an integral part of these financial statements. -1162-
FMT LifeStyle Balanced Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 54,499,312
Liabilities
$ 54,499,312
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 1,173,509 493,662 332,632 984,640 1,372,488 269,570 175,184 114,052
$ $ $ $ $ $ $ $
NAV per Unit 10.6666 11.3953 11.1562 11.3931 11.0981 11.1229 11.0005 11.1351
Net Assets $ 12,517,398 5,625,444 3,710,902 11,218,106 15,231,968 2,998,400 1,927,115 1,269,979 $ 54,499,312
The accompanying notes are an integral part of these financial statements. -1163-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 41,956,934 37,094,568
Net realized gain from investments sold
4,862,366 (199,506)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1164-
4,662,860
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
4,862,366 (199,506)
Change in net unrealized appreciation (depreciation) on investments
4,662,860
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
57,745,730 41,956,934
Increase in net assets from participant transactions
15,788,796
Total increase in net assets
20,451,656
Net assets at beginning of year
34,047,656 $ 54,499,312
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1165-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (20.3%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
7,054,063 4,030,893 11,084,956
Fair Value
$
7,059,130 4,019,013 11,078,143
Foreign Large Blend Equity (4.5%) FMT Diversified International (Thomas White) Fund
2,369,512
2,436,609
Government Bonds - TIPS (7.3%) FMT/FFTW U.S. TIPS Fund
4,030,893
4,003,298
High Yield Bonds (5.6%) FMT High Yield Bond (Federated) Fund
3,023,170
3,037,605
International Bonds (3.8%) FMT/Templeton International Bond Fund
2,015,447
2,048,636
International Core Equity (3.6%) FMT/Thornburg International Equity Fund
1,895,609
1,951,431
1,895,609 947,805 2,843,414
1,928,579 966,810 2,895,389
1,421,707 947,805 2,369,512
1,425,259 998,840 2,424,099
Large Cap Core Equity (5.4%) FMT Large Cap Opportunities (Smith Group) Fund
2,995,934
2,966,619
Large Cap Core/Blend Equity (4.4%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
2,396,747
2,369,890
2,396,747 1,198,374 3,595,121
2,339,423 1,172,151 3,511,574
2,995,934
2,990,281
International Growth Equity (5.3%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (4.5%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (6.4%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (5.5%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1166-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (2.6%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (3.0%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
1,427,154
Fair Value $
1,414,328
1,225,609 408,536 1,634,145
1,239,072 413,234 1,652,306
2,178,861
2,066,649
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
544,715
556,485
Small Cap Core Equity (1.7%) FMT Small Cap Diversified Equity (Delaware) Fund
904,227
909,575
Small Cap Growth Equity (3.2%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
1,813,902
1,746,955
Small Cap Value Equity (2.3%) FMT Small Cap Intrinsic Value (MetWest) Fund
1,209,268
1,268,076
SMID Cap Growth - Equity (2.3%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
1,220,162
1,241,771
SMID Cap Value - Equity (3.5%) FMT SMID Value (Fisher Investments) Fund
1,922,845
1,929,593
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund
$
Total Investments
54,471,528
$
The accompanying notes are an integral part of these financial statements. -1167-
54,499,312
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
11,078,143 2,436,609 4,003,298 3,037,605 2,048,636 1,951,431 2,895,389 2,424,099 2,966,619 2,369,890 3,511,574 2,990,281 1,414,328 1,652,306
$
2,066,649 556,485 909,575 1,746,955 1,268,076 1,241,771 1,929,593 $
54,499,312
Level 2 -
$
$
-
11,078,143 2,436,609 4,003,298 3,037,605 2,048,636 1,951,431 2,895,389 2,424,099 2,966,619 2,369,890 3,511,574 2,990,281 1,414,328 1,652,306
Level 3 $
2,066,649 556,485 909,575 1,746,955 1,268,076 1,241,771 1,929,593 $
54,499,312
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $57,745,730 and $41,956,934, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1168-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class N LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 14,424 266,480 3,345,641 4,402,572 1,952,312 623,669 147,926 3,594 27,281 21,317 77,547 321,742 12,352 12,493,878 3,460,683 4,217,879 5,990,506 14,258,441 2,914,293 1,630,220 1,174,833 126,224 241,115 20,801 57,745,730
Redemptions (1,139,413) (4,615,469) (4,887,069) (8,237,877) (5,229,687) (2,979,486) (1,548,394) (69,844) (213,611) (70,608) (1,657,703) (798,817) (91,030) (121,116) (2,048,467) (1,152,594) (1,761,095) (1,636,922) (237,888) (344,072) (59,387) (473,831) (2,437,038) (145,516) $ (41,956,934)
$
Units
$
$
Net change (1,124,989) (4,348,989) (1,541,428) (3,835,305) (3,277,375) (2,355,817) (1,400,468) (66,250) (186,330) (49,291) (1,580,156) (477,075) (78,678) 12,372,762 1,412,216 3,065,285 4,229,411 12,621,519 2,676,405 1,286,148 1,115,446 (347,607) (2,195,923) (124,715) 15,788,796
Purchases 1,021 17,344 249,171 333,693 145,586 48,890 11,613 306 2,135 1,597 5,148 23,763 1,022 1,184,913 320,595 398,602 552,759 1,353,001 282,655 156,910 112,125 10,415 19,649 1,862 5,234,775
Redemptions (85,898) (295,351) (364,233) (616,229) (394,828) (228,088) (120,441) (5,842) (16,669) (5,254) (108,498) (58,490) (7,245) (11,413) (184,488) (106,611) (163,444) (152,792) (21,949) (33,551) (5,658) (38,230) (206,425) (12,471) (3,244,098)
The accompanying notes are an integral part of these financial statements. -1169-
Net change (84,877) (278,007) (115,062) (282,536) (249,242) (179,198) (108,828) (5,536) (14,534) (3,657) (103,350) (34,727) (6,223) 1,173,500 136,107 291,991 389,315 1,200,209 260,706 123,359 106,467 (27,815) (186,776) (10,609) 1,990,677
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Balanced Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (f) Class H LifeStyle (h) Class I LifeStyle (d) Class J LifeStyle (d) Class N LifeStyle (i) Class O LifeStyle (g) Class Q LifeStyle (e) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (d) Class T LifeStyle (f) Class U LifeStyle (h)
NAV per Unit, Beginning of Period $ 13.0915 14.3335 12.7321 12.6032 12.4627 12.2690 12.1415 10.9990 11.8362 12.3899 13.9204 12.4238 11.2846 9.4957 10.1817 9.9879 10.2144 9.9658 10.0034 9.9095 10.0368 11.2136 11.4093 10.8969
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.7344 1.5804 1.4214 1.3762 1.2912 1.3109 1.2676 0.9569 1.1603 1.1926 22.9085 1.3390 1.2791 1.1709 1.2136 1.1683 1.1787 1.1323 1.1195 1.0910 1.0983 1.2094 1.2377 0.9912
Total from Investment Activities $ 1.7344 1.5804 1.4214 1.3762 1.2912 1.3109 1.2676 0.9569 1.1603 1.1926 22.9085 1.3390 1.2791 1.1709 1.2136 1.1683 1.1787 1.1323 1.1195 1.0910 1.0983 1.2094 1.2377 0.9912
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.6666 11.3953 11.1562 11.3931 11.0981 11.1229 11.0005 11.1351 -
Total Return 13.25 11.03 11.16 10.92 10.36 10.68 10.44 8.70 9.80 9.63 164.57 10.78 11.33 12.33 11.92 11.70 11.54 11.36 11.19 11.01 10.94 10.79 10.85 9.10
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 3, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 14, 2012
(h)
For the period from January 1, 2012 through November 28, 2012
(i)
For the period from January 1, 2012 through November 28, 2012. Per share amounts presented are based on a share outstanding throughout each period presented. On March 27, 2012, 99.8% of the Class N units were liquidated which resulted in a higher price allocation to the remaining units until Class N was closed on November 28, 2012. As a result, the return as calculated above in accordance with generally accepted accounting principles was experienced by only a very small number of units and is not indicative of the class return as a whole.
The accompanying notes are an integral part of these financial statements. -1170-
FMT LifeStyle Income and Conservative Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 72,434,183
Liabilities
$ 72,434,183
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Lehman LifeStyle
Units of Participation 2,098,365 590,829 616,439 1,068,360 570,595 246,975 369,560 104,368 372,091
$ $ $ $ $ $ $ $ $
NAV per Unit 13.6665 10.8398 10.8633 10.8611 10.9309 10.9710 10.8049 10.7943 13.3996
Net Assets $ 28,677,402 6,404,444 6,696,539 11,603,604 6,237,129 2,709,574 3,993,050 1,126,576 4,985,865 $ 72,434,183
The accompanying notes are an integral part of these financial statements. -1171-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 74,355,688 67,602,634
Net realized gain from investments sold
6,753,054 (1,693,431)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1172-
5,059,623
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
6,753,054 (1,693,431)
Change in net unrealized appreciation (depreciation) on investments
5,059,623
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
82,228,969 74,355,688 7,873,281
Increase in net assets from participant transactions Total increase in net assets
12,932,904
Net assets at beginning of year
59,501,279 $ 72,434,183
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1173-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (30.3%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
13,938,439 7,964,822 21,903,261
Fair Value
$
13,953,339 7,953,742 21,907,081
Foreign Large Blend Equity (1.6%) FMT Diversified International (Thomas White) Fund
1,086,112
1,116,680
Government Bonds - TIPS (10.9%) FMT/FFTW U.S. TIPS Fund
7,964,822
7,918,979
High Yield Bonds (8.3%) FMT High Yield Bond (Federated) Fund
5,973,617
6,012,827
International Bonds (5.6%) FMT/Templeton International Bond Fund
3,982,411
4,046,474
868,890
894,966
868,890 434,445 1,303,335
885,881 444,116 1,329,997
651,667 434,445 1,086,112
657,026 458,245 1,115,271
Large Cap Core Equity (1.9%) FMT Large Cap Opportunities (Smith Group) Fund
1,375,742
1,369,987
Large Cap Core/Blend Equity (1.5%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
1,100,594
1,097,007
1,100,594 550,297 1,650,891
1,083,564 543,385 1,626,949
1,375,742
1,379,482
International Core Equity (1.2%) FMT/Thornburg International Equity Fund International Growth Equity (1.8%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (1.6%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (2.3%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (1.9%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1174-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (0.9%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (1.0%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
658,908
Fair Value $
657,111
564,778 188,259 753,037
572,369 189,779 762,148
2,896,299
2,772,787
724,075
742,139
14,481,495
14,429,618
Small Cap Core Equity (0.6%) FMT Small Cap Diversified Equity (Delaware) Fund
412,723
417,431
Small Cap Growth Equity (1.1%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
825,445
806,154
Small Cap Value Equity (0.8%) FMT Small Cap Intrinsic Value (MetWest) Fund
550,297
577,043
SMID Cap Growth - Equity (0.8%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
557,537
570,021
SMID Cap Value - Equity (1.2%) FMT SMID Value (Fisher Investments) Fund
876,130
884,031
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund Short Duration Bond (19.9%) FMT/DFA 1 Year Fixed Income Fund
$
Total Investments
72,407,475
$
The accompanying notes are an integral part of these financial statements. -1175-
72,434,183
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Short duration bond Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
21,907,081 1,116,680 7,918,979 6,012,827 4,046,474 894,966 1,329,997 1,115,271 1,369,987 1,097,007 1,626,949 1,379,482 657,111 762,148
$
2,772,787 742,139 14,429,618 417,431 806,154 577,043 570,021 884,031 $
72,434,183
Level 2 -
$
$
-
21,907,081 1,116,680 7,918,979 6,012,827 4,046,474 894,966 1,329,997 1,115,271 1,369,987 1,097,007 1,626,949 1,379,482 657,111 762,148
Level 3 $
2,772,787 742,139 14,429,618 417,431 806,154 577,043 570,021 884,031 $
72,434,183
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $82,228,969 and $74,355,688, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1176-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle Lehman LifeStyle
$
$
Purchases 210,890 1,228,948 1,002,639 2,470,751 2,188,863 963,712 525,593 10,569 289,768 244,362 8,658 24,446 621,971 1,103,114 113,213 192,444 27,100,895 6,037,304 7,256,220 13,619,577 6,936,939 2,844,810 4,483,558 1,116,448 258,884 824,315 80,707 469,371 82,228,969
Redemptions (1,046,092) (4,870,652) (10,327,791) (12,533,438) (6,119,397) (5,886,858) (2,331,445) (146,623) (1,268,838) (1,253,372) (255,750) (368,686) (2,441,183) (7,101,749) (635,582) (1,179,814) (1,934,943) (170,349) (778,635) (4,298,488) (1,284,283) (338,205) (1,049,090) (57,340) (2,026,662) (3,215,181) (669,561) (765,681) $ (74,355,688)
$
Units
$
$
Net change (835,202) (3,641,704) (9,325,152) (10,062,687) (3,930,534) (4,923,146) (1,805,852) (136,054) (979,070) (1,009,010) (247,092) (344,240) (1,819,212) (5,998,635) (522,369) (987,370) 25,165,952 5,866,955 6,477,585 9,321,089 5,652,656 2,506,605 3,434,468 1,059,108 (1,767,778) (2,390,866) (588,854) (296,310) 7,873,281
Purchases 12,901 76,315 61,254 151,960 143,194 62,626 36,143 943 21,570 20,113 710 2,046 47,108 92,742 10,036 16,133 1,999,146 577,850 690,429 1,307,084 662,342 271,017 434,422 107,771 22,463 71,686 7,046 35,953 6,943,003
Redemptions (63,330) (300,533) (631,463) (765,464) (393,378) (383,202) (159,902) (13,075) (93,353) (100,607) (20,716) (29,789) (184,685) (592,546) (55,995) (97,869) (146,846) (16,088) (73,996) (406,080) (120,058) (31,316) (99,097) (5,477) (172,928) (280,847) (58,187) (58,923) (5,355,750)
The accompanying notes are an integral part of these financial statements. -1177-
Net change (50,429) (224,218) (570,209) (613,504) (250,184) (320,576) (123,759) (12,132) (71,783) (80,494) (20,006) (27,743) (137,577) (499,804) (45,959) (81,736) 1,852,300 561,762 616,433 901,004 542,284 239,701 335,325 102,294 (150,465) (209,161) (51,141) (22,970) 1,587,253
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Income and Conservative Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class H LifeStyle (g) Class I LifeStyle (c) Class J LifeStyle (c) Class L LifeStyle (g) Class M LifeStyle (g) Class N LifeStyle (g) Class O LifeStyle (f) Class P LifeStyle (g) Class Q LifeStyle (d) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (c) Class T LifeStyle (e) Class U LifeStyle (g) Lehman LifeStyle
NAV per Unit, Beginning of Period $ 15.8595 15.4955 15.6913 15.5548 14.7650 14.8265 13.8745 10.7646 12.9018 11.7179 11.6482 11.5056 12.5337 11.3467 11.2218 11.2184 12.5473 9.9736 10.0166 10.0310 10.1136 10.1709 10.0322 10.0321 11.0233 11.0646 11.0009 12.3431
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.3532 1.2980 1.3013 1.2548 1.1270 1.1546 1.0473 0.7089 0.9261 0.8205 1.0418 0.9096 0.9655 0.9147 0.9659 0.9444 1.1192 0.8662 0.8467 0.8301 0.8173 0.8001 0.7727 0.7622 0.8952 0.8805 0.7734 1.0565
Total from Investment Activities $ 1.3532 1.2980 1.3013 1.2548 1.1270 1.1546 1.0473 0.7089 0.9261 0.8205 1.0418 0.9096 0.9655 0.9147 0.9659 0.9444 1.1192 0.8662 0.8467 0.8301 0.8173 0.8001 0.7727 0.7622 0.8952 0.8805 0.7734 1.0565
Ratios (to average unit value)
NAV per Unit, End of Period $ 13.6665 10.8398 10.8633 10.8611 10.9309 10.9710 10.8049 10.7943 13.3996
Total Return 8.53 8.38 8.29 8.07 7.63 7.79 7.55 6.59 7.18 7.00 8.94 7.91 7.70 8.06 8.61 8.42 8.92 8.68 8.45 8.28 8.08 7.87 7.70 7.60 8.12 7.96 7.03 8.56
% % % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through November 28, 2012
The accompanying notes are an integral part of these financial statements. -1178-
FMT LifeStyle Moderately Aggressive Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 224,807,226
Liabilities
$ 224,807,226
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 6,518,959 1,865,584 2,326,292 3,688,039 2,590,032 936,645 695,616 591,913
$ $ $ $ $ $ $ $
NAV per Unit 12.7802 11.1142 11.1064 11.0670 11.1500 11.5126 11.0928 11.3678
Net Assets $ 83,313,522 20,734,520 25,836,627 40,815,419 28,878,749 10,783,261 7,716,350 6,728,778 $ 224,807,226
The accompanying notes are an integral part of these financial statements. -1179-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 278,339,508 241,375,325
Net realized gain from investments sold
36,964,183 (10,729,388)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
26,234,795
The accompanying notes are an integral part of these financial statements. -1180-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
36,964,183 (10,729,388) 26,234,795
252,273,113 278,339,508
Decrease in net assets from participant transactions
(26,066,395)
Total increase in net assets
168,400 224,638,826
Net assets at beginning of year
$ 224,807,226
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1181-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (13.7%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
19,680,933 11,246,247 30,927,180
Fair Value
$
19,628,184 11,189,563 30,817,747
Foreign Large Blend Equity (5.4%) FMT Diversified International (Thomas White) Fund
11,808,560
12,088,231
Government Bonds - TIPS (4.9%) FMT/FFTW U.S. TIPS Fund
11,246,247
11,135,984
High Yield Bonds (3.8%) FMT High Yield Bond (Federated) Fund
8,434,685
8,450,023
International Bonds (2.5%) FMT/Templeton International Bond Fund
5,623,124
5,694,682
International Core Equity (4.3%) FMT/Thornburg International Equity Fund
9,446,848
9,685,805
9,446,848 4,723,424 14,170,272
9,582,498 4,805,624 14,388,122
7,085,136 4,723,424 11,808,560
7,102,593 4,959,805 12,062,398
Large Cap Core Equity (6.6%) FMT Large Cap Opportunities (Smith Group) Fund
14,957,509
14,801,983
Large Cap Core/Blend Equity (5.3%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
11,966,007
11,838,900
11,966,007 5,983,004 17,949,011
11,690,917 5,864,526 17,555,443
14,957,509
14,910,540
International Growth Equity (6.4%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (5.4%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (7.8%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (6.6%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1182-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (3.2%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund Mid Cap Value Equity (3.7%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
$
7,152,613
Fair Value $
7,090,582
6,140,451 2,046,817 8,187,268
6,201,314 2,074,170 8,275,484
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund
8,996,998
8,558,435
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
2,249,249
2,294,715
Small Cap Core Equity (2.0%) FMT Small Cap Diversified Equity (Delaware) Fund
4,476,006
4,499,049
Small Cap Growth Equity (3.9%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
8,974,505
8,683,445
Small Cap Value Equity (2.8%) FMT Small Cap Intrinsic Value (MetWest) Fund
5,983,004
6,243,298
SMID Cap Growth - Equity (2.7%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
6,072,973
6,169,335
SMID Cap Value - Equity (4.2%) FMT SMID Value (Fisher Investments) Fund
9,536,818
9,563,025
$ 224,924,946
$ 224,807,226
Total Investments
The accompanying notes are an integral part of these financial statements. -1183-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
30,817,747 12,088,231 11,135,984 8,450,023 5,694,682 9,685,805 14,388,122 12,062,398 14,801,983 11,838,900 17,555,443 14,910,540 7,090,582 8,275,484
$
8,558,435 2,294,715 4,499,049 8,683,445 6,243,298 6,169,335 9,563,025 $ 224,807,226
$
Level 2 -
$
30,817,747 12,088,231 11,135,984 8,450,023 5,694,682 9,685,805 14,388,122 12,062,398 14,801,983 11,838,900 17,555,443 14,910,540 7,090,582 8,275,484
-
8,558,435 2,294,715 4,499,049 8,683,445 6,243,298 6,169,335 9,563,025
-
$ 224,807,226
Level 3 $
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $252,273,113 and $278,339,508, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1184-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 1,326,362 1,134,179 10,645,112 6,557,323 1,941,650 1,059,956 1,800,820 36,824 358,361 226,029 63,405 66,294 336,216 2,232,298 10,302 565,265 83,240,540 13,501,577 25,259,424 40,245,739 31,359,284 12,950,735 7,783,260 8,014,636 1,053,749 402,316 101,457 252,273,113
Redemptions (14,233,473) (11,903,459) (34,043,528) (51,765,737) (26,923,409) (13,340,873) (13,508,125) (964,516) (4,033,290) (3,091,587) (1,506,604) (478,744) (4,000,989) (21,018,705) (2,487,439) (8,809,715) (5,335,868) (7,744,043) (3,143,122) (8,993,357) (8,840,654) (3,820,092) (3,420,814) (2,019,440) (10,177,108) (9,725,777) (3,009,040) $ (278,339,508)
$
Units
$
$
Net change (12,907,111) (10,769,280) (23,398,416) (45,208,414) (24,981,759) (12,280,917) (11,707,305) (927,692) (3,674,929) (2,865,558) (1,443,199) (412,450) (3,664,773) (18,786,407) (2,477,137) (8,244,450) 77,904,672 5,757,534 22,116,302 31,252,382 22,518,630 9,130,643 4,362,446 5,995,196 (9,123,359) (9,323,461) (2,907,583) (26,066,395)
Purchases 68,559 59,806 539,727 329,051 113,049 58,753 117,472 3,236 26,145 19,757 5,589 5,937 30,686 203,482 882 45,821 6,618,165 1,295,271 2,388,881 3,850,604 2,978,153 1,204,379 749,897 745,351 88,397 35,446 8,638 21,591,134
Redemptions (722,860) (634,310) (1,704,000) (2,578,562) (1,562,786) (732,903) (858,954) (85,607) (292,040) (270,820) (129,364) (42,039) (366,019) (1,903,433) (210,911) (694,876) (427,642) (733,320) (291,681) (847,344) (830,310) (339,454) (315,563) (184,125) (838,507) (873,561) (260,980) (18,731,971)
The accompanying notes are an integral part of these financial statements. -1185-
Net change (654,301) (574,504) (1,164,273) (2,249,511) (1,449,737) (674,150) (741,482) (82,371) (265,895) (251,063) (123,775) (36,102) (335,333) (1,699,951) (210,029) (649,055) 6,190,523 561,951 2,097,200 3,003,260 2,147,843 864,925 434,334 561,226 (750,110) (838,115) (252,342) 2,859,163
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Aggressive Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class H LifeStyle (g) Class I LifeStyle (c) Class J LifeStyle (c) Class L LifeStyle (g) Class M LifeStyle (g) Class N LifeStyle (g) Class O LifeStyle (f) Class P LifeStyle (h) Class Q LifeStyle (d) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (c) Class T LifeStyle (e) Class U LifeStyle (g)
NAV per Unit, Beginning of Period $ 18.2825 17.6351 18.5863 18.7093 16.0863 17.2269 14.6967 10.7653 12.7621 10.6735 10.5839 10.3545 10.2872 10.2027 11.4013 11.5164 11.3314 9.8796 9.8900 9.8692 9.9607 10.3004 9.9457 10.2067 11.1598 10.5579 11.0188
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 2.1081 2.0038 2.1598 2.1312 1.7273 1.9128 1.5956 0.9597 1.2863 1.0628 1.0832 1.0564 1.0315 1.1385 1.1345 1.3549 1.4488 1.2346 1.2164 1.1978 1.1893 1.2122 1.1471 1.1611 1.2375 1.1981 1.0269
Total from Investment Activities $ 2.1081 2.0038 2.1598 2.1312 1.7273 1.9128 1.5956 0.9597 1.2863 1.0628 1.0832 1.0564 1.0315 1.1385 1.1345 1.3549 1.4488 1.2346 1.2164 1.1978 1.1893 1.2122 1.1471 1.1611 1.2375 1.1981 1.0269
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.7802 11.1142 11.1064 11.0670 11.1500 11.5126 11.0928 11.3678 -
Total Return 11.53 11.36 11.62 11.39 10.74 11.10 10.86 8.91 10.08 9.96 10.23 10.20 10.03 11.16 9.95 11.76 12.79 12.50 12.30 12.14 11.94 11.77 11.53 11.38 11.09 11.35 9.32
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through November 28, 2012
(h)
For the period from January 1, 2012 through March 22, 2012
The accompanying notes are an integral part of these financial statements. -1186-
FMT LifeStyle Moderately Conservative Growth Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$172,873,971
Liabilities
$172,873,971
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 5,757,689 1,342,334 2,460,555 2,817,672 1,285,291 609,145 215,316 261,080
$ $ $ $ $ $ $ $
NAV per Unit 12.8568 10.9880 10.9741 10.9451 11.0175 11.2347 10.9463 11.0918
Net Assets $ 74,025,211 14,749,605 27,002,396 30,839,714 14,160,739 6,843,545 2,356,920 2,895,841 $172,873,971
The accompanying notes are an integral part of these financial statements. -1187-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$191,302,506 169,698,265
Net realized gain from investments sold
21,604,241
Change in net unrealized appreciation (depreciation) on investments
(5,341,719)
Net increase in net assets resulting from operations
$ 16,262,522
The accompanying notes are an integral part of these financial statements. -1188-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$ 21,604,241
Change in net unrealized appreciation (depreciation) on investments
(5,341,719)
Net increase in net assets resulting from operations
16,262,522
Participant transactions Proceeds from units purchased Less payments for units redeemed
192,917,275 191,302,506 1,614,769
Increase in net assets from participant transactions Total increase in net assets
17,877,291 154,996,680
Net assets at beginning of year
$172,873,971
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1189-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (24.7%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund Foreign Large Blend Equity (3.1%) FMT Diversified International (Thomas White) Fund
$
27,285,860 15,591,920 42,877,780
Fair Value
$
27,205,049 15,499,816 42,704,865
5,197,307
5,322,388
Government Bonds - TIPS (8.9%) FMT/FFTW U.S. TIPS Fund
15,591,920
15,438,349
High Yield Bonds (6.8%) FMT High Yield Bond (Federated) Fund
11,693,940
11,722,824
International Bonds (4.6%) FMT/Templeton International Bond Fund
7,795,960
7,884,874
International Core Equity (2.5%) FMT/Thornburg International Equity Fund
4,157,845
4,263,448
4,157,845 2,078,923 6,236,768
4,222,087 2,117,022 6,339,109
3,118,384 2,078,923 5,197,307
3,134,909 2,183,248 5,318,157
Large Cap Core Equity (3.8%) FMT Large Cap Opportunities (Smith Group) Fund
6,583,255
6,524,452
Large Cap Core/Blend Equity (3.0%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
5,266,604
5,225,785
5,266,604 2,633,302 7,899,906
5,157,356 2,583,229 7,740,585
6,583,255
6,567,654
International Growth Equity (3.7%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (3.1%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (4.5%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (3.8%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1190-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (1.8%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund Mid Cap Value Equity (2.1%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
$
3,153,033
Fair Value $
3,130,922
2,702,599 900,867 3,603,466
2,727,218 913,456 3,640,674
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund
6,929,742
6,599,590
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
1,732,435
1,767,758
Short Duration Bond (9.9%) FMT/DFA 1 Year Fixed Income Fund
17,324,356
17,178,002
Small Cap Core Equity (1.1%) FMT Small Cap Diversified Equity (Delaware) Fund
1,974,977
1,992,527
Small Cap Growth Equity (2.2%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
3,949,953
3,837,424
Small Cap Value Equity (1.6%) FMT Small Cap Intrinsic Value (MetWest) Fund
2,633,302
2,745,252
SMID Cap Growth - Equity (1.6%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
2,667,951
2,717,351
SMID Cap Value - Equity (2.4%) FMT SMID Value (Fisher Investments) Fund
4,192,494
4,211,981
$ 173,243,556
$ 172,873,971
Total Investments
The accompanying notes are an integral part of these financial statements. -1191-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Short duration bond Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
42,704,865 5,322,388 15,438,349 11,722,824 7,884,874 4,263,448 6,339,109 5,318,157 6,524,452 5,225,785 7,740,585 6,567,654 3,130,922 3,640,674
$
6,599,590 1,767,758 17,178,002 1,992,527 3,837,424 2,745,252 2,717,351 4,211,981 $ 172,873,971
$
Level 2 -
$
42,704,865 5,322,388 15,438,349 11,722,824 7,884,874 4,263,448 6,339,109 5,318,157 6,524,452 5,225,785 7,740,585 6,567,654 3,130,922 3,640,674
-
6,599,590 1,767,758 17,178,002 1,992,527 3,837,424 2,745,252 2,717,351 4,211,981
-
$ 172,873,971
Level 3 $
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $192,917,275 and $191,302,506, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1192-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class L LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class P LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 342,763 293,591 7,829,741 4,163,783 1,055,500 839,566 1,016,875 48,002 882,709 104,107 26,053 67,372 251,521 7,939,708 4,912 282,749 75,610,027 5,979,431 26,668,241 30,269,128 13,271,197 7,602,391 3,240,145 3,299,044 1,088,772 613,325 126,622 192,917,275
Redemptions (2,665,762) (6,094,431) (31,992,280) (24,553,296) (15,032,613) (8,333,780) (7,226,339) (582,965) (3,348,730) (1,289,051) (167,935) (394,690) (4,624,460) (34,528,508) (946,836) (11,233,724) (4,368,169) (4,480,917) (1,194,403) (5,531,672) (2,253,854) (2,632,245) (1,746,938) (859,918) (10,764,208) (3,145,427) (1,309,355) $ (191,302,506)
$
Units
$
$
Net change (2,322,999) (5,800,840) (24,162,539) (20,389,513) (13,977,113) (7,494,214) (6,209,464) (534,963) (2,466,021) (1,184,944) (141,882) (327,318) (4,372,939) (26,588,800) (941,924) (10,950,975) 71,241,858 1,498,514 25,473,838 24,737,456 11,017,343 4,970,146 1,493,207 2,439,126 (9,675,436) (2,532,102) (1,182,733) 1,614,769
Purchases 20,191 17,161 452,339 240,261 67,207 51,700 69,021 4,202 65,594 8,897 2,187 5,969 17,388 694,861 423 23,695 5,957,534 571,978 2,534,931 2,904,474 1,262,409 712,129 310,731 313,330 92,816 52,476 10,838 16,464,742
Redemptions (155,190) (361,536) (1,827,186) (1,390,909) (950,209) (507,688) (489,079) (52,499) (244,701) (107,496) (13,742) (33,533) (321,197) (2,958,957) (82,267) (922,416) (346,454) (417,452) (112,282) (518,997) (208,796) (238,228) (162,743) (79,649) (918,138) (265,780) (110,688) (13,797,812)
The accompanying notes are an integral part of these financial statements. -1193-
Net change (134,999) (344,375) (1,374,847) (1,150,648) (883,002) (455,988) (420,058) (48,297) (179,107) (98,599) (11,555) (27,564) (303,809) (2,264,096) (81,844) (898,721) 5,611,080 154,526 2,422,649 2,385,477 1,053,613 473,901 147,988 233,681 (825,322) (213,304) (99,850) 2,666,930
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Moderately Conservative Growth Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class H LifeStyle (g) Class I LifeStyle (c) Class J LifeStyle (c) Class L LifeStyle (g) Class M LifeStyle (g) Class N LifeStyle (g) Class O LifeStyle (f) Class P LifeStyle (h) Class Q LifeStyle (d) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle (c) Class T LifeStyle (e) Class U LifeStyle (g)
NAV per Unit, Beginning of Period $ 16.2154 16.0572 16.5436 16.5338 14.9365 15.5204 13.9282 10.7197 12.6768 11.0934 11.1877 10.8588 13.5852 10.7850 11.2710 11.3222 11.6006 9.9397 9.9477 9.9342 10.0131 10.2296 9.9839 10.1330 11.0537 11.1184 11.1369
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.6410 1.6007 1.6557 1.6152 1.3844 1.4741 1.2895 0.8462 1.1065 0.9501 1.0331 0.9986 1.2232 1.0432 0.7709 1.1468 1.2562 1.0483 1.0264 1.0109 1.0044 1.0051 0.9624 0.9588 1.0682 1.0779 0.9262
Total from Investment Activities $ 1.6410 1.6007 1.6557 1.6152 1.3844 1.4741 1.2895 0.8462 1.1065 0.9501 1.0331 0.9986 1.2232 1.0432 0.7709 1.1468 1.2562 1.0483 1.0264 1.0109 1.0044 1.0051 0.9624 0.9588 1.0682 1.0779 0.9262
Ratios (to average unit value)
NAV per Unit, End of Period $ 12.8568 10.9880 10.9741 10.9451 11.0175 11.2347 10.9463 11.0918 -
Total Return 10.12 9.97 10.01 9.77 9.27 9.50 9.26 7.89 8.73 8.56 9.23 9.20 9.00 9.67 6.84 10.13 10.83 10.55 10.32 10.18 10.03 9.83 9.64 9.46 9.66 9.69 8.32
% % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through November 28, 2012
(h)
For the period from January 1, 2012 through March 22, 2012
The accompanying notes are an integral part of these financial statements. -1194-
FMT LifeStyle Target Date 2010 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
Liabilities
3,350,503 -
$
Net assets
3,350,503
Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle
Units of Participation 1,262,827 913 10,798 5,001 13,315 1,861
$ $ $ $ $ $
NAV per Unit 2.3766 11.2657 10.9950 10.3932 11.1875 10.3651
$
$
The accompanying notes are an integral part of these financial statements. -1195-
Net Assets 3,001,278 10,282 118,722 51,979 148,955 19,287 3,350,503
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$
Net realized gain from investments sold
4,439,993 4,125,826 314,167 9,796
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1196-
323,963
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
314,167 9,796
Change in net unrealized appreciation (depreciation) on investments
323,963
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
4,220,050 4,439,993 (219,943)
Decrease in net assets from participant transactions Total increase in net assets
104,020 3,246,483
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1197-
3,350,503
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (24.1%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
492,805 281,603 774,408
Fair Value
$
514,011 293,750 807,761
Foreign Large Blend Equity (3.3%) FMT Diversified International (Thomas White) Fund
105,601
111,644
Government Bonds - TIPS (8.7%) FMT/FFTW U.S. TIPS Fund
281,603
291,005
High Yield Bonds (6.6%) FMT High Yield Bond (Federated) Fund
211,202
220,736
International Bonds (4.4%) FMT/Templeton International Bond Fund
140,801
148,218
International Core Equity (2.7%) FMT/Thornburg International Equity Fund
84,481
89,371
84,481 42,240 126,721
89,219 44,608 133,827
63,361 42,240 105,601
67,261 45,630 112,891
Large Cap Core Equity (4.1%) FMT Large Cap Opportunities (Smith Group) Fund
133,441
138,828
Large Cap Core/Blend Equity (3.4%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
106,881
112,192
106,881 53,441 160,322
111,218 55,838 167,056
133,761
140,403
International Growth Equity (4.0%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (3.4%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (5.0%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (4.2%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1198-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (2.0%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (2.3%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
63,681
Fair Value $
66,763
54,720 18,240 72,960
57,652 19,148 76,800
128,001
131,309
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
32,000
34,142
Short Duration Bond (7.0%) FMT/DFA 1 Year Fixed Income Fund
224,002
233,520
Small Cap Core Equity (1.3%) FMT Small Cap Diversified Equity (Delaware) Fund
40,320
42,961
Small Cap Growth Equity (2.5%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
80,641
84,782
Small Cap Value Equity (1.7%) FMT Small Cap Intrinsic Value (MetWest) Fund
53,761
57,854
SMID Cap Growth - Equity (1.7%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
54,401
58,123
SMID Cap Value - Equity (2.7%) FMT SMID Value (Fisher Investments) Fund
85,441
90,317
Sector Specific - Derivatives and Fixed Income (3.9%) FMT/DFA Commodity Strategy Portfolio Fund
$
Total Investments
3,200,031
$
The accompanying notes are an integral part of these financial statements. -1199-
3,350,503
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Short duration bond Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
807,761 111,644 291,005 220,736 148,218 89,371 133,827 112,891 138,828 112,192 167,056 140,403 66,763 76,800
$
131,309 34,142 233,520 42,961 84,782 57,854 58,123 90,317 $
3,350,503
Level 2 -
$
$
-
807,761 111,644 291,005 220,736 148,218 89,371 133,827 112,891 138,828 112,192 167,056 140,403 66,763 76,800
Level 3 $
131,309 34,142 233,520 42,961 84,782 57,854 58,123 90,317 $
3,350,503
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $4,220,050 and $4,439,993, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1200-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class I LifeStyle Class J LifeStyle Class M LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 680 298,010 51,889 3,982 265 2,754 3,504 10,291 50,206 11,425 3,026,984 5,960 75,557 56,418 516,663 40,642 45,689 7,149 11,982 4,220,050
Redemptions (3,081) (1,843,365) (617,067) (60,824) (42,665) (1,663) (5,755) (6,996) (172,418) (337,715) (271,517) (40,096) (5,823) (7,233) (6,503) (405,510) (23,166) (296,351) (167,452) (124,793) $ (4,439,993)
$
Units
$
$
Net change (2,401) (1,545,355) (565,178) (56,842) (42,665) (1,398) (3,001) (3,492) (162,127) (287,509) (260,092) 2,986,888 137 68,324 49,915 111,153 17,476 (250,662) (160,303) (112,811) (219,943)
Purchases 21 26,859 4,642 354 18 264 270 750 4,403 953 1,279,469 545 7,139 5,670 47,066 4,131 3,940 688 1,111 1,388,293
Redemptions (91) (162,983) (53,446) (5,350) (3,555) (110) (533) (537) (12,172) (27,991) (22,373) (16,644) (522) (667) (669) (36,356) (2,270) (24,774) (16,053) (11,026) (398,122)
The accompanying notes are an integral part of these financial statements. -1201-
Net change (70) (136,124) (48,804) (4,996) (3,555) (92) (269) (267) (11,422) (23,588) (21,420) 1,262,825 23 6,472 5,001 10,710 1,861 (20,834) (15,365) (9,915) 990,171
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2010 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class B LifeStyle (c) Class C LifeStyle (d) Class D LifeStyle (e) Class E LifeStyle (f) Class F LifeStyle (d) Class G LifeStyle (e) Class I LifeStyle (g) Class J LifeStyle (g) Class M LifeStyle (h) Class O LifeStyle (f) Class Q LifeStyle (d) Class R1 LifeStyle (i) Class R1 LifeStyle (j) Class R2 LifeStyle Class R3 LifeStyle Class R4 Lifestyle (k) Class R5 LifeStyle Class R6 Lifestyle (l) Class S LifeStyle (g) Class T LifeStyle (e) Class U LifeStyle (h)
NAV per Unit, Beginning of Period $ 12.9261 10.4036 10.5283 10.6986 11.2479 13.6981 9.8655 12.0424 12.9562 11.2179 11.3522
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.9404 1.0666 1.0525 1.0129 1.1651 1.4566 0.9242 1.1096 1.2089 1.1100 1.1787
Ratios (to average unit value)
Total from Investment Activities $ 0.9404 1.0666 1.0525 1.0129 1.1651 1.4566 0.9242 1.1096 1.2089 1.1100 1.1787
11.2436
-
0.1027
0.1027
2.3400 10.1499 9.9374
-
0.0366 1.1158 1.0576
0.0366 1.1158 1.0576
10.0000 10.1469 10.0000 10.9378 9.5247 10.5619
-
0.3932 1.0406 0.3651 1.0823 0.9466 0.8925
0.3932 1.0406 0.3651 1.0823 0.9466 0.8925
NAV per Unit, End of Period $ -
Total Return 7.28 10.25 10.00 9.47 10.36 10.63 9.37 9.21 9.33 9.89 10.38
% % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % %
0.91 %
-
%
-
%
2.3766 11.2657 10.9950
1.56 % 10.99 % 10.64 %
-
% % %
-
% % %
10.3932 11.1875 10.3651 -
3.93 10.26 3.65 9.90 9.94 8.45
-
% % % % % %
-
% % % % % %
% % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through March 26, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through December 14, 2012
(g)
For the period from January 1, 2012 through December 11, 2012
(h)
For the period from January 1, 2012 through November 28, 2012
(i)
For the period from January 1, 2012 through January 6, 2012
(j)
For the period from November 28, 2012 (recommencement of this class) through December 31, 2012
(k)
For the period from February 21, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from February 23, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1202-
FMT LifeStyle Target Date 2020 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 11,192,050
Liabilities
$ 11,192,050
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R8 LifeStyle
Units of Participation 725,563 1,532 60,492 41,218 103,173 6,435 15,341
$ $ $ $ $ $ $
NAV per Unit 11.9783 11.3927 11.0863 10.6561 11.0382 10.3682 10.9587
Net Assets $ 8,691,045 17,448 670,640 439,226 1,138,847 66,724 168,120 $ 11,192,050
The accompanying notes are an integral part of these financial statements. -1203-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 13,897,874 12,180,125
Net realized gain from investments sold
1,717,749 (529,089)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1204-
1,188,660
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
1,717,749 (529,089)
Change in net unrealized appreciation (depreciation) on investments
1,188,660
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
12,945,143 13,897,874 (952,731)
Decrease in net assets from participant transactions Total increase in net assets
235,929 10,956,121
Net assets at beginning of year
$ 11,192,050
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1205-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (20.8%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
1,473,334 841,905 2,315,239
Fair Value
$
1,479,798 845,174 2,324,972
Foreign Large Blend Equity (4.3%) FMT Diversified International (Thomas White) Fund
474,126
485,402
Government Bonds - TIPS (7.5%) FMT/FFTW U.S. TIPS Fund
841,905
839,606
High Yield Bonds (5.7%) FMT High Yield Bond (Federated) Fund
631,429
637,054
International Bonds (3.8%) FMT/Templeton International Bond Fund
420,953
427,373
International Core Equity (3.5%) FMT/Thornburg International Equity Fund
378,857
387,923
378,858 189,429 568,287
386,817 193,640 580,457
283,589 189,429 473,018
289,571 198,357 487,928
Large Cap Core Equity (5.4%) FMT Large Cap Opportunities (Smith Group) Fund
600,411
602,811
Large Cap Core/Blend Equity (4.3%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
480,772
485,644
480,772 240,386 721,158
481,011 240,939 721,950
601,519
607,750
International Growth Equity (5.2%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (4.4%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (6.5%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (5.4%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1206-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (2.6%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (3.0%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
286,913
Fair Value $
289,973
245,925 81,975 327,900
250,337 83,587 333,924
Sector Specific - Derivatives and Fixed Income (3.9%) FMT/DFA Commodity Strategy Portfolio Fund
443,108
433,909
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
110,777
114,065
Small Cap Core Equity (1.6%) FMT Small Cap Diversified Equity (Delaware) Fund
179,459
184,128
Small Cap Growth Equity (3.2%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
358,918
360,120
Small Cap Value Equity (2.2%) FMT Small Cap Intrinsic Value (MetWest) Fund
239,278
249,262
SMID Cap Growth - Equity (2.2%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
242,602
249,935
SMID Cap Value - Equity (3.5%) FMT SMID Value (Fisher Investments) Fund
381,073
387,864
$
Total Investments
11,077,702
$
The accompanying notes are an integral part of these financial statements. -1207-
11,192,050
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
2,324,972 485,402 839,606 637,054 427,373 387,923 580,457 487,928 602,811 485,644 721,950 607,750 289,973 333,924
$
433,909 114,065 184,128 360,120 249,262 249,935 387,864 $
11,192,050
Level 2 -
$
$
-
2,324,972 485,402 839,606 637,054 427,373 387,923 580,457 487,928 602,811 485,644 721,950 607,750 289,973 333,924
Level 3 $
433,909 114,065 184,128 360,120 249,262 249,935 387,864 $
11,192,050
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $12,945,143 and $13,897,874, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1208-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class I LifeStyle Class J LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 4,500 77,622 349,059 131,774 341,296 26,474 26,537 9,412 95,338 2,456 9,633 15,560 8,788,579 456,436 780,425 426,664 783,708 171,268 24,727 301,353 81,661 16,904 23,757 12,945,143
Redemptions (344,821) (644,547) (3,588,572) (1,539,877) (1,254,532) (219,157) (191,732) (117,212) (33,315) (2,403,097) (13,362) (639,474) (211,732) (505,535) (510,189) (155,990) (8,069) (77,126) (110,077) (24,317) (143,702) (556,762) (476,171) (128,506) $ (13,897,874)
$
Units
$
$
Net change (340,321) (566,925) (3,239,513) (1,408,103) (913,236) (192,683) (165,195) (117,212) (23,903) (2,307,759) (10,906) (629,841) (196,172) 8,283,044 (53,753) 624,435 418,595 706,582 61,191 410 157,651 (475,101) (459,267) (104,749) (952,731)
Purchases 449 7,404 31,626 12,023 30,231 1,022 2,618 699 6,607 227 824 1,344 741,175 43,786 73,230 42,007 74,245 17,450 2,473 28,922 6,971 1,672 2,189 1,129,194
Redemptions (34,407) (58,863) (317,746) (135,579) (109,067) (8,146) (18,347) (12,439) (2,441) (161,485) (1,209) (53,972) (18,386) (42,580) (46,005) (15,005) (789) (7,181) (11,015) (2,473) (13,581) (46,956) (47,334) (11,603) (1,176,609)
The accompanying notes are an integral part of these financial statements. -1209-
Net change (33,958) (51,459) (286,120) (123,556) (78,836) (7,124) (15,729) (12,439) (1,742) (154,878) (982) (53,148) (17,042) 698,595 (2,219) 58,225 41,218 67,064 6,435 15,341 (39,985) (45,662) (9,414) (47,415)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2020 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (f) Class I LifeStyle (c) Class J LifeStyle (d) Class M LifeStyle (h) Class N LifeStyle (h) Class O LifeStyle (g) Class Q LifeStyle (e) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle (i) Class R5 LifeStyle Class R6 LifeStyle (j) Class R7 LifeStyle (k) Class R8 LifeStyle (l) Class S LifeStyle (d) Class T LifeStyle (f) Class U LifeStyle (h)
NAV per Unit, Beginning of Period $ 9.9152 10.0077 10.4299 10.3134 10.4984 24.3796 9.5416 9.3214 12.4555 13.5491 10.1477 11.0228 11.0837 10.6723 10.1791 9.9162 10.0000 9.9156 10.0000 10.0000 10.0000 10.9887 9.3886 10.5306
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1067 1.1000 1.1659 1.1261 1.0829 2.5963 0.9885 0.1013 1.1948 1.3511 1.0002 1.1844 1.2554 1.3060 1.2136 1.1701 0.6561 1.1226 0.3682
Ratios (to average unit value)
Total from Investment Activities $ 0.1067 1.1000 1.1659 1.1261 1.0829 2.5963 0.9885 0.1013 1.1948 1.3511 1.0002 1.1844 1.2554 1.3060 1.2136 1.1701 0.6561 1.1226 0.3682
(0.1658) 0.9587 1.1782 1.0192 0.9569
(0.1658) 0.9587 1.1782 1.0192 0.9569
NAV per Unit, End of Period $ 11.9783 11.3927 11.0863 10.6561 11.0382 10.3682
Total Return 1.08 10.99 11.18 10.92 10.31 10.65 10.36 1.09 9.59 9.97 9.86 10.75 11.33 12.24 11.92 11.80 6.56 11.32 3.68
10.9587 -
% % % % % % % % % % % % % % % % % % %
Net Expenses(b) % % % % % % % % % % % % % % % % % % %
(1.66)% 9.59 % 10.72 % 10.86 % 9.09 %
-
% % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % -
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through January 5, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 14, 2012
(h)
For the period from January 1, 2012 through November 28, 2012
(i)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(j)
For the period from February 23, 2012 (commencement of this class) through December 31, 2012
(k)
For the period from May 2, 2012 (commencement of this class) through May 7, 2012
(l)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1210-
% % % % %
FMT LifeStyle Target Date 2030 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$ 17,089,163
Liabilities
$ 17,089,163
Net assets Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 969,781 1,751 150,783 122,467 104,241 96,549 970 20,736
$ $ $ $ $ $ $ $
NAV per Unit 11.8523 11.4911 11.1164 11.0793 11.4319 11.5121 11.1068 10.9944
Net Assets $ 11,494,116 20,122 1,676,160 1,356,849 1,191,679 1,111,485 10,773 227,979 $ 17,089,163
The accompanying notes are an integral part of these financial statements. -1211-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$ 20,524,414 17,009,762
Net realized gain from investments sold
3,514,652 (1,652,188)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1212-
1,862,464
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
3,514,652 (1,652,188)
Change in net unrealized appreciation (depreciation) on investments
1,862,464
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
20,842,100 20,524,414 317,686
Increase in net assets from participant transactions Total increase in net assets
2,180,150 14,909,013
Net assets at beginning of year
$ 17,089,163
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1213-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (14.2%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
1,536,209 877,834 2,414,043
Fair Value
$
1,547,377 881,635 2,429,012
Foreign Large Blend Equity (5.3%) FMT Diversified International (Thomas White) Fund
874,458
899,496
Government Bonds - TIPS (5.1%) FMT/FFTW U.S. TIPS Fund
877,834
877,167
High Yield Bonds (3.9%) FMT High Yield Bond (Federated) Fund
658,375
665,696
International Bonds (2.6%) FMT/Templeton International Bond Fund
438,917
446,145
International Core Equity (4.2%) FMT/Thornburg International Equity Fund
698,891
718,492
698,891 349,445 1,048,336
714,531 357,502 1,072,033
523,324 349,445 872,769
533,755 368,127 901,882
1,105,733
1,110,714
884,587
892,727
884,587 442,293 1,326,880
883,576 442,384 1,325,960
1,105,733
1,117,165
International Growth Equity (6.3%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (5.3%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund Large Cap Core Equity (6.5%) FMT Large Cap Opportunities (Smith Group) Fund Large Cap Core/Blend Equity (5.2%) FMT Large Cap Concentrated Equity (Cornerstone) Fund Large Cap Growth Equity (7.8%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (6.5%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1214-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (3.1%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (3.6%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
531,765
Fair Value $
536,621
455,798 151,933 607,731
464,700 154,812 619,512
Sector Specific - Derivatives and Fixed Income (3.9%) FMT/DFA Commodity Strategy Portfolio Fund
675,257
657,319
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
168,814
174,087
Small Cap Core Equity (2.0%) FMT Small Cap Diversified Equity (Delaware) Fund
330,876
338,777
Small Cap Growth Equity (3.9%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
663,440
662,707
Small Cap Value Equity (2.7%) FMT Small Cap Intrinsic Value (MetWest) Fund
442,293
461,557
SMID Cap Growth - Equity (2.7%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
449,046
463,361
SMID Cap Value - Equity (4.2%) FMT SMID Value (Fisher Investments) Fund
705,644
718,733
$
Total Investments
16,881,422
$
The accompanying notes are an integral part of these financial statements. -1215-
17,089,163
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
2,429,012 899,496 877,167 665,696 446,145 718,492 1,072,033 901,882 1,110,714 892,727 1,325,960 1,117,165 536,621 619,512
$
657,319 174,087 338,777 662,707 461,557 463,361 718,733 $
17,089,163
Level 2 -
$
$
-
2,429,012 899,496 877,167 665,696 446,145 718,492 1,072,033 901,882 1,110,714 892,727 1,325,960 1,117,165 536,621 619,512
Level 3 $
657,319 174,087 338,777 662,707 461,557 463,361 718,733 $
17,089,163
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $20,842,100 and $20,524,414, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1216-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars Purchases Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
181,509 210,335 400,334 407,699 18,876 2,961 86 6,555 15,053 386,073 31,615 14,340 12,309,934 297,938 1,630,376 1,667,958 1,184,811 1,680,829 10,411 252,766 50,637 42,213 38,791 20,842,100
Redemptions (228,788) (908,436) (2,938,123) (3,669,532) (1,315,259) (298,863) (26,222) (84) (99,964) (81,040) (5,037,275) (14,650) (443,150) (259,485) (1,867,443) (338,158) (25,930) (381,368) (153,642) (623,510) (16) (34,185) (640,844) (866,815) (271,632) $ (20,524,414)
$
Units
$
$
Net change (228,788) (726,927) (2,727,788) (3,269,198) (907,560) (279,987) (23,261) 2 (93,409) (65,987) (4,651,202) (14,650) (411,535) (245,145) 10,442,491 (40,220) 1,604,446 1,286,590 1,031,169 1,057,319 10,395 218,581 (590,207) (824,602) (232,841) 317,686
Purchases 18,601 19,878 37,146 37,840 1,784 258 9 683 1,080 25,753 2,586 1,203 1,053,482 28,513 149,582 157,407 109,038 150,772 971 24,009 4,342 3,637 3,519 1,832,093
Redemptions (22,890) (89,529) (266,853) (333,671) (120,519) (27,315) (2,160) (9) (10,822) (5,826) (331,493) (1,359) (35,486) (22,924) (158,634) (30,198) (2,373) (35,051) (13,430) (55,159) (1) (3,273) (54,603) (73,616) (23,637) (1,720,831)
The accompanying notes are an integral part of these financial statements. -1217-
Net change (22,890) (70,928) (246,975) (296,525) (82,679) (25,531) (1,902) (10,139) (4,746) (305,740) (1,359) (32,900) (21,721) 894,848 (1,685) 147,209 122,356 95,608 95,613 970 20,736 (50,261) (69,979) (20,118) 111,262
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2030 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (h) Class H Lifestyle (i) Class I LifeStyle (d) Class J LifeStyle (d) Class M LifeStyle (j) Class N LifeStyle (k) Class O LifeStyle (g) Class Q LifeStyle (e) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 Lifestyle (l) Class R8 Lifestyle (m) Class S LifeStyle (d) Class T LifeStyle (f) Class U LifeStyle (j)
NAV per Unit, Beginning of Period $ 9.8689 9.1858 10.0098 10.0746 10.0112 9.9073 11.0836 10.0000 9.0161 12.8373 13.7827 10.5172 11.4010 11.1524 10.5037 10.2103 9.8899 9.8753 10.2084 10.3011 10.0000 10.0000 11.0402 10.7135 10.5103
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1262 1.0460 1.1676 1.1493 1.0743 1.1028 0.7451 (0.5574) 0.9359 1.2793 1.4110 0.2131 1.2744 1.3090 1.3486 1.2808 1.2265 1.2040 1.2235 1.2110 1.1068
-
0.9944 1.2253 1.2147 0.9820
Ratios (to average unit value)
Total from Investment Activities $ 0.1262 1.0460 1.1676 1.1493 1.0743 1.1028 0.7451 (0.5574) 0.9359 1.2793 1.4110 0.2131 1.2744 1.3090 1.3486 1.2808 1.2265 1.2040 1.2235 1.2110 1.1068 0.9944 1.2253 1.2147 0.9820
NAV per Unit, End of Period $ 11.8523 11.4911 11.1164 11.0793 11.4319 11.5121 11.1068 10.9944 -
Total Return 1.28 % 11.39 % 11.66 % 11.41 % 10.73 % 11.13 % 6.72 % (5.57)% 10.38 % 9.97 % 10.24 % 2.03 % 11.18 % 11.74 % 12.84 % 12.54 % 12.40 % 12.19 % 11.99 % 11.76 % 11.07 % 9.94 11.10 11.34 9.34
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % %
% % % %
-
% % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % -
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through January 5, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 14, 2012
(h)
For the period from January 1, 2012 through May 8, 2012
(i)
For the period from April 25, 2012 (commencement of this class) through June 12, 2012
(j)
For the period from January 1, 2012 through November 28, 2012
(k)
For the period from January 1, 2012 through May 18, 2012
(l)
For the period from January 9, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1218-
% % % %
FMT LifeStyle Target Date 2040 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
Liabilities
7,335,592 -
$
Net assets
7,335,592
Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 411,124 2,669 58,159 22,563 70,792 38,191 13,054 26,497
$ $ $ $ $ $ $ $
NAV per Unit 11.5049 11.5237 11.1305 10.8500 11.4659 11.2529 11.4601 11.0092
$
$
The accompanying notes are an integral part of these financial statements. -1219-
Net Assets 4,729,921 30,755 647,333 244,814 811,693 429,757 149,606 291,713 7,335,592
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$
Net realized gain from investments sold
6,943,393 6,044,930 898,463 (106,528)
Change in net unrealized appreciation (depreciation) on investments Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1220-
791,935
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
898,463 (106,528)
Change in net unrealized appreciation (depreciation) on investments
791,935
Net increase in net assets resulting from operations Participant transactions Proceeds from units purchased Less payments for units redeemed
7,541,536 6,943,393 598,143
Increase in net assets from participant transactions Total increase in net assets
1,390,078
Net assets at beginning of year
5,945,514 $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1221-
7,335,592
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (11.0%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund
$
502,549 287,171 789,720
Fair Value
$
511,713 291,817 803,530
Foreign Large Blend Equity (5.7%) FMT Diversified International (Thomas White) Fund
404,193
420,908
Government Bonds - TIPS (4.0%) FMT/FFTW U.S. TIPS Fund
287,171
290,347
High Yield Bonds (3.0%) FMT High Yield Bond (Federated) Fund
215,378
220,178
International Bonds (2.0%) FMT/Templeton International Bond Fund
143,585
147,977
International Core Equity (4.6%) FMT/Thornburg International Equity Fund
323,067
336,522
323,067 161,534 484,601
334,259 167,176 501,435
241,941 161,534 403,475
248,583 172,301 420,884
Large Cap Core Equity (7.1%) FMT Large Cap Opportunities (Smith Group) Fund
511,164
517,513
Large Cap Core/Blend Equity (5.7%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
409,218
415,311
409,218 204,609 613,827
410,761 205,886 616,647
511,882
520,402
International Growth Equity (6.8%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (5.7%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (8.4%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (7.1%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1222-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (3.4%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (4.0%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
246,249
Fair Value $
250,288
211,071 70,357 281,428
216,933 72,358 289,291
287,171
281,374
71,793
74,724
Small Cap Core Equity (2.1%) FMT Small Cap Diversified Equity (Delaware) Fund
152,919
157,711
Small Cap Growth Equity (4.2%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
305,837
305,545
Small Cap Value Equity (3.0%) FMT Small Cap Intrinsic Value (MetWest) Fund
203,891
215,983
SMID Cap Growth - Equity (2.9%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
207,481
215,637
SMID Cap Value - Equity (4.5%) FMT SMID Value (Fisher Investments) Fund
325,221
333,385
Sector Specific - Derivatives and Fixed Income (3.8%) FMT/DFA Commodity Strategy Portfolio Fund Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
$
Total Investments
7,179,271
$
The accompanying notes are an integral part of these financial statements. -1223-
7,335,592
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
803,530 420,908 290,347 220,178 147,977 336,522 501,435 420,884 517,513 415,311 616,647 520,402 250,288 289,291
$
281,374 74,724 157,711 305,545 215,983 215,637 333,385 $
7,335,592
Level 2 -
$
$
-
803,530 420,908 290,347 220,178 147,977 336,522 501,435 420,884 517,513 415,311 616,647 520,402 250,288 289,291
Level 3 $
281,374 74,724 157,711 305,545 215,983 215,637 333,385 $
7,335,592
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $7,541,536 and $6,943,393, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1224-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class J LifeStyle Class M LifeStyle Class N LifeStyle Class O Lifestyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 8,584 96,545 140,174 171,294 43,136 13,096 6,354 2,925 1,184 16,449 115,014 70 5,806 11,092 4,242,902 63,984 647,507 258,260 789,398 411,759 105,490 275,123 54,259 45,136 15,995 7,541,536
Redemptions (8,573) (447,907) (1,242,498) (1,452,108) (186,308) (132,163) (74,681) (4,147) (140,655) (56,488) (1,212,965) (19,942) (197,796) (69,655) (716,197) (77,940) (7,495) (25,623) (80,604) (10,562) (3,835) (4,260) (281,030) (384,663) (105,298) $ (6,943,393)
$
Units Net change $
$
11 (351,362) (1,102,324) (1,280,814) (143,172) (119,067) (68,327) (1,222) (139,471) (40,039) (1,097,951) (19,872) (191,990) (58,563) 3,526,705 (13,956) 640,012 232,637 708,794 401,197 101,655 270,863 (226,771) (339,527) (89,303) 598,143
Purchases 858 10,206 13,312 16,532 4,142 377 658 305 118 1,158 7,685 6 507 969 374,780 5,993 58,805 25,014 72,290 38,201 9,695 26,909 4,612 3,923 1,442 678,497
Redemptions (858) (46,331) (114,914) (137,061) (17,260) (3,767) (7,488) (450) (16,118) (3,957) (78,764) (1,868) (17,224) (5,810) (62,861) (6,876) (694) (2,451) (7,301) (965) (339) (412) (23,675) (32,892) (9,198) (599,534)
The accompanying notes are an integral part of these financial statements. -1225-
Net change (36,125) (101,602) (120,529) (13,118) (3,390) (6,830) (145) (16,000) (2,799) (71,079) (1,862) (16,717) (4,841) 311,919 (883) 58,111 22,563 64,989 37,236 9,356 26,497 (19,063) (28,969) (7,756) 78,963
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2040 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A Lifestyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (f) Class H LifeStyle (h) Class I LifeStyle (i) Class J LifeStyle (d) Class M LifeStyle (j) Class N LifeStyle (k) Class O LifeStyle (g) Class Q LifeStyle (e) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 Lifestyle (l) Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 Lifestyle (m) Class S LifeStyle (d) Class T LifeStyle (f) Class U LifeStyle (i)
NAV per Unit, Beginning of Period $ 10.0000 8.7382 9.7607 9.7040 9.8188 31.8020 9.0523 9.0830 8.5835 12.9677 13.9649 10.4754 10.6574 10.7069 10.1754 10.2223 9.8868 10.0000 10.2204 10.0508 10.2545 10.0000 11.0256 10.6533 10.4629
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ (0.0129) 1.0048 1.1545 1.1227 1.0644 3.5914 0.9983 0.1183 1.8373 1.3081 1.4369 0.1976 1.2009 1.2782 1.3295 1.3014 1.2437 0.8500 1.2455 1.2021 1.2056 1.0092 1.2368 1.2258 0.9833
Total from Investment Activities $ (0.0129) 1.0048 1.1545 1.1227 1.0644 3.5914 0.9983 0.1183 1.8373 1.3081 1.4369 0.1976 1.2009 1.2782 1.3295 1.3014 1.2437 0.8500 1.2455 1.2021 1.2056 1.0092 1.2368 1.2258 0.9833
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.5049 11.5237 11.1305 10.8500 11.4659 11.2529 11.4601 11.0092 -
Total Return (0.13)% 11.50 % 11.83 % 11.57 % 10.84 % 11.29 % 11.03 % 1.30 % 21.41 % 10.09 % 10.29 % 1.89 % 11.27 % 11.94 % 13.07 % 12.73 % 12.58 % 8.50 % 12.19 % 11.96 % 11.76 % 10.09 % 11.22 % 11.51 % 9.40 %
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % % % % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % % % % % %
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 4, 2012 (commencement of this class) through January 5, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 14, 2012
(h)
For the period from January 1, 2012 through June 12, 2012
(i)
For the period from January 1, 2012 through December 11, 2012. Per share amounts presented are based on a share outstanding throughout each period presented. On January 5, 2012, 99.1% of the Class I units were liquidated which resulted in a higher price allocation to the remaining units until Class I was closed on December 11, 2012. As a result, the return as calculated above in accordance with generally accepted accounting principles was experienced by only a very small number of units and is not indicative of the class return as a whole.
(j)
For the period from January 1, 2012 through November 28, 2012
(k)
For the period from January 1, 2012 through May 18, 2012
(l)
For the period from January 19, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1226-
FMT LifeStyle Target Date 2050 Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Statement of Assets and Liabilities December 31, 2012
Assets Investments in securities, at fair value
$
Liabilities
2,187,119 -
$
Net assets
2,187,119
Components of net assets
Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle
Units of Participation 77,523 1,877 8,912 6,536 18,300 17,562 1,460 8,832
$ $ $ $ $ $ $ $
NAV per Unit 19.0334 11.6246 11.1619 10.6720 11.1381 11.6328 10.1902 11.0445
$
$
The accompanying notes are an integral part of these financial statements. -1227-
Net Assets 1,475,527 21,824 99,476 69,748 203,827 204,295 14,874 97,548 2,187,119
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Statement of Operations For the Year Ended December 31, 2012
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
$
2,331,166 2,229,532
Net realized gain from investments sold
101,634
Change in net unrealized appreciation (depreciation) on investments
121,240
Net increase in net assets resulting from operations
$
The accompanying notes are an integral part of these financial statements. -1228-
222,874
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net realized gain from investments sold
$
101,634
Change in net unrealized appreciation (depreciation) on investments
121,240
Net increase in net assets resulting from operations
222,874
Participant transactions Proceeds from units purchased Less payments for units redeemed
2,673,956 2,331,166 342,790
Increase in net assets from participant transactions Total increase in net assets
565,664 1,621,455
Net assets at beginning of year $
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1229-
2,187,119
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Cost Collective trust funds (100%) Core Bonds (6.0%) FMT/PIMCO Total Return Fund FMT U.S. Core Bond (Payden and Rygel) Fund Foreign Large Blend Equity (6.4%) FMT Diversified International (Thomas White) Fund
$
81,542 46,595 128,137
Fair Value
$
83,849 47,886 131,735
133,433
139,832
Government Bonds - TIPS (2.2%) FMT/FFTW U.S. TIPS Fund
46,595
47,730
High Yield Bonds (1.6%) FMT High Yield Bond (Federated) Fund
34,947
36,197
International Bonds (1.1%) FMT/Templeton International Bond Fund
23,298
24,157
International Core Equity (5.1%) FMT/Thornburg International Equity Fund
106,746
111,687
106,746 53,373 160,119
111,013 55,564 166,577
80,060 53,373 133,433
82,505 57,085 139,590
Large Cap Core Equity (7.9%) FMT Large Cap Opportunities (Smith Group) Fund
168,803
172,405
Large Cap Core/Blend Equity (6.4%) FMT Large Cap Concentrated Equity (Cornerstone) Fund
135,127
138,894
135,127 67,563 202,690
136,943 68,645 205,588
169,015
173,927
International Growth Equity (7.6%) FMT/Invesco International Growth Equity Trust Fund FMT Aggressive International Growth (McKinley) Fund International Value Equity (6.4%) FMT International Value Opportunities (Tradewinds) Fund FMT/Dodge and Cox International Fund
Large Cap Growth Equity (9.4%) FMT Large Cap Fundamental Growth (BlackRock) Fund FMT Large Cap Focus Growth (Delaware) Fund Large Cap Value Equity (8.0%) FMT Large Cap Intrinsic Value (MetWest) Fund
The accompanying notes are an integral part of these financial statements. -1230-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Collective trust funds (continued)
Cost
Mid Cap Growth Equity (3.8%) FMT Mid Cap Growth (Disciplined Growth Investors) Fund
$
Mid Cap Value Equity (4.4%) FMT/American Century Mid Cap Value Fund FMT Mid Cap Value (RS Investments) Fund
80,695
Fair Value $
82,788
69,258 23,086 92,344
71,942 23,573 95,515
Sector Specific - Derivatives and Fixed Income (3.9%) FMT/DFA Commodity Strategy Portfolio Fund
84,719
84,624
Sector Specific - Real Estate (1.0%) FMT/Neuberger Berman REIT Fund
21,180
22,368
Small Cap Core Equity (2.4%) FMT Small Cap Diversified Equity (Delaware) Fund
50,831
52,985
101,663
103,383
Small Cap Value Equity (3.3%) FMT Small Cap Intrinsic Value (MetWest) Fund
67,775
72,352
SMID Cap Growth - Equity (3.3%) FMT SMID Diversified Growth (Frontier/Geneva) Fund
68,622
72,417
107,805
112,368
Small Cap Growth Equity (4.7%) FMT Small Cap Aggressive Growth (CCI/Cupps) Fund
SMID Cap Value - Equity (5.1%) FMT SMID Value (Fisher Investments) Fund $
Total Investments
2,117,977
$
The accompanying notes are an integral part of these financial statements. -1231-
2,187,119
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Schedule of Investments and Specific Fund Disclosures (Continued) December 31, 2012
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Core bonds Foreign large blend equity Government bonds - TIPS High yield bonds International bonds International core equity International growth equity International value equity Large cap core equity Large cap core/blend equity Large cap growth equity Large cap value equity Mid cap growth equity Mid cap value equity Sector specific - derivatives and fixed income Sector specific - real estate Small cap core equity Small cap growth equity Small cap value equity SMID cap growth - equity SMID cap value - equity
$
Level 1
131,735 139,832 47,730 36,197 24,157 111,687 166,577 139,590 172,405 138,894 205,588 173,927 82,788 95,515
$
84,624 22,368 52,985 103,383 72,352 72,417 112,368 $
2,187,119
Level 2 -
$
$
-
131,735 139,832 47,730 36,197 24,157 111,687 166,577 139,590 172,405 138,894 205,588 173,927 82,788 95,515
Level 3 $
84,624 22,368 52,985 103,383 72,352 72,417 112,368 $
2,187,119
-
$
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $2,673,956 and $2,331,166, respectively, for the year ended December 31, 2012.
The accompanying notes are an integral part of these financial statements. -1232-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A LifeStyle Class B LifeStyle Class C LifeStyle Class D LifeStyle Class E LifeStyle Class F LifeStyle Class G LifeStyle Class H LifeStyle Class I LifeStyle Class M LifeStyle Class N LifeStyle Class O LifeStyle Class Q LifeStyle Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 LifeStyle Class R5 LifeStyle Class R6 LifeStyle Class R7 LifeStyle Class R8 LifeStyle Class S LifeStyle Class T LifeStyle Class U LifeStyle
$
$
Purchases 544 101,067 148,832 74,720 26,635 5,576 10,125 3,852 41,157 225 9,348 1,166 1,470,133 29,635 93,659 92,413 202,347 217,040 14,596 91,861 29,877 8,433 715 2,673,956
Redemptions (12,325) (287,080) (345,802) (568,047) (167,260) (63,425) (67,382) (4,614) (41,939) (167,706) (245) (173,145) (17,687) (102,478) (13,230) (3,638) (26,559) (14,961) (28,627) (181) (125,182) (96,564) (3,089) $ (2,331,166)
$
Units
$
$
Net change (11,781) (186,013) (196,970) (493,327) (140,625) (57,849) (57,257) (762) (41,939) (126,549) (20) (163,797) (16,521) 1,367,655 16,405 90,021 65,854 187,386 188,413 14,596 91,680 (95,305) (88,131) (2,374) 342,790
Purchases 52 10,961 14,701 7,288 1,165 545 872 395 2,743 11 800 101 78,318 2,641 8,802 9,065 19,556 19,281 1,460 8,849 2,526 870 62 191,064
Redemptions (1,119) (30,361) (33,801) (54,689) (7,008) (6,212) (5,673) (475) (4,935) (10,915) (11) (14,658) (1,472) (5,581) (1,163) (334) (2,529) (1,348) (2,505) (17) (10,370) (9,803) (256) (205,235)
The accompanying notes are an integral part of these financial statements. -1233-
Net change (1,067) (19,400) (19,100) (47,401) (5,843) (5,667) (4,801) (80) (4,935) (8,172) (13,858) (1,371) 72,737 1,478 8,468 6,536 18,208 16,776 1,460 8,832 (7,844) (8,933) (194) (14,171)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT LifeStyle Target Date 2050 Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A LifeStyle (c) Class B LifeStyle (d) Class C LifeStyle (e) Class D LifeStyle (f) Class E LifeStyle (g) Class F LifeStyle (e) Class G LifeStyle (f) Class H LifeStyle (h) Class I LifeStyle (i) Class M LifeStyle (h) Class N Lifestyle (j) Class O LifeStyle (g) Class Q LifeStyle (e) Class R1 LifeStyle Class R2 LifeStyle Class R3 LifeStyle Class R4 Lifestyle (k) Class R5 LifeStyle Class R6 LifeStyle Class R7 Lifestyle (l) Class R8 Lifestyle (m) Class S LifeStyle (d) Class T LifeStyle (f) Class U LifeStyle (h)
NAV per Unit, Beginning of Period $ 9.9728 8.4762 9.2070 9.5380 21.6228 9.5767 10.7558 9.1720 8.3699 13.9476 21.0599 10.8254 10.6657 16.7532 10.2534 9.8604 10.0000 9.8656 10.3390 10.0000 10.0000 11.0915 8.8066 10.9273
Net Investment Income (Loss)(a)(b) $ -
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 1.0371 1.0118 1.1295 1.1482 2.4453 1.1273 1.2383 0.9213 0.1283 1.4754 1.7667 1.2672 1.3299 2.2802 1.3712 1.3015 0.6720 1.2725 1.2938 0.1902
Ratios (to average unit value)
Total from Investment Activities $ 1.0371 1.0118 1.1295 1.1482 2.4453 1.1273 1.2383 0.9213 0.1283 1.4754 1.7667 1.2672 1.3299 2.2802 1.3712 1.3015 0.6720 1.2725 1.2938 0.1902
NAV per Unit, End of Period $ 19.0334 11.6246 11.1619 10.6720 11.1381 11.6328 10.1902
Total Return 10.40 11.94 12.27 12.04 11.31 11.77 11.51 10.04 1.53 10.58 8.39 11.71 12.47 13.61 13.37 13.20 6.72 12.90 12.51 1.90
% % % % % % % % % % % % % % % % % % % %
1.0445 1.2859 1.0536 1.1409
11.0445 -
10.45 11.59 11.96 10.44
% % % %
1.0445 1.2859 1.0536 1.1409
Net Expenses(b) % % % % % % % % % % % % % % % % % % % % -
% % % %
Net Investment Income (Loss)(b) % % % % % % % % % % % % % % % % % % % % -
(a)
Per unit amounts are based on average daily units outstanding
(b)
The Lifestyle and Multi-Managed funds (Funds of Funds) invest in a number of underlying funds within The Collective Trust. These Funds of Funds do not charge an investment fee nor incur other expenses. The Funds of Funds do not report investment income as none of the underlying funds in which these Funds of Funds invest pay dividends. Consequently, the change in NAV is due soley to realized and unrealized gains and losses. Expenses and income items for the underlying funds are shown in the financial statements for those respective funds. The effective Annual Investment Expense is shown on the respective underlying fund's quarterly profile (fact) sheet and on the Schedule of Investment Elections.
(c)
For the period from January 1, 2012 through February 27, 2012
(d)
For the period from January 1, 2012 through December 11, 2012
(e)
For the period from January 1, 2012 through December 12, 2012
(f)
For the period from January 1, 2012 through December 13, 2012
(g)
For the period from January 1, 2012 through December 14, 2012
(h)
For the period from January 1, 2012 through November 28, 2012
(i)
For the period from January 1, 2012 through January 5, 2012
(j)
For the period from January 11, 2012 (commencement of this class) through November 28, 2012
(k)
For the period from January 30, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from May 2, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from January 5, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1234-
% % % %
FMT/FFTW Income Plus Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Statement of Assets and Liabilities December 31, 2012
Assets Investment in securities, at fair value (contract value $336,469,774)
$ 339,010,410
Liabilities Agency fees Sub-advisor fees Total liabilities
212,676 39,778 252,454
Net assets Net assets reflecting investments at fair value Adjustment from fair value to contract value
338,757,956 (2,540,636) $ 336,217,320
Net assets (at contract value) Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 11,960,519 4,859,474 4,279,082 3,840,083 3,167,915 1,916,332 680,142 656,445
NAV per Unit $ 11.8269 $ 10.0740 $ 10.0554 $ 10.0372 $ 10.0193 $ 10.0008 $ 9.9825 $ 9.9646
Net Assets $ 141,455,365 48,954,486 43,028,095 38,543,569 31,740,332 19,164,776 6,789,494 6,541,203 $ 336,217,320
The accompanying notes are an integral part of these financial statements. -1235-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Sub-advisor fees Audit fees
4,871,331
3,270,039 489,302 1,200 3,760,541
Net investment income
$
The accompanying notes are an integral part of these financial statements. -1236-
1,110,790
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment income
$
Participant transactions Proceeds from units purchased Less payments for units redeemed
1,110,790
427,945,046 487,407,692
Decrease in net assets from participant transactions
(59,462,646)
Total decrease in net assets
(58,351,856)
Net assets at beginning of year
394,569,176 $ 336,217,320
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1237-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Stable value fund (100.1%) BNP Paribas Investment Partners Pooled Trust Fund for Employee Benefit Plans Income Plus Fund - Class B
Units
Fair Value
Contract Value
336,469,774
$339,010,410
$336,469,774
Selected Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value heirarchy, the Fund's investments measured at fair value. Total Stable value fund
Level 1
$339,010,410
$
Level 2 - $339,010,410
Level 3 $
-
Investment in fully benefit-responsive fund The FMT/FFTW Income Plus Fund is invested in The Income Plus Fund (the "IP Fund"), a fund formed under the BNP Paribas Investment Partners Pooled Trust Fund for Employee Benefit Plans. The IP Fund is a fully benefit-responsive investment. The investment objective of the IP Fund is to preserve invested principal while providing a competitive current rate of return. The IP Fund will be invested and reinvested primarily in guaranteed investment contracts (GICs), money market funds, money market instruments, repurchase agreements, private placements, bank investment contracts, and synthetic GICs. The average yield earned by the IP Fund for the year ended December 31, 2012 was 1.65%. The actual interest rate credited to participants in the IP Fund for the year ended December 31, 2012 was 1.23%.
The accompanying notes are an integral part of these financial statements. -1238-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Investment in fully benefit-responsive fund (continued) The FMT/FFTW Income Plus Fund does not invest directly in fully benefit-responsive contracts, and therefore is not required to include in its financial statements the disclosure requirements for stable value investment funds.
The accompanying notes are an integral part of these financial statements. -1239-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class H Class I Class J Class L Class M Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 1,999,238 3,932,113 6,896,894 9,730,276 8,302,419 5,409,652 2,973,795 93,583 789,586 435,919 202,260 95,091 2,009,515 7,281,574 321,384 311,430 142,503,718 54,420,481 51,663,366 45,909,365 37,327,187 25,592,575 9,409,967 7,406,536 1,897,275 413,242 616,605 427,945,046
Redemptions (24,458,713) (49,660,206) (59,145,831) (82,477,428) (49,818,663) (30,190,418) (20,127,686) (958,411) (5,760,560) (2,811,235) (1,177,881) (616,635) (33,398,153) (24,561,082) (4,082,274) (4,521,762) (8,776,153) (12,760,065) (10,599,626) (13,514,315) (10,121,777) (8,597,735) (3,301,322) (1,086,330) (12,991,126) (5,861,058) (6,031,247) $ (487,407,692)
$
Units
$
$
Net change (22,459,475) (45,728,093) (52,248,937) (72,747,152) (41,516,244) (24,780,766) (17,153,891) (864,828) (4,970,974) (2,375,316) (975,621) (521,544) (31,388,638) (17,279,508) (3,760,890) (4,210,332) 133,727,565 41,660,416 41,063,740 32,395,050 27,205,410 16,994,840 6,108,645 6,320,206 (11,093,851) (5,447,816) (5,414,642) (59,462,646)
Purchases 153,244 306,113 545,060 780,971 677,420 448,238 250,725 9,372 70,575 40,682 18,712 8,839 186,068 688,607 31,256 30,456 12,062,069 5,425,423 5,152,332 4,583,094 3,728,741 2,558,592 941,372 741,515 186,222 40,740 61,090 39,727,528
Redemptions (1,874,672) (3,864,227) (4,674,132) (6,619,642) (4,064,966) (2,502,366) (1,697,686) (96,084) (515,824) (263,062) (108,940) (57,176) (3,092,618) (2,320,325) (395,655) (441,418) (743,516) (1,270,056) (1,055,920) (1,348,129) (1,010,696) (859,528) (330,422) (108,803) (1,274,708) (577,891) (597,596) (41,766,058)
The accompanying notes are an integral part of these financial statements. -1240-
Net change (1,721,428) (3,558,114) (4,129,072) (5,838,671) (3,387,546) (2,054,128) (1,446,961) (86,712) (445,249) (222,380) (90,228) (48,337) (2,906,550) (1,631,718) (364,399) (410,962) 11,318,553 4,155,367 4,096,412 3,234,965 2,718,045 1,699,064 610,950 632,712 (1,088,486) (537,151) (536,506) (2,038,530)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/FFTW Income Plus Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class H (f) Class I (b) Class J (b) Class L (f) Class M (f) Class N (f) Class O (e) Class P (f) Class Q (c) Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S (b) Class T (d) Class U (f)
NAV per Unit, Beginning of Period $ 13.0084 12.8240 12.6300 12.4473 12.2532 12.0739 11.8775 10.0059 11.2141 10.7516 10.7632 10.7233 10.7795 10.5611 10.2514 10.2137 11.7208 10.0056 10.0042 10.0030 10.0022 10.0007 9.9993 9.9984 10.1742 10.1369 10.0949
Net Investment Income (Loss)(a) $ 0.0850 0.0630 0.0422 0.0220 0.0023 (0.0179) (0.0364) (0.0445) (0.0704) (0.0846) 0.0853 0.0801 0.0606 0.0422 0.0717 0.0448 0.1061 0.0684 0.0512 0.0342 0.0171 0.0001 (0.0168) (0.0338) 0.0251 0.0111 (0.0074)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ -
Total from Investment Activities $ 0.0850 0.0630 0.0422 0.0220 0.0023 (0.0179) (0.0364) (0.0445) (0.0704) (0.0846) 0.0853 0.0801 0.0606 0.0422 0.0717 0.0448 0.1061 0.0684 0.0512 0.0342 0.0171 0.0001 (0.0168) (0.0338) 0.0251 0.0111 (0.0074)
Ratios (to average unit value)
NAV per Unit, End of Period $ 11.8269 10.0740 10.0554 10.0372 10.0193 10.0008 9.9825 9.9646 -
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 27, 2012
Total Return 0.65 % 0.49 % 0.33 % 0.18 % 0.02 % (0.15)% (0.31)% (0.44)% (0.63)% (0.79)% 0.79 % 0.75 % 0.56 % 0.40 % 0.70 % 0.44 % 0.91 % 0.68 % 0.51 % 0.34 % 0.17 % % (0.17)% (0.34)% 0.25 % 0.11 % (0.07)%
Net Expenses (0.67)% (0.83)% (1.00)% (1.16)% (1.33)% (1.48)% (1.65)% (1.73)% (1.95)% (2.12)% (0.49)% (0.53)% (0.72)% (0.95)% (0.58)% (0.89)% (0.50)% (0.71)% (0.88)% (1.05)% (1.22)% (1.39)% (1.56)% (1.73)% (1.08)% (1.23)% (1.36)%
The accompanying notes are an integral part of these financial statements. -1241-
Net Investment Income (Loss) 0.65 % 0.49 % 0.33 % 0.18 % 0.02 % (0.15)% (0.31)% (0.45)% (0.63)% (0.79)% 0.79 % 0.74 % 0.56 % 0.40 % 0.70 % 0.44 % 0.90 % 0.68 % 0.51 % 0.34 % 0.17 % % (0.17)% (0.34)% 0.25 % 0.11 % (0.07)%
FMT/Fifth Third Stable Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investment in securities, at fair value (contract value $12,667,104) Receivables Interest Total assets
$ 12,847,874 10,522 12,858,396
Liabilities 5,321 4,808 10,129
Fees payable Sub-advisor fees Total liabilities Net assets Net assets reflecting investments at fair value Adjustment from fair value to contract value
12,848,267 (180,770) $ 12,667,497
Net assets (at contract value) Components of net assets
Class R1 Class R3
Units of Participation 1,232,859 33,060
NAV per Unit $ 10.0065 $ 10.0102
Net Assets $ 12,336,561 330,936 $ 12,667,497
The accompanying notes are an integral part of these financial statements. -1242-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Statement of Operations For the Year Ended December 31, 2012
Investment income Interest
$
Expenses Agency fees Sub-advisor fees Audit fees
155,972
117,070 58,844 1,200 177,114
Net investment loss
$
The accompanying notes are an integral part of these financial statements. -1243-
(21,142)
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
Participant transactions Proceeds from units purchased Less payments for units redeemed
(21,142)
17,515,177 18,913,625 (1,398,448)
Decrease in net assets from participant transactions Total decrease in net assets
(1,419,590)
Net assets at beginning of year
14,087,087 $ 12,667,497
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1244-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Units Stable value fund (100.0%) Fifth Third Bank Stable Value Fund for Employee Benefit Plans
12,667,104
Fair Value
Contract Value
$ 12,847,874
$ 12,667,104
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value hierarchy, the Fund's investments measured at fair value. Total Stable value fund
Level 1
$ 12,847,874
$
Level 2 - $ 12,847,874
Level 3 $
-
Investment in fully benefit-responsive fund The FMT/Fifth Third Stable Value Fund (FMT Stable Value Fund) has an underlying investment in Fifth Third Bank Stable Value Fund for Employee Benefit Plans (the "Fifth Third Fund"). The Fifth Third Fund is a fully benefit-responsive investment. Fifth Third Bank is the Trustee for the Fifth Third Fund. The primary investment objective of the Fifth Third Fund is to provide principal preservation. Under normal circumstances, the Trustee will invest 5% to 35% of the Fifth Third Fund assets in cash or cash equivalents and the remainder in the other permitted investments. The Trustee may invest in any real or personal property appropriate for the investment objectives of the Fifth Third Fund, including but no limited to affiliated or unaffiliated mutual funds, United States Treasury and agency obligations, other U.S. Government obligations (issued or guaranteed by the U.S. Government or its agencies or instrumentalities), other debt securities, guaranteed investment contracts ("GICs") and GIC alternatives, collateralized GICs, stable value wrap contracts, collective investment trusts, and cash or cash equivalents. The Fifth Third Fund also The accompanying notes are an integral part of these financial statements. -1245-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Investment in fully benefit-responsive fund (continued) seeks to protect against market price volatility, obtain consistent income return, and provide liquidity for benefit payments and withdrawals. The Fifth Third Fund invests primarily in investment contracts issued by insurance companies, banks and other financial institutions, other instruments authorized by the Trust Ageement. Some alternative investment contracts are managed on an evergreen, or constant duration, basis. An evergreen contract has no predetermined maturity and the asset portfolio is managed to target duration. The average yield earned by the Fifth Third Fund for the year ended December 31, 2012 was 0.47%. The average yield earned by the entire Fifth Third Fund with an adjustment to reflect the actual interest rate credited to participants in the Fifth Third Fund for the year ended December 31, 2012 was 1.18%. The FMT/Fifth Third Stable Value Fund does not invest directly in fully benefit-responsive contracts, and therefore is not required to include in its financial statements the disclosure requirements for stable value investment funds.
The accompanying notes are an integral part of these financial statements. -1246-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class O Class R1 Class R2 Class R3
$
$
Purchases 21,603 1,006,321 718,809 1,488,946 401,886 21,915 165,390 26,042 12,618 12,483,641 837,116 330,890 17,515,177
Redemptions (387,884) (4,692,528) (3,205,994) (3,937,381) (3,186,179) (438,662) (1,371,838) (227,427) (480,919) (147,082) (837,450) (281) $ (18,913,625)
$
Units
$
$
Net change (366,281) (3,686,207) (2,487,185) (2,448,435) (2,784,293) (416,747) (1,206,448) (201,385) (468,301) 12,336,559 (334) 330,609 (1,398,448)
Purchases 1,786 84,568 61,254 128,862 35,302 1,953 15,022 2,461 1,218 1,247,552 83,712 33,088 1,696,778
Redemptions (32,013) (394,265) (273,191) (340,830) (280,172) (39,202) (124,808) (21,600) (46,411) (14,693) (83,712) (28) (1,650,925)
The accompanying notes are an integral part of these financial statements. -1247-
Net change (30,227) (309,697) (211,937) (211,968) (244,870) (37,249) (109,786) (19,139) (45,193) 1,232,859 33,060 45,853
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Fifth Third Stable Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (d) Class I (b) Class O (e) Class R1 (f) Class R2 (g) Class R3 (h)
NAV per Unit, Beginning of Period $ 12.0848 11.8918 11.7410 11.5724 11.4068 11.2434 11.0558 10.6356 10.3626 10.0000 10.0000 10.0000
Net Investment Income (Loss)(a) $ (0.0010) (0.0012) (0.0014) (0.0016) (0.0018) (0.0020) (0.0022) (0.0026) (0.0014) (0.0001) (0.0003) (0.0012)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.0332 0.0138 (0.0041) (0.0215) (0.0379) (0.0572) (0.0731) (0.1049) 0.0046 0.0066 0.0011 0.0114
Total from Investment Activities $ 0.0322 0.0126 (0.0055) (0.0231) (0.0397) (0.0592) (0.0753) (0.1075) 0.0032 0.0065 0.0008 0.0102
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.0065 10.0102
Total Return 0.27 % 0.11 % (0.05)% (0.20)% (0.35)% (0.53)% (0.68)% (1.01)% 0.03 % 0.07 % 0.01 % 0.10 %
Net Expenses (0.87)% (1.04)% (1.20)% (1.37)% (1.53)% (1.68)% (1.85)% (2.16)% (1.16)% (0.11)% (0.28)% (1.00)%
Net Investment Income (Loss) (0.01)% (0.01)% (0.01)% (0.01)% (0.02)% (0.02)% (0.02)% (0.02)% (0.01)% % (0.01)% (0.01)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from November 7, 2012 (commencement of this class) through December 31, 2012
(g)
For the period from August 17, 2012 (commencement of this class) through December 5, 2012
(h)
For the period from February 1, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1248-
FMT/Wells Fargo Stable Value Fund
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Statement of Assets and Liabilities December 31, 2012
Assets Investment in securities, at fair value (contract value $60,207,496)
$ 61,953,875
Liabilities 36,044
Fees payable Net assets Net assets reflecting investments at fair value Adjustment from fair value to contract value
61,917,831 (1,746,379) $ 60,171,452
Net assets (at contract value) Components of net assets
Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8
Units of Participation 2,339,082 331,137 1,008,479 778,750 1,086,241 241,141 78,117 46,130
NAV per Unit $ 10.3003 $ 10.1438 $ 10.1202 $ 10.1084 $ 10.0933 $ 10.0757 $ 10.0519 $ 10.0306
Net Assets $ 24,093,162 3,358,984 10,206,055 7,871,908 10,963,739 2,429,664 785,230 462,710 $ 60,171,452
The accompanying notes are an integral part of these financial statements. -1249-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Statement of Operations For the Year Ended December 31, 2012
Expenses Agency fees Custody fees Audit fees
$
Net investment loss
443,247 18,302 1,200 462,749 (462,749)
Net realized gain from investments sold Proceeds from sales of investments Cost of investments sold
14,880,372 14,619,521
Net realized gain from investments sold
260,851
Change in net unrealized appreciation (depreciation) on investments
849,741
Net realized and unrealized gain on investments Net increase in net assets resulting from operations
1,110,592 $
The accompanying notes are an integral part of these financial statements. -1250-
647,843
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Statement of Changes in Net Assets For the Year Ended December 31, 2012
Operations Net investment loss
$
(462,749)
Net realized gain from investments sold
260,851
Change in net unrealized appreciation (depreciation) on investments
849,741
Net increase in net assets resulting from operations
647,843
Participant transactions Proceeds from units purchased Less payments for units redeemed
95,507,413 77,620,875 17,886,538
Increase in net assets from participant transactions Total increase in net assets
18,534,381
Net assets at beginning of year
41,637,071 $ 60,171,452
Net assets at end of year
The accompanying notes are an integral part of these financial statements. -1251-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Schedule of Investments and Specific Fund Disclosures December 31, 2012
Investments Units Collective trust fund (100.1%) Wells Fargo Stable Value Fund H (Cost $58,857,134)
575,322
Fair Value
Contract Value
$ 61,953,875
$ 60,207,496
Specific Fund Disclosures Fair value The inputs or methodology used for valuing securities may not be indicative of the risks associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to note 4 to the financial statements. The following table sets forth by level, within the fair value heirarchy, the Fund's investments measured at fair value. Total
Level 1
Collective trust fund - Stable value $ 61,953,875
$
Level 2 - $ 61,953,875
Level 3 $
-
Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) totaled $32,314,625 and $14,880,372, respectively, for the year ended December 31, 2012. Investment in fully benefit-responsive fund The FMT/Wells Fargo Stable Value Fund has an underlying investment in the Stable Value Fund H (the "SVFH Fund"). The SVFH Fund is a collective trust fund that is sponsored by Wells Fargo Bank, N.A. The SVFH Fund is a fully benefit-responsive investment, and has invested all of its assets in Wells Fargo Stable Return Fund G, a collective trust fund sponsored by Wells Fargo Bank, N.A. The Wells Fargo Stable Return Fund G invests in investment contracts and security-backed contracts (also known as a synthetic GIC or a
The accompanying notes are an integral part of these financial statements. -1252-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Schedule of Investments and Selected Disclosures (Continued) December 31, 2012
Investment in fully benefit-responsive fund (continued) separate account GIC). An investment contract is a contract issued by a financial institution to provide a stated rate of return to the buyer of the contract for a specified period of time. A security-backed contract has similar characteristics as a traditional investment contract and is comprised of two parts: the first part is a fixed-income security or portfolio of fixed-income securities; the second part is a contract value guarantee (wrapper) provided by a third party. Wrappers provide contract value payments for certain participant-initiated withdrawals and transfers, a floor crediting rate, and return of fully accrued contract value at maturity. The yield earned by the SVFH Fund for the year ended December 31, 2012 was 0.94%. The yield earned by the entire SVFH Fund with an adjustment to reflect the actual interest rate credited to participants in the SVFH Fund for the year ended December 31, 2012 was 1.95%. The FMT/Wells Fargo Stable Value Fund does not invest directly in fully benefit-responsive contracts, and therefore is not required to include in its financial statements the disclosure requirements for stable value investment funds.
The accompanying notes are an integral part of these financial statements. -1253-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Schedule of Participant Transactions December 31, 2012
Participant transactions by class for the year ended December 31, 2012 were as follows: Dollars
Class A Class B Class C Class D Class E Class F Class G Class I Class L Class N Class O Class P Class Q Class R1 Class R2 Class R3 Class R4 Class R5 Class R6 Class R7 Class R8 Class S Class T Class U
$
$
Purchases 46,171 861,487 3,397,343 3,281,394 1,300,241 471,061 1,242,026 57,250 1,755,061 1,916,482 194,312 22,075 30,636 29,950,706 9,337,050 12,892,802 8,879,998 12,493,359 2,130,253 1,369,358 988,624 1,141,899 1,647,913 99,912 95,507,413
Redemptions (4,940,774) (10,850,096) (7,972,588) (5,818,907) (1,482,892) (1,674,892) (2,685,582) (251,001) (1,767,564) (1,922,285) (3,333,515) (7,547,524) (562,104) (6,379,319) (6,470,686) (2,791,567) (1,865,538) (2,835,141) (248,602) (586,018) (527,020) (1,726,785) (3,078,453) (302,022) $ (77,620,875)
$
Units
$
$
Net change (4,894,603) (9,988,609) (4,575,245) (2,537,513) (182,651) (1,203,831) (1,443,556) (193,751) (12,503) (5,803) (3,139,203) (7,525,449) (531,468) 23,571,387 2,866,364 10,101,235 7,014,460 9,658,218 1,881,651 783,340 461,604 (584,886) (1,430,540) (202,110) 17,886,538
Purchases 4,538 84,473 334,930 323,971 128,429 46,984 123,397 5,701 175,104 191,564 19,094 2,161 3,026 2,926,948 929,875 1,285,658 883,111 1,243,258 212,083 136,672 98,684 112,681 162,727 9,882 9,444,951
Redemptions (485,955) (1,063,257) (783,283) (573,162) (146,260) (166,732) (266,595) (24,994) (175,104) (191,564) (327,236) (739,794) (55,505) (622,005) (639,439) (277,179) (184,915) (281,584) (24,740) (58,555) (52,554) (169,835) (303,029) (29,793) (7,643,069)
The accompanying notes are an integral part of these financial statements. -1254-
Net change (481,417) (978,784) (448,353) (249,191) (17,831) (119,748) (143,198) (19,293) (308,142) (737,633) (52,479) 2,304,943 290,436 1,008,479 698,196 961,674 187,343 78,117 46,130 (57,154) (140,302) (19,911) 1,801,882
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY FMT/Wells Fargo Stable Value Fund Financial Highlights December 31, 2012
Change in Net Asset Value Resulting from Operations
Class A (b) Class B (b) Class C (c) Class D (d) Class E (e) Class F (c) Class G (f) Class I (g) Class L (h) Class N (i) Class O (e) Class P (j) Class Q (c) Class R1 Class R2 Class R3 (k) Class R4 Class R5 Class R6 Class R7 (l) Class R8 (m) Class S (b) Class T (d) Class U (j)
NAV per Unit, Beginning of Period $ 10.1637 10.1675 10.1307 10.1144 10.0928 10.0222 10.0516 10.0394 10.0000 10.0000 10.1385 10.1957 10.0998 10.1374 10.0053 10.0000 10.0044 10.0064 10.0059 10.0000 10.0000 10.1129 10.1129 10.1019
Net Investment Income (Loss)(a) $ (0.0622) (0.0752) (0.0909) (0.1077) (0.1254) (0.1404) (0.1514) (0.1335) (0.0269) (0.0206) (0.0861) (0.0574) (0.0821) (0.0372) (0.0599) (0.0767) (0.0957) (0.1135) (0.1313) (0.1444) (0.1460) (0.0991) (0.1157) (0.1291)
Net Realized and Unrealized Gain (Loss) from Investments(a) $ 0.1947 0.1921 0.1909 0.1909 0.1926 0.1877 0.1844 0.1364 0.1231 0.0609 0.1925 0.1899 0.1924 0.2001 0.1984 0.1969 0.1997 0.2004 0.2011 0.1963 0.1766 0.1896 0.1922 0.1842
Total from Investment Activities $ 0.1325 0.1169 0.1000 0.0832 0.0672 0.0473 0.0330 0.0029 0.0962 0.0403 0.1064 0.1325 0.1103 0.1629 0.1385 0.1202 0.1040 0.0869 0.0698 0.0519 0.0306 0.0905 0.0765 0.0551
Ratios (to average unit value)
NAV per Unit, End of Period $ 10.3003 10.1438 10.1202 10.1084 10.0933 10.0757 10.0519 10.0306 -
Total Return 1.30 1.15 0.99 0.82 0.67 0.47 0.33 0.03 0.96 0.40 1.05 1.30 1.09 1.61 1.38 1.20 1.04 0.87 0.70 0.52 0.31 0.89 0.76 0.55
% % % % % % % % % % % % % % % % % % % % % % % %
Net Expenses (0.61)% (0.74)% (0.89)% (1.06)% (1.24)% (1.40)% (1.50)% (1.33)% (0.27)% (0.21)% (0.84)% (0.56)% (0.81)% (0.36)% (0.59)% (0.76)% (0.95)% (1.13)% (1.31)% (1.44)% (1.46)% (0.98)% (1.14)% (1.27)%
(a)
Per unit amounts are based on average daily units outstanding
(b)
For the period from January 1, 2012 through December 10, 2012
(c)
For the period from January 1, 2012 through December 11, 2012
(d)
For the period from January 1, 2012 through December 12, 2012
(e)
For the period from January 1, 2012 through December 13, 2012
(f)
For the period from January 1, 2012 through November 26, 2012
(g)
For the period from January 1, 2012 through August 29, 2012
(h)
For the period from April 10, 2012 (commencement of this class) through November 27, 2012
(i)
For the period from March 2, 2012 (commencement of this class) through June 20, 2012
(j)
For the period from January 1, 2012 through November 27, 2012
(k)
For the period from January 6, 2012 (commencement of this class) through December 31, 2012
(l)
For the period from January 12, 2012 (commencement of this class) through December 31, 2012
(m)
For the period from February 14, 2012 (commencement of this class) through December 31, 2012
The accompanying notes are an integral part of these financial statements. -1255-
Net Investment Income (Loss) (0.61)% (0.74)% (0.89)% (1.06)% (1.24)% (1.40)% (1.50)% (1.33)% (0.27)% (0.21)% (0.84)% (0.56)% (0.81)% (0.36)% (0.59)% (0.76)% (0.95)% (1.13)% (1.31)% (1.44)% (1.46)% (0.98)% (1.14)% (1.27)%
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements December 31, 2012
Note 1 - Summary of significant accounting policies Organization The Collective Investment Funds of First Mercantile Trust Company (individually Fund, collectively Funds) are comprised of certain separately-presented collective trust funds available for investment for clients of First Mercantile Trust Company (FMTC). These clients consist entirely of sponsors of various types of qualified retirement plans who make investments into the Funds based upon their respective investment objectives or the investment objectives of the plan participants. FMTC is the trustee of the Funds. The custodians for the Funds are State Street Corporation, National Financial Services LLC, BNP Paribas Investment Partners Trust Company, and Fifth Third Bank. Basis of accounting The accompanying Fund financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. Changes in the economic environment, financial markets, and any other parameters used in determining these estimates and assumptions could cause actual results to differ. Investments The Funds' investments are stated at fair value. Fair value is the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. See note 4 for a discussion of fair value measurements. Security transactions and investment income Security transactions are recorded as of the date purchased or sold (trade date). Interest income is recognized on the accrual basis. Dividend income is recorded as of the ex-dividend date. Realized gains and losses on securities sold are determined on the basis of average cost. Foreign currency translations The books and records of the Funds are maintained in U.S. dollars. Securities denominated in currencies other than U.S. dollars are subject to changes in value due to fluctuations in exchange rates. Purchases and sales of securities and income and expenses are translated into U.S. dollars at the prevailing exchange rate on the respective date of each transaction. The market values of investment securities are translated into U.S. dollars daily. The Funds do not isolate the portion of net realized and unrealized gains or losses in security investments which are attributable to changes in foreign exchange rates. Accordingly, the impact of such changes is included in the realized and unrealized gains or losses on the underlying securities.
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THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 1 - Summary of significant accounting policies (continued) Participant share transactions The net asset values (NAV) of the Funds are determined daily, and net investment income and realized and unrealized gains are not distributed but rather reinvested and reflected in the net asset values of the Funds. Units of participation are purchased and redeemed at the net asset value. Each class of units has equal rights as to net assets and earnings and losses, except that each class separately bears certain class-specific expenses related to investment managment, trustee fees and maintenance of participant accounts. Income, non-class-specific expenses, other operating charges and credits, and realized and unrealized gains and losses on investments are allocated to each class of units based upon its relative net assets. The units of participation outstanding as of December 31, 2012 for all classes of units have been rounded to the nearest whole unit. All unit classes except R1 through R8 were closed during November and December 2012. Participants in the closed classes were moved to the appropriate R1 through R8 class. In some cases where participants moved to a lower cost share class, an additional administrative fee was implemented at the plan level. The closing of share classes did not result in higher overall fees to participants. Schedules of investments Percentages reflected in the schedules of investments are calculated in relation to net assets. Financial highlights Definitions common to all Funds are as follows: Net Investment Income (Loss) - Per Unit Net Investment Income (Loss) is the net of income and expense items including other operating credits and charges. Expenses represent actual amounts charged, while income represents a pro rata allocation of the aggregate income of the Fund to each unit class based on the expenses charged to each unit class. Per unit amounts are calculated as the aggregate dollar value of net investment income (loss) for the period divided by the average daily units outstanding for the period (within the year) during which the unit class was funded. For classes that were liquidated during the year, the last unit price prior to liquidation was used to calculate income (loss) per unit. Total Return - Ratio Total Return is the change in price during the year, i.e., last price of the year versus earliest price of the year. This return is net of the internal operating expenses of any underlying funds, e.g., a mutual fund, in which the respective Fund invests. All dividends received are reinvested. An individual participant's return may differ due to certain factors including the timing of contributions and withdrawals. -1257-
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 1 - Summary of significant accounting policies (continued) Financial highlights (continued) Net Expense - Ratio Net Expense represents expenses divided by the average unit value. calculated as the average of the beginning and ending unit values.
Average unit value is
Net Investment Income (Loss) - Ratio Net Investment Income (Loss) is the net investment income (loss) for the period divided by average unit value. See the individual Fund financial statements for a summary of their respective financial highlights. Federal income taxes The Funds qualify for tax-exempt status under Section 501(a) of the Internal Revenue Code of 1986, as amended. Accordingly, no provision for income taxes is required in the individual financial statements of the Funds. Note 2 - Investments in fully benefit-responsive funds In general, accounting principles generally accepted in the United States of America require all investments held by an investment company to be reported at fair value. However, contract value is the relevant measurement attribute for that portion of the net assets attributable to fully benefitresponsive investment contracts. The statements of assets and liabilites for fully benefitresponsive funds present the fair value of the investment in the underlying fund as well as the adjustment from fair value to contract value relating to the underlying fund. Three Funds include investments in fully benefit-responsive funds: FMT/FFTW Income Plus Fund, FMT/Fifth Third Stable Value Fund, and FMT/Wells Fargo Stable Value Fund. See the individual Fund financial statements regarding the respective Fund's investment in fully benefit-responsive funds. Note 3 - Transactions with affiliates and service providers The Funds pay agency fees under the terms of agreements between the plan sponsors and FMTC. These fees are calculated by multiplying the applicable fee rate for each Fund by such Fund's net assets at the end of each business day. The agency fees are paid monthly to FMTC and range from an annual rate of 0.35% to 2.39% depending upon the type of Fund, the level of service provided to each qualifed employee benefit plan sponsor, and its classes of units (shares). A portion of these agency fees are payable by FMTC to investment consultants of the participating retirement plans. Agency fees paid to FMTC by the Funds in 2012 totaled $42,811,153. Fees paid by FMTC in 2012 to investment consultants of the participating retirement plans totaled $18,856,684 and fees paid by FMTC to sub-advisors of the Funds totaled $7,203,597.
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THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 3 - Transactions with affiliates and service providers (continued) FMTC charges specified investment management fees, a component of the agency fee, for all collective trust funds. However, FMTC is prohibited from charging an investment management fee on any collective trust fund which invests in an affiliated mutual fund. As a result of the acquisition of FMTC by MassMutual in a prior year, FMTC became an affiliate of OppenheimerFunds, Inc. (OFI). Three of FMTC's collective trust funds invested in OFI mutual funds. As a result, FMTC did not charge its investment management fee to these three collective trust funds. Fees paid in 2012 to custodians for custodial and service provider fees totaled $1,312,010. Note 4 - Fair value measurements Fair value is the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Three levels of inputs may be used to measure fair value. Level 1 - Quoted prices for identical securities in active markets. Level 2 - Other significant observable inputs other than Level 1 prices, including quoted prices for similar securities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. Level 3 - Significant unobservable inputs including management's own assumptions used to determine the fair value of investments. The following is a description of valuation methodologies used for investments measured at fair value. There have been no changes in the methodologies used during 2012. Common and preferred stocks: Valued using the latest quoted sales prices or official closing prices taken from the market in which each security trades. Mutual funds: Valued at the closing net asset value per share of the mutual fund on the day of valuation as reflected on a national securities exchange. Exchange-traded funds: Valued using the latest quoted sales prices or official closing prices taken from the market in which each security trades. Limited partnerships: Valued using the latest quoted sales prices or official closing prices taken from the market in which each security trades.
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THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 4 - Fair value measurements (continued) Debt securities: Valued at quoted market prices or valuations provided by commercial pricing services or the mean of the bid and ask prices provided by investment brokers. Collective trust funds: Valued at the net asset value of units held by the Fund on the day of valuation based upon the market value of the underlying investments. Fully benefit-responsive funds: Reported at fair value (see note 2). The preceding methods described may produce fair value calculations that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Funds' management believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement as of the reporting date. Changes in valuation techniques could result in transfers in or out of an investment's assigned level within the hierarchy. See the individual Fund's Schedule of Investments and Specific Fund Disclosures for aggregate value by class of investment and input level as of December 31, 2012. Note 5 - Investment transactions The aggregate cost of purchases of investment securities and proceeds from sales of investment securities (other than temporary cash investments) for the year ended December 31, 2012 for active Funds are presented in the individual Fund's Schedule of Investments and Selected Disclosures. Investment transaction disclosures for Funds that were closed during 2012 are as follows: Cost of Purchases FMT/Calvert Income A Fund FMT/Federated Kaufmann A Fund FMT/Fifth Third All Cap Value Fund FMT/Fifth Third Life Model Moderate Conservative Fund FMT/Fifth Third Small Cap Growth Fund FMT/Oppenheimer Developing Markets A Fund FMT/Oppenheimer Global Fund FMT/Oppenheimer Gold & Special Minerals Fund Zacks Investment Management Fund
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$
127,815 26,992 86,712 513,527 30,148 290,989 88,501 281,908 202,975
Proceeds from Sales $
7,096,851 1,736,263 1,055,166 4,392,414 1,553,986 13,714,707 9,438,759 4,461,982 2,063,454
THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 6 - Fund changes During the year ended December 31, 2012, certain of the Funds had changes in their sub-advisors or changes in their names as follows: FMT/DFA U.S. Small Cap Fund is now FMT/DFA U.S. Small Cap Portfolio Fund FMT/Fifth Third Life Model Moderate Fund is now FMT/Touchstone Balanced Allocation Fund FMT/Fifth Third Life Model Conservative Fund is now FMT/Touchstone Conservative Allocation Fund FMT/Fifth Third Total Return Bond Fund is now FMT/Touchstone Core Bond Fund FMT/Fifth Third Life Model Aggressive Fund is now FMT/Touchstone Growth Allocation Fund FMT/Fifth Third Mid Cap Growth A Fund is now FMT/Touchstone Growth Opportunities Fund FMT/Fifth Third International Equity Fund is now FMT/Touchstone International Value Fund FMT/Fifth Third Quality Growth Fund is now FMT/Touchstone Large Cap Growth Fund FMT/Fifth Third Life Model Moderate Aggressive Fund is now FMT/Touchstone Moderate Growth Allocation Fund FMT/Fifth Third Short Term Bond Fund is now FMT/Touchstone Ultra Short Duration Fixed Income Fund FMT/Fifth Third Disciplined Large Cap Value A Fund is now FMT/Touchstone Value Fund Argent Capital Management, LLC Fund is now FMT Large Cap GARP (Argent) Fund BlackRock Capital Management, Inc. Fund is now FMT U.S. Government Securities (BlackRock) Fund BlackRock Fundamental Large Cap Growth Fund is now FMT Large Cap Fundamental Growth (BlackRock) Fund Brandywine Global Investment Management, LLC Fund is now FMT SMID Value (Fisher Investments) Fund CastleArk Management, LLC Fund is now FMT Large Cap Cyclical Growth (CastleArk) Fund CHOICE Equity Income Fund is now FMT Equity Income (CHOICE) Fund CHOICE Special Opportunities Fund is now FMT Special Opportunities (CHOICE) Fund
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THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 6 - Fund changes (continued) Columbus Circle Investors Fund is now FMT Small Cap Aggressive Growth (CCI/Cupps) Fund Cornerstone Investment Partners Fund is now FMT Large Cap Concentrated Equity (Cornerstone) Fund Davis Selected Advisers Fund is now FMT Large Cap Classic Value (C.S. McKee) Fund Delaware Investments Fund is now FMT Large Cap Focus Growth (Delaware) Fund Delaware Investments Small Cap Core Equity Fund is now FMT Small Cap Diversified Equity (Delaware) Fund Disciplined Growth Investors Fund is now FMT Mid Cap Growth (Disciplined Growth Investors) Fund Frontier Capital Management Fund is now FMT SMID Diversified Growth (Frontier/Geneva) Fund McKinley Capital Management, Inc. Fund is now FMT Aggressive International Growth (McKinley) Fund Metropolitan West Capital Management, LLC Large Cap Vaue Fund is now FMT Large Cap Intrinsic Value (MetWest) Fund Metropolitan West Capital Management, LLC Small Cap Vaue Fund is now FMT Small Cap Intrinsic Value (MetWest) Fund Miller/Howard Investments Fund is now FMT Global Infrastructure (Miller/Howard) Fund NWQ Investment Management, LLC Fund is now FMT Large Cap Value Opportunities (NWQ) Fund Opus Capital Management Fund is now FMT Small Cap Value (Opus) Fund Payden & Rygel Investment Management Fund is now FMT U.S. Core Bond (Payden & Rygel) Fund Perimeter Capital Management Fund is now FMT Small Cap Diversified Growth (Perimeter) Fund Reed, Conner & Birdwell, Inc. Fund is now FMT Balanced Opportunities (Aristotle) Fund RS Investments Fund is now FMT Mid Cap Value (RS Investments) Fund Smith Group Asset Management Fund is now FMT Large Cap Opportunities (Smith Group) Fund
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THE COLLECTIVE INVESTMENT FUNDS OF FIRST MERCANTILE TRUST COMPANY Notes to Financial Statements (Continued) December 31, 2012
Note 6 - Fund changes (continued) Thomas White International Fund is now FMT Diversified International (Thomas White) Fund Tradewinds Global Investors, LLC Fund is now FMT International Value Opportunties (Tradewinds) Fund Victory Capital Management, Inc. Fund is now FMT Large Cap Core Equity (Victory) Fund Zevenbergen Capital Investments LLC Fund is now FMT U.S. Growth Opportunities (Zevenbergen) Fund FMT/Global Equity Multi-Manager Strategy Fund is now FMT Global Diversified Equity Fund FMT/Large Cap Equity Multi-Manager Strategy Fund is now FMT Large Cap Diversified Equity Fund Note 7 - Subsequent events Management has evaluated events and transactions that have occurred between December 31, 2012 and April 30, 2013, which is the date that the financial statements were available to be issued, for possible recognition or disclosure in the financial statements. Subsequent to December 31, 2012, the following Fund was closed: FMT/Forward Strategic Alternatives Fund Effective January 1, 2013 certain of the Funds had changes in their sub-advisors or changes in their names as follows: FMT Equity Income (CHOICE) Fund is now FMT Equity Income (Sterling) Fund FMT Special Opportunities (CHOICE) Fund is now FMT Special Opportunities (Sterling) Fund Effective January 24, 2013 certain of the Funds had changes in their sub-advisors or changes in their names as follows: FMT Aggressive International Growth (McKinley) Fund is now FMT Aggressive Growth (WCM) Fund FMT Large Cap Fundamental Growth (BlackRock) Fund is now FMT Large Cap Fundamental Growth (Wellington) Fund FMT Mid Cap Value (RS Investments) Fund is now FMT Mid Cap Value (NewSouth) Fund
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